9th
Jul 2014
In a recent Opposition Day debate focussing on the private rented sector, Labour once again claimed that it was "no longer fit for purpose" as declared by the Shadow Housing Minister Emma Reynolds.
In her opening statement Reynolds told the Commons that Britain has "one of the most short-term, insecure and unstable private rented sectors in Europe", and that tenants had to pay "exorbitant rates".
Once again she re-iterated many of Miliband's proclamations, that in power Labour would outlaw letting agent fees, introduce the capping of rent increases and new legislation for three year tenancies to assist the 9 million renters throughout the UK.
Nick Boles, Planning Minister, blasted Labour's intended policy as "idiotic", as it would see higher rents being pushed through quickly and would also damage levels of new investment into the sector. He described their plans as those which had been tried before and would be detrimental in tackling the housing problem.
Emma Reynolds said: “The opposition have called for this debate because we believe the private rented sector is simply not fit for purpose. It is in fact more suited to the 1980s than the 21st century.
“The sector has grown massively in size, but also beyond recognition in terms of the demographics and character of those renting from private landlords. Nine million people now rent privately, more than those who rent a social home.
“Over a third of those who rent privately are families with children and nearly a half are over the age of 35. However many people who are renting privately are not doing so out of choice but because they can't get on the housing ladder and they are being priced out or they can't secure a social home.”
Boles replied with a warning that rent controls in the past have had a negative effect.
He said: “They disinter a mouldy old policy from the 1970s, spray a bit of shiny new paint over it and present it as the solution to all of the ills of the modern market economy. We have seen them follow this script in relation to energy bills and now they are trotting it out for rental housing.”
Lilian Greenwood, Labour MP for Nottingham, extended an invitation to those MP's who were against regulating renting to visit her constituency to see the ‘misery’ caused by an unregulated market.
Two Conservative MP's had differing views about the introduction of three year tenancies.
Jackie Doyle-Price stated that it is always in the best interest of letting agents to introduce new tenants as they can then charge their starting fees and in most cases landlords would much prefer a three year agreement.
On the other side of the coin Conservative MP Angie Bray said that many younger renters like to be free to move from one place to another if it catches their fancy , Emma Reynolds took pains to point out that within Labour's plan there is a caveat that tenants may have the choice to leave a property during a tenancy period.
Children's education was cited as reason of concern by several Labour MPs who discussed the point that moving houses can be disruptive to their education.
Jeremy Corbyn, Labour MP said: “Just ask primary teachers what effect it’s having on their pupils,”
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