Localism Bill

My Lords, I shall speak to Amendments 171B, 171C and 173ZA. Amendments 171B and 171C propose a two-stage tenancy process. The Localism Bill effectively removes the right of qualifying homeless people to turn down an offer from the local authority of private rented accommodation; and I agree with the comments just made by the noble Lord, Lord Rix. A local authority will now be able to discharge its duty to the homeless by offering private rented accommodation on a ““take it or leave it”” basis with a minimum tenancy of 12 months. The problem is that a private rented accommodation offer may not be suitable for a variety of reasons, yet if a homeless applicant refuses the offer, they can be deemed intentionally homeless and the local authority will no longer have a duty to house them. Given its obvious attraction to landlords, the 12-month tenancy is likely to become the norm, or at least commonplace. It may prevent homeless people from finding secure and stable accommodation and will almost certainly lead to recurring homelessness. Even if tenants do not become homeless again, the 12-month minimum prevents them putting down roots and stabilising their employment or their children’s education. The aim of these amendments is to improve the sustainability of private tenancies for homeless households by requiring households to be placed in a successful interim tenancy prior to the 12-month minimum tenancy that discharges the authority’s duty. The amendments would not scrap the Bill’s proposal to end the right of homeless people to refuse an offer of private rented accommodation, nor would they change the 12-month minimum. Amendment 171C would create a mandatory two-stage process. In the first stage, the homeless person would be placed in private rented accommodation for a short tenancy of between six and 12 months. At the end of that period, the landlord and tenant can agree a minimum 12-month tenancy, turning the Bill’s original proposal into a second stage. In effect, this would extend the period of accommodation from a minimum of 12 months to at least 18 months. A local authority could only discharge its duties in this way if the applicant had previously been placed in an assured shorthold tenancy of between six and 12 months, the local authority is satisfied that the applicant can afford the rent, and the household’s various support needs can be met. This is a moderate amendment that does not undermine any of the major proposals contained in the Bill; rather it seeks to make the Bill work better. It would encourage the tenant, landlord and authority to work together to ensure the success of the tenancy and encourage early intervention when any problems arise. In this way, the amendment builds on the work of private rented sector access schemes, which are supported by the Government. It would provide further support and assessment to the tenant from the local authority. Although local authorities will have to assess the support needs of all tenants, this should not create an undue burden since many tenants will have low-level support needs, and some will have none at all. Where tenants do need support to sustain a tenancy, it is already best practice to provide this, and such support can help avoid the cost of repeat homelessness. Although at the end of the second tenancy the tenant will have been settled for at least 18 months, it does not entail tenancies of over 12 months and should therefore appeal to landlords. This is because both landlords and tenants will have the option of not renewing after the interim tenancy. In other words, if a landlord accepts stage one, he or she is not obliged to move to stage two. By preventing repeat homelessness, this system can work better for tenants, landlords and local authorities. I turn to Amendment 173ZA. The purpose of this amendment is to establish a statutory framework for housing option schemes and other measures for the prevention of homelessness. The amendment would do two things. It would oblige local authorities to provide the applicant with comprehensive advice and assistance in the course of their inquiry and to keep the applicant fully informed of his or her options. It would also restore the right of applicants to reject an offer of private rented accommodation without affecting the duties of the local authority. The amendment assumes a 12-month minimum tenancy for private rented accommodation, as set out in the Bill. I very much hope that the Government will carefully consider these suggestions.