The government’s flagship Renters Reform Bill, which would end Section 21 evictions, is on the brink of collapse, according to The Sun.
The newspaper reports that Whitehall insiders have claimed the Conservative manifesto promise to end so-called no fault evictions is on track to fail because Michael Gove is being held “ransom” by angry Tory MPs.
The Conservative party‘s 2019 manifesto pledged to end the right of landlords to evict tenants without needing a reason.
However, the legislation has been continuously delayed, leading housing campaigners to question the government’s commitment.
But the government has previously said a ban cannot be enacted until the court system is improved.
In October last year, MPs started debating the Renters (Reform) Bill, which includes a ban on Section 21 evictions in England, but the legislation has not yet completed its passage through Parliament.
Last month the housing secretary pledged to pass the Reform Bill before a general election this year.
Asked if he could guarantee the practice would end by the time of the next general election, which must take place by the end of January 2025, Michael Gove told the BBC’s Sunday with Laura Kuenssberg programme: “We will have outlawed it and we will have put the money into the courts in order to ensure that they can enforce that.”
Gove’s legislation has faced significant opposition from within his own party, as almost one in five Conservative MPs are also landlords. It is worth noting that there are a plethora of landlords across other political parties, including Labour.
Late last year, a series of Conservative MPs voiced their opposition to the Renters Reform Bill, saying it would add “to the burden of landlords”.
In the Commons, Conservative former minister Sir Edward Leigh told MPs: “Banning no-fault evictions will make the rental market even more stagnant and will lead to a further drying up of it.”
He added: “And apart from adding to the burden of landlords, we don’t want a situation that happened in Ireland, where the regulatory burdens on landlords is such that the rental sector has shrunk massively and governments have paid the price in terms of popularity.”
Conservative MP Sir Geoffrey Clifton-Brown also said the bill would have a “disastrous effect” on areas including his constituency “in reducing the number of rental properties, and therefore increasing the price of rent, and for youngsters this is really serious”.
Now, according to The Sun, officials have accused a backbench Tories, including some landlords, of refusing to compromise on the legislation.
Sources say that the charge against the Bill is being led by Totnes MP Anthony Mangnall.
A Whitehall source said: “The Renters Reform Bill looks like it may now collapse and the Tories risk breaking their manifesto commitment to end no fault evictions.
“Officials are at a total loss given both pro-landlord groups like the National Residential Landlords Association and pro-renters groups like the Renters Reform Coalition want this bill passed ASAP.
“It seems a small group of landlord MPs, led by Anthony Mangnall, are holding the bill to ransom.”
Mangnall, who is not himself a landlord, insisted he supports abolishing Section 21 evictions.
But he claimed a large number of Tories are disappointed about the Bill banning fixed-term rental tenancies and replacing them with periodic tenancies that do not have an end date.
Mangnall said: “I want to amend the Bill not to kill it.
“It’s my role as a legislator to ensure we pass sensible legislation. We’ve had constructive meetings with Michael Gove.
“This is about trying to find the right balance.”
Tom Darling, campaign manager at the Renters Reform Coalition, slammed the government for the latest delay in ensuring the bill progresses through the house.
He said: “Another delay to this legislation caused by an ungovernable rump of Conservative MPs – many of whom are landlords.
“It’s becoming clear they are intent on tanking their own manifesto commitment to end no-fault evictions at the eleventh hour.
“The truth is the Renters (Reform) Bill is the bare minimum renters need – we won’t support a grubby deal between the Government and landlord backbenchers that is little better than the miserable status quo.”
A Department for Levelling Up, Housing and Communities spokesperson said: “Our landmark Renters (Reform) Bill will deliver a fairer private rented sector for both tenants and landlords. It will abolish section 21 evictions – giving people more security in their homes and empowering them to challenge poor practices.
“We continue to meet regularly with a range of groups, representing all those in the private rented sector.”
Almost a third of Tory MPs trying to water down Renters Reform Bill are landlords
While Boris fanboy Gove likes to get things changed including Brexit I see the man as inept and a total blithering fool who’s totally lost.
Fortunately and recently his potency has waned after more than a decade at the highest levels of government. Personally I don’t think he would have shone so brightly if the government was more blessed with any talent.
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Furlough saves thousand of jobs and companies
The vac ropo, out was aloing with Israel the best in the world
Meanwhile many Labour MPs support Hamas
Jewish Labour MPs have to have a policer guard outside their homes.
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I hope it does collapse. It’s been concocted by people who do not understand the industry and their ineptitude and dithering has caused many Landlords to sell, further reducing the stock and increasing rents.
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And worse is yet to come, with labour all most certainly to win the GE we can expect even worse policies going by the soundbites coming from them.
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It is not a given that Labour will win. Their votes will be split by Muslim candidates. We know the faux-conservatives are toast, which is why REFORM are coming up fast.
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The level of idiocy shown by these morons is obscene. Pro-landlord groups like the NRLA want “certainty” in the market, not this bill. It appears “officials” cant understand that.
At least Anthony Mangnall appears to have some sense, the abolition of fix term tenancies would be horrific.
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The introduction of this policy will mean a fundamental change in the way properties are sold in this country and how properties are valued.
There will need to be two valuation figures given.
1) x amount as a tenanted property
2) y amount for a non tenanted property
Option 2 will only be open to cash buyers and buy to let investors
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*option 1 will only be open to cash buyers and buy to let investors bot option 2
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Surely that has always been the case!
I agree though that tenanted properties may well be worth less as a result of the bill.
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I recently sold a tenanted property where I was able to work with my tenant, advise that I would be selling and that two months notice would be given much further down the line.
The tenant worked with me.
The other option is that I could have just issued two months notice and then sold the property.
Both of the above options will likely not be possible should this policy come into law
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You realise ‘right to sell’ will be a protected term for notice under the proposed RRB right? The notice may be longer than it is now but given that the average UK sale takes 26 weeks from offer to completion as long as notice isn’t increased to more than 6 months it shouldn’t theoretically impact a sale. We’ve probably sold about 100 tenanted properties over the years (before closing our sales operation), the vast majority to owner/occupiers. We worked with the tenants and buyers, explaining the process upfront, keeping them updated throughout the transaction and serving notice usually after the mortgage valuation was approved (for cash buyers we sought a 1 month’s rent deposit to serve notice on the tenant). I don’t think we ever had a major issue.
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26 weeks is not the average time from offer to completion in my area, in fact as a barometer,
Complete ASAP are taking far less and not even half that time.
If you issued 6 months notice upon receipt of an offer or even just before, then you would have a big challenge expecting buyers to wait a full 6 months before getting the keys.
You’d be hard pressed to find any sales agent that would take on a property in the knowledge that it would take at least 6 months to get vacant possession.
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I’d be interested to know what area you operate in, then. Six months from start to finish is pretty standard in London – which, as we all know, is the only property market that actually matters
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Why is standing up and saying this bill is not fit for purpose always portrayed as a few evil tory landlords sabotaging all renters. This bill will do nothing to make it easier to rent a new property and nothing to make it more affordable. It is not a good bill for either side.
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There are plenty of “socialists” who are landlords
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How can there be a fixed-term tenancy without S21? Either S21 and fixed-term contracts remain permitted or S21 goes and they become open/rolling. As for a minimum term, this should be set at 90 days at least to ensure that the properties cannot be easily sub/holiday let.
I think the general consensus is that a Conservative-led RRB is likely to be more balanced than a Labour-led Renters initiative. As such, getting the RRB over the line pre-GE will likely be better for Landlords and Agents.
Changes are coming, that can’t be stopped- who do you want setting what those are?
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