Unfit homes could be “the least of the problems” if landlords sell up, a Conservative MP has warned during a Renters’ Rights Bill debate.
Rebecca Smith told MPs she had heard from a constituent with 89 properties who planned to sell his homes, which she feared could land renters in the temporary accommodation system.
Reform UK deputy leader Richard Tice suggested landlords needed an “appropriate” risk and reward balance if they are to put their money into building homes, while former Labour leader Jeremy Corbyn, now the independent MP for Islington North, called for rent controls.
The Government-backed Bill proposes an end to no-fault evictions and a ban on bidding wars, along with new requirements for landlords to address hazards such as damp and mould.
Ms Smith, the MP for South West Devon, told the Commons on Wednesday: “The fact that the homes are not necessarily always fit to live in is almost the least of the problems because … if there are are no homes to live in, the people do not have anywhere to be.”
Labour MP Markus Campbell-Savours (Penrith and Solway) intervened, asking: “What do you think happens to properties when landlords remove themselves from the sector?”
Ms Smith continued: “One of my constituents has recently written to me to say that he is very sadly, having been a landlord to the same tenants for 25 years, selling his entire portfolio of 89 properties.”
To jeers from Labour members, the backbencher added: “Now sometimes, we do actually see – if he will allow me to finish, thank you very much – what we actually do see are some really constructive solutions to these problems.
“So, for example, whilst I was the Cabinet member under the Conservative government and a Conservative council, Plymouth City Council, Plymouth Community Homes and Homes England were able to work together to purchase 86 three-bedroom properties from Annington Homes, who are the supplier to the Ministry of Defence.
“So … there are some options, however, when my constituent has approached the council, currently there has been no movement.”
Ms Smith warned properties which landlords sell could still be bought by families who already own homes, and added: “Ultimately, those 89 properties that are going to be sold will become 89 further households who need temporary accommodation whilst they have to be found further accommodation.”
Conservative former minister Dame Priti Patel said landlords in the private and social sector must do the “right thing” when it comes to their responsibilities, obligation and duties to their tenants, adding: “I think this House needs to be a little bit honest with itself and recognise that during these debates, in recent years – and I’m not just speaking about today – we have seen landlords vilified.”
She added there are some “terrible and shocking examples” of how landlords behave and they must be exposed and sanctioned.
“It’s really important that throughout the passage of this Bill and the discussions in this House, we all act responsibly to set the right bar and the right standards,” Dame Priti said.
“But we should also recognise that whilst we have shocking examples, we should not forget that the overwhelming majority of landlords do work hard to invest in their properties and do the right thing by their tenants.”
Mr Tice said: “We want a greater supply of rental properties but that, of course, requires additional capital, additional new homes to be built, which is a key objective of the Government, which I think all of us support.
“But to ensure that that capital has a sufficient reward and attraction, then landlords need to know that the balance of risks and rewards is appropriate, and that actually vacant possession can be secured.”
Mr Corbyn pointed to rent controls in the German capital Berlin and in the United States.
“Unless we do that, then we’re going to have a continuing, long-term problem,” he claimed.
“We need to bite the bullet and introduce rent controls in this country. It is not the end of the world. It doesn’t actually destroy the private rented sector.”
