POLICY ISSUES IN HOUSING LAW

UK Government Policy on Finance for Housing (1)
On 25 November 2015, the Chancellor delivered the UK Spending Review and Autumn Statement. It covers the spending settlement of the Department for Communities & Local Government (which is responsible for housing policy) and various financial measures relating to Housing. For the full “Blue Book” containing the details, click here   For the statement of costings of each policy change, click here  For the response of the Chartered Institute of Housing, click here For comment from Shelter, click here

UK Government Policy on Finance for Housing (2)
The Autumn Statement also included policy announcements relating to rents and benefits. In particular, the amount of rent that housing benefit will cover in the social housing sector will be capped at the relevant local housing allowance rate for the private sector – this will apply to tenancies granted after 1 April 2016 (with housing benefit entitlement changing from 1 April 2018). Also from April 2016, housing benefit payments will be limited, for claimants who go outside Great Britain, to four weeks of absence. For a useful summary of the benefit-related changes, click here

Quality of accommodation for families with children
On 2 December 2015, Hackney Community Law Centre and Hackney Migrant Centre published research that they had commissioned on the quality of accommodation arranged for families with children under section 17 of the Children Act 1989 (used where accommodation cannot be secured for the family using Parts 6 or 7 of the Housing Act 1996). For a copy of the report, A place to call home: a report into the standard of housing provided to children in need in London, click here   

Accommodation for Homeless Teenagers
On 24 November 2015, the UK Government confirmed the number of households headed by 16 or 17 year olds temporarily housed in Bed and Breakfast accommodation, contrary to the statutory code of guidance. As at 31 March for the last five years, the figures were as follows: 2011 – 160, 2012 – 150, 2013 – 100, 2014 – 60, and 2015 – 50. For the full references, click here

Voluntary Right to Buy
Last week, the UK Government announced a Voluntary Right to Buy pilot scheme among a small number of housing associations. Eligible tenants can now register their interest in taking up this Voluntary Right to Buy. There are a limited number of sales under the pilot. Successful applicants will be able to progress up to the point of sale, but will not be able to complete their purchases until the Housing and Planning Bill becomes law. For the identities of the housing associations taking part in the pilot, listed by local authority area, click here

Right to Buy in England
On 26 November 2015, in a speech to the National House Building Council, the Secretary of State for Communities said: “the government will ensure that the proceeds of Right to Buy sales are used to build new affordable homes for rent and purchase”. For the full text of the speech, click here

Letting Agents in England (1)
The Lettings Agency Work and Property Management Work (Requirement to Belong to a Scheme etc) (England) Order 2014 requires that all lettings agents in England must be a member of a government-approved redress scheme. The requirement came into force on 1 October 2014. Local authorities have responsibility for enforcing the provisions. Darlington Borough Council reports that it has imposed fixed penalty charges totalling £8,000 after issuing Final Notices to three companies which did not belong to an approved redress scheme. On appeal, a tribunal upheld notices issued to Smartmove Properties Management & Services Limited and Relish Residential Limited. The other agent, J Jackson Properties Limited, accepted the Final Notice without challenge. For more details, click here

Letting Agents in England (2)
It is estimated that some £2.7 billion of tenants’ and landlords’ money is held by lettings agents in England at any one time. There is currently no compulsory requirement for letting agents to belong to a Client Money Protection (CMP) insurance scheme to ensure that the monies are protected should the agents become insolvent or cease to trade. A Parliamentary Petition process is underway to make CMP compulsory for all letting agents. For the details, click here

Letting Agents in Wales (1)
On 21 October 2015, the Consumer Rights Act 2015 (Commencement No. 2) (Wales) Order 2015 brought into force in Wales the provisions of Chapter 3 of Part 3 of the Consumer Rights Act 2015 which require letting agents to publicise relevant fees at their premises and on their website (if they have one). Chapter 3 also provides for enforcement of the duty by every local weights and measures authority in Wales. On 18 November 2015, the National Licensing Authority for Wales notified agents that the new rules would be enforced with effect from 23 November 2015. For the announcement, click here For the letter sent by the Welsh Government on 17 November 2015 containing the same text, click here  

Letting Agents in Wales (2)
Since 23 November 2015, landlords and letting agents in Wales have been required to apply for licences from the National Licensing Authority (Cardiff Council). The Landlord Licence fee is £144. The Agent Licence fee is £3,728. For the details, click here  Agents in Wales have expressed surprise at the amount of the licence fee charge and the Association of Residential Letting Agents has submitted an FoI request relating to how the fee was fixed. For a copy of the request, click here

Rough Sleeping
A new report, Street Based Lifestyle Monitor,addresses rough sleeping in Cardiff from October 2013 to date. For a copy, click here For media reporting on the decision not to proceed with a Public Spaces Protection Order to prohibit rough sleeping in Newport, click here

Private Renting in Scotland
On 1 December 2015, the Private Rented Housing Panel (Landlord Applications) (Scotland) Regulations 2015 came into force. They make further provision about the making of applications by landlords to the private rented housing panel under section 28A of the Housing (Scotland) Act 2006 and about the deciding of those applications. For the regulations, click here  For the Policy Note explaining the regulations, click here  On the same day, the Scottish Tribunals (Listed Tribunals) Regulations 2015 came into force. They add the private rented housing panel and the homeowner housing panel to the tribunals listed in schedule 1 to the Tribunals (Scotland) Act 2014 whose functions may be transferred to the Scottish Tribunals under that Act. They also specify the functions exercisable by the two panels. For the regulations, click here For the Policy Note explaining the regulations, click here  The Scottish Tribunals (Administrative Support for Listed Tribunals) Order 2015 allows the Scottish Courts and Tribunals Service to provide administrative support to the homeowner housing panel and the private rented housing panel until such time as their functions are transferred to the Scottish Tribunals. For the Order, click here  For the Policy Note explaining the Order, click here

HOUSING LAWS IN THE PIPELINE

Housing and Planning Bill
This is a UK Government Bill about social and private rented housing, estate agents, rentcharges, planning and compulsory purchase. For a copy of the Bill, which only applies to housing in England, click here  For the Explanatory Notes, click here  To follow the progress of the Bill, click here  The Bill passed its Second Reading on 2 November 2015. To read the debate, click here  For the House of Commons Library Briefing Paper for Second Reading, click here The official Impact Assessment of the Bill is also now available. For a copy, click here  For a media commentary on the Impact Assessment, click here For the CIH briefing on the Bill (members only), click here For the Local Government Association’s briefing on the Bill, click here  For a summary from Citizens Advice, click here For the LAG Housing Law commentary on the Bill, click here For a commentary by Dr Stephen Battersby, click here

The Bill is now being scrutinised in a Public Bill Committee. That Committee has issued an invitation for evidence on the Bill and will receive written evidence until 10 December 2015. For details of how to submit evidence, click here  To see the record of the public proceedings of the Public Bill Committee  - including the two evidence sessions with witnesses on 10 November 2015 – and to access all the written evidence the Committee has received, click here  For the Equality and Human Rights Commission  briefing in support of Amendment 136  (which seeks to preserve sections 225 and 226 of the Housing Act 2004, which impose a duty on local housing authorities to assess the specific accommodation needs of Gypsies and Travellers residing or resorting to their area, and provide for guidance on how this is undertaken), click here  

Welfare Reform and Work Bill
This UK Government Bill makes provision about: (1) the benefit cap; (2) social security and tax credits; (3) loans for mortgage interest; and (4) social housing rents. It has completed all its House of Commons stages and is now passing through the House of Lords. For a commentary on the final Commons Stage, click here For the Bill, as amended in the Commons, click here    For the Explanatory Notes for that version of the Bill, click here  To follow the progress of the Bill, click here. For the documents relating to the Bill (including several impact assessments), click here  For a briefing for Lord’s Second Reading prepared by the National Housing Federation, click here For the House of Lords Library Note providing background reading in advance of the Lords Second Reading, click here Detailed examination of the Bill in the Lords starts with the first day of the Committee Stage on 2 December 2015.

Immigration Bill
This UK Government Bill would create four new offences to target those landlords and agents who repeatedly fail to comply with the ‘right-to-rent scheme’ by letting to tenants subject to immigration restrictions or fail to evict tenants who they know or have reasonable cause to believe are disqualified from renting as a result of their immigration status. For the official Impact Assessment, click here  To follow the progress of the Bill, click here The Bill is now completed its Commons Public Bill Committee Stage. For the schedule of evidence received and debates for that Committee, click here  The Housing Law Practitioners Association has prepared a briefing on clauses 13 and 14 which deal with repossession of tenanted homes. For a copy of that briefing, click here The Commons Report and Third Reading stages of the Bill were expected to take place on Tuesday 1 December 2015. For a copy of the Bill as amended in Committee, click here For a Commons Library briefing on developments during the Committee Stage of the Bill, click here

Private Housing (Tenancies) (Scotland) Bill 2015
This is a Government Bill introduced in the Scottish Parliament on 7 October 2015. For a copy of the Bill, the Explanatory Notes and related official documents, and to follow the progress of the Bill, click here For the final Business and Regulatory Impact Assessment on the Bill, click here For the Children’s Rights and Wellbeing Impact Assessment on the Bill, click here For the final Equality Impact Assessment for the Bill, click here For the Briefing on the Bill produced by the Scottish Parliament Information Centre, click here The Bill is now awaiting the report of Lead Committee on the Bill, the Infrastructure and Capital Investment Committee. For the evidence submitted to that Committee by the Chartered Institute of Housing (Scotland), click here

Renting Homes (Wales) Bill
This is a Welsh Government Bill introduced in the Welsh Assembly. The Bill has completed all its Stages and has been passed by the Assembly. For the final version of the Bill, click here and scroll to ‘Stage 4’ The Revised Explanatory Memorandum is also accessible from that page. The Bill now awaits Royal Assent.

Housing (Amendment) Bill
This is a Bill introduced in the Assembly on 30 June 2015 by the Northern Ireland Executive. It would make provision for the better sharing of information relating to empty homes or to anti-social behaviour and provide for the registration of certain loans as statutory charges. For a copy of the Bill, click here For the explanatory memorandum (listed under ‘All associated documents and links’), click here  For a commentary on the Bill, click here The Bill has been referred to the Committee for Social Development which has responsibility for the Committee Stage of the Bill. For further details of that stage, click here . To read the evidence submitted to the Committee, click here The Bill passed its second stage on 9 November 2015. To read that debate, click here (the debate began at 1 pm). To follow progress of the Bill, click here The Committee on the Bill is due to report by 11 January 2016.

Houses in Multiple Occupation Bill
This is a Bill introduced in the Assembly on 7 September 2015 by the Northern Ireland Executive.  It would make provision for and in connection with the licensing of houses in multiple occupation in Northern Ireland. For a copy of the Bill, click here For the explanatory memorandum, click here  To follow the progress of the Bill, click here A Second Stage delate is being re0scheduled.

Homes (Fitness for Human Habitation) Bill
This is a Private Members Bill introduced by Karen Buck MP. It would amend the Landlord and Tenant Act 1985 to require that residential rented accommodation is provided and maintained in a state of fitness for human habitation. For a copy of the Bill, click here   It had its Second Reading on 16 October 2015 but was talked-out. It is again listed for a Second Reading on 29 January 2016. For details on the (unlikely) future progress of the Bill, click here For a lawyer’s commentary on its content, click here For the Shelter Blog on the Bill and its importance, click here For a commentary from Dr Stephen Battersby, click here For the House of Commons Library Briefing on the Bill, click here  For the MP’s own perspective on her Bill being talked-out, click here For the response of the MP who talked-out the Bill, click here

Local Government Finance (Tenure Information) Bill
This is a Private Member’s Bill introduced by Dame Angela Watkinson MP. It would amend the Local Government Finance Act 1992 to make provision for collecting information about tenure and the details of private landlords. For a copy of the Bill, click here
It had a First Reading on 24 June 2015 and its Second Reading has been re-scheduled for 22 January 2016. For details on the progress of the Bill, click here For the Briefing Paper prepared by the House of Commons Library, click here

Crown Tenancies Bill
This is a Private Members Bill introduced by Mark Pawsey MP. It would provide that Crown tenancies (mainly of properties owned by Government Departments) may be assured tenancies for the purposes of the Housing Act 1988, subject to certain exceptions, and would modify the assured tenancies regime in relation to certain Crown tenancies (including by provision of a new ground for possession).  It had a First Reading on 24 June 2015 and its Second Reading had been scheduled for 11 September 2015 but was objected-to and has now been put back to 22 January 2016. For a copy of the Bill, click here For the Explanatory Notes, click here  For details on the progress of the Bill, click here For the House of Commons Library Briefing note that has been prepared for the Second Reading, click here

NEW HOUSING CASES

Hurley v Secretary of State for Work & Pensions
26 November 2015
The claimant had been a tenant in Croydon. She was a lone parent with four children and reliant upon welfare benefits. They included a carer’s allowance she received for looking after her grandmother who lived in Southwark. Her total benefit exceeded the benefit cap and in April 2013 her housing benefit was reduced by £22pw to achieve the cap. After the birth of her fourth child (and an increase in tax credits), the shortfall in housing benefit increased to £88pw. In October 2014, she was evicted owing £3,676 rent. Croydon Council said that if she applied as homeless she would be placed in Birmingham. It refused an application for a DHP. The claimant and her children moved into a single room in her grandmother’s house. Southwark Council took the view that she was intentionally homeless and that it could not help with private rents as it had run out of DHP funds. On a judicial review, the High Court held that the benefit cap regulations had not been irrational in including carer’s allowance within the benefits cap but had been indirectly discriminatory. For the judgment, click here In response to the judgment, the DWP has issued a Housing Benefit Urgent Bulletin in which it indicates that: “We will consider this judgment and set-out our position in due course. We are continuing to apply the benefit cap as now, and there is no change to applying the cap to carers.” For a copy of the Bulletin, click here  For the EHRC press release on the judgment, click here

Basildon Borough Council v James
26 November 2015
As part of an estate redevelopment programme, the council proposed to rename streets on an estate, using its powers under Public Health Act 1925 section 18. The council decided that 553 properties would each have a new house number, street name and postcode. Three residents appealed to the magistrates’ court. The appeal was allowed. The council appealed to the High Court. It remitted the appeal for reconsideration after giving guidance on the correct legal test to be applied on a ‘street name’ appeal. For the judgment, click here

Dickinson v UK Acorn Finance Ltd
25 November 2015
The claimants had taken a loan secured by way of mortgage but failed to make repayments. In October 2011 the lender obtained a possession order. An application to set aside the order (based on a sub-charge) failed. An appeal from that order was dismissed. A warrant was issued for execution on 1 November 2013. Two days before execution, the claimant brought a claim alleging that the mortgage was unenforceable under the terms of the Financial Services & Markets Act 2000 section 26. The claim was struck-out as an abuse of process. A first appeal was dismissed. The Court of Appeal dismissed a second appeal. The wording of the Act showed that unenforceability depended on the borrowers' election and was conditional on the return of any money lent. The borrowers had not taken the point in any defence of the possession claim and were in no position to return the monies borrowed. For the judgment, click here

Bristol City Council v Desmond Francis
25 November 2015
In April 2013, the council declared a licensing scheme for private rented properties within part of its district. The defendant was a private landlord of a rented property in that area. He failed to comply with notices requesting him to provide documents and information to the council and he failed to obtain the appropriate licence for his property. At Bristol Magistrates’ Court, he was convicted for offences under the Housing Act 2004 and the Local Government (Miscellaneous Provisions) Act 1976 and was ordered to pay more than £4,100 in fines and costs. For details of the prosecution, click here

Bokrosova v London Borough of Lambeth
24 November 2015
The council began a public consultation over plans to redevelop its Cressingham Gardens estate. It set up sub-groups to consider options and test opinion. Five options were consulted-upon (options 1 to 3 concerned refurbishment and options 4 and 5 were about partial and full demolition). In March 2015, before the sub-groups’ reports had been presented, options 1- 3 were abandoned.  The High Court allowed a claim for judicial review and held that the decision to remove options 1, 2 and 3 from the consultation had been unlawful. For the judgment, click here  For comment on the decision, click here

Welwyn Hatfield Council v Adeyemi Fasogbon
23 November 2015
The defendant was a private landlord of a house in multiple occupation (HMO). Inspections by council officers revealed failure to check fire safety equipment, failure to maintain fire alarms and not ensuring all communal areas of the property were in good and clean decorative repair. At Watford Magistrates’ Court, the defendant pleaded guilty to breaches of the Management of Houses in Multiple Occupation Regulations 2006. He was sentenced to £2,000 on each of 6 charges. He was also ordered to pay £10,000 costs and £120 surcharge (making a total of £22,120). For the council’s account of the prosecution, click here    For a legal note, click here

Boston Borough Council v Dr Kola Akindele and Vanessa Akindele
20 November 2015
The defendants were a married couple and landlords. They owned an HMO which was let without a licence. Inspection by council officers led to 26 charges ranging from failure to hold a licence to non-compliance with Houses in Multiple Occupation regulations. At Skegness Magistrates' Court, the defendants pleaded not guilty to all charges but were convicted after a trial. They were both fined £3,250 on each of two charges of running an unlicensed HMO and each fined £500 for not having an adequate fire detection system installed at the house. There was no separate penalty for the other offences. They were also ordered to pay £12,702 costs and £120 victim surcharge. For details of the prosecution, click here

Southern Pacific Mortgages v Green
19 November 2015
A mortgage lender sought possession for default on mortgage repayments. The borrower asserted that the bringing of the claim and an earlier policy of refusing applications to switch from repayment to interest-only mortgages amounted to discrimination against her on account of her disability or a failure to make reasonable adjustments. She counterclaimed for damages for discrimination and invoked her Article 8 right to respect for her home. The judge at Bristol County Court found no discrimination, dismissed the counterclaim and made a possession order. However, time to appeal was extended to 28 days after the Supreme Court gives judgment in McDonald v McDonald (on whether Article 8 can be deployed in defence of a possession claim not made by a public authority), conditional on the defendant maintaining mortgage instalments in the interim. For the judgment, click here

Worthing Borough Council v Kaher Zaman
17 November 2015
The defendant was a private landlord. In March 2014, council officers found that a flat he owned, and had registered as empty for council tax purposes, was being used by at least four people. There were no cooking or drinking water facilities within the flat and the rooms were overcrowded. There were also inadequate means of escape, in the case of fire. Due to the high risk to the safety of the occupants, a Prohibition Order was served in July 2014 under the Housing Act 2004 which prevented the flat from being used. In September 2014, officers found that there were still people using the flat and that no improvements had been carried out to make the property safe or to allow the Order to be lifted. At Worthing Magistrates’ Court, the defendant pleaded guilty to breaching the Order.  He was fined £3,334 with costs of £1,260, a surcharge of £120 and a criminal court charge of £150 (total amount payable of £4,864). For details of the prosecution, click here

Ojo & Ojo v London Borough of Hackney
4 November 2015
The claimants held the lease of a former council flat in a council block. They suffered from a mouse infestation. The mice travelled through the block and gained access to the flat through vertical ducts which passed through the kitchen and bathroom, and which contained various drains and pipes from more than one property. The ducts were owned by the council freeholder. From 2007, the council had carried out block treatment works, putting down poison, but that had failed to eradicate the nuisance. The court was satisfied that the council had adopted the nuisance by ineffectively treating it. Damages were assessed at £2,500 per annum, reduced by 50% to reflect the fact that the claimants themselves failed to carry out any internal proofing against entry by the mice until 2013/2014. For a fuller note, click here

Conwy Council v Mark Thorogood
7 October 2015
The defendant is a private landlord with a portfolio of rented properties in Wales. Earlier this year, he was convicted of failing to license some of his properties as HMOs (see HLW, 2 September 2015).  The council applied for a Rent Repayment Order to reclaim money paid by tenants in housing benefit. The application related to six properties in Llandudno and amounted to almost £48,000.The Residential Property Tribunal for Wales was satisfied that the council had complied with the legal conditions for an order. The defendant has until 12 February 2016 to pay the money. For more details, click here

HOUSING LAW CONSULTATIONS   

Houses in Multiple Occupation
On 6 November 2015, the UK Government published a technical discussion paper setting out options for extending the scope of mandatory licensing of Houses in Multiple Occupation (HMOs) in England. It also sets out our proposals to streamline the HMO licensing process. The closing date for comments is 18 December 2015. For a copy of the consultation paper, click here For the on-line response form, click here

Private renting in Northern Ireland
On 12 November 2015, the Assembly Government published a discussion document on proposals to review the regulation of the private rented sector in Northern Ireland. For a copy of the document, click here For the questionnaire, click here  Responses are sought by 5 February 2016. To make an on-line response, click here For information about public meetings being held as part of the consultation process, click here

NEW HOUSING LAW ARTICLES & PUBLICATIONS

Recent Developments in Housing Law Jan Luba QC & Nic Madge [2015] November issue of Legal Action magazine. Available in print and on-line for Legal Action subscribers. To read the article on-line, click here For back-issues of this series of articles, click here

Spending Review – further clarity on plans to limit rents in the social rented sector to Local Housing Allowance rates Paul Anderson [2015] Homeless Link Blog, 27 November. To read the article, click here

Court call centres fuelling possession delays Paul Shamplina [2015] Property 118 Blog, 27 November. To read the article, click here

‘Pay to stay’ will discourage people from increasing earnings or finding work, housing professionals fear [2015] CIH Blog 30 November. To read the article, click here

Can we afford to lose local authority housing?  Dr H White and Professor Loretta Lees[2015] Cambridge House Blog, 27 November. To read the article, click here

Reclassifying housing associations as public sector bodies Julie Cowan-Clark and Jonathan Turner [2015] Local Government Lawyer, 15 November. To read the article, click here

Osborne slipped social housing's obituary into the autumn statement Dawn Foster [2015] Guardian Housing Network 27 November. To read the article, click here 

George Osborne, get your beady eye off the housing benefit budget Dawn Foster [2015] Guardian Housing Network 20 November. To read the article, click here 

THE HOUSING LAW DIARY

2 December 2015          
Lords Committee Stage of the Welfare Reform & Work Bill begins (see Housing laws in the pipeline above)

9 December 2015          
Housing Management Conference – for more details, click here

10 December 2015          
Deadline for submission of evidence on the Housing & Planning Bill (see Housing laws in the pipeline above)

18 December 2015          
Close of consultation on HMOs in England (see Housing Law Consultations above)

5 February 2016         
Close of consultation on the private rented sector in Northern Ireland (see Housing Law Consultations above)