31st January 2018
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HOUSING LAW NEWS & POLICY ISSUES
 

Rough Sleeping: Latest Figures
The Ministry of Housing, Communities & Local Government has published the latest official statistics for rough sleepers Rough Sleeping Statistics Autumn 2017, England.  These indicate that the autumn 2017 total number of rough sleepers counted and estimated was 4,751 (a 15% increase in last year’s figure for the same period), in London the number of rough sleepers increased by 18% London and by 14% in the rest of England since autumn 2016. London represents 24% of the total rough sleepers in England (a 1% increase on last year). 14% of rough sleepers were women, 20% were non-UK nationals and 8% were under 25 years old. The statistics report is available here. For related media coverage and comment click here and here and here. For a response from the Chartered Institute of Housing click here.

English Housing Survey Published
On 25 January 2018 the Ministry of Housing, Communities and Local Government published the English Housing Survey 2016 to 2017: headline report,  a national survey of people's housing circumstances and the condition and energy efficiency of housing in England. In 2016-17, 7% of households in the social rented sector (268,000) and 5% of households in the private rented sector (231,000) were living in overcrowded accommodation. 1% of owner occupied households (183,000 households) were overcrowded. One of the findings is that the proportion of under-occupied households in the rented sector decreased over the period 2016/17 to 15% (from 17% in 1996/97) and that under-occupation by social renters decreased from 12% to 8% (the lowest it has been for 20 years. The number and proportion of under-occupied households in the owner occupied sector increased between 1996-97 and 2016-17 from 39% (5.4 million households) to 51% (7.3 million households). For the report and associated tables click here. For an article by Alex McCallum in the Shelter Policy Blog click here. For an article by Melanie Rees, Head of Policy at the Chartered Institute of Housing click here.

The Financial Conduct Authority (“FCA”) publishes thematic review
The FCA has published The fair treatment of existing interest-only mortgage customers. It is reported that nearly one in five mortgage customers have an interest-only mortgage and the FCA is concerned that shortfalls in repayment plans could lead to people losing their homes. The review covered ten mortgage lenders who represent around 60% of the interest-only residential mortgage market and considered how lenders are treating these customers to help ensure that their mortgages are repaid at maturity. For the Review click here. For the FCA press release click here. For media comment click here.

Problem debt and low-income households
The Institute for Fiscal Studies has published a report on Problem Debt and low income households written by Andrew Hood, Robert Joyce and David Sturrock. For the report click here. For a response on behalf of the Joseph Rowntree Foundation click here.

Grenfell Tower
On 25 January 2018 a joint letter was published from Sajid Javid The Secretary of State for Housing, Communities & Local Government (“MHCLG”) and the Minister for Grenfell victims, Nick Hurd to residents following the Grenfell Tower fire. The letter refers to Dame Judith Hackitt’s interim report on building regulations and confirms that “The report makes a number of key observations and recommendations but fundamentally she believes the current regulatory system for ensuring fire safety in relation to high-rise and complex buildings is not fit for purpose and needs to change that.”  The letter goes on to confirm that the Government fully supports the recommendations made in Dame Judith’s interim report. For a copy of the letter click here. For the MHCLG web page containing Guidance, letters and other Information relating to Grenfell Tower click here.

Fire Safety in Housing Executive Tower Blocks Report (Northern Ireland)
The Independent Reference Group established by Professor Peter  Roberts, Interim Chair of the Northern Ireland Housing Executive and chaired by Professor Alastair Adaire has published its Report on fire safety in Housing Executive tower blocks. For the report click here. For BBC coverage click here.

Implications of DWP’s decision not to appeal Personal Independence Payments judgment
Following on from the announcement by Esther McVey, Minister for the Department for Work and Pensions that there will not be an appeal against the Court judgment which found that changes to Personal Independence Payments were unfair to people with mental health conditions, the DWP has announced that it will be reviewing claims for all recipients of PIP – an estimated 1.6 million claims. For an article outlining the background to the dispute and the implications of the announcements click here.

Over 2000 New Homes for Scotland
Barratt Developments is reported to have committed to building 2.280 new homes in Scotland this year. For the report in Scottish Housing News click here

Latest Statistics on Help to Buy - Wales: Shared Equity Loan Scheme
On 25 January 2018 The Welsh Government has published data which indicates that between 1st October and 31st December 2017, 658 property purchases were completed using a Welsh Government shared equity loan and that at the end of last year 624 applications for loans were still outstanding. Between 1 October and 31 December 2017, the total value of these equity loans was £24.7 million. The value of the properties purchased totalled £124.3 million. The mean purchase price of a property bought using the scheme during the quarter was £188,910, with a mean equity loan value of £37,493. The majority of homes purchased through the scheme between 1 October and 31 December 2017 were to first time buyers, accounting for 72 % of all completions. For the data click here.

HOUSING LAWS IN THE PIPELINE
 

Local Housing Authority Debt Bill
This Bill, which had its first reading in the House of Lords on 4 July 2017, seeks to replace the current regime of limits on local housing authorities’ debt with limits determined by the existing prudential regime for local authority borrowing for non-housing-related purposes. The second reading is yet to be scheduled. For the Bill as introduced, click here To follow progress of the Bill, click here

Abolition of the Right to Buy and Associated Rights (Wales) Bill
This Bill seeks to abolish the right of eligible secure tenants to buy their home at a discount under Part 5 of the Housing Act 1985 (Right to Buy); abolish the preserved right of eligible former secure tenants to buy their home at a discount under section 171A of the Housing Act 1985 (Preserved Right to Buy); abolish the right of eligible assured or secure tenants of a registered social landlord or private registered provider to acquire their home at a discount under section 16 of the Housing Act 1996 (Right to Acquire); and encourage social landlords to build or acquire new homes for rent, the Right to Buy, Preserved Right to Buy and Right to Acquire will not be exercisable by tenants who move into new social housing stock more than two months after the Bill receives Royal Assent, subject to certain exceptions. Stage 4 was completed on 5 December 2017. Letters patent for the Bill have been submitted to Her Majesty The Queen for Royal Assent. For progress of the Bill (including the committees’ scrutiny), the text of the Bill itself and explanatory memorandum, together with proceedings and reports of the various committees, click here and scroll down.

Homes (Fitness for Human Habitation and Liability for Housing Standards) Bill
This is a Private Member’s Bill introduced in the House of Commons by Karen Buck. The Bill aims to 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; to amend the Building Act 1984 to make provision about the liability for works on residential accommodation that do not comply with Building Regulations; and for connected purposes. The Bill received its second reading on 19 January 2018. It will begin its Committee stage on a date to be announced. On 14 January 2018 the government confirmed that it would support the Bill. For the Bill as introduced, click here For a House of Commons Library research briefing, click here To follow progress of the Bill, click here

Homeless People (Current Accounts) Bill
This is a Private Member’s Bill introduced in the House of Commons by Peter Bone. The Bill is intended to require banks to provide current accounts for homeless people seeking work; and for connected purposes. The Bill is being prepared for publication. The Bill received its first reading on 5 September 2017. The second reading is due to take place on 1 February 2019. To follow progress of the Bill, click here

Housing (Amendment) Scotland Bill
This Scottish government Bill aims to amend the law on the regulation of social landlords and to reduce the influence of local authorities over registered social landlords. It was introduced on 4 September 2017 and is at Stage 1 which is due to be completed by 30 March 2018. For the Bill as introduced, click here For a research briefing on the Bill, click here To follow progress of the Bill, click here

Sublet Property (Offences) Bill
This is a Private Member’s Bill introduced in the House of Commons by Christopher Chope. It is intended to make the breach of certain rules relating to sub-letting rented accommodation a criminal offence; to make provision for criminal sanctions in respect of unauthorised sub-letting; and for connected purposes. The Bill is being prepared for publication. The Bill received its first reading on 5 September 2017. The second reading has been postponed and is now due to take place on 6 July 2018. To follow progress of the Bill, click here

Mobile Homes and Park Homes Bill
This is a Private Member’s Bill introduced in the House of Commons, also by Christopher Chope. It is intended to require the use of published criteria to determine whether mobile homes and park homes are liable for council tax or non-domestic rates; to make provision in relation to the residential status of such homes; to amend the Mobile Home Acts; and for connected purposes. The Bill is being prepared for publication. The Bill received its first reading on 5 September 2017. The second reading has been postponed and is due to take place on 6 July 2018. To follow progress of the Bill, click here

Affordable Home Ownership Bill
This Bill was introduced to Parliament on Tuesday 24 October 2017, also by Christopher Chope, under the Ten Minute Rule and is a Private Member’s Bill. It was said by him to make provision for affordable home ownership; to require the inclusion of rent to buy homes in the definition of affordable housing; to make provision for a minimum proportion of new affordable housing to be available on affordable rent to buy terms; to provide relief from stamp duty when an affordable rent to buy home is purchased; and for connected purposes. The Bill itself has not yet been published. Its second reading has been postponed to 16 March 2018. To follow progress of the Bill, click here

Creditworthiness Assessment Bill
This Private Member’s Bill was introduced by Lord Buck and had its second reading in the House of Lords on 24 November 2017. The Bill would require certain matters (including rental payment history) to be taken into account when assessing a borrower’s creditworthiness. For the Bill as introduced, click here The Bill will have its Committee stage on a date to be announced. For progress of the Bill, click here

Regulation of Registered Social Landlords (Wales) Bill
The purpose of this Bill is to amend or remove those powers which are deemed by the Office for National Statistics (ONS) to demonstrate central and local government control over Registered Social Landlords (RSLs). These changes will enable the ONS to consider reclassifying RSLs as private sector organisations for the purpose of national accounts and other ONS economic statistics. The Bill is at Stage 1. It has been considered by the Constitutional and Legislative Affairs Committee and the Finance Committee. It is also being considered by the Bill’s Sub-committee. For progress on the Bill, click here and scroll down.

Secure Tenancies (Victims of Domestic Abuse) Bill
This government Bill seeks to make provision about the granting of old-style secure tenancies in cases of domestic abuse. First reading took place on 19 December 2017. Second reading took place on 9 January 2018 when a wide-ranging discussion took place on issues including the impact of domestic abuse and housing insecurity. The committee stage took place on 24 January 2018. For the Bill as introduced, click here For a note of impacts, click here For a House of Lords Library Briefing prepared in advance of the second reading, click here To follow progress of the Bill, click here

Private Landlords (Registration) Bill
This Bill was introduced to Parliament on 17 January 2018 under the Ten Minute Rule. The Bill seeks to require all private landlords in England to be registered. It is due to receive a second reading on 27 April 2018. The Bill is being prepared for publication. To read the debate on introduction of the Bill, click here To follow progress of the Bill, click here

NEW HOUSING CASES
 

Teign Housing v Lane [2018] EWHC 40 (QBD District Registry) (Bristol)
The landlord, a social housing provider, appealed against the county court’s decision to dismiss its claim for possession of a flat occupied by Mr Lane, a vulnerable disabled tenant.

Background
Mr. Lane moved into a ground floor flat owned by Teign Housing in August 2016. Prior to moving into the flat he had met with his landlord to discuss various adjustments, including fencing off a garden area for his two dogs. He subsequently carried out various alterations to his kitchen and the gas flue under the genuine belief that he had been granted permission to do so. Mr Lane also installed CCTV cameras outside his flat. Other tenants (also vulnerable) made complaints about Mr Lane and a notice seeking possession was served in October 2016 for breaches of the tenancy agreement under s.7(1) of the Housing Act 1988.

A single joint expert had reported that Mr Lane had a paranoid personality disorder. He was disabled, within the meaning of the Equality Act 2010. At the trial of the possession claim (Truro County Court, June 2017) HHJ Carr found that due to the tenant’s honest belief that he had permission to carry out the works, they were not “relevant breaches” of the tenancy agreement. Furthermore, the dog fouling and the tenant’s “aggressive, threatening and intimidating behaviour” were not relevant breaches. He concluded that although there were limited breaches, it wouldn’t be “reasonable, proportionate or fair” to order possession. The Equality Act 2010 was not addressed but the Judge said that he would have concluded that a possession order would have amounted to disability discrimination.

An appeal was allowed. The primary submission was that the Judge’s concept of a “relevant breach” had no legal meaning.

The Law
Belief that actions were authorised was a not a defence to a claim for a breach of the tenancy agreement clause preventing alterations without written permission (Kensington and Chelsea RLBC v Simmonds [1996] 3 FCR 246). A breach of that clause would be a ground for possession under Sch.2 Pt.2 ground 12 of the 1988 Act.

On the question of reasonableness and the making of a possession order, the effects of nuisance on neighbours must be addressed by the court (section 7(4) and 9A of the 1988 Act) together with whether an order should be suspended (section 9(2) of the 1988 Act).

Section 15 of the Equality Act 2010 prohibited discrimination arising from disability, which applied, by section 35, to the management of premises including by eviction. Section 136 made provision for the burden of proof.

Decision
Mr Justice Dingemans allowed the appeal. The trial judge had incorrectly introduced the concept of “relevant breach” when considering whether the tenant’s alleged breaches of the tenancy agreement amounted to grounds for a possession order under s.7(1) of the 1988 Act. The judge had also failed to make sufficient findings of fact on the other alleged breaches. However, as there were also important factors militating against possession, the landlord’s possession claim was remitted for retrial.

Summary by Naveen Agnihotri, barrister, Arden Chambers.

For the full judgment click here.

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HOUSING LAW CONSULTATIONS
 

Possible changes to costs in leasehold cases and residential property cases
On 9 November 2017 the Tribunal Procedure Committee published a consultation seeking views as to the Tribunal Procedure (First-tier Tribunal) (Property Chamber) Rules 2013 and the Tribunal Procedure (Upper Tribunal) (Lands Chamber) Rules 2010 in relation to the question of placing a cap or caps on costs recoverable under the costs provisions in leasehold and residential property cases. The consultation closes on 1 February 2018. For the consultation document, click here

Park homes legislation
The Mobile Homes Act 2013 made significant changes to the law on park homes. The government gave a commitment to review this in 2017. The review is in the form of a two-part call for evidence.
Part 1 was published on 12 April 2017 and called for evidence on fairness of charges, the transparency of site ownership and on experience of harassment. A summary of responses to Part 1 has been published. On 28 November 2017 the DCLG issued a further call for evidence on: how effective local authority licensing has been; how well the procedures for selling mobile homes, making site rules and pitch fee reviews are working; whether “fit and proper” controls need to be applied in the sector; and the appropriate index (CPI or RPI) to be used when carrying out a pitch fee review. The DCLG is also seeking views on the Park Homes Working Group’s recommendations on how local authorities can be assisted further in their licensing functions. The consultation closes on 16 February 2018. For the consultation document, click here

Rent a room relief
Rent a room relief was first introduced in 1992 to incentivise individuals to make spare capacity in their homes available for rent. The government intended this to increase the quantity and variety of low-cost rented housing. In the last 25 years the housing market has changed significantly: there has been an overall growth in the number of people living in the private rented sector, whilst the emergence and growth of peer to peer online marketplaces and digital platforms has made it easier to advertise rooms, putting those with spare accommodation in touch with a global network of potential lodgers. Given the pace and scale of change in the sector, the government wants to explore whether the design of rent a room relief provides the right incentives for the rental market as it exists today. The government is calling for evidence by 23 February 2018. For the consultation document, click here

Draft Order extending coverage of the Freedom of Information (Scotland) Act 2002 to Registered Social Landlords
Following previous consultation on extending coverage of the Freedom of Information (Scotland) Act 2002 (FOISA) to Registered Social Landlords (RSLs) the Scottish Government is now consulting on the terms of a draft order. The draft order proposes to designate RSLs (and RSL subsidiaries) in so far as they undertake functions for which they are already subject to regulation and oversight by the Scottish Housing Regulator. Views are sought on the terms of the order designating RSLs as public authorities for the purposes of FOISA. The consultation will close on 7 March 2018. For the consultation document, click here To respond to the consultation, click here

Domestic Private Rented Sector minimum level of energy efficiency
The government is seeking views on its proposal to amend the domestic Minimum Level of Energy Efficiency Regulations to introduce a capped landlord financial contribution element. This proposal is designed to ‘future-proof’ the regulations and make them as effective as possible, while protecting landlords against excessive cost burdens. With a cost-cap, domestic landlords would only need to see investment in improvements to an EPC F or G rated property up to the value of that cap. The government’s preferred cap level is £2,500 per property. A range of additional, alternative, cap options are set out in the consultation and the associated consultation impact assessment. The consultation is intended for all interested parties including landlords and tenants, local government, energy suppliers, energy assessors, small and large businesses, consumers, and the general public. The consultation will close on 13 March 2018. For the consultation documents, click here

Renting Homes (Wales) Act 2016 – Regulations relating to safeguarding property in abandoned dwellings
The purpose of the regulations is to ensure a contract holder’s personal property is dealt with appropriately by a landlord. The Welsh Government is consulting on: the content of the regulations, including the specific requirements to be placed on landlords; the draft guidance on the regulations; and the draft guidance on section 220 of the Renting Homes (Wales) Act 2016 (abandonment). The consultation closes on 6 April 2018. For the consultation document, click here For details of how to respond, click here

HOUSING LAW ARTICLES & PUBLICATIONS
 

Morning Briefing: focus on rough sleeping, by Carl Brown, Inside Housing 30 January 2018 click here (to read this article you will need to log-in/register)

Lease Extensions – The Theory of Relativity Devonshires Solicitors LLP News 26 January 2018. To read the article click here

Ending rough sleeping: putting our members at the heart of the solution by Rick Henderson, homeless link blog, 25 January 2018. To read the article click here

Tenants gain new powers to combat rogue landlords by Stuart Spear, Environmental Health News, 25 January 2018. To read the article click here.

The shameful spectre of UK homelessness can be fixed, Paul Noblett, Guardian Housing Network 29 January 2018. To read the article click here.

Judge rejects challenge to decision that 9-year-old was not a “child in need” Local Government Lawyer 25 January 2018. To read the article click here.

HOUSING LAW DIARY
 

1 February 2018                       
Consultation closes on possible changes to costs in leasehold cases and residential property cases (see Housing Law Consultations)

1 February 2018                       
Second reading of Homeless People (Current Accounts) Bill (see Housing Laws in the Pipeline)

16 February 2018                     
Consultation closes on park homes legislation (see Housing Law Consultations)

23 February 2018                     
Consultation closes on rent a room relief (see Housing Law Consultations)

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