Housing and Planning Bill (HC Bill 75)

Housing and Planning BillPage 20

45 Housing benefit: inclusion pending abolition

(1) In this Chapter a reference to universal credit or a relevant award of universal
credit includes housing benefit under Part 7 of the Social Security
Contributions and Benefits Act 1992.

(2) 5Where a local authority applies for a rent repayment order in relation to
housing benefit, a reference in this Chapter to “rent” includes any payment in
respect of which housing benefit may be paid.

46 Interpretation of Chapter

(1) In this Chapter—

  • 10“offence to which this Chapter applies” has the meaning given by section
    32;

  • “relevant award of universal credit” means an award of universal credit
    the calculation of which included an amount under section 11 of the
    Welfare Reform Act 2012;

  • 15“rent” includes any payment in respect of which an amount under section
    11 of the Welfare Reform Act 2012 may be included in the calculation of
    an award of universal credit;

  • “rent repayment order” has the meaning given by section 32.

(2) For the purposes of this Chapter an amount that a tenant does not pay as rent
20but which is offset against rent is to be treated as having been paid as rent.

CHAPTER 5 Interpretation of Part 2

47 Meaning of “letting agent” and related expressions

(1) In this Part “letting agent” means a person who engages in letting agency work
(whether or not that person engages in other work).

(2) 25But a person is not a letting agent for the purposes of this Part if the person
engages in letting agency work in the course of that person’s employment
under a contract of employment.

(3) In this Part “letting agency work” means things done by a person in the course
of a business in response to instructions received from—

(a) 30a person (“a prospective landlord”) seeking to find another person to
whom to let housing, or

(b) a person (“a prospective tenant”) seeking to find housing to rent.

(4)
But “letting agency work” does not include any of the following things when
done by a person who does nothing else within subsection (3)—

(a) 35publishing advertisements or disseminating information;

(b)
providing a means by which a prospective landlord or a prospective
tenant can, in response to an advertisement or dissemination of
information, make direct contact with a prospective tenant or a
prospective landlord;

(c)
40providing a means by which a prospective landlord and a prospective
tenant can communicate directly with each other.

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(5) In this Part “property management work”, in relation to a letting agent, means
things done by the agent in the course of a business in response to instructions
received from another person where—

(a) that person wishes the agent to arrange services, repairs, maintenance,
5improvements or insurance in respect of, or to deal with any other
aspect of the management of, premises on the person’s behalf, and

(b) the premises consist of housing let under a tenancy.

(6) In this Part—

  • “English letting agency work” means letting agency work that relates to
    10housing in England, and

  • “English property management work” means property management
    work that relates to housing in England.

48 General interpretation of Part

In this Part—

  • 15“banning order” has the meaning given by section 13;

  • “banning order offence” has the meaning given by section 13;

  • “database” means the database of rogue landlords and letting agents
    established under section 22;

  • “English letting agency work” has the meaning given by section 47;

  • 20“English property management work” has the meaning given by section
    47;

  • “housing” means a building, or part of a building, occupied or intended
    to be occupied as a dwelling or as more than one dwelling;

  • “letting”—

    (a)

    25includes the grant of a licence, but

    (b)

    except in Chapter 4, does not include the grant of a tenancy or
    licence for a term of more than 21 years,

    and “let” is to be read accordingly;

  • “letting agency work” has the meaning given by section 47;

  • 30“letting agent” has the meaning given by section 47;

  • “local housing authority” has the meaning given by section 1 of the
    Housing Act 1985;

  • “officer”, in relation to a body corporate, means—

    (a)

    any director, secretary or other similar officer of the body
    35corporate, or

    (b)

    any person who was purporting to act in any such capacity;

  • “property management work” has the meaning given by section 47;

  • “residential landlord” means a landlord of housing;

  • “tenancy”—

    (a)

    40includes a licence, but

    (b)

    except in Chapter 4, does not include a tenancy or licence for a
    term of more than 21 years.

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Part 3 Recovering abandoned premises in England

49 Recovering abandoned premises

A private landlord may give a tenant a notice bringing an assured shorthold
5tenancy to an end on the day on which the notice is given if—

(a) the tenancy relates to premises in England,

(b) the unpaid rent condition is met (see section 50),

(c) the landlord has given the warning notices required by section 51, and

(d) neither the tenant nor a named occupier has responded in writing to
10any of those notices before the date specified in the warning notices.

50 The unpaid rent condition

The unpaid rent condition is met if—

(a) rent is payable weekly or fortnightly and at least eight consecutive
weeks’ rent is unpaid,

(b) 15rent is payable monthly and at least two consecutive months’ rent is
unpaid,

(c) rent is payable quarterly and at least one quarter’s rent is more than
three months in arrears, or

(d) rent is payable yearly and at least three months’ rent is more than three
20months in arrears.

51 Warning notices

(1) Before bringing a tenancy to an end under section 49 the landlord must give
the tenant and any named occupier two warning notices, at different times, in
accordance with this section.

(2) 25Each warning notice must explain—

(a) that the landlord believes the premises to have been abandoned,

(b) that the tenant or a named occupier must respond in writing before a
specified date if the premises have not been abandoned, and

(c) that the landlord proposes to bring the tenancy to an end if neither the
30tenant nor a named occupier responds in writing before that date.

(3) The date specified under subsection (2)(b) must be after the end of the period
of 8 weeks beginning with the day on which the first warning notice is given to
the tenant.

(4) The first warning notice may be given even if the unpaid rent condition is not
35yet met.

(5) The second warning notice may be given only once the unpaid rent condition
has been met.

(6) The second warning notice must be given at least two weeks, and no more than
4 weeks, after the first warning notice.

(7) 40In this Part “named occupier” means a person named in the tenancy as a person
who may live at the premises to which the tenancy relates.

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52 Reinstatement

(1) Where a tenancy is brought to an end by a notice under section 49 the tenant
may apply to the county court for an order reinstating the tenancy if the tenant
has a good reason for having failed to respond to the warning notices.

(2) 5If the county court finds that the tenant had a good reason for failing to respond
to the warning notices it may make any order it thinks fit for the purpose of
reinstating the tenancy.

(3) An application under this section may not be made after the end of the period
of 6 months beginning with the day on which the notice under section 49 is
10given.

53 Methods for giving notices under sections 49 and 51

(1) A notice under section 49 or 51 may given by delivering it to the tenant or
named occupier in person.

(2) A notice under section 49 or 51 that is not delivered to the tenant or named
15occupier in person must be given by—

(a) leaving it at, or sending it to, the premises to which the tenancy relates,

(b) leaving it at, or sending it to, every other postal address in the United
Kingdom that the tenant or named occupier has given the landlord as
a contact address for giving notices, and

(c) 20sending it to every email address that the tenant or named occupier has
given the landlord as a contact address for giving notices.

54 Interpretation of Part

In this Part—

  • “assured shorthold tenancy” has the same meaning as in Part 1 of the
    25Housing Act 1988;

  • “named occupier” has the meaning given by section 51;

  • “private landlord” means a landlord who is not within section 80(1) of the
    Housing Act 1985 (the landlord condition for secure tenancies);

  • “warning notice” means a notice under section 51.

55 30Consequential amendment to Housing Act 1988

In section 5 of the Housing Act 1988 (security of tenure), in subsection (1)—

(a) omit “or” at end of paragraph (b);

(b) at the end of paragraph (c) insert or,

(d) in the case of an assured shorthold tenancy, serving a
35notice in accordance with section 49 of the Housing and
Planning Act 2015,”.

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Part 4 Social housing in England

CHAPTER 1 Implementing the right to buy on a voluntary basis

Funding of discounts offered to tenants

56 5Grants by Secretary of State

(1) The Secretary of State may make grants to private registered providers in respect of
right to buy discounts.

(2) A grant under this section may be made on any terms and conditions the
Secretary of State considers appropriate.

(3) 10See also section 47 of the Housing and Regeneration Act 2008 (which would
allow the Secretary of State to direct the Homes and Communities Agency to
use its powers to make grants of the kind mentioned above).

57 Grants by Greater London Authority

(1) The Greater London Authority may make grants to private registered providers in
15respect of right to buy discounts for dwellings in London.

(2) A grant under this section may be made on any terms and conditions the
Greater London Authority considers appropriate.

Monitoring compliance

58 Monitoring

(1) 20The Regulator of Social Housing must, if requested to do so by the Secretary of
State, monitor compliance with the home ownership criteria.

(2) “The home ownership criteria” means criteria, specified in the request, that
relate to the sale of dwellings by private registered providers to tenants
otherwise than in exercise of a right conferred by an Act.

(3) 25The criteria may be expressed by reference to other documents.

(4) On making a request under subsection (1) the Secretary of State must publish
the home ownership criteria specified in the request.

(5) The Regulator must provide such reports or other information as the Secretary
of State may request about compliance with the home ownership criteria.

(6) 30The Secretary of State may publish information about a private registered
provider that has not met the home ownership criteria.

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Amendments to other legislation

59 Disposal consents

(1) In section 133 of the Housing Act 1988 (consent required for certain subsequent
disposals), after subsection (2A) insert—

(2B) 5Consent may be expressed by reference to other documents.”

(2) In section 174 of the Housing and Regeneration Act 2008 (general provision
about disposal consents), in subsection (3), insert—

(3A) Consent may be expressed by reference to other documents.”

60 Consequential changes to HCA’s duty to give grants

(1) 10Section 35 of the Housing and Regeneration Act 2008 (duty to give financial
assistance in respect of certain disposals) is amended as follows.

(2) For subsection (1) substitute—

(1) The HCA must exercise its powers under section 19 to give financial
assistance by way of grant to a relevant provider of social housing in
15respect of any discount given by the provider by virtue of a person
exercising the right to acquire conferred by section 180.”

(3) Omit subsection (2).

(4) In subsection (3), for “(1)(b)” substitute (1).

(5) In subsection (5), omit paragraph (b).

20Interpretation

61 Interpretation of Chapter

In this Chapter—

  • “dwelling” has the meaning given by section 275 of the Housing and
    Regeneration Act 2008;

  • 25“private registered provider” means a private registered provider of
    social housing;

  • “right to buy discount” means a discount given to a tenant of a dwelling
    on the disposal of the dwelling to the tenant otherwise than in the
    exercise of a right conferred by an Act.

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CHAPTER 2 Vacant high value local authority housing

Payments to Secretary of State by Local Housing Authorities

62 Payments to Secretary of State

(1) The Secretary of State may make a determination requiring a local housing
5authority in England to make a payment to the Secretary of State in respect of
a financial year.

(2) The amount of the payment must represent an estimate of —

(a) the market value of the authority’s interest in any high value housing
that is likely to become vacant during the year, less

(b) 10any costs or other deductions of a kind described in the determination.

(3) For the housing to be taken into account, see section 63.

(4) A determination may only be made in respect of a local housing authority that
keeps a Housing Revenue Account.

(5) A determination must set out the method for calculating the amount of the
15payment.

(6) A determination may, in particular, provide for all or part of the amount to be
calculated using a formula.

(7) A determination may provide for assumptions to be made in making a
calculation whether or not those assumptions are, or are likely to be, borne out
20by events.

(8) The Secretary of State must by regulations define “high value” for the purposes
of this Chapter.

(9) Regulations under subsection (8) may define “high value” in different ways for
different areas.

63 25Housing to be taken into account

(1) This section is about the housing to be taken into account under section 62(2).

(2) Housing is to be taken into account only if—

(a) it appears in the list in section 74(1) of the Local Government and
Housing Act 1989 (Housing Revenue Account), and

(b) 30it is not excluded by regulations made by the Secretary of State.

(3) Where a local housing authority disposes of housing under section 32 or 43 of
the Housing Act 1985 to a private registered provider of social housing the
Secretary of State may for the purposes of this Chapter—

(a) treat the local housing authority as still having that housing, and

(b) 35treat the housing as being likely to become vacant whenever it would
have been likely to become vacant if it had not been disposed of.

(4) A determination under section 62 must identify any housing that the Secretary
of State has taken into account under subsection (3).

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64 Procedure for determinations

(1) Before making a determination under section 62 that relates to all local housing
authorities or a description of local housing authority the Secretary of State
must consult such representatives of local government and relevant
5professional bodies as the Secretary of State thinks appropriate.

(2) Before making a determination under section 62 that relates to a particular
local housing authority, the Secretary of State must consult that local housing
authority.

(3) As soon as possible after making a determination under section 62 the
10Secretary of State must send a copy of it to each local housing authority to
which it relates.

(4) Section 87(4) to (7) of the Local Government and Housing Act 1989 (electronic
communications) applies to a determination under this Chapter as it applies to
a determination under Part 6 of that Act.

(5) 15A consultation requirement imposed by this section may be satisfied by
consultation carried out before this Act was passed.

65 More about determinations

(1) A determination under section 62 must be made before the financial year to
which it relates.

(2) 20But the determination may be varied or revoked by a subsequent
determination under that section made before, after or during the financial
year to which it relates.

(3) A determination under section 62 may relate to one financial year or to more
than one financial year.

(4) 25A determination under section 62 may make provision about how and when a
payment is to be made including, in particular, provision for payments by
instalment.

(5) A determination under section 62 may provide for interest to be charged in the
event of late payment.

(6) 30A determination under section 62—

(a) may make different provision for different areas;

(b) may make different provision for different local housing authorities;

(c) may otherwise make different provision for different purposes.

66 Determinations in the first year that section 62 comes into force

35If section 62 comes into force part way through a financial year, then, in relation
to that financial year—

(a) a determination under section 62 may be made at any time (despite
section 65(1)), but

(b) any reference in section 62 to housing becoming vacant during a
40financial year is to be read as limited to housing becoming vacant after
the determination is made (or, in a case where it is varied in accordance
with section 65(2), housing becoming vacant after the original
determination in relation to that financial year is made).

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67 Reduction of payment by agreement

(1) The Secretary of State and a local housing authority may enter into an
agreement to reduce the amount that the authority is required to pay because
of a determination under this Chapter.

(2) 5The agreement must include terms and conditions requiring the local housing
authority to use the amount by which the payment is reduced for the provision
of housing or for things that facilitate the provision of housing.

(3) The agreement may include other terms and conditions.

68 Set off against repayments under section 62

10Where the Secretary of State is liable to repay an amount that has been
overpaid by a local housing authority under section 62, the Secretary of State
may set off against the amount of the repayment any amount that the authority
is liable to pay the Secretary of State under—

(a) section 62, or

(b) 15section 11 of the Local Government Act 2003.

Duty to consider selling

69 Duty to consider selling vacant high value housing

(1) A local housing authority in England that keeps a Housing Revenue Account
must consider selling its interest in any high value housing that has become
20vacant.

(2) The duty in subsection (1) applies only in relation to housing that appears in
the list in section 74(1) of the Local Government and Housing Act 1989
(Housing Revenue Account).

(3) The Secretary of State may by regulations exclude housing from the duty in
25subsection (1).

(4) In discharging its duty under subsection (1) a local housing authority must
have regard to any guidance given by the Secretary of State.

Amendments and interpretation

70 Local authority disposal of housing: consent requirements

(1) 30The Housing Act 1985 is amended as follows.

(2) In section 34(4A) (consents to disposals and conditions), after paragraph (ca)
(but before the “and”) insert—

(cb) any reduction in the amount that the local authority may be
required to pay under section 62 of the Housing and Planning
35Act 2015 (payments to Secretary of State in respect of vacant
high value housing in England) as a result of the disposal;”.

(3) In section 43(4A) (consents to disposals and conditions), after paragraph (ca)
(but before the “and”) insert—

(cb) any reduction in the amount that the local authority may be
40required to pay under section 62 of the Housing and Planning

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Act 2015 (payments to Secretary of State in respect of vacant
high value housing in England) as a result of the disposal;”.

71 Set off under section 11 of Local Government Act 2003

In section 11 of the Local Government Act 2003 (use of capital receipts), for
5subsection (5) substitute—

(5) Where the Secretary of State is liable to repay an amount that has been
overpaid by a local housing authority under this section, the Secretary
of State may set off against the amount of the repayment any amount
that the authority is liable to pay the Secretary of State under—

(a) 10this section, or

(b) section 62 of the Housing and Planning Act 2015 (payments in
respect of vacant high value housing).”

72 Interpretation of Chapter

(1) In this Chapter—

  • 15“becomes vacant”: housing in which a local housing authority has an
    interest “becomes vacant” when a tenancy granted by the authority
    comes to an end and is not renewed expressly or by operation of law
    (but see subsection (2));

  • “financial year” means a period of 12 months beginning with 1 April;

  • 20“high value” has the meaning given by regulations under section 62;

  • “housing” means a building, or part of a building which is occupied or
    intended to be occupied as a dwelling or as more than one dwelling;

  • “Housing Revenue Account” has the meaning given by section 74 of the
    Local Government and Housing Act 1989;

  • 25“interest” means a freehold or leasehold interest;

  • “local housing authority” has the meaning given by section 1 of the
    Housing Act 1985;

  • “tenancy” includes a licence to occupy.

(2) The Secretary of State may by regulations specify circumstances in which
30housing is to be treated as not having become vacant for the purposes of this
Part even if it otherwise would be.

CHAPTER 3 Reducing regulation

73 Reducing social housing regulation

The Secretary of State may by regulations amend Part 2 of the Housing and
35Regeneration Act 2008 for the purpose of reducing regulatory control over
private registered providers of social housing or their affairs.