(1-7)

House of Commons

Session 2002 - 03
Internet Publications
Other Bills before Parliament

LORDS AMENDMENTs
TO THE
housing BILL
[The page and line references are to HL Bill 71, the bill as first printed for the Lords.]
Clause 3
1
Page 3, leave out line 42 and insert—

“(iv)
Chapters 1 and 2 of Part 4 (management orders);”
After Clause 7
2
Insert the following new Clause—

“Reasons for decision to take enforcement action

(1)
This section applies where a local housing authority decide to take one of

the kinds of enforcement action mentioned in section 5(2) or 7(2) (“the

relevant action”).

(2)
The authority must prepare a statement of the reasons for their decision to

take the relevant action.

(3)
Those reasons must include the reasons why the authority decided to take

the relevant action rather than any other kind (or kinds) of enforcement

action available to them under the provisions mentioned in section 5(2) or

7(2).

(4)
A copy of the statement prepared under subsection (2) must accompany

every notice, copy of a notice, or copy of an order which is served in

accordance with—

(a)
Part 1 of Schedule 1 to this Act (service of improvement notices

etc.),

(b)
Part 1 of Schedule 2 to this Act (service of copies of prohibition

orders etc.), or

(c)
section 268 of the Housing Act 1985 (service of copies of demolition

orders),

Bill 173 53/3

(  2  )


in or in connection with the taking of the relevant action.

(5)
In subsection (4)—

(a)
the reference to Part 1 of Schedule 1 to this Act includes a reference

to that Part as applied by section 27(7) or 28(7) (hazard awareness

notices) or to section 39(7) (emergency remedial action); and

(b)
the reference to Part 1 of Schedule 2 to this Act includes a reference

to that Part as applied by section 42(4) (emergency prohibition

orders).

(6)
If the relevant action consists of declaring an area to be a clearance area, the

statement prepared under subsection (2) must be published—

(a)
as soon as possible after the relevant resolution is passed under

section 289 of the Housing Act 1985, and

(b)
in such manner as the authority consider appropriate.”
Clause 9
3
Page 7, line 33, leave out “listed” and insert “mentioned”
4
Page 7, line 35, after “fire” insert “and rescue”
5
Page 7, line 37, after “fire” insert “and rescue”
6
Page 7, leave out from beginning of line 42 to end of line 3 on page 8 and insert—


““fire and rescue authority” means a fire and rescue authority under

the Fire and Rescue Services Act 2004 (c. 21);”
Clause 10
7
Page 8, line 15, leave out “interim or final”
8
Page 8, line 16, after “under” insert “Chapter 1 or 2 of”
Clause 11
9
Page 9, line 18, leave out “interim or final”
10
Page 9, line 19, after “under” insert “Chapter 1 or 2 of”
Clause 14
11
Transpose Clause 14 to after Clause 15
Clause 19
12
Page 13   , line 17, leave out “interim or final”
13
Page 13, line 18, after “under” insert “Chapter 1 or 2 of”
Clause 20
14
Page 14, line 11, leave out “interim or final”
15
Page 14, line 12, after “under” insert “Chapter 1 or 2 of”

(  3  )

Clause 27
16
Page 17, line 38, leave out “interim or final”
17
Page 17, line 39, after “under” insert “Chapter 1 or 2 of”
Clause 28
18
Page 19, line 6, leave out “interim or final”
19
Page 19, line 7, after “under” insert “Chapter 1 or 2 of”
Clause 38
20
Page 24, line 5, leave out “an interim or final management order under” and insert

“a management order under Chapter 1 or 2 of”
21
Page 24, line 8, leave out “interim or final”
Clause 39
22
Page 24, line 33, leave out “interim or final management order is in force under”

and insert “management order is in force under Chapter 1 or 2 of”
Clause 42
23
Page 27, line 13, leave out “interim or final management order is in force under”

and insert “management order is in force under Chapter 1 or 2 of”
Clause 45
24
Page 30, line 9, leave out “an interim or final management order under” and insert

“a management order under Chapter 1 or 2 of”
Clause 49
25
Page 33, line 29, leave out subsections (7) and (8) and insert—

“(6A)
If such an appeal is brought and a decision is given on the appeal which

confirms the underlying notice or order, the demand becomes operative at

the time when—

(a)
the period within which an appeal to the Lands Tribunal may be

brought expires without such an appeal having been brought, or

(b)
a decision is given on such an appeal which confirms the notice or

order.

(6B)
For the purposes of subsection (6A)—

(a)
the withdrawal of an appeal has the same effect as a decision which

confirms the notice or order, and

(b)
references to a decision which confirms the notice or order are to a

decision which confirms it with or without variation.

(  4  )

(7)
As from the time when the demand becomes operative, the sum

recoverable by the authority is, until recovered, a charge on the premises

concerned.

(8)
The charge takes effect at that time as a legal charge which is a local land

charge.”
Clause 56
26
Page 37, line 44, leave out “locality” and insert “vicinity”
Clause 60
27
Page 39, line 28, at end insert “Chapter 1 of”
Clause 62
28
Page 41, line 35, after “under” insert “Chapter 1 of”
29
Page 41, line 37, leave out “Part” and insert “Chapter”
Clause 63
30
Page 41, line 40, leave out “may” and insert “must”
Clause 66
31
Page 44, line 10, leave out “such steps as are reasonably practicable” and insert

“reasonable and practicable steps”
Clause 69
32
Page 46, leave out line 44 and insert “has committed a serious breach of a condition

of the licence or repeated breaches of such a condition;”
33
Page 47, line 3, at end insert—


“Section 65(1) applies in relation to paragraph (b) or (c) above as it applies

in relation to section 63(3)(b) or (d).”
Clause 71
34
Page 48, line 14, after “he” insert “knowingly”
Clause 72
35
Leave out Clause 72 and insert the following new Clause—

“Other consequences of operating unlicensed HMOs: rent repayment orders

(1)
For the purposes of this section an HMO is an “unlicensed HMO” if—

(a)
it is required to be licensed under this Part but is not so licensed,

and

(b)
neither of the conditions in subsection (2) is satisfied.

(  5  )

(2)
The conditions are—

(a)
that a notification has been duly given in respect of the HMO under

section 61(1) and that notification is still effective (as defined by

section 71(8));

(b)
that an application for a licence has been duly made in respect of the

HMO under section 62 and that application is still effective (as so

defined).

(3)
No rule of law relating to the validity or enforceability of contracts in

circumstances involving illegality is to affect the validity or enforceability

of—

(a)
any provision requiring the payment of rent or the making of any

other periodical payment in connection with any tenancy or licence

of a part of an unlicensed HMO, or

(b)
any other provision of such a tenancy or licence.

(4)
But amounts paid in respect of rent or other periodical payments payable

in connection with such a tenancy or licence may be recovered in

accordance with subsection (5) and section (Further provisions about rent

repayment orders).

(5)
If—

(a)
an application in respect of an HMO is made to a residential

property tribunal by the local housing authority or an occupier of a

part of the HMO, and

(b)
the tribunal is satisfied as to the matters mentioned in subsection (6)

or (8),


the tribunal may make an order (a “rent repayment order”) requiring the

appropriate person to pay to the applicant such amount in respect of the

housing benefit paid as mentioned in subsection (6)(b), or (as the case may

be) the periodical payments paid as mentioned in subsection (8)(b), as is

specified in the order (see section (Further provisions about rent repayment

orders)(2) to (8)).

(6)
If the application is made by the local housing authority, the tribunal must

be satisfied as to the following matters—

(a)
that, at any time within the period of 12 months ending with the

date of the notice of intended proceedings required by subsection

(7), the appropriate person has committed an offence under section

71(1) in relation to the HMO (whether or not he has been charged

or convicted),

(b)
that housing benefit has been paid (to any person) in respect of

periodical payments payable in connection with the occupation of

a part or parts of the HMO during any period during which it

appears to the tribunal that such an offence was being committed,

and

(c)
that the requirements of subsection (7) have been complied with in

relation to the application.

(7)
Those requirements are as follows—

(a)
the authority must have served on the appropriate person a notice

(a “notice of intended proceedings”)—

(i)
informing him that the authority are proposing to make an

application under subsection (5),

(ii)
setting out the reasons why they propose to do so,

(  6  )

(iii)
stating the amount that they will seek to recover under that

subsection and how that amount is calculated, and

(iv)
inviting him to make representations to them within a

period specified in the notice of not less than 28 days;

(b)
that period must have expired; and

(c)
the authority must have considered any representations made to

them within that period by the appropriate person.

(8)
If the application is made by an occupier of a part of the HMO, the tribunal

must be satisfied as to the following matters—

(a)
that the appropriate person has been convicted of an offence under

section 71(1) in relation to the HMO, or has been required by a rent

repayment order to make a payment in respect of housing benefit

paid in connection with occupation of a part or parts of the HMO,

(b)
that the occupier paid, to a person having control of or managing

the HMO, periodical payments in respect of occupation of part of

the HMO during any period during which it appears to the tribunal

that such an offence was being committed in relation to the HMO,

and

(c)
that the application is made within the period of 12 months

beginning with—

(i)
the date of the conviction or order, or

(ii)
if such a conviction was followed by such an order (or vice

versa), the date of the later of them.

(9)
Where a local housing authority serve a notice of intended proceedings on

any person under this section, they must ensure—

(a)
that a copy of the notice is received by the department of the

authority responsible for administering the housing benefit to

which the proceedings would relate; and

(b)
that that department is subsequently kept informed of any matters

relating to the proceedings that are likely to be of interest to it in

connection with the administration of housing benefit.

(10)
In this section—


“the appropriate person”, in relation to any payment of housing

benefit or periodical payment payable in connection with

occupation of a part of an HMO, means the person who at the time

of the payment was entitled to receive on his own account

periodical payments payable in connection with such occupation;


“housing benefit” means housing benefit provided by virtue of a

scheme under section 123 of the Social Security Contributions and

Benefits Act 1992 (c. 4);


“occupier”, in relation to any periodical payment, means a person

who was an occupier at the time of the payment, whether under a

tenancy or licence or otherwise (and “occupation” has a

corresponding meaning);


“periodical payments” means periodical payments in respect of which

housing benefit may be paid by virtue of regulation 10 of the

Housing Benefit (General) Regulations 1987 (S.I. 1987/1971) or any

corresponding provision replacing that regulation.

(11)
For the purposes of this section an amount which—

(a)
is not actually paid by an occupier but is used by him to discharge

the whole or part of his liability in respect of a periodical payment

(  7  )

(for example, by offsetting the amount against any such liability),

and

(b)
is not an amount of housing benefit,


is to be regarded as an amount paid by the occupier in respect of that

periodical payment.”
After Clause 72
36
Insert the following new Clause—

“Further provisions about rent repayment orders

(1)
This section applies in relation to rent repayment orders made by

residential property tribunals under section (Other consequences of operating

unlicensed HMOs: rent repayment orders)(5).

(2)
Where, on an application by the local housing authority, the tribunal is

satisfied—

(a)
that a person has been convicted of an offence under section 71(1)

in relation to the HMO, and

(b)
that housing benefit was paid (whether or not to the appropriate

person) in respect of periodical payments payable in connection

with occupation of a part or parts of the HMO during any period

during which it appears to the tribunal that such an offence was

being committed in relation to the HMO,


the tribunal must make a rent repayment order requiring the appropriate

person to pay to the authority an amount equal to the total amount of

housing benefit paid as mentioned in paragraph (b).


This is subject to subsections (3), (4) and (8).

(3)
If the total of the amounts received by the appropriate person in respect of

periodical payments payable as mentioned in paragraph (b) of subsection

(2) (“the rent total”) is less than the total amount of housing benefit paid as

mentioned in that paragraph, the amount required to be paid by virtue of

a rent repayment order made in accordance with that subsection is limited

to the rent total.

(4)
A rent repayment order made in accordance with subsection (2) may not

require the payment of any amount which the tribunal is satisfied that, by

reason of any exceptional circumstances, it would be unreasonable for that

person to be required to pay.

(5)
In a case where subsection (2) does not apply, the amount required to be

paid by virtue of a rent repayment order under section (Other consequences

of operating unlicensed HMOs: rent repayment orders)(5) is to be such amount

as the tribunal considers reasonable in the circumstances.

This is subject to subsections (6) to (8).

(6)
In such a case the tribunal must, in particular, take into account the

following matters—

(a)
the total amount of relevant payments paid in connection with

occupation of the HMO during any period during which it appears

to the tribunal that an offence was being committed by the

appropriate person in relation to the HMO under section 71(1);

(b)
the extent to which that total amount—