26 Feb 2013 : Column 174

registered and we know who they are. Deposits are often not returned, and if the landlord or letting agency is legally challenged they say that it was in fact rent in advance and therefore not liable to be returned. Excessively difficult questions are put concerning very minor changes that may have been made to a flat by someone living there.

If someone living in private rented accommodation complains to the local authority about the poor standards, the lack of repair, the lack of insulation or the sheer refusal of the landlord to engage with the tenant, they may be rapidly evicted. They then have no real redress in law to prevent that eviction, because the majority of private rented sector tenants are on assured shorthold tenancies lasting only six months. There is a real problem.

A group of tenants currently based in Hackney, although I expect similar groups to spread across London, have made an excellent submission to the Communities and Local Government Committee inquiry into the private rented sector. Their proposals include secure five-year tenancies, a requirement for landlords to provide a valid reason for ending a tenancy, a public register of all landlords paid for from the Land Registry, a requirement for decent homes standards to apply to all rented accommodation—not just council and housing association homes, but the private rented sector as well—and full vetting of private landlords before they let homes, including criminal record checks, tax records and previous warning letters from councils. It is time we went ahead with these proposals.

My Bill envisages tenant protection and five-year tenancies with a break clause for the tenant so that they can leave ahead of that time if they need to move away, have a job somewhere else or no longer wish to live in that area. Also, the Bill provides for the enforcement of all environmental standards, crucially including energy efficiency standards because the private rented sector tends to cost more and not just in rent levels, which are often horrendous—roughly three to four times what the local authority charges for similar properties in the same area. In addition, the Bill would protect tenants by ensuring that repairs are done and that if the landlord refuses to do them, that does not become a basis for eviction.

My Bill provides for non-discrimination. If someone walked along any high street anywhere in London, and probably anywhere in the country, and looked into a letting agency, they would see a sign saying, “No benefits here.” In other words, anyone in receipt of a state benefit is not allowed to apply for a private rented flat from that agent. That seems blatant discrimination against a very large number of people and ought to be outlawed. The crucial point for me is that we should return to rent regulation by a process of fair rents set by local rent tribunals. That would bring about a sense of fairness in the system, not the excessive and ludicrous profit-taking by a number of often very small landlords.

In order to implement the Bill, I would require the Secretary of State to consult within six months of the Bill becoming law on a formula for fair rents. Every local authority would be required to set up a local authority office to monitor all law that relates to the private rented sector, to ensure the return of deposits and to ensure that repairs are carried out in a decent and timely manner and that people can live in security and decency.