Government accused of ‘abandoning’ plan to scrap no-fault evictions

Published

8 months ago

March 30, 2024

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The government has been accused of “abandoning” its pledge to ban no fault evictions by the time of the next general election.

Housing minister Jacob Young sent a letter to Conservative MPs dated 27 March which said the power under Section 21 of the Housing Act would remain in place until an assessment had been made of the legal system to see if it could handle the changes.

A Section 21 order allows landlords to evict tenants without providing a reason for doing so.

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The Conservative 2019 manifesto pledged to abolish the mechanism, and was planning to do so through the Renters Reform Bill.

There had already been indications the government intended to water down its promise from Housing Secretary Michael Gove, but this development marks the confirmation that legislation will be changed.

But the letter sent by Mr Young said: “The government has been clear that Section 21 will be abolished when the courts are ready, and is taking significant steps to deliver court improvement, including providing £1.2m for court digitisation.

“We will now, however, bring forward an amendment at Commons report [stage] to require the lord chancellor to publish an assessment on barriers to possession and the readiness of the courts in advance of abolishing Section 21 for existing tenancies.”

The campaign group, Renters Reform Coalition, said the changes announced this week represent “major concessions to landlords” – and said Mr Gove was “abandoning the promise” made to end Section 21s by the next election.

Mr Young also wrote that a new amendment would be proposed which would prevent tenants ending contracts in the first six months – although government is “considering exemptions” – like death or domestic abuse.

He said this “will ensure landlords can rely on a letting period that covers costs of finding tenants and making repairs between tenancies, and prevents tenants using rented properties as short-term lets”.

Changes have also been proposed to allow landlords renting to students to ensure they can match tenancy to the academic year.

Tom Darling, Campaign Manager at the Renters’ Reform Coalition, commented: “So now we see the price the government has paid in their Faustian bargain with the landlord lobby.

“Selling renters down the river with concessions that will put off the vast majority of renters from feeling the benefits of these reforms indefinitely, promising to reduce the burdens on landlords to meet licensing standards, and locking tenants in unsafe and unsuitable housing.

“The government’s flagship legislation to help renters is fast becoming a Landlord’s Charter – watch as landlord groups today declare victory now having exacted a significant toll on this policy in exchange for their support.”

Ben Beadle, the chief executive of the National Residential Landlords Association, said: “The government has a mandate to end Section 21 repossessions. Our focus has been on ensuring that the replacement system works, and is fair, to both tenants and responsible landlords.

“The changes being proposed would achieve this balance.

“Ministers now need to crack on to ensure the bill can proceed with the scrutiny it deserves.”

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Matthew Pennycook, Labour’s shadow housing minister, said: “Rishi Sunak and Michael Gove have chosen once again to put the interests of party management ahead of what is right for the British people.

“After years of delay, private renters have every right to be furious at the watering down of the vital protections the Tories promised them.”

Sky News has approached the Department for Levelling Up, Housing and Communities for comment.

Politics

Coinbase CEO to meet with Trump to discuss personnel appointments — WSJ

Published

5 hours ago

November 18, 2024

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Coinbase CEO to meet with Trump to discuss personnel appointments — WSJ

Before US Election Day, Brian Armstrong said Coinbase was “prepared to work” with either a Kamala Harris or Donald Trump administration.

Politics

Row over how many farms will be affected by inheritance tax policy – as PM doubles down ahead of farmers protest

Published

6 hours ago

November 18, 2024

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Row over how many farms will be affected by inheritance tax policy - as PM doubles down ahead of farmers protest

Sir Keir Starmer has insisted the “vast majority of farmers” will not be affected by changes to Inheritance Tax (IHT) ahead of a protest outside parliament on Tuesday.

It follows Chancellor Rachel Reeves announcing a 20% inheritance tax that will apply to farms worth more than £1m from April 2026, where they were previously exempt.

But the prime minister looked to quell fears as he resisted calls to change course.

Speaking from the G20 summit in Brazil, he said: “If you take a typical case of a couple wanting to pass a family farm down to one of their children, which would be a very typical example, with all of the thresholds in place, that’s £3m before any inheritance tax is paid.”

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The comments come as thousands of farmers, including celebrity farmer Jeremy Clarkson, are due to descend on Whitehall on Tuesday to protest the change.

And 1,800 more will take part in a “mass lobby” where members of the National Farmers’ Union (NFU) will meet their MPs in parliament to urge them to ask Ms Reeves to reconsider the policy.

Speaking to broadcasters, Sir Keir insisted the government is supportive of farmers, pointing to a £5bn investment announced for them in the budget.

He said: “I’m confident that the vast majority of farms and farmers will not be affected at all by that aspect of the budget.

“They will be affected by the £5bn that we’re putting into farming. And I’m very happy to work with farmers on that.”

Sir Keir’s spokesman made a similar argument earlier on Monday, saying the government expects 73% of farms to not be affected by the change.

Environment, Farming and Rural Affairs Secretary Steve Reed said only about 500 out of the UK’s 209,000 farms would be affected, according to Treasury calculations.

However, that number has been questioned by several farming groups and the Conservatives.

Government figures ‘misleading’

The NFU said the real number is about two-thirds, with its president Tom Bradshaw calling the government’s figures “misleading” and accusing it of not understanding the sector.

The Country Land and Business Association (CLA) said the policy could affect 70,000 farms.

Conservative shadow farming minister Robbie Moore accused the government last week of “regurgitating” figures that represent “past claimants of agricultural property relief, not combined with business property relief” because he said the Treasury does not have that data.

Agricultural property relief (APR) currently provides farmers 100% relief from paying inheritance tax on agricultural land or pasture used for rearing livestock or fish, and can include woodland and buildings, such as farmhouses, if they are necessary for that land to function.

Farmers can also claim business property relief (BPR), providing 50% or 100% relief on assets used by a trading business, which for farmers could include land, buildings, plant or machinery used by the business, farm shops and holiday cottages.

APR and BPR can often apply to the same asset, especially farmed land, but APR should be the priority, however BPR can be claimed in addition if APR does not cover the full value (e.g. if the land has development value above its agricultural value).

Mr Moore said the Department for the Environment, Farming and Rural Affairs (DEFRA) and the Treasury have disagreed on how many farms will be impacted “by as much as 40%” due to the lack of data on farmers using BPR.

Lib Dem MP Tim Farron said last week1,400 farmers in Cumbria, where he is an MP, will be affected and will not be able to afford to pay the tax as many are on less than the minimum wage despite being asset rich.

Politics

Cabinet split over assisted dying as Education Secretary Bridget Phillipson latest to reveal she will vote against bill

Published

6 hours ago

November 18, 2024

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Cabinet split over assisted dying as Education Secretary Bridget Phillipson latest to reveal she will vote against bill

A split is emerging in the cabinet, with Education Secretary Bridget Phillipson revealing she will join several of her colleagues and vote against the bill to legalise assisted dying.

Ms Phillipson told Sky News she will vote against the proposed legislation at the end of this month, which would give terminally ill people with six months to live the option to end their lives.

She voted against assisted dying in 2015 and said: “I haven’t changed my mind.

“I continue to think about this deeply. But my position hasn’t changed since 2015.”

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MPs will be given a free vote on the bill, so they will not be told how to vote by their party.

The topic has seen a split in the cabinet – however, Prime Minister Sir Keir Starmer has yet to reveal how he will vote on 29 November.

Ms Phillipson joins some other big names who have publicly said they are voting against the bill

These include Deputy PM Angela Rayner, Health Secretary Wes Streeting, Justice Secretary Shabana Mahmood and Business Secretary Jonathan Reynolds.

Border security minister Angela Eagle is also voting against the bill.

Senior cabinet members voting in favour of assisted dying include Energy Secretary Ed Miliband, Science Secretary Peter Kyle, Work and Pensions Secretary Liz Kendall, Culture Secretary Lisa Nandy, Northern Ireland Secretary Hilary Benn, Transport Secretary Louise Haigh and Welsh Secretary Jo Stevens.

The split over the issue is said to be causing friction within government, with Sir Keir rebuking the health secretary for repeatedly saying he is against the bill and for ordering officials to review the costs of implementing any changes in the law.

Sky News’ deputy political editor Sam Coates has been told Morgan McSweeney, the PM’s chief of staff, is concerned about the politics of the bill passing.

He is understood to be worried the issue will dominate the agenda next year and, while he is not taking a view on the bill, he can see it taking over the national conversation and distracting from core government priorities like the economy and borders.

Details of the bill were published last week and include people wanting to end their life having to self-administer the medicine.

It would only be allowed for terminally ill people who have been given six months to live.

Two independent doctors would have to confirm a patient is eligible for assisted dying and a High Court judge would have to give their approval before it could go ahead.