Government announces major review into private rented housing

31st January 2008

Dr Alan Whitehead, Member of Parliament for Southampton Test, has welcomed the government’s announcement that it is to commission an independent review into the private rented housing sector.  The announcement comes on the back of Dr Whitehead raising in Parliament the case of how the increase in private rented Houses in Multiple Occupation (HMO) is affecting the supply of affordable family housing in Southampton.

The government’s review of the private rented sector will look at:

Last year Dr Whitehead introduced a 10-minute rule Bill into Parliament calling for local communities to be given a say when a landlord wants to convert a family home into an HMO housing 5 or more people.  Since then he has been holding regular meetings with ministers where he has raised the need for a review into the changing nature of the private rented housing sector.

In 2002, a Council run-review into HMOs in Southampton showed that Southampton had more HMOs than ¾ other local authorities.  The number of constituents that have contacted Dr Whitehead regarding HMO conversions in their area, particularly in Portswood and Freemantle, suggests the overall number of HMOs in the city has increased substantially since that review.

Dr Whitehead said:

“The housing market, both to buy and to rent, is clearly in a very different position today than it was even a few years ago.  So it is excellent news that the government has commissioned this review as a first step to ensuring our housing and planning rules meet the new challenges posed by today’s market.

“The review should look at how to get a better spread of HMOs across an area, rather than allowing a free market in housing to gobble up a particular area with HMO conversions, as can happen at the moment.  I would encourage the review to look at the case of Southampton in particular on this issue.

“The review also needs to look at how we ensure that more buy-to let investors meet their social responsibilities as landlords, both with regards to ensuring their tenants live in decent conditions, and how they can better deal with problems of anti-social behaviour in their area.”

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More information

  1. The full terms of reference of the review are:
    1. What is the composition of the private rented sector and the regional characteristics? Who lives in the sector and who are the providers?
    2. Given demographic and social change, what impact might this have on future demand and supply pressures in the sector and how should key players respond to this?
    3. What are the possible actions necessary to ensure the sector delivers the right type of homes of good quality that meet local demand both now and into the future?
    4. Given the recent regulatory changes, what more should or could be done to ensure a professionally managed and quality sector to meet demand pressures?
    5. What are the tenant and landlord views and experiences of the sector?    What are their priorities for change and how can these contribute to policy development?
  2. The last comprehensive review of the number of HMOs in Southampton was conducted by the City Council in 2002.  The Council found that there were approximately 7600 HMOs in Southampton, mostly concentrated in the centre and the north parts of the city.  At that time Southampton had more HMOs than 76% of other local authorities- HMOs consisted of 8% of Southampton’s housing stock compared to the national average of 0.4% (though the 0.4% does encompass both cities and smaller rural communities where HMOs are much less common).  The City Council’s review can be read online here: http://www.southampton.gov.uk/Images/HMO%20Report%20Final_tcm46-181168.pdf
  3. DCLG press release on the review is here: http://www.communities.gov.uk/news/corporate/670940
  4. The Government has already:
    1. Introduced tenancy deposit schemes
    2. Introduced new licensing of Houses of Multiple Occupation, selective licensing and additional licensing of specific areas where there are large scale problems with private sector housing (e.g. low demand, anti social behaviour, poor management).
    3. Increased the health and safety standards
    4. Introduced new powers for Councils to take action on empty homes
  5. Information on Dr Whitehead’s 10 minute rule Bill on HMOs can be found here: http://www.alan-whitehead.org.uk/housing/index.html

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