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27 Oct 2026ParliamentLabour Matthew Pennycook
Social Housing Bill (First sitting)
I thank the hon. Member for Orpington for tabling new clauses 55 and 57 and amendments 84 and 85, and for speaking to them. I should say at the outset that, in political terms, he and I could not be further apart. However, he is a decent and diligent shadow Minister, as is the Liberal Democrat spokesperson, the hon. Member for Taunton and Wellington—I do not want to leave him out. I very much look forward to the robust yet civil debates we will have over the coming sessions. I do not want to dwell too long on the more general points made by the hon. Member for Orpington, but I think it is worth responding to two of them. We are not extinguishing the right to buy through the Bill. We could have abolished the right to buy outright, but that is not what we are doing. We are ensuring that those who benefit from the scheme are long-standing tenants who have lived in and paid rent on their homes for many years. In response to the hon. Gentleman’s point about the Bill having no impact on supply, he really ought to get out and speak to local authorities. They tell us that the benefits that they will see from the regulatory certainty and stability that we are providing, as well as the grant funding, will give them the confidence to go out and build new social homes, safe in the knowledge that, thanks to clause 1, they will not be immediately sold off after three years.
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27 Oct 2026ParliamentLabour Matthew Pennycook
Social Housing Bill (First sitting)
That is not my experience from discussing the matter with councils, and it does not reflect the feedback that we received in the consultation. Councils up and down the country tell us that they could build more if they had certainty that their stock would not be lost in the proportion that it is—and certainly not after a minimum qualifying period of three years.
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27 Oct 2026ParliamentLabour Matthew Pennycook
Social Housing Bill (First sitting)
I thank my hon. Friend for sharing his very considerable experience. There is a difference in experience between local authorities that have housing revenue accounts and those that do not, and those that build at scale and those that do not. However, it is certainly the case that councils knowing they can lose stock three years after building it without recuperating that investment is a disincentive to build.
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27 Oct 2026ParliamentLabour Matthew Pennycook
Social Housing Bill (First sitting)
I will give way to the hon. Gentleman but then, in the interests of getting to the Opposition new clauses, which I am told they want to speak to, I will make some progress.
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27 Oct 2026ParliamentLabour Matthew Pennycook
Social Housing Bill (First sitting)
I think I understand the hon. Gentleman’s point, but I respectfully disagree. It is a problem that local authorities up and down the country build new social homes but then, after three years, they can be purchased. That is leading to an unsustainable outflow of social housing stock from the system. We are not net positive on social homes—we have not been for many years—but the Bill will ensure that we are. It gives an incentive to councils to build, as they will know that they are building more than they are losing, and therefore the 1.3 million people on waiting lists will not increase but decrease over time. I must turn to the amendments and new clauses tabled by the hon. Member for Orpington. New clause 57 would exempt existing secure tenants from the new 10-year minimum qualifying period introduced by the Bill. As I have said, a core aim of the Bill is to protect social housing stock better and to ensure that more social homes are built than lost. If existing tenancies were excluded from the changes to eligibility rules, the vast majority of tenants would be unaffected by our qualifying period reforms. I have no doubt that that is the hon. Gentleman’s intention, but the result would be homes continuing to be sold as little as three years after a tenancy was secured, and the continued loss of significant amounts of social housing stock. That is not the Government’s aim or the aim of the Bill. For that reason, the Government cannot accept the new clause, and I hope that the shadow Minister will not press it.
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27 Oct 2026ParliamentLabour Matthew Pennycook
Social Housing Bill (First sitting)
Clauses 2 and 3 further tighten the eligibility criteria for right to buy, to ensure that the scheme is fair and well targeted. Clause 2 prevents existing residential property owners from exercising the right to buy, which we believe is a reasonable and rational approach. We have set out what we think is an appropriate definition of a residential property owner in the clause. The clause will apply to anyone who owns a residential property, whether owned outright or with a mortgage. Leasehold and freehold properties will be captured, with exceptions for short-term leases of less than 21 years, as will properties in joint ownership or owned outside England, including those held in Scotland, Wales, Northern Ireland and abroad. Exemptions will be made for victims of domestic abuse who have moved from the accommodation that they were occupying for reasons connected to the abuse. As part of the application process, tenants will be required to declare to the landlord whether they own another property, and landlords will be able to check the information that the tenant provides. If tenants are seeking exceptionally to buy under the right-to-buy scheme where they already own a residential property because they have been the victim of domestic abuse, they will also be required to provide evidence of that to the landlord. Clause 3 prevents those who have previously exercised the right to buy from doing so again, with exceptions in place for cases of domestic abuse and irretrievable relationship breakdown. I hope hon. Members will agree that repeat purchases would undermine the objectives of the right-to-buy scheme. It would lead to more social housing stock being lost to those who have already benefited from a publicly funded discount to buy their own home. During our consultation on reforming the right to buy, 91% of respondents stated that they would support preventing someone who has either previously benefited from the right to buy or owns another property from being able to access the scheme. The terms of the referenced exceptions are set out in the clause and will be reinforced by updated guidance when the Act comes into force. It will be for social landlords to be satisfied that the exceptions apply, for which they will be able to ask for evidence from the applicant as part of the application process. Obviously, councils are already well practised at doing this as, under the current rules, those who have previously exercised the right to buy have their discount reduced if they seek to exercise the right to buy again. We think clauses 2 and 3 are fair and proportionate. They are designed to appropriately restrict access to the right-to-buy scheme. Question put and agreed to. Clause 2 accordingly ordered to stand part of the Bill. Clause 3 ordered to stand part of the Bill. Clause 4 Timescales Question proposed, That the clause stand part of the Bill.
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27 Oct 2026ParliamentLabour Matthew Pennycook
Social Housing Bill (First sitting)
Clause 4 concerns the statutory periods in which local authorities have to consider applications under the right to buy. The clause amends sections 124 and 125 of the Housing Act 1985 by extending the periods within which landlords must serve notices either admitting or denying a tenant’s eligibility for the right to buy, which relates to section 124, and setting out the purchase price and other required information, which is section 125. The period under section 124 will be extended from four to eight weeks where the tenant has been a tenant of the same landlord for the qualifying period and from eight to 12 weeks in any other case. The period under section 125 will be extended from eight to 12 weeks for freehold properties and from 12 to 16 weeks for leasehold properties. The revised statutory periods are intended to provide additional flexibility where applications are complex, for example where there are valuation issues or safeguarding concerns. Importantly, they will give landlords more time to verify eligibility based on the new criteria and support them in carrying out preliminary counter-fraud and money laundering checks. Although we are extending the time period that landlords have to respond to right-to-buy applications, I stress that these timescales are an upper limit, not an expectation. We expect landlords to continue to process applications as quickly as they can. Clause 5 inserts proposed new section 124A into the Housing Act 1985, enabling a landlord to suspend a right-to-buy application where there is reason to suspect that the claim may be fraudulent. A suspension under section 124A does not cancel the application; it temporarily pauses the statutory process while an investigation is carried out and must end no later than six months after the date of the suspension, or sooner if the investigation is concluded. In response to the consultation on reforming the right to buy, we committed to carry out more effective fraud prevention, including mitigating vulnerable tenants being pressured into buying and cracking down on third-party backed applications. We are clear—I hope the Committee will support us in this principle—that fraudulent applications backed by unscrupulous lenders have no place under right to buy. They undermine the scheme. By ensuring that social landlords have more time to investigate suspected fraud when managing applications, the clause will help to prevent fraudulent applications from slipping through the cracks and maintain the integrity of the scheme. During the period of suspension, the procedural requirements of the Act, including statutory time limits, will not apply. The tenant will, therefore, not be able to issue delay notices during this period. Guidance will make it clear that timelines for processing applications can be extended only where fraud is suspected and are not to be used by landlords as a way to delay the processing of more routine applications. We will also strengthen guidance for landlords and tenants on fraud prevention, including third-party companies lending money for purchases. Any such companies will need to be registered with the Financial Conduct Authority, which will support both the FCA and landlords with enforcement. Question put and agreed to. Clause 4 accordingly ordered to stand part of the Bill. Clause 5 ordered to stand part of the Bill. Clause 6 Discount Question proposed, That the clause stand part of the Bill.
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27 Oct 2026ParliamentLabour Matthew Pennycook
Social Housing Bill (First sitting)
As I have already set out, the Bill’s reforms aim to ensure that the right-to-buy scheme is sustainable, including by ensuring that discounts are set at the right level to enable long-standing tenants to buy under the scheme but without depleting levels of social housing stock. This Government already took action in November 2024 to reduce the maximum cash discounts, returning those to pre-2012 levels. We subsequently committed to revise the discounts available as a percentage of the property value, so that they align better with the revised cash cap amounts. Clause 6 delivers on that commitment by reducing percentage discounts so that they start at 5% of the property value after 10 years of public sector tenancy, and increase for every extra year of a tenancy up to a maximum of 15%. As is the case now, the percentage discounts will be subject to cash caps that set out the maximum cash discount that a tenant can receive in their area. Aligning the discounts available as a percentage of the property value with the cash caps ensures that those who have been in their homes the longest benefit the most, while avoiding disproportionately large discounts in high-value areas. The revised percentage discount aims to strike a balance between the responses received during the right-to-buy consultation, in which many respondents supported setting the percentage discounts lower than those proposed by the clause. We are also simplifying the rules by applying a single set of discount arrangements to both houses and flats to make the scheme clearer and more consistent for tenants.
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27 Oct 2026ParliamentLabour Matthew Pennycook
Social Housing Bill (First sitting)
I simply refer the hon. Gentleman to the impact assessment. If he has further, detailed questions about it, I am more than happy to answer, but we have set out our analysis of the impact of the Bill and in particular that of the ambition to go net positive on new social housing as a result of the changes we are making. The clause also extends the discount repayment period from the current five years to 10 years after the original sale, during which time a repurchaser looking to resell the property will be required to repay all or some of the discount on a sliding scale. That measure was supported by 72% of respondents to our consultation and it will ensure that there is less incentive for early resale, which can undermine the purpose of the scheme. It will encourage people buying to retain the property and discourage profiteering. Question put and agreed to. Clause 6 accordingly ordered to stand part of the Bill.
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27 Oct 2026ParliamentLabour Matthew Pennycook
Social Housing Bill (First sitting)
Clause 7 extends the existing right of first refusal for councils to buy back homes that were previously sold under the right to buy when they are resold. The right of first refusal period is currently 10 years after the original sale, and councils have eight weeks to decide whether to buy back the home when informed by the owner that they plan to sell; following that period, the property can be sold on the open market. Under the clause, the period in which councils must be given the right of first refusal will increase, so that it applies in perpetuity, meaning that councils will have the opportunity to buy back a property every time it is resold. This proposal received strong support from respondents to the Government’s consultation. The change will apply only to applications to exercise the right to buy after the measures come into force. Homes already sold under the right to buy will be subject to the terms of the covenants that were attached to them when they were sold under the scheme. Giving social landlords greater opportunity to buy back properties sold under the scheme increases their ability to acquire social housing that may otherwise be lost to the open market. That directly supports the Government’s ambition to grow the volume of council housing. Clause 7 is an important safeguard that supports the effective operation of the right-to-buy scheme. It will help to ensure that public subsidy is protected, discourage short-term purchases for financial gain and support the Bill’s wider objective to protect social housing stock. I commend the clause to the Committee.
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27 Oct 2026ParliamentLabour Matthew Pennycook
Social Housing Bill (First sitting)
I will speak to clause 8 and amendments 13 to 18, tabled in my name, and then I will turn to various amendments that have been tabled and spoken to. Clause 8 amends schedule 5 to the Housing Act 1985 to introduce new and updated exceptions to the right to buy. Under the scheme, exceptions already include homes suitable for occupation by the elderly, sheltered housing and homes due to be demolished. Of respondents to our consultation, 76% agree that the existing exceptions should be retained, and we are doing so. The clause does, however, make a small change to amend outdated terminology in the current exemption for dwellings for persons of pensionable age, to update the reference to resident or non-resident wardens to resident or non-resident managers. The clause introduces three new exceptions. First, it exempts newly built social homes from the scheme for 35 years, giving councils the confidence to invest in new supply. At present, councils are disincentivised from building because homes can be sold before costs are recovered through rent, undermining housing revenue accounts. A 35-year exemption period reflects the typical pay-back period and ensures that councils are not losing new homes prematurely. Despite what the shadow Minister continues to assert, that is a significant supply-side reform that helps to deliver the Government’s commitment to back councils to build at a scale not seen in decades. Councils have been clear to the Government that the risk of early sale deters investment. Removing that risk provides greater certainty over stock and income and supports new development. We recognise the frustration of seeing newly built homes sold so quickly before they can meet local need. The Government’s manifesto committed to better protecting newly built social housing from the right to buy, and the introducing the exemption was supported by the vast majority of respondents to our consultation on the basis that it will give councils, as I have said, greater confidence to build new homes and provide greater protection than the existing cost floor rules. Secondly, the clause exempts homes in national parks, areas of outstanding natural beauty and designated rural areas from the right to buy. That recognises the particular pressures on rural housing where land and planning constraints mean that homes are significantly harder to replace once lost from the social sector. In many cases, replacement is not feasible at all, exacerbating already acute shortages in those areas. There was clear recognition of these challenges in the other place, where the difficulty of replacing rural homes and the importance of protecting stock in these areas was highlighted. This measure responds directly to those concerns and will help safeguard rural social housing. Existing rural designations will continue to have effect for the purpose of this exemption until we implement the new framework for local authorities to self-designate as rural, as set out in Government amendments 13 to 18, which I will come to shortly, as well as clause 8. The covenants attached to homes that have been sold under the right to buy in rural areas, which restricts sale to a local person or a social landlord, will also continue to apply. Thirdly and finally, council-owned market rent homes will also be excluded, supporting councils to use mixed tenure and cross-subsidy models to deliver more housing. That recognises the important role that market rent homes can play in enabling councils to generate additional income to reinvest in social and affordable homes. These changes are part of the wider package of reforms to ensure that more homes are built than lost. Government amendments 13 to 18 deliver on commitments made during the Bill’s passage in the other place to put the criteria for rural designation into regulations. That was a call that came from noble peers on the Opposition Benches. The regulations will use the long-established criteria of a population density of no more than two persons per hectare and a population of 3,000 or fewer. That criteria will be applied using census-derived population data, and local authorities will be expected to ensure that the criteria will continue to be met in relevant areas every 10 years, as new census data becomes available. It was also agreed in the other place that the Government would explore whether the existing process under which local authorities need to apply to the Government for designation could be replaced with a new system under which local authorities will be able to self-designate rural areas where they meet the criteria. I can confirm that we do intend to implement that change, and these amendments will enable that. These changes will provide transparency on the criteria for rural designation. They will also empower local areas and reduce bureaucracy for both local authorities and the Government compared with the current process, which, as I have said, requires local authorities seeking designation to apply to the Secretary of State, and secondary legislation to be made for each individual designation.
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27 Oct 2026ParliamentLabour Matthew Pennycook
Social Housing Bill (First sitting)
My apologies; it was tabled in the name of the Liberal Democrats. The amendment would require the Government to use the urban-rural classification system when determining whether an area is rural or urban for the purposes of the designated rural area exemption. As I have made clear, our intention is to continue with the long-established criteria for rural designation. Areas will need to have a population of 3,000 people or fewer and a population density of two persons or fewer per hectare, and we intend to set out those criteria in regulations. In our view, that strikes the right balance in defining designated rural areas for exclusion from the right to buy. Including areas with a population of 10,000 or fewer would bring far too many areas into the scope of the exclusion. For those reasons, I will not be able to take—[Interruption.] I can see the hon. Member for Newbury, and I give way.
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27 Oct 2026ParliamentLabour Matthew Pennycook
Social Housing Bill (First sitting)
I welcome that clarification from the hon. Gentleman. Amendment 91 would require regulations made under section 37 of the Housing Act 1985, which allows restrictions to be imposed on the disposal of a home in a rural area, to be approved by both Houses before they could come into force. I understand that the intention of the amendment may have been to require the affirmative procedure to designate areas as rural for the purposes of the right to buy. Under self-designation, rural areas will be designated by local authorities instead of by regulations, so no parliamentary procedure will be needed. The new power to prescribe the criteria will be, as I have said, subject to the negative resolution. In any event, the Government do not accept the premise that the affirmative procedure is required in that instance; there may be a principled point of disagreement on that. The current powers are subject to the negative procedure—that is the existing arrangement—which, in our view, provides an appropriate, proportionate level of parliamentary scrutiny. The powers amended or created by the Bill are also subject to the negative resolution procedure. Requiring the affirmative procedure would add an additional parliamentary step without affecting the substance or effect of the policy. For those reasons, I respectfully ask the shadow Minister, the hon. Member for Orpington, not to press amendment 91. Amendment 83 would reduce the exemption from the right to buy for newly built social homes from 35 to 10 years. The Government cannot support the amendment. Our starting point is that the exemption should reflect the time needed for rental income to repay the costs of building a new social home. That payback period is generally between 30 and 50 years, depending on the viability of the site. We therefore concluded that 35 years strikes the right balance. It protects councils from losing newly built homes before they have recovered their investment while retaining a route to home ownership for tenants over the longer term. Reducing the exemption to 10 years would not provide sufficient protection and would act in direct contradiction to our commitment to back councils to build again at scale. It would allow homes to be sold long before their development costs have been recovered. A 35-year exemption will give councils the certainty and confidence to build, knowing that new homes will remain available as social housing for a meaningful period. New clause 2 was tabled by the hon. Member for Taunton and Wellington. I recognise the concerns that motivated this proposed new clause. However, the Government cannot support a proposal that would allow individual local authorities to suspend or abolish the right to buy in their area. We remain committed to a reformed right to buy that continues to provide long-standing council tenants with a route into home ownership while better protecting social housing stock, and we are reforming the scheme nationally to strike that balance. This new clause would create inconsistent access to that statutory right, with a tenant’s position depending on the local authority in which they live. That would, in effect, create a postcode lottery and make it difficult for tenants to understand whether the right to buy is available to them. We believe that the right approach is a consistent national framework, supported by national reforms that better protect council housing stock. That will ensure a fair and consistent offer for council tenants across the country. We also recognise that housing markets vary significantly across England. However, rather than creating different rights in different areas, the Government’s reforms reflect those differences through the discount regime. As I have already set out, discounts are calculated as a percentage of a property’s value and are subject to regional cash caps, helping to ensure that the scheme responds to local property market conditions while maintaining a fair and consistent national entitlement for eligible tenants. Amendment 9, which was tabled by the hon. Member for St Ives, has been spoken to by the Liberal Democrat members of the Committee. Again, I recognise the intention behind this amendment. Community-led housing is established to meet local needs and often includes arrangements intended to protect affordability for the long term. This Government have done a huge amount in this area and there is more to come to better support community-led housing. But in our view, the amendment is not necessary in relation to the principal form of community-led housing it identifies. Homes owned by community land trusts and fully mutual housing co-operatives are already outside the right to buy, and for those reasons the amendment would not provide the protection intended, beyond that which already exists. For those reasons, I would respectfully ask that hon. Members withdraw all their amendments, and I commend clause 8 to the Committee.
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27 Oct 2026ParliamentLabour Matthew Pennycook
Social Housing Bill (First sitting)
This simple and straightforward clause ensures that the reforms to the right to buy are applied fairly and consistently. It protects tenants who have already made a valid application by ensuring that applications received by landlords ahead of the reforms coming into force will continue to be subject to the existing rules. That will avoid retrospective changes that could disadvantage applicants partway through the process. The clause also makes important provision in relation to rural exemptions, which links directly to the reforms in clause 8 and Government amendments 13 to 18. It provides that existing rural designations will continue to have effect after commencement, as if they were made under the new powers introduced by clause 8. That means that there will be no gap in protection for rural areas while the new framework in which local authorities self-designate as rural is implemented. Together, these provisions ensure a smooth and legally certain transition, protecting both tenants’ rights and the integrity of rural housing protections. Overall, the clause provides legal clarity, fairness and continuity as the reformed right to buy scheme is introduced. Clause 9, as amended, ordered to stand part of the Bill. Clause 10 Right to Buy: receipts
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27 Oct 2026ParliamentLabour Matthew Pennycook
Social Housing Bill (First sitting)
Let me say to hon. Members that I have never found the process in Delegated Legislation Committees particularly fast in any instance, but I recognise the reasonable concerns that have been put. I think they are unfounded, and for the reasons I will set out, I hope to reassure hon. Members. Clause 10 simplifies and modernises how the rules on right-to-buy receipts are managed. Its intent is to improve administrative efficiency and to provide flexibility. To understand our purpose behind the clause, it is important to have an accurate view of the current arrangements. As things stand, every stock-holding authority has an agreement with the Secretary of State, allowing it to retain all its net right-to-buy receipts, provided that it spends those receipts on replacement social housing. In practice, this is hugely administratively burdensome. There are over 160 stock-holding local authorities, all of which must be issued with identical section 11(6) retention agreements whenever the rules change. That requires issuing, tracking and chasing agreements for signature across every one of those authorities, creating unnecessary bureaucracy for both councils and central Government. Clause 10 replaces that with a simpler approach. It provides the Secretary of State with a power to disapply or modify the requirements on the use of receipts set out in regulations by determination, which will then apply consistently across all local authorities. That removes the need to replicate the same agreement process many times over. Concerns were raised in the other place that we may be seeking to use the clause to require councils to start repaying a portion of their receipts to the Treasury. Let me reassure the Committee that that is absolutely not the case. We fought hard to ensure that local authorities could retain 100% of their receipts. Hon. Members may recall that the previous Government temporarily made that change, but reversed it before the last election.
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27 Oct 2026ParliamentLabour Matthew Pennycook
Social Housing Bill (First sitting)
Clause 11 concerns the right-to-acquire scheme for housing association tenants, which is broadly modelled on the right-to-buy scheme, with most of the same rules applying. The right to acquire applies to housing association homes built or acquired with social housing grant after 1997. The Committee has already discussed the effect of and rationale for clauses 1 to 10, which amend the Housing Act 1985 to alter rules regarding the right to buy. Under section 184 of the Housing and Regeneration Act 2008, those changes also apply to the right-to-acquire scheme for housing association tenants. The Committee will understand that it is only right for the same eligibility criteria and exemptions to apply to both schemes, to ensure consistency and fairness for social housing tenants, regardless of whether they live in a council home or a housing association home. My officials have engaged with relevant stakeholders, such as the National Housing Federation, which is supportive of our consistent approach. Clause 11 also supports the broader policy objective of protecting social housing stock. That is a core objective of this Bill, and the Committee has debated it at length. As the discounts for the right to acquire are set out separately from those for the right to buy, they remain unaffected and will continue to be £9,000 to £16,000, depending on the location. Increasing them to align with the right-to-buy discounts would contradict our objective of better protecting social housing stock. The clause is consequential on previous clauses, and reflects the changes made to the rural area provisions, which is currently an area of divergence between the two schemes. Under the right to acquire, homes in designated rural areas are already exempt from sale, in recognition of the challenges of replacing stock in such areas. The clause helps to ensure that the new rural exemptions in the Bill apply consistently across both schemes. The clause will provide fairness for social housing tenants, support our objective of protecting social housing stock and ensure that the new rural exemptions operate coherently across both schemes. I commend it to the Committee. Question put and agreed to. Clause 11 accordingly ordered to stand part of the Bill. Clause 12 Restriction on certain sales of social housing by private registered providers
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27 Oct 2026ParliamentLabour Matthew Pennycook
Social Housing Bill (First sitting)
I will speak to Government amendment 19 and respond to each of the eight amendments in this rather large group. I have listened to concerns raised by parliamentarians and stakeholders over recent weeks and months that a four-week period between a private provider notifying a council or other provider in their area of the sale of a social home and the disposing of that home is not sufficient for local authorities to consider purchasing the property. I appreciate that local authorities were concerned that a four-week window would not align with their internal timing constraints, such as monthly cabinet or committee meetings. On that basis, the Government have tabled amendment 19 to extend the window of time that must pass between notification and the sale of a property from four to eight weeks. We think the amendment strikes the right balance between maximising opportunities to retain social homes and not causing undue delays to sales. I will come to the specific point that the hon. Member for Taunton and Wellington made about negotiations that are in train. Amendments 6 and 8, tabled by the hon. Member for Taunton and Wellington, seek to extend the disposal notification period. Amendment 8, as he just argued, would require an extension of the window to eight weeks where a provider could demonstrate they were taking steps towards purchasing the property. The Government’s amendment 19 goes further than that proposal by requiring eight weeks in all cases, so I hope he will support it. Amendment 6 would require a further extension to 12 weeks in areas designated as rural. We are not persuaded by the case for a longer notification window specifically for rural areas. A statutory minimum of 12 weeks could unnecessarily delay sales and require providers to deal with the additional burden and costs associated with having homes left unoccupied for extended periods. I should also stress that the notification period is just a minimum. I would expect private registered providers to engage and be flexible beyond that period where there is a serious interest from another landlord in the social housing sector.
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27 Oct 2026ParliamentLabour Matthew Pennycook
Social Housing Bill (First sitting)
I appreciate the concern. I will make two points in response to the hon. Gentleman. First, it is just a matter of fact that there will be different challenges in different areas. What we have tried to get to with the increase in the notification period from four to eight weeks is a period in which we think it is reasonable for all local authorities to consider these matters. What I have not had is compelling evidence—if he has any, I would like to see it—to suggest that local authorities would not be able to deal with these matters in an eight-week period. I stress again that the notification period is just a minimum. We would expect private registered providers to engage and be flexible beyond this period where there is a serious interest from another landlord in the social housing sector. I hope that reassures him. Amendments 102 and 103, tabled by the hon. Members for Newbury and for Taunton and Wellington, would require written consent from the local authority for the sale of a social home in a rural area or one with four or more bedrooms. Again, I recognise the strength of feeling on this matter. I and the Government want to ensure that every opportunity is taken to protect much needed social housing stock. I would expect private registered providers to think particularly carefully before selling homes that meet acute housing needs in local areas. However, housing associations remain independent organisations responsible for their own asset management, and the Government cannot support an approach that would prevent landlords from making legitimate business decisions about how to manage their stock without the agreement of the local authority. I am happy to go into the reclassification risks that arise in this area with the hon. Members. I have debated those points at length with a number of Members on both sides of the House. I should also point out that the previous restrictions that required approval by the Regulator of Social Housing for disposals of homes had to be removed in 2017—the hon. Member for Newbury, with his experience in the sector, will remember this—to reclassify the housing association sector back to private. I fear that introducing a requirement for local authority approval would represent a significant classification risk. It is not the only classification risk—these things are considered by the Office for National Statistics in the round—but nevertheless it is a material risk from our point of view.
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27 Oct 2026ParliamentLabour Matthew Pennycook
Social Housing Bill (First sitting)
That is a fair point. The particular reasons that individual providers dispose of stock vary wildly across the country. In the case of disposals that are driven by increases in standards, we are seeing some of that, but it is also the case that there are occasions when local authority or other providers are, for their own reasons, based on their own assessment of the stock, able and willing to take those homes on. I do not think that we can specify a general rule. What we are trying to do here is to give local authorities and other providers the maximum possible opportunity to pick up those stocks and to retain them in the social housing sector, if that is possible. To be very clear and honest with the hon. Member, that may not always be possible, and those homes may be disposed of on the open market, but we want to increase the chances of them being able to be retained in the sector, for all the reasons that we have gone into. Amendments 1 and 5 would add the Regulator of Social Housing to those bodies that must be notified prior to a disposal. The regulator plays a vital role in ensuring that our social landlords deliver the quality homes and services that their tenants deserve. As part of the regulatory framework, private registered providers must be able to demonstrate a strategic rationale for disposals and understand the implications for their total social housing stock. I am not persuaded that requiring private registered providers to notify the regulator of a future disposal would enable it to better regulate against the standards that it sets. The regulator plays no role in approving such disposals; that decision properly rests with the landlord. The regulator is already notified once a disposal has occurred, so it has an overview of the numbers and types of disposals that are occurring. Amendment 101 would, similarly, require community land trusts with social housing in the area to be notified. Of course, community land trusts that are registered with the Regulator of Social Housing would already be notified under the requirements of the clause. I am aware that not all community land trusts are registered with the regulator, and that is their choice, but the focus of the clause is to keep homes in the regulated sector where it is possible to do so. The notification process is therefore focused on notifying providers that are registered with the regulator. Amendment 99 would require a sales notice provided to the local authority and other registered providers in the local area to be published on the website of the private registered provider intending to dispose of the property. One of the main aims of the clause is to increase transparency around disposals. However, there is a balance to be struck between the benefits of transparency and the burdens and costs to private registered providers. We believe that the amendment would introduce an unhelpful level of bureaucracy around the disposal notification process. While some providers may choose to publish notifications of sale on their websites, requiring publication via legislation is disproportionate.
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27 Oct 2026ParliamentLabour Matthew Pennycook
Social Housing Bill (First sitting)
I certainly do not make it a point of principle to resist all amendments despite how sensible some will be. The hon. Member will see in the list of Government amendments that we will be debating many points that were raised by noble peers and that we have taken on. I will go away and reflect on how much of a burden this would be, but let me make a general point. This is my third Bill Committee as a Minister, and I sat on probably 13 while in opposition. The natural tendency of Oppositions is to call for further requirements, further regulations, further reviews and further assessments, because often they have nothing more to say on the point of principle of the particular clause. There is a cumulative impact of layering all of that on top. We want to ensure that the balance is struck properly, and that the disposals process is proportionate and is streamlined to an extent, but I will go away and reflect on the particular point and review whether requiring private registered providers to do what he suggests would be as burdensome as we think.
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27 Oct 2026ParliamentLabour Matthew Pennycook
Social Housing Bill (First sitting)
I take the hon. Member’s point and, as I committed to doing in response to the hon. Member for Taunton and Wellington, I will go away and reflect. I am happy to provide a fuller, written answer to both hon. Members.
Hansard source
27 Oct 2026ParliamentLabour Matthew Pennycook
Social Housing Bill (First sitting)
As the hon. Member for Taunton and Wellington set out, amendments 2 and 3 would introduce a right of first refusal for the local authority and other registered providers notified via a sale notice during the notice period. That right would be on the condition that the home would remain as social housing and would require the private registered provider to sell the home at the existing use value for social housing. The corresponding amendment 10, tabled by the hon. Member for St Ives, would extend the right of first refusal to specific types of bodies that provide affordable housing. Some of those bodies would be registered with the Regulator of Social Housing, and therefore would already be included within amendment 3, but amendment 10 would also extend the right of first refusal to unregistered housing providers. I have heard clearly, both on Second Reading and today, the desire of hon. Members to protect social homes. I very much share that desire, but that must be balanced with the ability of private providers to operate efficiently and manage their housing assets, including by investing in more new homes or their existing stock. Sometimes that can mean selling a social home out of the sector. I can assure the Committee that I have fought long and hard, and challenged officials—they can verify that with nods—to ensure that we look in a lot of detail at what requirements can be put in place, and what levers we can try to pull, to keep as many social homes in the regulated sector as possible. A key consideration when thinking through possible interventions is the reality that interfering with private registered providers’ freedom to use and sell their assets as they wish would present a significant risk of reclassifying the sector. Not only would that bring £110 billion of debt on to the public books, but it would bring with it risk and uncertainty that could impact on the investment in the sector that is so needed. As I have said, I hope the disposals measure in the Bill will ensure greater transparency around disposals and support better dialogue between private registered providers and local authorities. I hope it will also focus minds to ensure that we minimise any negative impact resulting from disposals. Of course, there is nothing to prevent a private registered provider from choosing to sell to another provider at a lower price on the understanding that it remains social housing. I hope that the notification requirement introduced by the Bill will support such discussions. I am very open to ideas about what more can be done to support that dialogue, and I have tasked my officials to work with the sector to identify and promote good practice, as well as to explore what more the Government might do to reinforce it. Given the issues that I have highlighted, I believe we will get the best results by working together with private registered providers and local authorities to explore what more they can do and where we can support them to keep homes in the regulated sector. For the reasons that I have set out, primarily around reclassification risk, we cannot accept the amendments, and I ask the hon. Gentleman to withdraw his amendment 2.
Hansard source
27 Oct 2026ParliamentLabour Matthew Pennycook
Social Housing Bill (First sitting)
I appreciate the attempt, let us say, to have confidential advice to Ministers published in the round. That is not the usual practice—
Hansard source
27 Oct 2026ParliamentLabour Matthew Pennycook
Social Housing Bill (Second sitting)
It is an absolute pleasure to see you in the Chair, Mr Western. When we finished this morning’s sitting, I was responding to a point from the hon. Member for Taunton and Wellington, who is not in his place; I know he is a trusty reader of Hansard, so I am sure he will see my remarks. Essentially, I was saying that it would not be appropriate for me to share any specific advice that I have received on the matter that we are debating. It is not the standard procedure for the Government to put official advice in the public domain. I again draw the Committee’s attention to the fact that the decision taken by the Office for National Statistics back in 2015 clearly identified the approval of disposals by the Regulator of Social Housing as a key control that resulted in the reclassification of the housing association sector to public. It is the Government’s considered opinion that many of the suggestions for further controls over housing association assets, which go beyond the notification requirement in the Bill, would likely be a significant classification risk. I have committed to writing to the hon. Gentleman if there is any further detail that I can provide, but we are somewhat limited in what we can say about how the ONS makes those decisions.
Hansard source
27 Oct 2026ParliamentLabour Matthew Pennycook
Social Housing Bill (Second sitting)
Government amendment 20 requires sales notices from private providers to include information about whether the rent standard applies to the dwelling and, if it does, the rent category of the dwelling. Engagement with the sector has highlighted the importance of potential purchasers knowing the rent category of a home when taking decisions about purchasing it. That is because the rent category has implications for the future rent that can be charged, and therefore the future income potential of the property. I remain mindful of the need to ensure the disposal notification is proportionate and limited to the information that is most useful to those considering purchasing the property. We believe information relating to the dwelling rent category is a useful and reasonable addition to the information requirements. I therefore urge the Committee to support the amendment. Amendment 82 would require the Secretary of State to have regard to the operational and financial independence of private registered providers when making regulations under proposed new sections 171B or 171A of the Housing and Regeneration Act 2008. A common theme in my responses to the amendments on the disposals measure in this Bill is that I recognise that private registered providers are private bodies that need to be allowed to make their own business decisions. In short, for that reason, I do not think the amendment is required. If making regulations, the Secretary of State would necessarily be aware that housing associations are private bodies. I reassure the shadow Minister that we have no current intentions to use these powers. I believe that the hon. Member for Newbury spoke only to amendment 100. Am I wrong?
Hansard source
27 Oct 2026ParliamentLabour Matthew Pennycook
Social Housing Bill (Second sitting)
I will deal with both, in that case. Amendment 7, in the name of the hon. Member for Taunton and Wellington, would significantly expand the information required to be included in sales notices where a private registered provider intends to dispose of a property outside of the regulated sector, to include, for example, whether a property complies with the decent homes standard, its EPC rating and whether it has been adapted for accessibility. The Government’s view is that adding requirements for more information to be included in the sale notice would not be proportionate. We do not want to impose additional unnecessary burdens on providers, and we certainly would not wish to see information requirements introduced that would mean additional reports need to be produced, or surveys carried out, though I note the hon. Member’s amendment does seek to avoid this. Our view is that extending the notification window to eight weeks will allow providers to have the opportunity to request further information that they judge to be necessary to their consideration of a potential purchase. However, I do not think that requiring the inclusion of all this information by law is a proportionate response. Our aim is to capture the basic elements that will always be relevant to providers when considering purchasing a home, and provide more time for inquiries to be made where needed. That point has come up previously. The provisions in the Bill do not prevent those notifications and requests for further information between the parties in question from being made. That is the basis on which I brought forward amendment 19, which requires information on the category of rent, which we think is an important improvement. Amendment 100, which is in the name of the hon. Member for Newbury, would require providers to categorise their reason for disposing of a property as either financial viability, the cost of energy efficiency retrofits, stock rationalisation or some other reason that might be specified through secondary legislation. My concern is that seeking to prescribe particular categories of reason in the notice might result in a less helpful notification. Let me explain why. First, it requires providers to identify one particular reason behind the sale. It is possible that the proposed sale will be based on more than one of these categories. It is also possible that there might be a different driver entirely. In response to a very reasonable question from the hon. Member for Broxbourne, I tried to give a sense of the variety of reasons that individual providers might be disposing of particular stock. Secondly, there is a risk that by setting out the categories in legislation, providers will just use the default descriptions of the reason and fail to provide a fuller and more helpful description for those being notified. Thirdly, although I do not think this was the intention of the hon. Member for Newbury, the amendment would have the effect of preventing sales from going ahead. No sale can proceed without a notice, and the notice must be valid. To be valid with this amendment in place, the notice must include one of a limited list of reasons. The Government cannot support an amendment that would prevent legitimate disposals. For those reasons, I hope that the hon. Member will not press the amendment to a Division.
Hansard source
27 Oct 2026ParliamentLabour Matthew Pennycook
Social Housing Bill (Second sitting)
As I have set out, the Government are committed to protecting our much-needed social housing stock. As it stands, there is no requirement for advance notification of disposals of social homes, meaning that opportunities to retain them within the social housing sector can be missed. Although private registered providers may choose to dispose of homes for valid reasons, including to support investment in new supply and the effective management of their stock, we understand that that can have a particularly acute impact in areas where the supply of social housing is already constrained. It is therefore important that opportunities to retain homes within the social housing sector are not missed, particularly in areas with significant demand or where replacement is particularly difficult. Clause 12 will achieve that by requiring providers to notify the relevant local authority and other registered providers in the area before a sale can be completed. It creates a short window during which completion of a disposal cannot take place, while still allowing providers to market the property and continue with their disposal plans as usual. The window was set at four weeks upon introduction of the Bill, and the Government are seeking to extend that window to eight weeks, in response to concerns raised by both Houses and by stakeholders that it was too short. The new window of time allows local authorities and other providers to consider whether they wish to acquire the property, helping to retain homes within the social housing sector. To help them in that initial assessment, the notice is required to provide certain basic information such as the address, the number of bedrooms and bathrooms and its estimated value. Earlier, I spoke to an amendment to include the category of rent in the sale notice, which we think is a reasonable and fair addition. The clause is targeted and proportionate. It includes sensible exceptions such as sales to another registered provider, sales to the tenant and certain low-cost home ownership transactions. It is important to be clear that this is not a consent regime. The clause does not prevent disposals, does not restrict who a property may be sold to, and does not interfere with providers’ ability to make legitimate stock management decisions. It is a light touch and proportionate measure to improve transparency, embed consistent good practice across the sector—I have detailed some of the non-legislative means where we intend to work with the sector to go further— and support the Bill’s broader objective of safeguarding and sustaining social housing stock. Amendment 4, in the name of the hon. Member for Taunton and Wellington, would introduce additional requirements for disposals in designated rural areas. I support the intention behind it: to ensure that a private registered provider and the relevant local authority discuss appropriate solutions to possible disposals of social housing in rural communities well before a disposal has taken place. I am not convinced, however, that the best way to achieve that outcome is by requiring annual reports on stock condition and a statutory consultation on options for the regeneration of social housing prior to disposal. The provisions in the Bill will ensure that a local authority is aware of a potential disposal. I hope that that gives local authorities, particularly in rural areas, an opportunity to ensure that there is an effective dialogue before the disposal takes place. Requiring statutory consultations on the regeneration of social housing would likely place significant time and administrative costs on both local authorities and private registered providers, and materially impact the ability of private registered providers to make the necessary commercial decisions required to manage their assets effectively and safely. More broadly, through information published by the Regulator of Social Housing, local authorities can already access information about PRP-owned social housing stock within their local authority area, including information relating to whether stock meets the decent homes standard. An annual report on stock condition would be duplicative of the existing rigorous requirements. I am sympathetic to what lies behind the amendment, but I am not convinced that we need to legislate in this way to achieve our shared aim.
Hansard source
27 Oct 2026ParliamentLabour Matthew Pennycook
Social Housing Bill (Second sitting)
Shared ownership is an important route into home ownership and has enabled hundreds of thousands of people to get on to the property ladder who otherwise would not have been able to do so. However, the Government are fully aware that shared owners continue to face serious difficulties relating to affordability, transparency, management, staircasing and resale challenges. Although some of these challenges affect leaseholders more widely—high and rising service charges are a good example—they can have a disproportionate impact on shared owners, given that the product is aimed at households on lower-to-middle incomes. Yesterday, I tabled a written ministerial statement setting out the Government’s position on shared ownership and the action we are taking to improve the experience of shared owners. We are determined to ensure that shared ownership is fair, transparent and affordable across its life cycle. That is why we are taking forward a phased programme of targeted improvements. The first phase, which has been under way for some time, has focused on improving the customer experience and giving providers greater certainty, stability and confidence to deliver new shared ownership homes. We have set clearer expectations for registered providers receiving funding through the social and affordable homes programme, including giving greater consideration to long-term customer affordability, increasing transparency and fairness around costs, and allowing customers to opt out of fees for optional services. We have also made it clear that fees charged to shared owners should not be used as a source of profit or to cross-subsidise other activity. Work is now under way on the second phase of our improvement programme. This will include reducing barriers and costs associated with staircasing; exploring options to support resales; improving information and guidance for existing shared owners; and reviewing buy-backs as an exit route for those who either cannot afford to remain in or cannot sell their home. Alongside that, we will improve shared ownership data quality and collection, helping us to better understand the experience of shared owners over time and pressures such as long-term affordability. Clause 13 would require a statutory review of shared ownership. I recognise the concerns that motivated the amendment in the other place—Lord Young has been a consistent and forceful champion for shared owners and I commend his work in doing so—but these are precisely the issues the Government are already focused on and will continue to progress through the improvement programme that is already under way. As is set out in the written ministerial statement I made on Monday, we have done lots to date. There is more to come on those issues I identified. For that reason, we feel that a statutory review would duplicate that rather than deliver the practical improvements that shared owners need beyond the work that the Government are already undertaking. I urge the Committee to oppose the question that clause 13 stand part of the Bill.
Hansard source
27 Oct 2026ParliamentLabour Matthew Pennycook
Social Housing Bill (Second sitting)
I thank hon. Members for their contributions. I said this in my opening remarks, but let me reinforce it: we absolutely appreciate that shared owners across the country face issues, but I do think that there is a regional element to this. From the feedback I receive, it seems to me that the experience of shared owners in London and other parts of the south are far more problematic than shared ownership in parts of the north, where it is quite a successful product and does not have the issues that are often confronted. Serious affordability, transparency, management, staircasing, and resale challenges are being experienced. I know that from my own postbag; I have lots of shared owners in my constituency. I speak as someone who grew up with a single parent myself, but lots of shared owners are often single women who got a mortgage on the basis of an affordability calculation and have seen, within two or three years, service charges and other costs increase to the point that their home is no longer affordable and would not be counted as such on that affordability check. They are under real pressure. We recognise those pressures and I understand that any shared owners watching will see this clause as a sort of lifeline. Notwithstanding the points made by the right hon. Member for Melton and Syston about the frequency with which Ministers in previous Conservative Administrations were cycled through, I think I am right in saying that if I make it to Thursday I will be the longest serving Housing Minister since 2010.
Hansard source
27 Oct 2026ParliamentLabour Matthew Pennycook
Social Housing Bill (Second sitting)
We have better form on permanence of our policy and our ministerial certainty and stability. Notwithstanding the right hon. Member’s attempts to beguile and flatter me, I cannot accept the new clauses, for two reasons. I will take them in turn, but essentially I do not think that either is proportionate or necessary. New clause 45 would require the Secretary of State to publish a model shared ownership agreement, but model shared ownership leases are already available, and they contain the fundamental clauses governing how shared ownership operates—including many of the matters raised by the right hon. Gentleman. Providers delivering grant-funded shared ownership are required to use leases containing these clauses and comply with wider grant funding requirements. To give Members a sense that we are thinking about these things, part of the reason that I made the written ministerial statement on Monday was because we have done a huge amount of work in this area, but we have never brought it together into one place in the context of a wider improvement programme. The fault for that is on me and I throw my hands up, but a lot of work has already been done, and a lot of work is to come. Tackling specific issues, we know that shared owners who want to staircase can face barriers such as transaction costs, a lack of information, rising property values and wider affordability pressures. HomeOwners Alliance estimates typical transaction costs of around £2,000—that was two years ago, in 2024. In the WMS, we have committed to considering measures to reduce existing barriers to staircasing, such as those up-front and ongoing transaction costs. The issue of buy-backs arose in the context of the Renters’ Rights Act 2025, again from Lord Young pressing the case for shared owners. I am absolutely and acutely aware that buy-backs can be a lifeline for shared owners who, through no fault of their own, find themselves unable either to afford to remain in their home or to sell it, whether due to building safety defects, high service charges or lease-related restrictions. Again, we have committed and made clear in the WMS that we are intent on undertaking a comprehensive review of the functioning of buy-backs, to better understand practical barriers and solutions, and to look at specific issues such as the current use of recycled capital funding grants. That work is under way. It is also worth saying that lots of the problems that affect shared owners go beyond them to affect other leaseholders. The actions we are taking in several areas will benefit shared owners along with other long residential leaseholders. A good case is the standardisation and transparency measures that we are introducing in respect of service charges using powers in the previous Government’s Leasehold and Freehold Reform Act 2024. We will lay those statutory instruments in the very near future, so hon. Members can look forward to that. Shared owners who are experiencing those high and rising service charges will benefit from those provisions. The right hon. Member for Melton and Syston got to the point of the substantive matter at hand, which he framed as an “extra opportunity”. If he can put his ministerial hat on from when he stood here for many years, I gently ask him whether it is reasonable and proportionate to require, through a Social Housing Bill, a statutory review of shared ownership, given all that the Government are doing. Is it really proportionate to require a statutory review just to give that extra opportunity? We already consult the Shared Owners’ Network and other representative groups. If hon. Members are telling me that we can do more, I am happy to work with them to get shared owners and their experiences into the Government’s thinking so that they are better reflected. If there is more that we can do to improve the improvement programme that is already under way, I am more than happy to hear about that, but it is a little stretching to say that it is absolutely essential just for, to quote the right hon. Member for Melton and Syston, that “little extra opportunity” to cover those issues. We are looking at issues in the round. We are considering the comprehensive set of challenges that shared owners face.
Hansard source
27 Oct 2026ParliamentLabour Matthew Pennycook
Social Housing Bill (Second sitting)
In some ways, it is pure semantics. We have a comprehensive improvement programme under way. If the right hon. Member looks at my written ministerial statement from yesterday, he will see the work that we have already undertaken: material changes, including to the social and affordable homes programme, where we are setting firmer expectations for providers that receive grant funding. A lot of work is already under way. Whether the right hon. Member calls it a review or an improvement programme, shared owners across the country will rightly focus not on what we term the work that is under way, but on the benefits they see coming out of that work. They can already see some of those in the expectations that we have set, but there will be more to follow.
Hansard source
27 Oct 2026ParliamentLabour Matthew Pennycook
Social Housing Bill (Second sitting)
My Whip whispers in my ear that that is a matter for Mr Speaker. The hon. Member and any other Member of the Opposition can secure a Westminster Hall debate or an Adjournment debate on this subject. I am more than willing to debate shared ownership or any other housing matter.
Hansard source
27 Oct 2026ParliamentLabour Matthew Pennycook
Social Housing Bill (Second sitting)
I have made a written ministerial statement that sets out the Government’s work in this area. Taken together, the existing framework of model leases and guidance, alongside the substantive programme of improvements that is already under way, address the issues at the heart of both new clauses. We continue to have constructive engagement with Lord Young and others in the other place who have concerns about this issue, but we do not believe that a further statutory model agreement or a separate statutory strategy is necessary. I therefore ask the shadow Minister not to press new clauses 41 and 45. Question put, That the clause stand part of the Bill.
Hansard source
27 Oct 2026ParliamentLabour Matthew Pennycook
Social Housing Bill (Second sitting)
Clause 14 and its associated schedule 1 will address a clear legal gap in respect of social housing tenancies, namely that existing legislation provides scant protection for social housing tenants who are victims of domestic abuse and who wish to remain in their current home without their abuser. Landlords can evict perpetrators but only in cases where the victim has already left. That means that, all too often, victims are forced to choose between staying in danger and losing their home. As I argued on Second Reading, that is an utterly unacceptable state of affairs; taken together, the clause and schedule will end it. Schedule 1 will introduce stronger powers for landlords to enable them to take possession of a property where domestic abuse has taken place without the requirement for the victim to leave. It also strengthens protections to help victims remain safely in their homes where possible or move to suitable alternative accommodation where necessary. These measures form part of the Government’s wider commitment to tackle violence against women and girls, ensuring that the housing system supports, rather than frustrates, a victim’s route to safety and recovery. The new mandatory grounds in the schedule seek to provide a clear framework by which courts must grant possession if the threshold has been met. Crucially, under the discretionary grounds in the schedule, the court must take into account the opinion of the victim before making the decision, helping to ensure that victims remain at the centre of the process. A key focus of the measures is providing certainty in cases of joint tenancies. The schedule ensures that, if conditions are met for joint tenancies, the court will transfer the perpetrator’s interest in the joint tenancy so that the victim becomes the sole tenant. Where it is not appropriate for a victim to remain in their current home, the Bill allows a court to order suitable alternative social housing where the landlord has such accommodation available. The court must, as far as possible, take into account the victim’s views when considering the suitability of alternative accommodation. If a landlord cannot satisfy the court that a suitable home will be available, the victim will not be forced to move under these provisions. Clause 14 and schedule 1 provide that the new measures will apply where the victim and perpetrator are personally connected and the victim currently lives in the property or has left due to domestic abuse. The measures critically remove the requirement for the victim to have fled the property before possession action can be taken. They also protect victims of modern slavery where the victim and perpetrator are personally connected and the other conditions in the Bill are met. We will continue to work with the Independent Anti-Slavery Commissioner, the Home Office and the wider sector to ensure effective implementation. It would be remiss of me not to say that our work with the Ministry of Justice and the Home Office has been, in my view, an exemplar of cross-departmental working to resolve a pressing issue. In aligning with the definition of domestic abuse under the Domestic Abuse Act 2021, the measures also cover a broader range of conduct. They protect those most at risk who currently live, or previously lived, in a property with a perpetrator, while remaining clear and workable in practice. Government amendments 22 to 73 address concerns raised in the other place about the evidence needed to use the discretionary grounds in domestic abuse cases. We have listened carefully to those concerns and we have acted. The amendments strengthen the discretionary domestic abuse grounds by ensuring that the existence of a relevant protective order is sufficient to satisfy the first stage of the ground ahead of the court’s determining whether it is reasonable to grant possession. Where either a non-molestation order or a domestic abuse protection order is in force against a perpetrator, landlords may rely on it as evidence for the courts to then progress to consider whether it is reasonable to grant possession. That removes the need to separately establish whether domestic abuse has taken place where an order is in place, making it easier for social landlords to take possession action where a court has already made an order protecting the victim. An order will be disregarded if an appeal remains unresolved or results in the order being overturned. The amendments do not make possession automatic. The courts will still need to consider whether it is reasonable to make a possession order, retaining judicial oversight through the existing reasonableness test. The amendments will simplify the process and give greater confidence to landlords and victims when seeking possession. The amendments also make technical and consequential changes to the domestic abuse provisions in schedule 1. They align the terminology used in the Bill with the definition of domestic abuse in section 1 of the Domestic Abuse Act 2021, make consequential changes and align wording across equivalent provisions in the Bill and, finally, clarify how the tenancy transfer and possession provisions operate. The amendments will ensure that, where the conditions for making a possession order on the basis of suitable alternative accommodation apply, the transfer of tenancy provision will also operate. The effect is that the perpetrator tenant’s interest is severed in all cases where the ground for possession is met and the court is satisfied that an order should be made. That will help deliver more consistent outcomes for victims in joint tenancy cases. Taken together, the amendments improve the clarity and consistency of schedule 1 and ensure that the domestic abuse provisions operate as intended. I commend clause 14, schedule 1 and the Government amendments to the Committee.
Hansard source
27 Oct 2026ParliamentLabour Matthew Pennycook
Social Housing Bill (Second sitting)
I thank the hon. Member for Newbury, the shadow Minister and the right hon. Member for Melton and Syston—I never know whether I am pronouncing that entirely correctly—
Hansard source
27 Oct 2026ParliamentLabour Matthew Pennycook
Social Housing Bill (Second sitting)
I welcome the cross-party support for the intent behind these provisions and their effect. In some ways, I would go so far as to say that they are groundbreaking in what we have tried to achieve. As I said, there has also been very effective cross-departmental working. On the specific point that the hon. Member for Newbury raised, there are mandatory grounds for possession in the Bill, but they apply only when a breach of a relevant order has taken place. The changes we have made to the discretionary possession grounds are to allow for the existence of an order to be relevant grounds for the court, rather than a breach having to take place. However, there are mandatory grounds in place. I am happy to set that out in more detail for the hon. Member, in writing, if he is interested. I know that he takes a keen interest in these matters. I will turn to the two non-Government amendments that have been tabled, starting with amendment 12. This issue, and a version of the amendment, was raised in the other place by Baroness Neate. I would like to give the Committee the same reassurances that we gave the noble Baroness, and that she accepted, in debates in the other place. First, the Government agree, as I think we all would, with the principle that survivors of domestic abuse should not face unfair barriers to social housing because of debt arising from that abuse. That is why, in the national plan to end homelessness, we committed to addressing the barriers faced by survivors of domestic abuse with debt when applying for social housing through our update to the statutory guidance on social housing allocations. We continue to believe that primary legislation is not the right approach in this area. There are sensitive and inherently complex cases at play here, and the amendment would introduce a rigid rule that would not allow local authorities to take proper account of individual circumstances. Updated statutory guidance will allow us to set clear national expectations while preserving the flexibility needed to reach fair and sustainable decisions in individual cases. Work is already under way to review the guidance, and we will consult on the updated guidance early next year. We continue to believe that guidance is the best route to resolving this issue, as I made clear on Second Reading—I think my hon. Friends the Members for Uxbridge and South Ruislip and for Birmingham Yardley (Jess Phillips) pressed me on that. I am happy to reiterate that if guidance proves insufficient, we have the option of making regulations to amend the relevant legislation. The Government’s position has not changed. We support the objective of removing unfair barriers for survivors, but believe that updated statutory guidance, backed by existing regulation-making powers, if necessary, is the more proportionate and effective route.
Hansard source
27 Oct 2026ParliamentLabour Matthew Pennycook
Social Housing Bill (Second sitting)
We will absolutely keep the effectiveness of that guidance under review. I reiterate the commitment I have made, which I have tried to put as plainly as possible: if that guidance is not effective, we will introduce regulations to ensure that we resolve the issue. However, we believe that there is a high chance that the guidance will be successful in achieving the outcomes we want. That is our preferred route in the near term, but I am determined to ensure that the issue is addressed. The Baroness accepted the commitments we made in the other place, and those regulations are available if we require them. Turning to new clause 30, the Department already collects data through CORE— continuous recording of lettings and sales in social housing—on how many new tenancies were given to victims who left their previous tenancy because of domestic abuse, which provides an important baseline for monitoring outcomes as the reforms are implemented. The Ministry of Justice also publishes quarterly statistics on landlord possession proceedings in the county courts of England and Wales. Those cover claims, possession orders, warrants and repossessions, including for social landlords. We will work with the Ministry of Justice, social landlords and the domestic abuse sector on implementation—the hon. Member for Orpington would expect nothing less. That includes developing clear guidance so that landlords know how and when to use the measures and how to support victims. The new clause would also require an assessment of how courts and other organisations identify domestic abuse. On 5 October, the Government launched the judicial finding of domestic abuse, a significant step forward in improving the identification and management of domestic abuse offenders across the criminal justice system. As part of sentencing, judges will be required to make a judicial finding of domestic abuse in open court where the evidence supports such a finding as defined by the Domestic Abuse Act 2021. That will provide a formal record where an offence involves domestic abuse. Those findings will be recorded in court records and shared with police and probation. The judicial finding will enable police, courts, prisons and probation services to recognise domestic abuse offenders and respond to the risks they pose more effectively. Subsection (2)(b) of the new clause extends beyond the purpose of these measures. The Bill does not alter the way local authorities identify previous victims or perpetrators when allocating new social housing tenancies. That is a matter for local authorities to determine when assessing need and priority for an allocation of social housing. The measures that the Government have put forward in this part of the Bill will help ensure that our reforms can operate effectively. The Government amendments provide the necessary technical changes to support the operation of the provisions and ensure that the legislation works as intended. I welcome the cross-party support for the measures and ask the Committee to support Government amendments 22 to 73. Question put and agreed to. Clause 14 accordingly ordered to stand part of the Bill. Schedule 1 Protection for victims of domestic abuse
Hansard source
27 Oct 2026ParliamentLabour Matthew Pennycook
Social Housing Bill (Second sitting)
Clause 15 introduces schedule 2, which gives the Secretary of State the power to create one new general consent and removes the need to obtain the Secretary of State’s consent for certain transactions altogether. There are a range of circumstances in which local authorities must obtain the Secretary of State’s consent to undertake certain actions relating to their social homes, including how they account for them and when and how they can dispose of them. Some of the consents also apply to private individuals who own property that was once owned as social housing by a council or a new town corporation. The first measure gives the Secretary of State the power to issue a general consent to non-housing assets—for example, shops or recreation grounds—that are being accounted for in the housing revenue account in accordance with part II of the Housing Act 1985. That will enable the Secretary of State to permit all such accounting practices when they meet certain criteria. That will remove one obstacle from the process of planning new council developments. It will also make it easier for councils to include these additional premises in their developments, supporting the creation of thriving, liveable communities. The second measure streamlines the process by which local authorities can serve demolition notices, when homes are due to be demolished, that suspend or end tenants’ right to buy. Under schedules 5 and 5A to the 1985 Act, initial demolition notices can be issued for up to seven years, and final demolition notices, which can be issued once the local authority has acquired all the relevant properties for demolition or entered into binding agreements to acquire them, for up to two years. The provision removes the requirement for the Secretary of State’s consent when local authorities need to serve further interim or final demolition notices if demolition cannot be completed during the time of the original notice, and it sets out requirements that local authorities must follow when serving further interim or final demolition notices. Those changes will help local authorities to manage redevelopment schemes more efficiently while still requiring them to follow clear statutory conditions. Finally, the measure amends or repeals provisions in a number of Acts that require the Secretary of State’s consent for the onward sale of homes that have previously been owned by a local housing authority or new town corporation, even if those homes are already in the private market. The changes do not have effect in Wales, where the previous regime will continue. The changes will take away a completely unnecessary brake on these housing transactions in the private market. There is no longer any rationale for these now private homes to be subject to the Secretary of State’s consent, and consent is never in practice denied. All the changes are part of a suite of measures planned by the Government to simplify and streamline the council housing consent system in England and to empower local authorities who know their communities best. Government amendment 74 makes minor and consequential amendments to schedule 2. Paragraph 1(3) of the schedule omits section 171D(2) of the Housing Act 1985. That subsection currently requires the Secretary of State’s consent for certain onward disposal of homes already sold under the right to buy. As a consequence of that omission, references elsewhere in the Housing Act 1985 to consent under section 171D(2) are no longer required. Amendment 74 removes those redundant references, ensuring that the legislation will operate coherently once the requirement for consent is removed. The amendment does not make any further substantive change to policy; it simply makes necessary consequential amendments to give full effect to paragraph 1(3) of schedule 2. I commend clause 15 and schedule 2 to the Committee, and ask the Committee to support Government amendment 74. Question put and agreed to. Clause 15 ordered to stand part of the Bill. Schedule 2 Social housing: consent requirements Amendment made: 74, in schedule 2, page 37, line 22, at end insert— “1A ‘(1) Schedule 9A (land registration and related matters where right to buy preserved) is amended as follows. (2) In paragraph 4 (entries on register protecting preserved right to buy), in sub-paragraph (2), omit paragraph (b) and the ‘and’ preceding it. (3) In paragraph 5 (change of qualifying dwelling-house), in sub-paragraph (2), omit paragraph (b) and the ‘and’ preceding it.”—(Matthew Pennycook.) Section 171D(2) of the Housing Act 1985 is omitted by paragraph 1(3) of Schedule 2 to the Bill. This contains amendments that are consequential on that omission. Schedule 2, as amended, agreed to. Clause 16 Vacant higher value local authority housing Question proposed, That the clause stand part of the Bill.
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27 Oct 2026ParliamentLabour Matthew Pennycook
Social Housing Bill (Second sitting)
It is essential that local housing authorities have the flexibility to manage their stock in the way that best enables them to meet the needs of their local communities. Clause 16 therefore removes provisions in the Housing and Planning Act 2016 that would have forced councils to sell their highest-value council homes whenever they became vacant. I say, “would have forced” because these provisions were never implemented by previous Governments. Even so, the presence of the provision on the statute book has a negative effect on local authorities’ spending plans, since they could not be certain of the income streams from these properties, which typically earn higher than average rents and are cheaper to maintain. The policy was intended—I recall this because, as a relatively new Member, I sat on the Committee that considered the Bill that became the 2016 Act—to raise capital to supply new social homes, but it would ultimately have led to a net loss of social homes. Furthermore, when the 2016 Act was passed, a major aim of the policy was to help to fund the extension of the right to buy to housing associations. This Government have made it clear that they do not intend to take that extension forward. The last Conservative Government chose never to implement the measures due to the negative impact that they would have had on local authorities, and we are now going one step further by repealing the provisions altogether. I commend the clause to the Committee. Question put and agreed to. Clause 16 ordered to stand part of the Bill. Clause 17 Secure tenancies, introductory tenancies and demoted tenancies Question proposed, That the clause stand part of the Bill.
Hansard source
27 Oct 2026ParliamentLabour Matthew Pennycook
Social Housing Bill (Second sitting)
Clause 17 introduces schedule 3, which will repeal uncommenced provisions of the Housing and Planning Act 2016 that would have phased out lifetime secure tenancies and required new social housing tenants to be given fixed-term secure tenancies instead. As with the provisions that we have just debated, the rules were never brought into force and would have reduced security for tenants. Indeed, the inclusion of the fixed-term provisions in the 2016 Act received strong objections throughout the Bill’s passage. The Government support the use of lifetime tenancies because they provide stability and security for households, and help people to put down roots in their communities. Security of tenure matters, particularly for families, older residents, disabled people and others for whom a settled home is the foundation of wider wellbeing and opportunity. That was the rationale for the changes we recently implemented through the Renters’ Rights Act 2025. Although we promote the use of lifetime tenancies, the Government expect landlords to make the best and most effective use of their homes to meet housing need. Landlords can support tenants to downsize, transfer or mutually exchange their homes if their circumstances change. That helps people to move to properties that are better suited to them and ensures that social housing is used in the fairest way possible. Retaining the option for landlords to grant fixed-term tenancies is an important tool that allows councils to respond to specific circumstances, such as supporting time-limited resettlement schemes. The schedule also retains the existing approach to succession by reinserting the relevant provisions from the 2016 Act, ensuring that there are no substantial changes to how succession works in practice. The repeal of the uncommenced provisions will provide greater certainty to tenants and landlords, and ensure that the law continues to work properly after they are removed. The previous Government confirmed in their 2018 social housing Green Paper, after listening to residents’ concerns, that they had no intention of implementing those provisions. Once again, this Government are going a step further and repealing them from the statute book. Government amendments 75 to 77 make minor and technical changes to the succession provisions in schedule 3. Amendment 77 corrects the provision dealing with demoted tenancies so that it refers only to changes that apply to those tenancies. References to provisions that apply only to introductory tenancies are removed, as those cases are already covered separately. Amendments 75 and 76 make it clear that the sections 143H and 143J to which the provisions refer are sections of the Housing Act 1996. The amendments do not change policy or tenants’ rights; they simply clarify the Bill’s wording and make sure that references are correct and in order. I commend clause 17 and Government amendments 75 to 77 to the Committee.
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