Draft Housing (Tenancy Deposit Schemes) Order 2026
It is an honour to serve under your chairship, Sir Desmond. This is one of those occasions when a piece of legislation seems rather niche, but is completely obvious once we examine its purpose. The private rental sector has been broken for decades. In Tamworth and around the whole country <span id="6" class="column-number" data-column-number="6"></span>we have seen skyrocketing rents for poor-quality and substandard housing. Tenants have been living in houses or flats that feel neglected by their landlords, in areas that often say that they feel neglected by Westminster. Community spaces have vanished and been left neglected. Where people cannot own their own home, areas are left without strong advocacy for change. The Government’s Renters’ Rights Act has overhauled the entire sector, restoring fairness between tenants and landlords by giving over 5,000 tenants in Tamworth alone, and over 11 million renters across the country, greater security, rights and protections. The new rules mean that renters no longer have to fear last-minute no-fault evictions. Future rules brought forward by the Act mean that rented homes will have to meet higher standards, especially when it comes to tackling damp and mould. Renters have certainty that they can stay for longer in safe, good-quality homes and are no longer locked into contracts and unable to move for years. People with greater housing security can be further empowered to start building lives in the communities they live in. With that comes the need for serious investment in their local areas. The draft order means that the interest accruing on the estimated £5.5 billion already in the tenancy deposit schemes will not just go into the pockets of those administering that scheme, which is meant to be non-profit, but could instead be invested into local projects that align with what renters want to see in their areas. After all, that interest is generated from the tenants’ own money. It is only right that the renters and their communities can see the benefit. We estimate that the interest earned on a pot would be around £550 million. That is a lot of money that could help to restore libraries, reopen community centres, improve local facilities and create places where people want to live, not places where they have to live. Renters deserve more than just a secure roof over their heads. They deserve thriving communities, decent local facilities and a stake in the place they call home. We can already see the trajectory that the Government are plotting with the Renters’ Rights Act, and we can already see the difference they are making to communities such as Glascote Heath and Stonydelph through their £20 million Pride in Place programme. I urge the Minister to consider this opportunity to boost funds that communities can spend.