Localism Bill

My Lords, I hope that I can ease the minds of all noble Lords on this. When we say flexible tenancies, that is what we mean. We also mean, with localism, that local authorities, housing associations and social landlords will be able to make their own decisions about this. If local authorities decide that they have enough housing provision and can manage their tenancies without the flexibility that we are offering, and if, as the noble Lord said, they are providing specialist housing, for example for older people, they will offer lifetime tenancies and that will be it—no one will put any pressure on them. The reasons for introducing the measures relate, first, to the fact that housing is in short supply. Anyone who has anything to do with local authority housing knows that some people do not need lifetime tenancies. For various reasons they need them for a short term such as five or 10 years. At the end of that time their children may have grown up, they may need to move, their income may have improved so that they no longer need social housing and they may be perfectly happy to have a shorter tenancy. The move is in the right direction. It is correct that we should be able to say to local authorities that in discussion with their tenants they will be able to offer a tenancy of less than a lifetime. If, at the end of the three, four, five or 10 years that the tenancy is for, the situation has not changed, they will renew the tenancy. Nothing here threatens any housing association or anyone who is looking for social housing. We have made it absolutely clear, and I have laid information on this in the House Library, that the two years mentioned in the Bill—I do not accept the premise of the noble Lord, Lord Whitty, that we should put five years and then downgrade it to two—will be exceptional. Some noble Lords may not agree, but some people need only short-term accommodation. The Minister, Mr Shapps, cited someone he knew who had a major disability that was caused unexpectedly and who for a very short time needed help, which the local authority under these provisions would be able to give him because it could give a restricted-time tenancy. Other people such as recovering drug addicts and people with short-term financial problems should not be given a lifetime tenancy but would benefit from social housing for a short time on the understanding that if at the end of two years the situation has not changed they will be offered a further tenancy if it is required. I refute absolutely that we are trying to change the whole nature of a tenancy. We are trying to maximise the use and value of social housing. We have all agreed this afternoon that it is limited, that it is precious and that some people require it at various stages of their lives. To entitle local authorities to have flexibility in what they do seems to us to be just plain sensible at this stage and in the situation we are in. We have made it clear—again, this draft is in the Library—that two years is to be exceptional and that the tenancy policies of social landlords and local councils will have to state what they mean by exceptional. A tenancy policy will state what the landlord sees as a possible exception for two years. That will have to be laid out so that everyone knows what it is. The expectation is that these will not be used very frequently. They will probably be used very infrequently, but there should be the right to have that flexibility. Therefore, by definition, the tenures stretch from two years rather than five, as is being proposed. We wish the two years to stay in the Bill. I trust that the noble Lord, Lord Shipley, and others have received the letter that I sent during the summer saying what we are proposing to do. We have made clear to the social housing regulator that this is to be the situation in the new tenancy standard on which we are currently consulting. The revised text sets out that tenancies with a term of less than five years may be granted only exceptionally, and if social landlords decide that there are exceptional circumstances they will be able to set out in their tenancy policies what those exceptional circumstances will be. In addition to the example I have given, young people who need support for a short time, families who need a larger home for a short period and shorter-term support for recovering alcoholics and drug addicts are examples that we have been given as a result of the consultation on this by social landlords. They are real cases and there is a real ability to help people. When the noble Lord, Lord Shipley, raised this in Committee, I made it clear that we recognise that the needs of older people and those with disabilities, for example, are going to remain constant over the long term. It will certainly be open to local authorities to give them long-term tenancies. It is perfectly sensible to keep older people in the house or flat that they are familiar with and not to remove them from the people and places that are familiar to them. We believe that landlords understand that as well, but we believe that safeguards are needed and that the tenancy standards are the right place for them as they will cover all tenants. This is important because the amendment would not cover both social tenancies and local authority tenancies. We believe that they should cover both so there is no doubt about it. We are consulting on a draft direction, and we will consider whether that can be tightened up. The direction relates to the tenancy policy. If it is possible, I hope that we will have a draft of that before Report, but I shall not make any promises on that at the moment. We believe that Amendment 28, which was tabled by the noble Lord, Lord Shipley, is unnecessary. It seeks to guarantee continued security on moving home for secure and assured tenants, but only when they move to a local authority home. We want to make it clear that we are talking about moving within the affordable sector. Through the tenancy standards, we have guaranteed continuing security for existing tenants who move to another social-rented home. I hope that I have made it clear in what I have said and the way I have said it that we do not expect these provisions to do anything other than free some local authority and social housing from people who do not need it and make it available for people who do, but they by no means undermine the provision and ethos that people who need a home for life should have it. It is just recognition that that is not always the situation and that local authorities should be able to work to that.