Moved by
Lord Freud
64: Schedule 2, page 33, line 20, leave out sub-paragraphs (7) and (8) and insert—
“(6A) The Secretary of State may by regulations define “formula rent” and may, in particular, provide that it is a rent set in accordance with a method specified in the regulations.
(6B) Regulations under sub-paragraph (6A) may, in particular, make provision by reference to—
(a) the standard published in January 2015 by the regulator under section 194(2A) of the Housing and Regeneration Act 2008 (the powers of the regulator to set standards relating to levels of rent),
(b) Rent Standard Guidance published in January 2015 by the regulator, or
(c) Guidance on Rents for Social Housing published in May 2014 by the Secretary of State.”
65: Schedule 2, page 34, line 17, leave out sub-paragraph (6)
66: Schedule 2, page 34, line 26, leave out from beginning to end of line 30 and insert “the higher of—
(a) the amount found by—
(i) determining the rate of the market rent for that social housing when the tenancy begins, and
(ii) determining the amount that is 80% of the amount that would be payable in respect of a year if that rate had applied during the year, and
(b) the amount that would be payable in respect of the first relevant year if the tenant were paying rent at the social rent rate.”
67: Schedule 2, page 34, line 40, leave out from “is” to end of line 44 and insert “the higher of the amounts described in sub-paragraph (3A).”
68: Schedule 2, page 34, line 44, at end insert—
“(3A) The amounts referred to in sub-paragraph (3) are—
(a) the amount found by—
(i) determining the rate of the market rent for that social housing when the tenancy begins,
(ii) determining the amount that is 80% of the amount that would be payable in respect of a year if that rate had applied during the year, and
(iii) (if necessary) reducing that amount in proportion to the part of that relevant year that elapsed before the tenancy begins, and
(b) the amount that would be payable in respect of the period in question if the tenant were paying rent at the social rent rate.”
69: Schedule 2, page 35, line 31, at end insert—
“( ) an arrangement between a local authority and the Homes and Communities Agency, the Greater London Authority or the Secretary of State under which rents for social housing may be set on a particular basis.”
70: Schedule 2, page 35, line 32, leave out sub-paragraphs (5) and (6) and insert—
“(4A) Regulations under sub-paragraph (2) may define “affordable rent” and may, in particular, provide that it is a rent set in accordance with a method specified, or of a description specified, in the regulations.
(4B) The methods that may be specified in the regulations include, but are not limited to, methods that provide for a maximum level of rent when accommodation is initially let to be a certain percentage of market rent in certain cases or circumstances.”
71: Schedule 2, page 35, line 41, at end insert—
“( ) A reference to an amount of market rent includes a reference to an amount payable by way of service charge.”
72: Schedule 2, page 37, line 26, at end insert—
“( ) a direction that Part 1 is to have effect in relation to a private registered provider specified in the direction as if a reference in Part 1 to the social rent rate were a reference to that rate increased by the percentage specified in the direction;”
73: Schedule 2, page 38, line 12, at end insert—
“( ) a direction that Part 1 is to have effect in relation to a local authority specified in the direction as if a reference in Part 1 to the social rent rate were a reference to that rate increased by the percentage specified in the direction;”
74: Schedule 2, page 38, line 38, leave out paragraph 7
75: Schedule 2, page 39, line 9, after “1(5)(a)(iii)” insert “or (iv)”
76: Schedule 2, page 39, line 10, leave out “the beginning of 8 July 2015” and insert “a particular time”