Group 14: Information and guidance (Amendments 25, 26, 47, 53)

– in the Senedd at 6:25 pm on 19 March 2019.

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Photo of Ann Jones Ann Jones Labour 6:25, 19 March 2019

We move to group 14, which is information and guidance. The lead amendment in this group is amendment 25. I call on the Minister to move and speak to the lead amendment and the other amendments in this group—Minister. 

(Translated)

Amendment 25 (Julie James) moved.

Photo of Julie James Julie James Labour 6:25, 19 March 2019

Thank you, Deputy Presiding Officer. Amendment 25 amends section 41 of the Housing (Wales) Act 2014, which will help supplement existing guidance given to a licensing authority by the Welsh Ministers so that it may include specific provision about matters to be taken into account by a licensing authority in deciding whether a failure to repay a prohibited payment or holding deposit affects a person's fitness to be licensed under Part 1 of the Housing (Wales) Act 2014. It therefore helps in ensuring an appropriate read across between the provisions of the Bill and the landlord and agent registration and licensing system. Ultimately, a landlord or agent who makes a charge that is a prohibited payment will be risking their ability to hold the licence necessary to carry out lettings or property management work. These provisions will help deter rogue practice by a small number of agents and landlords, which is a blight on the private rented sector.

Amendment 26 will ensure local housing authorities make arrangements for information to be publicly available in their areas in whatever way they think appropriate about the effect of the Act. This will include information on how contract holders can recover a prohibited payment or holding deposit. While we are expecting a high level of compliance by agents and landlords with the Act, there may be some cases where contract holders do need to recover prohibited payments through the court. This amendment will assist any contract holders in finding information and support to assist them with recovering a prohibited payment or holding deposit.

I consider amendments 25 and 26 helpful additions to the Bill, which I hope Members will support. It's disappointing to see amendments 47 and 53 again after Stage 2. They were rightly rejected then for good reasons, and those reasons have not changed. Following Stage 2, I shared my communication plan with the Equality, Local Government and Communities Committee. As they will have seen, it details the extent of the broad communication strategy we will be employing to ensure that all parties are fully aware of the impact of the Bill. We have a direct link to landlords and agents through Rent Smart Wales. They will receive notification of the date that this Bill may come into force. They will also receive specific guidance letting them know what can and can't be charged and what the penalties are for breaches of this legislation. This will not be reserved for those landlords and agents who have signed up to receive update e-mails or letters, every single landlord and agent will receive this information. 

We will publish a revised version of the tenants guide, setting out the rights and responsibilities of tenants, and will encourage landlords and agents to provide these to tenants. The guide is currently available online. We have been and will continue to be in discussion with sector stakeholders. Landlord and agent groups will be useful in reminding their members of their responsibilities, and the prohibitions under the Bill. We expect groups representing the interests of tenants—Shelter Cymru, Citizen's Advice and NUS Wales, for example—to be at the forefront of getting the message out there to tenants and prospective tenants. 

The Rent Smart Wales code of practice will also be updated to reflect provisions in this legislation. This will make it clear that any breach of this legislation will potentially put a licence to operate in Wales at risk. We will, of course, be updating Rent Smart Wales and the 22 local authorities about the dates that this new law will apply, through my officials' regular contact with them, such as through the housing expert panel and the Rent Smart Wales stakeholder group. These activities will be accompanied by more general communications to alert the general public in Wales to the changes we are making, through media, social media and other channels.

At the end of the day, this legislation will not be effective if we do not ensure that we do everything we can to ensure everyone is clear on the new rules. What David Melding is proposing with these amendments is already going to be done. I've made that commitment to the committee and reiterate it to you all here today. To include it in this primary legislation would be unnecessary. It is a one-time-only occurrence and will become redundant after one month. Dare I say it, it's potentially not good law? As such, I urge Members to reject amendments 47 and 53.

Photo of David Melding David Melding Conservative 6:28, 19 March 2019

I know that amendment 25 is key to the Government's central narrative and that, here in Wales, the ultimate deterrent for deviation from the law is that a landlord could lose their licence under Rent Smart Wales, and this is reflected in this amendment, specifically in relation to the failure to repay a prohibited payment. As I've said, I believe we've missed a trick in not ensuring that the prohibited payment is repaid at the point of paying a fixed-penalty notice. I want to repeat my frustration at why this, to me, makes this Bill slightly less than what it could be. However, the Government's approach, as just outlined, could be effective as a second best and as part of a wider suite of measures and policy intent, as the Minister described. We'll be supporting them today, after the failure of my earlier amendments, because at least they do achieve something of the intention I was promoting. 

If I can turn to the information campaign. I am pleased the Government has shifted slightly on this area, because when I brought my amendment at Stage 2, I was under the impression that the Welsh Government wasn't going to bring forward any changes that required a strong communications campaign to be undertaken. So, we have moved and I accept that, but the approach is that you're putting responsibility on local authorities, and I think it should be with Welsh Government. So, my first amendment, amendment 17, places that requirement on Welsh Government Ministers to take reasonable steps to inform contract holders, landlords and letting agents of the changes being introduced in the Bill, and it stems from recommendation 2 of the Equality, Local Government and Communities Committee's Stage 1 report.

Amendment 53 is consequential to amendment 47 and would allow amendment 47 to come into force on the day after Royal Assent. This will allow the information campaign and the effects of the Bill to be disseminated to all relevant stakeholders at the earliest opportunity, and before the substantive provisions of what would then be an Act came into force.

For me, these are some of the most crucial elements of this whole policy, and this amendment, as I've put forward, is designed to ensure that we have a process that is similar to what was followed in the Abolition of the Right to Buy and Associated Rights (Wales) Act 2018 last year. There was broad consensus then from stakeholders that it was an important part of introducing a ban and that it should be clearly communicated. The Chartered Institute of Housing Cymru said, and I quote:

'There must be a comprehensive and clear programme of supported communication activity to ensure the public are aware of what 'fees' incorporate and therefore what enacting this legislation could mean for those renting in the future.'

They also made comparison to the provisions in the Abolition of the Right to Buy and Associated Rights (Wales) Act, as I've already referred to, which places duties on Welsh Ministers and local authorities to make tenants aware of forthcoming changes. And there was a lot of discussion on this element at the time of passage of that legislation. In oral evidence, it was highlighted that in Scotland, Shelter had a big communication campaign to make letting agents and tenants aware of the changes.

So, I am glad that the Welsh Government has listened to that extent and has emphasised the need for some form of campaign. We will watch this very carefully, if our amendment doesn't pass, that is, and ensure that this part of the change in law is effectively communicated. I do think it is important that when we make law, Deputy Presiding Officer, we're very attentive to this part of what we're doing and the need to communicate effectively. But I make one final plea to Members to support my version, which I believe, as it places the responsibility on Ministers, is a more robust way to go about ensuring there's an effective information campaign.

Photo of Ann Jones Ann Jones Labour 6:33, 19 March 2019

Thank you. Minister, to reply to the debate.

Photo of Julie James Julie James Labour

Thank you, Deputy Presiding Officer. Just to reiterate—I am grateful for David Melding's remarks—but just to reiterate that we will be informing the key target audience of the proposed legislation and its implications, because I agree with him that communication will be key in this regard. We will be making sure that landlords and agents know of their need to comply, and that contract holders will no longer be charged letting fees by their landlord or agent.

We'll be using websites, including Welsh Government's and key sector stakeholders' websites, media and social media channels, and updates to stakeholders' networks, and via our advocates. We will also maximise opportunities to promote the Bill to a wide audience so that they're informed about the Bill and its implications. Channels will include media and social media websites and the stakeholder networks themselves, including our local authorities, as David Melding acknowledges. And we will also be working closely with Rent Smart Wales to share information and target landlords and agents in the private sector who have registered and become licensed, because, Deputy Presiding Officer, we're very proud of the Bill and we want to make sure that people get the best advantage of it.

Photo of Ann Jones Ann Jones Labour 6:34, 19 March 2019

The question is that amendment 25 be agreed. Does any Member object? No. Therefore, amendment 25 is agreed.

(Translated)

Amendment agreed in accordance with Standing Order 12.36.

(Translated)

Amendment 26 (Julie James) moved.

Photo of Ann Jones Ann Jones Labour

The question is that amendment 26 be agreed. Does any Member object? [Objection.] Therefore, we go to an electronic vote. Open the vote. Close the vote. For the amendment 39, no abstentions and nine against, therefore the amendment is agreed.

(Translated)

Amendment 26: For: 39, Against: 9, Abstain: 0

Amendment has been agreed

Division number 1228 Amendment 26

Aye: 39 MSs

No: 9 MSs

Aye: A-Z by last name

No: A-Z by last name

Absent: 12 MSs

Absent: A-Z by last name

(Translated)

Amendment 47 (David Melding) moved.

Photo of Ann Jones Ann Jones Labour

Move. The question is that amendment 47 be agreed to. Does any Member object? [Objection.] Object, therefore, we go to an electronic vote. Open the vote. Close the vote. For the amendment 18, no abstentions, 30 against, therefore the amendment is not agreed.

(Translated)

Amendment 47: For: 18, Against: 30, Abstain: 0

Amendment has been rejected

Division number 1229 Amendment 47

Aye: 18 MSs

No: 30 MSs

Aye: A-Z by last name

Absent: 12 MSs

Absent: A-Z by last name

(Translated)

Amendment 48 (David Melding) moved.

Photo of Ann Jones Ann Jones Labour

The question is that amendment 48 be agreed to. Does any Member object? [Objection.] Therefore, we proceed to an electronic vote. Open the vote. Close the vote. For the amendment 20, no abstentions, 28 against, therefore amendment 48 is not agreed. 

(Translated)

Amendment 48: For: 20, Against: 28, Abstain: 0

Amendment has been rejected

Division number 1230 Amendment 48

Aye: 20 MSs

No: 28 MSs

Aye: A-Z by last name

Absent: 12 MSs

Absent: A-Z by last name

(Translated)

Amendment 49 (David Melding) moved.

Photo of Ann Jones Ann Jones Labour

The question is that amendment 49 be agreed to. Does any Member object? [Objection.] Object, therefore we go to an electronic vote. Open the vote. Close—. Whoever it was was just in. Close the vote. For the amendment 20, no abstentions, 28 against, therefore the amendment is not agreed. 

(Translated)

Amendment 49: For: 20, Against: 28, Abstain: 0

Amendment has been rejected

Division number 1231 Amendment 49

Aye: 20 MSs

No: 28 MSs

Aye: A-Z by last name

Absent: 12 MSs

Absent: A-Z by last name

(Translated)

Amendment 52 (David Melding) moved.

Photo of Ann Jones Ann Jones Labour

The question is amendment 52 be agreed. Does any Member object? [Objection.] Object, therefore we proceed to an electronic vote. Open the vote. Close the vote. For the amendment 20, no abstentions, 28 against, therefore the amendment is not agreed. 

(Translated)

Amendment 52: For: 20, Against: 28, Abstain: 0

Amendment has been rejected

Division number 1232 Amendment 52

Aye: 20 MSs

No: 28 MSs

Aye: A-Z by last name

Absent: 12 MSs

Absent: A-Z by last name

(Translated)

Amendment 51 (David Melding) moved.

Photo of Ann Jones Ann Jones Labour

The question is amendment 51 be agreed to. Does any Member object? [Objection.] We will proceed to an electronic vote. Open the vote. Close the vote. For the amendment 20, no abstentions, 28 against. Therefore the amendment is not agreed. 

(Translated)

Amendment 51: For: 20, Against: 28, Abstain: 0

Amendment has been rejected

Division number 1233 Amendment 51

Aye: 20 MSs

No: 28 MSs

Aye: A-Z by last name

Absent: 12 MSs

Absent: A-Z by last name

(Translated)

Amendment 50 (David Melding) moved.

Photo of Ann Jones Ann Jones Labour

The question is that amendment 50 be agreed to. Does any Member object? [Objection.] Therefore, we proceed to an electronic vote. Open the vote. Close the vote. For the amendment 20, no abstentions, 28 against, therefore the amendment is not agreed. 

(Translated)

Amendment 50: For: 20, Against: 28, Abstain: 0

Amendment has been rejected

Division number 1234 Amendment 50

Aye: 20 MSs

No: 28 MSs

Aye: A-Z by last name

Absent: 12 MSs

Absent: A-Z by last name

(Translated)

Amendment 59 (Leanne Wood) moved.

Photo of Ann Jones Ann Jones Labour

The question is amendment 59 be agreed to, does any Member object? [Objection.] Therefore, proceed to an electronic vote. Open the vote. Close the vote. For the amendment 19, no abstentions, 29 against, therefore the amendment is not agreed. 

(Translated)

Amendment 59: For: 19, Against: 29, Abstain: 0

Amendment has been rejected

Division number 1235 Amendment 59

Aye: 19 MSs

No: 29 MSs

Aye: A-Z by last name

Absent: 12 MSs

Absent: A-Z by last name

(Translated)

Amendment 27 (Julie James) moved.

Photo of Ann Jones Ann Jones Labour

The question is that amendment 27 be agreed to. Does any Member object? No, therefore amendment 27 is agreed. 

(Translated)

Amendment agreed in accordance with Standing Order 12.36.

(Translated)

Amendment 28 (Julie James) moved.

Photo of Ann Jones Ann Jones Labour

The question is amendment 28 be agreed. Does any Member object? No, therefore amendment 28 is agreed. 

(Translated)

Amendment agreed in accordance with Standing Order 12.36.

(Translated)

Amendment 53 (David Melding) moved.

Photo of Ann Jones Ann Jones Labour

The question is amendment 53 be agreed to. Does any Member object? [Objection.] Therefore, we proceed to an electronic vote. Open the vote. Close the vote. For the amendment 20, no abstentions, 28 against, therefore the amendment is not agreed. 

(Translated)

Amendment 53: For: 20, Against: 28, Abstain: 0

Amendment has been rejected

Division number 1236 Amendment 53

Aye: 20 MSs

No: 28 MSs

Aye: A-Z by last name

Absent: 12 MSs

Absent: A-Z by last name