← Back to House of Commons Debates
Building Safety Bill - New Clause 35
27 February 2024
Lead MP
Lee Rowley
Debate Type
Bill Debate
Tags
HousingBusiness & Trade
Other Contributors: 27
At a Glance
Lee Rowley raised concerns about building safety bill - new clause 35 in the House of Commons. Other MPs contributed to the debate.
How the Debate Unfolded
MPs spoke in turn to share their views and ask questions. Here's what each person said:
Lead Contributor
Opened the debate
I move the inclusion of New Clause 35 to ensure that notifications are made in connection with insolvency for higher-risk and relevant buildings. This amendment aims to safeguard residents' safety by ensuring that any insolvency proceedings do not impede on necessary building safety measures and updates. It proposes a robust framework to prevent financial distress from compromising the structural integrity of high-rise residential buildings, thus mitigating risks associated with inadequate maintenance or delayed fire safety upgrades.
Lee Rowley
Lab
Rotherham
This amendment is crucial to prevent the financial collapse of building management companies from undermining essential safety measures. It would require developers and building owners to notify relevant authorities in cases of insolvency, thereby ensuring that residents' lives are not put at risk due to a lack of funding for necessary repairs or improvements.
Priti Patel
Con
Witham
Ms. Patel supported the amendments introduced by Mrs. Winterton, emphasising the need for accountability and transparency in estate management practices and expressing concern over rising service charges affecting first-time buyers in her constituency.
Richard Fuller
Con
North Bedfordshire
Intervened to question the term 'punitive to leaseholders', highlighting that changes could affect those who entered contracts as freeholders expecting certain values. He argued that it is a public policy decision involving the transfer of value from freeholders to leaseholders.
Clive Betts
Lab
Sheffield South East
It is five years since we produced the Select Committee report on leasehold reform. I have an amendment—new clause 39—that I want to push to a vote, which says that before the sale of a freehold, the right of first refusal has to go to the existing leaseholder. It would give leaseholders that right and stop freeholders from evading legislation by passing properties around different organisations.
Matt Rodda
Lab
Reading Central
My hon. Friend is making an excellent speech. Does he agree that part of the problem is that some of the freeholders are based overseas, and it is extremely difficult for leaseholders to track them down?
George Eustice
Con
Camborne and Redruth
Mr. Eustice argued that new clause 68 addresses a gap in the Bill concerning defective shared ownership agreements, which are neither true leasehold nor shared ownership arrangements. He provided examples of defects such as the lack of right to enfranchise and prohibitive ground rents, leading to residents being trapped in unmortgageable properties.
Barry Gardiner
Lab
Brent West
Supports new clause 5 to address landlord practices that extract money from homeowners, such as the scandal of leasehold houses and repeated doublings of ground rents. Highlights the importance of ensuring moneys are held in trust and the need for a tribunal discretion to waive minor procedural mistakes by leaseholders where it is reasonable.
Neil O'Brien
Con
Harborough
Mr. O'Brien argues that the fleecehold model is inefficient, economically unjustified and causes significant distress to homeowners who face unexpected and unmanageable bills. He provides examples from his constituency where residents have been forced to spend excessive time and money fighting against unfair practices by management companies. He also mentions the need for a right-to-manage reform to empower residents to take control of their estates.
Lyn Brown
Lab
West Ham
A huge number of new builds have been built within my constituency boundaries over the last months, leading to numerous difficulties for leaseholders. Issues such as shoddy repairs, skyrocketing service charges and insurance bills, poor landscaping, broken lifts, inadequate fire doors, lack of transparency, substandard living conditions, and financial threats are common... Amendment 14 would enable a maximum cost to be set for the provision of information to leaseholders.
Andrew Rosindell
Con
Romford
In Romford, we have seen a huge increase in the number of flats and high-rise blocks being built over the last 20 years. This brings many problems with it, including those discussed today... I went to Rubicon Court, a fairly new development built only a few years ago, and was shocked—absolutely flabbergasted—to see how badly the residents are being looked after.
Janet Daby
Lab
Lewisham East
Argues for new clause 67 which seeks an independent evaluation on holding freeholders financially liable for long-lasting central communal heating failures. She emphasises the need to look at how to rectify situations where residents are left without essential services for months despite raising concerns with managing agents and freeholders.
Wendy Morton
Con
Aldridge-Brownhills
Supports the Bill but believes it could go further. She introduces new clauses 13, 23 and 41 which aim to prohibit new leasehold homes within three months of Act passage, assess disadvantage suffered by existing leaseholders, and report on marriage value issues respectively.
Stephen Timms
Lab
East Ham
Proposes new clause 24 to ensure that there is a duty holder responsible for managing asbestos risks in communal areas after property transfers. Highlights the current regime's effectiveness and the potential risks if responsibilities are not clearly defined post-transfer.
Supports the Government’s wish to overhaul the leasehold system but tables several amendments to improve the Bill. Discusses issues such as reducing the participation threshold for claiming the right to manage and addressing mixed-use buildings' eligibility criteria.
Helen Morgan
Lib Dem
North Shropshire
New clause 1 would give residents the power to take over estate management companies if they fail to respond or provide necessary services. This is essential for preventing fraudulent practices and ensuring that residents can benefit from shared assets like ground source heat pumps without additional costs.
Rachel Maclean
Con
Redditch
Suggests that Opposition Members should not make these reforms a political issue and encourages engagement with the seriousness of the proposed changes. Supports new clause 42, which bans leasehold houses, though she is concerned about potential legal challenges. She raises concerns over retirement properties being excluded from the amendment and calls for a commonhold system to replace leasehold. Emphasises the need to address complex issues such as ground rents and forfeiture.
Stella Creasy
Lab Co-op
Walthamstow
Expresses support for abolishing leasehold altogether, citing numerous examples of residents facing problems due to the system. Supports new clauses proposed by her colleague and wishes to see changes in local plans to make commonhold the default. Raises issues with service charges under consumer legislation and highlights a specific case at Essex Brewery where residents have been without hot water and heating for months. Proposes amendments to match consumer rights with leasehold legislation.
Vicky Ford
Con
Chelmsford
Supports measures to cap ground rent and improve fire safety remediation. Argues that current leasehold provisions trap constituents in unaffordable and unsellable properties, preventing them from progressing their lives. Emphasises impact of excessive service charges on affordability and security for leaseholders.
Priti Patel
Con
Witham
Supports Government amendments for quicker means of redress for leaseholder issues. Raises concerns over defective properties, poor maintenance, and lack of transparency from management companies like FirstPort. Calls for increased accountability and transparency in developer-management company contracts.
David Simmonds
Con
Ruislip, Northwood and Pinner
Welcomes the Bill for addressing frustrations expressed by leaseholders in his constituency. Highlights changes in the market where leaseholds are seen as opportunities to extract money from residents through poor management practices and excessive charges. Commends the legislation for balancing housing supply needs with protecting leaseholder rights, noting cases such as Pembroke Park where A2Dominion has failed to meet expectations despite improvements under a new CEO.
Richard Fuller
Con
North Bedfordshire
Gratefully acknowledges the inclusion of estate management charges in the Bill, which he sees as timely given recent findings by the Competition and Markets Authority. Proposes an amendment to prevent the proliferation of private management arrangements for new housing estates by prohibiting homeowners from being charged for services usually provided by local authorities. Expresses concern over the economic effects of transferring marriage value, advocating for a safer passage through his proposed amendment that would continue marriage value for leases below 80 years at the time of Act's passing but not for those established afterwards.
Lee Rowley
Con
Rotherham
The speaker acknowledges contributions from various Members, highlighting the need for progress on leasehold reform. He emphasises that the Government has introduced measures to address the issue and is committed to further reforms. The speaker also discusses the importance of freehold estates getting clearer transparency.
Peter Bottomley
Con
Worthing West
Tabled new clause 25, which deals with an important issue regarding leasehold reform. The speaker encourages contributions to the consultation on this matter.
Betts
Lab
Sheffield South East
Spoke passionately about his new clauses 39 and 40, which aim to make the acquisition of freeholds easier. He emphasised the need for disincentives for freeholders not to respond or go slow.
George Eustice
Con
Camborne and Redruth
Mentioned specific problems experienced by his constituents regarding leasehold issues, urging the speaker to meet him to discuss these matters in more detail.
Barry Gardiner
Lab
Brent North
Made useful points about Daejan Holdings and building safety. The speaker is keen to continue the discussion with the Government to understand any issues better.
Brown
Lab
West Ham
Highlighted the huge inequity affecting individuals in individual blocks within their constituencies, emphasising the need for reform.
▸
Assessment & feedback
Summary accuracy
About House of Commons Debates
House of Commons debates take place in the main chamber of the House of Commons. These debates cover a wide range of topics including government policy, legislation, and current affairs. MPs from all parties can participate, question ministers, and hold the government accountable for its decisions.