Skip to main content

Language: English / Gàidhlig

Loading…

Seòmar agus comataidhean

Official Report: search what was said in Parliament

The Official Report is a written record of public meetings of the Parliament and committees.  

Criathragan Hide all filters

Dates of parliamentary sessions
  1. Session 1: 12 May 1999 to 31 March 2003
  2. Session 2: 7 May 2003 to 2 April 2007
  3. Session 3: 9 May 2007 to 22 March 2011
  4. Session 4: 11 May 2011 to 23 March 2016
  5. Session 5: 12 May 2016 to 5 May 2021
  6. Current session: 12 May 2021 to 6 April 2025
Select which types of business to include


Select level of detail in results

Displaying 1101 contributions

|

Local Government, Housing and Planning Committee

Housing (Scotland) Bill: Stage 1

Meeting date: 10 September 2024

Paul McLennan

I will try to be brief, convener. There are a couple of points. One is that funding was announced last week, from which Edinburgh will benefit significantly. We have been working with the City of Edinburgh Council on its practices around void properties in terms of what it needs to do. The council thinks that it is making progress, so we have tried to help it. In addition, there is an upcoming round table with utility companies—housing conveners raised the issue of utility companies with us in a meeting—and local authorities on how we can improve the practice in that regard. Utility companies need to be doing more and working more quickly in that regard. That work is already under way. The housing investment task force is also looking at different funding models around accommodation and so on.

I am happy to pick that up in the discussions that we have planned. If there is anything that you think we could consider as an amendment to the bill, I am happy to discuss that, but other things are already going on to provide support on void properties. As you recognise, the issue is incredibly important in Edinburgh specifically, and I am happy to take that offline with you.

Local Government, Housing and Planning Committee

Housing (Scotland) Bill: Stage 1

Meeting date: 10 September 2024

Paul McLennan

I think that you are right, Mr Briggs, looking at the matter legally. The point that you make will be looked at sympathetically, and there have already been broader discussions about the process for adaptations and succession, as Charlotte McHaffie mentioned.

Local Government, Housing and Planning Committee

Housing (Scotland) Bill: Stage 1

Meeting date: 10 September 2024

Paul McLennan

That would need to be set out, based on the broader situation. There are specific issues behind the rent increases in Edinburgh and Glasgow. We have talked about the opportunities around the freeport and renewables hubs in the Highlands. If construction workers go into those areas, how will that increase rents? That might be for the short term, but we need to take cognisance of it. For example, if workers are being attracted to the freeport area—Highland Council has estimated that there could be 25,000—we have to ensure that we are building houses at a level that meets that demand. We are having discussions with Highland Council about that and on the renewables hubs to consider the opportunities for accommodating construction workers and the legacy housing opportunities behind that. We need to take cognisance of other local impacts that there might be.

The flexibility allows us to look at controls in different parts of Scotland and the reasons behind that, but that has to be backed up by data.

Local Government, Housing and Planning Committee

Housing (Scotland) Bill: Stage 1

Meeting date: 10 September 2024

Paul McLennan

I will bring in Yvette Sheppard on the specifics. The key thing is that local authorities will come forward with what they think, and we will look at that. Yvette might want to touch a wee bit on the broader consultation.

Local Government, Housing and Planning Committee

Housing (Scotland) Bill: Stage 1

Meeting date: 10 September 2024

Paul McLennan

There are a number of ways in which that is being done. One is by having discussions; there are discussions among officials on that, which Yvette Sheppard can highlight.

Secondly, there are discussions with local authorities. I have talked to them about the resource issue, so the issue has been raised and that is important. The financial memorandum sets out an initial estimate of the costs. As we develop the bill, the financial memorandum will need to demonstrate the resources that are required.

Our discussions with local authorities are not just about what the data collection is about; they are also about the resource that is required to do it. That information will come in an updated financial memorandum. The discussions that we are having are looking at the resource for local authorities, because the point that you make is incredibly important: we cannot put additional pressures on local authorities without the resource. The discussions cover what resource is required to deliver the data that we are looking for. That has been raised by local authorities, and we are asking them to be more specific about that. The initial discussions are about estimates.

Local Government, Housing and Planning Committee

Housing (Scotland) Bill: Stage 1

Meeting date: 10 September 2024

Paul McLennan

I touched on that in my opening remarks—there are a number of key aspects, and I will try to keep my comments to a minimum.

One aim is to encourage growth in the sector, which is incredibly important. The sector plays an important part in the all-tenure approach that I have taken, and which has been discussed by stakeholders in previous sessions. It is about getting the balance right between the rent controls, which we have touched on and will go on to discuss, and the investment opportunities. That is one of the first aspects.

Another key aim is to ensure that we have the best-quality homes in the private rented sector and a flexible system for both tenants and landlords. That is a difficult balance to strike, but I think that the bill achieves it with what is being proposed.

Another key area is to look at how we tackle not just child poverty but fuel poverty and homelessness.

There are other aspects; for example, we need to move towards net zero, so how do we help landlords to do so? That is not part of the bill, but it is part of the on-going discussion with landlords.

Another aim is to ensure that tenants and landlords understand their rights. Again, that is about trying to strike the right balance, and I think that the bill does that.

That is a very quick run-through but, with the measures that are being proposed, we have tried to get the balance and flexibility right all the way through the bill.

Local Government, Housing and Planning Committee

Housing (Scotland) Bill: Stage 1

Meeting date: 10 September 2024

Paul McLennan

The answer to the question of whether we will withdraw the bill is no, for a number of reasons.

I will go into more of the detail.

We need clarity for tenants about what the rent increases will look like. Ms Gosal mentioned investment opportunities, and investors also need clarity.

In terms of where we are now, it is a framework bill to give flexibility, including in relation to what is required in local areas. What the rent control formula will be is also an important part of it.

Another key thing is discussions with stakeholders. I appreciate Mr Griffin’s point about the committee, and I am happy to come back to the committee when the amendments are lodged. Discussions with stakeholders in order to get the balance right is an important part of the rent controls, if they are proposed.

Coming back to the point about areas, if a local authority proposes and would like to go down the route of rent controls, it has to go out to consultation and consult the people who live in the area, which is incredibly important. The principle of rent controls is there, but the rent control measures that are proposed in Edinburgh will be different from those in Glasgow and in other parts of Scotland. Consultation is built into the bill. If a rent control is to be introduced, it is all about trying to strike the right balance.

I take the point that Mark Griffin made about the committee, but we need to move on in relation to giving that clarity to tenants and investors and trying to strike that balance. It is also about giving that certainty in relation to keeping people in the private rented sector.

When we talk about investors, we might be talking about landlords who have one, two, three, four or five properties. It is important that we recognise that the PRS is an important part of it, but so are the investment sector, the MMR sector and tenants.

I appreciate the point that Mark Griffin made. I am happy to come back to the committee when the amendments are lodged so that I can be held to account; that is what I am here for.

It is about giving us that flexibility. It is all about trying to get that balance and move us on at a time when we need a little more certainty.

Local Government, Housing and Planning Committee

Housing (Scotland) Bill: Stage 1

Meeting date: 10 September 2024

Paul McLennan

It is key that the regulations need to be reviewed on a regular basis and that they do not need to be in place longer than is required. The bill is trying to give that flexibility. It is not saying that the period is definitely five years—it gives that flexibility.

There might be circumstances—for example, in a freeport—that impact on the housing market. I visited Shetland and Orkney and talked to people about the impact of renewables development. It is great to have economic development, but if there is an influx of construction workers or longer-term workers for a period of time, it distorts the market to a certain point. We need to try to tackle that when we are talking about the need for temporary accommodation. We are having discussions with local authorities about that issue; we are having a round-table meeting on it. However, if we or the local authorities do not get that right, there will be an impact on rent. It is down to supply and demand. If 2,000 or 3,000 construction workers move into an area and there is a lack of accommodation, that will impact on the rental market. There is a broader strategic discussion that we need to have, but rent controls should not be in place any longer than they need to be and they should be reviewed on a regular basis.

As Yvette Sheppard said, we are speaking to rural local authorities about that now and trying to look at any issues that might come up further down the line.

Local Government, Housing and Planning Committee

Housing (Scotland) Bill: Stage 1

Meeting date: 10 September 2024

Paul McLennan

No—I am just suggesting that as an example, but I am speaking more broadly. I am talking about how a market might be distorted for a period of time, so we would need to make sure that we are developing housing as the workers come in over that period of time. I am saying that, if we do not get that balance, that might distort the housing market, although I am not suggesting that that would be the case or that local authorities would need to go down that route. However, we need to be aware of local circumstances and how the market might change.

We talked to Orkney Islands Council and Shetland Islands Council, which had seen rents go up by large amounts because there was not enough accommodation. Strategically, we need to get ahead of that to make sure that there is enough temporary accommodation and we need to work with local authorities. As I said, the freeport in Highland will have an estimated 25,000 jobs, so we need to be developing housing to make sure that it is meeting the demand, because it is about supply and demand. We are in discussions with Highland Council and other local authorities and house builders. You will know that we had a meeting last year where we got house builders around the table with the freeport developers and said, “Okay, how do we develop this?” That is an example of how a market might be distorted. I am not saying that there would need to be rent controls or anything like that. That decision would depend on local circumstances and would have to be backed up by data.

Local Government, Housing and Planning Committee

Housing (Scotland) Bill: Stage 1

Meeting date: 10 September 2024

Paul McLennan

That issue has been raised. I know that you have an interest in housing in rural areas, which is incredibly important. That is part of the discussions that we are having with local authorities. It is not just the City of Edinburgh Council and Glasgow City Council; we are having discussions with Highland Council and other local authorities. When I go to any local authority, I speak about the PRS. The bill is always raised in relation to that.

It comes back to local circumstances. The issue has not been raised hugely in rural communities. It is more about supply and demand in the PRS. I am happy to discuss that, because you are closer to the issues on rural housing and have more regular discussions on that. It is more about what the role of the PRS is, and it is different in rural communities. Sometimes it plays a larger role, so we need to take account of the local circumstances.

I will bring in Yvette Sheppard, who has had discussions with rural authorities about this. It has not been hugely raised, but it is an issue that we need to be aware of. It is about local flexibility.

11:00