Emma Reynolds MP, Labour’s Shadow Housing Minister, has today written to David Cameron over the Government’s response to Labour’s proposals on private renting.

The full text of the letter is below:

The Rt. Hon. David Cameron MP

10 Downing Street

London

SW1A 2AA

7th May, 2014

Dear Prime Minister,

Following today’s Prime Minister’s Questions, I’m writing to clarify whether you are now backing Labour’s plans to support the nine million people who rent.

I was somewhat dismayed to hear that you have not had a chance to think about this important challenge facing our country. You said you had not seen our plans for three year tenancies with predictable rents, which is surprising given that your Party Chairman had a very firm view last week that they represented “Venezuelan-style rent controls.” He seemed to have read, although clearly not understood, the proposals.

Last week, Ed Miliband set out Labour’s plans to legislate for the banning of letting fees for tenants and the introduction of longer-term tenancies with predictable rents. With home ownership increasingly out of reach for many people, many more families now call the private rented sector home.

Some nine million people are renting today including 1.3 million families. This new generation of renters needs the security to settle down, get their children in local schools and build a life for themselves in their community. Our private rented sector is more insecure and unstable than many countries around the world. It is clear that it is not fit for purpose.

Labour will reform the current system so that three-year tenancies become the default, with predictable rents. Naturally there will be strong safeguards for landlords but we will ensure that the expectation for those that rent is of a stable and secure home. There will be a six-month probation period, which if passed, will see the tenancy automatically run for a further two-and-a-half years for those tenants that want that security.

A Labour Government will also legislate for predictable rents to stop excessive hikes in rents out of sync with the market. Landlords and tenants will set the initial rents based on market value, as they do now, and conduct a rent review no more often than once a year. Rents could be reviewed downwards, stay the same, or rise subject to market conditions. Any increase will be based on a benchmark - for example, average market rents or inflation - and rents would not be allowed to rise above this.

When Labour set out our plan for reform last week, your party dismissed these proposals as I have said as “Venezuelan-style rent controls”. Today, you appeared to have no position at all.

The Coalition has had four years to take steps to help the nine million people who rent, but all we have had are warm words about longer-term tenancies and predictable rents with no action. Meanwhile, ‘generation rent’ has been abandoned.  

Following the Government’s confused response to our proposals, I write to ask for clarification on whether the Coalition will back Labour’s plans for long-term tenancies with predictable rents and the banning of letting agents fees for tenants? 

The nine million people who rent deserve stability and peace of mind so that they can make their rented property a home and put down roots in their local community. Our proposals offer them the chance to do just that, and they deserve to know why you do not simply support our proposals. 

In light of the public interest in these matters, I am releasing this letter to the media. I look forward to your response on this important matter.

Yours sincerely,

Emma Reynolds MP