HC Deb 15 May 1973 vol 856 cc1435-7

Lords Amendment: No. 3, in page 3, line 37, leave out "and 11" and insert ,11 and (Tenants entitled to enfranchisement or extension under Leasehold Reform Act 1967)".

Mr. Graham Page

I beg to move, That this House doth agree with the Lords in the said amendment.

Mr. Deputy Speaker

With this amendment we are taking also the following Lords Amendments: No. 4, in page 3, line 42, after "of" insert "(a)".

No. 5, in page 3, line 45, at end insert and (b) a crofter, a landholder, a statutory small tenant and a cottar in the land. No. 6, in Clause 3, page 4, line 23, leave out "section 13" and insert sections (Tenants entitled to enfranchisement or extension under Leasehold Reform Act 1967) and 13".

Mr. Page

Yes, Mr. Deputy Speaker, together with Lords Amendment No. 19, in page 13, line 31, at end, insert new Clause A:

TENANTS ENTITLED TO ENFRANCHISEMENT OR EXTENSION UNDER LEASEHOLD REFORM ACT 1967

"A.—(1) This section has effect where a person is entitled under Part I of the Leasehold Reform Act 1967 to acquire the freehold or an extended lease of a house by virtue of any tenancy ("the qualifying tenancy") and—

  1. (a) has on or before the relevant date given notice under that Act to the landlord of his desire to have the freehold or an extended lease; and
  2. (b) has not acquired the freehold or an extended lease before that date.

(2) The qualifying tenancy shall be treated as an owner's interest as defined in section 2(4) above whether or not the unexpired term on the date of service of the notice of claim is of the length there specified.

(3) If no claim is made in respect of the qualifying tenancy before the claimant has ceased to be entitled to it by reason of his acquisition of the freehold or an extended lease he may make a claim in respect of the qualifying tenancy as if he were still entitled to it.

(4) No claim shall be made by virtue of subsection (3) above after the claimant has ceased to be entitled to the freehold or extended lease but such a claim may be made before the beginning of the claim period if it is made before the claimant has disposed of the freehold or extended lease and after he has made a contract for disposing of it.

(5) Compensation shall not be payable before the beginning of the claim period on any claim made by virtue of subsection (4) above.

(6) Any notice of a claim made by virtue of this section shall contain, in addition to the matters mentioned in section 3 above, a statement that it is made in respect of a qualifying tenancy as defined in this section and, if made by virtue of subsection (3) or (4) above, sufficient particulars to show that it falls within that subsection.

(7) In relation to a claim made by virtue of subsection (3) above section 4(3)(a) above shall have effect as if the reference to the date of service of notice of the claim were a reference to the relevant date."

The new clause is the main amendment in this group. It will enable a tenant who qualifies for enfranchisement—that is, to buy the freehold or extend his lease —to be treated as an owner entitled to compensation for depreciation under Part I if his lease is less than three years or if he carries out enfranchisement in the process of claiming under Part I.

Set out in the clause are various permutations of the dates and notices, claims, start of use and enfranchisement. The object has been to obtain a fair and commonsense result in any set of circumstances. We are grateful to, I think it was, the hon. Member for Birmingham, Aston (Mr. Julius Silverman), who raised this matter in Committee, and I am glad that we have been able to work it out, I hope, to his satisfaction.

Question put and agreed to. [Special Entry.]

Subsequent Lords Amendments agreed to, some with Special Entry.

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