HL Deb 13 February 1968 vol 289 cc6-7
LORD FOLEY

My Lords, I beg leave to ask the second Question which stands in my name on the Order Paper.

[The Question was as follows:

To ask Her Majesty's Government whether they are aware that property holding and management companies, and estate managers acting independently or as their agents, are now seeking to increase the cost of their administrative services by 50 per cent. or over to persons living in blocks of flats, many of whom are elderly and living on fixed incomes; and whether this is not a proper matter for prior consideration by the Prices and Incomes Board.]

THE PARLIAMENTARY SECRETARY, MINISTRY OF HOUSING AND LOCAL GOVERNMENT (LORD KENNET)

My Lords, most flats are either subject to rent control under the Rent Act 1957 or let on regulated tenancies under the Rent Act 1965. In the latter case tenants may apply to the rent officer to fix a fair rent. The rent officer will take into account the cost of services and of management, and the rent he registers will incorporate what he adjudges fair provision for these. Tenants —or landlords—who are dissatisfied with a rent officer's determination may appeal to a rent assessment committee. The service element in the registered rent will be variable thereafter only if the rent officer or the committee registers it as variable. Since the rent-regulation machinery provides for the review and determination of rents in the light of the individual circumstances of each case, reference to the National Board for Prices and Incomes of one component in the make-up of a rent is not necessary.

LORD FOLEY

My Lords, will the noble Lord bear in mind that property managements often consult with the Institute of Chartered Surveyors to make recommendations in regard to increases? Will the noble Lord say that this is not in line with the policy of Her Majesty's Government?

LORD KENNET

My Lords, if I understood the noble Lord aright, he was inquiring about the attitude of Her Majesty's Government to property management's taking the advice of the Institute of Chartered Surveyors.

LORD FOLEY

Yes, my Lords; the Institute then state the increases that they consider should be made.

LORD KENNET

My Lords, it is within the free choice of any property management to take advice from whomever it pleases. It is the landlord who appears before the rent assessment committee and makes his case; and it is that which is taken into account by the committee.