‘Rushanara Ali fundamentally misunderstood her role. Her job was to tackle homelessness, not to increase it.’
Rushanara Ali has stepped down as Homelessness minister, following an i Paper investigation that revealed she evicted tenants before raising the rent on a property she owns.
After facing numerous calls to go, Ali resigned from the role yesterday. In her resignation statement, she said if she remained she would be a “distraction from the ambitious work of this government”.
Ali maintained that she had followed “all relevant legal requirements” at all times.
The i Paper reported that four tenants who rented a house owned by Ali near the Olympic Park, in East London were given four months’ notice in November that their lease would not be renewed.
Shortly after the tenants moved out, Ali re-listed the house for £4,000 a month, £700 more than the previous rent.
A source close to Ali only re-listed the house for rent because she did not find a buyer.
Labour’s Renters’ Rights Bill, which is set to become law next year, will ban landlords from re-listing a property at a higher rent for at least six months after ending a tenancy to sell it.
The Labour MP for Bethnal Green and Stepney and former Homelessness minister had previously spoken out against “private renters being exploited” and had promised Labour will “empower people to challenge unreasonable rent increases”.
Two lettings agencies managed the property and, according to the i Paper, also tried to charge the tenants almost £2,000 for repainting the house and £395 for cleaning fees.
Ali allegedly intervened when she heard about this, and the fees were “mysteriously” dropped.
Landlords are prohibited from charging tenants for professional cleaning or to repaint a home under the Tenant Fees Act 2019, unless there has been serious damage to a property.
A Lib Dem spokesperson said: “Rushanara Ali fundamentally misunderstood her role. Her job was to tackle homelessness, not to increase it.”
They added: “At a time of widespread political disillusionment, her actions were staggeringly irresponsible.”
The London Renters’ Union said in a post on social media: “Rushanara Ali has resigned as homelessness minister but she should step down as MP too.
“Tenants deserve representatives at every level of government who will tackle the housing crisis, not those who benefit from it.”
According to analysis by the Financial Times, 85 MPs say they are landlords, and own 184 rental properties between them.
Labour has 44 landlords, equating to 11% of its 404 MPs, while the Tory party has 28, a quarter of its 121 MPs, and the Liberal Democrats have eight among their 72 MPs.
Olivia Barber is a reporter at Left Foot Forward
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