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The Minister for Housing (Christopher Pincher)
I certainly will do that, Sir Charles, and it is a great pleasure to serve under your chairmanship.
It is also a great pleasure to follow my old friend the hon. Member for Stockton North (Alex Cunningham), and to congratulate my hon. Friend the Member for Harborough (Neil O'Brien) on securing this important debate, and I also thank him for the entirely unsolicited testimonial that he gave me at the start of his remarks. I also thank and congratulate all right hon. and hon. Members for their presence today. The number of colleagues from across the House who have attended the debate is testament to Member’s interest in and concern about this important topic. I thank them all for being here.
I will now address some of the important points raised by hon. Members. I am conscious that I do not have a huge amount of time, so if I am not able to address them all, I certainly contract to meet with or write directly to those I miss, to ensure that we cover all the points that have been raised today effectively.
One of the key issues, raised by a number of colleagues, is unfair practices in the leasehold market. Let me say that those practices have no place in a modern housing market, and neither do excessive ground rents, which exploit consumers, who get nothing in return. That is why we are reforming the system so that it is fairer to leaseholders.
In December 2019, we announced that we would move forward with legislation on leasehold reform, reaffirming our commitment to making the system fairer and more transparent. The Under-Secretary of State for Housing, Communities and Local Government, my hon. Friend the Member for Thornbury and Yate (Luke Hall), will have more to say about that as the Minister responsible for that legislation; I shall certainly relay to him the concerns that Members from all parties have raised in the debate today.
I also agree with my hon. Friend the Member for Harborough that we want to minimise the effect of inappropriate access routes for construction vehicles by encouraging temporary access routes that should ideally be delivered through voluntary arrangements. We have all faced the issue in our constituencies; I have faced it specifically with respect to wagons building the High Speed 2 railway line. I hope that I can give my hon. Friend some reassurance that we have legislated for local authorities and other acquiring bodies to compulsorily purchase land temporarily under the Neighbourhood Planning Act 2017, and we are engaging with the sector on how best to implement those powers.
It is important that breaches of planning conditions are tackled by local planning enforcement teams, given that conditions are often imposed by councils to make a development acceptable to local people. That is why we have provided nearly £2 million of funding this year to help to strengthen enforcement teams in 37 local authorities, and we have also updated the National Association of Planning Enforcement’s practical handbook to help.
We will also outline further measures to help to improve local authority enforcement in the forthcoming planning White Paper, so I hope that Members will forbear and bear with me as that White Paper is released. I hope that that satisfies colleagues about some of the concerns that my hon. Friend raised.
Jack Lopresti
Does the Minister agree that our party needs to end the obsession with the green belt? Does he also accept that if we leave house building to local councils, houses will not get built in anywhere near the numbers that we need?
Christopher Pincher
The green belt is very important. We need to ensure that green spaces are protected, and that we have beautiful spaces in which we can all live. We also need to ensure that local plans are up to date and fit for purpose, in order to ensure that the houses that people want and need can be built.
That brings me rather nicely to my fundamental point. We all know that this country does not have enough homes. That is why we need a more agile and flexible planning system. KPMG and Shelter have both reported that simply to meet rising future demand, a minimum of a quarter of a million new homes will be needed every year. The median house price in England is eight times higher than median gross annual earnings; in London, it is 12.3 times higher.
We have to be bold and ambitious in our vision for the future of planning and house building in England. That is why, in January 2018, we set up Homes England as our housing accelerator, to intervene in the market and drive a step change in housing delivery. We have an unwavering commitment to enable the housing market to deliver at least 300,000 new homes a year by the mid-2020s, and a million homes by the end of this Parliament. I am pleased that the latest figures show that last year housing supply, which has been growing year on year, increased by more than 241,000, to the highest level in the last 31 years.
Christopher Pincher
I will, of course, give way to the hon. Member, as she intervenes at such volume.
Siobhain McDonagh
In the London borough of Merton, 10,000 families are on the waiting list. Since April 2019, they have had access to 18 three-bedroom properties. What does the Minister say to those 10,000 families?
Christopher Pincher
I would say that we need to build more homes in London. That is a conversation that we are having with the Mayor and with local authorities, because if we are to get those people into homes that they desire, we need to ensure that we are building them.
We have also cut the red tape—a perennial bête noire—making it quicker to plan and build homes that people want to live in. However, there is far more that we need to do to address the housing challenge. We are implementing planning reforms to ensure that our planning system creates and supports thriving communities, and to improve the quality, quantity and speed of home building. As I said, we will introduce the planning White Paper shortly, setting out our proposals to make the planning process clearer, more accessible and more certain for all users, including homeowners and small businesses, and I look forward to responses from colleagues across the House. The White Paper will also address resourcing and performance in planning departments, which various colleagues mentioned, and ensure that timely decisions are made.
The Government set national planning policy, but it is important that decisions and policies are made locally. We are clear that councils and their communities are best placed to take decisions on planning issues affecting their local area within the context of national planning policy. Local plans play an important role in outlining the homes that an area needs, and I believe that such plans can deliver local decisions that will remain at the heart of the planning system. Local plans provide clarity to communities and developers about where new homes should be built and how they should look, and such plans identify what developments are needed in an area, supported by the right infrastructure.
Christopher Pincher
I will give way to the hon. Gentleman briefly; I am conscious that time is pressing.
Alex Cunningham
The developer Persimmon applied for planning permission for a large site on Junction Road in my constituency. It was told, “No, you can’t have planning permission.” The Government inspectorate overturned that decision. How are we going to strengthen the powers of local authorities, so that when they make a decision, having consulted the local community, that decision stands? Now Persimmon wants to build even more homes on the same site.
Christopher Pincher
The hon. Gentleman makes an important point. I do not know the specific case, but we need to ensure that the codes that we use, and those that the Planning Inspectorate uses, are fit for purpose, to ensure that when a good plan is introduced, for a site that has appropriate permissions, those developments are built.
Plans that are needed in an area, supported by the right infrastructure, help to ensure that what is planned for is sustainable rather than the result of speculative applications. That also ensures that we build in greater community support. So far, 90% of councils have an adopted local plan compared with just 17% in 2010. Some are a little long in the tooth, but I am pleased that the constituency of my hon. Friend the Member for Harborough adopted local plans for both his authorities in 2019, so those plans are nearly brand new.
I assure the hon. Member for Dulwich and West Norwood (Helen Hayes) that the Government are committed to reviewing permitted development rights for the conversion of buildings to residential use, particularly respecting the quality and standards of those buildings. The review will report, and I will ensure that the report is available to her in due course.
It is also crucial that local authorities plan for the right number of homes. That is why, in July 2018, we introduced a new standard method to assess the minimum number of homes that an area needs. It does not set a target; it is simply a starting point from which authorities consider any constraints, and see whether need is more appropriately met in neighbouring areas. Following the latest household projections, the standard method was changed to ensure that it was consistent with delivering the homes that the country needs. We are reviewing the method and will consult on longer-term options in due course, because we recognise that we need to diversify the products on the market in order to drive up supply.
I will say a few words on small and medium-sized enterprises before I let my hon. Friend the Member for Harborough wind up. We are supporting SME housebuilders with a package of measures to help the sector to grow and develop, including the home building fund, the housing growth and housing delivery fund, the ENABLE Build guarantee scheme, and our ongoing reforms to the planning system, more of which he will hear about in due course. We believe that SMEs have a key part to play by increasing their output, as the biggest home builders in our country will not meet the Government’s housing building target alone. SMEs are well placed to help to deliver new homes, welcomed in their communities rather than resisted, and those homes will be built to last. Not only do we need to supply more homes, we need to make the dream of home ownership, as the hon. Member for Stockton North called it, a reality.
I hope that Members can see that the Government are truly committed to addressing the problems raised in the debate. We know that we need to build more of the right homes, of the right quality and in the right places, so that the housing market works for all parts of our community. We are determined to do that, and I invite all hon. and right hon. Members to step up to the plate and help us to tackle that challenge.