Gregory Stafford (Farnham and Bordon) (Con)
The Secretary of State for Housing, Communities and Local Government (Angela Rayner)
Local government reorganisation will lead to better outcomes for residents and save a significant amount of money that can be reinvested in public services and improve accountability. It is for councils to develop robust, financially sustainable proposals that are in the best interests of their whole area.
Gregory Stafford
The rushed local government reorganisation means that Waverley borough in my area will be forced to join other authorities that are debt-ridden, such as Woking. What will the Secretary of State do to ensure that residents in my area do not pay a financial price for the woes of other authorities?
Angela Rayner
As set out in the invitation letters, and as with previous restructures, there is no proposal for council debt to be addressed centrally or written off as part of reorganisation, but the Government accept that Woking and Thurrock councils hold significant unsupported debt that cannot be managed locally in its entirety. We have committed to providing an initial amount of debt repayment support for these councils in 2026-27 ahead of the reorganisation. This is unprecedented Government support.
Lauren Edwards (Rochester and Strood) (Lab)
I have been contacted by constituents who are concerned by media comments over the last week that suggest that the Planning and Infrastructure Bill may render sites of special scientific interest protections meaningless. Will the Secretary of State clarify the Bill’s position on this and outline what protections there will be for SSSIs like Lodge hill in my constituency with its important nightingale population?
Angela Rayner
I am sure that those on the Conservative Benches have an interest in areas of natural beauty as well, and I am sure that the Minister for Housing and Planning will address this point when we discuss the Planning and Infrastructure Bill later today. We take natural beauty and history seriously, and we think that the Bill will be able to do nature recovery and enable us to build the houses that we desperately need.
Mr Speaker
Order. I remind Members to look at the question on the Order Paper and make sure that their supplementary question is related to it.
Ms Julie Minns (Carlisle) (Lab)
The Minister for Housing and Planning (Matthew Pennycook)
The Government continue to progress the implementation of the reforms to the leasehold system that are already in statute, while at the same time undertaking the work required to bring forward the wider set of reforms necessary to end the feudal leasehold system for good. We remain on track to deliver our ambitious leasehold and commonhold reform agenda, as set out in the written ministerial statement that I made on 21 November last year.
Chris McDonald
I thank the Minister for his positive engagement with me on the issue of a safe crossing at roads on the Wynyard and Queensgate estates in my constituency, but can I also bring to his attention the issue of service charges at the Willow Sage Court estate? Does he agree that our leasehold reforms must ensure fair service charges? I can send him further information about this case if he wishes.
Matthew Pennycook
I thank my hon. Friend for raising that point, and I would like further information on that case. The Government recognise the considerable financial strain that rising service charges place on leaseholders and tenants. Overcharging through service charges is completely unacceptable. We intend to consult in the very near future on the measures in the Leasehold and Freehold Reform Act 2024 designed to drive up the transparency of service charges to make them more easily challengeable if leaseholders consider them to be unreasonable.
David Pinto-Duschinsky
I congratulate the Government on the bold action they are taking to end the feudal leasehold system for good, which will ensure that future flat owners will never again be treated as second-class homeowners. But as the Minister is well aware, there are millions of existing leaseholders, including thousands in my constituency of Hendon. Will he update the House on the work the Department is doing, building on the path forward outlined in the commonhold White Paper, to strengthen protections for existing leaseholders, including on the conversion of leaseholds, ground rents and right to manage?
Matthew Pennycook
The Government remain committed to providing existing leaseholders with greater rights, powers and protections over their homes. We commenced the right-to-manage measures contained in the Leasehold and Freehold Reform Act 2024 on 3 March. We remain firmly committed to tackling unregulated and unaffordable ground rents, and we will deliver that in legislation. We will set out further detail on our proposed approach to enabling the conversion of existing leaseholds to commonhold in our draft leasehold and commonhold reform Bill later this year.
Ms Minns
Inflation-busting estate management fees for little or no service plague residents across the country, including those of the Brackenleigh, Greymoor Meadows and Denton Mill estates in my Carlisle constituency. What assurances can the Minister give my constituents and those of other hon. Members that the Government’s actions will curb those atrocious practices by estate management companies?
Matthew Pennycook
I thank my hon. Friend for raising that point; I recognise that many hon. Members across the House are affected by this issue. The Government remain committed to protecting residential freeholders on private and mixed tenure housing estates from unfair charges. We will consult this year on implementing the Leasehold and Freehold Reform Act’s new consumer protection provisions for the millions of homes subject to the charges affecting my hon. Friend’s constituents, and we will bring measures into force as quickly as possible thereafter.
Mr Richard Holden (Basildon and Billericay) (Con)
I am glad to see the Government starting to tackle some of these issues. Will the Minister assure me that people on freehold housing estates with covenant issues in places like Basildon and Billericay will also be included in any legislation? They often face service charge increases of tens of per cent every single year, and they need that same assurance being provided to leaseholders that the Government will think about that and take action.
Matthew Pennycook
I assure the right hon. Gentleman that the Government are thinking about the plight of residential freeholders alongside leaseholders. As I just said, we will consult this year on implementing the provisions in the 2024 Act, which provides those residential freeholders with new consumer protection provisions. They will have that immediate safety to come in, as we look at how we reduce the prevalence of such arrangements in the longer term.
Josh Babarinde (Eastbourne) (LD)
Leaseholders at South View on Upperton Road in Eastbourne face an extortionate bill of up to £40,000 each to repair unsafe balconies. The communication from Morgans and Stredder Pearce, who are both responsible for fixing that, has been woeful, and delays are leading to costs spiralling further. Will the Minister urge those organisations to improve the speed and responsiveness of their communications to protect South View’s leaseholders from further costs?
Matthew Pennycook
I thank the hon. Gentleman for raising that case. I recognise the problem that he alludes to. We want to bring in as soon as possible measures to standardise service charges in particular and make them more transparent. I wonder if he might write to me and the Under-Secretary of State for Housing, Communities and Local Government, my hon. Friend the Member for Nottingham North and Kimberley (Alex Norris), who is responsible for building safety, with details of that case so that we can look into it further.
Robin Swann (South Antrim) (UUP)
Developers are now creating facility and management companies, with new homeowners and tenants finding themselves as shareholders without their consent. Will the Minister look at that issue across the country to protect those homeowners?
Matthew Pennycook
If I have understood the hon. Gentleman correctly, he pointed to how a variety of arrangements can be put in place under freehold estates; we need to capture that variety across the country. That is one of the challenges in looking at what measures we might bring forward to reduce the prevalence of such arrangements, and we certainly intend to do that.
Matthew Pennycook
I must say that the shadow Minister is developing a bit of a habit here; he seems to have conflated a number of separate issues. The Government have a very clear commitment to ending the feudal leasehold system within this Parliament. That requires a wider set of reforms than switching on the powers that are already on the statute book via the 2024 Act, though we are going to do that and are doing so at pace. If he cared to look at the written ministerial statement where I set all this out in a lot of detail, he would see that we remain on track with implementing our reform agenda.
Will Stone (Swindon North) (Lab)
The Minister for Housing and Planning (Matthew Pennycook)
The Government recognise the strain placed on housing revenue accounts as a result of changes in rent policy, inflationary pressures and increased costs associated with investing in existing stock. The principle of self-financing remains the right one, but we are committed to working with councils to overcome the pressures on their HRAs so that they can invest in new and existing stock.
Will Stone
Will the Minister join me in praising Swindon borough council for its fantastic vision in investing in fixing our council stock—something the previous Conservative administration failed to do for 20 years?
Matthew Pennycook
I certainly will. My hon. Friend is a fantastic champion for council housing and highlights that Swindon borough council is putting significant investment into its housing stock over the next five years. The Government recognise that councils, like other registered providers, need support to build their capacity. That is why we consulted last year on a new five-year social housing rent settlement and have allowed councils to keep 100% of the receipts generated by right-to-buy sales. We will set out details of further investment in the forthcoming spending review.
Tim Farron (Westmorland and Lonsdale) (LD)
In Kendal on Friday afternoon, I came across a constituent in a Home Housing property who had been the victim of a house fire several months ago. Although they were still living in the property, it had not been fully restored or fixed. I am on the matter personally and dealing with the casework issues; if I share the details of this case with the Minister, will he take a personal interest in it, and does he agree that it is outrageous for someone to have to live in a fire-damaged property for five months without it being properly restored?
Matthew Pennycook
I thank the hon. Gentleman for raising that case. It does sound outrageous; if he writes to me, I will certainly look into the matter further.
Matthew Patrick (Wirral West) (Lab)
Michelle Welsh (Sherwood Forest) (Lab)
The Parliamentary Under-Secretary of State for Housing, Communities and Local Government (Alex Norris)
The Government are committed to rejuvenating high streets by empowering local communities. Through the £1.5 billion plan for neighbourhoods, we are providing flexible funding to support our most challenged communities. We are also tackling vacancy with high street rental auctions and legislating for a new community right to buy to support community ownership.
Matthew Patrick
Heswall in my Wirral West constituency is a brilliant place to live and deserves a thriving high street, but unfortunately for too many years now beloved shops have closed and decline has felt inevitable. The people of Heswall deserve better. I appreciate the Minister’s answer, but will he go further in explaining exactly how my constituents can take back control of their high street, so that it can thrive once again and deliver growth and opportunities for them?
Alex Norris
This Government understand the unique challenges that Heswall faces, including as a coastal community. That is why we are driving power and funding out of Westminster to ensure that no community is left behind. Just last week my right hon. Friend the Chancellor announced £1.6 billion in funding for the Liverpool city region, including £100 million to upgrade the bus network, which is vital for connectivity to my hon. Friend’s community. I understand that those upgrades will begin in the Wirral next year, and I encourage Wirral council, as I do all local authorities, to take advantage of the new powers the Government have introduced to reoccupy the empty shops that are such a blight on our high streets.
Noah Law
I was elected to this place on the back of a pledge to revitalise the towns in my constituency. With the high street in St Austell in a sorry state, I am delighted to have been able to take the first steps towards revitalising it by ending the impasse at the site of the now derelict General Wolfe pub and moving my constituency office back into town at the other end of the street. However, the fact remains that the high street is on its knees, and many residents feel that our once great town could do much better. What steps is the Minister taking to ensure that significant resources are available, beyond just the plan for neighbourhoods, to revitalise towns in constituencies like mine?
Alex Norris
I can say to my hon. Friend’s constituents that he is making good on that election commitment, because we have had this conversation on multiple occasions. Like all future funding, the Government will set out their long-term vision for local growth at the multi-year spending review; but in this year, the recently communicated UK shared prosperity fund announcement included more than £47 million for Cornwall and the Isles of Scilly—a mixture of revenue and capital funding to ensure that places can get going and kick-start economic growth locally, bringing towns such as his into play.
Michelle Welsh
In my Sherwood Forest constituency, high streets are the beating heart of towns such as Ollerton and Hucknall. Ollerton is set to receive record funding from this Labour Government, and I thank the Minister for that. However, Hucknall was badly let down by the previous Government, with false promises of funding that quite simply did not exist. Will he meet me to discuss how this Labour Government can support the future of Hucknall, enabling it to be the glorious high street it once was?
Alex Norris
I fully share my hon. Friend’s anger about the unfunded commitments to Hucknall from the previous Government. I know how disappointing that has been locally. I am pleased we have been able to reprioritise some funding within extremely tight budgets to give the support that she talks about. As she knows, I live only two tram stops from Hucknall, and of course I would be keen to pop on the tram and see her—and if we meet in the Plough, I would be doubly keen. Either way, I will be making sure I get to see her.
Rishi Sunak (Richmond and Northallerton) (Con)
In 2017, I met parents of children with severe disabilities in my constituency. A lack of suitable toilets and changing facilities made it almost impossible for those families to enjoy a day out, and I have been inspired to campaign for more Changing Places toilets ever since. I recently opened a Changing Places toilet just off Leyburn High Street, which will improve accessibility across Wensleydale. Will the Minister join me in thanking everyone involved and commit to supporting more Changing Places toilets across the country, so that families can have both the opportunity and the dignity that they deserve?
Alex Norris
I share the right hon. Gentleman’s enthusiasm for Changing Places toilets, which have their roots in Nottingham. Frankly, people will not be able to access the amenities on their high streets if they do not feel they can leave their home without those facilities. I share his enthusiasm and commend him and his community. He sells himself slightly short, however, because I recall that when he was a Minister in this Department, he changed the rules and building regulations to make it easier to develop such toilets, and as Chancellor he made funding available for more as well. I would like to take this opportunity to recognise that and to praise him and the community of Wensleydale.
Lewis Cocking (Broxbourne) (Con)
Houses in multiple occupation throughout Broxbourne—on our high streets in particular—are causing my constituents lots of issues. What will the Minister do to review the powers that my local councils of East Herts and Broxbourne have to stop HMOs where we do not want them?
Alex Norris
This is a really important question. The future mix of our high streets will undoubtably include, yes, traditional retail but also leisure and accommodation. That footfall can be a good thing, but if this is not well planned or well organised, and if communities are not brought along, it will not succeed. I am conscious that we have the Planning and Infrastructure Bill proceedings ahead of us today, and I am sure the hon. Gentleman will find an opportunity to make that case to the Minister for Housing and Planning.
Dr Al Pinkerton (Surrey Heath) (LD)
In 2025-26, Surrey Heath businesses will contribute more than £30 million in business rates to Surrey borough council, but because of central Government tariffing, only 2.5% of those business rates will be retained locally. There is a reasonable expectation that locally raised taxes should remain local, so with local government reorganisation on its way, could the Secretary of State and the Front Bench team reassure Surrey Heath businesses that they might have a chance of retaining more of those business rates that should be invested back into our high streets?
Alex Norris
The hon. Gentleman will be aware of the changes we have made to ensure that there are discounts on business rates for certain businesses this year, with further commitments to come at the Budget. He makes the right point. Of course I cannot announce that outside the Budget, but we will consider those points carefully.
David Simmonds (Ruislip, Northwood and Pinner) (Con)
Our high streets and small businesses have been hammered by this Government, with big increases in the cost of business rates and national insurance contributions. Can the Minister tell the House what measures he and the team have put forward to the Chancellor of the Exchequer to help our small businesses and high streets in the spending review?
Alex Norris
The hon. Gentleman offers me two opportunities there. First, we talk about challenges on the high street, but I remind the House of the more than a decade of starved demand because the economic policies of the Conservatives and all the impacts that had, followed by—[Interruption.] The stag do on the Opposition Front Bench are making their rattle as usual, but they were all present during that disastrous fiscal event that led to the increased costs that we are still coping with now. The second temptation the hon. Gentleman gives me is the opportunity to resign by leaking details of the spending review here first. Sadly, I will give no succour there.
Charlotte Cane (Ely and East Cambridgeshire) (LD)
The Minister for Housing and Planning (Matthew Pennycook)
The December 2021 uplift to energy-efficiency standards means that most new build homes already achieve EPC ratings of A or B. As recently announced, the Government intend to introduce future standards in the autumn that will set more ambitious energy-efficiency and carbon emissions requirements for new homes to ensure that they are net zero-ready.
Charlotte Cane
As well as energy, water is an important utility. In Ely and East Cambridgeshire, we suffer drought and floods. What is the Minister doing to encourage new builds to have proper rainwater harvesting and dual piping, so that we can use rainwater to flush our toilets and for other non-drinking water uses?
Matthew Pennycook
We are looking at how we might make household water use more efficient, as well as a range of other interventions in my hon. Friend’s part of the country to ensure that we make the best use of water and that the necessary infrastructure is put in place to accommodate housing growth.
Mr Jonathan Brash (Hartlepool) (Lab)
In Hartlepool, 24,000 existing homes have an energy performance certificate rating of D or below. That means too many homes are too cold and have bills that are too high. What can the Minister do to accelerate the improvement of those homes to ensure warm homes for Hartlepool constituents?
Matthew Pennycook
My hon. Friend tempts me into the responsibilities of another Department, but I will get the relevant Minister from the Department for Energy Security and Net Zero to write to him to set out what measures are being put in place as part of the warm homes plan.
Graham Stuart (Beverley and Holderness) (Con)
In 2010, just 12% of homes had an EPC C rating or above, so those homes were too cold and had bills that were too high. It was 60% by 2024 when we left power. Will the Minister share with the House the ambition and give us a number for the percentage of homes that we should expect to have that basic EPC C rating by the end of this term, which I hope will be the only one the Minister has, so he should make a difference while he can? [Laughter.]
The Secretary of State for Housing, Communities and Local Government (Angela Rayner)
That’s a bit harsh.
Matthew Pennycook
The right hon. Gentleman is certainly not charitable. As I made clear, I recognise the December 2021 uplift in energy efficiency standards means that most new builds that come through achieve an EPC rating of A or B. Off the top of my head, though I stand to be corrected, I think about 84% of new homes meet those standards. But as I said, we have announced that we want to introduce future standards this autumn, which will drive even more ambitious energy efficiency and carbon emission requirements for new homes.
Alistair Strathern (Hitchin) (Lab)
Having long campaigned on the need for much tougher regulations for solar panels on new homes, I was delighted to hear the Government announce last Friday that we will bring forward requirements to do exactly that. That will not just boost EPC ratings, but save new homeowners thousands of pounds in bills, all while reducing energy usage. How can we ensure that we move at speed so that as many of the new homes we build over the course of this Parliament as possible will benefit from our ambition here?
Matthew Pennycook
My hon. Friend has been a champion of ensuring that we get more solar panels on to new build homes and other types of building. As I said in answer to a previous question, we want to move at pace to put future standards in place. We are looking at this autumn, and that will ensure more of the new homes coming forward meet those more ambitious standards. It will mean, as he is aware, that the vast majority of new build homes have solar panels on them as standard.
Melanie Ward (Cowdenbeath and Kirkcaldy) (Lab)
The Parliamentary Under-Secretary of State for Housing, Communities and Local Government (Alex Norris)
The Government’s defining mission is delivering economic growth and driving up living standards. That is why we are investing up to £200 million across 10 Scottish towns over 10 years to support regeneration, tackle inequalities and unleash their full potential. That will empower local communities, improve public services and create new opportunities. That is, of course, alongside the shared prosperity fund, which is investing £4.4 million in Fife this year.
Melanie Ward
Many times I have raised with the Minister, as well as with Business and Treasury Ministers, the need for regeneration funding for Kirkcaldy High Street. The brilliant people of our town deserve a modern town centre that makes the most of our incredible seafront and all it has to offer. Ahead of the spending review this week, can the Minister assure me that my message has been heard? Will he also join me in congratulating Davy Russell, Labour’s newest MSP and a strong campaigner for his high street? The people of Hamilton, Larkhall and Stonehouse have chosen well.
Alex Norris
I can assure the hon. Lady, her constituents and the House that I do not think a week has gone by without her pushing me on Kirkcaldy town centre. She knows that I cannot run ahead of any multi-year spending review that may be upon us soon, but the point she made, and always makes to me, is a good one. I of course associate myself with her comments about Davy.
Alex Norris
The hon. Gentleman knows that I talk with my counterparts in all the devolved Governments, including Scotland and Northern Ireland, and I will continue to do so. The shared prosperity fund is a sign of our commitment in that direction. We will, I am sure, see future plans shortly.
Alison Hume (Scarborough and Whitby) (Lab)
The Minister for Housing and Planning (Matthew Pennycook)
The Government recognise the need to expand and upskill the construction workforce to meet our ambitious plan-for-change milestone of delivering 1.5 million safe and decent homes in this Parliament. We are working closely with industry to provide high-quality house building training opportunities, and we welcome the £140 million industry investment late last year in 32 pioneering new home building skills hubs, which will create up to 5,000 more construction apprenticeships per year.
Alison Hume
The construction skills village in Scarborough is an innovative real-world training environment for the specialist trades that we desperately need to build homes. Does the Minister acknowledge the importance of independent training providers in our plans to build 1.5 million new homes, and will he meet me to discuss how we can ensure that ITPs, which deliver the specialist skills that the construction industry is asking for, are included in our plans to train 60,000 new construction workers?
Matthew Pennycook
The Government are investing significant amounts of money to train more construction workers. We appreciate fully the importance of independent training providers in training the workforce needed to deliver more homes across England. I suggest that my hon. Friend and I find time to meet Baroness Smith from the Department for Education to discuss matters relating to ITPs, including the CSV in my hon. Friend’s constituency.
Ellie Chowns (North Herefordshire) (Green)
I welcome the Minister’s commitment to supporting skills training in the construction sector. Does he agree that skills training needs to be particularly focused on the sustainable skills, and will he join me in congratulating the low-carbon technology training centre in my constituency, as well as the new university in Hereford—its first cohort of engineers graduated just last month? Does he welcome such initiatives, and will the Government put more funding into supporting the construction and engineering skills that our building sector will need?
Matthew Pennycook
I hope that the hon. Lady recognises that we are putting significant amounts of investment into construction skills. In the spring statement, the Government announced a £600 million investment that will recruit an additional 60,000 construction workers by 2029. I am more than happy to recognise the contributions made by initiatives of the sort that she mentions in her constituency. We absolutely need skills across the built environment to meet our targets.
Rebecca Long Bailey (Salford) (Lab)
Baggy Shanker (Derby South) (Lab/Co-op)
The Secretary of State for Housing, Communities and Local Government (Angela Rayner)
In our first eight months in office, we have announced £800 million in new funding for the affordable homes programme and £2 billion as a down payment on future investment. The previous Government handed back precious cash for social and affordable homes. This Government will get those homes built. The Chancellor will set out details of new investment at the spending review.
Rebecca Long Bailey
I very much welcome the Secretary of State’s commitment to social and affordable housing. I know that she will be concerned by the new analysis by the National Housing Federation, which finds that local authorities in England with the most severe shortage of social housing now have waiting lists exceeding 100 years for a family-sized social home. With nearly 6,000 people on the waiting list in Salford alone, will she outline what support she will give local authorities and the social housing sector to deliver desperately needed social homes?
Angela Rayner
My hon. Friend is absolutely right. We have a housing crisis in this country, and it is felt particularly acutely by those who need social and council housing. That is why we have been absolutely clear that we want to deliver the biggest increase to social and affordable housing in a generation. We have already outlined a number of measures, including allowing councils to retain 100% of right-to-buy receipts and making long-term funding settlements for rents. We have set out the investment that we have put into the sector, but we will say more at the spending review.
Baggy Shanker
Having access to a safe and secure home is a basic human need, but the Tories absolutely ignored this when they cut Government funding by £4.8 billion in just five years, and Derby has suffered the consequences. Last year, waiting lists for social housing in our city reached record highs. What steps is the Secretary of State taking to lift people stuck on these waiting lists out of limbo and into good social housing?
Angela Rayner
My hon. Friend is a great champion for Derby and many Members across this House can understand the acute pressures he mentions. The fact is we have not been building enough homes, and we certainly have not been building enough social homes. Therefore, we have already set out some steps, as I mentioned briefly earlier, around the right to buy receipts, and we are consulting on new long-term rent settlements to give providers confidence to build, and we will be investing billions of pounds into social housing. I cannot pre-empt the spending review this week but the Chancellor will set out more then.
Alberto Costa (South Leicestershire) (Con)
When a developer pledges to build 40% minimum of affordable housing and obtains outline planning permission on the basis of that pledge, and then, less than 20 months later, seeks to reduce the 40% to 0%, is that acceptable?
Angela Rayner
I am not going to stray into individual cases, but what I will say is that since gaining office this Government have confirmed the changes to the national planning policy framework, in particular around section 106, to ensure that when developers seek planning permission and pledge that they are going to do something, they are kept to those pledges.
James McMurdock (South Basildon and East Thurrock) (Reform)
My constituency is seeing approximately 60,000 new homes being built across the Basildon and Thurrock areas. Basildon hospital is consistently running at 98% capacity, and a school I visited today, which I was very proud to see in such a good state, has roughly 1,100 pupil applications for 300 available spaces each year. Along with housing, my constituents are deeply concerned about the level of infrastructure being developed and the state of the existing infrastructure. What reassurances can Ministers give them about those concerns?
Angela Rayner
Coming back to the point that we do need housing, including social and council housing, we have been clear in the changes that we have been making, including in the Planning and Infrastructure Bill, to ensure that that infrastructure is there, because that is one of the barriers leading to people rejecting some proposals because the transport connectivity and the facilities are not available. Therefore this Government are committed to ensuring we get the right type of development that supports local need and also, importantly, has the infrastructure alongside it.
Paul Holmes (Hamble Valley) (Con)
The Deputy Prime Minister has repeatedly stuck to her commitment that 1.5 million homes, including social homes, will be built over the lifetime of this Parliament despite everybody knowing that she will not achieve it. And today, the latest people to say she will not are Savills, who have forecast that the true number she will build over this Parliament is just 840,000, and that means fewer social homes too. Now that she has emerged from the dark rooms of the Treasury to capitulate to the Chancellor, will the Deputy Prime Minister confirm that more social homes and 1.5 million new homes will be built by the end of this Parliament: yes or no?
Angela Rayner
The Opposition cannot have it both ways: one way they are saying we are failing to build the homes; and the other way they are saying we are concreting over the green belt. We said that planning reforms alone will not deliver our ambitions, which is why we have committed to delivering the biggest increase in social and affordable house building in a generation. And I say to the hon. Member, as I have said to many people in my life, underestimate me at your peril.
Angela Rayner
I am disgusted to hear about what happened to that young person and her baby—that is absolutely terrible. The number of people, particularly children, who are in temporary accommodation at the moment is shocking, which is why this Government are committed to the biggest wave of social and affordable housing in a generation. We have not put a particular number on that, not least because we do not have the spending review results—they are coming later this week—but we are clear that we want that number to ramp up and we need that proportion to meet the target of 1.5 million new homes, so I ask the hon. Member to wait just a little bit longer.
Amanda Hack (North West Leicestershire) (Lab)
Terry Jermy (South West Norfolk) (Lab)
The Minister for Local Government and English Devolution (Jim McMahon)
The Government have delivered a settlement that begins to fix the foundations and makes available over £69 billion in 2025-26. In 2026-27, an improved approach will direct funding where it is needed most and provide certainty through the first multi-year settlement in over a decade.
Amanda Hack
Leicestershire, alongside other authorities, has been campaigning for fair funding in recent years, following 14 years of poor funding settlements by the last Government, meaning cuts to vital services. A lack of fair funding also means that schools in North West Leicestershire have some of the lowest levels of funding per student in the country. How will the Minister approach a fair funding settlement that considers the unique challenges faced by rural communities?
Jim McMahon
I thank my hon. Friend for her work in championing those issues. We are fundamentally reforming how we assess councils’ relative needs and resources, to ensure that funding is distributed to where it is needed most. That includes accounting for councils’ ability to raise resources locally, which the previous Government promised to do but ultimately failed to do in balancing the numbers. Targeting funding in that way will enable councils that have had to scale back services the most to be able to catch up and to ensure that everybody, across the whole of England, is able to access decent public services.
Natasha Irons
Despite an increase in council tax of 27% since 2022, £136 million in exceptional financial support this year and brutal cuts to services, Croydon council’s finances remain broken. As an outer-London borough with inner-London problems, Croydon has historically not received the funding it needs to cover the costs for demand-led services like temporary accommodation, so even if Croydon’s debt was wiped out, it would still need exceptional financial support. Will the Minister outline how councils like Croydon will get the resources they need to meet the complex challenges they face and provide the frontline services that our communities deserve?
Jim McMahon
The questions that have been raised demonstrate why the fair funding review is needed, and why it has to take into account all the different factors that have an impact on whether councils can provide good public services or not. I appreciate, understand and accept that pressures that were previously felt in inner London are now felt in outer London, and in rural areas too. My hon. Friend will know that in February we provided £136 million in EFS support for Croydon council, and we will continue to work with it. We have met and talked about the issues a number of times, and I know that she understands that those are not small problems to deal with.
Helen Hayes
The statutory override to special educational needs and disabilities deficit comes to an end in just 10 months. Without a plan from the Government for the end of the statutory override, more than half of all local education authorities face effective bankruptcy. The need for a resolution to the issue is now long overdue. When does the Minister expect to be able to give local authorities the certainty they need?
Jim McMahon
We are laying the groundwork now, ahead of the provisional settlement, which will be the first multi-year settlement in over a decade and will deal with a lot of the structural issues. If it is any help, the Government understand and accept that it is not right or acceptable for councils that have done everything that has been asked of them and provided good public services, particularly for young people, to find themselves at the financial cliff edge as a result. We have an absolute commitment to work through those issues.
Terry Jermy
Pockets of deprivation in many rural communities, like my South West Norfolk constituency, are often masked by more affluent surroundings. Will the Minister reassure me that financial support from the Government for local councils in rural areas reflects those concerns about isolated deprivation?
Jim McMahon
This month, we are consulting on an updated assessment of need that we will implement from 2026-27. Importantly, that includes the indices of multiple deprivation, a designated national statistic, and it will drill down to deprivation levels of between 400 and 1,200 households in each of those units. Our intention is to address the issues found in the pockets of deprivation in every community, including rural and coastal communities where they are sometimes drowned out because of the sea of affluence around them. It is important that we get to deprivation wherever it exists.
Julia Lopez (Hornchurch and Upminster) (Con)
As an outer London borough, Havering has been hugely disadvantaged by a funding formula based on outdated population figures. We heard today that the Mayor of London himself is concerned that this Labour Government will level down London altogether. Will the Minister confirm that the fair funding review will report by this summer—I have been told that previously by a Minister—and will specifically address the disparities between inner and outer London?
Jim McMahon
I can absolutely assure the hon. Member that we are working through those issues, and we will consult the sector on them. Given all the variations that we will take into account, I hope Members accept that we have listened. We know that the funding formula is out of date and that for it to stand the test it must apply wherever Members represent, whether in coastal communities, rural communities, inner or outer London or anywhere else in between. I assure the hon. Member that we are getting on with that work.
Helen Morgan (North Shropshire) (LD)
Shropshire council’s finances have been left on the brink by 16 years of Conservative administration. It is the largest landlocked county in England, and it is struggling with about 85% of its budget being spent on social care. When the Minister does his fair funding review, will he look at the difficulty and costliness of delivering services over such a wide rural area and ensure that councils such as Shropshire, which has lost its rural services delivery grant, will be able to sustain themselves in the future?
Jim McMahon
We made available an additional £5 billion as part of the settlement, and £3.7 billion of that was for social care. We understand the pressures and we are directing money to address them, but we know that this issue will take more than one year to fix. We are on with the fair funding review—the third multi-year settlement in a decade—to begin to fix the foundations. We have definitely heard calls from rural communities and councils to take into account the additional cost for rurality and remoteness, and I assure the hon. Lady that those issues are being looked at.
Mr Peter Bedford (Mid Leicestershire) (Con)
One way of ensuring that new unitary authorities such as those for Leicestershire have adequate funding is to base that funding on robust business cases. Given that the Department was five weeks late in providing feedback to the local authorities, will the Minister commit to extending the deadline to ensure that those local authorities have the time that they need to build up those plans?
Jim McMahon
In all areas, there is more than adequate time to prepare final proposals. Councils in the devolution priority programme have until September, and all others—the majority—have until November. That is more than adequate time for councils to be able to marshal and get their plans together and make an assessment on that basis.
Ayoub Khan (Birmingham Perry Barr) (Ind)
It has been reported that the Birmingham bin strikes may last until December. How can this Government claim to support workers when they refuse to fund Birmingham city council properly? This dispute boils down to cash, yet the Government are failing Birmingham’s bin workers, residents and businesses. The Government backed our steelworkers. Will they back the bin workers with extra funding?
Jim McMahon
I hear what the hon. Gentleman says. On the calls that we have with MPs when we update them on these issues, his tone is quite different. We need to separate the rhetoric from the reality. The reality is that for the first time we had £600 million in the recovery grant, which was about those councils suffering high deprivation and historically low tax bases. Birmingham was the biggest beneficiary of that, receiving nearly £40 million.
David Simmonds (Ruislip, Northwood and Pinner) (Con)
The Minister knows from his time at the Local Government Association of the impact that asylum has on the budgets of local authorities. With the Home Office’s much-vaunted increase in the grant rate for asylum claims, the Government are pushing thousands of households on to council waiting lists and shunting millions in costs on to council tax payers. What additional funding and measures does he aim to secure to help to mitigate those costs, which are affecting so many of our local authorities?
Jim McMahon
Quite frankly, it is a bit rich for any shadow Minister to critique the current system when the Conservatives deliberately designed it in their 14 years in government. The question is how we go about repairing it. One thing must absolutely be put right; the disjointed system in which different Government Departments work in silos cannot carry on. One of the successes of the leaders’ council is that for, the first time ever, local government leaders are around the table with the Government, including in a meeting with the Home Office and our Department, to work through exactly those issues. That is the change: for the first time, those in local government are being treated as adults.
Alice Macdonald (Norwich North) (Lab/Co-op)
The Secretary of State for Housing, Communities and Local Government (Angela Rayner)
As the Planning and Infrastructure Bill enters its remaining stages in the Commons, I thank my hon. Friend the Housing Minister and Members across the House for their continued work on this important piece of legislation that will get Britain building again.
This weekend marks the eighth anniversary of the Grenfell tower fire. I know that I speak for all Members of this House when I say that the 72 men, women and children who lost their lives at Grenfell will never be forgotten. We have accepted the inquiry’s findings, and will take action on all 58 recommendations to build a more robust and trusted regulatory system that will deliver safe, quality homes for everyone.
Alice Macdonald
Many of my constituents are concerned that too often new estates go up without the necessary infrastructure, whether that is schools, GP surgeries or even playgrounds. Does the Secretary of State agree that it is vital to address that issue, and can she elaborate on how we will do so after too many years of inaction?
Angela Rayner
I absolutely agree with my hon. Friend. The Government are committed to strengthening the system of developer contributions to ensure that new developments provide the necessary infrastructure that communities expect. We will set out further details in due course. Earlier I mentioned the changes to the national planning policy framework that were announced in December, and we will also support the increased provision and modernisation of various types of public infrastructure.
Kevin Hollinrake (Thirsk and Malton) (Con)
As the Secretary of State has said, Saturday marks the eighth anniversary of the Grenfell tragedy. As she knows, I can confirm to her that I will work constructively with her and her colleagues to deliver remediation, building safety and the best outcomes for local communities. The previous Government committed over £5 billion for remediation; will the Secretary of State confirm that the spending review will continue to provide such financial support? Will she also confirm that she will meet the previous Government’s pledge to co-fund with the Royal Borough of Kensington and Chelsea the renovation of the Lancaster West estate, and that the £85 million from central Government needed and promised to finish the works will be provided?
Angela Rayner
I thank the shadow Secretary of State for the constructive way in which he has approached this issue. We all remember what happened at Grenfell and the work that the previous Government did, and we are continuing that work, as outlined in phase 2 of the recommendations. The buildings Minister, my hon. Friend the Member for Nottingham North and Kimberley (Alex Norris) has been meeting—as I have—members of the community, RBKC and others to make sure we continue on that journey. I hesitate to say, though, that the previous Government made a lot of promises that are challenging. We will always put safety first, and we are working to ensure that we deliver on that.
Kevin Hollinrake
I know that the Secretary of State has had some difficult negotiations this weekend with her colleague the Chancellor. The spending review is critical for the funding of the affordable homes budget. In the past, the Secretary of State has praised the Chancellor’s generosity, as she puts it, not least for providing the extra £2 billion for the affordable homes budget, but will she admit today that that budget is decreasing from previous levels under our Government? Will she say—even if it is after the spending review—exactly how many affordable and social homes she expects to deliver during this Parliament?
Angela Rayner
The shadow Secretary of State has been called a bit later than the hon. Member for Hamble Valley (Paul Holmes), for whom I outlined the reasons we have not put an exact figure on that and confirmed that we will build the biggest increase in affordable and social housing in a generation. I say gently to the shadow Secretary of State that we are delivering for working people by banning no-fault evictions and introducing groundbreaking protections for renters, which the Conservatives promised but did not deliver. We are introducing major planning reforms to build 1.5 million homes; they promised 1.6 million homes, but could not get anywhere. We are also delivering the largest ever single package of devolution measures, pushing power out of Westminster. We are delivering where the Conservatives failed.
Ben Goldsborough (South Norfolk) (Lab)
The Minister for Housing and Planning (Matthew Pennycook)
I do not blame my hon. Friend for trying, but for good reason we established an independent expert advisory panel—the new towns taskforce—to make recommendations to Ministers on the location and delivery of new towns. The taskforce will submit its final report to Ministers in the coming months.
Gideon Amos (Taunton and Wellington) (LD)
Residents in Wellington, in Castlemoat Place in Taunton and in Agar Grove—homebuyers—are just some of a sample who have come to me, raising the scandal of house builders not properly finishing the buildings they have created, leaving them unsafe. What steps will the Minister take to bring forward measures to ensure that house builders repair and make safe their properties urgently, without people having to wait years?
The Parliamentary Under-Secretary of State for Housing, Communities and Local Government (Alex Norris)
I am grateful for that question, which raises something mirrored in many parts of this country. The duty to make sure that homes are safe is the responsibility of builders and owners. Where they fall short, there are legal powers for the local authority and for the fire and rescue service to compel them to change. As with all hon. and right hon. colleagues across the House, I would be happy to help, if I can, with any specific examples that the hon. Gentleman has.
Brian Leishman (Alloa and Grangemouth) (Lab)
Alex Norris
As my hon. Friend rightly identifies, fire is a devolved matter. In England, stand-alone fire and rescue authorities will see an increase in core spending power of nearly £70 million in 2025-26. Those fire and rescue authorities are required to plan for foreseeable risks in their area, including wildfire and flooding, and to decide where to direct resources. On co-operation, I assure him, as I did the hon. Member for Strangford (Jim Shannon), that I am talking to my counterparts in the devolved Government to make sure that we are tackling common problems and sharing that insight.
Claire Young (Thornbury and Yate) (LD)
Matthew Pennycook
No. We are confident that the protections in place for the green belt—the tests that have to be met for grey-belt release—are robust. It is ultimately for local planning authorities to conduct green-belt reviews and to bring forward those sites as part of local plans.
Helen Hayes (Dulwich and West Norwood) (Lab)
The Parliamentary Under-Secretary of State for Housing, Communities and Local Government (Rushanara Ali)
We have invested almost £1 billion in tackling homelessness and rough sleeping, and we have recognised the scandal of temporary accommodation, which we inherited. We are taking action to ensure that there is a cross-Government strategy to get us back on track to ending homelessness.
John Lamont (Berwickshire, Roxburgh and Selkirk) (Con)
Alex Norris
I thank the hon. Gentleman for the opportunity to talk about community ownership of those locally loved assets. We know such places endure during difficult times; they provide good employment for local people and they normally employ a more diverse workforce base. We were pleased in the previous round to get money out to a number of schemes through the community ownership fund. We will legislate for an improved community right to buy, too. We are very much aligned in this space on the exceptional importance of community ownership.
Noah Law (St Austell and Newquay) (Lab)
Alex Norris
In addition to my previous answer, my hon. Friend will have heard me talk about the importance of targeting resource at deprivation and need. I think that is the right approach to funding. It also goes a bit beyond funding, to power, which all communities can benefit from. Whether it is high street rental auctions, an enhanced community right to buy, local planning processes or local communities taking those opportunities to shape place, local authorities are important in that conversation. I know my hon. Friend is pushing his in that regard.
Rebecca Paul (Reigate) (Con)
Matthew Pennycook
There are legitimate reasons why developer contributions can be held by local authorities—for example, so that they can complete phased development, or bring forward other sites over a period of time—but we are aware that certain local authorities hold, in some cases, significant sums, and we are giving the matter some attention.
Matt Turmaine (Watford) (Lab)
The Shared Health Foundation recently published a vital report on children living in temporary accommodation, which revealed the scandalous fact that all too often, children living in such accommodation are not safe, secure or able to thrive. Does the Minister agree that it falls to this Labour Government to fix that wrong, on which there has been silence for too long?
Rushanara Ali
My hon. Friend is right. We have inherited record levels of homelessness and rough sleeping, but this Government are determined to take action and address those challenges. Through the third round of the local authority housing fund, we are providing councils with half a billion pounds to house some of the most vulnerable people in the country, and have announced an injection of £2 billion to deliver up to 18,000 new affordable social homes.
Graham Stuart (Beverley and Holderness) (Con)
Angela Rayner
I might like a pint; and wouldn’t he like to know?
Emma Foody (Cramlington and Killingworth) (Lab/Co-op)
People have lived in Earsdon View in my constituency for more than 15 years, but the estate remains unadopted due to an ongoing issue between the landowner, Northumberland Estates, and the developer, Bellway, involving the securing of sewer adoption. I continue to press all parties to resolve the problem, but how can we ensure that people are not left in this situation for decades, often paying management fees on top of council tax, and that developers deliver?
Matthew Pennycook
My hon. Friend has been a doughty champion of leaseholders and residential freeholders in her constituency. We must start to provide the consumer protections that are already on the statute book, but as I have made clear, we are determined to end the injustice of fleecehold entirely, and will consult later this year on legislative and policy options to reduce the prevalence of private estate management arrangements.
Jack Rankin (Windsor) (Con)
I broadly support unitarisation on a strategic scale, but I am concerned about how historic debts will be treated in Surrey, especially those of Woking and Spelthorne councils. How will those debts be handled as our councils come together, and will the Minister assure my constituents in Virginia Water and Englefield Green, in the well-run borough of Runnymede, that they will not foot the bill for this as part of the reorganisation?
The Minister for Local Government and English Devolution (Jim McMahon)
That is one of the reasons why the Surrey arrangement was accelerated. We recognised the lack of balance between the debt liability and the assets and incomes. We also recognised that the unitaries would have to be financially viable, and we are well on track to delivering that, in partnership with the local councils.
Florence Eshalomi (Vauxhall and Camberwell Green) (Lab/Co-op)
I welcome the enhanced protections for tenants in the Renters’ Rights Bill, but data from The Londoner shows that for London tenants, there is only one enforcement officer per 7,500 private rented homes. Given the new enforcement burdens that the Bill places on councils, will the Minister please ensure that they have the resources to protect private tenants?
Matthew Pennycook
My hon. Friend will know that in the Bill we have taken a “polluter pays” approach. Local authorities will be able to levy fines on landlords to raise revenue, but—my hon. Friend can check the transcript on this point—we did commit ourselves to “new burdens” funding as appropriate.
Simon Hoare (North Dorset) (Con)
Given the environmental importance and scarcity of chalk streams, may I urge the Deputy Prime Minister and her team to support amendments to this afternoon’s legislation that would protect those streams? They are vital, and they need as much protection as we can give them.
Matthew Pennycook
As the hon. Gentleman will know, chalk streams already have protections in national planning policy, but I am sure that we will continue this discussion on Report of the Planning and Infrastructure Bill later today.
Anneliese Midgley (Knowsley) (Lab)
Will the Minister meet me and residents of Beech and Willow Rise in Kirby, where a combination of failed leasehold law, previous corporate entities and inadequate regulation risks leaving residents facing unaffordable costs and eviction?
Matthew Pennycook
I am always happy to meet my hon. Friend. I know she has had constructive conversations with the Minister with responsibility for building safety, my hon. Friend the Member for Nottingham North and Kimberley (Alex Norris), but I am happy to meet her.
Jess Brown-Fuller (Chichester) (LD)
Three hundred social homes are at risk in my Chichester constituency, despite having outline planning permission, because developers are rejecting offers from registered providers. Will the Minister commit to action to stop developers evading their obligation, and will he meet me to help me protect the delivery of these social homes?
Matthew Pennycook
We recognise the challenges around uncontracted section 106 units. A complex array of factors has led us to this point, but we are giving serious consideration to how we unblock the problem, and how we get those section 106 homes allocated and people living in them.