Housing and Planning Bill

Baroness Eaton Excerpts

Tuesday 26th January 2016 Lords Chamber

[Baroness Eaton (Con)]

My Lords, I start by declaring an interest as a former chairman of the Local Government Association and a current LGA vice-president, and draw Members’ attention to my interests in the Register of Member’s Interests. I congratulate the noble Baroness, Lady Thornhill, on her maiden speech. I have known her a number of years through local government and it was a pleasure to hear her today. I look forward to hearing the contribution of the noble Lord, Lord Thurlow, later in the evening.

We all know the security that comes from having a safe and decent home, and that is why I am pleased to be able to speak in today’s important debate. Getting more people on to the property ladder and improving social housing are key priorities of this Government, and the Bill that we are considering seeks to build on the progress that has been made over the past five years.

Under the previous Labour Government—I assure the noble Lord, Lord Kennedy, that these figures are correct—housebuilding fell to its lowest peacetime level since the 1920s. Between June 2008 and June 2009, for example, just 75,000 new homes were started in England. By contrast, the most recent figures show that annual housing supply in England amounted to 170,690 net additional dwellings in 2014-2015, a 25% rise on the 2013-2014 figures.

The Help to Buy scheme has assisted thousands of hard-working families on to the property ladder. In December, the Government launched a new help-to-buy ISA, which the Minister referred to earlier, to help first-time buyers save for a deposit. It is worth noting that between 1997 and 2010, the number of social houses for rent decreased by 421,000, while in the five years of the previous Government, twice as many council homes were built as during the 13 years of the preceding Labour Government.

Who could speak about housing without mentioning right to buy? Margaret Thatcher’s Government allowed millions of families to achieve the dream of home ownership, and right to buy was perhaps the defining policy of her time in office. The successful reinvigoration of right to buy in recent years means that over £950 million in sale receipts is now being reinvested in building new homes, levering in a further £2.2 billion of investment.

This is a clear record of success, but the Government have made it clear that much more needs to be done. The Bill which we are considering today aims to double the number of first-time buyers—helping 1 million more people to own their own home—and deliver an additional 275,000 affordable homes by 2020. Ending the unfairness of right to buy being available only to council tenants is surely the right thing to do, and many housing association tenants have already registered their interest in it.

Speaking of fairness, it is surely right, as this Bill proposes, that higher-income social tenants be required to pay a level of rent equivalent to that paid by people on similar incomes in the private rented sector. This proposal will ensure that subsidised social housing is targeted at people in real need. Any housing that is released as a result will provide more opportunities for people in genuine need of social rented accommodation.

I also strongly welcome the provisions in relation to rogue landlords, including the introduction of banning orders for the worst operators and the flexibility for councils to issue fines of up to £30,000, which they will be able to keep for housing purposes, as an alternative to time-consuming prosecutions. These provisions are of course supported by the Government’s announcement last week of extra funding to tackle rogue landlords.

The LGA, which I wish to emphasise is a cross-party organisation, has been mentioned several times. Although the LGA welcomes these and a number of other provisions in the Bill, it is also concerned that some provisions will not help the Government achieve their ambitions to increase the housing stock and to secure the right mix of housing. In particular, the LGA has made clear its concerns in relation to the forced sale of council homes, while also emphasising the need for greater local flexibility in the delivery of starter homes. I know that the LGA has been working constructively with Ministers on these and other matters during the Bill’s parliamentary progress. I welcome that.

I also welcome the fact that the Government are open to having individual discussions with councils about the cumulative impact of the reforms in local areas and the flexibilities that councils could gain to adapt policies and deliver new homes. Following our debate today, and as the Bill continues its progress, I hope that these discussions will continue and that we will be able to reach agreement on the measures that are required to deliver the extra housing that the nation so clearly needs.

When considering the planning aspects of this Bill, I believe it is important to bear in mind research released earlier this month by the LGA showing that a record 475,647 homes in England have been given planning permission but have yet to be built. These figures conclusively prove that the planning system is not the barrier to housebuilding. However, no one would pretend that the system is perfect, and I support the Government’s efforts to streamline the local plan-making process and ensure that plans are not undermined by national policy changes.

Increasing the housing supply, getting people on to the property ladder and improving social housing are objectives we can all surely agree on. These are the driving principles behind the Bill and I hope that through this debate we can work constructively with the Government to deliver legislation that provides more and better housing in this country.