All 1 Debates between Baroness Hanham and Lord Haskel

Thu 8th Jul 2010

Housing

Debate between Baroness Hanham and Lord Haskel
Thursday 8th July 2010

(13 years, 10 months ago)

Lords Chamber
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Baroness Hanham Portrait Baroness Hanham
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My Lords, I start by thanking all noble Lords who have taken part in what I knew would be a challenging debate. This House has a great deal of experience in housing that has been well demonstrated today. It is also clear that we have two new recruits to the housing field. I join other noble Lords in congratulating the noble Lord, Lord Touhig, and my noble friend Lord Gardiner on their excellent maiden speeches. It is always good when new people who are interested in local government and housing join the troops, and we all look forward to hearing more contributions from them both as time goes by.

I am simply not going to be able to deal with every single point that has been raised today. As expected, the debate has covered a wide range of subjects, well beyond the issue of affordable housing, and has touched on the whole housing area. I do not think that one of us here—either those who have been in or those who have just come into government—will be satisfied that we have licked, or are licking, the housing problem. It is a vast issue, and trying to ensure that houses are built in considerable number will not be helped by the current significant economic crisis.

I want to confirm immediately—this was made clear in the coalition agreement—that the Government support affordable housing and intend to make sure that there is housing for those in need. However, we have heard the figures quoted today. Indeed, I remember a housing debate that took place some six, seven or eight years ago when we bemoaned the same issues. We said how many affordable, low-cost houses needed to be built for people to buy and rent. The noble Lord, Lord Prescott, is in his seat and I remember having some difficulty with his Minister over the fact that he was going to build 2 million houses within a fairly short space of time. They were grand plans. We debated them at the time but they were not realistic. The number of houses was realistic but actually getting them built was not. We are still faced with the problem of there not being enough housing, and the Government are committed to continuing the programme of affordable housing as the economy allows.

I take the point made by the noble Baroness, Lady Wilkins, about demography as well as disability. We cannot just provide homes with two or three bedrooms for the normal family; we have to take into account the fact that people have, at different times of their lives, different needs and requirements. Therefore, the Lifetime Homes standard remains an aspiration that should be met, even if not for every single home.

A lot of figures relating to the number of properties that are being built have been bandied around, and I have mentioned some of them. I think that one can trip over numbers wherever one goes, but there is no dispute that the number of affordable houses built over the past few years by the previous Government was very much lower than I expect they anticipated or wanted. It certainly did not increase during their watch. However, we must carry on and do what we can to improve the situation—albeit, as I said, in a difficult financial climate.

I was asked many, many questions. I shall touch on some of them briefly, and I assure noble Lords that those that I do not answer will receive full and proper replies, because these are important issues.

I start by thanking the noble Baroness, Lady Ford, for the very measured way in which she opened the debate. I also thank her for welcoming me to these Benches as a Minister. As noble Lords will know, I have dealt with housing over a great number of years, and I bear many scars, even at a local authority level. I am sure that those scars will be added to now at a government level.

The noble Baroness touched on many aspects of housing, such as overcrowding and homelessness, which we know exist, the reasons why people have to leave and the issue of children not having access to housing. We can all diagnose the problems but we have to try to resolve them. Within the policies that have already been discussed there are some straws in the wind. The Government have been in power for only 60 days, as I keep being reminded, and have done quite a lot of work in that time. But we must look towards things such as local housing trusts which I hope will become part of housing in future. I confirm that we still support co-operative housing which is an extremely useful way of providing housing.

Rural housing has an appalling record. I recognise that second homes in villages have often taken up housing that might have been available for younger people who live there. If villages are decimated and people leave, the heart goes out of the community. I can see that. There are proposals on the development and release of land to try to encourage small developments and the local housing trusts will affect that. A small development where we can restrict who the houses go to is probably a good way of going ahead.

Much has been said about localism but one aspect of the Government’s policies that will help is to have decision-making at the lowest level and as rational as it should be. I referred to this earlier. In rural housing this is one area where it should work because local people know much more than even those in government about where housing is needed and where small plots of land can perhaps be released for housing, with a bit of encouragement. They know where small developments can take place and be made available for young people who live in the community. The right reverend Prelate the Bishop of Gloucester made a stirring speech about rural housing, as did my noble friend Lord Gardiner. This is a very important aspect and I can assure noble Lords that we will be taking it up.

The noble Baroness, Lady Wilkins, made a clear speech on Lifetime Homes standards. Local authorities which consent to and support the construction of new homes will receive direct and substantial benefits from their actions. That is the incentive but we would not want to lose sight of Lifetime Homes even if not every home is built to a lifetime standard. Lifetime and decent home standards are extremely important and we recognise that.

I shall return briefly to my noble friend Lord Gardiner as I am trying to pick up some of the questions that were asked. The home on the farm policy to bring disused farm buildings back is another aspect of rural housing. There was a question on eco towns. We will not impose them on anybody but if planning permission is given I do not think anyone will stand in their way. Clearly, they are a new and interesting development in times of climate change and the impact that can be made from doing things in other ways. I do not think that there will be any difficulty unless such eco towns are opposed by local people and do not get planning permission.

The noble Lord, Lord Touhig, talked about the Co-operative society developing affordable homes. I think I made it clear that we support the Co-operative, which has done a very good job. The noble Lord, Lord Haskel, and others, asked about the Tenant Services Authority. Yes, it is under review, but, having said that, we recognise the importance of the regulation of that sector. Whatever the review reveals, we will not jeopardise that vital function. There will be further information about that in due course. Once the review has been undertaken, I will be able to report back to the House.

Lord Haskel Portrait Lord Haskel
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Will the review be done quickly, so that the money does not go elsewhere?

Baroness Hanham Portrait Baroness Hanham
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My Lords, I think that it is understood that, as with all of these reviews, it is much better done in the short-term rather than the long-term. I will take that view back to my honourable friend, Grant Shapps, and ensure that it is understood.

One of my first debates from the Front Bench was on mobile homes. The noble Lord, Lord Morris, may remember it. I knew nothing about mobile homes before that, and I was impressed at the provision they made and the enormous loyalty and affection that there was for them. The noble Lord has been a sterling supporter of mobile homes through all those years. I take the point that they are an aspect of affordable housing which we do not want to overlook. I will certainly make sure that that important aspect is understood. I know that there have been terrible problems in places.

I never quarrel with the noble Lord, Lord Best, because he knows more about housing than practically anyone here; I say that advisedly and I do not think that anyone would disagree with it. He took up the point about housing benefit. The review of housing benefit has been based on the economic situation—like all the other issues, such as the HCA. All those highly resourced funds have had to be looked at. Housing benefit has played an enormous part in ensuring that people can go into the private sector, if they cannot get a home in the public sector, and that people in social housing have access to money.

However, as the noble Lord said, the costs have gone up from about £14 billion to £21 billion. That is an enormous sum of money. Although it may not be the largest part of it, there have been and are well publicised examples of people who are receiving housing benefit at an enormous rate a week. I see the noble Lord shutting his eyes and shaking his head, but I said quite clearly that there may not be many, but there have been examples. There have been examples of high housing benefit, perhaps having had to be paid to get people into social housing, but that cannot go on. That is why the decision has been made to cap the level at which it can be paid.

Yes, there will be casualties from that; there is no doubt about that. It will be up to local authorities to deal with that as sensitively and carefully as they can if—it is not always necessary—people have to leave their home. It is inevitable that that the housing benefit package had to be looked at, but I again hear what has been said about its importance. Although housing benefit has been held, the private rented sector is an extraordinarily valuable part of the housing sector. One has to recognise, and we do, the contribution that low-level and high-level private-sector housing makes to affordable housing as well as to everything else. The co-operatives, the private rented sector and affordable housing from housing associations should all be recognised.

These days, most affordable housing is provided by housing associations and we could not have managed without it. I started in housing at a time when people were beginning to say that there should be a better way than for councils to provide housing. Housing associations became a real aspect of housing and they have delivered housing probably more sensitively and more carefully than that being delivered even by local authorities.

I am not aware of any sense of providing or giving authority to local authorities to provide a huge amount of money to support council houses and mortgages or for building council houses. There is always a role for authorities to play. Certainly, their job will be to ensure that their plans and the amount of housing required are recognised and come in under their development plans.

Finally, I know that I have not done justice to all the questions that have been asked, but I should like to touch on regional spatial strategies, which have been raised, as has Section 106. The regional spatial strategies were top-down targets, which again we are trying to reduce. Of necessity, local authorities, or probably a combination of local authorities, will need to set up their own strategies to make sure that they get what they need. The development plan regime, which was introduced by the previous Government, has been a disaster. It has taken so long to get through. I think that about four authorities have had a development plan accepted. Most are still struggling to get it through after five or six years. Down at a local level one would expect this to happen much more quickly and that, based on local needs and local requirements, decisions could be made much more quickly.

Section 106 and CIL are under discussion, but I am not aware that there is any intention, where Section 106 has been negotiated, not to allow part of that to go to affordable housing. If I am wrong on that, I will make that clear. But I am fairly certain that there is no expectation of change in what Section 106 can do at the moment, part of which is to deliver affordable housing.

I hope that I have touched on at least some of the things raised by noble Lords. I will make sure that questions are answered in writing if I have not managed to do that. I thank everyone for their contributions today.