Housing: Underoccupancy Charge

Baroness Hollis of Heigham Excerpts

Tuesday 28th January 2014 Lords Chamber

[Lord Freud]

Clearly, one thing about this policy is that it makes properties that are underoccupied available for people who are overcrowded. According to the English housing survey, the figure for overcrowding is about a quarter of a million. Under the 2011 census, the figure was higher, going up to a third of a million—361,000.

[Baroness Hollis of Heigham (Lab)]

My Lords, overcrowding is essentially a London problem, but the local authorities most affected are not London authorities; they are in places such as the north. I am sure that the Minister respects the facts on that and will share his information with the House. Does he agree that the problem that local authorities and housing associations face is that there is an absolute shortage of small accommodation to which people can move? Does he therefore agree that it would only be fair, right and decent if people were sanctioned by the bedroom tax only if they refused an acceptable alternative offer of smaller accommodation?

[Lord Freud]

My Lords, less than half the overcrowding takes place in London. More than 30% of properties are actually one-bedroom and 108,000 have come up. We are adapting to the transition by using the discretionary housing payment system. The recent data on discretionary housing payments show that that is exactly how local authorities are using that money.