Housing: Underoccupancy Charge

Baroness Quin Excerpts

Wednesday 29th January 2014 Lords Chamber

[Lord Freud]

My Lords, we are having an intensive review of what is happening. Clearly, there are a large number of people—1.8 million—on the waiting list who would welcome a place to live when it is vacated. We can also look to move some of the people who are living in overcrowded social accommodation; that is a large figure that I discussed with the House yesterday. That will give them some relief.

[Baroness Quin (Lab)]

Will the Minister confirm that discretionary housing payments can cover only a fraction of the losses involved for households as a result of this measure? Research shows that it is of the order of only 6%.

[Lord Freud]

My Lords, clearly people will respond in different ways, which is one of the things that this policy is intended to bring about. The area with which the noble Baroness is closely associated, Gateshead, spent roughly 69% of DHP in the first half-year and put in an application for further DHP that we were pleased to match with another £130,000. This meant that it could spend roughly the same amount in the second half of the year as in the first. That contrasts with the area that the noble Baroness, Lady Hollis, is very closely associated with. It has spent 58% of its DHP. I have not seen its application for further DHP. There is a bidding fund of £20 million that I would like to get spent. Norwich has until Monday to put in that bid, and I hope that the noble Baroness will use her very considerable energies to make sure that it does.