Housing Debate

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Lord Ahmad of Wimbledon

Main Page: Lord Ahmad of Wimbledon (Conservative - Life peer)

Housing

Lord Ahmad of Wimbledon Excerpts
Wednesday 22nd May 2013

(11 years, 6 months ago)

Grand Committee
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Lord Ahmad of Wimbledon Portrait Lord Ahmad of Wimbledon
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My Lords, I join other noble Lords in commending the noble Lord, Lord Dubs, for initiating this debate. In doing so, I thank all noble Lords who have participated in debating what is, undoubtedly, an important issue. In responding, I should say from the outset that the Government see—and certainly I saw this at first hand during my tenure in local government—that the best way in which to tackle homelessness is not by politicising it, as the noble Baroness, Lady Dean, said. This is about people’s future and their lives, and often their families, who are desperately in need of support to get themselves on their feet. I totally share the sentiments, as expressed by the noble Baroness, about ensuring that what we do is to put the people at the centre of any reforms or changes that we seek to make.

I also recognise that the issues raised by noble Lords in the debate reflect the growing importance of housing, acknowledged by all sides. This is not something new; the housing crisis is a reality that has been faced by successive Governments, and which this Government are certainly facing up to today.

I turn to a few facts. I acknowledge that, if one casts one’s mind back to about 2003, there were then about 135,000 households in England that were accepted as being homeless by local authorities. At the end of last year, this figure was just in excess of 53,000. I would like to clarify one point. The noble Lord, Lord Dubs, raised the issue of 53,000 in terms of temporary bed and breakfast accommodation, which is currently 4,000. Overall numbers in temporary accommodation are much smaller than they reached in 2004, when it was closer to 100,000. That said—and we can talk about statistics—I acknowledge the fact that, after 2004 the previous Government took some stringent steps to address that particular need, and also to bring it to the attention of local authorities, which are at the forefront of tackling this particular issue.

The Government are committed to tackling and preventing homelessness and reducing the use of bed and breakfast accommodation. This is reflected in the increased level of funding that we have provided for homelessness work at what are, as my noble friend Lady Maddock acknowledged, very challenging times for the Government. The Government have invested £470 million over the spending review period in prevention of homelessness, including the reduced use of temporary accommodation. There has been an additional £70 million this year, including £18.5 million to tackle rough sleeping, targeted at local authorities and £20 million for a transition fund.



I share the sentiments that have been expressed by several noble Lords. The Government are keen to ensure that local authorities support homeless households into stable, secure and suitable long-term accommodation as soon as possible. In my time as a local councillor, I saw for myself the importance of this issue, particularly where children have spent long periods in temporary accommodation. It can be very damaging. That is why we have retained the order introduced by the previous Government in 2004 to limit the use of bed and breakfast accommodation, and I will return to this in a moment. The order makes it illegal to place families in this type of accommodation for any longer than six weeks.

I fully acknowledge that despite the order, during the first half of last year we did see an increase in the use of bed and breakfast accommodation, but I am pleased to say that when the latest figures were released in March, the numbers had dropped in comparison with the preceding quarter. However, I reiterate that the Government are in no way complacent about this. Where authorities are placing families in bed and breakfast accommodation for longer than six weeks, let me make it clear that it is unlawful and unacceptable. I share the concerns expressed by the noble Lord, Lord Dubs, in this regard. Officials at the Department for Communities and Local Government are working closely with those local authorities which have the highest number of families in bed and breakfast accommodation to help them address the issue. We are confident that the numbers being left in this type of accommodation for longer than six weeks can be reduced.

The noble Lord, Lord Dubs, also mentioned the issue of rough sleeping. We will make sure that we continue to tackle and prevent rough sleeping, and I am greatly encouraged by the success here in London of the mayor’s No Second Night Out pilot project, which has ensured that 87% of new rough sleepers do not spend a second night on the streets of London. We are rolling out the No Second Night Out project nationally, and all local authorities are planning to introduce the scheme. Many key rough sleeping areas like Merseyside, Greater Manchester, Oxford and Northamptonshire are already operating schemes. Again, I am very supportive of this. I focused on a project for my own party which looked in particular at inner cities, and I know how acute the challenge and associated problems of rough sleeping can be.

I want also to address the location of the housing being offered by local authorities. Vulnerable households need protection and it is not acceptable for families to be dumped en masse long distances away from home. This matter has been raised by my honourable friend Mark Prisk, the housing Minister, and it is a point that he has reiterated and made clear to councils. For our part, we introduced new powers in the Localism Act 2011 so that councils can now use good quality private rented sector accommodation to meet the main homelessness duty, thus helping to reduce the need to use temporary accommodation. Where councils do feel the need to move families away from their home borough, they must by law take account of the suitability of the accommodation being offered to each homeless household and consider the impact that the change in location will have, including possible disruption to employment, education and, of course, caring responsibilities. The law is clear, and councils not doing this will be challenged. During the consultation for the suitability order, both the London Development Agency and London Councils welcomed the flexibility afforded to local authorities to discharge their homelessness duty in the private sector.

The issue of the suitability order and outer borough policy was again a concern of the noble Lord, Lord Dubs. It will ensure proper accommodation. For the information of noble Lords, it will look at five broad areas: the physical condition of the property, health and safety, matters relating to the property such as electricity and fire safety, licensing for houses in multiple occupation, landlord behaviour and elements of good management.

Several noble Lords, including the noble Lord, Lord Dubs, and my noble friend Lady Maddock, mentioned overcrowding. As has been acknowledged by various speakers, the Government aim to deliver some 200,000 new affordable homes by 2016-17. This will be achieved through our new Affordable Homes Programme and additional homes under the Housing Guarantee Scheme. With a total investment that includes £19.5 billion from the private sector, our main affordable programme remains on track to deliver 170,000 new affordable homes for rent and ownership by March 2015. I totally acknowledge that this is not just about quoting figures; we need to ensure that we build those houses—a sentiment aired by the noble Baroness, Lady Dean, which I share. Up to a further 30,000 homes will also have been started on site by March 2015, supported by our affordable housing guarantee of £10 billion and a grant of £450 million. Taken together, the reforms to social housing allocations, homelessness and tenure in the Localism Act 2011 will make it easier for social landlords to manage their existing stock generally to reduce homelessness.

I have already alluded to the fact that 200,000 new affordable homes will be delivered, and we are on target to achieve that. Almost 58,000 affordable homes, including first-buy homes, were delivered in 2011-12, which is a third more than the average delivery in the 10 years between 2001 and 2009-10. We are also confident about delivery. In 2011-12, the HCA exceeded its target by more than 13,000. Almost 60,000 completions have been delivered in the first 18 months of the affordable homes programme—that is, 37% of the 170,000 being delivered between 2001 and 2015. The UK Statistics Authority has confirmed that there was a loss of 421,000 social rented homes under the previous Government. The extension to the affordable homes guarantee programme to 2016-17 will, we believe, help providers to develop stronger bids for more homes. In the 2013 spending round, we will be looking at the range of policy options on the supply of affordable housing beyond 2015. This will give providers greater clarity on the policy relating to affordable housing beyond 2015 to inform their long-term business planning.

My noble friend Lady Maddock raised the issue of certain local councils. I know the challenges faced by, for example, Croydon, which she highlighted. It is a borough not too far from where I used to serve as a local councillor. I know for a fact that the Government are working with Croydon to reduce those figures. We are informed that they have come down significantly and, indeed, are set to reduce further. However, I would highlight that, because of new arrivals into the UK, Croydon faces particular acute challenges in housing provision.

My noble friend Lady Maddock raised the issue of best practice among councils, and this is very important. Perhaps I may again quote the noble Baroness, Lady Dean: this is not about politics; it is about ensuring that we get the right result. Where there is good practice, whether it is in a Conservative council, a Lib Dem council, a Labour council or a council of whatever other colour we may conjure up in the years ahead, it is important that that practice is adhered to and shared. I acknowledge the work done by, for example, London Councils in London and by the LGA across the UK in encouraging this.

As noble Lords may be aware, we have also recently announced the gold standard scheme, which is being run by NHAS and Winchester City Council, with nearly £2 million being made available for a peer review and accreditation scheme. Again, we hope that this will allow us to share good practice across the country.

In addressing issues of overcrowding, I also wish to mention HomeSwap Direct, which will make it easier for underoccupying households to help each other. It is too early to say whether the removal of the spare room subsidy will reduce overcrowding, but we are seeing a significant increase in applicants for home swaps and a 28% increase in the swap rate.

At this point, I want to turn to a concern raised by the noble Lords, Lord Dubs and Lord Collins of Highbury, and indeed by other noble Lords, not just in this debate but previously, relating to what has been referred to in the media as a bedroom tax but was in fact a subsidy granted by the Government. There are specific exemptions and mitigations that I wish to highlight in this regard. Those mitigations and exemptions apply, for example, to approved foster carers and to the parents of adult children in the Armed Forces who normally live at home but are deployed on operations. People living in supported exempt accommodation are not affected by this measure. DWP guidance is that local authorities may also allow an extra bedroom to address issues of disability, particularly where a disabled child or children are unable to share a room because of their severe disability. As I believe the noble Lord, Lord Collins, acknowledged, a discretionary fund is available. I do not want to go into individual cases but we are encouraging this, and the Government have made £350 million available in discretionary housing payments across the spending period to help the most vulnerable people through this reform. These will be distributed at local authorities’ discretion. If local authorities are very much on the front line in dealing with these issues, it is important that they address them and that money is provided to do so.

The noble Baroness, Lady Dean, talked about the cut in the housing budget. We have increased the supply of affordable housing compared with the average over the years 2001 to 2009 and 2010. The affordable rent product allows us to achieve much better value for money and the average grant is in the region of about £22,000 per unit. However, I acknowledge the point made by the noble Baroness in her usual articulate fashion that it is not just a question of stating what is being built but of ensuring that new houses are built to address local needs. The Government remain committed to fulfilling our promises and targets in this regard.

I believe that I have covered most of the issues that were raised. The noble Lord, Lord Collins of Highbury, referred to bed-and-breakfast accommodation. I acknowledge that some councils are not fulfilling their pledge on the six-week limit. My honourable friend the housing Minister has looked at this and the ministerial working group on homelessness is calling on local housing authorities to deliver on the 10 challenges, which include a commitment not to use B&B accommodation for families. Recently, Mark Prisk, the Minister concerned, held a round table with London boroughs with high homelessness numbers, including families in B&B accommodation, to address these issues and to share good practice across boroughs, to which my noble friend Lady Maddock referred.

I once again reiterate that the Government remain absolutely committed to addressing homelessness. We believe that progress is being made in reducing current homelessness levels across the country. Does more need to be done? Of course, it does. We need to look at the extended use of bed-and-breakfast accommodation beyond six weeks and to ensure that there is greater affordability in the market by increasing the supply of affordable homes. Through the ministerial working group on homelessness we are working across government to tackle the complex drivers of homelessness. Although these remain difficult times for all of us, we are calling on local authorities to play their part in tackling this issue. There is no excuse for housing families in unsuitable accommodation, be that bed-and-breakfast or other unsuitable accommodation. We continue to work with local authorities, organisations such as London Councils and the LGA to ensure that good practice prevails. No council should send tenants en masse to different parts of the country, so we have changed the law to ensure that local authorities properly consider the location of accommodation alongside other matters.

The Government remain committed to tackling this issue, which we are confronting despite the challenges. I know from my own experience that there is nothing better than turning a key, walking through a door and entering a house that meets the family’s needs. We are committed to fulfilling that aspiration for homeless people. That should remain at the centre of our thinking.