Housing: Rent Levels
Debate between Lord Ahmad of Wimbledon and Baroness Turner of Camden
Baroness Turner of Camden
To ask Her Majesty’s Government what steps they are taking to deal with the level of rents being charged by private landlords, particularly in London, and their impact on housing benefit.
Lord Ahmad of Wimbledon
My Lords, across England, increases in private sector rents in recent years have been modest and below inflation. Over the 12 months to May 2013 private rents increased by 1.3%; this compares with the CPI of 2.7%. We are also encouraging the supply of new homes with a £1 billion build-to-rent fund which will help to keep rent levels down.
Baroness Turner of Camden
I thank the Minister for that response. Is he not aware that we are facing a bit of a housing crisis at the moment, particularly in London? Younger people cannot afford the deposit to buy a place and cannot afford the rents because they are far too high. Is the Minister aware that following the last war there was also a housing crisis and that the Government then dealt with it by building lots of small houses—the famous prefabs—and also introduced a system of rent controls through the rent tribunals so that people were not pushed into poverty by trying to pay for a roof over their heads? Can we not sometimes learn something from our predecessors?
Lord Ahmad of Wimbledon
The Government are fully aware of the housing challenges. In London the mayor’s housing covenant contains detailed proposals for improving London’s private rental sector. The housing guarantee schemes are intended to help expand the provision of large-scale, professionally managed rented housing and to support economic growth. Of course, as was recently announced, the Government have allocated an additional £3 billion to a housebuilding programme. We are embarked on the biggest housebuilding programme of the past 20 years, and that should be appreciated and commended.
Homelessness
Debate between Lord Ahmad of Wimbledon and Baroness Turner of Camden
Lord Ahmad of Wimbledon
Again a valid concern is raised. I should add to the noble Lord’s comments that last year only six young people under the age of 18 were found sleeping rough in London, for example, out of about 6,500. That said, they are among the most vulnerable. Certainly young people between the ages of 18 and 25 are predominant among rough sleepers, and it is important that we look after their needs and future development.
Baroness Turner of Camden
My Lords, is the Minister aware that one of the reasons for homelessness, and in particular rough sleeping, may be that there is often a delay in benefits being paid? People simply do not know what to do, particularly if they are on their own, and they therefore end up sleeping rough.
Lord Ahmad of Wimbledon
On the point that the noble Baroness raises about benefits being paid, I know that we are considering moving from a three to a seven-day period. I heard the shadow Chancellor say in the other place only this morning—and certainly in his media appearances—that he would perhaps support the move to a seven-day period. It is important to share information so that we can get people who are entitled to benefits validly assessed and off the streets in order to develop their lives and those of their families.