Housing: Young People

Lord Best Excerpts
Thursday 14th March 2024

(6 months, 3 weeks ago)

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Lord Best Portrait Lord Best (CB)
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My Lords, I thank the noble Lord, Lord Young of Cookham, not just for securing this debate and getting it off to a brilliant start, but for his decades of highly distinguished policy action in addressing key housing issues. As usual, I agree with his words of wisdom so eloquently delivered today.

This debate is very timely: the housing crisis for those with nowhere to go represents a national emergency that demands our urgent attention. It is gratifying to hear just how much we all agree on the urgency of the situation. I declare my housing interests, as on the register. Currently, I chair the Devon Housing Commission. Noble Lords may think that acute housing shortages are a problem for London and the big cities, but they could hardly be more extreme than in the beautiful county of Devon. Fewer and fewer young people brought up in the county are finding it possible to buy a home of their own—and, over recent months, they have found it almost impossible to secure a rented home they can afford. The numbers of young households having to be placed in unsuitable temporary accommodation have increased by 100% and more over the last couple of years. Nationally, the dire situation is replicated in every locality, and there are now over 140,000 children in insecure, often highly unsuitable, temporary accommodation. This is becoming an increasingly significant part of the financial troubles afflicting so many local authorities.

A fortnight ago, many of your Lordships expressed support across party lines for a national strategy to get us out of this mess, as was championed in the Church of England’s report last year. A national strategy would set a broad vision for ending the housing crisis. It could be brought together and sustained over time by a statutory national housing committee, along the lines of the Climate Change Committee. The new committee would hold government—and, no doubt, a succession of Housing Ministers—to account.

In supporting this call for creating and monitoring a long-term housing strategy, I suggest that policymakers must prioritise the housing needs of younger households in two overarching ways: first, of course, by increasing supply overall and, secondly, by ensuring that the supply reaches those with modest incomes. Supply is the problem—

Lord Lilley Portrait Lord Lilley (Con)
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I am grateful to the noble Lord for giving way. Will this body dealing with a long-term strategy also consider the demand for housing? Will it have any control over the massive increase in demand coming from abroad? If not, what purpose will it serve?

Lord Best Portrait Lord Best (CB)
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Is this a debate about immigration or housing? There are two debates here. We are dealing with people who live and breathe and need a home, whom we face and talk to and meet on a daily basis. We are doing something for them, and questions of immigration are for a different debate.

It is unsurprising that there is not enough to go around when the Centre for Cities has found Great Britain to have a housing deficit of 4.3 million homes, compared with the European average. Our current arrangements for achieving a sufficient supply—at least meeting the Government’s target of 300,000 homes a year—have failed. The model used for the last 30 years has relied on a handful of volume housebuilders. These developers, irrespective of the delays caused by ridiculously underresourced planning departments, will build out only at a pace that ensures that prices need never be reduced. This means cutting production now, when higher interest rates have curbed price rises, just when we need to ratchet up supply.

We are all familiar with the well-known flaws of the housebuilder model: poor design and quality; betrayal of promises for affordable housing, green spaces and amenities; building on greenfields and avoiding brownfield sites; failing to train the workforce or to innovate; et cetera. The most recent Competition and Markets Authority report is the latest voice to support the quite different approach promoted by the Letwin review. Sir Oliver advocated that, to speed up and deliver the homes we need, local authority-owned but arm’s-length development corporations should be created, with CPO—compulsory purchase—powers to assemble and buy land on reasonable terms. These corporations would adopt a comprehensive master plan, borrow privately, fund the infrastructure and parcel out sites to social landlords, SME builders, specialist players and so on. In other words, to boost the quantity and quality of supply, Letwin recommends establishing publicly accountable development bodies that take back control from the oligopoly of major developers.

Let me turn to the ways of ensuring that the supply of new homes benefits those on average and below-average incomes—the half of the population who currently can access only a fraction of new housing supply. Top of the list comes direct development of so-called “social rented housing”: this part of the housing mix has been in decline for years. Social housing is down from 34% of the nation’s homes to just 17% because of sales of council housing and the low-level programme of new build.

On 6 February, when Secretary of State Michael Gove appeared before the Lords Select Committee on the Built Environment, he said:

“We need to aim to have a net addition of 30,000 for social rent every year”.


He noted that some would regard this as unambitious, but it sets a far higher target for social rent—for the housing associations and councils—than has prevailed in recent years. What is needed is government investment to actually make this happen.

Currently, the sector faces headwinds from higher interest rates, building safety remedial work, the decarbonisation and upgrading of older stock, and management and maintenance costs rising by more than rents. But this country now has a highly professional social housing sector that is very fully regulated and can respond to the opportunities whenever government comes forward with the necessary resources.

Increasing supply by building new homes is going to take decades to achieve availability and affordability for all. In the meantime, we need a shortcut both to tackle the temporary accommodation emergency and, over time, to enlarge the social housing pool. The Affordable Housing Commission recommended a national housing conversion fund for the purchase and modernisation of run-down, privately rented accommodation. This fund would pay for itself by avoiding the huge costs of temporary accommodation in the private sector and, in the long term, would help a rebalancing between the much-diminished social sector and the greatly expanded private rented sector. I detect signs that the Government are recognising the value of this approach: a fund mostly for refugees is operating on this basis.

Investment in social housing—including the regeneration of some existing council estates and older properties—has a big payback in reducing health inequalities, alleviating fuel poverty, saving housing benefit and homelessness costs, cutting carbon emissions and supporting education and employment objectives. The National Housing Federation’s latest report shows how investing in a really major expansion of social housing is self-financing in a relatively short timescale, so boosting affordable social housing—largely ignored in the Budget—does represent incredible value for public money.

All this is not to say that the desire of younger households for home ownership should be ignored. Owner occupation means a secure home where you can put down roots and do your own thing. Acquiring and accumulating a capital asset for your later life is a big bonus, but, most significantly, your housing costs as an owner will reduce over time as your mortgage is paid off, whereas, as a renter, your housing costs will keep rising inexorably. No wonder the Department for Work and Pensions is expressing alarm at the prospect of a massive increase in housing benefit payments when a much bigger proportion of renters retires and their incomes fall, while rents keep going up.

How can the drop in home ownership levels be reversed so fewer people fall on the wrong side of the dividing line between tenants and home owners that can last a lifetime? This inequality in life chances is particularly unfair for those young people who are paying rents in excess of the cost of a mortgage but who cannot also afford to raise tens of thousands of pounds for a deposit without parental funding.

Shared ownership—with some important tweaks—provides one solution. Government mortgage guarantees can be effective and are almost cost-free, although the latest arrears figures, following interest rate rises, show some concerning increases. To underpin first-time buying in these difficult times, restoring the safety net of support for mortgage interest to its former, more generous position would be sensible.

Meanwhile, there are huge advantages for young people of planners requiring a proportion of new homes to be designed for older people. By addressing the pent-up demand for attractive, affordable homes for downsizers—“right-sizers”—two goals are met. First, older people can move to warm, accessible, convenient and companionable accommodation, achieving huge savings for the NHS and for adult care services. Secondly, this triggers a whole chain of moves, making family homes, not least precious social housing for families, available for the next generation, helping the young people with whom we are particularly concerned in this debate.

Polls tell us that almost two-thirds of 18 to 34 year-olds say that they are more likely to support a political party that invests more in affordable and social housing. Manifesto writers, take note. Let all of us in this House recognise the crisis facing younger people today and resolve to be part of the solutions we all want.

Housebuilding

Lord Best Excerpts
Wednesday 28th February 2024

(7 months, 1 week ago)

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Baroness Scott of Bybrook Portrait Baroness Scott of Bybrook (Con)
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As I have said, we will carefully consider all the recommendations and findings from the report. Our National Planning Policy Framework means that councils must have local plans in place to deliver more homes in the right places and of the right type that are required in that particular community. As part of the recent consultation on changes to the National Planning Policy Framework, we have committed to review our approach to assessing housing need, once the new housing projections data based on the 2021 census is released next year.

Lord Best Portrait Lord Best (CB)
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My Lords, the excellent report from the Competition and Markets Authority shows why depending on a small handful of volume housebuilders does not produce either the quantity or the quality of homes that we need. Has the Minister thought about taking off the shelf the Oliver Letwin report, which is quoted in the CMA report very favourably? It calls for development corporations with master plans and compulsory purchase powers which could take the place of some of these volume housebuilders and get what we actually deserve.

Baroness Scott of Bybrook Portrait Baroness Scott of Bybrook (Con)
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The noble Lord has some interesting ideas in this area, particularly about the large housebuilders, which seem to have controlled the market. That is why we are putting a lot of support into small and medium-sized housebuilders. As for the Oliver Letwin report, we will look at everything once we have got this report and when we start to work on it, and we will be bringing out further information in due course.

Leasehold: Property Management Companies

Lord Best Excerpts
Monday 19th February 2024

(7 months, 2 weeks ago)

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Baroness Penn Portrait Baroness Penn (Con)
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Following previous Questions I looked at the example of Scotland, which we do seek to learn from, but the circumstances there are significantly different. At the time, there were only some 9,000 long leasehold properties in Scotland, compared with around 5 million leasehold properties in England and Wales. The majority of Scottish leases had ground rents of only £2.50 per year, whereas the average ground rent in England is £300 per year. It is more complicated to take reform forward in England, but the Government are committed to doing this. The Leasehold and Freehold Reform Bill will take important steps toward delivering commonhold as an alternative in future.

Lord Best Portrait Lord Best (CB)
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My Lords, there are some very good things in the Leasehold and Freehold Reform Bill, but the Government have stopped short of instituting a proper regulator of managing agents, which would solve many of these problems and difficulties. Why stop short? Why not do the job properly and have a regulator of property agents?

Baroness Penn Portrait Baroness Penn (Con)
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I welcome the work of the noble Lord on this issue, and I know that your Lordships will be looking at it further in Committee. It is already a legal requirement for property agents to belong to one of two government-approved redress schemes. We also welcome ongoing work undertaken by the industry itself to raise professionalism and standards across the sector, which will make property managing agents more accountable to leaseholders. We will keep that and the question of further regulation for the sector under review.

Housing: Accessibility Standards

Lord Best Excerpts
Monday 5th February 2024

(8 months ago)

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Asked by
Lord Best Portrait Lord Best
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To ask His Majesty’s Government when they will implement their decision, announced in July 2022, to require all new homes to meet higher standards of accessibility.

Baroness Penn Portrait The Parliamentary Under-Secretary of State, Department for Levelling Up, Housing & Communities (Baroness Penn) (Con)
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My Lords, we have proposed to mandate the M4(2) requirement in building regulations as a minimum standard, leaving the current M4(1) standard to apply by exception only when M4(2) is impractical and unachievable. There will need to be a further technical consultation that the building safety regulator will need to take forward as part of its future work plan.

Lord Best Portrait Lord Best (CB)
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My Lords, I am grateful to the Minister for her reply, and to the Government for announcing that these higher standards for lifetime homes will be implemented and mandated through the building regulations. I say that on behalf of the many charities that have been campaigning for years to have these higher standards brought into practice. But that announcement was 18 months ago, and we have seen very little progress in getting on with the consultation that should have followed. Since that time, 220,000 properties have been built that do not accord with the new standards, and every further month we leave the consultation, another 13,000 homes are built that do not accord with the standards. When will we see some results from the Government on this?

Baroness Penn Portrait Baroness Penn (Con)
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I am afraid I will have to disappoint the noble Lord, as I cannot give a specific timeframe for that further work. The building safety regulator is responsible for introducing updates to the building regulations and it is a new organisation with a busy programme of work. However, his points are well made. To reassure him, we are taking these considerations into account in a number of ways. For example, last December we published an updated NPPF which included a specific expectation that, when planning housing for older people, particular regard is given to retirement housing, housing with care and care homes. This reflects the Government’s understanding that we need to take into account accessibility and the changing needs of our population as we build new homes.

Temporary Accommodation Costs

Lord Best Excerpts
Wednesday 31st January 2024

(8 months ago)

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Baroness Scott of Bybrook Portrait Baroness Scott of Bybrook (Con)
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My noble friend is absolutely right. The Government will support institutional investment in the private sector as well as in the social rented sector, provided, of course, that they stick to the rules and we can regulate them. That includes Build to Rent homes, which can boost supply and drive up standards. We are offering support through the £1.5 billion levelling up home building fund being delivered through Homes England to provide loans, equity investment and joint ventures to encourage such institutional investment companies and to support new Build to Rent developments. I think they will be a growing part of the market.

Lord Best Portrait Lord Best (CB)
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My Lords, I declare an interest as chair of the Devon Housing Commission. I can confirm that the rise in temporary accommodation is not just in London and the conurbations. Devon is deeply affected, and that affects the budgets of local authorities. What progress is being made with the Government’s proposals to enable local authorities to limit the switching or changing of use of ordinary private rented accommodation into Airbnb holiday accommodation and short-term lets, which is having a huge effect in Devon and elsewhere?

Long-term Plan for Housing

Lord Best Excerpts
Thursday 11th January 2024

(8 months, 3 weeks ago)

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Baroness Penn Portrait Baroness Penn (Con)
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My Lords, we announced a number of different changes at the end of last year. However, as I said to both the noble Baronesses, the standard method for assessing housing need remains the starting point for local authorities. It is only in exceptional circumstances that we would expect them to move away from that, and that must be well evidenced. In such circumstances, where it is not appropriate for that area, there is a way and method for those local authorities to put forward a well-considered and well-thought-out local plan, which would have a much better chance of being delivered than something that does not command local support and does not suit the needs of the local area.

We have made other changes that may result in the changes that my noble friend talked about—for example, by removing the buffers needed on land supply set out in local plans. They go over and above the amount of land needed to deliver against the assessed housing need for an area. Where local authorities have done the right thing, put a plan in place and identified the land they need to deliver against the local housing need in their area, it is not the right way forward to require those local authorities to hold a 5% or 10% buffer on top.

Lord Best Portrait Lord Best (CB)
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My Lords, I pick up on a point made by the noble Baroness, Lady Pinnock. If we could see the production of decent, accessible, energy-efficient, companionable, new retirement housing for older people needing and wanting to rightsize, we could free up tens of thousands of family homes, which are so badly needed. The planning system can allocate sites, not least urban sites that regenerate town centres, and those absolutely essential local plans can stipulate requirements for a proportion of such housing in all major developments. I add that at the same time removing stamp duty for purchases by those over pension age would stimulate the market, increasing revenue to HM Treasury through the chain that follows, and that housing for older people saves massive sums for the NHS and adult care services. Will the Minister get behind all those trying to boost the output of well-designed homes for the estimated 3 million older people who are interested in downsizing and rightsizing?

Baroness Penn Portrait Baroness Penn (Con)
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I absolutely support the remarks by the noble Lord on needing the right housing to meet the needs of people at all stages in their lives. There are changes within this update to the NPPF that will encourage the delivery of older people’s housing, including retirement housing, housing with care and care homes. In addition, the Government have the Older People’s Housing Taskforce, which is exploring broader changes that we might wish to see to encourage housing for older people to be built in the areas where it is most suitable and most needed. Also, there is the point that the noble Lord made: ensuring that we have the right solution for older people has a knock-on effect throughout our housing supply on the availability for those who may be trying to get on the housing ladder in the first place.

Social Housing: Mould

Lord Best Excerpts
Wednesday 10th January 2024

(8 months, 3 weeks ago)

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Lord Best Portrait Lord Best (CB)
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My Lords, I am delighted to see the noble Baroness back in post. The Government are absolutely right to come down hard on social housing landlords who have not doing what they should have in keeping their properties up to a decent standard. The ombudsman, the social housing regulator and legislation are all great but the amount of money available for social housing remains the same, and switching resources to getting that older stock up to muster is going to absorb an awful lot of money in the years ahead. Are we going to see quite a big decline in the new affordable social housing that is so badly needed?

Baroness Scott of Bybrook Portrait Baroness Scott of Bybrook (Con)
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No. Through the Levelling Up and Regeneration Act, which, sadly, I did not see the end of, we intend to deliver more social housing. That came out strongly throughout proceedings on that legislation. The noble Lord is right; there are a lot of challenges for the sector in upgrading its stock, after many years of not putting money into it. We will all be working on that. This year we gave £30 million to Greater Manchester and the West Midlands. We wanted to look at how such investment would help them make improvements, and we are looking at that intervention quite closely for the future.

Home-ownership Rates

Lord Best Excerpts
Wednesday 6th December 2023

(10 months ago)

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Lord Best Portrait Lord Best (CB)
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My Lords, in the longer term it would clearly make homes more affordable for first-time buyers if there were enough homes to go round and current acute shortages were eased. In the short term, does the noble Baroness agree that it is ridiculous that so many young people pay more in rent to private landlords than they would pay for a mortgage to secure a home of their own if only they could persuade the banks and building societies to lend more sensibly? If she agrees, will the Government look at extending the new and useful mortgage guarantee scheme to reassure lenders and at the DWP’s support for mortgage interest scheme, which needs to be a benefit and not a loan, to pick up those rare cases where there are serious arrears?

Baroness Penn Portrait Baroness Penn (Con)
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My Lords, I have good news for the noble Lord on the first point. The mortgage guarantee scheme has been extended to June 2025 to allow more 95% mortgages to be available to first-time buyers. We have also made changes on support for mortgage interest. Since April, we have allowed those on universal credit to apply for a support for mortgage interest loan after three months rather than nine. However, it is right that it remains a loan rather than a grant in these circumstances.

Duke of Wellington Portrait The Duke of Wellington (CB)
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My Lords, I declare my interests as may be relevant to this debate. I will speak in a minute to my Amendments 247YYAA, 247YYAB, and 247YYAC, but I must start by asking the Minister—I remain surprised by this—why she has, on Report, tabled such a large number of amendments that seek to reverse previous government policy on nutrient neutrality.

As the Office for Environmental Protection, set up by the Government in the Environment Act 2021, has stated—and I quote from Dame Glenys Stacey’s letter of 30 August—

“The proposed changes would demonstrably reduce the level of environmental protection provided for in existing environmental law. They are a regression”.


After a further exchange of letters with the Defra Secretary of State and a meeting, Dame Glenys wrote a second letter on 1 September. Again, I quote:

“What is certain is that the proposed amendments would amount to regression in law”.


She goes on to say:

“This is contrary to statements made in each House of Parliament on behalf of the Government”.


I have quoted from the Office for Environmental Protection to show that this is not in any way a political attack on the Government’s policy. The Office for Environmental Protection is the public body set up to protect and improve the environment by holding government to account. Ministers must therefore understand that any opposition to these amendments comes only from a desire by Members of this House, on all sides, to protect and improve the environment.

We all recognise the need to build more houses, and where possible to remove obstacles to achieving this, but surely none of us wishes this to be achieved at the expense of further damage to the environment. Ministers say this is fully mitigated, but that is not clear in the amendments. More houses create more sewage, and therefore there must be mitigation. But the Government appear to be relieving housebuilders from the cost of this mitigation and passing it to the taxpayer.

The announcement of additional money for Natural England is very welcome, but surely there must be a continuing requirement for housebuilders to contribute financially to mitigation. The Minister, in her letter to Peers on 29 August, said:

“The Government intends to work with the house building industry to ensure that larger developers make an appropriate and fair contribution to this scheme over the coming years”.

I must respectfully say to the Minister that that is not enough. There must be a legal requirement for housebuilders to contribute in each case to protecting the environment from further pollution created by new houses.

I now turn to the three amendments in my name. I am grateful to the noble Baronesses, Lady Jones of Whitchurch and Lady Parminter, and the noble Lord, Lord Randall of Uxbridge, for adding their names. I know also that the noble Baroness, Lady Altmann, had wanted to sign but was pipped at the post by the noble Lord, Lord Randall. Noble Lords will therefore understand that these are cross-party amendments with no party-political motivation.

For the benefit of noble Lords who have not been able—or inclined—to get into the detail of this large group of late-in-the-day government amendments, I must quote from them. In government Amendment 247YYA, in new Regulation 85A(2)—inserted by paragraph 11 of part 2 of new Schedule 13—it reads:

“When making the relevant decision, the competent authority must assume that nutrients in urban waste water … will not adversely affect the relevant site”.


I am surprised that any Minister from any department—or any party—could propose to Parliament such a paragraph. It is instructing a planning authority to disregard the facts. By any definition, that would be bad law. In paragraph (3) of new Regulation 85A, which I also seek to delete, the Bill instructs the planning authority not even to assess any possible pollution and, in paragraph (4), the planning authority is again instructed to disregard any assessment made by third parties, even the appropriate nature conservation body. I hope that all noble Lords will agree with me that this is just too far.

Here, I must thank the noble Lord, Lord Benyon, the noble Earl, Lord Howe, and the noble Baroness, Lady Scott, for various meetings in the last few days. I also received at 7 pm yesterday a long letter from the noble Lord, Lord Benyon. Ministers argue that all the government amendments in this group are a package and that we should not look at individual clauses in isolation. I regret that I do not accept that argument. I believe that the duty of this House is to improve and then approve clear and coherent legislation. The government amendments are defective in wording and contrary to science in intention. I cannot believe that any noble Lord of whatever party could vote in favour of such proposed legislation.

Lord Best Portrait Lord Best (CB)
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My Lords, I speak to this group of amendments, which come under the broad heading of nutrient neutrality. I declare my interest as a member of your Lordships’ Built Environment Committee, under the distinguished chairmanship of the noble Lord, Lord Moylan. The committee will release a report next week on the impact of environmental regulations on development. As our report is still under wraps, I cannot quote from it, but it provides important insights into the issues before us regarding nutrient neutrality, and my comments today will not, I think, clash with any of the committee’s findings.

Lord Best Portrait Lord Best (CB)
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My Lords, Amendment 193A, in my name, would require local plans to spell out the housing needs of the locality and set out how, over time, those needs can be met and homelessness and the use of temporary accommodation can be ended. There is a clear problem in that, at present, local plans are not required to factor in homelessness and social housing waiting lists. This means that the extent of housing problems and true housing need in a local authority area are not always reflected. Surely, including provisions to address these housing needs should be a basic component in a local plan; that is common sense.

Without this, there is far less of an incentive for local authorities to address the true extent of housing need in their area. The Bill currently permits local plans to include, among many other things, requirements for affordable housing. This amendment would replace this somewhat vague and light-touch permissive approach with a duty to be clear, both on the scale of local housing problems and the housing provisions that will address them.

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Moved by
193A: Schedule 7, page 347, line 17, at end insert—
“(3A) The local plan must identify the local nature and scale of housing need in the local planning authority’s area and must make provision for sufficient social rent housing, to eliminate homelessness within a reasonable period as stipulated in the updated local plan, and to provide housing for persons registered on the local housing authority’s allocation scheme within the meaning of section 166A of the Housing Act 1996.(3B) Subsection (3A) applies in relation to social housing provided both by the local housing authority where it retains its own housing stock and by private registered providers of social housing.(3C) The information concerning the level of housing need recorded on the local plan must be updated at least annually.”
Lord Best Portrait Lord Best (CB)
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My Lords, I am very grateful to noble Lords for their support for this amendment. I am grateful to the noble Baroness, Lady Thornhill, and the noble Lord, Lord Stunell, for their support, and for pointing out the urgency of the need for homelessness and those on waiting lists to be addressed, and the value of using the local plan to help in that process. I am also grateful to the noble Baroness, Lady Taylor of Stevenage, for her eloquent support. She made the point that, unfortunately, things are getting worse for those in the most acute need. I am afraid to say that the urgency for doing more grows daily, and this would be a helpful step in the right direction.

The Minister, who I know believes that local plans are a very important instrument in getting things changed and done, said that she very much agreed that this deserved priority. Indeed, the government consultation currently going on may lead to greater prominence being given to the needs of those who are homeless, in temporary accommodation or on a never-ending waiting list. She hopes that local planning authorities will do their best by that and include those things in local plans, but there is no obligation on them so to do. It is that obligation that this amendment would put into place. I am grateful for the support of all those colleagues, and the moment has come for me to test the opinion of the House.

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Lord Best Portrait Lord Best (CB)
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My Lords, my name is down in support of Amendment 195, so brilliantly introduced by the noble Lord, Lord Young of Cookham. It is also supported by the noble Lord, Lord Lansley. The amendment would return us to the position whereby each local plan must be designed to secure enough homes to meet the target for the area set by government. I too see this as a matter of considerable significance.

In essence, this country needs to build at least 300,000 homes each year to ease the problems caused by acute housing shortages: overcrowding, homelessness, poverty and health inequalities. This national target will not be achieved by leaving the supply of sufficient homes to individual councils to determine. On its own, of course, the requirement on all local authorities to have local plans that together make provision for 300,000 homes will not mean that the planned-for number will necessarily be built. Market factors will affect private housebuilding. Insufficient government support will affect social housing output, and so on. If local plans do not plan for their share of the national total, it is certain that it will not be accomplished.

Many analysts suggest that the overall figure of 300,000 homes per annum is not enough. The Centre for Cities has explained that we would have another 4.3 million homes if we had matched the average rate of housebuilding of our European counterparts over recent decades. We have a massive catching-up job to do. The Centre for Policy Studies argues that 460,605 homes should have been added last year. The actual output was barely half this figure—235,000 net additions, including conversions of existing buildings. For the moment, 300,000 homes is a sensible, short-term target.

Why is it so improbable that this figure will be reached unless local planning authorities are obliged to meet housing targets? First, because a number of councils have already made clear that, if the decision on numbers is now in their hands, they will reduce the amount of development previously planned for. Even if only, say, a quarter of authorities opt to see fewer homes built, there will be a big undershoot of the grand total. Reducing acute shortages will then be even more difficult in future than it has been to date.

Secondly, nationally determined targets are necessary because—as I guess we all recognise—it is incredibly difficult for elected Members to champion new housebuilding in their areas. New housing is perceived as meaning more traffic, more pressure on services, disruption from construction and—although this may be an urban myth—a fall in house prices. It is also true that housebuilders have often singularly failed to create quality places. There is a long way to go in reforming that industry. These concerns do not mean that we can simply set aside the need for new homes.

The harsh fact is that where a councillor is likely to be voted out of office if they do not vociferously oppose new development, few will feel able to act in the interests of those who need a home but do not yet have a vote in that area. The structure of democracy at local level makes it nigh on impossible for representatives of local communities to act in the wider interests of those who do not live there.

Our planning system recognises that no one is keen to have a power station, airport or highways project on their doorstep. Nationally significant infrastructure projects are taken outside the remit of the local council. No one is suggesting the same approach for housing developments, even very large ones, but recognition should be given to what is in the national, rather than necessarily the local, interest. Securing sufficient new homes is a national priority and should be part of the national decision-making process.

This important amendment removes the unfair onus on local councillors to determine how many new homes their local plan should be designed to secure. It removes an unreasonable expectation that those who are—or hope to be—elected as local councillors will always do what is right for the next generation, the wider region and the country, rather than what the often vocal local electorate of here and now are demanding. I acknowledge that arguments can still rage over the methodology for setting housing targets and that there will rightly be lengthy consideration of exactly what gets built and where, but these are separate matters and do not affect the amendment before us. Rather, I warn that, without this change to the prevailing position, without decisions on overall numbers of new homes being taken at a higher level than the local planning authority, we will certainly not see 300,000 additional homes built each year. The horrendous housing shortage will get worse. I urge the Minister to accept this essential amendment.