Leaseholders: Holiday Letting

Debate between Lord Campbell-Savours and Lord Bourne of Aberystwyth

Tuesday 25th April 2017 Lords Chamber

[Lord Bourne of Aberystwyth]

My Lords, breach of planning regulations is very different from the issue of freedom of contract. In relation to that matter, I have met with Airbnb. It does not now carry anyone who lets their property for more than 90 days at a time unless they have planning permission to do so. That is the company’s rule and it has contacted all those who propose to let property to let them know that. Since then, the Minister for Housing and Planning has written to all the other suppliers indicating that they should do similarly and that if there is a contractual provision they should abide by that as well.

[Lord Campbell-Savours (Lab)]

Why not just reduce the time from 90 days to a lower number?

[Lord Bourne of Aberystwyth]

My Lords, the 90-day limit was set in the Deregulation Act. Other towns throughout Europe might have different limits. Outside of London, there is no limit. Ninety days was the limit set in the Deregulation Act.

[Lord Campbell-Savours]

But that does not mean it cannot be reset.

[Lord Bourne of Aberystwyth]

No, indeed it does not, but we are not going to.

Short-Term Letting for Holiday Purposes

Debate between Lord Campbell-Savours and Lord Bourne of Aberystwyth

Thursday 2nd March 2017 Lords Chamber

[Lord Bourne of Aberystwyth]

My Lords, the taxation rules would apply in the normal way. Where there is a capital gain, the owner of the property would be responsible for that in the normal way, subject to reliefs, and the owner would be responsible for schedular income tax in the normal way.

[Lord Campbell-Savours (Lab)]

The Minister said that local authorities can enforce the law. These cases cost thousands of pounds. Why should the council tax payer pick up the bill? Surely there has to be another solution.

[Lord Bourne of Aberystwyth]

My Lords, under the Deregulation Act there is responsibility for enforcing this against a particular owner of a property. Initially, of course, there would be a discussion—I do not suppose that the first thing that happens is that it ends up in court—but for those defying the law, there is potentially a £20,000 fine on summary conviction and an unlimited fine on indictment, which would be a considerable incentive to obey the law. That is what we are finding in the great bulk of cases.

Housing White Paper

Debate between Lord Campbell-Savours and Lord Bourne of Aberystwyth

Tuesday 7th February 2017 Lords Chamber

[Lord Bourne of Aberystwyth]

My Lords, I anticipate that it is looking at greater contributions—the wording is obviously broader than that, but my reading is that we are looking at ways to ensure that there is a more effective contribution. I look forward to the issue of contributions when we consult on that.

[Lord Campbell-Savours (Lab)]

Will not private individual landowners all over the country be rubbing their hands with glee at the prospect of transforming, at the stroke of a planner’s pen, land worth £10,000, £15,000, £20,000 or £25,000 a hectare, into land worth anything between £1 million and £5 million a hectare? Is not the price of land in the United Kingdom, and huge profit-taking by individual landlords when they secure planning permission on their land, at the heart of the problem? Until that problem is sorted out, we will never resolve the problem of housing in this country.

[Lord Bourne of Aberystwyth]

My Lords, the noble Lord is being a bit of an Eeyore. We are being encouraged to build more, which we are seeking to do here. If it is a question of supply and demand, the more supply there is, the more that would affect the price. There are also provisions in the White Paper with regard to landlords, which we are consulting on, and which landlords would not necessarily welcome—the bad ones certainly will not. We are looking across the board at unreasonable terms in leasehold provision, and at some where people think they are buying their own home only to find that they have a ground rent payment, for example, or things of that nature. Therefore, if the noble Lord studies the White Paper, he will see that it is extremely fair.

Business Rates: High Street Retailers

Debate between Lord Campbell-Savours and Lord Bourne of Aberystwyth

Tuesday 17th January 2017 Lords Chamber

[Lord Bourne of Aberystwyth]

My Lords, my noble friend is absolutely right that there is, in essence, a scheme within the 1988 legislation that provides for relief for businesses that are experiencing increases. Most of them are in London and the south-east of England, but they are not limited to that area. That will phase in over a period. There are caps—I shall not go into all the technical details—but we are concentrating assistance on the small and medium-sized end of things, up to a rateable value of £100,000, to qualify for the small business relief. That has been doubled in the legislation, which will help businesses from April 2017.

[Lord Campbell-Savours (Lab)]

My Lords, with retailers all over the country complaining about the prospect of increased rates, what consultation took place with retail organisations prior to these decisions being taken?

[Lord Bourne of Aberystwyth]

My Lords, as I have indicated previously, this is carried out by the Valuation Office Agency. It is not something that Ministers have got involved in. It has been carried out in the normal way of revaluation in relation to the principles that apply in relation to the valuation of businesses. Ministers have put in place the relief scheme in order to help. I should say once again that over large parts of the country, certainly in all of the north and all of the south-west, for example, businesses have benefited disproportionately in terms of the revaluation. They have seen their rates bills go down.

[Lord Campbell-Savours]

My Lords, my question was about consultation. What retail organisations were consulted on what is about to happen?

[Lord Bourne of Aberystwyth]

My Lords, for example, the CBI has welcomed the proposals and the British Chambers of Commerce has said that it is essential that we have revaluations. It is not a question of consulting. We have put in place in relation to assisting businesses—the great mass of small and medium-sized businesses have benefited—a scheme that is entirely fair.

Business Rates: Devolution

Debate between Lord Campbell-Savours and Lord Bourne of Aberystwyth

Wednesday 21st December 2016 Lords Chamber

[Lord Bourne of Aberystwyth]

My Lords, obviously the consultation is primarily designed to take account of the position of local authorities. That is something we are taking forward. I am sure that feeding through views from retailers will be something local authorities will wish to bring forward in the consultation and discussion we are having.

[Lord Campbell-Savours (Lab)]

My Lords, to follow up on the Question, and given that the new responsibility is placed on local government, do conversations take place with the Treasury as to whether local authorities can afford to take on that responsibility? What is the process? Is everybody involved in the discussion, or is it just one side working against another?

[Lord Bourne of Aberystwyth]

My Lords, the first point I make to the noble Lord is that, although new responsibilities are being talked about, he will recognise that a considerable amount of new finance will be generated by 100% business rate retention. We are talking about some £12.5 billion—a considerable sum. Yes, of course the discussion is both within government and, as I indicated, with our local authority partners.

Affordable Housing

Debate between Lord Campbell-Savours and Lord Bourne of Aberystwyth

Tuesday 29th November 2016 Lords Chamber

[Lord Bourne of Aberystwyth]

My Lords, I know that that is a subject dear to the noble Baroness’s heart. We are concerned about allotments in the department—as she will know, we are ensuring that they are not part of the brownfield sites agenda, so they are safe from that. I am sure that local authorities will have heard what she has had to say and will heed it.

[Lord Campbell-Savours (Lab)]

My Lords, is not the real problem the cost of land for housing development in the United Kingdom? When sold for agricultural purposes, land can come out on average nationally at £20,000 a hectare, whereas when that same hectare of land—at the stroke of a planner’s pen—is turned into land for housing, it can be worth anything between £1 million and £5 million? Is that not the real problem we have to sort out in this country?

[Lord Bourne of Aberystwyth]

My Lords, the noble Lord is right about the cost of land—it is excessive, although of course it varies according to which part of the country one is looking at—and this perhaps ties in with the last question and the answers to that. It is far cheaper to build affordable housing in most parts of the country outside of London. I have looked at figures for the east Midlands, where it would be well under half the cost, and it is a factor. But it is a fact that successive Governments have not built enough. We recognise the need to build more affordable houses, which is why the housing White Paper will be ground-breaking—not to mix metaphors—as we tackle this problem going forward.

Housing and Planning Act 2016

Debate between Lord Campbell-Savours and Lord Bourne of Aberystwyth

Thursday 24th November 2016 Lords Chamber

[Lord Campbell-Savours (Lab)]

My Lords, the Minister will recall that during Committee and Report on the Bill, we argued at length on the issue that is the subject of the Question. What has led to this U-turn? Was it the strength of our formidable arguments?

[Lord Bourne of Aberystwyth]

My Lords, what resulted in the change was considering how people, particularly in London, would be penalised on the levels we are looking at. The Government should not be criticised for examining the situation in front of them and reconsidering a policy, which is what we have done. As I say, the provision will remain on a voluntary basis because there are people on very high incomes who should pay more for the housing they occupy.

Home Ownership

Debate between Lord Campbell-Savours and Lord Bourne of Aberystwyth

Thursday 15th September 2016 Lords Chamber

[Lord Bourne of Aberystwyth]

My Lords, I know that my noble friend is a great supporter of allotments. As I have indicated before, allotments are protected in relation to brownfield sites. We have committed that 90% of brownfield sites will have planning permission by 2020, but I am sure that she will be very pleased that allotments are protected in relation to that policy.

[Lord Campbell-Savours (Lab)]

My Lords, is not the problem the price of land for housing? How can we justify a hectare of land being sold outside London, in the provinces, for £12,000 or £15,000 an acre which when it receives planning permission can be worth £2 million, £3 million, £4 million, £5 million or, in some parts of England, £6 million a hectare? Is that not the real blockage in housing development in the United Kingdom?

[Lord Bourne of Aberystwyth]

My Lords, the noble Lord is right that one of the issues is supply. That is why we are focusing very much on housebuilding, whether for purchase or for rent. He is also right that one considerable challenge we have is in relation to the price. That is why we have committed £20 billion, as I indicated, and doubled the budget for housing over the length of this Parliament.

Sellafield

Debate between Lord Campbell-Savours and Lord Bourne of Aberystwyth

Wednesday 8th July 2015 Lords Chamber

[Lord Bourne of Aberystwyth]

I think the noble Baroness is slightly wrong on that. I said that these things are kept under close scrutiny but there was no specific review in prospect. No Government would say that these things would not lead to either budget increases or budget reductions.

[Lord Campbell-Savours (Lab)]

Did the Minister say that we do not import waste? Is not the policy of substitution still in place?

[Lord Bourne of Aberystwyth]

I apologise but I did not hear that question. The next Question has been called.

Energy: Onshore Wind

Debate between Lord Campbell-Savours and Lord Bourne of Aberystwyth

Monday 22nd June 2015 Lords Chamber

[Lord Bourne of Aberystwyth]

My Lords, I thank my noble friend for that contribution. It is right to say, as he has done, that opinion in Scotland certainly is not all one way and there are split views on the usefulness and so on of onshore wind.

In relation to his more general comment about renewables, the Government are committed to making sure that we have a balance of interests between affordability, security and clean energy. That remains the case. Renewables are very important going forward to ensure that we meet those three aims, as a department and a government.

[Lord Campbell-Savours (Lab)]

My Lords, there is something that I cannot quite understand. The Minister said that he was going to consult the Scottish Government. What is he consulting on if the decisions have already been taken?

[Lord Bourne of Aberystwyth]

My Lords, the Secretary of State in another place made it very clear that discussions have been going on with the devolved Administrations about the rollout of the policy, and that will remain the case. On Wednesday, she is meeting Fergus Ewing, the Minister for Energy in the Scottish Parliament, to further those discussions. In relation to one or two comments that have been made about consultation, I should also say that there is a dialogue with industry and interested parties—not consultation but a dialogue—about the rollout in relation to the grace period.