Levelling-up and Regeneration Bill

Debate between Lord Foster of Bath and Lord Young of Cookham

Committee stage
Wednesday 24th May 2023 Grand Committee

[Lord Foster of Bath (LD)]

My Lords, I am sure that we are all disappointed that we will not hear from the noble Lord who also sponsored these amendments—

[Lord Young of Cookham (Con)]

There is a convention that, if you speak in a debate, you have to stay until the wind-ups. Sadly, I have a commitment that means that that would not be possible. I endorse everything that has been said.

[Lord Foster of Bath (LD)]

We are grateful to the noble Lord, and we will miss him for the rest of our deliberations.

We have had many interesting debates on the issue of housing during the discussion on the Bill, from the need to introduce the decent homes standard into the privately rented sector or to address much more urgently the need to improve the energy efficiency of our homes. But I would argue that these amendments are particularly critical, not least during the cost of living crisis, as they deal with the really important issue of evictions and homelessness. Of course, they come at a time when there is huge pressure on temporary accommodation, given all the additional demands being made—not least, in housing refugees. We know that local councils are massively stretched and are using bed and breakfasts and hotels well beyond the legal limit.

Levelling-up and Regeneration Bill

Debate between Lord Foster of Bath and Lord Young of Cookham

Committee stage
Monday 20th March 2023 Lords Chamber

[Lord Young of Cookham (Con)]

My Lords, Amendment 294, in my name and that of the noble Earl, Lord Devon, would oblige the Secretary of State to make short-term rental properties a distinct use class for planning purposes. The amendment is supported by the Local Government Association, of which I am, exceptionally, not a vice-president, and is based on changes made to secondary legislation in Wales in 2022.

A common theme running through all the amendments is the promotion of the country’s housing stock as a main home, either by raising the council tax on second homes or by using the planning system to control short-term lets. The planning system is not just about whether or not a piece of land is to be developed; it is about the use to which it is then put. For example, you need planning permission to convert a block of flats into a hotel. These use classes have been used to control changes that may be undesirable, and in a few cases they have been relaxed to promote changes between uses.

The Government have clearly recognised that we have now reached the stage where some form of control is needed if we are to maintain a proper balance between those who need permanent accommodation for rent and those who are making short-term visits. Clause 210, mentioned by the noble Baroness, introduced by the Government on Report and headed “Registration of short-term rental properties”, is a very useful step which I welcome. I also welcome the statements made about it in another place by Lucy Frazer, the previous Housing Minister. It proposes a new registration scheme for short-term lets, but this will not happen for some time, as consultation on the exact design of the scheme will not start until later this year, with decisions and actions later.

A registration scheme is a good first step but we need to build on this, as proposed in my amendment, and see much stronger controls. We need to do that if the planning system is to determine local priorities. We also need to make faster progress; only then will we see a better balance of housing options which will help families and young people who simply cannot find a place to live in some rural areas but also in London. Were she still able to attend, I am sure my noble friend Lady Gardner of Parkes would be speaking strongly in favour of this amendment.

A balance is important. Short-term lets can provide a useful boost to the local economy by promoting tourism where commercial accommodation is in short supply or very expensive, and they can be a useful source of income for those who do not need their homes all the time—for example, if they are away on holiday. However, we need a balance between second and first homes. My amendment provides a means of meeting that balance.

The Government’s legislation needs to go further by introducing a new use class for short-term rental properties, which, in turn, should be a precondition for the registration of such properties. We may not need to regulate short-term lets across the board, but making them a separate use class, as proposed in the amendment, allows full planning control in places such as seaside towns and the area just mentioned by the noble Baroness, Lady Hayman, where the growth in short-term letting has become a particular issue, or here in London, where there is pressure on the rental market.

There was a 1,000% increase in homes listed for short-term lets nationally between 2015 and 2021. That is 148,000 homes that could otherwise house local families that are available on Airbnb-style lets. In Cornwall, short-term listings grew 661% in the five years to September 2021. The county has roughly 15,000 families on social housing waiting lists and the same number of properties being marketed as housing lets. The noble Earl, Lord Devon, may mention his county, where short-term lets appear to be worsening an existing housing crisis, with nearly 4,000 homes taken out of the private rented sector and 11,000 added to short-term listings since 2016.

Currently, local authorities outside London have no legal means of preventing this loss of private rented housing to short-term lets. Several cases have come to light of people in rented housing in rural areas being evicted so that the property can be let on a short-term basis. In this context, it is worth mentioning the position in London as it shows a way forward. The Greater London Council (General Powers) Act 1973 —I declare an interest as I was on the GLC at the time—discouraged short-term lets by saying that the use of residential premises for temporary sleeping accommodation for fewer than 90 consecutive nights in London was a change of use, for which planning permission was required, so London residents face a possible fine of up to £20,000 for each offence of failing to secure planning permission. That position was basically confirmed in the Deregulation Act 2015. I see some advantage in simply extending this London provision to the rest of the country.

Finally, there are issues here that go beyond my noble friend’s department. Holiday lets get mortgage interest relief; residential tenancies do not. Holiday lets have no minimum energy and safety standards, and they qualify for business rates and small business rate relief. We need a cross-government approach to get a coherent and better-balanced policy on this important matter. Of course, I hope my noble friend will feel able to accept my amendment. If she cannot go that far—and I see from her body language that that may not be possible—will she commit to consulting soon on building on Clause 210, with a view to getting that better balance between the use of scarce housing stock in areas under pressure and to helping families for whom private renting is the only option?

[Lord Foster of Bath (LD)]

My Lords, I will address the four amendments in my name and that of my noble friend Lord Shipley and comment on some of the others. We have already heard numerous examples describing why we need to address the issues around empty homes, second homes and properties available for short-term rent. As noble Lords are aware, some parts of the United Kingdom have already introduced measures to tackle some of them; for example, certification of tourist accommodation in Northern Ireland and licensing schemes for short-term lets in Scotland and Wales. Sadly, at the moment, England is being left behind.

I am pleased that at long last the Government are tackling one issue—the way in which some second home owners have gamed the system so that they pay neither council tax nor business rates—but many other problems remain. I live in east Suffolk, close to the popular seaside town of Southwold. With the recent growth in second home ownership and the rapid rise in properties available for short-term rent, of the 1,400 properties, now only 500 have full-time residents, while 500 are second homes and 400 are short-term lets; in other words, nearly two-thirds are not permanently lived in, and this has had a significant impact.

Taxation: Digital Publications

Debate between Lord Foster of Bath and Lord Young of Cookham

Thursday 6th December 2018 Lords Chamber

[Lord Foster of Bath]

To ask Her Majesty's Government what consideration they have given to the possibility of a flexible Value Added Tax regime to allow digital publications to be zero-rated; and whether they intend to make use of this flexibility should it come into effect.

[Lord Young of Cookham (Con)]

My Lords, the Government keep all taxes under review, including the application of value added tax. Any decision to amend the VAT regime with regard to physical and electronic publications must be carefully assessed against policy, economic and fiscal considerations before reaching any conclusions.

[Lord Foster of Bath (LD)]

I thank the Minister for his predictable response. He will be aware that there are hundreds and thousands of blind and partially sighted people in this country who rely on audiobooks or digital books whose print size they can alter. Now that the EU has agreed that the anomaly whereby those products are charged 20% VAT and the print books that the rest of us can rely on are zero-rated can be lifted, it is clear that whether we remain in or leave the EU the discrimination against the blind and partially sighted can be removed. Will he urge the Chancellor to do so?

[Lord Young of Cookham]

The noble Lord makes a forceful case for equalising the VAT rate on e-publications and conventional publications. He rightly says that, on Tuesday, the EU decided that countries now have the freedom to make that equalisation, so we could now move to a zero rate instead of a standard rate on e-publications. Tuesday was apparently “eVAT Freedom Day”. I can tell him that the Professional Publishers Association is pursuing this with the Chancellor and the Treasury, and on 29 November the Financial Secretary wrote back to it saying: “The industry’s arguments and economic analysis are welcome to enable the Government to determine the benefits and risks both for digital business and high street retailers associated with extending the zero rate of VAT to e-publications”. I note the forceful arguments made by the noble Lord to support that case.

Housing and Planning Bill

Debate between Lord Foster of Bath and Lord Young of Cookham

Thursday 10th March 2016 Lords Chamber

[Lord Young of Cookham]

I would not be surprised at all if some local authorities use the discretion under the Bill not to fund all the levy by selling off high-value assets. They may have other ways of meeting their obligations, so that is a welcome concession. Having said that, I understand the strong feelings of many who have served in local government—

[Lord Foster of Bath (LD)]

When the noble Lord signed up to the Conservative manifesto, what understanding did he have of the word “vacant” used in it?

[Lord Young of Cookham]

Not surplus but vacant—in other words, as a tenancy comes to an end, the property then becomes vacant. I accept all the arguments we have heard so far that there may be people who want to move into it, but “vacant” means that no one lives there. That is relatively clear.

Having said that, I recognise that this is a fiendishly unpopular policy in this House, but all the debate so far has focused on one side of the coin; namely, the removal of the assets from the local authority. To get the argument slightly more balanced, one needs to look at where the money goes. The proceeds will be reinvested in housing, either by helping housing association tenants to buy their homes with the discount—homes that are then going to be replaced. All the homes that are disposed of by local authorities will also be replaced; all the money will go to regenerate brownfield sites so that they can be available for housing. Therefore, all the existing housing stock remains in place, still part of the existing assets of the country, but the proceeds that are generated will generate new supply.

Business of the House

Debate between Lord Foster of Bath and Lord Young of Cookham

Thursday 9th February 2012 Commons Chamber

[Sir George Young]

We will, of course, seek to accommodate this year the specific events to which the hon. Lady has referred: the St David’s day and international women’s day debates. On her second point, I am sympathetic to the idea of pre-allocating to the Backbench Business Committee a certain number of days each year and then allocating it a day in order to honour a commitment in respect of international women’s day, the pre-EU Council debates, St David’s day and other such events. I would be happy to have that particular dialogue. On the concept of a fixed day each week, the Wright Committee looked at that but did not actually recommend it. That Committee said that that there would be a risk of rigidity if we went down that road, so at the moment I say no to a fixed day but I am happy to try to accommodate her in the way that she indicated.

[Mr Don Foster (Bath) (LD)]

In 1975, five journalists died in Balibo in East Timor. In 2007, an Australian coroner’s court found that they had been deliberately killed by Indonesian troops and that this constituted a war crime. Five years on, with two British citizens having been killed in a war crime, is it not time that we had a statement from the Foreign Secretary on what our Government are going to do about it?

[Sir George Young]

I am grateful to my right hon. Friend for his concern. I will draw that matter to the attention of my right hon. Friend the Foreign Secretary and, of course, see whether it would be appropriate for the Government to make a statement in the light of that tragedy.

Business of the House

Debate between Lord Foster of Bath and Lord Young of Cookham

Thursday 20th January 2011 Commons Chamber

[Sir George Young]

I believe I am right in saying that proportionate to its population Merseyside has more officers than almost any other part of the country. There will be an opportunity to debate this, because some time next month the House will have to debate and approve the police grant and the revenue support grant. That will give the hon. Gentleman an opportunity to raise the matter at greater length.

[Mr Don Foster (Bath) (LD)]

Huge problems are created for our police, health service and local communities by binge drinking fuelled by pocket money-priced alcohol in supermarkets. Given that there was huge disappointment on both sides of the House about the written statement on minimum pricing, will the Leader of the House agree to an oral statement so that we can share our disappointment with Ministers and persuade them to go further?

[Sir George Young]

I understand my right hon. Friend’s concern. The Police Reform and Social Responsibility Bill is going through the House at the moment, and I ask rhetorically whether it contains measures relating to alcohol which it would be relevant to discuss when it comes back to the House. In the meantime, I will pass on his request for an oral statement and encourage him to find some other opportunity to have a debate on this very serious matter.

Queen’s Speech (Date)

Debate between Lord Foster of Bath and Lord Young of Cookham

Monday 13th September 2010 Commons Chamber

[Sir George Young]

I am grateful to the hon. Gentleman for the support, albeit a little qualified, in his opening sentence. He has raised this issue with me before, and I say to him that the Government are grateful to his Select Committee for the work it has been able to do on those two Bills, which were published on 22 July, and whose Committee stage will be taken in, I think, October. I hope that will give the Select Committee some headroom in which to conduct an examination, which I know the House will find worth while. I hope he also understands that in the first Session of a new Parliament it is not possible to publish as many Bills in draft as it is in the later years of a Parliament.

[Mr Don Foster (Bath) (LD)]

Can my right hon. Friend tell the House what will be the implications for private Members’ Bills?

[Sir George Young]

My hon. Friend asks a good question. Clearly the announcement I have made will have consequences, and we will need to discuss with the House the allocation of Back-Bench days for the Backbench Business Committee and the allocation of days for private Members’ Bills.