(1 week, 6 days ago)
Lords ChamberMy Lords, I declare my registered interests in property and as a past chair of three housing associations. I am fully supportive of this Bill. It is very rare that you find a Bill that you are so enthusiastic about, but I am because it supports my current thinking.
I certainly appreciated the intellectual arguments from the noble Lord, Lord Young of Cookham, that the right to buy is not itself responsible for the diminution of our public housing stock; I accept that. But the fact is that it has led to a huge decline in public housing stock as politicians did not use the money that should have been used, and now we see the big social need for more social and public housing. It has also had unintended consequences. I think the noble Lord, Lord Young, did hint at those. There is a housing estate in Winchester, in Hampshire, where I live, which is now dominated by student rented accommodation, because 40% of the stock is now back in the private rented sector. That actually makes it more difficult to keep the appearance and the pride of the estate as they should be. So, it has had unintended consequences.
I also support the extra protection for victims of abuse in this Bill; that is long overdue.
One has to see this Bill in the context of the Government’s Delivering a Decade of Renewal for Social and Affordable Housing document. The first thing that is of benefit in that is the recognition that it is a 10-year plan. Five-year plans barely get off the ground before the five years are over. I think that is important, although it puts into question whether the Government are going to achieve 1.5 million homes in five years—I do not believe they will. A 10-year plan is much more sensible. Secondly, securing a firm, stable rental income increase policy to encourage investment is very important. I supported the comments of the noble Lord, Lord Lansley, on that. It provides the opportunity for alternative capital sources. Thirdly, the Government’s boost to housing numbers is not enough yet but, given the financial constraints, it is a start. The other important thing in the Government’s policy is the recognition that, to get housing numbers up, you need a big contribution from the public sector and from housing associations.
In the limited time I have, I want to concentrate on three issues, which I think are important in social housing and what is needed now in the social housing sector. The first thing is to recognise that the housing market is in the doldrums, and the Government’s policy depends on half the social houses coming through the work of developers. But there is the current state of the market; in London in the last financial year, only 6,325 homes were completed. They need over 80,000. Everywhere there are unviable housing schemes because of the big increase in housing costs, the uncertainty in the market and the dominance of the six major developers, whose business models still depend on house prices rising. It is not surprising the housing market is in the doldrums.
Are the Government looking at a contingency plan if the doldrums continue? Will they be prepared to step in and buy houses from the private sector if any of the private sector builders go into administration? Would they be prepared to accelerate investment? This does not necessarily mean the total spending over 10 years but, to get the housing market moving, they may need to accelerate the investment in social housing in the short term.
I share the concern of the noble Lord, Lord Best, who cautioned against concentrating solely on new build; improving stock is just as important. We have to remember that the tenants are actually helping to fund investment in the associations and through the council housing revenue accounts through their rents. They need to see some benefit in the stock they are living in, and we need to make sure that resources are going into this. What plans do the Government have for keeping housing providers up to the mark in improving their stock?
One final issue I would like to comment on, which is a concern to me, is the well-being of tenants and the sense of pride of community. Anyone who has been canvassing in social housing stock in recent years knows that they are also part of the alienated electorate. That is the strongest feeling you get when you go around social housing. Why is that? It is not surprising that a lot of these people are struggling to make ends meet. They are the most vulnerable in the jobs market and they are cynical of the management they experience. I have spent time in housing associations countering the view “It’s good enough for them”; it is not. They have to have the best quality of repair work and the best environment on their estates, which private estates could look up to. They also need some help and service: encouragement, through housing associations, with job training and training on IT and the use of facilities. That would actually help their housing management as well.
There is a danger in our social housing that alienation leads to non-participation and to people wanting to vote Reform. Regeneration is absolutely critical in some of these estates. So investment in improving estates must be made to show that the housing managers care. This can be done through improving landscaping, sorting out parking and reinstating support services, all of which we have accepted in the private sector but are not in public housing.
I am just finishing. What plans will the Government bring forward to improve sink estates generally and restore the confidence, commitment and involvement of social tenants?