Oral Answers to Questions
Debate between Alan Brown and Jake Berry(6 years, 5 months ago)
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Alan Brown (Kilmarnock and Loudoun) (SNP)
The Parliamentary Under-Secretary of State for Housing, Communities and Local Government (Jake Berry)
The hon. Gentleman will be aware that the Prime Minister recently announced a growth deal for Ayrshire, and I am delighted to tell him that the negotiations, led by my right hon. Friend the Secretary of State for Scotland, are now under way, but it can only proceed as fast as the slowest actors, so I hope the hon. Gentleman will use his not inconsiderable influence to pressurise the Scottish Government to play their part in the negotiations.
Scottish City Deals
Debate between Alan Brown and Jake Berry(6 years, 8 months ago)
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Jake Berry
I thank my hon. Friend for that intervention. We should never forget that the majority of people in this country do not live in a city, but in towns, villages and rural communities. Therefore, every city deal and every growth deal that the Government negotiate, regardless of where it may be in our United Kingdom, has to be about driving forward the economies of areas outside cities as well as in cities. I happily confirm that the hopes and desires of her constituents who do not live in a city will be part of that deal.
Alan Brown
The Minister touched on the borderlands growth deal. He will know where I am going with this: the Ayrshire growth deal was on the table before the borderlands growth deal, which now seems to be going forward. At the last Housing, Communities and Local Government questions he committed to meeting the backers of the Ayrshire growth deal. Has he progressed that meeting yet?
Jake Berry
We are in conversations about dates that work. I have already met with the representatives of the Ayrshire growth deal. As I committed to in the Chamber following the hon. Gentleman’s question, I am happy to meet with them again to discuss what we can take forward and how we can work together on proposals that they may have for an Ayrshire growth deal. I will keep him informed about my diary, but I hope that he will not have to wait too long for the second meeting. I know that discussions are ongoing with my colleagues in the Scotland Office.
An important aspect of all the city deals is that their content cannot be imposed top-down by the UK Government or the devolved Administration. They need to be promoted by local partners and draw on the expertise in the local communities, because such deals work best where they are ground-up and locally driven.
I turn to the achievements of some of the city deals that we have already agreed. The Glasgow and Clyde Valley deal was the first Scottish deal agreed, and included a joint £1 billion investment fund from both the UK and the Scottish Governments to support growth across the city region through a regionally controlled investment fund. Good progress continues to be made, with a number of key milestones already achieved. Significant funding—£209 million—has been approved, and many projects have been successfully completed. One example is the positive investment—some £89.3 million —of city deal funding to deliver the canal and north element of the Sighthill regeneration project, which is one of the biggest of its type outside London. I could not put the difference that the project will make better than the hon. Member for Glasgow North East. In one of his recent tweets, he said that the Sighthill regeneration project is
“an incredible legacy for my constituency.”
Oral Answers to Questions
Debate between Alan Brown and Jake Berry(6 years, 10 months ago)
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Alan Brown (Kilmarnock and Loudoun) (SNP)
The Parliamentary Under-Secretary of State for Housing, Communities and Local Government (Jake Berry)
As the hon. Gentleman will be aware, these growth deals are extremely complicated. That is why I have agreed to meet the backers of the Ayrshire growth deal to talk about how, for our part, the UK Government can take an exciting deal forward.
Oral Answers to Questions
Debate between Alan Brown and Jake Berry
Alan Brown (Kilmarnock and Loudoun) (SNP)
5. What discussions he has had with his counterpart in the Scottish Government on proposed city deals since 26 June 2017.
The Parliamentary Under-Secretary of State for Communities and Local Government (Jake Berry)
My right hon. Friend the Secretary of State for Scotland is leading on Scotland’s city deals; he spoke to the Scottish Government as recently as last Thursday. No direct discussions have recently taken place between Ministers from this Department and the Scottish Government on this specific issue, although we would welcome such talks.
Alan Brown
I thank the Minister for that answer. Interestingly, the Democratic Unionist party managed to get £1 billion out of this Government in just a couple of weeks, yet the remaining city deals for Scotland are still on the table. Will he speak to the Secretary of State for Scotland to get his Government to push these deals along? While he is at it, will he consider the Ayrshire growth deal as well, because there has so far been a failure to have meaningful talks on that?
Housing
Debate between Alan Brown and Jake Berry(8 years, 11 months ago)
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Alan Brown (Kilmarnock and Loudoun) (SNP)
The motion is about a scattergun approach to a very important topic. I understand it is aimed mainly at the last five years of the coalition Government and the direction they took. Of course, a standard one-line dig is now levelled at the SNP Scottish Government, as if that is somehow going to transform Labour’s fortunes north of the border.
Current policy ties in with decades of housing policy of Governments of all hues. There is no doubt that the roots of the current housing crisis stem from the Housing Act 1980—an Act that Labour contemplated introducing before it lost power—which led to the decimation of housing stock across the UK as a whole, the biggest problem being that those houses were not replaced. The reason they were not replaced was that the moneys from the sale of stock were either used to offset debt or reclaimed by the Treasury, so it was impossible for councils to replace stock.
Fast-forwarding to Scotland now, the SNP has recognised this issue. That is why we scrapped the right to buy. As of this year, the right to buy council houses has been eliminated in Scotland. We are also opposed to the extension of the right to buy to housing associations. By removing the right to buy and opposing it in housing associations, we preserve stock and allow better targeted new building of social housing to meet local housing needs. Labour had 13 years in power in the UK but did not do that and Labour did not do it in Scotland when it was in power for eight years. Labour could have invested in a council house building programme but, like the Tories, in the main chose to leave affordable housing to the markets and to social landlords. We have heard about the sorry state of affairs whereby the coalition Government actually built more council housing in five years than Labour did in 13.
On the council housing theme, I point out that in Scotland the Scottish National party has now delivered more than 6,000 council houses, which compares to a grand total of six that Labour delivered when it was in power. [Interruption.] I said that right, the figures are 6,000 versus six. There is no doubt that greater council house building just makes more sense. Councils can borrow at a lower rate, they can use their land supply and they can target regeneration. Those were all things I was pleased to be involved with as a councillor for East Ayrshire Council.
Given the increased discounts put in by the coalition Government for right to buy, what council in England is going to invest in council house building in the future, as its stock will be at risk of getting sold off? The same goes for the extended right to buy in respect of housing associations. They will not be able to borrow securely when they no longer know accurately what their future rent projection will be. Clearly, they could build houses but those could then be sold off, which distorts the whole model that housing associations were built on.
Let me now deal with one-to-one replacement. Despite what we heard from the Minister for Housing and Planning, it is a complete sham. It is based on a three-year cycle, and I understand that that is to allow for planning and getting houses coming out of the ground. The Government say that they have already achieved the one-to-one, but they are comparing the first year’s right-to-buy sales with the replacements over a three-year period. There has been a massive increase in the right-to-buy sales since then. The Library briefing paper shows that to stay on track against the increased number of right-to-buy sales, 4,650 houses need to be built every six months. In the first six months of this year, there were only 730 starts and acquisitions, so for the first six months of this year the Government have achieved only 15% of that required target. There is therefore no doubt that going forward the one-to-one replacement will not happen. When that is combined with the forced sale of the highest-value council properties, it is clear that this Government are going to create a worse housing situation in the long term, rather than do something to sort it, despite all the bluster we have heard.
There is still no definition of what one-to-one replacement is. The target is a national one, so it does not compel councils and housing associations to replace houses locally. It means that local needs and supply assessments do not govern the replacement strategy or housing strategy, whereas in Scotland the local needs and supply assessments are a prerequisite of Government funding The SNP Government, when funding social housing and council housing, are making sure that they take local needs and assessments into account. That is a proper strategic overview, which is the only way in which housing stock can be managed.
Another major issue I have with the right-to-buy policy is that councils are forced to subsidise home ownership through the sales programme as well as fund the rebuild without any Government money being added. Monetary experts agree that this is the time to invest in infrastructure, and clearly housing is integral to infrastructure. If the Government used the £10 billion to £12 billion subsidy that is getting used for right to buy for housing associations, we could create additional housing. That would help to tackle the housing problem, it would create more jobs and it would lead to a more sustainable model. If the Government were actually willing to put money up front, that would also lead to Barnett consequentials for Scotland, and I know that the SNP Government would use that wisely.
The right-to-buy measure in effect privatises housing associations. I draw a parallel with what happened during an early reading of the Scotland Bill when a proposal was made to devolve the Crown Estate. The hon. Member for North East Somerset (Mr Rees-Mogg) made an impassioned defence of the Crown Estate on the basis of the principle of not imposing a change of ownership. No Conservative Member is willing to come to the defence of housing associations, yet it is the same forced change of ownership.
Under the right to buy, large family houses have all but disappeared from council stock in some areas, and private renting has had to increase to compensate. That drives up housing benefit costs, which is counterproductive for the taxpayer in the long run. Many sold properties end up in the rented sector, especially flatted properties. Someone exercises the right to buy. Then they die; the flat is passed on to family and the family have no need for it. It ends up as a buy-to-let and the taxpayer pays more money for someone to rent that property than for the person in the council house next door. In a study by Glasgow university, this is estimated to have cost the taxpayer an extra £3 million a year in Renfrewshire alone. We also know that 40% of flats in England sold under the right to buy have ended up in the buy-to-let market. Clearly, that will only increase under the extended right to buy for housing association tenants.
We heard in the autumn statement of an additional levy on people who buy additional homes. That is supposed to provide some income to the Treasury and have a balancing effect on the buy-to-let market, but there is no doubt that it will not do anything. It will give the Treasury a wee bit more money, but the returns that buy-to-let landlords get will at least offset that one-off levy. So the taxpayer will still pay more money in the long run in housing benefit. Going forward, it is almost guaranteed that the only way the housing benefit bill will be reduced is if the Government take further punitive measures.
I think I have made it clear that I am against extending the right to buy to housing association tenants. It will lead to social cleansing—to a clearing out of people.
Alan Brown
They might do in the short term, but I can guarantee that they will get money from the taxpayer as a discount, then they will sell the property. Property developers will move in, they will demolish and rebuild and there will be an ongoing moving out of people. The social houses will not be rebuilt in that area so people on lower incomes will not be able to rent in the area that they were staying in. [Interruption.] I think I should be pleased. I am getting a wee bit of chunter, and that is maybe a good thing.
Affordable homes clearly need to be truly affordable. The SNP Government have made sure that that is the case, and it is part of our plan going forward. It is not the case here in London. A cursory glance at my local estate agent in Kennington where I have a flat for when I stay down here shows that the costs for one-bedroom flats are truly mind-blowing. I can understand why London has a housing crisis.
In Scotland the SNP Government have delivered 30,000 affordable homes since 2011, backed by £1.7 billion of investment and they are committed to 50,000 affordable homes, of which 70% will be available for social rent, if they are re-elected. Despite what the motion says, I can inform the House that the chief executive of Shelter Scotland has welcomed this commitment. We have had no such commitment from Labour as yet in Scotland.
Although we are against the extended right to buy, we are not against home ownership. I accept that many families welcomed the original right to buy and many people have benefited from it. However, the scheme has had its time and it is time to move on. The rhetoric comes back to whether we are for or against home ownership, but that is not the right message. I have concerns that the UK Government proposals for Help to Buy and right to buy will encourage more people to borrow. At present interest rates are at an all-time low, so homes may be on the cusp of affordability. People can borrow now, but when interest rates go up there will be a risk to the affordability of those homes.
Although the Government talk about reducing borrowing, the one-for-one replacement scheme is funded by additional borrowing by councils and housing associations. As we now know, housing associations are adding to the public debt and are on the public books, so there is no benefit from what the Government are doing. The long-term economic recovery plan appears to give a discount to home owners, but it will increase personal debt and force borrowing elsewhere for replacement housing. All in all, it is not a plan at all.
To meet people’s requirements, we need more houses to be built, based on local need and demand. Those must be truly affordable homes that are energy efficient. This would deliver health benefits and reduce the long-term housing benefit bill. A house building programme would create jobs, improve the welfare bill as more people would be working, and improve the Treasury’s income. That is the strategic plan that the Government should work to. It is one that the Scottish Government are doing their best to implement and they certainly will do so if re-elected next year.
Standing Orders (Public Business)
Debate between Alan Brown and Jake Berry(9 years, 1 month ago)
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Alan Brown (Kilmarnock and Loudoun) (SNP)
Despite all the bluster we have heard about English votes for English laws being the No. 1 issue on the doorstep, this is a fudge of a solution to a problem that does not exist. [Interruption.] It is true and I will tell Government Members why. Since 2001, only 0.6% of votes have been affected by Scottish MPs. They can tell their constituents that there are only 59 Scottish MPs out of 650 MPs in this House, so clearly we cannot impose our will on the House. It is the other way about and we have had to put up with it for years. It has been estimated that under the last Government, there were only two England-only Bills that would have fallen under EVEL.
The issue cannot be that important because in the last couple of debates most Government Members did not even bother to turn out. Sadly, the same is true today on the Labour Benches. The No. 1 story that we have heard over the years has been about the introduction of student fees. If that was such an issue to all youse guys, you could have abolished student fees in the last Parliament. Instead, you voted to increase them. If the Government introduce a Bill to abolish student fees, believe me, we will back them.
Jake Berry (Rossendale and Darwen) (Con)
On the issue of what SNP Members will or will not back the Government on, the hon. Gentleman will be aware of their self-denying ordinance, as they call it, not to vote on England-only issues. The First Minister of Scotland restated that in 2008, using the example of foxhunting. Of course, that self-denying ordinance was broken in revenge, torpedoing all their arguments.
Alan Brown
It is good to see that the welfare of foxes is such a big issue that the Government want to stop SNP MPs voting on it. As a matter of fact, we did not vote on it—we just said that we might do and that was enough to have them running scared. The First Minister has said that we will vote for progressive policies in this House and that we will vote with other parties for those policies.
This is a mess of a proposal and I will outline why. It introduces further processes, delays and costs into the democratic process, when we are meant to be cutting costs. Earlier today, I mentioned that 44 new Lords have taken up their position in the other place since my election, and that is where we should be trying to cut costs.
This proposal does not take account of the Barnett consequentials. Despite what the Leader of the House said earlier today, he does not understand how policy links to finance. He says the two are different, but I can guarantee that if a policy decision is made in this House and the actual budget does not align with it, he will be back here trying to change the Standing Orders again, saying, “That’s not fair.”
As we have heard, using Standing Orders to make such a significant change is pretty undemocratic—this should be done through normal due process. We all know, as this has been said, that the approach being taken compromises the Speaker’s position. The Speaker will be asked to make decisions but has no obligation to explain them, and that lacks transparency. Despite Labour sending second-class MPs down here from Scotland for many years, this measure will make us second-class MPs and we do not want to be viewed as that.
This is supposed to be about addressing a democratic deficit, but the real democratic deficit is the fact that with only 15% of the vote in Scotland the Tories have consistently vetoed every proposed amendment to the Scotland Bill. That is the democratic deficit that we are living with, not to mention the fact that there is an unelected House of Lords that gets more and more bloated all the time. That is where we should start dealing with the democratic deficit, and we would be saving money and bringing transparency to the democratic process.