Housing Supply (London)

Andy Slaughter Excerpts

Wednesday 15th July 2015 Westminster Hall

[Stephen Hammond]

I would have listened more carefully to the right hon. Gentleman’s comments had he not said that no affordable homes were being built—that is simply not true. As I have already laid out, 15,000 will be built this year in London. Clearly, the Mayor is delivering.

The sources of land and the value to the public sector— how the land and different elements of it are used—will vary, but the London land commission has an opportunity to bring land into use for home ownership of all types throughout London. Significant tranches of land are involved. Transport for London, for example, has 568 designated sites where non-operational land could be brought into use; 98 of those are ready to be rolled out pretty much immediately, according to the TfL development director, Mr Craig.

We should not squander the opportunity, which is significant. Such land has involved work in London’s east end and the Royal Docks; we have already mentioned Old Oak Common. We should also consider the potential that the Mayor has given in the money allocated—not only to land, but to the new housing zones, which are an initiative to accelerate housing developments in areas of high potential. Last year London boroughs were invited to participate in a programme, and I am delighted that my borough will be seeking to participate. The programme is likely to deliver a significant number of homes across the borders of my constituency and that of the hon. Member for Mitcham and Morden (Siobhain McDonagh). Those will not only be affordable homes, but homes in the social rented sector as well as in the private sector.

[Andy Slaughter (Hammersmith) (Lab)]

It is good of the hon. Gentleman to read out the Mayor’s brief, but that is just utter fantasy. The hon. Gentleman mentioned Old Oak Common and TfL, but the largest TfL site is in my constituency and no social rented homes are going in those places. The limits for income have just been put up to £85,000. That is not building for Londoners; it is building for oligarchs.

[Stephen Hammond]

I am not just reading out the Mayor’s brief; I have a panoply of things in front of me. Opposition Members will undoubtedly read out the Labour party prepared brief in a moment. I am happy for anyone to inspect my things—no brief talks about the TfL numbers, because I personally researched them. I know that those numbers are there and that they are possible. A number of sites of varying size can be brought back into all sorts of home ownership. Some of that will be affordable housing and some social renting—[Interruption.] As my hon. Friend the Member for Enfield, Southgate (Mr Burrowes) rightly points out from a sedentary position, when it comes to Old Oak Common, we cannot yet be sure—the potential is there for at least 24,000 homes, but the mix is not yet certain.

Clearly, there is a housing supply problem in London—[Interruption.] It is not right to say that the Government are doing nothing; the Government are doing a huge number of things, supporting the Mayor in London. Labour Members might not like this, but the reality is that in the Labour party’s 13 years of office, almost no council houses were built; in the past five years of the coalition Government, twice as many were built. [Interruption.] It is no good Labour Members shaking their heads: the numbers are there—that is absolutely true. Despite Labour cries, it is Conservative Members and their Government, with the support of a Conservative London Mayor, who are taking the action to deliver the housing that Londoners need.

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[Mr Christopher Chope (in the Chair)]

Order. On several occasions, the right hon. Gentleman has tested my patience by using the expression “filibustering”. Nobody in this Chamber has been filibustering and if they had been, I would have brought them to order. I think it is very disappointing that, having relied on self-regulation, that seems manifestly to have failed and I have not been able to call as many Members present whom I would have wished to. However, we now have to move on to the wind-ups, because under the rules laid down by Mr Speaker we have a maximum of 10 minutes for the SNP spokesman. I call Dr Whiteford.

[Andy Slaughter]

On a point of order, Mr Chope. As Chair, you are of course entirely within your rights not to impose a time limit. However, because Members, particularly on the Government side, have not shown any restraint, and given that this is the most important issue for London Labour Members and that we have come here to try and contribute, I wonder whether the Front Benchers would concede a little time to us, so that we can at least make some contribution. That would seem a fair way to proceed.

[Mr Christopher Chope (in the Chair)]

I am going to call Dr Whiteford.

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[Dr Blackman-Woods]

I thank my hon. Friend for making an excellent point.

The cost of renting in the home counties has risen by 5.4% in the past six months, with an estimated 47% of tenancies consisting of corporate commuters, so there is an impact on the outer boroughs and on surrounding areas as well. The poorest and most vulnerable have been hit particularly hard by skyrocketing prices as the crisis has deepened. As hon. Members have said, that is increasing the number of homeless people on the streets of London. The figures are shocking: 7,581 people slept rough in London at some point during 2014-15; that represents a 16% rise on the previous year. There is also a huge impact on the number of people claiming housing benefit.

Analysis published by the National Housing Federation earlier this year forecasts that a 21-year-old Londoner will have to wait on average until the age of 52 before they can afford to get a foot on the property ladder if the current price increases continue. More and more people are relying on the bank of mum and dad in order to take out a mortgage. That is increasing inequality in the city.

Worryingly, the CBI has warned that the lack of housing supply is having a massive detrimental impact on social mobility. If the only young people who can afford to live in London are those whose parents already have a home there and can remortgage it or afford to help them with rent or mortgage costs, the recruitment pool is restricted to the children of more affluent members of society. That is not a sensible policy at any level, including economically.

Even the hon. Member for Uxbridge and South Ruislip (Boris Johnson) acknowledges the need

“to double housebuilding and provide a million more homes by 2025.”

It is just a pity that he is not actually doing anything to deliver on that in London. In fact, as a great many of my hon. Friends pointed out, he is calling in planning applications in order to reduce the number of affordable housing units delivered. Again, that is in contrast to Labour councils in London, which are doing what they can—Islington is a very good example—to deliver more council houses.

The Minister has not answered a question that has been put to him on a number of occasions, which is that, given this policy—[Interruption.] No, outside this debate, but he has another opportunity today to answer the question. Because the Government are requiring or going to require councils to sell off their highest-level stock, will he insist that Islington sells the council houses that it is currently building before they are even occupied by council tenants? That very serious question needs to be addressed.

In the last couple of minutes of my speech, I shall turn my attention to some of the things that I think the Government need to do. First—this point was echoed by many hon. Members—we need a coherent and comprehensive policy to increase housing supply in London that will deliver genuinely affordable houses in communities that people want to live in, with the associated infrastructure and services that are necessary. They do not want to be surrounded by buildings that are empty because the homes have been sold to overseas investors.

[Andy Slaughter]

My hon. Friend is absolutely right. From her previous comments, is it not clear that the Government are not only not taking the action that she proposes, but actively making the situation worse? Forcing the sale of a third of council properties means that the only affordable source of accommodation is being run down and will not be available for people in housing need.

[Dr Blackman-Woods]

Indeed, and it is to addressing that housing need that the Minister must turn his attention.

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[Brandon Lewis]

I would like to see Southwark Council go further in developing more homes and using some of the £21 billion of reserves that councils have built up over the last few years. We are determined to make sure that tenants get a fair deal, particularly where social housing costs have increased at almost double the rate of the private rented sector over the last few years. We are committed to supporting the aspiration of ordinary hard-working people who want to own a home of their own. That is why we will deliver 200,000 starter homes over the course of this Parliament, at a 20% discount on market value.

[Andy Slaughter]

rose—

[Ruth Cadbury]

rose—