(8 years, 11 months ago)
Commons ChamberMy right hon. Friend makes an excellent point. What we are trying to say in this debate is that the Government’s right-to-buy proposals do not bring about like-for-like replacements. To have two very expensive homes replacing one home for social rent does not add up to a sensible policy for most people. The Government want to push up the rates of home ownership and we agree that there should be measures to promote that. However, we do not think that those should come at the expense of the social rented or local authority sectors.
My hon. Friend and my right hon. Friend the Member for Tooting (Sadiq Khan) are making exactly the right point. The idea that £450,000 homes for sale can replace socially rented homes, and when they are not in the same area, is what I understand the hon. Member for Richmond Park (Zac Goldsmith) told the Camden New Journal last week; if he is here, he may wish to clarify. Getting rid of council homes in inner London and replacing them with homes for sale at vastly inflated prices in outer London and beyond is not acceptable.
(9 years, 5 months ago)
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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.
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.
Indeed, and it is to addressing that housing need that the Minister must turn his attention.