Social Housing Bill [HL]

Baroness Eaton Excerpts

2nd reading
Monday 1st June 2026 Lords Chamber

[Baroness Eaton (Con)]

My Lords, I declare an interest as a vice-president of the Local Government Association and the part owner of rented property in West Yorkshire. In my contribution to the King’s Speech debate last month, I referenced how disappointing it was that the Government would bring forward legislation to further curtail property ownership through a diminishing right-to-buy policy. The Social Housing Bill is a narrow-minded piece of legislation which misses huge opportunities to rectify many of the ongoing issues in the social housing sector—issues that this side of the House will seek to rectify in Committee and on Report.

Property ownership is not a bad thing. It gives families a sense of security in life and a stake in society. You cannot make a modern-day case for capitalism if the individual does not own capital. I refer noble Lords to the paper commissioned by the London School of Economics in December 2024, Human Capital from Childhood Exposure to Homeownership: Evidence from Right-to-Buy. There are some notable points to consider. The right-to-buy scheme has generated detectable, sizeable school performance gains. The policy gave rise to improved educational outcomes via improvements in the local community. The right-to-buy policy had positive effects on educational and downstream labour market outcomes. The right-to-buy experiment shows that increasing home ownership generates greater human capital accumulation.

To curtail the ability of residents in social housing to purchase property through right to buy is immoral and goes against every fabric this Government were elected to uphold. Those opposite may be surprised to know that the decision to allow local authorities to retain 100% of right-to-buy receipts was made by the previous Conservative Government, and it is right. The days when local authorities were forced into pooling right-to-buy receipts on to national schemes undermined the principle of the scheme; namely, that a right-to-buy receipt be used to build new social housing to replace stock that had been purchased privately. I hope this Government will consider using this Bill to put into legislation that the 100% retention of right-to-buy receipts be made permanent.

On a similar point, the Government announced that right-to-buy receipts would need to be spent by local authorities within a 10-year period. Could this legislation include an ability for local authorities to seek an exemption from the Secretary of State where they may have right-to-buy receipts linked to future regeneration schemes coming down the line? As I am sure the Minister will understand, given supply chain constraints in the construction sector, this is having a knock-on impact on local authorities.

Following my contribution in the King’s Speech debate, I reiterate my interest in the upcoming Law Commission consultation on escheat land, which is transferred to the Crown Estate. I understand the commission will look at the feasibility of transferring escheat land to public bodies other than the Crown Estate. I would welcome confirmation in the Minister’s summing up on whether her department will push for housing revenue accounts to be included in this on the basis that local authorities agreed to use such land for building social housing where practical.

Finally, Clause 9 is of concern to me, and I seek clarification on its necessity. It will give the Secretary of State the power to direct local authorities to contribute right-to-buy receipts towards national pooling schemes. Given that the Government have said they would like to keep 100% of right-to-buy receipts for local authorities, I would welcome clarification on why Clause 9 is therefore needed, unless the Government plan to reallocate localised right-to-buy receipts to national pooling schemes.

This Bill is wrong and undermines the principles of home ownership. Significant work will need to take place in Committee and on Report to bring it to a satisfactory condition.

Social Housing Bill [HL]

Baroness Eaton Excerpts

Committee stage
Wednesday 17th June 2026 Lords Chamber

[Baroness O'Neill of Bexley (Con)]

My Lords, I add my best wishes to the England team tonight: even if we are not finished in time, we will no doubt get a nice, quiet journey home because everyone will be watching it.

I speak to Amendments 57, 58, 75, 83 and 107 in my name and that of my noble friend Lord Jamieson. Much of the debate around housing understandably focuses on building new homes. That is undoubtedly important. However, if we are serious about tackling housing need, we must also focus on how we effectively manage, maintain and utilise the housing stock that already exists. These amendments are intended to probe whether sufficient attention is given to the condition, management and efficient use of existing social housing assets.

Amendment 57 would require the Government to bring forward proposals to support the regeneration of social housing estates. Estate regeneration is often difficult, sometimes controversial and takes many years. The noble Lord, Lord John, sitting over there, will know that from pain in Elephant and Castle; I certainly know it from the years dealing with Thamesmead, and I am sure many others in this Chamber will know it too. It takes a long time, but there are opportunities.

Amendment 75 raises the crucial issue of illegal subletting in our social housing system. I note the Prevention of Social Housing Fraud Act, which passed through this House in 2013 under the watch of my noble friend Lady Eaton. It provided important powers to tackle this problem, but it is reasonable to ask whether those powers are being used ineffectively and whether enforcement activity is sufficient. Given the pressure on waiting lists across the country, every property recovered through anti-fraud activity represents an opportunity to house someone who is legitimately entitled to that support. In 2024-25, there were just 476 evictions for illegal subletting. However, the Tenancy Fraud Forum’s 2023 report, Lost Homes, Lost Hope, estimated that 148,000 social homes were subject to tenancy fraud in 2023. In a separate report in 2025, it estimated that there were 50,000 tenancy frauds in London alone. This is shocking and urgently needs addressing. Rather than curtailing right to buy, this is the issue that the Government should prioritise to bring housing forward quickly.

Amendment 83 would require a national audit of social housing stock. It is difficult to manage assets effectively without a clear understanding of their condition, occupancy, utilisation and future investment requirements before making major policy decisions. Government should have the clearest possible picture of the stock already available. Similarly, Amendment 107 seeks a broader strategy for improving the management of existing social housing stock. Better stock management can often deliver benefits more quickly and at a lower cost than new construction alone.

I should also mention Amendment 117D in the name of my noble friend Lord Evans of Guisborough. This is a probing amendment, but it raises an important question about accountability. Across England, elected mayors are being given increasing responsibility for housing, planning and regeneration. If powers are increasingly devolved, it is reasonable to ask how performance should be measured, and how local people can judge whether housing commitments are being delivered.

The country faces substantial housing pressures. There are now around 1.33 million households on local authority waiting lists—the highest figure for a decade. Against that backdrop, transparency regarding housing delivery matters. Noble Lords may have different views on the mechanism proposed by my noble friend, but the broader principle remains that where significant powers are devolved, there should be clear accountability for the outcomes, and that these are the right outcomes.

I would also be interested to hear from the Minister how long social housing properties typically remain vacant between tenancies. Every week that a property sits empty is a week in which a household remains on the waiting list. Understanding void turnaround times is therefore an important part of understanding the efficiency of the system as a whole. Taken together, these amendments seek to ensure that we make the best possible use of the housing stock we already have, while continuing to build for the future. I beg to move.

[Baroness Eaton (Con)]

My Lords, I shall speak briefly to Amendment 75, tabled by my noble friends Lady O’Neill of Bexley and Lord Jamieson. As my noble friend noted, I oversaw the passing of the Prevention of Social Housing Fraud Act 2013 through this House. This criminalised the unauthorised subletting of social housing dwellings and gave landlords stronger powers.

Back then, the number of unlawfully sublet social housing dwellings was estimated to be approximately 98,000. The statistics my noble friend referenced are shocking and show that, while the laws are there, swift enforcement to crack down on fraud is severely lacking. Indeed, it begs the question of why the Government are pursuing what appears to be an ideological assault on the right to buy when a determined crackdown on fraud could return many thousands more homes to the social housing stock. Those 148,000 dwellings my noble friend referenced are, in effect, withheld from those on waiting lists, who are in genuine need. I urge all noble Lords to reflect on this. If the Government published a review, as proposed by Amendment 75, we would understand not only the rates of prosecution and recovery of properties but exactly what the barriers to proper enforcement are. Given the estimates, the Government should be much more proactive on this issue, which should be a much greater priority in this Bill.

I emphasise that we must consider different forms of tenancy fraud. It is not just illegal subletting; it can include providing false information as part of a tenancy application, failing to use a property as a principal home, leaving it empty or selling the keys to a third party. Between now and Report, I hope we can look into this, and I hope the Minister will give this issue the attention it certainly deserves.

[Lord Young of Cookham (Con)]

My Lords, very briefly, I will speak to Amendment 57, moved by my noble friend. My noble friend started by making a very valid point: if the Government have a firm commitment to build, say, 1.5 million new homes and a certain number of new social houses, there is a real risk that, when looking at the capital programme within the department, that commitment trumps funding for existing estates and the regeneration of existing housing stock. That is why Amendment 57 is important: it would make sure that we do not ignore the needs of the existing housing stock.

I draw attention to housing action trusts—an initiative under the Housing Act 1988 that focused very sharply on the most difficult-to-let estates in the country. This was an initiative from my noble friend Lord Heseltine, and, as one might expect, it was highly interventionist. A housing action trust was a time-limited body that took over the management and redevelopment of a local authority estate. However, before that could happen, there was a vote of the local authority tenants to seek their agreement to that time-limited transfer. Speaking from memory, I think there were seven housing action trusts, including one in Stonebridge, in Brent; one in Tower Hamlets; one in Castle Vale, in Birmingham; one in Liverpool; and one in Hull. They were highly successful, and they transformed those estates.

It was interesting that, at the end, the tenants were given a vote: they could either go back to the local authority or transfer to a resident-run or tenant-run association of their own. Speaking from memory, I think they all decided to stick with the alternative to the local authority. If one is looking at ways of transforming the most challenging estates in the country, it is worth looking at the history of housing action trusts, which, by common consent, were highly successful. They were expensive, but we should not ignore that model when deciding how to take further the regeneration of social housing estates.