Housing: Social Homes for Rent Debate

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Housing: Social Homes for Rent

Baroness Uddin Excerpts
Tuesday 11th February 2020

(4 years, 2 months ago)

Lords Chamber
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Baroness Berridge Portrait Baroness Berridge
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Noble Lords have previously raised this issue in debates on this topic. Social housing in this country comes from the budget in the affordable housing programme and the borrowing that local councils can now do, and, yes, under Section 106 agreements. There has been a problem with developers then saying that they are not economically viable. In the plans I have mentioned, there are now requirements that landowners and site purchasers will know the likely costs up front, so they will know the types of affordable housing provision they have to provide and the levels of it. They will know that up front, before they buy the land, so they cannot then come back to the council and say, “Oh, we purchased the land for a different sum of money, and it is now no longer economically viable”. I hope that that will close the loophole.

Baroness Uddin Portrait Baroness Uddin (Non-Afl)
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My Lords, I note with some caution the noble Baroness’s confidence about private sector housing. From my knowledge of places such as Tower Hamlets, I know that huge development has not necessarily yielded a social rent market in any meaningful way. What are the Government doing to ensure that her department is working with the housing associations, which have a long, honourable history of creating quality housing for social rent purposes? I declare my interest as on the register.

Baroness Berridge Portrait Baroness Berridge
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Both councils and housing associations can bid to the affordable homes programme for that money. Housing associations now have the benefit of a 10-year secure, £2 billion-worth of funding; they have never had that, under any Government. They should be able to plan to deliver the homes that we need. We recognise that, particularly for those at risk of being homeless and for particular families, we need to increase the number of homes available for social rent. We want to see a new generation of council housing, built both by housing associations and by local councils.