Social Housing Bill (First sitting)

Danny Beales Excerpts

Committee stage
Tuesday 27th October 2026 Public Bill Committees

[Gareth Bacon]

The hon. Lady makes an interesting point, but she does not say how the Government will increase home building. There is no increase in home building. The point of the new clause is to raise awareness of right to buy among 16 to 25-year-olds. The point of the new clause is about aspiration—something this Government have absolutely no idea about. Aspiration turned into opportunity by the Conservative party in the 1980s is being arbitrarily and retrospectively axed by a Bill that offers no other route into the housing market, builds no more social housing and effectively excludes 5 million people from the fundamental right to property ownership.

[Danny Beales (Uxbridge and South Ruislip) (Lab)]

Will the hon. Gentleman give way on that point?

[Gareth Bacon]

I will not give way. I need to make some progress.

That is the least that can be done to support families aspiring to own their own home, whether they find themselves on the cusp of reaching their three-year qualifying period or on day one of the road towards making their home ownership dream a reality.

On amendments 84 and 85, the Bill opens with a statement claiming that its purpose is to make provision about social housing, but clause 1 makes no effort to increase the supply, build-out rates or funding for social housing. Instead, an ideological aversion to property ownership—a fundamental right—takes the top spot at the very beginning of the Bill. Ever since Margaret Thatcher gave millions of people the chance to own their own home, rather than rent it from the state, local authority or a registered provider, Labour MPs have for generations sought to crush that right and the aspiration that it exists to serve.

--- Later in debate ---

[Matthew Pennycook]

That is not my experience from discussing the matter with councils, and it does not reflect the feedback that we received in the consultation. Councils up and down the country tell us that they could build more if they had certainty that their stock would not be lost in the proportion that it is—and certainly not after a minimum qualifying period of three years.

[Danny Beales]

Having been a cabinet member responsible for council house building in Camden for seven years, and building 1,000 homes, I can say that it is a challenge when council homes can quickly leave our stock through right to buy. Having built them at great public expense, and having borrowed on a 30-year basis to deliver them, the possibility of losing that asset at a discount without recouping the investment is a material consideration. Does the Minister agree that authorities that do not build council homes but rely on housing associations might not see this as a problem, as housing associations are not included in right to buy in the same way?

[Matthew Pennycook]

I thank my hon. Friend for sharing his very considerable experience. There is a difference in experience between local authorities that have housing revenue accounts and those that do not, and those that build at scale and those that do not. However, it is certainly the case that councils knowing they can lose stock three years after building it without recuperating that investment is a disincentive to build.

--- Later in debate ---

[Edward Argar]

Over many years, I have found that consultation done properly leaves very limited legal risk. Where Governments get it wrong—I do not want to overly speculate on what has happened with the Government’s consultations and process around local government reorganisation—the hon. Member is right that there is a potential for JRs, although I would highlight that a judicial review can focus only on process, not on whether the decision should be relitigated.

If consultation is done well—I would have thought that consultation on this issue should be fairly simple—I believe it can enhance the transparency that is important in bringing our constituents with us and in ensuring that the Government are directly accountable to hon. and right hon. Members in this House. When the legislation is introduced, under our amendments as a regulation, that consultation is there to be drawn on. I genuinely believe—I have seen it for myself—that when a Government are willing to listen to a consultation response, they can, if they do things openly, often come up with a slightly better or tweaked outcome.

[Danny Beales]

The right hon. Gentleman is being very generous with his time. My experience is that local councils that are seeking to deliver new council homes have been calling for right-to-buy receipt reform for a long time. The previous Government had an overly restrictive approach to right-to-buy receipts. Councils were only allowed to keep a third of them for three years, and if they could not spend them within that time, they had to return them to the Treasury with interest. As a result, many decided not to take their receipts at all.

It therefore seems quite sensible not to tie up councils that are trying to build new homes, which is quite a complicated and time-consuming process, in consultations and discussions, but to give the Secretary of State the flexibility to work with local authorities, to give them more receipts, to increase the period within which receipts can be used or to reallocate them to schemes and councils that can build within an acceptable period. Does the right hon. Gentleman not agree?

[Edward Argar]

I am grateful to the hon. Gentleman for that point, but he makes the same point, in a sense, as the hon. Member for Cities of London and Westminster, and it is not what I am speaking about, which is the process. I do not believe that a consultation would tie councils up in knots or delay things inordinately, or indeed that introducing these changes through regulations rather than by diktat of the Secretary of State would cause unnecessary delays.

This process is about transparency and accountability. We have done it before in Government; indeed, this Government have done it with regulations. I have sat on a number of DLs; maybe I have upset the Whips at some point, because I sit on a DL almost every week, when I am not sitting in a Bill Committee—such is the fate of a former Cabinet Minister on the Back Benches. However, the point I am making is that this Government and other Governments have used the delegated legislation system to get things through quickly but none the less with democratic accountability to this House. That is the point being made by my hon. Friend the Member for Orpington in these amendments. It is about giving our constituents the confidence to trust that this House has debated what the Secretary of State recommends. Knowing the majority in the House at the moment, I have no doubt that the Minister would easily win any votes in a DL on matters such as this.