David Lammy
Main Page: David Lammy (Labour - Tottenham)In a spirit of generosity, may I welcome the moves in the Bill towards self-build? When we see the markets in Scandinavia, Australia and the States, it is clear that we need to inject some energy into this idea of buying land to build a home. As the hon. Member for Hertford and Stortford (Mr Prisk) said, in areas like London with lots of houses in multiple occupation, the banning orders and the regulation of some of our rogue landlords are very necessary.
Very sadly, I must say that this Bill is of deep, deep concern. At this critical juncture for housing in our country, it is extraordinary that the Government should propose a Bill that will, in effect, see the decimation of social housing. I believe in mixed communities and I genuinely believe that some Government Members do too. I love the idea of the London in which my father arrived in the 1950s. By the late 1960s, he was able to buy his own home for £6,000 in Tottenham, and his sister, who arrived with him, was able to get a council house on the Croydon block of Broadwater Farm. Also at that time, we had a private rented sector. The sector was split into thirds.
The vast majority of Londoners moving into a home this year are in the private rented sector. There is nothing in this Bill to address the huge soaring rents—40% over two years in Richmond, 30% in Kingston and 20% in the London borough of Haringey. There is nothing for all those people who are struggling with their bills. They are paying, on average, 46% of their salaries on rent. If the Government believe in mixed communities, then please come to this House and say something about social rents, social housing and affordable housing. What we have is a Bill that will see the reduction in the number of those homes because of the money that will be taken from already cash-strapped councils. Of course this Bill is coming before the spending review in which yet more money will be taken from local authorities.
Let us think about the London that we will see. A starter home scheme will be exempt from section 106, so all the infrastructure that comes with housing—the schools, clinics, hospitals and children’s centres—will not be there. With no community infrastructure levy in place, all the infrastructure will be gone. What kind of communities are we attempting to build here in London?
It feels as though the Secretary of State has his mind set on building Paris. Great! That will be an inner London of the very wealthy. All of us in this Chamber have assets and homes. Anyone who owns a home in London—certainly if it was bought 10 or 15 years ago—will find that it is worth well over £1 million. Then there will be those without assets, who will be condemned to the private rented sector. Why is that? It is because these new starter homes will not help them.
If someone is on a living wage in London, they cannot afford a starter home on this scheme. What is the point of talking about it? It is a waste of time. Effectively, it is a scheme for the middle class children, with a 20% discount. I came to this view when I ran for the nomination for London Mayor. I supported right to buy—it is right to be able to exercise that right—but there is a crisis here in London. We can forget the idea of one for one. We have arrived at a place where we need a moratorium on right to buy; we do not need to extend it any further. We need to address the fundamental problem of taking out of the system property that is paid for by taxpayers—we are talking about subsidised properties with discounts of up to £100,000. There is no other area of Government policy where Conservatives would support the idea of giving taxpayers’ money to those who have and taking it from those who have not. This is a shame. If the hon. Member for Richmond Park (Zac Goldsmith) becomes the next Mayor of London on the back of this Bill, very, very tragically, housing will be permanently ruined in this country for the poor.