Under-Occupancy Penalty

Debate between Emma Lewell-Buck and Lord Dodds of Duncairn

Tuesday 5th November 2013 Westminster Hall

[Mrs Lewell-Buck]

This is the first time I have invited the Secretary of State to South Shields, so we will see—watch this space.

Many of my constituents who are desperate for employment or are stuck on zero-hour contracts sincerely want to move to a smaller property, but they simply have no homes to go to. The Government’s policy is hindering the ability of councils and housing associations to build homes for them to move to, so they will not be able to act on the Secretary of State’s advice.

As with so many things this Government do, the disdain with which they treat people in social housing shows how far removed they are from the reality of what is happening in towns such as mine. Opposition Members have put a raft of questions to the Prime Minister, the Deputy Prime Minister, Secretaries of State and the previous Housing Minister regarding the unfairness of this cruel tax and the implications for our housing supply. It is becoming depressingly clear that, from this Government’s point of view, my right hon. and hon. Friends do not need an answer and that the effects of the tax on struggling households and housing supply are not their concern. Their only interest is in appearing tough on those they call scroungers.

Thankfully, the Labour party has an answer. We are committed to repealing this awful tax. We are committed to building 1 million new homes over the next Parliament—200,000 homes a year and a raft of employment opportunities in construction. We are committed to stopping landowners holding on to undeveloped land, so that the housing market will suit the needs of the many, not the few.

The bedroom tax has been a complete failure. It has not reduced overcrowding.

[Mr Nigel Dodds (Belfast North) (DUP)]

I congratulate the hon. Lady on raising this important issue. If the situation is as bad as she paints it on the mainland, it is even worse in Northern Ireland, because we have the highest proportion of individuals under-occupying compared with other regions of the United Kingdom. We are the worst hit.

Does the hon. Lady not agree that, until the measure is repealed—I hope it will be repealed soon—it would at least be preferable to build in greater flexibility to the current exemptions, so that people would not be forced to pay the tax if there was no suitable alternative accommodation? Something should be done in the meantime, until we get rid of this wretched measure.

[Mrs Lewell-Buck]

The right hon. Gentleman is correct. More safeguards need to be built into the tax, but a Labour Government would overturn the tax completely.