Oral Answers to Questions

Felicity Buchan Excerpts

Monday 27th March 2023 Commons Chamber

[Sarah Olney (Richmond Park) (LD)]

11. Whether he plans to take steps to help tackle significant increases in service charges for leaseholders and social housing tenants.

[The Parliamentary Under-Secretary of State for Levelling Up, Housing and Communities (Felicity Buchan)]

Service charges must be reasonable and works and services must be of a reasonable standard. We will empower leaseholders by legislating, so that service charges are more transparent. We are encouraging registered providers of social housing to limit service charge increases for social housing tenants to 7% or less.

[Sarah Olney]

I have been told by constituents who live in housing association properties that not only their rents but their service charges will be going up this year. One constituent has told me that their service charge will increase from £15.18 per week to £127.74—over £5,800 per year more for their service charge. These constituents are already struggling at the top of their budgets to accommodate increased heating and living costs. The Government have placed a cap on the maximum that their rent can be raised by, but that is surely arbitrary if the service charge can be increased by such a drastic amount.

[Felicity Buchan]

As I have said, service charges are payable only to the extent that the costs have been reasonably incurred. If the hon. Lady’s social housing tenant believes that the costs have not been reasonably incurred, I really encourage them to go to the housing ombudsman. Similarly, leaseholders can also challenge any service charges through the first-tier tribunal.

[Sara Britcliffe (Hyndburn) (Con)]

Following on from the hon. Member for Richmond Park (Sarah Olney), although it is welcome that the Government have capped rent rises below inflation for those in the social rented sector, residents of Hyndburn and Haslingden, and across Lancashire, are also facing rises in service charges—increases of up to 11%—so can the Government set out what support is available for those who cannot afford a combined rent and service charge increase?

[Felicity Buchan]

Obviously, we are very sympathetic to those who are feeling cost of living pressures, which is why the Treasury put together the £37 billion package at the autumn statement, followed by a further £26 billion. Service charges should be reasonable, they should reflect costs and there should be access to the ombudsman, as there is.

[Mike Kane (Wythenshawe and Sale East) (Lab)]

12. What steps he is taking as part of his Department’s levelling up policies to support towns in attracting investment.

--- Later in debate ---

[Kate Osamor (Edmonton) (Lab/Co-op)]

16. What steps he is taking to reduce the number of homeless children placed in bed-and-breakfast accommodation.

[The Parliamentary Under-Secretary of State for Levelling Up, Housing and Communities (Felicity Buchan)]

The Government have been clear that the long-term use of bed-and-breakfast accommodation for families with children is inappropriate and unlawful. We will continue to work with local authorities to limit its use, and we are giving councils £654 million through the homelessness prevention grant for 2023 to 2025 to help them prevent homelessness.

[Kate Osamor]

I thank the Minister for her response, but the reality for a constituent of mine is very difficult. My constituent has been stuck in a Travelodge for seven months with his wife, a wheelchair user, and two sons. One son is autistic and has been increasingly distressed at constantly changing rooms. The number of families living in B&Bs for more than six weeks has increased by 180% in London in a year, as councils struggle to find affordable accommodation for families on benefits. Can the Government commit to uprating local housing allowance at least by the rate of inflation?

[Felicity Buchan]

I am sorry to hear about the circumstances of the hon. Member’s constituent, and I am happy to talk in detail. There are currently 1,200 families in B&B accommodation for over six weeks. As I have said, we think that is inappropriate. We have made it clear to local authorities that B&Bs are a last resort, and they are an interim measure to more stable accommodation.

[Mr Speaker]

I call the shadow Minister.

[Sarah Owen (Luton North) (Lab)]

Every year since 2011, the number of children in temporary accommodation has risen—we are talking about well over 120,000 children without a home to call their own. It is a form of homelessness that is out of sight, out of mind and on the rise under this Tory Government—thousands of children stuck in bed and breakfasts for longer than the statutory maximum of six weeks. What do Ministers intend to do about the shocking numbers of homeless children in temporary accommodation, and when? May I remind the Minister that they are in charge of the parliamentary schedule for as long as they have left in government?

[Felicity Buchan]

Homelessness and rough sleeping is one of the biggest priorities of this Government. We are devoting £2 billion over three years to alleviate homelessness and rough sleeping. This is a major priority of ours. Every family and child deserve to live in decent, secure and safe housing. That is why we have helped half a million people since the Homelessness Reduction Act 2017 came in to prevent homelessness. We have spent £366 million this year on the homelessness prevention grant and £654 million over the next two years. The Government are committed to getting people out of temporary accommodation and into long-term, stable accommodation.

[Antony Higginbotham (Burnley) (Con)]

T1. If he will make a statement on his departmental responsibilities.