Planning and Infrastructure Bill

Florence Eshalomi Excerpts

Report stage
Monday 9th June 2025 Commons Chamber

[Madam Deputy Speaker (Ms Nusrat Ghani)]

More than 55 Back Benchers hope to contribute, and colleagues know what time this debate has to end. It is unlikely that everybody will get in, so colleagues may want to reconsider and submit to speak tomorrow instead of today. I call the Chair of the Select Committee.

[Florence Eshalomi (Vauxhall and Camberwell Green) (Lab/Co-op)]

I am mindful of what you say, Madam Deputy Speaker, and will try to keep my remarks short. I rise to speak to the amendments in my name. In this Report stage, I will briefly touch on why the Bill is so vital. It is fair to say that we all, as constituency MPs, have our frustrations with the planning system, but ultimately we must remember why this Bill matters. We are in the middle of a housing crisis. A generation of young people are spending more and more of their income on unaffordable private rents, while the dream of home ownership fades even further. We have 1.3 million households on local authority waiting lists for social housing and more than 165,000 children growing up in temporary accommodation. That figure has risen by 15% in the last year alone.

I am the Chair of the Housing, Communities and Local Government Committee, and our first report looked at the lives of some of the children in temporary accommodation. What we found was truly shameful. Families are living in damp, cold and mouse-infested homes. Babies are not able to crawl or learn to walk because of a lack of floor space. Most shockingly, we found that temporary accommodation has been a contributing factor in the death of at least 74 children in the past five years.

[Nesil Caliskan (Barking) (Lab)]

As a fellow London Member of Parliament, I recognise everything that my hon. Friend has described. Was she surprised, as I was, to hear from the shadow Minister that the planning system is fine and should not change?

[Florence Eshalomi]

As I outlined in my opening comments, the planning system does not work. It is broken, just as we have a broken housing market and a housing crisis.

I mentioned the 74 children who died in the past five years; 58 were under the age of one. As Members of Parliament representing different parts of the country, we might disagree with aspects of developments in our constituencies, and we must not let developers off the hook when they often fail to deliver quality in new housing.

[Marsha De Cordova (Battersea) (Lab)]

My hon. Friend is making a powerful speech, and she touches on developers. My new clause 67 focuses on developers’ obligations when they have committed, at the planning application stage, to deliver a certain number of affordable homes. Under my new clause, they would have to stick to that. They should not be given scope to use issues around viability or profitability to reduce the number of affordable homes that they deliver. Does she agree that that option should not be open to developers if they want to build homes?

[Florence Eshalomi]

I thank my constituency neighbour for that important point. We have to be honest: the market facing developers is challenging. Their costs have increased, but we see waiting lists across our boroughs increasing daily. More and more people face an acute housing shortage. It is therefore important that when developers consult and go to planning committees with their development plans, they stick to what they have committed to. Developers must build the infrastructure that our communities need, and we must ensure that homes are built to the highest safety standards. We must be in no doubt that, unacceptably, we have for decades failed to build the homes that we need. If we want to give young people homes, stop families facing the scourge of homelessness, and ensure that every child has the best start in life, we must say yes to building more homes. In particular, not enough new social homes have been built. That is why I tabled new clause 50.

[Mike Martin (Tunbridge Wells) (LD)]

I completely agree that not enough social homes are being built. Does the hon. Lady think we should have a target for social homes in the Bill?

[Florence Eshalomi]

I thank the hon. Member for that point, and I am coming to some of the points on targets; essentially, this subject is why I tabled new clause 50, and I am grateful for the support of colleagues from all parts of the House. Social rent, as we know, is the most affordable housing tenure, as the rent is calculated through a national formula. Usually, the rent is set at around 50% of local market rents. That is exactly the kind of housing we need if we want to make progress towards ending homelessness during this Parliament.

The Minister told the Select Committee that the Government want to prioritise the building of new social rent homes as part of their social housing ambitions. My new clause 50 would require the Government to set a national target for the number of social rent homes that they want to deliver per year. The target would not be binding on the Government or the sector, but it would demonstrate the scale of the Government’s ambition. Targets are important to how our planning system works in England. Local and national housing targets make sure that our planners, developers and housing associations know how many homes the Government intend to deliver, and they allow communities to plan effectively.

The Government have been clear on their overall national housing targets, but the Select Committee believes that the Government must set out how they intend to hit that 1.5 million target, and we want to ensure that includes a target by tenure. In the absence of a specific housing target, the number of new social rent homes has plummeted from hundreds of thousands in the 1970s to consistently below 10,000 in the past decade.

[Naushabah Khan (Gillingham and Rainham) (Lab)]

My hon. Friend is making a powerful point, which we have discussed on the Select Committee. Does she agree that to reach the target of 90,000 social homes a year, we must set clear targets now? Otherwise, we will not be able to get a grip on the housing crisis when it comes to delivering socially rented homes.

[Florence Eshalomi]

I thank my fellow Committee member for making that point. As the shadow Minister outlined, a number of key sectors have made claims and are worried about the target that the Government have set. It is an ambitious target, and we want the Government to hit it, but without urgent action, that might be difficult for them to do.

In the absence of such a target, far fewer families are getting off the waiting list, out of homelessness and into secure and safe affordable homes. As the new Select Committee has not endorsed a specific number of social rent homes, my new clause does not hold the Government to a target; rather, we want the Government to consider what is needed and, most important, what is possible within the financial constraints and the sector’s capacity. In recent years, several organisations have called for social rent targets at different levels. As we have just heard from my hon. Friend the Member for Gillingham and Rainham (Naushabah Khan), the most common figure is 90,000 social rent homes per year, which has been endorsed by Shelter, Crisis, the National Housing Federation, the Affordable Housing Commission, and the predecessor of my Committee in the last Parliament.

[Bobby Dean (Carshalton and Wallington) (LD)]

The hon. Member has made some excellent points about the need to set a target for social homes. I believe that the destruction of council house stock is one of the most regressive actions that the country has ever taken, and that we need to replenish that stock as a matter of urgency. However, I fear that 90,000 a year is not enough. Does she agree that we need to aim for 150,000?

[Florence Eshalomi]

The hon. Member makes a really important point. What we are asking the Government to do, in the new clause—and what many other Members across the House are asking them to do—is ensure that, within that 1.5 million target, there is a clearer ambition in relation to how many of those homes will be social housing. We need to take a step first before we start increasing that target, but I agree that 90,000 is a drop in the ocean, given the number of people across the country who are on the social housing waiting list.

When he was in office, the former Secretary of State—now Lord Gove—said that he wanted to see at least 30,000 social rent homes a year, which he called a “stretching but achievable” target. My new clause would give the Government six months after the passing of the Bill to set their own target. By that time, we expect the Government to have published details of a new affordable homes programme and a long-term housing strategy. The Minister has told the Select Committee that the long-term housing strategy will set out how the Government will meet their 1.5 million target, and we hope that will include a breakdown of the figure by tenure and a target for social rent housing.

My amendments 129 and 130 are technical amendments to the Bill’s planning fees ringfence. We know that local planning authorities are badly under-resourced. According to the Royal Town Planning Institute, one quarter of planners have left the public sector between 2013 and 2020. The sector has therefore welcomed the Bill’s plan to ringfence the revenues from planning fees so that local authorities must invest those revenues in planning departments. However, in evidence to the Committee, planning representatives told us that the current ringfence in the Bill was too restrictive, as it would not allow planning departments to spend the money on developing their local plans. The Minister is up to date with local plans, and, as he knows, local plan coverage is vital if the Government’s planning reforms are to succeed. The fact is, however, that only a third of local authorities have an up-to-date local plan in place. It therefore seems to be a missed opportunity that the ringfence, as currently drafted, would not allow local authorities to invest in plan-making using revenues from fees. The Government wish to see universal coverage of local plans, so I hope that the Minister might consider making this modest change in the other place to extend the fees ringfence.

With those local plans in place, and with the Government’s wider planning reforms bedding in, hopefully we will start to see real progress towards building the homes we so desperately need. But even then, we must face the reality that planning reforms alone will not to be enough to deliver 1.5 million homes during the current Parliament. The private sector will need to take time to adjust to the new regime, and developers will need years of lead-in time to bring forward those applications. The private sector will build homes only at the rate at which they sell without needing to reduce prices, whereas with social housing a family can receive the keys to a secure home as soon as it is built. We must remember that the last time England was building 300,000 homes a year, more than 100,000 of them were social housing.

The Government have promised to deliver the

“biggest wave of social and affordable housing for a generation”,

and that will require the biggest boost in social housing investment for a generation. In truth, the spending review will make or break the 1.5 million target. It is now time for the Government to be bold, and to deliver on their housing ambition. If they do so, they will find councils across the country ready to match their ambition.

I particularly welcome Southwark Council’s work, and the work of its outgoing leader, Councillor Kieron Williams, in spearheading the “Securing the Future of Council Housing” campaign. In just under a year, Southwark has joined 112 other councils across England in sending the clear message that it is there to get more homes delivered, and to fix the broken housing system. I urge the Government to match that goal, back up their stated ambitions, and set a social housing target following the spending review. We must ensure that social rent housing—the most affordable tenure—forms a substantial part of the new housing that results from the Bill.

[Several hon. Members rose—]