Read Bill Ministerial Extracts
Social Housing Bill [Lords] Debate
Full Debate: Read Full DebateGareth Bacon
Main Page: Gareth Bacon (Conservative - Orpington)Department Debates - View all Gareth Bacon's debates with the Ministry of Housing, Communities and Local Government
(2Â weeks, 4Â days ago)
Commons ChamberI beg to move an amendment, to leave out from “That” to the end of the Question and add:
“this House declines to give a Second Reading to the Social Housing Bill [Lords], despite supporting the measures in the Bill to protect victims of domestic abuse, because the Bill will effectively abolish Right to Buy, destroying the aspirations of social tenants who wish to one day purchase their own home; because the Government is failing to build the homes required, as in 2024-25 there were 12,810 fewer net additional dwellings delivered in England compared to the previous year, and the Bill does nothing to promote much-needed housebuilding; and because the Bill does not ensure that social housing is used effectively and is reserved for British citizens.”
We come to the House, as we have done many times, to find that the Government are still failing to build more homes and still failing to support home ownership. This Bill is no different; indeed, it is a failure par excellence because for a Bill supposedly concerned with housing, it does nothing to build any new homes. The Bill does nothing to support the aspiration of home ownership; in fact, it goes out of its way to diminish it. It does not even free up any social homes for the 1.34 million people on the waiting list. It is a dud Bill and an ideological red herring.
Most egregiously, however, the Government have taken a much-needed reform—the need for a new and effective framework to enable landlords to take possession action against perpetrators of domestic abuse—and surrounded it with unnecessary, damaging and punitive reforms to right to buy. We agree with the Government that it is vital that anyone stuck in an abusive household receives the urgent care, support and access to legal pathways they need, so His Majesty’s Opposition support this aspect of the Bill, but it is a shame to find the Government wedging it uncomfortably alongside the ideological and anti-aspirational measures that make up the majority of this counterproductive Bill.
As somebody who, I would wager, has rehoused more victims of domestic abuse than almost anybody in this House, I just want to say on behalf of victims of domestic abuse that building more council housing and ensuring that more council housing is in the system is literally the thing that almost every victim in the country would ask us to do. With that, I commend the ideology of the Bill and suggest on the hon. Gentleman’s point about “wedging it together” that they are the same issue.
Sorry—I missed that comment from a sedentary position. This Bill does not contribute to building a single extra social home. I agree that people who are victims of domestic abuse should be rehoused—I said that in my remarks. We do not agree, however, that this Bill is the way to do it.
Let us come to the main thrust of the Government’s policy: the effective end of right to buy as we know it. In 1980, Margaret Thatcher’s Government offered millions of people a hand up on to the property ladder by extending the opportunity to own property to hard-working, aspirational people living in social housing.
I will make some progress.
Ever since and right up to the present day, Labour MPs have called for restrictions on the scheme. They have essentially called for an end to the opportunity to exercise the right to own one’s own home for around 5 million households. When owning one’s own home can bring such pride and such a sense of community, and can offer security and safety, one might wonder why on earth anyone would seek to lock millions of social housing tenants out of doing so. Aside from ideology, which of course is a major part of the problem for Labour Members, the Government seek to do this because they have misdiagnosed the problem. In their mind, it is somehow acceptable to lay the blame at the door of right to buy, as 1.34 million households—children, families, the elderly, the disabled and others—wait for a social home, while every year approximately 33,000 new social tenancies, funded by British taxpayers, go to households where the lead tenant is not a British national.
Natasha Irons (Croydon East) (Lab)
I speak as the granddaughter of Jamaican immigrants who came to this country and had a council house, and then bought that council house and profited from right to buy. The conversation we had around our dinner table was, “Isn’t right to buy great? The problem is they are not rebuilding the houses.” The idea of changing the policy is to stop the leakage out of the system. We cannot continue to pour more into the top while it comes out of the bottom. I hope we can agree that building more social homes is everyone’s objective, but keeping them in the system will also alleviate the pressure on social housing.
I agree with the hon. Lady that building more social homes is part of the answer, but I will address the central point of her question a bit later in my speech.
Right to buy is not the reason for the diminishing available social housing, nor the reason for our current shortage of social housing. Indeed, as my noble friend Lord Jamieson pointed out in the other place, the Government’s own impact assessment shows that in 2026-27, the pre-November 2024 baseline was 8,050 right-to-buy sales leading to 5,450 replacement homes. The document goes on to show that if this Bill were to pass and the legacy impacts wind down in the period 2031 to 2035, annual right-to-buy sales would fall to around 1,100 a year, with around 1,450 replacement homes. That means that by their own analysis and admission, the Government would oversee a housing system in which there would be 4,000 fewer new social homes funded every year.
Alex McIntyre (Gloucester) (Lab)
While we are talking about statistics, between April 2012 and March 2024 there were over 124,000 right-to-buy sales and fewer than 48,000 homes built to replace them. Which party was in charge during that period? [Interruption.]
The point I am making, as my hon. Friend the Member for Hamble Valley (Paul Holmes) says from a sedentary position behind me, is that there will be even fewer new social homes under this Bill. It is not the answer to the problem.
The Government’s own data is not the only data available that disproves the justification for restricting right to buy. The Government have argued that the Bill will mean that around 3,000 additional homes are retained a year, but research conducted by the House of Lords Library shows that only a net 3% of social homes become available each year to new tenancies. That means that about 90 additional homes will be available for a new tenant every year, instead of 5,000.
The very premise that right to buy is taking homes away is a fallacy. The only people who qualify for right to buy are long-term tenants, and Government data has shown that 78% of new lettings remain lifetime tenancies. That means that in three quarters of cases, we are looking at social homes that are unlikely ever to be available to a prospective tenant when they need it. All of that clearly demonstrates that right to buy is not the issue—it is part of the solution.
That is not the only available avenue that the Government could take to support those on the waiting list and get more people into the housing they need. I hope that you will not mind, Madam Deputy Speaker, if I offer two key areas in which progress could be made. First and foremost, it could be made through house building. The Government put forward clear and definite promises to voters in 2024. We were told that by the end of this Parliament, the Government will have built 1.5 million new homes, including
“the biggest increase in social and affordable housebuilding in a generation.”
The new Prime Minister—a self-proclaimed opponent of 1980s policies—has similarly committed to a social housing revolution, albeit without a defined target or an idea of what that looks like. But now, halfway through this Parliament, after the slog of the Planning and Infrastructure Act 2025, multiple updates to the national planning policy framework and the publication of this Bill, we are left without a clear route to building more homes, and projections from the Government themselves show that they have managed to build just 26% of their target in nearly 50% of the time.
The Bill does nothing to prioritise building. It will not add a single social home to the housing stock.
Dr Scott Arthur (Edinburgh South West) (Lab)
Is it not slightly misleading to suggest that the delivery rate for those homes pledged in the manifesto will be constant throughout the term of this Government? In fact, we have to do the enabling work in terms of legislation and then we will see more of those homes built towards the end. Is it not also right and good that we have a target that stretches us? I would hope that the Opposition would join us in helping to deliver that target.
The Opposition will be very happy if the Government hit that target, but the point is they will not. The target was not nuanced in the way the hon. Gentleman sets out in the manifesto, nor was it nuanced straight after the election. We were told that 1.5 million homes were to be built by the end of this Parliament. There is no chance that the Government will hit that target.
Cat Eccles (Stourbridge) (Lab)
Does the hon. Gentleman recognise that while under the current right-to-buy rules only 20% to 25% of the receipts go back to the local council, under the Government’s proposals it will be 100%, which will make it much easier to build those homes? Richard Parker, the West Midlands Mayor, has already delivered nearly 2,000 new homes and is on target to deliver 5,000. Would he therefore agree that it is possible to deliver the target?
On the contrary, it was the last Conservative Government who in 2023 introduced 100% receipts going to councils to rebuild the homes that had gone. Although Government Members like to pretend that history only began in 2010, I point out to them that successive Governments since the 1980s could have changed that and did not; it was the last Conservative Government who did so.
On housing numbers, there is no Reform MP present this afternoon, but Reform-led Rochford district council has just published its regulation 19 local plan. During the May elections, Reform made a great thing of defending the green belt, and in the intervening period its councillors intimated to lots of local campaign groups that, when the plan came out, they would be all right. Yet we now find that nearly every single one of those green-belt sites has been recommended for development. Does my hon. Friend agree that if they do not really mean to defend the green belt—clearly they do not—they should never have said that?
I share my right hon. Friend’s shock that no Reform MP is present in the Chamber. I am similarly totally taken aback that Reform would say one thing and do another. Of course, Reform councillors should not have said that if they did not mean it.
That is very well put by my right hon. Friend.
The Government do nothing to prioritise building. The Bill will not add a single social home to the housing stock. The Government are seeking to heal an illness before they have properly diagnosed it, and are offering a solution to a problem to which there is already an answer. If they were serious about reforming the right to buy and building more homes at the same time, perhaps they would look at how proper management and effective reinvestment of receipts could lead to an increase in housing supply, especially on brownfield sites. As my colleagues in the other place noted, it is better for everyone and for the economy if we make two homes out of one. Through efficient, productive and successful management of right-to-buy receipts, we can both sell a family home and support a family on the waiting list into another one. As homelessness peaks at record levels and the number of children in temporary accommodation reaches a dizzying summit of 178,000, it beggars belief that the Government are not looking at that more closely.
However, I recognise that house building is not an overnight fix; it takes time, but for many families on the waiting list, that is something they simply do not have. We must therefore consider how best to free up existing stock to support those most in need.
Luke Murphy
The shadow Minister is giving his view eloquently on social housing, but in 2010, the then coalition Government cut the affordable housing budget by 60%. Five years later, there was a 97% fall in the building of social rent homes. Would he like to apologise to the House for that record?
I listened to what the hon. Gentleman said. Of course, one of the things we do not get from Government Members is any commentary at all about the state of the economy in 2010, after 13 years of their party being in power. The public finances had to be right-sized—the country was heading towards bankruptcy. They are happy to disown their record and criticise everybody who followed, but perhaps it would be slightly more honest if they prefaced their arguments with an acknowledgement of that.
My hon. Friend will be aware that the Mayor of London has been in power for over 10 years, and that London’s housing starts have fallen through the floor. Over 300,000 Londoners are estimated to be on housing waiting lists, the majority of them in Labour boroughs. Does he find the rhetoric today somewhat confusing, given that even though the Government have cut Sadiq Khan’s affordable housing target by 22%, he continues to miss it?
My hon. Friend knows of what he speaks. The Mayor of London’s record on housing is, of course, execrable. It is totally mystifying that at a time when London’s population and housing need is the highest it has ever been, the Government have simultaneously reduced the housing target for London and massively ramped up the target in outer London, where most of the green belt is. That tells us everything we need to know about their intentions, both for housing and for the green belt.
To the Opposition, two answers seem too obvious to miss, yet the Government wilfully ignore this part of the puzzle. The first answer is efficiency of stock management. Many councils and housing associations are well-run and proactive organisations, but too many remain plagued by poor stock utilisation, improper management and under-occupation. A proper understanding of national stock will go some way towards creating a fairer and more efficient system, in contrast to the failures we witness now. For example, up-to-date figures from the English housing survey suggest that around 186,000 social housing households have incomes above ÂŁ50,000, while approximately 389,000 households are under-occupying social housing. That is clearly an inefficiency worth fixing, and it is not beyond the realms of possibility for many suppliers and managers to fix it, yet that does not feature in the Bill. Again, the Government look at the breadth of the issue and give a narrow and ideological legislative response.
The second answer is this. Too many struggling families are understandably frustrated to find foreign nationals in homes paid for by the British taxpayer. To be clear, we are not talking about just anyone—after all, until recently, British taxpayers were funding the First Lady of Sierra Leone’s central London pad, which was a British social housing flat. There are other egregious cases—more precisely, another 127,000 cases. Official figures show that 72% of those who identify as Somali in England and Wales live in social housing.
Natasha Irons
I want to clarify the point about people born in other countries and living here. If a person is born somewhere else, it does not mean that they are not a British citizen, or that their children were not born in this country. Being in social housing does not mean not being in work. Is the hon. Gentleman suggesting that, if someone becomes a British citizen after moving to this country, they should have a different tier of support in the system, even if they have paid into it?
No. If the hon. Lady will listen to the remainder of my speech, she will hear what I have to say.
It is understandable that as more and more people watch more and more of their salary slip away from their pockets and into the hands of the taxman, they begin to ask why they bother, and to question the fairness of the system. If the Government are not going to build enough social homes, they could follow our example, as laid out in our alternative King’s Speech: end all new social housing tenancies for all foreign nationals, as well as current tenancies for couples in which neither person is a UK, Irish or EU citizen, and free up those homes for British families. To be clear about the scale of what we are talking about, this would add 228,144 homes to the social housing sector—more homes than the Government built in the whole of 2024-25.
Finally, I turn to the problems around shared ownership that could be fixed—an issue raised by the hon. Member for Cities of London and Westminster (Rachel Blake), who is no longer in her place. My noble Friends in the other place worked hard and successfully to bring this issue to the attention of the Government and see it added to the Bill. For far too long, and for far too many people, what should have been their first and proudest step on to the housing ladder instead became a logistical, legal and financial nightmare. I am proud of the Opposition’s work in the House of Lords to force the Government to finally realise that this has become a national issue, and to obtain a welcome commitment from the Government to reviewing shared ownership practices. I call on the Minister to reiterate that promise, and not to seek to remove any such commitment or obligation from the Bill in Committee.
It is clear that this Bill fails the British people. By effectively destroying the right to buy, it does nothing to increase available social housing stock. It merely keeps people trapped in the system and not in control of their own life. It fails to provide more homes, to support aspirations of home ownership or to free up existing stock. Most crucially, it undermines the very essence of what makes for a successful and viable housing system. In such a system, people are supported to get into housing when they need it, and to own housing when they aspire to do so. This Bill, this Government and the Secretary of State—who is absent for reasons I think we all probably understand—not only fail but refuse to create such a system. That is why the Opposition tabled our reasoned amendment. We believe that the Bill is so lacking in ambition, so ideological in its motivation and so punitive in its measures that it should not proceed beyond this stage, or get anywhere near the statute book.
I say that with great sorrow for the helpless victims of domestic abuse and violence, who deserve everything that the Bill promises on those issues. It is a shame that the Government have wedded such necessary support to such punitory legislation. I hope that the Secretary of State will reassure the House that if the Bill makes it to Committee and beyond, it will be amended to make it fit for purpose for those in need of housing, in need of escape from abuse, and in need of shelter.
Several hon. Members rose—
Gideon Amos
I thank the hon. Member for I forget where—he does not mention it very often, but maybe it is Harlow. He is right and I will come to exactly that point about temporary accommodation.
The Resolution Foundation found that only one home was replaced for every five sold. That is a direct failure of Governments of all persuasions to build enough social housing. The Conservatives reversed their policy of allowing councils to spend 100% of receipts soon after they introduced it. In comparison, in 2004, a Labour Government required three quarters of receipts to be sent straight to the Treasury. Homes were sold at around half their value, and what money there was from receipts went elsewhere, not into building new social homes, and building rates plummeted.
I am glad that the new Prime Minister talks a good game on devolution, but even under the measures in this Bill, councils will remain unable to stop the loss of council homes from right to buy. The Liberal Democrats would give councils that power to end right to buy in their areas, if that is right for them and their communities. The Government should trust councils to understand their communities and their own housing markets.
When it comes to the Conservatives, who seem to be chasing their ideological bedfellows in the Reform party, apparently the priority is not building housing; it is finding a minority to blame for the problem—a group to alienate as “the other” when we should be focusing on building for the whole of the UK and everyone who lives here. Their amendment banning people who are not full British citizens from social housing overlooks the fact that people subject to immigration control are already ineligible for social housing—that is the law—but they want to go further.
The nurse on the ward at Musgrove Park hospital, in my constituency, would not be welcome under this Conservative amendment and would not be allowed to have a social home or a council house. The care worker who looked after people during the pandemic would not be welcome under this Conservative amendment. Under a Conservative Government, they would have nowhere to live when it comes to council and social housing. That is ironic for a party that has produced two Prime Ministers born outside Britain. As the Member of Parliament for Taunton and Wellington, I do not know whether I should inform his grace the Duke of Wellington that the first Duke of Wellington would not fully be a British citizen under the Conservative amendment tabled today because he was born outside Britain.
Gideon Amos
I suggest the hon. Gentleman reads the Conservative amendment that refers to reserving social housing for British citizens.
Gideon Amos
No, the Duke of Wellington was not born in Britain—the hon. Gentleman needs to have a look at his history books—[Interruption.] Regardless of the history of the Duke of Wellington, attempts to use the Bill to pump up divisive culture-war claptrap does not deserve our attention. Rather than pointing the finger of blame at minorities, we should be talking about how to build more social homes, and that is exactly what I will go on to do.
The failure to replace social homes, among other factors, means that more and more people are in temporary accommodation. There are 132,000 households in temporary accommodation, and councils spent £2.8 billion on it last year. The scourge of poor-quality temporary accommodation exists for far too many children, and that is why we need a big public housing programme to match the scale of the challenge. If for no other reason, we must do that because it is incumbent on all of us in this House, across parties, to end the tragic loss of children’s lives. The Shared Health Foundation has highlighted that temporary accommodation was found by a coroner to be a contributing factor in the deaths of 104 children in the last five years.