(5 years, 5 months ago)
Commons ChamberAs I have already said, funding in aggregate for local authorities has gone up, but it is worth bearing in mind too that funding for the hon. Gentleman’s local authority is up this year. I have noticed also that its spending power per household is higher than the average for metropolitan districts. Indeed, in Bradford’s latest accounts it boasts of the area having
“Better skills, more good jobs and a growing economy”.
This Government are backing local councils to deliver for their local communities and will continue to do so.
When will the Government review the empty homes premium, a hypothecated tax that is unfairly distributed between deprived precepting boroughs and shires? Hyndburn is about the 24th most deprived area in the country and collects about £600,000, the majority of which is given to wider Lancashire to spend, not the deprived area. This is totally unfair. Does the Minister recognise it as unfair and will he do anything about it?
I am happy to talk to the hon. Gentleman about his specific concern, but in general it is for local authorities themselves to decide how to implement the empty homes premium. They are accountable to their electors, and this is not something that central Government have any execution over.
(5 years, 5 months ago)
Public Bill CommitteesQ
Councillor Watts: Yes, it is £2.5 billion.
Adrian Blaylock: It was £2.5 billion at the end of March 2017. If you look at the returns that local government is submitting to central Government in terms of their estimates, roughly £1 billion a year is being added to the appeals provision for loss for that particular year. Obviously, as appeals are heard and settled, some of that provision is released, but roughly £1 billion a year is set aside to settle appeals.
In answer to your question, do councils have enough reserves to pay for it? The way it works is that they will reduce their income from non-domestic rates; when they submit that return to central Government, they assume a level of loss and therefore that they will get less income. In effect, it creates its own provision—if that makes sense. That is where the reserve comes from.
Q
Adrian Blaylock: Nothing obvious occurs. There are a lot of unknowns about rates retention—we are talking about whether we carry on with a similar model to what we use now, just with the 75%, or whether we go for the alternative model, which was favoured in the December consultation—and what local government needs is certainty of funding, and understanding of when and how the money will come. So I do not think that the Bill particularly causes any issues, but it would be nice to get some early indication of where we are going with rates retention and how that will change.
Councillor Watts: I do not think there are any in-principle reasons why the Bill creates problems for business rates retention.
Annie Gascoyne: I agree.
Q
Annie Gascoyne: You mean beyond business rates? We would see a fundamental reform of business rates as being high on our priority list—
(5 years, 8 months ago)
Commons ChamberNo one, but no one, works as hard as my hon. Friend on housing policy. There is not a time when I appear at the Dispatch Box that he does not badger me with some new idea. He obviously takes his moral duty to the next generation to build the housing they need very seriously, and I would be more than happy to walk arm in arm with him down Downing Street to No. 11 to propose exactly that idea.
It is disappointing that the Government have scrapped their one-for-one target. My local Labour-run council, Hyndburn Borough Council, wants to build some social houses on the Clayton triangle. What support can the Minister guarantee to make sure that those social homes are built on the Clayton triangle?
Of course, one change we have made is to allow local authorities to bid into the affordable homes programme, specifically to support their house building aspirations. We have lifted the HRA borrowing cap, so the hon. Gentleman’s local authority is free, in a way that it was not before, to borrow that money. I point out to Opposition Members that one of the most debilitating parts of the debate about housing is their inability to accept that this Government and the coalition Government before us were faced with a catastrophic financial framework within which to build the homes that the next generation needs. It has taken time to recover capacity in the house building industry and in local authorities to achieve the kind of aspiration he wants to see.
(5 years, 9 months ago)
Commons ChamberI am sure that the hon. Member for Crawley (Henry Smith) will be in his seat for that statement and will leap to his feet to make his point with his customary force and alacrity.
I remind the hon. Gentleman of my response to the Chair of the Housing, Communities and Local Government Committee, the hon. Member for Sheffield South East (Mr Betts). That issue is part of our consultation on the review of relative needs and resources, and I encourage the hon. Gentleman to take part. Our view is that a lot of the measures are based on population distribution, but we will reflect on the evidence as we see it.
(6 years, 2 months ago)
Commons ChamberI am not aware of the precise statistics for the Ministry of Defence, but in general we encourage all organisations and private owners to bring empty homes back into use. The Bill will apply to all homes. As far as I am aware, there is no statutory exemption for MOD housing, but I am happy to look into that and write back to the hon. Lady. As an MP who represents a constituency with a heavy military presence, with Catterick garrison on my patch, I know well the issues relating to serving personnel and their families having access to good-quality accommodation. I hope that there are few empty homes in my area and that they are all being well utilised. I thank the hon. Lady for bringing that issue to my attention.
It cannot be right that while many households are waiting to find a house to call home, thousands of properties stand empty, some for many years. Beyond that, homes left empty for the long term can often be a blight on a neighbourhood, as well as sites of crime and antisocial behaviour. I am pleased to say that the Government’s record in this policy area is strong. We have ensured that local authorities have powers and strong incentives to bring empty homes back into use.
The Minister says that he is empowering local authorities, but the Government refuse to have a register of landlords. An enormous amount of paperwork is required for local authorities to chase landlords and get these backyards into use, or whatever the problem is that he says his Government are happy to see resolved. Will the Government help local authorities, as he suggests, and introduce a national register of landlords so that we can take the action that he describes?
I will be careful not to stray too far from my brief, but the Under-Secretary of State for Housing, Communities and Local Government, my hon. Friend the Member for South Derbyshire (Mrs Wheeler), who has responsibility for housing and homelessness, is actively looking into appropriate regulation in the private rented sector and the potential introduction of a single housing ombudsman, among other things. I should point out that the Government introduced measures to tackle rogue landlords and, indeed, created a rogue landlord database and a new set of penalties to tackle the issue. I hope that the hon. Gentleman finds some comfort in that and will wait for my colleague’s findings on the general regulation of the private rented sector.
Before 2013, councils could not collect any council tax from properties that were empty for up to six months, so the coalition Government at the time decided to support councils and ensure that they had the freedom, should they want it, to charge the full rate of council tax on such properties. That same year, the Government enabled local authorities to charge a council tax premium of up to 50% on long-term empty homes.
As ever, my hon. Friend makes an insightful point. He has great experience in this area. Indeed, he has published proposals relating specifically to this area, on which my hon. Friend the Housing Minister is engaging with him. More intelligent use of development rights and our existing stock can help play a part in solving the housing market problems that we see.
I am interested in what the Minister says, and do not disagree with it, but I will say the same thing that I said when this legislation came around last time. It is great to talk about Bolton, a unitary authority, and Kent may have a progressive county council—I do not know—but my local district, Accrington District Council, only receives 15% of the precept with 72% going to the shire authority which, unlike Bolton, is not interested in reinvesting. When will we have a change in the law that allows district authorities to retain 100% of the extra precept on the council tax?
Opening up a conversation about the redistribution of council tax is probably beyond the scope of this measure, but we encourage co-operation between local authorities, and there are good examples of that from across the country. Indeed, business rates retention is now working deliberately to incentivise local authorities across tiers to partner together, and we have found that that has unlocked conversations beyond the pooling of business rates to strategic co-operation on other matters, such as housing.
Will the Minister come to Lancashire to encourage Lancashire County Council to give money back to Hyndburn and Chorley?
I am always happy to visit all local authorities, and many of the authorities in Lancashire have submitted proposals to be in the upcoming 75% business rates retention pilots. I am pleased to see lots of local authorities in Lancashire working together, and I look forward to reading that application with interest in the light of those comments.
As we have seen, different areas, from Redditch to Lancashire, will have different housing needs and different numbers of long-term-empty homes, so it is absolutely right that decisions on whether to apply a premium, and the exact rate to charge, should be taken at local level, as they were before. Councils are acutely aware of the needs and demands of their areas. We recognise that local authorities will want to reflect carefully on the local housing market when deciding whether to issue a determination—for example, where a homeowner is struggling to rent or sell a property in a challenging market. We are clear that the premium should not be used to penalise owners of homes that are genuinely on the market for rent or sale.
(6 years, 9 months ago)
Commons ChamberI said earlier that this is a cross-Government strategy, and that includes work with the Department of Health and Social Care. In putting together the strategy, we have looked at ways—through local councils or community groups, for example—to make sure that people, particularly women, in some of these communities are aware of their health rights and what is available. One example is that as the Department for Work and Pensions rolls out universal credit, more and more people come into contact with the system and register for the first time, and we are able to look into ways to use that information to ensure that we can help more people, especially those to whom other services can perhaps be offered, to ensure that they get those offers.
Back in 2001, we had the race riots, followed by the council report, and we have heard all this before from different Governments, including the current one. How can we be guaranteed that the strategy will actually make a difference? When will the Government address the fact that, for legitimate and sensible reasons, people chose to live segregated lives? What are the Government going to do to try to make them integrate rather than choose segregation?
We should not be allowing people to choose to live segregated lives; that is not something that will help them, especially in the long term. It is not good for them and it is not good for the rest of society, and that is really at the heart of the strategy. We cannot force people to integrate—of course not—but the Government can do a lot, working with local government, community groups and others, to encourage people to integrate. The hon. Gentleman is right that Governments have tried this in the past, and they have had some success, but I believe that this is the boldest, most far-reaching strategy that has been presented by any Government.