Oral Answers to Questions

Helen Goodman Excerpts

Monday 22nd July 2019 Commons Chamber

[James Brokenshire]

I am grateful to my hon. Friend for his comments. We have firmly focused on this issue of leasehold, and I know the close attention he pays to the steps that have been taken. Obviously, the Competition and Markets Authority will be looking at this issue of unfairness. In relation to the Select Committee’s response, there are legal complexities with existing contracts, but I assure him that we will continue to focus on this to provide that effective response.

[Helen Goodman (Bishop Auckland) (Lab)]

Hundreds of my constituents have written to me similarly feeling that they have been mis-sold their freehold, so I have written to the Competition and Markets Authority asking it to extend its inquiry to cover freehold, where people have to pay excessive and ever-escalating management and service fees. Will the Secretary of State support me in this?

--- Later in debate ---

[John Healey (Wentworth and Dearne) (Lab)]

This session may be the swan song of the Secretary of State and his team. We certainly hope not, and we wish them all well in the Tory turmoil to come.

[Helen Goodman]

But not too well.

[John Healey]

Indeed.

The CMA’s inquiry is certainly welcome, but it is action by Ministers that homebuyers ripped off in the leasehold system need most. The Secretary of State’s predecessor said in 2017 that the Government would stop new leasehold houses, but nearly 3,500 were sold last year. The Secretary of State himself said a year ago that he would end the use of Help to Buy for new leasehold houses, but he had to admit to me afterwards that that will not happen until 2021.

As the Secretary of State reflects on his time in this job, will he concede that any Government action has been too slow and too weak and has totally overlooked the needs of current leaseholders locked into unfair contracts?