Building Safety Bill (Tenth sitting)

Ian Byrne Excerpts

Thursday 23rd September 2021 Public Bill Committees

[Christopher Pincher]

I am obliged to my hon. Friend. We always apply the new burdens doctrine when applying new responsibilities to local authorities, and I am sure that will be the case here.

[Ian Byrne (Liverpool, West Derby) (Lab)]

rose—

[Christopher Pincher]

As he is on his feet and complying with your adjudication that one should stand to intervene, Mr Efford, I shall give way to the hon. Member for Liverpool, West Derby.

[Ian Byrne]

Thank you, Mr Efford; it is pleasure to know that there is a fellow taxi driver in the room. I didn’t realise you were an ex-cabbie—that makes two of us.

On the issue of local authorities, and the point that the hon. Member for North Devon has just raised, will the Minister ensure that local authorities actually have the funding to ensure that what he is outlining can work within this system?

--- Later in debate ---

[Christopher Pincher]

I am grateful to the hon. Lady for her amendment. In parenthesis, let me say that the Government are committed to increasing affordable housing and socially rented homes as a component of that. She will know, as an articulate and committed member of the HCLG Committee, that we have made available in the present 2021 to 2026 cycle more than £12 billion, £11.5 billion of which is new money, to build some 180,000 new homes, economic conditions permitting, of which 32,000, or double the number in the present cycle, will be for social rent. We have also made it easier for councils and local authorities to build social homes if they wish, but I will not go into the detail of that, because it is a separate matter and does not apply to this clause.

I had a conversation only last night with the Financial Secretary to the Treasury on our approach to the levy and exemptions, and I am pleased to inform the hon. Member for Luton South that we have already proposed —not as a direct result of that conversation, but more broadly—an exemption from the levy for affordable housing as a whole. That includes social housing, as well as housing for rent or sale at least 20% below market value, shared ownership and rent to buy. We recognise that applying a levy to affordable housing, which includes social housing, would increase the cost of developing affordable housing and is likely to be a disincentive to supply.

We presently have a public consultation in flight, seeking views and evidence on how the exemption would work in practice. The consultation will conclude on 15 October. We would not want to pre-empt the outcome of that consultation, although I think the hon. Member for Luton South can see the way our thoughts are progressing, but neither do we want to write such a matter on to the face of the Bill, because we think that it is more appropriate in secondary legislation. We are consulting on it and we do want to ensure that the exemption applies, so I hope that she will agree that her amendment is unnecessary and therefore withdraw it.

[Ian Byrne]

It is really good to hear the Minister talk about social housing, because when the Housing, Communities and Local Government Committee has taken evidence on this we have heard only about affordable housing; we could not get the social housing element drawn out. Just to clarify, will social housing associations be exempt from the charge?

[Christopher Pincher]

Our proposal is that social housing be exempted from the levy. We are consulting on how to do it, but that is our proposal, so the Committee can see the flight trajectory that the Government are on. I therefore hope that the hon. Member for Luton South, when she has an opportunity to make her views plain, will withdraw her amendment.