Social Housing in London
Debate between Jim Fitzpatrick and Mary Macleod
Mary Macleod
I thank my hon. Friend for his comments. I agree that that is happening across London and we need to do something constructive to deal with it.
Hounslow council’s website advises that
“Most people waiting for housing will never be offered a property because the number of people registered is much higher than the number of properties we have available to let each year.”
We need a new housing model that provides a range of opportunities for people’s housing needs and that continues to protect the most vulnerable and those with the greatest need.
There is no doubt that there is a need for far-reaching reform of our social housing to meet current and future needs and to modernise the system while protecting provision for the most vulnerable. How can we deliver this better system? There is significant potential for innovation in the social housing sector overall. First, I shall focus on building new homes and bringing empty homes back into use. Secondly, I want to explore the use of new models in the private rented market. Thirdly, I will address the issue of encouraging increased mobility within the social housing sector.
On the first issue, clearly, there is a desperate need to increase the number of new homes being built and of empty homes being brought back into use. The national affordable housing programme and the new homes bonus, put in place by the Government, will both help to support that goal. The Government are investing £6.5 billion in housing, which includes £2 billion to make existing social homes decent and a £4.5 billion investment in new affordable housing to deliver 150,000 more affordable homes.
Housing associations play a critical role in the provision of affordable homes and the national affordable housing programme will provide them with a new model for the building of new homes. They will be allowed to set affordable rents on their new build homes, and some re-lets at up to 80% of the market value, to provide additional capital to reinvest in new property development.
Jim Fitzpatrick
I recognise that the Government are giving housing associations the flexibility to charge up to 80% of the market rent. How does the hon. Lady respond to the point, made by my hon. Friend the Member for Islington North (Jeremy Corbyn), that for many people that is a poverty trap that keeps them out of employment? Many of them—especially those in constituencies such as mine—will not be able to afford 80% of the market rent.
Mary Macleod
The hon. Gentleman states one of the problems in London. There is a range of models from which people can choose, but it is important for us to come up with constructive ideas about how we can make a difference to such issues and find a way that does not allow people to get stuck in that trap. That is to a large extent why we are doing a lot of work on welfare reform, so that we get people into work and make sure that they get the support that they need.