Affordable and Safe Housing for All

Jim Shannon Excerpts

Tuesday 18th May 2021 Commons Chamber

[The Secretary of State for Housing, Communities and Local Government (Robert Jenrick)]

As the Prime Minister has made clear, the future beyond the pandemic is not about restoring the status quo; we can and must do better, and last week’s Queen’s Speech set out our ambitious and comprehensive plan to do just that. For my Department, this means building back fairer and building back safer.

I welcome the hon. Member for Manchester Central (Lucy Powell) to the shadow Front Bench, the third shadow Housing Secretary I have debated with across the Dispatch Box since I became Secretary of State. Shortly after becoming shadow Housing Secretary, her predecessor got off to a bad start by admitting to a journalist that the Labour party had no housing policies, so I would like to congratulate the hon. Lady on a noticeable change of approach. I say that cautiously, as in her first TV interview she implied that it is now Labour party policy to oppose the building of more homes, a position that she herself has advocated for many years even in her central Manchester constituency, with all its brilliant opportunities for growth and regeneration.

We are told that the Labour party is under new management—well, at least for now—and it seems that its maxim is “Tough on homes, tough on the causes of homes”, but we are going to take a different approach. It seems from the hon. Lady’s opening remarks today that the Opposition accept there is a major problem, which is welcome: they accept that there is a generational problem that we need to come together to tackle, but it does not seem that they are yet willing to support any of the policies that will actually change and improve the status quo. We cannot wish more houses to be built; we have to make it happen, and we have to accept some of the difficult choices that are required. Despite the hon. Lady’s rhetoric today, we consider this to be an issue beyond party politics; we do want to work together, as I said when we spoke the other day, and I do welcome her appointment.

No reasonable person in this House, or indeed across the country, can credibly make the case that we should not be building more homes, because all of us in this House aspire to be or are already homeowners, and we aspire for our own children and grandchildren to be homeowners as well. The property-owning democracy is one of the foundations of this country—the belief that home ownership should be achievable for all who dream of it, and that young people, irrespective of where they are born, should be able to own the keys to their own home. For too many, this uniquely British dream has proved to be out of reach, and we face a generational divide between those who own property and those who do not. By the age of 30, those born between 1981 and 2000 are half as likely to be homeowners as those born between 1946 and 1965. Too many young people are being locked out of the benefits of capitalism. As we work hard to level up the country and to bridge this home ownership divide, we must do everything we can to make home ownership accessible to even more people.

[Jim Shannon (Strangford) (DUP)]

The scheme the Secretary of State has on the mainland here is called shared ownership. We have a similar scheme in Northern Ireland in which, with £80,000, people can go on to co-ownership. It is a really good scheme; my son is in that scheme. But the Secretary of State will be aware that house prices are going through the roof. In my constituency, in the last month alone prices have been going up by 16.7%, so what extra help can be given to first-time buyers who just want to get on the housing ladder?

[Robert Jenrick]

The hon. Gentleman makes an important point, and many of the policies we are pursuing are UK-wide. They include, for example, the mortgage guarantee that is enabling young people to get on the housing ladder with 95% mortgages, which will benefit his constituents as much as it will benefit mine. Through these schemes—such as the 95% mortgages, our reformed and more consumer-friendly model of shared ownership, and the Help to Buy equity loan—we are helping more people on to the ladder. As we heard from my hon. Friend the Member for Thirsk and Malton (Kevin Hollinrake), the First homes scheme will ensure that there are 30% discounts for first-time buyers, those on low incomes and key workers such as our NHS and social care workers, veterans and young police officers to get the keys to their own property.

--- Later in debate ---

[Jim Shannon]

When it comes to the issue of land that has been banked for development, some 1 million homes are set aside for that purpose. Does the hon. Gentleman feel that there should be a timescale on when that land can be dealt with? Does he also feel that, within the land banked development plan, there should be provision for social housing for people who cannot afford housing by going for a mortgage?

[Tim Farron]

I agree with all those points. It is vitally important that land that can be used for housing is made available for affordable housing—for homes for local people that they can afford.

It is worth bearing in mind that there are other problems in the planning system. In my part of the world, south Cumbria, we have three planning authorities—the district council, the Yorkshire Dales national park and the Lake District national park. One problem there is not the overweening power of the planners, but the overweening power of developers to be able to run rings around the community. The viability assessment, for example, allows a developer to get planning permission for developing, let us say, 30 or 40 houses and then, having agreed to build a dozen or so affordable homes, to tell the planners, and indeed the local community, “We’ve changed our mind; we’ve found a few rocks, so we won’t go ahead as we had promised.” The planners’ lack of power to ensure developers do what the community wants them to do undermines local democracy and undermines the ability to deliver affordable homes to local communities.

One hugely worrying aspect of the Government’s proposals is that developers will be able to build up to 50 homes without any affordable homes among them whatsoever, which will be massively ruinous to a community such as mine where the majority of developments are smaller than 50 houses and where the average wage is less than a 12th of the average house price. I heard the Secretary of State’s offer earlier about first homes and I will take him up on his offer. In the South Lakes we will offer to be a pilot for first homes, on the understanding that it is not a replacement for the existing provision for affordable homes through the planning system. I am all ears because we need to do everything we can to ensure there are local homes for local people.

I mentioned in an intervention a desperately worrying thing. People talk about an increased number of homes being available, but in the past 12 months we have seen a reduction in the number of homes available for local people in south Cumbria, and other parts of the country as well, as second home ownership has rocketed, in part fuelled by the Government failing to think through the impact of the stamp duty holiday. Eighty per cent. of homes purchased in Cumbria in the last 12 months have gone into the second home market. They are not lived in. What does that mean for the local community? It means we are robbing that community of a permanent population.

People can talk about levelling up, but it does not look like levelling up to me when we see a school closing because there are not enough permanent homes locally to send children to that school. Levelling up does not mean very much to us in Cumbria if there is no demand for the bus service, so the old person who wants to attend a GP appointment 10 miles away cannot physically get there; and the post office shuts down because there are not enough homes in the village to sustain the post office all year round. That does not look like levelling up; that looks like the Government deciding to ignore the plight of rural Britain, including my part of Cumbria.

Therefore, I urge the Secretary of State to look at my early-day motion, which has the backing of the Lake District national park and the Yorkshire Dales national park, calling for councils in England to be given the same powers they have in Wales to increase council tax on second homes, but also to intervene to change planning law to protect first homes in communities such as mine, so those places do not become ghost towns. It is deeply troubling that there is nothing in the Queen’s Speech that allows us to tackle the explosion of second home ownership, which is undermining community in places such as mine.

I want to say a few words about the Building Safety Bill. That is an opportunity for those of us who care about those who are the victims of the staggering unfairness of the cladding scandal to seek to address it, but it would be even better if the Government were to do a U-turn now and decide not to lay at the door of those people who are blameless the price incurred by those who are guilty of recklessness and lethal decisions in both the development side and the Government regulation side of the development of properties over years. It is outrageous that we are apparently about to penalise the innocent for the failures of the guilty.

We must protect our environment, create a planning system that listens to local people and protects our landscape, and make sure that we have homes that are available and affordable for local people, so that our communities in the likes of the lakes and the dales remain sustainable. My great fear is that the Secretary of State’s plans are all about listening to the people with the power and ignoring communities such as ours, which are in desperate need of support.