Local Authority Housing

Jim Shannon Excerpts

Wednesday 20th December 2017 Commons Chamber

[Dr Drew]

I totally accept that. The point I am making to the Minister is that Stroud has reached the cap. We are trying to do our bit to overcome the immediate housing problems in Stroud, and yet we are unable to build any more houses. The situation is made worse, however, by the fact that 70% of the money goes back to the Government whenever a unit of council accommodation is sold under right to buy. We have bought the stock, and we are trying to do our bit, but we face a borrowing cap that has been totally imposed on us without any consideration of the value of the asset that we have. Then, the Government still reap the benefits from our accommodation when units are sold, so I ask the Minister to consider that. If we are to be part of the solution, how is that an incentive? How is that fair? How is it in any way reasonable?

[Jim Shannon (Strangford) (DUP)]

I thank the hon. Gentleman for securing this debate. The situation is slightly different in my constituency back in Northern Ireland. Some 1,000 people are on the priority list, with some 4,000 on the list overall, so there is a real need for housing. One of the key sources of need in my constituency—I suspect things are the same in the hon. Gentleman’s constituency—comes from young married couples who cannot buy a house because houses are too dear, so they need social housing. Does the hon. Gentleman have the same problem in his area? Other than by building more social housing, which is what he and I want, how could the Government address the issue?

[Dr Drew]

Of course I want to build more social units. The leader of Stroud District Council—Councillor Steve Lydon, who is a good friend of mine—came to see the shadow Housing Minister and has written to the Prime Minister to ask for help with this particular problem. We are pleased to be a pilot area for business rates retention. That helps with the problem of potentially negative revenue support grants, which affected our ability to do some of the things that we would like to do with housing, but this is a different matter. This is about the housing revenue account and about allowing Stroud the freedom to go on and do what the Government want local authorities to do, which is to provide the answer to the immediate housing problems. This is about having the vision to look back and to look forward.

The last time we genuinely met housing targets was in the 1950s, when that well-known socialist Harold Macmillan was able to prove that public authority housing was the best way to deal with a housing crisis. He was convinced of that, and I am convinced that we can play our part.