Oral Answers to Questions

Karen Buck Excerpts

Monday 19th June 2023 Commons Chamber

[Mr Speaker]

We are only on Question 2, so I am a little worried about how long it is taking. I call the shadow Minister.

[Ms Karen Buck (Westminster North) (Lab)]

The Government’s mortgage crisis is about to be the next blow to hit renters, because so many are renting from those with buy-to-let mortgages. Already, 49%—almost half—of children in privately rented homes with parents receiving universal credit are in absolute poverty, to take the Government’s preferred measure, and as we know, many of those parents work. Since then, rents across the country have risen by 9.5%, but the local housing allowance has risen by 0%. What does the Minister think is going to happen to low-income families with children in the private rented sector this year?

[Mims Davies]

Those struggling with mortgage payments should engage with their mortgage lenders. We have abolished the zero earnings rule to allow claimants to continue to receive support while in work or on universal credit, and there is support for mortgage interest rates out there, so please do reach out. In fact, £25 million was paid in loans to 12,000 households in 2021-22, in order to support low-income homeowners. Over 200,000 low-income homeowners have been supported, and that has been a focus, but I understand the point that the hon. Lady makes. I assure her and the House that this is something that the Secretary of State and I are working on, as well as the Department for Levelling Up, Housing and Communities—it is not solely an issue for my Department—but I take on board her points.