Oral Answers to Questions

Kris Hopkins Excerpts

Monday 10th November 2014 Commons Chamber

[The Parliamentary Under-Secretary of State for Communities and Local Government (Kris Hopkins)]

We have invested more than £500 million to prevent and tackle homelessness. Homelessness statistics reported by local councils are published by the Department and they show that 3,670 children were in bed-and-breakfast accommodation on 30 June.

[Fiona Mactaggart]

Slough council made strenuous efforts to avoid the use of bed-and-breakfast accommodation for children, and before 2010 it had abolished it. However, I estimate that in the past two years some 60 children have been placed in bed-and-breakfast accommodation in this area of high housing need. Will the Minister meet the Under-Secretary of State for Education, the hon. Member for Crewe and Nantwich (Mr Timpson), who has responsibility for children, to discuss how we can avoid using bed-and-breakfast accommodation for children? They do not learn how to eat at a table and are often pushed out of their homes during the day and end up in expensive cafés. What is the Minister going to do to end this situation?

[Kris Hopkins]

First of all, we already do meet as a ministerial group. The number of homeless acceptances has dropped by 2% this year. There are eight people in bed-and-breakfast accommodation in Slough and nobody has been in those bed and breakfasts for more than six weeks.

[Emma Reynolds (Wolverhampton North East) (Lab)]

Earlier this year the Minister told the House that the number of homeless families with children in bed-and-breakfast accommodation had dropped compared with the previous year and that that was

“a direct consequence of this Government’s intervention”.—[Official Report, 30 June 2014; Vol. 583, c. 588.]

Since then, however, the Government have released figures that show that the number has, in fact, increased to a 10-year high. Given that the Minister took credit for the fall in the numbers, will he now take responsibility for the increase? Crucially, what is he going to do to help those families with children?

[Kris Hopkins]

The number of families with children in bed-and-breakfast accommodation has dropped by a third since Labour was in power, the peak being in 2002. We have put in a significant amount of money where there are issues in councils, and we have reduced bed-and-breakfast acceptances by some 96% where we have intervened.

[Henry Smith (Crawley) (Con)]

6. What steps his Department is taking to support community pubs.

[The Parliamentary Under-Secretary of State for Communities and Local Government (Kris Hopkins)]

In last year’s autumn statement we announced a £1 billion package of business rate support, which included a £1,000 discount for small businesses with rateable values above £50,000. That is benefiting three out of four pubs.

[Henry Smith]

I am grateful to my hon. Friend for that answer and for the work the Government have done on reducing the burden of business rates. Will he consider further reform, such as standardised billings and an appeals process, to reduce yet more of the burden on small businesses and community pubs such as the Charcoal Burner in Furnace Green?

[Kris Hopkins]

I commend my hon. Friend on his work in supporting the pub industry. As well as the £1 billion package to help bills, we are considering ways in which the regime could be improved through a review of our business rates administration. We are also looking at ways to speed up the appeals process, to make it more transparent for businesses.

[Clive Efford (Eltham) (Lab)]

The problem with pubs in inner-city areas such as London is that the land they sit on is so valuable that they fall prey to property developers who want to build houses, as has happened to the Dutch House public house in my constituency. Is it not about time that we told developers that they are not going to take away these assets, which are highly valued by local communities, just for their profits? Will the Minister take some action to ensure that we protect pubs in such a situation?

[Kris Hopkins]

We have already put in place a community right to bid process. As well as discounts for the associated business rates, councils can use article 4 directions if they want to shape their particular community and to shape how such businesses are established. The hon. Gentleman is right that the pub plays a really important role in the community. The good news is that beer is 8p cheaper as a consequence of this Government.

[Sir Nicholas Soames (Mid Sussex) (Con)]

Is my hon. Friend aware of the serial bad behaviour by the Co-op in my constituency and others in the south, where it is taking over pubs and converting them into shops, often on very unsatisfactory sites? The Ship Inn in Cuckfield in my constituency is uniquely badly placed to serve as a Co-op. Will he look at what he can do to review the article 4 direction scheme, and to give general instructions about where such shops should be sited?

[Mr Speaker]

That was a splendidly detailed question. There was I thinking that the right hon. Gentleman was going to tell us about the champagne and oysters that he consumes in his community pub, but I was wrong.

[Kris Hopkins]

I commend my right hon. Friend for his support of the local pub. The article 4 direction scheme is strong, and it gives councils the opportunity to intervene. I know that there is a passionate campaign to support the Ship Inn. I would welcome the opportunity to meet the campaigners, and I will try to support them where I can.

[Kevin Barron (Rother Valley) (Lab)]

Other things threatening public houses include not just the issue of business rates, but the cost of alcohol compared with the discounts that people get in their local shops and supermarkets. Has the Minister had any discussions with his colleagues about changing the price of alcohol in this country, as has been recommended, to protect not just people’s health but the local village pub?

[Kris Hopkins]

All sellers of alcohol have a responsibility to make sure that they promote responsible alcohol consumption, which the Government are encouraging. There is a consultation on alcohol pricing, which is still under consideration.

[Greg Mulholland (Leeds North West) (LD)]

No one wants this Government to be shown to be the most pro-pub Government ever more than me, but that is not going to happen while this ministerial team continue not to change the rules whereby a pub can become a supermarket without needing to go through the planning process. Will the new Minister with responsibility for community pubs tell us that he will finally stop this scandal, which is robbing communities of pubs up and down the country?

[Kris Hopkins]

I am afraid that I must disagree with the hon. Gentleman, because nobody in the House is more enthusiastic about supporting pubs than me. There are powers through an article 4 direction to protect a location, and there is an opportunity through the community right to bid to support a treasured local site. I suggest that he works with the local council to make sure that he secures such assets.

[Sir Hugh Robertson (Faversham and Mid Kent) (Con)]

Will the Minister acknowledge the contribution made to many small community pubs by independent family brewers? Will he speak to his counterparts in the Department for Business, Innovation and Skills to ensure that the concession achieved for them during the passage of the Small Business, Enterprise and Employment Bill is carried through and that they are excluded from the regulations?

[Kris Hopkins]

Having several small brewers in my constituency, I know that they make a huge contribution to the local economy. I am more than willing to have the conversation for which my right hon. Friend has asked.

[Sir Tony Baldry (Banbury) (Con)]

7. How many small firms and shops in (a) England and (b) Cherwell district council area have been affected by the reduction in business rates.

[Charlie Elphicke (Dover) (Con)]

15. How many small firms and shops in (a) England and (b) Dover have been affected by the reduction in business rates.

[The Parliamentary Under-Secretary of State for Communities and Local Government (Kris Hopkins)]

Our £1 billion business rates support package includes a £1,000 discount for smaller shops, pubs and restaurants. That will benefit more than 300,000 premises in England, including 430 in Cherwell and 580 in Dover. We are also doubling small business rate relief for a further year, which will benefit about 575,000 businesses, with 385,000 businesses paying no rates at all. That will help 1,100 small businesses in Cherwell, and 1,300 small businesses in Dover.

[Sir Tony Baldry]

Has not the introduction of the business rate retention scheme given local authorities the ability to offer business rate discounts to help attract firms, investment and jobs? Is not the fact that local authorities now directly and locally retain half the business rates a strong incentive for councils to encourage businesses and enterprises to set up in their areas?

[Kris Hopkins]

Councils have a huge responsibility to promote local businesses, whether that involves getting the skill set right or using the discretionary powers that we have given them. I know that businesses and councils, particularly Conservative councils across the country, are responding positively.

[Charlie Elphicke]

May I welcome all the Government have done to help high streets such as that of Deal, in my constituency? Will Ministers condemn the Local Government Association group leader who has been going up and down the land telling councils to hike taxes and business rates, which will devastate our high streets and increase the cost of food?

[Kris Hopkins]

I congratulate my hon. Friend on his work to promote Deal high street, which has been a tremendous success. Most recently, Deal topped the polls as Britain’s best coastal town as voted for by readers of The Daily Telegraph. The instinct of the Labour party is to tax businesses, ours is to encourage and grow local businesses by offering tax breaks.

[Alison Seabeck (Plymouth, Moor View) (Lab)]

Will the Minister explain who sets the business rates?

[Kris Hopkins]

Local authorities have been given the opportunity to shape their tax base.

[Caroline Lucas (Brighton, Pavilion) (Green)]

8. What recent assessment he has made of the availability of affordable housing in Brighton and Hove.

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[Robert Neill (Bromley and Chislehurst) (Con)]

9. When his Department plans to issue a final response to the consultation entitled “Opportunities for collaboration, cost savings and efficiencies”; launched in May 2014, on the local government pension scheme.

[The Parliamentary Under-Secretary of State for Communities and Local Government (Kris Hopkins)]

Our consultation outlined how £660 million a year could be saved if local government pension funds were invested more efficiently. We will publish a response in due course. Many funds have already started to take the messages from the consultation on board.

[Robert Neill]

I hope that “due course” will not be too long delayed, because my hon. Friend is absolutely right to recognise the significant savings that have been made to taxpayers and scheme members by the agglomeration of vehicles. When he takes on board the consequences of the consultation, will he particularly bear in mind the value that can be brought by collective investment vehicles, which can achieve some 90% of those savings without significant administrative upheaval and can provide useful vehicles for wider investment?

[Kris Hopkins]

The consultation considered how some £240 million could be saved by creating combined investment vehicles. It should be noted that London borough councils have already taken that on board and some 30 councils have come together after their council meetings and have agreed to bring those funds together.

[Maria Miller (Basingstoke) (Con)]

10. What assessment he has made of the effect on council tax payers of freezing the rates of council tax.

--- Later in debate ---

[The Parliamentary Under-Secretary of State for Communities and Local Government (Kris Hopkins)]

Local council tax support schemes are a matter for local authorities. An independent review of schemes will be carried out within three years, as set out in legislation.

[Mr Hepburn]

The changes to council tax benefit that the Government have brought in are every bit as cruel as the evil bedroom tax and Thatcher’s poll tax. My local citizens advice bureau tells me that its new referrals to food banks have gone up from two a month to 10 a week. When will the Government stop attacking the poor?

[Kris Hopkins]

One way in which we can get people to stop using food banks is to get them into a job, and this Government have delivered 1.8 million jobs for those individuals.

[Andy Sawford (Corby) (Lab/Co-op)]

The New Policy Institute says that more than 200,000 families have been hit by both increases in council tax, due to the withdrawal of council tax support, and the bedroom tax. Will the Minister make a proper assessment of that tax double whammy on the least able to pay, and will he tell us why he is so keen to increase taxes on the poorest people?

[Kris Hopkins]

This Government have frozen council tax for some five years, and in real terms it is 11% less than it was, which equates to a saving of more than £1,000 for an individual household. That is the Government’s track record.

[Chi Onwurah (Newcastle upon Tyne Central) (Lab)]

16. What level of reduction there has been in (a) his Department’s budget and (b) centrally-funded local authority budgets since May 2010.

[The Parliamentary Under-Secretary of State for Communities and Local Government (Kris Hopkins)]

We needed to make sensible savings to address Labour’s deficit. Local authority net current expenditure in England, excluding education, has risen from £74.7 billion in 2009-10 to £77.1 billion in 2013-14. At the time of the spending review, the budget for the core Department was reduced to £15.9 billion, reflecting an overall saving of 68%.

[Chi Onwurah]

Since this Government took office, Newcastle has had its budget cut by 41% in real terms—almost half. My constituents are losing £115 per dwelling, while more affluent areas such as Surrey and Wokingham are gaining up to £20 extra per dwelling despite having less pressure on services. Will the Minister make a commitment to come to Newcastle to see the effects that his budget cuts are having on local services, and to explain to the people of Newcastle how they are fair?

[Kris Hopkins]

I have had the pleasure of visiting the great city of Newcastle many times this year. It has the opportunity to invest money, support vulnerable individuals and spend further on public services by growing its business base. As a direct consequence of this Government’s interventions, 6,300 businesses have gained from our business tax discount.

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[Liz McInnes (Heywood and Middleton) (Lab)]

T2. Responding to a Centrepoint report quoted in The Independent last week, the homelessness Minister said that the number of people sleeping rough was falling dramatically and claimed that it was a result of the Government’s action. Given that his Department’s own figures show that the level of rough sleeping has risen every year under this Government and is up 37% since 2010, will he repeat his claim to the House and take responsibility for this dramatic change in levels of rough sleeping?

[The Parliamentary Under-Secretary of State for Communities and Local Government (Kris Hopkins)]

The Government take the plight of individuals who are homeless and rough sleeping extremely seriously, which is why we support the No Second Night Out project and have invested £1 billion through homeless services and welfare reform to address the problem. Levels of homelessness have dropped by 2%. Rough sleeping figures across the country are variable, but the Government take the issue extremely seriously and will continue to support those vulnerable individuals.

[Sir Oliver Heald (North East Hertfordshire) (Con)]

T9. Has the Minister seen the disturbing reports from Tower Hamlets that £400,000 was given to organisations that did not meet minimum standards and that council land was sold off to friends of the administration? The mayor, Mr Rahman, says they have done nothing wrong, but surely this has to be tackled—a very serious situation has arisen.

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[Mr Andrew Robathan (South Leicestershire) (Con)]

I understand that the Secretary of State is calling in almost all onshore wind farm applications and turning most of them down, including those already approved by the planning authorities. Given the majority of the people of this country say, when polled, that they are broadly in favour of onshore wind projects, will the right hon. Gentleman explain his Department’s policy on this matter?

[Kris Hopkins]

If my right hon. Friend will forgive me, I need to correct him. There have been just over 800 applications for solar and wind farms, of which some 40 have been recovered and only four have ever been called in.

[Sammy Wilson (East Antrim) (DUP)]

The continuing firefighters’ dispute in England is both damaging and avoidable. Will the Minister look at what has happened in Northern Ireland, where the Northern Ireland Executive have come to an agreement with the firefighters that is neither costly nor damaging? Will he adopt the same common-sense approach here as has been adopted in Northern Ireland, Scotland and Wales?