Housing Benefit (Under-occupancy Penalty) Debate

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Department: Department for Work and Pensions

Housing Benefit (Under-occupancy Penalty)

Lindsay Hoyle Excerpts
Wednesday 27th February 2013

(11 years, 2 months ago)

Commons Chamber
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Andy Sawford Portrait Andy Sawford (Corby) (Lab/Co-op)
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If the hon. Gentleman’s proposition in setting out the context—on which he and I profoundly disagree—is that those who, in effect, should foot whatever difference there is between us in public finances are the people affected by this bedroom tax, I must say that he is absolutely wrong. May I give him the specific example of my constituent Cheryl Maskens? Cheryl Maskens was homeless and was offered a two-bedroom property. Had she refused that property she would have been told that she had not accepted re-housing. Should she be the person who loses out in this scenario?

Lindsay Hoyle Portrait Mr Deputy Speaker (Mr Lindsay Hoyle)
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A lot of Members want to speak and we are only up to the Front Bench speeches. Can Members make sure that if there are to be interventions, they are short? Those who want to catch my eye but intervene too much will go down the list, and they will understand why.

Steve Webb Portrait Steve Webb
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I am grateful, Mr Deputy Speaker.

On the analysis that the hon. Gentleman says he profoundly disagrees with, he made two comments and I will address them both. He disagrees with the analysis that there was a deficit of £150 billion, when the right hon. Member for Birmingham, Hodge Hill (Mr Byrne) famously left a note for his successor saying that there is no money left. The hon. Gentleman may not be aware—I do not know—that the previous Labour Chancellor set out spending plans for this Parliament, which involved tens of billions of pounds of spending reductions. The two biggest things on which the Government spend money are paying their employees and paying benefits. We have already squeezed public sector pay. The Opposition initially opposed and now accept that policy. The second biggest item of Government spending is benefits, tax credits and pensions. If the hon. Gentleman can tell us how we can save tens of billions of pounds from public spending without touching benefits, tax credits and pensions, I would like to hear from him. He has not given us that answer.

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Gordon Banks Portrait Gordon Banks
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On a point of order, Mr Deputy Speaker. A minute ago the Minister said that these were Labour cuts. May I seek your advice and clarification about who is in government?

Lindsay Hoyle Portrait Mr Deputy Speaker (Mr Lindsay Hoyle)
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That is not a point of order, but the hon. Gentleman has certainly put his point on the record.

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Lindsay Hoyle Portrait Mr Deputy Speaker (Mr Lindsay Hoyle)
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Order. I knew the difference between the two Members who rose, but with both standing I was not sure to whom the Minister was giving way. I do not need any advice from Mr Brown on this occasion.

Steve Webb Portrait Steve Webb
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We got the right one, as it were.

We are all in favour of incentives to encourage people to make better use of the housing stock, and I welcome any measures the hon. Member for Swansea West (Geraint Davies) took to that effect, but they have not worked. We have 1 million spare bedrooms among people on housing benefit. The changes have simply not worked on the necessary scale—

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Lindsay Hoyle Portrait Mr Deputy Speaker (Mr Lindsay Hoyle)
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Order. Secretary of State, you cannot be standing up at the same time as the Member who has the Floor. I am sure the right hon. Member for Birmingham, Hodge Hill (Mr Byrne) is willing to give way. You should both have a little patience with each other. We do not want to end up bickering across the Dispatch Box, do we? Is Liam Byrne giving way?

Liam Byrne Portrait Mr Byrne
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I am very happy to give way, but let me tell the Secretary of State that the House will draw little comfort from the fact that people on remand for these offences will still be exempt from this policy.

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Lindsay Hoyle Portrait Mr Deputy Speaker (Mr Lindsay Hoyle)
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Order. I am sure that the hon. Gentleman did not mean to use the word “hypocritical” and that he is now going to withdraw it and carry on with his question.

Stephen Doughty Portrait Stephen Doughty
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I will withdraw it, and I apologise, Mr Deputy Speaker. It is extraordinary for the Secretary of State to be talking about this measure when he is putting many of our housing associations and registered social landlords at risk. Moody’s downgraded housing associations’ credit ratings this week, which means that they are not going to be able to invest either in the properties they have or in building new ones, as my hon. Friend the Member for Swansea West (Geraint Davies) just said.

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Lindsay Hoyle Portrait Mr Deputy Speaker (Mr Lindsay Hoyle)
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Which one does the hon. Gentleman want to give way to?

Kris Hopkins Portrait Kris Hopkins
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I will give way to the one with less hair.

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Yasmin Qureshi Portrait Yasmin Qureshi (Bolton South East) (Lab)
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Thank you, Mr Deputy Speaker, for calling me to speak in this debate.

The right hon. Member for Wokingham (Mr Redwood) said that the Opposition have many soundbites and that the Government should develop some of their own. Perhaps the Government are not able to develop soundbites because they have nothing good to say about this measure.

I have listened to the many Members who have contributed to this debate. On the face of it, the Government’s proposals sound logical. There are apparently 1 million bedrooms going spare in this country. The argument is that people should not be able to carry on living in homes that have too many bedrooms, but should be moved to smaller homes. That sounds sensible and practical, but it does not reflect the reality on the ground. Few homes fall into the category of a two or three-bedroom house that is lived in by a healthy, fit person but is under-occupied. Most of the so-called spare bedrooms are needed by the people who live in those homes.

I say that not because I am in any party political grouping, but because of what my constituents have said to me in my surgery and in letters. I can honestly say that none of the people who have contacted me fall into the criteria that the Government are presenting. I will share with the Ministers and other Members of the House the experience of the constituents who have spoken to me.

A number of the constituents who have spoken to me are single parents whose children do not live with them for seven days a week, but stay with them for two or three days, depending on the arrangements made by the court. People in that situation who live in a two-bedroom place will be severely affected by these provisions. What will parents who do not have the money to go into private rented accommodation or buy a home with the right number of bedrooms say to their children? They will have to say, “Sorry, you can’t come to stay because I have to go to a one-bedroom flat. I will not be able to spend quality time with you. I will not be able to develop a proper relationship with you as other mothers and fathers can with their children.” That is the kind of situation we are talking about.

The hon. Member for North East Somerset (Jacob Rees-Mogg) said that anybody who has a bar outside their home can be described as disabled. The people who have come to me have been elderly or very unwell and have homes that have been adapted substantially at a cost of thousands of pounds. They are often quite small properties, but may have one tiny room that is counted as a spare bedroom and has just enough space to store their wheelchair, commode, Zimmer frame or other equipment that disabled and unwell people often have.

Such people tend to be in social housing. Everybody who knows about social housing knows that they are small homes. That is certainly the case in my constituency. Even if they are two-bedroom flats, they tend to be very small, but people need a bit of space to be able to manoeuvre. What should I say to the constituents who write to me because they are being told that they will have to find somewhere else to live, but do not have £700 or £800 a year to pay for it? What about parents with two children of the same gender? They may have three bedrooms but they will be tiny rooms and the two children—two girls or two boys—will be in one little room where they cannot do anything except perhaps sleep on camp beds or bunk beds and they cannot have a proper room. Do we tell such people, “No, you’ve got to go; you cannot stay in this house and if you do you must pay £800”? That is the reality on the ground.

Foster parents have been mentioned but what was said about it being easy for someone to register as a foster carer and get an extra room is just not the case. People must go through high-level checks, training and vetting that can take months or even years before they are assessed as suitable to be a foster carer. To suggest that someone would become a foster carer to avoid moving out of their home or to claim an extra bedroom does not fit reality.

Many Members have touched on particular groups of people, and again I ask the Minister to reconsider this measure. The hon. Member for Leeds North West (Greg Mulholland) mentioned a number of concerns that need to be addressed but I do not want to repeat points about discretionary issues and other ways that the bedroom tax will impact on people. At the moment, this is a compulsory scheme and a matter of law so if people have a spare bedroom, they will end up paying money unless they can argue for discretionary help. As has been said, on 1 April people will be faced with a choice of what happens and will end up with bills. They will then have to go to their local housing association or council and see whether they fit the criteria required to get some help. If they do not get that help, what will happen?

What happens when the £30 million set aside for this scheme is gone? Will more money be put into the fund so that people continue to benefit from it? Instead of a statutory scheme, would it not be better to work with councils and housing associations to try first and foremost to work out whether housing need can be reorganised and people placed in the homes that are appropriate for them? At the end of that process there may be some people who wilfully do not want to move, some who live in a massive home or there may be a single person of good mental and physical health living in a two or three-bedroom house and they might not be worried. However, they make up a tiny minority of those who have the so-called 1 million spare bedrooms. The majority of people—98%— fall into different categories.

Of course there is a need to address people who are waiting to be housed appropriately in proper homes or in accommodation that fits and meets their need. I have constituents in a similar situation. People suggest this is an unusual idea, but the way to tackle the problem is to consider a home-building programme. It is all very well hon. Members saying that one Government did not do that, another Government sold council houses and another should have done more, but we are where we are now. Instead of looking back at what could have happened five, 10 or 20 years ago, why not deal with our current problem of acute housing shortage? Doing that will not involve subsidised housing because, as everybody knows, the cost of building a house on a piece of land is not as much as the value of the property once it is put up for sale. Bricks and mortar do not cost as much as a house, the value of which can be over-inflated. When groups of people or associations and voluntary bodies get together and start building homes, they can pay for those houses so that the Government or state do not have to subsidise them. We must encourage local authorities and such groups to invest and allow house-building programmes to provide housing and help to regenerate the economy.

The measure is compulsory, but I urge Ministers to think about encouraging local authorities and housing associations to get together to deal with the people who will be affected. Constituents who are disabled and unwell write to me. One gentleman told me that he has one tiny bedroom, which will be considered spare, but he needs a commode, a Zimmer frame and a wheelchair. He cannot house that equipment in his tiny little—

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William Bain Portrait Mr Bain
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Briefly.

Lindsay Hoyle Portrait Mr Deputy Speaker (Mr Lindsay Hoyle)
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Order. I should have reduced the time limit but did not, on the off-chance that there would not be too many interventions. I warn Members that I will now have to reduce it, and if they are upset it is due to the number of interventions.

Geraint Davies Portrait Geraint Davies
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In a nutshell, the cost of reducing the tax threshold by £1,000, which gives taxpayers £6 a week, is £5 billion, 10 times what is being saved here. If someone who is very poor looses £7.50 a week through the empty bedroom tax, someone else is being given £6. Does that not illuminate the Government’s priorities: hitting the poor and letting the middle class off?

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Pete Wishart Portrait Pete Wishart
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claimed to move the closure (Standing Order No. 36).

Question put forthwith, That the Question be now put.

Question agreed to.

Main Question accordingly put.

The House proceeded to a Division.

Lindsay Hoyle Portrait Mr Deputy Speaker (Mr Lindsay Hoyle)
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I ask the Serjeant at Arms to investigate the delay in the No Lobby.