Housing (Right to Buy) (Limits on Discount) (England) Order 2024

Lord Berkeley of Knighton Excerpts

Tuesday 10th December 2024 Lords Chamber

[Lord Jamieson (Con)]

My Lords, I draw Members’ attention to my interests as detailed in the register, including being a councillor in Central Bedfordshire, which has its own housing HRA. I very much support my noble friends’ comments regarding the opportunities that right to buy has given to so many people, but I will highlight the fact that this is an issue not of the sale of council homes but of a complete failure to build.

There are 4.25 million affordable homes—an increase of some 35,000 over the last two years, even with the sale of around 30,000 affordable homes in that period. I am pleased that the last Government had the 100% retention of right-to-buy receipts, which facilitated councils building homes. If we are to build the homes that we need, it is essential to maximise all avenues to building more homes. Allowing tenants to buy their own homes with a reasonable incentive and reinvesting the proceeds in new homes is an opportunity for more, not fewer, homes.

I will give the example of my own council, and I will trump my noble friend Lord Fuller because Central Bedfordshire was at 1.5%, not 1%. I am proud that, as leader of Central Beds, we had a proactive council house building programme. For example, in the period 2021-23 we built 259 homes and acquired a further 76, and we sold 82 under the right-to-buy rules —a net increase of 253. Without the proceeds from right to buy we would have ended up building substantially fewer homes. That would have meant tens of families—possibly even 100—not having a home because we would not have had the right-to-buy proceeds. That is important, because it gives more people the opportunity for an affordable rented home.

I reiterate: the ability to reinvest proceeds from right to buy is an opportunity to provide more, not fewer, homes. The issue is one of getting homes built, which should be the focus, not curtailing opportunity.

[Lord Berkeley of Knighton (CB)]

My Lords, from listening to this debate, I recognise that there is a certain amount of agreement around the Chamber. It seems, as we heard from the noble Lord, Lord Porter, that this is very much a question of balance. Of course right to buy was a wonderful thing for many people, but the right to have a roof over your head is also pretty important. Therefore, if you take it too far and there are no council houses to put vulnerable people into, you will have a real problem. It seems there is a consensus that could lead to the right way forward—namely, the right amount of houses being available for right to buy but preserving enough and, as has been said, building more to protect fragile communities.

[The Parliamentary Under-Secretary of State, Ministry of Housing, Communities and Local Government (Baroness Taylor of Stevenage) (Lab)]

My Lords, I thank the noble Earl for bringing this debate. We are in the middle of the most acute housing crisis in living memory. Too many are left without access to a safe and secure home.

To the noble Lords who have been leaders of councils, I say: so have I. For many years as a council leader, I struggled really hard to persuade our treasurer to find the funds to build homes, only to see them sold for less than it cost us to build them. That is why the Government are committed to working with councils and other providers of social housing to deliver the biggest increase in social and affordable housing in a generation.

We have heard much about aspiration. For the over a million people sitting on those waiting lists for a long time and the 117,000 families in temporary and emergency accommodation, social housing is their aspiration. Our job as a Government is to get the balance right between offering homes for sale and retaining stock for social rent. That balance is critical to solving our housing crisis.