Housing: Social Rent

Lord Best Excerpts

Tuesday 4th June 2019 Lords Chamber

[Lord Bourne of Aberystwyth]

My Lords, I certainly agree with the noble Lord that there is a challenge. We have just had the best year of housing delivery for 30 years, bar one year, but that is not to be complacent. There is certainly a challenge; I accept that we need to build more social homes. The raising of the £2 billion budget will certainly help in that regard, as will the elimination of the HRA borrowing caps.

[Lord Best (CB)]

My Lords, the Affordable Housing Commission, which I have the honour of chairing, has been looking at issues around affordability. Our evidence clearly demonstrates that rents, not just in the private sector but increasingly in the social sector, are leading people into all kinds of serious difficulties, such as debt, arrears, personal problems and indeed homelessness. Does the Minister agree—with the CSJ, the housing commission, Shelter and so many others—that we need more social housing but at genuinely affordable rents, which are less than the rents that housing associations are required to charge today, otherwise this will cost the Government greatly in housing benefit, homelessness, temporary accommodation and, indeed, the misery of the people affected?

[Lord Bourne of Aberystwyth]

My Lords, as always, the noble Lord makes a powerful point and speaks from great experience. He is right that the current welfare budget, excluding pensions, is £119 billion per annum—a large amount. We have to be conscious of the link between housing and welfare, so I take the point. However, I am sure he will appreciate that the affordability measure enables us to provide more housing. It is about getting that balance right.