Housing and Planning Bill Debate

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Department: Leader of the House
Wednesday 13th April 2016

(8 years, 1 month ago)

Lords Chamber
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Lord Lansley Portrait Lord Lansley (Con)
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I am grateful to the noble Lord for giving way. Am I missing something? Were we not told explicitly during Committee that almshouses would be exempted?

Lord Wallace of Saltaire Portrait Lord Wallace of Saltaire
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I apologise if that is the case. If almshouses are exempted that is helpful; nevertheless, the issues which the noble Lord, Lord Beecham, raised about houses specifically adapted for particular purposes remains true and very much part of the case.

The question of permanent endowment of property, which also relates to housing associations, many of which are charitable, remains at stake. There are issues here about the potential move from voluntary to a little less than voluntary, which is implied in the suggestion that the noble Lord talked about, when providing guidance. The lawyers with whom I have discussed this tell me that so long as it remains entirely voluntary, we will remain on the right side of the law. But if the guidance issued by the Government after passing the Act moved towards the border between voluntary and non-voluntary, we would indeed be risking some of the underlying principles of charitable law. My simple request to the Minister is that, in order to provide reassurance to this extremely important sector—I am sure that all Conservatives are committed to the future flourishing of the charitable third sector—she be willing to ensure that the relevant officials and Ministers meet with representatives of the expert associations so that such reassurances can be given.

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Lord Campbell-Savours Portrait Lord Campbell-Savours (Lab)
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I follow that point with a very brief intervention. Does it mean that a local authority will be told by the Government what percentage of its stock should be sold off—in other words, that there will be a target cap beyond which there is no expectation, but below which the local authority will be allowed to sell up to that cap? In other words, Westminster might be told that 60% of its stock is the cap, Camden might be told 50%, or Cambridge 20%. Is that how this will work in practice?

Lord Lansley Portrait Lord Lansley
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My Lords, in making a brief contribution, I remind the House of my interest as chair of the Cambridgeshire Development Forum. In that context I will refer specifically to Cambridge. There was a concern in Cambridge that, if there was to be a definition of “high value” by means of comparison across the country as a whole, a very high proportion of the properties in Cambridge and South Cambridgeshire in particular would be likely to be treated as “high value”. I very much welcome the amendments that my noble friend the Minister has tabled in this group. They will enable the calculations to be undertaken and the agreement to be reached for a determination in each authority, taking account of all individual circumstances.

Of course, the measure is not mechanistic. Trying to argue that “higher” becomes mechanistic is simply trying to introduce rigidity where that is not necessary. The provision as amended would allow a determination to be made in relation to each authority, specific categories of housing or different comparators. It is deliberately flexible. I listened to the noble Lord, Lord Foster, on all the questions that he said need to be answered in order to proceed. But the point is that if one began to answer all those questions, one would take away from the Government and local authorities, working together, any flexibility to adapt to individual circumstances. In doing so, his proposed Amendment 61A—I cannot find it on the Marshalled List but I interpret from his remarks that it would leave out Clause 67—would take away the opportunity to realise value from the stock of higher-value housing and unlock new build for affordable housing in local authorities, support the right to buy and, by extension through the right to buy in housing associations, offer the additional opportunities for them to undertake new building.

A Select Committee in another place might well think that everything the Government want to do must be funded out of some taxpayer subsidy but the reality is, as we all know, that there is no such magic money tree that we can continue to shake to deliver all the objectives we want. I entirely agree with my noble friend Lord Deben that we want to build more houses. Frankly, realising value out of the higher-value housing stock that becomes vacant in local authorities is precisely the mechanism for this. That realised value can then be deployed with a multiplier effect to enable local authorities and housing associations, as a result, to build more houses. I thoroughly support that.

Lord Shipley Portrait Lord Shipley
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My Lords, before the Minister replies, I would like to be really clear about what is being said—in part, following what the noble Lord, Lord Porter, said a little while ago. I understand from what the Minister told us that there will be a further amendment at Third Reading on the matter of high-value homes. I would appreciate confirmation of that when she replies. Will the Government leave with local authorities enough money from the sale of higher-value homes to build replacement homes? That is what I heard the noble Lord, Lord Porter, say but that is not explicitly stated in the letter we received just before 3 o’clock this afternoon. I would just like to be really clear about that one-for-one replacement. One of our concerns in Committee was that there was to be a two-for-one replacement in London but not—in the Bill—a one-for-one replacement in the rest of England. I think the House would find it helpful to know exactly what the Government propose here.