Oral Answers to Questions Debate

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Oral Answers to Questions

Lord Stunell Excerpts
Monday 30th January 2012

(12 years, 9 months ago)

Commons Chamber
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Charlie Elphicke Portrait Charlie Elphicke (Dover) (Con)
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6. What plans he has to return empty homes to use.

Lord Stunell Portrait The Parliamentary Under-Secretary of State for Communities and Local Government (Andrew Stunell)
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We have put in place powerful tools and incentives to support local communities to tackle empty homes. The Government published “Laying the Foundations—A Housing Strategy for England” on 21 November 2011. This sets out our plans for tackling empty homes.

Bob Russell Portrait Sir Bob Russell
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I thank the Minister for that reply and I congratulate the coalition Government on taking action after 13 years of failure. While I welcome the empty homes premium and the empty homes fund—and bearing in mind that the borough of Colchester has 2,024 empty houses, 591 of which have been empty for more than six months—may I urge him to bring more pressure to bear on local authorities, especially as 2,000 dwellings is roughly the size of a sprawling estate, land for which is short and which would be a planning and environmental disaster if it went ahead?

Lord Stunell Portrait Andrew Stunell
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I certainly agree with my hon. Friend that it is a scandal that there are so many empty homes, especially if they are empty for more than six months. The total at the moment is 270,000 across the country, but the good news is that that is a reduction of 21,000 in the last year. It is important to tackle the problem and that is why we have committed £150 million to bringing empty homes back into use. I am sure that his friends in Colchester will want to take advantage of that.

Julian Huppert Portrait Dr Huppert
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Will my hon. Friend join me in congratulating councillors Sian Reid and Catherine Smart of Cambridge city council on their work to reduce the number of empty homes in Cambridge since 2004? The Government’s £150 million empty homes fund is welcome. How can Cambridge city council access it in order to get even more empty homes back into use?

Lord Stunell Portrait Andrew Stunell
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Local authority bids will be invited shortly for the £100 million that we have announced for providing affordable housing, and I hope that Cambridge will be right there. We are currently drawing up the criteria for the £50 million to tackle the worst concentration of empty homes. I also know that several community and voluntary groups in the east of England have their eyes on Cambridge.

Charlie Elphicke Portrait Charlie Elphicke
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Although the number of homes empty for six months in the Dover district has fallen sharply, to 872, do Ministers agree that a lot more work is needed to undo the damage of the past in Dover? In 2005, there were 674 empty homes. I urge the fastest possible action. During the same time, the social housing waiting list has grown by 14%.

Lord Stunell Portrait Andrew Stunell
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I absolutely agree with my hon. Friend that it is an urgent task to get empty homes back into use, particularly affordable use. Often, the waiting lists facing many local authorities could be shortened if authorities tackled empty homes vigorously. That is why we have provided the new homes bonus as a reward and are investing £100 million to switch empty homes to affordable homes.

Gloria De Piero Portrait Gloria De Piero (Ashfield) (Lab)
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Does the Minister accept that making use of empty homes is vital not just to tackling homelessness but to protecting the green belt from house building?

Lord Stunell Portrait Andrew Stunell
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The hon. Lady is absolutely right. An empty home already has planning permission and is capable of use without all the aggravation often created by new development. More than that, an empty home is often the cause of antisocial behaviour and other problems in a community, so it is a double win; in fact, a treble win. I agree entirely.

Bill Esterson Portrait Bill Esterson (Sefton Central) (Lab)
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Sefton has a shortage of land for building houses but has 6,000 empty homes. Why do the Government not let councils such as Sefton include those homes in their housing strategy? That would also be a way to protect the green belt and urban green space.

Lord Stunell Portrait Andrew Stunell
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I strongly urge Sefton council to develop a stronger policy on tackling empty homes. I hope that with the incentives that we have provided—the new homes bonus, the investment in affordable housing and the £50 million available to tackle the worst concentration of empty homes—it will do exactly that. The matter that the hon. Gentleman raises really relates to issues in the national planning policy framework and his council’s core strategy. I suggest that he watch this space.

Luciana Berger Portrait Luciana Berger (Liverpool, Wavertree) (Lab/Co-op)
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Although dealing with empty homes is one way to address the housing crisis, what is the Minister doing to build more homes, particularly as the net supply, housing starts and housing completes have all fallen?

Lord Stunell Portrait Andrew Stunell
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First, we have commissioned a social and affordable housing programme, which will deliver 170,000 homes during this Parliament, resulting in more social and affordable homes at the end of this Parliament rather than a reduction, as happened under the Labour Administration. Secondly, the new homes bonus was paid out on approximately 160,000 new and returned empty homes in the past 12 months, and we are determined to increase that rate dramatically.

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Grahame Morris Portrait Grahame M. Morris (Easington) (Lab)
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8. What assessment he has made of the potential effects on lower-income households of his planned localisation of and changes to council tax benefit.

Lord Stunell Portrait The Parliamentary Under-Secretary of State for Communities and Local Government (Andrew Stunell)
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On 19 December my Department published an impact assessment setting out the Government’s assessment of the impacts of the reform of council tax support.

Grahame Morris Portrait Grahame M. Morris
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The Secretary of State has told councillors that they have a “moral duty” to freeze council tax this year, but at the same time he plans a cut of £500 million, or 10%, to council tax benefit for the poorest, so that the only people to face rising council tax bills next year in constituencies such as mine will be the most deprived and the working poor. Why is he balancing the books on the backs of the poorest?

Lord Stunell Portrait Andrew Stunell
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The hon. Gentleman’s original question referred to localisation and changes in level. I hope that he accepts that the localisation part of the proposal is absolutely right and fully consistent with what this Government are doing. The changes in level are necessary to tackle the deficit; they are part of the Government’s deficit reduction programme. I would remind him that the bill for council tax benefit has gone from £2 billion a year, in 1997, to £4 billion a year. That is largely a product of the rampant rises in council tax during the 13 years of Labour Government, so it seems absolutely right that we should tackle the deficit in this way.

Geoffrey Clifton-Brown Portrait Geoffrey Clifton-Brown (The Cotswolds) (Con)
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Those on low incomes in Cirencester are suffering a double whammy. Their town council is increasing its precept by 4.7% and the police are increasing their precept by 2.9%, at a time when the district and county councils are making the tough decision to freeze council tax. Will my hon. Friend see what can be done to ensure that all precepting authorities keep their increases to a minimum?

Lord Stunell Portrait Andrew Stunell
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The Secretary of State has made the Government’s point of view clear. He believes—and I believe—that local authorities and precepting authorities should behave with responsibility in these difficult times. I am sure that his words will have been heard, and I am happy to underline them from the Dispatch Box.

Clive Betts Portrait Mr Clive Betts (Sheffield South East) (Lab)
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Will the Minister confirm that localising council tax benefits in 2013 and cutting Government support by 10% will mean that if authorities that are strapped for cash cannot put extra money into the benefits scheme, if pensioners cannot have their benefits altered, and if councils have to take account of the tapers for people in work, those on council tax benefit who are out of work will see those benefits effectively cut by over 20%?

Lord Stunell Portrait Andrew Stunell
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First, may I thank the hon. Gentleman for his support for our localising the council tax benefit? Secondly, I do not recognise or accept that figure. If he looks at the impact assessment, he will see that he has grossly overstated the facts. In fact, the average weekly reduction in support will be £2.64 per household. I believe that is the right figure to be quoting in the House, not the one that he chose to use.

Michael Ellis Portrait Michael Ellis (Northampton North) (Con)
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Council tax more than doubled under Labour, whereas the coalition has funded a council tax freeze for two years in a row. I support this Government’s localism agenda. Does the Minister agree that it will be fairer for the general population as a whole under the current Government’s scheme?

Lord Stunell Portrait Andrew Stunell
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Yes I do. I would make the point that with localism comes the capacity of local authorities to fine-tune the schemes in their areas to suit their local circumstances, and I would encourage local authorities to start to do that.

Helen Jones Portrait Helen Jones (Warrington North) (Lab)
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The Minister needs to accept that the scheme he is proposing is arbitrary and unfair, and hits the working poor most. How can he possibly justify cuts of between 13% and 25% in benefit for people of working age, and a switch from annually managed expenditure to grant, which means that any increase in claims will be paid for by cuts in benefit for the poorest people? Is it not time that the Government, who were prepared to accept a million-pound bonus for a banker, realise that they do not have the moral authority to inflict such cuts on the poorest people in our communities?

Lord Stunell Portrait Andrew Stunell
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I think that that was yesterday’s soundbite—[Interruption.]

John Bercow Portrait Mr Speaker
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Order. The hon. Member for Northampton North (Michael Ellis) must exercise the kind of restraint that I am sure has characterised his distinguished performances in the law courts over many years.

Lord Stunell Portrait Andrew Stunell
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I should like to remind the hon. Member for Warrington North (Helen Jones) that the proposals in the Bill will give local authorities the capacity to vary the discounts on second homes and empty homes, and that there will be extra income for local authorities in that regard. There will be scope for efficiency and for the authorities to tailor their schemes to their local circumstances. I do not accept the point that she has made.

Diana Johnson Portrait Diana Johnson (Kingston upon Hull North) (Lab)
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10. What assessment he has made of the possible effects on local authorities in deprived areas of his planned localisation of national non-domestic rates.

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Alan Whitehead Portrait Dr Alan Whitehead (Southampton, Test) (Lab)
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18. What assessment he has made of recent trends in housing affordability.

Lord Stunell Portrait The Parliamentary Under-Secretary of State for Communities and Local Government (Andrew Stunell)
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The housing strategy recognised that affordability has significantly deteriorated in recent decades. Under-supply of housing is a major factor. The strategy announced an ambitious package of measures to boost house building, including the £420 million get Britain building fund, the release of public sector land and a new-build mortgage indemnity scheme.

Alan Whitehead Portrait Dr Whitehead
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Is the Minister aware that the average family in Southampton would have to spend nine times its salary in order to purchase an average house in the city, and that, based on rent as a proportion of median income, Southampton’s private sector rents are also deemed very unaffordable? How does he intend to take people out of this trap, given that even if the Government’s affordable housing programme works it will produce only 70% of what the Labour programme produced in its last five years?

Lord Stunell Portrait Andrew Stunell
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I thank the hon. Gentleman for his question. I should perhaps point out to him that we have a programme for 170,000 social and affordable homes by the end of this Parliament, which will leave the country with a net addition to the amount of social and affordable housing, unlike the 220,000 fall in such housing during Labour’s period in office.

I should also point out that the most important thing we are doing is stabilising the financial situation of this country and keeping interest rates low. The combination of policies the coalition Government are following will produce the results that the hon. Gentleman and I both want.

Gordon Henderson Portrait Gordon Henderson (Sittingbourne and Sheppey) (Con)
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20. What steps he has taken to support former members of the armed forces in relation to housing.

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Lord Goldsmith of Richmond Park Portrait Zac Goldsmith (Richmond Park) (Con)
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Many of my constituents are wondering what the point is of local elections when so many decisions taken by the elected local authority, and supported by the majority of people, are simply overruled by remote authorities. Given that the referendum clause has been deleted from the Localism Bill, what hope can my constituents have that we will see a genuine shift in favour of local democracy?

Lord Stunell Portrait The Parliamentary Under-Secretary of State for Communities and Local Government (Andrew Stunell)
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I draw my hon. Friend’s attention to the referendum carried out in Salford last Thursday. Local residents convened a referendum on whether the local authority’s system of governance should be changed and got a positive result. It is entirely possible for local residents to take control of the governance of their local authorities should they wish to do so.

Andy Slaughter Portrait Mr Andy Slaughter (Hammersmith) (Lab)
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The chief executive of Hammersmith and Fulham borough council recently retired. Thanks to a pay rise of £11,000 last year, which took his salary to £281,000, the Library calculates that he will receive a pension of £100,000 and a tax-free lump sum of £250,000. When the council is cutting Sure Start by 50%, is this a good use of public money?