Housing and Planning Bill
Debate between Lord Young of Cookham and Lord O'Shaughnessy
Lord Young of Cookham (Con)
My Lords, I shall make a brief intervention in support of the policy of bringing to an end lifetime tenancies. I recognise the powerful points that have been made on behalf of those who suffer from domestic violence, and I hope the Minister will listen carefully to those representations.
It is just worth making the point that this is a prospective policy; it would not apply to existing tenants. I say that because one of the letters I got from a residents’ association in London implied that this was in some way retrospective, taking away security that people have.
The point is that one needs a balance between, on the one hand, those who currently enjoy lifetime tenancies and, on the other, those who are on the waiting list. Throughout this debate, one criticism that has been made of the Government is that we are not building enough secure accommodation for rent for those in housing need, for whom social housing for rent is the only answer. For someone on the waiting list, there are two factors that are of relevance: one is the rate of new build of social housing, and the other is the rate of re-letting. When I last looked at the figures, the number of re-lets each year was 400,000—roughly two-thirds from housing associations, and roughly one-third local authority—whereas the number of new homes built for rent was 50,000. In other words, the re-let market is eight times more important for those on the waiting list—those in housing need—than new build.
The reason why I support ending lifetime tenancies and bringing in fixed-term tenancies is that it promotes a conversation between the local authority and the tenant that may be of interest not only to those on the waiting list but to the current local authority tenant. That conversation will bring to the tenant’s attention a range of options that he or she might not previously have considered. One reason why I have consistently supported the transfer of the discount scheme is to enable those currently in social housing to move out and free up such homes. A re-let secures an immediate solution for someone on the waiting list at a fraction of the cost of new build and within a fraction of the time.
That is why I think that one must look at both sides of the coin: the expectations of those who currently enjoy good social housing and those on the waiting list, who are looking for some movement in social housing to solve their problems. If, at the end of the conversation, there is clearly no other option that is acceptable to the tenant, then of course the tenancy should be renewed—I do not think any local authority will abuse the powers given to it—but it will have promoted a conversation and enabled a range of options to be presented to the tenants, which may increase the number of re-lets, which may in turn help those on the waiting list. That is why I think the time is due for the introduction of such a policy.
Lord O’Shaughnessy (Con)
My Lords, I associate myself with the comments made by my noble friend Lord Young in support of the Government’s policy. We have heard many powerful personal stories, including from the noble Lord, Lord Kerslake, about people who currently benefit from lifetime tenancies. As my noble friend has explained, in a way that exemplifies an issue that we need to keep front of mind here, which is what economists would call an insider-outsider problem. In practical terms, that means that we have a tendency to undervalue the benefits of a policy to those who are not yet benefiting from it, compared with those who already have a benefit. Quite simply, those who already have a benefit are identifiable—they can write letters. Those who may yet benefit are not in that position. We tend to hear from them less and, as a consequence, we have an unbalanced view of the benefit of a given policy.
This is incredibly important when we think about how it impacts on the welfare state and our ability to support the neediest. I have a personal story—or at least a neighbourhood story—to share about a local housing association tenant, an elderly lady, who lived next door to us and who died. Her flat was inherited by a single working son. Five doors down in temporary accommodation, families crammed into tiny flats did not have a chance to move into that vacated flat because it was passed on to a relative. No one wants to reduce the housing support that anyone benefits from, but is that really a fair distribution of the limited resources that we have at our disposal?
The principle we need to consider is how best to use the funds and assets of the state when we still have a large deficit. We are not in a position not to consider these things. We need to bear in mind that whenever we water down provisions in the Bill, whether through taper thresholds or time limits, the effect is to ask less well-off taxpayers to subsidise those who, in this case, are not in as much need of public financial support. That, in my view, is not progressive. Indeed, it is the opposite. When considering how to vote, I urge your Lordships to consider those who are unable to access a social home, who are subsidising social housing through their taxes but are not benefiting from it. These people—the neediest—must surely be given a better chance of accessing a social home. That is what these amendments would prevent.