Affordable Housing: Planning Reform

Luke Pollard Excerpts

Tuesday 7th December 2021 Westminster Hall

[Luke Pollard (Plymouth, Sutton and Devonport) (Lab/Co-op)]

It is a pleasure to see the hon. Member for St Ives (Derek Thomas), who has called such an important debate, especially for the south-west. The holiday industry is important to us, but so is our housing market. Our housing market in the south-west is broken, and needs fixing.

The pandemic has turbocharged our housing crisis. We not only have a housing crisis; we have a homes crisis. In many cases, there are enough houses but not enough homes for people to live in. Too many tenants have been turfed out to make way for holiday lets and second homes, which can sit empty for much of the year.

The low-wage economy means that many people cannot afford to live in the communities where they work. The sell-off of council homes means that there is no longer that safety net for far too many local families, and that is not good enough. We need to see proper action, and nowhere is that more important than in the south-west, where more than a quarter of England’s second homes are, according to 2019 data. Our rural and coastal villages are being hollowed out, and local people are priced out of moving or buying within the community where they grew up. In cities such as Plymouth, homes are being flipped to become Airbnb properties, damaging our local hotel trade and robbing local people of a home of their own.

I want to see more people come to the south-west—it is a great place to be—but housing policy should put local people first. We need a focus on first homes, not second homes. That is why I have worked with Councillor Jayne Kirkham, leader of the Labour group on Cornwall County Council, and Councillor Tudor Evans, leader of the opposition on Plymouth City Council, to develop our “First Homes not Second Homes” approach. That is a very simple, five-point radical plan, designed to tackle the housing crisis that is facing so many rural and coastal communities because of the surging number of second homes and holiday and Airbnb lets in the south-west, especially since the pandemic hit. The region most affected by second homes is rightly where the solution to fix the problem should be first applied. Our “First Homes not Second Homes” approach is a simple one, which I hope that the Minister and my hon. Friend the Member for Greenwich and Woolwich (Matthew Pennycook) will be able to support.

First, let us give councils the power to quadruple council tax on holiday lets and empty second homes. We need an economic disincentive against keeping houses empty, denying local people homes.

Secondly, let us introduce a licensing scheme for second homes, holiday homes and Airbnb lets, to understand the full extent and to set a minimum floor on the number of homes in any community that must be for local people and not for second homes, holiday homes or Airbnb lets. The minimum floor should be 51%, meaning that no community can be dominated by folks who do not live there. Then let us give councils the power to adjust that threshold upwards, to suit local circumstances—60%, 75% or 90%—because it is time that we called time on the takeover of the south-west by absent landlords.

Thirdly, let us create a “last shop in the village” fund, so that councils gain the power to introduce an affordable community infrastructure levy on empty and underused second homes, to support the last shop in the village, the last pharmacy, the last post office, the last pub and the last bus. Hollowed-out communities do not sustain essential community infrastructure and services. We need to find a new way to keep them in business.

Because people should not need to move away from where they grew up to get a decent job and a home they can afford, I want us to focus, fourthly, on an effort to build first homes, not second homes. That means building more genuinely affordable zero-carbon homes to buy or rent and for social rent, with a preference and priority for local people. In particular, that should focus on the key workers who keep our communities alive—the nurses, the shop workers, the teachers, the care workers, the farm workers who are now being priced out of our communities.

Finally, we need to introduce a discount lock for future renters and purchasers of those properties, to ensure that affordable first homes are not lost in the market blizzard of second home and holiday let purchases after that first family moves on, staircasing the benefits, not losing them. That is why we need a focus on first homes, not second homes.

We need to be bold, because our communities are being dominated by a second-homes approach. If we do not act soon, the south-west’s amazing attractiveness will be lost. Shops will not have anyone to work in them. Care homes will not have anyone to support the people inside. We will lose the essential spirit of the west country. That is why we need a focus on first homes, not second homes. I hope the Minister will respond to those points. We need to put first homes first and second homes second.