Homelessness Reduction Bill

Lyn Brown Excerpts

2nd reading: House of Commons
Friday 28th October 2016 Commons Chamber

[Mike Gapes (Ilford South) (Lab/Co-op)]

Last night, I attended an event organised by TELCO, the citizens’ organisation for east London. It is working to establish a community land trust. The event was hosted by the Salvation Army, which, in a few weeks’ time, will open a night shelter in my constituency. It does that every winter. Two thirds of the people who stay in that night shelter will not in any way be affected by this Bill because they have no recourse to public funds. There are many thousands of people on the streets of London who are sleeping rough and who, because they do not have EU treaty rights or for other reasons, have no recourse to public funds. That homelessness problem will continue regardless of what this Bill does.

[Lyn Brown (West Ham) (Lab)]

Is it not true that if we are to deal with street homelessness, which many people think we are talking about when we are discussing homelessness, it will require a lot more money to deal with the very complex needs that those people have?

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[Lyn Brown (West Ham) (Lab)]

I am delighted to speak today, but I will not stand here and pretend that this Bill will solve the homelessness crisis, because it will not. It will not build a single new home; it will not place more properties in the social sector; and it will not reduce the crippling rents that my constituents face.

My constituency of West Ham is in the London borough of Newham, and we, like other London boroughs, are bearing the brunt of this housing crisis. An average family in Newham looking for a home cannot think about buying one, because the average house price is £352, 272, which is simply out of reach of all but a few. The majority seeking a home want to enter social housing, with its affordable rents and more secure tenancies—let us face it, families in private accommodation often have to move yearly—but there is a waiting list of 16,755 households. As a result, many families have no choice but to look at homes in the private rental sector. If they were affordable, that would not be so bad, but they simply are not.

According to the Valuation Office Agency, the current median rent for a three-bedroom property in the private sector in Newham is £1,600 per month. Detailed research from the council shows that the median household income in the borough, after tax and benefits, is £18,604, or £1,550 a month. That is right: the average private sector rent in our borough is higher than the average after-tax income. It is truly a disastrous situation.

With such an acute housing crisis, it is no wonder that Newham Council has to deal with a huge amount of cases in which residents are threatened with homelessness. In 2015-16, the council received 2,488 homelessness applications, whereas Ribble Valley Borough Council in Lancashire received just seven. Newham’s rate of homelessness acceptance—that is, the proportion of households that it accepts as homeless—is almost five times higher than the English average. That is striking. The council faces an unenviable task, with a huge workload and shrinking resources.

In Newham, we have great charities such as Caritas Anchor House, which provides temporary accommodation and support for our homeless community, who are trying to get off the street and stay off the street. This year, it supported 37 residents into full-time employment and 84 residents into independent living. It is not just a shelter; it is a source of community support with high-quality professionals. It provides hope for those who desperately need it.

[Seema Malhotra (Feltham and Heston) (Lab/Co-op)]

My hon. Friend is making a very powerful speech. My borough of Hounslow is also suffering in similar ways, with thousands on the waiting list and people becoming homeless. I have been struck by the fact that when I go to schools and ask about under-achievement, the issue of housing repeatedly comes up. Children’s uncertainty about where they are living and will live has an impact on their levels of attainment, as well as their wellbeing. Does she agree that this is a completely false economy, with a long-term impact on our prosperity?

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[Lyn Brown]

I certainly do agree. I often say that I was privileged to live in a council flat in east London, and that provided me with the security to learn and do as well as I could. My little sister, who is no longer little—well, she is little, but no longer young—is doing well as a solicitor, and I am standing in this House. We could not have done that without the security of a council property behind us.

This week, I met some of the people living in Anchor House, and I was really impressed by their resilience and aspiration. One woman entered Anchor House soon after being evicted following a mental breakdown and hospitalisation. She was on the streets for some time, but found her way to the charity. She is now training to be a youth worker and wants to take a degree to help her career. I met a man who decided that living on the streets was better than living at home, because that was the only way that he could free himself from the company of family who were encouraging him to take drugs. He is now clean and training to be a tunneller. These people were excited by this Bill, because they thought that it would prevent people from finding themselves in the same situation as them. It is because of their hope that I support it.

If the Government are not to destroy the faith of those people, two things need to be done. First, the duties on councils must come with up-front, realistic costs. There was a 26.5% increase in households assessed for homelessness in the first year after new homelessness duties were introduced by the Welsh Government. The Welsh Government anticipated that, and thankfully funding was provided to deal with it. We can expect even greater increases in our workload in London, where the housing crisis is that much more acute. In fact, boroughs such as Newham will have to process an additional 7,581 applications a year as a result of clause 3, and that must come with proper resources.

The Government must provide sufficient funds for the Bill’s money resolution, but they must be based on the needs of those local authorities that will have to deal with the extra workload. It is no good giving extra money to areas that, frankly, do not have such needs or concerns about the workload, and less money to those of us who do. The Government should not pass the buck without the bucks.

The Government also have to acknowledge that changing council duties is only one small component in the fight to reduce homelessness. More homes need to be made available in every sector, and more services and support, such as those provided by Caritas Anchor House, are needed to deal with the complex needs of those who have been driven to street homelessness. The Bill could be a step in the right direction, but only if it has appropriate Government support.

[Several hon. Members rose—]

Homelessness Reduction Bill

Lyn Brown Excerpts

3rd reading: House of Commons & Report stage: House of Commons
Friday 27th January 2017 Commons Chamber

There is a slight disconnect between the funding announcement in last week’s written statement, which dealt with the financial years 2017-18 and 2018-19, and what the Minister is now saying, which is that the Bill is unlikely to be implemented until 2018. Either the Government are giving local authorities money upfront, which would be slightly unusual in my experience, or that needs to be corrected. In any event, it is clear that there is only two years’ worth of money, that the money may be insufficient, and that at the end of that two-year period it will run out.

[Lyn Brown (West Ham) (Lab)]

Newham Council has looked into the cost of implementation, and thinks that it will be £2.5 million in the first year alone. I am delighted that the Bill has been introduced, but does my hon. Friend honestly believe that the Government will fully compensate councils for the money that they will need to spend?

[Andy Slaughter]

I am one of nature’s optimists. The Minister is such a reasonable fellow, and so kind-hearted, that I am sure that if he says he wishes to provide the full amount, he means it. Unfortunately, however, the record of the Government as a whole is not one of being particularly kind-hearted, particularly to local government. They have a habit of passing the buck by cutting the budget of the Department for Communities and Local Government, as is clear from the fact that local government cuts have been the biggest of all.

My hon. Friend the Member for West Ham (Lyn Brown) is absolutely right to be sceptical. That is indeed what we want to hear. There are many figures floating around, but Newham Council knows what it is talking about, because it has one of the most pressing housing needs in the country, some of the poorest communities in the country, and, I am afraid, some of the worst housing in the country, especially in the private rented sector.

These are matters of real concern. All we are asking for is a commitment from the Minister not just to a review, but to a review that will be undertaken at the right time and will be all-encompassing. As I said earlier, the Select Committee has played a key role—its Chair, my hon. Friend the Member for Sheffield South East (Mr Betts), is an acknowledged expert, and he has also benefited from the able assistance of Members on both sides—and it, as well as local authorities themselves, should be involved in any review process.

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[Andy Burnham]

I will welcome every single thing the Minister does to address this problem and, yes, I welcome that funding. What I do not welcome is the alarming rise in rough sleeping on the streets of Greater Manchester. I am sorry if it is inconvenient for the Minister to hear this, but it is clearly right to put those concerns to him.

[Lyn Brown]

I was not going to say another word because I want the Bill to go through, but I am amazed by the Minister’s chutzpah in moaning about an excellent speech that is relevant and pertinent to the Bill, given that Government Members, week after week after week, talk out excellent Bills. If the Minister does not mind, I would like to listen to what my right hon. Friend has to say because it is actually pertinent, unlike the drivel we normally hear from Government Members week after week after week.

[Andy Burnham]

The Minister mentioned time. If the Government were making the Bill a priority, perhaps they would make time to debate these issues and to propose their own initiative. Instead, we have a debate on a Friday as a result of a private Member’s Bill. I will welcome anything the Minister does to address the issue, but I do not accept a cosy cross-party debate today when the number of people sleeping rough on our streets is increasing every single week. It is a bigger issue than just patting ourselves on the back. More needs to be done, and the Government need to set out today their ambition to cut rough sleeping in the next few years. That is why I am here today. I fully support the Bill, but let us be honest about what it is: a modest first step.