Social Housing and Building Safety

Matthew Pennycook Excerpts

Thursday 9th June 2022 Commons Chamber

[Matthew Pennycook (Greenwich and Woolwich) (Lab)]

It is a privilege to be able to wind up this important debate on behalf of the Opposition, and I commend the Government for their willingness to facilitate it. I also commend the tone that Members have adopted throughout; I agree that it has been a good debate. Before I respond to some of the issues that have been raised, I want to echo what others have said in welcoming those in the Gallery and in putting on record once again our admiration for the survivors and the bereaved of the Grenfell Tower fire and for the wider Grenfell community.

As I have said before from this Dispatch Box, the horror of that dreadful June night nearly five years ago was the product not only of pernicious industry practice but of state failure: the failure of successive Governments in presiding over a regulatory regime that was deficient and in ignoring repeated warnings about the potential legal implications of that fact. Having suffered the awful consequences and having to live with the trauma forever, the fact that those who survived, those who were bereaved and those residents of the wider community continue not only to seek justice for their families and neighbours but to campaign for wider change commands enormous respect. I know that that sentiment will be shared across the House.

Week in, week out, the Grenfell Tower inquiry continues to expose a catalogue of malpractice and negligence in relation to building safety regulations, but, as others have said, it has also shone a light on attitudes to social housing more generally, and on how tenants with a social landlord are treated. My hon. Friend the Member for Mitcham and Morden (Siobhain McDonagh)—who is currently not in her place, having had to leave the debate for personal reasons—made it clear in her incredibly powerful contribution that far too many people still live in cold, damp, leaky and fundamentally unsafe homes, that they wait months, if not years, for repairs to take place, if they do at all, and that their concerns are routinely ignored or dismissed by their landlords. Those landlords frequently write them off, as Simon Lawrence, the individual who led the work on Grenfell Tower for the contractor Rydon, did, as “rebel residents” who want to make unfounded complaints at the drop of a hat. I pay tribute to the many individuals and organisations who have sought to draw attention to the plight of social tenants across the country over many years, and I would like to highlight the contribution of the campaigners Kwajo Tweneboa and ITV’s Daniel Hewitt, who have done so much to that end recently.

As this debate has highlighted, there are genuine points of disagreement between those of us on the Opposition Benches and the Government when it comes to social homes. As several of my hon. Friends have pointed out, we believe that successive Conservative-led Governments have not only singularly failed to build the social homes we need over the past 12 years but have overseen their loss on an unprecedented scale. A staggering 134,483 social homes for rent were either sold or demolished without direct replacement between 2010 and 2021. That is an average net loss of over 12,000 desperately needed, genuinely affordable homes a year. That is a trend that the measures announced this morning on extending the right to buy would almost certainly exacerbate, in the unlikely case that they are ever implemented, because we know that only 5% of all social homes that have been sold under the right to buy have been replaced. We also know that, while there are many social landlords who routinely fall well short when it comes to repairs and maintenance and could do better, social landlords do not operate in a vacuum. Years of swingeing funding cuts to local authority budgets, as well as the four years during which a Conservative Government imposed a 1% social rent cut on them, have inevitably taken their toll, and covid has hit housing revenue accounts hard too.

However, the debate has highlighted that we are in broad agreement on the objective of driving up standards in what social housing stock remains, and on ensuring that tenants’ concerns are heard and acted upon. That is why we welcome the Social Housing (Regulation) Bill, which I understand has been published while this debate has been taking place. It is good to see that Ministers are on their toes in responding to these concerns in such short order. However, we regret that what is essentially a narrow and largely uncontroversial piece of legislation took so long to materialise. We will support the measures in the Bill, but given the scale of the problem that we know exists, we will press the Government to go further in key respects, so that standards in social housing markedly and rapidly improve and tenants are able to seek redress effectively in practice.

For example, it is almost certainly the case that the social housing regulator will be unable to act on the volume of individual tenant complaints it will receive, and that it will be inadequately resourced to perform its new inspections role. So why not allow it to retain the proceeds of any fines levied to help fund its work? Why not look to give it more teeth than presently proposed, for example by giving it the power to order compensation to tenants? Why not do more to enable tenants to enforce repairs themselves, so that the regulator is not the sole effective means of redress? And why not allow the resident panel, the establishment of which the Government have finally conceded, to be put on a firmer footing, with its agenda and its terms worked up with a direct input from tenants, rather than just by Ministers? We will be pressing the Government to answer those and other vital questions over the coming months as the Bill makes its way through the House, because tenants deserve the most robust piece of legislation that this House can possibility deliver.

I turn now to the other subject under consideration today, namely building safety. The House will know that the Opposition welcomed the Secretary of State’s decision in January 2022 to abandon the failed approach of his predecessors and to ensure that industry pays its fair share to resolve the crisis. Hon. Members will also know that while we tried our utmost to amend it to ensure that all leaseholders were fully protected from the costs of remediation, irrespective of circumstance, we supported the passage of the Building Safety Act. Yet despite the change of approach and the fact that the legislation comes into force imminently, as others have said the nightmare that so many affected leaseholders have endured over recent years appears far from over.

It is true that significant numbers of large developers have now pledged to remediate “life critical fire safety works” in buildings over 11 metres that they played a role in developing or refurbishing. Yet I have to tell Ministers that there are a growing number of examples of developers seeking to reassess affected buildings as less dangerous than previously reported, or to evade the commitment they made altogether to avoid paying.

That is not the only outstanding problem. The hon. Member for Bromley and Chislehurst (Sir Robert Neill) and my right hon. Friend the Member for Leeds Central (Hilary Benn) both made the point about leaseholders living in buildings where there is no developer or freeholder who can pay, and the fact that leaseholders in those buildings still have really no idea how their non-cladding remediation works will be funded. The Act presumes that litigation will play a role but redress by that means, even if it comes, would entail significant costs and take many years.

Similarly, those leaseholders who own the freehold of their building still have no idea what, if any, support they will receive from Government. They have no protections whatsoever under the Act, as Ministers acknowledged during its passage; and the promised consultation on enfranchised buildings clearly will not now occur before it comes into force, so they have been left in an extremely difficult position.

Then, as the hon. Member for Kensington (Felicity Buchan) and my hon. Friend the Member for Sheffield South East (Mr Betts), the Chair of the Select Committee, said, there is the issue of the overall pace of remediation, which is still agonisingly slow. There remain serious problems in relation to the time it is taking to process building safety fund applications; and the Department’s own data, released in April, makes it clear that there still exist, nearly five years on from the Grenfell tragedy, 58 residential buildings with Grenfell-style ACM cladding on them, 16 of which have not even begun to remove or replace it. Leaseholders across the country are still receiving invoices to fix historic cladding and non-cladding defects and they are still being hit with exorbitant secondary costs.

To take just one example, which has featured prominently in the debate: soaring buildings insurance premiums continue to push countless blameless leaseholders toward financial ruin. Hon. Members from across the House have pleaded ad nauseum with Ministers, over many years, to address this issue and still nothing has been done. We are told repeatedly by Ministers that they are talking to both insurers and mortgage lenders with a view to finding a solution, but it feels as far away as ever. In short, when it comes to many of these issues, there is what feels like a shocking lack of urgency, and these are issues that must be addressed at pace because they are blighting the lives of those caught up in this scandal.

Finally, there remain a range of wider fire safety issues that are entirely unresolved. And far from making progress toward doing so, the Government appear content to leave them as such. My hon. Friend the Member for Brentford and Isleworth (Ruth Cadbury) mentioned the Government’s shameful decision to reject the Grenfell inquiry phase 1 recommendation that it be a requirement to produce personal emergency evacuation plans for disabled people in high-rise buildings. I think that is shameful.

The fire at Grenfell Tower was an unspeakable horror and one that rightly exposed systemic failings in our country’s building safety regime and how we treat social housing tenants. The Government have a duty to comprehensively address those failings and it is right that we continue to debate progress towards that goal. All of us acknowledge the need for deep-seated change, but despite the steps that have been taken we still have a very long way to go, and we need to get there much, much faster.