Oral Answers to Questions Debate
Full Debate: Read Full DebateMatthew Pennycook
Main Page: Matthew Pennycook (Labour - Greenwich and Woolwich)Department Debates - View all Matthew Pennycook's debates with the Ministry of Housing, Communities and Local Government
(1 day, 9 hours ago)
Commons ChamberNot least because we will only begin construction of the next generation of new towns towards the end of this Parliament, the Government have been clear that they will deliver over and above the targets produced by the standard method. We will, of course, keep under review how the taskforce’s forthcoming recommendations on new towns interact with housing targets across England.
Communities in Mid Bedfordshire have always done their bit to take new housing, but continued pressure to build is chipping away at our beautiful countryside and the historical character of our towns and villages. Will the Minister assure communities such as mine that the new towns taskforce cannot hit us with a double whammy of house building?
The independent expert taskforce, chaired by Sir Michael Lyons, will be submitting its final report to us in the summer and, as such, we have absolutely no idea which locations it will recommend to Ministers for decision. We have been clear, as I have said, that our ambition is that new towns will contribute over and above the targets produced by the standard method, but obviously we want to make sure that the right incentives are in place to support proactive local authorities, such as his, coming forward with these large-scale new communities.
We know that future generations of older people are unlikely to have had generous pensions or even to have been homeowners during their working lives. Will the Minister therefore confirm whether housing targets will include specific reference to older people’s housing and the growing need for age-appropriate accommodation?
I would say two things to my hon. Friend. First, the older people’s housing taskforce recently reported, and we are weighing up its recommendations. We have also made clear through the national planning policy framework that we expect local authorities to take into account the types of tenure and homes that they need for their local areas, and local plans are the primary way that different types of housing for different demographic demographics should be brought forward.
The Government recognise the considerable financial strain that opaque and unfair fees and charges are placing on leaseholders across the country. As my hon. Friend will know, on 21 November last year, I made a written ministerial statement setting out the steps the Government intend to take to provide leaseholders with greater rights, powers and protections over their homes by implementing those reforms to the leasehold system already in statute. We will also progress the wider set of reforms necessary to end the feudal leasehold system for good.
I welcome this Labour Government getting a grip on the feudal racket that enslaves leaseholders to ever-rising management fees and ground rents, making it impossible to pay and impossible to move. Will the Minister provide transitional arrangements to cap those costs while ensuring that all new developments—even developments that are soon to enter the planning stage, such as the one at York Central—can make the transition to commonhold as soon as the law changes?
The Government have no plans to cap service charges for tenants and leaseholders, given that would prevent necessary funds from being raised for legitimate purposes, but we do plan to tackle unregulated unaffordable ground rent provisions through legislation. As the White Paper published today makes clear, we want to make the process of converting to commonhold as easy as possible, and we will set out proposals in the draft leasehold and commonhold reform Bill, which is to be published later this year.
I welcome the Government’s announcement today of changes to leasehold and the introduction of commonhold, but thousands of leaseholders across the country are still crippled by both high service charges and failing delivery. I am sure that the inboxes of Members across the House are full of complaints from constituents, particularly in relation to FirstPort management company. What can the Government do to hold individual management companies accountable for the services they deliver to our residents?
As the hon. Gentleman will know, we intend to bring into force this year the provisions of the Leasehold and Freehold Reform Act 2024, which is designed to drive up the transparency of service charges so that leaseholders can challenge them more easily if they consider them to be unreasonable. We intend to strengthen the regulation of managing agents, imposing minimum standards in relation to, for example, qualifications. I would say to any managing agent—and I know that Members across the House have been holding them to account—that they should improve their performance in the light of the changes coming forward in the near future.
Let me explain, as simply as I can, what we want to do. As the White Paper makes clear, we will ban the sale of new leasehold flats so that commonhold becomes the default tenure, and we will ensure that the process of conversion is as simple as possible so that those leaseholders in existing leasehold blocks who want to make that change can do so as simply as possible. But we have to ensure that those who do not want to make that change have the powers, rights and protections in relation to their homes that will give them the immediate relief that my hon. Friend talks about.
What steps are the Government taking to help those leaseholders with doubling ground rents who now feel trapped and unable to remortgage or sell their properties without meeting the massive costs of changing their leases, which, as I know from personal experience, can amount to five-figure sums?
I well recognise the problem. As the hon. Gentleman will probably know, historically ground rents were nominal sums—often peppercorn sums—but over the past 20 years we have seen a very different system develop. We have made a commitment, which we will honour, to take action on unregulated and unaffordable ground rents through legislation, and we will provide further details in due course.
The Government are committed to delivering the biggest increase in social and affordable house building in a generation. In our first eight months in office, we have announced £800 million in new funding for the affordable homes programme. This top-up will support the delivery of up to 7,800 new homes, with more than half being social rent homes. We will set out details of new investment to succeed the 2021-to-2026 programme at the spending review.
I thank my hon. Friend for his answer. What measures will his Department consider to support councils that find themselves in viability negotiations with developers, who sometimes push down the quota of social homes and, indeed, affordable homes?
I am aware of several schemes in my hon. Friend’s constituency that are having viability issues. Financial support is indeed available. While the £500 million of new in-year funding for the affordable homes programme announced at the Budget is already oversubscribed as a result of significant demand from housing providers across the country, the further allocation of £300 million, which we announced last month, will help ensure that more social and affordable homes are delivered. In the case that my hon. Friend describes, I would encourage both his local authority and local social housing providers to bid for that money.
I recently visited Aylesham village with Persimmon Homes in my constituency, and I was delighted to see the number of solar panels on roofs across the estate. What are this Government doing to ensure that, for new builds, including social housing new builds, we deliver solar panels on every roof, high levels of insulation, and charging points on driveways?
The previous Government, to their credit, introduced changes to the building regulations that came into force in June 2022, and under those standards, new homes are being built with high-quality insulation and electric vehicle charging points. Those standards also encourage the use of solar panels, or other forms of low-carbon technology, such as heat pumps. This Government intend to amend building regulations later this year, as part of the introduction of future standards that will set more ambitious energy efficiency and carbon emission requirements for new homes.
The most recent data shows that nearly 11,500 people are stuck in temporary accommodation in Wales, unable to move on from homelessness due to a shortage of social housing and unaffordable private rents. Given the escalating need for affordable housing across the UK, what conversations has the Department had with the Welsh Government to urgently address this crisis and collaborate on quickly increasing the availability of social homes?
I understand well the pressures in Wales that my hon. Friend describes so eloquently. We know that increasing the supply of social homes is a cornerstone of the Welsh Government’s plans to prevent housing problems and homelessness. We speak regularly with our colleagues in the Welsh Government, and we will continue to work closely with them on our shared objective of getting more social homes built by councils and housing associations.
Building more social housing and affordable housing was a principal promise made by Leicestershire county council in the proposals for the Lutterworth East development. That development is subject to a call-in, so I do not want to go into any details, but I want to ask the Minister this very basic question. If a senior civil servant in the Department gives a commitment to an MP, to encourage that MP to drop an amendment to legislation, can the MP rely on the assurances given by that senior civil servant?
I note the question the hon. Member asks. We are grateful to all the civil servants who serve the Government for acting with integrity. The civil service code is clear that civil servants must act truthfully and cannot deceive or knowingly mislead Ministers or Parliament. If the hon. Gentleman has serious issues that he wishes to raise regarding civil servants, he can do so with the Department’s permanent secretary.
Chichester’s planning policy dictates that 30% of all homes in new developments should be social and affordable housing. However, we have recently noticed a worrying trend of registered providers refusing to take on contracts in smaller and medium-sized developments, and favouring larger developments. That is putting a lot of the social housing in Chichester at risk. What is the Minister doing to ensure that registered providers continue to take on smaller contracts in mixed-use developments?
We know that registered providers are facing real challenges when it comes to their capacity, or headroom, to take on additional section 106 units. The hon. Lady may be aware that we set up, through Homes England, a clearing service to try to better match developers with units that are not being picked up. We are giving lots more thought to what can be done in this area, and I am more than happy to speak to her about the options available to the Government.
The building of more council houses throughout the UK is welcome news, especially in Ashfield, where we have 7,000 people on the waiting list. Does the Minister agree that when we are dishing these houses out, British-born, hard-working taxpayers should be prioritised?
I would say to the hon. Gentleman that they already are. There are very strict requirements in place when it comes to the allocation of social housing. As I am sure he knows well, local criteria can be imposed—I am not sure that his council has them in place—in terms of the amount of time someone needs to be resident in an area before they qualify for social rented housing.
Every day, another family contact my office because they are homeless, and they are placed in a hostel, with no functioning kitchen and no private bathroom, miles away from their children’s schools. I am sure that other hon. Members can say the same. What is worse is that the placements cost councils at least three times as much as permanent social homes. So-called affordable homes are of no use to these families at all. At the same time, new homes are being rejected by registered housing providers because the standards are not high enough. What are the Government doing to progress the future homes standard, so that the homes being built are not rejected by registered home providers, who say that the homes are not good enough for them, and will have to be retrofitted?
I understand the point the hon. Lady is making. I refer her to my previous answer. The Government intend to bring forward, through changes to building regulations, future standards that will increase the energy efficiency and carbon emission requirements on new build homes. That will give housing associations, in particular, that have got ahead of the changes and standards the comfort that they need to start adopting those units.
The Government are committed to maintaining strong protections for our protected landscapes. We are clear that the scale and extent of development within such designated areas should be limited, so that we are able to pass on their attractions and important biodiversity to future generations. National planning policy is clear that significant development within a national landscape should be refused, other than in exceptional circumstances where it can be demonstrated that the development is in the public interest.
West Dorset desperately needs new housing that is actually affordable for local people, especially key workers and young families looking to get on the housing ladder, but 70% of West Dorset falls within a protected national landscape, formerly an area of outstanding natural beauty. Rigid housing targets could lead to inappropriate developments that undermine the character of this protected area. What discussions has the Department had with local authorities in Dorset on adjusting housing targets to reflect the constraints of the national landscape and our rural infrastructure challenges?
Local authorities use the standard method to assess housing needs, but they can show evidence of any hard constraints in their areas, including protected landscapes. Those will be assessed by the Planning Inspectorate to judge whether the plan is sound. We are clear that local authorities should explore all options to deliver the homes that their communities need, including maximising the use of brownfield land, working with neighbouring authorities and, where appropriate, reviewing their green belt.
I well recognise the situation that my hon. Friend describes, but I also recognise the reluctance of local authorities to take on substandard housing estates that have been built. We have decided to consult this year on options to reduce the prevalence of private management of estates of the kind he describes. We will also, importantly, implement new consumer protections for homeowners on private estates in the Leasehold and Freehold Reform Act 2024.
I agree with my hon. Friend. Last year, as the housing emergency took hold, the SNP Government cut £200 million from the affordable housing budget. It was only as a result of Labour’s record budget settlement that they were forced to reverse those cuts, but they are still not showing the adequate ambition that we need. The SNP Government must set out a real plan to reform planning and boost house building to meet their affordable housing targets.
To add to the responses I gave earlier, we intend to take action to provide leaseholders with the transparency of standardised service charge invoices, so that they can better challenge unreasonable rent hikes. We also need to strengthen the regulation of managing agents, including those such as FirstPort that, as is clear from the feeling in the House, are not performing the necessary services for their residents.
Welcome though the hundreds of millions of pounds extra for adult social care in the Budget were, can the Secretary of State confirm that the cost of rises in national insurance contributions and the minimum wage will run into the billions, and that local authorities will in fact be worse off than they were prior to the Budget in tackling social care? Can she confirm that—yes or no?
The planning proposals for Laindon Road and Mountnessing Road in Billericay and for Noak Bridge were previously rejected because of the green belt aspect but are now being reconsidered under grey belt. Will the Minister urgently meet me, the Billericay Action Group and some of the local councillors to look at the issues around where grey belt is perhaps not being used in the way the Government originally intended?
Local authorities can be clear about how grey belt should be used because we released planning policy guidance last week to give them a better sense of where it is appropriate to be released and be brought forward for development.
I assure my hon. Friend of that fact, and we are also succeeding where the previous Government failed, in that we are finally abolishing section 21 no-fault evictions. The Renters’ Rights Bill will empower tenants to challenge unreasonable within-tenancy rent increases. We also need to boost supply, which is why we set the hugely ambitious milestone, as part of our plan for change, of building 1.5 million safe and decent homes in this Parliament.
In the Lake district and the dales of Cumbria, average house prices are around 20 times average household incomes. Will the Minister try to tackle this issue by making sure that there is a specific and unappealable designation of social housing-only developments that national park authorities and local councils can enforce?
We want to see far greater use of rural exception sites in particular, and I am more than happy to sit down with the hon. Gentleman—I think we have already planned to do so—to discuss short-term lets as well as this issue.
These include unacceptably long delays for repairs and exorbitant costs at Greenmount Court in Smithills, despite spiralling fees, poor transparency and little to no communication from the agent. What steps is the Minister taking to deliver a fairer deal for existing leaseholders and to hold poorly performing managing agents to account?
We need to balance speed with care, because we will not make the mistake that the previous Government did and pass flawed legislation that requires us to fix it, therefore delaying reform for leaseholders. We will, as soon as possible, introduce the provisions of the Leasehold and Freehold Reform Act 2024, which will allow us, as I said, to bring in transparency around service charges to allow leaseholders to better challenge unreasonable increases, and we intend to strengthen the regulation of managing agents.
On 8 February, the Court—a grade II listed landmark in Chorleywood in my constituency—burned down in mysterious circumstances. I met the three local councillors—Councillors Cooper, Hearn and Reed—on Friday to discuss the matter. I am not asking the Secretary of State to comment on this specific case, but will she confirm that where listed buildings are destroyed without permission, there should be a presumption that they are rebuilt brick by brick to how they were before the destruction?
The publication of the “Commonhold White Paper” today marks the beginning of the end of the feudal leasehold system. We will succeed where the previous Government failed and bring that system to an end, but we are determined to provide immediate relief for leaseholders suffering from unreasonable and unfair charges at present.
I rise to gently follow up on a critical request for urgent help that I made in November. In September 2023, Kirklees council temporarily closed Dewsbury sports centre for safety reasons due to reinforced autoclaved aerated concrete. The centre remained closed until 5 November 2024 when the council unilaterally decided to permanently close the centre without investigation. I raised the issue with the Secretary of State for DCMS and have written to the Prime Minister and the Chancellor for assistance. Will the Deputy Prime Minister facilitate an update for me on the issue?