Short-term Lets: Regulation

Rushanara Ali Excerpts

Thursday 12th September 2024 Westminster Hall

[The Parliamentary Under-Secretary of State for Housing, Communities and Local Government (Rushanara Ali)]

It is a pleasure to serve under your chairmanship, Mrs Harris. I start off by congratulating my hon. Friend the Member for Cities of London and Westminster (Rachel Blake) on securing today’s important debate and highlighting the concerns of her constituency. I have an interest to declare: she is one of my oldest friends. I am proud to see her in her place, making her first speech in Westminster Hall.

I am grateful to Members from across the House for their contributions. They have raised extremely important issues and concerns about the impact of short-term lets on their constituencies. They have highlighted the serious challenges that such lets pose in a diverse range of constituencies, in cities such as London and in rural and coastal communities. They have also highlighted the need for action, but in a way that is appropriate for the different kinds of areas and challenges they face.

Contributions have also highlighted a wider point about housing and housing affordability, a major issue for our country. I hope this debate provides an opportunity for us as a new Government to take on board the many ideas, thoughts and insights that colleagues have shared. If we want to get this agenda right, it is important for us to have an ongoing dialogue.

The key concerns highlighted are around safety, waste management, antisocial behaviour, cost of housing and communities being displaced. That should not take away from the fact that we all recognise the important contribution that short-term lets can make to local economies, but they have to be done in a way that is appropriate and does not cause harm in local communities. The pressures cannot be properly understood without taking into account the impacts of such issues.

I recognise the frustrations that many communities feel, where there is an excessive concentration of the properties under focus and particularly in places where there is an acute lack of affordable housing for local people. I also recognise that short-term lets can cause other concerns for local people, including the hollowing out of communities and antisocial behaviour.

[Andrew George]

The Minister mentioned the contribution that self-catering short-term lets make to local economies. Hotels, purpose-built short-term chalets and so on also make an important contribution to local economies and often operate at a disadvantage relative to the many individual short-term lets that are operating below the VAT threshold and that in other respects are avoiding making their contribution to the local community or, indeed, national taxation.

[Rushanara Ali]

I thank the hon. Gentleman for his point. This is why this debate is so important: we must make sure that we address the issues and challenges being raised. The new Government are taking stock and considering a full suite of options for the regulation of short-term lets before we make policy decisions, but I have heard clearly from hon. Members about the issues and challenges they face in their constituencies. We need to ensure that the response is proportionate and appropriate, reflects the different kinds of issues affecting different constituencies, and avoids unintended consequences. The actions we take must properly address those issues.

In England, the average house price is more than eight times annual earnings, and affordability issues are even more acute in the constituency of my hon. Friend the Member for Cities of London and Westminster. The average monthly private rent in London increased by 9.7% last year, and is more than one and a half times higher than the average monthly rent in England. Although it is true that London remains one of the country’s least affordable areas, we are in the middle of a housing crisis right across the country. Years of low house building across all tenures, combined with rising interest rates, have resulted in too few genuinely affordable homes. The issue has been exacerbated in London, coastal towns in places such as Cornwall and areas such as the Lake district by the proliferation of short-term lets and second homes, as hon. Members have highlighted. That is why we want to go further by giving local authorities tools to tackle short-term lets where they are an issue.

The lack of robust data about short-term lets, which my hon. Friend the Member for Cities of London and Westminster mentioned, means that local areas often struggle to define the true extent of the problem and are unable to effectively manage the impacts. Although this data is not perfect, in 2022 a call for evidence suggested that there are about 257,000 short-term lets in England, about 43,400 of which are in London. I know my hon. Friend is keen to have better data about short-term lets in her constituency, and I am happy to hear that she and a number of other hon. Members support the short-term lets regulation scheme. We are committed to introducing the register, which will be an essential tool in enabling local authorities and central Government to access relevant data on short-term lets.

[Markus Campbell-Savours]

Does my hon. Friend recognise the issues with the registration scheme, which the previous Government described in their consultation as “light touch”? It will not meet the needs of areas such as mine, where we do not have the additional legal powers available in places such as London.

[Rushanara Ali]

I am grateful to my hon. Friend for his intervention. It is important that we look at what can be done as part of that exercise. He will appreciate the point I made about the new Government needing to take stock of what is working, where the good examples are and what we can draw on. The register is part of that, and I look forward to ensuring that colleagues’ insights and contributions are taken into account.

[Rachael Maskell]

Will my hon. Friend take a look at my Bill, which proposes a licensing scheme but allows local authorities to determine some of the parameters necessary to control the number of short-term lets in their local area, including control zones, so that we do not see a real expansion of such lets in precious places such as York?

[Rushanara Ali]

I thank my hon. Friend for the offer on the Bill that she prepared earlier, and I know that officials listening to this debate will consider the range of suggestions and proposals that colleagues are making today.

We know that many local authorities are eager for the registration scheme to be operational as soon as possible. We share this view and officials are currently working at pace to operationalise the scheme. The Department for Culture, Media and Sport is now in the initial phase of a digital development process for the register, which will allow us to test and refine the possible options for design and delivery of the scheme. We will factor into that process the points made today and will update the House in due course.

As hon. Members have highlighted, London is unique in England in having certain powers regarding short-term lets. Since 2015, primary legislation has provided that homes in London that are liable for council tax may be let for temporary sleeping accommodation for up to 90 nights in a calendar year. Planning permission is required to let for more than that. However, as has already been pointed out today, in practice local authorities in London report that this limit is difficult to apply and enforce, due to a lack of data on addresses, ownership and the number of nights that properties are let for, and because of limited enforcement capacity. Points were well made in this debate about other parts of the country that do not have the London scheme.

We recognise that more needs to be done to ensure that authorities in London have the tools they need to enforce the limit. As we design the short-term lets register and consider future policy, we will keep in mind the uniqueness of each area of our country and in particular the interactions with the existing legislation that applies to London.

I recognise that the current taxation of short-term lets can be seen to incentivise such use. The Government have confirmed that we will abolish the furnished holiday lettings tax regime from April 2025, which will remove the tax advantages that landlords offering short-term holiday lets have over those providing standard residential properties.

At the end of July, the Government took concrete steps to abolish the regime by publishing draft legislation, which includes transitional arrangements to help landlords to adjust to the change. Councils will also be able to charge a council tax premium of up to 100% on second homes from April 2025. It is for councils themselves to decide whether to charge such a premium in their area.

[Jayne Kirkham]

I have just one small point to make about the furnished holiday letting scheme. There are some properties in Cornwall for which there are planning restrictions that say they can only be holiday lets and nothing else can be done with the property, because it may be on the same premises as the first property. I just want the Government to be aware of that when the regulations are developed.

[Rushanara Ali]

I thank my hon. Friend for her contribution.

Where a short-term let does not meet the relevant lettings criteria, it will usually be considered a second home and will be liable for council tax, including the council tax premium where councils have introduced it. However, we recognise that this may not go far enough towards ensuring that all short-term lets are properly contributing to the local tax system, as the premium will not impact those short-term lets that are eligible for business rates. We will continue to keep the tax treatment of short-term lets under review and will consider what more is needed to achieve our aims.

Short-term lets are just a part of the housing challenge in our country, which is why we are determined to address the issue of affordability and to do what is necessary to get Britain building again.

[Andrew George]

I thank the Minister for giving way one more time. On the point that the hon. Member for Truro and Falmouth (Jayne Kirkham) made earlier about small business rate relief, could the Minister please make sure that some very strong representations are made by her Department to the Treasury with regard to this issue, because the system is being abused at present? When it was first introduced, it was intended to protect village shops and similar businesses; it was not intended to feather-bed property investors.

[Rushanara Ali]

Again, those are really important points that will need to be factored in as we develop these policies. The hon. Member will appreciate that I cannot make commitments today, but we are at the beginning of this Government. We are very keen to make sure we get the policies right. I thank him for the intervention.

[Richard Foord]

The Minister makes a good point about how she and the Government are setting out on a new term and looking at these things for the first time. But the furnished holiday letting regime is set to change in April 2025, so will she consider a pause and looking at that again, given that there has not been any assessment by the Office for Budget Responsibility of what effect it might have?

[Rushanara Ali]

I am going to make some progress, but perhaps I can write to the hon. Gentleman on his specific point.

I return to the point about short-term lets and the wider housing challenge. Through decisive action, this Government will reform the planning system, because we need to increase the building supply. We have our commitment to building 1.5 million homes over the next five years. We will deliver the biggest boost to affordable and social housing in a generation and establishing a generation of new towns. By doing that, we are improving security for millions of people and unlocking essential economic growth—the growth the country needs. The chronic shortage that the country is facing means that owning a home is a distant reality for many. We are committed to achieving a more balanced distribution of homes by directing them to where they are most required, in areas where they are not affordable. Increased supply will help to moderate house prices over the long term, provide for population growth, and improve quality and choice.

We have introduced the Renters Rights’ Bill, which will end no-fault evictions, and we will lay legislation to further reform the leasehold system. We will open up the dream of home ownership to more people by introducing a permanent, comprehensive mortgage guarantee, and give first-time buyers their first chance to buy new homes. We will publish a long-term housing strategy, which will set out our vision for a housing market that works for all and provides long-term certainty for the market.

In closing, I thank my hon. Friend the Member for Cities of London and Westminster for securing this important debate and for her excellent contribution. I thank hon. Members for their contributions on this issue and assure them that we are very much aware of their concerns. We cannot let short-term lets undermine the availability of affordable housing for people to buy and rent. What is more, we are committed to rebuilding our country by taking the steps needed to fix the foundations of the economy and to ensure that everyone has a place to call home. This agenda is really important. It is vital that we respond appropriately, taking into account the insights that many Members have shared today, and I look forward to working with colleagues across parties. I again congratulate my hon. Friend the Member on securing this very important debate.

Building Safety and Resilience

Rushanara Ali Excerpts

Wednesday 11th September 2024 Commons Chamber

[The Parliamentary Under-Secretary of State for Housing, Communities and Local Government (Rushanara Ali)]

I beg to move,

That this House has considered building safety and resilience.

I rise to open this debate on the critical issue of building safety and resilience, following last week’s publication of the Grenfell inquiry’s final report. Sir Martin Moore-Bick’s findings on an entirely avoidable national tragedy were devastating, and I begin by remembering the 72 people who died, 18 of them children, in the biggest loss of life in a residential fire since the second world war. I pay tribute to the bereaved, the survivors and the wider Grenfell community, who have waited too long for the answers and justice that they deserve. It is thanks to their tireless crusade for truth, accountability and change that we are here today.

The final report of the Grenfell Tower inquiry represents a defining moment in the journey for justice. As Sir Martin stated:

“The simple truth is that the deaths that occurred were all avoidable, and those who lived in the tower were badly failed over a number of years and in a number of different ways by those who were responsible for ensuring the safety of the building and its occupants.”

The report shines a light on a terrible culture in the industry in the years leading up to the tragedy—a culture of putting profit before people, and a culture in which safety took a back seat. It reveals a building safety system that was fundamentally broken, with deficiencies that went unchallenged by different Governments. The consequences of these failures are still with us today; there are too many buildings with unsafe cladding and the pace of remediation has been too slow. We will consider all the recommendations in detail, and we will respond within six months. As part of that work, we will listen to and engage with the bereaved, survivors and residents in the immediate community. We will update Parliament annually on progress against every commitment we make. As the Prime Minister said,

“There must…be more radical action to stop something like this from ever happening again.”—[Official Report, 4 September 2024; Vol. 753, c. 313.]

The recent fire in Dagenham showed us the dangers that many residents continue to face. My east London constituency is among those with the most cladded high-rise blocks in the country, so I have long campaigned for the urgent remediation of affected buildings, and I know that Members across the House grapple with similar issues in their constituency. I have seen at first hand how relentless the work can be for residents who are trying to get remediation started. Our constituents not only have to endure the fear and uncertainty of living with unsafe cladding, but face the higher insurance premiums and service charges that go with it. The delays are holding people back. They cannot make plans or get on with their life. They live in fear. They feel stuck.

As Minister for building safety, I am honoured to have the opportunity to work alongside the Deputy Prime Minister to make things right and ensure that last week’s moment of truth becomes a legacy of change, so that no other community has to go through that suffering. We will bring the full power of Government to bear on this task. Above all, we will accelerate the pace of remediation and go further and faster to drive change across the industry.

[Jeremy Corbyn (Islington North) (Ind)]

I thank the Minister for what she just said. On the remedial works that will be done, some will be in the public sector; most will be in the private sector. In many cases, residents are paying the price in very high insurance premiums, as she rightly acknowledged. Could those residents who have suffered a great deal of stress and cost over the past few years expect some form of compensation for their losses, because of the failure of Government and the industry to undertake the proper remedial works?

[Rushanara Ali]

We recognise the impact on those with high insurance premiums. We will take action to protect them, and will have the necessary dialogue to address the right hon. Member’s points and ensure that there are not high insurance premiums.

[Zarah Sultana (Coventry South) (Ind)]

Does the Minister agree that firefighters and the Fire Brigades Union need to be listened to, and that the Government need to deliver the statutory advisory body to ensure that the lessons of Grenfell are learned?

[Rushanara Ali]

We have already had discussions with key stakeholders, including firefighters and the head of the FBU. We want to ensure that we speak to all relevant stakeholders. We need to work across a range of institutions to get this right and tackle the root causes of fire risk.

I want to focus on the number of affected properties. The remediation of 4,630 residential buildings above 11 metres is being monitored by my Department. For half of them, remediation has started; 1,350 have completed remediation. However, counting the buildings that we know about is not enough. We estimate that as many as 7,000 buildings that need remediation have not yet applied for the cladding safety scheme. That is a maximum estimate—there may well be fewer than that—but those responsible for those buildings have no excuse for failing to apply. We will work with regulators to ensure that the buildings are identified.

[Several hon. Members rose—]

[Rushanara Ali]

I will make a bit more progress. We will ensure that dangerous buildings are found and dealt with. The money is there. The speed must increase. We are not leaving this task just to regulators; the Government must do more, and this Government will do so.

[Mr Clive Betts (Sheffield South East) (Lab)]

I congratulate the Minister on her appointment. It is absolutely right that the Government should be providing support, including financial support, for those buildings that need work done urgently. Of course, the problem is that the building safety fund has different rules and criteria for buildings in the social housing sector and those in the private sector. When the Prime Minister spoke about Grenfell, he spoke about the discrimination and poor treatment of social housing tenants. Will the Government rectify that by making social housing providers equally eligible for help from the building safety fund?

[Rushanara Ali]

I thank my hon. Friend for his work on this matter. I served on the Communities and Local Government Committee under his chairmanship many years ago and learned a great deal from his work. The Government have committed up to £400 million in grant funding for the removal of Grenfell-style cladding in the social sector, and social housing landlords can apply for the grant schemes in particular circumstances, but we are working with regulators and the sector to ensure that social landlords assess the progress of remediation work. There is much to do, and I look forward to working closely with him on that and the wider agenda.

Since 2017, some progress has been made, including the Building Safety Act 2022, which Labour supported. But what is clear is that the speed of work to fix unsafe cladding is not fast enough. The recent fires in Dagenham and Slough underlined the vulnerabilities that persist in our built environment. Since coming into office, we have met regulators and other industry partners to press for action to make buildings safe. We are contacting all metro mayors in England to ask for their support in driving forward local remediation acceleration plans, working in partnership with regulators.

[Dame Meg Hillier (Hackney South and Shoreditch) (Lab/Co-op)]

I congratulate my hon. Friend on her appointment, which, in trying to put right these wrongs, is to one of the toughest jobs in Government. I wish her all the best.

One of the things that would help is to improve the skills throughput in the construction industry. In my constituency, only one large block has had its cladding completely removed, and that started five years ago—it has taken that long to deal with it—so those that have had no work started are way behind. One big brake on that is skills in the construction industry. What are the Government doing to improve and enhance skills in that sector?

[Rushanara Ali]

I thank my hon. Friend for her intervention on this really important agenda. I will say more about the remediation action plan and our response. The Prime Minister committed to making sure that we respond to the recommendations of phase 2 within six months, and we will certainly be looking at those recommendations. The point she makes, which is very important, has been raised with me over the past few months. I am also familiar with those concerns as I raised them myself when we were in opposition.

I turn to enforcement action. Our message to building owners is clear: those who fail to make their buildings safe will face enforcement action. The funding is there: the Government have committed £5.1 billion to remove dangerous cladding, and industry is providing the rest. All blocks of residential flats above 11 metres now have access to a scheme to fix unsafe cladding. Qualifying leaseholders are protected by law from crippling bills for historical safety defects.

As the Prime Minister made clear in his speech in the House last week, we will take the necessary steps to speed this up. We are willing to force freeholders to assess their buildings and enter remediation schemes within set timetables, with a legal requirement to force action if that is what it takes to tackle industry intransigence. As I mentioned, we will set out further steps on remediation this autumn.

[Emily Darlington (Milton Keynes Central) (Lab)]

I welcome my hon. Friend to her new position; I know that she will be a firm advocate for those thousands of people who are still waiting for remediation to be done on their buildings. While we need to have partnerships with the big housing builders to meet our target of 1.5 million, some of those same developers are still dragging their feet on doing the remediation on homes. Will she assure residents in my constituency and across the country that part of the deal those developers may be doing with other parts of her Department will be about taking seriously their remediation responsibilities for those buildings?

[Rushanara Ali]

I am grateful to my hon. Friend for that important point. A number of developers have already signed agreements on the remediation agenda. The Prime Minister, the Deputy Prime Minister and the whole Government have made the clear commitment to building the 1.5 million homes. These are two sides of the same coin. We have to make sure that buildings that are not safe are made safe, and that the future homes that we build are safe and secure and address the needs of our country. She made important points, and we are very much on the same page.

There is no excuse for a building owner not to enter a cladding scheme that they are eligible for. Any owners who fail to do so will be held to account. We will not sit by while they fail to act. As well as acting now to keep people safe, we are learning the lessons from Grenfell for the long term. We are investing in and supporting local resilience to deliver strong planning, response and recovery. The Department has provided £22.5 million in core capacity and capability funding to local resilience forums since 2021. These are fundamental to our national resilience, and the Department will continue to consider every opportunity for further strengthening them, including by supporting the Cabinet Office to shape and develop the programme of engagement with local stakeholders through the resilience review.

We will ensure robust oversight, strong regulatory frameworks and an unwavering commitment to accountability at every level. That means reforming the construction products industry that made this fatal cladding. Those who compromise that safety will face the consequences. That means taking steps to make the necessary improvements. My written statement last week focused on improving the fire safety and evacuation of disabled and vulnerable residents in high-rise residential buildings in England. In our first weeks in office, we have resolved an important recommendation from the Grenfell inquiry’s first report—five long years after it was published.

The Home Office will bring forward proposals this autumn for residential personal emergency evacuation plans—residential PEEPs, as they are known. Residents with disabilities and impairments whose ability to evacuate could be compromised will be entitled to a person-centred risk assessment. This will identify appropriate equipment and adjustments, supporting their fire safety or evacuation, as well as a residential PEEP statement that records what they should do in the event of a fire. We are getting that important work going by funding social housing providers to deliver residential PEEPs for their renters. The Government will engage with representative groups as these plans are developed. The Home Office plans to lay regulations as soon as possible, with a view to the proposals coming into force in 2025-26.

In addition, we have made progress on delivering sounders—evacuation alert systems for new buildings—to reduce the likelihood and impact of future fires, as recommended in phase 1 of the Grenfell inquiry report. We will consider recommendations from phase 2 regarding construction products shortly, as I mentioned. As the House is aware, we have also announced the withdrawal of the outdated national classes for fire testing standards in favour of the more robust European standards, and we will update approved document B to make provision for sprinklers in new care homes. Last week, we also announced a further £2 million in grant funding to reopen the waking watch replacement fund, and to support more residents in buildings with fire safety defects to put in place common alarm systems. to help them keep residents safe.

[Mr Will Forster (Woking) (LD)]

The Minister has talked about support for high-rise buildings in my constituency. My local authority has removed cladding from several council blocks, including one I grew up in, which are of four storeys or fewer. What support will the Government be able to give lower-rise blocks, and what checks will they do?

[Rushanara Ali]

The evidence shows that the risks tend to be in the high rise, and that has been the focus, but there are arrangements to ensure that lower-rise buildings with safety issues are addressed. We need to look at these issues in the round. It is important that we do not miss anything, but in the Department’s work so far, the bigger risks have been in the higher rise. I take the hon. Member’s point, and where there are issues with lower-rise buildings, we are very much willing to look at how we provide support.

[Dame Meg Hillier]

My hon. Friend is being generous in giving way to Members across the House. As she said earlier in her remarks and just touched on again, sometimes recalcitrant developers are really reluctant to pay and do not engage with residents. There is a danger that those residents will be left at the bottom of the heap as they compete for skills, products and so on. I am sure she is mindful of that, but is she able to give those residents any comfort about the pressure the Government can put on those recalcitrant developers, to help get on with the work and make them pay later?

[Rushanara Ali]

Having dealt with such cases in my own constituency, I am very aware of the challenges. The Prime Minister made it clear that if further action is needed we will take it, but we will use the existing laws and the powers we have to take action now. I assure my hon. Friend that officials are working closely with Members of Parliament to support them and their constituents, to ensure that action is taken. I hope that I can meet colleagues regularly to support them, with officials, to ensure that those who are intransigent do the work that they are required to do. We will take action, and we will work with Members to ensure they get the support they need.

In response to the recent fires in Slough and Dagenham, the Government are supporting local teams to assist those affected. Firefighters also attended a fire in my own borough—a high-rise building in Blackwall. I am very grateful to emergency workers for their bravery and quick response to those and other incidents. Following the fire in Dagenham, at a roundtable of regulators and partners the Deputy Prime Minister made clear that fixing unsafe buildings must happen faster.

Members across the House will share our resolve in wanting the findings of the Grenfell inquiry to be a catalyst for change. I want to assure the House that we will hold a further debate on the Grenfell inquiry report in the autumn, which I know many Members will want to contribute to. It will be an opportunity for them to share their insights, to discuss the specific recommendations that have been made and to work with us to bring about the change that is urgently needed. In the meantime, we will support the Metropolitan police and the Crown Prosecution Service as they complete their investigations and bring prosecutions.

This is about delivering justice and accountability, but it is also about treating everyone, regardless of where they live, with respect. In that spirit, we are listening to those affected. We are engaging with residents, local authorities, housing associations and others in the fire safety community to ensure that our policies and actions reflect the concerns of those affected. We are setting an expectation of industry to ensure that residents are listened to, protected and have peace of mind that action to make their homes safe is a matter of priority and taken seriously. Looking to the future, we will ensure that the security, health and wellbeing of residents and their wider communities will drive our mission to build 1.5 million new homes over this Parliament.

We will never forget the Grenfell Tower tragedy on that night in June 2017. Over the past seven years, the bereaved, survivors and the immediate Grenfell community have campaigned relentlessly to protect their fellow citizens, despite their personal loss and pain. As the Prime Minister said, in the memory of Grenfell we will change our country and we will bring the full power of Government to bear on this task, because that is the responsibility of service and the duty we owe to the memory of every single one of the 72 lives lost.

[Madam Deputy Speaker (Ms Nusrat Ghani)]

I call the shadow Minister.

Exempt Supported Accommodation

Rushanara Ali Excerpts

Tuesday 10th September 2024 Westminster Hall

[The Parliamentary Under-Secretary of State for Housing, Communities and Local Government (Rushanara Ali)]

It is a pleasure to serve under your chairmanship, Sir Mark. I congratulate my hon. Friend the Member for Birmingham Edgbaston (Preet Kaur Gill) on securing this important debate and thank her for the work she has already done to tackle the poor quality of supported accommodation schemes in her constituency.

Housing is a priority for this Government. We are already committed to building 1.5 million new homes, and that will include good-quality supported housing to ensure that residents have the right home to meet their needs. But as we have heard, we need to make sure that the supported housing that already exists is delivering good outcomes for its residents. As the Minister responsible for supported housing, I am determined to tackle the problems discussed in today’s debate. I know how important it is to get this agenda right, because my constituents suffer just like those of my hon. Friend and a number of other Members who have been very active in campaigning to improve the quality of supported housing.

My hon. Friend highlighted the many serious issues—as did the shadow Minister, the hon. Member for Ruislip, Northwood and Pinner (David Simmonds), and the Liberal Democrat spokesperson, the hon. Member for North Shropshire (Helen Morgan)—and the suffering caused by poor-quality supported housing where residents receive little or no support and landlords charge huge rents paid for by the taxpayer, with local authorities lacking the powers to challenge that.

Of course, as my hon. Friend pointed out, we are not speaking about all providers. The majority do a fantastic job supporting their residents to live fulfilling and independent lives, and I commend them for the work they do. We want to see more of those kinds of providers and to help them continue to give their residents the best support they can.

However, in the worst examples I know of, there are harrowing stories of residents being left with no support at all, of criminal gangs taking advantage of vulnerable residents and of women who are fleeing domestic violence and domestic abuse being housed with sex offenders. As my hon. Friend mentioned, there are also examples of lack of support, criminality and dangerous situations for residents, who are put into accommodation by landlords who simply do not care about them. That situation cannot be allowed to continue. As my hon. Friend highlighted, that is a serious and growing problem in Birmingham, but it is not unique to the city and is an issue in other parts of the country.

The Government will take firm action to stop rogues who continue to exploit vulnerable residents and rip off taxpayers by charging excessive rents, which are met by housing benefit. Those abuses have gone on for far too long, and this Government will act to put a stop to them. I look forward to working with colleagues in the different parties, building on the consensus from the previous Parliament.

Poor-quality, expensive and ineffective supported housing was first highlighted in Birmingham in 2018 by the Housing and Communities Research Group, working with the Birmingham Safeguarding Adults Board. The then Government tested ways to increase the oversight of supported housing in a number of areas, including Birmingham, through the supported housing oversight pilot, followed by the expanded supported housing improvement programme, known as SHIP. I agree with my hon. Friend, who was quoted at the time as saying that the schemes were welcome but fell far short of the action needed.

I am pleased to say that the 26 local authorities involved have been reporting good progress against their delivery plans since the start of the initiative. Over 2,400 properties have been inspected, over 8,000 reviews have been undertaken of the support provided to tenants and over 9,400 benefit reassessments have been carried out. My hon. Friend asked about the decision on further funding for SHIP, which is, as she will be aware, a matter for the spending review.

I commend the hon. Member for Harrow East (Bob Blackman) and other colleagues on the work they did in getting the Supported Housing (Regulatory Oversight) Act 2023 on to the statute books. As we have heard, implementing the Act will equip local authorities to go further and to finally put an end to this appalling problem. The Government are determined to get these measures implemented as soon as possible.

My hon. Friend the Member for Birmingham Edgbaston highlighted the lack of data under the previous Government. I am pleased to say that the data position is improving, and an initial research phase looking at supported housing in Great Britain—covering the number of units, the cost, and estimates of need and future demand—has been undertaken on behalf of the Government. A report setting out the findings will be published soon.

I want briefly to set out how the Government intend to address these important issues. As I have mentioned, the Supported Housing (Regulatory Oversight) Act, introduced by the hon. Member for Harrow East, is central to our plans. To be clear, the Government will implement the measures in the Act as soon as possible. These problems have been going on for far too long and action is long overdue. As required by the Act, I will shortly issue a statement to the House about progress on implementing the measures in it, but I am grateful for the opportunity to inform Members of the way forward today.

Work will shortly resume on appointing the supported housing advisory panel. I am grateful for the applications the Department received prior to the general election, and I hope to be able to inform applicants shortly on the next steps.

The Government are finalising a consultation on national standards and plans for a licensing regime for supported housing schemes in England, as well as on the new planning use class that was called for during the Act’s progress through Parliament. We will publish the consultation as soon as possible.

Local supported housing strategies are another vital part of the Act and will ensure that the needs of vulnerable people can be met in the future. Work on them is progressing, and the Government will work closely with local authorities and other stakeholders to develop the comprehensive guidance needed.

The 2023 Act proposes a licensing regime that will give local authorities proper control over who delivers supported housing in their district, and greater powers to intervene when things are not right. We will shortly consult on a locally led national licensing regime that will enforce a set of national support standards in England, and will add further conditions to ensure that rogue providers cannot continue to operate. Conditions will include a fit and proper test for licensees, conditions relating to the condition and use of the accommodation, and a condition requiring all residents to have had their needs assessed. Those conditions will ensure that only good-quality supported housing is licensed and allowed to continue to operate. Providing unlicensed supported housing will be an offence. The Government want to implement these changes carefully to avoid any unintended impacts on the much-needed supply of good supported housing, so it is critical that we consult both the statutory consultees, as set out in the Act, and wider stakeholders and residents.

My hon. Friend the Member for Birmingham Edgbaston asked about progress on developing the national standards. As she and others will be aware, the Act enables the Deputy Prime Minister to set standards for supported housing. While some regulation applies to supported housing, it is not specifically aimed at the support services provided to residents, and applies either to the provider or the physical condition of the property.

It is clear from the problems in supported housing that the current regulations are not enough and that there needs to be specific regulation for this type of housing. That is why the Government will be setting standards that, combined with supported housing licensing, close the gap in regulation and clearly set out what good support services look like and how they must be delivered.

[Preet Kaur Gill]

I thank the Minister for saying that, because I was going to ask her to touch on the national minimum standards. Can she give us a timeline? My worry is that the funding is ending in March 2025 and councils do not have the operating guidelines they need. There are also all the issues she raised in terms of making sure that councils understand how many units they have—let us not forget that Birmingham has the most units in the whole country, which is why I was encouraged that the previous Government included it in the pilot. I think the pilot has produced an evidence base showing why this issue is important: we will save money in the long run, whereas at the moment the taxpayer is almost paying twice. Unless the council intervenes and closes some of these properties, where support is not being provided, it will continue to be extracted from wider council services, which these providers are not paying into. Local government is no doubt listening to this debate, so I urge the Minister to give us a clear indication of what the timeline looks like.

--- Later in debate ---

[Rushanara Ali]

I am grateful to my hon. Friend for raising those points, and I fully appreciate her desire to see action being taken at pace. I want to reassure her that, with colleagues, I have hit the ground running two months into government. I hope she can see that we are making progress and that we want to ensure the consultation resumes as quickly as possible. That is the first step towards making the change that is needed, and it is important that we get it right. We must make sure that local partners —local authorities—are integral to that consultation and that there are no unintended consequences. However, I hear my hon. Friend loud and clear on the need for working at pace, and that is very much the spirit in which I have been working with officials in the Department.

We must give confidence to providers of supported housing that they are doing the right thing and, more importantly, set out to residents what they should be able to expect from their accommodation. My hon. Friend and other speakers have highlighted the urgency of ensuring that that happens. As I have said, we will consult on the standards before publishing guidance and we will continue to work with the Department for Work and Pensions to ensure that work on defining “care, support and supervision” is aligned.

The Government action that I have spoken about is very much targeted at poor-quality providers and is intended to put a stop to those that cannot or will not improve, and to help those that are well intentioned but are falling short in raising their game. It is equally important, however, that we recognise the fantastic work that providers are doing in the sector more widely in supporting vulnerable residents day in, day out. The reforms that we make as a result of the Act must be implemented with great care to ensure that good providers are not overburdened by bureaucracy and the cost of obtaining a supported housing licence.

In conclusion, I would like to thank my hon. Friend the Member for Birmingham Edgbaston once again for securing today’s debate and for speaking so passionately about the impact this important issue has had on her constituents. Her campaigning and work will benefit people up and down the country because she, along with other hon. Members in the previous Parliament—including the hon. Member for Harrow East, who successfully managed to change legislation—is going to make a significant difference to people’s lives. The Government’s position is clear: we are determined to take action to put a stop to this appalling problem that has blighted communities and put vulnerable people at risk of harm. We need to put a stop to it. This Government will deliver the improvements in supported housing quality—the previous Government made some progress, but we need to do much more. I look forward to continuing to work with hon. Members on both sides of the House as we consult and go on to lay regulations that will finally put an end to these issues and ensure that every resident in supported housing is supported in a way that this Government would expect. I look forward to getting that serious work under way as soon as possible.

Building Safety

Rushanara Ali Excerpts

Monday 2nd September 2024 Written Statements

[The Parliamentary Under-Secretary of State for Housing, Communities and Local Government (Rushanara Ali)]

Today, I can update Parliament on fire safety and evacuation proposals; on the recognition of CE (“Conformité Européenne”) marking for construction products; and on updates to the statutory guidance to the building regulations to remove references to outdated national classes fire testing standards and make provision for sprinklers in new care homes.

Fire safety and evacuation

The Home Office will bring forward proposals in the autumn to improve the fire safety and evacuation of disabled and vulnerable residents in high-rise and higher-risk residential buildings in England in response to the Grenfell Tower inquiry’s phase 1 recommendations that relate to personal emergency evacuation plans, or PEEPs. These proposals will be called “residential PEEPs”.

Through them, residents with disabilities and impairments will be entitled to a person-centred risk assessment to identify appropriate equipment and adjustments to aid their fire safety/evacuation, as well as a “residential PEEPs statement” that records what vulnerable residents should do in the event of a fire.

The Government have committed funding next year to begin this important work by supporting social housing providers to deliver residential PEEPs for their renters. Future years’ funding will be confirmed at the upcoming spending review.

The Government have made progress on delivering recommendation 33.22(d) of the Grenfell Tower inquiry’s phase 1 report, on evacuation alert systems (“sounders”) for new builds, through amendment to statutory guidance to the building regulations in relation to high-rise residential building design (requiring sounders to be fitted in new buildings over 18 metres in height).

We will consider further the second part of the recommendation, relating to existing buildings, in the light of further evidence or recommendations in the phase 2 report. This will, like the work on fire safety improvements nationally, be part of the important task of reducing the likelihood and impact of future fires.

CE marking

Construction products are a pivotal part of the housing and infrastructure supply chain and make up 13% of the United Kingdom’s entire manufacturing base by turnover. Ensuring continuing supply of products is critical to delivering house building targets and wider infrastructure ambitions. These products must be safe. Evidence to the Grenfell Tower inquiry revealed the scale of concern about construction products—products which are vital to all our buildings and infrastructure —and the system that oversees them remains inadequate.

A subset of construction products fall within scope of the current construction products regulations. These existing regulations set out rules for placing construction products on the market, providing a common technical language to assess the performance of products. Products within scope of these regulations must undergo an assessment of conformity with the relevant standard or technical assessment. Such products must also be affixed with a UKCA (UK Conformity Assessed) or a CE mark. Current Government guidance sets out that recognition of CE marking will end in June 2025.

I can announce today that the Government will extend the period of recognition of CE marking for construction products. The CE mark will continue to be available when placing construction products on the market across the UK.

We have listened to the findings from the independent review of the construction products testing regime. This was clear that there is currently insufficient testing and certification capacity in the UK alone to provide the volume of conformity assessment that would be required were CE recognition to end. We are also clear that ending recognition of CE marking without reforming the domestic regime would create trade barriers and negatively affect the supply of products that meet recognised standards.

I am also determined to address the inadequacies across the wider construction products regime. Residents and communities need to be confident that their homes will be safe and well-built now and in the future. To ensure this, the Government will want to take into account any recommendations from the forthcoming Grenfell inquiry report to inform proposals for reform. Therefore, I am making this extension, and the longer-term future of CE and UKCA marking, conditional on this Government committing to system wide reform of the construction products regulatory regime.

The Government recognise the role of UK conformity assessment bodies in ensuring compliance of goods on the market. As part of the reforms the Government will work with UK conformity assessment bodies, the UK Accreditation Service, and the wider industry to strengthen the conformity assessment market.

Lastly, I recognise the need for industry to have sufficient certainty to support supply chains. I can confirm that any subsequent changes to the recognition of CE marking would be subject to a minimum two-year transitional period.

National classes and sprinklers in care homes

I am also announcing, today, publication of two updates to the statutory guidance that accompanies building regulations. First, we are introducing a provision for sprinklers to be installed in new care homes. Secondly, we are completing the withdrawal of the outdated national classes fire testing standards, ending a long period of dual specification in favour of the more robust European standard. This implements the recommendation, made in the Hackitt report, for a clearer, transparent and effective testing regime. Alongside guidance for second staircases in tall residential buildings that are more than 18 metres in height, which was published on 29 March 2024, these measures conclude the new policy responses to the sprinklers in care homes, removal of national classes, and staircases in residential buildings consultation, which ran from 23 December 2022 to 17 March 2023.

Withdrawing the national classes fire testing standards from “Approved Document B” will end the dual classification system that has operated since the early 2000s in favour of the more rigorous, internationally recognised European standard (BS EN 13501). The current testing standard tests for both reaction to fire and fire resistance. I am aware that a small number of manufacturers who have only ever tested to national class standards will need time to re-test their products. We are providing industry with a transition period of five years for fire resistance and six months for reaction to fire. This is a generous yet critical approach and has been put in place to facilitate a smooth transition to the European standard that is not disruptive to supply chains.

A compassionate society protects its most vulnerable. Today, I am also publishing an update to “Approved Document B” that makes provision for sprinklers in all new care homes. Sprinklers enhance fire protection where residents may be reliant on others for help and assistance, especially if a building evacuation is needed. Many care home providers already include sprinklers in new designs. For those that do not yet provide for sprinklers, again, I recognise that businesses and investors seek certainty. So, care homeowners and developers will benefit from a six-month transition period until the guidance comes into effect and will then have a further six months to enable work on current development projects that are under way, or about to start, to continue.

[HCWS62]

Oral Answers to Questions

Rushanara Ali Excerpts

Monday 2nd September 2024 Commons Chamber

[Ben Goldsborough (South Norfolk) (Lab)]

6. What steps her Department is taking to help improve standards of construction in new build homes.

[The Parliamentary Under-Secretary of State for Housing, Communities and Local Government (Rushanara Ali)]

The Building Safety Act 2022 requires building safety and building standards to be kept under review. Building regulations can then be updated, as needed. Building regulations apply to building works, including when a building is designed, constructed or subjected to a major redesign, and they are supported by approved documents.

[Ben Goldsborough]

Residents in both Hethersett and Loddon have fallen victim to new homes being built to poor standards, shattering their dreams of home ownership from day one. Does my hon. Friend agree that on our ambition to deliver 1.5 million new homes, they must be 1.5 million decently built new homes?

[Rushanara Ali]

As my hon. Friend says, this Government are committed to delivering 1.5 million quality homes over this Parliament to ensure that people have access to high-quality housing. New build homebuyers must feel confident that their new home is safe, and this Government are committed to improving redress for homebuyers when things go wrong. We are considering the recommendations in the Competition and Markets Authority’s recent market study on house building, and will publish our response in due course.

[Bob Blackman (Harrow East) (Con)]

The hon. Lady will be well aware of the recent fires in east London and the fact that many high-rise buildings in this country are still not deemed safe because developers are refusing to do what they should. What action will she take to force developers to make buildings safe for residents?

[Rushanara Ali]

I know the hon. Gentleman did a great deal of work on this agenda in the last Parliament. This week, more than seven years after the Grenfell tragedy, the community will receive the public inquiry’s final report, and I hope its findings will help to provide the truth that the bereaved and survivors deserve. The Dagenham fire, to which the hon. Gentleman refers, must have had a traumatic impact on those people, as well as on the affected residents.

Today we have published a written ministerial statement setting out our actions in relation to the outstanding phase 1 recommendations of the Grenfell inquiry, and further work is under way to ensure that we can accelerate the work to make buildings safe. I look forward to working with the hon. Gentleman on this agenda.

[Dame Meg Hillier (Hackney South and Shoreditch) (Lab/Co-op)]

Hundreds of my constituents live in leasehold properties with problems. I should declare for the register that I live in a leasehold property, although my developer funded the full cost of cladding removal. There is still a very long wait for those who are not yet in the queue, and one brake on delivery is the lack of skilled people in the construction industry. What work is my hon. Friend doing with other Departments to make sure that we develop the skills we need? Seven years after Grenfell, we still see some buildings where work has not started, so we do need to put our foot on the accelerator.

[Rushanara Ali]

This is a very important area and we are absolutely committed to increasing the skills and competence within the sector. The industry has actively responded to Dame Judith Hackitt’s challenge, but there remains significant work to be done to upskill industry members and prepare for the new regime. The Department and the Building Safety Regulator will support industry as they identify skills and capacity gaps, provide relevant training and set up accredited competence schemes. I look forward to working with colleagues who will all have an interest in speeding up remediation work and improving capacity in the sector.

[Ellie Chowns (North Herefordshire) (Green)]

Given the Government’s ambitious house building plans, the energy crisis and the climate crisis, will the Minister bring forward legislation in the forthcoming planning and infrastructure Bill to ensure all new houses have solar panels on their roofs as standard, so they can generate their own power, and net zero building standards are brought forward as soon as possible, so that homes are well insulated, warm and cheap to heat?

[Rushanara Ali]

The Government have set out very ambitious plans on home building and on green issues. The future home building programme will address those issues; we look forward to working with colleagues on the issue.

[Mr Clive Betts (Sheffield South East) (Lab)]

The last Government consulted at very great length about bringing accessibility standards for all new homes up to M4(2) level. The Housing, Communities and Local Government Committee recommended that be done immediately, but the response we got was that more consultation was needed. Will the Minister assure us that the issue will now be dealt with as a matter of urgency, so that all new homes are more accessible for people with disabilities? It is a really important issue that seems to have been forgotten about.

[Rushanara Ali]

Today, in our written ministerial statement, we have set out a number of proposals. The points my hon. Friend makes about accessibility are extremely important. We will do further work, building on the statement published today. I look forward to working with him to address the issue.

[Steff Aquarone (North Norfolk) (LD)]

People in North Norfolk desperately want new homes for local people to be built. They know those homes need to be good-quality and support active lifestyles, but currently local councils lack the tougher powers they need to make those demands. Will the Minister tell me what she plans to do to give planners, such as those at North Norfolk district council, greater powers to demand more from developers?

[Rushanara Ali]

The national planning framework will set out further how we intend to provide key support to local authorities and to work closely with local authorities to ensure the issue is addressed.

[Dr Allison Gardner (Stoke-on-Trent South) (Lab)]

8. What steps she plans to take to reform the leasehold system.

--- Later in debate ---

[Liz Twist (Blaydon and Consett) (Lab)]

Among the many people who are concerned about the safety of buildings—understandably, given recent events—are those who work or live in residential social care homes. Does today’s announcement include higher safety standards, including sprinkler systems in such homes?

[The Parliamentary Under-Secretary of State for Housing, Communities and Local Government (Rushanara Ali)]

I completely agree with my hon. Friend that we should ensure that the most vulnerable in society are protected. That is why the Government have today announced an amendment to the statutory fire safety guidance to make provision for sprinkler systems in all new care homes.

[Mr Gideon Amos (Taunton and Wellington) (LD)]

Over 10,000 people, many of whom are in really desperate conditions, are on the housing waiting list in Taunton and Wellington and in Somerset as a whole. Will the Secretary of State allow councils to borrow at low interest rates to build the council houses that we need across the country, and support councils such as Somerset council, which is pioneering the first council houses for a generation in some parts of the county?

Building Safety

Rushanara Ali Excerpts

Monday 30th January 2023 Commons Chamber

[Michael Gove]

We will do everything we can, and I hope Crest Nicholson will hear clearly exactly the eloquent plea the hon. Lady makes.

[Rushanara Ali (Bethnal Green and Bow) (Lab)]

In my borough we have the largest number of cladded blocks and we have had numerous fires, which have terrified residents. Last March, more than 100 firefighters were at the scene of one fire on Whitechapel High Street, in Houblon Apartments in the Relay Building. The building is owned by a mixture of private companies and social housing providers, and residents could not make head or tail of where the owners of the private companies were. There is a major issue with freeholders who are registered offshore so that our constituents cannot track them down. After years of asking for this, I ask again: can the Secretary of State commit to providing the legal support, or to the Government’s going directly after those who are not doing the work they are supposed to, rather than our constituents’ having to fight legal battles on top of living in dangerous cladded properties?

[Michael Gove]

That is exactly what our establishment of the recovery strategy unit is designed to do. I hope the hon. Lady will be in touch directly with Brigadier Cundy.

Building Safety Bill

Rushanara Ali Excerpts

Consideration of Lords amendments
Wednesday 20th April 2022 Commons Chamber

[Stuart Andrew]

I appreciate the hon. Gentleman’s point. I want to ensure that we get the consultation under way as quickly as possible. I accept that people have deeply held concerns, so we will do our best to get that done speedily, but we do need to consult. We need to get the evidence and know exactly what the picture is, in order to know how best to deal with that situation.

Lords amendment 184 inserts a new schedule 8, titled “Remediation costs under qualifying leases”. It sets out the circumstances in which costs cannot be passed on to leaseholders. The Government’s original proposals set out that where the building owner is, or is linked to, the developer or can afford to meet the costs in full, they would be prevented from passing costs on to leaseholders.

It is worth stressing just how wide these proposed protections are. If a building is still linked to the developer, that building owner and the landlord will be liable for the costs associated with non-cladding defects and their leaseholders will pay nothing. If the building owner or landlord is not linked to the developer, but has the wealth to meet the costs in full, their leaseholders will pay nothing. If a leaseholder property is valued at less than £175,000, or £325,000 in London, the leaseholder will pay nothing and, if the leaseholder has already met interim costs that exceed the contributions cap, they will pay nothing.

Based on that “waterfall”, the Government’s assessment is that the vast majority of leaseholders would pay less than the caps and many would pay nothing at all. However, it is important to remember that not all landlords are evil. Where the building owner or landlord is not at fault, where they have no link to the developer who created those defects and they do not have the wealth to meet the remediation costs in full, and only in that situation, we propose that leaseholder contributions towards non-cladding defects can be recovered, subject to the fixed caps.

[Rushanara Ali (Bethnal Green and Bow) (Lab)]

I apologise for not being able to be here since the beginning of the debate as I was at the rally with leaseholders.

Does the Minister agree that there is a conflict of interest issue? As I have seen in my constituency, which has many cladded buildings, it is often freeholders who do the assessments, which therefore do not have the necessary independence or checks and balances. Does he agree that it is worth having a building works agency, as Labour proposes, with independent assessors to do the work, so that residents can have confidence that there will be no more attempts to find ways to pass on the costs to leaseholders? We have had three fires in my borough since Grenfell, and it is vital that freeholders take the responsibility rather than passing on the bill.

--- Later in debate ---

[Rushanara Ali]

On that point, does my hon. Friend agree that if the Government do not act to safeguard such blocks, the people who live in those kinds of accommodation will find it very difficult to be insured and to get mortgages? This is a short-sighted response, when the Government could address these issues in the round.

[Matthew Pennycook]

My hon. Friend is absolutely right, and it has been a consistent position of ours that we ensure that all leaseholders affected by the building safety crisis are protected irrespective of circumstance, including what height their building happens to be. For that reason, we will oppose Government amendment (a), tabled yesterday to Lords amendment 94, and seek to ensure that the Lords amendment remains unmodified.

I turn to the third issue we are considering this afternoon: enfranchised buildings. Under the Bill, enfranchised leaseholders will, in effect, be treated as freeholders when it comes to the costs of remediation. That cannot be right. Buildings that have exercised a right to collective enfranchisement, or those on commonhold land, may be few in number, but it has been the policy of successive Governments to encourage leaseholders to enfranchise and to promote the right to manage. Indeed, the Government have promised legislation in the next Session to make it easier and cheaper for leaseholders to buy the freehold of their building, yet the Government have put forward no solution whatever to the issue of enfranchised buildings in the Bill as it stands, and they are seemingly content, at least until this afternoon, to see such leaseholders completely excluded from the protections enjoyed by those in buildings that remain unenfranchised. We vehemently disagree with that position. It is imperative that such leaseholders are afforded the same protection as those who do not collectively own or manage their buildings. As Lord Young put it in the other place,

“it would be perverse if the legislation before us today put enfranchised leaseholders in a worse position than leaseholders who are not enfranchised”.—[Official Report, House of Lords, 29 March 2022; Vol. 820. c. 1509.]

It is essential that the service charge protections set out in schedule 8 to the Bill apply clearly to enfranchised buildings and buildings where the right to manage has been exercised, which is another reason why we cannot support Government amendment (a), tabled yesterday to Lords amendment 94, and why we will seek to divide the House on it. The Minister is right to say that pressing the amendment to a vote is not enough, and that at some point the Government will have to go further than simply accepting Lords amendment 94 or a version of it, because the Bill in its current form would not prevent resident-owned companies from making unlimited demands on leaseholders in their capacity as shareholders, to cover the costs that they would be unable to pass on via service charges if the Lords amendment, or a version of it, were to remain part of the Bill. So the Government will have to act.

I noted what the Minister said about a consultation, but I have to say that I agree entirely with my hon. Friend the Member for Sheffield Central (Paul Blomfield). It is too late in the day to consult on this matter. Four and a half years after Grenfell, the Bill needs to be amended to reflect and deal with this issue.

I turn to the fourth issue we are considering this afternoon, which is buildings held in trust. As it stands, buildings held in trust on behalf of a third-party investor, where the landlord is a professional depository or custodian regulated by the Financial Conduct Authority, or buildings owned on trust by what I can only describe as ground rent grazers—almost invariably based offshore—do not meet any of the association tests or the net wealth test in the Bill. Unless the Bill is revised to capture such trustee arrangements, they will escape the so-called waterfall system as set out in schedule 8, and the leaseholders will find themselves picking up a proportion of the costs of non-cladding remediation. The Minister is right to say that, in the other place, the Government accepted that the Bill needed to be so modified, and yesterday they tabled an amendment to Lords amendment 98 as a result.

Let me be clear that the inclusion of Lords amendment 98, as amended in the way the Government propose, would make for a better Bill than one that has no provision addressing the trustee loophole whatever. However, the Government amendment tabled yesterday afternoon has serious deficiencies, which are almost certainly the result—I make no charge against the officials involved—of the hurried timescale in which it has been drafted and tabled. Let me take the two most obvious problems with it. First, the Government amendment covers only partnerships or bodies corporate that are a beneficiary of a trust; private individuals are entirely excluded. That cannot be right, and they must be brought within the scope of these arrangements.

Secondly, the Government amendment makes no distinction whatever between types of trusts. A local authority pension fund, for example, will be liable under the waterfall system in precisely the same way as an offshore ground rent grazer. We believe that that is wrong and that the Government should think further about how they might better protect trusts where there is a clear public interest in doing so. We will not oppose Government amendments (a), (b) and (c) to Lords amendment 98, but I urge the Minister and his officials to go away and consider whether the flaws in the Government amendment as currently drafted can be rectified as the Bill progresses.

--- Later in debate ---

Yet currently this Bill discriminates against social housing tenants. The National Housing Federation has said that up to £10 billion could be needed to remediate social housing. The G15 group of social housing landlords has said that, for their properties alone, it could be over £3 billion. Either that is money that will not be spent on building new social homes for the future as part of the Government’s commitment to get to 300,000 homes a year, or it will be money that is not used to upgrade and improve the social housing itself. That cannot be right, and I hope at some point the Minister will confirm not merely that the Government are considering it, but that they do accept the principle that social housing and social housing tenants should be treated equally and fairly—otherwise, what was the point of the then Prime Minister’s comments after Grenfell about fairer treatment?

[Rushanara Ali]

Does my hon. Friend agree that, if the Government do not invest in improving social housing, there is a real risk that some of that housing could become unsafe and could create fire risks, so it is incredibly short-sighted to divert funds from investing in improving social housing? I have seen that at first hand in my own constituency and how that can create risk.

[Mr Betts]

Absolutely. It is important that the money is available to make sure that all buildings are safe, that everyone is safe in their home, whether they be a leaseholder or a social housing tenant, and that the money provided to make those buildings safe comes from the various funds the Government have identified, and is paid fairly and equally to blocks, whether they are in the private sector or the social housing sector. I hope the Government will listen to that view, which has been expressed by the NatFed and the Local Government Association, to which I am grateful for helping with my amendments today. Just to declare that I am a vice-president of the Local Government Association and very proud to be so, and I think its campaign, along with the NatFed’s on this issue, is fundamentally right.

Building Safety Bill

Rushanara Ali Excerpts

2nd reading
Wednesday 21st July 2021 Commons Chamber

[Rushanara Ali (Bethnal Green and Bow) (Lab) [V]]

I begin by paying my respects to all those who lost their lives in the Grenfell Tower disaster, and to their family members and relatives who continue to campaign to protect others in our country. I also pay tribute to all those in my constituency who have been campaigning, as we have a large number of blocks with ACM cladding and other safety risks.

Although I support many aspects of this Bill, it is clear that the Government are missing an opportunity to protect the hundreds of thousands of people who need protection. That is why it is important that, although the building safety fund is welcome, the Government should look to provide additional funding for those blocks that are not getting the funding they urgently need. The companies that are responsible should pay. As I have argued time and again over the past four years, it should not be on our residents to have to go after the companies. The Government should be going after the companies. The Government have not done enough; they need to do much more.

When the Grenfell Tower disaster happened, the then Prime Minister said that we should “do whatever it takes” to protect our people. Yet, year in and year out, many of us on both sides of the House have campaigned and are still arguing about funding and support for our constituents.

Despite what the Secretary of State said today, the Fire Brigades Union has said that the building safety fund completely ignores unsafe buildings beneath the arbitrary 18-metre limit. As he admitted, there are still people at risk. He mentioned 10 people who have died, and that is 10 too many. It is important that this Government do not create a trend of callous disregard for human life. Our constituents have had to live in fear during lockdown in dangerous ACM-clad properties.

In Poplar and Limehouse, Tower Hamlets, we saw a fire in a block with ACM cladding in May, and it was described by The Sunday Times as being

“‘minutes’ away from being another Grenfell Tower.”

In our borough there are 291 buildings at risk, which is why we need the Government to take action, to improve the Bill and to accept the Labour amendments and other sensible amendments that have been proposed.

In Claremont Court, Tower Hamlets Community Housing has applied to the building safety fund, like other housing associations in other blocks. While some have received some funding, others have been rejected for no good reason. I hope that the Secretary of State will look at those cases again.

Affordable and Safe Housing for All

Rushanara Ali Excerpts

Tuesday 18th May 2021 Commons Chamber

[Rushanara Ali (Bethnal Green and Bow) (Lab) [V]]

A year on from the global pandemic and we have lost so many of our fellow citizens; in Tower Hamlets, in my constituency and across the borough, we have lost more than 518 of our fellow citizens. This pandemic has shown and exacerbated the deep inequalities in our society, with those who face severe levels of overcrowding and who suffer from inequality and poverty being disproportionately affected. That is why it was so important in this Queen’s Speech for the Government to ensure an ambitious programme to protect our citizens, bounce back and recover from what has been the most unprecedented crisis since the second war and the most unprecedented economic hit on our country for hundreds of years—and why it is so deeply disappointing that the Government have not gone far enough to address the crisis in social and affordable housing in our communities.

In Tower Hamlets, we have more than 20,000 people on the housing waiting list. When the pandemic hit, the first thing that I said to the Chancellor when he came before the Treasury Committee was that in areas like mine, where the risk factors are higher because of high levels of health inequality, they are made even greater by the high levels of severe overcrowding, because if infection comes within a household, it is impossible to self-isolate. We have seen that over the past year not only in my constituency but across our city, and across communities where families live with severe overcrowding. That is why it is so important for the Government to introduce proper funding and support and empower local authorities with backing and finance to work with social housing organisations to build.

We need a building programme for genuinely affordable housing and for social housing, but we have not seen that, and the planning reforms will not help the process. We have a Government who are much happier in the pockets of developers, as we saw in the scandal last year about property deals and planning permission, as well as in more recent scandals that we have seen in the papers. We need a Government on the side of the public to build homes that are safe.

That point takes me on to the cladding crisis. At the forefront of any Government’s responsibilities should be the duty to protect their citizens from the likes of the Grenfell fire disaster. It was an absolute catastrophe for those who lived in that block. More recently, in Tower Hamlets, there was a fire in a block in New Providence Wharf, in the constituency of my hon. Friend the Member for Poplar and Limehouse (Apsana Begum). The Sunday Times reported that it

“was ‘minutes’ away from being another Grenfell Tower.”

Yet tens of thousands of people, not only in my borough but across the country, have still not had their cladding removed or their homes made safe by this Government.

Once again, I call on this Government to get their act together. Four years have passed since the Grenfell disaster, yet we still have fires, we still have the risk and we nearly had another Grenfell disaster in Tower Hamlets. I call on the Government to set an urgent timeline and timetable to get rid of flammable cladding and other risks to people’s homes, and to support Labour’s amendment today.

Oral Answers to Questions

Rushanara Ali Excerpts

Monday 19th April 2021 Commons Chamber

[Janet Daby (Lewisham East) (Lab)]

What support he plans to provide to (a) leaseholders and (b) tenants living in buildings under 18 metres of height with flammable cladding.

[Rushanara Ali (Bethnal Green and Bow) (Lab)]

What steps he is taking to support leaseholders living in buildings under 18 metres in height with (a) dangerous cladding and (b) other fire safety defects.

[The Minister for Housing (Christopher Pincher)]

Buildings below 18 metres in height will not carry the same inherent risk as a building above 18 metres. However, some will need remediation. To give residents in lower-rise buildings peace of mind, we are establishing a generous scheme to ensure that, where required, cladding can be remediated on buildings between 11 metres and 18 metres. Leaseholders will be asked to pay no more than £50 a month, protecting them against these unaffordable costs. We will work at pace to develop the details of the scheme and communicate them to the House as quickly as possible.

[Christopher Pincher]

The hon. Lady is right; great progress has been made over the last four years to ensure that the remediation of high-rise properties is undertaken, because that is where we have been guided by official advice. I can tell the House that remediation has either been completed or is under way in 95% of aluminium composite material-clad buildings. We are clear that buildings below 18 metres also need help, which is why we have tabled this generous package of support where otherwise there would be no support. It is also clear that developers and building owners are stepping up to the plate and remediating the buildings for which they are responsible, and are providing funds so to do.

[Rushanara Ali [V]]

Many leaseholders have spent their third lockdown stuck in buildings with serious safety defects and are unsure when the works will be completed. The Minister talks about providing a generous scheme for blocks of 18 metres or less. Can he explain to the House how generous that programme is, how much is being committed and when our constituents can expect the works to be completed—both for blocks under 18 metres and blocks over 18 metres that require remedial works—so that people do not have to continue to live in potential death traps?

[Christopher Pincher]

With respect to buildings over 18 metres, the hon. Lady will know that we set aside funds of £1 billion using the building safety fund in order to deal with properties with non-ACM dangerous cladding material. Some 106 buildings have already begun that work and we estimate that a further 338 will begin the work by September, which was the date that we set for work using BSF funds to be undertaken. With respect to buildings below 18 metres, we want to ensure that we are prioritising affordability and accelerating remediation where it is required. It is a complex set of challenges, but we are determined to meet them and to get this right, which is why we will bring forward further information as soon as we are able to do so.