Sajid Javid
Main Page: Sajid Javid (Conservative - Bromsgrove)One person sleeping on the streets is one too many, which is why we committed ourselves to spending more than £550 million to tackle homelessness and rough sleeping in England. That includes supporting 84 projects through our £50 million homelessness prevention programme, an end-to-end approach to tackling homelessness and rough sleeping.
Since joining the House in 2010, I have seen with my own eyes the incredible increase in the number of people sleeping rough on our streets. I have seen it in my constituency and in places that I have visited around the country, and, indeed, I see it on the doorsteps of Westminster itself when we arrive and leave for votes. Can the Secretary of State tell me what changed in 2010?
The hon. Gentleman may know that the number of statutory homelessness acceptances is below its peak—less than half its peak in 2003—but of course there is much more to be done, especially, as he pointed out, when it comes to rough sleeping. I have seen it as well: I have seen it throughout the country, and I have seen it here at Westminster. As he may also know, I said a great deal about this issue at the Crisis 50th anniversary conference. I said, for instance:
“Ending rough sleeping is within our gift. It is something we can do. It is something we must do. And, working together, it is something we are going to do.”
Many people fear that the general election may result in a delay in the implementation of the Homelessness Reduction Bill. Will the Secretary of State tell us what progress has been made so far? Given that the Bill has cross- party support, can the work not continue during the election period?
Let me take this opportunity to congratulate my hon. Friend the Member for Harrow East (Bob Blackman) on all the work that he did to present that Bill and to get it through Parliament. It has still to complete one final parliamentary stage—about which we are very confident—but we have already started work with local authorities to ensure that it comes into force straight away.
In my home borough of Westminster—which includes Westminster station, where, as has been mentioned, we see rough sleepers—the level of rough sleeping has soared. The Westminster council area alone contains a third of all the rough sleepers in London. The council has just cut—indeed slashed—its rough sleeping budget. Does the Secretary of State believe that that will help or hinder efforts to reduce rough sleeping?
We are providing more funds for councils throughout the country, including Westminster council, to combat rough sleeping. For example, we have provided £100 million to deliver 2,000 independent living units, as well as a £20 million rough sleeping grant. However, as I said earlier, I want to do more, and the Government are determined to do more. A few weeks ago, I went to Finland to see what it has done for itself with the Housing First project. I think that we can learn lessons from others, and make sure that we do more at home.
Since 2015 I have led a range of homelessness roundtables in Bath, bringing together charities such as the Genesis Trust, Developing Health & Independence and Julian House, all of which have received Government funding. Does my right hon. Friend agree that the integration of services is critical to solving this problem, and that residents of Bath should back my plan in order to help to solve it?
I very much agree with my hon. Friend, and I commend the work that he has done locally, which is very well known, in trying to bring those services together. I am pleased to be able to tell him that Swindon, Wiltshire, Bath and North Somerset councils will benefit from some £259,000 in rough sleeping grant to help promote integration.
The scale of rough sleeping and homelessness in Britain today shames us all. In a country as decent and well off as ours, it is not inevitable. However, the level has more than doubled since 2010 as a direct result of decisions made by Conservative Ministers.
There are very few simple rules in politics, but this is one: with a Labour Government homelessness falls, and under the Tories it goes up. On 8 June, people will ask themselves, “Do we really want more of the same?” Let me say to the Secretary of State that, with a new national mission, he need not go to Finland. Will he, before the election, commit his party to matching our Labour commitment and backing our Labour plans to end rough sleeping by the end of the next Parliament?
I know the right hon. Gentleman, and I know that he cares deeply about this issue, as do Conservative Members. He should not play party politics with it, because it is a very serious issue that unites everyone in the House. We all want to see an end to rough sleeping, but he knows as well as I do that its causes are complex. They are not just economic; there are mental health problems, and addiction problems. We do have lessons to learn from abroad, but I am sure that if the right hon. Gentleman works with us—if we work together—we can all unite in ending rough sleeping for good.
This is precisely about politics: it is precisely about the political decisions made over the last seven years that have made the causes of homelessness so much worse. Rapidly rising homelessness is just the tip of the iceberg on seven years of failure on housing: rough sleeping doubled, home ownership down, house building falling, private renters ignored, housing benefits bills ballooning, and now the lowest level of new affordable homes to rent and buy for 24 years. No wonder Labour is ahead in the polls on housing. After seven years of failure, the Tories have no plan to fix the housing crisis. Is that not why people now desperately need a new deal on housing led by a new Labour Government?
I thought that if anyone was going to raise the opinion polls today, it would be a Conservative Member, but the right hon. Gentleman continues to surprise us all. I say to him again: let us work together on rough sleeping. It is very easy for Labour to make a commitment to end rough sleeping without having any plans, any initiative, or anything in hand to show what they would actually do about it. We have got the ideas, and we have new ideas, for example the Housing First concept which we are trialling already—right now—in Liverpool. The right hon. Gentleman has the opportunity to work with us if he really means it.
We have doubled the level of small business rate relief to 100% and made it permanent. This means that around 600,000 small businesses will pay no business rates at all. At Budget, we also announced a £300 million discretionary fund so that councils can provide additional support to businesses facing increased bills.
York’s economy is being damaged by sharp business rate increases due to the revaluations. While the exemption from paying the full business rates has risen from £12,000 to £15,000, business rate increases have rocketed far beyond that in York. This is totally unfair, and small businesses in the city, previously exempt, are now desperate. Some are facing a 600% increase in their rateable value, including The Slip Inn, and no one knows how the new relief funds will even be distributed—total chaos! Can the Secretary of State say why the business rate burden is falling harder on smaller businesses and if he will urgently review the exemption level?
Overall, businesses in the north have seen on average a fall through the revaluation process.
The hon. Lady talks about York. Since 2010 York has had a 74% fall in unemployment. That is because York has a Conservative-led council working with a Conservative Government. If the Labour party gets its anti-business agenda and hikes up taxes on businesses throughout the country, we know what the result will be.
Is the Secretary of State aware that many Labour-controlled councils are still pursuing anti-car policies? Will he remind them of recommendation 9 of the Mary Portas retail review, which stated that free and available but controlled parking should be made available to high street shoppers?
As always, my right hon. Friend makes a very good point about anti-car policies coming from Labour councils. Where councils have worked with businesses and taken a pro-car policy, especially on parking, that has helped local businesses, and Labour can learn a lesson from that.
Given the great concern expressed by small businesses up and down the country about their ability to pay the business rate rises, I am going to give the Secretary of State another chance. What reassurance can he give small business owners who are concerned about the impact of rate rises that they will not be paying higher rates over the next few years than online and large retailers such as Sports Direct?
I can tell the hon. Lady two things. First, I point her to the package my right hon. Friend the Chancellor announced at the Budget: £435 million of additional help for small businesses with rates, including the £300 million discretionary fund, for which there will be absolutely no delay because of the general election. It is going ahead exactly as planned. Indeed, the Government have already confirmed the final allocations for all local authorities, and local authorities are free to start using that scheme and helping local businesses.
Secondly, I point the hon. Lady to what my right hon. Friend the Chancellor said in the Budget speech. He said that
“in the medium term…we have to find a better way of taxing the digital part of the economy—the part that does not use bricks and mortar”—[Official Report, 8 March 2017; Vol. 622, c. 812.],
and that we also need to look at the frequency of the revaluation process.
Many small businesses in Bury will see a fall in their business rates as a result of the revaluation, but because of phasing it will be some years before they receive the full benefit. Will my right hon. Friend look again at what can be done to speed up the introduction so that they can feel the full benefit sooner?
We have also put in place the transitional relief scheme, which is worth more than £3 billion and will help businesses across the country, including in my hon. Friend’s constituency. That will certainly speed up the introduction.
During the last Communities and Local Government questions, I asked the Secretary of State to engage with me and with councillors on Belfast City Council to determine how best we could grow business there through a city deal. He kindly agreed to do this, but sadly events have overtaken our arrangements. Given the commitment that he has made to spreading city deals throughout the devolved regions, will he assure us that he would like to see that theme continuing in the Department for Communities and Local Government?
I would be very happy to meet the hon. Gentleman before Parliament is prorogued.
In September 2016, we announced the extension of the local housing allowance exemption for supported housing until April 2019. We have recently consulted on a reformed funding model for supported housing. We are not doing this to save money; we want to get the right model to deliver improvements in quality and in value for money.
Telford has some excellent supported housing schemes, many of which I have visited, including Rose Manor in Ketley and Vicarage Grove in Dawley. However, supported housing costs can often be higher than the local housing allowance rate. How will the Government’s reforms address that concern?
My hon. Friend makes a good point. Last September, we announced that we would devolve funding to local authorities so that providers could, when necessary, reflect the higher average costs of supported accommodation. This would give local authorities an enhanced role in commissioning supported housing in their area.
The Secretary of State will be aware of the Select Committee inquiry into funding proposals for supported housing. Will he give me an assurance that he will reflect carefully on the overwhelming evidence that we have received, which shows that the local housing allowance rates are not an appropriate basis on which to devise a funding scheme for supported housing?
I can tell the Chair of the Select Committee that the Government hugely value the role that supported housing plays in helping vulnerable people. I take seriously what the Committee has to say, and I know that the Under-Secretary of State for Communities and Local Government, my hon. Friend the Member for Nuneaton (Mr Jones), has given evidence to its inquiry. I will look at this matter carefully, because I want to ensure that the final model incentivises providers to continue to provide this important type of housing.
I very much welcome the Government’s commitment to the supported housing project and the extra moneys that have been devolved to local authorities for that purpose. However, the local housing allowance cap significantly favours London over the regions. For example, 99% of tenancies in my region will require a top-up from the fund, whereas only 3% of tenancies in London will do so. Would the Secretary of State be prepared to look again at this matter, to ensure that we have a system of supported housing that works for everyone?
I know that my hon. Friend takes a strong interest in these matters, including in his role as a member of the Select Committee. I have listened to him carefully, and others made a similar point during the consultation process. I can assure him that we will look at all the responses carefully and ensure that the final system works for everyone.
The Select Committee inquiry has received evidence that the Government’s approach to supported housing is causing many providers to put new schemes on hold and resulting in some pulling out of providing supported housing altogether. When will the Secretary of State accept that his policy is damaging the provision of housing for our most vulnerable residents, and when will he commit to providing the funding and certainty that the sector needs if it is to provide the supported homes that we need?
It is important that we take a careful look at this policy, precisely because we all want to see a sustainable model that will result in providers providing enough of this type of home. That is exactly what this policy is designed to do, and when we come out with the final policy, that is what it will achieve.
We are committed to protecting and boosting the supply of supported housing, and since 2011 we have delivered 23,000 new supported homes in England. My hon. Friend will know that we recently consulted on a reformed funding model, and we are now keen to press on with that reform as soon as possible.
I will probe a little further on emergency short-term accommodation, such as women’s refuges. Does the Secretary of State agree that a totally separate funding stream is essential to honouring our ambition that no victim be turned away from accessing critical support services by 2020?
My hon. Friend highlights an important point. We have been working with the sector to develop options to ensure that providers of short-term accommodation continue to receive the appropriate funding. That might be through a different funding mechanism from the one we have today, but it is vital that supported housing receives the protection it deserves, and it will.
The Secretary of State knows that he has let down elderly people in this country. It is not just supported housing or funding but the fact that, in constituencies such as mine, we have a magic wand whereby suddenly student accommodation rises like daisies in the spring. But when it comes to accommodation for elderly people who desperately need it, because we have an ageing population, he has got nowhere in what he has achieved.
Perhaps the hon. Gentleman just missed what I said: since 2011, 23,000 units of specialised and general housing have been delivered for vulnerable people, and we have provided another £400 million for specialist homes throughout the country. That kind of action makes results, and he should welcome it.
In evidence to a joint Select Committee inquiry, David Orr of the National Housing Federation said that the local housing allowance was
“not a competent starting point”
for a funding model. Is the Secretary of State wedded to LHA as a starting point, or is he considering some other option?
We have just had a consultation on supported housing, which is now closed. We received a number of representations and we want to consider them carefully, but whatever the final model is, it will be designed to be sustainable for the long term and provide the supported housing we need.
I look forward to hearing the Government’s response on that, and it would be useful to get a date on that issue. On the different types of supported accommodation being consulted on, does the Secretary of State recognise that placing an arbitrary limit on the length of time somebody is in short-term accommodation could have a detrimental effect on their life chances thereafter if they are forced to leave that supported accommodation too soon? Will he allow flexibility in the system, so that organisations such as Emmaus and Blue Triangle in my constituency can keep people for as long as they need to be there?
As part of the review and the response to the consultation, we are considering exactly the point the hon. Lady raises: the terms of access to short-term accommodation.
My Department regularly meets housing associations to discuss how we can help keep rents affordable and increase the supply of new homes. Our housing White Paper has been welcomed by the sector and we look forward to many more productive discussions in the coming years.
I thank my right hon. Friend for his answer. Indeed, the housing White Paper has been welcomed by housing associations. Does he agree that the future rent policy should not only guarantee affordability, but offer long-term certainty for housing associations, so that they do deliver the homes that we need?
Yes, I do agree with my hon. Friend. It is an excellent point. Housing associations currently account for roughly a third of total housing supply, and we do want a situation in which they can borrow even more against that future income to build even more homes. That is something that it is in the housing White Paper, and we intend to build on it.
In the past few weeks, we have set out our plans to crack down on rogue landlords, we have launched 12 new enterprise zones, we have unveiled a £40 million cash boost for Britain’s coastal communities and we have listened to some of the concerns voiced about our business rates revaluation, responding with a £435 million package. However, contrary to previous promises, I can no longer expect to deliver 100% business rates retention by the end of this Parliament—simply because the end of this Parliament will now come round rather sooner than I had previously thought.
First, may I tell my hon. Friend that I enjoyed my visit to his beautiful and sunny constituency last week? The idea of this back-office hub, which I heard about from the local Conservative group, is a very good one. It highlights the fact that Conservative councils cost you less but deliver you more, so if local people want to see that, they should vote Conservative in the local elections throughout the country on 4 May.
First, I agree with my hon. Friend that Kettering is, indeed, a wonderful place. I do understand that unauthorised encampments can cause real distress for local communities. He will know that, since 2010, the Government have made a number of changes that are designed to help with illegal and unauthorised encampments, but I do agree that more can be done, and I would be more than happy to sit down with him and to listen to what ideas he has.
I welcome the Select Committee’s work in this important area, and I will listen carefully to the final research it comes up with. The hon. Gentleman will know, first, that more funding is helpful, and the local government Minister, my hon. Friend the Member for Nuneaton (Mr Jones), referred to that earlier. However, there also need to be longer term changes that make the whole sector more sustainable, and that includes skills.
First, Mr Speaker, I join you in congratulating the hon. Lady on what she achieved yesterday, as well as all the people who raised so much money for so many good causes.
The issue that the hon. Lady raises is an important one. We are taking the Casey review very seriously. It shows the need for a new integration strategy to make sure that we do everything we can, working together across this House, including with people in Scotland and other parts of the UK, to make sure that we bring this nation together and reduce the number of people who face isolation.
We are investing record amounts in affordable housing. Since 2010, more than 310,000 units have been created throughout the country. If the hon. Gentleman wants to know what failure on affordable housing looks like, he need only look at the previous Labour Government, who saw a fall of 410,000 units in social housing for rent.
Surely the Secretary of State is aware of the damage being done to local communities by the cuts in local government spending. This has affected children’s centres, leading to their closure, and cut down on youth services. These services are at the very heart of our communities. What is the Minister going to do to put that right?
The hon. Gentleman will know that every council throughout the country has had to find efficiencies so that we can balance the books of our country and build a stronger economy. Some local authorities have done that well—mainly Conservative-led authorities—and Labour authorities have absolutely failed in it. So if people want to see more services being delivered for less, they should vote Conservative on 4 May.
My hon. Friend makes a very important point about how having the right infrastructure can help local people to accept more housing. He will know that local councils can already put obligations on developers to deliver certain infrastructure, and he will know about the community infrastructure levy, which can also help. I would like to highlight the new £2.3 billion housing infrastructure fund, which he can use locally in Corby. He should make an application to my Department to do that.
Despite a very strong objection from Historic England, which, like me, is concerned about the impact on the 12th-century St John the Baptist church in Adel, disgracefully, Labour councillors voted for a controversial plan for 100 homes to be built opposite the church. Will the Secretary of State acknowledge that the planning system does not allow local communities to have enough say against unwanted developments?
In Derby we are looking at alternative methods of helping those people who are sleeping rough, including an app that will direct funds to agencies such as the Padley Centre. Does my right hon. Friend the Secretary of State agree that such initiatives can help tackle the issues of rough sleeping?
Yes, I wholeheartedly I agree with my hon. Friend. It is our ambition—I know that she shares it—to end rough sleeping in our country, and those kinds of new ideas can make a real difference.
Following last week’s successful and important meeting of the all-party parliamentary group on leasehold and commonhold reform about unfair and unreasonable abuses of leasehold, what are the Government’s plans to do something about them?
First, may I commend my hon. Friend on his work to highlight abuses? I know that he shares my concern about where houses are sold on leasehold. That is an unacceptable practice and we will do something about it.
The leader of the Conservative group in Eastleigh has questioned the methodology behind the plan for an extra 10,000 homes, which could threaten 400-year-old ancient woodland. Without a local plan, and when ancient woodland is under threat, how can housing numbers be verified?
My hon. Friend has done a great deal of work in this area. She will know that it is a particular problem in the north-west, and I can confirm that we are looking at all the issues very carefully.
Will the Secretary of State consider imposing a requirement on developers of large industrial sites to provide some units for smaller businesses, to meet the shortage that currently exists in my constituency?
I point my hon. Friend to some of the changes set out in our recent White Paper. They are designed to make sure that local plans take account of all needs, including the needs of businesses.