(9 years, 5 months ago)
Commons ChamberI totally agree, but may I make it clear that I am a big supporter of the right to buy? I believe it has liberated a lot people, but it is the opportunity for all, or all who can, that I want to save today.
Correcting the flaws in the tax system would stop the housing market being distorted to disadvantage first-time buyers.
If the hon. Lady is such a strong supporter of the right to buy, does she welcome, as we do, the right to buy for tenants of housing associations?
My problem with the current plans is what they will do to the security and continuing support that housing associations can provide, but if the Government can provide a model whereby we can replace those properties, one for one, my answer is: almost certainly.
Many constituents come to me afraid they will never be able to save enough to put down a deposit on their first home; most of their monthly pay packet goes straight on rent and there is nothing left to save. Their rent is driven up by buy-to-let landlords, who monopolise the housing supply and charge what they want. As a result, 82% of people in London who do not own a home believe they will never be able to do so. If the unfair advantage given to buy-to-let landlords is removed, more people will be able to buy their first home; in addition, there will be reduced demand in the private rental sector, so rents and the housing benefit bill will fall. I urge the Chancellor to look again and do more with buy-to-let mortgage tax breaks.