(3 years, 7 months ago)
Commons ChamberThe Sunday Times reported two days ago that the Bank of England is worried that
“Britain’s building safety scandal could cause a new financial crisis.”
The Bank is worried about the scandal’s impact on property values, as new data from the Leasehold Knowledge Partnership shows that fire-risk flats can sell for as little as one third of their purchase price. That is devastating and requires an immediate response from the Government.
The Government surely should not need reminding that a collapse in house prices triggered the global financial crisis in 2007, but it seems that they do, and it seems that they also need reminding of the misery that this crisis is causing hundreds of thousands of people. The safety scandal that has unravelled in the wake of inaction and indecision since the Grenfell Tower fire in 2017 has left up to 1.3 million flats unmortgageable and affects thousands of recently built houses. As many as 3 million people face a wait of up to a decade to sell or get a new mortgage because they cannot prove that their homes are safe, and we have leaseholders who face repair bills of up to £75,000 for flaws such as flammable cladding and balconies, and missing fire breaks.
We stand here today while thousands watch this debate and suffer, worrying about their futures, getting into debt and facing bankruptcy. We have to ask ourselves what the Government actually care about. They do not appear to care that the Bank of England thinks that we are heading for a financial crisis. They do not appear to care that thousands and thousands are living with anxiety, fear and debt. They do not seem to care that the vague and undefined loan scheme that they have hailed as the answer—despite having promised many times that leaseholders will not have to pay—will damage people’s property prices and will not actually be in place, as we hear today, for at least two years, leaving thousands to pay mounting waking watch bills and stuck in properties that they cannot sell.
I completely agree with the points that my hon. Friend is raising. She will know the suffering of my constituents in Cardiff South and Penarth. Does she agree that the UK Government need to get around the table with the Welsh Government and provide clarity on how those taxes will work, and how money will flow from the building levy and the tax? The UK Government have not yet done that. We have finally had an answer to the letter from the Welsh Housing Minister, and the Welsh Government have put aside money, but they are not clear how much money is coming from the UK Government.
My hon. Friend has raised that point many times, and he is standing up for his constituents in a way that I am afraid that this Government will not.
What do the Government care about? We are left with one possible answer. Do the Government care only about the donors who keep their Prime Minister in fancy furniture, so that he can spend £60,000 on curtains in No. 10, while nurses and key workers out there face £60,000 bills for cladding with no wealthy Tory donors to bail them out? Do the Government really care only about big property developers, such as European Land and Property, which developed a block of flats in Paddington that used the same aluminium composite material cladding as was on the Grenfell Tower, and which has donated £2.5 million to the Conservative party since the Grenfell Tower fire in 2017? Do the Government really care only about Britain’s biggest builders, who have built up vast profits during the pandemic, such as Persimmon—
(3 years, 8 months ago)
Commons ChamberI will give way to the hon. Gentleman later on; let me conclude my initial remarks.
This will be targeted on the highest-risk buildings—that is, those buildings over 18 metres tall that have unsafe cladding. The scale of this investment should not be underestimated, with over £5 billion of taxpayers’ money, and more when the developer levy and the developer tax are taken into account. We have an ambitious timescale to ensure that remediation of unsafe cladding is completed at pace. We are also now seeing tangible progress from the Royal Institution of Chartered Surveyors revising its guidance on EWS1 forms, lenders committing to adhering to RICS guidance, and more developers now allocating significant funds for remediation.
As parliamentarians, we have a duty to implement a clear framework and transparent legislation to support fire and building safety reform. I am afraid to say that, despite the best intentions of these Lords amendments—I absolutely accept the sincerity with which they have been posited—they are unworkable and impractical. They would make the legislation less clear, and they do not reflect the complexity involved in apportioning liability for remedial defects. I have had extensive conversations about the effects that the amendments might have with my hon. Friend the Member for Rochester and Strood, who has pressed me hard on this, as have others. These amendments would also require extensive redrafting of primary legislation, resulting in delays to the commencement of the Fire Safety Bill and to our overall programme. They could also have unintended and possibly perverse consequences for those that the amendments are intended to support, and we would still be no further forward in resolving these issues.
I shall give way to the hon. Member for Cardiff South and Penarth (Stephen Doughty) when I return to speak later, but let me say in concluding my opening remarks that we cannot accept these Lords amendments and we encourage the House to vote against them and for the Government amendments.
I am pleased that so many Members have put in to speak today. I will keep my remarks fairly brief, but I want to make three points. First, thank goodness I am not standing at this Dispatch Box again and pleading with the Government to agree at the very least a timetable to implement the vital fire safety measures from the first phase of the Grenfell inquiry. I am pleased that the Government have agreed in the other place to Labour’s suggestion of a timetable. Before the second anniversary of the Grenfell phase one recommendations, the Government have committed to regulations to implement them, and that will be by October this year. They said that this would delay the Bill, that it would be too complicated and that it would be too hard to do, but they have now agreed to a version of it. It is not quite what we wanted, but it is something close.
I have lost count of the number of times we have voted on the Grenfell recommendations and the number of times we have been pushed back, and it is quite extraordinary that the Government have taken so long to get us here. Labour’s previous amendment, which the Government have now agreed on a timetable to deliver, would do four things: the owners of buildings that contain two or more sets of domestic premises would share information with their local fire and rescue service about the design and make-up of the external walls; they would complete regular inspections of fire entrance doors; they would complete regular inspections of lifts; and they would share evacuation and fire safety instructions with residents and the fire service. These measures are straightforward and are supported by key stakeholders.
In the Minister’s letter that sets out details of the Government’s concession, he wrote that the Government would lay regulations to make responsible persons produce and regularly review evacuation plans for their building. The Grenfell recommendation, and our amendment, said more than that. They said that that information should also be shared with local fire and rescue services and residents. I would like the Minister to clarify in his closing remarks who these evacuation plans will be shared with and how this will be enforced, but I am grateful to him for seeing sense and heeding our calls to do the right thing, because it has been ages.
I come to the second point that I want to make. It has been nearly four years since 72 people so tragically lost their lives in the Grenfell Tower fire. In those four years, Grenfell United, the families, the survivors and the entire community have fought tirelessly for change. It is thanks to their hard work and dedication that the Government have finally agreed to implement the recommendations by October 2021. I pay tribute to them and their ongoing fight for justice. I pay tribute to our firefighters who keep us safe every day. We know that cuts to their service have hit hard—response times are inevitably affected, and morale is affected—and now they have a pay freeze, which is no way to thank them for going above and beyond during the covid pandemic.
I come to my third and final point. Leaseholders should not have to fund the cost of fire safety remediation works when they are not to blame and they are the least able to pay.
I wholeheartedly agree with my hon. Friend on that point, as she well knows, because of the leaseholders who are affected in my constituency. While the Welsh Government have put forward an additional £32 million in their new Budget for this very issue, leaseholders in Wales are still in the dark from the Government’s announcements about what moneys there will be for Wales and how the levy and tax will work. Does she agree that the Government should sit down with the Welsh Government Housing Minister and sort this out for the benefit of all leaseholders?
I thank my hon. Friend for that intervention. I have a sense of déjà vu, because we have been saying all this for some time, as have Members across the House. Of course the Government should sit down with the Welsh Government and work out whether any of this funding will go to Wales and how that will work.
(3 years, 9 months ago)
Commons ChamberI wholeheartedly agree with the points that my hon. Friend is making. I want to emphasise the importance of paragraph (a) of Lords amendment 2, on sharing information about the materials that a building is constructed of, because my constituents in Cardiff South and Penarth have real difficulties getting hold of, for example, architectural drawings and original “as built” drawings. There is simply no consistency in this across the UK, which means that fire and rescue services, let alone anybody trying to undertake works, have a much harder job.
My hon. Friend is absolutely right, and I have had many similar cases in my constituency, with people just trying to get to the bottom of what the issues are, and meanwhile they cannot sell their flat and are facing fire remediation and waking watch charges, their insurance is rocketing and their lives are on hold. We heard from many such people this morning, and it really was very sad.
It is hard to understand why the Government have put forward a motion to disagree with Lords amendment 2. I heard what the Minister said, but my challenge is that he could have tried to amend our amendments if he had a problem with them, to make them work. The answer, “We will do these things, but later” is simply inadequate.
I thank the hon. Member for his intervention. I genuinely struggle to understand why the Government have not grasped the scale of this crisis and the quantity of people who cannot sell their flat, who cannot afford the costs that they are currently looking at, who cannot change jobs and who cannot get married or have children because their lives are on hold. Many are first-time buyers who have saved up, worked really hard and got their flat. If the Government would say today, “We will commit to legislate to say that lease- holders should not have to foot the bill”, we could accept that there was a commitment there, but there is not.
There is no commitment to say that leaseholders should not have to foot the bill. The words are said, but there is no action to put it into law. [Interruption.] The Minister says from a sedentary position that there is £5 billion, and that is true, but that does not cover the vast number of people who are still affected—the vast number of people whose lives are still on hold. One could say that some of them are perhaps traditional Conservative voters. We struggle on this side of the House to understand how the Treasury has not grasped the scale of this crisis and is not putting it right.
I know for a fact that some of those affected are traditional Conservative voters. I have spoken to people from all walks of life, and they are in absolute anguish about this. They are being left in the dark. We had the announcement the other day—it was typical to announce a big sum of money and then not be clear about how much would come to Wales, how the system would work or when the money would come through. These people have been living in the dark and in anguish for months and for years, and it is completely unacceptable.
My hon. Friend is completely right. There is the idea that someone would have a long-term loan where they pay £50 a month. If someone needs to pay off a £20,000 loan, and that loan stays with the building, they have no chance of selling their flat. Nobody is going to want to buy a flat with a bill that high.
(4 years, 2 months ago)
Commons ChamberLet me begin, as I have at every stage of this Bill, by saying that we on the Opposition Benches support the Bill. The Minister knows that. We are keen to be as supportive as possible, but let me reiterate the point that I have also made at every stage, which is that this Bill is a shamefully inadequate response to the multiple problems for fire safety, which were so tragically brought to the fore when 72 lives were lost in the Grenfell Tower fire. The Bill—all three clauses of it—goes nowhere near far enough to prevent a tragedy like Grenfell from happening again.
The Government said that the introduction of the Fire Safety Bill would take them a step further in delivering the inquiry’s recommendations and recently cited the Bill as one of their key priorities in response to a deeply frustrated letter from Grenfell survivors. Yet the Bill does not even include provisions for any of the measures called for by the first phase of the inquiry.
The Grenfell community were failed by a system that did not listen to them. We must never forget that failure. I pay tribute to Grenfell United, the families and the whole community for continuing to tirelessly fight for justice. They should not have had to fight so hard, and hundreds of thousands of people across the country are now being failed by a system that does not listen to them—those stuck in buildings with flammable cladding, those using their income to fund waking watch and other safety measures, and those who cannot buy or sell their flats because the mortgage market has been ground to a halt by confusion and lack of Government leadership.
My hon. Friend starts absolutely with the crux of the matter. She will be aware that, in my own constituency of Cardiff South and Penarth, we have thousands of residents in apartment blocks who are affected by these issues. The failure of companies such as Redrow, Laing O’Rourke and Taylor Wimpey to hold to their responsibilities for fire safety and other building defects is a huge problem. Does she agree that they need to take responsibility for mistakes that they may have made in construction?
My hon. Friend makes a very good point. The system as a whole is fundamentally broken, and it is the developers as well as the Government who need to look to their own actions and correct them.
The Government have made many promises to bring justice to the survivors and their families, to change building and fire safety regulations and to do this quickly, but the Government are yet to make their promises a reality. At every stage, we have had to drag them into action. During the passage of this Bill, we have sought constructively to improve it, so that it goes further as a piece of primary legislation towards improving fire safety.
New clause 1 would do what the Government say must come later. It would place robust requirements on building owners or managers and implement the recommendations—the key recommendations—from phase 1 of the Grenfell Tower inquiry. The Government said that they would implement the Grenfell phase 1 inquiry in full and without delay. This new clause, which we are moving tonight, would fulfil that promise. In what is a very complex world of building and fire safety, the new clause is relatively simple. It seeks to do four things: the owners of buildings that contain two or more sets of domestic premises would share information with their local fire and rescue service about the design and make-up of the external walls; they would complete regular inspections of fire entrance doors; they would complete regular inspections of lifts; and they would share evacuation and fire safety instructions with residents. These measures are straightforward and are supported by key stakeholders. Frankly, it is pretty extraordinary that they are not already enshrined in law.