Stephen Gilbert
Main Page: Stephen Gilbert (Liberal Democrat - St Austell and Newquay)
Chris Huhne
We have discussed this with the DWP, and that would certainly be one route down which we could go. There would be dangers in doing so, however, not least because some of those on housing benefit find it hard to get into privately rented property. The simpler route that I have suggested will have a clear and predictable effect and will touch more than 680,000 homes in the private rented sector that are currently rated F and G. This is a substantial move.
Stephen Gilbert (St Austell and Newquay) (LD)
The Government are clearly announcing significant changes to improve energy efficiency in the private rented sector. Will the Secretary of State expand on what he would consider to be reasonable, in the context of his saying that any reasonable request from a tenant would not be refused? Also, why has 2018 been chosen, rather than 2016 as many outside groups have been calling for?
Chris Huhne
The clear idea here is to give a point at which we know people are going to be able to aim. It is not reasonable to introduce changes very rapidly when, for example, there might not be voids in property renting. We do not want to impose unnecessary costs, and it is therefore appropriate to set a date. Let us remember that the scheme does not begin until October 2012, and we want to set a date by which the private rental sector can deliver.
Meg Hillier
I agree with my hon. Friend’s point. This Government cannot lecture us, given the impact of their policies on the budgets of households throughout the country, leaving them nowhere to go when oil prices increase.
In answer to a question from the hon. Member for Harlow (Robert Halfon), the Secretary of State said every home would benefit from the green deal—he clearly has no shortage of ambition in this area—but the Department for Communities and Local Government predicts that there will be more than 27 million households in England by 2033, so how can the green deal possibly hit that target? The Secretary of State talks about companies being keen to get involved, but we know that most have already stepped back, so unsure are they of what the Bill will deliver.
If the Secretary of State is so confident about his proposals, why has he refused to set a target for the number of homes that would benefit? He gave us a waffly answer earlier, but at a public event he said he had wanted to call this Bill the Energy Saving Bill but was told that the parliamentary Clerks would not allow it.
I am sure that all Members are far less concerned about the title of the Bill than about what it achieves, and there are a number of obstacles to achieving the Secretary of State’s aims. First, we have no details about the interest rates at which the green deal cash will be loaned. Evidence suggests that an 8% rate will deter many households. Although there were rumours that incentives would be provided in the Budget, none were announced, yet without any tangible incentives most householders just will not bother. A loan of about £6,000 will barely scratch the surface of paying for what will need to be done to make most homes as green as they will need to be to meet our targets. The Minister of State, the hon. Member for Bexhill and Battle (Gregory Barker), has now suggested that loans could be as much as £10,000, which I hope is a sign that the Government finally recognise that there are inadequacies in the Bill, but that higher sum will be more off-putting to the poorest households whose homes are often the most expensive to improve.
On the golden rule, I was interested to hear the Secretary of State’s version of things—perhaps this is a new addition to the Bill—which was that “money today is worth more than money tomorrow”. That shows a level of financial literacy that clearly bodes well for the Bill. We also face the question of whether the banks will be interested, and the only banker that he could cite is a former Tory special adviser—he would be in favour, wouldn’t he? We need the banks to be on board if the Government’s model is to work.
Secondly, this Bill contains no assurances about who will conduct all the assessments and repairs. Who will accredit the legion of assessors—the 100,000 people that the Secretary of State talks about? Where will this army of assessors come from? We all know that the Government are doing their best to create a vast pool of newly unemployed nurses, RAF pilots and other skilled workers who need a new job, but even at the rate that this Government are destroying our services and putting manufacturing firms out of business, there will not be enough skilled people to do the job on the scale required.
The Secretary of State has been asked today, as Ministers in the other place have been, which measures could be put into a home under the green deal. Again, we have heard lots of words—for example, when he talked about double glazing—but he simply does not know the answer, and neither do suppliers, householders and landlords. Hard-to-treat remote and rural homes that are off-grid provide particularly big challenges, but the green deal, as it stands, does not step up to deliver on them. When the Secretary of State talks about success that will be determined by word of mouth, we know he has a great plan that will certainly deliver the results he sets out. [Hon. Members: “Hear, hear.”] Clearly Government Members do not understand irony.
Thirdly, and most shamefully, the Bill—[Interruption.] I think that Government Members ought to listen to the detail. I say that for those who have perhaps not followed it as closely as some of us. Thirdly, and most shamefully, the green deal fails the basic test of fairness, as the poorest households will get the least help. The constituents of mine who, like some of your constituents, Mr Deputy Speaker, and those of other hon. Members, shiver under blankets every winter will not be reassured by the coalition placing the responsibility for tackling fuel poverty with the energy companies. Those households, who have the most to gain from decent insulation and lower bills—I do not doubt that Members across the House are committed to solving this problem—should be the Government’s first priority, but instead they have been left until last.
Finally, I come to an important question on which we have not been given enough detail: what about consumer rights? If the work under the green deal is botched, how can consumers get redress? If the projected savings do not add up to the value of the loan over 20 years, who will pay the shortfall? What guarantees can Ministers offer consumers that they will not be saddled with debts, especially when they buy a house with a green deal loan already in place?
The Secretary of State talks with passion about stopping cowboys getting in on the deal, but his Government have abolished Consumer Focus, the watchdog that has successfully taken up consumer issues with the energy companies. No detail on consumer redress is available to us as we debate this Bill on Second Reading. People are rightly asking these questions and even where Ministers are coming up with answers those answers are not very reassuring. We simply need more detail. We are expecting about 50 pieces of secondary legislation after the House has made its decision on the Bill tonight, on Report and on Third Reading.
Stephen Gilbert
The hon. Lady seems to be “doing a Hillier”, snatching embarrassment from the jaws of defeat. We have heard real detail from the Secretary of State today on minimum energy efficiency standards for the private rented sector. Is it not a bit churlish of her not to welcome the detail that we have heard on the private rented sector, which has been called for by many external organisations?
Meg Hillier
That tells us all we need to know about the relationships in the coalition. If the hon. Gentleman, a Liberal Democrat, believes that what we heard from the Secretary of State today is detail, he perhaps needs to look again at the Bill. The detail is missing. The Secretary of State is keen to talk about the Bill with passion but he is not giving the answers. We are waiting for detail on the 50 pieces of secondary legislation, but we have seen none at all. I lay this marker down for the Secretary of State that in Committee we will seek further detail on many of these important issues and others—