(2 years, 11 months ago)
Commons ChamberI completely accept that point, and the hon. Member will know that we are all in the same position. Every single community is affected up and down the country; there are millions of leaseholders.
The new approach that the Government are taking mirrors a lot of what we want in our amendments on these issues. For example, a number of the amendments I am going to speak to refer to redress. We asked for a period of 25 years, and the Government have come forward with 30 years. We asked for the time in which someone can make a claim to be extended from 90 days to two years, and the Government have come forward with one year. That demonstrates the communication going on behind the scenes and what we are trying to do to deliver success for leaseholders. In some ways, it does not really matter what our opinions are in this place; what matters is what we deliver for those millions of leaseholders up and down the country, so that they do not face bankrupting bills and huge mental health issues.
Without the calm persistence of my hon. Friend and our hon. Friend the Member for Southampton, Itchen (Royston Smith) in this parliamentary year and the one before, we would not have got this far and, on behalf of 1 million leaseholders in all parts of England and Wales, may I say that we are grateful for their efforts? Will they please keep going?
I am very grateful to the Father of the House, and I would like to thank the cladding groups up and down the country, such as End Our Cladding Scandal UK, the UK Cladding Action Group and the Leasehold Knowledge Partnership. I record my thanks to the Father of the House and all my colleagues on both sides of the House who have done everything they can to get us to a position where we are working together to secure something that is in the best interests of leaseholders. The way in which the tone has changed, as all of us who have been working on this Bill have seen, and the way in which we now feel we can give the Government room to try to improve the Bill, give us great hope.
A number of the amendments—new clauses 4 to 13 —are specific technical amendments to give the Government examples of how we could fix the problem. The Government have tabled 70 amendments, but of course they still have to come forward with the amendments that we want in the Lords, otherwise the Bill will come back to this House and we will be in the same position, so I think it is important that we continue our efforts.
One of the issues facing leaseholders was the real frustration that VAT is levied on some of the costs. We are asking for the VAT to be scrapped, because when the Treasury puts forward £5 billion, £1 billion of it will be going back to the Treasury automatically; the frustration is understandable. Another example we give is how a previous defects Act—the Defective Premises Act 1972—could be used, as it was for properties with prefabricated concrete. The legislation exists, and these leasehold properties could be incorporated in it. There are a variety of other amendments on technical points, and they are the means of giving the Government examples of how we can support leaseholders.
There is a huge opportunity with new clauses 4 to 13 for the Government to think a little further outside the box. For example, I have a property in my constituency, Vista Tower—one of the famous properties—where the remediation costs are £15 million for 73 flats. The leaseholders paid £200,000 for their flats, and their remediation costs are £212,000, so hon. Members can understand what we are doing and why we originally got involved in this debate. Those people are beyond bankrupt. The mortgage companies are losing money, and that was before the leaseholders got into paying over £300,000 for waking watch and all the other interim costs that have added to the bills.
The Government have come with us and are working in a place where we can try to fix the problem, but there is still a lot more to do. Collectively across the House, we have to find a way forward. For that particular property, with the announcement that the Secretary of State made, leaseholders’ costs went from £200,000 down to £60,000. If we can get commitments from Ministers to include internal developer-responsible fire safety defects such as missing firebreaks, where the developers illegally constructed the building, leaseholders’ costs will collapse again.
I keep asking the Minister every time he looks at me, speaks to me or walks past me whether he will commit to protecting leaseholders in law with his amendments in the Lords. Obviously we all want that, and it is what leaseholders want, because we want to be in a position legally where we can say to a management company or freeholder, “You can’t charge them for this, and you can’t tell them”—as the hon. Member for Carmarthen East and Dinefwr (Jonathan Edwards) has referred to—“that they’ve got 28 days to make this payment.” That is ridiculous, and it is not fair. The Government are working with us and listening to us, but there is a lot more work to do. I would like to continue working with the Government to ensure that we get out there and protect leaseholders.
Madam Deputy Speaker is now staring at me, so I shall bring my remarks to a swift conclusion. I would like to thank everybody who supported us throughout the campaign. We are not there yet, but we are very close to getting there and supporting millions of constituents up and down the country. I will not be pressing my amendments.
I am grateful for the opportunity to speak on Third Reading. I am hopeful this evening and, like many Members from all parties, I am grateful to my hon. Friend the Member for Southampton, Itchen (Royston Smith), to the Father of the House, my hon. Friend the Member for Worthing West (Sir Peter Bottomley), and to colleagues across the House who have worked so hard to get us where we are today.
This is a huge Bill that tries to deal with some of the after-effects of the tragic events at Grenfell Tower. I have been to meet residents at New Providence Wharf, who have also had a very difficult time. Some of the issues they have had are heartbreaking and it is incredibly difficult to speak to them and hear what they have been through. We talk about fire safety in this place, but meeting people who were involved in fires and who were trapped in properties really brings it home.
I understand why the Government want to bring the Bill forward as quickly as they can. They have tabled 70 amendments and I understand their desire to work with Members across party lines to get to a much better place in respect of the bits we want. Although it is a very large Bill, a lot of us in the Chamber are focused on a small part of it: the provisions on leaseholders and leaseholder protections. That is the bit on which my colleagues and I mainly focus. It is important for me and for leaseholders up and down the country that they are not held responsible for historic fire safety defects and construction defects.
Let me remind the House where we have come from. When we started our campaign about 18 months ago, the Government’s original offer was around £20 million to deal with these issues. After the statement from the Secretary of State last week, we are now on course to have more than £9 billion of Government support, with probably another £100 million for waking watch, alarms and a variety of other issues. The Government have moved forward massively.
I do not always support the Government but, in fairness to them, on this issue we have asked and they have negotiated. There is a new tone and a new willingness to work both across party lines and within the governing party to resolve this issue for leaseholders, so we have hope. Tonight, millions of leaseholders up and down the country, many with huge mental health issues and facing massive financial ruin, have hope. That hope encourages us to believe that we may finally come to a position where we can resolve things for those millions of leaseholders.
We are in the position we are in because, although a lot of people will not realise this, the Prime Minister has intervened directly on a number of occasions to get us to a state in which we can support each other, negotiate and get more than £9 billion-worth of support for leaseholders, which is an amazing achievement. I am delighted with the work we have done behind the scenes to get us to where we are. Because of that hope and the constructive way in which the Government have worked with us behind the scenes, we want to give them the room to work with us a bit further and to table amendments in the House of Lords to protect leaseholders in law. That is what we want—that is our first request.
The second request that I continue to make is that amendments are made to protect leaseholders in respect of internal fire safety defects and not just external ones. At Vista Tower in my constituency, which has more than £15 million-worth of remediation costs, the fire breaks are missing. They would have been in the plans and signed off by the developers and the building regulatory regime, but they are missing. We have to think about how we can support constituents like that.
Will my hon. Friend allow me to add to what he is saying? The insurance companies are claiming premiums that are 10 or 20 times higher than before because there are additional fire risks. All this work should lead to reduced fire risks. Will he support me in asking the Government to get together with the technical sides of the insurance companies and the Competition and Markets Authority to get those insurance premiums back down to what they were before so that leaseholders may pay £300 a year to insure a building they do not own rather than £3,000 a year?
I completely support the Father of the House, as he knows, in all matters.
It is important that the Government have accepted the principles of everything that we have asked for throughout this 18-month campaign. I am very grateful for that. With all the technical details, that campaign has demonstrated how complicated this issue is and the many millions of people and tens of thousands of buildings it affects in many different ways. In fairness to the Minister and the Government, it is very difficult to put all that into a Bill, so they do need time. As long as they are prepared to work with us, we are prepared to give them that time so as to support leaseholders and ensure that they do not have to pay for these historical fire safety defects.
I have one final request for the Minister on behalf of those constituents of mine in Vista Tower who have been affected by the building being no doubt shoddily built and not to the plans of the time. Will the Government be prepared to provide support so that those leaseholders can take action against the original developers, or will the Government take the action on their behalf, because a lot of these leaseholders have been going through this for a number of years and no longer have the mental resilience or ability to take these fights on and take legal actions for the next five or 10 years in the courts? Will the Minister provide further support to those leaseholders? Will he agree to continue to meet and work with me so that we can ensure that leaseholders are not held responsible and they are the innocent parties throughout this crisis?