Supported Housing

Lord Jackson of Peterborough Excerpts

Tuesday 12th April 2016 Westminster Hall

[Mr Brown]

I agree wholeheartedly with my hon. Friend. Perhaps I should have said “relatively prosperous.” The distinction will be clear to people in the north-east of England, but perhaps less so to her constituents. She raises another important point, which is the uncertainty hanging over the arrangements, and I will have more to say about that later.

Returning to the Government’s intention, the changes introduced in the autumn statement extended the cap into the social sector, in line with the provisions that already pertained in the private rented sector, which means that the rate paid to private renters on housing benefit will apply to the social sector, too. The measure will apply to new tenancy agreements signed after 1 April 2016, with the rate changing on 1 April 2018.

[Mr Stewart Jackson (Peterborough) (Con)]

The right hon. Gentleman will know that, during the Report stage of the Welfare Reform and Work Act 2016, Members on both sides of the House encouraged Ministers to introduce the moratorium—the 12-month review—on these specific housing developments, which gives us, on a bipartisan basis, an opportunity to consider the work being undertaken by specialist housing providers and to try to find consensus to offset what were originally envisaged to be quite draconian changes.

[Mr Brown]

I would like to find a consensual way through this, but maybe the Government should have thought about these matters before applying the measure to social housing. If they propose reform, they should think about what the reform should be and then introduce it, rather than introducing it in such a heavy-handed way and then saying, “Maybe we’ve gone too far. We had better have a review.” Like the hon. Gentleman, I would be fascinated to know what the review has come up with, because it is due about now. In fact, I think the Minister said it was due in March 2016.

--- Later in debate ---

[Mr Stewart Jackson (Peterborough) (Con)]

I am indebted to the right hon. Member for Newcastle upon Tyne East (Mr Brown) for bringing this debate to Westminster Hall.

I was first alerted to this issue not when I had the honour to serve on the Housing and Planning Bill Committee but via one of my local housing associations. Alan Lewin, the chief executive of Axiom Housing Association, talked about the viability of supported housing schemes in low-cost areas and how the reduction in rent was very likely to reduce their viability permanently, not only in places such as Fenland and around Peterborough but throughout the country.

I will briefly make a plea to the Minister by reiterating the comments of my hon. Friend the Member for Waveney (Peter Aldous) that this is a cross-departmental issue and it goes to the heart of the Treasury. If the Treasury really wants to restrict and reduce housing benefit payments and the cost of acute district hospital care, it has to think long-term and holistically, and put in place legal and financial inducements to providers across the piece to provide extra care and supported housing. So it is not only the Department for Communities and Local Government and the Department for Work and Pensions that are involved, but the Treasury. As I say, we have to think holistically.

I will also make the plea that this is a regional issue. Sometimes with our housing policy, we have been inclined to be very London-centric. There is a regional issue here, in terms of the affordability not only of general needs housing but of specific supported housing.

The mark of a civilised society is how it treats people who are voiceless, who do not have representatives and who are vulnerable, and it is important that we bear that in mind. All Governments make mistakes and all Governments are subject to the law of unintended consequences; that is very important to consider.

In this moratorium review, we must also take it into account that the costs of support for the particular individuals who we are discussing today are significantly higher than the costs of general needs housing. That is also a very important point.

Let us take in all the evidence from across the country, and let us have a proper regional and holistic approach, which must include a cost-benefit analysis of the costs that fall on things such as the criminal justice system and the NHS. Let us have a proper review and let us try to work together across party divides, so that at the end of the review we can have a consensus on looking after the needs of the people who really need our help—the most vulnerable.