Social Housing Bill [HL]

Baroness Coffey Excerpts

2nd reading
Monday 1st June 2026 Lords Chamber

[Baroness Coffey (Con)]

My Lords, there is a lot to welcome in this Bill but I must admit that after Clauses 1 to 4 and Clause 6, I then start to find it concerning. I say that because I am all for trying to make sure that when people buy a home for which they have been paying rent, there are good reasons for that to happen. I cannot explain it any better than my noble friend Lord Young of Cookham did earlier, but there is no doubt that being freed from whatever rules and restrictions the council or housing provider have—and being able to do what you want in your own home—was a big liberation for people. As a consequence, I am concerned about the changes that are being brought in.

I start with Clause 5 and the discount being reduced to 5%, but going up to a maximum of 15%. It is my understanding that when the discount was introduced—I think it was under the Conservatives—it was 32%. It was a Labour Government in 2004 who put it up to 35% and then there were consequential increases. I really wonder why it feels as if the Government are doing everything possible in the Bill, apart from removing the right to buy, to make it difficult for people to do that. This will backfire on them, or perhaps a future Government who are not a Labour Government, when they start to realise what will happen if people are still in that social housing once they are no longer earning and have become pensioners: a lot more money will need to be paid out in housing benefit to allow people to stay in that home.

One of the reasons why it seems as if young people have given up on being able to buy a home is when they know they are paying more in rent than a mortgage would cost them. It is about getting that deposit, and the whole point of getting on to the ladder from social housing is that you have, in effect, already been helped to get on that first rung.

When I was in government in DWP, I did some work with MHCLG on a particular policy. MHCLG was never very enthusiastic about it, but it was about how we can turn what gets paid in housing benefit into, effectively, mortgage payments. It is a question of what we can do when we are already helping people to live in a particular house or flat. How can we genuinely make sure that, in effect, it becomes something that has to be done for only 30 years instead of, potentially, 60 to 70? That is why there is a real economic challenge in aspects of this Bill.

On other missing aspects, I am concerned about the blocking of rural areas. It would be useful to understand whether the Government have considered what somewhere that is not an AONB today, but is in the future, would mean to existing rights. That has happened, as we have seen an expansion of AONBs in recent years and more national parks are intended. There is also nothing to restrict the housing association or council from selling the house in question. This happened in the constituency I used to represent in Suffolk—in Orford and Aldeburgh—and the money was not being used to rebuild homes locally. It was being used to build homes up to 100 miles away. Meanwhile in local communities, no social housing was going to be left for the children of those in that housing and who wanted to stay in the area, because it was being sold off.

I recall that one of the houses was quite large and had a large garden. That is no surprise, as post World War II a lot of social houses were built with large gardens so that people would be encouraged to grow their own food. But now this particular site could easily become the site of at least two, if not three, new houses under modern designs. The only answer was, “We are putting it up for auction”. That housing association provider—I am not a big fan of Flagship and New Tide—arranged it that so that you could buy a very nice housing plot in this particular rural area, which was an AONB, if you had enough cash; the way they did the auction was that it was only available to those who could pay cash, not those who could get access to a mortgage.

If the Government are intent on stopping the right to buy on rural houses for tenants, I do not think they are going quite so far as to require councils or other housing providers to replace them—I think they are enabling it, but they have always been able to do that. But I do not think it is right, in effect, to take that out of the housing market to address the needs of people in rural areas.

Another issue here, which the noble Baroness, Lady Murphy, picked up on, is the number of empty homes. I believe that there is an annual requirement, but it is not very specific about where the empty homes are. I came across this when the new homes bonus was in place. The bonus was given to councils which built homes, but it was offset by the number of empty homes. We discovered that, in that bit of Suffolk at the time, there were over 100 empty housing association homes. It is absolutely paramount that we have more transparency on this and that, frankly, housing associations and councils are held to account. They actually decided to demolish about 30 homes so they did not count anymore. I am pleased that they did rebuild some homes there, which were well-adapted, but these are the sorts of things happening locally.

What is missing is that, if a housing association sells a house, the first dibs should go to the council, another housing provider or indeed the tenant. It should also be required that the housing association or provider replaces it locally, which means within 10 miles—we are not talking about 100 miles, as is happening with some of the housing associations and providers today.

While there are aspects I welcome, there is a lot that I do not welcome and which I think that the Government will come to regret in the future. It is no surprise that the social housing list is so high; having a subsidised rent is always very attractive, and the unfortunate break-up of families has also had an effect, as indeed have aspects of immigration. I am sure this Bill will get the careful scrutiny it needs. I will not be here for day 2 of Committee, but I reserve the right potentially to bring amendments for the first time on Report.

Social Housing Bill [HL]

Baroness Coffey Excerpts

Report stage
Monday 20th July 2026 Lords Chamber

[Baroness Jones of Moulsecoomb (GP)]

My Lords, my Amendment 9 asks for information that is necessary to understand the full situation. I had better declare that I rent a flat in a social housing block, which was presumably bought under right to buy.

In Committee, my noble friend Lady Bennett argued that the most effective way to protect our social housing stock is to abolish the right to buy. I also support that. Scotland abolished the policy in 2016 and Wales followed in 2019; neither has chosen to bring it back. Both Governments concluded that, in the middle of a housing crisis, preserving social housing for the future was more important than continuing a policy that reduced its supply.

I appreciate that the Government are not prepared to take that step in this Bill but, if that is the case, the very least Parliament should expect is a clear picture of how the policy is operating and what impact the changes it will make are having. The amendment would require the Secretary of State—whoever it is—to lay an annual report before Parliament setting out how many homes have been sold under right to buy, the receipts received by local authorities, how those receipts have been used and an assessment of the impact on the availability of social housing in each local authority. The reality is that, for decades, we have been selling social homes more quickly than we have been replacing them. Every home lost is one fewer home available for the next family on the waiting list.

Social housing should be seen as a long-term public asset, not simply a resource to be steadily diminished while demand continues to grow. Between 1980 and the abolition of right to buy in Scotland, almost half a million social homes were sold. The Scottish Government estimated that ending the policy would protect around 15,500 homes over the following decade. In Wales, Ministers similarly concluded that ending right to buy would help preserve affordable housing and give councils and housing associations greater confidence to invest in new homes. We may disagree on whether England should follow that path, but we can surely agree that Parliament should have the information needed to judge whether these reforms are having their intended effect.

I also welcome the amendment in the name of the noble Baroness, Lady Coffey, which would extend reporting requirements to include the right to acquire. If we are assessing the impact of policies that reduce the stock of affordable housing, it is sensible that the report should capture information from both schemes.

I acknowledge that some figures on right to buy are already published, including the total sales receipts. However, the Government do not publish the amount of those receipts retained by local authorities, nor does Parliament receive a single annual report bringing together sales, receipts, how those receipts have been used and the overall impact on the availability of social housing. This amendment would bring that information together in a single annual report laid before Parliament, enabling both Houses to scrutinise the real impact of these reforms and judge whether they are delivering their intended objectives.

[Baroness Coffey (Con)]

My Lords, I co-signed Amendment 9 from the noble Baroness, Lady Jones of Moulsecoomb, because I thought it was very sensible. If it is not taken up by the Government today, bearing in mind that we do not yet have a Secretary of State for the department sponsoring this Bill, I would have thought that this would be right up the new Prime Minister’s street—being open and transparent and showing a duty of candour. I hope that, if the Government reject the amendment today, he will consider it in the Commons.

I am grateful to the noble Baroness, Lady Jones of Moulsecoomb, for accepting the amendments to include the other scheme, because this is just about trying to get an understanding of the picture. For what it is worth, I do not agree with what she just said about ending right to buy. I am a strong supporter of it, as are many current and former Cabinet Ministers of this Labour Government, who have taken advantage of it personally—or their families have. I do not criticise them for that; it was a very wise thing to do. However, this would just show that it has not had quite the impact that everybody thinks. In fact, it ties up or reduces the amount of capital available to build more social housing.

If the noble Baroness were minded to put her amendment to the vote, I would support her, but I appreciate that she has not indicated that in advance. Nevertheless, if the Government do not accept her amendment today, I hope that the Office for National Statistics takes it up as a project in order to improve reporting.

--- Later in debate ---

[Baroness Coffey (Con)]

My Lords, I shall speak to Amendment 18 in my name and add my voice to the amendments I co-signed in the name of the noble Lord, Lord Stoneham of Droxford. He has already set out very clearly why we want this further information. Although we debated Amendment 24 in the last group, it is the same process—as has just been set out to some extent by the noble Lord, Lord Cameron of Dillington—that, once these houses go out of the social housing market to whoever, then we have a problem. That is why I am concerned about how the disposal is done.

In Committee, I suggested that we should not have any cash purchase at all. This time, in Amendment 18, I have suggested that, where there is an auction, it should be possible for someone to be able to buy it who is not a cash buyer. It genuinely astonished me in Committee that the Labour Government did not want to do that; they wanted only cash buyers and did not care that people who are unable to apply for a mortgage might not have a quarter of a million or more to spend when they try to buy a home in the village they live in. I hope the Government have reflected on trying to make sure that local housing is open to local people.

The noble Lord, Lord Cameron of Dillington, discussed the situation with big plots, and that is exactly what happened in Orford. Somehow, the housing association did not notice when its tenant had started rebuilding—or rather, destroying—parts of the house. There was a big garden; if it had been a commercial enterprise, there could have been probably three houses to fill the space and replace the original one after knocking it down. But, no, it was sold for cash. Nobody was able to buy it if they did not have several hundred thousands of pounds in their pocket. That is why I feel strongly about Amendment 18.

I also add my voice to Amendment 14 in the name of the noble Lord, Lord Best. I tabled something similar in Committee and thought I heard positive noises from the Government that recognised the cycle of council meetings and cabinet meetings in local authorities. I had hoped we would get an amendment from the Government at this point; if we do not get it here, I hope we get it in the Commons.

[Baroness Jones of Moulsecoomb (GP)]

My Lords, I shall speak to Amendment 22, which again is about transparency. I am sure the Minister is going to say again that all the information is out there, but this is actually about collating it, so that we do not have to hunt for it, and it is easy to read. I am grateful to the Local Councils Network for highlighting this issue and the gap in current reporting arrangements. This amendment would require post-disposal reporting to distinguish between homes let at social rent and those let at affordable rent. It would require the Regulator of Social Housing to publish annual data in a form that allows useful analysis over time.

This is important as, although both tenures fall within the broad category of affordable housing, they are not the same. Social rent remains the only tenure that is genuinely affordable for many households on the lowest income, while affordable rent can be set at up to 80% of market rent. If social rent homes are being sold and replaced by homes at affordable rent, it represents a significant change in the nature of our social housing stock. At present, Parliament has no way of assessing whether that is actually happening.

The Regulator of Social Housing has confirmed that it has collected disposal data since 2017 but has never published any analysis of it. As a result, although we know that more than 28,000 homes have been permanently sold out of the social housing sector since 2018-19 through disposals, we cannot establish just how many of those had been at social rent and how many had been at affordable rent. Without that information, it is impossible to judge whether we are losing the homes that are most affordable for those who need them most or whether they are being replaced on a like-for-like basis.

The regulator already collects the information that this amendment asks for, but we need the data published in a way that enables Parliament, local authorities, housing providers and the public to understand what is actually happening to our social housing stock over time. Perhaps the Minister could tell the House whether the Government see any objection in principle to the regulator publishing this information annually. If the data is already being collected, what is preventing it from being published in a way that enables proper parliamentary scrutiny?

This is quite an interesting group, and I support quite a lot of these amendments, including Amendments 17, 21, 26 and 27, which are all good. I will support the amendments of the noble Lord, Lord Young—he is not listening to me. I think he might divide the House, and I will be supporting him on Amendments 23 or 25.