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6.49 pm

Sir Paul Beresford: I support what my hon. Friend the Member for Christchurch (Mr. Chope) has said, especially his latter points. There has been much talk on the Government Benches, when Labour Members have been allowed to speak, to the effect that the Bill is related to capital receipts, but it is related to set-aside. At present, councils can take into account the usable capital receipts, which obviously have a link to set-aside, especially if the local authority has debt. I emphasise the point that my hon. Friend makes. Clause 1 is merely flag-waving to a promise that the Labour Government cannot fulfil. They are releasing not capital receipts but capital credit allowances. That is all. Any claim that they are doing anything more than that is fictitious.

My hon. Friend the Member for Christchurch did not touch on clause 2, which I find especially disturbing. To capitalise revenue in specific circumstances is just acceptable in accounting terms. The reorganisation costs of many of the local authorities that wished to be unitary authorities were accepted by the previous Government. I understand why. It was expected that those costs would be paid back within seven years.

Thurrock was mentioned in the debate. Thurrock was enthusiastically in favour of unitary status because it would make the council more efficient, better able to handle its services and able to make considerable savings. Capitalisation over seven years could adequately be met by any competent authority, including Thurrock. As a proportion of its total expenditure, the revenue costs are small.

We are giving an open cheque book to local authorities to allow them to approach the Secretary of State and ask to capitalise revenue on the never-never without reporting to the House. That is a dangerous move and one that the Government will rue. Local authorities and the children of the parents who are paying the bills now will have to bear the costs. This is a case of revenue costs on the never-never and I support my hon. Friend the Member for Christchurch in rejecting the Bill.

6.52 pm

Mr. Sanders: This is not a Bill about capital receipts. It is not about allowing local authorities to use their own money. It is about giving them permission to borrow someone else's money. The supplementary credit approvals announced in the Budget are not up to the scale of the task ahead. They are simply straws in the wind.

About 28,000 homes could be built in the next two years if all the money allocated was put into new build--it will not be, but let us assume that it will--yet the Government's own estimates are that we need between 60,000 and 100,000 new affordable rented homes each year. So 28,000 has to be set against 60,000 at the bottom

8 Jul 1997 : Column 820

end of the estimate and 100,000 at the top end. The amount of money available this year will provide only 4,000 new builds. We should put that into context.

On 1 April 1996, in the constituency of the hon. Member for North-West Durham (Ms Armstrong), 4,738 people were on the waiting list. Hon. Members should remember that just 4,000 homes are to be built in the whole of the United Kingdom. In the constituency of the hon. Member for Greenwich (Mr. Raynsford) the waiting list is 6,445.

I have an apology to make to the House for something that I said on Second Reading to the hon. Member for Luton, South (Ms Moran). I said that she might be disappointed to find that the Bill will provide enough money to provide only four new houses in Luton. I was wrong. It is five new houses. That is all that the new money will provide.

We should not get too excited. Labour supporters will be extremely disappointed if they compare new Labour's proposals with those of previous Labour Governments. During the lifetime of this Government, it is likely that between 28,000 and 60,000 new homes will be built in the social sector as a consequence of the supplementary credit approvals. That compares with new build between 1945 and 1951 of 850,000. The Labour Government of 1965 to 1970 built 1,100,000 new homes. The Labour Government of 1974 to 1979 built 850,000. The new Labour Government's proposals are peanuts. The best that one can say is that some extra money is better than no money.

It is with some sadness that we shall support the Government tonight--[Laughter.] It is with some sadness, because there was a possibility of doing a great deal more than has been proposed in the Budget. When one is in a hole, as the Government are over housing, one does not carry on digging. That is the problem. The Bill does not go far enough--[Interruption.]

Mr. Deputy Speaker: Order. There must be quiet in the Chamber when an hon. Member is addressing it.

Mr. Sanders: We support the Government with sadness because the Bill does not go far enough. I hope that the thousands of people in each hon. Member's constituency who are on waiting lists will know that their plight is being laughed at.

Question put, That the Bill be now read the Third time:-- The House divided: Ayes 350, Noes 138.

Division No. 50
[6.56 pm


AYES


Abbott, Ms Diane
Adams, Mrs Irene (Paisley N)
Ainger, Nick
Ainsworth, Robert (Cov'try NE)
Allan, Richard (Shef'ld Hallam)
Allen, Graham (Nottingham N)
Armstrong, Ms Hilary
Ashdown, Rt Hon Paddy
Ashton, Joe
Atkins, Charlotte
Austin, John
Ballard, Mrs Jackie
Barnes, Harry
Barron, Kevin
Bayley, Hugh
Beard, Nigel
Beckett, Rt Hon Mrs Margaret
Begg, Miss Anne (Aberd'n S)
Beith, Rt Hon A J
Bell, Martin (Tatton)
Bell, Stuart (Middlesbrough)
Bennett, Andrew F
Bermingham, Gerald
Berry, Roger
Best, Harold
Blackman, Liz
Blears, Ms Hazel
Blizzard, Bob
Borrow, David
Bradley, Keith (Withington)
Bradley, Peter (The Wrekin)
Bradshaw, Ben
Brake, Thomas
Breed, Colin
Brinton, Mrs Helen
Brown, Rt Hon Nick (Newcastle E)
Brown, Russell (Dumfries)
Browne, Desmond (Kilmarnock)
Bruce, Malcolm (Gordon)
Burden, Richard
Burgon, Colin
Burstow, Paul
Butler, Christine
Byers, Stephen
Cable, Dr Vincent
Caborn, Richard
Campbell, Alan (Tynemouth)
Campbell, Mrs Anne (C'bridge)
Campbell, Menzies (NE Fife)
Campbell, Ronnie (Blyth V)
Campbell-Savours, Dale
Cann, Jamie
Caplin, Ivor
Casale, Roger
Caton, Martin
Cawsey, Ian
Chapman, Ben (Wirral S)
Chaytor, David
Chisholm, Malcolm
Clapham, Michael
Clark, Dr Lynda
(Edinburgh Pentlands)
Clark, Paul (Gillingham)
Clarke, Charles (Norwich S)
Clarke, Eric (Midlothian)
Clarke, Tony (Northampton S)
Clelland, David
Coaker, Vernon
Coffey, Ms Ann
Colman, Tony (Putney)
Connarty, Michael
Cooper, Yvette
Corbett, Robin
Corbyn, Jeremy
Corston, Ms Jean
Cotter, Brian
Cousins, Jim
Cranston, Ross
Crausby, David
Cryer, Mrs Ann (Keighley)
Cryer, John (Hornchurch)
Cummings, John
Cunliffe, Lawrence
Cunningham, Jim (Cov'try S)
Cunningham, Rt Hon Dr John
(Copeland)
Curtis-Thomas, Mrs Claire
Dalyell, Tam
Darvill, Keith
Davey, Edward (Kingston)
Davey, Valerie (Bristol W)
Davidson, Ian
Davies, Rt Hon Denzil (Llanelli)
Davies, Geraint (Croydon C)
Dawson, Hilton
Dean, Mrs Janet
Denham, John
Dewar, Rt Hon Donald
Dismore, Andrew
Donohoe, Brian H
Doran, Frank
Dowd, Jim
Drew, David
Drown, Ms Julia
Eagle, Angela (Wallasey)
Edwards, Huw
Efford, Clive
Ellman, Ms Louise
Etherington, Bill
Fearn, Ronnie
Field, Rt Hon Frank
Flint, Caroline
Flynn, Paul
Follett, Barbara
Foster, Rt Hon Derek
Foster, Don (Bath)
Foster, Michael John (Worcester)
Fyfe, Maria
Galbraith, Sam
Galloway, George
Gerrard, Neil
Gibson, Dr Ian
Godman, Dr Norman A
Godsiff, Roger
Goggins, Paul
Golding, Mrs Llin
Gordon, Mrs Eileen
Gorrie, Donald
Griffiths, Jane (Reading E)
Griffiths, Nigel (Edinburgh S)
Griffiths, Win (Bridgend)
Grocott, Bruce
Grogan, John
Gunnell, John
Hall, Mike (Weaver Vale)
Hall, Patrick (Bedford)
Hancock, Mike
Hanson, David
Harvey, Nick
Heal, Mrs Sylvia
Healey, John
Henderson, Doug (Newcastle N)
Henderson, Ivan (Harwich)
Hepburn, Stephen
Heppell, John
Hesford, Stephen
Hewitt, Ms Patricia
Hill, Keith
Hodge, Ms Margaret
Hoey, Kate
Home Robertson, John
Hood, Jimmy
Hoon, Geoffrey
Hope, Phil
Hopkins, Kelvin
Howells, Dr Kim
Hoyle, Lindsay
Hughes, Ms Beverley (Stretford)
Hughes, Kevin (Doncaster N)
Hughes, Simon (Southwark N)
Humble, Mrs Joan
Hurst, Alan
Hutton, John
Iddon, Dr Brian
Illsley, Eric
Jackson, Ms Glenda (Hampstead)
Jackson, Helen (Hillsborough)
Jenkins, Brian (Tamworth)
Johnson, Miss Melanie
(Welwyn Hatfield)
Jones, Barry (Alyn & Deeside)
Jones, Ms Fiona (Newark)
Jones, Helen (Warrington N)
Jones, Jon Owen (Cardiff C)
Jones, Dr Lynne (Selly Oak)
Jones, Martyn (Clwyd S)
Jowell, Ms Tessa
Keeble, Ms Sally
Keen, Alan (Feltham & Heston)
Keen, Mrs Ann (Brentford)
Kemp, Fraser
Kennedy, Charles (Ross Skye)
Kennedy, Jane (Wavertree)
Khabra, Piara S
Kidney, David
King, Andy (Rugby & Kenilworth)
King, Ms Oona (Bethnal Green)
Kirkwood, Archy
Kumar, Dr Ashok
Ladyman, Dr Stephen
Lawrence, Ms Jackie
Laxton, Bob
Lepper, David
Levitt, Tom
Lewis, Ivan (Bury S)
Lewis, Terry (Worsley)
Linton, Martin
Livingstone, Ken
Livsey, Richard
Lloyd, Tony (Manchester C)
Llwyd, Elfyn
Love, Andrew
McAvoy, Thomas
McCabe, Stephen
McCafferty, Ms Chris
McCartney, Ian (Makerfield)
McDonagh, Siobhain
Macdonald, Calum
McDonnell, John
McFall, John
McGuire, Mrs Anne
McIsaac, Shona
McKenna, Ms Rosemary
Maclennan, Robert
McNulty, Tony
MacShane, Denis
Mactaggart, Fiona
McWalter, Tony
McWilliam, John
Mahon, Mrs Alice
Mallaber, Judy
Mandelson, Peter
Marek, Dr John
Marsden, Gordon (Blackpool S)
Marsden, Paul (Shrewsbury)
Marshall, David (Shettleston)
Marshall, Jim (Leicester S)
Marshall-Andrews, Robert
Martlew, Eric
Maxton, John
Meacher, Rt Hon Michael
Meale, Alan
Michie, Bill (Shef'ld Heeley)
Milburn, Alan
Moffatt, Laura
Moore, Michael
Moran, Ms Margaret
Morgan, Ms Julie (Cardiff N)
Morgan, Rhodri (Cardiff W)
Morris, Ms Estelle (B'ham Yardley)
Morris, Rt Hon John (Aberavon)
Mountford, Kali
Mudie, George
Mullin, Chris
Murphy, Denis (Wansbeck)
Murphy, Jim (Eastwood)
Norris, Dan
O'Brien, Bill (Normanton)
O'Brien, Mike (N Warks)
Olner, Bill
O'Neill, Martin
Öpik, Lembit
Organ, Mrs Diana
Osborne, Mrs Sandra
Pearson, Ian
Pendry, Tom
Pickthall, Colin
Pike, Peter L
Plaskitt, James
Pollard, Kerry
Pond, Chris
Pope, Greg
Pound, Stephen
Powell, Sir Raymond
Prentice, Ms Bridget (Lewisham E)
Prentice, Gordon (Pendle)
Prescott, Rt Hon John
Primarolo, Dawn
Prosser, Gwyn
Purchase, Ken
Quin, Ms Joyce
Rammell, Bill
Rapson, Syd
Raynsford, Nick
Rendel, David
Robinson, Geoffrey (Cov'try NW)
Roche, Mrs Barbara
Rogers, Allan
Rooker, Jeff
Rooney, Terry
Roy, Frank
Ruane, Chris
Salter, Martin
Sanders, Adrian
Savidge, Malcolm
Sawford, Phil
Sedgemore, Brian
Sheerman, Barry
Sheldon, Rt Hon Robert
Shipley, Ms Debra
Simpson, Alan (Nottingham S)
Singh, Marsha
Skinner, Dennis
Smith, Rt Hon Andrew (Oxford E)
Smith, Angela (Basildon)
Smith, Miss Geraldine
(Morecambe & Lunesdale)
Smith, Jacqui (Redditch)
Smith, John (Glamorgan)
Snape, Peter
Soley, Clive
Southworth, Ms Helen
Spellar, John
Squire, Ms Rachel
Starkey, Dr Phyllis
Steinberg, Gerry
Stevenson, George
Stewart, David (Inverness E)
Stewart, Ian (Eccles)
Stinchcombe, Paul
Stoate, Dr Howard
Stott, Roger
Strang, Rt Hon Dr Gavin
Stringer, Graham
Stuart, Ms Gisela (Edgbaston)
Stunell, Andrew
Sutcliffe, Gerry
Taylor, Rt Hon Mrs Ann
(Dewsbury)
Taylor, David (NW Leics)
Taylor, Matthew (Truro)
Temple-Morris, Peter
Thomas, Gareth (Clwyd W)
Thomas, Gareth R (Harrow W)
Timms, Stephen
Tipping, Paddy
Todd, Mark
Touhig, Don
Trickett, Jon
Turner, Dennis (Wolverh'ton SE)
Turner, Dr George (NW Norfolk)
Twigg, Derek (Halton)
Twigg, Stephen (Enfield)
Tyler, Paul
Vaz, Keith
Wallace, James
Walley, Ms Joan
Watts, David
Webb, Professor Steve
White, Brian
Whitehead, Dr Alan
Wicks, Malcolm
Wigley, Dafydd
Williams, Rt Hon Alan
(Swansea W)
Williams, Alan W (E Carmarthen)
Williams, Mrs Betty (Conwy)
Wills, Michael
Wilson, Brian
Winnick, David
Winterton, Ms Rosie (Doncaster C)
Wood, Mike
Worthington, Tony
Wray, James
Wright, Dr Tony (Cannock)
Wright, Tony D (Gt Yarmouth)
Wyatt, Derek

Tellers for the Ayes:


Mr. Clive Betts and
Mr. David Jamieson.


NOES


Ainsworth, Peter (E Surrey)
Amess, David
Arbuthnot, James
Atkinson, David (Bour'mth E)
Atkinson, Peter (Hexham)
Baldry, Tony
Beresford, Sir Paul
Blunt, Crispin
Body, Sir Richard
Boswell, Tim
Bottomley, Peter (Worthing W)
Bottomley, Rt Hon Mrs Virginia
Brady, Graham
Brazier, Julian
Brooke, Rt Hon Peter
Browning, Mrs Angela
Bruce, Ian (S Dorset)
Burns, Simon
Butterfill, John
Cash, William
Chapman, Sir Sydney
(Chipping Barnet)
Chope, Christopher
Clappison, James
Clark, Rt Hon Alan (Kensington)
Clark, Dr Michael (Rayleigh)
Clarke, Rt Hon Kenneth
(Rushcliffe)
Clifton-Brown, Geoffrey
Collins, Tim
Colvin, Michael
Cormack, Sir Patrick
Curry, Rt Hon David
Davis, Rt Hon David (Haltemprice)
Davies, Quentin (Grantham)
Dorrell, Rt Hon Stephen
Duncan, Alan
Duncan Smith, Iain
Evans, Nigel
Faber, David
Fabricant, Michael
Fallon, Michael
Flight, Howard
Forth, Rt Hon Eric
Fox, Dr Liam
Fraser, Christopher
Gale, Roger
Garnier, Edward
Gibb, Nick
Gill, Christopher
Gillan, Mrs Cheryl
Gorman, Mrs Teresa
Gray, James
Green, Damian
Greenway, John
Grieve, Dominic
Gummer, Rt Hon John
Hague, Rt Hon William
Hamilton, Rt Hon Sir Archie
Hammond, Philip
Hayes, John
Heald, Oliver
Heathcoat-Amory, Rt Hon David
Horam, John
Howard, Rt Hon Michael
Howarth, Gerald (Aldershot)
Hunter, Andrew
Jack, Rt Hon Michael
Jackson, Robert (Wantage)
Jenkin, Bernard (N Essex)
Key, Robert
King, Rt Hon Tom (Bridgwater)
Kirkbride, Miss Julie
Laing, Mrs Eleanor
Lansley, Andrew
Leigh, Edward
Letwin, Oliver
Lewis, Dr Julian (New Forest E)
Lilley, Rt Hon Peter
Lloyd, Rt Hon Sir Peter (Fareham)
Loughton, Tim
Luff, Peter
McIntosh, Miss Anne
MacKay, Andrew
Maclean, Rt Hon David
McLoughlin, Patrick
Malins, Humfrey
Maples, John
Mates, Michael
Maude, Rt Hon Francis
Mawhinney, Rt Hon Dr Brian
May, Mrs Theresa
Merchant, Piers
Moss, Malcolm
Ottaway, Richard
Page, Richard
Paice, James
Paterson, Owen
Pickles, Eric
Prior, David
Redwood, Rt Hon John
Robathan, Andrew
Robertson, Laurence (Tewk'b'ry)
Roe, Mrs Marion (Broxbourne)
Rowe, Andrew (Faversham)
Ruffley, David
Sayeed, Jonathan
Shepherd, Richard (Aldridge)
Simpson, Keith (Mid-Norfolk)
Soames, Nicholas
Spelman, Mrs Caroline
Spring, Richard
Stanley, Rt Hon Sir John
Steen, Anthony
Streeter, Gary
Swayne, Desmond
Syms, Robert
Tapsell, Sir Peter
Taylor, Ian (Esher & Walton)
Taylor, John M (Solihull)
Taylor, Sir Teddy
Temple-Morris,Peter
Thompson, William
Townend, John
Tredinnick, David
Tyrie, Andrew
Viggers, Peter
Walter, Robert
Wardle, Charles
Waterson, Nigel
Wells, Bowen
Whitney, Sir Raymond
Whittingdale, John
Widdecombe, Rt Hon Miss Ann
Wilkinson, John
Willetts, David
Wilshire, David
Winterton, Mrs Ann (Congleton)
Winterton, Nicholas (Macclesfield)
Woodward, Shaun
Young, Rt Hon Sir George

Tellers for the Noes:


Sir David Madel and
Mr. James Cran.

Question accordingly agreed to.

8 Jul 1997 : Column 824

Bill read the Third time, and passed.

8 Jul 1997 : Column 825


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