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Social Housing (Single Tenancy Agreement)
16. Ms Oona King (Bethnal Green and Bow): What plans he has to introduce a single tenancy agreement in the social housing sector. [116158]
The Parliamentary Under-Secretary of State for the Environment, Transport and the Regions (Mr. Chris Mullin): I invite my hon. Friend to stay and listen to the statement that my right hon. Friend the Deputy Prime Minister will be making in 10 minutes.
Ms King: I thank my hon. Friend for that kind invitation. I recognise that it might be a bit late to put in a bid for issues to be included in the housing Green Paper. However, does he agree that the introduction of a single tenancy would help to reassure council tenants and enhance their rights when they are offered transfers to community housing organisations, as those organisations are currently unable to offer secure tenancies?
Mr. Mullin: I am aware of the problem that has arisen in my hon. Friend's constituency, where some misinformation has been floating about. There is no practical difference between secure and assured tenancies apart from the right to buy, which is guaranteed under the transfer schemes. Some tenants have been misled on that. It is desirable in principle that there should be a single tenancy, but there are practical difficulties.
Housebuilding (Chelmsford)
17. Mr. Simon Burns (West Chelmsford): If he will make a statement on future housebuilding in the Chelmsford local authority area. [116159]
The Minister for Housing and Planning (Mr. Nick Raynsford): An illustrative breakdown of future housing provision within the south-east region, including an annual rate of provision for the county of Essex, was published for consultation with the proposed changes to the draft regional planning guidance on 27 March. Once finalised, it will be for the Essex county structure plan to determine the level of house building in the Chelmsford local plan area.
Mr. Burns: Will the Minister confirm that that fudge by his right hon. Friend the Secretary of State means that there will be about 1,200 extra houses a year in Essex? Will he also confirm that his past statements on the Government's commitment to the green belt were sincere? If the answer is yes, what does he think of Liberal Democrat-controlled Chelmsford borough council's preferred option of building possibly 2,500 houses in greenbelt land in the village of Margaretting in the local authority area?
Mr. Raynsford: The hon. Gentleman has got his figures wrong. The annual average for housebuilding in Essex under the existing south-east regional planning committee arrangement is 6,383 homes per year. The average number of homes built throughout the 1990s was 5,770, and the illustrative proposals that we sent out on 27 March, to which I have just referred, suggests that an
average of 5,420 should be built. Therefore, it is simply not true that we are imposing an increase on existing Serplan arrangements, or on current levels of building.
Mr. Burns: What about the green belt?
Mr. Raynsford: I turn now to the green belt, which the Government are committed to protecting and extending, and whose area we have increased by some 30,000 hectares. There is a presumption against development in the green belt, which will be overruled only in exceptional circumstances.
We have a quasi-judicial role in relation to individual planning inquiries, so the hon. Gentleman will understand that I cannot comment on a matter that might come before my right hon. Friend the Secretary of State. However, I reaffirm our commitment to the defence of the green belt.
Council Tax (Second Homes)
18. Mr. David Rendel (Newbury): What plans he has to abolish the 50 per cent. reduction in council tax on second homes. [116160]
The Minister for Local Government and the Regions (Ms Hilary Armstrong): We have no plans at present to abolish the council tax discount for second homes. Some respondents to our consultation last year on rural issues suggested ending the discount, and we are considering this along with many other proposals for tackling rural problems.
Mr. Rendel: Does not the Minister agree that giving local authorities the right to raise the council tax on second homes would do quite a lot to reduce the problems of overdevelopment across the south-east? Would not it also give young people wanting to move out of the parental home a better chance of obtaining affordable accommodation?
Ms Armstrong: The hon. Gentleman is being too simplistic. Sometimes there are good reasons for not raising council tax on empty properties, as such properties are empty for all sorts of reasons. Second homes come into that general category.
The issue is complex, and varies across the country. We are considering the matter, and I am sure that the hon. Gentleman will want to contribute his thoughts to our deliberations.
Dr. George Turner (North-West Norfolk):
Does my right hon. Friend recognise that there are many different views on the matter across the country? People in north Norfolk are often unable to buy a house because others are coming into the area and buying second homes--those incomers include Members of Parliament. Their presence contributes to the local economy, but the negative feelings of the local community would be somewhat diminished if they were to pay the full council tax. I understand that my right hon. Friend may want to introduce a broader package
Ms Armstrong:
I have made it clear that the change has not been ruled out, but that it has not been ruled in either.
Mr. Geoffrey Clifton-Brown (Cotswold):
The Minister may be aware that 600 new wooden chalet-type homes are being built in the Cotswold water park. The local Cotswold district council does not get the full benefit of the council tax on those homes, which are entirely second homes. Will the Minister consider giving local authorities a discretionary power to enable them to levy full council tax in certain circumstances?
Ms Armstrong:
I have given the assurance that we are considering that.
19. Mr. Bill Rammell (Harlow):
If he will make a statement about the move to resource accounting for housing revenue accounts and his plans to mitigate its effects on councils in negative subsidy. [116161]
The Parliamentary Under-Secretary of State for the Environment, Transport and the Regions (Mr. Chris Mullin):
Our view has always been that transitional measures would be justified for councils in negative subsidy. We propose to introduce such measures from April next year, to coincide with the introduction of the major repairs allowance. We shall consult on the detail of the measures in due course.
Mr. Rammell:
The Minister will be aware of the dramatic impact of this change on a number of local authorities, particularly new town authorities. Without mitigation, the change would involve a dramatic slashing of council services or a huge and unsustainable increase in the council tax. Will the Minister look carefully at the issue and, in particular, at the use of housing capital receipts for non-housing capital purposes which took place during the 1980s and which is the major cause of this problem in my local authority?
Mr. Mullin:
I have possibly taken my hon. Friend by surprise by saying that we are proposing to introduce transitional measures from April next year. We are aware of the problem--I met a delegation of leaders of councils that are affected, and am due to meet my hon. Friend in due course. I look forward to discussing the details with him then.
Housing Green Paper
3.30 pm
The Secretary of State for the Environment, Transport and the Regions (Mr. John Prescott): I am very pleased to announce to the House that today we are publishing the housing Green Paper "Quality and Choice: A Decent Home for All". This is the first comprehensive review of housing for 23 years. [Hon. Members: "No."] Any search of the record will confirm that.
Housing is a basic requirement for everyone. Every member of the House will know from their postbag just how much housing matters. Decent housing gives people a stronger sense of security and identity. It strengthens communities and provides a better setting in which to raise families. It improves health, educational achievement and employment opportunities. It provides a long-term asset that can be passed on to future generations.
Despite the fact that the majority of people are satisfied with their housing, there are still too many problems. The previous Government's neglect made those problems worse. I inherited the worst repossession crisis ever, with more than 1 million homes repossessed or in negative equity, and a £19 billion backlog of repair and modernisation work in council housing. Despite Britain's mild winters, we have one of the worst records of winter deaths in Europe. Whole communities have been abandoned in ghettos of deprivation, and the number of homeless people and those sleeping rough has doubled.
Nothing in the Opposition's latest policies suggests that they have learned any lessons. Their proposals have little to do with solving problems and nothing to do with common sense. In fact, to coin a phrase, they are all mouth and no action.
We have made an early start to put things right. [Interruption.] This is what action is. We have released £5 billion of capital receipts to renovate 2 million homes. We are implementing the Egan report on raising standards in construction and are tackling the problem of cowboy builders.
Our economic policies have delivered stability, so that people can afford their own home. We have announced measures to make it easier for people to buy and sell their home. Our initiatives have reduced the number of rough sleepers by 10 per cent. These are a few of the things that we have done.
From this week, we are giving tenants a greater say in how their homes are managed. This week, the best value regime starts to ensure better services to tenants. A new housing inspectorate will ensure high standards.
The Green Paper on housing is a key part of our wider ambition to support sustainable communities. It shows how our existing initiatives fit into an overall strategy. It also sets out a range of proposals.
Over the coming weeks and months, I shall be launching the National Strategy for Neighbourhood Renewal, the urban White Paper and the rural White Paper. The housing Green Paper, together with those documents, is a key part of our strategy to build sustainable communities in this country.
The Green Paper is a consultation document. We are seeking responses by the end of July, but we would also welcome earlier reactions to inform decisions in the next
three-year spending review. We shall be looking to press ahead with our housing agenda in the autumn, although clearly some of our proposals will require legislation.
The Green Paper is about quality and choice. We want to raise the quality of homes everywhere, whether they are owned by individuals or provided by landlords. We want to extend choice, so that there is more choice for tenants and for those wanting to buy their own home.
I will start with the greenest part of the Green Paper--that dealing with housing benefit and rents. Everyone recognises that housing benefit is in need of reform. It has helped distort the structure of rents and trap people in unemployment. It is difficult to understand and complex to administer. I am sure that every Member of Parliament knows that to be so from dealing with constituents.
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