Select Committee on Communities and Local Government Committee Minutes of Evidence


Examination of Witness (Questions 320-325)

MR PETER KEGG

24 OCTOBER 2006

  Q320  Anne Main: What happens to the displaced people that would normally occupy those low-rate units?

  Mr Kegg: They are transient, so there would be a turnover.

  Q321  Anne Main: But you would be shifting the problem elsewhere, because they might be transient but their place is usually filled by another set of transient people coming in, are they not. They are not transient and then, obviously, you have got a load of unoccupied houses, or are you saying you have?

  Mr Kegg: Yes. I cannot answer that question fully, but I think what happens is that, if you have got accommodation available, people will fill it. If it is not there, they will not come. What landlords will do in Bournemouth is advertise in Liverpool saying, "Would you like to live rent-free in Bournemouth?"

  Q322  Anne Main: Surely that would drive the unit cost up. If you have got fewer units than people who want to come, surely it will be more expensive to live there?

  Mr Kegg: No, but I think there is a market place in HMO properties, and so if you actually had fewer of them there would be less people coming in that needed support.

  Q323  Chair: Are most of the people in HMOs in coastal towns not originally from those coastal towns?

  Mr Kegg: Yes.

  Q324  Chair: So they could as easily be somewhere else?

  Mr Kegg: There is quite a lot of movement of single people in particular, because the HMO people are mainly single people, there is quite a lot of movement from around the country, but very little is known about the scale of that movement or the reasons for that movement.

  Q325  Chair: Have those people moved to the coastal towns because of the housing or because there are jobs available in coastal towns?

  Mr Kegg: I think it is complex. I think the availability of transport, the attractiveness of an area. Why live in Liverpool on benefit when you could live in Bournemouth? There is also the prospect of jobs in the tourism trade. So, there are quite a lot of factors.

  Chair: Thank you very much indeed. We will have to adjourn the Committee for 10 minutes.

Committee suspended from 4.50 p.m. to 5.00 p.m. for a division in the House


 
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