Conclusions and recommendations
Policy background
1 The proposed Order arises from a developed policy agenda which has been given a high priority by the Welsh Assembly Government. Robust research carried out in partnership with the social housing sector in Wales over the past two years has resulted in a significantly more mature and coherent proposal for the transfer of competence than the 2008 Affordable Housing LCO, which was based on a single manifesto commitment to suspend the Right to Buy in areas of housing pressure. We note that the Order has attracted widespread support in the housing sector and secured cross-party support in the Assembly.
(Paragraph 13)
Legislative context
2 There is a demand to review and revise social housing legislation in Wales, for example, in respect of the regulation of social housing providers and reform of tenure law. This Order also goes beyond current specific proposals for Measures and would transfer competence over areas of housing policy which are currently under review, and where legislation may follow in due course.
(Paragraph 19)
3 Although Welsh Ministers already possess extensive executive powers in respect of housing, our evidence suggests that the piecemeal nature of these powers is now hampering policy development in Wales.
(Paragraph 23)
4 In our view, it is appropriate and in line with the devolution settlement that the Assembly should have broad legislative competence over aspects of social housing, a field in which Welsh Ministers already have extensive executive functions.
(Paragraph 27)
Use of framework powers
5 The powers requested by the Welsh Assembly Government could not have been transferred by means of framework powers in the Housing and Regeneration Act 2008 as the policy framework was not sufficiently advanced at the point when the scope of that Bill was decided upon. There is no current Bill before Parliament in this area. We are therefore satisfied that a Legislative Competence Order procedure is appropriate in this case.
(Paragraph 31)
The need for a broad scope
6 The Sustainable Housing LCO is wide ranging in nature rather than being focused only on very specific parts of particular Measures linked to developed proposals for policy changes in Wales. We are persuaded that this wider competence is necessary so that the Assembly can develop a coherent strategy to the sector as a whole. It is also appropriate to the devolution settlement as it has developed, with many aspects of social housing already devolved to Welsh Ministers.
(Paragraph 36)
Matter 11.5: Right to Buy/Right to Acquire
7 As we noted in our previous Report on the 2008 Affordable Housing LCO, suspension of the Right to Buy would not, of itself, result in an increase in the supply of affordable housing. This proposed Order treats the Right to Buy as part of a package of social housing policy tools. In this context we are satisfied that Matter 11.5 is appropriate.
(Paragraph 41)
Potential impact on local government functions
8 We note that the Welsh Assembly Government intends that any new power to compel local authorities to provide caravan sites for Gypsies and Travellers should be used only in extreme circumstances and as a last resort. We are satisfied that Matter 11.7 will allow for this approach.
(Paragraph 46)
Potential cross-border issues
9 A small number of properties in England and Wales are owned by housing associations registered on the other side of the border. The Welsh Assembly Government and Whitehall departments will need to liaise closely to ensure that any future Measures do not have adverse consequences for these tenants and we expect the Welsh Assembly Government to give an undertaking to have regard to their needs.
(Paragraph 49)
10 We note that social security, including housing-related benefits, is a reserved matter and likely to remain so. In this context, decisions made at UK level will continue to have a significant impact on the formulation of housing policy in Wales. It is important that the Welsh Assembly Government should be closely engaged in consultation on changes to the social security system in order to identify any potential adverse consequences in Wales at an early stage.
(Paragraph 53)
Title
11 We repeat our recommendation, made in respect of previous proposed Orders, that LCOs should be given a simple title which conveys the actual subject of the Order to the general reader. This would also enable readers more easily to keep track of the growing number of LCOs which may add Matters to the same fields, but deal with different subjects.
(Paragraph 56)
Definitions
12 We recommend that the Explanatory Memorandum should be amended to make clear where terms used in the LCO are intended to be interpreted with reference to existing statutory definitions and where they are not
(Paragraph 58)
Social housing
13 We recommend that the Wales Office and Welsh Assembly Government should review the drafting of Matters relating to social housing to ensure that they convey as clearly as possible the extent of the competence that would be transferred to the Assembly by this Order.
(Paragraph 61)
Matter 11.2: "Social housing providers"
14 Minor redrafting may be needed to make clear that "allocation" is to be treated as within the term "provision" and thus whether a person (other than a local authority) is a social housing provider when it is allocating housing.
(Paragraph 65)
Matter 11.7: "Provision by local authorities
of caravan sites for use by gypsies and travellers"
15 There is a typographical error in the proposed Order and Explanatory Memorandum in respect of references to Gypsies and Travellers. In the current draft, both words appear in lower case. As recognised as racial groups by law, these names should be capitalised. We recommend that the LCO should be amended in this respect
(Paragraph 66)
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