Appendix 1: Letter from the Minister for
Housing to the Chair of the Committee
Clive Betts MP
Chair, Communities and Local Government Committee
Dear Clive,
CLG Select Committee Report on the Decent Homes
Programme "Beyond Decent Homes"
I am conscious of the fact that a response to the
report of the CLG Select Committee on the decent homes programme
is outstanding from the last Parliamentary session. This was
a constructive report, and I want to take this opportunity to
thank you and the members of the previous Committee for all their
work.
Ahead of the conclusion of the Spending Review the
Government is constrained in its ability to commit to specific
housing policies, including the way forward for tackling poor
housing and energy efficiency. Therefore, a response to your
report in the form of a Command Paper would not be particularly
helpful so I am writing to you in your capacity as Chair of the
Committee to signpost the way on issues still to be decided.
The Government's key priority is to devolve power
from Whitehall to people, neighbourhoods, communities and local
institutions. The structure of the decent homes programme established
under the previous government is consistent with our localism
agenda. The programme has devolved decision-making power to the
local level; landlords in consultation with their tenants have
determined the delivery route for Decent Homes investment, what
work should be completed to improve the condition of the housing
stock and how the work would be delivered. This increases transparency
and accountability, giving individual citizens the opportunity
to take greater control. We have no plans to change this.
It is very important that we understand the scale
of the backlog of capital investment. For council housing, the
Government has data on the scale and location of the remaining
level of non-decency and works required. Further work is being
carried out work to ensure we fully understand the need for further
investment in order to inform the Spending Review. Decisions
on funding the backlog of work will be made in the context of
the Spending Review which will determine the level of capital
investment that can be supported.
Reforms to council housing finance have been proposed
that would enable local authorities to continue to deliver decent
homes. We have no proposals to disband ALMOs. They would be
treated in the same manner as other local authorities under a
self financing system. I am looking forward to considering
the responses to the consultation on council housing finance launched
by the previous Government. Councils need the financial freedom
to make the best long term decisions for their housing, and it
is critical that reform is able to deliver that.
We have a priority to develop the market for the
Green Deal whereby householders can get energy efficiency improvements
carried out without having to find the initial capital outlay.
The costs will be recovered over a long period through a charge
on energy bills lower than the savings on the bills made by installing
the energy efficiency measures, thus reducing the costs for households.
This will benefit households in the private sector including vulnerable
households. We are also looking at the relationship between the
Green Deal and the Decent Homes Standard as we develop and refine
these proposals so that social tenants can benefit too.
In respect of the private sector target, in the coming
months the Government will be looking closely at the Private
Sector Renewal programme, its linkages with energy efficiency
and health services and future options for improving existing
stock for vulnerable people and the potential for increased flexibilities
for local authorities to focus on local priorities. It is however
the Government view that for owner occupiers, it is primarily
the responsibility of the owner to maintain his property in good
condition but there may be a case for intervention where the market
fails.
I will write again following the outcome of the Spending
Review
The Rt Hon Grant Shapps MP
Minister for Housing and Local Government
Department for Communities and Local Government
27 July 2010
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