Filling in the blanks in the Housing Bill
Posted: March 10, 2016 Filed under: Council housing, Pay to stay, Right to buy, Social housing | Tags: Housing and Planning Bill, National Audit Office 1 CommentOriginally posted on March 10 on Inside Edge 2, my blog for Inside Housing
Key elements of the Housing and Planning Bill have faced serious scrutiny in the last couple of days but we’re still not much nearer to knowing how or if they will work.
The frustration of MPs and peers is palpable as they repeatedly ask for more detail and are just as repeatedly told that it will be available shortly. It was all too much even for a Conservative MP on the Public Accounts Committee (PAC) on Wednesday afternoon. ‘You’re treating the parliamentarians around this table with contempt,’ Stephen Phillips told two senior Department for Communities and Local Government (DCLG) civil servants. ‘You’re asking us to take this on faith. Why not do the work first and then bring the legislation forward?’
The answer is of course that it’s much easier for ministers if it works the other way around. Under current plans, the crucial detail will appear in secondary legislation only after the bill has Royal Assent.
The PAC was investigating the value-for-money aspects of the extension of the Right to Buy to housing associations and the levy on forced sales of council houses that is meant to fund it. But members didn’t get far asking for detail. ‘The timings have yet to be determined,’ ran one senior civil servant answer. ‘The amounts have yet to be determined. The formulae have yet to be determined.’
The National Audit Office (NAO) is not impressed either. Here’s its assessment of the government’s impact assessment of the bill:
United nation
Posted: March 7, 2016 Filed under: Affordable housing, Scotland, Wales Leave a commentOriginally posted on March 7 on Inside Edge 2, my blog for Inside Housing
Campaigners gather in the capital city for a pre-election rally to call for decisive action on the housing crisis. Sound familiar?
But this is not Homes for Britain or London and it’s no longer March 2015. Instead this happened on Friday in Cardiff and it’s Homes for Wales.
The campaigns are clearly related – both are aimed at all the political parties, both are supported by a coalition of housing associations and other housing organisations – but there are differences too.
The Homes for Britain rally happened in a big hall with speakers from the housing world and beyond and from all the main political parties. For all the energy and enthusiasm of the day, it left itself open to the accusation that this was just another example of the sector gathering to congratulate itself about how wonderful it is.
In contrast, campaigners for Homes for Wales gathered on the steps of the Senedd Building in Cardiff Bay for speeches before marching through the streets of the capital for a rally in the heart of the pedestrianised city centre. For a couple of hours, shoppers could watch video messages from the political parties, Welsh celebrities such as Michael Sheen and people with personal experience of the housing crisis. Up to 700 people took part and it was the first housing march that anyone could remember in Wales. For more about the campaign see this piece by Kevin Howell.
Mind the gaps in the Housing Bill
Posted: March 1, 2016 Filed under: Affordable housing, Council housing, Pay to stay, Right to buy, Starter homes, Tenants | Tags: Housing and Planning Bill Leave a commentOriginally published on March 1 on Inside Edge 2, my blog for Inside Housing
For a piece of legislation that’s already faced hours of scrutiny from MPs and peers, there are still gaping holes at the heart of a Housing and Planning Bill that started life on the back of a fag packet and hasn’t moved much beyond it in several important respects.
Opposition demands for more detail about legislation are nothing new of course, but I’ve argued before that the lack of clarity here is deliberate in a bill that is designed to allow the government to do what it wants in future. To take one example, after stretching the definition of ‘affordable’ to breaking point to include £450,000 Starter Homes, the bill adds that the secretary of state ‘may by regulations amend this section so as to modify the definition of affordable housing’.
Many of the gaps were highlighted in the Commons late last year. The last two months have brought little further detail but now it’s crunch time: as peers debate a series of amendments, ministers are bound to come under increased pressures to say exactly what they mean.
The homelessness trap
Posted: February 25, 2016 Filed under: Help to Buy, Homelessness, Private renting | Tags: Crisis 1 CommentOriginally published on February 25 on Inside Edge 2, my blog for Inside Housing
If the government provides Help to Buy for first-time buyers why not Help to Rent for homeless people?
A new campaign from Crisis says it is becoming harder and harder for homeless people to get a place to live because most landlords think it’s too risky to rent to them.
‘Home: No Less Will Do’ is supported by the leading private landlord associations and calls on ministers to give homeless people looking to rent the same kind of support as they offer first-time buyers and to introduce a Welsh-style homelessness prevention duty.
As things stand, they are caught in what Crisis calls the ‘homelessness trap’: the private rented sector may be their only hope of a home (especially if they are single) but they struggle with upfront costs; and welfare reforms are making landlords less likely to want to rent to them.
The potential consequences – and the timeliness of the campaign – are underlined in new figures published on Thursday showing that rough sleeping has risen by 30% in a year and has doubled since 2010.
Home ownership: Decline and rise?
Posted: February 18, 2016 Filed under: Home ownership, Private renting, Social housing, Tenure change | Tags: Brandon Lewis, English Housing Survey Leave a commentOriginally posted on February 18 on Inside Edge 2, my blog for Inside Housing
At first sight, headline results from the English Housing Survey published on Thursday are very good news for Brandon Lewis.
As the housing minister was quick to point out, the survey shows 2014/15 was the first year since 2003 when the home ownership rate in England did not fall. And, as this graph also shows, private renting fell for the first time since 1999:
He might also have pointed to this graph showing a surprise turnaround in the tenure prospects of Generation Rent:
The fall in ownership over the last 10 years has been most marked among young people, so this increase in ownership among the 25-34s in 2014/15 and decline in private renting is a marked reversal of that trend.
On the face of it then it’s good news for ministers in their quest to revive the property-owning democracy and bad news for doom-mongers (like me). Perhaps all those dire predictions that we are on course to become a nation of private renters are wrong? Maybe Help to Buy really is working? Did Labour commission the Redfern Review into the decline of home ownership to look at a problem that no longer exists?
Did Help to Buy help?
Posted: February 16, 2016 Filed under: Help to Buy, Housebuilding, Starter homes Leave a commentOriginally posted on February 16 on Inside Edge 2, my blog for Inside Housing
If you believe Brandon Lewis, the Help to Buy equity loan scheme is a resounding success: it’s helped thousands of people to buy a home who could not have done otherwise; and it’s done it without inflating house prices.
But does an external evaluation for the Department for Communities and Local Government back up his claims? The good news for the housing minister is the central verdict that 43% of homes built under Help to Buy were additional and would not have been built without the scheme. And the report certainly has a positive conclusion:
‘Overall, the scheme has met its objectives in terms of increased housing supply. It has done this via a stimulus to demand which has fed through into an expansion of supply and with little evidence of a serious and destabilising impact on house prices.’
But look a little deeper and there is plenty of ammunition for critics of the scheme too. Most obvious is the flipside of that headline figure: if 57% of Help to Buy homes would have been built anyway, is that really a good use of the £9.7bn that the scheme is set to cost by 2020?
Going rogue
Posted: February 9, 2016 Filed under: Housebuilding, Housing benefit, Private renting, Right to buy, Supported housing | Tags: Brandon Lewis, John Healey Leave a commentOriginally published on January 9 on Inside Edge 2, my blog for Inside Housing
This week’s Communities and Local Government questions featured rogue policies, rogue landlords and a rogue house builder.
Rogue policy number one is the Local Housing Allowance (LHA) cap and its impact on supported housing. As Labour MPs lined up to criticise it, housing minister Brandon Lewis pointed to the review expected in the spring and pledged:
‘The changes will come in in 2018, but we are very clear, and have always been very clear, that we will make sure that the most vulnerable in our society are protected.’
That was not good enough for Labour’s Roberta Blackman-Woods, who quoted estimates by Newcastle-based Changing Lives about the losses it and other providers will suffer and argued that the discretionary fund will be inadequate. Lewis responded by pointing to the £400m of funding for new specialist affordable homes in the Spending Review (not much use if housing benefit won’t cover the rent) and the £5.3bn Better Care Fund (which is about health and social care, not housing).
But it was not good enough for Tory MP Peter Aldous either, who called for urgent clarity on whether the cap applies to homeless hostels and foyers. ‘If it does not, there is a real worry that many will close and that, as a result, there will be an unnecessary rise in the numbers of young homeless people.’
Jules Birch 