Building Safety

James Brokenshire Excerpts
Thursday 5th September 2019

(4 years, 7 months ago)

Commons Chamber
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John Bercow Portrait Mr Speaker
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I remind the House that I am looking for single-sentence questions without preamble.

James Brokenshire Portrait James Brokenshire (Old Bexley and Sidcup) (Con)
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May I support what my right hon. Friend has said in his statement about driving forward cultural change and ensuring that people are safe in their homes? I also encourage him to follow through on the social housing Green Paper to see that tenants have that voice to challenge their landlords and to drive change.

Robert Jenrick Portrait Robert Jenrick
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I am grateful for my right hon. Friend’s work. A number of the initiatives that I announced today commenced during his tenure and he was the driving force behind them. I will, of course, take forward the social housing Green Paper. We are considering the very large number of representations that we received, and I will update the House in due course.

Oral Answers to Questions

James Brokenshire Excerpts
Monday 22nd July 2019

(4 years, 9 months ago)

Commons Chamber
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Alex Burghart Portrait Alex Burghart (Brentwood and Ongar) (Con)
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19. What steps his Department is taking to reduce the time it takes to build new homes.

James Brokenshire Portrait The Secretary of State for Housing, Communities and Local Government (James Brokenshire)
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More housing was delivered across England last year than in all but one of the past 31 years. We have examined the recommendations of my right hon. Friend the Member for West Dorset (Sir Oliver Letwin) on the build-out review, and the Government responded in full at the spring statement earlier this year with a commitment to speed up the planning system and introduce new guidance to encourage diversification.

Scott Mann Portrait Scott Mann
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May I give the Secretary of State some feedback from architects and planners in Cornwall? The community infrastructure levy is having a detrimental impact due to not only the onerous nature of the number of forms that need to be filled out, but the fact that sites that could be deliverable are not coming forward because of the money. Will he look at that to see whether he can bring forward more sites, because we all want more houses in Cornwall?

James Brokenshire Portrait James Brokenshire
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I thank my hon. Friend for the input from Cornwall, which, as he knows, is where my family hail from, so I take particular interest in it. Small developers can benefit from exemptions for self-build homes and developments of less than 100 square metres. The CIL contains flexibility and some exemptions, and we introduced guidance in July, but I will certainly listen to my hon. Friend and, indeed, other hon. Members about the community infrastructure levy.

Alex Burghart Portrait Alex Burghart
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Does the Secretary of State think that modular building methods could play a bigger role in helping us to increase the supply of housing?

James Brokenshire Portrait James Brokenshire
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I do, in short. Modular building is an essential part of our work to get speedier build out, to ensure diversification of materials, and to get skills for people. It has been good to see how housing associations and the private sector are starting to embrace it. There is more to do, but I recognise my hon. Friend’s point.

Jim Shannon Portrait Jim Shannon (Strangford) (DUP)
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It is not just about how much time it takes to build a house, but about the types of house being built. Will the Secretary of State further outline whether a scheme is in place to provide smaller apartments close to town centres for elderly widows and widowers and those with mobility issues?

James Brokenshire Portrait James Brokenshire
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The hon. Gentleman will know that housing is devolved in Northern Ireland, but I recognise the absence of an Executive and therefore the need to be able to respond to such local issues. However, our policy in relation to England is clear: we want to see diversification and we want to see that local authorities are able to meet the needs of their communities.

Chris Leslie Portrait Mr Chris Leslie (Nottingham East) (IGC)
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If we are to tackle the housing crisis, we cannot just focus on the large developers. Small developers used to build two thirds of the new housing in this country, but that has gone away. Instead of just having the Help to Buy scheme, why not have a “help to build” scheme that supports or underwrites small and medium-sized construction companies to get rid of some of the difficulties that they encounter?

James Brokenshire Portrait James Brokenshire
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I totally agree with the hon. Gentleman about ensuring that smaller builders are able to play their part, which has implications for localities and for the supply chain. Indeed, funds are available for smaller builders, but it is a challenge to see how we embody that. Councils are also able to use their new flexibilities to borrow to build, and we will continue to champion that, because the diversification that he highlights is critical.

Mark Garnier Portrait Mark Garnier (Wyre Forest) (Con)
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2. What steps he is taking to tackle the mis-selling of leasehold properties.

James Brokenshire Portrait The Secretary of State for Housing, Communities and Local Government (James Brokenshire)
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I am pleased that the Competition and Markets Authority is investigating mis-selling and onerous leasehold terms and looking at whether such terms are deemed to be unfair, and we will consider further action when it reports. That work supports a strong package of reforms to promote fairness and transparency for leaseholders.

Mark Garnier Portrait Mark Garnier
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I am grateful to the Secretary of State for his comments but, despite those efforts, buyers of brand-new properties in Kidderminster in my constituency still believe that they have been misled in terms of leasehold contracts and contracts relating to communal services charges on new build estates. Given that we agree that we need to increase house building significantly across the country, does he accept that the apparent mis-selling must be properly investigated and brought to an end once and for all before the scandal affects millions upon millions of future homebuyers?

James Brokenshire Portrait James Brokenshire
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I absolutely do. Unfair practices in the leasehold market have no place in modern housing, and neither do, for example, excessive ground rents that exploit consumers who get nothing in return. I called on the Competition and Markets Authority to look into this issue, and I am pleased it has now responded, also reflecting the calls from the Housing, Communities and Local Government Committee—I note that the Chair of the Committee, the hon. Member for Sheffield South East (Mr Betts), is in his place this afternoon.

It is right that we get to the bottom of this, that we challenge it and that we respond to these unfair practices firmly and effectively.

Lucy Powell Portrait Lucy Powell (Manchester Central) (Lab/Co-op)
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When will the Secretary of State introduce regulation to give leaseholders redress? The leasehold valuation tribunal is toothless and, frankly, worthless. Whether it comes to erroneous charges, mis-selling, dangerous cladding or expensive charges, leaseholders have nowhere to go. There needs to be urgent regulation.

James Brokenshire Portrait James Brokenshire
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I recognise the hon. Lady’s call, which is why we have taken a number of steps and will be bringing forward legislation to ban new leases on houses and to reduce future ground rents to zero monetary value. The Select Committee obviously highlighted the issue of existing leases as well, and we therefore now have a pledge in place and a number of people are coming forward to provide that direct response. I keep this issue under continual review as to what further steps are needed to change the situation for the future, as well as providing support for those already in this situation.

Peter Bottomley Portrait Sir Peter Bottomley (Worthing West) (Con)
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My right hon. Friend and his team have, over the past year or so, made more progress than was made in the previous 20 years, which is greatly to be welcomed. May I ask that he continue showing the open-mindedness, flexibility and drive that are necessary to undo some of the past misdeeds, whether by declaring clauses to be unfair, and therefore unenforceable, or by finding simple, low-cost ways of righting wrongs that have been around for far too long?

James Brokenshire Portrait James Brokenshire
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I am grateful to my hon. Friend for his comments. We have firmly focused on this issue of leasehold, and I know the close attention he pays to the steps that have been taken. Obviously, the Competition and Markets Authority will be looking at this issue of unfairness. In relation to the Select Committee’s response, there are legal complexities with existing contracts, but I assure him that we will continue to focus on this to provide that effective response.

Helen Goodman Portrait Helen Goodman (Bishop Auckland) (Lab)
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Hundreds of my constituents have written to me similarly feeling that they have been mis-sold their freehold, so I have written to the Competition and Markets Authority asking it to extend its inquiry to cover freehold, where people have to pay excessive and ever-escalating management and service fees. Will the Secretary of State support me in this?

James Brokenshire Portrait James Brokenshire
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I certainly support the hon. Lady in seeing that inappropriate or unfair practices are properly investigated and properly responded to. If she is willing to share with me the details of the complaints she has received from her constituents, I would be happy to look into this further.

Eddie Hughes Portrait Eddie Hughes (Walsall North) (Con)
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In my excellent recent private Member’s Bill, I suggested that ground rent for leasehold properties should be set at the lower of £250 or 0.1% of the property’s value. Does the Secretary of State agree with that suggestion?

John Bercow Portrait Mr Speaker
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It is good of the hon. Gentleman to blow his own trumpet.

James Brokenshire Portrait James Brokenshire
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I commend my hon. Friend the Member for Walsall North (Eddie Hughes) for his private Member’s Bill setting out the steps that are needed to bring the leasehold market into an appropriate space. He will have heard what I said about bringing ground rents down to zero. We have given that commitment, and the right thing is that we move forward with our proposed legislation. I am sure that, with his ingenuity, he will be able to scrutinise it and, no doubt, come up with further proposals to ensure that legislation is effective.

John Healey Portrait John Healey (Wentworth and Dearne) (Lab)
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This session may be the swan song of the Secretary of State and his team. We certainly hope not, and we wish them all well in the Tory turmoil to come.

John Healey Portrait John Healey
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Indeed.

The CMA’s inquiry is certainly welcome, but it is action by Ministers that homebuyers ripped off in the leasehold system need most. The Secretary of State’s predecessor said in 2017 that the Government would stop new leasehold houses, but nearly 3,500 were sold last year. The Secretary of State himself said a year ago that he would end the use of Help to Buy for new leasehold houses, but he had to admit to me afterwards that that will not happen until 2021.

As the Secretary of State reflects on his time in this job, will he concede that any Government action has been too slow and too weak and has totally overlooked the needs of current leaseholders locked into unfair contracts?

James Brokenshire Portrait James Brokenshire
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No, I do not accept that. I direct the right hon. Gentleman to the action that has been taken and the fall that has been seen: the proportion of new build leasehold houses has fallen from 11% in quarter 4 of 2017 to 2% in quarter 4 of 2018, which was the lowest quarter so far for leasehold houses in the Help to Buy equity loan scheme.

The right hon. Gentleman issues a challenge on the existing Help to Buy scheme; he will note that I have asked Homes England to look into how we can renegotiate some of those contracts, because I was clear that there should be no new Government funding for schemes that promote leasehold, and that remains a firm commitment. Equally, we are taking action on the scheme now to confront some of the abuses that there are.

John Healey Portrait John Healey
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Well, lots of warm words and fresh reviews, but no action. There have been 19 Government announcements on leaseholds in the 15 months that the right hon. Gentleman has been Secretary of State, but there is still no sign of change for current leaseholders, or of the legislation to make it happen. Is not the hard truth that Conservatives cannot help leaseholders because they will not stand up to the vested interests in the property market? Do not homeowners who are looking for justice and radical, common-sense changes have to look to Labour to set a simple formula for people to buy their own freehold; to crack down on unfair fees and give homeowners the right to challenge high costs or poor performance from management companies; and to put an end, finally, to the broken leasehold system?

James Brokenshire Portrait James Brokenshire
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Clearly, the right hon. Gentleman has not been looking at the practical steps we have taken and, indeed, the performance that we have seen. Perhaps that is because of the turmoil in his own party—there has been plenty on the Opposition Benches. I direct the House to the steps that have been taken, the commitments that have been made and the effect that all that is now having. We are championing the cause of leaseholders and confronting some of the really unfair practices. We are seeing the effect that that is having as a result of the steps we have taken, rather than the hyperbole from the Opposition and the continuing turmoil that we see among them.

Luke Pollard Portrait Luke Pollard (Plymouth, Sutton and Devonport) (Lab/Co-op)
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3. What recent discussions he has had with local authority leaders on the future funding of children’s social care.

James Brokenshire Portrait The Secretary of State for Housing, Communities and Local Government (James Brokenshire)
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My Department regularly meets council representatives to understand the services that they deliver, including children’s social care. Although the Department for Education has policy responsibility, we work closely with it and sector representatives in our spending review preparations. The Under-Secretary of State for Housing, Communities and Local Government, my hon. Friend the Member for Rossendale and Darwen (Jake Berry), is meeting the hon. Gentleman this week to understand his concerns.

Luke Pollard Portrait Luke Pollard
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I thank the Secretary of State for that answer. Social care accounts for two thirds of Plymouth City Council’s budget, and with more and more children with more and more complex needs relying on social care provision, that spending is only going to go up. It is hard to plan for rising social care costs if we have uncertainty, so will the Secretary of State set out when Plymouth City Council and other councils throughout the country will find out their allocations for 2020-21?

James Brokenshire Portrait James Brokenshire
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Obviously, the hon. Gentleman will be able to discuss this matter further with my hon. Friend the Under-Secretary; indeed, I believe that meeting will take place later today. Plymouth has seen an increase in funding this year, with a core spend of £198.4 million. The hon. Gentleman issues a challenges on the need for certainty for next year; I understand that challenge and responded to it firmly at the recent Local Government Association conference. I am working with colleagues across Government to see that we have that certainty as early as we can possibly get it. Yes, it is linked to the spending review, but we know that planning is needed, and I am championing the issue so that we get it.

Andrew Bridgen Portrait Andrew Bridgen (North West Leicestershire) (Con)
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A National Audit Office report this year showed that there is huge variation between the costs of and the activities delivered by local authorities throughout the country. The same report showed that there is no link at all between per pupil funding and the quality of the services delivered, according to Ofsted. Does my right hon. Friend agree that funding alone will not sort out the problems in either children’s or adult social care?

James Brokenshire Portrait James Brokenshire
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I agree with my hon. Friend and am grateful to him for highlighting the evidence that he rightly raised. We are working with the Department for Education on the review of relative needs and resources, including by jointly funding specific research on the need to spend on children’s services. We want to champion good practice and to ensure that it is there to drive change and improvement in children’s services. My hon. Friend is right that it is about delivery and not simply looking at the funding.

Chi Onwurah Portrait Chi Onwurah (Newcastle upon Tyne Central) (Lab)
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The Secretary of State says that he is working desperately hard to give certainty, but does he recognise that officials in Newcastle City Council are also desperate to ensure that the children in our city receive adequate care from next April, and they cannot do that job if they do not know how much funding will be available to support children in Newcastle?

James Brokenshire Portrait James Brokenshire
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The point that the hon. Lady makes is one that I recognise and one that I did address at the Local Government Association conference. We are approaching a spending review—a new period for the overall funding for local government—and I want to ensure that we give certainty as early as possible. That is what we are working to achieve, so the planning that she and others want for councils is absolutely what I want, too, and it is why I am doing all I can, within my powers, to see that that happens.

Philip Hollobone Portrait Mr Philip Hollobone (Kettering) (Con)
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Northamptonshire has the second most expensive children’s social services in the country and is one of the very worst performers, so it is not about money but about management and leadership. In welcoming the appointment of a Children’s Commissioner, will the Secretary of State work with the Department for Education to speed up the implementation of the Children’s Trust rather more quickly than is presently envisaged?

James Brokenshire Portrait James Brokenshire
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I am grateful to my hon. Friend for highlighting the issue in his own area in Northamptonshire. Equally, I can say to him that I will continue to work with him and colleagues in relation to advancing this issue in terms of the reforms that are needed and implementing them speedily. I can give him the assurance that he seeks on working with colleagues at the Department for Education. Indeed, I can confirm to him that I will continue to listen to him and see that changes are implemented as effectively and quickly as we can.

Andrew Gwynne Portrait Andrew Gwynne (Denton and Reddish) (Lab)
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When the Secretary of State looks back on his record in the current Government, which will be his biggest regret: savage cuts to funding of children’s services, or the wider impact of austerity pushing more children into needing those dwindling services in the first place?

James Brokenshire Portrait James Brokenshire
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One thing I will not regret is ensuring that I did not listen to some of the advice that I have been hearing from the Opposition. Indeed, we saw this weekend that, on the issue of the contracting out of services, their approach is effectively one that does not look at value for money or at the quality of service; it does not look at anything, it but just based on dogma. That is not our approach, which is about delivering quality services, sticking up for communities and making sure that we have well-run councils. Indeed, it is also about seeing that we are getting that funding going into social care and other services, too. That is what motivates us; that is what motivates me. I will certainly take no lessons from the Opposition.

Andrew Gwynne Portrait Andrew Gwynne
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I asked the right hon. Gentleman about children’s services. Of course, we can see that the Secretary of State just does not get it. His cuts have had dire consequences. The Public Accounts Committee says:

“Children’s social care is increasingly becoming financially unsustainable. The proportion of local authorities that overspend…increased to 91% in 2017-18.”

The Tory-led LGA also says that there is a £1 billion funding gap for children’s services this year. When will he understand that his sticking plaster approach will not fix the broken children’s services?

James Brokenshire Portrait James Brokenshire
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Again, we hear the same from the hon. Gentleman. When I look at the real-terms increase in core spending that councils have received this year, what do I get from Labour Members—opposition to that. They did not support it. They did not support that additional funding going into social care—children’s and adults’. We on the Government Benches have listened and responded. We will continue to take that forward, with the funding that has gone in over five years to support 20 local authorities to improve their social work practices, in addition to my commitment to listen to the sector and to advance its cause as we look to the spending review ahead to see that social care—children’s and adults’—is effective and delivers for our councils and our communities.

John Bercow Portrait Mr Speaker
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Order. In calling the hon. Member for Sheffield, Heeley (Louise Haigh), I wish her a very happy birthday.

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Mike Wood Portrait Mike Wood (Dudley South) (Con)
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12. What steps his Department is taking to deliver economic growth through the midlands engine.

James Brokenshire Portrait The Secretary of State for Housing, Communities and Local Government (James Brokenshire)
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The Government are investing £1.6 billion through the nine midlands local enterprise partnerships and have established the £250 million midlands engine investment fund. Some £217 million of the local growth fund is being invested in the Black Country, and projects such as the Elite Centre for Manufacturing Skills, with Dudley College, will drive economic growth in the area.

Mike Wood Portrait Mike Wood
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I thank my right hon. Friend for that response, but businesses and residents in my constituency are frustrated at a lack of connectivity. Does the Secretary of State agree that a priority for the midlands engine and the Government as a whole must be to invest substantially in connecting our region, whether by rail, by road or digitally?

James Brokenshire Portrait James Brokenshire
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I agree with my hon. Friend’s point about connectivity, and he will know that I visited Dudley recently to hear about those issues directly. That is why £215 million of the transforming cities fund has been made available to the West Midlands Combined Authority to support extending the midlands metro tram links to Brierley Hill, enhancing accessibility across the Black Country and helping to drive growth.

Imran Hussain Portrait Imran Hussain (Bradford East) (Lab)
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13. What assessment he has made of the potential effect on levels of local authority service delivery of the removal of deprivation measures from the local government funding formula.

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Andrea Leadsom Portrait Andrea Leadsom (South Northamptonshire) (Con)
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14. What steps local authorities are able to take to hold to account developers that do not engage with local communities on (a) section 106 agreements and (b) other local planning matters after planning consent has been given.

James Brokenshire Portrait The Secretary of State for Housing, Communities and Local Government (James Brokenshire)
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Our recent reforms gave local authorities the tools to make it more difficult for developers to renegotiate contributions after planning consent. Where developers do not deliver on contributions, these can be enforced through legal proceedings. Finally, local authorities are required to consult on planning applications before consent is granted.

Andrea Leadsom Portrait Andrea Leadsom
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As part of a planning agreement, Persimmon is responsible for building a relief road for Towcester as part of that town’s expansion in my constituency. Highways England is providing £4 million to try to bring forward delivery of the road, but that now seems to be at risk due to problems between the developer and Highways England. Will my right hon. Friend meet me to discuss how we can work together to ensure that the road gets built?

James Brokenshire Portrait James Brokenshire
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I would be very happy to meet my right hon. Friend to discuss the point she makes. We want to ensure that there is a tie-up on infrastructure; the £5.5 billion housing infrastructure fund is there precisely to support that activity. On section 106 agreements, the Housing Minister and I firmly believe that transparency —publication and making them available, so there is direct accountability—is really important. I will certainly meet my right hon. Friend.

Barry Sheerman Portrait Mr Barry Sheerman (Huddersfield) (Lab/Co-op)
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The Secretary of State will know that over my time there have been serious problems with the non-delivery of section 106 agreements, so could we not look at them? When building houses, land tends to be cleared and trees cut down. Under a new kind of section 106 agreement, we could make developers put money into building new forests, such as the Great Northern forest and the White Rose forest.

James Brokenshire Portrait James Brokenshire
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The hon. Gentleman will be aware that how we create stronger, greener environments is a part of the delivery we firmly need, so that we have a relationship between built and natural environments. I believe very strongly in creating communities. The new planning guide, with the national planning policy framework, provides greater certainty, but we continue to review this area with an accelerated planning Green Paper later this year. If the hon. Gentleman has specific points he would like to raise on how we ensure that that sense of greenness within development is upheld, I will be very grateful to hear from him.

Mark Prisk Portrait Mr Mark Prisk (Hertford and Stortford) (Con)
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18. Developers are not the only ones who do not engage with local people. In fact, the whole way in which we consult on planning is out of date and is regarded with some scepticism by many members of the public. May I urge the Secretary of State to tackle that—not least by putting in proper resources and extending the scope of neighbourhood planning, as his Minister referred to earlier?

James Brokenshire Portrait James Brokenshire
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I am grateful to my hon. Friend for highlighting neighbourhood plans, which I believe in very strongly, and how we garner that greater consent for development to take place. I underline the sense of how we speed up the process with planning, with development and with those plans. That is what the accelerated planning Green Paper is all about. I would be delighted to continue to discuss this matter with my hon. Friend and others to ensure that we make that effective.

Tom Pursglove Portrait Tom Pursglove (Corby) (Con)
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T2. If he will make a statement on his departmental responsibilities.

James Brokenshire Portrait The Secretary of State for Housing, Communities and Local Government (James Brokenshire)
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Just over a week ago, I visited the Buchenwald concentration camp in Germany where my children’s great grandfather was held by the Nazis after Kristallnacht. He was one of the lucky ones. He was able to leave Germany and be reunited with family, but millions of others were not so fortunate. The visit redoubled my determination to deliver the national holocaust memorial and learning centre.

There is a duty on all of us across the House to stand up against antisemitism, racism and bigotry. Through initiatives such as the communities framework, which we have just published, we must stand up for our shared values of openness, understanding and decency. We reaffirm those values, as we mark the centenary of the Addison Act this month, with plans to end the practice of the segregation of social housing tenants through new guidance on development to prevent people from being denied access to shared facilities such as playgrounds. I will continue to champion the values of fairness that underpin my work as Secretary of State.

Tom Pursglove Portrait Tom Pursglove
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What steps is my right hon. Friend’s Department taking to ensure there is a co-ordinated cross-Government plan to make sure that areas with very significant housing growth, such as Corby and east Northamptonshire, receive the investment in infrastructure they need?

James Brokenshire Portrait James Brokenshire
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The £5.5 billion housing infrastructure fund is a cross-Government effort to unlock housing by supporting infrastructure development. With the Department for Transport and the Treasury, we are looking at ways to build capability across Government to make that as effective as possible. My hon. Friend is right. It is about that sense of delivery and consent, and seeing that homes are supported by the infrastructure they need.

Sarah Jones Portrait Sarah Jones (Croydon Central) (Lab)
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On Thursday, it was confirmed that high pressure laminate cladding, exactly like Grenfell-style ACM cladding, is lethal in certain combinations and must be removed from buildings. This could affect up to 1,700 additional blocks. The Secretary of State has known since last October that this cladding failed a fire test. No building should be covered with lethal materials and there are lives at stake, so I ask the Secretary of State: how many buildings are covered in this lethal cladding? What is the deadline for the removal of that cladding? Will the Government fund its removal?

James Brokenshire Portrait James Brokenshire
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The hon. Lady needs to be careful about the detail of what she has said, because she will equally know that there has been a BS 8414 test in relation to high pressure laminate, with different types of insulation, where the finding was not the description that she has set out. We provided advice in December 2017 and December 2018. We have now reaffirmed further advice to building owners to see that they take appropriate action to make buildings safe. That is what we have taken action to see and secure, and further steps are being taken with local government to test the type of materials that are in buildings. There is certainly no sense on this side of not taking the action that is required to make people safe.

Antoinette Sandbach Portrait Antoinette Sandbach (Eddisbury) (Con)
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T3. A number of constituents are trapped in unfair leases. What is the Minister doing to ensure that they can buy out their lease from a developer at reasonable cost?

Martyn Day Portrait Martyn Day (Linlithgow and East Falkirk) (SNP)
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T6. A damning report from the Select Committee on Housing, Communities and Local Government has confirmed that the £200 million set aside to fund the removal of aluminium composite material cladding from private residential buildings will not be sufficient. Will the Secretary of State commit to funding work to ensure that all this potentially life-saving work can be carried out everywhere it is needed?

James Brokenshire Portrait James Brokenshire
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We believe that the £200 million, which was an exceptional sum, based on the extreme risk that this ACM cladding has, is sufficient to provide the necessary support to make the necessary remediation, the reason being that commitments are already in place from a number of private sector developers and builders, as well as other insurers, to see that that work is undertaken. It is on that basis that that sum has been ring-fenced.

Bim Afolami Portrait Bim Afolami (Hitchin and Harpenden) (Con)
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T4. Under this Government, greenhouse gas emissions have fallen by 25% since 2010, which is a considerable achievement. However, there is much more we can do to make our housing stock much more environmentally friendly. The Minister for Housing knows about this issue, because I have spoken to him about it several times in the past few weeks. Will he or the Secretary of State illustrate what we are doing to deal with it?

James Brokenshire Portrait James Brokenshire
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I am grateful to my hon. Friend for that. He sets out that need for improving the energy efficiency of new and existing homes—that aim is very much shared by the Housing Minister. We plan to consult this year on uplifting the building regulations’ energy-efficiency requirements for new homes and work to existing buildings. Policies are also in place to improve existing homes, and these include the energy company obligation scheme.

Siobhain McDonagh Portrait Siobhain McDonagh (Mitcham and Morden) (Lab)
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T7. Mr S has been a brilliant private tenant for the past 12 years in his flat, always paying his rent on time, and decorating the flat and repairing it when necessary. He is also a great patriot, as a Royal Navy reservist. But none of this matters: in eight weeks, when his landlady issues him a section 21 notice, he will become homeless through no fault of his own. How is that right or fair?

James Brokenshire Portrait James Brokenshire
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We want to get this right in the private rental sector, which is why we have launched the consultation today on section 21 and how we provide that reform. If the hon. Lady wishes to draw the circumstances of this case to my attention, I will be happy to receive the details, because the sense of fairness underpins the action we are taking and is why these reforms are necessary.

Mike Wood Portrait Mike Wood (Dudley South) (Con)
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T5. The midlands has economic, cultural and historical ties with countries in every part of the world, but few are stronger than those with India. Will my right hon. Friend update the House on developments for a midlands engine partnership with business in India?

James Brokenshire Portrait James Brokenshire
- Hansard - -

I am pleased to say to my hon. Friend that some further positive steps have been taken since my visit to India last October to forge those relationships between the midlands and Maharashtra in India. I hope to be able to give him some positive news very shortly on signing a memorandum of understanding to really regularise that and underpin how we ensure we have that shared expertise to create jobs, boost trade and take other steps to cement this and create that positive sense of prosperity that I know he strongly advocates.

Anneliese Dodds Portrait Anneliese Dodds (Oxford East) (Lab/Co-op)
- Hansard - - - Excerpts

T8. Why has the Housing Minister not accepted the need for new primary legislation to implement the Letwin review’s call for land value uplift to be properly captured? That would support social housing construction, including in areas such as Oxford.

--- Later in debate ---
Steve Reed Portrait Mr Steve Reed (Croydon North) (Lab/Co-op)
- Hansard - - - Excerpts

The Government are still allowing the use of flammable cladding on school buildings up to 18 metres high, which of course means most school buildings. A disabled child would have great difficulty getting out if there were a fire. Why won’t the Government do what every parent wants and bring in a total ban on flammable cladding on schools?

James Brokenshire Portrait James Brokenshire
- Hansard - -

I thank the hon. Gentleman for flagging this up in the way he has. I took the step to introduce the ban on combustible materials on the surface of walls of high-rise residential buildings and others. We keep this under review. The Department for Education takes the lead on some of these standards, but I will certainly impress upon it the issues he raises, because safety and security are paramount.

--- Later in debate ---
Peter Bottomley Portrait Sir Peter Bottomley (Worthing West) (Con)
- Hansard - - - Excerpts

I do not want to assume that Ministers have seen the letter that was sent to the hon. Member for Poplar and Limehouse (Jim Fitzpatrick) and me today by the director general for housing about the chairman of the Leasehold Knowledge Partnership and LEASE, the Leasehold Advisory Service. It deals with one issue satisfactorily. May I ask Ministers to see whether the alleged social media comments that pose a difficulty can be sent to the chairman of the all-party parliamentary group on leasehold and commonhold reform to establish whether he can overcome the second difficulty?

James Brokenshire Portrait James Brokenshire
- Hansard - -

I will look into the matter and come back to my hon. Friend.

Emma Lewell-Buck Portrait Mrs Emma Lewell-Buck (South Shields) (Lab)
- Hansard - - - Excerpts

Representatives of nearly 50% of children’s services have said that they no longer feel able to keep children safe. Recent research has shown that private fostering, children’s homes and social worker agencies have amassed an estimated annual profit of £220 million, while simultaneously costing local authorities £20 million. At what point will the Government put the needs of vulnerable children before private profit?

Adrian Bailey Portrait Mr Adrian Bailey (West Bromwich West) (Lab/Co-op)
- Hansard - - - Excerpts

The crisis in adult social care is likely to become worse as it becomes harder to recruit staff from the European economic area to work in that sector post Brexit. What discussions has the Secretary of State had with the Home Office to ensure that the sector has access to the long-term labour supply that it will need?

James Brokenshire Portrait James Brokenshire
- Hansard - -

I have had discussions with not just the Home Office but the Department of Health and Social Care, and we have pursued the issue with our local government delivery board, which brings together councils from across the country to ensure that such issues are well planned. We keep this issue under careful review, but I believe that councils will rise to the challenge and ensure that the services on which their communities rely will not be disrupted.

Emma Hardy Portrait Emma Hardy (Kingston upon Hull West and Hessle) (Lab)
- Hansard - - - Excerpts

Hull is proud of its maritime history, and our relationship with the sea has shaped not only our culture and our economy, but even our character. What support and encouragement can the Minister give Hull City Council in its bid to become an official maritime city?

Strengthening Communities

James Brokenshire Excerpts
Monday 22nd July 2019

(4 years, 9 months ago)

Written Statements
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James Brokenshire Portrait The Secretary of State for Housing, Communities and Local Government (James Brokenshire)
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On Saturday 20 July I published “By deeds and their results: How we will strengthen our communities and nation”.

The document sets out the Ministry of Housing, Communities and Local Government’s vision for stronger communities, explaining why communities matter, what strong communities look like, and what Government and partners can do to support their creation.

It also signals the intention that the Ministry for Housing, Communities and Local Government work with other Government Departments to champion the importance of communities in every aspect of society, and focus its future work on building stronger communities across the country.

When communities are strong, society is strong. Communities can improve health and wellbeing, enable economic prosperity, help improve the local environment, and provide support in times of crisis. But eight years on from the Localism Act—the last piece of legislation focused on supporting communities—the challenges facing communities have evolved, and the time is right to assess and change the way in which Government can support communities. This is particularly necessary given the long-term divisions which have been exposed following the vote on the UK’s future membership of the European Union.

“By deeds and their results” commits the Ministry for Housing, Communities and Local Government to several actions, including:

Holding a national conversation with communities across England about their view of who we are as a nation, their vision for the future of their community and our country, and what local and national Government can and should be doing to support their community to thrive. We want Government and all public bodies to renew their understanding of their role in building stronger communities—this should be informed by direct conversations with people, in partnership with our existing local democratic institutions. The conversation will commence following the UK’s formal departure from the European Union.

Establishing a series of civic deal pilots to test how Government put into practice the principles in “By deeds and their results”. The Ministry of Housing, Communities and Local Government will work jointly with the Department for Digital, Culture, Media and Sport on these pilots. We will work with each pilot to consider how Government activities can be better aligned and co-ordinated to support communities in identifying and delivering their own priorities.

Publishing a communities White Paper to renew Government’s focus on building stronger communities across England. This will consider, for example, how community rights are strengthened, promoted and made easier to take up; how funding for communities can be more simplified, integrated and less risk averse; and how communities can best shape local services and decision-making more broadly. The final scope of the White Paper will be developed in partnership with communities, including through the national conversation and civic deal pilots.

“By deeds and their results” is underpinned by four pillars that will inform all work to strengthen communities across our Department:

1. Trust, connectedness and local pride;

2. Active citizenship and local control;

3. Shared community spaces;

4. Shared prosperity, with no community left behind.

This publication represents the next step in an ongoing conversation with communities that will shape the Department’s future activity. By working in partnership with all stakeholders—including other Government Departments, councils, businesses, faith groups and civil society organisations—we can create an environment that supports and enables stronger communities to flourish.

[HCWS1786]

New Unitary Councils

James Brokenshire Excerpts
Monday 22nd July 2019

(4 years, 9 months ago)

Written Statements
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James Brokenshire Portrait The Secretary of State for Housing, Communities and Local Government (James Brokenshire)
- Hansard - -

In my written statement of 1 November 2018 [HCWS1058] to the House, I committed to set out in due course the specific circumstances in which I would be prepared to issue a formal invitation to councils under the Local Government and Public Involvement in Health Act 2007, to submit proposals for the establishment of new unitary councils.

Today I am confirming the circumstances in which I would be prepared to issue such an invitation; how I intend to assess any unitary proposals councils make in response; and our continued approach to any proposals two or more district councils may make to merge in order to form a new larger district council.

Locally-led changes to the structure of local government, whether in the form of unitarisation or district mergers, can—with local support—be an appropriate means of ensuring more sustainable local government and local service delivery, enhanced local accountability, and empowered local communities. This statement today continues the Government’s commitment to supporting those councils that wish to combine, to serve their communities better and will consider unitarisation and mergers between councils when locally requested.

However, I recognise that unitarisation may not be appropriate everywhere. I also recognise that it is essential that any local government restructuring should be on the basis of locally led proposals and should not involve top-down Whitehall solutions being imposed on areas. The Government do not support top-down unitary restructuring. This has been the Government’s consistent approach since 2010.

Today, I want to provide further clarity for those councils who might consider the possibility of restructuring, by setting out the factors councils should consider and the processes to be followed—including with regard to local support.

For councils wishing to restructure to form unitary local government, the first step of the statutory process as set out under the 2007 Act is for me to issue an invitation to councils to submit proposals. There are two circumstances in which I will consider issuing such an invitation.

The first circumstance is where the following two conditions are met:

There is a local request for an invitation.

That I consider that the request demonstrates local opinion is coalescing around a single option which is reasonably likely to meet the existing publicly announced criteria for unitarisation.

In forming my view I would carefully consider the request, including the groups making and supporting it and their reasons for so doing. Where I issue an invitation, I would do so to all those councils that I consider to have regard to the area concerned, whether or not they were among those who had made the original request.

The second circumstance is where I consider that doing so would be appropriate given the specific circumstances of the area, including in relation to the long-term sustainability of local services. This is the situation in which my predecessor, the right hon. Member for Bromsgrove (Sajid Javid), issued an invitation to the councils in Northamptonshire.

Following such an invitation, it would be for the councils concerned to decide whether to develop and submit proposals for unitarisation, either individually or jointly by two or more councils.

I confirm that I will assess any locally-led unitary proposal that I receive against the criteria for unitarisation which we announced to Parliament in 2017 and which I and my predecessor have consistently used since then. These criteria state that subject to Parliamentary approval a proposal can be implemented, with or without modification, if I conclude that across the area as a whole the proposal is likely to:

improve the area’s local government;

command a good deal of local support across the area; and

cover an area that provides a credible geography for the proposed new structures, including that any new unitary council’s population would be expected to be in excess of 300,000.

On district council mergers, I confirm that where two or more district councils submit a proposal to merge, I will assess this against the criteria for mergers which we announced to Parliament in November 2017 and which we have used since then. The statutory process for such mergers does not involve my inviting proposals, and I recognise that particularly small district councils may wish to propose merging as a natural next step following a number of years of successful joint working, sharing of services and senior management teams.

The criteria for district council mergers are that, subject to Parliamentary approval, a proposal to merge would be implemented if I had reached a judgment in the round that if so implemented it would be likely to:

improve the area’s local government;

command local support, in particular that the merger is proposed by all councils which are to be merged and there is evidence of a good deal of local support; and

the area is a credible geography, consisting of two or more existing local government areas that are adjacent, and which, if established, would not pose an obstacle to locally-led proposals for authorities to combine to serve their communities better and would facilitate joint working between local authorities.

This statement is intended to provide clarity to councils and communities and help ensure that time and effort are not wasted on pursuing proposals which are unlikely to get the go ahead. It is important that those seeking to pursue locally led proposals are confident that there is a broad basis of common local support for the proposals to avoid unnecessary local conflict and distraction from the delivery of quality public services. The statement underlines the need for any proposals to be innovative, improve services, enhance accountability, have local support and deliver financial sustainability if they are to be taken forward.

Moreover, restructuring is only one of the different ways that councils can move forward. Joint working with other councils and partners could also be an appropriate and sustainable way forward. Such joint working can take a variety of forms ranging from adopting joint plans, setting up joint committees, and sharing back office services, to establishing combined authorities, and may extend across county boundaries. Those in an area will know what is best—the very essence of localism to which the Government remain committed.

[HCWS1790]

Rented Housing and Park Home Consultation

James Brokenshire Excerpts
Monday 22nd July 2019

(4 years, 9 months ago)

Written Statements
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James Brokenshire Portrait The Secretary of State for Housing, Communities and Local Government (James Brokenshire)
- Hansard - -

The housing landscape has fundamentally changed since the introduction of the Housing Act 1988—an Act that covers both the social and the private rented sector, as well as providing the tenure framework for a number of other landlords. With one in five households now in the private rented sector, with more families with children and older people renting their homes, it is time for a generational change to renting which better meets the needs of this important market.

Yesterday therefore, my Department launched a number of consultations, which will take forward this Government’s commitment to protect tenants, support landlords, drive up standards in the rental sector and make the housing market fairer for everyone.

Cracking down on rogue landlords

The Government are determined that those renting their homes are not forced into inadequate or unsafe housing. The majority of landlords and property agents in the private rented sector provide decent and well-managed accommodation, but there is a small number who knowingly flout their legal obligations and rent out substandard accommodation. These few criminals account for a disproportionate amount of the 25% of private rented homes which are non-decent.

The Prime Minister committed to widen access to information on the database of rogue landlords and property agents to tenants. In its current form, the database is viewable only to local authorities. It is targeted at the most serious and prolific criminals, those who have been convicted of specified banning order offences such as failure to make a property habitable when instructed by the local authority, through to serious crimes such as specified drug and sexual offences.

Our consultation, “Rogue Landlord Database Reform: Widening Access and Considering the Scope of the Database of Rogue Landlords and Property Agents”, seeks views on how to open-up the database so tenants can know more about the landlord who they plan to, from or already rent from. We also want to consider the scope of the database, this consultation therefore also seeks views on whether the database should cover a wider range of relevant criminal, civil and housing regulation breaches to help further raise standards across the sector.

Abolishing section 21 no-fault evictions and supporting landlords to reclaim their property

On 15 April, I announced plans to abolish section 21 of the Housing Act 1988, putting an end to so-called “no fault” evictions and giving tenants the certainty that they will not be asked to leave their home without a valid reason.

The Government want to deliver a balanced and effective tenancy regime that is fair to both landlords and tenants and yesterday published “A New Deal for Renting: resetting the balance of rights and responsibilities between landlords and tenants”. This consultation seeks views on how tenancies should operate in future. It is the first step in a journey that will deliver on our commitment to bring greater fairness and transparency to tenants and ensure they have the security they need to plan for the future.

The consultation also proposes three new grounds and asks for views on the current grounds for eviction and how they can be improved. Landlords should have confidence that they will be able to regain possession of their property if they need to, and the consultation further explores whether the courts could use the accelerated procedure for dealing with possession order applications under some or all of the mandatory grounds in section 8 of the Housing Act 1988.

Taken together, the reforms proposed across these two consultations will build on Government action to drive up standards across the sector, deliver the rental sector the country deserves and needs, and create a housing market that works for everyone.

Protecting residents of park homes

Finally, we have also published a consultation seeking views on how the fit and proper person test for park homes sites will work in practice. In the Government response to the review of park homes legislation, we committed to introducing the test subject to a technical consultation to ensure the effective operation of the test. When implemented, the test will strengthen local authorities’ powers to target the worst offenders and remove unscrupulous and criminal site operators from the park homes sector.

I am making a copy of all consultations available in the Library of the House

[HCWS1787]

Building Safety: ACM Cladding

James Brokenshire Excerpts
Thursday 18th July 2019

(4 years, 9 months ago)

Written Statements
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James Brokenshire Portrait The Secretary of State for Housing, Communities and Local Government (James Brokenshire)
- Hansard - -

I wish to update the House before the summer recess on building safety, including: my expectations of building owners on the removal of unsafe aluminium composite material (ACM) cladding; the steps this Government are taking on the remediation of existing buildings; wider updates on testing programmes; and early action on delivering the recommendations to reform the building safety regulatory system.

My priority is that residents should be safe—and feel safe—in their homes. All buildings with ACM cladding have had interim safety measures put in place as soon as they have been identified, and fire and rescue services are conducting inspections to ensure those measures remain in place.

However, too many people have been living in fear for too long because of the slow progress being made by those responsible for making their buildings permanently safe. While many building owners have rightly taken action, there are still a number of residential buildings across the public and private sectors with unsafe ACM cladding where remediation has not yet started.

I am clear that this situation is unacceptable. That is why I want to set out my expectations on the timing of remediation of buildings with unsafe ACM cladding. Given the £600 million of funding this Government have made available, there is no further excuse for delay.

In the social sector, other than a small handful of exceptional cases, remediation will be completed by the end of the year.

In the private sector, progress has been slower, which is why this Government took action by announcing a £200 million fund. By the end of December 2019, any building in the private sector which I have not been assured is permanently safe should have a clear commitment to remediation, with a start and finish date agreed. Where no such safety assurance or plan has been brought forward by the end of December, building owners can expect enforcement action to be taken. My expectation is that, other than in exceptional circumstances, building owners should complete remediation within six months of agreeing a plan, by June 2020.

I acknowledge that this Government also have a role to play in ensuring that remediation is undertaken. That is why, on 9 May I announced that this Government were introducing a new £200 million fund to unblock progress in remediating private sector high-rise residential buildings. My Department has been in contact with relevant building owners or managers to enable them to start preparatory work on an application to the fund. My Department will today publish a prospectus setting out the scope and eligibility criteria for the fund, how to apply and the timetable for submitting applications.

To help facilitate remediation, I would like to clarify the planning treatment of ACM cladding replacement works. Planning permission may not be required where the external appearance of a building is not materially altered by replacement cladding. Approval for recladding is only needed if the work amounts to “development” within the meaning of section 55 of the Town and Country Planning Act 1990 or is required within the terms of a previous planning permission.

Local planning authorities should take a proportionate approach and work proactively with building owners to identify whether planning approval is necessary. I strongly encourage developers to engage with the local planning authority at the earliest opportunity during development of their remediation plans.

Where a planning application is considered necessary, pre-application engagement can help to resolve any issues and assist local planning authorities in issuing timely decisions. Local planning authorities should also take a proportionate approach to the amount of information needed to support an application and consider carefully whether charging a fee for their early advice is appropriate in these cases. Decisions on applications should be made as quickly as possible and can be made as soon as the time limit for consultation has expired. Building owners would also need to ensure that the work complies with building regulations and that they obtain the necessary approval.

My Department has also commenced a data collection exercise which will enable the Department to build a complete picture of external wall systems in use on high rise residential buildings. We have asked local authorities and housing associations to identify external wall materials and insulation on all high-rise residential buildings 18 metres and over.

On 11 July a fire test in accordance with British standard 8414 was carried out at the laboratories of the fire protection association. This test was commissioned by my Department on the advice of the independent expert advisory panel and involved a cladding system consisting of a class B, fire retardant, high pressure laminate rain-screen with a non-combustible rock fibre insulation. This is part of an ongoing, systematic investigation into the fire risks from non-ACM cladding systems. I can confirm that this system met the relevant pass criteria and that the expert panel are satisfied that this specific system does not present a risk to public safety. Detailed advice from the expert panel on high pressure laminate cladding systems is also being published by my Department today.

My Department has also continued its investigations into fire doors. We have already made available the results of a sample of glass-reinforced plastic composite fire doors tested by my Department. Following the advice of the expert panel, Government expanded the testing to include timber fire doors. Today I am making available the results from the testing of a sample of timber fire doors from 25 manufacturers. I am pleased to report that all have succeeded in meeting the required 30-minute fire performance standard. The sample included a range of glazed and un-glazed fire doors with a variety of hardware and were tested on both sides of the door. The summary results of the timber fire door tests to inform building risk assessments are now available at: https://www.gov.uk/guidance/fire-door-investigation

As a result of our tests, the expert panel have concluded that they do not believe there is a performance concern with timber fire doors across industry, where they are purchased directly from the manufacturer and produced to specification.

It is important to be clear that, although the results of our testing provide assurances for residents who have concerns about their fire doors, it is for building owners to assure themselves that the fire doors they install are fit for purpose and have the required documentation and certification. Guidance for building owners who are replacing flat front entrance doors can be accessed at: https://www.gov.uk/government/publications/advice- for-building-owners-on-assurance-and-replacing-of-flat-entrance-fire-doors

Since 2007, building regulations guidance has stated that all new blocks of flats over 30 metres should have sprinklers. In 2013, the Department wrote to all local authorities and housing associations, asking them to consider a coroner’s report recommendation that they should consider retro-fitting sprinklers in existing residential buildings over 30 metres.

The housing revenue account borrowing cap was abolished on 29 October 2018, giving freedom to local authorities to help finance unforeseen capital repairs programmes, such as retro fitting sprinklers, as well as build new homes. It is for building owners to seek professional advice and decide whether to fit sprinklers, on the basis of their assessment of the particular risk faced in their buildings.

At the heart of the regulatory reform is our intention to establish a regulator to oversee the safety and performance of all buildings. We are working closely with the health and safety executive (HSE), who are sharing their considerable regulatory experience and expertise to help us shape the functions of the new regulator, alongside other members of our joint regulators group. My Department is working with partners to develop proposals to allow the regulatory functions to exist prior to the new legislative regime being in place. We are similarly seeking the advice and input of the HSE on implementing the new regime following legislation.

[HCWS1757]

Grenfell Tower

James Brokenshire Excerpts
Wednesday 17th July 2019

(4 years, 9 months ago)

Written Statements
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James Brokenshire Portrait The Secretary of State for Housing, Communities and Local Government (James Brokenshire)
- Hansard - -

Two years on from the Grenfell Tower tragedy, my priority is to ensure that everyone affected is receiving the support they need and deserve. The independent Grenfell recovery taskforce continues to provide challenge and advice to the Royal Borough of Kensington and Chelsea (RBKC) in its response to the Grenfell Tower tragedy. I recently received its fourth report, which I am today depositing in the Library of the House and publishing in full at gov.uk, alongside my response.

The taskforce has outlined the progress that the council has made since their last report of November 2018. RBKC have published its Grenfell recovery strategy and committed £50 million over the next five years to develop services to support the recovery. The recovery strategy is also prioritised in the new council plan. The taskforce reports that the dedicated service for the bereaved and survivors is the successful result of the council co-designing the service with its users. I welcome these significant steps forward.

On rehousing, the taskforce has again offered reassurance to Ministers that the council’s approach is appropriate and sensitive to the long-term needs of survivors. I am pleased that there has been further progress since I received the taskforce’s report with two more families moving into permanent accommodation. However, as I said in my oral statement on 10 June I remain concerned that households are still in emergency accommodation, including one in a hotel.

The taskforce has also welcomed the council’s demonstrable appetite to modernise its governance procedures. It cites its implementation of recommendations by the Centre for Public Scrutiny, including establishing a programme of listening forums. The taskforce has also identified the beginning of a culture change initiated by the chief executive and leader of the council.

The taskforce has highlighted developments in the council’s approach to community relationships and communications. RBKC has increased the number and means by which it engages with its residents including new meetings between the political leadership and some of those most affected by the tragedy. The taskforce also reports that it is seeing pockets of good practice pertaining to fostering good relationships with service users and the community.

Whilst the taskforce has noted good progress in many areas it is also clear that the council still faces significant challenges. The taskforce has identified that the pace by which the recovery is being implemented is still too slow and that this needs to be addressed. The taskforce has highlighted that strands of the recovery strategy remain in development, as well as the community programme and economy strategy. The taskforce therefore remain concerned about the capacity and corporate capability of the council to drive sustainable change. Although the rehousing programme is nearing completion the taskforce states that the council still faces substantial wider housing challenges. Whilst there is a programme to support and develop all councillors, the taskforce has noticed occasions where member behaviour has caused it concern. There is a high degree of social capital that the council has yet to fully tap into and the taskforce calls for an innovative approach to harness this enthusiasm. The taskforce has also highlighted that the culture change has still not permeated all levels of the council and silo working remains an issue.

The taskforce has set the bar high for RBKC’s recovery. It is important there is ambition and pace in the council’s recovery efforts over the next three to four months in responding to the taskforce’s recommendations, including:

Urgently implementing its recovery strategy;

Fostering a council-wide culture change so that everyone is working together;

Clearly communicating its recovery plan and develop stronger communications skills;

Ensuring that the senior team has the appropriate skills and resilience;

Making a clear commitment to creating a better relationship with its community.

I am assured the council has already set in train action to meet these recommendations. This includes a paper outlining its plans to implement organisational change at the council by 2020.

I will review the process in September, by which point I hope the council will have made sufficient further progress. I look forward to continuing to work with the taskforce.

[HCWS1733]

Local Government Audit

James Brokenshire Excerpts
Wednesday 10th July 2019

(4 years, 9 months ago)

Written Statements
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James Brokenshire Portrait The Secretary of State for Housing, Communities and Local Government (James Brokenshire)
- Hansard - -

Local government in England is responsible for 22% of total UK public sector expenditure. It is essential that local authority financial reporting is of the highest level of transparency to allow taxpayers to understand how their money is being spent.

The responsibilities for the framework within which local authority audits are conducted is the Local Audit and Accountability Act 2014. It gave effect to commitments to abolish the Audit Commission and its centralised performance and inspection regimes and put in place a new localised audit regime, refocusing local accountability on improved transparency.

Now the Act has been fully implemented, the Government are required to review its effectiveness. The Government want to use this opportunity to step back and review the effectiveness of the local authority financial reporting and audit regime. Developments in the sector have led to a perceived widening of the “expectation gap”; that is, the difference between what users expect from an audit and the reality of what an audit is and what auditors’ responsibilities entail.

This is why I am today announcing a Government commissioned independent review to assess the effectiveness of the local authority audit framework and of the transparency of local authority financial reporting. I have asked Sir Tony Redmond, a former local government ombudsman, former local government boundary commissioner for England and former president of the Chartered Institute of Public Finance and Accountancy to chair this review.

This new review will examine the existing purpose, scope and quality of statutory audits of local authorities in England and the supporting regulatory framework to in order to determine:

Whether the audit and related regulatory framework for local authorities in England is operating in line with the policy intent set out in the Act and the related impact assessment;

Whether the reforms have improved the effectiveness of the control and governance framework along with the transparency of financial information presented by councils;

Whether the current statutory framework for local authority financial reporting supports the transparent disclosure of financial performance and enables users of the accounts to hold local authorities to account; and

Appropriate recommendations on how far the process, products and framework may need to improve and evolve to meet the needs of local residents and local taxpayers, and the wider public interest.

A copy of the terms of reference has been placed in the Library of the House.

[HCWS1706]

Building Better, Building Beautiful Commission

James Brokenshire Excerpts
Tuesday 9th July 2019

(4 years, 9 months ago)

Written Statements
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James Brokenshire Portrait The Secretary of State for Housing, Communities and Local Government (James Brokenshire)
- Hansard - -

I have today received the interim report from the independent Building Better, Building Beautiful Commission. I have placed a copy in the Library and made it available on www.gov.uk. I would like to thank the commissioners for their work to date and look forward to receiving their final report later this year.

[HCWS1703]

Housing Market: House Building and Leasehold Reform

James Brokenshire Excerpts
Thursday 27th June 2019

(4 years, 10 months ago)

Written Statements
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James Brokenshire Portrait The Secretary of State for Housing, Communities and Local Government (James Brokenshire)
- Hansard - -

Making sure the housing market works is a key priority for this Government. Today I am announcing a number of additional measures the Government are taking to ensure we deliver the homes this country needs and promote fairness for people, wherever they live.

The Government have set an ambitious target to deliver 300,000 homes a year by the mid-2020s. Last year more homes were provided than in all but one of the last 31 years. In September 2018, the Prime Minister announced an additional £2 billion to support long-term strategic partnerships with housing associations through to 2029. Today we are launching the bidding process for £1 billion of this funding through Homes England and are working with the Greater London Authority to launch bidding for a further £1 billion for housing associations in London as soon as possible. This marks the first time any Government have invested such long-term funding in new affordable homes through housing associations, supporting the development of more ambitious long-term plans to build the homes this country needs.

We are also announcing today that the Government will be providing £2.85 million to support the development of 19 new garden villages. These new communities stretch from County Durham in the north to Truro in the south-west and together have the potential to deliver 73,554 homes.

Planning is also a core part of ensuring we deliver our home-building ambitions but the process is currently too costly and decision-making takes too long. The forthcoming accelerated planning Green Paper must explore new approaches to meeting the cost of the planning service. We will invite innovative proposals to pilot new approaches to meeting these where this improves performance, including considering whether local authorities could recover a greater proportion of these costs and reinvest the additional revenue into improving the speed and quality of planning services.

The Government have also been clear that we must cultivate a housing market which provides people with the fair and decent housing they deserve. Yesterday, the Prime Minster announced that we will shortly be consulting on the removal of section 21 of the 1988 Housing Act. This will end so-called “no fault evictions”. As part of the consultation, we will also review the existing grounds for possession and provide additional grounds for when landlords need to move into or sell their property. We also plan to reform the court process for housing cases to make it more efficient, ensuring landlords can swiftly and smoothly regain their property where they have a legitimate reason to do so.

When moving home, some tenants struggle to provide a second deposit to their new landlord, while they wait for their first deposit to be returned. These tenants risk falling into debt or ultimately finding themselves trapped in their current home, missing out on the opportunity of finding a better place to live or a new job. We want to understand the scale of this problem, as well as seeking new approaches. That means tenants do not have to provide a second full deposit to move home. This could include approaches to allow tenants to directly “passport” their deposit between tenancies.

To protect the rights of homebuyers and hold developers to account when things go wrong, we also announced our intention to introduce a new homes ombudsman and, when parliamentary time allows, to legislate mandating that developers of new build homes belong to this ombudsman scheme. Today, we have taken a further step, and published our consultation to inform the proposed UK-wide legislation, including on the design and delivery of the ombudsman, the approval mechanisms and standards that it must meet and on whether a code of practice for developers should be underpinned in legislation. The consultation will run until 22 August 2019 and is available on the Government’s website here:

https://www.gov.uk/government/consultations/redress-for-purchasers-of-new-build-homes-and-the-new-homes-ombudsman. id="53WS" class="column-number" data-column-number="53WS">

We are also acting on our commitment to end exploitative and unfair leasehold practices which have no place in a modern housing market. Today, we are publishing our response to the technical consultation on reforms to the leasehold system. As announced in December 2017, we will legislate to ensure that unless there are exceptional circumstances, all new houses will be sold on a freehold basis. Through the consultation, we have also decided that:

Ground rents on future leases will be reduced to a peppercorn of £0, meaning leaseholders will no longer be charged a financial sum for which they receive no material benefit;

Freeholders on private and mixed-use estates will receive rights to challenge the reasonableness of estate rent charges and the right to apply to the first-tier tribunal to appoint a new property manager;

Freeholders and managing agents will be required to provide leasehold information within 15 days and set the maximum fee for providing this information at £200 (plus VAT).

Finally, we have previously said the new help to buy: equity loan scheme from 2021 will not be used to support the unjustified use of leasehold houses. Today, we are announcing that we are seeking to vary contracts with developers to ban the sale of leasehold houses, except in the rare cases where this can be justified, within the current help to buy scheme.

Taken together, this package ensures we make progress not just on delivering more homes, but on ensuring decent and fair housing for the people and communities that need them. This is an important part of helping communities to thrive, putting them at the heart of new developments and building a housing market that works fairly for all.

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