Oral Answers to Questions
Chris McDonald Excerpts(1 week, 2 days ago)
Commons ChamberRead Full debate Read Hansard Text Watch Debate Read Debate Ministerial Extracts
Mr Speaker
Order. I remind Members to look at the question on the Order Paper and make sure that their supplementary question is related to it.
Chris McDonald (Stockton North) (Lab)
David Pinto-Duschinsky (Hendon) (Lab)
The Minister for Housing and Planning (Matthew Pennycook)
The Government continue to progress the implementation of the reforms to the leasehold system that are already in statute, while at the same time undertaking the work required to bring forward the wider set of reforms necessary to end the feudal leasehold system for good. We remain on track to deliver our ambitious leasehold and commonhold reform agenda, as set out in the written ministerial statement that I made on 21 November last year.
Chris McDonald
I thank the Minister for his positive engagement with me on the issue of a safe crossing at roads on the Wynyard and Queensgate estates in my constituency, but can I also bring to his attention the issue of service charges at the Willow Sage Court estate? Does he agree that our leasehold reforms must ensure fair service charges? I can send him further information about this case if he wishes.
Matthew Pennycook
I thank my hon. Friend for raising that point, and I would like further information on that case. The Government recognise the considerable financial strain that rising service charges place on leaseholders and tenants. Overcharging through service charges is completely unacceptable. We intend to consult in the very near future on the measures in the Leasehold and Freehold Reform Act 2024 designed to drive up the transparency of service charges to make them more easily challengeable if leaseholders consider them to be unreasonable.
Leasehold Reform
Chris McDonald Excerpts(2 weeks, 1 day ago)
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Alex Norris
I do. I appreciate that there is frustration about consultation, but some of the challenges within the Act show why it is important that we get this right, and that we have a process that delivers the relief that people are so desperately waiting for. One such consultation that has now concluded is around insurance commissions, which relates to service charges. We are consulting on how to replace that with a fairer and more transparent permitted insurance fee.
This year, we will also start the consultation on relevant measures related to service charges and litigation costs more generally. On new consumer protection provisions, as my hon. Friend the Member for Swindon North (Will Stone) mentioned, for the up to 1.75 million homes on private and mixed-tenure housing estates that are subject to estate charges, we will bring the measures into force as soon as possible once we have the correct model.
Chris McDonald (Stockton North) (Lab)
I thank the Minister for the interest that he has shown in the issues we have in Stockton North at Queensgate, Willow Sage Court and Wynyard. I am pleased to provide the update to the Minister that, following my intervention, in Queensgate we now have 98% of the roads completed. Does he agree that the issue here is a lack of consumer choice? There is a market failure; in local areas such as Stockton, people who want to buy a house have very limited opportunity to do so without entering into one of these agreements.
Alex Norris
I commend my hon. Friend for his work there; it will be of great succour to a number of his constituents. However, he is right, because this is a confluence a failure to build enough houses and a system that has been left to govern itself and act in the ways that my hon. Friend the Member for Brentford and Isleworth set out, leaving people with no choice but to enter into arrangements that lead to them having to live with these long-term consequences. That is why we must build more houses and address those behaviours.
Pubs and Community Funding
Chris McDonald Excerpts(4 weeks, 2 days ago)
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Rebecca Paul
I thank the hon. Lady for that contribution. I would welcome any clarity from the Minister about that.
In Redhill, we have an amazing pub called the Garibaldi, which is a community pub—a not-for-profit pub—that gives back to the community in so many ways. On walking in, you feel the warmth straightaway from Shiv, Juliette and the other volunteers, who are always there to give a welcome with a smile. There is always something going on: quizzes, karaoke, Bhunnys street food—even a book club. My personal favourites are the forces fry-ups for veterans on a Saturday morning—sometimes I go along to help serve the tea, coffee and toast; I normally do it quite badly—and the music bingo. Out back, there is the community garden, which has been transformed with the help of the Garibaldi gardening group volunteers. It is now accessible to everyone, including young adults with special needs who visit with YMCA East Surrey.
Every bit of profit the Garibaldi makes gets ploughed back into things that benefit the community. It is there for the benefit of Redhill residents, not for any other reason, and it is extremely good at what it does. That is incredibly clear whenever I visit. People from all walks of life are sitting side by side with friends and neighbours enjoying a chat and a drink, all part of making the Garibaldi the special place that it is.
Chris McDonald (Stockton North) (Lab)
I am sorry to interrupt the hon. Member’s flow. The Garibaldi sounds like an amazing pub. When she described how it reinvests its funds, it reminded me of the clubs in my constituency—perhaps clubs rather than pubs are more popular in the north-east. Does she agree that many of the things she has said about the community importance of pubs also apply to clubs such as the Hardwick social club in my constituency?
Rebecca Paul
I thank the hon. Gentleman for that intervention. Absolutely, those things apply to clubs and to any premises where we might listen to live music —they apply to so many places. I will focus on pubs, but I hope that we will have many other debates on all those other things.
The Garibaldi has stood on Mill Street for 150 years. It has survived two world wars, multiple recessions and two global pandemics. It has seen Redhill transform around it into the modern, bustling town it is today, but it is now at risk if the funds cannot be raised to buy the building. Rather ironically, the pub is so much more than bricks and mortar, but it needs to buy the bricks and mortar if it is to survive. In previous years, the community ownership fund has provided a great opportunity for community groups to acquire community buildings. It has awarded more than £135 million to 409 projects across the UK, including several community pubs. Sadly, however, the fund is no longer available.
The new Government have announced their intention to introduce a new right to buy for important community assets. This will no doubt bring many benefits and help to preserve valued community buildings and spaces. It will empower communities to save much-loved pubs and community halls, rather than just having to accept their loss. However, in order for groups to utilise this to the full, I ask the Minister whether they have any plans to introduce a fund to support the purchase of valuable community assets by the community.
The Garibaldi is doing a sterling job of trying to raise the money itself, as I am sure many other groups around the country are doing, but it would be useful to know if there is any likelihood of new funding on the horizon that it could apply for to supplement its efforts. The Garibaldi is such an important part of Redhill—we cannot imagine Redhill without it—so I would be most grateful for any advice and support from the Minister on how we can secure it for future generations.
Rebalancing Regional Economies
Chris McDonald Excerpts(1 month ago)
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Andy MacNae
I thank my hon. Friend for his intervention. Indeed, that movement out into the regions is vital; a thrust throughout this debate is the understanding of regional and local realities. That movement can only be welcomed, and it should be as broad as it possibly can be.
Chris McDonald
I was very exercised by my hon. Friend’s point about “feeding people” from small towns into cities—a very patronising view espoused by ill-informed lobby groups such as the Centre for Cities. Does he agree that that view denies the reality: that people who live in towns want their towns to be successful and have real pride in their towns, including places such as Stockton, Billingham and Norton in my constituency? That success is good for the country, good for those towns and good for the people who live in them.
Andy MacNae
I agree 100% with my hon. Friend. It is the pride that we have in our towns that really matters. Good things should happen in our towns, not just in some distant city that only a tiny proportion of people in a town might be lucky enough to be able to travel to. That includes pride in our neighbourhoods; neighbourhoods are important to their residents.
Having said that, I do not deny for a moment that cities are our economic engines and that we desperately need to address the productivity gap between our regional centres and London—but, as we have said, this process cannot just be about the cities and the big towns. It matters little to the people of Bacup how well Manchester is doing. Instead, we need to see the good things happening in Manchester mirrored in places such as Bacup. That is the true test of whether we are delivering for all.
Estate Adoption: North-east England
Chris McDonald Excerpts(8 months ago)
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Emma Foody
I thank my hon. Friend for raising those issues. I know it is something that is raised with all Northumberland MPs, and I agree that we need to look at all mechanisms to ensure that estates are at an adoptable standard.
In my constituency, Dan from West Meadows, another estate, shared his worries that local football pitches would never be brought up to the standard that has been promised. Mark, who lives in Backworth View, told me how the street lighting on his road has never been switched on in the five years he has lived there, yet he is paying full council tax and management fees. Many residents express frustration that they are paying both estate management fees and council tax, yet, because the estate is unadopted, they have poorer quality infrastructure, despite paying more.
Local authorities often feel the brunt of complaints from residents, but they hold little power to compel developers to bring private unadopted estates to the standards required for them to be adopted. Local authorities should not be footing the bill for delays and lack of delivery from private house builders. Too often, local authorities are hamstrung. The developers have long since left the site, so local authorities are left fielding complaints from residents, despite having little power to compel action. A chief planning officer at a local authority told me that the current system is skewed towards developers. They pick their own contractors, timeframes and materials, which are often not up to the standard for a council to be able to adopt their work, yet it is the local authority that is left with understandably frustrated residents long after the developer has gone.
Chris McDonald (Stockton North) (Lab)
I have also seen problems holding developers to account in my constituency of Stockton North, where we have estates such as Willow Sage Court, Wynyard and Queensgate, which have unfinished roads, a lack of facilities and high maintenance charges. The Competition and Markets Authority said in a report earlier this year that there was an increasing trend for this type of estate, and it recommended a set of national standards. Does my hon. Friend agree that we should have a national framework of standards for private developers, as well as sanctions for developers that do not deliver?
Emma Foody
I thank my hon. Friend for that contribution; it is as if he has seen the next part of my speech as I am going to reference the CMA, so I will progress and touch on the issues he raised.
I have mentioned the homeowners, the local authorities and the developers, but there is another third party that has an important role: the utilities and the broadband companies that have to deliver the infrastructure as well. In Earsdon View, residents remain on an unadopted estate, as the developer and the water company have been unable to resolve adoption. A resident on the estate, Jim, feels that the water company and the developer have passed the buck, and nothing has been done on the issue. As he put it, residents are left with “stalemate”.
Often, it is the relationships between developers and utilities companies that hold back the full adoption of water mains and other utilities. The knock-on consequence is that roads are left open and untarmacked while the disputes are ongoing. While such issues between developers, third parties and local authorities are haggled over, residents are left to pick up the cost through estate management fees. That fee is meant to support a contractor while they carry out work on the estate, but residents have shared their experiences of being left unsatisfied by the system of estate management fees, which are often unpredictable, opaque and confusing. Many argue that they are being ripped off, with fees that can increase by unlimited and unspecified amounts each year. Residents such as Oliver fear that if fees continue to go up and they were unable to meet them they would be unable to sell their property.
The CMA report earlier this year says that one of the things that creates the most distress for homeowners on such estates is the disproportionate response time taken by management companies, as well as their response when homeowners are unable to pay. Homeowners have had their property seized because they cannot meet the costs levied by estate management companies, yet residents are left powerless to challenge the unfinished state and poor quality of their estate. People echo earlier remarks that the existing system is skewed towards developers, with little access to justice for residents. I am glad that the Labour Government have already pledged to end the leasehold system. A developer that has not met its promises to homeowners should not be able to profiteer in relation to those same homeowners.
I am proud that this Government are taking the necessary steps to solve our housing crisis. We have a complete shortage of housing of all types. This Labour Government are being bold, with a target of 1.5 million homes during the Parliament; reform of leaseholds to end exorbitant ongoing costs for residents to live in their own homes and of the existing leasehold system; the end of section 21; and reform of the rental market. The Government have said they intend to introduce legislation to deal with the commonhold and leasehold issues that are still prevalent in today’s housing market, fixing the system—adoption should be part of that.