Social Housing and Building Safety

Lisa Nandy Excerpts
Thursday 9th June 2022

(1 year, 11 months ago)

Commons Chamber
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Lisa Nandy Portrait Lisa Nandy (Wigan) (Lab)
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On 14 June 2017, every single person in this country watched in horror as a blaze in London became, within hours, one of the worst disasters of modern times. Some 72 people lost their lives that day and dozens more were injured. Among them, as the Secretary of State has said, were young children, GCSE students, retired couples and entire families. As the family of 78-year-old Ligaya Moore poignantly put it, it was a tragedy that turned “laughter into silence”.

I join the Secretary of State in welcoming some of those families to the Chamber today. It always feels uncomfortable, at moments such as this when we stand here and speak, that their voices are not heard and ours are, but I have heard from many of the families affected by this appalling tragedy over the past few years that what they want most is to hear from us the action we will take to honour those lives and build a fitting legacy. I am determined that we will work with the Secretary of State and with all political parties across this House in order to turn that commitment that we have all respectively made into reality.

There has rightly been much soul-searching about how such a tragedy was possible in modern Britain. The public inquiry is still under way and must be allowed to do its work without political interference. However, that must never be allowed to become an excuse for delay or for justice denied, because this was not the first fire in a block with similar cladding. The Government were aware of problems as early as 1986, well before a block of flats in Merseyside caught alight in 1991. That fire, at Knowsley Heights, was followed by similar fires spanning three decades, from Irvine in Scotland to Southwark in south London, where six people lost their lives. In those intervening decades, the alarm was raised many times. One parliamentary inquiry led by the former Member for Southend West, David Amess, who is much missed in all parts of this House, warned that it should not

“take a serious fire in which many people are killed before all reasonable steps are taken towards minimising the risks.”

This series of failures spanned all political parties and successive Governments over many decades. We should have heard that and we should have acted. I therefore join the Secretary of State in saying, on behalf of my party, that we are sorry that we did not hear it and sorry that we did not act sooner.

But how did those warnings go unheeded by so many for so long? The Government’s lawyer told the official Grenfell inquiry that

“within the construction industry there was a race to the bottom, with profits being prioritised over safety.”

It makes me angry to hear that that can be admitted with such candour now but nothing was done before. I share the Secretary of State’s passion to go after those who recklessly disregarded people’s lives and put their profits and their own interests before safety. If they broke the law, acted recklessly or acted immorally, then I will join him in going to the ends of the earth to make sure that they pay a heavy price for doing so.

We have to ask ourselves, too, standing here in the centre of power: who permitted that to happen? Over 30 years and five different Governments—Labour, coalition and Conservative—how did it come to pass that profits were allowed to matter more than people. How could the concerns and lives of people in the centre of one of the wealthiest boroughs in the wealthiest city in one of the wealthiest countries in the world be ignored—effectively rendered invisible by decision makers only a few short miles away? The appalling tragedy suffered by the people of Grenfell is undeniable evidence of the unequal society that we live in, where lives are allowed to be weighed against profit on a balance sheet and come out the worst, and where those who lack money also lack power. When I talk to social housing tenants up and down the country, this what I hear so often—that they are not seen or heard by decision makers, and that when they raise their concerns and bang on the doors of the corridors of power, those concerns still go unheeded. One social housing tenant said to me: “We simply do not count.” This has to be the day when we stand up together and say, “This ends now.”

There are 4 million families in rented social housing in England. Every single one of them deserves a decent, safe home, and, more than that, the power to drive and shape the decisions that affect their own lives. We should be scandalised that so many homes are not up to a fit standard, not just on fire safety but in being cold, damp and in a state of disrepair that shames us all in modern Britain: homes with black mould and water running down the walls; homes that are unsafe; homes that are damp and overcrowded. I recently heard from a teacher about a child who was coming to school covered in rat bites. The school is using its pupil premium to send people round to make sure that these children are clothed, fed and protected from rats. What have we come to in Britain in the 21st century? It is an absolute disgrace.

The Secretary of State is right that we should take a zero tolerance approach to social landlords who do not live up their obligations—who do not do everything within their power to make sure that those issues are dealt with. But I also gently say to him, in a constructive tone, given the gravity of what we are dealing with today, that the Government have to do their bit as well. That means reversing some of the cuts that have been made to councils and housing associations in recent years which mean that repair budgets are virtually non-existent in many parts of the country, and that good people have been lost and expertise has gone.

We welcome the decision to publish a social housing reform Bill to try to tackle some of these issues, although we are concerned that it has not materialised in advance of this debate. We were led to believe that we would have that Bill before we stood up to speak today. If there are problems within Government—if there are wranglings taking place behind closed doors—my offer to the Secretary of State is this: we will work with him and support him in whatever battles he has to make sure that this Bill sees the light of day, and quickly. That also goes for the renters reform Bill, which must, as my hon. Friend the Member for Brentford and Isleworth (Ruth Cadbury) said, deal with the appalling standards in many private rented homes up and down this country. Some of that, I have to say to the Secretary of State, has been caused by Government policies such as the bedroom tax, which forced many people out of the secure social home that they had lived in for many years, close to friends, family and children’s schools, and into private, rented, often overcrowded and substandard accommodation that, absurdly, cost the public more than it did to house them in their own home.

We welcome some of the measures that the Secretary of State has proposed, particularly the promise to beef up the role of the regulator. This is a welcome step forward giving it the power to inspect, to order emergency repairs, to issue limitless fines, and to intervene in badly managed organisations. But we have to do more to tilt the balance of power back towards tenants to give them not just a voice but real power to shape and drive the decisions that affect their lives, their homes, their families and their communities. The measures on tenant satisfaction and a residents’ panel that meets Ministers three times a year are welcome, but well short of a dedicated tenants’ organisation that is put on a statutory footing and exists to be a voice to champion their interests. Such a body existed under the last Labour Government but was scrapped by the Secretary of State’s Government in 2010. I ask him please not to close his mind to perhaps revisiting previous methods that worked. Let us work together with tenants to get this right once and for all.

Clive Betts Portrait Mr Betts
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My hon. Friend is absolutely right about the body—the Tenant Services Authority—that used to exist and was in place to do that. Let me return to the point that I made to the Secretary of State in an intervention: this is about resources. Councils and housing associations are short of resources. They cannot bring their homes up to a proper standard—the new decent homes standard—build new homes, and do all the necessary building safety and other works with the money they have. Will my hon. Friend join me in pressing the Secretary of State—hopefully he is listening, as he said he was—to make sure that social housing landlords have the same access to funds to deal with safety works that are now, quite rightly, available to the private sector?

Lisa Nandy Portrait Lisa Nandy
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My hon. Friend is absolutely right. I would add to the many challenges currently facing councils and housing associations the challenge of decarbonisation and the goal of net zero. These things are keeping well-meaning, good people who work in our councils and housing associations awake at night trying to work out how they are going to square the circle, and they deserve more support from their Government.

Nor is it acceptable that the measures are silent on how many new social housing properties will be built. We have a chronic shortage of affordable rented homes, with some of the challenges that my hon. Friend outlined. It is really concerning that today the Prime Minister said that the big idea to solve this is to allow people to use benefits to get a mortgage—not because we disagree with the principle of extending home ownership much more widely to those who want to grasp it, but because he seems to have forgotten to talk to the lenders. The Secretary of State will know that this has been the problem with previous announcements that have aimed in similar ways to help people to get mortgages. If mortgage lenders are not on board, they simply will not do it. The Prime Minister may not have reached out to mortgage lenders, but I am sure the Secretary of State will. When he does, will he talk to them about the very real difficulties of people on universal credit—all of whom, by definition, have savings of less than £16,000, with most having very little in savings, if anything at all—and about how they get a mortgage without any kind of deposit, and whether that is indeed viable? The Prime Minister appears to have forgotten to talk to mortgage lenders; I think it is possible that he also forgot to talk to the Secretary of State before he made the announcement. I do not envy the Secretary of State the task of trying to sort this out, but I am sure that he will go at it with his characteristic tenacity, and I wish him well in the endeavour.

I also wish the right hon. Gentleman well in realising the ambition he set out today: that when the Government extend the right to buy on a voluntary basis to housing association tenants, they will ensure that the homes are replaced, like for like and one for one. I was pleased to hear him say that he had secured that commitment, because Government figures suggest that while just over 2,500 council homes were built in 2010, over 11,000 were sold off under the right to buy; and, as he knows, in the Government pilots of the extended scheme, only half of the homes were replaced and the replacements were more expensive and inferior in standard to the ones that were sold. So how is the Secretary of State able to give this commitment today? What is the estimate of the cost of doing that, and where will the money be found? He knows better than anyone how squeezed his existing budget is. Given that full replacement of right-to-buy homes has never been achieved, how does he intend to pull that off this time? Surely, with 1 million people stuck on social housing waiting lists and a shortage of 1.5 million homes, he is not going to pursue measures that make the situation worse for most families?

Clive Betts Portrait Mr Betts
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There are two important questions here. First, will participation by housing associations be voluntary? They are independent organisations, not part of the public sector. Secondly, replacing one for one, like for like, a family home for a family home, is not just about the Treasury making up the discount. Talk to housing associations: the cost of building a replacement is often greater than the market value of the home sold. There is another gap, which the Government have to fill.

Lisa Nandy Portrait Lisa Nandy
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I think my hon. Friend, the Chair of the Select Committee, is making the Secretary of State’s day. We can add that to the very long list of problems. I think his question was more for the Secretary of State than for me, and I am sure he will ensure that it is addressed in the winding-up speeches, but I add my voice to his in saying that one of the reasons we were very concerned about the scheme is that it reaches only a very small number at a very high price.

We have a housing crisis in Britain and, as the Secretary of State knows, it manifests in a multitude of ways—in people who have been mis-sold leasehold properties, people who face soaring rents and are crippled by housing costs and the cost of living, and people in totally unsuitable exempt accommodation. Those loopholes have still not been closed while people continue to milk the system and claim housing benefit while allowing communities to fall into rack and ruin.

As the Secretary of State acknowledged, five full years after the Grenfell tragedy thousands of people remain stranded in homes covered in similar cladding, facing ruinous costs because of a scandal that was not of their making. The right hon. Gentleman is right that developers, not leaseholders, should pay. He has pushed that further than any of his predecessors and he has my full support in doing so. As long as he continues down that road, we will support him in the fight. However, I understand that so far 45 homebuilders have paid £2 billion to fix fire-related safety defects, which is roughly half of what he told the House would be needed. Where will the other £2 billion come from? What assurances and guarantees does he have that the developers who have agreed to pay cannot backtrack on any of the agreements?

The Government’s plans are missing several elements that need to be addressed and added to existing measures in the Building Safety Act 2022. The Secretary of State will be aware of those. There is still far too little support for the significant number of leaseholders who face huge bills to fix non-cladding defects.

Hilary Benn Portrait Hilary Benn
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My hon. Friend is making a powerful speech. On the point she just addressed, there are leaseholders living in buildings who have looked to what the Secretary of State says about wanting to make those responsible pay but who still do not know who was involved. Often there is a network of companies; some may have disappeared or taken new names but still have the same directors and so on. Would it not be helpful if the Government were to write to the leaseholders in all those buildings setting out what information they currently have about the willingness of those involved in the construction of the building to cough up for the unsafe flats they constructed?

Lisa Nandy Portrait Lisa Nandy
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My right hon. Friend makes an extremely good suggestion, which I hope the Government will take up. It is not just the huge costs that are causing such damage to people; it is the uncertainty and anxiety that they have to live with every single day. Anything the Government can do to alleviate that anxiety—to send a signal to the leaseholders who are now trapped in their homes that they are not on their own—would be extremely welcome.

Will the Secretary of State look specifically at those who are seeking to sell or remortgage their properties? For such people, this wait is agonising and unbearable; their lives are on hold and they simply cannot move on. I have to say to him that it is quite wrong of the Government to rule out retrospective help for those who have already paid. Many people felt pressured or bullied into paying these enormous bills, yet no help is coming for them. That is not justice. Nor is there help for the countless leaseholders who are mired in mortgage chaos. Government funding so far is available for buildings over 11 metres, but shorter buildings may contain more vulnerable residents, be coated in more cladding and have more serious fire safety issues. What more does the Secretary of State plan to do to ensure that priority funding is allocated according to risk?

At the current pace, it will take until 2026 to remove cladding on all social housing blocks, and until 2024 for private blocks. When does the Secretary of State expect remediation of all dangerous buildings to have been completed? Can he give us some reassurance on that?

It would be wrong of me to stand here and say that the problems facing leaseholders began and end with Grenfell. A group of local residents who have been caught up in this scandal came to see me and told me a familiar story. They have been hit with huge charges, but when they challenged the charges with their management company, they did not even get a response. They have written again and again and have been completely and utterly ignored. It is totally unacceptable, and it is not new.

The hon. Member for Worthing West (Sir Peter Bottomley) is not in his place right now, but he has fought this battle for years, as I well remember. Many years ago, in 2001, I worked for the then Member of Parliament for Walthamstow as the Commonhold and Leasehold Reform Bill—later the 2002 Act—was going through this place. These debates were happening here in this place at that time, a full decade before I was elected to Parliament. They were happening when I was working for Centrepoint, the fantastic organisation to which Members have paid tribute today. Parliament was debating how too many people were being ignored and overlooked, and these arcane and archaic, feudal models of tenure were still being defended by some, even though they had clearly and completely outlived their usefulness.

Almost every country in the world apart from Britain has either reformed or abolished this archaic, feudal model. I believe there is now cross-party consensus on the need to do something about it. I was pleased to hear the Secretary of State acknowledge that we are right to say that we must have legislation to deal with this, but I say gently to him: where is it? He says legislation will be forthcoming in this parliamentary Session, but it was not in the Queen’s Speech. There are five Bills from the Department for Levelling Up, Housing and Communities in the Queen’s Speech; surely time can be found to ensure that we deal with this problem once and for all.

We need new legislation to end the sale of new private leasehold houses, effective immediately after Royal Assent is given; new legislation to replace private leasehold flats with commonhold; and new powers for residents over the management of their own homes, with rights for flat owners to form residents’ associations and simplification of the right to manage. Why do the Government not hand leaseholders the right to extend the lease to 990 years with zero ground rent at any time or to cap ground rents when extending a lease to 0.1% of the freehold value up to a maximum of £250 a year? The Levelling Up, Housing and Communities Committee, which my hon. Friend the Member for Sheffield South East (Mr Betts) chairs, has done incredible work on that. The proposals are there and ready to go.

Where are the Law Commission’s proposals to reform the process of enfranchisement valuation for leaseholders, including on marriage value and prescribing rates for the calculations of the premium? Surely, in the midst of a cost of living crisis, it is a no-brainer to crack down on unfair fees and contract terms by publishing a reference list of reasonable charges, by requiring transparency on service charges, and by giving leaseholders the right to challenge rip-off fees and conditions or poor performance from service companies.

I started by saying that a group of people were rendered invisible to decision makers only a few miles away, which is completely unacceptable in modern Britain. How can we accept that these rip-off companies, on behalf of owners who we often do not know and do not have the right to find out about, are allowed to tell people whether they can change the doorbell on their own home or make minor changes that would make a big difference to their lives? How on earth is it right that we are siding with those rip-off management companies and opaque owners over people who live in their own homes, have a stake in this country and their communities, and deserve the right to something better?

If the Secretary of State can secure time for the second part of the leasehold reform Bill that was promised, we could end these arcane rules and give power and a voice back to people in their own homes and communities. Was levelling up not intended to answer that clamour for more control and agency, and give people who have a stake in the outcome a greater ability to make decisions about their own lives? That is the legacy that we should seek to build in honour of those who lost their lives in Grenfell: everybody everywhere in the UK, regardless of the type of tenure that they happen to end up with, has the right to a decent, secure, safe home—full stop. We will make sure that that is delivered.

The Grenfell community has steadfastly campaigned not just for justice but for change, and it is humbling to welcome some of the relatives to the Gallery. I share the Secretary of State’s view that that has come too slowly and that their long fight for justice has for too long been paved with broken promises. Those lives mattered, and if we believe and mean what we say when we honour them, we must build a better system in the wake of that appalling tragedy. His Department has five Bills in the Queen’s Speech, which is five chances for us to get it right. We will move heaven and earth to help him do that, but let us not waste them.

--- Later in debate ---
Eddie Hughes Portrait Eddie Hughes
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The Government have committed to £62 million of funding for the installation of fire alarms with regard to waking watch. I think it would be best if we exchange correspondence; would my hon. Friend be good enough to write to me? I fully accept that it is not the Government’s job to intervene, but it is certainly our job to consider and assist.

I can also reassure hon. Members and ministerial colleagues that we have not shied away from calling in developers, alongside local authorities, to discuss individual cases and ensure that remediation works begin without delay.

I just wanted to consider some of the points that have been raised today. The hon. member for Wigan (Lisa Nandy) suggested that the voices of tenants had not been heard. This is one of the things that emerged most starkly out of the Grenfell inquiry for me—that a number of problems were raised time and again and yet seemed to be ignored. We have heard contributions from Members across the Chamber who have reflected similar circumstances. The expression I have been using is that we are turning up the volume on the tenants’ voice. We are making sure that they will be heard in a number of ways.

I fully appreciate the comments that have been made with regard to our putting our resident panel on a statutory footing. We can talk about that and see ways collectively, across the House, to improve the Government’s legislation in the future, but we have advertised that panel and over 1,000 people have applied. We are currently assessing them to make sure that the 250 people we identify give a broad demographic and geographical representation to make sure that they have a direct line to speak to Ministers. We have a commitment to reduce the number of non-decent properties by 50% by 2030, and we are working on that commitment across both the social and private rented sectors. Our private rented sector Bill will address that.

I am delighted that the hon. Member for Wigan welcomes the powers we are giving to the regulator to make sure it has the teeth to act. I commend the work of the housing ombudsman, whose paper on damp and mould is so important in ensuring that social housing providers do not start from the premise that problems with damp are caused by how the property is occupied. That is a dreadful position to take, and providers should consider each case on its merits.

Lisa Nandy Portrait Lisa Nandy
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May I press the Minister on the point raised by my hon. Friend the Member for Greenwich and Woolwich (Matthew Pennycook) about the regulator potentially keeping the proceeds of any fines so that it can continue funding the work and to ensure that the service is not too limited for the scale of the need?

Eddie Hughes Portrait Eddie Hughes
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The best commitment I can make is that the regulator will be properly funded to discharge its duties. We can discuss what mechanism will be used to arrive at that position, but we are determined to make sure it has the staff and resources to deal with the problems it faces.

There has been considerable discussion of the voluntary right to buy. I insert the word “voluntary” because I understand that is how it would have to operate given that the Government do not own or control the housing associations. I fully appreciate some of the points that have been raised, but the pilot was in the west midlands and I have spoken to a number of my constituents who took the opportunity to buy their property. Home ownership is a significant aspiration for people across the country, and we should not shy away from the idea of considering any and all mechanisms to make it work.

Levelling-up and Regeneration Bill

Lisa Nandy Excerpts
Lisa Nandy Portrait Lisa Nandy (Wigan) (Lab)
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The Secretary of State is a born performer and he was clearly having fun today. I was glad for him that he could not see the faces behind him when we reached the planning section. I suspect he may need to reach over to this side of the House a little more in the coming weeks and months than he has just done in that performance today.

Even the Secretary of State cannot perform his way out of this one. The Bill has been brought to the House on the day when the reality of the Government’s record on levelling up has been laid bare. New figures published today by the Office for National Statistics show that London alone of the regions of the UK has had a post-pandemic recovery that has far outstripped the rest of us. Our industrial heartlands, once the engine room of Britain, including the west midlands, are performing at 10% below pre-covid levels. That is the brutal reality of a decade of underinvestment, money stripped out of communities and money taken out of people’s pockets. This is what it has done to our communities in every part of this country.

So how is it that the Secretary of State has come to the House with lots of jokes, smart phrases and slogans but nothing in the Bill that will turn that around? The only mention of levelling up in this hefty great tome, apart from in the title, is in the 12 missions that will be written into law. But this is a law not worth the paper it is written on because tucked away in clause 5 is the sleight of hand that has become so characteristic of this Government. The cat is out of the bag. Not only will they not back the country, but they will not even back themselves. In clause 5 is a measure that allows the Government to tear up those missions on a whim—their entire levelling up agenda, the promise made to the people of Britain and on which they won the last general election—presumably when they fail to deliver every single one.

The country simply cannot go on like this.

Lisa Nandy Portrait Lisa Nandy
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I will give way in a moment.

In 19 of the last 20 years, only two regions of our country have been given the backing they needed from their Government to succeed. They cannot try to fire the economy on one cylinder and expect it to work. If the right hon. Gentleman would like to tell me how he thinks that can work, believe me, I am all ears.

Robert Halfon Portrait Robert Halfon
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The hon. Lady said that, under the Conservative Government, there has been a lack of investment in the regions. Harlow, as she knows, has a fair bit of deprivation, but under this Government it has been levelling up for the past 10 years: an advanced manufacturing centre, millions of pounds; an enterprise zone, millions of pounds; a new hospital coming, hundreds of millions of pounds; a new road junction on the M11 just about to open up, many millions of pounds; infra- structure improvements; a technical school opened up; and a £23 million town fund. That has not been happening just over the past year; it has been happening over the past 10 years. This Government have been levelling up Harlow for 10 years.

Lisa Nandy Portrait Lisa Nandy
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That was a superb audition for the forthcoming reshuffle and I am sure we will hear many more of them. I hope that that gave the right hon. Gentleman a better press release for his local paper than the failure to back the hospital that was promised. Let me tell him the reality of what levelling up has done in Essex: £292.5 million taken by his Government from the people of Essex, even when levelling-up funds are taken into account. That is the reality of levelling up for the people he represents. No wonder he sits there with such a glum face, listening to that record.

Our core cities are still far outpaced by London. We are an outlier across major economies. The inequalities between regions are outstripped by the inequalities within them. And even the winners in this system are losing. London is the region with the highest disposable income in the country, but I do not need to tell any of my London colleagues the reality of overheating some parts of our economy and underinvesting in others. Once we take the crippling housing costs that are holding back a generation into account, disposable income in London falls way down the ranking and people are worse off.

The Secretary of State has presented a Bill today that contains more aimed at dealing with housing and planning than it does on levelling up, democracy and devolution. Can he not see the problem? We are one of the most geographically unequal countries of any major economy. As someone once said, when levelling up was a thing:

“for too many people in this country, geography turns out to be destiny”.

If this Government continue to write off the opportunities for many parts of the country—to write off the potential and the assets we have, for lack of imagination and investment—they will continue to cram more and more people into small corners of the country, and that in turn will continue to push up housing prices. Surely the Secretary of State can see, even if he cannot admit it today, that one of the chief ways to deal with the over 120 clauses aimed at dealing with pressures on land, planning and development, is to level up the country. The clue is in the title. Why are they not doing it? Any self-respecting Secretary of State would have brought us a plan to get proper resources spent wisely and invested for the long-term recovery of our local economies.

Jonathan Gullis Portrait Jonathan Gullis
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It is this Conservative Government who have invested £56 million in the levelling-up fund, £31.7 million in Bus Back Better, 500 brand new Home Office jobs, and the £17.6 million Kidsgrove town deal that has unlocked the refurbishment of a sports centre that Labour closed in 2017 because it could not be bothered to spend a single pound coin. Labour’s legacy is a PFI hospital with 200 fewer beds than the old one, stealing £20 million a year from the doctors and nurses on the frontline, PFI schools stealing money from teachers in the classroom, and the white elephant council office that wasted £40 million. Why would Labour ever come back in Stoke-on-Trent? I cannot see it.

Lisa Nandy Portrait Lisa Nandy
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That was a fantastic audition for the Secretary of State’s job, but I cannot imagine, based on that performance, that the hon. Gentleman will be around long enough to keep his own. Let me tell him why. I was in Stoke-on-Trent the other day meeting some incredible young people at the YMCA—an amazing organisation. Those young people had a lot to say about the record of this Government, and it sounded very different to his. Let me tell him the reality of what has happened in Stoke-on-Trent. Taking into account every single penny of levelling-up money that has been allocated to Stoke-on-Trent, his constituents are £27.7 million worse off as a consequence of this Government. That is the Tory premium. That is the premium we pay for having a Tory Government. If he had an inch of conscience about the plight of some of the young people I met, he would be standing up and challenging this Government on their record of not delivering for Stoke-on-Trent.

Tory Members do not need to believe me. Why do they not read the Public Accounts Committee report that was published today? It is devastating. It says that billions of pounds have been squandered on ill-thought-out plans, forcing areas to compete over pots of money—small refunds for the money that has been stripped from us over a decade. This is not “The Hunger Games”; this is the future of our country and it is no way to treat the people in it. The Chair of the Select Committee said that this

“Government is just gambling taxpayers’ money on policies and programmes that are little more than a slogan, retrofitting the criteria for success and not even bothering to evaluate if it worked.”

This is our money. In case Tory Members have not noticed, as they sit and joke and laugh, and make wisecracks at other political parties, we have not got money to burn in this country right now, so why are they burning it?

Why has the Secretary of State not come here today with a guarantee that every part of this country has a right to the sort of basic infrastructure that we would expect in any modern economy? Since the Conservatives won the election, they have not just refused to make good on that promise, but backtracked on the promises they have already made. They press-released northern powerhouse rail 60 times over seven years and then casually axed it. The hon. Member for Stoke-on-Trent North (Jonathan Gullis) mentions Bus Back Better. Quietly, under the cover of the pandemic, they halved the funding that was available for bus services. I am starting to wonder what they have against Yorkshire in particular. Let me tell him about our record on buses. Right across this country, we have Labour representatives and metro Mayors who are delivering on that promise, such as Tracy Brabin, my hon. Friend the Member for Barnsley Central (Dan Jarvis), Oli Coppard, Andy Burnham and Steve Rotheram. Those are the people who are delivering the bus services that we need. The hon. Member for Stoke-on-Trent North might want to go and learn a thing or two from them.

I am starting to wonder what the Government have against Yorkshire, in particular. There has not been a penny for bus services in South Yorkshire. They have cancelled the eastern leg of High Speed 2.

Emma Hardy Portrait Emma Hardy (Kingston upon Hull West and Hessle) (Lab)
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My hon. Friend is making an incredibly powerful speech. Does she share my disappointment about the fact that flooding prevention and mitigation measures have not been adequately addressed in the Bill? If we want a strong future for Yorkshire and areas such as Hull, we need to get serious about tackling flood prevention and mitigation. I hope that the Secretary of State will look at that issue again when revisions are made to the Bill.

Lisa Nandy Portrait Lisa Nandy
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My hon. Friend is an outstanding advocate for her community and we on the Front Bench absolutely support her call for proper action to deal with the crisis of flooding around the country. My hon. Friend the Member for York Central (Rachael Maskell) is here; she knows only too well, too the impact that flooding has on communities up and down the country and the shameful way that we have been treated by the Government, with promises of action and measures. As my hon. Friend the Member for Brighton, Pavilion (Caroline Lucas) said during the Secretary of State’s opening remarks, there is not a single mention of net zero in the Bill. What is the commitment, if it is anything at all?

I was starting to wonder what the Government had against Yorkshire, but then I saw yesterday that they had also casually scrapped the Golborne link. That decision appears to have been made in the face of pressure from Tory MPs ahead of a confidence vote in the Prime Minister. It is going to create havoc for people trying to travel by rail across the north-west and it plays into the real problems that we already have with east-west connectivity.

Then I saw that the hon. Member for Isle of Wight (Bob Seely) said that he had voted for the Prime Minister to keep his job after receiving assurances that there would be a funding review for his council. Can I ask the Secretary of State—

Bob Seely Portrait Bob Seely
- Hansard - - - Excerpts

Will the hon. Lady give way?

Lisa Nandy Portrait Lisa Nandy
- Hansard - -

I certainly will, but I ask the Secretary of State: did he have knowledge of this? Did he sign it off? Let me say to him: that sounds awfully like corruption to me.

Bob Seely Portrait Bob Seely
- Hansard - - - Excerpts

The hon. Lady completely misunderstands and she gets it completely wrong. Several years ago, the Prime Minister realised that the Isle of Wight was the only island in the UK that does not have a multiplier. The Isles of Scilly get a multiplier of 1.5 and the Scottish islands get the Scottish islands needs allowance. I said to the Prime Minister, “Will you commit to rectifying this wrong, which is a policy flaw?” He said “Yes,” and I reminded him of that promise beforehand. Did I ask for a bag of cash? No, and it is completely untrue for her to say that, so she can get up now and apologise.

Lisa Nandy Portrait Lisa Nandy
- Hansard - -

Of course I will give the hon. Member the opportunity—[Interruption.]

Eleanor Laing Portrait Madam Deputy Speaker (Dame Eleanor Laing)
- Hansard - - - Excerpts

Order. Order! That means sit down. This is a very sensitive point and I want to hear what the hon. Lady has to say.

Lisa Nandy Portrait Lisa Nandy
- Hansard - -

I of course gave the hon. Member the right of reply, but I am quoting literally and directly a quote on his website. If those are not his words and are not correct, I leave it up to hon. Members to judge. I am simply quoting his words to the Secretary of State and asking whether that is correct, because we have had a report today that says, in stark terms, that the Department—

Bob Seely Portrait Bob Seely
- Hansard - - - Excerpts

On a point of order, Madam Deputy Speaker. This is a very serious allegation. Corruption has been alleged, but there is no basis for it and it should be withdrawn.

Eleanor Laing Portrait Madam Deputy Speaker
- Hansard - - - Excerpts

This is a serious allegation. I am not in a position right now to weigh up one side of the argument against the other, because I do not have the evidence before me of whatever words were published and whatever words have been said. I ask the hon. Lady —[Interruption.] She cannot possibly be looking at her phone while I am speaking to her. No, no, she cannot possibly be looking at her phone while I am speaking to her! I ask her to get us over this part of the debate, and we can come back to this matter at another time. Will she please withdraw the—[Hon. Members: “ No!”] Do not shout at me when I am speaking from the Chair! Will the hon. Lady please withdraw the allegation of corruption, which is a very serious one, and perhaps find some other words to show that she disagrees with what the hon. Member for Isle of Wight (Bob Seely) said. We can then proceed with the debate and, if necessary, come back to this point at another time.

Lisa Nandy Portrait Lisa Nandy
- Hansard - -

Out of deference to you, Madam Deputy Speaker, of course I will rephrase my words in a manner that is far more acceptable to you: this looks awfully dodgy to me, Secretary of State. Was this signed off by him or his Department? I would certainly never disrespect the Chair by reading from my phone, so I will not do it now, but the words are there on the website of the hon. Member for Isle of Wight, and if anybody cares to look at them, they can draw their own conclusions.

I say to the Secretary of State that this matters at a time when councils and our communities around the country have had £15 billion stripped out of them by the Government. That is not what respect looks like. [Interruption.] Written into every part of the Bill is a lack of respect, and every single hon. Member who sits there chuntering and heckling, rather than standing up for their own communities, needs to look in the mirror and ask themselves whether they are doing a good job for their communities.

Kelly Tolhurst Portrait Kelly Tolhurst
- Hansard - - - Excerpts

I take exception to what the hon. Lady said. How dare she suggest that Government Members are not standing up for their communities when we are quite obviously aggrieved with the allegation that she has just made against a fellow colleague? So yes, we do have a right to chunter at her comments.

Lisa Nandy Portrait Lisa Nandy
- Hansard - -

The hon. Member absolutely has a right to challenge me on my comments, and so have her constituents. They might want to know why Kent has had £276.8 million taken from its budget by the Government over the past decade.

Kelly Tolhurst Portrait Kelly Tolhurst
- Hansard - - - Excerpts

Will the hon. Lady give way?

Lisa Nandy Portrait Lisa Nandy
- Hansard - -

No, I will not give way—[Interruption.]

Eleanor Laing Portrait Madam Deputy Speaker
- Hansard - - - Excerpts

Order. Mr Gullis, stop it!

Lisa Nandy Portrait Lisa Nandy
- Hansard - -

I do not need to dwell on the point about a lack of respect; we have just seen the most stunning display of a group of representatives who will open their mouths but cannot open their ears and eyes to the reality of what is happening in their communities.

In the press release that accompanied the Bill—[Interruption.] Perhaps I could directly address the hon. Member for Stoke-on-Trent North, who is chuntering again. If he cared one iota for his constituency, he would not be chuntering at me; he would be asking the Secretary of State where the missing £27 million has gone.

Lisa Nandy Portrait Lisa Nandy
- Hansard - -

No, we have heard plenty from the hon. Member and it is about time that he listened.

We were given a promise of the biggest transfer of powers out of Whitehall, but instead, we have three tiers of powers on offer in the Bill. The upper tier of those powers is still pretty limited. Areas can get priority for new rail partnerships. They can get a consolidation of local transport funding. They can get—[Interruption.]

Emma Hardy Portrait Emma Hardy
- Hansard - - - Excerpts

On a point of order, Madam Deputy Speaker. May I seek your advice on how we can continue to have this debate in a respectful manner and stop the incessant chuntering and rudeness coming from Government Members?

--- Later in debate ---
Lisa Nandy Portrait Lisa Nandy
- Hansard - -

Areas can get consolidation of local transport funding. They can get a role in designing and delivering future employment programmes and access to something called a long-term investment fund, but only if they can clear the bar of the upper tier and only if they accept a governance arrangement that is imposed from Whitehall.

I went back to look at what the Prime Minister promised when he made his levelling-up speech last year:

“Come to us with a plan for strong accountable leadership and we will give you the tools to change your area for the better”.

Will the Secretary of State tell me why a kid in Barnsley should have to turn down an apprenticeship because of the lack of a functioning bus service while a kid in Bolton can take one up just because somebody hundreds of miles away in Whitehall, who has never set foot in either of those communities, decided that they liked the look of the local leaders—the local leaders we chose—in one area more than another? Why is there not a right in the Bill for every area to have democratic control over their bus services, if that is what they choose?

The Secretary of State said that the last Labour Government did not devolve power in England, but let me remind him of what can be done, and what was done, with the right level of commitment and imagination. It was the last Labour Government who set up the regional development agencies. In the north-west of England, which I call home, we had the foresight to bring Media City to Salford. That was not just about the economic regeneration of one of the most disadvantaged areas of the country; it was also a key measure that started to rebalance the national debate that determined who had a voice and who got a place and was reflected in our national story.

Under the last Labour Government, the regional development agency in Yorkshire was among the first to see the potential of wind in Grimsby—the Grimsby docks are the windiest place in Europe—and I have met those young people who, a generation later, are powering the world from the Grimsby docks through clean energy and life-changing apprenticeships. It is not just in Grimsby that the Yorkshire regional development agency saw potential; it looked for potential everywhere. It understood the legacy of skills, because of steel cutting from the steel industry, that made Rotherham an ideal location for one of the most incredible advanced manufacturing centres in the world. That is what real power and devolution looks like.

All that potential in our communities, realised by the last Labour Government, has now been collapsed into the spectacle of two proud cities that were at the forefront of the industrial revolution—Birmingham and Manchester —begging for the right to introduce a tourist levy on hotel bedrooms. When they have come to Whitehall, it is not just Ministers’ doors that have been repeatedly closed to them, but their minds as well.

Chris Grayling Portrait Chris Grayling (Epsom and Ewell) (Con)
- Hansard - - - Excerpts

I am listening very carefully to the hon. Lady, who, to be frank, is painting a picture of doom and gloom in the northern part of the country over the past 10 years. Could she explain, then, why unemployment in her constituency is 30% lower than it was when we took office in 2010? Does she not think that that is a good thing?

--- Later in debate ---
Lisa Nandy Portrait Lisa Nandy
- Hansard - -

The right hon. Gentleman talks about doom gloom around the north of England, but I have just told him about the life-changing jobs that were brought to those communities by action taken under the last Labour Government. I have just told him what ambition looks like, and what levelling up looks like in action. If he thinks that that is doom and gloom, I dread to think what he thinks about the legacy of his Government.

In fairness to the Secretary of State—I feel I ought to say something nice to him; if he could see the faces behind him, he would not feel very cheerful—it is not his door and mind that have been completely closed, but the Treasury’s, and it is the Treasury that calls the shots. In fairness to him, he inherited a complete mess in relation to planning, and it falls to him to try to sort it out.

John Redwood Portrait John Redwood
- View Speech - Hansard - - - Excerpts

Why did the people of the north-east turn down Labour’s policy of elected regional government, and why did Labour not try it anywhere else?

Lisa Nandy Portrait Lisa Nandy
- Hansard - -

Perhaps the right hon. Gentleman could ask the Secretary of State that question, because it was his then policy adviser who led the campaign against it.

In all fairness to the Secretary of State, we were relieved to see the back of a planning framework that seemed to be based on a traffic light system. Our communities deserved far better than that. However, this Bill, as he has heard from colleagues on both sides of the House, allows neighbourhood plans to be overridden when they conflict with a national development management plan. The Secretary of State can make one of those plans at any time—without consultation if he chooses, and without any approval from a single Member of this House—and he can override people in any one of our communities if their plan conflicts with his to any extent. That is not being serious about handing power to local communities, is it?

The press release that accompanied the Bill said that the big idea behind handing power to local communities—notwithstanding that the Bill includes measures that allow Whitehall to override them—is something that the Secretary of State calls “street votes”. Will he explain exactly what those street votes will do to put power in people’s hands and put them in the driving seat of their own communities? The reason I ask is that, if he has a plan, it is not, unfortunately, in the Bill. How is it possible that that flagship idea, which headlined the press release, has not yet been written? Does he not accept that we are entitled to better than plans drawn up on the back of an envelope after horse-trading has taken place, usually to his detriment, behind closed doors in Whitehall?

The Secretary of State says that he wants beautiful communities that work for people, and I agree with him, but that means that we have to put power back into people’s hands, because people who have a stake in their own communities and who have skin in the game will do more, try harder, work for longer and be more creative in order to build thriving communities. It also means that we have to end the system where people can come to our communities and extract from them, taking our wealth, running down our housing and sitting on our land.

Surely the most basic plank of all this is that people have the right to know who owns their town, village or city. However, the measures in the Bill that try to ensure that more information is collected about land ownership also allow the Secretary of State to withhold that information from communities. Why on earth would a Secretary of State want to deny people in our villages, towns and cities the right to know who owns the housing, land, shopping centres and town centres that make up those beautiful places that we call home? I remind him that it was that great Conservative—also a great radical—John Ruskin who said:

“Nothing can be beautiful which is not true.”

The commitment to beauty in this Bill is not true.

We need a serious plan to tilt the balance of power back in favour of the people who built this country and will do so again, who have stake in the outcome and skin in the game. We have debated the problems they face many times in this Chamber—

Lisa Nandy Portrait Lisa Nandy
- Hansard - -

If I am not mistaken, my hon. Friend is about to raise one of them, so I give way to him.

Matt Rodda Portrait Matt Rodda
- Hansard - - - Excerpts

I am grateful to my hon. Friend for giving way. She is absolutely right to highlight the very poorly designed planning system and the failure of the current proposals to change anything. In my area, there are enormous pressures on land and terrible pressures on green spaces, yet brownfield land in the south of England is not being redeveloped as it should be. When it is redeveloped, it is not done appropriately, and local needs and local authorities are not listened to as much as they should be. Does she agree that there needs to be a complete rethink of that imbalance?

Lisa Nandy Portrait Lisa Nandy
- Hansard - -

I agree with my hon. Friend, who reminds us that we have had 12 long years without real action to put power back in people’s hands. He raises a really important point—I think all Members have raised it: that, as long as there are centralising tendencies in Government, and as long as they find their way into Bills such as this, we will continue to undermine the situation. If the Secretary of State does not want to listen to Opposition Members, I urge him to listen to Members on his own side; looking at their faces, I do not believe they will allow this to drop.

We have debated the problems that people face in this House many times. There are simple changes that the Secretary of State could make in order to stop people coming into our communities and extracting from them.

Richard Graham Portrait Richard Graham
- View Speech - Hansard - - - Excerpts

I want to make a couple of very simple points. First, the constituents of the hon. Member for Reading East (Matt Rodda) could have applied to a very good recent fund for brownfield sites; Gloucester was successful in its application.

Secondly, I find it curious that the hon. Lady keeps referring to the regional development agency, which was one of the most disastrous organisations ever created. It did nothing but harm in my city of Gloucester, and all the bad things that it did are gradually being sorted out by this progressive Conservative Government. Could she talk about the Bill rather than Labour’s failures of the past?

None Portrait Hon. Members
- Hansard -

Hear, hear!

Lisa Nandy Portrait Lisa Nandy
- Hansard - -

Given all the chuntering and chuckling among the hon. Gentleman’s colleagues, I did not catch the end of his intervention, but I can tell him that we have been calling for a long time for measures to make funds available to bring brownfield sites into use. I know that very well myself, as I represent a former mining community—[Interruption.] If he would just listen for a moment, he would hear that I am about to agree with him.

Representing a former mining community, I know how painful it is for people to see green spaces built on when brownfield sites cannot be used for lack of a small amount of investment to deal with contaminated land and other issues. I have no quibble with the hon. Gentleman about that, because those measures are welcome and important. But if he wants to challenge the last Labour Government about Gloucestershire, may I remind him that it has had £91.2 million taken out of its pocket by this Government? Perhaps he might have something to say to the Secretary of State about that.

We have debated the problems many times in this Chamber. The Secretary of State referred to the five Bills in the Queen’s Speech for which his Department is responsible. Luckily for him, he will be seeing a lot of me and my colleagues over the next few months. We will remind him that there are simple changes that he could make, such as stopping sharks from coming into our communities and milking the housing benefit system; housing people in supported exempt accommodation; or allowing communities to go to rack and ruin. He knows that, because we have debated the issue many, many times and he has heard about it from colleagues on both sides of the House. Can he explain why, with five Bills in the Queen’s Speech, the simple measure needed to tackle the problem has not found its way into a single one?

The Secretary of State proposes an infrastructure levy to replace section 106. I apologise if I have missed it, but there is no clarity in the Bill about whether that will raise more or less money than the current system. There is no clarity about whether it will boost affordable housing or whether affordable housing will continue to drop off a cliff. I will tell him why that matters: it potentially makes the difference to whether our kids can stay and raise families in the communities they were born into. We are entitled to know the answer, not after some horse-trading behind closed doors or on the back of an envelope once he has asked for our votes, but now, as we scrutinise the Bill.

Can the Secretary of State tell us what is in the Bill to stop his new system from allowing developers to create ghettos of poorer housing reserved for poorer people, while earmarking prime sites exclusively for wealthy buyers? What measures will he put in the Bill to prevent the new infrastructure levy from being used in that way? I can tell him that if he will not introduce those measures, we will.

Where are the Bill’s impact assessments? Where is the regional impact assessment? Where is the local impact assessment? The Secretary of State knows how important it is to close the gaps between and within regions: it is so important to him that he proposes to write such objectives into law, with some caveats. The clue is in the name: it is the Department for Levelling Up, but it has not even bothered to assess the impact of its own legislation on regions of this country beyond London and the south-east. I would be pretty ashamed of that.

What I would be most ashamed of, however—bar none—is a measure that has been tucked away at the end of the Bill and that reverses the commitment made by the Government and this House to junk a Victorian piece of legislation that has no place in modern Britain. It is simply unacceptable to seek to criminalise people who find themselves homeless. This Government have presided over soaring numbers of people in temporary accommodation and B&Bs. Those numbers are up 37% on the past year, and even now the Local Government Association is concerned that there are Ukrainian refugees sleeping on the streets because the Homes for Ukraine scheme has broken down. They deserve help, not antiquated measures, a lack of thought or imagination, and harshly punitive principles tucked away at the end of this Bill. It cannot be right that we are saddled with a Government who are reaching back for inspiration not only from the 1980s, but now from the 1880s as well.

The Secretary of State will face problems with the Bill as it goes through the House; he knows as well as anyone that he is in for a bumpy ride ahead. I welcome what he said when he was challenged by the right hon. Member for Chipping Barnet (Theresa Villiers) at the end of his speech, so I ask him to work with us to turn things around over the coming weeks and months. In every part of Britain, people are ambitious for themselves, their family, their communities and their country. They need a Government who match that ambition, so let us turn this Bill into a vehicle to match it.

We will fight tooth and nail for our communities at every stage of the Bill, to make good not just on the promises of the Secretary of State, but on the promise that they have and the promise of Britain. Our message to the Secretary of State is “You have acknowledged today that this is not good enough and that there is work to do, so join us and fight for our communities to make good on that promise.”

None Portrait Several hon. Members rose—
- Hansard -

Oral Answers to Questions

Lisa Nandy Excerpts
Monday 16th May 2022

(1 year, 12 months ago)

Commons Chamber
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Lindsay Hoyle Portrait Mr Speaker
- Hansard - - - Excerpts

We come to the shadow Secretary of State, Lisa Nandy.

Lisa Nandy Portrait Lisa Nandy (Wigan) (Lab)
- Hansard - -

Look, can the Minister not see the crisis unfolding across the country? There has been the biggest fall in living standards since the 1950s. Pensioners are boarding buses just to keep warm. On every measure, the gap is widening; there is less for the regions, in terms of public spending; salaries are falling; homes are less affordable; and local economies are on the verge of collapse. Surely he recognises how absurd it is that all we have had from the Secretary of State in the past week is the promise of an al fresco dining revolution, and three full pages of legislation giving us the power to rename our Mayors. What exactly is stopping the Government scrapping business rates, bringing in a windfall tax to cut money off energy bills, uprating benefits now, rather than waiting till later, or doing any of the things that will get money back into people’s pockets and get our economy growing?

Neil O'Brien Portrait Neil O’Brien
- Hansard - - - Excerpts

The hon. Lady could also have mentioned the fact that our national living wage, which this Government introduced, is putting £1,000 extra in the pockets of working people. She could have mentioned the changes to universal credit, which will make full-time workers £1,000 better off. She could have mentioned the record increase in the national insurance threshold, which will make nearly 30 million households better off, or any of the other measures that we are taking through the levelling-up agenda: the £4.8 billion being spent through the levelling-up fund; the £3.6 billion being spent through the towns fund; and the £2.6 billion that is helping to transform town centres across the country. I notice none of those things got a mention in her question.

Lisa Nandy Portrait Lisa Nandy
- Hansard - -

It is increasingly as though the Government are living on a completely different planet. The other day, the Secretary of State was in Stoke, which has had £35 million taken off it by him—that money used to flow freely back to us via Brussels—and £20 million stripped out of the local economy because the Government scrapped the £20 million universal credit uplift.

The bigger problem is that a pattern is emerging. The Secretary of State could not get money from the Chancellor. He could not get visas from the Home Secretary. He could not convince his former junior Ministers to stop closures of Department for Work and Pensions offices in the north. He could not even persuade his civil servants working on levelling up to move out of London. For all the nonsense that there has been, two thirds of his civil servants working on levelling up are trying to level us up from the capital. At least now he knows what it is like for the rest of us—in the north, Scotland, the midlands, Wales and the south-west—to be treated with total contempt by a bunch of Ministers in Whitehall. Seriously, what hope has he got of convincing us in this country that he can level us up when he cannot even convince a single one of his colleagues around the Cabinet table?

Neil O'Brien Portrait Neil O’Brien
- Hansard - - - Excerpts

I thank the hon. Lady for drawing attention to the Cabinet’s visit to Stoke the other day; if she had been a Government Back Bencher, people would accuse her of toadying for teeing up this answer so brilliantly. She mentioned several things that allow me to mention the three successful levelling-up bids that we have had in Stoke, and she mentioned the shared prosperity fund, about which I will make a point. Under the last Labour Government, money was decided on in Brussels and then given to remote regional development agencies. That money is now going directly, with no strings attached, to the fantastic Conservative-run council in Stoke, which is transforming the fortunes of that city after years of Labour neglect.

Ukraine Sponsorship Scheme

Lisa Nandy Excerpts
Monday 14th March 2022

(2 years, 1 month ago)

Commons Chamber
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Lisa Nandy Portrait Lisa Nandy (Wigan) (Lab)
- Hansard - -

We were so relieved to hear that the Secretary of State was going to announce a scheme to allow Ukrainian refugees a route to safety after weeks of delay, but a press release is not a plan, and we are really deeply concerned about the lack of urgency. Yesterday, he went on TV to claim that Ukrainians could be here by Sunday, but he has just told us that they will still need a visa under the current application process. These are 50-page forms that have to be completed online, asking people who have fled with nothing to find an internet café to upload documents they do not have—water bills and mortgage documents—to prove who they are. The Home Office has been incredibly slow in issuing these visas. As of this morning, only 4,000 have been issued. We are lagging way behind the generosity of other countries. We could simplify this process today. We could keep essential checks but drop the excessive bureaucracy. He knows it; why has it not been done?

For weeks the British people have been coming forward in large numbers to offer help. It has been moving and heartwarming to see the decency and spirit on display in every corner of this country. But what exactly will the Government be doing, especially in relation to matching families to sponsors? On the Secretary of State’s tour of the TV studios, he suggested several times that people who are willing to sponsor a Ukrainian family need to come to the Government with the name of that family, and they will then rubber-stamp it. He cannot seriously be asking Ukrainian families who are fleeing Vladimir Putin, and who have left their homes with nothing, to get on to Instagram and advertise themselves in the hope that a British family might notice them. Is that genuinely the extent of this scheme? Surely there is a role for the Secretary of State in matching Ukrainian families to their sponsors, not just a DIY asylum scheme where all he does is take the credit. Will he please clarify what the Government’s role is going to be?

There has been a lack of urgency in getting people here and there is still a lack of urgency in ensuring that we support them when they do get here. Earlier today, my right hon. Friend the Member for Normanton, Pontefract and Castleford (Yvette Cooper) and I spoke to council leaders, who stand ready and willing to help. Why has not anyone from the Secretary of State’s Department picked up the phone to them? Last week, I spoke to charities that he will ask to act as sponsors. They are acutely aware that the people who are coming will be quite unlike previous refugees.

Two million people are on the march—children alone, mums with very young kids and older people. The brutal reality of what is happening in Ukraine is that working-age people have stayed behind to fight. Those leaving will have healthcare needs, and they will need school places, maternity care and social care. One council leader told me today that his city, which traditionally plays a major role in welcoming refugees, has only nine secondary school places available. Has it not occurred to the Secretary of State until this point to pick up the phone to leaders such as the one I spoke to before he went into the TV studios and promised the earth?

These charities and council leaders are the same people who stepped up during covid. They spin gold out of thread every single day, and what is keeping them awake at night right now is how we do right by people and keep them safe. It was only a few months ago that the Home Office placed a child into a hotel in Sheffield that it had been told was unsafe without even bothering to tell the council, and he fell out of a window and died. Will the Secretary of State ensure that every council is contacted by close of play today? Will he work with them to do the vetting checks that are needed? They are experts in safeguarding children. Will he not only trust them, but support them?

Will the Secretary of State put a safety net in place, in case a placement breaks down? His Department confirmed over the weekend that families left homeless in that situation will not be able to claim their housing costs under universal credit. Surely that cannot be true. Surely we are not going to ask people who have fled bombs and bullets to lie homeless on the streets of Britain.

I suspect that the Secretary of State has felt as ashamed as I have to watch how this Government have closed the door to people who need our help. He shakes his head, but people have been turned back at Calais. They have been left freezing by the roadside with their children. We have had planes leaving neighbouring NATO countries packed to the rafters, except those to London, because this Government have turned people away. The British people who have come forward have shown that we are a far better country than our Government, but unless he gets a plan together—a real plan, not just a press release—all he is effectively announcing is plans to fail the people of Ukraine twice over. He said today that they have our total admiration, and they do, but they need more than that; they need our total support.

Michael Gove Portrait Michael Gove
- Hansard - - - Excerpts

I am grateful to the hon. Lady for her questions and what I think was her support for our scheme. She asked about the visa application process and the length and bureaucracy associated with it. As was announced last week in the House of Commons by the Home Secretary, and as I repeat today, Ukrainians who have a valid passport can have their application turned around within 24 hours, but not in the way to which the hon. Lady referred, which was announced last week. It is time that, instead of manufacturing synthetic outrage, she kept up with what the Government and my right hon. Friend the Home Secretary are delivering. [Interruption.] The hon. Lady has already had a go.

The hon. Lady asked about matching families and sponsors. We are moving as quickly as possible to ensure, working with NGOs and local government, that individuals in need can be found the families and sponsors they need in order to get people into this country as quickly as possible. I am grateful to her for speaking to people in local government this morning; we were speaking and I was speaking to people in local government 10 days ago to ensure that this scheme was capable of being delivered.

The hon. Lady asked why we are requiring matching in the way that we are. That is because our scheme has been developed in partnership with non-governmental organisations, which have welcomed our approach. We have been doing the practical work of ensuring that refugee organisations on the ground can help to shape our response in order to help those most in need.

I know that the hon. Lady wants to help. I believe that everyone in this House wants to ensure that this scheme is successful. She makes a number of valid points about the need for school places. That is why additional funding is available to every local authority that will take refugees in order to ensure that school places are provided.

The hon. Lady asked about wraparound care. We are providing additional funding to local government to ensure that the expertise required to provide those who have been traumatised with the support they need will also be there.

The hon. Lady asked not only about the rapidity of vetting checks, but about how the comprehensive nature of those vetting checks can be guaranteed. We have been working with the Home Office to streamline that process so that it is as quick as possible, but also to ensure, as she rightly pointed out, that we do not place vulnerable children in accommodation where they might be at risk.

In all those cases, every single point that the hon. Lady made has been addressed by officials, NGOs and those in local government to ensure that our scheme works. As her questions have been answered, it now falls to her to get behind the scheme and support those open-hearted British people who want to ensure that we can do everything possible to help those in need. It is time to rise above partisan politics and recognise that this is a united effort in which our colleagues in the devolved Administrations and those in NGOs are working with the Government to put humanity first.

Oral Answers to Questions

Lisa Nandy Excerpts
Monday 7th March 2022

(2 years, 2 months ago)

Commons Chamber
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Lindsay Hoyle Portrait Mr Speaker
- Hansard - - - Excerpts

I call the shadow Secretary of State.

Lisa Nandy Portrait Lisa Nandy (Wigan) (Lab)
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It is three months since Russian troops massed at the Ukraine border and not a single detail has been published about the community sponsorship scheme that the Secretary of State is supposedly leading. We stand alone among European countries in insisting on a visa that takes months while desperate people are being turned back at Calais. Nearly 2 million people have fled Ukraine and only 50 visas have been granted. Will he really ask desperate people to wait months for his Department to get its act together or will he pick up the phone to the Home Secretary, cut out the bureaucracy and help people now?

Michael Gove Portrait Michael Gove
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I agree with the hon. Lady that it is vital to provide the fastest and safest route for those fleeing persecution and we are working with our partners on the ground in Poland and elsewhere to do just that. We are processing more than 14,000 applications under the family scheme at the moment. Of course, as my right hon. Friend the Home Secretary outlined last week, that scheme has been significantly expanded. There is an existing community sponsorship scheme and the details are available on gov.uk for those who wish to help through it, but we are expanding it and more details will be announced later today and later this week.

Lisa Nandy Portrait Lisa Nandy
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I point the Secretary of State to last year’s inspectorate report that highlighted that his existing scheme is an absolute shambles. People are being asked to wait months on end to access it and still not a single detail has been published. I cannot bear to listen to that with the scenes that we are seeing unfolding in front of our eyes—it is too slow. While he quarrels with the Home Office, we are turning away refugees and, worse, letting oligarchs off the hook.

Seriously, how can the Housing Secretary sit there without any sense of shame while, just down the road, Russian oligarchs linked to the Kremlin are offloading millions of pounds from the UK property market in a fire sale? That is the dark money that sustains the Putin regime. He could set that right this afternoon through amendments tabled by his Back Benchers and by Labour that would start to put an end to the shameful situation that his party has presided over for too long. Will he back those amendments?

Michael Gove Portrait Michael Gove
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Again, I am grateful to the hon. Lady for raising two important questions. On the need to ensure that we have a rapid expansion of the scheme, we need to use the existing community sponsorship scheme, which has been successful, to—[Interruption.] She has already asked her question, and I can answer. If she wants to try to rewrite her original question, she is welcome to do so. [Interruption.]

Non-commissioned Exempt Accommodation

Lisa Nandy Excerpts
Wednesday 23rd February 2022

(2 years, 2 months ago)

Commons Chamber
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Lisa Nandy Portrait Lisa Nandy (Wigan) (Lab)
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I beg to move,

That this House notes the significant increase in the numbers of people housed in non-commissioned exempt accommodation under successive Conservative Governments; regrets the opportunities that this increase has provided for unscrupulous operators to exploit vulnerable individuals for financial gain at the taxpayers’ expense; recognises that a range of factors have driven the marked growth of this sector including a chronic shortage of genuinely affordable housing, reductions in funding for housing-related support, new barriers to access for single adults requiring social rented housing or mainstream privately rented housing, and a weakening of regulation and oversight; further regrets the detrimental impact that the growth of poor quality non-commissioned exempt accommodation is having on the health and well-being of those vulnerable individuals placed in it and on the public purse; and calls on the Government to introduce a package of emergency measures designed to secure immediate improvements in the quality of non-commissioned exempt accommodation and associated support, to ensure claims for exempt Housing Benefit consistently provide value for money and to drive unscrupulous operators out of the sector.

We move from the global to the very, very local. There is a scandal quietly unfolding in communities across this country, and today we set out our determination that the Government will finally take this seriously and act to put it right. Across Britain, from Blackpool to Birmingham, houses are being bought or rented supposedly to house vulnerable people in accommodation with extra care and help. Instead, these shameless profiteers are leaving vulnerable people languishing in disgusting, unsafe housing, and people who badly need our help are denied it. The taxpayer is paying for all of this and it is blighting entire neighbourhoods.

It was right to ensure that those who genuinely provide or need supported housing could access enhanced housing benefit, because the cost of housing vulnerable people who need care and support is undeniably higher. Before I came to this place, I worked for Centrepoint, whose work with care leavers, and young people with mental health problems and addiction issues is second to none. It takes time, care and commitment to help those young people build the lives they deserve. But it is utterly wrong that we have allowed this system to be abused and used by people who are destroying entire communities.

Very many good organisations do provide proper support through supported exempt accommodation, and they are as appalled as we are at this scandal—it cannot continue. Colleagues on the Opposition Benches have raised this issue time and again with Ministers. How can it possibly be that nearly 18 months after the Government recognised the problem and commissioned pilots to consider how to solve it, this is still going on? Over the past few years, this problem has skyrocketed. More than 150,000 households in this country are living in exempt accommodation—that is a 62% increase in five years. Not all of them are bad placements—some of them are a lifeline—but it is crystal clear that there is an growing scandal of rogue operators, who know how to cheat the system, and are making life a misery for the people they are supposed to care for and the people who live in these proud communities. They deserve so much better and we are determined that they are going to get it.

I would like to thank colleagues from across this House, and particularly Members from Birmingham and Bristol, who have long recognised the growing scandal and campaigned hard to make it right. They are here today and I am sure that they will have plenty to say to the Minister about it. Many of our local councils, too, are doing great work to address the problem head-on. For example, Birmingham City Council has introduced greater scrutiny of new exempt benefit claims and encourages all providers to sign up to a set of quality standards for exempt accommodation. It has joined a partnership of voluntary and statutory agencies to produce a charter of rights for residents of supported exempt accommodation. But such efforts are thwarted by weak laws and a Government that will not grant them the powers to take action.

This Government have not even given us the information that we deserve. It took a Freedom of Information Act request from the charity Crisis to tell us how many tenancies there are—we do not know where they are. There has been no announcement about the pilots for several months. We have not even been told whether they have ended, what they have concluded or the timetable for when action is going to be taken. But we do know this: the law is too weak. It says a provider must deliver care, support and supervision that is, in legal terms, “more than minimal”. But “more than minimal” has no firm definition, test or criteria It could mean having a manager who visits the property once in a blue moon or installing a CCTV system. As my hon. Friend the Member for Birmingham, Yardley (Jess Phillips) told the Minister in a recent Westminster Hall debate, in one shocking incident a key worker visited a property where the tenant had just been murdered, mistook the murderer for the victim and told her mother she was fine—she was dead.

We will hear many terrible stories today from colleagues in this House that show that this “more than minimal” definition is allowing these disgraceful firms and individuals to milk the taxpayer at the expense of some of the most vulnerable people in our country; they are destroying neighbourhoods and we are determined that the stories of those people affected will be heard in the highest levels of Government today.

John Redwood Portrait John Redwood (Wokingham) (Con)
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What do the local authorities or governments say when a specific case is reported of totally unsatisfactory accommodation in the way the hon. Lady alleges?

Lisa Nandy Portrait Lisa Nandy
- Hansard - -

They say, “Give us the powers to act. Give us the powers and the laws that we need and we will take action.” The people who lead authorities throughout the country have skin in the game: they live in these communities. These are not just the people they are elected to represent; they are friends, family and neighbours, as well as constituents. The people who lead authorities care deeply about taking action but simply do not have the power to do so.

Zarah Sultana Portrait Zarah Sultana (Coventry South) (Lab)
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Analysis carried out by the homelessness charity St Mungo’s estimates that between 2009 and 2018 funding for single homeless people fell by a shocking £1 billion—a cut of more than 50%. Does my hon. Friend agree that 10 years of devastating Conservative cuts are the cause of the growth in exempt accommodation and that the Government must now properly fund local authorities so that they can provide the homeless accommodation and build the council homes that we need?

Lisa Nandy Portrait Lisa Nandy
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My hon. Friend is absolutely right, particularly on the latter point about building social housing. She is right, too, to say that it is a symptom of a housing market that is fundamentally broken. The warning light is flashing on the dashboard, but for too long we simply have not recognised it. It was precisely in the city of my hon. Friend, a superb MP for Coventry, that the Prime Minister launched his levelling-up agenda and created the levelling-up Department, promising to wrap his arms around people and communities and to help them to level up. What we are talking about is precisely the opposite.

Khalid Mahmood Portrait Mr Khalid Mahmood (Birmingham, Perry Barr) (Lab)
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The issue raised by the right hon. Member for Wokingham (John Redwood) is not right, because once a person comes to an area and offers themselves as a person in need of services, the council has obligations under legislation to provide services. It is not local authorities but the Government who have not sorted this issue out.

Lisa Nandy Portrait Lisa Nandy
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I thank my hon. Friend for his work to draw attention to this appalling scandal.

As the Minister knows, it is not unusual to find properties in complete disrepair that would not be considered fit for human habitation in any way. It is not unusual for vulnerable women to be housed in properties with dangerous men and for them to be at risk of attack or to have been attacked.

Many years ago, I was prompted to enter elected politics as a councillor in the London Borough of Hammersmith, where I then lived, by the story of a 16-year-old girl in bed and breakfast accommodation at the height of the housing crisis at the time. She told me she had been raped by the owner of the property and nothing had been done—she was still in that accommodation. I went to see Hammersmith Council, which was superb and acted to close the facility down, but it had the powers to do so. I thought we had left those sorts of days behind. When I heard from my hon. Friends the stories about what is happening in their communities and how many times they have raised issues to no avail, I simply could not believe that in 2022 we stand here and allow this to continue.

Kerry McCarthy Portrait Kerry McCarthy (Bristol East) (Lab)
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With one particular problematic property in Bristol, we found we could get only so far with the Charity Commission, because we had questions about the management structure; we could get a little way in trying to enforce planning permission, because too many people were living there; and adjustments kept being made to housing benefit—if we said that they were not offering more than minimal support, they would add a little bit of support. It was so frustrating and we were going round and round the houses. We need a set of regulations that we can go in and enforce straight away.

Lisa Nandy Portrait Lisa Nandy
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I pay tribute to my hon. Friend for her work on this issue. It was clear from the recent Westminster Hall debate led by my hon. Friend the Member for Birmingham, Ladywood (Shabana Mahmood) that there was a particular problem in Birmingham, but my hon. Friend the Member for Bristol East (Kerry McCarthy) did a sterling job in that debate of reminding us that this is a problem not just in Birmingham but in Bristol and right throughout the country. All the Members who contributed to that debate spoke with one voice: we know what the problem is and what needs to be done; all we are lacking is a Government who will get behind what needs to be done and make sure that it happens.

Richard Holden Portrait Mr Richard Holden (North West Durham) (Con)
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The hon. Lady says that she entered local government to deal with this issue. She entered local government in 2006, following a housing crisis after eight years of Labour Government. Does she not agree with me that the real, fundamental issue, under parties of all shades for too many years, is the lack of homes being built? There has been a massive increase in the past few years, but is that not something we need to do more fundamentally for the entire housing sector?

Lisa Nandy Portrait Lisa Nandy
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Let me just say that I really regret this partisan tone. The hon. Gentleman is absolutely right to say that I entered local politics in 2006 having worked not just with children in care and young homeless teenagers at Centrepoint, but with child refugees, campaigning against practices such as those at Yarl’s Wood immigration detention centre that had happened under a Conservative Government but were also happening under a Labour Government. I will fight injustice wherever I find it and whoever is responsible for it, and I will stand up for people who do not have a voice. That is the great gift and privilege of this place. We are handed a megaphone through which we can shout loudly and make things change for some of the most vulnerable people in this country, and that is what we should do. I gently remind him, too, that the record under this Government has been appalling. Social housing builds have fallen off a cliff and housing-related support has been stripped away. Talk to any of the organisations, including Centrepoint, which I was proud to work for, and they will tell you that that situation is causing enormous harm not just to the people affected, but to many of the people who live in those communities, and it has to change.

Karen Buck Portrait Ms Karen Buck (Westminster North) (Lab)
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I do not mind being partisan on this issue. Although the Labour Government, between 1997 and 2010, should have built more social housing, the absolute brutal fact of the matter is that the number of social lettings available for tenants has fallen from just under 400,000 to 300,000 in the past decade, and that is on this Government’s watch and they must take responsibility for it.

Lisa Nandy Portrait Lisa Nandy
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I defer to my hon. Friend on that. She has been a superb champion for housing reform in this country over many, many years, including under the last Labour Government, and particularly in the past decade when we have seen exactly what she describes unfold. She has done more to reform and tighten up the law in this area through the Homes (Fitness for Human Habitation) Act 2018 than the Government have done in the past 12 years, so, absolutely, I defer to her on that.

George Howarth Portrait Sir George Howarth (Knowsley) (Lab)
- Hansard - - - Excerpts

I am grateful to my hon. Friend for giving way. Does she also agree that one problem with the shortage of housing supply is that Government support goes in completely the wrong direction, particularly in terms of buy to let, which I will speak about later if I get called, whereby billions of pounds are going to support private landlords?

Lisa Nandy Portrait Lisa Nandy
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My right hon. Friend is right: it is a waste. It is a waste of human potential, a waste of good, thriving neighbourhoods, and a waste of taxpayers’ money. It is more than that actually. The distortion in the housing market in these communities means that working families are being priced out of good, viable family homes. Other social tenants cannot access them either; when a person cannot get enhanced housing benefits, they are subject to the local housing allowance. The regulation is non-existent. Providers are exempt from planning and licensing laws that enable councils to limit the types and proliferation of houses of multiple occupation. The social housing regulator does not have the powers to deal with rogue operators as they set themselves up as small operators outside the direct oversight of the regulator. The effect of all of that is that whole streets and communities become saturated with family homes that are converted into HMOs, providing exempt accommodation and housing vulnerable tenants who are left without support. That creates problems for the whole community, and it is all happening in plain sight.

What is worse is that the people who are most affected—as I said to the hon. Member for North West Durham (Mr Holden)—are those who cannot do anything about it. Only the Government have the power to make changes for the better, which is why today we are calling for a package of emergency measures to set this situation right.

James Daly Portrait James Daly (Bury North) (Con)
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I am a fellow Greater Manchester MP. We have the “Places for Everyone” scheme that has been submitted to the Government. I am very sympathetic to a lot of what the hon. Lady has been talking about. In Wigan and Bury over many, many years—from the way that the hon. Lady is looking at me, I think she knows the important point that I am making—there has been a dearth of action by Labour-controlled councils to build and to provide affordable social housing. Does she share with me a disappointment that there is no plan within “Places for Everyone” to deliver that?

Lisa Nandy Portrait Lisa Nandy
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The hon. Gentleman should spend some time with my hon. Friend the Member for Westminster North (Ms Buck), because she would set him straight very quickly. I know his community very well—it is where I grew up and went to college, and it is where my mum lives—and he has a superb Labour council that backs its community at every turn and was part of dramatically improving the life chances of young people in its community and supporting the community. When Bury Football Club was collapsing, much to our desperate regret, it was his Labour council who stood by the community, while the Government stood and watched as the club fell apart.

James Daly Portrait James Daly
- Hansard - - - Excerpts

Will the hon. Lady give way?

Lisa Nandy Portrait Lisa Nandy
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I think the hon. Gentleman should listen for once. His Labour council has stood in as a lifeline for people as support was stripped away over 12 years of Tory Government. It is about time that he not only acknowledged that, but got behind his local community and started standing up to this Government.

The regulation is non-existent. This is all happening in plain sight. The regulations must be toughened up. We need a proper test for what counts as care, support or supervision set out in law. It is right of the Minister to say, as I heard him say in the Westminster Hall debate, that that must be done thoughtfully and with care, but that is no excuse for inaction. Surely it is not beyond the collective wit of Government to come up with a scheme that roots out the bad providers and protects the good.

We need a regulator with the full range of powers needed to deal with the problem, with a fit and proper person test that must be passed before any provider can set itself up to care for vulnerable people. Local authorities need the power to reject applications on grounds of saturation or oversupply in a specific area and to insist on community impact assessments that have the power to prevent such over-saturation.

Rachel Hopkins Portrait Rachel Hopkins (Luton South) (Lab)
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I refer to my entry in the Register of Members’ Financial Interests; I am a former local Labour councillor who tried to deal with these issues in our communities. Those powers are there, but does my hon. Friend agree that central Government frustrated local councils from using article 4 directions, for example, to manage that saturation, and that we need to move beyond that?

Lisa Nandy Portrait Lisa Nandy
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My hon. Friend is absolutely right. Local councils cannot do this on their own. That is why we have brought the issue to the House today and why my hon. Friend the Member for Birmingham, Ladywood brought it to Westminster Hall a few weeks ago. It is why we will keep going and keep on until councils have the powers and the support they need to end this scandal for good.

We need an inspections regime to keep providers on their toes and a regulator that has full powers of enforcement, both to clamp down on those who will still try to flout the system, and to destroy the business model of the rogue operators who know that they carry on in plain sight and get away with it. I know the Minister cares about this issue—he spoke very movingly about it in the Westminster Hall debate—but caring is not the same as acting.

These rogue operators have effectively been handed a licence by the Government to exploit people, abuse public money and destroy neighbourhoods. Bobby Kennedy once said that,

“there is another kind of violence, slower but just as deadly, destructive as the shot or the bomb in the night. This is the violence of institutions; indifference and inaction and slow decay.”

We cannot continue to be violently indifferent to what is being inflicted on communities up and down this country.

What is worse about this situation, for me, is that it is overseen by the Government Department that was created to support and rebuild proud neighbourhoods, towns, villages and cities—the places that once powered this country and built our wealth and influence, and could do so again. The Prime Minister stood in Coventry and promised to give us the tools to change our areas for the better. He said that,

“all they need is the right people to believe in them, to lead them and to invest in them and for Government to get behind them, and that is what we are going to do”,

but they have not.

I ask the Minister today to set this right. Can he tell his boss that this is not like the fight he just had and lost with the Treasury? He does not have to beg the Chancellor for funds and permission that are not forthcoming. He simply has to get his own Department in order and deliver. Otherwise, what is the Department for, if it cannot even get behind our communities when the power to do so lies squarely within its remit?

What were once modest, quiet residential streets, home to tight-knit communities, are becoming no-go areas, plagued by rogue operators, some with links to organised crime. People who work hard and try hard are left, for all their efforts, watching their community go to rack and ruin. As my hon. Friend the Member for Birmingham, Ladywood has said many times, people are in utter despair. They are faced with a choice between leaving the places that they have always loved and called home or tolerating what is now an intolerable situation. That is no choice at all. We should not ask them to bear this for a single day longer. I commend this motion to the House.

None Portrait Several hon. Members rose—
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--- Later in debate ---
Eddie Hughes Portrait Eddie Hughes
- Hansard - - - Excerpts

My right hon. Friend makes an interesting point, but we leave those decisions to councils that are commissioning locally. I guess it is up to us to try to ensure appropriate standards against which such accommodation is measured and then to give them the necessary powers to enforce that. Personally, I think that councils already have a considerable number of powers. I am not disagreeing with Opposition Members about what powers are required; I am just saying that I would like to see the existing powers used to the absolute max before we necessarily go reaching for others. If people feel they do not have the necessary powers, I would consider it not inappropriate for the Government to legislate, but we need to consider that carefully.

We are committed to finding the right approach to this issue, and we invested £5 million in a number of pilots in recent months to support the worst-affected areas, including Birmingham, Blackburn with Darwen, Blackpool, Bristol and Hull. Through the injection of those funds, we have been working with local authorities to test approaches to improving the quality of this type of accommodation. We chose these specific areas partly because of the existing commitment to tackle these issues, and I pay tribute to the local authorities, which have worked collegiately and collaboratively with us during the pilots.

To take Bristol as an example, it has been conducting thorough assessments of new schemes and providers for some time. The council was able to use its funding to complete its work in summer last year. Meanwhile, Hull’s supported accommodation review team was implemented in 2019, and the council has already shown a strong commitment to making the changes needed to solve the problems besetting exempt accommodation. Through the pilot, it was able to fund a large part of its programme and to take its approach to that programme one step further. As the House would expect, we know that the need stretches beyond these pilot areas and that local authorities in other parts of the country want to invest in tackling these problems, too.

Lisa Nandy Portrait Lisa Nandy
- Hansard - -

This is a little frustrating, because there is a strong sense that we agree about this, yet it is difficult to work out why nothing yet has been done. The pilots were initiated in October 2020, so why have they not concluded and reported, and why have we not got a timetable by which action will be taken? Perhaps the Minister can give us that today.

Eddie Hughes Portrait Eddie Hughes
- Hansard - - - Excerpts

I have a horrible feeling that I will mention this point now and repeat it subsequently if I am not able to recalibrate in the course of my speech. We have the report from those pilots, and we are working with authorities and officials in my Department to unpick it and to ensure that we completely understand what the information we have gathered is telling us and that any changes we deploy in the future are appropriate. I completely accept and understand the hon. Lady’s frustration. I am keen to see that report published as quickly as possible, and I am sure I will repeat that point later in my speech—my apologies for the duplication.

Some places have taken their inspiration from the work of those pilots and have set up teams bringing together different expertise, including housing benefit and environmental health officers, to focus on emerging issues. We have heard of, and been inspired by, the initiative shown by local authorities such as Nottingham, which have implemented multidisciplinary approaches to supported housing within the council and with key external partners that have a critical role to play in the experience of supported housing tenants. That set-up enables local authorities to keep a constant stream of information going about rogue providers and to conduct consistent and thorough assessments of those organisations and their ability to deliver good support and good outcomes for tenants.

My Department has also been speaking to local authorities in Derby, Cannock Chase and Staffordshire, and to councils across Greater Manchester and Lancashire on those issues. We are engaging with them on how they are progressing. On top of that, I am delighted that work is taking place across boundaries as we are encouraging councils to share good practice so that others can apply it. For example, in Blackburn, housing benefit officers have been working closely with other local authorities in Manchester and Lancashire, discussing and learning from each other’s experience while sharing their knowledge on the common issues that they are encountering locally.

The local pilots have been critical to helping us to understand how the issues are playing out in different places, but we know that they will not solve the issues on their own. At a national level, the Government have continued to act and to raise the bar on the standard of accommodation across the board. In 2020, the Department published the “Supported housing: national statement of expectations”, which was vital in setting out the Government’s vision for better ways of working in supported housing and for introducing much higher minimum standards in accommodation.

The guidance gave providers and councils a clear vision from the Government of exactly what good looks like while highlighting where providers and councils are working in a joined-up fashion to drive up quality. Ministers and officials have also engaged with councils, housing providers, the regulator of social housing and other regulatory bodies to help us to improve our understanding of the issues and to refine our approach.

Although I have not yet received the report, I assure hon. Members that the work of the pilots has already delivered, and is delivering, real results by creating the kind of models for best practice that councils will be able to adopt. In Birmingham, a charter of rights for residents of supported housing has been developed along with a programme of support reviews and scrutiny of housing benefit claims. In Blackpool, the council has carried out a review of the support provided in accommodation for victims of domestic abuse to ensure that it is sufficient and tailored. We have seen great examples in other pilots of local government and the community working together to improve supported exempt accommodation.

Once published and made available to interested parties, the evaluation report will help us to tailor what action is needed and will be taken in future, but this is a complex area. It is important to take the time to consider the next steps carefully to ensure that we get them right. We must be careful to avoid knee-jerk measures that could have unforeseen consequences and only serve to make life harder for residents and the majority of good providers, who we would not wish to see inadvertently pushed out of the vital work that they do in the area.

Local Government Finance (England)

Lisa Nandy Excerpts
Wednesday 9th February 2022

(2 years, 3 months ago)

Commons Chamber
Read Full debate Read Hansard Text Read Debate Ministerial Extracts
Lisa Nandy Portrait Lisa Nandy (Wigan) (Lab)
- Hansard - -

I enjoyed the Secretary of State’s debate with himself on what I was about to say; let me try to enlighten him. I must say, having treated us to a lecture about the causes of the global financial crash and the reasons for the deep and harsh cuts inflicted on our communities in the past 12 years of Conservative Government, he struck a different tone from that struck yesterday with northern leaders at the convention of the north. When he was challenged by the Liverpool Echo about whether the Government accepted that they—and he personally—played a role in the problems that he has been dispatched to solve, he said:

“You can never know with…hindsight whether”

those decisions “were judged just right”. I will leave it to Members to decide whether the Secretary of State is saying one thing to the House and another to the north of England. To misquote Eminem, “Will the real Secretary of State please stand up?”

The trouble is that the core spending power that the Secretary of State has trumpeted in press releases comes from our pockets. Bills have gone up and shopping costs more, so, as he should well know, people across the country are trying to keep their heads above water. Surely he can see the problem with the settlement that he has brought to the House today. For a decade, people have had money stripped out of their places and taken out of their pockets by the Government. The council tax rebate does not compensate us for that; nor does his settlement for councils. He has given us a partial refund on our money and asked us to be grateful.

Unsurprisingly, the Secretary of State was not asking people to be grateful for that last week when he was touring the country trying to sell his White Paper to a sceptical public. He did not say to people in Grimsby, Blackpool and Liverpool that this is the offer on the table from the Government: they can pay more to stand still or pay the same and get less. For all the gloss on this announcement, he is continuing to cut the central fund to councils in real terms, so, if places want to get the spending power that he promised, taxes will have to go up. That is a direct consequence of the decisions made by Ministers and the Tory Government.

Kevan Jones Portrait Mr Kevan Jones
- Hansard - - - Excerpts

Does my hon. Friend agree that it is actually worse than that? For local authority funding, in the last 10 years—we continue to have it today—we have had a movement away from central Government funding and on to local council taxpayers, and areas such as County Durham, where 56% of properties are in band A, are severely limited in their ability to raise that revenue, whereas areas such as Surrey can raise a lot more. The net effect is a movement of resources away from areas such as County Durham to places such as Surrey.

Lisa Nandy Portrait Lisa Nandy
- Hansard - -

My right hon. Friend is exactly right. Worse than that, it is at a time when people can least afford to bear it. Walk into any community in any part of the country and we find people talking about the impact of runaway inflation under the Government and their inability to pay their gas and electricity bills and meet the costs of the weekly shop. How can the Secretary of State look them in the eye and tell them that he is forcing council tax rises on them of 3% in just a few months’ time, and that is on top of the increases in national insurance that his Government are so determined to bring in?

In 2019, the Secretary of State promised that people will keep more of what they earn and more will be invested in public services. That was an election promise, and it turns out that neither of those things is true. In the past seven years, the proportion of funding for local councils from central Government has nearly halved. The Government are doing less, so people are having to do more, and they have made people pay £10 billion more in council tax this decade.

Just yesterday, the Secretary of State was in Liverpool telling our northern leaders that they should

“judge us on our actions in the future.”

How about we judge him on his actions right now? How on earth did he get here—a Conservative politician, who once promised that hard-working people would keep more of what they earn under a Conservative Government, throwing new taxes on struggling families like confetti and treating the British public like a cash machine? This is the consequence of a high-tax, low-growth Government, and in every community people are paying the highest possible price for this Tory Government.

How can the Government have got their priorities so wrong? This week, BP announced £10 billion in profits, but while we said that oil and gas companies should pay more in tax so people could keep more of their own money—remember that phrase?—the Secretary of State backs the oil giants, and all this Government have done is offer families a dodgy loan to ease the pain now and to be paid back later. They have stripped £15 billion from our councils over the last decade, and in the last couple of weeks, with one stroke of a pen, they wrote off £13 billion of our money to fraudsters and dodgy contractors.

Where is the investment we were promised? Even after getting levelling-up funding, in 144 areas, people are £50 million worse off. North-east Lincolnshire, Dudley and Hyndburn have all lost under his deal. Blackpool, which the Secretary of State visited last week—and it is a town, by the way, not a city, if he wants to let the Prime Minister know—is down 1.92% in real-terms in funding to its council. Does he not understand what councils are dealing with? We are still in a pandemic, and these are the people who stepped up to run test and trace services when the Government failed. These are the heroic people—the council workers, the public health workers, the NHS workers—who rolled out the vaccine in record time.

Two days ago, the Government cut the public health grant in real terms, telling councils to pick up the slack. These are the same councils that have a half a billion pound funding shortfall for children with special educational needs. Remember the Sure Starts that the right hon. Gentleman closed—over 1,000 of them across the country—when he was the Education Secretary? Remember the time he lost a High Court battle for slashing funding for nursery children? On his watch, he set in train a process that saw spending on vulnerable children fall by half over this decade.

Actions have consequences. The Secretary of State said yesterday that he understood why we would be cynical about a Government Minister coming and promising us the earth. Well, we are not cynical; we are furious. We are still paying for what he did as Education Secretary, so when he rocks up and tells us that we can have less to do more, and talks about renaissance Florence and the rise and fall of the Roman empire, we have had enough. Our local leaders, meanwhile, are living in the real world—grappling with climate change and rising transport costs—and having to compensate for what the Government have taken from us and our communities, with all the added costs that come from inflation at a 30-year high.

The Secretary of State must know that by far the biggest factor driving up costs is the crippling cost of social care. We have just had an exchange about that in the House, because it affects every single community in this country. However, this is also at the heart of levelling up, because it is our towns that are ageing as good jobs have left and young people have had to get out to get on. These are the places where pressure on social care is most acute, but they are also the places where property prices are lower and the rise in council tax that he is promoting and forcing on people across this country produces the least. When his Department steps down, as it is doing today, these are the places least able to step up.

That is how we get a settlement in which parts of this country have fallen further and further behind while others have pulled further and further ahead. This is what he was tasked with fixing. That is before we even consider that, for six years now, the Government have been wasting our time, announcing and re-announcing intentions to review the system, yet all we have again for the fourth year in a row is a one-year settlement.

“Levelling up requires a focused long-term plan of action”.

Those are not my words, Mr Speaker, but those of the Secretary of State in his White Paper that he published last week.

We are getting sick and tired of the spin and the hype. Levelling up surely has to mean levelling with us and being honest about what this Government are doing. We are getting big promises and nothing to show for it. People are not fools, though; they can see through the shine, through the press releases, and see that life is getting harder and harder under this Conservative Government. Today should have been the day when the Secretary of State set that right, but instead he came with more of the hype, more of the slogans and more of the spin. It will not do.

--- Later in debate ---
Mike Amesbury Portrait Mike Amesbury
- Hansard - - - Excerpts

I must move on—I have acknowledged the hon. Gentleman.

My hon. Friend the Member for Sheffield South East (Mr Betts), who chairs the Select Committee, referred to the political choice of austerity over a 10-year period and the stark consequences for Sheffield City Council—I think £3 billion was cut from the council. My right hon. Friend the Member for Knowsley (Sir George Howarth) referred to the need for three-year settlements. I believe we are now in the fourth year of one-year settlements. How can we plan resources effectively—how can we plan for the future and invest in early years—when we have continued one-year settlements?

The hon. Member for Bromley and Chislehurst (Sir Robert Neill) rightly referred to the need for genuine fiscal and financial devolution, and I concur. The hon. Member for Westmorland and Lonsdale (Tim Farron) spoke about the public health grant, which is being reduced in real terms, and the pressures on mental health. My hon. Friend the Member for Harrow West (Gareth Thomas) referred to devolution, concurring with the hon. Member for Bromley and Chislehurst. My right hon. Friend the Member for North Durham (Mr Jones) referred to the cut of more than 50%, as measured by the National Audit Office, that has been imposed over the past 10 years in communities up and down the country.

If the levelling-up White Paper did not already out the Department as being devoid of any real ambition or strategy to better the lives of people across our regions, this settlement is the confirmation. It might not be 300 pages, and I might not have learned much about the last 10,000 years of urban settlements, but it once again reminds us that this Government do not truly back our communities, do not back our councils and certainly do not back our country. No wonder that Tory councillor and Local Government Association Chairman James Jamieson, whom the Secretary of State phones on a regular basis—

Lisa Nandy Portrait Lisa Nandy
- Hansard - -

Every morning.

Mike Amesbury Portrait Mike Amesbury
- Hansard - - - Excerpts

Every morning, I think. No wonder he stated that he was disappointed that council tax went up by a massive 31% between 2010 and 2021 while the area base grant has been cut, on average, by 37%. Tory Ministers have just piled the pain on to hard-pressed families, who pay more while receiving fewer services that are vital to making life work in our communities.

The Secretary of State has been waxing lyrical about the core spending power. Does he think that our residents, communities and constituents have missed the fact that inflation is at its highest for 30 years? Taking that into account outs this settlement for what it is: a 2.2% reduction compared with last year. It is a settlement that assumes local authorities will all raise council tax by the maximum amount without needing a referendum, meaning that councils will have to choose whether to raise much-needed funding while being well aware of the real financial pressures on households. The social care precept on top of the social care levy create a double whammy of taxation for residents, while providing insufficient resources for adult social care, according to the Tory leader of Surrey County Council. Indeed, the hon. Member for Bromley and Chislehurst raised exactly that point.

The draft of the settlement also came with another announcement, because the Government have once again kicked local government finance reform—the fairer funding review—into the long grass. It is desperately needed. Council tax as the main source of local authority income, as hon. Members across the House have said, is inherently unfair and regressive. We need that funding review very soon indeed.

The reform of business rates is another thing that we apparently will not see this year. We desperately need a new system that reflects the modern nature of business, that has some relation with money that goes through the till, that rebalances our high street versus online, and that boosts local economies rather than stifling them. However, we are of course not getting that. Could there be a clearer sign that the Government do not have a real plan?

The Secretary of State mentioned the announcement earlier this month of the £150 council tax rebate. We would very much like to see the detail of that, because we have had little so far. Indeed, our councils’ financial officers and leaders have had little information. How are councils to be involved in handing out that money? Will it be by cash, cheque or electronic payment? In some areas, such as Manchester, 49% of residents do not pay by direct debit, so there are some real practical difficulties there. Have the Secretary of State or the Minister estimated how much the administration will cost?

These woefully inadequate short-term fixes will not stop the cost of living crisis. The Government choosing to put taxes up on working people—the Government cannot escape the fact that they are now at a 70-year high—while cutting benefits and utterly failing to tackle rising food and energy bills simply pushes more people into poverty. Of course, the money is spare change compared with the £15 billion that our communities have had taken away over the last 12 years. Finances have gone that could have kept vital services open. Instead, the public now do not have 921 libraries, over 1,000 children’s centres and 368 swimming pools, to name but a few. The public health grant has been cut, but we are not quite out of the covid/omicron crisis at the moment. Real-terms increases are desperately needed.

We do not have a Secretary of State for Levelling Up; he is quite rapidly becoming the Minister for closing down, boarding up and laying off. The Government have kept our regional towns and cities down and held them back. No wonder this week’s newspapers representing communities across the north used their front pages to plead with the Secretary of State not to leave them behind, after 12 years. They pointed out the fact—this is a damning indictment of the inequality under this Government—that a baby girl born in Salford will, on average, die 10 years earlier than one born in the Secretary of State’s Surrey constituency. I know that he will not be at all proud of that fact, but he really needs to do something about it.

In conclusion, the sad truth is that the Government have left people and communities behind for over 12 years. We now know that they simply do not have a plan to change; they just have a scorecard with 12 mission statements of failure over the last 12 years. We know that, as a nation, we can do better than this. Any genuine levelling up of our communities will chiefly be delivered by local authorities. They need three-year settlements. The funding needs to be adequate, with long-term resources, devolved freedoms and budgets that reflect the work that local authorities put into their communities—communities that are genuinely powered up to deliver the fair and green future that our constituents and our nation require.

Levelling Up

Lisa Nandy Excerpts
Wednesday 2nd February 2022

(2 years, 3 months ago)

Commons Chamber
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Lisa Nandy Portrait Lisa Nandy (Wigan) (Lab)
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After all the delays, all the slogans and all the big promises, is this it? Is this really it? The sum total of ambition for our proud coastal and industrial—[Interruption.]

Rosie Winterton Portrait Madam Deputy Speaker (Dame Rosie Winterton)
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Order. The Secretary of State was heard with respect. I do not expect the shadow Secretary of State to be shouted out.

Lisa Nandy Portrait Lisa Nandy
- Hansard - -

Conservative Members do not disrespect us when they chunter and jeer; they disrespect the people of this country.

Seriously, is this it? The sum total of ambition for our coastal and industrial towns, our villages and our great cities is a history lesson on the rise of the Roman empire, and Ministers scurrying around Whitehall, shuffling the deckchairs and cobbling together a shopping list of recycled policies and fiddling the figures. Is this really it?

For some of us, this is personal. We have lived these failures every single day. We have watched good jobs go, our high streets boarded up and young people who have had to get out to get on. The Secretary of State talks about Bury FC. My step-dad was a lifelong supporter of Bury FC, a regular at Gigg Lane and his last words to my step-brother before he died were, “What’s the score?” If he were alive today, he would never forgive the Government for standing aside while this asset at the centre of Bury’s community was allowed to collapse.

This system is completely broken, and the Secretary of State has given us more of the same. This was meant to be the Prime Minister’s defining mission of Government. I am not surprised he was too embarrassed to come here today and defend it himself. It is so bad that even the Secretary of State has privately been saying that it is rubbish. They tell us to wait till 2030, but where have they been for the last 12 years? I will tell them where—in Whitehall, turbocharging the decline of our communities, and cutting off choices and chances for a generation of young people.

The Secretary of State talks about 12 missions, but this is 12 admissions of failure. Let us take one of them. Only two thirds of children leave primary school with the basic skills to get on. Forgive me if I have missed something, but was he not the Education Secretary for four years? What about this? The Government want to tackle crime, but on their watch fewer than one in 10 crimes are solved and nearly all rapes go unprosecuted. No one listening to this would think that he had been in charge of the Ministry of Justice.

This is a Government in free fall—out of ideas, out of energy—with recycled, watered-down ambitions. None of this is new. In fact, some of it is so old that one of the better announcements that caught my eye was actually made in 2008 by Gordon Brown and has been running ever since. Across our home towns, we have seen good jobs disappear and far too many young people who have had to get out to get on. This does nothing to address that.

The Secretary of State talks about a Medici-style renaissance, but can he not see what is happening in front of his eyes? Our high streets are struggling because the local economy is struggling. People do not have money to spend in our shops, our businesses and our high streets, and the Government are about to hike up their taxes. This does nothing to address that. What we needed was a plan to connect our towns and villages to jobs, to opportunities and to our family and friends, but they have halved the funding for buses and scrapped the rail promises to the north, and where is the digital Britain we were promised?

We do not need to look to Rome, Jericho or renaissance Florence for inspiration, because in Preston, Wigan and Grimsby, people are delivering real change for themselves, not because of their Government, but despite them. Imagine what we could do if they would get out of the way and give us back the power that we demand to make decisions for ourselves. [Laughter.] Well, Conservative Members laugh. They do laugh—they have been laughing at us for years—and here it goes again.

It is absurd that we have to go cap in hand to Westminster to do things that we know will work for us. Do not believe me; believe the former Mayor of London, who in 2013 demanded powers that are nowhere to be seen in this report. We asked for powers, and we got a process. Where are the powers we were promised? Seriously, we have the arrogance of a Chancellor sitting in Whitehall, drawing lines on a map, choosing which of us have earned the right to have some say on the decisions that affect not their lives, but our lives, our families and our communities.

The Secretary of State talks about London-style regeneration. My colleagues in London will talk proudly about the London they call home, but not every part of this country wants to be the same. We have our own identities. We are proud of our own places. We believe in our communities and we believe in our people, and we deserve a Government who back us, not the smoke and mirrors that we have been handed today.

The Government have given more to fraudsters than they have given to the north of England. For every £13 they have taken from us, they have given us £1 back. We get a partial refund and they expect us to be grateful. [Interruption.] I will give the House an example. The Mayor of Greater Manchester today raised broken promises on rail, and he was told by one of the Government’s MPs, “Don’t bite the hand that feeds you.”

It is not their money; it is ours. Imagine what we could achieve if we had a Government with an ambition for Britain that matched the ambition of the people in it. We could build good jobs in every community. There is a global race to create these jobs, and we will bring them here so that young people in our coastal and industrial towns can power us through the next generation, like their parents and grandparents powered us through the last. In every community in this country, people know that we can do so much better than this, with well-paid jobs and money back in people’s pockets to genuinely transform our high streets. We can reform business rates to back our bricks and mortar businesses. We can be buying, making and selling more in Britain and have an educational recovery plan that stands as a testament to our commitment to the young people who make this country what it is. That is our mission, and today we have learned one crucial thing: for all the spin and all the gloss, the Government will not do it, because they do not believe in this country—we will. [Interruption.]

Rosie Winterton Portrait Madam Deputy Speaker (Dame Rosie Winterton)
- Hansard - - - Excerpts

Order. I think you are preventing the Secretary of State from speaking. I suggest that a modicum of silence from those on the Back Benches would be welcome.

Oral Answers to Questions

Lisa Nandy Excerpts
Monday 24th January 2022

(2 years, 3 months ago)

Commons Chamber
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Neil O'Brien Portrait Neil O'Brien
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I know that many of my hon. Friend’s constituents will be desperately sad about the fire at the Leopard; I was also sad to see the footage of it burning.

I pay tribute to my hon. Friend for his leadership and hard work on regeneration. His ten-minute rule Bill on rogue owners is being closely studied in the Department; Kidsgrove is benefiting from a town deal; Tunstall library and baths are being regenerated through the levelling-up fund, and the local council is refurbishing the town hall. However, there is a lot more to do, and I am keen to continue my conversations with him on this important issue as we look to future legislation.

Lisa Nandy Portrait Lisa Nandy (Wigan) (Lab)
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The Secretary of State has not really proved very successful so far. Since the Secretary of State took office, the Chancellor has blocked any new money for levelling up, the Transport Secretary has halved bus funding and scrapped our trains, and while the Secretary of State is moving 500 civil servants into smaller cities and towns, Her Majesty’s Revenue and Customs is taking 65,000 of them away. In April our nations and regions stand to lose billions unless he does his job. South Yorkshire alone will be short-changed by £900 million if money that once reached us via Europe is now blocked in Whitehall. That is money for skills, new infrastructure, apprenticeships and science.

“It could be deployed in our NHS, schools and social care”—

those are not my words but those used by the right hon. Gentleman in the referendum. Will he keep his promise that no part of this country will be worse off? Or should I ask the Chancellor?

Neil O'Brien Portrait Neil O’Brien
- Hansard - - - Excerpts

I am grateful to the hon. Lady for drawing attention to the fact that we are moving DLUHC staff to the great city of Wolverhampton. As I walk to my office in the morning, I walk past previous Labour Ministers looking radiant and John Prescott looking something, and I remember that they could have done this, but we are the party that is actually doing it and getting on with moving civil servants out of London. As for the hon. Lady’s wider points, she will have to wait for the contents of the White Paper. As well as the UK shared prosperity fund, matching those funds from Europe for each nation, we have the levelling-up fund, the community ownership fund and the high streets fund. Other than that, we are barely doing anything.

Lisa Nandy Portrait Lisa Nandy
- Hansard - -

Thanks for that—I will ask the Chancellor.

That is not actually what I asked. I asked the Minister to guarantee that no part of this country will see its funding collapse in just 10 weeks’ time. It is absolutely great to see investment going into Newark, but what use is that for someone living in Barnsley or Bolton? Can he not see the problem? Money has been flowing to Cabinet Ministers’ constituencies and to key marginals, and still he refuses to come clean on how those decisions are being made. This weekend it became clear that the only way to get money out of his Department is to be at the beck and call of the Chief Whip. How can any community have confidence that they have a fair shot at getting some of their money back from his Department if he will not release, in full, the information he holds about how these decisions are being made?

Neil O'Brien Portrait Neil O’Brien
- Hansard - - - Excerpts

It is true that levelling-up funds have been going to the constituencies of Cabinet Ministers—[Interruption.] I am sorry; I mean shadow Cabinet Ministers. Levelling-up funds have been flowing to—[Interruption.] I will admit at this Dispatch Box that money is going to the shadow Leader of the House, the shadow Education Secretary, the shadow Health Secretary, the shadow Culture Secretary: guilty as charged of levelling up those places, and on that we do agree.

Building Safety

Lisa Nandy Excerpts
Monday 10th January 2022

(2 years, 4 months ago)

Commons Chamber
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Lisa Nandy Portrait Lisa Nandy (Wigan) (Lab)
- View Speech - Hansard - -

May I thank you, Mr Speaker, for your kind words about Jack Dromey, who should have been with us here today? There is a space over there that I know Jack would have occupied. Back in the 1970s, horrified by the spectacle of a skyscraper in London that lay empty while people slept rough underneath it, Jack was one of those who occupied Centre Point tower in protest. He was never afraid to speak truth to power, and I hope that today marks the start of all of us across the House invoking his spirit.

Four and a half years after the appalling tragedy at Grenfell, and with a road paved with broken promises and false dawns, hundreds of thousands are still trapped in unsafe homes, millions are caught in the wider crisis, and the families of 72 people who lost their lives are waiting for justice. It is a relief that we finally have a consensus that the developers and manufacturers who profited from this appalling scandal should bear greater costs, not the victims, and that blameless leaseholders must not pay. After a year of hell of the prospect hanging over leaseholders, we welcome the decision to remove the threat of forced loans, but can the Secretary of State tell us what makes him think that he can force developers, who have refused to do the right thing for four years, to pay up? We have been told there is a March deadline and a roundtable, but there is not a plan. If he has one, can we hear it? He will find an open door on the Opposition side of the House, if he has a credible proposal to bring.

Today the Secretary of State warned developers that if negotiation fails,

“our backstop…what we can do…is increase taxation on those responsible”,

but that is not quite right, is it? I have in front of me the letter from the Chief Secretary to the Treasury. May I remind the Secretary of State what it says? He was told that

“you may use a high-level ‘threat’ of tax or legal solutions in discussions with developers”

but

“whether or not to impose or raise taxes remains a decision for me”

—the Chief Secretary—

“and is not a given at this point.”

If I have seen the letter, I am fairly sure that the developers have too. Furthermore, it appears that what the Secretary of State has told the public—that tax rises are the backstop—is not what he has told the Treasury. The letter says that

“you have confirmed separately that DLUHC budgets are a backstop for funding these proposals in full…should sufficient funds not be raised from industry.”

That is not what the Secretary of State told the House a moment ago, so can he clear this up? Has the Chancellor agreed to back a new tax measure if negotiations fail, or is the Secretary of State prepared to see his already allocated budgets—levelling-up funding, or moneys for social or affordable housing—raided? Or is his plan to go back to the Treasury, renegotiate and legislate, if he fails in March? If that is the case, it will take months, and there is nothing to stop freeholders passing on the costs to leaseholders in the meantime. Does he even have an assessment of how many leaseholders will be hit with whacking great bills if he delays?

If the Secretary of State is serious about going after the developers—I hope that he is—why is he not putting these powers into the Building Safety Bill now? The only trick that he has up his sleeve, as he just confirmed to the House, is to ban them from Help to Buy, and we know that the impact of that, though welcome, will be marginal. Can he see the problem? He will also know that there is a gaping hole in what he has proposed. A significant number of buildings have both cladding and non-cladding defects, and leaseholders in them face ruinous costs to fix things such as missing fire breaks and defective compartmentation. One cannot make a building half safe. Given that the Secretary of State recognises the injustice of all leaseholders caught up in the building safety crisis, why is he abandoning those who have been hit with bills for non-cladding defects, and why will he not amend his Bill so that all leaseholders are protected from historical defects in law?

The truth is that the pace of remediation has been painfully slow. The Secretary of State is now on track to miss the deadline to fix all Grenfell-style cladding by over half a decade, and there are huge delays when it comes to building safety fund applications, so will he get a grip on what is going on in his own Department and ensure that the progress of remediation is accelerated markedly? As he knows, this has been a living nightmare for affected leaseholders, and we owe it to them to bring it swiftly to an end.

What the Secretary of State has given us today is a welcome shift in tone and some new measures that the Opposition very much hope will succeed, but the harder I look at this, the less it stands up. We were promised justice and we were promised change, to finally do right by the victims of this scandal, and that takes more than more promises. It takes a plan.

Michael Gove Portrait Michael Gove
- View Speech - Hansard - - - Excerpts

I am grateful to the shadow Secretary of State for her questions. First, I entirely agree with the generous and fitting words that she had for Jack Dromey. As I mentioned briefly in my statement, he was a relentless campaigner for social justice throughout his career. Indeed, the role he played in highlighting the plight of the homeless, and the need to act in order to ensure that they had a safe and decent place to live, is one of the many achievements that we will all recall as we think of his contribution. I also welcome the consensual approach that the shadow Secretary of State and her Front-Bench colleagues are taking in seeking to ensure that we place responsibility where it truly lies, and she had a number of appropriate questions to follow up in order to ensure that we deliver effectively.

The shadow Secretary of State made the point that the allocations from the building safety fund so far have been slow and are behindhand, and that is true. I think it is always better to be honest about those areas where the Government have not performed as well as they should, and one of the first things I did as Secretary of State was to ask for all necessary steps to be taken to ensure that that money was spent effectively. Of course, one of the problems we have had is that it is a demand-led system, so we have relied on many of those who have been responsible as the individual owners of buildings to come forward. However, what we are also hoping to do is ensure that, working with the National Fire Chiefs Council, we have the most extensive analysis of all the buildings that need our support and that we accelerate work on the BSF. So her concerns are not misplaced, and it is certainly my intention to ensure that we accelerate and make comprehensive that work.

The shadow Secretary of State also made the point that non-cladding costs do need to be met, and I agree. She specifically requested that we provide amendments to the Building Safety Bill to ensure that there is statutory protection for leaseholders. That is our intention—we intend to bring forward those amendments—and I look forward to working with her and colleagues across the House to provide the most robust legal protection.

The shadow Secretary of State doubted—again, I can understand the basis of her scepticism—whether developers and others in industry, given their past behaviour, would necessarily come sweetly to the table, and that is why it is so important that we have a range of tools available. I think it is important to recognise that there are some developers and some in the industry who have done the right thing, and it is also important to recognise that a spokesman for the Home Builders Federation, Stewart Baseley, today struck a very a constructive and open tone.

However, we do need to have additional backstops, and it is clear that taxes can, if necessary, play a part. I do not want to move there, but we do have the absolute assurance that we can use the prospect of taxation to bring people to the table. All taxation decisions are made by the Chancellor, and no Chancellor or Chief Secretary would ever say anything other than that, but the fact that the Chief Secretary and the Chancellor have authorised me to use the prospect of taxation, and the fact that we already have taxation through the residential property developer tax, shows that we are prepared to take every step necessary.

The final point that was implicit—perhaps explicit—in everything the shadow Secretary of State said is that we will be judged on our actions, and I think that is entirely fair. I recognise, given the scale of the frustration that so many have felt in the past, that ultimately there can only really be satisfaction when we bring this matter to a conclusion. I believe that today marks a significant step forward, but there is more work to do, and I hope that we can conclude that work on a cross-party basis in order to bring justice to those who deserve it.