Oral Answers to Questions Debate
Full Debate: Read Full DebateMatthew Pennycook
Main Page: Matthew Pennycook (Labour - Greenwich and Woolwich)Department Debates - View all Matthew Pennycook's debates with the Ministry of Housing, Communities and Local Government
(1 day, 11 hours ago)
Commons Chamber
John Cooper (Dumfries and Galloway) (Con)
This Government are determined to achieve high and sustainable rates of house building, which is precisely why we have undertaken the most rapid, holistic and radical overhaul of the housing and planning system in decades. The headwinds are without question severe, but there are encouraging signs of progress, not least the 15% increase in housing starts that we saw over the last 12 months, ending in June this year.
John Cooper
Statistics are like bathing costumes: what they reveal is interesting, and what they conceal is absolutely vital. The statistics we heard in that answer conceal the fact that this Government are on line to build fewer houses than the last Conservative Government did in a parliamentary term blighted by covid, when many building sites were completely shut down. When it comes to housing, this Government are drowning, not waving, aren’t they?
This Government are building, and that 15% increase in starts is a testament to that. I have lost count of the number of times that I have made it clear in this Chamber that our 1.5 million new homes target is an incredibly stretching one, but we remain committed to it. We will not take lectures from a party that fell short of its own distinctly unambitious target of 1 million homes in the last Parliament.
Neil Duncan-Jordan (Poole) (Lab)
In coastal communities like mine, the issue is not the rate of house building, but the rate of affordable house building. In 2024-25, Bournemouth, Christchurch and Poole council built just 89 affordable homes. What plans do the Government have to take back land that developers are banking and to start building the council houses we need?
My hon. Friend will not have to wait long for a package of build-out transparency measures, which will include the right for local authorities to refuse permission in instances where particular developers repeatedly get planning consent but do not build out the sites.
In an answer to my hon. Friend the Member for Dumfries and Galloway (John Cooper), the Minister said that there were “encouraging signs of progress”, but the truth is that the housing industry faces a bleaker and bleaker future under this Government: housing completions are at their lowest for more than a decade; planning permissions are down 31%; output is down 6%; London is at a standstill; and the Government are just 29% of the way through their target in nearly half the time allotted for it. Does the Minister agree that this broken record of failure needs urgent repair?
There is no record of failure: there has been a 15% increase in housing starts over the 12 months up to June. We will remain committed to that target. What is the hon. Gentleman and his colleagues’ answer to this problem? It is worth noting that in its recent assessment, the Office for Budget Responsibility made it clear that the changes we have made to the national planning policy framework will, on their own, “boost housebuilding significantly”, yet the Conservatives opposed them. Are they going to change their position in light of the macroeconomic challenges facing house builders across the country?
The Minister wants to talk about the OBR, so let us do that. Last week, the OBR was damning in its assessment of the viability of house building in England. It highlighted how regulatory and fiscal burdens are crushing viability. The Chancellor promised no new building regulations, but that is not enough. The Minister knows that viability—or, rather, the lack of it—is killing the house building sector. The existing environmental and net zero regulations and taxes are causing the viability crisis, so will the Minister join me in supporting the shadow Secretary of State, my hon. Friend the Member for Weald of Kent (Katie Lam), with her plan to cut £50,000 of regulation and taxes from the cost of building new homes to make sites viable again?
There is no doubt that viability pressures are acute across the country, but I draw the shadow Minister’s attention—I know he agrees with me on this—to the fact that many of the regulations highlighted by the OBR in its recent assessment were introduced by the Conservatives during the last Parliament, and they included measures on building safety and biodiversity net gain. We know that the Conservatives would now scrap the future homes standard, ensuring that customers pay higher bills and that we have to retrofit even more homes in the future. Perhaps the shadow Minister could tell us what other safety, decency or environmental requirements the they now plan to slash.
Gideon Amos (Taunton and Wellington) (LD)
The increase in starts is welcome, but the Government’s package of reforms was designed to increase consents. The most recent quarterly figures show that although consent applications are down, the rate of granted consents remains high at 88%—that figure is over 90% when councillors are involved in making the planning decisions. Does that not show that taking away powers to make decisions on major applications—those of over 150 homes—from councillors through the NPPF has made no difference whatsoever to the number of consents? Will the Government give those powers back to councillors, who support over 90% of applications when they come to committee?
I think the hon. Gentleman is talking about the national scheme of delegation. Those powers were only commenced on Saturday, so he is a bit premature in saying that they have had no impact.
Gideon Amos
The Minister clearly did not hear: I referred to the removal of councillors’ powers to make decisions on applications relating to over 150 homes, which happened at an early stage of the year.
Moving on, the warm homes grant has come in for cuts. We have now discovered that not only is £1 billion being cut from the scheme, but an extra £1.5 billion will be cut from the loan system that goes towards those warm homes. How will people get the renewable energy and efficient homes they need if the scheme is being dismantled in this way?
I will leave my ministerial colleagues in the Department for Energy Security and Net Zero to answer on the warm homes plan specifically. However, I hope the hon. Gentleman agrees that when it comes to decency, safety and quality, this Government have taken a number of steps, including Awaab’s law, a new decent homes standard, new minimum energy efficiency standards and a new future homes standard. I know he agrees that that future homes standard should be kept in place, not abolished as the Conservative party would have us do.
Martin Wrigley (Newton Abbot) (LD)
The housing delivery test is an annual measurement of housing delivery in local planning authority areas over a rolling historical three-year period. Chesterfield borough council achieved a housing delivery test result of 168% last year, indicating very strong delivery against the number of homes that the area requires.
I thank my hon. Friend for sharing that good news. Chesterfield borough council is keen to assist the Government by achieving those housing targets, but in areas such as Chesterfield where there has been historical industrial blight and coalmining, it is more expensive to complete certain projects than it is in areas without those challenges. Our ability to achieve the housing targets in the east of our town was dependent on the creation of the Staveley bypass, and we were disappointed to hear recently that it would not go ahead at this stage. How is my hon. Friend working with other Departments to ensure that the industrial blight of the past does not make such projects too expensive to proceed with in future?
I know that my hon. Friend’s council wants to play its full part in our house building ambitions. As he will know, the Government provide financial support for essential infrastructure in areas with the greatest housing demand. While I cannot express an opinion on specific plans or schemes, for reasons that I know he will appreciate, my understanding is that Chesterfield borough council foresaw the site in question coming forward later in the plan period, and in the light of the Department for Transport’s decision in respect of that particular transport upgrade, the authority may need to look again at the allocation when developing its next local plan. However, I would be happy to discuss the matter further with my hon. Friend.
Chris Ward (Brighton Kemptown and Peacehaven) (Lab)
The Government are committed to improving protections for renters and owners of park homes. On 5 March, my Department published a call for evidence with a view to establishing the rationale for the required payment of a commission of up to 10% of the sale price when a park home is sold. We continue to analyse the feedback received. I hope to be able to publish a detailed summary of the responses in the near future, and, as per the commitments that I have previously given, we will set out the Government’s final position on this matter by the end of the year.
Chris Ward
Tudor Rose Park in Peacehaven is a park home with 107 residents. Many are elderly and vulnerable; all have suffered years of unfair charges, crumbling buildings and poor maintenance. Just this morning at my surgery, two residents told me of the “despair, exploitation and intimidation” that many feel at the hands of park owners. I know that the Minister is looking at this closely, so can he tell me when the Government will act and introduce changes that will end the wild west of park homes and protect my constituents in Tudor Rose Park?
I am very sorry to hear about the experience of the park home owners and renters at Tudor Rose Park in my hon. Friend’s constituency. We are acting, not least in respect of the commission, and, as I have said, we will confirm the Government’s final position on that by the end of the year. Park home residents who believe that they have been bullied or intimidated should contact the Government-funded Leasehold Advisory Service for free, independent advice on their rights and the most appropriate course of action. I would like to meet my hon. Friend to hear a bit more about why, by the sound of it, some of the powers that local authorities have in this regard are not working in this instance.
I have over half a dozen park home estates in my constituency, so I welcome the fact that the Minister and the Government are reviewing whether to get rid of the 10% charge that owners have to pay if they sell their park home. No other property owner has to pay such a charge, and my constituents feel very strongly that this is iniquitous. May I make a submission to the review on their behalf? They would be very grateful if the Minister were to abolish the charge.
I will take that submission. We are outside the consultation period, but I am sure we can gratefully accept it. There are a range of very strongly held views on this issue. The previous Government looked at it; they concluded that they did not have the necessary evidence and that we needed to go out again. We have done that, but as I say, we will make a decision by the end of the year.
Antonia Bance (Tipton and Wednesbury) (Lab)
The new national planning policy framework, published on 17 August, includes a more flexible and proportionate policy design to provide greater clarity on the circumstances in which article 4 directions may be appropriate, including where there is an overconcentration of small HMOs. We want to ensure that councils can act properly to regulate HMOs where it is necessary to protect the amenity or wellbeing of an area, and we will continue to keep the powers to regulate HMOs under review.
Antonia Bance
I thank the Minister for his answer. Residents in Wednesbury and Tipton are absolutely sick of family homes being turned into HMOs and—now that that is getting more difficult—into supported exempt accommodation, too. I have campaigned for more controls on HMOs since the day I was elected, but supported exempt accommodation is essentially unregulated. When will this Government bring in further controls on supported exempt accommodation?
I thank my hon. Friend for her question, and for all her campaigning to ensure that an article 4 direction is finally being introduced in Sandwell.
On supported exempt accommodation, we published guidance for local authorities earlier this year on developing supported housing strategies. On 15 October, we launched a consultation on draft regulations for a supported housing licensing regime. That consultation closes on 10 December. I am sure that my hon. Friend the Minister for Homelessness, who is responsible for this policy area, will have heard the calls to expedite the laying of those regulations.
Earlier this year, Liberal Democrat-run Three Rivers district council put in a notice for an article 4 direction. However, it will not come into effect until June 2027, with the council citing financial concerns, despite repeated calls from me and local Conservative councillors to do it sooner and protect my residents from overcrowded and unwanted HMOs. What advice can the Minister offer my residents, such as those who live in Muirfield Road in South Oxhey, who have already been affected by this issue?
I thank the hon. Gentleman for his question. All HMOs are obviously subject to management regulations, and local authorities must license HMOs in certain cases. An article 4 direction is often the way for local planning authorities to get control, but by the sound of it, that should have come a lot earlier in his local area.
I welcome the Chair of the Housing, Communities and Local Government Committee.
Many communities, including those in my constituency, are concerned about the concentration of HMOs. There is a perception that local authorities do not have the powers to be able to tackle this. I want to be very clear that I am not against HMOs in principle; this is about how they are abused. I know the Government have carried out a consultation, but do they feel that local authorities are able to strike the right balance between meeting housing needs and maintaining community cohesion?
I thank my hon. Friend and constituency neighbour for that question. We do keep the powers to regulate HMOs under review, and I do want to know from any Member of the House where local authorities do not think those powers are adequate. The key to ensuring that HMOs are properly regulated, particularly where that is necessary to protect the amenity or wellbeing of an area, is having strong policies in an up-to-date local plan. I know that our local authority is putting in place strong policies in our area.
HMOs are the only way many young people can afford to rent, but their unregulated growth leads to the loss of family homes. However, Bath and North East Somerset council has taken action, and has included in its draft local plan a ban on the conversion of homes that would otherwise mean the loss of three-bedroom homes in Southdown, Twerton and Odd Down. Will the Minister congratulate Bath council?
I will congratulate the hon. Member’s local authority. As I say, it is through up-to-date local plans and strong policies on HMOs that local authorities can ensure that they are properly regulated. After all, development plans are the basis on which decision makers, irrespective of whether they are officers or committees, will make their decisions. There is good practice out there in the country—including in my own local authority area, as I have said—and I encourage any local planning authority with concerns to familiarise itself with that good practice.
Lewis Cocking (Broxbourne) (Con)
To residents across the country, a standard family home being converted into an HMO for a large number of adults is a material change. It changes the character of an area, and it places pressure on parking and local services. Too many HMOs are being used to house people who come to this country illegally, and we know for a fact that many of these men are dangerous. However, the current rules do not reflect the negative impact an HMO can have, with landlords not needing to apply for planning permission if it is for less than five occupants, and the article 4 direction does not go far enough. What work is the Minister doing to investigate changing the rules so that all HMOs, regardless of size, require planning permission so that local people’s voices can be heard?
I feel for the shadow Minister in the sense that that question was clearly drafted before the set of answers I have just given. We have acted to strengthen national planning policy in this area. I have made it clear how important it is to have up-to-date local plans in place and to get strong policies. If he has any particular instances of where the existing powers do not go far enough, I am more than happy to hear from him.
Sonia Kumar (Dudley) (Lab)
Andrew Cooper (Mid Cheshire) (Lab)
The Government remain determined to revive the dream of home ownership. In the Budget, the Chancellor confirmed £4.7 billion for the Your First Home scheme, providing equity loans to help those who cannot rely on the bank of mum and dad to buy their first home. The Chancellor also announced a new first-time buyer ISA and reduced the lifetime ISA withdrawal charge to 20%.
Andrew Cooper
House prices in Mid Cheshire are nearly £20,000 higher than the regional average and have continued to rise over the last year. The Your First Home scheme will be a big help for my constituents, but it is also important that we increase the number of affordable homes being built. The National Housing Federation estimated that we could have delivered an additional 41,000 homes outside of London in the latest round of the social and affordable homes programme. What steps is the Minister taking to increase the funding available in the early years of the social and affordable homes programme?
As my hon. Friend will be aware, the Chancellor committed an additional £1.5 billion for the social and affordable homes programme at the Budget, taking its total allocation to over £40 billion. In August, we announced initial funding allocations for the programme, with £9.58 billion being awarded to 33 strategic partners outside of London. Over £16 billion remains available outside of London across the lifetime of the programme. Homes England will confirm scheme-by-scheme allocations via the continuous market engagement route in the usual way.
Vikki Slade (Mid Dorset and North Poole) (LD)
I welcome the Government’s focus on first-time buyers, because so many young people cannot get their first step on the ladder. My concern with the properties that are being built—not on the green belt but within town-centre boundaries—is that first-time buyer properties are being manipulated out of the system, in the same way that affordable homes have been on the green belt. I know the Government have done some stuff around the green belt golden rules, but what are they doing to ensure that we have first-time buyer homes on every development?
I am not sure that I quite understand what the hon. Lady means by homes being manipulated out of the system, but I am happy to sit down with her and have a conversation about it.
Our transformative Renters’ Rights Act 2026 is changing the experience of private renting for millions of tenants across England, not least by empowering them to challenge unfair or above-market rent increases.
In Liverpool Wavertree, research by Crisis and Zoopla shows just 3% of homes for private rent are affordable for people who claim local housing allowance. The Office for Budget Responsibility has warned that the increase in tax on property income announced in the Budget could feed through into rents, making an increase in LHA more necessary than ever. What discussions has the Minister had with colleagues in other Departments on that issue, as well as on rent regulation linked to inflation and wages, to relieve the pressure on private renters and reduce the cost of increasing LHA?
At the Budget last year, the OBR assessed that there would be only a small impact on rental prices of 0.2% as a result of the 2 percentage point increase to property rates from April 2027, and we expect the further increase of 2 percentage points announced in the Budget last week to have a comparably small effect. Households who need additional support can apply to their local authority for help via the crisis and resilience fund. As my hon. Friend knows, the Government do not support the introduction of rent controls.
Sam Carling
Too often, constituents contact me about horrific behaviour from private landlords and lettings agencies. One lady told me recently that she had been left with broken heating for six months, and that, as a result, her daughter had developed pneumonia. Adding insult to injury, the lettings agency has continually refused to provide my constituent with her landlord’s contact details, in violation of the law. Will the Secretary of State set out what this Labour Government are doing to crack down on rogue landlords and lettings agencies that are totally failing in their responsibilities?
I am really sorry to learn that my hon. Friend’s constituents have been so badly treated by their landlord. Through our Renters’ Right Act 2025, we have strengthened the enforcement powers of local authorities in respect of relevant breaches and offences, and we are extending Awaab’s law and the decent homes standard to that sector. As the Secretary of State has just mentioned, we also intend to legislate to regulate property agents, including by requiring agents to obtain a licence to do the job and appropriate qualifications to operate.
The independent Office for Budget Responsibility’s “Economic and fiscal outlook”, published alongside the Budget, says on page 77 that the consequence of the 4% hike in property income tax will be fewer rental properties and higher rents as landlords pass on those costs. Does the Minister think the OBR is wrong? If not, does he accept that rents will go up as a result of those measures?
I refer the right hon. Gentleman to my opening remarks. At the Budget last year, the OBR assessed that there would be a small impact of 0.2% on rental prices as a result of that increase, and we expect a similarly small impact from this increase. The obvious answer to affordability challenges in the private rented sector, as well as everywhere else, is to build more housing supply. That is why it is so disappointing that Opposition Members, despite what those on their Front Bench say, consistently complain about new housing developments coming forward in their constituencies.
The question is about reducing the cost of renting. What is the contribution of the 4% increase to a reduction in the cost of renting? Mr Speaker, my interest is recorded in the register.
As I said to the right hon. Member for North East Cambridgeshire (Steve Barclay), affordability is dependent on a number of factors. Ultimately, the only way we can bring greater affordability is by increasing the supply of new homes. I look forward to the full-throated support of the right hon. Member for New Forest West (Sir Desmond Swayne) for new housing developments in his constituency.
In the Budget, the Chancellor extended the preferential Public Works Loan Board rates for a further year until 2027-28. We will continue to keep under review what more we can do to help councils once again build at scale.
Lloyd Hatton (South Dorset) (Lab)
Local authorities have powers to take action where a designated heritage asset has deteriorated to the extent that its preservation may be at risk. These powers include carrying out urgent works to preserve a listed building, requiring an owner to carry out work and, if appropriate, compulsory purchase. I will be more than happy to meet my hon. Friend to discuss those powers further.
John Cooper (Dumfries and Galloway) (Con)
Dr Lauren Sullivan (Gravesham) (Lab)
My constituent, Mr Welch, and his sister have been left completely trapped by the death of their mother last year. Despite slashing the price of her assisted living flat from £200,000 to £60,000, the flat remains unsellable because the market has collapsed, and the £1,300 a month service charge risks wiping out the estate. Will the Minister urgently review the guidance and support available to bereaved executors in this position, and meet me to discuss the recourse available to such families?
I am really sorry to hear about the situation that Mr Welch and his sister find themselves in following the death of their mother last year. Our reforms to the leasehold system will make service charges more transparent and easier to challenge. I assure my hon. Friend that work is under way in the Department to better understand the market around poor resale values. I would be happy to meet her to discuss that.
Mike Martin (Tunbridge Wells) (LD)
For decades, Liverpool has lived with the consequences of Thatcher’s sell-off of council housing and the large-scale stock transfer of properties leaving too many families without secure and genuinely affordable homes. Mayor Steve Rotheram’s North Docks mayoral development corporation set out a bold vision, with strong public backing. Will the Minister back the work of the MDC to support large-scale council house building in order to reverse the legacy of the past and tackle the housing crisis?
I know that the mayor is consulting on that mayoral development corporation, so I will not prejudice that consultation by giving my view on it. In general, however, the Government absolutely support the use of mayoral development corporations and locally led development corporations as a means to masterplan, assemble land and regenerate areas.
The hon. Gentleman has been campaigning on this issue for a long time. I recognise his concerns and am more than happy to meet him. He should have had that confirmation already, but I give it to him now on the Floor of the House.
Naushabah Khan (Gillingham and Rainham) (Lab)
Hundreds of people are being placed in my constituency by London councils. They are being moved away from their support networks through out-of-borough placements and without proper notification. Often these are vulnerable families with high needs, which then have to be met by overstretched services at Medway council. Will the Minister meet me to discuss how we can improve this system and support the authorities that are dealing with the bulk of out-of-borough placements?
Dr Marie Tidball (Penistone and Stocksbridge) (Lab)
For over a year, I have argued for changes to Sheffield’s local plan, with a fairer distribution of green-belt sites across the authority, greater use of brownfield sites, high streets and retail spaces, densification on transport routes, a better application of the Government’s golden rules, and strengthened powers to utilise long-term empty properties to ease the pressure on Grenoside, Chapeltown and Ecclesfield. Consequently, I am calling for a pause in the local plan process, especially in the light of new evidence demonstrating that all the green-belt parcels in my constituency are now assessed as containing our best agricultural land, including Town End farm. Will the Minister meet me and Sheffield colleagues to discuss the local plan, and to ensure that Sheffield builds more homes, especially the social and affordable homes that we need?
Due to my quasi-judicial role in the planning system, I cannot comment on the detail of the emerging plan, and I am afraid I cannot meet my hon. Friend to discuss it. The plan, the sites included in it and the proposed main modifications have been subject to several rounds of consultations throughout the examination process. It is for the independent inspectors to consider the responses to the consultations and set out next steps.
Following this summer’s wildfires, we saw that the devolution of fire policy was no barrier to mutual aid co-operation between the UK Government and the Welsh Government. Can the Minister tell me how any additional air firefighting capability will be allocated fairly across the nations of the United Kingdom?
As the Housing and Planning Minister knows, a planning inspector has made some outrageous decisions regarding the national landscape in my constituency over the past few months. Will he therefore please confirm from the Dispatch Box, for the benefit of all the planning inspectors out there, that his intention is to strengthen protections for our national landscapes in the latest edition of the national planning policy framework?
What I will do for the right hon. Gentleman is go away and review whether further guidance for the Planning Inspectorate in this particular area would be helpful.
Sarah Smith (Hyndburn) (Lab)
Hyndburn has incredibly high levels of houses in multiple occupation. That is driving up rents, taking family homes off the market and increasing the number of vulnerable people moving to our community. How are the Government acting to enable councils such as Hyndburn borough council to reduce HMOs in their areas?
My hon. Friend may have heard my answer to a previous question in which I set out how we have strengthened the national planning policy framework in this area. I am more than happy to discuss with her particular policy areas where her council may think more powers are required.
Adrian Ramsay (Waveney Valley) (Green)
Suffolk county council is proposing significant cuts to its healthy child services. That is deeply worrying to new parents such as Chloe, who became a mother at 18 and, without the help of family, relied on the young parent pathway to develop the skills and knowledge to raise her baby boy. What assessment has the Department made of the positive impact of healthy child services, and will the Minister intervene to protect these vital services?
Marie Goldman (Chelmsford) (LD)
The issue of restrictive covenants, raised so ably by the hon. Member for Bexhill and Battle (Dr Mullan), is also affecting my constituents, some of whom have been extorted out of tens of thousands of pounds. Will the Government give any comfort to the residents who are campaigning so hard on this that the commonhold and leasehold reform Bill will contain provisions to stop this awful practice?
As the hon. Member may be aware, we are looking through that legislation to introduce caps on administration and permission fees. That may help some of her affected residents, but I would be grateful if she could write to me and set out in more detail how this issue is affecting her constituents.
Euan Stainbank (Falkirk) (Lab)
For the purposes of the new planning powers and the rates relief exemptions announced in the Budget last week, what does my hon. Friend’s Department define as a vape shop?
Swindon and Wiltshire councils are building a lot of new housing, which is excellent, but the Government have now abolished an essential safeguard for communities against inappropriate planning, which is the power of councillors to call in applications. What steps are the Government taking to review that particular measure, and will they reconsider if it turns out that it is not working?
That particular reform was commenced only on Saturday. We have already committed to review it after a two-year period, and that is what we will do.
Jayne Kirkham (Truro and Falmouth) (Lab/Co-op)
The Department for Digital, Culture, Media and Sport is bringing out a short-term let registration scheme in March. Unfortunately, due to data protection rules, it cannot be more of a licensing scheme, so owners of properties will not be obliged to file liability insurance or fire safety documents. DCMS tells me that MHCLG is the Department that could set up such a licensing scheme. Is that something the Minister will consider?
Tessa Munt (Wells and Mendip Hills) (LD)
Councils spend far more on enforcing against a breach of planning controls than the offender is ever fined—and even then, that money goes to the Treasury. When it is cheaper to break rules than follow them, we lose any sense of deterrence, and there is a perception that breaches have few consequences. Will the Minister look again at the amount of fines, and at whether councils could receive the proceeds of fines, so that they can recover their costs?
Would the hon. Lady write to me with some further details, to illustrate the precise problem she is trying to get at?
Josh Babarinde (Eastbourne) (LD)
Two brave Eastbourne families are fighting for improved regulation of supported accommodation, after their respective relatives were found dead in the accommodation that was meant to be supporting them. Will the Minister meet them, and me, to discuss how we can better protect vulnerable people in supported accommodation?