Decent Homes Debate

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Thursday 27th January 2011

(13 years, 3 months ago)

Westminster Hall
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Simon Hughes Portrait Simon Hughes (Bermondsey and Old Southwark) (LD)
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Thank you for accommodating me, Mr Bone. I apologise to you, to the Chairman of the Select Committee, the hon. Member for Sheffield South East (Mr Betts), and to my right hon. Friend the Minister for not being present at the start of the debate. I was chairing a meeting elsewhere in the House on education matters of general interest, which overran. I came here as quickly as I could and am pleased to be here.

I am very grateful for the Select Committee’s report. I note that the Committee had the benefit of the contribution from my friend and colleague, Councillor Nick Stanton, who was then leader of Southwark council. He came and gave evidence, together with Councillor Kim Humphreys. That shows that in Southwark, as in Lambeth, Islington and elsewhere, as my friend the hon. Member for Vauxhall (Kate Hoey) said, housing remains an absolutely central political issue today. I know that the Minister knows that, because for a brief period he had political aspirations in Southwark, which I was able to redirect elsewhere. I am sincerely grateful for his interest in and robust engagement with housing issues, and for his willingness not just to listen, but to try to work with colleagues imaginatively to find solutions in difficult financial times.

I had the last Adjournment debate in Westminster Hall in the last Parliament. It was on housing in Southwark. Barbara Follett replied on behalf of the then Government and was positive, constructive and helpful. The debate was on general issues in relation to housing in Southwark, but it allowed me to say then, as I shall say now, that I come to the debate as the person who is privileged to be the Member of Parliament in England with the largest proportion of constituents who live in local authority housing. That has been the case ever since I was first elected. I am privileged to be the Member of Parliament for the borough with the largest local authority social housing stock in London and, I think, the third largest in England. We are absolutely clear that council homes make a hugely important contribution to social cohesion in Britain. In the old borough of Bermondsey, we had the first council homes ever in England. That was the result of a far-sighted, progressive Labour council in the 1920s. We have retained that real commitment to decent homes in public ownership, as well as decent homes in any other form of social ownership.

It is notable—this was part of the evidence given by my friend, Councillor Stanton—that whenever Southwark, under whatever colour of political leadership, has discussed what should happen, we have taken a different view from the one taken in Lambeth and have retained local authority housing in direct ownership and management. In my judgment, we have taken the right view on that. I think that it is important. It provides accountability and is the best solution. I was very glad that at the end of a long struggle with the Labour Government, we were able to win the argument that we should not be penalised. My friends the hon. Members for Vauxhall and for Islington North (Jeremy Corbyn) will remember that, all the time, the Labour Government were trying to incentivise people to become ALMOs and so on, saying that that would provide a better deal. That should be a local decision.

The really good news about the Minister’s announcements in November is that, in finding some money for the decent homes programme to continue, which is very welcome, he made the right decision in saying that we are not going to go back to using the old-style rating method. The council’s ability to deliver would have been reflected on to the tenants, who would have paid the price. The tenants would have been penalised. I am very grateful that councils are basically starting from a blank sheet, have been able to put in their bids and are awaiting the outcome.

I also think that it was a wise move, although obviously slightly more controversial, to say that in general, and normally, if less than 10% of the stock were still to be brought up to decent homes standards, we would not expect the Government to be able to assist, but that exceptional cases would be looked at. That seems sensible.

I also want to pick up on the point wisely and readily made by my colleague the hon. Member for Islington North, who, like me, has been in debates on housing in this place pretty much for half his life.

Jeremy Corbyn Portrait Jeremy Corbyn
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Longer than you think.

Simon Hughes Portrait Simon Hughes
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Not that much.

Colleagues will not be surprised by the figures in the written answer on 12 January 2011 to a question about the percentage of homes of different tenure in England that are decent homes. The figures are, however, worth putting on the record. Of all private sector homes, just less than two thirds—65.6%—are regarded as decent homes. Of all social property, the figure is higher at 72.8%. That makes the first absolutely fundamental and obvious point: the social sector—council housing predominantly, and more latterly housing association property—has been much better than the private sector at providing decent homes.

Breaking down those figures, it is absolutely not surprising, but absolutely worth putting on the record, that 67.7% of owner-occupied homes are decent homes compared with only 56% of private rented homes. In all our constituencies, the sector with the lowest-quality accommodation is that of privately rented homes, as the Chairman of the Select Committee well knows. That is not as directly the responsibility of the public service as other sectors are, but it is indirectly related, and I remind the Minister to keep that on his agenda. A perfectly good relationship can be built up between central Government, local government and the private sector, which is not over-demanding or over-regulatory, but ensures, to put it bluntly, that landlords and owners are not allowed to get away with letting out rubbish housing. We need to ensure that people are not penalised by being left in such accommodation.

Lastly—again, this is obviously not surprising—in recent years housing associations have gone past councils in the percentage of their stock that is decent housing. The figures are 77.2% of housing association property conforming to the decent housing standard, and 68.5% of local authority property.

Linked to that point, I support the call by the hon. Member for Islington North to have an inquiry, if the Select Committee can find the time, into the housing association sector’s accountability to its residents. Housing associations are of very variable quality. There are many in my constituency and although they always engage well with me, they do not always deliver. The other day I spent the day with Peabody, which is based in my constituency. It has improved again; it was very good and then slipped. Other associations also go up and down, but the problem is that there is no democratic system, whereas at least with local authorities, managers can be thrown out, or housing can be made the big issue of the election campaign. That is an issue with which I hope the Government are willing to engage.

Jeremy Corbyn Portrait Jeremy Corbyn
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I absolutely endorse what the right hon. Gentleman is saying. Does he agree that there is huge inefficiency where there are small housing associations running a few properties over a large and scattered area, or on an estate where there are five or six associations? That is an enormous waste of resources, and there ought to be some rationalisation and greater efficiency.

Simon Hughes Portrait Simon Hughes
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That is a real issue. When the London Docklands Development Corporation was developing Rotherhithe and Surrey docks, it contracted with a consortium of six housing associations to develop the place at the end of the Rotherhithe peninsula. That was fine in practice, and all the housing associations were very interested, but when it came to delivering the management of that bit of the borough, it was hopeless because problems arose over the common parts and the public roads. In the end, the housing associations had to agree that one of them would take over the management of all the areas owned by the other five.

My friend, the hon. Member for Vauxhall, argued strongly in favour of tenant-management organisations, which I support and which are often small, bottom-up organisations. Ways must be found of allowing such organisations to retain that degree of autonomy, but within a federation of local housing associations. That may be the way in which we can bring together the small specific housing associations without being draconian and say that they must pass a specific threshold.

It was good that the Labour Government set up the decent homes programme in 2000. For the record, it was sad that they fell short. I understand all the constraints that existed, but in the end the programme did not deliver on its aspiration. It was a judgment call. The result was that the new build of housing under Labour was dreadful—in fact it was more dreadful than under a previous Tory Government. Labour will have to defend that judgment call. The present Government are right in saying—the Minister and I were talking about this only recently—that they have to encourage both new build and the renovation of existing stock. We must do both in parallel; we cannot put all our eggs in one basket.

All local authorities that have social housing—apart from areas in the north-west, such as Burnley, where there is a surplus of housing and where the issues are entirely different—need both new build and renovation. I am talking about all the London boroughs and most of the rest of the country, both rural and urban.

There also needs to be flexibility in the decent homes standard. As Nick Stanton says, there are different criteria for someone on the seventh floor of Lupin Point in my constituency in Bermondsey and for someone in a cottage in a tin-mining village in Cornwall, which may still be local authority-owned. There needs to be the flexibility for that to be defined locally.

When my colleagues were leading the administration in Southwark, they always said that they wanted to apply their own standards rather than the off-the-shelf Government standards. There is also a very different view from the residents. I visited the famous prefab estate in Lewisham—I do not know whether it is in the constituency of the hon. Member for Lewisham East (Heidi Alexander)—which is a wonderful place to go. I have not followed every twist and turn of the saga, but I think that I am right in saying that the council has decided to have it demolished. I regret that because, bizarrely, prefabs that have existed since the war were very popular homes for the people who lived in them. They will not conform to all the decent homes standards, but they were warm and had gardens. Therefore, we should be careful about not being over-prescriptive from the centre.

Heidi Alexander Portrait Heidi Alexander
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Given that the right hon. Gentleman raised the subject of the Excalibur estate, I cannot resist making a comment. He is right to say that the council has decided to demolish and rebuild the estate, but it made that decision after conducting a ballot of all tenants on the estate. The ballot was incredibly close, with more than 50% voting for the demolition and just under 50% voting against it. The costs of renovating the properties and bringing them up to a decent standard were considered. Indeed that was something that many families who live on that estate very dearly wanted. None the less, the difficult decision has been taken.

Simon Hughes Portrait Simon Hughes
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I appreciate how difficult the decision was. Prefab homes are often really popular—they were in Southwark—and there are not many left. That prefab estate was the iconic last redoubt of the post-war London prefab.

I make a plea to the Minister and, through him and his colleagues, to local councils. The decent homes programme must always be re-evaluated on the basis of an up-to-date stock condition survey, but other flexibilities are needed as well. The first is the flexibility to which my friend the hon. Member for Vauxhall referred; I heard the exchange between her and the Chair of the Select Committee. It is nonsense that Lambeth has 600 empty council properties—that is the figure that I was given—because they are allegedly not decent homes, so after tenants leave, the council cannot put another tenant in. There must be a non-bureaucratic, non-municipalist way to engage people from the voluntary sector and community groups to make those homes liveable. There are always people willing to do so. We cannot allow only builders and plumbers in; there are lots of people. I can think of a mate of mine who has just retired—he worked in the bus garage in Catford, as it happens—who is a really good handyman. He is looking for things to do in his early retirement, and he has fantastic construction skills. Lots of people are willing to do it. We must engage the community and ensure that homes do not sit empty just because they are not in the council’s programme for 2011.

The other thing that is needed is decent common spaces such as entrance halls, lift lobbies and landings. It makes all the difference. Like my colleagues, whether in Nottingham or London, I can go to two tower blocks in the same borough of identical build and identical height, one of which is clean and pleasant, smells nice, looks nice and has had a touch of paint, the other of which, of the same age, is dreadful and unkempt with peeling paint. We must ensure that councils understand that they should be able to get on with the quick and easy bits of work that can improve people’s quality of life hugely for five years without massive spend: it is not about putting in new lifts or redoing the whole building; it is not about having scaffolding up to the 20th floor for half a year; it is about little things.

Much more inventiveness is needed to make homes in the public and socially rented sector the same quality as we would want our places to be. For me, the test is always, “Would I want to live here and invite my family to come into this flat?” If the flat is great but getting there is like going through a sewer, to be blunt, that is not acceptable.

Jeremy Corbyn Portrait Jeremy Corbyn
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On one side of the question of the waste of resources is the ridiculous situation in Lambeth in which homes are kept empty. On the other are places where the council has the money for the decent homes standard but where, when somebody dies or the flat becomes empty, the council rips out perfectly good, serviceable fixtures due to an obsession with uniformity. If a previous tenant who was good at home improvement did some nice work in the place, the next tenant might like to keep it and should be given the choice. Instead, the council rips it all out, wasting time, money and resources to undo what is probably good-quality work.

Simon Hughes Portrait Simon Hughes
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A fantastic unity is developing: I see the Minister nodding; the hon. Member for Islington North, who is not regarded as a right-wing socialist, is making the point; and I agree with the hon. Member for Islington North, so we are all in it together. That is absolutely the point. Many people improve their council properties and make them really nice. If they move, there is absolutely no reason why the new tenants should not be offered the option to keep the property as it is. It might need a bit of a tweak, but the tenants should be offered the chance to find somebody to help them make whatever small changes they need before they move in. Let us be intelligent about such things rather than monolithic, prescriptive and centralised. That approach is frustrating; it wastes time and money; and it keeps people out of housing at a time when we are desperately short of it.

I want to finish in good time—we might even finish the debate early. I have argued for a flexible decent homes standard that is agreed locally, and it should be for local authorities to negotiate that. Possibly such a standard would need Government clearance, but I am relaxed about that. If the local authority is happy, provided that the minimum health and safety standards are met, that is fine.

I know that the Under-Secretary of State for Communities and Local Government, my hon. Friend the Member for Hazel Grove (Andrew Stunell), has made this point, and I, too, am keen to have a modern, green homes standards. If we refurbish, let us make the homes energy-efficient at the same time and save on bills, as well as just making them look nice with new windows and so on. Let us try to minimise the short turnaround.

This is not special pleading, because I have a reason for making this plea. When money is being allocated to local authorities, sometimes there are high expenditure issues that should be factored in so that councils are not disadvantaged as a result. We had a huge fire in Camberwell. It was not in my constituency but in the neighbouring constituency of the right hon. and learned Member for Camberwell and Peckham (Ms Harman). It was just a couple of years ago and there were six fatalities. It was in Lakanal house on the Sceaux Gardens estate.

We had a fire in my constituency two weeks ago. It was in a tower block—Brawne house—on the Brandon estate. Mercifully, there were no fatalities and no serious injuries. I visited the 12th floor with the local councillor and secretary of the local tenants and residents association. Sometimes there are unexpected bills, because a terrible event has occurred, and I hope that councils will not be not penalised when such disasters strike, because they need to ensure that the properties are put back into decent nick. The matter concerns not only the homes affected but the block, and the council might need to repaint or deal with fire damage or whatever. It is not right to tell a local authority that there are no circumstances in which it cannot be regarded as a special case for extra help. I am not suggesting that there should be a differential formula for special help, but occasionally there has to be special help for those who have such problems.

Decent homes work is a fantastic opportunity for enhancing local apprenticeships and skills in the local community. There should not be any local authority or local housing association-owned property where decent homes work is going on that does not engage people from the local community in apprenticeships, skills enhancement and training. I hope that that can be encouraged and that the experience is positive. I know that Southwark does it, and we could do more of it.

Colleagues have made the point that leaseholders have a huge interest in what is being done. We need a better system for consulting about works. I have twice tried to get a Bill through to improve the rights of leaseholders, otherwise the leaseholders get ridiculously high bills. Pensioners with no savings can get a bill for £27,000 for works that they never assented to. The work may include replacing windows after people have already replaced them themselves, which is nonsense. I am not aiming that point at one particular council. The City of London corporation owns estates in my constituency and has been guilty of that in the past, when I had to struggle to get the bills down.

We need to ensure that there is fairness across communities and estates as part of the decent homes programme. That is a matter for the local authority to lead. Nothing is more frustrating for tenants who have been on an estate for 30 years than seeing that blocks one, two, three and four have had all the work done and look like new builds, and then somebody says, “You can’t have anything in block five for the next five years.” Those are all matters for local management. There needs to be sensitivity about how we roll out the decent homes programme. We are at the beginning of a new Government and the decent homes programme will continue for the next four years, which is welcome.

Clive Betts Portrait Mr Betts
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The right hon. Gentleman is right that these are matters for local decisions, but they are also a matter for central Government if the first group of houses—blocks or individual houses—have been done under the first part of the programme, and suddenly central Government funding is cut, as some of my colleagues discussed earlier, perhaps before the right hon. Gentleman came in. Therefore, half the houses in the ALMO have been done, and the other half remain to be done, but then money is cut off as a result of the CSR, so it is surely a central Government rather than local government decision whether the programme continues.

Simon Hughes Portrait Simon Hughes
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I hope that we can finish the debate without falling out with the hon. Gentleman on fairly obvious political ground. The reality is that Governments allocate money for periods of years—years rather than one year—which is a good thing, because it gives certainty. The Government have chosen, as they were entitled to do, to have a four-year plan, but it has been broken down into two periods of two years each, which is the right sort of balance. I hope that Ministers will be able to show flexibility at the end of two years. That is my wish, but it will be their call.

Obviously, when we change Government, or when we have a new CSR, we will have to reassess what the public finances can afford. I have not met a single person in England who does not understand that we have to tighten our belts collectively—Government, local government and everybody else. Nobody fails to understand that point. The question is how we continue the programme that the Minister has announced and deliver it fairly. As councils make decisions about what they will do, I hope that they will seek to have fairness in their community, so that everybody feels part of the improvement programme not only for their own home, but for that community as a whole.

--- Later in debate ---
Chris Williamson Portrait Chris Williamson
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I thank the hon. Gentleman for that clarification, which I welcome, and I apologise for misunderstanding him. I was making the point that many local authorities do an excellent job and do not necessarily need an ALMO to improve the housing stock for which they are responsible.

The hon. Gentleman also pointed out that successive Governments have neglected council housing. That was probably true of the previous Administration during their first four years, but the biggest problems built up over the 18 years of the previous Conservative Administration, and the decent homes programme went a long way towards addressing the backlog of dilapidation that was created by the under-investment from 1979 to 1997. He was hopeful that all the homes that are not currently decent will be brought up to standard by the end of this Parliament. I share his hope, but it is unlikely to be fulfilled.

My hon. Friend the Member for Stockport (Ann Coffey) stressed the importance of good housing management. From my own experience of representing Derby North and as a councillor on Derby city council, I know that that is key to ensuring that people enjoy a good quality of life on their housing estate. Poor housing management can lead to a whole range of problems, and I am sure that there is cross-party agreement on that issue. My hon. Friend’s concern that the shortage of housing should be a key priority, if not the top priority, is again one that I share. However, the decision made by the Government to remove housing targets by getting rid of the regional spatial strategies will make it a more significant problem in years to come. Forcing people into the private sector is not a good way of proceeding, as my hon. Friend pointed out.

The hon. Member for Wolverhampton South West (Paul Uppal) referred to apprenticeships and to how it is a good thing to use the decent homes programme to build up jobs by offering training and opportunities through apprenticeships for people to take advantage of the investment in construction. That is another important angle, but to some extent it will be undermined by the cuts made to the decent homes programme.

My hon. Friend the Member for Lewisham East (Heidi Alexander) said that too many people still live in substandard accommodation. She spoke eloquently about the impact that that has on people’s lives, and she referred to the embarrassment and shame that people feel, because they live in substandard accommodation. It is not their fault, and we have an obligation to people to ensure that they can enjoy their home. Nobody should be forced to endure that feeling of embarrassment and shame, because of inadequate investment by their local authority and central Government. I share her belief that, in certain circumstances, demolition is the only option. In numerous examples around the country, we have seen that selective demolition has had a significant impact and improved the overall standard of the housing estate, where it has taken place. She concluded by discussing the uncertainty about whether Lewisham will be able to deliver its decent homes standard.

The right hon. Member for Bermondsey and Old Southwark (Simon Hughes) referred to authorities having to have a two-star rating. In a letter to the Chair of the Communities and Local Government Committee, the Minister said:

“To improve fairness in allocating local authority decent homes funding, we will no longer require ALMOs to have passed a housing inspection with a 2* rating”.

Hopefully the Minister will confirm that that is the case and that consequently Lewisham will be able to access the funding that it needs and deserves.

My hon. Friend the Member for Islington North (Jeremy Corbyn) made a number of important points and referred to the cuts building up problems for the future. I share my hon. Friend’s concern that it is short-sighted to make deep cuts now, because, in the long term, everyone pays a bigger price, both in human and financial terms. My hon. Friend also congratulated—I want to share in offering those congratulations—people such as caretakers, street cleaners and other public sector workers on doing an excellent job. They are all too often castigated, and they are not celebrated enough. I welcome his comments in that regard.

My hon. Friend also made an important point about high rents in the private sector, people being forced into the private sector and the problems associated with the quality of private-rented accommodation, because of inadequate regulation. The decision of the Government to impose restrictions on housing benefit is a blunt instrument, which penalises people who have, through no fault of their own, been forced to live in the private-rented sector. A better route may have been to restrict the level of rents that landlords can charge, as well as looking at restricting housing benefit. Perhaps the Minister will comment on that. It is wrong to penalise people because they are poor. This impacts not only on poorer people, but on people on middle incomes as well. He rightly pointed out the impact that poor quality housing has on health, education and general quality of life. He referred to the need for greater protection, regulation and security for people living in the rented sector.

The hon. Member for Loughborough (Nicky Morgan) referred to the danger—she repeated the point that other hon. Members have made—of the housing stock deteriorating if we do not invest appropriately. She is right to worry, and she is right to be more worried by the cuts being pushed through, ironically enough, by her own Government. Interestingly, she made the point about the need for adaptations as well. That is another area for disabled people that is extremely important. More people are living longer now, and there is a greater need for disabled facilities grants. It is another area where local authorities will struggle to meet the demand. They are already struggling, but the problem will become even more acute, because of the cuts that are being pushed through.

My hon. Friend the Member for Vauxhall (Kate Hoey) referred to the first four years of the Labour Government—I have already touched on this point—where housing was not given sufficient priority. She said that housing is the most important issue in her constituency, and she also repeated the impact of poor housing on health. She also stressed the importance of insuring that in any investment programme we secure value for money. She said that if we are not careful, there is a danger of cartels being created and the public sector not getting good value for money. We could actually get more bang for our buck, as it were, if we were to bear down more severely on that. My hon. Friend also made a good point about the use of empty homes and being more flexible, and she referred to the GLC. That is a good example to cite, and I am interested in the Minister’s remarks about it.

My hon. Friend the Member for Nottingham South (Lilian Greenwood) referred to the withdrawal of a huge PFI scheme that would have dealt with the problems in the Meadows estate. I know that area well, given that it is close to my constituency. Indeed, I had a job with Henry Boot plc as a bricklayer on the Meadows estate when it was being built, but I must say that I am not responsible for it, as I took a job on another building site.

My hon. Friend eloquently outlined the impact of the decent homes programme on her constituents. She discussed not only bricks and mortar, important though they are, but how such matters impact on the lives of ordinary people and improve the quality of their life. Indeed, she said that 80 apprenticeships have been created, and as a result of the cuts to the programme in Nottingham, fewer apprenticeships will be taken on now than would have otherwise been the case.

The right hon. Member for Bermondsey and Old Southwark said that the largest proportion of council tenants is located in his constituency. He also had the good grace to refer to the legacy of previous, progressive Labour councils going back as far as the 1920s. Those councils set an excellent standard. I share his view about ALMOs being down to a local decision. When that is appropriate and tenants want it, that is fine, but it should not be forced on them. He, too, made the point about the private rented sector and the fact that most of the overall housing stock in the country that is not up to a decent standard is in the private rented sector. Only 56% of privately rented accommodation comes up to the decent homes threshold. That matter needs urgent attention, and I hope that the Minister will deal with it in his concluding remarks.

Simon Hughes Portrait Simon Hughes
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I wonder whether the Minister will at least lodge the Select Committee’s recommendation, which the previous Government did not pick up—it might not be possible to do so immediately—that VAT changes to allow renovation and new build should be treated similarly. That could be a Government policy, because it would address the renovation backlog, including that in the private sector.

Chris Williamson Portrait Chris Williamson
- Hansard - - - Excerpts

The right hon. Gentleman makes a pertinent point with which I entirely concur. Earlier, he reiterated comments made by other hon. Members about the important of flexibility to deal with empty homes. It is important that we put on the record what a wonderful scheme the decent homes project was and note the £40 billion investment. The decent homes programme has delivered more than 700,000 new kitchens and 525,000 new bathrooms for tenants throughout the country. One million people have received new central heating systems and 750,000 people have had their homes rewired. It has certainly gone a long way to address the legacy of dilapidation that the Labour Government inherited from the previous Conservative Administration, which was in power from 1979 to 1997, and 92% of the country’s social housing stock meets the decent homes standard. It has helped to regenerate local areas, and it has particularly helped to address the problem of low demand.

The Chartered Institute of Housing has said:

“The setting of the standard, the ten-year target, the allocation of the resources and the near achievement of the target can be regarded as a major success story”.

The National Housing Federation has said that the programme has

“undoubtedly helped to raise the quality of homes benefiting millions of tenants.”

However, as hon. Members have said today and, indeed, as the recommendations from the Committee’s report point out, there is still more to do. The standard should include a minimum energy efficiency rating, which is clearly important. The backlog needs to be cleared, and there should be funding to deliver both new homes and the maintenance of and improvements to existing stock.

The think-tank for London Councils has pointed out that London Councils remains concerned about the funding shortfall to deliver the decent homes programme. As my right hon. Friend the Member for Lewisham, Deptford (Joan Ruddock) pointed out, London alone needs £2.5 billion to complete the programme, and about 10% of London’s stock is below the standard, which represents 46% of the national total. That is a major issue that clearly needs to be addressed.

In a series of letters to the Chair of the Committee, the Minister stated that

“the Government is constrained in its ability to commit to specific housing policies, including the way forward for tackling poor housing and energy efficiency.”

He went on to state in that letter, which he sent in July:

“The Government’s key priority is to devolve power from Whitehall to people, neighbourhoods, communities and…institutions”.

He also stated:

“Councils need the freedom to make the best long term decision for their housing, and it is critical that reform is able to deliver that.”

Of course, that has been done in the context of unprecedented cuts in funding for local authorities. I would be interested to hear from the Minister how he thinks councils will be able to deliver the ambition that he set out in his letter, when he is responsible for imposing huge cuts. In the letter, he also referred to the green deal. Although the green deal is welcome, it is inadequate for addressing the need for energy efficiency in people’s homes.

In a second letter, the Minister stated:

“Throughout the spending review the Government has been guided by a commitment to fairness, protecting the most vulnerable people in our society and as far as possible protecting frontline services.”

However, the reality is that the cuts are impacting disproportionately on the poorest people in society. Local authorities with the greatest needs are bearing the biggest cuts, so I wonder how the Minister can square that statement with the reality of their funding decisions.

I am running short of time, so I will conclude simply by saying that if we compare the policies being pursued by the present Government with those of my right hon. Friend the Member for Wentworth and Dearne (John Healey), when he was the Minister with responsibility for housing, hon. Members will see that he published a paper that would have enabled the decent homes programme to have been completed. His proposal would have ensured that local authorities could keep 100% of the capital receipts and would have seen an expectation that at least 75% of those receipts were reinvested in housing. That would have been a boost not only for the people living in those areas, but for the construction sector and jobs. It would have helped to deliver the Government’s stated intention of a private sector-led recovery. There are many questions that the Minister needs to answer in relation to this whole agenda because, if the ambition of a private sector-led recovery is to be realised and if the interests of tenants are to be met, the Government need to consider a significant change in direction.