From The House Magazine: Andrew George MP: Constituency postbag: Fairness in housing

Andrew George MP Campiagning for Affordable Housing

“Seek out the silent voices.” Paul Flynn’s wise advice – one of his ‘ten commandments’ when he signed off his Constituency Postbag feature in these pages last week – is an appropriate place for me to begin mine.

When I was first elected in 1997, thousands of hardworking families across the West Cornwall and Isles of Scilly constituency were living in overcrowded, extortionately priced, insecure and often substandard accommodation – if indeed they had anywhere to live. They suffered in silence and seemed to have no voice at all.

Whilst they struggled to pay their rent – and council tax, if they had a home of their own – the wealthy who had bought up the most desirable homes had been given favourable tax advantages by the outgoing Conservative government. This included a 50 per cent council tax discount, paid for by all other taxpayers.

Everyone was silent about this, mainly because they were not aware of it. I found, when I was elected, that other MPs overlooked saying anything about it, because most of them had a second home. So no-one rocked the boat.

Up to £200m a year of taxpayers’ money was being used to subsidise the wealthy to have their second homes, while thousands of local families in desperate housing need could not afford their first.

Having spent many months ploughing a lone furrow in Parliament, raising questions and pressing ministers, I called an Adjournment debate in the newly created Westminster Hall on 9 February 2000 (vol. 344, col. 105-112WH). Local government minister, Chris Mullin, replied.

I set out the case; highlighted the evident injustice of the situation; and catalogued the extremely disappointing and, as I put it, ‘complacent’ responses I had from a string of ministers before he arrived in his post.

In normal circumstances, ministers are expected to fill the available time in response with creative waffle (usually pre-written by civil servants practised in the art of conceding nothing), and to win their spurs with an elegant fob-off. For me, it was a war of attrition. If I failed again this time, I would be back again. Nothing would stop me.

Perhaps acknowledging this, Chris demonstrated an independence of mind which confirmed his reputation as a minister definitely not destined for high office. In his concluding remarks he told me: “The hon. Gentleman said that he had received a rather complacent response from the government, and, indeed, I have here a rather complacent response, which I will not read out. I am willing to follow up the point in my department. Perhaps we can discuss it later.”

Of course, the delivery of the legislation to remove the bulk of the council tax discount, and the agreement in Cornwall that the proceeds of the additional money would go towards new affordable homes for local families, didn’t happen immediately. However, it was with particular pride that I was able to hand over the first keys to the first home built with the proceeds of the second home council tax money, in December 2004, to Holly Moyle and her daughter in Goldsithney, near Penzance. Many more have been built since, and there’s still more to do.

Housing remains a major issue in my constituency postbag. The more you achieve for the ‘silent voices’, the more they seem, happily, to find their voice.

Amongst these cases have been the many families whom local authorities had told should not leave their homes when their private landlord gave them notice to quit, nor when the courts granted the landlord a possession order, because the council would deem them ‘intentionally homeless’, and therefore not eligible to be rehoused! A sharp intervention in 2007 from the housing minister, Yvette Cooper, clarified the matter, for the avoidance of doubt.

Like other MPs I’ve had to challenge the very significant discrepancy between the actual rental levels in West Cornwall and the maximum available housing benefit. On other occasions, the housing benefit service has seriously failed constituents who experience irregular work and income patterns and who have therefore found themselves in serious arrears with their landlords.

This raises another related point about the sometimes disturbing intimidation of very vulnerable people and families by landlords and agents. Mr and Mrs Trefusis (not their real names) and their sickly six-month-old baby daughter who live in a very cramped, damp bedsit at the top of a long flight of stairs in St Ives, were left in serious arrears earlier this year. They received a volley of intimidatory letters from their agent, one of which added the words: “You must clear your arrears this week. I’ve secured a possession order. I warned you before. I’m told it’s very cold on the streets right now…”

This bullying towards some of the most vulnerable cannot be permitted to go on. Is there another Chris Mullin out there prepared to listen?

From The House Magazine

Vulnerable Families Evicted in Government’s Housing Benefit Experiment

News which emerged at the weekend that the Government had ignored official advice that 20,000 families could be made homeless as a result of housing benefit changes has provoked West Cornwall MP, Andrew George, to remind Ministers of the risks they are taking with vulnerable families and the need to have contingencies in place and to keep the situation under close review.

Mr George called a debate in the autumn last year – Vulnerable People (CSR) (9th November 2010) – in which he outlined many of the risks and called upon the Government to keep the policy under review.

Changes were introduced in April this year. Mr George said, “We knew that the Government were using low income housing benefit recipients as pawns in their experiment to drive down rents, and hence the housing benefit budget. The latest disclosures show that they knew what the costs would be in terms of families evicted and made homeless.

“The problem in places like Cornwall is that many landlords have alternative options including the holiday trade and are unlikely to reduce rents to the level at which housing benefit is set. Many families will not be able to meet the shortfall, will get behind with their rent, default and then face eviction.

“Government Ministers should have paid heed to the official warning that 20,000 vulnerable families could face eviction and ultimately homelessness as a result of this measure. Contingency plans are needed.”

 

Cornish MPs Urge Government to Cancel Failed Housing Strategy

Following the announcement that Government plans to build over 70,000 new houses in Cornwall in the next 20 years have been put on hold, Cornwall’s MPs are urging the Government to scrap their targets and instead focus on the delivery of affordable homes. The Government’s proposals are contained in the Regional Spatial Strategy (RSS) for the South West which is the development plan for the region for the next 20 years. It sets out how many homes the Government believes should be built in Cornwall by 2026. The RSS, which requires a signature from the Secretary of State, was already delayed after more than 35,000 representations were made, the largest ever for such a consultation. However, the most recent delay was announced after a High Court ruling was made regarding the RSS for the East of England, which judges said failed to meet EU rules.

The five Liberal Democrat Cornish MPs have been campaigning against the RSS urging the Government to abandon their top down plans to force high numbers of unaffordable new properties on Cornwall and adopt instead a locally led strategy to concentrate on providing homes for those local people in the greatest need. They argue that for the last 40 years, Cornwall has been one of the fastest growing places in the UK (exceeded only by Buckinghamshire and Cambridgeshire). In that time, Cornwall’s housing stock has more than doubled.

In spite of this, Cornwall’s housing problems have got worse. The Cornish MPs have urged the Government to give Cornwall greater freedom to set its own housing strategy rather than to have house building targets dictated from Whitehall.

“It’s a straight choice,” says Andrew George MP. “Either Cornwall remains powerless to resist our countryside being swamped as it is turned into a developer’s paradise. Or we are given the power to meet local housing need first.

“The excessive building of unaffordable homes over the last forty years is part of the problem, not the solution. While the Government’s master plan lies in a persistent vegetative state, Ministers should give Cornish communities the right to give the priority to meet local housing need, whilst resisting developments which fail to help meet that need.”

North Cornwall MP Dan Rogerson agrees: “The many unfinished housing developments in Cornwall demonstrate well that designing projects without the local market in mind is bad for everyone. Developers’ persistent pursuit of the second and holiday home market has resulted in there being blocks of unsaleable luxury properties in areas like Newquay but a serious shortage of affordable housing for local people who need it.

“The Government’s housing targets have done nothing to help. It’s their reliance on the downward pressure of ministerial tick boxes and distrust of communities to pressure councils for more affordable housing, which has put us into this dire situation. What makes them think a Council with 17,000 people on the waiting list would refuse to build affordable housing, if only they were given the funds and the freedom to do so?

“Despite Government targets, the construction industry is in crisis and people are still searching high and low for adequate places to live. Ministers should admit that the principle and the process of deciding a vast ‘regional’ spatial strategy has failed miserably, and give Cornwall the cash and choice to solve our own local housing problems.”

 

Affordable Homes Must Be Top Priority – George

This article was originally posted on 14.06.2010.

Local MP, Andrew George, will speak at a House of Commons event this afternoon where he will call on the Government to make sure that housing need is given the highest priority.??

The event organised by the National Housing Federation (the national grouping of housing associations) has been given much publicity over the weekend as the Federation has warned the Government that its combination of financial cutbacks and changes to the planning system could be “catastrophic” for those seeking affordable homes. They have warned that house building in Britain will “fall off a cliff” this year.??

However, Mr George who will speak at the event with the Federation’s Chief Executive – David Orr – and former Housing Minister – Rt. Hon Nick Raynsford MP (Labour) – will argue that strong planning controls are necessary to meet affordable need.??

Mr George, who led a housing debate in the Commons last week, said:??“The Government was right to end the top-down imposition of high housing numbers through the Regional Spatial Strategy and to give local authorities the power to make those decisions themselves. Cornwall is a classic example which proves that that approach does not work.??

“Cornwall’s housing stock has more than doubled in the last 40 years. In fact it is one of the fastest growing places in the UK. Even so, over that time, the housing problems of local people have got worse. Therefore, simply building tens of thousands of more homes is not always the answer. It is also a question of what kind of housing you build and where. Turning places like Cornwall into a developers’ paradise has not helped local people in need.??

“Restricting housing development in many areas to just developments which will meet a local need in perpetuity will bring land prices down and deliver more affordable homes. The Government must give local authorities the tools to deliver affordable homes rather than coming up with high house building numbers which increase the ‘hope value’ on virtually every piece of potential development land.”

 

Victory! “Green light” For Affordable Housing

Originally posted July 20th 2009

Andrew George welcomes a campaign victory, with the announcement at the weekend by the Housing Minister, Rt. Hon John Healey MP,  that Cornwall has been awarded additional funds for affordable housing.

Mr George recently raised the issue of affordable housing at Prime Minister’s Questions in the Houses of Parliament, but expressed concern that the new affordable homes for rent needed, primarily, to be at least 3 bedroom properties as there is currently a serious shortage of overcrowding of families in one and two bedroom properties. He also called upon the Government to do a great deal more with the Council of Mortgage Lenders to free up shared equity housing from what he described as the unreasonable restrictions placed on occupants by mortgage lenders.

A market Open to All …Except Local People

Please note: This article was originally posted on 11/12/06

AN ARTICLE FOR THE HOUSE MAGAZINE

It is almost as if the housing market operated in spite of the existence of local people on local wages in my West Cornwall and Isles of Scilly constituency.

I have recently published an estate agents survey report. It shows that during the last year, across my constituency, of all properties sold five times as many have gone to second home buyers as to first time buyers. Indeed, in some parts of my constituency, estate agents told me that 65% of all properties sold went to second home buyers and 0% to first time buyers.

I am really not interested nor motivated by the “politics of envy”. I really wouldn’t care whether people own hundreds of homes for their recreation and investment, if their endeavour or talent means that they are rich enough to do so. But I don’t think that this should simply be allowed to happen if there are not enough “first homes” to go around.

Indeed, I always argued strongly against a council tax system set up under the Conservatives in the early 90s which permitted a 50% council tax rebate for second home owners. Hundreds of millions of pounds of taxpayers money were used to subsidise the wealthy to buy their second homes through this tax subsidy while many thousands of local folk on local incomes in these areas of second home ownership could not afford their first home.

Such high levels of second home purchases not only have the effect of dictating market conditions and severely skewing affordability, but also creates villages which make it very difficult to sustain a community infrastructure – schools, shops, post offices, village halls and the best of village life. Indeed, it is no accident that in those areas with very high second home ownership within my constituency, school roles are at an all time low as local families with young children can no longer afford to live in those villages. Threats to the future viability of local schools is high on the agenda.

And local authorities cannot simply build their way out of our present housing problems. Cornwall is a classic example where simply building more homes does not provide a solution.

Cornwall itself has developed at a breathtaking rate since the early 1960s. The number of homes has more than doubled from 110,000 in 1961 to 228,000 now. Yet during that time, despite this phenomenal growth in the availability and supply of new housing, the problems of local people on local incomes has become far more acute. Lack of affordable housing is, without question, the most serious social problem affecting this part of the country – and we are an area with the lowest incomes in the country and with many other problems of poverty and high cost of living.

Added to this, many people are amazed to learn that, in my constituency, we have two districts (Kerrier and Penwith) with amongst the highest levels of population density in any rural local authority in the country. Therefore, appropriate and developable land is scarce and it is a bone-headed crime to see that so much of it is being used simply to feed the developers desire to build more unaffordable executive style homes way out of the reach of local people.

Unfortunately, the planning system is fuelled by greed rather than by need and it is time for a Government to give local authorities the genuine tools to better control their own destiny rather than to be turned into a developers paradise – as much of Cornwall has become.

Added to this, the Government can give local authorities powers to better control second home ownership thus improving the opportunities for local people.

One method would be that of changing the Use Class Order so that second home purchasers would need to apply for a “Change of Use” from the local planning authority and planning authorities would be given the power to constrain either the numbers or proportion of second homes as set out in their Local Development Frameworks.

Another mechanism to discourage second home purchases would be through either the granting of permissions to local authorities to increase Capital Gains Tax income from second properties or by applying such a rule nationally.

Cornish people are relatively stoical. Frankly, I am amazed that they have remained as good natured and stoical as they have in circumstances where many thousands of local families live in completely unacceptable housing situations at the same time as many of the most attractive homes, once occupied by their ancestors, lie empty or idle for the majority of the year.

In present circumstances, doing nothing is no longer an option.

Andrew George MP 11th December 2006