HC Deb 27 June 1988 vol 136 cc161-7

Amendment made: No. 239, in Title, line 3, after '1976', insert— `to establish a body, Housing for Wales, having functions relating to housing associations'.—[Mr. Waldegrave.]

Order for Third Reading read.

[Queen's Consent, on behalf of the Crown, and Prince of Wales's Consent, on behalf of the Duchy of Cornwall, signified.]

11.50 pm
Mr. Waldegrave

I beg to move, That the Bill be now read the Third time.

This is one of the most important of the Government's Bills and one with which I am exceedingly proud to be associated—[Interruption.] The normal squeaks and groans of a party being dragged slowly into the latter half of the 20th century are all too clearly audible from Labour Members. We have already noticed the Leader of the Opposition dragging along behind our chariot. He is already moving. In due course he will take the trouble to explain matters to some of his hon. Friends who listen with their mouths.

Everyone knows that it is a scandal that there are 500,000 or so empty properties in the private sector in Britain and that a large number of the properties are empty because of the workings of the Rent Acts, one of the other unpleasant aspects of which are the practices of the sort of person to whom the hon. Member for Walsall, North (Mr. Winnick) referred. The people about whom the hon. Gentleman bellowed are products of the legislation that the hon. Gentleman supports. In conditions of scarcity and black markets, such people are produced.

At last we are introducing a sensible measure to bring private rented accommodation back into use, to drive the bad money out with proper investment in good housing by serious investors who will manage their housing properly. That will help the mobility of labour and the homeless about whom the Labour party claim to be so full of care. It will help the young and all those who are excluded by the present failure of the housing market.

We are bringing the housing association movement into a new system whereby it will be able to borrow on the markets the money that is available to provide more social housing. That is absolutely right and is supported by all those who have thought about the matter for a moment.—[Interruption.]

The cause of all the noise and uproar from the Labour party and which has the Labour party running scared is that we will be going into some of the badly managed council estates with the housing action trusts and we will be showing the council tenants that it is possible to manage the properties properly and that there are better ways of managing housing than they are used to in boroughs such as Southwark, to which the hon. Member for Southwark and Bermondsey (Mr. Hughes) referred. After a forthright programme of improvements on arrears, that borough has managed to increase them by 35 per cent. Another campaign like that and the borough's housing bill will be enormous.

The Labour party has made the most racket and least progress in its arguments about the fact that we are giving a new right to tenants. What frightens the Labour party most is that the tenants who want to escape will be allowed to do so. That is not my phrase; it is from a paper produced in the London borough of Lambeth. It said, "If we are not careful and do not start looking after property properly, we may find the tenants escaping to housing associations." That will be satisfactory for those tenants.

I make one prediction. When the Bill has been on the statute book for a while, in spite of all the witty remarks from the hon. Member for Brent, South (Mr. Boateng), all the sedentary interventions from the hon. Member from Walsall, North, the puns from the hon. Member for Cardiff, West (Mr. Morgan) and the rest of the battery of deterrents that have been used against the Bill, the Labour party will find that there are good things about it. After a year or two, the Transport and General Workers Union will accept it and it will become Labour party policy.

The hon. Member for Nottingham, North (Mr. Allen) expressed his understandable concern about BISF houses not being designated as defective. I sympathise with him as I have similar problems with houses, though not of that design, in my constituency. I am perfectly willing to discuss the problem with him, but I do not want him to believe that we shall easily add anything to the defective housing list. There may, however, be other ways of giving help, and I should be glad to talk to him about housing investment programe allocations.

We are sending to the House of Lords—I hope for their Lordships' approval—one of the flagship Bills of this Parliament. It is a Bill of which, in the long term, the House will be exceedingly proud.

11.56 pm
Mr. Soley

The Government will regret the Bill. They are dragging housing back into the 19th century. They have forgotten that local authorities built us out of the slums of the 19th century and the housing crises after the two world wars.

The Bill has broken the consensus on housing and threatens to divide the housing association movement. It has put private tenants at risk. I warn the Government that they are putting many private tenants at risk, and they know it. They have put public tenants at risk. They have frightened them with their proposals to undermine local democracy and the way in which the voting system operates. They have made a mockery of any claims about the democratic process of giving people a right to choose a different landlord. When they first floated this idea, we said, "We do not mind tenants having a right to choose a different landlord, but if that is a right it should apply to the private sector and where there is a non-resident landlord." The argument should be about the standards of management of housing.

In the small print of the Bill one finds that there is a voting system that allows the dead to vote and allows empty properties to be counted as a vote in favour of a transfer. Need we wonder why people are angry about the Bill's proposals?

At best, the Bill is irrelevant to the housing needs of this country; at worst it is catastrophic and will create a crisis to which even this Government will have to respond.

The Government have talked about choice. What choice does a person have who is living in a cardboard box barely a few hundred yards from here? What choice have people who have been taken in as homeless by local authorities—whose number has doubled since the Government took office? What choice does a child have who spends two or three years in bed-and-breakfast accommodation? Bed-and-breakfast accommodation hardly existed in anything like its present form until the Government took office. It did not exist under previous Conservative or Labour Governments, but, by God, it exists under this Government in a far worse form than ever before.

What chance does anybody have, with the present house price inflation, to get a house that they can afford if their salary is relatively low? What chance do they have to trade up if they have had children and need a larger home? While house price inflation rockets out of control, what chance does anybody have of renting at market rents when in certain areas they are known to be at least £100 per week and rising? All that the Government can say is that they will increase housing benefit. We know that they have cut it eight times already and propose to do so again.

The Bill will be a Rachman's charter. One saw panic on Minister's faces when the business enterprise scheme was introduced by the Chancellor of the Exchequer in a desperate attempt to get more private money into the private sector, but with no safeguards worth mentioning. Just as in 1957, when the controls were taken off and Rachman emerged, so these days there has been a dramatic loss of private property. Half a million homes have gone from the private rented sector in the past eight years—more than at any other time, except for just after 1957. I sadly predict that the people will regret the Bill and ultimately, thank heavens, so will the Government. That may be one of the few good things to come from it.

12 midnight

Mr. Simon Hughes

When the numbers of the homeless in Britain were at their highest ever, the Government came to the House with a Bill that did not once mention the homeless. Since November, we have spent a long time trying to make a bad Bill a little better. There have been more amendments than the House could properly cope with on Report. The Government resisted and said, "We do not need time. It can be rushed through. It will be all right." Even now, we have only just begun to expose the weakness and feebleness of the Government's position.

For private tenants who seek security, the Government will give them less security and higher rents. For the housing association movement which wanted a guarantee of independence, free from the public sector and from the private sector, we see a Government ever more determined to push it into the private sector's arms. With housing action trusts, local authorities that are battling to deal with the needs of past and future tenants are told by the Government, "We are coming in. We shall take over what property of yours we want and, if necessary, you will pay us to do so, even if you have no say."

The Government say that they are giving council tenants a choice. The only way they can do that is by producing a voting system that does not exist even behind the iron curtain. Last Thursday, the Prime Minister naively said: I thought that we arranged that it was a majority of those voting".—[Official Report, 23 June 1988; Vol 135, c. 1257.] But the Secretary of State and the Department of the Environment had blinded the Prime Minister with their science. They have gone back on her word of last June. They have put into the Bill a provision that clearly means that people can find their property taken away from them, even though no one may have voted for that to happen.

In the year when the Budget gives to the rich, when the poll tax saves thousands of pounds on the houses of Cabinet members and when the Government's legislation screws the homeless and those dependent on social security, giving them less money, people at the bottom of the housing ladder hear the Government say, "Trust us, because we trust the market." We would rather trust people to tell us what they want. The opportunity for agreement on how we house our nation should have been taken. After the Bill, the people will be as before—two nations, the well housed and the rest—and the Government will have increased the numbers of the rest, their pain and suffering. We shall vote against this disgraceful Bill because it is a legacy of an uncaring, unsympathetic and callous Government.

Question put, That the Bill be read the Third time:—

The House divided: Ayes 231, Noes 168.

Division No. 383] [12.03 am
AYES
Aitken, Jonathan Franks, Cecil
Alexander, Richard Freeman, Roger
Alison, Rt Hon Michael Gardiner, George
Allason, Rupert Garel-Jones, Tristan
Amess, David Gill, Christopher
Arbuthnot, James Goodhart, Sir Philip
Arnold, Jacques (Gravesham) Goodlad, Alastair
Arnold, Tom (Hazel Grove) Goodson-Wickes, Dr Charles
Ashby, David Gow, Ian
Aspinwall, Jack Grant, Sir Anthony (CambsSW)
Atkins, Robert Greenway, Harry (Ealing N)
Baker, Rt Hon K. (Mole Valley) Greenway, John (Ryedale)
Baker, Nicholas (Dorset N) Gregory, Conal
Baldry, Tony Griffiths, Sir Eldon (Bury St E')
Batiste, Spencer Griffiths, Peter (Portsmouth N)
Bendall, Vivian Grist, Ian
Bennett, Nicholas (Pembroke) Ground, Patrick
Benyon, W. Grylls, Michael
Biffen, Rt Hon John Hamilton, Hon Archie (Epsom)
Boscawen, Hon Robert Hampson, Dr Keith
Boswell, Tim Hanley, Jeremy
Bottomley, Peter Hargreaves, A. (B'ham H'll Gr')
Bottomley, Mrs Virginia Hargreaves, Ken (Hyndburn)
Bowden, Gerald (Dulwich) Harris, David
Bowis, John Haselhurst, Alan
Boyson, Rt Hon Dr Sir Rhodes Hawkins, Christopher
Brandon-Bravo, Martin Hayes, Jerry
Brazier, Julian Hayward, Robert
Brooke, Rt Hon Peter Heddle, John
Brown, Michael (Brigg & Cl't's) Heseltine, Rt Hon Michael
Bruce, Ian (Dorset South) Hicks, Mrs Maureen (Wolv' NE)
Buck, Sir Antony Hicks, Robert (Cornwall SE)
Budgen, Nicholas Higgins, Rt Hon Terence L.
Burns, Simon Hind, Kenneth
Burt, Alistair Hogg, Hon Douglas (Gr'th'm)
Butcher, John Holt, Richard
Butler, Chris Hordern, Sir Peter
Butterfill, John Howarth, Alan (Strat'd-on-A)
Carlisle, Kenneth (Lincoln) Howell, Rt Hon David (G'dford)
Carrington, Matthew Hughes, Robert G. (Harrow W)
Carttiss, Michael Hunt, David (Wirral W)
Chalker, Rt Hon Mrs Lynda Hunter, Andrew
Channon, Rt Hon Paul Irvine, Michael
Chope, Christopher Jack, Michael
Clark, Hon Alan (Plym'th S'n) Janman, Tim
Clark, Dr Michael (Rochford) Jones, Gwilym (Cardiff N)
Clarke, Rt Hon K. (Rushcliffe) Jones, Robert B (Herts W)
Colvin, Michael Jopling, Rt Hon Michael
Coombs, Anthony (Wyre F'rest) Kellett-Bowman, Dame Elaine
Cope, Rt Hon John Key, Robert
Couchman, James King, Roger (B'ham N'thfield)
Cran, James Knowles, Michael
Currie, Mrs Edwina Latham, Michael
Curry, David Lawrence, Ivan
Davies, Q. (Stamf'd & Spald'g) Lennox-Boyd, Hon Mark
Davis, David (Boothferry) Lloyd, Sir Ian (Havant)
Day, Stephen Maclean, David
Devlin, Tim Meyer, Sir Anthony
Dickens, Geoffrey Miscampbell, Norman
Dicks, Terry Moate, Roger
Dorrell, Stephen Morris, M (N'hampton S)
Douglas-Hamilton, Lord James Neale, Gerrard
Dover, Den Nelson, Anthony
Durant, Tony Neubert, Michael
Dykes, Hugh Nicholls, Patrick
Eggar, Tim Nicholson, David (Taunton)
Emery, Sir Peter Nicholson, Emma (Devon West)
Evans, David (Welwyn Hatf'd) Onslow, Rt Hon Cranley
Evennett, David Page, Richard
Fallon, Michael Paice, James
Farr, Sir John Parkinson, Rt Hon Cecil
Favell, Tony Patnick, Irvine
Field, Barry (Isle of Wight) Patten, Chris (Bath)
Fookes, Miss Janet Patten, John (Oxford W)
Forman, Nigel Pawsey, James
Forsyth, Michael (Stirling) Peacock, Mrs Elizabeth
Forth, Eric Porter, Barry (Wirral S)
Porter, David (Waveney) Taylor, Ian (Esher)
Portillo, Michael Taylor, John M (Solihull)
Price, Sir David Taylor, Teddy (S'end E)
Raffan, Keith Tebbit, Rt Hon Norman
Raison, Rt Hon Timothy Temple-Morris, Peter
Redwood, John Thompson, Patrick (Norwich N)
Rhodes James, Robert Thorne, Neil
Riddick, Graham Thornton, Malcolm
Ridley, Rt Hon Nicholas Thurnham, Peter
Roberts, Wyn (Conwy) Townend, John (Bridlington)
Roe, Mrs Marion Tracey, Richard
Rost, Peter Tredinnick, David
Rumbold, Mrs Angela Trippier, David
Ryder, Richard Twinn, Dr Ian
Sackville, Hon Tom Vaughan, Sir Gerard
Sainsbury, Hon Tim Waddington, Rt Hon David
Sayeed, Jonathan Wakeham, Rt Hon John
Scott, Nicholas Waldegrave, Hon William
Shaw, David (Dover) Walden, George
Shaw, Sir Giles (Pudsey) Waller, Gary
Shaw, Sir Michael (Scarb') Wardle, Charles (Bexhill)
Shephard, Mrs G. (Norfolk SW) Warren, Kenneth
Shepherd, Colin (Hereford) Watts, John
Shersby, Michael Wells, Bowen
Sims, Roger Wheeler, John
Skeet, Sir Trevor Whitney, Ray
Smith, Tim (Beaconsfield) Widdecombe, Ann
Soames, Hon Nicholas Wiggin, Jerry
Speller, Tony Wilkinson, John
Spicer, Sir Jim (Dorset W) Winterton, Mrs Ann
Spicer, Michael (S Worcs) Winterton, Nicholas
Squire, Robin Wolfson, Mark
Stanbrook, Ivor Wood, Timothy
Steen, Anthony Woodcock, Mike
Stern, Michael Young, Sir George (Acton)
Stevens, Lewis Younger, Rt Hon George
Stewart, Andy (Sherwood)
Stewart, Ian (Hertfordshire N) Tellers for the Ayes:
Stokes, Sir John Mr. David Lightbown and Mr. Peter Lloyd.
Stradling Thomas, Sir John
Summerson, Hugo
NOES
Abbott, Ms Diane Cousins, Jim
Adams, Allen (Paisley N) Crowther, Stan
Allen, Graham Cryer, Bob
Alton, David Cunliffe, Lawrence
Archer, Rt Hon Peter Dalyell, Tam
Armstrong, Hilary Davies, Ron (Caerphilly)
Ashley, Rt Hon Jack Dixon, Don
Ashton, Joe Dobson, Frank
Banks, Tony (Newham NW) Doran, Frank
Barnes, Harry (Derbyshire NE) Dunnachie, Jimmy
Battle, John Dunwoody, Hon Mrs Gwyneth
Beckett, Margaret Eastham, Ken
Beith, A. J. Evans, John (St Helens N)
Bennett, A. F. (D'nt'n & R'dish) Ewing, Mrs Margaret (Moray)
Bermingham, Gerald Field, Frank (Birkenhead)
Bidwell, Sydney Fields, Terry (L'pool B G'n)
Blair, Tony Fisher, Mark
Blunkett, David Flannery, Martin
Boateng, Paul Foot, Rt Hon Michael
Boyes, Roland Foster, Derek
Bradley, Keith Foulkes, George
Bray, Dr Jeremy Fraser, John
Brown, Nicholas (Newcastle E) Fyfe, Maria
Buchan, Norman Garrett, John (Norwich South)
Caborn, Richard George, Bruce
Callaghan, Jim Gilbert, Rt Hon Dr John
Campbell, Menzies (Fife NE) Gordon, Mildred
Cartwright, John Gould, Bryan
Clark, Dr David (S Shields) Graham, Thomas
Clarke, Tom (Monklands W) Grant, Bernie (Tottenham)
Clay, Bob Griffiths, Nigel (Edinburgh S)
Clelland, David Griffiths, Win (Bridgend)
Clwyd, Mrs Ann Grocott, Bruce
Cohen, Harry Harman, Ms Harriet
Cook, Frank (Stockton N) Healey, Rt Hon Denis
Corbett, Robin Heffer, Eric S.
Corbyn, Jeremy Henderson, Doug
Hinchliffe, David O'Neill, Martin
Hogg, N. (C'nauld & Kilsyth) Orme, Rt Hon Stanley
Holland, Stuart Patchett, Terry
Hood, Jimmy Pendry, Tom
Howarth, George (Knowsley N) Pike, Peter L.
Howell, Rt Hon D. (S'heath) Powell, Ray (Ogmore)
Howells, Geraint Primarolo, Dawn
Hughes, John (Coventry NE) Quin, Ms Joyce
Hughes, Sean (Knowsley S) Radice, Giles
Hughes, Simon (Southwark) Randall, Stuart
Janner, Greville Reid, Dr John
Jones, Ieuan (Ynys Môn) Richardson, Jo
Kaufman, Rt Hon Gerald Robinson, Geoffrey
Kirkwood, Archy Rogers, Allan
Leadbitter, Ted Rooker, Jeff
Leighton, Ron Ross, Ernie (Dundee W)
Lestor, Joan (Eccles) Rowlands, Ted
Lewis, Terry Sedgemore, Brian
Livsey, Richard Sheldon, Rt Hon Robert
Lloyd, Tony (Stretford) Shore, Rt Hon Peter
Lofthouse, Geoffrey Short, Clare
McAllion, John Skinner, Dennis
McAvoy, Thomas Smith, Andrew (Oxford E)
McCartney, Ian Smith, C. (Isl'ton & F'bury)
Macdonald, Calum A. Soley, Clive
McFall, John Spearing, Nigel
McKelvey, William Steel, Rt Hon David
McLeish, Henry Steinberg, Gerry
Madden, Max Stott, Roger
Mahon, Mrs Alice Straw, Jack
Marshall, Jim (Leicester S) Turner, Dennis
Martlew, Eric Vaz, Keith
Maxton, John Wall, Pat
Meacher, Michael Wallace, James
Meale, Alan Wardell, Gareth (Gower)
Michael, Alun Wareing, Robert N.
Michie, Bill (Sheffield Heeley) Wigley, Dafydd
Michie, Mrs Ray (Arg'l & Bute) Williams, Rt Hon Alan
Millan, Rt Hon Bruce Williams, Alan W. (Carm'then)
Mitchell, Austin (G't Grimsby) Wilson, Brian
Moonie, Dr Lewis Winnick, David
Morgan, Rhodri Wise, Mrs Audrey
Morley, Elliott Worthington, Tony
Morris, Rt Hon J. (Aberavon) Wray, Jimmy
Mowlam, Marjorie Young, David (Bolton SE)
Mullin, Chris
Murphy, Paul Tellers for the Noes:
Nellist, Dave Mr. Frank Haynes and Mrs. Llin Golding.
O'Brien, William

Question accordingly agreed to.

Bill read the Third time, and passed.