§ 27. Mr. Hurdasked the Minister of Works if he will now make a statement on further changes in the licensing system, particularly a relaxation of the £100 a year free limit in building.
§ 30. Mr. F. M. Bennettasked the Minister of Works whether, in view of the increased cost of building materials and labour since the £100 limit on house repair work was introduced, he is now prepared to raise, at least proportionately, the present ceiling of £100.
§ 32. Mr. Nabarroasked the Minister of Works the present limit of licence-free building work that may be carried out by an industrial undertaking without licence or permit from his Department.
§ 42. Mr. Blackasked the Minister of Works whether he intends to renew the £100 building limit for a further period; or whether he has any alternative proposals.
§ The Minister of Works (Mr. David Eccles)I have examined carefully the possibility of increasing the free limits for building work. The potential demand for building and repair work is so great and the load on the building industry differs so much from one district to another that it has been found impossible to make a general relaxation of the licensing system at this time. I am, therefore, making an Order continuing for the 12 months from 1st July the present limit of £500 for industrial and agricultural buildings, but increasing the limit for other buildings from £100 to £200. The position will be reviewed in the autumn, and if conditions justify a change another Order will be made. In issuing licences for repair and maintenance above the free limits careful regard will be had to the load of work in the area concerned.
§ Mr. HurdWill my right hon. Friend and his colleagues take heart from the welcome that local authorities and individuals will give to this decision, and see whether it is possible to raise the free limit still further in certain districts where it would obviously be desirable and altogether practicable to do so?
§ Mr. Ellis SmithIs the Minister aware that in industrial areas which have the best housing record this decision will be received with great indignation because of the inevitable consequences; and, if he accepts that line of reasoning, will he undertake to consult local authorities in order to avoid this decision affecting the building of houses?
§ Mr. EcclesI think the hon. Gentleman is possibly wrong. The number of licences between £100 and £200 which are refused today are very few indeed. It is my view that a sufficient volume of maintenance actually helps the construction of new houses, because it enables the small and medium builder to dovetail in some maintenance work with some new construction. I hope and believe that the result of this, which is a very modest concession, will actually be that we shall get more houses than we otherwise would.
§ Mr. BlackCan my right hon. Friend indicate whether this increase in the limit, with obviously a reduction in the number of applications, will lead to a saving of manpower both in Government offices and in local authorities?
§ Mr. EcclesI hope so.
§ Mr. GibsonBefore arriving at this decision, did the Minister consult the local authorities associations who have a very wide experience of the administration of this facet of housing work; and if the permitted unlicensed limit is to be doubled, will it not inevitably entail the taking up of a great deal more of the already short building labour, and as a result seriously impinge on the house construction programme?
§ Mr. EcclesI did not consult the local authorities. [HON. MEMBERS: "Why?"] Because this question of repairs differs very much from one area to another. The facts are that the amount of underemployment in the building industry due to the financial policy the Government are 2025 pursuing is somewhat increasing—[Interruption.]Well, it was designed so to do; naturally we have to take the load off, and I have no doubt myself that this, which is a very modest increase, will not result in any decrease in house construction.
§ Mr. HoyAs his answer affects the whole country, has the right hon. Gentleman made this statement after prior consultation with and the approval of the Secretary of State for Scotland?
§ Mr. EcclesYes, Sir. I have made very careful inquiries in Scotland, and both the industry and my officers in Scotland were for this increase in the limit.
§ Mr. NabarroCan my right hon. Friend clarify one point in regard to the continued limit of £500 licence-free entitlement for industrial building? Does that figure include or exclude any maintenance licence that may be granted to an industrial undertaking?
§ Mr. EcclesThe free limit of £500 is in addition to any block maintenance licence.
§ Dr. StrossWould the Minister consider varying his directions so as to leave freedom to local authorities to accept these decisions or not according to their personal experience; and if we bring him evidence that this decision will prevent the building of houses at the speed that all parties in the House would like to see them built, will he change his mind and go back to the former position?
§ Mr. EcclesThere is flexibility as between one local authority and another in the allocation of licences over and above the free limits, and, as I indicated in my original answer, we shall vary what are called the "ceilings" as between one local authority and another on the best evidence we can get from them and from the building industry in the area of their capacity to do more work.
§ Mr. BennettWhile congratulating my right hon. Friend on his decision today, might I ask whether he would consider if some further concession might be made in the cases of individuals who have been building their own houses under the £100 free limit for some years past, and give them some further encouragement to get on with building their own houses?
§ Mr. EcclesThat is a question my hon. Friend must take up with my right hon. Friend the Minister for Housing and Local Government.