HC Deb 05 April 1989 vol 150 cc176-7
2. Mr. Nicholas Bennett

To ask the Secretary of State for Scotland if he will make a statement on the sale of council properties and any further measures he proposes to introduce to encourage tenants to buy their council properties.

The Secretary of State for Scotland (Mr. Malcolm Rifkind)

Since April 1979 nearly 150,000 public sector houses in Scotland have been sold to sitting tenants. The Government keep under review the possibility of improving the opportunities for tenants to own their own homes.

Mr. Bennett

I welcome the increase in the number of owner-occupied houses in Scotland, but does my right hon. and learned Friend agree that the fact that only 44 per cent. of the population of Scotland own their own homes means that fewer people in Scotland have real financial independence? Will he do all that he can to increase the level to that in England and Wales?

Mr. Rifkind

The proportion in Scotland has increased from 31 per cent. to about 44 per cent. I am pleased to say that the level of interest in acquiring public sector homes is higher than ever, so Scotland is likely to approach a level comparable with the rest of the United Kingdom and other parts of western Europe in the not too distant future.

Mr. Lambie

If the right hon. and learned Gentleman really wishes to encourage tenants to purchase council property, why does he not take the advice of the Adam Smith Institute and increase the percentage rebate from 70 per cent. to 100 per cent?

Mr. Rifkind

I am as fascinated as I am sure the Adam Smith Institute will be to welcome the hon. Gentleman as a recruit to its cause. I sometimes find myself unable to be as enthusiastic as the hon. Gentleman clearly is about giving tenants extra rights to purchase their homes, which makes me slightly embarrassed about my position. In all seriousness, a concept of 100 per cent. rebates, which in practice means giving the houses away, has certain fundamental objections. Home ownership should be not only a right but a responsibility. [HON. MEMBERS: "Ah!"] It has never been part of the Government's objective to impose home ownership upon those who could not afford to maintain their homes. The fact that many tenants make no contribution to their rent due to housing benefit should be taken into account. If the hon. Gentleman is arguing otherwise, I may have to think again.

Mr. Ernie Ross

What concern does the Secretary of State feel about the spate of panic buying that has broken out as a result of the changes in the forms of tenancy for council tenants—the "pick a landlord" scheme? Is he not concerned that many council house tenants are taking on a burden that they will be unable to bear in future, particularly with the massive increase in mortgage interest rates for which his Government are responsible?

Mr. Rifkind

By its irresponsible scaremongering, the Labour party has been partly responsible for the tremendous boost in applications to buy public sector houses.

Mr. Marlow

Would there not be some advantage in these matters being decided totally in Scotland in accordance with an amended version of the Scotland Bill proposed by Opposition Members—the amendment being that if Scotland were to decide its own housing policy, we would need no Scottish Members in this House to decide housing policy in England?

Mr. Rifkind

That is as may be, though some of us might not agree with my hon. Friend. This is proving to be a fascinating day. My hon. Friend the Member for Northampton, North (Mr. Marlow) is apparently in favour of Scotland's independence while the hon. Member for Cunninghame, South (Mr. Lambie) seems to be in favour of council house sales.