Local Authority Housing (Hansard, 31 October 2000)

§ 10. Dr. Brian Iddon (Bolton, South-East)
What role tenants will play in deciding the future of local authority housing. [133310]

§ The Minister for Housing and Planning (Mr. Nick Raynsford)
Tenants should be fully involved in making decisions on the future of their homes. The introduction of best value and tenant participation compacts will ensure that they are fully involved in reviewing and developing options for future investment in housing.

§ Dr. Iddon
I thank my hon. Friend for that answer. On this issue, there is obviously clear blue water between the Government's policies and those of the Conservatives, who would flog off all local authority stock with little 603 consultation with tenants. When my hon. Friend consults local authority tenants on the options in the recent housing Green Paper, will there be a level playing field?

§ Mr. Raynsford
The answer is yes. We have made it clear that local authorities and local authority tenants have a range of options to consider, including the new proposal for arm's-length companies and the possibility of investment through the private finance initiative, as well as the possibility of stock transfer. I know that my hon. Friend and his local authority have been exploring variations on those models with a community regeneration company in Bolton. I congratulate him and his authority on those discussions, and particularly on the fact that the Bolton Association of Tenants and Residents Associations—BATRA—has been fully involved. That, by contrast with the policies pursued by the Conservative party, is a model of the way in which the Labour party believes tenants should be involved.

§ Sir Sydney Chapman (Chipping Barnet)
Does the Minister recall the Secretary of State, who is also the Deputy Prime Minister, saying that "in the wake" of a Labour Government—I am sure that that phrase is appropriate—he wanted to see the return of council house building, and promised 100,000 council houses every year? Will he now admit that the Government have done a U-turn and adopted the Conservative policy of taking council housing stock out of local authority control?

§ Mr. Raynsford
No, I will not. The Government have set a highly ambitious programme to deal with the entire backlog of substandard council housing within 10 years, which gives everyone living in council housing the prospect of having a decent home within that time. That is a major change from the previous position. We have said that it is up to tenants and local authorities to explore a range of options for the future of the housing stock. Some will pursue the option of stock transfer, and some will want to keep the property in council ownership and improve it, using the new arrangements that the Government have put in place. That is entirely in line with the principles of the housing Green Paper, which was entitled "Quality and choice: A decent home for all". It is precisely quality and choice that we are pursuing for public sector housing.

§ Mr. Bill O'Brien (Normanton)
I welcome my hon. Friend's statement that council house tenants will have a role in determining their destiny. Will he also take into consideration the fact that resources are needed to replace metal frame windows and improve bathrooms and kitchens? He noted the point that was made earlier, but will he give further consideration to providing resources to make sure that we can improve our council houses and bring them up to 21st-century standards?

§ Mr. Raynsford
My hon. Friend makes a valid point. I can assure him that through the spending review, we have secured continued substantial increases in resources to enable local authorities to improve their housing stock, and to allow an increased supply of new, affordable housing to be built. I can also tell my hon. Friend that from next April we are introducing the major repairs allowance, which will for the first time give local authorities a proper basis for the maintenance of their 604 housing stock, to stop the deterioration that was such a lamentable characteristic of council housing under the previous Government.

§ Mr. Tony Baldry (Banbury)
The Minister knows that many tenants have already voted to transfer to housing associations, such as Banbury Homes in my constituency. Those housing associations have agreed and settled business plans with the Housing Corporation. Will the Minister give an undertaking that those business plans will be honoured?

§ Mr. Raynsford
The hon. Gentleman is referring, I think, to the proposals for rent restructuring in the Green Paper. They are designed to ensure a more coherent framework in future for the rents that apply both to registered social landlords and to local authorities. We have had productive and detailed discussions with registered social landlords and other interested parties about the impact of the rent restructuring proposals, and I am pleased to say that they have been carried forward in a constructive spirit of seeking to achieve the Government's objective, to which everyone subscribes, and at the same time safeguarding the viability of RSLs.
I have several times given assurances that it is not our intention to threaten the viability of organisations that have entered into plans for the future based on long-term financial arrangements. It is certainly our intention to see that their future is secured.