§ 3.12 p.m.
§ Lord Dean of Beswick asked Her Majesty's Government:
§ What action they propose to take about the housing conditions which were highlighted in the Department of the Environment's housing condition survey 1986.
The Minister of State, Department of the Environment (The Earl of Caithness)My Lords, the English House Condition Survey showed that less than 3 per cent. of the stock now lacks basic amenities compared with 5 per cent. in 1981. The proportion of the stock which is classified as unfit has been reduced from 6.3 per cent. to 5.6 per cent. Disrepair has not increased. The results of the survey are encouraging, although we must not of course be complacent. That is why we are seeking to target resources more effectively to those areas that most need it.
§ Lord Dean of BeswickMy Lords, I am extremely grateful to the Minister for that reply. Naturally we welcome the slightly improved situation and hope that the rate of improvement continues to accelerate. However, the Minister must be aware that the National Home Improvement Council and the AMA, after reading the report, have reached the conclusion that in order to deal with the housing stock on a national basis both in the public sector and the private sector over the next ten years between £50 billion and £85 billion will need to be spent. Have the Government any plans to pump more money into housing in order to correct those deficiencies?
The Earl of CaithnessYes, my Lords. There will be considerably more money. As the noble Lord will be aware the gross provision for local authorities is up for the fourth successive year to £3,303 million for 1989–90 which is a 13.5 per cent. increase on this year.
§ Lord Dean of BeswickMy Lords, does the Minister recall that a few weeks ago I asked him a question regarding the effect of the increase in the bank rate on the house building programme? Is the Minister aware that the house building figures are now taking a downward turn and in some areas remaining static and the bank rate is having its effect? Will the Minister plead with the Chancellor of the Exchequer and dissuade him from eliminating tax relief on improvement loans and from means testing of those who apply for improvement loans? Does he not consider that that would have an extremely adverse effect on the improvement programme which I agree for a time was running extremely well?
The Earl of CaithnessMy Lords, I hope that the improvement grants to which the noble Lord refers will be revised with the approval of your Lordships' House so that the resources that we devote to them can be better targeted. That surely is the right way to use public sector finance.
§ Lord EzraMy Lords, will the Minister consider convening a conference of all appropriate bodies to 672 consider the implications of this very important survey?
The Earl of CaithnessMy Lords, a lot of people have been consulted. All those who wanted to write to the department have had every opportunity to do so. Shortly we shall be consulting the other organisation, Parliament.
The Viscount of OxfuirdMy Lords, is my noble friend the Minister aware that the survey highlights the poor condition of stock in the private rented sector? What do the Government intend to do about that?
The Earl of CaithnessMy Lords, the report shows that the private sector has had great difficulty in maintaining the quality of the stock to the standard to which we would have hoped. The Housing Act of 1988 which your Lordships helped to pass will allow the landlord to earn a reasonable return on new lettings and also contains strengthened powers for local authorities to act where properties are unfit or in serious disrepair.