§ Mr. LoveTo ask the Deputy Prime Minister (1) what his Department is doing to stimulate investment in the private rented sector to boost affordable housing options; and if he will make a statement; [186108]
(2) what discussions his Department is having with the investment and regulatory housing sector in relation to delivering affordable privately rented accommodation; and if he will make a statement; [186128]
(3) if he will make a statement on his Department's work on the (a) planning and (b) production of affordable rental housing. [186129]
§ Keith HillThe Office of the Deputy Prime Minister set out a radical reform programme in our "Sustainable Communities Plan", which was published on 5 February 2003, to increase the provision of affordable housing, including through increased investment, improvements to the planning system and the establishment of four growth areas to provide an additional 200,000 homes. As a result of the Spending Review announced last week, the Government will more than double spending on new affordable housing since 1997 up to £2.25 billion. This funding will provide an extra 10,000 social rented homes a year by 2008—a 50 per cent. increase—to help tackle homelessness.
The private rented sector also has an important role to play in providing affordable accommodation for those who cannot afford to buy their own homes, the growingnumber of students and single person households. The sector offers a flexible form of tenure to young professionals. It contributes to greater labour market mobility, the efficient functioning of the housing market and to the success of the wider economy.
The Government believe that there is scope for the private rented sector to make a bigger contribution to meeting individuals' housing needs. The Office of the Deputy Prime Minister is seeking to encourage this including through consultation on the promotion of investment in commercial property and the private rented sector by removing the tax disadvantages currently faced by institutions. In addition, the Housing Bill seeks to raise quality, especially of management, in some of the worst parts of the private rented sector, where the most vulnerable members of society frequently bear the brunt of some of the poorest conditions and services.
The Office of the Deputy Prime Ministers proposed update to Planning Policy Guidance Note No. 3 (PPG3) titled "Influencing the size, type and affordability of housing", due to be published in October 2004, includes the requirement that local planning authorities should address the housing requirements of the whole community by ensuring a better match between a community's housing needs and supply. It requires that all local planning authorities must have policies on affordable housing to help deliver affordable housing where it is needed. Local authorities are increasingly looking to the private rented sector as a means of meeting housing need.