Education and Local Government

Part of the debate – in the House of Commons at 3:04 pm on 14 January 2020.

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Photo of Clive Betts Clive Betts Labour, Sheffield South East 3:04, 14 January 2020

Thank you, Mr Deputy Speaker. It is good to see you in your rightful place again, in the Chair.

I make no apology for saying that I want to be a champion for local government in this Parliament. Over the past 10 years, local government has had bigger cuts than any other part of the public sector. When we come to the comprehensive spending review, it cannot simply be about rearranging the amount of money as part of some fair funding settlement; it must actually put more money into local councils so that they can deliver the services that our communities want and need.

With a time limit rule, I had thought that I would not be able to stand again as Chair of the Housing, Communities and Local Government Committee, but I understand the Government might be thinking about removing the time limit. If so, and if the House supports it, I will probably allow my name to be put forward again.

There are things in the Queen’s Speech with which I do not necessarily agree. If the Labour party were in government, I am sure we would have done things differently, but my approach to life as a Select Committee Chair was to try to find areas where we can reach agreement and encourage, prod and enthuse the Government into going further than they might want to. I will briefly mention three areas.

First, on devolution, I welcome the Government’s commitment to levelling up the powers of the Mayors of the combined authorities. I hope the Government might do more and give them all more powers, particularly on skills, training and transport. Those Departments probably have not been as enthusiastic about devolution as others have been.

I would also like the Government to address two other matters in the White Paper. Mayoral combined authorities probably should be rolled out in other areas, but devolution, if it is to work properly in this country, has to be devolution to all councils in all places, not just to those in combined authorities. I hope the Government will seriously consider that. They were going to do it with their 100% business rate retention policy, but it was dropped when we went to 75% retention.

The other key issue is: how can we allow local authorities to raise more of their own funds, rather than simply having more power to spend the money that is handed out to them? We have the most centralised system of local government funding anywhere in Europe, and that needs to change.

Secondly, the Government are offering an all-party approach to social care, which I welcome. The Housing, Communities and Local Government Committee and the Health and Social Care Committee produced a unanimous report in the last Parliament, with 22 MPs from both sides of the House recommending a social care premium and a percentage of inheritance tax as a way of funding social care. The report has been lying around for 18 months. We have a blueprint to get on with it. Germany did it 30 years ago in a cross-party, consensual way, and it has worked there, with the public generally supporting it. I hope there will be a genuine attempt by both Front Benches to reach cross-party agreement. It is on both sides to take this forward in a consensual way.

Finally, I generally welcome the promises on housing, but obviously there are big challenges. The first is the abolition of section 21 evictions. We know that evictions from private sector housing are a major cause of home- lessness in this country. The Housing, Communities and Local Government Committee’s inquiry into homelessness identified that as a problem.

Equally, if we are to abolish section 21 evictions, we need to think about how we deal with rent increases without having an overbearing rent control regime. That is a big challenge, and it might be something the Select Committee will want to consider. We recognise the good intention, but we want to know how it will be delivered in practice.

At the same time, we want to see legislation on housing courts so that there is an easier way for landlords to evict tenants who simply do not pay their rent. Landlords normally wait for the section 21 time to elapse before doing it, but if section 21 is not available, landlords need to have those powers. It is recognised in the Queen’s Speech, but we need a timetable for that to come into effect.

Another issue is how we deal with the problems of leases. Reference was made to a draft Bill at Question Time yesterday, and I think that is probably the right way forward. I know it will take a bit longer, but there are some real challenges, not about how we stop leases on new houses and deal with the unfairness of leases on new flats, but about how we tackle the problems of existing leases, including the unfairness in how some of them have been sold, the unfair service charges and the difficulties people have in buying their freehold. The Select Committee’s report recommended action on all those challenges. It is much more difficult to deal with existing leases, and a draft Bill is therefore probably the right way forward to try to make sure that we get all the nuances and the details correct. Hopefully we can also do that on a cross-party basis.

Finally, on the issue of cladding, there is a building safety Bill in the Queen’s Speech to implement the recommendations of the Grenfell inquiry and the Hackitt report, on which the Select Committee has had various hearings. There is still a challenge. The Government have put money in to deal with ACM—aluminium composite material—cladding, but there are still too many properties where, because of disputes between freeholders and leaseholders, the cladding has not been removed. The Government need to put their weight behind getting that work carried out.

The second issue to address is what to do about other forms of cladding, such as zinc cladding and high-pressure laminate cladding, which many experts believe are as dangerous as ACM cladding. Although they will not be allowed on new buildings, they are still on existing buildings. Where leaseholders have this on their homes, they often find that they cannot sell those homes and are stuck in them. That is a real problem and the Government need to undertake a more comprehensive review of that issue.