Commons Sense

House of Commons · Westminster Hall

Affordable Housing: Planning Reform — [Dr Rupa Huq in the Chair]

07 December 2021 · 10 other contributors · 13,774 words

Opened by Derek Thomas Con St Ives

Responding minister: Christopher Pincher

Summarised by AI from the official record, so it can contain mistakes.

At a glance

Derek Thomas raised concerns about affordable housing: planning reform — [dr rupa huq in the chair] in Westminster Hall. A government minister responded.

Key points

  • Cornwall and the Isles of Scilly face severe housing issues due to high second home ownership and holiday lets.
  • Rental searches in Cornwall exceeded 15 million for homes to buy and 1.1 million for rentals in Q1 2021.
  • The MP called for government measures to speed up housing delivery and bring empty homes back into use.

Key requests to Government

The Government should introduce measures to speed up housing delivery, such as paying social landlords and developers based on results rather than lengthy processes. Additionally, consider offering local authorities the opportunity to restrict new building to primary residence only, re-emphasise commitment to home ownership, incentivize landlords to sell properties to tenants with tax benefits, and introduce a licensing scheme for holiday lets.

How the debate unfolded

MPs spoke in turn to share their views and ask questions. Here's what each person said.

Opened the debate

Derek Thomas Con St Ives

Cornwall and the Isles of Scilly face a severe housing situation that requires urgent intervention. The MP highlighted the difficulties faced by residents in acquiring affordable homes due to issues like second home ownership, holiday lets, and soaring rents. He noted that searches for homes to buy in Cornwall topped 15 million in the first quarter of 2021, while searches for rentals reached 1.1 million despite a total population of half a million. Rental prices are extremely high—ranging from £100 per week for a shared one-bedroom house to over £400 per week for a three-bedroom house—with an average wage in the constituency being £25,000 a year. The MP also mentioned that 19 units have planning permission but remain unbuilt and stressed the importance of bringing long-term empty homes back into use.

Other contributors (10)
  • Anthony Mangnall Con Fylde

    Asked if closing the business rate loophole could address the issue of rising prices due to visitors and tourists, highlighting a serious point made about this impact. Inquired about the success of primary residence restrictions in another part of Cornwall, suggesting that such measures could be beneficial. There are 5,000 second homes in South Hams, making up 27% of all second homes in the south-west. Salcombe has 57%, Hope Cove 80%, and Thurlestone Sands 95% of their properties as second homes, pushing rental and property purchase rates up and making it hard for local workers to find housing. The MP asks for a better formula to calculate what is affordable based on real local wages, not inflated figures due to second home owners. He also highlights the issue with business rates relief being exploited by those claiming it when they are not actually running businesses.

  • Florence Eshalomi Lab Co-op Vauxhall and Camberwell Green

    Describes the affordable housing crisis in Vauxhall, highlighting cases of severe overcrowding, poor living conditions, and their impact on mental and physical health. Emphasises that investment in social housing could generate £330 billion for the country over 50 years and create 89,000 jobs.

  • James Cleverly Con Barking

    Agreed with the need for primary residence-only policies to prevent property from being pulled down and rebuilt as short-term lets, noting examples in villages like Mousehole, Porthleven, and Coverack. He cited St Ives' neighbourhood plan which introduced such a policy successfully.

  • Jim Shannon DUP Strangford

    Jim Shannon highlighted the housing needs in Northern Ireland, particularly in his constituency of Strangford. He mentioned that the population is projected to rise by 1.5% from 2019 to 2029 and that 25% of buildings will need to be age-friendly or suitable for elderly and disabled residents. Shannon suggested co-ownership as a potential solution, similar to schemes in Northern Ireland where individuals can purchase half the price of a home with the other half controlled by the firm that built it. He emphasised the importance of considering housing stress not just numerically but in terms of its impact on people's lives.

  • Luke Pollard Lab Co-op Plymouth Sutton and Devonport

    Pollard highlighted the broken housing market in the south-west, particularly noting that more than a quarter of England's second homes are located there. He proposed five points for addressing the crisis: quadrupling council tax on holiday lets and empty second homes; introducing a licensing scheme to limit second homes; creating a 'last shop in the village' fund; building first homes prioritising key workers; and ensuring discount lock benefits remain.

  • Mark Fletcher Con Bolsover

    Mr Fletcher welcomed the construction of new affordable homes in Bolsover, noting 439 dwellings since 2019. He emphasised the importance of housing linked with infrastructure and skilled jobs to revitalize former coal communities like Shirebrook. Mr Fletcher supported the First Homes scheme offering a 30% discount for first-time buyers locally.

  • Matthew Pennycook Lab Greenwich and Woolwich

    Mr Pennycook agreed with the need for more local first-time buyers to have priority access to new homes, highlighted the issue of unused planning permissions in London, and suggested that developers should be incentivised or compelled to build out their permissions. He also emphasised the importance of affordability criteria and better support for private renters and social housing provision.

  • Munira Wilson Lib Dem Twickenham

    Discussed the high cost of housing in Twickenham, making it difficult for locals and key workers to purchase homes. Emphasized the need for more public sector-owned sites like police stations to be redeveloped for affordable and social housing. Asked the Minister to consider changing national legislation so police forces can prioritise affordable housing bids when selling closed police stations, highlighting a specific issue with Teddington police station and a broader problem across London.

  • Rachael Maskell Lab Co-op York Central

    The housing market in York is out of control, with the affordability ratio rising from 3 to 11.7 over several years. The city faces a significant skills shortage due to unaffordable housing, impacting sectors such as tourism and social care. Social housing numbers are decreasing while waiting lists increase threefold, making rental costs among the highest outside London. There is also an issue with empty properties awaiting repairs and an oversupply of second homes and holiday lets. The speaker calls for better data collection on domestic residential properties and a mechanism to secure homes for primary occupation.

  • Yasmin Qureshi Lab Bolton South and East

    Ms Qureshi highlighted the pressing need for affordable housing, noting that in Bolton alone there are 9,000 people on the waiting list for a council property. She pointed out that one three-bedroom home for social rent received 400 applications, underscoring the severity of the issue. The median income in Bolton is around £26,000 while house prices average £125,000, making homeownership unaffordable for many residents. With over 14,000 constituents on universal credit and 9% unemployment, Ms Qureshi emphasized the urgent need to address this crisis through increased housing construction.

Government Response

Christopher Pincher

Summarised the debate, acknowledged various points raised by MPs, including the importance of building more homes, council tax discretion for local authorities on second homes, and the role of developer contributions in affordable housing. Mentioned £1.8 billion funding for brownfield remediation and the introduction of an infrastructure levy to ensure timely delivery of necessary infrastructure. Highlighted the government's commitment to net zero carbon emissions through the future homes standard in 2025.

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