Affordable Homes Programme — [Mr Philip Hollobone in the Chair]

We are facing a housing crisis and Manchester's Labour-led council aims to build at least 10,000 affordable homes across the city in the next decade with more than 1,000 affordable homes and 250 new council houses this year.

The closure of a care home in Caladh Sona due to staffing issues caused by lack of affordable housing for carers is highlighted. This situation affects elderly residents who may be relocated far from their families and support networks. The councillor Michael Baird reports that the facility, which serves an area larger than three Greater Londons, is struggling with recruitment because suitable accommodation is scarce, often being used as holiday homes or Airbnbs instead.

Birmingham has committed to building 60,000 additional houses under Ian Ward's leadership, but rising costs make it difficult. Housing associations create traps for people who cannot afford their properties or pass them on to their children.

Pennycook highlighted significant room for improvement in the Affordable Homes Programme's performance, citing issues with governance, transparency, and oversight. He questioned whether the Department had acted on eight specific recommendations from the National Audit Office report and requested updates on steps taken to meet targets despite inflationary pressures. Pennycook also urged the Minister to address incentives for housing providers to deliver affordable homes in areas of high need and to ensure that new grant-funded homes are net zero carbon. Challenged the Government's allocation of funding under the Affordable Homes Programme, noting that despite 50% being allocated to low-cost home ownership, fewer units were delivered compared to the previous Labour government.

The MP highlighted severe overcrowding, high private rents, and the need for social housing in London. She cited examples of families living in one room due to unaffordable rent increases and the long-term impact on children's education from temporary accommodation placements outside their borough. Asked the Minister to clarify how local authorities can deliver social rented housing in areas where home ownership is difficult, highlighting Hackney as an example.

The MP highlighted the mismatch between the government's definition of affordable housing and what constituents consider as such. He pointed to statistics like 1.2 million people on the housing need register, 300,000 children living in cramped conditions sharing beds with siblings, and a net loss of about 12,000 social homes per year due to right-to-buy and demolitions. The MP advocated for building around 90,000 homes annually for social rent over ten years and questioned the government's approach to funding this initiative.

The term 'affordable' in housing often means 80% of market rent, which is unaffordable for most people. We need to redefine the language around affordable homes. There is a consequence to not building homes other than the numbers, particularly families living in temporary accommodation which costs £1.6 billion annually. In Mitcham and Merton alone, there has been a 41% increase in temporary accommodation since last April. Since 2012, there has been a 71% rise in families in temporary accommodation to 99,000 with 125,000 children. In June 2022, 26,130 of those were placed outside their home boroughs. Additionally, 34 child deaths between 2019 and 2022 were directly linked to temporary accommodation conditions.

The housing market in Britain is broken, with renters being priced out of cities and a lack of affordable homes. In Coventry, new social housing lettings have fallen by more than one-third over the past decade, leaving nearly 6,000 households on waiting lists. The MP provided three examples illustrating the impact of inadequate housing: cramped living conditions for families with children, restricted mobility for elderly residents, and isolation for patients needing care.

Conservative-controlled councils also give land to developers, leading to houses that cost £800,000 each. We must put targets on developers and give housing associations the freedom to build homes that people can afford. Asked why there is no obligation for new homes to have solar panels and urged consideration of environmental factors in new house construction.