Three months after he fought an election on a pledge to ‘respect the tenures and rents of social housing tenants’ David Cameron has come out in favour of fixed-term tenancies.
According to reports of a question and answer session in Birmingham today, the prime minister said the change would cause a ‘big argument’ but that it was right to look at a more flexible system for future tenants under which they can be moved on if their circumstances change and homes are freed up for people on the waiting list.
He was responding to a question from a mother of two teenagers who said she had slept on a blow-up bed for two years because her council could not find her a bigger house.
According to the Press Association, Cameron said that the government was investing more in social housing. ‘But there is a bigger question here, which is: how do we make sure that people are able to move through the housing chain? At the moment we have a system very much where, if you get a council house or an affordable house, it is yours forever and in some cases people actually hand them down to their children,’ Cameron said. ‘And actually it ought to be about need. Your need has got greater … and yet there isn’t really the opportunity to move.’
‘But there is a question mark about whether, in future, should we be asking, actually, when you are given a council home, is it for fixed period, because maybe in five or 10 years you will be doing a different job and be better paid and you won’t need that home, you will be able to go into the private sector. Do we want to reform tenure to actually enable people to move through housing rather than seeing it as something that you either get - “great, I’ve got my council house” - or you don’t get - “bad, I’m sleeping on a blow-up mattress”.
‘So I think a more flexible system - that not everyone will support and will lead to a quite a big argument … looking at a more flexible system I think makes sense. Not talking about existing tenants but, for future tenants, asking: can we relate more the need you have to the housing that you get, making sure we have more social mobility and people can move through social housing, rather than actually see it as something they get for life?’
Given that Labour flirted with the idea in 2006 when Ruth Kelly was communities secretary it’s no great surprise to see the Conservatives questioning security of tenure too.
However, Cameron’s comments are not just at odds with his own manifesto (though, interestingly, not with the coalition’s programme for government). They also seem to contradict housing minister Grant Shapps, who during the campaign accused Labour’s John Healey of ‘spreading unfounded and baseless statements about David Cameron, myself and Conservative policies on social tenure and rents’ and said that the Tories had no plans to change security of tenure for existing or future tenants.
A week before the election, a Conservative spokesman told Inside Housing that the party had ‘no policy to change the current or future security of tenure of tenants in social housing’.
But the signs were clear that there might be a policy after all when Shapps was asked in parliament about an interview he did with me in ROOF in which he said that the rights of future tenants had to be balanced against the needs of people on the waiting list.
Labour’s Karen Buck asked him: ‘Will he confirm that new tenants -people in housing need coming off the housing waiting list, as he described- will enjoy the security enjoyed by existing tenants?’
His answer immediately raised speculation all over again: ‘As I have said, security of tenure is incredibly important, particularly for people in social housing, and we are keen to protect that. There are 1.8 million families languishing on that social housing waiting list, and it is right and proper that we look at the way in which we can reduce that list. It may include looking at tenure for the future.’
Cameron’s comments will reignite the debate that was started and then squashed under Labour and lead to passionate argument between those who believe that what would amount to the introduction of long assured shortholds in social housing contradicts everything it is meant to stand for and those who argue that a tenancy for life is indefensible when so many people are on the waiting list.
However, that may not be the only fundamental debate that is about to happen. Conservative councils in London have been arguing that the cuts in housing benefit could leave them with a huge problem unless the homelessness legislation is changed.
In mid-July, Karen Buck asked Shapps: ‘Given the enormous upheaval that is likely to accrue from the cuts in housing benefit, will the Minister give a guarantee to the House today that he
will not weaken the safety net of homelessness legislation?’
Just as with security of tenure, his answer was a studied non-answer: ‘I acknowledge the hon. Lady’s considerable knowledge and interest in housing and matters of homelessness, which we have regularly debated. I can provide the assurance that this Government will take issues of homelessness and protection very seriously. I have recently set up a cross-ministerial working group for the first time to bring Ministers together, and we also have a discretionary fund, which we are expanding to £40 million to assist in this way.’
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Readers' comments (3)
Anonymous | 03/08/2010 5:37 pm
So what Mr Cameron is saying is that if you have a council home and improve your 'lot' you can be forced out. Where is the incentive for working hard and bettering yourself. Nevermind Mr Cameron your ill thought ideas will promote further welfare dependency just like previous policies issued by Labour as who is really going to improve their lot when they could lose their home. It will create further welfare dependency, job well done, penalise the working class as usual. The working class who cant afford to buy or private rent but whom work hard for a living!!
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Sidney Webb | 03/08/2010 6:16 pm
This must mean an end to the Tory obsession with the right-to-buy as if you get into the position to be able to afford to buy you will be asked to leave. Shouldn't it be a choice?
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Alpha One | 04/08/2010 12:09 pm
We have to end tenancies for life, not just for new tenants, but for existing ones as well.
Why should a person who needed a tenancy 20 years ago, but who now has a well paid job have a RIGHT to remain in his affordable home? This debacle was brought to the fore in the MP's expenses scandal when it was a revealed a Lady (as in title) in the House of Lords held a social housing tenancy for a property in east london. What possible justification did she have for having that, when she is paid more a day for attending the HOFL than most get in benefits a week?
Tenancies should be secure for 5 year periods, after which a tenant's position should be looked at, and if they can afford to move on to the private sector, they should be given a choice (1)6 months to find a house to rent or buy, (2) buy the home they're in or (3) pay full market rent on the property. Whilst they make their decision the rent should be increased to an intermediate rent, and if they don't make a decision within 3 months they'll be moved to a full market rent.
Why should a person who can afford open market rents be allowed to remain on social needs?
There should be exceptions for the disabled and the elderly, but anyone from 18 - 65 should be subject to the 5 yearly reviews.
It wouldn't mean casting people out on to the street, but would mean that affordable housing can be retained as affordable with hopefully most choosing to move on, and if they don't the landlords would get decent returns on the property which could be used to buy alternative properties nearby.
As for the idea that being required to move on when you better your lot is a disincentive to try, I think that is just bunkum. The vast majority of people in this country aspire to better their lot, the few that don't will never be reached without serious benefits reform. Therefore a person who does do better would generally opt to move on anyway.
What this policy does, is encourage them not to retain the social housing when they do so, and to allow other people in need to have that home so that they can start their lives.
You need to get away from this idea that affordable housing and benefits should be a life choice, it should be a safety net and thats it.
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