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‘False comparison’ to say housing associations are capable of more than councils, says Healey
It is a “false comparison” to suggest housing associations are capable of more than councils, shadow housing secretary John Healey has said in response to comments made by the prime minister yesterday.
Speaking at the National Housing Summit yesterday, Theresa May said she wants housing associations to lead on creating “large-scale, high-quality developments” because the sector can “achieve things neither private developers nor local authorities are capable of doing”.
Asked about her remarks, Mr Healey told Inside Housing: “The biggest problem is that Theresa May and the Tory ministers really don’t understand public housing.
“They don’t understand well enough what the best of our housing associations can do, not just as first-class landlords but as organisations that build communities, support individuals with a very strong social commitment.
“And I see that very often mirrored in the best of public housing that councils build and manage, too. So I think it’s a false comparison. I think it stems from a lack of understanding.
“But the big obstacle that I argue with ministers about is their unwillingness to see councils and housing associations playing the bigger role that’s required if we’re going to fix the housing crisis.”
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Lord Gary Porter, Conservative council leader and chair of the Local Government Association, was among those to criticise Ms May’s statement yesterday.
However, the prime minister did praise the “wonderful” work housing associations do beyond building and maintaining homes.
Asked whether he feels that ALMOs – companies which manage housing on behalf of councils – have a role to play, Mr Healey said: “Emphatically yes. We see some outstanding examples of council housing provided and managed, and developed through ALMOs.
“I’m fortunate enough to be a local MP for part of Barnsley, so Berneslai Homes is one of those stand-out ALMOs. And if that’s a way that suits an area and a local authority to do their housing, that’s fine.”
On the Voluntary Right to Buy, for which a pilot is currently underway across the Midlands, the Labour MP said he would “understand it if [housing associations] treat it with great caution from this point on”.
“Let’s put it this way: the politicians that made the promises to the sector, including about the full recovery of any discounts and other parts that were supposed to make that national scheme work have all moved on,” he said.
“We have to stop the haemorrhage, the huge haemorrhage of social rented homes, at the same time as raising the level at which we build. The two have to go hand in hand.”
Labour policy is to suspend the Right to Buy for all social housing.
In his speech today, Mr Healey also proposed a new funding package to help housing associations with less than 10,000 homes step up their development.
More on Theresa May's NHF speech
All our coverage of Theresa May's historic speech on 19 September, 2018, in one place:
Orr: 'penny has dropped' for government on housing The outgoing chief executive of the National Housing Federation gives his take on May's speech
LGA warns May’s focus on associations ’misses the point’ about council-led building Reaction to the announcements from Lord Gary Porter, chair of the Local Government Association
Sector leaders hail ‘huge significance’ of May’s NHF speech Housing figures welcome the Prime Minister’s speech to the National Housing Federation’s annual conference in London
May’s speech shows a significant change in attitude towards the sector When was the last time a Conservative prime minister made a speech more favourable to social housing?, asks Jules Birch
In full: Theresa May’s speech to the National Housing Summit The full text of the Prime Minister’s historic speech
Theresa May throws support behind housing associations in landmark speech Read more about Theresa May’s speech which signalled a change in tone from the government towards housing associations
May’s new £2bn funding will not be available until 2022 Homes England clarifies the timescale for allocation of the new money promised by the Prime Minister
Morning Briefing: Labour hits back at May’s £2bn housing pledgeShadow housing secretary John Healey says May’s pledges are not enough
May to announce £2bn for strategic partnerships with associations at NHF conference The details released overnight ahead of the speech
