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Housing and Regeneration Bill

I understand what my hon. Friend is saying and respect his views. I would point out to him that in terms of management and maintenance allowances, there were above-inflation increases in 2004-05, 2005-06 and, I think, in 2006-07 of about 6 per cent., 6 per cent. and 4 per cent. respectively. The fundamental point is that the Bill helps to remove, as much as possible, the disincentives for councils to go ahead and build. I think that councils with good performances, in conjunction with other partners will step up to the plate and ensure that we really are building new council houses. There is nothing wrong with that. This country sorely needs it, and I fully welcome it. However, we must also consider that in the wider context of the difficulties and complexities about how on earth we finance council housing. The housing revenue account is deeply unsatisfying for all concerned. It is so confusing that even my right hon. Friend the Member for Pontefract and Castleford does not understand it, which takes some doing. She has said on the Floor of the House that every time she had to deal with it she had to have a wet towel round her head. That is not good in terms of openness and transparency. We must ensure that it is fit for purpose in the modern age—that there is a direct correlation between rents, services provided and moving on with new builds and improving quality. I would suggest that we are moving towards the level playing field that my hon. Friend the Member for Great Grimsby and other hon. Friends have mentioned, but we need to think about it in the wider context and get rid of some of the complexities that the housing revenue account subsidy system perpetuates.