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Proceeding contribution from Frank Dobson (Labour) in the House of Commons on Thursday, 5 May 2011. It occurred during Backbench debate on Social Housing in London.


Social Housing in London

But no one claimed that famous connection. Indeed, English Heritage was quite happy to nod through the demolition of the whole of the Middlesex hospital—we are talking about the annexe that was left. Anyway, that programme for a large number of new flats has been set back for God knows how long. Similarly, there is meant to be the building of a lot of social housing on the King's Cross railway lands behind King's Cross station, but I understand that the project has been set back because Ministers are not prepared to help the private developer comply with the section 106 agreement that the developer entered into in order to get on and build some new flats. As a final encore from the Government, they are proposing not just to prevent the building of new social housing, but to knock down social housing for 360 people who live in the blocks of flats that will have to be knocked down if High Speed 2 is going to come into Euston, which is itself a ridiculous proposition. We feel a trifle beleaguered in Camden. We are massively affected by the ludicrous increase in property prices in our area and the ludicrous increases in commercial rents. However, at the same time as rents are soaring out of sight, the Government, including those caring Liberal Democrats, have proposed the slashing of housing benefits. To demonstrate just how out of touch they are in setting the new housing benefit maximum levels, I will provide a simple illustration. A Member who lives outside London and needs to rent a single-bedroom flat in London is given the money—rightly—by the Independent Parliamentary Standards Authority. IPSA has decided that the going rent in London for a single-bedroom flat is £340. That is the most it will pay. However, £340 appears to be a magic figure among public bosses these days, because the Government have decided that £340 is also the maximum housing benefit that can be paid to anybody in London for a three-bedroom flat. So officialdom now says, ““One-bedroom flat for an MP: £340. Three-bedroom flat for a family: £340””. The fact is that the going rate for a one-bedroom flat probably is £340, but for a decent privately rented flat in London, £340 goes nowhere near towards meeting the costs of family accommodation. There are all sorts of arguments about what we should do about this problem. My point is this: If in that great centre of capitalism, New York—so that includes Wall street—they still have rent controls in the private sector, I see no reason why we should not reintroduce rent controls in this country. If that upsets a few property developers or if the Gaddafi family's property portfolio suffers from a cut in rental income, I do not really mind. I want rents to come down and there to be a massive increase in housing for those most in need, because as my hon. Friend the Member for Eltham (Clive Efford) pointed out, there are legions of people whose daily contribution to the life of this city makes it a tolerable place to live.


Secondary information

Type
Proceeding contribution
Reference
527 c836-7 
Session
2010-12
Chamber / Committee
House of Commons chamber
Subjects
Council housing Finance Greater London Housing stock Private rented housing Social rented housing Rents Security of tenure Housing trusts
Link
View this Proceeding contribution on www.publications.parliament.uk