08 Apr
Question
New Homes: Affordability

During the Question session on 'New Homes: Affordability' in the House of Commons, discussions centered on government actions and plans to address the affordability crisis in housing. Dr. Rupa Huq initiated the discussion by questioning the steps being taken to enhance the affordability of new homes.

Rachel Reeves, representing the government, responded by emphasizing the ambition to build 1.5 million homes within the ongoing Parliament. Highlighting tangible actions, Reeves mentioned a £2 billion investment dedicated to social and affordable housing as part of broader fiscal plans. She stressed the essential reforms in the planning system aimed at supporting house construction, thus confronting Conservative policies she views as obstructive.

£2 billion

Investment in social and affordable housing announced in spring statement.

Dr. Huq raised concerns specific to London, particularly around the high costs of temporary housing and insufficient affordable options. She questioned the potential for adjustments in local housing allowances to alleviate the financial pressure on London councils.

1.5 million homes

Government's target for the number of homes to be built during the current Parliament.

Alison Bennett, from the Liberal Democrats, directed attention to the struggles in the retirement housing market, criticizing the current inadequacies in catering to those wishing to downsize. Reeves acknowledged these challenges and proposed arranging discussions with an appropriate minister to explore these specific issues, indicating a willingness to address them.

Overall, the session reflected ongoing governmental focus on housing issues, with commitments made by Reeves including increased investment, skill development in construction, and planning system reforms to enhance housing stock.

60,000 additional places

Training spaces for construction skills as part of government plans to boost housing development.

£4 million a day

Cost of temporary housing in London, as cited by Dr. Huq during the debate.

5%

Proportion of affordable homes in London mentioned as a concern by Dr. Huq.

Outcome

The session reinforced the government's commitment to resolving housing affordability issues, although it spotlighted challenges particularly prevalent in London and the retirement housing sector. The assurances of increased investment and planning reforms were notable aspects of the government's strategy. Potential follow-up meetings were suggested to address particular concerns raised by opposition members, signaling potential collaborative efforts to refine housing policies.

Key Contributions

Dr Rupa Huq
Labour

Questioned steps being taken for affordable home increase.

Rachel Reeves

Outlined government's aim to construct 1.5 million homes within Parliament.

Dr Rupa Huq

Acknowledged and welcomed "build, build, build" policy.

Alison Bennett
Liberal Democrats

Pointed out issues in the retirement housing market affecting constituents.

Rachel Reeves

Proposed ministerial meeting to discuss retirement housing market issues.

Original Transcript
Dr Rupa Huq
Ealing Central and Acton
Lab
Question
UIN: 903659

4. What steps she is taking with Cabinet colleagues to increase the affordability of new homes.

The Chancellor of the Exchequer
Rachel Reeves

The Prime Minister and the Deputy Prime Minister have set out our ambitions to build 1.5 million homes during this Parliament as part of our plan for change.

At the spring statement I announced steps towards that ambition, with an additional £2 billion investment in social and affordable housing next year as a down payment on further investment at the spending review in June.

Rachel Reeves
11:54

The key thing we need to do is build the homes our country desperately needs. That is why I put £600 million of investment into creating 60,000 additional places for people to learn the construction skills we need, and into good jobs, paying decent wages and building the homes we need.

That is also why we are reforming the planning system, so that we can actually get those homes built. We are backing the builders, not the blockers, which is what the Conservatives did.

Alison Bennett
Mid Sussex
LD
11:54

At the weekend, The Times revealed the problems in the retirement housing market, in terms of both new builds and resales, and many of my constituents have been experiencing a loss on the houses and flats that they have inherited.

Does the Chancellor consider the housing market to be adequately providing decent, affordable homes for those who are downsizing as well as first-time buyers?

Rachel Reeves

I would be very happy to arrange a meeting for the hon. Lady with the relevant Minister to discuss some of those specific issues around retirement properties. She makes a really important point.

We need to make it easier for people to downsize to free up those properties, including in the private sector, so that more homes are available for families.

All content derived from official parliamentary records