Housing

David Cameron’s immigration speech fails to capture the imagination

This morning’s papers have followed the lead of yesterday’s TV news bulletins: the prime minister’s immigration speech was not the success it might have been. The Times is lukewarm (£). The Guardian is suspicious. The Mail is derisive. And our own Douglas Murray is contemptuous of a speech which merely stated the ‘utterly obvious’. Yet again, the government has failed to convince the media. Part of the problem is that the numbers are inconclusive. The Guardian has built on yesterday evening’s BBC news reports, which claimed that only 13,000 migrants from that part of the EU have claimed JSA since 2009. This contrasts with Mr Cameron’s concerns about a widespread ‘something for nothing’

Budget 2013: New ‘Help to Buy’ plan is a boost for Eric Pickles

One of the big measures in today’s Budget was the Help to Buy scheme. It answers two demands: the first for the Tories to continue to support home ownership as what George Osborne called ‘the most human of aspirations’, and the second for the government to do everything it can to get construction moving again. But there’s an interesting political point here. In the summer, George Osborne frightened the living daylights out of Eric Pickles and his team at the Communities and Local Government department by putting it about that he wanted further relaxations on planning regulations to encourage economic growth through construction. Pickles & Co fought back pretty hard,

Investment special: Gaining from a housing recovery

The long period of dormancy for Britain’s housing market looks as if it is coming to an end — though there are huge regional differences. Central London remains exceptional, with the influx of overseas buyers into Kensington, Chelsea and adjoining neighbourhoods creating a microclimate of surging prices that has little to do with economic fundamentals — and has the political left salivating at the thought of a ‘mansion tax’ on properties worth £2 million-plus, even if that means turfing elderly widows out of family homes. Some five years on from the financial crisis that brought many lenders and house-builders to their knees, there are signs of a broadly based recovery.

Tory MPs lobby David Cameron on the ‘bedroom tax’

Liam Byrne launched Labour’s campaign on the ‘bedroom tax’ today, while Helen Goodman, who was the Labour minister responsible for the party’s own attempt at cutting the housing benefit bill when in government, raised the cut at Education Questions today. Tory MPs groaned a little. Michael Gove pounded the despatch box, and shouted ‘this is not a tax!’ and Labour MPs groaned back. But behind the scenes, I understand that far from groaning, Conservative MPs have been lobbying the Prime Minister on this particular cut, which comes into effect on 1 April. At a Downing Street lunch for a number of Conservative MPs recently, David Cameron received a bit of

The ‘bedroom tax’ shows Downing Street does need a Damian McBride character

MPs are debating that Cut With the Awkward Name, the Under-occupation of Social Housing: Housing Benefit Entitlement, also known by its opponents as the ‘bedroom tax’, this afternoon. I’ve already posted about some of the problems that this policy might throw up, however well-intentioned, but there’s also an important political point here. When I talk to Tory MPs about this cut, some of them accept that there are problems with specific cases, and with the number of smaller homes that are actually available for people to move into (interestingly, one housing association has reclassified its properties so tenants can avoid being eligible for the cut), but what exercises them more

Why no conservative should support a mansion tax

The Government is expected to raise around £550 billion in tax revenue this financial year. The Centre for Policy Studies estimates that a mansion tax (of £20,000 on properties of £2 million), would raise at most £1 billion, less than 0.2 per cent of revenue. The tax is, however, likely to weaken the market and reduce prices – reducing receipts from other taxes; so even the CPS’s static analysis is probably optimistic. This proposed tax would be a huge burden on those forced to pay. The rate is not 1 per cent of the property’s value. The standard lifetime of a lease on a new build is 125 years, over

Eastleigh by-election parties fight over policy they both support

Alarming news reaches this blog from the Eastleigh by-election, where the battle has descended into a catfight about a policy the two main parties support at national level. How unusual for parties to detach themselves from their own policies when a prize seat is in sight: this time round it’s the Lib Dems and Tories fighting over a development of new homes in the area on greenfield land. The Lib Dem leaflets promoting Mike Thornton say ‘residents are angry with the Conservatives for putting green fields under threat from big builders’. The Tories backing Maria Hutchings point out that Thornton and his Lib Dem colleagues on the council voted in

PMQs sketch: Ed Miliband vs David Cameron on the ‘bedroom tax’

It was cynical. It was shameless. It was low-down politics in every way. But Miliband’s stunt at PMQs very nearly worked. His theme was the reform of housing benefit that will affect those in homes with unoccupied bedrooms. Ed Miliband calls this ‘a bedroom tax’. He kicked off by asking David Cameron about the case of ‘Alison’ who has twin sons serving in the army. While her boys are fighting abroad, Alison will be charged £25 extra per week for their bedrooms. It’s wrong to call this a tax, said Cameron, it’s a necessary change to an unaffordable system. Miliband was waiting for him. ‘I’d like to see him explaining

James Forsyth

PMQs: Ed Miliband’s ‘bedroom tax’ attacks ignore the facts

At a particularly unedifying PMQs today, one Labour MP even suggested that ministers need cognitive behavioural therapy. The cause of all this rancour: the so-called ‘bedroom tax’. Now, the ‘bedroom tax’ is not actually a tax. Rather, it is a reduction in the amount of housing benefit paid to those who — according to the local authority — have spare capacity in their homes. If the Labour leadership genuinely does not grasp this distinction, then this country is in worse trouble than we thought. Ed Miliband peppered Cameron with questions about difficult cases. It was an effective debating tactic as there was little Cameron could say without knowing all the

The private rented sector is blocking aspiration and isolating families

The private rented sector is no longer fit for the people it now serves. Almost half of those renting are over 35, and the proportion of privately rented homes has rocketed by 69 per cent. As MPs debate standards in the sector this afternoon, we’ll have to recognise that it isn’t just Neil and the Young Ones, but families who typify this part of the market, and it needs to change to recognise that. The default tenancy is the Assured Shorthold Tenancy, which allows landlords and tenants to enter into short-term agreements with regular rent reviews and the ability for either party to break after six months with one month’s

Former housing minister calls for review of benefit rises bill

The Welfare Benefits Uprating Bill returns to the Commons this afternoon for committee and remaining stages. As I reported last week, rebel backbench Lib Dems, the Labour front bench team and Green MP Caroline Lucas have tabled a number of amendments to the legislation to change the uprating itself, which may provoke heated exchanges on the floor of the House but little more. But there is one more amendment for discussion which, even if it doesn’t get accepted this afternoon, could well reappear in the House of Lords. It’s from former Housing Minister John Healey (who was in office when Labour made its last minute and rather half-hearted attempt to

Grill the Housing Minister: Mark Prisk answers Coffee House readers’ questions

Housing Minister Mark Prisk’s brave request for a grilling from Coffee House readers generated a very enthusiastic response. Here are the minister’s answers to your questions. House Prices Q: What will the Government be doing to rebalance things back towards private buyers and away from the BTL speculators that have driven the market up to such an extent that private buyers are priced out? (Specifically, get the Treasury to end the tax breaks introduced under Labour that drive this, and level the playing field for ordinary buyers). A: It’s important not to overstate this problem.  In 2011, buy to let accounted for just 12 % of all mortgages.  And of course

Housing: the south’s difficulty is the north’s opportunity – Spectator Blogs

Three cheers for Isabel’s post on the difficulties Nick Boles faces in pushing through his plans to make is slightly easier to build houses in Britain. I would add only this: people who already own their houses have more power and much greater access to important media outlets than people who do not own their own homes. Today’s wrangling about planning reminds me I meant to write something about Neil O’Brien’s excellent recent Spectator article on the north-south divide. To put the matter in the broadest terms, the south’s difficulty is the north’s opportunity. As O’Brien wrote: The North can gain advantage where it offers something the South doesn’t. Take

Isabel Hardman

Nick Boles is ballsy, but his planning push faces some big blockages

Nick Boles is to be applauded and rewarded for being so ballsy on housing need. It is heartening to read the minister describing current housing shortage as ‘immoral’ and a ‘threat to social justice’. I could write a long post about why Boles’ latest push for more homes (which involves a ‘Boles Bung’ of money that communities can use for their own benefit in exchange for new local housing developments) is wonderful, and how he should win all sorts of political prizes and promotions if he succeeds, but I’ve already done that. Instead, it’s worth examining the tricky problems which will mean the Planning Minister needs to keep wearing his

A coalition of the complacent

I don’t like to think that I am rich. In theory, I know that in comparison to the vast majority of the world’s population, I am. But perhaps because of my politics, or perhaps because of journalists’ perennial pretence that we are tribunes of the people, I cannot see myself as wealthy, and would protest if others said that was just what I was. And in everyday dealings with others, I don’t feel as if I’m rich. I don’t have a car. My wife and I watch what we spend at the shops. I wish I could wine and dine every night, but, alas, I cannot. So I go on

Nick Boles attempts to soothe planning critics

Planning Minister Nick Boles admitted yesterday that he did not believe his controversial suggestion for Britain to build homes on two million acres of countryside should be put into practice. The new minister caused a storm last month when he supported a 3 per cent increase in UK-wide development to alleviate the housing shortages caused by high immigration. The plan was to build homes on green-field land, increasing development from 9 per cent to 12 per cent nationwide. But yesterday, Boles denied the claims, arguing that they were meant to illustrate a wider point about under-development rather than create a particular policy or target. His admission came after the Prime

Cut housing benefit for under-25s? Yes, but be careful, say Tory members

George Osborne might have failed to get his housing benefit cut for the under-25s past the Lib Dems in time for the Autumn Statement, but, as James reported in his Mail on Sunday column this week, the Tories will be keen to put it in their 2015 manifesto, partly to show voters what a majority Conservative government could achieve without the shackles of coalition. I understand the party has been consulting members on its welfare policy in the past few weeks, and unsurprisingly, the response has been enormous. In fact, the policy forum hasn’t seen such interest from members since it asked them what they wanted to see in terms

Grill the minister: Mark Prisk

Mark Prisk took over as housing minister in September’s reshuffle, and has quite a task on his hands to get housebuilding figures looking healthy again. The Conservative MP was previously in the Business department as Construction Minister, so he knows all about the challenges of getting Britain building. He has bravely put himself up for a grilling by Coffee House readers, and will be answering a selection of your questions posted in the comments below. Please post your questions below by 5pm Friday 16 November, and we will post Prisk’s answers next week.

What will the coalition do next?

We are now closer to the 2015 election than the 2010 one. We also expected by now to have the coalition’s mid-term review, the document that will set out its priorities for the second half of its term in office. But its publication has now been delayed until January. This is because the debates about what new policies to include in it are still going on. The quad—David Cameron, George Osborne, Nick Clegg and Danny Alexander—met on November 1st to discuss various ideas for it. They were, as I report in the Mail on Sunday, joined by Oliver Letwin and David Laws for this meeting with the Cabinet Secretary Jeremy

Sacked ministers make trouble at Treasury questions

Treasury Questions was a little quieter than usual today: George Osborne is away and so Ed Balls left the questions to his colleague Chris Leslie. The Shadow Chancellor didn’t say entirely quiet, though, gradually turning a warm shade of pink as he barracked away while perched on the opposition front bench. Labour landed very few blows today: Rachel Reeves continued the attack on the EU budget, Leslie tried rather ineffectually to talk about borrowing, and backbenchers made a few grumbles. The two really interesting questions came from the coalition benches: and more specifically, from two sacked ministers. Tim Loughton, who is fast establishing himself post-reshuffle as an effective campaigning backbencher