Reading Liberal Democrats

Councils across England received a cash boost as Liberal Democrat Communities Minister Andrew Stunell announced funding each authority would receive from the New Homes Bonus.

Andrew Stunell with Cllr Daisy Benson and local Lib Dems on a visit to The Avenue Extra Care Housing Development on Basingstoke Road earlier this year.

The money means councils are rewarded for building new homes and bringing empty homes back into use.

In Reading the Coalition Government has awarded the Council £1.2 million pounds for delivering 392 new homes and bringing 26 empty homes back in to use.

Commenting, Cllr Daisy Benson said:

“ With over 8,000 people currently stuck on the housing waiting list in Reading there is an urgent need for more affordable housing particularly for families.”

“At the same time, hundreds of homes in Reading are standing empty for six months or more.

“After 13 years of Labour’s failure, Liberal Democrats in government are determined to tackle these problems.”

“Thanks to funding from Government we are already seeing new homes being built and empty homes being brought back in to use in our area– including on Dee Park and at the former Avenue School – where the first new Council homes are being built in Reading for over twenty years.”

“This is something the Liberal Democrats have long campaigned for and we are now delivering in Government.”

Commenting further, Liberal Democrat Communities Minister Andrew Stunell said:

“These are very pleasing figures, showing that the New Homes Bonus is acting as a spur to get councils building new homes and bringing more empty homes back into use.

“It’s a win-win situation for local communities – £430m of extra funding for frontline services and 159,000 extra homes for local people.

“Labour’s top-down approach to building homes just didn’t work. It was unrealistic and ineffective, and didn’t take into account local needs or wishes.

“Instead the New Homes Bonus is introducing a culture change – making it easier to persuade local people to go for development, and rewarding communities that go for growth.”

Commenting on the news that new extra care housing has been opened by the Council on the site of former Avenue School site, Cllr Daisy Benson said:

“Reading has a growing frail elderly population and these new homes will help meet this need.”

“Rob Wilson MP and I worked hard over the past year to secure the funding required from the Coalition Government to enable this project to go ahead.”

“The striking fact is that in just one year the Coalition Government and the previous administration of this Council has delivered more new Council housing than Labour managed in 20 years.”

Cllr Daisy Benson, Group Leader of the Lib Dems on Reading Borough Council is calling on the Labour-run Council to take urgent action to increase the number of affordable homes in the Borough after it was revealed nearly 8,000 people are registered with the Council for social housing.

Questions by the Lib Dems have shown there are currently :

• 7,922 people registered for social housing
• 238 3 bed homes currently available to rent – average waiting time 1 and half years
• 44 4 bed homes currently available to rent – average wait – 21 months

(Statistics: Reading Borough Council)

Cllr Daisy Benson commented:

“For the sake of thousands of residents stuck in cramped accommodation Labour councillors commit to making increasing the supply of family-sized housing top priority, and use all the tools available to the Council to increase the supply of homes to rent.”

“Last time Labour ran the Council the number of empty homes rose , not one single new Council home was built.

“And at national level the Labour government sold off more Council homes than they constructed.”

“In particular in Reading there is a massive shortage of family –sized homes with many people faced to wait years to get access to 3 and 4 bed homes.”

“Last year the Lib Dem-Conservative Coalition of the Council began building Reading’s first Council-owned and managed homes for over 20 years.

“We also won additional funding to build 76 new homes on Dee Park.”

Responding to the Government’s Consultation on the Future of Social Housing, Cllr Daisy Benson, Lead Member for Housing on Reading Borough Council said:

“Council housing is a vitally important public asset and we welcome the opportunity to take part in the the national debate on the future of social housing launched recently by the Coalition Government .”
“The reality we face in Reading is the demand for social housing to rent vastly outstrips supply.

“This is as a direct result of number of factors including high house prices, a net reduction in council housing stock through Right To Buy, and crucially the failure of the previous Labour Government’s  build new council housing over the past 13 years.”

“The Coalition Administration of Reading Borough Council is 100% committed to working alongside tenants and their representatives to protect the rights of existing Council tenants, as well as ensuring all local residents have fair access to Council housing.

“We have considered the Government’s proposals carefully and plan to continue to continue to offer lifetime tenancies to existing tenants and new tenants.”

“We have no plans to introduce so-called ‘fixed term’ tenancies as we feel the negative impacts these could have on tenants and communities outweigh the potential benefits.”"We agree with the Government that all decisions about council housing and tenancies should be taken locally by elected councillors in consultation with tenants and residents and this reinforces our commitment to putting residents first.

“This is in stark contrast with the years of micromanagement of council housing by the previous Labour government.”

Link to Government consultation: http://www.communities.gov.uk/publications/housing/socialhousingreform

Key elements from our consultation response:

• We strongly welcome the protection of security of tenure and other rights for existing tenants, including when they move. This will be especially important for under occupying tenants seeking a move, particularly when the housing benefit restrictions commence in April 2013.
• We also welcome the duty on Local Authorities to set the strategic policy for tenancies for social landlords in their area as they are best equipped with knowledge of local circumstances.
• We hope that this will also provide the opportunity to encourage social housing providers to continue to contribute, through their tenancy policies, to sustainable and thriving communities.
• In the Reading context we will continue to offer lifetime tenancies or homes to those who may need the security of these and would not foresee any circumstances whereby we would change the tenancy type or rights of existing tenants (including those who move home within our stock) and strongly support the continued provision of lifetime guarantees of a social home for rent through the Tenancy Standard for older people and people with long term illness or disability
  In principle we agree that there should be some freedom to offer flexible tenancies. Used responsibly and appropriately they may assist in meeting shorter or fixed term housing needs for particular households.
• However we recognise the challenges of ensuring that these new freedoms and flexibilities can be used creatively to best meet local needs and priorities while avoiding the risks of revolving door homelessness, residulisation of older and disabled tenants, disincentivising people from improving their circumstances for fear of losing their home and limiting the opportunities for a wide range of people to put down roots and contribute to a sustainable, mixed, community.
• It will be important to have the time to fully consult with tenants and local stakeholders, using up to date housing needs and market information to inform the debates, on setting both the strategic policy for tenancies in our area and our own tenancy policy. (It is of concern that this will not be possible to complete before Housing Associations will have had to set their policies on the use of Affordable Rented homes for April 2011).
• We will want to ensure that these policies balance the key strategic demands of relieving the most pressing housing need, making best use of stock, providing long term settled accommodation for those who need it and shorter term support for those who may be able to move on. It will be important to look too at the strategic needs for the wider area housing market and to collaborate in ensuring that one local authorities policies do not cause a ‘push’ of residents to another area.
• We suggest that it might be appropriate for landlords to be required to agree with their tenants a review period for their Tenancy policy and that its impact and operation is reported to and scrutinised by tenants to inform that review.
• We strongly welcome the investment in bringing the very difficult empty homes back into use and support the New homes Bonus (NHB) being applied to empty homes.
• We strongly welcome the reform of the Housing Revenue Account as a means to provide a sound and sustainable platform for Council Housing and the move to true self financed balance sheets.
• The proposed reform will enable tenants and Councils to develop a strategic relationship that is not subject to micro-management from the Treasury and means that Councils will (in consultation with tenants) be able to develop much longer term business planning and asset management strategies.
• The ability to take local and meaningful decision about how the rent yield is spent is an important step towards localism and will encourage place based budgeting

A report to Reading Borough Council’s Community Care, Housing and Health Scrutiny Panel this evening (7 December) has revealed that following concerns initially raised by Cllr Daisy Benson and anti-fraud officers, the Council is  taking a more robust approach to identifying and reducing housing tenancy fraud in Council housing in Reading.

This is already paying dividends with 21 potential frauds investigated and a number of properties re-let.

Endorsing the findings of the report, Cllr Daisy Benson, Lead Member for Housing on Reading Borough Council said:

“I raised serious questions in 2009 about the robustness of the Council’s procedures in relation to tracking and cracking down on potential housing tenacy fraud after nationally it was revealed that illegal tenancy fraud is rife in many towns and cities.”

“I am pleased to see as a result of the concerns I raised the Council is now taking a more robust approach including raising awareness with staff and Council tenants to identify fraud and get action taken.”

“People who fraduently sub-let Council properties are defrauding the public purse and putting additional, unwanted pressure on Council housing in Reading which is already  in high demand.

“The cost to the Council of every fraud is estimated at £11,000 which equals the cost of putting up families in temporary accomodation.”

“This is wholly unacceptable and the Coalition Administration of Reading Borough Council is committed to taking further steps to identifying potential fraud and action against offenders.

“This is in stark contrast to the complacent approach of the previous Labour administration which could have cost taxpayers dear.”

For more details about the actions taken by the Council since March 2010 please view the housing fraud report.

Cllr Daisy Benson outside a former empty home

Cllr Daisy Benson, Lead Member for Housing on Reading Borough Council has welcomed the Coalition Government’s announcement that it plans to reward councils that bring empty homes in their area back into use as part of the New Homes Bonus.

• The Department for Communities and Local Government has launched a consultation on the proposed New Homes Bonus.
• Through the New Homes Bonus, the Government proposes to strengthen the incentive for local authorities to identify empty properties and work with property owners to find innovative solutions that allow these properties to be brought back into use.
• The Government is proposing to reward local authorities for bringing empty properties back into use through the New Homes Bonus
• The measures include counting refurbished empty houses as additional housing supply, the same as new build.

Cllr Benson commented,

“I am pleased that in line with the Coalition  Agreement the Government is putting policies in place which will help councils not only build more much needed affordable and socially rented housing, but will also tackle the important issue of empty homes.”

“Homes that are unoccupied for long periods  are a blight on our neighbourhoods and represent an unnecessary waste of resources when demand for housing in our area is high.”

“Locally the Lib Dems led the campaign to get Reading Borough Council to bring long-term empty properties back into use after Labour neglected the problem for years.”

“In recent months  long-term empty properties across the Town have been brought back into use by the council working in partnership with landlords – including properties in prominent positions in London Road (Alexandra House) and Christchurch Road (pictured).”

“It’s right that councils should be incentivised for every home they bring back into use in this way as the system set up by the previous Labour government provides no real incentives for councils to act.”

“Tackling the problem of empty homes is one of the things we must do to help meet the demand for housing in our Reading.”

Liberal Democrat Councillor Daisy Benson has today welcomed the announcement by the  coalition government that the unpopular “Tenant Tax” will be scrapped, with local authorities being allowed to keep all council house rents and sales receipts they collect to reinvest in social housing, under plans announced today by the coalition government.

Liberal Democrats in Reading have long campaigned to reform the Housing Revenue Account subsidy the so-called ‘tenant tax’ which has seen millions of pounds of Council tenants’ rent go back into Treasury coffers every year under Labour.

Commenting, Cllr Daisy Benson, Lead Member for Housing on Reading Borough Council said:

“I’m delighted that the Coalition Government has announced the end of the unpopular and unfair “Tenant Tax” on some of Reading’s poorest household, something that Labour failed to deliver in 13 years in government.”

“Council tenants in Reading many of whom are on low incomes should not subjected to an additional tax to fund social housing improvements in other parts of the country.

“The government’s proposals will enable Reading Borough Council  to use council house rents to  invest in the repair and maintenance of the social housing stock in Reading and put the money towards building much-needed new social homes.

“Liberal Democrats locally and nationally have long campaigned to reform the Housing Revenue Account subsidy and replace it with a fairer system. Lib Dems have now been able to deliver on that pledge in government.”

Cllr Daisy Benson, Lead Member for Housing on Reading Borough Council has welcomed new rules which mean that tenants will no longer live in fear of being booted out of their home with little or no notice.

Cllr Benson campaigned locally for action on this issue when in opposition, lobbying Reading Borough Council and then housing spokesperson Sarah Teather.

Before today, if a landlord has not been given consent to let out their property from their lender, and later faces repossession action, the tenants could be left vulnerable since the courts were unable to take account of their circumstances and many were placed in the distressing situation of being given very short notice to find a new place to live.

But new rules, coming into force today, mean that tenants will for the first time be able to attend the court hearing, and judges will be able to take their situation into account and delay repossession by up to two months to give them more time to find a new home.

Guidance published today makes clear the rights these tenants have when their landlord faces repossession action, but also sets out the steps lenders must take. These changes come as part of the Mortgage Repossessions (Protection of Tenants etc) Act 2010.

Commenting on the news Cllr Benson said:

“I have long been concerned about the lack of legal protection for tenants living in private rented accommodation who risked eviction through no fault of their own.

“Last year I campaigned locally to raise the profile of this issue and lobbied politicians nationally to take action to help local people.

“I am very pleased MPs have passed new legislation to ensure tenants get a fairer deal and more time to find alternative accommodation if their landlord falls on hard times.”

Over 2 million social tenants have missed out on the Government’s pledge to halve the increase in council rent this year, figures uncovered by the Liberal Democrats have revealed.

People who live in housing association homes have been excluded from the Government’s promise, despite the fact that they make up half of all social tenants and already pay on average 13% higher rents than council tenants.

The average rent for a housing association property averages around £80 per week in the South East. In Reading housing associations control over 4,000 homes compared to just over 7,000 controlled by the local authority.

Commenting, Lib Dem Prospective Parliamentary Candidate for Reading East Cllr Gareth Epps said:

“Millions of social tenants have been abandoned by this Government.

“Families and individuals across Reading are struggling to pay their bills and this inflation-busting rent hike could be the last straw for many.

Cllr Daisy Benson, Lib Dem housing spokesperson on Reading Borough Council added:

“There is no reason why housing association tenants are able to afford this rise any more than council tenants.

“It’s simply yet another case of the Government’s eagerness to grab headlines instead of helping millions of families.

Reading’s Labour administration sought all party support at a Council meeting on Tuesday 31 March for a reduction in Council house rent following the Labour government’s u-turn on guideline rents for 2009-10.

Margaret Beckett, Minister for Housing and Planning recently proposed that all councils reduce their council house rents for 2009-10 which was a complete reversal on their previous advice which had been to increase rents substantially above the rate of inflation.

Cllr Daisy Benson welcomed the rent reduction on behalf of the Lib Dem group and made the point that the above inflation rent rise Labour pushed for in January would have hit many tenants, particularly those in receipt of Housing Benefit (23%) hard.

In January, Labour councillors and officers had urged councillors to back a 4.9% rent increase.

Cllr Benson read from a letter issued by the Department for Communities and Local Government which confirmed that Reading Borough Council would be expect to meet the administration costs of bringing forward this rent reduction in full.

A formal question to Council submitted by Cllr Benson confirmed that officers estimate this figure will amount to in excess of £10,000 and will have to come out of Council coffers.

The Lib Dems proposed an amendment which was successfully carried requesting that the Chief Executive and Leader of the Council be instructed to write to the Minister of State for Housing and Planning welcoming the reduction in guideline rent increase for 2009-10 and the benefits this will bring Council tenants, but also expressing disappointment at the timing and handling of this decision, and the impact it is likely to have on the Council, drawing her attention in particular to:

• The costs which are expected to be incurred to the Council
• The impact on internal budget setting, Housing Revenue Account Balances and delivering quality housing services in Reading
• The brevity of the consultation process

Cllr Daisy Benson commented:

“While we welcome the rent reduction and the benefits this will bring tenants but we are angry at the inept way that this decision has been handled by the Labour government which we now know has cost Reading Borough Council at least £10,000 pounds.”

“The cost will include sending new rent demands to all tenants in the Borough – a second time – which many tenants are likely to find confusing.”

“It is shocking that in a recession, when many councils including Reading are desperately seeking ways to save money, that this Labour government is adding to the financial burden of already cash-strapped local authorities in this way.”

“We sincerely hope that this cock up will not impact on services for residents in Reading.”

Cllr Gareth Epps, Lib Dem Group Leader and Lib Dem Prospective Parliamentary Candidate for Reading East added:

“It’s time Labour politicians stop treating Council housing as a political football. This rent reduction is not an act of kindness by Labour but an electoral bribe aimed to save council seats in other areas.

“We will continue to campaign for an end to the dreaded ‘tenant tax’ whereby a significant proportion of Council tenants rent is sucked back to Whitehall.

“Labour should know that reducing the amount stolen from Council tenants by the Treasury doesn’t make the theft any less wrong.”

Editor’s Notes:

More information about the government’s decision to reduce guideline rents for councils can be found here.