Hertfordshire Housing Target

The right hon. Gentleman makes a good point. He says that centrally imposed targets are difficult for local authorities to address when there are constraints on the areas in which they can allow development. He mentions the green belt implications and I, too, find it difficult to understand how one can substitute one area of land for an area of green belt on which planning permission has been given for development. It was either the hon. Member for Hertford and Stortford or the hon. Member for St. Albans who said that the importance of green belt is the separation of towns and communities rather than the conservation involved in the substitution of a different area. The spatial importance of green belt has been lost in the argument. The Government should consider supply as well as demand, and they should invest in northern regions, which are crying out for investment and for jobs. The right hon. Gentleman made a point about that, but the issue must be re-examined, because there is huge capacity in the north and west, and it could be used to our advantage. The key to the issue is the Secretary of State and centrally imposed targets. Local authorities and the assemblies should be trusted more and given more powers. Mention has been made about planning gain, and we are concerned about the legislation that is before the House and about the fact that the money will not be given to local authorities for them to determine its use. It is the very antithesis of localism. Commenting on the report by Select Committee on Communities and Local Government, my hon. Friend the Member for North Cornwall (Mr. Rogerson) said:"““This report confirms the Treasury’s proposals on planning gain supplement contradict everything Ruth Kelly has been saying about devolving powers to local people and communities. ""Replacing the current planning contribution paid by developers with planning gain supplement will not provide more money for the roads, schools, GPs surgeries and any new houses that are needed.””" One other issue that must be considered is the VAT system. All new build is zero-rated but the refurbishment and reconstruction of existing property bears the full VAT rate. VAT equalisation would lead to the much better use of existing housing stock and facilities in order to meet the needs of the serious housing situation in Hertfordshire.