I have tabled a number of amendments in this group, but given that we are so pressed for time, I will speak to just one of them, new clause 8, which I hope to press to a vote.
I am deeply concerned about the lack of affordable housing, which is yet another indictment of this Government, who have turned their back on “generation rent”. Housing is undoubtedly at the heart of the concerns of my constituents in Brighton. That message comes across clearly from conversations on our city streets, in my surgeries and from the e-mails and letters I receive.
In addition to tackling things such as letting fees, housing standards and security of tenure in the private rented sector, it is absolutely crucial that we ensure an adequate supply of affordable housing. Yet this coalition’s slapdash, ill-thought-out approach to right to buy is undermining this. The Bill, as currently drafted, would reduce the eligibility period for the right to buy from five years to three years. Giving local authority tenants and some housing association tenants the opportunity to buy their home at a discounted price is not a bad thing in itself, but only on the strict condition that it does not jeopardise affordable housing supply, including the ability of housing associations to build new affordable housing.
The new clause would require the Government to produce a plan to replace affordable homes lost in England as a result of right to buy, review the effectiveness of current policy and ask for an assessment to be carried out of changes since 2012 before further policy changes are made. Around 1.8 million households are waiting for a social home, which is an increase of 81% since 1997. The reality of right to buy is about much more than families being able to own their home. Last year, it was revealed that rich landowners are cashing in, buying up multiple ex-council properties and renting them back to people on endless housing waiting lists. In one London borough, as I said earlier, a third of council homes sold in the 1980s are now owned by private landlords, some of whom own dozens of properties.
Far too often, the rich, not the poor, are the real beneficiaries of housing benefit. Currently, only one in every seven homes sold through right to buy has been replaced, and I find it astonishing that the Government are so complacent that they are not even monitoring the number of homes replaced following the preserved right to buy. Housing associations say that, in fact, the number is likely to be even less than one in seven. It is inexcusable that Ministers have not even consulted housing associations, which provide 2.5 million homes to more than 5 million people.
We are a rich country. If we are serious about tackling the housing crisis, we need a major programme of direct capital investment to build sustainable council housing, and the constraints on borrowing faced by local authorities should be lifted, so that councils can better meet demand for new homes. We must not inhibit the ability of
housing associations to build more homes. This would ease pressure on the private market and, in turn, help rent levels and housing prices. Instead, we have the appalling situation where we are paying housing benefit to private landlords at extortionate market rates for good houses that once belonged to the taxpayer. It is a scandal.
Today, house prices speak for themselves. In my constituency, the average one-bedroom flat costs nearly six and three-quarter times the median household annual income, and three-bedroom houses cost more than 12 times. That is why I hope that people will support my new clause.