Liberal Democrat Archives

They say politics is a rough old trade, but any hope that there might be a frank debate on housing during the Party Conference season were dashed immediately at the LibDem conference in Birmingham. The line was just to deny that their policies have any downside at all.
LibDem President Simon Hughes MP knows that attack is often the best form of defence.
He set the tone at the start of the week by giving the impression that the worst thing happening in housing at the moment is that Frank Dobson MP is a council tenant, or as Inside Housing quoted Hughes as saying, he lives in ‘a bloody Camden Council flat’.
Then we had Andrew Stunell MP’s subterfuge: trying to pretend that ‘affordable rent’ homes are social housing, stretching credulity to the limit. He also made much of the Coalition’s efforts to bring empty homes back into use without mentioning Eric Pickles restrictions on the use of Empty Dwelling Management Orders to protect property owners’ ‘fundamental rights’.
Finally we had Pensions Minister Steve Webb MP. Surely a man with such expertise in
the field of tax and benefits would have something intelligent to say about the housing benefit reforms. None of it. His line was that while Labour accused him of adopting a policy akin to the slaughter of the first born, the truth was that cash spending on housing benefit at the end of the Parliament would be the same as at the start, around £22bn. So
all is well, he is just ‘reigning in the remorseless growth in spending’. No mention of rent inflation, or of policies, like affordable rent, that are driving up housing benefit costs, or of the increasing caseload of private tenants having to share the available cash, or of the policy of pushing homeless families into the more expensive private rented sector. And certainly no mention of Boris Johnson’s description of the policy as ‘Kosovo-style cleansing’.
Never can a LibDem audience have been so supine. It looked to me like they think that
the only hope of political survival is to keep their heads down and claim that they are having influence. In housing they have nothing to show for their efforts because they have gone along with the Tory agenda in its entirety – the end of social rent, moving towards market rents, reducing tenants’ rights, laissez-faire in the private rented sector.
It will be interesting to see how the Labour Conference pans out. We are told that there will be honesty about the record in office, which should start with an admission that far too few homes were built. But this has to lead to new policies that will produce many more homes – market homes and genuinely affordable homes. There will need to be a radically new approach to capital investment, so I will be paying as much attention to Ed Balls as I will to Caroline Flint.

Steve Hilditch

Founder of Red Brick. Former Head of Policy for Shelter. Select Committee Advisor for Housing and Homelessness. Drafted the first London Mayor’s Housing Strategy under Ken Livingstone. Steve sits on the Editorial Panel of Red Brick.

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We don’t often link to the Telegraph on Red Brick. But the sting operation against leading Liberal Democrats has had a focus on one of our favourite topics – housing benefit.

So here is what Business Minister Ed Davey actually said to the undercover reporters on this topic. Hear the tape here.

“Well, their housing benefit cuts, for example, which are going to mean in my view if they go through that some people on the breadline will be put below the breadline. And that’s just deeply unacceptable. There is (sic) five changes to housing benefit, and there are two which I find are unsupportable. One which will come in in 2010-13 where if you were unemployed for 12 months and you still were passing the working test which is actively seeking work – to get jobseekers allowance, which is about £80 a week, something like that, so you can eat you will have to show that you are looking for work…… I don’t understand why you are on the breadline, you’ve been trying to look for work, you’ve been passing all the government tests, and you’re suddenly going to have your rent, which is your highest cost, your help with that, taken down by 10 per cent. No logic behind that whatsoever…. We spend too much on it. It’s pushed up rents and landlords, rich landlords, are getting their pockets filled. So the system doesn’t work, but I don’t think you kick people when they’re down.”

Contrast that with the pugnacious and ever so slightly pompous Mr Davey’s attack on Chris Bryant and Boris Johnson on BBC’s Question Time in October for using the word ‘cleansing’ to describe the housing benefit changes. He said:

“Chris and Boris Johnson should apologise. The language they are using is appalling and I think it is scaremongering and I think their analysis is completely wrong. And I’ll tell you why it’s appalling. I have Kosovan asylum seekers in my constituency who really were ethnically cleansed ….. what is being proposed is nothing of the sort, you should use temperate language and have a moderate and grown up and adult debate…. People will find that 790,000 social homes in London will be completely unaffected. They will find that the vast majority of housing benefit recipients across the country will be unaffected. And yes there will be some but we have increased massively the fund that will assist if there are problems to £140m. And even those people who will be affected, they will be able to find that up to a third of private rented sector homes in London still affordable under housing benefit. Now I’m afraid you are being factually wrong and pandering to people’s sentiment when we’re actually putting in a sensible policy….. The real issue here is that we are proposing after all these changes the state will still subsidise up to £20,000 a year rent in the private sector – £400 a week”.

A few facts

– Many social tenants will be affected by the 10% cut in jobseekers allowance, uprating benefits at less then RPI, and the increase in rents for some tenancies to 80% market rents

– The £21,000 a year cap is irrelevant to most private tenants. Many more will be affected by the 30^th percentile rule and the overall benefits cap of £26,000

– The ‘vast majority’ of private tenants will be affected, as the government’s own figures now show.

As an aside, Ed Davey’s rage about the use of hyperbole about cleansing looked synthetic at the time – after all, Lord Turnbull said Gordon Brown was Stalinist – but it looks even odder now that Vince Cable has called the government ‘Maoist’. It seems that comparisons to genocidal maniacs are more common that we think.

We’ve observed before that the more the government accuse the opposition of scaremongering, the more likely it is to be true. Below the breadline…… kicking people when they’re down. Mr Davey’s real views deserve to be heard, and should be acted upon.

Even Ebenezer Scrooge finally repents. If the LibDems stand up for their principles, they might just get to play the part of the ghost of Christmas yet to come.