Public Affairs Part I: Social Housing

Public Affairs Part I Social Housing

Different Phases in Social Housing • The “Prefab” – post-1945, lots of new housing was needed quickly for the millions made homeless by the war. ‘Jerry-built’ prefab buildings were quickly built • Tower blocks – in the 1960s, especially the later years under Harold Wilson’s Labour government, there was a rush to build functional housing on a grand scale, using as little land space as possible (to enable industry to flourish in the “white heat of technology”). Social housing started being built in skyscrapers • New Towns – Margaret Thatcher turned against the tower block in the 1980s, after decades of criticism of the often poor quality accommodation they provided. At the same time, as she tried to promote the idea of a “home-owning democracy”, she ordered the building of a number of “new towns”, including Milton Keynes

Post-Council Housing Revolution • 1985 – Introduction of the “Right to Buy” principle, whereby tenants who had been in council housing for two years were allowed to buy their homes at a discount rate of 60 per cent of their market prices. Criticisms included fact that councils were barred from using the capital receipts from these sales to build any more homes for those who still needed it. Some councils accused of using council house sales as ‘bribery’. Westminster City Council leaders were prosecuted for “gerrymandering” local election results, by fast-tracking sales of homes to potential Tory voters, and moving some known Labour voters into other wards, in an effort to ‘spread’ the Labour vote – thereby reducing the likelihood of Labour councillors being elected

Post-Council Housing Revolution • 1988/9 Housing Act officially turned local councils into “enabling” authorities (effectively “commissioners” of social housing), rather than builders/providers. Non-profit bodies called housing associations (overseen by a quango known as the Housing Corporation) began to gradually take over the maintenance of existing social housing stock, and the construction of any new homes • 1993 – Tories give groups of tenants in council homes right to take over day-to-day running of their housing blocks – even if they didn’t buy up their homes. To do this, a vote of tenants was needed, and a tenant management organisation (TMO) could be formed • 1996 – By this date, 51 councils had transferred their entire housing stock into housing association control

Current Home Ownership Figures • Home ownership = 67% • Rented sector = 33% • Council housing = 19% • Housing associations = 4% • Private landlords = 10%

Other Aspects of Local Authority Housing Provision • Housing budgets - unlike any other area of council spending, there is a separate account covering housing expenditure: the housing revenue account. This covers repair and maintenance costs, and revenue from rents and fines for vandalism etc is paid into it • Unfit housing/overcrowding - councils have responsibility for ensuring no local residents live in property that is “unfit for human habitation”. They can prosecute private landlords under the Environment Protection Act 1990 • Renewal areas – councils can ‘buy up’ (if necessary by compulsory purchase) areas containing at least 300 dwellings where 30 per cent or more of residents receive benefits to provide improved or additional housing, under the terms of a ‘renewal area’ arrangement • Social landlords – charities/other bodies can build social housing, under terms of a ‘social landlord’ agreement with the local authority

Councils and the Homeless Under the 1977 Homelessness Act, local authorities have a statutory duty to house anyone who is “unintentionally homeless” in their area within 28 days of learning of this. This can, though, be in “temporary accommodation”, including so-called B&Bs and night shelters. Those deemed “intentionally homeless”, though, include people who have been evicted due to rent arrears (for whatever reason) The following are treated as “priority cases”: • • • •

People with dependent children People made homeless by an emergency and disaster (flood etc) People vulnerable because of old age, mental or physical handicap Pregnant women and their households