Welfare Reform Bill


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Kali Mountford rose—
Mrs. McGuire: Perhaps not.
Kali Mountford: I will send my hon. Friend a copy of the report, which shows that in some circumstances, the median can be lower than the midpoint that is used at present, whether the top and bottom figures are excluded or not. That is a concern. In every case where the top and bottom figures are excluded, the median is significantly lower than the midpoint that is being used. Will she consider that point?
Mrs. McGuire: I would be delighted to look at that evidence. My understanding is that under the system that we will roll out, using the median will at least ensure that 50 per cent. of the properties in the locality—if we can call it that for shorthand—will be affordable to those on the new local housing allowance. I would be interested, however, in seeing the evidence that my hon. Friend has highlighted. We are very clear that we want rent officers to use all the evidence in the area.
I am trying to run through all the other points that have been made. The change in size criteria was mentioned by my hon. Friend the Member for Caerphilly; I assure him that the criteria do not mean that the claimants will have fewer rooms. They mean that local housing allowance rates are set and published according only to the number of bedrooms in a property, which reflects the reality of the letting structure. People do not advertise living rooms and so on; they advertise a three-bedroomed property, for example, and the new allowance will be calculated on that basis.
The Minister from the Welsh Assembly Government has grave concerns about some aspects of the Bill. I know that she has had extensive consultation and discussion with the Under-Secretary of State for Work and Pensions, my hon. Friend the Member for Warwick and Leamington (Mr. Plaskitt), who has primary responsibility for housing benefit. I appreciate that we may not have allayed all her fears, but we are certainly well aware of some of the issues relating to the Welsh Assembly Government. A reassurance has been given that we are sensitive to those concerns, but we think that the roll-out of the local housing allowance is in the best interests of those who are looking to rent in the private sector in Wales, and not only those in other parts of Britain.
On the linking rules, there is an extended payment scheme, of which Mrs. Hart may not be aware, that allows an additional four weeks’ continued payment of LHA if somebody moves into work. In addition, we are not taking the powers to roll out the LHA in the social sector, nor even to test it. We have given continued assurances that we shall not do anything like that.
I hope that I have addressed most of the points in our wide-ranging debate and that I have allayed most concerns. I shall finish where I started: LHA will for the first time put those who are on benefit, and who are looking to rent in the private sector, into a system that should impact on their ability to decide whether to move into employment. It is not just a question of having a system that is more transparent and less complicated. Most importantly, it will give people on benefit the capacity, for the first time, to negotiate in the private sector rental market in the same way as has long been the case for those who are not on housing benefit.
With those few—or rather, with those extensive—comments, I commend clause 27 to the Committee.
Question put and agreed to.
Clause 27 ordered to stand part of the Bill.

Clause 28

Loss of housing benefit following eviction for anti-social behaviour, etc.
The Chairman: There was originally a slight mistake on the amendment paper but hon. Members now have the correct version.
Danny Alexander: I beg to move amendmentNo. 263, in page 24, line 44, at end add—
‘130H Limitation
(1) Regulations to which this section applies may not remain in force after January 2010.
(2) This section applies to regulations made under any of sections 130B to 130F above.’.
Thank you for drawing the Committee’s attention to the correct version of the amendment, Mr. Amess. The amendment proposes what is colloquially known as a sunset provision that would ensure that regulations under the clause would cease to have effect after January 2010. The arguments in favour pertain to the content of the clause, and I hope that you will permit me to range quite widely, in the hope that the need for a clause stand part debate may thereby be obviated—from my point of view at least. [Interruption.] I was going to say that the clause refers to antisocial behaviour. We may have just seen an example. I do not think that the hon. Member for South-West Surrey is in receipt of an antisocial behaviour order, but maybe one would be appropriate. I do not know what other Committee members think.
Mr. Hunt: May I ask the hon. Gentleman to clarify for the sake of the record why he thinks that it might be appropriate for me to be in receipt of an antisocial behaviour order?
Danny Alexander: I shall not try the Chairman’s patience too much on that. Throwing bottles around is generally deemed to be at the antisocial end of the spectrum, although I appreciate that in this case it was accidental and I withdraw my comment.
There are significant concerns as to the powers in the Bill, as I said on Second Reading. I understand that the Government intend to pilot the idea, but as Committee members know, the Bill contains power whereby the housing benefit of someone who has been evicted for antisocial behaviour can be progressively sanctioned to nil for a period of up to five years. That is quite a severe financial sanction.
The Under-Secretary may wish to clarify, but it seems that the power will not be that widely used. I have seen figures—I think that they are public—indicating that the Government envisage 1,500 cases. I gather that in Scotland there might be six cases where this might apply. In practice, given the severity of the sanction and the poor quality of rehabilitation services for antisocial behaviour in many parts of the country, it may be used much less than that. This power is in the Bill more to grab headlines than to do anything serious to tackle antisocial behaviour. That would be my first reason for worrying about allowing these powers to remain in the Bill and to be rolled out across the country without any further primary legislation or debate on the Floor of the House.
3.15 pm
I have listened to the views of a wide variety of external organisations and I have not been able to find a single organisation that has lobbied in favour of these provisions. The Under-Secretary may have been lobbied extensively in favour of them, but I certainly have not. Whether it is the Social Landlords Crime and Nuisance Group, the Child Poverty Action Group, the British Council of Disabled People, Shelter, the National Housing Federation and especially the National Landlords Association, they have all made strong representations against the inclusion of these powers. There are a number of reasons for that.
First, there is the question that I raised on Second Reading about the impact on families and children. There is a serious concern that removing housing benefit could have unintended consequences for the dependants of those people, whether it is the children of the person who is behaving antisocially or perhaps the parents if the child is behaving antisocially.There were reports today, according to a study for the Youth Justice Board, of antisocial behaviour orders becoming a badge of honour among young people. Of the 137 young people surveyed, 67 have breached their ASBOs at least once, 42 more than once and six on six occasions or more. There are already questions about the way in which this approach is working.
When it is the antisocial behaviour of a child that has resulted in an eviction, the parent may be unable to control the child and the rehabilitation services may not be available in that area. As hon. Members know, there are serious concerns about the quality of rehabilitation services for antisocial behaviour that are available in different parts of the country, so we could have a postcode lottery in the implementation of this provision.
Natascha Engel (North-East Derbyshire) (Lab): One of the other elements that has alarmed people, quite apart from a postcode lottery, is that in the former pit villages that I represent where there was a lot of social housing and many people exercised the right to buy and are now private tenants, there is one rule for private tenants and a completely different one for those people who are in social housing. From the outside they appear to be exactly the same sort of houses, and the provision seems to discriminate against those with less money.
Danny Alexander: The hon. Lady makes a very important point and I was going to come to that. It is yet another reason why a sunset clause, which would cause the powers of the Bill to lapse after three years so that the matter would have to come back to the Floor of the House to be debated before it could be rolled out across the country, would be a good idea.
Another objection to these powers is that they are discriminatory between people in receipt of housing benefit and those who are not. There is no such sanction for someone who is not in receipt of housing benefit. I should be grateful for the Under-Secretary’s response to this. On Second Reading, my hon. Friend the Member for Rochdale (Paul Rowen) referred to the idea of probationary tenancies as an alternative to these sanctions as they could have a wider application.
Mr. Boswell: I cannot forget to allow my civil libertarian instincts to come out from time to time on these sorts of issues. Does the hon. Gentleman not agree that the clause appears to set no limits on the warning that a local authority may issue? Not many people who have been evicted from a house will have a tame in-house lawyer to take them to judicial review, but nevertheless, I suppose that local authorities always have a duty to be reasonable. However, there is no circumscription of the powers. The clause does not even say that they must be relevant to the housing experience as such—if I may put it that way. Should not that be judicially tied down a little?
Danny Alexander: As usual, the hon. Gentleman makes a useful and important point, which I hope the Under-Secretary will consider in her response.
Kali Mountford: May I take the point that my hon. Friend the Member for North-East Derbyshire (Natascha Engel) raised a bit further? The issue is not about whether a person lives next door to somebody who is also in receipt of housing benefit, but about people who live in similar accommodation and who are sometimes also on low pay or housing benefit. However, the terms of their tenancies vary, because some people rent from private landlords and some live in social housing. The problem is that sanctions can apply in social housing, but no sanctions apply where accommodation has been bought. People living in such accommodation can cause dreadful mayhem for the people in their neighbourhood. It is the tenants who live in the locality who want some sanction to apply, not the landlords who want their rent.
Danny Alexander: My response to that—I thought that this was the point that the hon. Member for North-East Derbyshire was making, but perhaps I misunderstood—is that antisocial behaviour can be caused by a range of people, irrespective of the nature of their tenancy or whether they receive housing benefit. I am sure that the hon. Member for Colne Valley would not claim that there is a preponderance of antisocial behaviour among housing benefit recipients, so her comment does not affect my argument in favour of restricting the powers in the Bill.
Natascha Engel: Just to clarify, the issue really has nothing to do with housing benefit and everything to do with whether a person is in social housing as opposed to privately owned housing. That is the distinction. It is wrong to have additional powers to penalise somebody for being in social housing rather than a privately owned property.
Danny Alexander: The hon. Lady makes a fair point, but my argument is that the problems that I have identified with the powers in the Bill are such that they apply whether somebody is in social housing, private sector housing or whatever. I seek to curtail those powers with the amendment. She is right that there is an argument for the same considerations to apply to everybody, but I question the motivation behind introducing the powers, their potential impact and the extent to which the Government should be free to continue to roll such powers out throughout the country without having further recourse to Parliament through primary legislation. That is what I should like them to have to do, which is why I seek to have the amendment inserted into the Bill.
Mr. Hunt: I slightly disagree with the hon. Gentleman and the hon. Members for Colne Valley and for North-East Derbyshire on one point. Of course anyone is capable of antisocial behaviour, whether they are in the private rented sector, the social housing sector or whatever. However if they are in receipt of my and other taxpayers’ money, which allows them to live there, I object to their using that to behave antisocially.
Kali Mountford indicated assent.
Mr. Hunt: Perhaps I am not disagreeing with the hon. Lady, in which case I am delighted to agree with her. My point is that I object to such behaviour as a taxpayer. As taxpayers, we are perfectly at liberty to say that if we subsidise someone’s living costs, we expect them to use that money to behave responsibly. Furthermore, other people on the street, who are also taxpayers, feel that particularly strongly.
Danny Alexander: I understand the hon. Gentleman’s point. My point is not that we should not be tough with people who are guilty of antisocial behaviour. Many measures are available to deal with such behaviour and Liberal Democrat Members have made proposals for others. I am just not convinced that this measure will have the consequence that we all desire—that of curtailing antisocial behaviour. I suspect that we are all agreed on that. This is a question—to use an earlier phrase of the hon. Member for Bury St. Edmunds—about means and practicalities, not ends or principles.
Having expressed reservations about the powers in this Bill, I conclude by asking the Under-Secretary to reflect on another issue. I know that one of the conditions in the provision is that, in addition to someone having to be evicted from their tenancy, they would also have to have refused engagement with rehabilitation services. It is important to say that the quality of rehabilitation services is patchy across the country. What proposals does the Under-Secretary have to improve those services and what right of appeal does she have in mind against these sanctions, particularly on those grounds? Is she aware—and I am sure, as the Minister with responsibility for disabled people, that she will be—of the problem of mislabelling disabled people, who have been inappropriately served with an antisocial behaviour disorder? Two out of three individuals described as being involved in antisocial behaviour have some form of vulnerability, 18 per cent. have a mental disability and 9 per cent. have a physical disability. Is she really saying that people who are already in a vulnerable position—for a variety of reasons, perhaps to do with a lack of understanding among the services dealing with antisocial behaviour—should have their benefit taken away as well as being evicted?
 
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