Politics

Right to Buy discount halved

Published

9 years ago

August 6, 2015

Right to Buy: Not what it was!

IT WAS ANNOUNCED last week that the Welsh Government had halved the maximum discount available under the Right to Buy scheme in an attempt to ‘protect the social housing stock’.

Earlier this year Communities Minister Lesley Griffiths announced her intention to end the scheme, which has been in existence since the early eighties when it was introduced by Michael Heseltine, Margaret Thatcher’s Environment Minister as part of the Housing Act (1980).

It is hard to think of a single policy which has been so divisive over the last three decades. It is, in effect, an ideological issue; with Free Market proponents on the one side advocating the power and responsibility taken from the state and given to the individual. Opposing this are critics who point to the drastic reduction in social housing over the time period, and the corresponding increases in homelessness and the use of public money to pay private landlords.

In Wales, 138,709 council-owned homes were sold under Right to Buy between 1981 and 2014 – leading to a reduction in the social housing available of 45 percent. Nationally 42% of the population lived in council housing in 1979 – by 2008 this had dropped to 12%.

The sale of council housing was originally meant to provide funds which would enable local authorities to pay back loans and build new properties. However, restrictions were placed on the proceeds of the sales, and councils found that they could not build any new social housing until these loans had been paid off. House building by local authorities in England and Wales dropped dramatically during the eighties, and has never recovered.

The Labour Government initially opposed the policy, but changed their position in 1985. Tony Blair’s government introduced caps on the discount available in areas short of social housing, and in 2005, the rules were changed to stop former tenants selling on the open market immediately after purchase. A five-year minimum residency before becoming eligible for the scheme was also introduced.

The policy was initially very popular among council tenants, and it was considered to have played a major role in Margaret Thatcher’s landslide victory of 1983, when in 1980 she had the lowest approval rating of any prime minister since records began.

However, repossession rates were notably higher than those for people taking out private mortgages, and homelessness across Great Britain trebled over the eighties. Another bone of contention for those opposed to Right to Buy concerned the burgeoning buy to let market, which in many cases saw ex-council housing stock rented out at considerably more than the local authority charged.

Because most of the council housing purchased was of good quality, and as a result of housing shortages leading to applicants being prioritized on the basis of need, many tenants found themselves living in areas of increasing social deprivation. Cuts to council maintenance budgets, and a dramatic increase in council rents contributed to this on a national level, and to some extent made Right to Buy a self-fulfilling prophecy for those who could afford it. By the mid-nineties, 95% of council tenants qualified for means-tested benefits.

There has been a rise in the number of social housing sales in Wales over the last five years, with 544 properties sold last year. In response to this, the maximum discount has been reduced to £8,000 from £16,000. Commenting on this, Lesley Griffiths AM said that “Right to Buy is depleting our social housing stock.

“This damaging policy is further increasing the pressure on our social housing supply and is forcing many vulnerable people to wait longer for a home,” she added.

“This is why the Welsh Government has taken decisive action to protect our social housing and make sure it is available for those who need it most. Today is a significant step towards our eventual goal of abolishing the Right to Buy and Right to Acquire in Wales.”

The Conservatives, unsurprisingly, disagree with this. Speaking earlier this year, Shadow Assembly Housing Minister Mark Isherwood said that the move ‘flies in the face of aspiration and ambition. It will limit supply and deny people in council properties the choice and power to buy their own home’.

Mr Isherwood announced the intention of the Welsh Conservatives to extend Right to Buy: “We would invest all the sales proceeds in new social and affordable housing to help tackle Labour’s housing supply crisis and take households off their record-breaking waiting lists,” he added.

“Scrapping the right to buy is further proof that it’s anti-aspiration; stuck in an ’80s socialist dogma where it believes the government knows best – not the individual. We must use every tool in the armoury to increase housing supply in order to make housing more affordable.”

Whether selling off social housing in order to make money which could potentially be used to build more is a viable solution to these ‘record-breaking waiting lists,’ or indeed whether the aforementioned 45 percent reduction in available social housing could have had anything to do with the current housing shortage remains unclear.

This also fails to take into consideration people living in social housing that is not covered by Right to Buy, and indeed the large number of people renting from private landlords, often because of a shortage of council housing.

In England, the Conservatives have announced proposals which would extend Right to Buy across all areas of social housing. However, the social housing provider would have to be compensated, thus meaning that the discounted price would have to cover the cost of a new equivalent house. This is meant to be funded through local authorities selling off their more expensive council houses when they become vacant, but research has shown that outside of London the figures often fail to add up.

News

Fresh questions over fire that ravaged Manorbier school

Published

2 days ago

May 3, 2024

Bruce Sinclair - Local Democracy Reporter

A senior Pembrokeshire councillor is to be quizzed on what progress has been made in recouping a £200,000 insurance excess paid by the council following the 2022 fire at a Manorbier school.

Manorbier Church in Wales VC School and its adjoining schoolhouse was severely damaged by a fire on October 11, 2022, which broke out in the school roof space.

Pupils and staff were successfully evacuated with no injuries, and a “school from school” was set up in Jameston Village Hall, after a brief period of sanctuary at the nearby Buttyland caravan site.

Pembrokeshire County Council’s insurers have previously said the fire was accidentally started while “hot works” were being carried out by contractors to renew an adjacent flat roof, but, as has previously been stressed, no liability had been accepted to date.

Councillors have previously heard the majority of costs were likely to be met from the council’s insurers, with the caveat of the unknown issue of liability and its effect on the £200,000 insurance excess.

A submitted question, by Councillor Aled Thomas, to be heard at the full council meeting of Pembrokeshire County Council on May 9, will ask Cabinet Member for Education and Welsh Language Cllr Guy Woodham “to update the chamber on what progress the Cabinet have made in recouping the £200,000 insurance excess paid following the devastating non-fault fire at Manorbier school”.

Councillors have previously been told by Cllr Woodham: “The legal issues are not straightforward but will be robustly taken forward.

“At this stage it’s still subject to legal discussion. The excess will be covered by a fund the council holds for insurance excess.”

He said that, if liability was found or accepted, the council would “pursue for the full maximum claim of the costs associated with the fire”.

Crime

Dafydd Llywelyn retains his post as our local commissioner

Published

2 days ago

May 3, 2024

Tom Sinclair

THE result of the election for the Dyfed-Powys Police and Crime Commissioner election has been declared.

Plaid’s Dafydd Llywelyn retains his role as commissioner. He has held the role since 2016.

The result of the election is as follows:

Justin Mark Griffiths (Lib Dem) 7,719
Ian Harrison 19,134 (Con)
Dafydd Llywelyn 31,323 (Plaid)
Philippa Thompson (Lab) 18,353

Before the election, Dafydd Llywelyn promised: “As your current Commissioner, operational, front-line policing has, and always will come before party politics. I have a strong track record of delivering on my promises and of listening to the communities of Dyfed Powys. I am proud of what I have achieved since 2016, but there is still so much to do.

“I am an approachable individual and I believe in listening to all members of the community in order to shape a successful police force.

“Since 2016, I have increased resources whilst also retaining the lowest council tax levels in Wales. During that time, we’ve seen:

150 more Police Officers;

150 more Police Staff;
A CCTV system that is monitored 24/7 by police staff;
A dedicated rural crime team;
A focus on county lines drug dealing to target organised crime;
Investment in Youth Offending Teams to divert young people away from crime;
A new Offender Diversionary Scheme to reduce re-offending.

If re – elected:

I will safeguard Neighbourhood Policing resources retaining a visible local policing presence;
I will invest in the Communications Centre to ensure an accessible service;
I will continue to put the victim at the heart of the service and develop a truly victim led service;
I will work with operational staff to keep local police stations open;
I will invest in a new and refreshed School Police programme to deliver early intervention and preventative work;
I will prioritise working in partnership with organisations and agencies to safeguard the most vulnerable in society.

“Your safety is my top priority. I want to ensure that the Dyfed Powys Police Force remains one of the safest places to live in Wales and England.”

News

Pembroke Power Station hydrogen fuel production hopes rise

Published

2 days ago

May 3, 2024

Bruce Sinclair - Local Democracy Reporter

A public consultation on plans to develop a green hydrogen production facility next to Pembroke Power Station has been launched by energy company RWE Generation UK.

The technology uses the electrolysis of water to split into its constituent elements, hydrogen for fuel and power, and oxygen.

RWE, in its consultation, says: “RWE is progressing proposals to develop a green hydrogen production facility on RWE’s land adjacent to the existing Pembroke Power Station and has launched a statutory pre-application consultation to inform stakeholders and the community.

“RWE values the input of the local community and feedback will be used to inform the plans. RWE Pembroke Green Hydrogen will facilitate the generation of green hydrogen. Green hydrogen is produced from water, using energy obtained from renewable sources.

“The hydrogen can then be used to decarbonise local industrial activities in South Wales, by displacing their current fossil fuel usage. The facility would be located on RWE’s site to the west of Pembroke Power Station and would benefit from being well-screened from local communities, while being accessed via the current power station access road.”

It adds: “It is expected that hydrogen generated by this facility for use in local industry would directly result in the reduction of approximately 93,000 tonnes of CO2 emissions each year, helping to secure a more sustainable future for South Wales’ long-standing industrial heritage. This CO2 saving is the equivalent of removing 18,600 cars from the road each year.”

The 23.7ha development site proposed comprises of a 4ha main electrolyser area, a 1.5km hydrogen gas pipeline corridor, an electrical connection to a high voltage transformer all located to the west of Pembroke Power Station, and an area for connections into the Pembroke Power Station and a cable corridor for connection into the National Grid Substation.

The consultation documents say: “The proposed development is a green hydrogen electrolysis plant that will consume circa 100-110MW of electricity to produce around 2 te/hr green hydrogen gas for third-party uses unrelated to Pembroke Power Station. Including the balance of plant, the total energy consumption for the proposed development will be approximately 140MW.

“The consequent reduction in use of fossil fuels due to substitution by green hydrogen gas, and avoided greenhouse gas (GHG) emissions, is a beneficial operational effect of the proposed development.”

It says development of the project is expected to take 24 months, and subject to as-yet unsubmitted full plans’ approval, could be built by early 2027.

The consultation runs to May 20.

A hydrogen fuel plant facility was given the backing of county planners last October, at the former Puma Energy site in Milford Haven.

H2 Energy Ecosystem UK Limited sought permission for the erection of an electrolysis hydrogen generation facility, and associated storage facilities and works at the Amoco Road site.