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It makes eminent sense for Parliament, and the country, to be given the opportunity to preview the Queen’s Speech. It is a peculiar pretence that sees the monarch personally and politically compromised by unveiling the Government’s legislative programme. The Summer Statement initiated by the Prime Minister provides an opportunity to improve the law-making process.
The opportunity needs to be combined with integrity. Gordon Brown’s term as Chancellor of the Exchequer was punctuated with the release and rerelease of many and various plans and proposals. The practice was disingenuous because it undermined interest and enthusism in the policy process, and words were not necessarily accompanied by action.
Quite a lot of yesterday’s Summer Statement will be familiar to Westminster watchers. They know that health, education and security are priorities, just as they are already aware of some of the proposed measures. As was pointed out by David Cameron, the Leader of the Opposition, Mr Brown is guilty of finding good days to unearth old news. What of substance will be in the Educational and Skills Bill, for example, that was not touched on by Ed Balls, the Secretary of State for Children, Schools and Families, in his House of Commons statement of Tuesday?
But the Prime Minister did put flesh on the bones of housing proposals. Work undertaken in Whitehall on long-term, fixed-rate mortgages will be needlessly distracting. But it is significant that Mr Brown raised the 2016 target for new home-building from 200,000 per year to 240,000 – compared with about 170,000 at present. Paucity of supply lies at the heart of the UK housing market conundrum, and even if the declaration of intent does no more than concentrate minds on delivery, it is useful. When it comes to finding building plots, meanwhile, it is laudable that Mr Brown intends to lead by example – although, once again, it remains to be seen how much extra land owned by the Ministry of Defence and the Health and Transport departments will be released.
The biggest steps forward will come if the new Planning Bill develops the ideas included in the Barker and Eddington reports, and new urgency and efficiency is injected into the process. It is said that location, location and location are the critical issues when it comes to buying property.
When it comes to housing policy, it’s about planning, planning and planning. It is vital that all possible advantage is taken from the hosting of the 2012 Olympic Games. Nationwide housing problems will be eased by local regeneration projects such as those in East London.
The Planning Bill must deliver more affordable housing for lower-paid workers and younger people. It must respect local concerns and national imperatives such as preserving virgin land and extending transport links and utility infrastructure. Regional economic variations may also be softened: although the special attraction of the capital, rather than provincial privations, explains why the average London home costs £313,000 and a similar Yorkshire property costs £149,000.
The best results will come if private sector housebuilders, guided by sensible planning principles, lead the development. These builders have the imagination and flexibility to cope most effectively with the financial, architectural and social risks involved. The problems are obvious, as are many of the solutions. Implementation is now the priority.
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Until methods are found to restrict credit the problem of unaffordable housing will go on and on. By offering mortgages well over 3 times salary lenders drive up the prices to serve themselves and estate agents.
Michael, London,