In the North East, new figures this week show that housing starts fell 96% for homes at Social Rent from 163 to just 7, and total Affordable Homes also fell 91% from 192 to just 17. These demonstrate the disastrous impact of the Tory-led Government’s 60% cut of £4bn to Labour’s Affordable Homes Programme.
Only one day on from the launch of the Government’s Housing Strategy, these new figures have shattered the Government’s credibility on affordable housing.
Yesterday, the Government committed to giving back only 10% of last year’s £4 billion cut to housing investment to build just 3,200 affordable homes, this wouldn’t even cover 10% of the fall in the affordable homes starts in the last 6 months.
Labour would repeat the bankers’ bonus tax to build 25,000 new affordable homes. Together with our proposed 5% cut to VAT on home improvements, that would mean more homes, that are in a better condition, creating much needed jobs and apprenticeships. Under Labour, the private rented sector will be properly regulated, so every family that rents has security and choice.
“This government is failing to get to grips with the worsening housing crisis. Across the country there has been a 99% fall in the supply of Social Homes for rent and affordable homes overall, while in North East we’ve also seen a 99% decrease.”
“We have called for the Government to repeat the bankers’ bonus tax to fund 25,000 new affordable homes while proposing a one year cut in VAT on home improvements, repairs and maintenance to help homeowners, small businesses and create much needed jobs and apprenticeships.”
“This government needs to think less about grabbing headlines and more about tackling the worsening housing crisis.”
Jack Dromey MP, Labour’s Shadow Housing Minister said:
“These figures show the disastrous impact of the Tory-led Government’s 60% cut of £4bn to Labour’s Affordable Homes Programme.
“Only one day on from the launch of the Government’s Housing Strategy, this out of touch Government’s credibility has been shattered. Grant Shapps likes to claim that last year his Government built more affordable homes for rent than any time since 1995-6, but the facts show that the 60,000 new affordable homes built last year were planned for, financed and started by the last Labour government.”
“This out of touch Government has committed to giving back only 10% of last year’s £4 billion cut to housing investment to build just 3,200 affordable homes, this wouldn’t even cover 10% of the fall in the affordable homes starts in the last 6 months. Their housing policies are failing and those in need of a decent, affordable home are paying the price.
“Labour’s five point plan for jobs and growth would introduce a bank bonus tax to fund 100,000 jobs for young people and build 25,000 more affordable homes.”