Latest news with #AngelaRayner
The Guardian
8 hours ago
- Business
- The Guardian
Treat social housing as critical infrastructure to unlock billions, says Peabody boss
The head of one of the UK's biggest non-profit housing providers has called for social housing to be classed as 'critical national infrastructure', like roads and energy networks, allowing for billions of pounds in much needed extra investment. In an interview with the Guardian, the chair of housing association Peabody, Ian McDermott, said it should be reclassified by the Treasury to allow chancellor, Rachel Reeves, to commit extra funds without breaking her fiscal rules. His intervention comes as 11 of the country's major providers wrote in a letter to housing minister Matthew Pennycook ahead of next month's spending review that the government had inherited 'the worst housing situation in living memory'. The housing secretary, Angela Rayner, is said to be fighting for a larger settlement in the spending review, planned for 11 June, amid dissatisfaction over funding for affordable and social housing. McDermott warned that 90% of current spending on social housing was on subsidies and temporary accommodation, rather than bricks and mortar, the reverse of what had been the case in the 1970s. 'For too long, social housing has been seen as a subsidy and a cost rather than an asset and critical national infrastructure for the country,' he said. There are 14 areas of national life currently listed as critical infrastructure, including defence, data, energy, food, health and transport – but not housing. If housing was included, it would make it easier for spending on it to be excluded from normal fiscal rules, as it would be categorised as investment in infrastructure and would not count against government debt. The letter from London-based associations including L&Q, Peabody, Clarion Housing and Notting Hill Genesis said: 'It is important to be honest about the scale of the problems and the solutions needed. You have inherited the worst housing situation in living memory. There is a housing emergency, with London at the epicentre, and new supply in the capital has already fallen off a cliff.' It said that there were more households in London on a social housing waiting list than double the entire population of Cambridge. The temporary housing crisis and its effects on people's lives was 'almost impossible to articulate', the letter said, warning it was costing councils in London alone almost £4m a day. But it said changes to government rent policy since 2016 had taken almost £6.6bn out of the sector, which could have been invested in new and improved homes. 'By the end of the parliament affordable housing completions will have fallen to the lowest levels since the second world war without urgent and specific interventions for London,' it said. Shelter and National Housing Federation have suggested about 90,000 social homes a year would be needed to hit the government's manifesto target of 1.5m new homes, at a cost of about £11.8bn each year. But the investment is estimated to support almost 140,000 jobs and generate significantly higher economic output, breaking even within three years. McDermott, who takes over chairing the G15 group of London's leading housing associations from June, said the 1.5m homes target was 'very stretching' but the sector could play its part in achieving it. 'We own land that could potentially build 20,000 homes. Can we build it? Yes, we can. It is definitely possible. There is an issue about workforce and about skills. But can we bring about that generational change? Yeah, we can,' he said. 'But we need the government to be sympathetic and supportive of our asks.' McDermott said the economic case for investment in housing was 'unarguable'. Sign up to First Edition Our morning email breaks down the key stories of the day, telling you what's happening and why it matters after newsletter promotion 'The social case is unarguable. It's national infrastructure because if you look at what makes contented, thriving communities, at the core of those things is decent housing. And unless you recognise it as an essential element to a productive Britain and a thriving Britain and a contented Britain, then actually you're going to miss the point.' The housing ombudsman recently warned of a 'simmering anger at poor housing conditions' which he said could boil over into social tension, with a 474% increase in complaints about substandard living conditions since 2019/20. Richard Blakeway said it was 'neither fanciful nor alarmist' to suggest the growing anger at housing conditions could become 'social disquiet', saying the 'shock of Grenfell Tower and Awaab Ishak's death resonate still'. He said there had been a 'really serious fracturing of trust, which in some cases is irreparable,' with housing providers. McDermott said that he understood the anger and that the sector had to do better, but said it was wrong to say providers did not care. 'England has some of the oldest housing in Europe and the ombudsman is right to say that our not-for-profit sector is under intense pressure. Looking after residents' homes well is our top priority and needs to be funded through rental income,' he said. 'This is heavily regulated and was subject to government-imposed cuts for five out of seven years, which eroded our capacity to invest. As a sector, we're catching up but with inflation and the cost of living crisis it has been a perfect storm.' Ministers are facing increased pressure to unlock more funds for housing in the runup to next month's spending review. In a speech at an event in London on Saturday, Andy Burnham, the Labour mayor of Greater Manchester, was to call for a timetable by which time more new social homes were being built than sold off, calling housing 'the single biggest cause of Britain's modern malaise'. A spokesperson for the Ministry of Housing, Communities and Local Government said: 'We've taken immediate action fix the housing crisis we've inherited and kickstart the biggest expansion to social and affordable housing in a generation. This included, they said, £800m for affordable homes, and changes to right to buy, with a proposal for a long-term rent deal for social home providers to provide certainty on income.
The Independent
9 hours ago
- Business
- The Independent
Angela Rayner and Rachel Reeves clash over spending plans
A Treasury deadline for agreeing on departmental spending plans has passed, revealing a clash between Chancellor Rachel Reeves and Deputy Prime Minister Angela Rayner over political direction. Rayner's Ministry of Housing, Communities and Local Government (MHCLG) is among departments yet to settle budget plans with the Treasury, resisting cuts and advocating for a more progressive, higher-tax approach. Reeves is reportedly pushing for significant efficiency savings across departments, except for defense and health, leading to accusations of " austerity 2.0" from within the Labour party. Rayner proposed alternative wealth taxes and benefit limitations in a leaked memo to Reeves, highlighting disagreements over fiscal strategy and priorities. The stand-off occurs amid broader concerns among Labour MPs about potential austerity measures and pressure on Reeves due to strict borrowing rules and election promises.
The Independent
9 hours ago
- Business
- The Independent
Angela Rayner and Rachel Reeves in stand-off over Labour's spending plans
Angela Rayner and Rachel Reeves are at loggerheads over the crucial spending review as the deputy prime minister's department passed an unofficial deadline to settle its budget until the next general election without securing an agreement. With the spending review set to be unveiled on 11 June, departments have told The Independent that the Treasury wanted their plans agreed by the start of this weekend. But The Independent understands that Ms Rayner's Ministry of Housing, Communities and Local Government (MHCLG) is one of a number of departments yet to settle with Ms Reeves and her deputy Darren Jones. The clash at the top of the Labour government comes as ministers resist cuts to their departments and marks a distinct clash over political philosophy between the two most senior women in the government. Ms Rayner wants a more progressive higher tax approach with fewer cuts, while Ms Reeves is being accused of wanting ' austerity 2.0'. Ms Reeves has also been struggling to reach deals with Yvette Cooper's Home Office; Steve Reed's Department for Environment, Food and Rural Affairs; and Ed Miliband's Department for Energy Security and Net Zero. Only defence with a spending package of 2.5 per cent of gross domestic product, and health budgets are protected, with others expected to find efficiency savings to help Ms Reeves balance the books. Sources have said that claims Ms Rayner stormed out of a meeting last weekend, slamming the door, were 'not true', but admitted conversations, while 'cordial', have 'not been easy'. Now it is understood that her demands for a proper settlement for local government in England, as well as funding for the affordable homes scheme beyond 2026, have left her at loggerheads with the chancellor. Trade unions are also taking a very close look at the settlement for councils which will be tied closely to pay demands over the coming years. Already councils like Birmingham have been facing potential bankruptcy because of tight budgets and wage demands. The stand-off comes just a week after a memo from Ms Rayner to Ms Reeves was leaked to the Daily Telegraph in a move which allies of the deputy prime minister described as 'poisonous'. In it she suggested eight different wealth taxes as an alternative to cuts as well as limiting benefits for migrants and reintroducing a payback scheme for middle class families claiming child benefit which was originally introduced by former Tory chancellor George Osborne and then ditched by Jeremy Hunt. An ally of the deputy prime minister noted that 'she is at least make the progressive case' for an alternative to Ms Reeves' strategy. The row comes amid concerns by Labour MPs that Ms Reeves is 'pushing for austerity 2.0'. Already the chancellor has been forced into accepting a U-turn on cutting winter fuel payments to pensioners. She and Sir Keir Starmer are also facing a rebellion from Labour backbenchers on cutting disability benefits. The chancellor has also had her hand forced on investment for red wall constituencies where Labour MPs are under threat of losing their seats to Reform. There have been reports that she plans to splurge on projects in the north of England and midlands by tweaking her strict borrowing rules. Ms Reeves is under added pressure because of the strict borrowing rules she has imposed on herself to maintain economic credibility as well as the election promises not to raise employee national insurance contributions, income tax or VAT. A Treasury source noted: 'More than half of departments have settled [funding agreements] three weeks out from the spending review, which is pretty unusual and the fact you'd always expect negotiations to go on.'
Daily Mail
19 hours ago
- Business
- Daily Mail
Government is paying over £1billion a month to households with at least one foreign national in them
The government is now paying over £1 billion a month on benefits claims to households with at least one foreign national, new figures show. Households with at least one claimant who is a foreigner received £941 million in March his year, up from £461 million year-on-year, The Telegraph reports. This increase represents almost a sixth of the month's Universal Credit payments and cancels out the £1.4 billion the Government saved by cutting winter fuel payments. Experts have suggested that the increase reflects a surge in the number of asylum seekers being granted refugee status in Britain. Foreigners are eligible for UC and other benefits on the same terms as British citizens after being granted indefinite leave to remain or refugee status. The latest figures come as Angela Rayner last week called for migrant benefits to be slashed and urged Rachel Reeves to make changes, after the Deputy PM challenged the Chancellor's economic approach. Bold proposals, outlined in a leaked memo revealed by The Telegraph, also suggested making it harder for immigrants to receive Universal credit. Ms Rayner even said Labour should raise the fee migrants pay to use the NHS, in policies she and her team claimed were 'contentious' but still 'worthy of consideration'. Under current policies, introduced under the Tories in 2015, foreigners on work visas pay to access healthcare - a fee currently set at £1,035. The 'radical' policies further included limiting access to the state pension. The latest revelations come after Ms Reeves was hit with a triple blow to her authority. The Deputy PM suggested launching the plans in the Spring Statement - and hoping to get them over the line by the Autumn Budget. 'Migrants who have spent five to 10 years in the UK generally receive access to a broad range of welfare entitlements,' a section read, as reported by the broadsheet. 'Indefinite leave to remain in the UK confers access to core welfare entitlements such as Universal Credit, and 10 years of National Insurance contributions confers eligibility for some state pension provision. 'Those who arrived in the UK during the period of very high immigration in the past few years will become eligible for indefinite leave to remain over the course of this Parliament.'
Times
20 hours ago
- Entertainment
- Times
William Hague's sage advice for Ed Miliband on handling defeat
Ten years ago Ed Miliband was licking his wounds after a bitter defeat in the general election, but it turns out there is a support group for vanquished leaders of the opposition. 'I saw William Hague,' Miliband tells The Rest Is Politics, adding that the former Tory leader had a key bit of advice: 'Carry on being the person you are because you'll find people's attitude towards you transforms and they'll say, 'Where was that person before?'.' Miliband did as he was told and won new admirers, though he did find that some still needed clarification on which person he was. At Holborn Tube a few months later, a man saw him and recognised the big loser in the election. 'Oh my God,' the fellow said. 'It's Nick Clegg!' A state of affairs A baffling job advert has come up at Angela Rayner's ministry of housing, which has said that it is looking for a 'Head of public affairs'. This usually means a lobbyist, though the meat of the ad suggests that they meant to say 'external affairs'. Or maybe Rayner's decided that the best way to get Keir Starmer onside with her bold economic ideas is to exert public pressure until he U-turns. It's a tried and tested method. Coburn's close call When Politics Live returns on Monday, it will be without Jo Coburn who has hosted the show since it began in 2018. Speaking to Westminster Insider, she recalled how the job saw her break news and break up fights. On one edition, the commentator Will Self and the Tory MP Mark Francois (two names to have rarely troubled lists of dream dinner party guests) squared up on air over the issue of Brexit. 'The editor said to me 'Jo, they look like they're going to hit each other, what are you going to do?',' Coburn recalls. If the clip is rewatched, Coburn can be seen indicating the two glasses of water in front of them and then nodding towards the camera. It's not clear whether the would-be pugilists noticed this threat, but both men regained control and the programme did not become an absolute shower. Crown rinse Some actors begin preparing for a role by finding their character's shoes but, as she prepares to play the late Queen on a national tour, Anne Reid started at the other end of the body. 'I've talked to her hairdresser,' Reid tells The Bath Chronicle. 'I had to ring him and say, 'She talks about having permed hair. Did she have permed hair?' ' Apparently, Her Majesty got the full Kevin Keegan at least three times year. True to stereotype, the hairdresser also proved good for gossip, telling Reid that the Queen was once mid-investiture when a new dame's phone went off. 'Should you get that?' the monarch said. 'It might be important.' Gaffe in the gents You never know who you are going to bump into in parliament, and small talk must be approached with caution. Lord Lee of Trafford had an awkward moment recently when he found himself next to someone in the gents who was dressed brightly, with stockings, baggy trousers, bodice and a fancy hat. The wine from dinner gave him the courage to ask, 'Are you a Morris dancer?' This is a bold question when uncertain of the reply, and so it proved when this chap took it badly. 'No,' he replied. 'This is the national dress of Norway.'
