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.
Boris Johnson apologises over latest No.10 party revelations saying it was ‘work event’
THE PRIME MINISTER says he thought party in March was a ‘work event’ but concedes he should have stopped the gathering on May 20, 2020.
In Prime Minister’s questions on Wednesday (Jan 12), he apologised to the public and said that “I wish that things had been done differently on that night.”
But Boris Johnson said that Labour will have to wait for the outcome of an inquiry to know the exact details of what happened that night.
Labour Leader, Keir Starmer said Matt Hancock resigned when he broke the rules, and Allegra Stratton resigned for laughing about rule breaking. Why does the PM think the rules don’t apply to him. Boris Johnson says that is not what he said.
Starmer said the PM originally said he had been assured there were no parties. Then the video landed, and he pretended he was sickened by the parties. Now it turns out he was at the parties. Starmer added that it was his opinion that the public think he is “lying through his teeth”.
Tory MPs objected, on the grounds that MPs should not accuse each other of lying. Sir Lindsay Hoyle, the Speaker, defended Starmer, saying he is talking about what the public think.
Johnson said he does not accept that. He added a laywer should wait for the facts.
Keir Starmer said that he spoke last night to a woman, Hannah, whose father died last May. She met Johnson last year, and Johnson told her that he had done everything possible to protect her dad. Hannah now knows her father’s death certificate was signed on the day of the party. Does the PM understand how she feels?
Johnson said he understands how she feels. He wanted to apologise. But the government has been doing what it can to protect people. It has the most tested population in Europe. And it has had the fastest vaccine rollout in Europe, and one of the fastest in the world. Apologising again, the PM said: “Whatever mistakes have been made on my watch, for which I apologise, that is the work that has been going on in Dowing Street.”
Simon Hart, the Welsh Secretary, and MP for South Pembrokeshire and West Carmarthenshire, has become the first cabinet minister to publicly express concerns about the latest partygate revelations. Simon Hart said this morning: “We’re in the middle of an investigation, that was set up by the PM to get to the bottom and to get to the truth about what was reasonable at the time and what wasn’t. It’s frustrating to have to rely on the investigation and we must be careful to not pre-judge that or what the PM will say in a few minutes’ time.
“The one thing I’m not going to do is make light of something that is unquestionably something of a significant public concern.
“I don’t live on a different planet. The frustration and the hurt and indignation and the incredulity that emerging stories like this produce. I’ve got, like everyone, family and friends asking me these questions. We have to get to the bottom of this.
“Judgment will need to be made about what happens next.”
There is some excellent detail about the No 10 party on 20 May 2020 in the Times today. The paper reports that Martin Reynolds, who sent out the email invitation to around 100 staff as the PM’s principal private secretary, became “panicky” in advance of the event, because staff were concerned it was against the rules, but decided cancelling the event would make things worse. The paper reports: “That afternoon, staff began preparations. A row of tables was set up on one side of the garden to act as a bar. In the garden itself more tables were set up in a layout to encourage people to observe social-distancing rules.
“Officials and advisers began arriving shortly after 6pm. While many stayed away, about 40 came. Many took up Reynolds’ suggestion in his email that they should “BYOB” — bring your own booze — taking a trip to the Tesco Express next to Westminster station. The drinks table was well stocked with gin, rosé, red wine and white wine, and guests began to arrive and mingle.
“Two sources said that the prime minister attended, with one saying he was “wandering round gladhanding people”. His fiancée Carrie Symonds, whom he married last year, also attended and was said to have been drinking with Henry Newman, then an adviser to Michael Gove and now a senior figure in No 10.
“The Times has been told that one senior official at the event joked about the risk of surveillance by drones, which was viewed as a tacit admission that the rules were being breached.”
Police in England issued 118,419 fines for breaking lockdown rules between 27 March 2020 and 17 October last year. That included 800 fines in the week when the No 10 party was held on 20 May 2020.
In London 17,745 fines were issued between March 2020 and October last year, including 113 for holding illegal gatherings of more than 30 people.
Ed Davey, the Lib Dem leader, said: “Thousands of Londoners have been fined for flouting lockdown rules during the pandemic. It would be double standards of the worst kind for the police to turn a blind eye when those in No 10 have done the same.”
Carmarthen East and Dinefwr MP, Jonathan Edwards, questioned the British Government on the floor of the House of Commons this week with regard to the ongoing allegations facing the Prime Minister and his Cabinet.
Allegations of a party held by government members and officials during May 2020 continue to plague the Conservative administration, with pressure mounting on the British Government over the past few days.
With an investigation into these claims commissioned, Jonathan Edwards MP questioned the government on what they believed would be an appropriate political sanction should the investigation conclude that a party was held and that the Prime Minister, or other Ministers attended.
The response came that it was not appropriate to comment on this hypothetical situation, and that they would await the results of the independent investigation.
Speaking outside the Chamber, Mr Edwards said: “I have been contacted my several constituents in the past few days outlining their shock, their disappointment, and their anger at the current allegations that this Government faces.
The stories they have shared with me of enormous personal sacrifice, of funerals held over video calls, and of elderly family members unable to see their loved ones in the flesh, have been emotionally powerful, and I thank them for sharing those experiences with me.
Should the allegations of Government Ministers attending a party at this very same period prove to be true, it will fly in the face of the collective struggle that everyday people have endured for almost 2 years now, and it will finally confirm what many of us here in Wales have already theorised: that the political ruling class in Westminster do not care about the citizens that they represent.”
Labour and Plaid unveil a deal for Government
ON MONDAY (November 22), Labour and Plaid Cymru announced an agreement to stitch up the Senedd for the next three years.
Amid much self-congratulation, Adam Price and Mark Drakeford hailed their success at reaching an agreement.
Labour promises to deliver the bits of its Manifesto with which Plaid agrees and considers delivering the bits of Plaid’s Manifesto that it finds unobjectionable.
WHAT THEY SAY
A joint press release says: “The agreement is a joint policy programme covering 46 areas, ranging from the delivery of free school meals to all primary school pupils; a commitment to take immediate and radical action to address the second homes crisis, to long-term reform of the Senedd.
“This is a new form of political working arrangement. The two partners – the Welsh Government and the Plaid Cymru Senedd Group – will work together to jointly develop and oversee the delivery of the policies covered by the agreement over the coming three years.”
First Minister Mark Drakeford said: “The Welsh Government has an ambitious Programme for Government, which it will deliver over this Senedd term. But we do not have a monopoly on good ideas, and we will work with progressive parties where we have shared and common interests to benefit people in Wales.
“This Co-operation Agreement brings the Welsh Government and Plaid Cymru together to respond to some of the most pressing issues facing Wales today, such as climate change and the energy and cost-of-living crisis.
“We can achieve more for people in Wales by working together, and the Co-operation Agreement is both a response to the external challenges we face and a chance to build on the opportunities in our future. It will also help us secure a stable Senedd over the next three years, capable of delivering radical change and reform.
“These commitments build on our shared values of social solidarity, a sustainable planet and a vibrant democracy.”
Adam Price, Leader of Plaid Cymru, said: “Almost a quarter of a century ago, people in Wales voted for self-government for Wales, with a promise of a new type of politics.
“They placed their trust in a new democracy with an instruction to work differently – inclusively and co-operatively.
“The challenges we face require real ambition to deliver radical ideas. The fallout from leaving the European Union, the legacy of the pandemic, and the UK Government’s determination to erode the Senedd’s powers all increase the need for transformational change.
“Taken together, the bold policy pledges will unite Wales and benefit every generation, from all primary school pupils receiving free school meals to a national care service, free at the point of need.
“I am pleased this pioneering Co-operation Agreement is founded on common ground on a range of issues that will make a long-lasting difference to people’s lives.”
As part of the agreement, a publicly owned energy company for Wales could be created to encourage community-owned renewable energy generation; there will be further investment in flood defences and new measures to strengthen the Welsh language and support for young people’s mental health.
This is a bespoke agreement – it is not a coalition; Plaid Cymru Members will not be joining the Welsh Government as Ministers or Deputy Ministers. Plaid Cymru will appoint a designated lead member for the agreement. Committees of Welsh Ministers and Plaid Cymru designated members will be established to agree on issues covered by the Co-operation Agreement.
Funding has been put in place as part of the Co-operation Agreement and reflected in the draft Budget published in December.
All issues outside the Co-operation Agreement will be handled in the normal course of political engagement.
THE FALL OF ADAM:
FROM HIGH IDEALS TO BASE REALITY
Before May’s election, Adam Price spoke about his “despair” at the prospect of five more years of Labour Government, of Labour’s failures in Wales, and how Wales deserved better.
It turns out what he meant was that he was happy to support Labour in exchange for many things Labour said it was going to do anyway.
The prospect of last week’s Welsh Food Bill (supported by Plaid) ever hitting the statute book has taken a massive step backwards. Instead, there’s likely to be a continuation of the current Welsh Government strategy of discussing whether to consult before talks about holding talks.
Labour hailed its thirty seats in May’s election as a massive endorsement for its policies. Voters rejected those policies in large parts of Wales, where the fight for seats was between Plaid and the Conservatives.
Bolting strong anti-Labour sentiment in traditionally Plaid supporting areas did not end well for Plaid after the One Wales Government.
It is hard to see the crustier members of the Party of Wales reconciling themselves to backing Labour in a Senedd many of them regard as not speaking for their concerns about language, culture, and rural Wales.
Setting unionism aside, the divide between rural Plaid voters and the Conservatives is a lot narrower than Plaid in Cardiff Bay would like to accept.
However, the signs that the parties would reach an agreement have been obvious for some time, notably at First Minister’s Questions.
Over recent weeks, Adam Price’s questions to Mark Drakeford played out like a charade.
The Plaid leader repeatedly invites the Labour leader to comment about the awfulness of the Westminster Government, and the Labour leader obliges and agrees with Mr Price about how awful it is.
The searching scrutiny of the Welsh Government’s actions one might expect from the Plaid leader has been from Mr Price’s questions.
All of which suggests both he and Mark Drakeford are more concerned about what Westminster is or isn’t doing than what the party in power in Wales is or isn’t doing.
It’s all been rather like the occasion when Margaret Thatcher, faced with short-term political difficulty, was asked by Pembrokeshire’s former MP Nicholas Bennett to list her Government’s achievements.
As someone who prides himself on his command of language and speech-making, Mr Price seems to have reconciled himself to the idea that it’s better to reign in Hell than serve in Heaven.
When it comes to political idealism against political reality, Mr Price has shown himself a pragmatist.
With 45 Senedd members, Labour plus Plaid, the numbers stack up arithmetically to increase the number of MSs and change the electoral system.
The losers in such a change, Plaid and Labour calculate, will be the Conservatives.
Increasing the number of Senedd members has long been a Labour goal. In the last Senned term, Labour lacked the numbers to make the change: now it does.
An increase in the number of Senedd members works only if a larger Senedd gets things done and gets them done faster and better.
Labour’s record on introducing primary legislation to the Senedd is weak. For example, it is still wrangling over the scope of the Wellbeing of Future Generations Act passed in 2015, two Senedd elections ago.
There is, however, an issue that might cut through any proposed enlargement: public opinion.
Plaid’s and Labour’s recent rhetoric could come back to haunt them.
For the last two years, the Labour Government has lamented the powers being stripped away from it by the Conservative Government in Westminster.
Adam Price has agreed that the Conservatives have stolen powers and breached promises over finance at every turn.
If, as Labour and Plaid claim, the beastly Westminster Parliament is stealing away its power to do anything, the question arises as to why – with fewer effective powers at its disposal – Wales needs more Senedd Members.
A larger Senedd will not hinder a Conservative majority government in London from doing what it wants, and it would be neither more nor less legitimate than the current arrangement.
The result of sixty out of eighty Senedd members complaining when nobody’s listening will be no different than forty-five out of sixty.
A larger Senedd will not mean more powers in Cardiff unless Westminster grants them.
A larger Senedd must mean smaller (and possibly fewer) County Councils.
A larger Senedd might also mean a more openly centralised approach to Wales’s shambolic and chaotic health and social care provision.
The powers the agreement allows the Welsh Government to use are ones it already has – ones a Conservative Government granted it.
Wisely, the Welsh Conservative response to the deal does not over-egg the constitutional pudding.
It emphasises priorities for the Government over the party’s too-frequent claims of ‘constitutional chaos’.
A spokesperson said: “This deal fails to deliver on the priorities of the people of Wales.
“It does nothing to address the crisis in our NHS; nothing to improve our ailing Welsh infrastructure; and nothing to fire up our sluggish economy.
“Prioritising more politicians and constitutional reform over action to secure treatment for the one in five on an NHS waiting list or improving take-home pay for the low paid is appalling.
“Yet again, Plaid has betrayed its voters with another deal that cements a failing Labour administration into power for years to come.
“The message to voters is clear; vote Plaid, get Labour, and vote Labour, get Plaid. Only the Welsh Conservatives can deliver the real change that Wales needs.”
Moving the Welsh Economy Forward: “A Team Wales recovery, built by all of us” – Economy Minister
THE WELSH GOVERNMENT will pursue a progressive economic policy that focuses on better jobs, narrowing the skills divide and tackling poverty, Economy Minister, Vaughan Gething, will say today.
At a hybrid Economic Summit, the Minister has invited businesses, trades unions and local government leaders to discuss how Wales can create a stronger, fairer, greener economic future.
In setting out his vision to move the Welsh economy forward, the Minister will commit to extending a Team Wales model to offer ‘as much certainty as possible’ for businesses facing a volatile recovery.
He will promise a new era of partnership to strengthen regional economic development, a delivery plan to back the everyday economy and wide ranging support for workers in a fast changing economy.
The Welsh Government will work with unions and business to develop it’s ‘something for something’ approach so that Welsh public money is wedded to action on fair work, decarbonisation and skills.
The Minister will also start a conversation about the long term demographic challenge facing the Welsh economy. The proportion of the population aged 16 to 64 years old in Wales has been decreasing year-on-year since mid-2008 – and could be just 58% of the population by 2043.
In response, Welsh Ministers’ approach will be geared towards creating an economy where more young people feel confident about planning their future in Wales thus supporting job creation and more dynamic local economies.
The Welsh Government will set out a vision of what makes Wales an attractive place to live, study, work and invest – including the quality of life in an inclusive, open and green nation.
The Welsh Government will also call on the Chancellor to demonstrate the UK Government’s ambition for Wales by honouring promises made on EU successor funds, backing major renewables such as tidal energy and investing in Welsh research and development.
Later, the Minister will visit a family-run business that’s received Welsh Government support to grow, before delivering a speech to a predominantly virtual audience of business, trades unions and local government leaders and other partners at Transport for Wales’ new HQ in Pontypridd.
Speaking ahead of the summit, Economy Minister, Vaughan Gething said: “The Welsh Government is taking bold action to build a stronger, fairer, greener Welsh economy. It has taken a Team Wales effort to keep Wales safe and we will deliver a Team Wales Recovery, built by all of us.
“A strong Welsh recovery will be based on the principles of fair work and sustainability as we invest in the industries and services of the future.
“As we face the headwinds of Brexit, I am determined that our credible plans will offer as much certainty as possible to help businesses plan ahead.
“A new era of partnership for stronger regions, a young person’s guarantee, a plan to back our everyday economy and collaboration with world leading, advanced manufacturing. This is the cause for optimism for the future we are building in Wales.
“My ambition is to make Wales a place where more young people feel confident in planning their future here. You don’t have to get out to get on, make your future here in Wales.”
The Welsh Government’s approach includes:
- Investing in our people – through the Young Person’s Guarantee and a strong employability and skills offer, including Apprenticeships;
- Supporting those furthest away from the Labour market to find work. The upcoming Employability Strategy will highlight the support available for individuals, particularly those most impacted by the pandemic and furthest away from the labour market;
- Accelerating the adaptation to new skills which are required for skilled, secure jobs, not least in the area of low carbon. The current recruitment challenge has also shown there is a need for some quick action on skills in certain sectors;
- Exploring how we retain our graduates and talent in Wales by building strong linkages with universities, and between universities and businesses;
- Support start-ups, including graduate start-ups, with possible incentives in some areas;
- Ensure we have firms grounded in Wales who can provide future opportunities;
- Wales can also benefit from the opportunities for far greater remote working and flexible commuting options.
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