Local homes for local people is imperative. I will make five suggestions.

  • First, we need proper local data, including a register of housing lets and a register of second homes.
  • Secondly, we need to fix local taxation. Business rates do not work here, as we all know, so on top of council tax, a council tax levy should be paid by people who have the privilege of owning a second property for holiday lets. After all, people renting still use local services and need their bins collecting.
  • Thirdly, on planning, we need to build local homes for local people. The planning system does not currently accommodate that, and the obligations and incentives have a perverse impact. A residence test is required, and although I would welcome such a measure, it is about more than that. We need to address the problem not just at the point of sale, but when the land is being developed, and consider the obligations placed on developers. We need to review the local planning process—I appreciate that we have not had a local plan since 1954, which is escalating the problem—and I trust that the Minister will deliver that for us this year. He needs to bang heads together at our local authority to deliver that, because we absolutely need to look at the planning system in today’s context.
  • Fourthly, on financial incentives, scrapping the mortgage tax relief on holiday lets is absolutely essential, as is looking at how stamp duty can be even better used as a disincentive for second home ownership. When disposing of public land, instead of chasing one-off land receipts, investment in the long-term interests of the community and the socioeconomic outcomes should be the prime focus.
  • Fifthly, we should also limit the time for which holiday homes can be let, as has been done in London and Europe. That will curb the behaviour of some of second home owners and ensure that those homes can go to local communities.

We need the principle of local homes for local people to govern every housing decision so that we can once again have a vibrant community.

Rachael Maskell Shadow Minister (Digital, Culture, Media and Sport)  1:53 pm, 6th January 2022

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