Thousands of homeless families drift to the end of the track

Local authorities are now empowered to place homeless people in private rented accommodation, meaning they can be forced out of our cities.

This is a blog about a recent news story, but the background isn’t so recent at all. It starts with a train ride I took out of London on a rainy night five years ago and finally, at the end of the track; a coastal town.

Here’s what I wrote at the time: “A games arcade’s neon lights bleed into the cold mist [...] Beside it there’s a foul-looking chippy and a few desultory tourist shops, all closed. A hill leads away from the seafront. Up here, past rows of huge Victorian houses, most of them with peeling plaster and rotting doors, there’s a small row of shops. A group of children smokes outside an off license. The tattered pub is closed.

“And just off this street, a huge hotel, bigger than the others. It costs £40 a week to stay here, and 200 people do  [...] they have one communal kitchen, which is open for just an hour. A family walks in: mother, father, two small children. They have come from abroad and are seeking asylum. They prepare their food for the evening, then leave. Next, an ex-convict, released after eight years. And after him, a street drinker, a paedophile, a heroin addict, and many more [will] come and go.”

Near the house was a church, and in the basement of the church was one of the most horrific places I have ever seen. It was a charity’s drop-in centre and it was mostly used by heroin addicts, many of whom came from the big house. A sixteen-year-old boy stood outside, smoking a roll up. He was wiry, ghostly pale, and covered in sores. His fingers were brown. He couldn’t sleep, because he was coming down from a heroin hit. Inside, there were dozens more like him - wrecked wraiths of men and women, lurching about in a couple of half-empty living rooms and a communal kitchen.

I remember a middle-aged, anorexic-looking man with thin whisps of blonde hair. He was trying to eat a bowl of pasta, which had no sauce or meat on it. He kept putting the spoon to his mouth, then wrinkling his face in disgust. He tried, and tried, but he just couldn’t eat it. For some reason the image is burned into my memory.

I was there because I’d got into a chat online with a guy who worked for a local charity called the Scrine Foundation. He’d found out I was researching crime, and had invited me down to the end of the line to show me the misery that drug dealers from London were creating. The story was supposed to be about their trade. But I came across an interesting angle. The people to whom they were dealing weren’t local either. They were from various places: according to him, some were from as far afield as London themselves. What was going on?

It was only a few years earlier - with laws passed in 1996 and 1999 - that local authorities were asked to provide accommodation to asylum seekers and other appellants who were considered to be destitute or at risk. The Housing Act 1996 already stated housing authorities should house people within their district “so far as reasonably practicable”.

Nearby councils found various ways round it, and farmed their homeless to places like this town, where accommodation was cheap and there was plenty of room in the old Victorian hotels that had been converted into bedsits and houses in multiple occupation. They could offer to fill every room in a hotel for a lengthy period at a vastly reduced rate, and at the same time could claim they had reduced the number of people living in temporary accommodation. These people would use facilities like doctors and libraries in that area, guaranteeing even more savings.

And the influx of needy people created a chain of supply and demand. It was an area in which 90 per cent of the properties were privately rented, and in which two thirds of households survived on benefits - where property prices were low, and antisocial behaviour high. The high influx wasn’t just families from housing waiting lists - it was of children heading to care homes.

Another Scrine worker told me there were over 100 foster homes in the area, 29 of them on one road - along with with 19 sex offenders. He said: “Children are sent around to foster parents, then aged 18 they’re abandoned, because the parents want a new child to get their weekly payments.”

I didn’t name the area, because I didn’t have the time to go into the story in any more detail, and I didn’t think naming the place would do it any favours. I feel I can now, because there have since been a number of reports on it. It was Cliftonville, in Margate, and it was suffering these problems at the height of the economic boom. What now?
 

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In the years since I visited, the Scrine Foundation lost its funding due to a combination of bad management and a lack of faith from its funders. However, its main day centre in Canterbury has re-opened under a new name (Chasing Lives), and with a new manager, called Terry Gore. I spoke to him about what I’d seen five years ago.

“It’s gone on in one form or another as far back as the early 1990s,” he tells me. “Back then some of the big mental hospitals in London were closed, and the councils resettled the patients in Thanet. It was seen as a place that was on the downslide: you could get cheap accommodation. A friend of mine worked in community mental health but gave it up because he was so overworked - he suddenly spent his entire time moving from client to client giving them depots (slow release medication). Likewise, some of the bigger children’s homes were closed around that time, so they got a lot of referrals from London. And at the same time, local authorities in East Kent would dump a lot of their homeless there.”

Terry tells me about the big house. It was called the Hotel Leslie: “To call it a shithole would be to understate it. Agencies would dump anyone there. Sex offenders came out of prison and they were obliged to register their address, so authorities had to find them a place to live. It meant they could end up being housed in close proximity to children. It got to a point where the local authority had to sit down with all the councils in East Kent and tell them to stop targeting the area.”

The problem was solved, but a new one was looming on the horizon.

The Government’s Localism Act, which came into force this spring, empowered local authorities to place homeless people in private rented accommodation. Previously, people accepted as homeless could wait for a council house, but now they had to accept a private one.

There were obvious problems with this from the outset: the long-term lack of investment in affordable social housing, a mortgage drought that pushed up rents, successive governments’ failure to provide a decent living wage and a cut in local housing allowance that in Liverpool alone meant 21,000 people could only afford 12,000 homes in the city. And so the act’s progress through parliament was accompanied by a series of worrying headlines. Boris Johnson voiced fears of a “Kosovo-style social cleansing”: “The last thing we want to have in our city is a situation such as Paris where the less well-off are pushed out to the suburbs,” he said.

Despite his bombastic language, it seemed he hadn’t gone far enough. In February we heard that Croydon council was looking to send people on its housing list to Hull; in April that Newham council was hoping to move people to Stoke, Westminster to Derby, Waltham Forest to Walsall, while Hammersmith & Fulham, Kensington and Chelsea and Westminster were working together to consider a proposal from private company Smart Housing Group to house people in Derby and Nottingham.

Grant Shapps, then housing minister, told the Today programme that it was “unfair” and “wrong”. And in response, on 9 November, secondary legislation was brought forward by the Department for Communities and Local Government to ensure that the suitability and location of accommodation are properly considered by Local Authorities when ending the main homelessness duty.

Will it work? Last week Private Eye reported on the first homeless families going through the system: “Many [London councils] are looking to acquire homes in cheaper areas not just in the southeast but as far afield as Nottingham and Manchester. They know they will face legal challenges but, much like the homeless families involved, they say they have no choice.”

The claim was backed up by Guardian research this month which revealed that local authorities in London are preparing to send thousands of homeless families to live in temporary homes outside the capital. Among the many towns in which housing was being required was Margate. It hasn’t seen the last of its settlers.
 

Vacancies signs in the window of a guest house in Margate, Kent. Photograph: Getty Images

Alan White's work has appeared in the Observer, Times, Private Eye, The National and the TLS. As John Heale, he is the author of One Blood: Inside Britain's Gang Culture.

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Chuka Umunna calls for "solidarity" among Labour MPs, whoever is voted leader

The full text of shadow business secretary Chuka Umunna's speech to Policy Network on election-winning ideas for Labour's future, and the weaknesses of the New Labour project.

There has never been an easy time to be a social democrat (or “democratic socialist” as we sometimes call ourselves in Britain). Whereas the right can demonise the poor and extol the virtues of the market, and the hard left can demonise the market and extol the role of the state, our position of constraining the domination of markets and reforming the state is, by definition, more complex.

It is nonetheless the case that social democracy has a historic responsibility, in every generation, to renew democracy and preserve a civic culture. This is achieved not through soundbites and slogans, but through the hard-headed development of a progressive politics that reconciles liberty and democracy, new comers and locals to our communities, business and workers, in a common life that preserves security, prosperity and peace.  This historic mission is all the more urgent now and my determination that we succeed has grown not weakened since our election defeat last May.

But, in order to be heard, it is necessary to make balanced and reasonable argument that both animates and inspires our movement, and which is popular and plausible with the people.  The first is pre-requisite to the second; and there is no choice to be made between your party’s fundamental principles and electability. They are mutually dependent - you cannot do one without the other.

We are in the midst of choosing a new leader and it is clear to anyone who has watched the UK Labour Party leadership election this summer that amongst a significant number there is a profound rage against Third Way politics – as pursued by the likes of Bill Clinton, Tony Blair, Gerhard Schröder and others - as a rejection of our fundamental values.

In the UK there is a view that New Labour accepted an uncritical accommodation with global capital that widened inequality, weakened organised labour and we were too close to the US Republicans and too far from the European left.

I do not believe this is fair, not least because we rescued many of our public services from the scrap heap when we came to office in 1997 and there were very significant achievements  we should celebrate.  New Labour renewed our National Health Service in a fundamental way; we built new schools and improved existing ones; we set up new children’s centres all over the country; we brought in a National Minimum Wage; we worked with others to bring peace to Northern Ireland; we introduced civil partnerships.  Just some of our achievements.

However, though we may take issue with the critique, I do not think we can simply dismiss out of hand those who hold critical views of New Labour. Like any government, the New Labour administration made mistakes - it could and should have achieved more, and done more to challenge the Right’s assumptions about the world. In the end, it is not unreasonable to be ambitious for what your party in government can achieve in building greater equality, liberty, democracy and sustainability. It is far better we acknowledge, not reject, this ambition for a better world, as we seek to forge a new politics of the common good fit for the future.

Realising our values in office has been disrupted by globalisation and the surge of technological forces that are displacing and reshaping industry after industry.

Some argue that globalisation as an ideological construct of the right. But we must recognise that we live in an increasingly integrated world in which markets have led to an unprecedented participation of excluded people in prosperity, a rise in living standards for hundreds of millions  of people and a literacy unprecedented in human history – this is particularly so in emerging economies like my father’s native Nigeria. And the internet has led to a level of accountability that has disturbed elites.

Yet, this has been combined with a concentration of ownership that needs to be challenged, of a subordination of politics that requires creative rather than reactive thinking, and these global forces have exacerbated inequalities as well as helped reduce poverty.

So it is important that we understand the sheer scale and impact of new technologies. At the moment we are engaged in a debate about Uber and its threat to one of the last vestiges of vocational labour markets left in London, those of the black taxi cabs and their attainment of 'The Knowledge'. But the reality is that within the next decade there will be the emergence of driverless cars so we have to intensify our exploration of how to support people in a knowledge economy and the realities of lifelong learning, as well as lifelong teaching. As people live longer we will have to think about how to engage them constructively in work and teaching in new ways.

Once again, I'm addressing all of this, Social Democracy requires a balanced view that domesticates the destructive energy of capital while recognising its creative energy, that recognises the need for new skills rather than simply the protection of old ones. A Social Democracy that recognises that internationalism requires co-operation between states and not a zero sum game that protectionism would encourage.

Above all, Social Democratic politics must recognise the importance of place, of the resources to be found in the local through which the pressures of globalisation can be mediated and shaped. Our job is to shape the future and neither to accept it as a passive fate nor to indulge the fantasy that we can dominate it but to work with the grain of change in order to renew our tradition, recognising the creativity of the workforce, the benefits of democracy and the importance of building a common life.  Sources of value are to be found in local traditions and institutions.

This also requires a recognition that though demonstration and protest are important,; but relationships and conversations are a far more effective way of building a movement for political change.

One of the huge weaknesses of New Labour was in its reliance on mobilisation from the centre rather than organising. It therefore allowed itself to be characterised as an elite project with wide popular support but it did not build a base for its support within the party across the country, and it did not develop leaders from the communities it represented. It was strong on policy but weak on strengthening democratic politics, particularly Labour politics.

Over half a million people are now members, supporters or affiliated supporters of our party, with hundreds of thousands joining in the last few weeks. Some have joined in order to thwart the pursuit of Labour values but many more have joined to further the pursuit of those values, including lots of young people. At a time when so many are walking away from centre left parties across the Western world and many young people do not vote let alone join a party, this is surely something to celebrate.

So it is vital that we now embrace our new joiners and harness the energy they can bring to renewing Labour’s connection with the people. First, we must help as many them as possible to become doorstep activists for our politics. Second, I have long argued UK Labour should campaign and organise not only to win elections but to affect tangible change through local community campaigns. We brought Arnie Graf, the Chicago community organiser who mentored President Obama in his early years, over from the U.S. to help teach us how to community organise more effectively. We should bring Arnie back over to finish the job and help empower our new joiners to be the change they want to see in every community – we need to build on the links they have with local groups and organisations.

I mentioned at the beginning that in every generation Social Democracy is besieged from left and right but the achievements of each generation are defined by the strength of a complex political tradition that strengthens solidarity through protecting democracy and liberty, a role for the state and the market and seeks to shape the future through an inclusive politics. Solidarity is key which is why we must accept the result of our contest when it comes and support our new leader in developing an agenda that can return Labour to office.

Yes, these are troubled times for social democrats. All over Europe there is a sense among our traditional voters that we are remote and do not share their concerns or represent their interests or values.  There is surge of support for populist right wing parties from Denmark to France, of more left wing parties in Greece and Spain and in Britain too. There is renewal of imperial politics in Russia, the murderous and abhorrent regime of ISIL in the Middle East, volatility in the Chinese economy and in Europe a flow of immigration that causes fear and anxiety.

But, the task of Social Democracy in our time is to fashion a politics of hope that can bring together divided populations around justice, peace and prosperity so that we can govern ourselves democratically. We have seen worse than this and weathered the storm. I am looking forward, with great optimism to be being part of a generation that renews our relevance and popularity in the years to come.

Chuka Umunna is the shadow business secretary and the Labour MP for Streatham.