Too good to be true? Photo:Getty
Show Hide image

The public won't buy Right to Buy

David Cameron's Right to Buy policy scored good headlines but the public won't buy it.

Earlier this week, David Cameron announced the Conservative Party’s flagship election policy: to extend the Right to Buy to housing association tenants. The discounts, it was explained, would be funded by selling off high-value council houses. Scoring every national paper’s front page (bar The Mirror) was certainly the PR coup that that Conservative Party was looking for, but more in-depth analysis has been mixed. Will this policy stand the, albeit short, test of time between now and polling day?

I hope not. I don’t think that voters will buy it for three reasons: unlike politicians the general public understand that this nation’s housing crisis’ roots lie in the shortage of homes, particularly affordable homes; the public have also been told time and time again to keep the faith that we’re midway through a programme of austerity; and, the public will recognise that it is wholly unfair.

Our polling shows that 8 in 10 members of the public believe that there is a housing crisis in this country. And, perhaps unsurprisingly, they don’t think that an extension of the Right to Buy policy is the answer. Just 16% think extending Right to Buy to housing associations is good way to tackle the affordability crisis, in comparison to 46% who want the Government to give more public money to housing associations and councils to build more affordable homes that will benefit more people. 

Swathes of the public will almost certainly not ‘buy’ this policy, especially those millions of people in private rented homes who are desperate to buy but have no hope of doing so, nor the three million adult children living with their parents because they can’t afford to rent or buy. Little wonder then that 60% of the public believe that it would be unfair for social housing tenants to get a discount to buy their home while private renters do not.

The £17.5bn the Conservatives are planning to raise to fund the discount is enough for housing associations to build nearly one million shared ownership homes open to everyone, not just the lucky few already well housed in secure social homes. That would be a far better way of meeting the nation’s housing aspirations and ambitions than this policy.

 

David Orr is Chief Executive of the National Housing Federation.

Getty
Show Hide image

The Brexit elite want to make trade great again – but there’s a catch

The most likely trade partners will want something in return. And it could be awkward. 

Make trade great again! That's an often overlooked priority of Britain's Brexit elite, who believe that by freeing the United Kingdom from the desiccated hand of the European bureaucracy they can strike trade deals with the rest of the world.

That's why Liam Fox, the Trade Secretary, is feeling particularly proud of himself this morning, and has written an article for the Telegraph about all the deals that he is doing the preparatory work for. "Britain embarks on trade crusade" is that paper's splash.

The informal talks involve Norway, New Zealand, and the Gulf Cooperation Council, a political and economic alliance of Middle Eastern countries, including Kuwait, the UAE and our friends the Saudis.

Elsewhere, much symbolic importance has been added to a quick deal with the United States, with Theresa May saying that we were "front of the queue" with President-Elect Donald Trump in her speech this week. 

As far as Trump is concerned, the incoming administration seems to see it differently: Wilbur Ross, his Commerce Secretary, yesterday told Congress that the first priority is to re-negotiate the Nafta deal with their nearest neighbours, Canada and Mexico.

In terms of judging whether or not Brexit is a success or not, let's be clear: if the metric for success is striking a trade deal with a Trump administration that believes that every trade deal the United States has struck has been too good on the other party to the deal, Brexit will be a failure.

There is much more potential for a genuine post-Brexit deal with the other nations of the English-speaking world. But there's something to watch here, too: there is plenty of scope for trade deals with the emerging powers in the Brics - Brazil, India, etc. etc.

But what there isn't is scope for a deal that won't involve the handing out of many more visas to those countries, particularly India, than we do currently.

Downing Street sees the success of Brexit on hinging on trade and immigration. But political success on the latter may hobble any hope of making a decent go of the former. 

Stephen Bush is special correspondent at the New Statesman. His daily briefing, Morning Call, provides a quick and essential guide to British politics.