1. Will the Minister provide an update on Welsh Government actions to bring empty homes back into use? OQ59269

We have a number of initiatives that provide both practical and financial support to bring empty homes back into use. In January, I announced a £50 million national empty homes grant scheme, which is now open for applications, to further add to these measures.

Thank you, Minister, and I'm delighted that all of the local authorities in my region will be taking part in this scheme, and Gwynedd already accepting applications. It's desperately needed. Can I ask, have you had an opportunity to read the latest report from the Bevan Foundation on the private rental market in Wales finding that only 32 properties advertised across Wales were available at local housing allowance rates, and 1.2 per cent of the rental market was available at local housing allowance rates, and 16 local authorities do not have a single property available at local housing allowance rates? So, this is clearly needed to bring those properties back into the market, and I suppose you're looking forward, as I am and others are, in tomorrow's budget that will match our investment into affordable housing so that we can deliver for those communities that we all serve? 

Yes. Thank you very much, Joyce Watson, for that very timely question. As I know you know, Joyce, empty homes are a complete blight and nuisance on our communities. They attract anti-social behaviour, they impose environmental health problems, they contribute to a general sense of decline in the neighbourhood, and a sense that, perhaps, nobody really cares about this particular street or this particular little neighbourhood. And that's very frustrating indeed when housing is in such short supply as well. It's a real shame and another symptom of our completely dysfunctional housing market that this is allowed to happen. 

So, as I said, we have allocated £50 million over the next two years to bring up to 2,000 long-term empty properties across Wales back into use through our national empty homes grant scheme. And, just to say, although there are varying numbers—around 22,000, for example, of empty homes—it's actually quite difficult to distinguish between those homes that are, for example, being marketed for sale or empty for other reasons, people in long term—. You know, there's a variety of things. So, we've got a very specific grant for homes that are empty and require refurbishment to come back into beneficial use, and that complements our existing scheme, including Leasing Scheme Wales. 

I am absolutely aware of the Bevan report that highlights a growing gap between LHA rates and market rents of private housing in Wales. As you know, the LHA isn't devolved—would that it were. I've repeatedly written to the UK Government calling for urgent and immediate action to address this, and just again saying to colleagues opposite, who I know are not heartless, this is now below—[Interruption.] This is below the poor law. This is below where the poor law was. It's just not acceptable that you cannot find a single property in 16 areas across Wales at local housing allowance rates. This really does need to be addressed. It's a really big problem. It's not a political point; it's a really big problem. And it doesn't make any economic sense. Because of the cost of homelessness to local authorities when people can't stay in the private rented sector because the LHA has been frozen in this unprecedented time of inflation and increasing rents, the amount of money going out of the public purse at local authority level is far more than the amount that would go in at local housing allowance level. So, it's baffling to me why the rate is frozen—it genuinely is baffling to me—and I really, really call on the UK Government to review that situation, because it's heartless and it's causing proper misery. It's also preventing us from helping really good landlords who want to do this scheme with us from coming into the scheme, because now the LHA rates are so low that it's becoming not worth their while to do.

So, just to explain what we do, the local housing allowance rate is what we pay to landlords who come into the scheme. It’s still worth while, and landlords should still look at it, because it guarantees that income every single week, every single month, and you don’t have to put up with voids and turnovers and a percentage going to management properties and so on. So, it’s still very much worth looking at, but the lower the LHA rate goes, the worse it is to try and market it on that point. We have made positive progress. A number of local authorities that have exceeded their initial targets for year 1. It’s positive news that Newport has just expressed an interest as the sixteenth local authority to join the scheme. But an increase in the LHA rate to the proper level would really help.

Minister, we do have a heart over here, and we do hear what you say, but it is the job of the Welsh Government. Housing is a wholly devolved matter and, as my colleagues have said, 22,000 homes are empty across Wales. So, we think it’s about time that the Welsh Government had a new, refreshed strategy on how they’re going to bring those empty homes back into use. When I was a county councillor in Powys, the number of people waiting for homes was astronomical. We only built 5,000 homes across the whole of Wales last year. So, do you not agree with me, Minister, that it is about time that Welsh Government took some responsibility for bringing those empty homes back into use and building more homes so we can actually give those people in Wales who are waiting on housing waiting lists the homes that everybody deserves to have here in Wales?

Well, you know—‘sighs’, as they say at the beginning of the thing—it isn’t wholly devolved. Local housing allowance isn’t devolved.

Housing is devolved, Minister.

You started with a phrase that wasn’t accurate, because local housing allowance isn’t devolved—[Interruption.] It isn’t devolved. Whether you like it or not, it isn’t devolved. Therefore, we are hamstrung in what we can do, and that policy drives homelessness, because people cannot stay in their rented accommodation because they cannot afford it because the local housing allowance is not high enough. It's below where the poor laws were. You have to take some responsibility for this.

Now, we’ve done a lot of things. We’ve done a lot of things here in Wales, and, once the Tories had finally seen sense and taken the caps off housing revenue accounts, and taken the restrictions off HRAs, which is only a few years ago—and it took 40 years for you to actually wake up and smell the coffee—we have ramped it up since then. There’s no getting away from this history lesson. You don’t like it. You asked me the question, this is the answer. You don’t like it because you don’t like accuracy in answers. So, the answer is: we have done everything that’s been possible to do within our devolved powers, but we are, as always, hamstrung by a blinkered and quite heartless Tory Government.