Alex Attwood: against the storm

Housing is central to how the Executive responds to Westminster’s cuts, Alex Attwood states. Northern Ireland’s needs demand special attention and protecting vulnerable householders must be a priority for local ministers.

Ministerial introduction: Alex Attwood MLA

The Osborne benefit, capital and revenue cuts have the potential to be ‘a perfect storm’. Just as the ERSI said about the Republic of Ireland last month – deep cuts done quickly can lock an economy into high unemployment and low growth. The consequences are clear for Northern Ireland, not least as we are in recession to late 2012, at least.

At the same time, Northern Ireland has high levels of deprivation, compounded by the legacy of conflict, with the risk of instability, which the latest generation of anti-democratic groups aim to exploit. London says it understands this. To propose budget and benefits cuts with disregard to this context is folly.

The scale of the housing and other benefit cuts requires two responses. I will again meet London welfare ministers on 8 November and propose how to move forward.

Second, the Northern Ireland Executive must demonstrate – and be seen to demonstrate – that with the risk of over 90,000 unemployed, and with housing, child and welfare benefits the Tory first option for savings, we will go further and deeper to protect those in need.

Housing will be a touchstone of this approach.

Are we going to bring new build (2,000 this year) to a shuddering halt, at the very moment when need will rise, with fresh risks to home-owners and with the impact on builders and tradesmen?

With 44 per cent of people in fuel poverty, do we have the imagination to fund, across government departments, the Green New Deal – tens of thousands of homes made energy efficient in three years?

Will we ‘correct the market’ by driving up private rented standards, pass legislation for developer contributions, and broker energy costs with the gas and electricity suppliers given the 130,000 houses in the public sector?

These are all the tests for me as Minister and all of us as an Executive. We should be judged – and judge ourselves – on how we respond.

At the same time, we will do things differently and do more reform. The Housing Executive and housing associations have been trail-blazers, together transforming housing conditions.

They are both born out of reform. A new phase of reform can build on the achievements. My fundamental review of the NIHE can position it for the next 20 years and my short, sharp audit address short-term doubts. The merger of housing associations, shared procurement across costs centres, and restraint and reductions in Chief Executive salaries are part of this picture.

Shortly, I will issue ‘A Housing Response in Times of Recession’. It will push limits of government housing policy, social clauses in building contracts, oversight of landlords, innovation on warm homes and beyond. I believe there is more that we can do and we should do it quickly.

But a word of caution. There is talk of ‘a quick fix’ for funds for new build social housing. There is none. The price of the fix could be to privatise the Housing Executive and let the market prevail. I am scoping out what could legitimately be done to help fund new build. That is the fertile land; others should show the same caution.

Margaret Ritchie left me a big legacy as Minister:

• more new social build than in a decade;

• a 6 per cent reduction in waiting lists;

• encouraging housing associations to procure and finance differently;

• new laws on landlords.

My ambition is to drive this forward, deepening accountability and pushing limits on housing policy and, where appropriate, housing finance.

But the Executive must also agree that the right to a home and the protection of those in need, given the ferocity of London’s targeting of those in need, is non-negotiable. It must be a core value going forward.