Hackney MP urges new Labour government to fix borough’s ‘ridiculous’ housing crisis

Hackney South and Shoreditch MP Meg Hillier. Photograph: UK Parliament

Hackney MP Meg Hillier has urged the new Labour government to fix Hackney’s “utterly ridiculous” housing crisis – after King Charles set out the party’s plans to boost growth.

The King’s Speech last week outlined 39 bills to create wealth and improve living standards across the UK.

Two that are likely to be of significance to Hackney residents are the planning and infrastructure bill, which aims to build an average of 822 new homes every day over the next five years, and the English devolution bill that will transfer more decision-making power from Westminster to local mayors.

Mayor of Hackney Caroline Woodley said: “We’re pleased to see the new government set out its plan to meet the challenges of the next decade, prioritising new homes and devolution to local communities.”

However, Hillier said: “It is utterly ridiculous that we are in this situation,” where Hackney’s social housing shortage means many applicants are waiting several years for accommodation, some whilst homeless.

She added: “Social housing is the only option for many people. Only last week, a woman came to my surgery who had four children in a one-bedroom flat, and her elderly, sick father had had to come to live with them.

“That is how the family lived – four children in a one-bedroom flat – and it is not uncommon at all.”

In addition to the shortage of social housing, the Office for National Statistics reports that the average house price in Hackney is £608,000 – double the UK average.

This presents a particular challenge for first-time buyers.

Hillier added: “The average first-time buyer in Hackney paid just under £600,000: over half a million pounds.”

“It is ridiculous that young professionals with double incomes are simply unable to afford a deposit to get a place of their own,” she continued.

The average monthly private rent in the borough is £2,346, which Hillier said is “so high that there is no spare money to save to get on the housing ladder”.

Mayor Woodley said: “In Hackney, we are leading the way on council house building, and the government’s commitments on housing can ease the crisis in Hackney.

“We’re ready to do our bit to tackle the housing shortage and build the new homes our borough needs.”

The bill did not mention the state of local government finances, with five in 10 councils thought likely to declare bankruptcy before the end of this parliament.

Some may have to resort to painful measures for residents such as increasing council tax and cutting services.

Councillor Zoë Garbett, co-leader of the Hackney Green group, said in response: “Councils have suffered huge cuts to budgets, yet the King’s Speech does not deliver the bold action needed to restore our public services.

“The group of Green MPs will be pushing the Labour Government to be bolder and better.”

Mayor Woodley acknowledged the challenges and the need for more detail from central government.

She said: “Alongside other councils, we have been clear about the support we need.

“We await the government’s autumn statement, and hope to see more details on a long-term funding settlement for local government.”

Hillier, who has long chaired the influential public accounts committee in the Commons, offered words of advice for those in the Treasury.

She said: “Please stay focused. Look up at that horizon. Think of the people who sent us here, who voted for that change you want to deliver and we all want to see.”