Leadership defeated on housing

Leadership defeated on housing

Leadership defeated on housing

The Labour leadership has suffered its first defeat of the conference on an amendment on housing policy.

Although Deputy Prime Minister, John Prescott, warned delegates changes to the sustainable communities document would present “real problems” for his department, the alternative stance demanding a “level playing field” between councils and housing associations in controlling housing stock was carried by a show of hands on the conference floor.

Mr Prescott said the argument for stock transfers to be equally available to the councils themselves was “nonsense”.

In real terms, the amendment would require either £5 billion more funds from the Treasury to improve dilapidated homes or cuts to the decent homes programme, he said.

Mr Prescott also announced plans to build 10,000 low cost homes for first time buyers by using surplus government land.

The properties could be put on the market for £60,000.

Housing minister Keith Hill said only those buyers who could not afford mortgages would be eligible for the new homes.

In another setback to the leadership, delegates voted to debate the UK’s role in Iraq, with some calling for a date to be set for the withdrawal of British troops from Iraq.

The leadership had been hoping to avoid a specific debate on the divisive issue, though it would have undoubtedly be discussed in the international affairs debate. The issue will now be debated on Thursday during a session on “Britain in the World”.

Delegates got their way in the priorities ballot, which determines which issues are debated at conference.

Other motions voted for debate include pensions, public services, workers’ rights and manufacturing.

Prime Minister Tony Blair has repeatedly stated that the UK should stay in Iraq until the job is finished. Over the weekend he gave a series of media interviews in which he insisted that the decision to remove Saddam Hussein was correct.

Meanwhile, Peter Mandelson urged the Government to hold its nerve on Iraq.

The former Northern Ireland Secretary told a fringe meeting at the conference the war was a test of Labour’s “staying power” as a government.

“The battle against international terrorism in Iraq has become a metaphor for this Government’s strength and will and its staying power,” Mr Mandelson said.