In submitting our amendment to the motion on Tackling the Housing Crisis (F31), ALTER is not wanting to change anything called for in the policy paper that will, we hope, be adopted nearly unanimously. Our purpose is to remind Conference that we can and must use our existing policy on tax reform, namely Land Value Taxation (LVT), to solve the underlying cause of the crisis.
We call for the commitment in the 2013 policy paper Fairer Taxes, endorsed by Conference that year, to be honoured. This was to conduct “early in the next Parliament …. a full-scale review to look at how (LVT) might best be implemented”. We do not suggest any new tax policies but merely call for FPC to do what Conference asked it to, which we feel is entirely appropriate given the motion’s subject.
The motion points out that “successive governments have pursued policies that benefit homeowners”. However there is no proposal to correct that imbalance between owning and renting. Our amendment emphasises that it is land value and not the value of “bricks and mortar” that is the cause of this fundamental unfairness. It is the major homebuilders and landowners who most benefit: obscenely and without economic or ethical justification.
Governments in England – both Conservative and Labour – have failed to review the grossly unfair Council Tax despite it being the main source of local and regional inequity in housing costs for occupiers. Whilst tax policy was outside the remit of the working party, it should have been able to point this out without us seeking to amend this motion.
The paper identifies the “main drivers of the housing crisis” as principally not overall supply but about:-
- Provision of social housing
- Economic prosperity of the area
- The role of finance.