Labour have kicked many people off the first rung of the housing ladder

Nigel Waterson

And he said that private landlords who failed to maintain their properties could lose tenants' housing benefit.

The keynote speech to the Social Market Foundation think tank coincided with Conservative criticism that Labour had made home ownership less accessible.

Mr Byers said he would put housing at the top of the political agenda with health, crime and education.

Pledging �2.5bn in funding to local authorities in 2003-2004, Mr Byers said that by 2010 all social housing would meet "set standards of decency".

"Over the next three years, we will take steps to ensure that 300,000 children will be able to live in homes which are decent, with most of the improvement taking place in the most deprived areas," he said.

Basic facilities

"By giving them the sort of basic facilities that most of us take for granted, they will stand a better chance in life."

But improving housing would take more than money.

Local authorities needed to take a "business-like" approach to managing their assets, he said.

"Some already do but new guidance will help all local authorities assess the state of their own housing and construct plans to improve conditions."

Mr Byers also said that housing associations must rise to the challenges of modernisation.

And he outlined proposals for a new scheme that would help council tenants buy their own homes.

Mr Byers floated new plans for housing

Under the plans, tenants unable to afford to buy their own home will be allowed to build up a share in their council house as they pay rent.

The idea, first proposed in Labour's manifesto, could see council tenants receiving thousands of pounds back from past rent payments to enable them to buy their own house.

Stake in a home

Ministers want those previously unable to afford a home of their own to be given a help in the form of a stake in their council houses.

Tenants could start with 1% of the value and see that increase every year as they pay in more rent.

Having built up enough equity they may be able, if the plans are put into place, to withdraw the money and use it to buy a house without actually depleting the housing stock.

Higher taxes?

But Tory housing spokesman Nigel Waterson said: "Labour have kicked many people off the first rung of the housing ladder.

"Labour have slashed Right to Buy discounts and axed support for popular 'DIYSO' (Do It Yourself Shared Ownerships) shared ownership schemes.

"Taxes on home owners have increased through highter stamp duty, by council tax rising by three times the rate of inflation and throught the abolition of mortgage tax relief."