Read Bill Ministerial Extracts
(4 years, 5 months ago)
Commons ChamberI beg to move, That the Bill be now read a Second time.
Covid-19 has had a profound impact across the economy. It required many businesses to shut their doors on 23 March, and they have taken a significant economic hit to protect the public’s health, so it was vitally important, at the start of this pandemic, that we put our arms around businesses to provide them with support to protect our people’s livelihoods at the same time as we protected our nation’s health.
So far, the job retention scheme has supported over 9 million jobs; 2.6 million people have been helped by the self-employment scheme; over 850,000 small businesses have benefited from around £10.5 billion in grants; and over £40 billion of Government-backed loans have been made to over 970,000 businesses. Every one of these interventions has helped individual families in each of our constituencies, but we are now reopening the economy in a cautious and phased manner, and the measures in the Bill are designed to provide a boost to businesses to help them as they look to bounce back from a period of enforced hibernation.
On 25 June, the Corporate Insolvency and Governance Bill received Royal Assent, and I thank the right hon. Member for Doncaster North (Edward Miliband) and all colleagues for their support in an expeditious passage for that Bill. Similarly, I hope we will be able to expedite the passage of the Business and Planning Bill. I acknowledge the very constructive discussions that we have had on the individual measures in the Bill with the shadow Secretary of State and, indeed, all shadow Ministers.
The overall aim of the Bill is to provide an adrenaline boost to key sectors of our economy. We want to support the hospitality sector by allowing outdoor dining and off-premises sale of alcohol, helping the sector back on its feet with the promise of al fresco dining for all this summer.
Does my right hon. Friend agree that the measures allowing al fresco dining are essential to allowing the food and hospitality sector to bounce back following lockdown, and will he encourage all those businesses to go and update their ceramics and buy purely from Stoke-on-Trent?
My hon. Friend makes a compelling case for his constituency, and he makes an equally important point that this is an opportunity to get businesses going—up and running—after a period of enforced hibernation.
We are all very grateful for my right hon. Friend’s efforts, particularly to help small businesses. I have noticed in Lincolnshire that small businesses and shops seem to have done better during the lockdown, as people have wanted to shop locally. As we are helping small business, would it not be a retrograde step if we were to reopen Sunday trading laws, since it is our present Sunday trading laws that do so much to protect small shops and businesses from large businesses and supermarkets?
As my right hon. Friend will know, measures related to Sunday trading are not in the Bill, but of course Sunday trading has been temporarily relaxed in the past, during the Olympics, and that was about ensuring support for businesses and consumers. But as I said, that is not in the Bill.
Through this Bill, we also want to support the construction sector to get Britain building again by enabling the extension of site operating hours and extending until 1 April 2021 planning permissions that have lapsed or will lapse between 23 March and 31 December.
Does my right hon. Friend agree that construction is vital to getting our economy going, including in South Ribble, where my constituents are looking forward to the new Tesco’s in Penwortham? For that reason, I welcome these measures. Does he agree that they are vital to supporting growth as we come out of lockdown?
My hon. Friend makes an important point. I know she is working incredibly hard to support businesses in South Ribble, and I am sure she is looking forward to going to the Tesco’s once it is up and running.
We also want to support the transport sector by enabling shorter-term licences for drivers of heavy goods vehicles and passenger carrying vehicles and allowing for the risk-based testing of HGVs and public service vehicles. These measures will allow goods and public transport to keep moving. We want to continue to support small and medium-sized enterprises through the quicker delivery of bounce-back loans, which have provided a financial lifeline for more than 920,000 small businesses so far. This measure is retrospective and will disapply elements of consumer credit law.
I speak as co-chair of the all-party group on fair business banking and support the suspension of the Consumer Credit Act 1974 with regard to bounce-back loans due to affordability issues, but does the Secretary of State agree that it is vital that lenders still comply with the requirement to treat customers fairly in the collection process or if there are debt issues later on and that forbearance is applied?
As ever, my hon. Friend raises an incredibly important point. Yes, forbearance is part of these measures, and we would expect that very much to apply.
Before I turn to the detail of the Bill, I want to thank all those across industry and both Houses who have engaged with the Government to help develop the measures in the Bill. I also thank the Local Government Association, the National Police Chiefs’ Council, the Home Builders Federation and the British Property Federation for sharing their expertise. I am pleased to say that the measures in the Bill enjoy wide stakeholder support. The LGA, the Federation of Small Businesses, the British Beer and Pub Association, UKHospitality, the Freight Transport Association, the Road Haulage Association, the Royal Town Planning Institute, the British Property Federation and UK Finance have all expressed their support.
I add my name to that long list, but can my right hon. Friend give some confidence to local authorities? There are a lot of planning rules and regulations, and some of our planning officers are quite conservative in their interpretation. Where there is discretion, can we send the message out from this place that decisions must be decided in favour of business and of opening up?
Of course we want to make sure that businesses open up, and we want local authorities to help local businesses do that, which is precisely the reason for these measures. We will publish guidance alongside the measures in the Bill, and I would ask local authorities to adhere to it. If my hon. Friend has any specific suggestions, I would be very happy to hear from him, as would my right hon. Friend the Secretary of State for Housing, Communities and Local Government, who will wind up this debate.
My right hon. Friend is making a compelling case for giving a boost to many sectors of the economy, but will he reflect on the fact that some sectors will not be able to reopen because of the necessary rules? I am thinking of theatres, concert venues and other music venues. Given the need to adhere to the rules, will he make special provision for those that cannot trade their way out of difficulty?
On the point that my hon. Friend the Member for Bexhill and Battle (Huw Merriman) made, it would be very unfortunate if any of these venues, theatres or concert halls fell into insolvency, and we hope to avoid that, but in doing so we should guard against granting planning permissions that take them immediately out of those very valued uses. Will my right hon. Friend reflect on both during the passage of this Bill?
My right hon. Friend, who has previously served as Business Secretary with great distinction, raises a number of important points. On insolvency, he will know that with the support of both Houses, we passed the Corporate Insolvency and Governance Act 2020, which came into effect on 25 June. When it comes to providing support to businesses, I think the best thing we can possibly do is to open them up, and I know that that is a sentiment that he will appreciate as a former Business Secretary. I would love to be able to have the whole economy operating and opening up, but we all understand why we are taking a phased and cautious approach: we want to continue to meet our five tests, and we want to ensure that the R value stays below one. In the tourism sector and the theatre sector, which he mentioned, ministerial colleagues are working closely on these issues.
I turn first to the temporary measures in the Bill to step up the recovery of our hospitality sector. Our 127,000 pubs, restaurants and cafés, which employ around 2 million people, are the lifeblood of our high streets and town centres. Social distancing guidelines significantly affect their capacity to accommodate customers, and food and beverage service activity has fallen by nearly 90% in the last quarter. The Bill introduces a temporary fast-track process for pubs, cafés and restaurants to obtain local council permission to place tables and chairs on the pavement outside their premises.
I spent my weekend in Dartmouth speaking to some of those businesses in the hospitality and tourism trade. May I associate myself with the words of my hon. Friend the Member for Bexhill and Battle (Huw Merriman) about making sure that councils are not over-zealous in their approach to allowing businesses to adopt the measures in the Bill for outdoor dining? I think it is very important that we can give those businesses reassurance.
Of course my hon. Friend makes an important point, but I think local authorities will understand that it is in their self-interest to ensure that businesses can open and that high streets flourish. I certainly encourage businesses to look at the guidance and adhere to it.
In my borough, licensed premises are a very important part of the local economy, and we work with local residents to support them. This measure, with seven days’ notice, allows an enormous amount of off-sales, which are already causing havoc in my constituency with people defecating, urinating and leaving problems in parks. People are talking about fake Glastonbury. This is going to cost my borough a lot of money to police. We are not party poopers, but we do not want the other sort of pooping, either. Will the Secretary of State make provision to allow councils some discretion where there is a particular problem with a licensed premises causing antisocial behaviour?
Ultimately, it is possible to revoke these permissions, and expedited processes have been put in place. Nobody wants to see bad behaviour, but this is a 10-day process, and there is an opportunity in the first five working days for anyone to put in their views to the local authority. Ultimately, the local authority decides. There is also a clear requirement that a legible notice is put up at the premises, so anyone who is in the locality will be able to see it when they pass by, and they can make representations if they wish. These new measures will cut the time to receive approval for this licence from an average of 42 working days to just 10 working days, and the application fee is capped at £100.
Public safety and access for disabled people using pavements is of course absolutely vital, so I can confirm that local authorities will be able to refuse or revoke licences where appropriate. The Government will be publishing minimum requirements and guidance for footway widths and distances required for access by disabled people.
The Secretary of State spoke earlier about the organisations that he has consulted. Has he engaged with, say, the Guide Dogs for the Blind Association to understand the sorts of risks and challenges that people with sight loss face? We have a centre for guide dogs in my constituency. This is a real issue for these organisations.
I can confirm that we have engaged with disability groups in the preparation of the clauses in this Bill.
We will also be making changes to alcohol licensing. Currently, any licensee wishing to add off-the-premises sales permission has to apply for a licence variation. This takes time, with a 28-day notice period, adverts placed, and sometimes a hearing. Ordinarily, of course, that is necessary. However, hospitality businesses are not operating in ordinary economic times, as we all acknowledge, so the Government are temporarily changing the process. Under the measures in this Bill, most licences will automatically and temporarily be extended to include off-the-premises sales. However, there are safeguards in place. The extension will not include premises that have been denied off-sales permission or had it removed within the past three years. Taken together, these measures will help our hospitality industry to get back to business over the busy summer months.
Has the right hon. Gentleman given any thought to allowing a review of this Bill, because—I am particularly talking about the hospitality industry—it will be coming into operation over a busy summer period, and we will see the effects of that? If he were to agree to a three-month review period where we, as a House, can see the evidence and then, if necessary, amend legislation, that would be a welcome step.
First, these are of course temporary measures. A 90-day rolling review, which I think the hon. Lady is proposing, would undermine the certainty that we are giving businesses in terms of these particular measures. She will know, however, that should the Government wish to extend any of the measures, they will be subject to made affirmative or draft affirmative procedures, so they will come before the House before there is any opportunity to extend them further.
I now return to the issue of trying to get the construction sector moving. In 2018, this sector represented almost 9% of our GDP. Lockdown has had a profound impact on construction sites across the country. We estimate that almost 1,200 unimplemented major residential planning permissions, with capacity to deliver over 60,000 homes, have lapsed or will lapse between the start of lockdown on 23 March and 31 December this year. Therefore, the Bill introduces powers to extend these planning permissions and listed building consents to 1 April 2021. This will be automatic for permissions that have not lapsed at the point that these measures come into force. Lapsed permissions can be reinstated and can benefit from the same extension, but subject to necessary environmental approvals.
We will also make it quicker for developers to apply for longer construction site working hours. This will help to facilitate safe working—for example, by staggering workers’ hours—and to make up for lost progress. Applications will be concluded within 14 days. This measure does not apply to applications from individual householders. Local authorities retain discretion and can refuse applications where there would be an unacceptable impact. Again, this is a temporary measure. Extended hours can only last up until 1 April 2021, unless extended by secondary legislation.
Across my constituency, there is already tremendous local sensitivity about excessive developments, the planning process and some of the procedures for public participation in the process being curtailed—there are virtual meetings and sometimes council executives make decisions on their own. Will the Secretary of State assure me that the Bill will not limit public participation in anything that might be the result of an extension or expansion of existing planning permission or indeed a new planning permission?
No, it will not. I will talk a bit about hybrid appeal proceedings, and I think my hon. Friend will find that helpful.
There are two further planning measures that relate to the new spatial development strategy for London and hybrid appeal proceedings. The Mayor of London will shortly publish the new spatial development strategy, setting out plans for new homes for London. The Bill temporarily removes, until 31 December, the requirement for the strategy to be available for physical inspection and to provide hard copies on request. That ask from the Mayor of London will help to address practical challenges from social distancing.
Social distancing has also constrained the Planning Inspectorate’s ability to conduct hearings and inquires, and a backlog has been growing. Through the Bill, we will enable the inspectorate to combine written representations, hearings and inquiries when dealing with appeals. That change was recommended by the independent Rosewell review. A recent pilot undertaken on the review measures reduced average decision-making time from 47 weeks to 23 weeks.
The Secretary of State mentioned 60,000 houses that big companies will be able to build, but does he recognise that small and medium-sized companies that do refurbishments, extensions and small works are critical to the core of the economy? Will he ensure that they can also progress their applications through councils for approval? They may be sitting on the line where that may not happen.
As I said, these measures will not relate to residential applications that have been made. The whole point is to get the construction sector moving. I have talked about a range of measures that we have set out for the sector, and I hope that more SME builders will be able to take advantage of them.
The Bill will enable lenders to continue issuing bounce-back loans quickly and at scale. It will retrospectively disapply the unfair relationships provisions in the Consumer Credit Act 1974 for lending made under the scheme. Reflecting current circumstances, the bounce-back loan scheme allows lenders to rely on self-certification from the business that it meets the eligibility criteria for the scheme and can afford to pay back the loan. It also provides for simpler information disclosure requirements to the borrowers. That will ensure that small businesses can continue to access the financial support that they need without undue delay.
I am very grateful to the Secretary of State for giving way. I want to take him back to the point about public participation, because it is such a sensitive area. He said that in clause 20, the procedures for planning proceedings can be altered. Either now or in Committee, can he clarify who will be making those decisions and what impact that will have on public participation in relation to housing developments that might have a dramatic impact in the area? I want to be clear about whether the Bill will affect that dramatically.
The Minister for Housing, my right hon. Friend the Member for Tamworth (Christopher Pincher), will deal with the details of that. The point of these measures is to get the economy going, which my hon. Friend the Member for North East Bedfordshire (Richard Fuller) is keen to do. I understand his point, and we will address it in Committee.
The Bill temporarily allows the issuing of one-year lorry or bus driving licence renewals, rather than the standard five years. Shorter renewals will be allowed if an applicant is otherwise healthy but unable to obtain the medical report required for a five-year licence. That will relieve pressure on GPs and allow drivers to continue to work. The Bill also reforms powers to exempt temporarily goods vehicles, buses and coaches from roadworthiness testing. That will allow the high demand for heavy-vehicle testing, which restarts from 4 July, to be managed in a manner that prioritises road safety by targeting higher-risk vehicles or operators.
In conclusion, the Government have stood shoulder to shoulder with businesses throughout the covid-19 emergency and now, as we emerge from this pandemic, we need to support our economic recovery and help businesses with more flexible ways of working. The great British economy, helped by a willing public, is reawakening from its enforced slumber. Taken together, the measures in the Bill are designed to provide a much-needed economic boost, and I commend it to the House.
May I start by thanking the Business Secretary for the constructive conversations that he and I have had on the Bill? As he knows, we support the measures contained in it.
The wider context to this Bill is the economic crisis that we face, the scale of which we have not seen for a very long time. As an Opposition, we have tried to work constructively with Government. Indeed, we have welcomed a number of steps that the Government have taken. We called for the furlough scheme and indeed have welcomed it, though we believe that too many people remain excluded from support. We called for the 100% underwriting of Government-backed loans, and we have welcomed the bounce back loans, too. We have also supported the Government on the difficult decision to move from 2 metres to 1 metre-plus where 2 metres cannot be observed, although we do have concerns about the test, track and trace system.
I hope that we can agree that the past few months have shown the power of Government to step in and protect jobs and businesses at a time of crisis. My case today is that that power has not gone away, and neither has the need for it to be exercised. The Government must not shrink from that, because, let us be clear, we are not at the end of this economic crisis, but just at the beginning of it.
Let me deal first with the provisions in the Bill. It is a short Bill and there is a large degree of agreement on it. The headline provisions, as the Secretary of State has said, will enable the hospitality industry to reopen quickly and serve a greater number of customers in a safe environment. We welcome the temporary loosening of planning regulations to enable bars, restaurants and cafés to serve customers outside their premises. I take the point that my hon. Friend the Member for Hackney South and Shoreditch (Meg Hillier) has made about the need for some caution here. It is important that local authorities continue to have discretion in these matters because they are best placed to make the judgments about the local impacts. It is also right to put on record the concerns of the shop workers’ union, USDAW, which has worried about the safety of staff. The guidance is very clear about the mitigation and reduction of risk that is needed if 1 metre-plus is in place, and I am sure the Secretary of State agrees that that is really important, and that it is also very important that the Health & Safety Executive takes a tough line in enforcing safety as well.
We also welcome the measures in enabling construction sites to get back to work more easily through extended working hours. Again, and I am sure that Members across the House will agree with me, it is in the interests of local residents that local authorities have discretion in these matters.
I think we agree about the need for local authorities to have discretion, but they also need resources. In my borough, we have more than 1,300 licensed premises in a very small area of London, and a lot of licensing officers are needed just to deal with the flow of applications. Does my right hon. Friend not think that the Government need to address that?
My hon. Friend in her customary eloquent way anticipates my next point. We have seen—and I am grateful to my hon. Friend the Member for Croydon North (Steve Reed), the shadow Secretary of State for local government, for giving me the exact figures—£10 billion of costs loaded on to local authorities during this crisis, and only £3.2 billion provided by Government, despite the Secretary of State for Housing, Communities and Local Government saying that the Government would stand behind councils and give them the funding they need. We have another Bill that puts yet more pressure on local authorities, but with no clear plan about how they will be reimbursed, and our new clause 5 speaks to that issue.
We also welcome the changes to transport licensing and the removal of the unfair relationship provision in the Consumer Credit Act to ensure that bounce-back loans are more easily accessed. I am grateful to the Secretary of State for the detailed discussions that we had about that particular provision.
Those are the main provisions of the Bill and, as I said, there is cross-party agreement on them. Obviously, there will be detailed discussions in Committee. However, I have to say to the Secretary of State and the House that we are under an illusion if we think that the measures in this Bill will go much of the way towards addressing the crisis that we face: 4 July represents a reopening of pubs and restaurants, but it does not represent recovery.
It is important to note that many sections of our economy employing hundreds of thousands of people, including gyms, leisure centres, live entertainment venues, beauty salons, conference facilities, night clubs and swimming pools, will still not be able to open for public health reasons. We support those public health decisions. Other parts of our economy will open only with severe restrictions, including large parts of our hospitality industry, which employs 3 million people or one in 10 of the whole workforce. The British Beer and Pub Association says that 25% of pubs will not be able to reopen even at 1 metre. The Government themselves acknowledge, in the scientific assessment of the change to 1 metre, that the hospitality industry will lose 25% to 40% of its revenue even at 1 metre distancing. That revenue translates into a risk to hundreds of thousands of jobs. Live performance remains prohibited, which affects the theatre sector, employing 290,000 people. Manufacturers, too, are reeling from the fall in domestic and worldwide demand.
I say all that not to cast doubt on the public health measures being taken or to speak against the Bill, but to point to the wider context, which is that the Government are taking a one-size-fits-all approach to the furlough, for example, demanding an employer contribution from August and a cliff edge at the end of October. The shadow business Minister, my hon. Friend the Member for Manchester Central (Lucy Powell), received this letter from a venue in Manchester in the past week:
“As the Government furlough scheme draws to a close, I will be making very difficult decisions this week so that I can give notice during the period of 80% furlough contribution to commence a redundancy consultation with the majority of my venue staff. With zero income and no appropriate financial Government support, I have no choice but to make these decisions.”
We are not asking the impossible of Government; we are saying, “Look at what other countries are doing”, whether that is Spain, Italy, New Zealand, France or Germany. They are taking a sectoral approach to the furlough. They are saying that specific sectors are more affected by the public health measures and that, therefore, the economic measures have to match that.
The shadow Secretary of State will be aware that the Government measures taken across the economy, which he has welcomed, already raise issues of fairness between those who fall one side of the line and those who fall on the other side. What is his proposal for those sectors? Some businesses will fall just to one side, but who will be the expert to understand who fits where? I am all up for it if he can reconcile that, but there are risks, are there not?
Of course there are, but just because we cannot do everything does not mean that we should not do anything. The grants programme that the Government introduced was done by sector—retail, hospitality and leisure. The hon. Gentleman makes an important point about boundaries, and some business organisations would raise that issue, but I worry that technical concerns about boundaries, which have been overcome for the grants scheme, stop us doing something that makes real sense.
What the right hon. Gentleman says about the sector-based nature of the grants scheme highlights the problem in his argument. All MPs in this place, I am sure, have been contacted by people—in the hospitality supply chain, for example—who were not getting support. It is so difficult to take a sector-based approach. Will he concede that that is not as easy as he thinks?
Of course it is not easy, but the hon. Gentleman’s implication is that nothing can be done for those sectors that are obviously more affected by the public health measures.
The hon. Gentleman is shaking his head. If things can be done, they should be done, but my point is that the strength of the Government response is that it has been comprehensive. It has used the power of Government and it has not necessarily taken a one-size-fits-all approach. I am worried—we see this in the evidence that has been brought forward—about the one-size-fits-all approach.
I speak as a business person as well as a Member of Parliament. In my view, the Chancellor made the job retention scheme very generous, continuing it a lot longer than many thought it would; and rather than have a sector-based scheme to help some people and not others, he has tried to help all employers and make it flexible for all the different categories of employer.
I do not disagree with the hon. Gentleman that it is important that we have had the furlough, but I disagree that it should be cut off at the end of October, because I really worry about the economic impact. We have 2.8 million people already claiming unemployment-related benefits, and I worry about the implications for these other industries.
The tragedy is that the Government have spent £22 billion on the furlough, but I fear that we will throw away some of that investment by not recognising that specific sectors face specific challenges. I urge the Business Secretary —he knows this, as he talks to the same people that I do—to use all the powers of his office to make representations to the Chancellor to find a way of fixing that, so that we have a sector-specific approach to the furlough, including an extension beyond October.
Just as I do not believe that the furlough should be abruptly ended, I believe that there are issues of access to loan finance. As I have said, the bounce back loans scheme has been successful at getting money out of the door, but the same cannot be said of the other small business loan scheme, the coronavirus business interruption loan scheme. In the case of CBILS, only half of all applications have been approved, and the supposed freeing up of the scheme as a result of bounce back loans being made available is yet to materialise. We still do not know why 48,000 out of 98,000 CBILS loans are stuck in a holding pattern, and we do not know how many have been rejected and how many are still in the queue. One of the things we are asking for in the Bill is for the Government to publish data on the true number of rejections and the total number of inquiries.
The problem is not just with the small loan scheme. We have seen a wave of job losses in manufacturing, from Rolls-Royce to McLaren to Jaguar Land Rover. Make UK is predicting that as many as 170,000 jobs could be lost this year in the manufacturing sector alone. Any talk of levelling up will come to nought if we lose those jobs—I am sure that sentiment is shared across the House—and I urge the Secretary of State to look at the international comparisons of France and Germany, which have protected and supported strategic sectors of the economy, such as steel, aerospace and automotive, in a number of different ways. That is why our amendment to the Bill calls on the Government also to publish the true number of rejections in respect of the larger loan scheme, the coronavirus large business interruption loan scheme, and explain why 400 larger businesses have not been able to access support through the scheme. Again, we do not know whether they are stuck in a holding pattern and still waiting in the queue or have just been rejected. These sectors are calling for tailored Government support to help them through the crisis, but it has not been forthcoming. The big point is that, from hospitality to leisure to manufacturing, this is a general recession, but it was also much more acute in specific sectors, and the Government need to recognise this far more in their response.
If one part of the Government’s strategy is about shielding sectors of our economy from the sectoral recession, the other part must be about job creation and employment. We are to have a speech tomorrow from the Prime Minister. It is a shame that we do not have a Budget; I do not really understand why we do not have a Budget in what is potentially the worst recession in 300 years. If now is not the time for a Budget, I do not know when is the time for a Budget, but there is a speech tomorrow and big promises are being made about it.
The Bill rightly talks about what can be done in the construction sector. The way to help the construction sector is not just to tweak the operational hours, although that is important, but also to deliver on some of the promises the Government have made. Again, I think this view can be shared across the House; I do not often quote the Conservative manifesto approvingly—[Interruption.] —or at least not enough, but it promised £9.2 billion for energy efficiency in public and private buildings. Conservative Members all stood on that manifesto and I am sure that they support it.
We know how behind the Government are on building retrofits. The Committee on Climate Change recently said that there has been “negligible progress since 2015” and that the challenge of retrofit and renovation has gone “largely unaddressed.” We know that investing in retrofit is the ultimate win-win. This is the ideal opportunity —it would help the construction sector, not just in relation to operational hours, and could create tens of thousands of jobs—but today there are reports that it is being blocked by none other than Dominic Cummings. Apparently, he is uninterested and thinks it is “boring old housing insulation”. The Secretary of State and I have a good relationship, and I am happy to give way to him so that he can say that the £9 billion is going to happen. We need the £9 billion, so I am happy to give way. He has overruled Dominic Cummings on Sunday trading; now is the time to overrule him on this.
Let us also bring forward the £12 billion of social housing spending that has been promised. All these things are important, and they are also part of job creation. I think the idea that we need a green recovery is shared throughout the House, as least at the level of principle. Some people—assiduous readers—will have read over the weekend the Chancellor of the Duchy of Lancaster’s rather long speech, which mentioned Franklin Roosevelt 17 times. [Interruption.] I see Members nodding. Let me tell the House about Roosevelt: he put 3 million people back to work in the Civilian Conservation Corps. We need that kind of ambition on retrofit; on manufacturing low-carbon engines; on adapting our towns and cities to walking and cycling; on creating green spaces; and on reforesting and rewilding. We need what I call a zero-carbon army as part of a youth jobs fund.
We should see all these things as part of the green new deal because—this is the point—we face an unemployment emergency in this country. We should be under no illusions: a million young people are forecast to be out of work this year. We need a scale of action that matches that. That is my point. The Government measures we have supported over the past few months have recognised the power of active government in a crisis like this. My appeal to the Government is not to shrink from that now, because we are just at the beginning.
To conclude, we welcome the Bill as a step to help the hospitality and construction industry to reopen, but it is not nearly enough. The Government have shown that they are willing to take action, but we face the deepest and sharpest recession, possibly for hundreds of years, and Government power has to be continued to be used. The decisions taken by the Government in the coming weeks will determine how many jobs are lost and how many businesses survive. The commitment to do whatever it takes cannot be a hollow promise. We are calling for an extension to the furlough for specific sectors; an urgent job-creation programme with a green recovery at its heart; and real action on infrastructure, not just words. I urge the Government not to step back when our economy, our businesses and our workers desperately need support.
To make her maiden speech, I call my constituency neighbour, Katherine Fletcher.
Thank you very much, Mr Deputy Speaker. Due to covid, this maiden speech risks being something of an old maid—no comments in the Gallery, thank you. I rise to give this speech in tribute and with thanks to the wonderful people of South Ribble who, throughout this horrible once-in-a-century pandemic, have kept their heads, asked sensible questions and looked out for each other in myriad ways, small and large. Their humour and perseverance truly are the best of British, and I am chuffed to bits to serve them in this House.
I must also pay tribute to that fantastic Lancastrian, my predecessor Seema Kennedy. [Hon. Members: “Hear, hear!”] From her work securing millions to prevent flooding in Croston and Penwortham to her championing of our communities with Jo Cox, she is an intelligent, warm, generous, true lady. I extend my very best wishes to Seema and her young family and look forward to working for her at some point in the future.
And so to South Ribble and our history. Around 15,000 years ago, as the ice sheets retreated, fertile soils were carried down off the majestic Pennine hills to form the deep rich loams of Rufford, Longton and beyond. This soil of the very best grade, along with the skilled farmers and horticulturalists who look after it, produces some of the best produce in the world. Who in this House can say that their white turnips grace Harrods food hall? Not many, I’ll warrant. I pay personal tribute to all our growers, whose skill is legendary.
In advance of the next bit, I am going to have to apologise to Professor Mary Beard and her colleagues, because this is not something I have been taught. I have just read it in books, so I am going to get something wrong. If we look at Lancashire in the Roman era, we have the first written evidence of our proud culture. The ancient historian Tacitus describes how the northern tribes prepared for war: singing, chanting, drinking, tattoos and blue woad, and even being roused to laughter by a man at the front of the group. It strikes me, 2,000 years later, that Peter Kay has an ancestor and that Tacitus would have recognised the same in the people of Penwortham as they walk to Deepdale, Old Trafford, Anfield or, if you must, Ewood Park. Plus ça change!
Before you think our northern history is all about blokes, let me introduce a peer of the famous Boadicea, Queen Cartimandua of the Brigantes. The Brigantes were the iron age tribe of the north, and at the time of the Roman invasion we were ruled by Queen Cartimandua. Now, that was a politician! As Channel 4’s “Time Team” found, to its televisual disappointment, our lands are not covered by huge Roman forts, temples or mosaics. In doing pragmatic deals with local leaders, Queen Cartimandua protected her peoples, focused on trade, avoided oppression and avoided being killed by the Romans—in many ways, a woman who would approve of recent Bills in this House. For example, in her later years, when she tired of her king, she divorced him and took up with a handsome man in uniform, the head of her guard—[Laughter.] A development that I can see has caught the imagination of several genders in the House.
Slide forward another 1,000 years and South Ribble is at the heart of the Danelaw, the proud lands above the line between Chester and the Wash. Here we find the first reference in history to southerners up north. In about 1069, a bunch of people with silly accents—apparently they were Normans—rolled up in helmets and said “Gud moaning, we own all of this now.” Funnily enough, the north of England’s response was, “Er, no thanks!” There then followed quite a lot of genocide and burning people in their houses. In the recent history books, this is entitled the harrying of the north. Something of an understatement, that. While the he details may be largely forgotten, the sentiment of mistrust is not.
To my friends in the north, I say in the here and now: what is in the interests of the north is in the interests of the Tory party and the country. Full stop. You have made the right choice. Despite what you may hear from those who want you to know your place, I see no conflict at all in being proud to wear both the red rose of Lancashire and the blue Conservative rosette. We want a fishing rod, not a fish. We do not want a force-fed narrative of being downtrodden and oppressed; we want to rewrite a century of complacency. We need infrastructure to get to our work quicker and get back to our families without getting stuck. We want to be respected and cherished, and in all honesty we probably want to win the premier league every year with about 2 billion people around the world watching, although I am happy to concede to the House that there is a tiny bit of internal division about which team should actually do it.
A few hundred years later still, we enter the age of machines and steam. Take one look at the skills in Leyland, the trucks they built and still build, and their contribution to engineering across Lancashire, and it warms my heart. I am a sister, cousin, niece and friend to engineers across the north, but I must mention one in particular: my dad. A man who comes from the same political tradition as Mr Speaker, as you well know, Mr Deputy Speaker. Having a daughter who comes home and announces she wants to be a Tory MP was something of a surprise to him.
When we used to go on holiday as a family to Llandudno, there were people on the front selling see-through plastic macs that had emblazoned on the back in large, colourful letters, “The views of this child are not necessarily those of the parents.” It has been a family joke for some-ty years that I should have been bought one. However, attending the work’s old buffers’ buffet this winter, shortly after the general election, my dad was assailed with an astonished, “Fletch, I didn’t realise you were a Tory. Is it your daughter that’s just been elected next door?” With shock, he has now realised that the shoe is on the other foot; it is he who now needs a badge that says: “The views of this child are not necessarily those of the parents”. That is no way to repay a man who made huge sacrifices to feed his family, climbing in toilet windows to earn a wage but break a strike, moving halfway across the world to work on his own when jobs were tight in the early ’80s. Dad, I am sorry that you need the badge, but thank you anyway.
For those who do not know us, it is easy to think that the innovations of the industrial revolution were all brownfield, so what if I told you of the canals and land reclamation delivered for more rural areas such as Tarleton or the village—the clue is in the name—of Banks? Banks possesses the wonderfully named road Ralph’s Wife’s Lane, a long, wide thoroughfare that on first introduction leads to a couple of immediate questions. Who on earth was Ralph? Arguably more importantly, why was he so awful that his wife had to live down a long, massive, wide road to get away from him? And why did she not have a name? I look forward to hearing her story.
In fact, let me highlight the continued strength throughout the ages of the northern female. Rightly, there are wonderful statues to the Pankhursts and the fight for women’s votes, but I argue to the House very strongly that the movement’s success was due in part to symbiosis with a Lancashire culture that has roots far deeper than the industrial revolution. Step into Edwardian shoes in a Manchester terrace—can you imagine the conversation between the educated middle classes and a bunch of working-class Lancastrians like Annie Kenney and Mary Leigh? “Actually, we have campaigned for votes since the 1860s and have yet to succeed in our aims.” “Right, yeah, we’re just going to have to blow something up.” I add my voice to their quote:
“I’d rather be a rebel than a slave.”
My grandma passed grammar in Salford shortly after the votes for women movement succeeded. My auntie won prizes for academic achievement, but at 12 she had to leave and work in a shirt factory. Her experience means that my family values education beyond anything else as an engine of getting on—we aspire. “Do your best. Try harder. See what you can get up to.” My mum was the woman who said to her daughter, “No, you can’t go and knock-on and go out and play; you’ve got to do this next practice paper for your exams”. She regularly said: “Katherine, I’ve been saying since you were two that you’ll either be a stripper, a social worker or a scientist.” Well, mum, given that I have a biology degree, and with the nature of modern politics, there is a very good chance that I have achieved all three. Thank you, mum—you were right about the exams.
You may have guessed that I am very proud of what I am and where I come from—a community that says, “Go on, succeed, but don’t get too big for your boots. Don’t be patronising or ignore us or make assumptions about who we are or what we want. Definitely don’t come up here with southern accents to gain access to safe seats and explain how oppressed we are. You will get two words to that: ‘Look, love’”. Call it the northern powerhouse, call it levelling up—I am interested in labels only if they help communicate real action, and I will tirelessly advocate for exactly that. Championing the old lands of the Danelaw will guide my actions in Parliament.
To conclude, I think the ultimate lesson we should take from the suffragette movement is not actually one of women’s lib. It is that we are always only going to achieve big things—huge changes—when the people who say, “Actually—” and the people of different cultures and classes work together. We are best as one nation, not divided by class war or political tribalism. Look around me on these Benches. Look at the breadth of experience of culture, of vowel sounds—it is true. I can report to you that while some of the accents in this place are still silly, I have yet to see a southerner in a northern helmet, and I am struck by how serious they are about investment and growth and jobs. In short, they’re all right.
This flipping covid. It is a huge test for us, and we will pass it only if we take a leaf out of the suffragettes’ book and work together equally. I say to South Ribble, the north and the country: “Let’s combine our efforts, turbo-charge business and trade the hell out of our current position with all the peoples of the world.” I look forward to working with the descendants of everyone to make that happen, and I almost definitely promise not to metaphorically blow something up to make that happen.
May I take this opportunity to warmly congratulate the hon. Member for South Ribble (Katherine Fletcher) on her fantastic maiden speech? The Business and Planning Bill was perhaps not the most auspicious starting point for a maiden speech, but she gave us an industrial, geological and historical tour de force of the constituency. She follows a distinguished predecessor in her constituency, and I am sure I will not be alone in saying that I look forward to hearing more from her throughout this Parliament.
I will keep my remarks comparatively brief, as the Bill only really affects Scotland in respect of three clauses: clauses 12, 13 and 14. However, it would be remiss of me to miss the opportunity to say, on some of the licensing aspects, that the picture painted by the Minister of pavement cafés opening up the length and breadth of England presented a very—what’s the word?—European picture of England, which my party certainly, and I am sure others too, very much looks forward to seeing.
I turn to clauses 12, 13 and 14. The changes in the Consumer Credit Act are welcome. I hope that they lead to more instances of loans being given to the businesses that require them. I must say, though, that I am somewhat sceptical that that will lead to the transfer of cash that we need in that respect. The right hon. Member for Doncaster North (Edward Miliband) was absolutely right that we are really only at the start of our response to this crisis, and we are going to have to revisit this.
It is extraordinary that we have not heard from the Chancellor about his coming back to deliver what should be an emergency Budget. Much more still needs to be done as the crisis and our response to it evolve. In that respect, I very much commend the 10-point plan announced earlier today by Scotland’s First Minister, who talked about a major fiscal stimulus for the economy, VAT reductions for hospitality, investment in low carbon and digital, and of course changes to increase flexibility in the Scottish fiscal framework.
I will now deal with the other clauses that affect legislation in Scotland. The changes to the Road Traffic Act 1988 regarding driving licences and vehicle certifications are reasonable, proportionate and risk based, and we support them. It would be sensible to keep those measures under regular review, along with other aspects of the Bill. However, I make this plea to the Minister: we must return to the status quo ante as soon as reasonably possible, once it is possible to clear the backlog of testing of drivers’ continued fitness to drive and of vehicles themselves.
The Bill is a narrow one and a necessary one, but what we should really be hearing about is the emergency Budget that we need as we plot our way out of this crisis economically.
I call Paul Howell to make his maiden speech.
They tell us all that it is a challenge to make a maiden speech—I knew that I should not follow my hon. Friend the Member for South Ribble (Katherine Fletcher). I am one of the last of my intake to deliver my maiden speech, but I am probably one of the last who was expected to be here anyway, so that fits.
This Bill is a critical step in the recovery, but before contributing to this debate, I would like to talk a little bit about Sedgefield and give you a context for my comments. Sedgefield as a constituency has a significant rurality, with many farms, including the outstanding Archer’s ice cream, and around 40 different settlements. We have the William Beveridge-designed Newton Aycliffe as the biggest town. We have businesses ranging from the well-known, like Hitachi and 3M, through to the iconic Cleveland Bridge, to Crafter’s Companion, founded by our local Dragon, and some of the most innovative companies in the UK, like Kromek and the Centre for Process Innovation, and so many SMEs.
I was born in one of the mining villages, Ferryhill, before going to school in Newton Aycliffe and spending close to 40 years as an accountant in the manufacturing industry. I have also had the opportunity to sit as a councillor in both my local authorities, Durham and Darlington. I have an insight into the rural communities because I have been married to a farmer’s daughter for around 35 years. We have Charlie, born in 1993, whom we are both immensely proud of, being the first in our family to go to university—somewhere called Cambridge.
My dad was originally a miner but mainly a fireman, who, along with my mother, provided my brother and I with an upbringing that was loving, stable and showed us the value of hard work as he rose to be a divisional officer. I have to thank my agent, Charles Johnson, and his sadly recently departed wife, Carol—Carol did not know where a fence was to sit on it; she had views—who were particularly instrumental in me becoming involved in local politics in the first place. I, of course, thank my campaign team—this is all of them: Keith, Catherine, Oliver, Giles and, of course, my wife Lillian. There was a little bit of a target around me—some target seats. Their support in the campaign was invaluable, and I certainly would not be here without them.
Some notable politicians have held Sedgefield over the years. [Laughter.] I, of course, think first of Roland Jennings, who held the seat from 1931 to 1935 and served in the Durham Light Infantry in the first world war. He was the last Conservative Member of Parliament for Sedgefield. He had an entry in Hansard with him asking the Minister of Transport for help—nothing is changing there.
My immediate predecessor is Phil Wilson. I thank Phil for his magnanimous speech at the count. He was Labour, not Corbyn, and with that conflict, he found it a very difficult campaign. I have heard good comments from Members on both sides of the House about Phil—in particular, the work he did on the all-party parliamentary group for the armed forces—and I wish him all the best.
I said in my campaign that I would listen to the people of Sedgefield, and that is what I will do. So far, I have been lobbied on everything, from the price of pipe tobacco to HS2. One of the early pleasures in my role has been to meet the young ambassadors from Ferryhill and Chilton, whose latest campaign is “#dontthrowitallaway”, and it is about the rubbish that comes out of McDonald’s and places like that. I will give them all the support I possibly can.
I have started in this place with two primary areas of focus for Sedgefield: to work for the communities left behind as our economy became too London and financial services dependent, and to support local business. To that end, I am now joint chair of an APPG for left-behind communities, and I have been elected to the Business, Energy and Industrial Strategy Committee.
It is, hopefully, from this informed base that I would like to contribute a little to the debate. I would first like to say that I support the measures in the Bill as necessary first steps that will undoubtedly help pubs and restaurants, and I encourage as many of you as possible to join them—of course, in a socially distant way. While I am strongly in favour of developing pavement café space and so on to help with the recovery, we must remember to be as inclusive as possible and not forget that some of our visually challenged people might find these changes difficult.
In deciding what our next actions should be, we need to ensure that we do not look to recover to where we were—we need to go to where we want to be. Remember that before coronavirus, we had committed to the communities that had been left behind that we would level up this United Kingdom. With Sedgefield being equidistant from the north coast of Scotland and the south coast of England, we are a great place to start.
We must be aware that, even with these measures, some great businesses will need to reposition themselves for a new future that requires fewer people. One example would be the outstanding Rockliffe Hall hotel, whose staff have been writing to me, praising the way they have been treated during the lockdown, but the hotel is still having to make redundancies because of forecast lower occupancy rates. We need to take every opportunity to find ways to support job retention and creation and to minimise as far as possible the impact on our people and their economic opportunities. There are businesses, particularly many new start-ups and the self-employed, that have fallen through the gaps of the incredible efforts delivered by the Chancellor, and I would ask, if at all possible, for the Government to take another look at how we can help them to survive and grow.
There are many options we can take to move forward. As is typical of the north-east, we have some suggestions about what and how. A local business fellowship forum that I have listened to has written to the Chancellor providing some suggestions. It says that infrastructure needs accelerating and should not be frustrated by overly protracted planning processes. Tax breaks are needed to support construction and in particular green construction. The forum also argues for some 100% capital allowances, bonds for local authorities to support local investment and supply chains that maximise local content for integrity and the socioeconomic benefits that come. We need to consider mass contingent equity investments to drive investment.
The forum also asks us to lift some of the restrictions on the enterprise investment scheme and venture capital trust funding to improve access. In the end, cash is king, so it also asks the Government to push the importance of prompt payment and to broaden the Government-backed insurance scheme. Those suggestions show that businesses are looking at how to deliver growth, and I encourage the Chancellor to listen and to be as expansive as possible in his consideration of such suggestions.
I suggest that we can combine economic delivery with our levelling up agenda, for example, by delivering promises on infrastructure. In Sedgefield, several of our villages are named after railway stations. We have Ferryhill Station, Trimdon Station and Station Town. They have one thing in common: none of them has a railway station anymore. Ferryhill is an obvious place to rectify that. It is something that had been campaigned for since it was closed in the Beeching era, and not even Tony Blair, who was Labour Prime Minister for 10 of his 24 years as the Sedgefield MP, managed to deliver that. Maybe its time has come.
Broadband is key infrastructure and it needs to be for all. In Sedgefield, we have a number of rural blackspots, such as Killerby, which has close to zero broadband, never mind gigabyte broadband, and that needs to change. The delivery of local management for local need could be further developed. I would like to see people such as the Tees Valley Mayor, Ben Houchen, given the opportunity to drive more agendas and for devolution gaps such as Durham, which fall between combined authorities, to have their situation sorted and for them all to have the latitude to crack on and deliver.
I would like to see a mechanism for getting some funding support direct to community groups, such as Deaf Hill Regeneration Group and Ferryhill Ladder, which are so embedded in their communities and can ensure that all the money hits the target for maximum benefit.
The opportunity to relocate some Government Departments, such as possibly the Treasury and others to the north-east—and preferably to Sedgefield—could both improve local economies and Government understanding, but also reduce pressure on the housing and travel densities in London.
It has been noticeable during the crisis how much people have stood up and helped their neighbours, and that is something we need to encourage. I will therefore look to my immediate neighbour, the Chancellor of the Exchequer, to pop over the bridges on the Tees and give me a hand.
Those are the key strands that should be part of our approach to starting the process of levelling up, while at the same time invigorating our economy. People will no doubt question whether it can be done. Well, we got Brexit done, and this is a Government who can get things done. I remind the House of a poem by Edgar Albert Guest, which starts:
“Somebody said that it couldn’t be done
But he with a chuckle replied
That ‘maybe it couldn’t,’ but he would be one
Who wouldn’t say so till he’d tried.
So he buckled right in with the trace of a grin
On his face. If he worried he hid it.
He started to sing as he tackled the thing
That couldn’t be done, and he did it!”
For us, it is now all about getting it done.
My message to the Government is that we have the ideas and talent to deliver the economy and welfare of the UK from these challenges, and my message to the people of Sedgefield is that we can get it done. I will do everything in my power to listen to you, represent you and shout for investment in our amazing constituency to deliver the connections and visions that create the aspiration and opportunity for you to get it done, too.
It is a pleasure to follow the maiden speech of the hon. Member for Sedgefield (Paul Howell). He may be surprised to discover that between Sedgefield and Shoreditch there is a bigger connection than he might imagine and that we might be on the same side on tackling the issue of broadband, because my constituency, like his, has notspots, even in the heart of what some people call Tech City. So we can perhaps work together on that. I am also a supporter of relocating Government departments outside London, championing it when I was in government, so we have two points in common. In other ways we may be hammer and tongs against each other, but we can find the points of agreement, and if we disagree, let us disagree well. He was right to pay tribute to Phil Wilson and to describe him as magnanimous. Phil is a good, kind, thoughtful and wise men, and it was a real mark of the man that despite losing Sedgefield to the other party, he did not take defeat badly. It is noble of the hon. Gentleman to acknowledge that.
I want to focus on the Bill’s clauses relating to hospitality. Before doing so, I wish to stress that my borough of Hackney is very pro-enterprise. We support it to such an extent that we have more than 1,300 licensed premises in a 19 square mile borough; we are the third most densely populated borough in London, and there has been a 66% growth in the number of premises since 2006. So this is something we have been pushing, and I pay tribute to the many exciting and interesting entrepreneurs who have set up businesses. In one ward alone, Hackney Central, we have five microbreweries. So this is a great place to come to drink, party and have fun, but we have always tried to balance that, for the most part, with the needs of residents. I worry that with this Bill the balance is shifting so far one way that we will rue the day, in a few months’ time, when we see what residents have had to put up with.
I need to describe what our local residents are already putting up with. We may have had lockdown, but businesses have been able to sell off the premises in open containers, and some of my local parks, notably those without boundaries—London Fields, Well Street Common and others—have become party places. They have not just become party places for people having a responsible, quiet drink in a gathering with friends, within the social distancing rules. I am afraid to say that we are talking about people who have no regard for other people, and who have defecated and urinated in the parks, and in people’s doorways and stairwells. People are having to scrub down their front doors and remove human excrement to get out of their house cleanly. That is not acceptable, and it is not down to the shortcomings of the local authority or the police.
The volume has been so great that this has been very difficult to keep on top of. The police are receiving complaints about antisocial behaviour, with about 70 to 90 on a sunny weekend, depending on the day. The local authority noise patrols and wardens are out in force doing what they can, but they are simply outnumbered. Fines have been issued, and more than 100 of the 193 issued were to people from outside the borough, be they from south London or as far away as Bishop’s Stortford or St Albans. We welcome people to Hackney— we want people to come to support our vibrant businesses —but they need to have some personal responsibility. My fear about this Bill is that it rushes through one of the most radical changes in licensing laws in a matter of a couple of hours this evening, with a handful of Members engaged. The Bill was unveiled only on Thursday and we had until Wednesday, or until today, to make amendments—this is going very fast.
I wish to refer to a couple of clauses. Clause 3 deals with the determination of applications, with subsection (3) setting out what happens at
“the end of the public consultation period.”
The business has to put in an application to the council, and the day after that it is deemed as received. This is deemed as being the start of the public consultation. Ten days later, at the end of that period,
“the local authority may—
(a) grant a pavement licence to the applicant, or
(b) reject the application.”
Of course if there is a public concern, the application can be looked at again, but subsection (8) states:
“If the local authority does not make a determination under subsection (3) by the end of the determination period, the licence for which the application was made is deemed to be granted by the authority to the applicant.”
We are quite willing to support businesses with looking at extended licences and so on—that happens all the time in my borough. But with some 1,330 licensed premises, the pace at which this is going means that there will not be enough resources in Hackney Council, or in any council in the country unless there are few licensed premises in the area, to deal with the onslaught of licence applications.
The clause is very much in favour of business, and of course I am in favour of businesses getting support, but we need to ensure that we get a balance. The Secretary of State talked about limits—for example, a premises that has had problems or an application for an off licence refused in the past three years is not eligible, but that has not happened to many businesses. A lot of businesses will be applying for the first time because of the peculiar and difficult circumstances of covid-19.
An obligation on the business to deliver a restrained service is missing. Such a service is difficult to control because once people are spilling out of a premises on to the pavements and into car parks, it does not take much to spill further into our parks and create more of the nuisance that we have seen recently, to the real detriment of residents.
For some, this may be a dilemma, but for me it is about getting the balance between what is right for residents and what is right for business. The Bill goes far over the line to support business. Yes, it is a difficult time, but there are not enough safeguards for local councils and not enough resources. The Government need to provide the resources to councils such as mine and that of the hon. Member for Cities of London and Westminster (Nickie Aiken), whose constituency must have even more licensed premises than Hackney South and Shoreditch and the borough of Hackney, so that they can cope. That is difficult to do. They cannot rustle up licensing officers with the right experience in the time available. The Government also need to give powers to councils where there has been antisocial behaviour so that there is a quicker way of withdrawing a licence.
We have to get the balance right. Of course we want things to return to normal as soon and as safely as possible, but the Bill will create other problems. I am sure that the Minister does not need me to remind him that one of the challenges of becoming a Minister is the unintended consequences element of the work. A Minister makes a decision and officials say that they have checked everything, it is all great, everyone has looked at it, but there is one little bit that perhaps they have not thought through fully. That usually connects the decision to life out there in the real world. The Minister is very welcome to visit my constituency—we might even go for a socially distant drink in a responsible establishment—but the reality in my part of the world right now is not pleasant. It has become a party place and it has been very difficult, almost impossible, for the council to keep on top of.
I urge the Government to reconsider the matter and think about any safeguards, support and succour they can give local authorities. I am not a party pooper. I support enterprise and the licensed premises in Hackney, but there must be a balance. Any measure must not be to the detriment of residents who have had to put up with the fouling and bad behaviour of recent weeks and months.
I pay tribute to my hon. Friends the Members for South Ribble (Katherine Fletcher) and for Sedgefield (Paul Howell) for their maiden speeches. They truly demonstrated the depth of talent in the party and why I believe that this side of the House will be a formidable force for many years to come. I congratulate them.
Covid-19 has posed not only one of the most significant public health crises that many of us will ever experience, but significant challenges to our economy, the way we do business and our life as we knew it. Social distancing, self-isolating and the new normal are all terms that I would never have guessed I would use regularly when I first entered the House in December ’19. Indeed, we do not yet know what the new normal will look like, but we can all agree that it will be different from the old one. It has been a long, hard slog and as we find that new normal, it is vital that we pass legislation such as the Bill that allows us, our businesses and our economy to emerge from this economic slumber.
I was pleased that my right hon. Friend the Chancellor took decisive steps to protect the livelihoods of as many people as he could. The decision to put our economy on life support was supported by Members of all parties and hopefully means that we have been able to soften the blow of covid-19, as I hope the Bill will also do. When I spoke to business owners in my constituency, everyone relayed to me their relief at having the business support packages, including the bounce back loan scheme, the job retention scheme—the original and the revamped flexible one—the rates reliefs and the grants. In Meriden, 14,900 people have been furloughed, representing 22% of our resident population. Solihull Metropolitan Borough Council has distributed more than £25.4 million of grants to almost 94% of the eligible businesses. I thank Solihull MBC, the leader, Councillor Ian Courts, and the chief executive, Nick Page, for their hard work in ensuring the money got to where it needed to be, and the Chancellor for taking the decisive steps that needed to be taken at the time.
I welcome this Bill, particularly the opening up of outdoor spaces, which could mean the difference between a business surviving and failing completely. I wholeheartedly welcome the reduction of the fees to permit the opening up of new spaces and the reduction of red tape. Of course, I encourage everyone to behave responsibly as they enjoy this new al fresco Britain, as these are new hard-earned rights, earned by the whole nation.
Finally, the bounce-back loans scheme is a timely intervention and, once again, the Chancellor’s proactive approach has provided businesses with a lifeline. Banks were struggling to lend as they had to do so in accordance with the Consumer Credit Act 2006, so it is right that we agree to clause 12 to stop the BBLs being subject to the unfair relationship provisions. We needed our banks to step up and they needed this to do so. Not to have done this would have had the result of delaying vital funds for businesses and would have posed onerous requirements for checks, which would have inhibited the very purpose of the BBLs and irreparably damaged our economy.
This virus has meant that we continue to adapt to an ever-changing landscape, and this Bill is part of the responsive and responsible way that we have dealt with one of the most testing periods of our time.
May I add my congratulations to the two new Members have made their maiden speeches, the hon. Members for South Ribble (Katherine Fletcher) and for Sedgefield (Paul Howell)? I recall that when I made mine, I harked back to the wars of the roses, so I feel somewhat outdone by the hon. Lady’s references to the ice age.
From my conversations with local businesses over the last few weeks, it is clear that the coronavirus has affected different businesses in different ways. Many have been able to continue their services across digital channels, and to expand or diversify their offering to new and existing customers. Food and drink stores have been able to continue trading, and some have even seen sales increases, as people have had more time for shopping and cooking. Other forms of retail, such as books, music and clothing, have been able to maintain some level of sales via online shopping and delivery. I have been really impressed by the ingenuity of our business community and the way they have responded to this crisis. I have a great deal of confidence that, in this nation of shopkeepers, we will continue to respond to the challenges of the post-lockdown world.
There is one sector, however, that has been badly hit by the lockdown and continues to face enormous challenges in its ability to revive—our hospitality sector. Encompassing cafés, restaurants, pubs, events, tourism and accommodation, it exists to bring people together, to encourage contact and to promote social gathering. They are facing an existential threat from a new world that needs people to keep their distance from each other.
I cautiously welcome the Government’s moves to lift restrictions on people visiting pubs, cafés and restaurants, although, like many of my constituents, I remain anxious about how this can be achieved while maintaining social distancing guidelines. This virus remains far from beaten, and I am dismayed at the mixed messages from the Government about how people should conduct themselves in the face of what is still a major threat both to our health and to the economy. We would face the future with more confidence if we had an effective system for tracking, tracing and isolating future diagnosed infections, and the lack of such a system constitutes a major risk to the effective functioning of our whole economy.
In that context, the Liberal Democrats welcome the provisions in today’s Bill. In particular, the provisions to ease the process for cafés and restaurants to apply for permission to provide pavement seating are very much to be welcomed. It will give many businesses the flexibility they need to open back up, while adhering to social distancing guidelines.
I particularly welcome the fact that councils are to continue to play a major part in the granting of such licences. In many parts of the country and in many town centres, our hospitality businesses play a major role in the local economy. To encourage that economy, councils can play a major part in reconfiguring our town centres to enable more pavement seating—closing roads to motor traffic and introducing pedestrianised areas, for example—which can support businesses in meeting the conditions of their licences.
Can the Government confirm that they intend to include mobile catering units in their plans? Many of these micro-businesses are missing out on their regular trade at festivals this year, and would benefit from the boost to business that being able to set up in a town centre could give them. We also support the powers given to councils to vary the terms of licences.
While we are all keen to see our hospitality sector given this essential support, it does not come without costs. I really want to echo the point made by the hon. Member for Hackney South and Shoreditch (Meg Hillier), because we have seen many of the same problems in Richmond and Kingston, and it is really appalling and a huge burden on local residents. Local residents may experience additional nuisance, for example, from strong lighting and noise later in the evening, and also an increase in antisocial behaviour after closing time. Additional pavement furniture may cause accessibility issues for those in wheelchairs or those who are partially sighted. It is to be welcomed that councils will have the power to judge each application on its own merits and to apply its own acceptability criteria. It is also welcome that these changes are temporary. Short-term changes to support local business owners during this difficult time are more likely to be welcomed by our local communities than permanent changes that threaten to cause a long-term nuisance.
In the same vein, we support the changes to allow businesses with an on-site licence to convert to an off-site licence, but we have some concerns about the overall provision for off-site licences. Like many areas of the country, Richmond and Kingston have needed police interventions to disperse large crowds who have gathered on our open spaces to drink and play loud music. This has led to considerable antisocial behaviour, including drunkenness, public urination and drug taking. Local residents and police report that they have not seen antisocial behaviour on this scale before, and it is causing considerable distress to residents affected.
The hon. Lady is describing very delicately, I have to say, the reality of what this is like when you are living through it. Does she not think that the Government need to recognise that we want businesses to be supported, but the cost to councils, and to the police, of enforcing this and managing antisocial behaviour will be huge?
I am really glad that the hon. Lady has made that point. I have had lots of conversations with both the local council and the local police. It is clear that for suburban boroughs such as mine in London, where the Met police have, quite rightly, violence reduction as their priority when it comes to targeting their resources, the resources are simply not there to pay for the neighbourhood policing that we need to be able to keep on top of this kind of menace to our local residents. It is a really important point. I take this opportunity to press once more for further funding for neighbourhood officers in the outer boroughs in London, because that is a really urgent priority.
From my conversations locally, it appears that, by and large, our licensed premises are behaving responsibly in their provision of off sales and that a lot of the problem is coming from supermarkets promoting the purchase of alcohol in large quantities. There is a debate to be had about whether this is ever a good idea, but during a pandemic when people are being instructed not to gather in large groups, it is completely irresponsible. Supermarkets were quick to introduce limits on a number of toilet rolls or bags of pasta that customers could buy at the beginning of the lockdown, and they ought to do the same for alcohol now. If they do not act reasonably in this regard, councils ought to be able to take action, in the face of threats of large gatherings and antisocial behaviour, to require shops to restrict their alcohol sales. These increased powers to councils, while welcome, will come at a cost, as the hon. Member for Hackney South and Shoreditch pointed out, and there should be greater financial assistance to councils to enable them to administer, review and enforce the new licensing regime.
We cautiously welcome the extension to hours that can be worked on a construction site, but support the discretion granted to local councils to restrict those hours in residential areas. Building work is one of the chief sources of nuisance in residential areas, and that nuisance is compounded when people are spending many more hours at home. We also welcome the extension of planning consents already granted. It will save local authorities a great deal of time and money not to have to review planning consents already granted that may have expired during the lockdown. However, in acknowledging that construction has been delayed for many developments, the Government also need to consider that local authority housing targets will also have been put at risk, and they should look again at any proposed sanctions against local authorities in this regard.
In summary, we support this Bill principally because it recognises the important role of local authorities in supporting our local businesses and safeguarding our local communities. This Government place too much faith in technological solutions, whether for their doomed contact-tracing app or as a way to make the Irish border magically disappear, so it is reassuring to see that they still recognise the value of local leadership and decision making in meeting the health and economic challenges of this pandemic.
It is a pleasure to follow my hon. Friend the Member for Richmond Park (Sarah Olney), and indeed to speak in the same debate as two excellent maiden speakers. The hon. Member for Sedgefield (Paul Howell) made an excellent speech. It reminded me that we are next-door-but-one neighbours, because I am also a neighbour of the Chancellor of the Exchequer—they are big seats up north, some of them. I would be delighted to work alongside the hon. Gentleman in making sure that we get the right investment for the north of England.
Once upon a time, in 1997, when Sedgefield was on the map for a different reason, I was a candidate for South Ribble and got annihilated, just about holding my deposit, so I very much congratulate the hon. Member for South Ribble (Katherine Fletcher) on an excellent and very entertaining speech. However, she has the biggest and most formidable task ahead of her, because she is now my dad’s MP. That will make life difficult for her. I note that she was very on the fence, shall we say, on which team she supports. Just to be clear, her predecessor supported the right team. Anyway, it was a marvellous speech and I thank her ever so much.
Not North End? Fair enough. Anyway, all the best. Both maiden speeches were wonderful. On to even more serious matters, Mr Deputy Speaker. You must really have to sit on the fence where you are—good golly. Burnley? Blackburn? My goodness me. Stick with Clitheroe—that is my advice.
The Liberal Democrats support the provisions in the Bill and recognise how necessary they are. We recognise the colossal sacrifice that so many people have made in the last three and a bit months. Many did so before there was any guarantee of any kind of financial support, which might have made it a little easier for them. My constituency has an average age 10 years above the national average, and we were one of the infection hotspots right at the beginning. The number of deaths was tragically high in our community in south Cumbria. Many people running businesses of all sorts closed down or restricted their economic activity right at the beginning, before any compensation was available to them, because they put the interests of their neighbours and people they had never met before their own financial interests. I pay tribute to my constituents and indeed folk around the country for doing that.
At the head of the movement to try to get people to restrict their economic activity right at the beginning, even telling people not to visit the Lake district—Britain’s biggest tourist destination after London—was Cumbria Tourism itself, our tourism board. It led the calls for people to visit us, but just not now, not yet, in order to keep people safe. We need to remember that sacrifice. I am very moved by and proud of it.
Of course, the Government package did come weeks later and it is very welcome. It is important in this process—in this crisis—that we find ways of working together and being collectively responsible for the mission to get Britain through the covid crisis as much as possible. It is right for those on the Opposition Benches, and indeed on the Back Benches, to hold the Government to account, and to do so constructively. I take my role as Cumbria’s only Opposition MP seriously. I have a responsibility, which must not be abused, to speak out, but I recognise that my job would be undermined, and I would be undermining my constituents and folks across Cumbria, if I was oppositionist for opposition’s sake. So it is important to congratulate the Government and work with them, when they have done the right thing. The furlough scheme, the grant schemes and so on undoubtedly saved, at least for the time being, millions of jobs around the country and thousands of jobs in my constituency.
There are, however, some gaps, and I want to spend a moment or two talking about them. It is still beyond me that the Government have still not been able to find a package to support people who make their living by being directors of very small limited companies. I can think of a person I know well in my constituency who is a photographer. He is a one-person band, effectively; he is not the director of some large corporation. His income has been completely stopped these past three months. The Government surely could still find ways of ensuring that directors of small limited companies are able to get support.
I also think, in relation to this package of measures, of the plight of people in the mobile catering industry, whose interests have been represented incredibly well, especially by my hon. Friend the Member for North East Fife (Wendy Chamberlain). It is important that they are explicitly referenced in the Bill so that they are supported to be able to make a living, and supported for the shortfalls in their incomes over the last few months.
I am bound, though, to focus on the gap in provision for those who have been self-employed for not so long. One in four people who work in my constituency work for themselves; they are self-employed. Our community is hugely entrepreneurial and we are very proud of that. New business start-ups are one of the council’s most important focuses. Many small business do not make a profit in their first, or even their second, year; it just does not happen. People put their effort, money and capital into getting going, and they maybe turn a profit in year three. Those innovative, risk-taking people, who have perhaps made a lifestyle choice to earn a bit less money, but to live in a nice part of the world, put their kids through the local school and add to our community, are falling through the gaps. When Westmorland and Lonsdale had the largest single increase in umemployment in the United Kingdom—of 312%—we know that many of those were those hard-working, innovative people who were starting off, and the Government did not find a way to be able to support them.
The Government said that they were not able to support them because there was not 12 months’ worth of evidence of them operating. I would argue strongly against that, but even if that is an argument, why, when we came to the second iteration of support—when some of the people who were denied the first time round would have then done 12 months—were those people not included? It is so important that those people are not forgotten and that we as a country invest now in supporting them.
In my constituency, 37% of the entire workforce is on furlough. That is the biggest number anywhere in the north of England and the biggest number of anybody outside London. It is important to remember that a large part of that will be down to the significance of the hospitality and tourism sector, with 60,000 people working in it throughout Cumbria, the bulk of whom are in my constituency, the Lake district, the Yorkshire dales and other parts of south Cumbria. While we look forward nervously and cautiously, but with a level of excitement, to 4 July and the comeback of much of the hospitality and tourism industry, we recognise that many, many businesses will not be able to fully function. I am thinking of, for example, the survey that Cumbria Tourism did of its members just last week, when they discovered that 69% of those businesses will not be able to open fully even after 4 July. We must not assume that everything is back to normal in just a week or two’s time.
With your permission, Mr Deputy Speaker, in Committee, I will want to talk about our new clause 1 and hospitality and tourism in a bit more detail, so I will not go further at this point, save to say that I recognise many of the comments from my hon. Friend the Member for Richmond Park (Sarah Olney) and the hon. Member for Hackney South and Shoreditch (Meg Hillier) about antisocial behaviour sometimes coming with the immediate upsurge in visitor numbers. That is not just in urban areas. The road on the east side of Coniston water had to be closed down in the last couple of weeks because of the antisocial behaviour we have seen there, and many of the florid descriptions from my hon. Friends can be repeated about the Lake district and the Yorkshire dales. I could say many things about that. One is that the countryside code is very good. It does not need amending. It needs publicising and embedding in our schools and to be promoted by the Government. I hope that they will do just that.
I turn to planning and the easing of planning restrictions being seen as underpinning the revival of our economy. That is absolutely right—at times, that will be worth pursuing. However, I point out to the Minister that in some cases, the revitalisation of a local community can be helped by restrictions or new changes in planning law. In particular, I am thinking of absentee ownership, or second home ownership, in places such as the Lake district, the Trough of Bowland, Yorkshire dales and other places of natural beauty.
In my constituency, 7,000 of our properties are not holiday lets, but second homes—they are boltholes that are not lived in for nineteen twentieths of the year. That means it is a home owned by somebody who sends no children to the local school and who rarely contributes to the local post office, the bus service and so on. It is possible to make planning laws that would enable places such as the Lake district and the Yorkshire dales to have a lid on the number of empty homes in our communities. Therefore, a community that has been built and shown to be vibrant during the covid crisis can have the opportunity to grow still and not peter out due to a lack of full-time homes.
I am intrigued by the speech the other night about Roosevelt—we will wait to see whether there is anything behind that. Undoubtedly, the only answer as we build back better from all this is to take that Keynesian, investment-based approach and do so in a thoroughly green way, with renewables, recycling, making sure that we have retrofitted insulation and moving forward with public transport. This is an opportunity not only for us to build back better and demonstrate our ambition for a different kind of country, but to do so in a way that our children and our grandchildren will thank us for, because we did so sustainably, renewably and in a thoroughly green way.
I will keep my remarks short, Mr Deputy Speaker. First, I congratulate my hon. Friends the Members for South Ribble (Katherine Fletcher) and for Sedgefield (Paul Howell) on two remarkable maiden speeches.
There is no question but that we need to get the economy up and running again, and that we need to do so with a sense of urgency. There is also no question but that the hospitality and construction sectors have suffered, and that they need our help. I welcome a number of things in this Bill, such as allowing tables and chairs to be put on pavements on a temporary basis. However, I am concerned about one particular provision in the Bill, which has already been referenced by the hon. Member for Hackney South and Shoreditch (Meg Hillier), and that is off sales of alcohol. As I read it, off sales of alcohol will be allowed to run for the same time as on sales of alcohol. I have a central London constituency, so I have many premises with late licences. I am concerned that if these late licences are to run until 1 o’clock in the morning, bars will still be selling alcohol on the streets to big groups of people until 12.30. Like the hon. Members for Hackney South and Shoreditch and for Richmond Park (Sarah Olney), I can say that central London has seen issues over the course of the past two to three weeks. I certainly had issues at the weekend in my constituency where the police were heavily involved. I ask my right hon. Friend the Secretary of State to think about whether we could put a time limit on off sales—let us say to 11 pm.
My other point concerns construction work continuing on residential developments until 9 pm. I was delighted that my right hon. Friend said that this would not apply to single dwellings and that local authorities would have discretion even in major developments. Can I ask him to ensure that local authorities have that discretion, because many people in my constituency live in small terraced houses, bang on top of each other, and in mansion blocks? It is not like building a new estate outside a new town, where it does not affect anyone. Obviously, I spent a few weeks at home during the lockdown and I must say that a basement development going on next door until 9 pm would have been intolerable. I welcome what was said, but let us ensure that local authorities have that discretion.
In conclusion, I welcome the Bill, but ask my right hon. Friend to consider the time restriction on licensing for off sales.
Before I start, may I thank the hon. Members for South Ribble (Katherine Fletcher) and for Sedgefield (Paul Howell) for their maiden speeches? As I have said before, an abundance of talent has been shown by new Members from all parties, though I particularly enjoyed the two speeches today. I wish both Members well for the future in the House. I hope they will make many more contributions; if they are as good as they were today, we are in for a lot of good times. Their speeches were absolutely excellent.
The explanatory notes make it clear that the Bill includes a range of measures to help businesses adjust to new ways of working as the country recovers from disruption caused by covid-19. May I put on record my thanks to the Government and to Ministers for what they have done not only to hold fast against covid-19, but to ensure that businesses have an opportunity to go forward? The measures support the transition from the immediate crisis response to the recovery and getting the economy moving again. They support businesses in implementing safer ways of working to manage the ongoing risk of covid-19, in particular the need for social distancing.
I am probably not the only Member who has received a summary of information from SIBA, the Society of Independent Brewers. It has asked a couple of questions that I want to put on the record with Hansard, and the Minister might be able to respond to them at the end of the debate. Some breweries do not have a premises licence and cannot offer takeaway and delivery directly to the public. The Bill will not help them during the covid-19 crisis. One in four breweries—about 500 out of 2,000 breweries in the UK—do not currently have any way to sell directly to the public, and the sales of small breweries have reduced by 65% to 82% because of covid-19. They have not received the same level of financial support as pubs and the hospitality sector, such as through the business rates holiday or the £25,000 grant.
Some 65% of small breweries have been mothballed since covid-19 and trade during the summer months will be vital for their survival. Some have been using temporary events notices to offer limited services, but they are by their very nature limited in time and number, and businesses must already be registered with Her Majesty’s Revenue and Customs under the alcohol wholesaler registration scheme and approved as a fit and proper person.
The small breweries ask the following questions. They call for an extension to the licensing relaxation to allow small independent breweries who cannot sell directly to the public to be able to do so on a temporary basis. That could be done by extending the authorisation of off sales to small breweries that do not hold a premises licence but are registered under the alcohol wholesaler registration scheme, and allowing small breweries that do not have a premises licence to apply quickly and more easily by treating the application as a minor variation—that might be a simpler way of doing this. Also, the number and time period for temporary events notices might be expanded to assist breweries, allowing for takeaways and deliveries. Will the Minister respond to those points at the end of the debate?
None of us in the Chamber could argue against the need for the Bill. With an estimated 25% of the people on furlough facing redundancy, there is a crystal-clear need for help for business, and not simply in the form of grants, but right through the economic period. Only this morning a business owner with two small convenience stores was on the phone asking for clarity on whether the new regulations will allow him to have more people in his shops, and therefore, it is to be hoped, fewer people having to queue who might then go elsewhere rather than wait. The current situation is unfair because the same problem applies to the big supermarket chains but the waiting time is less, and people can get most of their shopping in one place. All businesses apart from the major supermarkets are clearly facing a rough time ahead.
It is abundantly clear that we must enable businesses—especially small businesses, which are the backbone of the economy—to survive this time. We in Northern Ireland have a larger proportion of small and medium-sized businesses than the rest of the United Kingdom. The high street in Ards—Newtownards—which is my major town, won the Northern Ireland high street of the year 2019 award. We are doing, with others, all we can to secure grant funding and measures with the local council to help the boutique shops, which people travel to from the length of Northern Ireland, to survive. What a difference a few months makes!
The Bill also has measures to help haulage businesses and other commercial interests, and that is absolutely necessary. As I have said, I am supportive of this Bill, but a point was highlighted to me by an interested party, and it is of concern and must be addressed: the closure of the Bill powers. The Minister will have received correspondence from my office on the issue of licensing, and in particular HGV licensing. In simple terms, the Bill rightly gives the Secretary of State the power to issue exemptions from testing as he sees fit, and he can also withdraw that exemption at any time. However, there is a concern in that there is no obligation to set standards or rules, and the Secretary of State’s powers are constrained. In previous times, such power vested in a Minister would be resisted by Parliament, especially without a covering sunset clause to make the power temporary. I want to ask the Minister about this point; the Secretary of State mentioned it at the beginning of the debate, but unfortunately I did not get a chance to ask this question. The 12-month exemption can be granted so that haulage companies and operators can maintain their schedules for maintenance, so that they are not compromised and those schedules do not have to be rearranged twice. I just want to make sure that those companies are able to deliver and have their maintenance schedules in place, and will not be disadvantaged in any way.
There is also the issue of new vehicles and trailers. I welcome the information about a temporary reduction in duration of certain driving licences in Northern Ireland. That is a response to some of the things that I have written to the Minister about, so I am glad to see it in place. That tells me that we all have a role to play in the House to assure the Minister, or to change his mind—advise him—so that he comes forward with some ideas, which he clearly has. I thank him for that.
We all understand that unprecedented times call for unprecedented measures. That is why I was pleased with the furlough scheme, and many people have taken advantage of it. To be honest, had the furlough scheme not been there, many businesses would not still be here. The scheme has done some excellent work to ensure that businesses can hold on, until they get the chance to reopen over the next period of time, which will happen.
We must also ensure that we secure the way forward, not having the Minister with absolute and unending power as the new norm. That is not how democracy works. I add this caution: I hold firmly to that belief in democracy, even if I do not always agree with its outcome, such as the imposition of abortion legislation in Northern Ireland—not an issue in the Bill, but an example of a recent decision that we think should have been for the devolved Assembly to determine. We are in grave danger of forgetting that we can never allow power to be abused, whatever form it takes. I ask the Minister to insert a sunset clause in order to bring the powers to an end, or to have further accountability in the process of decision making under the Bill.
I conclude with this comment: we need this Bill and I support it, but we also need accountability and limitation of power. I ask the Minister to come back to us on that matter. I thank the Government for all the help for businesses so far, but we need it for the future as well and to take us through to the last part of this year. I hope that with the reduction in the R rate across the whole of the United Kingdom of Great Britain and Northern Ireland, especially in Northern Ireland where it is reducing greatly, the future will be better—as Captain Moore always says, “Tomorrow will be a good day.”
Reducing and removing red tape is vital to enable businesses to bounce back rapidly as they reopen. In north Devon, we are blessed with vast areas of open space, so many of our pubs, cafés and restaurants will be able to open more effectively this summer if customers are able to spill on to pavements, car parks and beaches. I warmly welcome the Bill and the opportunities it presents to many of the local businesses that I love to visit, such as Johns of Instow, Lilico’s in Barnstaple, SQ in Braunton, The Rising Sun in Lynton and The Grove in Kings Nympton.
I recognise that consultation with stakeholders has been undertaken. However, with an elderly population in North Devon, I remain somewhat concerned. Clear access along pavements must be available to the disabled and partially sighted, who frequently find street furniture a hazard. I trust that that will be facilitated. I hope that the proposed amendments to the planning process will include measures to enable our town centres to revitalise themselves completely, giving speedy changes of use, and opportunities for new businesses or much needed housing to be rapidly developed in the unfortunately ever-growing number of vacant shops on our high streets.
All that will not be possible if our councils do not have the resource to deliver it. Multiple layers of councils in counties such as Devon do not always have that resource, despite their best attempts to deliver rapidly. Indeed, the interaction between different council tiers make such changes more challenging. Councils have made an unprecedented response to the pandemic, and I take this opportunity to thank the teams at North Devon District Council, the town councils and Devon County Council for their tireless commitment, despite the increased workload.
I fear, however, as we have already seen in North Devon, that some well-intentioned initiatives are hard to bring to fruition and take far too long to implement. Small district councils have small teams, some still working from home, with poor broadband that is already overloaded. Reducing red tape can only work if council teams are able to implement plans rapidly and have the necessary resources to deliver what our businesses and high streets so desperately need. That is not in any way to criticise the work of the officers and staff at my local councils, but more to recognise the structural difficulties that are endemic to multiple layers of local government. I would like to take this opportunity to urge everyone, in the coming weeks, to come and visit some of our fantastic pubs, cafés and restaurants in North Devon; to enjoy our great hotels, holiday parks and B&Bs; and to indulge in the new outdoor drinking and dining facilities that I hope will rapidly appear with the passing of this Bill.
Those of us who live in North Devon all year round know that people need to be robust to dine with us outside. It can be wet and windy, but that is part of the charm of a British seaside holiday. We have weathered many storms back home, and we will weather this economic one. The shops of Barnstaple, Ilfracombe, South Molton and Braunton will be more than happy to sell everyone additional waterproof and windproof layers as we seek innovative outfits in which to dine out in weather like we had this weekend—or people could take a leaf out of my book and wear a wetsuit more often.
I add my tribute to the two brilliant maiden speeches that we have heard this afternoon, particularly—Members will expect this from the Chair of the Women and Equalities Committee—the avowed commitment to girl power from my hon. Friend the Member for South Ribble (Katherine Fletcher). She spoke of Queen Cartimandua, whoever she may be. I will now lapse into the awful vowel sounds that she talked about and use the word “actually” rather a lot. It is okay, though; we became firm friends on our first meeting and she forgives me for being from south of the M4, although she does not yet know where that is.
This debate is a brilliant opportunity to highlight some of the challenges that our local businesses have faced during the pandemic. I welcome the measures that we have seen for pubs, in particular, including the ability to have off-sales and extend how they work. I will highlight two examples of what we have seen in my constituency so far; there are many other hostelries. The Hatchet Inn in Sherfield English got regulars to sponsor sheds in the car park, which are converted into dining areas. At the end of the pandemic, the sheds will be sent off to their new homes to become woodsheds. That provoked a challenge, which I would like the Minister to think about. Although the outdoor dining areas were brilliantly located in the car park, they were, of course within the curtilage of a listed building.
I am sure that many of us, up and down the country, have public houses that are also listed buildings—or perhaps my constituency is particularly blessed. The reality is that 18th-century pubs and coaching inns tend to be very small inside, and to have low ceilings and small doorways. The alternative—in rural areas, in particular, we can get away with this quite easily—is to spread outdoors into the car park or the beer garden.
That brings me to another point: the Rockingham Arms, in the village of West Wellow, has already installed a marquee at the front of the building, hard up against the road. I absolutely welcome it, and the Rockingham is one of my favourite pubs in the entire constituency, so I have no doubt that I will find myself in the tent on the car park. It does, however, bring outdoor dining much closer to local residents, so I particularly welcome local councils’ ability to exert their influence and work hand in glove with publicans and licensing authorities to ensure that solutions are appropriate for each place and circumstance. The Hatchet initially thought that it might have to submit a full-on listed building application, but it is working closely with Test Valley Borough Council to ensure that that does not have to happen. Those are exactly the sorts of challenges that will be thrown up on a case-by-case basis.
I wish to speak a little bit about pavements. We have heard the valid concerns about the elderly and those with disabilities, particularly from the RNIB and Guide Dogs, who are concerned that those with visual impairments will find outdoor seating a challenge, but we have to find a way to manage that. In the centre of Romsey, we are very lucky. Within the past 12 months or so, the county council has spent in excess of £2 million providing us with a new outdoor piazza in the centre of the town. I am sure that that will prove to be a real boon to premises such as Josie’s, Café Fresh and Café No. 5 by enabling them to have outside seating areas. If only we could make sure that the sun would shine. I give credit to the former leader of the county council—I must declare a personal interest—who was absolutely determined that the seating area would be on the side of the marketplace that stays in the sun until late in the afternoon. It is no good if such areas are in the shade.
This is, as I have said, a good and important Bill, but when we are talking about planning and business, it would be remiss of me not to get on one of my favourite hobby horses. I am possibly the only MP from the Solent region who will speak in the debate. I welcome the measures that are being taken to enable house builders to get on and build, which is important, and I concur with those who have said that that must be done sensitively in residential areas—of course it must—but in south Hampshire we have a particular problem with nitrates. It has not been able to grant planning permissions for many months because of the nitrate build-up in the Solent, which leads to algae. That means that we have a massive logjam in the planning system and many councils are in real danger of not meeting their housing targets, so while the Housing Minister is sitting on the Treasury Bench it would be remiss of me not to ask him, please, to crack on with the Department for Environment, Food and Rural Affairs and Natural England and find a solution to that significant problem.
Let me move on to another great hobby horse of mine. An enormous amount of work has been done to open up the economy in a safe and measured way—we have seen all sorts of sectors coming back—but I cannot help but feel that this has been a recovery designed by men, for men. We have seen female-led businesses left at the back of the queue. It is obvious that men with hair need barbers and hairdressers; they perhaps find less need for pedicures and leg waxes. It is noticeable that the beauty industry’s employees are 90% female and a majority of its businesses are women-led. We are preventing our female entrepreneurs from getting back to work. It seems to me to make little sense that a haircut is okay but a pedicure is not. Perhaps the Minister knows how far feet are from anybody’s mouth—although I have a habit of putting mine in mine.
I also want to talk a little about sport. Football, fishing and golf were very quick to return. I absolutely get that women like all those things, but football audiences are 67% male. What someone cannot yet do is open up a yoga studio. There is a massive difference between factory-style gyms with banks of treadmills and individual yoga and pilates studios, where there are very few aerosol emissions and which can be cleaned thoroughly between individual customers. Even in a group yoga session, there can be massive space between individual participants. Again, yoga instructors are 80% female and the client base is predominantly female too.
I appreciate that there is no longer a BEIS Minister on the Treasury Bench. I wish very much that the Secretary of State had been here to hear my comments, because it is crucial that we reflect the point that this apparently male-led recovery has taken little account of the physical, emotional or mental wellbeing of women. I urge my hon. Friend the Minister to ensure that he considers, in winding up the debate, that we need a recovery that brings women along with us, or else we will fail.
May I add to the long list of deserved congratulations to my hon. Friends the Members for Sedgefield (Paul Howell) and for South Ribble (Katherine Fletcher)? My hon. Friend the Member for South Ribble is actually a good friend, not just an honourable one. She may be completely misguided about football—in a minute, I will ask her to intervene and tell us all who won the premier league recently—but she is a good egg none the less. They both showed why their constituents made a good choice.
I wanted to speak in this debate because I think what the Government are proposing is exactly the sort of thing that they should be doing at this time. I welcome the ability to vary construction hours and to extend outline planning permission, and the changes to the Consumer Credit Act to facilitate bounce-back loans, for which I have heard universal praise in my constituency. In contrast with the CBILS loans, where it was felt that the banks were slow and bureaucratic, the bounce-back loans have been warmly welcomed. However, I want to speak particularly about allowing bars, pubs and restaurants to seat and serve people outside, and to focus especially on pubs.
From the Barrington Arms in Shrivenham to the Town Arms in Wallingford, I have 85 pubs in my constituency, which puts it in the top eight by number of pubs. We have heard a lot about how many of them have been closed and had to furlough staff, and how few of them have more than six months’ cash. The Government’s support package for pubs has been phenomenal—the business grant scheme, the furlough scheme and the business rates holiday have all been hugely welcome—but the sector has been in trouble, or at least facing challenges, for some time. Between 2010 and 2019, the number of pubs in the UK fell by 29%, so there have been some real challenges for many years before we got to coronavirus.
In rural constituencies—mine is predominantly rural—those challenges are a particular problem, because the pub is the beating heart of village life. After a certain time, it is quite literally the only light that is on for some considerable distance. Pubs in my constituency, and I am sure those in many others, have been at the heart of the community’s response to coronavirus. The George & Dragon pub in Upton said to elderly and vulnerable people, “If there are any essentials that you can’t get, give us a ring and we will go and find them and bring them to you entirely free of charge.” With the help of a couple of benefactors, the Fox in Denchworth has been giving free fish and chips to every villager every week during this period—that is 171 villagers—and has now set a challenge in which people can earn gift vouchers to spend there if they lose 10% of their body weight in two months. Many of us could join that challenge in the hope of having a healthier lifestyle.
Despite all the challenges they have faced, those pubs have been there for their communities, and now those communities want to be there to support their pubs. Reducing the distance from 2 metres to 1 metre will certainly help, but measures to allow them more easily to seat and serve people outside will make it that little bit easier for us to support them and give them the best chance of survival.
I add my congratulations and pay tribute to my hon. Friend the Member for Sedgefield (Paul Howell) and to our own Queen Cartimandua, my hon. Friend the Member for South Ribble (Katherine Fletcher). They both made fantastic contributions.
As someone who joined the House recently after 27 years in business, I welcome the measures in the Bill; they are positive and practical steps at a time of national need. I look at them with one eye on how they will help our wider economic growth, which is the next challenge coming at us. For most of these businesses, there is a very thin line between costs, which are mostly fixed, and revenues, which even at the best of times depend on myriad factors. All the Government help in the world—and this Government have been generous and done what it has taken—is no substitute for real customers and real revenues, so the measures in the Bill are literally a lifeline for many of the hospitality businesses that I represent in Arundel and South Downs. The Federation of Small Businesses said that the measures on food and drink outdoors
“will help small businesses in the hospitality sector to resume trading with confidence”,
and they will.
In most businesses, the single most valuable commodity is time, so having short and clear timeframes for the grant of a licence is as much of a benefit as capping the administration costs. I echo my right hon. Friend the Member for Romsey and Southampton North (Caroline Nokes): there is nothing in the Bill for businesses such spas and nail bars. I would like to see some of the same creative thinking that has put together the package in the Bill applied to those sorts of businesses, as well as to exhibition businesses, which have been quite hard hit in my constituency and do not have a path to reopen.
Members from all parties will recognise the familiar sight of queues outside pharmacies during this crisis. It would be welcome if, ahead of the winter, Ministers would take the opportunity to repeal the National Health Service (Pharmaceutical and Local Pharmaceutical Services) Regulations 2013 and thereby remove one of the last restrictive practices on our high streets. As our population ages, pharmacists have a vital role in our towns and villages, but there is currently a regulatory requirement to demonstrate need, which acts as a barrier, meaning that there is not a single pharmacy store on Arundel High Street. That forces the elderly and infirm to walk almost a mile out of town for the simplest prescriptions. Such a change would be simple and popular.
Like others, I welcome the reforms of the planning process. Here, too, as we look to boost the economy, there may be sensible opportunities, and I urge my ministerial colleagues to go further in the future. The shift from working from home offers a step change in productivity, sustainability and the employment of previously excluded groups, such as mothers, joining the workplace. The extension of permitted development rights to create home and garden offices, as well as the automatic change of use of retail and office premises to residential, will lock in those benefits and help create the homes our nation needs.
Finally, I note the one permanent change in the Bill to the way the Planning Inspectorate works. With the greatest respect to the hard-working individuals involved, too often the Planning Inspectorate is the sticking plaster on a broken process. We literally ask it to reconcile the impossible and then wonder why it produces answers that please nobody. The answer—I accept that this is probably a longer debate for another day—is an end to one-size-fits-all planning policies that mean measures designed to expedite rapid construction in towns and cities that have the infrastructure to cope end up blighting rural areas, and yet still the homes do not get built.
The Centre for Cities says that, with imagination, we can easily accommodate all the new dwellings that we need within the existing curtilage of our cities. I agree, and as we focus on sustainability, food supply chains and achieving net zero, which we have baked into law, we have the opportunity, once and for all, to make it clear that precious woodland, countryside, agricultural land and rural flood plains must never be developed for housing, putting an end to the long-term planning blight suffered by my constituents around Adversane, West Grinstead and the 17 parishes around Henfield. I am pleased to support the Government on this excellent Bill, but where possible I urge them to go further and faster in the interests of business and the economy.
It is a pleasure to speak after my hon. Friend the Member for Arundel and South Downs (Andrew Griffith), and an even greater pleasure to speak after my hon. Friends the Members for South Ribble (Katherine Fletcher) and for Sedgefield (Paul Howell), who made wonderful maiden speeches. It is great to hear those regional voices. They are from the north and for the north, and they will add to the compelling case to rebalance this country by further investment in the north. It is great to hear them make that case.
I will focus most of my comments on clause 12, but I welcome all measures in the Bill, particularly the aid to the hospitality sector. I have some fine hostelries in my constituency, including, I have to say, the world’s best restaurant, as identified by TripAdvisor—the Black Swan at Oldstead. It is a wonderful place, about four miles from my house, and is run by celebrity chef Tommy Banks, a local person from a local family. It has a wonderful back story. There are many, many good restaurants through my patch, and they will get lots of support through the Bill.
Clause 12 talks about bounce back loans, which have been a huge success of the Government’s and an excellent scheme that many businesses have taken advantage of; I think about a million businesses have secured a bounce back loan. The scheme gets money out the door as quickly as possible to businesses in need. It is fair to say that because of the length and depth of this crisis, not every business will get through this recession. This is the third recession that I have been involved in with my business, and it is no doubt the most difficult.
It is absolutely right that we have suspended the provisions of the Consumer Credit Act to get that money out the door quickly, so that lenders did not have the responsibility of ensuring that businesses were creditworthy for the amounts of money they were taking. The worry is what happens down the line. I am the co-chair of the all-party group on fair business banking, which has spent much of the last decade trying to fight for justice for lots of businesses that were badly treated in 2008 and post 2008. We desperately want to make sure that that does not happen again.
It was great to hear the Secretary of State confirm in his opening remarks that although the Consumer Credit Act provisions have been suspended in terms of credit worthiness, they have not been suspended in terms of collection, which should mean that lenders show forbearance if things go wrong. Inevitably, some businesses will need help to get through this, and, sadly, some businesses will simply fail, but we have to ensure that those businesses are treated fairly through the process. For our larger banks, which are regulated firms, there is now the senior managers regime, which has a requirement to treat customers fairly through the process and a requirement to stick to the Lending Standards Board standards of lending practice for business customers. That is good, because there are checks and balances that we can apply to the bigger banks.
I sound a note of caution, though. Quite a few lenders are distributing loans through this scheme that are not regulated firms, so they do not come under that regime. Additionally, I believe that some of them are not even accountable to the Financial Ombudsman Service, so if there is a dispute there is not a means of alternative dispute resolution. We have to ensure that the message goes out loud and clear to lenders that have distributed money through these schemes that they must treat customers fairly through that process if things go wrong and ensure that any restructuring gives that business every chance of staying in business and getting through this crisis.
The loan scheme has been a huge success. One of the big successes in the SME lending market over the last few years has been the emergence of FinTech sector alternative lenders, which is breaking the stranglehold of the big four banks. Some 80% of SME lending is controlled by the big four banks, and we want to see much more choice for SMEs in their borrowing decisions. The British Business Bank has authorised about 80 lenders for the CBIL scheme and about 20 lenders for the bounce back loan scheme. The difficulty is that it is not just about getting authorisation; it is also about getting access to funds. The big banks, being deposit takers, get access to something called the term funding scheme. They can borrow money from the Bank of England at 0.1%, so if they are lending money at 2.5%, 3% or 4% through the CBIL scheme, that still makes commercial sense, and they have access to moneys.
Non-bank lenders—FinTech companies such as Funding Circle, Tide and iwoca—and lots of lenders in the asset finance space do not get access to the term funding scheme. They are relying on borrowing from their normal sources—wholesale markets—and they cannot borrow as cheaply. The Government loan guarantee also specifically excludes situations where money is being borrowed from third parties. That puts these lenders in a very difficult situation. Tide had secured £500 million to distribute to UK businesses through an EU wholesale funder, but it could not provide that money because of the lack of guarantee for that lending. The Treasury is aware of that, and we need to deal with it, to ensure that the choice of finance provision is as wide as possible for our SMEs. The other way to deal with this is for the banks that can access the term funding scheme to simply on-lend to non-bank lenders, but that is not working currently. This is a work in progress, and we need to deal with it.
As a number of Members have said, bounce back loans are relatively easy to get, whereas CBILs are much more difficult to get. It is possible to move from one to the other—a company can get a bounce back loan quickly and then upgrade to a CBIL of a higher amount, to pay off the original loan. That is right and proper, but lots of businesses are not managing to get CBILs because the criteria are stricter. One reason behind that is that there are restrictions on state aid, one of which is that undertakings in difficulty cannot be supported through those schemes at the moment. The EU has said that it will drop that requirement, which is good—it is an EU requirement, and we are still bound by that currently—but we need to implement that quickly, so that more businesses can get access to the CBIL scheme and borrow as they need more money. That aside, this is an excellent Bill. I will be supporting it if we go through the Division Lobbies, and I very much welcome it.
I would like to start by saying that I welcome this Bill on behalf of the Labour party. It is a pleasure, after my disagreements with the Secretary of State over recent weeks, to find myself broadly in agreement with Government Front Benchers this evening. I thank the Minister for engaging with me so constructively about this over recent days. Businesses clearly need more support to get back to work quickly and safely. This Bill is a start. It is intended to enable the next phase of easing the lockdown to go ahead.
Before I elaborate, I thank the Members in all parts of the House who have made contributions to the debate, including my hon. Friend the Member for Hackney South and Shoreditch (Meg Hillier), who raised concerns about the impact of further relaxing licensing on antisocial behaviour which I am sure the Minister will wish to respond to. I add my congratulations to the many we have already heard around the House on the two maiden speeches from the new hon. Members for South Ribble (Katherine Fletcher) and for Sedgefield (Paul Howell). They were very different speeches in style but both extremely admirable debuts in this Chamber. I look forward to many more I suspect entertaining contributions from the hon. Member for South Ribble.
The country is facing a major recession, perhaps the worst in three centuries. It will take a major national effort to help families and employers to get through this while also making sure that the risks of a second damaging peak in covid-19 infection are minimised. These circumstances would be challenging for any Government. Without a vaccine—and we do not have one yet—nothing is risk-free. My right hon. Friend the Member for Doncaster North (Edward Miliband) outlined from the Dispatch Box how the Opposition have supported the Government in many key decisions throughout this pandemic, and that extends to this Bill and other very significant measures such as the furlough scheme.
However, we must recognise too, so that we can learn from them, that the Government have made mistakes that have made the situation more difficult than it needed to be. Their initial promises on council funding have still not been matched by action, leaving many local authorities that will be key to supporting economic recovery in their own localities uncertain about funding just a few weeks ahead, let alone in the months and years ahead as the recession deepens. The Government’s instinct to over- centralise and their failure to listen enough to communities and professionals on the frontline has led to serious and avoidable failures in obtaining protective equipment, ramping up testing, protecting care homes, and accurately identifying everyone who needed support to self-isolate through the shielding programme. I would add, in the light of what we have seen in Leicester today and over recent days, their failure to share the data on the infection rates in localities with the relevant authorities in those localities, who will need it in order to marshal the support that is needed to enforce local lockdowns if they are required.
After the Government wasted two months on a centralised track and trace programme based on an app that never worked, they belatedly, although rightly, recognised the importance of engaging local government and public health professionals, but not soon enough to provide reassurance that the lockdown could be eased as safely as possible. As a result of that, we are reopening, but with higher levels of risk than were necessary. These failures have made the challenges to people’s health, people’s jobs, our high streets and our businesses worse than they needed to be, and there are important lessons to learn if we want to avoid a second lockdown.
The hospitality sector faces particular challenges. The temporary changes to licensing rules will help pubs, cafés, bars and restaurants to reopen quickly and serve customers outside. Many of these businesses operate on extremely tight margins, and without this lifeline many would not survive, so the changes are welcome. However, the British Beer and Pub Association points out that 10,000 pubs are not eligible for the Government’s grant scheme. It says that unless the Government make specific support available now, thousands of pubs will close for good, taking hundreds of thousands of jobs with them. We cannot allow that to happen to such an important part of the British way of life for so many people, so I hope that the Government will move quickly to provide the support that is needed.
My right hon. Friend the shadow Secretary of State for Business made some very important points about the need for the Government to review the flexibility of the furlough scheme to support the specific needs of the hospitality sector. Sectors of the economy will open at different rates. Some are more susceptible to covid-19-related restrictions than others, and the hospitality sector is one of the most at risk. There needs to be greater flexibility, or many businesses that are vital to the life and identity of their locality, and the jobs that come with them, will be lost forever.
Local authorities have a key role to play in supporting their local hospitality sector, but they need greater clarity from the Government on their new role. The Government must be clear on how the new licensing requirements will be monitored and enforced, given the severe lack of resources available in local authorities to carry out those functions. Council budgets are under unprecedented pressure after 10 years of austerity and the Government’s broken promises on fully compensating them for the costs they have incurred as a result of covid-19. It is important that the Government now offer cast-iron guarantees that none of the measures in this Bill will place further costs on councils that could lead to further cuts elsewhere.
We welcome the extension of construction site working hours. The sector has a backlog of work to catch up on, and this flexibility will allow that to happen. It is important that communities do not feel their interests are being ignored in this, so Labour would like to see councils given the discretion they need to restrict hours of operation where there is a compelling and overriding local reason to do so.
The introduction of more flexible planning appeals is also welcome in speeding up the process—although perhaps not as flexible as the Secretary of State for Housing has been involved in recently—but we want reassurance that no legitimate voice is digitally excluded from being heard. Local government is worried about the cost implications of these new rules, so I urge the Minister to publish a report detailing the extra costs that councils will face in processing increased volumes of planning applications through the new system.
The measures to speed up lending through the bounce-back loan scheme are welcome, but I hope the Government will recognise that many businesses are still finding it difficult to access loans through CBILS, as the backlog builds up and the rules lock out too many. We need a fresh look at how the scheme can be amended to support more businesses faster. I agree with the points made by the hon. Member for Westmorland and Lonsdale (Tim Farron) about people who are directors of small limited companies—often freelancers—who have been denied support and, as I know from my own constituency of Croydon North, are really struggling as a result.
In conclusion, the measures in the Bill are welcome and we will help to ensure its passage, but I want to be clear that this Bill only helps at the margins of what will be needed. We are facing a deep recession—possibly the worst for three centuries—and millions of people up and down the country fear for their jobs and for their livelihoods. We will need more than this Bill to help this country weather the coming storm, but for this evening, we welcome the Bill and we will support its passage through the House.
First, I am sure on behalf of the whole House, I want write into the record my appreciation of the maiden speeches of my hon. Friends the Members for South Ribble (Katherine Fletcher) and for Sedgefield (Paul Howell). My hon. Friend the Member for South Ribble demonstrated some oratorical elasticity in the sense that she was able to draw together Tacitus, Cartimandua and Peter Kay. Historians among us recognise and honour that feat, although I suspect the Whips Office paid greater attention to the fact that she said she might occasionally prefer to be a rebel.
My hon. Friend the Member for Sedgefield paid full tribute to Phil Wilson, a strong and fine member of the Opposition Whips Office, and he also paid some tribute to the chap who preceded him; I forget his name. My hon. Friend spoke in prose and gave us some poetry, but whether he speaks in poetry or prose, he will always be welcome in this Chamber and, perhaps one day, even in Trimdon Labour club.
I also wish to congratulate my hon. Friends the Members for Meriden (Saqib Bhatti), for Kensington (Felicity Buchan) and for North Devon (Selaine Saxby) for their support for the measures we are introducing—I shall say some more words about those shortly. I also congratulate my right hon. Friend the Member for Romsey and Southampton North (Caroline Nokes) and the entrepreneurial spirit of all at the Rockingham Arms, and look forward to her letter to me on nitrates. I also congratulate my hon. Friends the Members for Wantage (David Johnston), for Arundel and South Downs (Andrew Griffith) and for Thirsk and Malton (Kevin Hollinrake), whose support for the bounce-back loan I am grateful for—I shall pass his message on that to my right hon. Friend the Chancellor. I thank all Members from across the House for this lively, constructive and, I think, supportive debate, and I am grateful to the hon. Member for Croydon North (Steve Reed) for his support for these measures. He is right to say that occasionally we fling some spice and some ginger across the Chamber in our debates, but when it really matters, when the chips are down, we all want the best for our country, which is why we are coming together to support this Bill tonight.
The Bill is good news for our businesses, for jobs and for everyone who is looking forward to enjoying a safe summer as we bounce back from an incredibly difficulty period. We need to tread carefully, but, thanks to the sacrifices and resolve of the British people, and the unprecedented support this Government have provided, we are turning a corner and on the road to recovery. This Bill is pivotal to that economic and social recovery, and I am pleased that the measures it contains to support hard-hit sectors and help businesses adjust to new, safer ways of working have, as I say, been largely welcomed. As my right hon. Friend the Business Secretary said earlier, we listened to and worked with a wide variety of stakeholders and experts, and we are delivering on what they told us through this Bill. So I welcome this opportunity to address important issues raised in this debate, to ensure that the Bill gets Britain back to work safely and that the power, prosperity and opportunities we all want to see are returned to our economic sector.
We know that the hospitality industry is raring to go. Our restaurants, pubs and bars want to make the most of summer trading and welcome back their customers, and it is vital we support them to do that safely. As my right hon. Friend said, this is the third largest employer in our economy, with the pandemic and social distancing measures having serious consequences for its ability to operate. That is why the Bill will temporarily make it easier for businesses, including restaurants, pubs and bars, to obtain a licence, to set up outdoor seating and to sell either food or alcohol, or both, with a fast track to get permission for furniture such as tables and chairs on pavements, thereby enabling them to maximise capacity, within social distancing guidelines. I understand that there may be concerns about potential obstruction of highways, so I wish to reassure the House that we are taking steps to mitigate that. Recommended minimum footway widths and distances required for those with impaired vision and mobility, for example, will be clearly set out using the Department for Transport’s inclusive mobility guidelines, thus striking a balance between the effective use of space and maintaining traffic and thoroughfare. In addition, we will provide councils with enforcement powers and the ability to revoke licences where conditions are breached.
I should emphasise that the changes to outdoor eating and drinking and off sales will be carefully implemented to minimise public nuisance and reduce any crime or disorder. The police already have powers to issue closure notices to a premises in such cases under section 76 of the Anti-social Behaviour, Crime and Policing Act 2014, but we are also building in safeguards to the Bill, such as an expedited review process for alcohol licences, which allows responsible authorities such as the police to quickly alter the licensing conditions granted to premises if necessary. They will be able to revoke permissions granted. I will work with my colleagues in the Home Office and the Local Government Association to ensure that those measures work.
Taken together, the temporary new measures will be a lifeline for our hospitality industry, as are those we propose for planning to restart the construction industry and deliver the homes this country still very much needs.
In my contribution, I referred to the temporary events notices for breweries. Has the Minister had a chance to look at the provisions that they need to ensure that they can continue to prosper and do well after the covid crisis is over?
The hon. Gentleman mentions breweries. He knows that the Bill largely covers England and England and Wales. It does not cover other areas of our devolved community. However, I can tell him that by ensuring that breweries’ customers open up and can sell alcohol to their customers, we are helping breweries around the country and in Northern Ireland, whether they are big or small.
As hon. Members have heard, activity is picking up in the construction industry, another sector that is an engine of our economy and that is keen to get Britain building again. I pay particular tribute to construction workers up and down our country who worked through the pandemic and the businesses that got their sites back up and running in these difficult circumstances. I am pleased to support their efforts through the safe working charter, which my Department developed with the Home Builders Federation.
However, we know that there is more to do. Home starts and completions are well down on last year, with planning permissions for at least 60,000 homes hanging in the balance. That is why we are speeding up the planning system through the temporary measures in the Bill as part of a wider reform to ensure that it is fit for the 21st century. That means greater flexibility for builders to seek extensions to site working hours to facilitate social distancing, which will support the sector’s safe economic recovery. We want work on construction sites to resume swiftly and safely, but I recognise the potential effect of the change on residents when we are all spending more time at home. Several Members, including my hon. Friend the Member for Kensington, raised that point.
I encourage builders to work constructively with local communities and councils to minimise disruption. I want to be clear that councils will retain local discretion over the decision-making process. They also have legal duties regarding statutory nuisance, which continue. They know their areas best and that is why they will continue to have discretion in their local decision-making processes. They are well placed to judge the effect on local businesses and residents, and where there will be an unacceptable impact, they retain the discretion to refuse extended hours.
We are also enabling the extension of planning permissions that have expired since the lockdown began or are about to expire, saving literally hundreds of projects. This is at the request of local authorities and the construction sector. I recognise that there is a risk of schemes being delayed further if existing permissions are extended too long, which is why this will be only a temporary measure. Our extension date of 1 April 2021 strikes the right balance between giving certainty to the sector and ensuring that there are no further undue delays to new developments.
Another significant measure, which will help us double the pace of appeals while maintaining fair decision making, is the proposal to enable the Planning Inspectorate to advance appeals using more than one type of procedure. When we tested this hybrid approach last year, we more than halved the appeal time. This change, backed by all parties in the planning system, will be introduced on a permanent basis. In making these changes, it is important that we bring communities with us, and I am satisfied that, by agreeing through the Bill to temporarily remove the requirement for copies of the London plan to be made available for inspection at premises and on request, and instead enabling inspection free of charge by electronic means, the interests of transparency and accountability will be served.
I am grateful to my right hon. Friend for clarifying a point that I raised earlier during the Secretary of State’s speech. I would just like to ask him for clarification on a slightly more detailed point about housing developments outside London, particularly those in my constituency. It is about the process in the Bill for the public themselves having the opportunity to review any application. What changes, if any, might occur to their rights to make representations on applications?
I do not believe that this Bill does anything to disadvantage anybody in their right to fair access to information. Some of the changes that we have already made allow people to take part in planning committees virtually. Not everybody wants to go down to their town hall at 10 o’clock on a wet February evening if they can, quite literally, dial into those planning committees and see what is going on. They have access in a way that they would not ordinarily have.
I make this final point with reference to my hon. Friend’s point and the changes that we are making to the Planning Inspectorate’s processes. This particular proposition was made by Dame Bridget Rosewell as part of her recommendations. It was one of the 22 recommendations that she made, and it will allow planning inspectors to use a variety of tools consecutively to speed up their adjudication on decisions, which is good for everybody involved in the process. The average time has already been cut from 47 weeks to 23. We believe that this mechanism will speed up adjudication on planning decisions even more, and that is to the betterment of all involved.
This Bill could not be more important for reopening our economy, for championing firms large and small and for helping people live their lives again, with safety still paramount. Let us ensure this Bill’s swift passage, as I think all hon. Members have said in their contributions, and get Britain back in business. I commend this Bill to the House.
Question put and agreed to.
Bill accordingly read a Second time; to stand committed to a Committee of the whole House (Order, this day).
(4 years, 5 months ago)
Commons ChamberI should explain that, in these exceptional circumstances, although the Chair of the Committee would normally sit in the Clerk’s Chair during Committee stage, in order to comply with social distancing requirements I will remain in the Speaker’s Chair, although I will be carrying out the role not of Deputy Speaker but of Chairman of the Committee. The occupant of the Chair during the Committee should be addressed as the Chair of the Committee, rather than as Deputy Speaker.
Clause 1
Pavement licences
I beg to move amendment 2, page 2, line 2, at end insert
“, and—
(c) to which a temporary traffic regulation order under section 14 of the Road Traffic Regulation Act 1984 is operative and will remain so for the time period of the pavement licence, and which has been made pursuant to the Road Traffic (Temporary Restrictions) Procedure Regulations 1992 as amended by the Traffic Orders Procedure (Coronavirus) (Amendment) (England) Regulations 2020.”
The purpose of this amendment is to include pavements where temporary measures are in place already to deal with the effects of coronavirus, by assisting social distancing and enabling active travel, such as cycling and walking.
With this it will be convenient to discuss the following:
Clause stand part.
Clauses 2 to 8 stand part.
Amendment 3, in clause 9, page 7, line 37, at end insert—
“(1A) Subsection (1B) applies for the purposes of—
(a) the reference in section 1(5)(a) to a highway to which Part 7A of the Highways Act 1980 applies, and
(b) the references to traffic orders in section 3(6)(a)(i) and (b) (which, by virtue of section 3(7), have the same meaning as in that Part of that Act).
(1B) The definition of “traffic order” in section 115A(2) of the Highways Act 1980 is to be treated as if it included an order under section 14 of the Road Traffic Regulation Act 1984 made pursuant to subsection (1)(b) or (c) of that section under the procedure provided for by regulation 18 of the Road Traffic (Temporary Restrictions) Procedure Regulations 1992 (S.I. 1992/1215) (procedure for temporary orders made for purposes connected to coronavirus).”
This amendment secures that the provisions about pavement licences apply where a highway is subject to a temporary traffic order under section 14 of the Road Traffic Regulation Act 1984 for reasons relating to coronavirus.
Clauses 9 and 10 stand part.
Amendment 1, in clause 11, page 19, line 13, at end insert—
“(6A) The Secretary of State may by regulations apply sections 172F to 172L of the Licensing Act 2003 to vehicles and moveable structures in order to vary the requirement under section 189(4) of that Act that a vehicle or moveable structure not permanently situated in the same place be treated for the purposes of that Act as if it were premises situated at only that place.”
This amendment is intended to provide flexibility for mobile licensed premises which are already licensed in one place to benefit from the temporary provisions of this Act in other locations.
Clauses 11 to 26 stand part.
New clause 1—Support for the tourism and hospitality sector—
“(1) The Secretary of State must—
(a) carry out a review of the effect of Part 1 of this Act on the tourism and hospitality sector in England and Wales;
(b) set out the conclusions of the review in a report;
(c) publish the report; and
(d) arrange for copies of the report to be laid before both Houses of Parliament before 15 September 2020.
(2) The report under subsection (1) must also make an assessment of the effects of this Act on the tourism and hospitality sector in England and Wales compared with possible further and complementary measures, including, but not limited to, extending through to 2021 the period of operation in that sector of—
(a) the furlough scheme,
(b) Bounce Back loans, or
(c) other grants or financial support from public funds.”
The purpose of this new clause is for a review to examine the effect of this Bill’s proposals for the tourism and hospitality sector through to 2021, compared to extending the furlough scheme and the grants currently available.
New clause 2—Monthly report on hospitality sector measures—
“(1) The Secretary of State must publish a review of the effect of this Act’s provisions on the hospitality, leisure, travel and tourism sector.
(2) A report under subsection (1) must be published within one month of the day in which this Act is passed and at least once in every month thereafter up to and including January 2021.
(3) Every report under this section must include relevant contextual information including (but not limited to) the effect of the changes to coronavirus job retention scheme on the hospitality, leisure, travel and tourism sector.
(4) The Secretary of State must arrange for a copy of each report made under this section to be laid before each House of Parliament.”
The purpose of this new clause is to require the Secretary of State to publish a monthly report for the next six months on the impact of the Bill in the context of changes to the coronavirus job retention scheme on sectors including hospitality.
New clause 4—Explanation for extending periods under Part 2 of this Act—
“(1) Before any exercise of the powers listed in subsection (2) to make regulations under this Part of this Act the Secretary of State must make a statement on the reasons in each case for extending the provisions of this Act beyond 1 April 2021.
(2) The powers listed in this subsection are—
(a) section 16(7), on conditions relating to construction working hours;
(b) sections 17(8) and 17(9), on extending the duration of certain planning permissions;
(c) section 18(7), on extensions in connection with outline planning permission.
(3) The Secretary of State must arrange for a copy of the statement required under this section to be laid before each House of Parliament.”
The purpose of this new clause is to require the Secretary of State to provide a full explanation to the House before seeking to extend beyond 1 April 2021 any measures under this Part 2 of this Bill in relation to planning permission or construction working hours.
New clause 5—Costs on local authorities—
“(1) The Secretary of State must make an assessment of the additional costs to local authorities of the effects of Part 2 of this Act.
(2) The Secretary of State must consult local authorities before making the assessment under subsection (1).
(3) The Secretary of State must arrange for a copy of the assessment required under this section to be laid before each House of Parliament.”
The intention of this new clause is to require the Secretary of State to publish a report detailing the extra costs accrued by councils as a result of processing increased volumes of planning applications through the new deemed consent route and additional environmental approvals.
New clause 6—Rolling three month parliamentary reviews—
(1) This Act expires at the end of a review period unless the condition in subsection (2) is met.
(2) The condition is that the House of Commons has, following a debate, agreed a Motion moved during the review period by a Minister of the Crown in the form in subsection (3).
(3) The form of the Motion is—
“That the provisions of the Business and Planning Act 2020 should not yet expire.”
(4) The first review period begins on the day 90 days after the day on which this Act is passed.
(5) Subsequent review periods begin on the day 90 days after the day on which the previous review period ended.
(6) A review period ends at the end of the seventh sitting day after the day on which it begins.
(7) In this section, a “sitting day” means a day on which the House of Commons is sitting (and a day is only a day on which the House of Commons is sitting if the House begins to sit on that day).”
The purpose of this new clause is to provide a rolling review period for this legislation so that it can be revisited 3 months after it is passed and then every subsequent three months if necessary.
The Government are asking Parliament to expedite the parliamentary progress of this Bill. In everyday circumstances, it would not be fast-tracked, but would be subject to a lower gear of progress. We are not in ordinary times or everyday circumstances, and the Opposition recognise, and have indeed constructively argued, that many of the measures outlined in the Bill need to be in place before the summer recess in order to be effective.
If legislation is not passed in time, hospitality businesses and their customers will not be able to benefit from the flexibility and covid safety arrangement measures relating to outdoor seating and alcohol service over the coming months. Likewise, road hauliers and others are dependent on heavy duty vehicle and passenger-carrying vehicle testing and licencing, and construction projects may be paused or delayed without planning permissions being extended. Furthermore, the measures will facilitate bounce back loans by disapplying unfair relationship provisions in the Consumer Credit Act 1974.
Our position on the Bill is one of constructive engagement. We want to provide support for hard-pressed businesses while giving additional freedoms and flexibility to respond to covid-19 spatial requirements. Although the additional freedoms will be welcomed by many, I ask the Minister for reassurance that checks and balances are in place in order to maintain social order. We want to ensure access for those with visual impairment or limited mobility, and the right to peace and quiet in residential areas must be maintained. My hon. Friend the Member for Hackney South and Shoreditch (Meg Hillier) will come on to that later.
It is also important that these measures are temporary and time-sensitive, with constructive engagement at the heart of any proposals to extend the operating hours of a construction site. Good planning is an enabler, rather than a constraint. Consultation helps to deliver good community, business and place outcomes.
Amendments 2 and 3 are common-sense amendments that aim to extend to more businesses the provisions in the Bill and ensure a streamlined procedure for businesses serving food and drink to access pavement licences. We welcome the provisions that will allow cafés, restaurants and pubs to reopen quickly and serve more customers, while maintaining a safe environment. The amendments would simply extend those measures to include spaces where temporary pavements have been created or extended for social distancing measures, so that businesses will be able to take advantage of that. I note the calls for caution. This needs to be done sensibly, and the impact on staff, local residents, local authorities and disabled pedestrians must be kept in mind.
New clause 2 addresses a vital omission in the Bill. The food and accommodation sector has had the largest decline in economic output of all sectors with available data in this crisis. An extraordinary drop of 92% between February and April led to almost 6% of workers being furloughed. Despite the help the Bill offers to businesses, it does not offer “business as normal.” It is vital that we understand the impact the measures in this Bill will have on these industries, especially considering the support the Government are currently providing through the furlough scheme. We need not undo the good work done by the scheme so far. The new clause would require the Government to publish a report every six months on the impact of the Bill in the context of the coronavirus job retention scheme. Such a report is vital to the understanding of the ongoing impact on hospitality, tourism, leisure and the travel sector. Only by knowing the scale of the problem after the measures in the Bill are implemented will the Government be able to match it with the proper level of tailored support that this sector will clearly need.
New clause 3 addresses the lack of regular data provided for applications for coronavirus support schemes. The Government do not currently release data on the number of businesses that fail to access loan schemes. Current data relates only to the total number of applications and the number of loans granted. Again, we must know how well the schemes are working in order to help businesses through this crisis, so I hope the Government will consider this new clause.
New clause 4 relates to part 2 of the Bill, which in turn relates to my brief, and the Minister’s brief, of planning and construction. I broadly welcome, as does the Royal Town Planning Institute, the planning measures in the Bill that will ensure that building work can safely restart, especially in light of the “build, build, build” message that will be detailed tomorrow in the Prime Minister’s much trailed speech. However, considering the impacts of longer working hours and extended planning permissions on neighbourhoods is important. Under the new clause, the Secretary of State would return to the House if he wished to extend the measures relating to construction working hours or extensions to current planning permissions beyond 1 April 2021. That is not to say that we would necessarily oppose any extensions, but it is vital that these provisions are not extended without explanation, and the new clause addresses that.
Finally, new clause 5 would require the Secretary of State to publish a report detailing the extra costs of processing these measures for local authorities. It is not clear at the moment what the measures contained in the Bill will cost local authorities in practice. Throughout this crisis they have been working around the clock to protect their communities from the covid-19 outbreak and its immediate impact. The Bill highlights that local authorities will also be crucial in the recovery phase. Their work has, as my colleagues my right hon. Friend the Member for Doncaster North (Edward Miliband) and my hon. Friend the Member for Croydon North (Steve Reed) have said, come at a huge financial cost. Austerity measures over the past 10 years have had a devastating impact on local authority budgets, and despite the rhetoric of “whatever it takes,” the Government have not provided local authorities with anywhere near the level of funding they need in the wake of the immediate crisis. The provisions in this Bill will certainly result in yet more work and higher costs for local authorities, including for local planning departments, which have already had to cut spending by half in the last decade. Given that, it is essential that we understand fully what the impact of these changes will be on local authority finances and that local authorities are fully consulted. As my hon. Friend the Member for Hackney South and Shoreditch (Meg Hillier) has made clear, the measures in the Bill will also not have a uniform impact across the country, and that needs to be taken into account.
We have enjoyed constructive communication on this Bill with the Government, and these amendments are tabled in a similarly constructive way. I look forward to the Government providing us with the detail and assurances on the broad range of issues I have outlined.
Diolch, Dame Eleanor, and thank you for calling me so early in the debate. I think this must be a first for a Plaid Cymru Member; it is certainly a first for me. It is a great pleasure to follow the shadow Minister, and that is not something that I say very often because I do not follow shadow Ministers, so once again I am grateful to the Chair.
As the MP for a constituency that has a lot of small breweries, I have some sympathy with this. I would not want to see more off sales in my constituency, but does the hon. Member not think the root of the problem is that these small breweries did not get support through the existing Government mechanisms, which went quite a long way but did not cover this sector?
Not only do the breweries have an issue with how to sell their products; they also had a lot of their product in storage, which then went off and had to be disposed of in whatever way that is done. Does the hon. Gentleman agree that the breweries had a double whammy in not being able to make sales and having their stock destroyed?
The hon. Gentleman makes a very good point. It is particularly the smaller independent breweries, where storage is perhaps even more of an issue, that will have had to dispose of a lot of their stock at considerable cost. Then there is the relative uncertainty as to when they might reopen and, indeed, how much beer to brew again. That is another problem that small breweries in my constituency have tried to tackle. I still think that might be a discussion to have. It is at least worth keeping the matter under review. I would welcome the Government being willing to do that.
The hon. Gentleman mentioned temporary events notices and licences. Another proposal would be to consider extending the authorisation of off sales to small breweries that do not hold a premises licence, but that are registered under the alcohol wholesaler registration scheme. That would be temporary and quite exceptional, but in these exceptional times there might be a case for it.
New clause 1 was tabled by the hon. Member for Westmorland and Lonsdale (Tim Farron), and he may well speak to that at greater length in a moment, but I put on record my support for it. The Government need to recognise the need for sectoral flexibility as they review how to withdraw some of the support schemes and take stock of whether these measures, exceptional as they are, are working. Given the nature of the crisis we face, our focus must continue to be on protecting otherwise viable businesses and supporting employment, so I welcome new clause 1.
Finally, I turn to the provisions in the first part of the Bill relating to the consumption of food and drink outdoors. A few Members have referred to those provisions as ushering in an al fresco age, which I am sure we are all excited to see, weather permitting. That part of the Bill extends to Wales as well as England, but the wording of clause 1 has caused some confusion as to whether it will apply directly to Wales. In concluding my remarks, I ask the Minister to clarify in his summing up whether the provisions will apply to Wales directly. If not, is he content that the Welsh Senedd is empowered to introduce similar provisions to support bars and restaurants in Wales, so that we may also see an al fresco culture in Wales over the summer?
I rise to discuss new clause 6, which stands in my name. The Bill has been very rushed. It was announced on Thursday in the business of the House. We had to lay amendments by Friday, and I thank you, Dame Eleanor, for allowing a manuscript amendment today in order to get the new clause put forward.
As the Government rush into this legislation—I think there are questions about why that is—it is important that we make sure there are points of review and reflection about how well it is working. To put it more charitably, I am trying to save the Government from themselves. I think there is a lot of support across the House for the new clause, but in the very short time between Thursday and now, it has been hard to marshal all that and enable people to come and express their views.
The Minister may be able to answer this, but why has the Bill been quite so rushed, given that we have been in lockdown since 23 March and we knew that was coming for some time before then and given that we knew these sectors would be among the hardest hit? One would have thought that somebody in the Government would have been working up a Bill and stress-testing it before now, so that it was not such a surprise to Members of this House and sectors out there.
Local government has been caught rather by surprise. Of course it has been involved. I am not saying to the Minister that the Government have not spoken to local government. It would be extraordinary if he had come to the House from his Department and not done that. But there has not been enough detailed discussion about the impacts. We have heard, and I will not go into the detail again, about some of the impacts in constituencies such as mine and other urban constituencies with a high density of licensed premises, where antisocial behaviour has already been happening as a result.
We are already seeing problems, so there is a warning sign for the Government. The reality is that once off sales are allowed, as the hon. Member for Kensington (Felicity Buchan said, at the same hours as on licensed premises—almost with a sweep of a pen, with a very short period for councils to object—we will see an awful lot more sales off the premises at all hours of the day and night. We also have the big issue about the resources involved from the police and local councils to police it.
It is easy to say, as the Minister did, that the police have certain powers and there are powers for local authorities, but the issue is the resourcing. We cannot just do all of that in one go. A lot of licences are being applied for. There are more than 1,300 licensed premises across my borough as a whole. How many licensing officers are needed to do that work? The police have other things to do with their time—certainly that is the case in my constituency, where they are dealing with serious crime issues, as well as antisocial behaviour and managing and policing social distancing and covid-19 regulations. There is a lot on everyone’s plate. We want to support businesses, but a three-month review after this has been in place would give the Government the chance to come back and either reassure us that it is all fine everywhere, or, if there are problems, look at ways of addressing that. The Minister has heard today from the Labour Front Benchers that there is strong support to get the economy going, and backing to make sure that businesses can survive the next period, as we still live in the pandemic. That is really important, certainly in a constituency such as mine with so many licensed premises, but we have to get that balance so that residents do not lose out.
This is a very mild amendment. Earlier, the Secretary of State rejected it because I had discussed a rolling amendment—I just say to the Minister that I had very little time to draft it and get advice about how to make it fit. I did not have time to discuss it in detail with the Government, otherwise I would have, and I know that other Members around the House agree with it.
I will not push the amendment to a vote today, but I am hoping that in the other place, they will have more time to think about, listen and reflect upon it, and that, in the meantime, the Government will also have time to reflect on it. Perhaps the Minister can give me some indication of whether this is something that the Government are willing to reflect on—to build in, simply, a three-month review point, so that three months after the Bill becomes an Act, the issue would come to the House again. A Minister would come to explain what is happening and we would have a debate about how this is working in our constituencies up and down the country, in the four nations of the UK, and we can make sure that we are getting it right. If there are problems then, the Government would have my backing to bring in certain powers to ensure that the antisocial behaviour that I fear this may herald is tackled, and I am sure that the Government would have the backing of other Members.
It would be helpful to hear from the Government about their thinking on this very mild amendment. We pushed for a review of the covid-19 legislation, which was pretty draconian. That was accepted by the Government and I propose this review in a similar spirit. I do not think that this will provide uncertainty for businesses. A review, when there has been such cross-party support in general for a proposal that supports businesses, is unlikely to completely reverse it, but it may allow for amelioration of some of the worst impacts if they materialise, as I fear they may in my constituency, or it may allow for different approaches to how the measures are applied in different nations of the UK, different regions or different cities.
They key thing is that if we have the review, it would give the Government and the House an option to look at this again. I think that something as draconian as this—the biggest change in licensing rules for decades—warrants a review. Some of these licences will be granted for a year if they pass through on the nod. A lot of them will go through very fast because of a lack of resources in local authorities. I urge the Minister to take my suggestion for this amendment constructively. I will not push it to a vote today because I recognise that, although the Bill is rushed, the amendment is also rushed. I hope, however, that the other place will consider it, that the Government will approach it thoughtfully and that when the Bill returns to this place, we can consider having a three-month review.
I shall speak to new clause 1, which I will not push to a Division because, for reasons mentioned by others—not least the hon. Member for Hackney South and Shoreditch (Meg Hillier)—I accept the premise of the Bill. It is about boosting the economy and creating flexibility so that people can begin to make a living again within the confines of the important safety restrictions that there are. However, I am very much looking to the Minister and the Government to be very clear that they will accept the terms and the general approach of my amendment, which seeks Government support for the hospitality and tourism industry beyond the current date set, which is the end of October, when the Government’s financial support schemes currently run out.
We welcome this Bill, rushed though it is, and understanding the necessity of that. We also welcome the support that the Government have given to the sector and the economy more widely. Undoubtedly the furlough scheme, the grant schemes and, more recently, after a lot of lobbying by myself and plenty of others, the discretionary schemes delivered through local authorities have helped to save thousands of companies from bankruptcy and protected millions of jobs. I am grateful to the Government for that.
I thank everyone in the Chamber for the constructive discussion that we have had in Committee and on Second Reading. I want particularly to thank Opposition Front Benchers for the positive discussions we have had over the last several days to bring this Bill through all its stages today.
I also thank all the members of the BEIS team who have provided such great support for the Bill, those in the Department for Transport, those in my office and particularly—in my own Department, the Ministry of Housing, Communities and Local Government—Simon Gallagher and his planning team for all their efforts while there have been other demands, with the covid-19 emergency, on their time.
As my right hon. Friend the Secretary of State for Business, Energy and Industrial Strategy set out, the overall aim of the Bill is to provide a boost to key sectors of our economy—the hospitality, construction, transport and SME sectors. It will support businesses across the economy, particularly in the hardest-hit sectors, to transition from the immediate crisis and the response to lockdown towards economic recovery. It will also support businesses to implement new safer ways of working to manage the ongoing risk of covid-19, and particularly the need, as we all know, for continued social distancing.
Hon. Members have made important points in their contributions on the amendments and new clauses tabled in Committee, and I should like to discuss them in turn. I turn first to amendment 3 to clause 9 of this Bill, which speaks to the same point as amendment 2. I thank Opposition Members for this amendment, as it raises the important matter that we would want to include in our definition of “relevant highway” those highways that benefit from a temporary traffic restriction order. This is particularly so given that more of these orders are now being made to encourage active travel, including walking, as people get back to work and more shops reopen. Our definition did not include highways where such temporary traffic restriction orders are in place, and it should have done; that was our intention. If we do not make this change, the scope of the pavement licence provisions will be limited, reducing the number of businesses that will be able to benefit and undermining the powers granted to local authorities that allow them to manage their public spaces in response to covid-19.
For those reasons, and in the spirit of the constructive comments made by the hon. Member for Weaver Vale (Mike Amesbury), I will accept this minor technical amendment, amendment 3, to the definition of relevant highway in clause 9. I am grateful to him for bringing it to our attention, and I invite him to move it formally later. [Interruption.] It may only be the one, but bag them while you can.
I turn to amendment 1 to clause 11. Clause 11, as drafted, provides a bespoke temporary change to the Licensing Act 2003 to provide an automatic extension to the terms of on-sales alcohol premises to allow the sale for consumption off the premises. This is the amendment to which the hon. Member for Ceredigion (Ben Lake) spoke very eloquently. It is important that every person wishing to sell alcohol has a licence to do so, and for licensing authorities to be able to record and regulate the sale of alcohol through their area of control. The amendment would allow mobile traders to sell alcohol in places not previously allowed, and that could lead to a significant number of alcohol sales taking place from new locations not previously allowed by licensing authorities, potentially leading to crowding and disorder in those new locations. I would encourage mobile traders to apply for a variation order to their licence under existing legislation. For that reason, I am not able to accept his amendment, although I understand the thrust of it. I also recognise that it is perhaps an important issue in rural areas such as the one that he represents, so I would be happy to talk to him further about how we can help the rural economy through this difficult time moving towards winter. I am sure that my colleagues in the Home Office will be prepared similarly so to do.
I now turn to new clauses 1 and 2. The extraordinary support that we have put in place has been about getting us through this crisis, and the Bill is now supporting us out of it. It is the case that some firms will be affected by coronavirus for longer than others, and the Government will seek to support these firms appropriately. So far, the coronavirus job retention scheme has helped 1.1 million employers across the United Kingdom to furlough 9.2 million jobs, protecting many, many people’s livelihoods. Starting with the first release on 11 June, Her Majesty’s Revenue and Customs is publishing monthly figures for the coronavirus job retention scheme claims, broken down by employer size, sector and geography. These figures are publicly available on the gov.uk website. They show the total number of jobs furloughed and the value of claims made within the accommodation, food services, arts, entertainment and recreation sectors. The Office for National Statistics also provides a very great deal of data.
I therefore believe that there is data available that the House can see and that Opposition Members can use, and therefore there is no need for the new clause. The hon. Member for Weaver Vale is, I would suggest, a seasoned player in the Standing Orders of this House, and he knows how to use urgent questions, SO24 applications and Opposition day debates. There will be plenty of opportunities for him to raise issues of concern with the Executive at the Dispatch Box without the need for the new clause.
The hon. Member for Westmorland and Lonsdale (Tim Farron) spoke very eloquently about the importance of supporting the hospitality and leisure sector, particularly in rural economies as wintertime approaches. I remind him that the tools that we have put in place already, such as the job retention scheme, are only temporary. There may be other, more effective and more sensible long-term tools to support the economic sectors to which he referred. The Chancellor made it absolutely clear in his remarks at the Dispatch Box during the Budget and subsequently that he will do whatever it takes to support our economy and its relevant sectors as we move through this crisis. I am therefore afraid that we cannot support new clauses 1 and 2, and I encourage those who proposed them to withdraw them.
I thank the hon. Member for Weaver Vale for tabling new clause 4, which would require the Secretary of State, prior to making any regulations to extend the time limits associated with the powers in respect of construction working hours, or extending the duration of certain planning permissions or extensions in connection with outline planning permissions, to make a statement to the House on the reasons for the extension beyond 1 April 2021. We recognise that there are concerns about this, but let me assure the hon. Gentleman that the powers in question were drawn in a proportionate way to address only what is necessary to facilitate the continued activity in the sector through this crisis. These delegated powers are considered essential to allow the flexibility necessary to respond to the emerging effects of coronavirus, its potential continuing effect on the sector, and the uncertainty around its future trajectory. Our intention is to exercise the powers only if the effects of coronavirus, including social distancing measures or other restrictions, continue for a longer period. I can make that clear to him from the Dispatch Box.
Just to pick up on new clause 4 and on the comments of my hon. Friend the Member for Hackney South and Shoreditch (Meg Hillier), while this from the Government is viewed as continuing into the future, the importance of the new clause is taking stock of the situation and realising how well that has worked. From comments across the Chamber, I am sure that the Minister understands there is concern about or fear of mayhem, because this is being rushed through. Local authorities such as Warwick District Council and Warwickshire County Council, have few resources, are under huge financial pressure and have little capacity to be able to enforce such changes. I welcome what the Government are trying to do, but I have real concerns about the ability to enforce.
I am grateful to the hon. Gentleman for that point. I will address it, if I may, when I come to new clause 6, which the hon. Member for Hackney South and Shoreditch (Meg Hillier) mentioned. To speak partly to his point, and in conclusion on this, the powers are subject to the affirmative procedure for draft regulations, which will enable Parliament to scrutinise thoroughly any relevant use of the powers, because the approval of both Houses will be needed. I therefore do not think that there is a need for new clause 4, and I would invite the Opposition to withdraw it.
With respect to new clause 5, again I thank the hon. Member for Weaver Vale for its tabling, because it provides an opportunity to give reassurance that local authorities will not be overburdened by the proposals in the Bill. This new clause would require the Secretary of State, following consultation with local planning authorities, to publish a report to provide an assessment of the costs to be incurred by local authorities as part of our proposed planning measures in the context of the covid-19 epidemic.
The applications relate to both the provision allowing for applications to extend construction working hours under clause 16 and the additional environmental approval process under clauses 17 and 18. Both the new forms of application will be free of charge to the applicant, which is to encourage developers to take advantage of the provisions in order to start or resume development as quickly as possible.
For three reasons, we do not consider the cost burden of either route to be particularly onerous on local planning authorities. First, each route deals with a single issue, and the onus is on the applicant to provide sufficient information. If insufficient information is provided by the developer, in the case of an additional environmental approval application or of an application for an extension to construction site working hours, the application will not count as having been made at all.
Secondly, as I said, the measures are temporary. This will therefore only be a short-term administrative burden over the course of this financial year. Thirdly, we do not expect individual authorities to face a deluge of applications under each route. For example, our analysis shows that by 1 August 546 planning permissions for major residential developments across the country would have lapsed since 23 March, an average of 1.5 permissions per authority. Cumulatively, it is important to the economy to see those progress, but for individual local planning authorities we do not believe that the effect will be particularly onerous. Again, I invite the Opposition to withdraw the clause.
I will speak briefly to new clause 6, as many Members are watching. I appreciate that some Members are concerned about the need to ensure that any changes made under the fast-track legislation are restricted to what is proportionate and necessary. Ensuring that measures are time-limited can be an effective way to do that, but a rolling review provision across the whole of Act is not the best approach in this case.
The first reason is that two provisions in the Bill are permanent; they would be jeopardised by a rolling review of the entire Bill. The second is that part of the reason for these measures is to give the business community, local authorities and Government agencies certainty about what they need to do with certain planning activities. A cliff edge 90-day end to the processes that they are undertaking would remove any chance of the certainty that they are looking for.
The hon. Member for Hackney South and Shoreditch has many ways in which she can advance her concerns. She can use Standing Orders, in which she is a seasoned expert, to look at SO 24 debates; she can encourage her Front Benchers to undertake Opposition debates, and she can use the Public Accounts Committee to undertake inquiries. There are many ways in which she can progress her concerns other than through new clause 6.
My drafting may not have been perfect; the Bill has been very rushed, so it was difficult to get it right. Can the Minister give me any comfort that, in his mind or the Government’s, there is scope to allow a three-month review point on the licensing element so that there is simply a review? Given the Government’s majority, they would have to agree to any change anyway, but a review point seems a sensible, proportionate measure so that we can all reflect on how this is working and pick up any issues. If he could give me an indication of whether that is something the Government might consider as the Bill goes through the other place, that would be very helpful.
I appreciate the hon. Lady’s concern and I understand why she raises those points. However, I simply reiterate that introducing a rolling review would kill certain aspects of the Bill and reduce the certainty and clarity that businesses and planners are looking for. It may also jeopardise the conclusion of the Bill before the summer recess, and we need to get it on the statute book so that businesses around our country can benefit from its provisions over the summer months.
Let me reiterate the importance of this Bill for our economy in these extraordinary times. As we emerge from this pandemic, we need to do all we can to support our economic recovery and help businesses adjust to a new and safe way of working. I therefore encourage the House to support amendment 3 tabled by the hon. Member for Weaver Vale (Mike Amesbury), and I encourage the proponents of all other amendments to withdraw them.
This has been a constructive debate, and I thank Members across the Chamber for their positive contributions and suggestions, which I hope will be taken up in the other place. I thank the Government, and I thank the Minister in particular for his positive engagement. We are happy to withdraw amendment 2 in my name and those of my right hon. and hon. Friends, and I look forward to moving amendment 3. I beg to ask leave to withdraw the amendment.
Amendment, by leave, withdrawn.
Clause 1 ordered to stand part of the Bill.
Clauses 2 to 8 ordered to stand part of the Bill.
Clause 9
Interpretation
Amendment made: 3, page 7, line 37, at end insert—
“(1A) Subsection (1B) applies for the purposes of—
(a) the reference in section 1(5)(a) to a highway to which Part 7A of the Highways Act 1980 applies, and
(b) the references to traffic orders in section 3(6)(a)(i) and (b) (which, by virtue of section 3(7), have the same meaning as in that Part of that Act).
(1B) The definition of “traffic order” in section 115A(2) of the Highways Act 1980 is to be treated as if it included an order under section 14 of the Road Traffic Regulation Act 1984 made pursuant to subsection (1)(b) or (c) of that section under the procedure provided for by regulation 18 of the Road Traffic (Temporary Restrictions) Procedure Regulations 1992 (S.I. 1992/1215) (procedure for temporary orders made for purposes connected to coronavirus).”—(Mike Amesbury.)
This amendment secures that the provisions about pavement licences apply where a highway is subject to a temporary traffic order under section 14 of the Road Traffic Regulation Act 1984 for reasons relating to coronavirus.
Clause 9, as amended, ordered to stand part of the Bill.
Clauses 10 to 26 ordered to stand part of the Bill.
Bill, as amended, reported.
Bill, as amended in the Committee, considered.
Bill read the Third time and passed.
I will now suspend the House for three minutes to allow the safe exit of hon. Members participating in this item of business and the safe arrival of hon. Members for the next.
(4 years, 5 months ago)
Lords Chamber(4 years, 5 months ago)
Lords ChamberMy Lords, on behalf of my noble friend Lord Howe, I beg to move that the Bill be read a second time.
It is a great privilege to open Second Reading on the Bill in your Lordships’ House. This is my first Second Reading speech since I took my seat in this House in April, and I am honoured to speak on this Bill, which is so critical for our economic recovery.
Noble Lords may have seen the Prime Minister’s speech of 30 June, when the Government announced that we would launch a planning policy paper this month setting out our plan for comprehensive reform of the planning system. I make clear that the Bill is not part of those ambitions for planning reform and should not be taken as a signal for what that will entail. This Bill is about implementing urgent and mostly temporary measures to provide much-needed support to businesses across our economy. We have within this House some of the country’s finest experts on planning and local government, so I look forward to constructive and positive discussions on planning reform once the paper has been launched.
For now, I beg noble Lords to focus on the merits of this urgent Bill, which will provide a much-needed boost to key sectors of our economy at this extraordinary time. The measures in the Bill have been developed in collaboration with industry and key stakeholders. The Bill directly responds to asks from businesses to help them to overcome the challenges that they face. It is right and important that we now support businesses in overcoming the disruption that has resulted from the pandemic and to implement new, safer ways of working. The Bill will support businesses in four key areas of the economy: hospitality, SMEs, transport, and construction. I will take each in turn.
First, the Bill will provide critical support for the hospitality sector. Food and beverage service activity has fallen by nearly 90% in the last quarter. From last Saturday, pubs, restaurants and cafes were able to reopen while following Covid-secure guidelines. The Government want to support those businesses to make the most of summer trade and to operate in a safe way. The Bill will therefore make it easier for businesses that sell or serve food or drink to obtain a licence on a temporary basis to set up outdoor seating and stalls. It will do this by introducing a temporary fast-track process for obtaining a licence from the local council to place tables and chairs on the pavement outside their premises. This new process will cut the time to receive approval for a licence and will cap the application fee at £100.
We recognise that public safety and access for disabled people using pavements is of unquestionably great importance. That is why the Government have published a national condition. When that condition applies, licence holders will be required to take into account recommended minimum requirements for footway widths and distances required for access by disabled people. In addition, local authorities will be able to refuse or revoke licences where they assess that it is necessary.
The Bill also makes it easier for licensed premises to sell alcohol to customers for consumption off the premises. It temporarily and automatically extends the terms of on-sales alcohol licences to allow the sale of alcohol for consumption off the premises as well. It also suspends any relevant conditions on existing off-sales licences, including conditions that require off-sales of alcohol in sealed containers and restrictions on sales for delivery.
We recognise the need to strike a balance between supporting businesses and ensuring safety and amenity for our communities. If in a particular location these alcohol licensing arrangements were to cause problems then any responsible authority, including the police or an environmental health officer, could apply for a new off-sales expedited review. This expedited review process will allow responsible authorities to quickly alter the alcohol licensing conditions, suspend it for up to three months or remove the permission for sales of alcohol for consumption off the premises. On receipt of an application, the licensing authority must consider whether it is necessary to take interim steps to the permission granted by the Bill within 48 hours of receiving that application, and must hold a hearing within 28 days of receipt. These temporary measures to support the hospitality sector will be in force only until the end of September 2021. This will enable businesses to make the most of outdoor seating opportunities in the summer months this year and next.
Secondly, to support small businesses, the Bill introduces measures to enable lenders to continue to issue bounce-back loans quickly and at scale. The Bounce Back Loan Scheme is designed to provide loans at speed to small businesses adversely affected by the Covid-19 pandemic. So far £29 billion has been lent to small businesses under the scheme, providing a vital lifeline to many.
The effect of the Bill is to retrospectively disapply the “unfair relationships” provisions in the Consumer Credit Act 1974 for lending made under the scheme. This is necessary to remove some of the checks and processes that lenders would otherwise need to run, and which would prevent them from providing loans to small businesses at the scale and speed necessary in this crisis.
Thirdly, to support our transport sector, this Bill makes changes to driver licensing and enables changes to roadworthiness testing for commercial vehicles. It will reduce the backlog of checks and tests that grew over the lockdown. It will help us to get goods, and indeed people, moving across the country.
The Bill introduces a temporary—and, in Great Britain, retrospective—power to issue one-year lorry or bus driving licences, rather than the standard five-year licences. This flexibility will allow a licence to be extended for a year if an applicant is unable to obtain the medical report required for a full five-year licence. This helps to alleviate pressures on doctors and the NHS.
The Bill also reforms the powers to temporarily exempt goods vehicles, buses and coaches from roadworthiness-testing requirements. This will be a permanent change but our intention is to use the reformed power only temporarily in response to the Covid-19 outbreak. This will allow for the high demand for heavy vehicle testing, which was reintroduced after lockdown only on 4 July, to be managed so that the most important vehicles are tested first.
Fourthly, the Bill will support our construction sector to get building again. It will introduce a fast-track route through the planning system to apply for a temporary extension of construction hours so that firms can plan for the safe reopening of sites. Temporarily allowing longer working hours—for example, during the evening and at weekends—will help to facilitate safe working by spreading out the working day. Importantly, local councils will have discretion to refuse requests where they consider that longer hours would have an unacceptable impact. I make it clear that this measure will not apply to construction works to an existing house, which affords a measure of protection to neighbours from disturbance. This measure will expire on 1 April 2021.
In addition, the Bill responds to calls from both the development industry and local authorities to extend planning permissions and listed building consents that lapsed during lockdown or will lapse before the end of this year. As a result of the pandemic, almost 1,200 unimplemented planning permissions for major residential development have lapsed or are at an increased risk of lapsing by the end of this year. These account for 60,000 new homes. The Bill enables the extension of these planning permissions and listed building consents to 1 April 2021, subject to any necessary environmental approvals.
There are two further planning measures included in this Bill. The first supports the Planning Inspectorate to conduct hearings and inquiries while adhering to social distancing. It enables the inspectorate to combine written representation, hearing and inquiry procedures when dealing with town and country planning appeals. This change was recommended by the independent Rosewell review, following which a pilot reduced average decision-making time from 47 weeks to 23 weeks. This measure will apply permanently to support the improved efficiency of the Planning Inspectorate.
The second responds to a request from the Mayor of London. It temporarily removes the requirement for the Mayor’s spatial development strategy to be available for public inspection and for hard copies to be available on request. In a time of social distancing, that is not practical. This requirement is replaced with a duty to make the current version of the strategy available for inspection free of charge by appropriate electronic means. Nevertheless, the Government appreciate that not everybody will have electronic access. As a result, the Bill also requires the Mayor to take into account any guidance the Government publish on appropriate mitigation measures. This measure will expire on 31 December this year. Taken together, all these planning measures will support the recovery of our construction sector and help to get Britain building again.
Finally, the Bill contains a provision to enable the time-limited powers to be extended by secondary legislation, subject to Parliament’s approval. This provides necessary flexibility, given the uncertainties around the duration of the Covid-19 pandemic and the nature of future social distancing requirements.
The package of measures in this Bill has been widely welcomed by businesses and local government at this critical and extraordinary time. The Local Government Association is supportive of the Bill, which it says will help ensure that a consistent approach can be taken so businesses can reopen as soon as possible. The Federation of Small Businesses also welcomes the Bill, which it says will help small businesses in the hospitality sector to resume trading with confidence.
These measures are necessary to alleviate some of the current challenges that businesses face and help the economy bounce back as we emerge from this pandemic. I look forward to our debate today and I commend the Bill to the House.
My Lords, I thank the Minister for his comprehensive introduction to the Bill. A large number of Members of your Lordships’ House wish to speak in this debate, and we look forward to their contributions.
When a crisis hits, effective Governments do two things: first, they deal with the immediate challenge and, secondly, they anticipate the fallout and begin working out how to tackle the consequences in the months and years ahead. It is anticipated that the UK has spent over £200 billion on a first-stage economic rescue operation but there is, as yet, no plan for economic recovery. Millions of jobs are now at risk and even a VAT cut, which is widely anticipated and would be welcome, will not of itself return our economy to pre-crisis levels of activity. The reannouncement of major infrastructure projects remains just that; most are nowhere near shovel-ready and will take many years to come on stream.
The £29 billion in Covid-19 loans to 640,000 businesses has been a significant boost to liquidity but as loans, these are not earned income. They will leave even fundamentally sound companies with huge debts, which will restrict their ability to reinvest for the future while opening them up to predatory takeovers. The current trickle of bankruptcies may turn into a flood.
I say all this because I want to make the point that while the Government have acted to protect us from the supply shock caused by the pandemic, the resolve that delivered the furlough schemes, which currently maintain 9 million people who might otherwise be out of work, needs to be shown again as we start the recovery to stimulate demand and save jobs. It will be a long haul. The Government urgently need to come forward with a comprehensive, flexible and imaginative plan for the support and recapitalisation of viable British businesses, and the prevention of mass unemployment. But this Bill, welcome though it is, is not that plan.
I thank the Deputy Leader of the House, the noble Earl, Lord Howe, for the constructive conversations that he and my colleagues have had on the Bill. It is a short Bill and there is a large degree of agreement on it. The headline provisions, as has been said, are to enable the hospitality industry to reopen quickly and serve a greater number of customers in a safe environment. My noble friends Lord Kennedy and Lady Wilcox will be leading for us on these sections.
We welcome the temporary loosening of licensing and planning regulations to enable bars, restaurants and cafés to serve customers outside their premises. Having said that, we will question why the opportunity has not also been taken to include street-food vendors and small breweries in this legislation. In these essentially local issues, it is important that local authorities continue to have discretion in these matters because they are best placed to make the judgments about local impacts. However, we have received requests to amend Clause 11 so as to prevent increases in anti-social behaviour in town centres late at night and in the early mornings. It is also right that we raise the concerns of USDAW about the safety of staff. The government guidance is clear about the mitigation and reduction of risk that is needed if one metre-plus social distancing is in place. It is also very important that the Health and Safety Executive has the resources and powers to enforce the safety of those extended workplaces. Can the Minister confirm that that will be the case?
The introduction of more flexible planning appeals is also welcome in speeding up the processes, but we want reassurances that no legitimate voice will be excluded from being heard. Local government is worried about the cost implications of these new rules, so we urge the Government to publish a report detailing the extra costs that councils will face in processing increased volumes of planning applications at the new, reduced fee levels.
We also welcome the measures in enabling construction sites to get back to work more easily, through extended working hours. It is important, however, that communities do not feel that their interests are being ignored in this. We would like to see councils being given the discretion they need to restrict hours of operation, where there is a compelling and overriding local reason to do so. But as well as discretion, local authorities need certainty about resourcing. As was said in the other place, £10 billion-worth of costs have been loaded on to local authorities during this crisis but only £3.2 billion has so far been provided by the Government. When he comes to respond to this debate can the noble Earl, Lord Howe, explain how and when the Government are going to honour their commitment to stand behind councils and give them the funding they need, now and in the future? It is important that the Government also offer cast-iron guarantees that none of the measures in the Bill will place additional costs on councils that have to be financed by further cuts in their services elsewhere. I challenge the Minister to put this on the record.
We also welcome the changes to transport and vehicle licensing, an issue which will be handled by my noble friend Lord Tunnicliffe. I will be in the lead on the proposal to remove the “unfair relationship” provision from the Consumer Credit Act 1974. There have been many calls over the years for reform of the CCA 1974, as the safeguards are cumbersome and often inconsistent with bona fide attempts to provide flexible solutions to customers who experience temporary financial problems. That pressure has clearly been increased by the pandemic and it is right to take action now on this issue, even though it is to be hoped that the wider issues are also under review.
Bounce-back loans have been very successful in getting money out to small firms which can use them. This compares with the CBILS, where only half of the applications have been approved. We still do not know why, or how many have been rejected and how many are still in the queue. One thing that we will be asking for is that in the interests of transparency, the Government should publish data on the number of rejections and applications, and list the banks concerned. After all, if moneysavingexpert.com can do it, why cannot the Government?
I press the Government to think again about the way in which they are restarting the economy. In particular, I call for a more nuanced approach to the ending of the current support schemes. Many sections of our economy, employing hundreds of thousands of people, have opened this weekend with important social distancing restrictions in place. The hospitality industry has restarted, which is good, but at much reduced levels of revenue; these are not sustainable and may translate into a risk to hundreds and thousands of jobs. Live performances, including concerts and the theatre sector, are still forbidden and many of our most important arts organisations are on the point of closure. The announcement today of additional funding for our arts and cultural bodies is very welcome, but we urgently need the long-promised road map to the reopening of live music and theatre venues. While the buildings may be saved, what will be performed? Many directors of small limited companies—often freelancers in the creative industries—have been denied support and are really struggling as a result. The Government are taking a one-size-fits-all approach to the furlough, when it is increasingly clear that we need a differential approach. Some sectors, such as tourism and the creative industries, are more affected by the public health measures than others, so surely the economic support measures have to match that.
The Government have been talking up a new deal in recent days, and we will presumably know more after the Budget later this week. From recent debates in this House and from polling data, it is clear that the idea of a green recovery is shared widely across the nation. People want jobs to be secured and new quality jobs to be created, but they do not want the economy to return to where it was. They want tangible action on retrofitting insulation in our housing stock, manufacturing low-carbon engines, adapting our towns and cities to walking and cycling, creating green spaces, and reforesting and rewilding.
To conclude, we welcome the Bill, but its measures are modest. The Government have shown that they are willing to take action to relieve the worst impacts of the pandemic, but we face the deepest and sharpest recession, possibly for hundreds of years, and government power has to continue to be used. The decisions taken by the Government in the coming weeks will determine how many jobs are saved and how many businesses survive. The commitment to do “whatever it takes” cannot be a hollow promise. In short, we need this Bill, but we also need an extension to the furlough scheme for specific sectors, an urgent job-creation programme with a green recovery at its heart, and real action on infrastructure, not just words. I urge the Government not to step back when our economy, businesses and workers desperately need their support.
My Lords, I remind the House that I am a vice-president of the Local Government Association. I welcome the aims of the Bill, because it can help reduce lasting damage to the economy. The Bill is said by the Local Government Association to be a
“positive step in the journey towards economic recovery”
and I concur with its view. The broad aims of the Bill secured all-party support in the House of Commons, although it has been sent to us to examine in detail, which we must now do.
The pandemic has been unequal in its financial impact on households. Some households are in serious financial difficulty; other households with more secure incomes may have been spending less than normal. We need those with cash to spend more of it now to help generate jobs for others. This Bill is one way of encouraging that higher spending, with the obvious further benefit of generating extra tax income for local and national government.
In terms of licensing, no two places are quite the same, so a flexible approach—place by place—will be essential. For that reason, I hope the opportunity will be taken to review very soon the powers of local authorities in licensing and the powers held in Whitehall. This was needed anyway, but the pandemic has revealed anomalies. For example, decisions on the level of fees charged to licensed premises through the late-night levy were made in Whitehall. Pubs were closed for many weeks, but they still had to pay the levy because councils could not change the law. Surely councils should have the power to reduce or waive the levy fees without asking central government.
I said earlier that the Bill commands broad all-party support, and it contains many sensible proposals. That does not mean, however, that we should not scrutinise the detailed provisions of the Bill, and I hope the Minister will accept the need to look for improvements in Committee and later stages. There are a number of issues that I would wish to see probed in Committee next week and no doubt colleagues on our Benches will have others. I think we need to assess whether the costs borne by local authorities are at least neutral. There are issues around the hours of work permitted on construction sites. There are questions around the sale of alcohol in open containers to be consumed on the pavement. There are concerns about the right of pedestrians to walk safely on the pavement, which is a particular concern for those who are visually impaired. There is a need for quarterly reviews of the practical operation of this legislation, with scope for amendment. Perhaps we should consider whether enough will be done to ensure that necessary pre-consultation can take place before a 14-day period is triggered.
Finally, I wonder whether the Minister will confirm that the housing delivery test requirements of local authorities should not apply in view of the lock- down. Will the Government temporarily suspend the presumption in favour of the five-year housing land supply and the housing delivery test? I look forward to hearing the Minister’s reply and to the contributions during this Second Reading.
My Lords, my comments relate to planning. I declare my interests as a vice-president of the Town and Country Planning Association and of the Local Government Association. I fully support the planning elements in the Bill, which are sensible and should minimise potential delays in the planning process caused by the pandemic.
However, as the Minister mentioned, the Prime Minister has spoken of more radical changes to planning to speed up the drive to “build, build, build”. I commend the PM’s emphasis on building back better, with more beautiful, greener homes, but there has also been talk of extending the controversial permitted development rights of housebuilders and developers so that they can bypass planning requirements and, indeed, avoid providing any affordable housing in their developments.
It is true that underresourced planning departments are sometimes slow, outwitted by well-resourced developers or overwhelmed by public hostility to a development. However, the answer is not to diminish the powers of the elected local planning authorities in the hope that the developers and housebuilders who have let us down in the past will do better if left to do as they please. Effective local planning requires adequate funding, which can be properly paid for by the developers which stand to gain so much from planning decisions.
Specifically on increasing the speed of development, we fortunately have some clear insights from the review that the Government commissioned from Sir Oliver Letwin. This explains why it takes so long for developers to actually build their developments: they only build more when they have sold what they have already built. Sir Oliver spells out that if we want much faster progress on big sites, we need to organise simultaneous development of a variety of types and tenures on these sites: homes that are affordable and for market renting, homes for older people and students, as well as plots for custom building by small builders.
Sir Oliver explains that councils could achieve this by buying sites through their own development corporations, capturing uplift in land values, and parcelling out the plots within a master plan—stronger, not weaker, planning; taking back control of development from the oligopoly of the volume housebuilders. Does the Minister agree that this positive, proactive approach should represent the direction of travel for our planning system?
My Lords, we should all welcome the general thrust of the Bill, especially the declared purpose of assisting businesses, especially the small and medium-sized ones, in the current crisis. For the most part, concerns from individuals and organisations about inconvenience caused by changes near to them or affecting their interests—for instance, open-air activities or the extension of hours on building sites—can be assuaged to some extent by the temporary nature of the relevant provisions and the accepted obligation already given by the Government to come back to Parliament if any extensions or retentions of these provisions are contemplated or, in their view, necessary.
However, my remarks today, like those of the previous speaker, will concentrate on the parts of the Bill that deal with planning issues. I do this in the full knowledge that the Government are currently undertaking a comprehensive review of planning law and regulations—as predicated in remarks made earlier this year by the Housing Secretary, my right honourable friend in the other place, Robert Jenrick, and my noble friend earlier—which is to be set out in due course.
As a lowly PPS in the Department of the Environment, I worked on the delivery of development corporations with my boss at the time, Sir David Trippier, to areas or zones of economic deprivation in the 1980s, and I regarded the special planning powers vested in their boards as key to revival. Such targeted zones, especially in inner cities, will in my view be necessary again in a post-Covid world. I hope my noble friend the Minister will look sympathetically with his colleagues at this possibility.
However, the reference to changing the planning appeals system in this Bill, which seems to emanate from some of the proposals for a White Paper, should be examined closely. I believe these ideas were contributed by the independent review panel, to which my noble friend referred earlier. These changes, unlike most of the Bill’s contents, are to be permanent, ahead of other more comprehensive changes, so we need to be most careful in examining these things as the Bill proceeds. I assume these changes will remain as part of the fuller proposals.
The balance between developers and planners and the communities the planners serve is sensitive. Many local planning decisions are already defeated under the current appeals system because of the sheer cost of the process. This is deterring many local authorities, with limited resources and strict rules on public expenditure, from standing up to speculative developers, often in cases where the development sought might be damaging to the local environment and unwanted by local communities. Some developers with large resources are unaccountable in the same way and therefore in a privileged position.
At first sight, any simplification of the appeals process could be thought to address the inability of local authorities to resist unacceptable applications. It is vital that balancing the protection of communities and the environment with the need to build more suitable houses and other buildings is maintained and, where necessary, altered so that the default does not unduly favour the developer.
On that point, I hope my noble friend will appreciate the problems with Section 106 provisions, which sometimes require a developer to offer some community contribution out of his profits. This has often proven a blunt sword. I trust that, in any new proposals to come before us, such provisions will be enhanced and clarified. I know of many cases where developers have avoided their responsibilities under Section 106 and any community infrastructure levy. It is vital that planning proposals, whether in this Bill or later legislation, maintain the important balance between community cohesion and acceptance, and the need to build.
My Lords, as my noble friend Lord Stevenson said, many aspects of this Bill are simple and straightforward and are to be welcomed. However, others are precursors to the wider planning Bill which was referred to by the noble Lords, Lord Kirkhope and Lord Best.
Given that I have only four minutes, I will concentrate on those aspects which concern me and which we should be clear should not be carried forward as a long-term proposition, because one person’s regulation is another person’s protection. The idea that, if we just sweep away many of the blockages in regulation, the enterprise and creativity of local businesses will somehow flourish without damaging the interests of the wider community, is simply untrue. It is untrue because those regulations and requirements have been brought in over many years for a purpose: to retain the balance between economic activity and enterprise, on the one hand, and the safe- guarding of people’s interests on the other. We should bear that in mind.
Other aspects of this Bill slightly bemuse me. While I am totally in favour of kick-starting elements of the economy that have been so badly damaged by the lock- down, I cannot see for the life of me that licensed premises selling alcohol off-premises—as though they will all now be off-licences—will actually do very much, other than fuel the already worrying concerns about activity late at night, particularly in the major cities, which has already been referred to but which I want to reinforce. Eating and drinking outside in an orderly fashion—linked, I stress, to the premises and not detached from them—is very sensible and, in the remaining summer months and next year, could contribute to not only economic activity but a different atmosphere in cities, towns and villages.
However, it must be done in a way that does not, as has been referred to by the noble Lord, Lord Shipley, damage the interests of those who will be vulnerable to unplanned and unrestricted obstacles on pavements. I have been asked, quite understandably, by the Royal National Institute of Blind People and others to draw attention to this and to say that there must be sensible safeguards if we are not to have almost Kafkaesque episodes like something out of “Monty Python”. I have a dog; other people do not. My current dog would not take a tender morsel off the table as it passes; one of my previous dogs undoubtedly would have done. I am just trying to lighten the load a bit this afternoon.
I am most concerned about the extension of hours for construction. It is welcome that the Minister, in introducing this Second Reading, indicated that this would not apply to neighbours. Believe me, the light pollution, noise pollution and damage cannot be justified by prolonged hours, as extension into the night will probably lead to less safety rather than more. Turning day into night is not the way to kick-start our economy. By all means, let us ensure that we have the enterprise we need to get us back on stream again, but let us also take the words of Winston Churchill from 1909: the worst should never undercut the very worst.
My Lords, I will focus on those aspects of the Bill relating to tourism. Tourism generates revenues of £155 billion per annum for the UK economy, including £28 billion in export earnings. The industry employs 3 million people, making it the UK’s third-largest employer. Every region has at least 100,000 tourism-related jobs. The sector has been disproportionately affected by the Covid pandemic; inbound tourist numbers are forecast to decline by 59% and expenditure by 63% this year, resulting in a loss to the UK economy of nearly £20 billion and a loss to the domestic tourism industry of a further £25 billion.
Councils have been working hard on measures to help hospitality businesses reopen, for example using town centres differently so that businesses can operate outside. However, a lot more can be done. While the Bill contains welcome new flexibility for businesses to put tables and chairs on pavements, there are at least three further measures we could take to help firms which have lost months of trading income.
First, the package travel regulations should be amended to make transport a mandatory component of package travel, thus allowing small businesses to make a combined offer of, say, accommodation in a guest house and a meal at a local pub without incurring all the responsibilities of a package holiday operator. Research suggests that this could boost domestic tourism by £2.2 billion with no loss in consumer protection.
Secondly, we should remove restrictions preventing caravan parks operating during winter. These parks have already lost between 35% and 50% of their income, and two-fifths of sites presently operate less than eight months of the year. There is an opportunity here to boost domestic tourism with year-round openings for all.
Thirdly, we should remove planning restrictions that prevent self-catering cottages being rented out as long-term lets during winter. These restrictions have a perverse impact, leaving holiday accommodation empty for many months of the year, with a knock-on effect for local pubs and restaurants, which see decreased trade. Over 80% of tourism businesses either were closed temporarily or have ceased trading altogether as a result of coronavirus. Some 92% say that their revenue has at least halved; 75% of their employees were furloughed, compared to just 24% in the jobs market as a whole. This is little short of a catastrophe for the industry.
The Government have the tools to help these businesses survive against the odds and to save jobs as the furlough scheme ebbs away. There can and should be a renaissance in domestic tourism here in the UK as well as a fresh look at how to offer the best to people visiting from around the world. Let us not shut out trade for the sake of arbitrary planning rules. Instead, we can hand much more power to local councils to make their own decisions over how to help the industry in their parts of the country.
I would welcome an initial response from the Minister to these suggestions since I intend to table amendments in Committee on all three subjects.
My Lords, although this Bill has the grand title of Business and Planning Bill it is something of a pot-pourri and the emphasis seems to be on consumer spending in the high street in bars and restaurants and the urgent encouragement of a single industry—construction—rather than on an industrial strategy in the round, as the noble Lord, Lord Stevenson, pointed out. However, much current thinking has it that those towns which were the worst hit by austerity are also going to be the worst hit economically by Covid, so the encouragement of new industries, such as green industries, particularly in the worst affected regions, is urgently required.
Thinking locally, what discussions are the Government having with the Local Government Association about taking these measures forward and how will councils be supported financially to do so?
Of the measures to help the hospitality industry, I particularly approve of bringing cafes more on to the street, continental style, and I hope this will be a more permanent fixture across the country. It is one of those seemingly small but significant measures that can help knit communities together, although it has been prompted, of course, by the requirement for social distancing.
I support the LGA’s call for a range of different and alternative spaces, including roads and parking spaces, to be licensed when it is safe to do so.
We have heard a great deal about the need to get the hospitality sector back on its feet both in the media and in Parliament, including through this Bill, but not a great deal about the arts, which has similar problems with social distancing measures, at least not until today. The rescue package has been welcomed by arts leaders, but there must be a concern about how far £880 million in grant money will go and what will be lost in the arts, particularly as this money has come so late. I wish the Chancellor did not use the term “world beating”. However, much as the arts is grateful for it, this Covid emergency package for the arts is not world beating unless your world is confined to the shores of this country.
“Planning” is a curious word because it can mean different things to different people. Does the Minister agree that the planning in the title of the Bill should be for society, for our communities, above everything else and that there will not be a conflict between this Bill and preserving our community centres and cultural venues—the buildings themselves—that would surely go against the spirit of the arts rescue package. This concern was raised by Greg Clark at Second Reading in the Commons. He warned that
“we should guard against granting planning permissions that take them”—
meaning theatres and concert halls—
“immediately out of those very valued uses.”—[Official Report, Commons, 29/6/2020; col. 53.]
As with the hospitality sector, concomitant measures are not yet being drawn up for the arts. I use the word concomitant because of the close association between the two sectors, particularly with regard to tourism. After hospitality, the Government now need to work on getting our arts venues, theatres, concert halls and clubs open as soon as possible. The longer this is left the more trouble the arts will be in, even with the rescue package. As with all other sectors, the business aspect is suffering with a loss of revenue from tickets. Also, if the self-employment support scheme and furloughing do not continue while our performing arts venues, in particular, remain shut, then the talents of many freelancers and permanent staff will be lost, the creative economy will collapse and the arts and our culture generally will be considerably poorer as well as our standing internationally. That cannot be emphasised enough.
My Lords, I congratulate my noble friend the Minister on his excellent opening speech, especially the announcement on wheelchairs and pavement access. He will make a worthwhile contribution to this House.
The Bill generally is welcome although I have a few concerns about some issues. First, as chair of the Delegated Powers Committee, I can say that it will consider the Bill on Wednesday morning and aims to report later that day, allowing a very tight window for Peers to table amendments on Wednesday on any of its recommendations if they so wish. It is a pleasure to see for a change a Bill with Henry VIII clauses all limited to changing merely the dates and which are all affirmative. However, the committee will be interested in the amount of guidance that may be given without parliamentary oversight and the apparently new concept of conditions which will have the force of law but no parliamentary approval.
I appreciate that the Government need to move quickly—there is no point in legislating for an open-air cafe society when the one week of English summer is over— but, on a personal note, I was concerned that the non-obstruction provisions in Clause 3(6) did not mention keeping sufficient space on pavements for wheelchairs and children’s pushchairs to pass; nor is it specifically mentioned under the condition in Clause 5. My noble friend the Minister, the Deputy Leader, may say that this is common sense and that local authorities are bound to make that a condition. Not so—not because they are hostile to wheelchair users but because we are never thought about. Every time I have been in Paris in past years I often cannot get through on the pavement because of the tables and chairs, not to mention the thousands of electric scooters cluttering the pavements, which we will soon have too. The carnage in Paris will be repeated in London. People are apologetic, jump up and move the tables but it never crosses their mind that there would be an obstruction problem for certain pavement users when the tables were set out. The same would have happened here— not out of malice or disrespect but because of sheer thoughtlessness.
I was going to move an amendment in Committee to put this in the Bill, but I congratulate my noble friend and the Government on introducing this national condition. I hope that my note to his department last week threatening to move the amendment had a role to play.
I am also concerned about the possibility of 24/7 construction. For six years I suffered the noise of massive construction works carried out near Marsham Street. The last two years were not so bad as they fitted out the inside, but the first two years were pure hell as massive power hammers demolished the old buildings, with 100 decibels of noise from 8 am until 6 pm. Of course, we must get construction working flat out to catch up but there must be limits to protect local residents. It would be odd if Heathrow has to close for almost seven hours at night and has noise limits but construction sites could carry on regardless.
I am further concerned that 24/7 construction work near special wildlife sites such as SSSIs could be damaging to the species affected. I declare my interests as in the register. Local authorities must check what conditions on construction near these sites were imposed to protect the wildlife there when the application was granted, and not diminish those protections now.
In conclusion, I suggest that where there are no residents for 300 metres, construction can go on 24/7. However, where there are residents living closer than 300 metres, noisy outdoor construction should be limited to a maximum of 7 am in the morning until 10 pm at night. That is an extra five hours a day work time in residential areas. All internal and quiet work could continue 24/7. With these provisos, I support the Bill.
My Lords, I draw the House’s attention to my declared interests as a councillor, as noted in the register.
We are broadly supportive of the Bill, which will enable businesses, particularly in the hospitality sector, to reopen quickly after coronavirus restrictions. We have consistently been calling on the Government to work with local authorities and take innovative action to help businesses both expand and adapt operations to boost trade. However, the provisions to relax licensing requirements so that cafes, bars and restaurants can serve customers outside must also be accompanied by clarity on the role local authorities have to play in making decisions at a local level.
There must also be further assurances over how relaxed licensing requirements will be policed, particularly where restaurants, bars and cafes are in residential areas or where these premises open out on to the street. Councils have already been working hard on measures that can be put in place to help hospitality businesses to reopen, including relaxing requirements, and considering how town centres can be used differently to enable businesses to operate safely outside. The Bill will help to ensure a consistent approach that can be taken across the country.
However, councils need to have the power both to refuse applications where these cannot be managed safely, and to act if any issues arise following the reopening of premises. The full responsibility and cost for making this policy work successfully does not sit with local authorities alone. With the initial burden falling on them, it is crucial that councils are supported financially to meet the costs of processing an expected large number of applications in a short period of time.
The provisions in the Bill will result in an extra workload for local authorities, whose budgets have already been stretched dangerously thin by 10 years of deep cuts, and now Covid-19 has dealt them a further blow. The Government should also publish a report detailing the extra costs accrued by councils as a result of processing increased volumes of planning applications through the new deemed consent route and additional environmental approvals. Consultation with local councils is therefore essential before making further changes.
It is right that the proposed licensing measures in the Bill are only temporary. In the long term there needs to be a comprehensive review of our outdated licensing legislation to ensure that it is fit for the future.
There is also great concern for the safety and well-being of people who work in this industry, and the Bill should require pubs to take certain steps to ensure the safety of workers. We should look at placing conditions on premises which want to apply for licences. They must first publish a risk assessment, including details of the risk from hours of operations, the use of cash transactions, provision of door security—including safe toilets—protection of BAME workers, who have statistically been shown to be at greater risk, and detail the provisions for sick pay and how they intend to implement trade union recognition for staff.
There are also concerns from the industry itself that the Bill introduces only minor changes and that the Government are ignoring the most important issues that they currently face, such as the difficulties that pubs have with rent after months of not trading, and the importance of encouraging consumer confidence to return to use the facilities of the hospitality industry. In essence, a reasonable first attempt, but could and must do better.
My Lords, I will address a range of issues, all of them quite quickly. First, Section 78 of the Coronavirus Act 2020 failed to include Transport for London and at least some development agencies in its definition of local authorities. It has left these bodies with a legal minefield as they act through virtual decision meetings, and it is seriously complicating economic recovery. It should all be in scope of the Bill, so will the Minister use the Bill to correct what I assume was very much an oversight?
Secondly, so many firms I have talked to are afraid that, as they bring back their workforce and customers following government guidelines, they will still be sued if an employee or customer catches Covid. They have no faith in insurance policies after the fiasco with business interruption insurance, and they do not understand why the Government have not offered indemnity to employers who follow the guidelines. Will the Minister please respond to this issue?
Thirdly, civil society groups like Protect and WhistleblowersUK are being inundated with phone calls from employees who have witnessed furlough fraud or the bending of safety rules, and all of this will increase as more businesses open. HMRC has set a terrible precedent in closing its fraud phone hotline and telling people to do online reporting—which of course they do not because they do not trust it, and because the forms demand so much disclosure. Will the Minister guarantee today that the HSE will keep manning its safety reporting hotline so that we can be absolutely on top of any abuse?
Lastly, the Minister referred to bounce-back loans, and I join him in being delighted that over £30 billion has been loaned to companies under the scheme. However, he will know that very many of those who have applied have been turned down, not because they are unsuitable but because the banks who have dominated these loans have no wish to add to their balance sheets. The banks have chosen not to on-lend cheap money from the term-lending facility they have with the Bank of England to enable more diverse and other players to engage extensively in the bounce-back scheme.
The British Business Bank has been rapidly trying to accredit diverse organisations to participate in lending under the bounce-back scheme, but it is slow going. Will the Minister make sure that for the future we have a structure in place that means that, when a programme and scheme like this is being put forward, it does not put the banks, frankly, in the catbird seat and enable them to do what they have been doing, which is cherry picking the customers who get these loans and leaving a very large number, particularly of small companies, in significant difficulty?
My Lords, I too support the Bill as an urgent and temporary measure designed to alleviate the effects of Covid-19 and stimulate the planning system. However, can the Minister confirm clearly that these are truly intended to be temporary measures and that standards of good design, particularly for the permanent future, will be maintained and, if at all possible, enhanced? I agree with every word of my noble friend Lord Best about the dangers of relaxing the high standards of planning design that we rightly aspire to. Modern techniques allow the most attractive, low-cost homes to be built at genuinely low cost. There is no need to cut corners.
I have one concern about the Bill, as a resident of the London Borough of Hackney. Our hard-working police force, based at Stoke Newington police station, has faced unacceptable challenge from disorder in the streets and unlawful large-scale drinking. I hope that the Minister will confirm that the changes contained in the Bill simply cannot be the basis of heightening disorder—whether it is by young people or older people, it does not matter. The police should not be required to attend at these scenes; the scenes should not occur.
My third point is about the way in which planning and party politics intersect. When I first became a Member of Parliament, for the beautiful Welsh constituency of Montgomeryshire, Lord Hooson QC, who had been a Member for Montgomeryshire before me and who had led me in a number of planning appeals when I was a young barrister, spoke to me very firmly about planning. He said that there were dangers in planning applications for politicians and political parties. He reminded me that one should never allow one’s political interests to interfere with sound principle. So my final point is to ask the Minister to confirm that it is embarrassing and sometimes unethical for developers to be seen as being too close to political parties, Members of Parliament, Ministers and councillors. Planning is an objective matter—there are rules—and paying large sums of money to have dinner near someone who is thought to have influence should never be acceptable. The lessons of history—some very high-profile cases—tell us that.
My Lords, first, I recognise my noble friend on the Front Bench and say that it is hugely welcome that we have a senior Member on the Front Bench introducing the Bill who has a wide experience of local authorities and the areas we are talking about. The Bill is hugely welcome, and I for one say well done to the whole team that put it together in such a short time.
However, we have to recognise that it is only a start, because an avalanche of unemployment is coming down the track, and we need a spirit almost like that of the Blitz 80 years ago, which, ironically, started on 7 September 1940 and lasted until 11 May 1941. I suspect that September 2020 will last through to May 2021. It will be our challenge and it will require a herculean effort.
Much is made in debates of the V-shaped recovery. In this debate, I would rather risk doing too much now and pulling back later when the economy has fully recovered than the alternative of falling short, with too little stimulus, and allowing the economy to suffer and fall into a dangerous liquidity trap. The case for bold action, to increase the watchful public’s expectation of a steady recovery, remains as strong as ever. The Bill, short as it is, is just a start, but this is about not just the speed of response but the depth too. I hope that my noble friends on the Front Bench will resist the temptation to micromanage the whole thing; that applies to amendments as well.
My focus is the construction industry; I used to be chairman of a housing committee and a director of a major construction company. The Bill principally deals with existing situations, such as permissions expiring, but I make a plea to ensure that there is close involvement with the relevant local authorities. Our objective is to speed up housebuilding now. We need a strategy to tackle the challenge of an average home costing eight times average earnings, compared to only four times in the 1990s, plus the challenge of social housing, on which all Governments have failed in the last 20 years. There is no doubt that we need about 100,000 of those homes. There is a way, which lies dormant. I refer to the New Towns Act. Why not speed up designation of new towns, or new garden towns, all over the country? We have a concept that has been proven over time—Welwyn Garden City, Milton Keynes, the development in Northampton, where I happened to be the Member of Parliament—driven by the new towns corporations, and there is no need for any new legislation. It works because all the legislation is there; relationships with local authorities are built up. It is successful and it is sitting there. Why do we not use it?
My Lords, although the Bill provides a welcome range of measures to help businesses post Covid-19, it also represents a missed opportunity. For example, there is no acknowledgment of the call by the trade union Unite for the Government to involve the country’s 100,000 trade union health and safety representatives to help with test, track and trace, and with finding safer ways of working, to deal with the ongoing risks from Covid-19. The crisis is also an opportunity to make workplaces more productive, by encouraging closer co-operation at work and challenging both sides of industry to boost productivity by working in partnership. For example, in May, the Food and Drink Federation and the GMB, Unite, USDAW and the Bakers, Food and Allied Workers Union highlighted how partnership between food and drink manufacturers, trade unions and employees has enhanced both the safety of workers and the effective running of workplaces.
The Government should encourage employers and unions to explore new ways of working together and embracing radical change. The Covid-19 crisis has shown that very many established ways of working are outdated. Many are inflexible; they hinder, rather than help, firms’ efforts to match their product or service to customers’ requirements; they undermine, rather than underpin, employers’ efforts to keep up with the competition; and they often alienate, rather than motivate, employees by treating them unfairly or locking them in to unrewarding routine tasks. By working together, unions and employers can deliver dramatic improvements in performance, boosting productivity and profitability, lifting living standards and enhancing job prospects. Instead of routine, robust co-operation between employers and unions, of the kind practised in Germany, Britain has low employee motivation, lagging productivity, lost competitiveness, jobs in jeopardy, shocking skills gaps, grossly unequal rewards and grotesque discrimination at work.
Instead of world-class standards of product quality and customer service, British businesses too often settle for second best. With a few notable exceptions, we have seen our market share drop and jobs disappear. The Prime Minister was right to cite Franklin Roosevelt’s New Deal as an example to follow, but he omitted to mention that the New Deal also radically reformed industrial relations in the United States, bringing in the National Labor Relations Board to even up the balance of power between bosses and workers and encourage union recognition. That did not create fair pay overnight, but it took a big step in the right direction. The Business Secretary and Treasury Ministers have held a productive series of sector-by-sector meetings with trade union and business leaders. The next step should be government backing to bring both sides of industry together in sectoral bargaining, to put a floor under pay and conditions of employment, raise and protect standards, and stop responsible employers being undercut by irresponsible rivals and workers being exploited unfairly.
Winston Churchill once said, “Never let a crisis go to waste, but turn it into an opportunity”—a chance to do things that might never have seemed possible before.
My Lords, I understand the temptation to take a hatchet to the—sometimes annoying—bureaucracy associated with the planning system, but one man’s bureaucracy is another’s fundamental democratic right. Many noble Lords will have experience of serving as a councillor, as I have, and will know that planning applications are a sensitive issue. When you add alcohol licensing to that, you have a combustible combination. The short cuts proposed here, allowing pubs and restaurants to install pavement furniture, go beyond streamlining, but some sensible amendments could make them workable. At the moment, the provisions are self-defeating. If you give people only seven days to object, they will probably object, so give them time to talk to neighbours and find out more.
There are concerns about the shortness of consultation and the method to be used. The need only to display a notice, and no legal requirement to post the application online, is plainly ridiculous in the age of Zoom. The lamp-post notice is created on a computer, so posting it online is easy. People with sight loss cannot see lamp-post notices. As the Bill is drafted, it is discriminatory, because they are the people, together with wheelchair users, whose safety is most at risk when a café springs up on the pavement, forcing them into the road. I urge the Government to rethink the methods and timing of consultation. If the local authority does not deal with the application within 10 working days, it is automatically to be granted for a year. Why should local residents have to put up with an unsuitable use of the pavement for a whole year, simply because the council did not react fast enough? Surely three months would be long enough before it is reconsidered.
Any pavement development must leave sufficient space so that people, including wheelchair users, can pass safely. Recently, councils have been reconfiguring roads to encourage more cyclists, so they may be prepared to do that for pavement cafés too. However, some new cycle lanes have obliterated existing bus lanes, and this must be prevented. In future, we will need efficient bus services more than ever. Whether for cyclists or drinkers, any road reconfiguration needs to remember the buses.
The Bill also contains amendments to the licensing and testing of goods vehicles, and grants some temporary exemptions. It amends the requirements for medical reports for older drivers of those vehicles. These are issues of road safety, and any loosening of requirements must be looked at closely, especially in relation to buses, where passenger safety is at risk. If the Bill had come to this House in April, I would have understood. Now, we are giving the Government additional powers after the event. They have already reinstated the need for MOTs. They have never asked for powers to reduce the equally onerous requirements for those needing to renew their licences at the age of 70. Once again, the Government’s approach is to belatedly ask for a haphazard mismatch of additional powers, with no evidence of a strategic approach.
My Lords, others have raised the concerns of inner-city residents about the implications of Clause 11, which will encourage drinking in the streets into the early hours, and I hope my noble friend will consider whether the safeguards mentioned in the opening speech are in fact an adequate response.
Nearly all the measures in the Bill are temporary but I want to speak about one measure which is permanent —namely, Clause 20—as did my noble friend Lord Kirkhope. I speak as a former Minister for Planning who put the Planning and Compensation Act into law in 1991. This was meant to update the 1947 Act and provide a long- lasting framework for a modern planning system. I have lost count of the number of planning Acts since then with the same objective, and my successors seem to have fared no better, so we all hope that the proposed planning Bill trailed by my noble friend will finally take the trick.
Clause 20 implements one of the recommendations of the independent review of planning appeal inquiries, the Rosewell report. Of the 22 recommendations made last year, 16 had been implemented by March this year. It would be helpful to hear, perhaps in Committee, of the progress with the remaining six. The appeals system is one of the main blockages in the planning system and I welcome measures to speed it up and provide more homes. The main cause of appeals is the absence of adopted local plans decades after the system was introduced, and perhaps my noble friend can explain what action is being taken to get these up and running so fewer appeals are needed to fill the vacuum.
I have some specific questions for my noble friend on Clause 20. One category of decision is appeals in relation to an application to modify or discharge affordable housing requirements under Section 106BC of the 1990 Act. Affordable housing and planning appeals are a sensitive subject at the moment, so can my noble friend confirm that this proposed reform will not make it easier for developers to duck their responsibility for providing affordable homes through the “viability test”, as has been happening, mentioned by my noble friend Lord Kirkhope? Indeed, we should be making it tougher. In passing, I endorse what the noble Lord, Lord Best, said about planning and implementing Sir Oliver Letwin’s recommendations.
The Minister said that the clause would allow the Planning Inspectorate to use more than one type of procedure as part of the same appeal—part local inquiry, part written recommendations. I understand that this hybrid system, which on the face of it sounds more complicated, was tested last year, and my noble friend outlined some of the results, but can he say whether there have been any cost implications for any of the parties involved, particularly local authorities, as mentioned by the noble Lord, Lord Stevenson?
Finally, is the Secretary of State going to give guidance to the inspectorate about how the flexibility in the clause is to be used, or will the position remain as it is; namely, entirely down to the discretion of the inspectorate? Can he say when the measures in the Bill will come into effect? In the meantime, is progress being made with more virtual enquiries to avoid a pandemic backlog?
Perhaps in Committee we can have more detail of what is proposed, as suggested by the noble Lord, Lord Shipley, but in the meantime, on the basis that the intention of the clause is to speed up the provision of more homes and to “build, build, build”, I welcome it.
My Lords, the construction and hospitality industries have been severely affected by the coronavirus pandemic. Over 40% of construction sector workers were furloughed as of the middle of May, and ONS statistics published in June show that food and beverage service activities dropped by nearly 90% in the last quarter. So, for the hospitality sector, the Business and Planning Bill will support recovery by allowing pubs, restaurants and cafés to serve outside, as well as the off-premise sale of alcohol, to make the most of this summer while upholding social distancing. The Bill also makes the application process quicker for construction sites to extend their operating hours to accelerate building works, speeds up planning approvals and appeals, and digitises parts of the planning application. The Bill will support small businesses to access the finance they need during the pandemic by enabling the process for the bounce-back loan scheme to be as simple as possible, ensuring that these loans reach businesses quickly, easily and at scale.
The efforts of the British Business Bank, Her Majesty’s Treasury and approved lenders provided a critical lifeline to many businesses, saving thousands of jobs and livelihoods. There remain critical challenges ahead and banks have a vital role to play in the recovery, yet we are by no means out of the woods. There are big concerns about a finance cliff edge in October as the job retention scheme and tax deferments end. The May PMIs continued to indicate a sharp fall in activity. The growth indicator of the CBI, of which I am president, suggests that activity fell at the fastest pace in the three months to May since the indicator began in 2003. The ONS survey on the business impact of Covid-19 reported that cash is still a huge issue, with 42% of businesses having cash reserves to last less than six months. Some £42.9 billion delivered to over 1 million businesses by the loan schemes shows how vital this finance has been and still is to business. Nearly £30 billion has been paid to almost 1 million businesses through the coronavirus business bounce-back loan scheme alone. These 100% loans are guaranteed up to £50,000, with over 80% of them being approved. Does the Minister agree that the Coronavirus Business Interruption Loan Scheme—CBILS—has not been as successful, with less than 50% approvals? However, these loans are still very necessary.
With every pound invested in construction generating £2.92 in value to the UK, according to CBI research, this activity will support economic stability and future growth in the regions across the UK through increased spending and improved productivity for other industries. The construction industry has welcomed the efforts to allow more flexible working hours. Businesses have welcomed the Government’s temporary extensions to planning permission periods and consents.
From speaking to businesses of all sizes across the country, the CBI has a clear vision for the recovery of the UK’s economy, and in a recent letter to the Chancellor, the CBI called for the next wave of government action to support and protect the economy and save jobs. Firms need to know this side of the summer—that is why I am glad that the Government are speeding through this Bill—what government support will be available. The need is immediate and critical. The CBI has put forward ideas to target at-scale action to kick-start growth, support viable businesses and save jobs. These include: to develop schemes to support jobs with a focus on young people and the long-term unemployed; to extend grant support for SMEs via local authorities to save businesses vital to local communities and key supply chains; to extend business rates relief to mid-sized businesses in all sectors to reduce fixed costs for the next three months; to extend the windows for new applications for the CBILS by at least a further three months; to consider further policy measures to stimulate demand in the economy. The restaurant industry, for example, is asking for VAT to be reduced temporarily to 5%. Will the Government consider sectoral VAT reductions?
To conclude, the Secretary of State for Business, Alok Sharma, said in the other place that many businesses have lost revenue as a result of measures intended to halt the spread of Covid-19. He described the purpose of the Bill as being
“to provide an adrenaline boost to key sectors of our economy”,—[Official Report, Commons, 29/6/20; col. 51.]
enabling them to reopen and increase sales as some of the Covid-19 safety measures are relaxed.
My Lords, this is my first opportunity in the House to welcome the noble Lord, Lord Greenhalgh, and I do so very warmly. He comes to us with a wealth of experience from local government, which is in short supply, and he is therefore very well placed to serve.
I support strongly most of what is in the Bill, subject only to the concerns that have rightly been raised about anti-social behaviour, where it looks as if the Government might need to give more reserved powers to local authorities. The problem is not what is in the Bill. I would like, in the short time I have, to raise three issues with the Minister about early action needed in this crisis in respect of matters not in the Bill.
The first is schools. Amazingly, we are opening pubs nationwide before we open schools. The headline in today’s Evening Standard says it all:
“We are leaving a generation of children behind”.
The key requirement now is to ensure that all schools are open for all pupils in September and, where head teachers and governing bodies wish it, they should also have the power to be open for a week or two before the start of term, particularly for years 11 and 13, where pupils face public examinations and may have missed much, if not all, of this term. Legislation giving head teachers and governors the explicit power to open early before September and to require pupil attendance would, I believe, be highly appropriate in the crisis.
Secondly, there is public transport. It is still the case, as I know from using the Jubilee line every morning, that virtually no one is on public transport at the moment. I can assure the House that at 7.30 am this morning at Baker Street, coming into Westminster, I was the only person on the platform and there was only one other person in my carriage. To make public transport safe and to make it appear to be safe, particularly in London and in cities with major commuter flows, we need to go beyond the current mask provisions to introduce staggered working and trading times for the start and end of the working day and give Transport for London and other public authorities the power to enforce them so that people can be reassured that social distancing can be maintained. The problem at the moment is not that there are too many people on public transport but that most people who need to use it will not go near it because they have a perception that it is unsafe. Until we can break that, we will not be able to get back into a virtuous circle.
Thirdly, we need to give a big boost to walking and cycling to work. There are a lot of non-legislative ways that this can be promoted. I set out a dozen measures in an article about this in the Evening Standard last Thursday. I shall highlight two changes where legislation could be helpful: first, to give local authorities the ability to revoke on-street parking on major roads to convert the space into cycle routes and, secondly, to provide that reasonable walking, cycling and running time to work can, for an initial trial period, be counted as part of the working day to encourage people to use these means of getting to work. To do that in the private sector would require legislation, but the Government and, in particular, the NHS could lead by example as employers without legislation by simply saying that they would allow reasonable time for walking, cycling and running to work to be counted as part of the working day, which could be a huge incentive for people to use these means of getting to work. When the Minister replies to the thousands of speakers in this debate, will he say whether he will consider this?
My Lords, I am pleased to be able to support the measures in the Bill. There are so many businesses that are potentially on the edge of a financial precipice and I am sure that, across the House, we want to see them get back to economic viability as soon as possible. I hope that the Bill and the measures contained in it will jump-start those enterprises and sectors. I am pleased that Her Majesty’s Government are being innovative and flexible in their plans for the recovery.
There are a few areas I would like to explore in a little more detail. The Bill has helpful measures for flexibility in planning appeal procedures to enable more use of virtual sessions and to reduce the need for members of the public to travel to appeal examinations. However, I have some concerns. While appreciating the speed with which the Bill needs to be passed in order to maximise the assistance, particularly for those who are financially struggling, there is a lack of consultation on this new legislation. The Minister, who I welcome to his maiden Second Reading debate, said regarding planning that there will be separate legislation, but he will be aware of my continuing concerns that there may be changes to the planning system which relate to environmental matters and are of significant public interest. Can the Government commit to any consultation on any forthcoming changes they may be thinking of making? That would confirm the Government’s ongoing commitment to no lessening of environmental protections for habitats and species.
I am also concerned about the provisions in Clause 16 on the ability to modify construction working hours conditions. Of course these measures are helpful in terms of economic recovery, but there appear to be no restrictions on an authority’s ability to agree to applications made. With the possible changes applying to construction up to 1 April 2021, I have worries about the relaxation of current planning permission conditions restrictions on construction working hours due to nature conservation interests—for example, in relation to disturbance to birds during the harsh times of winter, during their migrations or at the start of next year’s breeding season. Currently, the Bill simply states, in new Section 74B(4) inserted by Clause 16(2), that modifications can be,
“to allow construction activities to be carried out for a longer period on a particular day (which may be the whole of that day)”
or
“to allow construction activities to be carried out for the whole or part of a day on which they would not otherwise be allowed to be carried out.”
There is nothing about a need to check why those restrictions were made in the first place and whether it is appropriate to allow modifications. What steps are the Government taking to ensure that wider environmental issues are not affected by the decision to extend planning permissions? As already mentioned by several speakers, there are worries about the effect of the extension of working hours on residents. I hope that my noble friend can give some reassurance on these issues.
Finally, like many others, I have some concerns around Clause 11. As we have heard, this clause deregulates off-sales under the Licensing Act 2003. The change will automatically allow any premises with an on-sales alcohol licence—bars, pubs, clubs, restaurants et cetera—to sell alcohol for consumption off the premises in open containers for the same hours as for on-sales. I worry that this will encourage drinking in the street into the early hours. I fear that that would increase anti-social behaviour in town and city centres in the late evening and early morning. The images from the weekend, when in some places social distancing was increasingly reduced as the alcohol intake increased, give me real concern. Sadly, drunken and anti-social behaviour is not unusual in some city centres.
The Government say that the police and councils have powers to issue closure notices and that the Bill proposes an expediated review process. However, there are no powers to address the cumulative effect of having many premises in close proximity, and experience shows that these powers do not work effectively. Therefore, will the Minister consider an amendment to Section 11 to limit the deregulation of off-sales to 11 pm? With those comments, I otherwise support the Bill in its response to the current crisis.
My Lords, I want to develop the views of the noble Lord, Lord Randall, on alcohol licensing. There is much to commend in the Bill, but we must try to eradicate the unintended consequences. The principle is right: to mitigate the effects of social distancing by allowing licensed premises to trade on adjacent pavements, to deliver alcohol and to sell alcohol to be taken away to be consumed in another building such as an office or a dwelling. The unintended consequence of the provisions that allow unlicensed premises to act like off-licences is that they would enable those who have already had enough to drink to buy alcohol to take away with them to consume on the street. with the potential for disorder and disruption to local residents.
People travel from miles around to socialise in city centres. I am sure many people will have seen the scenes in and around Old Compton Street in Soho on Saturday night. Although such areas have some premises licensed until 3 am, the London Boroughs of Westminster and Camden are unique in London in having no 24-hour off-licences. In normal times, the rest of Greater London has hundreds, but central London has none. Presumably this is for the sake of local residents. Local authorities want revellers to go home at the end of the night rather than hang around drinking on the streets after the on-licensed premises have closed. If revellers in such locations are allowed to buy alcohol to take away when these late-night premises are about to close, there is a real danger that the disorder that we have seen recently, in which many police officers have been injured, which was caused by illegal street and block parties, could increase. If revellers are allowed to take alcohol with them when they leave when the party closes inside these late-licence premises, they are likely to continue the party outside on the street.
This legislation requires amendment to differentiate between deliveries and takeaway alcohol that are taken to another building for consumption, and street drinking outside the areas covered by pavement licences. At the very least, allowing off-sales of alcohol in open containers should be excluded. People walking down the street with pint glasses full of alcohol is a recipe for disorder and potentially for violence. The image of someone who had a broken beer glass pushed into his face is one I will never forget. Sales should preferably be not only in sealed containers but ideally in a sealed plastic bag, as currently happens with sales of duty-free alcohol in airports. This is done to prevent air rage caused by passengers who drink their duty-free alcohol on the plane rather than waiting, as intended, until they arrive at their destination. The same principle applies here. Everything possible should be done to ensure that alcohol is not consumed until the destination is reached.
At the very least, the Government should consider limiting the extension of off-sales from on-licensed premises to normal licensing hours—say 11 pm. The scenes in Soho over the weekend will have concerned many. Consider what might happen if those present are allowed to buy alcohol at 2:45 am to take away, just before the premises close. I suggest that they are far more likely to stay drinking on the street than to take their alcohol home with them. We must not allow this to happen.
My Lords, the pandemic has severely affected the economy of the country and, of course, caused immense disruption to the lives of people and businesses. I commend the Government for implementing the job retention scheme, providing help for the self-employed and small businesses, and, furthermore, arranging government-backed loans. However, the pandemic affected 75% of the hospitality sector and there has been a 90% reduction in its turnover. In the construction industry, smaller companies have particularly suffered; some 25% of these organisations have paused or ceased trading. I therefore welcome the Bill, which will enable us to trigger the revitalisation of our businesses and help support the well-being of the people. I welcome the provisions that relate to cafés, pubs, restaurants, licensed premises, government-backed loan schemes, vehicle testing, driving licences, construction works and planning permission.
We have more than 130,000 pubs, restaurants and cafes, which employ over 2 million people. They are the lifeblood of our high street; they not only create employment and generate income but enable people to go out and mingle with friends and relatives. I commend these organisations on their ingenuity and for revising their arrangements to comply with social distancing rules. However, I have a slight concern about the safety of the staff; I hope that this is ensured. I worry that allowing premises to have tables and chairs outside may cause nuisance on the pavements and in the neighbourhood. I am also worried about access and passage for blind and disabled people. Allowing licensed premises to make off-sales of alcohol could lead to anti-social behaviour. I ask my noble friend the Minister to comment on the issues that I have raised. Has there been any consultation with disabled and blind groups? Do local authorities have appropriate powers to deal with anti-social behaviour as a result of the changes?
I am pleased to note that there are provisions in the Bill to kick-start the construction industry, which contributes about 9% of our GDP. I understand that there are more than 1,000 unimplemented major residential planning permissions. As we propose to extend planning permissions and listed building consents, it is hoped that the construction industry may be able to build more than 60,000 new homes. As regards staggering the hours for construction work, my concern is that this could create nuisance for the neighbours. Is there a grievance mechanism to deal with complaints where there are disturbances?
I note the easing of requirements for accessing the Government’s bounce-back loan schemes. In this regard, I feel that lenders should have an understanding and compromising attitude to any difficulties with regard to repayments; the customer must be regarded fairly. I ask my noble friend to comment on this point as well.
Local authorities will be involved in putting into practice the provisions set out in the Bill. Do they have the capacity and the right attitude to deal with what is being proposed? They are already under a great deal of pressure. What additional help will be provided to them by central government? Finally, I reiterate that I fully support the Bill.
My Lords, I join in welcoming the Bill. My brief remarks concern Part 1. We are acutely cognisant that the hospitality sector has suffered one of the largest declines in economic output; many restaurants and bars have already gone into liquidation. As the economy starts to reopen, I wholeheartedly support all innovative measures to support the recovery and save jobs while maintaining social distancing measures.
Pavement licences designed to make it easier for premises providing food and drink to serve customers outdoors through the temporary relaxation of planning procedures and alcohol licensing are an excellent initiative. But I share the concerns of many noble Lords about anti-social behaviour and take on board the point made by the noble Lord, Lord Paddick, that it may be a good idea to consider serving alcohol in plastic containers. It is well known that the fear factor, in many cases spurred on by the media, has resulted in many customers being too frightened to return to enclosed restaurants but more comfortable about eating and drinking outdoors. Al fresco dining is to be welcomed in its efforts to support social distancing and provide a means for those who may be anxious about venturing indoors to enjoy themselves in the relative safety of the open air. In my opinion, pavement licences open up a much-needed additional source of revenue to premises that might not otherwise have been able to open because their internal space is too tight.
For residents and others who may be concerned about the free-for-all, the provisions of the Bill are subject to strict regulatory checks and balances, which, in my opinion, provide a robust means of protection, including local consultation. But certainly, I take the point that strict measures need to be implemented against any anti-social behaviour. There is a very real need to enact the provisions of Part 1 as expeditiously as possible so that the beneficiaries of the Bill can make the most of the summer trade.
In summary, as these measures are temporary in nature, I believe that they provide a balanced and innovative approach to assisting the hospitality industry to get back on its feet while ensuring the protection of local residents. To this end, I wholeheartedly support the Second Reading and wish the Bill a speedy progress through your Lordships’ House.
My Lords, for the most part, I certainly welcome the Bill. It is very much a just-in-time Bill and will help deal with immediate pressures but in no way does it offer permanent solutions; these are temporary changes for good reasons. One general point I want to reinforce is that this Bill throws into sharp relief the need for creative, long-term strategic planning for better and safer communities.
The business section of the Bill will certainly help the hospitality sector get back on its feet; it is very welcome. However, as has been alluded to, there is the very real risk of the virus picking up again if social distancing breaks down. It is a very fine balance and there is a great deal at stake, which is why these changes—an avalanche of new and extended applications, which will have to be processed at speed, monitored and, literally, policed—must be got right. They involve costs and demand vigilance but, as we all know, local authorities are barely in a position to take on new burdens. Whatever the Minister says about new funding, it goes nowhere near addressing the huge deficits and even near-bankruptcy that local authorities now face. The Minister quoted the LGA very approvingly, but only partially. It went on to say that this cannot be a job for authorities alone and that
“it is crucial that councils are supported financially”.
I look forward to hearing what the Minister, the noble Earl, Lord Howe, will say in response to the remarks of my noble friend Lord Stevenson. I also want to reinforce the point made by the noble Lord, Lord Blencathra: when there is such a need for consistency as well as speed, why does the Bill provide for statutory guidance but, unusually, no parliamentary process to support and guarantee this?
Regarding the Bill’s clauses on planning, I welcome the extension of planning permission and listed buildings consent, but again, this is just in time. Small construction firms, which have such a big contribution to make, have been the worst hit; almost a quarter of those which employ fewer than 250 people have temporarily paused or ceased trading. I am sorry that the Government failed to listen sooner to the RTPI, which has been calling for extensions since the beginning of the pandemic, and that they have failed until now to heed the warnings of the losses of over 400 residential permissions with a building commitment of 24,000 homes by the end of June. I welcome the additional flexibility being offered to the Planning Inspectorate to decide on different procedures.
Finally, I will make a more general and contextual point. For many small businesses on the high street, struggling to survive against the odds of online shopping and exorbitant business rates, Covid-19 has been the last straw. Despite great spirit and real ingenuity, as I have seen in my own town of Lewes, many shops and enterprises will fail to make it. The noble Lord, Lord Best, spoke powerfully about the need for social housing. This Bill is about the recovery of the high street and town centres. In his recent “new deal” speech, the Prime Minister talked about converting shops and offices in our high streets into housing. Change of use proposals mean that this is already happening. The evidence has been that it results in shoddy, inadequate and expensive housing, exempt from normal standards —in short, building the slums of the future while the high street is dying on its feet. This is no way to rebuild or recover.
Put simply, if we cannot save the vitality and diversity of the high street, we cannot save our towns, and that sits within a wider failure. The Prime Minister derides the whole profession and purpose of planning—newt gathering, as he puts it—but the real villains are the landholders and speculators. Covid-19 has proved beyond doubt that people need space to live safely. We should be using our planners and our local authorities as creatively as possible to build safely and beautifully for the future. We have learned to value community more; now, let us invest in it.
My Lords, I welcome most of the measures in this Bill, which I can see are a necessary step to get the economy moving again. However, I have two concerns. The first has to do with the missing element in these measures, regarding the Government instructing the public to avoid using public transport. We know that private traffic levels have risen sharply since lockdown was eased. However, the use of public transport is very low, as the noble Lord, Lord Adonis, noted—about 16% of normal usage for the London Underground and 33% for buses in London, and less for buses outside London.
This government guidance is clearly a deterrent for people who do not have a car to return to work, yet who are being told not to use public transport, thereby contradicting efforts to get the economy moving again. When will the Government change that guidance to advise people to avoid travelling during peak periods—in order words, to be more flexible in their travel times—rather than not using public transport at all?
My other concern is to do with business bounce-back loans. While I can see and welcome the speed and agility needed to keep SMEs viable during this crisis, I am not sure about the long-term consequences of these measures. The Minister told us in his opening remarks that some £29 billion of overall business lending has been to small business. The lending institutions estimate that about 50% of these businesses are likely to default on the loans. They have been instructed by the Treasury and the British Business Bank that they will have to resort to their normal approach on the collection of the loans. This normal approach does not apply to the granting of the loans, in terms of the due diligence and creditworthiness checks, as would have been normal, and self-certification is the chosen route, along with people’s private assets not being able to be held as collateral. Therefore, we could end up in a situation in which the lending institutions are in what has been described as a toxic relationship with borrowers, which is not a fair creation. They will have to massively scale up their arrears handling, particularly as mortgage holidays will also be unpayable by some borrowers.
What assessment of losses, and the viability of some of these small businesses, underpinned the Government’s modelling of the default rates on these loans, given that the Government, and ultimately the taxpayer, are the lenders of last resort? What conversations are they having with regulators such as the FCA regarding setting up a dispute resolution scheme, as well as the business banking resolution service, to deal with the volumes that may be affected? Have they contemplated setting up a bad bank-type solution to move these loans off the balance sheets of the high street lenders?
I appreciate that perhaps some of these questions are too complex to be dealt with in this Bill, but I pose them because it is increasingly clear that this health emergency will be with us for some time, thus also prolonging the economic downturn. We need to spell out clearly the consequences of the risks for borrowers and lenders, and plan how they will be mitigated in time before many additional businesses are given a false hope that they can carry on a bit longer and all will be well. If hard choices must be made, they should be made with careful regard for what lies ahead.
My Lords, the last time that I spoke in your Lordships’ Chamber was on Monday 16 March. It was a very different experience from speaking here this afternoon. I begin with a plea to all those who have charge of our proceedings: please let us get back to a normal Chamber as soon as possible. It is impossible to hold the Government to account adequately in either a virtual or a hybrid Chamber, and it is crucial that the Government are held to account. I very much hope that, come September, we will be here on a regular and proper basis.
The Bill illustrates the need for this. It has been given broad and general support by every speaker, and I welcome the Minister to his new role. He has an encyclopaedic knowledge of local government and is the man for the job, but it is the man for the job who needs holding to account. I am broadly supportive, but the devil is in the detail, as with everything. My noble friend Lord Blencathra, the noble Lord, Lord Carlile, the noble Baroness, Lady Doocey, and many others, including the noble Lord, Lord Paddick, in what he said about Soho on Saturday night, pointed out that it is crucial that a Bill such as this, temporary as it is, is properly examined, but the most important thing is that it is temporary, and that the new planning Bill has plenty of chance for discussion in your Lordships’ House as well as the other place.
In the little time at my disposal, I will take up the point made by the noble Earl, Lord Clancarty. The noble Baroness, Lady Doocey, talked about tourism, and she was right. It is a vital industry. However, we must remember why the tourists come here. They do not come for our weather or—excellent as it is often is now—our food. It is very important that the hospitality industry survives, but tourists come for our arts and heritage for the most part. Survey after survey illustrates that this is the case.
Like the noble Earl, Lord Clancarty, I greatly welcome the announcement today about the arts and heritage, but I want to trawl through the detail because it is important that we all do that. However, I regret that no mention is made in the Bill of arts and heritage venues, because they are so crucial not just to the encapsulation of our history but in bringing tourists to our shores. We all know that without our historic houses and castles, our cathedrals and our churches, this country would be a much less attractive place to visit. As a deputy high steward of Lincoln Cathedral, one of the greatest cathedrals in the world and one of the triumphs of Gothic architecture, I know the dire straits that buildings of that magnitude are in. Although it will probably not be possible to incorporate this into the Bill now, I hope that we will all look carefully at today’s announcement to make sure that it really does sustain those organisations which it is meant to sustain.
My Lords, I absolutely respect the choices made by others, but one of the reasons that I have travelled to London each week since the beginning of June to attend your Lordships’ Chamber is because I believe very strongly that the Government and Parliament need to lead the country out of peak lockdown with confidence and clarity. That is best done if as many of us as possible are here and present to do so.
I wholeheartedly support almost every measure in the Bill and the purpose behind it. The Government are right to be leading the country out of lockdown and trying to energise our economy again, but I am a little concerned at the pace in the devolved nations, which should be more closely involved. There should be more effort across the four Governments of the United Kingdom to be more co-ordinated in their approach to releasing business activity and moving on from peak lockdown.
In this effort, the Government are in danger of being too inconsistent and lacking in clarity. For example, I cannot understand why we are allowed—and now I think that “encouraged” is the right word—to use aeroplanes and sit next to each other in a confined space while travelling for hours on end, yet people cannot take lifeline ferries to the islands off the west coast of Scotland. I do not understand why people can pack into pubs, not only to stand too close to each other and get drunk but also to use the same toilets and other facilities, but cannot move in a single-file, one-way system at a reasonable level of numbers through our national and local museums and galleries; or use health clubs, which would be a far better use of their time than getting drunk on a Saturday night. I do not understand why people can get their hair cut, as I did on Saturday morning—but if I had wanted to, I could not have gone to a nail bar to have my nails done.
I do not understand the choices that have been made. The Culture Secretary speaking on the “Today” programme this morning showed how difficult that is to explain when he was asked a question about museums and aeroplanes. He did not have an answer. When the Government are not clear and do not show the logic behind the decisions they are announcing, that does not release economic confidence, energy and entrepreneurship; it deflates it, because people remain worried and scared. My plea to the Government when bringing forward this Bill and other measures is this: there needs to be more clarity and consistency in decision-making, so that people feel confident to take the leadership role that they are being shown and thus re-engage with the economy in ways that are absolutely essential.
I am not at all convinced by the idea that we should encourage more off-sales of alcoholic liquor, and I will come back to that during the debates on the specific clauses of the Bill, I am sure. However, while I welcome the Bill and most of the measures in it, I make the plea that not only in Whitehall but also in Holyrood, Cardiff and Belfast, the four Governments of the United Kingdom show more unity and urgency as well as much more clarity and consistency, because that is how the country will respond with the highest degree of positivity.
My Lords, much of this Bill is welcome, but my focus will be only on pavement licences. Some noble Lords have raised the question of alcohol and we have already seen the challenges in urban areas of people even spilling out on to roads and thus endangering themselves and others. I want to take up the issue of smoking in these new spill-out areas, and I thank ASH for its assistance on this. The noble Earl will be extremely familiar with the vital steps taken over the years to reduce the incidence of smoking and smoke-related harms; indeed, he helped in that process. I am glad that last summer the Government announced plans for England to be smoke-free by 2030. They committed to bring forward proposals on this, but a year has passed with no such proposals. The Bill will allow the Government to show that they intend to deliver on that major public health goal.
We know how transformative it has been to have banned smoking in public places. It now seems very unpleasant and strange when we find ourselves in smoky places. Lives are being saved, especially among those who had to work in those environments. However, the ban on smoking inside public places has displaced smokers to using adjacent outdoor areas, which exposes passers-by and those going in, with staff as always worst affected. Encouragingly, people now do not like being exposed to tobacco smoke. When Greater Manchester surveyed its population, over 70% said that they wanted the areas immediately outside public buildings to be smoke-free. Pavement licences will exacerbate the problem as they are designed to make it easier for bars, restaurants and pubs to serve food and drink to customers on the pavement immediately outside their premises. While previously those wishing to avoid second-hand smoke could stay inside, remaining indoors is both more restricted and riskier because of the coronavirus. Clause 5(1) states that
“A pavement licence may be granted by a local authority subject to such conditions as it considers reasonable.”
Local authorities could therefore prohibit smoking on an ad-hoc basis, but so far councils have not taken that up, even in central London where the pavements are crowded and space is limited. For example, Liberal Democrat colleagues who support Westminster City Council’s plan for reopening Westminster’s hospitality sector have called on the council to make outside dining and drinking spaces no-smoking areas, but to no avail. They have launched a petition, which is what has alerted me to this issue. A number of local restaurants would like this provision, but they need the council to take a lead.
We know that smoke-free hospitality venues did not just happen. They required legislation which was supported by the hospitality trade because it set a level playing field. If smoking is not prohibited, these pavement areas will not be family-friendly spaces. Not only customers and staff but neighbouring premises, particularly in crammed urban areas, will be exposed to second-hand smoke. The Government should make smoke-free status a requirement for all pavement licences. It will be easy to do but, if they cannot take such a simple step forward, we will have to doubt their commitment to deliver a smoke-free England by 2030. I hope very much that the noble Earl will help us to take this forward.
My Lords, I will speak to Part 1 of the Bill on pavement licensing, which will significantly reduce the application period—from 28 days to seven—for a business to obtain a licence to place tables, chairs and other items of furniture on the footpath. There are no requirements for the consultation to be accessible to people in the area with sight problems; the only requirement is for a written notice on the premises. If a licensing authority does not respond within the short timeframe, the application is automatically deemed to have been successful and the licence to place furniture on the pavement will be valid for a whole year.
This is a difficult and anxious time for everyone, but, as the noble Baroness, Lady Randerson, pointed out, there are particular challenges for people who are blind or partially sighted, with social distancing measures limiting independence and increasing isolation. Many people with sight problems rely on some form of guiding to navigate different environments, which often involves some physical contact. Social distancing measures make access to this support extremely difficult.
Public attitudes are also an issue. Research from the charity Guide Dogs has found that only 22% of the general public would feel “completely comfortable” offering to help someone with sight problems while social distancing measures were in place. Additionally, instructions on how to maintain a distance, such as one-way systems and floor markings in queues, are entirely visual and largely impossible for people with sight problems to follow independently.
Against this background, the measures in the Bill could see a radical increase in the amount of street clutter and reduce the already limited space on our crowded pavements. The increase in street furniture envisaged in the Bill could force blind and partially sighted people to walk in the road, change their route, avoid travelling independently or even stay at home altogether.
There is an understandable need to allow people to socialise as safely as possible and boost our economy by encouraging spending. However, the unintended consequences of these measures will further damage the confidence of blind and partially sighted people in getting out and about safely and independently. People who use wheelchairs or mobility scooters will also be adversely affected by obstructions on our pavements. Will the Government revisit these measures, extend the consultation period and require applications to be published in accessible formats so that they are open to meaningful local scrutiny?
The proposal to allow applications to be granted automatically should the local licensing authority not respond in time is particularly concerning. Many local authorities are already struggling and, if they are overwhelmed by requests from businesses, the automatic approval process risks allowing hazardous street furniture to be permitted in inappropriate locations.
Under the public sector equality duty, local authorities are required to have due regard to advancing equality, including removing or minimising disadvantages suffered by people due to their protected characteristics. How meaningful is the opportunity given the local authority to carry out this duty if it is essentially overruled and forced to accept applications? I recognise the desire to speed up approval of pavement licences, but this must not come at the cost of the duty to consider the needs of pedestrians with disabilities.
My Lords, I can support many parts of this Bill and reluctantly go along with some other parts, but it is hardly a recipe for economic recovery. I have two main points.
First, I find it bizarre that the first few clauses of the Bill—which is designed to promote rapid and productive economic recovery—are all about ensuring we can all drink more alcohol for longer periods and in more places. Like the noble Lords, Lord Paddick and Lord Randall, and others, I will focus on Clause 11, the late-night drinking aspects and the pavement licensing.
I am not being puritanical about this. I like a pint and have a yearning for café society, but drinkers spilling out on to the pavement in our inner cities, drinking off-sales outside premises that have an on-sales licence—which in central London can be until 2 am, 3 am or even 6 am—will not only cause pedestrians problems but cause serious anti-social behaviour.
The noble Lord, Lord Paddick, outlined the situation in Soho in central London, where Westminster City Council has already given some temporary licences. The Met has had to break up several street parties, engage in arguments with pub staff about the extent of the tables on the pavement and deal with significant cases of drunkenness, disorder and anti-social behaviour. We also have to remember that most public toilets remain closed.
I hope the Government can review Clause 11 in particular and give the local authorities more powers—indeed, more duties—to take measures that will not lead to this kind of effect. I am particularly concerned about the inner cities and the centre of our towns.
My second point relates to the planning provisions. I am afraid that some of them are really designed to fulfil the Prime Minister’s “Build, build, build” mantra without constraint. I accept that we need more housing; indeed, I have long advocated more council housing and affordable housing. I support some of the infra- structure projects, although I feel it is probably the right time to drop HS2, massive road-building programmes and the third runway at Heathrow and use the money for more socially, economically and environmentally desirable expenditures.
On housing, it should not be just a question of numbers of new dwellings. Developers, big builders and the tax system are combining to encourage demolishing buildings where refurbishment, in particular for energy-efficiency purposes, would be a better option. Developers are using new developments to blight neighbourhoods where buildings really need to be in keeping with the surroundings and the natural environment.
The Prime Minister’s reported aversion to the planning system’s alleged tenderness for endangered newts seems to apply to almost all protection of wildlife and biodiversity in planning. It is in contrast to his support for inebriated newts in the first part of the Bill.
This is inevitably a rushed Bill, but in some respects it is also an ill-thought-out Bill that will have negative effects on the quality of life in some of our cities and towns and on the quality of our countryside. Parts of this Bill need a serious rethink and, in the limited time we have, only the Lords proceedings can press the Government to deliver that.
My Lords, I should declare that for 10 years I was the chief executive of the Beer & Pub Association, so I have had some experience in dealing with the Licensing Act 2003, when many of the points raised today were raised then. I will just touch on one or two points made previously and will come back to Soho in a second. Bournemouth, Broad- stairs, the assaults on police in parts of London and Manchester, et cetera, happened before pubs were reopened, so there are other factors at play. We have to address those as well as the issues genuinely raised today.
I share the concern of the noble Lord, Lord McConnell, about clarity, but it is clearly difficult to get it right when you are dealing with so many varieties of hospitality industry. I am pleased with some of the variations from one sector to another made recently in guidance—for example, in the use of toilet facilities and the like. As the noble Lord, Lord McConnell, said, there are clearly still inherent contradictions that have to be addressed, but it is worth noting that the Government are making steps along that route.
The noble Baroness, Lady Wilcox, made reference to the arcane or archaic—I am using my words, not hers—Licensing Act. In fact, the Licensing Act was passed in 2003 and local authorities have policies between seven and 41 pages long that give guidance from which pubs, pub companies and restaurant companies need to operate.
However, I have serious sympathy for the problems relating to the blind, the partially sighted, the physically disabled who need wheelchairs, and the like. Again, I declare an interest in that I suffer from an MS-related illness and on Friday I was partially sighted for a period. I said earlier that we should look at what happened before licensed premises were open. The noble Lord, Lord Kennedy, knows Urlwin Street and Grosvenor Terrace only too well; they are roads close to where he grew up. It is not just the licensed industry that causes these problems. You cannot get a wheelchair down either of those streets, because of the street furniture placed there by the local council. So let us not address all the problems to at the hospitality industry. We need to be honest enough to look more widely.
I will comment on one or two aspects when we debate the Bill next week, but I draw Members’ attention to Clause 4, headed “Duration”. We are talking about introducing not rights that will last for a long period but powers for a specific period in these circumstances for the coronavirus crisis.
I have two small issues—or perhaps not so small. One is TENs, which we will return to and is a matter of intense detail and concern for small brewers. The other is the definition of “groups” in relation to hostels and the hospitality industry. People are allowed to go as two groups, but the definition we have in this country does not apply anywhere else in Europe. If four people turn up in a car or come by train together, they have travelled together. Therefore, they ought to be able to stay in a hostel. I will address these issues in greater detail when we debate the Bill, but I hope that I have raised a few small points for the Government to consider.
My Lords, I have heard a lot of the debate, and a lot of the issues that I was going to raise have been dealt with already, so I will just mention them in passing. I will also take a moment to contradict noble Lords who have said that we need to get back into the Chamber as soon as possible. Quite honestly, many of us enjoy remote working and do not want to experience disease and death. We are happy with the way things are. I understand that this might change, but we have to learn to adapt. The lack of democracy and holding our Government to account comes not from the fact that we are remote but from the fact that we are being ruled by ministerial diktat at the moment. Again and again, laws are passed that could have been brought before Parliament to be properly scrutinised but were not.
This Bill is being pushed through very fast as emergency legislation, so there really is not much time to scrutinise it. I will come back to these issues at a later stage. I will be focusing on a few specific issues. Road safety is incredibly important. We have to bear that in mind when we talk about the use of pavements. Walking and cycling are extremely important. If we are to have a continental-style cafe culture, with beautifully arranged tables and street dining, we have to ensure that these places are safe and accessible. We do not want to impose disabilities on people. We should make sure that everybody has access to these spaces.
I will also mention environmental issues. The Prime Minister’s comments about newts were absolutely baseless and rather lowered the tone of the whole debate. We have to think about environmental issues when it comes to business and planning.
I have not heard community land trusts being mentioned. I would like the Government to do a little bit of research on this. Community land trusts enable communities to create the sort of housing that they want in their area, with the big advantage that it would be affordable houses that stay affordable in perpetuity. Unlike affordable houses built by councils, which can then be sold at the market rate the first time they change hands, community land trusts hold the houses for ever and allow them to be affordable to local people.
The last issue I will raise is provision of adequate toilet facilities. So many businesses have closed and, even when they are open, many are not allowing people to use their facilities. There could be real problems, especially with people drinking so much. I urge the Government to think about public toilets. Somehow in this century we do not like using them and we do not have many of them anymore. That is really something that we should consider.
My Lords, I declare my interest as a vice-president of the Local Government Association. I knew that there would be many speakers and much said, so I will confine my comments to just three quite small but specific aspects of the Bill.
First, the term “local authority”, as used in the Bill, gives the role and responsibility for these now infamous pavement licences to district councils. In two-tier areas this is often the responsibility of the county council, which is the highways authority. While some, such as my former authority, have agreements in place where the county has devolved this function to district councils, for many this is new ground. They have to try to introduce a whole new function very quickly. While they clearly have the best local knowledge, they do not have the policies, the application forms or the processes to do this—and, as we have heard, their capacity has been much diminished. Would it therefore be possible for the Bill to allow all local authorities to administer these licences, enabling local agreements for county or district councils to carry out this function, depending on what suits them best, instead of a default solely to district councils?
Secondly, as my noble friend Lord Paddick articulated very well, things go wrong—we have seen that they surely do. There is a summary review power in the Bill. This, plus existing legislation, ought to give the police and councils sufficient powers to act should problems arise—but I am not confident about this, and I will flag up a reason that I believe warrants further exploration.
In my experience of working in partnership to tame a town centre described by a tabloid as “Ibiza on acid”, the real issue is what has come to be known as the cumulative impact problem, where there are several licensed premises within a compact area. The way the legislation is framed—this Bill is framed the same way—makes it difficult to use available powers to the desired effect. The whole process of reviewing the licence or pursuing a closure under anti-social behaviour legislation is predicated on proving that an individual premise is responsible for the anti-social behaviour, which, as we have heard from many noble Lords, often takes place outside in the street much later on. In my experience, the reality is that reviews often do not happen because of the difficulty of proving that the specific nuisance comes from specific premises. Yet the areas where there have been serious issues in recent days have been, in the main, exactly these sorts of areas. As we have heard from several noble Lords, Clause 11 will exacerbate this problem, so I am not reassured by the summary review power.
Finally, there are some legal uncertainties about whether the regulations in the Coronavirus Act that allow local authorities to hold decision-making meetings remotely until May 2021 preclude council meetings, including licensing hearings and planning meetings, being heard physically if they so wish and can do so safely. Some clarity is sought. Similarly, as mentioned by my noble friend Lady Kramer, the mayoral development corporations, Transport for London and others were not included in the definition of a local authority in either the enabling provisions or the subsequent regulations. They therefore cannot hold meetings remotely, which they might wish to do—in fact, urgently need to do as backlogs mount up. These are small but significant issues that I hope can be amended and clarified during the passage of the Bill, which I support.
My Lords, I am grateful for the opportunity to speak in this debate. In the short time available, I will cover two issues that concern me. The first is to do with roads, driver licensing and related matters, covered by Clauses 12 to 15, and the second is about a minor relaxation of the licensing laws.
Many noble Lords have spoken of their concern about the continuing suspension of the need for licensing or medical checks, where required. We have seen a lot of press reports recently that doctors’ surgeries are not full, because people are keeping away. We do not know why that is, but I would like some evidence from the Minister that the surgeries, or wherever else these tests are done, are not capable of meeting the demands of the industry for updates of medical and other tests of drivers—particularly drivers of passenger service and heavy goods vehicles. These are safety regulations, which I hope will save lives as required, alongside the coronavirus requirements.
As one noble Baroness said, it is odd that we seem to be making roads less safe, by not requiring people to keep up their licences and medical tests, while at the same time encouraging people to drive cars more and not use public transport. The latest figure from the railways is that only 11% of pre-coronavirus passenger numbers are now travelling, so there is a long way to go.
My other issue relates to the licensing of small breweries. It may seem a small point, but one of the joys over the last few years has been having a massive variety of beers to buy in cafes, restaurants or wherever, whether on the pavement or inside. One group of breweries is unable to operate at the moment, because about one in four currently have no way to sell their products directly to the public. Some of the small ones have seen their sales reduced by 60% to 80% because of Covid, but have not received the same level of financial support as pubs and other parts of the hospitality sector. Many have been mothballed. Of course, they want access to the market before the end of the summer.
Some do not have a premises licence, and therefore cannot offer takeaway services or deliver to the public. They all have temporary events notices to offer limited services, but these are limited in time and number. They are all registered with HMRC under the Alcohol Wholesaler Registration Scheme. I would be pleased to hear the Minister’s comments on this. I am proposing one or two amendments to the Bill to allow breweries that cannot sell directly to the public to do so temporarily. I hope that gets some comment from the Minister, when he winds up.
My Lords, at this stage in the debate, much of what I might have said has already been said eloquently, but I will focus on the working-hours provisions for a moment. They provide an illustration of the tensions between the laudable objectives of the Bill and its consequences. Noble Lords are aware that the legislation gives an authority the power to approve, refuse or amend an application for variation of hours, but it cannot do any of these without investigation. Investigation will impose additional administrative burdens on planning authorities, many of which are ill-equipped to fulfil that responsibility. That will particularly be the case in areas of high activity and construction.
Noble Lords will know from experiences elsewhere that working hours are always controversial because of their impact on amenity. When the public realise that the proposed legislation carries with it the possibility of an extension to cover a whole day, perhaps that controversy will be even greater. In the circumstances, proper account must be taken of public objection to any application. Proper opportunity must be made to ensure that that objection can be put before the local authority. As pointed out by the noble Baroness, Lady Randerson, proper notice must be given so that the public are aware of precisely what is proposed. All of this is to be achieved within 14 days of the application for extension being received by the local authority. Is there not a risk that a planning authority, inundated with multiple applications, will give little weight to public amenity or, in the worst case, simply ignore it? It may even take refuge in the deemed grant provisions, all at the expense of public amenity.
When one is considering the impact of the issue of hours, is it not right to consider that the same local authority may be, in relation to planning permission extensions or outlying planning permissions extensions, already engaged in responding to the responsibilities that the legislation imposes? It might be 28 days, but that is still a colossal burden in many circumstances. Even the most well-intentioned local authorities may find themselves having to accept damage to amenity that they would not normally support, except that they find themselves compelled to do so because of the terms of this legislation. I believe we should make it clear to the public that, sometimes, in this particular balance, the amenity of the public will have to take second place.
Let me finish with this. I understand the need for the hybrid powers now being offered to the Planning Inspectorate. When I first read about this, I found a commentary which said that such powers would allow it to do its work quickly and efficiently. In an area where the public has an interest, the words “quickly and efficiently” should always raise a red flag. It will be important to ensure that public participation is not in any way prejudiced by the exercise of these hybrid powers.
My Lords, I welcome this Bill, which paves the way towards economic recovery post Covid-19. I support the points on smoking made by the noble Baroness, Lady Northover; that is very important for the comfort of customers and others surrounding them.
The Bill provides the opportunity to modernise and enhance our high streets’ commercial activities, to lift many planning activities into the modern age, and to promote new job-creating construction schemes. Although the briefing notes state that the measures in the Bill to address these many issues will be temporary, I suggest to your Lordships that some should be looked at as providing a more permanent solution to the woes experienced on high streets currently.
Those woes cannot be blamed simply on the effects of the pandemic. Our high streets have been steadily declining for years, with the advent of out-of-town shopping facilities and the internet. How easy it is to sit at home and order something from eBay or Amazon or such like and have it delivered to your door the following day—and you do not have to go into town or try to find a parking space. How can the high street compete with that?
For a long while, many of us who live in rural communities have been concerned at the demise of the high street in our rural towns. I live near Ashbourne in Derbyshire. The town is described as the gateway to the Peak District, which indeed it is, and therefore the gateway to a most popular tourist destination of outstanding natural beauty. The traffic flow through the town is vast; it comprises not just tourists, visiting the peaks with their bikes and caravans, but, as a main route in and out of a major quarrying and mineral-producing region and a vibrant agricultural region, includes quantities of large lorries and agricultural machinery, and leaves the town gridlocked, especially in the spring and summer months.
Who suffers? The street cafes, the local traders and the public houses—all small businesses. Car parks are expensive and full to overflowing. Industry, whose trucks have to go through the town, suffers considerable financial loss through long delays. A bypass to the town has been talked about for many years, and the Bill might just provide an opportunity to get those plans going again. I really hope this happens.
The Derbyshire Dales District Council has done a great job in the past couple of weeks in Ashbourne in converting the streets and pavements to be social-distancing friendly. The measures which will be enabled by the Bill might just help rural towns such as Ashbourne, where tourism, local hospitality and quality small shops are key, to pick themselves up and move forward to a brighter future.
Finally, the bounce-back loan initiative has been extremely helpful to many small firms—it is a lifeline on which I congratulate my right honourable friend Mr Sunak. However, and to their great detriment, some of the big four banks have been absolutely abysmal in their handling of applications. For example, on 5 May, the small business of which I am a director applied to HSBC to open a feeder account, with a view to applying to the BBLS. Despite phone calls, the bank has yet to respond, and we are now heading towards the middle of July. In mid-June, the company applied to Clydesdale and Yorkshire Bank to open a new business account, and then applied for the loan. Within two weeks, the whole process was successfully concluded—Barclays Bank did not even answer the telephone. Will my noble friend tell me what percentage of BBLS applications have not been processed in time and what percentage have been declined?
I very much welcome the Bill and wish it a speedy passage.
My Lords, I support the overall aim of the Bill, which seeks to put in place measures to help businesses recover from the hit they have taken during the lockdown, to help protect jobs and return to healthy trading, and to make the most of the summer months. These are measures I support. Today I will restrict my comments to pavement licences and the off-premises sale of alcohol.
With over 47,000 pubs in the UK and a high concentration of them in our cities—there are, for example, in excess of 1,300 pubs in one London borough —many local authorities are expected to process a huge number of applications in a short space of time, publicise them, consult the public, consider their responses and provide ongoing monitoring and enforcement of the pavement licence. Can the Minister give confidence today to local authorities, which are already stretched thin financially, that they will be given the resources they need to deliver this new set of responsibilities?
Many local authorities are already facilitating the greater use of outside space by pubs and restaurants. For example, Brent Council has already agreed to extend the outdoor seating capacity at Wembley Park. The Liverpool Without Walls project, from the city council and the Liverpool business improvement district, is re-imagining the city with outdoor seating, road closures and pop-up parks. These examples are sensible plans to provide additional flexibility for businesses looking to welcome customers to eat and drink as safely as possible. The proposed pavement licences are therefore an economic opportunity for many and, in general, should be welcomed—but it should be acknowledged that they might also be a potential nuisance for local residents. The Government must get the balance right. The new streamlined and quick approach to securing a pavement licence is currently skewed towards businesses. The Government should give equal weight to the public’s view on any proposed licence.
Pubs are invariably in residential areas, which is why some licence conditions allow for on-street drinking but only up to a certain time of night. It is usually 9:30 pm, especially in midweek. We have already seen residents suffering in some areas. Drinking has been banned in London Fields after weeks of public urination and littering—across the green space and in people’s doorways. Seven days, which is in effect five working days, is too short a time for public consultation without additional proactive measures for community engagement. What more do the Government think that they can do to ensure that local residents are aware of new licence applications?
The more that can be done to get the licence conditions right in the first place, the better it will be for residents and council enforcement officers. That is why I am particularly concerned about the default position that a licence is deemed agreed after 10 working days, should there be no response from the local authority. Does the Minister think that this default position is as fair to local residents as it is to the applicant?
The Government must also be clear on how the new licensing requirements will be monitored and enforced. The local authority will undoubtedly have to provide extra street cleaning and deal with more noise complaints, so does the Minister believe that the £100 figure meets the extra cost burden placed on local government? How was that figure calculated? I understand the need to keep cost low for applicants—these measures are, after all, designed to stabilise their businesses—but should the Government not ensure that they cover the full cost to local government for the scheme? In addition, does he believe that litter clearing should be a condition of the licence, as it is with many fast-food restaurants?
Finally, I turn to the proposal for off-the-premises sales of alcohol. What is the reason for turning pubs into late-night off-licences, which will increase street drinking way into the night? Again, is this fair to local residents?
In conclusion, I support these measures, but I want to see the Government rebalance the economic consideration with the impact on local residents as regards pavement licences and off-premises sales of alcohol. I look forward to the Minister’s reply.
I first draw attention to my entry in the register.
My Lords, this is a timely and welcome Bill, but I believe that it could go further, as I shall explain. Whether or not we see further high tides of Covid-19 is in the hands of powers higher even than my noble friends the Ministers, but I am sure it is right that we should now focus our energies upon economic recovery and retrenchment. That is the vital principle behind the Bill. It understandably singles out hospitality as having suffered grievously during the pandemic and lockdown, along with construction. But other sectors, too, are in the direst jeopardy: perhaps most notably, live music-making and theatre.
Like many other noble Lords, I had always planned to raise concerns about the creative arts today, and I warmly welcome the Government’s support package. I still fear, however, that an opportunity has been missed by not including live performance in the Bill. Theatre and music-making come in many shapes, forms and sizes. Many of our so-called crown jewels, such as the Royal National Theatre, the Royal Albert Hall and the Southbank Centre, will no doubt receive substantial support from the new government fund. I am all for that, but I hope the beneficence trickles a little further down, too. For those vast edifices of great renown are built ultimately on the foundations of smaller venues such as rooms above pubs and found spaces, and innovative, often tiny, production companies at fringe venues across the land and in the vital ecosystem of off-West End, which even boasts its own prestigious awards. So too are the television and film industries, which have done so much to sustain morale during the darkest days of lockdown. Many thousands of our finest creative talents work freelance. Getting much-needed help to them must also be an urgent, if challenging, priority.
Elsewhere in Europe, the arts are emerging from pandemic hibernation, combining live performance with social distancing. It is not ideal, but it keeps the flame alight. One obvious way for the performing arts to re-emerge with minimal risk during these clement summer months is by working outside. This Bill will allow pubs to expand into the great outdoors. Why are theatre companies not permitted to do the same? The Bill seems silent on the matter.
The man who led us through our last national crisis on this scale was, of course, Sir Winston Churchill—much admired by our current Prime Minister. In 1938, Churchill said:
“The arts are essential to any complete national life. The State owes it to itself to sustain and encourage them.”
It is also said that, when a cut in the arts budget was mooted to help the war effort, he refused and asked,
“What, then, are we fighting for?”
What we are fighting for today, once again, is not just our economy but our way of life—a way of life that must surely restore and retain the energy, inspiration and vivid diversity of the performing arts at its very heart.
My Lords, it was at the beginning of March, in my capacity as chairman of the Cumbria Local Enterprise Partnership, that I spoke to your Lordships about our actions and responses to the Covid-19 plague as it was then affecting the county. I would like to touch on this again now. On that occasion, I said that the problem was simple: cash was running out and it was more cash that was needed—not next year, not next week, but now. It is as true today as it was three months ago. There is nothing remarkable about this view, but it is true, and it is to the Government’s credit, despite some mixed messaging on the way, that they have grasped that point, and hence we have this Bill. It is equally to all the opposition parties’ credit that they have also done so.
I believe it is a good metaphor for our national predicament to say that we are in a national shipwreck. The boat is badly damaged, but it is still afloat. We now have to get it to port, get it repaired and set sail again. This, of course, requires a different set of measures from those that, at the start of the year, were normal. We now have to crank up the economy and do it quickly, not least—as the Minister said in his opening remarks—in respect of hospitality, business and the visitor economy and associated activities, which are so important in Cumbria. If we can find a way of keeping the weather good, that would equally be a help. However, we are going to have to accept that in the next few months, it is not going to be business as usual, and we have to do our best to help those most affected survive the storm they are experiencing.
I have had an involvement with planning for much of my working life, and I believe we have to have a planning system, not because I believe in a command economy, but because, on a densely populated small island in a very complicated world, the rest of us are entitled to be protected from the excesses of selfishness, greed, thoughtlessness and philistinism. It is not the principle but the way the system has worked that has on occasions been problematic.
One aspect of the economy that this crisis has highlighted is the role of debt. Everything works well when things go well, but when things go wrong and start unravelling, as they sometimes do, it often happens very quickly. Those who lend money like to get it back. We must not, I believe, be too clever by half in our approach to bringing our economy back from this mess. Those businesses that survived the crisis must not be killed by the cure. Business—which, after all, is the source of jobs and prosperity—does all kinds of things, some of them a bit eccentric, many of them in a rather idiosyncratic way. However, commercial resilience and sustainability depend upon adequate levels of working capital and reserves. They need to be cherished.
Having said all that, there can be little doubt that this Bill, with its temporary measures, is something we should generally support at this point in our history. The immediate economic imperative must be to get our economy back working again.
My Lords, I begin by saying how strongly I support my noble friend Lord Cormack. Until we get back to a proper House, we are not going to be able to do a proper job. I want to speak about Part 1 of the Bill. It takes me back almost 20 years to the Bill introduced by Tessa Jowell and Tony Blair, who were going to build a café economy. Unfortunately, their idea of a café economy was based on having a kir royale in the south of France, whereas the reality was drunkenness in provincial towns in Britain. My wife spent four years as a local councillor trying to undo a lot of the damage of that Bill.
I am not sure whether or not I welcome the Bill, frankly. It assumes that people will go back in great numbers to restaurants. I do not think that is going to be the case; I think the drift back to restaurants will be quite gradual. I live in Cambridge; last Saturday the lockdown ended and I walked into the city, where there was no evidence that social distancing was being respected. The pubs were not absolutely crowded and there was no violence, but there was certainly no over- crowding in them either. They were pleasantly full—with people, as I say, ignoring social distancing. In short, I do not think that people will go back.
I would like to see—and I endorse what my noble friend Lord Blencathra, the noble Lord, Lord Low, and others have said about—rules on pavements. Wheelchairs and buggies must be able to get past without impediment. It should not be the case that people have to carefully move aside. That is point one. I would like that to be a part of all the applications.
I also endorse what the noble Baroness, Lady Northover, said. I think there should be a premium on there normally not being smoking outdoors, rather than the other way around. Otherwise, you will be saying to all the people who do not smoke, “If you choose to sit outside, you will be in a smoking zone.” I do not think they should be; it should be the other way around.
I have a small technical question for the Minister, which he may wish to return to next week or in writing. I live on the edge of a cumulative impact zone. We have a huge number of licensed premises and we also have a number of charity shops. Will the licensed premises —the cafés, restaurants and shops—be able to do a deal with the charity shop next door to extend over their pavement space? I can think of at least three charity shops on the main street near us that are next door to licensed premises. We need to be clear about that.
Secondly, I would like to see a deal with pubs on residential streets. Two of the streets running parallel to the road I live on have a pub on them. There are already problems with people spilling on to the pavements; what is going to be done about that?
Thirdly, I think that the whole legislation is in favour of the restaurants and the licensed premises. Local people need far more say, far more information and far greater opportunities to protest. I want to see what the powers will be, first, of the police to object and, secondly, of people to object. How are hearings going to be held? I fear that we are rushing to judgment, we are rushing into a new system, and we are going to legislate in haste and repent at leisure.
My Lords, I was drawn to this Bill when somebody pointed out there may be an error—or, rather, an omission—in the way the licensed premises are designed. If I read it correctly—the advantage of being elderly and long-sighted is that you actually can read when you are looking down at something—this is that premises licences are what we are talking about. Club premises licences, which most sports and social clubs have, do not seem to be in the mix. This means that a bar in a sports or social club, which is the main driver of this hub of social activity—or at least the financial driver that ensures what is going on—may well be excluded.
I ask—and we have two Ministers here, which is the advantage of being in the Chamber—if we have got this wrong, that is great, but could they let us know? If this is an error, can it be changed? We have the whole of Committee to go through and it is a small change. Can we make sure it is addressed? I see one Minister nodding and one looking concerned about looking at this to check it. I think we have all just scored a point in favour of having a physical House where you can interact, as opposed to having merely an exchange of monologues.
However, if we have that going, can we have a look at this? Sports clubs and so on are so important and are such an important deliverer, and this is how most of them are financed. It is an important factor. Can we check that and make sure that we get it right? If we do not, we will damage one of those bits of society which is already taking a pounding. Cricket has come back, but will we generate enough money for the juniors next year and for the season that is left? If there is ever a sport that is last back, it will be rugby union—why did I choose to play that sport all my life? Football, rugby league, hockey—anything that requires contact—will be slow to come back. If their bars are not working or not working at capacity, they will have another problem.
There are all sorts of schemes and you can bandy around the monetary figures, but if you have not made sure that they can sustain themselves in the way they did before, you will make a bigger problem for yourself, you will create holes in social provision, and you will miss out on something that is done by society for itself—the state has only to make sure that they can carry on functioning, not much more. I would have thought that the Liberal/Tory traditions could join in with that, and I am quite sure that the Labour Benches have no objection to it either. Can we make sure that that actually happens, have a look at this and make sure that it goes through?
Lastly, I do not know how many hours I have spent in this Chamber over the years talking about disability access. The noble Lord, Lord Balfe, beat me to this. A buggy—it used to be called a pram—and a wheelchair usually require similar accessibility aspects. You will be making it easier for everyone if you make sure that the pavement is accessible for a person with either one of those two things, let alone luggage on wheels, which have now joined them. Make sure that the access is there, and you may well address many of the problems here. It is not the perfect solution, but it could be better by addressing and making sure that, if you have got it wrong, you change it, and if you have got it right, let people know.
I call the noble Lord, Lord McNicol of West Kilbride. No? I call the noble Lord, Lord Wei.
My Lords, I declare my interests on the register. Broadly, I add my voice to those of other noble Lords who have spoken in support of these measures, which are necessary given the need to get the economy rolling in the coming months. There is an opportunity this summer, as more will be staycationing in the UK, to ensure that our local traders take back some of the losses that we have seen over the spring—I will focus more on the retail side of things in my speech. In fact, one of the projects that I am engaging with at the moment is with a town in the Midlands—I will not name it just yet. We are actively exploring some of the more innovative things we can do to help the high street rebound, helping shops, restaurants, pubs, and so forth. These measures are welcome in light of enabling our citizens to come back and consume, drink and, essentially, socialise once more.
At the moment, the measures are quite limited to the responsibility of each individual pub or establishment to set out, for example, tables and chairs outside their area, and generally it is where permission has already been given or there is some kind of precedent. Some of the more innovative things we could do could involve councils doing things such as shutting down entire streets to traffic and opening up sections in the middle of streets, as we have seen in Scandinavia and elsewhere in the world, so that multiple restaurants can serve customers, who then take their food from the restaurants and eat it in the town square. Can the Minister say whether these rules intend to cover and make provision for those kinds of situations—shared eating spaces, if you like, perhaps even cordoned off so that people can meet in their support hubs? What provision is there for that within this thinking, or is this merely just for the case where there is space available outside for that establishment, which it then looks to take control over and open out into?
Another area we are seeing innovation in is drive-throughs—we are seeing an explosion of drive-through cinema. What provision is being made in any of this to enable drive-through facilities to fit in and be fast-tracked?
Finally, I will touch on the beginning of an idea, which is possibly not appropriate for this legislation but may be. It could be that what we do today, even though it is emergency and temporary, can set the scene for longer-term changes. Given that the high street was struggling massively already before Covid, one thought to be potentially explored is whether you could give free empty shop space or space that had previously been restaurant space and so on, but on the basis that the council, the landlord or whoever is facilitating that could share royalties with the pub owner or the retailer, not just for any physical sales that happened there but for any online sales when they receive whatever support they get. They would therefore start to work in partnership with the business concerned to help it, not just to sell physically in the street but online as well. I know that this is very much about this physical streetscape, but moving forward we need to craft laws and measures that support the increasingly blended nature of businesses, whether they are pubs or other businesses, given that we will all have to check who is coming in and make appointments using apps and the internet. Can the Minister say whether any ideas around that are being explored or whether this is purely just to address the immediate, short-term nature of things?
My Lords, I cautiously welcome much of what is in the Bill, which is a valid attempt to restore the economy in the most adverse of conditions. However, what I have to say today, which is genuinely supportive, should not be taken as support for the Government’s wider approach to handling the pandemic, which has been a disaster, with delayed decisions undoubtedly costing thousands of lives—although that is an argument for another day.
The Bill has been broadly welcomed in the Lake District, an area on which I will concentrate my remarks. A guest house owner in Keswick in the front line put it this way on the bounce-back loan scheme amendments:
“We have taken advantage of this and it was a relatively painless exercise. We also took the £10,000 grant, the SEISS grant, and a short mortgage holiday.”
On the exemption for public service vehicles, the owner stated:
“This helps us by ensuring availability of goods and services.”
They then went on to welcome the pavement licencing and outdoor seating arrangements. Generally, there has been a good welcome for this in the Lake District. Another Keswick businessman, local councillor Tony Lywood, put it this way:
“We are all over it. Many businesses in the town are now near the edge of bankruptcy, and this bill is very timely and welcome.”
However, concern was expressed by one Keswick hotelier, who referred to guidance notes being provided by UKHospitality. Its advice is therefore important. While I need to express a little concern about its absence of comment on the issue of voids and vending, and perhaps a little vagueness on cleaning product usage, conversely, I have to recognise that it does not have the power to instruct or enforce. I know that we cannot define all these matters in the law, but the work of government should go hand in hand with the recommendations of the trade associations, where the Government seek compliance with safety requirements in the public interest. It may well be that the Government should consider enshrining in the law some aspects of UKHospitality’s excellent guidance notes, if only to ensure a greater level of compliance, particularly in areas where slack trade practices could dilute government efforts in dealing with the pandemic.
UKHospitality should be asked for its legislative recommendations; then we can pursue them in Committee. For example, its document states that
“failing to put in place … measures to manage the risk of COVID-19, could constitute a breach of health and safety law.”
Why not remove the element of doubt enshrined in “could”? I am sure there are probably many areas in the hospitality code which, if enshrined in law, could make all the difference.
Finally, I am concerned that a second phase of the virus could completely undermine the sacrifices already made by UK business. The law should reflect such concerns. That is all I need to say at this stage.
My Lords, I draw attention to my interests in the register as chair of the Cambridgeshire Development Forum. I welcome this Bill; I also welcome my noble friend Lord Greenhalgh to his first legislative responsibilities—I hope he enjoys them.
I will talk about the element of Part 3 relating to planning—not the very welcome ability to extend construction working hours; I think local authorities had the ability to do this, but the legislation will equip and encourage them to do so on a much more uniform basis for the benefit of the industry, to keep it moving. I will talk principally about Clauses 17 and 18. If you imagine development as a pipeline of activity, the industry has lost time in it; that time was not intended to be lost under the Government’s guidance, but in practice most businesses and developers were off-site by late March and back on-site only in late June. Clauses 17 and 18 are essentially constructed around the proposition that three months were lost and that, therefore, three months must be added to the pipeline, hence the end of the December has been replaced by 1 April.
Although there is a balance to be struck between keeping development moving and allowing for the delays experienced by the industry, I think three months is insufficient for two reasons. First, when the industry has got back to work, it has not been at 100% capacity. To start off with, it was at 50%; some housebuilders had supply-chain problems; even on Friday, a number with which I checked were operating, at best, at 80% capacity. Additional time will be lost between now and the end of the year. Secondly, the three months lost were April, May and June. The three months added are January, February and March. It is obvious that these are not the best months in which to undertake and commence activity on-site in the building industry. I will come back to this in Committee, but will the Government recognise at this stage that more than three months of additional time must be inserted into the Bill?
Also, why do we have such a wide-ranging requirement for “additional environmental approval”? As things stand, all planning permissions which have expired between 23 March and probably the end of August will require additional environmental approval from local authorities to be extended or revived. That is too much. The industry will feel that it has been promised an extension that turns out to be no more than the ability to apply through a new process with its local authority. More should be done. I will question that in Committee.
Finally, on Clause 20, I share my noble friend Lord Young of Cookham’s desire to reinvigorate the process of enacting the reforms in the Rosewell review and getting the Planning Inspectorate’s time for appeals down. It had come down to about 22 weeks; we need to get it down to that and below. We also have to look hard at what these delays are leading to for local plans. There are many reasons for the delays to local plans—it is not just the Covid-19 crisis—but having so many is not good enough in a plan-led system. It is progressively making development more and more difficult.
My Lords, I welcome the Bill and will speak about pavement licences and bounce-back loans. I declare a non-financial interest: my brother owns a pub. Many in the pub trade are counting on the Bill to enable them to trade viably, and it is a pity that it did not come along faster. It will be mid-August, and a lot of summer gone, before pavement licences are issued. There are big differences between locations and what can and cannot work reasonably. There are more spaces than pavements that could adapt to temporary conversion for outside hospitality use, including areas within the boundaries of properties but not under the licence.
Last week, I did a pre-opening pub crawl, speaking to landlords and looking at the range of preparations. Surprisingly few in my area would benefit from a pavement licence. For some, there was no space on the pavement; for others, there was no need due to gardens; elsewhere it would be in the way for queuing and one-way access. What was clearly of more benefit was repurposing space, such as putting a few tables in part of the car park. It would surely make sense to accelerate licence variations on outside areas belonging to the property in the same way as for pavement licences, and I intend to table an amendment on that for Committee. Would the Minster also advise on the scope of wording in Clause 1(4)(b), which seems very wide:
“food or drink for consumption on or off the premises”?
That seems to cover any food selling, such as supermarkets. Is that intended and is it helping the hospitality industry?
Turning to the bounce-back loans and the disapplication of the CCA, I am concerned whether it is right to disapply all court interventions in Section 140B. I understand that banks have been asked not to apply the usual due diligence concerning affordability, but Section 140B covers more than affordability and relates generally to abuse of power. Why should that be disapplied? These loans last for six years and, during that time, it will be possible for the lender to engage in heavy tactics. Even though the loan is guaranteed by the Government, that does not prevent it being a pawn in other financial arrangements. I would be happier if the disapplication related only to refunds for unaffordability.
Neither should there be reach-across between the loan and other financial arrangements with the lender, such as including it in triggering events or the so-called normal approach to repayments that gave us GRG and other scandals. These are not normal loans; they are encouraged by Government and government guarantees to those struggling due to coronavirus and are to help both them and the wider economy bounce back. Stripping the full content of Section 140B and the related FCA rules is not appropriate and is likely to keep the APPG on Fair Business Banking busy for years. Are big lenders requiring the complete disapplication of Section 140B as their price to play ball?
I shall return to this in Committee but, meanwhile, what terms, other than interest, cover the loans? The agreements seem thin—answer 20 questions and get your money—which is all the more worrying when consumer protections have been removed and there does not seem to be anything else in the agreement literature.
My Lords, in view of Covid-19, the Government need the powers to allow businesses to open with certain restrictions. These are unusual times. The Government are legislating to open up the economy, with powers to shut down businesses if there is a spike in a particular geographic area or sector of the economy. The Bill will allow many sectors of the economy to open up. We have travelled the ups and downs of the effects of Covid-19 since March 2020. The Government and opposition parties must work together at this time and stop blaming each other.
The Government are establishing a fast-track procedure by which cafes, pubs and restaurants in England may apply for temporary permission from local authorities to put tables and chairs outside their premises. The weather this week is bright and warm. Many millions who have been locked up in their homes will be able to come out with their children to enjoy a pleasant day out in cafes and restaurants. Many noble Lords have rightly questioned whether local authorities will consult local residents before they allow cafes and restaurants to put tables outside their premises. I hope the Government will make the appropriate changes in the Bill.
The Government are providing funding in a variety of ways to support small businesses, particularly in the leisure and hospitality sector. Similar support is also being made available to the construction industry so that more houses can be built and more jobs created. All these measures will put money in the hands of many families, who in turn will spend their wealth, creating jobs and prosperity for everyone.
The Secretary of State rightly said that the Bill would provide an adrenaline boost to sectors of the economy affected by the Covid-19 outbreak. With all these measures, the public must take responsibility and continue to observe social distancing, wear masks and wash their hands with soap. We should not create a position whereby we begin to forget these essential precautions and allow the virus to come back. The virus is still lurking around and is invisible. The Government have the powers to shut down a particular area or town if there is a spike. They have done so in Leicester, and rightly so.
My Lords, I very much welcome this Bill relating to the promotion of economic recovery and growth. It follows the imaginative package announced by the Chancellor in March—the furlough scheme, the VAT and rates holiday, various loans and grants and then, later, the addition of the bounce-back loans, which feature in the Bill, when a further boost was essential. I very much look forward to the Chancellor’s further package before we discuss the Bill in Committee next week. With the prospect of mass unemployment, we need some more imaginative thinking—for example, as I have been suggesting, a cut in employers’ national insurance.
Like others, I congratulate my noble friend Lord Greenhalgh on his speech and indeed on all his interventions in the House so far. I very much look forward to engaging with my noble friend on the more wide-ranging planning changes, as those can play an important part in future growth. However, they are not the purpose of this Bill. Indeed, I worry that too many of today’s interventions have called for regulatory measures rather than for the opening up that we need to get the economy to perk up. The measures in the Bill are temporary, so we need positive suggestions to that end, as we have heard from my noble friends Lord Wei and Lord Lansley and, on some aspects, the noble Lord, Lord Stevenson, and as we have just heard from the noble Lord, Lord Bhatia.
I turn to the Bill itself. It should be easier to deal with than the corporate insolvency Bill because it contains essentially temporary provisions. However, I want to understand the sunset provisions. For example, Clause 21 contains an end date of 31 December 2020 but also a provision for a Secretary of State to make regulations substituting a later date. Clause 25 allows him or her to
“make transitional, transitory or saving provision in connection with the expiry of any provision of this Act”.
This legislation is not being adequately costed or scrutinise for permanent effect, so I am not convinced that we should leave so much power with the Executive. The Bill should lapse automatically on a certain date or dates, with new primary legislation enacted as need be.
As the House knows, I take a particular interest in the prosperity of retail, where I worked for many years, as well as in smaller businesses, which have been a dynamic and economic success, much envied in Europe. Both sectors are having a torrid time, but they have also played a heroic part in this crisis; I would single out the food stores, the distribution drivers and the postal workers, all of whom have worked through the pandemic despite the obvious risks and pioneered safer ways of working.
As always, I am grateful to the FSB for its good briefing and to the British Retail Consortium. The latter has raised two concerns on which I would appreciate the Minister’s thoughts. The first is the introduction, at least for the period of the crisis, of digital age estimation and verification. There is a separate telephone app for age verification that is well-established in other countries. It requires registration, but it means there is no need for the customer to show paper ID or to remove any mask, with all the risks those entail. It can be used in some shops already, but not for alcohol or in pubs, because the Home Office has, allegedly—although this surprises me—dragged its feet.
With cities opening up and city centre stores at risk of violence, the BRC is also concerned about the slow progress of a response to a call for evidence on violence against shop workers. I wonder whether my noble friend the Deputy Leader could use his charms to encourage progress on those two matters before we reach Committee.
Finally, I have a much wider concern: that in this crisis, we have given too much weight to medical matters relating to Covid and not quite enough to the negative impact of the measures taken. This extends from cancer treatment to the closure of swathes of the economy. On a normal economic analysis of the kind now being done at Imperial College, the balance in favour of Covid treatment and prevention away from future growth and recovery has gone too far. In due course, we will be criticised by our children for taking away their prosperity. Luckily, the Bill takes some small steps in exactly the right direction.
My Lords, this is another Bill which puts yet more pressure on local authorities. There is, however, no plan for how they will be reimbursed. The Government have said that they will stand behind councils and provide them with the funding they desperately need, but this has simply not happened. Less than a third of their costs have been met. The Bill makes only a modest contribution towards recovery. Even that contribution is not realistically supported. The Bill falls far short of what other countries are doing.
Local authorities have an essential role to play. The implementation of national policy requires local knowledge, flexibility and collaboration to ensure safety. A massive recovery in council house and affordable homebuilding must be a core element of a national economic and social recovery, with the right infrastructure and protecting the environment.
An upsurge in homelessness must be avoided. Indeed, existing homelessness must be reduced and the well-being of those in substandard and inadequate housing addressed as a priority.
Now more than ever, as we emerge from the current health crisis—but not, for some time, from its economic consequences—the theme must be to give local authorities the tools to enable them to spearhead economic, social and environmental recovery in the context of a green planning system not subject to delays.
My Lords, I support this Bill. It is right that we should ease lockdown, and it is critical that we push the economic accelerator. Jobs and livelihoods are at stake. I am particularly pleased to see the hospitality sector reopen and for people to be able to get together again in pubs and restaurants but, like other noble Lords, I have some concerns about the threat of anti-social behaviour, especially as a result of off-sales in open containers. I hope the noble Earl will provide some assurance in his response, and I have heard some interesting mitigations from other noble Lords.
Rather than dwell on that specific point, I want to use this opportunity to talk more broadly about personal responsibility as we begin once again to enjoy our liberties. The lifting of lockdown also presents an important opportunity to reinforce and, in some cases, reset, other essential elements to help us create a better future for everyone. I am talking about our common understanding of what we should be able to expect of each other when it comes to our conduct and behaviour in a public place, and our willingness to promote and uphold a common set of standards.
These are the hallmarks of a society that works for the benefit of everyone, because they show that we share something in common with each other, whatever our background, age or the position we hold in our work. Upholding them is an expression of mutual respect. Over the last few years, political events and this pandemic have exposed the divisions that exist in our society. In recent weeks, it has felt as though some have tried to deepen them further and create new divides, with unacceptable acts of thuggery, vandalism and violence.
There is a lot that needs sorting out if we are to address the inequalities behind some of these divisions, which is why I am so pleased that we are getting on with restarting the economy. However, we will not achieve all that we need to achieve unless and until we all feel that we belong to, and are part of, a shared endeavour. The Bill temporarily lifts some burdens on business—but with those freedoms comes greater responsibility. We should recognise that landlords, restaurateurs, shopkeepers, bus drivers and anyone else responsible for public spaces are important leaders in our local communities. They, alongside the police, deserve our respect when they help to set standards and seek to uphold them. If we are relying on them, they need to know in return that they can rely on us to back them, and we should all be clear about why this is so important.
Now, more than ever, we need to support each other actively, by sticking to the same standards or rules and challenging those who do not, especially when it comes to basic manifestations such as queuing, face-coverings or things that we know are unacceptable—but are scared, these days, to challenge—such as litter, feet on seats and loud music. These small things matter. They help to prevent worse things happening, and the sense of unity that upholding them creates is critical to our success in building a stronger economy.
I notice that Clause 5 refers to the possibility of the Secretary of State setting conditions and Clause 8 to the issuing of guidance in the context of licensing. While I am not suggesting specific legislation for the sorts of things that I have just been referring to, I would none the less be grateful if the Minister could tell the House whether the Government have any plans in this area.
My Lords, I wish to address the issue of support for SMEs—one of the four pillars mentioned by the Minister in his opening remarks. There are alterations to the Bounce Back Loan Scheme in this Bill; some may be sensible changes to a much-needed scheme. However, research undertaken in mid-June by just one business organisation found that only 45% of eligible businesses had been able to apply for these loans, owing to overcomplicated application systems and busy phone lines. One recurring complaint was that many leading banks were saying to their customers, incorrectly, that they had filled in the application details wrongly, or that having two signatories on the business account created a problem.
I hope the Minister can reassure the House that the measures in this Bill will ensure that these problems are overcome. However, I ask the Government to consider how Parliament should scrutinise the impact of not just the bounce-back loans but the Coronavirus Business Interruption Loan Scheme. The Government’s goal is to provide a bridge over what will be, in their words, a “sharp and significant crisis”, to keep people employed and businesses afloat. Parliament therefore has a duty to keep a watching eye on the impact of this support, making these schemes as effective as possible.
The Bill before us today is designed to stimulate the demand side of the economy, which could be loosely described as getting people to spend more again. There are, however, significant sectors, apart from the ones highlighted in this Bill, which will require extra help. Manufacturing SMEs can be far down the line of feeling the direct impact of the domestic consumer spending encouraged in the measures outlined. By way of example, those in the supply chain for motor vehicle manufacturing would need to see a big uptick in people buying cars before their output would reach pre-Covid-19 levels.
This is an even bigger challenge for those supplying to the aviation sector. It is estimated that 1,400 jobs to be laid off at the Airbus wing factory in Broughton will lead to six times as many job losses in companies in the supply chain—the suppliers to the suppliers, and the makers of the smallest widgets to the biggest widgets. Small companies are deeply affected by reduced order books and will need support during the time it takes for these order books to recover, and we know that this will not be as quick as in other sectors.
In its monitoring survey published last week, the manufacturers’ association found that just under half of UK manufacturers plan to make employees redundant in the next six months; as might be expected, that is a marked increase from quarter 1. More than six in every 10 companies are planning to make between 6% and 25% of their staff redundant. Even with access to the furloughing scheme until October, many employers feel that they cannot use the scheme to protect jobs that may no longer exist in the future. So there is a danger of a real cliff edge of job losses in this sector, either at the end of the furlough scheme or earlier. These jobs will be lost right across the country and across all manufacturing sectors.
The primary ask from the UK manufacturing sector, with its 2.7 million employees, is for business rate relief, as has been provided for the retail and hospitality sectors. Will the Government publish the granular data for the bounce-back and CBIL loans schemes, so that Parliament and the public can analyse the impact and ensure that everything possible is being done to support manufacturing and the skilled workforce who are employed within it?
My Lords, I declare my interest as a vice-president and former chair of the Local Government Association. The Bill we are considering today is a positive step towards reopening our economy. It will help with the recovery and ensure that a consistent approach is taken across the country. I will focus my remarks on the important role that local government will play in helping reopen local economies.
During this pandemic, councils, as leaders of place, have supported businesses by, among many things, distributing hundreds of thousands in coronavirus business grant payments. They are now working hard to ensure that the hospitality sector, and other sectors, are able to reopen safely. It is essential that we begin to reopen our economy and get the country moving again. To do this, we need proper safeguards. Councils should receive powers so that they can feel confident that licensing applications that cannot be managed safely can be turned down, and that they will be able to act where issues arise following the reopening of premises.
While we need to support local pubs, restaurants and other entertainment venues, we also need to make sure that those living near to these premises are not faced with anti-social behaviour or noise pollution—a subject raised by many noble Lords today. I would welcome reassurance from the Minister on this point.
The full responsibility and cost for making this policy work successfully do not sit with local authorities alone. However, with the initial burden falling on them, it is crucial that councils are supported financially by central government to meet the cost of processing an expected large number of applications in a short period of time.
It is right that the licensing measures proposed in the Bill are temporary and designed to help and support councils during these extraordinary times. In the longer term, there is a need for a comprehensive review of our outdated licensing legislation to ensure that it is fit for the future. I know that the LGA has long been calling for this review and is ready to work with the Government on this vital programme, once the measures in this Bill have expired. I hope that the Minister will be able to make that commitment to the House today.
The Bill before us also makes it clear that an expedited review process may require a licensing hearing to be held to discuss an application. Since March 2020, licensing hearings, in common with other council meetings, have been held virtually. Last week, the Government published new public health regulations on public gatherings. I encourage the Government to continue to support councils with clear guidance around their meetings, so that we can ensure that local democracy is able to function effectively. This will be particularly key as new legislation and regulations are published over the coming months.
I would like to bring my remarks to a close by welcoming the Bill and giving it my full support. My suggestions are refinements and points of clarification that I believe it will be helpful to make. The principle and the general thrust of the Bill are of course very welcome, as it marks an important step in opening up our economy and rebuilding for the future, and I am pleased to support it.
My Lords, the noble Baroness, Lady Thornhill, and many others have pointed out the importance of the relationship between district and county authorities when it comes to the highway. In the district of Eastbourne where I live, it will be the district council that bears the responsibility for our economic recovery in a town which is based on the hospitality industry. As my noble friend Lord Wei said, innovation and experimentation ought to be the order of the day. However, this crucially involves roads. They permeate a town and you cannot talk about the experience of visitors, let alone residents, without really focusing on what is going on with the roadways. As others have pointed out, this Bill involves the interface between the pavement and the roadway. If we have a café that is spilling on to the pavement, with pedestrians spilling over into the roadway, the district authority absolutely must have the power to set the standards of safety that will make sure that that safety can be delivered by procuring changes to what is happening in the roadway. This cannot wait on the county; this has to be something that the district council can do by its own motion, or least get the county to do in an expedited way rather than to the county’s own timescales.
As has again been suggested by others, I too hope that we will look at expanding the Bill. Where neighbouring premises, open spaces or car parks might be thrown into service in the cause of this Bill, they should not be neglected. We should also look at encouraging, particularly in a seasonal town like Eastbourne, pop-up experiences—things that are not intended to last into the winter.
Lastly, in reply to my noble friends Lord Cormack and Lord Balfe, I am enthusiastic about this way of conducting business. I think that we have seen some real improvements in the ways in which our colleagues are now better embedded in the communities they are a part of, both in working and in living, and I have seen that being reflected in the debate today. I understand that we need to see some improvements to the systems we have at the moment, but given a bit of determination and good will, they seem to be entirely without our capabilities. I for one am in no hurry to get back to the business of commuting to Westminster with all the disconnection that that generates.
My Lords, this Bill has my complete support. The coronavirus pandemic started as a health crisis, but it is now primarily an economic one. Our GDP has contracted at an unprecedented rate this year, falling by over 20% in April alone. The policy priority has to be a return to economic growth. The furlough scheme, the guaranteed business loans and the other measures have been lifelines, but they were never going to completely offset the huge economic damage that has been inflicted by the lockdown. Indeed, as those schemes start to roll off, we can expect more business failures and higher unemployment that will in turn further impact GDP. The construction and hospitality sectors have been particularly hard hit, and this Bill, while it is no panacea, makes important contributions to their revival.
A number of noble Lords have expressed reservations about the licensing and planning relaxations in this Bill. I ask them to give these temporary measures the benefit of the doubt. We have to get our economy moving again. Once we have recouped this year’s loss of GDP, we can decide from a position of relative economic security what relaxations we can keep and what must be tightened or reversed.
It has been relatively easy to scare people into staying at home, and in broad terms the lockdown has been a great public policy success. The hard task now will be to get people out again, and attitude surveys still show considerable caution. The opening of shops last month and of pubs, restaurants and—praise be!—hairdressers last weekend shows that the public can be tempted out, but not yet in the kinds of numbers that will restore our economy. We need to go even further. We need people to return to normal life, and that means returning to work.
For an economy that has about two-thirds of GDP in household consumption and 80% in the service sector, extensive working from home as a norm will end up being an own goal. I believe your Lordships’ House has a role to play here. Our leaders have been frightened into a risk-averse form of upper Chamber that positively encourages noble Lords to take part from their armchairs at home. Sometimes noble Lords are even outside the UK. I believe we should set an example to the nation that life can and must return to as near normal as possible. The presumption should be that noble Lords are physically present in Parliament and vote in person; I stand with my noble friends Lord Cormack and Lord Balfe on this. Alternative participation mechanisms should be available but only for those who cannot be present for medical reasons.
We can do two things today to help our country return to economic health and prosperity. First, we can support the proposals in this Bill and speed its passage through the House and on to the statute book. Secondly, we can be a living example that working life can be very much like before, albeit modified by informed risk management and sensible risk mitigation. Noble Lords should remember that the Writ of Summons that each of us received requires us, “waiving all excuses”, to be “personally present”. Let us return to that in September, if not before.
My Lords, Covid-19 has caused more disruption and damage to the world’s economies than any event in living memory. In the UK alone, millions could lose their jobs and hundreds of billions of pounds could be wiped from the economy. This pandemic is far from over. We face the risk of localised spikes and perhaps worse, causing further grief and economic instability. The future remains volatile and uncertain, so it is vital that the Government provide all possible support.
This Business and Planning Bill presents an opportunity to kick-start our economy as it emerges from lockdown. A huge amount is at stake, so it is imperative that we get the details of the legislation right. There is a lot we need to do. People want to socialise again, quite justifiably, but we need to encourage them to do so safely. This means the Bill must provide that flexibility for the licensing laws and the facilitation of fast-track planning permission for the pavement cafés. The Government’s bounce-back loans scheme is useful and has the potential to be of real help to business, but it should be more flexible and allow much easier access to funds.
There are other ways in which Ministers can provide hugely valuable support through this Bill. For instance, they are enabled to help ease the backlog in vehicle testing and driving licences for goods, passenger and public service vehicles. Steps such as providing an easement on construction working hours and on the expiry of planning approvals would also make a real difference.
Some of the provisions in this Bill extend to Northern Ireland, and in fact the Northern Ireland Assembly gives legislative consent to this Bill today.
There are certain areas, mentioned by the noble Baroness, Lady Neville-Rolfe, that are vital to the economy and should be included. High streets have been decimated during lockdown. On one day alone last week, 6,000 jobs were lost in the retail sector. Sadly, there are many more closures to come; indeed, there is a real fear that we could return to the high levels of unemployment last seen in the 1980s. Therefore, will the Minister give us his view about including in the Bill, albeit as a temporary measure, the expansion of business improvement districts, extending the towns fund, which currently relates to 101 towns, and rethinking permitted development rights as well as commercial rates? Perhaps he will write to me if he cannot answer those points when he winds up.
I understand that the Chancellor will deliver a speech on the economy on Wednesday. I ask the Minister to press his colleagues in the Treasury for the inclusion of fixed fiscal flexibility measures and substantial job creation plans. In the medium term, we must also draw up detailed plans for the regeneration of our town centres, supported by the Government.
I support the provisions in the Bill, but feel that there are opportunities for other areas, including the retail sector, to be included, because they are a vital part of business, a vital part of planning and a vital part of the economy.
My Lords, my noble friend in sport, the noble Lord, Lord Addington, gave a powerful speech on the implications of this Bill for sports clubs, so I will amend what I was going to say and focus on the detail behind his thesis, with which I fully agree. As many noble Lords have said, the purpose of the Bill is to introduce measures to help businesses adjust to new ways of working as the country recovers from the disruption caused by Covid-19. The measures support the transition from immediate crisis response and lockdown into recovery and getting the economy moving again. The measures support businesses to implement safer ways of working to manage the ongoing risks from Covid-19, particularly the need for social distancing. It is an approach which, conceptually, was supported by direct financial support for the arts this morning, which was welcomed by all. We desperately need the same for sport, especially clubs that do not benefit from the professionalism of the top level of sport.
Clause 11 is designed to amend the Licensing Act 2003 and associated regulations, to allow licensed premises to serve alcohol for takeaways while being open for on-site delivery at the same time. This is designed to allow pubs to make up revenue lost as a result of social distancing restrictions. However, the Act also applies to club premises certificates. These alcohol sales licences are slightly different; they apply largely to sports club bars and social clubs. The legislation before us explicitly excludes these venues and does not allow them to make the same changes as pubs. This can be seen in the table on page 16 of the Bill, which shows that club premises licences are specifically not included. This means that sports club bars and social clubs will not be allowed to sell takeaway alcohol, despite facing the very same revenue-losing restrictions as pubs.
The Royal Yachting Association predicts that 95% of its club bars have a club premises certificate, and as such, will lose revenue. The RFU, referred to by my noble friend in sport, the noble Lord, Lord Addington, is also concerned that a great number of rugby clubs will face the same problems. Given the losses that grass roots sports clubs have been facing and the continued cessation of activity for many of those clubs, including cricket clubs, it seems wholly unfair to penalise them further when their bars are allowed to open.
I hope that this explanation is helpful to the Minister, to whom I gave advance notice. We are asking the Government to look again and include club premises certificates in the Bill. If not, we could see the loss of a number of sports clubs up and down the country, and in that context, I look forward to the Minister’s reply.
My Lords, I congratulate the Minister on the clear, coherent manner in which he introduced this debate. The House has great fortune in having him on the Front Bench. I offer my support to the Bill. We need to get the economy moving and, although it is not a provision of the Bill, we need to get our young people back into education as soon as possible.
I shall cover two elements related to the Bill: inclusion and small breweries. I stand alongside the comments of my noble friend Lord Blencathra and my friend the noble Lord, Lord Blunkett, about pavements and public spaces. We must ensure that we build back together or we will not build back much that is worth while. The measures are temporary, but inclusion and accessibility are about every moment and they count just as much for temporary fixes as for anything else. It is vital that we get our economy moving again, but it should not come at the expense of the exclusion of disabled people from our high streets and local communities. That exclusion is utterly avoidable. It would be invidious if we took regulatory barriers away temporarily only to replace them for disabled people and those with young children in pushchairs with impassable physical barriers. Economic growth and equality are not mutually exclusive or, indeed, diametrically opposed. They walk hand in hand. This makes great moral, legal and business sense. In fact, the greater the level of inclusion, the greater the level of social and economic activity. There is only one economy, there is only one United Kingdom—it flourishes and we are all at our best when everything is underpinned by dignity, inclusion and respect. I thank all the organisations that do so much good work on accessibility and inclusion, not least the Guide Dogs for the Blind Association and the RNIB.
The changes to the licensing requirements are welcome, but hundreds of small independent breweries find themselves locked out and unable to take part in this unlocking of the economy. They find themselves having extremely tough times for want of small, doable legislative changes. It is imperative that they have a successful summer, otherwise they may have no autumn or winter. We could do such a service for these small independent breweries if we just make these small legislative changes to enable them to sell to the public, which they are currently unable to do. The innovation and ingenuity that we have seen from small independent breweries, particularly in the past decade, have brought vast sectors and areas of the public to not just the product but the approach and the methods of brewing, and often these breweries put themselves right in the heart of the community.
Small legislative changes will make such a big difference to our small independent breweries. We owe it to them to make those changes. Does the Minister agree, and does he agree that everything that we do not just in this Bill but across all our activities should be predicated on inclusion?
My Lords, I take this opportunity to welcome the Bill and to congratulate my noble friend on his maiden Second Reading speech, which he made so eloquently. I declare an interest as chairman of the board of PASS, the Proof of Age Standards Scheme. We are also looking at the possibility of proof of age going forward digitally, which I think will have great scope within this Bill. While we can look at the proposals in more detail in Committee, this is a question of reaching a balance between the rights of businesses to operate and to recover from what has been a very difficult period and the rights of residents, which I would like to consider under three different aspects. I also want to refer to the report of the ad-hoc licensing committee; we looked at the Licensing Act 2003 and made a number of recommendations which I would like to consider in Committee.
Looking at the fast-track approach for cafés and bars and the opportunity to place chairs and tables on the pavements outside, I know that the 90% fall in consumption of food and drink has been felt keenly, and the knock-on effect on farming is worthy of note as well. When looking at outside spaces, in addition to pavements, will the noble Earl consider car parks and parking spaces where practicable? In terms of serving off-licence, I echo the concerns raised by other noble Lords about plastic being used rather than glass. Also, would he look at the issue of serving people who are already intoxicated and the recommendation that we came up with of having young people acting as volunteers, trying to encourage those of their own age not to drink any more when perhaps they are already slightly tipsy?
I realise that this is a temporary measure, but will the noble Earl confirm that there will be consultation on the guidance going forward, particularly as relates to construction, and that regard will be given to residents, particularly those working at home at this time who might find longer hours to be just one step too far?
Local authorities have asked for a number of issues to be taken into consideration—for one, the extra burden that is going to be placed on them. They request that clear and comprehensive guidance will be given and ask what regard will be given to the fees levied. I have a concern that the fees be appropriate and not disproportionate. They also ask that when the committees meet, they can now start meeting in physical or at least hybrid form, recognising the social distance. I hope that the Government agree.
When it comes to the wider reforms on planning, I hope that the noble Earl will look at some of the recommendations that the ad-hoc committee made, such as licensing committees being merged with planning committees, which has a lot to commend itself. The planning going forward, particularly as regards construction sites where it should be flexible, should be done on a site-by-site basis. Many of my other comments will be for the wider reforms or for Committee.
My Lords, I congratulate my noble friend on introducing the legislation with such clarity. I welcome it and I think it gives a much-needed adrenaline boost, as was noted by my right honourable friend Alok Sharma in the House of Commons. Principally, of course, it is helping the hospitality sector, which has suffered such a massive drop of some 90% in business because of the virus. It is right that we fast-track these pavement licences and that there is a reasonable fee but, like the noble Lords, Lord Blunkett and Lord Low, and my noble friends Lord Blencathra and Lord Holmes, I think we need to be very careful about access issues and to ensure that appropriate measures are taken to protect access for the partially sighted, the blind, people in wheelchairs and so on. That is absolutely right.
Like others, I have some concerns relating to Clause 11 about off-sales, particularly late into the night. We know that drink and social distance do not mix. We should very much bear that in mind when we try to square the circle of opening up the economy while recognising the dangers that still exist from the virus; we ignore it at our peril. The British Beer and Pub Association has noted that 25% of pubs are still not able to reopen, even with one-metre social distancing, so encouraging the opening up of pavement licences is something I very much welcome.
The position on convenience stores appears a bit confused. The Association of Convenience Stores, which covers shops such as the Co-op, Nisa, Budgens, SPAR, petrol forecourts and lots of independent businesses, is not convinced that they are covered by this legislation. It seems to me that they are, in Clause 1(4)(b), but I hope that my noble friend Lord Howe will confirm that when he sums up. We should ensure that that is the case, because we need to be innovative and broaden our approach. We need to open up the economy.
I share my noble friend Lord Hunt of Wirral’s welcome of today’s announcement of help for the arts, but note that we need a road map as well for continued regeneration of arts and culture venues, as we do for sports, as we just heard from my noble friend Lord Moynihan. I hope that is also something we can turn our attention to. I very much support what my noble friends Lord Wei and Lord Lucas said about the need for an innovative approach to try to regenerate and revitalise our town centres with drive-through cinemas and drive-through facilities, and to open up towns with more markets, food approaches and so on. We should look at that. We need to be innovative and to make sure that we really do get the economy humming again.
The legislation is welcome in many other ways: I very much welcome the flexibilities for the construction sector and for planning permission. They are very sensible, as is the flexibility for driving licences. We need to ensure that we fund our local authorities, considering the extra burden that they are taking on. We owe them that to ensure that we all go forward together. Subject to that, I very much welcome the legislation. It shows some imagination. We perhaps need to show even more imagination as we try to open up our economy and get it moving yet again.
I call the next speaker, the noble Baroness, Lady Pinnock. Oh, could you unmute? I am afraid we cannot hear you.
My Lords, I beg to move that the House adjourn for five minutes to resolve the technical issue.
My Lords, now that the technical issues have been resolved, I draw the attention of the House to my interests as a councillor in Kirklees and as a vice-president of the Local Government Association. I thank the noble Earl, Lord Howe, for his ever-helpful approach. We have had an excellent and well-informed debate on the proposals in the Bill and my hope is that he will be able to respond positively to the many concerns that have been raised.
Liberal Democrats on these Benches understand and support the general thrust of the Bill, which is to provide additional flexibility to some specified businesses that have been hit hard by lockdown in the early months of the pandemic. We also appreciate that the Government want to provide these new flexibilities as soon as possible. However, that should not result in the measures included in the Bill not being given the full level of scrutiny for which this House is responsible. My colleagues and other noble Lords from across the House have raised questions and concerns on a number of issues which require answers from the Government.
Part 1 enables pubs, bars, and cafés to apply for pavement licences to expand on the amount of seating available and provide some recompense for a reduction in the customers permitted within the premises. My noble friend Lady Thornhill has drawn attention to the confusion of responsibilities for licence applications in two-tier local authorities, which needs to be resolved. My noble friends Lady Randerson and Lady Bowles have spoken on this issue and suggested variations on the measures in the Bill. The RNIB and Guide Dogs have raised concerns, as have local councils and disability organisations. They are all concerned that people with visual impairments, in wheelchairs or pushing buggies will find that they are unable to pass safely on the pavement. Reassurances must be provided that the needs of businesses will not surmount the needs of pedestrians.
Part 1 also includes one of the more controversial proposals, which is to permit sales from pubs and bars of alcohol in “open containers”. My noble friend Lord Paddick has spoken eloquently, and from his vast experience, on the topic. This measure really does require modification to minimise the problems that could well follow in town and city centres, putting additional pressure on the police and councils. It is not right to pass the additional costs created by businesses on to these public services without providing appropriate financial compensation. Noble Lords from across the House have voiced anxieties on this provision. It requires changes in the Bill.
On Part 2, my noble friends Lady Kramer, Lady Bowles and Lord German have explained why they have concerns about the Bill regarding the loan scheme and highlighted issues about insurance and whistleblowing. We look forward to the Minister responding constructively to their expert comments. My noble friend Lady Randerson has also voiced concerns about the renewal of driving licences for bus drivers. I look forward to the response on this vital safety question.
Part 3 relates to changes to planning legislation. The elements that relate to extending permissions are welcome, both for planning authorities and for developers. However, one part of this provision, for automatic extension involving environmental conditions in a planning consent, has to be reconsidered, in order that vital environmental protections are not overridden in the name of construction for the short term, while enabling destruction of our natural environment in the long term. This is not in tune with the Government’s claims of “building green”.
Every planning consent includes conditions on hours of working. They are there for a purpose. They provide a safeguard for neighbours; extension of hours has to be with the consent of those it affects. The Bill fails to give enough emphasis to the views of neighbours and gives the impression that construction needs are more important, especially as it is possible for developers to apply for a construction period of 24 hours a day. My noble friend Lady Randerson rightly warned that one man’s bureaucracy is another man’s democratic right, and this applies particularly to planning.
My noble friend Lord Shipley asked whether a pre-consultation period can be included, so that the narrow windows for applications make for more transparency and inclusivity. He also asked the Government to disapply the current requirements on councils for the housing delivery test, for which there are draconian consequences where not met. Will the Minister give assurances on this issue? My noble friend Lady Doocey raised planning issues regarding tourism and I look forward to the Minister’s response.
Planning appeals are a crucial part of the planning process and, as the noble Lord, Lord Kirkhope, stated, these are already weighted heavily in favour of developers. It is to be regretted that this is the one change that is to be permanent. It should be a temporary change along with the other measures, with any permanent change being included in the next planning Bill.
My noble friend Lady Kramer also raised what must be a government oversight: TfL, and other London development agencies, are not included in the Covid legislation on virtual decision-making. I am confident that the Government will want to rectify this omission to enable those bodies to make decisions openly and transparently.
The majority of these changes affect local government, yet they incur additional costs without additional funding. It is already clear that many councils have huge financial pressures, even after the latest funding announcement from the Government. The extra costs for councils in the Bill need to be reimbursed.
In conclusion, there are important changes in this Bill, which are largely supported. However, the measures are piecemeal and apply to a narrow section of local businesses. The Bill cannot be seen as part of a more thought-through response. In that sense, it is very much a wasted opportunity for setting out a clear strategy that will provide some hope, both to communities and to businesses. I look forward to the Minister’s response.
My Lords, I first draw the attention of the House to my relevant registered interest as a vice-president of the Local Government Association.
This has been an interesting debate on important issues contained in the Bill. The position of the official Opposition is that we support the Bill in general but have reservations on a number of issues, which we will raise during the Bill’s passage through the House. At the outset, I want to make it clear that if we fail in our endeavours to persuade the Government, we will seek to Divide the House at Report on our amendments that deal with issues that we think are important.
The balance to be struck here is one that supports businesses in the hospitality sector and elsewhere to get back on their feet but, at the same time, gives a voice to local residents and does not lead to a second spike in Covid-19 infections. That is very difficult to achieve, and the Government do not have a good record with regard to the pandemic: the worst death rate in the whole of Europe; the scandal of care home deaths; the testing shambles; the track and trace app that was to be world-beating by 1 June, but does not work; and the procurement offers that were turned down. The devastation caused to families by the loss of loved ones has been heartbreaking.
Moving on to specific areas of the Bill, Part 1 deals with the consumption of food and drink outdoors. The Bill introduces a new legal framework for issuing licences which will enable food and drink businesses to put removable furniture on the pavement adjacent to their premises in order to sell food and drink. What is important here is the ability to manage carefully a number of different and conflicting issues and objectives. These include the need for the business to reopen, the desire for customers to enjoy meeting friends and family in a local pub or restaurant in a socially distant and responsible manner, the need to maintain the accessibility of the public highway for all users, the concerns of local residents about excessive and unreasonable noise causing nuisance and annoyance, litter, poor behaviour in general, and the ability of the local authority enforcement teams and the police to take effective action.
There are resource implications for these changes, and the proposed £100 licence fee that local authorities can charge will of course not cover the costs that they will incur. In responding to the debate, can the noble Earl explain how local authorities will be reimbursed for the additional costs they incur? The Government have a track record of loading additional burdens on to local authorities and providing woefully inadequate resources. Local government finances are in a perilous state, and this is just not acceptable.
My noble friend Lord Stevenson of Balmacara raised issues of concern about street vendors and small breweries, which have, in effect, been left out of the provisions of the Bill. I fully support the points he made.
My noble friends Lady Goudie, Lady Wilcox of Newport and Lady Kennedy of Cradley highlighted the role that local authorities will play in delivering the vast majority of the proposals in the Bill and the need to properly support local authorities, and the police, in delivering the framework in order to get it right.
There are similar concerns about Clause 11 in Part 1, which many noble Lords have highlighted. It deals with alcohol licensing, off-sales and getting the balance right between supporting business and protecting residents from additional nuisance. What we have before us fails to do that at present. The problem is that, when you have a number of licensed premises together, as many noble Lords have mentioned, local residents already suffer that nuisance. In many ways they accept it, but the off-sale proposals could make it even worse. The issue is not confined to Soho—I know there was a lot of coverage there over the weekend—but applies to other parts of London and many other cities and towns, which all have their entertainment areas and high streets where people go to enjoy themselves.
We must be clear that the problem is not just noise; it is people urinating in the street, defecating in bushes and behaving disgustingly. The Government need to restrict off-sales to 11 pm. That is more than reasonable. I endorse the comments of the noble Lords, Lord Paddick and Lord Randall of Uxbridge; no matter how long the on-sale licence is for, 11 pm should be the end for off-sales. That is a reasonable, proportionate measure that I hope the Government will embrace.
The noble Lord, Lord Carlile of Berriew, also has my full support. He referred to the unacceptable behaviour that has taken place in London Fields in the London Borough of Hackney. I endorse all his comments; we must ensure that people are not subjected to more disgusting behaviour. My noble friend Lord Whitty rightly raised the similar concern that we are encouraging more drinking on our streets but not dealing with its possible consequences.
In preparing for this debate, I talked to a number of organisations, including USDAW and the Bakers, Food and Allied Workers’ Union. There are huge concerns about the safety of staff working in the sector, who risk dealing with people who have consumed too much alcohol and are incapable of socially distancing. Keeping staff safe from the risks to their health when at work, from the handling of cash to the role of door staff, needs to be dealt with by the Government. It is very difficult, as we all know, when someone has had too much to drink to get them to understand how they need to behave. My noble friend Lady Wilcox referred to that in particular.
We need some clarity from the Government on the situation regarding toilets. The law is very limited here, with only four provisions in the Public Health Act on keeping toilets clean in establishments serving food to be consumed on the premises. Local authorities do the enforcement work through visits to premises, but we need a clear commitment from the Government to provide guidance on the cleaning and maintenance of toilets with sufficient frequency to ensure the protection of customers, and staff, who are always the ones doing the cleaning. This is not easy because, as I have said, people who are drinking will want to use the toilet more. We need to ensure we get this right.
There are also issues around public toilets, as considerable numbers of them have been closed in recent years and with this Bill we are encouraging more off-sales and off-the-premises drinking. We need to ensure that that there is clear guidance from the Government or other bodies, ensuring that we get this right. They should seek advice from organisations such as the British Toilet Association. I think it is very clear what can and cannot be done.
Regarding Part 2, my noble friend Lord Stevenson of Balmacara referred to the bounce-back loan scheme. I endorse his comments and will not speak further on that part of the Bill. Similarly, I endorse the comments of, and concerns raised by, a number of noble Lords, including the noble Baroness, Lady Randerson, regarding Clauses 13, 14 and 15.
Part 3 deals with the planning system and puts in place temporary measures. I welcome most of the proposals before us—I actually had an Oral Question on planning issues a few weeks ago. I first want to raise an important omission also raised by the noble Baroness, Lady Kramer, about mayoral development corporations and bodies such as the London Legacy Development Corporation and TfL, which are planning authorities but have not been included under the definition of a local authority and so will have real difficulties moving forward. That is an unintentional omission by the Government; I hope the Minister can look at that before Committee. I hope we can get an amendment agreed which corrects that error.
I was pleased to learn that these measures are not a precursor to further changes to the planning system. Many in this House and elsewhere are of the view that certain parts of the Government are strangely obsessed with planning and reform, rather than dealing with the hundreds of thousands of planning permission applications that have been approved and are sitting there, with not a single brick being laid or a single shovel being put into the ground.
The noble Lord, Lord Best, raised concerns that future reforms will include extensions to permitted development rights, which would not get more affordable or green homes built, or address the real problems. We have said we need to “build, build, build”, but we must also build well, build green and build with a long-term future in sight.
I agree with the noble Lord, Lord Randall of Uxbridge, that the environmental considerations of our planning system are vital and should not be lost in any future reviews. My noble friend Lady Andrews outlined the problems facing local authorities, businesses and the high street. I hope the noble Earl will address those points when he responds shortly. I agree with my noble friend Lord Blunkett that we need to strip away any plans to support entrepreneurs and innovation to the detriment of residents and communities. This false premise should be resisted and is no basis for achieving what the Government want to achieve.
My noble friend Lord Blunkett, the noble Baroness, Lady Randerson, the noble Lord, Lord Low of Dalston, and others raised the concerns of the RNIB and wheelchair users. It is important for the noble Earl to respond to those points in respect of how we move forward. We should also be aware of the blight that extended hours of construction could cause residents, the noise of construction sites working many more hours than normal and the problem of vehicle movements. Again, I hope the noble Earl assures the House about what the Government are doing.
In conclusion, we support the Bill but want to see movement from the Government on a number of issues highlighted by me and other noble Lords in this House today.
My Lords, this has been a constructive debate and I am grateful, as ever, for your Lordships’ detailed engagement with the measures in the Bill. I congratulate my noble friend Lord Greenhalgh on making his first speech in this House in physical form. He set out succinctly the measures that the Bill seeks to introduce. I therefore intend to focus mainly on responding to questions and comments posed in the debate. Those that I do not have time to cover today—and there will be several, for which I apologise in advance—I will answer in writing.
Before I turn to those matters, it might help if I addressed some of the cross-cutting issues that your Lordships have highlighted. The first is the wider context. This is an important Bill, but I am the first to acknowledge that its scope is deliberately focused. It does not pretend to cover the whole waterfront of the UK economy. That is why my right honourable friend the Chancellor will make a summer economic update to the House of Commons on 8 July, outlining the next stage in our plan to secure Britain’s recovery, building on the Prime Minister’s speech. It is clear that the long-term plans and big decisions are for the Autumn Budget and spending review, but there are things we can and should do now to give the country the boost it needs.
The first phase has seen us help families and businesses through the crisis. As the economy opens up, we will move into a new phase. I cannot confirm the details in advance, but we have done the right thing by helping people through the crisis and we will do the same as we come out of it. The noble Baroness, Lady Wilcox, indicated her view that support for the economy has been insufficient. I remind her that the Government have provided unprecedented support to help businesses through the lockdown. Over £350 billion of government-backed and guaranteed loans have been made available to businesses and individuals, as well as a range of support schemes, including business rate holidays, tax deferrals and the job retention scheme. Of course, we will continue to keep under review what further support should be provided to businesses.
I can say, particularly in answer to the noble Lord, Lord Stevenson, that our recovery from Covid-19 should be clean and resilient, making our economy match fit for tomorrow’s challenges and not yesterday’s. This means reducing risk and increasing our resilience to the threat that climate change poses to the UK’s prosperity and security, as well as the linked challenges of biodiversity and public health. Action to support net zero can deliver jobs and opportunities across the country, as demonstrated by our success to date—with growth up by 75% and emissions down by 43% over the last three decades and more than 460,000 people employed in low-carbon businesses and their supply chains. This is a win-win area.
A number of noble Lords, including the noble Lords, Lord Stevenson and Lord Kennedy of Southwark, the noble Baronesses, Lady Wilcox and Lady Andrews, the noble Earl, Lord Clancarty, and my noble friend Lord Sheikh, raised concerns about the impact of these measures on local authorities, taken in the round. First, I note that the Local Government Association has been consulted and has welcomed the proposals on pavement licensing and planning extensions. Licensing proposals have also been discussed with local government and the police. Secondly, I remind the House that the Government have provided £3.7 billion to local authorities through un-ring-fenced grants to address pressures they face in response to the Covid-19 pandemic. This includes the extra £500 million announced on 2 July. This further funding provision demonstrates the Government’s continued commitment to making sure that councils have the resources they need to continue to support their communities through this challenging time.
On pavement licences in particular, our measures will create a more streamlined process and may take away some of the current administrative costs associated with processing applications. For example—and in answer to the noble Baroness, Lady Randerson—we have taken steps to ensure that local authorities can impose their own conditions up front across all licences, which should help mitigate concerns about automatic deeming of licences. However, we recognise that elements of the new fast-track process may have resourcing implications. We are undertaking a new burdens assessment to assess what support local authorities need to implement this new temporary process and whether any additional funding will be necessary.
As regards planning consents, let us bear in mind that the measures in the Bill are temporary and together do not amount to a significant new financial burden on local authorities this financial year.
The noble Baroness, Lady Thornhill, expressed concern about the unclear situation, as she sees it, of councils returning to open public meetings. During the pandemic the Government have temporarily removed the legal requirement for local authorities to hold public meetings in person. While social distancing restrictions remain in place, we have provided councils with flexibility to hold meetings in a manner that ensures the decision-making process remains accessible to their residents. The local authority remote meetings regulations enable all meetings to be held remotely. They do not preclude either physical meetings or a hybrid form of meeting, where these can be held in accordance with public health regulations and guidance. The Government have amended the health protection regulations to allow indoor gatherings of more than 30 persons; these apply to meetings taking place in council buildings from 4 July.
The noble Baroness, Lady Randerson, expressed concerns about the shortness of consultation, there being no legal requirement to post applications online and having only lamp-post notifications. She felt that was discriminatory against those with visual impairments. Local authorities are required to publish, in such a manner as they consider appropriate, applications, material accompanying them and the fact that representations may be made. The draft guidance makes it clear that authorities might consider using digital means of publicity, such as on their website or via an online portal, and that in deciding what action to take to publish, they should consider the needs of those who might find it more difficult to access online publications.
The noble Lord, Lord Shipley, called for a quarterly review, rather as is built into the Coronavirus Act. We recognise the importance of keeping the measures under review and will closely monitor their effects. However, we think that a rolling parliamentary review would compromise the stability we seek to provide to businesses and local authorities in the recovery stage of the pandemic. Almost all the measures in the Bill are temporary; they have temporary effect or apply to temporary schemes. The end dates we have set out in the Bill are designed to be restricted to what is proportionate and necessary, while giving businesses, local authorities and government agencies the certainty they need to plan their activities over the coming months. We think that subjecting the measures to an unpredictable cliff edge through parliamentary review will undermine this certainty.
On the Bill’s specific provisions, we are all aware of the serious effect coronavirus has had on the hospitality sector. Even as restaurants, bars, pubs and cafés open up again, social distancing requirements will significantly reduce their capacity, and we want to help these businesses recover quickly. Measures in the Bill will help by allowing easier use of outdoor space to accommodate more customers safely while summer weather allows. I am grateful for the comments of the noble Baroness, Lady Kennedy of Cradley, the noble Lords, Lord Bhatia and Lord Campbell-Savours, and my noble friends Lord Inglewood, Lord Bourne and Lady Noakes in this context.
The Local Government Association and several individual councils have been consulted on pavement licence proposals, as have the Disabled Persons Transport Advisory Committee and the Cycling and Walking Infrastructure Group, which—my noble friend Lord Sheikh in particular will be pleased to hear—recognised the importance of allowing businesses to open safely while ensuring highway accessibility. The proposals have been welcomed by the LGA, UKHospitality and the British Beer and Pub Association. In addition, measures on alcohol licensing have been discussed with local government, trade, police and licensing experts.
Noble Lords, including my noble friends Lord Holmes, Lord Blencathra and Lord Balfe, the noble Lords, Lord Blunkett, Lord Low and Lord Addington, and the noble Baronesses, Lady Randerson and Lady Pinnock, were understandably keen to know how our pavement licensing provisions might affect pedestrians and those with mobility impairments and visual impairments. I agree that this is an important point and that we should never lose sight of the inclusion agenda.
We are publishing a national condition which requires licence holders to maintain clear routes of access. This includes taking account of the needs of disabled people and, in particular, section 3.1 of the Department for Transport’s Inclusive Mobility guidance. This sets out the recommended minimum footway widths and distances required for access by mobility-impaired and visually impaired people. I say to my noble friends Lady Eaton and Lord Lucas, and the noble Baroness, Lady Randerson, that any licences granted will be subject to local and national conditions, and the legislation contains robust enforcement procedures. Local authorities can revoke licences where they give rise to matters of public safety, highways obstruction, anti-social behaviour and public nuisance, as well as on a number of other grounds.
A number of noble Lords, including the noble Lords, Lord Stevenson, Lord Blunkett, Lord Carlile, Lord St John, Lord Paddick and Lord Kennedy, the noble Baroness, Lady Wilcox, and my noble friend Lord Balfe, understandably raised concerns about possible unwanted effects of the alcohol licensing provisions in terms of anti-social behaviour and disorder. We have established two main safeguards in designing these provisions, to ensure that any issues that arise can be dealt with swiftly and robustly. First, it is worth reiterating that the measures in the legislation will not apply to premises whose off-sales permissions have been removed, either voluntarily on a variation or on review, within the last three years.
Secondly, the Bill will introduce an expedited review process for automatically granted permissions. This can be used where there are problems of crime and disorder, public nuisance or public safety arising from how premises use the new permission. In this case, any responsible authority, including the police or environmental health, can apply for an off-sales expedited review. On receipt of this application, the relevant licensing authority must consider whether it is necessary to take interim steps within 48 hours, and must determine the review within 28 days. Interim steps can include: changing the hours in which off-sales are permitted; adding new conditions in relation to public nuisance, such as to prevent noise nuisance; and suspending the off-sales permission. As I have said, a review can result in the automatically granted off-sales permission being removed.
Beyond the provisions in the Bill, my noble friend Lord Balfe in particular may wish to note that the police also have the power, under Section 76 of the Anti-social Behaviour, Crime and Policing Act 2014, to issue a closure notice if there are reasonable grounds to believe that the use of a premises has resulted, or is likely to result, in nuisance to members of the public or that there has been, or is likely to be, disorder near the premises that is associated with the use of the premises. Having mentioned that, I am sure we can all identify with the very good points made by my noble friend Lady Stowell of Beeston regarding the relationship between the police and the public.
I shall sum up these protections with an example. If local residents complain to the police about disorder relating to a particular bar or restaurant, the police might first consider taking immediate steps to close the premises using their anti-social behaviour powers, but they could also request an expedited review, which could result in steps to prevent ongoing issues at the premises by toughening the terms of the premises licence.
My noble friend Lord Sheikh, the noble Lords, Lord Stevenson and Lord Kennedy, and the noble Baroness, Lady Wilcox, all referred to the importance of keeping hospitality workers safe. The Government are clear that workers should not be forced into an unsafe workplace and that the health and safety of workers should not be put at risk. To this end, we have published Covid-19 secure guidance for keeping workers and customers safe in restaurants, pubs, bars and takeaway services. The guidance sets out how to open workplaces safely while minimising the risk of spreading Covid-19 and gives practical considerations for how that can be applied to hospitality businesses. The guidance is non-statutory and does not change legal obligations relating to health and safety, employment or equalities, but it will help businesses to manage the risks for their employees through social distancing, hygiene and fixed teams or partnering.
Businesses must also carry out an appropriate Covid-19 risk assessment in consultation with unions or employees. Employers should share the results of their risk assessment with their workforce and are encouraged to display a notification that they have complied with the Government’s guidance on managing the risks of Covid-19. Employees can raise any concerns by contacting their employer representative or trade union or by contacting the Health and Safety Executive by phone or online form.
I appreciate that noble Lords may be interested to know the specifics of the guidance and therefore encourage them to read the guidance in full on the GOV.UK website. Due to the comprehensive nature of the publication, I cannot relay all its recommendations to the House. However, I reassure noble Lords that a considerable range of practical steps are provided to help to keep workers safe. The noble Baroness, Lady Jones, will be pleased to hear that that includes setting clear use and cleaning guidance for toilets to ensure that they are kept clean and social distancing is achieved as much as possible. I should add that the Health and Safety Executive has been given an extra budget of £14 million for extra call centre employees, inspectors and equipment to help businesses to manage the necessary changes.
The noble Baroness, Lady Northover, raised some very interesting points about second-hand smoke on pavements. With regard to pavement licensing, the local authority can impose locally-set conditions on licences. The draft guidance provides that, when authorities are determining applications and setting conditions, issues that they will want to consider include public health and safety, while the conditions can include restricting smoking in areas not designated for smokers.
The noble Lord, Lord Hain, called for new ways of working following Covid-19 that are arrived at through robust dialogue with unions and employees. The Government have worked constructively with the unions throughout the pandemic. We recognise that responsible trade unions can play a constructive role in maintaining positive industrial relations and that collective bargaining remains an important form of negotiation in the workplace. However, we believe that where possible industrial relations should be undertaken on a voluntary basis, not mandated by the state. Collective bargaining is largely a matter for individual employers, their employees and their trade unions. If workers want a union to represent them, they have the means to secure that through the CAC statutory recognition procedure.
The noble Baroness, Lady Doocey, called for a revival of holidaymaking and tourism. I am sure she will agree that supporting hospitality is a key part of supporting tourism. The pavement and alcohol licensing measures in the Bill will help restaurants, bars and pubs to get ready for the summer. The more places where people can eat and drink, the better the local tourism offer and the more likely people are to take the brilliant staycations our tourism industry offers. She and other noble Lords, especially my noble friend Lord Hunt of Wirral, will have seen yesterday’s announcement of more than £1.5 billion to support cultural assets of international, national and regional importance, and that money will directly help the tourism industry. The announcement has been widely welcomed, as I am sure noble Lords are aware, by the arts sector.
More widely, we announced the cultural renewal task force on 20 May. We have since published guidance on reopening holiday accommodation and the visitor economy to give businesses the ability to plan with confidence to reopen. On 3 June, we announced a £10 million kick-starting tourism package. This will give small businesses in tourist destinations grants of up to £5,000 to help them adapt their businesses following the pandemic. That is only one of a number of measures that we have taken.
The noble Lord, Lord Addington, and my noble friend Lord Moynihan asked about the status of sports clubs and whether they can benefit from the alcohol licensing measure. The Licensing Act 2003 provides for club premises to sell alcohol by retail to club guests, but only for consumption on the premises. I am afraid that this is not changed by the Bill. The Bill is focused on the wider hospitality sector. However, all clubs can apply for a variation of their licence to serve alcohol off the premises if they wish. Sports and physical activity facilities play a crucial role in supporting adults and children to be active. The Government are in discussions with representatives from the sport and physical activities sector about the steps required to reopen sports venues and facilities, including swimming pools, as soon as it is safe to do so, and we will update the public when possible. As with all aspects of the Government’s response to Covid-19, we will be guided by the science to ensure that, as restrictions are eased, people can return to activity safely.
The noble Lord, Lord Berkeley, and others, including the noble Lord, Lord Stevenson, asked whether temporary licences could be issued for small breweries to sell to the public. The provisions in the Bill do not grant any new licences. The proposal that a brewery should be given a premises licence without any scrutiny by the local licensing authority, the police or the public goes too far, I am afraid. It is vital that the conditions on which a permanent premises licence is granted receive careful consideration from agencies with a knowledge of local issues and the licensee. The suggestion that a premises licence could be granted through a purely administrative procedure or a minor variation would deprive the responsible authorities and the public of a voice.
My noble friend Lady Neville-Rolfe asked about age verification. I will write to her on that topic.
The noble Lord, Lord Adonis, made some very powerful points, one of which was to question why schools should not be more fully open than they are when we are taking these measures in relation to pubs. While pubs reopened this weekend, he will know that schools are already open and more than 1.5 million pupils have been welcomed back. Since 1 June, primary schools have been welcoming back children in nursery, reception, year 1 and year 6, alongside priority groups. Since 15 June, secondary schools and colleges have been offering some face-to-face support for pupils in year 10 and year 12, who will sit key exams next year.
I will write to noble Lords who raised the issue of hospitality businesses that do not have premises and on any other topics in relation to that part of the Bill that I have not covered.
The Bounce Back Loan Scheme has, by common consent, been a lifeline to small businesses during the crisis. Over 900,000 have benefited to date, and I am grateful for the comments of the noble Lord, Lord Bilimoria, and others on this measure. The provisions in this Bill allow for the majority of bounce-back loans to be issued within just 24 hours, rather than the usual five to 10 days. They also help lenders to process applications at a much greater scale, and the measures have been welcomed by UK Finance.
The noble Lord, Lord Stevenson, asked why the Government do not publish data on the number of applications to and rejections from the Bounce Back Loan Scheme. We have in fact been publishing relevant data on the Covid business lending schemes on a weekly basis since 12 May. This includes data on the number of applications received and the number and value of facilities approved to date for the Bounce Back Loan Scheme, CBILS and CLBILS. In publishing this data, we aim to support the information needs of society in general and of course the stakeholders. The Government are considering what further data may be available in the future while balancing the sensitive commercial nature of this information for lenders.
The noble Baroness, Lady Bowles of Berkhamsted, raised her concerns about protections for business. We need to remember that these are unprecedented times, which is reflected in the 100% guarantee that we are providing to lenders. Under the scheme, businesses cannot borrow more than 25% of their turnover, which should help to ensure that the loan is sustainable. In addition, to enable firms to get back on their feet, borrowers are not required to make any repayments for the first 12 months, and the Government will cover the first 12 months of interest payable. The scheme also has an affordable flat rate of interest and borrowers have six years to repay the loan.
However, businesses do need to take responsibility for what is in their interests. The terms of the loan are very clear in the application that businesses will fill in as part of securing a loan. Any business taking on a loan such as this should think carefully about whether debt is the right answer for them and about their ability over the long term to pay it back.
The noble Baronesses, Lady Falkner of Margravine and Lady Bowles, spoke about the prospect of defaults. The scheme supports the smallest businesses, which are the backbone of our economy, as rightly emphasised by my noble friend Lord Inglewood. The Government said from the start that they would do “whatever it takes” to support business; this scheme delivers on that promise and is in addition to the support the Government offers through business grants, the corona- virus job retention scheme and tax deferrals.
However, we have also made clear that bounce-back loans are loans and not grants. Borrowers must make every reasonable effort to repay these on time. The scheme being 100% government-guaranteed means that, should some borrowers default, lenders will not be burdened with debts. However, the Government expect lenders to seek to recover the loans where feasible and we are convening workshops in the coming weeks to discuss this in more detail with the accredited lenders.
I will write to the noble Lord, Lord Berkeley, on the issues he raised on HGV licensing and move to another topic raised by noble Lords, which is construction working hours and planning. I am grateful to those noble Lords, and especially my noble friend Lady Noakes, who expressed support for the measures designed to assist the construction industry. Like the hospitality industry, the construction sector has been hit hard by coronavirus: over 40% of the workforce has been furloughed. The Bill helps them to get back to work safely, and the measures have been extensively discussed with representatives of the development industry.
To the noble Lord, Lord Whitty, who expressed concerns, I stress the point that these measures are temporary. The Bill will make it quicker to extend site opening hours, allowing for better social distancing and catching up on lost work time, and there is strong support across industry and local planning authorities for the provisions.
Having said that, I of course take on board the points powerfully made by the noble Baroness, Lady Andrews, on the wider context, especially the future of the high street. I agree that there is a balance to be struck between using up spare capacity for housing on the high street and motivating the retail sector, but I say to her and to my noble friend Lord Wei that we strongly support the revival of the high street so that it becomes a place where people want to go. We need to look constructively at flexibilities to further that aim.
The noble Lord, Lord Campbell of Pittenweem, said that, in his view, the 14-day timescale was too short for consultation. He will recognise that, as so often, this measure has to strike a balance. We consider the timescale to strike a fair balance between allowing time for necessary engagement, for example with local councillors, and enabling developers to obtain a fast-tracked decision, particularly so that they can make use of the additional daylight hours available in the summer months. Local authorities know their areas well. We are confident that they will be able to judge the impact on local businesses and residents in the majority of cases, particularly since we have prepared guidance to support this decision. They retain the discretion to refuse where there would be an unacceptable impact.
A number of noble Lords, including my noble friend Lord Randall, expressed concerns about noise and nuisance during extended construction hours. I understand that concern. First, authorities will have discretion to refuse extensions to working hours where they consider that longer hours would have an unacceptable impact. They also have a range of enforcement powers available to them. Secondly, many sites will already have construction management plans, which will include mitigation measures against dust, vibration, noise and so forth. Thirdly, my noble friend Lady McIntosh will note that developers are, as ever, encouraged to work closely with the local community and their local authority and to undertake works which may be noisy and affect residents during normal working hours.
I will write to the noble Lord, Lord Best, on his proposal that the presumption in favour of sanctions in relation to the five-year housing land supply and the housing delivery test be suspended. I have an extensive note, but, unfortunately, there is not time for me to put it into Hansard. Equally, I will write to my noble friend Lord Blencathra on the potential for 24-hour construction and the need, as he saw it, to limit that facility.
I will cover a point raised by my noble friend Lord Randall, who was concerned about the environmental impact of extended construction hours. Local authorities will need to carefully consider applications where, for example, the development is subject to an environmental impact assessment or there are habitats issues. They will have discretion to refuse applications for extended construction hours where they believe that a development would have a significant environmental impact that has not previously been assessed.
I will write to my noble friend Lord Naseby on new towns and garden towns. I will also write to my noble friend Lord Young of Cookham, who raised two very important points about local plans and hybrid appeals. I apologise that there is no time to cover the note I have now.
Equally, I shall write to my noble friend Lord Lansley on the point he made about a three-month extension to planning consents not being enough, and to the noble Lord, Lord Adonis, on cycle lanes and parking bays. I shall also write to the noble Baroness, Lady Doocey, about caravan and self-catering accommodation being open for the winter, and to the noble Baroness, Lady Kramer, about the bodies with planning powers which are not covered in the Bill, such as mayoral development corporations, Transport for London and the London legacy corporations.
Once again, I am grateful for the excellent and constructive contributions from noble Lords who have spoken. In summary, the Government believe that this Bill is urgent and necessary. It will help businesses in hard-hit sectors get back to work safely and without delay. Almost all its provisions are temporary. They have been developed in consultation with businesses, local government and other interested parties. It is very important that these provisions come into force as soon as possible. If we are not able to make the changes before the summer, benefits for the hospitality sector will be greatly reduced and approval backlogs may again become an issue in construction and in vehicle licensing and testing.
We are entering a new phase in the response to coronavirus. The immediate crisis is abating; now we need to help businesses and the economy to rebound. This Bill will play an important role in achieving that aim. I beg to move.
(4 years, 5 months ago)
Lords ChamberMy Lords, I also intend to speak to Amendments 3 and 11 in my name.
This Bill demonstrates exactly why we need to get back to work as a House of Lords. Some 70 Members will speak in different parts of this Committee stage and there is a large number of amendments to what is a highly contentious Bill. This weekend, the Government said that we should go back to work; perhaps we should start by setting an example and getting the House of Lords back to work.
Before I get to the meat of this, I note that Labour is not supporting any Divisions so we will probably have a Division-free day. However, many items in the Bill deserve considerably closer scrutiny. I hope that, before it comes back next week, there will be considerable concessions from the Government; otherwise, I fear that there will be Divisions. Looking at recent history, the Government are not on a great winning streak there.
By way of background, Amendment 1 seeks to provide that premises in an exclusion zone cannot benefit from the provisions of the Bill. Exclusion cumulative impact zones, as they are called, were introduced in the Blair/Brown years after the Government introduced in the early part of this century a number of changes to the licensing laws, which they felt would help to bring about a café economy. Well, they did not; they brought about absolute chaos.
My wife spent four years on Forest Heath District Council, a rural council up here in East Anglia. For most of that time, she and her Labour and Liberal fellow councillors were involved in trying to get a cumulative impact zone imposed on a town called Newmarket, where we were living at the time. The fact of the matter is that the licensing laws were relaxed to such an extent that they caused enormous problems.
They still do. In the town of Cambridge, where I have lived for a good number of years, there is a cumulative impact zone on Mill Road. We have plenty of experience of the problems that excessive alcohol licences can lead to. There are more than 50 licensed premises in the Mill Road area. We have gone to considerable effort to get alcohol licences either in place or extended. Only a couple of weeks ago, we had an application from Brothers Supermarket. It wanted a licence to sell alcohol from 8 am to 11.30 pm. The person representing it knew all the legal arguments—indeed, they were a good advocate—but it was next door to another premises called Nip-In, where you could nip in at any point and buy alcohol. The problem was that, when this application went forward, it had 76 objections to it and not a single person sent in a representation in its favour because it was widely recognised not that there was anything wrong with Brothers Supermarket but that the area was totally swamped by alcohol licensing.
This Bill seeks to make that even easier, which is why I have tabled this amendment. Where there is a cumulative impact zone, it is clearly already in place and it demonstrates that there are severe problems with alcohol. You do not get a zone declared unless the police are on your side and there is fairly unanimous support from the council. That was the case here. Not only did no one support it; the police were against it and representatives of all three political parties sent in statements opposing this particular licence. After a three-hour hearing, it was rejected.
This Bill seeks to get things decided within seven days. How on earth is that to be done if multiple applications have to be dealt with? It is quite likely that there will be. I seem to remember that the Blair/Jowell Bill was also enacted in August and local authorities were caught off their guard.
I know that the noble Lord, Lord Kennedy, and several other noble Lords are vice-presidents of the Local Government Association. I am not and I have not had anything to do with local government since I left the Greater London Council in 1977, so to put it mildly, I am a bit out of date. What I would like to hear in this debate is an explanation of how the LGA proposes to handle this vis-à-vis its councils. The cumulative impact zone is just one of the problems, but there are others, all of which are highlighted here. A second one that I draw attention to in my Amendment 11 is to ask whether the police will be consulted because, at the moment, the Bill does not say that they should be. That is why the amendment seeks to add after “local persons” the words
“including the local police force”.
Surely the police have a vested interest in whether or not order can be maintained, and they should be consulted.
In Amendment 3 I refer to locked-down premises. In our area, and I dare say in the rest of the country, we have had two very different experiences of the period of lockdown. I have already mentioned the licensed premises close to our house, but there are some premises, one called 5 Blends Coffee House and the other Tom’s Cakes, which were locked down for the whole period. Obviously, they need to get back into business again but some of the other ones do not, and, as will become clear in the debate, there are problems with pavements as well as other issues. The 5 Blends Coffee House has room for tables outside because it is on a corner, but Tom’s Cakes, because of the street furniture, has no room, although it does have a garden at the back, which presumably can be used without permission. Further up the road is a health food shop called Arjuna Wholefoods, which has a licence and enough room outside to set up tables. I do not think that the owners will do so, but if they did wish to set up those tables and serve glasses of wine to their customers, that would only add to the problems in the area.
What I am asking the Minister and the Government to do is to agree to take a much closer look at this and, particularly where there are cumulative impact zones, to say, “Right, a problem with alcohol has already been identified in the area and that should be enough for it not to be exacerbated by making it even easier to extend licensing facilities and thus make it easier to buy alcohol.” I also do not think that it is unreasonable to ask that the police should be consulted, and when we consider locked-down premises, is there any reason why the Sainsbury’s shop in Mill Road should not be allowed to open an off licence on the pavement, given that it has a licence to sell alcohol? I do not think that it would wish to open an alcohol vending service, but what if it did? The shop has been open throughout the lockdown and, if anything, its trade has gone up because more people have been tending to shop locally. There is a need to distinguish between a firm that sells alcohol which has been open for the whole time and one that has not. With those words, I beg to move.
My Lords, it is a pleasure to follow my noble friend Lord Balfe on his interesting and in-depth trip down Mill Road. That brings back all kinds of memories from being a student at Cambridge. I will speak briefly, but I ask my noble friend the Minister to address all my points in detail when she sums up the debate because that may be the most expeditious way of resolving them. I shall speak to Amendments 36, 37, 40 and 43 in my name, and I thank other noble Lords who have put their names to them and have agreed to speak.
These amendments all have a clear purpose, one that I believe is in line with the purpose of the Bill, which is to get the economy moving again. We should have done this earlier and we could have done so, but we are doing it now and that is a good thing. I have a few issues with this part of the Bill, where I believe that we could improve the outcome for businesses, for individuals and for society.
The amendments address the position of small independent breweries which find themselves shut out of the provisions of the Bill—and thus the economic restart—as currently drafted. The amendments seek to enable small independent breweries to sell alcohol directly to the public for a temporary period in a safe and measured way that is in line with the other temporary measures being put in place for other sectors of the economy. In the circumstances, I believe that this would be both proportionate and low in risk. It could be done by using the normal licensing procedure in these circumstances and for this to be seen as a minor variation, as set out in Amendment 40.
Similarly, Amendment 43 seeks to allow the use of temporary event notices. Increasing the number of these notices would give the local authority even more control over the situation because it will issue them to businesses that have already been issued with them. There will be a track record and the authority will have a knowledge and understanding of how those businesses operate. That would not be a shot in the dark because HMRC knows these businesses. They will be on the system and they will have passed the fit and proper person test. The notices would be for a temporary period to enable small independent breweries to get back into business rather than potentially going to the wall or, indeed, needing to come cap in hand to the Government. This would resolve those issues.
There is also an important secondary benefit in having more venues open: patrons would be more able to observe social distancing because there will be more places to go to have a drink. Moreover, small independent breweries are not often located in residential areas or in zones such as those described by my noble friend Lord Balfe. It makes sense to spread people out so that they can go out for a drink safely and thus help start up the economy again.
As I have said, I hope that my noble friend the Minister can address all of the specifics raised in Amendments 36, 37, 40 and 43. I look forward to her response and to hearing the comments of other noble Lords.
My Lords, I shall confine my comments predominantly to Amendment 38, which stands in my name. It is an attempt to bring sports clubs and other similar concerns with licences into line with the rest of the off-sales from the licensed premises sector.
We spoke about this at Second Reading and the Minister, the noble Earl, Lord Howe, said in his usual disarming way, “Oh, don’t worry. You can get a licence or special arrangements can be made.” We are talking here about a short-term move that may last for two or three months. If sports clubs need to get a licence every time they require one, a fast-track system for doing so is needed or they will miss out on many opportunities. Those opportunities are important because sports and other clubs need their bar revenues to continue to function; it is that simple. The model for a sport such as cricket is that the bar is part of how the club ensures that it can maintain the ground, maintain kit and run the juniors programmes. That is why we want this provision in the Bill—we want these clubs to operate on similar terms to those of other businesses.
If there is a way around this that we have not come across before, that is great. It is not about doctrinaire issues but is purely practical. If there is another way of dealing with this, let us hear about it—but if we do not get this and have to have a process of licensing down there, people will miss out. I appreciate that the Government have to act fast with the difference in the two licensing applications, but can we have a practical solution to this? That is all I am really asking for.
We have other stages to go through on this Bill. If we can find one that works, I will be happy and the people who have been nudging me forward will be happy—at least, I hope so—but we need to make sure it is dealt with. The bars of clubs are important to their function, and their function is generally regarded as a public good. Surely putting them on the same terms for one or two days a week as a pub or anywhere else selling alcohol will not damage society greatly, and indeed may improve it.
I will speak to Amendment 44 on digital age verification and thank my noble friend Lord Clement-Jones for his support. I raised this at Second Reading and thank my noble friend the Deputy Leader for his courteous and timely letter. I am especially grateful to him and the Minister for Crime and Policing at the Home Office for publishing on GOV.UK the government response to the call for evidence on violence and abuse toward shop staff. That certainly helps to put discussions today into perspective. I am glad to hear that the Minister for Crime will work with business, the police and other partners to tackle this serious issue, including underreporting. I know the British Retail Consortium is disappointed about some aspects of the government response, but that is for another day.
Today is about emergency measures to deal with life under Covid-19, and they are all most welcome. As my noble friend Lord Holmes said, we need to get the economy motoring again. That includes measures that encourage business to revive and grow, as his amendments have proposed. In that context, I remain concerned about the absence of digital age estimation and verification for sale of alcohol. Our amendment enables the use of such verification, provided that the licensed seller in a shop or pub takes reasonable precautions and applies due diligence to ensure the purchaser is over 18.
The obvious example is the Yoti app used in a number of European countries, such as Estonia— a real digital leader—and some parts of the UK. It means there is no need to show paper ID and wash your hands or resanitise—or perhaps not—or to remove a mask to engage in a physical conversation and a physical check of the customer’s ID. It works brilliantly at automatic checkouts, as their videos show, and would help to speed up queues in pubs and elsewhere. Other apps will no doubt be developed, making the technology more widely available. Interestingly, I see from the Yoti website that NHS England and NHS Improvement have begun deploying a secure digital ID card from Yoti to put employees’ NHS ID cards on to their phones. The killer argument for this Business and Planning Bill is that this system is already in use in shops to verify sales of knives—arguably much more dangerous than drink—and other age-restricted products such as tobacco, lottery tickets and fireworks.
It has been argued that we cannot introduce a digital system for alcohol outside the Proof of Age Standards Scheme—PASS—which is being developed for card issuers. However, that has got bogged down and delayed by Covid and is not producing the solution required when it is so desperately needed. It is of great significance that the British Retail Consortium, which set up PASS, no longer has faith in it. It rightly believes that no scheme should be skewed to a particular interest group.
Ours is an open amendment that overnight would improve things hugely and allow more enforcement of the drinking rules than I believe is taking place at present. A sunset clause can be included allowing the opportunity to simply trial these new app-based methods, at the same time avoiding the need for young people to carry passes—and lose them, as they often do. I hope my noble friend the Minister will look favourably at this amendment and be open to agreeing a simple enabling provision before Report.
My Lords, I will speak to Amendments 36, 39, 40 and 43, to which I have added my name. I fully support what the noble Lord, Lord Holmes, said in his introduction and will not preface what my noble friend Lord Kennedy of Southwark may say when he introduces his amendment later. While supporting and fully agreeing with the view of the noble Lord, Lord Balfe, that we should all get back to work in the Chamber, I do not really agree that the increased number of outlets will improve the environment of Cambridge. You could then argue that we had better get back to prohibition days, and I do not think anybody wants that.
My amendments are intended to increase the choice of products and balance the smaller number that can be inside a pub or restaurant with more space outside. I commend the Government on allowing many outlets to put more space on the pavements or even roads and increase the space for cycling at the expense of polluting cars. The amendments would also allow a greater choice of suppliers, which I think is important.
My interest is encouraging small brewers and limiting the bullying tactics we have seen over the years from the pubcos, which are very much to the detriment of the small landlord. As the noble Lord, Lord Holmes, said, small brewers have lost a large proportion of their trade during the Covid lockdown, and 65% of breweries have apparently been mothballed because they could not sell their product direct to the public. Some of the smaller breweries do not have premises licensing and without these amendments cannot offer takeaways or deliver direct to the public. I believe that small breweries have really reinvigorated the hospitality sector in recent years. Allowing off-sales on a fair, proportionate and reasonable temporary basis, subject to the various conditions put in these amendments and the existing legislation, is surely a good thing.
I certainly believe that the amendment is not a licence for street raves. It is just a means of providing similar spaces outside due to the shortages inside because of the lack of social distancing space, combined with adding the possibility of much more competition within the brewing industry generally.
My Lords, I speak in support of Amendment 44, so well introduced by the noble Baroness, Lady Neville-Rolfe. As she emphasised, it is a deregulatory amendment that entirely fits within the context of this Bill. Given her experience running the Better Regulation Unit and on the board of a major retailer, she should know.
This amendment is designed to give retailers the option of carrying out contactless age verification at a distance and automatically. It is supported not only by those representing and directly providing digital solutions, such as techUK, NCR and digital identity providers such as Yoti, but by the leaders of the key organisations involved in the retail trade, the British Retail Consortium and the Scottish Grocers Federation. It has the twin benefits of keeping retail staff and customers safe by assisting compliance with coronavirus guidelines and social distancing, and preventing the sales of age-restricted goods to minors, upholding the principles of Challenge 25—the retailing strategy that encourages anyone who is over 18 but looks under 25 to carry acceptable ID if they wish to buy alcohol.
The relaxation of coronavirus lockdown measures will now see an increase in in-store footfall, a potential rise in abuse and social distancing challenges with queues. Queues in supermarkets in particular create a point of potential congestion that can put staff at risk. Retailers have noted that almost 24% of baskets contain an age-restricted item. As a result of current rules, many customers wait longer than necessary. It can typically take 63 seconds to alert a staff member and carry out an age check when a basket includes an age-restricted good.
Age verification has a British standard, BSI PAS 1296 —Online Age Checking: Provision and Use of Online Age Check Services—which has been approved for use for all products apart from alcohol and has received assured advice from the Association of Convenience Stores. The standard has been worked on by age-verification experts and covers all the aspects important for designing and building a robust age-verification system—namely data protection, security, transparency and effective operation. Such a contactless method would take pressure off store staff, at a time when they are busy and pressured, and when wrong decisions can be made and there is temptation not to ask for ID.
The current conditions of customers wearing face coverings and social distancing make checking physical ID documents for age-restricted goods, in a retail context, much harder for staff. Staff have enough problems with aggressive customers without asking them to remove a mask or face covering that they are wearing under government guidance. As a result, there is a heightened risk of increased verbal, physical and racial abuse, increased coronavirus transmission risk when physically examining Challenge 25 approved ID documents, and the difficulty of matching documents to a customer wearing a face covering.
I have, for some time, been a supporter of age verification through digital identity systems, first legislated for in the Digital Economy Act 2017. It is clear that highly accurate digital age-proofing and identity-checking solutions are available off the shelf in the UK today that can significantly help alleviate issues facing retail staff. They are trusted for right to remain without a formal standard for 3 million-plus people and approved by the Joint Money Laundering Steering Group for financial services in the UK. In-store use of these technologies has been successful in the US and Europe—integrated into self-checkout and automated dispensing machines—but not in the UK, purely due to the current inconsistent regulatory requirements. We are behind other nations as a result, which is ironic given that the UK is playing a leading role in this technology.
In summary, the amendment would protect customers’ health, help with the development of a leading UK technology, reduce cost to retail because it reduces time taken at checkout and self-service, and reduce regulatory burden significantly because it removes the need for a second paper check of ID after the digital check. What can the Government conceivably object to in this amendment?
My Lords, I am speaking in favour of Amendment 3 from the noble Lord, Lord Balfe. If anything like the normal timetable had been in existence, I would have added my name to it.
At Second Reading, I asked for clarification over the scope of Clause 1(4)(b), specifically whether it covers supermarkets setting up pavement licences and whether that is good for the hospitality sector. The Minister wrote in reply, confirming that it covers any premises, but I will read into the record some of what the letter says, because of the emphasis it gives:
“This includes shops, such as convenience stores and supermarkets, which you referred to, from which food or drink can be bought. Draft guidance mentions public houses, cafés, bars and restaurants, including other types of food and drink establishments such as snack bars, coffee shops and ice cream parlours, though eligibility goes beyond this. It would include any businesses which sell food or drink, for example theatres and galleries with cafés and bars.
You also raised an important question about whether this is helping the hospitality industry by allowing other premises, such as shops from which food or drink can be bought to apply for pavement licences. Given that indoor space will be limited while social distancing measures apply, we want to provide a temporary process that helps support as many businesses to reopen as possible by allowing them to serve customers outdoors. This process is intended to help give much needed support to the hospitality industry, but given the impact Covid-19 has had on the whole economy, this provision should not be limited just to the hospitality industry when there is an opportunity for other sectors which have also been struggling economically to benefit.”
My Lords, I will speak to Amendments 44 and 1. As declared on the register, and as I referred to at Second Reading, I chair the board of PASS, the proof of age standards scheme. I was delighted that my noble friend Lady Neville-Rolfe highlighted this scheme, which has the support of the hospitality and tourism sector, and the retail sector, as represented by the major players. It is true that we are undertaking a consultation at the moment and that there was a slight delay in enabling everyone from whom we had not already heard to respond.
The point I want to make is that obviously I am in favour of a digital verification scheme. However, to me, it is extremely important that any digital scheme should comply with the same standards and meet the same regulatory requirements as any physical provider. I am sure that my noble friend would agree with that.
As my noble friend Lady Neville-Rolfe and the noble Lord, Lord Clement-Jones, pointed out, a physical proof of age scheme—now moving to digital—is government policy. We look to my noble friend the Minister to tell us, in responding to the debate, that the Home Office stands behind the proposals that we are to make in this regard. As my noble friend and the noble Lord rightly said, it will greatly expedite entrance to clubs, bars, nightclubs and all sorts of places if we have a digital verification scheme alongside the physical scheme. The scheme has been so successful because even the physical scheme offers an alternative to those people—usually young people—who, on a good night out, take their passport or driving licence and come home without it, which obviously incurs a huge expense. So anything that the Minister can do to chivvy things along with the Home Office would be very welcome news.
The fundamental point is that, whichever age verification scheme we use, be it physical or digital, it must meet certain standards. Obviously I would say that PASS is best placed to provide that verification and regulatory role.
I turn briefly to Amendment 1, moved so eloquently by my noble friend Lord Balfe. In most circumstances, it will be environmental health officers who enforce and police these arrangements. But there might be circumstances in which there is an outbreak of public disorder and the police are called. If it is indeed the case that the police have not been consulted, I would be interested to know the reason.
My Lords, I will speak in support of Amendment 40, in the name of the noble Lord, Lord Holmes of Richmond. This amendment seeks to insert a new clause, requiring the Secretary of State to make regulations to ensure that small independent breweries can make an application for a temporary premises licence easily and quickly. This is an important addition, as it would allow small independent breweries that would otherwise be excluded from the benefits of the licence measures in the Bill to take full advantage of them.
Like other businesses, independent breweries have struggled through the lockdown. A recent survey of small independent brewers, conducted by the Society of Independent Brewers, showed that 84% expect the pandemic and subsequent social distancing measures to have a lasting negative impact on their business. It is therefore right that the measures in the Bill, which are after all designed to help businesses recover and to protect jobs, can apply equally to small independent brewers. They should not be excluded.
After all, local breweries have a positive effect on local economies. Where I live in south London, Brockley Brewery—the local brewery, which was started in 2013—employs local people and is a London living wage employer. To survive the lockdown, it has been running a beer delivery service, alongside a weekend brewery shop. I am sure that these innovations have been a lifeline for the business. This amendment will allow other small independent breweries to benefit from innovations such as this. It will give them the option to use the measures in the Bill to keep their business going and to protect jobs. It will allow them to develop more innovative ways of getting their business back on its feet.
I can see no reason to exclude small independent brewers from benefiting from the measures in the Bill. I hope that the noble Baroness will accept the need for Amendment 40 and ensure that this vibrant part of the hospitality sector is not overlooked.
My Lords, I thank the Minister, my noble friend Lord Howe, for his engagement with the House on this legislation. I also thank him for his very helpful letter confirming to me that convenience stores that sell food and drink are within the ambit of the legislation; I am grateful for that confirmation.
I support this legislation, at least in general terms, and the provisions relating to pavement licences. However, we need the proper protection of certain interests, and I will be listening carefully later when the interests of the blind and the partially sighted are considered, as I think we need proper protection there.
I am also concerned about the dangers of off-licence drinking, particularly in city centres and particularly late at night. I therefore have considerable sympathy with the arguments put forward so ably by my noble friend Lord Balfe. I urge the Government to get a grip on this particular aspect of licensing. We all want to see the opening up of our economy—of course we do—but it is only against a safe background that the measures will be successful. I urge the Government to adopt the same lack of dogma on social measures as they have done on economic measures, with such marked success.
As I say, it is only against a safe background that the measures will be successful. Perhaps I might talk more widely on that for a moment, because I think it is relevant to the whole idea of ensuring that we open up the economy safely. I think that mandatory face masks in shops will be necessary. The Prime Minister’s seeming instincts here must surely be right. We came to this late, but correctly in my view, for public transport; we should do the same for masks in shops. A voluntary approach will simply not work: it is rather like switching to driving on the other side of the road and inviting motorists to choose whether to do so or not. It will work only if everybody wears a mask—allowing of course for medical exemptions, which will be few in number.
Coming back to pavement licences, eating and drinking are very different outside and if we have social distancing. But therein lies the rub for late-night drinking and drinking in city centres, as we have seen recently in Soho. That is why we need to ensure that there is proper consultation with the police and to control late-night licences in city centres; otherwise, control of the virus will suffer a very serious setback.
I therefore support the need to work closely with the police, as stated so ably by my noble friend Lord Balfe. I also very much support the amendment on age verification, articulated so effectively by my noble friend Lady Neville-Rolfe and the noble Lord, Lord Clement-Jones; what they said was absolutely right. I will be listening very carefully to what the Minister says, knowing that she will articulate the case very effectively and come up with appropriate answers.
I call the next speaker, the noble Lord, Lord Naseby. No? We will move on to the noble Lord, Lord Wood, and then come back to the noble Lord, Lord Naseby.
My Lords, I shall speak briefly in support of Amendment 40, tabled by the noble Lords, Lord Holmes of Richmond and Lord Berkeley, who have already made the case for this important proposal; I am grateful to them both. This amendment would allow an application for a premises licence for a small brewery to be treated temporarily as a minor variation to existing terms, which would shorten the time for the consultation period and reduce the cost of the application. The aim is to provide desperately needed flexibility, speed and support for Britain’s breweries at a time of huge need.
My Lords, I shall be brief. I just want to pick up on a point made earlier by my noble friend Lady Bowles: that the opening up promoted by this Bill—which I support, particularly given some of the safeguards embedded in amendments —should not extend to supermarkets and convenience stores. When pubs reopened just over a week ago in Richmond, I and others observed that licensed premises managed their customers and alcohol very responsibly. The problems that occurred were caused by people buying discounted alcohol from supermarkets and reading the relaxation of the rules governing pubs as, in effect, a relaxation of the constraints they had been observing during lockdown; therefore, they were out on the streets, frequently exceedingly drunk. As the chair of the Police Federation noted, it is crystal clear that people who are drunk cannot socially distance.
I could not find a way to shoehorn a specific amendment into this Bill, but I hope the Government will take on board that discounted alcohol served or sold by supermarkets and convenience stores late at night is a fundamental cause of problems that, unfortunately, are frequently being attributed to licensed premises. Locally, we find that those with a licence are well embedded in the community, have a strong and well-established relationship with the police and manage their customers exceedingly well. Going out on Richmond Green in the middle of the night, it becomes clear that it is supermarkets providing very cheap alcohol that are fuelling highly risky behaviour.
My Lords, I too shall be brief. I support what my noble friend Lord Balfe said about the House getting back to work. Indeed, I encourage my noble friend to come and join us in the Chamber, where he will find a warm welcome awaiting him.
I hope that he was wrong when he said that he was expecting Divisions on Report. We have to get this Bill on to the statute book as soon as possible. I hope we will not lose sight of the fact that these are temporary relaxations designed to help get the economy working again. Many of the issues raised are problems of normal times; we are not in normal times and we should not judge the relaxation proposals in the Bill by the issues we encounter in normal times. The important thing is to give the benefit of the doubt to premises that want to get going again. There are provisions in the Bill which allow licences to be revoked at a later stage if it does not work out. The most important thing is that we embrace the liberalisation encompassed in the Bill and do not hold it back by trying to make the application process more difficult or by putting more barriers in the way of our economy getting going again.
My Lords, I need to explain at the outset that, although I am down to talk about this group of amendments, I should be addressing a later group. I hope your Lordships will forgive me; it is probably my fault—I am not sure—but I certainly should be speaking later on. I welcome the pavement licence provisions and have no problem with most of the clauses—apart from Clause 11, on which I should be speaking.
I shall speak to Amendment 26 in the name of the noble Lord, Lord Paddick, and to Amendments 27 and 29. All these amendments restrict off-sales of alcohol to a time limit of 11 pm—an amendment with a 10 pm limit would be even better. I fear that the off-sales provisions are a bit of a panic response by the Government which will cause more problems than they solve. The Government defend the move by pointing out that changes can be made through an expedited review process if there are problems of crime and disorder, public nuisance or public safety—and of course, we can be sure that there will be. They also point out that the police have the power under Section 76 of the Anti-social Behaviour, Crime and Policing Act 2014 to issue a closure notice if needed. When eventually the correct group of amendments comes along, can the Minister tell the House what the police’s reaction has been to the proposal to extend the time limit for off-sales? Presumably, they anticipate a lot more trouble.
The other problem pointed out by local authorities is that the powers do not work at all where there are several premises together, as is the case in most towns and cities. However, the extraordinary point about Clause 11 is that it encourages the excessive use of one of the most dangerous of all recreational drugs: alcohol. As we know, alcohol kills 7,000 to 8,000 people each year; it is one of the leading preventable causes of death in the UK. Some 7.8 million people binge on alcohol on their favourite night out—or favourite night for drinking—no doubt causing problems for their liver. Is it really the Government’s job to encourage the consumption of this dangerous and addictive drug? I cannot help also pointing out the illogicality and cruelty of government policy—not just of this Government; I am making a non-party-political point—with respect to a drug which has none of the dangers associated with alcohol. How can the Government on the one hand tell people to take the alcohol drug late into the night—the more the better; yes, it is dangerous, highly addictive and kills people, but never mind—and at the same time criminalise those who are very sick and take an entirely safe drug, cannabis medicine, which is well-balanced and harms nobody?
I know that the Minister understands these issues extremely well and I do not like to ask an awkward question, but how can she possibly justify these contradictory approaches to alcohol and cannabis? It is high time that all political parties aligned their drug policies with a scientific assessment of the risks of individual drugs. Clause 11 of this Bill is just one more ill-judged drug policy.
My Lords, I support Amendment 11 in the name of my noble friend Lord Balfe. Clause 3(2) states:
“Before making a determination in respect of the application”
for a pavement licence,
“the local authority must … take into account any representation made to it … consult the highway authority … and other persons as the local authority may consider appropriate.”
I support having input from the people and organisations stated, but I feel that it is necessary for the local police to be consulted in making a determination.
To reiterate what I said at Second Reading, I welcome the Bill, which will trigger the revitalisation of our businesses and help the well-being of the people. As a businessman, I would like the economy to pick up and create employment for all the people who have been idle for the last few months. However, my concern is the safety of staff and the nuisances and disturbances caused on pavements and streets and in neighbourhoods. Before the pandemic, we saw young men and women misbehaving and fighting in the streets on Friday and Saturday nights. I used to see this happening when driving through towns at night. My concern is that people have been frustrated over the last few months and that the relaxation of the rules will lead to social problems.
When the problems of anti-social behaviour arise, they will be dealt with by the police on the spot. Local police know the hot spots in their areas where problems are likely to flare up. To alleviate the issues and possible problems, we need consultation and input from local police when an application is made for a pavement licence. I appreciate that the police have powers to issue closure notices, but this is like closing the stable door after the horse has bolted. It is therefore important that the police are consulted before the problems arise.
My Lords, I draw the attention of the House to my interests in the register and apologise to the Committee for not having been able to speak at Second Reading.
I welcome and accept the Government’s objective of getting the hospitality sector moving, and we should not underestimate the wider impact on the economy if that sector does not revive. Speaking personally, despite the strictures of the noble Lord, Lord Balfe, I would welcome a shift towards a café culture society and away from the focus on binge drinking and vertical drinking establishments. However, this move should be achieved with local consent and neighbourhood support, where the parameters can be properly policed and enforced. That is why Amendment 11 in the name of the noble Lord, Lord Balfe, is so important. The views of local police must be sought on whether the proposed arrangements being considered in a locality are in practice workable and sustainable from a policing perspective. This raises a wider question: will the police be adequately resourced to manage what may be a more volatile street scene? What has the National Police Chiefs’ Council said about this? I observe that the extra officers the Government have promised will certainly not be available this summer.
An interesting and separate point is raised by Amendment 44, in the name of the noble Baroness, Lady Neville-Rolfe, on digital age verification. It is extraordinary that the Government have been so slow in encouraging digital age verification. I declare that, for a year or two, I was associated with a company developing such a digital solution. The problem was, and remains, that licensees are required to inspect a physical document with holographic authentication. This means that teenagers routinely take their passports and driving licences with them on a night out, many of which are then lost. Digital age authentication, based on mobile phones, is not only possible but far more practical. When will the Government act on this?
My Lords, I draw the House’s attention to my interests set out in the register as a councillor and as a vice-president of the Local Government Association. We on these Benches support the purpose behind this Bill, which is to provide additional flexibilities to businesses in the hospitality sector that have been forced to cease trading for three months and more as a result of government decisions to control the spread of the coronavirus.
As many Members have pointed out through the amendments discussed in this group, alcohol sales and premises are carefully licensed for a reason: undue consumption of alcohol can result in detrimental effects for both the individual and the locality. Although this Bill provides for temporary measures, temporary measures lasting 18 months can still cause considerable disruption for residents, communities and the environment. These factors must be carefully considered.
There are helpful proposals in these amendments to extend the flexibilities to include sports clubs and bars, as proposed by my noble friend Lord Addington. As he described, these provide a significant part of the funding for community sports clubs. I hope the Government will support this extension.
Equally, small breweries that currently do not have licences, as described by the noble Lord, Lord Holmes, and others, also seem a worthwhile addition to the flexibilities provided in this Bill.
My noble friend Lady Bowles made a powerful case for businesses that are not directly part of the hospitality sector, such as supermarkets, to be excluded from being able to apply for pavement licences. I hope the Minister will make it clear that this Bill is not, in the words of my noble friend, a Trojan horse for struggling pubs, cafés and restaurants.
Flexibilities on current regulations can result in unforeseen additional concerns. The amendment of the noble Lord, Lord Kennedy, to assess their impact after three months and to ensure that these temporary changes are indeed temporary is to be welcomed.
On safety concerns, the noble Lord, Lord Bourne, made some interesting comments on the mandatory use of face masks. None of us wants the additional flexibilities to support businesses to result in easier routes for the virus to spread. The amendment in the name of the noble Lord, Lord Kennedy, about the use of cash and provision of toilets is therefore important.
Enabling digital verification, in the amendment of the noble Baroness, Lady Neville-Rolfe, which is supported by my noble friend Lord Clement-Jones, seems eminently sensible.
Temporary event notices are currently used for major local events such as festivals and fêtes. These are currently restricted to protect local communities and other licensees. Greatly expanding the number without a full consideration of the facts and impacts is questionable. With those comments, I pass on to other speakers.
My Lords, I refer the House to my relevant registered interests as a vice-president of the Local Government Association and as president of Pubwatch.
Group 1 deals with a range of amendments relating to premises and alcohol licensing, including Amendment 39 in my name and that of my noble friend Lord Berkeley on temporary event notices and Amendment 41 in my name, which seeks to add a new clause on health and safety to the Bill after Clause 11.
The noble Lord, Lord Balfe, referred to there being no votes today. We do not often vote in Committee—I have now been in the House for 10 years. I have made it clear in all my dealings with the Government, at Second Reading and in my meetings with them, which have been very helpful, that I will divide the House on Report if necessary. I have been very clear on that. I hope that we will get some resolution today so that it will not be necessary, but I am certainly not averse to having a vote. I would not be accused of that.
The first amendment in this group, in the name of the noble Lord, Lord Balfe, raises the issue of cumulative impact zones, which are areas defined as contributing to community problems because of alcohol. The noble Lord rightly seeks to stop premises in these zones applying for pavement licences. I look forward to the response from the noble Baroness, Lady Williams of Trafford, explaining how she has consulted with groups such as Pubwatch and other groups representing towns and city centres.
I hope that the noble Baroness will also detail the wider assessment the Government have made of the impact of these changes on crime, and in response to Amendment 11, on police consultation, I hope she will confirm that dialogue with police, local authorities and other interested parties will continue after measures in the Bill are implemented.
The noble Lord, Lord Bourne of Aberystwyth, made the point, which I agree with, about the need for the new street drinking to be controlled and managed safely. People can then relax and support the local economy while doing so safely and helping to avoid a second spike. That is very important.
My Amendment 39, plus two amendments in the name of the noble Lord, Lord Holmes of Richmond, deal with how the provisions can help businesses which do not have the necessary licence presently, as they rely on temporary event notices. This would also help street vendors who have been hit particularly hard in this crisis and have seen their doors close, some for good. Up to 15,000 businesses have lost all their income overnight and many tens of thousands of pounds have been tied up in rent for music festivals and rolled over to 2021.
The amendment would also help small breweries, which have suffered. Many noble Lords have spoken about the support for the small brewery industry. As we have heard, small breweries have seen up to 82% of their sales reduced because of Covid-19. They have not received the same level of financial support as pubs and the hospitality sector, and that is a matter of regret. One in four breweries—about 500 of the 2,000—does not currently have any way to sell directly to the public. The Government should adopt this measure as a way of helping them in the months ahead. The noble Lord, Lord Holmes of Richmond, and my noble friend Lord Berkeley, made a convincing case for the need to help small breweries, as did my noble friends Lady Kennedy of Cradley and Lord Wood of Anfield. As my noble friend Lord Berkeley said, these small breweries have made a fantastic contribution to the variety and type of beers sold in the UK; they employ local people, and they have been devastated. We need to do something and I hope the noble Baroness will be able to give us a positive response.
My Amendment 41 seeks to highlight the importance of workers’ safety in the hospitality sector, which the noble Lord, Lord Sheikh, also referred to. I am grateful to the support I have had from the Bakers, Food, and Allied Workers’ Union for its contribution about how to address this issue. I hope the noble Baroness, Lady Williams of Trafford, will address issues such as the handling of cash and how that can be limited. In pubs and other small venues, small amounts of money are handed over. There are payment companies like Worldpay and Shopify, but in many cases if you go into a pub or a small shop and want to pay by debit card, or if you spend less than £10 or £15, they charge you. There needs to be some way in which the companies will not charge the 10p that they presently do. What contribution can they make to ensure that people use less cash and pay by debit card more? Companies would need to step up to the plate and maybe the Government could ask them to do that. It would certainly help reduce the amount of cash being used, with the benefits that that would bring.
It would be interesting to hear about the protection of security staff at entrances to licensed premises. That is very difficult normally, but particularly now that we are talking about social distancing. What support are the Government going to give those staff to ensure they can do their job properly as well as being safe?
How do we ensure that toilets are safe for staff and customers? What discussion has the Minister had with the British Toilet Association including advice on keeping toilets clean and safe? This will be of paramount importance for staff who need to ensure their toilets are kept clean and safe for their customers. Can the noble Baroness also explain what guidance the Government will offer to pubs on these other issues?
Other amendments in the group raise important points, and I hope that we will get a detailed response, particularly on Amendment 44, from the noble Baroness, Lady Neville-Rolfe, and the noble Lord, Lord Clement-Jones. They both made a clear case about allowing better enforcement of the drinking regulations, which would be welcomed. It will be interesting to see whether it is possible to bring that forward quickly. The noble Baroness, Lady McIntosh of Pickering, made it clear that there is support in the sector for bringing these matters in quickly.
I will leave my comments there and look forward to the detailed response from the Minister.
My Lords, I am grateful to all noble Lords who have spoken in this debate and particularly to the noble Baroness, Lady Meacher, who manages to get cannabis into every debate—I admire her tenacity. If she is agreeable, I will respond to some of her comments in group six.
The general tenor of this debate is that people support the context in which this Bill is proposed, to get the economy moving and, crucially, the fact that it is sunsetted to next September. As my noble friend Lady Noakes clearly articulated, this is not about the norm but about emergency measures to get the economy moving again. As this mistake has been made a couple of times, it is important to distinguish between pavement licences and off-sales licences, which of course supermarkets have got anyway.
Amendment 1 in the name of my noble friend Lord Balfe seeks to prevent the granting of pavement licences to businesses in cumulative impact zones. It is right that cumulative impact and potential for nuisance and disorder be considered when granting these pavement licences. That is why the Bill gives local authorities the ability to effectively manage risks in their local area. If a local authority thinks problems related to alcohol or anything else could occur, they can refuse an application for a pavement licence. In granting these licences, they may also impose conditions and if these conditions are breached, the local authority may issue a notice requiring the breach to be remedied. Local authorities can also revoke pavement licences in several situations including when the licence is causing risk to public health or safety or causing anti-social behaviour and nuisance. I hope my noble friend will agree it is important to retain local authority discretion in this area and he will feel able to withdraw his amendment.
Amendment 3 is also in the name of my noble friend, and I appreciate the points he has made. We expect the pavement and alcohol licencing measures to benefit cafes, restaurants and pubs primarily. However, it is important that the Government support economic recovery whenever they can, which is why this fast-track route is available to all businesses selling and serving food and drink. It will mean that a range of businesses, including some shops, theatres, and galleries, will be able to apply for pavement licences and off-sale licences, maximising the economic impact of these temporary measures. For the reasons I have set out I am not able to accept this amendment and I hope that my noble friend will not press it to a vote.
Amendment 11 is the last of the amendments tabled by my noble friend Lord Balfe. I assure noble Lords that the Bill requires local authorities to consult such persons as the local authority considers appropriate before determining an application for a pavement licence.
To answer my noble friend Lord Sheikh and the noble Lord, Lord Harris of Haringey, the Government expect that this would include the local police force, but believe that the local authority can and should use its discretion and local knowledge to decide who to consult. To answer the question from the noble Lord, Lord Harris of Haringey, directly: yes, we have spoken to the police. We have engaged with them throughout. The most recent time that I spoke directly to Martin Hewitt was last Friday, just before we went into super Saturday. We will continue to engage with them throughout.
My Lords, I have received a request to speak after the Minister from the noble Baroness, Lady McIntosh of Pickering.
My Lords, my noble friend has answered my question and I am absolutely delighted with her answer.
My Lords, my noble friend the Minister has very effectively dealt with most of the points that I raised. The key thing is that she has confirmed that local authorities can refuse licences in cumulative impact zones. I am certainly very happy with local authority discretion. I have spent much of my life in politics arguing for devolution of power and for local authorities to be given the right to make decisions in local self-interest. It is clearly now up to Cambridge City Council, in my case, to decide what it wishes to do in the cumulative impact zone. I look forward to it considering things firmly.
As far as my other two amendments go, I am also happy with my noble friend’s response, in particular that the police will be consulted. Again, this is up to local authorities. I am sure that they will do so.
I took the points made by a number of noble Lords about the hospitality industry. The Bill goes somewhat further than the hospitality industry, but it is that industry that we seek to help. It will be a long struggle. Many of my friends are very reluctant, shall I say, to go back to restaurants, certainly indoors. If the Minister has time to read it, last weekend the Office for National Statistics published a very interesting document following a survey of how people regarded lockdown and the consequences thereof. To answer the direct question that I am asked: I beg leave to withdraw Amendment 1.
We now come to the group beginning with Amendment 2. I remind the Committee that anyone wishing to speak after the Minister should email the clerk during the debate. Anyone wishing to press this or any other amendment in this group to a Division should make that clear in debate.
Amendment 2
My Lords, it is a pleasure to open debate on this second group of amendments. In doing so I state, as I did for group 1, my general support for the intent of the Bill. I am fully supportive of all and any credible attempts to get the economy not just going but motoring again. There is no reason whatever why, if we really focus on this, we cannot have a sharp and reassuring V-shaped rebuilding and recovery. However, the point in this set of amendments is that, as we do that rebuilding, we either rebuild together or will not rebuild anything particularly worthwhile at all. Everything must be predicated on inclusive design; then everything would be taken care of and sorted at that stage. This is in many ways emergency legislation, and the first real test is: in the crisis, can we hold fast to that concept of inclusive design, even when time is tight and we seek to get our economy motoring again? As I said, I am completely supportive of that.
At Second Reading last Monday the noble Earl, Lord Howe, referred on this issue to “guidance”, “may” and “consider”. If we put them together as “guidance may consider”, that would be far too conditional, whatever issue we were describing. When we look at something as significant as accessibility and whether somebody is able independently to access their local streets and community, we need something far more solid on which to pursue it than “guidance”, “may” and “consider”. Regarding the amendments in my name, I will speak to Amendments 2, 5, 8, 12 and 17. I thank all noble Lords who have signed my amendments and all the other noble Lords who have tabled amendments in this group. It shows how significant these issues are, and how much we need to ensure that the reopening of the economy and its rebuilding is done in an inclusive manner.
Specifically, Amendment 2 simply talks about a potential barrier around seating areas to enable particularly the blind and visually impaired, but in reality all street users, to access the area safely and inclusively. It is about having clear demarcation rather than seating areas potentially strewn across the pavement.
Amendment 5 makes it clear—and would put it in the Bill—that anything in this needs to comply with the Equality Act 2010. It is absolutely the case that all legislation has to do so but, considering the seriousness of what we are talking about, it is worth probing the Government on this point and having the provisions of the Equality Act understood in the Bill.
Amendment 8 demonstrates how pervasive this question of accessibility and inclusion is. This goes to the means by which local authorities publish notices and enable people even to be aware of a notice, and that a potential change is happening in their local area. If those notices are not published in an accessible format, not least online but considering all potential accessible formats, it would clearly be in breach of the local authority’s public sector equality duty. Can my noble friend the Minister give her views on that point?
Amendment 12 not only seeks to ensure that accessibility means that there is a clear pathway through any seating development; it also speaks very much to the need for social distancing. It sets out clearly that not only should it be possible for two persons to pass—be they wheelchair users, white-cane users, guide-dog users such as myself or people who use a walking frame—but that they should be able to pass with a 1-metre distance. Can my noble friend comment on the current guidance on which this distancing is to be based, given pavement width? Has this guidance been updated in the light of Covid-19 or is it still rooted on an understanding of distances to enable passage which take no account in reality of social distancing requirements?
My Lords, what I want to say on my Amendment 4 will work very well with what I want to say on Amendment 24, when we come to it. If the Minister chooses to reply to Amendment 4 now, that is fine, but I will leave my remarks until later.
My Lords, I will speak to Amendments 6, 7 and 8 in this group—briefly, because the case seems self-evident. These amendments provide that consultation materials should be provided in accessible formats for the benefit of disabled people, particularly those with visual impairments, and that the clock on consultation should be started only once materials have been made available online in an accessible manner. I would be most grateful if the Minister would be willing to take these amendments on board.
My Lords, I sat in your Lordships’ Chamber last Monday and heard every speech on Second Reading. Two things came across to me powerfully: the second I will deal with later, when I speak to my Amendment 28. First, I want to address a few remarks to my Amendment 20 and, as it is so short, I will read it for the benefit of your Lordships. Line 7 on page 5 of the Bill says:
“The Secretary of State may publish conditions for pavement licences.”
We should probably change that “may” to must”. I have added the words:
“and in doing so must take into account the needs of the disabled, including the blind and the partially sighted.”
It came across in speech after speech last week that there was real concern on this issue—a concern most graphically expressed by my friend the noble Lord, Lord Low of Dalston, who has just spoken, and my noble friend Lord Holmes of Richmond, who introduced this series of amendments.
t is one thing to aspire to a café society, which is very pleasant. It is entirely reasonable that we should spill out on to the pavements, if it is safe and suitable to do so. But it is essential that the needs of the disabled —including the blind and the partially sighted—are properly recognised. I very much hope that when the Minister comes to reply, we will have an assurance from the Government that this matter will be explicit and on the face of the Bill. If it is not, I will seek to reintroduce an amendment next week on Report and, if necessary, divide the House, but I am confident that that will not be necessary. I hope that this debate will be brief, and unanimous that on this issue, in those immortal words, “something must be done”.
My Lords, I will speak to Amendment 21 in my name, but begin by referring to the recommendations of the Delegated Powers Committee, which I have the honour of chairing. It was critical of these conditions, which are legally enforceable but not subject to parliamentary scrutiny. The committee’s report last week said:
“In the absence of cogent reasons for not requiring mandatory conditions to be imposed through regulations, we recommend that the power to impose legally enforceable conditions in Clause 5(6) should be exercisable through regulations and that the negative procedure would afford an adequate level of parliamentary scrutiny.”
However, today I am requesting simply that we apply it to the national condition relating to space on pavements for disabled people, because the guidance is absolute nonsense which would not survive proper parliamentary scrutiny.
This is nothing to do with my noble friend the Deputy Leader, or the Minister, who did not invent this guidance published by the Government on 22 June. Paragraph 4.2 refers to
“the recommended minimum footway widths and distances required for access by mobility impaired and visually impaired people as set out in Section 3.1 of Inclusive Mobility”.
Paragraph 2.2 on page 5 of Inclusive Mobility says that:
“Someone who does not use a walking aid can manage to walk along a passageway less than 700mm wide, but just using a walking stick requires greater width than this; a minimum of 750mm. A person who uses two sticks or crutches, or a walking frame, needs a minimum of 900mm, a blind person using a long cane or with an assistance dog needs 1100mm. A visually impaired person who is being guided needs a width of 1200mm. A wheelchair user and an ambulant person side-by-side need 1500mm width.”
So, if I read this correctly—and I apologise to the Minister if I have got it wrong—rather than one simple instruction to café owners to keep a space of 1,500 millimetres, there are six different widths by which they might be guided.
Some noble Lords are old enough to remember two ancient television programmes. I can imagine a Benny Hill sketch—or something like that wonderful “Fawlty Towers” episode in which John Cleese keeps moving his diners from table to table—whereby a café owner sets out his tables at 700 millimetres and sees someone with a walking stick coming and moves them out to 750 millimetres, then I come along in my chair with my wife beside me, and he moves them out to 1,500 millimetres, and closes them back to 1,100 millimetres when my noble friend Lord Holmes comes along with Lottie, his guide dog, or the noble Lord, Lord Low, comes along with his white stick.
These guidelines are unworkable. We must have one simple rule: a minimum of 1,500 millimetres in all cases. That would also go some way towards aiding social distancing.
My Lords, I am bowled over by the research done by the noble Lord, Lord Blencathra.
I am pleased to support the amendment moved by the noble Lord, Lord Holmes of Richmond, and the other amendments in this group. People who do not have mobility problems or sight impairment might wonder why there are so many amendments about accessibility. The answer is simple. So many of us who use wheelchairs or, in my case, mobility scooters, or have a sight impairment, have all had experience of obstructed pavements, which make journeys extremely hazardous.
As my noble friend Lady Pinnock said from these Benches, we support what the Government are doing in the Bill, but there is detail which must be addressed, and I hope that I am pushing at an open door. I too note the national guidance for local authorities over pavement space, but guidance is unenforceable by its very nature, so how much notice of it will be taken by an enthusiastic café owner trying to maximise table space, for example? We need something much more explicit in the Bill, and I urge the Minister to table a suitable amendment on Report if he is not going to accept any of the existing amendments.
My Lords, I will speak to Amendments 2, 5, 12, 17 and 25 in this group. Obviously, from personal experience, I feel very strongly about these amendments. Disabled people are often forgotten when we are thinking about access, and perhaps in the last 10 years not much has really changed. I support physical distancing, while balancing it with the need to open businesses in a safe way, but the Bill should reflect the concerns of disabled people and support them.
Not every disabled person is vulnerable; however, when I think about what disabled people experience in real life without Covid-19, having to manoeuvre round dockless bikes, bad footpaths, poorly dropped kerbs and adverse camber, with the additionality of where we are now, with blue badge spaces being closed off, and how difficult it is for a number of disabled people to move around in a safe way, like others, I hope that the Government will support the amendments in this group. If we do not do this properly, disabled people will stay at home and will not be out spending money, and we know the value of the purple pound. Disabled people are an important part of getting the economy going again, but if this is not done properly, it could put disabled people in more danger by moving them to kerbs and slopes which are not safe for them to use.
The noble Lord, Lord Holmes of Richmond, covered well that there must be some urgent investigation regarding Amendment 17, and not just that this will be looked at some time in the future. As noble Lords have mentioned, guidance around disabled people is often forgotten. Also, I would like to see disabled people involved in this change and setting the guidelines and the standards required, because quite often a non-disabled person’s view of what disability access is required is somewhere between interesting and completely unhelpful. A number of people with visual impairments have told me that already in these times, when they have been out and about, they are being bumped into and pushed aside, and wheelchair users are being leaned over, and they cannot just jump out of the way of people coming towards them. That is why a sensible discussion on the amount of space is needed. I congratulate the noble Lord, Lord Blencathra, on looking at all the idiosyncrasies around the guidance. Frankly, they are idiotic. There must be one standard.
My final point is that guidance is a lovely idea, but around disabled people it is ignored because it is seen as “just guidance”. It does not effect change in the way we want. One thing that I hope comes out of this is a more positive way of thinking about how disabled people interact with the built environment, to enable them to move around in a better and safer way.
My Lords, it is a pleasure to follow the noble Baroness, Lady Grey-Thompson. I wonder what she might have said had she mentioned the Government’s proposals on electric scooters in the context of the problems of disabled people, or of those with visual impairments. It seems to me that they are going to exacerbate some of the problems we are talking about.
The amendments in this group deal with the nature of public consultation. Amendment 6 in particular, to which I have added my name, tightens up the expectations on local authorities. As I understand the Bill as drafted, it would be sufficient for a local authority simply to put the details on a notice stuck in the window of the town hall. The amendment, however, would require that those details be in a form accessible to the residents affected. I would like to see local authorities expected to consult directly with the residents in the immediate vicinity of some of these proposed licence changes.
Amendment 6 would also properly allow seven days for residents to register their objections or raise concerns. That seems to me to be a minimum. Seven days is a very short time under any circumstances, but, unless these subsections are strengthened, most residents in the immediate vicinity of a premises for which these changes are intended will never hear about them until they have been agreed, and probably not until the extra pavement furniture appears; until the extra noise starts; until the extra singing starts; and until the yobs start urinating and defecating on their properties. I assume that the Minister does not wish to be regarded as the Minister responsible for people doing that in others’ front gardens—but that is the danger, unless there is a proper degree of consultation, and people have the opportunity to raise their concerns. Amendment 6 is very modest, and I trust the Minister will accept it.
Amendment 17 is also very modest. If the new pavement use turns out to make it difficult for people with disabilities, or others such as parents with pushchairs and young people, to navigate the pavement, the local authority must speedily visit and assess the situation. If there is a problem, the pavement licence should be revoked. Social distancing already requires people on many pavements to step into the road to get past each other. It is clearly more difficult if you are blind, in a wheelchair, or simply pushing a double buggy with another child in tow. If you have to navigate a group of inebriated and boisterous young men—and it will often be young men—on the pavement, it is far worse. Under such circumstances, not only is consultation needed but an inspection of how the arrangements work in practice. How far do the pavement tables extend? In practice, on whichever model the noble Lord, Lord Blencathra, was talking about, how much leeway do the groups standing around leave for those passing by? Again, I trust that the Minister will accept this amendment.
My Lords, it is a pleasure to follow the noble Lord, Lord Harris of Haringey, with his detailed knowledge of local rules. However, I wish to emphasise the importance of balance, and to remind noble Lords that these are temporary measures. We must not get bound up in regulatory amendments, however justified these might be for permanent laws. We have to get the economy and our high streets going again and allow vibrancy to return to our bars and pubs. Our hospitality sector has been decimated and it needs all the help it can get.
There are safeguards: there is scope for suspending licensing conditions for up to three months, or removing permission for sales of alcohol for consumption off the premises. There are quite onerous requirements for Covid-19 risk assessments prepared in consultation with employees and unions. There are also various forms of guidance which, as we have heard from my noble friend Lord Blencathra, can contain anomalies. But the economy needs to open up. Bars and pubs must be part of the revival and regeneration, whether by young people, tourists or those of us at a more stately stage of life. The Local Government Association has, rightly, supported the Bill, including pavement licensing freedoms, and we need to get on with turning it into law.
Finally, I did not get a chance to say so, but I will be returning to digital verification on Report, as there is more to be done—and quickly.
My Lords, it is always a pleasure to follow the noble Baroness, Lady Neville-Rolfe. Like her, I absolutely recognise the economic imperatives behind the Bill, including this part of it. In your Lordships’ House we have excellent spokespeople for disabled people and real expertise, ranging from a colleague with enormous Olympic achievements to the noble Lord, Lord Blencathra, who I congratulate on his admirable—if uncharacteristic—feat of pedantry in this debate, showing the absurdity of some of the rules. I support the notion that there should be the best possible uniform standard for enabling disabled people to negotiate our streets and built environment, even when economic imperatives lead to the opening up of those streets for eating, drinking and café society.
I will add a comment on Amendments 6, 7 and 8. There are good reasons for planning restrictions, and we do not want to see our built environment damaged significantly as a result of the economic imperatives that we are following. In particular, we need to protect the peace of places where people live and not see them turned into drinking streets because they happen to have a couple of pubs in the vicinity. I therefore support the requirement set out in Amendments 6, 7 and 8 for a proper consultation period.
Because of the internet, everybody knows that it is necessary at the current time to curtail some of the more officious parts of planning law, I would regard 14 days, rather than a week, as a reasonable period. However, it is important for such applications to be screened on the internet by local authorities, which can do it very easily, and for people to be given a meaningful number of days in which to make their representation. That would enable local authorities to make a quick assessment of the level of objections, if there were any, and to make an empirical judgment, rather than reacting only to the economic imperatives. I will keep back some of the things I want to say on similar issues to the debate on the next group of amendments.
My Lords, I congratulate the noble Lords, Lord Holmes, Lord Blencathra and Lord Cormack, on their amendments. This is a difficult area. On the one hand, we want to proceed quickly as these are temporary measures and we want to make good and recoup some of the losses that the hospitality industry has suffered. On the other, we want to allow access for those who are visually or otherwise impaired, or who are wheelchair users. When he sums up on this group of amendments, will my noble friend clarify how the Government imagine that the guidelines will be fit for purpose in this regard? Although I can see that there is an argument for consultation, does my noble friend not agree that that could potentially delay the coming into force of these arrangements?
I bow to the good will and common sense of the restauranteurs and bar owners who will seek to use a pavement area only if it is physically safe for the category that falls within the remit of these amendments. It is up to them, working with the environmental health officers and the police, to make sure that these provisions are enforceable.
My Lords, it is always a pleasure to follow my colleague the noble Baroness, Lady McIntosh of Pickering. I declare my interest as a vice-president of the LGA. This is an interesting section of amendments, because this is something we should be doing all the time. We should not have to insert it into legislation: it should be automatic. We have not only a considerable number of disabled people in our society but an ageing population. Speaking as someone who is ageing, I would like to think that such care and planning always happens, particularly with legislation of this kind. Even when it is temporary, it still matters.
It is obvious to us all that coronavirus has put life on hold. It has also given us a chance to change established ways of working. I note that many noble Lords have been talking about getting back to normal, but I argue that normal is not a particularly good place to return to. We should be thinking about how to make things better and not just repeating mistakes made in the past couple of hundred years. Increasingly, of course, given the changes in our population, we need to ensure that we are not imposing disabilities on people who are very active but have sight or movement problems.
The Bill should require that a minimum safe pavement area be left accessible—that is obvious—so that street furniture does not force pedestrians to walk in the road. That safe pavement space could vary depending on how busy the route is. Some high streets, for example, may have no safe encroachment area, which will cause large numbers of people to get too close together, but others might only require a metre or the 500 cm that the noble Lord, Lord Blencathra, spoke about—his was a pretty good speech. In any event, the Bill is currently deficient as it does nothing to address that issue, and the likely problems are obvious. Some councils have taken the opportunity during the coronavirus pandemic to close some streets to traffic and open them to pedestrians. That is obviously a wonderful way forward.
Consultation definitely needs to be improved for the emergency licensing regime. The measures proposed by the noble Lord, Lord Holmes, would maintain rapid licensing while helping to ensure that those who may be impacted can have their say and adapt the licensing accordingly. A system of appeal or reconsideration should be included in the Bill. It is natural that some mistakes will be made with such a rapid decision-making process, so it would be a good idea to include a provision that would remove these measures quickly as well. Judicial review should not be the only option to put things right. It is very cumbersome and slow.
Tucked into this group is Amendment 4 in the name of the noble Lord, Lord Lucas, which would allow licences for pavement spaces outside empty premises. That would be a worthy improvement to the Bill, making better use of empty premises and their adjacent pavements. It is a simple amendment and I hope that the Minister can accept it.
My Lords, I very much support the Bill and admire Her Majesty’s Government for pushing it forward. I say particular thanks to my noble friend Lord Howe, who wrote me a letter about new towns.
I will speak in favour of Amendment 2. I say to my noble friend that for five years of my life I lived opposite a pub, and if you live opposite, adjacent to or close to a pub you expect noise on Fridays and Saturdays, so there is nothing new about that in relation to the Bill. That point should be considered.
I say to my dear noble friends, Lord Holmes and Lord Blencathra, who is my roommate, well done because they have made people think. But, frankly, the average publican will think. He or she is aware of the disabled and of wheelchairs. Maybe they need reminding, and Amendment 2 does that, but for heaven’s sake, this is only a temporary Bill. The only point I would make to my noble friend the Minister is, why do we not review this after six months? After all, the real point of the Bill is the next six months; particularly the summer and autumn. It would be more sensible to review it towards the end of this year, around December, in readiness for next year. The need is self-evident. I support the amendment and wish my Front Bench all possible success with the Bill.
My Lords, I support pavement licences not only for the purposes of the Bill but because, as I said at Second Reading, they have the potential to help knit together communities. But there must—“must” is the operative word—be access for all pavement users. Otherwise, our pavements are not a shared space in the wider sense of the term.
Anyone who knows Berlin and smaller towns in various countries on the continent will see how well this can work. As a pedestrian in Berlin, I do not recall ever having to walk around tables and chairs, which is an important point. The scheme is not working if you cannot walk down the centre of the payment, and where the pavement is wide enough, there is no reason why café furniture cannot be split into two sections so that it can be right up against the road or fence between for safety.
I am sure that there is a whole art to this, but things such as large wooden tubs with flowers and large umbrellas marking the corners of the café territory can give the area a structure that is both open and rigid, so that pedestrians know precisely where they can walk on a predictable, routine basis. That is extremely important, particularly in the context of the amendment in the name of my noble friend Lord Low. You should be able to walk down a pavement and know precisely where you will be walking on different days.
My Lords, I had the pleasure yesterday afternoon of my first meal out since before the lockdown, at the fabulous Drift Inn in Lamlash, on the Isle of Arran. The young proprietors and members of staff there had been looking forward to their first full spring and summer, with tourists and locals enjoying their hospitality. Of course, the business has had to stand still for several months. For them and so many others, small businesses in particular, I welcomed the Bill last week and I welcome it again today. I hope that, beyond England and elsewhere in the United Kingdom, there will be a bit more enthusiasm for supporting these businesses to get safely back on the rails over the coming weeks and months.
Turning to the amendments, I counsel the Government not to go against the grain when pushing through the Bill and the important powers it will enable. The Government themselves have spoken about building back better after the lockdown and Covid-19. There have been many negatives and terrible impacts of Covid-19 and the lockdown over recent months, but for those of us lucky enough to have had the opportunity to leave our homes, at times it has also been a pleasure to reclaim our streets and parks for walks or runs and relaxation. Many people have commented on that.
On the issue of off-sales, which I mentioned last week and which will come up later in Committee, I think it would be wrong for those to become too readily available in a society where they are already far too readily available. That is a major mistake. Also, we cannot talk about “building back better” if we leave people out of the equation. Without the amendment so ably introduced by the noble Lord, Lord Holmes of Richmond, whose introduction to this group was excellent, and without the consultation that was so well described by my noble friend Lord Harris, we will be, yes, rightly encouraging businesses to become entrepreneurial in this new environment and encouraging customers to go out and enjoy the hospitality of those businesses, but if we do that to the exclusion of sections of our society, whether they are there as customers or are just passing by, that will be a terrible error. We should leave no one behind as we emerge from this lockdown period.
I urge the Government not to go ahead with the Bill in its current form just because it has been through the House of Commons and because it was drafted by Ministers and officials before these debates but to listen to the debates and make the changes. They will get a much stronger welcome in the country for the Bill when enacted, and it will be more successful as a result, if it involves everybody and does not leave anybody behind.
My Lords, it is a pleasure to follow my noble friend’s enthusiasm and wise observations. I had signed up to speak on Second Reading and, due to unfortunate technical problems, was unable to do so. I wish to speak to Amendments 6 and 8.
I echo the introductory comments of the noble Lord, Lord Balfe. His concerns may be widely applicable in many areas of our country. I am deeply concerned about the impact of the fast-tracking measures that will allow alcohol to be served outside or off premises. I witnessed first-hand a large event at a venue nearby, on two consecutive weekends, and was shocked to witness large numbers of young people gathered without any social distancing—not a mask in sight—spilling on to the streets, as highlighted by the noble Lord, Lord Bourne. I welcome the points made earlier by the noble Baroness, Lady Neville-Rolfe, about age verification. I question the age of many present at these gatherings and agree with the noble Lord, Lord Clement-Jones, that it is not enough to rely on staff minding the entrance to ensure identity of large numbers of eagerly waiting young persons.
I suggest to the Government that the beneficial income revenue is likely to be seriously compromised by insurmountable amounts of litter, men urinating on the road and against buildings, activity going well into unsocial hours with an unacceptable level of noise and antisocial behaviour and disturbance, inevitably causing concern to nearby family residents. In fact, a group of people came over to my car as I was driving by, who were drunk and aggressive. Witnessing this was my adult son, who lives with autism. He was distinctly alarmed and anxious. I could see no one obviously enforcing rules at this event and no signposting for social distancing rules or for toilets.
Therefore, I am uncomfortable that some licences will be granted for more than a year without review. They are the most significant changes in licensing laws for years, and local authority and police services do not have any additional resources and will not be equipped to take on additional duties to monitor these licences for compliance without extra funding.
The proposal that local councils will have permission to revoke licences is, frankly, not good enough. Can the Minister clarify that local authorities and police forces locally have been allocated the necessary resources? Will these measures embed due regard to the rights of residents nearby, particularly those who are disabled or may be vulnerable young women, including the impact on women staff members? I was pleased that the noble Baroness, Lady Meacher, referred to the danger of excessive availability late at night of cheap alcohol. As a former manager of drug and alcohol services, I agree wholeheartedly.
I am not convinced that communities, local authorities and police have been adequately consulted, particularly on the impact on people with disabilities and the environmental impact on their lives of these measures. Can the Minister say that residents, including those who are disabled, will be consulted—reaching out to all residents, including those for whom English may not be their first language? Will there be opportunities to express any dissent, and will a public reporting mechanism be established and made available in various locally relevant languages?
Finally, in support of the noble Lord, Lord Holmes, and comments made by the noble Baroness, Lady Grey-Thompson, and other noble Lords, I agree that, even at this time of duress, this House must be assured of adherence to the fundamentals of the public sector equality duty, and thus respect all the prerequisites of ensuring compliance, not just by local authorities but by those who hold a licence. Throughout this pandemic, I have sought assurances from the Government that we heed local conditions and respect local needs, including those based on the population and its linguistic requirements, and consider lack of access to online services for a large section of our populations. I am confident that the Government will continue to honour this duty and ensure that public consultation materials, printed and online, are available in accessible formats—including Braille, audio and translated into some of the relevant languages—and made available on a variety of platforms, including ethnic minority media platforms.
My Lords, the noble Baroness, Lady Goudie, has withdrawn, so I now call the noble Lord, Lord Balfe.
I am indebted to my noble friend Lady Neville-Rolfe for giving me a new description, which I am proud to have, of having reached a more stately stage of life. I plead guilty to that.
Mention has been made by my noble friend Lady Neville-Rolfe and by others of the need to get the economy moving, that this is a temporary measure and all the rest. I ask noble Lords to remember that we are sending out terribly mixed messages. I happened to be in Cambridge station yesterday, and there people are still being advised not to travel. They are still saying that you should stay at home, at the same time as the Government are saying that you should now suddenly not stay at home.
I do not accept that this will make that much difference. I referred earlier to the Office for National Statistics survey, which shows quite clearly that a very large number of people—indeed, a majority—have no intention of going back to an enclosed restaurant in the foreseeable future. We need to distinguish between a temporary measure and what I am beginning to sense is almost a panic measure—the belief that, if we pass this Bill, suddenly everybody will go back to restaurants; that is not necessarily true.
I make another point about my tour of Mill Road, Cambridge, which I introduced in the first series of amendments. I did a very close survey of it in connection with the alcohol licence I mentioned earlier, which was opposed. There are two, if not three shops in Mill Road which are owned by Muslims, and two of them, at least, do not, on principle, sell alcohol. The idea that seems to be punted around that everybody wants to sell alcohol as a way of getting back to normal is not necessarily true. There are shopkeepers that do not wish to sell alcohol but to make a living selling groceries.
I also welcome Amendment 17, in the name of my noble friend, Lord Holmes, in particular the provision that asks local authorities to visit the area. There is no real substitute for local people, particularly local councillors, looking at an area where an application has been made and applying some common-sense judgment. I would say that that is common-sense judgment very much bearing in mind the broad guidelines put forward by my noble friend Lord Blencathra. Some people will ask, “How wide should it be?”, so those guidelines are extremely important, but it is also important that local government and local councillors are made accountable for the decisions in their area. You cannot have local democracy if you are constantly falling back on saying, “Oh well, the Minister says this, the Minister has said that”. So I welcome that, and I think “the local authority must” is an important element.
My Lords, I remind the House that I am a vice-president of the Local Government Association. My name is attached to Amendment 25. The noble Lord, Lord Holmes of Richmond, reminded us of the importance and the meaning of the words “guidance”, “may” and “consider”, while my noble friend Lady Thomas of Winchester reminded us that guidance can be unenforceable and that we need something much more explicit when we reach Report. I agree with them both.
The issue is the safety of pedestrians in two respects: the physical safety of pedestrians to prevent them risking an accident to themselves and the safety of pedestrians against the potential transmission of coronavirus by enabling two pedestrians to pass each other at least one metre distant. So will the Government review the Bill before Report to ensure that the powers really exist for local authorities to maintain public safety on pavements?
My Lords, I support Amendment 25 relating to the two requirements that have been stated. I reiterate what I said when I spoke on Amendment 11: I support the Bill, which will trigger the revitalisation of our businesses and help the well-being of the people. However, it is necessary for us to implement the changes with caution. My concern is safety of passage and accessibility by blind and disabled persons. In addition, of course, all pedestrians must be able to pass without hindrance where there is a gathering of customers outside a restaurant or pub.
Blind persons have felt less independent since the lockdown rules were implemented and, if there is an increase in street furniture, blind and partially sighted people may be forced to walk in the road, change their route, avoid travelling independently or even stay at home. Street furniture will present additional challenges and should be marked off with an accessible barrier. The idea of marking off the areas will ensure accessibility. Furthermore, if the appropriate distances are maintained, it will help pedestrians to walk without difficulty and prevent the spread of the virus. Adequate spacing will also enable disabled persons to go through without much difficulty.
As a Muslim, my other concern is the passage of Muslim ladies who may be subjected to harassment, particularly if they are wearing a hijab, niqab or burka. Most hate-crime incidents happen in the street and if the accessibility and passage of these ladies are blocked or hindered in any way, my concern is that they may be picked on by customers, especially if they have had a lot to drink. I have been informed by Fiyaz Mughal and Iman Atta of Tell MAMA that, since the lockdown was eased, there has been a spike in the number of cases where Muslim women have been abused and spat at in the street. In fact, I have been told by Tell MAMA that there has been a threefold increase in hate crimes against Muslims, and some of the incidents are unfortunately nasty and aggressive. I hope that the Minister will agree to Amendment 25.
My Lords, every speaker in this debate so far, from the noble Lord, Lord Holmes, onwards, has emphasised the importance of safe arrangements on pavements both for pedestrians, particularly those who have impairments, and for those sitting outside under the new arrangements, with the new licences allowing tables and chairs to be set up outside places of refreshment.
I do not have anything to add to those points. I simply note that some noble Lords have said that we should be mindful of the fact that these are only temporary arrangements, but we do not know that. It is perfectly possible that they will go on for many months, because we just do not know what the course of the virus is going to be. So I absolutely do not think we should legislate less precisely for the arrangements because we think that they may apply for only a short time. It could well be that in a year’s time the arrangements and licences still apply.
However, it is vital that the law is clear about what the licences are going to contain, and it is that which I want to speak on. When the noble Earl, Lord Howe, replied to the debate last week, he said, in response to concerns that were raised at Second Reading about arrangements for pavements, that a national condition would be imposed,
“taking account of … section 3.1 of the Department for Transport’s Inclusive Mobility guidance. This sets out the recommended minimum footway widths and distances required for access by mobility-impaired and visually impaired people.”—[Official Report, 6/7/20; col. 969.]
When the noble Earl said that, it rang alarm bells in my mind. I remember when I was Secretary of State for Transport having to deal with an extremely difficult case of an accident, which led to a very serious injury, that was caused by a lack of clarity in the department’s guidance as to what minimum footway widths should be. Indeed, I remember looking at the guidance and believing that it should be updated. Due to the passage of time, I cannot now remember why it was not.
I have been back to look at the guidance and it brought back all the details of the case itself, which of course could happen on many occasions if licences are granted under the Inclusive Mobility guidance. It looks to me as if the 2005 guidance has not been updated: perhaps the Minister could confirm that. I could not find any record of it being updated—but if it has, perhaps he could point us to the updating. If noble Lords will forgive me, I will read section 3.1 to the Committee, because it is so important to the point about what is going to be contained in these licences.
The guidance says under the heading “Widths”:
“A clear width of 2000mm allows two wheelchairs to pass one another comfortably. This should be regarded as the minimum under normal circumstances. Where this is not possible because of physical constraints 1500mm could be regarded as the minimum acceptable under most circumstances, giving sufficient space for a wheelchair user and a walker to pass one another.”
That already brings in an ambiguity, on which I would like the Minister to respond. Will local authorities regard 2,000 millimetres or 1,500 millimetres as the minimum? Under the guidance, it could be either. However, the confusion gets greater still. It continues:
“The absolute minimum, where there is an obstacle”—
although “an obstacle” is not defined under the guidance—
“should be 1000mm clear space … It is also recommended that there should be minimum widths of 3000mm at bus stops and 3500mm to 4500mm by shops though it is recognized that available space will not always be sufficient to achieve these dimensions.”
The guidance is as clear as mud. Five different widths are specified in it but none is given priority. We are told that anything from 1,000 millimetres to 4,500 millimetres might be regarded as appropriate. The Committee should take particular note of the fact that the widest width—4,500 millimetres—is given in respect of shops, which will indeed be the premises that we are talking about almost exclusively in the case of this guidance. To double the confusion, it also says:
“The maximum length of restricted width”—
which of course is also vital; the restrictions apply not just to the width but to the length—
“should be 6 metres”,
and that is given without qualification, but of course many of the premises that we are talking about might be longer than six metres.
Therefore, my question for the Minister is: which of the various potential stipulations in the 2005 guidance will apply in respect of these licences? The noble Earl, Lord Howe, said that the national condition would take account of section 3.1: what exactly is it taking account of? It is now very clear to me that it could be taking account of any one of six different, and in many respects contradictory, aspects of the guidance. On Report, the Government should come forward with an amendment that specifies the precise widths that will apply, and it should be more precise than the guidance. We must remember that the guidance was intended for exceptional purposes, whereas we are now talking about what will become quite a common occurrence in respect of our high streets and side streets.
The guidance makes no reference whatever to physical barriers—a point raised by the noble Lord, Lord Holmes, in his Amendment 2. If we are talking about the widespread introduction of pavement facilities for customers in cafés, pubs and so on, I think that the case for segregation is very strong, not just to make things safer—although it will do so—but to delineate very clearly the limits of the seating area. If there is not a physical barrier, those will not be clear, and we all know that people will spill out beyond them.
The 2005 guidance makes no reference whatever to barriers. If there is to be a provision in respect of barriers—a point very well made by the noble Lord, Lord Holmes, and others—that has to be a wholly new provision over and above the provisions of the Department for Transport’s existing guidance on inclusive mobility.
I have just asked the Minister a very precise set of questions, which I hope he can respond to when he sums up.
It is very interesting to follow the noble Lord, Lord Adonis, and his very detailed questions about the distances currently set out in guidance for the highways authorities. I, and I am sure others, look forward to hearing from the noble Lord, Lord Greenhalgh—perhaps in a letter to us all—how these different distances will be handled with pavement licensing.
This group contains a very important set of amendments, to which I hope the noble Lord, Lord Greenhalgh, will be able to give a positive response. The daily difficulties described by my noble friend Lady Thomas of Winchester and the noble Baroness, Lady Grey-Thompson, and others amply illustrate why these amendments ought to be adopted by the Government.
In my own council of Kirklees, pavement licences already include a requirement for barriers. These not only clearly delineate the area in use and prevent a gradual expansion of the site but give a physical barrier for those with sight impairments. They also ensure adequate room for pedestrians, especially those needing space, such as parents with buggies, wheelchair users and people who need walking aids. As the noble Lord, Lord Holmes, said, it is simply not good enough to use words such as “may” and “consider”, as the noble Earl, Lord Howe, did in response at Second Reading. These are vital changes and the words used have to be “must” and “will”. We on these Benches wholeheartedly support the amendment to ensure that barriers are in place around pavement licence areas and that sufficient room is provided for pedestrians, while keeping to social distancing guidelines. There should be no ifs and no buts.
Amendment 25, which stands in my name and those of my noble friends Lord Shipley and Lady Thomas of Winchester and the noble Baroness, Lady Grey-Thompson, is explicit in its requirement for barriers to show the extent of the area and to enable pedestrians to continue to use pavements for their purpose. There is a danger that pavement licences will result in pedestrians being forced into the road. For clarity, I have been asked by my noble friend Lady Thomas of Winchester to point out that electric scooters, as raised by the noble Lord, Lord Harris, are intended to be used only on roads, not pavements, while electric mobility scooters are intended for use on pavements, not roads. The changes set out in Amendment 25 would resolve these issues. They are so important to many of us that, if there is no movement by the Government to address them, we will bring the matter back on Report and will be prepared to divide the House.
We must be careful that consultations to ensure changes that benefit one group do not inadvertently impair the needs of others; hence Amendment 6 in my name would make sure that applications were well publicised. Furthermore, as this legislation could make life even more difficult for disabled people, it is vital that applications are published in an accessible format. People have a right to know and to comment. The amendment in the name of the noble Lord, Lord Holmes, which proposes enabling the revocation of a licence, is important and makes good sense as a means of dealing with the few who fail to act responsibly. I also support the comments of the noble Lord, Lord Balfe, who suggested that government should let go of the control strings and allow councils to take, and be accountable for, local decisions.
Many of us across the Committee are very concerned about these issues and hope that the Minister will be able to indicate a substantial change by the Government in the direction that we propose in Amendments 6 and 25.
My Lords, I draw attention to my interests as noted in the register. Despite my deep and continuing roots in local government, I am afraid I am not able to say that I am a vice-president of the LGA. Who knows? Maybe one day.
We welcome the clauses in the Bill to allow pubs and restaurants to obtain pavement licences more easily. We have heard a wide range of views from noble Lords in this debate. The hospitality industry continues to suffer from restrictions in its capacity, and I am sure the whole Committee is keen to support steps to allow pubs and restaurants to serve a greater range of customers. However, it is imperative that with the increase of pavement licences, precautions are taken to minimise any adverse consequences. Safety and accessibility are paramount, and I am pleased that the noble Lord, Lord Holmes, has tabled a series of amendments with this in mind. His point regarding inclusive design was extremely well made, as was his question regarding updated guidance in our post-Covid environment.
The noble Lord is not alone in raising these issues, and I note that the RNIB and Guide Dogs for the Blind have raised similar concerns. His expertise in this area is clearly invaluable, as is that of the noble Baroness, Lady Grey-Thompson, who made the point that guidance is often ignored and legislators must think more positively to allow disabled people to move around safety. I take particular interest in Amendment 5, which stresses the importance of compliance with the Equality Act, and I would appreciate clarification from the Minister of how statute already provides for this.
The noble Lord, Lord Lucas, raised the interesting proposal of allowing outdoor seating outside unused premises. I look forward to hearing the Minister’s thoughts on this, but I hope that in doing so he considers the implications of this for the concerns raised elsewhere over safety.
I also take interest in Amendment 12, which raises the point that any changes must allow for social distancing. I am sure the Minister will agree that these issues must be considered together by businesses, local authorities and the Government to ensure that they are resolved. With each of these concerns, it is clear that legislation will not provide all the answers. It is incumbent upon local authorities, as was so clearly put by my noble friend Lord Harris, who has a laser-like focus on what town halls can and cannot do. He made an important point about a seven-day consultation period and the problems that residents have to deal with as a result of not knowing what has changed in their community.
As further premises gain pavement licences, it is crucial that the Government engage with local authorities to consider whether they can offer any support and do not merely issue a diktat from above. A main learning outcome from this dreadful pandemic is the clear dependence that central government has upon local government in carrying out the laws and regulations made by the Governments of the four nations. Without the practical support of local government, much of what happens here simply would not happen. Local authorities will no doubt work, as ever, in partnership with local businesses, disability groups and, as we have in Wales, public service boards, working jointly to improve our areas. As noted in the amendment tabled by the noble Lord, Lord Blencathra, and the detailed elucidation by my noble friend Lord Adonis, Parliament must remain alert to any further issues which may arise, such as the inclusion of 1,500 millimetres apart guidance, thus changing an unworkable solution into a workable solution.
My Lords, I thank my noble friends Lady McIntosh of Pickering and Lady Neville-Rolfe for the important measures proposed to support the hospitality sector. It employs some 2 million people. However, this group of amendments relates to the need to maintain access on the highway for all users, especially those with a disability. The Government strongly agree that this is an issue of great importance. As the noble Lord, Lord McConnell of Glenscorrodale, put it, no one should be left behind and we need to proceed with appropriate caution.
My noble friend Lord Blencathra has done extensive research into the guidance on the different standards, which was noted by the noble Lord, Lord Carlile of Berriew, and the noble Lord, Lord Adonis, mentioned the Inclusive Mobility guidance of 2005 and the different standards included in that guidance. It is very important to retain local flexibilities so that local authorities can assess the distance needed for the location of the premises and the type of street involved. There needs to be that flexibility rather than having uniform guidance.
Amendment 21, tabled by my noble friend Lord Blencathra, would require pavement licence guidance requiring minimum distances as part of a national condition to be subject to the affirmative resolution procedure. My noble friend also raised concerns about inclusive mobility. I am happy to tell the Committee that we have accepted the recommendation of the Delegated Powers and Regulatory Reform Committee that national conditions should be contained in regulations subject to the negative resolution procedure. I hope that my noble friend is comforted that this will help address parliamentary scrutiny. Clause 5(6) gives the Secretary of State power to publish conditions for pavement licences. This is to be replaced with a power for the Secretary of State to make provision about national conditions by regulations subject to the negative resolution procedure. We will also accept the Delegated Powers and Regulatory Reform Committee’s recommendation in relation to the powers to extend measures in the Bill to ensure that the effects of coronavirus form part of that consideration.
We have listened to the concerns raised at Second Reading and today in Committee and have noted the strength of feeling in this Chamber that more must be done to address accessibility issues. We intend to table an amendment on Report to address those concerns. We believe that putting this into the legislation will provide an important safeguard to ensure that authorities act in accordance with their legal obligations to protect the interests of disabled people.
Amendments 2, 12 and 25 were tabled by the noble Lord, Lord Holmes, and the noble Baroness, Lady Pinnock, and were spoken to by the noble Baroness, Lady Grey-Thompson, and my noble friend Lord Naseby. Amendment 2 would require the inclusion of a barrier to separate furniture from the pavement to allow the safe passage of pedestrians. Introducing barriers to separate furniture may improve navigation for the visually impaired, but it can also cause further obstructions on the pavement which would inhibit others, including the mobility impaired. The Government are clear that access must be maintained for all users of the highway, including the visually impaired and the mobility impaired. All pavement licences will have an express or, in default, deemed no obstruction condition, along with a condition explicitly requiring clear routes of access, taking into account the needs of disabled persons.
Amendment 12 requires that where possible the minimum pavement width required must be increased to allow two pedestrians to pass each other while socially distancing. We fully support the intention, which is why the pavement licence guidance refers to the government guidance on Covid-19 safe public places. The measures for social distancing set out in the guidance will have to change over time depending on the circumstances. It is important that the legislation does not restrict businesses’ ability to align with it and therefore it is more appropriate to address this through guidance.
For reasons that I have set out, I am not able to accept Amendments 2, 12 and 25. I hope that my noble friend Lord Holmes will withdraw Amendment 2 and that he and the noble Baroness, Lady Pinnock, will chose not to move their amendments when they are called.
Amendment 20, tabled by the noble Lord, Lord Cormack, seeks to establish a specific requirement that the Secretary of State should have to take into account the needs of the disabled, including the blind and the partially sighted, when setting any national conditions. Related to this, my noble friend Lord Holmes, supported by the noble Baroness, Lady Grey-Thompson, has tabled Amendment 5. The intention of this amendment is to require that when applying for a pavement licence, applicants must ensure that the application is compliant with the provisions of the Equality Act 2010 and any relevant regulations or guidance under that Act.
My noble friend Lord Holmes also tabled Amendment 17, supported by the noble Lord, Lord Harris of Haringey, to place duties on the authority to investigate concerns over accessibility where a licence is granted, revoking the licence if necessary. I assure noble Lords that businesses that provide services to the public must comply with their duties under the Equality Act 2010, as must local authorities because they are public authorities. As these parties are already under specific legal duties, it is not necessary to include a specific reference to the Equality Act in the Bill or specifically reference taking into account the needs of disabled people in the setting of any national condition. A local authority will need to have regard to these duties if concerns are raised over the accessibility of a pavement. The legislation already includes powers for local authorities to revoke if a licence holder has breached any conditions of the licence. This includes no-obstruction and clear-access conditions. For the reasons I have set out, I am not able to accept these amendments, and I hope that noble Lords will therefore choose not to move them when they are called.
I have received a request to speak after the Minister from the noble Lord, Lord Blencathra.
My Lords, it would be churlish of me not to intervene at this stage and thank my noble friend the Minister most sincerely for his excellent concession in saying that these national guidelines will now be subject to parliamentary scrutiny via the negative resolution procedure. I chair the Delegated Powers Committee. This is an excellent and very welcome concession.
We make laws in two ways in this country, or we should do—Acts of Parliament and statutory instruments—but in the past few years we have seen a worrying trend of guidance having legal force and a new invention, which we will come to in a Bill very shortly, of something called “protocols”, which are legally enforceable. These are just clever euphemisms for what should be regulations. I am delighted that my noble friend the Minister will put these on a statutory basis. I also look forward to his amendment next week in time to set minimum guidelines for access on pavements.
In the meantime, I thank my noble friend most sincerely for this excellent change of heart today.
I thank my noble friend for his comments. Of course, I noted the points about the need for a minimum access requirement.
I thank all noble Lords who have taken part in this interesting debate. First, I thank my noble friend the Minister for his change of heart on the footing of the guidance and his commitment to bringing forward an amendment on Report; all noble Lords who have taken part in this debate will certainly wait so see the nature and extent of it.
I thank the noble Lord, Lord Blencathra, for his excellent speech. He made his point perfectly clearly: we should make Acts of Parliament and statutory instruments that are clear and to the point. His setting out of how guidance can get into trouble with a whole series of different lengths and distances made the point clearly, to the extent that, if at any stage the noble Lord cared to make that film, I would be happy to take part in it with him; there could be no greater way of demonstrating how not to go about things.
I thank the noble Baronesses, Lady Grey-Thompson and Lady Thomas of Winchester, for their interventions. It has been made clear in the debate that, at their heart, these amendments essentially have nothing to do with disability and disabled people. They have pertinence to disabled people only because we are the individuals on whom this stuff bites if it is not got right. It is no more significant for a disabled person seeking access than for a man pushing a double buggy or a woman from a store down the road pushing a trolley full of goods to get to the other branch around the corner.
I am sure that my noble friend Lady Neville-Rolfe did not intend to make this point, but there is no sense whatever that economic activity, economic growth and economic motoring are any sense diametrically opposed to inclusive design and accessibility. Inclusive design is the bedrock for the best economy and society that we can build. Inclusion is in no sense a clog at the heel of economic activity; it is the basis on which a better, more prosperous economy and a more integrated and prosperous society is built.
To the noble Earl, Lord Clancarty, I say this: my noble friend made perfectly clearly the point as to how inclusive design and economic activity go hand in hand in the specific case of the situation in Berlin. We really need to see from my noble friend the Minister amendments on Report that can have us all saying when it comes to pavement dining and pavement socialising, “Ich bin ein Berliner.”
On the points made by the noble Lord, Lord Harris, his forensic analysis is spot on. With modern techniques, there is absolutely no reason why consultation should be seen and characterised as a laborious process. Things can be done in real time by connecting to the people who are in the vicinity and have particular expertise to bring to bear on the consultation on a specific issue. Similarly, the noble Lord, Lord Adonis, was spot on with his laser focus on exactly the point at hand: ensuring that the guidance is not only fit for purpose but takes into account the current context.
It is interesting that most of the arguments about the need to get on with this seem to fit very well with the previous group, in terms of enabling small, independent breweries to have licences, with an aim to get on with it and drive economy activity in that way. But I will leave that to one side and come back to it on Report.
In conclusion, I thank all noble Lords who have participated in this debate. In essence, none of these amendments asks for anything other than for every policy practice, procedure and area to be predicated on inclusive design—not because of Covid but because that should have always been the case in every situation. Either we build back together or we do not build back anything that is worth while and sustainable and that optimises social activity and economic growth. With that, I beg leave to withdraw the amendment.
I remind noble Lords that anyone wishing to speak after the Minister should email the clerk during the debate. Anyone wishing to press this or any other amendment in this group to a Division should make that clear in debate.
Clause 2: Applications
My Lords, I wish to speak to Amendment 14 in this group. Applications that have not been decided by local authorities within 10 working days are automatically deemed to have been granted for a period of one year. This is too long and could mean automatic approval for a significant proportion of licences and the volume of applications overwhelming local authorities. Combined with the absence of an opportunity to appeal, the automatic approval process risks allowing hazardous street furniture being permitted inappropriately in inappropriate locations.
If the automatic approval process is to be retained, the period should be reduced to three months in order that licences should not be approved automatically for an excessive period of time and in order to give local authorities the opportunity to revisit licences that have been approved simply due to a lack of resources within a reasonable period of time. Therefore, I would be most grateful for the Minister’s serious consideration of this amendment, and I would be grateful to other noble Lords for their support of it in the course of this debate. I beg to move.
My Lords, I shall speak to Amendments 13, 15 and 16 in this group, which build on the discussion we have just had. Amendment 13 would put in a right of appeal similar to what was discussed in a previous group but in the context of the situation ably set out by the noble Lord, Lord Low, for his amendment.
Amendment 15 changes the date in the Bill from 2021 to 2020 for precisely the reasons that the noble Lord, Lord Low, set out. We may be in extraordinary times and certain measures can be changed but I do not believe that it is proportionate at this stage to have a wave-through to 2021. It would be more appropriate to set a date of 2020, and that is what Amendment 15 seeks to achieve.
Amendment 16 brings out again the whole question of consultation and its being properly undertaken with the potential to incorporate views as expressed. It echoes many of the points made in the previous group around consultation. These amendments are specific to this group and to this Bill, but the reality is that these amendments are good not just for this time but for all times, in the sense of enabling full participation, full inclusion and full enablement for all across society.
There is precious little wealth in an argument that tries to push through at pace—understandably—and in so doing states that this is only a temporary measure and thus does not matter, and that we can suspend issues around inclusion, accessibility and full participation. If inclusion and inclusive design matter, and I believe they do, as I am sure everybody in your Lordships’ House does, then they matter for a second, an hour and a day as much as they matter for a month or a year.
My Lords, Amendments 22 and 23 are intended to offer the Government an opportunity to outline how a district authority can take full advantage of this Bill when the highways are controlled by a county authority. Without any permissions or discussions whatever, I take the example of my native town of Eastbourne. Grove Road has a lot of cafes in it; the pavements are narrow and the traffic is fairly continuous. There is no way in which the cafes can spill on to the pavements. However, if we can close the road, as is easy to do because there are good workarounds for traffic that would not cause any great problem, we suddenly become able to offer all those businesses the opportunity for profitable trade.
However, in doing this, the district has to work with the county. I would like to see workable arrangements that enable the district to say what they want to happen and for the county to enable that without delay and argument.
My Lords, I have nothing further to add on this amendment at this time.
My lords, I have put my name to Amendments 15, 16 19, 22 and 23. The Bill allows applications for a pavement licence, and it says that they are deemed to have been approved if the local authority has not determined the matter within seven days. That approval then lasts until September 2021. This is not a temporary fix; it is quite a long-term fix. I think most local residents will find it pretty extraordinary that if, by default, something has not been considered or determined by the local authority, it will stand until September next year. These are the people who will be directly, and potentially, very adversely, affected by the outcome.
Clause 2(7) says that the clock starts from the day on which the application is “sent” to the local authority. I am not sure that many people will send such applications by post, but the difference between the date sent and the date received is potentially significant. Why does the Bill not specify that the time limit runs from the receipt of application?
Amendment 15 in the name of the noble Lord, Lord Holmes, limits such an automatic approval of a licence to September of this year. That would no doubt meet the requirements in the remarks that the noble Baroness, Lady Noakes, is about to make, and it would allow something to happen now. However, it would also mean that the matter could be reviewed in due time, and I would have thought this was a modest amendment that must make sense.
In my view, Amendment 16 goes to the heart of these issues. These determinations should—and, in my view, must—take account of the consultation with those who are going to be affected by them. Like me, the Minister has been a council leader. I doubt whether, in his time in this role, he would have been very happy not to consider or take account of the views of local residents affected by a proposal. I know that, sometimes, matters of high politics might mean that you wish to override them, but most of the time you will want to listen to local residents and to those who are going to be directly inconvenienced by the changes that you are agreeing. You will want to listen to those who are going to be adversely affected by noise or any rowdyism and anti-social behaviour, and to those who are going to be affected because people are—and I will use the phrase that I used in a previous group of amendments—urinating and defecating on their property. Let us not pretend it will not happen; that is what will happen, particularly in the absence of proper policing resources and local authority enforcement resources.
I ask the Minister again: what are the estimated extra costs that local authorities will face in their enforcement role to manage these changes and what will be the cost of extra policing? That is why my noble friend Lady Wilcox of Newport’s amendment is so important. Clause 5(6) gives the Secretary of State the power to publish conditions for pavement licences. Will local authorities and their associations be consulted about those conditions? Will they be given the enforcement resources they need? Again, what guarantees are there that the police will have the officers to ensure that suitable order is maintained as a result of the licences?
Finally, I have signed Amendments 22 and 23 in the name of the noble Lord, Lord Lucas, which acknowledge that, as a result of these licences, people will spill over into the highway or be forced to do so to get around those availing themselves of what is provided. Public safety may require that parking and speed limits be adjusted. That would require the highway authority, which may well not be the same as the local authority, to make adjustments. Similarly, transport operators—those running the bus services—may have to alter their schedules or make minor adjustments to routes to ensure that people are safe. The amendments would require that such discussions took place. Again, they seem modest, and I hope that the Minister can accept them.
My Lords, I hesitate to be predictable; the noble Lord, Lord Harris of Haringey, has partly predicted what I will say. I am concerned that some of the amendments will make the process of applying for a licence more difficult and the process of getting one unattractive. In particular, if an automatic licence is granted for a very short time, it is of no real use to a hospitality business, which will probably have to invest in further tables and chairs and so on to operate outside, because not all can move outside the tables that they have inside. The amendments work against the spirit of the Bill, which is to try to get the economy going again.
We should not embellish the Bill with lots of extra things that have to be taken into account. There are already significant powers for local authorities to deal with these applications. Local authorities may have to get a bit more agile and deal with applications a bit more quickly than they have in the past. My impression of local government, never having been closely involved in it, is that it is not very agile. I will probably get into trouble with my husband when I get home because he chairs a planning committee, sits on a licensing committee and probably would not recognise my characterisation of lack of agility, but in these difficult times local authorities should be prepared to get a move on and do whatever they need to do to protect their local residents. They do not need any changes to this Bill to do so.
My Lords, I have sympathy with what my noble friend Lady Noakes has just said, but I have lent my support to Amendment 16 in the name of my noble friend Lord Holmes. It is appropriate that a local authority should be able to include conditions when granting pavement licences in line with any concerns expressed in the public consultation—with the proviso that the consultation takes only seven days, so I am afraid that I do not support the amendment in the name of the noble Lord, Lord Low. However, my noble friend Lady Noakes had a point when she said that such conditions should not be so restrictive as to make a nonsense of what is requested in the licence being applied for. I hope that common sense in this regard will prevail.
I do not agree with my noble friend Lady Noakes: we are not trying to make it more difficult; as I see it, we are trying to get the balance right. I referred in my initial speech to the changes in the regulations—what I think of as the Blair/Jowell reforms—which opened up our high streets to a wild west of alcohol licensing. One thing those measures had in common with this legislation is that they came into force in August. We are proposing to bring this into force at precisely the time when local authorities are going for their summer break—indeed, at precisely the time when we are going for our summer break. By my definition of local authorities getting “a move on”, extending the consultation from seven to 14 days is quite reasonable; I do not think that it is difficult at all. If someone sends an application by second-class post and gets their proof of posting at 5 pm on a Friday, it is unlikely to get there before the next Tuesday—particularly in Cambridge—so we are not even giving seven days. Seven days from date of receipt would be bad enough, but seven days from posting is just not enough.
I asked in my previous contribution whether people who wished to extend in front of unused shops would need to get the permission of their lessee or owner. That is an important point, because otherwise we are basically saying that a premises can just expand on to next door’s territory without any agreement.
I asked earlier, and did not get an answer, whether a local authority could reject an application because it had not had enough time to consider it. In other words, if it arrived on a Tuesday and was due to be determined on a Friday, and it is August and everybody is on holiday, could the authority say, “No, we reject it. We need another seven or 14 days to consider it”?
Amendment 16 states that conditions may
“incorporate views and concerns expressed in the public consultation under section 2.”
How will those views and concerns be gathered? If the local authority asks for views and concerns, it will effectively be giving the general public 24 or maybe 48 hours and then it will have to meet to decide what to do with the public consultation. We keep hearing about the need to open up the economy, but the majority of people in Britain do not feel safe going into a restaurant as it is. I do not agree that the economy will be opened up by this legislation. What we will get is basically another version of the wild west. We need to legislate at a reasonable pace, because if we do so in haste, we will regret at leisure. That is what happened in the earlier, 2003-04 experiment and it is what we are heading for here. Please let us take this at a reasonable pace.
My Lords, the points I would have wished to make in this group of amendments have already been made skilfully by others and I see no need to repeat them. All I would say is that I absolutely support and adopt the approach taken and submissions made by the noble Lord, Lord Harris of Haringey. The noble Lord said extremely skilfully what I would have tried to say, so I have nothing further to add.
My Lords, when the noble Lord, Lord McConnell of Glenscorrodale, spoke on the previous group, he said he had visited an establishment over the weekend. I share with noble Lords that I went to four establishments over the weekend and found them all very busy. I was pleased to “eat out to help out” as much as I did.
I do not know whether any noble Lords tuned into local London news last night, but it was interesting that the images of Soho this weekend were much different from those we saw the weekend before. One of the small establishment owners interviewed on “BBC London News” was very compelling in what he said about the tables and chairs outside his business making a massive difference to whether it would be able to survive.
My Lords, I first thank the noble Earl for his letter, which he sent in response to a number of the comments I made on Second Reading. I greatly appreciate the consideration that both he and the officials have given to the variety of points I made at the time.
I pick up on the response the Minister gave on one particular matter in the last group of amendments. I considered putting in to speak on both these groups but decided to concentrate on just one. On the question of marking out, possibly by some form of barrier, I acknowledge that you could create a real difficulty in blocking pavements by putting in another barrier, but in this day and age when you can rope off sections, the vast majority of establishments would not take up a large area by doing so. I ask the Minister not to mandate a requirement, but to encourage all restaurants to give serious consideration to some form of identification or demarcation of an area.
On these amendments and the comments by my noble friend Lord Balfe and the noble Baroness, Lady Stowell, we are talking here about restaurants and events in the summer. I support her in her observations on the comments made on the radio yesterday about Soho; it was a marked change. On an earlier group, the noble Baroness, Lady Kramer, made the comment that, as far she could assess, the problems in Richmond in most cases arose not specifically from the pubs or restaurants, but from off-sales and people wandering around areas with drink they had bought in an off-licence rather than a restaurant.
On the timescales involved, I have sympathy with the issue of seven to 14 days, particularly at this time of year, and do not necessarily believe that it would be unfair on an applicant. We are dealing with the summer. It is important that we make progress because, after all is said and done, summer in Britain does not last very long. If we delay unduly, the restaurants will not get the benefit, but it is difficult for a council and residents to register concerns.
Having said that, I have a point in relation to what the noble Lord, Lord Harris, said. I have in front of me a letter from one of the central London councils. It is a parking offence and is not mine but my lodger’s. It was sent out by the council and says it starts counting from the day it was sent; I think that is standard procedure for notices. My lodger was told he had to make the payment within the set days. Although I disagree with the noble Lord, Lord Harris, about some matters, what is relevant here is that at this time of year it is difficult for residents and councils to deal with matters if an application goes to one or two people who happen to be on holiday. As my noble friend Lord Lucas said, it may involve different local authorities and there may need to be cross-consultation.
Unless there is a strong case for it to be seven days, I certainly support the idea that there should be 14 days of consultation rather than seven. Having said that, as I understand it, many of the obligations imposed as a result of these amendments are already imposed on applicants for such licences and the local authorities giving consideration to them. I am willing to be corrected on that, either by another supporter of the amendments or by the Minister.
My Lords, my noble friend Lady Noakes should have been listened to. I say again that I lived opposite a pub; I knew the publican. I knew the local councillor for the ward in Islington. In my own ward, up in Highview, I knew where the pubs were. I cannot believe that in this day and age and at this point in time, the local councillors do not know which of their pubs are considering making use of this legislation. I am certain they do. Furthermore, I suspect all the local residents know exactly which pubs are likely to want to do this pavement extension business, so I say to my noble friends: we need to get on with it.
I listened to the noble Lord, Lord Harris of Haringey. I remember the days when I was the leader of the London Borough of Islington and say that, if anything was stretched out, it was when we were discussing joint issues with Haringey—but that was a long time ago. Seven days is pretty reasonable at this point in time. I say to your Lordships: let us get on with it.
My Lords, administrative procedures do not necessarily excite interest but they are nevertheless important. If we get the processes right to meet the needs of all involved, there are likely to be fewer adverse consequences, to the benefit of both the applicant and those impacted. These amendments make the consultation process fairer by ensuring that the application provides sufficient time for comments to be made, and then requiring a response to the points made during a consultation. I am pleased to have signed the amendment in the name of the noble Lord, Lord Low, about pavement licences which are deemed to have consent due to the local licensing authority not having responded in the narrow window of time set out in the Bill. This does need to be just a three-month approval; if they are so deemed simply because the local authority is overwhelmed with applications, the local authority will be unable to give each one the consideration it deserves. A three-month deemed approval will be an incentive for applicants to give the local authority time, so that the applicant does not have to reapply within a short period. To give a week initially but gain nine months later would be a good deal for both parties.
There are costs for local authorities involved in these measures, and these need to be fully recompensed by the Government. Local authorities have demonstrated during this pandemic that they are able to make speedy and agile decisions. They also have a duty to consider all their residents, whose issues these measures address.
The safety issues raised by the noble Lord, Lord Lucas, need some consideration, although it is not clear—to me, at least—how the changes he proposes are compatible with the purpose of the Bill to get flexibility for business within weeks, rather than the years it sometimes takes to change things such as speed limits. I hope that the noble Lord, Lord Greenhalgh, will provide a constructive way to address these issues on Report.
My Lords, I rise to speak to Amendment 19 in my name, and I will also refer to other amendments in this group. We can all recognise that the granting of pavement licences can have consequences for local communities, and through the application process we can best mitigate any unintended repercussions. A consultation in itself will not suffice—it must be open, accessible, and not merely a tick-box exercise.
The amendments in the names of the noble Lord, Lord Low, and the noble Lord, Lord Holmes, highlight the question of the time limit for pavement licences. The department has been keen to stress during the passage of this Bill that most measures are temporary; but can the same be said for the licences themselves? The intention behind Amendment 19 is to highlight the importance of the UK Government and local authorities working in tandem throughout the process. The Secretary of State must engage with councils while establishing the conditions for pavement licences and be receptive to any feedback received. As my noble friend Lord Harris remarked, local authorities must take account of the residents affected by any changes. Indeed, as a former council leader myself, I agree that if we fail to listen to and act upon the views of our residents, political demise will soon follow.
The enforcement role of local authorities is a similarly important point. Many teams in licensing and trading standards have been decimated by a decade of cuts to public services, and there may be simply not enough boots on the ground to facilitate this effectively. On the same theme, I also ask the Minister to consider how the Government intend to work with the devolved Administrations on these initiatives. While many of the provisions in this Bill do not relate to the whole of the UK, we can all accept that the borders between our nations are permeated by people visiting licensed premises, be it Chepstow in the south or Chirk in the north. Indeed, before the pandemic, more people moved daily between Cardiff, Newport and Bristol for work and leisure than between Liverpool and Manchester. Hence, the idea of the Western Gateway was initiated, and cross-border working for economic gains was developed by Welsh and English local government.
I also refer to the comments made by noble Lords about the time taken by some areas of local government to respond to matters. After dealing with a cut of almost 30% of my total budget, yet maintaining the level of services delivered by my council, I think it nothing short of miraculous that councils are still delivering to such high standards across the UK.
First, I thank my noble friends Lady Noakes and Lord Hayward for asking us to get a move on—or, as my noble friend Lord Naseby put it, “Get on with it”—and my noble friend Lady Stowell for her vociferous eating out to help out over the weekend; it is much appreciated.
The noble Lord, Lord Harris, made several points concerning the importance of listening to residents; as a fellow former council leader, I know that that is of course absolutely critical and key to any consultation. I should point out that any additional costs and burdens which fall upon local authorities are covered by the new burdens doctrine as they arise. As someone who has more recently been a council leader, I know that these days, almost all applications are sent electronically, so the dates sent and received are identical in almost all cases. I also highlight that the Local Government Association is fully supportive of the measures proposed for the issuing of pavement licences.
Let me turn to the amendments in the names of the noble Baroness, Lady Wilcox, and the noble Lord, Lord Harris. This group of amendments addresses a range of issues relating to pavement licences. Amendment 19 seeks to ensure that the Secretary of State consults authorities if he chooses to publish a national condition. As I said to the House when discussing the previous group of amendments, we have already accepted the recommendation of the Delegated Powers and Regulatory Reform Committee that national conditions should be contained within regulations subject to the negative resolution procedure. I hope this addresses the issues raised by both the noble Lord and the noble Baroness.
I now turn Amendments 9 and 10, in the name of the noble Lord, Lord Low, which deal with the consultation process. They would extend the public consultation period to 14 days rather than seven and provide that the period starts after the application has been published by the authority. The Government welcome the intent behind the amendments, which is that local communities have appropriate opportunity to comment on applications, and this is an important part of the process. Under the Bill, the seven-day consultation period starts the day after the application is made. The Bill requires the applicant, by posting a notice on the premises, and the authority, in such a manner as it deems appropriate, to publicise the fact that representations can be made during that period.
Authorities can choose to publish the application electronically, and this should make it easier to publish the application speedily. Extending the consultation period for more than seven days, however, would undermine a key benefit of this process, which is its speed. This temporary fast-track process strikes a balance between supporting businesses and responding to community interests by equipping authorities with local conditions and robust enforcement powers. For the reasons I have set out, I am not able to accept these amendments, and I hope that the noble Lord, Lord Low, will withdraw Amendment 9 and choose not to move Amendment 10 when it is called.
Continuing the theme of consultation, Amendment 16 —in the names of my noble friends Lord Holmes and Lady McIntosh, the noble Lord, Lord Harris, and the noble Baroness, Lady Grey-Thompson—would allow local authorities to include conditions which incorporate concerns expressed in the consultation. As I have previously said, the ability to respond to local issues is important, which is why the Bill allows pavement licences to be granted by a local authority, subject to such conditions as it considers reasonable. Local authorities can already do what the amendment is seeking, and for this reason I cannot accept it.
I turn to Amendment 13, tabled by my noble friend Lord Holmes, which seeks to implement a right of appeal. It is right that authorities have the ability to control the effects of licences, whether deemed or granted. That is why deemed licences are subject to conditions published by authorities. Authorities can require licence holders to immediately remedy breaches of conditions and have the power to revoke licences where needed. For these reasons, I cannot accept this amendment.
Amendment 14, in the names of the noble Lord, Lord Low, and the noble Baroness, Lady Pinnock, seeks to reduce the duration of deemed licences to three months. I believe the intent is to allow greater flexibility to local authorities to manage public spaces and review the suitability of these licences. It is important to allow for local authority discretion, while providing certainty for businesses. This is why the Bill provides that a deemed licence has a duration of a year and robust enforcement powers where there are breaches. Licences can also be revoked if all or any part of the area of the relevant highway has become unsuitable for any purpose for which the licence was granted. We need to provide certainty to businesses, which is why three months is not long enough as a default position. For the reasons I have set out, I cannot accept the amendment.
The same is pertinent to Amendment 15—tabled by my noble friend Lord Holmes and the noble Lord, Lord Harris—to change the expiry date of these licences to the end of September 2020. For the same reason I gave for Amendment 14, I cannot accept this amendment.
I respond finally to Amendments 22 and 23, tabled by my noble friend Lord Lucas and the noble Lord, Lord Harris. These would provide authorities with duties and powers to make pavement trading safer, and the authority to facilitate successful implementation of a pavement licence. The Government take public safety seriously, which is why there is a range of provisions in the Bill to ensure highways safety. By virtue of the conditions imposed on all licences, licence holders must not do anything that prevents pedestrians passing along the highway. If conditions are breached or public safety risks arise, authorities can revoke licences.
The Government have published guidance on reallocating road space in response to Covid-19, which points to measures that can be taken to reduce speed limits and create pedestrianised zones. The pavement licence guidance makes it clear that, when determining applications, authorities will want to consider whether any such temporary measures are in place. There is already a requirement for the local authority to consult the highways authority. In combination, the requirements I have outlined clearly tackle the issues of road safety. For these reasons, I cannot accept this amendment.
My Lords, I have received requests to speak after the Minister from the noble Lords, Lord Lucas and Lord Balfe.
My Lords, I am grateful to my noble friend for that reply, but I did not gather how he expects the county authority to respond to a request from the district that a particular road should be closed to traffic to enable restaurants to spread on to the pavements and streets. We are looking to do things quickly. As others have remarked, timescales in such requests can stretch into years. We have been asking for permission to put a pedestrian crossing opposite the new conference centre we built. This opened a year and a half ago, but nothing has happened yet. We want these things to happen quickly. What in the Bill will make superior authorities react speedily?
There is nothing specific in the Bill on communication between lower-tier authorities and county councils, other than that the intention of it is to move speedily to support the hospitality industry. That is the underlying purpose of the measures we propose.
In my contribution, and in the previous one, I asked first about the position of unused shops and whether there is a need for the applicant to have and submit the permission of the owner or lessee of the shop, if they propose to put tables and chairs outside it. I did not hear an answer; I might have missed it. Secondly, I asked whether it would be legitimate for an application to be rejected on the grounds that the seven days provided was not enough time for the consultation with local people that is provided under the Bill. I did not hear an answer to that but, again, I might have missed it.
For clarification, the definition of adjacent does not necessarily refer to premises. We will write to the noble Lord on his second specific point.
My Lords, I beg leave to withdraw the amendment at this stage.
My Lords, we now come to the group consisting of Amendment 18. I remind noble Lords that anyone wishing to speak after the Minister should email the clerk during the debate. Anyone wishing to press this amendment to a Division should make that clear in debate.
Amendment 18
Amendment 18 is in my name and those of the noble Lords, Lord Young of Cookham and Lord Faulkner of Worcester, and of the noble Baroness, Lady Finlay of Llandaff. We all want to get the hospitality sector moving again. I remind noble Lords that over 85% of people do not smoke. There is a public health issue here, but there is also the issue of making pubs and restaurants appealing to the vast majority of people. The UK hospitality sector will not recover if we cannot make it an enjoyable experience for the majority of its clients—that includes all those non-smokers and their children—as well as safe and enjoyable for the staff who may already be worried about returning to work.
The Bill proposes that restaurants and pubs should be able to use outside spaces for their customers to spill out into. People are safer from Covid-19 in the fresh air than inside buildings and, given the restrictions on numbers inside, this enables more customers to be catered for. The Government seek to balance economic with public health needs. Thus, in effect, the footprint of the pub or restaurant is expanded outside. We have already debated how these new needs and demands must be balanced with other considerations—the vital need to be inclusive, as the noble Lord, Lord Holmes of Richmond, and others so passionately put it.
Amendment 18 specifies that pavement licences may only be granted by a local authority subject to the condition that smoking is prohibited in such spaces. It is a simple and straightforward proposition. We all worked together, across all parties and none, on banning smoking in public places. That was transformative for public health, for the prevention of illness through second-hand smoke, for those working in these environments, and for the benefit of families and pregnant women. It is now widely accepted as a benefit and few people seek to turn back the clock.
However, under this Bill, the footprint of pubs and restaurants will, as I said, extend outside. If such an extension, for which there are good reasons, is to be granted, then these newly defined public places must also be smoke free for all the same public health and other reasons that the interiors of pubs and restaurants are smoke free.
The noble Earl, Lord Howe, who shared Second Reading with the Minister, has contributed significantly over many years as we have sought to combat smoking. I hope that both Ministers know that the words that they might have been given to reply to this amendment to the effect that local authorities “can” take such action is a world away from a provision saying that they “must” take such action. As the noble Earl will remember, prior to the introduction of smoke-free enclosed public places in the Health Act 2006 the hospitality trade did not support legislation that was simply local. It wanted a level playing field, provided by national legislation that covered all hospitality venues. That is why we need national action and “must” not “can”.
I first noticed this issue when I saw a petition organised to try to persuade the City of London and Westminster City Council to do this. A number of local businesses support it, but the council has not agreed, and therefore no progress is being made. As soon as I flagged this issue up at Second Reading, only one week ago, with ASH’s help and to my delight but not to my surprise, I secured support from every Bench in this House, as represented by the amendment. I am delighted to say that we also have the support of a former Secretary of State for Heath, the noble Lord, Lord Lansley.
In the space of a week, we have also secured support for this amendment from the 10 local authorities that make up Greater Manchester, including the cities of Manchester and Salford, and from Liverpool and Newcastle, Oxfordshire County Council, and the Local Government Association itself. I am extremely grateful to them all in their clear concern for the pubs, restaurants and citizens in their area. This needs to be national.
The Government have said that they want to achieve a smoke-free England by 2030. There is a danger in this Bill of things going backwards and not forwards. For those who think that the urgent measures taken in the Bill should not be impeded, such as perhaps the noble Baronesses, Lady Noakes and Lady Neville-Rolfe, I remind noble Lords of the numbers: 85% of people do not smoke. If we are to encourage them back to using pubs and restaurants, let us make it easy for proprietors to implement this measure, so that they can make their establishments as attractive as possible.
I hope therefore that the noble Lord will see the case and has already heard the strength of feeling on this issue in the House. We banned smoking in interior public places, and that ban must be sustained as we redefine in the Bill what public places are. I beg to move.
My Lords, I put my name to the noble Baroness’s amendment to indicate cross-party support, and I now add a brief footnote to her excellent speech.
Winding up the Second Reading debate last Monday, my noble friend Lord Howe said, in connection with another section of the Bill:
“The Government are clear that workers should not be forced into an unsafe workplace and that the health and safety of workers should not be put at risk.”—[Official Report, 6/7/20; col. 970.]
One of the principal reasons for the Health Act 2006, which banned smoking in pubs, was to protect employees from the health risks of passive smoking, as well as from the irritation and smell of the smoke. Under the Bill, employees of pubs will have to deliver drinks and collect glasses from the pavements, and they should be entitled to continue to work in a smoke-free atmosphere, as set out in the Health Act 2006.
In response to the case made last week by the noble Baroness, my noble friend Lord Howe said that
“the local authority can impose locally-set conditions on licences … that … can include restricting smoking in areas not designated for smokers.”—[Official Report, 6/7/20; col. 971.]
I do not believe that this is good enough. When Parliament considered banning smoking in pubs, it rejected the policy of leaving it to local discretion. It was to be a clear, national public health policy, and so should this be. As the noble Baroness said, the Local Government Association does not want local discretion. Doing that would blunt the public health message and lead to uncertainty among customers. From the industry’s point of view, it is right that there should be a level playing field.
I urge my noble friend to think again and give a positive response, otherwise I fear that, for the first time since I joined your Lordships’ House, I may be obliged to vote against my party on Report.
My Lords, it is a pleasure and a privilege to follow the noble Lord, Lord Young of Cookham. His record in fighting for public health and achieving sensible tobacco control is probably greater than that of any other Member of your Lordships’ House. It goes right back to the early 1980s, when, as a Health Minister, he was fired from Margaret Thatcher’s Government for taking a tough line on sports sponsorship and advertisements with those whom he described as the “tobacco barons”. In a blog post, he said:
“I banned smoking at the meetings I held with them, and tried to get a health warning not just on the cigarette packs, but on the cigarettes themselves. The barons resisted this; the ink, they asserted, contained substances that could damage the smoker’s health”.
I am delighted that he has put his name to this amendment; I was very pleased to do the same. I congratulate the noble Baroness on the speech she made at Second Reading and on the very persuasive way in which she moved the amendment so ably just now.
This is the latest step on the journey to the smoke-free country which Ministers say they want to achieve by 2030. It is also consistent with the approach we have adopted in your Lordships’ House since we approved a succession of tobacco control measures, going back to the early years of this century. The most important of these, referred to by the noble Lord, Lord Young, was the measure to make pubs and clubs smoke-free after the free votes in 2006. There can be hardly anyone, in this House or outside, who wishes to go back to the days when pubs were full of smoke and patrons needed to change their clothes and wash their hair to get rid of the stench when they got home. Those laws were the most significant contribution to public health since the clean air laws of the 1950s and the Victorians’ improvements to the quality of drinking water.
In 2013, I was pleased to be part of a cross-party group which moved amendments to the then Children and Families Bill that were designed to protect children and help prevent them starting to smoke. Those required cigarettes and other tobacco products to be sold in standardised packaging and made it an offence to smoke in cars where children under 18 are present. By the happiest of coincidences, the Health Minister who accepted the arguments in those amendments tabled in Committee was none other than the noble Earl, Lord Howe. He will therefore appreciate how entirely appropriate it is to improve legislation such as this in the interests of public health.
As the noble Baroness, Lady Northover, has said, this amendment enjoys significant public support. Particularly striking is the evidence from Greater Manchester. Over 70% of its population said that they wanted the areas immediately outside public buildings to be smoke-free environments. As she said, all 10 local authorities in the area support this amendment.
I should also mention a friend of mine, Ian Hudspeth. He is a Conservative councillor and chair of the Local Government Association’s community well-being board. In a message to me he writes: “As leader of Oxfordshire County Council, which supports Oxfordshire’s ambition to be the first smoke-free county in five years’ time, by 2025, I want to express my support for this amendment. It is important to ensure that public spaces where people congregate and socialise do not present a health hazard from cigarette smoke. By giving local authorities the mandate and tools to protect their residents’ health, it ensures a level playing field for businesses and demonstrates the Government’s commitment to its ambition for England to be smoke free by 2030”.
I hope that your Lordships will accept this amendment when, presumably, it is moved on Report—unless the Minister is able to indicate tonight that he is able to accept it now. I wholeheartedly support it.
My Lords, I am delighted to support this important amendment. We have come a long way in public health on harms from smoking and passive smoking. Our ban on smoking in public places has resulted in proven improvements in rates of heart disease among workers in such environments. As well as protecting workers in pubs, we must not put at risk the public, who have in recent years enjoyed pubs. Unfortunately, the evidence around Covid damaging the heart and lungs is rapidly mounting. We know that those with cardiovascular disease and lung disease—direct consequences of tobacco smoke exposure—have a worse prognosis and a higher post-infection morbidity.
For people’s mental health, and for the country’s economy, it is essential that venues are supported to open safely and inclusively, and to provide a pleasant experience outdoors that is as safe as possible. Commercial pressures from the tobacco industry will, of course, want to resist this. This amendment, to which I have my name, supports hospitality venues to reopen, maintains consistent messaging to decrease smoking and encourages people to enjoy going out and socialising, with mental health benefits. This amendment supports our public health gain on decreasing tobacco smoke exposure, which must not be abandoned now; it would be irresponsible to throw it away. I urge all noble Lords to think about what they will throw away if they do not support the simple measure proposed in this amendment.
My Lords, I rise to express my doubts about this amendment, because the Bill contains temporary measures. We should put liberalisation to the fore, as argued by my noble friend Lady Noakes on an earlier amendment, and should not be using this Bill to make major policy changes.
My grandmother was a smoker and died of lung cancer shortly before I was born—a great sadness, as she was a founder of the CPRE and a great cook. However, this has made me very aware of the right way to encourage the reduction in smoking. I do not believe in total bans, which drive smoking underground. The truth is that smokers are still able to smoke in the open outside some pubs and bars, so they come, sit outside well away from others and support the hospitality sector—as I saw on Saturday outside the coffee shops in Salisbury marketplace. A proper study and assessment of what this measure would mean cannot be done for a temporary Bill. It would certainly affect pubs and other outlets, but we do not know what the possible impact would be, given that we are talking about people gathering together in the open air.
More generally, I feel that noble Lords have not grasped the gravity and immediacy of the economic disaster enveloping this country as a result of Covid. The various measures and amendments before us could make things worse—for example, by hitting pub numbers and, indeed, driving smokers away from the open air that is better for their health. I believe that this should be a matter for local authorities and that we should not be embarking on a major change in this temporary Bill.
My Lords, I am speaking very strongly in favour of Amendment 18, so cogently introduced by my noble friend Lady Northover. This debate takes me back almost 20 years to the passage of my Private Member’s Bill, which became the Tobacco Advertising and Promotion Act 2002. It had cross-party support and the very effective backing of Action on Smoking and Health, as does today’s amendment.
My noble friend Lady Northover was extremely helpful then, as were the noble Baroness, Lady Finlay of Llandaff, the noble Lord, Lord Faulkner, and the late Lord Peston, who we all remember so fondly. The noble Lord, Lord Naseby, was a lot less constructive. The noble Baroness, Lady Noakes, was on patrol. The noble Earl, Lord Howe, kicked the tyres on the Bill very hard but was persuaded of its merits—as I hope he and his ministerial colleagues will be by this amendment today.
Our culture and, in particular, the balance between smokers and non-smokers, has changed dramatically since those days. I remember visiting Ireland with the noble Baroness, Lady O’Cathain, shortly after the passage of the Bill. The scales fell from our eyes about the possibility of smoke-free pubs and restaurants—and now, as a result, our health benefits hugely.
Clause 5 already sets out that conditions can be put on pavement licences by local authorities or the Secretary of State. As the LGA says, this amendment
“sets a level playing field for hospitality venues across the country”.
It wants national action. This is crucial, as my noble friend Lady Northover explained, to ensure consistency and clarity of regulation across the country for the hospitality trade. It also has the public health benefit of protecting people from unwanted second-hand smoke.
As ASH says, Covid-19 has changed the context completely. Access to indoor smoke-free areas in hospitality venues is limited and riskier as a result. Prohibition of smoking in enclosed areas has displaced it outdoors, particularly to areas around the entrances and exits to public buildings. If smoking is not prohibited, pavement areas will not be family-friendly spaces. They will exclude non-smokers from enjoying the benefit of eating and drinking outside. Neighbouring premises, particularly in cramped, inner city areas, will also be exposed to second-hand smoke.
This is a chance to ensure that the health gains of the 2002 Act and the Health Act 2006—which has had great public support, as my noble friend said, with smoking declining significantly among young people in particular—are not squandered and that the Government can realise their stated ambition for England to be smoke-free by 2030.
My Lords, I apologise for not speaking at Second Reading. Given the restrictions imposed on restaurants and pubs to maintain social distancing during this Covid-19 crisis, it is understandable and welcome that this Bill makes it possible for food and drink to be served on the pavements outside pubs and restaurants.
We have regulations that prevent smoking in pubs and restaurants because of the effects of second-hand smoke on other customers. We have all seen the graphic Covid health warning films about the effects of coughing and sneezing, and how droplets large and small can be projected over several metres and potentially infect those within range. Most smokers exhale the smoke from their lungs through pursed lips and can project smoke beyond the government guidelines of social distancing of one metre plus. So the risk of second-hand smoke, even in an open environment, can affect those seated close by. In effect, the pavement licence takes the pub or restaurant outside. Therefore, any regulation relating to smoking in public places such as pubs and restaurants should be extended to pavement areas until such time as the designated period outlined in the Bill ends in September 2021.
All the evidence points to a second wave of Covid-19. We expect something to happen as we approach winter. The sporadic outbreaks we have recently witnessed in Leicester and Herefordshire should be a warning to us all to be careful in controlling the spread of the virus. Given the horrendous effects of coronavirus, particularly on patients’ lungs—many requiring long-term ventilation—it is all the more important to ensure that the air around us is as unpolluted as possible. That includes air from second-hand smoke. As the noble Baroness, Lady Northover, and others observed, the Government have expressed a desire to make England smoke-free by 2030. Let us start now, by prohibiting smoking on pavements outside restaurants and pubs, and in doing so protect those who may contract coronavirus in the coming year and thus be at risk of serious lung complications.
I strongly support this amendment and hope that it will be accepted, albeit as part of a temporary measure.
My Lords, I will speak in support of Amendment 18 in the name of my noble friend Lady Northover, which I am pleased to say enjoys support across the House. Before I do so, I apologise for not being able to speak at Second Reading last week. I thank my noble friend Lady Northover for the comprehensive way in which she introduced her amendment, and her co-signatories the noble Lords, Lord Young and Lord Faulkner, and the noble Baroness, Lady Finlay of Llandaff, for their support.
The amendment seeks to ensure that in our attempt to find new and different ways of allowing our cafés, pubs and restaurants to survive, we do so in a way that is sustainable and safe for as many members of the public as possible, including staff. It will also make family-friendly areas safer for young children, who are particularly susceptible to toxic second-hand smoke.
I heard a few people say that extending non-smoking areas to licensed pavements should be left to local authorities to decide on an ad hoc basis, but, as in 2016, most proprietors of pubs, restaurants and cafés support extending the non-smoking area to licensed pavements. They know they will be on the front line when it comes to enforcing rules and, not surprisingly, they want the clarity and the safety from disappointed and sometime aggressive members of the public. They want the clarity that comes from everybody having to adhere to the same rules. Anything other than a national regime, underpinned by legislation, would cause confusion and, I fear, sometimes conflict.
I agree what other noble Lords have said in support of the amendment and I do not want to repeat what has already been said. However, there is one last point I would like to make. To introduce pavement licensing without the attendant safeguards from exposure to second-hand smoke would fly in the face of the Government’s own rationale for reducing the two-metre safety distance to one metre-plus. The plus refers to a physical barrier such as a screen or a face covering. Allowing smoking outdoors will mean the removal of face coverings and masks, therefore more exposure for the smoker and for anyone sharing his or her airspace. If only for the sake of consistency with their own policies, the Government should accept this amendment tabled by my noble friend Lady Northover.
My Lords, when the smoking ban was first introduced in 2007, it had followed years of campaigning and research to demonstrate the negative effects. Second-hand smoke affects everyone. The research studies then showed breathing in second-hand smoke increased an adult non-smoker’s risk of lung cancer and heart disease by a quarter, and of a stroke by 30%. I had been chair of a committee in the then National Assembly, which is now the Welsh Parliament, investigating the case for and the effects of a smoking ban in public and workplaces, and it was introduced before the ban in England. But that case is now well established and agreed across all parts of the United Kingdom, and 10 years after the 2007 Act, in 2017, the Welsh Parliament went even further, introducing restrictions on smoking in outdoor care settings for children, school grounds, hospital grounds and public playgrounds.
The current smoking ban in England is meant to be one of a series of moves to discourage smoking. The ban is part of a trend towards policies that de-normalise smoking and it has helped create a shift in culture. Around the world, Governments are considering or instituting bans on outdoor smoking. Just last summer, Sweden banned smoking in many outdoor places, including playgrounds, train platforms and restaurant patios. Following the Welsh example, smoking has been banned in the grounds of most NHS hospitals in England. The case for preventing the breathing in of other people’s smoke is proven. It is beyond doubt; it is harmful. Given there is a ban in workplaces, moving the workplace outside on to the pavement extends the boundary of the workplace, and thereby extends the need for banning smoking within that boundary if for no other reason than for those who work within those establishments.
One of the arguments used in 2007 was that a smoking ban would damage the business of pubs, but there has been no direct negative effect on pubs. People, as has already been commented, just go outside to smoke. Therefore, if the experience of 2007 is anything to go by, and the smoking ban is introduced on the pavement facility provided by the Bill, the new and temporary outside for smokers will be an outside space away from others who are eating and drinking. In reality, not having a smoking ban may well be the bigger deterrent here. Not being able to eat or drink in a non-smoking environment, to which the public have been accustomed, may well keep them away from eating out.
Breathing in other people’s smoke is harmful. The Government have indicated that they want to go further. The experience thus far is that a ban on the pavement facility will not damage business; smokers will move away from those eating and drinking. So why not use this limited opportunity to provide an environment which is not just smoke free but is healthy for diners and staff alike? The Government can demonstrate that they mean business in the challenge to tackle the harm that smoking does to the health of the nation. I am pleased to support the amendment.
My Lords, I start by congratulating the noble Baroness, Lady Northover, on having the courage to present this important amendment, and on doing it so well—[Connection lost.]
Lord Carlile, are you still there? We had better move to the noble Lord, Lord Rennard, and we may try to get the noble Lord, Lord Carlile, back later.
My Lords, the principle of providing pavement licences is welcome, and I believe that this amendment will help to encourage more businesses in the hospitality sector to open. It has been put forward superbly by my noble friend Lady Northover and other noble Lords.
Over the weekend, I was able to visit excellent cafés on the Eastbourne sea front which were all following sensible and necessary precautions in relation to social distancing et cetera. However, as an asthmatic who has never enjoyed having to suffer other people’s tobacco smoke, I would not have enjoyed the experience if I had been subject to smoke blowing across from nearby tables. I was also mindful that staff in these establishments could not be protected from second-hand smoking if it had been permitted in these outdoor areas. Where I went would not have seemed so family-friendly, and passers-by would have been at risk, as pavement licences will apply to areas close to where people will be walking.
There is some misunderstanding over this amendment. It is about smoking immediately outside premises, where smoke drifts in and staff and customers are heavily exposed. It is not unlike the prohibition on smoking, agreed in 2007, in relevant parts of railway stations. These regulations cover concourses, ticket halls and platforms. Smoking is at present banned in public places. That ban has wide support, and it should be banned where pavement licences are now granted. If we do what the tobacco companies want, we will be undermining the Government’s own aim of creating a smoke-free country by 2030.
My Lords, I congratulate the noble Baroness, Lady Northover, on tabling this excellent amendment and for articulating it so well. I happen to be a former smoker. I now have COPD and the best thing I have ever done in my life was to give up smoking. I am extremely pleased to support the amendment. I cannot add to what noble Lords have already said so powerfully, except that second-hand smoke is dangerous to the health of all, obnoxious to the majority of those who have to suffer and inhale it and, socially, totally unacceptable. The smoking litter left behind is a health hazard. I urge the Government to accept this sensible amendment.
My Lords, I will speak in favour of this amendment, which I wholeheartedly support.
I remind noble Lords that smoking causes lung cancer, heart disease, strokes and other illnesses. Smoking causes harm to smokers as well as being a danger to others. When a person smokes, most of the smoke does not go in his or her lungs but is in the air, meaning that anyone can breathe it, with dire consequences. It was therefore decided not to allow people to smoke indoors, but this rule should now be followed by customers who are outside the premises.
If smoking is allowed on the pavement outside the premises, there will be a danger, not only to smokers but to other customers and pedestrians passing by. There will also be a danger to the staff who are serving the customers, as they will be affected by second-hand smoke. Over 85% of the British population are non-smokers. They do not like others to smoke near them, as they feel that they will be subjected to passive smoking. I hope that this amendment is accepted.
My Lords, I have not smoked for nearly 40 years and I loathe cigarette smoking, so I gently say to the noble Lord, Lord Clement-Jones, that he has misremembered my involvement in earlier anti-smoking legislation.
Nevertheless, like my noble friend Lady Neville-Rolfe, I do not think that the Bill is the right place for this amendment. The amendment would affect the granting only of new licences and would therefore discriminate against any premises granted a temporary licence under the Bill. Echoing what my noble friend Lady Neville-Rolfe said, I think that there is a massive danger to our economy of not getting it going again. It is not an overall concept of the economy; these are individual businesses that will go under if they cannot find a way of becoming viable. We should not lumber them with a competitive burden not borne by other businesses that already have pavement licences.
I do not know whether this is a real problem. The Health Survey for England 2017 had only around one-quarter of people self-reporting exposure to second-hand smoke, and only around 15% saying that it was smoke from outdoor areas outside pubs and restaurants. The majority appear not to be bothered. Be that as it may, we should cover that in a consultation and an evidence base that is sought on the normal basis before taking primary legislation to deal with this, if indeed it is an issue, rather than trying to squeeze it into the Bill, which is about trying to make things easier for some businesses to get going again.
My Lords, I congratulate the noble Baroness, Lady Northover, on bringing forward this amendment and I support it. If I may presume to say so, we were together as part of the health team in the coalition Government. I am very proud of the fact that we implemented the display ban on tobacco in shops and brought in the ban on vending machines, which was particularly important in restricting the access to tobacco and cigarettes for young people. I also initiated the consultation that led subsequently to standardised packaging.
Between 2011 and 2018, the proportion of adults in this country who were smoking went down, as the noble Baroness suggested. It has gone down from nearly 20% to below 15%. Most encouragingly, among 18 to 24 year-olds the reduction has been largest: from 25.8% down to 16.7%. There has been a reduction of more than one-third in the number of young people smoking—the 18 to 24 year-olds. That is one of the reasons why the impact of this issue in relation to pubs, clubs, restaurants and the like is particularly important for young people who are out and about.
I want to make three points. First, we are in the midst of a health crisis. In a health crisis, which is probably demonstrating to us that one of the underlying factors that has not helped us is the poor underlying health of many people in this country, we must do everything we can to try to improve population health in this country. We have not done enough and need to do more. We must prioritise public health and, by extension, if this amendment were taken on board this measure—modest as it may be in the overall scheme of things—would move us in the right direction.
My second point comes to the point made just now by my noble friend Lady Noakes. It is an important one. This is a temporary measure and would be specific in relation to new licences, but the essence of this Bill is that it will give an opportunity for premises which have previously been licensed for indoors to move outdoors; it gives an opportunity for licensed premises to operate on pavements and the like. In effect, what it says is, “We are extending the public space.” In my view, as we extend the public space, so we should extend the protections for the public that go with it. That means a ban on second-hand, passive smoking for those people who are enjoying that opportunity.
I shall make a third point. I am reminded of when my noble friend Lord Young of Cookham and I worked together on a little conspiracy of our own when we were in the other place: the ban on smoking in public places. I was the shadow health Secretary at the time. The nature of our conspiracy was that we secured the agreement of the whips that there would be a free vote. So I very much hope that neither my noble friend nor I will have to vote against a government whip on this matter. The Government could adopt exactly the same approach and give noble Lords in this place a free vote on the amendment. They might also do the same in the other place, and we shall see where we end up on the basis of the arguments. We implemented a ban on smoking in public places on a free vote and, in these circumstances, I think that we might well extend that ban on the same basis for this measure.
My Lords, this is not a health Bill, as my noble friend Lady Noakes pointed out; it is a temporary measure. I am sorry to say this, but I think that this is an emotional amendment—and I speak as someone who is a non-smoker. I would remind your Lordships that tobacco is a legal product that is marketed with awareness packaging. Moreover, we need to take on board that we are talking about the nearly 7 million people in our population who still smoke, plus the 3.6 million who are vaping.
A great deal has been said about smoke curling around people who are eating and so on, but in an outdoor situation, tobacco smoke is highly diluted and dissipates very quickly in almost every atmospheric condition. It is absolutely right that smokers have a responsibility to behave properly towards the people around them, particularly when they are accompanied by children.
The proposal being put forward in this amendment to force pubs and cafés to ban smoking outside their premises—otherwise they will be refused permission to serve drinks—is wholly disproportionate. At a time when all our small businesses are on their knees, struggling to survive under the pressure of coping with Covid-19, I suggest that the last thing they need is further restrictions that will drive away desperately needed customers.
I am not saying that this measure would not be appropriate in a proper health Bill at some point, as soon as the authorities deem it to be relevant to take a particular action one way or another—but to hang this ban on to a temporary Bill that is designed to help every small business, not just those whose customers are not smokers, is entirely wrong in my view.
Can we get the noble Lord, Lord Carlile, back?
My Lords, I apologise—just as I was speaking, there was a power cut in my home. I was saying that in 2015, some 115,000 people died of smoking-related diseases in the UK alone, at a time when knowledge of the dangers of smoking was complete. Since at least 2006, when a significant report was published by Stanford University, it has been known that exposure to tobacco smoke outdoors is less damaging but still potentially very damaging. The noble Lord, Lord Ribeiro, who is a considerable medical expert in your Lordships’ House, described clearly how the effects of tobacco can be transferred outdoors.
Let us turn to the nature of the venues that we are discussing. We are not talking about people smoking cigarettes in a field or in a park, or walking along a pavement and making steady progress. The nature of many of the venues that we are discussing here involves canopies, umbrellas and, by definition, proximity. We need only look at the courtyard of every public house.
The noble Lord, Lord Adonis, has withdrawn, so I call the noble Baroness, Lady Pinnock.
My Lords, we have heard powerful and eloquent contributions, led by my noble friend Lady Northover, on the imperative to ensure that by extending ways in which pubs and cafés can serve customers, we do not also inadvertently extend opportunities for smoking. All the arguments have been made. I wholeheartedly support this amendment. It has cross-party support. I look forward to the Minister indicating that the Government accept that this amendment is essential for public health.
My Lords, the sole amendment in this group seeks to prevent customers from smoking in areas covered by the new pavement licences. The noble Baroness, Lady Northover, is right to alert the House to the dangers of second-hand smoke. This is a pertinent issue, considering that respiratory health is at the forefront of everyone’s mind.
The House will be aware that for some time there has been a wider campaign for smoking in beer gardens to be banned, and that any proposals for further restrictions should be considered only in consultation with the hospitality industry, especially at a time when businesses are struggling to survive. On a similar note, I would welcome the Minister clarifying the guidance to pubs on the exact regulations relating to smoking in outdoor areas. The Minister may be aware that a bar in Belfast was fined earlier this year because its beer garden, which allowed smokers, was too enclosed.
Also on the dangers of smoking, can the Minister explain why the Government are still planning to cut smoking cessation services across England by £4.9 million in 2019-20? The noble Lord, Lord Young, reminded the House of the Health Act 2006, which helped employees in the hospitality industry deal with the perils of passive smoking, since they are entitled to work in a smoke-free atmosphere. My noble friend Lord Faulkner alerted the House to the Government’s intention to make pubs and clubs smoke-free by 2030—the most significant contribution to public health since the Clean Air Act of the 1950s.
I pay tribute to local government colleagues in Manchester who, through consultation, have found that an overwhelming majority of Mancunians support the creation of permanent smoke-free zones in the city and wider region, to “make smoking history”. Perhaps the Minister should look instead to Wales, where the Labour-led Welsh Government have made enormous achievements in de-normalising smoking and protecting non-smokers from exposure to second-hand smoke. Last summer, Wales was the first country in the UK to ban smoking in outdoor school spaces, playgrounds and hospital grounds, and—as noted by the noble Lord, Lord German, who was an Assembly Minister at that time—we were ahead of the curve when we banned smoking in indoor public places in Wales in April 2007, ahead of England.
My Lords, the amendment tabled by the noble Baroness, Lady Northover, and supported by the noble Baroness, Lady Finlay of Llandaff, my noble friend Lord Young of Cookham and the noble Lord, Lord Faulkner of Worcester, seeks to ensure that pavement licences may only be granted by local authorities subject to the condition that smoking is prohibited. The Government recognise the vital importance of health and safety concerns but we do not believe that imposing a condition to prohibit outdoor smoking would be proportionate. I shall explain why.
We are helping our pubs, cafes and restaurants to safely reopen, and we are securing jobs by making it quicker, easier and cheaper to operate outside. The Government’s priority is protecting public health against the transmission of the coronavirus while ensuring that venues can remain open and economically sustainable. The Government have no plan to ban outdoor smoking. Excessive regulation would lead to pub closures and job losses. Smokers should exercise social responsibility and be considerate, and premises are able to set their own rules to reflect customer wishes.
The Bill allows local authorities to set their own conditions on licences and makes it clear that those authorities will want to consider public health and public safety in doing so. Therefore, local authorities can exercise their condition-making powers to impose no-smoking conditions. Where there is a breach of the condition, the local authority can serve a notice to remedy the breach and even remove the licence, so local authorities have the power to revoke licences where they give rise to genuine health and safety concerns.
Businesses can make their own non-smoking policies for outside space, which can include restrictions on smoking near food. There is a need for social responsibility, as I have already said, and smokers should be considerate to others. The amendment would have unintended consequences, pushing drinkers on to pavements and roads away from licensed trading areas. It would also cause confusion with existing outdoor areas that would still permit smoking.
I have to say that it is great to see the reformation of the dream team of my noble friend Lord Lansley and the noble Baroness, Lady Northover, given what they have achieved in public health terms—the display ban, the ban on vending machines—and to hear of the work between my noble friends Lord Lansley and Lord Young in cooking up a free vote on banning smoking in public places. However, I reiterate that this is a temporary emergency form of legislation and it should not be a backdoor route to try to ban smoking in public places, as pointed out by my noble friends Lady Neville-Rolfe, Lady Noakes and Lord Naseby.
As the son of a surgeon, I appreciate the contribution of my noble friend Lord Ribeiro and the points made by the noble Lords, Lord German and Lord Carlile of Berriew, and my noble friends Lord Shrewsbury and Lord Sheikh. The case is now incontrovertible that there are dangers from second-hand and passive smoking. I can say that as the son of a vascular surgeon who has published extensively on the impact of smoking on arterial disease. The Government are committed, as has already been stated, to achieving a smoke-free England by 2030. We are already taking steps to get there, as was referenced by the noble Lord, Lord Rennard. England’s smoking levels continue to fall and are currently at 13.9%, the lowest rate on record. We will publish the prevention Green Paper consultation response in due course and set out our plans at a later date to achieve a smoke-free England. So we support the implementation and evaluation of smoke-free policies in line with the evidence as it emerges.
The noble Baroness, Lady Wilcox, made the important point that any changes of this nature should be made in consultation with the hospitality industry, so amending this Bill is not the way to implement such changes. I note her points about specific places and I will write to her on those matters. For the reasons that I have set out I am not able to accept the amendment, and I hope the noble Baroness will therefore withdraw it.
My Lords, I was moved to speak on this amendment because it seems to negate the purpose of this part of the emergency Bill, which is to allow people out on to the pavements to smoke and drink. I have not smoked a cigarette since I was about 11. I had a reputation at school as a prefect and in the Army of being virulently anti-smoking, which I am. I welcome the fact that I can go to pubs and come out without my jersey stinking of cigarettes.
I am delighted to say that neither of my children, who are in their early 20s, have taken up smoking. I would be very upset if they had. We all know how unwise it is. It is a foolish habit, but it is legal and lots of people smoke. Furthermore, many people only smoke with a drink because they like smoking with a drink.
We are talking about being outside. If, as the noble Baroness, Lady Northover, said, it is safer to be outside because of the threat of the virus, it is also safe to be outside when it comes to passive smoking. Of course, we will also have social distancing, which makes it that much more difficult to breathe in someone else’s smoke. As it happens, I would support this amendment if it referred only to restaurants and places where people were eating, but it is illogical because if people are just having a drink it is rather like the outdoor smoking areas that were much talked about during the passage of the Bill that banned smoking in pubs.
We are trying to encourage people to visit bars, but this would deter some people from going to bars. I see it as a somewhat illiberal amendment, which is why I am not surprised to see so many Liberal Democrats supporting it. It seems to be driven by a personal dislike of smoking—a dislike which I share. I will welcome the time when everyone gives up and we have a smoke-free England but, at the moment, if people are allowed to smoke they should be allowed to smoke with a drink outside if they are not harming anyone else. I am delighted to hear that the Government are likely to resist the amendment.
I am delighted that my noble friend Lord Robathan has a smoke-free family and to hear about his ill-spent youth as an 11 year-old smoker. But as I said previously, this is emergency and temporary legislation and should not be a backdoor route to ban smoking in public places.
My Lords, I thank the Minister for that response and especially for grouping me with the noble Lord, Lord Lansley, as part of this dream team. There is no reason why the Minister would know this, but when the noble Lord, Lord Lansley, was the Secretary of State, I was a mere Whip in the coalition, and deputising for part of that dream team—the noble Earl, Lord Howe. I understand why the noble Earl might have felt it difficult to give the speech that the Minister was given by his department this evening. It would have been immensely difficult for part of that real dream team to do that.
I am very thankful to noble Lords for their contributions. I thank the noble Baronesses, Lady Neville-Rolfe and Lady Noakes, and the noble Lord, Lord Naseby, for their comments about moving fast, but they did not seem to get the point that I was making which is that we need to get this sector up and running. Given that almost 90% of us do not smoke, the amendment would make establishments more rather than less attractive, more viable rather than less so, as well as tackling the public health challenge that everyone has laid out. The fact that so many cities have expressed support to me in the space of a few days shows that people can move fast on this. I trust that, in fact, while we have been speaking, the Government are sending the write rounds on the concession that I think is needed on this amendment. I know that the Department of Health and Social Care has been in touch with ASH today and we are very happy to work with the Government on this.
I am, as the Minister will see, disappointed in his response. I realise that he is constrained and that he will be perhaps less familiar with the history of this House and the cross-party involvement in this issue, although I think that he has probably gathered that from the range of people who have spoken. At this stage, I will withdraw the amendment, although we will return to it next week.
The ideal situation is that the Government come forward with their own amendment so that we do not have to have a vote on it next week. I hope very much that the discussions with the Department of Health and Social Care—I am looking at the Box at the moment—will bear fruit. I also look at that part of the dream team sitting on the Bishops’ Benches. I hope that next week we can come to a resolution that we are all happy with.
My Lords, we now come to the group consisting of Amendment 24. I remind noble Lords that anyone wishing to speak after the Minister should email the clerk during the debate. Anyone wishing to press this amendment to a Division should make that clear in the debate.
Amendment 24
My Lords, this amendment follows up the point that I raised at Second Reading about the use of outdoor spaces within the curtilage of premises that are not spaces covered by the definition of relevant highways and pavement licences. I did not get a reply, which I am sure is an oversight, as the Minister wrote on another matter. I wrote back on Friday, so at least there has been some advance notice about this somewhat fuzzy issue.
Newspapers have been proclaiming that this Bill allows pubs to turn their car parks into beer gardens. One such article was in the Sun on 23 June, headlined:
“Pubs and hotels allowed to turn car parks and grounds into beer gardens to boost economy as lockdown eases”,
and the Mirror said:
“What pubs will look like with beer gardens in car parks as lockdown is eased.”
Even the trade magazine Morning Advertiser said:
“This means pubs and restaurants will be able to use car parks and terraces as dining and drinking areas using their existing seating licences ... thanks to the Business and Planning Bill”.
There are other articles—indeed, so many that it looks like there must have been a briefing.
If that is correct then I am content, but I am confused as to how this is achieved by the Bill if car parks are not part of a relevant highway. So my first question is: are they covered as a “relevant highway” under Part 7A of the Highways Act? I know that they are public places in relation to some driving offences but, as I understand it, they are not highways. A simple look at Part 7A implies that they are not, but who knows what terms one might uncover with more research. In any event, I am also interested in patios, courtyards and other places that might be within the curtilage and not already under the licence. They are clearly not highways. So where is the general new provision? I have proposed one in my amendment just in case it is not there.
Next is the question of whether a licence is needed anyway. My starting point was an awareness that various pubs have already applied for licence variations for car parks and patios. I have also had some emails sent to me on the subject. Some people have the understanding that off-sales cover car park use—on the basis that it is the sale and not the drinking that is licensed—and that the extended off-sales therefore bring them into play if they were not in play already.
However the FAQs about off-sales on the Stafford Borough Council website make the situation clear:
“Q: Can I provide seating for customers of the business, for the purposes of consumption?”
That is for the consumption of off-sales.
“A: No. Seating cannot be made available (and this can include areas not under the control of the premises) and this is not restricted to seating within the premises such as beer gardens and adjoining smoking areas, but would include areas adjacent to the premises which also might include public benches.”
It rules that out: no providing of seating for drinking your off-licence purchases, although local authorities can vary significantly in their levels of strictness.
Then there is the matter of where the sale is made. If there is a bar in the car park, it is clear that the sale is made there. If a table order is taken and paid for in the car park or the beer garden, some people think that is the point of sale, but in the 2002 Valpak packaging case the judge held thatAn article in 2018 about pubs and gardens in the trade magazine Morning Advertiser notes that it is necessary to consider: whether the pub’s outside area is already part of the licence and what rules apply, as restrictions are common, often on time; if it is unlicensed and it is wished to include it then bear in mind there can be objections during the application procedure; that it can be used anyway if it is accompanied by the service of hot food between 5 am and 11 pm as that does not require a licence; and whether it is part of a public highway as then both planning and a pavement licence may be required.
All that, and indeed a lot more, is the background to my amendment, which in simple terms just says that open-space licences should be available on similar terms to pavement licences to cover cases where such a provision is needed. In most instances, non-pavement outdoor spaces are less likely to cause obstruction, and that is a valuable consideration, although they would still need to be treated sensitively with regard to noise and nuisance, especially in residential areas, and for that purpose I have copied in all the parts of the pavement licences referencing such matters. I beg to move.
My Lords, I am delighted to support this amendment. I hope the Government will consider allowing councils considerable freedom as to what land they allow premises to use, obviously subject to the permission of the council and the landholder. If you look at a rather complicated town such as Eastbourne, there are few places where you can use the pavement, but not that far away there may well be spaces you could allow a premises to use. It gets quite difficult to negotiate the Bill as it is written, but with a bit more freedom for a local council to apply common sense to where they are prepared to allow tables to be put, we could get to a useful outcome. I encourage my noble friend to look at widening the scope of the permissions that the council is allowed to give so that we can find within the confines of a convoluted town the space that our businesses need.
My Lords, I will be very brief indeed. I support the amendment from the noble Baroness, Lady Bowles. It seems a matter of common sense that, certainly in the shorter term, there might be a need to use other spaces. The LGA supports such measures, and I hope the Government take notice and clarify the position.
My Lords, I support my noble friend Lady Bowles of Berkhamsted’s Amendment 24. Her speech shows that there is much confusion around aspects of the licensing laws. This is also abundantly clear from contributions by other noble Lords today, which is why I echo what the noble Baroness, Lady Kennedy of Cradley, said at Second Reading: a review of our licensing laws is long overdue.
It seems very likely that there will be areas not currently within the so-called red lines of the licence that may be better used for external drinking than the obvious pavement areas, for reasons outlined by the previous speakers. I absolutely agree with the noble Lord, Lord Lucas, that local authorities, which know their area, pubs and landlords best, should have maximum flexibility.
This amendment seeks to expand the opportunities for creating such outdoor spaces. For example, can the Minister clarify whether councils can license parking bays that have been suspended—naturally, subject to safety and local considerations, as always? This would enable businesses to take advantage of pavement licences that they otherwise would not be able to because of the limited width of the pavement, for example. Can the Minister also clarify whether new pavement licences are exempt from the public space protection orders in the same way that licences under the Highways Act 1980 are—or are the powers already there but not explicit, in which case can guidance be amended?
My noble friend Lady Bowles has raised detailed issues about the use of alternatives to pavement licences that may be of more value to pubs and cafés and less disruptive to residents. This is eminently sensible and promotes business. I am confident that the Minister will be constructive about the way forward in response to this thoroughly sensible amendment.
My Lords, the amendment in the name of the noble Baroness, Lady Bowles, highlights the need for outdoor space licences to be easily granted for areas such as courtyards and car parks. The noble Baroness is right that many premises will not benefit from pavement licences but have space elsewhere for which they may wish to explore the addition of seating. She asked an important question: where is the general new provision? Is the licence needed at all?
The knock-on impact for residents may be lessened should these options be considered rather than pavements. I assume they will also lessen the consequences for those with disabilities who may struggle on pavements blocked by seating. I hope the Minister will consider whether it is possible and desirable to allow more outdoor spaces to be utilised. The noble Baroness, Lady Thornhill, noted what my noble friend Lady Kennedy of Cradley said at Second Reading about the licensing laws needing real revision.
My Lords, the new clause proposed by the noble Baroness, Lady Bowles of Berkhamsted, would introduce a fast-track procedure to provide outdoor space licences for areas within the curtilage of premises not already covered by the existing licence—for example, car parks or courtyards. Given that indoor space will be limited while social distancing measures apply, we want to provide a temporary process that helps us support as many businesses to reopen as possible by allowing them to use outdoor space to serve customers, which I believe is the intention of the noble Baroness’s amendment.
My Lords, if what the Minister says is accurate—and I am sure it is intended to be accurate—I am very happy that my amendment is indeed superfluous. When I looked at the temporary permissions, it seemed to me that they referenced back to the highways, but I am prepared to have another look and to continue the dialogue, just to be absolutely certain that that is the right interpretation. If it is and that is the end of the matter, then we all know a little bit more about the present situation. I am happy to withdraw my amendment.
I remind noble Lords that anyone wishing to speak after the Minister should email the Clerk during the debate. Anyone wishing to press this or any other amendment in this group to a Division should make that clear in the debate.
Clause 11: Modification of premises licences to authorise off-sales for limited period
Amendment 26
Do not worry, my Lords, this is not going to be a long statement. I thought it might assist noble Lords to know that I intend to table an amendment on Report to introduce a standard cessation time of 11 pm for operators to trade under the new off-sales permissions.
My Lords, I thank the Minister for her promise of an amendment but, regrettably, we have a series of amendments in this group: Amendments 26, 30, 32, 34 and 35. I will briefly put on the record what they are, although they are set out in the Marshalled List.
In addition to the amendment promised, the Government need to think about amendments that aim to prevent street drinking and disorder, particularly late at night, where late-night licences are in operation for on-licence premises in the vicinity of residential premises, as the Minister has suggested she will do. If revellers who have already consumed a lot of alcohol are allowed to purchase alcohol to take away just before premises close, sometimes just before 3 am, there is a danger that they will simply party in nearby streets, to the detriment of local residents. The Minister’s suggested, albeit completely last-minute, promise of an amendment is welcome to that extent, but, whatever the hour, if alcohol is sold in open containers such as pint beer glasses, there is every incentive to consume it in surrounding streets rather than take it home or to the office. If alcohol is sold without restriction as to the kind of container—such as pint beer glasses—in which it can be supplied, as allowed under the Bill, there is a danger of injury either by assault or by accident; for example, were someone to fall while carrying a beer glass. The potential for both assault and accident increases with consumption of alcohol.
At Second Reading, the noble Earl, Lord Howe, tried to allay these concerns by pointing to the provisions in the Bill to review and revoke off-sales if premises were causing problems, and the power under Section 76 of Anti-social Behaviour, Crime and Policing Act 2014 to close down premises. Those provisions are largely unworkable as they require the particular premises responsible for the problem of street drinking, violence and disorder to be identified. In central London, for example, there are hundreds of on-licence premises within short distances of one another, and it would be practically impossible to identify from which premises the revellers causing the problems had bought their alcohol. There are more than 100 premises with post-1 am licences in Soho alone.
Some of those most likely to be affected, represented by the West End Community Network, will support what the Minister has promised because they support an 11 pm end time for off-sales and have not asked for a restriction on when off-sales can begin. Can the Minister explain why the Government have left it until tonight to give even the slightest indication that they are prepared to bring forward their own amendment? Will she agree to meet me and other interested Peers between now and Report to discuss both the Government’s proposed amendments and the other amendments in my name in this group? In the meantime, despite what the Minister has said, I move Amendment 26 in order for her to respond at the end of the debate.
Several speakers have withdrawn from this part of the proceedings: the noble Lords, Lord Harris of Haringey, Lord Randall of Uxbridge, Lord McConnell of Glenscorrodale, Lord Naseby and Lord Hayward.
I am glad to take part in this, I am sure, brief debate. I am delighted with the statement made by my noble friend at the beginning but I want to hear more about it.
I was persuaded to table my Amendment 28— incidentally, I am delighted that the noble Lord, Lord Harris, has signed it; I am grateful to him—for three reasons. One was a speech made by Meg Hillier, the chairman of the Public Accounts Committee in another place, in which she talked about the terrible squalor created by binge drinkers in her constituency. The second was the speech made at Second Reading by the noble Lord, Lord Paddick, which was equally graphic and very persuasive. Thirdly, when I was in London last week, I talked to two taxi drivers who had been first-hand witnesses to some appalling scenes.
Selling in open containers is really rather silly. The timing should be restricted. Personally, I would not sell before noon or after 10 pm—the times that I have put in my amendment—but I accept completely that any times are arbitrary, to a degree. It is important that we protect people living in areas where binge drinking at night is a real social evil and menace. I therefore look forward to hearing what my noble friend the Minister says when she winds up. I thank her in anticipation but hope that she will fill in a few details.
Lord Whitty? The noble Lord, Lord Whitty, is muted so I call the noble Lord, Lord Robathan.
My Lords, I am sure that the Committee will be pleased to know that I will be extremely brief, not least because—I should declare this—the Chief Whip has asked me to be. I should also declare that I have not a financial but a family interest, in that my wife is the leader of Westminster City Council, which has been exercised on behalf of its residents about the idea that people might be able to buy off-sales until six o’clock in the morning.
The other people who are exercised are the traders, as well as the residents, of Soho and elsewhere. They and I welcome the commitment from the Minister, for which I thank her. I will not move my amendment.
I will also be brief. The Minister has successfully taken the wind out of our sails on this one. I look forward to what she will say at the end of the debate. This is strictly about off-sales. It is not an anti-pub move; it is a way of avoiding the kind of disorder that the police have experienced and many of us have seen on our screens. It is solely to do with off-sales beyond 11 pm; obviously the noble Lord, Lord Cormack, goes to bed slightly earlier than the rest of us. If the Minister comes up with an 11 pm cut-off, I will listen to the details, but I certainly do not want to detain the Committee any longer.
I, too, have been asked to be brief. It is worth saying that obviously there are serious concerns about the cumulative impact of these issues where premises are gathered together. Certainly, from my experience of running a local authority with, at times, too lively and vibrant a nightlife, saturation must be looked at.
I am grateful that we had a good response on the timing but the overriding principle for me is that, in collaboration with operatives—often through good Pubwatch schemes and the local police—local authorities have come up with conditions to put on these licences. The Bill suspends those and throws them out the window, when they have been put on for good reason and through good collaboration. In principle, I feel that this is an unwelcome move.
My daughter was glassed in the face as a 27 year-old when out with her friends on a normal Saturday night. It can, and does, happen. If only that glass had been plastic. I still think that we have to have that debate on Report.
Amendment 45 in the name of my noble friend Lord Shipley is about the late night levy, which is a curious anomaly that he will expand on. I totally support any change that will allow a local authority to refund pubs for services that they have not received during lockdown while they have been obliged to pay this additional tax. I call my much-shortened remarks to a close.
My Lords, subject to what my noble friend Lady Williams has to say, I lend my support to Amendments 27 and 31, to have a cut-off period for the sale of drink at 11 pm. I hope that is something that she will support.
My Lords, I welcome the Minister’s statement and the Government’s decision to table an amendment on Report. I have one question to ask the Minister: would it be possible for any premises that wanted to introduce an earlier finish time for off-sales to do so? It is very hard to see from reading the Bill whether there is any flexibility in that regard.
My Lords, I touched on this very briefly in the limited time available at Second Reading, so I will not keep the House long tonight, but I will try to put this into some sort of perspective. I cannot for the life of me see what this has to do with recovery and regeneration. I do not get at all what this proposal is supposed to achieve. I get what it will do. I understand entirely, as all those who spoke this evening and at Second Reading did, that whatever the cut-off time for every outlet to be an off-licence—I welcome the proposal of restricting it to 11 pm—the drinking will continue afterwards with drink that has been purchased and therefore is to be consumed. No one should get the idea that this will be fine after 11 pm, because it will not be. That is why, if I was in favour of the measure at all, I would err on the side of the noble Lord, Lord Cormack.
I rest my principal case on the speech made by the noble Lord, Lord Paddick, at the beginning of this brief debate. Frankly, until the December general election the police did not at all have the capacity to deal with this. They are still trying to recruit. Local authorities’ environmental health functions have been totally decimated over the past 10 years because of the deep cuts and austerity measures, which local authorities have suffered from most. But there is also the absurdity of not leaving this to local discretion, where people know exactly what would and would not work, even if this measure had any justification in terms of deregulation on the grounds of stimulus and recovery.
Are we really saying that, to provide local stimulus and recovery and to help those in the sector who have been devastated, people should have the ability to buy from any licensed outlet, treat it as an off-licence and go on drinking? I am the first to enjoy a drink, but I know from bitter experience, including having been a local authority leader for seven years, just what devastation this can cause. It is not possible for it to be policed, in the widest sense, and age authentication will be more difficult.
However, I rest my case on a very simple fact. When we are faced, as we are now, with withdrawing from the third-largest trading bloc in the world, about to accelerate a trade and economic war against the second-largest trading bloc in the world, and at the mercy, for the time being, of the President of the United States and his attitudes as the leading trade bloc in the world, is deregulating off-licence drinking late into the night anything whatever to do with the recovery of our economy?
My Lords, I want to speak to Amendment 45. I referred to the same issues raised by this amendment on the late night levy at Second Reading. On 8 June, I noticed an article in my local newspaper, the Journal, headed: “Campaigners Say Levy Should Be Cut To Save Pubs”. It said that fee levels, having been set by the Government, could be changed only by the Government and that the council was having to seek their permission. It was pointed out by CAMRA, the Campaign for Real Ale, that even though pubs registered to trade after midnight in Newcastle had been closed for 10 weeks, they were still being charged the late-night levy. The council claimed it had no power to change that situation but had asked the Government for additional powers to reduce or waive the fees. In Newcastle, some 240 premises pay the levy, which helps to fund extra policing, street cleaning, taxi marshals and the Street Pastors; I should declare that I am patron of Newcastle Street Pastors. There needs to be local flexibility. I hope that the Minister will look very carefully at this issue and recognise that fee-setting should be a devolved area of policy.
I suspect the problem may have arisen unintentionally at the time that the Bill was passed. This is not about the level of alcohol consumption, nor about how alcohol is served. It is about a charge being levied for a service that is not being provided. Maybe there has been some movement on this matter between government and local authorities. There are three principles at stake: we need clarity on the level of fees levied when pubs are required to close, and the rules for remission of those fees ought to be clear to them; we need clarity on the powers that local authorities have, and will have, on this levy; and we need a full review of licensing legislation to re-examine which powers should be held centrally and which locally. I hope very much that the Minister will understand this problem and will agree with my suggestions.
My Lords, I welcomed the Minister’s statement at the beginning. I am glad that she made it then; it has saved a lot of argument, has it not? I have two major points. The first follows up on the point made by the noble Baroness, Lady Stowell. In Cambridge, where I live and from where I cite things, the local authority has multiple problems with alcohol. One of the ways it has tackled this is that there has been a tendency in the case of stores near the centre of town—in other words, those situated on the way in to the clubs where drinking takes place—to say that they can sell alcohol on an off-licence basis only until 10 rather than 11 pm. Although the store can stay open until 11 pm, the alcohol licence permits it to sell only until 10. Can the Minister tell us whether this power will remain with a local authority so that, in certain areas and in certain circumstances, the alcohol licence has to cease before 11 pm, with the decision made obviously on a case-by-case basis?
My second point is in support of the amendments about open containers and beer glasses, which really are—or can be—pretty lethal weapons. I hope that the Minister will agree either to accept the principles of these amendments or to bring forward a government amendment. The potential for open containers or beer glasses to cause damage is, I am afraid, quite considerable; there is a very strong case for saying that closed containers should be used for the sale of alcohol. I invite the Minister to say either that she will accept an amendment at the next stage, or that the Government will bring forward an amendment to cover these points.
My Lords, I am happy to wait to hear what my noble friend the Minister has to say.
My Lords, I was going to speak in favour of Amendment 27 but, in the light of what my noble friend the Minister said earlier, I will speak in favour of Amendments 30, 32 and 35. The issue that worries me is how alcohol is sold to be taken away. It should be sold in sealed containers. If it is sold in glasses, these should be plastic, not beer or wine glasses. I am worried that glass can be used to cause injury to others.
We have seen how people behaved in the streets on Friday and Saturday nights before the lockdown. There were fights at night which police, ambulance staff and hospitals had to deal with. It is not only men; women also misbehave when they have too much to drink. I used to go to the City of London, as I had an office there. I used to see business and professional people who were sober and well-behaved during the day but who behaved badly after consuming alcohol. I therefore support the amendments which I referred to.
My Lords, the noble Baroness, Lady Williams of Trafford, has given the Committee an assurance that the Government will bring forward an amendment about restricting the time at which off-sales can be made to a limit of 11 pm. This is most welcome and deals with some, but not all, the issues raised in the amendments in this group. However, we need to see the detail of such an amendment, including the start time of off-sales under the Bill.
Noble Lords have heard the wise words of an experienced professional. My noble friend Lord Paddick knows what he is talking about. He knows at first hand the horrible injuries that can come from mixing too much drink with broken glass. He knows that this has to be curtailed. The arguments are powerful. All noble Lords who have previous or current experience in local government know how vitally important it is that these concerns are dealt with. I added my name to the amendments in the name of my noble friend Lord Paddick and look forward to them having a positive response from the Government.
My noble friend Lord Shipley asked about reducing the late-night levy for businesses whose premises were closed under the coronavirus restrictions. This is eminently sensible, and I hope that the Government can agree to the content of the amendment.
My Lords, I thank the Minister for the announcement she made to the Committee at the start of this debate. I appreciate this and look forward to seeing the amendment which the Government will bring forward. I also thank the noble Lord, Lord Greenhalgh, the noble Earl, Lord Howe, and the noble Baroness, Lady Penn. When we met online they were very kind and listened to the issues raised, as they did at Second Reading when there was genuine concern around the House about the consequences of this additional permission. I am pleased that the Government have listened and look forward to seeing the amendment.
I also thank my noble friend Lord Whitty, the noble Baroness, Lady McIntosh of Pickering, and the noble Lord, Lord Robathan, for supporting the amendments I have put forward. There was also a formidable team in the leaders of the London Boroughs of Southwark, Camden and the City of Westminster, and the Royal Borough of Kensington and Chelsea—four boroughs with the vast majority of these licences, all saying that this would cause huge problems for them—who all came together to write a joint letter. It is good that the Government have listened to the points they made. I also have to thank the Covent Garden Community Association which was rightly vociferous about the problems this would cause—they accept that they live in a very lively area, but this would be a step too far. We began to receive support over the last few days from other local authorities and community groups, and we thank them all.
I thank all noble Lords for their comments, and their discipline in not repeating the same remarks over and over again.
The noble Lord, Lord Blunkett, made a very good point about how local areas and local partners will cope with all this and their capacity to cope if things go wrong. We have been very clear from the outset that, if things do go wrong, if licensees do not enforce their obligations and the public start to behave in a reckless manner, these places will be closed. The licensing authorities are quite clear about that and have already started to close premises when things have gotten out of hand. Over lockdown, I have spent a lot of time talking to the police on their operational calls. They are very clear that this is a multi-stakeholder approach and that everyone—not only the police, not only the local authorities, but the public and the licensees themselves—has a responsibility to make this work well.
On how this will help the economy, the night-time economy is a very vibrant one, and footfall in town centres can only enhance it. The Government have, however, listened to and sympathised with the concerns around the possibility of associated noise, nuisance, and anti-social behaviour that might occur when a late licence is in existence.
The noble Lord, Lord Blunkett, asked about off-sales. The noble Lord, Lord Hogan-Howe, tells me that in the olden days off-sales were a common occurrence at pubs and are nothing new, but with the advent of off-licences and supermarkets selling alcohol they are not so common anymore.
The noble Baroness, Lady Thornhill, asked about cumulative impact areas. I covered that in my earlier comments.
To recap, the alcohol licensing provisions will allow all licensed premises with an on-sales licence to sell alcohol for consumption off the premises, provided they have not previously been refused permission for off-sales. In the draft of the Bill before the House, licensed premises which are eligible will be bound by a temporary licence condition which limits the hours of trade to the existing hours of operation as the premises’ on-sales licence permits, which can include late licences beyond 11 pm.
However, we recognise the concerns of noble Lords who have spoken to these amendments, and obviously local authorities have had concerns too. That is why we intend to a table an amendment on Report to introduce a standard cessation time of 11 pm for operators to trade under new off-sales permissions.
Both my noble friends Lord Balfe and Lady Stowell of Beeston asked about earlier finish times. If that is the wish then those earlier finish times will certainly be permitted.
The noble Lord, Lord Paddick, asked me why tonight and why at the last minute. I say to the noble Lord that I have worked really hard to make this statement tonight, so to have had it done ahead of Report is an achievement.
The new provisions defined in the amendment that the Government will bring forward will not affect the underlying licences of premises or their conditions. It will provide for new permissions that will apply to the holders of only on-sales licences, as well as to holders of more restrictive dual licences that allow for off-sales for a more restrictive period. The effect of the amendment will be that new permissions will apply only up to 11 pm or when the current licensing hours for that premises end. I reiterate for the benefit of my noble friend Lord Cormack that if it is wished that that will finish earlier—say, 10 pm—that is up to the individual premises concerned.
Crucially, the forthcoming amendment will build on the current set of safeguards previously heard by the House, which can be used to address concerns about crime, disorder and disruption caused by premises operating irresponsibly—to go to the point of the noble Lord, Lord Blunkett. That includes the new expedited review process that I have talked about previously, which allows a local authority to suspend or modify the new off-sales permission within 48 hours and then hold a hearing to decide whether to revoke, suspend or modify the permission within 28 days.
In addition, the police are already empowered under Section 76 of the Anti-social Behaviour, Crime and Policing Act 2014 to issue immediate closure notices to premises if there are reasonable grounds to believe that the use of a particular premises has resulted or is likely to result in nuisance to members of the public or that there has been or is likely to be disorder near the premises which is associated with the use of those premises. I spoke to the Metropolitan Police the other day and they stand ready to use Section 34 and 35 dispersal notices if necessary.
We also intend to publish guidance alongside the Bill that will set out the details of how the new provisions, including the details of the amendment, will apply to premises and local authorities. I hope that addresses the concerns raised by the noble Lords who tabled the amendments and that the noble Lord, Lord Paddick, will be content to withdraw his amendment.
I turn to Amendments 32 and 35, tabled by the noble Lord, Lord Paddick, and the noble Baroness, Lady Pinnock. They relate to the sale of alcohol for consumption in open and glass containers. The Government agree that premises must be responsible for the manner in which they serve alcohol in all circumstances, and that includes minimising the risk of any associated disorder. We will therefore be including recommendations to address issues regarding glassware in the guidance for local authorities and premises that will accompany these provisions. The guidance will encourage the use of closed or non-glass containers such as reusable plastic cups. However, we also recognise that restaurants in particular will benefit from being able to serve alcohol in open containers in outdoor areas that they may use under the provisions in the Bill relating to pavement licences. Premises may have different serving equipment and preferences, and the provisions need to remain flexible to meet business and customer needs. Requiring that alcohol sold in these circumstances must be in a closed container could hinder premises that might want to take advantage of the aims of the Bill. I therefore determine that it would be too prescriptive to specify in the Bill restrictions on the type of containers that can be used for the off-trade permission, and I hope the noble Lord will be content not to move his amendment.
Lastly, the Government are sympathetic to the concerns behind Amendment 45, tabled by the noble Lord, Lord Shipley, and the noble Baroness, Lady Thornhill, regarding the late-night levy. That is why, in April, the Minister for Crime and Policing wrote to the chairs of the licensing committees to ask them to take a more flexible and pragmatic approach during the coronavirus outbreak, while ensuring that the licensing objectives are safeguarded. I am grateful to the licensing authorities for ensuring that the system has continued to operate during this trying time.
Local authorities of course have discretion when considering non-payment or late payment of an annual premises licence fee or a late-night levy charge. While the Licensing Act 2003 requires that the licence be suspended, it is possible to delay when that suspension takes effect. I hope and expect that businesses experiencing difficulties will make the licensing authority aware and that the licensing authority will treat such businesses sympathetically. In his letter, the Minister for Crime further advised authorities to consider delaying any suspension of the licence where the delay in payment or non-payment was related to Covid-19. I hope that that is a reasonable explanation and that the noble Lord will be content not to move his amendment.
My Lords, I am most grateful to noble Lords for allowing me to intervene. The speech of the noble Lord, Lord Paddick, was very powerful and I welcome the Minister’s statement. I declare that I chair the Commission on Alcohol Harms.
The chair of the Police Federation of England and Wales recently said that it was “crystal clear” that drunk people were unable to socially distance. But let us not forget that the price of beer in the off trade has fallen by 40% relative to the price of other goods since 2000, and pubs have been unable to match the low price. Publicans see cheap supermarket alcohol as a grave danger both to their commercial interests and to the country’s health, and 83% of publicans believe that supermarket alcohol is too cheap. So what happens about off-sales from supermarkets? If these very cheap, highly promoted sales are not tackled, the plan to revive pubs as social meeting places and for the support they can provide in terms of integrating people and supporting our economy will just fail.
My Lords, the off-sale of cheap alcohol is not a novel concept in terms of the Bill. I totally concur with the noble Baroness’s concerns about the harms of alcohol and about the accessibility of cheap alcohol attracting people who might not have enough money to go to the pub. Ironically, that is why I support pubs: because drinking is done in a much more controlled way. Licensees have an obligation to chuck people out of the pub if they are behaving irresponsibly. Therefore, landlords are prohibited from selling off-sales as well as on-sales to someone who is clearly drunk. It is a good safeguard.
My Lords, I thank the noble Lords, Lord Balfe and Lord Sheikh, for supporting Amendments 30, 32 and 35. There appears to have been a mis-communication over the extent of the amendments that the Government were going to bring forward on Report, which took me slightly off guard—so, with the leave of the House, I will say something more.
I thank the West End Community Network, the Soho Society and the Covent Garden Community Association for their briefings on these issues. I am grateful for the Minister agreeing that new off-sales should be limited to 11 pm. But the Minister does not appear to have heard my reasoning as to why the measures she set out to vary off-sales licences and the power that the police have to close on-licence premises are not effective. I will not repeat them again; I will allow her to read them in Hansard.
We now come to the group beginning with Amendment 42. I remind noble Lords that anyone wishing to speak after the Minister should email the clerk during the debate. Anyone wishing to press this amendment, or any other amendment in this group, to a Division should make that clear in debate.
Amendment 42
My Lords, Amendment 42 stands in my name on the Marshalled List and I am grateful to the noble Earl, Lord Clancarty, for adding his name in support. I strongly support the Bill and hope that it reaches the statute book quickly, and without too much difficulty next week on Report.
My proposed new clause would ensure that there is a review to examine the effect of the Bill’s proposals for the tourism and hospitality sector through to the end of January 2021. They would be compared with other measures, such as extending the furlough scheme, the grants currently available, and the assistance to the sector announced by the Chancellor of the Exchequer just last Wednesday. My objective, however, is to probe how and when the Government plan to review the operation of these proposals in a manner which facilitates proper parliamentary scrutiny.
The Government have moved quickly over the past few weeks to extend support for the hospitality and tourism industry beyond the end of October, when much of the support for wider areas of the economy will either end or be amended. I therefore welcome the Government’s policy paper Plan for Jobs, which recognises that:
“Pubs, restaurants, cafés, and bars are mainstays of the nation’s high street … while the accommodation sector ensures that visitors can enjoy the sights, experiences and attractions the country has to offer.”
The paper acknowledges that they have
“been among the hardest hit by the pandemic and necessary restrictions.”
It is clear that the tourism and hospitality industry has planned carefully to welcome visitors back as quickly but as safely as possible in these pandemic times. They have invested in and installed Covid-19 sanitary and distancing practices, but some businesses have indicated that they simply will not be able to reopen in time to benefit from the summer season.
The added challenge the sector faces is that, in many parts of the country, tourism and hospitality sectors operate on a seasonal basis. My family holidays are to Cornwall in the summer and sometimes in the winter, and I have seen the severity of the impact on businesses, at the end of the summer season, across that beautiful county. Hotels mostly remain open in some of the major resorts, but there tends to be strong competition for their winter visitors and they struggle even to cover their overheads. The impact of Covid-19 is set to make that even worse.
Some major events have already been cancelled this summer and that will affect local economies at what should be their best money-making time. To give just one example, the Tour of Britain cycle race was due to start in Penzance in Cornwall, in September, but has been postponed until September next year. That event would have given a major boost to the tourism industry across the whole county.
We all fervently hope that there is not going to be a second spike of Covid-19, but we have also seen reports that medical experts believe there is likely to be one during winter. The potential impact on tourism and hospitality should be considered when the Government prepare policy initiatives throughout the rest of this year.
In selecting the date of 31 January 2021, by which the Secretary of State would be required to lay a report before Parliament, I had regard to the following factors. It would cover the winter season, including the partial increase in visitor numbers over Christmas and the new year. It would also cover the period of support that the Government have already promised. It would also be as light touch as possible, since it requires one report six months after this month. I beg to move.
My Lords, I support the amendment of the noble Baroness, Lady Anelay, and I also support the amendment of the noble Lord, Lord Kennedy. The amendment of the noble Baroness, Lady Anelay, would enable us to take a wider and longer-term view, beyond the narrow confines of the Bill. It is important that a careful eye is kept on the hospitality sector, particularly its workforce. Worryingly, we are now hearing of job losses, which will surely increase if the furlough and self-employed schemes end before tourism can properly get going again. It is worth noting that the self-employed are becoming an ever more significant component of the workforce in the hospitality sector.
The noble Baroness, Lady Anelay, talked about Cornwall. My wife and daughter are intending to go to Cornwall for a week, next weekend. It will be the first time anyone has made a serious move outside our house for a long time. I am staying home to be near the Lords Chamber, aka our repurposed front room. I do not think my family want the Lords down in Cornwall for the week but, as for anyone taking a holiday anywhere this summer, these decisions could be changed at a moment’s notice, because of the fear of a local lockdown or even a second wave that affects much of the country. Areas such as Cornwall, which have not been hit badly, will nevertheless be on tenterhooks. They do not want the virus of course, but they need the tourism.
The noble Baroness also mentioned events. My family was also looking at whether it would be possible to visit the Minack Theatre, which is one of the venues around the country that is starting to open. They will be back home before Tate St Ives opens on 27 July. Opening dates and whether events happen will, for some, affect whether a trip to Cornwall or anywhere else is viable. Arts and cultural events, alongside the hospitality sector, are hugely important to tourism and, with hospitality, form a whole commercial ecosystem significant apart from its cultural value. The Plan for Jobs, referred to by the noble Baroness, Lady Anelay, does not recognise this ecosystem.
As the noble Lord, Lord Cormack, pointed out at Second Reading, tourists from abroad come here primarily for our arts and heritage, but of course they book into hotels and go out for dinner as well. We will be discussing the arts later with regard to the amendment tabled by the noble Lord, Lord Hunt of Wirral, but do the Government intend to introduce analogous regulations for the arts along with perhaps some creative temporary measures as that sector opens up? In terms of these amendments, every part of the wider ecology will contribute to successful tourism when it gets going properly again, so in this respect it needs to be understood that the whole is greater than the parts.
The noble Baroness, Lady Neville-Rolfe, has withdrawn from the list so I now call the noble Baroness, Lady Doocey.
My Lords, I shall speak briefly to support Amendment 42, which articulates an excellent idea and one that I hope the Government will take up. A similar amendment was moved in the Commons by my colleague, Tim Farron MP, whose constituency in Cumbria is very much at the heart of the tourist industry. His constituency has seen the biggest increase in unemployment in the country—up by 314% since March. Meanwhile, 37% of the entire workforce in that area has been on furlough. His constituency is just one of those in which the income from tourism has been decimated.
I believe that there is a special case for additional sectoral support for the industry, which would instil much-needed confidence in the many seasonal businesses and in the seasonal workers who depend on them. Most of these businesses operate on a profit margin of just about 10%, so many of them will not even be viable because, as a result of social distancing, they can operate at only 50% or less of their capacity. By signalling now that the industry’s safety net will not be cut away just when thousands of businesses and jobs may need to rely on it, the Government can avoid many damaging job losses.
I am pleased to follow the detailed observations made by the noble Baroness, Lady Anelay, and the noble Earl, Lord Clancarty. I shall speak in support of Amendments 42 and 78.
Extraordinary business support schemes have been put in place. I am mindful of the fact that these provisions make it easier for businesses to access government support in the form of, among others, bounce-back loans and the furlough scheme, alongside other forms of financial support. The review being suggested in the amendment is necessary to ensure the most impactful use of public funds. It is equally imperative that the Government should take this opportunity to make an impact assessment of these measures on the living standards of those working in this low-paid sector, as well as considering ethnic and gender differentials. They can then reassess the measures that will be required to mitigate the disproportionate effect on these groups, particularly among those who have not been able to access successfully many of the Government’s funding regimes. As a result, some otherwise successful business owners became unemployed overnight during the lockdown and they are now having to resort to applying for universal credit. It is a safety net, yes, but it is not adequate to meet the needs of any family.
I take heart from the fact that at its core, the Bill is about kick-starting the economy while keeping in sight all the prerequisite safety restrictions. The business owners I have spoken to welcome the support given by the Government to the hospitality sector and the economy more widely. The discretionary schemes which have been delivered through local authorities may have helped save thousands of companies from bankruptcy and thus will have protected jobs. However, I am duty bound to remind the Government about the large number of businesses which have not accessed any support at all because they have fallen outside the policy parameters.
Three-quarters of businesses operating in the accommodation and food service sectors have paused or stopped trading in response to the Covid-19 outbreak. It would be remiss of me not to say that I have witnessed at first hand how many curry houses have put aside their own pain while trying their best to survive by becoming the first source of free food supplies for first responders in the NHS and for the many food banks across our country.
My Lords, the amendments in this group have much to commend them. I support Amendment 42 in the name of my noble friend Lady Anelay in particular. It is important that the provisions before us today are carried out effectively and that the balance we all wish to achieve between the hospitality and tourism sector and the rights of residents and other users is maintained. By the end of January 2021 is a good reporting period. Amendment 78 in the name of the noble Lord, Lord Kennedy, also has much to commend it, but I fear that a monthly report is a very tall order. I look forward with interest to my noble friend the Minister’s response to this group.
The amendment of the noble Baroness, Lady Anelay, lays bare the deep concerns of the tourism sector. The Government’s response will be crucial. As my noble friend Lady Doocey said, the tourism sector is on a knife-edge. The example she gave from the Lake District is no doubt being felt elsewhere in regions dependent on tourism. In replying to the debate, I hope the Minister can give hope and help to these regions.
My Lords, this group contains two amendments: Amendment 42, in the name of the noble Baroness, Lady Anelay of St Johns, and the noble Earl, Lord Clancarty, and Amendment 78, in my name. These probing amendments seek to highlight wider issues surrounding support for the hospitality sector. As we heard in the debate, the industry desperately needs government backing to see it through the coming months, which is why this House is supporting the Bill and why it is seeking improvements to make it even better.
I welcome Amendment 42 and entirely agree with the comments of the noble Baroness and the noble Earl. The amendment introduces the requirement for a review of support. Given that these are labour-intensive businesses, we should bear in mind that there is an enormous unemployment risk if businesses in this sector collapse.
Amendment 78 in my name aims to start a debate on two issues plaguing the hospitality sector, the first of which is lack of consumer confidence. Many people are still cautious about visiting hospitality venues, and the Government must play an active role in encouraging customers to return safely. The second issue is rent disputes. One large pub chain told us that disputes between tenanted pubs and their owners are still unresolved and there is no effective mechanism to fix this. I hope the Government can explain how they will encourage consumer confidence to help people return to pubs.
Obviously, this is a probing amendment that highlights these issues and seeks a government response regarding how they see these points being resolved in a satisfactory way that keeps businesses open, staff working safely and customers coming through the doors, reassured that they can enjoy themselves and spend money safely. I look forward to the Minister’s response.
My Lords, I thank my noble friend Lady Anelay, the noble Earl, Lord Clancarty, and the noble Lord, Lord Kennedy, for their amendments. Through her amendment, my noble friend Lady Anelay raised the question of how the Government will review its measures to support the hospitality and tourism sector, and the parliamentary scrutiny of those measures. She also said that the date she had chosen for that review was the end of January. However, although some of the Government’s measures will have come to an end by then, because we are going through different phases in our response to coronavirus, many will be ongoing, not least some in the Bill such as pavement licensing and those that allow for a second summer of support, should we still be in a world of social distancing by then.
The coronavirus job retention scheme bonus will be paid from the end of January, so while we will have seen the end of the summer and potentially a more tricky autumn and winter period for the hospitality and tourism industry, we will only be part of the way through the Government’s response to the pandemic, and may be in a new phase of it.
There will be measures in place on 31 January and beyond to support the sector. Many noble Lords have spoken of the importance of the sector and how particularly hard hit it is. That is why measures are in place to support it—not only those in the Bill but the business grants that have been given to the retail, hospitality and leisure sectors, the business rates holidays now in place and the Bounce Back Loan Scheme grant. That grant is an example of our looking back at how these measures have worked after the event, and of our constantly reviewing and adapting our policy response. The bounce-back loans were a response to smaller businesses struggling to get access to the finance they need, many of which are in the hospitality and tourism sector.
Turning to the support we have provided for the tourism and hospitality sector, there is a £1.3 million destination management organisation resilience fund to support local tourism organisations in England, and the £10 million kick-starting tourism package, which gives small businesses and tourist destinations grants of up to £5,000 to help them adapt their business following Covid. The noble Lord, Lord Kennedy of Southwark, mentioned giving people confidence to go out and enjoy our tourist destinations; the kick-starting tourism package and allowing people to become more Covid-secure will contribute to that. We also have an “enjoy summer safely” campaign to market all the attractions available for people to enjoy in a safe and Covid-secure way.
I would also like to reassure the House this is not the end of the story. The DDCMS will continue to engage with stakeholders, including through the Cultural Renewal Taskforce and the Visitor Economy Working Group, to assess how we can effectively support tourism’s recovery across the UK.
I turn now to Amendment 78, which addresses various aspects of data protection. The Government publish relevant data on the Covid business lending schemes weekly, including the number of applications received and the number and value of facilities approved. Since 11 June we have been publishing monthly data on the Coronavirus Job Retention Scheme, broken down by employer size, sector and geography. That has allowed us to design measures more targeted at those that are struggling. For example, the Job Retention Bonus, set at a flat rate, will benefit those in the lower paid jobs and lower paid sectors more, because it will act as a greater incentive in those sectors. Furthermore, Visit England publishes a great deal of research, including regular surveys on visitor attractions, accommodation occupancy, day visits and Great Britain tourism. The ONS publishes fortnightly surveys on the business impacts of coronavirus which include sector-specific information. We will continue to engage with the sectors in the ways I have already mentioned.
The noble Baroness, Lady Uddin, mentioned some of the further measures announced last week that we have put in place to support the hospitality sector, including the “eat out to help out” scheme. Again, that discount is not just a financial incentive; it is about getting people out there to see that it is safe and secure to be out and about.
The noble Lord, Lord Kennedy of Southwark, raised the issue of premises that cannot afford to pay their rent because of Covid-19. They are currently protected from eviction. That protection was extended once already to the end of September 2020 and there is the option to extend it further if necessary.
The Government also published a code of practice for the commercial property sector. This will facilitate discussions during the moratorium over rent arrears and future payments between landlords and tenants to ensure best practice across the sector.
For the reasons I have set out, I hope my noble friend Lady Anelay and the noble Earl, Lord Clancarty, will be able to withdraw their Amendment and that the noble Lord, Lord Kennedy, will not move his Amendment 78 when it is reached.
My Lords, first, I would like to thank all those who have spoken in this relatively short debate, especially, of course, the noble Earl, Lord Clancarty, for signing up to the amendment. I would normally refer to the contributions of all speakers, but I am keenly aware that certain groups of amendments have yet to be considered. I will therefore simply say a few words of thanks to my noble friend the Minister. I am grateful to her for recognising that although the measures in this Bill are intended for the most part to be temporary, it is set against a much wider background of a longer period in which the Government will continue to consider the necessary policies. They must consider the outcome of the policies to ameliorate the impact of Covid-19 now, and consider the longer-term impact—not only if there is a second spike—going forward. I particularly welcomed her saying—I paraphrase—that DCMS would continue to engage with stakeholders in the hospitality industry.
My only request for the Government is to consider that the hospitality industry’s investment in preparation for its major summer season next year—which will need to be really good to recover from this—will start early in the year. It will therefore be important for the Government to consider engaging early in the new year to be able to give some confidence to those in the hospitality industry that it is worth them continuing to invest, at what for them will be a very difficult time to do so. In the meantime, I beg leave to withdraw Amendment 42.
I remind noble Lords that anyone wishing to speak after the Minister should email the clerk during the debate. Anyone wishing to press this or any other amendment in this group to a Division should make that clear in debate.
Clause 12: Removal of powers of court in relation to unfair relationships
Amendment 46
My Lords, I have two amendments in this group and thank the noble Lord, Lord Stevenson, the noble Baroness, Lady Altmann, and my noble friend Lord German for their support. These amendments follow up on points I made at Second Reading about whether it was right to suspend all of Section 140B of the Consumer Credit Act or, as my Amendment 46 suggests, only where it is related to affordability and terms required by the Bounce Back Loans Scheme.
In this context it is important to note that neither Section 140B on court remedies nor Section 140A defining the scope of an unfair relationship is limited to, or specifically mentions, matters of affordability. The court can take all matters into consideration and, if truth be told, there should be no need for any waiving of the section as the government terms for bounce-back loans would be taken into consideration.
We know that the banks want belt-and-braces protection and I would give them that on affordability, but it is wholly wrong to remove every protection, giving banks belt and braces while stripping small businesses naked against other overbearing activity; charges and default procedures immediately spring to mind.
The Minister explained in reply at Second Reading—I can agree with this—that the Government have put conditions to the loan that are intended to ensure it is sustainable, limiting to 25% of turnover with fixed, affordable interest as well as the 100% guarantee. I also agree that the businesses need to take responsibility. Despite that, defaults will inevitably happen because it is unpredictable what the effects of coronavirus will be.
The question then becomes: what governs subsequent behaviour? On the one hand—I am sure this worries the Treasury—what incentives are there for banks to try very hard to get repayment, especially if they get too tough and people like me make a fuss and cause them reputational harm? Is it not easier for them to just rely on the government guarantee? On the other hand, the relationship between a lender—or a lender pressed by government—and a small debtor is inherently one of the powerful against the weak and can be abused.
In the Commons, Kevin Hollinrake said that as co-chair of the All-Party Group on Fair Business Banking he supported
“the suspension of the Consumer Credit Act 1974 with regard to bounce-back loans due to affordability issues,”
and asked:
“but does the Secretary of State agree that it is vital that lenders still comply with the requirement to treat customers fairly in the collection process or if there are debt issues later on and that forbearance is applied?”
The Business Secretary replied:
“my hon. Friend raises an incredibly important point. Yes, forbearance is part of these measures, and we would expect that very much to apply.”—[Official Report, Commons, 29/6/20; col. 52.]
At Second Reading last week the noble Lord the Minister said that the Government were convening workshops with lenders to discuss how they will seek to recover loans where feasible, but none of that guarantees or restrains what lenders will do.
Although the lender cannot require security over personal property, security over the assets of the business is still possible, which may well be the essential tools of the trade, so carefully put out of reach during moratorium in the recent insolvency Act. What is to stop that at the first sign of default? As noble Lords have frequently reminded the Government, it is not the friendly local bank manager who deals with defaults; they go to the hard-nosed recovery units, where even the existing consumer protections seem to have held little sway, because small businesses cannot afford to take the matter to court and the FCA is reluctant to intervene in contracts, one-sided though they may be.
None of this, however, justifies removal of the last-stand method of redress of the courts for matters that are an improper use of unequal power: no protection against gouging behaviour over charges as soon as there is any default; no protection for excessive demands over security of a business’s assets; no preventing the use of the bounce-back loan default to trigger other eventualities, perhaps to force unfavourable loans or restructuring, which might then include instances where personal guarantees have been given. All those possible actions, of types seen in the past, seem to be outside the spirit of the bounce-back loans and the assurance given by the Business Secretary in the Commons, but how will they be prevented or rectified?
Disapplying the court remedy is removing a safety net available in all other circumstances. Why should it not apply here? Further, it seems that corresponding FCA discipline may also be disapplied, and other consumer credit matters have already been disapplied through statutory instruments. Returning to the matter of the workshops with lenders, will the outcome of those workshops be shared with Members of this House or the public?
It is not that I am necessarily expecting the worst behaviour, but the law must be able to address the worst. Therefore, I have put forward two amendments. Amendment 46 is exactly what Kevin Hollinrake said, and states that the disapplication should apply only
“insofar as such an order would relate to affordability or terms of the credit agreement required by the Bounce Back Loan Scheme.”
Amendment 47 says that:
“Repayment, rearrangement, fees or other new requirements may not be imposed on Bounce Back Loans in consequence of terms in or trigger events in other financial agreements with the lender.”
This is to prevent the kind of reach-through that I have mentioned previously.
Finally, I must mention that I understand Amendment 48, in the name of the noble Lord, Lord Stevenson, and his anxiety to get at the statistics of bounce-back loans. I add that, in a year’s time, I will start to become anxious to have statistics on repayments, defaults and forbearance. I beg to move.
My Lords, I support Amendment 46, to which I have added my name, and congratulate the noble Baroness, Lady Bowles, on her vigilance with respect to small businesses that are in a weakened financial state due to the Covid-19 restrictions; and her efforts to assist them in facing the large banks that may be trying to recover bounce-back loans, or penalise struggling firms in ways that were never intended by emergency legislation. I also congratulate the Government on their bounce-back loans initiative. However, I believe that this amendment is necessary to potentially address the asymmetry of power, which is a significant potential threat to the future of many hard-hit SMEs.
SMEs could face draconian recovery tactics, such as were employed by the infamous Global Recovery Group after the 2008 financial crisis, whether in the form of excessive fees or the taking over of business assets. The noble Baroness, Lady Bowles, is right that a court remedy is essential, not least to avoid giving a potential carte blanche to some of the less scrupulous bank executives.
Many banks wish to behave well, but this amendment is aimed at those who may not do so and is trying to anticipate and deter some of the practices that we have seen before. Bounce-bank loans are surely intended to help as many businesses as possible bounce bank, especially SMEs, rather than to offer a heads-you-win, tails-you-lose opportunity to lenders at the expense of business owners who were forced by the Government to suspend or curtail their business’s activity.
I also support the aims of Amendments 47 and 48 and hope that the Minister will listen carefully and agree to bring back amendments on Report that address this potential issue.
My Lords, I, too, support these amendments and have added my name to them. Section 140A of the Consumer Credit Act provides protections for borrowers in loans except where they are regulated mortgages or home purchase matters. The Act protects borrowers in connection with any credit agreement, except those related to home purchases, through court orders which may be awarded where the lender has gone beyond the terms of an agreement, applied the rules inappropriately or otherwise behaved inappropriately. The powers of the courts in this Act are drawn very widely and are designed to ensure that loopholes and lacunas which lenders might use to secure repayment have been covered off.
In their amendments to that Act in this Bill, the Government seek to remove the protections provided by the Consumer Credit Act where bounce-back loans have been provided. The Act provides broad powers to the court to bring lenders into line, including requiring lenders to repay moneys to a borrower, stopping lenders undertaking actions against the borrower in relation to their loan, requiring lenders to set aside any measures the court thinks are inappropriate and enforcing changes on the lender. This Bill, if unamended, would remove those protections in their entirety, except for in two circumstances.
Amendment 46, in the name of my noble friend Lady Bowles, limits the powers of these protections to the strict terms of the bounce-back loan and removes lenders’ ability to weave in other conditions, which the borrower has in respect of other loans and credit facilities, into the bounce-back loan arrangement. Adding such additional conditions is precisely the sort of hurdle which the Consumer Credit Act is designed to avoid—for example, using the terms of an existing loan with the bank to apply to the bounce-back loan, such as the level of security needed, the number of signatories required, the applicability of the borrower and so on. My noble friend has outlined the consequences of enacting this clause in the Business and Planning Bill and, in supporting her, I wish in particular to emphasise the need for Amendment 47.
At Second Reading, I spoke of the problems that many small and medium-sized enterprises are having in securing bounce-back loans with major lenders where hurdles which are not part of the bounce-back scheme are being placed in the way of companies seeking a loan. These loans may not save every company from going out of businesses, but they are certainly going to be a lifeline for some, and let us hope many.
Add to this the difficulties which challenger banks have in being able to find the cash to provide bounce-back loans, in part caused by the reluctance of high street banks to funnel funds through them at the Bank of England’s near 0.1% interest rate, and companies—particularly small and medium-sized enterprises seeking these loans—are facing increased difficulty. The Bank of England’s most recent snapshot of financial conditions in the UK raised particular concerns about the availability of non-bank finance, partly due to tight funding conditions for providers, so with high street banks giving priority to their own customers and the availability of funding making it difficult for challengers to lend, we have factors which make protection of the borrower all the more important. We have to remember that many small and medium-sized enterprises are surviving on a thread.
The noble Baroness, Lady Goudie, is not with us, so I call the noble Baroness, Lady Uddin.
My Lords, I support Amendment 48 in the name of the noble Lord, Lord Stevenson of Balmacara. I have just a few brief points. I shall speak specifically about data collection and the reporting requirement for the Bounce Back Loan Schemes. Despite the pandemic, we cannot overlook the need for transparency, open government and a robust process of reporting to Parliament. Current data relating to the total number of applications and the number of loans granted does not make allowances for how well the scheme is working to help businesses through the crisis, including SMEs, as the noble Baroness, Lady Altmann, referred to. There is inadequate data on the number of businesses that could not access loan schemes and why they were refused. This should be addressed in the reporting mechanism.
The curry industry, which I referred to earlier, has reported that its members are experiencing a great deal of difficulty in accessing this financial support. I am deeply concerned about eradicating any inequity that they might be experiencing. Therefore, I would like more detailed reporting to include the number of successful applications from SMEs led by BAME communities, particularly in the curry industry, and, more specifically for the curry industry itself, the actual number of applications that have been successful and those that have been rejected.
My Lords, I support Amendments 46, 47 and 48 and regard all three as exceedingly important. I will start by picking up on an issue described by my noble friend Lord German. We know now that the major banks, which have been able to participate in the bounce-back scheme because they have been provided with cheap funding from the Bank of England under its term funding scheme, have failed in what I was told was an obligation to also pass that cheap money through to the fintech industry and other alternate lenders, so that a broad and diverse coterie of lending institutions would be involved in bounce-back schemes and a mechanism to ensure that qualifying small companies would be able to find a source, even if it was not from one of the major banks. We now know that that funding process has not taken place and that relatively few bounce-back loans are being provided by alternate lenders because they cannot find cheap enough funding, since they have no direct access to the Bank of England scheme.
The reason I mention this is that it describes to us the culture of major banks today. Many of us had hoped that after the 2008 crisis we would see a dramatic change in culture among the major high street banks. We have certainly seen some changes, and some are better than others, but we are still dealing with a group of institutions that, frankly, if given a loophole will use it. Amendments 46 and 47 are designed to close off two major sets of loopholes to make sure that proper consumer protection continues to be provided to SMEs that use the bounce-back schemes and to make sure that these do not become mechanisms that enable them to be taken advantage of in ways that they never anticipated. Therefore, Amendments 46 and 47 are vital to limit any potential for abuse.
Amendment 48 is important because it will help us track exactly what is happening under the Bounce Back Loan Scheme arrangements. We have all heard anecdotally that the big banks are cherry picking those to whom they make bounce-back loans. Some of them choose only existing customers because they do not want to overexpand their balance sheets; others pick from within those customers. As I understand it, the whole spirit of the bounce-back scheme is anathema to cherry picking, but it is taking place.
Amendment 48, in the name of the noble Lord, Lord Stevenson, would very rapidly make clear how many people are applying and who is rejected, and it would give us the ability to try to track exactly what is happening under this scheme. I know that something like £30 billion has already been lent through bounce-back loans but, frankly, that is well below the level that the Government expected. Those loans are a lifeline for many companies and we really cannot allow this scheme to be abused. If we are not careful, by the time we intervene, many businesses will already have closed their doors.
My Lords, I have added my name to Amendments 46 and 47, moved and spoken to respectively by the noble Baroness, Lady Bowles of Berkhamsted, and I support the points that she has made. I also welcome the expert contributions from the noble Baroness, Lady Altmann, the noble Lord, Lord German, and the noble Baroness, Lady Kramer.
The Consumer Credit Act 1974 has long been criticised because of its extensive, complex information disclosure requirements. These are a problem in their own right but they can make it problematic for lenders to be flexible in cases where they might, for example, wish to offer forbearance to consumers experiencing difficulties in making repayments or to those suffering from unmanageable personal debts, as many do. Clearly, if small businesses are being affected by Covid-19 issues, it makes sense to ensure that their access to bounce-back loans is not hampered by requests for unnecessary evidence and detail or by extensive time delays in processing such data.
However, as the Explanatory Notes make clear, SI 2020/480 changed the rules for small loans to individuals and small partnerships so that they are no longer regulated credit agreements. However, as the noble Baroness, Lady Bowles, pointed out, the SI does not affect Sections 140A to 140C of the Consumer Credit Act 1974—the so-called unfair relationship provisions. The problem identified by the noble Baroness seems to be important. In a laudable attempt to simplify the processes, the Government might, perhaps inadvertently, have removed the statutory underpinning of Sections 140A to 140C, which, for example, through the courts protect borrowers from any subsequent attempts by lenders to act unfairly. That can often be the case, as we have heard this evening.
I believe that this issue might need to be reviewed separately once we are through the pandemic. Perhaps when she comes to respond, the Minister will agree that it needs further work. I hope that she will also be able to reassure us that our concerns are unfounded. I have my doubts but am willing to be convinced. The change in law needs to be securely attached only to bounce-back loans and the Covid-19 pandemic. We also need to know that the application of this disregard is proportionate and appropriate to lenders.
Turning to Amendment 48 in my name, I am grateful for the support of my noble friend Lady Uddin and the noble Baroness, Lady Kramer. I hope that the Minister recognises that the amendment covers ground raised in the powerful comments made at Second Reading by the noble Earl, Lord Shrewsbury, who shared his personal experience of the wide variability of responsiveness by the individual banks and lending institutions authorised by the British Business Bank to issue bounce-back loans.
My amendment calls for regular reports. I appreciate that there are confidentiality issues here, but this is also about transparency. If a private company such as MoneySavingExpert can do a survey which reveals that a substantial number of bounce-back applicants suffer delays, rejections and unrelated credit checks, surely the Government can do better. It is true that the MSE report is based on a sample, albeit a large one, but it shows that consumers have had variable responses from the major banks, and some of the smaller challenger banks had very high rejection rates. The transparency which the amendment looks for may improve that situation. I hope that the Minister can offer some movement on this issue, which would help with the task of getting bounce-back loans out to those who can use them. She said in her response to an earlier group of amendments that the Government were constantly reviewing and improving the Bounce Back Loan Scheme. I hope that she recognises that to do that without the sort of information that my amendment proposes might be otiose.
I thank the noble Baroness, Lady Bowles, my noble friend Lady Altmann and the noble Lords, Lord Stevenson and Lord German, for tabling these amendments.
On Amendments 46 and 47, the noble Baroness, Lady Bowles, made important points around the ongoing treatment of borrowers by lenders under the bounce-back loan scheme. My noble friend Lady Altmann and others referred to memories of previous unscrupulous practices by lenders. It is important to acknowledge the significant changes that the industry has been subject to over the past decade. All the major lenders have now signed up to the Lending Standards Board’s standards of lending practice, ensuring that banks treat their customers fairly and responsibly. The Financial Conduct Authority can now take enforcement action against individuals through the senior managers and certification regime and the new conduct rules, which apply to all employees of those firms and not just to senior managers.
I assure the noble Baroness, Lady Bowles, and all noble Lords who have spoken on the amendment that, while the Bill removes bounce-back loans from the Consumer Credit Act provisions, it does not remove protections from borrowers under the scheme. Under the terms of the guarantee agreement entered into by lenders with the British Business Bank that backs the bounce-back loans, lenders must provide clear information to borrowers before the credit agreement is entered into and during the lifetime of the loan. Lenders must make it clear to borrowers that the loans are not subject to the usual protections under the Consumer Credit Act. However, under the agreement entered into by lenders with the British Business Bank for the guarantee, there are other protections.
Where a borrower encounters financial difficulty, lenders must provide information on assistance available, including sources of free, independent advice. Where a borrower misses payments under the scheme, the lender will give them a reasonable period to remedy any breach of the agreement and will not treat that breach as a default if it is remedied within that period. Finally, lenders must not require borrowers to pay any lender-levied fees of any description, including on default, or any default interest. If a borrower defaults on the loan, the guarantee agreement prevents their primary residence and primary vehicle forming part of the debt recovery. Should a lender not comply with these terms, they risk not being able to call on the guarantee. This provides a strong incentive for lenders to treat borrowers fairly.
Furthermore, the Government have retained Financial Conduct Authority oversight for debt collection, meaning that lenders must comply with the Financial Conduct Authority rules on arrears, default and recovery. Recovery procedures must also comply with the Lending Standards Board’s standards of lending practice. As the noble Baroness, Lady Bowles, mentioned, the Government are working with accredited lenders under the scheme to ensure that they understand the requirements on collections and recoveries for the loans. I will write to her on whether the result of those discussions will be published.
Finally, the jurisdiction of the Financial Ombudsman Service has been maintained for bounce-back loans, meaning that eligible borrowers are able to access this convenient and effective means of resolving disputes with their lender without having to go to court.
My Lords, I thank all noble Lords who have spoken in this debate. In the interests of time I will not go through everything, but the noble Baroness, Lady Altmann, reminded us of the whole GRG saga and that the Consumer Credit Act and provisions for the courts are the ultimate insurance against bad behaviour from banks, which has been witnessed.
My noble friend Lord German reminded us that Section 140A, 140B and 140C, and indeed the Consumer Credit Act in general, are intended to cover loopholes and lacunae and to stop banks being able to get away with inappropriate things, and in particular to stop the weaving in of other conditions.
My noble friend Lady Kramer reminded us about the culture of banks today, and the way they are failing to pass on funds to alternate lenders. So, despite the Minister’s words about how banks have reformed, there remains a question mark over their culture because of that current behaviour in the context of coronavirus and the bounce-back loans. They appear to be putting themselves first. As my noble friend Lady Kramer said, give them a loophole and it will be used. I fear that that is too true. The noble Lord, Lord Stevenson, also indicated his concern about removing the statutory underpinning and questioned whether it was proportionate.
One or two things that the Minister said were reassuring: that the lender cannot apply any fees, which may mean that gouging cannot happen; and regarding assistance and free advice. However, looking at the detail, some other things become more worrying. It tends to be said that there are no personal guarantees, but it seems that that is not actually true: it covers only the primary residence and primary vehicle. There could be other things that would appear not to come under the guarantee. The Government would seem to have made a commitment to disapply the Consumer Credit Act as part of the terms of bounce-back loans. This means that they have promised to disapply primary legislation before any legislation has been passed to allow that. That is an extraordinarily worrying precedent, no matter that we are in an emergency situation. The Government have already disapplied primary legislation and are effectively saying: “We cannot go back on what we have promised”. As a matter of principle, I think that that is something to which I quite profoundly object.
I will have a look at other things that the Minister said. I acknowledge that there are some things in there that show how the Government have tried to fill in for the action that they have taken. So maybe businesses are not quite so naked as I suggested, but it is still a very worrying situation. I will withdraw my amendment now, but I may wish to return to this matter on Report.
We now come to the group beginning with the Question that Clause 13 stand part. I remind noble Lords that anyone wishing to speak after the Minister should email the clerk during the debate. Anyone wishing to press this, or anything else in this group, to a Division should make that clear in the debate.
My Lords, I gave notice to oppose Clauses 13 and 14 because I did not understand them and felt that their meaning needed clarifying. This is an opportunity for the Minister to explain how they work in simple language. I thank the Minister and her team for the time they have taken explaining the clauses to me. Providing the Minister’s explanations are in line with our discussions, and she reads them into the record for the enlightenment of industry practitioners, I am optimistic that I will not need to take my concerns any further.
I call the noble Earl, Lord Attlee. We cannot hear the noble Earl. We will move on to the noble Baroness, Lady Kramer, and come back to the noble Earl later.
My Lords, I will be exceedingly brief. I only wanted to address Clause 14(2)(b), which is basically about HGV licence applications. The Government have, in effect, temporarily waived the requirement for medical certificates, which I find entirely appropriate in light of the pandemic and the difficulty of requiring the medical profession—distracting them, if you like—to carry out the various tests and fill out the various forms that would provide those certificates.
My question is this: having made the decision that it is possible to grant HGV licences on this basis, are the Government willing to agree to do the same for other applicants for drivers licences? I am particularly concerned about others who, like me, are about to turn 70. We, of course, have to obtain new licences as we reach 70. I have been able to do it very easily online because I have the right sort of picture-based identity and passport, and because I did not require a medical certificate.
However, I have received a number of letters from various people who have not been in that position and are now finding that their licences are expiring at a time when they really do need to be able to use their cars. Being over 70, they are quite anxious about going on public transport; I think most people would think that that was entirely appropriate. Having made a decision that it is going to temporarily waive that medical requirement for HGV drivers, will the Government now consider doing it particularly for the over-70s?
Have we got the noble Earl, Lord Attlee, back?
Yes, I am here, my Lords.
I have Amendment 49 in this group and it may be convenient to speak to it now. Before doing so, I should declare an interest in that I operate heavy goods vehicles in a private capacity and present them for testing. The Committee will be pleased to hear that the last one I prepared passed first time, despite being of some age.
In a modern society we utilise, or go near, a wide range of equipment, facilities and infrastructure that, if not properly maintained, could be extremely hazardous. Think about electrical systems, trains, lifts, aircraft, the underground system—once run by the noble Lord, Lord Tunnicliffe—pressure vessels, steam boilers and the like. Disasters are very rare because the systems are subject both to regular and statutory inspections performed by what is termed a “competent person”—an individual who has the necessary experience, training and independence from the operator and the owner of the equipment, so that he or she can inspect the system or equipment without fear or favour. The competent person is not normally employed by the state but by private industry or commerce.
The Committee will be painfully aware that motor vehicles are a serious safety hazard if not properly maintained. Private motor cars are annually inspected by an MOT garage and the inspector is authorised by the Secretary of State but employed by the garage or testing station. There is no difficulty in securing a test date because the motor trade ensures there are a sufficient number of testing stations and authorised testers.
The situation with heavy goods vehicle testing is very different. What are termed authorised testing facilities—ATFs—are provided and funded by industry but authorised by the Driver and Vehicle Standards Agency—the DVSA. The vehicle inspectors are employees of, and provided by, the DVSA. Levels of remuneration are screwed down by the Treasury to such an extent that the DVSA is always underresourced, with only just enough inspectors to meet demand—at best. Even in normal times, one would expect to wait six weeks for a new test date. This is not a short-term Covid problem.
My noble friend Lady Randerson is unable to speak on this group as she has caring commitments that she is unable to change. She has been in contact with the Freight Transport Association, which provided her with an extensive briefing. I know that she has also spoken with the noble Baroness, Lady Vere.
My noble friend asked me to highlight one of the issues in the Freight Transport Association’s briefing: certificates of temporary exemption. These may now result in the required test falling within the busiest period for many operators. The FTA is confident that this is not what the Government are seeking to achieve. It has therefore asked for the certificates of temporary exemption to be issued for a full 12 months so that HGV licences are not subject to change at a time when the vehicle needs to be on the road to catch up with transport issues that have fallen by the wayside due to the coronavirus changes.
With that rather inept briefing—I am sure that my noble friend would have done so much better—I hope that the Minister will be able to give some answers to the questions that have been asked.
My Lords, this group concerns Clauses 13 and 14, which seek to manage road safety risks as we move into recovery from the pandemic. I am very grateful for the discussions that I have had with the noble Lord, Lord Tunnicliffe, and the noble Baroness, Lady Randerson, who is unable to be in her place. I will put on record further details to address the concerns that have been raised.
First, noble Lords will be aware that draft regulations referred to in Clause 13 are now available, but the essence of this clause is as follows: at this time, the Driver & Vehicle Standards Agency can issue certificates of temporary exemption from roadworthiness testing on a blanket basis for vehicles during exceptional circumstances. It has issued such exemptions to all heavy vehicles that are due a test in the period from March to August 2020. Clause 13 allows the DVSA to exempt vehicles from testing based on road safety risk factors rather than on a blanket basis. These powers are not intended to manage business as usual and will not be used to manage normal test demand unconnected to exceptional circumstances.
When determining whether a CTE should be issued for a particular vehicle, the new regulations will allow the following relevant safety factors to be considered: the age of the vehicle and its technical characteristics; the findings of any examination or inspection of a vehicle; enforcement action against the vehicle’s operator or against the driver of a vehicle used under that operator’s licence; the operator’s membership of the DVSA’s earned recognition scheme; and any action, direction or order in relation to an operator’s licence, held by the operator, taken or made by a traffic commissioner within the previous five years under specific relevant provisions.
Where exceptional circumstances necessitate, the new power will be used to prioritise older vehicles for testing—most likely those over two years old—and take into consideration membership of the DVSA-run earned recognition scheme and operator compliance risk scores calculated by the DVSA, based on historic evidence of compliance. The regulations will permit the issue of CTEs during, prior to, or subsequent to disruption attributable in whole or in part to an exceptional event which falls within the existing definition. This is in recognition of the fact that disruption to test availability may extend beyond the boundaries of an event. An exceptional event such as accident, fire or epidemic is included in this definition. The regulations will also set out the duration for which these CTEs can be issued. Given that these revisions reduce the road safety risk inherent in the existing powers and are to be used only infrequently and in exceptional circumstances, we do not propose to add a sunset clause.
I turn now to Amendment 49, tabled by my noble friend Lord Attlee, which seeks to permit the Secretary of State to qualify any individual to undertake road-worthiness tests of heavy goods vehicles. At present, heavy vehicle testing is undertaken by the DVSA, typically with staff working from a third-party site. This amendment would open the door to the private sector undertaking such testing; this is often referred to as delegated testing. I understand my noble friend’s views on this point and recognise his expertise in the area, as so ably demonstrated in his contribution. I express my gratitude to him for his constructive approach, particularly in discussions with departmental officials.
However, allowing delegated testing of heavy goods vehicles would represent a fundamental change in our long-standing approach. This amendment would require us to conduct that change during a time of immense pressure on the testing system, on stakeholders and on the DVSA. Establishing a new system of testing without carrying out careful consideration and extensive consultation would be unwise and would create risks to all road users. However, I am extremely willing to continue constructive discussions with the noble Earl, and indeed with industry, particularly as to how we can improve the current system. For these reasons, I hope that my noble friend will feel able to support the Government’s approach.
I turn finally to Clause 14. I am grateful to the noble Lord, Lord Tunnicliffe, for giving me an opportunity to provide further details. Lorry and bus drivers must apply to renew their driving licence every five years and annually from the age of 65. From the age of 45, a medical report signed by a doctor must be provided with the renewal application. Under an existing power in secondary legislation, the Secretary of State for Transport can waive the requirement for a medical report. However, the Secretary of State for Transport currently cannot mitigate the associated risk by issuing shorter licences.
As a result of the pandemic, NHS GPs have not been available to meet the demand for medical reports. To help keep drivers on the road, we announced a temporary scheme to waive the medical report requirement and issue one-year licences back in April 2020. The provision in this Bill is retrospective. It limits to one year the duration of licences already issued under that scheme without a medical report, as well as those that will be issued in the future. Even though the medical report will not be required at renewal, the driver must still fill out the standard DVLA medical questionnaire, and confirm whether or not they suffer from one of the medical conditions relevant to fitness to drive. If a medical condition is declared, the DVLA will investigate the condition, and decide whether it is appropriate to issue a licence. The provision for one-year licences to be issued where there is no medical report will last for the duration of the Bill. However, this scheme does not have to be used. The DVLA is keeping the scheme under review, and in consultation with NHS authorities will reinstate the requirement for a medical report, and return to issuing five-year licences, as soon as medical resources are available to meet demand.
I thank the noble Baroness, Lady Kramer, for her questions on the issuance of other licences and their renewal, and I will write to her. On the basis of these explanations and clarifications, I hope that the noble Lord, Lord Tunnicliffe, will feel able to withdraw his intention to oppose the Motion that the clause stand part.
My Lords, perhaps I could say a few words about the Freight Transport Association’s concerns. Essentially, if exceptions or exemptions are permitted for six months rather than 12 months, it will disrupt the regime of testing and maintenance for some of the larger and better-maintained fleets. The limitation of six months is actually in the draft regulations, which are being consulted upon with the industry at this moment. I hope that the Minister will give careful attention to the representations it makes. There is nothing in primary legislation to stop appropriate easement if the department were to take that view.
I am content with the Minister’s explanations for Clauses 13 and 14, and no longer wish to oppose the Motion that Clause 13 stand part of the Bill.
We now come to the group beginning with Amendment 50. I remind noble Lords that anyone wishing to speak after the Minister should email the clerk during the debate. Anyone wishing to press this or any other amendment in this group to a Division should make that clear in the debate.
Amendment 50
My Lords, in moving Amendment 50, I will speak also to Amendments 74 and 75 in my name.
Amendment 50 seeks to modify the regulations introduced in 2018 around package travel, in order to support the recovery of small domestic tourism businesses and destinations. The intention of these regulation was to provide additional protection to those taking package holidays abroad, so that they do not lose their money if the tour operator goes bust, and so they can be repatriated to the UK. However, a sort of reverse loophole has emerged, where small domestic businesses working together to produce a value-added offer are caught up in the regulations and deemed to be tour operators.
The consequence is that if a B&B, for example, offers a deal to customers where meals at a local pub or a round of golf at a local course are included, that B&B finds itself legally responsible if the customer has an accident while visiting the other business. No insurance company will give a B&B insurance to cover that. This prevents the sort of constructive enterprise between small local businesses that is needed if the domestic tourism industry is to recover from coronavirus. The industry estimates that remedying this anomaly would boost domestic tourism by about £2.2 billion.
Unfortunately, there is a drafting error in my amendment, for which I apologise. It inadvertently seeks to leave out the words “at least one other”, which do not actually appear in the existing regulations. However, the important part of the amendment is about the carriage of passengers, and it is to those words particularly that I am speaking this evening.
The purpose of the amendment is to ensure that package travel should include the carriage of passengers—in other words, actual travel. That means that if you are offering a coach holiday with hotel accommodation included, that would of course count as a package because you are taking the customer on holiday and must be responsible for them. However, if a small business offering accommodation co-operates with another small business that is offering food, it is not taking someone on holiday. It is providing the customer with a value-added product while they are on holiday. With no actual travel involved in the transaction, under the terms of the amendment, it would not count as a package. This small measure of deregulation could save 47,000 jobs in the sector.
I know that the Government believe that the current regulations should not be prohibitive for small businesses because there is a rule of thumb which says that any tourism service providing accommodation must make up at least 25% of the total for the regulations to apply. This is unsatisfactory for two reasons. First, it is only a rule of thumb, so businesses do not have certainty about their obligations. Secondly, a small B&B could offer weekend accommodation for, say, £70 a night, and the food on offer at a local restaurant or pub might well have a value of £70 or more. So as things stand, co-operating on meals and accommodation for two people can easily trespass into regulated territory.
In considering this amendment, it is also important to note that the benefits it would provide come at no cost to the consumer as there is no erosion of consumer protection by removing value-added products as I have described from the package travel regulations. All that would happen is that two businesses would become separately liable for their component of the product. The principle that I have articulated, and what is intended in the amendment—making packaging hinge on whether an actual travel component is sold—is a better and clearer position which I hope the Government will consider carefully between now and Report.
Amendment 74 has been inspired by and closely follows the Government’s own proposal to expedite planning applications by varying planning conditions on construction hours. The amendment would speed up applications to lift planning conditions where they restrict campsites and caravan sites from being used for holidays in the winter months. After months when so many sites have been unable to operate, this would enable many of them to extend the holiday season, subject to a final but expedited say on the part of the local authority.
The present situation is quite unsatisfactory in that the Government say that local planning authorities can choose not to enforce their local regulations. This puts businesses in a very invidious position. My amendment would clarify the position because it would mean that in straightforward cases, an extension to this year’s season could be agreed quickly without the need to require an applicant to produce numerous documents. Crucially, however, local authorities would retain control over more complex cases. Where a council has concerns about an application to extend, it would have 14 days either to refuse or to agree modifications with the applicant. This seems proportionate and fair, and again it would make the regulations around domestic tourism much more equal to the task of helping businesses out of the Covid crisis.
Amendment 75 would give property owners and local authorities the same flexibility to remove planning conditions that prevent the use of their holiday accommodation for lets over the winter months, but it would give local authorities control. It would allow properties that are presently used for short-term lets over the summer to be let on a longer-term basis in the winter. The most common planning restriction at the moment is the 28-day maximum stay that is applied to permissions. Many of the properties affected are converted farm buildings where the farmer has sought to diversify his or her business. Industry figures suggest that up to 25,000 properties are limited in this way. Removing the 28-day limit would allow these businesses to operate longer-term winter lets, typically to temporary or seasonal workers, or to students.
For these businesses, gaining valuable winter income would go some way to levelling the playing field with their competitors in the sharing economy, such as Airbnb, while helping to make up for so much lost income this year. But without this support, many holiday cottages will be obliged to close only a few months after their reopening on 4 July. It is surely right to expedite these applications now to extend the season and, in doing so, to help good but struggling businesses to survive.
The tourism industry generates £155 billion per annum for the UK economy, but this contribution is in peril because 92% of these businesses say that their revenue has at least halved during the coronavirus crisis. I hope that the Government will give a helping hand by modernising the regulations on packages and allowing domestic businesses to extend their usual season into the winter months. Without these changes, many businesses simply will not survive and thousands of jobs will be lost. I beg to move Amendment 50.
My Lords, I refer to my interests in the register and will speak to Amendment 74 because I have just been appointed as an officer of the new all-party group on holiday parks and camping sites. My noble friend Lady Doocey has covered many of the points that I was going to raise and at this hour, of course, brevity is much to be commended so I will raise only one point. It is to hope that the Government could agree to write a letter to local authorities, setting out the benefits of relaxing planning laws. This is something that many local authorities have undertaken, including East Lindsey District Council in Lincolnshire. Its local development order for the coastal zones authorises 12 months’ operation for the next two years.
To be brief, the problem that many campsites across the country face is that while they are starting to reopen, at the moment there is a degree of caution among those undertaking camping. So, they are running at about 40% of the capacity they were expecting; the season will therefore be quite short for them. Extending the season would make a great deal of difference. It would also show some clarity, because the Scottish Government have already advised their local authorities that a
“temporary relaxation of planning controls will help businesses to re-start.”
They cited enabling
“seasonal businesses such as holiday parks to continue to operate beyond any conditioned limits to their seasons”
on 29 May, under the heading “Changing business practices during physical distancing restrictions”. The Welsh Assembly is also looking to write a letter. I hope that the Minister can give us an assurance that the Government will raise this issue with local authorities as being beneficial to their local economies.
(4 years, 5 months ago)
Lords ChamberMy Lords, a limited number of Members are here in the Chamber, respecting social distancing. If the capacity of the Chamber is exceeded, I will immediately adjourn the House. Other Members will participate remotely, but all Members will be treated equally, wherever they are. For Members participating remotely, microphones will unmute shortly before they are to speak—please accept any on-screen prompt to unmute. Microphones will be muted after each speech. I ask noble Lords to be patient if there are any short delays as we switch between physical and remote participants. I should remind the House that our normal courtesies in debate still very much apply in this new hybrid way of working.
A participants’ list for today’s proceedings has been published and is in my brief, which Members should have received. I also have lists of Members who have put their names to the amendments in, or expressed an interest in speaking on, each group. I will call Members to speak in the order listed. Members’ microphones will be muted by the broadcasters except when I call a Member to speak. Interventions during speeches or before the noble Lord sits down are not permitted and uncalled speakers will not be heard.
During the debate on each group, I will invite Members, including Members in the Chamber, to email the clerk if they wish to speak after the Minister. I will call Members to speak in order of request and will call the Minister to reply each time. The groupings are binding, and it will not be possible to degroup an amendment for separate debate. A Member intending to press an amendment already debated to a Division should have given notice in the debate. Leave should be given to withdraw amendments. When putting the question, I will collect voices in the Chamber only. If a Member taking part remotely intends to trigger a Division, they should make this clear when speaking on the group.
My Lords, it is a pity that the debate on these important amendments has not been taken as a whole. I am responding to the introduction to the debate on this group, which began late last night.
Throughout the debate on the Bill, we have heard how important it is that businesses are given a temporary helping hand to make them viable in the longer term. My noble friend Lady Doocey has provided three detailed changes to legislation that will make a substantial difference to tourism businesses, as well as to those regions of our country whose local economies depend absolutely on holidaymakers. I hope, and anticipate, that the Government will be able to respond constructively and positively to these immensely helpful amendments.
My Lords, the amendments in the name of the noble Baroness, Lady Doocey, raise the matter of caravan sites, campsites and holiday accommodation operating during the winter months, as well as the related issue of combined holiday offers. The tourism industry has been hit more than most during recent months and the Government must explore all options to support it during these turbulent times.
I am pleased to inform the Committee that my noble friend Lady Morgan of Ely has this responsibility as part of her ministerial portfolio in the Welsh Government. She is doing all she can to help support the reopening of the tourism industry, which is of course a vital component of the Welsh economy. The impact on the wider industry has enormous ramifications for local economies and wider supply chains. I look forward to hearing from the Minister how the Government will support all involved.
The noble Baroness’s exact proposal for winter openings has merits, but we should also consider the unintended consequences. Perhaps the best means to do so, as with so much of this legislation, is through consultation with local authorities.
While on holiday parks and accommodation, it is important that we briefly recognise the consumer rights issues that have unfortunately arisen during this crisis. For example, the Minister may be aware that there have been disputes with Parkdean Resorts, which initially insisted on pitch fees during the months in which holidaymakers were unable to visit. On that issue, I would welcome an update from the Minister on whether the Government have taken any steps to support dispute resolution efforts between operators and accommodation owners.
I am grateful to the noble Baroness, Lady Doocey, for raising this important issue. Campsites, caravan parks and holiday cottages are places we all value. They are a mainstay of their local economies in many parts of the country, providing employment and supporting local services and businesses. I share her concern about the considerable impact that the coronavirus has had on the sector. In particular, we recognise that many campsite, caravan and holiday park owners now want to extend their season opening times, but planning conditions can limit this. I recognise the important role these businesses play in their local communities and economies.
On Amendments 74 and 75 proposed by the noble Baroness, Lady Doocey, and the noble Lord, Lord Redesdale, I am pleased to announce that my department will lay a Written Ministerial Statement that will encourage local planning authorities to take a sympathetic approach to applications to change the opening times on a temporary basis, allowing campsites and caravan and other holiday parks to open beyond the summer season. The Statement encourages them to use their discretion not to take enforcement action where this could lead to a breach of a planning condition.
I am less convinced that there should be any changes to provide flexibility for the owners of holiday cottages who want to let them out for wider uses on a temporary basis. As tourist accommodation could be lost, it may deprive areas reliant on tourism of visitors over the winter as we recover from the coronavirus. Individual owners can still apply for a variation of condition in the normal way if they wish. I hope that my response provides sufficient encouragement for the noble Baroness and that she will not move her amendments when they are reached.
Amendment 50, also tabled by the noble Baroness, Lady Doocey, seeks to amend the package travel regulations with the admirable aim of boosting local tourism. The package travel rules are designed to be light touch where possible and provide protection and clarity for consumers. In her speech at Second Reading, she used the example of a bed and breakfast adding an evening meal at a local pub or restaurant to its customer offer. It is unlikely that this would invoke the package travel rules. For such an addition to come within the parameters of the package travel rules, the extra meal would need to be an essential feature of the trip, accounting for a significant proportion of the value of the package. That is normally taken as a cost in the order of 25% of the total package.
None the less, I am grateful to the noble Baroness for raising the issue. The Government indicated last year that they would undertake a review of the package travel rules in future, but believe this is better conducted when the UK has left the EU and has the full freedoms to act independently. For the reasons I have set out, I am not able to accept this amendment; I hope that she will therefore withdraw it.
I will write separately to the noble Baroness, Lady Wilcox, on the points she raised about disputes and the steps taken by government.
My Lords, it is rare that you get to speak on the same amendment almost 24 hours later. I congratulate the Minister on what is probably a first in this House in the 30 years I have been here; I have never known the House to rise before a Minister’s statement, but I quite understand the technical reasons for this.
The Minister’s response answered many of the questions I had, and I very much hope that the ministerial Statement will give a lot of comfort to those holiday businesses that will go forward to local authorities. I know that many local authorities have looked at this in a positive way, but it would be great for the holiday industry to show that the Government see this as a positive movement.
I thank the noble Lord; he got a second chance to speak but had very little to say. The coronavirus pandemic has caused a lot of firsts; it is good to share in that endeavour. I am pleased we were able to assuage a lot of his concerns.
My Lords, I thank the Minister for his response, particularly in respect of caravan parks, which sounds good. I would obviously like to see the detail, but it is definitely a step in the right direction. I do not at all accept the points he made about the package not coming to 25%, but I do not honestly think this is the time to talk figures with him; I would much prefer to do it privately afterwards. I think that not taking the opportunity to help small local businesses work together is a mistake that has been allowed because of this anomaly in current legislation—but I hope to persuade him when we speak privately that the figures I put forward are right.
It is also deeply distressing that the holiday cottages will not be included after the vast amount of money they have lost during the coronavirus. The difficulty is that this sector has been hit so badly that it will definitely end up with thousands of people losing their jobs and livelihoods. I know the Government feel as strongly as I do that this should not happen, so I really hope they might be able to reconsider after we speak. Meanwhile, I beg leave to withdraw the amendment.
We now come to the group consisting of Amendment 51. I remind noble Lords that anyone wishing to speak after the Minister should email the clerk during the debate. Anyone wishing to press this amendment to a Division should make that clear in debate.
Amendment 51
My Lords, in moving Amendment 51 dealing with outdoor entertainment, I first draw attention to my interests in the register.
I profoundly appreciate and cherish the creative industries, not only for their ability to educate, entertain, provoke, stimulate and provide balm for the soul but because they are one of the most successful economic forces we possess here in the UK. Our film studios, orchestras, playwrights, theatres and video game designers all help to make us what we are as a nation. They are the envy of the world, and they all create employment and wealth.
Like many others, I warmly welcome the major announcements by the Government last week: the substantial financial support for the creative sector and the news that outdoor performances may now resume, with suitable measures taken to prevent risk of infection. Some of our most enterprising venues and companies are already forging ahead with plans for what remains of the summer: the Minack, Brighton Open Air Theatre, Glyndebourne, the Maltings in St Albans, This is My Theatre. I can confirm with pleasure that this happy list is substantial and growing.
Theatre and musicianship—indeed, all forms of creative endeavour—are crafts that require constant nourishment and nurture. It is vital that they should be financially supported during their enforced hibernation during this pandemic, but it is equally vital—far better, even—that they should come back to life as soon as it is safe for them to do so.
As it stands, this Bill deals with two major wealth-creating sectors that have been grievously hit by the pandemic: hospitality and construction. I strongly believe that the performing arts deserve similar recognition. Legislative underpinning for the avoidance of doubt is sensible for a significant shift in policy and law but, while joyously welcome, at the moment has the status only of phase 3 of a so-called road map.
I am also eager to raise again, as several noble Lords did yesterday at Questions, the plight of freelance actors, musicians, technicians and other creatives who lack the sustenance and reassurance of a financial, contractual tie to any building or institution. They too should be numbered among our crown jewels. I want them to receive every possible reassurance that we, in this place, understand their current plight and want to help them back to work and to honing their remarkable crafts, just as soon as it is safe for them to do so. I beg to move.
My Lords, the noble Lord, Lord Hunt, has covered the issue in an extremely lyrical way, so I will keep my remarks short. We all know how hard the arts scene and theatres have been hit by this health crisis. Amendment 51 is a thoughtful contribution to easing some of that burden and allowing the arts to make their own socially distanced recovery. Imagine a summer of outdoor performances and displays—hoping the weather is good—reconnecting communities safely. Physical distancing does not mean we have to be socially and emotionally distant. It would be wonderful if the Government could facilitate this amendment; they would be rightly celebrated for doing so. I am sure that the Minister is a keen supporter of the arts and so will look favourably on this amendment.
My Lords, I am grateful to my noble friend Lord Hunt for introducing his amendment so skilfully and lyrically, as was just said by the noble Baroness, Lady Jones. I welcome the measures that the Government have taken to enable open-air theatres to resume their operations. Mind you, unlike the noble Baroness, Lady Jones, I would not say this would be in good weather only. Perhaps, like me, she would enjoy the Minack Theatre in Cornwall, which goes on regardless of the interesting weather around it—and the audiences love it the same.
When my right honourable friend Oliver Dowden, the Secretary of State for Digital, Culture, Media and Sport, announced last Thursday that live performances could go ahead outside—“plays and music”, he said—he referred to the Minack Theatre. That press release refers to guidance, and the Minister will know that I am keen to ensure that guidance is as clear and timely as possible. It was timely, because the Minack Theatre immediately put its new programme up on its website. That is entirely within the guidance that has been published so far, which means advance purchase online and social distancing. Their productions include “Great Expectations”. My right honourable friend Oliver Dowden referred to plays, but “Great Expectations” will be interesting because it is presented by just one performer. That will be testing.
My request to the Minister is to ensure that the Government continue to talk closely to organisations presenting outside events because, by their very nature, they have had to scramble and work hard to make these performances available to the public. They are professional people, who want to do the best they can for their arts and their communities.
My Lords, I strongly support Amendment 51 in the name of the noble Lord, Lord Hunt. As a result of lockdown, many theatre and music venues are struggling. The Royal Exchange Theatre in Manchester has announced significant job losses, while the Nuffield Southampton Theatres will close for good. Cameron Mackintosh, the producer of “Les Misérables” and owner of eight West End venues, said that many theatres cannot open until 2021 and that, even under one metre-plus, theatres will need to accept significant reductions in audience numbers.
We all welcome the £1.5 billion of funding for the arts, culture and heritage sectors announced last week, but our producers, directors and artists want to get back to work entertaining the public. Now that the phases for reopening are coupled with a clear timetable, I hope that help with insurance to protect against financial loss from any future lockdowns will be available. There is also uncertainty among theatres not funded by the Arts Council about their ability to benefit from the new funding. We must now include creative sector workers, who have been excluded from government support schemes so far.
The announcement last week by the Secretary of State, Oliver Dowden, that performing arts could take place outdoors from last Saturday, with a socially distanced audience present, is extremely welcome. However, now we need to will the means for theatre, opera, dance and music to be widely resumed, if outdoors for the present. Robert Hastie, the artistic director of Sheffield Theatres, is quoted as hoping to create open-air Shakespeare pieces,
“taking live performance out of the building and into the city. Shakespeare was written to be performed outside.”
He said:
“Until we can get people together in a space confidently—with large enough groups of people to make the numbers add up—we won’t be out of the woods, but imagination and a proper action plan will keep us going.”
This proposed new clause would play entirely into that action plan. It would enable socially distanced outdoor performances by actors and musicians, in a variety of new spaces beyond existing outdoor venues. We have a world-renowned, distinctive British talent in drama, comedy and music. The noble Lord, Lord Hunt, mentioned outdoor opera at Glyndebourne and plays at Cornwall’s Minack Theatre but, as he says, there is a lack of existing outdoor spaces for live performance across the UK. Our creative artists, actors and writers will seize every opportunity they can to perform. We need to allow them to do so wherever we can; this amendment offers them an important route for that.
I strongly support this amendment. I suspect we will hear from the Minister that, with venues opening up and putting on live performances, this amendment is unnecessary. From looking at the Government guidelines for stage three of the road map, this seems to be the case, although I take the point of the noble Lord, Lord Hunt, that there should be legislative underpinning.
We heard immediately about the intentions of purpose-built venues such as the Minack Theatre, as mentioned by the noble Baroness, Lady Anelay. I have read that Sheffield Theatres is working with the council in mounting outdoor performances, but could council help also apply to pub theatres? The performing arts will be one of the last sectors that can open properly—if not the last—because of social distancing problems. Within safe limits and with local good will, we need to encourage as many opportunities as possible for paid outdoor live performances. Much of the summer is still left and this will all help the hospitality sector, which we discussed at length yesterday.
Venues take in everything from Glyndebourne and Shakespeare’s Globe to live music clubs in cities, with no outdoor facilities, which would benefit from the help of the local council in mounting a late summer season at a suitable outdoor location. One of the big problems for the performing arts in this crisis is that the great majority of performers, actors and musicians—[Inaudible]—bands and dance companies. Performances managed by a local council would extend the number of performers who would start being paid, which is what we need. Helping venues, great though it is, will not necessarily help all the artists who could be helped, but local councils being given carte blanche to work with performers and performing companies would be a step forward.
I suspect that much of this will turn on the feasibility of and the responsibilities for the Covid risk assessment. Some clarification on this from the Minister would be welcome. Perhaps the law against gatherings of more than 30 in private grounds needs to be relaxed to widen the choice of good outdoor venues.
The public have benefited tremendously in the last few months from free performances online and sometimes in the street. It is now time that performers, just like those working in the hospitality sector, which we discussed yesterday, should start to be remunerated properly for their work, even if this will still be only a minority.
My Lords, I support Amendment 51 and thank the noble Lord, Lord Hunt, for tabling it. I agree with what he and all other noble Lords have said. The noble Lord reminded us that the performing arts are about education and stimulation, and are a balm for our souls—I guess we need that now—as well as for the economy. There is clearly a strong case to help the entertainment industry where that can be done safely. There are good links between this amendment and other matters in the Bill, such as the role of local authorities in giving permissions for new venues, and the fact that many pubs and hotels also support and are venues for live entertainment, especially for freelancers.
Various open spaces are regularly used for entertainment. Like all other noble Lords, it appears, I have strong connections with the Minack, having spent many teenage summers literally just up the road. However, there are many other spaces where it might be necessary to obtain permission from the local authority. I would like to know whether such permissions could be achieved more rapidly. I know that the usual ones are already in my local area, because we regularly have summer outdoor Shakespeare plays, but I imagine that more venues will be needed, not least because you cannot fit quite so many people when audience seating has to be socially distanced.
There must be many other entertainments that are not so threatening in terms of the aerosol effects that cause concern. I am sure that a string ensemble is not quite so threatening, or musical soloists. They could fit into smaller spaces, including pub gardens. We also have some excellent mime performances locally. Nothing compensates for the loss of theatres and concert halls, but surely that is all the more reason to be as permissive and inventive as possible to help the performing arts survive with open-air performance until indoor performances can recommence.
My Lords, I support the amendment in the name of the noble Lord, Lord Hunt of Wirral, which would add a new clause after Clause 15 on the specific issue of outdoor entertainment. As we have heard, like the hospitality industry, the entertainment industry is struggling more than most. I agree that our cultural offering is the envy of the world and that it needs our support to come back to life as soon as possible, and in a way that is safe. Theatres and similar venues have been warned that they might be the last to reopen and, as we have heard and seen in the news many times, staff have been laid off.
The noble Lord’s amendment focuses on outdoor entertainment. I will be interested to hear the Government’s response from the noble Baroness, Lady Penn. Every summer for many years, my noble friend Lady Kennedy and I have enjoyed going to the Regent’s Park outdoor theatre, which is a wonderful venue not far from here. We were last there last summer to see “A Midsummer Night’s Dream”. It was a wonderful production. However, it has cancelled its entire 2020 programme; it has completely gone. It hopes to be back in 2021 with a production of “Romeo and Juliet”. I have also enjoyed going to the Luna Cinema, which shows films in locations all over the country. That is also a wonderful thing to do.
My Lords, the Government wholly support the intention behind the amendment to enable socially distanced outdoor performances. I assure the noble Baroness, Lady Jones, that, although I am not my noble friend Lord Greenhalgh, I have a great admiration for our cultural sector and for the performing arts.
I am delighted to refer my noble friend Lord Hunt to the Culture Secretary’s announcement last week that, from Saturday 11 July, theatres, dance and music have been able to restart as long as they are Covid secure, take place outside with a limited and socially distanced audience, and have the appropriate approvals from local authorities. To support our theatres and performance venues to get up and running safety, we have published new government guidance that provides detailed advice on how to keep all those working in the performing arts and audiences safe.
My noble friend Lady Anelay asked about that guidance. We have worked with the sector through the Cultural Renewal Taskforce and the entertainment and events working group to produce it. We will continue to engage with the sector on the basis. My noble friend raised advanced notice. So far we have published a five-stage road map, on which we are at stage 3, so venues and others can plan for future stages in advance of them being introduced. That guidance will evolve. We are working on some of the science behind safely reopening some of these venues. As that progresses, we will update the guidance in line with consultation with the sector.
Since outdoor performances are now allowed, local authorities can already issue licences where appropriate for such events under the provisions of the Licensing Act 2003 and existing authorisations will not have lapsed, the intention behind my noble friend’s amendment has been wholly achieved.
My noble friend made two further points in relation to his amendment. The first was that the inclusion of the amendment would signal the Government’s commitment to this vital sector. I completely agree with my noble friend that our creative arts are an intrinsic part of what makes us a nation. I hope noble Lords will agree that there are many routes by which the Government can demonstrate their support for the sector. The announcement of the £1.57 billion of support—the largest ever one-off funding package for the sector—demonstrates that commitment.
That funding will also be essential to address the points raised by my noble friend Lord Hunt and the noble Lords, Lord Kennedy and Lord Clement-Jones, among others, about support for freelance workers and others in the sector. It will enable organisations to resume cultural activity, albeit in a socially distanced manner, which will increase employment opportunities for freelancers. That is in addition to funding announced by Arts Council England in March of £140 million for artistic organisations and £20 million for individuals, including self-employed practitioners, to continue their craft. More than 10,000 individuals and organisations have been successful in applying for this emergency funding.
My noble friend also sought reassurance on the legislative underpinning for the reopening of outdoor performances, as did the noble Lord, Lord Clement-Jones, and the noble Earl, Lord Clancarty. This amendment is not needed to allow outdoor performances to take place, even in venues where they do not already take place. Local authorities can license outdoor performances already; this is underpinned by legislation in the Licensing Act 2003. I hope noble Lords will agree that it is not good legislative practice to duplicate this provision through additional legislation. It might also be worth noting that we are not planning to put in place underpinning legislation for the reopening of every sector of our economy, however significant the default is that those sectors should be open and that is what should be in place.
I hope that this addresses most of the points raised by noble Lords. I apologise to the noble Earl, Lord Clancarty, for being unable to hear part of his contribution, particularly about the role of local councils, due to technical difficulties. We will of course continue to engage, but on the point of legislative underpinning compared to this Bill, we are not aware of any representations, for the process of applying for temporary events notices for example, which in any case is a shorter timescale than pavement licences, which are dealt with in the Bill. For these reasons, I am unable to accept this amendment, and therefore I hope that my noble friend can withdraw it.
My Lords, I am very grateful to my noble friend Lady Anelay of St Johns, the noble Baronesses, Lady Jones of Moulsecoomb and Lady Bowles of Berkhamsted, the noble Lords, Lord Clement-Jones and Lord Kennedy of Southwark, and the noble Earl, Lord Clancarty. We have spoken with one voice, and I greatly welcome the Minister’s commitment to our intention. As she said, legislative underpinning is the key. We are providing the hospitality and construction sectors with that legislative underpinning. The performing arts deserve similar recognition. I will return to the subject, but in the meantime, I beg leave to withdraw my amendment.
We now come to the group beginning with Amendment 52. I remind the Committee that anyone wishing to speak after the Minister should email the clerk during the debate. Anyone wishing to press this or any other amendment in this group to a Division should make that clear in debate. The Minister wishes to speak before I call the mover of the amendment.
For the convenience of the Committee, and perhaps to save some time, I intervene to notify the Committee that, with regard to Amendment 73, we will bring forward a government amendment on Report that seeks to include mayoral development corporations, Transport for London and parish meetings within the Coronavirus Act 2020.
Clause 16: Modification of conditions relating to construction working hours
Amendment 52
My Lords, I hope to persuade the Minister to present a government amendment in relation to Amendments 52 and 79. I support the thrust of the Bill and the impact it will have, allowing the hospitality and construction industries to recover from a particularly difficult time.
These two amendments relate to working hours in the construction industry and whether, if the temporary measures in Clause 16 are still in place in the autumn or for next year’s breeding season, the Government will pay more than lip service to the environmental protections of which we are so proud. I share the Government’s support for environmental protections such as the habitats and other directives. These are now part of retained UK law, which we have supported through our membership of the European Union.
I am delighted to have the support of the noble Lord, Lord Shipley, for these amendments. Amendment 52 seeks to have regard to the Conservation of Habitats and Species Regulations 2017 and what catastrophic environmental impacts there might be reaching a common-sense agreement under those regulations.
Amendment 79 asks that regulations passed under Clause 22(3) be considered by affirmative procedure. Can the Minister confirm that these regulations have undergone or will undergo a proper consultation?
With these few remarks, I hope that I can enlist the support of the Minister and others for these two very important amendments. I am not seeking to delay construction with Amendment 52, but to ensure that we have regard to the habitats directives, which are now part of retained UK law, and that regulations passed under Clause 22 will undergo a proper consultation through affirmative procedure. I beg to move.
My Lords, Amendment 53 in my name seeks a complete ban on any construction activities carried out between 10 pm and 7 am in any location where residents live within 300 metres of those activities applied for.
I thank my noble friend the Deputy Leader for his extremely courteous letter immediately after Second Reading last week, dealing with the points I raised about disturbance to residents. He said:
“The draft guidance highlights in particular that careful consideration will need to be given whether to refuse applications made in relation to developments that are in close proximity to residential areas when the request is likely to have a significant impact on health, taking into account other legal duties of local authorities to protect persons in the locality from the effects of noise.”
While I accept that and believe in local decision-making, I also believe that a national backstop should be imposed by this legislation. If it is right to introduce a national law permitting applicants to apply for up to 24/7 construction working, as this Bill does, equally, it is right to impose a national limit on the times during which that construction may take place.
The Government cannot have it both ways. They cannot say, “We are passing a national law on construction working hours, but we cannot interfere with local decision-making when it comes to setting limits on those hours.” In most cases, I accept that this will all work okay, but we all know of the usual ploy whereby developers submit an application for 20 homes, which is granted, and then they slap in a revised application for 40 homes, which local authorities are afraid to reject in case they lose an expensive judicial review case. Developers and experts manipulate local planning authorities again and again. That is why a national backstop is required.
I strongly support Amendment 56 in the name of my noble friend Lord Randall, to which I wanted to add my name but left it a day too late. It is vital that environmental and wildlife concerns are taken into account. Local authorities must not grant any changes to planning applications until they have gone back and examined the environmental concerns expressed in the original application and any special conditions that the local authority then attaches. I am not suggesting that a new assessment must be carried out, or a whole new EIA, but that the original conditions of protecting the environment be maintained unless there is strong evidence that the proposed new construction conditions applied for create no adverse environmental or wildlife effects. This is not just a matter of disruptive work at night. Was there not a recent case of a company having to remove nets from trees and delay construction because it would have been disruptive to birds nesting at that time of year?
I have done inadequate justice to the speech my noble friend Lord Randall will make on his amendment. I look forward to him setting it out in his usual concise, but highly authoritative and expert, manner. I am proud to give him my support.
My Lords, my name is attached to Amendments 52, 54 and 79. The noble Baroness, Lady McIntosh of Pickering, has made an excellent case for Amendment 52. I also fully support the amendment in the name of the noble Lord, Lord Randall of Uxbridge. These amendments are all broadly similar. It is important that no applications are permitted for changes to existing conditions if they are there to reduce, remove or limit environmental impacts. Existing conditions are in place as a consequence of detailed planning consideration at an earlier date. Such restrictions, agreed or imposed then, should not be affected by this legislation and I seek the Minister’s confirmation that my fears that they could be are completely unfounded. Amendments 52 and 56 would solve the problem and I hope that the Minister feels able to accept them.
Amendment 54, in my name and that of my noble friend Lady Pinnock, is about fees charged by local authorities. It proposes a fee for extended construction hours, up to a maximum of £195, which is a reasonable figure to write into the Bill. The principle is that councils should be able to recover their costs. It does not need to be about profit, but it must ensure that the direct costs of processing, assessing and agreeing an application are achieved. Neither does it need to be about full cost recovery, if that includes councils’ general overheads. The principle of recovery of direct costs for an application is a reasonable conclusion to reach.
Amendment 79, proposed by the noble Baroness, Lady McIntosh, would ensure that any further regulations made by the Secretary of State would require scrutiny through the affirmative procedure. That is the right approach and I fully support it.
My Lords, I thank the Minister for his announcement of the concession that the Government will bring forward an amendment to address the issues which I raised on Amendment 73. We had a very productive meeting with the noble Baroness, Lady Penn, and the noble Earl, Lord Howe. We made some points, the Government listened and I am very grateful.
My Lords, it is always a pleasure to follow the noble Lord, Lord Kennedy, particularly when he is in grateful mode. I will speak only to Amendment 80, which is a probing amendment and links to the other amendments in this group only to the extent that the Bill contains temporary measures suitable for the medical and economic emergency imposed upon us by Covid-19.
As I said at Second Reading, I want to understand the sunsetting provisions in the Bill on which, in principle, I congratulate the Minister. Will all the provisions in the Bill lapse, and when? If not, why not? Why is there a disturbing provision in Clause 25 to,
“make transitional, transitory or saving provision in connection with the expiry of any provision of this Act”?
This seems extremely open-ended for an emergency Bill. How do we ensure that the various measures in the Bill are not extended when they have been subject to a relatively low degree of scrutiny?
My Lords, I too welcome the eloquence of the noble Baroness, Lady McIntosh, in speaking to her amendments. Like my noble friend Lord Kennedy, I welcome the concession that the Minister gave. I will speak briefly to Amendment 61, which intends to ensure that developers do not delay implementing planning consents.
Clause 17 is another example of lack of ambition in the Bill. It proposes extending the time limits for planning permissions where development has not yet started. There is a horrendous shortage of homes for people, the worst since World War II. Yet there are over 400,000 houses waiting to be built in England and Wales where planning consent has been given but not yet implemented. Developers are dragging their feet to manipulate local property markets. They build up land banks—stocks of sites on which planning consent has been given—but go slow when it comes to completing development, expecting land values and property prices to rise in the meantime.
The Government could have explored applying council tax to sites where planning consent has been given but development has not gone ahead. They could even have considered rendering planning consent liable to forfeit if development is not complete within a reasonable time, perhaps five years as this amendment provides. Instead, the Bill sidesteps the scandal of developers with planning consent leaving construction sites idle for years. This amendment seeks to address that and get the millions of affordable houses we desperately need built after this Government’s terrible record of promising great numbers and delivering pathetically low ones. I therefore hope that the Minister will respond positively.
My Lords, I give my full support to Amendment 53, in the name of my noble friend Lord Blencathra. I will disappoint him when I speak to my Amendment 56, which he has kindly supported, because I do not indulge in long speeches of expertise.
These two amendments seek to give clarity to local authorities about what can be allowed. I am sure that my noble friend the Minister will reassure me, as he has already done at Question Time and elsewhere, that the Government will not be relaxing any planning rules regarding environmental protections. What worries me is that, in practice, a lot of developers—and, to some extent, councils—are not sure exactly what this means. For example, I am sure that the newspaper headlines will say, in relation to my noble friend’s amendment, that building work can be done at any time. There may well be local conditions, but many people will be confused. It is exactly the same, except that residents can actually complain and get things sorted out. However, the natural world and the environment have no such voice. I know of many examples, both locally and elsewhere, where developers will ride roughshod over some of the conditions in the hope that nobody understands them.
What I want from these two amendments is what my noble friend described as a national backstop. I want clarity in the Bill, so that people know exactly where they stand.
The noble Baroness, Lady Valentine, has not joined the list so, after the noble Lord, Lord Campbell, I will move on to the speaker after her.
My Lords, I will speak to Amendments 55 and 57, originally put down by my noble friend Lady Pinnock and to which I have added my name. The reason I do so is that, at Second Reading, I raised the question of the possible impact on amenity of those who might be affected by the extension of working hours. In response, the noble Earl, Lord Howe, met my argument by saying that it was always a question of balance. Self-evidently, of course, that is correct, but the question is whether the balance is tilted in these proposals against individuals and organisations that might be affected by an extension of hours. It is important to remember that conditions in relation to hours are put down in order to preserve amenity, and if a planning authority has reached a certain judgment in relation to that, such that an extension as proposed is granted, then self-evidently amenity will have been affected. We tend to think of these matters as being about individuals, but of course hostels, schools, care homes and churches might all be liable to be affected.
It is worth reminding ourselves—there has already been a passing reference to it—that the duration of works can extend to a whole day. As I understand it, any extension granted would have effect until 1 April 2021, so this is not a temporary matter, and it is possible to conduct these extended operations seven days a week. That is why Amendment 55 is a reasonable and sensible obligation to place upon an applicant. It requires an assessment of impact on the community and plans for mitigation of any such effect. Here, to some extent, it echoes the position of the noble Lord, Lord Randall, on the need for an assessment of the impact on the environment and conservation interests and plans to minimise disturbance. I venture to suggest that an obligation to produce an assessment is as much in the interests of the applicant as it is of the planning authority.
Amendment 57 seeks to extend the period of 14 days by agreement and therefore allows for proper consideration and, if necessary, co-operation between the planning authority and the applicant. It is clearly the case that if these matters could be resolved by co-operation, then that is much more likely to be an acceptable solution for the applicant, the authority and the citizens or institutions that might be affected.
My Lords, it was always my intention to speak only to Amendment 73, to which I have added my name. I thank the Minister for coming forward with what we all hope will be a resolution to what was, I am sure, an oversight in the drafting of the Coronavirus Act. We must make sure that those amendments will permit the development corporations and, I hope, Transport for London, to hold their meetings remotely, including remote access for members of the public. I thank the noble Earl, Lord Howe, who wrote to me on this subject, suggesting further discussion and acknowledging the problem. I also thank the noble Baroness, Lady Valentine, who, realising that she would be unable to speak on this occasion, sent me a quick email—knowing that I was going to address the topic—just to say how important it was to her to find a resolution. She was CEO of London First, championing bringing the Olympics to London and helping to find business support. She was particularly keen that it would leave a lasting legacy for that area of London and that the London Legacy Development Corporation would be able to do its job to the full.
Amendment 73 had a weakness in that, although it addressed the problems in the development corporations, it was not clear that it would also cover Transport for London. As a former board member of Transport for London, I was particularly anxious that that should be included. Again, I thank the Minister and look forward to seeing the actual language. I hope that this matter is rapidly coming to a conclusion.
My Lords, I want to mention one particular amendment—Amendment 61, in the name of the noble Lord, Lord Hain—and then make some general comments. The planning pipeline problem has been with us for as long as I have been in politics. When I saw this amendment, I reflected that as long ago as 1975, I was invited by the then Environment Secretary, Mr Tony Crosland, to join a working party he had set up to deal with the planning pipeline. Unless we pass something like Amendment 61, we are never going to get on top of it because getting planning consent is not regarded by many developers as anything to do with getting the buildings up; it is to do with getting yourself a nice comfortable pipeline so that you can choose from a number of planning consents as to the way you can make the most money or the way in which you can manage to get your planning consent redesigned so that, as my noble friend Lord Blencathra said, 20 houses becomes 40 houses. I do not expect that the Minister will accept Amendment 61, but I hope that he will accept that it is vital to get to grips with the planning pipeline. That will involve a method of revoking consents, which is absolutely essential in getting these houses built that this country needs so badly.
I said that I would also make a general point. Nearly all the amendments in this group are about maintaining standards. It is very important that we do not get carried away with Bills like this to a point where we are getting rid of the standards that we have looked for and developed over so many years. Most of the standards, whether they be on animal protection, noise or the timing of developments, have been hard won and hard fought for. I hope that, in our general philosophical approach to this matter, we do not let standards be weakened out of panic. Of course we want to get the economy going again, but we do not want to do that by sacrificing all the gains we made in the past. Overall, without speaking specifically about any other amendments, I hope that the general thrust, which is the protection of rights already won, will be at the heart of the Government’s response to this set of amendments.
My Lords, having listened to the speeches of other noble Lords, I am beginning to wish that I had signed more amendments in this group. The noble Lord, Lord Hain, for example, on land banking, and the noble Lord, Lord Randall, both made excellent points, and I wish I had been involved in that.
I want to speak about construction permits, because the conditions that are placed on them at the moment are subject to a lengthy and intensive consultation and decision-making process. The conditions try to strike a balance between the competing interests of developing land and protecting the community and the wildlife around the development. I am deeply concerned that Clause 16 will throw much of that balance out of the window in favour of long construction days with little regard for the impact on the community—their rest, their sleep and their mental welfare—and on wildlife. Construction hours can already be long and noisy, routinely running from 8 am to 6 pm, especially at a time when large numbers of people are staying at home and, in the summer months, may have windows open or be outside. Therefore, extending construction hours will create an unacceptable noise burden for too many people.
I am also concerned about the impact that extended construction hours will have on the construction workers, many of whom are self-employed. What will the Government do to ensure that extended hours do not create unsafe working conditions or lead to other detriment for those workers? There might be limited situations in which extending construction hours is warranted, but generally Clause 16 is far too broad and will cause far too much disruption for local residents near noisy building sites.
The noble Lord, Lord Sheikh, has withdrawn from the list of speakers, so I call the noble Baroness, Lady Pinnock.
I remind noble Lords of my interests as set out in the register as a councillor and a vice-president of the Local Government Association. We on these Benches understand and support the Government’s purpose in bringing forward the changes to hours of construction in the Bill. It will enable a phased start at the beginning and end of the day for construction workers to ensure social distancing and provide an opportunity for developments to catch up on the last three months. But rather than be prescriptive about hours of working—although I have sympathy with the amendment in the name of the noble Lord, Lord Blencathra—Amendment 55 in my name and that of my noble friend Lord Campbell of Pittenweem would ensure that the extension of hours took into account the impact that these had on residents, the wider community and the environment.
Planning conditions set out as part of planning consent invariably include limits on hours of working. As a rule, these are 7 am to 6 or 7 pm. They are there to minimise any impact on neighbours. Extension of these hours must therefore include mitigations for those affected. That could be, for example, to restrict hours when deliveries can be made, as construction traffic is often one of the main local concerns. Extension into the evening or a much earlier start will mean lighting up the site, with the inevitable impact that brings with it. Amendment 55 would balance out these issues, and that is the purpose of the further Amendment 57, again in my name and that of my noble friend Lord Campbell. Considerations about hours of working inevitably include not just planning officers but highways and environmental officers, hence we propose that, by agreement, developers and the council can extend the time for consultation beyond the 14 days. Some construction companies understand that working with local communities rather than bulldozing their way through to get what they want, regardless, has many benefits.
Amendment 54 in my name and that of my noble friend Lord Shipley would ensure that the planning authority was recompensed for the work done to extend hours. The minimum fee is £195 for planning applications and seems appropriate in this case. The Government must ensure recompense for work done. Planning consultants working for the developer will undoubtedly be paid handsomely for making the application to extend hours. It is only right that those making the decision be recompensed as well, and I hope that the Minister will be able to respond positively to that proposal.
The cross-party Amendment 73 is clearly about an administrative oversight and I am pleased that the Minister has given notice that the Government will seek to put the matter right. The three-month review proposed in Amendment 58 by the noble Baroness, Lady Wilcox, is one that the Government should consider carefully. A change of construction hours appears straightforward on paper but has many ramifications in reality, and time set aside to reflect is always a good idea. With those comments, I trust that the Minister will accept that our amendments are constructive in purpose and are in the interests of achieving a fair balance between construction, communities and the environment, and that the Government will be prepared to accept them.
My Lords, Amendment 58 in my name would explore how the changes to construction hours might impact on those employed in the industry. The changes are welcomed by Unite the Union, which represents construction workers in the UK, but I understand that there are concerns that any extension of hours does not simply lead to workers working extended hours. A better situation would result in staggered shifts, allowing more construction workers to be employed on the site while maintaining social distance. I am sure that it is not the Government’s intention that longer operating hours will adversely impact those on site, but I would be grateful for assurances on how that will be guaranteed.
On the broader planning amendments, as the former leader of Newport City Council and leader of the Welsh Local Government Association, I speak from personal experience on these issues. I am all too familiar with the need to be cautious of the adverse effects on the environment, wildlife and of course of the need to take into account the views of local residents. My noble friend Lord Hain spoke eloquently about the scandal of land banking when over 400,000 homes are waiting to be built across the UK. Indeed, it was and still is a constant source of tension in local authority planning departments as developers await a rise in land and home values and just sit on their given permissions. My noble friend’s idea of a forfeit of planning consent is an excellent one. It would gain much support in local government. Most importantly, it would allow for homes to be built again to try and assuage the great need that we have for homes across the UK.
I hope that the Minister will offer assurances that he will engage with local authorities to stress the importance of these factors. Furthermore, I am glad to support the comments of my noble friend Lord Kennedy in welcoming the changes announced by the Government to Amendment 73 ensuring that the mayoral development corporations, TfL and the London Legacy Development Corporation can hold virtual meetings, as they are also planning authorities.
My Lords, these amendments relate to construction site hours and virtual committees. We welcome the intention behind Amendment 73 on virtual committees, tabled by the noble Lord, Lord Kennedy of Southwark, and the noble Baronesses, Lady Kramer and Lady Valentine. It would amend Section 78 of the Coronavirus Act 2020. The Act was drafted at pace and the omission of the bodies listed was an accidental oversight, so I am pleased to tell the Committee that, as announced earlier, we are bringing forward an amendment on Report to deal with the matter. With regard to the length of construction hours— a point raised repeatedly by the noble Baronesses, Lady Jones and Lady Pinnock, and the noble Lord, Lord Campbell of Pittenweem—this is all about the balance between getting Britain building safely again and amenity.
I thank the noble Baroness, Lady Pinnock, the noble Lord, Lord Shipley, and my noble friends Lady McIntosh, Lord Blencathra and Lord Randall for amendments to Clause 16. My noble friend Lord Blencathra’s Amendment 53 deals with works in proximity to residential dwellings. I assure him that the planning authority will still have discretion to refuse applications that it considers would have an unacceptable impact. The draft guidance published alongside the Bill highlights that careful consideration will need to be given to whether to refuse applications made in relation to developments that are in close proximity to residential areas where the request is likely to have a significant impact on health. The guidance also flags up the need for the local planning authority to take into account its other legal duties to protect people in the locality from the effects of noise.
I will take Amendments 54, 55 and 57 tabled by the noble Baroness, Lady Pinnock, in order. First, in response to Amendment 54, I say that there should be no fee in the current circumstances. This is a temporary measure that deals with a specific issue and is accompanied by clear guidance. We do not believe that the average planning department is likely to receive a great number of applications through this route such that it would create a significant new burden.
On Amendment 55, the draft guidance encourages developers to work closely with their local community and the local planning authority to undertake any noisy works that may affect residents during normal working hours and to implement mitigation measures. The local authority has the option to enforce against any breach of such approved plans and can enforce against other unacceptable impacts through the statutory nuisance framework.
I thank my noble friend for his eloquent summing up and all those who have spoken on this group of amendments. I thank the noble Lord, Lord Shipley, for his support for my amendment. Given what my noble friend the Minister said in response to Amendment 52 regarding the accompanying guidance—that regard is had to the environmental impact assessment and the habitats regulations assessment—and given that, in response to Amendment 79, he said that regulations would be subject to either the draft-affirmative or the made-affirmative procedure, I beg leave to withdraw Amendment 52.
We now come to the group beginning with Amendment 59. I remind noble Lords that anyone wishing to speak after the Minister should email the clerk during the debate and anyone wishing to press this or any other amendment in this group to a Division should make that clear in debate.
Clause 17: Extension of duration of certain planning permissions
Amendment 59
My Lords, I should draw attention to my interest as chair of the Cambridgeshire Development Forum, as entered in the register. As other noble Lords have done, I express my thanks to my noble friends for their discussions following my speech at Second Reading and for the very helpful letter from my noble friend Lord Howe.
I confess that all 13 amendments in this group are mine, but they are to achieve two purposes. The first is to substitute June for April, so extending time limits on permissions and listed building consents. Clause 17 relates to planning permissions; Clause 18 relates to outline planning permissions; Clause 19 relates to listed building consents. In all three cases, the Government have given a three-month extension from December to the end of March. My amendments would take that from 1 April to 1 June. Nine of the amendments are to achieve that in relation to these three clauses. The other amendments, which I shall come to later, are to deal with the circumstances in which those planning permissions should be revived or extended where additional environmental approval has been sought and given.
I start with the question of adding two months to the proposed three months' extension. There is a balance to be struck, and I quite understand the thinking of my noble friend and the Government. They want to reflect the fact that there has been a delay—a serious interruption—to the delivery of the project pipeline for development; equally, they do not want to extend so far as to allow for such developments to be delayed when they could and should proceed. I completely understand that. From my point of view, this is not a probing amendment; it is my assessment of what a practical decision is in the light of all the circumstances.
As I mentioned on Second Reading, practical issues may have been lost sight of in substituting the three months lost—essentially, April, May and June—with three months gained: January, February and March. The most obvious, which I mentioned on Second Reading, is that the industry has lost three months of prime building season in the middle of late spring and early summer and is receiving, by way of compensation, time in the middle of winter. We do not know what seasonal effects January, February and March 2021 will have but if they were particularly inimical to development, it would mean quite a significant deficit in the opportunity for development. From my conversations with housebuilders it is not the case that on returning to site, generally in late June, they were able to do so on the basis of achieving full capacity. Many were starting at 50% capacity; those who I talked to only a week ago were generally at 80% capacity. The pipeline will have lost a further few weeks by the end of December. Adding that together, one might say “If not three months, perhaps four—or even five”. It depends on how one looks at it.
My noble friend Lord Howe has very helpfully said that in any case, all one needed to do is to implement a planning permission. He said: “Digging a trench or pegging out a road may suffice”. I have to tell him that I have looked into this and the courts have often taken a view about what commencement might be. Digging a trench might be sufficient; pegging out a road probably is not. The point is that neither takes account of two significant additional factors. First, when one commences development, often one also commences a legal obligation for community infrastructure levy, so significant costs may then arise. One does not commence a development simply by digging a trench, walking away and saying, “I’ve done what the planning permission requires”. That is not sufficient and, in the eyes of many developers, would be quite an unwise thing for them to do. Secondly, one cannot simply commence development until one has received the discharge of pre-commencement planning conditions.
I checked with the Greater Cambridge Shared Planning service and as of the beginning of last week, on 6 July, it began to look at applications received on 15 April for the discharge of pre-commencement planning conditions. That is a 10-week delay. Of course, discharge of conditions under these circumstances would generally take eight weeks, so there is an 18-week potential delay. When one begins to add these things together—they are not necessarily in series but may be concurrent—none the less it is far from obvious, in my view, that these particular three months at the beginning of next year are a sufficient addition to the time which developers need to compensate for the time they are losing in the course of 2020.
My point here is that my practical view was, “Let’s add two months”. In this respect, I shared the exact view—which I reflected in asking my noble friend some weeks ago whether he would add six months to planning permissions beyond the end of December—of the Home Builders Federation. It has welcomed what the Government are doing and is grateful for their bringing forward this legislation, but in fact asked for 1 July, not 1 April. I have not asked for 1 July; I have asked for 1 June. I think there is a practical answer somewhere beyond 1 April, in the light of all the circumstances.
I have a very short intervention to make. I looked at this set of amendments in conjunction with the previous set. This is a sensible extension of the time limits, in my view, and I hope that those who will benefit from it—the developers—will have realised that this is adequate quid pro quo for the keeping-up of standards, which was the subject of most of the previous set of amendments. If we are to have a level playing field, this is what is wanted in return for what we want from them.
I have a short comment to make on the amendments of the noble Lord, Lord Lansley. He makes a strong argument in his request for a time extension to planning permissions and environmental approvals. I look forward to what the Minister has to say in this regard, because it seems to me that the case has been made.
My Lords, the amendments in the name of the noble Lord, Lord Lansley, highlight questions in the Bill relating to the duration of planning provisions. Amendments 59, 62, 66 and 68 beg the question of what the consequences will be should the Bill be delayed. The other amendments in this group demonstrate the lost time and capacity available for development during 2020.
The United Kingdom is suffering from a lack of affordable housing. We must build to a scale which has not been seen in recent decades. The pausing of developments in recent months would make this even more difficult. We should also be alert to the knock-on effects on housing stock should developers be forced to cease construction altogether. As I noted in the previous debate in relation to the comments of my noble friend Lord Hain regarding land banking, we must allow houses again to be built without delay to provide homes for the people of this country. I hope the Minister can offer assurances regarding these issues.
I am grateful to my noble friend Lord Lansley for speaking to this group of amendments which relate to the extension of planning permissions and listed building consents. These amendments have been supported by my noble friend Lord Balfe. Let me begin by saying that this is a very unusual and challenging time for the development industry, and we recognise that many developers of residential and commercial buildings have had to pause projects.
First, I recognise my noble friend’s comment that the proposed extension for those permissions and consents due to lapse close to 31 December 2020 will represent an extension of only three months, and I take his point about the quality of those three months. However, where a planning permission is due to lapse earlier in the year, for example in September, it would benefit from an automatic extension of closer to seven months. This, we believe, is proportionate.
Secondly, we should be clear that these measures to extend planning permissions and listed building consents are intended to support developers to implement their permissions—that is, to make a start on site—as we know that many of them will have experienced disruptions or delays due to the pandemic. However, it need not take very extensive works to implement a planning permission, and we think it is reasonable to expect starts on site to take place by 1 April 2021. I note my noble friend’s points about the community infrastructure levy, but we have made provisions so that the payment can be deferred and I am sure we will see improvements with regard to the current delays in the discharge of pre-commencement planning conditions.
Finally, my noble friend will be aware that we have included powers to extend, by regulations, both the 31 December 2020 date and the 1 April 2021 date to allow more or longer extensions, should that become appropriate. I am happy once again to commit to my noble friend on the Floor of your Lordships’ House that I would be pleased to engage with him on this matter in the coming months as we better understand how the industry is recovering from the impacts of the pandemic.
My noble friend also spoke to Amendments 59, 62, 66 and 68 to Clauses 17 and 18 in relation to the scope of the additional environmental approval process. These amendments would shift the cut-off date for those permissions which require additional environmental approval in order to be extended to April 2021. This date is currently set at the date these provisions take effect, which is four weeks after Royal Assent. My noble friend’s amendment would shift this to 25 June 2020 to cover just planning permissions that have expired. He will understand that where planning permission has lapsed, an extension effectively reinstates the permission, thereby permitting something that otherwise would not be allowed to go ahead. So it is right in those circumstances, having regard to our environmental commitments and obligations, to check whether the existing environmental assessments are still up to date. However, it is important that these provisions capture not only permissions which have actually lapsed, but those which, while technically still extant as of now, in practice could not be implemented within their original time limit. That is why it is right that there is a short delay between this Bill achieving Royal Assent and the cut-off date when these provisions take effect.
Developers with a permission that has not yet expired, but which is due to do so before these provisions take effect, still have the option to implement their planning permissions now, if they can. This would avoid any need to apply for additional environmental approval. If they cannot, it is right that before an extension is granted, there should be a check on whether the requisite environmental assessments remain up to date. The process for doing so is not burdensome, is focused and would be free of charge for applicants.
I hope that with this assurance my noble friend will feel able to withdraw Amendment 59 and will not press the others in this group.
My Lords, I am very grateful to my noble friend Lord Balfe and the noble Baronesses, Lady Pinnock and Lady Wilcox, for their contributions to the debate and for their positive remarks. I am also grateful to the Minister for his response. He demonstrated that he is trying to work this through as a practical issue. There are powers in the Bill to change the dates for the extension later on by way of regulation. I will consider what he said in his reply before we think about this on Report. It seems to me that if we recognise the strength of the case we should perhaps reflect it in the Bill to some extent, but there may be other and better ways of achieving that than in my amendments to date. I beg leave to withdraw the amendment.
I remind noble Lords that anyone wishing to speak after the Minister should email the clerk during the debate, and anyone wishing to press this amendment to a Division should make that clear in the debate.
My Lords, in my first contribution I should have declared my interests as a vice-president of the Local Government Association and as president of National Pubwatch.
Amendment 76 in my name is a solitary amendment and was first raised in the other place by my good friend the Member for Hackney South and Shoreditch, Meg Hillier MP. The intention is to allow Parliament to consider the impact of the measures introduced by the Bill and to repeal them should unintended consequences occur. I very much agree with my honourable friend in the other place that it is particularly important for Parliament to take a power to repeal measures since so little time has been given for the Bill to be debated. Are noble Lords satisfied that we have had sufficient time to scrutinise the Bill? I suggest that we have not had enough time, but there is a lot of pressure to get it agreed. It is therefore important to ensure that we have a mechanism to deal with issues.
There is one important difference between my amendment and that which was debated in the House of Commons. In the amendment before the House of Commons it was for the Commons to conduct the review, while my amendment gives a role for the House of Lords. That is in recognition of the expertise in this House. For me, that was an omission in the discussions in the other place.
I expect I will shortly be told that this amendment is unnecessary as the Bill includes a provision for the affirmative procedure for draft regulations, but that affords little scrutiny, especially in the Commons where only a small number of MPs have the chance to raise concerns. This amendment would allow Parliament to review the impact of the provisions in the late autumn. If the Minister is unable to accept it, perhaps he could explain how the Government will allow the House otherwise to repeal aspects of legislation should the concerns around provisions prove founded. I beg to move.
My Lords, I support the noble Lord, Lord Kennedy of Southwark. I spoke about this issue at Second Reading and said that there was a need for quarterly reviews of the practical operation of this legislation, with scope for amending it if there were unforeseen or unintended consequences. The Minister said that he did not wish to “compromise the stability” that the Government sought and wanted to avoid “an unpredictable cliff edge” for those implementing the legislation who might find it difficult if the law changed constantly.
I understand that perspective. Of course, the solution is to proof this legislation properly: first, against mistakes, and secondly, by providing a means of putting right any unforeseen consequences of the Bill. I venture to suggest that there will be some unintended consequences; the question is how they will be put right. How will mistakes be corrected during the operation of this Bill, and would not the simplest means be to do what the noble Lord, Lord Kennedy of Southwark, suggests?
We do not seem to have the noble Baroness, Lady Uddin, so I call the noble Baroness, Lady Pinnock.
I too support this amendment, moved by the noble Lord, Lord Kennedy. The issues were raised at Second Reading. There will be unexpected impacts as a consequence of the ramifications of this Bill on both licensing and planning legislation. There must be a means of addressing them in a timely way. So far, we have not heard from the Government how that will be done. The noble Lord has brought forward a reasonable proposal for how any issues that arise from the Bill could be addressed, but as yet the Government do not appear ready to accept it. I look forward to what the Minister has to say in response.
My Lords, I am grateful to the noble Lord, Lord Kennedy, for his amendment.
First, I recognise that this legislation is passing through Parliament at considerable speed. Your Lordships rightly stress the importance of scrutiny. However, any review of the kind proposed by the noble Lord should be proportionate to the issue in question. The measures in this Bill respond to the specific conditions created by the Covid-19 pandemic. We have already ensured that the vast majority of those measures are explicitly temporary or relate to temporary schemes.
Amendment 76 would create a potential cut-off to the Bill’s provisions every quarter. The Government believe that that would be very unhelpful and undermine the purpose of the Bill. Surely we need to give the economy and businesses stability and reassurance. Bringing these measures back to Parliament every three months for positive reapproval would create the very thing that businesses want to see the back of—uncertainty—and would severely dilute the benefits intended in the Bill. We cannot expect businesses and local authorities to operate not knowing whether these measures will be turned on or off every quarter. Construction work may be delayed or cancelled, vital freight vehicles may lie dormant, and businesses may find it difficult to operate.
Indeed, different sectors will need their provisions for different amounts of time. The different end dates of the temporary provisions in the Bill reflect the different effects of Covid-19 according to sector. For example, the challenges facing restaurants, bars and pubs are not the same as those facing HGV drivers, developers or construction firms.
I am not dismissing the case for scrutiny. Parliament will still be able to monitor and scrutinise the Government’s actions in all the usual ways. Let us bear in mind that, as the noble Lord reminded us, the powers to extend the duration of the temporary measures are subject to the affirmative procedure to provide opportunity for thorough scrutiny of the use of these provisions. As my noble friend Lord Greenhalgh outlined yesterday, we will also accept the Delegated Powers and Regulatory Reform Committee’s recommendation in relation to the powers to extend measures in this Bill, to ensure that the effects of coronavirus are part of that consideration.
The noble Lord, Lord Shipley, asked how we as a Parliament will monitor mistakes and how those mistakes will be corrected. The answer is that built into these provisions are flexibilities that lie largely in the hands of local authorities, which can, taking pavement licences as an example, amend conditions or remove the licence altogether. In so far as we have devolved powers to local authorities, they have the ability to correct mistakes, if one can put it that way.
My final point, which I invite the noble Lord, Lord Kennedy, to reflect on, is that a rolling review would mean that we could not implement the two permanent measures in the Bill. We would not be able to reform the Planning Inspectorate appeals system, as was recommended by the Rosewell review and has already been implemented in Wales, and we would not be able to future-proof rules for temporary exemptions from heavy vehicle testing. The existing rules allow for exemptions to be issued on a blanket basis during exceptional circumstances. The measures in this Bill will allow the Government to issue exemptions on the basis of road safety risk, while still being constrained through regulations to issue these exemptions in relation to exceptional circumstances. This corrects a deficiency in existing emergency powers.
For these reasons, I cannot accept this amendment and I hope that the noble Lord will feel able to withdraw it.
I have received a request from the noble Baroness, Lady Uddin, to speak briefly after the Minister.
My Lords, I wanted to speak in support of the noble Lord, Lord Kennedy of Southwark. I was not able to do so because I was muted from the other side; I therefore seek the leniency of the House in making my points.
In the past few months, we have become accustomed to approving measures retrospectively. Our debates have become mostly redundant because of the need to accommodate the next set of schedules and amendments. It has been important for me to put forward my views on this Bill.
Given the significant role of local authorities in the recovery of our communities, the reporting requirement in this amendment must detail the extra cost of how measures in this Bill will have an impact on local communities, as it is not clear. As a former councillor, I fear that the inevitable result will be a greater workload and higher cost for most authorities, including planning services. Many local authorities have been put on the back foot by some of the proposed measures and, by all accounts, feel sidelined.
As the noble Lord, Lord Paddick, and other noble Lords passionately detailed, it is local authorities and local police forces who will have to manage the fallout and environmental impact of any breaches or disputes and mop up after anti-social behaviour. I am in complete agreement with the points made yesterday by the noble Lords, Lord Paddick and Lord Sheikh, about the result and detrimental impact of increasing the availability of alcohol. Therefore, this House requires more than assurances on reducing closing times. The impact can be felt by local residents—as well as the police and health services, of course—long into the night.
I am also concerned about the planning aspects of the Bill coming into this emergency process. The three-monthly review required by this amendment is of the highest imperative in warranting the necessary transparency in, and safeguarding of, local consideration of public interests. The Bill would worryingly enable planned development delayed by the Covid-19 outbreak to go ahead, forgoing the usual standards, such as requirement of local public consent, as eloquently detailed by the noble Lord, Lord Balfe, and others.
I appreciate that responding to housing need is of the utmost urgency. As a former deputy leader of Tower Hamlets Council, I am also fully conscious of the central role of local authorities in the planning process, and their duties and obligations to meet the needs of local residents and communities. This is equally significant when considering the environmental and health effects of long working hours on residents, particularly children. What provision will be made for environmental standards in the proposed local government emergency planning reforms?
It is worth reflecting on the Government’s own recent deluge of impositions, usurping the local planning process, which would have obvious detrimental consequences, incurring significant financial loss to the community benefits available from a number of local planning permissions granted. For decades, this has been a creative partnership route, allowing local authorities to build a fairer and more balanced mix of social and private housing and community facilities. The delay to accessing the community interest levy suggested in the Bill is deeply unsatisfactory. What consideration will be given to working with housing associations to ensure that good-quality family housing will also be built through permitted development rights —not just expensive housing creating segregated communities and further exacerbating social division? If the Minister is not able to answer, I would appreciate it if he would write to me and other interested Members.
No matter the political expediency, I see no value in, or justification for, management or planning decisions falling under emergency measures. I agree with my noble friend Lord Hain and the noble Baroness, Lady Wilcox, who have cited justified concerns and questions about land banking and other tensions within local authorities that they have to deal with. Local authorities should be at the heart of planning consent, and the Government should not persist in allowing fast-tracking for developers, which will inevitably compromise community housing needs.
The Bill would amend existing requirements concerning appeals to the Planning Inspectorate and would be a permanent change to the appeal procedure; it is a fundamental shift in local democratic accountability. Therefore, will the Minister assure the Committee that the quarterly review will encompass independent and local oversight of all planning applications granted for housing under this emergency legislation? Will he also make public any objections raised by local residents to safeguard due process in all planning consent while this emergency legislation is in place? I am extremely grateful to all Members for their patience.
My Lords, with the leave of the Committee, I will reply very briefly to the noble Baroness. I was sorry to hear her questions because it appeared from what she said that she is fundamentally against the purposes—or most of the provisions—of the Bill. I hope that is not the case and will of course consider the questions she has asked. I simply remind her that extensive consultation has taken place with the Local Government Association, voluntary bodies and local associations of various kinds, and we have not encountered hostility to the purposes of the Bill, which are of course to enable the economy—and businesses in the economy —to get going again after the dreadful pandemic that we have all endured.
We have, in fact, been over most of the points raised by the noble Baroness at some length already, whether at Second Reading or in these Committee proceedings. I also remind her that these are, with two exceptions, temporary provisions. The noble Baroness made as if to say that we were setting in stone forever provisions that she had considerable concerns about. This is not the case and I hope that, on reflection, she will feel that this is a Bill that the country wants and needs. I will look at her questions and respond in writing as appropriate.
My Lords, I thank the noble Earl for his response to my amendment. Obviously, I never intended to press it to a vote, and the noble Earl made some valid points on my amendment. Equally, I think I raised some valid issues with the amendment. As I said, I support the intention of the Bill and, as I raised here, I entirely accept that these are temporary measures. Equally, however, I think there is an issue if, when we put something in place that is temporary but causes unintended consequences, we have the solution be, “Oh well, hopefully I have the power to do something about it.” This may not be the tidiest way of dealing with things—let us leave it at that.
In a number of places around the country, we leave it to the local authorities to intervene and deal with the issues when we could have a mechanism to deal with them ourselves. Anyway, I hope that this will not be the case and will not be necessary, but I it is a valid consideration. I beg leave to withdraw the amendment.
I remind noble Lords that anyone wishing to speak after the Minister should email the clerk during the debate, and anyone wishing to press this amendment to a Division should make that clear in debate.
Amendment 77
Amendment 77 is also in the names of my noble friends Lord Hendy and Lord Monks, and the noble Baroness, Lady Ritchie. It promotes much closer employee-employer co-operation and requires the Secretary of State, within six months of the Act being passed, to lay before Parliament a strategy for employee-employer co-operation with regard to businesses implementing the Act’s provisions. In producing this strategy, the Secretary of State must consult trade unions and other organisations that represent employees, relevant businesses and any other persons the Secretary of State considers appropriate.
Surely the Government cannot possibly object to close partnership between employers, trade unions and —where no unions operate in businesses—employees. Will that not better help keep business running safely, rebuild the economy and support those businesses badly damaged by the Covid-19 crisis? Everyone acknowledges that this crisis is by far the greatest Britain has faced since World War II. Unless the Government extend open arms to trade unions and employees to work in partnership to overcome the crisis, they are disabling themselves and everybody else.
Trade unions have already demonstrated in practical ways their value in helping employers to work through this crisis while ensuring the health and safety of staff and customers. Take, for example, the communications sector, which has been crucial to keeping the nation connected and supporting economic activity through the lockdown. The Communication Workers Union, for which I should declare that I worked for 14 years before being elected a Member of Parliament, has played a critical role in sustaining our postal and telecoms services and helping businesses to open up safely where they were initially forced to close.
They have secured agreements with Royal Mail, British Telecom and a range of other employers on the adequate provision of PPE and social distancing measures, higher levels of protection for riskier front-line roles, the introduction of thorough workplace risk assessments, the safe use of vehicles, home working for office-based staff with suitable equipment, support for the clinically vulnerable and comprehensive safeguards for staff and customers in high street retail outlets before they opened in the middle of June.
The amendment also exemplifies what a missed opportunity the Bill represents. Yes, it provides a range of measures to help businesses develop new ways of working as the country recovers from Covid-19—but what a narrow range, and what tunnel vision. Paragraph 72 of the Explanatory Memorandum reports that representations have been received from the trade union Unite about the difficulties bus and truck drivers face in getting medical reports to keep their driving licences valid. Difficulties are understandable in current conditions, of course; not all today’s tailbacks are on motorways. Some are outside GPs’ surgeries.
However, what neither the Bill nor the Explanatory Notes acknowledge is the call by Unite the Union’s leadership for the Government to involve the country’s 100,000 trade union health and safety representatives in helping with test, track and trace and in finding safer ways of working that deal with the ongoing risks from Covid-19. Independent evidence shows that workplaces where unions are recognised have half the accidents of those where unions are absent. Have the Government even acknowledged Unite’s offer? There is, seemingly, no response to it in the Bill.
Clause 14 is a small step in the direction of helping businesses to adjust to safer ways of working, but what the British economy needs are giant strides towards a bolder objective—more productive ways of working—which is what this amendment is designed to achieve.
The Department for Business, Energy and Industrial Strategy recognised long ago that the way that work is organised and how people are managed are key factors in determining workplace performance results. None of that wider awareness is visible in the Bill. The Covid-19 crisis is also a chance to make workplaces more productive by encouraging closer co-operation at work and by challenging both sides of industry to boost productivity by working in partnership. The Bill, again, fails to grab that chance.
The crisis has shown that many established ways of working are past their sell-by date and that working people often have much more to offer than established working practices allow them to contribute. They are trapped in traditions and wrapped in routines that stifle creativity and dull initiative. Instead of work that they find fulfilling and rewarding, with opportunities for advancement, too many employees feel locked into undemanding humdrum jobs and are prisoners of rigid rules, hierarchical structures and narrow horizons.
The problem stems from both sides of the bargaining table. Too many managers cling to a command- and-control approach, fearful of sharing information with employees and too many union representatives, while talking a good game about teamworking and joint endeavour, although not necessary pursuing it. By working together, unions and employers can deliver big improvements in performance, boosting productivity and profitability, lifting living standards and improving job prospects. For instance, a mutual pledge on co-operation and a problem-solving approach to employment relations can free up management time, promote effective teamworking and improve dignity at work.
An agreed undertaking to find more flexible ways of working that suit both employer and employees can cut customer order lead times, boost motivation and morale and improve the work-life balance. A shared resolve to boost training and personal development can make continuous improvement a reality, ease the take-up of new technology and enhance employability and pay. A mutual commitment to accident prevention and risk avoidance can streamline production, boost reliability and make workplaces safer. Surely that is priority No. 1 in the Covid-19 crisis.
Both management and unions need help if we are to be able to grasp this opportunity to create a new framework for co-operation at work. Something like President Roosevelt’s National Labor Relations Board could even up the balance of power between bosses and workers and encourage union recognition. It could help poorly paid key workers and the nearly 4 million people in insecure jobs to get a fairer deal.
The Government should build on the success of Ministers’ recent sector-by-sector meetings with trade union and business leaders by backing sectoral bargaining. This could put a floor under pay and conditions of employment, raise standards and stop responsible employers being undercut by irresponsible rivals and workers being exploited unfairly. I have every intention of returning to this issue with my noble friends on Report unless, as I hope, the Minister can accept our amendment or at least embed in the Bill a version of it.
My Lords, I thank my noble friend Lord Hain for moving this amendment and I agree with everything that he said in support of it. I shall add just one point—the essential modesty of the amendment.
Last month, 30 June marked the 70th anniversary of the ratification by the United Kingdom of Convention No. 98 of the International Labour Organization, one of the two most fundamental conventions in international labour law. It has not merely been expressly ratified by no fewer than 167 nations but is also considered to be part of customary international law. Article 4 of the convention calls on ratifying states to take measures
“to encourage and promote the full development and utilisation of machinery for voluntary negotiation between employers or employers’ organisations and workers’ organisations, with a view to the regulation of terms and conditions of employment by means of collective agreements.”
Article 6 of the 1961 European Social Charter—of the Council of Europe, not the EU—was ratified by the UK 48 years ago and makes similar provision.
In addition to compliance with domestic law, the rule of law requires states to comply with such ratified provisions of international law. As the late Lord Bingham put it in his well-known public lecture on the rule of law in 2006, the existing principle of the rule of law
“requires compliance by the state with its obligations”
in international law—the law that, whether deriving from treaty or international custom and practice, governs the conduct of nations. I do not think that that proposition is contentious.
This modest amendment does not ask, as the UK’s binding international legal obligations do, for machinery for collective bargaining to be established in the present context. It merely asks for the Government to provide a strategy for collective co-operation. It is a point of principle shared by me and noble friends that workers should be involved in important decisions of the businesses that employ them, as that is to the mutual benefit of both, as my noble friend has just pointed out. Many such decisions will arise in relation to this Bill. For myself, I am unable to discern any rational objection to the amendment and I look forward to hearing the Minister on the subject.
My Lords, I support the amendment in the name of my noble friend Lord Hain. It underscores the principles of the machinery for voluntary negotiation, partnership and co-operation. Surely the Minister will see fit to support it. It would encourage good work between employers and employees to ensure better productivity, better performance and better output levels, bringing benefit not only to the business and the employer but to the employees, because they would be directly involved in the decision-making.
You have only to look at the work that Unite has been doing in the whole coronavirus operation with test, track and trace. I looked at the German model of work councils, which are very much about voluntary negotiation between the employee and the employer, giving due recognition to the work of both but underscoring the principle of better output and better performance. They boost profitability, lift living standards and enhance the job prospects of all the employees directly involved.
I am very content to support this amendment in the name of my noble friend Lord Hain because it would bring about better working relationships and better co-operation, which, particularly at a time of a pandemic, are urgently required.
My Lords, as employers bring back employees, even observing all the government guidelines scrupulously only reduces the risk of Covid—it does not eliminate it. That brings me to the issue of employers’ liability insurance and Covid, which I raised at Second Reading. I thank the noble Earl, Lord Howe, for his letter to me, in which he addressed the questions that I raised, but it seems that the problem remains. He wrote:
“Every employer carrying out business in Britain must maintain compulsory employers’ liability insurance, which insures them in relation to bodily injury or disease sustained by employees arising out of and in the course of their employment in that business. There are strict limits on the conditions and exclusions which such policies can contain.”
However, both employers and employees were very taken aback to find that business interruption insurance, which they thought covered them in an instance such as the pandemic, in most cases has not been applicable. Many will look at the terms of employers’ liability insurance and feel very uncertain that, in a case where an employee acquires Covid at the work site, they will be protected by that insurance, and of course employers share that same concern. There is a real worry that insurance companies will find some way out of being responsible for paying compensation or that they will ask the employers to add to and expand their insurance, at some extraordinarily exorbitant price.
I was interested in Amendment 77 because I am being realistic in recognising that the Government will not intervene at the moment to try to make sure that this insurance is adequate—and at the moment, insurers are not feeling a lot of pressure. But the coming together of employees and employers, which in a sense is outlined in Amendment 77, seems to provide a venue to create pressure and to place attention on this issue. I fear that, particularly if we have a second spike, it will become a very significant issue, and I do not want the pressure to try to deal with this matter to go away.
My Lords, Amendment 77 on employee and employer considerations, in the name of the noble Lord, Lord Hain, is a timely reminder that all the elements of the Bill have a consequence on working lives and employer responsibilities, and provide opportunities to develop better working practices and relationships. Liberal Democrats have long proposed employee involvement in businesses as a means for improvements to be gained, both by the employer and those employed. This debate is important, we support the sentiments, and I look forward to the response from the Minister.
My Lords, Amendment 77, in the name of my noble friends Lord Hain, Lord Monks and Lord Hendy, and the noble Baroness, Lady Ritchie of Downpatrick, introduces the issue of employer-employee relations and highlights the role of trade unions and other organisations that represent employees in determining the success of these changes.
The Government will want to engage constructively with the relevant trade unions, and it would help the House if the noble Earl could set out how he has consulted them during the drafting of the Bill and sought their views on the issues contained in it, which have a direct consequence for the people they represent.
The Bill seeks to support economic growth, but if workers, their views and the views of their representatives are not taken account of and their safety is ignored, that is irresponsible—and I am sure the Government would not want to do that. The worst thing of course would be if we did not take their views properly into account and that failure contributed to a second wave of the pandemic, which would be—health-wise and economically—an utter disaster for the United Kingdom.
I agree very much with the comments of the noble Baroness, Lady Ritchie of Downpatrick, about how we should look to Germany and the work it does there with its works councils. I was over in Berlin a couple of years ago and saw the great work Rolls-Royce was doing at its factory just outside Berlin.
My noble friend Lord Hain mentioned the Communication Workers Union, and I fully endorse his comments. I also pay tribute to USDAW, the shop workers’ union. I was a member of USDAW for many years. Its members, the shop workers, are the people who have kept our shelves filled, and not without abuse and assaults from people. There have been some disgusting stories of offensive behaviour that shop workers have had to endure from people coming into shops. We should pay tribute to them. During the passage of the Bill concerns have been raised with me by the Bakers, Food and Allied Workers Union, which of course has many members employed in pubs, about their safety as we move forward.
I also endorse the comments of my noble friend Lord Hain that managers and trade unions working together can make a huge difference for businesses, local authorities and the rest of the public sector, particularly the NHS. We should not forget that when we clap NHS workers, pay tribute to shop workers, rightly praise local government staff and call firefighters heroes, they are members of unions such as Unison, Unite, the GMB, USDAW and the FBU. They are the same people—there are not two groups of people, one of heroes and great workers and the other of trade union people. There is something that has always frustrated me, and I raised it many times when the noble Lord, Lord Bourne, was Local Government Minister. When we discussed the tragedy of Grenfell Tower, the frankly totally unfair attacks on the FBU by the Prime Minister always irritated me. I repeatedly raised that, because it was totally unfair. Those heroes are members of that trade union. I will leave my comments there, and I look forward to the reply of the noble Earl to the amendment.
My Lords, the noble Lord, Lord Hain, made some powerful and extremely significant points on co-operation between employers and employees, and putting that important principle into the context of the current crisis. I thank him for the way he did so. I also thank the noble Lord, Lord Hendy, and the noble Baroness, Lady Ritchie, who joined him in putting forward this amendment, and I thank the noble Baroness, Lady Pinnock, and the noble Lord, Lord Kennedy, for their contributions.
As has been explained, this amendment would require the Secretary of State to produce a strategy for employer-employee co-operation in regard to businesses implementing the provisions of the Bill, which should be done within six months of the Act coming into force. In producing the strategy, the Secretary of State would be required to consult trade unions, other employee representatives, relevant businesses and other appropriate parties. I hope that the noble Lord, Lord Hain, will take it from me that we recognise the importance of effective employer-employee relationships, particularly in the current context. We encourage a constructive approach from both sides.
The noble Lord, Lord Hendy, asked me to say why we would object to an amendment of this kind. We do not think that a ministerially led strategy for employee-employer co-operation is necessary in the context of the Bill. The simple reason for that is that decisions on how to implement the provisions of the Bill rest best with individual businesses, their employees and their representatives, who know far more about their specific circumstances than any government Minister. We do not need to involve the Government in those processes.
I agree that workers’ voices should be easily heard, so it is worth my adding that the Information and Consultation of Employees Regulations 2004 provide another important avenue for the worker’s voice in the workplace. We have recently lowered the request threshold from 10% to 2%, which we believe will encourage employers to be more open with staff about what is happening in their workplace. This has made it easier for employees to secure information and consultation arrangements with their employer on key matters relating to the employer’s strategic direction. That is another reason why we believe that this amendment is not necessary.
The Government recognise that trade unions can play a constructive role in maintaining positive industrial relations. Indeed, to answer the point made by the noble Lord, Lord Kennedy, we have worked with unions, employers and other parties throughout this pandemic to ensure that workplaces remain safe; we will continue to do so as the UK looks towards economic recovery. This is an important subject, not least because so many people owe their lives and their well-being to a great many trade union members. However, for the reasons I have given, and much as I am with the noble Lord, Lord Hain, in spirit, I am not able to accept this amendment. I hope that the Committee will agree and that, for now at least, the noble Lord will feel able to withdraw his amendment.
My Lords, I thank my co-signatories to this amendment, my noble friend Lord Hendy and the noble Baroness, Lady Ritchie. My noble friend Lord Hendy’s expertise and knowledge of employment law is second to none in this House. I am grateful to him for his support, as I am to my noble friend Lord Kennedy of Southwark—particularly for his mention of other unions such as USDAW and the bakers’ union which have been crucial in combating the Covid crisis. We can look right across the board, to UNISON in the health service, the Royal College of Nursing, the GMB and others, which have all played a vital role. This amendment seeks to get proper statutory acknowledgement for that role. I thank also the noble Baronesses, Lady Kramer and Lady Pinnock, for their support.
The Minister is always a model of ministerial courtesy and consensus. I thank him for that, but I find his argument that this amendment is not necessary, frankly, pretty shallow. The amendment is extremely modest, as my noble friend Lord Hendy underlined. All it is asking is for recognition that there should be consultation with trade unions and employees—and with other organisations where no unions are recognised. How can we combat this crisis effectively unless we are all pulling together? As we all know, we are facing an absolutely major crisis. Trade unions are performing a critical role. I find it very disappointing that the Minister is not able to support this amendment. Therefore, I give notice that my noble friends and I will seek to return with another, similar amendment on Report. Meanwhile, at this stage, I beg leave to withdraw this amendment.
(4 years, 5 months ago)
Lords ChamberMy Lords, a limited number of Members are here in the Chamber, respecting social distancing. If the capacity of the Chamber is exceeded, I will immediately adjourn the House. Other Members will participate remotely, but all Members will be treated equally wherever they are. For Members participating remotely, microphones will unmute shortly before they are to speak—please accept any on-screen prompt to unmute. Microphones will be muted after each speech. I ask noble Lords to be patient if there are any short delays as we switch between physical and remote participants. I should remind the House that our normal courtesies in debate still very much apply in this new hybrid way of working.
A participants’ list for today’s proceedings has been published and is in my brief, which Members should have received. I also have lists of Members who have put their names to amendments in, or expressed an interest in speaking on, each group. I will call Members to speak in the order listed. Members’ microphones will be muted by the broadcasters except when I call a Member to speak. Interventions during speeches or before the noble Lord sits down are not permitted and uncalled speakers will not be heard.
Other than the mover of an amendment or the Minister, Members may speak only once on each group. Short questions of elucidation after the Minister’s response are permitted but discouraged. A Member wishing to ask such a question, including Members in the Chamber, must email the clerk.
The groupings are binding and it will not be possible to degroup an amendment for separate debate. A Member intending to press an amendment already debated to a Division should have given notice in the debate. Leave should be given to withdraw amendments. When putting the Question, I will collect voices in the Chamber only. If a Member taking part remotely intends to trigger a Division, they should make this clear when speaking on the group.
My Lords, with the leave of the House, I will say a few words before we start. It is imperative that we complete this important emergency Bill today so that it can achieve Royal Assent on Wednesday. A large number of Members have indicated that they wish to speak, so I ask noble Lords to be conscious of that and, when participating, to keep their contributions brief and to the point. Of course, if a point has already been made, there is no need to make it again. I really do hope that all Members will listen to this and try to be co-operative so that we can get this important Bill passed tonight. Thank you.
Clause 1: Pavement licences
Amendment 1
My Lords, it is a pleasure to speak in this debate. In doing so, I thank the Minister and officials from the department for their positive and extensive engagement before and after Committee on these amendments and others. In deference to and out of respect for the Chief Whip, I will try to set the pace for the length of speeches going forward. I thank the Minister and officials for listening to and hearing many of the arguments that I and other noble Lords made, which are reflected in the government amendments on national conditions and the significant changes to the draft guidance that have been made.
This is in no sense a work of perfection but it is a huge step forward from where we were before Committee stage. I do not intend to speak to any of my amendments in this group. Safe to say, while there is still work to do on the guidance, which I am happy to participate in, the amendments that the Government have brought forward and the spirit in which they have done so have been more than helpful. Without in any sense wishing to curtail debate or seeking to guide the Government, I wonder whether, at some stage in the debate on this first group, it would be worth the Minister speaking in broad terms about the changes that have been made. This may also help there to be swifter debate on a number of the amendments that I and other noble Lords have brought forward. I beg to move.
My Lords, it is a pleasure to follow the noble Lord, Lord Holmes. I will speak to Amendment 4, which is in my name and those of my noble friends Lord Hendy, Lady Ritchie of Downpatrick and Lord Monks. It is an extremely modest amendment. It simply ensures that employees, trade unions and businesses are consulted and involved before a local authority determines a pavement licence application under Clause 3.
The coronavirus crisis has obliged the Government to set aside years of doubt about the value of consulting either the CBI, which they are sure is a hotbed of remoaners, or the TUC, which they viewed as the awkward squad. Since March, Ministers have consulted both sides of industry about how to keep firms afloat, how to keep workers and customers safe and how to stop supply chains seizing up.
Consultation has now moved on to lifting the lockdown safely and encouraging a confident and safe return to work. Those consultations have proved productive and surprisingly valuable. They have brought to the fore our shared interest in promoting the common good. Robust discussions have generated mutual respect. The Prime Minister’s “New Deal for Britain” speech even borrowed the phrase “build back better” from a TUC policy paper. We all seek inspiration wherever we can find it.
Business leaders accept that the trade union response has shattered the myth that the TUC spells trouble and some of my trade union colleagues have conceded that not all bosses are Neanderthals. Consultation and co-operation have necessarily become the name of the game in this crisis. Last month, the CBI elected a new president, the noble Lord, Lord Bilimoria, and appointed a new director-general, Tony Danker, to take office in November. Britain’s three biggest unions—Unite, UNISON and the GMB—are currently electing new general secretaries. A change of guard is a good time for a fresh approach.
Amendment 4 urges the Government to grasp the opportunity to establish a new framework for co-operation at work—one that makes consultation between business and unions the norm and gives workers a voice inside their workplaces and a say in their own futures. Unions have already demonstrated in practical ways their value in helping employers to get through this crisis. I mentioned some of these in Committee, as did my noble friends Lord Hendy and Lady Ritchie of Downpatrick. Unions have helped and have come out the other side better placed to thrive, as have employers.
The Communication Workers Union, for which I used to work, has agreed with the Royal Mail Group a four-step process to help employees who have been categorised as extremely clinically vulnerable or as a carer of someone in that category to return to duty. In May, the Food and Drink Federation, the GMB, Unite, USDAW and the Bakers, Food and Allied Workers Union highlighted how partnership between food and drink manufacturers, trade unions and employers has enhanced both the safety of workers and the effective running of workplaces. Ian Wright, chief executive of the Food and Drink Federation, said:
“Partnership between employers and unions has been crucial to continuing production over the last eight weeks.”
Britain’s biggest union, UNISON, has given fresh guidance to its workplace health and safety representatives on how to carry out inspections and investigate potential new hazards, such as Covid-19. It is also talking to employers to ensure that employees with underlying health conditions can work from home or, if that is not possible, are redeployed to roles where they are less at risk. Unite persuaded Rowan Foods to backdate sick pay to 1 June 2020 after a Covid-19 outbreak among the company’s workforce for any employees who tested positive and were isolating. It also negotiated an agreement with the 2 Sisters Food Group that all of the staff employed at its Llangefni site would be paid in full for the two-week isolation period imposed following the Covid-19 outbreak.
The GMB, Royal College of Nursing, UNISON and Four Seasons Health Care have agreed full sick pay for 15,000 care workers for any coronavirus-related absence. The long-standing partnership agreement between Tesco and USDAW is the biggest such deal in the private sector, covering some 160,000 staff. Tesco has agreed with USDAW that employees will receive contractual pay if they are following government guidelines to stay off work.
In a previous debate, the Minister, the noble Earl, Lord Howe, said that a ministerially led strategy on consultation was unnecessary, yet the Prime Minister wants us to draw inspiration from President Roosevelt’s New Deal, a federal government-led strategy that promised what Roosevelt called relief, recovery and reform. Roosevelt delivered a much more ambitious programme of employee consultation and investment in jobs than the Prime Minister has in mind; sadly, this Bill reflects a lack of ambition in that respect.
I wish to press the noble Earl to explain what exactly is wrong with this amendment and what is wrong with all the trade union agreements I have cited, which make everyone—workers, managers and the public—safer in the coronavirus crisis. Why do the Government not accept that employee consultation on navigating our way through this complex and dangerous pandemic should be the norm, to be officially and statutorily promoted?
This is an extremely modest, reasonable, common-sense amendment. It does not prescribe or constrict employers in any precise method of consultation. It simply states that they should implement it in a way that they feel is appropriate. I cannot for the life of me understand why the noble Earl, who is usually very responsive to constructive points, has not contacted me or my noble friends to indicate in advance his acceptance or, alternatively, to explain that he has tabled a government amendment to achieve exactly the same result in a different way.
My Lords, I declare my interests as on the register. Forgive me if I do not wax as lyrical as the noble Lord, Lord Hain, about the behaviour of the trade unions—especially the teachers’ unions, which have behaved atrociously. My remarks will also be considerably shorter.
First, wearing my hat as chair of the Delegated Powers Committee, I give a warm welcome to Amendments 16 and 87, giving effect to our recommendations that the guidance be converted into SIs. I mention them now so I will not speak on them when they are reached.
While I support what my noble friend Lord Holmes of Richmond said and while I think that my Amendment 10, setting out a simple minimum requirement of 1,500 millimetres on the face of the Bill, is better than what the government amendment says, nevertheless, the Government have moved considerably on this measure and I am content to accept that, one way or another, there will be sufficient consideration given to the needs of disabled people when setting out tables and chairs on the pavement. My noble friend the Deputy Leader has written to us, saying that
“guidance will make clear that in most circumstances, 1,500 millimetres clear space should be regarded as the minimum acceptable distance between the obstacle and the edge of the footway.”
The word of my noble friend the Deputy Leader is good enough for me. I have looked at the wording that he circulated in paragraph 4.1 of the guidance, which says the same thing. Accordingly, I will not move my amendment.
I also suggest that if the usual channels have an urgent discussion on this, the suggestion of my noble friend Lord Holmes for the Minister to speak early and set out the changes the Government propose would be helpful. Often, when a Minister speaks early, it antagonises the House, but this may be one of those occasions when it helps the House.
Finally, let me say that if, when I am out and about, I find that the gap is not wide enough between the tables, I shall simply bulldoze through them in my armour- plated wheelchair.
My Lords, I have no doubt that my noble friend Lord Blencathra would indeed go through in the way he suggests. I will be very brief. I am concerned entirely with the issue of pavement licences, and I raised these matters in Committee a week ago. When new constraints are imposed or new freedoms given—even if for only a very brief period, relatively speaking—it is important that we should know precisely where we stand. That is why I have said, in my Amendment 17, that the Secretary of State should have no discretion on whether he prescribes conditions: he must prescribe conditions. I have gone on to say, in my Amendment 18, that he must have regard for those who will be inconvenienced by these new freedoms and conditions, specifically people who are disabled physically or who are blind or partially sighted.
I am afraid I have not received the letter to which my noble friend Lord Blencathra alluded in his speech, and I therefore look forward to hearing what my noble friend the Minister has to say. I agree with both my noble friend Lord Blencathra and the noble Lord, Lord Holmes, that this is one occasion—there are few, but this is one—where it might be helpful to have an earlier ministerial intervention than normal.
I want to feel assured at the end of this debate that people who are physically disabled, blind or partially sighted are not going to be inconvenienced by the new freedom that has been granted to people to spill over on to the pavement. In earlier debates, we heard how very dangerous that can sometimes be. We must always have uppermost in our minds the proper protection of those who are not always able to protect themselves and who, perhaps unlike my noble friend Lord Blencathra, do not drive mini tanks fearlessly along the road or on pavements.
I will speak to Amendment 4 and endorse everything that my noble friend Lord Hain said in his powerful speech in support of it. As he pointed out, the striking thing about this amendment is its modesty. All it requires is consultation of relevant trade unions and businesses over the granting of pavement licences. As was pointed out in Committee, for 70 years and three weeks since it ratified ILO Convention 98 on 30 June 1950, the United Kingdom has voluntarily assumed the obligation to encourage and promote collective bargaining. The United Kingdom fortified its commitment to collective bargaining when it ratified a similar obligation in Article 6 of the European Social Charter in 1972.
The need for collective bargaining, particularly at sectoral level, was brought home when we learned of the appalling conditions and pitiful rates of pay—often less than half the national minimum wage—in the sweatshops of the Leicester garment industry. We saw that need again in the agricultural sector, when an outbreak of Covid-19 among workers at a vegetable farm revealed the appalling living and working conditions among the workers there. We know that, in agriculture, conditions and pay are so bad that it was found necessary to fly pickers in from Romania earlier this season, since British workers, even faced with unemployment and the terrors of universal credit, were not prepared to put up with them.
The answer in these and other sectors was explained long ago in the other place by Sir Winston Churchill, who in 1909 introduced legislation to make sectoral collective bargaining mandatory. I will read three sentences from his speech that day:
“It is a serious national evil that any class of His Majesty’s subjects should receive less than a living wage in return for their utmost exertions.”
He continued:
“where you have what we call sweated trades, you have no organisation, no parity of bargaining, the good employer is undercut by the bad, and the bad employer is undercut by the worst”.
He concluded by saying:
“where those conditions prevail you have not a condition of progress, but a condition of progressive degeneration.”—[Official Report, Commons, 28/4/1909; col. 388.]
Hence, the Trade Boards Act 1909 was introduced and passed.
My noble friend Lord Hain referred to Roosevelt and the New Deal. Part of that was the National Industrial Recovery Act 1933, which introduced sectoral collective bargaining widely in the United States. It is in these circumstances that I stress the modesty of the amendment my noble friend proposes today. There can be no sensible reason not to adopt it, and I commend it to the Minister.
My Lords, it is a pleasure to follow the noble Lord, Lord Hendy, in supporting the amendment put forward by the noble Lord, Lord Hain. This is not only a very sensible and modest amendment; it will provide a new framework for co-operation between businesses and employees, as the noble Lord said. Why not allow employees to have a say over the implementation of pavement licences, as they will be directly impacted upon and charged with the responsibility of ensuring that—shall we say—the letter and spirit of the law is adhered to?
Employees have discharged many responsibilities during the whole Covid pandemic. However, there is absolutely no doubt—and there is evidence-based research to prove—that when employees, employers and businesses co-operate, it boosts performance, production and profitability, lifts living standards and enhances job prospects. We can look to Germany and the role of work councils, which we talked about last week when considering a similar amendment in Committee.
I have no hesitation in supporting this amendment in my name and those of the noble Lords, Lord Hain, Lord Hendy and Lord Monks. I commend it to your Lordships’ House and ask the Minister to give dutiful consideration to accepting it.
My Lords, now that we have reached Report stage, I remind the House that I am a vice-president of the Local Government Association. I shall be brief. My name is attached to Amendment 20, which is part of a group concerned with safety and accessibility for all who use the pavement. At previous stages of the Bill, I have emphasised the need to set clear and enforceable rules on the use of pavements—and I prefer conditions to guidance.
The Government’s changes may well be a step forward, as the noble Lord, Lord Holmes of Richmond, has explained, but improvements could still be made. Amendment 20 would help to achieve these, and I hope that the Minister will explain how the Government’s approach will deliver the degree of certainty we are looking for to enable our pavements to be accessible for all.
My Lords, I will speak in support of Amendment 4. As my noble friend Lord Hain said, the Bill misses an opportunity to engage trade unions fully in the measures it proposes, specifically on the issue of pavement licences. In his excellent new biography of Ernest Bevin, which I commend to the House, my noble friend Lord Adonis quotes from a letter from Bevin to the boss of ICI during the Second World War. In it, he proposes a round table for every workplace and says:
“Present methods tend to emphasise the apparent conflicting interests, whereas, if we could get round the table and get that idea suggested, we should get more emphasis on community of interest engaged together on a common task.”
Ironically, this message was better received in west Germany than it was by employers in the UK and other places. Germany’s impressive results are well known to Members of this House.
This amendment covers one small area, but it also looks to pave the way to a round-table approach from now on in the much-changed environment in many workplaces. Working from home, social distancing, protective clothing, and new hygiene standards are now features of work for many. For them to be successful, they need consent, support and active encouragement from all concerned. The noble Lord, Lord Blencathra, referred to the teachers’ unions. Our message about round tables and partnership is aimed at everybody, including employers, trade unions and other organisations, including local authorities. What has been happening in Leicester? The workshops there show a serious failure in that city—although not just there—to engage workers properly on health and safety and, no doubt, other matters too.
The Chancellor said recently that the Government would look after employers who looked after their workers, but we need more than paternalism. We need a sense that we are all in this together and breeding an idea of partnership. As my noble friends have said, that sense of common endeavour was a key feature of Roosevelt’s New Deal, which the Prime Minister has been extolling. Roosevelt promoted trade union collective bargaining as part of his job creation programmes and the PM’s admiration for the New Deal should not blind him to the fact that it is not an a la carte menu from which you can pick different bits. It is a package, of which trade unions are an essential ingredient. What was good enough for the USA, and is good enough for Germany today, is surely good for the UK. I hope that the Government will recognise the strength of this case, do the right thing, and support Amendment 4.
My Lords, I will speak to Amendment 10, in the name of the noble Lord, Lord Blencathra, concerning the minimum width left on pavements for pedestrians to pass safely. I welcome the Government’s announcement in Committee that they would be bringing forward amendments to place the conditions of pavement licensing on a statutory footing. I also welcome the acknowledgment in the Bill of the needs of people with disabilities to be able to access streets safely. However, I remain deeply concerned at the speed with which these measures are being rushed through. As the Government were not prepared to extend the consultation period for applications, it is essential that there is a clear requirement regarding the minimum space that businesses need to leave on the pavement for pedestrians to pass safely.
At Second Reading, I outlined the difficulties that people who are blind or partially sighted face as a result of social distancing, as well as many of the new challenges due to altered road layouts and one-way systems, not to mention the rapid rollout of e-scooters on to our streets. As it stands, the Bill risks a significant and barely controlled expansion in the level of obstruction on our pavements, which is especially hazardous for people with a sight impairment or limited mobility.
While putting conditions for licensing into statute is welcome, this will be useful only if the guidance that these conditions refer to is relevant and up to date. It is also vital that the requirement to meet these conditions is clearly communicated to licensing authorities. At present, the Bill’s draft guidance refers to the Department for Transport’s document Inclusive Mobility, which is one of the main sources of information on accessible design for planning authorities in England. In Committee, the noble Lords, Lord Blencathra and Lord Adonis, noted the inconsistencies in the minimum distances set out in that document and the confusion that this will cause. Inclusive Mobility only has limited references to street café furniture. As the last version is from 2005, the references to equality legislation are largely out of date. Most obviously, this guidance was drawn up well before social distancing was a consideration. As well as needing to take into account the minimum physical distance that is required for a wheelchair, mobility scooter or guide dog to pass, further space is surely now required in order that pedestrians can pass in congested areas at an appropriate distance.
My Lords, I will speak briefly in support of the amendments in the name of the noble Lord, Lord Holmes of Richmond. It is important that we make sure that the additional street furniture—the tables and chairs—do not restrict access or movement for individuals, especially disabled people. We must guard against creating potentially dangerous situations where people need to walk in roads, navigate around tables and chairs, or break social distancing rules to get past people on the street because of pavement licences. We need to get this balance right. Applications should not be granted if pedestrians are forced to cross a pavement in a dangerous manner, or if there is insufficient space between tables and chairs to enable disabled people to use the new space comfortably and safely or to pass through it without risk of incident. If properly managed and located, so that the needs of all pedestrians and customers are considered, pavement licences can make outdoor places vibrant and socially distanced safe places to be in the summer.
If the Minister does not accept these proposals and relies instead on the amendment in the name of his noble friend Lord Howe, it is important that he sets out, for the record, a clear framework to give clarity to those who need to enact this legislation on the direction they need to go in, and the guidance they need to follow to get this balance right. Finally, will the Minister assure the House that the relevant stakeholders have been consulted on the Government’s amendment on this issue?
My Lords, at this stage, I would like to suggest something which the Government might include in the guidance. I do not fully support Amendment 1, as is not about access but about erecting barriers, which is often unnecessary and counterproductive. It should be perfectly possible, as in other European cities, to do something as simple as mark the corners of the café’s territory with an object, such as a wooden tub of flowers, so that that territory is fixed in what I termed in Committee an open but rigid structure. In Committee, the noble Lord, Lord Adonis, correctly used the term “segregation” if barriers were installed, although I disagree with his inference. The problem with barriers is that those who have them imposed on them push back against them. They start to move, whereas fixed markers do not.
I appreciate that the reason for extending the café on to the street is to increase business at this time, but it should be done in a way that enhances the community. It is wrong that we insist, even before the local geography is assessed, that the café be cut off and isolated physically from everything else. The Government’s draft guidance only says that the use of barriers should be “considered” by local authorities. However, I notice that markers of the kind that I referred to are not listed in that guidance as a possible strategy. Will the Government consider this? I am not talking about permanent fixtures, just something solid enough to help determine the territory designated but able to be carried off the pavement at night and replaced in precisely the same position the following day.
My Lords, it is a pleasure to follow the noble Earl. I declare an interest in having had the honour, I think in 2016, of chairing the ad hoc Select Committee on the review of the Licensing Act 2003. When my noble friend Lord Greenhalgh sums up this little debate, could he put our minds at rest that the measures in the government amendments in this group, tabled by my noble friend Lord Howe, will negate the need for the other amendments tabled? I think that will carry the House with him. Does he share my concern that the wide-ranging consultation proposed in Amendment 4, while well-meaning—normally I would be in favour of as wide a consultation as possible on any long-lasting modifications —would in this case negate the whole point of speedy measures, which are, of necessity, of a temporary nature?
The noble Lord, Lord McConnell, has withdrawn from this group. I call the noble Lord, Lord Bourne of Aberystwyth.
My Lords, it is a great pleasure to follow my noble friend Lady McIntosh. Appropriate regulation to ensure proper provision for the blind, the partially sighted and the disabled in the allocation of pavement licences is absolutely right. In a civilised society, such measures should be a given. I therefore welcome the moves proposed by the Government in the amendments which the noble Earl, Lord Howe, is bringing forward.
It is important that we encourage economic activity. As my noble friend Lady McIntosh said, that must be done speedily if it is to make sense in this context. We should bear that in mind. The provisions brought forward by the Government in this group on access and protecting individuals are appropriate and to be welcomed. We should embrace the wider Bill, which seeks to promote the necessary economic activity I referred to. I will not delay the House further, as there is a long list of Peers who wish to speak. I give this part of the Bill my total support.
My Lords, I stand here as a rather inadequate substitute for my noble friend Lady Thomas of Winchester to support the thrust of the amendments spoken to very ably by the noble Lord, Lord Holmes of Richmond, and a triumvirate of government Back-Benchers. This took me back a few years to when we had to cover access on virtually everything, as every single Bill required it. One wonders why when we have the Equality Act, but apparently we need to put something into this piece of legislation.
The noble Lord, Lord Holmes, has said that he is satisfied with the Government’s amendments, so I feel that we probably should be too. However, there is one other issue—enforcement. Who will undertake enforcement? Access officers have been cut. Who will make sure that the arrangements embodied here are enforced? Clearness of guidance is vital, and, as we hear from the Government all the time, this is emergency legislation. If we have to wait to book someone to come in and have a look, that will take time. Will the police have some enaction? Will someone else do something? How clear will that guidance be?
It is not just those who are disabled or in wheelchairs who will benefit from this, but the entire flow of pedestrian traffic. Anyone pushing a buggy with a child in it or luggage on wheels will be positively affected by these changes. How will we make sure that they are enforced? The Government must answer this question; if they do not, this will become an empty series of words with no action to back it up.
My Lords, I speak in support of Amendments 9 and 10, although many in this group which make a lot of sense. I welcome the Government’s Amendment 16 and will possibly welcome what follows on from it even more. I hope so. I cannot better what those who tabled them have said about needing more space on pavements, other than to add that I can think of many more reasons to have one and a half metres of space as well as disability needs.
I welcome Amendment 9 from the noble Lord, Lord Holmes, which probes how much scope local authorities will be able to have in what they put on under the conditions. Could the Minister make it clear whether local authorities can stipulate a set of standard requirements in advance that will always apply to every licence? Examples could include space, no smoking or types of barriers, but I am sure that there would be other things for particular circumstances. To have a list in advance that you knew would apply to your licence would be helpful both to those seeking licences and to those who may have concerns. Such sets of requirements are far more easily consulted on. Is it reasonable to expect the public to respond to a continuous flow of licence applications? Will fatigue not set in? Ultimately, responses that should perhaps have been made will not go in.
My Lords, I always take great pleasure in following the noble Baroness, Lady Bowles. I note that we debated many of these issues very well in Committee. Things have come on a great deal, and my noble friend the Deputy Leader has tabled a number of well-judged amendments and concessions in this and later groups.
I wish to reiterate the importance of balance. This legislation is intended to help businesses, particularly in the hard-pressed hospitality sector, so that they can get back to work, lure back customers and support broader economic recovery. We are concerned with temporary measures and must not confuse matters by adopting regulatory amendments, some of which we might feel would be well justified if we were talking about permanent laws. To my mind, we have already gone quite far enough and the detailed draft guidance—I think its extent will make many small businesses blanch—makes it quite clear that where a pavement licence is granted, clear access routes on the highway will need to be maintained, taking into account the needs of all users, including disabled people, as my noble friend Lord Blencathra made clear earlier. The guidance also requires applicants to fix a notice to the premises when they make their application.
The noble Lord, Lord Addington, made a good point about enforcement. I look forward to hearing from my noble friend the Minister on that.
We have to get the economy, our construction industry and our high streets going again if we are not to live through a number of frigid economic winters. In particular, our hospitality sector has been decimated and needs all the help it can get. We must stop debating this Bill with its temporary provisions and get it on to the statute book.
I declare my interest as a vice-president of the LGA. I am quite torn on these amendments, as I appreciate that the Government have moved and accommodated some of the problems, but I also see their compromise as insufficient to address the issues raised so well by the noble Lord, Lord Holmes.
The Government’s amendments tend to kick the issues into the long grass, leaving your Lordships to hope that Ministers will made the right decisions at the right time. That might mean bringing in the necessary provisions later through secondary legislation, which none of us likes very much. Instead of the Bill providing certainty that blind people and those with disabilities will be protected from unnecessary obstacles, the government amendments actually create uncertainty.
That uncertainty also exists for the many businesses that will be applying for pavement licences, which will have questions about all sorts of random conditions that might later be applied by central Government to their licence. For these reasons, I hope that the noble Earl the Minister can explain their plans and set out a clear timetable for bringing in secondary legislation for these amendments. Most importantly, I would ask him to give a clear assurance that blind and disabled people will be safe and will not be put into harm’s way by the Bill. I hope that he will do everything in his power to ensure that this remains the case.
My Lords, I am grateful to the noble Earl the Minister for bringing forward these amendments. No comment has yet been made in this discussion about Amendment 21, but I welcome the clarification that licensing is not part of the executive function of a local authority. It should be done by an independent panel within the authority.
I want also to support Amendment 4, in the name of my noble friend Lord Hain, and again pose the question again: why is this not acceptable? What this amendment and a number of others in this group are all about is effective consultation, in the instance of Amendment 4 with trade unions and the employees who are affected. It is always better when such consultation happens. It can happen at a reasonably fast pace, but at the least the exercise should be undertaken.
The noble Lord, Lord Blencathra, has argued forcefully on a number of occasions for a 1.5 metre margin around pavement activities. He is quite right to do so and I trust that that will be made explicit in the government guidance. As I have wandered around my local area over the past few weeks, I have seen able the burgeoning of pavement tables and pavement activity. I welcome that because I like the idea of a much more café culture society. However, as people drink during the course of the evening, there tends to be pavement creep, and the space gets narrower. That is why the points made by the noble Lord, Lord Addington, and echoed just now by the noble Baroness, Lady Neville-Rolfe, about the importance of enforcement are so critical. Can we be assured that local authorities will have the enforcement and regulatory officers to ensure that there is no pavement creep of the kind I have just talked about, and that the police will be there in sufficient numbers to provide back-up if required?
My Lords, first, I thank the Minister and his fellow Ministers for the careful way in which they have looked at the points that have been made and for the concessions that they have given. Indeed, if you asked the question, “What is the role of the House of Lords?” this Bill provides a good example of it, because while it went through the Commons in a matter of an hour or so, we have given it detailed consideration and, importantly, the Ministers responsible have looked industry detail and with sympathy at the points that have been made. So I make those points first.
I want to make a couple of points, in particular about Amendment 4. Some noble Lords will remember that I was David Cameron’s envoy to the trade union movement. I know a bit about it because I have been a member since the age of 16. Now the first thing about Amendment 4 is that, of course, there are very few trade unionists in the catering industry. The second point I should like to make about it is that this is Labour virtue signalling. There are plenty of trade unionists who support the Conservative Party. Indeed, in the union of which I am president, BALPA, the majority voted Conservative at the last election. Many trade unionists vote for the SNP, Plaid Cymru, the Liberal Democrats and, in particular, for the Green Party—so what we have here is very much a bit of Labour special pleading.
On that, I am always pleased to hear Churchill being quoted by the noble Lord, Lord Hendy, and I would remind the noble Lord, Lord Monks, that I believe he was working for the TUC when it turned down the proposals of the Bullock committee to consult unions and have them on the board. So let us have a bit of remembrance. And let us also remember that Labour has decided not to support any Divisions on this Bill. So it is worth remembering when it starts asking, “Can this be done or can it not be done?” that it will not be supporting anything to the point of a Division.
I make all of those points because I would ask the Minister to acknowledge in his summing-up that co-operation is needed from all groups in society, including responsible trade unionists. I am sure that they will be happy to co-operate, whether they are trade unionists or just workers in the catering industry. I look on this amendment as a partisan one that does not add to the Bill; it is so that a group of people can go and wave at the TUC.
I note that the noble Lord, Lord Adonis, is set to follow me. I will just tell him that on one occasion when David Cameron met a leading member of the TUC General Council, he asked, “Apart from the national minimum wage, which we are not going to abolish, which piece of pro-union legislation that the Blair Government passed are you worried that we might repeal?” The answer was total silence. So let us not have too many lectures about what Labour is going to do for trade unions until some future date when it may even have done something.
I am afraid that the noble Lord, Lord Adonis, is not going to follow the noble Lord, Lord Balfe, because he has withdrawn from this group. So I now call the noble Lord, Lord Naseby.
My Lords, I have taken part in every stage of this Bill and I believe that we must never forget that its basic principle is to get the economy going and in particular to help the hospitality industry. I do not know how it was for anyone else, but over this last weekend less than half the pubs in Bedfordshire were open to cater for people who wanted to go out on Friday or Saturday evening. Why were they not open? Either they did not have the space or they had not managed to get organised, et cetera. Against that, I pay tribute to what my noble friend Lord Blencathra, and the noble Lords, Lord Holmes and Lord Low, have done to ensure that the Government of the day have taken note of the challenges for disabled people. They have worked tirelessly on this and I say a great personal thank you to them. It is good that my noble friend on the Front Bench has listened and that we now have Amendment 16 before us.
The only other point I want to make is about guidance notes. I have been the chairman and the leader of a local authority and there is nothing worse than guidance notes that are out of date. They do not need to be 300 pages long; they need to be probably 20 clear and short statements of what is necessary in an emergency situation.
My Lords, I thank the noble Lord, Lord Holmes, and others for continuing to raise the issue of access for disabled people, and I too will not rehearse my arguments again. I welcome the Government’s amendment and I have two questions for the noble Earl the Minister. How will this provision be monitored to ensure that reasonable access is not something that is provided from day one, which is what usually happens when the intention is good, but swiftly erodes as we move further out of lockdown, potentially leaving disabled people with a much poorer level of access than they currently have? My second question is: how will disabled people be able to make a complaint and be listened to if their access has been diminished?
My Lords, at the outset I reiterate what I said at Second Reading and in Committee. I welcome the Bill, which will trigger a revitalisation of our businesses and help people’s well-being. We would like the economy to pick up and create employment for people who have been idle for the last few months. We need to take steps to enable restaurants, pubs and cafés to expand their businesses and provide additional facilities to attract customers. Our hospitality sector has taken a massive hit and we need to assist the sector to get back on its feet. We should therefore give consideration to how we can do this. One way is to allow customers to be served outside the premises and on the pavement.
I support these arrangements but we need to look at certain issues that may cause problems to pedestrians. I am concerned about accessibility and the passage of blind, partially sighted and disabled pedestrians. They must be able to get through the customers outside a premises without being obstructed in any way. Blind and partially sighted people already feel less independent during the lockdown. If we do not have proper controls and make appropriate provisions, they will encounter difficulties. If adequate arrangements are not made, these persons may go on the road, take someone else to go with them or not go out at all.
Some disabled persons are in wheelchairs that need to be carefully manoeuvred. If people are congregating on the pavement without adequate controls, manoeuvring will be difficult and cause distress to the disabled persons. Furthermore, there is the possibility of an accident arising because of a lack of proper spacing for wheelchairs to get through, which may cause injury to a customer or the disabled person.
As far as pedestrians are concerned, in Committee I expressed concern about Muslim ladies who may be harassed or picked on if they are walking through a crowded area. Since my speech in Committee, I have been approached by other Muslims expressing support for what I said. It is therefore important to bear in mind issues concerning Muslim ladies. I have been told that since the lockdown has been eased, there has been a spike in Muslim women being insulted and abused.
In addition, there needs to accessibility for all persons, with a distance of at least one metre for everyone’s benefit and as a safeguard against the spreading of the virus. I therefore support Amendments 1, 2, 5 and 6. I also render support to Amendment 7, which will
“establish a right to appeal the approval of an application”
within the time stated in the amendment.
Furthermore, I support Amendment 12 regarding the need for a local authority to investigate a complaint where there are issues of accessibility relating to people with disabilities or other pedestrians. I feel that Amendments 7 and 12 are necessary to ensure that relevant persons with genuine issues are listened to where there are difficulties regarding passage or accessibility.
Finally, I support Amendment 16 as I feel the Secretary of State must
“specify conditions for pavement licences”.
I am sure that in doing so, the Secretary of State will be minded to ensure adequate access and passage of all pedestrians without hindrance.
My Lords, I associate myself with so much that been said in this discussion about the rights and accessibility of disabled people in particular; the importance of employer-employee co-operation in the fight against the virus; the need to return to economic activity; and enforcement. That is perhaps why the swipes at the trade unions were particularly gratuitous and jarring.
The deadly pandemic we are still in the grip of seems to discriminate quite brutally and savagely, so it is particularly important that we do not discriminate in our response to it. If anything, we should work harder—perhaps even more radically—to redress the balance in the discrimination provided by the virus.
The economy exists for the benefit of people, not the other way around, so there ought not to be any real tension between the aspiration of protecting people—all people, the vulnerable in particular—and wanting to bring the economy back and to restore some normalcy in our lives.
My Lords, I draw the House’s attention to my interests as set out in the register as a councillor and a vice-president of the Local Government Association.
We on these Benches support the Bill’s intentions to provide some additional business opportunities for construction companies and pubs, bars and cafés, which are often smaller, independent businesses on our high streets and have had their trade curtailed by the coronavirus restrictions.
This group of amendments in general provide for cafés and pubs to apply to extend their sales on to the pavement in front of their premises for a temporary period. In Committee we had an extensive debate about the consequences for people with disabilities, in particular those with a sight impairment. I thank the Ministers—the noble Earl, Lord Howe, and the noble Lord, Lord Greenhalgh—for the meetings following Committee to discuss these issues of concern.
My noble friend Lord Shipley has succinctly described the purpose of our Amendment 20, to which I also have my name. Our intention is simply to ensure that in the granting of licences, pavements do not become a hazard for pedestrians. The noble Lord, Lord Holmes, has raised similar concerns and tabled a number of amendments to seek clarification and prevent pavements becoming inaccessible. In particular, we have been concerned about tables and chairs on the pavement gradually spilling over into the area set aside for pedestrians. This is the reason for the suggestions we have made about the requirement for a simple barrier to mark off the area of the pavement licence. I hope that most businesses will make this simple provision.
On another issue, the noble Lord, Lord Holmes, has made an important point in his Amendments 23 and 24: the principle of inclusive design should be the starting point when changes to the built environment are made. I hope the Government take note.
The amendment in the name of the noble Lord, Lord Hain, to aid a partnership approach between employers and employees and their trade union representatives states a principle we can easily support. It is good that the Government have listened to these concerns and have tabled several amendments seeking to ensure that pavements are kept clear for pedestrians. Although these amendments do not go as far as we and others have argued, they go a long way to satisfy those of us worried about the potential consequences.
If the Government’s Amendment 16 passes, there will be provision for the Secretary of State to make conditions on pavement licences by regulation. I thank the Government for sending an update of the guidance, which shows their willingness to safeguard the interests of pedestrians. We accept that the Government have moved a considerable distance in resolving these issues and look forward to the Minister’s response.
My Lords, I draw attention to my interests in the register. It is right that the House is again afforded the opportunity to consider the implication of pavement licences. The various amendments in the name of the noble Lord, Lord Holmes, highlight the need for inclusive design. I agree with him and am pleased that the Government have also tabled amendments on this theme. The noble Lord, Lord Cormack, and the noble Baroness, Lady Pinnock, raise similar concerns, and I am glad that the House has debated them today.
I hope that, in addition to the Government’s amendments, the Minister offers further non-statutory assurances to make certain that accessibility issues are resolved. As my noble friend Lady Kennedy of Cradley noted, applications should not be granted if people are forced to cross a road; they should be able to pass by without incident. Pavement licences, when granted, can result in vibrant social spaces, but relevant stakeholder consultation is essential, as is the role of local authorities in ensuring compliance—as raised by my noble friend Lord Harris of Haringey. I agree with him that resources will need to be made available to local authorities for the extra work that this will entail.
My noble friend Lord Hain returned to the issue of trade union engagement, and he has the support of these Benches in so doing. As he said, consultation and co-operation have become the name of the game. I associate myself with the remarks of my noble friend Lady Chakrabarti in that respect. It should be the norm and statutorily implemented.
The House is aware from previous stages of the Bill that amendments in my name and that of the noble Lord, Lord Kennedy, have been raised about the concerns of trade union members. This amendment would ensure that local authorities consult employees and their unions when determining pavement seating applications. In recent weeks, I have spoken to members of Wetherspoon staff represented by the BFAWU, and it is clear that they are often left in the dark on decisions that have enormous ramifications for their working conditions. I hope the Minister will assure the House that he has at least engaged with trade unions in drafting the legislation and that he continues to during its implementation.
My Lords, the pavement licensing clauses in the Bill will provide vital temporary flexibility to aid the recovery of the 158,000 hospitality businesses that employ almost 2 million people over the summer months. That is the importance of this legislation, as raised by my noble friends Lord Naseby and Lord Sheikh, and the noble Baroness, Lady Pinnock.
Noble Lords have voiced concerns over accessibility, which the Government agree is paramount. While the Government have sought to address accessibility from the outset, through robust conditions such as the no-obstruction condition, guidance and enforcement procedures, we have reflected on the strong feeling in this House and recognise that more needs to be done.
In response—and what has been described by “a huge step forward” by my noble friend Lord Holmes—the Government have tabled Amendments 6, 16, 21 and 87, in the name of my noble friend Lord Howe. First, the Government have tabled Amendment 6 to Clause 3, which would insert a new subsection after subsection (6). New subsection (6A) provides that, when local authorities are determining whether furniture put on the highway would be, or already is, an unacceptable obstruction, they must have specific regard to the needs of disabled people and to any recommended distances required for access by disabled people, as set out in guidance issued by the Secretary of State. This puts in the Bill a requirement that a local authority, when deciding whether to grant an application and to exercise its enforcement powers, must have in mind the needs of disabled people and for clear access, as set out in the Government’s guidance.
Secondly, as well as the amendment to the Bill, I appreciate that there has been some confusion over the application of inclusive mobility guidance, so we are going to sharpen the focus. Inclusive mobility draws on a wide range of stakeholder inputs and remains the key piece of design guidance for the pedestrian environment. In response to the noble Lord, Lord Low, work led by DfT is under way that will update inclusive mobility next year. However, we recognise that businesses applying for licences may need clearer direction.
That is why our guidance will make clear that, in most circumstances, 1,500 millimetres or 1.5 metres of clear space should be regarded as the minimum acceptable distance between the obstacle and the edge of the footway. We will also address other concerns raised—specifically, provision of clear barriers to demarcate seating, explicit reference to duties on local authorities under the Equality Act and style of furniture. In response to the noble Baroness, Lady Bowles, that is the framework within which we are asking local authorities to operate.
We have also set out, in the House, the circumstances when local authorities can use their power to revoke, including where there is a breach of condition or there are risks to health and public safety, as well as highways obstruction. In response to the noble Lord, Lord Addington, there are robust enforcement procedures and local authorities can revoke licences when they give rise to these risks. They will need to have regard to the public sector equality duty under the Equality Act, when devising and implementing the new licensing regime, to eliminate discrimination and harassment. In response to the noble Baroness, Lady Grey-Thompson, disabled people can complain to the local authority, so authorities can act and revoke the licence for breach of a condition, which would be taken immediately. The idea of using markers, as raised by the noble Earl, Lord Clancarty, will also be considered in the guidance. That was a good point.
In drafting the guidance, we have consulted key stakeholders, including the RNIB and the Guide Dogs for the Blind Association, as well as the Local Government Association. These are the relevant stakeholders requested by the noble Baroness, Lady Kennedy. Since these measures will come into effect immediately on Royal Assent, it is important that we publish final guidance now, so that local authorities and businesses have regard to these vital considerations of accessibility without delay, as soon as these measures are implemented. However, we have made clear that any new national conditions will be subject to the negative procedure, as I will turn to shortly.
Finally, as a third step, we will be communicating the publication of the guidance to local authorities to make sure that they have sight of it as soon as possible. In so doing, we will point to existing examples of best practice on accessibility, as suggested by the RNIB.
With these steps, the Bill now makes clear that authorities must take the needs of disabled people and recommended distances into account, while guidance will set out further detail on what this entails. This provides very clear direction to local authorities and leaves scope for them to respond to their own local circumstances, while complying with their existing duties under equalities legislation. That delivers the certainty referred to by the noble Lord, Lord Shipley, with a degree of local discretion. I have to say, I note that my noble friend Lord Blencathra reserves the right to bulldoze through any obstruction in his armoured wheelchair.
I hope, therefore, that my noble friends Lord Blencathra, Lord Holmes and Lord Cormack, the noble Baronesses, Lady Pinnock and Lady Thomas, and the noble Lord, Lord Shipley, will accept government Amendment 6, and not press their amendments on this matter.
As I set out at Second Reading, the Government have accepted the recommendation of the Delegated Powers and Regulatory Reform Committee and tabled an amendment to replace the Secretary of State’s power to publish national conditions on pavement licences with a power to specify any national conditions for pavement licences in regulations, subject to the negative resolution procedure. This should provide a robust level of scrutiny of any national conditions. I hope that noble Lords will accept government Amendments 16 and 87.
My Lords, I thank all noble Lords who have spoken on this group. It has been a very clear and effective debate that goes to the heart of the changes that my noble friend the Minister has spoken to this afternoon. As many noble Lords have said, although the Government certainly could have gone further, they have indeed gone a considerable distance from their position when the Bill arrived in your Lordships’ House.
I thank my noble friend Lord Blencathra for his traditional clarity and effectiveness in getting across his point of view. It is reflected in the guidance of 1.5 metres, although as my noble friend and I agree, it would have been more helpful across the piece had this been in the Bill. I thank the noble Baroness, Lady Kennedy of Cradley, for her comments, and thank other noble Lords who have spoken on this group.
I am content with the amendments that the Government have laid on the points that I have already spoken to, and with Amendment 21, the technical amendment. I ask my noble friend the Minister to consider whether further amendments can be made to the guidance. There are issues that could be made clearer, particularly around the application process and the appeals process. Wording could be inserted to make it absolutely clear to disabled people and others that they would be able to make appeals, not least under the Equality Act. It would be helpful to have that spelled out in the guidance.
There are also issues around the whole concept of consultation, not least relating to paragraphs 7.5 and 7.6 in the guidance. This debate has demonstrated that there is a bit of a misconception around consultation in a number of ways. I do not believe that consultation needs to be lengthy, but it needs to be effective and authentic. Although it sounds tautological, it needs to be truly consultative. In so many instances across society, it is not, but rather is something masquerading as consultation, and the reality for those involved is very different. I believe that for individuals and local authorities, it would be helpful if, in the guidance, an affirmative function was clearly set out for local authorities to engage swiftly in consultation and to speak to organisations of and for disabled people and others. That could be done incredibly effectively—it may be a matter of a few phone calls. It does not need to be a massive consultation; it needs to be an effective consultation.
My noble friend Lord Naseby was quite correct when he talked about guidance being seen as a leaden weight around the neck of local authorities. Guidance needs to be conceived to be helpful and seen as helpful. To that extent, will my noble friend the Minister also consider putting in some kind of checklist or flowchart, both at the front of the guidance, setting out what it does in a few bullet points, and as an appendix, to take applicants through the procedure and what they need to consider at each stage. That should be done in a clear, effective and understandable manner.
To that extent, I am grateful to my noble friend the Minister and his officials for the positive way in which they have engaged. This will be an ongoing issue. We will obviously have time to see and assess what happens as the Bill lands. In conclusion, I am absolutely, wholeheartedly behind economic growth and getting the economy up and running effectively again. I do not believe in any sense that anything around accessibility, or inclusion and inclusive design, runs counter to that. In reality, inclusion, inclusive design, accessibility, enablement and empowerment are the bedrock of a fully functioning economy and civil society. With that, I beg leave to withdraw Amendment 1.
My Lords, that brings us to the group beginning with Amendment 11. Members should ensure that they have the correct text of Amendment 11, with the word “not” in proposed new subsection (2C). I remind noble Lords that Members other than the mover of the amendment and the Minister may speak only once, and that short questions of elucidation are discouraged. Anyone wishing to press this, or any other amendment in the group, to a Division should make that clear in the debate.
Amendment 11
My Lords, tobacco is the leading cause of preventable death in the world. Although fewer than one in five adults in the UK now smoke, the Government must do all in their power to aid this remaining population to quit. We are in a fortunate position, in that in recent months, a million people in Britain have stopped smoking. The Government would do well to consider the recommendations of Action on Smoking and Health for how this can be built on.
The health risks of smoking are, of course, not restricted to smokers. The House will clearly be aware of the dangers of second-hand smoke, including in outdoor areas of pubs, bars and other premises to which the Bill relates. The Bill, as introduced by the Government, was a missed opportunity. In creating new outdoor areas, there should have been provision from the outset for smoke-free areas. On this basis we tabled Amendment 11, which would create a power for local authorities to prohibit smoking in certain areas covered by pavement licences after due consultation.
I am pleased that the Government sought to rectify their omission by tabling Amendment 13 to allow for smoke-free areas. It has the support of these Benches, but the amendment alone is not enough. The Government must take a firmer line on public health and consider how they can reduce the dangers of second-hand smoke more widely. In future legislation, I hope they will focus on doing so from the outset, for if they do not, we will again.
The amendment in the name of the noble Baroness, Lady Northover, would create a condition that pavement licences can be granted only if smoking is prohibited. While I fully sympathise with her reason for tabling this effort, I am afraid that we cannot support the present draft. As it stands, it might have enormous unintended consequences. It does not clarify that the prohibition of smoking should apply to the area covered by pavement licences, and without the definition of smoking it might unintentionally ban e-cigarettes. I understand that there are also concerns that other errors might lead to judicial review. If not for these errors we could consider the amendment, but in its present iteration I am afraid we cannot.
The noble Baroness is right to press for the Government to consider the implications of second-hand smoke, but when the hospitality industry is already suffering as it is, this attempt at some form of blanket ban, attached in haste to emergency legislation, would have consequences that I am sure are unintended. I hope the noble Baroness will reflect on this, support the efforts to create smoke-free zones and join us in holding the Government to account on their widespread failures to reduce smoking.
Finally, I ask the Minister to confirm that the Government’s amendment will not be their only effort to eliminate the dangers of second-hand smoke during this crisis. The initial drafting of the legislation served as a missed opportunity to tackle smoking. I am afraid that that is somewhat characteristic of their attitude over the past decade. I will press the Government on three specific issues. Will they halt the planned cuts to smoking cessation services across England? Will they properly fund the devolved Governments, including the Labour-led Welsh Government, to support their efforts in stopping people smoking? Will they engage and equip local authorities to play their significant part in what remains an enormous challenge to public health? I beg to move.
My Lords, I shall speak to Amendment 15 in my name and that of my colleagues, the noble Lords, Lord Young of Cookham and Lord Faulkner of Worcester, and the noble Baroness, Lady Finlay of Llandaff. There has been an anti-smoking cross-party coalition in the Lords for almost two decades. That cross-party approach reflects the House at its best. Since Sir Richard Doll’s report all those years ago, we have known that smoking kills, and in an appalling fashion. Nevertheless, as we know, it has been an uphill battle to set in place anti-smoking measures. The noble Earl, Lord Howe—I am glad to see that he is in his place, even if he is not on the Front Bench—has long been part of that coalition. This issue does and should arch over mere party concerns, though that is not always the case. It is extremely disappointing when that manifests, because our opponents are funded and united.
However, I was very glad that when we raised this as the sole amendment on this issue in Committee the Government responded. I was in the Chamber, and I admit that I directed much of what I said to the noble Earl, given his track record on this issue. I hugely commend those of other parties who have had the determination to stand against the pressure on them for the sake of public health.
My Lords, I begin with a brief word about Labour’s Amendment 11, moved by the noble Baroness, Lady Wilcox. I am disappointed that the party which—with a bit of prodding when in government—introduced the ban on smoking in pubs has in opposition retreated from that bold approach to public health issues, and cannot support Amendment 15. This disappointment is shared by many of Labour’s noble Members. Its own amendment has been trumped by the Government’s amendment, which goes further, and which I will turn to in a moment, but I agree with the noble Baroness, Lady Wilcox, that more action is needed to combat smoking.
The Government have adopted the “hard cop, soft cop” approach on this issue. Last week, my noble friend Lord Greenhalgh was cast as the hard cop and was obliged to read out an uncompromising speech asserting that our amendment would lead to pub closures and job losses. Why pubs that have survived all the problems that have confronted industries so far should decide to close when given the opportunity to extend their non-smoking premises to include the pavements outside was never explained. He also said that imposing a condition to prohibit outdoor smoking would not be proportionate. Yet outdoor smoking is already banned in open-air stadiums and at open-air railway stations, because they are places where people congregate and therefore there is the health risk and the annoyance of passive smoking. It would be the same with pavement smoking.
However, it would be churlish to complain too much, because in the meantime the hard cop was replaced by the soft cop, my noble friend Lord Howe, emollient and with an impeccable public health record. He has tabled an amendment which goes a long way towards what we were arguing for, and wrote a helpful letter to noble Lords today. I pay tribute to his role in listening to last week’s debate and moving government policy forward on this issue. I know that my noble friend Lord Greenhalgh, who made a personal commitment to the anti-smoking campaign in the debate last week, has also played a role.
As the noble Baroness, Lady Northover, said, the government amendment does not go as far as I would like, but before turning to that, I will make one point about the guidance referred to in the noble Earl’s amendment. Given that many pubs have already made provision for smokers on their own premises—usually canopies with patio heaters—I hope the guidance will say that where this is the case, any extension to the pavement should be smoke-free, since there is already somewhere for the smokers to go.
The Government’s amendment does not go as far as I would like, and I will not repeat the arguments in favour of Amendment 15 so ably put by the noble Baroness, Lady Northover, and other noble Lords, last week. While none of the arguments against it have convinced me that they would be the right way forward, I recognise that given the position of the Labour Party, the cross-party alliance so skilfully constructed by the noble Baroness has gone as far as it can, and therefore I am prepared to settle for and support the government amendment. I hope that others who share my view will feel able to do the same.
My Lords, yesterday’s press release from the Ministry of Housing, Communities and Local Government stated:
“People using pubs, restaurants and cafés will soon have greater freedom to choose non-smoking outdoor areas”,
a laudable objective that is consistent with the cross-party Amendment 15, which I have signed, along with the noble Baronesses, Lady Northover and Lady Finlay of Llandaff, and the noble Lord, Lord Young of Cookham, and which is identical to the one we debated in Committee last week. Some of your Lordships may take the view that had we not raised the issue of smoking in areas covered by pavement licences, the other amendments in this group might never have seen the light of day today. Indeed, if it had not been for the noble Baroness, Lady Northover, raising the subject at Second Reading, that would probably be the case.
As I indicated in Committee last week, our amendment enjoys strong cross-party support from the Local Government Association, which represents local councils in England and has asked the Government to make pavements smoke-free. Birmingham Labour councillor Paulette Hamilton, vice-chair of the LGA’s community well-being board, is urging your Lordships to give councils the power to extend smoke-free areas to include pavements, so that
“this alfresco summer can be enjoyed by everyone.”
She added:
“Councils have worked hard to help hospitality businesses reopen, including relaxing requirements and making changes to roads and pavements to enable pubs, cafés and bars to operate outside safely with more outdoor seating. Pavement licensing should not be a catalyst to increase smoking in public places, putting people at greater risk of ingesting second-hand smoke when they are enjoying a drink or a meal.”
This view is shared by the Conservative leader of Oxfordshire County Council, Ian Hudspeth, whom I quoted in the debate last Monday, and who has set the laudable target of a smoke-free Oxfordshire by 2025.
On 15 July, the Welsh Government committed to bringing in new laws to ban smoking in hospital grounds and schools under the Public Health (Wales) Act 2017, to
“protect the public from second-hand smoke and de-normalise smoking in the eyes of young people.”
They are on course to bring in a smoking ban for the outdoor seating areas of restaurants and cafés, which is supported by nearly two-thirds of adults in Wales, according to a survey by ASH Wales.
My final point arises from my supplementary question to the noble Lord, Lord Bethell, earlier this afternoon. Noble Lords may recall that I asked him whether today’s proposed guidance for smoke-free areas outside pubs and restaurants would be agreed with the DHSC, published before the House rises and subject to parliamentary scrutiny. Rather to my surprise, he did not answer any of these rather important questions, and later in the session, when the noble Baroness, Lady Walmsley, asked them again in the same form, she did not get a reply either. What is going on? Have the Government not yet made up their mind, or does the MHCLG refuse to acknowledge that this is a public health issue, let alone that it has anything to do with the Government’s aim to make England smoke-free by 2030? I still think that our amendment is the best of the three on offer, and I will be disappointed if the House does not agree to it this afternoon.
My Lords, Amendment 15, to which I have added my name, seems to be the best way to avoid the Government throwing away the hard-won gains in public health that smoking reduction strategies have achieved to date. There is now clear evidence of the benefits from our legislation, which has banned smoking in public places. The benefits of ending passive smoking are to the heart, the vascular system and the lungs. The strongest evidence of the health benefits of making places smoke-free is in those working in pubs. The Smoke-free Premises and Vehicles (Wales) Regulations 2020 will extend the smoking ban to outdoor areas of hospital grounds, school grounds and local authority playgrounds.
My Lords, it is a privilege to follow the noble Baroness, Lady Northover, and her three co-signatories to Amendment 15. As she rightly said, it is only by virtue of their bringing forward the amendment in Committee that we had the benefit of a very good and persuasive debate last Monday. They won the argument, as evidenced by the Government’s Amendments 13 and 14 and what they said about the guidance that will be issued alongside the no- smoking condition. I pay tribute to the noble Baroness, Lady Northover, for that.
I might say to the noble Baroness, Lady Wilcox of Newport, that the Labour Party did not put down such an amendment. I welcome what she said about maintaining positive forward pressure on this vital public health issue, but I remind her that as a result of the coalition Government’s activities—in which we were all participants, including my noble friend Lord Howe—this country was regarded as having the toughest tobacco control regime in the world, perhaps bar Australia, although I think there was a debate about that. The point is to maintain that pressure. The Government’s commitment, which I wholeheartedly support, is to secure a smoke-free England by 2030. The point of this temporary legislation is to support the hospitality and leisure industries, and our debate was about ensuring no retrograde steps away from our objective of banning smoking in public places. We do not want families who expect to go to a public house and have a smoke-free meal to find that they are exposed to second-hand smoke.
Like my noble friend Lord Young of Cookham, I would have liked the Government to have gone a bit further and the guidance to have been more specific—particularly on the points he mentioned, which for brevity’s sake I shall not repeat—but I share his view that the Government’s Amendments 13 and 14 are significant victory. He and his cosignatories to Amendment 15 can take credit for that. I welcome what the Government have done, I hope the House will support Amendments 13 and 14 and that, in consequence, the noble Baroness will not see the need to press Amendment 15.
My Lords, I shall speak briefly in support of Amendment 15, which was so cogently moved by my noble friend and spoken to so persuasively by her co-signatories. In Committee, the Minister, the noble Lord, Lord Greenhalgh, said:
“The Government recognise the vital importance of health and safety concerns but we do not believe that imposing a condition to prohibit outdoor smoking would be proportionate.”
He also said:
“The case is now incontrovertible that there are dangers from second-hand and passive smoking.”—[Official Report, 13/7/20; col. 1482.]
I acknowledge that the Government have come part way to meet the amendment, but I hope that, even now, they will change their mind.
I want to address the Minister’s proportionality point, especially in the light of his second statement and this Government’s plans for a smoke-free England by 2030. A new survey conducted between 15 April and 20 June 2020 for ASH and UCL has found that more than 1 million people in the UK have stopped smoking since the Covid-19 pandemic hit the country. A further 440,000 smokers tried to quit during that period. Younger smokers have quit at a much greater rate than older ones: around 400,000 people aged 16 to 29 have quit, compared to 240,000 aged over 50. The rate of quitting for 16 to 29 year-olds is more than twice the rate for those over 50. This is quite unprecedented and hugely encouraging for the health of our nation. Given what the Minister has said about the dangers of passive smoking—and given that smoking-related illnesses linked to worse outcomes from Covid-19 include chronic obstructive pulmonary disease, diabetes, stroke and other heart conditions—is it not proportionate to want to build on the success during lockdown by restricting smoking in public areas in this way, especially as it applies only to these newly permitted outdoor spaces, as my noble friend pointed out?
As fewer people are smoking after lockdown, is it not right to do everything to attract non-smokers back to the outdoor spaces of our hard-pressed pubs, bars and restaurants by providing a smoke-free environment? We are not yet seeing customers return in great numbers—that much is clear from restaurant owners quoted over the weekend. Would this assurance not be of huge benefit in luring them back?
The Government’s amendments are welcome so far as they go, but they are very much half a loaf. I remember only too well that Forest was the principal opponent obstructing my tobacco advertising and sponsorship Bill, and I am sorry that it has been given any credence by this Government.
Amendment 11, in the name of the noble Baroness, Lady Wilcox, is also disappointing. It is very disappointing that Labour is not supporting this cross-party amendment, especially when the noble Baroness, Lady Wilcox, quotes the research from UCL and ASH, and the latter is supporting Amendment 15.
I am not going to rub salt in the wound by reminding her why I had to introduce the Tobacco Advertising and Promotion Bill in the first place in 2001. I hope, therefore, that the Government will go the whole way and ensure that the adoption of Amendment 15 will be an important staging post towards a smoke-free Britain.
My Lords, despite his eloquence, I am afraid that I cannot agree with the noble Lord, Lord Clement-Jones, since I am opposed to Amendment 15.
The Government have repeatedly underlined the point that this is emergency and temporary legislation. It should not be used as a Trojan horse to ban smoking outdoors for the anti-smoking fanatics. Even the Labour Party’s amendment is not as extreme as that and does permit for some consultation. Initially, I did not understand the ambivalence but, as my noble friend Lord Balfe reminded us in the first group of amendments, it is just indulging in rhetoric. Labour says it cannot support the government amendment, but it seems it will not vote against it. It says that they are holding the Government to account and pressing them hard, but it is not voting against it. This is the sort of irresolute, sitting-on-the-fence opposition I would have loved as a former Whip.
At the moment, smokers use outside tables—perfectly correctly, since they are banned from being inside. There is no danger whatever from passive smoking outside. Those who confess to being worried about the public health impacts of smoke inhalation should ban toxic diesel buses, which are far more dangerous than someone having a fag at a pavement table. There are legitimate arguments for and against smoking outside but, if extremists and ASH want to bring forward a ban on smoking outdoors, there must be proper consultation, proper debate and subsequent legislation—not this sneaky back-door attempt.
My Lords, I mean what I say when I say that it is always a pleasure to follow the noble Lord, Lord Blencathra. He always speaks in primary colours, so we know exactly what he means. But on this occasion, I am afraid that he and I are, not for the first time, going to disagree with convivial cordiality.
I, too, am grateful to the noble Earl, Lord Howe, who has made a considerable effort to come towards those of us who support Amendment 15. I am afraid that I am always suspicious of clauses in statutes—especially for temporary legislation—which are peppered with the word “reasonable”. There are so many “reasonable”s in these amendments that it gives a clue to what is in reality a key to confusion. I believe that Amendment 15, moved so clearly by the noble Baroness, Lady Northover, and supported by those who signed the amendment with her, does not commit any terrible act which would put any economic interest—including that of the tobacco industry—at any real disadvantage. We need to bear in mind that it applies not to existing open-air spaces outside pubs and restaurants, because they are not newly licensed premises under the Bill, but to licensed sites.
Why is it so important? We are dealing with a double problem: not merely health damage caused by the exhalation of tobacco smoke but the real danger of the exhalation of coronavirus with that tobacco smoke, if the people smoking are suffering from coronavirus or have the necessary symptoms. The draft guidance makes it clear that many of the licensed venues will effectively be largely enclosed and partly covered—[Inaudible].
My Lords, I strongly support Amendment 15 in the names of the noble Baroness, Lady Northover, and other noble Lords. I listened intently to the debate in Committee, and it is important for this amendment to be considered, because of the impact it could have on some disabled people.
Other noble Lords have talked about the impact of smoking, and this is more of a personal plea than I would normally allow myself in your Lordships’ Chamber. I have never smoked, but secondary smoking has a significant impact on me and some other disabled people. People who hold tobacco products, whether they are walking or sitting, often hold them at my head height, so, in normal times, I spend a considerable amount of time identifying who is smoking and working out how to avoid them. Though it has not been deliberately done, I have had cigarettes waved in my face, I have been burned by lit cigarettes and I have had ash flicked in my face. The amount of smoke I inhale may be considered negligible but, in my view, if I can smell the smoke, I am inhaling it. And, although it might be considered a better option, I am not a fan of the secondary inhalation of e-cigarettes, either.
The reality is that often, non-disabled people do not look for or see disabled people, and this is where the problem arises. As I have tried to explain with other amendments, it is not always easy for disabled people to move out of the way, and that is in normal times; we are not in normal times. With different street furniture, and smokers in different places, it might be really difficult for disabled people to avoid those smokers. There may be people with a visual impairment who are not aware of the new arrangements and may come far closer to those smokers than they would wish, and not be able to move out of the way terribly quickly.
As this Bill is opening up establishments in a new way—people have not been sitting outside in this way before—it makes it really difficult for disabled people. The noble Baroness, Lady Northover, very articulately explained the need to think about those who might be using these new places. This is not about stopping smoking—arrangements are already in place for smokers, which they should carry on using—but about ensuring that places are smoke-free.
I like the suggestion from the noble Baroness, Lady Wilcox of Newport, that we must continue to look for ways to encourage people to stop smoking in the future, but the reality is that that will take a long time to implement further. We need to be thinking about now. I am delighted that so many people have chosen to give up smoking, but we have to make sure that we do not in any way encourage them to go back—which can be very easy when alcohol is involved. We should be thinking of non-smokers, who are in the majority.
In conclusion, it is very important that we consider how to protect people and that we think about smoke-free zones in these new spaces. I will support the amendment if the House divides on it.
My Lords, I understand the need to follow the exhortation of the Chief Whip to be as brief as possible in today’s debate, and I will try to do my bit in that regard by speaking very briefly.
I can see the need for a speedy passage of the Bill in order that businesses, and, most importantly, the hospitality and retail sector can attempt to salvage whatever they can from this health and economic catastrophe. I also see the importance and understand the aims of Amendment 15, in the name of the noble Baroness, Lady Northover. It is entirely sensible, particularly in the light of what I have just heard from the noble Baroness, Lady Grey-Thompson, and others in this debate. I have absolutely no issue with their aims.
However, although I agree with all their motives, in my view the noble Baroness’s measures should be complemented by a more considerate and deliberative conversation about public health messages on addictive behaviour, given that the single biggest long-term public health crisis in this country is obesity and people who are overweight. This conversation needs to be part of a wider strategy on healthy living and education. Having now seen the Government’s amendment, which seems to be a sensible compromise, I will support that today.
My Lords, I speak in support of Amendment 15, so well moved by my noble friend Lady Northover and well spoken to by others. If in recent years you have visited one of the ever-decreasing number of countries where smoking in public places is not banned, I think you will have appreciated how awful it is. The difference from the experience in our country is dramatic, particularly if you are a non-smoker. To have second-hand tobacco smoke wafting about your food and drink is both unpleasant and nauseous, and inhaling second-hand smoke injures your health.
The distaste about stepping back more than a decade is not just because we have made the change in this country; it is because it is very much an experience to which we do not want to return. With so many of us now being non-smokers and having had the smoke-free experience for so long, we take it for granted that tobacco smoke will not be around our food and families as we eat.
I am pleased that the Government have gone some way to recognise that in their amendments, but I do not think that they have gone far enough. The arrangements for this Bill are partial and temporary, and for England only. Noble Lords will be aware that the ban on smoking in public places began earlier in Wales than in England. I am pleased that Wales was a pathfinder then, and it now looks like it will be so again. The Labour Health Minister in Wales has just announced that he will bring forward legislation to prohibit smoking in the spaces outside pubs and restaurants and that the ban will be permanent. I hope that his party colleagues in your Lordships’ House are listening to that.
Of course, that legislation is moving with the non-smoking times. As more and more people give up tobacco smoking and public health improves, so the introduction of smoke-free areas around places such as those proposed by the Labour Minister, along with children’s play areas and the precincts of schools and hospitals, is a logical step. As the smoking minority of our population has got smaller, smokers have become more and more used to moving away from others in public places, and this amendment proposes a logical next step. There is no evidence that it will diminish the number of people who go to pubs and restaurants. In fact, the opposite might occur and people might be encouraged to attend because they know that smoke will not be wafting around them.
I have one question for the Government on their proposal. Your Lordships are of course familiar with our own arrangements for separating smokers and non-smokers on the Lords Terrace: a physical barrier is in place between the two areas. Can the Minister explain whether the legislation proposed by the Government requires a physical barrier to be put in place between the two sectors? Will it be a solid barrier through which smoke cannot pass and, if so, at what height? Smoke drifts and floats about, and without clear barriers it would pass between the tables of smokers and non-smokers alike. Without making it clear that that issue will be dealt with, this problem will not be eradicated. So it is obvious to me that Amendment 15 is the way to go in order to get clarity on this issue.
My Lords, I am surprised that we are even having this debate. Pubs are closing every week. No one seems to realise that one reason for that is that they are in many ways not very pleasant places to be in. I can say without any doubt whatever that my wife and I would not go near a pub that permitted smoking. It is as simple as that. If you want to get rid of your middle-class clientele and close your restaurants, start allowing smoking. It is not just acceptable in a place where you go to dine.
The government amendments include a “smoke-free seating condition” so that any premises that provide outdoor seating for smoking will also
“make reasonable provision for seating where smoking is not permitted.”
We have been down this route before. I have flown around the world for 50 years. We used to have smoking and non-smoking sections on aeroplanes and it did not work. That is why planes are all non-smoking today. We used to have ashtrays in hotel rooms and there was an overhang of smoke if a smoker had been in there. Then hotels started to introduce smoke-free floors and found that they were so popular that they started to ban smoking, before it was banned anyway because it had started a lot of fires. Hospitals used to have seating areas where patients could go outside for a smoke. That was stopped because it was recognised that the ambient smoky atmosphere was bad for the people who did not smoke.
I hear time and again that this is a temporary provision, just like income tax, that will be brought in and disappear after a year. I do not believe that. I think that some of these provisions will be permanent. The noble Lord, Lord German, mentioned Wales. There will be a tendency to say, “This system works. We’ll carry on with it for another year and maybe another year after that”. So I really do not see it as working. I welcome where the Government have got to, but I do not think that they have gone far enough. I am pretty neutral on the thing because I will not in any case go near a pub or restaurant that has smoking, but I urge the Government to go some way further, to grasp this particular bull by the horns and say, “We’re not having smoking in places that serve drink or food”.
My Lords, I very much welcome the amendment in the name of the noble Baroness, Lady Northover. I stress its cross-party nature and the support that it has from all around the House. Even this late stage, I ask the Minister to take this back and consider it further between Report and Third Reading. I was very proud of the actions of the Labour Government which led to the banning of smoking in public places. I worked with my noble friend Lord Faulkner and other noble Lords across the House in getting through the Lords the amendment that banned smoking in cars when children are present; we have a great history of working together in relation to measures against smoking. I do not see why, even at this late stage, we cannot do this again. With Covid-19, we know that many of the worst-affected have been those with cardiovascular or lung disease. Equally, Covid-19 has had a powerful impact on people taking up exercise programmes, fighting obesity and giving up smoking as a result; some 1 million people have done this during lockdown and there could be more.
This amendment, in whatever guise, could be helpful to many people. Far from having an adverse impact on business, smoke-free areas would be welcomed by most customers and would therefore bring in more trade; the noble Lord, Lord Balfe, surely had his finger right on the pulse in that. The measure is proportionate; the regime will apply only to licences on highways so not to pub, café or restaurant garden areas or pavement seating, where smoking is allowed. It also has support from local government. In addition, we need to think about the workers. The noble Lord, Lord Young, reminded us in Committee of the health risks to employees of passive smoking. Given the risks that those staff already carry, a duty of care is surely owed to them in respect of the risk from passive smoking.
My noble friend Lady Wilcox made a powerful speech, arguing that the decision should be left to the discretion of local authorities. I welcome the progress that my Front Bench has made on this. She also pointed to some technical deficiencies with the Bill. We have a way of clearing up technical deficiencies: either through a government amendment at Third Reading or, if the Government agree, by holding this over until a discussion can take place between all of us before we reach Third Reading. I hope that, even at this late stage, we can attempt to reach some form of consensus; I urge everybody concerned to do all they can to do so.
My Lords, possibly the most surprising thing about Amendment 15 as drafted is that the signatories are predominantly Liberal Democrats; it is not a particularly libertarian policy that they have come up with. Also, it seeks to unravel the compromise reached when the smoking ban was introduced. What I regret most about Amendment 15 is that it does not recognise the heavy investment that pubs, bars and restaurants have made in the outdoor facilities that they hope to open more of. For that reason, I regret that I shall be unable to support Amendment 15.
I pay tribute to my noble friend Lord Howe, who, through my chairmanship of PASS, I know has spent a great deal of time with the hospitality industry; obviously, I have had dealings with the hospitality industry as well. It is keen to recognise—and I welcome—the compromise offered by the government Amendment 13: there will be a smoke-free seating element. Had Amendment 15 not been tabled, perhaps we would not have got to the position we are now in. I note that a number of noble Lords have expressed the wish that the Government should go further, but the beauty of Amendment 13 is that it has regard to the heavy challenges currently facing the hospitality and leisure sectors during the ongoing Covid crisis and the way they are seeking to reopen. I very much welcome the work that has gone into Amendment 13; I will be delighted to support it if we have to later this evening.
My Lords, earlier today, the noble Lord, Lord Bethell, congratulated the million people who have given up smoking during the lockdown, permanently we hope, to protect their health. Sadly, the government amendments today fail to do enough to protect them and others, including staff and families with children, from the dangers of second-hand smoke, which does not respect social distancing rules. We do not want non-smokers to be encouraged to return to habits they have struggled to give up. The connection between the consumption of alcohol and the smell of tobacco smoke is well known as a significant problem for people trying to give up smoking. The cross-party Amendment 15 is about minimising that problem by making newly created pavement areas smoke-free.
As is to be expected, tobacco company representations on this issue are disingenuous and, sadly, their views are too close to what is set out in the government amendments this afternoon. Today’s letter from the noble Lord, Earl Howe, to Members of the House repeats a fallacy about the cross-party amendment. It wrongly suggests that, in the event of making new areas non-smoking, there would be confusion with existing outside areas which would not be subject to the new rules. There need be no such confusion. Existing outdoor areas will maintain their current designation and provision for smokers, while newly created areas should be clearly signposted as being smoke-free, with something placed on the tables instead of ashtrays. The distinction should be very clear.
The cross-party Amendment 15 is not about banning smoking outdoors. As the Minister’s letter says, existing outside areas would not be subject to the new rules and nor would other open spaces. The proposal for new areas outside pubs and restaurants to be smoke-free is in line with the present provisions banning smoking in areas such as railway station concourses, which often have many different cafés and restaurants within them. Making new outdoor seating areas smoke-free will make them more attractive to the 86% of adults who do not smoke, especially families who do not want their children exposed to greater risk of second-hand smoke. The avoidance of smoking will make these places more attractive to potential customers, which is why local authorities support Amendment 15.
Finally, this amendment does not go nearly as far as the Welsh Government are going. With Labour support today, this amendment will be carried. Perhaps the Government will agree to think again before Third Reading.
My Lords, it is good to follow the noble Lord, Lord Rennard, and to hear of the progress that has been made with so many people giving up smoking during lockdown. I rise, however, simply to lend my voice to those who applaud the care being taken in this difficult area by my noble friend the Deputy Leader. I could not support Amendment 15—or the introduction, in emergency legislation, of what amounts to a new smoking ban. This would be a real slap in the face to the hospitality sector, which is already on its knees. The measure could also displace customers into other trading areas, blocking access and achieving the near opposite of what is desired. The government amendment, which I support, requires proper provision for non-smoking seating. This will allow customers to sit outside whether they want to smoke or not and aid the observance of social distancing. We should not delay the Bill by trying to work the issue further. The government compromise should be agreed to forthwith.
My Lords, leaving aside what colleagues have said about their support or non-support for particular amendments, the right policy here is very clear. In fact, it has been supported by 15 of the 17 noble Lords who have spoken before me in the debate.
That policy is this: licensed outdoor premises, where they replace indoor premises where smoking is currently not allowed, should not be licensed for smoking. As the noble Lord, Lord Lansley—a former Health Secretary—said, anything less than this is a retrograde step. This is emphatically not a new smoking ban, as the noble Baroness, Lady Neville-Rolfe, just suggested. It is the replacement of indoor premises by outdoor premises, and those indoor premises do not currently allow smoking.
I applaud everyone who has helped get us to the halfway stage: my noble friends on the Front Bench who have done an excellent job in negotiations with the Government; the noble Baroness, Lady Northover, who first raised this matter at Second Reading; and the noble Earl, Lord Howe, whom we hold in very high regard, and whom I know has worked hard to get to a compromise position.
The compromise is a compromise. The House needs to address this question: on an issue as fundamental as this, to the public health of England and to people’s ability to enjoy and access licensed premises, should we settle for a compromise or should we move to the right policy which—as I have said—almost everyone who has spoken in this debate supports? This policy would simply replace the existing prohibition on smoking indoors in licensed premises with a prohibition on smoking outdoors, in respect of those licenses. Contrary to what the noble Baroness, Lady McIntosh of Pickering, said, this would not affect existing outdoor smoking facilities.
I have listened carefully to this debate, and to representations which have been made to some of us outside of it. I cannot see a single good argument for not agreeing with this amendment. I applaud the noble Baroness, Lady Northover, on bringing it forward and pushing it so strongly. Without people like her, we never make progress on these fundamental issues of public health and civil liberties. I will simply end with the great injunction of David Lloyd George: “When traversing a chasm, it is advisable to do so in one leap”.
My Lords, we need the hospitality sector to be active and to start doing business, both for its benefit and for the good of the country and members of the public. People have been frustrated over the last few months due to the lockdown. Some of them suffer from anxiety problems, and it is important for them to go out and mingle with their friends and relatives. Therefore, we must cater for people who smoke, as well as those who do not, when they go out.
We must bear in mind that over 85% of the British population are non-smokers, and they are concerned about being subjected to passive smoking when they go to a pub, restaurant or café. We all appreciate that if any person smokes it causes harm, not only to himself but to others around him who inhale second-hand smoke.
Persons who have been confined indoors over the last few months are now able to go out, and they feel happier when they are sitting in the open, rather than inside the premises. I was recently at a private club, where nearly all the customers were sitting outside on the terrace. In fact, the group next to me were smoking, but there was adequate distance between the two tables and I was happy with the situation.
In Committee, I supported an amendment disallowing smoking outside the relevant premises. In fact, the Government are unwilling to ban smoking altogether, and I support Amendments 13 and 14 as I feel it is an adequate compromise. These amendments will allow both smokers and non-smokers to go out with some degree of safety, as there will be areas for both groups.
I follow the logic of the Government, as they do not wish to ban smoking outside generally. By banning smoking outside a restaurant, pub or café, it could be deemed that we are banning smoking altogether. I feel that the Government have listened and introduced Amendments 13 and 14. Having said this, I hope that we will achieve a smoke-free England by 2030.
With regard to the situation at present, there needs to be appropriate distance between smokers and non-smokers, which will prevent the danger of passive smoking affecting non-smokers. In addition to supporting Amendments 13 and 14, I am happy to support Amendment 25, as we ought to clearly define what smoking is all about and avoid ambiguity.
My Lords, I support Amendment 15 very strongly. I do not understand why on earth the Government are being so weak on this. They should accept that this is the way in which society is moving. Furthermore, why is Labour letting them? I have huge respect for the noble Baroness, Lady Wilcox of Newport, and I could not understand the rationale for Labour accepting the government amendments. The smell from e-cigarettes does not go very well with food either, so why on earth should we not ban those when we are trying to enjoy our food?
As we heard, thousands die from the complications of smoking. My mother, a lifelong smoker, did exactly that. It was decades ago, but I still miss her; she had an early death because of smoking. The damage from smoking was not clearly understood then—we understand it now, and we really should be doing something about it.
The noble Baroness, Lady Northover, spoke extremely well. I thought that she expressed her concerns and it was a brilliant speech; I was delighted that I agreed with her. I often agree, surprisingly, with the noble Baroness, Lady McIntosh, and I often support her amendments. She says that this is not very libertarian, so I ask: what about my liberty to breathe clean air? Road traffic and road safety campaigners that I meet come up against this all the time. We want the liberty to breathe clean air, and smoking does not allow that. Therefore, I wholeheartedly support Amendment 15 and I very much hope that it will go to a vote.
My Lords, we have heard, as we did in Committee, powerful arguments about taking this opportunity to exclude smoking from new pavement licensed areas. The case for ensuring that those of us who do not wish to inhale second-hand smoke are not excluded from that enjoyment is well made.
The amendment in the name of my noble friend Lady Northover is a vital step in making our country smoke-free. It had strong and detailed arguments in support of it from the noble Baronesses, Lady Finlay and Lady Grey-Thompson, the noble Lords, Lord Faulkner and Lord Balfe, and many other noble Lords.
However, Amendment 11, in the name of the noble Baroness, Lady Wilcox of Newport, lacks clarity for businesses and shies away from the paramount public health concern. It is a cop-out. When an argument relies on pointing to the drafting issues of a stronger amendment, as hers did, you know that it is very weak.
We have heard that the overwhelming majority of people do not smoke: a mere 14% do. Protecting the interests of a minority does not extend to a situation where, by doing so, harm is created for the majority, as the noble Baroness, Lady Jones of Moulsecoomb, has just explained. Smoking kills and second-hand smoking kills. Surely the Government should take every opportunity to restrict it.
The choice is clear: do we use this opportunity to keep the health needs of customers paramount or not? The amendment of the noble Baroness, Lady Northover, is supported by the Local Government Association. I hope the Minister will provide a full response to the proposal of the noble Lord, Lord Hunt of Kings Heath, to have further consideration on Amendment 15 prior to Third Reading, so that progress on this issue can be made.
Other amendments on this matter fudge these vital health concerns, and we on these Benches wholeheartedly support the cross-party amendment in the name of my noble friend Lady Northover.
My Lords, we would do well to remember that the pavement licensing clauses in the Bill provide vital temporary flexibility to aid the recovery of hospitality businesses over the summer months, and that we need to proceed quickly to achieve that. Noble Lords have voiced some concerns and requested clarity in relation to the position on outdoor smoking under these temporary fast-track licences. I am not going to go into the respective roles of the hard cop and the soft cop in achieving the Government’s amendments, as my noble friend Lord Young put it. However, in recognition of the mood across the House the Government have tabled Amendments 13, 14 and 25 to provide the clarity that local authorities, businesses and customers need.
It is important to recognise that we are winning the battle against smoking: Great Britain has one of the lowest rates of smoking in Europe, at 13.9% of adults. Fewer than one in six adults smoke today and, as we heard from the noble Lord, Lord Rennard, over 1 million people have given up during the lockdown, as was mentioned by my noble friend Lord Bethell earlier today.
This Government have taken great strides in reducing the harms caused by smoking. We committed to doing so in the prevention Green Paper. We will publish the prevention guidance response in due course and set out our plans to achieve a smoke-free England by 2030 at a later date. I am delighted that the noble Baroness, Lady Wilcox, supports that mission. I emphasise to her that there has been no stop in providing smoking cessation support. The Government continue to provide those programmes of work, which address smoking harms nationally and are delivered locally through the tobacco control plan for England and the NHS long-term plan’s commitment to provide smoking cessation support in hospital settings.
In the debate noble Lords expressed their support for the temporary, urgent and necessary reforms brought forward in the Bill to support the businesses hardest hit by this pandemic—our pubs, cafés and restaurants—and to protect jobs in those sectors. We recognise that the Covid restrictions mean that customers are encouraged or required to eat and drink outside, and that clarity is critical as we support businesses to recover. That is why the Government have tabled an amendment requiring proper provision for non-smoking seating via a smoke-free seating condition. This amendment does not prevent the portion of businesses which wish to cater for smokers from doing so. It requires proper provision for non-smoking seating. This means that customers who want to choose to sit in smoking or non-smoking al fresco dining areas will be able to do so.
The Government’s position means that all businesses eligible for pavement licences can share the benefits of this new fast-track licence, while ensuring provision for non-smoking seating. Of course, businesses can already make their own non-smoking policies for outside spaces to reflect customer wishes without the need for regulations, and the Government support that. I say to my noble friend Lord Balfe that a blanket ban can be imposed by businesses themselves. Our guidance will further reinforce this point, making it clear that the licence holder has to make reasonable provision for seating free of smoking.
The guidance is available on the GOV.UK website and was circulated to noble Lords and noble Baronesses before this debate. It includes clear no-smoking signage, displayed in accordance with the Smoke-free (Signs) Regulations 2012. No ashtrays or similar receptacles are to be provided or left on furniture where smoke-free seating is identified. Licence holders should aim for a minimum two-metre distance between non-smoking and smoking areas, wherever possible. That is the framework, so I do not see the confusion raised by the noble Lord, Lord Carlile.
It is also worth reiterating that businesses must continue to have regard to smoke-free legislation under the Health Act 2006, and the subsequent Smoke-free (Premises and Enforcement) Regulations 2006. This is restated in our guidance, as it is absolutely right to stress it, and the Government are committed to working towards a smoke-free society by 2030, as I have said.
Now is not the time to prevent businesses catering to their customers, or to use a temporary provision on pavement licences to ban smoking outdoors. Now is the time to support our hospitality industry and ensure that all businesses eligible for pavement licences can share the benefits of this new fast-track licence. This point was made by my noble friend Lord Blencathra. The noble Baroness, Lady Wilcox, is to withdraw her Amendment 11 and I thank her for her support for our amendment, which seeks to achieve what she set out in her amendment.
However, I fear that Amendment 15 in the name of the noble Baroness, Lady Northover, is not the way to proceed and would be unfair to businesses. While undoubtedly not its intention, it would create confusion. The effect is to create an unfair playing field between businesses applying for these new licences, which need to abide by the condition, and those with existing licences, which do not. This point was made by several of my colleagues. Her amendment also cuts across the ability of business owners to make their own non-smoking policies for outside space, without the need for regulations. Of course, there are cases where the regulations are already clear. The existing power, set out in the Health Act 2006 and subsequent Smoke-free (Premises and Enforcement) Regulations 2006, made it illegal to smoke in public in enclosed, or substantially enclosed, areas and workplaces. The Bill changes none of this.
On the other hand, the Government’s amendment has the proportionate approach advocated by the noble Lord, Lord Clement-Jones. He said that we needed proportionality and this is what we deliver with this amendment. It rightly requires proper, fair provision for non-smoking seating, while not undermining business owners whose customers include smokers. It supports our hospitality sector in continuing to operate, while following the Covid restrictions necessary to protect public health. I thank my noble friends Lady Neville-Rolfe, Lord Sheikh, Lady McIntosh, Lord Lansley and Lord Young for supporting the government amendment, as well as the noble Baroness, Lady Falkner. I therefore urge noble Lords to support government Amendments 13, 14 and 25, which will ensure that consumer choice remains. The noble Baroness, Lady Wilcox, has already indicated that she will withdraw her Amendment 11, but I ask that the noble Baroness, Lady Northover, does not move her Amendment 15 when called.
On a couple of points of clarification, the guidance being issued is joint guidance from the MHCLG and DHSC. It will not be subject to parliamentary scrutiny, in response to the noble Lord, Lord Faulkner. In response to the noble Lord, Lord German, there will be no physical barrier between non-smokers and smoking areas but a two-metre gap. I hope that answers the questions raised in the debate.
Unfortunately, Lady Wilcox, we cannot hear you. Can we try again?
Deputy Speaker, can you hear me now, please?
Thank you. I thank all noble Lords who have spoken in this debate for the many important and apposite points raised. The Government could have gone further in the development of their amendment, as I noted, and thus we tabled our own amendment. I may be one of the most recent Members of your Lordships’ House but I believe it is one of the prerequisites of our work to make those changes. For the record, the Welsh Health Minister, Vaughan Gething, made a manifesto commitment before the introduction of legislation that will follow, under normal process, regarding Wales’s public spaces and smoking in the next Senedd term. We will keep these matters under review and, no doubt, return to the issue within longer-term legislation in the future. I therefore now beg leave to withdraw the amendment standing in my name.
I thank the Minister for his response to the amendment. I remind the noble Baroness, Lady McIntosh, that the noble Lord, Lord Young, sits on her Benches, that the noble Lord, Lord Faulkner, sits on the Labour Benches, and that the noble Baroness, Lady Finlay, sits on the Cross Benches—this was a cross-party amendment. I thank all noble Lords for their contributions and their overwhelming support. I am glad that the Government have taken on board the issue of smoking, which we raised at Second Reading and in Committee. I realise that it was late in the day to put something effective in place at this stage, despite the Government’s apparent commitment to England being smoke-free by 2030. I note that the noble Earl, Lord Howe, has chosen not to move his amendments in person, even though he is here in the Chamber.
This amendment was about public health, and about encouraging people back to pubs and restaurants. I said that this issue was in Labour’s hands, and it is an open goal. It is utterly specious to say that this amendment is flawed. If it were to go through, the Government’s lawyers would help to iron out any deficiencies if they existed, as is absolutely usual. I am disappointed that Labour chose to put down their own, much weaker, amendment. I thank the numerous supporters on the Labour Benches, who have told me of their own disappointment about their party’s position today, which means that we cannot secure the cross-party amendment which would have been clear, simple and the right thing to do. Once a further 30 Peers are introduced, it may become even more difficult.
I am more than ready to work with others across the House, and with the Government, on making sure that their regulations are clear, simple, and encourage people back, making a clear situation for both proprietors and local authorities. But as we cannot win without Labour support, and as the Labour Front Bench has made its position clear, I will not put my co-signatories in a difficult position. This is, after all, a cross-party amendment. I therefore beg leave to withdraw the amendment.
I inform the House that if Amendment 16 is agreed to, I cannot call Amendments 17 and 18 by virtue of pre-emption.
Amendment 16
We now come to the group beginning with Amendment 19. I remind noble Lords that Members other than the mover and the Minister may speak only once, and that short questions of elucidation are discouraged. Anyone wishing to press this or anything else in the group to a Division should make that clear in the debate.
Amendment 19
My Lords, in moving Amendment 19, I will also speak to my other amendments in this group. Since there is much agreement, and also duplication, I will try to be brief.
These amendments are drafted pursuant to the 17th DPRRC report. I thank the committee for its hard work on this Bill, and on the emergency Bills on which it has had to work in recent weeks. The timescales are very difficult, and the pressure to deliver is also very high, but it has been able to do that with considerable skill, and we are very grateful.
The DPRRC recommendations set up, in essence, a dialogue between the Government and the committee. However, in a spirit of co-operation and because of the short timescales of the emergency legislation, we often put down the recommendations of the committee as amendments as a way of encouraging the Government to act. In Committee, we had a series of notifications that the Government were preparing to accept the DPRRC recommendations. However, on this occasion, it also produced an interesting outcome. For your Lordships’ information, the wording of our amendments has been strongly influenced by the helpful advice we received from the Public Bill Office, although they are our responsibility and tabled in my name. But it is interesting that on several occasions, recommendations made by the DPRRC in the report have resulted in different wordings in the amendments that have been tabled by the Government and by ourselves. When the noble Earl comes to reply, he may be able to shed light on the Government's thinking and explain some of the differences in approach, and I think that would be helpful. Amendment 78 in the name of the noble Earl says:
“If the Secretary of State considers it reasonable to do so to mitigate an effect of coronavirus.”
But our version in Amendment 79, which we hope will achieve the same result, says
“but regulations may only be made under this subsection where the Secretary of State considers it necessary or appropriate for a purpose linked to the coronavirus pandemic.”
I am not saying that we have a monopoly on the correct drafting, but I think it interesting that we have come to different conclusions about what might be considered the same issue.
I am left with a slight concern that we may have exposed a gap in our procedures that is exacerbated by the nature of these pieces of legislation. I hope that in calmer times, the DPRRC and the House might find an opportunity to reflect on this, and that our other committees, such as the Secondary Legislation Scrutiny Committee and the Constitution Committee, might do likewise.
When he comes to respond, it would be for the benefit of the House if the noble Earl highlighted any areas where the Government have decided not to follow the advice of the DPRRC, in whole or in part. I beg to move.
I only really need to say one thing. I am concerned that some of these clauses might turn into permanent legislation—I am aware that there is a tendency for what is temporary to become permanent. Can I have the Minister’s assurance that it is not intended to extend any of these clauses beyond what is absolutely necessary to deal with this emergency?
My Lords, I share the fear expressed by the noble Lord, Lord Balfe, and by many others during the brief passage of this urgent legislation. We must be mindful that it is on the whole about temporary and not permanent measures, and that we have clearly identified where the temporary should apply. I will not overegg the difference between Amendments 78 and 79, which has been rightly highlighted by my noble friend Lord Stevenson, especially as the Government Chief Whip has reminded us to confine ourselves to getting this Bill through to Royal Assent without keeping people up until midnight. Enough has been said.
My Lords, I thank the noble Lord, Lord Stevenson, who I think has done a service to the House and indeed the country. It was interesting to hear what he said about advice from the Public Bill Office. However, Amendment 27, which is the one that took my eye, is precautionary and by definition refers to the coronavirus pandemic and, therefore, one hopes it is time-limited. I thank him for raising this absolutely crucial issue and yet giving the Government the facility to act as they feel appropriate.
I would not normally intervene on a Bill when I had not taken part in its earlier stages, but noble Lords will know that my earlier absence was because of the illness and death of my wife, who contributed so much to this House and had friends in all parts of it.
I speak as a member of the Constitution Committee to underline its concerns about fast-track legislation and, to some extent, the way they have been dealt with as the Government have brought forward the amendments in this group. Fast-tracking tends to limit parliamentary scrutiny and discourage necessary amendment of Bills. It also tends to increase confusion about what is the law, what is guidance, what is advice and what is merely a proposal. During the whole of the coronavirus epidemic, this has been a besetting failure, leaving those who have to enforce the law uncertain as to what it is and is not. Fast-track legislation should not be drafted widely, loosely and without clarity.
These government amendments appropriately limit the worrying power to extend the time limits on what is supposed to be temporary legislation dealing with an emergency—admittedly one whose duration none of us can be certain about. Had we passed the Bill in its original form, we would be enacting sunset clauses in a land where the sun never sets—as people used to say about the British Empire—because they can be extended for no purpose connected to the coronavirus. This might have been challenged in the courts, but it would have been a long and complicated case.
The new drafting makes Parliament’s intention in allowing these powers of extension clear: it is to allow them only to the extent necessary to deal with the effects of the coronavirus. I note that the wording deals with the effects and not merely the virus itself; we are clearly talking about the economic consequences as well. I welcome the fact that the Government have brought these amendments forward, and they significantly improve the Bill.
I am most grateful. It is a pleasure to see the noble Lord, Lord Beith, back in his place, and we mourn his loss. I recognise the contribution that his late wife, the noble Baroness, made to this House; she will be greatly missed.
The noble Lord, Lord Stevenson, and my noble friends have done a great service to the House with this group of amendments, which can only improve our understanding of the temporary nature of the legislation before us today. I do not wish to add anything further at this stage.
My Lords, I associate myself with what my noble friend Lady McIntosh said about the noble Lord, Lord Beith, and his late wife. I have nothing to say on this amendment and am delighted with the amendments the Government have brought forward. I also associate myself with the comments made by the noble Lords, Lord Stevenson and Lord Beith.
My Lords, I take this opportunity to say something positive about the Government because it is positive that the Minister has tabled amendments that tighten up the secondary legislation powers in the Bill. The Government routinely ask Parliament to grant excessively broad powers so that they can go off and make up their own laws. It would save a lot of time if they were to exercise self-restraint in writing Bills because, if they thought something like, “Let’s draft it as narrowly as possible without undermining the purpose of the Bill”, I think we would have fewer fights in your Lordships’ Chamber.
The amendments brought by the Government today will head off many of the potential problems raised in Committee and show how parliamentary scrutiny can bring the Government to the right place in the end.
My Lords, I refer to government Amendments 58, 65, 78 and 81, as well as to other amendments related to them. This takes me back to law school and the two greatest challenges I encountered there. The first was in the field of equity. We had a phrase in the legal profession: “Equity varies with the length of the Chancellor’s foot.” Yet it was—and still is—a vital and valuable area in which fairness can be administered in the application of the law in England and Wales.
The second element was the word “reasonable”. I spent much time then, as I have again now, rereading some of the judgments, particularly those of a lawyer I greatly respect—the late Lord Denning—who talked about reasonableness and the interpretation of “reasonable”. It is a minefield, particularly in an area of legislation such as this. I think the noble Lord, Lord Carlile, was so right in what he said a little while ago in this debate: dealing with the word “reasonable” in terms of the Minister’s powers to extend the provisions opens up a challenge—which I hope will not happen because in general this legislation is not only necessary but, in the main, well drawn.
I recognise the activities of the Delegated Powers and Regulatory Reform Committee in what it said. It supported—as shown by the letter we received from my noble friend Lord Howe earlier today—the wording of the various government amendments here, with the word “reasonable” used in terms of ministerial activity. However, as the noble Lord, Lord Beith, said, the Constitution Committee came out quite clearly with wording not dissimilar to that used by the noble Lord, Lord Stevenson. The advantage of that wording is simply this: talking of necessity, and introducing necessity and appropriateness into a decision taken by a Minister who wishes to extend, makes the legislation less vulnerable to challenge.
I hope that, even at this late stage, my noble friend the Minister will consider looking at those words, which again came from the Public Bill Office as well as from our Constitution Committee, and making those changes to give the Bill a real prospect of being unchallenged—either in its temporary form or in any extended form that might be regarded as necessary and desirable.
My Lords, thanks to the work of the Delegated Powers and Regulatory Reform Committee, a number of very important amendments have been tabled by the Government that limit the extent of the powers in the Bill, with exceptions for a need consequent on a further outbreak of the coronavirus. Although there are disputes over the wording—the exact precise wording, as we have heard from a number of speakers—in general the amendments are supported on these Benches.
Of course, we all greatly miss our friend Baroness Maddock and record our commiserations to my noble friend Lord Beith.
My Lords, I begin by speaking to the government amendments in my name—Amendments 26, 28, 47, 49, 58, 60, 65, 67, 73, 75, 78, 80, 81 and 83—which are grouped with Amendment 19 and the others in this group tabled by the noble Lord, Lord Stevenson.
I am grateful to the noble Lord, Lord Stevenson, for tabling his Amendments 19, 22, 57, 63 and 71, which would require any statutory guidance issued by the Secretary of State in relation to pavement licences, extended planning permissions, construction hours or electronic inspection of the Mayor of London’s spatial development strategy to be subject to negative parliamentary procedures. As he indicated, these amendments reflect recommendations made by the Delegated Powers and Regulatory Reform Committee of your Lordships’ House in its report on the Bill. I welcome the opportunity to discuss them.
The committee’s views are always important, and we have responded positively elsewhere in the Bill to its recommendations, as I shall explain in a moment. However, in relation to this matter, I am afraid we cannot accept its recommendations or, by extension, these amendments. This reflects partly a general principle but also the practical realities. First, the statutory guidance under Clauses 5, 8, 16, 17, 18 and 21 is planning guidance. Guidance by the Secretary of State to local planning authorities has been a key feature of the planning system ever since its creation over 70 years ago—whether that guidance has been through circulars, planning policy guidance or, more recently, the National Planning Policy Framework and its associated practical guidance.
The issuing of this guidance, as a general principle, has never required statutory instruments. For instance, there is no parliamentary procedure requirement in relation to guidance to local planning authorities about the preparation and content of local plans, a key planning function under Section 34 of the Planning and Compulsory Purchase Act 2004. Similarly, and to give an example directly relevant to this Bill, our construction working hours provisions and the extension of planning permission provisions modify the Town and Country Planning Act 1990. The various powers of the Secretary of State to issue guidance under that Act are not subject to parliamentary procedure. These documents will form part of the full suite of planning practice guidance and, in practice, it would be peculiar to have different parallel procedures for publication.
Our pavement licence clauses are linked to Part 7A of the Highways Act 1980. That Act contains four powers for the Secretary of State to issue guidance, none of which are subject to parliamentary procedure. Two of these powers were inserted by amending Acts in 2000 and 2015. The situation is similar for other statutory guidance required by this Bill. So, prescribing a parliamentary procedure for guidance in relation to the temporary planning measures in the Bill would be out of kilter with our well-established approach.
Furthermore, requiring guidance to be subject to parliamentary procedure does not reflect the practical realities of planning guidance. The draft guidance we have published is, like our other planning guidance, technical and practical and expressed in the form of questions and answers to help local planning authorities, and applicants, and has been formulated taking account of the view of sector specialists. For instance, the guidance on additional environmental approval for extending planning permissions has had input from the Environment Agency and Natural England. I hope that many noble Lords will have had the opportunity to review this guidance during the course of the Bill’s passage.
This guidance is designed to evolve over time in response to local planning authorities’ practical experience of these temporary measures. While we have obviously sought to ensure that guidance is as comprehensive as possible from the outset, we know that, in time, additional questions or clarifications may be required. We want to be able to make these updates in a flexible and timely way. We should not forget that local planning authorities are best placed to understand the specific needs, requirements and arrangements of their local areas. Providing helpful and up-to-date guidance is essential in allowing them to exercise their judgment on the ground. Requiring each change of guidance to be subject to the negative parliamentary procedure makes it more difficult in practice to make incremental changes to help them. I therefore regret that we cannot support these amendments, and I humbly beg the noble Lord, after reflecting on our arguments, to withdraw or not move them.
Turning to the other amendments in this group, I am pleased to say that the noble Lord, Lord Stevenson, and I find ourselves in broad agreement. The Government’s Amendments 26, 28, 47, 49, 58, 60, 65, 67, 73, 75, 78, 80, 81 and 83 implement another of the recommendations of the Delegated Powers and Regulatory Reform Committee, which the Government are pleased to accept. As noble Lords will be aware—I emphasise this to my noble friend Lord Balfe and the noble Lord, Lord Blunkett—the vast majority of the measures in the Bill are temporary. In several cases, clauses provide for expiry dates to be extended by regulations, subject to the affirmative or “made affirmative” procedure.
We thank the committee for its careful consideration of the Bill. Our amendments in this group would implement its recommendation to clarify that the provisions will only be extended for a purpose linked to the coronavirus pandemic. I was grateful to the noble Lord, Lord Beith, for his supportive comments on this issue. I join other noble Lords in extending my sympathy to him on the loss of his wife, the noble Baroness, Lady Maddock.
The Government’s intention has always been for the powers to extend the temporary provisions to be used, if necessary, in response to emerging information about the duration of the pandemic, the nature of social distancing requirements and the impact of coronavirus on relevant sectors. We want to provide absolute clarity that the powers to extend will be exercised only where this is necessary and appropriate, and only to mitigate an effect of coronavirus. Therefore, these amendments make this clear on the face of the Bill. The wording we have used is consistent with other legislation. I also remind noble Lords that the requirement for any extensions to be by regulations, subject to the affirmative or “made affirmative” procedure, will provide opportunity for further parliamentary scrutiny.
I am sure that noble Lords will welcome this clarity, and I hope that the noble Lord, Lord Stevenson, will agree to withdraw Amendment 19 and to not move Amendments 27, 48, 59, 66, 74, 79 and 82, which are intended to achieve the same purpose.
I thank noble Lords who have spoken in this short debate, not just for their widespread support but for their brevity. I particularly thank the noble Lord, Lord Naseby, for his kind words. I join other noble Lords in very much appreciating that the noble Lord, Lord Beith, has come in today to speak on this issue, and sympathise with him at this time of loss.
It was good to hear the noble Earl give a full response. He always couches his words to your Lordships’ House in such reasonable terms, packaged in a velvet of deepest hue, that it is sometimes easy to think that he is agreeing with you, when in fact he is not. In particular, I picked up his heavy points regarding the Government’s intention not to take up the recommendations from the DPRRC on statutory guidance to which regard must be had. The noble Earl gave very good examples, which had not occurred to me, but I have no reason to doubt that they are genuine. However, the DPRRC’s report is very firm on this issue:
“We have frequently taken the view that statutory guidance to which regard must be had … should be subject to a parliamentary procedure.”
It goes on to say that:
“This is not to say that the guidance should have to be drafted like a statutory instrument … The point is that guidance which has legal significance, and which may have—and may be expressly designed to have—a transformative effect on behaviour in important areas, requires a parliamentary procedure.”
There is clearly no chance that the House will resolve this important issue in this Bill, but I point out to the DPRRC that it has now been raised. It, and other committees, may wish to return to it in order that we resolve it going forward.
The House has given this issue a good kick about. I am grateful to the noble Lord, Lord Kirkhope of Harrogate, for picking up exactly point I was trying to make about the importance of the choice of terminology. He focused on a different set of amendments, but this issue runs like a golden thread through all the Government’s proposals when compared to ours. These are important differences, but they are not necessarily going to hold the House back tonight. I hope, again, that the DPRRC will look at them in due course. I beg leave to withdraw Amendment 19.
“73 Functions relating to pavement licences | Sections 1 to 7 of the Business and Planning Act 2020.”” |
We now come to the group beginning with Amendment 29. I remind noble Lords that Members, other than the mover and the Minister, may speak only once and that short questions of elucidation are discouraged. Any noble Lord wishing to press this, or anything else in this group, to a Division should make that clear in debate.
Clause 11: Modification of premises licences to authorise off-sales for limited period
Amendment 29
My Lords, in moving Amendment 29, I will also speak to the other government amendments grouped with it and to which it relates. I thank noble Lords who have scrutinised the alcohol licensing measures in this Bill and, in particular, those who have made points regarding late opening hours. The Government have listened to and understood the concerns around the possibility of associated noise nuisance and anti-social behaviour occurring when a late licence is in existence.
Taken together, Amendments 29, 31, 32, 33, 34, 36, 38 and 44 introduce a standard cessation time of 11 pm to operators trading under the new off-sales permissions. They also limit the ability of those premises which are licensed after midnight to resume off-sales at that time, restricting their ability to do so until they open for business the following day. With these amendments, new permissions will apply only until 11 pm or until the current licensing hours for that premises end, whichever is earlier.
We have also tabled Amendment 45, which addresses those premises that may have restrictions on their licences that do not permit the use of a beer garden or other outdoor space beyond a certain hour. Amendment 45 will limit the ability of a premises to carry out off-sales under the new permissions where they are already limited from selling alcohol for consumption in an outdoor area of the premises. That is, if a premises cannot use its outdoor area beyond a particular time, it will not be permitted to carry out off-sales beyond that time under the new permission either. This amendment is a further safeguard to help to ensure that this measure works for local communities and not against them.
I thank again the noble Lords with whom I have engaged inside and outside of this Chamber, who have helped to bring forward these constructive amendments that the Government have tabled today. I look forward to further debate. I beg to move Amendment 29 and look forward to responding to the other amendments in this group.
My Lords, I will speak to Amendment 40, in my name and that of my noble friend Lady Pinnock, and to the other amendments in this group. For the benefit of those who may have just joined us, let me summarise. The Government have got themselves into a right two and eight. Amendments 29 to 41 deal with bars, pubs and restaurants that have licences to sell alcohol on their premises and which will temporarily be allowed to sell alcohol for consumption off the premises as result of this Bill.
The Bill does not redefine the area covered by pavement licences as being part of the licensed premises. As a consequence, drinks served within the area covered by pavement licences will be off-sales. To enable alcohol, such as glasses of wine and beer, to be served at tables within pavement-licensed areas, the Government have had to lift the current restriction on alcohol off-sales being only in sealed containers. The unintended consequence of lifting this restriction is to allow the unrestricted sale of alcohol from these premises in wine and beer glasses, for example, to people who can then walk down the street, drinking where and when they want.
Local residents do not want people drinking outside their homes, away from licensed premises, with the potential for disorder, violence and urinating in the street, particularly late at night. In addition, broken straight beer glasses can cause horrifying injuries, whether when deliberately broken and used as a weapon or when people fall on to broken glass.
This brings me to the amendments. The Liberal Democrats’ Committee amendment, which sought to restrict off-sales to no later than 11 pm, has been given effect by government Amendments 29, 31 to 34 and 36 in this group, which obviously we support. I thank the Minister for securing this—albeit limited—concession. However, these amendments do not prevent street drinking away from pavement-licensed areas and neither does Labour’s Amendment 39 in this group, albeit that it restricts it to street drinking from plastic cups.
Our Amendment 40 restricts off-sales in open containers to pavement-licensed areas, beer gardens and the like, but also supports businesses by allowing alcohol to be taken away from restaurants, pubs and bars in sealed containers. If the restaurant or pub is too full when you get there—because of social distancing, for example—it allows you to take alcohol home from those premises in an unopened bottle, can or other sealed container, as currently applies to existing off- licences, supporting hard-pressed businesses as a result. Amendment 41, tabled by the noble Baroness, Lady Stowell of Beeston, does not allow alcohol to be taken away from the premises under any circumstances, which would hinder trade.
In a meeting with Ministers last week, the Government agreed to discuss Amendment 40 with us before Report but they have failed to do so. I explained in Committee why existing provisions and the provisions in the Bill are inadequate to deal with street drinking and disorder. As a consequence, I give notice that I intend to divide the House on Amendment 40.
The noble Baroness, Lady Stowell of Beeston, has withdrawn, so I call the noble Lord, Lord Mann.
My Lords, I thank the Government for the way in which they have listened on the amendments that have been tabled, particularly in relation to late licensing and the problem that occurs in many communities of police forces being overstretched by over-late licensing for tiny numbers. That seems to be a bit of a tradition going back three or four Governments. It was not just the disruption to local residents that was a problem, it was the huge distortion—in areas such as the one I live in—in how the police budget was used.
I recall an example where a late licence was given to one premises until 5 am. Tiny numbers would be drinking there but the danger of some form of anti-social behaviour between, say, the hours of 1 and 5 am was disproportionately high. Therefore, police rosters for an entire area had to be altered. It took a good two years of argument and pressing to begin to work that backwards. The consequential impact on other policing, when police numbers were very low, was great. I commend the Government on their approach and commend noble Lords who have proposed amendments that would have a similar impact on timing. The foreseeable consequence in relation to police resources, particularly in smaller communities, is huge. That displacement at the moment would be critical.
On the amendment tabled by the noble Lord, Lord Paddick, I propose to the Minister that the question of miners’ welfares always needs to be borne in mind. Whenever there is licensing, I always think miners’ welfares are a good litmus test of whether the law is any good. The miners’ welfares that I know very well are in a range of locations. Some have licences that fall comfortably within the concept of gardens and that kind of space. Some have at great expense designed spaces to capitalise on that. Others do not have that opportunity but have a similar kind of clientele—a highly responsible clientele who have been better in the responsibleness of their behaviour over the last three or four months and are able to drink sensibly and rationally.
What the Government propose seems far more sensible than the amendment. If there were to be an amendment, the one proposed by the noble Lord, Lord Kennedy, seems the more rational option. It seems to me that, for some businesses that are on the cusp at the moment, simply restricting in would have unforeseen consequences for their business planning. I encourage those miners’ welfares to survive by providing an additional service. Despite the fact that I had great fears about potential late-night drinking, I have no fears about that in communities such as the one I live in. I think the Government have listened and commend their approach on this. I would be interested to hear the debate on what the noble Lord, Lord Kennedy, has to say. He seems to have struck a middle ground but does not appear to be pushing his amendment to a vote.
I have one question for the Minister and one point to make. In the city I live in, there are a number of licensed premises near the centre of town for which the local authority has made the licence to sell alcohol cease at 10 pm. Will that still be permissible under the provisions here? I confess that I cannot work it out. It did it to stop people coming out of local pubs and doing what is known as preloading—in other words, getting alcohol from nearby off-licence premises and either trying to take it back into the pub or drinking outside the pub. Will licences earlier than 11 pm still be able to be imposed?
The second point is that the banning of glasses is really quite important. Anyone who has been to the accident and emergency department of Addenbrooke’s Hospital in Cambridge will know that scarcely a Saturday night goes by without some sort of incident that has involved alcohol and broken glass—a bottle, a mug or a glass. I am concerned about this and would like the Government to rehearse why they feel they cannot agree to what seems to be a quite reasonable amendment from the noble Lord, Lord Paddick.
My Lords, I am most grateful to my noble friend the Minister for accommodating the concerns expressed, both at Second Reading and especially in Committee, with regard to the noise and nuisance associated with late-night drinking. I welcome the fact that the cut-off will be fixed at 11 pm. This allows bars and restaurants to adapt to these new temporary measures, given the challenge they face and the loss of trade they have suffered, but also recognises the rights of residents, who obviously want to have a good night’s rest and peace and quiet after 11 pm.
I have one question for my noble friend about Amendment 40 in the name of the noble Lord, Lord Paddick. I have some sympathy with what he is proposing, but currently if you walk home on a sunny evening you see the general spillover on to the pavement of regular bars. I assume these are glasses carried out from the bar on to the pavement, so I am not quite sure why we will have two rules—one that will apply to this temporary piece of legislation, while the permanent situation will carry on as normal. Perhaps we should look at what other countries do and learn from them. I have great difficulty in seeing how this would apply in practice.
My Lords, I will speak to Amendment 40 and support the case for it made so clearly by my noble friend Lord Paddick. I have had two concerns about off-sales during the passage of this Bill: first, off-sales being permitted after 11 pm and, secondly, the use in off-sales at any time of open glass or other containers that could easily be used to cause injury to another person.
The Government have agreed to restrict off-sales to before 11 pm and that is right, but the issue of the containers allowed for off-sales has not been agreed. My noble friend Lord Paddick has made a very persuasive case about the unintended consequences of the Government’s position. The Government so far seem to have failed to put forward a logical case that would prevent an unnecessary extension to street drinking. My noble friend Lord Paddick’s amendment has the advantage of allowing the use of appropriate containers for off-sales but reducing the risk of injury through the use of open glass or other potentially dangerous containers. I think all parts of the House could agree on that compromise. The Government have got themselves into a very difficult position and my noble friend Lord Paddick has proposed a way out of it.
My Lords, I was due to speak on Amendment 27, which restricted the times of alcohol sales off the premises, and after the timely intervention of my noble friend Lady Williams the matter was dropped. I therefore support Amendment 44 and agree with restricting off-sales to 11 pm.
Although we are allowing off-sales, they must be controlled to avoid crime, disorder and disruption. I realise that under Section 76 of the Anti-social Behaviour, Crime and Policing Act 2014, the police can issue an immediate closure notice to any premises if there are “reasonable grounds” to believe
“that the use of particular premises has resulted, or … is likely … to result”
in problems of crime, disorder or disruption.
Having said this, we must take into account areas with clusters of licensed premises in certain parts of London and elsewhere. Four local authorities have over 37% of all licensed premises in London, and there are similar situations in other cities and towns. The point to emphasise is that crime, disorder and nuisance cannot be associated with any particular premises, and therefore the powers to issue closure notices would be difficult to exercise in view of the cluster of licensed premises. I am therefore sure that the police and local authorities will welcome the restrictions set out in Amendment 44.
If we do not restrict the hours of alcohol sales, as proposed by Amendment 44, it will allow people who have already had a lot to drink to take alcohol away with them, drink in the streets and cause problems in the neighbourhood at night. It will also enable people to have late parties in their home or garden, causing nuisance and disturbances to their neighbours.
In regard to the amendment tabled by the noble Lord, Lord Paddick, although I supported his similar amendment in Committee, I am unable to support Amendment 40 because I do not see that it will do anything. I cannot see there being a problem.
My Lords, I support the amendment proposed by the noble Lord, Lord Paddick. It will be dangerous to allow the sale of alcohol in beer glasses, as they could be used as a weapon. The police regularly have to intervene when fights break out once a consumer has drunk a few glasses of beer or spirits. A glass container is a dangerous weapon, often used by those under the influence of alcohol. Innocent people walking near these premises can get hurt and could be hospitalised, thereby putting pressure on the NHS during this difficult time. The amendment would prevent the premises selling to customers in beer glasses. I hope that the proposal of the noble Lord, Lord Paddick, will be carried.
There are two related but separate amendments in this group concerning off-sales. The first, to limit the time for off-sales, was the subject of extensive debate in Committee and a commitment from the Minister to bring forward a government amendment on Report. The government amendments achieve that by limiting to 11 pm the latest time by which off-sales can be made. As this exactly replicates the proposal from these Benches in Committee, obviously we support these amendments and thank the Minister for responding so positively to the arguments made.
The second element is that of off-sales in open containers. My noble friend Lord Paddick has made another powerful case for limiting off-sales to closed containers, be it in cans or bottles. The reason is to prevent unruly scenes that may follow drinking from beer glasses in the street. Broken glass in the hands of those worse for wear is a nasty weapon. The amendment in the name of the noble Lord, Lord Kennedy, seeks to limit such off-sales to non-glass containers, but that misses one of the critical arguments entirely, which is that off-sales in open containers, whether glass or plastic, can lead to anti-social behaviour. There have been plenty of such incidents before sporting events that resulted in drinking limits being made. My noble friend Lord Paddick’s amendment seeks the same protections for local communities and, indeed, other sensible drinkers. We do not wish to see a Bill designed to help businesses becoming one which, as a side-effect, encourages irresponsible and unsafe drinking. My noble friend’s amendment is important for individuals, communities and policing, and it clearly has the full support of these Benches.
My Lords, I thank the noble Baroness for tabling the government amendments. As other noble Lords said, a convincing case was made for the ending off-sales at 11 pm under these new licences. This was first raised in the other place by my honourable friend the Member for Hackney South and Shoreditch, Meg Hillier. She raised the problem she is having in her constituency even before these powers will come into play. There were huge problems in London Fields, and she raised the concern that if the Bill as it was then had been passed, it would have exacerbated the problem. I thank the Government for listening to that. I also thank the Covent Garden Community Association and the Soho Society. Weymouth Town Council was also concerned about this, as was everybody else who got in touch with me. It was also pleasing to see that we had the leaders of the Royal Borough of Kensington and Chelsea, the City of Westminster, Camden and Southwark, two Conservative and two Labour boroughs, coming together because they had a number of premises that would be affected by these proposals. It is good that the Government listened and I thank them very much for that.
On the question of containers, I see the point that the noble Lord, Lord Paddick, is making, but there is also the issue of buying beer to drink outside, which the noble Baroness, Lady McIntosh, touched on. I sometimes go to the Shipwrights Arms in Tooley Street, and if you go in there and ask for two pints of bitter, they will ask, “Inside or outside?” If you say “Outside”, you will get it in two plastic containers—you do not get glasses outside. You will meet a big, burly security guard, and you will not get past him if you are carrying glasses. I take the point that glasses are dangerous and can be used as weapons, and we need to be mindful of that. However, in many cases we have those plastic containers, which you often see at sporting venues. However, I see the point the noble Lord is making.
My noble friend Lord Mann made a point about policing resources. I remember being a young councillor in Southwark in the 1980s. At that point, the council gave the music and dance licence, and the magistrates gave the alcohol licence—of course, that has all changed now. I remember that the police came along to us, exasperated, and said, “You’ve granted all these music and dance licences, then of course the pubs are getting all these licences. On the Old Kent Road on a Friday and Saturday night, we have to put in a huge amount of resources when we do the weekly rosters. Then at the same time you’re moaning at us that you want more officers on the beat. We can’t physically manage it all.” I remember how that was important at the time.
However, I am grateful to the noble Baroness for the government amendments that she has spoken to, I am delighted that the Government have listened, and I look forward to her response to the debate.
My Lords, I am grateful to all those who have spoken on this group of amendments and to those who have welcomed the government amendments. I take the opportunity to reiterate to the House that the government amendments in this group will introduce a standard cessation time of 11 pm for operators to trade under the new off-sales permissions or—I reiterate to my noble friend Lord Balfe —until the current licensing hours for that premises end, whichever is earlier. If that is 10 pm in Cambridge, that is the time it will be. As has always been the case with this measure, the new provisions will not affect premises’ underlying licences. They provide for new permissions that will apply to the holders of on-sales-only licences, and more restrictive dual licences that allow for off-sales under more restrictive conditions than are provided for under the new permission.
Amendment 45 will further help to ensure that the new permissions work for and not against local communities, as I said. It will do this by limiting the ability of premises to carry out off-sales under the new permissions where they are already limited from selling alcohol for consumption in an outdoor area of the premises. That is, if a premises cannot use its outdoor area beyond a particular time, it will not be permitted to carry out off-sales beyond that time under the new permission either. Where such restrictions apply, it is likely that a licensing authority has imposed the conditions to reduce the risk of noise nuisance or anti-social behaviour to local residents. These conditions should therefore remain in place. I hope that noble Lords will welcome these amendments, and again I thank those who led to their tabling today.
Amendments 30, 35 and 37 from the noble Lord, Lord Kennedy, seek similarly to restrict the hours when the new off-sales permissions apply. I thank the noble Lord for his constructive engagement as the Bill has moved through the House and hope that, given my explanation of our amendments, he will feel that he does not need to move his amendments when they are called.
Briefly, I know that my noble friend Lady Stowell did not move her amendment, but I will relay some of the points that we have discussed. For the sale of alcohol for consumption in outside areas already part of the licensed premises, such as a beer garden, those sales are defined as on-sales and premises will therefore not require a new permission to carry out this function. However, if premises wish to sell alcohol for consumption in bordering outside areas that are not on the premises plan as part of the existing licensed premises, they will still require an off-sales permission in order to do so. That might include an area they seek to occupy following the successful application of a pavement licence.
My Lords, I thank the noble Lords, Lord Balfe and Lord Bhatia, and my noble friends Lord Shipley and Lady Pinnock for supporting the amendment. To answer the question from the noble Baroness, Lady McIntosh of Pickering, provided drinking takes place outside a pub within the curtilage of the premises—that is, on the licensed plan—it is legal. Once it goes beyond that, drinking in open containers is illegal. This is to prevent people walking down the street and consuming alcohol in pint glasses or wine glasses without restriction, which this allows.
The Minister said the appropriate place for this to be addressed is in guidance, not legislation. With the greatest respect, that is complete and utter nonsense. The rules around current off-licences are set down in legislation. The legislation says that off-licences are not allowed, in law, to sell alcohol in open containers. She talks about an effective and long-standing regime. The effective and long-standing regime to prevent the sort of disorder the amendment seeks to prevent is exactly the same as it is for off-licences.
I do not know whether the Minister has seen the irresponsible participants in street parties and block parties that the police have had to deal with during lockdown. Without this amendment, we will see even more of that sort of thing. Therefore, I wish to test the opinion of the House.
We now come to the group beginning with Amendment 42. I remind noble Lords that Members other than the mover and the Minister may speak only once and that short questions of elucidation are discouraged. Anyone wishing to press this or anything else in the group to a Division should make that clear in debate.
Amendment 42
My Lords, it is a pleasure to introduce this group of amendments. When we think about what is required for the economic rebuild, the small independent breweries have demonstrated exactly those necessary qualities, particularly over the past decade. They now find that in many ways they are being shut out of the emergency powers being put in place to get the economy motoring again. For this reason I have tabled Amendments 42, 43, 50 and 51.
Amendment 42 is a minor amendment that will enable the small independent breweries to make off-sales to their customers. These businesses are known to HMRC because they will have passed the fit and proper person test and they have shown innovation during this crisis. They want this link on the temporary basis that is set out in the Bill to allow them to be economically self-sufficient and not need to come to the Government for support.
The breweries have had no sales to speak of during the Covid crisis, given that the pub sector has rightly been shut down for public health reasons. I ask my noble friend the Minister to consider these minor amendments to the licensing laws for the temporary period covered by the Bill. This will allow small breweries in particular to be rewarded for the innovation they have shown in the past that has enabled them to grow great businesses. Like all small businesses, they want to be part of the backbone of the British economy. Will the Government support these amendments, which seek merely to provide economic independence for this sector so that it does not have to draw on public money? If not, can my noble friend set out the support that the Government are looking to provide for this sector of the licensed trade?
I look forward to listening to the speeches of those Members who have signed up to these amendments and others in the group. With that, I beg to move.
My Lords, I thank the noble Lord, Lord Holmes, for moving his amendment. He has raised an interesting subject, but I will speak to my own Amendment 46. When one debates amendments in Committee one probes the Government, but on Report one tries to clarify a few points.
Amendment 46 seeks to give sports clubs the same rights with regard to the sale of alcohol from their bars as other venues. Why is that important? Virtually all of these institutions are dependent upon their bar receipts to function. I am speaking on behalf of rugby, which may be the last sport to come back. In any small rugby club and even some quite big ones, a huge percentage of the money they generate comes not from match fees or membership dues, it is from their bar receipts. They are what keep the junior teams ticking over. They provide for the bus to play away games. They are important because they ensure that the pitch can be maintained and the shirts can be provided. Can we bring sports clubs in with those concerns that may benefit from this possible revenue and thus allow them to derive some benefit from it?
Why have I brought this amendment back? It is understandable, given the rapidly changing nature of this Bill, with Ministers from other departments coming in, but I was told at Second Reading that sports venues could get a special licence but in Committee I was told that that will not happen at all under this legislation. It is possible that both those statements are correct, but I rather doubt it. The Minister has been very helpful on this issue and I know that she has been looking at what I am talking about. She may regret having done so now, but she has taken action.
My Lords, I shall speak to Amendment 52 on digital ID and I thank the noble Lords, Lord Clement-Jones and Lord Stevenson of Balmacara, as well as my noble friends Lord Bourne of Aberystwyth and Lord Arbuthnot of Edrom—who was squeezed out by the limit of four proposers. I also thank the British Retail Consortium for its advice. The members are old friends because for many years during my Tesco days, I was the consortium’s deputy chair. It turns out that digital ID is a subject that garners great interest right across the House and indeed, despite her rather discouraging comments in Committee, I discover that it is also of considerable interest to my noble friend the Minister, and her response today will be critical.
There are two key issues. The first is the urgent need for digital ID to complement the system of physical ID on which we currently rely for sales of alcohol, whether in shops or in pubs. This, as the Minister explained in Committee, is because there is no industry standard for digital ID. Ironically, the work on developing it has been delayed by the pandemic until next year, as we heard from the Minister. That seems to be very slow given the security technology that exists and our proficiency in such matters here in the UK.
The situation with alcohol contrasts with that on verifying sales of knives—which is surely more dangerous—tobacco, lottery tickets and fireworks. Digital ID is in regular use in all these areas, despite the lack of this standard. Operators are ready and willing to use this for alcohol too, and it would bring benefits through productivity, fraud control and—this is the second key issue for today—infection control under coronavirus. Its use would remove the need for customers or staff to wash hands or resanitise. There would be no requirement to show paper ID or carry a passport, as some youngsters do when they go out, sometimes leading to loss in my experience. That is a serious matter, given current Passport Office delays. It is especially helpful at automatic check-outs and could speed up queues at pubs and elsewhere.
Our Amendment 52 permits the use of digital verification, provided the licence or certificate holder reasonably believes, with all reasonable precautions and due diligence, that the individual purchasing alcohol is under 18 years old. The amendment is drafted, in effect, to allow the Government a trial for digital ID. It would end after six months, in January, and could be extended once only, by which time we expect the industry standard to be in operation and Covid to be behind us.
We need both a firm commitment from the Government to make this standard happen in the first half of next year and a temporary arrangement to permit the use of digital ID during Covid. For some other requirements, for example at the CMA and ICO, regulators are operating an easement programme during Covid. Another approach that occurs to me is for the Government to give guidance to trading standards that the requirement for paper checks for age ID for alcohol will not be enforced, where there is a reliable digital verification method in operation, until the new standard is adopted. We all want proper enforcement. We must make progress on this, and I look forward to hearing what the Minister says before pressing my amendment.
My Lords, Amendment 52, which I have signed and strongly support, is similar but different, in a crucial respect, to the one which the noble Baroness and I tabled in Committee. I am delighted that we are joined by even heavier artillery on Report. In Committee, the noble Baroness, Lady Williams, said:
“At present it is not possible to use a digital ID as proof of age for the purchase of alcohol in the UK because there is no industry standard for digital ID… Until such a standard is agreed, the current restrictions should be upheld. I hope that my noble friend will not press her amendment. I shall finish there.”—[Official Report, 13/7/20, col. 1435.]
I am not going to repeat what I said in Committee—for which I am sure the Minister is grateful—but I know she is always open to sound argument. I want to show why her brief in Committee was not entirely accurate.
It is rather misleading to say baldly that there is no industry standard for digital ID. Back in 2016, the age verification group of the Digital Policy Alliance—which has some distinguished and knowledgeable present and former parliamentarians among its members—sponsored a publicly available specification, PAS, code of practice standard number 1296 on online age checking. This was adopted by the British Standards Institution and the independent regulator, the Age Check Certification Scheme. It is now PAS 1296:2018.
A publicly available specification is a voluntary standard intended to assist providers of age-restricted products and services online with a means to adopt and demonstrate best practice and compliance. There are easily available audit processes and services to check conformity with the PAS, involving policy, quality and technical evaluation, and an enormous number of reputable companies provide age-verification services through digital ID systems. As the noble Baroness said, in many ways the UK is leading the way in digital ID. It is active across the range of age-restricted products and services, such as DVDs, gambling, lottery tickets and scratchcards, knives, air weapons, fireworks, petrol, solvents and cigarettes, but not—perversely and uniquely—alcohol.
This is the digital ID marketplace that the Government said they wanted to build, in their call for evidence last year. Most of these companies are UK-based and many are global. Nearly all work to the standard set by PAS 1296:2018. Many of them have other forms of certification and security standards in place, such as ISO 27001. There is an active trade body, the Age Verification Providers Association, whose members—as the Minister probably knows—have just had good news from the High Court in an important judicial review case involving non-implementation of the age-verification provisions of the Digital Economy Act.
Another government department, BEIS, through its Office for Product Safety and Standards, together with the Chartered Trading Standards Institute, provides training that
“will enable participants to confidently apply the PAS 1296:2018”.
Not only is there a form of auditable standard in place, but reputable training in compliance with PAS 1296.
As we pointed out in Committee, this is a strongly deregulatory measure. Retailers have noted that almost 24% of supermarket baskets contain an age-restricted item. As a result of current rules, many customers are waiting longer than necessary. This would ease any congestion, mitigate the risks of queuing, reduce the need for continual sanitisation by staff—as the noble Baroness said—and be for the benefit of all in infection control. Rather than being the last ship in the convoy, can the Home Office not steam ahead on this? The noble Baroness, Lady Neville-Rolfe, explained that it is essentially a pilot period only. I urge the Government to accept our amendment.
My Lords, I speak in support of Amendment 52. I very much hope that the Government welcome the spirit of what was said by the noble Baroness, Lady Neville-Rolfe, even if they cannot accept the amendment today—although I hope they can. There are a number of areas in public life where we urgently need a proper age-verification system that deals directly with what an individual can and, on occasion, cannot do. Gambling and access to legal pornography are two that come to mind, but access to alcohol, whether consumed on or off the premises, is under direct consideration today.
The noble Baroness, Lady Neville-Rolfe, spoke convincingly in Committee and again this evening on the benefits that a digital ID system would bring. This was echoed by the noble Lord, Lord Clement-Jones, who also explained what is happening in the digital marketplace. If, as the noble Baroness says, this boils down simply to putting ID cards, passports or driving licences on mobile phones, it is hard to see why the Government do not grab this initiative. It is already widely used, particularly for verifying age for knife sales.
There may be other work going on in the Home Office on digital ID, but I would be satisfied if the Government today confirmed that they are aware of the benefits of digital ID, supportive of the technology in principle and prepared to work with the industry to resolve any outstanding issues in the near future.
My Lords, I too will address Amendment 52. I thank my noble friend Lady Neville-Rolfe for the interest she has shown in digital ID. I again declare my interest as chairman of the board of PASS, the Proof of Age Standards Scheme. I welcome the opportunity to again put on record my support for digital age verification. I am proud of the work PASS does; it has stood the test of time well in providing assurance through a set of national standards and an independent audit of physical proof-of-age cards. However, we are determined that PASS will not stand still. In an age when so many young people own a smartphone—according to Ofcom data in 2018, 95% of 16 to 24 year-olds own a smart- phone—it is only pragmatic for proof-of-age schemes to adapt to the technology most widely used by young adults.
That is precisely why PASS launched a consultation to seek views on its proposals to develop a set of standards to underpin digital proof of age. The PASS proposals will offer a seamless transition from physical to digital verification, continuing to support the many thousands of physical proof-of-age cards currently in use while mirroring those high standards for a new generation of digital proof of age. It will create a universal solution that will work in any number of outlets that sell or provide age-restricted products, as well as for alcohol licence holders. It will avoid additional costs for retailers and pubs, which are, as we all recognise, experiencing unprecedented challenge and change—that is why this Bill, and its measures to help businesses as the economy starts to reopen, are so welcome. It will allow for a level playing field of competition and choice for the new market of digital-age providers, where retailers and licence holders will not be reliant on a single supplier.
I do not believe that we want to prejudge the findings of the consultation: it closes this week, on 24 July, and the responses so far run into hundreds. However, there is support for the direction of travel set out by PASS from retail trade bodies, including the Association of Conveniences Stores, the National Federation of Retail Newsagents, the Retail of Alcohol Standards Group, and the Wine and Spirit Trade Association, and high-street supermarket brands, some of which are members of the British Retail Consortium. There is support within the hospitality sector, including from some well-known pub companies, and from the majority of card issuers, including CitizenCard and Young Scot. There is also support from the Age Verification Providers Association, which includes many of the new generation of tech companies, specialist in digital solutions, and the Government’s very own commissioned expert panel on age restrictions.
I pay tribute to the hard work and responsibility of the retail and hospitality industries over recent years. That we talk less today than in the past of the scourge of underage drinking and the dangers of age-restricted products is a great tribute to their hard work and responsibility. But let us not lose sight of the importance of preventing the sale of such products to minors; the protection of children from harm is a vital licensing objective. Regulation is important in managing risk, and accreditation against agreed and independently audited national standards is vital.
I call the noble Lord, Lord Naseby. Oh, as he is not there, I will move on to the noble Lord, Lord Harris of Haringey.
My Lords, this is a slightly strange group of amendments. We have talked about microbreweries and so on, but most of the debate has focused on Amendment 52 in the name of the noble Baroness, Lady Neville-Rolfe. I support what has been said on it. Of course there is no industry standard yet for digital ID; the whole process has been very slow. However, as a number of noble Lords have commented, security technology has been moving very rapidly and there is no doubt that this could be delivered without any great difficulty.
The reality at the moment is that, when young people go out to pubs or bars for an evening of entertainment, they have to take a physical card with them; often, it is a passport or a driving licence. In the nature of things, those physical documents get lost, which brings extra costs and security issues that we should all be wary of. However, people’s ability to safeguard their mobile phone is always very high.
The noble Lord, Lord Clement-Jones, gave us probably more detail than any of us ever wanted to know about this particular topic and the standards being adopted and agreed. However, I think that the approach taken by my noble friend Lord Stevenson of Balmacara is the way forward, and I hope that the Minister can agree something this evening.
I listened with great interest to the speech of the noble Baroness, Lady McIntosh of Pickering. She was clearly concerned that if this amendment were to pass tonight, it would somehow favour one or other of the current developers of the technology for digital age verification. However, if you listen to her speech, you will find that she seemed to be defending the right of PASS—a scheme which she chairs, and which has done noble service to age verification over the years—to continue as is for several more months.
I hope that when the Minister looks at this, she can find a way forward along the lines of Amendment 52, in the name of the noble Baroness, Lady Neville-Rolfe.
[Inaudible.]—and related amendments, including one tabled by my noble friend Lord Addington that seeks to give sports clubs, which often rely on bar takings, the same facility as pubs and other bars to provide off-sales. An amendment in the name of the noble Lord, Lord Holmes, seeks to achieve the same extension for small breweries. These amendments support small businesses and give essential support to community clubs, and as such we on these Benches support them both.
Another very important amendment, Amendment 52, would enable digital age verification. It is surprising that that does not already exist. A very strong case has been made for this change by the noble Baroness, Lady Neville-Rolfe, and my noble friend Lord Clement-Jones. In the light of the experience throughout this crisis of a significant shift being made across society to digital means of providing services, this proposal should surely be accepted by the Government. Perhaps the Minister will be able to indicate when that move to digital age verification will be enabled—as come it will.
My Lords, I support the amendments in the names of the noble Lords, Lord Holmes of Richmond and Lord Addington, relating to small breweries and sporting clubs. I am a bit disappointed that the Government have not found a way to do something here. We hear lots of talk about supporting small business, but we seem to be in a rigid situation, where we cannot move out of where we are. I do not see why we could not do something and it is regrettable that we could not find a way. I accept that breweries do not have licences now, but they could be given something temporarily. The noble Lord, Lord Addington, made the point that sports clubs are often open only a couple of nights a week. Why have we not sorted them out? In this emergency Bill to deal with Covid-19, we have chosen to ignore them, and that is regrettable. I do not see why the Government have done that. They could have moved a bit more on that. I support the amendments, and it is regrettable that there will be no progress on them.
A convincing case has been laid out for Amendment 52, in the name of the noble Baroness, Lady Neville-Rolfe, and other noble Lords. I supported the idea in Committee. Equally, I see some of the points made by the noble Baroness, Lady McIntosh, and I accept that this is a temporary Bill; perhaps doing something permanent in a temporary Bill may be a problem, but the least we should get tonight is a commitment. Technically, this can be done and the Government should get on and make sure that it happens.
My Lords, I thank all noble Lords who have spoken in this debate, particularly for the interest in Amendment 52, tabled by my noble friends Lady Neville-Rolfe and Lord Bourne and the noble Lords, Lord Stevenson and Lord Clement-Jones, on digital age verification. I could agree with virtually everything said in the debate on this amendment. I am very keen to progress this agenda, and it was in discussing this that my noble friend and I realised that we had a mutual interest in moving this agenda forward—she as a former Digital Minister and me dealing with data and identity in the Home Office.
The Government have carefully considered the concerns raised by this amendment. We support its aims, and we believe that a more holistic approach is needed to enable the use of digital identity in compliance with age-verification requirements in the Licensing Act for the sale of alcohol. As I explained in Committee, the protection of children from harm is an objective that all licensed premises should promote. Age verification plays a critical role in this and it is essential that we have confidence in the forms of identification presented as proof of age to promote this licensing objective. As my noble friend Lady McIntosh of Pickering said, the PASS accredits a number of national and local suppliers of ID cards, offering retailers flexibility to choose an appropriate card to fit their needs and fulfil their licence condition.
At present it is not possible to use a digital ID as proof of age for the purchase of alcohol in the UK due to the lack of an agreed industry standard for digital ID. Without trusted digital identity standards in place, licence holders cannot know that market solutions are fit for purpose. This would make it very difficult for them to meet the reasonable precautions and due diligence requirements described in Amendment 52. The lack of an equivalent national standard for digital ID would lead to uncertainty.
The noble Lord, Lord Harris of Haringey, was correct in saying that movement on this is slow. I share his frustration and I know that my noble friend, a former Digital Minister, does too, but we do not think it is right to place licence holders in a position in which they are being asked to accept proof of ID without a set of agreed standards, even on temporarily. To do so may place them at risk of committing a criminal offence.
Although the Government are resisting this amendment, we do not disagree with—in fact we are very supportive of—the principle of digital ID. I set out in Committee some of the steps we are taking to progress work in this area. A call for evidence was launched last summer and the responses overwhelmingly agreed that the Government have a role in developing a framework for digital ID use in the UK. Respondents stressed the need for legal certainty on how to use digital identity. The Government will consult on developing legislation to set provisions for consumer protection relating to digital ID, specific rights for individuals, an ability to seek redress if something goes wrong and where responsibility for oversight should lie. The Government will also consult on the appropriate privacy and technical standards for secure digital identity. Sufficient oversight of these standards needs to be established to build trust and to facilitate innovation, which will provide organisations with a handrail to develop new, future-facing products, which I know is exactly what my noble friend seeks.
The Government plan to update existing laws on identity checking to enable digital ID to be used in the greatest number of circumstances. However, it is only when the framework and, most importantly, the standards are in place that we can expect industry and citizens to trust and have confidence in using and accepting digital IDs. Now, knowing our mutual interest in this subject, I hope that the Government and I will be able to draw on my noble friend’s considerable experience in this area as plans develop. I invite her to engage with Ministers and officials on this work as it develops. I am happy to give a commitment, on behalf of my noble friend Lady Barran, that we will work together with my noble friend towards our shared aspiration. To be honest, after four years in the Home Office I am glad that I have found someone interested in my policy area of digital ID and data. I hope that, with that commitment, my noble friend will support me in my longer-term vision for digital identities and will not move her amendment when it is reached.
I now turn to the amendments tabled by the noble Lord, Lord Addington, and my noble friend Lord Holmes. As noble Lords will be aware, the provisions in the Bill add permission for off-sales to most premises with an existing on-sales premises licence. It is not a mechanism to amend the process by which premises licences are granted.
I shall deal with Amendments 42, 43 and 50, tabled by my noble friend Lord Holmes, first. My noble friend has spoken passionately in support of small breweries. He is right to say that they have thrived over the past few years and we do not want to lose that. They are important. I note his point that his amendments could help breweries to sell alcohol to the public. However, as I said in Committee, we feel that any proposal that a business should be given a full premises licence without proper scrutiny by the local licensing authority, the police or the public is a step too far.
Similarly, with regard to Amendment 51, we are not currently seeking to make changes to the number of temporary event notices available for application in one year. Temporary licences granted for a limited period should not be used as a route to a permanent licence. As I have set out, there are crucial scrutiny mechanisms in place for granting them to ensure that all premises are selling alcohol responsibly.
My Lords, I have received one request to speak after the Minister. I call on the noble Baroness, Lady Neville-Rolfe, to ask a short question for elucidation.
My Lords, I was a little disappointed by my noble friend the Minister’s response, especially given our shared aspiration to get digital ID to come in. Will she agree to either a meeting or a letter to talk in a little more detail about the timing of digital ID—recognising that there are some difficulties but that she has made some good progress with her call for evidence? We could also discuss whether there is anything to be done on the enforcement of age verification for alcohol during the Covid-19 period, perhaps using an easement of the kind that I mentioned to her has been used by some other departments.
My Lords, I would be delighted to meet my noble friend to discuss making progress on this. As I say, I am very glad to have a friend in digital identity.
My Lords, I thank all noble Lords who participated in this group of amendments. I am very attracted to Amendment 52, along with many noble Lords who both spoke and signed up to the amendment. My only reason for not signing was that it already had the support that it needed. It illustrates the need across Government to up the activity of all potential digital applications. We have world-leading businesses in digital. We need to look at every possible opportunity and means of enabling them to flourish and solve problems which have dogged our society for decades. We have the tools to do so, and Amendment 52 is but one clear and effective example of that.
I thank my noble friend the Minister for, as she said, her fulsome response. As always, she addressed all the issues which were raised with her. I am slightly disappointed that we could not go further to assist innovative businesses in our country. I understand the points that she raised, and I accept them, but would she be prepared to join me on a visit to a small independent brewery to hear at first hand the issues such businesses are facing? Through that discussion, perhaps we could consider whether there is anything else we could do to help this vibrant, innovative sector of our economy and society moving forward. With that, I beg leave to withdraw the amendment.
I can tell my noble friend that I would love to come with him to a brewery.
We now come to the group consisting of Amendment 53. I remind noble Lords that Members other than the mover and the Minister may speak only once and that short questions of elucidation are discouraged. Anyone wishing to press this amendment to a Division should make that clear in the debate.
Clause 12: Removal of powers of court in relation to unfair relationships
Amendment 53
My Lords, I thank the noble Baroness, Lady Altmann, and the noble Lords, Lord Carlile and Lord Stevenson, for supporting this amendment, which limits the disapplication of the Consumer Credit Act in Clause 12 to being only in so far as it relates to affordability.
There is no disagreement over disapplying affordability criteria, given that the Government have asked banks to speed up loans and dispense with the usual due diligence on affordability. However, we can see no reason for disapplication for unfair treatment, such as in default measures, which have been at the centre of more than one SME banking scandal. This is not an unreasonable amendment, because disapplication for affordability is exactly the same measure that has been introduced throughout the Lending Standards Board’s voluntary lending code. Why do the Government have to go further in disapplying remedies for all unfair treatment under this Bill rather than limiting it to affordability?
Apart from for micro-businesses, there is no regulatory protection for business loans or recovery procedures other than the measure the Government now seek to disapply. This was excruciatingly elaborated in the Financial Conduct Authority’s report on RBS’s Global Restructuring Group, which said that the FCA had no regulatory power. It also said that it was unlikely the behaviour would have been caught by the senior managers regime, had that applied. Andrew Bailey has since spoken before committees in Parliament and at many other meetings, explaining how business lending and debt recovery are outside the regulatory perimeter.
In Committee, the Minister said that
“the Government have retained Financial Conduct Authority oversight for debt collection, meaning that lenders must comply with the Financial Conduct Authority rules on arrears, default and recovery.”—[Official Report, 13/7/20; col. 1516.]
Those rules are only for loans up to £25,000 made to sole traders, unincorporated associations and partnerships of fewer than four people—that is, micro-businesses. The Bill deals with removing protection from loans up to £50,000, which is by far the majority of bounce-back loans, given that the average loan is £37,000. Why, when there is more restrained disapplication for micro-businesses, and in the voluntary code, are the Government so resistant to a similar compromise in the Bill? Why are the Government depriving most bounce-back borrowers of the courts’ protection, at least for debt recovery?
My Lords, I have added my name to this extremely important amendment. However, I congratulate the Government on their introduction of the bounce-back loans and their enormous efforts to try to help businesses survive this crisis, which was not of their making or anybody else’s.
I am sure that my noble friend is sympathetic to the circumstances that could arise, and hope that she can reassure the House that the intention of this measure is not to change the balance of what is fair in circumstances where debts are being recovered by the lenders of these bounce-back loans. I find it difficult to understand why the Government have only really preserved the regulations relating to default and debt recovery for those loans up to £25,000, and only for micro-businesses. I would appreciate it if my noble friend could help the House in this regard. Restaurant owners and hairdressing salons which are limited companies may find that their equipment is subject to seizure when banks try to recover these bounce-back loans.
The banks do not need to recover the loans—indeed, they have expressed reservations and discomfort about being asked to take these borrowers to court. I believe there will be consultation with Ministers over the summer about how this is going to work. If they have a guarantee, they do not need, in theory, to press too hard to recover the loans. But if there are some attractive assets, it may be tempting for them to do so. I hope the Government will be able to state clearly that they want reasonable debt recovery only, and the intention is not to change the balance of fairness in these circumstances.
Forgive me if I am asking too much at this late stage of the Bill and with the emergency nature of the legislation, but I ask my noble friend to consider whether the Government might accept that they could take the power to make regulations, reapplying the Consumer Credit Act to debt recovery should that prove a popular and necessary measure, or whether they can include the range of £25,000-£50,000 in some other way so that we can avoid the reputational damage that may go along with this. Nevertheless, I welcome the bounce-back loans and I encourage my noble friend to give us some clarification.
My Lords, the noble Baroness, Lady Bowles, whose amendment this is—and I am very pleased to be a signatory—is a considerable expert on the subjects under discussion, as is the noble Baroness, Lady Altmann. I have enormous respect for them both, and for their skills in this area. I am but a mere lawyer and feel, to an extent, inadequate to parry on the financial details under discussion.
I have spent a lot of my time in recent decades dealing with fraud cases in which people often got themselves into financial difficulty, through no fault of their own, and were then under huge pressure from the banks. We have recently heard cases in which the Post Office prosecuted people who pleaded guilty to criminal offences which they had not committed. We have heard about the remedial action that is having to be taken, very expensively, to put those wrongs right.
The bounce-back loans are of course very welcome, but they bring a whole new cohort of people into, what is for them, often very substantial borrowing. Many of the businesses we are talking about do not have substantial overdrafts in the ordinary run of things. They are able to live on a cash balance, albeit often small, and they do not have to enter into sophisticated agreements with banks. This applies particularly to family businesses, which have either been created recently or are long established. The debt picture and the debt threats for such companies are frighteningly great compared to the time before coronavirus.
Therefore, over the years, there are plenty of examples, as mentioned by the noble Baroness, Lady Bowles, of banks being sometimes very oppressive towards customers who are put out of business without understanding what redress they may have against those banks. Unfortunately, these provisions remove some of that redress, which they might discover they have against the banks.
In my view, some simple legal remedies with flexibility are needed, so that if, for example, a company defaults on a loan but can demonstrate that, within a couple of years, it can haul itself back to not only profitability but the ability to repay the loan, we would be in a much better position. Surely that would be a far better outcome. The amendment we are considering is one solution to that problem, and that is why I support it.
I am grateful to the noble Baroness, Lady Penn, with whom I have exchanged emails, at her instigation, about this amendment. I said to her yesterday in an email that the Government really should produce some kind of arbitral procedure which would enable loans in the range we are debating to be discussed, a solution to be found that would satisfy the banks in the long term, and the businesses concerned to carry on trading. These loans have of course been introduced in an emergency, but it is actually less of an emergency for the banks than for the people who take out the loans, and about whom we are talking. Unless something better is offered, this amendment would rebalance fairness so that there is a level playing field between the lender and the borrower.
I now call Lord Naseby.
Let us go to Lord German and then we will try to return to Lord Naseby.
My Lords, I support this amendment, tabled by my noble friend, because, put simply, it would do two things. First, it would put beyond doubt the protection which borrowers of bounce-back loans have against their lenders pursuing punitive action if they default. Secondly, given the relatively low take-up of these important loans, it would give reassurance to companies seeking to use the facility provided by the Government as essential finance to keep them in business and retain employment.
Companies may have been, or are, hesitant to take out these loans for a variety of reasons. For example, they might be worried about repayment, the ongoing viability of their business or whether they wish to continue trading. But to respond to these fears, the Government must assist by providing the maximum level of certainty on what happens if the borrower cannot repay the loan. The guarantee to the lenders is that the Government will bear the cost of defaulting. This is very welcome, but that guarantee is given to the lender and not to the borrower. There is some protection in place to prevent the lender taking further actions against the borrower, but the legislation before us takes away most of the ultimate protections for a borrower—to have recourse to the courts.
My noble friend has outlined these issues in great detail. I am grateful to her for the forensic manner in which she laid out the borrower protection arguments for this amendment. I will not repeat the detail on the missing protections that she has given.
Taking the two reasons I have outlined for supporting this amendment separately, on the first it is clear that many lenders, mostly large high-street banks, will already have banking arrangements with those who are seeking or have taken out these bounce-back loans. In Committee, I quoted examples of this relationship possibly being used to influence the behaviours of lenders. Put simply, they have financial power over their borrowers through that continuing relationship with them. Other lenders, many of them now trying to lend money under these schemes, have difficulty in getting their hands on the 0.5% interest cash that the Government have made available to lend, largely because the big banks will not funnel these funds through to them, on the “Why should we help our competitors?” principle. This means that the big banks will have a bounce-back loans advantage, most frequently with their existing customers.
On the second reason, the Government estimate that many more of these loans will be needed—perhaps four times as many—to protect small companies from going under, given the consequent unemployment that would cause. These loans need to provide protection for the borrower in a way which will not deter them from proceeding. The fallback of court protection from the poor behaviour of the lender provides a higher level of reassurance to borrowers, in line with the current legislation.
I share the Government’s hope that these loans can provide a lifeline to many companies. They are a very good response to the pandemic. This amendment would support the Government’s ambition and strengthen the case for businesses considering taking out these loans by removing the concern that default could lead to unfair sanctions being imposed on them.
My Lords, first, I thank the noble Baroness, Lady Penn, for her willingness to talk virtually to a number of us who have been focused on this issue; however, I came away from those discussions almost more confused than I went into them. This House will be aware that the financial regulators—certainly the FCA—do not regulate institutions but activities. One of the activities it cannot regulate is commercial lending, which is on the far side of what is generally called the regulatory perimeter. A slight sleight of hand is, to some extent, made available to sole traders, micro-companies and the very small end of small businesses so that they do merit some protection, that typically coming in the form of an appeal to the ombudsman. Although the ombudsman has very limited power to actually make sure that any remedy is effected, there is at least one to go to.
For companies that do not fall into this category—my noble friend Lady Bowles provided the detail, so I will not repeat it—there is no form of protection; the FCA has no standing. Therefore, when those companies are put into default and the banks come to collect on their debts, their only resort has been to the courts. Under this arrangement, that is now removed from those companies if they have taken out a bounce-back loan. I really do not understand why the ability to go to the courts to protest unfair treatment has been removed.
The Government have full knowledge that the FCA cannot act under these circumstances. I suppose that, occasionally, somebody in government will argue that the FCA can turn to the Senior Managers Regime, but, as we all know, having listened frequently to the testimony from Andrew Bailey, only in very rare instances would the regime apply. Indeed, the FCA has been very reluctant to use it, even in some very egregious cases; in fact, I would be interested to hear from the Minister the number of times the FCA has actually used it. It is not a workable mechanism for trying to force the banks to provide fair treatment to the larger end of SMEs if they go into default under their bounce- back loans.
The Bounce Back Loan Scheme is brilliant, but I am very concerned that it will end up with a stain on its character when, in 18 months’ or two years’ time, we have a chain of companies that are clearly being treated unfairly by the banks and both the Government and the regulators stand back and say, “There is nothing we can do. This was an unregulated activity, only contract law applied, and we have disallowed these companies’ ability to go to the courts to seek any form of redress”. Frankly, it is a tragedy and a scandal in the making.
I am not sure it has been made clear to companies that when they apply for bounce-back loans, it is caveat emptor and they will be without even the normal range of protections should they go into default. If I understand correctly, the Government have decided to disapply the right to turn to the courts as part of an enticement to the banks to participate in the Bounce Back Loan Scheme. I cannot believe that that concession should be given; and if it was asked for by the banks, I am even more worried because, as we know, the banks seek opportunities to make profit—that is the business they are in.
Perhaps the Minister is not that familiar with the RBS and GRG scandals. The GRG was a profit centre. The RBS staff who were part of the GRG were looking not only to get loans and interest repaid but to make an additional profit, particularly by seizing assets. Under the various contract terms, they could identify firms that would value those assets. The owners or borrowers could argue that the assets were being valued at well below market value, but had no means of enforcing that, and of course we know from the various reports that followed that it was not infrequently the reality that assets were valued very low, triggering the default, and months later, having been seized by the bank, were resold for multiples of the valuation.
The mechanisms that the banks use when they have the opportunity to put a company into default are frequently outside the boundaries of what any of us would consider fair and appropriate. I do not understand stripping away from companies any possible route to a remedy under those circumstances.
My Lords, my name is on this amendment, and I am in general support of the points powerfully made by the noble Baroness, Lady Bowles, in Committee and today, and by others who have spoken. They have made the main arguments, which I will not repeat.
The Government argue that the key driver for this initiative is to get the bounce-bank loans out to as many small businesses as want them and can use them, and to reduce barriers to that effect. I sympathise—it is very hard to be against that aim—but there are clearly risks here, as we have heard. While my concerns are not identical to those of the noble Baroness, Lady Bowles, they are very similar, and I would like to make three points on the issue.
First, there is general agreement that the Consumer Credit Act 1974 urgently needs bringing up to date, to be fit for purpose regarding the changed regulatory landscape of different lending practices and the tighter financial circumstances of the 2020s, now and post Covid-19. The current lender/borrower relationship envisaged under the Act does not work but, as others have said, it is very risky to remove all the court protections, and I sympathise with that.
Secondly, the Government have put on record the very tight constraints that they are putting on lenders who wish to engage with bounce-back loans, including banning fees, banning punitive interest and forbidding reach-through sanctions to personal assets such as houses and vehicles, but is that enough? There is a powerful tool in the Government’s armoury.
Thirdly, the 100% guarantee that we have been talking about is on the lender, not the borrower, but that gives the Government considerable powers which they say they will use to drive good behaviour. For me, the key question is whether, in removing access to the courts under the unfair trading clauses of the 1974 Act, the Government have put the bounce-back loan borrowers in a worse position than if they had left it all in place, or—as suggested in the amendment—just the affordability issue. It is a close call.
I would be very grateful if the Minister, when responding, could deal fully with the following points. First, will she confirm that the Government will undertake to overhaul the Consumer Credit Act 1974 in the near future, taking full account of the issues raised in this debate? Secondly, can she list concisely the limits on lenders’ ability under the bounce-back loan to penalise borrowers who are in default or otherwise transgress, irrespective of the amount of money borrowed, and the statutory and non-statutory opportunities for borrowers to protect themselves and their possessions if lenders attempt to penalise them absent the core protection of the 1974 Act?
Thirdly, can the Minister set out what she called “the steely determination” of the Government to use their power to reduce or cancel the 100% underwriting of loans made under the BBL scheme, if lenders transgress? This could be a very powerful weapon. It would be useful to know who will have the power to trigger certain sanctions, and how borrowers will be informed about the process. The noble Lord, Lord Carlile, suggested that an arbitration structure was needed, and he may well be right. If the Minister can confirm that these points are in play and give assurances on them, then I suggest that the noble Baroness, Lady Bowles, does not press her amendment to a vote this evening, as we will not support her.
I thank the noble Baroness, Lady Bowles, my noble friend Lady Altmann and the noble Lords, Lord Stevenson and Lord Carlile, for tabling the amendment. I also thank them for the discussions that we have had on this matter since a similar amendment was tabled in Committee. I have listened very carefully to the concerns of the noble Baroness, Lady Bowles. I stress at the outset just how seriously the Government take the protection of those who have taken out a bounce-back loan. I will set out what form those protections take, as the noble Lord, Lord Stevenson, asked me to do.
We have integrated significant protections into the Bounce Back Loan Scheme. I point towards the obligations that the scheme imposes on lenders to act honourably. I set out many of those terms in Committee. Loans are capped at 25% of turnover and the interest rate for the scheme is capped at 2.5%. The Government will cover interest and repayments for the first year of the loan. That helps to address the point made by the noble Lord, Lord Carlile, that businesses might not be able to afford to repay the loan now due to current circumstances but, with a bit of time to get back up and trading, will be able to meet those payments in future.
The lender may not levy any fees or interest beyond the fixed interest rate of 2.5% a year, including any fees on default. I reassure the noble Baroness, Lady Bowles, on this point. Lenders are required to adhere to the scheme rules as set out in this agreement. They may use their standard terms and conditions for documenting the loans. This might be where the confusion has come from, but there is no ability to charge any fees or interest beyond that 2.5% a year.
We will get more into the detail of some other protections, but a number of noble Lords raised the question of the balance of fairness in these loans. These loans set out to be a very standardised product. Protections such as no lender levy fees whatever and a fixed interest rate of 2.5% a year are also factors that need to be taken into account when we look at the balance of fairness and include in that the government guarantee at 100%.
Further protections include the provision of clear information before and during the life of the loan, which was an issue a number of noble Lords raised. In response to the noble Lord, Lord Carlile, I say that lenders are obliged to make it clear in the terms of the loans that the protections under the Consumer Credit Act do not apply to these loans. That is also stated up front.
The noble Baroness, Lady Bowles, asked about the question raised at Second Reading on forbearance of these loans. That is provided for in the terms of the guarantee agreement. There must be forbearance on missed payments, allowing the customer a reasonable time to remedy defaults without consequence. There must also be signposting of appropriate assistance where businesses experience payment difficulties.
We come on to the retention of Financial Conduct Authority oversight for debt collection by lenders of loans that would be regulated credit agreements but are exempt by virtue of them being bounce-back loans, and the right for eligible borrowers under the scheme to access the Financial Ombudsman Service to resolve disputes. I will go into more detail on FCA and Financial Ombudsman Service oversight a bit later, because I know noble Lords will want it. A point was raised in our discussions outside the Chamber on the reservation that, despite the specific protections, the unfair loans provisions in the CCA provide a very broad and general protection so that, if some of these protections that we have specified turn out not to be enough or banks might find a further loophole, the broad provisions provide further protections.
I reassure the noble Baroness that there is also a general, overarching commitment in the guarantee agreement. The lenders have an overarching obligation that they must always act in good faith and not behave in a manner that could reasonably be expected to bring the scheme or the guarantor into disrepute, or in a way that contravenes any applicable law or regulation. This includes all actions in respect of servicing and enforcement of the loan. The lender’s performance of such obligations is subject to audit by the British Business Bank, and the obligations of the guarantee agreement are legal, valid, binding and enforceable obligations. Failure to comply with these terms in the guarantee would mean lenders risk not being able to make a claim under it, which would provide an exceptionally strong incentive to firms to conduct themselves properly. I assure the noble Lord, Lord Stevenson, that if such behaviour that contravened the terms of the guarantee agreement were brought to light, the Government would have no qualms about using their power to withdraw the guarantee.
The Financial Ombudsman Service, raised by a number of noble Lords, also has a more general obligation and duty in cases brought to it to make decisions on what it thinks is fair and reasonable in all circumstances of the case. The noble Baronesses will know that in 2019 the Government expanded eligibility to access the Financial Ombudsman Service so that small businesses with an annual turnover of less than £6.5 million and either an annual balance sheet total of less than £5 million or fewer than 50 employees can access the Financial Ombudsman Service. This means that an estimated 99.5% of SMEs can access the Financial Ombudsman Service. I make the point to the noble Lord, Lord Carlile, that for very small businesses that are inexperienced in taking out credit, a free-to-access ombudsman service—rather than a law suit—is often by far the preferred way to resolve a dispute.
As has been previously noted, the collection of debts under the bounce-back loan scheme remains a regulated activity for loans of less than £25,000 to sole traders, partnerships of fewer than four people and unincorporated associations. That means lenders under the scheme must comply with the FCA’s consumer credit conduct of business standards, rules and guidance on arrears, default and recovery in chapter 7 of the FCA’s Consumer Credit Sourcebook, as well as the FCA’s high-level principles, when collecting debts related to those agreements. As the noble Baronesses will know, this protection reflects the position for business lending more broadly and the fact that all business lending over £25,000 is not FCA-regulated.
I say to the noble Baroness, Lady Bowles: it is not that we were restricting FCA regulation of debt collection in bounce-back loans to loans under £25,000. That is the cut-off point—the threshold—where we regulate that lending activity, and that has not been changed in this. What has happened is that when we removed other provisions in the Consumer Credit Act, which we did via secondary legislation, we reinserted or kept the FCA regulation of debt collection for debts under £25,000 but did not extend it, and nor would we. We think that is the right threshold for FCA regulation of activity, as the noble Baroness, Lady Kramer, said.
To address the point from the noble Baroness, Lady Altmann, about limited companies, it is worth noting that the provisions in this clause would never have applied to limited companies. The protections in the Consumer Credit Act do not apply to limited companies and so, by disapplying these parts of the Consumer Credit Act, we are not changing their position in regulation at all.
A few further points were raised. On the point made by the noble Lord, Lord Stevenson, in Committee and again today more broadly about the Consumer Credit Act 1974, he is right to highlight that that legislation dates back nearly 50 years. Through subsequent amendments, it has become increasingly complex and challenging to navigate. That is reflected in the fact that, in addition to Clause 12 in this Bill, the Government used secondary legislation so that bounce-back loans would not be regulated credit agreements and are now exempt unregulated agreements.
We have made some progress in modernising the consumer credit regulation. In 2014, the FCA took over responsibility for regulating consumer credit. Part of the transfer of the provisions in the Consumer Credit Act 1974 was repealed and those provisions were replaced by FCA rules. However, there was more to do and, since then, the FCA has reviewed the remaining provisions and it published its final report into the matter in March 2019. The Treasury has been undertaking a programme of work to consider the FCA’s findings in detail. It is currently focused on our response to the Covid-19 crisis but, once the urgency of the crisis has subsided, the Government hope to set out in more detail the next steps that they will take on the Consumer Credit Act 1974.
The second point that I would like to make is about the impact of this amendment, should it be agreed. Lenders have made over £30 billion-worth of loans under the scheme in anticipation of Sections 140 to 140C of the Consumer Credit Act 1974 being disapplied. Borrowers have entered into those agreements in the knowledge that the usual protections will not apply. I point out to the noble Lord, Lord German, that over 1 million businesses have benefited from this measure, and that take-up is not insignificant.
Lenders have informed us that, should the amendment be agreed, it is likely that they would cease to offer any new lending under the scheme, thus depriving small businesses of the vital finance they need to weather this crisis. I understand the concerns expressed by noble Lords, but it is not possible to be in favour of the Bounce Back Loan Scheme but not in favour of this part of it—a part that has been crucial in getting the lending going.
My colleagues in the other place have been grateful for the constructive discussions that they have had with the Opposition during the development of the scheme and for the agreement that these measures, although extraordinary, were necessary to rapidly provide small businesses—the lifeblood of our economy—with the funding that they have needed in these extraordinary times. In developing the scheme, we have also worked closely with the FCA.
In response to those noble Lords who asked this question, there is an ongoing programme of work to look at the recoveries process for these loans. The Treasury has convened recoveries workshops with all accredited lenders, along with the FCA, the PRA and the British Business Bank, aimed at ensuring a consistent industry-wide approach to the collection and recovery of bounce-back loans. These discussions will follow the customer journey throughout the lifetime of the loan and ensure that lenders understand the type of support that they can provide to borrowers.
The legislative changes already made in secondary legislation and which we are now seeking to make in primary legislation are integral parts of the design and functioning of the scheme. They have been worked through carefully but also at pace, given the urgency with which small businesses have needed this support. The changes have been made alongside targeted protections built into the guarantee and, where possible, regulations. Without this scheme, lenders would not be able to provide the finance at the necessary pace and scale in response to the huge economic disruption caused by Covid-19.
I hope that I have given the noble Baroness reassurance that borrowers have robust protections under this scheme and that she will feel able to withdraw her amendment.
I have received no requests for speakers to come back after the Minister, so I now call the noble Baroness, Lady Bowles.
My Lords, I thank all those who have spoken in this debate. The noble Baroness, Lady Altmann, reminded us how attractive assets might tempt a bank or that companies’ equipment could be seized when they ended up in default after a period of forbearance. The noble Lord, Lord Carlile, with reference to the Post Office cases, reminded us how bad things can happen and that sometimes things that perhaps start off looking reasonable get very much out of hand. My noble friend Lord German reminded us that companies need the confidence to borrow. Perhaps we need four times as many bounce-back loans as have already been applied for, but they need protection.
We now come to the group consisting of Amendment 55. I remind noble Lords that Members other than the mover and the Minister may speak only once, and that short questions of elucidation are discouraged. Anyone wishing to press this amendment to a Division should make that clear in the debate.
Amendment 55
My Lords, Amendment 55 standing in my name aims to modify the package travel regulations, retaining protection for consumers travelling abroad but removing barriers which stop small businesses working together in the domestic market. The amendment does so by stipulating that, for something to constitute package travel, an element of travel must be part of the package.
Visitor numbers in the domestic tourism industry are down by 30% to 50%, and research shows that only a third of families intend to take a domestic holiday this year. Tourism in the UK is by definition a feast and famine industry—a feast in summer and a famine in winter. What small businesses in the sector face this year is the famine of the lockdown, followed by the seasonal famine of winter. The industry therefore desperately needs to attract trade and to persuade people to start taking holidays in the UK.
The primary purpose of the package travel regulations is to protect consumers who take package holidays overseas by making the tour operator legally responsible for the package and ensuring that the holidaymaker can be repatriated if the tour operator goes bankrupt. These are very valuable protections. The problem for small domestic tourism businesses is that the definition of a package holiday has been poorly drafted so that the smallest B&B working with a local pub or a local golf course to offer a discounted deal ends up being deemed to be a package tour operator. The consequence is an intolerable legal jeopardy for the small business concerned, because the regulations make the B&B owner legally responsible for what happens to the customer while they are at the golf club or in the pub. If the customer suffers any injury there, it is the B&B owner who is sued. Small businesses simply cannot get insurance to cover them, which makes the financial risk of offering deals too great. The customer then loses access to discounts and the businesses are unable to stimulate sales.
In addition, the regulations require the B&B owner to be a bonded travel company, which is expensive, or to use a trust fund so that payments can be withdrawn only after the customer has visited. Anyone who has ever run a small business knows that this is not a sustainable way to operate. These problems are why most accommodation businesses in the UK do not offer discounted deals. The Government have said that the significant component element of the package travel regulations guards against the problems I have outlined. These provisions are totally unsatisfactory, because they require a business to guess whether a consumer would or would not have bought their product without the additional benefit of the deal. Furthermore, the 25% element is both inadequate and invidious because standard deals can easily exceed the 25% level, and a percentage threshold disadvantages those parts of the country with the cheapest accommodation.
This simple amendment preserves all the protections for customers taking holidays overseas while freeing up small businesses here in the UK to provide discounted added-value deals to their customers. A survey by the Tourism Alliance estimated that this modest change would increase domestic tourism expenditure by £2.2 billion per annum, which is enough to protect 40,000 jobs. This is not a boost that our domestic tourism industry can afford to wait for. We cannot wait out the winter while the Government consider this further. The famine is now, so the time to change the law is now. I beg to move.
My Lords, I have added my name to this amendment and I will speak in support of it. I shall be brief, considering the time of night. I am pretty certain that my noble friend will not press this amendment, but I hope that the Minister can give some assurance that, although changes to the legislation will not come about through this amendment, he will agree to meet with representatives of the travel industry to look at how the law can be reformed. The regulations that underpin this area are part of European Union law and, as we leave the EU and start to look at British iterations, this is the perfect time to address the issue. I hope that the Minister can give an assurance that his officials will meet with members of the travel industry to discuss these matters.
I call the noble Baroness, Lady Pinnock. I think we have a problem with the noble Baroness’s sound, so I suggest we move on to the noble Baroness, Lady Wilcox of Newport.
My Lords, this amendment has the noble aim of boosting local tourism and raises questions about the package travel regulations. We are still awaiting the Government review of the package travel rules and I am reluctant to accept the Minister’s previous suggestion that we cannot consider this issue until we have left the EU. The Government should do whatever is possible to support the domestic tourism industry through this tough time, so I would welcome it if the Minister were able to expand on what support they will offer.
Noble Lords, I apologise for the technical fault that rendered my audio not working. My noble friend Lady Doocey again made a very persuasive case for giving a lift to our local tourism sector by enabling an innovative approach whereby local businesses combine to provide additional benefits to the local tourist economy. What an easy way that is to support regions that depend on tourism, such as the Lake District, Devon and Cornwall. The Minister needs to respond positively to give hope to these businesses that have gone through such a hard time.
My Lords, Amendment 55 tabled by the noble Baroness, Lady Doocey, and the noble Lord, Lord Redesdale, seeks to alter the package travel regulations in a manner similar to the amendment tabled in Committee. The noble Baroness is right to identify the difficulties facing the UK tourism sector, in particular the many SMEs in the sector. It is therefore right that we do all we can to support this sector through the crisis.
On 3 June, we announced a £10 million kick-starting tourism package, which will give small businesses in tourist destinations grants of up to £5,000 to help them adapt following the pandemic. As of last week, the VAT rate applied to most tourism and hospitality-related activities has been cut from 20% to 5% for six months to help the sector get back on its feet. We have launched the “enjoy summer safely” national marketing campaign to encourage British people to enjoy UK tourism. Ministers and officials have been meeting representatives from the tourism sector regularly via the Tourism Industry Emergency Response Group. We are actively considering all the recovery ideas suggested to us by stakeholders, including schemes to promote domestic tourism.
In that spirit, I would like to follow this up by arranging a meeting with the sector representatives that the noble Baroness, Lady Doocey, has met to explore the points she has made about domestic tourism and package travel. I hope that offer is welcome. As confirmed in Committee, the Government have indicated that we will undertake a further review of the package travel recommendations. As these are EU laws, this review is better conducted when the transition period with the EU is over. I say that with some emphasis, as the EU Commission has recently commenced infraction proceedings against several member states that have amended laws in contravention of the package travel directive.
It is also important to reflect, as the noble Baroness recognised, on the balance to strike between business flexibility and consumer protection, so it is important to consult a wider range of interests. For the reasons I have given, I am not able to accept this amendment, and I hope the noble Baroness feels able to withdraw it.
I thank the Minister for his response, for offering to review the regulations and for the meeting that he suggested. It will definitely be followed up. If we wait until January 2021 in order to start reviewing the regulations, I fear that tourism will be pushed to the back of the queue behind so many other issues that the Government will need to resolve after Brexit is complete. I therefore suggest that the review should take place now in readiness for legal change as soon as possible in the new year. I hope the Minister will consider this, that we can discuss it further at the meeting he suggested and that he will engage further with me and the industry on this critical point of timing. However, at this stage I thank the Minister for the constructive way in which he has engaged with this issue, and I beg leave to withdraw the amendment.
We now come to the group beginning with Amendment 56. I remind noble Lords that Members, other than the mover and the Minister, may speak only once and that short questions of elucidation are discouraged. Anyone wishing to press this, or anything else in this group, to a Division should make that clear in debate.
Clause 16: Modification of conditions relating to construction working hours
Amendment 56
My Lords, just to make it quite clear, we on these Benches support the moves the Government are seeking to make in the Bill to provide additional flexibilities to the construction industry. We support the proposed extension in the time given for planning applications and listed building applications with the provisos included.
However, with regard to the proposal to enable construction firms to extend their hours of work, even 24-hour working, we have a number of concerns. Amendment 56, which is tabled in my name and that of my noble friends Lord Campbell of Pittenweem and Lord Shipley, concerns establishing a fair balance between the needs of construction on the one hand and those of local residents, the wider community and the environment on the other. One of the key conditions in every planning application is restricted hours of working. It is also often the factor that worries local people. Residents often ask me in my role as a councillor about construction traffic that frequently arrives well before the regulated start time for working. They ask about noise nuisance from heavy machinery early in the morning and late at night and ask why they should have to tolerate disturbance for the sake of profit-making companies. The answer is, of course, that there is a balance to be reached between the two needs, and that is the purpose of our amendment.
It is likely that there will be pressure on planners making decisions to comply with requests from construction in order to help the local economy. Our amendment would require planners to ask the applicant for mitigation measures. They would simply ask the construction businesses to stop and consider others. The best will. Those who have little regard for the needs of others will not. The amendment would put the best and the worst construction companies on a level playing field. There is a need to respect our environment and nature’s cycle of life, to limit noise and dust pollution and to consider others. That is why we are continuing to press these issues and hope that the Minister can provide some safeguards for residents and the environment. I beg to move.
My Lords, I will speak to Amendment 61 in my name. Indeed, in this group, there are nine amendments, Amendments 61, 62, 64, 68 to 70, 72, 76 and 77, which, in relation to Clauses 17, 18 and 19, all have the effect of moving the extension of planning permissions and listed building consent from three months to four months. I will not, at this late hour, repeat what I said at Second Reading and in rather more detail in Committee. All I want to say is that I very much appreciate that my noble friend the Minister took very seriously what I said in Committee.
We have had some extremely productive conversations on a practical level about what the construction industry’s difficulties might be with the delays in the pipeline. In pursuance of those conversations, I tabled these amendments in the hope that the Minister will tell the House that he is able to accept them. Were he to do so in response to the debate, when the time comes, I will formally move those amendments in my name.
My Lords, I propose to speak only to Amendment 56, tabled by my noble friend Lady Pinnock and to which I have added my name. It is approximately seven hours since this stage of proceedings began. Throughout, I have been reminded endlessly of two lines of a poem by Robert Frost:
“But I have promises to keep,
And miles to go before I sleep.”
However, noble Lords should not be apprehensive, because I hope only to make some comments in addition to those of my noble friend, to underline what I believe is the very strong case for this amendment.
At Second Reading and again in Committee, I raised the question of the impact on amenity of extending construction hours. I hope the noble Lord, Lord Greenhalgh, will forgive me if I say that I have been a little disappointed in the responses, both from him and his noble friend the Minister who has dealt with other parts of the Bill. It is worth reminding ourselves that an extension could go on until 1 April 2021, could be seven days a week and could extend to a whole day. It does not take much to realise that there is considerable potential for impact on the amenity of households, churches, hotels, hospitals and care homes.
It is helpful to ask why planning authorities imposed conditions for working hours. As my noble friend has already indicated, the purpose is to provide a balance, and part of that balance is the protection of amenity. In every instance, an authority will have been required to reach a judgment about how that balance should be constructed. It seems to me that it follows logically that any increase in hours will tilt that balance against amenity and in favour of the applicant.
The difficulty with what we are considering is that we do not know to what extent that may occur on any one of the occasions in which an extension is sought. That is why I believe it is a matter of necessity to require applicants to produce an impact study to the planning authority, together with plans for mitigation. I believe it can reasonably be argued that that is in the interests of both the planning authority and the applicant. First of all, the planning authority is working against a very tight timetable, and, so far as the applicant is concerned, it is obviously in their interest that as much information as possible can be provided to the planning authority. I believe therefore that an impact study is a necessity.
Indeed, I go further than that: the decision of the planning authority is an administrative one, and any administrative decision of this kind could be subject to judicial review. It would be much easier to resist any such application for judicial review if it could be demonstrated that the applicant had produced the impact assessment to which I have referred and that the planning authority had taken it into its considerations.
The noble Baronesses, Lady Kennedy of Cradley and Lady Neville-Rolfe, have withdrawn from the list. I call the next speaker, the noble Baroness, Lady Kramer.
My Lords, I will speak very briefly to government Amendment 54 to say thank you. The Government have made the amendment that was required by the mayoral development corporations and Transport for London to be able to hold virtual decision-making meetings and meetings which the public can attend. They have done what was needed, and I and many others are grateful.
It would be helpful if the Government could confirm that the relevant clause will come into effect on Royal Assent and no later than Royal Assent. This is also a request to the Government to amend the relevant flexibility regulations—SI 2020/392—as soon as possible after Royal Assent, and then bring those regulations into effect as soon as is practical, perhaps in less than the normal 21-day period, because that will ensure that the most use can be made of the new method of working that has been approved by this amendment. Again, my thanks.
This legislation, which we are almost at the end of, is caused by the Covid crisis. It is, in many ways, a panic Bill, since we are trying to write things we may or may not succeed in.
I make two points. First, please let us not throw away environmental gains which mean a lot to communities, and particularly to residents. Many of them have fought for years to get decent standards for starting and ending developments and ending working days. Secondly, please keep it temporary: make sure that the provisions that we are told will lapse will do so in due course. I support what my noble friend Lord Lansley is doing, but I hope the criticisms aimed at local authorities for their slowness, often wrongly, are also taken on board by developers, who are sitting on massive land banks and need to get on with things. They did not need this legislation; they had been able to build hundreds of thousands of houses, but have not managed it, so let us keep a sense of perspective, and not throw the proverbial baby out with the legislative bathwater.
The noble Earl, Lord Clancarty, has withdrawn from the list, so I call the noble Lord, Lord Shipley.
My Lords, I shall speak briefly to Amendment 56. I spoke in Committee on the need to avoid any unintended consequences of extending construction hours. There will be cases where an extension is entirely justified, and we should support that. But it is reasonable to expect that an impact assessment from the applicant with a description of how any adverse impact can be mitigated is provided. Secondly, an assessment of any impact on the environment and how that can be mitigated should be produced. Thirdly, there could be an explanation of any mitigation that would be put in place to minimise disturbance, particularly where a construction site is close to houses and other local buildings. To be clear, these need not be complex requirements and they should in practice speed up the process if that process is followed effectively. That would help the planning authority.
As the noble Lord, Lord Balfe, said, we do not want to undo the good that has been achieved by the planning system. Where there have been agreed planning permissions and where restrictions have been put in place, those restrictions and conditions will have been justified and should not be undone.
My Lords, when I first spoke this evening, I should have mentioned that I am a vice-president of the Local Government Association, so I mention it now for the record. I will be very brief. If the amendments of the noble Lord, Lord Lansley, are successful, I will be the first to congratulate him.
In respect of meetings of mayoral development corporations, I am pleased that the Government listened to the points that I and other noble Lords made, and I thank them. I have only one question: can the Minister confirm that, when we agree the government amendments tonight, they will come into effect on Royal Assent and the required regulations will be laid quickly so that we do not have to wait for weeks and weeks before they can take effect? With that, I am happy to give way to the Minister.
My Lords, I rise to speak to government Amendments 84, 88 and 89—tabled by my noble friend Lord Howe—which are grouped with Amendments 85 and 86, tabled by the noble Lord, Lord Stevenson, Amendment 56, tabled by the noble Baroness, Lady Pinnock, and the noble Lords, Lord Campbell and Lord Shipley, and Amendments 61, 62, 64, 68, 69, 70, 72, 76 and 77, tabled by my noble friend Lord Lansley.
I turn to Amendments 84, 88 and 89, government amendments tabled by my noble friend Lord Howe, and Amendments 85 and 86, tabled by the noble Lord, Lord Stevenson. The purpose of these amendments is to secure that mayoral development corporations, Transport for London, urban development corporations and parish meetings are subject to the power in Section 78 of the Coronavirus Act 2020, which enables the making of regulations to allow these bodies to meet remotely until 7 May 2021.
They correct the omission of these bodies from the Coronavirus Act, which was an accidental oversight due to the pace at which the Act was drafted. It is wholly consistent with the current policy of the Government that bodies such as local authorities—in the broadest sense—should be able to meet remotely, carrying on their business while protecting the health and safety of members, officers and the public. The Government have received representation on this matter from, among others, the Mayor of London—particularly on behalf of the London Legacy Development Corporation—Transport for London and the National Association of Local Councils with regard to the inclusion of parish meetings.
I will answer both the noble Lord, Lord Kennedy, and the noble Baroness, Lady Kramer, by saying that the Government’s intention is to make the amended regulations with urgency following Royal Assent. In fact, Amendment 89 specifically allows early commencement of Amendment 84 and, in addition, we will move at pace to ensure that the regulations are in place in a matter of days, as opposed to the typical 21 days. This is a similar pace to the laying of regulations following the passing of the Coronavirus Act.
I note Amendment 85 in the name of the noble Lord, Lord Kennedy, which would have put the change to Section 78 of the Coronavirus Act in the Bill in respect of mayoral development corporations, and Amendment 86, which seeks to include a specific reference to the highway authority for the Greater London Authority in the local authority remote meetings regulations. We support the spirit of these amendments but, in the light of the government amendments, we hope that noble Lords will not move those amendments. I hope that will also be the case for the amendments in the name of the noble Lord, Lord Stevenson.
I thank the noble Baroness, Lady Pinnock, and the noble Lords, Lord Campbell and Lord Shipley, for Amendment 56. We agree that local planning authorities should have sufficient information about the impact of extended construction hours on the community and environment to enable them to make a timely decision. We believe that the most appropriate way of ensuring that this happens is through guidance. There is likely to be a range of possible responses from the construction industry to this measure and variation in what will be requested—from an additional hour or so on some sites, so that workers can have staggered start and finish times, to longer evening extensions on others. Therefore, we need a flexible and proportionate approach that can be tailored to the circumstances.
However, we listened to noble Lords’ views during Committee and we hear their concerns. We recognise the need for balance and to ensure that safeguards are in place to protect amenity, as the noble Baroness, Lady Pinnock, and the noble Lords, Lord Campbell and Lord Shipley, have asked for. We have strengthened the draft guidance so that it also lists an assessment of impacts of noise on sensitive uses nearby as something that local planning authorities may wish to encourage an applicant to provide to aid swift decision-making. This is in addition to providing a justification for extended hours and mitigations to aid swift decision-making, which were already covered in the guidance.
We have also taken the advice of the Institute of Acoustics, the Association of Noise Consultants and the Chartered Institute of Environmental Health, and gone further still to make other changes to strengthen the guidance, including that applicants provide information on the primary construction activities expected to take place during the extended hours, including the plant and equipment expected to be used. Taking into account these changes, I beg noble Lords not to press their amendment. I also assure my noble friend Lord Balfe that the legislation is temporary and we will not see any diminution to the environmental gains that have been achieved by the planning system.
I turn to the nine amendments tabled by my noble friend Lord Lansley, which relate to Clauses 17, 18 and 19, and the extension of planning permissions and listed building consents. These amendments would extend the time limit for relevant planning permissions and listed building consents to 1 May 2021, instead of 1 April as currently drafted. I note that he has tabled these amendments as a compromise given my concerns about accepting his amendments in Committee, which would have introduced an extension to 1 June 2021.
I agree with my noble friend that any extension of unimplemented planning permissions or listed building consents needs to be of sufficient length to aid the development industry, given the impact that Covid-19 has had on development. We certainly think that it will take time for many developers to commence new residential and commercial development. I thank him in particular for his insightful points during the debates on these measures, particularly on the potential impacts of the winter months on the productivity of the development industry.
I am pleased to say that the Government will accept my noble friend’s nine amendments. They will provide a modest extension into the more accommodating spring months. I also recognise that this additional time would be welcomed by developers and local planning authorities, given that the development industry is experiencing a slow and cautious return to full operating capacity. We accept that this is appropriate in the circumstances.
The amendments would, in effect, give any eligible planning permissions and listed building consents nine months, or three-quarters of a year, from now to take steps to implement the permission. We will, as previously mentioned, keep the use of powers to extend certain dates in the legislation under review if the impact of the coronavirus continues.
These are modest amendments, but I agree that they will give additional certainty to developers in these exceptional times. I trust that they will be well received by your Lordships’ House, as well as by the industry. On this basis, I am happy to accept my noble friend’s amendments.
I thank all noble Lords who contributed on this group of amendments. I am pleased that the Government’s administrative oversight in connection to the mayoral development agency in London has been put right. I very much thank the Minister for his reply and the information that government guidance will be strengthened regarding applications to extend construction hours to protect communities and the environment. With those assurances, I beg leave to withdraw my amendment.
(4 years, 5 months ago)
Lords ChamberMy Lords, this Bill has passed through your Lordships’ House at greater than usual speed, and all noble Lords understand the reasons for treating it with such urgency. I am grateful to all noble Lords for their constructive engagement with the Bill and for raising many important topics. I hope that your Lordships will agree that the Government have considered and responded to the concerns of noble Lords and have made suitable changes to provisions where appropriate. We have had good debates and the Bill is now in a much better form than it was when it entered your Lordships’ House.
I thank the other members of the ministerial team: my noble friends Lady Penn, Lord Greenhalgh, Lady Williams and Lady Vere. I congratulate especially my noble friend Lord Greenhalgh, who made his first Second Reading speech when introducing the Bill to the House. As my noble friend said in that speech, the Bill supports businesses in four key areas of the economy. It has been a pleasure to work with this team on such a wide-ranging set of measures.
I also extend my appreciation to the Front-Bench spokesmen and spokeswomen on the Benches opposite —for the Liberal Democrats, the noble Baronesses, Lady Pinnock, Lady Doocey, Lady Northover and Lady Kramer, and the noble Lords, Lord Shipley, Lord Addington and Lord Paddick; and for the Official Opposition, the noble Lords, Lord Tunnicliffe, Lord Stevenson and Lord Kennedy, and the noble Baroness, Lady Wilcox—whose constructive and consensual approach has ensured that the Bill is fit for its intended purpose.
Once again, I extend my thanks to all noble Lords throughout the House for scrutinising the Bill with such care, and for their constructive engagement. The Bill is needed urgently, before the summer, so that its provisions can reach their full potential. I hope, therefore, that the other place will promptly accept the amendments we have passed so that the Bill can come into force without delay. I beg to move.
My Lords, I thank the noble Earl for his kind comments and join him in thinking that the House has worked very well in dealing with this important Bill. We send it back to the Commons in a much better state. Members from all around the House raised important issues; the Government considered them carefully and listened. We have passed many good amendments over the last few days. I am very grateful to the noble Earl and all his ministerial team for their work.
(4 years, 5 months ago)
Commons ChamberI beg to move, That this House agrees with Lords amendment 1.
With this we may take Lords amendments 2 to 42.
This Bill is an essential part of the Government’s response to the effects of covid-19 and the restrictions that have been keeping people safe. We know that these restrictions have come at a considerable cost to our economy and to people’s lives. We all have constituents who are desperate to get back to work— desperate to get back to their normal lives. This Bill will help to make that happen. This Bill will help the country get back on its feet.
The amendments that we are considering this evening do not disrupt the thrust of the Bill as it left this House. In fact, they improve it. It is worth remembering that when this Bill was last in this House we debated it over one afternoon—unusually fast, as several hon. and right hon. Members have said—to ensure that it would come into force before the summer recess and give the greatest possible benefit to the country. The Bill has received more extensive consideration in the other place, and I hope that we can agree the amendments.
I am grateful to hon. and right hon. Members for their constructive engagement with the Bill. I am particularly grateful to the right hon. Member for Doncaster North (Edward Miliband) and his colleagues in the Opposition for their collaboration. Members’ thoughtfulness and involvement have been a great help in improving this legislation, and I am pleased with the result of our deliberations. I should also like to recognise parliamentary counsel, the legal advisers and staff of the other place and of this House for marshalling this Bill through all its stages.
I shall briefly summarise the amendments that have been made in the other place. First, we have improved the pavement licensing measures in several ways. We have ensured that authorities must have regard to the needs of disabled people when considering whether to grant a pavement licence, and we have ensured that non-smoking areas will be provided by businesses that are granted pavement licences. We have also ensured that local authorities can delegate decisions about pavement licences to sub-committees or to officials, and that regulations issued by Government will be laid before Parliament. Those amendments are in keeping with the policy intention of the pavement licence provisions and improve them. I therefore hope that the House will support the amendments.
Secondly, we have amended the provisions about off-sales of alcohol to combat antisocial behaviour. I am especially grateful to hon. Members for their involvement in this issue—especially my hon. Friend the Member for Kensington (Felicity Buchan); my hon. Friend the Member for Cities of London and Westminster (Nickie Aiken), who brought to bear her considerable experience as the leader of a London council; and the hon. Member for Hackney South and Shoreditch (Meg Hillier), who spoke eloquently when we last debated the matter in this House. I believe that collectively, they have improved the Bill. The Bill now limits off-sales to 11 pm at the latest, and any new permissions will not allow the sale of alcohol for consumption in outdoor areas of the premises that are already restricted by the premises licence. Making off-sales of alcohol easier will help the hospitality industry to recover more quickly, but in a way that does not encourage antisocial behaviour.
Thirdly, we have increased the extension of planning permission by one month. This is a modest extension, but it will provide further certainty and reassurance to developers and local authorities that planning permissions will not lapse unnecessarily as a result of the pandemic. Fourthly, in response to the report by the Delegated Powers and Regulatory Reform Committee, any extension to the provisions can be made only when it is
“necessary or appropriate for a purpose linked to the coronavirus pandemic.”
That is an important clarification.
Finally, the Bill now amends section 78 of the Coronavirus Act 2020 so that the Government can make regulations to enable specific authorities to conduct their meetings remotely. These authorities were omitted from the Coronavirus Act because of the speed with which that legislation was passed, and now is the appropriate time to include them. I hope the House will agree these Lords amendments.
I am sure that hon. and right hon. Members agree that businesses throughout our country need the benefit of these provisions this summer. As someone once put it, we need to help to fix the economy while the sun is shining. If we do not pass this Bill today, it will not take effect until the autumn, and the country will lose out on the valuable provisions over the summer months. The Bill has been much improved and scrutinised in the other place, and it is an example of how Parliament can work quickly and effectively in the national interest and set the United Kingdom on a path to recovery. I therefore trust that the House will support all the Lords amendments.
I rise to support Lords amendment 1 and the other Lords amendments that have been sent back to us from the other place. This is an important Bill, as the Minister said—particularly so for the hospitality industry. The Minister made reference to the speed with which it went through this place, and I agree that it has benefited from consideration in the Lords. I join him in thanking all the people who have worked on the Bill, including the civil servants who worked on it at speed to ensure that it can help the hospitality industry and other industries in this time of crisis.
I will briefly refer to some of the changes made by their lordships. I agree with the Minister that limiting off-sales to 11 pm is an important change. I pay tribute to Government Members for their work on this issue, and I pay particular tribute to the campaign by my hon. Friend the Member for Hackney South and Shoreditch (Meg Hillier). It is hard to say no to her, but she made a very important and correct case. Although it applies particularly to her constituency, it also applies elsewhere, and I understand why she made that case. Their lordships accepted it, and we should too.
The Minister is right to draw attention to the important issue of pavement licences and disability, which needs to be taken into consideration when local councils make decisions. The needs of the hospitality industry are clearly very important, but we cannot ignore the needs of disabled people in our country.
The other notable innovation of the Bill relates to smoke-free areas outside when additional licences are granted. That important change will enable people to enjoy the outside space—obviously, they are not able to take advantage of inside space in the old way—with the guarantee of a smoke-free environment. The Minister made reference to a number of other changes, which we support.
The one other point that I will make—I think the Minister and his colleagues will agree with this—is that although this is a necessary set of changes for the hospitality industry, it is not sufficient. We continue to have deep concerns about what we see as the premature ending of the furlough for that industry and other sectors that are in difficulty. With that said, I urge the House to support these Lords amendments.
I rise to support these amendments. On Second Reading, I called for a restriction on alcohol off-sales to 11 pm, so I am delighted that that amendment has been accepted. We need to strike the right balance between getting our economy up and running and the interests of residents, who in certain parts of London have been subject to a lot of anti-social behaviour—in particular, in Notting Hill in my constituency. These amendments strike the right balance, and I commend them to the House.
I can only echo what the hon. Member for Kensington (Felicity Buchan) said about anti-social behaviour, which has been an absolute plague on communities across London and, I am sure, elsewhere. In my community in Richmond Park, we have had behaviour the like of which we have not seen before. It has been an enormous burden for local people.
I welcome the Lords amendments. I am slightly disappointed that the amendment that my colleague Lord Paddick put forward about serving alcohol in open glass containers was not adopted, because that would have had a significant positive impact on the situation that many people are experiencing.
To add to what I said on Second Reading, I urge the Government to think again about the number of police officers in London. We in Richmond are certainly finding that, because police officers are always focused on violence reduction and that is a particular issue for some of the inner London boroughs, we are missing out on the increase that we need for neighbourhood policing in places such as Richmond, which would do much more to keep a lid on some of the antisocial behaviour we are seeing. We have heard about the extra officers that are coming, and I really hope that they are coming very soon, because we would like to see them in Richmond.
I echo what the Minister said about the passage of this Bill, its speed and the constructive nature in which everyone has engaged with it. This is going to be a great piece of legislation, and I support the amendments.
I want to put on record how proud I am of the entrepreneurs in Hackney who have contributed so much to developing our night-time economy—often quite young people who have come up with interesting ideas about how to develop their premises and contribute to our economy. However, it does cost Hackney Council £1.5 million a year in extra cleaning to manage the night-time economy that we have fostered. In its original form, the Bill would have contributed to some of the behaviour we have seen in recent weeks and months in my borough. I never like to stand up here and say bad things about the constituency I represent, but we have seen some appalling behaviour—I will not repeat what I said last time.
The Minister talked about the thoughtfulness and involvement of hon. Members that has greatly improved the Bill. I say to the Government that, even in a pandemic, a little more time could create even better legislation. Given that we were in the pandemic and businesses were thinking about this much earlier, a little more time—a week, even—would have been better than the three days we originally had to consider the Bill. We could have saved ourselves a lot of trouble, because there was agreement that we needed to support the hospitality industry, but there is also agreement across the House today—happily, we have seen some important changes—that we should support the residents, who will suffer if we do not get the balance right. In fact, the businesses in my area that have been there for a long time, living in most cases pretty harmoniously with residents, want to have that long-term relationship, so they were not all in favour of the original proposals. That could have been ameliorated if hon. Members had been involved at an earlier stage.
I particularly welcome and pay tribute to my colleagues in the other place on the limit on off-sales to 11 pm—I pay tribute to the hon. Member for Kensington (Felicity Buchan), who was the first to raise that issue in this House—and the limits on extensions to that. Off-sales cannot be a permanent free-for-all. Of course, if a local area decides that it works, it is at liberty to grant a licence in a particular area or a particular part of that area, but this freedom in licensing must not continue just because we have had it during a pandemic—it has to be down to local authorities that know their area, know their residents and know and support their businesses. The decision should never be taken away and made subject to a blanket permission from central Government. I welcome the intervention from their Lordships and I thank the Minister for accepting the amendments, so that we can move quickly on to support our businesses while ameliorating the impact on our residents.
I do not propose to detain the House any longer than simply to say thank you to you, Madam Deputy Speaker, and to right hon. and hon. Members across the House for their commitment to the Bill and their contributions to it. I wish it safe and swift passage to Royal Assent.
Lords amendment 1 agreed to.
Lords amendments 2 to 42 agreed to.
Deferred Divisions
Motion made, and Question put forthwith (Standing Order No. 41A(3)),
That, at this day’s sitting, Standing Order No. 41A (Deferred divisions) shall not apply to the Motions in the name of Secretary Matt Hancock relating to Public Health; the Motion in the name of Secretary Dominic Raab relating to Sanctions; and the Motion in the name of Christopher Pincher relating to Town and Country Planning.—(David Duguid.)
(4 years, 5 months ago)
Lords Chamber