Cities and Local Government Devolution Bill [HL]
(Limited Text - Ministerial Extracts only)
Read Full debate16:55 - Division on Amendment 52A (to Amendment 52) - Ayes: 99 / Noes: 250 - Amendment 52A disagreed.
“Amendments of the National Health Service Act 2006 Schedule (Amendments of the National Health Service Act 2006) contains amendments of the National Health Service Act 2006 in connection with the exercise of health service functions of combined or local authorities and the control of information about local authority social care.”
Lord Prior of Brampton (Con)
My Lords, I beg to move that the House do agree the Motion on Commons Amendments 45 to 51. I shall speak also to other amendments in the group, including the clause inserted in the Bill following Clause 19 by Amendments 51 and 74.
Your Lordships will remember our debates on the issue of safeguards for the devolution of NHS functions, culminating in the insertion of the amendment from the noble Lord, Lord Warner, at Third Reading, against the Government’s wishes. We have now accepted this amendment and have worked to provide even further assurances. I am grateful to the noble Lord, Lord Warner, for his ongoing co-operation and for his support for the further amendments as introduced in Committee in the other place. These amendments provide further clarity about the role of the Secretary of State for Health and what may and may not be included in any future transfer order giving local organisations devolved responsibility for health services.
The clause as amended also includes clear provision to exclude from the scope of transfers the oversight role of NHS England in relation to CCGs, and makes it clear that local devolution settlements do not change the responsibilities of our NHS regulators or their functions in protecting the interests and safety of patients.
The provision of the noble Lord, Lord Warner, as amended, protects the integrity of the National Health Service and makes it clear that, whatever devolution arrangements might be agreed with a particular area, the Secretary of State’s core duties in relation to the health service will not be altered. These clear statements in legislation, making provision for the protection of the integrity of the National Health Service, are intended to provide further confidence in future devolution deals. The amendments to the clause give further definition and clarity to support the valuable principles behind the amendment of the noble Lord, Lord Warner, and I commend them to the House.
Places such as Greater Manchester and London are calling for the ability to design and deliver better health and care services and the ability to make decisions at a level that works best for their communities, either locally or, where it makes more sense, at a regional or sub-regional level.
As we know, devolution deals must be tailored to the particular needs and circumstances of a local area. The Bill already allows government to devolve a range of powers and functions currently carried out by Whitehall departments or bodies such as NHS England to a combined authority or a local authority. In seeking to introduce Schedule 3A, which amends the NHS Act 2006, we are now taking the opportunity to make available further options in health legislation for combined authorities and local authorities to work together with clinical commissioning groups and NHS England across a wider area, such as Greater Manchester, to improve integration of services.
Crucially, wherever a responsibility for NHS functions is delegated or shared in this way, accountability would remain with the original function holder, whether that is NHS England or a clinical commissioning group. The original function holder would continue to be accountable via the existing mechanisms for oversight which ultimately go up to the Secretary of State. In respect of the arrangements which may be made for the exercise of the Secretary of State’s public health functions, each partner is liable for its own actions and, as with the rest of the health service—both public health and NHS elements—the Secretary of State remains accountable to Parliament.
We are seeking to introduce Amendment 45 to provide that the requirements for local authority consent do not apply to regulations revoking previous transfers of health service functions. Noble Lords will be aware also that Amendment 22, to which the noble Baroness, Lady Williams, has spoken, includes a similar provision whereby consent from a combined authority and local authorities is not needed where an order solely revokes a transfer of public authority health functions.
These amendments mean that, in the event that it becomes appropriate to restore NHS functions in a local area to NHS bodies, this can be achieved without the need for the consent of the combined authority and local authorities concerned. This reflects the fundamental principle for health devolution in Clause 19—that the Secretary of State for Health’s key responsibilities for the NHS will remain unchanged in any devolution arrangements. We would envisage using the powers to revoke only in circumstances where it was clear that duties and standards such as those referenced in Clause 19 were not being met, and that revoking the transfer was the best option to achieve the necessary improvement in performance. I beg to move.
Lord Warner (Non-Afl)
My Lords, I shall speak in a friendly way towards the Minister on his amendments to the amendment that the House was good enough to pass at Third Reading. I cannot guarantee to be quite as friendly towards the Minister on all matters relating to the NHS and social care in future. I suspect that we shall have a good canter around that course on Thursday.
What it shows is that this House has an important scrutiny function to perform. I know that we gave the Minister a pretty hard time on this issue, but the Government rather deserved it. I think that it was very foolish for the Government to bring the Bill to this House with the devolution of NHS functions in it without clarity about how that would work in relation to existing NHS legislation, particularly the 2006 and 2012 Acts. I am glad that the Government have seen the error of their ways and I am extremely grateful to the Minister and his colleague, Alistair Burt, for the considerate way in which they discussed with me this set of amendments.
I am happy to commend them to the House because they meet the concerns that were expressed at an earlier stage, and I accept the points made by the Minister about the need, very occasionally, to revoke some of these changes. I do not accept the advice from the BMA in its guidance that there should be more safeguards. Given the nature of NHS legislation in this country, it is inevitable that where the Secretary of State sees real damage being done in a local area, he has to step in and make some changes. It is almost inevitable that on the odd occasion that will be necessary, so I am quite happy to support the change proposed by the Minister.
This shows the House in a good state in its ability to exercise its scrutiny functions—and, at the time of the Strathclyde report, it does us well to pat ourselves a little bit on the back that we have actually helped the Government improve their legislation.
Lord Prior of Brampton
My Lords, first, I thank the noble Lord, Lord Warner, for his very friendly comments—long may they continue. As he and other noble Lords have mentioned, this is a good example of the scrutiny provided by this House in ensuring that we have, as my noble and learned friend Lord Mackay mentioned, a truly National Health Service, and that this legislation preserves, rather than undermines, the integrity of the National Health Service, with accountability, after devolution, still clearly with the Secretary of State for Health and to Parliament.
The noble Lord, Lord Beecham, asked what will happen in the event that things do not work out—I think that was the issue that he raised. The answer is, I think, that it will depend on the negotiations in each individual case. There need to be sensible arrangements from the outset as to what will happen in the event that things do not work out, which the Secretary of State will need to take a view on when agreeing to the deal at the beginning. In a sense, the end game needs to be considered early on in the proceedings. However, I may have missed the point that the noble Lord was making.
Lord Beecham
That may be partly my fault. My point was not that things might not work out in, for example, the Greater Manchester context; the problem that I raise is the situation that might arise where a district comes out of a county and into a combined authority for certain purposes and that combined authority decides that it wants to deal with health, but the social services provision, unless there is another change, remains with the county within which that district exists. That seems to me the area that has not yet been resolved; it is certainly not clear in my mind and, looking around, I think that there are others whose minds may also be confused by the situation. It is not an easy question for the Minister to answer, and if he is not able to do so, I will understand, but I think that it is a matter that needs to be addressed between the two departments and, if I may say so, in consultation with the local government world as well as the health world, before we get to the point where the situation becomes one where such a risk develops. It is not the case in Greater Manchester, but it may occur elsewhere if we have that movement by county districts into combined authorities for some purposes.
Lord Beecham
I am sorry to intervene again, but from what my noble friend just said it occurs to me that it is not just social care; one has to think about education and children’s services, where there is also a potential dimension. So far, nobody has mentioned that. That is another department that ought to be involved. Of course, we cannot resolve this today, but I urge that the kind of discussions I have mentioned should take place, and I now add the education department to that.
Lord Prior of Brampton
My Lords, life is untidy, unfortunately. It is never clear and you cannot foresee all eventualities. The only response I can give noble Lords today is that the Secretary of State will deal with each matter on a case-by-case basis. I do not think that anyone can lay down a blueprint for dealing with that now, but I am happy to discuss it with the noble Lord and the noble Baroness if they want to do so. Maybe this is not the right place to go into all of that. I hope that that will be acceptable to them.
The noble Lord, Lord Shipley, raised the report on the success of devolution. I think I can speak for the Secretary of State for Health in saying that he would want to involve all relevant stakeholders in that report, not least patients, frankly, for obvious reasons. I am happy to put that on the record.
I conclude by thanking the noble Lord, Lord Smith, for updating us all on what is happening in Manchester. We on both sides of the House wish Greater Manchester well. It is a trailblazer and a very important development. We hope that we will see more devolution across England while still retaining the central accountability and integrity of the National Health Service.
Lord Ahmad of Wimbledon
That this House do agree with the Commons in their Amendment 53.
“Sub-national transport bodies
After Part 5 of the Local Transport Act 2008 insert—
“PART 5A
SUB-NATIONAL TRANSPORT BODIES
Establishment and constitution of STBs
102E Power to establish STBs
(1) The Secretary of State may by regulations establish a sub-national transport body for any area in England outside Greater London.
(2) In this Part—
(a) “STB” means a sub-national transport body established under this section, and
(b) references to the area of an STB are to the area in England for which the STB is established.
(3) Regulations under this section must specify—
(a) the name by which the STB is to be known, and
(b) the area of the STB.
(4) The area of an STB must consist of the whole of the area of two or more relevant authorities (whether or not of the same kind).
(5) Each of the following is a “relevant authority” for the purposes of this Part—
(a) a combined authority;
(b) an ITA;
(c) a county council that comes within subsection (6);
(d) a unitary district council that comes within that subsection;
(e) the Council of the Isles of Scilly.
(6) A council comes within this subsection if no part of its area forms part of—
(a) the area of a combined authority, or
(b) an integrated transport area.
(7) An STB is to be established as a body corporate.
102F Requirements in connection with regulations under section 102E
(1) Regulations under section 102E may be made establishing an STB for an area only if the Secretary of State considers that—
(a) its establishment would facilitate the development and implementation of transport strategies for the area, and
(b) the objective of economic growth in the area would be furthered by the development and implementation of such strategies.
(2) The reference in subsection (1)(a) to “transport strategies”, in relation to the area of an STB, is a reference to strategies for improving—
(a) the exercise of transport functions in the area (whether or not exercisable by the STB), and
(b) the effectiveness and efficiency of transport to, from or within the area.
(3) Regulations under section 102E establishing an STB for an area may be made only if—
(a) the constituent authorities have together made a proposal to the Secretary of State for there to be an STB for the area, and
(b) those authorities consent to the making of the regulations.
(4) For the purposes of this Part, the constituent authorities of an STB are every relevant authority whose area is within the area, or proposed area, of the STB.
(5) Before making a proposal under this section the constituent authorities must consult—
(a) each appropriate authority (if it is not a constituent authority), and
(b) any other persons whom the constituent authorities consider it is appropriate to consult.
(6) The Secretary of State may require the constituent authorities to consult any other persons (not already consulted under subsection
(5)(b)) whom the Secretary of State considers should be consulted in connection with a proposal under this section.
(7) For the purposes of subsection (5), each of the following is an “appropriate authority” if any part of the authority’s area adjoins the area of the proposed STB—
(a) a combined authority;
(b) an ITA;
(c) Transport for London;
(d) a county council;
(e) a unitary district council;
(f) a London borough council.
102G Constitution of STBs
(1) The Secretary of State may by regulations make provision about the constitutional arrangements in relation to an STB.
(2) “Constitutional arrangements”, in relation to an STB, include arrangements in respect of—
(a) the membership of the STB (including the number and appointment of members of the STB),
(b) the voting powers of members of the STB (including provision for different weight to be given to the vote of different descriptions of member),
(c) the executive arrangements of the STB, and
(d) the functions of any executive body of the STB.
(3) Regulations made by virtue of subsection (2)(a) which include provision about the number and appointment of members of the STB must provide—
(a) for the members of the STB to be appointed by the STB’s constituent authorities, and
(b) for those members to be appointed from among the elected members of the constituent authorities.
(4) Regulations made by virtue of subsection (2)(a) may provide for persons, who are not elected members of the constituent authorities, to be appointed as co-opted members of an STB; but such regulations must provide (by virtue of subsection (2)(b)) for those co-opted members to be non-voting members of the STB.
(5) The voting members of an STB may resolve that provision made in accordance with subsection (4) is not to apply (generally or in relation to particular matters) in the case of the STB.
(6) In subsection (2)(c) “executive arrangements” means—
(a) the appointment of an executive;
(b) the functions of the STB which are the responsibility of an executive;
(c) the functions of the STB which are the responsibility of an executive and which may be discharged by a committee of the STB, by an officer of the STB or by a body other than the STB;
(d) arrangements relating to the review and scrutiny of the discharge of functions;
(e) access to information on the proceedings of an executive of the STB;
(f) the keeping of a record of any arrangements relating to the STB and falling within any of paragraphs (a) to (e).
(7) The provision which may be made by regulations by virtue of subsection (2)(d) includes—
(a) provision setting up or dissolving an executive body of an STB, or merging two or more executive bodies of an STB;
(b) provision conferring functions on, or removing functions from, an executive body of an STB;
(c) provision transferring functions of an STB to an executive body of the STB, and transferring functions of an executive body of an STB to the STB.
(8) Regulations under this section may authorise an STB to delegate any of its functions to one or more of its constituent authorities (and any such delegation may be made subject to conditions or limitations).
(9) Regulations under this section may not provide for the budget of an STB to be agreed otherwise than by the STB.
(10) For the purposes of subsections (3) and (4), the “elected members” of a constituent authority—
(a) in the case of a combined authority, are the mayor for the area of the combined authority (if there is one) and those members of the authority who are appointed from among the elected members of the authority’s constituent councils (see section 85(1)(b) above as applied by section 104(2) of the Local Democracy, Economic Development and Construction Act 2009);
(b) in the case of an ITA, are those members of the ITA who are appointed from among the elected members of the ITA’s constituent councils (see section 85(1)(b) above);
(c) in the case of a county council, a unitary district council or the Council of the Isles of Scilly, are the elected members of the council.
Functions
102H General functions
(1) The Secretary of State may by regulations provide for an STB to have any of the following functions in relation to its area—
(a) to prepare a transport strategy for the area (see section 102I);
(b) to provide advice to the Secretary of State about the exercise of transport functions in relation to the area (whether exercisable by the Secretary of State or others);
(c) to co-ordinate the carrying out of transport functions in relation to the area that are exercisable by different constituent authorities, with a view to improving the effectiveness and efficiency in the carrying out of those functions;
(d) if the STB considers that a transport function in relation to the area would more effectively and efficiently be carried out by the STB, to make proposals to the Secretary of State for the transfer of that function to the STB;
(e) to make other proposals to the Secretary of State about the role and functions of the STB.
(2) The Secretary of State may by regulations provide for an STB to have other functions of a description set out in the regulations.
(3) Regulations under subsection (2) may be made only for functions to be exercisable in relation to the area of the STB that—
(a) relate to transport,
(b) the Secretary of State considers can appropriately be exercised by the STB, and
(c) are not already exercisable in relation to that area by a local authority or a public authority (see instead sections 102J and 102K respectively for a power to transfer such functions to an STB).
(4) The Secretary of State may by regulations make further provision about how an STB is to carry out functions that it has under or by virtue of this Part.
(5) Regulations under this section in relation to an existing STB may be made only with the consent of the STB.
(6) Nothing in this section limits the power of the Secretary of State to confer other functions on an STB under this Part.
102I Transport strategy of an STB
(1) The transport strategy of an STB is a document containing the STB’s proposals for the promotion and encouragement of sustainable, safe, integrated, efficient and economic transport facilities and services to, from and within the area of the STB.
(2) The transport facilities and services mentioned in subsection (1) are—
(a) those required to meet the needs of persons (including pedestrians) living or working in, or visiting, the area of the STB, and
(b) those required for the transportation of freight.
(3) An STB may include in its transport strategy any other proposals it considers appropriate that relate to transport to, from or within its area.
(4) An STB must publish its transport strategy.
(5) If an STB revises its transport strategy, the STB must publish the strategy as revised.
(6) In preparing or revising its transport strategy an STB must carry out a public consultation.
(7) In carrying out a public consultation under subsection (6), the STB must ensure that such of the following persons as the STB considers appropriate (taking into account the proposals to be contained in the strategy) have a reasonable opportunity to respond to the consultation—
(a) the Secretary of State;
(b) a combined authority;
(c) another STB;
(d) an ITA;
(e) a Passenger Transport Executive;
(f) Transport for London;
(g) a person to whom a licence is granted under section 8 of the Railways Act 1993 (licences authorising persons to be operator of railway assets);
(h) Highways England Company Limited;
(i) a local highway authority (within the meaning of the
Highways Act 1980);
(j) a county council in England;
(k) a unitary district council;
(l) a London borough council.
(8) In preparing or revising its transport strategy an STB must (among other matters) have regard to—
(a) the promotion of economic growth in its area,
(b) the social and environmental impacts in connection with the implementation of the proposals contained in the strategy,
(c) any current national policy relating to transport that has been published by or on behalf of Her Majesty’s Government, and
(d) the results of the public consultation mentioned in subsection (6).
(9) The Secretary of State must have regard to proposals contained in the transport strategy of an STB that appear to the Secretary of State to further the objective of economic growth in the area of the STB in determining—
(a) national policies relating to transport (so far as relevant in relation to such proposals), and
(b) how such policies are to be implemented in relation to the area of the STB.
(10) The constituent authorities of an STB must exercise transport functions with a view to securing the implementation of the proposals contained in the STB’s transport strategy.
(11) In this Part “transport strategy”, in relation to an STB, means the transport strategy prepared or revised by an STB under this section by virtue of the function in section 102H(1)(a).
102J Exercise of local transport functions
(1) The Secretary of State may by regulations provide for functions that are exercisable by a local authority in an area that is, or is to become, the area of an STB to be exercisable by the STB.
(2) Regulations under this section may be made—
(a) only in relation to functions that relate to transport, and
(b) only if the Secretary of State considers that the function can appropriately be exercised by the STB.
(3) For the purposes of subsection (2)(a), regulations under this section may be made in respect of a function that relates both to transport and to other matters only so far as the function is exercisable in relation to transport.
(4) Regulations under this section may make provision for a function to be exercisable by the STB either generally or subject to such conditions or limitations as may be specified in the regulations.
(5) Regulations under this section may make provision—
(a) for a function to be exercisable by the STB instead of by the local authority, or
(b) for a function to be exercisable by the STB concurrently with the local authority.
(6) Regulations under this section may be made only with the consent of—
(a) the local authority concerned, and
(b) in the case of regulations made in relation to an existing STB, the STB.
(7) In this section “local authority” means—
(a) a combined authority;
(b) an ITA;
(c) a Passenger Transport Executive;
(d) a county council in England;
(e) a unitary district council;
(f) the Council of the Isles of Scilly.
102K Other public authority functions
(1) The Secretary of State may by regulations provide for functions that are exercisable by a public authority in relation to an area that is, or is to become, the area of an STB to be exercisable by the STB.
(2) Regulations under this section may be made—
(a) only in relation to functions that relate to transport, and
(b) only if the Secretary of State considers that the function can appropriately be exercised by the STB.
(3) For the purposes of subsection (2)(a), regulations under this section may be made in respect of a function that relates both to transport and to other matters only so far as the function is exercisable in relation to transport.
(4) Regulations under this section may make provision for a function to be exercisable by the STB either generally or subject to such conditions or limitations as may be specified in the regulations.
(5) Regulations under this section may make provision—
(a) for a function to be exercisable by the STB instead of by the public authority, or
(b) for a function to be exercisable by the STB jointly with the public authority.
(6) Regulations under this section in relation to an existing STB may be made only with the consent of the STB.
(7) In this section—
“function” does not include a power to make regulations or other instruments of a legislative character;
“Minister of the Crown” has the same meaning as in the Ministers of the Crown Act 1975;
“public authority”—
(a) includes a Minister of the Crown or a government department;
(b) does not include a local authority as defined by section 102J.
102L Funding
(1) The Secretary of State may pay grants to STBs to cover expenditure incurred in the carrying out of their functions.
(2) Grants may be paid under this section subject to any conditions the Secretary of State thinks appropriate (including conditions as to repayment).
(3) The Secretary of State may by regulations make provision—
(a) for the constituent authorities of an STB to contribute to its costs, and
(b) about the basis on which the amount payable by each constituent authority is to be determined.
General powers etc
102M General powers
(1) An STB may do—
(a) anything it considers appropriate for the purposes of the carrying out of any of its functions (its “functional purposes”),
(b) anything it considers appropriate for purposes incidental (whether directly or indirectly) to its functional purposes,
(c) anything it considers to be connected with—
(i) any of its functions, or
(ii) anything it may do under paragraph (a) or (b), and
(d) for a commercial purpose, anything which it may do under any of paragraphs (a) to (c) otherwise than for a commercial purpose.
(2) Where subsection (1) confers power on an STB to do something, it confers power (subject to section 102N) to do it anywhere in the United Kingdom or elsewhere.
(3) Power conferred on an STB by subsection (1) is in addition to, and is not limited by, the other powers of the STB.
(4) Where an STB has an executive body established by virtue of section 102G, the STB may delegate to that body its function of taking action under subsection (1) (but not the function of determining what action to take).
102N Boundaries of power under section 102M
(1) Section 102M(1) does not enable an STB to do anything which it is unable to do by virtue of a post-commencement limitation which is expressed to apply—
(a) to its power under section 102M(1),
(b) to all of its powers, or
(c) to all of its powers but with exceptions that do not include its power under section 102M(1).
(2) Section 102M(1) does not authorise an STB to borrow money.
(3) Section 102M(1)(a) to (c) do not authorise an STB to charge a person for anything it does otherwise than for a commercial purpose (but see section 93 of the Local Government Act 2003 (power of STBs and other best value authorities to charge for discretionary services)).
(4) Section 102M(1)(d) does not authorise an STB to do things for a commercial purpose in relation to a person if a statutory provision requires the STB to do those things in relation to the person.
(5) Where under section 102M(1)(d) an STB does things for a commercial purpose, it must do them through—
(a) a company within the meaning given by section 1(1) of the Companies Act 2006, or
(b) a registered society within the meaning of the Co-operative and Community Benefit Societies Act 2014.
(6) In this section—
“post-commencement limitation” means a prohibition, restriction or other limitation imposed by a statutory provision that—
(a) is contained in an Act passed after the end of the Session in which the Cities and Local Government Devolution Act 2015 is passed, or
(b) is contained in an instrument made under an Act and comes into force on or after the commencement of section (Sub-national transport bodies) of that Act;
“statutory provision” means a provision of an Act or of an instrument made under an Act.
102O Power to make provision supplemental to section 102M
(1) The Secretary of State may by regulations make provision preventing an STB from doing under section 102M(1) anything which is specified, or is of a description specified, in the regulations.
(2) The Secretary of State may by regulations provide for the exercise by STBs of the power conferred by section 102M(1) to be subject to conditions, whether generally or in relation to doing anything specified, or of a description specified, in the regulations.
(3) Before making regulations under subsection (1) or (2) the Secretary of State must consult—
(a) such representatives of STBs,
(b) such representatives of local government, and
(c) such other persons (if any), as the Secretary of State considers appropriate.
(4) Subsection (3) does not apply to regulations under subsection (1) or
(2) which are made only for the purpose of amending earlier such regulations—
(a) so as to extend the earlier regulations, or any provision of the earlier regulations, to a particular STB or to STBs of a particular description, or
(b) so that the earlier regulations, or any provision of the earlier regulations, cease to apply to a particular STB or to STBs of a particular description.
102P Power of direction
(1) The Secretary of State may by regulations confer on an STB a power to give directions to a constituent authority about the exercise of transport functions by the authority in the area of the STB.
(2) The power to give a direction by virtue of subsection (1) about the exercise of a function extends only so far as the exercise of the function is relevant to the implementation of the STB’s transport strategy.
(3) Regulations under this section conferring a power to direct may include provision—
(a) for the power to be given generally or subject to conditions or limitations;
(b) for the power to apply to all transport functions or only to those functions specified or described in the regulations;
(c) about the manner in which directions are to be given;
(d) about the consequences arising if there is a contravention of a direction.
(4) Provision under subsection (3)(d) may include provision enabling the STB—
(a) to take any steps it considers appropriate to reverse or modify the effect of a constituent authority exercising a transport function in contravention of the direction, and
(b) to recover any reasonable expenses incurred in taking those steps as a civil debt from the constituent authority.
Boundary and name changes
102Q Change to boundaries of an STB’s area
(1) The Secretary of State may by regulations change the boundaries of the area of an STB by—
(a) adding the area of a relevant authority to an existing area of an STB, or
(b) removing the area of a constituent authority from an existing area of an STB.
(2) Regulations under this section may be made—
(a) only if the constituent authorities have together made a proposal to the Secretary of State for the boundaries to be changed in the manner that would be provided for in the regulations;
(b) in the case of regulations under subsection (1)(a), only if the relevant authority whose area would be added to the area of the STB joins in the making of the proposal;
(c) in the case of regulations under subsection (1)(b), only if the resulting area of the STB meets the condition in section 102E(4).
(3) Regulations under this section changing the boundaries of the area of an STB may be made only if the Secretary of State considers that paragraphs (a) and (b) of section 102F(1) would apply in relation to the area as varied by the regulations.
(4) Regulations under this section may be made only with the consent of—
(a) the STB, and
(b) in the case of regulations under subsection (1)(a), the relevant authority whose area would be added to the area of the STB.
102R Change of name
(1) An STB may change its name by a resolution in accordance with this section.
(2) The resolution must be considered at a meeting of the STB that is specially convened for the purpose.
(3) Particulars of the resolution must be included in the notice of the meeting.
(4) The resolution must be passed at the meeting by not less than twothirds of the members of the STB who vote on it.
(5) An STB which changes it name under this section must—
(a) send notice of the change to the Secretary of State, and
(b) publish the notice in such manner as the Secretary of State may direct.
(6) A change of name under this section does not affect the rights or obligations of the STB or any other person, or render defective any legal proceedings.
(7) Any legal proceedings may be commenced or continued as if there had been no change of name.
Supplementary
102S Incidental etc provision
(1) The Secretary of State may by regulations make incidental, consequential, transitional or supplementary provision for the purposes of, or in consequence of, regulations under this Part or for giving full effect to such regulations.
(2) Regulations under this Part may make different provision for different STBs or otherwise for different purposes.
(3) The provision which may be included by virtue of this section in regulations includes provision for the transfer under the regulations of property, rights and liabilities.
(4) The provision which may be included by virtue of subsection (3) in regulations includes provision—
(a) for the creation or imposition by the Secretary of State of new rights or liabilities in respect of anything transferred under the regulations;
(b) for the management or custody of transferred property;
(c) for bodies to make agreements with respect to any property, income, rights, liabilities and expenses of, and any financial relations between, the parties to the agreement.
(5) The provision which may be included by virtue of this section in regulations includes provision amending, modifying, repealing or revoking any enactment, whenever passed or made.
(6) In this section “enactment” includes an enactment comprised in subordinate legislation (within the meaning of the Interpretation Act 1978).
102T Procedure for regulations under this Part
(1) Regulations under this Part must be made by statutory instrument.
(2) A statutory instrument containing regulations under this Part may not be made unless a draft of the instrument has been laid before, and approved by a resolution of, each House of Parliament.
(3) At the same time as laying a draft of a statutory instrument containing regulations under this Part before Parliament, the Secretary of State must lay before Parliament a report explaining the effect of the regulations and why the Secretary of State considers it appropriate to make the regulations.
(4) Subsections (2) and (3) do not apply to a statutory instrument that contains regulations only of the following kinds—
(a) regulations under section 102J that make provision under subsection (4) of that section for a function to be exercisable by an STB for a limited period of time;
(b) regulations under section 102J that make provision under subsection (5)(b) of that section;
(c) regulations under section 102K that make provision under subsection (4) of that section for a function to be exercisable by an STB for a limited period of time;
(d) regulations under section 102K that make provision under subsection (5)(b) of that section;
(e) regulations under section 102O(1) that make provision for the purpose mentioned in section 102O(4)(b);
(f) regulations under section 102O(2) that make provision for that purpose or for imposing conditions on the doing of things for a commercial purpose.
(5) A statutory instrument to which subsections (2) and (3) do not apply is subject to annulment by resolution of either House of Parliament.
(6) If a draft of regulations under this Part would, apart from this subsection, be treated for the purposes of the standing orders of either House of Parliament as a hybrid instrument, it is to proceed in that House as if it were not a hybrid instrument.
102U Interpretation
In this Part—
“combined authority” means a body established as a combined authority under section 103 of the Local Democracy, Economic Development and Construction Act 2009;
“constituent authority”, in relation to an STB, has the meaning given by section 102F(4);
“ITA” means an Integrated Transport Authority for an integrated transport area in England;
“Passenger Transport Executive” means a body which is such an Executive for the purposes of Part 2 of the Transport Act 1968;
“relevant authority” has the meaning given by section 102E(5);
“STB” has the meaning given by section 102E(2);
“transport functions” means any statutory functions relating to transport;
“transport strategy” has the meaning given by section 102I(11);
“unitary district council” means a district council whose area is not part of the area of a county council.””
The Parliamentary Under-Secretary of State, Department for Transport and Home Office (Lord Ahmad of Wimbledon) (Con)
My Lords, in speaking to Commons Amendment 53 I shall also speak to Amendments 77, 85, 86 and 87. In the summer 2015 Budget, my right honourable friend the Chancellor of the Exchequer reaffirmed the Government’s commitment to the northern powerhouse, a fundamental part of our plan to deliver a healthy and balanced economy for working people across this United Kingdom. The provisions on sub-national transport bodies—STBs—we are debating today were introduced in the last Session and passed through the other place without amendment. I thank all Members and in particular my honourable friend Andrew Jones for that.
These provisions on STBs are a continuation of the revolution going on in the way we govern England. The Government are committed to devolve powers and budgets to boost local growth, which can be seen throughout this Bill. While we are investing record sums in transport across the country—in the north this amounts to £13 billion on transport in this Parliament —we have for far too long accepted that decision-making on that funding has to be made in Whitehall. We need greater local input from those who know their economies best if we want to transform growth in the north and throughout the country. Transport will make a significant difference to that transformation by reducing journey time between the great cities of the north, pooling their strengths and making them greater than the sum of their parts—in short, a northern powerhouse.
Transport for the North is already established and is the unified voice of transport in the north of England. We are working with TfN and other transport bodies on road and rail links in the north and on an integrated smart ticketing system akin to the Oyster card we have in London. I also welcome the recent appointments of John Cridland as chair and David Brown as CEO to drive forward progress.
My right honourable friend the Chancellor also announced extra funding for TfN in the summer but if we want to see long-term permanence and stability, TfN—and all other STBs—need to be put on a statutory footing. This new clause on sub-national transport bodies will do just that. It creates the legislative framework to allow the Government to set up the first STB, which will be Transport for the North. This will be done by secondary legislation, but other areas could come forward to propose that they are also created as an STB.
STBs will initially advise the Secretary of State for Transport on strategic transport schemes and investment priorities in their own area. The Secretary of State may grant individual STBs additional responsibilities around the decision-making and delivery of strategic transport schemes and significant cross-regional schemes such as the work TfN is already undertaking on smart ticketing. There is also the potential to assume more strategic transport responsibilities over time.
However, as I have already said, this clause goes further than TfN alone. It provides a way to create STBs across the whole of England, outside London, at the request of local areas. For example, noble Lords will know of the newly strengthened Midlands Connect Partnership, which brings together 26 local authorities and 11 local enterprise partnerships, working with national agencies and government to drive forward improved transport links across the Midlands to power the Midlands engine. Accordingly, it is necessary for TfN, Midlands Connect and all future STBs to be enshrined as statutory bodies with appropriate statutory powers, and I commend the amendment to the House.
Lord Smith of Leigh
My Lords, I also welcome these amendments, and I thank the Minister for the way that he has introduced them. Obviously, this is very important activity, and without statutory backing Transport for the North has already had a major in-fight over agreeing the northern franchises for the rail networks that affect all our northern counties.
In terms of reporting back, I assure the noble Lord, Lord Shipley, that in the process of franchising we in Greater Manchester have had regular reports from our delegates at Transport for the North. There is accountability for what goes on.
I will probably upset the Minister but, while I am on my feet, I will say that one of the great aspects of the deal for devolution in Greater Manchester was the prospect of franchising the buses, which of course account for the vast majority of transport movements in those areas that are involved. I recognise that that will come under separate legislation, a buses Bill, but we still await sight of that Bill and hope that it is not going to be too long.
Lord Ahmad of Wimbledon
My Lords, I thank all noble Lords for their contributions.
I want to pick up on the point made by the noble Lord, Lord Smith, in response to the noble Lord, Lord Shipley. There is accountability, and that accountability is very much to the stakeholders that make up the particular STB. As for the limits or extension of these areas, that will very much be dependent on the local authorities themselves and the collaboration that takes place. The key point I emphasise is one of strategic decision-making, which is the intention behind the creation of such bodies, as we are already seeing with the creation of TfN. Indeed, the reason behind putting TfN on a statutory footing is that the very bodies that make it up have also requested this.
I will now pick up some of the questions raised by noble Lords. The noble Lord, Lord Shipley, also asked about annual reporting. The legislation makes it clear that STBs shall produce and publish their strategy and updates to that strategy. That can be seen with TfN, which produced its additional reports in March 2015 and has plans for annual updates, the next being in March 2016.
The noble Lord, Lord Beecham, asked about the extent to which different modes of transport are covered by STBs. The whole essence of sub-national transport bodies will be to cater for all modes of transport within a defined geography, including ports and airports. This can already be seen in the work of TfN, which has set out quite clearly its plans for all modes of transport, including ports and airports. I take on board totally the point the noble Lord made that this is not just about linking up rail and roads; it is about ensuring that, where there are ports and airports, these also form part of the strategic transport strategy for a given geographical region.
The noble Lord, Lord Beecham, also asked about the size of STBs. As I have already said, it is really up to the local areas to come forward with proposals; it is about bringing together local authorities. There may be some traditionally defined areas, but it is about how local authorities can come together and collaborate across traditional borders to ensure the best result for a particular region. In terms of the requirements, there must be two appropriate authorities to form an STB.
Lord Beecham
A particular authority or area might want to belong to two such networks. For example, one can see clearly that there is a case for the north-east and Cumbria coming together on the horizontal routes. Equally, Cumbria might want to go south towards my noble friend Lord Smith and vice versa. Is it possible to belong to two such networks?
Lord Ahmad of Wimbledon
It is dependent on how the STB proposals come back. However, in practice, I cannot see a deterrent to that because this is about providing strategic links. I am sure all noble Lords will welcome a linking up between the noble Lords, Lord Beecham and Lord Smith, on strategic transport arrangements. The idea behind this is to empower local authorities to make the right decisions for their particular area.
As to specific local authorities belonging to two networks through legislation, what would happen in the scenario painted by the noble Lord is that if a local authority is already part of an STB, there is nothing stopping that local authority, after the creation of a new STB, being co-opted on to the other to ensure that that strategic link is operational.
The noble Lord, Lord Shipley, referred to placing a limit on the period for regulations. The very nature of the temporary transfer of functions is that there will be a clearly limited interim time for this. If a temporary transfer of functions works well and there is evidence to show that there would be value in effecting a permanent transfer, there would be further regulations to ensure that that could take place.
I hope I have answered the questions that have been raised.
Lord Smith of Leigh
Could the Minister comment on the buses Bill and when we are likely to see it?
Lord Ahmad of Wimbledon
I raised the issue of the buses Bill when I was being briefed for this Bill. I know that it is being drafted and we are looking for appropriate parliamentary time to ensure that we can introduce it at the earliest opportunity.
I again thank all noble Lords for their support for the amendment.
Lord Mackay of Clashfern
I think new Section 102T deals with the point made by the noble Lord, Lord Shipley, about requiring affirmative resolution for the generality of regulations under this provision.