Grand Committee
Arrangement of Business
The Deputy Chairman of Committees (Lord Faulkner of Worcester) (Lab)
My Lords, the hybrid Grand Committee will now begin. Some Members are here in person, respecting social distancing, others are participating remotely, but all Members will be treated equally. I must ask Members in the Room to wear a face covering except when seated at their desk, to speak sitting down and to wipe down their desk, chair and any other touch points before and after use. If the capacity of the Committee Room is exceeded or other safety requirements are breached, I will immediately adjourn the Committee. If there is a Division in the House, which we are not expecting, the Committee will adjourn for five minutes.
I will call Members debating the Dormant Assets Bill to speak in the order listed. During the debate on each group of amendments, I invite Members, including Members in the Grand Committee Room, to email the clerk if they wish to speak after the Minister, using the Grand Committee address. I will call Members to speak in order of request. The groupings are binding. Leave should be given to withdraw amendments. When putting the Question, I will collect voices in the Grand Committee Room only. I remind Members that Divisions cannot take place in Grand Committee. It takes unanimity to amend the Bill, so if a single voice says “Not Content”, an amendment is negatived, and if a single voice says “Content”, a clause stands part. If a Member taking part remotely wants their voice accounted for if the Question is put, they must make this clear when speaking on the group.
Dormant Assets Bill [HL]
Monday 21st June 2021
(3 years, 6 months ago)
Grand CommitteeRead Full debate Dormant Assets Act 2022 View all Dormant Assets Act 2022 Debates Read Hansard Text Read Debate Ministerial Extracts Amendment Paper: HL Bill 3-II(Rev) Revised second marshalled list for Grand Committee - (21 Jun 2021)
Baroness Barran
“(3A) In subsection (3)(a) “amount owing” includes an amount available to be paid as benefits under a personal pension scheme (see section 6(1)(c) and (3)).”Member’s explanatory statement
This would ensure that the overview of the dormant assets scheme in Clause 1 reflects Clause 6, which covers amounts available to be paid as pension benefits even though the owner has not made an election as to how the benefits are to be received.
The Parliamentary Under-Secretary of State, Department for Digital, Culture, Media and Sport (Baroness Barran) (Con)
My Lords, on 14 June I tabled minor and technical amendments to the Bill, which are needed to ensure that it works properly. These included changes for clarity and consistency, and updates to references and consequential amendments. I set these amendments out in my letter to your Lordships on the same day.
The changes, for clarity, can be grouped into three categories. The first group includes Amendments 1, 2, 3, 5, 21, 22, 23, 24, 28, 29, 30, 31, 42 and 46. These amendments clarify that amounts owing or payable to a person include those which are not immediately owing or payable until some action is taken. The second group includes Amendments 16 to 20, as well as Amendments 75 and 77. These amendments clarify that orphan moneys would arise in the context of a sub-fund of an umbrella structure. This is because an umbrella structure is effectively a shell structure, and it is the sub-fund of it that would be authorised under the Financial Services and Markets Act. The third group includes Amendments 7, 8, 9, 13, 14, 15, 25, 26, 27, 33, 35, 36 and 44. These amendments clarify that lifetime ISA provisions apply in the context of access restrictions and to client moneys; in other words, restrictions on assets held within lifetime ISAs apply when their transfer to the Reclaim Fund Ltd would trigger a withdrawal charge payable to HMRC. With that, I beg to move.
Lord Davies of Brixton (Lab)
My Lords, I was going to crave the indulgence of the Grand Committee in trying to hang on to my fast-disappearing status as a new, inexperienced Member: I wanted to provide an opportunity for a debate on Clause 1, on the overview of the scheme, and I was going to do that by stand part or by putting down an amendment—but I got the timetable wrong and I failed to do so. However, other people have come to my aid, in that there will be sufficient opportunities later in the Bill’s progress to raise the issues that I would have raised here had I got my act together.
I will mention the main issues that I have in mind. Of course, I mentioned them at Second Reading, but the ability to repeat points seems to be one of the great assets of this process that we go through. The first issue that I will come back to at an appropriate time is the whole structure that leads to this situation. We can have a lot of discussion about the process of the dormant assets scheme, but we need to address the question of why dormant assets appear in the first place. It would be wrong to have a full debate on the scheme without at least reflecting, to some extent, on that issue.
In the government consultation and in preceding debates that led to the Bill there has been a lot of discussion by various people about what the financial institutions are doing to make sure that this issue does not arise. In general terms, there has been a lot of discussion of that issue—well, perhaps not a lot—but I am not sure that it really gets anywhere. Everyone expresses intentions, but how detailed the planning is to avoid it happening is a separate issue.
However, I think there is a stage before that. Why do we have a structure that leads to this sort of end result? The fact that this can happen is something that bears investigation—not just because it has happened but what we can do about it—as does the extent to which the financial institutions seem, in one way or another, to try to shift the blame to individuals. There are questions about what we can we do so that it does not happen in the first place, and I will come back to that at a later stage, possibly this afternoon—and I will try not to repeat myself too much.
The other issue is additionality. There has not been nearly enough discussion of what exactly is meant by additionality; there is no clear structure as to how it is defined. I will take the opportunity at a later stage to raise and discuss that issue as well. So I am really just putting these issues on the table and saying that, at the appropriate time, I will raise them at a later stage of the process.
Since I am here and speaking, I will ask something. The Bill was published effectively only a few days ago, yet we end up with this extensive raft of minor technical amendments, which makes the job of understanding what the Bill is doing extremely difficult—twice or three times as difficult. The grid that we have been supplied with for today’s session is extremely useful, but getting it only an hour before the meeting reduces its value. If I had been quick, I would have ticked off which amendments fall into which of the groups that the Minister has identified. It would have been helpful if we had had it earlier and the different groups had been identified on that list. Perhaps we could have that in arrears, as it were.
Baroness Kramer (LD)
My Lords, I will be exceedingly brief. As the Minister has said, these are highly technical amendments. Like the noble Lord, Lord Davies, I am frustrated by so many amendments of a highly technical nature and confess that I have been unable to spend the time to get on top of the impact of those changes. I am therefore wholly reliant on the Government’s definition of them. Even my noble friend Lady Bowles was floored by this number coming at this point. I hope for assurance from the Minister that we are done with these technical changes. This truly is an unusual number for a Bill that everyone has been aware is coming for some time. On additionality, which the noble Lord, Lord Davies, referred to, and which I agree is exceedingly important, I have an amendment tabled for Wednesday which tackles that issue. I hope that he will have some input.
I wish to talk about the various amendments to Clause 3 relating to lifetime ISAs, which, in effect, can go into the scheme only if their transfer to a reclaim fund does not trigger a charge payable to HMRC. I am slightly taken aback. HMRC would not be getting its tax payments until the point of reclaim under normal circumstances, so by allowing the assets to go into the dormant assets scheme it loses nothing, not even the timing of the payment of tax charges, because without the reclaim there would be no tax due, as far as I can tell. That strikes me as extraordinary. Why on earth can these assets not be put into the dormant assets scheme? The tax relationship would probably need amending but that is surely not beyond HMRC’s scope. Surely we could ensure that the taxable event happened only at the point of reclaim, as it does right now, meaning there was a bigger pool available for very good causes. Can the Minister give us an idea of what kind of money we are talking about? How much is being denied to the fund because of this constraint that an event which is taxable under today’s legislation is not being amended to make it clear that it is taxable on reclaim, not on transfer to the fund?
I am getting a bit fed up with HMRC. Time and again we get its very narrow focus on tax revenue generation and very little interest in some of the consequences and external impacts of its actions. We have seen it on things such as the loan change, although this is an entirely different issue. Surely it has some responsibility to ensure that the dormant asset programme is as effective and generous as it can possibly be, and therefore making the effort to sit down and draft the various clauses that would in no way deteriorate its current or its proposed tax position, but would allow those assets to be transferred, is a reasonable expectation. I simply do not understand it.
The Deputy Chairman of Committees (Lord Faulkner of Worcester) (Lab)
Lord Bassam of Brighton? I think he may have muted his equipment. Can he unmute?
Lord Bassam of Brighton (Lab) [V]
My Lords, I apologise. I apologise doubly for being late and for failing to unmute.
I missed the Minister’s explanation as she introduced this group, but a few points occur to me. There are some 20-plus issues tied up in these technical amendments and clarifications. That is a lot and, while I am very grateful for the text explaining them, there are some fairly substantial issues here. My attention was drawn to government Amendment 17, which applies a new clause in the case of a wound-up unit trust scheme or a terminated sub-fund of an umbrella unit trust scheme. It sounds awfully complex, actually; it may well be technical, but I do not fully understand exactly what lies behind the wording.
Baroness Barran (Con)
My Lords, I start by thanking noble Lords for their interventions. Like the noble Lord, Lord Davies of Brixton, I still feel like a newbie here, so I hope on that basis that we will both be given a little leeway.
I think that the central point of all of your Lordships’ comments was about the number of technical amendments, and a request for greater clarification—particularly, in the case of the noble Baroness, Lady Kramer, in relation to lifetime ISAs. I will say three things in that regard. The first, as I said in my letter of 14 June, is that in no way do these amendments change the policy intent of the Bill. In some ways this Bill is not complicated, but in other ways it cuts across a number of policy areas, and that is apparent in the number of government amendments.
The second point on which the noble Lord, Lord Bassam, asked for reassurance was that we would not be having another slew of government amendments on Report. I cannot that there will not be any more: I think there may be a very small number—but it will be a very small number. Thirdly, I undertake to write to your Lordships between now and Report and address in a bit more detail the impact of these amendments.
Baroness Barran
Member’s explanatory statement
This would ensure that the description of pension assets in Clause 1(5)(c) includes the right to elect how to receive pension benefits.
Member’s explanatory statement
This would remove words in the description of client money assets in Clause 1(5)(e) that are unnecessary in the light of the government amendment at page 2, line 45 and consequential changes proposed to be made by the government amendments to Clause 12.
Lord Bassam of Brighton
“(5A) Additional assets may be added to the scheme using powers under section 19, including where this is recommended by a report laid under section (Requirement to review the operation of the dormant assets scheme).”Member’s explanatory statement
This amendment makes clear that the list of assets in Clause 1(5) may not be exhaustive, given the existence of the Clause 19 power and the Government’s commitment to keep included asset classes under review.
Lord Bassam of Brighton (Lab) [V]
My Lords, this amendment is grouped with others that will have a similar effect, which is to secure reports on the operation of the dormant assets scheme. I think that we are all fishing in the same pool here. We all want the same thing and it is always nice to be able to agree with colleagues across the piece on something such as this.
We need periodic reviews. My amendment seeks to have the first periodic review after two years and subsequent reviews every five years thereafter, and I think that there is a degree of consensus that that is desirable. Why do we want to do that? Well, clearly, it makes sense; we need to know what other dormant assets can be released into the fund and how they are consulted on when they are brought forward. We also need to ensure that mechanisms work properly and that any new additions are sufficiently worked out. That is the purpose behind the amendment.
We also need to know why other fund that are dormant are not being released—in particular, I guess, some of the pension funds. I know that concern was expressed about that at Second Reading, because many of us see dormant pension funds as having a lot of potential. I know that the Government said that the dashboard was not yet ready or bedded in, but we could use periodic reviews to ensure that we are regularly updated on this.
So, very simply, that is my introduction to this amendment. I am sure that there will be a degree of consensus in the Committee on this issue, and I hope that the Minister can be positive about it and that, between now and Report, between us we can fashion amendments to the Bill that give expression to that consensus and that the Government can be happy with as well. I am more than happy to talk to other colleagues about this, so that we get it right, because ensuring that we have regular and periodic reviews is important, as it will build up trust in the legislation and across the sector that will benefit from this. I beg to move.
Lord Davies of Brixton (Lab)
My Lords, I really do not have anything extra to add to my noble friend Lord Bassam’s comments. The proposed clause is about a review of the functionality of the scheme, so it does not really get to the issues that I referred to earlier, so I think that I will leave it there. I am happy to support the amendment.
Lord Etherton (CB)
My Lords, I shall address Amendment 62. Like other amendments in this group, especially those of the noble Lord, Lord Bassam of Brighton, and the joint amendment of the noble Baronesses, Lady Bowles of Berkhamsted and Lady Kramer, Amendment 62 provides for a general review of the dormant assets scheme. Some of the other amendments are framed in rather narrower terms—for example, a review of whether further assets should be added—but I am looking at the issue of a general review in Amendment 62, as do the other amendments that I have referred to.
As a matter of principle and policy, the desirability of a review has already been recognised and provided for in Section 14 of the 2008 Act. Section 14(1)(a) provided:
“The Treasury shall carry out a review of … the operation of this Part”.
Section 14 is necessarily limited to the assets specified in the 2008 Act; it does not extend to any additional dormant assets subsequently added to the scheme under the Bill. But I would suggest that, by parity of reason and policy, there should be a provision in the Bill for a review of the scheme as enlarged by the Bill—or indeed if there are any further assets in the future to be transferred.
Now, I confess that I have made a mistake—a technical mistake, I suppose it could be called—in my amendment, in that the review under Section 14 of the 2008 Act was to be completed
“within three years from the date when a reclaim fund is first authorised.”
I have not seen that review, but I assume that it was duly conducted. Technically, therefore, I suppose, the section is spent. That is, presumably, why it is not repealed.
It would be possible, and quite easy, to extend Section 14 of the 2008 Act to Part 1, which is what I suggest by my amendment, just by extending the date for completion of the review specified in Section 14. I failed to deal with that in my proposed amendment but, having considered the other proposed amendments in this group, I agree that it would be better for there to be an initial review, as there was in Section 14, and then periodic reviews.
As the noble Lord, Lord Bassam of Brighton, said, there is minimal disagreement between people about what the time period should be. Some have suggested that there should be a general review within two years or three years and then periodic reviews thereafter every five years or three years. My alteration is minimalist because Section 14 provided for only one review, not periodic reviews, so that, if we were to extend the date for the review, as I said would be possible, there would be only one review. It seems sensible that there should be periodic reviews, whatever the period is, and I do not feel it is necessary for me today to specify whether I think it should be three, four or five years.
There is a difference between all the amendments proposed in this group about what is specially to be included in any review. The amendments I have mentioned provide for a general review and then the provisions go on to say, “bearing mind specifically x, y and z”. Section 14 of the 2008 Act is rather narrow, but it covers the identification of transferor banks and building societies.
Amendment 45, tabled by the noble Baroness, Lady Noakes, would determine whether additional assets can be covered by the scheme. I suggest, with respect, that that is too narrow. The noble Lord, Lord Bassam of Brighton, specifically addresses that purpose and the extent to which new dormant assets since the last review have contributed to meeting the underlying policy objectives. That is wider than Section 14 and is quite a wide objective. The amendment tabled by the noble Baronesses, Lady Bowles of Berkhamsted and Lady Kramer, addresses wider issues and has a structure similar to Section 14 of the 2008 Act.
I suppose this is in a sense taking up a comment made by the noble Lord, Lord Davies of Brixton. My amendment is directed in terms of mentioning certain matters that must be specifically included in the general review. It is looking at identifying where these various assets have come from, where they have gone to and what has happened to them. We need to understand that in order to see why there are dormant assets. It is quite an important process to go through to identify how many there are and what proportion of them have come from, for example, banks, pension funds, ISAs or whatever it may be, and then we want to know why. If, for example, the information reveals a great disparity between where the assets have come from, that would raise a question that is worth investigating, and then we can go down the route that the noble Lord, Lord Davies, suggested and ask why this category produces so many dormant assets. I have also said that one should identify what has been spent in relation to each category of person and activity and what assets have been successfully claimed.
In subsections (2)(a) and (2)(b) of my proposed new clause, I have sought to get together enough information to understand whether we can learn something about why there are these dominant assets so that Parliament can identify whether some policy is being pursued that is not explicitly apparent in the way that the asset is applied. Having fully admitted that my own amendment is, to the extent I have mentioned, defective—I also think it is too narrow now—I certainly support the suggestion of the noble Lord, Lord Bassam of Brighton, that, together, surely we ought to be able to arrive at a consensus as to what should be covered.
Baroness Barker (LD)
My Lords, following our Second Reading, I went away and reflected on the way in which the Bill has been received and debated in your Lordships’ House. It would be fair to say that noble Lords as a whole wish to be supportive of the Government in what they are trying to do in the Bill. However, from a number of different perspectives, we all have questions about the effectiveness and efficiency of this method of doing things.
In particular, I tabled my Amendment 63 to make the point that nowhere in this Bill, or in its predecessor, is there an explicit statement about what these assets are supposed to be used to achieve. If we do not know what the objectives are, it is difficult to measure either the effectiveness or the efficiency with which the vehicle that has been constructed is doing that. It therefore seems that we as a House have an obligation to look at the reporting mechanisms that already exist. There are many of them in different places. They are all bits and pieces that you have to go and look at in, for example, the National Lottery Community Fund reports or the Reclaim Fund Ltd reports. Much of the detail of income and expenditure is in those reports, but there is very little in any of them on what has happened in terms of the impact.
My understanding is that the fund exists to use dormant assets not just because they happen to be there but for specific purposes of financial inclusion and developing financial literacy, particularly within poorer communities. That is what I really want us to try to have. When the Minister introduced the Bill at Second Reading, I was very struck when she said to us that the main impetus behind it coming to us was from the financial services industry, which wishes to see more dormant assets being used. That is fine—I absolutely agree with that—but to what end, and is the expenditure on this being done properly?
Noble Lords have to understand that the charitable sector is in a seriously bad way. A year ago, the Government asked the charitable sector what it thought the impact of Covid would be. In the initial lockdown, it thought that it would lose £4 billion. We have been through three lockdowns since that one. The government funds released to the sector in response to that figure of £4 billion were £750 million, of which £150 million came from bringing forward some of the dormant assets referred to in the Bill. The whole of the charitable sector is going to experience severe problems. It is every part of it, from Cancer Research UK already having to delay some of its projected work for the next five years through to the small neighbourhood organisations.
It is therefore extremely important that these assets be used for the express purpose for which they have been given and used as effectively as possible. We must also be able to work out from all the reporting that we do get to see that the principle of additionality is being adhered to: that these are funds for a specific reason, and that they are largely treated as one-off and not as ongoing revenue, particularly when government comes to talk about its overall response to the charitable sector.
My amendment was in part a nod to the Public Accounts Committee’s report of 9 June, in which it came up with its analysis of the Government’s response to the charitable sector and Covid. I understand that that report relates not just to the £150 million of dormant assets funding but to the £750 million. Nevertheless, the PAC raised significant questions in it, not least about the National Lottery Community Fund being able to provide sufficient data about what is happening with the distribution of some of its funds to poorer communities. Similarly, the report raised questions with the Charity Commission and the Government about the ongoing viability of charities, which are sometimes involved in quite essential charitable work.
For all those reasons, I came up with my amendment. I am agnostic on the length of time to be taken. I do not think that, for a programme of this kind, it is worth doing reports of anything under three years, because I do not think that you can generate significant data in fewer than three years, but we should have reports that are something more than a succession of different sets of accounts and annual statements for the different bodies responsible for the collection or the distribution of money, and we should look at whether this will continue to be the best way to deal with this issue. That is my amendment.
Lord Hodgson of Astley Abbotts (Con)
My Lords, the noble Baroness, Lady Barker, made a very important point about impact. I will come back to it in a moment in my remarks.
In the first instance, we heard from the noble Lord, Lord Bassam of Brighton, and the noble and learned Lord, Lord Etherton, about the timing of reviews to look at whether the structure is working effectively now and will work effectively at some date in the future. I want to probe the Minister a little further about the situation now and the current operation of the system. Specifically, I want to ask her whether the Government think that the existing powers to investigate, measure and check are sufficient.
As I understand it—I stand to be corrected—under the present system, money from the fund is passed to recipient bodies or recipient groups by what are called distributors, which have clear responsibilities to decide which bodies are worthy of funding and should get the money, and, after the funds have been passed over, to ensure that the proceeds are spent properly, effectively and in accordance with the way envisaged at the time of the grant. Again, as I understand it, there are currently four distributors: Big Society Capital, Access, Fair4All Finance and the Youth Futures Foundation.
The work of these four distributors is overseen by the Oversight Trust, which has no power to determine where the money goes but is charged with ensuring that the distributors have effective procedures in place to ensure good governance and proper performance of their duties. Clearly, the Oversight Trust has a very important role to play in maintaining public trust and confidence in the dormant assets scheme.
Can my noble friend enlighten me on three points? First, can a new distributor be appointed or dis-appointed? Who decides that and initiates it? If a decision is made to go ahead, what powers, if any, does the Oversight Trust, which is responsible for monitoring that body, have in making that final decision? That is my first question: can we remove or add distributors? How do we do it? What role does the Oversight Trust have in that process?
Secondly, and more generally, are the Government satisfied that the Oversight Trust has the powers necessary to fulfil this important role? For example, are distributors required or obliged to collaborate and co-operate with the Oversight Trust to ensure that it performs its duties effectively?
Thirdly—this point was made by the noble Baroness, Lady Barker—what role, if any, does the Oversight Trust have in measuring the impact of what the distributors are doing? Do we look in any way at whether the distribution policy being followed by one of the four groups now in power to do this makes sense for our society, or are they free as a bird? It would be helpful if the Minister could say a little about that.
Finally, it must be of importance, as we begin to see the expansion of the whole scheme—I think every Member of your Lordships’ House thinks that it is a good idea in principle; I certainly do—to ensure that the governance structure is adequate for the increased responsibilities that will be placed on it. I hope that my noble friend the Minister will be able to reassure me on these points when she replies to the debate.
Baroness Noakes (Con)
My Lords, Amendment 45 in this group is in my name. As has already been pointed out, it differs from the other amendments in the group, which call for reports, as it is a targeted amendment focused on ensuring that the scope for new asset classes being added to the dormant assets arrangements under the Bill is kept under review. The other amendments are broader and seek reports on the impact and operation of the scheme. I do not support littering legislation with reports on the impact of Bills—that is what the post-legislative scrutiny process is for—so I do not support the other amendments in the group.
I was going to point out to the noble and learned Lord, Lord Etherton, that his amendment is ineffective because Clause 31 deletes Section 14 from the 2008 Act, but he got there first. I would just explain that Section 14 was put in in the very specific context of the first Bill, the then Dormant Bank and Building Society Accounts Bill. At the time, there was considerable controversy about whether a voluntary scheme would work. There was much scepticism about whether banks and building societies would yield their assets, which is why that specific reporting section was put into the 2008 Act. It reported within a few years. It has been some time since I looked at that report but, broadly, it concluded that it had been effective. Not absolutely every bank and building society is in the scheme but, in terms of value, substantially the whole amount are.
I focused my amendment on bringing in other asset classes because it took a long time for this Bill to come forward after the 2008 Act. It was 13 years before more asset classes appeared, which is just too long. Indeed, my noble friend the Minister admitted as such at Second Reading when she said that the industry had been “nudging”—a polite term—the Government to get on and get this Bill done. I do not think that we can necessarily rely on the Government to prioritise or be proactive about the source of new funds coming into dormant assets, which is why I suggested a periodic report specifically on asset classes to keep up that pressure.
When the Dormant Assets Commission, which was set up to be independent of government, reported about four years ago it identified a number of additional assets. It decided to concentrate on the financial services sector, but even within that it noted, as we discussed at Second Reading, that a number of sources of assets in the financial services sector have not yet been brought within the scheme’s scope. The report also outlined a long list of assets outside the financial services sector, ranging from Oyster cards—I was astonished to find that there are 42 million cards with a balance on that have not been used for more than a year—to a large amount of money in unclaimed gambling winnings, which I find surprising. There are also lots of balances on things such as telephone accounts and energy accounts. There are lots of forms of dormant assets hanging around; they ought not to be retained by the companies that hold them but ought to be released for the kind of good works that are fostered by this Bill and the 2008 Act.
I hope that one day the Treasury will be shamed into no longer being the only body keeping its dormant assets out of the scheme, in the form of National Savings & Investments accounts. I believe it amounts to something close to state larceny for the Treasury to insist that it can keep dormant National Savings & Investments money because it has been used to fund public expenditure. It is not the Treasury’s money to keep. However, I acknowledge that shame is not something generally found in the Treasury, so we may have to wait a very long time to see those assets come within the scheme.
Baroness Bowles of Berkhamsted (LD) [V]
My Lords, it is quite useful to speak relatively late in this debate, because we have had a good flavour of the things that noble Lords are interested in. I agree with the noble Baroness, Lady Noakes, about additional assets, although I disagree with her in that I think there is room, as many other noble Lords have suggested, for a more general review clause. As has been suggested, between us perhaps we can find what shape that should have. There may also be a question over whether to load the review of potential new assets into that repeating review or to have separate reviews. That is something I have not yet resolved on in my own mind.
Amendment 65 in my name and that of my noble friend Lady Kramer concerns the report to Parliament, which is styled in the manner of a report from the Treasury and encompasses many of the features already discussed. It is obviously a probing amendment at this stage and covers a review of how the dormant assets scheme has worked, and then a review every three years.
It is probably too long not to have a review until three years from now. I almost want a review now, because an early review makes sense from the perspective of the point of transfer to Treasury responsibility and because there are now several years of experience of how the bank account side of things has progressed over time. That provides a datum against which to measure progression of other assets as they are brought in, and maybe to understand more about the differences as they emerge. I am sure that such monitoring has to be done anyway, but it is a matter of interest to Parliament. I therefore think it is reasonable to have the basis to interest Parliament with a review and to have a few more debates. I have not come across a debate on this before, though obviously I am much newer to this House than some other noble Lords.
I will highlight two specific things from my amendment. The first is the mention in proposed new subsection 1(b) of reviewing
“the effectiveness of the efforts made by financial institutions to secure that those entitled to money in inactive accounts are made aware of the fact.”
It now appears that there have been rather fewer claims on dormant assets than originally provided for—a matter we will return to in later amendments—but that does not explain what the various steps are and when they are taken.
I am curious about this from a recent personal experience when a bank used the notifier on a death certificate to locate the next of kin for one of my husband’s deceased brothers, but it was over 14 years after he died. The notifier had in fact moved, fortunately only once, and a letter eventually got to her and thence onward to my husband. I have absolutely no knowledge as to whether that is a typical time period before using such steps for tracing to take place, but it seems that the chance of success is much greater if tracing happens sooner and does not wait for when transfer to the dormant assets system is possible or imminent.
For pensions, of course, we are hoping that the pensions dashboard and other digital mechanisms will help keep people more attached to their money, but I am interested to know the point at which efforts are made, because it seems that it should not wait until that transfer point. It is thoughts such as that which lie behind seeking review of the effectiveness of efforts made by financial institutions. When things are done is as key to effectiveness as what has been done.
The second thing I want to highlight—it is really a collection rather than an individual point—are the issues in my subsection (2), in particular about the promptness of transfer of funds, their use and the value for money of the scheme. Again, as we will come on to in later amendments, there will have been caution over transfers at the start but by now there should be much more confidence about projections and risk assessments, and that should have flowed through to the efficiency and value for money of the scheme. It will also be important to follow what I would expect to be a similar kind of cautious and then maybe more aware progression for the new assets.
More generally, there seems to be a good case for review of all the matters that have been raised by the amendments in this group, and I hope that the Minister will note the interest in that and look favourably on an amendment on Report. If the Government were so inclined—as they seem to like amendments so far—to bring forward some more as a consequence of our discussion, maybe this is even something we could all work together on.
Baroness Kramer (LD)
My Lords, the amendments in this group touch on quite a wide range of topics. I hope it will be acceptable if I skim over them.
I want to start by picking up the issues raised by the noble Lord, Lord Bassam, and even more strongly in the amendment in the name of the noble Baroness, Lady Noakes, which stress the significance of—and make sure that there is capacity for—additional assets to be added to the scheme. The noble Baroness, Lady Noakes, summed up that particular set of problems exceedingly well. There is absolutely no reason why the Treasury should be sitting on a whole lot of dormant assets. In fact, there is no reason why anybody should be sitting on a whole lot of dormant assets.
I would like an answer to the question about lifetime ISAs that I raised in the first group. I have no idea of the size of the pool of lifetime ISAs that cannot be put into the dormant assets scheme because without amendment that would trigger a taxable event. It would be good to have clarity on whether these are tiny sums or rather big numbers; I fear it is the latter. This would be a good opportunity to put some pressure on the Treasury to sit down and write the two or three clauses needed to amend that particular set of problems.
At Second Reading I mentioned that the noble Lord, Lord Foster of Bath, was considering tabling some amendments which would expand the scheme to include dormant betting accounts. I need to tell the Committee that he has decided not to, for some fairly straightforward reasons. After discussion with the industry, it became clear that it would not agree to participate in the scheme, which is voluntary. This is because under the current arrangements those dormant accounts can be reclassified into the profit lines of the various companies in the industry. Of course, they then pay taxes on those profits and it does impact nominally on the size of their contribution to the voluntary levy they are involved in, but it is still a meaningful source of income for them. I know that there is going to be reform of the gambling industry; this strikes me as an excellent opportunity to deal with that problem, because surely this should not be money for a company’s bottom line—these are dormant accounts, and I think all of us across the Committee would far rather see them put to good use.
I want to pick up a couple of issues raised in Amendment 65 in the name of my noble friend Lady Bowles, to which I have also added my name—particularly the paragraph she discussed on
“the effectiveness of the efforts made by financial institutions to secure that those entitled to money in inactive accounts are made aware of the fact.”
As she said, the right moment for this is as soon as the accounts begin to look dormant, not 14 years later.
I note the memo from the insurance trade body, the ABI, which most of us have probably received. It said that
“a step change in reconnection efforts will only truly be achieved through the use of Government data, which can be used to verify customers’ addresses and would vastly improve industry’s tracing efforts.”
Can the Minister comment on that? If things could be done at government level to greatly enhance reclaim, that would be useful and a comfort to all of us as we become much more aggressive about making sure that more and more assets go into the dormant assets scheme.
I move to the points made by my noble friend Lady Barker on the impact of the dormant assets scheme. The noble Baroness, Lady Noakes, suggested that it is not something to review, but we have to recognise that this is not a straightforward area. Since we have mandated the scheme, we surely have a responsibility to know what happens with those dormant assets and exactly what they are achieving. I make a gentle point, noting the 9 June report of the Public Accounts Committee in the other place on the distribution of Covid support for charities, which says that it is
“unclear what influence special advisers had over some funding decisions, with some charities awarded government funding despite the Department’s officials initially scoring their bids in the lowest scoring category, including four out of the five lowest scoring applications.”
This suggests that identifying who should be a recipient is not straightforward. While we hope, of course, that we have chosen the right intermediaries, that they have processes in place and that the oversight is working, I believe that Parliament cannot walk away from this—so it is necessary that a report comes back to us covering this range of issues.
We will address additionality later but, if the Minister is concerned to explain constantly that the dormant assets scheme is entirely independent from the Government, she might want to look at the Government’s own website. I was going to quote it next week and had it in front of me just a moment ago. Anybody reading it would certainly assume that the Government were entirely in control, certainly of the £150 million from dormant assets that was used to support Covid. I have the text before me now. It says:
“The government has pledged £750 million to ensure VCSE can continue their vital work supporting the country … including £200 million for the Coronavirus Community Support Fund, along with an additional £150 million from dormant bank and building society accounts.”
To anybody reading that document, the Government have made clear that this is their decision, direction and influence. If that is not the case, it should not be written in that way; the Government cannot have it both ways. This may be independent and the money distributed on the basis set out in this legislation, but we are moving towards a situation in which the Secretary of State will be able to have a great deal of direct influence over where the money is distributed by changing the uses of the funds, et cetera. All of that brings us back to reporting for clarity, to make sure that everything is transparent—that strikes me as crucial.
I very much support all the measures here which, in various ways and in different clauses, call for proper review and transparency. Many of us coming to this for the first time have been quite shocked at how little anybody seems to know about a scheme that has been controlling £1 billion in assets and will be controlling several billion more in assets, and which surely will have a very significant impact for good, ill or indifference—so we really do need answers to all our questions.
Baroness Barran (Con)
My Lords, I thank your Lordships for your proposals on reviewing various aspects of the dormant assets scheme, and for raising the important issue of transparency. Like the noble Baroness, Lady Kramer, I will try to organise the amendments into different groups, because I believe that they cover three aspects of reporting. The first relates to regular reporting to Parliament on the operation of the scheme. The second relates to the role of reporting as a mechanism for encouraging further expansion of the asset classes that are eligible for inclusion in the scheme. The third relates to reporting in relation to the impact of the scheme.
On the first aspect, I turn to Amendments 61, 62 and 65, in the names of the noble Lord, Lord Bassam, the noble and learned Lord, Lord Etherton, and the noble Baronesses, Lady Bowles and Lady Kramer, which call for a regular government report on the scheme’s operations, including, for example, the amounts transferred into the scheme, by whom they were transferred, how they have been applied and the amounts reclaimed from RFL. I am grateful to your Lordships for raising these issues, and certainly agree on the importance of such transparency.
We believe that there are a number of mechanisms already in place for reporting on the scheme’s operations. Some of them are well established. For example, as the scheme administrator, RFL publishes annual reports that set out, among other metrics, the amounts it receives from participants and the value of reclaims. Other mechanisms have only recently been set up with RFL’s establishment as an arm’s-length body of the Treasury. For example, the Government will now be monitoring RFL’s delivery against the scheme’s objectives on a quarterly basis. In addition, the relevant Select Committee can always probe the working of the scheme at any point, and the Bill may be subject to post-legislative scrutiny, which takes place between three and five years after Royal Assent. In addition, starting in the current financial year, RFL will be audited by the Comptroller and Auditor-General, who will be able to report to the House of Commons the result of any value-for-money assessment it carries out. This will enhance Parliament’s oversight of RFL’s delivery of the scheme.
The noble and learned Lord, Lord Etherton, asked about the transposition of Section 14 from the original Act into this Bill. As he noted, the original Act required the Treasury to undertake a review of the legislation and lay it before Parliament within three years of the date that the reclaim fund was first authorised—and this review was indeed published in 2014.
I have tried to set out a number of the mechanisms that are now in place for reporting on the scheme’s operations, and we believe that these combined efforts do provide a greater level of transparency on the scheme’s operations and allow for flexibility in monitoring RFL’s delivery of the scheme as it works on the phased introduction and implementation of these new and more complex assets. By tightly prescribing the timing for carrying out such a review, an equivalent to Section 14 would, we believe, have a potentially limiting impact.
However, the basic principle that I have heard from your Lordships this afternoon is the importance of transparency and robust reporting—how much money, where is it coming from, what is the asset type, what is the purpose and what is the reclaim experience? We believe that all these points are covered, but we are anxious that your Lordships should agree that they are transparent and easy to access. So I am very happy to meet your Lordships ahead of Report to go through this in more detail and make sure that our understanding of the transparency that we believe the current reporting mechanisms offer indeed aligns with what your Lordships seek.
I will now turn to Amendments 4, 45 and 61, in the names of the noble Lord, Lord Bassam, and my noble friend Lady Noakes, relating to the role of reporting in encouraging further expansion of the scheme. Over the past five years, the Government and the reclaim fund have worked closely with industry on the scope and design of an expanded scheme, and I am extremely grateful for their hard work and dedication in helping to realise these very ambitious plans. While our industry stakeholders are keen to maintain momentum, they have consistently recommended a phased approach to expansion. This will allow participants to deepen their understanding of the scheme and to implement new processes progressively. This also enables RFL to build experience managing these new and more complex assets.
Decisions on which assets should be included in the future will depend on a number of factors, including identifying asset classes with high instances of dormancy and then setting the dormancy definitions for, and quantifying the value of, such assets. Consideration may also be given to whether other mechanisms for dealing with dormancy already exist and how these could interact with the scheme. Any further expansion will require the same close collaboration between the Government, the reclaim fund and industry, which has supported this phase of expansion.
The noble Lord, Lord Bassam, asked about the inclusion of additional asset classes, and my noble friend Lady Noakes strayed into the territory of state larceny—on which, obviously, I could not possibly comment. To be clear, at this stage the Government are not considering widening the net to include non-financial services assets. My noble friend talked about Oyster cards; the Bill contains a power to extend the scheme in future by way of regulations, and this obviously offers a more flexible avenue to reconsider whether some types of non-financial assets should be included in future. The noble Lord, Lord Bassam, also asked about the potential to expand to other forms of pension. Occupational pensions are excluded under the scheme as they are trust based, belonging to a fund or a group of investors rather than a specific identifiable individual. Only contract-based pension schemes are within the scope of the Bill.
To date, bringing new assets into the scheme has required primary legislation. As I just mentioned, Clause 19 provides a power to extend the scheme without need for this. In future it will be subject to the draft affirmative procedure, rightfully allowing Parliament the opportunity to scrutinise such regulations before they are made. It is natural that we will continue to review which assets may be suitable for further expansion. I will consider the best mechanism and timing to achieve this, taking into account the implementation of this phase and RFL’s quarterly reporting to the Government.
Further to this, the UK Government remain committed to engaging with the devolved Administrations on any legislative proposals or statutory changes that could have an impact on transferred or devolved matters of competence. This is in line with the principles set out in the devolution memorandum of understanding between the UK Government and the devolved Administrations. We will consult with the Northern Ireland Executive where the provision of any statutory instrument laid under Clause 19 will have an impact on transferred areas of competence in Northern Ireland—for example, the regulation of credit unions—with a view to obtaining mutual agreement on any approach before taking it forward.
Before I turn to Amendment 63 in the name of the noble Baroness, Lady Barker, I would like to make sure that we are on the same page about the £750 million and the £150 million. The £750 million was funding from the Treasury for the charitable sector, including social enterprises. The £150 million was in addition to that; it came from dormant assets and was distributed to the existing organisations.
Amendment 63 considers the impact of the scheme. I reiterate my thanks to the noble Baroness for placing emphasis on having transparency and clarity in reporting on this issue. If I followed her question correctly, she asked why this was not in the Bill. As she knows, this is something that we proposed putting into secondary legislation, with the purposes being specified through a public consultation.
As your Lordships know, the scheme provides long-term flexible funding that enables expert organisations to focus on creating positive and systemic change. It is essential that this funding has a positive impact by contributing to the social and environmental initiatives for which it is designed. The independent spend organisations are regularly reviewed by the Oversight Trust, which is their parent body, to examine their effectiveness in delivering against their objectives. They are also subject to standard annual reporting requirements.
My noble friend Lord Hodgson asked a number of specific questions about the role of the Oversight Trust. He will be aware that it was set up relatively recently in its current form. I will cite the example of Fair4All Finance, which was established in February 2019 following widespread consultation with almost 100 organisations, and I am sure that, had the Oversight Trust existed at that time, it would have been part of that. I do believe that it has the powers necessary to look at the impact of the different distribution organisations. As my noble friend knows, the issue of measuring impact in this area—attribution versus contribution and all the other complexities—is genuinely very difficult, but we are extremely encouraged by some of the early reports from the Oversight Trust on the way that it has approached that. I will briefly comment on that now.
As I mentioned, the independent spend organisations are regularly reviewed by the Oversight Trust on their effectiveness in delivering against their objectives—that happens every four years—and they are also subject to standard annual reporting requirements. The Oversight Trust’s review of Big Society Capital was published in 2020. It reported that Big Society Capital had made substantial progress in catalysing development of the UK social investment marketplace, which was one of its primary original objectives. For example, social property funds, which did not exist at all in 2012, are now worth more than £2 billion.
The Deputy Chairman of Committees (Lord Faulkner of Worcester) (Lab)
I have received a request to speak after the Minister from the noble Lord, Lord Davies of Brixton.
Lord Davies of Brixton (Lab)
I naively had it in my mind when I spoke that I was speaking only to Amendment 4. I cannot come back on the substance of the amendments, but I have a couple of specific questions. First, in the formal consultation, and in the previous reviews, the Government said that they recognised
“the strong interest in the ways that funds can best be spent”,
even though it was outside the consultation, and that:
“Accordingly, we will consider whether this is an area that should be reviewed”—
in other words, other ways of spending the money. Is this what the Minister just referred to or is it a separate exercise that is being considered?
In the Second Reading debate, the Minister referred to the additionality principle in her introduction. She said:
“Money must fulfil the additionality principle, so it cannot be used as a substitute for central government funding.”—[Official Report, 26/5/21; cols. 1035.]
In response to the debate, she said:
“There was a lot of discussion about the additionality principle. This is set out in paragraph 9 of Schedule 3 to the 2008 Act and remains unchanged.”—[Official Report, 26/5/21; cols. 1084.]
Of course, I turned to the 2008 Act. It is far from explicitly set out; it is actually set out only at one remove. It refers to the need for the Big Lottery Fund to cover the issue in the annual report and to say how it complied with that requirement. It does not set out explicitly what is meant by additionality, so my second question is would it not be better to have a clear and specific definition of what is meant by additionality, given the emphasis the Government place on it as a pillar of the scheme?
Baroness Barran (Con)
I thank the noble Lord for his additional questions. He talked about other ways of spending the funds. I was talking about other causes; I am not sure whether we are using different words for the same thing. In the consultation that we are proposing, we will invite the public to name the issues they care about on which these funds should be used—the aim being to have that in secondary rather than primary legislation to make it a bit more flexible—as opposed to using different types of spend organisations. I was referring to the causes on which that will be spent.
I think that issues of additionality are likely to come up quite frequently, particularly on Wednesday, when we debate some of the other amendments. Perhaps we can take that issue in the round then, if the noble Lord is agreeable.
Lord Bassam of Brighton (Lab) [V]
My Lords, the noble Baroness, Lady Kramer, said it all, in the sense that this has been an extremely wide-ranging debate covering many topics, even though, as I said at the outset, we are fishing in the same pool here looking for a form of review. I thank the Minister for her very full, detailed and thorough response. I will have to read it carefully before deciding what to do about this subject area on Report.
I also thank her for the opportunity she has afforded us through her response of meeting and considering what other ways there may be to look at the impact of the dormant assets review and how we can best formulate it. I think she was inviting us to subscribe to an amendment that covers that point, but I am not sure yet. I look forward to having that discussion with her.
It is perhaps worth reflecting on comments that colleagues made. The noble Baroness, Lady Noakes, knows that I agree with her that there is not much point bringing forward amendments that lead to pointless reports unless those reports have an action at the end of them. That is why my amendment in particular calls for a review with the purpose of leading to something. That is why it is important that we have an early review. The noble Baroness, Lady Bowles, asked for a review now. “Now” may be in two years’ time after the Bill has passed—that would be about right—and periodic reviews thereafter.
The good thing about this legislation is that flexibility is brought into it. Although at the moment it is limited to financial products, in her response the Minister did not seem to rule out entirely that it might be extended to cover non-financial products. I liked the noble Baroness, Lady Noakes, looking at things such as Oyster cards, gambling winnings and utility accounts. At Second Reading I raised that assets from criminal activity might be brought into the scheme. That is perhaps going a bit far at this stage, but we are all looking at ways in which we can expand dormant assets so that they can be used for a broader social purpose.
The noble Lord, Lord Hodgson, was right to ask whether the powers are sufficient at the moment. I want to be confident that is right. As the Minister acknowledged, the Oversight Trust is very much in its early phase of development, though clearly it has done some important and valuable work so far.
The Minister said that transparency could be guaranteed through a number of routes: the RFL, Select Committees and post-legislative scrutiny. That is true—there is no doubt that those routes are available—but one of the reasons I am keen to see a review process built into the legislation is that we need to have that review in one place so that we can look across the piece in a more coherent and cohesive way, decide whether the dormant assets are having impact, determine whether there are other financial and non-financial assets that could be brought within its scope and see that there is a degree of transparency about the way in which the legislation is operating. That is why I am keen to see a review process.
The noble and learned Lord, Lord Etherton, made a good point about the need to look at the derivation and application of funds: where from and why? That is really part of the thinking behind my amendment and, I think, other amendments in this group.
We have had a very good discussion on this. It is an important part of the legislation. I welcome the Minister’s offer of some discussions and restate my intent to bring back an amendment that captures the best of the other amendments and brings them to bear on how we move forward in reviewing how this legislation works. I am grateful to everybody for their interest and support on this. I beg leave to withdraw my amendment.
Baroness Barran
“(9) In this Part—(a) any reference to an amount owing (or payable) to a person includes a reference to an amount which is not immediately payable to the person only because it is necessary for a request for payment to be made or for the person’s entitlement to payment to be verified, and(b) any reference to the right to payment of an amount owing (or payable) includes, in the case of an amount described in paragraph (a), the right to request payment of the amount.”Member’s explanatory statement
This would ensure that the provisions of Part 1 relating to transfers of dormant assets to an authorised reclaim fund cover not only cases where an amount is payable immediately (i.e. as a debt) but also cases where the person entitled to an amount needs to request payment, or that person’s entitlement needs to be verified, before the amount becomes payable immediately.
Member’s explanatory statement
This would correct an inconsistency between Clause 2(2)(a) and corresponding provisions elsewhere in Part 1, such as Clause 8(2)(a).
Lord Parkinson of Whitley Bay (Con)
My Lords, on 14 June the Minister tabled minor and technical amendments that, as she has explained to the Committee, are needed to ensure that the Bill works properly. These included changes for clarity and consistency and updates to references and consequential amendments. My noble friend set out these amendments, along with some further detail, in her letter to all noble Lords on the same date.
The changes relating to consistency can be grouped into two categories. The first, including Amendments 6, 10 and 12, seeks to ensure consistency of language in the insurance and pension transfer provisions. This includes a change of tense to align with other transfer provisions. These amendments would change references to a person to whom the benefits or proceeds
“were payable immediately before the transfer”
to a person to whom they are
“payable immediately before the transfer”.
The other change to the insurance and pension transfer provisions is to correct a minor terminological error in Clause 7(5)(c), which should refer to the “benefits” rather than the “proceeds”, aligning with the pension benefits mentioned in the opening words of Clause 7(5).
The second category, including Amendments 34 to 37, seeks to ensure consistency of language in references to shareholders. In particular, it would change references to the individual in whose name the share was “held” to the individual in whose name the share was “registered” so that there could be no doubt that the Bill refers to the same individual. I beg to move.
Baroness Kramer (LD)
I have nothing to add. I looked at the amendments and they all seem to make technical sense to me.
Lord Bassam of Brighton (Lab) [V]
My Lords, I have nothing to add except that government Amendment 12 is described as a “verbal error”. I am not quite sure that you can have a verbal error in a piece of written legislation; perhaps the Minister can help us with that one.
Lord Parkinson of Whitley Bay (Con)
I am grateful to the noble Baroness and the noble Lord for their support and brevity. As I said, these are minor amendments.
The noble Lord, Lord Bassam, alighted on “verbal”. I changed that word in my opening to this short debate to “terminological”; I hope he agrees that that is a bit clearer. Either way, I hope he sees that it is de minimis.
Baroness Barran
Member’s explanatory statement
This amendment is consequential on the government amendment at page 3, line 35.
Member’s explanatory statement
This amendment is consequential on the government amendment at page 3, line 35.
“(2A) Proceeds of a contract of long-term insurance held in a Lifetime ISA are excluded from subsection (1) if their transfer to an authorised reclaim fund would result in liability to pay a withdrawal charge to HMRC.”Member’s explanatory statement
This would secure that insurance proceeds held in a Lifetime ISA are excluded from “eligible insurance proceeds” only when their transfer to a reclaim fund would trigger liability to a withdrawal charge payable to HMRC.
Baroness Barran
Member’s explanatory statement
This would correct an inconsistency of expression between Clause 5(2)(a) and corresponding provisions elsewhere in Part 1, such as Clause 8(2)(a).
Member’s explanatory statement
This would correct two minor errors in Clause 7(3)(b)(ii). The reference to subsection (2)(a) is unnecessary and should be removed. And “a person” at the beginning is more accurate than “the person”, as there may be no person of the kind mentioned.
Lord Parkinson of Whitley Bay (Con)
My Lords, again, these amendments relate to the minor and technical amendments about which the Minister, my noble friend Lady Barran, wrote to your Lordships on 14 June.
Amendments 66 to 72 are consequential amendments to the schedules to other pieces of legislation. Amendment 66 would amend references in the Financial Services and Markets Act 2000 to an “authorised reclaim fund”; it would also amend the regulated activities order to ensure that it reflects the wider activities of a reclaim fund provided for by the Bill.
Amendments 67 to 71 would amend the Dormant Bank and Building Society Accounts Act 2008. Amendment 67 would ensure that the provisions made in Clause 17(1) of the Bill, on trust and fiduciary duties, apply to banking assets. Amendments 68 and 69 would clarify that the Reclaim Fund is to transfer money from unwanted assets to the National Lottery Community Fund while being able to retain the amount it needs to meet regulatory requirements or expenses. Amendment 70 would remove an unnecessary reference to the deduction of expenses from surplus funds. As these have already been identified as surplus and therefore available in full for transfer to good causes, no further deductions would be needed. Amendments 71 and 72 would ensure that the 2008 Act refers to all types of eligible pensions benefits.
The other amendments—Amendments 11, 32, 38 to 41, 43, 47 to 49, 73, 74 and 76—would ensure that cross-references to the Bill are correct. I beg to move.
Baroness Kramer (LD)
My Lords, I will again be brief but I went nearly mad trying to track some of these amendments through. I accept that they are consequential but I have one question. FSMA 2000, an Act with which I have spent far too much of my life, will—after these amendments—now use the phrase “unwanted asset money”. Are the Government comfortable that we do not have a problem with the word “unwanted”? There is a difference between dormant money and money that is unwanted. We all know that the reclaim process is critical but I want to be sure that we have not got ourselves into any tricky corners with all of that. That is my only comment; the intent is obviously consequential.
Lord Bassam of Brighton (Lab) [V]
My Lords, I too am broadly satisfied with this collection of amendments, although they raise some questions about the initial drafting. I made a point about that at the outset of this afternoon’s deliberations. I just wonder why we have to amend the definition of “third party” by government Amendment 47. Also, what is not right—this is in government Amendment 49—with the definition of “repayment claims” that requires amendment? Perhaps the Minister could help us with that.
Lord Parkinson of Whitley Bay (Con)
Again, I am grateful to the noble Lords for their support, particularly given the large number of amendments, albeit small ones. To answer the question of the noble Baroness, Lady Kramer, the use of “unwanted asset” is the intended terminology. “Unwanted” is different from “dormant”.
On the question raised by the noble Lord, Lord Bassam of Brighton, if he will forgive me, given the speed of progress on this group, it might be better if I make sure that I have understood it and write to him with a full answer so that he has that before Report. With that, I commend these amendments to the Committee.
Baroness Barran
Member’s explanatory statement
This would correct a minor verbal error in Clause 7(5)(c), which should refer to “the benefits” i.e. the pension benefits mentioned in the opening words of Clause 7(5).
Baroness Barran
Member’s explanatory statement
This amendment is consequential on the government amendment at page 8, line 30.
Member’s explanatory statement
This amendment is consequential on the government amendment at page 8, line 30.
“(3A) An amount held in a Lifetime ISA is excluded from subsection (3) if its transfer to an authorised reclaim fund would result in liability to pay a withdrawal charge to HMRC.”Member’s explanatory statement
This would secure that an amount held in a Lifetime ISA is excluded from “eligible amount owing by virtue of a collective investment” only when its transfer to a reclaim fund would trigger liability to a withdrawal charge payable to HMRC.
Member’s explanatory statement
This would amend Clause 9(5)(a) so that it applies in the case of a wound-up OEIC or sub-fund of an OEIC which is an “umbrella company”. The term “umbrella company sub-fund” is defined in the text proposed to be inserted by the government amendment leaving out paragraphs 9(6)(b) and (c) on page 9.
Member’s explanatory statement
This would amend Clause 9(5)(b) so that it applies in the case of a wound-up unit trust scheme or a terminated sub-fund of an umbrella unit trust scheme. The term “umbrella unit trust scheme sub-fund” is defined in the text proposed to be inserted by the government amendment leaving out paragraphs 9(6)(b) and (c) on page 9.
Member’s explanatory statement
This would amend Clause 9(5)(c) so that it applies in the case of a wound-up authorised contractual scheme or a terminated sub-fund of an umbrella co-ownership scheme. The term “umbrella co-ownership scheme sub-fund” is defined in the text proposed to be inserted by the government amendment leaving out paragraphs 9(6)(b) and (c) on page 9.
Member’s explanatory statement
The amendment would leave out words rendered redundant by text proposed to be inserted by the government amendment leaving out paragraphs 9(6)(b) and (c) on page 9.
“(b) “umbrella company sub-fund” means a separate part of the property of an umbrella company that is pooled separately;(c) “umbrella unit trust scheme sub-fund” means a separate part of the property of an umbrella unit trust that is pooled separately;(d) “umbrella co-ownership scheme sub-fund” means a separate part of the property of an umbrella co-ownership scheme that is pooled separately.”(7) In subsection (6)—“umbrella company” means an OEIC whose instrument of incorporation provides for pooling in relation to separate parts of the scheme property and whose shareholders are entitled to exchange rights in one part for rights in another;“umbrella co-ownership scheme” means an authorised contractual scheme whose contractual scheme deed provides for pooling in relation to separate parts of the scheme property and whose unitholders are entitled to exchange rights in one part for rights in another; and“umbrella unit trust scheme” means an authorised unit trust whose trust deed provides for pooling in relation to separate parts of the unit trust property and whose unitholders are entitled to exchange rights in one part for rights in another;and in this subsection and subsection (6) references to pooling are to such pooling as is mentioned in section 235(3)(a) of FSMA 2000 (collective investment schemes).”Member’s explanatory statement
This would define the terms “umbrella company sub-fund”, “umbrella unit trust scheme sub-fund” and “umbrella co-ownership scheme sub-fund”, as used in Clause 9(5).
Baroness Barran
Member’s explanatory statement
This is a drafting amendment to secure consistency of expression across Part 1 of the Bill in consequence of the proposed removal of subsection (3) of Clause 12 by the government amendment to page 11, line 14.
“(a) a person to whom the amount is payable immediately before the transfer ceases to have any right against any investment institution to payment of the amount, but”Member’s explanatory statement
This is a drafting amendment to secure consistency of expression across Part 1 of the Bill in consequence of the proposed removal of subsection (3) of Clause 12 by the government amendment to page 11, line 14.
Member’s explanatory statement
This amendment is consequential on the government amendment to leave out subsection (3) of Clause 12.
Member’s explanatory statement
This amendment, with the other government amendments to Clause 12, would remove references to a person entitled to direct the payment of an amount of dormant eligible client money and brings Clause 12 in line with other similar provisions in Part 1. Cases where payment of a dormant amount needs to be requested, or entitlement verified, before an amount becomes owing (or payable) to a person will be covered by the government amendment to Clause 1 proposed at page 2, line 45.
Member’s explanatory statement
This amendment is consequential on the government amendment at page 11, line 31.
“(5A) Client money held in a Lifetime ISA is excluded from subsection (5) if its transfer to an authorised reclaim fund would result in liability to pay a withdrawal charge to HMRC.”Member’s explanatory statement
This would exclude from “eligible client money” client money held in a Lifetime ISA at a time when its transfer to a reclaim fund would result in liability to pay a withdrawal charge to HMRC.
Member’s explanatory statement
This amendment is consequential on the government amendment at page 11, line 31.
Baroness Barran
Member’s explanatory statement
This amendment is consequential on the government amendment to leave out subsection (3) of Clause 12.
Member’s explanatory statement
This amendment is consequential on the government amendment to leave out subsection (3) of Clause 12.
Member’s explanatory statement
This amendment is consequential on the government amendment to leave out subsection (3) of Clause 12.
Baroness Barran
Member’s explanatory statement
This would correct an inconsistency of expression between Clause 14(2)(a) and corresponding provisions elsewhere in Part 1, such as Clause 8(2)(a).
Member’s explanatory statement
This would limit the scope of the definitions in Clause 14(3) to Clauses 14 to 16, as there are other references in the Bill to a share for which the Clause 14(3) definition is inapt.
Member’s explanatory statement
This amendment is consequential on the government amendment at page 13, line 4.
Baroness Barran
Member’s explanatory statement
This would make the language in Clause 15(1) consistent with Clause 14(1)(a).
Member’s explanatory statement
This amendment is consequential on the government amendment at page 13, line 4.
“(1A) An amount held in a Lifetime ISA is excluded from subsection (1) if its transfer to an authorised reclaim fund would result in liability to pay a withdrawal charge to HMRC.”Member’s explanatory statement
This would secure that an amount held in a Lifetime ISA is excluded from “eligible proceeds or distribution” only when its transfer to a reclaim fund would result in liability to pay a withdrawal charge to HMRC.
Baroness Barran
Member’s explanatory statement
This would make the language in Clause 16(3)(a) consistent with Clause 14(1)(a).
Baroness Barran
Member’s explanatory statement
This amendment, with the government amendments at lines 9, 11, 14, 17 and 19 on page 14, would ensure that Clause 17 refers to the correct provisions of Part 1.
Member’s explanatory statement
See the explanatory statement for the government amendment at page 14, line 4.
Member’s explanatory statement
See the explanatory statement for the government amendment at page 14, line 4.
Member’s explanatory statement
See the explanatory statement for the government amendment at page 14, line 4.
Member’s explanatory statement
This amendment would remove an unnecessary word in Clause 17(4) to ensure it applies correctly to a right to payment of the reclaim amount referred to in Clause 8(2)(b).
(5) In this section—“extinguishing provision” means section 2(2)(a), 5(2)(a) or (3)(a), 8(2)(a), 12(2)(a) or 14(2)(a);“right to payment provision” means section 2(2)(b), 5(2)(b) or (3)(b), 8(2)(b), 12(2)(b) or 14(2)(b); and“transfer provision” means section 2(1)(a), 5(1)(a), 8(1)(a), 12(1)(a) or 14(1)(a).”Member’s explanatory statement
See the explanatory statement for the government amendment at page 14, line 4.
Baroness Barran
““withdrawal charge payable to HMRC” means a charge payable under paragraph 8 of Schedule 1 to the Savings (Government Contributions) Act 2017.”Member’s explanatory statement
This would define “withdrawal charge payable to HMRC” by reference to the primary legislation governing Lifetime ISAs.
Baroness Barran
Member’s explanatory statement
This is a drafting amendment to secure greater consistency of expression in references to a person’s right to payment of a dormant amount owing.
Baroness Barran
Member’s explanatory statement
This would amend the definition of “third party” in Clause 22(2) so that it refers to claims arising by virtue of Clause 5(3)(b), as well as those arising by virtue of Clause 5(2)(b).
Baroness Barran
Member’s explanatory statement
This amendment would ensure that Clause 24(1) refers to claims arising by virtue of Clause 5(3)(b), as well as those arising by virtue of Clause 5(2)(b).
Baroness Barran
Member’s explanatory statement
This would amend the definition of “repayment claims” in Clause 25(3) so that it covers claims arising by virtue of Clause 5(3)(b), as well as those arising by virtue of Clause 5(2)(b).
The Deputy Chairman of Committees (Lord Haskel) (Lab)
My Lords, we now come to the group consisting of Amendment 50.
Amendment 50
Baroness Noakes
“Examination by Comptroller and Auditor General
(1) The Comptroller and Auditor General (“the Comptroller”) may carry out examinations into the economy, efficiency and effectiveness with which Reclaim Fund Ltd has used its resources in discharging its functions.(2) An examination under this section may be limited to such functions (however described) of Reclaim Fund Ltd as the Comptroller considers appropriate.(3) Before carrying out an examination under this section, the Comptroller must consult Reclaim Fund Ltd.(4) The Comptroller may report to the House of Commons the results of any examination carried out under this section.”
Baroness Noakes (Con)
My Lords, I thank the noble Baroness, Lady Bowles of Berkhamsted, for adding her name to the amendment.
At Second Reading, I asked the Government whether they would switch from using private sector auditors for Reclaim Fund Ltd to using the Comptroller and Auditor-General. I was disappointed that my noble friend the Minister did not reply to that when she wound up the debate; nor did she write to me following the debate. However, the Government’s Back-Benchers are well aware that they are generally not the priority of Ministers and I do not hold it against her.
At Second Reading, my primary focus was on switching the statutory audit arrangements. All limited liability companies, apart from very small ones, are required to be audited by statutory auditors. The Companies Act 2006 opened up the possibility, for the first time, of the appointment of the C&AG to companies in the public sector. That was in response to a report by Lord Sharman, who sadly has now retired from the Liberal Democrat Benches. I hope that my noble friend the Minister will explain what arrangements will be made for the statutory audit of Reclaim Fund Ltd, now that it is fully within the public sector. It has been audited by private sector auditors to date. I continue to believe that it should be audited by the C&AG.
Last week, I had a helpful meeting with my noble friend the Minister and her officials. They said that the audit would be carried out by the C&AG in future and that the power for this existed under the National Audit Act 1983. This left me a little confused because that Act does not deal with the statutory audit of companies incorporated under the Companies Act. I hope that my noble friend will be able to clarify the position today. In the first group, she referred to value-for-money auditing—I shall come to that in a moment—but she did not refer to statutory audit.
My reasons for shifting the financial audit of Reclaim Fund Ltd from private sector auditors were partly because it would be cheaper but mainly because the National Audit Office carries out value-for-money work, not just financial audits. I believe that there are strong grounds for believing that the activities of Reclaim Fund Ltd would benefit from a value-for-money audit. For example, I believe that the ultra-cautious approach to the investment of the huge funds that are retained within the company has not optimised the income of the company. It has offices in St James’s Square, which, I wager, is not the most cost-effective location. Every penny that is either spent unwisely or represents forgone income translates into less money flowing to the good causes that should be funded by the dormant assets.
This is why I have tabled an amendment for Committee that focuses on value-for-money audits alone. Value-for-money audits are a routine part of auditing in the public sector, and those bodies that are in the public sector but are not government departments usually have the C&AG specified as their auditor by statute. However, some, like Reclaim Fund Ltd, are not set up like this and value-for-money audits generally proceed on a voluntary basis. I assume that this will be the basis underpinning the upcoming VFM audits that my noble friend referred to earlier.
As there have been some difficulties in getting the NAO into some bodies in the past, it has been necessary from time to time to make statutory provision for this. However, these have generally been big beasts rather than a small company such as Reclaim Fund Ltd. My amendment is drafted on the basis of what is now Section 7D of the Bank of England Act 1998—inserted by the Bank of England and Financial Services Act 2016—which was necessary to get access for the C&AG to carry out value-for-money audits in the Bank of England. Obviously, it would be best if the C&AG did both financial and value-for-money audits on Reclaim Fund Ltd.
I very much look forward to hearing what my noble friend the Minister says. I beg to move.
Baroness Bowles of Berkhamsted (LD) [V]
My Lords, I added my name to this amendment because I support entirely the objective that has been so well outlined already by the noble Baroness, Lady Noakes. Like her, I share the view that both the statutory audit and the value-for-money audit should be provided for. I will defer to her superior knowledge in terms of which bodies tend to be routinely audited or where there is a degree of optionality, or, at least, life is made difficult so that you have to have something like Section 7D of the Bank of England Act 1998. I too had a meeting with colleagues and the Minister in which I believe it was said that the audit would be by the Comptroller and Auditor-General, but I am not sure now whether that is absolutely the case, given what the noble Baroness, Lady Noakes, has said.
It is very important that we have, for the record, a knowledge of exactly what is expected to happen and whether there is any optionality about it. If there is some kind of optionality, then it is necessary to have an amendment of the kind proposed by the noble Baroness, Lady Noakes. The record has to be clear as to what will happen. I am sure the Minister has all the best intentions, but it is obviously not quite such a clear-cut situation as we have been led to believe. If no fulsome response is available at this point in time, then it is absolutely necessary that we have the information about that well in advance of Report so that we can know whether there is still a need for the amendment.
Lord Davies of Brixton (Lab)
My Lords, I thank the noble Baroness for the amendment, which I support in principle. I am not saying this in jest, but I am always gravely suspicious of lists which involve alliteration, because you are left wondering whether the wish to have all the words starting with the letter E—economy, efficiency and effectiveness—overcomes the need to comprehensively describe what the audit should be doing. Where does “economy, efficiency and effectiveness” come from? Maybe it is a standard phrase which is well established and understood to be comprehensive, but reassurance on that would be helpful.
Baroness Kramer (LD)
My Lords, I very much support everything that has been said so far, and I hope that we will get some clarity. Value for money is critical when we are dealing with these kinds of organisations.
I decided I would take a quick look at the financials of Reclaim Fund Ltd—which does not take very long as they are not hugely detailed—and the number that knocked me over and made me very concerned that value for money was definitely on the agenda was the remuneration of the chief executive. They may be an absolutely stellar individual and I would not wish in any way to criticise the individual personally but, according to the numbers I was looking at, there are 12 employees of Reclaim Fund Ltd, one of whom is the chief executive himself, and the chair. The median CEO salary in 2019 at the largest 100 charities was £155,000 a year, but in 2020 the chief executive of Reclaim Fund Ltd earned £217,000, if I add up simply salary and performance-related pay and leave out the pensions stuff. It struck me as prima facie rather out of line. Making sure that there is an audit that takes value for money into account would certainly give us all much more confidence that these issues were being handled appropriately. I fully understand that, as the asset base expands, there will be more complexity, so maybe there is a changing situation. But the 2019 pay packet was similar and I want to make sure that the appropriate body is focused properly on these issues and that value for money sits right at the front of the audit responsibility.
Lord Bassam of Brighton (Lab) [V]
My Lords, it is always nice to be able to agree with the noble Baroness, Lady Noakes. We have crossed swords many times, but I very much share one thing in common with her, and that is a desire to have an absolutely laser focus on getting value for money. So I am very supportive of her amendment; it certainly goes to the right place. The noble Baroness, Lady Kramer, touched on the importance of that in drawing our attention to remuneration levels within Reclaim Fund Ltd.
We need to be assured that we are getting value for money. Getting the Comptroller and Auditor-General involved in looking at the Reclaim Fund Ltd is a valuable use of the time of that body, because we need to better understand how funds are being used and be reassured that the best possible value for money is being secured. After all, this is a very significant funding mechanism and we need to ensure that, as part of it, the Reclaim Fund Ltd operates to the best and highest of standards. My noble friend Lord Davies is right that we need to focus on issues such as efficiency and effectiveness of spend, so I am very supportive of the amendment moved by the noble Baroness, Lady Noakes.
Baroness Barran (Con)
My Lords, Amendment 50 seeks to provide a power for the Comptroller and Auditor-General, the C&AG, to examine the Reclaim Fund Ltd for its economy, efficiency and effectiveness in using its resources to carry out its functions—also known as a value-for-money assessment—and to lay the result of the examination before Parliament.
I will first address the question on RFL’s auditors that my noble friend Lady Noakes asked at Second Reading. As set out in the Government’s framework agreement with RFL, which has been published in the Libraries of both Houses, the C&AG will audit the company’s accounts. This will be possible because of the explicit agreement made between RFL and the Treasury for such an arrangement. I hope that my noble friend will feel that that is sufficiently clear.
I know that my noble friend was also anxious to confirm that both the value-for-money assessment and the audit would be carried out by the same body, so, to continue in that vein, the C&AG may also carry out value-for-money assessments of the Reclaim Fund Ltd in the way proposed in subsection (1) in my noble friend’s amendment. The C&AG can carry out value-for-money assessments of public bodies under the National Audit Act 1983. The Act enables the C&AG to carry out value-for-money assessments of a body if there is an agreement between the body and a Minister of the Crown that requires the body’s accounts to be examined and certified by the C&AG and that enables value-for-money assessments to take place. This is set out in Section 6(3)(d) and 6(5) of the National Audit Act. An agreement has been made between the Treasury and RFL that meets these conditions of the Act, and this arrangement is outlined in the RFL/Treasury framework agreement.
Value-for-money assessments can be undertaken under Section 6 of the National Audit Act in relation to many public bodies, including UK Asset Resolution, the British Business Bank and S4C, the Welsh language broadcaster, to name but a few. In future, the Comptroller and Auditor-General will be able to undertake value-for-money assessments in relation to RFL.
Section 9 of the National Audit Act 1983 enables the Comptroller and Auditor- General to report to the House of Commons the result of any value-for-money assessment carried out under Section 6 of the Act. So, the provisions in the Act, which as I have already explained are applicable to RFL, also make provision for the Comptroller and Auditor- General to bring the results of the value-for-money assessments to the attention of the House of Commons.
My noble friend picked up on the location of RFL’s offices in St James’s. My understanding is that this is the registered address of the company secretary and that RFL is actually based in Crewe. I hope my noble friend sees that as a more cost-effective, dare I say levelling-up, option.
Baroness Noakes (Con)
My Lords, I thank my noble friend the Minister for her comments, which seem to have addressed all the points I was seeking to make. I think it is important that all bodies in the public sector are subject to public sector audit for various reasons—not least value for money, the subject of my amendment. I am grateful to her for setting that out in detail and I do not mind what she calls me on that basis. I beg leave to withdraw the amendment.
“(3) The provision in subsection (2) may be taken into consideration by an authorised reclaim fund when setting the amount of reserve that it holds in order to meet any reclaims.”Member’s explanatory statement
This amendment is to probe the Government’s guarantee with a view to enabling a lower reserve: currently Reclaim Fund Ltd reserves 40% of its funds to meet any reclaims and releases the remainder to charity.
Baroness Bowles of Berkhamsted (LD) [V]
My Lords, this is a probing amendment standing in my name and that of my noble friend Lady Kramer. I also support the similar aim in the amendment of the noble Baroness, Lady Noakes.
As I indicated at Second Reading, I was surprised at the level of funds kept back from distribution in order to cover possible repayments. It was 40% that alarmed me but, as the Minister explained subsequently in our meeting, it was actually 60%, which is even more alarming. That is travel in the right direction, but it still seems to be excessive prudence.
With regard to bank and building society account assets, even if there were no change in the status of Reclaim Fund Ltd, there is a change of status in that the Government are essentially a guarantor and can provide a loan to cover a deficit. That makes a difference and it should be utilised, whether by influencing the risk appetite, which is where I have directed my amendment, or by specific guarantee, as the noble Baroness, Lady Noakes, suggests.
I am not suggesting that a reclaim fund should take an outlandish view of risk, but the fact is that it should not be necessary to be ultra-cautious, because the consequence of extraordinary and unexpected reclaim amounts would be the triggering of a loan from the Treasury rather than a call on the Financial Services Compensation Scheme. I am well aware that protection of such compensation schemes can feature as a large factor in the mind of the regulators when they give advice about what would be the right approach. We know this to be a fact when it comes to the Pensions Regulator; I have discussed that extensively on another Bill, although that is not in the Minister’s purview. It could well have been a factor in the Financial Conduct Authority’s computations and its part in advising on the provisioning. I would like to know whether that is the case and whether there is any suggestion of reviewing that in the light of the change in status and the removal of access to the Financial Services Compensation Scheme and its replacement with the availability of the Government’s loan.
I recognise the need to protect the public purse, about which the noble Lord, Lord Bassam, is concerned in his amendment, but a loan is not a giveaway; it is a mechanism to smooth the unexpected and remove the need for an excessively cautious risk appetite. That is the direction I am coming from in my amendment: to allow the loan possibility to influence risk appetite and change it from an ultra-cautious to a mid-range approach. The noble Baroness, Lady Noakes, has taken a more formalised accounting approach and I have no problem with that as a mechanism. The point on which we concur is that being ultra-cautious needlessly keeps funds doing nothing. That is wasteful when the loan facility or another mechanism exists. I beg to move.
Baroness Noakes (Con)
My Lords, I have Amendment 53 in this group. It is very much on the theme of Amendment 51, which the noble Baroness, Lady Bowles of Berkhamsted, just spoke to. As she said, the common ground between us is that the amount of money kept back in Reclaim Fund Ltd as reserves for repayment claims is much too high. Like her, I was shocked when I found out that the company started off by holding back 60% of the funds transferred from banks and building societies. The fact that it is now 40% is no great comfort.
When the then 2008 Bill was debated in your Lordships’ House, the Government could offer no estimate of the amounts that would be held back, but the kind of figure that we talked about was 10%. Surprisingly, that is not a million miles away from the experience to date, which is between 5% and 7%. The ultra-cautious reserving policy adopted by the company has meant that around £500 million has been held back. Just think what could have been achieved in the voluntary sector if even half of that had been released.
Nothing in the 2008 Act required this to happen, but the Act did require any reclaim fund to embed in its articles of association the transfer of money for good causes being subject to ensuring that it could meet repayment claims that are prudently anticipated. The issue is about the judgments that have been made for these prudently anticipated repayment claims.
I understand that the calculation of the reserves has been made using actuarial advice. With apologies in advance to the noble Lord, Lord Davies of Brixton, I was once told that people became actuaries rather than chartered accountants because they found chartered accountancy too exciting. That may well account for the fact that an extreme version of prudence has been at work in this provision.
When the Dormant Assets Commission reported to the Government in 2017, it too was concerned about the amounts held back for both repayment claims and a capital reserve. Both appear to be ultra-prudent. So far as the repayment reserves are concerned, the Dormant Assets Commission recommended using commercial reinsurance against the tail risks driving the extent of this provision. Now that the company is firmly in the public sector, it makes little sense to carry on preparing accounts as though it were a free-standing organisation needing to guard against extreme possibilities for future payments.
The plain fact is that, if Reclaim Fund Ltd overdistributes its funds and runs out of money due to unexpectedly high repayment claims, the Treasury will have to step in. I will comment later on the problems I see with the power in Clause 27 to lend money to the company, but I believe that the crucial issue is that the Treasury now de facto stands behind the company. It should now be run from a financial management perspective in that light. It would not make sense to buy commercial reinsurance for the company’s tail risks because the public sector can bear such risks on its own balance sheet, which is why the Government rarely, if ever, buy commercial insurance.
My Amendment 53 could have tried to replicate an internal public sector reinsurance arrangement, but that felt rather artificial. Instead, it would give the Treasury power to guarantee the liabilities of the company, which it de facto does anyway now that it is in the public sector, and to tell the company how much of that guarantee can be taken into account when it makes its determinations under the 2008 Act about how much to anticipate on a prudent basis. It is now the Treasury’s responsibility to determine how much can be released for good causes. It must not hide behind an artificial construct of a limited liability company making its own judgments because, in the context of the public sector, the broad shoulders of the sector is bearing the risks anyway.
Amendment 51 in the name of the noble Baroness, Lady Bowles, basically links the power of the Treasury under Clause 27 to lend money to a reclaim fund when it calculates its provisions for liabilities. I do not think that that works in accounting purposes because, whether or not it is drawn down, the availability of a loan has no impact on the calculation of a liability. A loan is about funding—that is, cash flow—rather than the amount that is or may become payable.
In fact, I believe that the loan power in Clause 27 may be pretty useless. If the directors consider that they are unable to meet their liabilities as they fall due and there is any uncertainty about their financial forecasts, it may well be that the correct course of action for them is to place the company into liquidation. A loan would make sense only if the company had a strictly short-term need for cash but was confident that other funds would flow in from more dormant assets in the future to make up any hole in its accounts.
In any other case, liquidation is the obvious route because directors bear personal responsibility if they trade while insolvent. The Treasury would almost certainly want to avoid liquidation, with the possibility that repayment claims were not met, and would in practice have to recapitalise the company rather than lend money to it if a major loss emerged. So Clause 27 may well be a bit of an illusion, but it is certainly not the basis for reduced provisioning for repayment claims.
Lord Davies of Brixton (Lab)
My Lords, I am going to live up to the caricature—I thank the noble Baroness—and will speak up for prudence. I find this a difficult issue. For me, it will be resolved only if we have access to the advice—I presume that it was made to the reclaim company rather than to the Government because this is a decision by the reclaim company—so I would be interested to know whether it is possible to see the advice that it has received.
It would also be useful to have a bit more information on the mechanics of how the reserving works. It is possible that, as the fund rolls forward, money that was required for reserving date one becomes available because of the way that the fund operates at date two and the reserve is more about when the money becomes available rather than an absolute bar on the availability of funds for charitable causes.
Baroness Kramer (LD)
My Lords, I am definitely in the camp of the noble Baroness, Lady Noakes, and my noble friend Lady Bowles here.
I say to the noble Lord, Lord Davies, that my understanding of the fund—the Minister will correct me if I am wrong—is not that this is sort of an endowment that is meant to subsist in perpetuity, essentially dispensing just part of its income to various charities every year. It looks back historically, and says: “Over years we’ve built up this huge block of dormant assets. Let’s do something with it, and quick.” The people receiving it know that they are not getting a future stream of cash. This is a way basically to say: “We’ve got a pool of dormant assets—money that’s not being used. Let’s just get that out into the community.” The way in which the fund is replenished is by the addition of new categories and classes of asset, not a continuous rate of people keeping up the level of forgotten bank accounts. That is an important message to get through.
I look at the retention rate of 40% against cash—it is not even a question of the value—as extreme prudence. This fund was created ahead of the financial crash. It has been through the financial crash and the Covid nightmare and has never needed anything even vaguely close to a 40% retention rate. You have to say that this has been tested in fire. I cannot imagine anybody looking and saying that 40% makes sense. I have no idea where the actuarial number comes from. It would be interesting to see the logic, but I suspect we would raise our eyebrows if we did.
As my noble friend Lady Bowles and the noble Baroness, Lady Noakes, made clear, we are now in a situation in which Reclaim Fund Ltd is a non-departmental public body. On Wednesday, I will speak to an amendment exploring whether any replacement or addition to Reclaim Fund Ltd would continue to have that status. I take the view that it should, but it now has the Government sitting behind it, for goodness’ sake: it is on books, and if it is on books then let us use it. In effect, we have a guarantee. I doubt that we would ever want to see the retention rate drop to the level where we thought that there was any serious probability that it would have to tap into that government guarantee—that is not what we are looking at—but that number and the 40% for cash are very wide apart. We now have a move by the fund into new classes of asset. I dread to think what retention rate it thinks will be necessary for that. We could easily be looking at 80% or 90% retention rates, which are absolutely pointless.
The purpose of the whole dormant asset concept is to take money that is sitting in pots not being used and get it out there where it can do good. I have one question. Since there is a huge pool of cash sitting somewhere under the auspices of Reclaim Fund Ltd, what is happening to it? Where is it sitting, who is getting fees, who is getting commissions, who is being paid to manage it? It may be my inadequacy in trying to read the accounts, since the only ones I have been able to get have been from Companies House, but I cannot work that out. Can the Minister inform us?
Lord Bassam of Brighton (Lab) [V]
My Lords, this useful set of amendments will help us to tease out the relationship between Reclaim Fund Ltd, Parliament, the Treasury, and the Government. My probing amendment is in a slightly different direction from those of the noble Baronesses, Lady Bowles and Lady Noakes, but they sit comfortably next to each other.
I want to understand what the oversight mechanism is and what will be available to Parliament in the event of Reclaim Fund Ltd requiring money from the Treasury. We have heard that this will never happen, which I am sure is quite right—with the reserve level set at 40% it is extremely unlikely—but I too believe in prudence in the management of funds, and I would like to understand what oversight Parliament will be given. We need a position where we can discuss and debate how it is working. Will that be through some kind of annual report to Parliament? Would oversight by Parliament be triggered in the circumstances of a particular use of funds? Can we perhaps see a situation where there is an annual debate about Reclaim Fund Ltd and how the money has been distributed so that we could test whether the 40% reserve is right?
Parliament needs to be in a stronger position here. These amendments take us in that general direction, particularly the clever one tabled by the noble Baroness, Lady Noakes, which would put the Treasury in the hot seat and ensure that we have a level of accountability enabling a regular look at how Reclaim Fund Ltd operates. I am looking forward to the Minister giving us not only some assurance but a guarantee that we will be able to see how the mechanism is working through a regular oversight session.
Baroness Barran (Con)
My Lords, before I turn to the detail of the amendments, I will respond to the question from the noble Baroness, Lady Kramer, about how Reclaim Fund Ltd invests its assets. The reserves are a mix between cash held at the Bank of England and an externally managed bond portfolio managed by Goldman Sachs asset management. All the assets are held to maturity. The portfolio is not actively traded to save on management fees and the portfolio follows environmental, social and governance principles. I hope that this comforts her or otherwise regarding the fund’s approach.
I turn now to the amendments. Amendments 51, 52 and 53 relate to Clause 27 of the Bill. These amendments seek to understand the oversight that Parliament will have over any loan that the Treasury provides to RFL, and intend to allow RFL to take into account the loan when considering its reserving policy. I will address the amendments together.
In recognition of RFL’s establishment as a Treasury non-departmental public body, the Bill introduces a new provision to provide that, in the event that an authorised reclaim fund is, or looks likely to be, unable to meet its reclaim liabilities, the Treasury would provide a loan to cover these liabilities.
On Amendment 52, from the noble Lord, Lord Bassam of Brighton, the Government agree that Parliament should have oversight of the Treasury loan. Parliament will already be sighted in respect of the loans made from the Treasury by virtue of this being recorded in its annual reports and accounts, which are laid before Parliament on a yearly basis. The terms and conditions of the loan will be set in line with usual Treasury practice, as set out in Managing Public Money. It would not be usual practice to provide the full terms of the loan, which may contain commercially sensitive information. Further transparency to Parliament is provided in the reclaim fund’s annual report and accounts, which, as we discussed earlier, are audited by the Comptroller and Auditor-General.
Amendments 51 and 53, tabled by the noble Baroness, Lady Bowles of Berkhamsted, and my noble friend Lady Noakes respectively, seek to understand the impact on RFL of a potential Treasury loan when setting its reserving policy. I will respond, first, by summarising the particular features that govern RFL’s reserving policy, and then turn to the implications on these of the Treasury loan. While the Government agree that as many dormant funds as possible should be channelled to good causes, we also fully recognise that the decision on how much money should be retained to meet reclaims should sit with RFL and not the Government. The RFL board is responsible for overseeing the process for changing the level of reserves, and RFL has confirmed that this is regularly revisited by the board.
I met recently with RFL. Following that meeting, I am satisfied that it follows diligent processes with respect to its reserving policy, which is based on an analysis of the relevant risk factors, actuarial modelling using both internal and independent actuarial advice, and Financial Conduct Authority guidance. This ensures that RFL can achieve its primary objective of meeting reclaims from owners at any time in the future. The fundamental principle that underpins RFL’s current approach to its reserving rates and investing policy is that it is required to meet reclaims in perpetuity. As your Lordships well understand, that makes it very different from, say, an insurance company. Therefore, it has to plan both for any normal trends in the reclaim experience and for any future stress scenarios that may occur, and model those accordingly.
Examples of such stress scenarios include developments in artificial intelligence that help to reunite more customers with their lost assets and, as we discussed in an earlier amendment, future changes in government data access, which could affect participant’s tracing efforts. Any stress scenario could result in a sudden increase in reclaims, and a combination of these scenarios would, of course, have a significant impact on RFL’s reserves. This is reflected in RFL’s regulatory permission and activities under which it is authorised to operate, with the purpose of ensuring that RFL has adequate financial resources to meet its ongoing reclaim obligations without placing it into undue financial distress or business failure.
While I recognise your Lordships’ interest in the current level of reclaim rates compared with money reserved, RFL has informed me that the cumulative reclaim rate is increasing and looks set to increase further in future years. RFL has reviewed and will continue to review its reserving policy regularly, using both internal and independent actuarial advice and modelling, to ensure that it is appropriately prudent and will continue to release as much money as responsibly possible to good causes across the UK, while retaining sufficient funds to meet reclaims. RFL’s remit is expanding to include previously unheld asset classes. I therefore understand why RFL has chosen not to amend its reserving policy at this time, although that decision remains solely with the company.
The Deputy Chairman of Committees (Lord Haskel) (Lab)
The noble Baroness, Lady Noakes, has asked to speak after the Minister.
Baroness Noakes (Con)
My Lords, I hear what my noble friend the Minister has said—that she was speaking to my amendment and that of the noble Baroness, Lady Bowles, which both rely on the loans to reduce the amount of reserving. That is not what my amendment said at all. Mine was based on more explicitly recognising that the Treasury de facto now stands behind the company and that anything else is a complete fiction.
My noble friend talked about industry needing confidence in the scheme being independent of government. Frankly, the whole world has changed: the Treasury now owns 100% of the capital and it has been reclassified as public sector. The fact of life is that this is a public body and its “separate legal entity” nature is just a fiction.
If the Treasury wanted to release more for good causes, it could. That is at the heart of the issue; anything else is some form of dissembling. So I personally am not satisfied with the Minister’s response today. I do not think meeting the chief executive of the Reclaim Fund Ltd will get us any closer to the heart of the matter. The issue is: why will the Treasury not step up to the plate and recognise that it now carries responsibility for the amounts released, and that in public sector terms there is no good reason to withhold significant sums for tail risk?
Baroness Barran (Con)
I accept that I am not going to convince my noble friend this afternoon. Although she may see the fact that Reclaim Fund Ltd is a separate legal entity regulated by the FCA as a fiction, I respectfully disagree. She will decide whether she wishes to meet those from Reclaim Fund Ltd. The reason I felt that it might be helpful is that it may clarify to what extent the current level of reserving is “excessive”, as it was described in the debate this afternoon.
Baroness Bowles of Berkhamsted (LD) [V]
My Lords, this has been an interesting debate; it has brought forward shared concerns and different ways of expressing much the same thing. The way in which the noble Baroness, Lady Noakes, explained it has been very informative, in particular the comparison with the original suggestion that maybe you need a 10% reserve and that that approach is the reality. Although I expressed it in a different way—I am sure that her amendment is probably crafted better than mine—we share the view about the tail risk and the role of government meaning that you do not have to provide for that in the ultra-cautious way. This also reflects my noble friend Lady Kramer’s comments that it is not being run as an endowment whereby you have to hang on to money. However, I suppose you can argue that there is a perpetual risk because there is an in-perpetuity claim.
It has been interesting to hear the Minister outline some of the concerns about AI tracing and using government data. If the 40% level will be retained as new assets come along, maybe I am not quite so alarmed. I shared the fear of my noble friend Lady Kramer that when these new assets came in, it was going to shoot back up to 60% or beyond.
We have this strange arrangement whereby limited liability companies that are on the public books but have to run under the Companies Act have the possibility of going into liquidation, which is how the directors can protect themselves, but the fact is that the Government will have to pick up the tab. It seems a bit wrong, somehow, not to use what is, in effect, a de facto “extreme circumstance” reinsurance provision that will be triggered come what may. We have to reflect the reality of that, and it is probably rather an excuse to say, “We will have to have it at arm’s length from the Treasury so that it is not interfering in the way the funds will be used.” We will get on to that when we begin to talk about additionality and some of the ways that the money has been deployed.
It may be interesting to have a bit more information on the figures; there are noble Lords who can get their heads around some of this. I am open to having more information and Parliament needs to see this level of it, but I am not entirely certain that I am satisfied at this point—particularly as the section regarding the loan turned out to be really rather meaningless, as the noble Baroness, Lady Noakes, outlined. We need some kind of explanation and reassurance either that that is not the case or that it can be made into something meaningful. Otherwise, what is the point of it being there?
This has been a very useful debate, which will continue. I too may consider returning to it on Report. I feel I know more—I have had a little comfort but maybe not yet enough—but, for now, I beg leave to withdraw my amendment.
House of Lords
Arrangement of Business
The Lord Speaker (Lord McFall of Alcluith)
My Lords, the Hybrid Sitting of the House will now begin. Some Members are here in the Chamber, others are participating remotely, but all Members will be treated equally. I ask all Members to respect social distancing and to wear face coverings while in the Chamber except when speaking. If the capacity of the Chamber is exceeded, I will immediately adjourn the House. Oral Questions will now commence. Please can those asking supplementary questions keep them to no longer than 30 seconds and confined to two points? I ask that Ministers’ answers are also brief.
Female Offender Strategy
The Lord Bishop of Gloucester
To ask Her Majesty’s Government what assessment they have made of the progress towards the implementation of the Female Offender Strategy, published on 27 June 2018; and what plans they have, if any, to revise the timetable for its implementation.
Baroness Scott of Bybrook (Con)
My Lords, the Female Offender Strategy launched an ambitious work programme to improve the outcomes for female offenders, which will take several years to deliver. However, three years on, we are making good progress. Our achievements include a new women’s policy framework, new training for staff working with women, improvements to pre-sentence reports and the implementation of the recommendations in the review on family ties by the noble Lord, Lord Farmer. Furthermore, we have invested £7 million in funding for women’s services across England and Wales.
The Lord Bishop of Gloucester [V]
I thank the Minister for her Answer. The concordat published in January urged:
“Co-signatories to assist local organisations … with work to improve outcomes for women”.
First, can the Minister help to get work going by joining up these organisations, by publishing contact details for the relevant departments? Secondly, only 17 recommendations from the review for women by the noble Lord, Lord Farmer, have been implemented. When will we see an update on progress?
Baroness Scott of Bybrook (Con)
My Lords, the concordat was between government departments and all departments have joined up to it. Locally it is more difficult, but the important part of delivering good joined-up services—both to stop women entering as offenders and to help them when they come out of prison, if they are so unlucky as to go to prison—is that work needs to be done locally, with local concordats and partnerships.
Lord Browne of Ladyton (Lab) [V]
My Lords, on the issue of joined-up government, and as Rory Stewart understood, at the heart of the strategy is a recommendation for three cross-government implementation groups to address the complex needs of vulnerable prisoners. One was set up in June 2018 but quietly stood down in 2019. How many of the three recommended groups are in existence today? If none, is it any wonder that the Prison Reform Trust found that only 17 of the 65 recommendations have been fully implemented?
Baroness Scott of Bybrook (Con)
My Lords, I do not have the answer to the noble Lord’s question, but I can say that there are a number of groups in government working all the time on early intervention and prevention and with women in custody, and they are delivering for those women.
Baroness Jones of Moulsecoomb (GP)
A key aim of the Female Offender Strategy was to reduce women’s prison places, yet there has been a government announcement recently saying that they are going to increase prison places by 500. Are the Government planning for failure?
Baroness Scott of Bybrook (Con)
No, my Lords, the Government are not planning for failure. We are planning to deliver part of the strategy for women offenders, which is to update the women’s estate. This investment in the estate will allow for single cells and for an estate which can deliver for women offenders, and possibly for their children to help them keep their family ties.
Baroness Fall (Con) [V]
My Lords, the vast majority of women in prison today are held for non-violent offences and on short sentences; 60% of them have experienced domestic abuse; and many of these women go on to reoffend—a destructive and costly cycle. Does the Minister agree that we should seek to build a support structure around these vulnerable women and that investing in women’s centres is a good start? Will she inform the House on the progress made to pilot five residential women’s centres, as set out in the Government’s Female Offender Strategy, which I very much welcomed at the time?
Baroness Scott of Bybrook (Con)
My noble friend is absolutely right. We need to put a whole system around each of our female offenders, or women who are likely to become offenders. As far as the women’s centres are concerned, we have said that the first centre will be in south Wales and we are working closely with all our partners, including the Welsh Government, to identify a suitable site. Once we have found it, we will identify others across England. While we have been looking for the site, we have also been engaged with many voluntary and statutory agencies, so that we get the women’s lived experience and make sure that the centres are what the women need.
Lord German (LD)
A key commitment in the Female Offender Strategy was to improve through-the-gate services for offenders, but the recent announcement of £6 million for these services for offenders includes just one women’s prison. These are crucial services helping to put an end to the “no job, no home, no hope” picture we often see. Having increased the women’s prison estate by 500 places, when will the Government provide the necessary funding to carry out their commitment to improving these vital services and break this terrible reoffending cycle?
Baroness Scott of Bybrook (Con)
Investing in the women’s custodial estate will improve conditions for female prisoners through the modern gender-specific and trauma-informed design—that is important. We hope that better conditions will support rehabilitation, ensuring that women are held in appropriate, decent and safe accommodation—but also accommodation, as I have said before, with inclusive rooms to support overnight stays for mothers and their children, which we know is important to those offenders.
Lord Lucas (Con) [V]
My Lords, is it now government policy that the interests of a male prisoner who wishes to be housed on the female estate should, in making a decision on that request, have exactly the same weight as the interests of each individual female prisoner, with whom they will be housed?
Baroness Scott of Bybrook (Con)
Her Majesty’s Prison and Probation Service ensures that all transgender individuals are managed safely, with their rights properly respected and in accordance with the law. Decisions on where individuals are located within the prison estate are made following assessments of all the known risks posed to and by the individual. This includes consideration of their current behaviour and previous offending history, to achieve an outcome that balances risks and promotes safety.
Baroness Butler-Sloss (CB) [V]
Would it not be better for women addicted to drink or drugs who commit non-violent offences to go to a residential rehabilitation centre under a probation order, rather than to prison?
Baroness Scott of Bybrook (Con)
I agree with the noble and learned Baroness. The new probation service, which is a unified service nationally and starts at the end of this week, is the way that we can look much more seriously at in-community sentences for the offenders to whom she refers.
Baroness Thornton (Lab)
My Lords, the recent reports of women in prison, particularly in the last year, send a message of despair and cruelty, of which this country should be ashamed. For example, in women’s prisons there has been a big increase in self-harm during the pandemic. There is a marked difference between the sexes: 3,557 incidents for every 1,000 women prisoners in a 12-month period, compared with 595 for the same number of male prisoners. Does the Minister believe that the misery and inappropriateness of incarcerating so many women will be alleviated by spending £100 million on 500 more prison places, or does she believe that that investment might be better spent keeping women out of prison and supporting vital community services, which are receiving a paltry £2 million, when they are released?
Baroness Scott of Bybrook (Con)
My Lords, we need to do both. We recognise that the level of self-harm in the women’s estate is too high and we are determined to reduce it. Part of doing that will be to update the women’s estate. But we also want, through the new probation service, to increase the amount of community services, working with the voluntary sector to stop women going into the system and, when they are there, to support them not to reoffend.
Lord Thomas of Gresford (LD) [V]
What steps have the Government taken to introduce gender-specific sentencing guidelines to encourage judges and magistrates to approach sentencing women from a completely different starting point from that for men? Does the Minister agree that equal sentencing guidelines for men and women do not result in equality of outcome, having regard to the specific problems that women have to deal with while incarcerated and afterwards?
Baroness Scott of Bybrook (Con)
My Lords, I agree that we should be working with the courts system to ensure that judges and magistrates understand the particular issues for women and issue sentences accordingly.
The Lord Speaker (Lord McFall of Alcluith)
My Lords, the time allowed for this Question has elapsed and we come to the second Oral Question.
Universities: Compulsory Redundancies
Viscount Hanworth
To ask Her Majesty’s Government what assessment they have made of (1) threats of compulsory redundancies in the university sector, and (2) the potential impact of any such redundancies on teaching and research.
Viscount Hanworth (Lab)
My Lords, in begging leave to ask the Question standing in my name on the Order Paper, I draw attention to my association with the University of Leicester, which is currently enacting a spate of compulsory redundancies among its academic staff.
Lord Parkinson of Whitley Bay (Con)
My Lords, higher education providers are independent institutions, responsible for their own staffing issues, including how they structure themselves to deliver research and teaching priorities. Where it is necessary to reshape their activities, it is important that universities carefully consider the impact of job losses on staff and students and on the overall sustainability of teaching and research in this country. The Office for Students requires English higher education providers to maintain academic quality and standards.
Viscount Hanworth (Lab)
The Government have led universities to compete for students by embarking on capital expenditures to create attractive amenities. To address the resulting financial difficulties, they have begun to sack their academic staff at a time when large numbers of European nationals are leaving academic posts as a consequence of Brexit. The long periods of training, the job insecurities and the penurious salaries are preventing native British people joining the academic profession. This will lead to the demise of our university sector. What remedies, if any, do the Government propose?
Lord Parkinson of Whitley Bay (Con)
My Lords, we are all proud of our world-leading higher education sector, which is a tribute to those who work in it and have done over many years. We have four of the world’s top 10 universities and 17 of the top 100. Many universities are able to combine academic excellence with commercial success, so I do not quite recognise the dichotomy that the noble Viscount paints. However, we recognise the challenges of the past year and a half, during the pandemic, which is why, alongside access to the business support schemes available to all businesses, we brought forward more than £2 billion of tuition fee payments, provided £280 million of grant funding for research and established a loan scheme to cover up to 80% of universities’ income losses from international students for the current academic year.
Lord Hannan of Kingsclere (Con)
My Lords, I draw attention to my declaration of interests, particularly as a teacher at the University of Buckingham. The proximate cause of these redundancies is a fall in income. Universities depend not just on fees but on rent and income from retail, bars and so on. Will my noble friend the Minister join me in congratulating those universities that have facilitated a safe return to in-person tuition? Will he also join me in urging particularly those in the college lecturers’ union who are resisting a return to campus to drop their opposition—in their own interest if not in that of the students?
Lord Parkinson of Whitley Bay (Con)
My noble friend is right: it is important for universities to meet in person, and staff and students have shown themselves to be very flexible and adaptable during the challenging circumstances of the last year and a half. All students have been eligible to return to in-person teaching since 17 May, and we have encouraged universities to bring that about. How best to manage the return of face-to-face teaching is up to universities themselves, but all students are now eligible to receive their vaccination, and we encourage them to take that up to support their return to campuses, particularly as the autumn term approaches.
Lord Hendy (Lab)
My Lords, I draw attention to the scale of this problem. My noble friend mentioned the University of Leicester, where, I understand, 26 academic redundancies are planned, as is the cessation of research in pure mathematics. I understand that 47 are to be made redundant at the Faculty of Health and Life Sciences at the University of Liverpool, 24 are to be made redundant at Aston University—along with the ending of courses in international business, modern languages, history and politics and English literature—and 11 are to be made redundant at the University of Hull, alongside the closure of the modern languages department. Surely the Minister ought to do more to intervene to end this unfolding cost-cutting catastrophe, which is damaging the morale and careers of students and staff, undermining research and destroying the enviable reputation of our universities?
Lord Parkinson of Whitley Bay (Con)
My Lords, higher education providers are independent institutions responsible for their own decisions on staffing. Where it is necessary to reshape their activities, it is important that they carefully consider the impact of job losses on staff and students and on the overall sustainability of teaching and research. The Office for Students requires English HE providers to maintain academic quality and standards, and we have intervened by providing support to institutions during the past year and a half, in light of the Covid pandemic, as I outlined in response to the noble Viscount.
Baroness Garden of Frognal (LD)
My Lords, redundancies may well be targeted at minority disciplines—yet these are very often highly critical to research, national security, well-being and knowledge. Can the Minister assure us that we shall not lose pure maths, as the noble Lord has just identified; modern languages, especially minority ones; and obscure arts and sciences, which may turn out to be vital? What assurances have universities given that they will not make redundancies in minority disciplines unless they are available at other universities?
Lord Parkinson of Whitley Bay (Con)
I can only repeat that the decisions are for universities themselves, as autonomous and independent institutions. However, we have provided support: as well as that which I outlined earlier, we have provided funding through the Sustaining University Research Expertise fund, and the Government have committed to spending 2.4% of GDP on R&D by 2027—so we recognise the importance of the broad range of subjects that the noble Baroness outlined.
Baroness Sherlock (Lab) [V]
My Lords, is the Minister worried that the University of Leicester is closing down its research in pure maths—if only because STEM can hardly flourish without fundamental maths? More broadly, is there a risk that the combined effect of the pandemic and government cuts to research funding since Brexit might lead more universities to slash good research and pivot instead to taught courses that they think will bring in more money?
Lord Parkinson of Whitley Bay (Con)
As I have just mentioned, the Government are seeking to increase R&D funding to 2.4% of GDP by 2027, and the decisions for the University of Leicester are for it to make. In light of the pandemic, we have provided the help that I have outlined to the University of Leicester and institutions across the country.
Lord Moylan (Con)
My Lords, we have a more strategic problem here: a universities business model that depends on, and is very sensitive to, overseas students, foreign research funding—not least from China—and the management of the rent rolls for the accommodation of students staying and studying away from home. Post Covid and post Brexit, all that seems to be in question. Is it not time that we had a strategic review of what our universities are capable of doing and what they are there to achieve?
Lord Parkinson of Whitley Bay (Con)
My Lords, we are very proud of the attractiveness of UK higher education institutions to international students. We have an international students strategy that seeks to build on the successes of the past, informed by Sir Steve Smith, the former vice-chancellor of the University of Exeter. The financial stability of our world-leading university base has been a key aspect considered in all recent spending reviews. Foreign tuition and research income from outside the EU account for 15% and 1% of the total income of higher education institutions overall, so, while China may be an important contributor to non-EU foreign income, it would be wrong to characterise the sector as highly dependent on that country alone.
Baroness Bennett of Manor Castle (GP)
My Lords, I am sorry to add to the litany of academic loss, but I am sure that the Minister is aware of the plans to end the undergraduate teaching of archaeology at the University of Sheffield. This was ranked 39th in the world in the 2021 QS rankings. It has received expressions of support from around the world—including, just today, from Greece. Does the Minister agree that the study of archaeology is crucial to our understanding of the present and that it is crucial for us to maintain academic centres of excellence? Will the Government reconsider their plan to slash funding for the study of archaeology?
Lord Parkinson of Whitley Bay (Con)
I know that the noble Baroness’s noble friend, the noble Baroness, Lady Jones, is an archaeology graduate. As a history graduate myself, I certainly recognise the importance of the study of the past. The Government have been providing help to institutions through the ways that I have outlined a number of times and through the SURE fund for research—so we are assisting universities, particularly in light of the challenging circumstances of the past few months.
Lord Stevenson of Balmacara (Lab) [V]
My Lords, we have a dual funding system, and, while the Minister is right to say that the institutions are notionally independent, the truth is that they can do only what they are funded for, in what has effectively become a market economy. Have the Government considered one part of the dual funding system—the payments that will need to be made to support the redundancies and closures in relation to research—and has the Minister talked to UKRI about that? In respect of the AHRC, can the Minister confirm that the funding for the important creative clusters programme is secure?
Lord Parkinson of Whitley Bay (Con)
During the last year, we provided support through the SURE fund to address the impact of the Covid pandemic. It will continue to be an important consideration in the next spending review and in our plans significantly to boost R&D funding. Through the Office for Students, we continue to monitor the financial stability of research in higher education, which is an important factor in the consideration of the balance of the dual funding that the noble Lord referred to.
The Lord Speaker (Lord McFall of Alcluith)
My Lords, the time allowed for this Question has elapsed.
Education: Recovery Package and Catch-up Programme
(3 years, 6 months ago)
Lords ChamberRead Full debate Read Hansard Text Read Debate Ministerial Extracts
Lord Woolley of Woodford
To ask Her Majesty’s Government what steps they intend to take (1) to narrow attainment gaps, and (2) to address racial inequalities, as part of their education recovery package and catch-up programme.
Lord Woolley of Woodford (CB) [V]
My Lords, I beg leave to ask the Question in my name on the Order Paper, and I highlight my interests in the register.
The Parliamentary Under-Secretary of State, Department for Education and Department for International Trade (Baroness Berridge) (Con)
My Lords, this Government are taking steps to level up educational outcomes for all pupils, regardless of race, class or background. The support that we are providing includes £2.5 billion of pupil premium funding this year, £220 million for the holiday activities and food programme and £400 million for internet access and laptops. We have also committed over £3 billion to help children catch up on lost education.
Lord Woolley of Woodford (CB) [V]
I thank the Minister for that response, but is she aware that some headteachers feel forced to use the education recovery funds not for that purpose but to plug serious financial gaps? Given that this money is supposed to target the most vulnerable children in our society, are there ring-fenced, targeted funds for Caribbean, Bangladeshi, Pakistani and Gypsy and Roma children?
Baroness Berridge (Con)
My Lords, the catch-up funding and the pupil premium funding are aimed at all disadvantaged children regardless of their racial or regional presence in the UK. On the overall funding package, an extra £2.6 billion last year and £2.2 billion this year went into the core schools budget. If the noble Lord wishes to give me the names of the institutions concerned which are struggling, we can direct them to the plethora of resources available from the department to ensure that schools can get the best deal available for their money, such as the free teacher vacancy service and the risk protection arrangement, which many schools are now using as their insurance policy.
Baroness Stroud (Con) [V]
My Lords, we know that all adolescents across the UK, regardless of their ethnicity, are better equipped for success and flourishing later in life when well educated, yet, prior to the pandemic, black Caribbean and white/black Caribbean students numbered double the national average for school exclusions. Recent UCAS research revealed that a third of students in schools and half of students in colleges were not told about apprenticeships. What steps are the Government taking to address disproportionate school exclusions as well as promote apprenticeships as an alternative pathway for students from ethnic minorities?
Baroness Berridge (Con)
My Lords, the diversity champions network is aimed specifically at making sure that black and minority-ethnic young people are aware of apprenticeship opportunities. The Government accepted the recommendations of the Timpson review in relation to exclusions and we are looking to enact them. On the temporary exclusion rate, there is some good news in that the rate for black Caribbean students has slightly decreased.
Lord Hastings of Scarisbrick (CB)
Given that the Government seem to have rejected much of the Sewell racism report, including the one positive recommendation of extending substantially the school day—barring a paltry, 30-minute possible extension—to allow exactly the catch-up of hours that children need to advance their education, how else can the Government require that the school estate, which is a public asset, be put to maximum effect over the summer months and into the autumn? How can they ensure that the publicly funded asset of teacher knowledge is best deployed to advance children’s learning to catch up more effectively?
Baroness Berridge (Con)
My Lords, there will be a short consultation on the element of the recovery package relating to extending the school day because that has an impact on the teaching workforce. In relation to those eligible for free school meals, it is white working-class children who have the lowest Progress 8 measure for their achievement, but many holiday activity and food programme initiatives take place on school premises and specific guidance is given to schools about they can best use their school estate.
Baroness Ritchie of Downpatrick (Non-Afl) [V]
My Lords, as part of the education recovery package, what work is ongoing between central government and the devolved Administrations to reduce racial inequalities, including in respect of the digital divide, thus contributing to the levelling-up agenda, enhancing educational opportunities for all our children and improving our economy and society in the long run?
Baroness Berridge (Con)
My Lords, the Government will produce a White Paper later this year to outline the national plan for levelling up. There are regular meetings between the Secretary of State for Education and his counterparts, as well as at official level between the department and the devolved Administrations.
Lord Young of Norwood Green (Lab) [V]
My Lords, I thank the noble Lord, Lord Woolley, for his very relevant Question. My mentor on educational issues is Liz Wolverson OBE, chief executive of the London Diocesan Board for Schools Academies Trust. She has rescued 10 failing schools in inner London, so she speaks with vast experience. Will the Minister examine her advice? If we want to help less privileged children who have suffered during lockdown, using trained instructors after school to deliver arts, sport, drama, singing, et cetera, which more privileged children have had access to, will make a real contribution to levelling up.
Baroness Berridge (Con)
I join the noble Lord in praising the activity of that multi-academy trust. We have seen hundreds of schools join multi-academy trusts and improve their performance. The development of the National Tutoring Programme— in which I believe we have invested £539 million—is now school led. It will enable schools to spend that money on existing tutors and a wider range of subjects, including arts and other subjects that are not currently available through the tuition partners stream of the National Tutoring Programme.
Baroness Hussein-Ece (LD)
My Lords, are the Government valuing children in the same way as the United States and other European countries such as the Netherlands, which are investing far more in their children and young people through their Covid recovery plans—reported to be £1,600 and £2,500 a head respectively compared to the equivalent £22 per child that primary schools will receive from the Government’s education recovery plan? Are BAME children and those already historically disadvantaged bearing the brunt of the pandemic through this gross lack of investment?
Baroness Berridge (Con)
My Lords, in relation to BAME children, when the statistics are broken down it is clear that one has to look very carefully within that cohort. White Irish Traveller families and Gypsy and Roma families are very much at the bottom of achievement levels, with Asian and particularly British-Chinese students outperforming every other group. One has to look carefully within that group, but that is not to say that there are not some issues there, particularly for black Caribbean children and for boys. It is not appropriate to do a per-pupil comparison, because significant parts of the Government’s recovery package are not on a per-pupil basis. For instance, £200 million has been made available to secondary schools to run summer schools only for year 6 pupils going into year 7. Those comparisons are not possible between jurisdictions.
Lord Bourne of Aberystwyth (Con) [V]
My Lords, while recognising the Government’s commitment to addressing racial equalities, can I ask my noble friend the Minister, who has just mentioned Gypsy, Roma and Traveller communities, what we are doing to support youngsters from those communities, who have the poorest life chances? What are they doing to support the recruitment of members of minority communities to school governing bodies?
Baroness Berridge (Con)
My Lords, there are two organisations that the Government contract with to deliver new governors, Academy Ambassadors and the National Governance Association. We have set them specific targets which they have both exceeded in relation to recruitment from those communities. The Government are announcing—or have announced; I shall double-check that—the Gypsy, Roma and Traveller strategy, but my noble friend is correct that those groups have the highest prevalence for free school meals and some of the lowest educational attainment. We need to act to help change that.
Baroness Wilcox of Newport (Lab)
My Lords, this Wednesday is Thank a Teacher Day, an event established in 1998 by my noble friend Lord Puttnam to celebrate and recognise excellence in education. It is a chance for children and families to thank the inspirational staff who change lives through their hard work. All the evidence shows that if we want to make the most difference to children’s life chances and close the attainment gap, investing in teaching is key. The influence of a good teacher lasts a lifetime, so why have the Government said nothing about the workforce that will deliver the additional education catch-up support for children’s pandemic recovery?
Baroness Berridge (Con)
My Lords, perhaps I may correct something I said earlier to save me writing a letter in that regard: we have invested £579 million in the school-led programme.
The noble Baroness is right; it is what the evidence shows, and that is why in the third tranche of the recovery package we are investing £253 million in new funding for half a million teachers. Improving the early career framework for teachers by giving them two years’ professional development is an important professionalisation of the workforce. We are aiming towards that £30,000 starting salary as well.
Baroness Prashar (CB) [V]
The Government state that the catch-up funding is based on evidence. What is that evidence and how will the Government ensure that it addresses racial inequality and narrows attainment gaps?
Baroness Berridge (Con)
My Lords, the evidence base on which the recovery package is based is research, particularly from the Education Endowment Foundation, and the quality of teaching, which, as the noble Baroness, Lady Wilcox, outlined, is one of the key factors. Obviously, we have evidence as well that small-group or one-on-one tutoring is a key vehicle to help children catch up and improve. That is why £1.5 billion will go into tutoring over the next two to three academic years. That is the evidence base. We are collecting the Renaissance research on lost education, but that is geographical, not by gender or racial groups.
The Lord Speaker (Lord McFall of Alcluith)
My Lords, the time allowed for this Question has elapsed.
Children: Care Homes
(3 years, 6 months ago)
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Lord Storey
To ask Her Majesty’s Government what assessment they have made of the use of unregulated care homes for children.
The Parliamentary Under-Secretary of State, Department for Education and Department for International Trade (Baroness Berridge) (Con)
My Lords, we have recently announced vital reforms for the use of unregulated provision to ensure that children in care and care leavers have access to high-quality accommodation and support that meets their needs and keeps them safe. This includes banning the practice of placing under-16s in this provision from September. We are now consulting on national standards and Ofsted regulation for unregulated provision for looked-after children and care leavers aged 16 and 17.
Lord Storey (LD)
I thank the Minister for her reply. She will know that there were 1,860 reports of abuse against children living in unregistered care homes. This included physical abuse, sexual abuse, trafficking, grooming and the exploitation of young people with learning difficulties and mental health problems. Does the Minister agree that this is a disgrace? Will she take immediate steps to ensure that every child is safeguarded? We also see that, increasingly, these children are not attending school. Will she work with local authorities to ensure that every child goes to school?
Baroness Berridge (Con)
My Lords, it is clear that the local authority has the primary statutory duty to safeguard children. More than 80% of our children’s homes are good or outstanding in Ofsted terms, but the noble Lord is correct. Schools are a vital part of the system and are the second largest reporter to children’s social care, and of course they should be keeping clear attendance figures to know where those children are.
Lord Rooker (Lab) [V]
My Lords, can the Minister say a little more about the decision for the new system not to proceed with formal police liaison with local authorities for out-of-area care? There are so many people involved in care, and the Association of Directors of Children’s Services, along with the College of Policing, quite clearly recommends that local authorities notify the relevant police force in an out-of-area placement. I just do not understand it. The explanation that the Government give in their document about removing the formal liaison with the police is not very satisfactory. Will she say a little more about that government decision?
Baroness Berridge (Con)
My Lords, there is guidance for local authorities when they are going to place a child in out-of-area care. A placement should always be governed by what is the most appropriate provision for the young person. Many of the facilities in which children are placed, such as Centrepoint and St Basils, are high-quality provision. I will write to the noble Lord in regard to the more specific question he asked about notifying the police authority to which the young person has been moved.
Baroness Tyler of Enfield (LD) [V]
My Lords, the government proposals for a new regulatory and inspection regime using national minimum standards for 16 and 17 year-olds in unregulated settings intentionally omit any guarantee of care, causing many in the sector to express concern that the proposals establish a dangerous precedent, whereby older children notionally in care receive only a lower level of support. It seems to go against other recent welcome policy developments to extend aspects of care, such as “staying put” and “staying close”. Will the Minister explain this seeming contradiction in policy?
Baroness Berridge (Con)
My Lords, there is no contradiction in policy here. The local authority’s duty is to place young people of 16 and 17 in the most appropriate accommodation, obviously taking into account their best interests. There are certain individual circumstances that mean that the best placement for a young person—such as a 16 or 17 year-old unaccompanied asylum-seeking child who has perhaps been out of any home or family environment for years—might be in semi-supported accommodation. It is important that there are national standards that Ofsted will inspect against for that type of provision.
Lord Lexden (Con)
My Lords, I declare my interest as president of the Independent Schools Association. What progress has been made by the excellent schemes to provide places in both state and independent boarding schools for children in care who would be suited to them and benefit from them—which not all children in care would? Should not local authorities consider this option for their children in care with a completely open mind? How does the average annual cost of a place in a children’s home compare with that in a boarding school?
Baroness Berridge (Con)
My Lords, the noble Lord is correct. Through the Royal National Children’s SpringBoard Foundation charity, the Government are currently running regional pilots in the south-west, the north-east and London, to try to ensure that, where it is in the best interests of the child and the most appropriate placement is in one of those boarding schools, that is the placement. That is being done with a view to, after looking at the regional pilots, making it national.
Lord Laming (CB) [V]
My Lords, do the Government now regret the pressure that they placed on local authorities to outsource their services, as they call it, thereby placing into the hands of independent providers the powers both to choose the children to be offered a service and to set the charges that they demand? Does the Minister accept that placements in unregulated accommodation have been just one result of this policy?
Baroness Berridge (Con)
My Lords, as I have outlined, there are many excellent providers in this sector, and it is not fair to tar everybody with the same brush when there are a minority of situations in which, of course, we need to act. The noble Lord is correct: a review is currently under way by the Competition and Markets Authority to look at the market in this space, but many of those providers provide a good or outstanding service.
Lord Naseby (Con) [V]
Is my noble friend aware that Ofsted stopped doing routine inspections in March 2020? Therefore, only 29 homes were inspected in the next nearly six months. Are discussions being held with Ofsted to ensure that all those unregulated homes are inspected regularly?
Baroness Berridge (Con)
My Lords, the consultation closes on 19 July. Once we have national standards, it is envisaged that Ofsted will inspect this provision as well. As the noble Lord outlined, Ofsted has still been inspecting on a risk base, when it is alerted to problems in children’s homes—but it is getting back to all its routine inspections now.
Baroness McIntosh of Pickering (Con)
I welcome my noble friend’s announcement that there will be no future referrals to unregulated providers. I declare my interest as a vice-president of the National Association of Child Contact Centres and the co-chair of the APPG on Child Contact Centres. Will my noble friend ensure that all child contact centres and organisations that offer child contact services are accredited in accordance with national standards for safeguarding to ensure that no child can be referred to an unregulated and unprovided-for child contact centre in future?
Baroness Berridge (Con)
I appreciate my noble friend’s concern, but I will have to write to her as I believe that might be a matter for the Home Office or the MoJ, if there is any regulatory regime around child contact centres, which I believe will be for separated parents.
Lord Watson of Invergowrie (Lab)
My Lords, it was deeply disappointing to see that the first report, published last week, of the MacAlister review of children’s social care, did not champion 16 and 17 year-olds in care, instead following the position of Ministers on unregistered homes. With the Government attempting to defend the indefensible by citing the fact that children aged 16 can marry or enter civil partnerships with parental consent, the Ministry of Justice has announced that it is going to raise the legal minimum age for marriage because, as it says, of the need to protect vulnerable children. Will the Minister finally accept the need to ensure that all under 18s receive care where they live, because all children in care are by definition extremely vulnerable?
Baroness Berridge (Con)
My Lords, the Department for Education has liaised closely with the Ministry of Justice on this policy. A number of 16 and 17 year-olds are remanded with very strict bail conditions pending trial. In those circumstances, there can be difficulties in placing those 16 and 17 year-olds in a family environment. So it is very clear that in that small number of cases, for those reasons—and also taking into account the best interests of that alleged offender—they may be placed in that type of accommodation. The Government are not defending the indefensible, but in certain circumstances, particularly with the risks that those young people may, unfortunately, pose to other children if placed in a children’s home or a family, we need to make sure that that type of accommodation meets national standards and is inspected but is available for that type of situation.
The Lord Speaker (Lord McFall of Alcluith)
My Lords, the time allowed for this Question has elapsed.
European Football Championships: Travel
(3 years, 6 months ago)
Lords ChamberRead Full debate Read Hansard Text Read Debate Ministerial Extracts
Baroness Falkner of Margravine
To ask Her Majesty’s Government what plans they have to exempt from quarantine restrictions (1) UEFA and FIFA officials, and (2) associated visitors, travelling to the United Kingdom for the final of the European football championships.
The Parliamentary Under-Secretary of State, Department for Digital, Culture, Media and Sport (Baroness Barran) (Con)
My Lords, the Government are proud that the UK is hosting 12 Euro 2020 matches, including both semi-finals and the final at Wembley. We already permit certain officials and accredited guests to enter the UK for these matches under the elite sport exemption. We will continue to keep the scope of these exemptions under review, and are working closely with the FA and UEFA to ensure that these Euro 2020 matches take place successfully. At all times in this pandemic, public health remains our priority.
Baroness Falkner of Margravine (CB)
My Lords, I am pleased to hear the Minister’s reassurance on that count. However, given the Government’s track record—travel from India having seeded the Delta variant and Cornwall spiking 2,400% after the G7 summit—does she accept that the public are rightly concerned that their right to life and livelihoods might again be at risk due to the possible importation of what we might call the UEFA variant if the exemptions highlighted in the media go ahead? Will the Government publish an impact assessment so that we can see on what basis this potentially risky and unfair decision has been taken?
Baroness Barran (Con)
I stress that no decision has yet been taken, and I am grateful to the noble Baroness for acknowledging that public safety remains our top priority, including the safe delivery of Euro 2020. We have testing protocols and international restrictions in place to help ensure that this tournament can take place successfully and safely.
Lord Triesman (Lab) [V]
My Lords, I know from past bids to hold major football tournaments that the organisers stipulate their requirements in detail, including all aspects of attendance. The United Kingdom could decline but we know that the tournament would simply go elsewhere, which is not attractive or generally to be recommended. While some people may be irate about these facts, I have two questions. First, on the assumption that we may yet admit UEFA guests, what specific health safety checks would be insisted on to ensure the safety of the people of the United Kingdom? Secondly, and perhaps even more importantly for national economic life and the future of jobs in this country, will the Government make specific arrangements to ensure that short-term visits from key strategic businesses and investors could also proceed where they are safe, given that vital activity is currently impeded by quarantine arrangements that are more restrictive than in any competitor nation?
Baroness Barran (Con)
I thank the noble Lord for his reflections and questions. The health restrictions that could be imposed if we reached an agreement with UEFA would build on the existing elite sport exemptions that, I think, are well understood by the public and whose rationale is well accepted, including capacity, testing, isolation and staying in bubbles. As for the wider opening up of the economy that he spoke about, he knows that we are working towards stage 4 of the road map in that regard.
Lord Addington (LD)
My Lords, will the Minister tell us how many of the delegates coming here have been fully vaccinated? Surely that is a fact that we should know before we make any other decisions.
Baroness Barran (Con)
I stress again that no final decisions have been taken. Our approach is to restrict any extension to the smallest possible group of people who are deemed critical for staging the tournament successfully. I am not aware that we will publish the vaccination status, but we will ensure that any visit is a safe one.
Lord Loomba (CB) [V]
My Lords, does the Minister agree that allowing 250 VIPs to come into the country without quarantine sends the wrong message to the general public: that quarantine is not important, and that there is one rule for them and one rule for people seen as more important?
Baroness Barran (Con)
The noble Lord cites a figure that I do not recognise. The principle is that we are not exempting any VIPs or accredited guests from our restrictions. If it is agreed that they should enter the UK, they would be allowed to leave isolation only for official events and would be subject to a very strict code of conduct.
Baroness Gardner of Parkes (Con) [V]
My Lords, if the Government are minded to waive quarantine restrictions to avoid the final and semi-finals being moved from the UK, are they looking at controls such as limiting the number of those exempted, where they can stay, what they can do once they are in the UK, and their departure after the final?
Baroness Barran (Con)
We are looking at all the elements that my noble friend mentioned, and our goal is that UEFA is able to meet the terms of its contractual agreements and that we are able to host a very successful and safe games.
Lord Bassam of Brighton (Lab) [V]
My Lords, many thousands of fans have tickets for the games at Wembley. Business supply chains and workers have been preparing for them for a long time. Perhaps UEFA should remember that it was the passion of fans in this country in particular that saw off the threat of the European Super League. To repay the favour by removing games would be a pretty disgraceful betrayal. Many traders will use this as a first opportunity to open up. What considerations are the Government giving to supporting traders should these games end up being relocated? Furthermore, what thoughts have the Government had about the balance between fans and organiser sponsor interests, in the light of the threat of moving the final somewhere else? Can we have an update on this work as an aspect of the fan-led review?
Baroness Barran (Con)
As the noble Lord knows, the fan-led review is separate from today’s topic of discussion. With regard to support for traders, the Government’s generous cross-economy package continues through to September, as he is also aware.
Lord Scriven (LD)
My Lords, on 18 June the Prime Minister said, in regard to this issue, that protecting public health was his priority. What public health data, therefore, do the Government have that indicates that up to 2,500 UEFA officials are less likely to catch and spread Covid-19 than ordinary football fans, who will have to quarantine?
Baroness Barran (Con)
The noble Lord knows that the health status of those officials is unlikely to be different from that of anyone else. What is different is that those officials are exempted to enter the UK only as part of an elite sport bubble, unlike others.
Lord Berkeley of Knighton (CB) [V]
My Lords, why is there such a disconnect between the Government’s rules for football and those for culture? Quite apart from the terrible problems facing travelling artists, having seen on television over the weekend the happy revellers at matches inside bars and pubs, the points that Barbara Keeley MP and I made in our letter from the APPG on Classical Music to Oliver Dowden last week are all the more germane. In other words, is it not utterly ridiculous that shouting, chanting and drinking fans can congregate and hug each other but a small, amateur, vaccinated and socially distanced choir cannot meet to rehearse?
Baroness Barran (Con)
I recognise the issues that the noble Lord raises; he is not alone in feeling concerned by some of the events that were broadcast over the weekend.
Baroness Stuart of Edgbaston (Non-Afl)
My Lords, I reinforce what the noble Lord, Lord Berkeley, said about communal singing and the comparisons with football. The Minister mentioned that whoever comes in will be subject to a “strict code of conduct”. Will the Government make it absolutely clear what sanctions will be imposed on those who breach any of the rules associated with that code?
Baroness Barran (Con)
I am not familiar with the details of that, but I imagine it would be the responsibility of UEFA and the international football associations, since it would apply to non-UK citizens.
The Deputy Speaker (Lord Haskel)
My Lords, the time allowed for this Private Notice Question has elapsed.
Lord Parkinson of Whitley Bay (Con)
My Lords, I believe that 15 minutes are allowed for a Private Notice Question, so there is time for the final question.
The Deputy Speaker (Lord Haskel)
I am so sorry. I call the noble Baroness, Lady Fox.
Baroness Fox of Buckley (Non-Afl)
I am thrown now, my Lords. Anyway, congratulations to Wales—it is the hope that kills you—and to the Scottish football fans for having a good time. On this cancelled “freedom day”, does the Minister understand that these apparent double standards and exemptions for the few, similar to those we saw at the G7 and Royal Ascot, are creating cynicism about whether policies are really based on evidence, not just among the protesters outside today but among the most lockdown-compliant citizens? Perhaps UEFA and FIFA saw the viral thread of tweets describing the risible conditions in an official quarantine hotel: for example, paltry amounts of food served at 9 pm and children and the elderly incarcerated and actually going hungry. Can the Minister assure the House that, rather than tightening up quarantine, the Government might look at lessening it for the many rather than just for the few?
Baroness Barran (Con)
Some of the wider issues to which the noble Baroness rightly alludes are part of our broader strategy for lifting lockdown progressively. Quarantining is obviously part of that. Our number one priority for these events is the public health safety of our citizens. The second is to be good hosts to the teams and VIPs coming to this country. To do this, we will build on our existing elite sport exemptions. Anyone allowed in will be subject to the same restrictions.
The Deputy Speaker (Lord Haskel)
My Lords, all supplementary questions have been asked.
Lord Parkinson of Whitley Bay (Con)
My Lords, I am glad that injury time allowed the noble Baroness, Lady Fox, to get her question in.
Common Organisation of the Markets in Agricultural Products (Fruit and Vegetable Producer Organisations, Tariff Quotas and Wine) (Amendment etc.) Regulations 2021
Baroness Bloomfield of Hinton Waldrist
That the draft Regulations laid before the House on 13 May be approved.
Considered in Grand Committee on 15 June.
Environment Bill
Monday 21st June 2021
(3 years, 6 months ago)
Lords ChamberRead Full debate Environment Act 2021 View all Environment Act 2021 Debates Read Hansard Text Read Debate Ministerial Extracts Amendment Paper: HL Bill 16-II(a) Amendments for Committee (for Third Marshalled List) - (21 Jun 2021)
The Deputy Chairman of Committees (Lord Haskel) (Lab)
I will call Members to speak in the order listed. During the debate on each group I 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 the order of request. The groupings are binding. A participant who might wish to press an amendment other than the lead amendment in the group to a Division must give notice in debate or by emailing the clerk. 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 wants their voice accounted for if the question is put, they must make this clear when speaking in the group.
Amendment 1
The Earl of Lindsay
“Environmental objectives
(1) The purpose of Part 1 is to provide a governance framework for enabling the environmental objectives to be met. (2) Within the framework of sustainable development, the environmental objectives referred to in section 1(1) are to achieve and maintain—(a) a healthy, resilient and biodiverse natural environment,(b) an environment that supports human health and wellbeing for everyone, and(c) sustainable use of natural and physical resources.”Member’s explanatory statement
This amendment aims to align the core elements of the governance framework (process for setting long-term targets, Environmental Improvement Plans and the Policy Statement on Environmental Principles) to a single objective.
The Earl of Lindsay (Con)
My Lords, in moving Amendment 1, I will speak also to Amendments 3, 54 and 74 in my name. The Environment Bill offers a unique opportunity to create a coherent long-term framework for the environment—a framework capable of motivating all sectors and all parts of society to plan, to commit to and to collaborate on improving the environment on which we and future generations depend. I therefore especially welcome the Bill seeking to address the core governance elements that will be needed for decades to come. This is a critical component. Clearly, business will have a key role to play in delivering the changes needed to meet our long-term environmental ambitions and our net-zero target. Unlocking private sector finance and investment will be essential, particularly given the pressures on the public purse.
Having engaged with business groups on how they can rise to the challenge, I have picked up a clear signal. The confidence and certainty that they need to invest in the future—our future—will depend on there being greater clarity and cohesion across the governance provisions set out in the Bill, particularly on the interplay between targets, interim targets and environmental improvement plans. The addition of guiding objectives to the setting of long-term environmental targets, and to bind the core governance elements together, along with an overarching purpose statement at the start of the Bill, would bring that greater level of clarity and cohesion to the governance provisions. That, in turn, would give businesses greater confidence to invest in achieving long-term targets; hence Amendments 1, 3, 54 and 74.
Amendment 1 proposes defining core environmental objective on the face of the Bill. Amendment 3 would ensure that the target-setting process is aligned with the core environmental objectives. Amendment 54 would align environmental improvement plans with these objectives, and Amendment 74 would, likewise, align the environmental principles with these objectives. I beg to move.
Lord Teverson (LD)
My Lords, I declare an interest as chair of the Cornwall and Isles of Scilly Local Nature Partnership, I am a trustee of the Green Purposes Company that holds the green share in the Green Investment Bank, and I am a director of Aldustria Ltd.
We have recently had the G7 in the part of the world that I live in: Cornwall. Never mind the increase in Covid-19 in those areas since—other than that, it was a very successful bringing together of global leaders. I like to think that one of the reasons our Prime Minister chose Cornwall was because of its natural environment, its beauty and, for that weekend at least, its good weather. I ask the Committee to keep this to itself but the weather is not always quite like that in Cornwall, but it was on those two to three days, I am pleased to say.
Many visitors come to Cornwall and the Isles of Scilly for their staycations because of that great environment but I have to tell the Committee that, on a local basis, biodiversity in that far south-west region is as on the brink as it is elsewhere. For instance, half our mammals are found in fewer places, three out of five of our butterflies are in decline, eight of our bumblebee species have disappeared over the last few years, and some 40% of our breeding birds are in decline. That is in an area that we think of as being beautiful in terms of its biodiversity and its natural heritage.
This is reflected nationally: in the UK we have failed to meet some 17 of our Aichi targets—the targets set 10 years ago at the Convention on Biological Diversity. Some 15% of our species are threatened with extinction; we have a reduced distribution of a quarter of our species, and four out of 10 are in decline. We saw in the Woodland Trust report that only 7% of our forests and woodlands are in good order. So, we have biodiversity as a crisis together with climate change. They are crises and they are emergencies. I think there are very few people who would dispute that at the moment.
One of the interesting things to come out recently, in fact in the last week, is a report —not just by the IPCC on the climate change side, but the IPBES on the UN biodiversity side—that says that these two crises are inextricably linked. One cannot be solved without the other; they are twin crises that are, in effect, Siamese twins as we would understand them. I will talk more about the biodiversity crisis—we are very aware of the climate change crisis. It is a crisis where we believe that we are entering the sixth extinction on the planet. The previous one was the dinosaurs, thought to be caused by an asteroid, but the sixth extinction that is happening at this time is uniquely, clearly and obviously the only one that is due to one species—homo sapiens.
Why is this important? It is not just about cuddly animals or health, welfare and being able to have access to the countryside and to nature. It is because we rely entirely on the ecosystem services that biodiversity affords us, be those pollination, healthy soil, clean water, clean seas or a whole panoply of ways that not just we as individuals but our economy survives. Again, in the south-west, this is certainly true of tourism, fisheries and agriculture, but it is true of industry generally and of our economic well-being. Because of that, I have brought this amendment forward.
It is a particularly auspicious time because this year we have not just COP 26 on climate change in Glasgow in November but COP 15 of the biodiversity convention in Kunming in October. These two important international conferences are coming together towards the end of this year, but, we hope, after this Bill squeezes through Royal Assent and becomes an Act, which we want to happen quickly. It is an ideal opportunity to illustrate to the world how the United Kingdom sees these crises as important and as inextricably combined emergencies, where we can show leadership.
Why this amendment and why in this Bill? First, if local authorities can blaze the trail in this area, our own Government and this Parliament should be able to do so as well. Some 230 local authorities have declared a climate change emergency. Around 15% have declared a biodiversity emergency. They include Bath, Bristol and Brighton, and they are across the political spectrum. A number of other local authorities have declared a combined emergency, including Cambridgeshire, Bournemouth, Windsor, Maidenhead, Brent and Ealing. I am sure all of us can point out those of our own political choice.
Another reason this is important is that, just as the Government have said, this is a landmark Bill. It is critical to how this country moves forward in terms of its environment and even broader issues. What better place is there for the Government to declare this double emergency?
Another important thing is that while there is awareness across this House of the biodiversity crisis, there is less awareness of it more broadly. Climate change is more obvious. This amendment gives an opportunity to give equality to those two issues—to give greater visibility to the biodiversity problem.
Lastly, this amendment gives us a real opportunity to give leadership in both COP 15 and COP 26. These emergencies exist. They are one and connected in so many ways. This gives the opportunity—better than any other way—to show that the United Kingdom, the Prime Minister, the Government and this Parliament give these emergencies the priority they deserve.
Lord Rooker (Lab) [V]
My Lords, I have set myself the target for Committee not to make the mistakes of other Committee stages by making mini Second Reading speeches before I get to the amendment. So I will be really brief, because I agree 100% with the points and the amendments from the noble Earl, Lord Lindsay. Business needs clarity. A single objective gives that clarity, and the Minister would be making a big mistake if he did not find a way to clean up the front of the Bill, because it is in his and all our interests that business, which is going to make this work, can be absolutely clear about the objectives. For that reason, I support the noble Earl’s amendments, and I hope the Minister will give a positive response.
Lord Cormack (Con)
My Lords, I, too, support the amendments of my noble friend Lord Lindsay and the noble Lord, Lord Teverson. I will just add one or two brief points.
First, my noble friend Lord Lindsay talked about clarity and cohesion. I would add another “C”—consistency. If we are to have a landmark Bill—and this must be a landmark Bill—it is clearly important that we get it right as far as we possibly can. During this dreadful year of the pandemic, when the Government—and I am not scoring cheap points—have been fighting something literally unprecedented in the last century, a degree of confusion has been caused by a lack of clarity, consistency and cohesion. I do not want to stray from the Bill into recent events, but we have seen how people have been uncertain, often, about what the Government are really seeking to do.
It is crucial that when this landmark Bill reaches the statute books—as I, of course, hope it will—it is in a significantly better shape than it is at the moment, good as it is. Therefore, while I would like to see the Bill on the statute book by 1 November, what matters far, far more than any artificial timetable is that this Bill is right. Whether it goes on the statute books on 1 November, 1 December or 1 January matters far less than that it is right. You have only to mention the words “Irish protocol” to realise that if you negotiate to a strict and artificial timetable, you often get it wrong.
I referred to my noble friend: he chaired the Environment Sub-Committee of the EU Committee—on which I had the good fortune to sit—extremely well. The noble Lord, Lord Teverson, also made some very telling points. We have to realise that we are in this sixth crisis; we have to realise that many species are on the brink of extinction. This year, in our small but quite attractive urban garden in Lincoln, we have hardly seen a butterfly. Talking to friends around, I have heard of similar experiences. I read in the Times this morning, coming up on the train, about the lack of Arctic terns in Northumbria—an extraordinary bird that commutes 14,000 miles a year. There is a very real danger to its survival as a species. There are so many things that the Bill can help to underline and combat, and it is essential that it does.
With those few words, I endorse both my noble friend Lord Lindsay and the noble Lord, Lord Teverson, in what they are seeking to do. Although in Committee we are mainly probing, it is essential that the Bill finishes Report in this House in as near a perfect state as it is possible for us to make it.
Baroness Ritchie of Downpatrick (Non-Afl) [V]
My Lords, it is a pleasure to follow the noble Lord, Lord Cormack. I am speaking in support of Amendment 2 in the names of the noble Lord, Lord Teverson, and the noble Baronesses, Lady Jones of Whitchurch, Lady Jones of Moulsecoomb and Lady Bennett of Manor Castle. Clearly, the amendments in this group seek to improve the Bill’s environmental objectives by statute, and that is laudable of them all. But Amendment 2 sets a tone for the Bill, as outlined by the noble Lord, Lord Teverson, who indicated the need for an assessment and provided a very good assessment of the current state of biodiversity in Cornwall, which could quite easily be mirrored in other parts of the UK.
The Bill needs to have the purpose and declaration of biodiversity and climate emergency specified in it on an equal basis. It is particularly pertinent to set this in legislation if the Government are serious about the need to protect and nurture our unique biodiversity and to mitigate the problems that the climate emergency is bringing to our planet, with increased levels of flooding, the warming of our planet, and the weekend warning that we now have Mediterranean UV levels in the UK. To take the example of Belfast, Department of the Environment statistics show that on 13 June last week, UV levels reached 9 on the solar UV index. This is due to a number of things, including stratospheric ozone depletion, the position of the sun in the sky at this time of year, and the lack of cloud cover. That is one reason why Amendment 2 is so important and why it must be included in statutory form in the Bill in order to give both areas of climate emergency and biodiversity equal status.
I honestly believe that the PM must take charge of the situation. This amendment provides for him—or for whoever is the postholder—to declare that there is a biodiversity and climate emergency both domestically and globally. It will strengthen the governance regime and give strength and toughness to the need for governmental action to protect our biodiversity and to protect our planet from the climate emergency. It is so important that we agree to do this with COP 15 and COP 26 taking place this year.
As the Aldersgate Group—which supplied us with a briefing—stated, the Environment Bill is a vital opportunity to establish a new, ambitious and robust governance framework that protects and enhances the natural environment. What better way to do that than to ensure that the Government accept an amendment to the Bill which provides for the Prime Minister, with statutory effect, to declare that there is a biodiversity and climate emergency both in the UK and globally and, above all, to enhance and strengthen the Bill to ensure that it becomes an even greater landmark Bill with the legislative teeth to act in such urgent circumstances.
The Earl of Caithness (Con)
My Lords, I rise to support my noble friend Lord Lindsay’s amendments. They help to clarify the purpose of the Bill—which I welcome, as I said at Second Reading. I like the drift of the Bill, but it needs to be strengthened in more than one area. At the moment, it is not going to tackle the problems that we all face.
I like subsection (2) of my noble friend Lord Lindsay’s Amendment 1, where he sets out that the aim is to achieve
“a healthy, resilient and biodiverse natural environment”.
We all want that, and we have failed in the past. There have been all sorts of attempts to get this right but, as I said at Second Reading and will stress throughout Committee, this needs management—it is the people on the land managing nature in its widest sense who will result in an increased and better performance than we have had to date. I want to focus on those people; they are basically landowners and farmers. At the moment, they have very low confidence in what the Government are doing. They are moving from one farming regime to another; they know nothing about the second farming regime through ELMS, and yet their money is being substantially cut. That might be all right for some owner-occupiers, but it is proving a very serious problem for tenant farmers.
Subsection (2)(b) of Amendment 1 goes on to say that the environment must support
“human health and wellbeing for everyone”.
Yes, and I am a great believer in a good footpath system, because I now rely on that for my exercise. But if you talk to any farmer now, they are not in a good position mentally because of the amount of rubbish and harassment they get from people who visit their land. This is a two-way street. It is all very well to encourage people to go to the countryside, but the sad thing is that there is a quite substantial minority abusing that countryside. Anybody who has read the papers or the news recently will know the problems that farmers have had to face, with blocked driveways, blocked entrances to gateways, rubbish, litter, barbecues and wildfires. How are the Government going to help farmers deliver the intentions of the Bill?
Does my noble friend agree that in order to get a good and diverse natural environment in this country, some 21% of agricultural land will need to be planted to trees or bioenergy crops? The counterbalance to that is that there must be an increase of 10% in the productivity of all other agricultural land, otherwise in 10 years’ time we will say, “Yes, we have done something for the environment, but we have done nothing for our food”; our food prices will be going up, and the poorest will be the ones who suffer.
This is a balance; it is an equation that has to be got right. Although I thoroughly support the necessity of the amendments proposed by my noble friend to set the remit of the Environment Bill, we also need to be very careful when discussing it to get the balance right, so that the people who will produce that improved environment are taken with the Government and can also make a living off the land which they farm and manage.
Baroness Jones of Moulsecoomb (GP)
My Lords, I feel it is only fair to warn your Lordships that you will see quite a lot of the two wonderful Green Peers over the next few weeks. I am sure your Lordships understand that this is a particularly important Bill for us. We have waited a long time, and it is an issue that we both care very deeply about. Having said that, we care about a lot of other issues as well, as noble Lords will have seen.
Of course, a huge amount hinges on this Bill. As I so often do—surprisingly—I agreed with the noble Lord, Lord Cormack, who said that the Bill has to be right. To do that, it has to be amended here in your Lordships’ House. If we get this Bill right, it will mean that we can get a lot of other things right: our farming, our food production and food growing, clean air and clean water supplies, our health and well-being, and our economy. A good Bill will mean no trade deals with countries like Australia—sorry, Natalie—with its awful farming practices, which have been banned here for years, and none of the ecologically and economically illiterate long-distance swapping of lamb and beef when we can buy UK-produced meat right here from our own farmers with higher welfare standards. A good Bill will offer more tech opportunities and more jobs in sustainable industries. A good Bill would be this Bill, heavily amended by your Lordships’ House.
Moving on, this is a perfect group of amendments. I congratulate the noble Earl, Lord Lindsay, for such a brief introduction; his amendments are incredibly valuable and go to the heart of why the Bill exists. Personally, I think that if we get this right, it will be as big and important a piece of legislation as the Human Rights Act.
Baroness McIntosh of Pickering (Con)
I am delighted to follow the noble Baroness. I welcome this group of amendments, which are excellent as probing amendments. The voice of business is missing in the Bill, in particular the voice of farmers and landowners, and indeed water companies, which have a real role to play here. I regret also that there is a missed opportunity in the Bill, which is very ambitious on certain levels but has some spectacular omissions at other levels, in that the interaction between this Bill and the Agriculture Act and the Trade Act could have been spelled out more, both at Second Reading and as we proceed now with the more cohesive infrastructure.
I congratulate my noble friend Lord Lindsay and my noble friend—if I may call him that—Lord Teverson, under whose chairmanship my noble friend Lord Cormack and I have the honour to serve on the EU Environment Sub-Committee. I also congratulate Cornwall on so successfully hosting what seemed to be in its own right a successful G7 meeting. Had the meeting been held over the past few days, perhaps it would not have been quite so visually attractive. I am sure that Cornwall will go on to benefit from that, as Yorkshire has from the Tour de France and the Tour de Yorkshire that we held in previous years and which we hope to repeat this year.
I invite my noble friend the Minister, not just when he sums up today but as we go through the Bill, to rise to the challenge that has been laid down by my noble friend Lord Lindsay in particular. There are two specific areas my noble friend Lord Caithness has identified where businesses have a role to play. Farmers stand prepared to play their part in tackling climate change; you need only look at the websites of the farming organisations—the Tenant Farmers Association, the NFU and the CLA—in this regard. However, as my noble friend Lord Caithness identified, all the action the Government seem to be proposing, in planting huge numbers of trees, improving soil quality and many other factors, will be of great benefit to the landowners who own the land, but I struggle to see what the benefit will be for tenant farmers. Looking at the future of upland farming, I think that up to 48% of farms in North Yorkshire alone are tenanted farms, which is a very high proportion. It distinguishes England from other parts of Europe, which do not have this background. I am struggling to see how tenant farmers in particular will benefit under the Bill.
The Government are looking to encourage older farmers to retire, but where they will live is a separate question that needs to be addressed. Smaller houses are simply not being built; smaller properties of one or two bedrooms are not available to allow those who are retiring to either rent or own them. It is not just the starter homes but the step-down homes as well. The other area where I believe farmers, landowners and water companies have a real role to play—we will look at this in later amendments—is flood prevention. Again, this area could be explored more fully in this regard.
My noble friend Lord Lindsay and the noble Lord, Lord Teverson, have done the House a great service in enabling us to debate this small group of amendments this afternoon and I look forward very much to hearing my noble friend on the Front Bench tell us more about ELMS, flood prevention and other schemes under the Bill where he expects businesses, particularly farming businesses and water companies, might benefit.
Lord Moynihan (Con)
My Lords, I declare my interests as set out in the register. I will speak to Amendment 1 in the name of my noble friend Lord Lindsay—a subject on which I, the noble Lord, Lord Addington, and other noble Lords from across the House have spoken many times in this place.
The specific context of my remarks is the proposal by my noble friend Lord Lindsay to insert a new clause specifically to achieve and maintain
“an environment that supports human health and wellbeing for everyone”.
We emerge from Covid with a nation where obesity and mental health concerns among an unfit and often inactive population, particularly among the young, are a major national concern. The decision by the Government, and the Department of Health in particular, to tackle these challenges on a cross-departmental basis, with the impending establishment of the office for health promotion, is as much about prioritising health and educational opportunities as we build back better and level up as it is about access to the countryside and to an environment that supports human health and well-being for everyone.
In days gone by, the order of priority tended to be: sport, recreation and an active lifestyle. Today, policymakers and the public at large seek to reverse that order. An active lifestyle, recreation and sport are the priorities. Such an approach focuses on well-being, both physical and mental—well-being to be supported, I suggest, by a well-being budget with responsibility for drawing all the cross-departmental strands together. This Bill, and in particular my noble friend’s amendment, sets the environmental objectives in this context, which can play a key part in establishing an important element of the legislative framework capable of delivering these objectives.
For an active lifestyle, human health and well-being and the environment are inextricably linked. They are dependent on their environmental contexts and are potentially environmentally impactful in their own right. Sport and recreational facilities, if inadequately planned—such as ski hills, golf courses and stadia, and even some pathways—can upset ecosystems and displace local residents. Here my noble friend Lord Caithness is absolutely right: there must be appropriate safeguards, with access matched by responsibility. As he said, this equation must be got right.
In this context, access to nature has never been more important. Countless studies confirm the health and well-being benefits of being active and connecting with the outdoors. The Covid-19 pandemic makes the case only more compelling. As we recover from the worst of the pandemic, the Environment Bill, with my noble friend’s amendment, establishes a strategic approach to the provision of public access so that support is targeted where it is most needed, ensuring that more people can benefit from the experience of connecting with nature.
It is with that in mind that the Ramblers, Sustrans, British Canoeing, the British Mountaineering Council and the Open Spaces Society, among many others, see that there is much to welcome in the Bill. However, it could be strengthened by my noble friend’s amendment, not least in the requirements in the Bill, which are already welcome, for the Government to set legally binding long-term targets and to develop long-term plans in relation to the key priority areas.
However, without amendments such as my noble friend’s, the Bill will fail to afford equal priority to access to and enjoyment of the natural environment. It enables, rather than requires, the Government to set targets and develop plans for improvements in this area. Therefore there is a disconnect between the Bill and the Government’s own 25 year-old environment plan—or rather the 25-year environment plan; sadly, it is not yet that old—which includes a policy aim to ensure that the natural environment can be used by everyone. Already, the consequences of the lower priority afforded to access are becoming clear; emerging policy from Defra for target-setting is silent on the way the department intends to improve access in future.
In conclusion, I believe that the amendment moved by my noble friend Lord Lindsay could provide for and strengthen the framework needed for these commitments, by strengthening access to nature. As my noble friend Lord Cormack has said, this Bill will guide policy-making for years to come. I support the proposals to establish a framework of legally binding and long-term targets and plans to drive improvements in environmental quality, not least because the state of the natural environment is encouraging people to get outdoors; that is critical. However, the Bill must be strengthened so that connecting people to nature is afforded equal priority and integrated into the wider plans for environmental improvement. For that reason, above all, I support the amendment moved by my noble friend.
Lord Young of Norwood Green [V]
My Lords, I too support the noble Earl, Lord Lindsay, in his amendment. I may be challenging the amendment tabled by the noble Lord, Lord Teverson, but I will be interested to see the Government’s response. Like the noble Baroness, Lady McIntosh, I congratulate the noble Lord, Lord Teverson, on chairing the environmental sub-committee.
The noble Lord, Lord Cormack, got it right when he said that this is a landmark Bill and that business needs certainty. It is also about how the Bill is perceived by Europe and the COP 26—that is, the rest of the world. This is a fundamentally important Bill and we need to get it right. Perhaps I am luckier than the noble Lord, Lord Cormack, in that there are quite a few butterflies in my garden and in a meadow not far away, which shows that there is a variation in what is happening in our environment.
I say to the noble Earl, Lord Caithness, and the noble Baroness, Lady McIntosh, that I see our departure from the common agricultural policy and setting up a new approach to subsidies that would encourage farmers to look after the environment and to have a sustainable approach as a fundamentally important step forward.
There is a challenge for the Government. The noble Baroness, Lady McIntosh, was right when she talked about the challenge of retiring farmers; I am more interested in how we are going to encourage young and new tenant farmers, who will bring a new approach. There are many good examples of this around the country; we need a lot more of those young farmers with their different approach that is much more in sympathy with the environment and sustainability.
The benefits to well-being of people using the countryside are of course well known. I apply the 2R formula: if you have a right to access the countryside, you also have a responsibility in the way you use it. You do not leave litter, and we must somehow get rid of the abominable work of flytippers.
I listened carefully to the noble Baroness, Lady Jones of Moulsecoomb. As she said, no doubt that there will be many contributions from her and her colleague. However, I disagree fundamentally with her sweeping comment that there should be no trade deals, especially with Australia. Does she really think that this country can survive without any trade deals? Of course there are going to be trade deals, and I do not automatically dismiss the Australian one. There will be a period of phasing in and a requirement to ensure that we do not import products that we would regard as unsafe, but that has to be based on evidence. Quite frankly, I welcome the deal with Australia, and I will listen carefully to the arguments.
I wish the Minister every success as he deals with the range of challenging and probing amendments to what, as a number of noble Lords have said, is probably one of the most important Bills that we will address in this Parliament.
Baroness Fox of Buckley (Non-Afl)
It is always a pleasure to follow the noble Lord, Lord Young. I want to speak to and oppose Amendment 2. Using this Bill to mandate that the Prime Minister should declare that there is a biodiversity and climate emergency, both domestically and globally, strikes me as a form of virtue signalling and almost an imperial version of it by declaring on behalf of the globe. I think that that is a bit too much. I am also concerned that its consequences go beyond wordplay and may play into some anti-democratic trends. In recent years it seems that there has been a competition to up the hyperbole and the catastrophist rhetoric across all parties, perhaps to prove green credentials; I do not know that it helps, and I am not sure that this consensus is healthy either.
We are familiar with the approach on climate and biodiversity being added to the mix. The problem with Amendment 2 is that it follows a certain script, with the emphasis on “emergency”. If the Government keep calling everything an emergency, that will become, “Act now or else command”, and dangerously privileges environmental concerns as trumping all others. That rarely puts those concerns into perspective with other possible emergencies or crises. What about the housing emergency, the jobs emergency and the lack of freedom emergency? By the way, I do not think that the trade deal with Australia is a disaster because it will actually solve an emergency. We do not have enough trade deals and we want more.
I recall back in 2009 the book by James Lovelock, The Vanishing Face of Gaia, in which he wrote that surviving climate change
“may require, as in war, the suspension of democratic government for the duration of the survival period.”
At the time, I thought that that sounded extreme, marginal and farfetched, but after the past 15 months, I feel that it is less farfetched. We have just lived through a public health emergency where exactly these things have occurred. We have suspended democratic governance in many ways in order to survive. I am therefore very wary of allowing a statutory nod to ever more emergencies with similar consequences. Many are worried, for example, that lockdown measures will be used in the future under the auspices of environmentalism. I do not think that that fear is unwarranted.
I note that the independent SAGE group, led by Sir David King, has just announced the setting up of another pseudo-scientific body to be called the Climate Crisis Advisory Group, with 14 experts and10 nations. He has said that it is driven by the urgent need to stabilise climatic conditions and to
“protect vital biodiversity and ecosystem functions for the next generation.”
That is because the biggest challenge we face today are these things. I ask: are they really the biggest challenge? I think it is about the elite PR strategy rather than democracy when Sir David King draws attention to the excess of independent SAGE. He says:
“All 12 members have become media personalities. I hope we get the same level of interest on the climate group.”
I am worried about what is going on and whether it is in good faith.
It seems to me that using the language of crisis and emergency and thus presenting everything as an imminent and existential threat can play fast and loose with democratic accountability. When a state of emergency is declared, as we have seen during Covid, there is no time or space for deliberation or debate. According to Greta Thunberg, the house is on fire.
Civil liberties and democratic freedoms can be suspended, and experts, such as Sir David King, main SAGE, independent SAGE and others suddenly become more important on the centre stage than citizens. When a state of emergency is declared, as would happen in a war, we have to ask who the enemy is. When it comes to biodiversity and the environment, my concern is that the enemy is not the virus, foreign foes or whoever, but us, Homo sapiens, and our nasty overconsumption of energy and demands for decent living standards, cars, homes, industrialisation and development.
My objection to Amendment 2 is not a focus on linguistics and the use of the word “emergency”—my concern is political. Any decision this Bill makes about biodiversity or the natural environment must be concrete, specific, proportionate and avoid the pitfall of whipping up fears about imminent catastrophe. I do not think that declaring an emergency solves anything. I am interested in the details of the Bill, not virtue signalling.
Baroness Bennett of Manor Castle (GP)
My Lords, it is a pleasure to find myself at this place in the debate and to respond to the noble Baroness, Lady Fox of Buckley. It was certainly a passionate speech, but perhaps not a cohesive one. She spoke about anti-democratic trends and then about there being a consensus. If there is a consensus and local governments are following it, that seems democratic rather than anti-democratic. To point to some figures, a survey was done by the UNDP around the world, of 1.2 million people in 50 countries, published in January this year. It was interesting that in the UK the highest proportion of people—81%—agreed that there is a climate emergency. That is a consensus and, in declaring it, we would be following a democratic path.
My noble friend Lady Jones of Moulsecoomb noted that your Lordships will be hearing from both of us a great deal. I promise that you will not be hearing from both of us on every amendment, but you will be hearing from us both on Amendment 2, in the name of the noble Lord, Lord Teverson, who introduced it so powerfully. On democracy, the noble Lord pointed out how many local authorities have declared a climate emergency. In fact, 74% of district, county, unitary and metropolitan councils have done that, plus eight combined authorities and city regions. Sheffield Council has just declared a biodiversity emergency, as have Eden District Council and Dorset, so it is spreading around the country.
Perhaps I can offer the Government a little political advice, thinking of the situation in which they find themselves with the blue wall. I note that Henley-on-Thames Town Council, in the heart of what is considered the blue wall, is planning to declare a biodiversity emergency this week. It is going further and plans to back the climate and ecological emergency Bill, so the Government might like to think about not just the science of this but the politics.
I will be brief, because my noble friend has already covered much of this ground, but I want to pick up a point from the noble Baroness, Lady McIntosh of Pickering; she said that we have not heard enough from business. I refer to the consultancy firm Deloitte and its environment report a month or so back, which said that there is now, in the combination of environmental, pandemic, social and economic changes, a business emergency. It says that we need cohesive government policies and guidance to tackle this.
This group of amendments, particularly Amendment 2, provides the cohesion that is crucial for this Bill. As we have seen on so many issues, the public are leading here; 81% of the public accept the climate emergency. Local government is not far behind and it is time for the Government, as the chair of COP 26, to catch up.
Baroness Parminter (LD)
My Lords, I thank the noble Earl, Lord Lindsay, and my noble friend Lord Teverson, for their amendments. We support the intentions of the noble Earl but believe that other amendments may equally pick up the issues that he rightly raises. There are amendments later in the Bill on setting legally binding interim targets that, we believe, will give business much of the certainty that it requires. We support the important intentions to ensure that public health is addressed, at the same time as supporting the natural environment, but believe that some of the amendments put down by my noble friend Lady Scott of Needham Market on Clause 7 will give that certainty to reinforce the link between the natural environment and public health.
We think that the amendment of my noble friend Lord Teverson is absolutely right and are glad that it is in the first grouping, because this is a biodiversity crisis. I am happy to stand with the noble Baroness, Lady Bennett of Manor Castle, in taking a different line from that of the noble Baroness, Lady Fox of Buckley—“opposing” is too strong a term. My strong view is that if we do not address the two climate and biodiversity threats, we cannot address any of the other threats that society faces. They are the fundamental building blocks on which our society, as individuals and businesses, relies. Therefore, it is right and proper to use the language of crisis.
I would perhaps concede that the noble Baroness, Lady Fox, has a point in how we must be careful not to catastrophise. If we want to bring a democratic society with us, catastrophising will not be enough. We have to lead from the front and tell people how we can address the two crises of biodiversity and climate. There is therefore a key issue of communication. That is why I particularly like it that my noble friend’s amendment—supported by the Labour Party and the Green Party—says that
“the Prime Minister must declare that there is a biodiversity and climate emergency”.
This is about communicating with the public. I hope to see, throughout the progress of the Bill in Committee, the Minister make it clear just how the Government are going to communicate with the public. We can stay here today, tomorrow and for the next seven or so sittings and argue about these matters but, unless we take the British public with us, we will not deliver. The Government have to lead the public, as consumers, recyclers and in all their other guises. We need strong leadership from the Government to communicate that joint climate and sustainability challenge, and I hope to hear a lot more from the Minister on that, as we go through Committee.
Baroness Jones of Whitchurch (Lab)
My Lords, we have had an excellent start to our debates and consideration of the Bill, which helpfully sets the scene for the weeks ahead and underlines the scale of the challenge before us. I say to the noble Baroness, Lady Jones, that you will also hear a great deal more from the Labour Front Benches on these issues.
We have become accustomed to accepting that there is a climate emergency, but it is now clear that the decline in biodiversity is having an equally devastating impact on the planet. As the noble Lord, Lord Teverson, said, they are inextricably linked. This is why I was pleased to add my name to his Amendment 2.
It is two years since Parliament declared a climate and ecological emergency, on 1 May 2019. Since then, the need for more urgent action on the environment has only increased. The RSPB State of Nature report records that 41% of UK species are declining and one in 10 is threatened with extinction. It documented how the UK has failed to reach 17 of the 20 UN biodiversity targets agreed 10 years ago. The WWF’s Living Planet Report 2020 shows an average 68% decline in the populations of mammals, birds, amphibians, reptiles and fish, globally, since 1970. Yet we rely on these species to keep our planet’s complex ecological systems in balance.
Noble Lords have spoken eloquently today about the consequences of our neglect of nature both domestically and globally. This need for urgent action has been echoed by a number of noble Lords. As the Dasgupta report drives home, the message that flourishing biodiversity across the planet is crucial for our economies, as well as for our well-being and for life itself, is all too apparent. I recommend that the noble Baroness, Lady Fox, reads that report, if she has not already done so, because it underlines the crisis that confronts us now and certainly justifies us calling it an emergency.
The Minister of State, Department for the Environment, Food and Rural Affairs and Foreign, Commonwealth and Development Office (Lord Goldsmith of Richmond Park) (Con)
I thank my noble friend Lord Lindsay for beginning this Committee. I note the support for his amendment from my noble friends Lord Cormack, Lord Caithness and Lady McIntosh, the noble Lords, Lord Rooker and Lord Young, and the noble Baronesses, Lady Ritchie and Lady Jones of Moulsecoomb. In fact, a great many other speakers supported it as well and I will not continue to list them.
The amendments that my noble friend has tabled are, in effect, a summary of the Bill in its totality—it could not be a clearer summary, in a sense. The Environment Bill, as a manifesto commitment, sets a new and ambitious domestic framework for environmental governance. A resilient environment is essential for our own health and that of our planet. We recognise that the environment, unlike many areas of law where there are more clearly defined legal and economic interests, is often unowned. Environmental harms, including climate change, are necessarily, by their nature, more diffusely spread. That is why we have designed the Bill to create a comprehensive system of environmental governance that will put the environment at the heart of our policy-making and ensure clear and strong accountability.
The overall objective of the Bill is to deliver on the goals of the 25-year environment plan, and the environmental governance framework has been designed with the plan’s key objectives of environmental protection and the improvement of the natural environment at the forefront.
First, both targets and environmental improvement plans have the objective of delivering significant improvements to the natural environment—Clauses 6 and 7 being the obvious places for that. That objective provides certainty on the direction of travel; it will also drive long-lasting significant improvement in the natural environment. Clause 7 creates an ongoing requirement for the Government to have a
“plan for significantly improving the natural environment”.
The Government will be required to review that plan regularly and set out whether further policies are needed to improve the natural environment and achieve those targets.
Secondly, Clause 16 provides an objective for the environmental principles. It requires that the policy statement on environmental principles produced by the Secretary of State must contribute to the “improvement of environmental protection”, as well as “sustainable development”. When making policy, Ministers of the Crown must have due regard to the policy statement. These objectives will be integral to policy-making across government. This is the first time that Ministers across government will be legally obliged to consider the environmental principles in policy development wherever it impacts the environment.
Lastly, the OEP has the principal objective of contributing to environmental protection and the improvement of the natural environment. The OEP is able to undertake enforcement action against a public body’s breach of an environmental law that protects the natural environment, or to provide advice on a proposed change to an environmental law that improves the natural environment.
In summary, the Bill as a whole is designed to deliver the overarching ambition of our 25-year environment plan, which in many respects is reflected in the amendments tabled by my noble friend. The measures have been designed to legally work together with common statutory objectives to deliver the improvement and protection of the natural environment and to deliver the sustainable use of resources.
Before I come to the amendments from the noble Lord, Lord Teverson, I want to address some of the points made by noble Lords. My noble friends Lord Caithness and Lady McIntosh raised their concerns about the lack of clarity for the business community, particularly farmers, in relation to the big transition that is happening. There is no doubt that it is a massive and revolutionary transition. It is the first transformation of its kind and something that needs to happen all over the world if we are going to have any hope at all of closing the gap between where we are and where we need to be on biodiversity. I can say that officials in my department have been working closely, as have colleagues at ministerial level, with farmers’ organisations, from the very largest—the National Farmers’ Union—to smaller organisations, to ensure that the sector is very much walking in lockstep with us as we develop the proposals and as those proposals morph into an actual policy.
The principle is pretty clear: we are moving to a system where the things that are not currently recognised by the market but which are good will be paid for through subsidies. As noble Lords might expect, things that are paid for by the market, such as food, will therefore not be on that list. It is a straightforward principle, although of course the effects will differ from farm to farm, and that is the beauty of solutions when it comes to the natural environment.
I should add that farmers, as a whole, are among the most entrepreneurial and dynamic people in this country. They are for ever adapting to circumstance and acting in response to market signals. The discussions, exchanges and engagement that we have been having for months now with the farming community suggest, and give me a great deal of confidence, that they will respond extraordinarily well to these new signals that the Government are going to be providing.
My noble friend Lord Cormack described with great sadness the decline of butterflies in his garden, and I know that that situation is duplicated all around the country and indeed the world. I say that we can still find room for optimism; if you give nature half a chance, it comes back extraordinarily quickly. I have had the privilege of seeing for myself, in areas that have been intensively farmed not particularly carefully for decades but have then been treated in a different manner—with organic farming or even, in some cases, rewilding—that nature returns extraordinarily quickly. That is what the Bill will do: it will give nature not just half a chance but a chance.
My noble friend Lord Moynihan talked about the critical importance of access to nature. If he does not mind, I will not go into detail on that issue because we will be discussing and debating it when we come to the fifth group of amendments—that might even be today, if we make some progress.
The noble Lord, Lord Young, discussed the comparisons between where we heading with the Bill and what we are leaving with the EU. We repeat our commitment, as we have many times, that the environment will be at least as well protected after this transition as it was under EU treaties. Many noble Lords will agree that those protections greatly exceed those provided by EU treaties, and that too is reflected in the Bill in numerous ways.
Finally, the noble Baroness, Lady Jones of Whitchurch, raised the Dasgupta review, which I am pleased about; it needs to be raised at every opportunity, because it is so important. I have had endless discussions with counterparts around the world as part of our attempts to raise ambitions for COP and the CBD, and the Dasgupta review was part of almost every one of those conversations. It is globally recognised for its importance but, despite its length and sometimes complicated language, it has a fairly straightforward message: that our economies and our livelihoods need to be reconciled with the natural world, and everything we have comes from nature. I part company with the noble Baroness on her thoughts on the Government’s response. The response is not exhaustive, but was never the end of the story; it is the beginning. We must do an enormous amount to take heed of and internalise the message of the Dasgupta review in the way we govern. That applies to this Government, and successive Governments. The response was an enthusiastic nod to the principles with examples of the kinds of things we are doing, but without going into the level of detail which a Government would find difficult at this point.
Moving to the amendment tabled by the noble Lord, Lord Teverson, for which I thank him, I can reassure him that the Government absolutely are taking climate change and environmental concern seriously. There is an absolute recognition, both at a domestic level and in everything we are doing internationally, that the two are inextricably linked; as he said, you cannot tackle one without the other. A good climate COP will have good implications for nature, and a good CBD will have good implications for climate. We absolutely recognise the extent of the crisis which he and the noble Baroness, Lady Jones of Whitchurch, relayed to us. There is no doubt that the facts on the ground tell us that we are in crisis territory, and perhaps we will part company here with the noble Baroness, Lady Fox. We debated the issue some time ago of whether or not we face a biodiversity crisis, and I will not repeat all the arguments I used, but she is right to be alert to the risk that any crisis can be used to justify authoritarianism and poor policy. It is therefore important that we get policy right but that does not take away from the facts, which paint a bleak picture of continued decline.
We have set out concrete steps towards reaching net zero by 2050, through the PM’s 10-point plan, which brought together £12 billion of government investment. The energy White Paper and industrial decarbonisation strategy will continue to demonstrate global leadership on climate change, and we will bring forward further bold proposals, such as the net-zero strategy, which will be published before COP 26. Again, nature is at the heart—although it is clearly not the only part—of our response to the net-zero challenge here in the UK, and is a critical part of our message globally. We have successfully changed the debate on the role of nature in tackling climate change internationally, such that most countries when they talk about their response to climate change talk about nature, in a way which they simply did not a year ago. It remains the case, however, that of all international climate finance, only 2.5% to 3% is spent on nature-based solutions. That really should be closer to half. That too is something which we hope to shift through our negotiations and discussions with other countries, and through our own example, where we have not only doubled our international climate finance but committed that nearly a third of it will be spent on nature-based solutions.
Of course, the Bill itself is a clear demonstration of our action to tackle the biodiversity crisis, including biodiversity net gain, local nature recovery strategies, and due diligence for forest risk commodities. I hope that this provides reassurance that the amendments, which have provoked a very valuable debate, are nevertheless not needed. I thank noble Lords for their contributions and suggest that the amendment be withdrawn.
The Earl of Lindsay (Con)
My Lords, I am grateful to the Minister for his thoughtful response, to which I will give careful thought. I am also grateful to other noble Lords who spoke in support of my amendments in this group, and for the wisdom, experience and expertise with which they supplemented my opening remarks.
Achieving cohesion and clarity—and my noble friend Lord Cormack was quite right to add a third C, consistency—is going to be vital. If we can achieve those three Cs, then there are two further critical Cs which we can expect to be delivered by the business community: a commitment to the future, and the confidence to invest. If we are to achieve the environmental objectives which we all want, we must achieve all those five Cs. I will reflect carefully on what has been said in this debate, and especially carefully on the Minister’s remarks. In the meantime, I beg leave to withdraw my amendment.
The Deputy Chairman of Committees (Lord Alderdice) (LD)
My Lords, we now come to the group consisting of Amendment 4. Anyone wishing to press this amendment to a Division must make that clear in debate.
Amendment 4
The Duke of Wellington
Member’s explanatory statement
The purpose of the amendment is to require the Secretary of State to include the cleansing of rivers as a priority.
The Duke of Wellington (CB) [V]
My Lords, this amendment in my name—and I thank the noble Baroness, Lady Altmann, for adding her name to it—has one simple purpose. I wish to persuade the excellent Ministers—in this House the noble Lord, Lord Goldsmith, and in the other place Rebecca Pow—to acknowledge as a priority the importance of cleaning the rivers of this country. The Government have repeatedly stated that this generation should be the first to leave the environment in a better state than that in which we inherited it. This vision has almost unanimous support, I am sure, in both Houses of Parliament and in the country as a whole. The main target is, of course, to reach a state of net-zero carbon emissions by 2050, and I understand why this is the overarching ingredient in policy-making.
There is so much in the Bill which I support. In Clause 1(2), the Secretary of State must set long-term targets in respect of air quality, water, biodiversity and waste reduction. Part 5 is devoted to water, and contains clauses on resource management, drought planning, and drainage and sewerage management. Since the Bill arrived in this House, the Government have tabled their own amendments on sewerage management, which I welcome but will attempt to strengthen through amendments later in the Bill. But Chapter 1, which we are debating today, is entitled “Improving the natural environment”, with the subheading “Environmental targets.” My proposal is that the Government set a target for improving the natural environment of our rivers.
I am grateful to the Minister for a meeting last week with a number of Peers, mainly from the Cross Benches. From that meeting, I understand that there is doubt about the appropriateness of the European standard of good ecological status, in which case I suggest to Ministers that they establish a new United Kingdom standard and have a target for progressive percentages of rivers to reach that target in five years, in 10 years, and finally for 100% of rivers to reach that target in 15 years. Ministers have stated that they want to be ambitious, to set high standards and to lead the world by example. That being the case, we must not allow untreated sewage to be discharged into our rivers over 400,000 times or for more than 3 million hours during 2020, as reported by the Environment Agency.
I read again the highlights of the 25-year environment plan published by the Government in 2018. Although “clean and plentiful water” is listed among the environmental benefits to be achieved, there is no specific reference to the elimination of the shocking level of sewage discharges. That is my point: while we strive as a nation to reduce carbon emissions to zero, improve biodiversity and clean the air we breathe, we cannot continue to accept that raw sewage is discharged into rivers, harming all aquatic wildlife and imperilling the health of human beings who swim in or enjoy the rivers.
I fear that the apparent unwillingness of the Government to make this a priority is the great cost involved in converting our drainage and sewerage infrastructure. In other parts of the Bill there will be an opportunity to debate how this could or should be paid for. I do not believe that most members of the public are aware that, in the 21st century in a developed country such as ours, raw sewage is still being discharged into rivers every day. I think most people would expect the Government, in their new Environment Bill, to make it a priority not just to reduce but to eliminate these discharges. That is the purpose of my amendment and I beg to move.
Baroness McIntosh of Pickering (Con)
My Lords, I am delighted to support the noble Duke, the Duke of Wellington, in his amendment. On the face of it, this does seem an omission, given that clauses from Clause 83 onwards deal specifically with water quality, yet it does not appear as a specific target.
I declare my interests in the register and that I co-chair the All-Party Water Group. I worked for five years with the water regulator for Scotland—WICS, the Water Industry Commission for Scotland—and I have co-authored two reports on bricks and water which deal with water issues specifically in relation to housing. I am also vice-president of ADA, the Association of Drainage Authorities. Drainage boards have a specific role to play, being responsible for ensuring that lower-lying watercourses of below either eight metres or eight feet—I cannot remember which—flow as smoothly as they should.
Amendment 4 is commendable, and I congratulate my noble friend the Duke of Wellington on bringing it forward. Of course we should aim to have the best water quality, and to ensure that we have clean rivers, that—where possible—farmers can farm less intensively, and that we meet the highest domestic and international water quality standards, as well as seeking to improve our soils. As the noble Baroness, Lady Jones of Moulsecoomb, said, we must have a level playing field to ensure that we are not just improving watercourses in this country but ensuring that products grown on less regulated land and soil do not have a free pass to come into this country through trade agreements.
I would like to address one issue that my noble friend the Duke of Wellington referred to—untreated raw sewage being spilled into our watercourses. I would like to pose the question: why is that happening? It is happening because water companies are being placed in an impossible position. They are obliged to connect to major and smaller developments—to provide clean water and to collect wastewater and sewage coming out. We increasingly see that water companies are obliged to connect, even when they are placed in a situation where they may not be deemed able to do so.
I draw attention to the fact that we are seeing increasing amounts of surface water. This is a relatively recent phenomenon; it was identified for the first time in any significant way in 2007. I am drawing on the experience of Sir Michael Pitt, who was asked by the then Labour Government to write a very comprehensive review of how we should adapt to this new form of surface water flooding. Many of his recommendations have been implemented but many have not.
Subsequently, I am tabling amendments which will address the specific point of raw sewage. One way of dealing with it is to end the automatic right to connect to major new developments. This was called for by Sir Michael Pitt. It will address the specific problem of sewage outflow, particularly where combined sewers overflow and cause a public health issue in many cases—where the sewage overflow goes into existing developments and those residents have to leave. I believe we have asked too much of water companies, without giving them the wherewithal to address this, either through the quinquennial price review, or by allowing them to do whatever they choose to connect—sometimes against their better judgment—to major developments.
A way of addressing that is to ensure that water companies are given the same statutory right to consultation as has now been extended to the Environment Agency. Since the Environment Agency has been granted that right, we have seen the number of houses prone to flooding that are being built significantly reduce. Similarly, I hope we can see that water companies are not placed in an impossible position when it comes to major and significant new housing developments, particularly where they may be built on functional flood plains or land prone to flooding in the shorter term.
I entirely endorse the comments and remarks of the noble Duke, the Duke of Wellington, in moving this amendment about the importance of maintenance. We have to differentiate between the maintenance of major and minor watercourses, ensure that local authorities have the budget and resources to do the maintenance they are required to do and that the Environment Agency oversees it. I pay tribute to the work of those local drainage boards and landowners who are often responsible for doing the regular and very necessary maintenance on minor watercourses.
This might seem a small amendment but it is very significant, and I hope my noble friend the Minister will look favourably on it, and on the later amendments we will consider in due course. I support Amendment 4.
Baroness Altmann (Con) [V]
My Lords, I shall speak to Amendment 4, so ably moved by the noble Duke, the Duke of Wellington, and congratulate him on the work he has been doing on this important issue. I do not have significant amounts to add, but I believe that, as my noble friend the Minister said, this is a chance to radically improve environmental policy. In particular, the areas outlined in the Bill, such as air quality and water per se, could be enhanced by adding the specific requirement to take account of improvements urgently needed to water quality.
The Government have already said that they proposed to publish a plan by September 2020 to reduce sewage discharges into our rivers and waterways. I am obviously supportive of that and of placing a duty on water companies to publish annual data on storm overflows and set legally binding targets for water quality. However, it is likely that those issues will be dealt with in a more long-term timeframe than one might have hoped, given this landmark Bill.
Baroness Young of Old Scone (Lab) [V]
My Lords, I support the sentiment of Amendment 4 in the name of the noble Duke, the Duke of Wellington, but water quality is not the only issue to do with water. I would not want that to be to the particular focus, because with increasing climate change and growing demand, water quantity is also important.
The noble Duke, the Duke of Wellington, is rightly exercised about sewage pollution into our rivers, as is the Minister. I look forward to saying more when we debate Amendments 161 and 162 on reducing and eliminating sewage discharges into rivers, which importantly go into detail on the programmes and actions needed to get this to happen.
I declare an interest as a former chief executive of the Environment Agency. I think it is quite clear that, although it has brought only 174 prosecutions over the last 10 years, there could have been more than 2,000 breaches in that period and a vastly greater number of legal discharges under the current regulations. That is a source of considerable public concern.
In support of the considerable work done by the Environment Agency and the water companies, I should say that river water has improved dramatically over the last 20 years. We should not relax in that, because the current situation is totally unacceptable. Nevertheless, a major amount of river water has been cleaned up. Most of our waters were completely dead and highly polluted 20 years ago and they are now in a much better state, but we still have more to do.
We had EU regulation to rely on in the past, which was needed to drive the Government to do something about exactly this problem in the River Thames, by creating the Thames super-sewer. At that stage, we had the dirtiest river of any capital city in Europe. I am delighted that action was taken, but it needed the full weight of environmental regulation coming from Europe and a considerable and hefty programme of fining of the Government to get action taken. We need to ensure through the mechanism of the Bill that we move forward and tackle this running sore—if noble Lords will pardon the phrase. I welcome the creation of the storm overflow task force and look forward to its findings. I look forward to debating the government amendment to tackle this issue and strengthening it in the appropriate place in the Bill.
Lord Cormack (Con)
My Lords, the noble Baroness, Lady Young of Old Scone, is right to talk about the Thames. I remember the Thames half a century ago, when I first came to Parliament, and what an utter disgrace it was. But that should not lead us to be in any way complacent. Although my noble friend Lady McIntosh of Pickering referred to this as a small amendment—and it is in terms of words—it is absolutely crucial. Unless we clean up our rivers, the Environment Bill—the Act, as I am sure it will become—will fail. It is as simple as that.
Not so long ago there was a great campaign about our coastal waters, and there is still much to be done. One of my most vivid memories of the other place was an Adjournment Debate at 10 pm one night, introduced by the late Sir Reggie Bennett, about swimming off the coast. I remember he said, “Mr Speaker, you cannot swim off the coast, you can only go through the motions”. I fear that that is the case with many of our rivers today. I hope the Minister will endorse that it is crucial that we get this right, because how clean our waterways are will be a test of the success of the Environment Act.
We have some glorious rivers in this country and some wonderful chalk streams. I think one of the saddest pictures that I have seen in the last 12 months was of a stretch of perhaps the loveliest river of all, the Wye, which had been so contaminated by the effluent from intensively reared battery chickens—something else we need to tackle. We are all in debt to my noble friend the Duke of Wellington, not only for bringing this amendment forward but for introducing on the very day of Second Reading, his own Bill on cleaning up our inland waterways.
This is a vital issue, but I cannot sit down before saying what a joy it is to see my noble and learned friend Lord Mackay of Clashfern in the Chamber. We have seen him many times appear on the Zoom screen, and it is wonderful to have him here in person among us.
Lord Teverson (LD)
My Lords, I think we can count that as the best joke of the Environment Bill Committee so far, so I thank the noble Lord, Lord Cormack, for that. I had not intended to speak on this amendment, so all I shall say is that this is a very important issue. It is probably dealt with more specifically and better later in the Bill, but I very much support the thoughts of the noble Duke, the Duke of Wellington.
The Earl of Caithness (Con)
My Lords, my noble friend the late Lord Ridley of Liddesdale would be as disappointed as I am that, last year, no English river met the highest chemical standards and only 15% of UK rivers were rated as having good ecological status. That was not the intention when we privatised the water companies in the 1980s. But the noble Baroness, Lady Young of Old Scone, was absolutely right to say, notwithstanding what I have just said, that the rivers are in a great deal better condition now than they were 30 years ago—and the water Act of the mid-1980s was responsible for that. The rivers would be of better quality now if the National Rivers Authority had continued in existence by itself and not been merged with the Environment Agency. That part of the Environment Agency has not been nearly as effective as it was when it was a single authority.
This is a hugely important issue, and we shall come to it in some more detail. I totally agree with what the noble Baroness, Lady Young of Old Scone, and the noble Lord, Lord Teverson, said. The issue of water is much wider than just water quality; it includes the whole water environment, abstraction and pollution. To prioritise water, as this Bill does, and then to talk particularly about water quality, defeats the object that the Government are trying to achieve, which is to raise the quality of water across the board. Therefore, although I support the principle of what the noble Duke is trying to do, I hope that it will be dealt with at a later stage rather than at this stage.
Baroness Jones of Moulsecoomb (GP)
My Lords, I take everybody’s point about the fact that this amendment does not quite measure up to everything that we want from it, but it is a really good start. And I think that this is an issue that we will defeat the Government on. In all my talks with Conservative Members of your Lordships’ House, they have mentioned how concerned they are about rivers; a lot of landowners are massively concerned.
I take the point made by the noble Baroness, Lady McIntosh of Pickering, about sewage and water companies. It does her credit that she is so sympathetic towards them but, quite honestly, they make a lot of money and they should be clearing up their own mess. If they cannot take on these contracts, they should not take them on—or they should dig bigger holes to bury the sewage, or whatever it takes. When it comes to cost, we should look at the businesses that make money out of our rivers and our sewage, and we should make them pay.
I shall go back to my speech now. Basically, the issue of water pollution is very much underserved by this Bill at the moment, so I urge the Government to pick this up and run with it, because it is something that they will lose on. The truth is that many of our rivers, lakes and water courses in this country are still filthy and polluted. It is something that the European Commissioner rightly took us to task on—the Government have repeatedly lost legal challenges on the issue. For that reason, it is also one of the big environmental risks of leaving the EU system of environmental laws. The Government could have a convenient opportunity to quietly end their long tradition of losing court battles on water pollution simply by ditching those rules altogether or subjecting them to the jurisdiction of a toothless regulator.
We know that water is life. We cannot do without it and, if we pollute it, many things die, including humans. Water pollution has a long-lasting and pervasive impact on our lives and the natural world around us—it is not always easy to clean up. Most people do not even know how polluted our water is. I have had gastroenteritis from swimming in the Thames; I thought that I was high enough up the Thames for it to be clean but, apparently, it was not.
The Government have to understand that it is not just about chemicals that we should not drink going in; that is only a tiny part of the picture. For example, the River Thames floods with human sewage multiple times a week and also has some of the highest recorded levels of microplastics in the world. It is long overdue for the Government to get a grip on water pollution. Quite honestly, this amendment is a good little start, and I congratulate the noble Duke, the Duke of Wellington, on this. I look forward to him toughening up future amendments on sewage.
Lord Randall of Uxbridge (Con) [V]
My Lords, I start by declaring my interest as in the register, particularly in relation to this amendment, as the president of the Colne Valley Regional Park, where we have had a lot of issues over water quality and the streams. Over the weekend, I was asked to join the advisory board of River Action UK, to replace, I think, my noble friend Lord Benyon, who as a Defra Minister cannot hold that position. I look forward to joining that group and working on this.
This is a very useful debate on a subject close to my heart, and I congratulate the noble Duke, the Duke of Wellington, and my noble friend Lady Altmann, on supporting him and signing the amendment with him. We have a lot of problems—and, as we have heard, they are not just around water quality, though we do have a real problem with that. We have heard about sewage discharge and run-off, and we have heard about the River Wye and the run-off from battery chicken farms. Those are all incredibly important and worrying things. But we also have problems around abstraction. The problems of abstraction and river quality have affected us locally in the Colne Valley, with the aquifer that has been compromised, seemingly, by HS2. As I said at Second Reading, that has only recently been admitted and made public—thanks, particularly, to a local campaign.
We also have an issue around Heathrow, which is not mentioned very often. I can remember many years ago, when I was the MP for the area, being asked to have a look at where the settling pools are. The run-off comes from washing aircraft with very highly toxic chemicals to de-ice the planes, and it goes into the settling pools just on the edge of Heathrow. Unfortunately, from time to time, they overflow in times of excessive rain and flow into local river courses. I understand from a recent discussion I had that that is no longer happening—but these are always risks, and things that we do not always think about.
The problem of sewage has been mentioned. We have had problems whereby a hotel or housing development has been misconnected and sewage has run, untreated, straight into our local rivers. It is also worth mentioning that before she was a Minister, the Minister in the other place, Rebecca Pow, raised with me the question of where hairdressers put all the chemicals that they use in their basins. She referred in particular to ladies’ hairdressers, I think—as noble Lords can see from my appearance, I am somewhat hirsute and not too bothered about hair; I just get a quick trim. These are all very important issues.
As the noble Baroness, Lady Jones of Moulsecoomb, has just said, we are aware of the state of the water in rivers, but actually it does not matter how far up the Thames you go because any river can have these sewage discharges. What concerns me is the wild swimmers, kayakers, fishermen and, as happened locally last weekend, children in low-level water filling up their water pistols—they are more like water sub-machine guns these days—and firing them happily at each other, probably ingesting some of the water. It would be no surprise to me if some of them come down with gastroenteritis or even worse. I hope that that does not happen.
With regard to fishermen, I have to pay a tribute. In the Colne Valley, the Colne Valley Fisheries Consultative and its chairman Tony Booker, as well as Paul Jennings of the River Chess Association, have really pushed on this and made everyone aware of it.
There is a problem: the Environment Agency is vastly underfunded these days, I am afraid to say. I am sure that, when the noble Baroness, Lady Young of Old Scone, was in charge, it had more funds and was more able to deal with some of these incidents. There almost seems to be a lack of interest now, or perhaps it is just a lack of resources, which means that it does not follow up some of these cases.
We have got to take these things seriously. I entirely understand that there is probably a better set of amendments, including the Government’s own later, but I wanted to put down a marker to show that I consider this to be extremely important. If we were sitting here in 1858, with the Great Stink going on, before Joseph Bazalgette came in with his plans for the sewerage of London, we would all be taking this a great deal more seriously.
Lord Wigley (PC) [V]
My Lords, I am delighted to follow the noble Lord, not down the road of the Great Stink but certainly on his references to his river experiences. I am delighted to support this amendment and thank the noble Duke, the Duke of Wellington, for tabling it. He spoke eloquently at Second Reading on the issue of the cleanliness of our rivers; I was pleased to support him then and do so now with enthusiasm.
The need to keep our rivers clean, as part of environment policy, is self-evident. Persistent reports of pollution impacting on river life, killing off fish stocks, affecting surrounding lands and environments and even causing health problems to people—particularly children, as has just been mentioned—swimming in rivers are a worrying feature of our contemporary world.
Obviously, there may be implications for landowners, particularly farmers, whose land abuts our rivers—but the overwhelming majority of such people also want to secure clean rivers. If the necessary steps are properly negotiated, they can surely be agreed. The Government should not steer shy of dealing with this issue in the mistaken belief that they will face severe opposition from countryside interests.
Equally, industrial interests must not stand in the way of cleaning up our rivers. Let us reiterate without equivocation that the polluter pays principle must be applied with such force that it becomes a real deterrent. Our water companies must equally be held to account. I want to learn from the Minister what new, effective action to reduce such pollution will emanate from this Bill and who will be responsible in practice for enforcing its provisions in this regard.
As the Minister might expect, I invite him to clarify how he and his department will co-operate with the Welsh Government in relation to rivers that run across the border. Most of them run from Wales into England, but not all and, as river pollution is no respecter of political borders, we must have an agreed approach that respects the wishes of Governments on both sides of the border but also ensures that we work coherently to reduce and, we hope, eliminate the tragic pollution of our rivers.
Incidentally, I have no problem whatever with having UK, or at least GB, standards for these purposes, provided that those targets can be achieved by constructive negotiation by the three, or possibly four, Governments with responsibility for various aspects of environmental policy in Britain.
Lord Harries of Pentregarth (CB) [V]
My Lords, I strongly support what the noble Duke, the Duke of Wellington, has said and many important points made by other Peers. I have only one point to make on top of the others: there has been no real improvement for so long now—certainly, not very much since 2016. In 2020, only 40% of waterways were classified as being in good health—meaning as close to their natural state as possible.
We all know that a major cause of this is sewage. In 2020, raw sewage was discharged more than 400,000 times over a period of 3 million hours, and this water, as the noble Baroness, Lady Jones, has claimed, brings huge quantities of microplastics as well. As the noble Lord, Lord Cormack, said, sewage is not the only cause: some 40% comes from run-off from agricultural industries.
The point is that, since legislation was passed and the Environment Agency has been in charge and responsible for it, there has been no real improvement. This may be due to lack of proper funding, but the fact is that it has not been able to bring about any real change. We now have the worst quality in Europe, with England comparing very badly with Scotland, where 65.7% of surface water bodies are in good health. We know this—it has been repeated time and again, and the environmental Ministers acknowledge it.
The question is: how can we ensure that real change takes place soon? Including Amendment 4 is where we must start in ensuring that good quality water is a goal that we fully intend to achieve. We must use this Bill to ensure that we achieve it.
Baroness Bakewell of Hardington Mandeville (LD)
My Lords, it is a pleasure to be speaking to this amendment moved by the noble Duke, the Duke of Wellington. During the past two years, many of your Lordships have raised the issue of the quality of the water in many of our iconic rivers and given very graphic examples of where pollution has been discharged, untreated, into our waterways. We have heard about chicken manure being discharged into the River Wye, previously one of the most beautiful rivers on our island. At Second Reading, the noble Earl, Lord Shrewsbury, reminded us about the discharge of raw sewage into rivers. As one of her first duties, the newly elected MP for Chesham and Amersham, Sarah Green MP, has visited the River Chess to hear from the local action group about the pollution of it.
During lockdown, with local authority swimming pools closed to the public, those who were able took to what has become known as wild swimming in the sea and rivers. I am assured that this is extremely invigorating and refreshing, but probably not so if you are encountering severe pollution on the scale that we have heard of from the noble Duke, the Duke of Wellington. Biodiversity is severely affected by the pollution in our rivers.
The treatment of sewage is the responsibility of the sewerage and water authorities. It is not sufficient for them to claim that new housing developments have overwhelmed their treatment plants and they have no choice but to discharge sewage into our rivers and sea. We have heard recently of the public disquiet about the Government’s proposals to change the planning laws. Often, statutory consultees respond to local authorities with “no comment”, but often they do not respond at all. Perhaps this is an issue of resources, with Defra cuts to the Environment Agency filtering down to the front line. The water authorities should be obliged to respond to consultation on proposed housing developments, especially where there is insufficient capacity in existing treatment plants to cope with the current, never mind the future, demand.
All noble Lords taking part in this debate have expressed concern on the issue of water quality. The Government must take it seriously if we are to restore the quality of the water in our rivers to enable biodiversity to increase, even if it is unlikely ever to reach its former levels. As the noble Baroness, Lady Young of Old Scone, and others have flagged, we will return to this in later amendments. This is a very serious matter, as my noble friend Lord Teverson and the noble Lord, Lord Cormack, said, and we fully support the comments of the noble Duke, the Duke of Wellington, in moving this amendment and look forward to the Minister’s response.
Baroness Jones of Whitchurch (Lab)
My Lords, I thank the noble Duke, the Duke of Wellington, for his amendment and his speech today. I will speak briefly on the amendment. We will come on to a separate debate about whether the environmental targets as a whole are adequate when we consider that matter later in the Bill. We will argue that the targets should be more comprehensive, and combined with legally binding interim targets, to ensure that real progress is made in the time agreed.
In addition to this amendment, the noble Duke has tabled others later in the Bill to address the issue of water quality and the pollution of rivers. We absolutely share his objective to clean up water and prevent sewage flowing into our rivers; he has been a great champion of this. We have tabled similar amendments which would also prevent the discharge of sewage into rivers. We believe that the Government’s proposals on this issue so far are inadequate and we look forward to the debate on this.
In the meantime, I have some concerns about the wording of this amendment. First, it narrows the scope of the long-term water targets to concentrate on water quality when there are much wider concerns to be addressed, for example about the role of water companies, the supply of water, drought and flooding safeguards, and sustainable urban development protection and maintenance. These points have all been made by other noble Lords in this debate and a number have given vivid examples of the challenges we face in these areas. Narrowing it down to water quality perhaps does not achieve what the noble Duke is aiming to do. Secondly, we do not accept that the issue of water quality should be a long-term target: it requires action more urgently, specifically with regard to sewage discharge. This is the subject of our later amendments, and those in the name of the noble Duke, and we look forward to returning to it.
Despite these reservations about this amendment, I agree with the noble Duke’s overall intention and will be supportive when we get to the more substantive debate, when we will have a great deal more to say on the issue.
Lord Goldsmith of Richmond Park (Con)
I thank the noble Duke, the Duke of Wellington, for tabling Amendment 4. I note the support that it has received from a number of noble Lords, including my noble friends Lady McIntosh, Lord Cormack and Lord Randall and the noble Lords, Lord Teverson and Lord Wigley.
The Bill will require the Government to set at least one legally binding long-term water target. I reassure the noble Duke that this of course covers water quality. The Government are currently considering water target objectives in relation to reducing pollution from agriculture, wastewater and abandoned metal mines, as well as in relation to reducing water demand. This approach encompasses water quality, but also allows the inclusion of broader objectives, such as reducing the impact of water demand on the water environment, which I know is of great interest to numerous Members of this House, including the noble Lord, Lord Teverson, and the noble Baroness, Lady Parminter. This point was echoed and made well by the noble Baronesses, Lady Young of Old Scone and Lady Jones of Moulsecoomb.
I will address some of the individual points that have been made. The amendment essentially relates to the outrage over raw sewage entering our waterways as a consequence of storm overflows. The noble Duke, the Duke of Wellington, has pursued this issue relentlessly, and rightly so. To reiterate, the amendment that the Government have tabled does three things. It requires the Government to deliver a plan for tackling sewage discharge, and to report on progress, and it requires the water companies and the Environment Agency to be transparent with their data. In addition, my colleague in the other place, Rebecca Pow, said only last week that if water companies do not step up then we will use the drainage and wastewater management plans to force them to. I am happy to reiterate that commitment now. I hope that goes some way towards reassuring the noble Baronesses, Lady Jones of Moulsecoomb, Lady Bakewell and Lady Jones of Whitchurch.
In addition, the Government are already pursuing various measures to improve water quality over and above what has been mentioned. For example, the 2015 river basin management plans confirmed £3 billion of investment over the period to 2021 in England. This has led to over 11,000 kilometres of surface water being enhanced and a further 2,349 kilometres protected since the 2015 plans were published. We are encouraging best agricultural practice to prevent and reduce pollution through regulation, financial incentives and educational schemes for farmers. The shift to ELM, which has already been mentioned, is going to have a radical and profound impact on water pollution. A task force comprising the Government, the water industry, regulators and environmental NGOs is currently working to achieve the long-term goal of eliminating the harm from sewage discharge into our rivers and other waterways from storm overflows. We will, of course, take the recommendations of that task force very seriously. I hope that that also somewhat reassures noble Lords.
The noble Baroness, Lady Altmann, asked whether I would be willing to commit to a meeting with a number of noble Lords to discuss this issue further. The answer is yes, of course. I am very happy to do so and will make contact after today’s debate. The noble Earl, Lord Caithness, also raised the fact that a mere 15% of our rivers enjoy good ecological status. He is right, but I want to put this in context. This is not to diminish the issue, because water pollution is clearly unacceptable, and we need to get to grips with it. However, it is worth pointing out that, to qualify for good ecological status, the waterway has to be close to a natural form. That means that waterways that have been canalised, straightened or modified—for example, for flood defences, transport or something similar—will be regarded as having been heavily modified. Those waterways cannot achieve good ecological status, no matter how clean the water is or how much biodiversity they have. It is worth putting that in context; while 16% of our waters do have good ecological status, that does not mean that 84% are in poor condition. I hope that we can get to grips with this and develop our own metrics at some point so that we can avoid confusion and have a clearer understanding of the actual situation in our waters.
The noble Lord, Lord Wigley, asked about enforcement. Defra works closely with the devolved Administrations on environmental issues across the board, particularly with the Environment Agency and Natural Resources Wales, covering water quality in their respective areas.
By setting a water target that focuses on the biggest pressures on the water environment, the Government will, we hope, make faster progress towards improving water quality. Although we appreciate the noble Duke’s aims, we do not think that focusing the water target priority area on water quality alone, as his amendment proposes, will be the best way of achieving those aims. I therefore respectfully ask him to withdraw the amendment.
The Duke of Wellington (CB) [V]
My Lords, I am grateful to those noble Lords who have participated in this short debate. Of course, I understand the point made by the noble Baroness, Lady Young, that it is not just water quality that matters but water quantity as well. A number of noble Lords made reference to the River Thames. However, anybody who watched the BBC “Panorama” programme about two months ago would surely be left in no doubt that there is still much to do to clean up that river, which is in an embarrassingly poor state. Nevertheless, I understand that the quality of our rivers generally is much better than it was 20 years ago. I was very impressed by the comments from the noble Lord, Lord Randall, who clearly understands the problem well. He referred to an event in 1858, when there was general recognition of the appalling state of our rivers and the amount of sewage going into them. It is surprising that, in 2021, there is still quite the quantity of raw, or insufficiently treated, sewage flowing into our rivers.
I very much appreciated the support of the noble Lord, Lord Wigley, and quite understand his point that it is necessary to have co-operation between England and Wales over the rivers that flow between the two countries, and his acceptance that it would be entirely in order to establish a UK standard. I thank the Minister for his comments, and I was pleased to hear that, in the other place, Rebecca Pow has made a further commitment that the existing regulations will be enforced where required. But I again ask the Minister to consider whether it would be appropriate to establish a UK standard. He did sort of refer to that when talking about metrics, but if he has doubts about the existing European standard then we should surely try to devise our own.
I would be grateful if the Minister would be prepared to discuss with me a way of making targets for water quality a higher priority. There are many aspects of water that need to be improved, nevertheless I am surprised that improving water quality is not yet considered a higher priority than it currently is. Having said that, I beg leave to withdraw my amendment.
The Principal Deputy Chairman of Committees (The Earl of Kinnoull) (CB)
We come now to the group of amendments headed by Amendment 5. Anyone wishing to press that amendment or any other amendment in this group to a Division should make that clear during the debate.
Amendment 5
Lord Blencathra
“(c) nature;”Member’s explanatory statement
This amendment seeks to change the word ‘biodiversity’ to ‘nature’ and is designed to have a debate in principle on changing the term throughout the bill.
Lord Blencathra (Con)
My Lords, I declare my environmental interests as on the register. This afternoon I will, if I may, speak from a seated position—I had a long train journey and the old legs are a bit ropier than normal.
My amendments in this group all seek to change the word “biodiversity” in the Bill to the word “nature”. The only two amendments in the group for proper consideration in this debate are Amendment 5, which changes the wording in Clause 1, and Amendment 261, which attempts to give a definition of nature, so that my noble friend the Minister cannot say that nature is a completely different concept from biodiversity and that it would totally destabilise the Bill if we made this change. In this Bill we can define nature any way we like, just as we can define biodiversity, and it need not create any legal lacuna or new obligation.
The other amendments numbered in the 200s are merely examples in the Bill of where “nature” could be used instead of “biodiversity”. I counted over 140 uses of the word “biodiversity”, most of them—more than 100—in Schedule 14, but I have picked just a few examples so that we can have this debate in principle. Therefore, I do not want my noble friend the Minister to waste his time in the wind-up going through all those other examples and explaining why they are technically wrong.
Why change “nature” to “biodiversity”? What am I getting at? It really is quite simple: everyone talks about nature and not about biodiversity. All recent polls and studies show that the vast majority of people want to get closer to nature, to relate to it, and to get out and about and into it more. If you asked them if they wanted to relate to biodiversity, they would think that you were talking about zoo animals. “Biodiversity” has the flavour of a technical, scientific term, more applicable to wild animals than flowers, trees, butterflies and the landscape—at least in the minds of the majority of ordinary people.
The authoritative People and Nature Survey undertaken each month by Natural England found that 61% of people said that they felt that they were part of nature and 87% said that being in nature made them happy. A recent survey quoted by the BBC reveals that most people think that biodiversity is something to do with washing powder. We might scoff at that, and of course colleagues in Parliament, Defra, Natural England, the Joint Nature Conservation Committee and all wildlife organisations know what biodiversity is—but we do not count. We need to appeal to the tens of millions of people who are not officials, scientists or policymakers and who have a much more vague idea of what nature is—but know it when they see it, and want more of it.
Lord Rooker (Lab) [V]
My Lords, we have just heard from the noble Lord, Lord Blencathra, with whom I agree in every respect on this subject, that legislation should be precise and intelligible. That is what this is about. If I may give a short history lesson—only a couple of minutes—I will describe my first encounter with the phrase “precise and intelligible” in 1975 in the House of Commons, when a report headed Preparation of Legislation was presented by Sir David Renton, then the MP for Huntingdonshire. He never stopped talking about that report, and when I arrived in your Lordships’ House exactly 20 years ago, he was on the Benches opposite, still talking about the report Preparation of Legislation. He took Bills and amendments apart, and the number of times we had changes because of his scrutiny was enormous. I have also looked at the 2013 Parliamentary Counsel report, When Laws Become Too Complex. This is what this amendment is about: making legislation precise and intelligible. Most of what we have passed is not. This is a chance to actually make sure that it is.
Lord Hope of Craighead (CB) [V]
My Lords, it is a pleasure to follow the noble Lord, Lord Rooker. Words matter; so too does the meaning that we give to them. That is especially so where targets are being set that will influence policy in a matter as far-reaching as the environment. That is why the noble Lords, Lord Blencathra and Lord Randall of Uxbridge, were right to bring forward these amendments so that we can consider whether the choice of the word “biodiversity” to identify one of the priority areas in Clause 1(3) was well made, or whether it should be replaced by the word “nature”, as is being suggested.
I wish to concentrate on the use of words in this clause. I say nothing about the wording of Clauses 95 and 96 and others, except that it seems to make sense to follow whatever the choice is for Clause 1 when deciding what is right for those other clauses too. For me, the choice in Clause 1(3) should be guided by two things: the context, and the meaning of the word “biodiversity” itself.
The context for the choice of words in Clause 1(3) is created by the wording of Clause 1(1). We are told there that the long-term targets that the Secretary of State must have in mind relate to “the natural environment”. That suggests to me that when we come to Clause 1(3), we should expect to find, if I can put it this way, a list of subspecies within the natural environment rather than a repetition of the parent concept itself, embraced by the word “nature”. The word “nature”—the parent concept—embraces everything that comprises the phenomena of the natural world or, as Clause 1(1) puts it, of “the natural environment”. That suggests that we need something more specific and precise to serve the purpose of Clause 1(3), which is to identify the priority areas within that environment. The question then, therefore, is whether “biodiversity” achieves something for the identification of a priority area that “nature” would not achieve.
I was surprised to find, when I was consulting my dictionaries, how recent the word “biodiversity” is in the English language. Everyone talks about nature, said the noble Lord, Lord Blencathra, and he is absolutely right: it is so much in common use, and “biodiversity”, as the dictionaries indicated to me, is not in common use in that way. It is not even mentioned, let alone defined, in the editions of the Shorter Oxford English Dictionary that I have, which were published in the 1990s. It is a mark of our increasing awareness of the importance of the variety and variability of life on earth and its preservation that we have created this portmanteau word to describe it. “Diversity” is what we are talking about when we use this word. The prefix “bio” makes it clear that we are using that word in the context of the natural environment in all its aspects which, of course, is the context in which we are using it here. In that context, it is no exaggeration to say that diversity is what keeps the environment alive. It is absolutely right to concentrate on diversity as a priority area.
I suggest, therefore, that the word “biodiversity”, although not so widely used as “nature”, is the one to use because it is more precisely targeted on that aspect of our environment. It achieves that much more than “nature”. It reaches out across the entirety of the ecosystem, on which the natural environment depends, and the diversity that gives it its life. With great respect to the two noble Lords, I believe that it is the right word to use here in this Bill.
Lord Cormack (Con)
My Lords, it is a great pleasure to follow the noble and learned Lord, Lord Hope of Craighead, and also the noble Lord, Lord Rooker; I well remember the late Sir David Renton, as he was in the other place, or Lord Renton, as he became in this one. He was an absolute terrier and was determined to try to ensure that all legislation was intelligible to those to whom it applied.
That really is the underlying reason why my noble friend Lord Blencathra has introduced this very interesting and probing amendment. We say again and again during this debate that this is a landmark Bill. It is indeed, and it has to bear the test of time: it has to be an Act of Parliament that becomes familiar to all those to whom it applies, which is virtually every citizen in our land. It must be an Act of Parliament that is understood. It is entirely right that my noble friend Lord Blencathra introduced this amendment so that we can debate, at an early stage of the Bill, what we are really talking about.
The Earl of Caithness (Con)
My Lords, I agree with the noble Lord, Lord Rooker, and my noble friend Lord Cormack that legislation has to be precise and intelligible. If we are to take the public with us, which we need to on a Bill as complicated and as detailed as this one, it has to resonate with them, so there is a lot to be said for what my noble friend Lord Blencathra has suggested in his amendment.
However, I am slightly troubled on a couple of fronts. In answering the debate at Second Reading, my noble friend the Minister said:
“As for my noble friend Lord Blencathra’s proposal to change ‘biodiversity’ to ‘nature’, he makes an important point, but the trouble is that those two terms are not exactly the same”.—[Official Report, 7/6/21; col. 1308.]
He then gave an example about the dreaded Sitka spruce, but he did not tell us why they were not the same and what the implications were for the Bill if we were to go down the route suggested by noble friend Lord Blencathra of half the time using “nature” and half the time using “biodiversity” depending on where it is in the Bill. When he said that, I was immediately sceptical, thinking, “Here comes a lawyers’ charter. If we’re using ‘biodiversity’ in one part of the Bill and ‘nature’ in another, the lawyers are going to have a field day”. I wish my noble and learned friend Lord Mackay of Clashfern were joining in this debate, because he would help us.
I go instead to the noble and learned Lord, Lord Hope of Craighead, who analysed this matter in some detail and came down in favour of “biodiversity”. I am sitting back on the fence where I started, because I was persuaded one way and the legal opinion has pushed me back in the other. I want to hear from my noble friend the Minister what the difference is between biodiversity and nature. If we could get that difference, perhaps we could reconcile it so that we got a Bill that was intelligible.
Baroness McIntosh of Pickering (Con)
My Lords, I am delighted to participate in this debate. I congratulate my noble friend Lord Blencathra on being so industrious in coming up with such an imaginative way to put forward something that he obviously feels very passionate about. However, I support my noble friend the Minister, who I hope will go on to explain why we have settled on “biodiversity”. I support everything said by the noble and learned Lord, Lord Hope of Craighead, about why “biodiversity” has a specific meaning. We should also look at the history of “biodiversity”. There are a number of international conventions with which I am sure my noble friend Lord Blencathra, particularly wearing his hat with Natural England, will be familiar. Is he proposing that we now try to change all the international conventions which originally referred, even more confusingly, to “biological diversity”? I would put forward “biodiversity” as a compromise between “biological diversity” and “nature” or “the natural environment”, because it has a specific meaning and we have subscribed to a number of international conventions. For those who will have to follow what is asked of them, “biodiversity” has that specific meaning, which I am sure my noble friend will explain.
I support the noble and learned Lord, Lord Hope of Craighead, in saying that we need a list of species or a better understanding of what is being asked. I am sure my noble friend will explain that when he moves the series of government amendments later today. I accept “biodiversity” as a compromise, but we need greater clarification of the list of species—flora and fauna—which are to be protected.
Baroness Ritchie of Downpatrick (Non-Afl) [V]
My Lords, I listened to the noble Lord, Lord Blencathra, with a degree of sympathy for what he is trying to achieve. We all want to make legislation more simple and able to be understood by members of the public, but in this instance, I agree with the noble and learned Lord, Lord Hope of Craighead, and the noble Baroness, Lady McIntosh of Pickering. To change the name in the legislation at this stage would cause a level of disruption, because we already have international agreements that refer to “biodiversity”. The Dasgupta report also referred to it.
There is a simple difference between nature and biodiversity. According to my dictionary definition, nature covers all existing systems created at the same time as the earth, whereas biodiversity is the part of nature that is alive, born on a mineral substrate in an earlier geodiversity. Biodiversity provides numerous ecosystem services that are crucial to human well-being at present and in the future. Longer-term changes in climate affect the viability and health of ecosystems, influencing shifts in the distribution of plants, pathogens, animals and even human settlements. Biodiversity loss has negative effects on several aspects of human well-being, such as food security, vulnerability to natural disasters, energy security and access to clean water and raw materials. It also affects human health, social relations and freedom of choice.
Quite simply, through this legislation, we need to protect our living biodiversity. The inclusion of a target-setting framework is a welcome part of the Bill, and something that has already been referred to by the noble and learned Lord, Lord Hope of Craighead. The long-term nature of environmental matters makes this all particularly important. Environmental improvement cannot be achieved over the short timeframe of a political cycle. We need to ensure that this Environment Bill provides an opportunity for the UK to become a world leader in the fight against all forms of pollution and biodiversity loss and in mitigating the impact of the climate emergency. The litmus test for all of us in the Lords is does changing “biodiversity” to “nature” in this Bill strengthen and toughen its provisions, does it weaken existing legal protections or does it make any difference?
I believe this Bill must turn the tide on nature’s decline, biodiversity decline and the climate emergency. It must transform the way we manage waste, protect our precious water resources and all the other aspects. So, I think at this late stage, it is best to keep to the term “biodiversity”, while I fully understand and appreciate the case made by the noble Lord, Lord Blencathra.
Viscount Trenchard (Con) [V]
My Lords, I was much elated to read my noble friend Lord Blencathra’s amendments. I completely agree with him that “biodiversity” is one of the worst examples of a pseudointellectual word that most people do not understand and would never use in speech. I think my noble friend is right that, in the main, it would be much better if we used the easily comprehensible word “nature”, on which there is universal agreement on its meaning. I completely agree that it is highly desirable that the Bill should use language with which the public identifies.
It is interesting that, in their response to The Economics of Biodiversity: The Dasgupta Review the Government refer to
“nature, and the biodiversity that underpins it”.
This suggests that biodiversity and nature are not quite the same thing because one underpins the other, but even in a note to the preface to the review, Professor Dasgupta writes that
“the terms Nature, natural capital, the natural environment, the biosphere, and the natural world are used interchangeably.”
The Cambridge Dictionary website informs me that biodiversity means:
“the number and types of plants and animals that exist in a particular area or in the world generally, or the problem of protecting this”.
The first part of this definition sounds to me to be the same as nature, but then I am confused by the notion of protecting it. The “bio” of biodiversity is derived from the Greek bios, meaning life, and all the varieties of animal and plant life on the planet are indeed diverse.
So, although academics may disagree that the simple word “nature” is inadequate, I am not convinced that there is any material difference in meaning. I agree with my noble friend that we should change the word “biodiversity” to “nature” wherever possible. My noble friend’s Amendment 203 changes the “general biodiversity objective” of the Natural Environment and Rural Communities Act 2006 to the “general nature objective”. Perhaps the Minister could tell us whether that Act was the first in which the term “biodiversity” was used and whether he agrees that it would be much better if our law was written in language that people can understand.
The noble and learned Lord, Lord Hope of Craighead, suggested that “biodiversity” is the correct word because it is broader, but I am not sure that the noble and learned Lord persuaded me that “nature” is narrower than the whole diversity of life. I also worry for the future of the word “diversity” which increasingly carries connotations of gender and race. For all these reasons I support what my noble friend Lord Blencathra is trying to do.
Baroness Bennett of Manor Castle (GP)
My Lords, it is a great pleasure to take part in this debate, and I thank the noble Lord, Lord Blencathra, for initiating it. I think it has been very useful and I truly appreciate the passion with which he desires to see public engagement with, and understanding of, this Bill. I very much appreciate that. A number of noble Lords have said we need this Bill to be both precise and intelligible, and when we draw on the legal side of things I am very much influenced, as I often am, by the noble and learned Lord, Lord Hope of Craighead, who suggested that in legal terms “nature” would not achieve what “biodiversity” would.
I am going to bring a biological consideration, that being my intellectual foundation to this, and may complicate this debate further by pointing out that where we sit right now at this very moment is, in one definition, a part of nature—we are human animals and the rest of the animal species on this planet are non-human animals—as it is something we created. It is an ecosystem we have created. However, I am not going to go too far down that road, as I fear that may be a debate more fit for the Bishops’ Bar when it re-opens than this Chamber today.
I want to raise the issue that the noble Lord’s amendment brings to the fore, which is the definition of “biodiversity” and, specifically, to explore further what the Government’s understanding of biodiversity is. I can address some questions that have been raised about where this term come from. The noble Baroness, Lady McIntosh of Pickering, suggested that some things are called “biological diversity” and some things are called “biodiversity”. The term “biodiversity” was coined in 1985, and it is a contraction of “biological diversity”. Without being a lawyer, I do not think there is a legal contradiction between using those two terms interchangeably.
What is not always sufficiently understood is that biodiversity is not just having lots of species. There is sometimes a feeling that we are protecting diversity when there is this really rare moth, and there are three reserves where we are saving it, so that is all right because we are saving biodiversity. If we look at what biodiversity is in a much broader sense, it starts at the level of genes. If you look at a magnificent, enormous murmuration of starlings, should you still be lucky enough to have such a thing, or a wonderful flock of sparrows—ditto—then, although it cannot be seen, in the depths there is great genetic diversity. It is something that keeps that species healthy, and if you get population numbers down to a tiny level a very important part of biodiversity is lost. The interchange of genes is lost if you have a series of isolated populations.
It is really important to have the species to have the genes, but biodiversity is also complete ecosystems. These are systems, such as savannah and woodland, that have developed over billions of years, have complex interrelationships and interrelate to their physical environment. That is all biodiversity as well. This is what has made the earth habitable over billions of years and is what some people call Gaia. To look at this in a way that those of a more literary bent in your Lordships’ House might find familiar, this is a library of life. It a library of ideas and a library of ways of interrelating. It has been said that what we are doing by destroying biodiversity is burning through the library of life. So, I would really like to see, perhaps in the Minister’s answer, or perhaps later in writing, a lot more from the Government about their understanding of what protecting biodiversity means. They must make sure that the target for biodiversity—assuming the Bill goes through in its current form—really addresses the different levels and ways in which we need to understand biodiversity, and does not boil down to “Well, we have three reserves for this rare moth and that will do.”
Lord Randall of Uxbridge (Con) [V]
My Lords, I support my noble friend’s Amendment 5, to which I added my name. It is always good to follow my noble friend in his wise words. I have to say, though, that I rather feel out of my depth in this debate. I thought that it was going to be quite a simple subject, but I should have thought that we have such experts in your Lordships' House. I have been listening to the legal side of things, which I have little understanding of, while making law, and the excellent speech by the noble Baroness, Lady Bennett of Manor Castle, on a much more scientific, biological aspect.
I come at this with a view that we want to make things simple. We are going to come, in the group following the next, on to a connection with nature. That is my biggest concern. The noble Baroness, Lady Bennett, said that the word “biodiversity” arrived in 1985. I was not a young man, necessarily, when it first appeared, and I had been used to using other words. I have been involved in this environmental field as an amateur for all my life, and I accept “biodiversity”—I use it myself—but I am not sure that the people we want to connect more with nature do understand it. I would say to those noble Lords who have mentioned international things that the European Union introduced Natura 2000; it did not call it “Biodiversitas 2000” or anything else. “Natura” and “nature” have their place. I would regard myself as an amateur naturalist; I do not know how you would say I am an “amateur biodiversity person”.
I think this has been a very useful debate. I end up more confused, though that is a position I often find myself in, listening to debates. But I have to say that there is a real need for us to make sure that our fellow citizens understand that the environment is about what they hold dear—and that is nature. When I was at school, we had nature study; we did not have biodiversity study. But I admit that I am not in the first flush of youth.
Lord Krebs (CB) [V]
My Lords, one could argue that what is good enough for Sir David Attenborough is good enough for this Bill. Sir David’s 2020 TV programme “Extinction”, in which he talked about biodiversity, was watched by 4.5 million viewers on its premier. Those people, and the millions more who have watched it subsequently, will have some idea of what biodiversity is.
Although I do not support this amendment for the reasons that my noble and learned friend Lord Hope of Craighead so clearly articulated, I am grateful to the noble Lord, Lord Blencathra, for tabling the amendment, because it provides me with an opportunity, following the noble Baroness, Lady Bennett of Manor Castle, to ask the Minister to clarify precisely what the Government mean when they talk about biodiversity. As my noble and learned friend Lord Hope of Craighead said, words do matter. If the Government are to maintain the term “biodiversity” in this Bill, which I hope they will, please could they explain what it actually means?
I am now going to get a little bit technical. Ecologists recognise a number of different, but interrelated, meanings of the word “biodiversity”. At its simplest, it refers to what is called “species richness”—simply the number of species inhabiting a defined geographical area, such as England. A more sophisticated variant of species richness takes into account the relative abundance of different species. On this measure, an area populated by one extremely common species and, say, five very rare ones will be less biodiverse than if all six species were roughly equally abundant.
As the noble Baroness, Lady Bennett of Manor Castle, has already said, biodiversity can also include genetic diversity within a species. For instance, one might be particularly interested in preserving subspecies that are unique to this island, such as the native pied wagtail, motacilla alba Yarrelli. Furthermore, biodiversity might encompass the genetic distinctiveness of species, by placing a premium on species with no close living relatives on the planet, or on endemic species, such as eudarcia Richardsoni, a micro-moth found only in Dorset.
Finally, biodiversity might encompass the diversity of habitats, such as woodland, heath, peatbog and intertidal marshes, found within a geographical area. Many ecologists distinguish between what they call alpha diversity—species richness within a habitat—and beta diversity, which is diversity between habitats.
I hope that the Minister, in his response, or afterwards in writing, will explain what the Government mean when they talk about biodiversity. At the same time, it would be helpful if he could explain the difference between biodiversity and species abundance, as introduced in Amendment 22, which we will debate later.
Baroness Hayman of Ullock (Lab)
My Lords, this has certainly been an interesting discussion around the proposal of the noble Lord, Lord Blencathra, to change the wording of the Bill to use the term “nature” instead of “biodiversity”. I can understand why he would want to propose this change, as it is an easier concept for many people to grasp and understand, as many noble Lords have said during our discussion. However, the Minister did explain in his winding-up speech on Second Reading that the two terms are not exactly the same. The noble Earl, Lord Caithness, referenced the example that the Minister gave:
“Planting a Sitka spruce monoculture might give us more nature, but it would not give us more biodiversity”—[Official Report, 7/6/21; col. 1308].
A number of noble Lords have talked about definitions and the definition of “biodiversity” as opposed to the definition of “nature”. I would like to thank the noble Baroness, Lady Bennett of Manor Castle, and the noble Lord, Lord Krebs, for providing us so much information. I have learned an awful lot more in this debate than I was expecting. A number of noble Lords have looked at dictionary definitions, so I thought I would add to this by having a look at what the Oxford English Dictionary has to say. It describes “nature” as
“The phenomena of the physical world collectively; esp. plants, animals, and other features and products of the earth itself, as opposed to humans and human creations”
whereas—I would be interested to discuss this further with the noble Baroness, Lady Bennett of Manor Castle, at some point—the dictionary describes “biodiversity” as
“the variety of plant and animal life”.
So these things are different, and my thinking is that the Oxford definition seems to show that “nature” is a broader concept and “biodiversity” fits within that. Therefore, I am not quite sure how helpful Amendment 261 will be.
This is a really important Bill, and, as my noble friend Lord Rooker said, clarity as to exactly what is meant by the wording and terminology in this Bill—and in all legislation—is essential to avoid confusion and potential legal challenge. I am sure that the Minister will be able to provide us with more detail on the wording used and the way that the decisions have come, but noble Lords have requested more explanation of exactly what is meant in the Bill by “biodiversity” and what is going to be demanded of improvements to biodiversity as we go through implementing what the Environment Bill is looking to do.
In short, I have enjoyed listening to the debate, but we are happy to retain the use of “biodiversity” in the wording of the Bill.
Lord Goldsmith of Richmond Park (Con)
I thank my noble friend Lord Blencathra for his amendments. It is a pleasure to follow the thoughtful speech on them by the noble Baroness, Lady Hayman. Like my noble friend, we want people to understand and engage in nature, but it is also important to increase recognition of and engagement with the term “biodiversity”. It is an internationally recognised term that is gaining popularity with the public, parliamentarians and beyond, not least as a consequence of the extraordinary work of Sir David Attenborough, as the noble Lord, Lord Krebs, pointed out. It confers a direction of travel toward greater diversity, which we want everyone to fully support and engage with.
As the noble and learned Lord, Lord Hope of Craighead, pointed out, and this point was echoed extremely interestingly and thoughtfully by the noble Baronesses, Lady Bennett and Lady Ritchie, “nature” is a more expansive term than biodiversity, often taken to include non-living elements, and is potentially more open to interpretation. It is perfectly possible to enhance nature with limited or no value for biodiversity. Many monocultures—for example, a green grass valley; I am using a different example from the one that I used last time—are considered beautiful examples of a natural landscape, and “nature” can have a high amenity value. If we are to boost biodiversity, sometimes it will mean moving away from simplistic ideas of what nature should be, and thinking scientifically about how to improve the diversity of living things.
In response to my noble friend Lady McIntosh, I confirm on my noble friend Lord Blencathra’s behalf—if I may—that he is not proposing to renegotiate or replace the international conventions, as I understand it from his introductory speech. However, I want to provide a more detailed interpretation of what we mean by “biodiversity” and why it is important. I do this in response to a number of noble Lords, including my noble friends Lady McIntosh of Pickering, Lord Caithness and Lord Trenchard, the noble Lord, Lord Krebs, and the noble Baronesses, Lady Ritchie and Lady Hayman. The Convention on Biological Diversity, which is being hosted in China at the end of this year and is a massively important moment for biodiversity, defines biodiversity as
“the variability amongst living organisms from all sources including, inter alia, terrestrial, marine and other aquatic ecosystems and the ecological complexes of which they are part; this includes diversity within species, between species and of ecosystems.”
It is important that variability and diversity should be conserved and the benefits for people secured. The UK is playing a leading role in negotiating an ambitious global framework for biodiversity under that convention, and setting targets and policies for biodiversity helps to demonstrate and further that alignment.
From a more technical perspective, the Bill applies the terms “nature” and “biodiversity” for specific purposes. Associated guidance and regulations will make that clear. We certainly want these measures to benefit all aspects of nature for wildlife and other environmental objectives. Substituting “nature” for “biodiversity” in the Bill would risk creating confusion about the purposes of the measures, especially where “biodiversity” is already a well-established term. Measures such as the biodiversity duty or biodiversity net gain are already established and understood policies, being strengthened through the Bill, and our aim should be to improve their functioning, not create confusion with new terminology.
I hope this does not sound facetious but there is an implied assumption within the amendment that people en masse are going to devour the Bill and base their understanding on the Act that we hope it will become. It feels to me that what really matters is delivering the measures in the Bill and the wider communications that will support it. I say to my noble friend Lord Caithness that I am not convinced it is the Act itself that will take people with us; rather, it will be the delivery of good policy, good solutions and the wider comms that we all—not just the Government—are going to have to engage in to advance this agenda.
I reassure my local friend Lord Blencathra that I share and understand his vision and the motivation behind his amendment, as I think does every noble Lord, but nevertheless I ask him to withdraw it.
The Deputy Chairman of Committees (Lord Faulkner of Worcester) (Lab)
The noble Earl, Lord Caithness, has indicated that he wishes to speak.
The Earl of Caithness (Con)
My Lords, I am grateful to my noble friend for giving a definition. He then said it was going to come in regulations. Would it not be better if it were in the Bill?
Lord Goldsmith of Richmond Park (Con)
I am not sure it is necessary to add the definition to the Bill itself, but I will certainly consider my noble friend’s comment carefully as we move through the Bill’s various stages.
Lord Blencathra (Con)
My apologies, Lord Deputy Chairman; I did not realise you would be calling the noble Earl, Lord Caithness.
I am grateful to all noble Lords and noble Baronesses who have spoken—those who have supported me, those who are sitting on the fence and those who are opposed. I say to the noble Lord, Lord Rooker, that if he goes further and looks at the Office of the Parliamentary Counsel guidelines in detail, he will find that there is an instruction there to government departments to write in simple language, and what I am suggesting here follows that OPC instruction.
The noble and learned Lord, Lord Hope of Craighead, made an important contribution that swayed a number of noble Lords. I looked at changing the word “nature” at the start of Clause 1 but then opted to change it in Clause 1(3). I was in two minds about that but then I thought that I wanted the debate on principle, so we should have it early on in the Bill. I accept what he said about the list in Clause 1(3) containing more specific examples of nature. He said that “biodiversity” was the right word to be used in the Bill but I am suggesting, and I have said so all along, that we can define “nature” to be the right word in the Bill and we can make it as specific or general as we wish.
I am grateful to my noble friend Lord Cormack for his attempt at a definition, “nature in all its diversity”. I am not sure it is right but he is simply making the point that it is possible to define this.
My noble friend Lord Caithness said that he was back to sitting on the fence. I am too; I have a leg on either side of it. I am not suggesting that we have “nature” only or “biodiversity” only; I am suggesting that in some parts of the Bill, where it is safe and sensible to do so, we have “nature” and in other bits we have “biodiversity”.
My noble friend the Minister has already pointed out to my noble friend Lady McIntosh of Pickering that I was not proposing to change our international conventions, not even the one that I negotiated myself. As a new Minister I was sent to Rio in 1992 with strict instructions: “You’ll be there for 16 days, Mr Maclean MP. You will not agree to anything until John Major comes out and signs up for everything that you’ve got to resist.” I had to sign, or was party to negotiating, the first Convention on Biological Diversity.
I say to the noble Baroness, Lady Ritchie of Downpatrick, that there is no need for confusion. It depends on how we define this, and I say to her that the word “nature” would strengthen the Bill.
I am grateful to my noble friend Lord Trenchard for his strong support. If Dasgupta sees the terms as interchangeable, we should change “biodiversity” in the Bill wherever possible.
I am grateful to my noble friend Lord Randall of Uxbridge. He also said that we should make things simple. The next group of amendments but one is about connecting people with nature. The word “nature” does that but “biodiversity” does not.
The noble Lord, Lord Krebs, says that the Government need to define biodiversity. If the Government cannot define biodiversity in the Bill, how are the public to understand or relate to it? The Government are capable of defining “natural environment” in the Bill. The noble Baroness, Lady Hayman, quoted dictionary definitions. What does that dictionary say about “natural environment”? The phrase “natural environment” is not defined in the Bill according to the Oxford English Dictionary; it is defined in a way that the Government have decided. If the Government can define “natural environment”, they can define “nature”.
My noble friend the Minister said that “nature” can be a more expansive term. It can, and if it is not defined it will be much more expansive. The phrase “natural environment” could be a highly expansive term—indeed, some of us have suggestions to expand it a bit more—but the Government have defined it in the Bill and, if you can define “natural environment”, you can define “nature”.
As far as “biodiversity net gain” is concerned, my noble friend picked one example which might confuse business and industry, and developers may worry that “nature net gain” is not the same as “biodiversity net gain”. If that is the case and we cannot explain it, let us not change that bit. I have resiled from my initial position when I wrote to my noble friend two weeks ago that we can change every word. I know that we cannot; it would not be sensible. It could cause legal problems and confusion. Let us not try to change the word where it is not sensible to do so but change it everywhere else.
My noble friend seemed to conclude by saying, “Let’s use biodiversity in the Bill, but out there we will be talking about nature; it’s how we relate to it and how we deliver it”. It seems a bit odd to say, “Well, let’s just keep this among ourselves. We experts who know all about it and we boffins will use biodiversity in the Bill, but we won’t use it out there among the public. For that, we will use ‘nature’”.
I think there is still some merit in what I say, although it has not commanded the majority support of the noble Lords who have spoken today. I would like my noble friend to consider with me whether we can change the word in some instances where it is safe to do so. Having said that, I beg leave to withdraw the amendment.
The Deputy Chairman of Committees (Lord Faulkner of Worcester) (Lab)
We now come to the group beginning with Amendment 6. Anyone wishing to press this or anything else in this group to a Division must make that clear in debate.
Amendment 6
Lord Teverson
“(c) terrestrial biodiversity;(ca) marine biodiversity;”Member’s explanatory statement
This amendment ensures that there is a long-term biodiversity target both on-shore and off-shore.
Lord Teverson (LD)
My Lords, I welcome the fact that in this Bill the Government are committed to targets on biodiversity and the areas that the Bill covers, including waste. There are only four areas listed, which makes choosing targets a pretty challenging task. I look forward to the debate on this group of amendments, where many different options have been put forward. I recognise that this is not straightforward. Unlike climate change, where we can have a couple of metrics—for example, the proportion of grams of carbon dioxide or other greenhouse gases in the atmosphere, or look at emissions as a whole in metric tonnes—biodiversity is far more difficult, and I recognise that. It is not necessarily easy for anybody, let alone the Government, to choose the right targets.
However, within the Bill there is a distinct lack of recognition of the maritime area—the seas around our island nation. Not to put emphasis on the seas and oceans, our EEZ and our territorial seas, is a major weakness in the Bill. I have talked to the Minister about this, and I thank him for his conversations. He will point out that “water” is used very generally in the Bill, but it is usually in a context that does not really include oceans and the sea around us. I congratulate the Government on their blue belt initiative for our overseas territories, but I sometimes wish that the focus on our overseas territories was equal to the focus we have on our own seas in the United Kingdom.
I recognise that this is primarily an English Bill, but let me talk in terms of the UK at the moment Not only are we an island nation, but the territorial area of the United Kingdom is just under a quarter of a million square kilometres. If you look at the seas over which we have some jurisdiction, it is three to four times that level—almost a million square kilometres. That is the EEZ plus our territorial seas. Under UNCLOS we have responsibility for those seas beyond just the 12-mile limit, and I think those are important. I will come back to some of these issues later in our proceedings.
Lord Randall of Uxbridge (Con) [V]
My Lords, I will speak to my Amendment 10. I am grateful to my noble friends Lord Carrington and Lord Taylor of Holbeach, and the noble Baroness, Lady Bakewell of Hardington Mandeville, for signing it.
It is always a pleasure to follow the noble Lord, Lord Teverson. We spent quite a long time on the Fisheries Act, as it now is. I think I would say “marine” rather than “maritime” as a concept—“maritime” has more connotations to do with ships and so forth. But “marine” and “terrestrial” also join together, and of course, there are the shores. This issue could be solved, quite frankly, by my noble friend the Minister making it quite clear exactly what is covered by this.
Amendment 10 deals with light pollution, which has increased from a variety of sources, including domestic residences, public infrastructure—particularly lighting along roads and motorways—and industrial activity, such as energy infrastructure. Much of the earth’s population is affected by light pollution. Some 80% of the world’s population now live under sky glow and nearly every European cannot experience a natural night sky from where they live. I have not seen the night sky properly where I live—except possibly in a power cut—but when I occasionally go up to Norfolk, along the coast I am blessed to be able to see the night sky in all its glory.
In recent years, evidence of the impact of light pollution on species and ecosystems has grown and consolidated. Increased artificial light at night is directly linked to measurable negative impacts on energy consumption, obviously, human health and wildlife such as bats, birds, insects and plants. Unnecessary artificial light increases financial costs and contributes to greenhouse emissions. Light pollution should be treated with the same disdain with which we treat all other forms of pollution.
Among other organisations that I belong to, I am a member of Buglife, a charity devoted to the protection of insects. I am pleased to say that this week is National Insect Week. Studies from Germany suggest that a third of insects attracted to street lights and other fixed light sources will die. This results in the death of an estimated 100 billion insects in Germany every summer. Light pollution is reducing nocturnal pollinator visits to flowers by 62%, in some areas. Again, to show my slightly nerdy side, from time to time I put out a moth trap, but mine is not as successful as those of some of my friends elsewhere, who do not have the same light amount of light coming in from other sources. We know that moths are attracted to light, but that it confuses some.
Glow-worms use luminescence to attract prey and mates. Artificial light can affect their ability to do both. Evidence shows a decline in the abundance of glow-worm populations with increased proximity to artificial light.
Birds that migrate or hunt at night navigate by moonlight and starlight. Artificial light can cause them to fly towards lit areas. Recent research shows more birds migrating over urban, rather than rural, areas. This deviation from traditional routes can have a significant impact on energy levels during migration and lead them to stop in suboptimal habitats.
The US recognises bird strikes against high-rise buildings as a real problem. In Texas, the former First Lady Laura Bush heads a lights-out campaign, twice a year, to encourage high-rise buildings to switch off their lights, so that they do not kill all these migratory birds. Some of the photographs you see of the carnage caused underneath these high-rise buildings are disturbing.
Artificial lighting can cause many problems for bats, including disrupting roosting and feeding behaviour and their movement through the landscape. In the worst cases, it can directly harm these protected species. As all bats in the UK feed on insects, loss of food sources is also a considerable threat.
For us humans, light pollution is negatively impacting astronomy and our ability to observe the stars. To look up on a cloudless night and see the stars is one of the more uplifting pleasures that we can have from childhood onwards.
Many marine species such as crabs and zooplankton are attracted to artificial lights near the shore, from ports or gas facilities, which can disrupt feeding and life cycles. Many noble Lords will have seen, in one of the more recent David Attenborough programmes, the disturbing sight of turtles coming to shore when they are hatched instead of going out to the sea. They are designed to be attracted to moonlight, but are going towards cafes and restaurants, with all their lights, crossing roads and perishing. This is a real problem.
The British Astronomical Association estimates that 90% of the population of the UK are unable to see the Milky Way from where they live. Evidence shows that light exposure at the wrong time has profound impacts on human circadian rhythm, affecting physical and mental functions. Artificial lighting has been linked to trees bursting their buds more than a week early, a magnitude similar to that predicted for 2 degrees centigrade of global warming.
My amendment aims to set a commitment to act on matters that relate to light pollution currently omitted from the Environment Bill. I hope it ensures that the Government produce targets to reduce levels of light pollution in England. The evidence is clear that light pollution has a significant impact on the normal activity of invertebrates, birds, bats and plants, and that these impacts are more than sufficient to require action. It would be a failure not to address this before we have long-term data and doing so would go against the Government’s draft environmental principles, in particular the precautionary principle, but also the prevention and rectification-at-source principles.
The UK does not yet report on light pollution levels. However, measuring light pollution is simple. Satellite images can be used to establish pollution levels and the CPRE has developed a nine-band classification system that could form the basis for monitoring change. Existing policy on light pollution does not provide sufficient guidance and is not strong enough to tackle its increasing impact. Several countries have introduced national policies on light pollution, such as Germany, France, Mexico, South Korea, Croatia and Slovenia. When I was last in France, I noticed that some villages have the designation “village étoile”, which they relish, because people go to them specifically to see the night sky.
The UK’s Environmental Protection Act 1990, as amended, provides local authorities with statutory nuisance powers to address light pollution, but only when harmful to humans or if it “unreasonably and substantially” interferes with the use or enjoyment of a home or other premises. I am afraid this has not resulted in a reduction in general light pollution. The National Planning Policy Framework offers little consideration of light pollution. The only reference states:
“Planning policies and decisions should … limit the impact of light pollution from artificial light on local amenity, intrinsically dark landscapes and nature conservation.”
The last comprehensive consideration of the issue by the Government was the Royal Commission on Environmental Pollution’s 2009 report, Artificial Light in the Environment. However, I am afraid that almost none of its recommendations has been implemented.
On national targets, Clause 1 of the Environment Bill provides power for the Secretary of State to “set long-term targets” by regulation, in relation to
“(a) the natural environment, or (b) people’s enjoyment of the natural environment.”
Subsection (2) requires the Secretary of State to set long-term targets in the four priority areas of air quality, water, biodiversity and resource efficiency and waste reduction.
I strongly believe that light pollution should be considered a priority area too, so that the Government are required to set a long-term target to reduce its impact on nature and people’s enjoyment of it. This amendment is designed to achieve that outcome. A national plan intended to prevent, limit and reduce light pollution must include a series of targets and a programme of monitoring. National targets should be set to include no net increase in light pollution and an ambition to increase the number of dark sky reserves.
Finally, I support Amendment 11 in the names of the noble Baroness, Lady Bennett of Manor Castle, and the noble Lord, Lord Whitty. I have my own amendment later in the Bill, Amendment 112, on soil quality, which is as fundamental as anything in the Bill.
Lord Harries of Pentregarth (CB) [V]
My Lords, I have two amendments in this group. The later one, Amendment 31, concerns the health of our trees and the first, Amendment 12, planting new trees. It requires the Government to put before Parliament an annual report on the progress made towards achieving the initial target of planting new trees.
The extent and health of what is left of our forests, woodland and trees is a matter of deep concern. We all know the essential role trees play in absorbing carbon dioxide from the atmosphere, thereby making a vital contribution to slowing down climate change. A mature tree absorbs carbon dioxide at the rate of 48 pounds per year. In one year, an acre of forest can absorb twice the CO2 produced by the average car’s annual mileage. We know in our personal lives how fundamental our trees are for physical health, aesthetic satisfaction and our spiritual well-being.
The Committee on Climate Change has said that we need to raise our current 13% forest cover to 17% by 2050 if we are to have any chance of meeting our climate goals. At the moment, the Government are missing their tree-planting targets by 40 years. If we continue at the current slow rate of tree planting, the Government’s own 2050 targets will not be met until 2091. As those figures show, the number of trees planted each year needs to be very significantly increased.
Baroness Jones of Moulsecoomb (GP)
My Lords, this group of amendments is like some sort of dream list that any environment Bill worthy of its name should contain, so I very much hope that the Government will listen to all noble Lords on this. I will speak on only two amendments. First, I signed the amendment in the name of the noble Lord, Lord Teverson, on marine, which he explained extremely well. All I can say, in less parliamentary language, is that it is plain daft not to include it. How can you not include another biosphere that is so important, not only for fishing and other things but generally for the well-being of anybody who ever goes down to the seaside?
I will speak specifically to my Amendment 32, which is about the controversial issue of reducing meat and dairy consumption. I eat both, so I am well aware of how difficult it is, but I have tailored my diet to reduce substantially my intake. I have also tabled this amendment because it was a clear recommendation from the Climate Change Committee to make a significant reduction in our carbon footprint. Sadly, and proving yet again the inadequacy of the scrutiny bodies in having any binding power over the Government, the recommendations have been ignored. Farming accounts for 12% of greenhouse gas emissions in the UK and, as the noble Lord, Lord Deben, said in publishing the committee’s report:
“Changing the way we use our land is critical to delivering the UK’s Net Zero target.”
Looking globally, the UN predicts that global red meat consumption will double by 2050, which will be a disaster for the climate and ecology. Animal husbandry can be part of the solution to climate change, as good-practice grass-fed livestock can be an important part of building soil health and sequestering carbon. However, the levels of meat currently demanded in our western diets are simply incompatible with these sustainable practices. It is time for the Government to be quite brave and bold and start facing up to this reality. The Prime Minister should use his political capital—however much he has left—to begin this conversation and start this road to a more sustainable diet. It will be a test: is he really the skilled communicator that he and his allies believe? If so, I would like to set him a challenge: persuading the public that modifying our diets is an important step towards net zero.
The Earl of Caithness (Con)
My Lords, it is difficult to speak to an amendment that has not yet been spoken to by its proposer. I therefore ask my noble friend on the Front Bench whether she could make a note of this; we had exactly the same problem during the passage of the Agriculture Bill, which we finally got sorted out. The speakers’ lists should start off with all those who have amendments consequential to the first amendment. I want to speak to Amendment 11, in the name of the noble Baroness, Lady Bennett of Manor Castle, but she will speak after me. This is nonsense and it does not help the Committee—I am very glad to see some nods around the Chamber from all sides. I therefore hope that my noble friend will make certain that we get a decent speakers’ list in future.
I support what I believe the noble Baroness will say on Amendment 11, just as she supported me on my Amendment 111, which also refers to soil, so we are as one. Soil is critical to the environment. You cannot get good habitats without proper soil. Unless soil is one of the priorities, we will never get there in the first place. There is a lot more to be said about soil later, but at this stage I just want to support the noble Baroness in her amendment.
On the amendments spoken to by the noble and right reverend Lord, Lord Harries of Pentregarth, he raises some very important points but this also shows the difficulty of having targets, particularly where you have plants and species that can be affected by disease and climate change. It will be very difficult to set a target for tree health, because it can change in a matter of years, as the noble and right reverend Lord said about the ash disease. If you set a target and then have to change it, targets become increasingly meaningless. If we are to have targets, they should have a meaning. I am therefore sceptical. I understand what he is trying to do and part of me supports it, but part of me says that it has to work on the ground—we cannot just tick a box and say that we have done targets, and then keep on changing them. We changed the biodiversity 2020 targets because nobody was going to meet them. It brings the whole concept of targets into disrepute.
The noble and right reverend Lord also mentioned the tree-planting target. I have said before that it is not just tree planting that matters but the maintenance of trees. It is terribly easy to plant trees; I planted lots of trees in the year before I went to agricultural college and I hope that some of them have been clear felled by now—they should have been. However, it is disease and animal destruction of trees, and the planting up after the planting and the support for those trees to grow into mature trees, that really matter. I would rather plant fewer trees and get them all up to maturity than plant x plus 10% when 20% will die, as we end up with a minus quantity. The thrust of the noble and right reverend Lord’s amendment is in the right direction, but again, it is about how it will work in practice; it is the practicalities of the Bill that will make it a success or not.
Baroness McIntosh of Pickering (Con)
I welcome this small group of amendments. I will speak in particular to Amendment 6 in the name of the noble Lord, Lord Teverson. He has been very kind in supporting my later amendment along the same lines, Amendment 113. I say to my noble friend the Minister that I find it extraordinary that we have this omission whereby the marine environment, marine mammals, marine flora and marine fauna are excluded from the remit of the Bill. In responding to a question at Oral Questions last week, my noble friend the Minister accepted:
“In relation to the sustainability of inshore fisheries, there is undoubtedly a tension between those activities and new wind farms”.—[Official Report, 16/6/21; col. 1886.]
If we are not going to embrace and try to resolve those tensions in the context of this Bill, what mechanism will we use?
I commend the noble Lord, Lord Teverson, on the evidence we took in the EU Environment Sub-Committee on the ecology of the North Sea. It enabled us to look in some depth at the cumulative impact, as I think it is called, of these rather regrettable tendencies that are building up. It was referred to as the “urbanisation” of the seas, particularly the North Sea, with this plethora of new offshore wind farms growing up in a very short period of time without any concept or research being done—we will debate that later—on what the impact will be on the other uses of that part of the North Sea, such as inshore fisheries, which I just referred to, and shipping.
Nor has research been done on the impact on marine mammals both in the construction phase, with the noise and pollution that will inevitably be caused by a major event such as the construction of an offshore wind farm, and in its operation. I find it overwhelming that there has been no research as to why we are seeing dolphins, whales and other marine mammals banking on our shores with increased regularity—even in the River Thames most recently. I am sure that it has something to do with the sonic boom sent out by these offshore wind farms. It is a constant murmur on the seabed, which must be a distraction and cause some pain to marine mammals. I hope that my noble friend the Minister will look favourably on the amendment of the noble Lord, Lord Teverson, and that it will be added to—or else some very good reasons must be given as to why there is no recognition in the Bill of the maritime area and the contents of marine ecology.
Like other noble Lords, I support a number of other amendments in this group. Soil quality is extremely important; we will hear about that in a moment. I always offer a word of caution to those like the noble and right reverend Lord, Lord Harries of Pentregarth, who is looking to increase the planting of new trees. We must be extremely careful and approach where these trees are going to be planted very cautiously. I personally would like to see the creation of more peat bogs. It gives us a sense of the concept of time when we appreciate that it takes 200 years to create a peat bog, but I understand that the effects can also be replicated through the building of mini-dams and bunds, which should also be looked favourably upon.
For the reasons I have rehearsed before, my hesitation about encouraging the planting of new trees—they do have a role to play, as we have seen with the Slowing the Flow at Pickering pilot project on flood prevention and alleviation—is that, if grown in the wrong places, trees can actually contribute to flooding. That is a reason to be cautious. Also, only landowners and not tenant farmers can benefit from the planting of trees in any commercial way; they will therefore not benefit from this.
I hope that the noble Baroness, Lady Jones of Moulsecoomb, realises that I hold her in the greatest respect and affection, but I part company with her on this attack on livestock farmers who face all sorts of onslaughts at the moment, including from the Government’s live transport provisions both domestically in this country and externally. I am sure that she and I can have a little private chat offline and reach some agreement on her amendment. This is an interesting group of amendments looking at all sorts of ways in which we can benefit, but I particularly lend my support to Amendment 6.
Lord Curry of Kirkharle (CB) [V]
My Lords, I speak in support of Amendment 11 in this group, tabled by the noble Baroness, Lady Bennett of Manor Castle, and supported by the noble Lord, Lord Whitty. I will endorse the comments made by the noble Earl, Lord Caithness; I apologise for speaking in advance of them. I will also comment on Amendment 32, tabled by the noble Baroness, Lady Jones of Moulsecoomb.
I declare my interests as recorded on the register. Specifically, I chair the Cawood Group, which has a large soil-testing facility, so I have a commercial interest in the subject; I am a former chair of the Meat and Livestock Commission; and I was a beef and sheep farmer until two years ago.
On Amendment 11, I endorse the importance of soil health and that soil quality should be included on the face of the Bill as a priority area. As I am sure the Minister will agree, the quality of our soil is a matter of deep concern. The degrading of soil is a worldwide problem with huge consequences for the natural environment. As a soil scientist at Rothamsted Research told me many years ago, once soil has been completely degraded, it cannot be recreated. Its loss can be permanent, with all the consequences that might lead to. We often use “fundamental” rather loosely but, as far as soil is concerned, its quality is of fundamental importance. Without healthy soil, our ability to sustain ourselves, have healthy ecosystems and biodiversity and sustain the entire natural world will be impossible, so it is rather odd that it is not included as a priority in the Bill—especially as it was given significant importance in the Government’s 25-year environment plan. Understanding the health of our soil is crucial if we are to continue on the journey towards more sustainable agricultural production and to capture its carbon sequestration potential, since the organic matter content of soil varies enormously. I hope that the Minister will accept this hugely important small amendment.
On Amendment 32, which is also included in this group, I am sorry but, rather like the noble Baroness, Lady McIntosh of Pickering, I must inform the noble Baroness, Lady Jones, that I cannot support this amendment. Perhaps we should all join and have a drink afterwards when we can. First, let me say that the idea that the Government will control what we are allowed to eat by regulation would take the nanny state into new territory entirely. So far, successive Governments have failed to compel consumers to eat five portions of fruit and vegetables a day, so their record of managing consumer diets is not a great success story. Obesity continues to spiral out of control; the Government have a huge enough challenge trying to get to grips with that without trying to intrude on the eating of meat and dairy products. I cannot believe that any Government, particularly a Conservative one, would dare to impose such a policy.
Secondly, the amendment bases the regulation of meat and dairy products solely on the emission of methane when we now know that its impact on the environment is nothing like as long-lasting as carbon and without taking into account the huge benefit that the grazing ruminants sector delivers in supporting a vast range of ecosystems and biodiversity, together with vital carbon sequestration capability—not to mention the visual appeal of the British countryside, in which grazing livestock are a big part of the attraction so are important to tourism and the rural economy. Of course, we must continue to reduce the emission of methane and carbon as well as the environmental impact of ruminants, but I am confident that we will achieve that by building on scientific knowledge, which is very encouraging and developing all the time through protogenetics, better management, influence on ruminant diets and the choice of grassland species.
I just add in conclusion that I fully support the noble Lord, Lord Teverson, on his Amendment 6, which he presented very confidently. I also have a lot of sympathy with Amendment 31 and the comments of the noble and right reverend Lord, Lord Harries. Tree health is a huge challenge and we need clear action by government; the Bill is an opportunity to try to improve tree health and reduce disease. I shall listen with interest to the Minister’s response on these issues.
Baroness Bennett of Manor Castle (GP)
My Lords, I rise with a very long list of amendments to speak to, and I shall begin by very briefly addressing the points made by the noble Lord, Lord Curry of Kirkharle, and the noble Baroness, Lady McIntosh of Pickering, in response to my noble friend’s Amendment 32. I begin by thanking the noble Lord, Lord Curry of Kirkharle, for offering his support for my Amendment 11 on soils. I agree with him that it is rather odd that it is not initially in the Bill.
On Amendment 32, I first point out that this amendment does not seek to impose a diet on anyone; it sets a target to head the national diet in a certain direction. On what the noble Lord, Lord Curry of Kirkharle, said about methane, yes, its impact on the climate is shorter lasting, but it is also more than a score higher than that of carbon dioxide. When we consider the facts that we have an emergency and have to ensure that we stay below 1.5 degrees above industrial warming right now, the next 10 years are absolutely crucial and methane emissions now particularly crucial.
My noble friend will not forgive me if I do not stress that we very much understand that animal agriculture has an important place in the British landscape, but we have to start by tackling factory farming—for many reasons, from antimicrobial resistance through to the point that it is food waste to feed perfectly good food that people could eat to animals to produce much less food as a result.
I shall now get to the list that I started with. I shall briefly speak to Amendment 10 in the name of the noble Lord, Lord Randall of Uxbridge, on light pollution. We in the Green group would have attached our signature to this amendment, had there been space to do so. Clearly, this is a huge issue. The noble Lord, Lord Randall, referred to what has been called “insectageddon”, the huge loss of insect numbers and species, and light pollution is certainly part of that. I also point out that this is very much a case for joined-up government. So much of the light that we emit and pollute our skies with is utterly unnecessary. For example, the French Government have brought in a law that says that neon shop signs have to be switched off between midnight and dawn, which undoubtedly has benefits for the natural world. I am sure it also has huge benefits for people who live in flats above shops, who live in the environment. We are talking about making the environment benefit people and nature.
I also briefly offer support for the general intentions of the noble and right reverend Lord, Lord Harries of Pentregarth, in focusing on trees, while taking on board the comments of the noble Baroness, Lady McIntosh of Pickering, that we need the right tree in the right place, to use the buzz-phrase. We talk a great deal about tree planting, but it is important that we think about the natural regeneration of trees, because that is one way in which nature will help to ensure that we get the right tree in the right place. We also need to talk a great deal more about agri-forestry and the possibility of forage crops and crops producing human food—nut and fruit trees and so on—mixed in to our existing agricultural systems.
Now I get to the three amendments that I really want to talk about here. I apologise that this will be rather a long speech, but these are short but very important amendments. I come first to Amendment 7, which appears in my name and changes one of the proposed targets set down by the Government. The target as expressed by the Government is for resource efficiency and waste reduction, but I am calling for the words “resource efficiency” to be replaced by “reduction in resource use”. The current wording essentially says, “We’ll continue to treat the planet as a mine and dumping ground, but we will do it less wastefully”. What I suggest is that the law should acknowledge that we cannot have infinite growth on a finite planet and that a circular economy is a necessary but not sufficient condition for a sustainable world. In the terms of the neat video, “The Story of Stuff”, which has been around since 2007, we must have less stuff in our lives.
I refer to an important report from the Green Alliance, which I encourage noble Lords to read, which points out that resource use drives half the world’s climate emissions and 90% of nature destruction around the world. The UK’s use of resources, renewable and finite, is twice the level considered sustainable. Of natural resources alone, the UK uses three times as much as the planet can sustainably provide. That report, by what is not by any means a radical green group, calls for resource use to be halved. The UK’s material footprint was estimated at 971 million tonnes in 2018, equivalent to 14.6 tonnes per person. In 1997, 40% of that came from domestic extraction, which fell to 27% in 2018. We are taking a huge quantity of resources from the world—far more than the world can bear.
I stress that cutting resource use does not have to mean a lesser quality of life. When we think about the damage that stuff is doing, whether the ocean is turned into a plastic soup, the planet heated dangerously or soils destroyed in producing food then wastefully fed to animals, which then produces health-damaging junk food, we can see that reducing resource use can considerably improve our quality of life—not just using it better but using less of it. Really, there is no alternative. In a debate on the Finance Bill earlier this month, the noble Lord, Lord Agnew of Oulton, for the Treasury, responded to my remarks along these lines, by pointing to the book More from Less by Andrew McAfee, which claims that technology is enabling the dematerialisation of growth. As many critics have pointed out, however, that book ignores the fact that very often material use and exploitation are being exported, not replaced, and the acceleration of planned obsolescence means that more efficient use of resources has very often not meant less use of resources.
The noble Lord, Lord Agnew, pointed us to the United States Geological Survey figures for 72 resources, saying that only six had passed their peak, but that is a reflection of what the known reserves are. What about the damage done to people and nature by extracting them? Mining is by its very nature inevitably destructive. In a world suffering a pandemic of environmental ill health and the biodiversity emergency, more destruction tips us over multiple planetary boundaries, a concept that the response from the noble Lord, Lord Agnew, suggests that the Treasury has yet to grasp.
I am well aware that the Minister will find his work cut out in tackling the Treasury on these issues, but I point out that, if this Government want to be—as they so often tell us—world-leading, the European Parliament has demanded that the EU reduce resource use by 2030 and bring it within planetary boundaries, which means cutting it by two-thirds by 2050. That is the target set by the European Parliament. If we are going to be world-leading, that is where the Bill should be going. I am well aware that running the country for the economy instead of running the economy for the well-being of the country is deeply engrained, but that is a challenge for the Minister to take on.
I come to the two other amendments that appear in my name. Before I do, I want to refer back to a comment made in the first group by the noble Baroness, Lady McIntosh of Pickering, who said that we are inadequately exploring the relationship between the Agriculture Act, the Trade Act and the Environment Bill. I had a meeting last week with farmers and farming advisers who expressed to me exasperation and frustration because they were struggling to understand the Government’s intentions in that process. These two amendments that I am about to speak to attempt to deal with some of those issues.
I come to Amendment 11, on soils—and I hope that I get it through. I express my great thanks to the noble Lord, Lord Whitty, for attaching his name to this amendment and want to thank the noble Earl, Lord Caithness, and the noble Lords, Lord Curry and Lord Randall of Uxbridge, for expressing their support for it. As the noble Lord, Lord Randall, said, it is astonishing that it is not in the Bill to start with.
I want to quote Thomas Jefferson:
“While the farmer holds the title to the land, actually, it belongs to all the people because civilization itself rests upon the soil.”
I will also refer to a few points in the report The State of the Environment: Soil from the Environment Agency in June 2019. It is really telling that it says:
“There is insufficient data on the health of our soils and investment is needed in soil monitoring”.
It is very clear that we do not know enough, and if we set a target, that will create a framework where we need to do the measuring. In some ways perhaps it is a bit “chicken and egg”—but let us get this started, because it clearly needs to happen.
Lord Taylor of Holbeach (Con)
My Lords, I see this as a key grouping and I intend to speak to Amendment 10, moved so ably by my noble friend Lord Randall of Uxbridge. It is ironic that we are debating this issue on the day of the summer solstice. However, I am an enthusiast for the Bill, and I think I share that with the previous speaker—although perhaps she is more prone to amending the Bill than I would be. I want to see the Bill on the statute book and, from past experience, I am averse to yet another approach to lists. Dream or not, they do not appeal to me, so it must be really something to get me to seek a change in a Bill.
However, light pollution is a real contamination of our environment. My noble friend drew the attention of the House to the briefing from Buglife, which I too have read, but it is there for us all to see. Light pollution affects not only human health, animal health and bird health; it affects insect health—not only how they function but how they can act as pollinators. There are serious environmental consequences of light pollution. I believe that Amendment 10 picks up on the need for the Bill to allow the Government and local government to set standards, to measure, to monitor and, if necessary, to control, avoid and reduce light pollution.
I must declare my interest in that I am a founding member and vice-chairman of the APPG for Dark Skies. The group was inaugurated by the noble Lord, Lord Rees of Ludlow, and my honourable friend Andrew Griffiths in another place.
There has been a revolution in lighting: you get a lot of lumens for your buck nowadays. Lighting, properly used, is a good thing. It helps us with road safety and street safety, and with personal and property security. All these things benefit from lighting. But, living in a fenland landscape, I can say that bright lights over a porch doorway from a mile away are not a pretty sight. Lighting installed incorrectly and used inappropriately is a menace.
Closer to home, there is a new development that provides a strong focus for the need to control light pollution. Noble Lords will know what I am involved in intensive horticulture, and I am familiar with Westland, in the area of Rotterdam in the Netherlands, which glows in the night sky as it produces crops. Nearer to home, I am familiar with the Chichester plain, which also has an extensive glass area under lighting. We are now looking at vertical farming, and that after all poses many of the same challenges.
I believe that by putting this amendment in the Bill, we will have regard for this issue. If we are not going to lose the magic of the night sky, we need to do so. Last night, I watched the programme by Brian Cox on the magic of the heavens. They are a fascinating thing and our birthright. It would be a tragedy if by carelessness we lost this for humankind. I support the amendment.
Lord Rooker (Lab) [V]
My Lords, I am delighted to follow the noble Lord, Lord Taylor. I put my name on this group only because I want to support Amendment 10. I will not repeat a lot of what the experts said, particularly the noble Lord, Lord Randall of Uxbridge.
Before I say anything about Amendment 10, I want to advise the Minister. In the previous debate, I referred to the preparation of legislation report in 1975. I advise his office to look at the 2013 government report from parliamentary counsel, When Laws Become Too Complex. He does not have to read it all, but it makes a couple of good points about why laws become complex and why Bills have grown: because every group you can think of wants its bit in the Bill. We know it is a competitive arrangement out there from the kind of briefs we get. We get multiple briefs these days, with maybe 20 groups joined together to save us getting 20 separate ones. We need to be very wary.
The idea is to get the Bill and get some action. That is probably more important. The average size of a Bill in 2009—there is obviously some delay here because I take this from the 2013 report—was 98 pages. This Bill is more than twice the average size of a Bill in those days. It already has a huge number of issues that have been planted there by what I will call pressure groups. I am not being critical, by the way, because I agree with many of the speeches that I have heard this afternoon, but I would rather have the Bill and some action than delays to get the holy grail—it will not work.
On light pollution, I was one of those who always approved of permanent summer time—we never managed to get it through—because I think it would be a good idea. I realise there is a problem; the Scots do not want it. It is one of those issues, but I am in favour of it.
The fact of the matter is that presently the Government’s planning guidance, which I think was updated in November 2019, gives advice and guidance but no action. It talks about the common causes of complaints to local authorities. We all know about domestic, shops, exterior security and insensitively positioned decorative lighting. I live—looking out of the window—in Shropshire. I live in the middle of Ludlow, so it is not completely light free, even at night. One or two buildings leave on their security lights, there is street lighting, and even the railways. But the fact of the matter is that looking at the night sky is difficult anywhere in England these days. I also saw the programme with Professor Brian Cox last night. They could not have taken those photographs of 13 billion light-years away with the kind of pollution we have here.
It is the kind of lighting. No action is being taken on the Government’s guidance—I do not think that local authorities do anything on white light sources or filtering out the blue and ultraviolet light. That can be a problem for some people, and not just people. As the noble Lord, Lord Randall, said, the guidance is only for people and does not take account of the billions of creatures we share this planet with. They are being lost because of light pollution. There is a strong case for putting this amendment in the Bill so that we can get some action.
Viscount Trenchard (Con) [V]
My Lords, the noble Lord, Lord Teverson, and the noble Baroness want to give the Secretary of State powers to set targets separately in respect of “terrestrial biodiversity” and “marine biodiversity”. Actually, the definition of “natural environment”, as contained in Clause 43, makes clear that it includes the marine environment as well as the terrestrial and water environments. I do not support this amendment because it is unnecessary. Furthermore, it appears to exclude the crucially important area of the water environment.
I also do not support Amendment 7, in the name of the noble Baroness, Lady Bennett of Manor Castle. It may well be that efficiency is improved by the increased use of some resources and reduced use of others. This depends on the availability and cost of various resources. The noble Baroness’s amendment is too prescriptive and would constrain the Secretary of State unreasonably in the exercise of his powers.
I welcome Amendment 10, in the name of my noble friend Lord Randall of Uxbridge. It is regrettable that the Bill does not cover light pollution. As new road schemes are progressively introduced across the country, many of them are connected with existing roads by new roundabouts, often on high ground above the towns and villages to which they provide relief. They can be seen for miles. Highways regulations require that roundabouts be lit, unlike gradual road junctions. This is an increasing source of light pollution and has a significant effect on the urbanisation of the countryside. Although I am not sure how to measure the “people’s enjoyment” of the countryside, light pollution has a negative effect.
If my noble friend Lord Blencathra’s amendment were accepted, at least in some places, could the meaning of “nature” not be extended to include the soil and the organisms that live in it? In that case, Amendment 11 would be redundant.
Amendments 12 and 31, in the name of the noble and right reverend Lord, Lord Harries of Pentregarth, require the Secretary of State to set targets for the planting of new trees. He spoke with conviction in support of his amendments, but I believe that the Secretary of State already has the necessary power to set targets for tree planting, and I wonder whether this needs to be made a separate priority area.
Amendment 14, in the name of the noble Baroness, Lady Bennett of Manor Castle, seeks to add “nitrogen management” as a priority area, over which the Secretary of State must set a long-term target. Nitrogen is essential for both plant and animal life, but I am not sure that it is necessary to add another priority area because this is surely already included in Clause 1(3)(c), whether we call this “nature” or “biodiversity”. Furthermore, excessive use of nitrogen in fertilisers has already been reduced by more than a third since the mid-1980s.
Amendment 32, in the name of the noble Baroness, Lady Jones of Moulsecoomb, is terrifying, and I hope that my noble friend does not accept it. It seeks to reduce the amount of meat and dairy products that we consume by 20%. I know that the Committee on Climate Change has recommended that we reduce our livestock production, but I am very sceptical that this would have the slightest impact on the amount of carbon dioxide in the atmosphere. Certainly, growing more trees will help, but 65% of British land is suitable only for livestock grazing, and I believe British farmers will find that the growing middle classes in Asia will steadily recognise the quality of our meat products, opening up new and profitable markets for them.
We have grazed cattle and sheep in this country for thousands of years, and the state should not be in the business of telling us to eat less meat, whether through new draconian measures or the application of taxes that would reduce the profitability of our farms, driving farmers off the land and reducing the proportion of our food that is home-produced.
Lord Young of Norwood Green (Lab) [V]
My Lords, I congratulate the noble Lord, Lord Teverson, on his amendment, which I support. The marine environment, onshore and offshore, is vitally important, as we on the environmental sub-committee found on many occasions when we were discussing fisheries. Perhaps this is another case of not knowing what we have got until it is gone. There is a danger of over-fishing the environment, and acting in ways that damage the seabed, and that can have profound effects. The noble Lord, Lord Teverson, is right to stress the importance of this issue.
Before I go on to the light pollution amendment, which I have put my name to, I want to emphasise something that the noble Viscount, Lord Trenchard, said. I am puzzled why the noble Baroness, Lady Jones of Moulsecoomb, wants to worry about people eating meat: if ever there was a cause that young people seem to embrace, it is vegetarianism—and indeed veganism. You do not need a government diktat to tell them to do that. Last night, we ate steak at our local pub; today, we had one of Lady Young’s delicious vegetable bakes. You do not need the state to interfere in this—there is a balance to be struck.
I am at one with the points made by the noble Baroness, Lady McIntosh, and the noble Viscount, Lord Trenchard, about meat and dairy farming. Farming is changing fundamentally. As the noble Viscount, Lord Trenchard, reminded us, the use of fertiliser has dropped dramatically, and the way it is applied is much more scientific.
I noticed that there was a sort of aside by the noble Baroness, Lady Bennett, when she referred to mining. Yes, there will be mining, because we want lithium for batteries for electric cars—unless she is proposing that that is not a way forward. There are those who say that we should not be using cars at all, but you would have a job to convince the British public of that. Even there, science and technology are likely to come to our aid: a different type of battery, possibly using sulphur, may well be available in the future.
I think the advice of my noble friend Lord Rooker and the noble Lord, Lord Taylor of Holbeach, was right: we want an Environment Bill, and there is no such thing as a perfect Bill. I remember trying to deal with a Bill on the digital economy—a small Bill that was swamped by about 700 amendments. We have to strike a balance on this Bill.
On the effect of light pollution, I am at one with the noble Lords, Lord Randall and Lord Taylor, and others. There are so many benefits that we can achieve through controlling light pollution. As the noble Lord, Lord Randall, said, lighting has come along in leaps and bounds, and local authorities are quite capable of doing a lot more to control the use of lighting. Although we are now using LEDs, I notice that they still shine just as brightly right through the night, when they clearly do not need to.
I remember driving along a country lane just outside Swanage, with my two young children. It was completely dark. We looked up at the sky and there, before their amazed eyes, was the Milky Way, stretched out before them in a way they had never seen in town. When I said, “Look, there is a shooting star”, I was met first with derision but was eventually proved right. We are probably never going to be able to return to seeing the Milky Way in London, but, as the noble Lord, Lord Randall, and others have brought to the Committee’s attention, we could make a profound difference on pollinators, on the kind of environment that we live in, and on energy saving. I am keen on both those amendments, and look forward to the Minister’s response.
Lord Hope of Craighead (CB) [V]
My Lords, I wish principally to support Amendments 12 and 31, in the name of my noble and right reverend friend Lord Harries of Pentregarth, which are about trees. Before I say something about those, I will say a few words about Amendment 6, in the name of the noble Lord, Lord Teverson, and Amendment 10, about light pollution.
I am sure that the noble Lord, Lord Teverson, is right to draw attention in Amendment 6 to the maritime or marine environment, but the terrestrial and the marine aspects are interconnected and, as the noble Viscount, Lord Trenchard, pointed out, there is no need for the amendment. You have only to go to the Isle of May—not very far from Edinburgh, where I am—at the mouth of the Firth of Forth, which is inhabited by very large numbers of puffins, to see the way in which that interconnection works. At this time of year, puffins come ashore in their thousands, with their beaks full of sand eels, to feed their young in burrows all round the island. These sand eels live in the sea, and they live on other things in the sea. The maritime environment is their environment, but they are caught by feeding seabirds, which of course spend much of their time at sea as well. The interconnection is obvious in places such as that, and I do not see the need for a distinction. But we do need the Minister to confirm that, when he talks about biodiversity, he means both maritime and terrestrial.
As for light pollution, I agree with the noble Lord, Lord Taylor of Holbeach, that the summer solstice is a curious time of the year to be talking about it. In my cottage at Craighead in east Perthshire, you can read a newspaper outside at 11 pm. Even at midnight, almost half the sky is still light. We live up in the hills where there is no light pollution at all, and enjoy all the benefits and wonders of the sky where that is true. It is not entirely free of light pollution, because there is a wind farm not far from us which, until recently, had a bright red, winking light warning passing aircraft; it flashed 60 times a minute, right in front of our cottage. We were able to stop it, because there is a condition that required that element of light pollution to be removed by moving to ultraviolet light. This is just a small example of how things can be done by planners who put in the appropriate planning permissions for developments. There is a huge amount of work to do here and, as a bird-watcher, I support very much what the noble Lord, Lord Randall, said about the huge damage done to birds by light pollution, and the enormous loss of life that results to other animals, such as bats, as well.
Baroness Young of Old Scone (Lab) [V]
My Lords, I declare my interests as chairman of the Woodland Trust—I thank the noble and learned Lord, Lord Hope, for his positive remarks about that organisation—and as a commissioner on the Commission on Food, Farming and the Countryside.
I will speak to Amendments 11, 12 and 31. Amendment 11 in the names of the noble Baroness, Lady Bennett of Manor Castle, and my noble friend Lord Whitty indicates that soil quality is a priority area for environmental improvement; that is absolutely the case. Soil has for many years been the poor relation as regards environmental media and priorities yet, as the noble Lord, Lord Curry, outlined so clearly, we are now recognising the importance of our soils and their complex ecosystems for a whole variety of things, such as climate change, agriculture, biodiversity, and reducing runoff and erosion to maintain water quality. So, it would be highly appropriate for soil to be highlighted as a priority; I support that amendment.
On Amendment 12 in the name of the noble and right reverend Lord, Lord Harries, as chairman of the Woodland Trust, I would commend tree planting, of course, but not just planting. If we are to reverse biodiversity decline and tackle climate change, we need to ensure that existing woodlands are effectively managed to maximise their impact on both of those challenges. We know that existing woodland is for the most part not in good condition, particularly native broadleaf woodland. We also need to ensure that our much-threatened ancient woodlands are properly protected so that, after 300 or 400 years of existence, they can continue their vital task of sequestering carbon and fostering biodiversity for another 100 years or more. We also need to see more natural regeneration of trees. But let us be in no doubt: trees are an important priority and this amendment should be supported. If any noble Lords are in any doubt or need further information, I commend to you the State of the UK’s Woods and Trees, recently published by the Woodland Trust.
Amendment 31, also in the name of the noble and right reverend Lord, Lord Harries, introduces a new target on tree health. I very much support the spirit of that amendment. I am looking out of my study window on a dying 80-foot ash tree, which is protected by a tree protection order but not from tree disease. I am not sure that targets are the right way forward for tree disease, but I support the need for an annual report from government on action on tree health. Because of the importance of this issue, I have laid Amendment 259, which is about the “how” of biosecurity, and preventing importation of tree disease can help. I do hope that I will have the support of the noble and right reverend Lord when we reach that amendment.
The Duke of Wellington (CB) [V]
My Lords, I had put myself down to speak in this group to support the noble and right reverend Lord, Lord Harries of Pentregarth, little realising that I would be following the chairman of the Woodland Trust, therefore making it difficult to add much in support of these two amendments. I had thought that the Government’s policy on planting more trees was already in a piece of legislation, but if it is not, it seems sensible to include it as a priority area, and, as the noble and right reverend Lord, Lord Harries, has also tabled, to strengthen the regulations on tree health. As a number of noble Lords have mentioned, we have in recent years been blighted by diseases in elm, ash, chestnut and larch, to mention just some of the trees which we have lost. Research into these disease-resistant varieties must also be a sensible suggestion. I should be very grateful to hear from the Minister why tree planting should not be a priority area.
I also wish to support introducing for discussion the question of light pollution for inclusion in the Bill as a priority. This amendment has been tabled by the noble Lord, Lord Randall, who is clearly knowledgeable on this subject, as on so many others. He is completely right about how difficult it is nowadays to have a good view of the night sky. Again, on this I should be most interested to hear the Government’s response to what appears to be a very sensible amendment. I also understand why a number of noble Lords have spoken about soil quality, which is clearly a fundamental element of all aspects of the environment and of biodiversity, and should surely be considered as another priority area.
I am sorry that like the noble Lord, Lord Curry, I am unable to support Amendment 32, tabled by the noble Baroness, Lady Jones of Moulsecoomb. I should hear declare my agricultural interests. As others have said, and as the noble Baroness acknowledges, there is a huge difference between livestock fed on grass pastures in the United Kingdom and meat produced in feed lots amounting to thousands of animals on each lot, fed largely on concentrates, in North and South America, and in Australasia.
In this very diverse group of amendments, there are so many issues to which I look forward to hearing the Government’s reaction, but I also understand the excellent point made by the noble Lord, Lord Rooker, that if there is too much in the Bill, there is less likelihood of action.
The Earl of Devon (CB)
My Lords, it is a pleasure to follow the noble Duke, the Duke of Wellington, and so many other environmentally passionate Peers, and to talk to this important group of amendments to add further priority areas to the Bill’s environmental targets.
There is of course the danger that focus on individual priority areas relegates other areas to non-priority status. Given that all of our natural environment is in crisis, I should be wary of picking winners and losers at a singular point in time. I should appreciate it if the Minister, when responding to this group, could explain why these four priority areas were being enshrined in this legislation to the exclusion of any others, and what mechanism might be available to amend this list in future, should priorities necessarily change in coming decades. A priority in 2021 may not be a priority in 2041, and it would not help the environment if we were held to antiquated decades-old priorities.
On Amendment 6, so ably introduced by the noble Lord, Lord Teverson, while I agree on the importance of the marine environment, I remain unconvinced as to the benefits of dividing between terrestrial and marine biodiversity targets. This would set a false division, particularly for those of us who live and work in the intertidal habitats which are a key element of our national biodiversity. Such intertidal spaces, with their vast carbon sequestration potential and particularly productive biodiversity, would be covered either by both targets, which may be considered unfair double counting, or by neither, which would be much worse.
Here I should declare my interests as listed in the register, a number of which are pertinent to this debate and to all my further contributions. In particular, I am a farmer and landowner in Devon, with interests in farmland, foreshore and heritage landscapes, to which public access is key. I am also a lawyer at a firm with natural capital and agricultural practices which represents farmers, land managers, developers and financiers of ecosystem services.
I have some sympathy with Amendment 7 in the name of noble Baroness, Lady Bennett, but it sets a false target which I fear we would be doomed to miss. With our population inevitably growing over the coming decades, we will undoubtedly use more of certain resources and we cannot limit ourselves to an absolute reduction in all resource use, but it is right that we commit to an absolute reduction in waste and an absolute increase in resource efficiency.
I do not agree that either light pollution or nitrogen management deserves separate priority status, as proposed in Amendments 10 and 14. Both are undoubtedly important issues, but they are merely two among many environmental concerns that should not be separately elevated.
Conversely, as to Amendment 11, I believe that soil quality or soil health warrants its own independent priority status, as soil quality is key to the health of our landscape, the provision of healthy and nutritious food, the management and retention of water and the increase in biodiversity, as well as the sequestration of carbon. As the noble Baroness, Lady Ritchie, said, soil is the “mineral substrate” on which our biodiversity has grown. The absence of soil alongside air and water among our priority categories is a gaping omission. As the Bill is drafted, focus will fall predominantly on air and water, and our soil will continue to suffer. It is also noteworthy that soil is the most complex and least understood of our natural habitats. Academics continue to struggle in evaluating the natural capital value of soil, as it is much harder to measure than air or water. By omitting it from Clause 1(3), we are in danger of giving it a permanently second-tier status.
As to trees, which the noble and right reverend Lord, Lord Harries, seeks to add as both a priority area and a specific environmental target, I am again very sympathetic, but I do not believe they warrant the separate attention that soil so clearly deserves. We already have a national tree strategy and ambitious planting targets within the 25-year environment plan, and trees should continue to get considerable attention with or without these amendments. However, I note that Amendment 12 focuses on the planting of new trees, whereas of more importance, and as set out in Amendment 31, is the management of our existing tree cover, much of which is in poor condition and badly managed. We need to avoid focusing solely on new tree planting targets and should instead give equal if not more attention to thinning existing plantations and managing pests and diseases to ensure that the trees we have are as healthy as possible.
Finally, I have to resist the efforts of the noble Baroness, Lady Jones, to regulate by statute our consumption of meat and dairy. What her amendment does not and cannot do is address the complex issues around meat and dairy farming which are key to the maintenance of our ancient and much-valued pastures. As a Devon farmer, I am bound to resist such regulations, but I encourage the Government to do all they can to promote the UK’s grass-fed meat and dairy as a vastly better form of protein than stall-raised, cereal-fed alternatives from overseas. While I agree that we need to eat less meat and dairy, it needs to be achieved by education and dietary and well-being awareness, and what we do eat needs to be better and locally produced.
Lord Wigley (PC) [V]
My Lords, I am grateful for the opportunity to speak to Amendment 31 standing in the name of the noble and right reverend Lord, Lord Harries of Pentregarth. In doing so, I also give my support to the lead amendment in this group, Amendment 6, moved by the noble Lord, Lord Teverson. I hope that the Minister can accept Amendment 6 and incorporate it into the Bill. I indeed agree with many of the comments made by the noble Earl, Lord Devon, a moment ago, particularly with regard to trees.
Amendment 31 addresses a tragic contemporary issue: tree disease. I remember, last year hearing the noble and right reverend Lord, Lord Harries, speak extremely movingly about the issue of ash dieback, which has been acutely evident in parts of Wales, particularly in Ceredigion, as he knows better than anyone. I should, perhaps, declare an interest: on our fields we had to fell four ash trees last November, because ash dieback was already devastating them. Our tree feller told me then that I probably face several more trees having to be felled this autumn. It is heart-breaking that, on our roadsides in Wales and along our cycle tracks, we see trees with orange marks designating that they have this awful condition and are doomed to be felled. I support this amendment. We are in the middle of a war against tree disease and, in any such battle, we must be adequately equipped with the facts.
In many ways, it is surprising that the considerations covered by this amendment are not already part of government strategy. If they are, perhaps the Minister could put me right. They certainly should be. I hope that he can provide us with assurances that all these provisions are really covered in legislation or, if they are not, that the Government will seriously consider each of the various proposals included in this amendment. If they cannot accept the wording, perhaps they will bring forward at Report their own amendment that can deal effectively with these issues.
Finally, again, can the Minister give an assurance that there is cross-border co-operation with the Welsh Government on this issue, as tree infections are no respecters of political borders? I urge support therefore for both Amendments 6 and 31.
Lord Carrington (CB) [V]
My Lords, I would like to speak in favour of Amendment 10 in the names of the noble Lords, Lord Randall and Lord Taylor. The effect of light pollution is intrinsically part of the existing four priority areas for which environmental targets will be set, but it is not mentioned in any of the actions identified in the Bill to remedy or mitigate the underlying issues raised by these targets. Hence a separate target to reduce levels of light pollution is necessary and will not be difficult to implement or measure.
I declare my interest, being a vice-chair of the APPG on Dark Skies, like the noble Lord, Lord Taylor of Holbeach, and as the grandson of a knighted astronomer. Light pollution is relevant to human health, nature and wildlife, energy consumption and thereby greenhouse gas emissions. First, on health, epidemiological studies conducted in the United States have identified poorer sleep and anxiety disorders emanating from outdoor illumination, affected physical and mental health and well-being. Constant light is a well-known method of torture. Secondly, there is the effect on nature and wildlife. A review from Nature magazine in 2018 concluded that
“early results suggest that light at night is exerting pervasive, long-term stress on ecosystems, from coasts to farmland”
and
“waterways, many of which are already suffering from other, more well-known forms of pollution.”
The article then mentions a UK study on the timing of bud opening in trees, also raised by the noble Lord, Lord Randall. The study demonstrated a rate of acceleration “similar to that” now “predicted for … global warming”.
A Defra report in 2019 showed a sharp decline in insect numbers, with a 31% drop in insect pollinators between 1980 and 2016, and a 60% decline in the 2,890 priority species from 1970 to 2016. The State of Nature 2019 report by the National Biodiversity Network identified urban areas as particularly affected. In 2017, a paper from Nature highlighted the connection between light pollution and pollinating insect species, suggesting a threat to world food production.
Thirdly, there is the additional and unnecessary fuel consumption associated with aggressive illumination and the extra burden on greenhouse gas emissions. The reason for illumination that is so often given is that of safety. A study by the London School of Hygiene & Tropical Medicine found that crime and road collisions do not increase in dark or dimmed areas.
Measuring light pollution is simple, as mentioned by the noble Lord, Lord Randall, with the use of a system produced by CPRE that can form the basis of monitoring change. Let us use this opportunity to acknowledge and deal with this important area, as encouraged by the Government’s draft environmental principles, encompassing both precaution and prevention. Measures to remedy the problems are not rocket science but clearly achievable through the strengthening of the planning framework, the reform of planning permission processes, the strengthening of statutory nuisance provisions, education, and technological developments. We can also learn from examples of measures taken in countries such as France and Germany.
Surely the amendment has a necessary and worthy place in this important Bill.
Baroness Bakewell of Hardington Mandeville (LD)
My Lords, I shall speak in favour of Amendment 10, to which I have added my name, and I support other amendments in this group. I declare my interest, as others have done, as a member of the APPG for Dark Skies. The noble Lord, Lord Randall, has made the case for his amendment very eloquently, as has the noble Lord, Lord Taylor of Holbeach.
When I was a child—this was a while ago—I was brought up in Bristol. Like all children, I was fascinated by the moon, which shone in the sky. Man had not yet ventured to the moon, which I felt was a distant, magical planet. Although we lived in a city, it was possible to see the night sky. Streetlights were switched off before midnight, probably at about 11 pm. There was much less human activity at night in those days. I was therefore able to concoct wonderful stories in my imagination about the man in the moon and the shadows on the moon’s surface.
Roll forward to today, and the map of the country often shown on news bulletins is of a land illuminated by streetlights that are not turned off. The areas where darkness prevails are few and far between. It is impossible for a child living in an urban area to investigate the sky and see the stars twinkling in the light reflected from the moon.
To move from the emotional view of light pollution to the detail of it, it is impacting our species and ecosystems, and increased artificial light at night is directly linked to negative impacts on energy consumption, human health and wildlife such as bats, insects and plants, as others have referred to. Ten years ago I could walk down the lane at 10 pm and bats would be swooping around overhead, consuming gnats and other flying insects. Today it is very rare to see any bats overhead at night. There is a wealth of information about the effect on birds and insects of artificial light, and others have made powerful speeches about the impact of light pollution on night pollinators and on feeding cycles.
My neighbour has a telescope in their upstairs window to see the stars. How very lucky we are to live in a dark area—the only light pollution that we suffer is from Advent to Epiphany, when the church is illuminated by floodlights—but over 90% of the UK population are estimated to be unable to see the Milky Way from where they live. To my mind, that is a severe limit on their ability to observe and wonder at the world that we live in, as well as having a devastating effect on the ecosystems and biodiversity of the nocturnal environment. The night-time economy is often referred to as a good thing. It is time that the animal, insect and plant nocturnal economy was given protection to ensure its survival. I fully support the amendment from the noble Lord, Lord Randall.
My noble friend Lord Teverson spoke eloquently about the long-term biodiversity target, both onshore and offshore. I share his comments and his concerns about our territorial seas, the marine ecosystems and seagrass.
The noble Baroness, Lady Bennett of Manor Castle, urged us to reduce consumption of resources rather than improve efficiency. To make a difference, both will need to be high on the Minister’s agenda.
Tree planting, which we have debated many times, is essential to carbon sequestration, habitat protection and improving flood alleviation. Protecting our native trees from diseases imported from other countries and those carried on the wind is essential to maintain a steady increase in the number of trees. The noble and right reverend Lord, Lord Harris of Pentregarth, raised tree planting.
The amendment from the noble Baroness, Lady Bennett of Manor Castle, on soil quality is really important; the subject was raised on Second Reading. The noble Earl, Lord Caithness, has also supported this. If we do not get the soil quality right, we will not move forward.
We are all aware of the contribution that cattle make to agricultural emissions—currently accounting for 60%. The Committee on Climate Change recommends that the Government implement a 20% reduction in the consumption of meat and dairy; most speakers referred to that. Can the Minister say whether the Government are preparing a strategy to ensure that this 20% reduction is implemented? Perhaps this will be through raising awareness with the public of the effect on the environment of meat and dairy consumption.
This has been an important and fascinating group of amendments. I look forward to the Minister’s response.
Baroness Jones of Whitchurch (Lab)
My Lords, I thank the noble Lord, Lord Teverson, for introducing this important debate and all noble Lords who have contributed to the hugely important spectrum of issues raised this evening.
I thought the noble Lord, Lord Teverson, made a significant point that repairing our marine biodiversity is as important as rebuilding our land-based biodiversity. But it is true that, as it stands, the Bill ignores the marine environment completely. I agree that that needs to be addressed.
Sadly, our seas and oceans are increasingly polluted. Plastics and microplastics, chemical fertiliser, run-offs from agriculture and, as we debated earlier, sewage discharges, are all damaging the quality of our seas. We are killing off our coral, creating ocean dead zones, and allowing excess algae blooms to suck the oxygen out of our water. The effects of this are damaging to both marine and human life, but, as the noble Lord, Lord Teverson, argued, if we act now, reverse those trends and encourage new growths of seaweeds and seagrasses, the oceans could be harnessed as a positive source of carbon sequestration in our climate change strategy. There is everything to fight for.
In his Second Reading response, the Minister mentioned the blue belt around our overseas territories. Of course this is welcome, as is the growth of marine protected areas around the UK coastline, but there is so much more we should be doing. The current marine protected areas still allow damaging seabed extraction and fishing. I hope the Minister can confirm that the recommendation of his colleague, the noble Lord, Lord Benyon, that there should be a string of highly protected marine areas will be implemented in full.
Sadly, so far, the Government have seemed reluctant to legislate to ensure that any future marine protections are legally enforceable. That is why we would welcome the inclusion of robust marine biodiversity targets in the Bill. Our experience with the Fisheries Bill last year was that the Government were not prepared to put sustainable fishing at the heart of the Bill. As a result, the charity Oceana has reported that, post Brexit, only one-third of the UK’s key fish populations is in a healthy state, with bottom trawlers and supertrawlers causing particularly damaging effects on the marine environment. So, if not now, when will we see action on these issues?
Lord Goldsmith of Richmond Park (Con)
I thank noble Lords for their contributions, and I would like to clarify that the Bill gives us the power to set legally-binding long-term targets on any aspect of the natural environment, including the marine environment, soils and waste reduction. In further answer to the noble Earl, Lord Devon, we are not limiting our targets to four, nor are we binding the hands of future Governments. Developing targets is an iterative process where we should seek continuous improvements to strengthen our environmental outcomes. The Government will periodically review targets and can set more, especially if that is what is required to deliver significant improvement to the natural environment in England.
First, I thank the noble Lord, Lord Teverson, for tabling Amendment 6. I reassure the noble Lord and others who have spoken on this issue that the initial round of targets is likely to include a target that covers the marine environment. I am pleased to confirm that we are collating evidence with a view to developing a new target on the condition of marine protected areas right now. We are aware that any marine-related target will need to complement and avoid duplication with the existing suite of targets set at UK level under the UK marine strategy. However, we do not want to prejudge where this evidence-based process will take us.
I want to comment on a number of points raised by noble Lords regarding marine targets and will touch on the “significant improvement test” for targets covered in Clause 6. A government amendment made in the other place clarified that both the terrestrial and marine aspects of England’s natural environment will be considered when conducting the significant improvement test. That has always been the ambition and there has never been any doubt about it, but that amendment removes whatever doubt might still linger. I hope that goes some way towards reassuring the noble Lord, Lord Young, the noble and learned Lord, Lord Hope, and the noble Baroness, Lady Jones.
The noble Baroness, Lady Jones, talked about the importance of our domestic marine environment, highlighting the great story that is our blue belt programme around our overseas territories. She is right of course that we need to do much more to protect our domestic marine environment. We are at a stage now where we have 372 marine protected areas, that is about 38% of UK waters, but the focus now, having designated all those marine protected areas, has to be on ramping up protection. There is no doubt about that. I am pleased that the Government have accepted the central conclusions and recommendations of the Benyon Review Into Highly Protected Marine Areas and I believe the first designations are expected early next year. If that is wrong, I will be in touch, but I think it is early next year.
With regards to Amendment 7, tabled by the noble Baroness, Lady Bennett of Manor Castle, our current target priority area is
“resource efficiency and waste reduction.”
The broader notion of “resource efficiency” in the Bill’s clauses, rather than “reduction of resource use” in the noble Baroness’s amendment, allows us to explore a target on resource productivity, which measures the economic value per unit of raw material use. This builds on the Government’s previous commitments to double resource productivity by 2050. Setting a target of resource productivity would allow us to reduce resource use, while helping to build the economy’s resilience to price volatility, increase resource security and enhance our international competitiveness. The concern is that the noble Baroness’s amendment would restrict our target development in this area.
Moving on, I agree very strongly with the noble Baroness, Lady Bennett, that soil health is important. It is more than important, it is almost a pre-requisite for our survival, a point made by my noble friend Lord Caithness and the noble Lord, Lord Curry. This is why the Government are working collaboratively with technical experts to identify appropriate soil health metrics that can represent diverse functions and ecosystem services provided by soils across different land-use types. As she explained so well in her speech, it is a complicated business and an area where our understanding is perhaps not as complete as it should be.
These metrics will inform the development of the healthy soils indicator, as set out in the 25-year environment plan. We are also developing an evidence base, which could inform a long-term soil target and our understanding of soil health. Given our evidence-based approach to developing targets, I am sure that the noble Baroness appreciates the need to gather more data on soil health before pressing on and setting the actual target.
On Amendment 14 in the name of the noble Baroness, Lady Bennett, Defra modelling indicates that the action planned in the Clean Air Strategy to achieve existing legally binding targets will reduce the
“damaging deposition of reactive forms of nitrogen by 17% over … protected priority sensitive habitats by 2030”.
However, I scribbled my notes on that percentage in haste, and my writing is so bad that I might have got the percentage wrong. If I have, again, I will be in touch, but I think I can just about see what I have written here.
Moving on to the amendments tabled by the noble and right reverend Lord, Lord Harries, I agree that increasing tree cover and improving tree health are, of course, important areas that require action, as many noble Lords have echoed. As noted in the policy paper on environmental targets published in August last year, the Government are considering a statutory target for trees in England. We will consult on a long-term tree target to help meet the Government’s commitments on climate change and biodiversity as part of a broader public consultation on targets expected early next year, based on recommendations of the Climate Change Committee. Again, we should not prejudge where this evidence-based process will take us. I also note that the Government have already committed, potentially as a first step, to at least 7,000 hectares per year in England by 2025, as announced in the recently published England Trees Action Plan, and have announced a Nature for Climate Fund of £640 million to increase planting in England.
I note the comments by the noble Baroness, Lady Bennett, on the potential role of natural regeneration over and above formal planting. I strongly agree with her there again. We have designed our incentives package in such a way that people can present plans for natural regeneration. If they are appropriate plans, the Government will provide the funding, just as they would in relation to other forms of tree planting. I hope we will see a significant uptake in the amount of land that is allowed to naturally regenerate.
I hope it reassures the noble and right reverend Lord, Lord Harries, as well as the noble Lord, Lord Wigley, to know that the Tree Health Resilience Strategy—published in 2018—outlined plans to protect England’s tree population from pest and disease threats. Tree health is continually monitored under Forest Research’s national forest inventory, providing accurate information about the condition of our forests and woodlands. The noble Lord, Lord Wigley, asked if we co-operated with Wales. The answer is that we absolutely do so very regularly on an issue which, as he rightly says, does not respect borders. Our evidence suggests that the right approach is to continue to use these measures to drive positive results for tree health.
Before I move off this issue, the noble Earl, Lord Devon, asked that we do not merely focus on new trees. He is right; the amount of existing woodland that is managed is far lower than it ought to be. I encourage him to look again at the England Trees Action Plan because there is a big emphasis throughout the plan on incentives for the better management of existing woodlands.
Moving on to the amendment tabled by my noble friend Lord Randall of Uxbridge, based on the currently available evidence, artificial light is not identified as one of the main drivers of species decline, though I very much share his concerns on this issue. I agree, of course, that there is an urgent need for increased and further study in this area. The Government continue to take a broad approach to conserving insect pollinators, including in relation to artificial light. This includes measures such as controls in the planning system and the statutory nuisance regime.
As the designation of several of England’s national parks as International Dark Sky Reserves demonstrates, we are working to protect exceptional nocturnal environments, which bring huge natural, educational and cultural enjoyment to members of the public, a point made extremely powerfully by the noble Baroness, Lady Bakewell. I hope this goes some way to reassuring my noble friends Lord Taylor and Lord Trenchard, and the noble Lords, Lord Rooker and Lord Carrington, as well as the noble Baroness, Lady Bakewell, that we take this issue seriously.
The Deputy Chairman of Committees (Lord McNicol of West Kilbride) (Lab)
I have received one request to speak after the Minister. I call the noble Baroness, Lady Finlay of Llandaff.
Baroness Finlay of Llandaff (CB) [V]
My Lords, I would be most grateful if the Minister could tell us what financial assessment has been made of the short-term benefit from these amendments, particularly the one on light pollution. There is a high cost to the NHS of the human health conditions that are aggravated by excessive light pollution exposure, especially in mental health disorders, and probably obesity and some cancers. There is also the financial benefit of decreasing the contamination of our marine waters, as the noble Baroness, Lady Jones of Whitchurch, highlighted. That contamination seriously damages our seafood production. The financial benefit in the short term could therefore go hand in hand with a longer-term benefit from both these amendments of meeting our other targets.
Lord Goldsmith of Richmond Park (Con)
I thank the noble Baroness for her question. On the first point about the cost assessments in relation to light pollution, I do not know whether that data exists. If it does, I have not seen it but I will ask the department whether it exists. If it does, I will make that information available by putting it in the Library—but I am not convinced that it does. On the broader point, in a sense this goes to the heart of the Bill. There are enormous cost savings in doing right by the environment. We know that if we do not use chemicals on our farms and allow them to wash into rivers, we will not have to spend money cleaning up our rivers downstream. If we manage land in a way that slows down the flow of water, we will need to spend less on concrete flood defences further downstream. It goes on and on. Perhaps the biggest saving of all relates, as the noble Baroness says, to human health. It is not an exact science; there is no data that we can point to and say, “This is exactly what we’re going to save by doing this or that”. But there is no doubt that if we take care of our environment in a way that, frankly, we have not for many decades, there will be an enormous saving to society in many different respects as a consequence.
Lord Teverson (LD)
My Lords, I thank all noble Lords who have spoken favourably on Amendment 6 about the maritime side, particularly my Green Party colleagues who have added their names to it. Having referred, as has the Minister, to Clause 6, I have ploughed my way through 233 sections of the Marine and Coastal Access Act 2009 and am delighted to confirm that the Bill does define “England” as including not just territorial seas but the EEZ. That is certainly how I read it. It is an improvement, and I welcome it.
I take the point made by the noble and learned Lord, Lord Hope, that the marine and territorial ecosystems and environments are completely interconnected. Absolutely they are, but that is not the point. The point is that, if there is one target it will almost certainly be terrestrial and the whole of marine will be left out, or the other way around: we need them both. I take the Minister’s assurance that there will probably be more than four. I hope there will be something like the Ocean Health Index—I am sure he is aware of it—which is being developed internationally, as well as nationally. I welcome the fact, as the noble Baroness, Lady Jones of Whitchurch, said, that the recommendations from the noble Lord, Lord Benyon, on highly protected marine areas will come forward. I have an amendment about that later.
I am optimistic that the Government have included in the Bill the marine side of things. This can often be left out, but I know that that is not true of the Minister. On that basis, I beg leave to withdraw the amendment.
Baroness Bloomfield of Hinton Waldrist (Con)
Could I suggest a five-minute adjournment while we just look for the Minister?
The Deputy Chairman of Committees (Baroness Watkins of Tavistock) (CB)
We now come to the group beginning with Amendment 8. Anyone wishing to press this or anything else in this group to a Division must make that clear in the debate.
Amendment 8
“(e) public access to and enjoyment of the natural environment.”Member’s explanatory statement
This amendment is designed to require, rather than enable, the Government to set legally binding, long-term targets to increase public access to, and enjoyment of, the natural environment.
Baroness Scott of Needham Market (LD) [V]
One of the themes that has run through the debates that we have had so far today is the extent to which the public understand the provisions in these Bills and, more importantly, the extent to which they buy in to the sorts of things that we are trying to achieve with this legislation. It seems to me that the best way to make sure that people support what we are trying to do is to ensure that they have access to nature in all of its different forms, because it is very difficult to get public support for something that is entirely theoretical.
It seems to me that there is an opportunity in the Bill to think about creating a new national framework that relates to people’s access to, enjoyment of and understanding of the natural world. From all sorts of studies that have been carried out, including by government, we know just how important access to open spaces and nature is for people’s physical and mental well-being. This has been particularly important over the last year.
As I say, we also need to understand that people need to have access to nature if they are going to support what we are trying to do. They should not feel shut out or that the countryside or nature are somehow for someone else. I am not just talking about the countryside or public rights of way; I am really talking about access to nature in all its forms, whether it is our magnificent urban parks, the smaller spaces that pop up sometimes, or places such as canal tow-paths. All of these provide important opportunities for people to access the natural world. This is not just about walkers, although it is mainly walkers: there are also cyclists, bird-watchers, kayakers, wild swimmers and all sorts of other people who benefit and wish to get access. But we know that that access is not equally distributed. We know that access is limited for people with disabilities, for example. We know that, in a lot of deprived, particularly urban, environments, access is limited, and that this is particularly a problem among certain ethnic groups.
We are still debating Clause 1, and we are talking about creating a framework for target-setting. But while subsection (3) creates areas where the Government must set targets, the whole question of access and public enjoyment is in subsection (1), which sets out areas where targets “may” be set. Similarly, when we get to the EIPs, in Clause 7, with all of its monitoring, planning and reporting requirements, enjoyment of the countryside is enabled rather than required.
So these amendments would require the Government to put more focus on the question of access and the public enjoyment of nature. However, there are real benefits to the Government from thinking about this approach, because it would enable them to start pulling together a framework that would link the work they are doing on the coastal path and the refreshed Countryside Code with the system of new payments for farmers, with its emphasis on public goods, as well as the planning Bill when it emerges and the green infrastructure provision—all alongside the health and well-being agenda, and in particular social prescribing. So I hope that the Government will at least consider putting public access and enjoyment on a slightly more secure footing and I beg to move.
Lord Addington (LD)
My Lords, it does not seem that long ago that we discussed these types of issues on the Agriculture Bill. My noble friend is a skilled and subtle operator in Parliament and did not dive in on the issue of footpaths and their creation. Footpaths and access to the countryside inspire in people either a Messianic gleam—“This is where you should go”—or a grating of teeth because you hate the person who is planning the path. The advantage of this approach is that you are looking at it as a whole. If you are trying to make sure that people have some access to the countryside and put it in a plan, you stand a chance, albeit a slim one, of getting rid of these quite silly and childish arguments. We should have access.
The comments of my noble friend bring this down to the fact that we should have access. There is a benefit to you and a way out, and this cuts into other agendas. I will not expand on this for long, because I will have another opportunity later in Committee, but the fact is that, if you want a fitter and healthier society, you should give people some access. Opportunities for gentle exercise are there for those of a more advanced age, but—why not?—if you want to run up that hill, off you go. We need to make sure that people have opportunities to use and enjoy the countryside. That will enhance people’s buy-in, because they will see what is there. There is also a chance that they will see the problems that other people have in making sure that the countryside works to deliver a good environment and to produce food; it is all there.
I hope that when the Minister comes to answer he will make sure that he embraces the idea that things come together. We all know that Ministers are very keen on working across government so long as their department is dominant and their scheme is the one having the final say. I have seen dozens of documents that state, “Yes, the other departments should really do what we say, but we don’t impose upon them to actually do it”. The Government should get a plan together that makes people co-operate. I would be interested—maybe I will get a chance to expand on this later—to see how the various bits of government will communicate, what is required here, and what they can expect.
Also, when the Government encourage people to enjoy the environment, they should take into account little things, such as whether there is a bus service to walking facilities or whether everybody has to pile into a car, go down small roads and clog up the local infrastructure. Things such as this matter. You have to get in there and make sure that there is some form of communication. This is a good idea.
I also cannot resist saying that we have a bit of a parliamentary evolution; it is now “may” and “must”, as opposed to “may” and “shall”. Maybe that is a step forward—or are we just going to a new cliché? I do not know. But if we are moving things into these areas, it will be interesting to see what the Government are going to say and what the priorities are, because good intentions have far too often been the paving stones of the road to hell.
Lord Lucas (Con) [V]
My Lords, my two amendments in this group are Amendments 9 and 57. Amendment 9 adds “connecting people with nature” to the priority areas in Clause 1(3), and Amendment 57 looks at the environmental improvement plans and adds “understanding” and “participation” to “enjoyment” in Clause 7(5).
Clause 1(3) lists the priority areas of air quality, water, biodiversity, resource efficiency and waste reduction. If we are giving priority to all those areas, we will be asking people to make substantial changes to the way they behave: to use less water; to drive less; to drive slower cars; to make fewer demands on the environment and the food they eat; to spend much more time recycling than they do at the moment; and doubtless other changes too. People need a motivation to do that, and the underlying motivation surely has to come from reconnecting people with nature, so that they value it and feel part of it, and it will therefore come into the equation when they are considering whether to go along with and support the changes the Government are proposing. There have been a number of changes recently where those proposing them have not chosen to take people with them. There is growing opposition to low-traffic neighbourhoods, for instance, because people were never involved, consulted or taken with them, and there was no underlying motivation for the improvement of the common environment.
It is silly to make those entirely desirable changes in a way which conjures opposition. Stonewall has done this with trans rights. It does not have to be this way. It means that those proposing change must take long steps to involve people in the reasons for those changes, and the underlying motivations. In the case of subsection (3), the underlying motivation is a love of and connection with nature. We know that people are capable of that because we can see it all around us, in those people who are connected. We know from that, and from research, how much well-being and how much joy and pleasure—at a very low cost to the environment—comes from having a deep love and understanding of nature. It really ought to be the underpinning value in subsection (3), and it ought not—coming to the environmental improvement plans—be just about the enjoyment of nature. This is not a passive thing, like a television show, but something which people need to be part of. I hope that the changes I propose will find favour with the Government. They will make everything else they are trying to do much more effective when it comes to putting it into practice.
The Deputy Chairman of Committees (Baroness Watkins of Tavistock) (CB)
I call the noble Lord, Lord Bradshaw.
The Deputy Chairman of Committees (Baroness Watkins of Tavistock) (CB)
We will return to the noble Lord later. We now move to the noble Baroness, Lady Bennett of Manor Castle, and after her the noble Viscount, Lord Trenchard, as the noble Earl, Lord Caithness, and the noble Lord, Lord Rooker, have withdrawn.
Baroness Bennett of Manor Castle (GP)
I rise to speak to Amendments 8 and 56, in the name of the noble Baroness, Lady Scott of Needham Market, to which I have attached my name, though I will also offer my support to Amendment 9, in the names of the noble Lord, Lord Lucas, and the noble Baroness, Lady Boycott, about connecting people with nature. It is clearly much connected to Amendments 8 and 56.
In introducing this amendment, the noble Baroness, Lady Scott, focused on the need to win support for the Bill by allowing people to access nature. I will also focus on the public health elements, and the fact that we now have increasing awareness—with particular credit to many campaigners over the years, and to many researchers who have helped us understand this—that for the human microbiome, mental health or general well-being, exposure to, involvement in and being in nature is good for people’s health. The noble Baroness, Lady Scott, was talking about access to small spaces. I will talk much more broadly, and I fear that perhaps I will scare the horses a little here, but I want to draw noble Lords’ attention to the degree of the desire for access to nature that exists out there. I put it to your Lordships’ Committee that we very much need to create more space because there is a push for very great openness.
In talking about that, I will refer, and offer my support, to something known as the Right to Roam campaign. It highlights that, in England, 92% of the countryside and 97% of rivers are not accessible to the public. We often talk about “these overcrowded islands” and how difficult it is for people to get to open space. But some parts of these islands are not very crowded at all. The Right to Roam campaign is calling for an extension to the Countryside and Rights of Way Act, so that people will have much broader and easier access to open space, including hundreds of thousands of acres of woodland, meadows, rivers and their banks. The Countryside and Rights of Way Act 2000 gave access to 8% of England. That is mountain, moorland, commons and some downland heath. By the very nature of those spaces, they tend to be very remote. They are not easy to access, particularly with our extraordinary lack of public transport in rural areas—in fact, they are almost totally inaccessible to people who do not have access to a car. There is a real postcode lottery, and a clear inequality and unfairness in our current arrangements.
Viscount Trenchard (Con) [V]
My Lords, I think that farmers and landowners welcome the public’s enjoyment of and responsible access to the countryside. Of course, one of the joys of the countryside is that few people are there. If the whole of our urban population walked in the countryside for all their free time, it would be wrecked. There has been an enormous increase in recent years in public access to the countryside. Unfortunately, public understanding of and respect for nature and the countryside environment have not developed commensurately.
The noble Baroness, Lady Scott of Needham Market, in Amendments 8 and 56, seeks to add targets in respect of public access to and enjoyment of the natural environment. I am not quite sure how public enjoyment of the countryside can be measured. It depends in part on the weather. Ironically, the increased, and in many cases unauthorised, public access which has occurred during the past year or more has been the single greatest cause of damage to the land and to nature. There has been a massive increase in fly-tipping, littering and trespassing. All this has produced unexpected costs for farmers and landowners in the very year in which they suffer the first big cut in the direct payments scheme, and this before they are able to compensate their loss of earnings through enrolment in the new ELM schemes.
Natural England has launched a new countryside code, which should be taught in schools, as the CLA has recommended. Farmers and landowners welcome responsible visitors, but it is vital that the increased numbers enjoying the countryside stick to footpaths. They must also understand the risks around livestock. There are many areas where wildlife habitats need protection and should be left undisturbed. So I would not support an unfettered right to roam, and any measures that the Government take to encourage increased public access must be balanced by measures to improve public understanding of, and respect for, the countryside.
Some people believe that agriculture is the enemy of environmentalism, but surely the opposite is true: sustainable agriculture and the recovery of nature can and must coexist. I very much hope that the ELM schemes under development will encourage that. For these reasons I prefer Amendments 9 and 57 in the name of my noble friend Lord Lucas: they presuppose improved public understanding of the countryside. I am not convinced, however, that the countryside needs, or can easily cope with, any accelerated increase in public access beyond that which increased prosperity and improved work/life balance is in any case already enabling.
Amendment 58 from the noble Lord, Lord Bradshaw, is interesting. Illegal use of motor vehicles on private roads and tracks, whether sealed or unsealed, should be prevented by better enforcement, but I do not think that the state should distinguish between driving on sealed and unsealed tracks. Furthermore, many tracks which were sealed years ago are now indistinguishable from unsealed tracks.
The last amendment in this group is Amendment 284, in the name of the noble Baroness, Lady Bennett of Manor Castle. It is probably otiose, in that the Bill already gives the Secretary of State the powers to set targets for the people’s enjoyment of the natural environment. There are already 140,000 miles of public footpaths and other rights of way in England and Wales, and landowners are busy considering what additional paths they might open to the public. Can the Minister confirm whether ELMS will provide the opportunity for land managers to receive grants for allowing permissive access, similar to those which were offered under countryside stewardship schemes?
The noble Baroness suggested that a review should compare public access rights in England with those in other parts of the United Kingdom. Is she not aware how great the differences are? The population density of England is 279 people per square kilometre, more than four times that of Scotland at 67 people per square kilometre, and nearly twice that of Wales at 151 people per square kilometre. The vast difference between England and Scotland in typical terrain and density suggests that a comparison of access rights would be irrelevant, even if interesting. I regret therefore that I cannot support this amendment either.
The Deputy Chairman of Committees (Baroness Watkins of Tavistock) (CB)
I call the noble Baroness, Lady Quin. She is not here, so I call the noble Lord, Lord Randall of Uxbridge.
Lord Randall of Uxbridge (Con) [V]
My Lords, it is a pleasure to follow my noble friend Lord Trenchard. I agree with nearly everything he says. That may surprise some noble Lords but, as I think he will understand, I have a great connection with nature. At the age of nine, in 1964, I was made a member of the RSPB by my grandfather. I am still a member—in fact I am a member of the council of the RSPB. Wildlife and nature have virtually become my religion, in the sense of being where I find solace.
However, there is a lot that can still be done on access for those people who cannot get it. The noble Baroness, Lady Bennett, mentioned public transport. Certainly I have been active in trying to get access for those with disabilities. I am not sure that it is the Government’s job. A lot of the NGOs, including the RSPB itself and the National Trust, are trying their best but it is difficult. As my noble friend Lord Trenchard said, if all people were responsible, more access for walking and so on would be desirable. However, I am afraid that I have seen too many examples—not just in the last year although it has been accentuated—of people who do not know the countryside code and, quite frankly, do not want to know it. I live not in the country but in suburbia. We have some very pleasant walks around our local lake, Little Britain Lake, but it is constantly ruined by picnics and barbecues and so forth. The litter is appalling and ruins the enjoyment of the many people who go there to just wander around and enjoy nature.
Another point I think relevant is that unfettered access is not necessarily good for the natural environment. Again, as my noble friend Lord Trenchard mentioned, where wildlife is concerned, you have to make sure there are some areas without access. You will see it in in reserves and in other places, certainly at breeding times. Again, responsibility comes into it. I am a dog owner myself but I would not let my dog off the lead if there were ground-nesting birds, whether on the shore or indeed on heath-land. Heath-land is another example where you see many paths cut through, where people have just walked all over it—not to mention the dreaded portable barbecues.
Although I want to make sure that people have that connection to nature, we cannot force people. I think there is a role for education, and I have certainly noticed more people being interested—that perhaps goes back to the first debates we had about biodiversity and nature—but it would be unwise to just have unfettered access. I feel extremely sorry for landowners and farmers, and say that I regard the majority of them as custodians of the natural world; there are one or two exceptions but normally they are not individuals that I have come across. We have to be very careful. The idea of getting more people connected with nature is a good one. I am not sure that it should be in the Bill, but I am prepared to see what comes forward.
Lord Young of Norwood Green (Lab) [V]
My Lords, as I listened to the noble Lord, Lord Randall, I could not make up my mind—I do not think he could either —about exactly what he wanted. I congratulate the noble Baroness, Lady Scott. She has a point about getting public buy-in, the principle of well-being, and people enjoying the countryside. It is a shared environment. I live next door to the Grand Union Canal and across the road I have access to farmland and so on. Yes, there are people who do not respect that environment; that was one thing on which I agreed with the noble Viscount, Lord Trenchard—it is a question of teaching young people the countryside code. However, the basic principle of including a reference to this in the Bill is worth while. I probably agree in this instance with the noble Baroness, Lady Bennett, that the Government ought to consider exploring the principle of the right to roam. It is as though we imagine that, as soon as we open up these places, they will be terrorised by people who have no respect for the environment. The reality is that the vast majority of people have, and appreciate it.
The Deputy Chairman of Committees (Lord McNicol of West Kilbride)
After the noble Earl, Lord Devon, I will call the noble Lord, Lord Bradshaw.
The Earl of Devon (CB)
My Lords, noting my interests previously declared, I am a passionate believer in better access to our natural environment. Access goes hand in hand with education and knowledge of the environment, our landscape and the sources of our food. Without this understanding, landscape management will suffer and our health outcomes will be worse. I am glad that the Minister welcomes us referencing Professor Dasgupta’s review into the economics of biodiversity. Professor Dasgupta clearly highlighted the need to educate the nation about the natural capital we consume and the landscape in which we live. This education is dependent on properly managed access.
I echo the words of the noble Lord, Lord Moynihan, on the first set of amendments, in recommending the health and well-being benefits of being active in and connected to the outdoors. The pandemic has laid bare stark inequalities in people’s access to nature, often along wealth and social divides. Our work for the national plan for sport and recreation highlighted the basic need of many urban communities for better access to green and open space. The Bill needs to do all it can to encourage better managed access to nature and better education about how our predominantly farmed landscape came into being and is now managed.
Observant Lords will note that I am not calling for an increase in access and I do not support Amendment 284 in the name of the noble Baroness, Lady Bennett. Rather, I am talking about better quality of access, provided where it is needed most for public health and well-being and has the least impact on the biodiversity that is really at the heart of the Bill.
Noble Lords may recall that, almost exactly a year ago, we debated access in the context of the ELMS under the Agriculture Bill. I note how much we miss the noble Lord, Lord Greaves, at this time, whose wisdom and contributions were so valuable in this regard. During that debate, I listed the negative impact of access on our small part of Devon over the previous few years. I will not repeat the graphic details of the baseball-bat attacks on young lambs, but will remind noble Lords of that, of IRA bomb-making equipment stashed in our woods alongside flytipped asbestos, of the dangers of chestnut blight and other tree diseases being spread by human contact, of the theft of shellfish and of the disastrous impact of dogs on nesting waders and other birds across the SSSI of the Exminster marshes.
Access is key to improving our understanding of the environment and obtaining well-being benefits from it but is often not good for the environment itself. Thus, where access is to be granted, it must be properly managed and fully funded, taking into account the preservation of nature and the land management that is responsible for maintaining it. Improved access requires better gates, fences, signs, pathways and knowledge of the functions of our land and the heritage that brought it into being. For that reason, I support Amendments 9 and 57, in the name of the noble Lord, Lord Lucas, but remain equivocal about Amendment 8, particularly as the explanatory statement reveals an intention to “increase” access. Increased access is not the answer; better access is.
Finally, I speak for farmers and land managers who, for the most part, remain nervous about public access for the reasons I have stated. Improving public access is dependent on their willingness to open their homes and farms to others. We need to bring them with us and to educate them about the benefits of improved access, as much as we need to educate those seeking such access.
Lord Bradshaw (LD) [V]
My Lords, I start with a short explanation of the reason for Amendment 58. The Natural Environment and Rural Communities Act 2006 protected footpaths, bridleways and restricted byways from use and damage by recreational motor vehicles. However, the same Act left unprotected a further 3,000 miles of countryside tracks. These are the nation’s green lanes. They are being used and damaged by 4x4s, motorbikes and quad bikes, which are being driven entirely for recreational purposes. This amendment is the first step in closing the loophole in the NERC Act which allows non-essential motors to inflict environmental damage and nuisance to green lanes. The amendment does not affect the rights of landowners, occupiers or residents, drivers of essential motor vehicles, or people with disabilities who use powered mobility scooters.
The context for this amendment is twofold. First, the stated purpose of the Environment Bill is to improve the natural environment. Secondly, the 2019 Glover review of national parks and areas of outstanding natural beauty called for radical change in the way we protect our landscapes and stressed the need to take urgent steps to recover and enhance nature. One of the things that is causing damage to the natural environment, and to fragile and precious landscapes, is that, at present, 4x4 vehicles, motorbikes and quad bikes are allowed to be driven for purely recreational purposes on unsealed tracks all over the countryside, including in national parks and areas of outstanding natural beauty.
This is allowed to happen only because the law currently says that if an unsealed track, whatever it may be, was used in the past by the public with horse-drawn carts, that it is now a right of way for any kind of modern motor vehicle. Parliament attempted to deal with this in 2006 by passing the Natural Environment and Rural Communities Act: other vehicles could use footpaths, bridleways and restricted byways, but it left unprotected over 3,000 miles of other track in the countryside that have no public right of way classification. These amount to over half of the country’s green lanes. They are open to use and abuse by recreational motor vehicles and, as a result, great damage is being done, even on the high fells.
There are similar problems on many of the other 3,000 miles of the country’s green lanes—those classified as byways, open to all traffic. In reality, many of them are effectively no longer open to walkers, cyclists, horse-riders, horse-drawn vehicles and the disabled for peaceful enjoyment of the countryside because of a loss of amenity caused by recreational motor vehicles—many riders of which are based abroad.
The amendment does not seek an immediate change in the law. If passed it requires the Secretary of State to return to the business left unfinished by the Natural Environment and Rural Communities Act and to carry out a public consultation on whether the loophole left by that Act, should now be closed.
The Minister may say that there is another way of dealing with the problem: the use of traffic regulations orders. The highway authorities have had TRO-making powers since 1984, the national parks since 2007, but such orders are costly to make, rarely used and almost invariably are fiercely resisted by the recreational motor vehicle groups—often with threats of legal action. TROs must be made one track at a time. If they could put a stop to the environmental damage being made by motor vehicles, the problem would have been solved long ago. A new approach and ultimately a change in the law is needed.
Lord Blencathra (Con)
My Lords, it was an absolute delight to listen to the excellent speech from the noble Earl, Lord Devon, and his call for better-quality access. There is considerable merit in Amendment 8 and especially in Amendment 9, and it probably should be a priority target. I urge my noble friend the Minister to accept them in principle. The amendment tabled by my noble friend Lord Lucas is very important. Could Amendments 8 and 9 be amalgamated into one target?
Of course, this is a very difficult area for the Government to set targets in and that is possibly why the Government have not added it to the clause. If you cannot measure it then you cannot manage it, and as for measuring people’s enjoyment of something, I should love to see how one can make a target for people to enjoy something. However, with time and work, I believe that we can figure out some targets in this area, especially on connecting people with nature.
Every month Natural England publishes its people and nature survey. Despite Covid, there are still very much the same patterns emerging. When one looks at March 2020, before lockdown—an idiotic term which I hate—and compares it with April 2021, one gets roughly the same statistics: 30% had not visited a green space or nature in a 14-day period, and of those who did, the vast majority numerically were older people. The justification in April this year by the 34% of people who had not visited was to stop Covid spreading. That is a noble reason not to go. However, I looked at our previous studies, in what was then called the monitor of engagement with the natural environment, and in 2017 more than 30%, the same figure, had not visited a green space. Exactly 34% said that they had not visited because they were too busy, 23% said health reasons and 18% had no interest whatsoever. The justification or excuse may vary but the numbers stay the same.
However, the other statistic that the survey highlights is that of earnings. Of those earning more than £50,000 per annum, 75% reported a visit to a green and natural space. This is compared to 50% of those earning less than £15,000 per annum. Adults earning more than £50,000 also took three times as many visits as those earning less than £15,000. That confirms the anecdotal evidence of our own eyes. You do not see many black and ethnic-community people in their Range Rovers visiting the Lake District National Park, stately homes, or National Trust properties.
There is of course a big cost element for those who cannot afford the time or money to go far visiting green space, but there is also a cultural problem. I was told in a briefing from the creators of the brilliant London National Park City scheme that they found that children walking to school would prefer to take the slightly longer route round by the shops and the high street rather than the shorter route through the local park or green space. There is thus a problem that even when green space is on their doorstep, many people are not connecting with it. That is why Amendment 9 is so important. I believe that Natural England is in discussions with Defra on what more we can do to connect people with nature, and that could lead to a target.
The briefing we have all received from the Ramblers, Open Spaces Society, and others, cannot identify targets, but suggests three areas where it might be possible to set them. I am glad that they acknowledge that this is not easy. Their first suggested area is proximity. Are there access opportunities close to where people live and work? The second is accessibility. Are different types of users, including disabled people, able to connect with and make use of access to green spaces and good quality paths, and do they feel welcome? The third is quality. Are green spaces of sufficient standard to ensure that people want to use them?
Lord Cameron of Dillington (CB) [V]
My Lords, as this is my first intervention in Committee, and for the purposes of all the stages of the Bill, I declare my interests as a retired farmer and landowner, chair of an internet travel business and chair of the UK Centre for Ecology & Hydrology research.
Most of these amendments stress the importance of the Government taking seriously the planning of people’s enjoyment of nature and all that the countryside has to offer. Other noble Lords have outlined the advantages for people and their health, and indeed for nature itself. I am pleased to be following the noble Lord, Lord Blencathra, with his knowledge and expertise in the subject.
I very much support the principle that the Government should get involved in the promotion of access, as it is no use leaving these things to chance. If it is worth a taxpayer paying land managers to produce a landscape or habitats of which we can be proud, it is vital that the same taxpayer should be enabled, and even encouraged, to enjoy the fruits of their spending. As Professor Dasgupta has indicated, our countryside and its wildlife are extremely valuable. I ask noble Lords: would an artist complete a wonderful painting without thinking about how they were going to display it? Would a drama company put on a play without thinking seriously about attracting an audience? In my view, the taxpayer deserves no less. The Government must set out how they are going to facilitate and improve the public enjoyment of our countryside and its nature.
I will add a note of caution to what the noble Baroness, Lady Bennett, said. As the noble Viscount, Lord Trenchard, said, it is relevant that, while Scotland has a population density of 65 people per square kilometre, and Norway, another country that she mentioned, has 15 people per square kilometre, and the UK has 278 people per square kilometre, for England by itself the figure is actually 432 people per square kilometre. We are a very crowded country, and all land uses therefore have to be carefully planned, although I believe that where access is available it should be well-promoted.
I sat on the Glover review of the management and uses of our national parks and AONBs. We are still waiting for the Government’s response to it, although I am told that it is extremely imminent. I remain hopeful that that response will be a first step in the right direction of improving people’s enjoyment of our natural environment.
I turn to Amendment 58, in the name of the noble Lord, Lord Bradshaw. The issue is an old chestnut that this House has touched on many times before, and indeed Governments and local authorities have skirted around it for decades without really resolving it. The NERC Act 2006 tried to put it to bed, as the noble Lord said, and partially succeeded, but the despoilation of green lanes remains a thorny issue. The problem, as he said, is that these lanes, made for use by horses, and by horses and carts and carriages, have become an attraction for four-wheel-drive vehicles, trail bikes and quad bikes. In some rare instances—I stress that they are rare because mostly coexistence works quite well—they have become so popular, and, frankly, so irresponsibly used, that parts of the green lane have become almost impassable mud baths. That often makes those sections impossible to pass for the very horses and carriages that they were originally intended for, and even sometimes for ramblers on foot. Some of the photographs that I have seen are not attractive.
There is also the problem of local farmers who have permitted rights over the green lanes, usually to feed their stock on the nearby hill. On rare occasions, even they have found it hard to get access to their stock because of the state of the green lane. It is not common, as I say, but it is a problem.
When the Select Committee looked at the NERC Act 12 years on, in 2018, we recognised the problems and the controversy between the various users and suggested that if the rules were clear, as well as easy and inexpensive to use, the small number of problem sections could be dealt with by local authorities imposing traffic regulation orders, or TROs. These TROs could either ban motorised vehicles altogether or limit them to summer months, or even just summer weekends, or whatever. But the point is that they have to be put in place cheaply and without bother by the local authorities, which do not have the money to put into them at the moment. Nor is the legal situation very clear. If these problems could be dealt with simply, firmly and, I hope, cheaply, and on a localised basis, that would be a successful result.
The Government’s response to our report was to ask the motor vehicle stakeholder group to produce recommendations for how the TRO process could be used more efficiently by highway authorities. The Government indicated that they would consider bringing forward legislative or regulatory changes in the light of the stakeholder group’s report. But as far as I know, no new enabling regulatory changes have been brought forward, and it would seem that the issue continues to be controversial. I am not sure whether a new consultation, as proposed by the amendment, would actually help the situation—I expect the views of the various participants are by now well known to all. As I say, in 2018, Defra was expecting to bring forward measures to simplify the TRO system very soon, and maybe now it should, frankly, just get on with it.
Lord Teverson (LD)
I put my name to Amendment 8, and it is perhaps worth reminding ourselves what that says given the debate that we have just had. It says
“public access to and enjoyment of the natural environment”,
but it does not say whether that should be urban or rural.
My noble friend Lady Scott emphasised small spaces, and I very much welcome the speech of the noble Lord, Lord Blencathra, who emphasised urban space and greenery, which is much more accessible to the majority of our population. That reminds us of something which has always been true: in the countryside, perhaps as well as in urban areas, once people are at the car park, or wherever they decide to park their car—in a national park, an area of outstanding natural beauty, or by a nature reserve—the amount of travel that they do from that point is extremely limited.
One of the key things about this is public health and social prescribing, which people have been talking about. I am not an expert in that area, but in my role as chair of the Cornwall and Isles of Scilly Local Nature Partnership, we have decided to work closely with the local health and well-being board to make sure that we have a combined aim and goal to improve people’s lives by their access to the environment and to green spaces, which needs to be frequent rather than occasional—small bites, rather than occasional large sorties into the countryside.
I say to the noble Viscount, Lord Trenchard, that access to the countryside tends to be fairly limited, but I have to agree with him: during last summer in particular, I saw pictures on television of improvised barbecues and camping on beaches and areas of Dartmoor National Park. That is clearly an issue. But when I think about that I wonder what the equivalent is in an urban area. Yes, there is probably equal aggravation from litter and barbecues in parks, or whatever, but the point is that, in urban contexts, normally there are people there, and there is a budget, to clear this up. In the countryside, national parks, and in particular areas of outstanding natural beauty, have very small budgets for rectifying these sorts of issues that are created by minorities.
As the noble Viscount said, there is an issue with fly-tipping; it is an increasing problem and I suspect that, last year, it was partly because tips—I have been told off for using that word, and should say public waste disposal facilities—were closed for quite a long period of time. There is a real need there. I identify entirely with farmers who find that there is waste-tipping on their land and suddenly it becomes their responsibility. We somehow need to transfer the way that it works in urban and suburban areas, where there is a community responsibility to put that fly-tipping right, to the countryside. Obviously, the most important thing is to try to prevent it in the first place.
Baroness Hayman of Ullock (Lab)
My Lords, this has been an extremely interesting debate on a very important issue. I will concentrate on Amendments 8 and 56, which are both in the name of the noble Baroness, Lady Scott of Needham Market, but also in the name of my noble friend Lady Quin, the noble Baroness, Lady Bennett of Manor Castle, and the noble Lord, Lord Teverson. As we have heard, these would require rather than enable the Government to set legally binding, long-term targets to increase public access to and enjoyment of our natural environment.
First, however, I will say a few words about Amendment 58 in the name of the noble Lord, Lord Bradshaw, which addresses the issue of motor vehicles driving for recreational purposes on unsealed tracks. I thank him for his introduction and for bringing this important issue to the attention of your Lordships’ House and of the Minister. I have been involved with the Green Lanes Environmental Action Movement, or GLEAM, and with Friends of the Lake District. Both are concerned about the deterioration of a number of these lanes due to the large increase in motor vehicle usage over the past 20 years or so. These lanes are an important part of the Lake District’s cultural heritage and were of course originally made for pedestrian and horse-drawn traffic. The noble Lord, Lord Bradshaw, himself mentioned the problem in the national parks, and it is only getting worse.
Friends of the Lake District believes that there is a strong case for introducing traffic regulation orders, or TROs, to restrict motorised use of the lanes to preserve their natural beauty and tranquillity. The noble Lord, Lord Cameron, also mentioned this and talked about how TROs could be used effectively. However, I was also interested to hear from the noble Lord, Lord Bradshaw, who believes that we need to look at other solutions. Will the Minister listen sympathetically to the concerns that have been expressed about the damage that is being caused? This may be quite niche but it has a big impact.
The noble Lord, Lord Lucas, introduced Amendments 9 and 57, which have the important aims of connecting people to nature. He also talked about getting their buy-in to the behaviour changes that may be needed. Perhaps we do not pay enough attention to this.
Amendments 8 and 56 were ably introduced by the noble Baroness, Lady Scott of Needham Market. I was interested to hear her idea of creating a new national framework for access to open spaces and nature, so that we properly enable public access. She also made the important point that we need to make sure that we pull together different parts of policy and legislation. For example, ELMS, planning and health and well-being all need to come together. I was also interested in the contribution of the noble Lord, Lord Teverson, on this area.
I am very fortunate in that I live right on the edge of the Lake District National Park, so I have some of the most beautiful countryside in the UK right on my doorstep. I can regularly enjoy fell walking with my family and my dog. This means that I also know that our personal experiences with nature are powerful. As the Committee has heard, numerous studies have demonstrated how important being active and getting outdoors in the fresh air are for both our physical and mental health and well-being. The noble Baroness, Lady Bennett of Manor Castle, focused on the public health elements and the importance of access to open space. This is especially true when we are young, with nature acting as both an active playground and a place for curiosity and learning. Whether children are active in nature or not links to childhood obesity and to their mental health and happiness.
The Covid pandemic has shone a spotlight on our need to be outside enjoying nature. For those who have been less able to get outside, for example people without gardens or with less access to parks, the impact on mental health can be severely detrimental. The pandemic has also highlighted the fact that, for many people, easy access to the great outdoors and enjoyment of nature is far from guaranteed. The noble Lord, Lord Addington, made the point that, if you want a fitter and healthier society, access is clearly important. On the subject of the pandemic, I refer to what the noble Viscount, Lord Trenchard, said about the need to enjoy the countryside responsibly. It has been pretty appalling in the Lake District, with a huge increase in litter, fires, trees being chopped down and campsites abandoned. It is very sad for local communities when that happens. I get so frustrated: they come here because it is beautiful, so why have they trashed it? This brings me on to the points made by my noble friend Lord Young of Norwood Green. We really need to educate people and teach them the countryside code. The noble Earl, Lord Devon, also mentioned the importance of education about our natural environment.
For many years, the connection with nature has been steadily declining for parts of our society. Fewer than a quarter of children regularly use their local patch of nature, compared to over half of all adults when they were children. This lack of access to nature is exacerbated by inequality. The noble Lord, Lord Blencathra, made an important contribution to the debate by bringing the Committee’s attention to the statistics in Natural England’s people and nature survey, which support this. He also made an important contribution on what we need to do to try to turn this around. We know that, in urban areas, the most affluent 20% of wards have five times the number of parks or general green spaces, excluding gardens, per person that the most deprived 10% have. Similarly, in areas where more than 40% of residents are black or minority ethnic, there is 11 times less green space than in areas where residents are largely white. The noble Lord, Lord Randall of Uxbridge, talked about access for those who had difficulty in getting out and about in the countryside. He particularly mentioned people with disabilities, though there is no guarantee that we can all have this access.
Clearly, we need to address this. The Government’s 25-year environment plan, which is due to be incorporated, as we know, as the first environmental plan, includes a policy aim to ensure that the natural environment can be used by everyone. Why is the opportunity not being taken to address this more directly in the Bill? Does the Minister accept that these amendments would go some way to start to improve access to nature for everyone, not just those like myself, who are fortunate to live close to nature or who can afford to go out and enjoy green spaces.
The changes brought about by these amendments would ensure that access to nature is a core consideration in the development of future policy. I think that they are needed because, as published, the Bill fails to commit the Government to act. I urge the Minister to give these proposals serious consideration.
Lord Goldsmith of Richmond Park (Con)
I thank noble Lords for their contributions and agree that the Covid pandemic has underlined the important role of nature in our health and well-being in so many different ways. Before I go any further, I sincerely apologise to the House for not having been in my place when the debate began. I extend my apologies to everyone taking part.
Regarding Amendment 9, tabled by my noble friend Lord Lucas, and Amendment 8, tabled by the noble Baroness, Lady Scott of Needham Market, on environmental targets, the Government considered adding enjoyment of the natural environment as a priority area for setting targets. However, there are substantial uncertainties, as numerous noble Lords have pointed out, over how to objectively measure these areas to be able to set a meaningful and achievable target now.
While there is evidence that engaging with nature can and does benefit people’s health and well-being in many ways, the evidence necessary to support setting a legally binding target for this area is still developing. For example, increased footfall may reflect not increased access but increased human population in an area. The Government are researching how to objectively measure this area and the best mechanisms to drive change. However, I reassure noble Lords that the Bill’s framework allows for long-term targets to be set on any aspect of the natural environment or people’s enjoyment of it in future, if the evidence base develops.
Before I move on to Amendments 56 and 57, I acknowledge the comments of my noble friend Lord Lucas, echoed by the noble Baroness, Lady Hayman, on the need to secure consent in relation to policy of any sort, particularly environmental policy. It is so important that, when we arrive at solutions, they are thought up in such a way as to bring people with us. If we fail to do that, the risk is always there that we exhaust the public appetite for environmental policy. I have seen that on numerous occasions, where good initiatives have met with public opposition because of the manner in which they have been introduced. It is so important that we get that right.
Amendments 56 and 57, tabled by my noble friend Lord Lucas and the noble Baroness, Lady Scott of Needham Market, are on environmental improvement plans. Connecting people with nature to improve health and well-being is a core objective of the 25-year environment plan. We anticipate that the plan will set the benchmark for future environmental improvement plans, as outlined in Clause 7 and the Explanatory Notes. However, the primary purpose of the environmental improvement plans is to set out the steps that the Government intend to take to improve the environment. Therefore, we do not necessarily want to give equal prominence to people’s enjoyment in environmental improvement plans, although, in practice, future Governments are absolutely free to do so.
Public access to, and people’s enjoyment of, the natural environment can in some instances have negative impacts on it, as my noble friend Lord Randall and the noble Earl, Lord Devon, explained. For example, too many visitors to beaches can negatively affect wildlife and their habitats, including through the litter that is so often infuriatingly left behind. The noble Baroness, Lady Hayman, made this point in relation to the Lake District, and it is something that I have seen myself. When I was Member of Parliament for Richmond Park, I saw piles of fast-food packaging left in the most beautiful spots in the park, which were chosen precisely because they were beautiful. It is mind-boggling and tells us that there is a need for some form of education, combined with incentives or disincentives, when it comes to leaving litter in the natural environment. Our enjoyment of nature cannot take precedence over our stewardship of that environment for the future.
I turn to the point made compellingly by my noble friend Lord Trenchard about the tensions that can exist between different groups. It is worth emphasising that Defra’s work to improve access always seeks to balance the needs of users and landowners. The Government work closely with stakeholders, representing as many interests as we possibly can, and landowners can formally object to proposals to create national trails across their land. Rural communities—this is a point worth stressing because it is not always about people coming in from miles away—can benefit from improved access, according to our evidence. Recent surveys show that 51% of walkers along the coast are local people, not those coming from miles away.
The Deputy Chairman of Committees (Lord McNicol of West Kilbride) (Lab)
My Lords, I have had three requests to speak after the Minister, so we will take them in turn for him to respond. I have the noble Viscount, Lord Bridgeman, the noble Lord, Lord Lucas, and the noble Baroness, Lady Bennett of Manor Castle. We will hear from the noble Viscount, Lord Bridgeman, first.
Viscount Bridgeman (Con) [V]
I am most grateful for the opportunity to come in after the Minister. I wish to support the noble Lords, Lord Bradshaw and Lord Cameron of Dillington, in their Amendment 58. The noble Lord, Lord Cameron, has given us an explanation of the omissions from the NERC Act 2006 for part of the green lanes provision. Both noble Lords referred to the abuse that that has involved.
The advantage of this amendment is—[Inaudible.]
The Deputy Chairman of Committees (Lord McNicol of West Kilbride) (Lab)
The Minister will respond to the first part of the question put by the noble Viscount, Lord Bridgeman.
Viscount Bridgeman (Con) [V]
My Lords, I will try to get this issue dealt with.
The Deputy Chairman of Committees (Lord McNicol of West Kilbride) (Lab)
The time for the noble Lord to do that may be tight but let us try. The Minister will respond to the points already made by the noble Viscount, Lord Bridgeman, and we will then move on to the other speakers. If, at the end, we can get the noble Viscount reconnected, we will come back to him.
Lord Goldsmith of Richmond Park (Con)
I thank the noble Lord for half of his question. He got to the point of echoing some of the concerns which were raised by previous speakers. Because we did not get to the substance of his question, I would be happy to arrange to contact him tomorrow with a view to discussing the issue—whatever it is—with my officials.
Lord Lucas (Con) [V]
My Lords, I am grateful to my noble friend for his responses to my amendments, but if he wants an example of how a connection with nature could be measured, he need not look further than the Glover review. Proposal 8, as I remember, is a night under the stars in a national landscape for every child; that is a pretty good target to aim at, and one which would go a long way toward achieving what I would like to see achieved at least over the long term. Once a child has done that sort of thing, they tend to bring their parents back, if it is properly organised.
I understand the difficulties that my noble friend faces, but there are things that, given the incentive of something in the Bill, could be done. An information system, for instance—a decent national online database of parks—would be something which people could use, and would then be a vehicle for the countryside code and enable areas to be set aside during the nesting season or lambing season, so that the relationship between the rambler and the farmer could be better moderated. There are things which the Government could do in this area if they set their mind to it. I have been really encouraged by what Natural England has been saying in this area. If the Government have a change of heart, I shall be delighted.
Lord Goldsmith of Richmond Park (Con)
I can reassure my noble friend that it does not require the Government to have a change of heart, as we fully support access to nature for all the reasons which have been described so well by so many noble Lords. Indeed, just a few months ago the Defra Secretary committed £4 million for a project aimed at tackling mental ill-health through green social prescribing, which goes to the heart of some of the issues raised today. We want everyone to have access to a healthy, abundant and diverse environment, and the Environment Bill as a whole is an attempt to try to improve both our environment and access and enjoyment of it. Of course, we have much more to do and I am interested in the examples he has cited.
Baroness Bennett of Manor Castle (GP)
My Lords, in his response the Minister referred to the issue of littering, particularly personal responsibility for littering, but we were earlier talking about waste reduction targets. The people who profit from the production of that litter are of course fast-food companies and multinational food production companies. When it finally arrives, the bottle deposit scheme will be an important area of this. Will the Minister acknowledge that this is not just a personal issue but a case where we have to see system change, that multinational companies and fast-food outlets have to look at the ways their food is sold, and the packaging they produce, and that this needs to be seen as more than a personal problem?
Lord Goldsmith of Richmond Park (Con)
I could not agree more. There is of course an element of personal responsibility; it is not always down to the Government, but the noble Baroness is absolutely right. That is the whole point of our approach to extended producer responsibility, and that can apply to anything. It is very much my hope that we will be at a point not too far off where fast-food companies are financially responsible for the waste generated by their activities. We would see, the moment one creates a financial dynamic of that sort, that companies will do anything they can either to design waste out of the way they do business or to minimise the amount of waste they know they will generate. I do not think there is a better way of doing it, but clearly having created the apparatus, which we will do through this Bill, we then must use it, and use it properly. If we do, we can get where we need to in relation to waste.
The Deputy Chairman of Committees (Lord McNicol of West Kilbride) (Lab)
We shall have one more try at reaching the noble Viscount, Lord Bridgeman. If this does not work, the Minister has offered to contact him directly. Viscount Bridgeman?
Viscount Bridgeman (Con) [V]
My Lords, thank you very much. I am most grateful and I apologise for the problems.
The advantage of this amendment is that it is easy for the general public to appreciate: quite simply, it requires the Secretary of State to institute a public consultation affecting unsealed tracks. “Unsealed” is an unqualified word, and it means all—I repeat, all—unsealed tracks. Here, I take issue with my noble friend Lord Trenchard. A lot of thought went into the framing of that amendment, and I suggest to your Lordships that “unsealed” is sufficiently definitive.
As the noble Lord, Lord Bradshaw, said, it does not seek a change in the law and it does not aim to be confrontational against the users of off-road motor vehicles; it simply seeks to ensure that any proposal for the use of these green lanes by such users is as widely aired with the general public as possible. This is in line with the lead amendment in the name of the noble Baroness, Lady Scott of Needham Market, about public access to and general knowledge of the countryside.
There is one beneficial effect which I hope the passing of the amendment will bring, and here I venture to disagree with my two noble colleagues. As the noble Lord, Lord Bradshaw, said, the TROs are very divisive, costly and lead to unpleasantness and legal actions. But, at the end of the day, the general lanes of this country are a priceless part of our national heritage, and they are beautiful. However, it has to be faced that any use for recreational purposes by motorbikes, quad bikes, et cetera, renders them ugly. I have said that we do not wish to have a confrontation with those users, but compromise is always probably necessary, and I suggest that it is just a reasonable and small additional step to safeguard our precious inheritance.
Lord Goldsmith of Richmond Park (Con)
I thank the noble Viscount for his question. I certainly do not pretend to be an expert on this, but my understanding is that the use of motorised vehicles is already regulated and, therefore, limited to access routes classed as byways. My understanding—I think this is what the noble Viscount said—is that it is not about creating new laws or new restrictions; it is about implementing the rules already in existence. If he disagrees with that and thinks that it is a matter of tweaking the laws, I am very happy to hear from him after this debate—not tonight, I hope, but perhaps tomorrow.
Baroness Scott of Needham Market (LD) [V]
My Lords, this has been a fascinating debate. I am very pleased that I tabled these amendments because they have enabled the Committee to surface a number of almost apparently contradictory themes. There seems to be a general sense that access is a good thing, but only on certain terms and only if people do not do certain things. It has really highlighted the tensions involved, whether greater access or better access. In many ways, the debate has made the case for a more strategic approach on the part of government, because it is the only way some of these things can be resolved.
I am very grateful to the Minister for his broadly constructive response. I was slightly struck by the irony that it appears that all sorts of government initiatives and funds are being put into this, but they are not really being joined up in the way that they probably should be. I will bet that there is already a whole set of targets established in every one of these funds, because that is the way government funds always work. I think it is possible to set targets in this way, so I hope the Minister will give a little more thought about how he can work with user groups and other interested people to think about this.
Finally, for me, this is always about access to nature; it is not just about access to the countryside. I thought the noble Lord, Lord Blencathra, made a really important contribution when he focused first on the financial and economic inequalities, but also on the importance of these smaller local green spaces. There are many people in our crowded island who, sadly, will never get out into the countryside. That does not mean we should not aspire to it, but they will find it difficult. It just makes it all the more important that they have access to good-quality space close to where they live. With that, I beg leave to withdraw the amendment.