(3 days, 13 hours ago)
Commons ChamberI beg to move, That the clause be read a Second time.
With this it will be convenient to discuss the following:
New clause 42—Alignment of basic and occupier’s loss payments—
“(1) The Land Compensation Act 1973 is amended as follows.
(2) In section 33B (occupier’s loss payment: agricultural land), in subsection (2)(a) omit ‘2.5%’ and insert ‘7.5%’.
(3) In section 33C (occupier’s loss payment: other land), in subsection (2)(a) omit ‘2.5%’ and insert ‘7.5%’.”
This new clause, being an amendment of the Land Compensation Act 1973, would align the occupier’s loss payments with the basic loss payments at 7.5% of the value of the party’s interest.
New clause 85—Compensation payments—
“(1) The Land Compensation Act 1973 is amended as follows.
(2) In section 30 (amount of home loss payment in England and Wales)—
(a) in subsection (1)—
(i) omit ‘10 per cent of’;
(ii) omit ‘subject to a maximum of £15,000 and a minimum of £1,500.’
(b) omit subsections (3) and (4).
(3) In section 33A(2) (basic loss payment), omit from ‘payment of’ to the end of subsection (2) and insert ‘the market value of his interest in the dwelling’.
(4) In section 33B (occupier’s loss payment: agricultural land)—
(a) in subsection (2), omit from ‘payment of’ to the end of subsection (3) and insert ‘the market value of his interest in the dwelling’;
(b) omit subsection (3).”
New clause 107—Disposal of land held by public bodies—
“(1) Section 209 of the Housing and Planning Act 2016 (Power to direct bodies to dispose of land) is amended as set out in subsection (2).
(2) In subsection (2), at end insert—
‘(C1) Steps taken in response to a direction under subsection (A1) must—
(a) include a duty to consider disposal of land for the public good, and
(b) provide that the difference between the unrestricted value of the land to be disposed of and the consideration for the disposal does not exceed £3,000,000 or 40% of unrestricted market value, whichever is greater.’
(3) Section 209 of the Housing and Planning Act 2016 comes into force at the end of the period of two months beginning with the day on which this Act is passed.
(4) The Local Government Act 1972 is amended in accordance with subsections (5) and (6).
(5) In section 123 (disposal of land by principal councils), after subsection (2) insert—
‘(2ZA) But the Secretary of State must give consent if the disposal is in accordance with subsection (7) of section [Disposal of land held by public bodies] of the Planning and Infrastructure Act 2025.’
(6) In section 127(3) (disposal of land held by parishes and communities), after ‘(2A)’ insert ‘, (2ZA)’.
(7) Subject to subsection (9), a disposal of land under is in accordance with this section if it is in accordance with the Local Government Act 1972 General Disposal Consent (England) 2003 published in Department for Communities and Local Government Circular 06/03, as amended by subsection (8).
(8) Those amendments to the Local Government Act 1972 General Disposal Consent (England) 2003 are—
(a) in paragraph 2(a)(iii), leave out ‘and’ and insert, at end—
‘(iv) the development and availability of affordable housing, and’
(b) in paragraph 2(b), for ‘£2,000,000 (two million pounds)’ substitute ‘£3,000,000 (three million pounds) or 40% of the unrestricted market value, whichever is greater’;
(c) after paragraph 3(1)(xii) insert—
‘(xiii) a combined authority;
(xiv) a mayoral combined authority;
(xv) the Greater London Authority;
(xvi) any successor body established by or under an Act of Parliament to any body listed in this subparagraph.’
(9) The Secretary of State may, to reflect inflation, further amend the cash value that the difference between the unrestricted value of the land to be disposed of and the consideration for the disposal must not exceed.”
New clause 114—Development corporations to provide green spaces—
“A development corporation must provide or facilitate the provision of—
(a) green spaces, including private gardens, balconies, and community gardens;
(b) the care and maintenance of the green spaces provided for under this section.”
This new clause would ensure development corporations include provision for green spaces in new developments.
New clause 127—Repeal of section 14A of the Land Compensation Act 1961—
“In the Land Compensation Act 1961, omit section 14A.”
New clause 128—Community benefit scheme for compulsory purchase—
“(1) Within six months of the passing of this Act, the Secretary of State must by regulations establish a scheme for the purposes of providing members of a local community with certain benefits when a compulsory purchase order has been granted within the relevant area.
(2) Regulations under this section must—
(a) require that, where a compulsory purchase has taken place, the equivalent of 20% of the amount for which the compulsory purchase was made must be paid into a community benefit fund;
(b) describe the—
(i) governance of, and
(ii) purposes for which sums may be payable from the fund;
(c) specify the meaning of—
(i) ‘local community’, and
(ii) ‘relevant area’
for the purposes of a scheme established under this section;
(d) specify the circumstances of compulsory purchase to which the scheme should apply; and
(e) specify the proportion of the sum to be payable into the fund by each party to the relevant compulsory purchase.”
This new clause requires the Secretary of State to establish a community benefit scheme in relation to compulsory purchase. The scheme would require the equivalent of 20% of the sum for which a compulsory purchase is made to be paid into a community benefit fund by parties to the compulsory purchase.
Amendment 151, in clause 93, page 122, line 2, at end insert—
“(4) The Secretary of State must, as soon as is practicable after a period of twelve months from the passing of this Act has elapsed, publish a report assessing the impact of this clause on—
(a) the achievement of sustainable development, and
(b) the mitigation of, and adaptation to, climate change.”
This amendment would ensure the Secretary of State must publish a report into the success of development corporations in achieving their duty to have regard for sustainable development and climate change.
Amendment 153, page 145, line 10, leave out clause 104.
Amendment 68, in clause 104, page 145, line 22, at end insert—
“(za) after subsection (1) insert—
‘(1A) Subsection (2) also applies if an acquiring authority submits a compulsory purchase order in relation to furthering the purposes of delivering housing targets set out in a local plan.’”
This amendment would provide that, where a compulsory purchase order is applied for to acquire land or property for the purpose of delivering housing targets set out in local plans, the prospect of planning permission being granted can be disregarded when calculating compensation (also known as “hope value”).
Amendment 88, page 145, line 22, at end insert—
“(za) in subsection (2), at end insert ‘unless the acquiring authority states that the whole of the land is being acquired for the purpose (or for the main purpose) of provision of sporting or recreational facilities in which case subsection (5) shall not apply.’”
This amendment would enable hope value to be disregarded in calculating the compulsory purchase value of land, where it is being purchased for recreational facilities.
Amendment 89, line 23, at end insert—
“(ab) in subsection (5), at end insert ‘unless the acquiring authority states that the whole of the land is being acquired for the purpose (or for the main purpose) of provision of sporting or recreational facilities in which case this provision shall not apply.’”
This amendment is linked to Amendment 88 above.
I am grateful for the opportunity to speak to new clause 22. Active travel—cycling, walking and wheeling—is hugely beneficial for health and happiness, and I know there is wide agreement on that point in this House. I welcome the investments being made by this Government in active travel through increases to the budget for Active Travel England, but even when there is willingness and funding to progress a scheme, it can be hard to get a plan off the ground, because landowners can refuse to co-operate. Compulsory purchase orders are regularly used for road transport projects, but when it comes to active travel, local authorities are reticent.
I am grateful to the Under-Secretary of State for Transport, the hon. Member for Wakefield and Rothwell (Simon Lightwood), for responding to my written parliamentary questions on this matter. On 15 May, he informed me:
“The Department for Transport has not made an assessment of the effectiveness of compulsory purchase order powers in progressing active travel schemes”.
That is somewhat surprising given the scope of this Bill, which aims to speed up infrastructure project delivery, but he did reassure me that local authorities can use CPOs for active travel. However, there is a difference between what is theoretically possible and the reality.
In Committee, this issue was raised by my hon. Friend and constituency neighbour the Member for Didcot and Wantage (Olly Glover), who is a powerful advocate for cycling. We were informed then by the Minister for Housing and Planning that updated guidance was published in October last year, and that it will be updated following the passage of the Bill. I have been through that guidance, and I can tell the House that nothing in it refers to active travel; it is covered only in so far as it falls under the umbrella term “highway”. The problem is that those rules work fine for roads, but are insufficiently adapted for the challenges of an active travel project. Furthermore, this guidance is non-statutory and is an interpretation of current law.
The Minister also signposted me to upcoming guidance from Active Travel England. This will support local authorities in the design and delivery of active travel routes, but it does not include consideration of CPOs. Again and again when the Minister states that there is already guidance, we see that it is insufficient and does not cover CPOs.
It is welcome news that, in response to another of my written questions, the Government have shared that future Active Travel England guidance will include case studies of the use of compulsory purchase orders for active travel routes. However, this is not enough. Active Travel England does good work, but it is not the Government and will never carry the same weight as statutory guidance. That is why new clause 22, which specifically requires such guidance to be published by Ministers, should be part of the Bill. All other options have been exhausted.
Before going further, let me make it clear that I do not believe that CPOs should be wielded lightly. It is far better to have a constructive relationships with landowners. CPOs should be a last resort, but without the threat of one in the back pocket, we are sending local authorities into negotiations with both hands tied behind their backs.
My county of Oxfordshire is hugely ambitious in its desire to reduce car journeys and roll out a county-wide strategic active travel network linking towns and villages together. In my own corner of the county, there is a clear case for the Thame to Haddenham greenway, which would link the town of Thame with the train station in Haddenham, and allow villagers in Haddenham to get safely to Thame and enjoy the town. There is widespread cross-party support for it, and I am pleased that Oxfordshire and Buckinghamshire are working closely together to progress the project. I thank the hon. Member for Mid Buckinghamshire (Greg Smith), another of my constituency neighbours, for his support.
When I was a councillor, residents of the beautiful small town of Watlington told me just how valuable a cycleway between Watlington and the village of Lewknor would be. Lewknor sits just off junction 6 of the M40, and it enjoys good bus connections to London and Oxford through the Oxford tube and airport buses. An informal park and ride works well enough, but would it not be so much better if there was a cycle route covering those 2.5 miles? Yet I learned early on that the landowner has no intention of co-operating, even though an old railway would be a perfect route, and the project was stopped dead in its tracks.
It may surprise Members that the issue this new clause seeks to address has already been considered closely by our colleagues in Wales. In 2019, the Welsh Assembly, as it was still called, looked in detail at the issue. The Economy, Infrastructure and Skills Committee made some observations within the context of the Active Travel (Wales) Act 2013 that I think are relevant to building the case for better guidance. The committee was cross-party and chaired by an AM for the Welsh Conservatives. It received evidence from Sustrans that:
“without effective support to ensure that land is made available, key sections of route which could make everyday journeys viable could take years to be delivered, or not be delivered at all.”
Sustrans suggested that the CPO process is a block on active travel routes, as objections to CPOs may be made on the grounds that there is one or more alternative—albeit lower-grade—route options, leaving local authorities vulnerable to challenge. As a result, local authorities are discouraged from beginning a lengthy and costly CPO process. The committee received further evidence from Sustrans that:
“Greater guidance and support is needed for local authorities”.
It concluded with a recommendation that the Welsh Government should work with local authorities and other stakeholders to find ways to “unblock” the process of using CPOs to develop cycle routes.
Perhaps recognising this problem, in response to another written question, the Minister yesterday pointed me in the direction of public path construction under the Highways Act 1980 for the creation of active travel routes. Although I am grateful for his response, it raises more questions than answers, and I am sure he will be pleased to hear that I will be submitting those questions through MemberHub. I have previously worked with local groups who wanted to get rights of way registered, and it is simply not possible for the highway authority to create public paths where none already exist. The application process requires statements from multiple people showing continuous use over at least 20 years, which does not work for a route that already cannot be used due to private ownership.
Before I wrap up, let me give another shout-out to the work of the Welsh Government, who have recognised that funding for active travel can be hard to find and is often assembled piecemeal. This gives rise to a chicken-and-egg situation: why seek a CPO if there is no funding, and why get funding if there is no viable route assembled? In Wales, guidance therefore requires a compelling public interest in acquisition, but not immediate financial readiness; in contrast, in England, guidance emphasises the importance of demonstrating financial readiness. Will the Minister therefore consider following in Wales’s footsteps? I ask the Government not to dismiss my concerns around the inadequacy of the current guidance or the good work of their colleagues in Wales. A Government serious about active travel would engage with these issues, as I am sure this Government will want to do following this debate.
Finally, I will spend a few moments on other new clauses and amendments, including those tabled by my hon. Friend the Member for Twickenham (Munira Wilson). The Bill removes hope value to improve the use of CPOs for some projects, but there are further projects that would benefit from a similar policy. Amendments 88 and 89 would ensure that hope value is not added to the cost of recreational facilities such as playing fields when an authority purchases the land with the intention of keeping it as a playing field. Removing hope value is particularly important in an area like Oxfordshire, where any whiff of development massively increases costs. In fact, it is one reason that so many small and medium-sized farms will be caught by the Government’s changes to agricultural property relief. If this House accepts the principle of disregarding hope value, that should also apply to the value of land for the purposes of inheritance tax for farms that remain farms.
I also support new clause 107, which would create a duty for any public body to consider the public good when selling land or property. I am aware of local organisations and good causes in my constituency that are looking for space to support their activities where land is disposed of by local authorities. It is right that local organisations benefit when public bodies sell land or properties, such as the men’s sheds movement, which seeks to improve mental health by offering practical hobbies in a space where people can meet and share skills.
Thank you, Madam Deputy Speaker, for allowing me to speak to these new clauses and amendments. I humbly ask Members across the House to support new clause 22.
It is fantastic to speak in the Chamber on a subject that has been part of my career for the better part of 20 years. I started working in the construction sector as a civil engineer and finished my time working on major programmes around the world.
Planning, and particularly planning in respect of national programmes and major infrastructure, has been a headache for me for a long time. The prolonged wasteful consultation that happens on major programmes, which stops the urgency and prevents an outcome-focused approach to delivering the major infrastructure that we need, is almost like death by a thousand cuts for a lot of communities. It is death by consultation and fatigue; it means that people do not engage in the process, and it drives a culture of nimbyism rather than a culture of wanting to deliver the homes and schools—the civil and social infrastructure—that we desperately need, and that everyone across this House calls out for in their constituencies.
It is a pleasure to follow the hon. Member for Northampton South (Mike Reader). He was very generous in congratulating many Members on their amendments and very constructive when he outlined his position on this piece of legislation.
I know that Members across the Chamber will be devastated to hear that this will be my last contribution on the Bill before the shadow Secretary of State makes his Third Reading speech. [Hon. Members: “Ah!”] I know! I wish to thank the Minister for his hard work, all the Members who contributed to our discussions, and the Clerks and the staff who gave us such amazing support throughout what I thought was a long, challenging and often frustrating Bill Committee. As a Committee, we all lived through the emotional journey of whether Charlton—a team that the Minister passionately supports—would be promoted. As I said to him during the Committee, he is welcome down to the Den for Charlton’s next match against Millwall. I will even let him sit on our side of the stadium.
As I have said, I wish to thank all members of the Bill Committee for their contributions. I also congratulate those, such as the hon. Member for Northampton South, who have tabled amendments to the Bill—we have had a weird, wonderful and varied number of new clauses and amendments. As the hon. Member said, finding them to be in scope of the legislation was quite challenging at times, but I trusted the Clerks to make the right decision and therefore most of them stood.
I look forward to briefly outlining the position of the Opposition on some of the new clauses and amendments before the House this afternoon. Only a small part of the Bill will be discussed this afternoon. The majority of mainstream clauses that we are opposed to were in the frustrating and rather emotive session last night. I look forward to challenging the Minister, who might, I think, look slightly less grumpy than he did last night, and to pleading with him to accept some of our amendments. Then again, Madam Deputy Speaker, I may be dreaming in that regard.
It is clear that the Minister and the Government have a driving mission in this legislation. The Opposition recognise that, but he knows that we have many disagreements on how to achieve the ambitions he has outlined. We have been very clear throughout the passage of the Bill—through the Bill Committee, Second Reading, Report and, later this afternoon, Third Reading— that we have many core, fundamental and principled disagreements with some of the measures the Minister has proposed. Although we agree that we need to build more houses, that we need to see an infrastructure-first approach and that we need to unlock some development, we have a fundamental disagreement with the centralising zeal of both the Minister and the Deputy Prime Minister to get us to where they want us to go. We also believe that the Minister could have looked more favourably on some of the new clauses and amendments that were tabled not just by my party, but by other parties in the House and by some of his own Back Benchers, who have proposed well-intentioned and well-meaning measures.
Like others, I sat in the Chamber yesterday listening to the Government voting down so many amendments. We had an opportunity to do something really good with this Bill, and we have missed it. Does the shadow Minister agree that, if we are not careful, we will end up with a piece of legislation that will drive a coach and horses through our communities and our green belt and that does nothing for nature, for farmers, for communities and for the very people who want those things?
My right hon. Friend, not uncharacterist-ically, has made an excellent point and I entirely agree with her. As I said yesterday, the Minister has had a unique opportunity with this Bill—a detailed and potentially groundbreaking Bill—to fundamentally change the planning processes in this country for the better. He told us many times on the Bill Committee that he was reflecting on some of the genuine points and key concerns that Members from across the House brought to him. However, those reflections amounted to nothing. He consistently said that he would reflect on the genuine principles that we brought forward, but we have seen no changes in the legislation. We have seen no acceptance of our thoughts and no efforts to change this legislation to reflect the genuine concerns that so many of us brought to this place.
The Liberal Democrats tabled many amendments and new clauses. As the Minister knows, I very rarely praise the Liberal Democrats on the Floor of the House or in my constituency of Hamble Valley, and I am not likely to do so going forward. However, what I would say is that the hon. Member for Taunton and Wellington (Gideon Amos) and his colleague, the hon. Member for Didcot and Wantage (Olly Glover), tabled some really good and principled amendments that would have this improved this legislation, particularly on chalk streams and on some of our other concerns.
My hon. Friend will be aware that Governments of all stripes tend not to accept amendments in this House, enormously to the frustration of colleagues from across the Chamber who put them forward. Will he join me in encouraging the Minister and his ministerial colleagues to take the opportunity to think again on some of the amendments if the Bill is delayed in the other place? All of us want to see more houses built, but in a way that works with communities. As my hon. Friend said, there is an opportunity here to do something historic, so let us make sure that when the Bill goes to the House of Lords—if that is what is required—the Government listen and act.
I have put it on the record, both here and in the Public Bill Committee, that I think this is a principled Minister who knows his stuff. Therefore, he should not be afraid to open his arms and embrace collective responsibility across the House to make sure that this legislation is better, and that it serves everybody in this country. He needs to make sure that the key principles that he wants to achieve are actually achievable. I say very strongly, as I did yesterday, that the key things that he wants to achieve, such as these housing numbers, will not be achieved through this legislation. He still has the opportunity to work with Members of all parties to make sure that this is a really important piece of legislation.
Emeritus Professor Sarah Nield, the chairman of the New Forest Association, writes:
“The current planning and environmental frameworks have played a crucial role in protecting the New Forest’s special qualities. However, the proposed changes in the Planning and Infrastructure Bill, particularly those aimed at streamlining planning approvals, accelerating infrastructure projects and weakening environmental safeguards, would seriously undermine those protections.”
This is not a political statement; it is a statement of concern for our most delicate and valuable rural areas.
I thank my right hon. Friend for that intervention. The expert he quotes is from Hampshire, so as a Hampshire MP I am bound to say that she is spot on. My right hon. Friend is spot on too.
Many Members made contributions yesterday in which they raised concern about the Minister’s response to some of the environmental concerns that were raised, particularly by the hon. Member for North Herefordshire (Ellie Chowns), but also by the Liberal Democrats and Conservative Back Benchers. There are concerns that environmental protections will be diminished under this legislation. The Minister seemed, quite frankly, to not take those seriously. The quote my right hon. Friend read out is a very good example of why there are many people who are experts through their professions and who day to day live their ambitions to ensure that the environment is improved.
I note that the Minister’s Parliamentary Private Secretary, the hon. Member for Huddersfield (Harpreet Uppal), has said, “When did you start caring about the environment?”. [Interruption.] She can intervene on me if she wants to, or if she wants to contribute to the debate she might want to bob.
As I said, Members across the House have made very well-intentioned appeals to the Minister. I hope that between now and when he winds up he will open up his arms and ensure that he looks seriously at the amendments, not just from my party but from all parties, that seek to strengthen this legislation.
Does my hon. Friend agree that where CPO powers already exist, there is a massive lack of trust between landowners and the acquiring authority? All too often a proposal will be put on the table, and an agreement will be reached, but then the legal agreement that actually comes along is totally different. Does he agree that there needs to be a CPO code of practice that gives landowners much greater protection?
My hon. Friend is right. I would also say that there needs to be a code of practice for our tenant farmers. Two of our amendments, which I will speak to shortly, seek to meet the challenges that our farming and agricultural communities face with CPO. I will elaborate on that later, and my hon. Friend is welcome to intervene on me then if he does not find my explanation satisfactory.
I totally agree with what my hon. Friend the Member for Mid Buckinghamshire (Greg Smith) has just said. So many of our constituents, particularly those in the farming community, are already feeling totally let down by this Government, and they feel that this is a further steamroller on their assets. Does my hon. Friend agree that the Government might want to show our farming community, who they are already putting under immense pressure, that they are on their side on some of these issues, and probably for the first time in a very long time? So much has already been done to this community—and it does feel like things are being done to them rather than that they are being listened to as part of any process?
My right hon. Friend is absolutely right. I pleaded with the Minister at the beginning of my remarks to meet the concerns of not only Conservative Members or the Green party or Liberal Democrats but key people who have communicated through consultations on this legislation that this will harm their livelihoods and make their lives worse.
New clause 85, tabled by the shadow Secretary of State, my hon. Friend the Member for Thirsk and Malton (Kevin Hollinrake), would deliver a fairer, more just system of compensation for individuals who are forced to give up their homes or land through compulsory purchase. The current framework under the Land Compensation Act 1973 sets arbitrary caps and percentages on home loss and occupier’s loss payments, which often fail to reflect the true value of what is being lost. By aligning compensation more closely with the full market value of a person’s interest in their property, the new clause acknowledges the deep emotional, financial and practical disruption that compulsory purchase can cause. It would ensure that those displaced by development were not left worse off or unfairly penalised. In doing so, it would uphold the principle that the burden of public interest projects should not fall disproportionately on individual homeowners or landowners, helping to maintain trust and fairness in the planning system. The Minister could easily get behind that, as could other parties. Given some of the real challenges we have talked about that CPOs bring to people, the Minister should be slightly more open to amendments to the Bill that would make their lives easier.
I turn briefly to new clause 42, tabled by my hon. Friend the Member for Ruislip, Northwood and Pinner (David Simmonds), which would align compensation payments more fairly and transparently for occupiers affected by compulsory purchase by amending the Land Compensation Act 1973. It would increase occupier’s loss payments for agricultural and other land from 2.5% to 7.5%, bringing them more in line with basic loss payments. Additionally, it would remove arbitrary caps and fixed percentages on home loss payments and instead base compensation on the full market value of the interest in the dwelling. The change would ensure that those displaced or impacted by compulsory purchase would receive equitable and just compensation reflecting the true value of their property and losses. By modernising and standardising compensation provisions, we would argue that the new clause would support fairness for land-owners and occupiers, making the compulsory purchase process more balanced and respectful of individual rights, as my hon. Friend the Member for Mid Buckinghamshire (Greg Smith) rightly mentioned in his intervention.
I turn briefly to other new clauses. New clause 114, tabled by the Liberal Democrat spokesman, the hon. Member for Taunton and Wellington, would require development corporations to provide or facilitate the provision of green spaces in their developments, including a variety of green areas such as
“private gardens, balconies, and community gardens”.
Furthermore, it would impose a duty on development corporations to ensure the ongoing care and maintenance of such green spaces. I hope that the hon. Member realises that I am doing him a favour by reading out his new clause.
The Opposition recognise the well-intentioned motivation behind the new clause, but I gently say to the Lib Dem spokesman, who yesterday rightly—this is no criticism—made a big play about the role of local authorities, elected councillors and local plans, that we believe that this area should be dealt with purely by our local government colleagues, councillors and planning committees. We should continue to give them the power to serve and react to our constituents’ wishes. We are keen that local authorities such as mine in Fareham and Eastleigh as well as those across the whole of the country have the power to do that for the people they serve. That was a key disagreement between us and the Government—the Liberal Democrats agreed with us—on that provision in the legislation. The Opposition believe that new clause 114 is not required in the legislation because local authorities can provide for that themselves.
I turn briefly to new clause 22 tabled by the hon. Member for Henley and Thame (Freddie van Mierlo). Although it is a well-intentioned new clause to promote active travel infrastructure, it risks weakening the careful balance that compulsory purchase powers must maintain between public benefit and individual property rights. By pre-emptively deeming such projects to be in the public interest and lowering the evidential threshold for route justification, the new clause could enable the use of compulsory purchase orders without sufficient scrutiny or community consent, which raises legitimate concerns about fairness, proportionality and transparency, particularly in cases where landowners could lose property without rigorous demonstration that the chosen route was necessary and the best option available. Given the Conservatives’ long-held position on CPOs and the overreaching powers that the Secretary of State and the Minister want to award themselves in terms of CPOs, we do not think it would be right to give those same powers to local authorities or some of the new authorities outlined in the legislation.
Is the shadow Minister in favour of using CPOs for road projects? The new clause would simply equalise the opportunity to use CPOs to deliver active travel with their use for road projects.
I understand, and I say this with respect to the hon. Gentleman: I think the new clause is well intentioned, but roads are absolutely necessary. Sometimes, on the CPO powers currently allocated in existing legislation, even though we disagree with some of the overreach that the Minister wants to put forward, we believe fundamentally in the rights and responsibilities of local government to decide how they want to allocate routes in localities. We agree that in some cases, as in my constituency, which covers half of Fareham and half of Eastleigh, there needs to be better co-ordination between local authorities. However, we fundamentally disagree with the extension and provision of powers, which we do not believe should be allocated, in new clause 22.
Will the shadow Minister explain why the Levelling-up and Regeneration Act 2023 created vast new powers for development corporations, if he believes that all such powers should be discharged by local authorities?
I knew that was coming from the hon. Gentleman. The last Government put forward many things in legislation that we are looking at again. We have been very clear about that, and I have been clear about what this new Conservative party stands for. We said throughout the Committee stage that we do not support the extension of powers within CPOs.
Madam Deputy Speaker, I am aware that you are looking at me to move on. I will do so and restrict the number of interventions I take, as I am about to wind up. [Hon. Members: “Hear, hear.”] I knew I would bring universal acclaim once again, including from my Deputy Chief Whip, my hon. Friend the Member for South West Hertfordshire (Mr Mohindra). I thank him.
We have had a robust debate in this House on this groundbreaking piece of legislation. As I have said repeatedly, much to the Minister’s embarrassment— I hope he takes this in the genuine spirit in which it is said—even though we have fundamental disagreements on the measures that he is taking to get what he wants later on, we know that he has a well-intentioned and principled approach. The Labour party won the election and we know that. However, that will not stop us having principled and robust arguments around our disagreements with the methods by which he wants to get there.
As my right hon. Friend the Member for Aldridge-Brownhills (Wendy Morton) indicated in her intervention, the Minister had—and still has—a chance to listen to some of the well-intentioned, educated and intellectual amendments and new clauses that have been proposed by all parties to strengthen the legislation and make it better.
I will briefly, but he will let me finish this point. The proposals have been put forward by all parties to ensure that the legislation is better and more efficient, but fundamentally serves the people who send us here and who want to see differences in the way in which their country is run. We argue that this legislation does not do that, we argue that this is a massive centralising overreach advocated by the Minister and the Deputy Prime Minister, and we stand fundamentally against it.
I will give way to the hon. Member for Basingstoke (Luke Murphy) first because he is a sparring partner from the Public Bill Committee—I hope he does not have another quote—and then I will give way to the hon. Lady.
Unfortunately, I have another quote, which is from yesterday. With regard to the Opposition’s amendments, can the shadow Minister point to a single measure that would increase the number of homes? All the changes directed at the Bill seem to be designed to impede development. I also want to ask him what he meant yesterday in his opening remarks, when he said,
“The last Government built the largest number of houses in history.”—[Official Report, 9 June 2025; Vol. 768, c. 693.]
Order. It might be helpful if I emphasised that we are not here to relitigate yesterday’s debate; we are here to debate the amendments that have been tabled today. I am sure the hon. Member will restrict his comments to that.
I was expecting so much from the hon. Gentleman, given how he intervened on me consistently in Committee with an encyclopaedic knowledge of my previous quotes. I did not know that he took such an interest in my career up until this point. I know, as a county neighbour, that he is a dedicated and assiduous Member of Parliament who genuinely stands up for his constituents. I will say to him that my comments yesterday were absolutely accurate. Over 1 million homes were approved, and many more first-time buyers were given the chance of owning a home, under the last Government.
I thank the hon. Gentleman for the entertainment he provided throughout the Bill Committee’s proceedings, and for his generosity in the Tea Room. Talking about reflection, however, would he agree that when one looks in the mirror, one does not always like what one sees? The Minister has reflected on many of the proposals that were brought forward in Committee and he has clearly decided that those things would be better left in the national planning policy framework, as opposed to being in this legislation. Would the hon. Gentleman also agree that we do not have more young people buying and owning their own homes now than we did in 2010, and that the reason for that is—
Order. The hon. Lady will have the opportunity to contribute later. Interventions really do need to be shorter than this.
I know that many of my hon. Friends were concerned to hear about my generosity in the Tea Room. It was simply that we were very tired and I bought an espresso for the Minister, just once. I did offer one to the Lib Dem spokesman, but I have not delivered on that promise—
I expect to see a “Focus” leaflet—or whatever the Lib Dems put out in Hamble Valley—saying that is a Tory broken promise, but when did we ever take notice of the accuracy of Lib Dem literature? But I will buy him one, I promise. With regard to looking in the mirror and not liking what we see, I wake up daily basis and consider how much weight I have gained in this House over the past four years.
What I will say to the hon. Member for North Warwickshire and Bedworth (Rachel Taylor) is that in Committee the Minister consistently said that he would reflect, so she is right; she has accepted the premise of my argument on this. However, not once in this legislation has the Minister made any attempt to take into account our serious concerns. He has not changed this piece of legislation once. This is a parliamentary democracy and there is not a monopoly on brilliant ideas, despite the fact that the Minister likes to think he has one.
If the Minister wanted to make the Bill better, he could look openly at some of our amendments and accept them. I know that when he stands up to make his winding-up remarks, he will not accept them and that this legislation will therefore not be able to be supported by all parties in this House. If he had made some changes that could have delivered to the people of this country, we would have been able to support it. This is a shame, because some of his genuine and well-intentioned attempts to change the housing market in this country will now not be achievable because of the Labour Government’s intransigence.
As I have said, the Minister could have made some decent changes to the Bill. We and the Green party and the Lib Dems had serious concerns on environmental standards—[Interruption.] I was a Parliamentary Private Secretary for a very long time, and I thought that PPSs were supposed to sit and ferry notes for their Minister, and not to contribute to the debate. I am having real difficulty with this consistent heckling from the two PPSs. They are aspiring to high office and I really do not think they should be carrying on in this way; I never did—then again, I was never a Minister, so there we go. I am a big fan of them both, of course.
I shall finish on this point. The Greens, the Liberal Democrats and the Conservative party had a real disagreement on environment standards, and it is still our contention that environment standards will not be improved under this legislation. The hon. Member for North Herefordshire (Ellie Chowns) tabled a number of amendments because experts had clearly stated their concern that environmental standards would be reduced under this legislation. The Minister did not make any concessions. On the centralisation and erosion of local powers for planning committees, we tabled a number of sensible amendments—
Order. The shadow Minister will know that we are debating the amendments that have been selected today, on development corporations and compulsory purchase. Perhaps his final minute could be restricted to those subjects.
I heed your guidance, Madam Deputy Speaker. Development corporations are an over-centralisation of the measures that the Minister is proposing, and planning committees will lose some of their powers to them. The Minister has not moved once on that. The Bill will do more harm than good to the power of local councils and our constituents, and it will diminish environmental standards.
We stand against the legislation because of the Government’s intransigence. We will continue to stand up for environmental standards and for local authorities; it is a shame that the Minister has not done so. That is why we will not support the legislation.
I am delighted to speak to this monumental piece of legislation, which is so necessary and so important. I cannot help but notice that many times in the debate a false dichotomy has been presented of a choice between nature and biodiversity net gain on the one hand and planning, infrastructure, housing and development on the other. As someone who comes from the most beautiful constituency and county in England—[Interruption.] You all know it’s true. I stress that that natural beauty is vital, but that the people of North Northumberland also want more development.
Too often the debate has been about nature versus development. I note, for example, that amendment 151 assumes that development corporations will come into conflict with the need to tackle climate change. I believe that the Bill will be good for our natural world in so far as it unlocks the “little and often” developments that will help Northumbrians to revitalise their rural communities and protect natural landscapes. As the MP for a constituency with a natural landscape, including a dozen sites of special scientific interest and half a national park, I cannot help but be awed by that beauty.
As amendment 151 acknowledges, our natural world faces an uncertain future, with climate change and other pressures. Organisations such as the Northumberland National Park Authority and the Northumberland Wildlife Trust do excellent work in stewarding Northumberland’s unique ecological inheritance. I encourage the Government to continue having a genuine dialogue with environmental groups as the Bill progresses and is implemented in due course. Our language and approach must honour our commitment to environmental stewardship, and we need to thread the needle of sustainable development together.
Perhaps the greatest threat to the ecological treasure trove that is my constituency is more straightforward: dwindling rural communities and the challenges that the next generation face in building a future for themselves in rural Britain. North Northumberland, for example, is ageing. Only 16% of its residents are children, while 30% are over 65—10% more than the national average.
To bring the hon. Member back to the compulsory purchase measures in part 5 of the Bill, which we are discussing today, many residents along the A1 corridor have been severely impacted by the Government’s decision not to continue the development of the A1. Will he consider supporting our new clause 42, which would increase the occupier’s loss payment from 2.4% to 7.5%? That would help many of his constituents along the A1 corridor. With the new clause in place, they would receive bigger payments for compulsory purchase orders along the A1 corridor.
All I can say is simply that I have been working with constituents who have been affected by the compulsory purchase orders, and I will continue to do so. The hon. Gentleman and I may disagree about whether that project should ever have gone ahead under the previous Government.
On rural development, where are the future rangers, conservationists and gamekeepers? Where is the next generation of farm hands to deliver environmental land management schemes?
Order. I will keep reiterating the point: we are not going to relitigate yesterday’s debate, and we should be discussing the amendments that have been tabled on compulsory purchase orders, development corporations and extraterritorial environmental concerns. The hon. Gentleman might like to think of a way to weave those topics into his remarks, rather than rehashing either yesterday’s debate or a Second Reading speech.
I am simply trying to make the point that many of the amendments proposed seem to set up a false dichotomy between the ability to develop our country, including with housing, and to protect the natural environment.
I will give one example of that. Norham parish council in my constituency is trying to open up a plot of land for a small development, because it sees the value of young families moving into the village. That development would go some way towards securing the future of the first school and the community at large. It is not helpful for the parish council to be caught up in red tape, which diminishes the possibility of that development happening. A recent local report said that nearly one in two businesses in rural Northumberland cited a shortage of affordable local housing for staff as a key barrier to business.
Does my hon. Friend recognise the value that development corporations have brought to new towns such as Harlow? New towns are a great example of where we can have affordable housing but also the environmental aspect, with green fingers and green wedges.
Absolutely. There need not be this false dichotomy between what development corporations can do and the protection of our natural environment.
Rural Great Britain is crying out for “little and often” development. We can get this right, and the Bill is trying to deliver that by cutting through labyrinthine planning rules so that we can have more homes and more infrastructure. If there is no one left in rural communities, the natural world will be without the stewards and protectors that it requires.
I call the Liberal Democrat spokesperson.
I reiterate my thanks to all members of the Bill Committee and to the Clerks and officials, who I know had plenty to be getting on with during our sittings.
I am grateful for the support of my colleagues for the amendments I have tabled. The Liberal Democrats’ new clause 22 on active travel, and new clause 114 on open spaces in new towns and other development corporation developments, and our amendments 88 and 89 on recreational land, form our key proposals for this part of the Bill. All of them urge the Government to go further when it comes to releasing land value for infrastructure that meets community and environmental needs.
On part 5 of the Bill generally, our compulsory purchase proposals included that where major permissions of over 100 homes are not built out, greater powers to acquire that land for housing would be given to councils in a new “use it or lose it” planning permission. I was delighted to hear in the news that the Government are taking up that idea—although I gained a slightly different impression in Committee—even if the promise of more conditionally approved compulsory purchase orders will not give councils the same strong “use it or lose it” power that our amendment would have.
Wary of your strictures to stay on topic, Madam Deputy Speaker, I hope you will briefly allow me to add my welcome to that of my hon. Friend the Member for Cheltenham (Max Wilkinson) of the fact that, following the introduction of his private Member’s Bill, the Government, to their credit, have agreed that all new homes will be fitted with solar panels as standard—his sunshine Bill really is “winning here”—bringing zero emissions a step closer, after all the hard work of Liberal Democrat and Labour Ministers on zero-carbon homes, before the Conservatives cancelled the programme in 2015.
I turn to our amendments on compulsory purchase and development corporations. Our community-led approach is about the essential infrastructure people want to see being put in place ahead of the building of new homes. Clause 104 could support that by helping the building of council and social homes. It would reward landowners with a fair value, rather than inflated prices from an imaginary planning permission no one has ever applied for, as set out in section 14A of the Land Compensation Act 1961. Our manifesto supports that for the delivery of council houses, and we are supportive of steps that ensure that landowners are awarded fair compensation, rather than inflated prices, for specific types of development scheme.
However, at my meeting with farmers in North Curry on Friday, there was concern about the idea—possibly as a result of rumours—that under the clause, farmers would lose land to Natural England so that it could carry out its environmental delivery plans, and in return would get only a reduced payment. I am not convinced that is what the clause does, but family farms have had a tough time recently. They provide food for our tables, and they have been hit hard by risky trade deals with Australia and New Zealand under the last Government, followed by a new inheritance tax on small family farms, the underspend of the agricultural budget, and the closing of the sustainable farming initiative.
The hon. Gentleman just said that CPO powers are, to the landlord, an inconvenience. I would say that having a home, farm or business taken is absolute devastation, not an inconvenience.
The hon. Gentleman knows he is talking absolute rubbish because those are not the words I said at all. What I said was that the occupiers’ loss payments “are made to recognise inconvenience”. He may have misheard me. I did not say that farmers were an inconvenience or anything of the kind, and Hansard will reflect that. As the proposed payments would clobber the taxpayer by making them pay double the land’s value, we cannot support the new clause.
On the contrary, we say that people are fed up with money going to private developers, leaving local people with little to show for the sacrifices that they are making for new construction projects. There are further areas where the maximum commercial value of land should not have to be paid by public and community bodies. Under amendments 88 and 89, proposed by my hon. Friend the Member for Twickenham (Munira Wilson), hope value would not have to be paid in CPO cases where land is being acquired for sport or recreation. Her new clause 107, relating to disposals of land by public bodies, would ensure that top dollar did not have to be paid where the Secretary of State certified that the disposal was for “public good”; in those cases, a discounted price could be paid.
As we have heard, another Liberal Democrat amendment, new clause 22 proposed by my hon. Friend the Member for Henley and Thame (Freddie van Mierlo), would provide a “compelling case” justification for compulsorily purchasing land for new footpaths and cycle paths. Knowing the location of Haddenham and Thame parkway station as I do, I congratulate him on this key proposal, which would really help his constituents.
Local authorities could really do with compulsory purchase powers for cycling and walking paths. The Devon local cycling and walking infrastructure plan that came out last December said that
“certain private sector development…may come forward sooner, or later, than anticipated”.
Local authorities do not have any control over when they can put in walking and cycling paths. Would my hon. Friend’s amendment correct that?
The amendment of my hon. Friend the Member for Henley and Thame would definitely provide a much stronger justification for a CPO that enabled footpaths and cycle paths to be made. As he said, it would create a more level playing field with the compulsory purchase powers already in use for highways. I certainly agree with my hon. Friend the Member for Honiton and Sidmouth (Richard Foord). New clause 22 is a very logical amendment, and there is no logical reason why Ministers should reject it, although that has not stopped them so far; I hope that they break the habit of a lifetime.
We are clear in our amendments that communities should lead, and should be in the driving seat, when it comes to development and land. When people see the infrastructure for which they have been calling, it drives more community consent for the homes we need and the communities that we want to build. We need infrastructure for nature as well. Good places to live have gardens, open spaces, parks and meadows, so our new clause 114 would charge development corporations with ensuring those things.
I remind the shadow Minister that development corporations discharged planning powers under Conservative Governments, just as under Labour and coalition Governments. It is not always local authorities that deliver development. It is therefore right to ensure that development corporations discharge their duties as effectively as possible. If and when they build new towns and major developments, as the Government want them to, they must ensure open spaces for nature—spaces that work for people and our environment. Amendment 151 would require them to report regularly on their environmental and climate duties.
The first garden cities were supported by a Liberal Government and built without felling a single tree, as the hon. Member for North East Hertfordshire (Chris Hinchliff) confirmed yesterday. Their successes were emulated, and they are still emulated in the best developments, right up until today. The vision was a radical one of bringing people and the environment, town and country, and nature and humanity closer together. Those pioneers ensured healthier places to live in, an objective that our new clause 6, promoted by the Town and Country Planning Association, would insert in the planning objectives. Today, however, we face the much greater challenge of saving nature, as well as community cohesion and consent, before it is too late.
These amendments may not pass, but make no mistake: there are no greater threats to our way of life than the breakdown of trust, which risks destroying communities, and the breakdown of our environment, which is destroying nature. Those are the challenges that our amendments would tackle head-on, and I humbly urge Members to support them.
Once more unto the breach. I rise to speak in favour of amendment 68 in my name, and I hope to find as much common ground with Ministers as possible. I fully agree with the Government that we need bold reform of the planning system to tackle the housing crisis, and that is what even stronger reform of CPOs would deliver.
We have substantially more homes per capita than we did 50 years ago, yet over that time, house prices in the UK have risen by 3,878%. The Minister for Housing and Planning was right to argue that housing supply is not a panacea for affordability. There have been 724,000 more net additional dwellings than new households in England since 2015, so the Deputy Prime Minister was right to argue that there is plenty of housing already, but not enough for the people who desperately need it. The fundamental planning reform we need is an end to the developer-led model, which Shelter estimates is on track to deliver just 5,190 social rented homes per year, despite those being the very properties that we need to reduce waiting lists and get families out of temporary accommodation.
The housing crisis is one of inequality. We must move away from reliance on the vested interests of private developers, whose priorities will never align with the public good. Amendment 68 is intended to ensure just that. Half of England is owned by less than 1% of its population. Between 1995 and 2022, land values rose by more than 600% to £7.2 trillion, which amounts to more than 60% of the UK’s net worth. The amendment would build on Government proposals to give councils the land assembly powers necessary to acquire sites to meet local housing need at current use value, and so would do away with speculative hope value prices, which put taxpayers’ money into wealthy landowners’ pockets. That would finally make it affordable for local authorities to deliver the new generation of council homes that is the true solution to this nation’s housing crisis.
If we coupled strengthened compulsory purchase powers with a more strategic approach to site identification and acquisition, we could not only increase the amount of affordable housing built, but achieve genuinely sustainable development, and would no longer be beholden to whatever ill-suited proposals developers chose to bring forward.
The failings of our developer-led planning system are writ large across my constituency. In the 10 years from 2014 to 2024, North Hertfordshire and East Hertfordshire delivered a significant expansion of housing supply—3,973 and 7,948 net additional dwellings respectively. What happened to local authority housing waiting lists over the same period? They rose from 1,612 to 2,449 in North Hertfordshire and from 2,005 to 2,201 in East Hertfordshire. There have been more than enough new homes in my area to clear housing waiting lists, but the affordable homes we need are simply not delivered by a profit-driven model. A further fact stands out: over that decade, during which housing supply and waiting lists grew simultaneously in North and East Hertfordshire, not a single council house was built in either authority.
It is time for a genuine alternative to this farce. I urge the Government to look closely at the amendment, and to push onwards to create a planning system that once again puts people before profit.
I will speak to the amendments relating to compulsory purchase powers, and to my new clause 128. I note that much of the Bill and most of the clauses will not affect Scotland, but, unusually for a planning Bill, there are components that do affect it.
Before I talk about the detail of my concerns about compulsory purchase powers, I want to set out a little of the context, and say why the issue is exercising so many of my constituents. I am privileged to represent the Scottish Borders—the place I call home. It is undoubtedly one of the most beautiful parts of the United Kingdom, but it is under attack. The net-zero-at-all-costs agenda of this UK Labour Government, backed by the SNP in Edinburgh, is causing huge concern to my constituents. Massive pylons, solar farms, wind farms and battery storage units are ruining the Scottish Borders as we know them, and compulsory purchase powers are a key part of delivering many of those projects.
When it comes to infrastructure, such as battery energy storage systems, it is not just the Scottish Borders that are affected, but areas like mine, Aldridge-Brownhills in the west midlands. I support what my hon. Friend says about this feeling like encroachment, and about increasing compulsory purchase powers. Where will it end?
I share my right hon. Friend’s concerns. Ultimately, this is about choices. The choice that this Government and the Scottish Government are making is whether we protect our natural environment, and the rural communities that have sustained food production for many years, or turn them into an industrial wasteland. The compulsory purchase powers in the Bill that affect my constituency in Scotland will affect many similar communities in England.
My constituents in the Scottish Borders have had their fair share of new developments. In the Scottish Borders, the countryside is where we live. It is not some distant, remote area that is occasionally visited by tourists from Edinburgh or London; it is the place we call home. Compulsory purchase powers must be exercised with appropriate checks and balances in order to protect our communities, whether in Scotland or in other parts of the UK.
I now turn specifically to the amendment that stands in my name, new clause 128, which deals with compulsory purchase and the community benefit related to it. We all know that when compulsory purchase takes place, it is difficult and often devastating for those who are directly affected. Too often, though, we fail to recognise the impact on the wider community, especially when it comes to new energy infrastructure. We have to improve the relationship between those affected and those acquiring the land. Compulsory purchase can be a complex and intimidating process.
My hon. Friend is making an excellent speech about choices, but this is also about fairness. The compulsory purchase powers contained in part 5 of the Bill disregard any hope value over and above agricultural value, which is not fair at all for those landowners who are having their land compulsorily acquired. If my hon. Friend’s new clause were accepted, the 20% to which he refers would be 20% of the agricultural value rather than the market value, as the Government have stipulated, so less money would be going into the benefit scheme. Would it not be better if the Government were advocating market value for compulsory purchase, rather than disregarding it in favour of agricultural value?
My hon. Friend makes an excellent point, and I agree with him. I am sure he will speak to those points further when he contributes later. We should be protecting the market value and not doing anything to interfere with the market—not least because if my new clause were accepted, it would improve the community benefit fund, which in turn would benefit the local residents who are directly affected by these types of projects. If the Bill could be improved in this way, it would be better for the people who live in rural communities, such as those in the Scottish Borders.
As we saw again yesterday, this UK Labour Government have U-turned a lot over the past few months. I hope they will take this opportunity to listen to right hon. and hon. Members from across the House so that we can protect our beautiful environment, protect nature, and do better for rural communities.
It is an honour to speak in this important debate. I will address three amendments that stand in my name: amendments 88 and 89, which go together and relate to hope value, and new clause 107, which relates to the disposal of public land.
Amendments 88 and 89 are linked and represent a simple yet important change to the Bill. They would extend the circumstances in which hope value may be disregarded in the event of a compulsory purchase order to include playing fields and recreational facilities. I and my Liberal Democrat colleagues warmly welcome the important changes in the Bill. Ministers have brought forward measures to reform the CPO process for the purpose of building more affordable homes, so that hope value no longer over-inflates land prices for acquiring authorities. However, I believe that a prime opportunity has been missed. As such, my amendments seek to include recreational facilities such as playing fields in these provisions when an acquiring authority—for instance, a local authority—is using a compulsory purchase order to acquire land for use as a sports or recreational facility. They would ensure that hope value would not be applied, thus making the cost more affordable and helping to boost grassroots sports provision in communities up and down the country.
We in Twickenham, Teddington, the Hamptons, St Margarets and Whitton are incredibly fortunate to have a thriving grassroots sports scene, from football to cricket, rugby, hockey, tennis and much more. Girls’ and women’s football is just one example of the continued growth in grassroots sports in my constituency; my own daughter plays with the growing number of girls’ teams at Whitton Wanderers, and Twickenham Cygnets now boasts over 300 girls and has 40 women—Twickenham Swans—on its books. However, they are at the point of turning more away because they simply cannot get the pitch space to train and play matches. This problem affects many clubs across the country, and certainly right across the London borough of Richmond upon Thames. At the same time, we have the absolute scandal of Udney Park playing fields in Teddington lying derelict for more than a decade, with successive developers paying over the odds for the site, only to be rightly prevented from developing it; that precious site has numerous protections attached to it.
The brilliant Udney Park Community Fields Foundation —a community group in my constituency led by Jonathan Dunn, who has been a tireless campaigner for grassroots sports—has repeatedly bid for the site to bring the playing fields back into community use. The current owner has given notice that he wants to sell the playing fields, but has not engaged with the foundation at a realistic playing fields valuation. Trying to recoup a high purchase price for this precious and well-protected site does not look feasible. Extending the Bill’s provisions to playing fields to allow hope value to be disregarded for a compulsory purchase order could allow such sites to be acquired by the local authority or another public body.
Richmond council, like many other local authorities, is hardly awash with cash, but simply having that provision in law would provide leverage for community groups when they have to negotiate with developers, as we have seen in the case of Udney Park. I am certain that Udney Park is not the only example where this is happening. I was therefore extremely disappointed by the Minister’s response to these amendments in Committee, which, with all due respect, was contradictory. He rejected them on the following basis:
“Affordable housing, education and health are types of public sector-led development where the public benefits facilitated through the non-payment of hope value can be directly demonstrable to local communities. The Government have concerns that the provisions would be less compelling for sporting and recreational facilities.”––[Official Report, Planning and Infrastructure Public Bill Committee, 20 May 2025; c. 489.]
I say that sport and physical activity are critical to physical and mental health, and he said that health is an important public benefit for the purposes of disregarding hope value.
Just yesterday, Ministers in the Department for Culture, Media and Sport stated that the Government
“are committed to supporting the growth of grassroots sports across the UK.”
The Secretary of State for Culture, Media and Sport made a brilliant speech last night at an event attended by many Members in this place to launch the inspirational Lionesses’ campaign to defend their European crown. She was passionate about the importance of grassroots sports and extending opportunity to every community. She has announced £100 million of investment in grassroots sports facilities, which is extremely welcome.
The change proposed through my amendments would help Ministers to achieve the important objective of expanding sports and recreation grounds without costing them a penny. It would not encroach on the principle that the use of CPO powers must be proportionate and justified in the public interest, given that Ministers have so strongly and correctly championed the growth of grassroots sport across the UK as being in the public interest. The amendments would apply solely to land that is already sports field or recreational land, where there is local need for that sports and recreational facility and it is at risk of loss to speculative development.
It is entirely proportionate and justified in the public interest that CPO powers and the removal of hope value should apply in such circumstances, so it defies all logic that Ministers have not embraced this change and that they continue to oppose it. I look forward to hearing an explanation from the Minister. I hope he will at least commit to engaging further on this issue as the Bill moves to the other place. Perhaps he will meet me to discuss it, rather than dismissing it completely.
Let me turn to new clause 107, which is also in my name. There is cross-party consensus on the dire need for more housing across our country. The Liberal Democrats have a strong commitment to delivering desperately needed social housing, so it was disappointing to see Labour Members vote against our amendment 15 last night to write a social housing target into law. One important way to secure sites for social and affordable housing is when public bodies dispose of land and buildings. In constituencies such as mine, with its royal park, a river and other important protected parks and spaces, sites are few and far between, yet week in, week out I see cases in my inbox and at my constituency surgeries of families on the social housing waiting list for years, with little hope of getting out of desperately overcrowded and unsuitable accommodation.
I am incredibly proud that Liberal Democrat-run Richmond council has consistently sought to repurpose, and sell below market value, sites that it owns but no longer needs to provide for more social homes from which families in my constituency can benefit. The council has done this despite the immense pressures on local government funding, but sadly other public bodies do not feel able to do the same, whether they are national Government Departments such as the Ministry of Defence, key public services such as the Metropolitan police, or arm’s length bodies such as NHS England. They all want to achieve as high a price as they can when selling assets that they no longer need in order to be able to invest in frontline public services. That is a laudable and important aim, but it prices social housing providers, and other public service providers, out of the market, while losing assets from the public sector balance sheet at the same time.
New clause 107 would fill the gaps in the existing patchwork of legislation and regulation that is somewhat piecemeal in the public bodies included and is not properly used to allow all public sector bodies to sell assets below market value for public benefit, whether that is for social housing or for much-needed community infrastructure like health facilities or a community centre. Not only would it extend that provision to all public bodies; it would go further still by imposing a duty on all public bodies to at least consider disposing of assets for public good.
This wide-ranging new clause builds on my successful campaign in the last Parliament, when I worked with a succession of Conservative Housing Ministers to secure a change in the then Bill, which became the Levelling-up and Regeneration Act 2023, that included police authorities under existing provisions to sell public assets below market value for public good. My campaign was born of frustration about the fact that the disused Teddington police station lies derelict in my constituency. A local housing association and the Park Road GP surgery are desperate to obtain the site to expand and provide state-of-the-art GP facilities on the ground floor, as well as much-needed social housing on the floors above. This Government think that all members of the public are blockers, but I can tell the Minister that the Teddington community are right behind my campaign, and we will fight tooth and nail to ensure that when the Met puts the site on the market we can obtain the GP surgery and housing that our community desperately need at a reasonable price, which will almost certainly not be as high as private developers can offer.
I secured the legislative basis to achieve that ambition in the Levelling-up and Regeneration Bill, but in many other cases the provision is not there or is not used. Furthermore, the amount below market value for which some public sector bodies can dispose of their assets has not been updated since 2003. New clause 107 seeks to address that anomaly, although I note that the Conservative Government made a commitment to consulting on and reviewing the amount—something that did not happen before they left office, and something that the present Government have not implemented since they took power last year.
The Chancellor herself has previously said that surplus Government land is a
“huge untapped resource that could create opportunities for the next generation of homeowners.”
I warmly welcomed the news in March that Network Rail would set up a property company to use surplus land for house building. There is so much more than just Network Rail land, but we need both the legislative basis for public sector disposals below market value and the incentives to achieve those sales. I do not blame the Metropolitan Police Commissioner for wanting to get top dollar for Teddington police station, especially when I read about the cuts that he is having to make to frontline policing and the intransigence of the Treasury when it comes to proper funding for the community policing that the Government have promised.
I say to Ministers that this is robbing Peter to pay Paul. We need a duty on all public bodies, and financial incentives from the Treasury for them to repurpose or sell their assets for community good. We can achieve the homes and public services that our country desperately needs, not by ripping up our green belt and precious open spaces but by thinking creatively about how we repurpose existing sites, including those already owned by the taxpayer. I look forward to hearing the Minister’s response.
I rise to speak about new clause 127 and amendment 153, both of which are in my name.
Compulsory purchase is a highly emotive and highly controversial subject. Indeed, much of yesterday’s debate was taken up by discussion of precisely the new CPO powers that the Bill will grant to Natural England and local authorities. The fact that under the Bill a farmer in Keighley can be told how to use his land, on pain of a CPO, as a result of a development in Kent is complete and utter madness, but that is exactly the intention of the Bill. No matter where someone owns land, they may be put at detriment by a scheme that is taking place elsewhere. That is exactly what the Government intend to do through the additional CPO powers: to give Natural England—an organisation with which I have huge frustration and which, dare I say it, is not accountable robustly to a Minister—more power to use compulsory purchase orders.
I share my hon. Friend’s frustrations with Natural England. Does he agree that it is a bit strange that we have a Government who say they want to reduce the number of quangos, but who have reduced it by one and introduced 27? In this Bill, they are giving more powers to an unelected quango, which risks doing further untold damage to our green fields, our open spaces and our farmland.
That is exactly why I am so frustrated by the intent of the Government’s Bill. It gives Natural England more compulsory purchase powers, more funds through environmental delivery plans, and an ability to scrutinise and, indeed, to dictate to landowners how their land or farm may be utilised. That is wrong, especially when, as I say, a farmer farming in my constituency of Keighley could be subject to a CPO as a result of a development elsewhere in the country.
The Government and I absolutely disagree on the right to use CPO, and I really struggle with the expansion of section 14A orders, which will allow an acquiring authority to discount the hope value of a seized property. Property rights matter, because they are the foundation of our society. If the state chooses to use its powers to confiscate the property of a law-abiding person, stipulates how that land must be used, and then tells the landowner how much they are entitled to receive, that is wrong—in my view, it is an absolute theft of private property. So-called hope value is not a capitalist trick, a racket or unfair; it is simply the true market value of the property. That is why I fundamentally disagree with the purpose of the Bill, which entails the Government’s stipulating that hope value must be disregarded over and above the agricultural value that is to be paid. It should not be the law that decides the value of something; it should be down to negotiation and the market.
That brings me to fairness. Although I admire the Government’s aspiration to increase development, the Bill is fundamentally flawed on the issue of fairness, because it takes away the property rights of landowners—the very landowners who will have been encouraged by their local authorities to put forward their land to be zoned as part of a local plan, and encouraged through a service level agreement process to have their land zoned for housing, employment or whatever it may be. As a result of this piece of legislation, the local authority, or indeed Natural England, will have the ability to compulsorily acquire the land not at market value, but at agricultural value.
The powers to which the hon. Gentleman refers, and which his amendment seeks to remove— I will come on to speak about it in more detail—were set out in the Levelling-up and Regeneration Act. Does the hon. Gentleman realise that he voted for that Act? He voted for these powers.
But the Government are going way beyond that and giving more powers to local authorities and, indeed, Natural England. If the Minister has gone out and spoken to anyone in the agricultural world, he will realise that trust in Natural England is shot, yet the Government are giving it more powers to compulsorily acquire land and then effectively dictate to our farmers and landowners how their land is to be managed. I am not in favour of that. That is why I urge the Government to consider my new clause 127 and amendment 153. It is frustrating that, despite this issue being raised in Committee, the Government have not given it due consideration, and I therefore urge them to rethink their position.
Section 14A orders represent an attempt to run roughshod over our landowners. We can debate the merits of that approach, but we must start by calling it out for what it is. This Bill extends the section 14A powers to parish councils and Natural England, and applies the cut valuation of occupier’s loss, which is a separate payment meant to reflect the disruption to the occupier, not the loss of an asset. That is exactly why I wholeheartedly support Opposition new clause 42, which would increase the occupier’s loss payment from 2.5% to 7.5% of what is paid for the land. It adds to my frustration that the valuation will be based on the agricultural value, not the market value.
My hon. Friend is making an excellent speech. Does he agree that one of the flaws of the Bill, which his amendments attempt to address, is that it overreaches not only in attacking property rights in this country and interfering with the market, but in taking away key aspects of democratic accountability? That is why so many of our constituents across the United Kingdom are so concerned about what the Bill attempts to do.
That is exactly why I urge the Government, as I have throughout the passage of the Bill—I know this point was also raised in Committee—to realise the huge level of disenfranchisement it represents for landowners. This Bill is not introducing fairness into the system, because it does not enable the state to pay the market value that should be attributed to anything that is compulsorily acquired. That is why I do not support the Bill, and I will be proud to vote against it on Third Reading.
I am grateful to the hon. Gentleman for giving way during his speech against all the things he voted for under the last Government, but I am confused by Opposition Members. Is there no limit to the amount of taxpayers’ money they would give to landowners, rather than to councils so that they can build social housing, roads and the other public facilities we need?
Here we have the Liberal Democrats setting out their position, and it is a good that they are doing so because I fundamentally believe that if a farmer owns land and the state seizes control of it through compulsory purchase powers, it is absolutely right that that farmer should be rewarded with the market value, not the agricultural value. I know the Liberal Democrats have set out their position that they fully support just agricultural value being paid, not what the land is really worth at market value, and I hope all farmers across the country understand the Liberal Democrat position, which is to disregard that hope value.
I want to know whether the Government have undertaken an impact assessment on the Valuation Office Agency. As we go through the compulsory purchase process, there will be many a challenge—quite rightly—by land agents or valuers acting on behalf of those many landowners to understand the true value of their land. I fear that the Valuation Office Agency will not be able to cope with the level of scrutiny there will rightly be of the Government’s position.
My hon. Friend has set out some of the challenges the Bill presents for the farming community. Part 5 provides authorities with significant compulsory purchase powers, but with no definition or limits whatsoever. For our farming community, this all comes on top of the changes to agricultural property relief, business property relief and inheritance tax, and the increased national insurance for employers. What is it about the farming community that this Government do not like?
The farming community faces so much uncertainty not only as a result of the Bill, but because of all the additional pressures, whether it is the family farm tax or the increases in overheads, that are hitting cash flow this year.
That is why my new clause 127 and amendment 153 —and, indeed, Opposition new clause 42—are so important. It is frustrating that the Government are just throwing out these amendments and are not willing to consider them, because they have been put forward in the best interests of our farming community and our landowners, so that the state does not have the control that this Government are willing to give it. I urge the Government to consider these very practical, sensible amendments to the Bill.
I am happy to speak today in support of amendment 151, which was tabled by my hon. Friend the Member for Taunton and Wellington (Gideon Amos). Our planning system needs reform, but the approach the Government are taking in the Bill is sadly all wrong and desperately needs to be amended.
Amendment 151 would compel the Secretary of State to produce a report that addresses a key principle of my concern with the current house building regime, which is good design. I am pleased that in drafting clause 93, the Government have recognised that good design goes hand in hand with sustainable development, but we need to see evidence that the houses we are getting are actually being designed and built better if we are to be confident that we are not just getting more of the same from the big developers.
No one has ever told me that they want more energy-inefficient chocolate box homes, buried deep in rabbit warren estates and built to maximise developer profit. What we see too often in North Norfolk is homes that people do not like and cannot afford, but which they must queue up to buy because there is no other option. I was horrified recently to find that developers had put covenants on an entire estate to ban branded vehicles from parking on private driveways—they might as well have marketed those homes as for rich second home owners only. That is not how we want to design our communities of the future.
The Government are already taking steps towards good design by accepting the provisions of the sunshine Bill, introduced by my hon. Friend the Member for Cheltenham (Max Wilkinson), which mandates solar panels on new builds. It can sometimes seem that politicians ignore good ideas if they come from Opposition parties, so I am particularly pleased that the Government have come to share the Liberal Democrats’ view that having solar panels on new builds is just common sense.
It is not just about the homes themselves; good design is also about how and where we build new houses. People are growing tired, rightly, of estates that are designed around car use, rather than putting public transport or walking and cycling at the heart of design. We can encourage more people to walk or use public transport if we design developments in a way that makes it easy and attractive to do just that. When we use scheme design to encourage walking and cycling rather than car use, access to public transport rather than car parks, and routes that take people to town centres rather than bypasses, we see the benefits right across society: in reduced pressure on health services, in better natural environments and in more cohesive, resilient communities.
Good design will also support the second key aim that amendment 151 seeks to have the Government report on, which is tackling the climate emergency. It is simple: a development that means fewer fossil fuel-powered cars are required to be on the roads will be better for the planet than one that does not.
I do not think that people in North Norfolk are unreasonable in asking for developments to be affordable to buy or rent and sustainable and low cost to heat and power, and to feel connected to communities and not a burden on them. My constituents want to end the housing crisis, but they do not want it done through unaccountable, top-down targets. They want a design-led approach to planning and infrastructure development. I hope the Government hear our proposals to achieve that and support them today.
In my constituency, we have seen the consequences of house building without the infrastructure to match. This Bill is such a missed opportunity: the Government are repeating the same top-down, developer-led approach that has already failed, sidelining communities, undermining local plans and cutting local councillors out of key decisions. That is why I rise today to speak in support of some amendments.
The current system often sees vital infrastructure lagging or not being delivered for years after houses have been occupied because the delivery of infrastructure is left to developers that submit viability studies and variations of conditions. We need a planning system that puts people and places first, and that includes high-quality active travel infrastructure.
We are lucky in Stratford-on-Avon to have the much cherished Greenway, a traffic-free five-mile cycle path and bridleway, but we also need cycling and pedestrian infrastructure in high-volume streets in our towns so that children and young people can travel to school safely and families can access services, while reducing car journeys and keeping people fit and healthy.
In the rural areas of my constituency, the Two Shires Greenway group is campaigning for an ambitious cycling route along a disused railway. These will link villages to the towns of Stratford and Alcester in my constituency and then further afield to Evesham. But beyond the feasibility studies, the fragmentation of land ownership is an issue. That is why I support new clause 22, proposed by my hon. Friend the Member for Henley and Thame (Freddie van Mierlo), which strengthens powers to compulsorily purchase land for active travel routes.
That sounds similar to the Otter Trail in my patch, which would link Feniton to King’s School at Ottery St Mary. Does my hon. Friend agree that these new active travel paths will enable young people to get to school safely?
Yes, absolutely. We need to ensure that our new generation of young people are fit and healthy and able to cycle. That would also reduce carbon emissions in our towns. We need high-quality cycling infrastructure to ensure that all this happens.
The hon. Lady is making a principled speech. Can she explain to the House why she does not think the current local plan regime is adequate to ensure that we have sustainable travel routes? Bringing CPOs into such areas would be regressive to people’s rights and responsibilities.
I thank the shadow Minister for his question. Let me take the case of the disused railway in my constituency. It is not in public ownership any more, and it is fragmented. We can fund as many feasibility studies as we want to invest in cycling infrastructure, but an incidental green space is not used by landowners at all. If we compulsorily purchased such land—obviously we would offer compensation—we could have high-quality cycling infrastructure that would link up villages to the major towns, so that people can attend GP appointments, schools and so on. The paths are also off-road—away from our gridlocked roads.
Development must come with green and wild spaces, not just tarmac and bricks. That is why I strongly support new clause 114, tabled by my hon. Friend the Member for Taunton and Wellington (Gideon Amos), which would ensure that development corporations include green space provision in all new developments. Green spaces are not a luxury; they are essential for mental health, biodiversity, wildlife, flood prevention and community cohesion. Like green spaces, playing fields and recreational facilities are fundamental for the development of grassroots sports and for youth opportunities, and therefore I support amendments 88 and 89 of my hon. Friend the Member for Twickenham (Munira Wilson).
We also need serious, measurable action on climate. Development corporations are being handed significant powers, yet the Bill fails to guarantee that they are delivering in line with the UK’s climate targets. That is why amendment 151 is so important. It would ensure that the Secretary of State publishes a report on whether development corporations are meeting their legal duties on sustainable development and climate change. With so much at stake, we need transparency and accountability built into the system.
Finally, we need new homes that are genuinely affordable, warm and built to high standards. In Stratford, many families and young people are priced out of their own community. It is not enough to build houses; we must build the right homes in the right places with the right infrastructure, green spaces and recreational and sports facilities that create communities.
I urge the Government to back these amendments and take this opportunity to deliver a planning system that is fair, sustainable and community led.
It is a pleasure to respond to what has been a thoughtful and, largely, well-informed debate about a piece of legislation that is, to quote the shadow Minister, “groundbreaking”. I thank all hon. Members for their contributions this afternoon. Can I take the opportunity to thank the shadow Minister and the Liberal Democrat spokesperson, the hon. Member for Taunton and Wellington (Gideon Amos), for their robust but civil and fair approach to scrutiny in Committee?
I want to respond to the key amendments and the arguments that have been made this afternoon. Among other reforms and interventions, the Government are clear that significantly boosting our housing supply requires a renewed focus on building large-scale new communities across England. Development corporations are vital vehicles for delivering large-scale and complex regeneration and development projects. The Bill creates a clearer, more flexible and more robust framework to ensure that they can operate effectively. While there is clearly widespread support across the House for the effective use of development corporations where appropriate, a number of amendments have been tabled that seek to impose specific requirements on them.
New clause 114 in the name of the hon. Member for Taunton and Wellington would ensure that development corporations include provision for green spaces in new developments. The Government absolutely agree that delivery of large-scale development and regeneration projects must include the provision and stewardship of green space, which has a wide range of benefits, including supporting health and wellbeing, climate mitigation and adaptation, and biodiversity and wildlife.
We do not believe that the new clause is necessary to deliver on these objections. First, development corporations have a strong track record of providing suitable green space. Ebbsfleet development corporation, for example, has a target for the delivery of parks, open spaces and recreation areas, providing almost 15 hectares of parks in recent years, and this year aiming to provide around 10 hectares of new parks and open spaces.
Secondly, development corporations that take on local plan-making powers are already subject to national planning policies, including those concerning green infrastructure. This means that where development corporations take on local planning authority powers, any planning decisions made should be informed by the national planning policy framework, which, as hon. Members will be aware, is a material consideration when determining planning applications.
As the House will know, the NPPF sets out policies to encourage the provision of green infrastructure and outlines that plans should set out an overall strategy for the pattern, scale and design quality of places, making sufficient provision for the conservation and enhancement of the natural environment, including green infrastructure. The NPPF also sets out that planning policies should be based on robust and up-to-date assessments of the need for open space, sport and recreation facilities and opportunities for new provision that plans should seek to accommodate. It is the Government’s view that the duty proposed in this new clause may unhelpfully constrain some development corporations—for example, where development corporations are designated specifically for the redevelopment of smaller commercial spaces.
On the stewardship of green spaces, each development corporation has a designated oversight authority, which is either the Secretary of State, a mayor, or local authorities, and it is for them to set specific frameworks for stewardship arrangements. Although I commend the hon. Member for Taunton and Wellington for once again highlighting this important issue, I hope that with the explanation I have provided he will agree to withdraw his amendment.
I turn to the reforms to compulsory purchase in the Bill, which are designed to improve the CPO process and land compensation rules to enable more effective land assembly through public sector-led schemes. New clause 127 and amendment 153 tabled by the hon. Member for Keighley and Ilkley (Robbie Moore) would repeal section 14A of the Land Compensation Act 1961. Let us be clear: the amendments propose to repeal a power introduced by the last Conservative Government, in which the hon. Member served and in which he voted for the specific piece of legislation containing the power.
The power allows acquiring authorities to take forward certain types of scheme by compulsory purchase and to pay a reduced value for land where it will deliver clear and significant benefits and is justified in the public interest. The hon. Member’s amendments do not seek, as proposed in the Bill, to limit the extension of the power to parish and county councils or to the use of compulsory purchase powers as they apply to Natural England. The amendments seek to repeal a power contained in a piece of legislation that he voted for, and it is frankly embarrassing to listen to him try to explain that sharp U-turn.
To support the delivery of the housing and infrastructure that this country desperately needs, we must make better use of underutilised land across the country. We know that many local authorities share this objective, but their plans are often frustrated by unrealistic compensation expectations on the part of landowners. This can result in significant amounts of developable land remaining unused and overpriced, with the result that the building of homes, transport links and schools becomes prohibitively high.
In the debate today, Conservative Members have robustly defended the principle of paying landowners the uplift from the current-use value to the value that land would have with planning permission. Given how Winston Churchill said such unearned increments in land are “positively detrimental” to the general public, are they not attacking their own best traditions?
I agree with my hon. Friend. It is a shame that the Conservative party has seemingly changed its view. [Interruption.] The shadow Secretary of State said, “Yes, that’s right. We’ve changed our view. It was a bad piece of legislation.” Many provisions in the Levelling-up and Regeneration Act 2023 were some of the best introduced by the previous Government. There is lots in the previous Government’s record that Conservative Members should rightly feel embarrassed about; these powers are not among that. Far from removing that power, we want acquiring authorities to use the power. For that reason, we cannot possibly accept the hon. Member’s amendment.
The hon. Member for Keighley and Ilkley (Robbie Moore) suggested that market value would not be paid for such land in compulsory purchases. Will the Minister confirm that the amount paid in compulsory purchases is the market value for the existing use of that land?
The Liberal Democrat spokesman tempts me to stray beyond the specific measures in the Bill and how that power can be used. We are clear and have recently issued guidance about how that power can be used.
That leads me helpfully to amendments 68, 88 and 89, which would expand the LURA power in question. Sympathetic as I am to the more frequent removal of hope value from the assessment of compensation, the use of the relevant power must be proportionate and justified in the public interest so that it does not fall foul of article 1 of the first protocol to the European convention on human rights. Seeking to expand the use of the power beyond that test and apply it much more widely is problematic for that reason. I cannot accept the amendments on that basis.
However, I want to make it clear to the hon. Member for Twickenham (Munira Wilson) that use of the direction power can be sought on mixed use schemes that include sports or recreational uses, but within those schemes there must be education provision, health provision or affordable housing provision to justify the use of the power in the public interest. On that specific point, and to respond to the Liberal Democrat spokesman, I confirm that clause 104 does not extend the LURA power to other uses or social objectives; it merely enables parish and town councils to make use of the existing power.
I will not give away any more. I want to bring our remarks to a close because, as hon. Members are aware, there is a statement to follow our proceedings on the Bill.
I turn to new clause 85, which would change the lost payments regime under the Land Compensation Act 1973. To be clear, lost payments are an amount of compensation paid to eligible claimants to reflect and recognise the inconvenience and disruption caused by CPOs. They are an additional payment to compensation claimable under the Land Compensation Act 1961 for the market value of land or property taken by compulsory purchase. The new clause would allow claimants to claim compensation for the market value of their interests twice, and result in over-compensation being paid. That would be disproportionate. It would also run counter to the established, overriding principle of equivalence in compensation law where a person subject to compulsory purchase should be left no better or worse off in financial terms after an acquisition than they were before. On that basis, we cannot accept the new clause.
I will touch briefly on new clause 42 in the name of the other shadow Minister, the hon. Member for Ruislip, Northwood and Pinner (David Simmonds), regarding loss payments. It would introduce a change to the loss payment compensation regime under the Land Compensation Act 1973, increasing the amount that occupiers of buildings or land subject to a CPO would be entitled to and placing them on an equal footing with owners. As we discussed at some length in Committee, the Bill already achieves in part what the hon. Gentleman is seeking in the new clause as it increases the loss payment compensation due to occupiers of buildings and land.
The purpose of loss payments is to reflect the inconvenience caused by compulsory purchase. It is occupiers, rather than investor-owners, who bear the greater burden in that respect: they are the ones who will need to close or relocate their businesses. Loss payments are a separate head of claim from compensation paid for land taken under compulsory purchase. The Bill rebalances loss payment compensation to allow occupiers to claim a higher amount and landowners to claim a lower amount. We believe that the rebalancing of loss payment compensation in favour of occupiers is the right approach and will benefit, for example, groups such as tenant farmers, for which Opposition Members have made a case in this afternoon’s debate. On that basis, I am afraid that we cannot accept the amendment and I request that the hon. Member does not press it.
Could the Serjeant at Arms investigate the cause for delay in the No Lobby?
I beg to move, That the Bill be now read the Third time.
It has been a real privilege to take this crucial piece of legislation through the House—“groundbreaking legislation”, as the shadow Minister, the hon. Member for Hamble Valley (Paul Holmes), described it earlier. I thank everyone who has played a role in getting the Bill to this stage. I thank my right hon. Friend the Deputy Prime Minister for her unwavering support throughout the Bill’s passage; I thank the Department’s Bill team, led by Alex Bush, for their prodigious efforts over many months; I thank my consistently excellent private office, including its head, Grace Doody, and my brilliant private secretary Gabe Allason; I thank the Clerks, Chairs and parliamentary counsel for facilitating the Bill’s progress; I thank the witnesses who gave evidence to the Committee; and I thank the hon. Members on both sides of the House who provided valuable input and challenge, today and at earlier stages.
This landmark Bill will get Britain building again, unleash economic growth, and deliver on the promise of national renewal. It is critical in helping the Government to achieve their ambitious plan for change milestone of building 1.5 million safe and decent homes in England during the current Parliament, to making planning decisions on at least 150 major economic infrastructure projects, and to supporting the clean power 2030 target and transforming Britain into a clean energy superpower.
As the House will know, the Bill will deliver five key objectives. First, it will deliver a faster and more certain consenting process for nationally significant infrastructure projects. This is a crucial part of the Bill. Upgrading our country’s economic infrastructure—electricity networks, clean energy sources and public transport links—is essential to basic services and a growing economy. The Bill makes a number of changes. It will ensure that national policy statements are kept up to date by providing for a reflective amendment process so that the Government can quickly make minor policy changes or factor in legal impacts.
Secondly, the Bill adopts a more strategic approach to nature recovery that will unlock a win-win for development and the environment. As we discussed at length yesterday, the status quo is not working. It is not working for development, and—let me be clear—that is because constraints such as nutrient neutrality are stifling development and disincentivising planning applications across the country, which is having an impact on house builders, particularly small and medium-sized house builders. We need to remove those constraints. The status quo is also not working for the environment: all too often, the site-by-site process of assessment and meeting obligations is not driving nature recovery. Instead of retaining that suboptimal status quo, we want to take forward a new strategic approach across wider geographies, ensuring that Natural England presents plans that go beyond offsetting harm to driving nature recovery as well as unlocking development.
Thirdly, the Bill will improve certainty and decision making in the planning system. There has been widespread support for the measures on mandatory training for local councillors and on fee localisation. Local planning authorities, which we know have been hard-pressed in recent years, will be able to set their own fees and ensure that more of the burdens that they face in processing applications can be covered by those fees. The House has welcomed that.
We have taken the decision to introduce a national scheme of delegation. I appreciate that that is controversial, but we think it is an absolutely necessary means of introducing more certainty and clarity into the decision-making process. We have launched a technical consultation on the measure, and I urge hon. Members from across the House to engage with the detail of that consultation. I think that when they do so, they will understand that a category of planning applications should be delegated to expert local planning officers. However, with the agreement of the relevant chair of the committee and the lead planning officer in the authority, it will always be possible for the most serious and controversial applications to come before elected members, just as it should be the case that they take decisions on the most significant applications.
Fourthly, we are unlocking land and securing public value for large-scale investment. Today we have debated changes to development corporations, which will play an essential role in driving the delivery of more large-scale communities across this country, and we have discussed CPO powers. We want to see those CPO powers, including the very important CPO reforms passed by the previous Government, which I am sad to hear the Conservatives regret they passed—the shadow Secretary of State said very clearly from the Dispatch Box that it was a mistake. We think those powers are useful, and we want to see their application taken forward. The Bill makes targeted changes to those powers to ensure that they can be used by parish and county councils and, when it comes to nature recovery and the production of environmental delivery plans, by Natural England in certain circumstances.
Fifthly, the Bill introduces effective new mechanisms for cross-boundary strategic planning. We must do planning on a larger than local scale if we are to get the best outcomes, and the Bill introduces new spatial development strategies. These are not big local plans; they are higher-level strategies for different sub-regions of the country to come together and decide, in co-operation, the most appropriate places for housing growth and the best way for infrastructure to be delivered across those areas. In response to feedback, we made a series of targeted changes in Committee: we are removing the statutory pre-consultation requirements from the NSIP regime, which we know are driving perverse outcomes, and we have introduced targeted improvements to the nature restoration fund and a new funding mechanism for statutory consultees.
When it comes to delivering new homes and critical infrastructure, the status quo is patently failing the country and the British people. We can and must do things differently, and this Bill will enable us to do so. It is transformative. It will fundamentally change how we build things in this country and, in doing so, help us to tackle the housing crisis and raise living standards in every part of the country. This Labour Government were elected on the promise of change, and we are determined to deliver it. Through the measures introduced by this Bill, we will do just that. I wish Baroness Taylor and Lord Khan all the best with progressing the Bill in the other place, and I commend it to the House.
I call the shadow Secretary of State.
May I thank the Minister for all his hard work? He is an incredibly decent and polite man. He may be misguided at times, but we cannot agree on everything. I thank him and his team for all their work, and I thank my shadow ministerial team who did a fantastic job of subjecting the Bill to line-by-line scrutiny, the other Front-Bench teams, the Committee and the Clerks. I also thank hon. and right hon. Members from across the House for their contributions.
We are told that this Bill is about accelerating house building, unleashing growth and meeting a national target of 1.5 million homes in England alone in this Parliament. On the face of it, those aims are worthy, but what price are we prepared to pay for the Deputy Prime Minister’s ambition? Make no mistake: what is being proposed could fundamentally and irrevocably alter the character of our towns, our villages, and the green and pleasant land that makes Britain what it is.
This is not an attack on new homes—I am unashamedly pro-business and pro-development. Unlike the Secretary of State, the Minister and half the Cabinet, I have never objected to a housing development in my constituency. Let me be clear: we need homes. We need homes for first-time buyers, for young families, for key workers and for the next generation, but we need the right homes in the right places, shaped by the right principles. Instead, we are being offered a top-down model driven by arbitrary targets and central diktat. The result is soulless settlements, identikit developments and rows of uninspiring concrete boxes that bear no relation to the history, the heritage or the hopes of the communities they are built in.
Crucially, in the Government’s “centralising zeal”—as the excellent shadow Minister, my hon. Friend the Member for Hamble Valley (Paul Holmes), calls it—local voices are being sidelined. Local councillors, and those who live in, love and understand their communities best, are being cut out of the process, with their role reduced and their judgment overlooked. The individual has been subordinated to being a cog in the machine. The Bill in its current form is not just flawed, but dangerous. It risks eroding trust in the planning system and widening the gulf between the Government and the governed.
The Bill must be considered in conjunction with the changes to the national planning policy framework. The Government’s approach of shifting housing targets from urban areas to rural areas is cynical and economically illiterate. While I welcome the restoration of mandatory targets in principle, raising targets by up to 400% in rural areas while simultaneously reducing them by over 11% in London, 30% in Birmingham and Newcastle, and over 50% in Coventry is unfair and wrong-headed. Their grey belt policy—presented as a few disused garage forecourts and wasteland in green belts—is a con. What they have actually done is remove important protections that prevent villages from merging into nearby villages and towns.
Of course, there is also the matter of the environment. Anyone who cares about our natural world knows that once a habitat is destroyed, a woodland torn up or a biodiverse landscape bulldozed, no cheque can bring it back. There is zero confidence on this side of the House that Natural England can successfully mitigate the significant environmental harms that will ensue through the environmental delivery plans. That is why we propose that they be delivered locally through local or strategic plans.
The truth is that we cannot concrete our way to community, we cannot meet our housing needs by overriding the very people we are building for, and we cannot call it progress if the Bill leaves our countryside degraded and our communities disempowered.
Residents in Bexley village in my constituency—it is one of London’s outer villages—are particularly concerned about the erosion of their green areas around the village. Does my hon. Friend share my concern and surprise that, when the outer London green belt issue was discussed in the London Assembly last week, Reform backed Mayor Khan in building over the green belt? Reform backed Khan against the interests of Bexley residents.
I thank my hon. Friend for his intervention, and the failures of the London Mayor to build more houses are well documented. What is perhaps not a surprise is that Reform would take the further step of supporting the London Mayor in the pursuit of Labour votes.
We have grave concerns about the enhanced compulsory purchase order powers for councils, mayors and even Natural England, without hope value or market value. This undermines one of the most important principles of our economy: property rights. Not only is this unfair, but it will face legal challenge after legal challenge in the courts.
During the passage of the Bill, we attempted to work with the Government to make sensible changes to make it fit for purpose, but to no avail. Let us not be seduced by false choices. We do not have to choose between development and democracy, between homes and heritage, or between ambition and accountability. We can build and we must build, but we must do so in a way that listens, respects and safeguards.
I urge the Government, yes, to be ambitious, but also to think again. They should rethink the Bill, and restore the local voice and reinstate environmental protections. Let us chart a path to progress that honours our need for homes, our obligation to communities and to the environment, and our duty to future generations. In its current form, we cannot support this Bill.
I call the Liberal Democrat spokesperson.
It has been an honour and a privilege to represent the Liberal Democrats at the pleasure of my right hon. Friend the Member for Kingston and Surbiton (Ed Davey) on the Planning and Infrastructure Bill in Committee and at all stages of the Bill. I thank my staff team for their work and my colleagues on the Liberal Democrat Benches for their spirited amendments across all topics; in fact, we put forward 78 amendments in Committee, which I can only imagine was an absolute joy for the Minister and his officials to respond to.
I pay tribute to Members across the House for their work on this Bill. It has stimulated amendments from all corners of the House, as well as great debate, including my hon. Friend the Member for St Ives (Andrew George) working with the hon. Member for Bury St Edmunds and Stowmarket (Peter Prinsley) on their amendment on rural housing exception sites, to give just one example of the cross-party approach from different corners of the House towards improving the Bill.
On Second Reading, where the Liberal Democrats were the only party—except Plaid Cymru—to vote against the Bill because of our principled concerns about it, we set out to address our concerns about people’s rights, communities and fairness, and the effects the Bill will have on nature. We sought to address all those topics with our amendments.
First, on rights for people and individuals, as the Chair of the Select Committee, the hon. Member for Vauxhall and Camberwell Green (Florence Eshalomi), pointed out yesterday, what greater right could there be than the right to a decent, affordable home to bring up one’s family? We championed our proposal for 150,000 social homes a year to be built as a key target for this Government, and continue to encourage them through all means, including votes in this place, to move towards a target for building social homes, rather than simply a target for building millions of homes; without that, the target will be led by private market housing, which, on its own, is no solution to the problems we face.
We sought to address communities and fairness by seeking to remove the power that the Government will grant themselves, and all future Governments, to interfere in the running of councils and to give decisions to employees and planning consultants over and above the heads of the councillors who employ them, and who are meant to be accountable for those decisions. For the first time, decisions could be made by council officers and consultants, and, though every single elected councillor of that authority may disagree, those decisions will stand in their name, and councillors will not have the power to do anything to change them. That cannot be right.
It will undermine communities’ trust in politics and our planning system—a system in which people engage more at a local level than perhaps any other aspect of local government. The more people see the centralisation of planning powers, the standard method and guidance written by Whitehall, the appeals process dominated by Whitehall, and now even their own councillors not allowed to make decisions, the more we will damage communities’ trust in politics and their belief in the planning system and the system of local democracy, which is so important to our country. That is the principal reason that we object so strongly to the removal of powers from councillors in the Bill.
We support a number of the measures in the Bill; there are many good measures. In passing, I pay tribute to the Minister for his work on bringing back strategic planning, on which he has worked for a number of years. However, we are gravely concerned about its effect on nature. The National Trust has called the Bill a “licence to kill nature”. It is right, of course, to bring in a system for phosphates, for instance, which could be mitigated at a strategic level through environmental delivery plans, but it is wrong to completely remove from that process the principle of “first do no harm” on the site on which we are developing. We should enshrine the mitigation hierarchy in this new system in the Bill, so that, first, we seek to avoid harm to the site, then to mitigate it and, finally, to offset it, but only where that is absolutely necessary. Our new clause 1 would have put that protection of nature into this new system.
I am sure my hon. Friend knows his legislation very well, but the Levelling-up and Regeneration Act 2023 stated that Ministers have a duty to further the purposes of protected landscapes such as national landscapes. Does he think that we have missed an opportunity in this Bill by not giving national landscapes a seat at the table as statutory consultees, like, for instance, Chichester harbour in my constituency?
I am grateful to my hon. Friend who has done so much work to champion national landscapes and the need for them to have a seat at the planning table. In my own national landscape, the mellow and beautiful Blackdown hills of Somerset also deserve a seat at the planning table. We do not believe that cutting out consultees, consultation and voices such as Sport England from the planning process is the way to deliver more homes or better communities. We need to bring in voices such as those who support our national landscapes, and we would dearly like to put forward amendments to achieve that.
On the rights of people to genuinely affordable homes, the rights of communities to fairness in the process, and rights to nature, we do not believe that the Government have gone far enough and we cannot support the Bill as it stands.
Fear not, Madam Deputy Speaker, I shall keep my comments very, very brief. I cannot let this Planning and Infrastructure Bill go without saying that it was an opportunity to create the homes that we need, to support our communities, to support our farmers and farming, to support the environment, and to ensure that good development is supported by good infrastructure. I have sat in this Chamber for two days listening to amendments and debating amendments, including my own on battery energy storage systems. Time and again, the Government have just rejected them. What we have ended up with is legislation that drives a coach and horses through accountability. It seeks to steamroll over local people and to concrete over our precious green belt. It gives local people no rights, no voice and no say over how their communities are shaped for the future. On that basis, I will be voting against the Bill on Third Reading.
I, too, will keep my remarks brief, but I wish to put it on the record that Devon, which is rightly celebrated across Britain for its rugged coastline, its rolling farmland, its spectacular moorlands and its ancient woodlands, is subject to the diggers of developers who are encouraged by this Government. Although we all need houses and we all need the protection that they afford, this Bill, if enacted, will only damage nature. Nature in Devon is part of who we are and we face a nature crossroads. The Devon Local Nature Partnership tells us that the loss and decline of Devon’s wildlife has accelerated rapidly over the past 50 years. The wooded valleys of the Blackdown hills and the wildflower meadows of East Devon are priceless, but once they are gone, they cannot be brought back.
Yesterday in the Tea Room, we were talking about the darkening clouds of the international system and how this Government are having to deal with such grave matters of state. Somebody then pointed out that, never mind grappling with wars and conflict, we cannot even create a system where a £44 swift brick is put in a new house to encourage nature in our rural areas.
Healthy natural systems underpin our economy and our communities, but unless we restore nature, we will have nothing left. Building homes does not need to come at the cost of nature. We must build in the right places with nature embedded at the heart of planning.
Question put, That the Bill be now read the Third time.