English Devolution and Community Empowerment Bill

(Limited Text - Ministerial Extracts only)

Read Full debate
Tuesday 2nd September 2025

(2 days ago)

Commons Chamber
Read Hansard Text Watch Debate
Angela Rayner Portrait The Secretary of State for Housing, Communities and Local Government (Angela Rayner)
- View Speech - Hansard - - - Excerpts

I beg to move, That the Bill be now read a Second time.

This Government were elected on a manifesto to deliver change—real change for working people; change that people can see and feel around them. That means more money in their pockets, decent jobs, new homes, good transport links, thriving high streets and opportunities for young people. But after 14 years of a Tory Government unwilling to take the tough choices to make life better for working people, it is no wonder that people have lost hope that real change is possible. And we have a plan to change that—a plan to give people with skin in the game real control over their lives and the power to have a real stake in their place and share in our country’s success.

Our landmark English Devolution and Community Empowerment Bill will deliver this and more. It will help us to build a modern state based on a fairer, stronger partnership between Government and local people, with the aim of renewing people’s faith that the state can work for them. That faith has been sorely tested in recent years. After more than a decade of broken promises from those on the Conservative Benches, people associate Whitehall with failure and decline. The communities that once built Britain have seen good jobs disappearing, secure homes crumbling and once-strong communities divided. Things that our parents and grandparents once relied on—that I relied on as a young mum—have fallen by the wayside. It is my mission to rebuild those foundations of a good life for all communities in all parts of our country.

I worked on the frontline of local government and I saw how it changes people’s lives. I know that I will not achieve our goals unless we fundamentally change the way that our country is run. That means handing power back to where it belongs—to local people with skin in the game—so that they can make decisions on what really matters to their communities. This Bill will drive the biggest transfer of power in a generation out of Whitehall to our regions and communities and end the begging bowl, micro-managing culture. It will make devolution the default setting by: giving mayors new powers over planning, housing and regeneration to get Britain building as part of our plan for change; rebuilding local government, so that it can once again deliver good local services that people can rely on; and empowering local communities to have a bigger say in shaping their local area.

Wendy Morton Portrait Wendy Morton (Aldridge-Brownhills) (Con)
- Hansard - - - Excerpts

In the right hon. Lady’s attempts to drive forward this carthorse of devolution, will she tell us where the accountability and scrutiny will come from and where the voice of local people will really be heard?

--- Later in debate ---
Angela Rayner Portrait Angela Rayner
- Hansard - - - Excerpts

I am really disappointed, because I thought that the previous Government were the ones to turbocharge devolution, and we are moving on that agenda. We actually do believe that devolution is a good thing and that these measures will enable mayors and local areas to be empowered more to drive that growth that we desperately need in all parts of the country.

This Bill is long overdue. England is one of the most centralised developed countries in the world. Too often, the system works against rather than with local people. Too many decisions affecting too many are made by too few. That, combined with short-term, sticking-plaster politics, has left the country in a doom loop of worsening regional divides.

Jamie Stone Portrait Jamie Stone (Caithness, Sutherland and Easter Ross) (LD)
- Hansard - - - Excerpts

Madam Deputy Speaker, you many wonder why a Scot would make an intervention at this point in the debate. May I advise the right hon. Lady to look north, to Scotland, to see how this should not be done? The Scottish Government have centralised powers, taking them right away from communities such as mine. That is how we should not do it. This is a cautionary tale.

Angela Rayner Portrait Angela Rayner
- Hansard - - - Excerpts

I thank the hon. Member for his guidance. I always look north—contrary to what other people believe. I am very proud of the north. I gently say to him that the challenge at the moment lies with the Government of Scotland. Hopefully, we can reverse things and have a Government who truly believe in putting the power in local people’s hands.

We only have to look at the difference being made by our mayors to see that there is a better way. From building tens of thousands of new social homes with Mayor Rotheram in Liverpool, to fighting child poverty with Mayor McGuinness in the north-east, to making people’s commutes quicker and cheaper with Mayor Burnham in my own Greater Manchester, and to creating London’s summer of al fresco dining and world-leading culture with Mayor Khan—

James Frith Portrait Mr James Frith (Bury North) (Lab)
- Hansard - - - Excerpts

Will my right hon. Friend give way on that point?

Angela Rayner Portrait Angela Rayner
- Hansard - - - Excerpts

I will happily give way.

James Frith Portrait Mr Frith
- Hansard - - - Excerpts

We are very proud of the work of our Greater Manchester Mayor, Andy Burnham. On the issue of driving change, I would like to raise a point about drivers. Half of private hire taxis in Greater Manchester are licensed outside the area. That undermines local enforcement and accountability as well as local drivers who do the right thing. Does my right hon. Friend agree that the Bill is a chance to fix that, protect passengers, raise and maintain standards, and back the best in trade?

Angela Rayner Portrait Angela Rayner
- Hansard - - - Excerpts

As another Greater Manchester MP, my hon. Friend will know that Mayor Burnham has been trying to address taxi licensing for some years. I think, Madam Deputy Speaker, you were here for the previous statement, which I listened to intently, in which the Minister made it clear that there is a commitment to introduce that legislation as quickly as possible. We need to make sure that that vehicle is there, and sitting next to me is the Leader of the House, whose job it is to make sure that happens.

We have also increased opportunities and given young people a voice in decisions in the east midlands with Mayor Ward. We are driving forward a new mass transit network for West Yorkshire with Mayor Brabin, supporting women and girls into activity and sport with Mayor Skaith in North Yorkshire, and, not to forget, working to secure the future of Doncaster Sheffield airport with Mayor Coppard in South Yorkshire. We are also securing the extension of the Birmingham tramline with Mayor Parker.

Laurence Turner Portrait Laurence Turner (Birmingham Northfield) (Lab)
- Hansard - - - Excerpts

For many years under the Tories, the west midlands was at the bottom of the league table for regional transport investment, but Mayor Richard Parker has secured £2.4 billion of investment to extend the metro. Will my right hon. Friend confirm that the powers in the Bill will make it easier for combined authorities to deliver these kinds of projects in the future, including, I hope, further extensions of the metro to south Birmingham?

Angela Rayner Portrait Angela Rayner
- Hansard - - - Excerpts

I thank my hon. Friend for his intervention and again give full credit to Mayor Richard Parker, who has been working tirelessly with the Labour Government to invest in the future of Birmingham. I also thank my hon. Friend for his campaigning, pressing the case that his constituents are better off for such an investment, which will bring new jobs and better transport links. This Bill is just the start of that.

Uma Kumaran Portrait Uma Kumaran (Stratford and Bow) (Lab)
- Hansard - - - Excerpts

On jobs, in Sadiq Khan’s first two terms as London Mayor, he has seen the creation of more than 330,000 jobs by the Greater London Authority. These are high-quality, well-paid jobs that bring huge opportunity to Londoners from all walks of life. Does the Secretary of State agree that this is the testament to growth that devolution can deliver, which will be further boosted by this Bill?

Angela Rayner Portrait Angela Rayner
- Hansard - - - Excerpts

I absolutely agree with my hon. Friend. This is about unlocking growth in all parts of the country. I hope that most hon. Members can see that people with skin in the game are working across the board to make sure that that potential is reached. I am talking not just about London—although London is incredibly important to that—but about all regions across our country.

Iqbal Mohamed Portrait Iqbal Mohamed (Dewsbury and Batley) (Ind)
- Hansard - - - Excerpts

First, I thank Mayor Tracy Brabin for her investment in mass transit across West Yorkshire, including a new bus station in my town of Dewsbury. I am grateful for those investments, but how will this Bill stop a council from making the decision to distribute funding unequally across its borough? How would it stop a council from, for instance, making a decision to shut down a sports centre that is used by people of all ages on the pretence of there being reinforced autoclaved aerated concrete and then not taking steps to investigate or having a plan to reopen?

Angela Rayner Portrait Angela Rayner
- Hansard - - - Excerpts

I welcome the hon. Member’s comments on the mass transit network for West Yorkshire, which I am sure will bring added benefits to his constituents. To his other point, obviously elected officials in local councils make decisions, and I would gently say to him that councils have faced significant pressures since the austerity measures of 2010, which I am sure he is aware of. I was in local government at the time, and I remember being a union rep and seeing the devastation.

We are trying to restore and empower local government, instead of this situation where they have to make incredibly difficult decisions that are harmful to their constituents. It is about being able to grow our economy and have a bigger slice of the cake. We are already investing more into local government so that we can deliver the services that people want. Within this Bill is the community assets element, which may be able to help communities in relation to high streets and to sports facilities, which can be utilised as an asset that they value in their local area.

We are also improving local transport for people in the west of England with Mayor Godwin. Our brilliant, ambitious mayors are making a difference every day for their regions. Working with them, we have already achieved so much after just a year in office. We are on track to achieve devolution across almost 80% of the country, covering 44 million people. We have created integrated funding settlements for Greater Manchester and the west midlands, giving their mayors the tools and freedoms to make decisions to get growth going, with Liverpool city region, London, the north-east, South Yorkshire and West Yorkshire set to benefit from the same freedoms next year.

Rupa Huq Portrait Dr Rupa Huq (Ealing Central and Acton) (Lab)
- Hansard - - - Excerpts

We are in London, the greatest city in the world—some would say anyway—and we have all just come back from holiday, have we not? Our Mayor Sadiq Khan has ambitious plans for an overnight accommodation levy that would put us on a par with Paris and New York and would harness our growth. Those funds could help regenerate the tourism sector and improve the visitor experience. I wonder whether the Secretary of State would be open to using this devolution Bill to give mayors everywhere the power to make decisions about those kind of things.

Angela Rayner Portrait Angela Rayner
- Hansard - - - Excerpts

I can hear much provocation from the Conservative Benches, but any new tax is, of course, a matter for the Chancellor at the Budget, and it must balance the potential revenue and benefits against the impact on taxpayers and the economy.

Bell Ribeiro-Addy Portrait Bell Ribeiro-Addy (Clapham and Brixton Hill) (Lab)
- Hansard - - - Excerpts

I really welcome the Bill’s efforts to strengthen communities and local democracy. However, I am worried that not enough is being done to protect private renters. In Lambeth, nearly a third of residents are renters. Rents are rising faster than wages, and the average renter is paying 72% more than the national average, which is leaving many families struggling and in poverty. The Renters’ Rights Bill was definitely a step in the right direction, but it fell short on rent hikes. Does my right hon. Friend agree that this Bill is an opportunity to give metro mayors the power to bring in rent controls and protect renters in their cities?

Angela Rayner Portrait Angela Rayner
- Hansard - - - Excerpts

The Renters’ Rights Bill does contain measures that mean that renters can challenge unfair rent hikes. The previous Government said many times that they would do something about section 21 no-fault evictions but they did not. Our Renters’ Rights Bill will ensure that we end those evictions, which are causing so much harm to my hon. Friend’s constituents and many around the country.

Our devolution revolution is well under way, with others queueing up to join it. This what we committed to in our manifesto, and we are delivering it through this Bill. Crucially, the Bill will make devolution the default for how the Government do business, with new strategic authorities having powers to pilot and request new functions and Government having a duty to respond to certain requests. It will mean that we can deliver devolution further and faster.

Carla Denyer Portrait Carla Denyer (Bristol Central) (Green)
- Hansard - - - Excerpts

On devolving the ability to run pilots, and following up on the point made by the hon. Member for Clapham and Brixton Hill (Bell Ribeiro-Addy), Bristol city council—including Labour councillors—voted cross-party to have the power to pilot rent controls. Recent figures show that typical private renters in my constituency spend 45% of their income on rent. That is not sustainable. This Bill could offer the opportunity for that pilot—

Caroline Nokes Portrait Madam Deputy Speaker (Caroline Nokes)
- Hansard - - - Excerpts

Order. Interventions have become far too long. There are many Members in the Chamber who wish to contribute, which the Secretary of State might think about before she takes more interventions.

Angela Rayner Portrait Angela Rayner
- Hansard - - - Excerpts

I will pay attention to that, Madam Deputy Speaker.

The hon. Lady is right that there is a challenge in housing at the moment, which is also contributing to the rental situation for people. That is why we have a big ambition to build more houses. The Bill gives us more powers for strategic planning so that we can get on with building the homes that people need. The Renters’ Rights Bill does start to make progress toward making housing fairer for renters—something that the previous Government promised but failed to deliver.

I will now make progress, Madam Deputy Speaker.

Marsha De Cordova Portrait Marsha De Cordova (Battersea) (Lab)
- Hansard - - - Excerpts

Before the Secretary of State makes progress, will she give way? [Laughter.]

Angela Rayner Portrait Angela Rayner
- Hansard - - - Excerpts

The strategic authorities will be created as a new category of authority in law. They will make it easier for local leaders to work together over larger areas to drive through big pro-growth projects such as integrated transport networks and housing. These will operate at three levels—foundation, mayoral and established mayoral—and the particular powers and responsibilities that each of them will have are to be defined by the Bill.

Working alongside parliamentarians and local councillors, mayors drive forward the delivery of people’s priorities—driving growth, unlocking infrastructure and powering a national renewal from the ground up. That is why the Bill will give mayors wide-ranging new powers in areas such as transport, planning and economic development.

Marsha De Cordova Portrait Marsha De Cordova
- Hansard - - - Excerpts

Will the Secretary of State give way?

--- Later in debate ---
Angela Rayner Portrait Angela Rayner
- Hansard - - - Excerpts

I will make progress.

We will create new planning powers to raise the mayoral community infrastructure levy, which has generated over £1 billion since 2012 in London and, alongside investment and leadership from Mayor Khan, has helped to fund the Elizabeth line. With the expansion of their remit, the Bill will allow mayors who choose to raise a precept to spend it on the full range of functions, ensuring that local taxes are spent on local priorities.

I am sure that the shadow Secretary of State, the right hon. Member for Braintree (Sir James Cleverly), will welcome this change given that it was the Conservatives who first introduced the mayoral precept nearly a decade ago and that Mayor Boris Johnson used a business rates supplement to help pay for Crossrail. I hope the shadow Secretary of State will wholeheartedly support the new powers in the Bill, which will mean that mayors can intervene in major strategic planning applications to unlock housing—as long as that housing is nowhere near his constituency, of course.

We will also introduce powers to license shared cycle schemes so that they work for everyone and so that bikes are not lying across pavements. The Bill will see more mayors take on police and crime commissioner functions and become responsible for fire and rescue functions, allowing them to take a joined-up approach to improving public safety.

Bayo Alaba Portrait Mr Bayo Alaba (Southend East and Rochford) (Lab)
- Hansard - - - Excerpts

Will the Secretary of State give way?

Angela Rayner Portrait Angela Rayner
- Hansard - - - Excerpts

One more time, and briefly.

Bayo Alaba Portrait Mr Alaba
- Hansard - - - Excerpts

In Southend East and Rochford we are a proud coastal community, but we have been left behind when it comes to connectivity, educational outcomes and investment in skills. Does the Secretary of State agree that through this Bill we have a chance to deliver the long-term meaningful change that my constituents deserve?

Angela Rayner Portrait Angela Rayner
- Hansard - - - Excerpts

I absolutely agree with my hon. Friend. This is about all areas being able to join up and create inclusive growth for their areas, and that is broader than at local authority level. By combining those efforts we can unlock the potential, and his constituents will feel the benefit of that as we take this forward.

The new powers also mean new duties, including to produce a local growth plan demonstrating how mayors plan to unlock growth through planning and house building. There will also be a duty to co-operate with local government pension scheme managers so that mayors can attract investment into their local areas, unlocking jobs and opportunities. Mayors across the country will also be able to appoint commissioners to support them as their responsibilities grow, just like in London. The Bill also strengthens the ability of mayors to work with the public sector, convening local partners so that they can lead with a helicopter view of public services across their region.

We are backing the ambition and untapped potential of local areas with a more ambitious role for the mayors representing them. That must be underpinned by elections that command public confidence. Because of changes made by the last Government, mayors can be elected on just a fraction of the vote, despite serving millions of people and managing multimillion-pound budgets. We can do better than that. The Bill will therefore revert to a supplementary vote system for electing mayors and police and crime commissioners after the May 2026 elections to provide greater accountability and a strong, personal mandate for mayors. In addition, the Bill will bar mayors from also sitting as MPs, ensuring that local places benefit fully from having dedicated local champions.

Freddie van Mierlo Portrait Freddie van Mierlo (Henley and Thame) (LD)
- Hansard - - - Excerpts

If the Deputy Prime Minister feels that elections for mayoral authorities should have a supplementary vote as that gives them sufficient authority, why does she not feel the same for Members of this House?

Angela Rayner Portrait Angela Rayner
- Hansard - - - Excerpts

Millions of people are represented by mayors, who have huge powers over big regions. We want mayors to have strong personal mandates for the communities they serve rather than being elected on a fraction of the vote. It is right that first-past-the-post remains in place for general elections to maintain the constituency link.

Julian Lewis Portrait Sir Julian Lewis (New Forest East) (Con)
- Hansard - - - Excerpts

Will the right hon. Lady give way?

Angela Rayner Portrait Angela Rayner
- Hansard - - - Excerpts

I will give way to the right hon. Gentleman, who has been very patient.

Julian Lewis Portrait Sir Julian Lewis
- Hansard - - - Excerpts

I am truly grateful. This is, I hope, a non-party political point. The White Paper in advance of the Bill mentioned rightly that there had been consultations on strengthening the standards and conduct framework for local authorities, which relates to a campaign many of us have been involved in to try to protect local council clerks against bullying. We were pleased to be called into that consultation. There is, however, nothing about that in the Bill. Does the right hon. Lady plan to bring it forward in separate legislation?

Angela Rayner Portrait Angela Rayner
- Hansard - - - Excerpts

I thank the right hon. Gentleman for raising that important issue. We intend to bring forward legislation. Our response to the local government standards consultation sets out our plans for whole-system reform, including empowering local authorities to suspend councillors who are guilty of serious misconduct for up to six months, with the option to withhold allowances and institute premises and facilities bans. We are committed to ensuring that misconduct is dealt with swiftly and fairly across the country at local and regional mayoral levels. We do want to take action on the issue.

Let me be clear that stronger mayors and strategic authorities will not replace councils, nor the crucial work of the House. MPs on both sides of the House will continue to be vocal champions for their areas, and we expect mayors to engage in regular and constructive dialogue with MPs, working together in the best interests of their constituents. Alongside the freedom for mayors to focus on local priorities, my Department is continuing to explore a local Public Accounts Committee-style model to improve the system of accountability and scrutiny of local spending.

The Government expect mayors to use their new powers to deliver real change, not retain the status quo. This is not about grandstanding or making a political point; it is about using the levers of growth to unlock infrastructure and drive investment. The role of local authorities in delivering vital local services and improving local neighbourhoods is essential, and it will continue. We also expect to see strategic authorities working hand in glove with their constituent councils to deliver for their residents.

The Bill will help rebuild local government for the communities who depend on it day in, day out. As a fit, legal and decent foundation of devolution, the Bill will establish the Local Audit Office to help fix the broken, fragmented local audit system. We will also reform local authority governance, requiring councils with a committee system to move to a leader and cabinet model and putting a stop to new local authority mayor roles being created. That change will streamline decision making across all councils and make it easier for people to understand how their council is run. It will also give the Government the tools to deliver local government reorganisation, resulting in better outcomes for residents and significant savings that can be reinvested in public services and improving accountability.

At all levels, we are backing local people to drive growth and greater opportunities for all, because, from top to bottom, the best decisions for communities are made by those who know their area best. That is why the Bill will also give local communities across the country much-needed new powers, like a bigger say in shaping their place through effective neighbourhood governance, with councils required to make sure that this is happening, as well as the tools to transform their high streets and neighbourhoods through a new community right to buy—to save much-loved community assets, like pubs and shops, from being lost and to protect sports grounds, which are at the heart of so many communities and a source of great local pride. The Bill will also support our high streets by banning the unfair practice of upwards-only rent reviews, preventing the blight of vacant shop fronts, because it is only when every community succeeds that our country succeeds.

The Bill and our reforms herald a new era for Britain: a new way of governing that puts politics back in the service of working people. Where previous Governments promised and failed the British people, this Government are keeping faith.

I note the Conservatives’ reasoned amendment. I must say that after they left the country with the worst housing crisis in a generation, I am dismayed that they would oppose a Bill that will unlock housing and planning on a vast scale. This Bill will empower local communities to take back control of their high streets by ending the Tory policy of upward-only rent reviews, and it will end the begging-bowl culture of the last Government.

While the Tories made empty promises to level up the country, this Labour Government are getting on with the job. Within days of taking office, Secretaries of State were passing down newly-won powers for the sake of our towns, cities and villages, with the Prime Minister leading the way. It has not always been easy, but real change takes hard work. We are rewiring Britain and, with it, growth and opportunity. This is how the British people will take back control, and how we will unite our country in times when we have never needed it more. I commend the Bill to the House.

Caroline Nokes Portrait Madam Deputy Speaker (Caroline Nokes)
- Hansard - - - Excerpts

I call the shadow Secretary of State.

--- Later in debate ---
Jim McMahon Portrait The Minister for Local Government and English Devolution (Jim McMahon)
- View Speech - Hansard - - - Excerpts

I thank hon. Members from across the House for their contributions to today’s important debate. The sheer number of Members who wanted to speak demonstrates how important these issues are, and the passion and enthusiasm shown by Members of this House makes absolutely clear their care for their communities, as well as their desire to see local economies thrive and for the benefits of growth to be felt by every community across the country.

This Bill represents a generational shift in power that will see community empowerment enshrined in law and local leaders and mayors with skin in the game, trusted to get on and do the job they have been elected to do in a new relationship of equals with central Government—one built on a shared commitment to people and place, mutual respect and co-operation. The English Devolution and Community Empowerment Bill does exactly what its title says. It effects a top-to-bottom redistribution of power in this country, putting decision making in the hands of our regions, towns, cities and communities and delivering real change for working people in the places they call home, bringing growth and opportunity and empowering local leaders and our mayors to make the right decisions alongside their local communities. As my right hon. Friend the Deputy Prime Minister said at the start of the debate, this is a landmark Bill that will help us build a modern state based on a fairer, stronger partnership between central and local government.

For too long, power and opportunity has been centralised in Westminster and Whitehall, holding back growth across the country and denying millions of people the opportunity to realise the potential they have within them. Our new approach to devolution and empowerment begins the work of fixing that—powering up our regions through devolution by default and the right to request, as well as new powers, resources and freedoms, and introducing measures to fix local government and its fragile audit regime through sustainable structures and governance. It also gives real power to communities through the community right to buy local assets, rooted in our high streets, neighbourhoods and sporting grounds, and it gives them a greater say in local issues, with frontline ward councillors given the respect, power and tools they need to make a difference in their communities through neighbourhood working arrangements in every council across the country. When we said this was a top-to-bottom transfer of power, we meant it.

Before I turn to the main issues raised in the debate, I will first address the reasoned amendment tabled by the right hon. Member for Braintree (Sir James Cleverly), and also maybe touch on some of the points made by the shadow Minister, the hon. Member for Ruislip, Northwood and Pinner (David Simmonds). Anybody would think that the Conservatives had not been in government for 14 years, absolutely smashing local government to the core. Anybody would believe that councils were not falling over like dominoes, going bust on their watch, and that the fragmented, deal-by-deal, backroom-negotiated devolution we have had so far did not take place on their watch over 14 years. Let us forget the past, though, and look to the future.

The reasoned amendment raises concerns about local government reorganisation, which—as we have heard from Members across the House—is a big and important issue. It also talks about housing delivery and claims that the Bill means higher bills for local residents. I can assure the House that those concerns are misplaced, and frankly, the Opposition know that. First, the Bill will not affect the process for the 21 areas already undergoing reorganisation. Those 21 areas have responded to their invitation to reorganise already.

Jim McMahon Portrait Jim McMahon
- Hansard - - - Excerpts

They absolutely had a choice. It was an invitation that 21 counties have responded to, demonstrating without a doubt that the appetite and interest for reorganisation was there within communities, and they responded in that way.

This process will deliver strong, sustainable unitaries, capable of leading their communities, shaping neighbourhoods and convening local public services to deliver better outcomes for local residents. This process is separate from the Bill. In fact, the devolution priority programme areas of local government reorganisation will be submitting their final proposals to Government on 26 September. All other areas will submit their final proposals on 28 November. Before this Bill even gets out of Committee, local government reorganisation will have final proposals for the 21 counties in the two-tier area. The idea that the Bill is bringing an end to the two-tier system is for the birds. By the time it reaches Royal Assent, the work will have been done and the consultations will be taking place and well under way. The Opposition know that, of course, because they used exactly the same process of reorganisation so many times when they were in government to reduce the number of councillors, reduce the number of councils and end the two-tier system in counties across the country.

To the Opposition’s credit, ending the two-tier system is a proven model, because once local government reorganisation has taken place in an area—by the way, I have not heard anybody calling realistically for a return to the old system—savings can be made. There is a world of difference between those and the savings that Government will take, as central Government is making no savings from local councils. That change gives the freedom to move money up and down that two-tier system to where the real pressures are being faced: adult social care and SEND in particular. If we do not take action after 14 years of inaction, the system will fall over, and we will not allow it to fall over on our watch, however bad the inheritance might have been. The Opposition know all that, because they laid the groundwork and were the architects of the current system.

This Bill also gives ambitious planning powers for mayors to unlock housing and infrastructure, working alongside parliamentarians and local councillors, with powers to intervene in major strategic planning applications and to grant mayoral development orders.

Wendy Morton Portrait Wendy Morton
- Hansard - - - Excerpts

Will the Minister give way?

Jim McMahon Portrait Jim McMahon
- Hansard - - - Excerpts

I am afraid that with the time we have, I need to canter through.

The Bill also allows mayoral development corporations to be established and for a mayoral community infrastructure levy to be charged, so that we can unlock much-needed housing and infrastructure to get Britain building once again.

Thirdly, the Opposition claim that this Bill introduces a new precept and will raise bills for working people. I remind them that the mayoral precept has been in law since 2017. In fact, it was a Conservative Government who brought it into law, giving all mayors the power to introduce a precept, so we will not take lectures from them on those powers. I will say this, because I believe in devolution: pound for pound, local people—through their local councils, their local mayors and their combined authorities—see the benefit of that investment in a real way in their neighbourhoods, their communities and their towns. For large parts of Government spending, for different reasons, they do not get that in a tangible way. The accountability that then comes alongside it is important.

Finally, the reasoned amendment tabled by the Conservatives claims that this Bill fails to empower local people. As the House has heard, that is far from the case. This is a generational change, moving power away from Whitehall, with the tools needed at a local level to get things going through community right to buy, neighbourhood governance and all the things that were being asked for. We urge all colleagues to vote against the reasoned amendment in a few moments.

This Bill sees the system of devolution move away from an ad hoc, inconsistent and deal-by-deal model, replacing it with a model that is clear about what places can access, when they can access it, and under what conditions. Our new system confers functions on classes of strategic authority to allow us to deliver our commitment for devolution by default and to streamline those functions, so that all parts of England can be clear about what powers they can access.

Members have raised the supplementary vote a number of times. The Government have no plans to change the electoral system for the UK Parliament or for local council elections in England. The Government believe that while the first-past-the-post system has its place, the SV system is the right thing to do for those executive positions where an individual holds that executive power, and the mandate from local people is important. That has been raised a number of times, and I hope that puts that to bed.

On local authorities, this Government have been clear that we will fix the foundations of local government and create a system that is fit, legal and decent. Changes to governance arrangements are one way that we are simplifying local government. Alongside our intention to strengthen the role of frontline ward councillors, this will provide the tools that will make it possible to act on the local issues that people believe are important.

By abolishing the committee system, we will simplify local authority governance arrangements and ensure that all councils operate an executive form of governance. I have heard the representations from Sheffield Members and others, and meetings will take place to discuss that further, but abolishing the committee system will provide clarity and accountability for local people, and importantly will strengthen that direct line of democratic accountability. We have accepted the continuation of the 13 legacy directly elected council mayors, while introducing measures to prevent the creation of any new ones.

The subject of neighbourhood governance has also been raised. The Bill sets out a clear ambition for all local authorities to hardwire community engagement and neighbourhood working into their governance. I do, of course, hear the calls on behalf of town and parish councils, and I share Members’ commitment to that local level, but if all we have are town and parish councils operating at a local level and no neighbourhood governance in the principal councils, we will miss the opportunity to hardwire localism in everything that councils do. We believe that we must have that hardwiring so that local people feel genuinely empowered. That is the only difference, however: this is completely compatible with town and parish councils working in partnership. When that is effective, they work in unison for the benefit of the local community, which is what we want to see from now on.

A significant amount of attention has rightly been paid to the subject of assets of community value. As we have all seen, community spaces such as pubs, cultural venues and places of worship are the life of our communities. They bring people together, foster a sense of community pride and support local economies. However, 14 years of the previous Government saw a total dismantling of that social infrastructure. People will be far too familiar with the sight of high streets being boarded up one by one, and with community centres being sold off, libraries being lost and parks being forgotten. Places that once defined a locality have been stripped away by 14 lost years. Too many of those critical assets are being lost, which is leading to soulless high streets and less vibrant local communities.

That is not because of a lack of will in local communities. It is because they do not have the tools and the powers to protect those assets and take them on. With the Bill we are starting the work to build back strong communities, which is due in no small part to the significant campaigning of the co-operative movement and the MPs here in the House who have made the case clearly that, in the end, ownership matters. We will give communities the tools and the real power to take on the assets that they love, because that is the right thing to do.

On all these issues the previous Government could have done far more, but what did we hear over the course of today’s debate? We heard Opposition Members say, “You are going too far—it is a power grab”, and in the same breath, “You are not going far enough, and you could have done more.” The truth is that this is a generational shift in power which will see a break-up of the stranglehold that Westminster and Whitehall have retained for far too long against communities across the country. This will be done with local communities, not to them, and indeed that is what has happened so far. Whether we are talking about our approach to fair funding and repairing the foundations, our approach to local government reorganisation or even our approach to devolution, this has all been done in genuine partnership with local leaders who are working together.

What I find so astonishing—and there is a night-and-day difference here—is the almost soulless response from Opposition Front Benchers who decry all these measures, omitting to say that their own local councillors are leading the charge at a local level. The leadership that has been shown, even by Conservative council leaders, puts those Opposition Front Benchers to shame. I do not know how many visits they make around the country, but I cannot imagine that their local representatives value the interpretation that has been presented from the Conservative Front Bench, whether it is about elections, devolution or reorganisation. We are not asking Conservatives Members to be as good as the Government, but we are asking them to be at least as good as their own councillors, and to stand with them instead of standing against them. I urge all Members to support this landmark Bill.

Question put, That the amendment be made.

--- Later in debate ---
18:59

Division 272

Ayes: 167

Noes: 367

Question put forthwith (Standing Order No. 62(2)), That the Bill be now read a Second time.
--- Later in debate ---
19:14

Division 273

Ayes: 365

Noes: 164

Bill read a Second time.