(3 years ago)
Lords ChamberMy Lords, it is somewhat intimidating to follow the noble Lord, Lord Deben, whose comments I agree with. I declare my interests as set out in the register as the unpaid chair of the Community Land Trust Network and a vice-president of the LGA. I congratulate the noble Baroness, Lady Young of Old Scone, on securing a debate on this important topic and thank her for her extensive and knowledgeable introduction to this extremely vital subject. I welcome the noble Lord, Lord Harlech, and congratulate him on his excellent maiden speech. I am sure we will hear many more excellent contributions from him in future.
Land and the uses to which it is put should not be a haphazard process but properly thought out and part of an overarching strategy, not confined by zoning. The noble Baroness, Lady Young, has raised these issues on several occasions, especially during the passage of the Agriculture Bill, in which I believe it would have been most usefully included, as agriculture takes up 72% of land. I agree with the majority of the comments from the noble Lord, Lord Carrington.
The House of Lords Rural Economy Committee, chaired by my noble friend Lord Foster of Bath, called for a spatial plan for land use in England back in April 2019. In March 2020, the noble Earl, Lord Caithness, called for a special inquiry committee into a land use framework for England. The NFU, Green Alliance, Wildlife and Countryside Link, and the Food, Farming and Countryside Commission are all calling for a land use framework, along with the noble Baroness, Lady Young, and those of us present here today. The noble Lord, Lord Whitty, spoke eloquently about infrastructure and the reuse of buildings instead of demolition.
Land is a finite resource and the many claims on it need to be planned in order to make the best use of it. Land swallowed up by private equity and businesses for forestry and carbon subsidies, without any thought to the strategic impact or democratic assessment, is unhelpful. How is the country to reach net zero by 2050 if all the elements of land use are not pulled together in a cohesive land use strategy?
Food production and food security are vital to the country. We have seen in recent weeks the effect on our food supplies of having insufficient lorry drivers to bring produce in from Europe. I have seen notices on supermarkets’ shelves saying how sorry they are that the usual choice of foods is not available for their special offers due to the difficulties of obtaining produce. The public have been used to a secure supply of food and find it unacceptable when this is not available. We must provide more food for ourselves, as the noble Baroness, Lady Boycott, and the noble Lord, Lord Carrington, said.
The Agriculture Act introduced environmental land management schemes to replace the old CAP system of payment. ELMS reward farmers for increasing biodiversity on their farms, improving the soil and hedgerows and encouraging wildlife back into the field margins—all excellent outcomes. The scheme does not provide financial reward for growing more crops and food but encourages higher yields; this is to come through selling produce in the marketplace. I fully support the return of a more environmentally friendly way of farming at the same time as encouraging food production.
I remember with horror the stories of farmers who had been contracted to produce a crop for a well-known chain of supermarkets only to be told that their crop was not sufficiently uniform in size or that the supermarket had decided that it did not need it. The result was the farmer ploughing their crop back into the ground. We cannot condone this and must attempt to do everything that we can to prevent food waste. A land use strategy that clearly covers the production of food is essential. I note the adverts on the Tube for boxes of vegetables delivered to your door from a company using produce that is too small, too bendy, too many and too ugly. We must use all the produce that farmers and growers provide, not just the shiniest and most uniform in size.
The noble Baroness, Lady Young, has long been a champion of forestry and ancient woodlands. Tree planting has moved up the Government’s agenda, but we need to plant the right tree species in the right places where they are likely to thrive and grow. The science behind this is extremely important and should be part of a proper land use strategy.
The provision of timber is likely to become the next big environmental issue as paper replaces plastic bags, but this does not help the country’s carbon footprint, as paper uses more carbon to produce than plastic. However, it does degenerate far more quickly and the waste has less impact on the earth.
Trees are, of course, important for carbon sequestration. However, how many councils set aside areas in their local plans specifically for tree planting and carbon sequestration? Of those councils that have peat moors and peat levels, how many have specific reference in their plans to carbon sequestration? Those with peat levels, such as Somerset, spend time licensing businesses to allow for the abstraction of peat for garden use. It is time that the Government banned the sale of such peat for garden use completely. There are, after all, alternative products to enrich the soil in gardens without the use of peat.
On the upside of this, there are brilliant reclamation schemes in place for extinct or redundant peat workings. I have visited some and seen the return of birds and wildlife to the refilled ponds, rhines and banks surrounding these areas. What was an eyesore is now a pleasant place to walk and relax and for a family to spend time together in the open air.
Planning departments are involved in all the above and have a positive role to play, but it is currently up to each individual planning authority—whether on a district, county, unitary or metropolitan council—to decide to what extent it plans for the whole land use in its area or just housing numbers, as the noble Baroness, Lady Thornhill, mentioned. It would be remiss of me, given the passage of the PCSC Bill, not to mention the need for all local authorities to include the provision of sites for Gypsies, Roma and Travellers in their plans.
The Government make a lot of noise about providing homes, both by private developers and for social housing. However, they do not provide the continuity to give local authorities, housing associations, developers or registered social landlords any indication that they are serious about the subject. I have been the chair of the Community Land Trust Network for six years and come to the end of my term of office next month. During this time, we have seen seven Housing Ministers—a turnover of over one a year. During the six years we have had Brandon Lewis, Gavin Barwell, Alok Sharma, Dominic Raab, Kit Malthouse, Esther McVey and Christopher Pincher. This does not inspire the housing providers with confidence and definitely not continuity.
While the Government are talking about how local authority planning departments are too slow in processing planning applications, there are over a million extant planning applications in the system. I am sure that the Minister is fed up with hearing that statistic, but extant planning applications blight the land. Developers offer landowners an option and, years later, the developer puts in a planning application. During this time, the landowner is unlikely to make any investment in the land. Once an application is submitted, local residents, depending on where the land is, mount a counterattack to preserve their green space—if it is green space. Residents are overruled, planning is granted and then what? Nothing. The land may sit there for years. A drainage ditch may be dug, some posts and markers may be put into the ground, but often not even that happens. No homes are built. Sometimes detailed plans are produced, but still no homes are built. While the country is suffering a housing shortage, this situation is a disgrace, but it could easily be tackled by legislation.
I want to raise the role of community land trusts in helping to provide housing led by the community in both rural and urban areas. Very rural hamlets and villages are nervous of overdevelopment, but taking charge of providing the housing that they need through a CLT is a brilliant way of achieving a win-win situation. CLTs do not only serve the smaller communities; there are other larger developments operating under the CLT banner.
Kennett CLT is working with East Cambridgeshire District Council to take forward a 500-home garden village which will own the public space and 10% of the homes when completed. The architects who did the master plan commented on how refreshing it was to codesign it with local people who were thinking about the long-term stewardship of their community. Walterton & Elgin Community Homes owns over 600 homes in north Paddington. Two council estates were transferred to its ownership in 1993 and since then it has invested over £37 million to renovate, demolish, replace and build new homes. Additionally, it has a new community centre, nursery and commercial space. It is one of the most highly rated social landlords in the country and is entirely community owned and run. These are brilliant examples of where communities think about the land use in their area and ensure that it delivers for their needs. Why are the Government not doing the same?
Land is scarce and has to be stretched to provide a very wide range of facilities in order for the country to be a leader in biodiversity, carbon sequestration, secure food production, safe and secure homes for its residents and sufficient open spaces for those residents to be able to live healthy lives. Surely now is the time, on the cusp of COP 26, for the Government to take steps to ensure that a land use framework is in place for England as it is for Scotland, Wales and Northern Ireland. Can the Minister tell the House why the Government are dragging their feet on this issue and are out of step with the devolved Administrations?
(3 years, 1 month ago)
Lords ChamberMy Lords, we recognise the impact of the escalating cost of living, but we have set out a very clear plan around how to tackle that in both rural and urban areas. More details around how the money will be spent will be given in the forthcoming spending review announcement later this week.
My Lords, the report referred to by the right reverend Prelate does not accurately reflect the impact on young people of living in a rural area. While in full-time education they have their friends around them, but at the weekends and in school holidays the picture is different. Those living in low-income families may not have access to a car, and there is no bus service that goes anywhere near them. Why are young people not a major consideration in the Government’s levelling-up agenda?
I do not recognise that young people are being missed out of the levelling-up agenda. We have to recognise that, in terms of capital investment in infrastructure including transport, this is the largest commitment that we have seen for a considerable period of time. Specifically, the levelling-up fund will look at improving transport connectivity as part of the way that the fund has been designed.
(3 years, 5 months ago)
Grand CommitteeMy Lords, it is a pleasure to follow the noble Baroness, Lady Ritchie, and I am grateful to the noble Baroness, Lady McIntosh, for giving us the opportunity yet again to raise our concerns about concreting over natural flood plains. I declare my interest as a vice-president of the LGA. I am currently working on the Environment Bill, where both water management and recycling are high on the agenda. My speech is largely recycled from previous contributions.
The truth is that your Lordships continue to make very valid and cogent points about the dangers of building on flood plains, but the Government continue to ignore this. Many years ago, a developer put in an application on the Somerset levels. This was rejected by the local district council, but the developer appealed. The then Secretary of State overruled the district council and allowed the development. This was before the catastrophic floods of 2014, when the Somerset levels were on every TV news bulletin.
Ministers and opposition spokespeople visited in their droves and royalty came, complete with wellies—although, to be honest, they really needed waders. They came to look at the plight of those whose homes had been flooded—a miserable experience. Some of those flooded were in new houses, some in homes which had been there for a considerable time. The ancient village of Muchelney was completely cut off and could be accessed only by boat. It took several months for the water to completely recede and some sort of normality to return.
There are an estimated 5.2 million properties in England at risk of flooding. The Environment Agency says that if the current rate of planning applications on functional flood plains continues, this could double in 50 years. The Somerset Levels are not the only area in the country prone to repeated flooding, as we have heard. The Environment Agency website has detailed maps of where functional flood plains are, so this is not a mystery to planning authorities.
On the district council where I was a councillor, all planning applications had spaces for the Environment Agency, highway authority, et cetera, to make comments on the application. Often they left them blank or merely had no concerns. All statutory bodies are extremely busy, and the Environment Agency in particular has to respond to emergencies on a regular basis, especially now that climate change has radically altered our weather patterns. It has not helped that Defra, in its wisdom, has cut the Environment Agency budget. I believe it is time for the Government to make it a legal requirement for the Environment Agency to respond to all planning applications of more than five homes, where they are likely to be situated on a functional flood plain.
It would, of course, be helpful if local authorities were given the power to refuse all applications on flood plains, regardless of their merits, unless significant flood prevention schemes were part of the application. Developers believe that a likely occurrence of once in 200 years means they can ignore guidance. There are many communities in which a “once in 200 years occurrence” has happened twice in the last 20 years.
The Somerset Levels are very definitely functional flood plains. When severe rain is predicted, there is a plan for which sluice gates will be opened, in what order and when. Sometimes the whole area is flooded if the rain is persistent over a long period of time. The whole object of flooding the plains is to keep a safe level of water in the River Parrett and prevent the town of Bridgwater flooding. That objective has been fulfilled for many years, but for how much longer if more homes are erected? Perhaps those homes will be erected on platforms via stilts and residents will buy boats instead of cars to keep in the spaces under their homes.
The Government’s proposed planning Bill has come in for considerable criticism; I have a premonition that at some stage I will be speaking during its passage. It is time that the Government had an overall strategy on how they are going to manage water, safely store it during winter for use during the summer droughts and deliver the number of homes needed without building anywhere near flood plains. Can the Minister confirm whether there is such a strategy? This must be a strategy that local people with knowledge can contribute to and not one that is cobbled together from on high.
The noble Baroness, Lady McIntosh, and others have raised very significant issues. I hope the Minister is listening. It is unacceptable for London’s city-dwelling civil servants to produce policies which have devastating effects on rural areas. I am sure he is aware of this and will be taking note of our comments.
(3 years, 5 months ago)
Lords ChamberMy Lords, I declare my interest as a vice-president of the Local Government Association. This is yet another attack on local democracy. I held elected office on Somerset County Council for 20 years and on South Somerset District Council for 10 years. I am passionate about the role of local and national democracy and the right of those who hold elected office to be able to communicate with and represent the views of those who live in the area for which they were elected.
Introducing these changes via the negative procedure to avoid proper parliamentary scrutiny is to deny communities the right to say what happens to them. Local voters may not have voted for the person elected, but it is a duty of the councillor to do their best to take account of all views, when making decisions. These decisions should involve planning permissions. I took this seriously once I was elected. Whether the application is for a school, a children’s home, housing for the disabled, housing for those who are upsizing to four bedrooms or housing for those who are struggling to make ends meet and need a roof over their heads, local input is important. I fully support the comments of my noble friend Lady Pinnock, the noble Lord, Lord Kennedy, and the previous two speakers.
I know that the Minister, who was a long-standing and well-respected councillor, understands these issues. However, the Government have been chipping away at local democratic involvement in planning processes for a while and I find the proposals before us today a step too far for me and my colleagues. I believe that my colleague, my noble friend Lady Pinnock, is likely to divide the House.
Yesterday, we debated the Environment Bill, wherein the Government are looking to local authorities to ensure diversity gain when planning permissions are granted. There is a dichotomy here between what the Government want from their planning system and what they are prepared to allow it to do. We are one of the oldest and finest democracies in the world, both nationally and locally. Our elected representatives, in the vast majority of cases, take their roles seriously. If we ignore the importance of local democratic representation, we do so at our peril. Local councillors know their areas; they know what housing is required and where it is best situated. This is not always popular with some sections of communities, but to remove it altogether is very unwise.
Given that this may be my only opportunity to speak on this SI, I will talk to it. The Government’s consultation on these changes, which are permanent and not temporary, ran from 3 December 2020 to 28 January 2021. At the start of this period, the country was getting ready for Christmas and the hope of seeing our families. This was quickly crushed. By the end of the period, we were well and truly in lockdown and councils were not meeting in public but via Zoom. This can hardly be said to be extensive consultation.
The Explanatory Memorandum is very clear on what is covered and it is chilling. I agree with the Government that permitted development has an important role to play, but what is proposed does far more than streamline the planning process; it drives a coach and horses through it. It will certainly speed up housing delivery, but just what type of housing communities it produces, if any, is another matter. Turning business premises into dwellings is not likely to lead to more employment.
No change of use is allowed if premises have been empty for the previous three months, but temporary closure due to Covid is exempt. However, it is possible for landlords to give businesses notice to quit, leave the premises empty for three months and then apply to convert them into dwellings. All homes will be required to meet the minimum national prescribed space standards. Can the Minister tell us when these were last revised and if another review is planned for the future? I am horrified that the Government are thinking of residential use on heavy industrial and waste-management sites. Although impacts have to be assessed, these can easily be simplified to allow development.
I turn now to health centres and registered children’s nurseries. I despair: to allow these vital centres of communities to be turned into homes is appalling. We have a housing crisis, but we also have a mental health crisis among children, young people and women in particular. Health centres provide a vital service and should be preserved, at all costs. Children’s nurseries are a lifeline, not only for women returning to work, but as an opportunity for young children to meet, learn how to socialise, share and play—all part of their emotional and physical development. Surely these two categories of service provision should be excluded from being taken over for housing.
The Explanatory Memorandum is helpful in listing what is going to happen and when. For instance, a developer or landowner can apply for PDR to convert an office block into housing, and can do that now. Later in the year, the Government will produce separate legislation to amend the right to introduce an additional prior approval on fire safety in relation to the building changing use. By this time, the building is likely to be half way constructed, without fire safety regulations having been considered. The right to change the use of offices, shops, takeaways, et cetera, to dwellings will attract a fee of £100 per dwelling house, up to a maximum of £5,000. If the maximum fee is reached, it will be for a conversion of potentially 50 dwellings from a single commercial property. Will they all have relevant parking?
On the subject of fees, paragraph 7.18 of the EM refers to applications attracting a fee of £96 to be introduced later by secondary legislation, which will also introduce the fee of £100. I ask the Minister whether these fees, which will be introduced later in the process, will be applied retrospectively or effective from some date in the future. It appears that this fee of £96 could cover a larger extension to a hospital or university. That seems like a snip to me; perhaps I have misunderstood the EM, so would be grateful for the Minister’s clarification. I note that all PDR developments must be completed within three years. If only this applied to extant planning permissions, we would not have a housing crisis in the first place.
Paragraph 11.1 refers to guidance being
“available in time for the new rules coming into force”.
As this SI was laid on 30 March and came into force on 1 April, I wonder where this guidance is. Has it been finalised and published? Are local authorities aware of what it actually says?
Lastly, I refer to Article 6 of the statutory instrument itself,
“Insertion of Class MA in Part 3 of Schedule 2”.
Under “Development not permitted … MA.1”, paragraph (1)(f) says,
“if the site is occupied under an agricultural tenancy, unless the express consent of both the landlord and the tenant has been obtained”.
Farming and agriculture are in a state of flux. Farmers are having their previous income, under the CAP, reduced each year and the replacement funding, under the environmental land management scheme, is by no means certain or transparent. Development land attracts a far higher price than agricultural land. I can envisage a situation in which a landlord approaches a tenant and offers a sum of money for vacant possession. A tenant, not certain of what the future holds for him or her, may accept. The landlord will then apply for PDR, which will be granted.
We will see farm buildings and land converted into dwellings. While this has happened on a small scale in the past, to the advantage of many villages—where farm buildings have provided bungalows for the local elderly to downsize—this was through the normal planning route. However, at the moment, at a time of anxiety in the farming community, there is the possibility of widespread conversions and the resultant loss of agricultural holdings. At this time, the mantra should be not only “build, build, build”, but “grow, grow, grow”. I would be grateful for the Minister’s comments on this clause.
(3 years, 6 months ago)
Lords ChamberMy Lords, I too look forward to the maiden speeches of the noble Lords, Lord Coaker and Lord Morse. I will speak to the three animal welfare Bills which were mentioned in Her Majesty’s most gracious Speech: the Animal Welfare (Sentience) Bill, the kept animals Bill, and the animals abroad Bill. These three Bills hang under the Action Plan for Animal Welfare, also recently published, which has over 40 reforms across five different workstreams—a large undertaking, but I welcome it.
However, I am disappointed that the protection of children, both physically and mentally, will not receive such a strong commitment. Many will not benefit from the protections they require and deserve. It is a sad fact that 40% of children have viewed unsuitable images on the internet, yet the Government are dragging their feet on providing the necessary stringent protections for children.
I digress, so I will now return to my main purpose. The first of the five themes of the animal welfare action plan is “sentience and enforcement”. Not many weeks ago, we debated the Animal Welfare (Sentencing) Bill, which increases the maximum prison sentence for cruelty to animals from six months to five years. This brings the UK into line with many countries with which we trade internationally and was long overdue. There have been many debates in this Chamber about animal sentience. Like many others, I signed a petition against the revolting practice of ear cropping, which has no useful purpose whatever and is purely cosmetic. The Animal Welfare (Sentience) Bill is short, and solely about the setting up of a committee to look at the possible effects of government legislation on animals as sentient beings. Who sits on the committee, its remit, and the way it reports are solely the purview of the Secretary of State. I will have more to say on that at Second Reading.
The second theme is “international trade and advocacy”. During the passages of the Agriculture Bill and the Trade Bill, many of your Lordships raised the issue of trade negotiations with countries whose animal welfare standards are inferior to our own. If we are to continue to be a global leader in this field, we must protect endangered animals abroad, including the elephant. Having spoken many times on the Ivory Act, I am frustrated in the extreme that it has not been implemented. Can the Minister give us a reason why this has not happened—apart from the antique ivory lobby—and a timetable for when the Act will be implemented?
The third theme is “farm animals”. Currently, some farm animals are exported for fattening and slaughter. This transportation is distressing for the animals, completely unnecessary and must be stopped as a priority. Similarly, the use of cages for laying hens and farrowing crates for pigs must be phased out as soon as possible. The meat from pigs raised in farrowing crates abroad should no longer be imported into the UK. Effective and clear food labelling is essential to ensure public confidence on animal welfare. The Government must also look at the length of journeys within the UK from farm to abattoir. Many of these journeys are extremely long and distressing. A network of effective abattoirs close to rural communities is essential.
The fourth theme is around “pets and sporting animals”. My colleagues and I have spoken many times about the smuggling of puppies. There has been an increase in the demand for dogs and puppies during the lockdowns and I fear that many new family pets are the result of puppy smuggling. These puppies have been separated from their mothers far too early and will go on to have problems in their adult lives. There are incidents of adult pets being stolen to order, with an increase of 170% in dog thefts in 2020. This can have a devasting effect on a family who have lost a beloved pet. I welcome a crackdown on such practices, with stiff sentences being passed on perpetrators by the courts.
Lastly, the welfare plan covers wild animals. This section seems to be somewhat limited to prohibiting keeping primates as pets and cracking down on illegal hare coursing. Will the Minister consider widening this section? Currently, hare coursing is rising at an alarming rate. with evidence of links to organised crime. Again, can the Minister give the House a timeline for when legislation will be implemented to effectively regulate hare coursing?
Many of the Government’s proposals are to be welcomed. However, as always, the devil will be in the detail. There is unfortunately little actual detail in these proposals and no detail at all on the Kept Animals Bill or Animals Abroad Bill; hopefully, they will be published shortly. We see warm words but little actual commitment.
In the meantime, I welcome the welfare plan and the three Bills and look forward to the Minister’s response to my questions and those of others.
(3 years, 8 months ago)
Lords ChamberMy Lords, I point to the £400,000 invested by my department in education and training programmes for over 100 Gypsy, Roma and Traveller children and young people to receive extra tuition to catch up on lost learning during the pandemic. This is in addition to the £700 million provided by the Department for Education for the most disadvantaged young people, including Gypsies, Roma and Travellers, to access high-quality tuition. We are working on a cross-Whitehall GRT strategy to further improve the life chances of this community.
My Lords, the Police, Crime, Sentencing and Courts Bill, as it stands, will have a devastating effect on nomadic Gypsy and Traveller communities. Clause 4 enables the police to seize a family’s home. This is discrimination on a grand scale. Can the Minister say what other section of people living in our country will be targeted in this inhumane way?
The Bill is not the draconian legislation that it is painted as by the noble Baroness. The focus is on people who wilfully break the law, wilfully trespass on property, and wilfully damage public amenities. They are a very small minority. Regarding property, the police will need to consider their obligations around human rights legislation.
(3 years, 8 months ago)
Grand CommitteeMy Lords, it is a pleasure to take part today, and I congratulate the most reverend Primate the Archbishop of Canterbury on securing this debate. I declare my interests as the chair of the National Community Land Trust Network and a vice-president of the LGA. I welcome the report and the introduction given by the most reverend Primate, and I share his desire for good homes that are affordable for all.
My first involvement in campaigning for and against housing started 40 years ago. Newly married, we moved into a new cul-de-sac of 11 houses on the edge of the village. A year later, a woman knocked on the door, asking me to sign a petition against further houses on an orchard in the centre of the village. I asked her if she had similarly campaigned to prevent the building of the house we were living in; she was honest and said yes. I refused to sign her petition.
Later, when I was on the parish council, it was obvious that there was a desperate need for affordable homes, especially bungalows to enable the elderly to downsize. We searched with both the district council and the housing association to no avail. The village is still without these benefits. However, some swanky bungalows are now being built on redundant farmland—not quite what we originally had in mind.
The glebe land in the centre of the village had a village room at one side, a play area with equipment and an area for ball games. The playschool, as it was then, operated three days a week from the church room. The Church Commissioners, having a hard time financially, were looking for areas to develop and cast their eyes on our piece of land. As you might expect, I wrote to the bishop at Wells, and the Church Commissioners subsequently looked elsewhere. This was not a case of “not in my backyard” but of preserving the essential area that belonged to the children and young people. There were seats there for the mums and elderly to sit, chat and watch the children play.
The sense of community exists only when everyone is catered for: young couples starting out, growing families, young people exploring independence, empty nests and the elderly not wanting to move away from lifelong friends. A home is where each of us should be able to relax, shout at the TV, play music, read a book, and share meals and the experiences of the day. I regret that I probably take all this for granted, but it is not so for others. In cities, towns and villages, there are those who have no settled base. Their accommodation is shared, overcrowded, temporary, poorly built or maintained, not on a bus route, or a long way from the school. Children need a secure home in order to flourish. This has been brought into sharp contrast during the pandemic, as children often have to share a computer with their siblings to access education, often all sitting round the kitchen table to do their schoolwork.
Good housing, as the commission’s report Coming Home sets outs, should be
“sustainable, safe, stable, sociable, and satisfying”.
It is essential that all new housing should have minimal impact on the environment and be good to look at. Finding land that is available, in the right place and affordable is often the stumbling block. The Church has land. Developers and housing associations are looking for land. However, the best solutions come from the communities themselves, recognising the need for housing and working with others to make this happen. Forming a community land trust—a CLT—is one way of ensuring this happens. Like-minded residents come together to plan what their community needs, engaging in consultation with residents, and the national network is on hand to assist with providing advice and support. These homes can be of mixed tenure, and some CLTs run local post offices and shops—all vital for communities.
The most reverend Primates’ report features two CLTs: Keswick CLT and London CLT—two very different areas of the country. In both cases, local churches were there at the start. In Keswick’s case, they built on church land. There is obviously a lot of potential for this to roll out across the country. Being able to develop on church land, and with churches themselves as active partners in their communities, has been key in setting up the CLTs.
Decent, truly affordable housing is not a single political party issue; it stretches across all parties and none. A long-term, 20-year, deliverable housing strategy—not here today and gone tomorrow—will provide healthy communities, whether in the inner cities, market towns or deep rural areas on the edge of the moors.
The challenges for churches, of all denominations, is land. I was pleased to see that the Church Commissioners, the United Reform Church and the Methodists have all endorsed the report—all have land. In the case of the Church of England, the various diocese will need to know who to talk to if they want to support a new CLT. I sincerely hope that all diocese will embrace the challenge. How do they go about it? How do they bring a community’s project forward? The NCLT has a network of enabler hubs. I welcome the appointment of Bishop Guli Francis-Dehqani as the new bishop for housing. This is a huge step forward and gives a point of contact for those wanting to support affordable housing in their area. I welcome the move to allow the disposal of land for the charitable purpose of providing homes for the wider community at less than full market value. This is absolutely key.
The NCLT enabler hubs were supported by the Community Housing Fund from 2018 to 2020. This was a huge success and the driving force behind the increase in the total number of community-led homes in the pipeline from 5,800 homes to over 23,000 homes. However, that funding ended in March 2020 and there is no provision for a continuation in the Community Housing Fund money announced for this coming year. The research shows that, in order to be truly successful, community-led homes need four to five years of funding to become self-sustaining, not one or two years. The Government have achieved a great success and then pulled the rug out from under their feet.
Some of you may ask what is so special about a community land trust. The short answer is that communities themselves are in charge and the affordability element is enshrined in perpetuity—yes, in perpetuity. Currently, housing associations and local authorities may build affordable homes, but nothing like the 100,000 needed every year, and these homes are subject to the right to buy. While I respect the wish of tenants to buy their own homes, the current system does nothing to solve permanently the problem of affordability.
Affordability is key. I live in a village of some 300 inhabitants; we have a shop, a pub and a church, but the preschool has closed and there are no buses. There were local authority houses in years gone by, but all have been sold under the right to buy. Prices have risen exponentially. Young families have no chance of securing a home here. This is typical of thousands of rural villages. They are rapidly becoming middle class ghettos, where only the middle-aged and the middle classes can afford to live. But a mixed age range is needed to secure thriving communities, especially the chatter of young children.
There are a large number of homeless people in our community. One of them has been sleeping in our church on an annual basis. My noble friend Lord Shipley raised the Vagrancy Act. The vast majority of the homeless do not choose this way of life and the provision of overnight hostels is essential. Anything has to be better than a shop doorway.
I welcome this report and wish the most reverend Primates the Archbishop of Canterbury and the Archbishop of York, along with the right reverend Prelates the Bishop of Manchester and the Bishop of Newcastle, every success with its implementation. If there is anything I can do to assist, I am happy to do it, including waving a supportive banner as delegates go into the General Synod later this year. Hopefully, this will not be needed. I look forward to the Minister’s response, which I sincerely hope will be positive on helping to provide good, affordable homes for all.
I will call the noble Lord, Lord Griffiths of Fforestfach, again, in the hope that he is now on the call. Lord Griffiths? No? We shall go to the noble Baroness, Lady Ritchie of Downpatrick.
(3 years, 8 months ago)
Lords ChamberI thank the noble Lord, Lord Kennedy, for tabling Amendment 1, which I wish to speak to, and it is a pleasure to follow the noble Lord, Lord Stunell. I declare my interests as set out in the register. I am a non-domestic ratepayer in Scotland, although I know this Bill does not include affairs in Scotland.
The Bill is all about timing; it is not about fairness, fitness for purpose, the impact on business, sorting out the appeals system or any other aspect of what has become, I fear, a broken system. The Bill ignores the most critical timing issue, which is simply that of dealing with the appeals backlog—ratepayers paying the requested sum until an appeal is settled. In the current circumstances, that is critical. We cannot expect the Covid-related rates holiday to last for ever. We have seen a collapse in retail rental values over the past 12 months, and as both the noble Lords, Lord Kennedy and Lord Stunell, have pointed out, it was a crisis long before this. Some tenants are to pay double the appropriate rates bills. This amendment brings the plight of the high street retailer into high relief. The annual report it proposes would focus specifically on small businesses, as set out in subsection (2)(b). I am pleased that it also addresses the elephant on the table of all non-domestic rates discussions in the retail sector: the killer impact of the online assault on the high street, as we have heard from both the previous speakers.
Online retail is not a bad thing and it is clearly the future for a huge percentage of domestic spending. The bad thing is the Government’s inability—after years of notice, for online is not a new phenomenon—to recognise the twin neglects of taxing the profits of online and of fairness in the spread of rates between the high street and that sector. Subsection (2)(d) of the amendment requires that the report address the impact of the revaluation timing on local authority finances. Rates are a critical ingredient in local authority finance, but unfortunately the funding gap that the next revaluation will create will lead to a difficult political challenge: how to replace the fall in rates funding—another reason to delay the reform so desperately needed.
Subsection (2)(e) addresses the subject of waiting lists for appeals, which I mentioned earlier. This has become critical. Waiting list delays are themselves enough to put many out of business—a good example of shooting ourselves in the foot of local authority funding. The end result will be worse.
I must refer also to the fundamental review—a story of delay. It is most disappointing, in that the most vulnerable ratepayers can hardly speak for themselves. This delay will be the death of many small, innovative and hardworking businesses, the very ones the Government claim to champion. Should the noble Lord, Lord Kennedy of Southwark, press for a Division on this amendment, I will certainly support it. But my greatest concern is that the valuation date for the revised NDR lists has been chosen at a point in the market cycle that provides no evidence. In my 40-odd years in this profession, I have seen highs and lows in the rental value market cycle, but I have never seen paralysis. Paralysis is what we now have in the rental market from which the rate levels are derived. It will probably lead, as I explained in Committee, to a huge mass of rating appeals. I ask the Minister to take these comments back to the Government, but I fear that it is too late.
My Lords, it is a pleasure to follow the noble Lord, Lord Thurlow, and I declare my interest as a vice-president of the LGA. I congratulate the noble Lord, Lord Kennedy of Southwark, on his composite amendment which neatly brings all the issues that have been debated previously into one. During those debates, all the relevant arguments were made, and I speak today in favour of Amendment 1.
It is important that there be annual rate revaluation reporting. Business rates reviews cannot be left to drift from year to year, especially as so many businesses are struggling. Keeping a careful watch on how revaluations are affecting businesses is vital to ensuring a healthy economic recovery. Towns and high streets are being decimated by the lockdown, as the noble Lord, Lord Kennedy, said. Some three-quarters of retail outlets are closed and many have been boarded up. Only essential outlets are open: supermarkets, pharmacies, opticians and some DIY stores. As lockdown is gradually released, many shops will, hopefully, reopen, but the effect of business rates may be the last straw. This must be monitored to prevent the total decimation of the high street shopping experience.
The Association of Convenience Stores has welcomed the Bill and the revaluation date being moved to 1 April 2023. It sees this as a positive step forward but it has several recommendations that would further assist its operation, including a reduction in the burden of business rates by resetting the business rate multipliers to more sustainable levels.
The whole issue of NDR is a balancing act between the need of funding local authorities and the economic viability of businesses. Local authority finances are stretched to the limit. Government grants have been radically reduced over the years and many councils now only deliver statutory services and these to the minimum standards permitted. It is not that councils do not wish to provide those vital services which communities rely on, such as grants, improved play areas, adequate and dignified social care, after-school clubs et cetera; it is the sad, realistic fact that they no longer have the finance to do this.
(3 years, 9 months ago)
Grand CommitteeMy Lords, Amendment 3, to which the noble Baroness, Lady Bakewell of Hardington Mandeville, has added her name, raises the important issue of business rate appeal waiting lists.
As we heard at Second Reading, there are still 40,000 unresolved rating list appeals from 2010—11 years ago. As a result of this backlog, local authorities had to divert more than £3 billion from services to deal with the appeals risk from 2010 and 2017. This is an unacceptable situation; I am sure that the noble Lord, Lord Greenhalgh, would agree with me on that. Local authority finances are under extreme pressure, and this unacceptable situation is being made even worse.
The amendment would place a duty on the Secretary of State to conduct and then publish an assessment of the impact of the Act on business rate appeals. This is an opportunity for the Minister to explain the position of the Government and how they are working to deal with this backlog of appeals. I beg to move.
My Lords, I draw the Committee’s attention to my interest as a vice-president of the LGA.
It is a pleasure to take part in this debate and speak to the amendment in the name of the noble Lord, Lord Kennedy of Southwark, to which I have added my name. I am familiar with rating appeal tribunals from my previous life when I sat on domestic rating appeals. Some had been waiting in the pipeline to be heard for a very long time. The noble Lord referred to these timelines.
However, this is about business rates. Some years ago, before the Government transferred the retention of business rates to local authorities, unitary and district councils were responsible for collecting business rates but had no say in setting them; nor were they able to retain the rates collected. If the local authority had no major facilities in its area that would attract business rates, this was straightforward. However, if there were major infrastructure projects—I use this term loosely—this caused huge problems as, for reasons best known to the Government, these facilities were expected to pay business rates despite not trading as businesses.
I can speak only from my experience of Somerset but feel certain that this situation will have been replicated across the whole country. Taunton Deane Borough Council and South Somerset District Council were lucky enough to have major infrastructure in their areas. In Taunton Deane, it was the MoD camp at Norton Fitzwarren and a large hospital at Musgrove Park, in addition to several superstores. In the case of South Somerset, it was the MoD Royal Naval Air Station at Yeovilton and Yeovil District Hospital, as well as superstores. The MoD bases and NHS facilities are of course funded from central government budgets in the first place. All these assets attracted business rates covering millions of pounds. The MoD, NHS hospitals and superstores appealed against their business rates—the latter were in a slightly different category as they were trading businesses and, hopefully, making a profit, but millions of pounds were at stake.
The Government informed local authorities that they could, if they wished, agree a lower figure with the appellant. However, any difference from the figure originally set and the lower figure agreed by the local authority would have to be made up to the Government from local householders’ council tax. Many of these pending appeals waited four, five, six or even seven years to be heard. As the noble Lord, Lord Kennedy of Southwark, has just said, we have now been waiting more than 10 years for the 2010 appeals. All this time, local authorities were wondering whether they would be faced with massive bills in unpaid business rates that the Government would be expecting to receive. When appeals were heard and were successful, this money was passported back to central government. However, there was also an expectation that any shortfall would be made up by local authorities, so it was a win/lose situation for local councils and their taxpayers.
We now have a situation where local authorities operate under a business rate retention scheme. However, with high street retail outlets and other town centre businesses under extreme pressure because of the Covid pandemic, huge numbers of appeals against business rate assessments are likely.
Household rates and housing benefit levels are set on a sub-regional basis by the valuation office. Our valuation office was based in Bournemouth; the price of a property in Bournemouth was vastly different from the value of one in South Somerset. Can the Minister say whether business rates are similarly set on a sub-regional level and whether the buoyancy of the local economy is considered?
Previously, our town centres have been made up of well-known retail high street clothing stores, yet these have all but disappeared. The brands are being snapped up by online businesses that buy the brand and stock but not the premises, as we have seen this week. My noble friend Lord Stunell has already referred to this. How are local authorities that now depend on business rates to balance their budgets to proceed with an increasing number of empty properties?
Many businesses will survive: insurance agents, estate agents, solicitors, food outlets and supermarkets. However, many supermarkets have long since withdrawn to retail business parks, where there is a significant turnover of retailers as each goes into administration. Mothercare, Staples and Homebase are examples; their premises are often left empty for a considerable time. It seems that now is the time for a radical rethink of just what the Government expect business rates to deliver and what type of business they propose to be classified as liable for business rates. This will now include large warehouse facilities servicing online purchases.
The exponential rise in online shopping has been the saviour of householders who have either been subject to lockdown or, prior to lockdown, isolating to protect themselves due to their underlying health conditions. From my office window, I have an excellent view of the C-grade road that serves the 12 houses in our area. The number of delivery vans going up and down has dramatically increased since Christmas. Whether it is with home deliveries from supermarkets or deliveries by DPD, Yodel or another, they are extremely busy and often call long after it has gone dark. Apart from the supermarkets, the vans are delivering goods that householders have ordered from online businesses. Surely now is the time for these businesses to play their part in the local economy and pay business rates; the noble Lord, Lord Bourne of Aberystwyth, referred to this.
(3 years, 10 months ago)
Lords ChamberMy Lords, it is a pleasure to follow the noble Baroness, Lady Greengross. I declare my interest as a vice-president of the Local Government Association. I fully support the comments of my noble friends Lady Thomas of Winchester and Lady Randerson on the NDR (Public Lavatories) Bill. It is essential, in terms of equality, that the number of disabled lavatories and access to them should be increased, not only in town centres but in visitor attractions and beauty spots around the country. Other Peers have spoken eloquently on that issue.
Turning to the NDR (Lists) (No. 2) Bill, I have a few points to make. While I support moving the date for compiling the lists to 1 April 2023, this is an opportunity to move from a five-yearly review to one every three years. Other noble Lords have spoken to this issue. I would not support moving to a yearly revaluation as this would be too great an administrative burden on local authorities, but a three-yearly revaluation would be a good compromise.
It is important that we fully understand what is happening to our high streets. During lockdowns, most of the retail and market outlets are not able to trade. Some retail outlets have been able to move their business to online trading and delivery, but most have not. We have reached a stage where enormous warehouses have been constructed to service online business, but they do not contribute in the same proportion as high-street businesses. Now is surely the time to readjust the rating system so that the rateable value and rates paid by high-street retail outlets is radically reduced permanently. At the same time, online warehouse operations should be taxed in proportion to their size, turnover and profitability.
While it has been enormously beneficial to people to be able to buy goods online during lockdown, especially in the run-up to Christmas, the effect on the high street has been catastrophic. Many retail outlets rely on the December trade to see them through the rest of the year. I am sure the Minister does not wish to see a return to the moribund state of our high streets during past recessions. I welcome the rate relief which the Minister has set out to alleviate hardship during Covid, but that is only short-term.
I will speak briefly on mixed hereditaments. Many, many years ago I sat on rating appeal tribunals. While a large proportion were about dates, there were a proportion of mixed hereditaments, with those living in premises above retail outlets which they ran having concerns about their rateable value. The Government have been keen to increase the housing supply by allowing developers to give notice to quit to business tenants in blocks of flats in town centres over retail outlets. These premises were then allowed to be converted into domestic dwellings. These conversions have not been subject to building controls, and in many cases have resulted in substandard accommodation with very limited space.
Can the Minister say whether these newly converted domestic dwellings were subject to reassessment of their rateable value? Were they changed from business rates to domestic rates? Did the local authorities in which the dwellings were situated receive less in rates payments than previously or more? As the Minister knows, local authorities are very dependent on the receipt of rates to help balance their budgets and to fund their vital services to the community.
While providing homes for those desperate to escape sofa-surfing with their long-suffering friends and relatives, it is important that the accommodation provided through office conversions is adequate, meets minimum standards and provides a dignified living space for their residents. I look forward to the Minister’s response on this and other matters in this debate.
The noble Baroness, Lady Altmann, has withdrawn from this debate, so I call the next speaker, the noble Lord, Lord Stunell.