Environment Bill

Baroness Bloomfield of Hinton Waldrist Excerpts

Report stage
Wednesday 15th September 2021 Lords Chamber

Relevant documents: 3rd and 5th Reports from the Delegated Powers Committee, 4th Report from the Constitution Committee

[Baroness Bloomfield of Hinton Waldrist (Con)]

My Lords, before we begin proceedings, I remind noble Lords that the Bill needs to conclude today, and we have 12 groups to get through. I do not propose to outline all the rules of engagement again; suffice to say that only the mover of an amendment may speak after the Minister. Other Members speaking after the Minister may do so only to ask short questions of elucidation. I remind noble Lords that brevity is king in all things and please could they try not to repeat arguments already made in the same debate.

Amendment 99

Moved by

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[Baroness Jones of Whitchurch (Lab)]

My Lords, I do not have an American spouse to declare and I am certainly not a landowner, so maybe I bring more of a working-class approach to this. But I do declare an interest as a member of the South Downs National Park Authority, where conservation covenants are already becoming a live and slightly perturbing issue. I speak in support of Amendments 109, 110, 112, 113, 114 and 115 in the name of the noble Earl, Lord Devon, to which I have added my name. I also thank the noble Earl, Lord Caithness, for his amendments, which echo our concerns about the current wording of Part 7 of the Bill.

As the noble Earl, Lord Devon, said in Committee and again today, conservation covenants are a new and radical concept. They could bring great benefits to our landscape and to improving our biodiversity, but they are long-term agreements with huge implications for the landowners, so it is essential that we make the wording watertight from the start. The noble Earl’s Amendments 109 and 110 would require any conservation covenant to be underpinned by a deed. We believe this provision is essential. It would ensure that the landowner received appropriate legal advice before locking in the land to agreements that could last 100 years or more, committing their family for generations.

In the noble Lord the Minister’s letter following the debate in Committee, he made it clear that the covenants would not require a dominant and servient tenement. The implication was that this would be an equal agreement between the landowner and the responsible body, but we know this is not necessarily how it will work in practice. We are talking about public bodies or large institutions with huge resources compared to a single landowner, who may be a small farmer. So it is crucial that they get the best legal advice, which a deed would deliver. There would then be clarity for all on what the conservation requirements are.

As I mentioned in Committee, the concept of environmental stacking is also taking hold, where a landowner might have multiple conservation obligations to different bodies, with all the legal complexities that that would ensue. Could the noble Baroness clarify how it would work if a covenant existed for a piece of land? For example, would the landowner also be able to claim additional financial support through the sustainable farming incentive scheme?

We are also concerned about the implications of individual farmers being approached to sign covenants that are at odds with the wider plans for the landscape. How would we ensure that the covenant was in keeping with, for example, the strategic plans for the protected landscapes in the national parks? As I mentioned in Committee, farmers in the South Downs are already being approached to provide carbon offsets for developments elsewhere, and the new biodiversity offsets will complicate matters further. All of this underlines the need for a land-use framework for England, which my noble friend Lady Young will be debating in the next group.

I also agree with the noble Viscount, Lord Ridley, that the advice on conservation may turn out to be wrong, over a period of time, so we need a simple mechanism to adapt and sign off new amended conservation agreements.

Finally, we agree with the noble Earl that the responsible bodies that determine the basis of the covenant, if they are not public bodies or charities, should be organisations focused solely on conservation —we all had a great deal of sympathy with his example of Southern Water, which did not quite tick the box of being a trustworthy conservator—otherwise, there is a danger of the covenants being traded by for-profit institutions with no interest in the biodiversity outcome and no direct engagement with the landowner. In the worst case, it is possible to imagine all these covenants bundled up into packages and traded internationally, with the UK losing control of its land use. I hope noble Lords see the sense of these amendments and agree to support them, if the Minister is not able to adequately address these concerns.

[Baroness Bloomfield of Hinton Waldrist (Con)]

My Lords, I thank all noble Lords who have contributed to this debate and especially the noble Earls, Lord Devon and Lord Caithness, for their amendments. I also thank the noble Earl, Lord Devon, for taking the time to discuss this important topic with the Secretary of State last night, and with Defra officials and the Law Commission. I start by emphasising that the Law Commission concluded that a regime for statutory conservation covenants is needed because there is currently no simple legal tool that landowners can use to secure conservation or heritage benefits when the land is sold or passed on.

Amendment 111, in the name of the noble Earl, Lord Caithness, risks limiting crucial flexibility in the design of covenants. The Government strongly support the Law Commission’s approach of keeping the content and procedural requirements for conservation covenants simple and proportionate. We want to avoid unnecessary complexity and cost—and cost might dissuade landowners from entering into conservation covenants, leading to important conservation opportunities being lost. It is also vital that parties have the flexibility to design conservation covenants to suit their needs, given the wide range of conservation purposes they could be used to secure. We expect to see a range of different covenants created, from preserving small-scale heritage work done on a Tudor house through to securing long- term landscape-scale conservation management.

Amendment 109, in the name of the noble Earl, Lord Devon, seeks to prevent landowners inadvertently signing up to agreements, but I think this scenario is unlikely. The agreement must show that the parties intend to create a conservation covenant. A conservation covenant cannot be validly created unless the agreement clearly shows that the parties intended to create it. The Government have been working closely with stakeholders, including the NFU, CLA and the National Trust, to develop guidance, to be published, that will set out in more detail the process for creating conservation covenants and encourage both parties to take legal advice before entering into such an agreement.

On Amendment 110, I will first clarify something I said to noble Lords during the debate on the eighth day of Committee. To confirm, it is not necessary for a conservation covenant to be executed by deed for it to be registered as a local land charge. I also reassure the noble Earl, Lord Devon, that his concerns were carefully considered by the Law Commission: Clause 113 adheres to its final recommendations. His proposal that the agreement must be created in writing and signed was well received. In practice, those who prefer to execute their agreement as a deed may do so, and of course executing an agreement by deed does not guarantee that the parties will seek legal advice on the terms set out in the agreement—although, as I said, our guidance will encourage parties to take legal advice.

A perpetual agreement might be desirable to some; equally, a fixed-term conservation covenant could be appropriate to others. The proposal for flexibility on duration had the clear support of consultees and the Law Commission saw no sensible alternative. Where consideration forms part of an agreement, the clauses already allow for that to be captured. Requiring agreements to include provisions on duration and consideration risks rendering otherwise helpful agreements invalid if they fail to mention them, as consideration in particular may not be relevant to all agreements.

On Amendment 112, regarding responsible bodies, I agree with the noble Earl, Lord Devon, that for-profit bodies have a role to play in ensuring the success of conservation covenants. The Government’s 2019 consultation found broad support for allowing for-profit organisations to apply to be responsible bodies: 58% of respondents agreed, with only 26% against. The Government will closely check approved responsible bodies. Regulations on annual returns may require responsible bodies to provide an update on their eligibility. As part of the application process, we will also require organisations to notify us if conservation is no longer their main purpose or activity.