(1 year, 5 months ago)
Lords ChamberMy Lords, I support the amendments in the names of the noble and learned Lord, Lord Etherton, and the noble Lord, Lord Thurlow. I declare my rural interests.
My particular angle of support relates to the importance of the provision of sufficient rural affordable housing, which is a huge gap in housing provision, as identified in two reports from the APPG for Rural Business and the Rural Powerhouse, of which I declare my membership. These reports concentrated on levelling up in the countryside and the impact of the cost of living crisis in rural areas.
Forgive me; I may be mistaken, but I do not think that the noble Lord, Lord Carrington, was here at the start of this debate on the last occasion.
I apologise; the noble Lord is not in my notes. I will accept his word that he was.
Citizens Advice and others have pointed to provision of rural housing being a growing problem and a significant barrier to the rural economy, as the average house price can be up to 10% of average earnings, compared with 7.4% in urban areas, excluding London.
Navigating the planning system has always been a problem in rural areas, and larger building providers have been the most successful. CPRE, the countryside charity, has pointed out that successful housing applications tended to be in a very narrow segment of the market—the upper to middle end, which does not favour renters, first-time buyers and affordable housing.
The Government are prioritising the development of brownfield sites, which is certainly laudable, but 87% of these are in urban areas and often in the south-east. However, the economic impact of small developments and, in particular, affordable housing in rural communities can make a huge difference in supporting businesses and communities in terms of employment and other activities. It would also assist with the growing problem of rural homelessness, as identified by Shelter and other charities.
These amendments make strategic housing and market assessments of affordable housing compulsory, and influencing the rate of the infrastructure levy would be of great benefit to the sensible provision of affordable housing in rural areas.
(1 year, 9 months ago)
Lords ChamberWe have plenty of time. I think it is the turn of the Cross- Benchers, and then Labour.
My Lords, I declare my interests as a farmer, as set out in the register. I also express my thanks to the Minister and his department for the progress on and development of ELMS so far. I emphasise “so far” because there are still some areas of concern, and my two principal ones are as follows.
First, the implementation of biodiversity net gain becomes a legal requirement at the end of this year. We need to know how land set aside for BNG relates in terms of payment to land incorporated in ELMS, as this could be a major income opportunity for farmers. Secondly, there is a need for immediate clarity from Defra and the Treasury on income and capital tax treatment and reliefs, as well as the possibility of VAT on BNG and other aspects of ELMS, including woodland. I would be greatly relieved if the Minister could respond on these two points.
(3 years, 1 month ago)
Lords ChamberI am grateful for both contributions and for the support of the noble Baroness opposite. I thank the noble Lord, Lord Carrington, for his amendments, and for not only meeting with my noble friend Lord Goldsmith and officials over the summer to discuss his concerns but for this constructive engagement.
The measures which we are introducing in Clause 84 are absolutely necessary to protect the environment from further damage and from over-abstraction. Members of this House have spoken of the necessity of protecting our water environment, including the fish and invertebrates which live within it, as well as of the need to protect our internationally important chalk streams, on which we have already heard from the noble Lord, Lord Chidgey, and others. Ending unsustainable abstraction is essential if we are to achieve this. But as I said in Committee, we also know that abstraction is vital for food production.
The Government recognise the impacts that these changes will have on permanent abstraction licence holders and are taking all steps possible to implement the changes fairly. The changes will not take effect until 1 January 2028. This will allow time for the full implementation of our 2017 water abstraction plan and for the Environment Agency’s catchment-based approach to become embedded, working with stakeholders, including permanent licence-holders potentially affected by these new powers, to voluntarily solve issues of access to water and unsustainable abstraction.
I reassure the noble Lord, Lord Carrington, that, by contrast, water companies can already have their extraction licences varied or revoked without the payment of compensation. I hope I can also reassure him when I say that this is not, as he termed it, an arbitrary or undefined process. Excess headroom will be assessed over each year of a 12-year period, to allow for weather variations and crop rotations, and to align with the abstraction licensing strategy timeframe. The Environment Agency will assess licences within scope on a case-by-case basis, considering all relevant factors including business needs and existing and future water resource needs, as the noble Lord mentions in his Amendment 73, before deciding what action is proportionate, as the noble Lord raises in Amendment 65.
We expect the Environment Agency to use this power as a last resort, once all other options have been exhausted. But if those options have been exhausted, it is simply not right that unsustainable abstraction and environmental damage should be allowed to continue. That is why this power is necessary. Should that decision be taken, the licence holder will have a right of appeal to the Secretary of State, as is currently the case. They can put forward expert evidence should they wish to do so, which was also a concern raised in Amendment 64.
The noble Lord, Lord Carrington, asked about timing. We are working with partners, including the National Farmers’ Union, on the guidance and will publish this guidance as soon as possible. The Government have worked, and will continue to work, extremely hard to ensure that these new powers are reasonable, proportionate and just. We will continue to work closely with a wide range of stakeholders to ensure that their implementation is a smooth and fair process.
I hope that the noble Lord recognises that the Government have endeavoured to put in place necessary safeguards. We can go no further without undermining the very purpose of this clause, which is to protect the environment. I acknowledge his comments about the long-term planning for the necessity of new reservoirs. I am afraid that I have no further details and can only acknowledge that this is a long-term solution. I hope that he agrees with the necessity of that purpose and will withdraw his amendment.
My Lords, I thank the Minister very much indeed for the very considered response. Although I do not totally agree on the compensation issue—but I was never going to—I accept all the assurances and the work that has been done by Defra to help ease our concerns. I have no hesitation in withdrawing my amendment, although I will continue on the compensation issue in future discussions. I beg leave to withdraw the amendment.
(3 years, 9 months ago)
Grand CommitteeI apologise to noble Lords—can the noble Lord resume, please?
I was saying that the Government have not announced in any detail what happens next, so farmers are unable to plan. This could involve both tenancy and tax matters. For example, let us suppose that they want to enter a tree-planting scheme under the ELMS, and their tenancy excludes silviculture, or the ELM scheme that they enter has a 25-year life, whereas their tenancy is a 10-year FBT, and so on. Details of ELMS may be unavailable until 2024. Those are the real issues that must be resolved by the TRIG.
The introduction of ELMS may have adverse tax consequences, as current tax rules operate as a disincentive to diversification in how they treat investment and trading activities differently. Leaving aside that information gap, I congratulate the Government on the reform measures in the Act, which were agreed by the whole industry, rather than spending time on divisive old chestnuts such as reform of AHA succession provisions. These restrictive tenancies, designed for issues of a different age, do not satisfy either landowners or succeeding tenants, who want the flexibility of an FBT where consensual terms are agreed. Other mooted changes such as introducing reasonableness tests and minimum tenure FBTs are unlikely to secure widespread industry support. I urge all reform to be on a consensual basis.
Please could the noble Lord draw his comments to a close, as there is a Division in the House?
(4 years, 1 month ago)
Lords ChamberI assure the noble Lord that this Bill will cover those situations.
My Lords, I thank all noble Lords who have participated in this short debate and, of course, the Minister.
I say to the noble Baroness, Lady Scott of Needham Market, that, in moving this amendment, I have the support of the CLA, the NFU and the TFA, so it is a matter of general concern to all farming organisations.
We have heard several examples of problems that have required assistance, whether in Richmond, Sri Lanka or elsewhere. The contribution made by the noble Lord, Lord Inglewood, was extremely interesting. His emphasis on farmers’ reliance on income from farming is certainly something that we should bear heavily in mind, because that is what the whole industry is about; it is not about ELMs. As I understood it, the noble Lord’s concern was very much to do with making quite sure that the Government understand the cash-flow implications of these issues and the need to work fast to resolve them.
As has become clear from all the questions we have heard, my real point on this issue is that there is a lack of understanding of what is covered by this clause. The last question very much indicated that that is the case. However, we have received assurances from the Minister. I do not believe that it is worth my taking this any further, so I beg leave to withdraw the amendment.