Money Laundering

Baroness Evans of Bowes Park Excerpts

Thursday 13th January 2022 Lords Chamber

[Lord Agnew of Oulton (Con)]

My Lords, if we were to go the very top-down figures, which are ultimately the most important, I would look at the tax gap, which we have been very successful in closing over a number of years. In 2005-06, the gap was 7.5%; in the last year for which figures were available, 2019-20, it was down to 5.3%. That is of course against the enormous headwinds of the build-up of hot money around the world. I would therefore be more optimistic and say that we are making good progress.

[The Lord Privy Seal (Baroness Evans of Bowes Park) (Con)]

My Lords, it is the turn of the Liberal Democrats. The noble Lord, Lord Jones of Cheltenham, wishes to speak virtually. I think this is a convenient point to call him.

[Lord Jones of Cheltenham (LD) [V]]

My Lords, the Royal United Services Institute suggests that the scale of money laundering in the UK is “too big to measure”. Transparency International has had a stab at it and says that the problem may be causing £325 billion-worth of harm to the UK economy each year. Why has the UK become such a magnet for this illegal activity, which damages the vital financial services sector and our reputation as a safe place to do business?

Budget Statement

Baroness Evans of Bowes Park Excerpts

Friday 12th March 2021 Lords Chamber

[The Deputy Speaker (Lord McNicol of West Kilbride) (Lab)]

I call the noble Lord, Lord Mair. Can the noble Lord please unmute?

[Baroness Evans of Bowes Park (Con)]

My Lords, can the noble Lord unmute? Otherwise, we will move to the next speaker and return to him.

[The Deputy Speaker (Lord McNicol of West Kilbride) (Lab)]

Let us try one more time. No? I call the noble Lord, Lord Blencathra; we will come back to the noble Lord, Lord Mair, as soon as we have reconnected.

European Union (Future Relationship) Bill

Baroness Evans of Bowes Park Excerpts

3rd reading & 2nd reading & Committee negatived & 2nd reading (Hansard) & 2nd reading (Hansard): House of Lords & 3rd reading (Hansard) & 3rd reading (Hansard): House of Lords & Committee negatived (Hansard) & Committee negatived (Hansard): House of Lords
Wednesday 30th December 2020 Lords Chamber

Moved by

[Baroness Evans of Bowes Park]

That the Bill be now read a second time.

[The Lord Privy Seal (Baroness Evans of Bowes Park) (Con)]

My Lords, in moving that the Bill be now read a second time, I want to thank in advance all noble Lords who will speak in today’s debate.

This Bill, which passed its stages in the other place with a substantial majority, will implement the historic trade and co-operation agreement negotiated with the European Union and marks the beginning of a new chapter for our country. This comprehensive Canada-style agreement, worth more than £660 billion, delivers on the commitments made to the British people in the referendum and in last year’s general election. It takes back control of our money, borders, laws and waters, ends any role for the European Court, and protects the Good Friday agreement. It provides certainty for business —from financial services to the life sciences industry, food producers and our world-leading manufacturers, including the car industry—safeguarding highly-skilled jobs and investment across our country.

I am sure that the whole House will join me in thanking our negotiating team, led by my noble friend Lord Frost, for their professionalism, skill and perseverance. Of course, we also pay tribute to President von der Leyen, Michel Barnier and our European friends for the part they have played in ensuring we reached the deal we have today.

This agreement is the beginning of our new relationship with our European neighbours. It is a deal based on friendly co-operation between sovereign equals, centred on free trade and inspired by our shared history, interests and values, while respecting one another’s freedom of action. Crucially, it fully upholds our rights as a sovereign country, meaning we will have political and economic independence to assert global Britain as a liberal, outward-looking force for good.

However, this is not just a free trade agreement; it is much more. This broad and unprecedented settlement reflects our historic, close relationship with our European neighbours. It is a relationship and partnership which will continue, albeit in a new form, once the transition period ends tomorrow.

I know the strength of feeling across this House when it comes to this subject. For decades, this House and its work have played a pivotal role in forging our relationship with our European neighbours and allies. While this workload may have increased since 2016, the quality has never been diluted, and your Lordships’ commitment and focus in scrutinising the 17 Brexit Bills we have enacted over the past four and a half years have been unwavering. In particular, I pay tribute to the EU Select Committee and its sub-committees for the work they have carried out on behalf of the whole House since the referendum. The committees have published in excess of 70 reports, thanks to the efforts of their members, staff, clerks and legal advisers. The scrutiny of this House has been better for their work and dedication.

As Leader of this House throughout this often difficult and turbulent time, I want to thank noble Lords from across the House for their commitment and dedication to our important role during this long and, at times, frustrating process. I hope that, with consideration of this Bill, the House can close this particular chapter and look forward to opening a new one which focuses on our new domestic and international agendas as we move on to build a great future for our four nations.

The transition period will end at 11 pm tomorrow. I know that Members across the House will want to ensure that the legislation that gives effect to the treaty is in place so that people and businesses can rely on it. We will provisionally apply the agreement from 1 January, but we still need to have legislation in place for provisional application and implementation to happen, and to ensure that we can ratify the agreements.

I now turn to the contents of the Bill. Part 1 implements the relevant provisions of the agreement that will protect our citizens and continues our long-standing commitment to joint co-operation on security matters. The Government have negotiated a comprehensive package of operational capabilities that ensure that we can work with counterparts across Europe to tackle serious crime and terrorism. Among a series of security measures, the agreement facilitates the continued transfer of passenger name record data from the EU, exchange of data via the Prüm system and streamlined extradition arrangements based on the EU’s surrender agreement with Norway and Iceland. This is the first agreement of its kind that the EU has negotiated with a non-Schengen third country, and it means that our security and border agencies will be able to continue working with our EU neighbours to protect the British public.

Part 2 of the Bill addresses trade and other matters, implementing arrangements to keep goods flowing in and out of our country. This deal maintains zero tariffs and zero quotas on trade in goods between the UK and the EU—the first time the EU has ever agreed to complete tariff-free and quota-free access in an FTA. The Bill provides for streamlined customs arrangements, including recognising our respective trusted trader schemes. The schedule on technical barriers to trade means that our exporters will not face unnecessary obstacles or discriminatory regulatory regimes.

The Bill implements our deal for UK hauliers as well as bus and coach companies that can continue to operate to, through and within the EU, making sure that critical cross-border services can continue to operate on the island of Ireland. These passenger transport provisions give people the freedom to travel to and from the EU easily for work, holidays and to visit loved ones.

We have also agreed a comprehensive protocol on social security co-ordination that is unmatched by any other between the EU and a third country. This agreement will ensure that UK nationals have a range of social security cover when working and living in the EU, including access to an uprated pension and extensive healthcare arrangements. The Bill gives effect to these provisions.

The Bill also gives effect to an unprecedented agreement reached on energy trading and Euratom, and reasserts our shared priority of tackling climate change through sources such as solar and wind. The measures that I have outlined demonstrate that this historic agreement is wide ranging and designed to provide certainty to our citizens, businesses and hauliers through trade, tax and transport measures.

The Bill also makes other arrangements that are related to our agreement with the EU but not directly related to its implementation.

The United Kingdom’s commitment to protecting the Belfast/Good Friday agreement in all respects is unwavering. That is why this Bill will enshrine funding to the Peace Plus programme to promote peace, reconciliation and economic development in Northern Ireland and the border region of Ireland.

Part 3 of the Bill ensures that we can meet our legal obligations under the agreements, including those emanating from the governance architecture they contain. The House will understand the significance of the fact that the basis of this agreement is not EU law but international law. EU law will no longer have any special status in the UK, nor is there any direct effect of this agreement in UK domestic law. Crucially, the Court of Justice of the European Union will have no jurisdiction, delivering on one of our core objectives in the negotiations.

In the agreement, we have made reciprocal commitments to high-level principles but not to common laws, and we will retain flexibility to tailor our approach for the United Kingdom. These are fair and balanced measures, which ensure that there is no constraint on either side’s autonomy and sovereignty. Our Parliament will regain its freedom to make or unmake law as it sees fit. We shall begin by fulfilling our manifesto promise to maintain the highest standards of labour and environmental regulation.

A significant agreement has been achieved for our fisheries industry, although this is not included in the Bill. For the first time in nearly 50 years, our country will be free to decide who can access our waters and on what terms. There will be an adjustment period of five and a half years during which the UK’s share of fish in our waters will rise from over half today to around two-thirds. After this adjustment period, any access by non-UK vessels to fish in UK waters will be a matter for annual negotiations, with no automatic access granted to the UK exclusive economic zone.

The Government are committed to upholding the Sewel convention. We have sought legislative consent Motions from each of the devolved legislatures where necessary for the Bill. My right honourable friend the Chancellor of the Duchy of Lancaster has sought consent from each of the Administrations, and we look forward to receiving their responses. My noble friend Lord True will update the House with any developments in his closing speech.

This Bill delivers what the British public voted for in last year’s general election and the referendum, and marks the start of a new chapter—one where we can take advantage of freedoms outside the EU to boost our efforts to level up opportunity; reform our approach to support farmers and improve the environment; encourage new, innovative sectors to develop; strike trade deals; and play a leading role on the world stage.

For these reasons and many more, I beg to move.

Amendment to the Motion

Moved by

House of Lords: Gender Equality

Baroness Evans of Bowes Park Excerpts

Thursday 6th June 2019 Lords Chamber

[Baroness Scott of Needham Market (LD)]

My Lords—

[The Lord Privy Seal (Baroness Evans of Bowes Park) (Con)]

My Lords, we will hear from the Liberal Democrats and then we will hear from the noble Lord.

[Baroness Scott of Needham Market]

My Lords, I remind the House that I am a member of the House of Lords Appointments Commission. I am grateful that the noble Lord has highlighted that since 2012 we have appointed seven women and five men, but is he aware that only 27.8% of the applicants to HOLAC are female? There is a real problem with women coming forward. Does he agree that we all have a role to play in encouraging suitably qualified women to put their names forward not just to HOLAC but to all public bodies, and can he remind the House how the Government are doing against their target of 50% female appointments to public bodies?

Parliament and Central Government: Relocation

Baroness Evans of Bowes Park Excerpts

Tuesday 29th November 2016 Lords Chamber

[Baroness Janke (LD)]

My Lords—

[The Lord Privy Seal (Baroness Evans of Bowes Park) (Con)]

My Lords, we will go to the Bishops’ Bench.

[The Lord Bishop of Chester]

Are we quite sure whether the people of the north would want Parliament in the north?

Electoral Fraud

Baroness Evans of Bowes Park Excerpts

Monday 12th September 2016 Lords Chamber

[Baroness Janke (LD)]

My Lords—

[The Lord Privy Seal (Baroness Evans of Bowes Park) (Con)]

It is the turn of the Liberal Democrat Benches.

[Baroness Janke]

My Lords, given that the only two Members of Parliament who gave evidence to the report were Conservatives, and given the Minister’s statement about the independence of the report, will she say what evidence will be taken from other parties on the incidence of electoral fraud, which is the main thrust of the report?

Housing and Planning Bill

Baroness Evans of Bowes Park Excerpts

Monday 25th April 2016 Lords Chamber

Moved by

[Baroness Evans of Bowes Park]

120A: Clause 145, page 74, line 23, leave out subsections (1) and (2) and insert—
“(1) The Secretary of State may by regulations provide for temporary arrangements in particular areas to test the practicality and desirability of competition in the processing (but not determining) of applications to do with planning.(1A) The regulations may make provision—(a) for an application for planning permission that falls to be determined by a specified local planning authority in England to be processed, if the applicant so chooses, not by that authority but by a designated person;(b) for any connected application also to be processed by a designated person and not by that authority.(2) The regulations must specify a period after which any such provision ceases to apply.That period (whether as originally specified or as subsequently extended) must end no later than five years after the first regulations under this section come into force.”

[Baroness Evans of Bowes Park (Con)]

My Lords, we had a wide-ranging debate in Committee on competition. My noble friend Lady Williams has reflected on concerns such as whether the private sector could have an inappropriate influence on decisions for planning permission. She has also considered the various reports from the DPRRC and, as a result, we have laid amendments which address many of the issues raised in your Lordships’ House.

Amendment 120A does three things. First, as recommended by the DPRRC, it confirms that the purpose of the clauses is to enable pilots in discrete areas to test the benefits of introducing competition to planning application processing. Secondly, it addresses another committee recommendation by setting the maximum length of pilot schemes. Discussions with local authorities and professional bodies have suggested that a maximum period of five years is prudent to allow for lengthy applications to go through the whole process, including appeals if necessary. Thirdly, local authorities have said the pilots will not be a level playing field if designated persons only process planning applications attracting a fee and local authorities are left to do the other applications connected to the development of the sites, as those connected applications tend to attract little or no fee.

Proposed new subsection (1A)(b) enables regulations to provide that connected applications can also be processed by designated persons. Amendments 121A, 121B, 121D, 121F, 122B, 122C, 123A, 123C and 123F make consequential changes to enable connected applications to be processed by designated persons.

The DPRRC has said that we should put a list of connected applications in the Bill and take a power to add to it. I am afraid in this regard we disagree. Our recent engagement work with over a hundred authorities has highlighted a concern about connected applications. It is right that we now address it with the sector and agree a list to be included in regulations rather than impose an unworkable list now.

In Committee we heard a clear message from your Lordships that a decision on a planning application must be a democratic one by a local planning authority. Authorities cannot be allowed to delegate this decision to designated persons and nothing should bind the authority’s decision. We have always been clear that decision-making will remain with the authority in a pilot area. However, I want to directly address the points noble Lords made in Committee.

Amendment 121C prevents us including in regulations anything that allows or could allow an authority’s decision-making function to be carried out by a designated person. It also puts beyond doubt that any advice, report or recommendation from a designated person will not be binding on the authority responsible for determining a planning application. To support this, Amendment 123D removes Clause 146(2)(g), which was of particular concern to noble Lords in Committee.

Noble Lords wanted more detail about how the pilots would operate and, ideally, to see draft regulations. It is essential that the pilots are designed with local government and professional bodies. We have started an extensive dialogue with planning professionals that has already involved over a hundred local authorities. None the less, I want to respond to noble Lords’ concerns, so Amendment 121C also places a duty on the Secretary of State to consult before making the first regulations to implement pilot schemes. Combined with other amendments, this means that your Lordships’ House will be able to debate the detail of how the pilot schemes will operate after it has been co-designed and consulted on with local government.

Amendment 121 implements a recommendation from the DPRRC that the Secretary of State should be under a duty to bring back to Parliament an evaluation of the pilots and set out any conclusions that can be drawn from them.

The DPRRC recommended that the affirmative procedure should apply to all regulations made under Clause 145. We recognise that the pilots represent a significant change to the planning system and that there are understandable concerns about their potential impact. We therefore agree that the affirmative procedure provides the appropriate level of scrutiny in certain circumstances. However, the affirmative procedure is not appropriate for every exercise of the powers. We may need to quickly make small changes to procedural rules to address something that is not working as effectively as it should.

In these circumstances, we think that the negative procedure is more appropriate. This is consistent with the negative resolution procedure that applies to the development management procedure order, which sets out the procedural rules for processing planning applications. Amendment 135A gives effect to this approach and applies the affirmative procedure to the power to specify the period after which each pilot will cease, specify the description of planning applications which may be processed by designated persons during the pilots, disapply or modify planning enactments to implement the pilot, specify what are connected applications in addition to reserved matters applications during the pilots, set fees during the pilots and require data sharing during the pilots.

Let me now directly address two concerns raised by the DPRRC in its 28th report. The committee said that the Government had failed to give effect to the use of the affirmative procedure on the first exercise of these powers. However, I am afraid that we disagree. For pilot schemes to be run, the first regulations will need, for example, to set out the length of them, the descriptions of planning applications that can be processed by designated persons and how fees should be set. Amendment 135A applies the affirmative procedure for these matters.

The committee also maintained its position that the Government should always consult before making any regulations and that every exercise of powers under Clauses 145 to 148 should be subject to the affirmative procedure. I note that the noble Lords, Lords Beecham and Lord Kennedy, have tabled Amendments 121CA and 135D to this effect, which they will speak to shortly. Again, I disagree. As I have said, the pilots are complex and we may not get the design perfect from the outset. This is the very reason why any Government use pilots to test their new approach. Consulting on every use of regulations combined with using affirmative procedures for them could snarl up the effective operation of the competition pilots, particularly where small changes to procedural rules are required. It would take six months each time we consult and use the affirmative procedure, equivalent to a 10th of the length of the five-year pilots. I appreciate the spirit and intention of the committee’s recommendations, but we believe that they are simply impractical. I hope that your Lordships will agree that we have taken the committee’s recommendations and applied them in a practical and effective way.

Amendment 137 means that regulations made under Clause 145 will not be treated as hybrid and will be subject only to the affirmative procedure usual for this type of scheme. We are implementing a pilot scheme, not a permanent change to the planning system. We are consulting on the first regulations before implementing any pilots, and local communities will have an opportunity to comment. These clauses are about processing, not deciding applications. Crucially, decisions remain with local planning authorities, so I suggest that private rights are not affected. In any case, it is entirely the applicant’s choice as to whether to stay with the existing authority provider or select a designated person. I beg to move.

[Lord Beecham (Lab)]

My Lords, I congratulate the noble Baroness on racing through the 15 amendments in her name in such a short time and so clearly. The amendments in my name and that of my noble friend Lord Kennedy are Amendments 121CA, 121G and 135D. The noble Baroness has referred to Amendment 121CA, which provides that the consultation should not be confined to the first regulations but should apply to any sets of regulations that might emerge. Amendment 121G would require a full list of the type of applications that constitute a connected application to be defined in regulations by the Secretary of State, while Amendment 135D would require all regulations made under Clause 145 to be affirmative.

The Government’s intention to extend their fetish with privatisation to the provision of planning services emerged only at the last minute during the Bill’s Report stage in the Commons. It was not the subject of prior consultation and, like the Chancellor’s recent announcement about education, seems uncannily more like Lenin’s concept of democratic centralism than the localism which Ministers proclaim is their watchword.

It is instructive to consider the material produced by the Government in support of their proposals. The Bill’s impact assessment proclaims the importance of the planning application process being,

“resourced and organised in a way that allows an efficient and effective service to be provided”,

and cites fee levels as “an important factor”. Fee levels are of course prescribed by the Government themselves. The document stresses the importance of driving down the costs of processing applications and notes that there is,

“cross-sector concern that resource constraints are affecting the overall service”.

Typically, this so-called impact assessment contains no evidence as to the impact of current or future costs on the performance of the planning process, although it affirms that,

“adequately resourced planning departments depend on an appropriate level of income”,

which it fails to define. There is also no attempted definition of,

“well organised, efficient and low cost services”,

even though the costs are determined by the Government.

--- Later in debate ---

[Lord Porter of Spalding]

If we are truly about competition, the people in the competition should be the people setting the charges for that competition. Local government will set appropriate fees. All the Government need to say is, “This is the maximum profit you can make”, and we will all stick to those rules. I am sure local government will be able to drive down costs while putting fees up. As my noble friend Lord True said, we will be doing more shared management, and such arrangements will save some margin, but that will still not be enough to cover the full costs of the planning application. If we are able to put our fees up to recoup the full costs, so be it—bring on the competition. Like my noble friend Lord True, I will probably volunteer to pilot a rural competition.

[Baroness Evans of Bowes Park]

My Lords, I hope I gave a full explanation in my opening remarks of our approach to the DPRRC’s recommendations—where we have accepted and taken on board its comments, as well as those of your Lordships—and why we believe that Amendments 121CA and 135D are impractical. Amendment 121G repeats a provision that we have already laid.

The noble Lord, Lord Beecham, talked about the figures on outsourcing and shared services in the impact assessment. The key point is that, in many services, local authorities have undertaken significant reform and shown significant cost reductions. Some examples are set out in the impact assessment. However, in respect of planning services, authorities have been slow to do such reform, which is why we want to go forward with these pilots.

Amendment 123B in the name of the noble Lord, Lord Shipley, proposes an alternative pilot to test fee flexibility alongside the competition pilot scheme. I cannot accept this amendment because we already have the necessary powers and are already taking forward the proposal with the intention of evaluating its effectiveness. Section 303 of the Town and Country Planning Act 1990 allows us, through regulations, to set different fees for different local planning authorities, although Clause 141 of this Bill will make such an approach easier.

Our recent consultation paper included a proposal to test the provision of greater flexibility in fee setting, on top of our proposals for national increases in fees linked to inflation, where local authorities come forward with ambitious plans for reforms and improved performance. The noble Lord raised concerns that our proposals in the consultation are too narrow. The reference to a fast-track service was one example. We will explore a range of options for fee flexibility with areas and have started to have those conversations in some areas.

[Lord Shipley]

I thank the Minister for her response so far, but I want to be clear that I am talking about a measurable pilot, not one which is simply a set of options which may prove not to be measurable because they have not been set up properly. If a competition pilot is to take place, it has to be measurable; otherwise, the outcomes cannot be measured. Any fee flexibility pilot would also have to be measurable. The powers may be there already for the Government, but this has to be set up in a way that can be measured.

[Baroness Evans of Bowes Park]

Our aim with these pilots is certainly to be able to measure and look at differing effectiveness. As the noble Lord rightly said, the consultation is still out, and we will obviously be coming back with further details, but our intention is certainly to test the effectiveness of the different approaches. Furthermore, recent devolution deals included a commitment to this effect, and discussions are starting with these areas.

I will respond to the points raised by my noble friend Lord True in the next group, but I can say now that we will use regulations to prevent conflicts of interest and maintain ethical and professional standards. Local planning authorities will retain responsibility for deciding the planning application, having received a report with a recommendation from the provider that the planning applicant chose to submit their application to for processing. As I say, I will speak a bit further about this in the next group.

I hope that noble Lords recognise in my opening comments and the government amendments that we have sought to be reasonable, to address key concerns and to implement, in an effective way, the recommendations of the DPRRC. I hope on this basis that noble Lords will not press their amendments.

Amendment 120A agreed.

Moved by

[Baroness Evans of Bowes Park]

121: Clause 145, page 74, line 31, at end insert—
“( ) The Secretary of State must— (a) review the operation and effectiveness of any arrangements made under the regulations;(b) no later than 12 months after the date when the arrangements (or the last of them) cease to have effect—(i) lay a report before each House of Parliament, or(ii) make a statement to the House of Parliament of which that Secretary of State is a member,setting out the results and conclusions of the review.”

--- Later in debate ---

Moved by

[Baroness Evans of Bowes Park]

121C: Clause 145, page 74, line 41, at end insert—
“( ) The regulations may not contain anything that allows or requires, or could allow or require, the responsible planning authority’s duty to determine an application to be carried out, to any extent, by a designated person on the authority’s behalf.“( ) Nothing said or done by a designated person appointed under the regulations to process an application is binding on the responsible planning authority when determining the application.“( ) Before making the first regulations under this section the Secretary of State must consult such representatives of local planning authorities, and such other persons, as the Secretary of State thinks fit.”

--- Later in debate ---

Moved by

[Baroness Evans of Bowes Park]

121D: Clause 145, page 75, line 2, leave out “a planning” and insert “an”

--- Later in debate ---

[Lord Beecham]

My Lords, I have a good deal of sympathy with the points of both the noble Lords, Lord True and Lord Shipley. I am concerned how it would be seen by the public generally, but also by those applicants who have paid for a report to be prepared, which may make a recommendation. The decision will certainly be made by the committee. That is more or less the position that operates now in the existing system. Sometimes, council planning officers’ recommendations are not accepted by the committee, and they may help appellants on appeal. However, if you are paying for that advice as an applicant, it creates a different ambience altogether, it seems to me. It makes the whole process rather more confusing and difficult for the applicant, as well as for the local authority. I hope that the noble Baroness will look again at how the process works, because it is fraught with danger for both the authority and public understanding of what is happening.

[Baroness Evans of Bowes Park]

My Lords, I will not repeat the detail of what we have already done to strengthen Clauses 145 to 148 but turn straight to the amendments.

Although I cannot accept Amendment 121E from my noble friend Lord True, I agree with its intent and commit to take the issue away and address it in the design of the pilots and regulations. Authorities have said clearly to us that it will be very inefficient if designated persons do all the background work but they are required to review it all and then pull together their own recommendation in a report that they write. They are not saying to us that they must make the recommendation or write their own report. Instead, they are saying that simple and efficient mechanisms are needed to ensure that quality and impartiality are maintained. This amendment could lead to inefficient behaviour.

Authorities have also said that designated persons must share some of the risk and cost of defending appeals. I am concerned that the amendment could make it harder to argue that designated persons should share any risks which will concern authorities. There is a complex set of interrelated issues which we need to explore in detail with authorities to avoid perverse behaviours and outcomes. We will explore a range of safeguards. I ask noble Lords to let us explore them with authorities and bring them forward in regulations. We would be very happy to have further discussions with my noble friend and others about how we can best do that. I hope that reassures him that we will take this away.

I am afraid I cannot accept Amendment 122 from the noble Lords, Lord Kennedy and Lord Beecham, limiting ‘designated persons’ to local authorities and public bodies and ruling out private sector companies and individuals. This amendment says, “It is the public sector way and there is no other way”. In contrast to noble Lords, the dozen or so local authorities considering being a pilot area are not arguing for the exclusion of the private sector. They believe that they can compete with it and, indeed, beat it. If that is the case, what have local authorities got to fear? If they provide the best service, they will hold on to the business. We believe that the concerns at the heart of this amendment are about any potential for the private sector to have undue influence on planning decisions, and we believe these can be managed.

We have strengthened planning authorities’ retention of decision-making during the pilots following concerns expressed in Committee. Our amendments mean that regulations cannot contain anything that allows an authority to delegate decision-making to designated persons and make clear that advice from designated persons will not be binding on authorities. However, other safeguards will also exist. We will set out high professional standards, as the noble Lord, Lord Shipley, outlined, drawing on codes of conduct such as that of the Royal Town Planning Institute, which requires competence, honesty, integrity and independent professional judgment from its members. We will remove someone’s designation where they fail continually to meet these high standards. We expect to prevent designated persons processing applications in which they, their company or its subsidiaries have any interest. I have committed to explore how we can maintain high-quality, independent advice being presented to decision-makers and having designated persons list their interest with authorities, as suggested by my noble friend Lord True. Section 327A of the Town and Country Planning Act 1990 provides that where the necessary procedures have not been followed appropriately an application can be declared null and void. We believe that enabling the private sector to compete with local planning authorities is likely to drive greater reform.

Some in local government have said that it may not be possible to process some applications, such as householder applications, for a price even close to the fee. Our initial dialogue with the private sector indicates that it might indeed be possible to process such applications, and we want to test this belief.

Finally, I cannot accept Amendments 123 to 126 from the noble Lords, Lord Kennedy and Lord Beecham. We all want a planning system fit for the 21st century, so we believe that, in order to achieve it, it would be wrong not to explore alternative delivery models for handling planning applications. Currently, local planning authorities have a monopoly which denies the user choice and does not incentivise service innovation and the provision of the most efficient and effective service. Alongside this, reform of planning departments lags behind most other local authority services. Local authorities can do a lot more to transform their planning departments. Indeed, many have introduced new ways of operating and have shown that performance can be improved and costs reduced, but we believe that more should follow their lead.

We have heard concerns about the undue potential influence of the private sector in the pilots. My noble friend Lady Williams has laid amendments to strengthen local authorities’ decision-making function, and I have set out other safeguards we intend to put in place. I have also committed to explore proposals raised by my noble friend Lord True. Your Lordships’ House has been concerned about the lack of detail about how the pilots will operate. Our amendments mean that we will debate the regulations in this House following a consultation before pilot schemes can come into force. Noble Lords have queried whether we intend to evaluate the pilot, and we have laid an amendment committing us to sharing our assessment of the pilots in the House. The RTPI and the LGA rightly highlight areas where we need carefully to consider the design of the pilots, and we will work with them to explore their ideas, but they have not opposed the principle of the pilots. Local authorities are telling us that we are right to challenge the current delivery model and, as we have heard from my noble friend Lord Porter, some want to be pilot areas. Despite this, the noble Lords opposite want to say that they cannot.

We listened very carefully to the debate in Committee and today, and I believe we have taken significant steps to ensure that the pilots are workable and to address many of the concerns that noble Lords have raised. I hope that, with these reassurance and the commitments I have made in these remarks, the noble Lord will withdraw the amendment.

[Lord True]

My Lords, I am grateful to my noble friend. She is right to say that on this subject the Government have listened, and are listening, carefully. That is entirely welcome and I am grateful for it. Not only will I shortly withdraw Amendment 121E but, as I indicated previously, I will not be pressing Amendment 122A on the basis of the assurance that we have been given.

On Amendment 124A, which I have degrouped here, there are questions about fees, on which my noble friend Lord Porter and I and others have spoken, that might bear further clarification in discussion. I welcome the assurances that my noble friend has given. I was interested when she said that the fees currently allowed would be adequate to enable the private sector to operate. So with the assurances that she has given, for which I thank her, I beg leave to withdraw the amendment.

Housing and Planning Bill

Baroness Evans of Bowes Park Excerpts

Wednesday 23rd March 2016 Lords Chamber

[Lord Shipley (LD)]

My Lords, my name is associated with Clause 144 stand part, and I agree entirely with what my noble friend Lord Greaves has said. I regard this as a very important issue because it effectively cuts out local authorities from the planning process on a nationally important infrastructure decision. Simply permitting an applicant to go straight to the Secretary of State to secure approval seems to me to be the wrong approach. What my noble friend said helps us to solve the problem.

[Baroness Evans of Bowes Park (Con)]

I am very grateful to the noble Lord for setting out the basis of his amendment. This clause will allow the Secretary of State to grant development consent for housing that is related to a nationally significant infrastructure project. I hope I can reassure noble Lords about the Government’s intentions and the protections that are in place to ensure that this provision is appropriately restricted.

Clause 144 allows consent to be granted for housing where the housing is functionally linked to an infrastructure project—for example, housing needed for employees at the project. It also allows housing to be consented if it is close to the infrastructure. Any housing that is granted consent within the nationally significant infrastructure regime must be secondary to the infrastructure by satisfying the requirements of being appropriately linked by function or location. The clause will not allow projects that are housing-led.

The noble Lord, Lord Greaves, indicated that he felt that responsibility for granting consent for such housing should lie with local authorities, not the Secretary of State. We believe that this would inhibit developers from realising some significant benefits. For example, a key aim of the Planning Act 2008 was to provide for a single consenting regime. This clause will mean that developers do not have to make a further separate application to the local authority for housing as well as their application to the Secretary of State for consent for the infrastructure. We believe that this strikes the right balance between the two.

It is very important that we recognise that the development of infrastructure projects may well bring important new opportunities to develop housing that were not previously available. A new road or a rail project, or improvements to existing projects, can make land available for housing development that might not previously have been suitable. Although there are only a limited number of nationally significant infrastructure projects that seek consent each year—49 projects have been consented since 2010—the clause offers an opportunity to provide a small but important contribution to the provision of new housing.

The Government have ensured that safeguards will be in place so that existing local and national planning policies will not be undermined. For example, as the noble Lord said, we have made clear in draft guidance that the amount of housing that is likely to be consented will be limited to 500 dwellings. As I have said, we believe that that may be appropriate if some infrastructure projects create new opportunities for housing. Existing planning policies set out in the National Planning Policy Framework—for example, those that may limit development in designated areas, and policies set out in local plans—are likely to be important and relevant considerations that will be taken into account by the Secretary of State when decisions are taken.

I hope I can reassure noble Lords that local authorities and interested parties can play a full role in the process leading up to any decision by the Secretary of State under the Planning Act regime for deciding nationally significant infrastructure. In particular, local authorities can produce what are known as local impact reports, which set out the impacts of the development in their area. Such reports are specifically identified as something the Secretary of State must have regard to when taking a decision.

The noble Lord asked why we say “includes housing”. “Includes” means that related development can include local infrastructure. The nationally significant infrastructure planning regime already requires significant local engagement in consultation, as I said. Applicants are required to engage with and consult local communities and local authorities from the outset, and developers will be expected to engage with local authorities on the housing element of their scheme in the same rigorous manner.

I hope that my responses have provided reassurances to the noble Lord, and I ask him to withdraw his amendment.

--- Later in debate ---

[Lord Shipley]

My Lords, I agree with the noble Baroness, Lady Young of Old Scone. I have two amendments in about half an hour from now and I am conscious that we have reached a point where virtually all the issues around Clause 145 are being discussed. The noble Baroness has rightly identified that the balance is about to be tipped. I hope that the Minister, in replying to this debate, will answer the question posed by the noble Lord, Lord Beecham: what exactly is the problem that the Government are seeking to solve? Unless the problem is properly defined, the solution can ultimately give rise to a whole set of new problems that have not been forecast.

There is a real issue about being able to dissociate the democratic decision from the designated person who is writing the recommendation. This was put so well by the noble Lord, Lord True, who rightly defined that the process of making a decision is dependent on what the person who writes the recommendation actually says. It is a whole and a continuum. It is not a function separate from making the decision.

A further issue of major concern to me relates to what the noble Lord, Lord Deben, was talking about earlier. It is wrong in principle to privatise public regulatory services. That is now happening. There are issues around cost, as to whether it would be more expensive to go down that route, but the principle of a planning decision in practice being privatised is a major issue about which we must be very careful. A designated person who is writing a recommendation has to be independent and to be seen to be independent.

I have concluded that Clause 145 is now not fit for purpose and should be withdrawn in its entirety. If the Government can explain how they can bring it back at Report better than it now is, meeting the public interest test of independence, we might be willing to look at it—but at the moment I see no evidence base that convinces me that Clause 145 should remain part of the Bill.

[Baroness Evans of Bowes Park]

I thank all noble Lords for their contributions to an extremely interesting debate. Before I respond to the specific amendments, perhaps I can make some broad comments, although I will try to keep them brief.

We all want a planning system that is fit for the 21st century: one that can effectively support the delivery of homes that people need, and one that is efficient, responsive and resilient. To ensure this, there have been calls for greater flexibility in the way that fees are set, provided that any changes are linked directly to the quality of service.

We want to address resourcing concerns, but the answer is not simply to ask developers to pay for all local authority costs that go unchecked. The level of planning fees is one side of the resourcing equation. How planning applications are processed is just as important: continually transforming processes to drive down costs and deliver the most effective service possible.

Currently, local planning authorities have a monopoly on processing applications for planning permission which denies the user choice and does not incentivise service improvement and cost reduction. My noble friend Lord Deben made a strong case for why we need to look at this area. Local authorities can do more to transform their planning departments. Many have, as the noble Baroness, Lady Young, identified. Some have introduced new ways of operating through outsourced and shared service approaches and shown that performance can be improved and costs reduced—but more should be following their lead. We believe that it is incumbent on us to test new ways to improve the planning system. Therefore, we want to use the pilots to test the benefits of introducing competition to processing planning applications.

Clause 145 will give the Secretary of State the power, by regulations, to introduce pilot schemes for competition in the processing of applications for planning permission. Regulations will set out the legal framework and the detailed rules for how the pilot schemes will operate. Clauses 145 to 148 set out the scope of what can and cannot be included in the regulations.

Let me now try to be clear on a number of points. This is about competition for the processing of applications, not the determination of applications. I can assure noble Lords that the democratic determination of planning applications will remain with local planning authorities during the pilots, and that they will not be able to delegate this function to private sector providers. We do not intend to make a report or recommendation from a designated provider to a local planning authority about whether or not the authority should approve the planning application in any way binding, and the authority will be able to reject the recommendation and set out its reasons for doing so. Local authorities will continue to determine planning applications, as they currently do.

Reports from the authority’s officers to a planning committee are not currently binding on the committee. Similarly, reports from a designated provider making a recommendation about how an application should be determined will not be binding. Planning committees or officers taking decisions under delegated authority will be able to reject the recommendation—although, of course, they will need to set out the reason for doing so. The public will be able to comment on planning applications in pilot areas, just as they do now, irrespective of who is processing the application.

We are not forcing local authorities to privatise or outsource their processing service. In pilot areas, the authority will keep its service, but with other providers able to compete with it to process applications in the area. If the authority’s service is the best, why would applicants not still choose it? We are not about to let just anyone become a designated provider. We expect that regulations will require those selected to meet high professional standards and not process applications in which they have an interest.

[Lord Campbell-Savours]

What is to stop an applicant going to the contractor and saying, “Look, I won’t give the local authority the business, I’ll give you the business, but you’ve got to recommend yes on my application”? What is to stop that happening?

[Baroness Evans of Bowes Park]

The final decision on the application will be up to the committee. The noble Lord, Lord Beecham, mentioned conflicts of interest and the noble Baroness mentioned quality assurance. We will be returning to those matters in the next group, so I will not dwell on them now.

[Lord Shipley]

Can the Minister confirm whether an independent council planning officer who is employed by that council will be able to write a critique of the recommendation that has been written by the designated person? This takes up the point raised by the noble Lord, Lord Campbell-Savours. If it is simply a report written by the designated person, how will it be known that it is accurate—and will an independent council planning officer be able to challenge it?

[Baroness Evans of Bowes Park]

The answer to that is yes.

[Lord True]

The problem that my noble friend might reflect on is that paragraph 463 of the Explanatory Notes states that,

“it will be solely for them”—

that is, the designated person—

“to process the application and make a recommendation to the local planning authority on how, in their professional opinion, the application might be determined”.

In my world of reading planning reports every week, that is what is in the planning recommendation: there is a point of recommendation. That is the difficulty which I would like us to look at between now and Report: whether building on the excellent amendment moved by my noble friend Lord Borwick one could put in further defences. The other difficulty is in Clause 146(2)(g), where, as has been pointed out, circumstances are envisaged in which the designated person’s advice might be binding.

Finally and briefly, once the thing goes before a committee with a recommendation, the planning committee, if it does not agree, has to overturn that advice, which needs to be dispassionate. The suspicion is that it might not be dispassionate in certain circumstances. When the inspector looks at that, he is looking at a planning committee which has overturned professional advice. The dice are therefore rather loaded when this goes to the inspector. I am not opposed to this in principle, but the point about the element of decision needs to be considered further between now and Report.

[Lord Campbell-Savours]

The Minister did not exactly reply to my question before. The applicant could go to the contractor and say, “You get the business if you recommend yes”. What is to stop that happening?

[Baroness Evans of Bowes Park]

I will respond to my noble friend first. It would be inappropriate to tell the planning inspector what weight they must place on the paperwork provided by the appellant and by the local planning authority making the decision. It is right that the inspector judges each piece of paperwork on its merits. But we will reflect further on the issues that he has raised.

In answer to the noble Lord, Lord Campbell-Savours, we will use regulations to prevent conflicts of interests and maintain ethical and professional standards. Local planning authorities will retain responsibility for deciding the planning application, having received a report with a recommendation from the provider to whom the planning applicant chose to submit their application for processing. We will set out regulations, actions and procedures that approved providers will have to follow to ensure unbiased reports.

[Lord Campbell-Savours]

I am sorry, the Minister has not answered my question. I would like to see it answered before Report in writing.

[Baroness Evans of Bowes Park]

I will take that back and write to the noble Lord. I will respond on one other general point before moving on to the amendments. My noble friend Lord True asked about the moral hazard involved in selecting who processes planning applications. We are not selecting who processes a particular application: it is the applicant who chooses. There will be an approved list of providers that the applicant can go to, but they will choose their provider.

We welcome the scrutiny that the Delegated Powers and Regulatory Reform Committee has brought to these clauses, which was mentioned by the noble Lord, Lord Foster. A response will be published by the end of today, but as noble Lords know, we are not quite sure when that will be.

[Lord Foster of Bath]

I am sorry but the Minister specifically said yesterday that it would be before the House rises. That is for the Minister to sort out, but can she give us an assurance on this? The assurance that her colleague gave us was that, before we leave this Chamber, we would have a copy of it in our hands so that, should we wish to, we can refer to it in any subsequent amendment.

[Baroness Evans of Bowes Park]

I will come back to that in a second but, as I say, we will be publishing the response by the end of today. We therefore believe that Amendment 102CLA, tabled by the noble Lord, Lord Greaves, is premature.

I thank the noble Lord for Amendments 102CL and 102DB about consent. An effective test of competition is likely to be achieved with a set of pilots which reflect the different types, sizes and geographic locations of local authorities. To answer the question of the noble Lord, Lord Foster, there will be a number of pilots, not just one. Local authorities have consistently told us that a fair test of competition must include weaker authorities at the lower end of the performance spectrum—pilots cannot just include top-performing, progressive authorities. However, they are concerned that weaker authorities are unlikely to volunteer to be in pilot areas. Therefore, we need powers which give us the necessary flexibility to select an appropriate mix of pilot areas and to be able to respond to the sector’s concern if necessary.

I do not see how compelling a local authority to be a designated provider would work in practice. How would we actually force a local authority, against its will, to compete for work in another patch and to do that work to a high standard? We do not therefore intend to compel any local planning authority to be a designated provider.

I turn now to Amendment 102D. We have been very clear that during any competition pilots we bring forward under Clause 145, the responsibility to determine planning applications will remain with the local planning authority in the pilot area. I will put this as clearly as I can: only the local authority can decide on an application. Clause 145 will give the Secretary of State the power, by regulations, to introduce pilot schemes for competition in the processing of applications for planning permission. Subsection (1) allows the regulations to make provision for a planning application to be “processed” by a “designated person”, and subsection (6) says that “processing” the application means any action “other than determining it”.

Amendments 102CM, 102DA, 102FA and 102FB, tabled by the noble Lord, Lord Greaves, would remove intended safeguards. For example, Clause 145(3), which would be removed by Amendment 102CM, leaves room for the Government to exclude from the pilots certain types of application where local government and others can make a compelling case that they are so significant or sensitive that they should continue to be handled by the relevant local planning authority. Clause 146(1)(a), which would be removed by Amendment 102FA, enables us to specify circumstances where it is inappropriate for a designated person to process an application, for instance because of a conflict of interest. The removal of text that would result from Amendment 102FB would leave us unable to specify the circumstances in which a planning authority should take over an application from a designated person. They could either potentially take them all over without limit, or none, and we believe removing the safeguard is impractical and unworkable.

Amendment 102DAA was tabled by the noble Lords, Lord Kennedy and Lord Beecham. Enabling the private sector to compete with local planning authorities is likely to drive greater reform than if we leave things solely to authorities, as the noble Lords would wish. We are proposing pilots to test the benefits of introducing competition in planning application processing.

[Lord Beecham]

I think the Minister has overlooked the fact that the amendment also refers to “public bodies” being able to take over the role, not just local authorities.

[Baroness Evans of Bowes Park]

My apologies. However, my argument stands. We want to encourage the private sector to be involved as well, but I apologise for that misreading of the noble Lord’s amendment.

Amendment 102EA would extend the definition of “planning application” to include permission in principle and technical details consent. I thank the noble Lord, Lord Greaves, for his amendment. We intend to give it some further thought.

We intend to design the pilot schemes collaboratively with local government, professional bodies and the private sector. We are already consulting on how they might operate. Furthermore, an extensive dialogue with key partners is under way and in the last six weeks we have met with more than 80 local authorities through a range of events. The noble Lord, Lord Greaves, raised a number of technical points. Obviously, these are issues that will be addressed through the pilot schemes.

The noble Lord, Lord Foster, asked about the draft regulations. As I hope I made clear, we are engaging extensively with the sector and consultations are currently out for consideration. As I said, we have already spoken to more than 80 local authorities. I would be happy to write to him to provide an initial summary of the issues raised so far during our engagement with the sector.

[Lord Foster of Bath]

I apologise, but will the Minister answer my other question about the technical consultation? It may have been a drafting error by the Government, but paragraph 8.1 specifically says:

“Nor is this about preventing local authorities from processing planning applications or forcing them to outsource their processing function”.

If that is correct, the first amendment in the group, which would mean that local authorities would have choice in the matter, is presumably accepted by the Government. Alternatively, this is an error and the Government have gone out to consult on a document that contains a fundamental error about the purpose of this section of the Bill.

[Baroness Evans of Bowes Park]

I said earlier that we do not intend to force local authorities to outsource their functions. I will have to read further what the noble Lord said and respond in writing.

[Lord Foster of Bath]

My Lords—

[Baroness Evans of Bowes Park]

I have given the noble Lord the answer that I can. I am sorry that he is unhappy with it. I will go back and have a look to see whether I can provide him with any other information.

The noble Lord will also not be happy with my response to his question on the DPRRC report. I am afraid that it depends on what time the House rises as to whether noble Lords get it before we rise, but they will get it today. On that basis, I ask noble Lords not to press their amendments.

[Lord Greaves]

My Lords, there is a lot there to look at, read and think about. In the last argument there was some confusion between compulsory outsourcing and being forced to be subject to competition. Those are different things. I think the Government are saying that some authorities may have a designated person or persons forced on them in their area, but some clarification would be very helpful. The Bill certainly says that that is possible.

I thank everybody who took part in the discussion. Some were more entertaining than others. The noble Lord, Lord True, took us into the details of planning committees, which some of us have spent far too much time in our lives chairing, being members of or whatever. On the point about the relationship between the committee and its planning officer regarding applications where the committee may overturn the recommendation of the officer, there are applications where it is obvious which way they will go: that they will be rejected, or passed. While people may argue one way or the other, there are no sensible reasons and it is a fairly cut-and-dried case. But in most cases where recommendations are overturned, they are arguable both ways. If the planning committee overturns cases where it is not arguable both ways, it is not a very good committee. It is behaving pretty irresponsibly, really.

Under those circumstances, the reports written by planning officers are balanced. They will put forward the reasons an application has been made and the arguments for it; they will put forward the objections to it and the reasons it might be turned down; then they will come down on one side or the other. If the committee takes a different view and it then goes to appeal, a sensible inspector will look at all the original reports and everything else and he will come to the view that it was a perfectly reasonable decision by the committee.

--- Later in debate ---

[Baroness Williams of Trafford]

My Lords, I hate to intervene because the hour is getting late. These matters are generally decided through the usual channels. I guess that they are having discussions at the moment and, if the Chief Whip comes in, I am sure he will make a statement to the Committee. For now, can we get on with the Bill?

[Baroness Evans of Bowes Park]

The noble Lord’s Amendment 102DC is excessive, not least because local authorities tell us that it cannot be beyond us to work together to design a robust system of checks and balances to maintain professional standards. As I have said, we believe that the private sector could bring valuable innovation and efficient techniques to processing and managing planning applications. That said, it is entirely reasonable and understandable to ask how we will maintain accountability, integrity and professional standards with private sector involvement. Key to this is who makes the decision—who can be a designated person, what applications designated persons are allowed to process, and legal safeguards in the planning system.

I have been crystal clear that responsibility for deciding planning applications will remain with local planning authorities, and they cannot delegate that to a designated person. A designated person will not be able to decide on a planning application. Notwithstanding a separate amendment from the noble Lord, Lord Greaves, Clause 146(1)(b) already allows us to specify circumstances where a local authority could take over a planning application from a designated person, including where it has demonstrable concerns about the designated person’s work. Persons designated by the Secretary of State will be expected to meet high professional standards and have expert planning knowledge that would enable them to operate in pilot areas with unique characteristics. We will expect them to demonstrate the ability to engage with local communities and councillors so that they can operate successfully in these pilot areas. We expect to put in place mechanisms to address any failure in standards and integrity, such as removing a provider’s designation, or, as I said a moment ago, enabling poor work to be redone.

Our engagement work with local authorities and the private sector has also highlighted the obligations of Royal Town Planning Institute membership, which was mentioned by noble Lords during discussion of the previous group of amendments. All members of the RTPI are bound by a code of professional conduct, underpinned by a complaints process, setting out required standards of practice and ethics for chartered and non-chartered members. RTPI members are required to adhere to five core principles: competence; honesty and integrity; independent professional judgment; due care and diligence; and professional behaviour. We will look to build these and similar standards into the selection and performance monitoring of designated persons. Crucially, I agree with the noble Lord, Lord Greaves, that a designated person must not be allowed to process a planning application in which they have an interest. Furthermore, after extensive dialogue with local authorities, professional bodies and the private sector, we will set out in regulations the actions and procedures that a designated person must follow in processing a planning application.

I also draw the noble Lord’s attention to Section 327A of the Town and Country Planning Act 1990, concerning requirements for processing planning applications. A local planning authority must not entertain a planning application where the formal manner in which the application is made, or, crucially, the formal content of any document or other matter which accompanies the application is not compliant with the requirements for processing a planning application. Therefore, an application which has not been appropriately processed by a designated person, or has involved a conflict of interest, could be considered null and void.

I can assure noble Lords that, given the importance of this issue, we will continue this dialogue to ensure that we get the design of the pilots right. I hope that, with this brief overview, the noble Lord, Lord Greaves, will withdraw his amendment.

[Lord Greaves]

My Lords, I will. That was extremely helpful and I will read it carefully. On that basis, I beg leave to withdraw the amendment. I too want to get home tonight, and if helps the noble Lord, Lord Harris of Haringey, I shall not move the next group of amendments, because I think that we have more or less finished the debate on this for tonight.

--- Later in debate ---

[Lord Greaves]

Briefly, my Lords, there were suggestions earlier from the noble Lord, Lord Deben, who is no longer in his place, that the planning system needed an improvement. I apologise for tabling this amendment in a rather strange location in the Bill; that was by accident. I tabled it to suggest that it was time for the Government to pursue an inquiry and reforms to the plan-making system, as opposed to the development control system.

Since then, I have discovered that such an investigation has been taking place. I have a copy of a report which came out a few days ago—I think it was on 16 March—called Local Plans: Report to the Communities Secretary and to the Minister of Housing and Planning from the Local Plans Expert Group. I confess that I have not yet had time to read it, owing to the requirements of research on the Bill, but it is an excellent step forward. I hope that its contents are as good as I am billing them and that we will be able to have a slightly more relaxed debate in your Lordships’ House on this matter, by some mechanism or other, before the end of the Session.

There are defects in the development control system. While nobody is perfect, everybody who gets involved in that system is frustrated by some of the things that have to happen. Nevertheless, it has been my view for a number of years—I have expressed this in your Lordships’ House on a number of occasions—that the main inefficiencies and problems in the planning system are with plan making rather than development control. Plan making is cumbersome, bureaucratic, top-down, top-heavy and not very democratic. Reform is needed, particularly if local plans are to be the basis for planning in principle, so I am delighted by the document that I have received. In order to give the Minister a chance to reply, I beg to move this amendment.

[Baroness Evans of Bowes Park]

I thank the noble Lord and I will respond very briefly. We recognise that the process of getting local plans in place can sometimes seem lengthy and complicated, which is why we gave a commitment in the productivity plan to bring forward proposals to streamline them. In September last year, Ministers invited an eight-strong group of experts to examine what measures or reforms might be helpful in ensuring the efficient and effective production of local plans. As the noble Lord rightly said, that group published its report on 16 March. On that basis, I hope that the noble Lord will withdraw his amendment.

[Lord Greaves]

My Lords, I am happy to beg leave to do so.

--- Later in debate ---

[Lord Harris of Haringey]

My Lords, I want to speak to this group of amendments because I think they are very important. Earlier on in the Committee today, I specifically raised the importance, in terms of planning, of looking at the concept of what is the community that you are trying to create—and making sure that the community is sustainable and has all the benefits you would hope for.

Over the past 20 or 30 years there has been enormous progress in understanding what makes a community work. It is not simply the number of homes. It is not simply the mix of homes. It is also what else is there. That is the place-making function. This is the content of Amendment 103, moved by my noble friend: it has focused on the series of expectations about the role that the new town development corporation—or whatever else—might use in trying to create a community.

The issue is not simply identifying the possibilities for development and putting up more new homes. That would be the route to some of the urban disasters that we have seen over the past 30 or 40 years. It is about creating a place. It is about creating an environment in which people can live and have a sense of community. The content contained in the amendment refers specifically to the vibrant cultural and artistic development of the community. It talks about protecting the natural and historic environment and the importance of high quality and inclusive design. This is about creating places in which people actually want to live. That should be fundamental to the whole planning process, and writing those into the legislation—the Local Government, Planning and Land Act, and the New Towns Act 1981 —is exactly the right way forward for the Bill. However, my concern is that they have not been included in the Bill up to now. I hope that the Minister—she is now nodding, so perhaps that is a good sign—will be able to tell us that the Government accept the principles behind my noble friend’s amendment.

On the point that has just been made by the noble Lord, Lord Taylor, about the importance of consulting and involving communities, communities live and thrive only if they have the support of the people who are going to live there. That is why consultation and involvement in that process are such a critical part of making sure that those communities and places are indeed viable. That is my understanding of the intention of these amendments, and I hope that the Minister is going to tell us that the Government wholeheartedly embrace that and are going to accept them.

[Baroness Evans of Bowes Park]

My Lords, the amendments are indeed very timely. On Amendment 103, I say at the outset that I wholeheartedly endorse the importance of creating sustainable, well-designed places and I agree that, as the Budget announcement makes clear, statutory delivery vehicles can have an important role to play in achieving that. However, I echo what my honourable friend from the other place said: I am wary of creating new definitions and prescribing a long list of objectives for new town development corporations and urban development corporations, however worthy those objectives are in principle.

The NPPF already provides a clear view of what sustainable development means in practice, and to a very large extent it incorporates the objectives set out in the amendment. However, I accept that there is a case for change, and I am happy to look further at the objectives of the new town development corporations and how they could be extended, with a view to introducing an amendment that reflects this debate on Report. I hope that in light of this undertaking the noble Lord, Lord McKenzie, on behalf of his colleagues, will withdraw his amendment.

I am grateful to the noble Lords, Lord Best and Lord Taylor, for Amendments 103A and 103B. The Government are committed to updating the New Towns Act 1981 so that we can better support local areas that want to bring forward new garden towns and villages. I emphasise that our focus is on locally led new garden towns and villages, and we will back proposals that have been developed locally with local support. We will absolutely not impose new towns and villages on communities.

The amendments set out one of the key changes that need to be made to the New Towns Act 1981, which is sound in its fundamentals but is showing its age. I am supportive of a modernised process that is consistent across both types of delivery vehicle, and therefore ask noble Lords not to move these amendments with a view to the Government producing similar amendments, which we will table on Report. I hope that I have reassured noble Lords.

[Lord McKenzie of Luton]

My Lords, I am grateful to the noble Lords, Lord Taylor and Lord Best, and my noble friend Lord Harris for their support for these amendments. I am particularly grateful to the Minister for the commitment that even though she is not able to accept the amendments in the terms in which they appear on the Marshalled List, there will be consideration and some government amendments moved on Report. Between now and the time when those amendments are to be tabled, we would welcome an opportunity for discussion about the content, and I am sure that the noble Lord, Lord Taylor, would like to be involved in that as well.

Constitutional Convention Bill [HL]

Baroness Evans of Bowes Park Excerpts

Friday 17th July 2015 Lords Chamber

[Lord Purvis of Tweed (LD)]

My Lords, I am most grateful to noble Lords for taking part and being here today, and for the strong support from many more who are unable to be here today. I see from the speakers list that my noble friend Lady Suttie and the noble Lord, Lord Kerr, will be taking part, so I know that this debate will not only concern our United Kingdom but will have an international perspective as well. I look forward to all the contributions from noble Lords today. I am grateful, too, to those outside this House, in the other place, in academia and in citizen organisations, who are supporting the Bill. These range from signatories to an open letter in the Times today, right through to the Local Government Association.

The questions we must all ask ourselves are: will our current approach to the constitution of our union be stable and sustainable for the long term; and has our piecemeal approach to reform in recent years been the best way to secure this—indeed, is it secure at all? In looking forward to the Minister’s response, I recall that he answered a question from his noble friend Lord Lexden, whom he said had marked his work when he hired him to the Conservative Research Department. In the debate on the office of the Lord Chancellor on 7 July, the noble Lord, Lord Lexden, described a constitutional convention as an,

“obvious means by which coherence could be brought to sets of separate initiatives and the framework created for a new constitutional settlement that would stand the test of time”.—[Official Report, 7/7/15; col. 123.]

I agree with him. In fact, I will struggle to put it better today, so I am hoping that his protégé, the Minister, will do so too and gain good marks for a positive response to this debate.

One of the arguments against a convention is that it is simply the recourse of inaction when political parties cannot agree or do not know how to proceed on policy. Thus a convention may be a long-grass exercise with a veneer of activity. In response to a Question by the noble Lord, Lord Forsyth, the Minister, the noble Lord, Lord Dunlop, said that Harold Wilson once remarked about royal commissions, “They take minutes and last years”. He is actually reported to have said, “They take minutes and waste years”. We all know that there have been occasions when royal commissions have met because conferences have been convened, but not all of them have secured the delivery of their proposals.

I am not discouraged by the fact that there have been attempts at bringing people together. Rather, I am encouraged by a degree of consistency that suggests that constitutional policy should try to be forged from as wide a consensus as possible. This could be described as “the British way”. The groundwork for the establishment of the Scottish Parliament was done because of the Scottish Constitutional Convention. There have been debates on the balance of powers and responsibility of that Parliament since—I have sought to lead some of them—but its founding was based on wide consensus. It also benefited from agreement at the outset on a clear outcome, and thus sought consensus on how to get here. I will return to this important point later.

First, I will consider where we are today. There is much constitutional activity by this Government, some of which I agree with and some of which I do not. There will be much burning of constitutional calories, but the union will not be fitter as a result. In the recent Labour Party debate, I said that I feel our union is not at ease with itself. I believe that profoundly, and it concerns me. The referendum in Scotland was not just something I had to endure as a supporter of the union; it was a profound and challenging time with consequences that are still unknown. We have been too quick to assume that we know what they are, and we have not acted appropriately. It highlighted how many of us struggled to have a coherent and forward-looking definition of what our union is and what it means to young people and generations to come. We have seen nationalism coming to the fore in all parts of the union. I have spoken about this in the House before on a number of occasions, so I need not rehearse my view this afternoon, but I will return to it briefly before I conclude.

There is a real practical benefit to having a government-sponsored process with full technical assistance from the Treasury, DCLG, the national offices and Secretaries of State and the Cabinet Office to bring together the disparate changes proposed so that they are part of a coherent whole. It was rather telling that in the debate this week on the changes to universal credit, the Minister making the case for the change across the UK was unaware of the fact that the Government’s Scotland Bill, which is before Parliament, proposes the part devolution of that power. He was therefore unable to say how it would work and what a “concurrent” responsibility, which is in the Scotland Bill, means. The tensions over EVEL, the clumsy shorthand for English votes for English laws—or, as I suggest, EVET, English votes for English taxes—highlight the difficulty of a reform in isolation approach.

I am looking forward to my noble friend Lady Randerson’s speech. I suspect her strong Welsh experience and knowledge may form part of her contribution. The same could be said for the human rights agenda and for the proposals for the Welsh Assembly to become a parliament with full powers.

All these areas have recently seen Ministers at the Dispatch Box with the greatest confidence in their approach, only to be followed by pause, delay or retreat because the issues are complex and interrelated and require consideration as a whole. The list is even longer when we add the changes within England, where the approach that the cities Bill is taking has been challenged in this House and is asking more questions than it seems to answer.

We do not have a properly considered view on what powers should permanently be held within the union Government and what naturally should be the remit of the nations and of the regions within England. Neither do we have a properly considered view about the financial powers that could be balanced, and upon what principles across the union that could be done. Indeed, I see that the noble Lord, Lord Forsyth, has a question on the Order Paper about the Government moving ahead in spite of there being no fiscal framework agreed between the Scottish Government and the UK Government.

Within England, the impressive paper on English devolution by the Local Government Association is useful to highlight this issue too. How will the new powers on tax and welfare for Scotland interact with each other, and what role does this place have within the union overall in this changed landscape? How are disputes resolved, and how will the Government work when in many areas it is an English and Welsh Executive who will become almost exclusively an English Executive? Its relationship with Parliament and the other Governments is not forming part of a holistic whole.

These are no longer theoretical questions for cerebral discussion in the academic seminar rooms or the Edinburgh salons. These are questions that we must resolve now, primarily as we are starting from a base of reform in recent years, but which need to be brought together as we are not resolving them satisfactorily by our piecemeal approach. The issue is how we resolve them, not whether they need to be resolved. Would a convention take minutes and waste years? I do not wish us to waste further years on discussing process.

I turn to the substance of the Bill and why I believe that it is a timely, focused and sensible measure that will produce a mechanism to gain wider consensus on a practical way forward for constitutional reform, and will not waste years but take only one. The Bill is already the result of a move to gain cross-party consensus. Its drafting reflects the legacy paper of the All-Party Parliamentary Party on Reform, Decentralisation and Devolution in the UK—yes, I confess that we could have come up with a better title for the all-party group. The group has been generously supported by the Wales Governance Centre and then more recently by the Local Government Association, and my co-chairman, the noble Lord, Lord Foulkes, and I are grateful for the input across the parties. The draft terms of reference for a convention and its composition were agreed within this wider group, with considerable external academic support.

Clause 1 outlines the proposal on how the convention would be established. Clause 2 proposes the terms of reference—a narrow list but a broad one, with the issues necessary to be discussed. Clause 3 states that the convention must not take longer than a year—a tight timeframe for some, I know, but equally I believe that it needs to have a focused timeframe. Clause 4 proposes its composition and that it be inclusive, geographically and politically. It also means that the convention must have a majority citizen-led composition. This is because of my strong conviction that the convention will not work if it is simply a lowest-common-denominator agreement between political parties. It must have depth and, if we are defining what the union is and what it offers, we must take stock of the wider view of citizens. There are models for how the citizen component will be constituted, and this will be resolved before regulations in Clause 5 are brought forward. I am pretty convinced that work on how that could be brought about will have been done in government, both before and during the general election, so I look forward to hearing the Minister respond on that point.

So what might a conclusion of a convention be? There needs to be a balance of allowing the convention to take its own form and make its own conclusions but I offer my view that, as I said earlier, minds are focused when a proposed outcome is in mind; joint ownership of that outcome becomes stronger and is more sustainable.

I conclude by suggesting what an outcome could be for the convention. Some years ago I published a cross-party devo-plus paper, arguing for a statement of the new union, outlining in brief terms the necessity of a formal statement of union. I believe that the outcome of the convention should be a royal charter of new union, formed from the citizenry and in the name of the monarch. In many respects, the legacy of her own reign, with her own family, seems secure for generations to come. We cannot say that politicians are offering a similar legacy for the union for generations to come.

A charter of the new union can be a legacy from the head of state who has seen the union in peril from external foe but also from internal angst. Such a charter, perhaps ratified by plebiscite, would also be of a sufficient constitutional standing that it would stand the test of time. It also can act as a complementary statute of the United Kingdom that would be the machinery of government to resolve many of the questions I have raised today about how our multilevel and multisphere Government will operate in the union to come.

Again, I am grateful for the wide support already received, and I sincerely request that the Government retain an open mind, even though I am aware that this is not yet on their agenda: to allow this proposal to develop, to allow citizens’ groups, academics and those within all parties who believe that a process such as this is necessary to come together, and to allow the technical expertise of the Treasury and other departments to assist in that process. Our all-party group will make an exciting announcement next week to show that even wider support is emerging. I am grateful to those who are taking part today, and to those who share my view and that of the noble Lord, Lord Lexden, that we seek coherence that will stand the test of time. I beg to move.

[Baroness Evans of Bowes Park (Con)]

My Lords, I apologise for interrupting the debate, but for the convenience of noble Lords who might have missed the announcement made earlier by my noble friend the Chief Whip, I remind the House that the advisory time for Back-Bench speeches is six minutes.