Code of Recommended Practice on Local Authority Publicity Debate

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Baroness Hanham

Main Page: Baroness Hanham (Conservative - Life peer)

Code of Recommended Practice on Local Authority Publicity

Baroness Hanham Excerpts
Wednesday 30th March 2011

(13 years, 7 months ago)

Lords Chamber
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Moved By
Baroness Hanham Portrait Baroness Hanham
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That the draft Code of Recommended Practice laid before the House on 11 February be approved.

Relevant documents: 17th Report from the Joint Committee on Statutory Instruments, 23rd Report from the Merits Committee.

Baroness Hanham Portrait The Parliamentary Under-Secretary of State, Department for Communities and Local Government (Baroness Hanham)
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My Lords, today we are considering the draft Code of Recommended Practice on Local Authority Publicity, which is largely a simplification and re-presentation of the codes which are currently in place.

It is a simplification in that if the draft is approved by this House, it will replace in a single code the two documents that currently apply to different tiers of local government in England. One such document, which was issued in 1988, applies to parish councils and suchlike bodies. The other such document is a code which is identical but includes revisions made in 2001. This latter document applies to principal councils—that is, to unitary, county and district councils, and to London boroughs.

The draft code is also a significant re-presentation, since a matter which is in the current documents is now grouped around seven principles. These principles are not new, but the draft code improves their presentation and clarifies them. I shall say more on this later.

Finally, the draft code also makes two changes of substance. The first of these is designed to fulfil a mandate from the general election manifestos of both the Liberal Democrat and the Conservative parties—now a coalition commitment—

“to impose tougher rules to stop unfair competition by local authority newspapers”.

The second change seeks to toughen up the rules on the use of lobbyists by local authorities. Before saying more about the detail, I would like to say something about the nature of the publicity code and the processes that have been followed in drawing up the draft before the House today.

In 1986 the Government enacted legislation, the Local Government Act 1986. That legislation tackled the whole question of local authority publicity. It provided for a code of recommended practice on publicity and required local authorities to have regard to such a code. The code is therefore a statutory document, so councils are obliged to consider it when taking decisions about their publicity. It is a code, though, not regulations or an order, so it does not contain binding requirements. There is an obligation to have regard to it. This means that if a council is not to be challenged successfully in the courts or by its auditor for any departure from the code, there must be reasoned and rational grounds supporting such a departure.

That is the nature of the rules on local authority publicity that have been in place since the 1986 Act. The Merits Committee has questioned just how effective such rules, based in a statutory code, can be. The evidence is that over the years successive Governments have seen these rules as appropriate and effective. There is no reason why this should be different in future with the latest revisions.

Underpinning the 1986 legislation and the codes made under it, including the revisions made in 2001, is the firm belief that good, effective communication between a local authority and its communities is key to developing the understanding necessary for a healthy local democracy. Local authorities should use local publicity, not just to keep their communities informed of the services that they provide but to encourage greater civic participation. Councils up and down the country do this and it is right that they should.

However, publicity can be a sensitive matter because of the costs associated with it and the impact that it can have. That is why it is essential that decisions about local authority publicity are properly made. The purpose of the publicity code is to ensure that this will be the case.

At the end of last September we launched our consultation on proposed revisions to the publicity code. The consultation ended on 10 November. We received over 350 responses, all of which were carefully considered before finalising the text of the draft. At the end of last year the Communities and Local Government Committee held an inquiry into our proposals to revise the publicity code. That committee concluded that it was right to have a code to regulate the production of local authority publicity and went on to make a number of recommendations.

We carefully considered the Select Committee’s conclusions and recommendations before laying the draft code before Parliament on 11 February. In parallel with that, we also published the Government’s response to both the consultation and the Select Committee’s report.

I turn to the draft code. Its content, as I have said, is grouped around seven principles. These are that local authority publicity is to be lawful, cost-effective, objective, even-handed and appropriate, is to have regard to equality and diversity and is to be issued with care during periods of heightened sensitivity—that is, during periods before elections or referendums.

In addition there are, as I made clear earlier, two substantive changes. The first is that there is now specific reference to the maximum frequency, content and appearance of local authority newsletters, news sheets or similar publications. That is to address the problem of unfair competition by taxpayer-funded local authority newspapers. Such competition can have a detrimental effect on commercial local newspapers. Local authority publicity is important but the freedom of the press is also important in providing information to the public to hold their local authority to account. It is equally important that the readers of a newspaper can readily tell whether what they are reading is part of the independent press or a publication by the council about the council and setting out the council’s message.

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Lord Stoneham of Droxford Portrait Lord Stoneham of Droxford
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My Lords, I support the remarks of my noble friend Lord Shipley. Not for me is the rarefied and glamorous world of journalism of my noble friend Lord Fowler and his successful chairmanship of Midland Newspapers, but I am someone who spent a working career in the newspaper industry as a general manager in the nuts and bolts of the industry at a national and local level—including at the Portsmouth News, mentioned by the noble Lord, Lord Beecham, which in my day also printed the local government newspaper.

The local press is vital for communities to speak to themselves and encourage local democratic accountability. I spent a career, as the noble Lord, Lord Fowler, mentioned, fending off advertisers who threatened to run their own newspapers when they were dissatisfied by some coverage in the papers. Market competition and economics normally determine the success of competitive ventures, and that is how it should be. I can understand the concerns of local newspapers, particularly if councils use taxpayers’ money, combined with their own advertising, to attract other advertising. However, it is difficult for councils to do this. Newspapers are complex products that have to be read to be effective. Local newspapers are one of the most trusted mediums in the media. Councils, frankly, are not very good at creating their own newspapers, and advertisers rarely want to be associated with their councils.

The noble Baroness, Lady Miller, was correct to say that the real threat to local newspapers is from the web and from underinvestment in content. I accept that there should be some guidance and restraint on unfair competition, because local newspapers have to be protected. However, we also have to accept that in some areas there are no longer any viable local newspapers, apart from free sheets, and that is a problem. It is somewhat heavy handed to insist that councils can publish only quarterly publications. A monthly limit would have been fine, because premium advertisers basically want daily and weekly mediums to advertise in and are not really interested in monthly publications. Nor are the monthly publications a real threat to the free press.

We accept that daily and weekly newspapers are under pressure and need to be protected. They need to be safeguarded, not least to allow them to invest in journalism in their local areas. Please, let us limit this measure to unfair competition and not micromanage the sort of publicity material that local councils should put out in their areas—particularly in this age of localism.

Baroness Hanham Portrait Baroness Hanham
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My Lords, this short debate drew to a conclusion rather more quickly than I had anticipated. I thank all noble Lords who have taken part in it, including the noble Lord, Lord Beecham, for introducing his Motion in his usual calm way. It is nice to see that on the other side. We have sparred on many occasions, but we always do that, I hope, with considerable grace and good humour. Unfortunately, I do not believe a word of what he said in rejecting our Motion. As has been made clear by many speakers on this side, there remains unfair competition between local council communications and the local press. We have recognised that it is right and timely to review and simplify the code, while bringing forward two changes.

It is interesting that practically no one had anything to say against the provisions on lobbyists. We all understand that local authorities have, and should have, direct access to government. They can do that for themselves. One point was raised by the noble Baroness, Lady Miller, about specialist lobbyists on technical matters. They will not be prohibited by this, because sometimes cases have to be made on technical matters that cannot otherwise be dealt with.

Most of the opprobrium from the noble Lord, the noble Baroness, Lady Miller, and the noble Lord, Lord Stoneham, was regarding the number of publications. We believe that it is right at this stage, by reviewing the code, to suggest that councils should limit the number of publications they put out and that they limit the content. Local councils have a duty to inform their residents in a neutral and straightforward way about what they are doing. They do not have to do it every month or every week. They need to do it occasionally. The Local Government Association survey made it clear that the previous code has been pretty well respected in that regard, and we all recall that the 1986 code came about as a result of some arcane and peculiar practices by local government in what it put forth to the public.

The first issue is the restraint on local government on how often it should use the taxpayers’ money to produce publications to put out its views on what is happening. The second issue, which we have debated, is whether it is providing competition to the local press. If you cannot tell the difference between a local government publication that is putting out the local government view and a publication of the local press, something is seriously wrong. Local government is not and should not be acting as a local newspaper in any way at all. I agree with suggestions that local newspapers are less than they were and that they do not provide perhaps the scrutiny that they should, but it has ever been thus. Sometimes they appeared at council meetings and sometimes they did not. I go back nearly as far as the noble Lord, Lord Beecham, so I am aware of what does happen. However, there is no reason to suggest that we should make it any more difficult for the local press than it is at the moment and that councils’ and taxpayers’ money should be spent on doing that.

I think that the case has been made by many of my noble friends as to why the way in which a minority of local councils deal with their publications should not be allowed to continue. The Government are convinced that this is the right moment to make these two changes to the code.

Some comments have been made about enforcement. As I said at the beginning of this debate, a code is a code. The local authorities have to decide whether they are going to live by the code but, if not, they can be subject to challenge by residents through the auditors. They also might have to consider whether the publicity for being challenged on this is worth the candle.

Motion agreed.