Monday 17th May 2021

(3 years, 7 months ago)

Lords Chamber
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Baroness Pinnock Portrait Baroness Pinnock (LD) [V]
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My Lords, I draw the attention of the House to my relevant interests as a member of Kirklees Council and a vice-president of the Local Government Association.

I listened to the gracious Speech with eager anticipation, then read the Government’s more detailed explanation of their intentions. I was to be disappointed. There was the slick headline of “Build Back Better” and a sub-heading of “Public Finances”. I looked in vain for any mention of local government finances.

The Conservative Government have a cunning plan, it seems. First, cut grant funding to local government by 60%—£16 billion in cash terms—forcing deep cuts to the fabric of local places. Then, accuse councils of closing these selfsame services. The trump card of levelling up is then played, where central government comes to the rescue by carefully selecting additional funding for a few cash-strapped areas. Meanwhile, more councils are on the verge of issuing Section 114 notices—the equivalent of bankruptcy. A positive change to local government funding is one major missing element.

Another is the absolute failure to reform social care funding. This matters to local government, as 57% of council tax income is spent on social care. Council tax—a regressive tax—is being forced to bear the burden of the Government’s failure to deal with the challenge of social care funding. Each year since 2016, the Government have added the adult social care precept to council tax, resulting in a 13% rise to council tax bills. As council tax rises, so potholes increase, to the extent that even the Conservative-led County Councils Network is complaining publicly about the £400 million cut to local roads maintenance even after the pothole fund has been taken into account.

The two major Bills outlined in the gracious Speech that affect local government are the planning Bill and the building safety Bill. It is, I suggest, disingenuous to state in the “Key facts” section on the planning Bill that

“only … 3 per cent of local people engage with planning applications”,

when the majority of applications are, of course, of a minor nature. People are concerned about the changing nature of the place they live in, whether it be the loss of green fields, pressure on local facilities, traffic congestion or air quality. Neighbourhood planning showed that people will engage positively when given the opportunity. Sadly, the principle behind this Bill is that local voices need to be excluded in the interests of development companies—the same development companies that have failed to build 1 million homes for which there is a current planning permission.

The building safety Bill is to be welcomed in that it is the major response to the Hackitt review and the Grenfell inquiry. It will, I hope, put right the decades of regulatory failings in the construction industry. Unfortunately, it will fail to respond to the cries of anguish from leaseholders who are trapped in tower blocks where flammable cladding has to be removed and where the costs of other fire safety defects are being passed to leaseholders. These costs amount to tens of thousands of pounds. It is a scandal of growing proportions, and the Government have an absolute duty to put it right. Are they committed to fulfilling their responsibility in this regard?

Councillors of all parties and none have at their heart a passion to improve their local place. They are the people who can truly help level up. They need the tools to do so. Starving councils of funding and essential powers will seriously hamper any hope of significantly growing and improving the opportunities and prosperity of both people and places. With that, I look forward to the maiden speech of the noble Lord, Lord Morse.