(9 months, 3 weeks ago)
Lords ChamberMy Lords, in begging leave to ask the Question standing in my name on the Order Paper, I declare an interest as the chair of the Property Ombudsman for tenants and those in the PRS whose landlords use agents.
The Renters (Reform) Bill allows the Government to select a scheme through open competition or to appoint a provider to deliver a designated scheme. In Commons Committee, we announced our preference to deliver through the Housing Ombudsman service, which provides social housing redress. However, no final decision has been made, and our priority is choosing a provider that offers the high-quality and value-for-money service we require.
I thank the Minister for her reply. I very much support what the Government are doing to establish a landlord ombudsman for the private rented sector; it is long overdue. Given that the new ombudsman will cover the whole of the rental sector—the one for social landlords has been indicated as the preferred option—can the Minister confirm that the Government will consult existing ombudsmen in the sector on the rationalisation, and can she explain how they will fit into the new landscape? Can she confirm that the Government’s final decision in selecting an organisation to provide a unitary ombudsman service for the combined social and private rented sectors will follow the formal public procurement process? What will the timescale be?
The noble Baroness asked a number of questions. First, we have sought extensive procurement and legal advice on this, and we are confident that the approach we are taking is in line with procurement regulations. I can only reiterate that this work is still in its very early stages, and no decisions have been made. Of course, we will talk to stakeholders throughout the whole of the process. If the noble Baroness or any other noble Lord would like to meet me and my team, I am happy to do so as we go forward.
Secondly, the question on the interaction between schemes is very interesting. We envisage that, where a complaint covers both landlords and letting agents, the separate schemes will work together to triage the complaint effectively and, if necessary, have a joint investigation. Importantly, we want to make sure that, where it is not clear which scheme a tenant should complain to, there is no wrong access point. We will work together to make sure that the tenant gets the service that they require.
My Lords, I too welcome the Bill’s proposal to establish a private rented sector ombudsman service. There will be an opportunity when the Bill reaches your Lordships’ House to discuss the issues raised by the noble Baroness, Lady Warwick, as to where this service should best be provided. What powers will the ombudsman have to enforce his or her findings? Who will bear the cost?
I thank my noble friend. He is absolutely right: the Bill will come to this House shortly and I am sure we will have many more debates on this issue. As far as powers are concerned, the Bill says that the ombudsman’s enforcement powers will be to expel the landlord from membership of the organisation unless they deal with their obligations and then rejoin, and they will be liable for civil and, in the worst cases, legal penalties if they continue to operate without that membership. Those are quite strong powers that will back up local authorities’ powers. On the scheme’s funding, it will be a landlord membership scheme, as is the Housing Ombudsman scheme. Membership of that scheme is at £5.75 per unit.
My Lords, when the Government’s new or expanded ombudsman is established, it will have to work closely with local authorities and will have enforcement responsibilities, but it is important that that work is not duplicated. Does the Minister have any plans for the department to issue guidance on how local authorities and the ombudsman can work together? How do the Government propose to resource the new ombudsman service, given the potential increase in demand that may emerge?
Of course we will work with the local authorities as the Bill moves forward. The ombudsman will complement local authority decisions and back them up.
My Lords, I very much welcome the expansion of the ombudsman service. My worry about what appears to be a decision by the Government is that representatives of private tenants, which will be different from the ones dealt with already, will not get a voice if there is no open procurement. I hope the Government will look to representatives of private rented accommodation to ensure that they are involved in the choice of ombudsman so that it fits that particular client group.
My Lords, of course we will, but what is important is the tenants, who sometimes do not know where to go. In my opinion and that of the department, it is important that they have one front door and that they get the services they require.
My Lords, can the Minister give us some idea of the timetable by which these things will come into force? In the meantime, Section 21 evictions are continuing, private tenants are at a major disadvantage and landlords are, it appears, accelerating their use of Section 21 to pre-empt the incoming legislation, so the settlement of these issues is really important. Can she give us some help on when we will actually see an ombudsman in post working and dealing with the complaints that private tenants very legitimately have?
That is a really important question with a very simple answer: we intend to have the redress available as soon as we can after the Bill receives Royal Assent. We are working on that strongly at the moment, because it is an important service for tenants.
My Lords, I declare my interest in the private rented sector. Can my noble friend the Minister tell us how the private sector will be made aware of this new process, if and when this new policy is implemented?
I thank my noble friend. It will need a lot of communication. We have already had Make Things Right in the social rented sector, which has increased people’s awareness of the scheme to 63% from below 55%. We will continue that campaign. As we move to a new ombudsman for the private rented sector, we will continue to have a strong campaign to ensure that all rented sector tenants understand their rights.
(10 months ago)
Lords ChamberMy Lords, in begging leave to ask the Question standing in my name on the Order Paper, I refer the House to my relevant interests, as set out in the register, and the fact that I am a leaseholder.
My Lords, the Leasehold and Freehold Reform Bill contains a substantial package of measures to increase leaseholders’ rights as consumers and home owners. We have prioritised the most significant measures that will help existing leaseholders now. We remain committed to continuing our leasehold and commonhold reforms, and the Bill is a major step forward. The best way to help leaseholders now is to make the existing leases fairer and more affordable. Our focus is on legislating where we can in order to make genuine improvements to leaseholders’ daily lives straightaway.
My Lords, although many of the measures in the Bill are very welcome, we have been told for years that the Government would abolish, as they put it, this “feudal” leasehold housing tenure. The Bill had been promised in the third Session of this Parliament. Here we are in the last Session of the Parliament, and the abolition of leasehold is completely left out of the Bill. It was then confirmed that the Government would introduce amendments later on, but only to abolish leasehold houses, with leasehold flats, which comprise 75% of leasehold, here to stay. That is not good enough. Will the Minister take the opportunity to apologise, given the Government’s pledge to abolish the feudal leasehold housing tenure?
My Lords, I will not apologise; the measures in the Bill will benefit owners of flats and houses alike. The majority of houses have always been provided as freehold, and there are few justifications for building new leasehold houses, so the Government will ban them, other than in exceptional circumstances. However, flats have shared fabric and infrastructure and therefore require some form of arrangement to facilitate management. This has been facilitated by a lease. None the less, the Government recognise the issues in the leasehold system and remain committed to reinvigorating the commonhold system so that developers and home owners have an alternative to leasehold ownership.
My Lords, further to the question from the noble Lord, Lord Kennedy, the Secretary of State made his views absolutely clear when he said:
“I don’t believe leasehold is fair in any way. It is an outdated feudal system that needs to go”.
But the Bill does not do that—it does not even mention commonholds. When I asked about this in the previous exchange, I was told by the noble Baroness, Lady Penn:
“When it comes to reforms to commonhold, we continue to consider the Law Commission’s report in detail to find the best way forward”.—[Official Report, 30/11/2023; col. 1180.]
The commission reported in 2020. When will we learn the Government’s conclusion?
I assure my noble friend that we remain committed to continuing our leasehold and commonhold reforms, and the Bill is a major step forward. The Government remain committed to a widespread take-up of commonhold for flats, and we have been reviewing the Law Commission’s recommendations to reinvigorate commonhold as a workable alternative to leasehold, alongside working with the Commonhold Council to consider practical steps to prepare consumers and the markets.
I congratulate the noble Lords, Lord Kennedy and Lord Young, on their persistence in this matter. We took a Question on this on 30 November, replied to by the noble Baroness, Lady Penn, in which she said that
“commonhold provides a potential way forward to move away from leasehold”.—[Official Report, 30/10/2023; col. 1181.]
That we know. She also promised to explain in writing the complications of abolishing leasehold in flats, to which she referred. Can the Minister explain what the delay is in implementing commonhold and what the complications are perceived to be?
My Lords, I can only reiterate what I have said. We are reviewing this, and it is a complex matter that has ramifications throughout housing law. We are looking at and reviewing the Law Commission’s recommendations, and we are working with the Commonhold Council. It is an important matter, and we will come forward with further steps on it in due course. It is a complex issue, and I am more than happy to meet noble Lords as we move into the Bill. If any noble Lords would like to meet me and my team, I am very happy to do so.
My Lords, the noble Lord, Lord Campbell-Savours, is participating remotely.
Is not the simple, unvarnished truth that, on leasehold for flats, the Government are under intense pressure from powerful institutions, which have sunk millions into freehold title, to duck the big decision and delay? The Government’s response is to leave it to the next Government to sort out. Is it not no more than an income stream for lazy investors, greedy developers and pension funds, all of which are squeezing the Government through political pressure to back off, while leaseholders pay the price? Labour will sort this out.
That is not the case. If noble Lords have listened to some of the things that the Secretary of State has said in the last many months, they will know that we are committed to changing this. It is complex, and we will take our time and do it properly.
It is very good to see the Minister back at the Dispatch Box. She has read out very faithfully the Civil Service briefing. However, we know from the Post Office scandal that Ministers are ultimately responsible and should take responsibility. Her Secretary of State was born and brought up in Aberdeen—and in Scotland leasehold was abolished in 2000 by a Labour and Liberal Democrat Government. Will the Minister go back to Michael Gove and say, “For goodness’ sake, if it can be done in Scotland, do it in England as well”?
I assure the noble Lord that I shall go back and take that message to my Secretary of State, but I can also say that we are looking at the Scottish model.
My Lords, the Law Commission reported in 2020, and I understand the Minister to say that the Government are taking their time—but four years is far too long. It cannot be so complicated that there cannot be a decision.
It is extremely complex; it affects many other legal issues to do with housing—with leaseholds and freeholds. We are looking at it as we move through the Bill. What we are putting forward is a very good first step, but it is not the end of the line. We will be working further.
My Lords, I am sure that many noble Lords are grateful to my noble friend the Minister for saying that the Government are still committed to commonhold. She keeps saying how complicated the whole issue is. To ease the understanding of noble Lords and others, will she commit to listing some of the complications in a letter to me and other noble Lords, so that we too can understand how complicated it is and why commonhold provisions have not been brought forward at this stage?
I shall certainly do that—I thought that my noble friend Lady Penn had agreed to that letter, but I shall look into it and sort out a letter. But I think that my offer of meeting noble Lords, as we move into the Bill, is the correct way forward.
My Lords, millions of leaseholders across the country, such as those in Vista Tower in Stevenage, have suffered extreme financial distress, bankruptcies and inability to sell their properties, because the issue of fire remediation has fallen directly on them. When will those leaseholders have the Government’s reassurance that this is going to be dealt with once and for all?
We are dealing with it—it is a big piece of work, but we are dealing with it. It is happening all the time. What I have said to the noble Baroness and others many times at the Dispatch Box is that, if there are individuals who have complex issues and want to discuss them, we have a team of people in the department who will do that. I am happy to talk to her further about that.
My Lords, is the delay due in any way to the fact that we have had a significant number of ministerial changes at Secretary of State level?
I thank my noble friend for that question—but not as far as I am concerned, no.
What is to stop the Government and Michael Gove getting on a train, going to Scotland, seeing the legislation there, bringing it back and adopting the same regulations? What would be the problem with that?
I did not quite catch that—but with regard to going up to Scotland and bringing back that legislation, the law is very different in Scotland, and we have to look at it.
My Lords, I have listened carefully to this exchange, and we have had similar ones in the past, initiated by my noble friend. What is noticeable is that the Minister—not personally, of course; we welcome her back—but politically, during this exchange, has found herself friendless. There is virtually no one prepared to stand up and defend the Government’s position, other than the Minister. At the very least, as this place can be a bit of a cauldron for making plain what opinion is, she should report back what I have just relayed to her to her Secretary of State, and say, “Next time I come to the Dispatch Box, please give me some better arguments than you have given me so far”.
I am not going to give noble Lords any different answer. We are committed, and the Secretary of State has made it very clear that we are committed as a Government, to commonhold. We are working through it—but the best way in which to help leaseholders now is to make existing leases fairer and more affordable. That is exactly what is happening through the Bill, and I am pleased that the Government are at last doing it. I hope that the noble Lord opposite is also pleased that this Bill is in, because he has asked me many times when it is coming.
(10 months ago)
Lords ChamberTo ask His Majesty’s Government what recent assessment they have made of conditions in social housing, including levels of mould.
My Lords, the English Housing Survey found that in 2022, 10% of social homes failed to meet the decent homes standard and 5% had a problem with damp. The Government have now introduced Awaab’s law, requiring the Secretary of State to set out new requirements for landlords to address hazards such as damp and mould in social homes within a fixed period. We published our consultation on those requirements yesterday, 9 January.
My Lords, may I say how pleased I am to see the noble Baroness back in her place?
The death of two year-old Awaab, who was killed by mould in Rochdale, was a shocking insight into the condition of many social homes across the country. Unfortunately, millions of children in the private rented sector are also living with damp, mould or excessively cold temperatures, causing conditions such as asthma, pneumonia and respiratory illness. What plans do the Government have to tackle poor conditions for tenants in private rented homes?
My Lords, there are differences between the rented housing tenures. Almost half of private rental landlords own a single property and the vast majority own fewer than five so, unlike social housing landlords, very few will have in-house or contracted repair and maintenance teams, which makes it more difficult. We have to consider proportionate timescales in legislation for the private rented sector. However, we are taking action to improve the safety and decency of private rented homes through the Renters Reform Bill, which will be in this House shortly. We have introduced an amendment to the Bill to apply a decent homes standard to the private rental sector for the first time and to give local councils enforcement powers to deal with non-decent homes. As I say, that Bill will be introduced to this House shortly. We will also set up a new private rented sector ombudsman through that Bill, which will also have extra powers.
My Lords, I welcome my noble friend back to the Dispatch Box. I welcome the speed with which the Government have implemented Awaab’s law and issued the consultation documents. Is there not now a dilemma facing social housing tenants who want their landlord to effect repairs? They can either go to the social housing regulator or to the Housing Ombudsman, which have different regimes but overlapping powers. Will my noble friend issue guidance so that social housing tenants can use the new powers the legislation has given to them?
My noble friend is right; this is all about communication, to make sure that tenants know what to do if they have an issue with their property. We have had a number of communications and marketing campaigns, such as Make Things Right, and the latest one is just being completed. That makes sure that all tenants know that, first, they should go to their social landlord, and if they do not get the right answer—or any answer, as sadly happens in some cases —they must go to the ombudsman. The social housing regulator will deal not with individuals but with bigger issues relating to individual housing associations.
My Lords, the Minister’s response focused on social homes. Housing associations are very keen to do more to regenerate existing social housing but are unable to do so—at least, not very effectively—without improved access to government funding. Will the Minister confirm that the Government will look to maximise the use of existing funding through the affordable homes programme to support housing association-led regeneration?
Yes. I think we already said in the levelling-up Act that the £11.5 billion in the affordable homes programme can be used for social housing, as it has in the past. It is important that social landlords understand that and use that money.
I am pleased to see the noble Baroness back in her place; she has been missed. For this new legislation, the Government have sensibly constituted a Social Housing Quality Resident Panel to advise them and, presumably, to listen to its views. The panel stated that it did not believe that
“court action would … prevent and resolve housing hazards”
or
“incentivise landlords to meet the deadlines”,
and that it would
“place the burden of enforcement on residents”.
What is the Government’s response to this plea? Most importantly, what support will be given to tenants to make this work?
I thank the tenants’ panel. I have been to a couple of its meetings, and it has been excellent. It was meant to last for a year, but we are going to continue with it. No, we are not expecting tenants to fund their own cases. That is not correct, and I do not know where that has come from. I would like to discuss the issue further with the noble Baroness and get a clearer answer, because I am not aware of that.
My Lords, I am delighted to see the noble Baroness back in post. The Government are absolutely right to come down hard on social housing landlords who have not doing what they should have in keeping their properties up to a decent standard. The ombudsman, the social housing regulator and legislation are all great but the amount of money available for social housing remains the same, and switching resources to getting that older stock up to muster is going to absorb an awful lot of money in the years ahead. Are we going to see quite a big decline in the new affordable social housing that is so badly needed?
No. Through the Levelling Up and Regeneration Act, which, sadly, I did not see the end of, we intend to deliver more social housing. That came out strongly throughout proceedings on that legislation. The noble Lord is right; there are a lot of challenges for the sector in upgrading its stock, after many years of not putting money into it. We will all be working on that. This year we gave £30 million to Greater Manchester and the West Midlands. We wanted to look at how such investment would help them make improvements, and we are looking at that intervention quite closely for the future.
May I say on behalf of these Benches, too, how pleased we are to see the noble Baroness back in her place. We know that cots are extremely important for the health and well-being of babies and young children. What is the Government’s policy on the provision of cots to those in social housing? The charity Justlife states that around 25% of temporary accommodation falls under the purview of the social housing regulator. With nearly 140,000 children living in temporary accommodation in England alone, what steps are being taken to ensure that cots are provided for families in temporary accommodation under the purview of the social housing regulator?
I thank the right reverend Prelate for that question. I do not know the answer to it, but I will certainly find out. I know that this is an important issue. Housing associations providing temporary accommodation have to provide the correct furniture and fittings for such families, and I will check that cots are included. I also know that such charities—which I have been involved with many times, and which do a wonderful job—are providing not just cots but all the other things that babies and young people need, particularly if they are being moved around a lot. I will get a Written Answer to the right reverend Prelate regarding cots.
My Lords, the NHS spends £1.4 billion a year on treating illnesses associated with mould. The evidence is that the number of damp problems in the private rented sector is almost double the number in the social sector. People renting often have great difficulty in knowing where to seek help and are frightened of going to the landlord in case of recrimination against them for having raised an issue. Have the Government considered asking every local authority to establish a registration point where people who feel that their housing is seriously below standard can report the issue and discuss it, so that they can get support when going to the ombudsman or wherever else they might need to go? There is a real gap in their ability to advocate for themselves.
No, we have not considered that, and I am not sure that local authorities have the capacity to that at this time. But it is important that we make sure that tenants know their rights and where to go. The ombudsman is creating many more positions, so it should be able to deal with these things quicker. I was pleased to learn that the Department of Health and Social Care has developed new, consolidated guidance, tailored to the housing sector, on the health aspects of damp and mould. There was some disagreement about what was important or how much damp and mould could be allowed in these homes in order for them to be safe; I am glad that that guidance has been consolidated. I hope that we are moving forward, and I absolutely know that when Awaab’s law comes into effect, things will change considerably and at much greater speed.
(1 year, 1 month ago)
Lords ChamberMy Lords, I thank the noble Lord, Lord Lexden, for introducing this group and the amendment in the name of the noble Lord, Lord Northbrook, as well as for drawing our attention to the importance of standards. Clearly, most of the debate has been around the amendments in the name of the noble Lord, Lord Moylan. As we are on Report, I shall be brief and make just two points in response to the noble Lord’s amendments.
First, I point out that Sadiq Khan has explicitly ruled out the introduction of pay-per-mile charging while he is Mayor of London. Secondly, on Amendment 282N, which seems to be the core amendment within the four amendments introduced, our concern is that this includes a loophole for councils to opt out of such schemes. Introducing that loophole undermines the national objective of improving air quality. We think that it risks increasing public confusion and is not in the interests of preventive health and improving air quality.
My Lords, Amendment 242 in the name of the noble Lord, Lord Northbrook, introduced by my noble friend Lord Lexden, would require the Government to make all standards that relate to all planning Acts or local authority planning policy, online and free of charge.
As I think I said in Committee, our national standards body, the British Standards Institution or BSI, publishes around 3,000 standards annually. These standards are a product of over 1,000 expert committees. BSI is independent of government and governed by the rights and duties included in its royal charter. This includes the obligation to set up, sell and distribute standards of quality for goods, services and management systems. About 20% of the standards produced are to support the regulatory framework. This will include a minority of standards made to support planning legislation and local authority planning policy. To ensure the integrity of the system and to support the effective running of the standards-making process, the funding model relies on BSI charging customers for access to its standards. As a non-profit distributing body, BSI reinvests this income from sales in the standards development programme.
My noble friend Lord Lexden asked what the difference is between a regulation and a standard. A regulation provides minimum legal requirements, is written by government and is laid before Parliament. A standard is expert-led and derives its legitimacy through consensus and public consultation. A standard, however, can help demonstrate compliance with legislation. My noble friend also brought up the issue of access in Northern Ireland’s libraries. Interestingly enough, access to British standards is available free in public and university libraries across this country as well, including the British Library, Herefordshire County libraries and the National Library of Scotland. I hope that this provides sufficient reason for my noble friend Lord Lexden, on behalf of the noble Lord, Lord Northbrook, to withdraw the amendment.
I thank my noble friend Lord Moylan for tabling Amendments 282N, 302A, 315ZA and 317, to which I have added my name. He speaks with his characteristic eloquence about the challenges of introducing road user charging schemes in the capital. My noble friend’s experience in these matters is worth repeating. He is a former deputy leader of Kensington and Chelsea Council, a former deputy chairman of Transport for London and a former chairman of London Councils’ city-wide transport and environment committee. My noble friend therefore speaks with unrivalled experience and authority on matters of London’s governance.
My noble friend is entirely correct in his analysis of the differences between the mayoral model followed in London and the combined authority model followed elsewhere in England. He is right to draw attention to the resulting friction that can arise between London borough councils and the mayoralty in London. Regrettably, we have seen a clear display of this during the recent debates on the expansion of the ultra-low emission zones.
As the Government, through this Bill, look to widen and deepen the devolved powers of leaders outside the capital, it is right that we also take stock of how London’s devolution settlement is working in practice. To this end, the Government have committed, through their new English devolution accountability framework, published earlier this year, to review
“how current scrutiny and accountability arrangements in London are operating in practice”,
including
“how the Greater London Authority works and liaises with the London boroughs”.
In addition, the Levelling Up Advisory Council has been asked to examine the strengths and challenges of the capital’s devolution settlement, and a report on that is expected next year. In the meantime, my noble friend’s new clause on road user charging schemes in London provides a targeted, proportionate and wholly sensible correction to the current uneven distribution of power and decision-making between borough councils and the Greater London Authority when introducing ULEZ-style road user charging schemes across the capital. The amendment is entirely in keeping with the wider aims of the Bill to “empower local leaders” and to “enhance local democracy”. As such, I can confirm that, should my noble friend Lord Moylan wish to test the opinion of your Lordships’ House on this matter, he would have the Government’s support.
My Lords, the powers introduced by this section amend and clarify powers and procedures for using compulsory purchase and have been extensively consulted on—unlike some other parts of the Bill. The LGA’s view is that the introduction of measures that would genuinely make the CPO process more efficient for councils is an encouraging step, as it has previously lobbied on the need to reduce the time taken to use the CPO, and it also believes that these changes will make the valuation of change in this context closer to a normal market transaction.
In fact, the LGA view is that the Bill could have gone further. It would also like to see the ability to tackle sites which have had planning permission for a long time but which have not been built out through stronger compulsory purchase powers, and the removal of the requirement for permission from the Secretary of State to proceed with a CPO, which would expedite the process for local authorities. Of course, the Secretary of State could always retain the right to call in in circumstances where it would be necessary to do so.
I listened carefully to the noble Lord, Lord Carrington, and the noble Earl, Lord Lytton, and I am sympathetic to the specific issues they raised, particularly the issue about prompt payment for purchases of land. Perhaps I have had an unusual experience of the CPO process but the conditions are already stringent, both in setting out the process for a site qualifying for a CPO and in the requirement for valuation of that site. Therefore, while I appreciate the thinking behind the amendment, it seems that there is already guidance in place—indeed, the amendment refers to it. I look forward to the Minister’s response.
My Lords, Amendment 246, tabled by the noble Lord, Lord Carrington, would place a requirement on the Government to publish by regulations a new duty of care for all acquiring authorities undertaking compulsory purchase. The proposed duty of care would involve obligations on acquiring authorities to acquire only land necessary for their schemes and to mitigate the impacts of their schemes, as well as to pay compensation to landowners at the date of entry or date of vesting and ensure that all communication with claimants is conducted in accordance with government guidance. I reassure noble Lords that the Government understand the concerns behind this amendment. However, the Government consider the proposed duty of care to be unnecessary for the following reasons.
First, whatever the underlying scheme, a guiding principle of compulsory purchase is that acquiring authorities should include within the boundary of a CPO only land which is required to facilitate the scheme. It is for acquiring authorities to demonstrate that there is justification and a compelling case to support the inclusion of land within a CPO boundary. Where they cannot, a CPO is likely to fail.
Secondly, another principle is that the use of a CPO is lawful only providing that acquiring authorities compensate landowners for the loss of their interests, whether the land is acquired following notice to treat or is vested in the acquiring authority. Where an acquiring authority takes possession of land before compensation has been agreed, it is obliged to make an advance payment of compensation to the landowner if requested.
My Lords, at an earlier stage of the Bill, I made the case, with others, for amending Clause 158, which concerns the statutory requirement for water companies to upgrade sewage plants to meet new nutrient standards in the areas worst affected by pollution. We welcomed this, but although it was seen as a good step forwards for improving water quality, frustratingly, it specified only that such upgrades should take place at the sewage disposal works themselves, usually meaning traditional engineering systems and solutions, which in themselves relied on concrete materials. Amendment 247, tabled in my name and with the support of the noble Baronesses, Lady Parminter and Lady Jones of Whitchurch, was therefore designed to enable effective use of restored habitats, known in this context as nature-based solutions, by water companies to also meet those standards.
As we pointed out in Committee, those nature-based alternatives can be a really effective and very cheap approach to soaking up nutrient loads and reducing the pollution reaching rivers, as well as providing excellent habitats for biodiversity. Our amendment also had strong support from water companies and Ofwat, but in Committee, the Government’s argument against it was the suggestion that it could somehow let water companies off the hook by allowing them to use such nature-based measures to fudge the delivery of their upgrades. We have therefore brought back this tweaked amendment, in which we have added an explicit requirement for water companies to secure agreement for compliance and investment plans from Ofwat and the Environment Agency before commencing their updates—so we are putting a fail safe in there. We have also included in the amendment the ability for the Environment Agency to impose monetary penalties on water companies for failing to deliver on the compliance and investment plans.
Over the summer, concessions in this area were tabled by the Government, which I really welcome. Those amendments are really positive in principle. However—this is a very big “however”—I fear that Amendment 247 may become very insignificant for the environment if the other government amendments recently introduced into this group are passed. I will therefore briefly speak to those as well. As I am a scientist, I will address the amendments from a scientific perspective rather than addressing their constitutional and legal aspects. In particular, I want to focus on Amendment 247YYA, which amends the habitats regulations to remove controls on nutrient loads in rivers for those that are associated with housing developments.
The amendments are based on the premise that the extra nutrient loading in areas where the relevant houses will be built will be less than 1% of the loading of the existing housing stock. This is where a key piece of evidence is missing: what is the loading of the existing housing stock? The Home Builders Federation would like us to believe that houses contribute 5% of excess nutrient loads in rivers in England compared with 50% from agricultural activities, so it is all the problem of farmers and not of housebuilders.
I quote from the Home Builders Federation:
“It is estimated that all existing development, including residential, commercial and the rest of the built environment, contributes less than 5% towards the phosphate and nitrate loads in our rivers—meaning the occupants of any new homes built would make a negligible difference”.
But the evidence base is, very strangely, lacking: where does that 5% come from? Searching for it leads me to believe that the figure has been extrapolated from a 2014 Defra report, The Impact of Agriculture on the Water Environment: summary of evidence, which was used to inform the 25-year environment plan. The first thing to note is that this report has since been updated by Defra, and the most recent statistics stand as follows:
“Agriculture is the dominant source of nitrate in water (about 70% of total inputs), with sewage effluent a secondary contributor (25-30%)”—
not 5%.
I also looked at other data that could support this level of 5% from the built environment, so I did a search of academic studies that had been published in the peer-reviewed literature in the past three years in similar climatic regions across the world to look at the percentage source of pollution in river catchments that contain a mix of agriculture and urban development. I could not find a single example that suggested a value as low as 5% of the nutrients in rivers coming from housing. One found that, in a large catchment containing seven rivers, 14% of nutrients were from wastewater from residential buildings; in another, it was 33%, and 28% in another. All were significantly higher than the 5% that we have been told is the likely impact. For the UK, a recent assessment by Greenshank Environmental also indicates a far higher nutrient load in rivers from housing, closer to 36%. I therefore urge other noble Lords not to take this 5% figure too seriously.
Worse than this, if Amendment 247YYA goes through, we will never know the true value, since the amendment instructs planning authorities to assume no increase in pollution, prevents them requesting an assessment to investigate pollution further and even goes as far as to instruct authorities to ignore any evidence of potential adverse impacts; for example, as provided by scientific studies or even NGOs. It simply cannot be acceptable to amend one of our key environmental protections like this.
These amendments also fly in the face of the environment statement on the Bill, which says:
“The Bill will not have the effect of reducing the level of environmental protection provided for by any existing environmental law”.
That does not seem to be the case. The Government’s own adviser, and the chair of the Office for Environmental Protection, made this point in a letter to the Government last week.
In conclusion, I will not be supporting these later government amendments. I urge other noble Lords to do the same, not least because in this country we are already dealing with extremely polluted rivers. In February this year, the Environment Agency reported that only 14% of our rivers are classified as being in a good ecological status. It also stated that, without new interventions, this figure will drop to just 6% by 2027. I beg to move.
My Lords, with the leave of the House, and to assist noble Lords participating in this debate, I will speak to the government amendments in this group. I will of course address the amendments tabled by noble Lords and the wider debate in my closing remarks.
All the amendments in my name address the major issue of nutrient neutrality, which has effectively stalled or blocked completely housing development in affected areas. For procedural reasons, and agreed in the usual channels, I will treat the tailing amendments—Amendments 247YE and 247YX—as de-grouped.
This issue is hampering local economies, depriving communities of much needed housing and threatening to put the SME builders out of business. Nutrients entering our rivers is a real and serious problem, but the contribution made by new homes is very small compared with that from sources such as industry, agriculture and our existing housing stock. Government Amendments 247A to 247YW cover a range of improvements to our current approach to improving wastewater treatment. These amendments respond to comments and concerns of noble Lords in Committee about more nature-based and catchment-based approaches. I hope they will be welcomed.
I now turn to Amendment 247YYA, mentioned by the noble Baroness, Lady Willis of Summertown, which would require a competent authority to make a reasonable assumption for relevant developments that nutrients from that development will not adversely affect the integrity of the site. The assumption we are asking competent authorities to make is reasonable for two reasons. First, this assumption is limited to the development where the wastewater is treated by a wastewater treatment works or private treatment system regulated under the environmental permitting regulations. This means that nutrient loads in wastewater will remain strictly controlled through the environmental permitting regime, which places legally binding duties on water companies, and through the regulators of the water industry, which are subject to the requirements of the habitats regulations. Secondly, the mitigations that we are putting in place will ensure that there are no additional nutrient loads from residential development.
If we are to take these reasonable steps, we need to amend the habitats regulations in the way our amendments set out. This is a carefully targeted and specific change, aimed only at addressing a disproportionate application of the regulations since the Dutch nitrogen case in the European Court of Justice. Following the findings in this case, since March 2022 housing development in affected catchments has been stalled or blocked—even though new housing contributes such a small proportion of pollution.
In these areas, following the guidance that Natural England was required to issue, development may not be consented unless and until, case by case, house by house, mitigation is in place. This applies even though the additional pollution we are talking about—the additional nitrate and phosphate which remains in the water after domestic sewage is treated—will not get anywhere near the waterways unless the houses not only have planning permission but have been built and occupied.
New development is stalling at the point of planning permission, or even, in many cases, after permission has been granted. It is an absurd situation that is undermining local economies, costing jobs, threatening to put small developers out of business and, above all, leaving communities without the homes that they want and need.
This is not to say that the problem of nutrient pollution in our rivers is unimportant—it very much is—but developers and local planning authorities are bound up in a burdensome and expensive process that does nothing to give certainty to anyone, creating huge opportunity costs. In some catchment areas, hard work by Natural England, environmental groups and developers has started to allow some housing to be consented. However, having listened to the concerns of local communities, local authorities and housebuilders, it is clear that these schemes are moving too slowly, with no guarantee that demand can be met imminently.
My Lords, I start by thanking the noble Baroness, Lady Willis of Summertown, for her introduction to this debate. It has been a very important debate with some excellent contributions, and I am sure that it has given many noble Lords on the opposite Benches food for thought. I will speak to my Amendment 247YYDA and will oppose certain government amendments in this group.
The current nutrient neutrality rules do not work, as we have heard from noble Lords today, but we do not think that the Government’s proposals work either. We certainly do not agree with the powers being introduced in government Amendment 247YY, or government Amendment 247YYA, which introduces new Schedule 13 and means abandoning legal protections for the nation’s most precious and sensitive habitats, on the premise that this is the only way to increase housing supply. As we have heard from noble Lords, this is completely wrong. It is entirely possible to balance the need for more homes with the need to protect nature. That is why have tabled Amendment 247YYDA, which would establish a process to consider alternative ways to reform nutrient neutrality regulations. Perhaps I can draw the attention of the noble Lords, Lord Best and Lord Moylan, to our proposals.
The amendment would launch a public consultation to consider the alternatives, allowing for an evidence-based approach that the Government’s new schedule completely lacks. Before I expand on how that alternative could be established, I want to explain why we will be opposing the introduction of the government amendments in this group.
Put simply, this change of policy means that developers will no longer need to mitigate harmful pollutants when building in the most environmentally sensitive areas. Noble Lords have made quite clear their concerns about this approach. We believe that the resulting increase in river pollution is a wholly unnecessary price to pay for building the homes that we are in short supply of. We also believe that the way the Government have introduced the amendments has been entirely inappropriate.
As we have heard from other noble Lords in this debate, the Bill has been passing through Parliament for more than 16 months, and yet this policy has been added only at the very last minute, during the final days of Report. It is accompanied, as we have heard, by excessive regulatory powers, which we will oppose, and which, as we have heard, noble Lords on the Delegated Powers Committee, have referred to as “open-ended”. I would not suggest that the word “proportionate”, which the Minister used, was the correct response. What is more, the committee noted that
“there appears to have been no public consultation or engagement with stakeholders prior to the publication of these measures”.
For a group of amendments which the Government claim could cost £230 million—other estimates suggest they would cost far more—no consultation or engagement is, frankly, astounding.
As the noble Duke, the Duke of Wellington, said, but which I think needs repeating, the Office for Environmental Protection has issued statutory advice to say that the measure
“would demonstrably reduce the level of environmental protection provided for in existing environmental law”—
in other words, a regression. We have already heard, and so the House will not need further reminding, that during consideration of the retained EU law Bill the Government repeatedly ruled out ever taking this step. On Monday 26 June, the noble Lord, Lord Callanan, told this House that
“the Government will not row back on our world-leading environmental protections”.—[Official Report, 26/6/23; col. 469.]
However, the Office for Environmental Protection says that this is exactly what is happening. We believe, therefore, that it is wholly inappropriate for this House to agree these amendments to the Bill.
Instead, I urge the Minister to consider the approach that we have outlined in Amendment 247YYDA, which would open up the possibility of nutrient neutrality reform on the basis of consultation and evidence, and through the principle of good law. This is an amendment which has benefited from the input of the Local Government Association, and, I am pleased to say, has the support of Wildlife and Countryside Link. As I mentioned earlier, it would allow for a public consultation on various proposals which have been suggested by other Members of this House and other organisations across the UK. While I will not delve into the various options now, noble Lords will note that proposed new subsection (2) outlines the key alternatives. I also draw attention to the fact that the amendment stipulates that the consultation would launch, be completed and laid before both Houses within three months. I see no reason why the Government cannot provide an evidence-based solution to this Parliament.
It is abundantly clear that there are far better ways to build the new homes we need than at the expense of our precious environment. I hope the Minister will accept our amendment, withdraw the government amendments, and agree that polluting our rivers is not a price we need to pay for sufficient housing supply. If not, as other noble Lords have indicated, we will oppose the government amendments.
My Lords, let me conclude this debate by responding to a number of points that have been made, starting with the noble Duke, the Duke of Wellington. I shall not name all noble lords, if your Lordships do not mind, in each response, but those who asked the questions will know who they are, and questions were asked by a number of noble Lords.
I turn first to the question on the views of the OEP. As my right honourable friend the Environment Secretary has set out very clearly in her response to the Office for Environmental Protection, we do not accept that this will lead to regression in environmental outcomes. It is the Government’s judgment that it will not. The reform package will improve the conditions of these habitat sites. The obligations on water companies to upgrade wastewater treatment works in designated catchment areas by 1 April 2030 will far outweigh the nutrients expected from the new housing developments, by putting in place wider upgrades for the long term. These upgrades will benefit existing houses, not just new homes, providing an effective approach to reducing existing wastewater nutrient pollution, not just forestalling the possible future pollution from development. On top of that, we are doubling investment in Natural England’s nutrient mitigation scheme to £280 million, which will be sufficient to offset the very small amount of additional nutrient discharge attributable to the 100,000 homes between now and 2030.
Staying on the OEP, my noble friend Lady McIntosh suggested that the Government broke the law on sewage. We always welcome scrutiny from the OEP, and we are co-operating with it fully to support its work in many areas. The OEP has not concluded that the Government broke the law on combined sewer overflows; it issued an information notice requesting a further response from Defra, Ofwat and the Environment Agency, and is continuing to investigate.
I move on to another issue that the noble Duke, the Duke of Wellington, brought up, as did many other noble Lords: how can we justify asking local authorities to effectively ignore the facts? I dealt with this in my opening speech, but I am going to repeat it.
The assumption we are asking competent authorities to make is reasonable for two reasons. First, this assumption is limited to developments where the wastewater is treated by a wastewater treatment works or a private treatment system regulated under the environmental permitting regulations. This means that nutrients from wastewater will remain subject to the strict legal duties that are binding on water companies and others who operate wastewater treatment systems. These duties are becoming stricter in many affected catchments, thanks to the wastewater treatment work upgrades mandated through the Bill. As I said before, the Government estimate that this will lead to a 69% reduction in phosphorus loads and around a 57% reduction in nitrogen loads in total from wastewater treatment works across all affected catchments, significantly reducing nutrient pollution at source in a principled manner.
Secondly, a package of measures we are putting in place will ensure that we more than offset the additional nutrient flows from new housing. This includes the significant additional investments we are putting into Natural England’s nutrient mitigation scheme. Local authorities will be able to object to planning applications on the basis of nutrient pollution; it is mandatory to consider it. Local planning authorities will still have to consider the impact from nutrient pollution as a material planning consideration, as the amendments made no change to the wider operation of the planning system.
Planning decision-makers will continue to have regard to the national planning policy and material planning considerations, and the Government are clear that the focus of planning decisions should always be on whether the proposed development is an acceptable use of land, rather than the control of processes, where these are subject to separate pollution control regimes. Nutrient pollution from wastewater treatment works is controlled under environmental permits, and planning decisions should assume that these regimes will operate effectively.
Another issue brought up by a number of noble Lords is that the developer should pay. The Government agree. It is essential that housebuilders contribute fairly, and we all agree with the principle that the polluter should pay. We are working with the HBF to structure a fair and appropriate contribution system. My officials are in active discussions with it about the design of these schemes, including considering how they are delivered.
(1 year, 1 month ago)
Lords ChamberMy Lords, I express my sincere thanks to the noble Baroness, Lady Burt, for all the work she has put in, and thank the Minister for her support in the passage of this Bill through the House. The Bill represents an excellent step in the right direction. Clearly, we still have much to do. I also echo the sentiments and hope that the Government will move forward on this and will provide the necessary resources to make sure that all the provisions can be fully implemented.
My Lords, I sincerely thank the noble Baroness, Lady Burt of Solihull, for her work in taking this important Bill through the House. The noble Baroness has been patient and has shown great pragmatism—I think we have used that word a few times—in the progression of this Bill to help tackle workplace harassment. It is an honour to be here to confirm the Government’s ongoing support. We believe it is important that everyone feels safe and able to thrive in the workplace.
The noble Baroness asked me how the EHRC will enforce the new duty—that is important. The EHRC’s regulatory approach for any new duty will include producing a statutory code of practice based on its current technical guidance in the area and a mechanism for employees and employee representatives to be able to notify the EHRC of breaches and potential breaches of the preventative duty. It will also be able to use powers under the Equality Act 2006 to undertake strategic litigation, investigation and enforcement activity to target systematic non-compliance with the preventative duty, in accordance with the litigation and enforcement policy. On how that will be funded, I will write to the noble Baroness.
The Bill will help the Government to deliver their commitment to introduce the employer duty as part of the violence against women and girls strategy. The employer duty will send a strong signal to employers that they need to take action to prioritise prevention of sexual harassment and, ultimately, to improve workplace practices and culture. I thank all noble Lords and organisations who raised important issues in the debates and discussions throughout the Bill’s progression through the House. I believe this Bill now strikes the right balance between protecting free speech and tackling harassment. While there has been much debate and amendments have been made to the Bill, I think we can all agree that workers should feel safe and be free from sexual harassment in the workplace. Therefore, I hope the Bill can progress with the full support of the House today.
(1 year, 1 month ago)
Lords ChamberTo ask His Majesty’s Government in what year they expect to reach their target of building 300,000 new homes a year.
My Lords, we are continuing to work towards our ambition of delivering 300,000 homes a year. This has always been a stretching ambition and we have made strong progress. The three highest rates of annual supply in more than 30 years have all come since 2018. We are aware that increasing supply even further will be made more difficult due to the economic challenges we face, but we are engaging with Homes England, developers and registered providers to understand their delivery challenges.
I am grateful to my noble friend, but has she read the leader in last Saturday’s Times? It said of the Government’s housing target:
“That goal has now been sacrificed on the altar of appeasing rural Conservative backbenchers fearful of a backlash in their green and pleasant constituencies”,
and concluded:
“The political calculations of the Tory party are in danger of strangling Britain’s housebuilding industry, retarding economic growth and depriving young people of the affordable homes they so desperately need”.
Can my noble friend confirm that this controversial policy, which was launched in a consultation document last December and has not yet been adopted, might be amended in light of the widespread criticism that it has now generated?
Yes, I have read the Times article. We are carefully analysing the many detailed responses we received to the consultation and expect to respond formally later in the autumn. It is worth making it clear to my noble friend that the proposals in the consultation are not government policy. My noble friend should also be reassured that, as I have said before, the Government remain committed to our ambition of delivering 300,000 new homes per year. The proposals in the consultation are designed to support areas to get more local plans in place. That will deliver more housing and stop communities being exposed to development by appeal.
My Lords, for some weeks we have heard scare stories that 100,000 new homes are blocked by the rules on nutrient neutrality. I am therefore glad that the Government have debunked that myth with their recent explainer, which states that only 16,500 homes are currently impacted. By comparison, Savills estimates that 150,000 homes are land-banked in 2021, and Homes England sits on 250,000 more new homes. Given those numbers, is there any real justification for the Government’s assault on the habitat regulations, the health of our rivers and their own good environmental reputation?
Yes, there is, my Lords. The 16,500 figure is annual, while the 100,000 figure is between now and 2030. The Government have put in place a package of mitigation that will allow us to deal with nutrient neutrality not as a sticking plaster, stopping housing being built, but by dealing with the issues at source. If the noble Earl reads the mitigation circumstances, he will see what we are doing and how much we are investing in that.
My Lords, I found the Minister’s reply rather disappointing. I appreciate the ambition, but it is the implementation that is the major problem. Drastic cuts of funding to social housing have resulted in many households in need being trapped in the private rented sector, and the number of affordable homes is just not meeting that need. Current conditions have meant that private sector building has flatlined, but social housing builders can be countercyclical and, with the right investment, could do so much more. The Government will reach their target only by investing massively in social homes. Do the Government and the Minister agree with that? If not, can she please explain how that target will be met?
My Lords, the Government are committed to increasing the supply of affordable housing, which is why, through our £11.5 billion Affordable Homes Programme, we will deliver tens of thousands of affordable homes for sale or rent across the country. The levelling up White Paper committed to increasing the supply of social rented homes, and a large number of the new homes delivered through our Affordable Homes Programme will be for social rent.
My Lords, I thank the Minister for that answer about affordability, but I wonder what steps the Government are taking to ensure that the definition of affordability is a good one. Could we redefine it so that it means affordable for most local people in that community, and look at what that is doing to house prices generally in each area?
We had a debate on this quite recently on the Levelling-Up and Regeneration Bill. Through the consultation on the NPPF, we are looking at affordable housing and, when we have finished that consultation and looked at the results, we will consider it further.
My Lords, the work done on the National Planning Policy Framework by my noble friend Lord Pickles, Brandon Lewis and Greg Clark was in my view one of the major achievements during the coalition, because it provided a sensible balance between a stick and a carrot, with local authorities producing a plan and a mechanism for the Government to step in if they did not. This led to a significant increase in the land supply. With the changes that have taken place in the last few months, the mood music is completely different. Local authorities know that applications to appeal are quite futile. A disastrous thing has happened. What do the Government intend to do about it? If they do nothing, the 300,000 target will be pure fantasy.
I quite agree with my noble friend about the importance of the NPPF. That is why we are consulting on it, will review it when we have the results of the consultation and will come back out to consult on our further ideas on how we can update it—we cannot leave it there in aspic for ever. By doing that and by the measures in the Levelling-up and Regeneration Bill to modernise the planning system, we will deliver more houses through local plans and hit the 300,000 target.
My Lords, I have relevant interests in this Question. Councils’ local plans incorporate their share of the national housing targets. Can the Minister explain how national housing targets can be achieved when more than 60% of local councils do not have an up-to-date local plan?
The noble Baroness is right: we need more local plans. That is how we will deliver more houses. We know from evidence that local planning authorities that have local plans deliver more houses. That is why we have the Levelling-up and Regeneration Bill, are changing and simplifying making local plans and will insist that local authorities deliver local plans. If they do not, we have measures to push them to do so.
My Lords, in her response to the debate on housing targets during the Report stage of the Levelling-up and Regeneration Bill, the Minister stated:
“To get enough homes built in places where people and communities need them, a crucial first step is to plan for the right number of homes”.—[Official Report, 6/9/23; col. 426.]
The National House Building Council’s statistics show a dramatic decline in registrations in quarter 2 across most regions, compared with the same quarter last year; it was down 67% in the north-west, for example. It is going in the wrong direction. What is the Government’s plan to ensure that local targets meet that 300,000 homes target?
As I said to my noble friend Lord Young of Cookham, we are in an economic situation that is not as favourable for housebuilding as it was, and therefore we have to work with Homes England, developers and local planning authorities to ensure that we give all the support we can, reinvigorate the housing market and get these houses built.
My Lords, when house prices fall, as they are doing now, big building firms tend to sit on their balance sheets and play the waiting game. That is very bad news for new homes as big builders now have a 90% share of the UK market while SMEs have seen their share collapse from 40% to less than 10%. Does the Minister agree that this market domination is stifling competition and is bad news for the supply of new homes?
I absolutely do. We need to spend more time with our SME housebuilders. The levelling-up home building fund is providing £1.5 billion in development finance to SMEs and builders for exactly this reason: to support them to build more homes. The Levelling-up and Regeneration Bill is making changes to support SMEs, making the planning process much faster and more predictable for them so that they can stay in business and build more houses.
(1 year, 2 months ago)
Lords ChamberTo ask His Majesty’s Government what steps they are taking to protect renters in the private sector who are seeking help with energy-saving improvements from eviction.
My Lords, the Government are committed to ending Section 21 no-fault evictions. We introduced the Renters (Reform) Bill in the other place to do this. Without the fear of retaliatory eviction, once Section 21 is abolished, tenants will be more empowered to act within their legal rights, complain about unacceptable standards and seek improvements. Private rented properties should be warm and decent, and we have several schemes to support energy-saving improvements to provide this.
Does the Minister agree that the balance is wrong if, according to a report by Generation Rent, nearly 40% of fuel-poor households rent privately but only 14% of energy company obligation grants help them in any way? Will the Minister ensure that the Renters (Reform) Bill protects tenants from either eviction or prohibitive rent rises if they get these grants? That is surely urgent, and important above other tenures.
I agree. I looked at the figures showing where private renters were utilising the Government’s grants for energy efficiency in their homes, and I think we should be spending more time trying to improve take-up. The Renters (Reform) Bill is important because it will deliver a fairer, more secure and higher-quality private rented sector. It will deliver the Government’s commitments to a better deal for renters, as well as for landlords, by improving the system for responsible tenants and the good-faith landlords who are in the majority.
My Lords, many families are paying the price in higher energy bills because of the failure to improve the energy efficiency of homes. Cold homes could also have a serious impact on public health, given that 4% of UK homes have a serious damp problem and 17.5% of the UK’s population has been diagnosed with a form of asthma. Has the department carried out any assessment of the savings which could be made to the long-term NHS budget by increasing the energy efficiency of UK homes? The Minister may need to write to me on this.
I do not have that information with me but I will certainly look at it and write to the noble Baroness. However, the Government are investing £12 billion in Help to Heat schemes. As I said to the noble Baroness, Lady Grender, it is sad that not enough private rental landlords are taking up those grants. We also have the ECO Plus scheme—the GB insulation scheme—for which both tenants and landlords can apply. In the energy security strategy, the Government have just announced zero-rated VAT for the next five years on the installation of insulation and low-carbon heating. It is important that landlords know what is available and that tenants ask them for it.
My Lords, I welcome what my noble friend said on the Renters (Reform) Bill, but what action is being taken to address the delays in the courts that are asked to process cases relating to tenancies?
My noble friend is absolutely right about the court system: it is too slow. On difficult cases that escalate to the courts—not all of them do—we are working with the judiciary, the Ministry of Justice and HMCTS to target areas that frustrate proceedings, including through digitising more of the court process to make it simpler and easier for landlords to use.
My Lords, the system is just not working. It relies on the tenant applying for a fuel poverty grant and, as is clear from the statistics that my noble friend just gave, that simply is not working. These perverse incentives are working against each other and not helping the poorest in society. Are there any plans to review this, because it is so obviously not working? What did the Minister make of the Secretary of State’s remarks that he wants to relax the pace of energy-efficiency standards in the private rented sector, given that it has the fewest decent homes?
We are still committed to raising efficiency from band E to C by 2028 and will keep the fuel poverty grant under review. I think the important issue, as I said in response to the noble Baroness, Lady Grender, is the grants that will make private rented properties more energy efficient in the first place.
(1 year, 2 months ago)
Lords ChamberMy Lords, Amendments 193 and 194 in the name of my noble friend, Lord Lansley, seek to require plan-making to include the strategic priorities of the authority and to ensure that a local plan can include policies relating to achieving sustainable economic growth. The Government want the planning system to be truly plan-led, to give communities more certainty.
The Bill provides clear requirements for what future local plans must include. This replaces the complex existing framework, which includes the requirement at Section 19(1B) of the Planning and Compulsory Purchase Act 2004 for authorities to
“identify the strategic priorities for the development and use of land”
in their areas. There is nothing in the Bill to stop authorities including strategic priorities and policies in future local plans. Indeed, our recently published consultation on implementing our plan-making reforms proposes that plans will need to contain a locally distinct vision that will anchor them, provide strategic direction for the underpinning policies and set out measurable outcomes for the plan period. Likewise, on the specific subject of sustainable economic growth, we are retaining the current legal requirement in Section 39 of the Planning and Compulsory Purchase Act 2004 for authorities to prepare plans with the objective of contributing to the achievement of sustainable development.
My noble friend Lord Lansley asked why the distinction between strategic and non-strategic was removed and whether the NPPF will be redrafted to reflect this. That distinction derives from previous legislation on plans, which the Bill will replace with clearer requirements to identify the scale and nature of development needed in an area. The NPPF will be updated to reflect the legislation, subject to the Bill gaining Royal Assent. In light of this, I hope that my noble friend will feel able not to press his amendment.
I turn now to Amendment 193A in the name of the noble Lord, Lord Best. This amendment seeks to require local plans to plan for enough social-rented housing to eliminate homelessness in the area. National planning policy is clear that local plans should, as a minimum, provide for objectively assessed needs for housing. In doing so, local authorities should assess the size, type and tenure of housing needed for different groups in the community, including those who require affordable housing. This should then be reflected in their planning policies. The Government are committed to delivering more homes for social rent, with a large number of new homes from the £11.5 billion affordable homes programme to be for social rent. We are also carefully considering the consultation responses to our proposal to amend national planning policy to make clear that local planning authorities should give greater importance in planning for social rent homes.
Tackling homelessness and rough sleeping is a key priority for this Government. That is why we will be spending more than £2 billion on homelessness and rough sleeping over the next three years. The Homelessness Reduction Act, which the noble Lord, Lord Best, was so influential in bringing forward, is the most ambitious reform to homelessness legislation in decades. Since it came into force in 2018, more than 640,000 households have been prevented from becoming homeless or supported into settled accommodation. We know that the causes of homelessness are complex and are driven by a range of factors, both personal and structural, and I fear that creating a link between local plans and homelessness reduction would add more complexity.
The noble Lord, Lord Best, asked why we cannot recognise housing need in local plans, particularly homelessness and affordable housing. The Bill already requires that plans set out policies for the amount, type and location of the development needed. I feel that it is a local issue, and the best way to ensure that we get the amount of particular housing needed in a particular area is for it to be put into local plans by local councils talking to local people. The noble Baroness, Lady Thornhill, asked how local needs are going to be assessed in the future and how they will be defined. This is another matter that will be considered when we update national policy. We need flexibility to address changes in circumstances, which is why policy is the best approach to this, rather than looking for definitions in legislation.
I move now to Amendment 199 in the name of the noble Lord, Lord Berkeley, and my noble friend Lord Young of Cookham. I thank the noble Lords for their amendment on this important matter. We recognise the importance of walking and cycling, and the role the planning system plays in enabling the infrastructure which supports active forms of travel. National planning policies must be considered by local authorities when preparing a development plan and are a material consideration in planning decisions. The Bill does not alter this principle and would strengthen the importance of those national policies which relate to decision-making. The existing National Planning Policy Framework is clear that transport issues, including opportunities to promote walking and cycling, should be considered from the earliest stages of plan-making and when considering development proposals. Proposals in walking and cycling plans are also capable of being material considerations in dealing with planning applications, whether or not they are embedded in local plans. Indeed, the decision-maker must take all material considerations into account, so there is no need to make additional provision in law as this amendment proposes.
The Government are delivering updates to the Manual for Streets guidance to encourage a more holistic approach to street design which assigns higher priorities to the needs of pedestrians, cyclists and public transport. We are also working closely with colleagues in the Department for Transport to ensure local transport plans are better aligned with the wider development plan.
The noble Lord, Lord Young, asked if the NPPF policy requiring a high bar to refuse proposals on transport grounds will be changed. As he knows, we have committed to a full review of the NPPF, part of which will need to look at all the aspects of policy, including how best to provide for walking and cycling.
I move now to government Amendments 196C, 196D, 201B, 201C and 201D. These are consequential on Clause 91 and Schedule 7 to the Bill which, when commenced, will introduce a new development plans system. They amend and supplement consequential amendments to Schedule A1 to the Planning and Compulsory Purchase Act 2004 made by Schedule 4 to the Bill relating to the creation of combined county authorities. The Schedule 4 amendments will mean that combined county authorities will be in the same position as the Mayor of London, county councils and combined authorities are currently in relation to the ability of the Secretary of State to invite those bodies to take over plan-making where a constituent planning authority is failing in its plan-making activities. The noble Lord, Lord Stunell, asked what will happen if they do not want to do so. I do not think we can force them, but there are a couple of things we can do if local authorities are not producing local plans in a timely manner or at all. For example, the Secretary of State will be a commissioner who could take over the production of the plans, or the local secretary of state could take that into his own hands. We are not going to force them, but it will be an offer they can make in order that their county combined authorities have the correct plans in place to shape their communities in the correct way.
In light of the new plan-making system being introduced by the Bill, a number of consequential amendments to Schedule A1 to the 2004 Act are already provided for by Schedule 8 to the Bill. Broadly speaking, they will update Schedule A1 to ensure that the provisions can operate within the new plan-making system. As such, in light of these wider reforms, these further amendments are needed to ensure that the new provisions which Schedule 4 to the Bill will insert into Schedule A1 are updated accordingly when the new plan-making system comes into effect. I hope noble Lords will support these minor and consequential changes.
Finally, the Bill ensures that neighbourhood plans will continue to play an important role in the planning system and encourage more people to participate in neighbourhood planning. For example, it will mean that future decisions on planning applications will be able to depart from plans, including neighbourhood plans, only if there are strong reasons to do so. While the Bill retains the existing framework of powers for neighbourhood planning, it will also provide more clarity on the scope of neighbourhood plans alongside other types of development plan. It amends the list of basic conditions set out in Schedule 4B to the Town and Country Planning Act 1990 which new neighbourhood development plans and orders must meet before they can be brought into force.
Amendment 197 would make corresponding changes to the basic conditions set out in paragraph 11(2) of Schedule A2 to the Planning and Compulsory Purchase Act 2004 so that the same conditions apply when an existing neighbourhood development plan is being modified. These changes are necessary to ensure that these neighbourhood plans receive consistent treatment.
I am most grateful to all noble Lords who participated in this rather important debate. From my point of view, in considering whether strategic policies should be distinguished from non-strategic policies in plan-making, I asked my noble friend a question and I got a reply. It is an interesting reply because by simply asserting that the local plan must include, in effect, all policies, my noble friend is saying that that is clearer than the present structure which distinguishes between strategic policies and non-strategic policies.
Noble Lords may say that we are all dancing on the head of a pin—I do not think so. The noble Baroness, Lady Taylor of Stevenage, made an extremely good point: identifying strategic priorities in a local planning authority’s local plan is a key component of creating spatial development strategies in a broader area. That would be extremely helpful.
None the less, what my noble friend has told me is going to be an interesting conclusion for people to draw. We are now told that the consultation draft of the National Planning Policy Framework, which was published on 22 December following the passage of this Bill in the other place, did not take account of what is in the Bill. This is rather interesting. It means that if we change the Bill, we can change the NPPF—which, from the point of view of my noble friend’s and other amendments, is a very helpful thought that we might take up. I do not think that the revisions that will follow to the NPPF will be as wide ranging as my noble friend implied, because that would mean that they would do away with much of what is written presently into the chapter on plan-making.
My Lords, I am grateful for the contributions made on this important issue. I reiterate at the outset that delivering more homes remains a priority for this Government, as the Prime Minister and the Secretary of State made clear in the long-term plan for housing, which they set out at the end of July.
Local plans play a crucial role in enabling new homes to come forward, which is why the National Planning Policy Framework is clear that all plans should seek to meet the development needs of their area. Nothing we consulted on at the end of last year changes that fundamental expectation. There will, however, be limits on what some plans can achieve, which is where I must take issue with Amendment 195, in the names of my noble friends Lord Lansley and Lord Young, the noble Lord, Lord Best, and the noble Baroness, Lady Hayman of Ullock.
Amendment 195 would place local plans under a legal obligation to meet or exceed the number of homes generated by the standard method prescribed by the Government. Amendment 200, in the name of the noble Baroness, Lady Hayman of Ullock, is designed to have a similar effect. While this is well intentioned, it would be unworkable in practice. Ever since the National Planning Policy Framework was introduced in 2012, it has been clear that plans should meet as much of their identified housing need as possible, but there are legitimate reasons why meeting or exceeding that need may not always be appropriate. For example, an authority with very extensive areas of green belt or which is largely an area of outstanding natural beauty or a national park may not be able to meet its identified housing need in full if we are also to maintain these important national protections. In these cases, there will be a need to consider whether any unmet need can be met elsewhere, which is something that our policies also make clear.
It is for this reason that our standard method for calculating housing need—or, indeed, any alternative method which may be appropriate in certain cases—can be only a starting point for plan-making, not the end. Mandating in law that the standard method figures must be met or exceeded in all cases would do significant harm to some of our most important protected areas and could conflict with other safeguards, such as the need to avoid building in areas of high flood risk.
It is also right that local communities should be able to respond to local circumstances. The changes to national policy which were consulted upon at the end of last year are designed to support local authorities to set local housing requirements that respond to demographic and affordability pressures while being realistic, given local constraints. However, let me make it clear: the Secretary of State’s Written Ministerial Statement, published on 6 December 2022, confirmed that the standard method for assessing local housing need will be retained. To get enough homes built in the places where people and communities need them, a crucial first step is to plan for the right number of homes. That is why we remain committed to our ambition of delivering 300,000 homes per year and to retaining a clear starting point for calculating local housing needs, but we know that the best way to get more homes is by having up-to-date local plans in place.
Amendment 196, in the name of my noble friends Lord Lansley and Lord Young, takes a different approach, obliging local planning authorities to have regard to any standard method and any national housing targets when preparing their local plans. I will put this more bluntly still: there is no question that we are about to let local authorities off the hook in providing the homes that their communities need. They need to have a plan, it should be up to date, it needs to do all that is reasonable in meeting the needs of the local area and, in response to the question asked by the noble Baroness, Lady Pinnock, it needs to look at different types of housing. They need to know how much housing is required for older people, younger people, families and disabled people. That is what their plan should have. We have discussed this with local authorities and will be working with them to ensure that that will happen.
A need to have regard to the standard method is already built into the Bill, as Schedule 7 requires local planning authorities when preparing their local plan to have regard to
“national policies and advice contained in guidance issued by the Secretary of State”.
That includes the National Planning Policy Framework, its housing policies, including those relating to the use of the standard method, and associated guidance. Adding a specific requirement to have regard to the standard method would have no additional effect as planning authorities will already take it into account and draft plans will be examined against it.
A legal obligation to take any national housing target into account, which this amendment would also create, poses a different challenge as it is unclear how plans at the level of an individual local authority could do so. This could create unintended consequences by creating an avenue for challenges to emerging plans on the basis that they have not done enough to reflect a national target and so could slow down the very plans that we need to see in place.
I hope that, taking these considerations into account, my noble friend Lord Lansley is persuaded not to move his amendment.
(1 year, 2 months ago)
Lords ChamberMy Lords, I will speak to my Amendment 244 in this group and I will then make brief comments on the other amendments. Amendment 244 is designed to cover an issue that arises almost at the intersection of planning and procurement. It can be the case that, where local authorities undertake major development, the nature of the planning system is such that the subsequent tender process will be enacted only for the totality of the development. Of course, the major contractors can subcontract works out, but this process does not always accrue maximum benefit to the local economy. Our amendment aims to ensure that whatever can be done at the stage of granting planning permission is done, to enable SME participation in, and engagement with, those contracts being achieved.
Amendment 217, from the noble Lord, Lord Lansley, applies a provision for “drop-in permissions”. We note that this is an acknowledged problem that may or may not require an amendment to planning law. I absolutely take the good point made by the noble Baroness, Lady Pinnock, about the provision of infrastructure where there is a drop-in permission, and we look forward to hearing the Minister’s view on whether the existing wording is sufficient to enable the necessary change to unblock buildouts on large sites.
In relation to Amendment 219, proposed by the noble Lord, Lord Lansley, we would of course support refusing permissions to those who have not made buildout applications previously; that is a welcome change. We greatly sympathise with the noble Lord’s point that doing this to someone with an undefined connection with the previous applicant is way too unspecific in terms of planning law, and who that undefined connection would be. We agree that this needs to be either tightened up or taken out altogether, because it could have unintended consequences if it is left in the Bill as it is.
Amendment 221, proposed by the noble Lord, Lord Carrington, recommends splitting planning applications into two stages for the purpose of encouraging rural economic development. We fully support the notion that anything that can be done within the planning system to encourage rural economic development should be done. But it is difficult to see how, in practical terms, a two-stage permission would work. There is already very strong provision and encouragement in the planning system for outline permissions to be submitted and then followed by detailed permissions for major developments. This is common practice, and I am sure rural areas are not excluded. I wonder whether that would be the type of process, or if there are things I am missing in the noble Lord’s amendment.
We were delighted to see Amendment 221A, proposed by noble Lord, Lord Goldsmith, relating to the provision of swift bricks. We very much enjoyed his enthusiastic and passionate advocacy in his introduction, and all speeches made by noble Lords in favour of this. The noble Lord’s amendment follows extensive public interest in introducing this step, which led to the public petition debate to which the noble Lord referred, and to very strong cross-party support. We note also that the Wildlife and Countryside Link is in favour of this measure, as are many recognised experts.
We believe that specifically including swift bricks as a measure in the Bill, to be incorporated in planning law, is justified because of the unique nature of these precious birds’ nesting habits. They add to the biodiversity of urban areas, and I am particularly keen that we support that. I grew up as a townie and the swifts and house martins were a real feature of my childhood growing up in a town. Their decline has been very visible and sad to see. If there is anything we can do to either halt that decline or hopefully turn it around, we should certainly do so. There is definitely a clear and present threat to these species. We hope the Government will accept this relatively a small step, which could make a world of difference to protecting our swift population, and that it will not be necessary for the noble Lord, Lord Goldsmith, to divide the House—but I hope he knows he has our full support in this amendment.
Amendment 282, in the name of the noble Lords, Lord Northbrook and Lord Bellingham, may relate to issues the Minister referred to in Committee. We comment only that, while we accept that notices published on local authority websites would usually be appropriate, of course there are other ways of drawing the public’s and stakeholders’ attention. We have some concerns about stating that anything must remain permanently on a website, but we understand his point.
My Lords, Amendment 217, tabled by my noble friend Lord Lansley, would allow regulations to permit variations to an existing permission, without rendering that permission void. We recognise that there is concern in the sector about the impact of recent case law, particularly for large-scale phased development. This is an issue which we have looked at very carefully.
Clause 104 already introduces a new, more flexible route to vary permissions: Section 73B, where the substantial difference test can cover notable material changes. To assist the understanding of the new provision, we propose to amend the headings in the clause to make this clearer and avoid misapprehension. Existing powers in the Town and Country Planning Act 1990 would allow us to deal with this issue through secondary legislation, so we do not consider that a further power would be required. Instead, we propose to engage and consult the sector as part of the implementation of Section 73B and, if further action were needed, we would consider the use of our existing powers if warranted. I hope my noble friend is sufficiently reassured not to press his amendment on this.
My Lords, this has been an interesting if short discussion which picks up on much of the debate that we had during Committee. I thank the noble Baroness, Lady McIntosh, for bringing this back to us again today.
One thing that came across very clearly when we debated this in Committee was that it really is time to review the status and look at the situation. It is important that we return to this. As the noble Baroness, Lady McIntosh, has said, now and previously, we have got the change of use from office to residential space in town centres, we have the problem of many empty town centre premises, and there have been a lot of changes on our high streets and in our towns in ways that we have not seen before. These challenges are particularly acute for the night-time economy.
The agent of change principle has been with us for some years. This is why it is important that we use this Bill to ensure that it is fit for purpose and doing what we need it to do. As we have heard, it is in the National Planning Policy Framework, but does the licensing guidance, as the noble Baroness said, reflect the principles of the NPPF itself? The NPPF needs to be fit for purpose, as well as the agent of change principle that sits within it.
I asked at Committee and would like to ask again: is the NPPF, when we get to see it, going to reflect the likely focus of future planning decisions on this? How is that all going to be taken into account? This is genuinely an opportunity to enshrine this principle in legislation and get it right. It needs to be fit for purpose and it needs to do what it is supposed to do: to protect both sides of the discussion and debate when you have change of use coming forward. As the noble Baronesses, Lady McIntosh and Lady Pinnock, said, we need to get this right and it has to have teeth—I think that was the expression that the noble Baroness, Lady McIntosh, used. We completely support her request for clarification on the legislative change referred to by the Minister in Committee and hope that we can move forward on this issue.
My Lords, Amendment 220 in the name of my noble friend Lady McIntosh of Pickering tackles the important agent of change principle in planning and licensing. There was substantial discussion around this topic during Committee, a lot of it setting out the important conclusions of the House of Lords Liaison Committee follow-up report from July 2022. This built on the post-legislative scrutiny by the House of Lords Select Committee on the Licensing Act 2003. I thank the committee for its work and will briefly summarise how the Government are meeting the aspirations of that committee.
First, the committee’s report called for licensing regime guidance to be updated to reflect the agent of change policy in the National Planning Policy Framework. This is why, in December 2022, the Home Office published a revised version of its guidance made under Section 182 of the Licensing Act 2003, cross-referencing relevant sections of the National Planning Policy Framework for the first time. The Government have therefore delivered on this recommendation.
Secondly, the committee set out that it believes that guidance does not go far enough and that the Government should
“review the ‘Agent of Change’ principle, strengthen it”.
Recommendations such as this are one of the many reasons why we are introducing national development management policies. In future, and subject to further appropriate consultation, NDMPs will allow us to give important national planning policy protections statutory status in planning decisions for the first time. This could allow the agent of change principle to have a direct statutory role in local planning decisions, if brought into the first suite of NDMPs when they are made.
Finally, the committee called for greater co-ordination between the planning and licensing regimes to deliver better outcomes. We agree that such co-ordination is crucial to protect affected businesses in practice and it is why the updated Section 182 guidance, published by the Home Office in December 2022, is a significant step forward. The Government are committed to ensuring that their policies which embed the agent of change principle are effective, but we do not think that additional legislative backing is needed at this time. As such, I hope that the noble Baroness will understand why, although we entirely support its intention, we will not support the amendment. With that, I hope that she will be willing to withdraw it.
My Lords, I am grateful to all those who have spoken and for the support from the noble Baronesses, Lady Pinnock and Lady Hayman of Ullock.
I recognise what my noble friend the Minister said in seeking to support the conclusions of the follow-up report of the House of Lords Liaison Committee, which in itself was very powerful, but I know that the industry and practitioners who appear before licensing and planning committees will be hugely disappointed that my noble friend has not taken this opportunity to give the agent of change principle legislative teeth. I record that disappointment. I would like to discuss with the Minister, bilaterally if I may, how NDMPs can have legislative effect if they are not in primary legislation, but that is something that we can take bilaterally.
I am disappointed for the industry and for practitioners that we have not got a mandatory statutory basis as a result of agreeing the amendment before us, but for the moment I beg leave to withdraw the amendment.
(1 year, 2 months ago)
Lords ChamberMy Lords, with the leave of the House, I shall now repeat the Answer to an Urgent Question given in the other place by my honourable friend Minister Maclean.
“Mr Speaker, the Secretary of State for Levelling Up tabled a Written Ministerial Statement yesterday on the Government’s plans, but I am happy to provide an update to the House. In proposing the amendments, we are responding to calls from local councils, which want the Government to take action to allow them to deliver the homes their communities need. The Government recognise that nutrient pollution is a real problem, but the contribution from new houses is very small compared with that from other sources such as industry, agriculture and existing housing.
We are already taking action to mandate water companies to improve their wastewater treatment works to the highest technically achievable limits. Those provisions alone will more than offset the nutrients expected from new housing developments, but we need to go further, faster. That is why, as well as proposing targeted amendments to the habitats regulations, the Government are committing to a package of environmental measures. Central to this is £280 million of funding to Natural England to deliver strategic mitigation sufficient to offset the very small amount of additional nutrient discharge attributable to up to 100,000 homes between now and 2030. We have also announced more than £200 million for slurry management and agricultural innovation in nutrient management and a commitment to accelerate protected site strategies in the most affected catchments.
In our overall approach, there will be no loss of environmental outcomes and we are confident that our package of measures will improve the environment. Nutrient neutrality was only ever an interim solution. With funding in place, and by putting these sites on a trajectory to recovery, we feel confident in making this legislative intervention”.
My Lords, the Statement asks why the Government took the decision to use the Levelling-up and Regeneration Bill for these amendments. I bring the House’s attention to the fact that on 11 July, I expressed our concerns about the Government’s approach to the proper and timely legislative scrutiny of the levelling up Bill. On that particular occasion, I was referring to the late addition, following Committee, of the Government’s decision to add in a whole raft of amendments on childminding.
Now, at an even later stage in the Bill’s progress, amendments that introduce significant changes to the habitats regulations have been tabled by the Government, limiting the ability for full parliamentary scrutiny and consideration. Does the Minister agree with me that the Levelling-up and Regeneration Bill appears to have become a dumping ground for anyone’s good—or bad—ideas? Does she also agree that, in order for these very important issues to receive proper scrutiny from your Lordships’ House, further time will have to be allocated? If not, how does she envisage that these key issues and others that are still to be debated will be dealt with in just one day next week, given that we have already agreed to start early at 11 am?
My Lords, I thank the noble Baroness for that. I understand her concerns, but this has been quite a complex issue to deal with. But it is an important issue; we need these measures to unblock housing, as well as other developments such as hotels and care homes, which connect to standard wastewater treatment works. This also covers, by the way, septic tanks. We need this; it has been complex and we have taken a little time to ensure to ensure that we are putting in the mitigation to deal with the environmental issues—not as a sticking plaster, as nutrient neutrality was, but at source. We have a Bill that is about levelling up; I think it is important that that Bill is used for this important issue. I am sorry; we will give noble Lords the required time, as we promised with the childcare amendments, to discuss this fully and I am sure we will get through the rest of the Bill in the time allowed.
My Lords, I declare an interest as chair of the Cornwall and Isles of Scilly Local Nature Partnership, but also as a director of Wessex Strategic, which has an interest in housebuilding—so I have a foot in both camps here. But I am very clear about which side I am on, and hats off to the Office for Environmental Protection for actually saying very robustly how this proposed change of legislation really stands as a regress of environmental law.
As chair of a local nature partnership—and my colleagues throughout England will have a similar issue—I can say that we are at the moment trying to persuade stakeholders to contribute to local nature recovery strategies. These are absolutely core in terms of what it says on the tin: nature recovery. That is on the Defra side, yet here in terms of levelling up we have the Government saying, “We’re not interested in that agenda; we actually want to change and regress environmental legislation”. So my question to the Minister is a very practical one: how do I and my colleagues as chairs of local nature partnerships persuade stakeholders —farmers, housebuilders, businesses and communities—to take local nature recovery strategies seriously when the Government are giving a completely different view on nature recovery?
I think you explain to people that we are building houses that people will need in the areas that that particular group works in, and that we do not accept that this constitutes a regression in environmental outcomes. The packages of environmental measures, backed by significant additional investment, will more than offset the very small amount of additional nutrient discharge attributable to those 100,000 houses. They should carry on the great work that they are doing. We should be building out those houses and at the same time investing in making sure that we are dealing with the environmental outcomes at source.
My Lords, I was speaking today with businesses which have been working with farmers and land managers to develop mitigation schemes that could be used by housing developers. They were, I think it would be fair to say, in a state of shock. The rug has literally been pulled out from underneath their business plans. They said that there are other ways in which the Government might have approached this. People have been working on the idea of a levy as an alternative and on the idea of changing the planning system so that housing developers could later in the process bring in mitigation schemes. What we have seen is a sudden nuclear option from the Government to just throw away what has been there without any kind of replacement. Can the Minister tell me whether the Government have considered these other proposals of a levy or of changing the way in which mitigation schemes come in, or have they just gone ahead with this single stroke without any consideration or consultation?
As I said to the noble Baroness opposite, this is why it has taken time. It has taken time to look at all the options. As far as farmers are concerned, the package that we are offering includes £200 million for slurry infrastructure grants, which are really important to farmers, and £25 million for nutrient management innovation. There is a lot of innovation going on, but farmers need support to be able to deliver it. I think farmers may not have seen all the information that is here, but I am sure that when they do, they will support it wholeheartedly. We know that agricultural outputs put a significant amount of nutrients into water—far more than small housing developments do—and we want to help farmers to deal with that.
I want to give an example of what has been stopped by this: a proposal for a change of use around a house in multiple occupancy in the Solent to include one additional resident was dismissed on appeal due to the additional nutrient pollution. That cannot be right. Another example, which was reported in the Times, is that of a retired couple who have struggled for seven years to convert barns on their Herefordshire property into four homes, including one for their son. The scheme received outline planning permission in 2016, but nutrient neutrality rules have left them unable to build to this day. We want those houses, but we also want to protect the environment, and that is what we are doing with these amendments.
What pressure are the Government putting on water companies to deal with pollution at source?
In the Levelling-up and Regeneration Bill we address pollution at source by placing a new statutory duty on water companies in designated catchment areas to upgrade wastewater treatment works by 2030. Interestingly enough, the analysis suggests that this will lead to about a 69% reduction in phosphorus loads and around a 57% reduction in nitrogen loads in total from wastewater treatment works across all the affected catchments, reducing a significant source of nutrient pollution and supporting the recovery of habitat sites most affected by this pollution. This is on top of the much wider improvements being driven forward through our plan for water.
My Lords, when the Minister introduced the Levelling-up and Regeneration Bill into this House on 19 December, in accordance with the Environment Act, she made a statement. I quote from the front page of the Bill:
“Baroness Scott of Bybrook has made the following statements under section 20(2)(a) and (3) of the Environment Act 2021 … In my view … the Bill will not have the effect of reducing the level of environmental protection provided for by any existing environmental law”.
Given that, as my noble friend Lord Teverson said, the Government’s statutory watchdog, the OEP, has said that the amendments that she has tabled to this Bill to reduce water quality will demonstrably reduce the environmental protection afforded by current laws and that they are a “regression”, does she stand by her statement?
Yes, I stand by our statement. As I think I have said before, we do not accept that this constitutes a regression on the environmental outcomes and therefore we do not agree with the Office for Environmental Protection, because it took into account the amendments without the mitigation alongside them, as I understand. The package of environmental measures, which are backed by significant additional investment, will more than offset that very small amount of additional nutrient discharge attributed to the development of 100,000 houses between now and 2030. So, I do not agree with the noble Baroness. I stick by what I said because we are mitigating any small amount of additional nutrient discharge.