Business Improvement Districts: Town Centre Renewal

Baroness Taylor of Stevenage Excerpts

Thursday 11th December 2025 Lords Chamber

[Lord Pitkeathley of Camden Town (Lab)]

My Lords, in begging leave to ask the Question standing in my name on the Order Paper, I draw the House’s attention to my register of interests.

[The Parliamentary Under-Secretary of State, Ministry of Housing, Communities and Local Government (Baroness Taylor of Stevenage) (Lab)]

My Lords, it is with some trepidation that I answer a Question from someone with as much experience in the subject as my noble friend. I thank him for the work he has done on BIDs across London, supporting the mayor to deliver 50 of them, and particularly for his work on the Camden and Euston BIDs.

This Government recognise the important role business improvement districts can play in supporting local growth and regenerating our high streets and town centres. In the Pride in Place Strategy, published on 25 September, we committed to raising the standards of BIDs by making them more transparent and accountable, consulting on the ballot process and legislating to expand property owner BIDs outside London. Further details will be published in due course.

[Lord Pitkeathley of Camden Town (Lab)]

I thank my noble friend the Minister for her reply. Does the English Devolution and Community Empowerment Bill offer an opportunity to strengthen and expand the role of business improvement districts within the devolved economic development frameworks, so that they can play a fuller part in accelerating town centre renewal? Within this, do the Government intend to give property owner BIDs, which my noble friend has already alluded to, a distinct and autonomous status separate from occupier BIDs to support more effective high street regeneration?

[Baroness Taylor of Stevenage (Lab)]

BID reform is not included in the English Devolution and Community Empowerment Bill. However, the Pride in Place Strategy included a commitment to give property owners a formal role in shaping local priorities by expanding property owner BIDs outside London as soon as parliamentary time allows. Landlords will be able to work with councils, tenants and communities to create thriving high streets and support growth across the country. We are aware of calls for property owner BIDs to operate separately from occupier BIDs and the policy is currently being refined, working with the sector. Further details will be published in due course.

[Baroness Pidgeon (LD)]

My Lords, the hospitality sector is the backbone of town centres. A 5% cut in VAT for hospitality businesses would give such a boost to our high streets. Does the Minister agree?

[Baroness Taylor of Stevenage (Lab)]

We have provided a great deal of support for small businesses, including those on our high streets. The Chancellor announced some steps in relation to business rates in the Budget recently. There are a number of steps in our small business plan to support those small businesses which operate on our high streets, including helping them to address their costs and constraints, creating a licensing regime that supports the growth of hospitality and night-time economies, and enabling them with local collaboration and capacity building, as well as addressing crime and anti-social behaviour on our high streets, which we know is a blight on those small businesses.

[The Earl of Clancarty (CB)]

My Lords, does the Minister acknowledge how important culture in the round is in this context? Has she seen the report Improving Places, produced by the Mayor of London, the Arts Council and King’s College London, which details, through case studies, everything from supporting artists’ studios to wider community events? This is so important for energising our cities and towns, and being an essential part of their social fabric.

[Baroness Taylor of Stevenage (Lab)]

I agree with the noble Earl. I have not seen the report he refers to, but I will take a look at it. I am sure, as we discuss the English Devolution and Community Empowerment Bill, that we will have lots of discussion about how to support communities as they promote arts and culture in their areas. As the noble Earl is aware, in the Bill we are extending the powers for local groups to register assets of community value and giving them a longer time to take the necessary steps to empower them with a community right to buy. We are taking those steps, and we understand the importance of those cultural assets on our high streets and in our towns. As we discuss this in the Bill, I am sure the noble Earl will work with us to develop it further.

[Lord Bellingham (Con)]

My Lords, further to the question from the noble Baroness, Lady Pidgeon, about the hospitality sector, is the Minister aware that pubs are a vital part of town centres and urban regeneration? So why did the Chancellor persecute pubs in her Budget, so much so that hundreds are now banning Labour MPs from going into them?

[Baroness Taylor of Stevenage (Lab)]

As I have already said, the Chancellor announced a number of steps to support our high street businesses as part of the Budget process, including steps on business rates. We are all focused on making sure that we do all we can to support the hospitality industry, including the licensed trade, and we will continue to do so. I am sure that, as those steps begin to take hold in our communities, we will see the hospitality industry and the licensed trade right in the heart of our town centres, as they always have been.

[Baroness Andrews (Lab)]

My noble friend the Minister will recognise that we have to reinvent the high street. We recently had a Built Environment Select Committee report on this, which set out a number of different policies through which this can be done. One of the most successful and easily within reach is to make sure that we have more public services, including diagnostic centres and housing offices. People are now almost inevitably directed to digital centres for those things, yet they are desperately keen to talk to people instead. Having argued with my own local council about bins recently, I know how relieved I was to talk to somebody who actually knew what a bin was. All this can be done easily, and it would revitalise the high street in a way that would benefit community members of all ages.

[Baroness Taylor of Stevenage (Lab)]

I absolutely agree with my noble friend. One of the benefits of local councils is that they do know what bins are—we are very familiar with that. I agree with her about the presence of both the public and private sectors in our public spaces. When I took part in the regeneration of my own town centre, we were very keen to make sure that we made best use of the public buildings there to generate footfall, while also encouraging the private sector to do the same for buildings with a huge diversity of uses. We know that there has been a visible decline in high streets, so we need to turn around that trend by fostering vibrant town centres and making sure that there are amenities, services, green spaces, a cultural offer and high-quality infrastructure.

[Lord Deben (Con)]

It is nonsense for the Minister to say that the Chancellor has helped the hospitality industry. The industry is up in arms because the Chancellor has increased the costs of employment and of the goods it sells, thereby damaging the sector considerably. To say that, somehow or other, her Budgets have helped is frankly not true.

[Baroness Taylor of Stevenage (Lab)]

The Chancellor is committed to making sure that our small businesses are supported. As I said, we have produced our small business plan, which has a huge number of measures to help small businesses. We continue to work with the small business sector to make sure both that we find out what is getting in the way of it developing and that we smooth the path for the improvements it wants to see.

[The Lord Bishop of Southwell and Nottingham]

My Lords, has the Minister considered the significance of historic church buildings in city centre revitalisation? In my diocese, for instance, the recent renewal of St Mary Magdalene Church in Newark has not only repaired the grade 1 listed building but significantly developed the town’s cultural and economic vitality. There is uncertainty about the future scheme for VAT relief for listed churches, and the cap introduced last year affected long-planned projects around the country. What assessment have His Majesty’s Government made of the impact of that and of continuing the scheme beyond March next year without the cap?

[Baroness Taylor of Stevenage (Lab)]

I greatly value the role played by religious buildings from all denominations in our public spaces, and the right reverend Prelate was right to refer to some of the development that has taken place. The Pride in Place Strategy sets out how we will deliver £5 billion over 10 years to 244 neighbourhoods, which means that our communities can take part in developing their neighbourhoods in a way that is right for them. We will deliver £20 million of funding and support to be spent by local neighbourhood boards, and we are encouraging all members of the community, including community organisations, to get involved with those boards to drive local renewal. We will then have a separate pride in place impact fund, which will deliver a cash injection of £150 million to an additional 95 places, to be spent to improve high streets and community spaces.

[Baroness Scott of Bybrook (Con)]

My Lords, although business improvement districts work hard to revive our town centres—for which we thank them—many of them face tightening fiscal environments, despite the previous answers from the Minister. Business rates are rising, employers are dealing with higher national insurance contributions and the freeze in personal tax thresholds compounds pressures on local workers—and this coupled with costly local government reorganisation. Do the Government believe that this combination of rising costs and administrative upheaval is helping or hindering town centre renewal and local growth? What assessment have they made of the impact of these measures on our town centres?

[Baroness Taylor of Stevenage (Lab)]

The local government reorganisation that is taking place will create more resilient and stronger local councils, which will be able to support their communities with the suite of activity that we have provided in the pride in place funding, to make sure that they are developing and that the community spaces they value are being supported and developed in a way that is right for them. Local government has been absolutely denuded of funding over the past 14 years, so I will not take any lessons on how to support local government from the Tory Benches in this House. It is really important that we get local government on a firm footing with its funding, so that it can support the local communities that have felt that their high streets have been neglected for far too long.

Planning and Infrastructure Bill

Baroness Taylor of Stevenage Excerpts

Consideration of Commons amendments and / or reasons
Wednesday 10th December 2025 Lords Chamber

Moved by

[Baroness Taylor of Stevenage]

That this House do agree with the Commons in their Amendment 33C.

33C: Leave out lines 7 to 9

[The Parliamentary Under-Secretary of State, Ministry of Housing, Communities and Local Government (Baroness Taylor of Stevenage) (Lab)]

My Lords, it is a pleasure to see the Planning and Infrastructure Bill return to this House for the final time. After today’s debate, the Bill will soon conclude its passage through Parliament and will thereafter become law. It will drive investment and productivity, and facilitate a step change in the delivery of the new homes and critical infrastructure our country so desperately needs.

This legislation will create certainty and speed up the process for consenting nationally significant infra- structure. It will create a new sustainable model for development and nature recovery, and establish mechanisms for effective cross-boundary strategic planning. We can and must do things differently, and this Bill will enable us to do so. That is why we have been so determined to ensure we can make use of its provisions as soon as possible and why I am delighted that, following today’s debate, it will shortly become law.

We have already debated at length the intention behind Amendment 33, proposed by the noble Lord, Lord Lansley. Following our debate last week, the Government tabled an amendment to give effect to this change, which will now see the first set of regulations for the national scheme of delegation be subject to the affirmative procedure. I am pleased to say that, on Monday, the other place agreed to the government amendment which gives effect to that change, removing the unnecessary provisions in Amendment 33 in respect of future regulations, for which there are already powers in the Town and Country Planning Act 1990.

I thank the noble Lord, Lord Lansley, for his continued engagement. This change, alongside existing safeguards built into the legislation, will ensure that an appropriate amount of parliamentary scrutiny is able to take place on these provisions ahead of implementation. Given that this House has already confirmed its agreement with the noble Lord’s amendment, I trust it will now lend its support to Motion A. I beg to move.

[Lord Lansley (Con)]

My Lords, as the mover of the original Amendment 33, I am grateful to the Government for accepting the substance of that amendment. I therefore agree with Motion A to agree to the Commons’ further amendment. I heartily endorse what Minister Pennycook said in the other place on Monday: it is now about getting on with using the powers that are available under this and previous legislation. I wish the Government well in that endeavour.

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[Baroness McIntosh of Pickering (Con)]

My Lords, I congratulate the Minister on accepting such a sensible amendment. She was kind enough to write to me about non-hazardous reservoirs. She said in that letter that the regulations and guidance will be kept under review. I urge her to use her good offices to ensure that both Houses will be able to review that. I once again record my huge disappointment that the non-hazardous reservoirs legislation will not come into effect before 2028, which is far too late, given the impact. Reservoirs are operating below capacity already, and the deficit we will face in Yorkshire over the next year especially is deeply regrettable.

[Baroness Taylor of Stevenage (Lab)]

My Lords, I thank all noble Lords who contributed to this short debate. The question from the noble Baroness, Lady McIntosh, is possibly out of scope of the Motion before us, but I am always happy to meet with her and discuss this further. She has a detailed letter from me today explaining the Government’s position.

I will very briefly address the points made by the noble Baroness, Lady Pinnock. It is vital that, in exercising democratic oversight, planning committees operate as effectively as possible—as I know she knows only too well—by not revisiting the same decisions and focusing on applications which require member input. The Government want to make sure that skilled planning officers in local authorities have the right level of trust and empowerment to resolve more applications more quickly in the service of residents and businesses, and that our planning professionals are fully supported in their role, with their skills and experience put to best use. I know she will be more than familiar with all those issues.

This will be my final time at the Dispatch Box speaking on this Bill. I am not going to say “thank goodness”, but we have had some very long discussions and sittings. I once again place on record my thanks to all noble Lords who have engaged with the Bill and the department through the Bill’s passage. The open and robust nature of our debates has undoubtedly strengthened the Bill.

In particular, I extend my heartfelt thanks to the noble Baronesses, Lady Scott and Lady Pinnock, the noble Lords, Lord Jamieson and Lord Roborough, and the noble Earl, Lord Russell, for the time they have given to engaging so thoughtfully on this critical legislation. I also thank all the civil servants and the staff of the House, who have sometimes had to work very late on the Bill. I very much look forward to working with noble Lords as we take forward the implementation of the Bill, which will be a major step in the Government’s reform programme. The House should be under no doubt that we intend to move quickly over the coming months so that we can realise the full benefits of this legislation.

Motion A agreed.

English Devolution and Community Empowerment Bill

Baroness Taylor of Stevenage Excerpts

2nd reading
Monday 8th December 2025 Lords Chamber

Moved by

[Baroness Taylor of Stevenage]

That the Bill be now read a second time.

[The Parliamentary Under-Secretary of State, Ministry of Housing, Communities and Local Government (Baroness Taylor of Stevenage) (Lab)]

My Lords, I first extend my thanks to the many noble Lords with whom I have already spoken about this Bill. I am grateful for their engagement with this very important legislation. I know that a number of noble Lords have been closely engaged in delivering front-line services over the years, so I would like to take this opportunity to thank all those in this House who have taken part in that. We know that our residents greatly value the services that impact their daily lives. This whole Bill will bring that decision-making closer to the areas and communities that it impacts.

This Government were elected on a manifesto to deliver change. We are determined to transform our economy and our country through a decade of reform that delivers better public services and growth in every community and every corner of our country. Many hard-working communities that are the backbone of our economy have been neglected for far too long. They have seen good jobs disappearing, their high streets in decline and the dream of a decent home pushed even further out of reach.

Rebuilding these foundations is central to this Government’s mission, but we will not achieve our goals unless we fundamentally change the way our country is run. That means handing power back to local people, who know their areas best, so they can make decisions on what really matters to their communities. This is what the English Devolution and Community Empowerment Bill will do—drive the biggest transfer of power out of Whitehall to our regions and communities in a generation. The Bill will make devolution the default setting. It will give mayors new powers over transport, planning, housing and regeneration; rebuild local government so that it can, once again, deliver good local services that people can rely on; and empower local communities to have a bigger say in shaping their local area.

Strategic authorities are at the heart of this change. The Bill is creating strategic authorities as a new category of authority in law. They will make it easier for local leaders to work together over larger areas to drive through big, pro-growth projects such as integrated transport networks and housing. Crucially, the Bill will give new strategic authorities powers to pilot and request new functions, with government having a duty to respond to requests by established mayoral strategic authorities. Strategic authorities will operate at three levels: foundation, mayoral and established mayoral, and the Bill will define the powers and responsibilities of each of those levels.

Working alongside parliamentarians and local councillors, mayors will drive forward the delivery of people’s priorities, igniting growth and unlocking opportunities for their local area. That is why the Bill will give them wide-ranging new powers in areas such as transport, planning and economic development, which have a real impact on people’s lives. For example, mayors will be able to intervene in strategic planning applications to unlock housing, and there will be powers for all strategic authorities to license shared cycle schemes so that they work for everyone and we do not see bikes strewn across all our pavements.

The Bill will also see more mayors take on police and crime commissioner functions and become responsible for fire and rescue authority functions, allowing them to take a joined-up approach to improving public safety. They will also be able to appoint commissioners to support them as their responsibilities grow, similar to the way this works in London.

The Bill is the floor, not the ceiling, of the Government’s ambition and we have already demonstrated how seriously we take mayors’ rights to request new powers. We announced at the Budget that mayors will be given the power to raise revenue locally through a new overnight visitor levy, and we are consulting on whether to also grant this power to foundation strategic authorities. This is a ground-breaking step for the future of devolution, with transformative investment potential for England’s tourism sector and the wider economy. This Government are committed to giving mayors the tools they need to drive growth and deliver for local people.

None of this reform can be achieved without strong local government. Councils are the bedrock of our state. They are critical to delivering local public services that people can rely on, but they have been neglected for too long. The Bill will help rebuild local government as a “fit, legal and decent” foundation of devolution. It will establish the local audit office to help fix the broken, fragmented local audit system—nobody who has been in local government over the last few years will pretend the audit system is working properly.

We will also reform local authority governance by requiring councils with a committee system to move to a leader and cabinet model or, otherwise, undertake and publish a review on the decision, while putting a stop to new local authority mayor roles being created. This change will streamline decision-making across all councils, making it easier for people to understand how their council is run, while also respecting local democratic mandates where the committee system was adopted more recently following either a council resolution or a public referendum. In those cases, we will allow them to continue for the period that was voted for.

The Bill will also give the Government the tools to deliver local government reorganisation across England, resulting in better outcomes for residents and savings which can be reinvested in public services. I know that noble Lords have raised concerns about the powers we are taking in the Bill to incentivise local government reorganisation. To be clear, reorganisation is a crucial part of the Government’s mission to fix the foundations of local government, creating unitary councils that can deliver the high-quality services that all our residents deserve.

I assure noble Lords that we are fully committed to working in partnership with local areas. Our long-standing position remains: we will always seek to work with local areas on proposals for reorganisation brought forward by local areas. This Bill will enable the Secretary of State to direct areas to submit proposals to reorganise, but this power will only be used as a last resort when areas have failed to make any progress following an invitation.

As I have previously laid out, we want to give mayors the tools and opportunity to unleash the potential of their area with a more ambitious role and deeper powers. Each mayor will serve millions of people and manage multimillion pound budgets. This role has to be underpinned by elections that command public confidence. The Bill will revert elections for mayors and police and crime commissioners to the supplementary vote system after the May 2026 elections to provide greater accountability and a strong personal mandate. This was the voting system in place when mayors were first established, and it is the best system for electing people to single executive positions. In addition, the Bill will bar mayors from also sitting as MPs, ensuring that local places benefit fully from having dedicated local leaders.

We are not just giving mayors more power; we are also handing more control directly to the communities they serve. This Bill will give local communities a bigger say in shaping their place, with councils required to make sure that effective neighbourhood governance is in place. Communities will also have the tools to transform their high streets and neighbourhoods through a new community right to buy to save much-loved community assets such as pubs and shops from being lost, and to protect sports grounds, which are at the heart of so many communities and a source of great local pride. The Bill will also support our high streets by banning the unfair practice of upwards-only rent reviews, preventing the blight of vacant shopfronts. Every community should have the opportunity to thrive, and these measures are fundamental steps in achieving this.

I will now turn to a few amendments we made to the Bill in the other place. We have listened to parliamentarians and the sector and have introduced a modest number of amendments to ensure that the Bill functions correctly and delivers for local people. First, on London’s strategic licensing, I am sure noble Lords will agree that London’s pubs and restaurants are the beating heart of London’s cultural life. They contribute to our capital’s world-class status and to the growth of the economy. Yet for too long, hospitality businesses have been held back by a licensing regime that lacks proportionality, consistency and transparency. That is why we have brought forward amendments to establish a new licensing regime in London that will give hospitality businesses greater confidence and create the conditions for London’s night-time economy to thrive.

These amendments will also introduce a call-in power for the Mayor of London to determine borough licensing applications of strategic importance. The policy direction of the call-in amendment is clear. However, to ensure we fully digest any wider changes to the operation of licensing as a result of the call for evidence from the licensing policy taskforce—which closed on 6 November—we will bring forward more detailed amendments at a later stage in the Bill and we will continue to engage with noble Lords on this.

To support this Government’s commitment to deliver 1.5 million homes in this Parliament, we have taken steps to cut unnecessary and duplicative bureaucracy. Amendments have been introduced which will allow mayors to adopt a written representation procedure when determining certain planning applications of potential strategic importance and which remove the requirement that the local planning authority must consent to mayors of strategic authorities when making, revising or revoking a mayoral development order. However, I assure noble Lords that this change is not an attempt to bypass local planning authorities. Mayors will still have to bring them along as they will be crucial to delivering these orders. It is about empowering mayors so they can provide the strategic leadership that areas deserve.

We have also brought forward an amendment which will devolve the approval of lane rental schemes from the Secretary of State for Transport to mayors of strategic authorities, putting decisions in the hands of those with knowledge of their area.

On taxi and private hire vehicles, the Government recognise the challenges that the current licensing framework can cause, including inconsistent standards across the country and the practice of “out-of-area” working, where drivers choose to license in one authority area but work wholly or predominantly in a different authority area. As highlighted by the noble Baroness, Lady Casey of Blackstock, in her recent National Audit on Group-based Child Sexual Exploitation and Abuse, out-of-area working creates concerns in some authorities about the safeguarding standards applied to some of the drivers operating in their area. The Bill therefore creates a power for the Secretary of State to set national minimum standards for the licensing of drivers of taxis and private hire vehicles. Setting these licensing standards will help bring some consistency across licensing authorities.

Finally, we have taken concrete steps to ensure that local government members are able to perform their duties without fear for their own safety or that of their family. The world has changed a lot since I started being a councillor and this Government are clear that intimidation, harassment and abuse have no place in our democracy. This Bill puts it beyond doubt that a member’s, or co-opted member’s, home address should not be published by default. The amendment we introduced will also prevent the disclosure of home addresses when they are declared as interests at public meetings.

I know we all share a wish to set the sector on a firmer footing, ensure local government is fit, legal and decent, and empower communities to deliver real change and opportunities. We believe this Bill is a fundamental step in achieving this. By enabling the biggest shift of power from Whitehall to local areas in over a generation, this Bill will support the change residents expect and deserve: better joined-up delivery of public services, good jobs and politics being done with communities, not to them. I move the Bill.

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[Baroness Taylor of Stevenage (Lab)]

I thank noble Lords from all sides of the House for their excellent contributions. It has been an engaging and constructive debate and, for someone as passionate about devolution and local government as I am, it is heartening to hear that passion echoed around the Chamber. We may have different views on how we do things, but that passion for moving some of the powers and funding that are currently held in this little bit of London to local areas has been echoed today. We all know the pressure that the current system is under. It is not working in many places now, and it certainly is not sustainable for the future. We can see the signs of the system cracking all around us, and we need to move forward with this.

I will answer a couple of points made by the noble Baroness, Lady Scott of Bybrook, and the noble Lord, Lord Jamieson, before I start picking up particular detailed points in the Bill. The noble Baroness spoke about respect for local identity. These proposals have come from local government. We have not devised them in the office—there is no map-drawing going on in Marsham Street. That has been done by local people in their own areas. I will not take any lessons from the Tories, who dithered and delayed on local government review and devolution. They did some devolution, but they left huge areas of the country stranded from the increased powers and funding that some areas have benefited from. That cannot be right, and we need to address that now.

The accountability gap that the noble Baroness, Lady Scott, mentioned is there now; what we are doing is introducing locally elected mayors to provide local accountability for local decision-making. With the powers that will be devolved from Whitehall to those local mayors, they will have a powerful democratic mandate to take decisions on behalf of their residents. With the strong local authorities that will sit alongside them and the neighbourhood governance that will take that accountability to the very local level, this is an empowering Bill in terms of accountability, not the other way around.

The noble Baroness asked about funding. There is £200 billion of funding being devoted to this mayoral project, and that gives areas a real chance to make decisions on their own behalf. There are other powers, which I will come to.

The noble Baroness, Lady Scott, mentioned fiscal stability. Fiscal stability comes from having growth and investment in every part of our country, not just in the bits of it where it is decided that it will be. We will get that fiscal stability only where we are making decisions on growth and investment at local level. It is therefore very important that we take these steps now.

Just briefly on the noble Baroness’s point about adult social care—which is well made; we know that there are huge problems with adult social care—each of the proposals for local government reorganisation contains the area’s ideas of how to do the transformation to adult care services. With that local input and the work that the noble Baroness, Lady Casey, is doing, I think that we have a chance to make a real step forward on adult social care after a long time of waiting for that to happen.

I will endeavour to respond to different points in turn, but I would be happy to discuss topics of interest in detail in advance of Committee. The noble Lord, Lord Shipley, asked an important question about other government departments and how they are reacting to the Bill. I simply point to the huge amount of co-operation that we have had from other government departments on, for example, skills, transport, public health and prevention, policing and the fire service. There has been a great cross-governmental project to work on this. I have some of my fellow Ministers sitting on the Front Bench with me and I know that they will be working in their own departments on how we devolve these powers to the local level.

The noble Lord, Lord Shipley, also asked whether this devolution can really be delivered with local government finances in the state that they are. I very much regret that they are in that state, and we need to move that on. The answer to that question is that we simply cannot deliver the public services that people deserve and the growth that people need to see without making these changes. To the noble Baroness, Lady Bennett, I say that we absolutely understand the pressures: many of us have been very close to those pressures over the years, but we need to move this on now.

I say to the noble Baroness, Lady Janke, that mayors will have powers devolved from Whitehall, not upwards from local government. That is very important. We will have stronger, more sustainable unitary local authorities delivering services to local people. As my noble friend Lady Griffin very articulately pointed out, that will instead create the opportunities and growth that we need to see across our country. Of course, people are worried about change, but I point to the success that we have seen right across mayoral areas already. Those areas that already have mayors are making great strides forward with economic growth, housebuilding, skills, transport and infrastructure.

Let me be clear, particularly to the noble Viscount, Lord Trenchard, who I have spoken to on many occasions at Hertfordshire events as well as in this House, that the historic institutions, such as lords-lieutenant and high sheriffs, remain a fundamental part of local life and will continue to do so.

A number of noble Lords raised issues about the functions of local government. As I said, no one is drawing maps in Whitehall; they are being devised and owned by local people. This place-shaping goes right to the heart of the local government reform that the noble Baroness, Lady Pinnock, referred to. Devolution by default is the principle right at the heart of the Bill. As mayoral authorities grow and get more established, they can request more powers, as we have already seen our colleagues in Manchester and other mayoral authorities doing. The Bill sees our system of devolution move away from an ad hoc and inconsistent model, replaced with a model where it is clear what places can access, when they can access it and under what conditions. Our new system of conferring functions on levels of strategic authority is devolution by default, which will streamline the devolution of functions. All areas can be confident about the functions they will receive and, as the framework deepens over time, they will know that they will have access to the new powers as they are introduced.

I am very grateful for the examples of great local action that we have heard. My noble friend Lady Elliott is right that accountable responsible mayors must have the funding that they need to deliver local outcomes and the right framework to demand further powers when they are ready to take them. The noble Baronesses, Lady Scott, Lady Shephard, Lady Bennett and Lady Maclean, and the noble Lord, Viscount Trenchard, all spoke about issues relating to the establishment and the expansion of functions. The Government have been clear that devolution can deliver growth, unlock investment and deliver the change that the public want to see. That is why we want to see more parts of England benefit from devolution. Our engagement with councils to date has demonstrated that there is real appetite for this devolution across England, and the Bill will streamline the process for establishing new strategic authorities. It is our strong preference for devolution to be locally led.

However—and I hope this addresses some of the points about the powers that we have put into the Bill to deal with issues through ministerial-led routes—there are powers providing those routes to establish or expand strategic authorities or provide a strategic authority with a mayor. I reassure the noble Lord, Lord Storey, and others who have raised this issue that these powers will be used only where no local agreement can be reached, where this cannot be moved forward at a local level. We much prefer this to be done at a local level, and this measure will definitely be a last resort. The powers will be subject to conditions and statutory tests and will not be commenced automatically. Instead, they will be commenced by regulations only when Ministers consider it necessary and we will ensure that Parliament has the opportunity to engage further on this matter.

My noble friend Lord Bassam’s points on pace are noted. I thank him for all the work that he did in Brighton. I agree that we need to establish stable unitary authorities as the foundation for devolution, and I am grateful for his comments.

As it has been mentioned in the debate many times, I will briefly refer to the devolution priority programme mayoral elections. Although we had a Question on it earlier, it is important to reiterate those comments, as they were questioned by the noble Baronesses, Lady Scott and Lady Shephard, and the noble Lord, Lord Wallace. The noble Lord, Lord Lansley, spoke about the importance of pace in the devolution priority programme associated with this, and the noble Lord, Lord Pack, mentioned this as well. Of course, we are committed to this extension of devolution and, for Cumbria, Cheshire and Warrington, the first mayoral elections for the new strategic authorities will take place in 2027, as those local authorities had already requested that that be the date for them. For Norfolk and Suffolk, Greater Essex, Sussex and Brighton, and Hampshire and the Solent, which are all areas that currently have two tiers of local government, we have announced that we are minded to hold the first mayoral elections for those areas in May 2028, because we know mayoral devolution is most successful when mayoral strategic authorities are underpinned by strong unitary councils. Therefore, holding elections for new mayors in 2028 will allow enough time for the reorganisation process to conclude and unitary councils to be well established.

On the issue of why culture and heritage are not included in the competence list—the noble Lord, Lord Shipley, the noble Baroness, Lady Prashar, and my noble friend Lady Griffin mentioned this—the current list of thematic policy areas is deliberately broad and is intended to allow a wide range of activities to fall within the scope of the areas of competence. Many initiatives relating to culture, heritage and tourism would naturally be encompassed within the economic development and regeneration area of competence. Strategic authorities will remain key players in supporting culture and heritage initiatives locally. Many are already using their existing powers to support culture, heritage and tourism.

The noble Baroness, Lady Prashar, raised important points about the ability of local government, confidence in its institutions and how that can drive community cohesion. She is absolutely right to raise that, which is why it is important that these institutions are stable and people have confidence in them. The noble Lord, Lord Ravensdale, mentioned the environment, which is the specific competence of mayors, and energy, which is the subject of new powers over local growth plans and strategic planning.

The issue of the appointment of commissioners was mentioned by the noble Baronesses, Lady Scott and Lady McIntosh, and the noble Lord, Lord Shipley. I think that the noble Lord asked why they are not local government leaders. They can be local government leaders if that is the way that the mayor decides to take this. Local authorities will have critical new functions to undertake. They require representation on national bodies and joint working. It is not realistic to expect a mayor to do all this on their own. That is why mayors will be able to appoint and remunerate commissioners to lead on one of seven areas of competence, helping to increase the capacity in their strategic authorities. The noble Baroness, Lady McIntosh, asked about rural communities in this respect. Mayors can set an expectation that one or all of their commissioners should focus on rural issues. This is rightly a local decision.

The noble Lord, Lord Fuller, and many other noble Peers raised issues around local government funding. We are making good now on long-overdue promises to fundamentally update the outdated funding system and its decades-old data. We are targeting money where it is needed most by properly accounting for local need and equalising local income. We are giving local authorities greater flexibility and certainty as we simplify the more than 30 funding streams that were there when we came into office, worth almost £47 billion through the first multi-year settlement in a decade. Giving local authorities that certainty over funding, and over multi-year settlements, is critical here. We will publish the local authority allocations later in December and they will be subject to consultation and the usual parliamentary process.

On mayoral combined authority precepts, to empower mayors to deliver change in their communities, they need to be able to spend money effectively. Previously, mayors could use their precept only to raise money for mayoral functions. This did not cover some areas vital to growth, such as adult skills provision. The Bill will allow mayors to spend money raised through the mayoral precept across the whole of an authority’s function. The introduction of a precept will need to be approved through the budget voting process within each strategic authority.

On council tax, we are committed to empowering local leaders to drive growth and deliver for their communities, without placing excessive tax burdens on people. We are delivering the long-awaited local government funding reforms and the multi-year settlements, and we are consulting on modernising and improving the administration of council tax, to make the system fairer, more efficient and more transparent. That package builds a more sustainable, accountable and locally empowered system that focuses on the needs of communities.

There has been a broad agreement that local audit reform was needed. I agree with my noble friend Lady Armstrong that audit is essential for public confidence. When the whole-government accounts cannot be cleared because of the issues with local government funding, something has to change. Local audit is vital for ensuring trust and confidence that taxpayers’ money is being used wisely. We have acted decisively to clear the backlog, but significant further reform is needed. Last December, we published a strategy and consultation on measures to outline a road to recovery and set the system up for long-term, sustainable success. The Bill delivers core elements of this strategy, creating a clear statutory remit for the local audit office to oversee and streamline the system. I hope that picks up the points that noble Lords mentioned.

The noble Baronesses, Lady Bennett and Lady Pidgeon, my noble friend Lady Armstrong and the noble Lord, Lord Evans, all mentioned the scrutiny of combined authorities and local public accounts committees. All combined authorities will be required to establish both overview and scrutiny committees, and audit committees. Beyond these structures, the current system of accountability and scrutiny is guided by the English Devolution Accountability Framework and scrutiny protocol. We are reviewing both documents to reflect the changes brought forward by the integrated settlement and the Bill. We recognise that there is scope to further strengthen the system of accountability and scrutiny for mayoral strategic authorities. That is why we committed in the White Paper to exploring models for local public accounts committees and local accounting officers. We are committed to strengthening accountability alongside the strengthened devolution offer, and we will confirm our policy approach in due course.

The noble Baronesses, Lady Scott, Lady Janke, Lady Bennett and Lady McIntosh, and the noble Lord, Lord Wallace, among others, mentioned the important issue of our parish and town councils. The Government value the role that town and parish councils play; they are an important part of local democracy. There are no plans to abolish town and parish councils or to change their powers. Our plans on neighbourhood governance in the Bill are about hardwiring community engagement into local authorities themselves. Parish councils will be an important partner in creating stronger, more responsive neighbourhood governance, as will the whole range of grass-roots groups that support community empowerment. I hope that answers the point raised by the noble Lord, Lord Addington, about community groups and their engagement in this. It is for local authorities to determine whether new parish and town councils are needed, and this is done through the community governance review process.

The noble Baronesses, Lady Scott and Lady Griffin, and the noble Lord, Lord Wallace, raised issues around community empowerment. Of course, communities need power returned to them. We want to empower local leaders so that they can better affect the decisions impacting on their areas. That is why we are giving communities stronger tools to shape the future of their local areas, such as the new community right to buy, to help protect against the loss of cherished local assets. Some 350 of the most deprived communities are receiving funding from the Government. This includes the 75 plan for neighbourhoods areas and 25 new trailblazer areas, which will receive £20 million in funding over the next decade, including the pride in place funding. There is a clear ambition to hardwire that community engagement into this new system.

On the neighbourhood governance plans, the noble Lord, Lord Wallace, talked about removing powers from local areas. It is the opposite of that; we are creating a clear neighbourhood governance system for local authorities to hardwire community engagement and neighbourhood working into their governance. The goal of that neighbourhood governance is to move decision-making closer to residents. Decisions about local communities should be made by people who understand local needs. That is why we are introducing a new requirement for all local authorities to make appropriate arrangements for the effective governance of local neighbourhood areas.

The noble Lord, Lord Fuller, and the noble Earl, Lord Devon, raised issues about rural versus urban. Like the noble Lord, Lord Jamieson, I will not get involved in the cream and jam debate. I am afraid the planning Bill and the English devolution Bill are quite controversial enough for me; I will not get involved in a debate about scones. The Government recognise that neighbourhoods across England are diverse, and that rural and urban communities have different needs and characteristics. Through the review of existing council-led neighbourhood governance models, we are working closely with local authorities and the community sector to understand what works best in different contexts.

The noble Lords, Lord Best and Lord Lansley, raised important issues around mayoral development corporations. I agree with the noble Lord, Lord Best, about the value of the New Towns Taskforce report and Sir Oliver Letwin’s report relating to master planning and development corporations. That is why the Bill extends to all mayors the power to create mayoral development corporations, to drive economic growth and regeneration. Mayoral development corporations will benefit residents by delivering new homes, better transport and economic opportunities, revitalising areas for future generations.

I can see I have run out of time. I am sorry; I knew I would not get through all this, but I will respond in writing to any noble Lords whose questions I did not get to. I will conclude my remarks now. I reiterate my thanks to your Lordships for their engagement with the Bill to this point. I thank the noble Lord, Lord Porter, for raising the issue of the District Councils’ Network and the County Councils Network, which have contributed hugely to the work going forward and to briefing noble Lords.

As the Bill progresses, I am happy to accommodate any requests from noble Lords for meetings or additional briefings wherever helpful. As I have set out earlier today, this ambitious legislation will deliver top to bottom redistribution of power, putting decision-making in the hands of local areas and delivering real change for working people. With this Bill, the Government will deliver on our manifesto commitment to empower local leaders and mayors to unlock growth and opportunities right across our country by making the right decisions for the communities they serve. I look forward to working with your Lordships during the passage of this legislation. I commend the Bill to the House.

Bill read a second time.

Moved by

[Baroness Taylor of Stevenage]

That the bill be committed to a Grand Committee, and that it be an instruction to the Grand Committee that they consider the bill in the following order:

Clauses 1 to 4, Schedule 1, Clauses 5 and 6, Schedule 2, Clauses 7 to 9, Schedule 3, Clauses 10 to 20, Schedule 4, Clauses 21 to 23, Schedule 5, Clause 24, Schedule 6, Clause 25, Schedule 7, Clause 26, Schedule 8, Clauses 27 and 28, Schedule 9, Clauses 29 and 30, Schedule 10, Clause 31, Schedule 11, Clause 32, Schedule 12, Clause 33, Schedules 13 and 14, Clause 34, Schedule 15, Clause 35, Schedule 16, Clause 36, Schedule 17, Clause 37, Schedule 18, Clause 38, Schedule 19, Clause 39, Schedule 20, Clauses 40 to 43, Schedule 21, Clauses 44 to 46, Schedule 22, Clause 47, Schedule 23, Clauses 48 to 50, Schedule 24, Clauses 51 and 52, Schedule 25, Clauses 53 to 57, Schedule 26, Clauses 58 and 59, Schedule 27, Clauses 60 and 61, Schedule 28, Clauses 62 and 63, Schedule 29, Clauses 64 to 73, Schedule 30, Clause 74, Schedule 31, Clause 75, Schedule 32, Clauses 76 to 84, Schedule 33, Clause 85, Schedule 34, Clauses 86 to 93, Title.

[Baroness Taylor of Stevenage (Lab)]

I beg to move.

[Baroness Scott of Bybrook (Con)]

I understand that there has been no agreement in the usual channels for the Bill to be committed to a Grand Committee. I put on record that it is very disappointing that the Government have tabled this Motion without the agreement of the usual channels.

[Baroness Taylor of Stevenage (Lab)]

My Lords, my noble friend the Chief Whip consulted the usual channels in the usual manner. I am also aware that he spoke to some key Peers with an interest in the Bill.

Motion agreed.

Local Elections

Baroness Taylor of Stevenage Excerpts

Monday 8th December 2025 Lords Chamber

[Baroness Scott of Bybrook (Con)]

My Lords, three weeks ago, in this Chamber, the Minister assured the House that the Government intended to go ahead with all local elections in May 2026. What has changed in just three weeks? Were local government and the Electoral Commission consulted on these changes?

[The Parliamentary Under-Secretary of State, Ministry of Housing, Communities and Local Government (Baroness Taylor of Stevenage) (Lab)]

I am grateful to the noble Baroness for her question. All local government elections that are scheduled for 2026 will go ahead unless there are exceptional circumstances. These elections, which are inaugural elections for four new mayors in the areas concerned, have not taken place before, and my colleagues have taken the opportunity to reflect on the most effective way of ensuring that those mayoral institutions are best placed to deliver.

We know that mayoral strategic authorities are most successful when they are built on a strong history of partnership and joint delivery. Moving forward, we are seeking to facilitate the establishment of those foundational strategic authorities to build the local capacity and collaboration that is needed ahead of accessing mayoral powers. We think that this will make them stronger in the long run and make sure that those authorities are built on firm foundations. That is why the decision has been taken to have those mayoral elections in 2028. My colleague, Minister Fahnbulleh, spoke to all local authorities on 3 December.

[Baroness Pinnock (LD)]

My Lords, the move to compulsory unitary authorities, at the same time as creating mayoral authorities, is clearly causing confusion and delay. Cancelling elections denies electors their fundamental right. Councillors remaining in office for seven years when elected for a four-year term is simply not acceptable. Can the Minister set out in detail, in writing if necessary, a clear timetable going forward for all those authorities affected?

[Baroness Taylor of Stevenage (Lab)]

We must not conflate the two things. The devolution programme, which is working at pace, and the local government reorganisation process are running side by side, but they are not the same thing. That is why the decision has been taken to postpone mayoral elections in the four priority areas until 2028. The other two areas in the priority programme will have their mayoral elections in 2027, as they had already requested and as had already been decided. On other elections taking place, elections due in 2026 in county councils in those areas concerned will take place. Three of the areas are elected by thirds anyway, so they will have their elections as usual, and the district council elections that are due to take place in 2026 and 2027 will take place as scheduled.

[Lord Bassam of Brighton (Lab)]

My Lords, does the Minister agree that it is far better to get the structures of local government right and produce good-quality public services than it is to become overly obsessed with the cancellation of elections? Obviously, cancelling elections is never highly desirable, but all Governments have had to do this from time to time when faced with the prospect of reorganising local government and trying to improve what it delivers.

[Baroness Taylor of Stevenage (Lab)]

I agree with my noble friend, and I am slightly puzzled about the giggling from the other side of the Chamber, because this is an important lever in devolution for delivering growth and prosperity for our communities. We want to bring local transport back into public control to make people’s daily commutes easier, tailor local skills and training to employers’ needs so that people can get good jobs, and drive the regeneration of our local areas so that people feel proud of the places they live in. In order to do that important work, we need established local unitary authorities as the component parts of a strategic authority. That is why the decision has been taken to get those authorities set up properly. Funding will be available to them to start the work, and then the mayors will be elected in 2028.

[Lord Fuller (Con)]

My Lords, the Government are committed to a pattern of unitary government by the next election in 2029. If these mayoral elections are to be delayed until 2028, what is the pattern for the rest of the unitisation in the remainder of this Parliament? What steps will be taken to make sure that equality of electoral representation, which in the shires is about 9,000 electors per councillor, is equated in London, Birmingham, Manchester and the mets, where it is currently 3,000?

[Baroness Taylor of Stevenage (Lab)]

My Lords, the programme of local government reorganisation outside of the priority programme is proceeding at pace. We have received proposals from all the areas that were invited to put in their proposals by 28 November. We are now out for consultation, which has already started, and we will make announcements on that by March next year. The timetable for that further devolution and local government reorganisation will be announced, and the timetables will come forward then. I pay tribute to all my former colleagues in local government, who have worked together in a fantastic way to pull together these proposals. Some of them have told me that it has been a positive experience, which is good to hear. It is good to see them working together in such a collaborative way.

[Lord Grocott (Lab)]

Does my noble friend, with her long and distinguished experience of local government leadership, agree that, all too often, major local government reorganisations take longer than anticipated, cost more than anticipated and deliver fewer savings than anticipated? With that knowledge, which I am sure she is aware of in approaching her current duties, will she at least undertake to keep the House informed of any cost implications in extending the period of office of existing local authorities and any other associated costs?

[Baroness Taylor of Stevenage (Lab)]

I thank my noble friend for his question. I am always willing to come before the House and explain the impact of our programmes on local government. We remain committed to extending devolution to all corners of England. Under the last Government, we had a patchy and inconsistent approach, which meant that some areas were moving forward quickly on this and others had not even started the journey. Our commitment is to extend that devolution to all corners of England. We confirmed on 4 December the long-term funding offer for the six areas on the devolution priority programme, and we have committed close to £200 million collectively per year for 30 years to those new mayoral strategic authorities—some of that funding will be released earlier. This is really important. In my long experience in local government, we have put off these decisions around local government for far too long, and we have ended up with local government that is not sustainable for the long term. It is time to change that now, and I am committed to doing that. I am happy to report back to the House on how that is going.

[Baroness Bennett of Manor Castle (GP)]

I declare an interest in that the Green Party candidates were already working hard in these four elections and at least two of them had a good chance of winning next year. The MHCLG has said that Ministers still intend to lay the statutory instruments for the creation of the four mayoral strategic authorities as soon as possible to allow an interim period of preparation before the delayed mayoral elections. These areas will, at that time, have access to some powers, functions and funding. Will the Government clarify what this means in practice and what powers and functions will be available during the interim period?

[Baroness Taylor of Stevenage (Lab)]

Yes, I am very happy to do that. The strategic authorities are being set up and we will have no delay in laying the statutory instruments—it is very important that those statutory instruments go ahead as quickly as possible. Those mayoral strategic authorities will have a number of functions available in the interim period to their mayoral election to make sure that they are working to encourage the investment that we all want in their areas. I will write to the noble Baroness with the detail but, just to run through quickly, they will have a general power of competence; a duty to develop a local growth plan; power to pay grants to constituent councils; power to borrow to an agreed cap; adult skills function powers; a health improvement and health inequalities duty; functions to acquire land, provide housing and build infrastructure; and responsibility for public transport and local transport planning. There is a lot for them to be getting on with.

[Lord Hayward (Con)]

My Lords, when we discussed these elections the other day, the Minister, for whom I have great respect, suggested that I was dancing on the head of a pin. I am a little surprised that, only a few days later, she should be coming forward and dancing on the head of possibly a very different pin. Does she agree with the comment in the other place from the Labour MP for Oldham West, who said

“we need to be better than this”?—[Official Report, Commons, 4/12/25; col. 1166.]

Local leaders across the political spectrum have worked in good faith. They have put aside self-interest and differences and have done everything asked of them to secure a better settlement for the people they represent. They reasonably expected the Government to do the same. Why have the Government not done the same?

[Baroness Taylor of Stevenage (Lab)]

I am very grateful to my honourable friend in the other place for all the work that he did in laying the ground for this local government reorganisation and the devolution programme. He is very committed to it, as I know only too well, having worked with him very closely. However, it was right that, when the new team came in, they took a step back and had a good look at this. I do not think that I am dancing on the head of a pin in terms of elections. All the elections that were due to take place in 2026 will take place; these are four inaugural elections for new mayors. It is right that we build that strong foundation of those unitary authorities before we go ahead with the mayoral elections.

Water and Sewerage Companies: Statutory Consultees

Baroness Taylor of Stevenage Excerpts

Thursday 20th November 2025 Lords Chamber

[Baroness McIntosh of Pickering (Con)]

My Lords, I beg leave to ask the Question standing in my name on the Order Paper and refer to my interest as an officer of the All-Party Water Group.

[The Parliamentary Under-Secretary of State, Ministry of Housing, Communities and Local Government (Baroness Taylor of Stevenage) (Lab)]

My Lords, water companies must by law provide new water and sewerage connections to housing through drainage and wastewater management plans. As relevant statutory undertakers in the nationally significant infrastructure project regime, they must be consulted on relevant applications for development consent. The Government’s forthcoming guidance will promote early engagement with them. The Government have paused creating new statutory consultees in the Town and Country Planning Act regime. As part of a wider review, a consultation on streamlining this system is under way, with decisions to follow.

[Baroness McIntosh of Pickering (Con)]

My Lords, I am grateful for that Answer. It begs the question how the Government plan to build major housing developments of 300,000 a year, many of them on flood plains with no sustainable drains, with the additional demands of the new data centres and mindful of the Environment Agency’s national framework for water resources, giving the acute warning of a deficit of water of 5 billion litres by 2050. Do the Government agree that we need to end the automatic right to connect, so that where water companies say there is simply no capacity, the development will not go ahead?

--- Later in debate ---

[Baroness Taylor of Stevenage (Lab)]

I thank the noble Baroness for her constant interest in this subject through many of the pieces of legislation that she and I have debated across the Chamber. There is no automatic right to connect to a sewerage system. Section 106 of the Water Industry Act allows a sewerage undertaker to refuse a proposed connection to its public sewer system, which is otherwise a statutory right. Refusal is possible—and would be subject to an appeal to Ofwat—only when the mode of construction or condition of the sewer does not satisfy the undertaker’s reasonable standards, or where the connection would otherwise prejudice the system. I appreciate her great interest in sustainable drainage systems. As she knows, we are pursuing that for new developments with our colleagues in Defra.

[Baroness Bakewell of Hardington Mandeville (LD)]

My Lords, we desperately need new housing, but avoiding flooding is also essential. Internal drainage board levies make up a significant proportion of the budgets of some local authorities, which often have to cut off other services to fund the IDB levy. The IDB’s work ensures that communities are safe, so that essential housebuilding can go ahead. Pumping stations are run on electricity, the cost of which has risen exponentially since the introduction of Ofgem’s targeted charging review. The Government announced £5 million for councils this year. That is short term, so what is the Government’s long-term solution to this pressing problem?

[Baroness Taylor of Stevenage (Lab)]

I have been greatly involved in the issues around internal drainage boards and the constant tensions in their financing over the years. Internal drainage boards are not statutory consultees, but they work proactively with local authorities, which are represented on their management boards and can comment on proposals within the statutory consultation period. Where an internal drainage board raises issues that are material to the determination of an application in question, local authorities must take these into account. We are working at pace to deliver the renewable electricity and other energy we all need, to help reduce costs for householders and businesses alike.

[The Duke of Wellington (CB)]

My Lords, the Minister, in her reply to the noble Baroness, Lady McIntosh, mentioned Ofwat. The Independent Water Commission, which reported in July, recommended the abolition of Ofwat and the institution of a new regulator. I realise that this falls under a different department, but would the Minister be prepared to accelerate the start of the new regulatory regime? It seems to be in everyone’s interest that this should happen sooner rather than later.

[Baroness Taylor of Stevenage (Lab)]

We were very grateful for the work of the Independent Water Commission. As the noble Duke says, it is not my department that is working through the procedures needed to reply to the recommendations. The Government are considering the recommendations on whether water companies should be statutory consultees or subject to a requirement to notify. A water White Paper will be published before the end of this year, and I am sure that it will contain many of the issues that were the subject of those recommendations. People will be able to comment on the water White Paper in due course.

[Baroness Buscombe (Con)]

My Lords, is the Minister aware of how many pumping stations are either completely inoperable or malfunctioning?

[Baroness Taylor of Stevenage (Lab)]

That too is probably a question for my Defra colleagues to answer, but I will come back to the noble Baroness with a written response.

[Baroness Jones of Moulsecoomb (GP)]

My Lords, we are seeing more erratic weather patterns and some increasingly severe floods. Is the plan for sustainable drainage systems speeding up? Will we see that in the water White Paper?

[Baroness Taylor of Stevenage (Lab)]

The recent issues in Monmouthshire—we are terribly sorry for the people there; they have had a dreadful time over the past few days—make us even more determined to support the delivery of high-quality sustainable drainage systems to help us manage flood risk and adapt to the effects of climate change. National planning policy therefore makes it very clear that developments of all sizes are expected to make use of sustainable drainage techniques where the development could have drainage impacts. I have seen some fantastic examples of that when visiting housing sites around the country. Not only can it be done, but in a way that enhances the environment for local residents. We are considering what further changes need to be made to planning policy.

[Lord Spellar (Lab)]

My Lords, in looking at the system of regulation, can we consider that Ofwat’s failures are not in isolation? Many regulatory authorities in this country are showing similar failings, although sometimes in slightly different manifestations. Do we not need not only individual changes, but to look at the whole regulatory system—not just to change legislation but to change the whole culture of these bodies?

[Baroness Taylor of Stevenage (Lab)]

Of course our regulatory system is important in helping and supporting the management of the development of the number of new homes we want to deliver. But we have taken a step back to look at the statutory consultees within the planning system—the moratorium was announced by the Chancellor in January—so that we can take account of some of the feedback we have had that the statutory consultee system is not working as well as it should. The Statement confirmed to the House a number of steps that the Government have taken to improve those statutory consultee arrangements—and that includes some of the regulators—including limiting the scope of those consultees to apply only where advice is strictly necessary.

[Lord Jamieson (Con)]

My Lords, does the Minister agree that water and sewerage companies and undertakings should fully engage with local plans and spatial development strategies as statutory consultees, so that these issues can be addressed up front at the strategic level rather than having to do it on a site-by-site basis? That would speed up the planning process and deliver better outcomes.

[Baroness Taylor of Stevenage (Lab)]

I agree with the noble Lord that early engagement with the local planning authority, the Environment Agency and the relevant water and sewerage companies, as appropriate, can help establish whether there will be water and wastewater issues that need to be considered. We expect water and sewerage companies to take a strategic approach to planning their water services, accounting for growth and the needs of the environment. There must also be strong collaboration between local authorities and water companies, so that local plans, water resources management plans, and drainage and wastewater plans align.

[Baroness Fookes (Con)]

Is it correct that the Government’s housebuilding target can be reached only if flood plains are used for building—and is that not a practice to be deprecated?

[Baroness Taylor of Stevenage (Lab)]

The National Planning Policy Framework is very clear that housing and most other types of development should not be permitted in functional flood plains—that is, in flood zone 3b—where water must flow or be stored during floods. Where development is necessary in such areas, it should be made safe for its lifetime without increasing flood risk elsewhere, so there must be no displacement of the risk. In 2023-24, 96% of all planning decisions complied with the Environment Agency advice on flood risk. In the same year, 99% of residential development proposals also complied with that advice.

Infrastructure Planning (Business or Commercial Projects) (Amendment) Regulations 2025

Baroness Taylor of Stevenage Excerpts

Thursday 20th November 2025 Lords Chamber

Moved by

[Baroness Taylor of Stevenage]

That the draft Regulations laid before the House on 15 October be approved.

Relevant document: 39th Report from the Secondary Legislation Scrutiny Committee (special attention drawn to the instrument). Considered in Grand Committee on 18 November.

Motion agreed.

Planning and Infrastructure Bill

Baroness Taylor of Stevenage Excerpts

3rd reading
Monday 10th November 2025 Lords Chamber

Moved by

[Baroness Taylor of Stevenage]

1: Clause 65, page 105, line 4, at end insert—
“(8A) The Secretary of State must make regulations setting out the appropriate prioritisation, by Natural England, of the different ways of addressing any negative effect of development on a protected species or on a protected feature of a protected site when—(a) preparing an EDP, or(b) considering requesting an amendment to an EDP.”Member’s explanatory statement
This amendment would place a requirement on the Secretary of State to make regulations setting out a prioritisation of the different ways in which the negative effect of development which may be subject to an EDP may be addressed. The regulations would apply to Natural England when preparing an EDP or considering an amendment to an EDP.

[The Parliamentary Under-Secretary of State, Ministry of Housing, Communities and Local Government (Baroness Taylor of Stevenage) (Lab)]

My Lords, the nature restoration fund is a key part of the Government’s vision for a planning system that delivers for both nature and people. Throughout the passage of the Bill, we have worked with Peers and wider stakeholders to ensure that everyone can be confident that, by taking a different approach, we can unlock better outcomes for nature. While the NRF proposes a different approach, this will be available only where there is clear evidence to show that this strategic approach will deliver better environmental outcomes.

In creating this new approach, we have developed the overall improvement test to ensure that EDPs deliver more than would be achieved under the current system, going further than offsetting impact and supporting the restoration of sites and species, in line with our wider ambitions. While it is right that we focus on outcomes, we have been clear that Natural England will of course carefully consider not only what is achieved but how it is achieved. That is why the Bill provides Natural England with the tools it needs to take action to avoid and reduce the impact of development, as well as deliver proactive conservation measures that will materially outweigh the impact of development on the relevant environmental feature.

While we are clear that the Bill will allow Natural England to take appropriate actions to deliver on the overall improvement test, in moving to a strategic approach there is a need to articulate how the principles of the existing mitigation hierarchy are expressed through the new system. I am very grateful to the noble Baronesses, Lady Parminter and Lady Grender, for their continued work with the Government to ensure that there is clarity as to how Natural England will consider the different ways of addressing any negative effect of development, including how such actions should be prioritised when developing an EDP.

This will not affect the experience for developers, nor the speed with which EDPs can come forward, but will provide transparency as to how Natural England will undertake the preparation of an EDP and how it should prioritise the actions available to it to deliver the overall improvement test. This amendment will allow the Government to bring forward regulations setting out the appropriate prioritisation of actions taken to address the negative effect of development through an EDP.

I also wish to bring to the attention of the House a minor and technical correction to Clause 120 to remove a previous government amendment that was accidentally agreed on Report. That consequential amendment made provision for the commencement day of a substantive government amendment that would change the Secretary of State’s powers to issue holding directions to local planning authorities, which your Lordships defeated on Report. We have therefore removed the consequential amendment from the Bill.

While on my feet, I want to address a couple of further points following our debates on Report, raised in particular by the noble Lord, Lord Roborough. The first relates to the noble Lord’s request for an assurance that CPO powers under the Bill will not be misused and for clarification as to how these powers, and the purchase of land by public authorities more broadly, engage with the Crichel Down rules.

Where land acquired by or under a threat of compulsion by a non-departmental public body is surplus to requirements, there is an expectation that it will be offered back to the former owners or their successors. This expectation is established in case law and the procedure for offering land back is set out in the Crichel Down rules. This ensures that where the land is genuinely surplus following purchase by a public body, it will be made available to former owners. As we move forward with implementing the Bill, we would be happy to work with relevant stakeholders to consider how best to improve awareness and understanding of these rules.

Through the passage of the Bill, concerns have been raised on the behaviours surrounding the use of CPO powers. The Government have been clear that authorities using CPO powers should undertake engagement with all landowners to identify the impacts of their schemes, along with the mitigation measures that can be implemented. This advice was included in the latest update of the Government’s guidance on compulsory purchase, which was published in January this year.

The Government have listened carefully to the debates in the House and will continue to work with stakeholders to promote best practices to drive out bad behaviours and to ensure that the needs of landowners are fully considered. In addition, we will review the Government’s guidance and plain English booklets on compulsory purchase to ensure that they are as robust and clear as possible.

On compensation, the availability of advance payment of compensation is important to ensuring that landowners receive payment where they have been unable to reach agreement on the total amount of compensation due. Authorities are advised to ensure that prompt advance payments are made—otherwise, interest on the total compensation due will increase, resulting in the overall cost of development being higher.

The Government have been clear that the CPO reforms in the Bill do not target farmers or any other type of landowners. Nothing in the Bill changes the core principles of compulsory purchase. It must be used only where negotiations to acquire land by agreement have not succeeded and there is a compelling case in the public interest.

Finally, another area raised by the noble Lord, Lord Roborough, was in respect of the role of the private sector and landowners delivering the nature restoration fund. As set out in the recent all-Peers letter, EDPs create new opportunities that will help to grow nature service markets and support revenue diversification for farming and land management businesses. As committed to in Committee, the Government will publish guidance for Natural England regarding the role of the private sector in EDPs. This guidance will be clear that open and competitive procurement of goods and services is typically the best way to secure value for money and innovation. We will expect Natural England to preferentially adopt competitive procurement approaches for EDPs wherever possible, recognising that in some instances direct delivery will be necessary.

I hope that this provides reassurance that the NRF presents opportunities for landowners and private providers to work with Natural England to deliver high-quality nature services. I beg to move.

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Moved by

[Baroness Taylor of Stevenage]

2: Clause 120, page 171, line 17, leave out paragraph (d)
Member’s explanatory statement
This amendment removes an amendment to the commencement clause which was made in error at Report Stage as it related to an amendment inserting a new clause which was not agreed.

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Moved by

[Baroness Taylor of Stevenage]

That the Bill do now pass.

[Baroness Taylor of Stevenage (Lab)]

My Lords, to make a few brief comments to the noble Lord, Lord Lansley, we have discussed the implementation of the issues contained in the levelling-up Act before; however, it would probably help noble Lords if I write a letter setting out when those provisions come into place—I hope that will help all noble Lords. In terms of the noble Lord’s question about the hierarchy and how it would be employed, we wanted to be very clear that the mitigation hierarchy lives in this model but has to be expressed in a different way given this move to a strategic approach. We have debated that many times before. The different levels of the hierarchy do not neatly map on to the different types of conservation measures available under an EDP, so we will use regulations to set out how those principles are expressed through the NRF. If I can comment further on the issue raised by the noble Lord, I will write to him or arrange a meeting between us.

I am very grateful to all noble Lords for all their engagement and contributions during the passage of this landmark piece of legislation, the Planning and Infrastructure Bill. It is a complex piece of legislation. I have been very grateful for the expertise around the House, which, in the best tradition of this House, has helped to make the Bill better. We have debated the Bill at length and into the early hours on many occasions over the past six months, with many thoughtful and considered contributions. I say a special thank you to my noble friends Lady Hayman of Ullock, Lord Khan of Burnley, Lord Wilson of Sedgefield—he has arrived from his horrendous train journey just in time to hear me thank him—and Lord Hendy of Richmond Hill for their steadfast support in taking this Bill forward. I know they echo my thanks to Members across this House.

I also thank my honourable friend in the other place, the Minister for Housing and Planning, who has taken a lot of time to talk to Peers about their concerns. I am grateful in particular to the Opposition Front Bench, namely the noble Baroness, Lady Scott of Bybrook, and the noble Lords, Lord Jamieson, Lord Roborough and Lord Blencathra, for their robust and constructive engagement throughout the passage of the Bill. In a similar vein, I also thank the noble Baronesses, Lady Pinnock, Lady Parminter and Lady Grender, and the noble Earl, Lord Russell, for their continued engagement and contributions during the debate.

Many noble Lords have generously lent their time and expertise, including many here around the Chamber, and I am very grateful to all of those who have contributed. While there may be disagreement on some of the issues we have debated, I know we all share the same aim of unlocking economic growth and getting this country building again. I believe that we are in broad agreement that this Bill represents a critical milestone in achieving this objective, alongside doing what we can to enhance our environment as we go on that journey.

Finally, I am very grateful to all the officials and members of the Bill team, who have worked tirelessly on this Bill behind the scenes: Holly Harper, Isabelle, Lucy, Tom, Daria, Fatima, Guy and Sam. I of course thank my brilliant private office, without whom I would not be doing anything. I also pay tribute to all the parliamentary staff, including the clerks, doorkeepers, security, Hansard and the Public Bill Office, many of whom have stayed late—sometimes very late—as we debated this Bill into the early hours.

[Baroness Coffey (Con)]

My Lords, I know that the Commons will consider amendments to this Bill on Thursday. I genuinely hope that the Government strongly and carefully consider the contributions noble Lords have made during this Bill, particularly on Amendment 130, put forward by the noble Baroness, Lady Willis of Summertown.

On the advice of the clerks, I speak at this point to put on record my concerns about the Clause 20(3) statement that was put in the Bill by both the Minister and former Secretary of State. It is a matter that is being considered in the courts right now—whether it is justiciable or not. As a former Secretary of State for Defra, my understanding is that it almost certainly would be. However, it turns out that the Government and House of Commons do not believe it is, but that it is a parliamentary proceeding. That is why I want to express my concerns about not only this Bill but how we consider this element in future Bills.

I do not say this lightly, because I am conscious of what the Office for Environmental Protection has said, but it is one reason why I have tabled Questions to the Senior Deputy Speaker and the Minister. With that I hope that we will see a Bill enacted in due course that will enhance the environment, rather than my concerns about what Part 3 will do to it.

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This Bill may not yet deliver the clarity and ambition our country needs, but our debates have at least shown that your Lordships’ House remains committed to building a planning system worthy of that task.

[Baroness Taylor of Stevenage (Lab)]

My Lords, this Bill is very much part of our plan to deliver. We inherited a sclerotic system and we will get Britain building again, fixing the foundations so that we can deliver both the housing and infrastructure that we need and protect our environment at the same time. We have already committed to funding the planning sector, supporting the skills agenda in the construction industry, sorting out the building safety regulator—great progress is being made there already—and providing a package of support for SME builders, who definitely deserve our confidence as they have found themselves neglected and left out in the cold for the past few years. We want to get Britain building again. We all need to work together on this mission—it is something for all of us to get involved in—and I look forward to working with noble Lords from across the House.

The noble Baroness mentioned there being 67 amendments. I hope she realises that there is an irony in first accusing the Government of not listening and then accusing us of putting forward too many amendments. We were listening. Many of those amendments were technical in nature, responding to some of the devolution aspects of the Bill, but those that responded to what noble Lords have said have, I hope, received the support of the House. That said, I thank all noble Lords for all their contributions and commend the Bill to the House.

Planning and Infrastructure Bill

Baroness Taylor of Stevenage Excerpts

Report stage
Monday 3rd November 2025 Lords Chamber

Moved by

[Baroness Taylor of Stevenage]

209: Schedule 6, page 180, line 26, leave out paragraph (a) and insert—
“(a) after paragraph (2) insert—“(2A) Where it appears to Natural England that a notice of a proposal under section 28E(1)(a) of the WCA 1981 relates to an operation which is or forms part of a plan or project situated wholly in England which—(a) is likely to have a significant effect on a Ramsar site (either alone or in combination with other plans or projects), and(b) is not directly connected with or necessary to the management of that site,it must make an appropriate assessment of the implications for that site in view of that site’s conservation objectives.(2B) In the light of the conclusions of the assessment, Natural England may give consent for the operation only after having ascertained that the plan or project will not adversely affect the integrity of the site.”;”Member’s explanatory statement
This is the first of a number of amendments to Schedule 6, the effect of which would be that the Habitats Regulations would give protection to Ramsar sites (wherever situated) where they are affected by any plans or projects in England (rather than protecting only Ramsar sites in England).

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Moved by

[Baroness Taylor of Stevenage]

221: Schedule 6, page 181, line 28, leave out paragraph 14 and insert—
14 “(1) In regulation 75 (general development orders)—(a) the existing text becomes paragraph (1);(b) at the end insert—“(2) It is a condition of any planning permission granted by a general development order made by the Secretary of State on or after the day on which this paragraph comes into force that development which—(a) is likely to have a significant effect on a Ramsar site (either alone or in combination with other plans or projects), and(b) is not directly connected with or necessary to the management of the site,must not be begun until the developer has received written notification of the approval of the local planning authority under regulation 77 (approval of local planning authority).”(2) In regulation 75(2) (as inserted by sub-paragraph (1)), after “force” insert “or a street vote development order”.14A In regulation 76 (general development orders: opinion of appropriate nature conservation body), in paragraph (7), for “75(a)” substitute “75(1)(a) or (2)(a)”.”Member’s explanatory statement
See the explanatory statement to my amendment to page 180 line 26.

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Moved by

[Baroness Taylor of Stevenage]

231: Schedule 6, page 185, line 39, at end insert—
“Marine and Coastal Access Act 2009
41A (1) The Marine and Coastal Access Act 2009 is amended as follows.(2) In section 125 (general duties of public authorities in relation to MCZs), after subsection (12) insert—“(12A) This section does not apply to the exercise by a public authority of functions under or by virtue of Part 3 of the Planning and Infrastructure Act 2025 (development and nature recovery).”(3) In section 141 (exceptions to offences under section 139 or 140), in subsection (1), after paragraph (a) insert—“(aa) was done by a public authority exercising functions under or by virtue of Part 3 of the Planning and Infrastructure Act 2025 (development and nature recovery);”.”Member’s explanatory statement
This amendment disapplies the duties in s.125 of the MCAA 2009 where a public authority exercises functions under Part 3, such as drafting or approving an EDP. This is necessary to enable an EDP to include network conservation measures (see further the explanatory statement to my amendment to Schedule 4 (at page 171, line 28)). It also makes a consequential amendment to s.141.

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[Lord Jamieson (Con)]

My Lords, my noble friend Lord Lansley’s expertise on development corporations is, as ever, formidable, and the concerns he raises deserve full and careful consideration. This amendment speaks to the wider question surrounding the Government’s devolution agenda, particularly the potential to give metro mayors the tools they need to deliver housing projects, attract private investment and cut through the bureaucratic fragmentation that so often stifles local ambitions. In many ways, it would build upon the principles set out in the Levelling-up and Regeneration Act, and the work that we have done collectively to champion place-based solutions to the challenges that this country faces. As my noble friend says: equality for mayors.

I am entirely sympathetic to the intention behind this amendment. It is clearly defined and purpose driven. However, to sensibly empower metro mayors or development corporations further, the Government must provide clarity on their plans for local government reorganisation. Without this clarity we risk legislating into a vacuum, creating overlapping authorities and confusion where coherence is needed. On these Benches, we strongly support greater local oversight and a faster route to regeneration, but the real obstacle remains the Government’s opaque approach to LGR. Until there is a clear framework for how local government structures will interact with devolved authorities and combined counties, progress will be piecemeal at best. The Government must work this out, and quickly. We are all waiting for clarity.

[The Parliamentary Under-Secretary of State, Ministry of Housing, Communities and Local Government (Baroness Taylor of Stevenage) (Lab)]

My Lords, Amendment 232, tabled by the noble Lord, Lord Lansley, seeks to standardise and extend powers in respect of mayoral development corporations to mayors of all strategic authorities outside London. I understand why the noble Lord has brought his amendment forward. The Government are bringing forward equivalent provisions via Clause 36 and Schedule 17 of the English Devolution and Community Empowerment Bill, and I understand his view that inclusion of this amendment would expedite the legislative change. I welcome that enthusiasm: it is essential that all mayors have powers to establish and oversee mayoral development corporations, which are a key tool to drive large-scale development and regeneration in their regions.

None the less, the amendment would not save significant time. The Government are committed to ensuring that the English Devolution and Community Empowerment Bill reaches Royal Assent in spring 2026, at which point there will be no delay. The relevant provisions will commence on the day that the Act is passed, providing relevant mayors with the powers to establish development corporations. The amendment would also have minimal impact because, except for the Cambridgeshire and Peterborough combined authority—I can understand why the noble Lord, Lord Lansley, might be particularly interested in that one—all mayoral strategic authorities currently have powers to establish and oversee MDCs. Cambridgeshire and Peterborough Combined Authority, as well as any new mayoral strategic authorities, will automatically receive mayoral development corporation powers following Royal Assent of the English devolution Bill.

Finally, and I think this reflects the comments of the noble Baroness, Lady Pinnock, it is appropriate that Parliament scrutinises provisions providing mayors with mayoral development corporation powers, as part of the wider package of powers being granted to mayors through the devolution framework in the English devolution Bill. Therefore, while I understand the reason that the noble Lord has brought Amendment 232 forward, I hope that he will consider withdrawing it.

[Lord Lansley (Con)]

I am grateful to noble Lords for contributing to this short debate, and particularly grateful to my noble friend for his kind remarks. I heartily endorse what he said about the importance of trying to resolve the relationship between the processes of local government reorganisation and the rapid progress we want to achieve in implementing planning reform in order to get on with building the houses and developments we are looking for.

I should have previously referenced my registered interest as chair of the Cambridgeshire Development Forum. The Minister is absolutely right: the Cambridgeshire and Peterborough mayor should have access to development corporation powers—even though the Government’s apparent intention, as I think was stated last week, was that the Cambridge Growth Company will be turned into a development corporation in the Cambridge area. We have yet to know in what designated area and with what powers, but that is for another day.

I am encouraged by the Minister’s assertion that the delay will be so limited. Let us hope that the English Devolution and Community Empowerment Bill does not get at all bogged down in the new year, because we want to be sure that those powers are available to mayors where they come forward to take up the potential new town designation. I was wrong when I said “mayors of all established strategic authorities”; I know it is my amendment, but I have just checked, and it does not say that. It refers to all mayors of strategic authorities. Whether they should be established strategic authorities is a question we might have a look at when we get to the English devolution Bill. But for the present, while looking forward to returning to these interesting issues in the new year, I beg leave to withdraw Amendment 232.

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[Baroness Scott of Bybrook (Con)]

My Lords, on Amendments 235 and 236, tabled by my noble friend Lord Lansley, all I can say is that we support all the intentions of these amendments so ably introduced, as always, by my noble friend. I do not think there is anything more that I can add to what he has already said, apart from saying to the Minister that I think these important questions need answers tonight.

Alongside my noble friend Lord Jamieson, I have co-signed Amendment 238, tabled by my noble friend Lord Fuller. Ensuring that development corporations have access to sufficient finance will be critical, as we have heard, if we are truly to deliver the high-quality new towns and new developments that we would all like to see. Having access to a range of finance resources is a key component to this, empowering development corporations to seek finance from the widest possible range of sources. This amendment would allow them to do precisely that—to access funding not only from the Public Works Loan Board but from private capital, sovereign wealth funds and pension funds, and through value-in-kind contributions as part of joint ventures. Crucially, it would also give them the ability to issue bonds, either individually or collectively with other development corporations.

Why does this matter? I suggest three key reasons. First, it enables collaboration. Development corporations could work collectively across areas, pooling capacity and scale to unlock investment in major regeneration and infrastructure projects that would otherwise be out of their reach. Secondly, it opens the door for local pension funds, particularly the Local Government Pension Scheme, to invest directly in their communities. This builds on the Government’s own commitment to mobilise LGPS capital for local growth. It would mean that people’s savings are working to deliver tangible, long-term benefits in the very places where they live and work. Thirdly, it aligns with the Government’s broader ambitions on devolution and local growth. Page 29 of the English Devolution White Paper makes clear that strategic authorities will have a duty to deliver on economic development and regeneration. Local authorities will be required to produce local growth plans, and LGPS administrating authorities are expected to identify local investment opportunities and put them forward to their asset pools.

This amendment would therefore help the Government achieve precisely what they have set out to do: to channel more of the nation’s long-term capital into productive place-based investment. It would empower development corporations to be proactive, innovative and financially self-sustaining, drawing on both public and private sources of finance to deliver growth, regeneration and prosperity for local communities.

[Baroness Taylor of Stevenage (Lab)]

My Lords, I thank all noble Lords who have taken part in this short but interesting debate. Amendments 235 and 236, tabled by the noble Lord, Lord Lansley, seek to change the parliamentary procedure for designating areas to be developed as a new town by new town development corporations from the affirmative procedure to the super-affirmative. They would also require that the Secretary of State reconsults if a proposal for an area to be developed by a new town development corporation is changed following an earlier consultation.

The Government agree that proposals to establish development corporations should be subject to consultation and proportionate parliamentary scrutiny, but this is already the case. The New Towns Act 1981 already requires that the Secretary of State consults with relevant local authorities prior to designating an area to be developed by a new town development corporation via regulations. Consultations and decisions to designate are also subject to public law principles. Further consultation would therefore already be considered should the proposal fundamentally change.

I will just comment to the noble Lord, Lord Evans, on his points about Adlington. He may have looked at the report of the New Towns Taskforce, which sets out very clearly the principles under which new towns must make provision for infrastructure, including energy, water and all the facilities that make communities work and be successful. As I have said, there is consultation set out in law for those decisions to designate. Designation by regulations is also already subject to the affirmative procedure, ensuring a high degree of parliamentary scrutiny by both Houses. As these regulations neither amend nor repeal an Act of Parliament, which is the usual super-affirmative process, the Government do not believe that they require the high level of scrutiny of that super-affirmative procedure.

The noble Lord’s amendments would also have the unintended consequence of adding significant time to the process of designating areas as new towns. The super-affirmative procedure would add a minimum of two months and the duty to reconsult could add significantly longer, depending on the number of reconsultations required. I was grateful to the Built Environment Select Committee and particularly the noble Lord, Lord Gascoigne, for the thorough way he looked at the subject of new towns. His work has been very helpful. I will give thought to the request for further discussions within your Lordships’ House on all the issues arising from this new generation of new towns. Both the noble Lord, Lord Lansley, and the noble Baroness, Lady Thornhill, have made this helpful suggestion. I will take that back to the team and look at parliamentary schedules to see when a further discussion on that might be possible.

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[Baroness Scott of Bybrook (Con)]

My Lords, unlike the previous amendment tabled by the noble Baroness, Lady Willis, her Amendment 237 omits the word “network”, and we believe that she was right to do so. Once we define these assets as a network, local authorities become responsible not only for safeguarding individual sites but managing and maintaining the functional and spatial connections between them.

I will not repeat at length the importance of green and blue spaces—that has been thoroughly debated and supported by this side in debates on previous groups of amendments—but I commend the noble Baroness for the clarity and practicality of her approach to them. If she is minded to test the opinion of the House, we on these Benches will be inclined to support her.

[Baroness Taylor of Stevenage (Lab)]

My Lords, Amendment 237 would update the objectives of new town development corporations to include the provision of publicly accessible green and blue spaces for local communities.

Our position remains that national policy is the best mechanism. Development corporations are subject to the National Planning Policy Framework, which sets clear policies for green infrastructure. As noted in Committee, we have seen this work well in practice. The Ebbsfleet Development Corporation has provided almost 15 hectares of parks in recent years, and this year is aiming to provide around 10 hectares of new parks and open spaces.

To repeat what I have said many times in our debates on the Bill, the NPPF is not a statutory document in itself because it needs to be flexible. We brought in a new version of the NPPF last December and we will publish another one shortly, so it is very important we have flexibility within it. However, as I have said before, it sits within a statutory framework of planning, which means that it carries the weight of that statutory framework.

The Government expect development corporations to work within the framework of national policy taken as a whole. It would be inappropriate to single out blue and green infrastructure in primary legislation, and it is unmanageable to include all relevant national policies within the objectives of development corporations at this level of granularity.

I understand that a driving concern behind the noble Baroness’s amendment is to ensure that the Government’s programme of new towns includes accessible green and blue spaces. However, her amendment would not guarantee this. New town development corporations are only one possible vehicle for delivering new towns; urban development corporations and mayoral development corporations are also under consideration, as well as public/private partnerships, where this is right for the place.

I would also say to the noble Baroness that we have heard from the noble Baroness, Lady Hayman, in her role as Defra Minister, that a program is being drawn up on access to green and blue spaces as well, which is coming along very soon.

I fundamentally disagree with the contention of the noble Baroness, Lady Miller, that there is no vision for new towns from the Government. The independent New Towns Taskforce recommended, alongside its overview, that there were 10 key placemaking principles, including that new towns should have easily accessible green spaces. The initial government response set out that we support the placemaking approach recommended by the task force. The final selection of placemaking principles will be subject to environmental assessment and consultation, as many noble Lords have mentioned.

The Government are committed to ensuring that new towns are well designed and have the infrastructure communities need, including green spaces. Implementation will, of course, be key. The task force recommended that government provide guidance on the implementation of placemaking principles and establish an independent place review panel to help ensure that placemaking principles are translated into local policies, master plans and development proposals.

My officials are developing policy ahead of a full government response to the taskforce’s report next year. I would very much welcome further engagement with the noble Baroness on the issue of new towns to better inform our final position. That said, I would kindly ask the noble Baroness to withdraw her amendment.

[Baroness Willis of Summertown (CB)]

My Lords, I thank everyone for their really thoughtful contributions to this debate. I appreciate the Minister’s remarks, but I still have a very big problem here: every time, we come back to the NPPF, and every time there is recommendation and guidance. Unfortunately, when economic costs come in, particularly with developers, those recommendations and guidance disappear. We see it time and time again. At some point, we as a country have to be able to say, “These spaces are so important that they should be in the Bill”. They should be there, because without them, we will have no green spaces left in cities. So, while I appreciate this response, I wish to test the opinion of the House on this matter.

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[Baroness Scott of Bybrook (Con)]

My Lords, Amendments 238ZA, 238ZB and 238ZC from my noble friend Lord Lucas seek to change the definition of a local newspaper for the purpose of compulsory purchase orders. I listened carefully to his argument for these changes, but we have some concerns that these amendments might be overly prescriptive and place unnecessary burdens on local authorities. That said, we look forward to hearing the Minister’s reply on improving the transparency of public notices relating to CPOs. Clearly, where CPO powers are exercised by Ministers or Natural England, the public should be made aware, so can the Minister set out the Government’s assessment of the current requirements and confirm whether Ministers have plans to strengthen them?

Amendments 242 and 243, in the name of my noble friend Lord Roborough, seek to return to the position whereby farmers are paid the market value of their land when it is subject to compulsory purchase. As we have heard, these amendments seek to reverse changes made under the previous Government, but under this Government the situation of farmers has changed significantly. The Government’s policies have put farmers in an impossible position. Noble Lords listening to this morning’s “Today” programme will have heard James Rebanks’s comments on the challenges faced by farming communities across this country.

We have spoken consistently of the need for food security, and Ministers need to deliver a fairer deal for farmers. Can the Minister confirm whether the Government will consider giving farmers whose land is subject to compulsory purchase the fair market price for their land? While we may not get an agreement this evening, we hope that Ministers will take on board these concerns and seek properly to support farmers across this country.

Amendment 251, in the name of my noble friend Lord Sandhurst, also speaks to fairness in the compulsory purchase system. The amendment calls for a report on the compatibility of compulsory purchase powers with the European Convention on Human Rights, which includes a specific right to property. Given the expansion in compulsory purchase powers in the Bill, we agree with my noble friend that the impact of these powers on landowners’ rights should be considered carefully and in full. We hope that the Government can give an undertaking that they will commence a report on that.

Finally, Amendment 250 is in the name of my noble friend Lord Banner. Listening to our proceedings, I am not quite sure whether the things I thought we would be debating have been debated. None the less, this amendment seeks to establish legal clarity. We have seen too many examples of development being blocked after permission has been granted, based on historic technicalities. There will be circumstances where historic constraints are appropriate and should be heeded, but there have also been some very high-profile examples of historic technicalities resulting in perverse outcomes in the planning process, inappropriately blocking the delivery of much-needed homes.

I will take this opportunity to describe my understanding of the Bill. The noble Baroness, Lady Pinnock, talked a lot about consultation, but it is my understanding that this amendment would not change in any way the requirement for consultation. Also, if there is a change of use for any piece of land, planning permission will still be needed, and the things we have discussed in this debate can be relooked at, discussed and consulted on, and decisions can then be made on the proposed changes.

I understand that the Government are looking seriously at that, which I welcome. These are complex and technical issues, but I hope that the idea that the decision will come in future legislation can be made much clearer. Perhaps the Minister could say that it could be brought back in the devolution Bill, which is in the other place and is likely to come here in the new year. That would be an ideal way forward in our opinion.

We need legal clarity. Given the hour that this amendment will come for a decision, we may not get a final answer tonight. However, I hope that Ministers will continue to talk to the noble Lords who tabled the amendments, take them away, look at them in detail and, very soon, in the next available Bill, establish a better way forward.

[Baroness Taylor of Stevenage (Lab)]

My Lords, I am grateful for that very interesting debate on a wide-ranging set of issues in the Bill. There are a number of amendments in this group relating to compulsory purchase. I understand noble Lords’ concerns about that subject as well as the other issues raised in this group. I hope noble Lords will understand that, out of respect to you, these require a fuller response than I would otherwise have given at this late hour, because I think it important that I respond to the points that have been made.

Amendment 238A, tabled by the noble Lord, Lord Meston, relates to compulsory purchase compensation rules and home loss payments. The amendment would ensure that homeowners still receive home loss payments, even where they have failed to take action required by an improvement notice or order served on them, if that failure is due to the person’s poor health or other infirmity, or their inability to afford the cost of the action required.

A home loss payment is a separate payment made to a person to recognise the inconvenience and disruption caused where a person is displaced from their home as a result of a CPO. It is an amount paid in addition to compensation for the market value of a property subject to a CPO. Under current provisions in the Land Compensation Act 1973, where property owners have failed to comply with notices or orders served on them to make improvements to their land or properties, their right to basic and occupiers loss payments is already excluded.

As mentioned in the previous debates on this issue, there are, however, currently no similar exclusions for home loss payments, which is an inconsistency. Clause 105 of the Bill amends the Land Compensation Act 1973 to apply this exclusion to home loss payments. Where the exclusion of a home loss payment applies, owners would still be paid compensation for the market value of their property, disturbance compensation and other costs of the CPO process, such as legal or other professional costs. Clause 105 does not prevent these other heads of compensation or costs being claimed. It will be for local authorities to decide whether it is appropriate to serve an improvement notice or order, taking into account the circumstances of the property owner.

Furthermore, individuals are able to challenge improvement notices or orders served on them by local authorities, and Clause 105 does nothing to interfere with this right. The provision introduced by Clause 105 will lower local authorities’ costs of using their CPO powers to bring substandard properties back into use as housing where there is a compelling case in the public interest, and this will enable more empty properties to be used as family homes and ensure that the compensation regime is fair.

Amendments 238ZA to 238ZC tabled by the noble Lord, Lord Lucas, would reform the Acquisition of Land Act 1981 and constrain acquiring authorities in the type of local newspaper which notices of the making and confirmation of CPOs must be published in. The type of local newspaper would have to meet certain criteria. As mentioned in previous debates, the legislation already requires authorities to publish notices in newspapers circulating in the locality of the land included in the relevant CPO, but it does not prescribe the type of local newspaper. As introduced by the Levelling-up and Regeneration Act, CPO notices are also published on the acquiring authorities’ websites. The purpose of this change was to modernise the CPO process to ensure that local people are fully informed. I agree with the comments made by Peers in the debate on these amendments that there are significant costs associated with publishing newspaper notices, and we therefore have to be mindful of adding new burdens to already hard-pressed local authorities.

That is why the Government have introduced Clause 107 in the Bill. The purpose of Clause 107 is to simplify the information required to be published in CPO newspaper notices, to reduce administrative costs and to improve the content of such notices. The amendments would also increase the complexity of the CPO process. Amending the existing requirement by stipulating in primary legislation a certain type of local newspaper would create unnecessary confusion and uncertainty, make it more difficult for authorities to navigate the process and increase the potential risk of legal challenges, resulting in additional costs, and in delay in decision-making and in the delivery of benefits in the public interest.

I reassure the noble Lord that DCMS has committed to a review of statutory notices as part of the local media strategy. I, for one, really welcome that; it is very much time we did it. It is important that a coherent and co-ordinated approach be taken to this issue, rather than picking it up piecemeal. For these reasons, while we agree with the intention behind the amendments, I hope noble Lords will not press them.

Amendments 242 and 243, tabled by the noble Lord, Lord Roborough, relate to compulsory purchase compensation. The amendments would repeal Section 14A of the Land Compensation Act 1961, which provides the power for CPOs to be confirmed with directions removing hope value, where justified in the public interest, for certain types of schemes. They also seek to omit Clause 107 from the Bill, which proposes to expand the direction power to CPOs made on behalf of town and parish councils for schemes that include affordable housing and to make the process for determining CPOs with directions more efficient.

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Amendment 241 addresses the concern about land banking, which I know many noble Lords share. The practice of acquiring undeveloped land, holding it for speculative purposes then drip-feeding it into the market, as the noble Baroness, Lady Pinnock, said, understandably attracts attention, particularly where there are strong pressures to deliver housing or infrastructure more swiftly. My noble friend is right to seek reassurance that the powers in the Bill cannot be used in a way that enables or encourages such behaviour. As my noble friend did, I too ask the Minister again: why have the Government not progressed the powers that are already in the Levelling-up and Regeneration Act on land banking?

[Baroness Taylor of Stevenage (Lab)]

My Lords, I am very grateful to the noble Baroness, Lady Hodgson, for Amendment 240. This amendment seeks to ensure that, when approaching landowners to buy or lease their land, developers must declare their interest in purchasing or leasing adjoining land. We appreciate the noble Baroness’s continued interest in promoting transparency and discouraging speculative land banking. However, we maintain that this amendment is neither appropriate nor necessary within the framework of the Bill.

There is existing guidance on the procedures in the Planning Act 2008 for the compulsory acquisition of land in connection with NSIPs. This guidance supports applicants to seek to acquire land by private negotiation, where practicable, using compulsory acquisition only where attempts to acquire by agreement fail. The guidance also encourages early engagement with affected parties to help build up good working relationships, to treat landowner concerns with respect and to help reduce the mistrust or fear that can arise in such circumstances.

Land acquisition for NSIPs can be highly sensitive and often involves confidential negotiations. Mandating developers to disclose discussions with adjacent landowners could risk breaching confidentiality agreements and potentially hinder the progress of vital infrastructure projects. This is particularly important at the pre-application stage, where early engagement is critical to shaping proposals and identifying potential issues. Forcing disclosure at this stage could discourage that open dialogue between developers and landowners. However, the Government recognise the importance of transparency for landowners and ensuring that there is a fair process in place before consent is granted to authorise the acquisition of land.

For those reasons, when applications that seek to authorise compulsory acquisition are developed and submitted to the Planning Inspectorate, applicants are required to submit the accompanying book of reference, to which the noble Baroness referred. This is a publicly available document. It outlines all land and interests in land affected by a proposed development, including those subject to compulsory acquisition, temporary possession or other impacts. This ensures transparency and public accountability. I think there is an obligation to make people aware of the presence of that document.

After an application has been accepted, and to proceed to examination, applicants are required to notify landowners under Section 56 of the Planning Act 2008. Landowners are also recognised as interested parties under Section 102 of that Act, which enables them opportunities for involvement during examination. This is not merely procedural; it grants landowners meaningful opportunities to engage in the examination process. These provisions are vital to ensure that the voices and interests of landowners are not only heard but properly considered throughout the process.

In light of the sensitivities involved, the existing government guidance and the transparency mechanisms already in place, we do not think this amendment is necessary. I thank the noble Baroness for her continued engagement on this issue and kindly ask her to withdraw Amendment 240.

I also thank the noble Baroness, Lady Hodgson, for tabling Amendment 241 related to the buildout of development, an issue we discussed in Committee. The amendment seeks to address the concerns around land banking by requiring planning permissions to be refused if developers have not commenced another development nearby within a year.

I fully recognise the intention behind this amendment and share the noble Baroness’s commitment to improving the buildout rate of residential development. As I have previously set out, the Government remain firmly committed to ensuring that planning permissions are translated into homes being built. However, we do not believe that this amendment is necessary to achieve that goal. We confirmed at the time of the response to the NPPF consultation that we will implement the Levelling-up and Regeneration Act provisions following a technical consultation.

During our earlier debates, I highlighted the publication in May of the working paper that sets out a more effective and comprehensive strategy for speeding up buildout, including greater transparency on buildout rates, new powers for local authorities to decline to determine applications from developers that have built out more slowly and greater emphasis on mixed-use tenures, as well as exploring a potential delayed homes penalty as a last resort.

The working paper also sets out our intention to make it easier for local authorities to confirm CPOs, helping to unlock stalled sites and making land assembly easier when this is in the public interest. We are analysing the responses to that working paper and will set out our next steps in due course. I remain confident that the measures set out will make a real and meaningful difference to the buildout of residential development that we all want to see. Given this and the broader strategy we are pursuing, I hope the noble Baroness will consider not moving her amendment.

[Baroness Hodgson of Abinger (Con)]

I thank the Minister for her response, although I am, of course, slightly disappointed by it.

I worry about when people are approached for land, either for leasing or buying, and not treated with honesty and transparency. I do not see how saying that developers should declare what the endgame is would impede an open dialogue. In fact, not telling people is not an open dialogue.

The Minister set out the process to be followed, but what happens when developers do not follow it? What comeback is there? It is all too late. I am disappointed about that, and I hope that there will be further consideration of it at some point.

I am glad to hear that there is a working paper and that there are plans to implement parts of the LURA. I will withdraw my amendment.

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[Baroness Scott of Bybrook (Con)]

My Lords, this amendment is straightforward: it would require the Secretary of State to set out how the Bill is intended to operate following any local government reorganisation.

As many in this House will be aware, the landscape of local government is shifting. Across England, there are ongoing discussions about devolution, new combined authorities and the potential reorganisation of existing councils. Each of these changes will have significant implications for how local responsibilities are defined, how accountability is maintained and, ultimately, how this legislation will function in practice.

This amendment seeks clarity, not complication. If local government structures change, communities, councils and partners need certainty about how their duties, powers and relationships under the Bill will continue. Without such clarity, we risk creating confusion at precisely the moment when consistency and coherence are most needed.

We now await the forthcoming devolution Bill and the conclusions of ongoing negotiations around local government reorganisation. These will no doubt shape the future architecture of local governance, but in the meantime it is vital that we ensure a clear line of sight between this legislation and whatever follows. Amendment 244 is a small but important step towards that assurance. If not, a lack of clarity will affect delivery, as we are already seeing in local planning authorities across the country. I therefore hope the Minister will consider how the Government intend to provide this clarity and ensure that, as local government evolves, the operation of this legislation remains transparent, accountable and effective.

As this is the last time I will speak at this Dispatch Box on Report of this Bill, I will take the opportunity to make a broader point on commencement. Throughout the course of this Bill, we on these Benches have offered the Government a clear, credible plan to build more homes and to get Britain building again—and what have Ministers done with that advice? They have just ignored it. We have sought to address the genuine blockages in our planning system: the practical and legal barriers that stand in the way of new housing, such as the Hillside judgment, the lack of proportionality, the restrictions around the Ramsar sites and the complexities of nutrient neutrality rules. These are not abstract legalities; they are the very issues holding back delivery on the ground.

Our amendments would have tackled those problems directly. They would have released land, unlocked permissions and allowed homes to be built where they are most needed. Let us be clear: we are not speaking about a few thousand homes here or there. We are speaking about hundreds of thousands of homes that our plans would and could have unlocked. The uncomfortable truth is this: it is not local authorities, the courts or even the developers who are blockers in our housing system. It is the Government themselves.

[Baroness Taylor of Stevenage (Lab)]

I thank the noble Baroness, Lady Scott, and I am sorry to have to point out to her, not for the first time from the Dispatch Box, that her Government had 14 years to get the housebuilding that we so desperately need. They had ample opportunity to take all the action that we are taking now, but they did not do so, so it is left to us to sort out the inevitable housing crisis that we face in this country.

Amendment 244 would require the Secretary of State to publish a report, within three months of enactment, on the operation of the Act in the context of local government reorganisation, and during the interim period while devolution settlements are being negotiated. This amendment creates an unnecessary and potentially burdensome precedent. Councils undergoing reorganisation are subject to a comprehensive suite of secondary legislation providing for the transfer of all statutory functions, including those created in new legislation—from predecessor councils to new councils. We will of course work in partnership with the sector to ensure that areas receive support to enable successful take-up of the Act, as well as transition to new unitary structures. This legislation refers to existing planning legislation—for example, Part 5 of the Local Government (Structural Changes) (Transitional Arrangements) Regulations 2008. We will review and, as necessary, amend these and other provisions in the light of this Bill, and the timetable for any such updates will be determined by the reorganisation process.

Turning to devolution, the Cities and Local Government Devolution Act already requires the Government to lay an annual devolution report before Parliament. The report provides an annual summary of devolution for all areas in England. The English Devolution and Community Empowerment Bill amends current requirements so that this report reflects the introduction of strategic authorities and the new framework-based approach to devolution in England. It will include information on functions conferred on strategic authorities and any parts of the country where proposals have been received by the Secretary of State for the establishment of a strategic authority, and negotiations have taken place but agreement has not yet been reached. This allows for public transparency and parliamentary scrutiny of the devolution agenda. I therefore kindly ask the noble Baroness to consider withdrawing her amendment.

[Baroness Scott of Bybrook (Con)]

My Lords, that was not what I expected. There are local planning authorities across this country that do not know what to do—they do not know whether or not to start a local plan. If they start a local plan, what will happen when they then become reorganised? It is a waste of time and money for a local government family that do not have the money to do it, or the resource. It would be such a simple thing to explain to local government what they should do in this interim period. However, I have said it all before and we have asked for something back from the Government, just to help the structures work better. It lands on fallow ground. I have tried, but I am going to withdraw my amendment.

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[Lord Jamieson (Con)]

My Lords, these amendments deal with an issue that goes to the very heart of the Bill’s purpose: how we ensure that our planning system promotes not only economic growth and infrastructure delivery but the health and well-being of our communities. This is not just about a healthy home but about a healthy community, which is so much more than just the bricks and mortar. As has been raised many times throughout the passage of the Bill, we all want to create great communities—a home and that sense of place. Great places are healthy places. That includes warm and comfortable homes, spaces that are safe for outdoor recreation, places to socialise and places where work, leisure facilities and open spaces are easily reachable.

Amendment 247 would place a statutory duty on the Secretary of State to have regard to the need to improve health and reduce health inequalities when discharging their planning functions. That is not a radical departure; indeed, it aligns precisely with the language used in the English Devolution and Community Empowerment Bill and reflects the Health and Social Care Act 2012 duty on the NHS to reduce health inequalities. It simply asks that the same commitment be applied to planning—one of the most powerful levers for shaping the health of our nation.

Amendment 247A, tabled by my noble friend Lord Moynihan, would add a valuable and practical dimension for allowing Sport England to make representations to the Secretary of State on how this duty is being met. That is a sensible suggestion, recognising the importance of physical activity and access to sport in promoting both physical and mental health.

Amendment 248 would provide clear definitions, ensuring that “health inequalities” and “general health determinants” are well understood and that this duty is not left to vague interpretation. The drafting captures what we all know to be true: the state of health is shaped as much by housing, transport, safety, employment and access to services as by anything that happens in the health service itself.

A modern planning system must support not only economic growth but social resilience and public health. The pandemic reminded us just how closely our built environment is linked to physical and mental well-being. If we want truly sustainable communities, health must be a core planning outcome, not an afterthought. I therefore urge the Minister to look sympathetically at these amendments.

[Baroness Taylor of Stevenage (Lab)]

My Lords, the National Planning Policy Framework is clear that planning policies and the decisions that stem from them should aim to achieve healthy, inclusive and safe places. That would enable and support healthy lives by both promoting good health and preventing ill health, especially where that would address identified local health and well-being needs and reduce health inequalities between the most and the least deprived communities.

Turning to Amendments 247 and 248, I recognise that improving the health of our communities is a matter that the noble Lord, Lord Crisp, cares deeply about; he has been a great advocate for many years on this topic. We agree with him that health improvement and the reduction of health inequalities is an important matter in which our planning system should play a vital role.

However, we do not believe that his amendments are necessary. Ministers and other public bodies are already subject to requirements under the Equality Act 2010 to have due regard, when carrying out their functions, to the need to advance the equality of opportunity, to eliminate discrimination and to foster good relations between people with protected characteristics. That will, where relevant, include taking into account potential differential impacts in terms of health and well-being. While the noble Lord’s amendment would extend even more widely in relation to Ministers’ planning functions, the importance of these matters is both recognised and addressed through the National Planning Policy Framework, which places a strong emphasis on health. Indeed, the importance of healthy communities is recognised in a dedicated chapter.

The framework sets out that planning policies and decisions should achieve those healthy, inclusive and safe places, which promote social interaction and enable healthy lives, promoting good health and preventing ill health, especially where this would address those local health inequalities. The framework recognises the importance of open space and sport and recreation facilities in enabling physical activity and the health and well-being of local communities. It is clear that local planning should seek to meet the identified need for these spaces and facilities and seek opportunities for new provision. Further considerations on healthy and safe communities are set out in planning practice guidance, which supports the implementation of the NPPF in practice.

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For those reasons, I am pleased to support the noble Lord’s amendment. I hope the Minister is able to reassure him on how this can be put into practice.

[Baroness Taylor of Stevenage (Lab)]

My Lords, I am grateful to the noble Lord, Lord Cameron, for the amendment. The Government understand the spirit of the amendment; however, we maintain that a statutory code of practice is unnecessary.

First, government guidance, which was updated earlier this year in collaboration with external stakeholders, such as the Countryside Land Association, contains strengthened advice, which acquiring authorities should follow. The updated guidance states that authorities should undertake early engagement with landowners to identify the impacts of their schemes and what measures local authorities can take to mitigate the impacts of their schemes. I say to the noble Lord that where this is not done, the Government are of the view that CPOs are at risk of failing. In addition, we intend to update CPO guidance early next year, and we would welcome the views of stakeholders, such as the Countryside Land Association, on where the advice could go further on promoting best practices for acquiring authorities to follow.

Secondly, when decisions are taken on CPOs, the decision-maker must be sure that the purposes for which the CPO is made justify interfering with the human rights of those with an interest in the land affected. As I mentioned previously, particular consideration should be given to the provisions of Article 1 of the first protocol to the European Convention on Human Rights and, in the case of a dwelling, Article 8 of the convention. In addition, acquiring authorities should consider the public sector equality duty under the Equality Act 2010 when making a CPO and have regard to the needs of meeting the aims of that Act.

Thirdly, the Royal Institution of Chartered Surveyors has published updated professional standards expected of its members involved in the valuation of compulsory purchase compensation. The purpose of the professional standards is to protect claimants and businesses, support high standards in valuation delivery, and future-proof practices in the public interest. The standards lay out the ethical conduct and competence expected for RICS members advising on compulsory purchase matters. The Compulsory Purchase Association has also published, in collaboration with leading CPO practitioners, a land compensation claims protocol.

This Government’s objectives are to make the process more efficient for all parties to a CPO without creating further duplication. The amendment would run counter to these objectives. Therefore, I kindly ask the noble Lord to withdraw it.

[Lord Cameron of Dillington (CB)]

My Lords, I thank the Minister for her words, which I have to say were very disappointing. They obviously came from her department, written of course from the perspective of the Whitehall bubble, which in my view always remains somewhat distant from the reality of what is going on out there.

I cannot actually believe that the Minister personally believes that the sort of behaviour I have described should be at best tolerated, or at worst condoned by the Government—by any Government. Nevertheless, in spite of my disappointment and in light of the numbers in the House, I beg leave to withdraw my amendment.

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Finally, I am grateful to the Minister, the noble Baroness, Lady Taylor, for stepping in to cover areas not in her brief. She is looking after the brief of her noble friend Lady Hayman of Ullock. On this side, we have a soft spot for that noble Baroness; she farms up in Cumbria, she is a country lass, and she understands the countryside and cares about it. We all hope to see her back at full health and strength after she has shaken off the dreaded lurgy.

[Baroness Taylor of Stevenage (Lab)]

I thank the noble Lord, Lord Blencathra, for those kind comments about my noble friend Lady Hayman. She was here earlier this evening, but it was not fair to keep her here when she is still recovering from quite a nasty bug.

I am grateful to the noble Baroness, Lady Rock, for her Amendments 253 and 253A, which seek to ensure that farm tenants receive compensation equivalent to their real loss where a farm business tenancy is terminated, in whole or in part, as a result of planning consent being granted to a landlord for a change of use. The stories she gave were indeed truly shocking. Existing legislation in the Agricultural Holdings Act 1986 sets out the compensation provisions for tenant farmers, but we genuinely recognise that it needs to be revised so that tenant farmers receive adequate compensation, reflecting real loss for land removed from their tenancy agreements for development.

The Law Commission announced its 14th programme earlier this year, which will consider whether existing agricultural law appropriately balances giving tenant farmers the security and opportunity to maintain viable businesses, while providing landlords with the confidence to let land and supporting opportunities for new entrants into farming. That is something I am sure the noble Baroness would want to see, as we all do.

The review is also likely to consider the scope and design of appropriate compensation provisions, drawing on the Law Commission’s specialist expertise in legal reform. This would typically include a detailed consultation and thorough examination of the law, resulting in the most comprehensive and balanced outcome. I suggest that the compensation provisions be considered within this wider review of agricultural tenancy law, not in isolation. As such, we recommend that the amendment be rejected pending the Law Commission’s 14th programme review into agricultural tenancies, which will commence when resources allow. Further steps and timings will be announced in due course.

[Baroness Rock (Con)]

These reviews take years and years, but this is a clear and present danger now. Therefore, before the Minister sits down, will she agree to meet with me and the Tenant Farmers Association to discuss what can be done in this Bill to protect tenant farmers immediately, rather than waiting for a review that could take years and years? Otherwise, I reserve the right to bring this back at Third Reading.

[Baroness Taylor of Stevenage (Lab)]

I genuinely do not believe that this Bill is the place to deal with this, but I am very happy to meet with the noble Baroness, and I am sure that my noble friend Lady Hayman would be prepared to meet as well. Within Defra, there may be more scope for dealing with some of the issues the noble Baroness raised, so I am very happy to have that meeting. It may also be worth the noble Baroness speaking to the Law Commission about the urgency of this, because the commission will be dealing with it. Stressing the importance and urgency of this with the commission will be helpful. Meanwhile, I ask the noble Baroness to withdraw her amendment.

Amendment 253B seeks to allow tenants whose homes are subject to compulsory purchase to claim compensation for disturbance to their business where it is carried out from home. While I appreciate the sentiment behind this amendment, we do not believe it is necessary. As part of their entitlement to compensation, occupiers, including tenants, can already claim disturbance payments where they lose possession as a consequence of compulsory acquisition. These payments cover losses caused by losing possession of the land as a consequence of the compulsory purchase order, as well as other losses not directly based on the value of the land, which could include any associated with running a business from home. In the light of this explanation, I hope that the noble Baroness will not press her amendment.

[Baroness Rock (Con)]

I am very grateful to the Minister for her response. As I said, I am disappointed. This is absolutely the right place to address these issues around tenant farmers. I have given very clear examples of why these amendments sit firmly in government policy and are desperately required. I look forward to the meeting with the Minister and, as I said, I reserve the right to bring this back at Third Reading. On that basis, I beg leave to withdraw my amendment.

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Moved by

[Baroness Taylor of Stevenage]

254: Clause 111, page 157, line 13, at end insert—
“(ca) section (Wind generating stations that may affect seismic array systems);”Member’s explanatory statement
This amendment would provide for my new clause entitled “Wind generating stations that may affect seismic array systems” to extend to England and Wales and Scotland. However, it would have no application in Wales as there are no relevant seismic array systems situated there.

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Moved by

[Baroness Taylor of Stevenage]

256: Clause 112, page 157, line 23, leave out paragraph (a) and insert—
“(a) sections 1 and 2 come into force on such day as the Secretary of State may by regulations appoint;(aa) section (Projects relating to water) comes into force on the day on which this Act is passed;(ab) sections 3 to 8 come into force on such day as the Secretary of State may by regulations appoint;”Member’s explanatory statement
This amendment would provide that my new clause entitled “Projects relating to water” would come into force on the day the Bill receives Royal Assent.

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Moved by

[Baroness Taylor of Stevenage]

265: Clause 112, page 159, line 33, at end insert “, except that paragraph 14(2) of Schedule 6 comes into force at the same time as section 106 of the Levelling-up and Regeneration Act 2023.”
Member’s explanatory statement
This amendment is a technical amendment linked to my amendments to Part 1 of Schedule 6. It means that a reference to street vote development orders is only inserted into the Habitats Regulations when the provisions in the Levelling-up and Regeneration Act introducing SVDOs themselves come into force.

London Boroughs: Financial Support

Baroness Taylor of Stevenage Excerpts

Monday 3rd November 2025 Lords Chamber

[Lord Bailey of Paddington]

To ask His Majesty’s Government what plans they have to provide further financial support to London boroughs.

[The Parliamentary Under-Secretary of State, Ministry of Housing, Communities and Local Government (Baroness Taylor of Stevenage) (Lab)]

My Lords, we will deliver fairer funding for all local authorities, including in London. This financial year, we made available up to £13.35 billion of core spending power for London. The spending review provides over £5 billion of new grant funding over the next three years for local services that communities rely on. More details on the upcoming multiyear settlement and the Government’s response to the fair funding review will be published later this year.

[Lord Bailey of Paddington (Con)]

I thank the Minister for her Answer. Due to rising demand, London boroughs have overspent on children’s social care by £150 million annually for the past two years, yet the Government’s proposal for funding reforms assumes that London’s share has dropped by 40%. This could leave boroughs with a £1.5 billion cut, despite London being the region that uses emergency borrowing the most. Given that the fair funding review aims to match resource to need, will the Minister commit to correcting the children’s services formula or delaying its implementation until a proper review can be carried out?

[Baroness Taylor of Stevenage (Lab)]

The noble Lord raises an important issue around social care. He will know that the Government are committed to delivering reform to children’s social care and breaking the cycle of late intervention so that every child is safe and can thrive. We have already invested £500 million from the transformation fund to bring total funding over the spending review to more than £2 billion, and we are updating the formula to assess the need for children’s social care. The new children and young people’s services formula is based on the latest available data, has been developed in partnership with academics and is supported by the Institute for Fiscal Studies. I know that there are various factors driving the reductions in need share for some London boroughs. We will support local authorities by making sure that there are transitional protections in place if they see their funding fall as a result of the fair funding reform.

[The Lord Speaker (Lord McFall of Alcluith)]

My Lords, I call the noble Lord, Lord Campbell-Savours, who is participating remotely.

[Lord Campbell-Savours (Lab) [V]]

My Lords, does Westminster City Council in particular need additional support when a band H house worth £60 million in the borough carries a council tax of £2,100 a year, while a similar band H house worth £300,000 in Cumbria, in my former constituency, carries a tax of £4,600 a year—double Westminster’s? Worse, how can a band C local authority house in Cumbria’s Keswick pay more in council tax than that same £60 million-worth house in Mayfair? The system is discredited. We need new higher tax bandings and a fairer distribution of the burden.

[Baroness Taylor of Stevenage (Lab)]

My noble friend has illustrated why we are setting about this fair funding review. It is for local authorities to decide at what rate they set their council tax. Of course, it has to reflect the service needs of each area, taking account of other sources of income and historic council tax decisions made over the decades. We want to make sure that we make this a fair funding review, which is why we have been consulting on it and looking at the formulas to make sure that they operate effectively. I am sure my noble friend would not expect me to comment on the new higher council tax bands in advance of the Chancellor’s next fiscal event—

[Noble Lords]

Oh!

[Baroness Taylor of Stevenage (Lab)]

That has to be done at the next fiscal event. The Government remain committed to keeping all taxes and elements of the local government finance system under review.

[Baroness Pinnock (LD)]

My Lords, I have relevant interests as a councillor. The recent statistics published by the Government have pinpointed the areas of the country that suffer from immense deprivation. The current funding formula does not properly recompense those councils with the highest levels of deprivation. Do the Government intend to redistribute in order to help the councils across the country, including in London, that have the highest levels of deprivation?

[Baroness Taylor of Stevenage (Lab)]

I hope the work we have done so far will illustrate to the noble Baroness and other noble Lords that we are committed to improving how we assess need to make sure that central government funding is distributed fairly to the places that need it the most. Our proposals use the best available evidence so that we can more effectively capture variations in demand for services. A particular bugbear for me over the years—I am sure the noble Baroness will have heard me say this—is that we need to identify in local authorities pockets of high deprivation within generally more affluent areas. We continue to explore and review the new data that comes forward on measures of deprivation, and a final decision on the inclusion of the 2025 index of multiple deprivation will be made in the autumn, when we set out our funding plans for local government.

[Lord Jamieson (Con)]

My Lords, I declare my interest as a councillor in central Bedfordshire. This Government have said that their priority is growth. The previous Conservative Government incentivised councils to grow their local economies through a share of business rates growth and the new homes bonus, which many councils use to support economic growth. The new homes bonus has already been removed, and now this Government are resetting business rates, causing a severe financial squeeze on high economic growth councils. Are this Government no longer interested in growth?

[Baroness Taylor of Stevenage (Lab)]

The exact opposite is true. We are supporting our councils, which is why we have increased the overall spend on local authority funding, providing over £5 billion of new grant funding over the next three years for local services, including economic development services. The other work we are doing alongside that, including the Planning and Infrastructure Bill, which we will debate later today, lays the foundations so that local authorities have a clear run to improve the economies of their local areas.

[Lord Sikka (Lab)]

My Lords, there is an unacceptable level of social deprivation in all parts of our country, and even more so in the north of England. The city of Liverpool has 12,764 households on its social housing waiting list. It has just five—yes, noble Lords heard correctly—so-called additional social rent dwellings, as local authorities have been starved of resources. Can the Minister explain what targets the Government have set for poverty reduction and for funding local authorities to increase the social housing stock?

[Baroness Taylor of Stevenage (Lab)]

I hope my noble friend has been in the Chamber when I have spoken before about the £39 billion investment that our Government have made into social and affordable housing. We look forward to working with our partners in local authorities to deliver that housing. I hope that that, along with other adjustments that we are making, including changes to right to buy, will help to improve the situation for those who are currently sitting on housing waiting registers.

[Baroness Altmann (Non-Afl)]

My Lords, I think the general feeling in the House is that funding for local government is in urgent need of reform but any reform will take some time. I suggest to the Minister that an option that could be available in the shorter term is to use the fact that there are huge pension fund surpluses in local authority pension schemes as a reason to have an employer contribution holiday or significant reduction in the £10 billion put into these schemes every year, so that some of that money can be redistributed to the urgent needs of the local populations.

[Baroness Taylor of Stevenage (Lab)]

There is much to be done in looking at local authority pension funds—I agree with the noble Baroness on that. We are working through that process. Of course, there is a balance to be struck between how you might use that for capital spending, which would be an investment that there may be a return on, and using it for some of the pressures that we are experiencing on revenue spending, which is the real pressure for local authorities at the moment. It would not be a long-term solution for that, but the noble Baroness makes a very good point. We are exploring what more can be done around the pension funds and using that money for local spend.

[Lord Young of Cookham (Con)]

My Lords, further to the reply given to my noble friend about transitional relief, if, as is widely forecast, there will be substantial losses in the London boroughs, can the Minister guarantee that in any one year no London borough will have to reduce its expenditure by more than 5% to safeguard essential services?

[Baroness Taylor of Stevenage (Lab)]

The noble Lord will have to wait for the announcement of the funding for local government, because that work is still under way. We have done extensive consultation and, as I said, we are keen to make sure that, where there is a need for transitional relief, it will be paid for by additional funding for those local authorities suffering from that.

Town and Country Planning (Crown Development Applications) (Procedure and Written Representations) Order 2025

Baroness Taylor of Stevenage Excerpts

Thursday 30th October 2025 Lords Chamber

[Lord Jamieson (Con)]

My Lords, I declare my interest as a councillor in central Bedfordshire. We on this side of the House believe in local democracy. It is why I proposed an amendment to the Planning and Infrastructure Bill that would ensure local democracy where there are valid planning grounds, and why I was pleased that my noble friend Lord Lansley’s amendment on ensuring affirmative procedures for delegated planning powers was passed.

However, there is a need for balance. Today, we are seeing a government programme for the early release of prisoners. While this is, in large part, due to a failure to manage the prison population and deport foreign-born criminals, the lack of prison capacity is a factor. Importantly, the lack of prison space hampers prison rehabilitation—a matter that I know the Prisons Minister, the noble Lord, Lord Timpson, is much vexed about. As my noble friend Lady Bloomfield of Hinton Waldrist raised last night, the huge impact that the delays to and additional costs of the UK nuclear programme is having on the cost of energy is a major issue for struggling families and industry. It is therefore right to have a balanced approach.

Section 109 of the previous Conservative Government’s Levelling-up and Regeneration Act added two new sections to the Town and Country Planning Act, creating new routes for Crown development. These provisions allow for an appropriate authority to apply to the Secretary of State for planning permissions, rather than the local planning authority. The intention behind this change was clear: to prevent delay or obstruction to vital national development, such as prisons.

As I have said, we are sympathetic to the concerns raised by the noble Baroness, Lady Pinnock, but these powers are proportionate and balanced. It is our understanding that the Town and Country Planning (Crown Development Applications) (Procedure and Written Representations) Order 2025 concerns development applications on Crown land that are deemed to be of national importance. The instrument sets out the procedure for such Crown development applications, including applications for planning permissions and approval for reserved matters. Crown development refers to applications made by the Crown bodies for development of national importance.

As so often in matters like these, the key issue is balance between local voice and national need, and between the principle of localism and the imperative to deliver key national infrastructure efficiently. We stand by the intentions of the Levelling-up and Regeneration Act, which expands local voices in the round, taking them seriously by strengthening the role of local plans, creating new opportunities for communities to shape development in their areas and ensuring that decision-making is rooted closer to the people it affects. The Act sought to make planning more transparent, more accountable and more responsive to local priorities. It was never about sidelining local democracy but about creating a system capable of delivering both local consent and national progress.

The provisions on Crown development sit within that broader context. They are not a retreat from localism but a recognition that, on occasion, public interest requires a more streamlined route for developments of genuine national importance. As ever, the challenge is to strike the right balance, to protect local accountability while ensuring that the machinery of state can deliver where delay would carry a wider national cost. That principle underpins this instrument and the Levelling-up and Regeneration Act itself. It is right that we reaffirm it today.

[The Parliamentary Under-Secretary of State, Ministry of Housing, Communities and Local Government (Baroness Taylor of Stevenage) (Lab)]

My Lords, perhaps it is due to the many hours we have spent in the Chamber debating the Planning and Infrastructure Bill, but I agree with what the noble Lord, Lord Jamieson, just said.

I thank the noble Baroness, Lady Pinnock, for bringing this debate, and I thank her and the noble Lord for their contributions. I must admit that I was a bit surprised to see the noble Baroness’s regret Motion on the agenda, as she herself had requested—through her Amendment 87E to the Planning and Infrastructure Bill—a streamlined planning process for asylum processing sites. However, she has explained that her regret Motion was tabled before we started debating that Bill.

In May, we brought forward the regulations subject to this debate, along with a wider suite of regulations to bring both Crown development and urgent Crown development routes into force. These are the Crown development route for developments that are considered of national importance and the urgent Crown development route for a nationally important development that is needed as a matter of urgency. Some noble Lords in attendance today will remember when we debated these regulations earlier this year. As I said then, these routes are crucial to ensure that there is a more timely and proportionate planning process for nationally important public services and infrastructure that the state directly delivers; for instance, new defence facilities, prisons and border control—issues that we debated in this House a very short time ago and which are essential for the effective running of this country.

Recent experience, including the response to Covid, exposed that the existing route for securing planning permission for urgent Crown development, which was introduced in 2006, was not fit for purpose. In fact, it had never been used. Further, government departments have historically struggled to secure local planning permission for some nationally important public service infrastructure, such as prisons.

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[Baroness Pinnock (LD)]

I thank the Minister very much for her full and detailed response to my concerns. Unfortunately, the fundamentals remain. The Minister is quite right to say that the local planning authority will be involved in all the notifications and that voices and comments and so on can be heard, but in the end, the decision is taken over there and not where it should be, in the locality. That has always been my concern, as the Minister will know.

The balance has tipped too far in favour of government planning applications on Crown land, rather than trying to speed up processes which still engage local people fully. Having said that—–

[Baroness Taylor of Stevenage (Lab)]

My Lords, the noble Baroness has spent many hours in this Chamber debating what we are doing elsewhere in the planning system to speed up decision-making. While I understand her great championing of community engagement in planning, we are trying to get the balance right here.

[Baroness Pinnock (LD)]

I accept that wholly. The Minister has always responded positively to the queries I have raised; it is just that we disagree on the balance.

I shall continue challenging because I think that is always needed. With those few remarks, I beg leave to withdraw the Motion.