English Devolution and Community Empowerment Bill

Baroness Taylor of Stevenage Excerpts

Committee stage
Tuesday 20th January 2026 Grand Committee

[Lord Wallace of Saltaire (LD)]

My Lords, I have no interests to declare. Like the noble Lord, Lord Norton, I am an academic and am interested in clear language, among other things. I was horrified when I first read the Bill by the looseness of its language. Devolution has already been mentioned. The PACAC report some three years ago on the governance of England noted that

“we … refer to what is currently taking place in England as ‘decentralisation’”

rather than devolution, but it is not really effective devolution. This Bill carries on what its predecessor under the Conservative Government was doing in providing a mayoral strategic structure throughout England.

“Local”, “community” and “neighbourhood” are used extremely loosely throughout the Bill. The use of “strategic” implies something that is not local and has to be seen separately from it. Incidentally, in talking about strategic authorities, we enter into the structure of government in the United Kingdom and are talking about constitutional matters—although, with the odd absence of constitution that we have in this country, Governments can muck about with local government in a way that no other constitutional democracy that I am aware of can.

I regard community as very local. In France, the commune is the village, and each commune has a mayor. I think about the ward represented by my colleague the noble Baroness, Lady Eaton; she has five or six separate communities within the one ward. Neighbourhoods are parts of towns or cities, and a neighbourhood is somewhere you can walk around, but the Bill uses those terms to cover much larger areas. That raises questions about its relationship with central government, in setting up a network of strategic authorities.

I have submitted a later amendment that refers to a mayoral council for England; that indeed has been set up by prime ministerial fiat, but is only a pale shadow of the structure for the Council of the Nations and Regions and the mayoral council associated with it, which Gordon Brown usefully proposed some years ago. If we are to have real devolution, there will have to be some mechanism for negotiation between strategic authorities and central government. That is why the absence of any reference to the fiscal issue here also indicates that we are not really dealing with devolution.

The last thing I want to say is that, according to all the opinion polls, we are in a situation in which public trust in national government is remarkably—horrifyingly —low. Public opinion polls also say that public trust in local government is less bad than it is in central government. Strong local government, with councillors whom your average voter might actually know, is one of the ways that one holds democracy together. Colleagues like the noble Baroness, Lady Eaton, find themselves trying to represent 15,000 people per ward in a district like Bradford; that is not really effective local democracy. It is very hard for the councillor to know all the electors, let alone for the electors to know the councillors. When we come to the question of town and parish councils, and devolution from strategic authorities to the levels below, we will wish to emphasise that.

I signal that, as we talk about the context of the Bill and strategic authorities, we must first be clear how those strategic authorities relate to central government and, on the other side, how they relate to the single tier of effective local government and to the town and parish councils in which we hope your ordinary voter will find some sense of identity and participation.

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

Before I comment on the amendments in this group, I send my very best wishes to the noble Baroness, Lady Pinnock. We had an online meeting with her last week, and I know how frustrated she is not to be able to be part of this Committee’s work at the moment. I hope that she will be able to return to work with us in due course, so please convey our best wishes back to her.

I thank all noble Lords who have continued to engage with me since Second Reading and for the amendments that have been submitted. This House does great work on Bills, as I have experienced on both occasions that I have taken Bills through the House recently, and I am very grateful for that engagement and the work that has been done between Second Reading and Committee. I will start with a brief introduction of my own.

The Bill will deliver a landmark transfer of power out of Westminster to mayors and local leaders, enabling them to unlock growth, transport and infrastructure and deliver the change that we need in our local areas. It will deliver our commitment to a fit, decent and legal local government as the foundation of devolution by establishing, for example, a new local audit office that will transform our broken local audit system. We have committed to transfer power out of Westminster to all levels, which is why the Bill will also empower our communities via a new duty for local authorities to establish effective neighbourhood governance, bringing decision-making closer to communities, and a new community right to buy, which will help our authorities to have the power to do with the assets that they value what they think is the right thing.

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[Lord Shipley (LD)]

My Lords, I would like briefly to contribute in the hope that I can be helpful to the Minister at this point. There is a list of areas of competence in Clause 2. The noble Lord, Lord Jamieson, told us that this was a probing amendment. By implication, I think that that means some thought can now go into the list of areas of competence.

I just want to add one new thing. I was a board member of a regional development agency, One North East, for a number of years. There is a difference between the list of areas of competence that we had and this list. Let me explain. We had a rural role and a role in culture and sport, particularly capital investment. We had a clear role in tourism and in energy. We had no role in public safety, health, well-being and public service reforms, or community engagement and empowerment, and we did not directly address issues of poverty, although we did indirectly by the nature of what the RDA was trying to do. I wonder if the Minister might take on board all that has been said and look at those areas of competence. I hope that they are not seen to be a final list. In my view, they are not a final list but a very good basis for discussion. I hope that the Government will be willing to do that before Report.

[Baroness Taylor of Stevenage (Lab)]

My Lords, I thank all noble Lords for their amendments on the areas of competence and for what has been a useful and helpful discussion on the subject. Many of the amendments in the group seek to probe the list of mayoral competences and I understand why noble Lords would want to do that, but I want to be clear that the areas of competence are deliberately broad to enable a wide range of activities to fall within the scope of strategic authorities. They are intended as a framework that mayors can adapt as their local areas determine where they should place the emphasis.

Amendment 8, tabled by the noble Lord, Lord Lansley, seeks to create a distinct area of competence of “community engagement and empowerment”. It is important that all tiers of local government work to deliver for their communities, as we all know. Strategic authorities, like any other tier of government, will be empowered to engage with those who live and work in their areas. Those already in place do so effectively.

Indeed, many existing combined and combined county authorities already use their powers to engage with their communities to ensure that their work meets local needs. For example, West Yorkshire Combined Authority has an established region-wide engagement platform, known as Your Voice, to strengthen dialogue with local communities. Through this initiative, alongside wider public engagement activity, the authority is gathering views to inform decisions on how its devolved funding is allocated.

The York & North Yorkshire Combined Authority has invested £1.9 million to support community building projects across the region. Funding has been given to buildings which play an important role for communities, such as the village halls in—I always hesitate to use the Yorkshire pronunciations, so forgive me if I get this wrong —Great Ouseburn and Kettlewell.

The areas of competence have been framed to enable a wide range of activity to fall within scope, including community engagement and empowerment. In this sense, it will be embedded within and throughout all the existing areas of competence. These competences are deliberately flexible. I take the point made by the noble Lord, Lord Lansley, about any power in the Bill, but we intend for it to be a framework; I will reflect on that point and come back to him.

The noble Lord, Lord Mawson, made a point about action and impact, as opposed to the broader framework. I refer him to the Pride in Place funding that does exactly as he was describing; it is £20 million of funding for each of 250 neighbourhoods. This is a long-term project, over 10 years, to make sure that each place is able to shape the things that are important to it. I refer the noble Lord to that important project, which shows how we are working with communities—not to them—to move forward the kinds of projects that he was talking about.

Amendment 9, tabled by the noble Baroness, Lady Bennett, seeks to create distinct areas of competence for

“reducing poverty and socio-economic inequality”,

and food security. She will not be surprised to hear that I share her objective of addressing poverty, socioeconomic inequality and food insecurity. The Government remain firmly committed to tackling these issues by addressing all the factors that underpin these challenges that we see in communities.

The areas of competence already enable strategic authorities to tackle poverty and socioeconomic inequality in a cross-cutting manner, via skills and employment support, economic development, investing in transport, tackling health inequalities and in many other ways. The same is true for food security. In Greater Manchester, the combined authority is taking concerted action to tackle food inequality and poverty through initiatives such as No Child Should Go Hungry, which has provided thousands of emergency food cards to residents. At a strategic level, mayors will take account of all the needs of their areas, and locally relevant information, such as the land use framework that colleagues in Defra are producing.

Amendment 3, tabled by the noble Lord, Lord Ravensdale, seeks to add energy to the existing transport and local infrastructure area of competence. The noble Lord and I have spoken about this Government’s energy plans and I have written to him today. With his permission, in a moment, I will quote briefly from that letter because I think it would be helpful for noble Lords to have a bit more detail. On the role that we intend strategic authorities to play in this space, while I am sympathetic to the noble Lord’s amendment, I do not believe at this stage it is necessary. As noble Lords will know, the themes of the areas of competence are, as I have said, deliberately broad in scope and include thematic policy areas such as local infrastructure and environment and climate change. Energy cuts across all these, as well as other areas of competence. Importantly, strategic authorities can, and will be able to, address their local communities’ energy needs through the areas of competence. Indeed, many are already doing so.

On future strategies, the Government are undertaking a number of pieces of work reviewing the benefits of local energy planning for meeting national goals, several of which will lay out our approach for local renewable energy. The forthcoming local power plan will be owned jointly by Great British Energy and the Department for Energy Security and Net Zero. That will outline our shared vision for the local and community energy sector. We are continuing to develop the local power plan with Great British Energy and updates will be provided soon. Similarly, the warm homes plan will cover housing retrofit and heat network zoning and will be published shortly. There will be more details in that plan on heat network zoning. The secondary legislation, rather than this Bill, will provide the necessary framework to empower local authorities to act as heat network zone co-ordinators under the Energy Act 2023. That is just a bit more information on those areas. For example, the Liverpool City Region is working to establish Mersey Tidal Power, with the aim of delivering Europe’s largest tidal power project by 2030, capable of powering up to 1 million homes. In the west of England, the combined authority has implemented its local energy scheme, which is funding community-led renewable projects.

Amendment 4, tabled by the noble Lord, Lord Freyberg, seeks to add tourism to the existing economic development and regeneration areas of competence. The Bill already makes provision for strategic authorities to support the tourism industry. Clause 41 extends local powers to strategic authorities to encourage and promote visitors. Combined authorities and combined county authorities can use these powers to promote tourism and host events attracting visitors to boost local businesses such as hotels and shops. Many existing combined authorities and county authorities are already making use of these powers. For instance, the West Midlands Combined Authority is investing £120 million into an economy, trade and tourism programme, supporting over 250 businesses and 10 major sporting and cultural events. This example demonstrates that prescribing an extensive list of industries and sectors within the area of competence is not required. The areas of competence will empower mayors and strategic authorities to determine their own priorities in the application of their powers, and many are already doing so to address local issues such as tourism.

Amendment 2, tabled by the noble Baroness, Lady Scott, would remove transport and local infra- structure from the areas of competence for strategic authorities. I note from the noble Baroness’s explanatory statement that her intention in tabling this amendment is to probe how the power to borrow will work for mayoral strategic authorities. I think the noble Lord, Lord Jamieson, was probing this during his speech. All existing mayoral strategic authorities already have the power to borrow for all their functions, including transport. Clause 12 will confer the power to all future mayoral strategic authorities. Strategic authorities have full discretion over the exercise of borrowing powers and allocation of resources, subject to obtaining the requisite support from their constituent members via the budget voting process.

Like the rest of local government, strategic authorities must also operate within the prudential framework— I think all noble Lords here would expect that. This framework comprises statutory duties and codes intended to ensure that all borrowing and investment is prudent, affordable and sustainable. It provides robust mechanisms for oversight and accountability. In practice, this amendment would remove transport and local infrastructure from the areas of competence for strategic authorities. That is clearly contrary to the aims of the Bill.

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[Baroness Scott of Bybrook (Con)]

I am sorry, but the Minister does not seem to have mentioned this: I think we are also probing where LRS would fit in and what level they would be if they are going to continue.

[Baroness Taylor of Stevenage (Lab)]

I will finish what I am saying, then I will see whether I can answer the noble Baroness’s question.

Including public safety within the areas of competence is important for several reasons. First, it enables devolution of further public safety functions. For example, consideration is currently being given to the role of strategic authorities in resilience as part of the post-implementation review of the Civil Contingencies Act 2004, due to be completed by March next year.

Secondly, it allows mayors to delegate certain existing functions relating to public safety to a commissioner; where the mayor is responsible for policing, they must appoint a deputy mayor for policing to whom policing functions are delegated. Additionally, the inclusion of public safety within the areas of competence allows a mayor who is responsible for fire services, but not for policing, to delegate certain fire-related functions to a public safety commissioner.

Thirdly, it enables the mayor to convene local partners and collaborate with other mayors to tackle questions of public safety—something all residents would expect them to do. There is a wide range of activity in which we would expect mayors to participate.

Amendment 11, tabled by the noble Baroness, Lady Scott, seeks to clarify how strategic authorities will seek and assume powers within their area of competence and then be held to account. One of the central aims of the Bill is to move away from the current patchwork of powers and piecemeal devolution of functions. To that end, the Government’s ambitious new devolution framework will set out a coherent and consistent set of functions.

Part 2 of the Bill sets out specific functions and the voting and governance arrangements that strategic authorities will automatically receive at each level of the devolution framework, categorised under the relevant area of competence. For example, the duty to produce a local growth plan is categorised under the “economic development and regeneration” area of competence. The Bill allows for new powers and duties to be added to the devolution framework over time, ensuring that it remains adaptive and responsive to future needs and policy developments. Mayors of established mayoral strategic authorities will also be able to request and pilot new functions so it will be possible to test and evaluate outcomes ahead of adding new functions to the framework.

Finally, I turn to accountability. Combined authorities and combined county authorities—

[Lord Lansley (Con)]

My Lords, while the Bill clearly allows for additional functions and powers to be given to mayoral strategic authorities, the specific question was whether the Bill has a power to enable the areas of competence list to be amended.

[Baroness Taylor of Stevenage (Lab)]

I heard the noble Lord’s question. I responded earlier that I will come back to him on how this works within the Bill, so if that is okay, I will do it in writing and share it with other Members of the Committee.

Combined authorities and combined county authorities are required in law to establish both an overview and scrutiny committee and an audit committee. Also, all strategic authorities are expected to follow the principles and processes in the English devolution accountability framework and scrutiny protocol. The Government remain committed to strengthening local accountability and scrutiny, and we are exploring models such as local public accounts committees; we will provide an update on our proposals in that regard in due course.

I hope that, with these reassurances and explanations, the noble Lord will feel able to withdraw his amendment.

[Baroness Bennett of Manor Castle (GP)]

Perhaps I might come back to the issue of food security. In her answer, the Minister talked about access to food, which is obviously a crucial part of food security and very much related to poverty, but I do not think she really talked about food production and local systems of food distribution, which tie in with the question asked by the noble Earl, Lord Devon—particularly in terms of vegetables and fruit. We are talking about health, as well as pure calories, here. Do the Government see looking to produce as much food as possible locally as an important part of the new strategic authority?

Back in the depths of Covid, I chaired an online event on research from the University of Sheffield demonstrating that Sheffield could be self-sufficient in vegetables and fruit, growing in the green areas of the city. That is just a demonstration of the possibilities: if you get local attention on solving these issues, we can make real progress.

[Baroness Taylor of Stevenage (Lab)]

I understand why the noble Baroness is pushing her point strongly, but I will stick to the answer I gave: those areas of competence already enable a very wide framework to tackle poverty and socioeconomic inequality—including food production, if that is where the mayor chooses to go in a particular area. The issues raised by the noble Baroness are cross-cutting aspects so putting them into one of the competences would mean that you would not be able to work so effectively across those competences, including on things such as skills and health inequalities. It is right to leave the framework of competences as broad as possible to allow people to determine the best way forward at a local level.

There is other work going on in Defra, as the noble Baroness will be well aware, in relation to land use frameworks—as well as all of the other issues around how we account for local food production—but, from the point of view of this Bill, the competences and the broad framework that they offer give the widest framework for local authorities to tackle needs in their areas.

[Lord Mawson (CB)]

I know that the Minister cares a lot about these issues around community engagement, which is always encouraging to people such as me. As a social entrepreneur, I have spent my life at the other end of this telescope. I now operate with a team across this country, in some of the poorest communities, grappling with local authorities and the machinery of the state.

To be honest, we and some of our business partners find a lot of this state machinery very broken indeed; it is very difficult to make it work in practice. What people such as me are trying to suggest is that there needs to be some humility. It is difficult. I am aware that lots of colleagues in this Room have spent a lot of their lives in the public sector—I get all that; it has been my privilege to work with some rather excellent CEOs of local authorities and in the health service, as well as some who have not been so good, if I can put it like that—but there are real challenges with this machinery, whatever we say. I am experiencing them at the moment in one town in the north, where our Civil Service is not understanding the granular, practical detail of transformation and innovation—or what those things look like—and is in danger of putting old men in new clothes.

So, with the opportunity that appears before us in this legislation, let me explain why we need to create, at a granular, local level and in place, learning-by-doing cultures that pay attention to how we work with the public, local authorities, the health service, charities and the social sector—that is, how those interfaces work in practice to deliver. I suggest that it is because, at the moment, although the words all seem fine and lots of people care about this, when you try to do this stuff—as my colleagues and I do—something quite different starts to appear. I fear that, if we are not careful—and unless we grip some of that difficulty and some of the things that some of us have got a lot of grey hairs from trying to do—there will be lots of meaning well, but very little will change, in some of our poorest communities.

[Baroness Taylor of Stevenage (Lab)]

I thank the noble Lord, Lord Mawson, for those additional points. In this Room there are many people from local government, who have spent many years working to make sure that what he called the machinery of state is not interfering with actually delivering at local level. What we are trying to do with the Bill is to make sure that we continue that, but no doubt we will have many discussions about whether or not it is going to work.

It is very important that what we do is driven by local people at local level. The Co-operative Councils’ Innovation Network, which I started with my right honourable colleague from the other end, Steve Reed, about 15 years ago now, sets up pilot projects to show exactly how you start with the impact at local level and then work up to what needs to be done in the machinery to make that work. That is what I want to do but on a national scale, and I hope that the Bill will go a long way towards doing so.

[Lord Ravensdale (CB)]

My Lords, I raised a minor point around paragraph (a) in Clause 2—“areas of competence”—which refers to “transport and local infrastructure”. My point is about the wording. That could perhaps be taken to mean local infrastructure related to transport. That is probably not the intention of the Government and this is local infrastructure in general, but perhaps there is an opportunity to clarify that wording.

[Baroness Taylor of Stevenage (Lab)]

The noble Lord knows, because we have had the conversation, that I feel that the order of that wording is a little unfortunate. We will reflect on that because it does look as though it is infrastructure related just to transport. That is not the intention of the Bill. The Bill is intended to reflect that the competences will include local infrastructure and transport. If that local infrastructure relates also to transport, well and good, but it might be other infrastructure. So I will reflect on that and come back to the noble Lord.

[Lord Jamieson (Con)]

My Lords, I am grateful to all noble Lords who have spoken on this group. What has emerged quite clearly is that there is a huge desire across the Committee for a proper devolution framework that is both ambitious and workable, and one that truly empowers local leaders while ensuring clarity, accountability and coherence.

I want to come back to competence because there appears to be some confusion. My noble friend Lord Porter raised the fact that local authorities already have a general power of competence. Therefore, I want to be clear: what do we mean by competence in the Bill? As the noble Lord, Lord Mawson, raised, what matters for the public is delivery. For that to happen, local authorities, mayors and strategic authorities need to have the responsibility, the powers and the funding. My noble friend Lord Lansley, in helpfully referring to the White Paper, said that a competence is a strategic mandate “to do”, as opposed to the general power of competence. I would really appreciate it if the Minister could clarify—not necessarily now—exactly what we mean by an area of competence and what that means in terms of responsibilities, powers, funding and the ability to do.

The noble Lord, Lord Ravensdale, mentioned energy. Over a century ago the last energy revolution of neighbourhood gas and electricity was rolled out by local authorities because they had the power and the funding—they did not have the responsibility but they took the responsibility—to do so. By the sounds of it, many noble Lords here would like local authorities to be in the same position again to be able to do things at the local level.

The noble Lord, Lord Freyberg, mentioned tourism, which is absolutely crucial to delivering economic growth, particularly in certain areas, such as Bedfordshire, where we have the delights of two national zoos and various other things.

My noble friend Lord Lansley and other noble Lords raised the very important issue of empowerment. It is partly because of the need to try to delve into and understand this that my noble friend Lady Scott and I tabled some of our amendments. Amendment 2 seeks precisely to understand what is meant by the devolution of transport powers; I appreciate that the Minister provided some clarity on that. Amendment 5 is about public safety; that term has significant implications, some of which were raised by the noble Lord, Lord Wallace of Saltaire. My noble friend Lady Scott raised the important issue of LRFs and where they will fit in the future. The importance is around how this will work in the future and the clarity as we go through this process. It is not just about what areas people are competent in but what powers, funding and responsibilities they will be given to deliver that.

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[Lord Jamieson (Con)]

My Lords, before I speak to these amendments, I have a point of clarification: I believe that my noble friend Lord Parkinson was referring to Bristol, not Ipswich.

The amendments in the names of the noble Earl, Lord Clancarty, and the noble Baroness, Lady Prashar, would add the arts, creative industries, cultural services and heritage as an area of competence. The noble Earl has long been a vocal advocate for the cultural and creative sectors; his contributions to these debates and their economic, social and civic value are well recognised by the Committee. The case made by the noble Earl is compelling, as is the case made by the noble Baroness.

Cultural policy is most effective when it is shaped locally, with the flexibility to reflect the distinct histories, assets and ambitions of local areas; we have heard this from pretty much every noble Lord who has spoken today. Taken together, these amendments ask an important question: what role do the Government envisage for culture within the devolution framework? The Bill as drafted is silent on this point. Many combined authorities already treat culture as a strategic priority; local leaders would welcome clarity that they may continue to do so within the new statutory framework.

As with earlier groups of amendments, the issue here is not simply whether culture matters—few in this Committee would dispute that, I think—but whether the Government’s model of devolution is sufficiently flexible and ambitious to allow strategic authorities to support and grow the cultural life of their areas. These amendments invite the Government to set out their thinking and explain whether the omission of culture from Clause 2 is deliberate or merely an oversight. I look forward to hearing the Minister’s response.

[Baroness Taylor of Stevenage (Lab)]

My Lords, I thank the noble Earl, Lord Clancarty, for Amendments 6 and 51, and the noble Baroness, Lady Prashar, for Amendment 10. These amendments seek to create a distinct area of competence for culture; and to enable a mayor to appoint a commissioner to this additional area of competence. As noble Lords will be aware, we had long discussions about this matter during the passage of the then Planning and Infrastructure Bill.

When I was thinking about this, I thought I would have a look at what was going on in Hertfordshire, my own county, which calls itself the Hollywood of the UK. That might be disputed territory, but that is what it calls itself. When you look at the economic impact in Hertfordshire, there was film and TV investment of £3.7 billion, and 4,000 direct jobs, but 7,000 to 19,000 jobs if you include supply chain and freelance workers. There were major new investments, such as Sunset Studios in Broxbourne, which brought £300 million a year into the local economy; Sky Studios Elstree has an estimated value of over £3 billion over the first five years; and then there are Warner Brothers, Elstree Studios, and all the rest.

I know that is the economic dimension of this, but the whole ecosystem starts with local arts and grass-roots infrastructure, skills and training, and inspiring a new generation of creatives to go into the industry. Mayors and strategic authorities can, and already do, play a very important role in these areas. That is precisely why the Bill’s existing areas of competence have been framed as they have. They are deliberately broad, enabling a wide range of activity to fall within scope, including cultural, creative and heritage activity.

I thank the noble Baroness, Lady Prashar, for correctly highlighting the power of these activities to tackle some of the divisions we are seeing in society; they play a very powerful role in that respect. My noble friend Lady Griffin highlighted the importance of skills enabling the culture industries to thrive, which illustrates the cross-cutting nature of the competences because skills in the creative industries and elsewhere are included in the competences as we see them.

For example, Clause 41 extends a broad power to strategic authorities to encourage and promote visitors to their area. That power sits under the “Economic development and regeneration” heading. This demonstrates how these activities are intended to be captured without the need to list them in a separate policy area. Indeed, many authorities already fund and support culture and heritage initiatives using their existing powers.

The noble Viscount, Lord Colville, made a point about the West Midlands and Birmingham. As we have already had north-west and Yorkshire examples, I will use the example of the West Midlands Combined Authority, which invested £4.1 million into arts and culture projects as part of the legacy funding following the 2022 Birmingham Commonwealth Games.

However, I take the noble Viscount’s point that for local authorities this has been a very difficult time when they are faced with the difficult choice between whether they fund the adult care services and the children’s services or arts services. That is why this Government have started to work on the fair funding of local government so that we can get local government’s confidence back that there is the possibility to invest.

The provisional 2026-27 settlement will make available £78 billion in core spending power for local authorities in England. That is a 5.7% cash-terms increase compared with 2025-26. By the end of the multi-year period, we will have provided a 15.1% cash-terms increase, worth over £11 billion, compared with 2025-26. The reforms ensure that this funding is allocated fairly and that the places and services that need it most are supported. It is for services such as adult care and children’s services, but it will also ensure all areas are able to deliver at the kinds of cultural services that we have been talking about.

In my own area, I hung on to the Gordon Craig Theatre in Stevenage. In spite of successive cuts in funding, we recognised its value to our community, not only in terms of our strong cultural life but to skills and our economy. It is what the noble Lord, Lord Bassam, called recognising the long-term strategic benefit of what that brought to our community. While I am talking about specific places, the noble Lord, Lord Wallace, mentioned Bradford, and I congratulate Bradford on its fantastic year as City of Culture. It has done an amazing job, and we look forward to that continuing in Bradford and elsewhere around the country.

On commissioners, I note that they are an optional appointment for mayors to support delivery in a specific area of competence. Mayors are able to shape the exact brief of the role, and it would therefore be reasonable, for instance, for a commissioner focused on economic development and regeneration to also lead on a strategy focused on culture and the creative industries.

However, I note the concerns of all noble Lords who have spoken, particularly the noble Earl, Lord Clancarty, who is a great champion in this area, and the noble Baroness, Lady Prashar. I would be very happy to meet them and discuss this further before we get to Report. I hope that with these reassurances, the noble Earl feels able to withdraw his amendment.

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[Baroness Taylor of Stevenage (Lab)]

My Lords, I thank the noble Baronesses, Lady Royall of Blaisdon and Lady McIntosh of Pickering, for their amendments on rural affairs, and I thank all noble Lords who have spoken in this debate.

I will begin by responding to Amendment 7, tabled by my noble friend Lady Royall of Blaisdon, which seeks to create a distinct area of competence for rural affairs. Strategic authorities cover a range of geographies in England, from highly urbanised areas, such as the West Midlands Combined Authority, to more rural geographies, such as the Devon and Torbay Combined County Authority. Mayors and strategic authorities will be empowered to support all communities within their geography, including rural communities.

It is for this reason that the areas of competence are deliberately broad in their definitions. The topics that they cover are matters which apply to all communities—for example, transport and local infrastructure or housing and strategic planning. We have heard lots of descriptions of why those topics are particularly important in rural areas, but they will be important in different ways to the way that they are important in urban areas. It is right that, at local level, local leaders are empowered to deal with them as appropriate in their area.

Many existing combined and combined county authorities are making use of powers which have not been badged as rural functions to support their rural communities. For example, the mayor of the York & North Yorkshire Combined Authority, David Skaith, is making use of transport functions to build the foundations for a working rural bus franchising model across the area. It aims to deliver a better bus service for areas that currently see only one bus a week—more of that later. Were a specific competence for rural affairs to be included, it could run the risk of encouraging rural areas to be considered in isolation. By that, I mean we do not want rural areas to become a silo that is only one person’s responsibility; we want it to be a responsibility across all those competences. With that in mind, I hope that my noble friend will feel able to withdraw her amendment.

I now turn to amendments tabled by the noble Baroness, Lady McIntosh of Pickering, which seek to ensure that mayors appoint a commissioner where any of their area is classified as a majority or intermediate rural area. I point out to the noble Baroness that, although the structure of the rurality funding in the formula has changed, it has not been taken out; it has been reallocated with the fair funding formula. We have built sparsity considerations into the fair funding formula. The way it has been done has been changed and it has a different name, but we have included consideration of sparsity in that funding formula.

To turn to her amendment, commissioners are an optional appointment for mayors to help bring additional expertise to support delivery in a specific area of competence. Mayors are able to shape the exact brief of the role. It would be reasonable, therefore, that a commissioner focused on economic development and regeneration could lead a strategy focused on the rural economy, for example. As I have outlined, rural matters cross multiple areas of competence. Commissioners will not be precluded from addressing these rural considerations in their work. In practice, it would be possible for a mayor to appoint a commissioner to an area of competence that has a rural relevance in the area, such as environment and climate change, and then give them a locally appropriate title, such as deputy mayor for the environment and rural affairs. These amendments would also mandate the appointment of a commissioner, removing the mayor’s right to choose whether to appoint a commissioner or not.

Amendment 128, tabled by my noble friend Lady Royall of Blaisdon, would require strategic authorities and their mayors, when considering whether or how to exercise any of their functions, to have regard to the needs of rural communities. The Government fully recognise the importance of rural communities and are committed to ensuring that they benefit from devolution.

Mayors already have a strong track record of using their powers to support rural areas. For example, in the north-east, Mayor Kim McGuinness is investing £17 million into the rural economy, supporting farming businesses and rural tourism. The North East Combined Authority has established a dedicated coastal and rural taskforce to ensure that rural and coastal communities are fully represented in investment decisions.

The noble Lord, Lord Best, highlighted housing issues for rural areas. I am very grateful to him for his work on the Devon Housing Commission and his continual advocacy, when I am dealing with housing matters, that I keep considering the needs of rural communities. That has been really helpful.

The noble Baroness, Lady Scott, spoke about broadband infrastructure in rural areas. I visited colleagues of hers in Cromer recently, who were very keen to stress that among the other issues that coastal communities are facing. It is really important, but the Government’s view is that adding a statutory duty may create unnecessary complexity without delivering additional benefits. We want the benefits to come from the overall structure and empowering our mayors to act in the best interests of their communities.

I turn to the amendment to Amendment 128 tabled by the noble Baroness, Lady Bennett. I fully agree that transport is vital to rural communities, but this issue is already well addressed through existing powers and investment. The Bus Services Act 2025 strengthens local leaders’ ability to protect services, and from 2026-27 more than £3 billion will support better bus services, including nearly £700 million per year for local authorities. Importantly, for the first time these allocations take rurality explicitly into account, recognising the higher cost of serving remote areas.

The noble Baroness mentioned biosecurity; I will respond to her in writing on that. She also referred to her earlier remarks on food security. To add to my earlier response, the good food cycle published in July 2025 sets out the Government’s vision to drive better outcomes from the UK food system for growth, health, sustainability and resilience. There are 10 outcomes in that cycle, on healthy and more affordable food, good growth, a sustainable and resilient supply and vibrant food cultures. It has a set of near-term priorities, including securing resilient domestic production, generating growth elsewhere in the food system which supports positive public health and environmental outcomes, and improving food price affordability and access—in particular, targeting costs that lead to food price inflation and supporting those who most need access to healthy, affordable nutrition. I am happy to write to her further on that if it would be helpful.

[Baroness Bennett of Manor Castle (GP)]

I thank the Minister for making the special effort to provide that extra response, but that is what Westminster is doing. I am talking about what local authorities and strategic authorities can decide for themselves to do in their local area, not relying on a direction down from Westminster.

[Baroness Taylor of Stevenage (Lab)]

I take the point. That project is being supported by the Food Strategy Advisory Board, including extensive engagement across government. I will take back the point that that should include all tiers of local government, as the noble Baroness makes a fair point.

Through rail reform, mayoral strategic authorities will have a statutory role in the design of local rail services and all tiers of local government will benefit under the new Great British Railways business unit model, taking local priorities into account. The noble Baroness also referred to cycleways. I am very proud of where I live because my town was built with 45 kilometres of built-in cycle infrastructure. This is an important opportunity for our new towns as we develop the work of the taskforce. I know the noble Lord, Lord Gascoigne, will again be interviewing our Secretary of State in the Select Committee tomorrow on these and other matters. Gilston, which is a garden village near Harlow, made provision for a cycleway. We have to think about that. While we agree on the importance of these issues, the amendment is unnecessary because this Bill and other government activities will already enable authorities to secure improvements to rural transport without imposing an additional legal duty.

Finally, Amendment 260 tabled by the noble Baroness, Lady McIntosh of Pickering, would require the Secretary of State to publish an assessment of the impact of the Bill on rural areas before any regulations could be made using the powers in this Bill. Ahead of the introduction of the Bill, my department assessed the impacts of regulatory policies within it on businesses and households, urban and rural. This impact assessment was given a green rating by the Regulatory Policy Committee, indicating that it is fit for purpose. It would not be proportionate to complete another impact assessment solely for rural areas, given that our original assessment applies to those as well.

May I just refer to the remarks made by the noble Lord, Lord Cameron? He referred to the importance of the rural voice being heard across government. I completely agree. The mainstreaming of rural affairs across competences is vital, as is the freedom for mayors to address their local issues in the best way to tackle their local challenges.

In talking about bus services, the noble Lord reminded me of when I did a review of the universal credit system a while back. I was sent to Blandford Forum in Dorset. Some of the people who were working on their skills with the jobcentre had to visit the jobcentre every day. The problem with that was that the bus fare was £9 and there was only a bus to get there, with no bus to get home again; you may have wanted to improve your skills but it was very tricky to do so because, although you could get there, you could not get back home again. That was one of the big flaws in the universal credit system. Of course we want to keep track of people who are trying to develop skills, but there are difficult issues around that in rural areas.

When we discussed London-style bus services across the country—I am sure that the noble Baroness, Lady Scott, will remember it well from the then levelling-up Bill—it raised the eyebrows of my noble friend Lady Hayman of Ullock. My noble friend lives in Cumbria, so London-style bus services are quite a long way from the service she gets in her local area. I understand the issues, but I think that enabling mayors —and their commissioners, if they choose to do it in that way—to address their local issues is the best way to tackle local challenges in these areas. For these reasons, I ask my noble friend to withdraw her amendment.

[Baroness McIntosh of Pickering (Con)]

My Lords, I am grateful to the Minister for her response. She referred to an impact assessment. We used to use the tried-and-tested method of tabling an amendment to ask for an impact assessment to be prepared. If the department has prepared an impact assessment, would it be possible for the Minister to publish it while this Bill is going through? That would be immensely helpful.

[Baroness Taylor of Stevenage (Lab)]

Let me just check with my civil servants so that I do not say something I should not say. I believe that it has been published; I will send the noble Baroness a link to where she can access it.

[Baroness Royall of Blaisdon (Lab)]

My Lords, I am grateful to all noble Lords who have participated in this short debate and to my noble friend the Minister for her response.

I am of course delighted that mayors are empowered to support every part of their constituency; it must be their aspiration that they do so. It is very good that there are such broad areas of competence. I warmly welcome the great examples from Yorkshire and the north-east cited by my noble friend. However, I firmly believe that this Bill must be, and must be seen to be, relevant to and beneficial for all areas of our country. As the noble Lord, Lord Best, pointed out, it is the case for many mayoral areas that, in population terms, such a tiny proportion of their constituents are from rural areas; it would be very easy to overlook their needs.

The noble Lord, Lord Cameron, spoke about rural-proofing. That is absolutely vital. I wonder whether we could have some discussions before Report on how there can be some sort of rural-proofing in this Bill. Personally, I would favour a duty that could be included in order to ensure that the needs of rural areas will be properly addressed. I recognise that it will be the desire of all mayors to ensure that they are properly representing and addressing the needs of all their constituents, but I fear that that might be very difficult when funding is stretched, as it is bound to be. I would like to see some means of ensuring that the needs of rural areas are properly addressed; perhaps we could discuss that further before Report. I beg leave to withdraw my amendment

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[Baroness Taylor of Stevenage (Lab)]

My Lords, I thank the noble Lord, Lord Gascoigne, for this amendment, which seeks to ensure that new strategic authorities have the capability to take on additional powers. I recognise the noble Lord’s intention to ensure that all strategic authorities are strong and effective in delivering their devolved responsibilities; of course, that is a goal that this Government share. However, this amendment would create an express separate requirement on the Secretary of State, adding complexity to the process of establishing new strategic authorities—much of that burden was described by the noble Baroness, Lady Thornhill—that, in my view, potentially risks their autonomy without providing an equivalent benefit.

I assure the noble Lord that the Government are building on the capability and capacity of new strategic authorities to ensure that they can deliver the new devolution framework. Let me give him a little detail around how that is working. The Government support the improvement of strategic authority capability by funding the Local Government Association to deliver a sector support programme, which is available to both strategic and local authorities; that includes training for both officers and elected leaders, support in attracting new talent, and guidance on topics such as good governance and assurance. We will continue to review that offer to make sure that it remains fit for purpose.

The Government are also seeking to facilitate greater take-up of secondments by civil servants into strategic authorities to ensure that those authorities benefit from the widest range of capability available. We are keen to support areas establishing strategic authorities to get on to a firm footing and to be best equipped to start delivering improved outcomes for all local communities. We are doing this through the provision of a checklist that sets out the key requirements they will need, information sessions with a number of key government departments and a series of master classes for areas on a number of different topics, such as developing a local constitution and risk management. As an example, when a new combined authority or combined county authority is established, there is a year-long transition period when public transport functions remain exercisable by the constituent councils while the new authority creates an effective transport team.

We are very aware of the issues raised by the noble Lord, but I hope that he agrees with me and that my reassurances are sufficient for him to withdraw his amendment.

[Lord Gascoigne (Con)]

My Lords, I am very grateful to the Minister, as ever.

The noble Baroness, Lady Thornhill, got me going: she talked about her rose-tinted glasses and I had visions of the infamous Rose Garden treaty. I thought that this would be a new version of the Tory-Lib Dem alliance, but she dashed my hopes there and then.

I appreciate the Minister’s point. I think she mentioned “levelling up”, but this amendment is to try to give effect to levelling up. It is not to lock people out; it is to make sure that levelling up is delivered for them. I think that there is possibly somewhere where we can meet there.

As ever, I am very grateful to my noble friend Lady Scott for her genuine support. I am pleased to hear from the Minister’s remarks that there is some work to be done. I would like to have further discussion, perhaps with the LGA, as the noble Baroness, Lady Thornhill, said. There may be something that we could work on, or at least tip our hats to—I do not know. With that, I beg leave to withdraw my amendment.

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However, from the point of view of this Bill, I agree with the principle of devolving those services that should be for local people to organise, but the revolutionary idea of putting in law that it has to happen is a bit too far for us.

[Baroness Taylor of Stevenage (Lab)]

My Lords, I thank the noble Lord, Lord Shipley, for Amendment 13, which seeks to ensure that power is moved away from central government—we all agree with that—to strategic and local authorities. The amendment would place a new statutory duty on strategic and local authorities to

“consider whether any of its powers may be exercised at a more local level”

of government. Should the strategic authority or local authority believe that to be the case, they must

“act so as to enable such devolution”.

I am afraid that this amendment runs counter to the spirit and purpose of the Bill, and risks creating a patchwork of powers across England, with strategic authorities and local authorities holding different sets of powers depending on where they are in England. We believe that allowing different tiers and areas to hold different responsibilities would blur accountability, make it harder for the public to understand who is responsible for what, and weaken value-for-money assurance for investment by increasing duplication and misalignment. The amendment also risks devolving powers to bodies without the capacity to deliver them effectively—which is part of the point made by the noble Baroness, Lady Scott; people need to be willing to accept the duties—and could impose disproportionate and impractical consultation burdens on strategic authorities.

[Baroness Scott of Bybrook (Con)]

I do not want to give the idea that the parish and town councils across this country would not be able to do it. Some will, but some will not. I know town councils and parishes that run better services than district councils ever did.

[Baroness Taylor of Stevenage (Lab)]

I was highlighting the fact that the noble Baroness spoke about the willingness to adopt services, which I believe is important.

The devolution framework is designed to eliminate risk by ensuring that mayors and strategic authorities are given a consistent and coherent set of functions, to ensure that strategic authorities can make strategic decisions and deliver policies that span multiple local authority areas. It is important that all tiers of local government work together in the interests of their local communities. That is why local authorities are embedded within the decision-making structures of combined authorities and combined county authorities as full constituent and voting members. A blanket requirement for a strategic authority to meet tiers of local government is a significant administrative burden; for example, in North Yorkshire alone, there are 412 parish and town councils. There is nothing wrong with expecting mayors and local authority leaders to communicate with them, but imposing that approach could place a considerable cost of consultation on them and potentially crowd out the time they need for their core strategic responsibilities.

I take the noble Baroness’s point about town and parish councils. We are introducing a system of neighbourhood governance, and it is important that we have our debates on that when the time comes. We will, I am sure, debate the role of town and parish councils, but including them in the Bill would have indicated to them that the Bill will have some impact on them that it is not intended for the Bill to have. I totally recognise the work that our town and parish councils do around the country: it is important and I know that we will have those discussions when we get to those elements of the Bill.

On Amendment 13, it is important that we do not interrupt the Government’s intention to give a consistent and coherent set of functions to strategic authorities and that their work dovetails with what our local authorities are doing. I hope that that has reassured the noble Lord and that he will withdraw his amendment.

[Lord Jamieson (Con)]

Before the Minister sits down, I want to clarify one of the statements she made. This is a devolution Bill. She implied that she wants clarity that all functions are done at the same level across the country. To my mind, the whole purpose of devolution is that you do it at the level that is most appropriate. That may be very different, for instance, in Yorkshire compared with Stevenage. My noble friends from Yorkshire and Lancashire have disappeared, so I cannot refer to them. It may be that there is a brilliant parish council that can take on more responsibility—my noble friend Lady Scott of Bybrook mentioned Salisbury—whereas, in another area, we may say, “Well, no, that’s better done at the unitary or strategic level”. Devolution is about that local determination of how services are delivered at the best level for the best results for residents. I want to make sure that the Minister was not implying that that is not the case.

[Baroness Taylor of Stevenage (Lab)]

We have set out clearly in the Bill—with the competences, for example—where we see strategic responsibilities lying and where local council leaders will be responsible for the services they deliver. As we go through the local government reorganisation process, we will have unitary authorities across the country delivering those services. What we do not want to do is muddy the waters by saying that there will be some areas that have different strategic powers from others. That is why we have set out the competences in the Bill.

It is not about what you deliver at local level because the strategic competences allow that to be flexible across different geographies and demographics. It is about ensuring that the strategic level is delivered by the combined authority and local services are delivered by the local authority. I do not think it would be helpful to muddy those waters by having the picture be different across the country.

[Lord Shipley (LD)]

My Lords, the Minister asked whether I was satisfied by her responses; I am actually more worried now than when I started. I agree entirely with what the noble Lord, Lord Jamieson, has just said.

I will give an example of where the Government are heading for great difficulty. Let us take the area of competence for transport and local infrastructure. “Local” is not defined—I think my noble friend Lord Wallace of Saltaire will come back on the issue of definition at a later stage. I understand that strategic transport and major capital infrastructure, such as on a new railway line, is a strategic matter for a strategic authority, but I hope that transport and local infrastructure does not mean that every traffic-calming scheme in every residential road of a local authority has to be signed off by the mayor. I am keen for the Minister to be clear about what these terms mean because the Bill is not clear.

I jokingly referred to the powers I am proposing being revolutionary. They are very different, but they are an attempt to get everyone to understand that if you have a devolution Bill and think it is about devolution, it has to be devolution from the strategic authority where the mayor and the authority think their powers could go to local government. That debate has to be had. It is not, as the Minister said, about ending up with a patchwork of powers. Of course there will be differences in local areas. That is a positive, not a negative thing. Let us not call it a “patchwork” because that means that Whitehall and Ministers want to run 56 million people in England. In the end, having a standard system that everybody must fit into will not work. It will be a cause of great difficulty.

I am encouraged by some of the things that the noble Baroness, Lady Scott, said—that there are correct things in it, there are principles and it is well intended. The test of successful devolution is a willingness to devolve power from yourself rather than demanding it to yourself. The test is for the strategic authority to say, “We think the powers we have in this area could well be carried out by a local authority, so let’s talk about it”, and say to the local authority, “You in turn must decide whether you need to undertake these powers directly or can devolve them to others, including town and parish councils”. I do not believe that the Government will ever succeed with community empowerment plans unless they empower communities. This Bill is not doing that.

Paragraph 16 of the Explanatory Notes to the Bill says:

“The Bill will introduce a requirement on all local authorities in England to establish effective neighbourhood governance, to move decision making closer to residents, empowering ward councillors to address the issues most important to their communities at a local level”.


What it does not say is that that would not include the planning process or a whole set of services that local people might want to have some say in. The Government cannot make statements like that without then delivering the means to increase community empowerment. I will not give up on my Amendment 13. True devolutionists must follow their desire to give power to others to use in a country of 56 million people. For the moment, I beg leave to withdraw the amendment.

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[Lord Jamieson (Con)]

My Lords, I speak on this group of amendments concerning Clause 3, which addresses the creation of single foundation strategic authorities. The amendment in my name and that of my noble friend Lady Scott of Bybrook are probing in nature, and we have also given notice of our intention to oppose Clause 3 standing part of the Bill.

At the heart of our concerns is the familiar theme that we have returned to throughout the Bill, and I suspect we will again—the balance of power between central government and local communities. Too often the Bill grants the Secretary of State sweeping powers to create, reshape or direct local government structures with minimal checks, consultation and accountability. That is not the model of devolution that we believe in.

I also ask the Minister for clarification on the role of single foundation strategic authorities. Will all unitary and counties not in a combined authority be offered the opportunity to be a single foundation strategic authority? What powers and funding will they be given and how does this compare to combined authorities, mayoral and foundation mayoral authorities? Where will a single foundation strategic authority fit in the landscape? Could it be forced into a combined authority?

Amendment 14 in the name of the noble Baroness, Lady Janke, is sensible and necessary. It would require the Secretary of State to consult all levels of local government in an affected area before designating a single foundation strategic authority. Indeed, I would go further. Consultation should involve not only local authorities but local residents. If we are serious about localism and empowering communities, rather than simply rearranging governance structures, the voices of the people who live and work in those areas must be heard.

Amendment 15 in my name and that of my noble friend Lady Scott of Bybrook probes whether the affirmative procedure alone is sufficient scrutiny for the Secretary of State’s powers under this clause. Given the scale of the decisions being taken and the potential impact on local governance and accountability, it is legitimate to question whether Parliament should have a more substantial role in overseeing these powers.

Throughout this Bill we have systematically sought to remove or constrain the Secretary of State’s ability to create new authorities or confer new powers without proper consultation or local consent. Clause 3 as drafted continues the pattern of centralisation. For that reason, we have tabled an amendment opposing the question that Clause 3 stands part of the Bill. We believe that the Government must provide far greater clarity about how and when these powers will be used and what safeguards will be in place.

As I said earlier, this is a theme that we will return to later in the Bill. For now, I hope the Minister will reflect on the strong arguments made today for a more genuinely localist approach, one that respects local government, involves local residents and ensures that decisions about local government are not taken unilaterally by the Secretary of State.

[Baroness Taylor of Stevenage (Lab)]

My Lords, I thank the noble Baronesses, Lady Scott and Lady Janke, for their amendments on single foundation strategic authorities. Clause 3 provides a power for the Secretary State to designate a single unitary council or county council that is not covered by an existing strategic authority as a single foundation strategic authority. Any future designation of a single foundation strategic authority will be subject to the consent of the council involved. For this reason, the amendment tabled by the noble Baroness, Lady Janke, is not a necessary requirement.

I appreciate the intention behind the proposal. However, it would not be proportionate to impose an additional requirement to consult every level of local government within the proposed area of the single foundation strategic authority. The principal body affected by the designation will be the old unitary county council and no designation can be made without the consent of the relevant council.

The amendment tabled by the noble Baroness, Lady Scott, probes whether Clause 3 should be included in the Bill. Clause 3 is vital to ensuring that the Bill delivers on its ambition to ensure that everywhere in England can benefit from devolution. The Government recognise that non-mayoral devolution to single local authorities can serve as an important foundational step, allowing areas to see early benefits from devolution, while considering all options for unlocking deeper devolution by working with neighbouring local authorities in combined authorities and combined county authorities, over the longer term.

The second amendment in the group, Amendment 15 in the name of the noble Baroness, Lady Scott, and spoken to by the noble Lord, Lord Jamieson, probes whether the affirmative procedure is appropriate for the Secretary of State’s power to designate a council as a single foundation strategic authority. I should reassure the Committee that this is in line with the long-established practice whereby secondary legislation is used to establish new institutions and to implement agreed devolution agreements within areas.

In addition, the use of the affirmative procedure ensures that no designation can be made without the approval of both Houses. As I said, we want local authority designations to be done at the local level; that is the provision, I believe. However, the Government recognise that, in rare cases, non-mayoral devolution can serve as an important first step. To access further functions available at the mayoral tier, single councils will need to work across a wider geography.

I will let the noble Lord know about the issue of funding in due course in writing, if that is okay. Establishing those single foundation strategic authorities will accelerate the transfer of powers out of Whitehall to local government so that local leaders have a greater say over decisions in those areas.

With these reassurances, I ask the noble Baronesses, Lady Scott and Lady Janke, to withdraw or not press their amendments.

[Baroness Scott of Bybrook (Con)]

The Minister said that the affirmative procedure had to go through both Houses; I understand that. We have set up unitary authorities through secondary legislation up until now, and this Bill has never been needed. However, I am not quite sure what happens with a local authority that does not want this. Is there a power through the affirmative procedure for the Secretary of State to insist that a local authority, which does not want to become a single foundation authority for whatever reason, will have to do it? Will that go through the affirmative procedure or not?

[Baroness Taylor of Stevenage (Lab)]

The Government have made our intention very clear: we want to see unitary authorities established across the country. We want that initiative to come from local areas themselves. Some areas may be more comfortable going into the single foundation authority first, before they take the step to go into a combined authority; that is what the provision in the Bill is about. We want to make sure that there are unitary authorities across the country. In extreme circumstances, I believe, the Secretary of State has a power to make sure that it does happen, but that would be very much a power of last resort; we would not want to use it unless there could be no agreement any other way.

[Lord Jamieson (Con)]

The Minister kindly said that she would write to me about funding, but I had two other related questions. First, will all authorities be able to say, “I want to be a foundation authority”, or is that going to be limited in some way? Secondly, if you are a single foundation strategic authority, could you still be forced into a combined authority at a later date?

[Baroness Taylor of Stevenage (Lab)]

For most local authorities—I have spoken to a great number of them over the past few months—the attraction of taking your unitary authority and going into a combined authority is the ability to have the greater powers that that level of devolution will accrue to the area and the communities for which you are responsible. I think that it will be the exception rather than the rule that people will want to be a single foundation authority, but they may be more comfortable with using that as a first step then working it out for themselves. This has happened to a certain extent through the whole devolution programme. Where people are in a unitary authority, they will look around them to see which of the surrounding authorities work best in terms of their economy and public services, as well as which model makes more sense to their local community, before they decide which way to go; if they wish to take some time to do that, the Bill makes provision for that.

[Baroness Janke (LD)]

I thank the Minister for her comments. I do, however, feel that there is a distinct lack of local input into the proposals in this Bill; that is one of the symptoms of the approach the Government are taking. They seem to be taking the view that they have decided what will be imposed on the country and are not particularly concerned about what local people think about it. I point to the regional assemblies, where they did the same thing and incurred huge hostility and a lack of trust from local people—not least in arguments about geography and local differences that took up quite a lot of government time and energy.

I think what the Government are trying to introduce here is uniformity, rather than devolution, and they will find an unwilling reception for their attempt to impose uniformity. People do not want mayors, who are very often seen as the outpost for central government; they also do not want local change imposed from Whitehall. I wish the Government luck with the Bill. Local government reform is a very sensitive business and maybe if Sir Humphrey were here, he would be saying that the Government are being very courageous. However, I beg leave to withdraw my amendment for the present.

--- Later in debate ---

[Lord Shipley (LD)]

My Lords, I am very happy with the amendments spoken to so far, so I will not repeat what has been said. Amendment 28 in the name of my noble friend Lady Pinnock relates to whether the Secretary of State determines local boundaries and whether decisions on local authority boundaries within a combined authority area are a matter for central or local government. In the spirit of this Bill, which is about devolution, I can see no reason why central government has to be involved. It ought to be a matter for local councils to decide on. Perhaps the Minister might explain why my noble friend Lady Pinnock has got this wrong; it seems to me that she has got this right.

[Baroness Taylor of Stevenage (Lab)]

There were a lot of amendments in this group, but we whipped through it very quickly, so I thank noble Lords. The amendments in the group tabled by the noble Baroness, Lady Scott, seek collectively to remove the Secretary of State’s new powers to direct the creation or expansion of a combined authority or combined county authority or to provide for a mayor. The Government have been clear that devolution can deliver growth, unlock investment and deliver the change the public want to see, led by local leaders who know their areas best. That is why we want to see more parts of England benefit from devolution.

As I have said, I have been involved in local government for a very long time. We have tinkered around with this issue for a very long time indeed, and it is time we provided some certainty and stability. Our engagement to date with councils across England has demonstrated the appetite for devolution within local government. I have spoken to many of them and visited many areas that do not currently have those devolution arrangements.

Devolution, of course, should be locally led wherever possible, and the Government remain committed to working in partnership with local government to deliver that vision. At the same time, we have been clear that we cannot accept proposals that would block other areas accessing devolution—that would be very difficult for those areas—or risk creating devolution islands. The backstop mechanism in the Bill will allow the Government to establish strategic authorities in areas where local leaders have not been able to agree on how to access devolved powers. That will ensure that all of England can benefit from devolution and nowhere is left behind.

Chinese Embassy

Baroness Taylor of Stevenage Excerpts

Thursday 15th January 2026 Lords Chamber

[Lord Cameron of Lochiel (Con)]

My Lords, it is deeply regrettable that this Urgent Question was not answered by the Security Minister in the other place, given that it was asked by the shadow Security Minister. In light of her significant experience in your Lordships’ House, the noble Baroness the Minister is of course aware that, here, Ministers answer for the whole Government and not just their department. Accordingly, when I go on to ask a question about security issues, I am sure that she will not disappoint us by saying that this is a live planning matter that cannot be commented on.

With that in mind, the United States has said that it is deeply concerned by the new Chinese mega-embassy, given its now-revealed secret rooms and its location. Can the Minister say whether our allies, including the United States, back the approval of the embassy?

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

My Lords, I do not want to disappoint the noble Lord, so I will say that it would not be appropriate to comment on a live planning application. He would expect me to say that and I say it on behalf of the whole Government, not just MHCLG. National security is the first duty of government more generally. All relevant planning considerations will be taken into account when making a decision in this case.

As the noble Lord knows, the Government regularly engage with representatives of foreign Governments, including the United States, to discuss a broad range of issues. Details of those discussions are not made public.

[Lord Purvis of Tweed (LD)]

My Lords, does the Minister agree with me that it is a material circumstance that this will be the largest Communist Party of China building in Europe? It will co-ordinate transnational repression in the United Kingdom and espionage on an industrial scale, including electronic and human surveillance, and initiate bounties on British passport holders resident here in the United Kingdom. When the Prime Minister visits Beijing, instead of congratulating China on having planning approval for its embassy, should he not inform the Chinese authorities that we will put China on the foreign influence registration scheme, prosecute those putting bounties on British passport holders resident in the UK and tighten international repression laws here in the United Kingdom?

[Baroness Taylor of Stevenage (Lab)]

I understand noble Lords’ frustration about our not yet being able to answer some of the questions about which material considerations have been taken into account, but they will be when we determine the application. This is a decision for planning Ministers, independent of the rest of government. Planning Ministers must take decisions following the quasi-judicial process that is completely right and correct for those decisions and based on evidence and planning rules. On transnational repression, we will not tolerate attempts by foreign Governments to coerce, intimidate, harass or harm their critics overseas, especially in the United Kingdom.

[Lord Spellar (Lab)]

My Lords, can we now come to some degree of reality? Embassies are for relations between states; they do not imply approval of states. Furthermore, spying activities have emanated from embassies right the way back to ambassadors being expelled from this country for being part of plots to assassinate monarchs, let alone the regular expulsion of Russian spies from the Russian embassy. Can we be very clear about the size of the embassy? Large countries tend to have large embassies, and China is a very large country. That is just a fact. Can we deal with this practically rather than with overexaggeration?

[Baroness Taylor of Stevenage (Lab)]

My noble friend raises the size of the embassy. That will be taken into account by the decision-making Minister as a material planning consideration.

In relation to China’s presence in the UK, it already has seven diplomatic buildings in this country. It is not new for it to have a presence here; this is about a particular planning application for a new embassy. Decisions will be taken according to the material planning considerations. I am sorry; I know it sounds a bit like Groundhog Day, but I am afraid that is what you will get from me, whichever way the question is framed.

[Baroness Hoey (Non-Afl)]

My Lords, most Londoners know just how difficult it is to get a tiny little extension approved for the back of their house. Why on earth does a foreign embassy need such a huge building in such an important area? Even the United States of America does not have such a huge embassy. Aside from security issues, does she not agree that this is a ridiculous application?

[Baroness Taylor of Stevenage (Lab)]

The noble Baroness has a view on that, but the Ministers taking the decision have to determine the application as it stands. The documents were submitted correctly to Tower Hamlets Council and the decision is now being considered in MHCLG. It is a decision for planning Ministers. It is open for any party to make representations about the case, the matter the noble Baroness raises or anything else. All relevant planning considerations will be taken into account when making the decision.

[Lord Kerr of Kinlochard (CB)]

I appreciate all the constraints, and any expertise that I had is extremely out of date, but does the Minister agree that it is conceivable that those responsible for keeping an eye on the Chinese embassy might prefer it to be concentrated on one site, rather than spread over eight, nine or 10 all over London?

[Baroness Taylor of Stevenage (Lab)]

My Lords, that is a matter for the security services and not for planning.

[Lord Fox (LD)]

My Lords, the Minister is very keen on talking about material planning considerations, and she has already said that the size of the embassy is one of those. May I ask about one of the other planning considerations, which has caused a great deal of concern: the proximity of the embassy to important data infrastructure? In considering the material nature of the planning consideration, has a full risk analysis been carried out on this issue, who carried out that risk analysis, and were any mitigating issues suggested by that risk assessment?

[Baroness Taylor of Stevenage (Lab)]

As is usual with a planning application, all interested parties were able to submit representations to the planning inquiry when that took place, and they have subsequently been able to submit representations to the department as it considered this application. There were submissions from the Foreign Office and the Home Office and I am sure that very due consideration will be paid to those, in the original process and as the matter moves forward.

[Baroness Bennett of Manor Castle (GP)]

Mine is also a material planning question. Given the human rights abuses in China against the Uyghurs, the Tibetan people, the Hong Kongers and many others, large protests can be expected outside the embassy, and we surely want to facilitate those protests—the right for peaceful protest here in the UK. Police have expressed concern that the site is not appropriate for such protests. Is this being taken into consideration?

[Baroness Taylor of Stevenage (Lab)]

The police, like other interested parties, are able to submit their information to the planning inspector and, now, to the Minister who is making the decision. When the decision is taken—and my understanding is that the final decision will be made on or before 20 January—all the relevant submissions will be made public.

[Lord Cashman (Non-Afl)]

My Lords, as a resident of Tower Hamlets, I point out that the first Chinatown in the UK existed in the East End of London, not far from where the current building is proposed—a building that has been largely disused for approximately eight years. Therefore, does the Minister agree with me that the important issue here is that we apply and enforce the same laws and principles as we would with any other country?

[Baroness Taylor of Stevenage (Lab)]

My noble friend makes an important point: if we were considering this planning application for any embassy, we would consider it according to the propriety guidance that exists around planning applications, which is very strong, and strictly according to the material considerations that need to be taken into account for planning. That process is broad and wide and allows all interested parties to submit the information that they feel is relevant to the planning application. It is then for the decision-maker to decide which of those should influence their decision.

[Lord Sandhurst (Con)]

My Lords, we have been told that security is a planning issue—that it is relevant to it. What are the criteria by which security is to be measured in this context?

[Baroness Taylor of Stevenage (Lab)]

There are two elements of security: one is the security of the building itself and the other is the security of the site. Where those are material planning considerations, they will be taken into account as they should be, as will any submissions from the Security Service, the police and others when the planning application is considered.

New Homes: Target

Baroness Taylor of Stevenage Excerpts

Thursday 8th January 2026 Lords Chamber

[Lord Young of Cookham]

To ask His Majesty’s Government what progress they have made in meeting their target of building 1.5 million new homes in England within this Parliament.

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

We have always been clear that building 1.5 million homes, which is vital given that we inherited the worst housing crisis in living memory, is an ambitious target. It will require a rate of housebuilding and infrastructure construction not seen for more than 50 years. We recognise the scale of the challenge, and we are driving progress through bold planning reforms, including the Planning and Infrastructure Act 2025 and a record £39 billion investment in social and affordable housing. Our bold planning reforms will drive UK housebuilding to the highest rate in 40 years.

[Lord Young of Cookham (Con)]

My Lords, I welcome many of the Government’s planning reforms, but the OBR made it clear in November that they would not be enough to hit the target. Recent completions were at a nine-year low. Many sites with planning permission are no longer viable because of escalating costs, and where sites are viable, builders are reluctant to build out because of weak consumer demand—the Treasury, rather than the Minister’s department, is partly to blame for both those things. If the Government want to get close to the target, will they not have to have a discussion with developers and in conjunction with them bring forward a successor to previous schemes to help first-time buyers?

[Baroness Taylor of Stevenage (Lab)]

I am pleased to tell the noble Lord that I have been given the buying and selling process in my portfolio very recently. I have been looking at it in great detail, and I had a meeting with developers yesterday as part of the New Towns Network on how we improve the buying and selling process. A great deal of work is going on in my department and with financial institutions to make sure that we make this process work for first-time buyers and others in the housing market.

[Baroness Jones of Whitchurch (Lab)]

My Lords, there are more than 250,000 empty homes in this country, and that number is rising. What are the Government doing to tackle that scourge of empty properties, as surely it is the quickest way of tackling some of the housing crisis that we face?

[Baroness Taylor of Stevenage (Lab)]

My noble friend is quite right to raise the issues around empty properties. Our Government have been working to make sure that we give councils the powers that they need to drive forward work on empty properties as quickly as possible. We will enable that with new powers for local councils through the planning process to make sure that they can add into the planning process dates for when completions are due.

[Lord Bailey of Paddington (Con)]

My Lords, as the Minister will be aware, the area of our country where the housing crisis is most acute is where people are suffering in temporary accommodation. Many councils up and down the land are really in a bind about how to build their way out of this. What work is being done specifically to help councils to provide homes to move people out of temporary accommodation?

[Baroness Taylor of Stevenage (Lab)]

We have a target to eliminate the use of bed-and-breakfast accommodation for families by the end of this Parliament, except in emergencies. I recognise the problems that it causes for families. We have funding of £969 million for temporary accommodation over the next three years and £950 million for local authority housing funds to increase the supply of good-quality temporary accommodation, providing up to 5,000 homes. There will be increased support for children through a new duty on councils to notify schools, health visitors and GPs that a child is in temporary accommodation. We have to end this scourge of children living in temporary accommodation.

[Lord Best (CB)]

My Lords, the Minister mentioned her negotiations with housebuilders—I think it was just yesterday. We depend on those volume housebuilders to produce all the homes that we need. Can she reassure the House that in those negotiations she will not wish away any of the affordable housing that housebuilders are obliged to provide but so often fail to?

[Baroness Taylor of Stevenage (Lab)]

I can give the noble Lord that assurance. We are determined to make sure that, as we go through the process of building the 1.5 million homes, enough social and affordable housing is included in that target. He will know that I take particular care to not conflate the terms “affordable housing” and “social housing”; they are different things. We have to make sure that we do our best in that regard. From the £39 billion that we have allocated for affordable housing, 60% will be for social housing.

[Baroness Thornhill (LD)]

My Lords, local planning departments are often cited as a blockage to building more homes, yet fewer than 40% of those local authorities are operating with an adopted plan. As the English Devolution and Community Empowerment Bill moves through Parliament, what action are the Government taking to ensure that local government reorganisation, with its many new structures, planning powers and inevitable changes of political control, is not used as a delaying tactic to produce an up-to-date plan, which strong anecdotal evidence suggests is happening?

[Baroness Taylor of Stevenage (Lab)]

It is essential that the local government reorganisation and devolution process does not hold up the production of local plans. My Government have made that absolutely clear and are following up with councils that have delayed local plans. Where the new strategic plans are being made, they can be made in spite of reorganisation, and the data used for them will be transferred as soon as the reorganisation arrangements are complete.

[Baroness Scott of Bybrook (Con)]

My Lords, I have listened carefully to the Minister about what the Government are doing, but we have a country with the number of planning permissions granted in the past 12 months at the lowest level since 2013 and construction costs rising by up to 40%. How are the Government now going to deliver the at least 1 million homes that the previous Tory Government did in their last term, let alone the promised 1.5 million in the next 3.5 years left in this Government?

[Baroness Taylor of Stevenage (Lab)]

On buildout rates—the number of planning permissions in place that are not built out—I think we can look to the previous Government for the answer to that question. We are changing incentives in the housing market, giving local authorities the tools that they need to speed up delivery, requiring developers to commit to delivery timeframes and giving councils the power to refuse to consider applications from developers that consistently fail to build out quickly enough, as well as exploring a delayed homes penalty. As well as all the positive-side and demand-side incentives that we are putting in place, I think that will make the biggest change to housing delivery that we have seen in many generations.

[The Lord Bishop of Manchester]

My Lords, I am grateful for the answers that we have had, particularly around social rent and affordable rent. Does the Minister agree that we also need to make space for things such as community land trusts and other community-led social housing initiatives, which can often provide accommodation in particular niches and communities that is much more sensitive to the needs of local communities? They may not be volume builders, but I would urge that they have a vital part to play.

[Baroness Taylor of Stevenage (Lab)]

We need to take particular care to make sure that we use all the mechanisms to deliver some of the very specialised housing that the right reverend Prelate refers to. Some of those local trusts know exactly what is needed for their local communities. They do a fantastic job, and my Government want to support them through the funding that we are providing, as well as through any supporting measures in the planning reforms that we are bringing forward.

[Lord Spellar (Lab)]

My Lords, is not a fundamental constraint on achieving construction output the depleted and ageing workforce in the building industry? Does that not therefore necessitate an expansion of off-site fabrication? That requires long-term planning, long-term financing and a regular flow of orders to be efficient. Will that not ultimately lead to a major council house building programme?

[Baroness Taylor of Stevenage (Lab)]

The funding in the £39 billion programme will see a great increase in the building of council homes, as will the ability of councils to use that funding as top-up funding for the 100% of receipts they can now keep from right-to-buy sales. My noble friend makes a good point on modern methods of construction. We need to boost their use. They are critical to improving productivity in the construction sector, delivering high-quality, energy-efficient homes more quickly, and creating new and diverse jobs in the sector.

[Lord Hampton (CB)]

My Lords, according to Historic England, up to 670,000 additional homes could be created through the repair and repurposing of existing historic buildings. Have the Government had any conversations with Historic England about this?

[Baroness Taylor of Stevenage (Lab)]

I do not know whether the noble Lord has yet had a chance to look at the new National Planning Policy Framework. We are, rightly, focusing attention on how we use the resource of historic and heritage buildings to deliver the kind of homes that we need. The National Planning Policy Framework is undergoing consultation; it is there for people to comment on, and if the noble Lord would like to put his comments into that, I would welcome them. Historic and heritage buildings are clearly an area that we need to examine in great detail to get towards the provision of 1.5 million homes that we know we need.

Building Safety Regulator (Establishment of New Body and Transfer of Functions etc.) Regulations 2026

Baroness Taylor of Stevenage Excerpts

Tuesday 16th December 2025 Lords Chamber

Moved by

[Baroness Taylor of Stevenage]

That the draft Regulations laid before the House on 11 November be approved.

Relevant document: 44th Report from the Secondary Legislation Scrutiny Committee. Considered in Grand Committee on 15 December.

Motion agreed.

National Plan to End Homelessness

Baroness Taylor of Stevenage Excerpts

Tuesday 16th December 2025 Lords Chamber

[Lord Bird]

To ask His Majesty’s Government what assessment they have made of whether new funding allocations to local authorities are sufficient to deliver the prevention commitments in the National Plan to End Homelessness.

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

My Lords, last week the Government launched their £3.5 billion national plan to end homelessness, a bold initiative informed by the voices of those with lived experience of homelessness and rough sleeping, as well as councils, mayors and homelessness organisations. Over £3 billion of that funding will go to local government through the local government finance settlement, with prevention at its core. The strategy is designed to tackle the root causes of homelessness alongside immediate action to help those experiencing homelessness now. It will bring an end to the current tension that forces councils to choose between investment in prevention and meeting temporary accommodation costs.

[Lord Bird (CB)]

With £2.8 billion spent on temporary accommodation in the last year by local authorities, forcing many of them towards bankruptcy, the £2.5 billion the Government have allocated, even if you look upon it as trying to cover the costs, is 28% short of the actual cost of temporary accommodation for local authorities. Are the Government going to do anything about allocating enough resources so that we do not have this situation where people are left on the streets because there is no temporary accommodation, and do not have the problem of our local authorities going bankrupt?

[Baroness Taylor of Stevenage (Lab)]

I am grateful for all the work the noble Lord has done in this area. The Government are very aware of the challenges councils face due to the rising demand for temporary accommodation; it has been growing in recent years and is a real challenge for them. We are committed to considering the best way to sustainably fund good-quality temporary accommodation and reduce reliance on poor-quality provision. To support this, we are working across government, including with our colleagues in the DWP, in the interministerial group on homelessness and rough sleeping to explore the impacts of subsidy rates on local authorities. This week we will announce the local government finance settlement—the first multi-year settlement in a decade—giving councils the certainty they have repeatedly asked for to enable more spending on prevention and less on crisis management. That is the answer to this in the long term.

[Baroness Lister of Burtersett (Lab)]

My Lords, the welcome national plan identifies newly recognised refugees leaving asylum support accommodation as being particularly vulnerable to homelessness, yet says nothing about the 28-day move-on period, although local authorities and voluntary organisations have criticised it as a key cause of homelessness because it does not give newly recognised refugees long enough to find independent accommodation. Will my noble friend therefore impress on the Home Office the importance of reverting to the 56 days it piloted and emphasise the importance of this to the Government’s homelessness strategy?

[Baroness Taylor of Stevenage (Lab)]

What my noble friend says is indicative of the issues we have in this area of making sure that we work across government to solve some of these problems. The Home Office has committed to strengthening data-sharing processes with councils for 100% of newly granted refugees at risk of homelessness within two days of a discontinuation of asylum support notification. This supports early intervention by enabling councils to commence homelessness assessments. We will continue to monitor the impact of all the policies, including refugee move-on, hotel occupancy, asylum accommodation costs, local community impacts and pressures on local authorities and public services. It is important that we work across government and with our partners to improve that move- on support and reduce the risk of homelessness.

[Lord Bailey of Paddington (Con)]

My Lords, as the Minister will know, one of the groups hit hardest by homelessness has been young people. Many charitable groups, such as Centrepoint, are trying to look at a different size standard so that it can be developed at a lower cost. I want to be very clear that it is only charitable organisations. What work have the Government done to support this work to see whether it is viable?

[Baroness Taylor of Stevenage (Lab)]

We had some long debates during the planning Bill about the size of accommodation and the stepping-stone type of accommodation provided in some parts of the country. The noble Baroness, Lady Thornhill, initiated those discussions. We are still discussing those issues because they are very important, as the noble Lord says. Specific content within the homelessness strategy focuses on the issues of young people, building on the national youth strategy, and will give young people the skills, connections and opportunities they need to thrive, with a key focus on prevention of homelessness among young people. We want to develop a cross- government action plan with measurable targets to reduce homelessness, particularly among care leavers under 25. We are working on this. The noble Lord makes an important point about the size of accommodation. It is still under discussion, and I will keep him in the picture on that.

[Baroness Thornhill (LD)]

My Lords, there is a real issue around the allocation of funding for homelessness prevention. While the strategy helpfully recognises this and commits to some adjustments, we still have no published needs-based formula. When will we get one? Will it set out how rent levels, housing supply and market-measured pressures are weighted? Does the Minister agree that without this it is really hard to judge whether allocations are fair and transparent and genuinely reflect local need?

[Baroness Taylor of Stevenage (Lab)]

It is very important that we continue to work with local authorities in tackling this problem. Under the new strategy, every council will publish a tailored action plan alongside its local homelessness strategy, with local targets and key outcomes. That will feed into the national picture so we can make sure that we are targeting the funding where it most needs to go. The new formulas we have devised for the local government finance settlement, which will be published later this week, are focused on making sure that the money goes where the need is and where there is less ability to raise additional funds through council tax. We are working very hard on making sure that the funding goes where the need is, and we will continue to do that. With councils now being able to set their own targets on this, we will be able to feed those into some more national targeting.

[The Lord Bishop of Derby]

My Lords, I welcome the continued investment of £185 million allocated to the rough sleeping drug and alcohol treatment programme from 2026 to 2029. But what progress has been made towards this Government’s safer streets and opportunity missions to improve support and early intervention, particularly for children and young people who are struggling with the dual crises of substance abuse and experiencing homelessness? Is this work one of the factors being used to determine which additional councils will receive this new funding?

[Baroness Taylor of Stevenage (Lab)]

Two pieces of work are going on here around the homelessness strategy and the child poverty strategy. Having set up a Housing First scheme in my local authority when I was a council leader, I know it is very important that you do not tackle just one issue. The roof over the head is key but so is support for complex needs. That is why homelessness is such a complex issue—you have to tackle the underlying issues. Those issues can be drug and alcohol abuse, poor mental health, financial capacity, chaotic lifestyles or any combination of those factors. All these things have to be worked on at the same time, which is why it is crucial that we have the interministerial working group. It is working across departments to tackle all these issues together so that we can make a real impact on homelessness.

[Lord Wigley (PC)]

My Lords, homelessness is a scandal in all parts of these islands. Is there not more scope for taking unused or underutilised buildings within local or central government and using the capital value of them to release the funds necessary to modify them and find an urgent answer to a problem that, at Christmastime, we should all be aware of?

[Baroness Taylor of Stevenage (Lab)]

I agree with the noble Lord about the scandal of homelessness. That is exacerbated in the wintertime. Of course, we want to see both more homes and more buildings generally brought back into use. The Government’s strategy on delivering more housing is looking at this from a number of different angles. Local authorities already have a wide range of powers available to help tackle long-term empty homes. We are committed to empowering their use. We outlined in the English devolution White Paper the intent to strengthen the ability to take over the management of empty homes. We will review how effectively social housing providers use their properties. This is really important. There can be nothing more demoralising if you have not got anywhere to live than to walk along streets and see empty homes. We have to tackle this; we were left with an absolute crisis and this Government are determined to make a real difference in this area.

Building Safety Regulator (Establishment of New Body and Transfer of Functions etc.) Regulations 2026

Baroness Taylor of Stevenage Excerpts

Monday 15th December 2025 Grand Committee

Moved by

[Baroness Taylor of Stevenage]

That the Grand Committee do consider the Building Safety Regulator (Establishment of New Body and Transfer of Functions etc.) Regulations 2026.

Relevant document: 44th Report from the Secondary Legislation Scrutiny Committee

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

My Lords, I want to take this opportunity to congratulate Andy Roe, who has been leading the work to improve the performance of the building safety regulator and whose peerage was announced on 11 December.

The establishment of the building safety regulator was the most significant reform of the building safety regime in decades. The building safety regulator has removed significant risk from the system and placed residents at the heart of housebuilding. The regulator is an important and non-negotiable part of our built environment, particularly as we deliver 1.5 million homes and accelerate the remediation of unsafe buildings.

The BSR was first established within the Health and Safety Executive. The HSE provided invaluable leadership and experience during the establishment and early operations of the BSR. It is now time for a new phase for the BSR. In June, my department announced reforms to the regulator, including investing in strengthened and dedicated leadership for the BSR; operational improvements, including the creation of a new innovation unit to improve the processing of gateway applications; and bolstered, long-term investment in the capability of the BSR and its capacity to work with industry. Alongside this, we announced the intention to move the BSR out of the Health and Safety Executive, establishing it as an arm’s-length body of the Ministry of Housing, Communities and Local Government. That is the specific purpose of these draft regulations.

These regulations set up a new arm’s-length body sponsored by MHCLG that will exercise the functions of the building safety regulator, as established under the Building Safety Act. The regulations transfer the functions of the building safety regulator from the Health and Safety Executive to this new body. The provisions of these regulations will come into force on 27 January 2026.

The regulations enable the smooth transfer of powers so that the BSR has the legal basis to continue to perform its functions without interruption. They include transitional provisions to cover the period where staff and services will move over in stages from the HSE to the BSR. The regulations provide that the BSR will maintain its operational independence, with its own powers, strategic plan and programme of work, as outlined in the Building Safety Act. This move does not change the functions of the regulator or the ministerial powers and responsibilities set out in the Building Safety Act.

This change will support the building safety regulator for the coming years, strengthening accountability and providing a singular focus and dedicated leadership for building safety regulation. Importantly, this is also the first step towards establishing a single construction regulator, a key recommendation of phase 2 of the Grenfell Tower Inquiry. The new body for the building safety regulator will form the basis of the single construction regulator. The regulations will make sure that the building safety regulator continues to deliver its statutory functions under the Building Safety Act, while leading it into a new era. This will provide the foundation for a stronger, more accountable system that prioritises safety while supporting innovation across the built environment.

I hope that noble Lords will join me in supporting the draft regulations, which I commend to the Committee.

[Lord Young of Cookham (Con)]

My Lords, I join the Minister in congratulating Andrew Roe on his peerage. The experience that he will bring to your Lordships’ House from London Fire Brigade and the building safety regulator will be enormously welcome.

This instrument was debated in another place last week, on 10 December, and it completed its consideration in 12 minutes. On 11 December, the Industry and Regulators Committee produced its report, headed Building a Better Regulator. Within that report is a chapter on exactly the subject that we are debating this afternoon—namely, the single construction regulator—and it gives the background to the decision to which the Minister referred: the need to have a single construction regulator. It goes on to say that witnesses were broadly supportive of the proposal for the single regulator, with several suggesting that the current system was “fragmented”.

However—and this is the point that I want to make in this very short intervention—there were notes of caution. The Chartered Institute of Architectural Technologists argued that

“it is more important that these functions be delivered effectively, than that they be delivered by a single body”.

The institute suggested that the priority should be addressing current regulatory challenges rather than merging functions. Philip White questioned whether this was the right time to establish it and, as with the BSR’s move from HSE to a body within MHCLG, he argued that the organisational change would lead to “disruption”, while suggesting that the regulator would do its best to

“keep business going as usual”.

The Select Committee listened to that argument and to the argument for going straight ahead, and concluded, in paragraph 106:

“We support the Government’s broad proposal to establish a single construction regulator. However, we heard concerns that organisational changes could distract from the immediate imperative of improving operational performance. The implementation of this further organisational change should wait until the BSR is delivering its building control decisions within statutory timeframes”.


As we know, that is not what it is doing, so the question that I want the Minister to answer is: why is she going ahead, it seems, in defiance of a very clear recommendation from a Select Committee? I appreciate that it reported last week, after the instrument had been laid, but none the less it is a clear recommendation that we should not go ahead in January. I wonder how the Minister would respond to that clear recommendation from a unanimous report by one of your Lordships’ Select Committees.

--- Later in debate ---

The SI must be judged against that reality, and doing so shows that it is still unclear that the Government have grasped the full scale of the problem. We will not oppose these regulations, but nor can we pretend that they resolve the crisis in front of us. The country needs homes, growth and a regulatory system that is safe, swift and effective. I hope that the Minister will address the concerns I have raised and, more importantly, that the SI marks not the end but the beginning of the serious reform that the system so urgently needs.

[Baroness Taylor of Stevenage (Lab)]

My Lords, I thank all noble Lords who have participated in this short but interesting debate. Of course, a number of judgments always have to be made about the right time to take action. The noble Lord, Lord Jamieson, is quite right to say that this builds on the work of the last Government. We all want the same thing here: we want the homes that people live in to be safe and for people to feel confident that the buildings they live in are safe.

I will pick up some of the points made. All three noble Lords who spoke raised similar points. I will start with the question of whether the transition to the new BSR governance arrangements will disrupt operations, because it is important. The noble Lord, Lord Jamieson, mentioned that undue disruption should be avoided, and I completely agree with that. The new team at the BSR is fully committed to this change and preparing for it. Maintaining a strong focus on operational delivery is its real priority. The plans to move the BSR into a new body within MHCLG are designed to have the minimal impact on current operations. Improvements in the BSR’s performance have been under way since August. Significant numbers of applications have been cleared, and new operating models are delivering dramatically reduced processing times. I think we are all very pleased to see that. It is right for the residents who are on the end of this, but it is also right for the industry, which has been waiting for this progress.

The noble Lords, Lord Elliott and Lord Young, both asked why we are going ahead with this now. It is very important that we make this commitment now to move at pace on implementing the recommendations of the Grenfell inquiry. We are taking early steps to prepare for regulatory reform by supporting the BSR to move into this new phase of its operations. The move to a new body accountable to MHCLG will deliver a dedicated focus for building safety and strengthen accountability to Ministers and Parliament, which is important. It also marks an important milestone towards our commitment to a single construction regulator. I do not think there is any disagreement in the industry that that is where we need to get to.

We are grateful for the very thorough report from the Industry and Regulators Committee on the building safety regulator. We are carefully reviewing it. As the noble Lord, Lord Young, said, it came out only on 11 December, so we need a bit more time to consider it. We will carefully review it and provide a full response to the committee early next year in line with the required timelines. I know there are notes of caution in the report about effectiveness, rather than a single body, but I know that the whole team is dedicated to achieving this without an interruption in performance, and with the performance improvements we have already seen. That will start the process towards a single regulator, which is important, but it is also important that it does not distract from operational performance.

I will give a brief outline of some of the performance improvements that have happened. Between 1 September and 24 November this year, a record 40 new-build applications were processed from the previous model case load, with the majority approved, allowing construction to begin on 10,000 homes. Cases received in recent months are being handled by the new innovation unit, which has dramatically reduced decision times by 20 or more weeks, compared with the previous peak of 38 weeks for approved new-build decisions. That is a dramatic improvement. Across all application types, overall performance also continues to improve, with a record 578 cases closed since August. Of course, we will continue to monitor this very closely.

Cases received in recent months are being handled by the new innovation unit, and that removes the reliance that the BSR had had on dispersed expertise. The innovation unit has dramatically reduced those processing times: as I said, by 20 weeks or more. Quality applications are essential to ensure that projects can progress. This is another area where there is a lot of dialogue between the BSR and the industry, and it has run webinars and sessions with developers to help them to understand what is needed by the BSR. That is a mutual dialogue. The BSR is continuing to support industry leaders; it is publishing guidance for applicants. But, of course, as we would all want it to say, it does not want to compromise on safety but wants there to be an understanding of what the expectations are.

We hope that moving the BSR to its own body will improve operations: the noble Lord, Lord Jamieson, referred to this. It will create clearer lines of accountability and allow the operational flexibility that comes from the BSR being its own specific organisation. I hope that will build on the record progress we have already seen since the changes made in June.

The noble Lord, Lord Jamieson, referred to the shortage of specialist fire and building inspectors, and some of the other specialisms that are required. We recognise the overall pressures on the building control system and on fire engineering capacity, which is why we have established the independent building control panel and the fire engineering advisory panel to look at the underlying issues and report back in the new year, so that we can fix the system as a whole.

We will work with the independent panel, the BSR and the wider building control sector to establish a shared, long-term, financially sustainable vision for building control services, so that they are able to provide assurance, inspection and enforcement activities that support housebuilding, cladding remediation, decent homes, net zero and social infrastructure ambitions. We have provided £16.5 million to support the recruitment of registered building inspectors to backfill those supporting the BSR and continue to look at options to grow the overall sector.

The BSR has also enabled certain class 2-registered building inspectors to take on some of the less complex, higher-risk building work, freeing up class 3-registered building inspectors to focus on new builds and remediation. A total of 125 cladding workers will be upskilled through the launch of the Construction Industry Training Board’s rainscreen facade installer training. I thank the Construction Industry Training Board for playing a strong hand in supporting work on this. Each year by the end of this Parliament, 100,000 construction workers will be recruited and will be overseen by the Construction Skills Mission Board. Across the board, maintaining the performance is key to this. Starting to move towards a single regulator is the right move to make now. We need to keep an eye on the performance and make sure that it is maintained.

In conclusion, the Government are committed to ensuring the safety of all residents. The building safety regulator has overseen a fundamental change in the built environment, and ensures safety is at the heart of housing. These regulations will enable the smooth transfer of the regulator from the Health and Safety Executive to its own body. I hope the Committee will welcome these regulations.

Motion agreed.

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.

--- Later in debate ---

[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.

--- Later in debate ---

[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.