(4 months, 1 week ago)
Lords Chamber
Lord Jamieson (Con)
My Lords, I declare my interest as a councillor in central Bedfordshire.
The Bill is most welcome, and I thank the noble Lord, Lord Murphy of Torfaen, for bringing it forward. It makes the necessary provisions to ensure that, where divergence has arisen across the whole of Great Britain, shared democratic values are brought into closer practical alignment. In doing so, it strengthens the unity of our democratic system while respecting the distinct identities of the devolved nations. We on these Benches have always sought to bridge the gaps between the constituent communities that make our country so unique and vibrant.
It is right to acknowledge that the Bill builds on the work of the previous Government, including the Elections Act 2022, which took important steps to reinforce the security and transparency of our democratic processes. That Act introduced measures such as digital imprints on online campaign materials and enhanced security for political funding—reforms that were both timely and necessary. It is therefore regrettable that legislative consent was not granted for those measures at the time. This Bill now goes some way to mitigate the effect of those divisions.
I also reiterate what my noble friend Lady Scott said at Second Reading: I urge the Government to reconsider any proposals to dilute voter ID requirements. Today we are legislating to make voting easier while maintaining appropriate safeguards. We must not, at the same time, take steps to weaken the security of our elections.
Finally, accessibility is vital, but so too is security. Protecting the integrity of our elections by guarding against fraud or interference is a core duty of any responsible Government. In the other place, my honourable friend Paul Holmes rightly called for Ministers to
“take decisive and proactive steps…to prevent malign influence, whether domestic or foreign”—[Official Report, Commons, 4/7/25; col. 594.]
as we modernise and reform our systems. I would therefore be grateful if the Minister could use this opportunity to set out what specific steps the Government are taking to uphold that commitment.
My Lords, I thank the noble Lord for his comments. I thank all noble Lords for their contributions to and support for the Bill, and particularly my noble friend Lord Murphy of Torfaen for his stewardship of the Bill through this House.
Our democracy remains at the heart of our Government’s purpose and mission. On the point made by the noble Lord, Lord Jamieson, the Government will bring forward a number of changes in the forthcoming elections Bill, which will come before this House in due course; we will have the opportunity to discuss these matters further at that point.
I thank my noble friend Lord Murphy for his excellent contribution to our democratic process.
Before the Minister sits down, I note that I agree with some of the comments of the noble Lord, Lord Jamieson, if not all of them. He makes some good points about the different gaps in and problems within our election laws. In our Second Reading and Committee debates, many of us across the House spoke about the need to consolidate properly all election laws.
We recognise that the noble Lord, Lord Murphy, has done extremely well in bringing this Bill forward— I shall call it a small, tidying-up measure. It is still a very important principle that people in Scotland and Wales can apply online to vote as absent voters; that should probably have been done in 2022, without needing a Private Member’s Bill. We frequently have debates in which the expertise in this House highlights the need, as the law commissions keep emphasising, for proper consolidation of election laws, bringing together the legislation of 2000 and the old legislation of the Representation of the People Act. Can the Minister say a bit more about the Government’s intention regarding consolidating election law in general?
I thank the noble Lord, Lord Rennard; he is right to flag up that more work is to be done on elections. That is why, in response to the noble Lord, Lord Jamieson, I referred to the forthcoming elections Bill. I am sure that noble Lords in this House, where there is indeed a great deal of expertise in election matters, will want to contribute to that Bill as it comes forward.
I hope we will be able to incorporate many of the matters we have discussed over the years that have been missed out of the elections process or need further tightening because of current circumstances— I believe that the noble Lord, Lord Jamieson, was referring to that too. We have seen a significant change in the way things operate, so we need to make sure that election law keeps up with that. That is our aim as we bring forward the elections Bill, and I look forward to the contributions of all Members of the House when we do so.
(4 months, 1 week ago)
Lords ChamberTo ask His Majesty’s Government whether the recent collapse of the case involving allegations of spying will be taken into account in the planning decision for the Chinese Embassy at the old Royal Mint.
My Lords, I understand the noble Lord connecting the two things, but Ministers will take all material planning considerations into account when the final decision is made. Planning Ministers must take decisions following the quasi-judicial process that applies to planning, meaning that they must take decisions fairly based on evidence and planning rules. The Government are committed to the probity of the planning process at all levels to ensure robust and evidence-based decision-making, and this is a decision for the MHCLG Planning Minister, independent of the rest of government.
My Lords, this issue will go on and on; indeed, there was a UQ down in the other place this morning. I am not asking about the incompetent wannabe spies; I am asking about the Government’s motivation. The Prime Minister called in this application, as we know, following a discussion with Xi Jinping. A Chinese official asked the UK Government
“to fulfil its obligations and honour its commitments”.
It appears that the Government are quite literally kowtowing to the Chinese. Will the Minister assure the House that the warnings given by the security services and others will ensure that this embassy application is refused?
I am not going to give the noble Lord that assurance from the Dispatch Box. The matter is, as I said, being considered properly on planning grounds. We do not recognise the statement that he made as coming from Chinese officials. The first duty of government is to ensure our safety and security, of course, but all relevant planning considerations will be taken into account when making a decision on this case. The decision being taken by MHCLG is in line with all statutory provisions that apply to planning decisions. The inspector’s report was received by the department on 10 June. That will form part of the final decision and will be released alongside it, as will any other documents and representations that were made during the course of the consideration of the planning application.
Lord Pannick (CB)
The Minister mentions that all relevant planning considerations will be taken into account. Is it a relevant planning consideration that this country needs a new embassy in Beijing?
I am going to have to keep repeating the same thing, I am afraid. The material that is relevant, the material considerations that come forward under the planning decision, will be released at the time of the planning decision. It is very important that we keep openness and transparency at the heart of any planning decision we take. Those documents will be released alongside the decision of the Minister by 10 December.
My Lords, will the Government take into account that the proximity of the new Chinese embassy to the Tower of London would facilitate sending any spies there that anybody seems able to dream up?
I really am going to sound like a stuck record this morning, I am afraid. I am very aware of the proximity of the Tower of London to the proposed site for the Chinese Embassy. The documents that were considered in the original planning application by Tower Hamlets Council are all on the Tower Hamlets website. New material that has been submitted since the public inquiry in February will be made available at the time that the decision is released in December.
Lord Fox (LD)
My Lords, the noble Baroness is doing well to stick in the groove of her stuck record and play this as a straight planning issue, but we all know that it is much more than that. Sir Keir has said that the Government seek a long-term and strategic relationship with China. We all know that, for a relationship to succeed, there must be gives and there must be takes, and it is quite clear that China really wants this embassy. If the Government accede to this request, what are they expecting to get in return?
I am sorry, but this is the case with planning. Anyone who has any experience with planning, as I am sure the noble Lord does, will know that that is the case. Planning has to be considered according to the material considerations of a planning application. There were a number of material considerations in the original application considered by Tower Hamlets, and there was a public inquiry in February on this, where the planning inspector took a number of other considerations into account. Since that time, information has been requested of the applicant, and that information and the answers to it will be released at the time of the planning decision. I do not think it is helpful to comment any further on that. We know that the first duty of government is to ensure our safety and security, so I am sure that when we hear about the decision, we can consider whether we think that has been done adequately in this case.
My Lords, it was my experience when serving as a law officer that the Director of Public Prosecutions—in my time, Keir Starmer—would come and see the law officers every three or four weeks to discuss criminal cases of particular sensitivity and significance. It was also highly likely—and it was certainly my experience—that the Planning Minister would come and discuss matters of political and planning significance. Common sense and experience tell me that that will have happened between the DPP and the Attorney, and between the Planning Minister and the law officers’ departments in the recent past. Could the Government please get off the hook of using expressions such as “We do not recognise”, and other weaselly forms of excuse, cut to the quick and start telling the truth about what is going on?
I think there are quite a lot of weaselly words going around in here today anyway. Whether the Attorney-General has been advising the Planning Minister or not is a matter for internal consideration. We do not normally release information relating to internal advice that has been provided to Ministers, as the noble and learned Lord will be perfectly well aware. That has happened under all Governments, so I am sure he knows that. The documents relating to this case will be released with the planning decision in December.
My Lords, I do not wish to put my noble friend in the position of having to repeat the mantra that she has had to issue several times already, but could she tell us whether, in any planning application which goes to Ministers for consideration, it would indeed be normal practice for the applicant to have made clear the use of all of the spaces in the application concerned?
On 6 August, a reference back letter was sent to parties seeking further information to assist Planning Ministers in reaching a decision on this case. This related to a representation from the Foreign and Commonwealth Office and the Home Office relating to the consolidation of existing diplomatic premises and site security and redacted drawings originally submitted by the applicant. Referring back to parties is routine when further information is required. That information has been forthcoming and is now being considered.
My Lords, I am somewhat puzzled by something that the Minister said earlier and wonder whether she could clarify—
I am obliged to the noble Lord. Is the Minister saying that, if the Cabinet takes the view that national security is being compromised, the Prime Minister is unable to overrule a decision by the Planning Minister?
The planning decision will be taken on material planning grounds by the Planning Minister, having had all the material information that is required to take that decision submitted to them. That decision will be announced together with the documents and the information that was used to make it on 10 December.
Lord Jamieson (Con)
My Lords, I too will provide the Minister with an opportunity, so to speak, to get out of the groove. Ministers have delayed the decision on the proposed Chinese embassy. Can the Minister confirm whether our security services have had sufficient opportunity to feed into the planning decisions on the project? Will the Government consider amending the Planning and Infrastructure Bill to strengthen the provisions about planning applications with major security implications?
Regarding the delay, given the detailed nature of the representations that have been provided there was a need to give parties sufficient opportunity to respond. That is why there has been a delay in the planning decision. MHCLG considered that there was more time needed for full consideration of the applications but, as the noble Lord will know, having great experience in planning, a variation to the timetable is routine when additional time is needed for that determination or to consider new information.
(4 months, 1 week ago)
Lords ChamberMy Lords, I cannot resist a brief anecdote. When the inner ring road was being built around Birmingham’s city centre in the 1960s, the highways department at Birmingham City Council approached the Catholic Archbishop of Birmingham and said that, unfortunately, both the Pugin-designed Catholic cathedral and the Pugin-designed archbishop’s House next door to it would have to go to make way for the road. When the archbishop entered a modest word of protest against this loss, querying whether it was entirely necessary, the result was that the courteous gentlemen of the highways department went away and rethought the plans somewhat and the archbishop was given a choice: he could lose either the Pugin-designed cathedral or the Pugin-designed house. That explains why, to this day, the cathedral still stands but the house has long since gone. Happily, that approach to heritage is not something that we would see today.
At this point, I wish merely to congratulate those Members of your Lordships’ House who have spoken so clearly and valiantly against the original proposal in the Bill. I also thank the Government for listening, because what was originally proposed really was unsustainable; what we have now is a great deal more acceptable.
My Lords, in speaking to Amendments 48 and 50, I shall later move government Amendments 49, 51, 66, 258 and 260. I thank the noble Lord, Lord Parkinson, and the noble Baronesses, Lady Pinnock and Lady Bennett, as well as the other noble Lords who have raised this issue during the Bill’s passage. I also thank Peers for their time during the recess, when we discussed this matter at length.
As I have noted previously, the Government have no interest in loosening heritage protections; indeed, we see this country’s heritage assets as a vital part of our built environment. We are clear that these assets should be conserved and enhanced for their contribution to the quality of life of existing and future generations.
Amendments we have laid to the Bill on heritage and the Transport and Works Act order process will ensure that there is no loss of heritage protection while achieving the Government’s goal of streamlining the process to get on with delivering the infrastructure that this country needs.
Through these amendments, we have introduced a new power for the Secretary of State in England to direct that listed building consent is deemed to be granted in relation to Transport and Works Act order projects. This new power follows the same model as the existing long-established power for them to direct that planning permission is deemed to be granted for these projects. This means that, in practice, applicants for a Transport and Works Act order can apply for deemed listed building consent at the same time, rather than having to apply separately to the local planning authority. This will streamline the process.
My Lords, I support Amendment 58A, tabled in the name of my noble friend Lady Coffey. As we have heard, under the current framework, only projects deemed sufficiently large or complex can be considered for a separate infrastructure licence. This threshold may have made sense at the time that the regulations were introduced, but it now risks being a barrier to innovation and investment in the sector, which is already under increased strain. By removing this test, the amendment would allow projects to be assessed on their value for money alone—a clearer, more practical standard. It would not lower the bar for scrutiny but rather broaden the scope for alternative delivery models, where they can be demonstrated to give clear public benefit.
Given the ongoing challenges around water security, pollution and climate resilience, we should be enabling a wider range of solutions and not limiting them to outdated regulatory constraints. This is a modest and targeted amendment that would give Ofwat and the relevant authorities greater flexibility to support efficient investment in our water infrastructure. We agree with its intent, we support it, and we hope that the Government will think again.
My Lords, I welcome this amendment from the noble Baroness, Lady Coffey, which seeks to ensure that the specified infrastructure project regulations are amended to enable a broader use and to ensure that we get value for money for customers.
Two procurement models for delivering infrastructure exist at the moment: SIPR and direct procurement for customers—DPC. I acknowledge that we have to do all we can to make sure that customers get the good value for money that we are all seeking. That is why, in the Government’s response to the independent water review undertaken by Sir Jon Cunliffe, we will address our proposals for changes across both those procurement models, in the White Paper that will be published shortly. For that reason, I hope the noble Baroness will withdraw her amendment.
My Lords, I am looking forward to the White Paper. I hope, even if it does not come up in the White Paper, that there will be a water Bill coming at some point in the next year or so. If I have not persuaded the Government today, I hope that we will return to this in due course. With that, I beg leave to withdraw my amendment.
I am grateful to all noble Lords for their contributions regarding planning fees. I turn first to Amendment 59 in the name of the noble Baroness, Lady Thornhill, which we had the pleasure of touching on briefly at our meeting last week. I agree with the noble Baroness on the importance of ensuring that fees are proportionate to the type and size of the planning application. However, I respectfully suggest that this amendment is unnecessary and will explain my reasons.
The principle of proportionality already exists in the planning fees regime; in view of the noble Baroness’s comments, I give an example of why I say this. Planning application fees for fewer than 10 new houses are currently £588 per dwelling; for between 10 and 50 dwellings, fees are £635 per dwelling; and, for more than 50 houses, there is a set fee of £31,385, plus £189 for each additional house, up to a maximum fee of £411,885. The fee increases with the number of houses to be built, reflecting the cost to the local planning authority of processing the planning application. This Bill already provides a clear and strong framework to ensure that planning fees are proportionate to the type and size of development.
As mentioned in previous debates, the Government plan to introduce a local variation model—I realise that the noble Baroness, Lady Thornhill, was not confident of this, but talking to the sector about how we do this will be important—under which a nationally set default fee developed through benchmarking and public consultation will serve as a baseline. As is currently the case with planning fees, this will account for variations in the size and nature of sites.
To ensure that any locally set fees remain proportionate and reflective of local circumstances, the Bill requires that they must not exceed the cost of delivering the relevant service and that local communities must be consulted on those proposed changes. Significantly, the Secretary of State will also retain the power to intervene where fees are considered inappropriate; this is an important safeguard to uphold consistency and fairness across the system.
I understand that the noble Baroness, Lady Thornhill, is concerned about SMEs. As I have said previously in the Chamber, I had a meeting last week with the APPG for SME House Builders, which raised a number of issues with me. We are all concerned about ensuring that we make things as efficient as possible for SMEs—as well as for those in the charity sector, such as Centrepoint, which the noble Baroness kindly brought to a meeting with me last week—in terms of providing much-needed homes. I assure the noble Baroness that we recognise that SME housebuilders are an indispensable part of the sector. That is why the Government have brought forward a package of financial support for SMEs, including: an extension of £700 million to the home building fund to provide loans and financial support to deliver 12,000 more homes; £2 billion of ENABLE Build guarantees; and a commitment to £100 million of funding for SME accelerator loans. In view of these measures, I am certain that the Bill already addresses the concerns that this amendment seeks to resolve. I therefore hope that the noble Baroness will consider withdrawing her amendment.
I thank the noble Baroness, Lady McIntosh, for Amendment 60. Well-resourced planning departments are essential in enabling the development that our communities need. They also safeguard communities from unauthorised or harmful development by ensuring compliance with planning permissions and conditions, including monitoring and taking enforcement action where that is necessary. We understand the intention behind this amendment—supporting the resourcing of enforcement activity—but, because planning enforcement serves a much wider public interest, we consider that it is appropriate for local authorities to allocate funds to support these services, rather than for individuals to bear the responsibility.
Additionally, we consider that allowing local planning authorities to set planning fees that included enforcement costs could result in disproportionately high fees for applicants; indeed, it may have an impact on the very SME builders whom the noble Baroness, Lady Thornhill, discussed. We are concerned that this may discourage development at a time when we are very committed to accelerating housing delivery and getting Britain building. More widely, the Government have committed to a £46 million package of investment to support the capacity and capability of local planning authorities. For these reasons, I hope that the noble Baroness, Lady McIntosh, will not press her amendment.
Amendment 61, tabled by the noble Lord, Lord Lansley, would remove our ability to introduce a straightforward planning fee surcharge, instead requiring that only the costs incurred in relation to the specific planning application could be recovered. It might be helpful if I elaborated a little more to answer his questions.
We propose to calculate the surcharge on the basis of the planning fee that a developer must pay when submitting an application. We recognise that some applications will require detailed input from half a dozen consultees, while others will require little or no input. As we are not calculating the fee on the basis of application-specific costs, developers may sometimes pay more and sometimes less than the costs incurred by the relevant statutory consultees with regards to that specific application. However, we will be required to set the surcharge so that it does not exceed the relevant costs of the statutory consultees in aggregate. If it costs a certain amount to operate the statutory service, the surcharge must be set so that its income does not exceed that amount. I hope that is helpful.
We fully recognise that direct cost recovery works well for some regimes, such as for NSIPs, where there are relatively few projects. Engagement occurs over a longer period and predominantly takes place prior to the application for development consent being submitted. It also works well for voluntary pre-application engagement. It is important to note that statutory consultation under the Town and Country Planning Act regime is different: it occurs only once the planning application has been submitted. The planning authority must identify which organisations are required to be consulted, and these organisations must respond within statutory timeframes, generally of 21 days.
It is also an issue of high volume. The six largest statutory consultees receive around 50,000 consultations a year, with tens of thousands of unnecessary referrals on top of this. Instituting direct cost recovery by statutory consultees would require a billing mechanism capable of dealing with up to hundreds of thousands of planning application referrals each year, with money and information passing between 300-plus local planning authorities, up to 29 statutory consultees and individual developers. It would significantly increase the complexity of the planning system, increase the administrative infrastructure required and place a substantial pressure on the ability of statutory consultees to deliver within statutory timeframes. Our concern is that instituting this approach would be costly and bureaucratic, create uncertainty for developers over costs and create delays. Just as importantly, it would also remove any incentive for statutory consultees to deliver efficiencies.
The alternative that we are putting forward in the Bill is for a simple, straightforward percentage surcharge on top of the planning fee. This means that, in some cases, as I have said, a developer will pay more through the surcharge than it would cost the statutory consultee, and in some cases the developer will pay less. However, developers will know how much they need to pay upfront, and there will be no unexpected costs. That way we will not be creating more hoops for developers to jump through to get their application considered; they will pay a fee when they submit their application and that is it. Before regulations are introduced, we will consult on proposals to establish the level at which the surcharge will be set and the types of planning application it should apply to.
Lastly, we recognise the risk that charges could be set at inappropriately high levels and that is why our proposed powers make it clear that the surcharge cannot be set at a level which exceeds the relevant cost of the persons, such as the statutory consultees, that the surcharge is intended to cover. That ensures that we limit ourselves to cost recovery in aggregate, even if it does not apply on the basis of individual planning applications. I thank the noble Lord, Lord Lansley, for this amendment but, given the reasons and explanations I have set out, I hope he feels able not to move it.
My Lords, it is of absolutely no surprise to me that the noble Lord, Lord Lansley, spotted my drafting omission, which is why we always take his amendments seriously. I hope that the Minister will take on board his comments, which I thought were quite pertinent.
I was seeking to make proportionality a clear legal duty rather than a well-intentioned aspiration. So, put very simply, I guess it is about the proof of the pudding and “watch this space”. I hope that we will keep an eye on this, but I beg leave to withdraw my amendment.
Lord Jamieson (Con)
My Lords, I shall speak to Amendment 62 in the name of the noble Baroness, Lady Boycott, which was moved so ably by the noble Lord, Lord Hampton. Although I understand the good intentions behind this amendment, there needs to be a recognition that the planning process is a quasi-judicial process. We also support mandatory training for councillors; we would have supported training for officials and, potentially, for Government Ministers, had my noble friend Lord Fuller’s amendment arisen, but I will let that pass for now.
Such training must focus on the statutory duties of members, ensuring that those who sit on planning committees are fully aware of their roles; of the legal and regulatory environment; and of the procedures on which they need to make judgment. They need to make decisions based on the legal and regulatory aspects that pertain to the proposals brought to the committee. Climate change, biodiversity, ecology and so on are already embedded in national planning policy. There is guidance on them; that guidance will, and should, be part of the training process.
By expanding the scope of the training beyond the statutory duties—as well as ensuring that consideration of the relevant legislation, planning guidance and local policies occurs in determining an application—the proposals risk adding confusion to the training process and, potentially, undermining the quasi-judicial role of a planning committee. I would have been more sympathetic to proposals around ensuring both that the training is effective and that it covers all aspects of the guidance, policies and legislation—including those highlighted today. However, as I said, having training that is more generic risks confusion. Therefore, I cannot support these proposals.
My Lords, first, I express my gratitude to noble Lords for providing broad support for the concept of mandatory training for members of local planning authorities.
I turn to Amendment 62, which was tabled by the noble Baroness, Lady Boycott, and ably moved by the noble Lord, Lord Hampton. As I have set out previously, I am very sympathetic to the issues that were raised by noble Lords in Committee. I reiterate what I said at the time: it would be unthinkable that prescribed training would not include, for example, content on biodiversity net gain. The Government maintain, however, that such specific reference to the content of training should be reserved for secondary legislation. On that, I agree with the noble Lord, Lord Fuller, for once; that is not always the case.
Let me respond to the point about the status quo continuing. This Bill brings mandatory training into force for the first time, so it does move us on from the status quo. Including specific details in the Bill would require the inclusion of an exhaustive list—the noble Lord, Lord Blencathra, gave some examples of what may or may not be in there—which would have to be kept up to date as we move forward, thus requiring valuable time in Parliament.
I will respond briefly to the questions from the noble Lord, Lord Hampton, on what is being done. The Government are working to bring forward the training package; we consulted on our general approach earlier this year. We will ensure that the training is comprehensive and based on both best practice and ongoing engagement with both industry and local government.
For these reasons, I hope that the noble Lord, Lord Hampton, will feel able to withdraw this amendment on behalf of the noble Baroness, Lady Boycott.
My Lords, I have learned a lot during the past 15 minutes, some of which I have immediately forgotten. I particularly enjoyed the exposition from the noble Lord, Lord Blencathra—his stream-of-consciousness, mushroom, anti-Australian cuisine comment —which will live with me for a long time.
I know that my noble friend Lady Boycott did not want to press this amendment. I am optimistic, thanks to what the Minister said about mandatory training being comprehensively in the guidance, so I beg leave to withdraw the amendment.
(4 months, 1 week ago)
Lords ChamberI thank my noble friend for his clarification. As I said, I was only guessing that the figure was in the hundreds of thousands; I am glad to have the clarity that is 1.1 million. There we have it: there is the potential for the growth that we are looking for and for the supply of housing within a local plan, yet we seem to keep hearing calls for new land and new development. The answer, however, is in our lap. It would be nice for this to be rather more transparent, so that we could consider it more closely.
My Lords, that was an interesting debate on these amendments. Believing in local people also means building the homes that they need and the infrastructure to support those homes. This problem with buildout did not commence in July 2024; it has been there for a long time, and this Bill is trying to do something about it.
I thank the noble Baroness, Lady Coffey, for Amendment 62A, which would require applications for development not included in the local plan, or for a housing density lower than that specified in the plan, to be determined by committee. I appreciate the sentiment behind the amendment; however, it is common for applications to be submitted for development that do not accord with the local plan. That does not mean that all those applications are controversial or that they require committee scrutiny. To bring all such applications to committee would undermine the whole point of Clause 51. I therefore ask the noble Baroness to withdraw her amendment.
Amendment 63 from the noble Lord, Lord Lansley, seeks to make initial regulations relating to the national scheme of delegation subject to the affirmative procedure. As I mentioned in Committee, it is common practice across planning legislation for regulations of a detailed and technical nature such as these to be subject to the negative procedure. The Delegated Powers and Regulatory Reform Committee has published its report on the Bill and has not raised any concerns about either this power or the proposed procedure.
I recognise that the noble Lord has altered his amendment so that it applies only to the first set of regulations, but I still do not believe that the revised amendment is necessary. We already consulted on our proposed approach in May this year. The Secretary of State, under the Bill’s provisions, will be required to consult appropriate persons before making the regulations and the subsequent changes to them. That means that the Government will conduct another consultation on these very regulations before they are brought into force. In practice, this means that key stakeholders, including local planning authorities, will be able to respond on the detailed proposals set out in the regulations to ensure that they will work effectively in practice. They are the practitioners, after all, so I look forward to hearing their comments.
Amendment 76 in the names of the noble Baroness, Lady Scott, and the noble Lord, Lord Jamieson, seeks to give the chair of a planning committee and the head of planning the discretion to allow any planning application to be determined by committee where there are objections on valid planning grounds. Noble Lords will recall that we debated an identical amendment in Committee, and I can confirm that the Government have not changed their position on this issue. The intention of the amendment undermines the introduction of a national scheme of delegation. Valid planning objections are a frequent occurrence on planning applications—anyone who has ever been on a council will know that only too well. This amendment would therefore mean that almost any application would be capable of being referred to committee. That is clearly something we would not want to support. However, I repeat that the intention behind the national scheme of delegation is not to undermine local democracy. It is simply to allow planning committees to operate more effectively in the interests of their communities.
I thank the noble Baroness, Lady Coffey, for Amendment 87F relating to the buildout of development, which is a key issue. The amendment seeks to improve the transparency of buildout data by requiring the Secretary of State to publish information on a quarterly basis about the number of planning consents granted where building has not started or completed in each local planning authority. I start by reaffirming to the noble Baroness, as I did in Committee, that I fully support the aim of improving buildout and the rate of residential development. The Government remain committed to making sure that all planning permissions are translated into homes. That said, I remain of the view, as I have previously set out, that we do not need this amendment to achieve that.
When we debated buildout in Committee, I highlighted our publication in May of an important working paper, which sets out a more effective and comprehensive approach to speeding up buildout. It includes greater transparency of buildout rates, new powers for local planning authorities to decline to determine applications from developers that have built out more slowly and greater emphasis on mixed-use tenures, as well as exploring a potential delayed homes penalty as a last resort. The working paper also emphasised that we want to make it easier for local authorities to confirm CPOs, which will help unlock stalled sites and make land assembly easier when this is in the public interest. We have also set up our new homes accelerator, which will help to unblock some of those stalled sites and find out what is causing the problem that is slowing down buildout. We are now analysing the responses to that working paper, and we will set out our next steps in due course. I reiterate that the measures set out in the working paper will make a real difference to the buildout of residential development that we all want to see. Therefore, given our strategy to support faster buildout, I hope the noble Baroness will not move her amendment.
Lord Jamieson (Con)
Can I ask for clarification? I asked a specific question regarding the Levelling-up and Regeneration Act and its sections saying that a planning authority does not need to determine an application where the applicant has not built out elsewhere. I think the Minister was hinting that this is what the Government are doing, but will they implement that?
We did consult on that very issue. We are still analysing the responses to the working paper. As soon as we have done that, I will inform the House of the outcome.
Lord Jamieson (Con)
Are the Government not prepared to implement the Levelling-up and Regeneration Act sections as they stand now, despite having the power to do so?
I can only repeat that, on the powers on which we consulted in the working paper, we want to look at the responses and then implement them.
My Lords, I thank the Minister and all noble Lords who have contributed on this group. It has been a useful discussion.
I say candidly to the Minister that these are the powers of transparency that, if I had served as a Minister in her department, I would have wanted to know of, so that I could go after those developers, hold their feet to the fire and enact what my noble friend has just said from LURA 2023. However, with that, I beg leave to withdraw the amendment.
My Lords, Amendments 64 and 259 are in my name. They seek to amend the Town and Country Planning Act to address an anomaly in the Secretary of State’s existing powers, allowing him to issue holding directions to local planning authorities.
Currently, powers under the Act allow the Secretary of State to make a provision in the development order that allows him to issue a holding direction to a local planning authority, restricting it from granting planning permission. Such holding directions are used to allow the Secretary of State to consider whether to use his powers to call in the application for his own consideration under powers in Section 77 of the Town and Country Planning Act.
This amendment addresses an anomaly. It will enable the Secretary of State to issue a holding direction to prevent local planning authorities refusing an application for planning permission. I should make it clear that this does not significantly change the way in which call-in currently operates. The Secretary of State can already call in any application, provided the local planning authority has not issued a formal decision notice. It merely prevents the local planning authority issuing a refusal and allows the Secretary of State to consider whether to determine the application himself.
It is a well-established part of the planning system that the Secretary of State can intervene in planning decisions. This has been in statute since the inception of the modern planning system. The Written Ministerial Statement of October 2012 set out the Government’s existing policy on call-in. Under this policy, in general, the Secretary of State considers the use of his call-in powers only if planning issues of more than local importance are involved. Even when an application is called in, it does not mean that planning permission will be granted. The Secretary of State is bound by the same duties as local planning authorities.
To conclude, government Amendments 64 and 259 are minor, but they are no less important in enabling the more effective use of the Secretary of State’s call- in powers. I beg to move.
My Lords, I rise to speak to Government Amendment 64 in this group. As we have heard, this amendment would allow a development order to enable the Secretary of State to give directions restricting the refusal of planning permission in principle by a local planning authority in England. Under Section 77(5) of the Town and Country Planning Act 1990, the Secretary of State already possesses powers to intervene by calling in an application for their own determination. Therefore, I ask the Minister, what has changed? Will the existing guardrails and provisions governing the call-in process remain intact? Will the mechanisms by which call-in operates continue as they do now? How will the Secretary of State ensure that this power is not overused, thereby overriding local decision-making?
The Government should explain precisely what this amendment achieves that cannot already be done under existing law. If it represents a fundamental change to the call-in power, the Government should set that out clearly today, including the proposed changes, the safeguards and how the new power is intended to operate. If the Minister cannot provide that assurance, we will be inclined to test the opinion of the House on whether this amendment should proceed. Instead of tinkering with this power, the Government’s real focus should have been elsewhere: on proportionality and addressing the implications of the Hillside judgment. Energy should be directed towards tackling the real blockages in the planning system.
I turn to Amendment 65—which I hope will not be required—tabled by my noble friend Lord Lansley. This amendment would provide an incentive for local planning authorities to adopt up-to-date local plans and, in doing so, regain control over the granting of planning permissions in accordance with those plans. This raises an important point: the absence of up-to-date local plans across much of England remains one of the central causes of delay, inconsistency and local frustration with the planning system. The Government must therefore give the issues this amendment raises due regard and set out in clear detail how they intend to address the concerns it raises.
Finally, I am not quite sure why my noble friend Lady Coffey’s Amendment 87D is in this group, but we have heard the feeling of the House on this. I know it is an issue my noble friend is rightly passionate about, and it is important. On the one hand, the Government have given communities their assets or enabled them to take them over; on the other, they are not protected from being lost. This is an important issue for the Minister, and I look forward to a very positive response to this especially important amendment.
My Lords, I hear the strength of feeling in the House on this amendment. It might be helpful if I set out in a bit more detail the way the Section 31 direction works. It is important to note that a Section 31 direction allows time for the Secretary of State to consider whether to exercise call-in powers. It is exactly what it says on the tin: a holding direction to enable that process to go through.
In response to the noble Lord, Lord Fuller, the use of holding directions helps to prevent exactly the circumstances he described by restricting the issuing of a decision on a planning application—whether it be to grant or to refuse—to allow time for full consideration of whether it raises issues of more than local importance, such that it merits calling in, and to help prevent the rushed consideration of such matters. I have dealt with a number of these call-ins of applications since becoming a Minister. Every time we look at a called-in application, we have to consider the criteria against which the Secretary of State will consider the call-in of a local application. I hope it will be helpful if I very quickly go through those.
Compliance with the local development plan is not the question here; it is whether the Secretary of State will use the call-in powers, and they will use them only if planning issues of more than local importance are involved. Such cases may include, for example, those which, in the Secretary of State’s opinion, may conflict with national policies.
I am confused. The Minister referred to Section 31 directions, but surely, we are talking about Section 74 directions. Section 31 is to do with grants for local authorities.
My apologies: I got my numbers mixed up there. I am talking about the call-in power.
Such cases could include, for example, those which may conflict with national policies on important matters, may have a significant long-term impact on economic growth and meeting housing needs across a wider area than a single local authority, could have significant effects beyond their immediate locality, could give rise to substantial cross-boundary or national controversy, raise significant architectural and urban design issues, or may involve the interests of national security or of foreign Governments. However, each case will continue to be considered on its individual merits.
Lord Banner (Con)
I appreciate that this amendment would not change the procedures, but the question I was seeking the Government’s clarification on is: will the Government commit to not diluting the policy commitment that the right to be heard in a call-in process is exercised through the rigorous public inquiry process, which allows for public participation, rather than the lesser process of a hearing? Will the Government commit not to diluting that policy requirement for an inquiry?
I thank the noble Lord for that clarification. Of course we keep the procedures under review in order to ensure they are fit for purpose. It is very important that we would inform the House in the proper way if we were to make any procedural changes in regard to the issues he raises.
Amendment 65, tabled by the noble Lord, Lord Lansley, as an amendment to government Amendment 64, seeks to incentivise local planning authorities getting up-to-date local plans in place and to allow them to determine applications subject to a holding direction where an up-to-date plan is in place and the proposal accords with this plan. I assure the noble Lord that we appreciate the sentiment behind his amendment. As I have often said, we too want to ensure that local planning authorities make positive decisions and grant planning permission for development which is in accordance with up-to-date local plans. However, we are not convinced that the noble Lord’s amendment is necessary. Under our amendment, the Secretary of State will be able to restrict refusal of planning permission or permission in principle. Where the Secretary of State has not also restricted the local planning authority from approving the application, they will be free to reconsider the application and grant it if they wish. We believe that this addresses the intent of the noble Lord’s amendment.
Amendment 87A, tabled by the noble Baroness, Lady Coffey, would amend secondary legislation to enact government Amendment 64. I assure the noble Baroness that this amendment is not needed, as we will bring forward the necessary changes to secondary legislation shortly following Royal Assent of the Bill.
Amendment 87D, tabled by the noble Baroness, Lady Coffey, seeks to remove assets of community value from the permitted development right which grants planning permission for the demolition of certain buildings. I am not responsible for the grouping of amendments, so I understand her issue about where this has been grouped, but we will debate it as it is in the group before us. I very much appreciate the sentiment behind this amendment, and I share the noble Baroness’s desire to ensure that local communities do not lose the community assets which are so important to them. We do not have many old houses in our town, because it is a new town, by its very nature. However, I have relayed before my story of a beautiful old farmhouse in my own ward of Symonds Green. An application came in for that property, and we tried very hard to get it listed before the application was considered. Unfortunately, the inside of the property had been amended; so much work had been done to it internally that we could not get a listing for it and, unfortunately, it was, sadly, demolished. The reason I am saying that is because there are a number of routes that local communities can take to protect properties, which I will come on to in a minute.
It is already the case that the demolition permitted development right excludes many types of buildings which are particularly valued by local communities. We know how important these buildings are, and Members across the House have stated this both this afternoon and in previous debates. These include pubs, concert halls, theatres, live music venues and many other buildings of local value.
Local planning authorities, as I have stated before and as I was reminded by the noble Lord, Lord Freyberg, can use Article 4 directions to remove permitted development rights in their area, where it is appropriate to do so. While I note the comments of the noble Lord, Lord Freyberg, about Article 4 and the possible complexities of dealing with that, it is possible for local authorities to apply for these in advance.
There is also another route that local authorities can go down, which is to set up a register of buildings of local community interest, which, while it does not carry the weight of statutory protection that Article 4 does, provides a checklist for communities and planners for buildings that cannot be listed, against which they can be checked, should proposed development come forward.
We believe that the current approach is the right one. However, I assure the noble Baroness that we continue to keep permitted development under review, and this and other matters related to that are always under review. With these assurances, I ask noble Lords not to press their amendments.
I think we are debating Amendment 65, which I moved.
The debate has illustrated that, in effect, this is the debate we ought to have had in Committee. There is one set of people—I count myself among them—who cannot understand what the Government are trying to achieve, and why the amendment is necessary, and another set who are saying that it gives the Government powers to do things that might be objectionable.
Actually, of course, the Government have all those powers. If they wanted, for example, to grant planning permission to all data centres, they could issue guidance for that purpose. They could issue national development management policies, for which they have powers. The question I keep coming back to, which is where I started, is: what is this trying to achieve? Calling it an “anomaly” seems to be completely misleading. If you put it alongside a holding direction to stop the granting of planning permission, that stops a local authority giving planning permission because, once it is given, you cannot take it away. Having a holding direction to stop the refusal of planning permission simply stops the local authority saying no, and then the applicant has the opportunity for appeal or a further application, and many other routes—and the Secretary of State has many routes to deal with it. I am afraid that I cannot see the benefit.
The Minister was kind enough to say that my amendment was not necessary, as she wants to do the things that my amendment calls for, so that is fine. So I do not need to proceed with my amendment and will beg leave to withdraw it, in expectation that we will focus on Amendment 64 itself.
My Lords, I will speak to Amendments 67 and 261.
The Government listened carefully to the persuasive arguments made in Committee by the noble Lord, Lord Banner, about the unfairness that occurs when planning permissions lapse simply because they are caught up in lengthy judicial or statutory review proceedings. We agree that the current provisions are too limited and do not reflect the realities of modern litigation.
At present, Section 91 of the Town and Country Planning Act 1990 provides only a single one-year extension when proceedings are begun to challenge a grant of permission or consent. This is narrow in scope; it does not apply to outline permissions or reserved matters approvals, and it does not cater for cases that progress through the appellate courts. In practice, this means that permissions can expire during prolonged legal challenges, forcing applicants to reapply and causing unnecessary cost and delay.
Our amendment introduces a more comprehensive and predictable approach. Where a court grants permission to bring judicial review or statutory challenge proceedings, the commencement period will be extended by one year. If the case proceeds to the Court of Appeal, there will be a further one-year extension, and if it reaches the Supreme Court, an additional two years will be added. These provisions will apply to all types of planning permissions and listed building consents, including outline permissions and reserved matters approvals. They will also apply to existing permissions subject to legal proceedings.
This approach provides clarity and certainty for applicants and developers. It avoids permissions expiring due to delays entirely outside their control, reducing the need for costly and time-consuming repeat applications. It also ensures that the planning system remains fair and proportionate, supporting investment and the delivery of development while respecting the judicial process.
We considered the “stop the clock” proposal put forward by the noble Lord, Lord Banner. While we agreed with the principle, that approach would have required complex calculations based on the start and end dates of proceedings, creating irregular and unpredictable timeframes. Our tiered system offers a simpler, more transparent solution that achieves the same objective without introducing administrative complexity. The amendment strengthens the Bill’s overall purpose: to streamline planning processes and to remove unnecessary barriers to development. It balances the right to challenge decisions with the imperative to deliver homes and infrastructure efficiently. For those reasons, I hope that the House will support the amendment. I thank the noble Lord, Lord Banner, for all the meetings we have had to discuss this and for his constructive approach to this matter.
I will come to the other amendments in this group when they have been spoken to. I beg to move.
My Lords, Amendments 77 to 79 propose to limit applications for judicial reviews that are without merit. It is proposed that they may be blocked by a judgment of the High Court. The amendments were tabled by the noble Lord, Lord Hunt, and me. In the likely absence of the noble Lord, I have undertaken to speak in support of them.
On Monday, the first day on Report, I spoke to Amendment 83, which describes a means of circumventing lengthy and costly judicial reviews that can affect infrastructure projects of national significance by giving the associated development consent orders—DCOs—the status of Acts of Parliament, which would be legally incontestable. There was no intention in that amendment to curtail meaningful processes of scrutiny and consultation. The purpose was to protect projects from costly and dilatory legal reviews initiated by tendentious factions that are liable to promote their own interests at the expense of those of the wider community or the national interest.
In recent years, the planning system has become increasingly sclerotic. The average time it takes to obtain planning permission for major infrastructure projects has more than doubled in the last decade to more than four years. A judicial review with a minor or frivolous justification may occasion a resubmission of an application for a development order. The revised application might become subject, in turn, to a further judicial review. Despite the eventual dismissal of these appeals, the legal processes can be so costly and cause such delays that the infrastructure project goes into abeyance. Then the contestants have effectively won their case, despite its lack of legal merit.
I should say that I am not averse in principle to judicial reviews. Many of them do have merit. However, a very large and increasing number of requests for judicial reviews are rising nowadays, and hearings are granted in 75% of the cases. They form a lengthy queue and pre-empt the legal resources.
The fashion for judicial views may have been greatly stimulated by the experience of the Archway Road protests, which took place over a period of 20 years from the early 1970s to the 1990s. These protests were prompted by a proposal to develop a motorway dual carriageway in Archway, where the A1 trunk road effectively begins. It was said the purpose of the scheme was to expedite the escape from the centre of London of politicians, senior civil servants and a body of secretaries in the case of the threat of a nuclear missile strike. They were to be conveyed to a secret nuclear bunker in Kelvedon Hatch in Essex, where they might continue to govern the country, while the rest of us perished. It was said that they might have the task of regenerating the population that had been obliterated.
The road scheme would have destroyed 170 houses, for the loss of which the residents would have been given very meagre compensation. It was said that they would have been given no more compensation than would have enabled them to purchase a one-bedroom flat in Tottenham Marshes. A question has to be asked about whether compensation tends nowadays to be more generous. Does its inadequacy continue to provide an incentive to resist infrastructure developments and to resort to judicial procedures to block them? This unpopular scheme has had a long legacy. It established a precedent for judicial reviews that has been followed ever since, for good and for bad reasons.
Amendment 83 did not receive favour from the Government, and in withdrawing it I was clear that I was somewhat disappointed by their response, because we are facing a crisis caused by the wilful delay and obstruction of virtually every important infrastructure project. There is nothing in the Bill or forthcoming from the Government that will address the crisis adequately. We are left with nothing more than the present group of amendments which propose that, in various circumstances pertaining to the Town and Country Planning Act, the listed buildings and conservation Act and the hazardous substances Act, the High Court may deem an appeal to be unworthy of further consideration. I believe that the Court of Appeal already has this prerogative, so there may be very little substance in these amendments, but nevertheless they serve to highlight the problem.
My Lords, I will speak to Amendment 104, tabled by my noble friend Lord Banner, and to government Amendment 261. We are grateful for the Government’s engagement with my noble friend on this issue.
These amendments would prevent planning permission from timing out as a result of protracted legal challenge and remove the perverse incentive for meritless claims designed simply to run down the clock. At present, judicial reviews, as we have heard, often outlast the three-year planning deadline, leaving permissions to time out, wasting money on repeat or dummy applications and discouraging serious investment. Stopping the clock during a judicial review would protect legitimate permissions, reduce waste and deter vexatious claims. It carries no real downside for the Government.
The Government say that they agree with the policy intention. We welcome the Government’s move to address the concerns held on these Benches and their work with my noble friend Lord Banner on these issues. This is a question of proportionality and fairness in the planning system. If time is lost to litigation, that time should not count against the permission. Properly granted permissions should not be undone by process; it should be done by merit. Far from slowing down planning, this change would help to speed it up by reducing wasteful repeat applications, giving confidence to investors and allowing us to get on with building in the right places.
Finally, I speak to the amendments tabled by the noble Lord, Lord Hunt. The ideas, the intentions and the thoughts processed behind these amendments are good ones, built on a sound principle. However, we do not believe that these amendments are practical. The proposed process would involve going straight to a hearing. In our view, the court would simply not have the necessary bandwidth. Nevertheless, we are sympathetic to the purpose of his amendments.
My Lords, I am grateful for the support from across the House for the Government’s amendment. I am sorry that the noble Lord, Lord Banner, has had to rush off to the Supreme Court, apparently, but I am grateful for his support for our amendment.
I point out to the noble Baroness, Lady Pinnock, that this amendment has been developed in response to a discussion that we had in Committee and with extensive engagement with fellow Peers to improve the process of judicial review, which has been an ongoing issue. I hope that this reassures her.
I thank the noble Baroness.
Although the noble Lord, Lord Banner, is not here, I shall put on the record that there is work ongoing on the Hillside issue, as he is very aware. We continue to engage with him on that issue.
I cannot answer the question asked by the noble Baroness, Lady Bennett, off the top of my head, but I will provide a written answer. I appreciate that two years is quite a long time. If surveys have been done, they may need to be done again. I will come back to her on that issue.
I thank my noble friend Lord Hunt for tabling Amendments 77, 78 and 79, introduced by my noble friend Lord Hanworth. These seek to remove the right of appeal for certain planning judicial reviews if they are deemed as totally without merit at the oral permission hearing in the High Court. The effect of these amendments largely reflects the intention of Clause 12, which makes provisions specifically for legal challenges concerning nationally significant infrastructure projects under the Planning Act 2008. The measures being taken forward in Clause 12 follow a robust independent review by the noble Lord, Lord Banner, and a subsequent government call for evidence, which made clear the case for change in relation to major infrastructure projects. We do not currently have any evidence of an issue with legal challenges concerning other types of planning decision. Therefore, we will need to consider this matter further to determine whether the extension of changes made in Clause 12 would be necessary or desirable in other planning regimes.
Amendment 77 seeks to clarify that legal challenges are to be made to the High Court. As mentioned in Committee, this is not necessary as it is already clearly set out in the existing relevant rules, practice directions and guidance documents. In light of these points, while I agree with the intent behind the amendments, I kindly ask that my noble friend does not move them.
I am happy not to move the amendments. However, I observe that the government amendments are occasioned by the very problems that I have been describing.
My Lords, I turn first to Amendment 69, tabled by the noble Lord, Lord Murray, and moved by the noble Earl, Lord Russell. This amendment seeks to introduce statutory guidance on mediation and dispute resolution into the planning system.
First, I thank the noble Lord, Lord Murray, for his continued engagement with us on this matter since Committee. I have had a meeting with him this week on this subject. He is a passionate advocate for mediation and I appreciate the insights he has shared on this issue. I think we both want the same thing: fewer disputes on matters of planning. There are certainly areas where mediation and alternative dispute resolution can play a valuable role in the planning system—for example, on the compulsory purchase and Section 106 agreements, where negotiating and reaching consensus is required.
However, we feel that third-party mediation would not be appropriate or necessary for all planning activities. For example, it would not be applicable to planning decisions, as planning law requires the decision-maker to consider all relevant planning matters set out in the local development plan and weigh them with other material planning considerations. Furthermore, a statutory approach to mediation may add a further layer to an already complex planning framework.
Much of what we are both seeking to achieve can be done through national planning policy and guidance. Our National Planning Policy Framework actively encourages proactive and positive engagement between applicants and local planning authorities, including pre-application consultation. This is a well-established part of the system and only 4% of all planning decisions lead to an appeal. On larger-scale schemes, planning performance agreements have also played an increasingly valuable role, and we actively encourage them as a tool to assist co-operation between all parties.
The noble Earl, Lord Russell, quoted the example of the way that Scotland deals with mediation. Section 286A of the Town and Country Planning (Scotland) Act 1997 enables Scottish Ministers to publish guidance promoting the use of mediation. Planning Circular 2/2021 sets out this guidance. Importantly, this guidance promotes the use of mediation rather than requiring its use. It clearly states that the use of mediation is not a requirement on local planning authorities. We do not need legislation to encourage the use of mediation, especially for all planning activities. As I said, there are examples of where we have used guidance to encourage the use of mediation, particularly on compulsory purchase orders.
Amendment 103 from the noble Lord, Lord Banner, and moved by the noble Baroness, Lady Scott, seeks to give decision-makers, applicants, consultees and the courts confidence that less can be more in the planning system. I thank the noble Lord for his engagement on this matter. He will know that we are taking forward regulatory reforms to this regime, removing the need for mandatory pre-application consultation and overhauling the permission stage for judicial review, which we discussed earlier.
Elsewhere, we are introducing the new nature restoration fund, reviewing the role of statutory consultees, removing the statutory consultation requirements relating to preliminary environmental information within the environmental impact assessment regulations for infra- structure planning and examining regulatory and policy requirements for small and medium-sized sites.
I again reassure the noble Lord that we agree with the sentiment of this amendment to remove unnecessary layers of duplication, and our actions show this. However, as I said in Committee, we still do not think that this amendment, though well intentioned, would provide the remedy for the lack of proportionality in our planning system. It would create a new legal test for decision-makers that risks more opportunities for legal challenge and more grounds for disagreements. It is better to promote proportionality through regulatory and policy reforms, which I know the noble Lord is aware we are committed to. It will be a key principle driving our new National Planning Policy Framework, which we are committed to publishing for consultation later this year.
Amendment 119, tabled by the noble Baroness, Lady Neville-Rolfe, seeks to ensure that public bodies discharging duties under the Bill pay consideration to the difficulties faced by small and medium-sized developers when engaging with the planning system. I am sure she will know that we appreciate the intention of the amendment and recognise the crucial role that small and medium-sized businesses play in driving up housebuilding rates, particularly by supporting a diverse housing market, responding to local housing needs and supporting faster build-out rates.
We also recognise that this part of the sector has faced incredibly significant challenges in recent years and that the planning system has become disproportionate, contributing to delays, costs and uncertainty. However, this amendment is unnecessary and duplicates the emerging reforms to the planning system.
The amendment would create a statutory obligation for public bodies to have regard to SME-specific issues. This approach is neither necessary nor proportionate. It would impose a legal duty on authorities to demonstrate how they have considered SME concerns and barriers when exercising their planning and development functions. This would create a new burden for local planning authorities and other public bodies. It would also further complicate our complex planning system and create a new avenue by which legal challenges to decisions could be brought.
That said, I assure noble Lords that the Government are committed to improving the experience of SMEs in the planning system. In May this year, we published a site thresholds working paper, seeking views on how we might better support small-site development and enable SME housebuilders to grow. This paper proposed introducing a medium-site definition, alongside a range of proposals to support a more simplified and streamlined planning process.
For applications within this new medium threshold, we are considering simplifying BNG requirements, exploring exempting these sites from the proposed building safety levy; exempting them from build-out transparency proposals; maintaining a 13-week statutory time period for determination; including the delegation of some of these developments to officers as part of the national scheme of delegation; ensuring that referrals to statutory consultees are proportionate and rely on general guidance that is readily available online where possible; uplifting the permission-in-principle threshold; and minimising validation and statutory information requirements. We are currently analysing all the comments received on this working paper, which will inform a consultation on more detailed proposals ahead of finalising our policy approach.
An amendment seeking to define SMEs in an alternative way and adding further steps to the process risks adding further complexity to the planning system and undermining the efforts to support proportionality. For these reasons, I hope that noble Lords will not press their amendments.
My Lords, I thank the Minister for her response. This has been an interesting and, dare I say, different group of amendments. It is always important to look at principles, particularly first principles, that underline and guide what we do and why we do it. I welcome the Minister’s comments. I take her points about mediation and that we all want fewer disputes. We share all those things in common. I will go away and think about what more could be done with guidance. We want the Government to go a little bit further and support trials and rollouts to see what more can be done to better incorporate this as a tool within our planning system.
On Amendment 119, it is important that we raise these issues. The need to do more for small and medium-sized developers is widely felt among all parties across the House. I recognise what the Government have done on the site threshold paper, and it is welcome that they are looking at the results that have come back from that. I think the House as a whole would welcome further developments from that.
On Amendment 103, obviously the principle of proportionality is important. Less can indeed be more. We wonder what more can be done in this space on regulatory and policy reforms going forward.
With that, I reserve the right of the noble Lord, Lord Murray, to bring back his amendment, should he wish to. I beg leave to withdraw the amendment.
(4 months, 1 week ago)
Lords ChamberMy Lords, I am very grateful to my noble friend Lady McIntosh of Pickering for her commitment to this flooding issue, which impacts far too many households in this country and which, as our climate changes, is likely to impact far more.
New housing built on flood plains since 2009 is not able to be reinsured under Flood Re, supposedly because that housing does not need it. However, as my noble friend points out, that is not the case. Her Amendment 70 requires greater flood resilience measures if we are not to rule out building on flood plains entirely. It seems eminently sensible to help protect homeowners and ensure that insurance is available at an affordable price, and so we support this amendment.
The noble Baroness, Lady Jones of Moulsecoomb, makes strong points in Amendments 86, 120, 121A and 121B, so ably introduced by the noble Baroness, Lady Bennett of Manor Castle. Clean drinking water in our country is a finite resource, and measures to improve efficiency, analyse demand and increase reuse are sensible. I will welcome any comments from the Minister that show what the Government are already doing and plan to do to address these matters. However, we would not be in support of adding this to our already overburdened planning process.
My Lords, I thank all noble Lords who have taken part in the debate.
I will first address Amendments 70 and 81, concerning flood risk and resilience within the planning system. They draw attention to the important matter of how we prepare for and mitigate the impacts of flooding, particularly in light of the growing challenges posed by climate change. The Government treat these concerns with the utmost seriousness. We are aware of the distress, disruption and financial cost that flooding brings—so ably illustrated by the noble Baroness, Lady Grender; of the heightened risks associated with a changing climate; and of the necessity to maintain a robust but proportionate framework for managing these risks.
Amendment 70 seeks to require property flood resilience measures in new homes located in areas of high flood risk. As has been made clear in previous debates, enhancing the resilience of properties exposed to flood risk is indeed an important objective, which I know we all share across the House. In support of this, building regulations already promote flood-resilient construction in flood-prone areas through approved document C, while ensuring that where properties do not require additional measures, they are not subject to undue burdens.
Amendment 81 seeks to impose a statutory ban on residential development in flood zone 3. While we agree with the principle of steering development away from areas at highest flood risk, this amendment would prohibit development even in major urban areas such as Hull and central London, which, although within flood zone 3, are protected by robust engineered flood defences. Such a blanket ban would prevent development coming forward that could otherwise be made safe for its lifetime and would not increase flood risk elsewhere. Instead, the National Planning Policy Framework already provides strong safeguards, directing development away from the most flood-prone areas, including flood plains, and makes it clear that inappropriate development in these areas should be avoided.
Our policy also ensures that new housing and most other development types are not permitted in functional flood plains—flood zone 3b—where water must flow or be stored during floods. Where development is allowed, it must be proven safe for its lifetime, with full consideration of the vulnerability of its users. The effectiveness of our current policy position is clear: in 2024-25, 96% of all planning decisions and 99% of all new homes proposed in planning applications complied with Environment Agency advice on flood risk, and these figures have remained stable over time.
Finally, I highlight that we are making a record £10.5 billion investment in flood and coastal erosion defences, the largest programme in history, including £300 million for natural flood management over a 10-year period and unlocking further investment from public, private and charitable sources.
Amendments 86, 120, 121A and 121B were tabled by the noble Baroness, Lady Jones. I am sorry that she is not in her place because it would have been my first opportunity to welcome her back to the Chamber. The amendments, ably introduced by the noble Baroness, Lady Bennett, concern sustainable water management and draw attention to the important need to reduce demand on water resources. The Government fully acknowledge the critical nature of sustainable water management and water efficiency.
To address that issue, in September the Government launched a consultation to review the water efficiency standards within the Building Regulations 2010. This will ensure increased water efficiency for new housing and tighter standards for water-stressed areas. The consultation includes a call for evidence on water reuse systems in new developments to enable even greater water efficiency. We are investigating how we can bring technologies such as rainwater harvesting into new developments safely. Reuse of grey water or rainwater should be subject to careful policy consideration, as any accidental, inadvertent or incompetent contamination of potable water could lead to a public health incident. In support of this, we are also examining how we might upskill those in the plumbing and construction sectors, ensuring that they can safely install such systems. Additionally, in December 2024, we updated our National Planning Policy Framework to expand the requirement for sustainable drainage systems to all developments that have drainage implications. These systems can incorporate rainwater harvesting, which not only aids water storage but helps regulate flow rates from sites.
In the light of this, I am concerned that the additional measures proposed through Amendment 86 would be duplicative and would remove the appropriateness of efficiency measures to be determined on a case-by-case basis. We must remain mindful of not imposing blanket requirements, as a one-size-fits-all mandate may not be suitable in all local contexts. This can instead risk unintended consequences, such as increased expenses for developers and home owners, and may slow down the housing delivery that we so desperately need.
On Amendment 120, planning authorities already consider water efficiency targets in applications and can set tighter optional water efficiency standards through the planning process. Water efficiency standards and guidance are determined through building regulations. Duplicating this, adding further monitoring and evaluation requirements, could impose administrative and financial burdens on local authorities.
On Amendment 121A, planning authorities must already consider water supply and quality through strategic environmental assessment, also informed by strategic flood risk assessments, while water efficiency standards are set and enforced through the building control process. We should not duplicate existing planning guidance and building control processes.
Regarding Amendment 121B, the Government support sustainable water management and water efficiency and are already giving consideration to how water reuse can reduce water scarcity and drainage and wastewater pressures on growth where they are needed—for example, through the current consultation on Building Regulations and the associated call for evidence on water reuse systems in new development. In addition to the requirement in the National Planning Policy Framework for all new development with drainage implications to incorporate sustainable drainage systems, planning policy also requires that strategic policies should make sufficient provision for water supply and wastewater.
The existing statutory requirement that local planning authorities engage with specific consultees such as the Environment Agency and sewerage and water undertakers when developing local plans is supported by our planning guidance, which encourages early engagement between strategic policy-making authorities and water and sewerage companies. Strategic and local planning authorities will need to consider these requirements when preparing their spatial development strategies and local plans. I therefore kindly ask noble Lords not to press their amendments.
My Lords, I am grateful to those who spoke in favour of my amendment, in particular the noble Baronesses, Lady Willis of Summertown and Lady Bennett of Manor Castle, and my noble friend Lord Deben. I am deeply disappointed by the Minister’s response because, actually, she made the case for precisely why these amendments are needed. I hope that, at the behest of my noble friend Lord Deben, the Minister might agree to come back with amendments in her own name at Third Reading. For the moment, I beg leave to withdraw the amendment.
Lord Jamieson (Con)
I am going to try to be brief, but I am afraid I am going to be beaten by the Liberal Democrats—just occasionally one has to accept this. I offer our support for Amendments 71 and 82, tabled by my noble friend Lady McIntosh of Pickering. As other noble Lords have said, it is a principle of fairness. If you are the one bringing change, you should be responsible for managing its impact. Yet, time and again, we have seen valued businesses, particularly in the live music, hospitality and cultural sectors, threatened or closed down due to new developments that arrive without sufficient mitigation and proper regard to the context within which they are being introduced. If you build a house on the edge of a cricket pitch, do not be surprised to see the occasional cricket ball flying into your garden.
The reality is that guidance, however well intentioned, is inconsistently applied. Local authorities are left without a clear statutory duty to uphold the agent of change principle. Amendment 82 extends this principle to a licensing regime we would also support. We see this as a constructive and proportionate improvement to the Bill that balances the need for new development with the equally important need to protect existing cultural, social and economic structures. We on these Benches are pleased to support this principle and hope that the Government will recognise the value of giving it a clear statutory footing. I ask the Minister for an assurance that existing businesses and community facilities will not be put at risk from subsequent developments.
My Lords, I thank all noble Lords for a very interesting debate on this topic. Next July, I will have the benefit of five days of Oasis concerts in the fantastic venue of Knebworth House, which is just about a mile away from my house, and this summer we enjoyed Old Town Live, a day-long festival for local bands including, I hope, some of the successors to Oasis—we never know. I can hear and enjoy both of these from my house, and they represent the important cultural role of music venues and their place in the ladder of musical talent that not only contributes so much to our culture in this country but makes an enormous contribution to our economy as well. I say that to show that I understand the issue here and the Government share the desire to ensure that new homes do not undermine the operation of long-established businesses in their local area, be they music or other cultural venues.
The agent of change principle is embedded into the planning system. Where the operation of an existing premises could have a significant adverse effect on new development in its vicinity, the responsibility lies with the applicant or agent of change to put suitable mitigation in place, whether that is engineering solutions, layout, planning conditions or mitigating the impact through noise insulation. This policy forms part of the National Planning Policy Framework and local planning authorities must already have regard to it where it is relevant to a planning decision.
We are exploring how we can make the agent of change policy in planning as clear as possible through our new national policies for decision-making, which we will consult on this year. We have recently launched a call for evidence, which seeks views on how we can better apply the principle in licensing. This will reduce inconsistent decisions, while ensuring that we have the flexibility for local authorities to balance the needs of businesses with housing growth. I would therefore kindly ask the noble Baroness, Lady McIntosh, to withdraw her amendment.
Why will the Government not make it statutory? This is a very simple question.
I think I have explained several times during the course of the Bill that I do not think it is correct to say that the National Planning Policy Framework is a statutory framework in itself: it is not. It sits within the statutory framework of planning. We need it to be more flexible than a statutory framework, so it can change as times change. When we bring in these policies, they will not be coming through as pieces of law. They will be planning policies, so that they can be flexible and adapt to the situation as it changes. That is a very important part of planning. The National Planning Policy Framework must maintain that degree of flexibility: otherwise, every time we want to change it, we will have to come back through Parliament. That would not be agile enough to deal with the changing situation.
It is very seldom I am lost for words, but I am hugely disappointed by that response to this short debate. I am grateful to all those who spoke in support of my amendment. The noble Earl, Lord Clancarty, expressed the considerable cost that is incurred by those who have to take mitigation measures; the noble Lord, Lord Freyberg, set out why it is currently not working. To repeat what he said, it cannot override the noise abatement laws. That is why I think that we are failing both developers and residents at this time. I do not believe we are giving the clarity to licensing practitioners that they request. That is precisely what Sarah Clover, who was the expert specialist adviser to the committee looking at the Licensing Act 2003, has pointed out on successive occasions. So, while I will not press to a vote and test the opinion of the House at this stage, I reserve the right to bring the amendment back at Third Reading.
Lord Jamieson (Con)
My Lords, we support the intentions behind Amendments 72 and 85 and thank the noble Lord, Lord Best, the noble Baronesses, Lady Thornhill and Lady Pinnock, and others for bringing them forward.
There is no doubt that we need more affordable housing and more social rent homes. We also recognise that planning permissions must be followed through and that, too often, affordable housing secured at the outset does not fully materialise. Amendment 72 puts forward a clear principle that, if affordable housing is agreed to as part of a planning consent, it must be delivered, and that social rent should form a meaningful part of that. This is right and we are entirely supportive of that aim. There are, of course, practical and legal complications around how these obligations are enforced, and we would want to ensure that any new duty works effectively within existing planning and viability frameworks.
However, councils also need to have a degree of flexibility to meet local needs, which is why I have a concern about putting a specific figure in the Bill. As the noble Lord, Lord Best, is well aware, I am particularly interested in housing for older people and specialist accommodation for those with disabilities. This is often more costly to build than standard housing. By taking a flexible approach at the local level on affordable percentages or mix, specialist but more expensive housing that meets local needs can be delivered. Imposing a national requirement may undermine that flexibility to deliver for local needs. That is how I, as leader of Central Bedfordshire, was able to deliver specialist accommodation for older people—freeing up family homes as a consequence—and for those with significant disabilities, as well as short-term accommodation. I would not want the opportunity for this lost because of an imposed national target in legislation. That said, let us make this absolutely clear: we are very strongly in support of the need for clarity and accountability for developers. They should and must deliver what they agree to when they get a planning permission.
Amendment 85 rightly highlights the needs of children and families facing homelessness or in temporary accommodation, a group whose experiences are often invisible in planning policy. Ensuring that local planning authorities take account of these needs is a modest but important step and we support it, but I refer to my earlier comments on the need for flexibility. Again, I am going to refer to my own experience, and to one of the proudest things I did when I was leader of Central Bedfordshire Council. We had about 125 households in bread and breakfast; 10 years later, that was effectively zero. That was 125 households who had the opportunity to live in a proper home. There were two key reasons for it. One was that we built specialist temporary accommodation and converted some buildings for that; but the second is that we built homes they could move into. So, we also need to consider that we must build the quantum of homes that is needed if we are truly to address the issue of homelessness.
Both amendments speak to the same wider truth: housing policy must be about delivery, not just ambition. We hope the Government will take these proposals seriously and come back with measures that match the urgency of the housing crisis we face.
I thank the noble Lord, Lord Best, for Amendment 72. I have to say that the last words of the noble Lord, Lord Jamieson, when we are trying to sort out a housing crisis that his party created, are a bit rich. But I will park that for the moment.
Lord Jamieson (Con)
I am pleased that the last Government delivered 1 million homes over the last five years. I will be delighted if this Government deliver 1.5 million, but at the moment, they are on track to deliver considerably fewer, increasing that crisis.
The noble Lord’s Government left 130,000 children in temporary accommodation.
As noble Lords will know, the Government are committed to delivering the biggest increase in social and affordable housing in a generation and to prioritising the building of new homes for social rent, but we take a different view from the noble Lord on how to achieve this. The revised NPPF provides local authorities greater flexibility to deliver the right tenure mix to suit local housing needs, and planning practice guidance that supports the NPPF sets out that plan-makers should collaborate with the local community, developers and other stakeholders to create realistic, deliverable policies.
I understand the frustrations around the issue of viability, so the Government are also reviewing the planning practice guidance on viability to ensure that the system works to optimise developer contributions, and that negotiation or renegotiation of Section 106 agreements takes place only when genuinely necessary. Once planning obligations are entered into under Section 106, they run with the land and are legally binding on all parties to the agreement, so they can be enforced by the local planning authority. As we take forward work on a set of national policies for decision-making, we will also consider further steps to support social and affordable housing.
Turning to Amendment 85, tabled by the noble Baroness, Lady Pinnock, while we agree that we need to tackle homelessness, especially where children and families are involved, I will explain why we cannot support this approach. The planning system is already complex, and adding duties to have regard to particular matters, no matter how laudable, are not required in statute, given that national planning policy is a strong material consideration in planning decisions. As we take forward work on a set of national policies for decision-making, we will also consider further steps to support social and affordable housing. Councils must, by law, make sure that any temporary accommodation placements are suitable to the needs of the people placed there. On World Homelessness Day this month, we announced £10.9 million to increase access to support and services for families in temporary accommodation. I therefore ask noble Lords not to press their amendments.
My Lords, I am deeply grateful to noble Lords for their support for Amendment 72. I thank my noble friend Lord Carlile for his eloquent words, and I offer the noble Baronesses, Lady Grender, Lady Pinnock and Lady Bennett, sincere thanks for their support. The noble Lord, Lord Jamieson, is unfortunately unable to support this amendment, which, without his help and that of his colleagues, I fear would not achieve the majority it needs.
I do not accept the noble Lord’s point that having a 20% baseline below which we would not go in terms of affordable housing, and social rented housing in particular, is necessarily a blockage to flexibility. The baseline of 20% at social rents—the typical housing association and council rents—would not put a great burden on the housebuilders negotiating with the planning authority that also wanted to produce housing for older people. I do not think it would entail an additional burden.
Sometimes the older people’s housing of the kind that the noble Lord has produced in his own borough—and I strongly congratulate him, as council leader, on achieving a disproportionate amount of housing for older people; he has done a great job—will be social housing and would count towards the affordable housing quota that I am talking about; sometimes it will be housing for outright sale, which would not be part of this equation so we would not worry about it. Having a baseline of 20% social housing as an absolute minimum is not going to impede—
Lord Blencathra (Con)
My Lords, I will comment briefly on these amendments. The Government may say that if you stop these conversions of hotels, where will we put the people? The noble Baroness, Lady Pinnock, asked the same question. That is a fair question. The answer is to use all spare military accommodation, recently used by servicemen and women. From what I read, the Government want to do that, and they must have the guts to stick to it, because they will have public support, even though left-wing immigration lawyers will mount judicial reviews against it.
So, His Majesty’s Government, do not be terrified into closing RAF Wethersfield, but increase numbers there to the maximum possible and reopen Napier barracks. I stayed there 50 years ago, and it is 100 times better now than it was then. Many noble Lords will have experience of military accommodation in the past, including officer accommodation, and it was not up to the standards now available for illegal migrants.
It was deplorable that some lawyers and immigration groups took action to close Napier, which was used only for single men. How did these single men get here? They walked hundreds, perhaps thousands, of miles through Afghanistan, Iraq, Turkey, Greece, Romania and other European countries, and lived in appalling conditions near the beach at Calais, before crowding into a little boat. Others have come from Eritrea, Somalia and up through Egypt, Libya, Italy and on to Calais. I am sure they had premium accommodation en route.
How dare anyone suggest that the accommodation in any of our former military bases is not good enough for single men of fighting age, when it was good enough for British men and women of fighting age? If they had to stay in Barry Buddon, stuck out in the coast in Fife next to Carnoustie, where 30 of us were in a nissen hut with one big cast iron potbelly stove, they might have something to complain about, but not in the current accommodation. So, His Majesty’s Government, please do not back down on the use of former military accommodation, or any other spare government accommodation, and that can take the pressure off unsuitable hotels.
On Amendment 87E, I do not trust any Government to use this power anywhere in the country, and put up temporary accommodation all around the land, but if some of the military bases are not big enough, or are regarded as not having quality accommodation, then move in temporary accommodation—caravans, chalets, portable homes, portakabins—and put them on these bases or other military land. That is a better solution and answers some of the question, “If you close these hotels, where will you put them?”. I have suggested it in my comments tonight.
My Lords, I first turn to Amendments 73 to 75, 263 and 264 brought by the noble Baroness, Lady Scott. I thank the noble Baroness for once again raising an important issue but I point out that it relates to ongoing legal proceedings, which I am sure that she appreciates I cannot comment on.
The asylum accommodation system is under significant pressure. While the priority is to end the use of asylum hotels as soon as possible, the Government need to be able to control the number of such hotels and retain the ability to open new asylum hotels—only if and when it is necessary—to manage fluctuations in demand. The amendments would remove the ability to do so.
The Home Office is under a legal obligation to provide accommodation for destitute asylum seekers while their application for asylum is being considered. We know that this has led to concerns among some people about the use of hotels for this purpose. We are conscious that the use of hotels for the purpose of housing asylum seekers has caused understandable concern. That is why we have an ambition to resolve it in a controlled and orderly way.
Listening to the noble Baroness, Lady Scott, I was frankly astonished to hear her words about giving local people a voice. Under her Government, as a council leader I pressed over and over again for our hotels in Stevenage not to be used for this purpose by agents of the Home Office, not least because international businesses in my town needed them. Her Government did not listen to our community, its elected representatives or our businesses; they overruled us and ploughed ahead regardless.
This Government have made clear our intention to stop the use of hotels to house asylum seekers. This is borne out by the fact that the number of hotels so used has almost halved since its peak under the previous Government. More broadly, the Home Office is working on a future strategy for asylum accommodation. The department is working in collaboration with local authorities to develop several potential accommodation models that could test a more sustainable, flexible and collaborative outcome. The department is also working at pace to deliver a range of alternative sites, including—to the point made by the noble Lord, Lord Blencathra—military sites, that would contribute to a more flexible estate.
Restricting the use of houses in multiple occupation for asylum accommodation would have the perverse effect of making it even more difficult to end the use of asylum hotels. While we understand why these amendments have been brought forward—I will not comment on why, but we understand it—they would nevertheless result in greater instability in the provision of asylum accommodation, and prevent us proceeding in the controlled and orderly way that we want to.
Amendment 87E, brought by the noble Baroness, Lady Pinnock, would give the Secretary of State powers to make regulations to deal with applications for planning permission where temporary asylum application processing facilities were proposed. The amendment is unnecessary, as these powers would be duplicative of existing powers in the Town and Country Planning Act 1990. In particular, Section 59 allows the Secretary of State to make a development order that can either itself grant planning permission or make for the grant of planning permission by the local planning authority or the Secretary of State. That includes timescales, publicity and consultation. Section 70 allows local planning authorities to grant planning permission for development, including conditional planning permission, and Section 77 makes provision in relation to the Secretary of State being able to call in applications for planning permission to determine them himself.
In addition, it would also not be appropriate to take such powers for a specific type of development in primary legislation. We are committed to progressing asylum cases in an efficient and cost-effective way. The Home Office’s programme of transformation and business improvement is speeding up decision-making, reducing the time people spend in the system and reducing the numbers who are awaiting an interview or decision and remain in hotels.
(4 months, 1 week ago)
Lords ChamberTo ask His Majesty’s Government what progress they have made towards their target of building 1.5 million new homes.
My Lords, our Government remain committed to delivering 1.5 million homes over this Parliament. Through major planning reform and investment, we are breaking through the barriers to development and will build the homes this country needs. Our bold planning reforms alone will drive housebuilding in the UK to its highest rate in 40 years. The spending review confirmed the biggest boost to social and affordable housing investment in a generation, alongside significant investment through the national housing bank, reforms to the building safety regulator, a new mortgage guarantee scheme, a support package for SME builders and work on a comprehensive construction skills package. We are laying the strong foundations for a generational rocket boost to housebuilding.
My Lords, 1.5 million is exactly what the country needs, but few outside government believe that this target is achievable. One in four of those homes would have to be built in London. London’s target for this year is 88,000 homes; by June, 4,000 had been completed. One reason that developers give for this slow progress is the target for affordable homes of up to 35%. Sites that were viable until recently are no longer. Can the Minister confirm that discussions are now taking place in Birmingham and London with a view to watering down the Government’s affordable homes programme in order to drive up completions? As one developer said, 35% of nothing is not a sensible policy.
I know the paper to which the noble Lord refers. With his ministerial experience, he will know that I cannot comment on leaked documents. However, let us make no mistake that London and the mayor are extremely ambitious about delivering the housing that London needs. The Government recognise its unique challenges, including higher build and labour costs, which have contributed to falls in starts and completions in the capital. We are working in partnership with the mayor and the GLA to accelerate housing delivery and are supporting the development of an ambitious next London Plan. We are already taking action to accelerate housebuilding through planning reform and unlocking large-scale developments such as at Euston. We are also supporting stalled sites in the capital via the new homes accelerator. London will be allocated up to 30% of the £39 billion social and affordable homes programme, granting approximately £11.7 billion to the GLA to support housing delivery in London.
Just after the war, a large number of prefab houses were built, with great success, and they lasted very well. Is there any good reason why one could not put up a lot of prefabricated houses, which would go a long way towards this number the Government want?
I remember those days and know how fond some of the inhabitants of those prefabricated homes were. Things are moving on; we are now looking at modern methods of construction homes, which could make an important contribution. They deliver high-quality, energy-efficient homes more quickly while creating new and diverse jobs in the sector. We have undertaken bold action to support housebuilders, including in the modern methods of construction sector, reforming the planning system, unblocking sites and increasing supply. We have developed a publicly available specification for MMC homes, which will bring greater clarity to the insurance and warranties market and support the delivery of the quality homes we all want.
My Lords, we clearly have grey-belt/green-belt confusion when planning inspectors are approving more than 70% of major residential grey-belt appeals. These appeals are expensive, time-consuming and quite obviously delay housing delivery. Given this clear disconnect between local interpretation and national policy success at appeal, will the Government please issue some clear, unambiguous guidance regarding grey-belt criteria, as in paragraph 155, to clarify the current confusion which clearly exists and helps no one?
I am very happy to take back whether we need some more communication on this. We have been very clear that we take a brownfield-first approach, but we know that brownfield alone will not be enough to deliver the country’s needs. That is why we have asked all local authorities that cannot meet their needs to review green belt and to identify opportunities. We expect them to prioritise the development of brownfield and the low-quality grey-belt land that the noble Baroness referred to. High-performing green-belt land and land safeguarded for environmental reasons will still be protected. The green-belt reforms support a more strategic and targeted approach to green belt. However, as I said, we are looking at brownfield first. Then, we expect local authorities to look at grey belt. I will take back to the department whether we need to communicate any further on that issue.
My Lords, before I ask the question, I wish all noble Lords a happy Diwali.
What role do local authorities play in achieving the 1.5 million homes target, and how are they supported?
I am grateful to my noble friend, particularly for his Diwali wishes. Unfortunately, I had to miss the Diwali celebration at home yesterday due to being here on the planning Bill, but it seems very appropriate that we have a festival of light at this time. I think we all need some light, so happy Diwali to all those celebrating.
Of course, local authorities are key partners in the delivery of 1.5 million homes—in the delivery of the social and affordable homes that we know we need, in tackling homelessness across our country and in developing some of the very important regeneration schemes which I have seen some fantastic examples of as I have gone round the country. Our job is to make sure that the planning system works effectively for them. Local authorities are uniquely able to look at local housing needs in their area and make provision for those. They are key partners in delivery, and we work with them constantly to see whether there is more we can do to help them do just that.
The Minister in her reply to the noble and learned Baroness, Lady Butler-Sloss, mentioned energy efficiency. What requirements are His Majesty’s Government making that all new homes should have either photovoltaic or solar panels on them?
We have made it clear that we expect new homes to be built with PV panels wherever possible, although it is not possible in every instance. Later this year, we will bring out our future homes standard, which will set clear expectations around the energy efficiency of homes. It is important not only for all householders that their homes are efficient for the purposes of lower bills but for the planet that we are doing the best we can with the energy we have.
My Lords, to return to local authorities, have the Government assessed the impact on their 1.5 million homes target of local government reorganisation? I sat last year on the Devon Housing Commission chaired by the noble Lord, Lord Best, and it found that one of the biggest challenges for development in the county was local authority and planning departments. I know for a fact that, over the next two or three years, every planning department in Devon will be challenged by the considerable reorganisation due to take place.
That is an appropriate question for today because I met the leader of Plymouth City Council just this morning, and we talked about some of the issues facing Devon. We understand that the reorganisation of local government adds to the considerable pressures that local authorities already face. However, it is essential to ensure that local authorities are as efficient and sustainable as possible. We are working closely with our local authorities on that project. We have helped our local planning authorities with resourcing through an increase in planning fees for householders and other applications, as well as through measures in the Planning and Infrastructure Bill to enable local planning authorities to set their own planning fees to cover costs. We have also provided a £46 million package of support to help train and build capacity in local planning authorities.
My Lords, in an Oral Question in September, my noble friend Lord Jamieson raised a concern with the Minister about the proposed removal of the lower rate of landfill tax for inert construction waste, a change that could reportedly add up to £25,000 to the cost of building a single new home. At the time, the Minister did not directly respond to the question; she promised a written response that has not been received. Given the Government’s ambition for 1.5 million homes in this Parliament, can the Minister now clarify their position on this proposal and explain how such measures would support, rather than hinder, their wider housing delivery ambition?
The treatment of landfill is important for the environment, so it is key that we deal with that efficiently. I attended an SME round table as part of the APPG for SME House Builders last week; they raised the issue with me, and I will take it back to the department. I thought that I had replied to the noble Lord, Lord Jamieson, but I will go through and make sure that we did so. This is a particular issue for SME builders, so we are thinking that through and will issue a response shortly.
(4 months, 2 weeks ago)
Lords ChamberMy Lords, first, I declare my interest as vice-president of the Local Government Association.
I thank the noble Baroness, Lady Pinnock, for bringing forward this purpose clause. It serves as a timely reminder of what the Bill is meant to achieve: the delivery of 1.5 million new homes and important infrastructure projects. It is increasingly hard to escape the conclusion that this goal is slipping further and further from reach. The problem is not simply one of ambition but of process and principle. The Government have tabled no fewer than 67 new amendments to the Bill, in almost 30 pages of legislative text, and have done so at a very late stage.
The media were briefed in advance, I note, yet this House received no explanation from Ministers when those amendments were laid until last Tuesday. Under normal circumstances, such sweeping provisions would warrant detailed scrutiny in Committee, not introduction on Report. To describe them as minor or technical, as Ministers have attempted to do, simply does not match the scale and significance of what has been briefed to the press. The Financial Times and others have reported that the Government’s own description of these measures is that they represent substantial reforms to the planning system, so which is it? Are these minor adjustments or a fundamental rewrite of national planning policy? It appears that we are witnessing a major talk-up—an oversell of provisions designed to mask the Government’s ongoing failure to deliver the homes. It is a conjuring trick, saying one thing to the press and quite another in this Chamber.
According to reports, the Prime Minister himself ordered a last-minute rewrite of the Bill, with Ministers working throughout the weekend to agree a package intended to speed up major housing and infrastructure schemes. That was on Friday 10 October. Earlier that same week, the Financial Times revealed that that rewrite forms part of a broader effort to boost growth and patch up public finances ahead of the November Budget—a Budget date already circled in the calendar of many families in this country and of businesses and pensioners, though not with much enthusiasm.
Monthly construction output fell by an estimated 0.3% in August 2025, after showing no growth at all in July. I therefore ask the Minister how the Bill will change that. Should not the Government instead focus on things such as modular construction, utilising 3D modelling and reviewing outdated regulations? No Act of Parliament can succeed if the construction industry itself is faltering under the environment the Government have created.
It is therefore fair to ask whether these amendments reflect deliberate legislative design or the political and fiscal pressures of the moment. By mid-October, the Treasury would already have seen the OBR’s preliminary focus and, I rather suspect, blanched at what it showed. It may be that in the face of deteriorating growth and revenue projections, someone in Whitehall decided that a hasty burst of planning reform might steady the nerves ahead of the Budget, but legislation made in haste rarely makes good law. The planning system must balance the urgent need for homes and infrastructure, with, as we have heard, the rights of local communities and the principles of democratic scrutiny. Bypassing consultation, local accountability and indeed proper deliberation in your Lordships’ House, the Government risk undermining the very trust and co-operation they will need to deliver their own housing ambitions.
The Government have clearly not learned. They crudely cut £5 billion from welfare in haste in the spring in pursuit of a green tick on the OBR’s scorecard. I fear that they are now making the same mistake again, rushing to legislate for the sake of appearance rather than outcomes for this country. That is why this purpose clause is so valuable. It brings us back to the first principles. What is the purpose of the Bill? Is it truly to build homes or to centralise power? We do not even know who is in charge of this legislation. Is it No. 10, No. 11 or MHCLG? The Minister knows that throughout the passage of the Bill, I have sought to offer the Government constructive support, but it becomes ever harder to do so when their approach borders on chaos: saying one thing and doing another; briefing the press with grand claims while sidelining Parliament and scrutiny. I hope the Minister recognises the depth of disappointment felt across this House.
In conclusion, whatever the Government’s intention, the manner in which these amendments have been introduced must not diminish the scrutiny they receive. The House has a duty to examine legislation carefully, especially when it touches on this delicate balance between local democracy and national authority. We will approach these amendments in that spirit—with diligence, patience and respect for due process—and we will not be rushed or intimidated into setting aside our responsibilities in the name of political convenience. The scale and consequence of these proposals demands nothing less than the full and thoughtful consideration of your Lordships’ House.
Well, well, my Lords, that was a wide-ranging debate for an opening debate on a purpose clause. Nevertheless, I thank those who contributed to the debate on the amendment in the name of the noble Baroness, Lady Pinnock. I thank her for her extensive engagement between Committee and Report.
This is indeed an ambitious piece of legislation. It is our next step to fix the foundations of the economy, rebuild Britain and make every part of our country better off. The Bill will support delivery of the Government’s hugely ambitious plan for change milestones of building 1.5 million homes in England and fast-tracking 150 planning decisions on major economic infrastructure projects by the end of this Parliament. I say to the noble Lord, Lord Fuller, that his Government had 14 years to fix the sclerotic planning system that has hobbled growth in this country for over a decade, yet they failed to do so. Our Government are working across departments—yes, and I welcome that—to deliver what the last Government failed to do, which is to build the homes we need and the infrastructure that will support those homes, and to get our economy moving again.
I say to the noble Baroness, Lady Scott, that I am afraid she cannot have it both ways on the amendments that the Government have tabled. She has accused me in this Chamber of not listening. Well, we did listen in Committee and some of the amendments are in response to issues that were raised then. A number of those amendments relate to the devolved Administrations and we rightfully had consultations with those Administrations between Committee and Report. There are some truly pro-growth measures that we feel are rightly pressing and need to be done to improve the delivery of infrastructure, and there are a number of technical, minor amendments.
The Bill is not the only step towards improving the economy and delivering against our plan for change. The noble Baroness will know that we have reissued the National Planning Policy Framework; we have provided funding and training for planners; and we have provided a huge packet of support for SMEs. I met the APPG for SME House Builders the other day and it was pleased with the package that is being delivered. There is more to be done in working with the APPG, and I will be happy to do that. We have also carried out a fundamental review of the building safety regulator. All these things will contribute to the growth we all want to see.
I outlined the core objectives of the Bill at Second Reading, and we also discussed these at length in Committee. I do not suggest that I do so a third time. I recognise that planning law can be a complex part of the statute book to negotiate and interpret, whether you are a developer, a local authority, the courts or even a member of the public. I also appreciate that where a Bill has one sole objective, a purpose clause could clearly articulate this, assist people with understanding the Bill and affect the interpretation of its provisions. This Bill has a number of different objectives, with much of it amending existing law. A purpose clause is not helpful in these circumstances and could create unintended consequences. It is simply not possible or prudent for all these objectives to apply equally to each provision.
I believe we are all united by a shared objective today. On whichever side of the House we sit, we all agree that this House plays an important role in scrutinising legislation to ensure it achieves the intended objectives and to maximise the Bill’s benefit. I firmly believe that the intention behind this amendment is noble. I understand that it is tabled to aid interpretation of the Bill. My issues with purpose clauses, and the reasons I cannot accept this amendment, boil down to two things: their necessity and the potential for unintended consequences. Well-written legislation provides a clear articulation of what changes are proposed by the Government to deliver their objectives. It is for the Government to set out in debate why they are bringing forward a Bill during parliamentary passage. By the time it reaches Royal Assent, the intended changes to the law should speak for themselves.
The Government’s objectives are clear. They are also woven into this legislation through reference to a number of different targeted documents that set out the Government’s strategic intent in specific areas of policy. It is right that these objectives vary according to the topic—some of these objectives will be more important for one issue than another. If this was not the case, the Bill would lose its strategic vision.
The Government strongly support a strategic approach to planning. The word “strategic” is mentioned 196 times in the Bill, as amended in Committee. The Bill inserts a part specifically called “Strategic plan-making”, intended to ensure that planning decisions are undertaken at a more strategic level. Large parts of the Bill are drafted to take a more strategic, targeted approach to achieving the Government’s objectives. For example, this legislation gives regard to other strategic documents, such as the clean power action plan. This is all done with the intention of making clear how this legislation seeks to deliver the Government’s objectives.
Adding a purpose clause to the Bill is not the answer to addressing the complexity of the statute book, or even this legislation. In practice, it would do the opposite; it would add additional room for interpretation to a Bill intending to accelerate delivery and simplify a system. It risks creating additional complexity in interpretation, gumming up the planning system further. It risks reinserting the gold-plating behaviour we are seeking to remove. Developers and local authorities, for example, would feel obligated to show how they have considered priorities that are much more relevant to other parts of the Bill for fear of legal action. A purpose clause would provide a hook for those looking to judicially review or appeal decisions in order to slow them down.
The measures in the Bill should be allowed to speak for themselves. They have been carefully drafted to be interpreted without a purpose clause. The courts should be left to interpret the law without having to navigate their way through a maze of different purposes sitting on top of strategic objectives. A purpose clause would create ambiguity rather than clarity.
It does not appear to me, from the debate I have heard, that the House is confused by why the Government are seeking to bring this Bill forward. I think we all know that we seek to achieve the growth and the homes that this country deserves. We should therefore move forward to further debate how best to achieve them. For those reasons, I ask the noble Baroness to withdraw her amendment.
My Lords, I thank everyone involved in this short but important debate and those who have supported, in word at least, the objective of Amendment 1, which is to set out strategic purposes for the Bill. From time to time, parliamentary procedures have been considered and purpose clauses proposed, so I think the debate will continue on whether it is right and helpful to have purpose clauses at the outset of a Bill, as they do set out strategy. I understand what the Minister is saying about the strategy being throughout the Bill, but if you have it right at the outset it provides clarity on what the Bill is supposed to be trying to achieve.
My Lords, I am grateful to the noble Baroness, Lady McIntosh of Pickering, for her Amendment 2. It would require the Secretary of State to assess the cumulative impact of nationally significant infrastructure projects—NSIPs—on both the environment and the communities in which such projects are being developed, when reviewing a national policy statement.
I am grateful to the noble Baroness for raising this important issue. I wholeheartedly agree that cumulative impacts—particularly those affecting the environment and local communities—must be given due consideration in the NSIP consenting process. I am therefore pleased to reassure her that the existing regime already provides for such considerations. It is already a statutory requirement for the Government to undertake an assessment of sustainability when designating or updating a national policy statement. These appraisals of sustainability—which include the strategic environmental assessment process—play a vital role in shaping national policy statements by evaluating their potential environmental, social and economic effects and any reasonable alternatives that could be used.
The strategic environmental assessment regulations require that the effects assessment includes an assessment of cumulative impacts. Non-spatial national policy statements that do not identify the likely locations of NSIPs are strategic-level documents, which means that it is not possible to identify cumulative impacts in detail. However, cumulative impacts are addressed, so far as possible at this level, to meet the requirements of the strategic environmental assessment regulations at this stage.
It is important that detailed consideration of cumulative effects takes place at the project level. By virtue of factors such as their nature, scale and location, NSIPs are likely to have significant effects on the environment around them. Under the Infrastructure Planning (Environmental Impact Assessment) Regulations 2017, an environmental impact assessment process must be undertaken, and the Secretary of State is prohibited from granting consent until an EIA has been carried out. The environmental statement must identify and assess the direct and indirect significant effects on specified factors, including environmental factors, population and human health. Cumulative effects are one of the required types of effects that must be identified and assessed.
In short, while the concern raised by the noble Baroness is entirely valid, the existing framework already requires the consideration of cumulative impacts, both in the preparation and review of national policy statements and in the assessment and consideration of individual development consent order applications.
The noble Baroness asked me about the local plan process. The whole process of local plans focuses on cumulative impacts. One of its purposes is to start off with individual policies and work through a process towards cumulative impacts. This will be enhanced by the addition of strategic level plans, giving a direct link from neighbourhood planning to local plans and then to strategic plans, allowing the cumulative impact across the whole picture to be assessed. In light of this, I respectfully ask the noble Baroness to withdraw her amendment.
I am most grateful for that response. I most humbly apologise to the noble Baroness, Lady Bennett, for not thanking her for cosigning the amendment in the first place, for which I am very grateful. I am grateful for her supportive comments, and for those from the noble Baroness, Lady Pinnock; they clearly set out why this is so important. I took comfort from the support from my noble friend Lord Jamieson on my own Front Bench, and from the Minister. I hope we can explore this further in the context of spatial planning.
I was a little bit concerned when the Minister used the expression, “This is addressed so far as possible”. She helps to make the case for me, but for the time being, I beg leave to withdraw my amendment.
Lord Jamieson (Con)
In Committee, I described this amendment, tabled by my noble friend Lady Coffey, as vital because it preserves parliamentary accountability, ensuring that government must respond to resolutions and recommendations from Select Committees. The safeguard strengthens transparency, clarifies policy direction at an early stage, and reduces uncertainty for those affected by these statements. Robust scrutiny helps to catch potential issues before they escalate later. I appreciate that the Minister has sought to reassure us with a new, streamlined process for updating national policy statements, and of course efficiency is welcome, but scrutiny must not become the casualty of speed. This amendment strikes the right balance. It enables timely updates while ensuring that Parliament remains meaningfully engaged.
Clause 2 concerns the parliamentary scrutiny of national policy statements. While I accept that certain elements of the process could be accelerated, key aspects of the clause diminish accountability to Parliament in favour of the Executive. I struggle to understand why, given the enormous impact of national policy statements, the Government are proposing to remove such an important element of parliamentary oversight. We continue to support parliamentary scrutiny and as such, we will support this amendment.
My Lords, I thank the noble Baroness for her amendment.
Clause 2 introduces a new, additional streamlined procedure for updating national policy statements. National policy statements are the cornerstone of the planning system for our most significant national infrastructure. In the past, national policy statements have been too slow to reflect government priorities, planning policy or legislative changes, with some NPSs not updated for over a decade. As the National Infrastructure Commission has recognised, a lack of updates has created uncertainty for applicants, statutory consultees and the examining authority. It has also increased the risk of legal challenge and driven the gold-plating in the system that we are all trying to avoid.
My Lords, in moving government Amendment 4, I will speak also to Amendment 256. This proposal responds to concerns raised by Peers about the need to address water scarcity, particularly through easing restrictions on reservoir construction to encourage more reservoir development. Growing demand and climate variability have placed increasing strain on existing water resources, reinforcing the need for additional storage capacity. Without new reservoir capacity, we risk being unable to meet that future demand. Reservoirs are fundamental to maintaining secure public water supplies and supporting economic growth, yet delivery, particularly of major schemes, has been too slow under current processes.
This amendment removes a procedural hurdle, thereby streamlining the consenting process and enabling faster delivery of major water projects, after more than 30 years without new major reservoirs in England. Crucially, it enables third-party providers appointed by water undertakers to apply to deliver major water infrastructure, including reservoirs, transfer schemes and desalination plants, through the streamlined development consent order route. That will accelerate delivery of essential water infrastructure, help secure future water supplies, and unlock housing and economic growth, including delivery of new towns and our ambition for building 1.5 million homes this Parliament. Importantly, this change does not reduce environmental or public scrutiny: projects will continue to be subject to the full planning process, including statutory consultation and environmental assessment.
This amendment is an important step in responding to concerns about water scarcity and supporting the pro-growth measures contained in the Bill. I thank noble Lords for their engagement on this matter to ensure that it is quicker and easier to consent and build the reservoirs we need so desperately, now and into the future.
The Government are content to accept Amendments 5 to 7 in the name of the noble Lord, Lord Lansley. I am mindful that water infrastructure, particularly reservoirs, has had a difficult history in parts of the United Kingdom. Communities still remember the loss and upheaval caused by past projects, such as at Capel Celyn. It is therefore right that, as we modernise and expand the routes by which these essential schemes can be delivered, we also strengthen the mechanisms that guarantee their safety, integrity and public accountability.
These amendments make a helpful clarification to government Amendment 4. They will ensure that where a third-party provider is appointed to deliver a large-scale water infrastructure project under the specified infrastructure projects regulations, that provider must be formally designated as an infrastructure provider under Regulation 8. This means that they will be fully subject to the statutory safeguards provided by those regulations. Those safeguards are vital. They ensure that any company delivering major water infrastructure is formally designated and operates within a framework of strict oversight and accountability. Ofwat’s supervision, the requirement for licensing and consultation, and the ability to challenge decisions through the Competition and Markets Authority, together provide a robust system to protect the public and the environment.
I also clarify that these amendments do not alter the position for projects delivered through direct procurement for customers, known as DPC, the other competitive procurement route for third-party delivery of NSIPs. Under that model, water companies competitively appoint third-party providers to finance and deliver major infrastructure. This mechanism also has a strong regulatory framework, with Ofwat oversight, competitive tendering, and measures to protect customers from cost and delivery risks. DPC is a useful option for less complex NSIP-scale projects, providing an alternative route for competitive delivery. Under both schemes, projects benefit from strong regulatory protections for customers and the public, with clear oversight, risk management and accountability built in.
By accepting these amendments, we will bring greater clarity and reassurance that the statutory protections apply fully to third-party providers under the SIPR framework. This means that these important projects can be taken forward with confidence—safely, transparently and in the public interest. Faster, flexible delivery of major water infrastructure is essential to secure resilient water supplies, support housebuilding and unlock local economic growth, while always ensuring that safety, environmental and consumer standards are maintained. I thank the noble Lord, Lord Lansley, for tabling these amendments and for his engagement on this important matter.
I welcome Amendment 7A, which seeks to require that applicants for dam and reservoir schemes seek separate consent for the heritage impacts of their project outside the NSIP regime. While I recognise that there may be concerns about the future impact of these desperately needed water projects on heritage assets, the Government believe that the thorough process set out in the Planning Act already provides adequate protections. Applicants for all projects, including dam and reservoir schemes, are already required to include information relating to heritage impacts from their projects, including an assessment of any effects on such sites, when they submit their application.
Further, where the development is subject to environmental impact assessment regulations because of the likely significant effects on the environment by virtue of its nature, size or location, the applicant is required to undertake an assessment of any likely heritage impacts, including cumulative impacts, as part of the environmental statement. This is also set out in the water resources national policy statement updated in July this year. Moreover, concerns may be raised by communities or statutory bodies through relevant representations where the examining authority considers that more information is required before reporting to the Secretary of State, and it can require it from applicants and schedule hearings.
In determining applications, the Secretary of State will identify and assess the particular significance of any heritage asset that may be affected by the proposed development, including affecting the setting of a heritage asset, taking account of the evidence. The Secretary of State must also comply with the specific decision-making obligations relating to listed buildings, conservation areas and scheduled monuments placed on the Secretary of State set out in the Infrastructure Planning (Decisions) Regulations 2010. When making the decision, the Secretary of State must have regard to the desirability of preserving the listed building or its setting or any features of special architectural or historical interest that it possesses.
Requiring applicants to undergo a separate process to secure these consents would delay delivery of these critical infrastructure projects, adding additional process, complexity and costs. This goes against the intention of the Planning Act 2008 regime, which was introduced to provide a one-stop shop approach for obtaining consents for large-scale, nationally significant infrastructure. Moreover, it would also hinder this Government’s ambitions to speed up and streamline the planning process for major infrastructure projects.
I thank the noble Baroness, Lady Scott, for tabling Amendment 7B. It seeks to provide that in cases where a dam or reservoir is already defined as a nationally significant infrastructure project and will result in the demolition of 20 or more homes, those whose homes would be impacted are notified and may make representations to the Secretary of State before the scheme enters the NSIP planning route, with a view to perhaps preventing the project being determined through the NSIP regime. I acknowledge the significant impact that NSIP projects have, and that dam and reservoir schemes, in particular, can have when numerous homes near each other are demolished. It is clear, and we all agree, that a thorough process must be followed that allows all these issues to be understood before a decision is reached. That is why the Planning Act is so important. We believe that there are already sufficient legal requirements that provide adequate opportunity for impacted persons to be heard.
I am afraid that the amendment seeks to insert discretion for the Secretary of State in a part of the process that does not exist. Dams and reservoirs that meet the threshold set out in Section 27 of the Planning Act 2008 are not directed by the relevant Secretary of State. They are automatically treated as NSIPs once they meet the threshold in Section 27. There is no other route to consent than via the Planning Act 2008. I understand that the amendment is driven by a desire to ensure that the voice of impacted individuals is heard throughout the process and before the Secretary of State makes a final decision whether to grant or refuse development consent. I say emphatically that this is already provided for by the Planning Act 2008.
All individuals who are impacted or whose land is proposed to be compulsorily acquired are both recognised as affected persons and notified of an accepted application under Section 56. This notification means these persons are treated as interested parties under Section 102 without having to complete a registration form. This allows them to play an active role in the examination by submitting written and oral representations to the examining authority, so that their views and specific circumstances can be heard by that examining authority.
These affected persons are able to submit notice to the Secretary of State requesting a compulsory acquisition hearing, which the examining authority must hold if a request is made by at least one affected person within the deadline set by the examining authority. Individuals who are not directly impacted or whose land is not being compulsorily acquired can also submit a relevant representation and complete a registration form to be considered as an interested party. This provides an opportunity for those living nearby to engage and share their concerns with the examination.
Finally, local authorities are invited by the Secretary of State to submit a local impact report, which gives details of the likely impact of the proposed development on the authority’s area. This may include the impact on individuals within that area. I do not agree that, in cases where there are significant local impacts, it should automatically be the case that local decision-making should be followed. This would remove the ability of the Government to make decisions in the national interest and ensure sufficient infrastructure is built which meets a strategic rather than a local need.
There is no easy answer to the impact of projects on individuals and communities. However, the Planning Act 2008 provides a means through which to balance the interests the nation has in building the infrastructure it needs, particularly water infrastructure, with the interests of those acutely impacted. Applicants will be expected to argue why alternative sites are not appropriate and how impacts, where possible, may be mitigated. For all those reasons, I hope that the noble Baroness, Lady Scott, will not press her amendment.
On Amendment 56, the Government already take steps to facilitate the building of both small and large reservoirs, and £104 billion of private sector investment has been secured through Ofwat’s price review. We continue to support farmers to develop local resource options to secure water supplies. Reservoir safety legislation does not prevent new reservoirs being constructed but ensures that structures are well built and maintained. Reservoirs which store water above ground level pose a potential risk to life, property, business and the environment, and would cause economic disruption to local communities if the dam structure were to fail. These risks are managed through reservoir safety regulation. Reservoirs which store water below ground do not pose the same risks and so are out of scope of reservoir safety regulation. The Government’s advice to farmers and landowners is to consider options for non-raised water storage first.
The Government are intending to consult soon on proposals to improve reservoir safety regulation, including making the requirements more tailored to the level of hazard posed and bringing some smaller raised reservoirs into scope. These proposals do not alter the need for more reservoirs, nor do they prevent new ones being built, but are to ensure that reservoir dams are structurally sound and that flood risks for communities downstream are effectively managed. There is already a permitted development right which enables the creation of on-farm reservoirs where they are reasonably necessary for agricultural purposes. Under this agricultural permitted development right, farmers can create ponds and on-farm reservoirs, subject to certain limitations and conditions, to manage and control impacts of development. We have not got the exact numbers but I believe there are around 3,000, so people are already taking advantage of that.
Changes to permitted development rights are brought forward through secondary legislation, as amendments to the general permitted development order, often following consultation. Carrying out a public consultation ensures the views of the public, including those who will benefit from the rights created, are taken into account. It also allows for consideration of any potential impacts of the proposal and how these might be mitigated.
The Government will continue to keep permitted development rights under review. It is important that new reservoirs are built in locations where they do not pose a flood risk for local communities, and that existing reservoir dams are structurally safe. I thank the noble Baroness for tabling this amendment and ask that she does not press it, based on the actions already being taken forward to review safety regulations impacting small, low-hazard reservoirs, and the subsequent secondary route to make any necessary changes to encourage their creation. I beg to move.
Amendment 5 (to Amendment 4)
My Lords, the Government’s Amendment 4—the new clause to be inserted after Clause 2—relates to projects concerning water. As I understand it, this amendment would allow projects carried out by third parties, appointed by water undertakers, to fall within the definition of a nationally significant infrastructure project under Section 14 of the Planning Act 2008, provided that the other conditions set out in Sections 27, 28 and 28A of that Act are met.
While I appreciate the intention to streamline delivery and facilitate investment in critical water infrastructure, I must raise a number of concerns and questions to the Minister. First, what safeguards will ensure that the thresholds for NSIP designation—particularly those relating to scale and national importance—are still meaningfully applied? It is essential that this designation remains reserved for truly nationally significant projects, not simply those that happen to be large or, indeed, convenient.
Secondly, can the Minister clarify why the existing provisions—which limit NSIP status to projects undertaken directly by water undertakers—are now deemed insufficient? What problem, precisely, is this amendment intended to solve?
Additionally, are the Government considering similar extensions of NSIP eligibility in other sections of infrastructure? If so, it would be helpful for your Lordships’ House to understand whether this represents a broader shift in planning policy or an exceptional measure just limited to water infrastructure.
Finally, will the Government commit to a review of the amendment’s impact after, say, three or five years, to ensure that it has not led to unintended consequences, particularly in relation to accountability, environmental standards or the integrity of the NSIP regime?
I also welcome my noble friend Lord Lansley’s amendments in this group. I understand he has had many discussions with the Minister, and I thank the Government for their response on these amendments.
Amendment 56 in the name of my noble friend Lady McIntosh of Pickering also raises important questions for Ministers about the ability of farmers and landowners to develop small reservoirs that pose little potential threat to local communities. We know we need more reservoirs, and the Government have talked about this a great deal. We look to Ministers to show willing on smaller reservoirs too, and we encourage the Minister to listen to my noble friend on this important issue.
Finally, Amendment 7A in the name of my noble friend Lord Parkinson and my Amendment 7B are on introducing due process for communities and heritage threatened by reservoirs being delivered through the NSIP process. We tabled these amendments in response to the Government’s amendment tabled last Monday and we are keen to work with the Government to get a workable amendment into the Bill, if it is necessary.
I also say at the outset that we are fully supportive of the steps to get on with the delivery of critical national infrastructure, but where consultation of local communities and heritage protections are disapplied through the NSIP process, we have to be sure that is appropriate in those cases. As the Government seek to deliver more reservoirs, we want to ensure that communities, heritage and local individuals who have their homes, gardens and history invested in those areas are protected and that the Secretary of State takes proper account of their views. My noble friend Lord Parkinson of Whitley Bay has spoken about a number of historical examples. If villages are to be flooded in the future, with all their history and heritage, we must make sure a proper process is followed.
It is not just in the north of England that we have reservoirs. I farmed near Bough Beech and I knew Bewl Water in Kent; both of these were where some communities were flooded. Decades and generations on, people are still talking about the community that is under that water.
We will therefore seek to test the opinion of the House on Amendment 7B and ask the Minister to seriously consider making sure that future communities will be protected.
My Lords, I will keep my comments relatively brief, because I had a lot to say at the beginning of this group. I start my concluding remarks by pointing out to noble Lords that it was concerns about water provision that encouraged the Government to bring forward further amendments in this respect. I thank all those noble Lords who have taken part in engagement both in the recess period, which I was very grateful for, and subsequent to that. I thank all those who met with me.
I thank the noble Lord, Lord Lansley, for his contribution. He set out his concerns very clearly and we appreciated that. That is why we are able to accept his amendments.
On the comments from the noble Lord, Lord Wigley, I understand the great and ongoing concerns around the Capel Celyn issue. I am afraid that the powers in this Bill are for England, but I will come back to him in writing about what powers the Senedd has to act in a way that might help with his concerns. If that is acceptable to him, I will write to him on those specific issues.
The noble Baroness, Lady McIntosh, discussed the efficiency of reservoirs. There have been recent improvements in that, but there is room for further improvement, and I am sure that colleagues in Defra are as exercised as she is in making sure that that is the case. I am very glad that she mentioned Professor Bellamy; that brought back some very happy memories. I will not try an impression—I am not very good at them—but he was a real character. His contribution to the natural world in this country was enormous, and I am very grateful for that.
The noble Baroness asked about how the need for water is assessed; the noble Baroness, Lady Scott, referred to that too. Water companies have a statutory duty to provide a secure supply of water for customers efficiently and economically and to set out how they plan to continue to supply water through statutory water resources management plans. They are assessing that constantly. These set out how each company will continue to meet this duty and manage the water supply and demand sustainably for at least the next 25 years. There is therefore a constant assessment of that.
On the noble Baroness’s points about smaller reservoirs, I hope that I set out clearly in my comments that these can be undertaken currently under permitted development. We recognise the need to look at those permitted development regulations, and we will return to them.
I understand that I bounced this idea into the debate and that the Minister was not aware that I would do so, but can she write to me on the state of the proposals to dispense with the Reservoirs Act and bring forth recommendations from the Balmforth review from 2019? That is an incredibly long time. Can she set out what the timescale will be?
I am happy to do that.
I will respond to the noble Lord, Lord Blencathra, out of order, because, as he said, some of the issues that he raised could not happen now; the Planning Act 2008 means that many of those issues would not be the case now. I am making my response to the noble Lord out of order because I want to come back to the points about heritage issues raised by the noble Lord, Lord Parkinson. As the noble Lord said, my colleague from DCMS and I have now set up a very useful round table with heritage organisations, or organisations representing heritage issues. I will raise some of those specific issues with the round table; it is important that we do so. The National Policy Statement for Water Resources Infrastructure has a dedicated section on the historic environment, which sets out what applicants should do in their development consent order application.
The Secretary of State will, when determining applications, specifically identify and assess the particular significance of any heritage asset that may be affected by the proposed development. All applicants for development consent, including dam and reservoir schemes, are required to provide information about heritage impacts from their projects when they submit their application. Where development is subject to an environmental impact assessment, the application is also required to take that assessment, as I pointed out earlier.
With the examining authority considering that as part of the examination, and the Secretary of State identifying and assessing the particular significance of heritage assets, I hope that that gives some reassurance that proposed developments must comply with specific obligations related to listed buildings, conservation areas and scheduled monuments. That obligation is placed on the Secretary of State and set out in the Infrastructure Planning (Decisions) Regulations 2010. I hope that that offers some reassurance to the noble Lord.
The noble Baroness, Lady Pinnock, discussed some of the other measures that can be taken to conserve water; I do not disagree with her on that. Colleagues in Defra are exercised in ensuring that we make efficient use of water and that we are not setting up reservoirs unnecessarily. Because I come from one of the areas of great water scarcity in the country, I know what a huge issue this can be. I point out to her that, in contrast to where reservoirs were built for the steel industries and then the water was not needed afterwards, we are now looking at data centres as a new generation of economic activity. They need water, so I know that there will be new needs for water going forward.
Lord Jamieson (Con)
My Lords, these amendments, tabled by the noble Baroness, Lady Pinnock, were first brought forward in Committee, and I made the point then, which I repeat now, that Clause 4 systematically removes several of the existing pre-application requirements.
This amendment seeks specifically to retain Section 47 of the Planning Act, the statutory duty to consult the local community. As the noble Baroness, Lady Pinnock, raised, we have said throughout that it is only right and appropriate that local communities should be consulted and involved. Removing this requirement for pre-application consultation risks cutting communities out of the conversation altogether. It means local people may neither understand nor even be aware of the broad outlines or detailed implications of developments which, for better or worse, will have a direct impact on their lives and the local environment.
As I understood the Minister in Committee, the Government’s concern was not with the principle or value of consultation in itself, but rather with the potential delay cost that the current process might entail. However, delay and cost can be addressed through sensible reform of the system. That does not justify what feels like a nuclear option: the wholesale removal of the duty to consult. We remain unconvinced that the House has yet been given a satisfactory explanation as to why such sweeping change is necessary.
The Government have said:
“I am sure we all have experiences of the best in consultation—with a developer that not only consults but truly engages with communities over a period of time to get”
a better project
“and those at the opposite end that carry out a half-hearted tick-box exercise and then”
carry on regardless
“without changing anything, keeping a laser focus on”
minimising their costs, and that
“We want to encourage the former, not the latter”.—[Official Report, 17/7/25; cols. 2073-74.]
That is an admirable sentiment, but how is that objective served by the removal of the very mechanism that requires such consultation in the first place? These questions matter not merely as points of process but because they go to the heart of public confidence in the planning system.
The Government should provide clear and succinct guidance on pre-application consultation: that there should be genuine engagement with communities; that the relevant information should be provided transparently and in easily digestible form; that the issues and ideas from the consultations are reflected in the final application or a rationale for not doing so.
However, these amendments propose a much more prescriptive and, I might say, confusing and even contradictory pre-application process. While we cannot support the noble Baroness’s amendment in full, we equally cannot support the Government’s decision to sweep away the entire framework. A more balanced approach could have addressed legitimate concerns about delay, while enhancing the opportunities for local people to have their say on developments that shape their communities.
My Lords, I thank the noble Baroness, Lady Pinnock, for bringing back these amendments, which we debated extensively in Committee. Amendments 9 and 10 seek to reinstate the statutory duty for applicants to consult during the pre-application stage of a development consent order application. While we absolutely recognise the value of early and meaningful engagement, we have been clear that the existing statutory requirements have become overly rigid and are now contributing to delays and risk-averse behaviours.
Removing the statutory duty instead allows developers to tailor their engagement to the scale and nature of their projects, supported by guidance. I repeat: the Government still expect high-quality consultation to take place. We have listened carefully to the industry and the message has been consistent. The current statutory framework is slowing things down, encouraging excessive documentation and making developers reluctant to adapt proposals for fear of triggering further rounds of required statutory consultation. We are confident that developers will continue to consult meaningfully and that communities will still have further opportunities to engage through the examination process. We are so confident, in fact, that this will not undermine the quality of applications brought forward that we are amending the Bill to make reasons for rejection more transparent, a point which I will come to later.
Guidance will be published to ensure that applications remain robust and responsive to local issues. The Government are currently consulting on proposals associated with this guidance and will take into account responses when it is developed. If these amendments were accepted, we risk reverting to the status quo and failing to address the very issues we are trying to fix: delays, complexity and confusion. For these reasons, I respectfully ask that the noble Baroness withdraw her amendment.
Amendments 11 and 12 seek to impose statutory obligations around guidance for pre-application consultation, despite the statutory requirement to consult being removed from the Planning Act 2008 through this Bill. The decision to remove the statutory requirement for pre-application consultation was not made lightly. It was introduced to tackle the growing delays and procedural burdens that have crept into the NSIP regime over time. We are trying to fix a system that has become too slow, too risk averse and too complex.
As we have discussed and recognised throughout the passage of the Bill, the current Planning Act requirements have led to rigid approaches, which are designed with the need to meet legislative prescription in mind, rather than the need to develop high-quality infrastructure schemes which are capable of improving the lives of local communities and delivering positive environmental impacts. I suppose my frustration here is that we all agree that we need to speed the system up but whatever we propose to do that, Members object to.
Over the last few months we have had the opportunity to meet a wide range of stakeholders and discuss the removal of pre-application requirements, including a number of bodies and individuals with valuable insight and experience of the NSIP regime since its inception back in 2008. We have seen a positive reaction to our proposals from those stakeholders. Speaking to local authorities and statutory consultees, it is clear that the existing requirements are not successfully driving constructive engagement and consultation.
Our discussions have reaffirmed our conviction that the existing approach is not working; changes are needed for the Government to meet the UK’s national infrastructure needs. These reforms will save time and money, benefiting everyone. This does not mean worse outcomes or poorer quality applications. Instead, it means resources can be focused on the main issues at the heart of the planning decision. It means there will be greater flexibility for applicants to innovate in how engagement is done when working through the iterative stages of an application during pre-application. It opens the door to more bespoke, targeted and effective engagement and consultation practices.
Requiring applicants to have regard to guidance about consultation and engagement, where the underlying legal duty to consult has been removed, would, we feel, be confusing. Moreover, the noble Baroness’s proposed amendment goes further by attempting to bind the content for future guidance to a fixed set of principles. While I understand these principles are well-intentioned, we do not believe it is right to legislate for them. The Government have already launched a public consultation on what the content of the guidance should be, and we want it to be shaped by the views of those who use guidance, not constrained by prescriptive legislative language developed before that process has even concluded.
All sides of the House agree on the importance of meaningful engagement and consultation; it is essential if we want to deliver infrastructure which is well designed and delivers positive outcomes for neighbouring communities and the environment. We expect developers to engage and consult proportionately and constructively, but we also believe that flexibility, not statutory rigidity, is the best way to achieve that. While I appreciate the spirit behind the amendments, they would undermine the very reforms we are trying to deliver, so I hope the noble Baroness will not press them.
Amendment 80 was a proposal previously raised in Committee. As the House will recall, the clause seeks to require the Secretary of State to consider how community consultation has been carried out when deciding whether a nationally significant infrastructure project application should be accepted for examination. It sets out a number of criteria, including whether the applicant has sought to resolve issues, enabled interested parties to influence the project during early phases, obtained relevant local information and enabled appropriate mitigation through consultation with the affected communities. As we discussed at length in Committee, the Government recognise the value of community engagement. Since 2013, the pre-application stage has nearly doubled in length. Our proposals could save businesses up to £1 billion over the lifetime of this Parliament by reducing delays across projects.
I say this to remind noble Lords of the reasoning behind these changes, including the “adequacy of consultation” test in Section 55 of the Planning Act 2008. We had a system where applicants focus on defensibility rather than dialogue, and where consultation is treated as a hurdle to clear and not a tool to improve proposals. The reformed acceptance test allows the Secretary of State to make a balanced judgment about the quality of the application, recognising that the NSIP process is a continuum from pre-application through to decision. It incentivises applicants to engage with the objective of producing good-quality applications, as opposed to meeting prescriptive statutory requirements.
My Lords, I will speak first to Amendments 13 to 16, 18 and 20, which revise Clause 6. They are essential to ensuring that the Bill delivers on its core objective: to speed up the delivery of infrastructure by removing unnecessary complexity and delay from the nationally significant infrastructure projects regime.
As noble Lords will know, Clause 6 was originally introduced to provide flexibility at the acceptance stage by allowing the Planning Inspectorate—PINS—on behalf of the Secretary of State to request minor changes to applications. It also introduced a new form of words at the acceptance test, requiring PINS, on behalf of the Secretary of State, to determine that an application was
“suitable to proceed to examination”
before it could be accepted. This would have replaced the existing test, which is for the application to be of a “satisfactory standard”.
Although a decision not to accept an application at the acceptance stage is rare, the uncertainty that this may occur has contributed towards the growing delays at the pre-application stage. Clause 6 intended to address this in two ways: first, by reducing the risk of a decision not to accept an application by PINS, on behalf of the Secretary of State, by inserting a discretionary power for PINS to delay a final decision while applicants remedied minor issues; and secondly, by making it clear that the acceptance test should focus on whether an application is suitable to be examined.
Since that time, the Government have proposed more radical steps to streamline the system. In future, guidance for applicants will support them in their approach to engagement and consultation on national infrastructure projects. The Government also published a consultation on changes to consultation guidance over the summer.
Although Clause 6 was intended to speed up the system and provide greater certainty, feedback from the sector throughout the Bill’s passage has made it clear that these changes risk doing the opposite. There are concerns that the change of language on the acceptance test is unclear and subjective. One concern is that it may require PINS to routinely interrogate whether there has been sufficient agreement on key issues. There are also concerns that the acceptance test will be too vague and open to interpretation. There are justified concerns that this could lead to inconsistent decisions or even higher barriers to entry of the system. Equally, there are concerns that the new process whereby PINS could request minor changes to applications before they were accepted may be routinely used by PINS to delay applications, rather than being used on rare occasions to assist applications that would otherwise fall.
That is why I am moving amendments that listen to and seek to address those concerns. They restore the original, clear test for acceptance, requiring applications to be of a “satisfactory standard”. They remove the power to delay acceptance decisions through requests for further information and they strip out the consequential provisions that would otherwise support or reference these now removed powers. These changes are simple, targeted and effective. They preserve clarity, reduce uncertainty and ensure that the acceptance stage remains focused on what it should be: assessing whether an application is complete, clear and ready to move forward in statutory timeframes, not interrogating whether every issue related to the project has been resolved.
Although we want applications to be well developed at the acceptance stage, it is not right or realistic to aim for consensus or agreement between all parties at this stage of the process. At the acceptance stage, we want application documents to meet the required standards and we want applicants to be well prepared for the upcoming examination. This means having an awareness of the issues likely to arise and using pre-application to develop a high-quality application, but it does not mean that PINS needs to see that all issues have been resolved.
I can be very clear and say that we remain absolutely committed to high-quality applications being accepted into the NSIP regime. However, in the light of feedback, we no longer think that these select provisions in Clause 6 support achieving that.
PINS will still have tools available to request that applicants address clear gaps, correct deficiencies or provide additional information early on in the process, through either Section 51 advice prior to submission or making procedural decisions during the pre-examination stage. These mechanisms allow for clarification and improvements to documentation, but without creating uncertainty or additional process for applications which meet the acceptance criteria.
These technical amendments are pro-growth, pro-delivery and pro-certainty. They reflect what we have heard from noble Lords and the sector, and they align with the broader reforms we have already made. I hope noble Lords will join me in supporting them.
Government Amendments 17 and 19 introduce a statutory requirement for the Secretary of State to publish reasons for deciding not to accept a development consent order application at the acceptance stage and clarify the point in the process when a legal challenge against such a decision can be brought. These amendments respond directly to concerns raised in Committee by noble Lords from across the House, including the noble Baronesses, Lady Scott and Lady Pinnock, who rightly highlighted the importance of and need for transparency and accountability in the early stages of the nationally significant project regime. A transparent process holds everyone to account, and applicants should be reassured that this amendment removes the risk of arbitrary or opaque decision-making.
While I disagree with the position that our pre-application consultation changes will create greater uncertainty in the system or allow poorer-quality applications to progress further, I am in favour of shining a light on the decision-making process and ensuring that the system is as transparent as possible. In other words, we are putting our money where our mouths are. The Planning Act 2008 requires the Secretary of State to notify the applicant of their reasons when they decide not to accept a DCO application. At present, and in line with its openness policy, PINS, acting on behalf of the Secretary of State, already publishes reasons for its decisions not to accept a DCO application. However, as noble Lords noted, there is no statutory obligation to do so. These amendments aim to improve the legislation to address this gap.
The amendments align the acceptance stage with the principles already embedded in Section 116 of the Planning Act 2008, which requires the Secretary of State to publish reasons when refusing development consent. The amendments ensure that applicants, stakeholders and the wider public can understand why and on what basis a decision has been made not to accept an application, supporting the integrity of the NSIP system. This is a principled response to concerns raised in Committee, and I hope it shows that we are listening carefully to noble Lords’ concerns about how our changes impact the system as a whole. I therefore commend this amendment to the House and urge noble Lords to support its inclusion in the Bill. I beg to move.
My Lords, I thank the Minister for having listened in Committee to the concerns that were raised about the acceptance process. I am pleased that there has been a rethink. The changes proposed in the amendments are not opposed by these Benches.
My Lords, Amendment 20A, tabled by the noble Lord, Lord Ravensdale, was considered in Committee. A number of questions were asked, and I think a number of questions remain unanswered. While we fully recognise the importance of sustainable development, we are not persuaded that this amendment is necessary. It appears to us that the Government already have—or should have—the tools they need to guide public bodies in their engagement with the development consent order process, and I think we are satisfied that these powers are sufficient.
My Lords, I thank the noble Lord, Lord Ravensdale, for meeting me during recess to discuss this. His Amendment 20A seeks to ensure that, in relation to NSIP for low-carbon energy, relevant authorities should have special regard to the achievement of Government’s environmental targets and sustainable development.
The amendment is similar to one debated in Committee. It refers specifically to compliance by the Secretary of State with carbon targets and budgeting and adapting to current or predicted climate change impacts under the Climate Change Act 2008, the achievement of biodiversity targets under the Environment Act 2021, and achieving sustainable development.
As the Government made clear in Committee, we recognise the importance of this issue, but we do not believe that the amendment is necessary. It is vital that we move forward and deliver the critical infrastructure we need, not least to cut greenhouse gas emissions to net zero by 2050. The Bill will deliver a win-win for growth and nature. Developments such as clean energy infrastructure are key to tackling the climate crisis and supporting nature recovery. The Government also appreciate the important role that these bodies play in the planning system. That is why we have taken action in response to the Corry review to ensure that these bodies are joined up and aligned with the Government’s broader priorities. I will say a bit more about that in a moment.
As I did in Committee, I reassure noble Lords that the Government are already utilising the tools they have to guide the considerations given by public bodies in their engagement with the development consent order process. The first of these relates to national policy. The energy national policy statements already take full account of the Government’s wider objectives for energy infrastructure to contribute to the achievement of sustainable development, and to ensure that the UK can meet its decarbonisation targets. We are also strengthening national policy statements through this Bill by requiring that they are updated at least every five years, and by making it easier to undertake interim updates for certain types of material amendments. The Government have recently concluded consultation on drafts of EN-1, EN-3 and EN-5, which will be updated to reflect the Clean Power 2030 Action Plan.
The second relates to guidance. It is critical that public bodies engage fully in examinations so that the examining authority has access to their expertise and can properly scrutinise the application before reporting to the Secretary of State. Through the Bill, the Government are introducing a new duty on public bodies to have regard to any guidance published by the Secretary of State in making representations as part of examinations. This guidance will support government objectives by ensuring that these bodies engage effectively in the process and can provide the right information in a timely way.
We are currently consulting on reforms across the NSIP system to streamline the process. As well as consulting on what pre-application guidance to applicants should contain, we are seeking views on whether to strengthen expectations that statutory bodies attend hearings in person where relevant. As we then review and develop guidance on all aspects of the NSIP process, we will consider how this, alongside government policy in national policy statements, can support the intent of the amendment.
As I have made clear today, the guidance the Government will issue to statutory bodies about their role in the NSIP process will play a vital role, I hope, in addressing noble Lords’ concerns. The Government are clearly in the process of developing policies to update, streamline and rationalise the operation of these bodies and that of regulators and their role in the operation of the planning system, in response to both the Corry and the Cunliffe reviews. My colleagues would welcome further engagement with the noble Lord, Lord Ravensdale, and others in the House who have a particular interest in this area, as we undertake the important work.
Complex projects engage multiple regimes, and I understand that they find themselves batted backwards and forwards between Defra regulators. So we are piloting a lead environmental regulator model to provide a single point of contact for developers on the most complex schemes. We have already made a start, working with the Lower Thames Crossing on this.
The noble Lord, Lord Ravensdale, asked about the timescale for releasing strategic policy statements for Defra regulators in response to the Corry review. This is one of nine fast-tracked recommendations—and I mean fast-tracked. We will communicate on this very soon—I say to the noble Lord, Lord Deben, that I am sorry to use that term—and, when I say “very soon”, I am talking about days, not weeks or months; I hope that gives him some guidance. As the noble Lord knows, the Secretary of State must have regard to matters that are relevant and important to decisions. For all those reasons, I hope the noble Lord is reassured and will withdraw this amendment.
My Lords, I thank the Minister for those remarks. I am reassured by what she said on timescales and the work that is being undertaken on the NSIP process and the guidance that will come out of that. I would certainly welcome the opportunity to work with her and her team on that guidance. There is more work to do here. The key is ensuring coherence, as the noble Lord, Lord Deben, said. But I am encouraged by the progress and, with that, I beg leave to withdraw my amendment.
(4 months, 2 weeks ago)
Lords ChamberThat the draft Regulations laid before the House on 10 July be approved.
Relevant document: 33rd Report from the Secondary Legislation Scrutiny Committee. Considered in Grand Committee on 15 October.
(4 months, 2 weeks ago)
Lords Chamber
Lord Jamieson (Con)
My Lords, I thank my noble friend Lord Fuller for his amendment, which raises the important question of fire safety and long-duration energy storage. It is right that there should be a role for local fire authorities in looking at planning applications involving potentially highly combustible materials. It is clear that energy storage based on lithium batteries or other highly reactive materials, if not suitably engineered, could pose a fire risk.
This is still a relatively new large-storage technology, where councils and fire authorities are building their levels of expertise. In this context, having clear national guidance on safe installation and construction akin to building control, taking account of HSE, fire, industry and other experts would facilitate the assessment of these schemes. Do the Government plan to provide such clear guidance that councils, industry and others can rely on in assessing applications for LDES that would also streamline consultation and hence facilitate local engagement with fire authorities?
My Lords, I thank the noble Lord, Lord Fuller, for his amendment. I start by apologising to him for the meeting date, which I understand is 30 October. He will know from comments made earlier that I have had a great number of meetings before Report, so I can only assume that it was a misunderstanding and apologise to him that it was not held before we got to Report.
The noble Lord said that over on this side we would not be shedding any tears about the price of Lamborghinis going up, but he obviously does not understand my guilty pleasure of fast cars—but then I come from the same town as Lewis Hamilton, so I have an excuse.
The noble Lord’s amendment seeks to require long-duration electricity storage—LDES—operators to consult the local fire authorities to assess the project’s fire risk before installation. In Committee, the noble Lord commented on the frequency and danger of lithium battery fires. I thank the noble Earl, Lord Russell, for the distinction that he made between individual battery fires and these large-scale ones. I reassure the noble Lord that the Government take issues relating to fire safety extremely seriously—I know that my noble friend Lord Khan gave the same reassurance—but we still do not feel that this amendment is proportionate or necessary, and indeed it could create unintended risks for fire services.
I understand that these concerns are largely in relation to lithium-ion batteries. Analysis from DESNZ suggests that fires at battery energy storage sites are rare. The latest available five-year annual average fire incidence rate for GB batteries is 0.7%, which is lower than that for wider non-domestic building fires in England, which is around 0.8%. We expect all LDES developers to ensure that their sites are safe, regardless of the technology employed. It is still, of course, vital that any risks are appropriately and proportionately managed to ensure that we maintain public safety and trust. We have spoken previously of the role that the Health and Safety Executive plays in regulating storage assets. Developers and operators of these sites have a legal duty to manage risks, and government expects them to engage with local fire services when drawing up emergency response plans.
Defra will conclude its industry consultation shortly on the modernisation of environmental permitting for industry, which includes proposals to bring BESS within scope of the 2016 permitting regulations. If introduced, EPR would require developers and operators to demonstrate to the Environment Agency how specific risks are being managed, while providing for the ongoing regulation of battery storage sites. While it is already the Government’s expectation that developers engage with fire services during the planning process, this amendment risks imposing additional administrative burdens on fire services which are not proportionate to the risks associated with this technology.
DESNZ is actively engaging fire authorities and the battery storage industry on the whole issue of battery fire safety. In fact, Minister Shanks hosted a round table today on battery safety, which included representatives from the National Fire Chiefs Council and battery developers, so I can reassure the House that Minister Shanks is taking this issue extremely seriously. I hope that that provides some reassurance to the noble Lord, Lord Fuller, and the noble Earl, Lord Russell.
I hope that the noble Lord, Lord Fuller, is satisfied with the reassurances and will agree to withdraw the amendment.
Lord Fuller (Con)
My Lords, I came to this debate keen to divide the House on this important matter. However, during the debate a number of issues have come to light, not least the meeting held today by Minister Shanks and the acceptance that we are still owed a meeting where we can discuss this. Rather than detain the House at this point with a Division, I wonder whether the Minister and I might have an understanding that we will keep the date in the diary and, if I am not satisfied, then the opportunity will come to bring this back at Third Reading.
My Lords, the amendments in my name seek to ensure that all regulations relating to the bill discount scheme set out in Clause 26 are subject to the affirmative parliamentary procedure.
The Government welcome the recommendation of the Delegated Powers and Regulatory Reform Committee and, through these amendments, we accept its suggestion. We understand and recognise the importance of parliamentary scrutiny and agree that the regulations discussed in Clause 26 are matters of substance. These amendments will help ensure that the regulations implementing the bill discount scheme are appropriately reviewed by Parliament, aiding their workability and ensuring a smooth implementation of the scheme. I cannot guarantee to the noble Baroness, Lady Pinnock, that there will be a Halifax clause, but I hope that the House will support the amendment. I beg to move.
I cannot react to the Halifax clause, since I do not live in Halifax.
I welcome the move to the affirmative procedure but remind the Minister that there are already 22,000 high-voltage carrying pylons in this country, over 250 of which are in Doncaster and over 700 of which are in North Yorkshire, including in the Yorkshire Dales National Park.
That leads me to the argument I made in Committee: if the Government are minded to provide compensation for those residents and customers who live adjacent to new plants, either transmitting or creating electrical energy, then, as the Minister confirmed in Committee and in a conversation we had during recess, that payment—that compensation—will be a burden added to every electricity customer. That does not seem right to me. If those folk who are going to have a new imposition of electrical infrastructure are to have compensation, surely it should be funded by that electricity region and not by those that have, for instance, had pylons for many decades because regions knew it was in the national interest to do so.
I am pleased that we are going to the affirmative measure in consideration of compensation, because it will enable me to make arguments in favour of not the Halifax amendment but the Huddersfield amendment—let us call it that, as it is a bit nearer home. It is important, because to me this is about fairness. Those of us in the north—the very far north—and the Midlands should have fair treatment compared to those who have the infrastructure now. I am sure that the Minister will enjoy having that debate with me when we get around to doing the SIs.
My Lords, group 14 concerns a matter of principle that cuts across the Bill: the appropriate level of parliamentary oversight for far-reaching executive powers. New Section 38A introduces a consumer benefit scheme to provide financial compensation to those living near new or upgraded electricity transmission infrastructure. The principle behind this is entirely sound. It is right that communities that host nationally significant infrastructure should share in its benefits.
We support Amendments 26 and 27 in the name of the Minister. Amendment 26 would ensure that all regulations made under this section are subject to the affirmative procedure, not just those relating to offences or enforcement. These regulations will define who qualifies for support, how benefits are delivered and the responsibilities of electricity suppliers. These are substantive decisions that should not be made without oversight of Parliament.
Amendment 27 is a necessary consequential amendment to reflect this change. Given the wide scope of delegated powers in the new section inserted by the clause, it is entirely appropriate that Parliament has a say in how much a significant scheme is developed and applied. The affirmative procedure does not prevent progress. It simply ensures that when Ministers exercise broad powers, they do so transparently and with accountability.
We believe these amendments strike the right balance between enabling the Government to deliver the scheme and ensuring that Parliament plays its proper role. We are pleased to support them.
I thank the noble Baronesses for speaking, and I apologise to the noble Baroness, Lady Pinnock, for getting Halifax and Huddersfield mixed up. But neither Halifax nor Huddersfield will be getting their own clause in the Bill. I commend the amendments to the House.
My Lords, the amendment standing in my name seeks to create powers to ensure that seismic array systems are protected in areas where windfarms are proposed to be built. Sorry, I am on the wrong group. I have got ahead of myself—who thought I would do that at 9.30 pm? My apologies; I turned over too many pages.
I am in fact speaking to an amendment to Clause 28, which amends the Forestry Act 1967 to enable the development of renewable electricity projects in the public forest estate. The clause as currently drafted applies to both England and Wales. The Government have tabled these amendments to remove references to the
“Natural Resources Body for Wales”
and “Welsh Ministers” from the clause. At the start of today’s proceedings, I referred to some amendments which are there to respond to the devolved Administrations. Although Clause 28 represents an important and shared objective, the Welsh Government have indicated that they wish to pursue existing, non-legislative processes to develop renewable energy on the Welsh Government Woodland Estate. Following extensive negotiation, this amendment alters the provisions in Clause 28 so that they apply only to the Forestry Commission.
I turn to government Amendments 36, 37 and 40. The provisions restrict the exercise of the powers of the Forestry Commission by giving the Defra Secretary of State the power to make regulations requiring the commission first to obtain her consent. The purpose of the Secretary of State’s power is to ensure that Ministers are sighted on projects above a certain size and can assess the use of the land appropriately. In its report on the Bill, the Delegated Powers and Regulatory Reform Committee raised concerns that the regulation-making power was broader than the stated policy intent. The Government therefore propose Amendments 36, 37 and 40, which will amend the clause to clarify that consent may be required only for projects exceeding specific capacity thresholds.
The thresholds are set at 5 megawatts for wind and 50 megawatts for other sources and are now laid out explicitly in new Section 3B. New Section 3B also includes a power for the Secretary of State to make regulations to change the relevant wattage of the capacity thresholds, allowing flexibility to reflect future advancements in renewable energy technology. This change provides greater legal certainty while maintaining the original policy intent, and I therefore commend these amendments to the House.
Finally, I turn to Amendment 44, tabled by the noble Earl, Lord Russell, and signed by the noble Lord, Lord Krebs, and the noble Baroness, Lady Young of Old Scone. It would place statutory duties on the Forestry Commission, in the context of any planning, development or infrastructure function it might have, to take all reasonable steps to contribute to biodiversity targets set under the Environment Act 2021 and targets set under the Climate Change Act 2008 and to contribute to the programme for adaptation to climate change under the Climate Change Act. It would also add a requirement for the Forestry Commission to balance the development of energy infrastructure with the maintenance of ecosystem services, alongside a requirement to avoid any direct or indirect adverse effects on designated sites and irreplaceable habitats.
The driving force behind Clause 28 is the need to increase the amount of renewable electricity that can be generated in the UK. This will enable the Forestry Commission to increase its contributions to government targets set under the Climate Change Act. The Forestry Commission already has legal duties on afforestation and conservation, and by its very nature is already providing significant benefits to help tackle biodiversity loss and climate change. It is therefore my view that the amendment is unnecessary.
Of course, the Forestry Commission will have regard to the Government’s biodiversity targets while exercising these new powers. It has clear responsibilities to consider and act to improve the environment via its biodiversity duty under the Natural Environment and Rural Communities Act 2006, as strengthened by the Environment Act. This legislation requires public authorities, including the Forestry Commission, to consider and take action to further the conservation and enhancement of biodiversity. In doing so, it must have regard to any relevant local nature recovery strategy as well as any relevant species conservation strategy or protected site strategy prepared by Natural England.
Furthermore, I can assure the House that the Forestry Commission will consider the importance of the climate in its use of these new powers. It has existing ambitious net-zero targets which it is working to meet via several significant projects for woodland creation and peatland restoration currently under way across the public forest estate. In the context of climate adaptation planning under the Climate Change Act, the Forestry Commission already provides reports on how it is adapting to or proposes to adapt to climate change, and it will continue to do so.
However, in recognition of the Forestry Commission’s importance to the achievement of our statutory targets concerning climate and nature, the Government may consider changes to the Forestry Act 1967 should a suitable legislative vehicle become available. It is my belief that these wider considerations of the Forestry Commission’s duties would be best considered in the round rather than in relation to this specific measure, which limits the application of the duties to the development context. Given these commitments, alongside existing provisions, I hope the noble Earl is reassured and will not press his amendment.
My Lords, I will briefly respond to questions I have been asked during the debate. I agree with what has been said about the Forestry Act 1967. It was a long time ago now, but I firmly believe that the Act needs reviewing in the round, not in bits and pieces; otherwise, we will just exacerbate the current problem.
On the thresholds, the thresholds of five megawatts for wind and 50 megawatts for other sources were based on current data to illustrate the typical scale, visual footprint and land use of renewable energy projects at those capacities. If the amendment is accepted, the Secretary of State for Defra will be able to amend the capacity thresholds in future through secondary legislation. All renewable electricity projects that export electricity to the grid on the public forest estate will be reported to Defra each quarter.
The Secretary of State, as the landowner, and other Defra Ministers have decided that they would like early visibility of proposed developments above the relevant thresholds. The Forestry Commission will be required to submit an application for ministerial consent before entering into any significant legal or commercial agreements. This early-stage safeguard ensures appropriate oversight of land use decisions. Ministers decided that they want to assess at the pre-planning stage all projects above an agreed size on the public forest estate; that means all significant projects. As previously stated, the thresholds have been set at five megawatts for wind and 50 megawatts for all other technology types.
I hope that has helped to clarify the role of the Secretary of State and of the Forestry Act 1967. With that, I beg to move the government amendments.
My Lords, this amendment standing in my name seeks to create powers to ensure that seismic array systems are protected in areas where wind farms are proposed to be built, thus enabling the development of onshore wind where it will not have an adverse effect on seismic array systems. I thank the noble Earl, Lord Russell, who has a very deep knowledge of this subject and who kindly agreed to have a meeting with me even this morning on the topic, so I am grateful to him.
This amendment will enable regulations to be brought forward for the safeguarding of current Comprehensive Nuclear Test-Ban Treaty essential seismic arrays, notably the Eskdalemuir seismic array in southern Scotland. As a component of the international monitoring system for the Comprehensive Nuclear Test-Ban Treaty, signed by the United Kingdom in 1996, the array is critical for maintaining effective defence monitoring capabilities.
The amendment allows for regulations, subject to forthcoming consultation, to underpin more accurate measuring of the seismic impact of wind turbines, create clear zones within which seismic impacts must be taken into account, and set out how the Ministry of Defence would make these assessments. This would create certainty for planning authorities, the Ministry of Defence and developers, enabling appropriate proposals for wind farm development to be brought forward.
Enabling the development of onshore wind in the Eskdalemuir area will be a positive step towards the Clean Power 2030 mission and net-zero targets, with up to 3 gigawatts of onshore wind that could deliver by 2030. This 3 gigawatts could bring with it up to £2 billion of investment into UK-based onshore wind services. It could deliver up to £15 million per year to communities in the Eskdalemuir area through community benefit funds.
The amendment has been introduced at a late stage to allow for ongoing development of technical and policy work to identify a solution that effectively safeguards the array and enables onshore wind within the Eskdalemuir Working Group, a collaborative forum that has historically been led by the Scottish Government, to whom we are indebted, and has input from the UK Government, including the MoD.
The Bill represents the last available opportunity to secure the 3 gigawatt onshore wind capacity in time for 2030, and the economic benefits that it would bring. Not proceeding at this time and delaying further would impact deployment, reduce critical investor/developer confidence, and halt the momentum to resolve this issue. That being the case, I hope that the House will support this amendment.
Amendment 42, tabled by the noble Earl, Lord Russell, seeks to specify the maximum extent of zones within which onshore wind development may be totally restricted, and within which relevant regulations will apply. Such specificity at this stage risks pre-empting the government decision-making prior to the launch of a public consultation, which the Government committed to in the onshore wind taskforce strategy in July 2025. To do so could result in the most appropriate options for safeguarding seismic arrays and enabling onshore wind being discarded without proper consideration, as they would not be possible under the primary powers as amended. Safeguarding zones around MoD assets are constructed from specific criteria appropriate to individual assets.
The Government are seeking legislation to enable regulations that both protect seismic arrays and create certainty for onshore wind developers and planning authorities. If these zones are created through regulations, it will not be with the aim of blocking all onshore wind development, as is the case currently, but with the intention to safeguard seismic arrays and allow appropriate onshore wind development.
I hope that clarifies the approach we have taken, and that the noble Earl will withdraw his amendment. I beg to move the government amendment.
Amendment 42 (to Amendment 41)
Lord Jamieson (Con)
I speak slightly in awe. I am not the world expert on seismic arrays, so I will keep my comments brief. This is the practical bit. We recognise that the Government are trying to create a balancing act between the safe and critical operation of seismic arrays and the opportunity of wind farms. From this side of the House, without the technical knowledge of the noble Earl, Lord Russell, can we receive an assurance from the Government that they have that balance right and that we will not compromise those seismic arrays and the potential national security and treaty obligations?
I hope that I can reassure the noble Lord that we are working very closely with our colleagues in the MoD on this issue and will endeavour to make sure that the balance is right in both cases.
My Lords, I am grateful to my noble friend Lord Fuller for Amendment 43 and to my noble friend Lord Hodgson of Astley Abbotts for his loyal and able introduction of Amendment 45 in the name of my noble friend Lady Hodgson of Abinger. I declare my interest as a farmer, although not of as much best and most versatile land as I would like. To illustrate the point made by my noble friend Lord Fuller, I point out that solar currently offers risk-free returns roughly five times as great as farming land. From a farmer’s point of view, the incentives for doing this are very strong and it is up to the Government to regulate and protect the best and most versatile land.
I will not repeat the arguments that we have heard. They have been very well made and were made at earlier stages of this Bill, as well as on previous Bills, debates and Questions. I will briefly outline our position on these amendments.
We on these Benches are steadfast: food security is national security. Protecting our best and most versatile agricultural land is essential, and we will not apologise for standing up for our farmers and consumers. When the most productive agricultural land is lost to solar developments, our food supply is less secure when it need not be. Where solar developments are pursued, they should be developed on weaker land, not on our most productive farmland. My noble friend Lord Fuller indicated that 42% of UK agricultural land is best and most versatile, but there is also a great deal of unclassified land. So if it is far less than 42% of our landmass, why are we building these large-scale solar farms on it?
The noble Earl, Lord Russell, suggested that there was not a problem here, but since the last election we have seen a number of NSIPs brought forward that include a significant amount of best and most versatile land. It is not necessary to use this best and most versatile land; plenty of land is available that is weaker and could support the incomes of the farming community while providing the energy that we are looking for. Should my noble friend Lord Fuller wish to test the opinion of the House, we will support him. I look to noble Lords on the Benches to my left to join us in standing up for farmers and underpinning our commitment to food security. It will be very disappointing if they are unwilling to support this important amendment.
My Lords, I thank all noble Lords who have taken part in this debate. Before I respond, I send our best wishes to the noble Lord, Lord Alton, for a very speedy recovery. As the noble Lord, Lord Blencathra, said, his amazing contributions to our debates, particularly on human rights issues, are greatly missed and I hope he will be back with us as soon as possible.
The noble Lord, Lord Fuller, and the noble Baroness, Lady Hodgson—whom the noble Lord, Lord Hodgson, ably stood in for—have tabled amendments relating to solar generation on agricultural land. This was debated at great length in Committee. While I appreciate the very strong feelings on this issue, the Government’s approach to these propositions has not changed.
On the amendment from the noble Lord, Lord Fuller, it is important that every project is submitted to the planning process which befits its impact, scale and complexity. The Government believe that large solar farms, even when they propose to use higher-quality agricultural land, are best dealt with under the NSIP regime. The NSIP regime is rigorous. Local engagement remains at the heart of the process. Developers taking projects through the NSIP regime must undertake meaningful community engagement before any decision is taken. The level and quality of community engagement, among other factors, will be taken into account by decision-makers.
In Committee, the noble Lord appeared to suggest that the involvement of Ministers in the NSIP regime undermines public confidence in its ability to assess the costs and benefits of solar projects. I reassure him and your Lordships’ House that all ministerial planning decisions must be taken in strict accordance with planning policy and the Ministerial Code. This is in line with the policy governing decision-making by local planning authorities. As a result, as I explained on the last occasion when we debated this, we would not expect the planning outcomes to change.
As I argued previously, the Government are fully aware of the benefits of returning control, where suitable, to local authorities. At the end of the year, we shall double the NSIP threshold for solar, enabling projects of up to 100 megawatts to be decided locally. There is only one solar farm above 100 megawatts at the moment, and that was decided through an NSIP process.
Yes. Any marginal gain in public confidence from returning control to local authorities must be weighed against the likely costs of this proposal. First, giving responsibility for the complex and lengthy examination of NSIP-scale projects to local planning departments will increase the burden on resources that are already under pressure. Secondly, for proposals that are of strategic importance to the country, central government is the most appropriate decision-maker. Changing policy to give these decisions to local authorities may increase investor uncertainty at a pivotal moment. Lastly, accepting this amendment would imply that the NSIP regime is either not competent or not qualified to adjudicate on some issues. It may reduce confidence in NSIP decisions that have already been taken and in those that will be taken in the future.
On the amendment tabled by the noble Baroness, Lady Hodgson, introduced by the noble Lord, Lord Hodgson, the Government sympathise with her objective to protect fertile farmland from overdevelopment. In Committee, she mentioned how the war in Ukraine has brought into sharp relief the need to protect food security. This gets to the heart of the matter, for another lesson of the war in Ukraine is the strategic vulnerability of relying on volatile imported fossil fuels for our energy supply. We must find the right balance between food security and energy security. That is why food security and energy security are currently balanced in the planning system, which considers both these factors.
This amendment tilts the balance too far in one direction, so we must oppose it. It would prevent a significant portion of the solar development required to deliver energy security. Many fields contain land that varies in quality. It would not be proportionate to reject an otherwise beneficial project because a small portion of its total area was classified as “best and most versatile land”. This blunt instrument would jeopardise the Government’s plan to achieve clean power by 2030 and, in turn, our work to deliver lower bills in the long term, high-skilled jobs, and, yes, energy security.
The noble Lord, Lord Hodgson, mentioned the monitoring of solar farms. The Renewable Energy Planning Database lists all projects larger than 150 kilowatts, such as solar farms, including their precise locations. It covers projects at all stages of the planning process, from application to operation.
The noble Lord, Lord Cameron, referred to the land use framework and whether it is a material consideration in terms of the planning process. By law, planning applications are determined in accordance with the development plan for the area unless material considerations indicate otherwise; what constitutes a material consideration is for the local planning authority to determine, based on the circumstances of a particular case. The evidence base that underpinned the land use consultation and feedback on it will inform the Government’s wider strategic planning agenda.
I would like to make a few brief comments on what the noble Lord, Lord Blencathra, said about China—
The Minister talked about the monitoring procedures. Her remarks indicated they were going to be only when the projects were in their early stages. The worry is what happens maybe three, four or five years later, when the people who start owning it pass it on to someone who may be less attractive to the future of this country. Will the monitoring be a continuous process throughout the life of each project?
I believe I said—I hope I did—that all stages would be monitored, from application to operation. I hope that is reassuring to the noble Lord.
In relation to the comments made by the noble Lord, Lord Blencathra, on China—it is important to pick them up—the Government are committed to tackling the issue of Uyghur forced labour in supply chains, including the mining of polysilicon used in the manufacture of solar panels. We expect UK businesses and solar developers to do everything in their power to remove any instances of forced labour from their supply chains. The Procurement Act 2023, which came into force on 24 February, enables public sector contracting authorities to reject bids from and terminate contracts with suppliers that are known to use forced labour themselves or anywhere in their supply chain.
The Government are considering how to strengthen Section 54 of the Modern Slavery Act 2015, which places a requirement on businesses with a turnover of £36 million or more to publish an annual modern slavery statement, including possible penalties for non-compliance, as well as working with a wide range of stakeholders to update the Section 54 statutory guidance. I hope that gives the noble Lord some reassurance that we are taking this very seriously indeed.
From my time as the Minister in MHCLG with responsibility for net zero, I know that we have looked extensively at the UK supply chains and what might be done to further promote and help them to grow their businesses. All this being said, I agree with the sentiments of the noble Baroness that more should be done to install solar on rooftops. We are pursuing various measures in connection to this, as mentioned by the noble Earl, Lord Russell, from solar on schools and hospitals and our new building standards to tax breaks and our new £13.2 billion warm homes plan. We have recently conducted a call for evidence about solar car parks, which the noble Baroness praised in Committee.
It is important that we do not overstate the amount of agricultural land that might be occupied by solar infrastructure. I know the noble Lord, Lord Fuller, questioned the Government’s figures on land use. Without being drawn into that discussion, it is clear that a relatively small amount of land, 0.4% in the most ambitious scenarios, is due to have solar installed by 2030. This does not constitute a threat to food security or to British farming, which the Government will always champion. Rather, the primary threat to British agriculture comes from the damaging effects of climate change, and the noble Lord, Lord Fuller, already mentioned the impact on harvests this year. We have to take that into account as well. I, for one, think that Britain should do its part in the global effort to reduce greenhouse gas emissions. Building low-carbon power plants is an essential aspect of this.
I hope that the noble Lord and the noble Baroness will note the steps the Government have taken to return the decision-making of more solar projects to local authorities and the existing robust provisions for planning authorities to consider impacts on food production, and that the noble Lord might consider withdrawing his amendment.
Lord Fuller (Con)
My Lords, I thank the Minister for her winding. I do not intend to relitigate the debate we have just had; it is very late. It is almost as if the Government timetabled this debate after hours so the viewers at home could not see it. That is a shame, because the viewers would have seen for the first time the Lib Dems’ touching concern for the chilling effect on the investment prospects of the international investors for whom they wear their hearts on their sleeves.
We have reached a turning point in our nation’s story. We have a choice: will we stand up for those who put food in our bellies or is the Minister stuck in the middle of a fight between the Prime Minister on one hand, who says he believes in food security being national security, and an Energy Minister on the other who is impoverishing our nation, sacrificing thousands of British jobs on the altar of net zero while importing the jobs we used to make, but this time for more polluting factories overseas, which achieves nothing but to make us poorer?
We have a choice before us. It is not a binary choice of one or the other, as suggested by the noble Earl, Lord Russell. In our proposal, 58% of the national land would continue to be available. That is not binary; that is proportionate. Here is an opportunity for us all to get the balance right between energy security and food security by agreeing to my amendment. The counterfactual is that we condemn our countryside to an uncontrolled future, where our landscapes are impoverished and collateralised, passed around the global financial system like chips on a poker table.
To govern is to choose. Will this Government continue their war on the countryside or will they, even at this late hour, support our landscapes, the food producers and the rural economy? We should know. I would like to test the opinion of the House.
(4 months, 2 weeks ago)
Grand CommitteeThat the Grand Committee do consider the Building Safety Levy (England) Regulations 2025.
Relevant document: 33rd Report from the Secondary Legislation Scrutiny Committee
My Lords, these regulations were laid before the House on 10 July 2025. The Government are committed to the remediation of residential buildings with unsafe cladding in England. Our remediation acceleration plan sets out how we will remove barriers so that buildings are fixed faster. Crucially, this will allow residents to be and feel safe in their homes.
The Government have already committed £5.1 billion of taxpayers’ money to the cost of remediation. We want to protect leaseholders and residents from further costs that are not of their making. The building safety levy is an essential step in achieving this. The purpose of the levy is to fund the Government’s building safety remediation programme. We estimate that we need to raise around £3.4 billion over 10 years. The draft regulations enable the levy to be imposed. The levy will be charged on certain building control applications for new residential floorspace in England. Subject to the approval of the Committee, it will start being charged from 1 October 2026.
Local authorities will collect the levy on behalf of central government. They are well placed to carry out this role as custodians of local building control, with tax collection expertise. I thank local authorities for the vital role they will play and for the steps they are already taking to prepare. My officials are supporting local authorities to ensure that they are ready for the levy launch. We will provide collecting authorities with grant funding for set-up costs. All ongoing costs will be recoverable from the levy revenue received.
The levy provides essential funding to deliver a safe built environment that meets residents’ needs. It complements our broader housing goals, including the delivery of 1.5 million high-quality homes over this Parliament. The levy is designed to minimise detrimental impact on housing supply while securing the required revenue. To achieve this, there are different levy rates for each local authority, which reflect local house prices. This protects viability in areas where house prices are lower. The differential rates are set out in the instrument. Development on previously developed land will benefit from a 50% discount rate. This discount compensates for the often higher cost of developing this type of land, ensuring that more sites remain viable.
The Government are committed to getting Britain building again. Small and medium-sized builders play a crucial role in driving up housebuilding rates but have faced significant challenges in recent years. In fact, just before I came here, I had a very interesting meeting with a round table of SME builders, so I know the immediate challenges they are facing. We are therefore helping SME developers by exempting developments of fewer than 10 dwellings from the levy charge.
Earlier this year, we announced the biggest boost to social and affordable housing investment in a generation. The building of more good-quality, affordable housing must be accelerated. With this in mind, all affordable housing is exempt from the levy charge. However, we have gone further, and any housing built by a non-profit registered provider of social housing is also exempt. Profits from sales of such homes are often reinvested into the provision of further much-needed affordable housing. Supported housing and other types of important community facilities, such as hospices and care homes, are also exempt from the charge. We will keep the rates and processes under review and will report at least every three years. With that, I beg to move.
My Lords, I am grateful to the Minister for her explanation of this substantial SI. Although the formula on page 15 may have deterred the casual reader, I found the Explanatory Memorandum at the end a helpful summary of what is proposed.
I welcome the measure as it is a key part of the package proposed by the previous Government to fund remediation costs after the Grenfell tragedy. Although there is an element of rough justice here, in that developers which were not even around at the time of the Grenfell tragedy will have to pay, the alternative—the remediation costs in those cases where the developer was not remediating the building falling entirely on the taxpayer and/or the leaseholder—was even less palatable.
As the Minister said, this SI originates from the Building Safety Act 2022. At first sight, a delay of four years before it is introduced and a further delay before any money is paid are difficult to justify, given the urgent need to make progress with remediation. However, that does not matter; perhaps the Minister can confirm this. Although the taxpayer contribution is capped at £5.1 billion, the Treasury is, as I understand it, prepared to lend the department additional funds should that cap be reached; it will then recoup the money from future levies. As there is no sunset clause, the levy will remain in place until the Treasury is back in funds.
I have two main concerns about the building safety regime: the speed at which it is happening and the exemptions from the Building Safety Act. I made these criticisms of the previous Government, as noble Lords who were there may recall, and tabled amendments—unsuccessfully—to a variety of Bills. So there is nothing partisan about my remarks.
First, on speed, the department published its remediation portfolio dashboard showing the position as at the end of August this year. Of the 5,554 buildings covered by the Act—buildings are still being uncovered—35% had had their work completed and 14% had work under way. This means that, more than eight years after Grenfell, work has not actually started on over half of the buildings at risk.
The dashboard does not label this as “work not started”. Instead, there is a Whitehall euphemism describing it as “in the programme”. The next time my wife asks me why I have not unloaded the dishwasher, I will say that it is in the programme. Seriously, though, this means that thousands of people are still trapped in unsellable homes with unsafe cladding and fire safety defects, often with high service charges and high insurance—
Lord Jamieson (Con)
In programme was the phrase; well, we need “in action” rather than “in programme”. We welcome the levy. It has been designed with care and certain exemptions are in place, particularly for smaller developers, social housing providers and community- focused schemes. Those exemptions are vital and they ensure that the supply of affordable and socially beneficial housing is not inadvertently undermined.
The Secondary Legislation Scrutiny Committee’s findings are that the overall impact on house prices and supply is expected to be modest and that the administrative costs are proportionate to the revenues raised, but I want to come on to some of the issues that were raised by my noble friend Lord Fuller. There are two aspects to this: the first is the safety of the people who are in unsafe buildings, which is crucial; the second is that we need to ensure that we are still building buildings for people who do not have a place to live.
Concerns raised by the National Federation of Builders and others about the cumulative impact of regulatory pressure on housebuilding should not be dismissed out of hand. This has its greatest impact on London. My noble friend gave a number of statistics, but Molior’s current analysis suggests that only 15,000 to 20,000 homes will be under construction in London in January 2027. That compares to a target of 82,000 and that was a reduced target. There are 185,000 people living in temporary accommodation in London and over 350,000 in the UK. We need homes, and we need to ensure that whatever we do helps to deliver new homes in a safe and meaningful way, and that there is no cumulative impact from this.
The second part of this—the resourcing and performance of the building safety regulator—is really important. Since July 2024, over 2,000 applications have been submitted for building control at gateways 2 and 3. Of these, 283 have been approved, 670 have been either declared invalid or rejected and 997 are still awaiting approval. Those are delays to buildings. In fact, Building Magazine estimated that one in four that hit stage 4, which is the final approval, are not yet approved: that is hundreds of empty apartments that could be occupied. Therefore, I am again seeking assurance from the Minister on what will be done to speed up the building safety regulator. As my noble friend Lord Fuller also said, the process is somewhat complex; how can we make it more transparent and accessible, so that we can get stuff done more quickly?
Delays or bottlenecks at this stage are slowing down vital safety work and much- needed development alike. As my noble friend Lord Fuller raised, the cash flow impact means that schemes become increasingly unviable, and I have heard a developer say, “We are not starting with this”; not because they are not willing to build safe buildings, but because of the financial risks of unforeseen and unnecessary delays in trying to get through the building safety regulation scheme, and because banks are charging increased interest rates because of that risk to developers. Getting this right is a win-win: we will have more safe buildings and more homes for people. We need to take that into account.
I would like to take a moment to reflect on the wider context. The Grenfell Tower fire was more than eight years ago, and it continues to cast a long shadow in the profound systemic failings in regulation, in oversight and in the way residents’ voices were ignored. Progress has been made since that tragedy, but we must continue to push forward with urgency and determination. The promises made to affected communities must be honoured in full, and the culture that allowed such failures to occur must be permanently changed. In that spirit, we support the introduction of this levy. We believe it is a proportionate and necessary measure, and we will continue to hold the Government to account for how it is implemented. I thank the Minister for bringing forward these regulations and commend the work of all those across both Houses and across all parties who have contributed to this important legislation.
My Lords, I am grateful for those very helpful contributions to this debate and for the broad support that these regulations have received from all noble Lords who have spoken. I completely understand the stress and emotional upset that these issues have caused to all those affected by them, not least because I have a building in Stevenage called Vista Tower, which was profoundly affected by the issues. It was not a cladding issue, it was a different issue, but I have dealt with that over the years since those issues were discovered.
I agree with the noble Lord, Lord Jamieson, that for those affected by the Grenfell Tower disaster it has been a very long time indeed. We need to move things on as quickly as we can, not just for all those who are still suffering from the impact of the building safety issues, but for those people at Grenfell who have very bravely and courageously, in my view, used the awful experience that they went through to champion the cause of others who have been affected. I hope we can accelerate this plan so that we can get through these issues as quickly as possible. Indeed, as all noble Lords have recognised, this building safety levy is part of the mechanism to help us do that.
I will pick up some of the individual points that noble Peers have made. If I miss any, I am sure they will stand up and ask me again or I will reply in writing.
The noble Lord, Lord Young, referred to Treasury support and the ongoing funding for this. Remediation funding is already being provided, and the levy launch date does not affect the pace of remediation, so we are not going to slow it down and wait for the levy to kick in. The Government are committed to remediating buildings as quickly as possible, so levy receipts will cover the remaining remediation costs once taxpayer contributions, industry pledges and contractual obligations have been taken into account. It is our intention to keep going within an accelerating plan, not wait until the levy comes in to carry on with this work.
The noble Lord, Lord Young, referred to the scope of the levy. The scope of the levy does not imply responsibility on behalf of levy payers for historic building safety defects. I think the noble Lord was broadly supportive of putting this levy across the board. Developers have to make a full contribution to the overall cost of making buildings safe, reflecting the wider benefit that they derive from a well-functioning market and the substantial funding support the Government continue to provide to the housing market. So, it is being applied across the board.
The noble Lord, Lord Young, and other Peers mentioned the remediation acceleration plan. Clearly, eight years on from Grenfell there is no justification for any building to remain unsafe. Our goal is clear: to remove the barriers to remediation, to get buildings fixed faster and to allow residents to, at last, feel safe in their own homes.
An update on the remediation acceleration plan was published in July and outlined our plan to bring forward a remediation Bill in order to create a hard endpoint for remediation. A proposed legal duty to remediate will compel landlords to remediate buildings within fixed timescales or face criminal prosecution.
The RAP set timescales to provide greater clarity to residents on when they might expect their buildings to be remediated. As noble Lords have recognised, we expect that, by the end of 2029, every building over 18 metres in a government funding scheme will be remediated and every building over 11 metres with unsafe cladding will either have been remediated or have a date for completion, or else its landlords will be liable for penalties.
Lord Jamieson (Con)
In the comment she just made, the Minister said that all buildings over 18 metres will be done by 2029 and that all buildings in the second category will, by 2031, either be done or have a completion date. The completion date could be one or two years away.
It is expected to be a reasonable date. We are not going to let people push it forward another 10 years, for example; that would be unreasonable.
I note noble Lords’ comments about the insurance industry. We continue to work with the insurance industry on this matter. I understand that this is a difficult issue.
The noble Lord, Lord Young, asked about non-qualifying leaseholders; I know that this matter has been a very sore point with such leaseholders. The leaseholder protections were designed to protect people living in their own homes. That is why the threshold was set at ownership of three properties in total: to distinguish between owner-occupiers and those who have made investment decisions. However, there is still substantial support. All leaseholders benefit where a responsible developer has been identified or where the freeholder is or was associated with the developer, and all leaseholders benefit from protections in relevant buildings if it is their principal home.
Where no responsible developer can be identified or made to pay, the cladding safety scheme funds eligible cladding remediation for buildings over 11 metres, ensuring that leaseholders do not face cladding bills. The law also allows for the recovery of costs for interim measures and expert reports via remediation contribution orders, placing costs with those responsible rather than residents. Even if some leases are non-qualifying—those for investment properties, for example —a leaseholder’s principal home on 14 February 2022 in a relevant building can still be a qualifying lease and benefit from protections if it meets the statutory criteria.
On the issues around construction product manufacturers, the power to charge the levy in the Building Act 1984 do not allow for it to be charged on construction product manufacturers. In February 2025, the Government published the construction products Green Paper, setting out comprehensive proposals for system-wide reform of that construction products regime. We are reviewing consultation responses, including on measures to introduce sufficiently robust sanctions, penalties and liabilities in order to hold economic operators, including construction product manufacturers, to account. The Government are committed to ensuring effective redress for manufacturer failings, whether they are historical or arise in future.
The cost of remediation must be shared equitably among those who have profited from or have an interest in the development and construction of unsafe buildings. It is unacceptable that some construction product manufacturers have not yet made a fair contribution to resolving this building safety crisis; I want to be very categorical about that. The Building Safety Act introduced new provisions in Sections 147 and 151 to enable developers, building owners and leaseholders to bring a claim against construction product manufacturers and suppliers where a product has been mis-sold or is inherently defective; Section 149 allows claims for historical defects where cladding products have rendered a building unfit for habitation. These provisions create redress routes where no direct contractual relationship exists.
Developers sit at the apex of the industry and are therefore well positioned to take the lead in funding and co-ordinating remediation works. Once they are complete, developers can seek to recover costs from the other parties involved in the supply chain. We are currently reviewing those sections of the Building Safety Act to make sure that the redress routes are robust, support effective cost recovery and promote accountability. We will provide an update on that later this year.
On the protection for buildings over 11 metres or five storeys—we have had this discussion before—evidence shows that problems with historical fire safety defects are concentrated in medium and high-rise buildings, where the risk to life tends to increase with height. By contrast, buildings under 11 metres typically present lower risks and can often be managed with other proportionate mitigations rather than remediation schemes. I know that there is a dispute with the insurance industry over that and, as I said, we continue our dialogue with it.
Leaseholders in collectively owned buildings are excluded from the leaseholder protections because the freehold is owned by some or all of the leaseholders, and the protections would therefore not have their intended effect. Collectively owned buildings are still eligible for the Government’s cladding safety scheme and the responsible actors scheme, and they can also bring remediation contribution orders against former owners, developers or associated persons. We are committed to reviewing how better to protect leaseholders from costs.
The noble Lords, Lord Fuller and Lord Jamieson, raised the pace of housebuilding and its impact. The levy has been designed to minimise potential housing supply impacts while balancing the need to raise the revenue required to make homes safe. All the issues raised with me at the SME round table I attended earlier this afternoon are already being explored and looked at, and I will continue that dialogue with those people. I have undertaken to give them some feedback.
Developers have had plenty of notice that the levy is coming and to include it in their viability plans. It was announced in 2021, and developers have had 15 months from being provided with the detailed design until the launch in 2026. Levy measures to minimise the housing supply impact—I mentioned these in my introduction—include variable levy rates at local authority level, the discount on developments on previously developed land, exemptions for affordable housing and developments of fewer than 10 dwellings. We expect that the cost of the levy will, in time, be reflected in the price that developers pay for land. Affordable housing is exempt from the building safety levy, and the Government are unlocking housebuilding at an unprecedented level. We have already taken urgent action through the planning reforms, which we will discuss next week, and through the £39 billion of investment for social and affordable housing.
I will make some comments on the building safety regulator because it is really important and noble Lords have mentioned it. Local authorities will administer the levy even when the building safety regulator is the Building Control Authority. The levy has been designed to minimise additional responsibilities imposed on the BSR. On 30 June, we announced a new phase for the BSR, including strengthening the leadership of that organisation, tackling operational challenges and moving it from the HSE to a stand-alone body. The building safety regulator has been open and transparent about the challenges of implementing a significant shift in the way building safety is now regulated in high-risk buildings.
The BSR has implemented a range of operational improvements, and it will recruit over 100 new staff to strengthen capacity by the end of the year. Over the past three months, the BSR has made major changes to improve the processing of gateway 2 applications, including a new fast-track innovation unit. Early indications suggest that the new model is working effectively. We expect the model to start to deliver improvements in processing times in the coming months, and we continue to commit to the highest standards of safety. The fast-track process is about refining a new system, not stepping back on commitments. I take the noble Lord’s point about the quality of responses; it is clearly not acceptable to send a response back with just “roof” written on it. I will take that back. His points about digital compatibility are well made. I will take those back and reply to him in writing.
On the payment point, I understand that the levy is paid at building control application, and in a major development that would probably be phased, so the building levy would be applied in that phased way. The noble Lord asked for a delay to the introduction, but developers have already had 15 months after being provided with the detail, so I do not think that that would be justified.
On the SME point, we are still consulting on the issue around medium-sized developments. I will respond in due course, once we have analysed those responses.
The noble Lord, Lord Shipley, asked about reviews. They can be more frequent—the minimum is three years—and there will be a continual review process. We need a balance, providing certainty with an ability to amend in the light of changing circumstances. We will continually keep this under review. In response to his question about PBSA, 30 bed spaces in PBSA are roughly equivalent to 10 dwelling-house thresholds, so that is why it has been set at that rate.
In conclusion, we think that the building safety levy is essential to fund the remediation of these historic building safety issues without further burdening residents and leaseholders, who have already suffered quite considerably through all this. The Government are committed to delivering 1.5 million homes to meet the country’s long-term housing needs and to unlock growth. That must work in parallel with our commitment to remedying the building safety failures of the past. The industry that contributed to such problems must pay to remedy them. The draft regulations set out a fair approach to collect the required funds, while ensuring minimal impact on housing supply and industry.
Lord Jamieson (Con)
The Minister very kindly commented on the improvements in the speed and transparency of the building safety regulator—that is very good. Is there a timetable of targets for how quickly it will turn around gateway 2, gateway 3 and gateway 4? I do not expect an answer now, but, if so, would the Minister be kind enough to write to us on that?
I thank the noble Lord for his comments. A new person—Andy Roe—is in charge of the building safety regulator. It would be helpful for me to ask Andy to draft a letter for noble Lords to set out our progress on making the BSR more effective.