Economy: High Street Trade
Baroness Williams of Trafford Excerpts(8 years ago)
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Lord Naseby (Con)
My Lords, in asking the Question standing in my name on the Order Paper, I declare an interest in that a member of my family is a retailer.
The Parliamentary Under-Secretary of State, Department for Communities and Local Government (Baroness Williams of Trafford) (Con)
My Lords, there is no plan to undertake a review in England. In Wales this is a matter for the Welsh Assembly. The Government have taken action. Our high streets will benefit from the £6 billion business rates support package announced by the Chancellor at the Budget. We have also given more than £18 million to fund successful initiatives such as Love Your Local Market and the Great British High Street competition, and announced a digital pilot programme.
Lord Naseby
I recognise the work that Her Majesty’s Government have done to help retailers. Nevertheless, in essence it amounts to a modest amount of tinkering. Is my noble friend aware that 36 major chains have gone bankrupt, thousands of other retailers have stopped trading and retailers are faced with ever-increasing overheads, declining footfall and increasing competition from online? Against that background, will Her Majesty’s Government review the statement that the Minister has just made and recognise that we need a fairer tax covering both retailers and online trading, and that possibly that means a turnover tax rather than a property tax?
Baroness Williams of Trafford
I thank my noble friend for recognising what the Government have done. He talked about various chains going bankrupt and the declining footfall on our high streets. In fact, footfall is now increasing and some high streets have responded very well to the changing patterns of the high street. The ones that have responded well are seeing very good results; for example, in my own town of Altrincham the market has almost completely revitalised the town centre.
Lord Campbell-Savours (Lab)
The questioner specifically asked about a turnover tax on online trading. What is the Government’s response to that suggestion?
Baroness Williams of Trafford
I have outlined the Government’s response to the suggestion, which is that high streets have found numerous ways of responding to the different patterns on our high street. Many chains on the high street are in fact benefiting from things like click and collect.
Baroness Janke (LD)
My Lords, does the Minister agree with me that local councils have done a great deal to help to revive local high streets, which are the centres of communities and particularly important to poorer communities? Have the Government considered giving local authorities, particularly the combined authorities, more powers in revaluing and setting the business rate, as suggested by the London Finance Commission and the City Growth Commission?
Baroness Williams of Trafford
First, as the noble Baroness will know, local councils will be able to retain 100% of their business rates by 2020. Combined authorities that also have mayors will have the facility to raise or reduce business rates in their combined authority area. I totally concur with the noble Baroness, because I can think of two local authorities in Greater Manchester where the councils have been absolutely at the forefront of that revitalisation of their local high streets.
Lord Watts (Lab)
My Lords, will the Minister adopt the suggestion of reducing the size of town centres to take into account the fact of online trading and perhaps make some finance available to local authorities to achieve that aim?
Baroness Williams of Trafford
The noble Lord makes a good point. One of the things that councils observe is that we need more shoppers in our local high streets and not more shops, hence the expansion into some of the excellent food offers in markets now and some of the conversions from office to residential that help to revitalise the footfall in local high streets, particularly in the north of England where I am.
Lord Bilimoria
My Lords, I have been a non-executive director of Booker, the FTSE 250 company, for eight and a half years. When I started our internet sales were £50 million. Today, out of a turnover of £5 billion, they are £1 billion. Surely the answer is to help the high street to take advantage of the internet age. What are the Government doing to help retailers to take advantage of the internet, whether on payments, winning customers or dealing with their suppliers and the supply chain?
Baroness Williams of Trafford
The noble Lord is absolutely right that the digital age has in many cases been to the high street’s advantage. I have mentioned click and collect. Our local high street businesses have to compete in the digital era and we have recently announced a digital pilot programme across Gloucestershire working with partners in the private sector including Argos, IBM and Cisco. This work was developed in close collaboration with the BIS retail unit.
Lord Grade of Yarmouth
Does my noble friend think that there is any connection between the lack of customers in the high street and the tyrannical and punitive parking arrangements that are imposed in our streets that make it impossible to go to the high street and spend money?
Baroness Williams of Trafford
My noble friend is absolutely right. The Government have recognised that some of the punitive practices on our high streets have prevented or discouraged people from going shopping on their local high streets and we have done something about it.
Lord Brooke of Alverthorpe (Lab)
Is it not true that online trading is going to grow notwithstanding what might happen in the high streets? Is it not also true that while online trading is welcomed by many people, there are also drawbacks, not the least of these being growth in traffic—white vans are everywhere now—that is creating congestion and poisonous air in the communities? What are the Government going to do to restrain it or at least to make drivers pay for the pollution that they are creating.
Baroness Williams of Trafford
My Lords, whether it is the car going with its owner to the shop or the van from the distribution centre going to the home, I am afraid shopping does, in one way or another, create carbon in our atmosphere. The noble Lord is right that online shopping is increasing vastly. The high streets that acknowledge that, and are responding to it and creating different offers, for example leisure opportunities and markets on the high streets, are the ones that are doing well.
Housing and Planning Bill
Baroness Williams of Trafford Excerpts(8 years ago)
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Lord Deben (Con)
I am sure my noble friend has noted during our debates that there is an undercurrent of concern about the question of secondary legislation and regulation, and the difficulty that this House has in carrying out its constitutional responsibility to be, in detail, the House that seeks to ensure that legislation is as it ought to be and performs the purpose for which it is designed. In considering this particular occasion, would my noble friend accept that we need, one way or another, to allay that concern and fear? My noble friend Lady Gardner was careful in her choice of words, but we should all recognise that unhappiness and that perhaps this is one occasion on which it might be allayed.
The Parliamentary Under-Secretary of State, Department for Communities and Local Government (Baroness Williams of Trafford) (Con)
My Lords, first, I welcome the noble Lord, Lord Lisvane, to his first outing on the Housing and Planning Bill and pay tribute to his constitutional expertise in the other place, which he now brings to this House. It may help him if I say that I have listened very carefully to what he and other noble Lords have said on whether regulations on the definition of “high value” should be made under affirmative resolution. I also pay tribute to him for his work on the Delegated Powers and Regulatory Reform Committee. As a direct result of the committee’s work, I have considered further its point about delegated powers in this chapter. I shall go into a bit more detail in a few moments, but I believe that the House should have the opportunity to scrutinise the detail before the regulations come into force, so I shall return to this at Third Reading.
On the specific amendments tabled by the noble Lords, Lord Lisvane, Lord Kerslake and Lord Beecham, I understand that Amendments 53 and 132 reflect the recommendations made by the DPRRC in its report on Parts 1 to 5 of the Bill, published on 5 February. As I have announced, we will bring forward an amendment to make the high-value regulations affirmative. I shall focus on Amendment 53 and the corresponding part of Amendment 132, which would require determinations to be made through regulations and, under certain circumstances, subject to the affirmative procedure. I know that the noble Lord, Lord Lisvane, is a member of the DPRRC and will have seen my letter of 23 March to my noble friend Lady Fookes, the chairman of that committee, where I set out the reasons why we considered that we should not accept the recommendation to put the determination into regulations. If the noble Lord will forgive me, for the benefit of your Lordships’ House, I shall now repeat some of my reasoning here.
Our view is that the determination is the most appropriate way of setting out the information of what payment a local authority will make to the Secretary of State. The key elements of the calculation are set out in the Bill, including the housing to be taken into account and the definition of vacancy. Other elements, such as the definition of high value and the types of properties which are to be excluded will be set out in regulations and therefore subject to further parliamentary scrutiny. Indeed, my announcement that the definition of high value is to be made through an affirmative procedure has, I hope, demonstrated my willingness to listen to the House. As I explained in my response to the committee, we also think that the nature and amount of information contained in the determination means that it is appropriate to use a determination rather than a statutory instrument. The determination will contain the formula, the underlying assumptions and the payment for each authority, as the noble Lord pointed out, but it will also include the figures to determine the payments for each of the 165 local authorities, including, among other things, each authority’s vacancy rate, the number of its high-value properties and the level of its attributable debt.
Such a large and complex set of data creates the potential for errors to creep in, which will be noticed only by the relevant local authority. We therefore want to ensure that there is flexibility to amend the determination very quickly to correct any such errors. We of course welcome scrutiny of the formula and other elements of the determination. That is why Clause 69(2) requires the Government to consult all affected authorities, the LGA and relevant professional bodies before making a determination. On this basis, and with the amendment that I have announced on high-value regulations, I urge the noble Lord to withdraw the amendment.
Lord Lisvane
My Lords, I am extremely grateful to the Minister. With her customary diplomacy and courtesy, she has given us about a quarter of a loaf. It may tend towards a third of a loaf, but not more than that. In effect, she has accepted the second element of Amendment 132. However, the issue of the determination being in regulations subject to parliamentary approval is serious. I was much fortified by the remark of the noble and learned Lord, Lord Hope of Craighead, who has immense experience and knowledge, about the possibility of protecting what was done from judicial review in a way that would happen if there were parliamentary approval. I hope the Minister will acquit me of any churlishness, but the remaining elements of Amendments 53 and 132 are important enough for us to test the opinion of the House on Amendment 53.
Baroness Williams of Trafford
My Lords, many of your Lordships have spoken passionately both here in the Chamber and to me in private about how we plan to implement the manifesto commitment to pay for the voluntary right-to-buy agreement through the sale of high-value assets.
The role of your Lordships’ House is to revise and to improve, to make sure that we consider how our policies affect not just those in London but those in communities across the country, and to bring to our attention the questions raised by community groups and housing associations. Noble Lords often spend time declaring their interests as members of local authorities and of the boards of housing associations, and those interests mean that the Bill is scrutinised by those directly affected. I have met many noble Lords since we introduced the Bill and I have been struck by many of the arguments eloquently made at Second Reading and in Committee. Indeed, I have been struck by the level of expertise across this House. Earlier today I sent noble Lords a letter which set out how those arguments have shaped our thinking. I have placed a copy of that in the Printed Paper Office and the Library, and I hope that most noble Lords have got hold of it.
If I may, I would like to set out my thinking on the level of detail in the Bill and the ability of your Lordships’ House to scrutinise how the sale of high-value vacant housing will work in practice. What constitutes “high” or “higher”, to which I will return in a moment, is a matter which, upon reflection, I agree that Parliament should consider and approve before regulations come into force—the arguments here have been persuasive. Later today we will debate whether to remove clauses from the Bill altogether. I hope that affirmative regulations will give assurances that noble Lords will get to see and approve the details.
I know that some noble Lords will argue, as the noble Lord, Lord Beecham, did on his blog yesterday, that regulations cannot be changed. However, I would say that this debate, alongside other conversations that we can have outside it in the coming months, will help ensure that we get them right the first time. We have the best of both worlds here: Parliament approving the detail and your Lordships sending an improved clause implementing a manifesto commitment back to the other place.
At the heart of this policy is a desire to build more homes that meet the needs of local communities. I am clear that we should be building at least one new affordable home for each dwelling that is sold. That has always been our policy, and it is a point that has been reinforced by compelling arguments made by noble Lords from across the Chamber. I would like to consider further how best we can reflect this in the Bill.
What has also come across strongly in our debates has been the valuable point that different areas have very different needs. This is a statement of the obvious. Noble Lords such as the noble Lord, Lord Kerslake, have argued that local communities led by local authorities are best placed to set out those needs. He has pointed out a number of times that this is a Government who champion localism. I want to make sure that this policy both reflects the diversity of housing markets nationwide and respects the views of local people and local leaders. There is a powerful argument, therefore, about the important role of local authorities in making the case for the right balance of housing in their area and the importance of government taking that into account when making agreements to deliver new homes. I say from the outset that that is something that I will consider reflecting on the face of the Bill at a later stage.
A strong case has also been made for looking carefully at the potential impact of the clauses in rural areas where the pressure on housing is exceptionally high. I shall go into more detail later on, but I intend explicitly to state in regulations that homes in areas of outstanding natural beauty and national parks are excluded and are not to be taken into account when calculating authorities’ payments. I hope that this is a helpful frame for our debate today.
I wrote last week to give some background on what I am about to move, but I am aware that noble Lords raised their eyebrows at the thought of an amendment which would change “high” to “higher”. I hope that I can provide some reassurance. The change is a direct result of concerns expressed in your Lordships’ House about the potential impact of these clauses in areas of very high housing pressure, where a very high proportion of local authority homes can be considered as “high value” under the current definition. I shall go into further detail on that later, but for now turn to the amendments that we are about to debate.
I am grateful to noble Lords who contributed in Committee, because the Bill has a central role in delivering the Government’s housing objectives and the commitments that we made on home ownership which formed a significant part of our manifesto. It has the potential to improve the lives of hundreds of thousands of citizens, more than 85% of whom have home ownership as an aspiration. It is important that we work together to make this legislation as good as possible, and I am grateful to noble Lords for their careful contributions.
Later, we will discuss other important amendments, including the amendment on one-for-one replacements, but I want to speak now to government Amendments 54, 57, 58, 59, 60, 61 67, 69, 70 and 71, which replace all the references to “high value” throughout Chapter 2 of Part 4 with “higher value”. In Committee, noble Lords, including the noble Lords, Lord Best and Lord Kerslake, voiced their concern about the impact in some areas of setting the threshold for high-value properties on a regional or national basis. As the noble Lord, Lord Tope, pointed out, even within London there is a huge variance in property values, with outer London boroughs such as Sutton, Barking and Dagenham having very different housing markets from those in inner boroughs such as Westminster, Kensington and Chelsea, Camden and Islington. The point was echoed by my noble friend Lord Carrington. Other noble Lords have cited concerns about the possible impact of the policy in London, as well as in other areas of high housing demand where there is a significant concentration of high-value properties.
I have listened carefully to all the points that noble Lords made in Committee, just as Members did in the other place. In addition, there have been many fruitful discussions outside the Chamber between the noble Lords, Lord Best and Lord Kerslake, myself, the Minister for Housing and Planning, and the Secretary of State. In response, we have reflected carefully on the “high value” definition and how it could be applied in practice. The effect of the provisions in their current form is to require a definition of high-value housing which relates to wider housing market values. As I have said, those values vary hugely, even within quite small areas.
We recognise that in areas of highest housing pressure, such as the inner London boroughs, the provisions could apply to a high number of dwellings. If we choose to look at high value for each region, the same issue would apply to those areas within a region which experience a high level of housing demand in comparison with their neighbours. For example, places such as Harrogate, Oxford and Cambridge could all have a high proportion of their stock defined as high value.
Lord Kennedy of Southwark
My Lords, it is good that we all agree that we should build more homes and have more housing. We often fire at each other the records of previous Governments as regards what Governments are or are not doing, who built the most houses when, and what type of houses were built. I am sure that we will carry on doing that in future debates, but it is good that we all agree that we need to build more houses.
As I have told the House before, I grew up on a council estate in Southwark in south London. I have always been very grateful to the council that gave us a house that was clean, warm, safe and dry. Our family was very happy there and we kids were able to do our homework and not do too badly in the world—I hope. However, I have some concerns when we talk about affordable housing. I want to see more social housing built, such as council housing and housing association housing. I worry sometimes that we get into debates about affordable housing when homes at 80% of the market rate in some parts of London do not seem very affordable to me. That is a worry I have and I will come back to it. I also think that communities, whether in rural areas, small towns or villages or big cities, need homes for people on modest incomes, low incomes or high incomes to live side by side to make sure that our communities work. Whatever side of the House we are on, we should ensure that we work to do that.
Some of the government amendments in this group seek to replace the word “high” with “higher”. I am sure the noble Baroness knows that this concept initially caused alarm and that people wondered what was going on. It will be no great surprise to her to hear that some people were a bit suspicious about what the Government were up to and why they wanted to insert the word “higher”. So her clarification is very welcome and I thank her very much for it.
Her general comments were also very helpful and useful. As the noble Lord, Lord Porter, outlined, no one knows better than he and his colleagues in South Holland the needs of South Holland—as is the case with my noble friend Lord Beecham in Newcastle, and other noble Lords in relation to their areas. It is important that we ensure that local councils, councillors and council leaders are fully involved in whatever measures we bring forward as they are aware of the needs of their area. It will be helpful to do that at Third Reading. It would also be helpful if the noble Baroness would clarify again what she intends to bring back at Third Reading—but generally I very much welcome her comments.
Baroness Williams of Trafford
My Lords, I thank the noble Lord, Lord Foster, for explaining why he tabled Amendment 61A. I also thank the noble Lords, Lord Kennedy and Lord Beecham, for tabling Amendment 56. While I always respect the views of former Ministers in my department, I will first address the concerns of noble Lords opposite as they are not seeking to remove a manifesto commitment from the Bill.
I turn first to Amendment 56. The changes proposed through this amendment would transfer the onus of defining “high” or “higher” value from the Government on to local authorities. This would lead to local authorities coming up with different methodologies, which would undermine fairness, consistency and transparency. Instead, by using the local authority data that we have collected to set the threshold, we can ensure that a consistent methodology is used to apply the definition across all local authorities. Rather than rushing to set a threshold for higher value, we need to ensure that we fully analyse the 16 million pieces of data that local authorities have provided, so that we set a definition that is fair and equitable. As I have said, the definition will be set out in regulations which will be subject to further parliamentary scrutiny.
Baroness Hollis of Heigham
I would like some clarification on the Minister’s answer about the difference between “higher” and “high”. If as a result of the Minister setting the percentage at “higher” the property is sold, what is to stop the Government—not necessarily herself; it could be a subsequent Minister—coming back and using the regulations to say that the band below that is now the higher-value property, so that there is a continuous accretion of cuts on local authority stock in order to continue to produce more and more money for housing association discounts?
Baroness Williams of Trafford
I think the noble Baroness will understand, reasonably, that as a Minister I cannot hold the will of future Governments to account at this Dispatch Box. I can set out only what this Government intend to do and I hope she will take it in good faith. I have confirmed that it will not be used to raise additional income.
The noble Lord, Lord Shipley, and other noble Lords have asked what I am bringing back at Third Reading. If noble Lords look ahead to Amendment 64A, I will indicate my intention to return to the issue of one-for-one replacements at Third Reading. I will give more detail on that when we get to that amendment, if noble Lords will indulge me. I am sure we will debate it fully in due course.
A number of noble Lords have made the valid point that not enough houses have been built in this country. I do not think we will get into who it is attributable to this afternoon, but the fact stands: we have not built enough houses and we are now at a critical point. I think all noble Lords will support the intention of producing more houses of different tenures for this country’s residents to live in.
I turn to Amendment 61A, which would remove Clause 67 from the Bill. This clause will require councils to make a payment to the Secretary of State that represents an estimate of the market value of a local authority’s higher value houses that are expected to become vacant. Needless to say, it is a clause that is vital for us to deliver the policy. I have already explained to your Lordships’ House how the payments will work and I will not test your Lordships’ patience by repeating myself.
It is right that local authorities should sell their higher-value vacant housing so that value locked up in these properties can be released and used to fund right-to-buy discounts for housing association tenants and to fund the delivery of additional homes. The clause’s principles are clear and in line with commitments made in the Government’s manifesto. Should this amendment be accepted, I think the other place will be likely to overturn that decision. With this in mind, I hope the noble Lord, Lord Foster of Bath, will feel free to withdraw his amendment.
Lord Shipley
My Lords, before the Minister sits down, may I press her on the letter she issued just before 3 pm today? The letter is about high-value assets and therefore the sale of local authority homes. The statement does not say that those homes, in the form of that tenure, will be replaced one for one. It simply says:
“I am clear that we should be building at least one new affordable home for each dwelling that is sold”.
Because a starter home is defined earlier in the Bill as an affordable home, on the sale of a high-value council home that was for rent it could be replaced by a starter home for sale. That is the issue I tried to get at when I followed the comment of the noble Lord, Lord Porter. If I interpreted correctly what he said, he thought that local authorities were to be allowed to keep the money to build a one-for-one replacement. What the Minister is now saying in this letter, as I interpret it, is that starter homes are in fact being counted as an affordable home replacement for the high-value sale, which means that there is a loss to the social rented sector. I heard the Minister say that we will look at this further on Amendment 64A but I hope she understands that there is a major issue of principle here because a number of us in your Lordships’ House believe that we have to defend social housing for rent.
Baroness Williams of Trafford
I hope I can reassure the noble Lord. The noble Lord, Lord Kerslake, and I had a discussion about this and I hope he will be reassured when we get to Amendment 64A that we as a Government understand that there are different types of tenure required in different local authorities. The demographics and the need might change and we totally recognise this. That is what I intend to work towards for Third Reading, so I hope noble Lords are reassured by that.
Lord Kennedy of Southwark
My Lords, the amendments in this group are concerned with the payments to the Secretary of State and the deductions from those payments of sums of money to build replacement properties on a one-for-one basis. I am supportive of both the amendments in this group. As I said in Committee, the clauses concerning the high-value levy and the sale of high-value council properties are a very damaging mechanism to deliver government policy. They make local councils foot the bill and risk having a devastating effect on council housing stocks. Both these amendments seek to put in the Bill that the payments to government must be made after the deduction of the costs of replacement on a one-for-one basis.
Amendment 64A, in the name of the noble Lord, Lord Kerslake, to which I and the noble Baroness, Lady Bakewell of Hardington Mandeville, signed up, would add a further clause giving the local authority the ability to set out to government what specific types of local housing are needed in their area. Again, this seems to be within the principle of localism and should not really cause the Government any problems at all. I understand we will hear from the Minister that they understand the issue and are sympathetic to the points raised by the amendments. I am very pleased to hear that: it is very positive news and very welcome. I will not say much more than that, but I am delighted that the Minister and other colleagues have listened. Until we see the text of the amendment concerned, we of course reserve our position, and may bring our amendment back at Third Reading, but from what I have heard I am very pleased and I thank her very much.
Baroness Williams of Trafford
My Lords, I thank the noble Lords, Lord Kerslake and Lord Kennedy of Southwark, and the noble Baroness, Lady Bakewell, who have all made powerful arguments about the importance of delivering new homes and meeting the needs of local communities, which is so important.
I agree with the noble Lord, Lord Kerslake, that when government makes agreements with local authorities outside London about building new homes, we should ensure that at least one new affordable home is provided for each old dwelling that is sold. That has always been our intention, but today I am very happy to work to make that intention clear in the Bill. As I said earlier, I would like to consider further how we can best reflect that in the Bill, and I look forward to working with the noble Lord and others on it. The noble Lord makes powerful arguments about the different needs of different areas. Many noble Lords in the House—certainly many of those in the Chamber today—have, at some point or other, represented very different areas with very different needs. Reflecting this diversity and respecting the views of local people and local leaders is at the heart of the Government’s drive for localism, as several noble Lords have pointed out. I totally agree that in our dialogue with local communities, local authorities should be empowered to make the case for the right balance of housing in their area, and that there should be a strong expectation that the Government will listen. That is absolutely our intention; indeed, it reflects our broader approach.
The Bill enables dialogue through the provisions of Clause 72, which enables agreements to be made about the delivery of replacement homes. As I said, I am very happy to work with the noble Lord, Lord Kerslake, to give local authorities with particular housing needs in their areas the opportunity to reach bespoke agreements with the Government about the delivery of different types of new homes in their areas.
With those assurances, I hope that the noble Lords, Lord Kerslake and Lord Kennedy, will agree not to press their amendments. I hope that this commitment will also enable the noble Baroness, Lady Bakewell, not to press her amendment, as we bring forward a proposal that ensures the delivery of housing in a way that specifies the cost of replacement, as a deduction to payments would not.
Lord Beecham
Before the Minister sits down, just to clarify, the amendment with which she indicates sympathy and which she will come back to, which is very welcome, is based on the premise that a property will have been sold and the money handed over. However, the Bill provides for payment in advance of the sale of any property, so the Government might have received money but no property has been sold. Will the Minister come back on Third Reading with a position on that? Otherwise, presumably, the money could simply stay in Whitehall; there would be no property to be replaced because no property may have been sold, yet money will have been paid over.
Baroness Williams of Trafford
In the spirit of the discussion that we are having, I am very happy to seek clarification on the issue raised by the noble Lord. In fact, we will be working through many issues for Third Reading. I am sure that noble Lords will tell me if I have got it wrong—I am sure that the noble Lord, Lord Kerslake, will.
Baroness Bakewell of Hardington Mandeville
My Lords, I thank the Minister for bringing forward the amendment that we have all been asking for—that there should be one new affordable home for each one that is sold, and that that will be in the Bill—and for responding to the debate in Committee and on Report. I urge her to let us see the detail of it before we get to Third Reading, which I understand will be a fortnight today. I am really pleased that local authorities will be able to make the case for the type of housing that is needed in their area. On that basis, I beg leave to withdraw my amendment.
Baroness Williams of Trafford
I shall start with the noble Baroness’s point because I think it probably refers to the previous group in terms of local authorities and agreements with the Secretary of State. The Secretary of State and I, on behalf of the Government, absolutely acknowledge that local authorities know their own local communities. In the spirit of the approach that this House has taken, that is what I am trying to articulate today. Rather than it being central government’s suspicion of local government, we are head-on acknowledging that local authorities and local leaders best know the needs of their communities. I know the Secretary of State respects that.
I now move on to Amendments 62 and 63. I thank the noble Lords, Lord Kennedy, Lord Best and Lord Cameron. No, the noble Lord, Lord Kennedy, did not make any points on these amendments. He is so good that I think he has spoken. I have been particularly struck by the points that have been made about housing that is located in national parks and areas of outstanding natural beauty by the noble Lords, Lord Cameron and Lord Best. Greater planning constraints apply in these areas, which would make it more challenging to replace homes that are sold off with new housing. The Government want affordable housing in rural areas to continue to provide for those who need it the most, and in certain cases I agree that we should be clearer about how we can best protect it. Therefore, I hope the noble Lords will be pleased to hear that I am making a commitment—although the noble Lord kind of preceded me—to exclude local authority housing that is located in national parks and areas of outstanding natural beauty from the housing to be taken into account under this chapter. Housing in these areas will be excluded under regulations.
More broadly, throughout the passage of the Bill I have heard many powerful arguments about the need to protect rural housing. Amendment 119, tabled by the noble Lord, Lord Best, the right reverend Prelate the Bishop of St Albans and the noble Baroness, Lady Royall of Blaisdon, who is not in her place, emphasises the need to protect rural areas more widely. I commit to look at the detailed points that have been raised about housing in rural areas during the remainder of the passage of the Bill to consider how we might use existing powers to make further exclusions to ensure that we reach a reasonable balance. I hope noble Lords will agree that these two commitments go a long way to meeting their concerns. In light of these undertakings, I hope the noble Lord, Lord Cameron, will withdraw his amendment.
Turning to Amendment 63, I agree that local authorities should make the best use of housing stock to meet people’s needs. This includes transferring tenants to alternative vacant social accommodation when it suits their circumstances—for example, if they are underoccupying or overoccupying a property. That is good stock management. However, I am concerned that Amendment 63 could open the door to local authorities seeking to reduce or minimise their payment. This would mean that there would be a lower level of receipts to build additional homes and fewer housing association tenants would realise their dream of home ownership. That said, I am not in a position to make a decision about whether to exclude transfers from the types of definition of vacancy using the regulation-making powers in Clause 77(2) until we have concluded our data analysis and understood the impact of such an exclusion. I assure noble Lords that we will use the views expressed to help inform decisions regarding situations when housing would not be considered as becoming vacant. With these assurances, I hope the noble Lord, Lord Cameron, will withdraw his amendment.
Lord Cameron of Dillington
I thank all Members of the House who have supported the amendment. I again thank the Minister and, indeed, her Secretary of State for the compromise position that they have offered. I look forward to discussing the details of the government amendment that will be provided at Third Reading. It is quite clear that the process in national parks, AONBs, the Norfolk Broads and other special areas is quite a simple matter to deal with. Housing in communities of fewer than 3,000 people where it is impossible to replace sold housing due to planning regulations, either as spelled out in the National Planning Policy Framework or where they have been interpreted by a local plan, will be the key to whether the government amendment will be acceptable. I look forward to the discussion and, in the mean time, I beg leave to withdraw the amendment.
Lord Beecham
My Lords, this amendment would provide that revenue from high-value sales should be retained by the local housing authority rather than be transmitted, as required by the Bill, to the Secretary of State, and should be used to provide replacement affordable housing for rent in the same local authority area.
I shall begin by referring to the position in my local authority, Newcastle, which will be pretty much echoed up and down the country. Shelter conducted an estimate of the number of high-value council properties. Of course, we do not quite know what the definition of “high value” will be, particularly in the light of today’s government amendment but, as a working position, it estimated that Newcastle’s housing stock, which is something in the low 20,000s, would contain about 1,650 high-value properties. On that basis, and on the Government’s approach, it would look as though 82 properties a year might become vacant. I do not know quite what high value in Newcastle would come to, but if it were something over £100,000, at the least we would be looking at something like £10 million a year for several years being paid over to the Government. It might be higher than that, but I do not think it would be much lower. That would be replicated across the country, so the question arises of how this scheme would work and what its impact would be.
I turn for some guidance on that to the impact assessment—so called—which deals with Clauses 67 to 77 on this issue. It defines the problem under consideration as something that will require the Government to “determine high value”, about which we have heard something today,
“and a formula which will be used to calculate the payment each stock owning local authority is required to pay”.
There is a footnote at the bottom of the page in very small print, which states:
“We are engaging with local authorities and are currently in the process of updating data that will be used to help inform the high value threshold, which will determine how much individual councils will need to pay”.
That document was issued in January, and we are now in April. I wonder whether the Minister could give us any indication of how much progress has been made in updating that data and whether and how soon the Government will be able to indicate even a sample of what “high value” would be and how many houses might be affected.
The rationale for intervention is given in the mantra:
“Councils should effectively and efficiently use their resources … it makes sense to sell high value vacant houses to release the value locked up in them”.
The document point outs that:
“165 local authorities own a total of around 1.6 million council homes”.
Then the impact of the intervention is described:
“The main impact will be on stock holding local authorities as they will be required to make a payment to the Secretary of State based on the value of the high value vacant homes they own. By managing their stock more efficiently, and selling vacant housing”,
they can release the value. Of course, it is not just when the property is sold that councils will be required to make a payment; they will be required to do so in advance of any sale, which one might have thought was a somewhat peculiar process.
There is a summary of benefits and costs, and it is a pretty minimal description. The document says:
“Local authorities are not benefitting from their high value vacant assets”.
They have already said that in the report. It goes on:
“This policy will release the value of such assets to use in providing more housing”,
but without any indication of how much would be released, how much new housing would be provided and what kind of housing that would be. It goes on to say:
“The process also provides some flexibility for local authorities to decide which vacant properties they sell … Data will be used to inform the setting of the high value threshold”—
we await indications of what those data will be—
“and the assumptions underlying the calculations in the determination … The policy requires the sale of high value assets which may have some impact on the total stock that a local authority holds”.
By definition, that is going to be the case. This is hardly a detailed analysis of the impact of the Bill. Then it says:
“Local authorities are likely to incur some costs associated with the sale of vacant property”.
Again, that is a pretty massive understatement with no figures attached to it. It continues:
“Consideration will be given to the deductions that should be made from the payment”.
How very kind, but there is no indication of what consideration the Government are likely to give or at least what its outcome is likely to be. It then says, and remember that this is an impact assessment:
“A portion of the receipts will be used to provide more housing, reflecting housing need”.
There is no indication of what portion, or indeed any definition of “housing need”.
Then the impact assessment makes the one specific reference, which of course is timely in view of the impending election of a London mayor, that in London the provision must require that,
“at least two new affordable homes are provided for each vacant high value home that is expected to be sold in the relevant year”.
It may be purely coincidence that London has been chosen for this definition, but a cynic might point out that it is the only firm commitment revealed in the whole impact assessment.
So it is pretty deplorable after all this time, unless the Minister has some information that she can convey to us either today or before Third Reading, that we do not know what the impact is going to be, how much money or how many homes are involved, how many councils will be affected and what a “high value” is. It is a case of Parliament, and in particular your Lordships’ House, being asked to sign a blank cheque to the Government and, frankly, one written in invisible ink. It is highly unsatisfactory, and unless the Minister can produce some assurances about when we are going to get information, we will be left enacting legislation without any clear idea of what will be involved in terms of costs or, crucially, the numbers of replacement houses and where they might be built. In my submission, that is not a satisfactory outcome of a process that we have been engaged in for some months now in both Houses. I beg to move.
Baroness Williams of Trafford
My Lords, I thank the noble Lord for his amendment, although I am not sure that I should. I appreciate the considered thoughts from your Lordships’ House on ways in which we can improve the Bill but I fear that the amendment would compromise the ability of the Government to meet our manifesto commitment, which clearly states that receipts from the sale of local authority housing will be used to fund right-to-buy discounts for housing association tenants, as well as supporting the delivery of additional homes. The amendment would prevent us from meeting this clear manifesto commitment, and as a result housing association tenants would be unable to realise their dream of owning their own home.
We know that there is £200 billion of value locked up in housing in this country. We also know that some of that could be used to increase housing supply, something that noble Lords from across the House have expressed a wish to do. We also know that in many places the value has not been used for that purpose. That is why this Government are bringing forward this legislation. I make it clear that we also want to increase housing supply with these receipts and through the voluntary deal with housing associations that will see more homes built for each right-to-buy sale.
Lord Beecham
My Lords, these amendments are quite limited. They relate to the way in which the interpretation of the question of vacancy is determined. They seek to require the Secretary of State to specify what that interpretation should be by regulation rather than simply having the option of so doing. Amendment 71A would translate “may” into “must” in Clause 77, such that the Secretary of State must specify by regulations the circumstances in which housing is to be treated as not becoming vacant for the purpose of a high-value sales policy, while Amendment 71B would require those regulations to be affirmative. It is a fairly straightforward matter but it is important that the procedure should follow the route of secondary legislation rather than, as we heard earlier in another context, a matter simply for ministerial determination. I beg to move.
Baroness Williams of Trafford
My Lords, I thank the noble Lord for his amendment. It would replace the discretionary power of the Secretary of State to make regulations on specifying circumstances in which housing is not treated as being vacant for the purposes of this part of the Bill by replacing “may” with “must”. The amendments in this group would also require these regulations to be made as affirmative.
As many noble Lords will recall, and as many have made reference to, the DPRRC considered the powers that we proposed to take through this Bill. I am happy to report that it did not seek to change the proposal for this power to be made through a negative resolution. It accepted our arguments that it is appropriate to use the negative procedure for these regulations, as this approach will provide flexibility to ensure that if circumstances change over time or if a need for further exclusions is identified in the future, this can be easily addressed by adding, amending or removing exclusions.
Given my earlier concession on making the regulations setting out the definition of “higher value” through affirmative resolution, and given that the DPRRC agreed with our proposal, I urge the noble Lord to withdraw his amendment.
Lord Beecham
My Lords, I have received an invitation from the Minister which I regret to say I cannot accept; I wish to test the opinion of the House.
Lord Harris of Haringey (Lab)
My Lords, I, too, think that this amendment is important and I hope that the Minister will be able to accept it. My view is that this Bill is littered with unintended consequences. However, I may be wrong about that; they may be intended consequences. The answer is that we simply do not know, because so much of the Bill has not been brought forward in a way that allows us see what exactly is intended; we do not know what will be in regulations and so on. So we do not know what the consequences will be, whether they are intended or not. That is not a sensible position to be in.
If one takes at face value the objectives the Government have enunciated—what they want to do to address the housing problems that affect many parts of this country—there has to be the opportunity to take stock of the way the changes included in the Bill will work through the system. My noble friend’s amendment would at least enable that to be done. It would of course have been much better if the Bill had been properly produced in the first place after a proper assessment of all the evidence, and if it had been made clear to Parliament what all its various components would be. But given that we are not there, if this amendment is accepted, we could before the next general election have some of that information before Parliament and before government. The Government might even decide that they want to unpick some of what they are trying to do here, or they might recognise that remedial measures are necessary; but in any event there would be a generally and publicly available report so that, near the time of that general election, there could be an understanding of the Bill’s consequences and of how we need to move forward to achieve balanced and adequate housing provision in all parts of the country. I am pretty certain that this Bill, with all its consequences, whether intended or unintended, will not provide us with that; we need the evidence and the information. Indeed, I would have thought that good government, of whatever colour, requires that such data be collected and made available.
Baroness Williams of Trafford
My Lords, I begin by agreeing with the noble Lord, Lord Kennedy, about the intention of government in providing housing, and about people—not usually the tenants themselves, and subsequently the owners—sometimes trying to profit from housing that is intended for an entirely different purpose. I hope the noble Baroness will recall the undertaking I gave in Committee to get a working group together to look at how such fraud can be eliminated from the system. I feel very committed to that. I also take on board her point about the detail perhaps not being ready when noble Lords might want it. I hope that noble Lords will at least give me credit for trying to do that when I can, and in as much detail as I can.
I assure noble Lords that the Government already publish a significant amount of statistical data on the composition, tenure and affordability of housing through various mechanisms such as housing surveys and data collection exercises. For example, as part of the English housing survey, we publish an annual report on households. For 2013-14, this included information about tenure in the social rented sector, the private rented sector and owner-occupation. It compared each of these tenures and looked at how the relative size of each has changed. The report also examined measures of the affordability of social rented accommodation and movements into and out of the social rented sector.
Additionally, the Government publish various housing statistics, giving up-to-date data on a range of issues such as affordable housing supply, dwelling stock estimates, net supply of housing, housebuilding and housing market data. That is very useful information which provides a comprehensive and up-to-date picture of changes in housing stock, tenure and affordability.
With that reassurance about the extensive data—
Lord Foster of Bath
Yes indeed. I am grateful to the Minister for detailing all the information that is available, but can she answer the question I asked earlier in our deliberations: what is the Government’s estimate of the money they need to receive from the sale of high-value properties to cover the cost of replacement properties for the right-to-buy discount and the brownfield regeneration scheme?
Baroness Williams of Trafford
The noble Lord is obviously referring to a previous group of amendments. I am not sure whether he was in his place when I said that this data collection exercise is quite extensive— 60 million pieces of data. We always thought it would be a quite a lengthy process, but we will keep noble Lords up to date as and when we can.
Does the noble Lord, Lord Harris, want to add to that?
Lord Harris of Haringey
I seek clarification on what the Minister just told us. She outlined all the various data which are collected and published at the moment, but this Government are committed to reducing the burdens of data collection and regulation. We keep having various surveys and various other forms of data, the collection of which is then cancelled. Can the Minister give us an absolute undertaking that none of the data sets she has talked about will stop being collected between now and the end of this Parliament? If it was written into legislation that this report would have to be produced, it would obviously then be very difficult for the Government to resile from their obligation to collect the data.
Baroness Williams of Trafford
I hope the noble Lord will understand that I do not have telepathy regarding what might happen in various spending reviews et cetera, but as far as I know such data collection exercises will continue. If that is not the case, I will let the House know.
Lord Kennedy of Southwark
My Lords, as this is the last amendment we will discuss today, I put on record my thanks to the noble Baronesses, Lady Williams of Trafford and Lady Evans of Bowes Park, for the courteous way in which they have responded to questions and comments from Members in all parts of the House. They have been helpful, informative and willing to listen. I know that other noble Lords appreciate that, too.
Having said that, I am disappointed that the Minister has not taken up my very good offer to enable the Government to arm themselves with more information to convince us all what a great policy they are putting forward here. I picked a period of three years because, as I said, barring any unknown factors the Government will still be in office then to deliver their review. I am disappointed that they do not want to take up that offer, and therefore want to test the opinion of the House.
Housing Estates
Baroness Williams of Trafford Excerpts(8 years, 3 months ago)
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Baroness Janke
To ask Her Majesty’s Government whether they will provide further information on their proposals for renewal or replacement of failed housing estates, following the announcement by the Prime Minister of £140 million funding; and whether any additional funding will be made available.
The Parliamentary Under-Secretary of State, Department for Communities and Local Government (Baroness Williams of Trafford) (Con)
My Lords, estate regeneration provides a big opportunity to turn around run-down, low-density public sector estates to produce many more new homes and to tackle blight. The funding announced is only part of the package we are working on. An advisory panel, co-chaired by my noble friend Lord Heseltine and my honourable friend Brandon Lewis, will explore how we can help the projects to go forward. The panel will meet for the first time today.
Baroness Janke (LD)
I thank the Minister for her response. I am sure she is aware that, in many parts of the country, the number of households in severe housing need is rapidly rising. Indeed, it is 3,000 in my own city, with the numbers of people sleeping rough having gone up by 41%. Will the noble Baroness tell me when precise, funded proposals will be published, and can she assure us that decent, affordable homes will be provided for those families in the most severe need?
Baroness Williams of Trafford
The noble Baroness underlines the reason why we are doing this estate regeneration. The Government have an ambition to introduce more than 1 million new homes into this country by 2021. The funding that was announced was purely seed funding to attract other forms of funding both in the public and the private sector. In terms of the mix of tenure, that will certainly be in the panel’s minds as it makes its considerations going forward.
Lord Deben (Con)
My Lords, does my noble friend agree that one of the ways to make homes affordable is to ensure that they are energy efficient, so that people do not have to pay too much for their heating? Will she assure the House that these homes will not be built so energy inefficiently that they have to be dealt with again within 20 years? Can she assure the House that energy efficiency will be high on her list of priorities?
Baroness Williams of Trafford
My Lords, I will not be sitting on the panel, but I shall certainly bring that point to my noble friend Lord Heseltine. Of course, my noble friend is absolutely right that, the more energy efficient a house is, the cheaper it is to live in and the cheaper the bills are for the tenants or the owners of it. I will certainly bring that point to my noble friend’s attention.
Lord Low of Dalston
My Lords, does the Minister accept that, when making large-scale policy changes on social housing or in implementing estate regeneration programmes, tenants desperately need access to information, advice and advocacy about their rights and options, on the implications for them and their families? Will she ensure that strategies for supporting housing and social welfare advice, commonly provided by such organisations as Shelter, citizens advice bureaux and law centres, are factored into the funding and effective structures for delivery?
Baroness Williams of Trafford
The noble Lord makes a very important point on the need for those tenants not to feel that this has been imposed on them or that things have been done to them, but that they are very much part of the process that is taking place. I know that that is foremost in the mind of my noble friend Lord Heseltine. It will be a collaborative process with tenants to do the best for them.
Lord Harris of Haringey
The Minister’s right honourable friend the Prime Minister, when he announced this initiative, talked about bulldozing 100 sink estates. Can the noble Baroness tell us how many families will be living in those sink estates and how far the £140 million will go towards providing them with adequate accommodation? Perhaps she can tell us whether she agrees with the Prime Minister’s terminology in describing those homes as being in sink estates.
Baroness Williams of Trafford
My Lords, “sink estate” is terminology that conjures up a picture of an estate that has become run-down, in which people feel less safe to live or, indeed, where the standard of accommodation is not what it should be. The £140 million of funding is seed funding for other types of funding to come in both from the public and the private sector. While that regeneration is being done, I do not expect that the tenants will be living in those houses.
The Lord Bishop of Rochester
My Lords, I speak as one who lived on one of these estates for some 10 years in the 1980s and 1990s at a time when significant public money was invested in that estate. My memory, looking back with the benefit of hindsight, is that we probably gave relatively too much attention to physical investment and not enough to investment in other kinds of infrastructure. Will the Minister assure me that, while attention is given to the physical fabric, whether that is new or renewed, equal attention—maybe even over and above the £140 million, or another £140 million—will be given to such matters as educational, social and economic infrastructure?
Baroness Williams of Trafford
The right reverend Prelate makes a really good point about regeneration being about not just the physical structures that are in place but some of the social structures that are in place to support communities, and other amenities, as he said, such as schools, hospitals and GP surgeries, that so often are not thought about when we think about regeneration.
Lord Kennedy of Southwark (Lab)
My Lords, I declare an interest as a councillor in Lewisham. The Government issued an Estate Regeneration Programme prospectus in 2014 that promised a £150 million fund from 2015-16 onwards, with all the funds being drawn down by March 2019. The PM recently announced a £140 million fund for estate regeneration. Will the Minister confirm that these are not the same funds being announced twice?
Baroness Williams of Trafford
The noble Lord is absolutely right. These are not the same funds being announced twice. The fund that he is referring to was for regeneration projects that had run into difficulty and needed substantial support from government.
Flooding: Cumbria
Baroness Williams of Trafford Excerpts(8 years, 5 months ago)
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Lord Grantchester
To ask Her Majesty’s Government what emergency measures they are considering to support the emergency services and local communities affected by flooding in Cumbria.
The Parliamentary Under-Secretary of State, Department for Communities and Local Government (Baroness Williams of Trafford) (Con)
My Lords, my thoughts—and, I am sure, those of the whole House—are with those affected by these devastating floods. My thanks go to those, including the emergency services, who have worked tirelessly to protect people and properties. DCLG officials have ensured that local responders have had government support throughout. We announced on Monday the activation of the Bellwin scheme, which supports local authorities, including the emergency services, with the costs associated with flooding of this kind, and yesterday we announced council tax discounts and business rate relief. Today we have announced a further £51 million of funding to support the affected areas’ recovery.
Lord Grantchester (Lab)
I am sure all Members of your Lordships’ House will join me in paying tribute to the emergency services for the vital work they have done and will continue to undertake in the days ahead for the communities affected by the severe weather in Cumbria. The Chancellor’s announcement today of £51 million for families and businesses from the Treasury’s emergency reserve fund is good news. When will local authorities be able to draw down on these funds? What will be the criteria for expenditure? Will there be any requirements or restrictions? How will families and businesses be able to access the funds they need?
Baroness Williams of Trafford
My Lords, I suspect it is too early to give that level of detail but, given that this is a crisis and a disaster, I imagine the funding will be available as quickly as possible. Certainly, the Bellwin funding is available as quickly as possible.
Lord Inglewood (Con)
My Lords, I declare an interest as a Cumbrian. Does my noble friend agree that the priority must be, first, to get relief to those who have been so unfortunately, unhappily and disastrously affected and, secondly, to make sure that any additional rain that is threatened does not exacerbate the existing problem?
Baroness Williams of Trafford
My noble friend makes a very valid point and that is precisely what the initial response is designed to do: to make people safe, get them to temporary accommodation and clear some of the devastation that was caused initially.
Lord Clark of Windermere (Lab)
The Minister has quite rightly praised the emergency services but is she aware that there is another emergency service, which has not been recognised, and that is BBC Radio Cumbria? BBC Radio Cumbria went on for 24 hours a day for two full days and without its assistance the county would not have done as well. Will she join me in paying tribute to it? Secondly, while it is too early to make any analysis, will she tell the House whether there is any truth in the assertion that the £4 million scheme for Kendal was delayed by the coalition Government, and will she give the House an assurance that this Government will not delay it any further?
Baroness Williams of Trafford
My Lords, I will join the noble Lord in that. I am sure that Radio Cumbria, just like all the other members of the community, really pulled together over the last few days to help in quite a devastated area. Like every other person who could play their part, I am sure Radio Cumbria has added to mitigating some of the agony of the people who live there. We are looking at a potential scheme to reduce the risk of flooding in Kendal but it is at an early stage of planning. Within the six-year programme, the proposed Kendal scheme is scheduled for 2020-21. We are considering with other funding partners how we can bring this scheme forward to improve protection for 440 properties, at a predicted cost of £3.95 million.
Lord Elton (Con)
My Lords, these flood events are becoming increasingly frequent and all differ in some respect. Can my noble friend tell your Lordships what arrangements exist for the emergency services and local authorities involved in each event to exchange information, so that guidance on best practice and the preparatory arrangements for these events can be made on a national scale?
Baroness Williams of Trafford
My noble friend makes a very important point. The rescue and recovery operations that are in place can be effective only if all the agencies pull together.
Baroness Williams of Trafford
My Lords, I am sure that the right reverend Prelate will appreciate that this is probably a matter for God because every time that we have tried to predict, an even worse event has occurred. I do not make that point lightly. We are constantly reviewing the flood defences and how we can respond.
Devolution: England
Baroness Williams of Trafford Excerpts(8 years, 5 months ago)
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Baroness Janke
To ask Her Majesty’s Government what plans they have for engagement and consultation with the people of England on devolution of powers in England in the light of the devolution settlements in the other countries of the Union.
The Parliamentary Under-Secretary of State, Department for Communities and Local Government (Baroness Williams of Trafford) (Con)
My Lords, devolution of power from Whitehall is about handing power and decision-making responsibilities back to local areas. It is for local partners, not the Government, to decide on the best way to engage their communities and neighbourhoods. We have already seen this happen across the country. From city regions in our northern powerhouse to towns and rural villages in the south, devolution is igniting the spirit of localism in ways that we have not seen for decades.
Baroness Janke (LD)
I am grateful to the Minister for her Answer, but is she aware that much of the discussion between leaders and the Government involves talking about bespoke deals? In the light of the work that has been done on devolution in the other countries of the union, is it not time that the Government engaged with the people of England to find out what they are looking for in terms of devolution and the future of the union as we move towards a much more federal system?
Baroness Williams of Trafford
My Lords, leaders are nominated by their councils and are democratically elected. I do not think that the leader who did not discuss these issues with the members of the council would be leader for very long. These are the democratically elected heads who will then engage with government.
Lord Beecham (Lab)
My Lords, given the votes on the creation of a mayor for London and on devolution to Scotland and Wales, and, at the Government’s behest, a vote in eight councils, only one of which resulted in support for an elected mayor, why have the Government set their face against the electorate having a vote on whether to have elected city mayors in the context of their devolution programme? Is their position by any chance related to the observation by Nick Boles—then, as now, a Minister—that the only chance of the Conservatives regaining Manchester was for the city to have an elected mayor? If not, how do they justify this apparently irreversible imposition?
Baroness Williams of Trafford
My Lords, the thought of Manchester having a Conservative mayor is a great one but, having lived there for some years, I am not sure that it is very likely to happen any time soon. Obviously the referendum some years ago on having a mayor was held under totally different principles from those that we have today, and local authorities can engage with their communities and their electors in any way that they see fit.
Lord Forsyth of Drumlean
My Lords, could my noble friend explain the implications for public services in England and expenditure of the Smith commission proposals for a no-detriment principle?
Baroness Williams of Trafford
My noble friend will not be surprised if I cannot answer that question.
Lord Blunkett (Lab)
Will the Minister discuss with her colleagues the fact that there is no structure whatsoever for any form of accountability or input by the electorate to the northern powerhouse because a framework does not exist to do so; and that, where there are combined authorities, unlike London, there is no assembly or direct democratic input? Without this, the legitimacy of the changes will not be sustained and people will become as mistrustful of what is happening at subregional level as they are of what is happening at national level.
Baroness Williams of Trafford
My Lords, in terms of accountability with government, clear expectations will be laid out in the agreement between combined authority areas that have devolutionary agreements and the Government. This Government have absolutely no intention of revisiting the assembly model. It was made very clear in Greater Manchester that when it agreed to have a mayor, it did not want another layer of government but an eleventh leader.
Lord Shipley (LD)
My Lords, could I remind the Minister of the very low turnout for the police and crime commissioner elections? That resulted in part from very poor public engagement with those elections. Does she fear, like I do, that there will be a similar problem of a lack of consultation and engagement with the electorate when it comes to elected mayors and that there may be a similarly very low turnout, which would not help the new structure?
Baroness Williams of Trafford
My Lords, I refer noble Lords back to the process in London. When we first had an elected mayor in London there was scepticism, to say the least, about how effective the London mayor might be and how popular it might be as a concept. Fast-forward some years from that process, and we find that people are fighting to get that nomination and it has become one of the most sought-after positions in the country.
Lord Morris of Aberavon
My Lords, is it right for a small country such as the United Kingdom to have four nations developing systems of government at different speeds? Do the Government rule out a constitutional convention, rather than allowing piecemeal development?
Baroness Williams of Trafford
My Lords, a constitutional convention is not on the cards at the moment. However, the Government are clear that they will not impose any sort of identikit model on each area. It is up to each area to decide how it wishes to take forward devolution proposals, and to take those forward with government.
Lord Cormack (Con)
My Lords, is my noble friend aware that, as one of those who voted against having a directly elected mayor in London in the referendum, every time I get into my car I wonder whether I was not right?
Lord Harris of Haringey
The noble Lord, Lord Cormack, reminds the House, which the Minister did not, that there was a referendum in London and a two-thirds majority voted in favour of having an elected mayor. That was different from the election of police and crime commissioners, when there was no such referendum. Of course, the date was selected by a shabby deal done inside the coalition with the Liberal Democrats, which meant that we ended up with those elections in November. But why is it not permissible for the new combined authorities to have a referendum on their governance structures and how that process will happen? Surely that would buy in support—as it did in London, for everyone with the exception of the noble Lord, Lord Cormack—for the principle of having a directly elected mayor.
Baroness Williams of Trafford
My Lords, the Conservative Party made explicit in its manifesto its intention to have mayors for large cities which agreed to that. For that reason, the principle was outlined before the election. The people engaging with the Government are themselves elected members.
Caste Discrimination
Baroness Williams of Trafford Excerpts(8 years, 9 months ago)
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Lord Harries of Pentregarth
To ask Her Majesty’s Government when they intend to implement the amendment to Section 9 of the Equality Act 2010 that requires the introduction of secondary legislation to incorporate caste as a protected characteristic.
The Parliamentary Under-Secretary of State, Department for Communities and Local Government (Baroness Williams of Trafford) (Con)
My Lords, this Government completely oppose caste discrimination. Since coming into office, we have been considering the caste duty, particularly in the light of the Tirkey v Chandok employment appeal judgment. That suggests an existing legal remedy for claims of caste-associated discrimination under the ethnic origins element of Section 9 of the Equality Act 2010. We note this potential protection.
Lord Harries of Pentregarth (CB)
I thank the Minister for her reply and I am glad that she mentioned that case because the Employment Appeal Tribunal, as she rightly said, stated that caste-based discrimination may already be unlawful under existing legislation, but not necessarily so. Is it not therefore essential for the sake of legal clarity that the clear will of Parliament be enacted—namely, that caste-based discrimination be included in the Equality Act?
Baroness Williams of Trafford
My Lords, the Employment Appeal Tribunal judge referred to caste in its many forms potentially coming within Section 9 of the Equality Act. This judgment is binding upon employment tribunals.
Lord Cashman (Lab)
My Lords, in 2012, the United Nations Committee on the Elimination of Racial Discrimination in all its forms recommended to the United Kingdom,
“that the Minister responsible in the State party invoke section 9(5)(a) … in order to provide remedies to victims of this form of discrimination. The Committee further requests the State party to inform the Committee of developments on this matter in its next periodic report”.
I have two simple questions. When is the next periodic review and will the Minister comply with these recommendations?
Baroness Williams of Trafford
I can confirm that this Government, elected only a few weeks ago, are actively considering the matter.
Lord Popat (Con)
My Lords, the vast majority of the British Hindu and Sikh community are outraged at this amendment to the Equality Act. Does the Minister agree with the Hindu organisations that implementing this amendment would be a blow to community cohesion in this great country and that the Government should legislate to remove it from the statute book?
Baroness Williams of Trafford
I agree with my noble friend that the issue is divisive. There is a strong lobby both for and against, and the Government are very concerned not to exacerbate the problem. Therefore, the present position, whereby protection from caste discrimination is developing naturally through case law, is very helpful.
Lord Avebury (LD)
Will the Minister tell us how many representations have been made and by which organisations for the repeal of Section 9(5)(a), as demanded by the noble Lord, and why the Government have not agreed to meet persons or organisations that support Section 9(5)(a), which includes the whole of the Dalit community in this country?
Baroness Williams of Trafford
My Lords, I do not have exact figures and names to hand but I am very happy to write to the noble Lord with them.
Lord Desai (Lab)
My Lords, is not the problem that the majority Hindu and Sikh organisations are responsible for discrimination of the minority in their own ethnic origin community? I do not think that one should quietly concede the majority’s view in this respect.
Baroness Williams of Trafford
I agree with the noble Lord that this can be a problem within communities of that nature, and is not generally something that is within the British culture.
Baroness Flather (CB)
My Lords, the Hindu community says that there is no caste discrimination in this country and therefore we do not need this subsection. Fine—but if that is the case, why is it fighting so hard against it? If there is no discrimination, then there is no discrimination. If this becomes law—as it should, and the sooner the better—there will be no prosecutions, nothing will happen and it will die out. But because they are fighting so hard, it leads me to believe that there is discrimination.
Baroness Williams of Trafford
My Lords, cases of this nature are very few and far between. As I said, the Government are actively considering the matter.
Lord Stevenson of Balmacara (Lab)
My Lords, the last Government passed a Bill that required the present Government to act, and they have failed to do so. We understand that there is evolving case law, but it does not fully satisfy those who feel that the law must be respected. The Government may be new, but are they really changing the rules so that we will be governed by what they think might be a helpful way forward?
Baroness Williams of Trafford
My Lords, it would not be appropriate for me to speculate on discussions within government. I do not want to comment on or rule out any course of action. As I have said a couple of times now, the Government are considering the present position.
Lord Lester of Herne Hill
Will the Minister explain how her replies are compatible with parliamentary supremacy, given that Parliament decided to insert the duty into the statute? Will she also explain how it is compatible with legal certainty, given that the only way one could do it through case law would be by going to the Supreme Court, at a cost of many hundreds of thousands of pounds, when Parliament has decided that it should be done by us by statute?
Baroness Williams of Trafford
My Lords, I repeat once again that the Government will be actively considering this, and will take their view in due course.
Lord Singh of Wimbledon (CB)
My Lords, it has been said, I think misleadingly, that Hindu and Sikh organisations are against this legislation outlawing caste discrimination. Can the Minister note that the whole Sikh community and the whole thrust of Sikh teachings are totally against the notion of caste?
Baroness Symons of Vernham Dean (Lab)
My Lords, will the Minister please write to my noble friend who raised the question of the periodic review and let him, and indeed others who are interested, know when it will take place?
Baroness Royall of Blaisdon (Lab)
My Lords, the last Government agreed to conduct a feasibility study into if and how it might be possible to estimate the extent of caste-based discrimination in Britain. The research was concluded in November 2014, I understand, but the report has not yet been published. When is the report likely to be published, and why has there been such a delay?
Baroness Williams of Trafford
My Lords, the case law provides potential protection for someone wishing to claim caste discrimination, which is what all sides of this House wanted during earlier debates. We need to consider carefully whether putting the word “caste” into the Act would actually change or clarify the legal position.
Housing Associations: Right to Buy
Baroness Williams of Trafford Excerpts(8 years, 11 months ago)
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The Parliamentary Under-Secretary of State, Department for Communities and Local Government (Baroness Williams of Trafford) (Con)
My Lords, Ministers and senior officials in my department already engage with the housing association sector, local authorities and other key stakeholders, as they do on a continuous basis in relation to key policy issues.
Baroness Gardner of Parkes (Con)
Is the Minister aware of the very difficult position of some of those who bought their council flats in the early days, about 30 years ago, for about £10,000 and now find themselves as leaseholders with no income but a small—well, it is not that small—state pension? They now receive bills for more than £12,000 as part of their contribution towards the block. I understand that there are 24 such cases in one estate. How widespread is this situation, and what do the Government intend to do to avoid a similar situation arising if housing-association properties are sold in the same way?
Baroness Williams of Trafford
My Lords, I recognise the problem that my noble friend talks about. Recognising the challenges that these leaseholders face, my department introduced a new law in August 2014 that caps the amount that councils can charge leaseholders for repairs to their home. This is called “Flo’s law”. It limits the amount that can be claimed by councils from local-authority leaseholders in a five-year period to £10,000 outside London and £15,000 inside London for government-funded works.
Baroness Hollis of Heigham (Lab)
My Lords, I declare an interest as chair of Broadland Housing Association. Housing associations are mostly charities. As the chair of Peabody said:
“Peabody’s assets belong to us. They are not the government’s to sell”.
Does the Minister not agree that the forced sale of charitable assets at knock-down prices damages the housing chances of those desperate and on the waiting list, damages rural communities, damages the stability of housing finance and damages the very concept of a charity, what it does and why it even exists?
Baroness Williams of Trafford
My Lords, this is not about seizing the assets of housing associations. The right to acquire currently operates on the basis that receipts from homes sold enable housing associations to reinvest in new affordable housing.
Lord Best (CB)
My Lords, in carrying out the consultation that she has mentioned, would the Minister include the Institute for Fiscal Studies, along with commentators in the Economist, the Telegraph, the Times and the Financial Times, which have all pointed out the very grave consequences if this unfortunate policy is pursued?
Baroness Williams of Trafford
My Lords, the Government, and in particular my honourable friend in the other place, the Minister, Brandon Lewis, are already leading the engagement with the sector on our housing commitments, as set out in our manifesto, and are happy to meet Members of this House and others.
Lord Shipley (LD)
My Lords, what guarantee will the Government give that they will replace houses sold on a one-for-one basis, given that, in the previous sale of council houses, only one house has been built for every 10 sold?
Baroness Williams of Trafford
My Lords, the Government can go on their record on this, which is that under the coalition Government more council homes were built than in the previous 13 years. Also, if the new revitalised scheme does not yield that one-for-one replacement within a three-year period—the one-in-10 figure is actually quite misleading, because we are only at the end of the first three-year period of the first council home sold—the HCA will take on those properties and sell them.
Lord Cormack (Con)
My Lords, how are we going to increase the supply of affordable housing, which is desperately needed, by selling some of the most affordable houses at very great discounts?
Baroness Williams of Trafford
My Lords, when affordable houses are sold, the discount to date is then refunded back to the housing association by the Government. As for replacing affordable with affordable, that capital receipt allows a new similar home to be built.
Lord Richard (Lab)
My Lords, the Minister said that the Government are already consulting housing associations on this policy. Has she found any housing association that approves of it?
Baroness Williams of Trafford
My Lords, I have said that the Minister in the other place, Brandon Lewis, is engaging with the sector. I have not had any personal engagement with the sector, but I am very happy to report back.
The Lord Bishop of Rochester
My Lords, I am grateful to the Minister for confirming that intention to consult the sector. Is she able to offer any indication of how Her Majesty’s Government propose to implement this right to buy in relation to housing-association properties in small and rural communities, where such housing is often built on rural exception sites defined in the National Planning Policy Framework as intended,
“for affordable housing in perpetuity”?
Baroness Williams of Trafford
The right reverend Prelate is absolutely correct when he says that rural communities are different. The development of that particular policy is ongoing, and details will be set out in due course.
Lord Spicer
How many empty dwellings are there these days? When I was Minister for Housing, there used to be one million. Should not some of those be sold off, if appropriate?
Baroness Williams of Trafford
My Lords, we have significantly dealt with the issue of empty properties. I shall get my noble friend the exact figures on the number of empty properties that have been brought back into use, but I can confirm to him that it is significant.
Baroness Howarth of Breckland (CB)
My Lords, many of the houses developed through specialist housing associations have very expensive adaptations, many of them paid for by charitable donations and donors. Does the Minister not think that this is an area where there might be some protection to ensure that these houses move on to other severely disabled people when they are vacated?
Baroness Williams of Trafford
My Lords, I am sure the intention in this area will be set out in due course.
EU Council
Baroness Williams of Trafford Excerpts(9 years, 2 months ago)
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Baroness Ludford (LD)
My Lords, the Statement repeated by my noble friend the Leader put a welcome emphasis on European co-operation against terrorism. Is she as glad as I am that the two-year campaign waged by some to pull the UK out of the European measures and institutions that she mentioned, including Europol and Eurojust, did not succeed? That would look entirely ridiculous in the current circumstances.
The passenger name record—PNR—directive is of course a matter of dialogue between the Council and the Parliament. But are the UK and the rest of the Council committed to progressing updated data protection measures for law enforcement access to PNR and other data simultaneously with the PNR directive and expansion of data collection? Certainly in my time that was emphasised by the European Parliament; it is the proposed directive on law enforcement access.
On Ukraine, my noble friend mentioned, slightly obliquely, the need for EU solidarity and the possible challenges involved. Can she assure us that some very candid words are being spoken to that minority of EU member states that appear to be undermining EU solidarity in respect of Putin’s aggression, including the hosting last week by Viktor Orban of a visit from President Putin? Given that Orban is in the same political family as Chancellor Merkel and European Commission President Mr Juncker, is this not the right context for some full and frank exchanges with Budapest and other capitals?
Finally, on the European economy, can the UK act as a bridge—
Baroness Williams of Trafford (Con)
My Lords, I draw noble Lords’ attention to the Companion, which states that questions following a Statement should be brief and not the occasion for debate.
Baroness Stowell of Beeston
In that case, it is probably right for me to respond to the points made by my noble friend.
On Ukraine, it is essential that we in Europe are united in our demands of Russia and our support for Ukraine in having a secure future for its people. That is what we are seeking to achieve and we are applying pressure on others. Although there may not have been as much enthusiasm in the past for sanctions when this approach was first adopted, it is clear now that because the sanctions are having a real effect and because we need to judge Putin on his actions and not his words, the sanctions regime must remain in place and if necessary be strengthened further. That is what my right honourable friend will ensure.