(8 years, 4 months ago)
Lords ChamberMy Lords, government Amendments 127 and 128 ensure that the affirmative procedure will continue to apply to statutory instruments creating urban development corporations and urban development areas as recommended by the DPRRC.
The amendments at the same time ensure that the affirmative orders establishing a UDC and a UDA should be expressly not hybrid. We do not consider that a right to petition, which can significantly delay the creation of the UDC and the UDA, should be retained in light of the new statutory consultation requirement which this Bill introduces. Consultation provides a better and more accessible way for interested parties to express their views at an earlier stage in the process.
Non-government Amendment 128ZA would introduce the same process for establishing new town development corporations and areas as will apply under the provisions of this Bill to UDCs and UDAs. Non-government Amendment 128ZB would ensure that new town development corporations took into account the need for sustainable development and good design in pursuing their objectives. I am grateful to the noble Lords, Lord Taylor and Lord Best, for tabling these amendments.
When the noble Lords tabled similar amendments to Amendment 128ZA in Committee, my noble friend Lady Evans welcomed them as introducing a modernised process for establishing new town development corporations and areas. That modernised process will facilitate the role they can play in creating new, locally led garden villages and towns.
Similarly, Amendment 128ZB makes it clear that sustainable development and good design must be at heart of what new town development corporations do. My noble friend Lady Evans indicated in Committee the Government’s receptiveness to extending the objectives of new town development corporations in this way. I am accordingly pleased to accept Amendments 128ZA and 128ZB as tabled and urge the House to accept government Amendments 127 and 128.
My Lords, I thank the Minister for her kind comments and draw attention to my registered interests.
I have pressed on this issue for a number of years and I am delighted that the proposal has positive cross-party support. It will make a real difference. The principle is fundamentally clear. At the moment, local authorities in rural areas have the option, in effect, of either brownfield development within previously developed areas, which is a good thing, or the opportunity to extend existing villages and towns sequentially by a series of developments to meet housing needs. That can be a good thing but often it is deeply unpopular because it builds on the very places that people most value.
By going down the route of allowing local authorities the option of using the New Towns Act to acquire land to create new settlements to meet local needs—going through a local process and with local support—it gives an opportunity to create great places without treading so hard on the toes of those who live in wonderful historic communities. Many of these, frankly, are at breaking point. They have problems with traffic congestion, getting children into schools and meeting service needs.
Local authorities will be able to do this in a way that allows the owners of the land to be properly compensated and to do well out of it. None the less, it allows, through the capture of land value, for these places to be well served with schools, shops, GP surgeries, parks, sports facilities and all the other things that make a great place while at the same time making housing available at much lower cost. This is because we can make land available to small builders, self-builders and housing associations for starter homes. A whole range of needs often are not met at the moment because land values are so high or land is not available; or great places are not delivered because the person who owned the land took the money and the taxpayer was left scrabbling to provide the schools, the shops and the GP and other services that are needed.
It is an extra tool in the box. We can plan for the housing which we agree across the House is needed. It is not the only solution but it changes the opportunities available to local communities and local government. It will be hugely welcomed. I have spoken to a wide range of organisations, from the National Association of Local Councils, of which I am president, to CPRE, to the country landowners, to many of the major housebuilders, to local government bodies and to many of the local councils that have pioneered this kind of approach. It has universal support.
This is an important change. I greatly thank the Minister, her colleagues and the other parties for the support that they have given to it. I particularly thank my colleague, the noble Lord, Lord Best, who has helped me bring this to the House.
I thank noble Lords and in particular the noble Lord, Lord Taylor, for speaking on behalf of the noble Lord, Lord Lucas, another noble Lord whom we wish well, because they seem to be dropping like flies today—I do not know whether it is the housing Bill or something in the air. I support the key principle in the amendment proposed by my noble friend Lord Lucas and nobly articulated by both noble Lords that local planning authorities should have a greater role in tailoring the planning system to their local circumstances. This includes potentially having the power to suggest an alternative approach, as set out by the amendment.
I am sure the noble Lord would concede that, as drafted, there are some difficulties with his amendment. It is too broad, and it certainly does not provide the necessary reassurances of certain aspects of planning, such as the right to appeal, which must be retained to provide fairness for applicants. In addition, it does not provide a legal vehicle to support the transfer of the planning freedoms, which would lead to some practical difficulties. These concerns accepted, I applaud my noble Friend in his absence for the inventive approach his amendment proposes, and the noble Lord, Lord Taylor, for articulating it.
The Government are committed to driving up housing supply. I am sure that noble Lords know our ambitions. I think the House will agree that any agreement by the Secretary of State to an alternative planning system in a local area should happen only if that alternative system would deliver additional homes. I want that link to be explicit in any legislation.
I reassure both noble Lords that we are already making strong moves in this area. The Government are exploring a deal-based approach where a local authority requests certain planning freedoms in exchange for delivering housing numbers greater than their objectively assessed housing need. This includes instances where those housing numbers might be delivered by a large site such as a garden village or garden suburb.
I have listened to the thoughtful contributions from noble Lords, and I would like to consider how we can best take forward the key principle of the amendment of my noble Friend, Lord Lucas, particularly in light of the recent publication of the report of the local plans expert group and the consideration of responses to the Government’s recent consultation on the NPPF. I hope this explanation reassures the noble Lord, Lord Taylor, and that he is happy to withdraw the amendment.
I thank the Minister for her very positive response. I would have spoken to this amendment whether or not the noble Lord, Lord Lucas, was here. She mentioned some of the proposals, not least on garden villages, which is an approach that I have advocated. I resisted mentioning it myself at this late hour, but there will be other amendments where I may return to that issue, as this is a good example of where that might happen. I am delighted that she has indicated that she will look at this.
I agree with the reservations. I think the noble Lord, Lord Lucas, would have done so as well. The amendment was intended to allow this debate to take place. With the permission of the Committee, I would like to withdraw it.
Will the Minister reflect further with her colleagues on the contradiction in what she has just said? She spoke about neighbourhood plans and local communities setting the tenure, but the housing associations would make a decision on the sale without any reference back to the community. The engagement between the housing association and the community is important in that circumstance.
My Lords, maybe I did not articulate it properly. The engagement between housing associations and councils with neighbourhood and local plans adds to the mix of a happy community or one that feels imposed upon. Local housing associations are very good at knowing what their communities want and what future tenures will look like.
The noble Lord, Lord Best, asked me about the Government intending to reverse the ONS classification decision. The deregulatory measures in the Bill are designed to address the reclassification of housing associations by the ONS. The Government would like the ONS to review its assessment, in due course, in the light of the effect of these measures, but it is independent and we cannot tell it what to say.
Amendment 56A, from the noble Lord, Lord Tope, and the noble Baroness, Lady Bakewell of Hardington Mandeville, would put an exemption in the Bill, but housing associations already have the discretion not to sell under the terms of the voluntary agreement—in the case of properties owned by community land trusts. This Government very much support community-led housing and we recognise the significant role that community land trusts can play in delivering locally led, innovative housing development, an issue we touched on at Second Reading. I fully appreciate that many noble Lords think that as well, but I find these amendments slightly odd. Surely, the way to protect community land trusts is to give them the freedom to manage their affairs in the way they think best for the community, rather than creating centrally driven regulations that will control the way they operate.
Under the voluntary agreement, community land trusts will be able to offer tenants access to affordable home ownership through a right-to-buy discount, the cost of which would be paid by government. This frees up capital which the trusts can reinvest, should they wish, as part of their significant contribution to the development and management of new affordable homes. I stress again: if they do not want to sell individual properties they do not have to, as my noble friend Lord Young said.
These amendments would take away the freedom of community land trusts to realise capital to reinvest, with full compensation from government for the shortfall, and the freedom to decide which properties could be sold. As with Amendment 57C, I do not believe that this would protect community land trusts. Rather, it would fetter their discretion and inhibit innovation and investment.
I thank the noble Lords, Lord Kennedy of Southwark and Lord Beecham, for their Amendment 59B on tenant management organisations and community-led housing schemes. The Government very much support community-led housing and recognise the important role that TMOs play in helping tenants to take an active part in the management of their home. The proposed new clause in Amendment 59B would mean that housing associations could not implement the voluntary right-to-buy agreement where TMOs have been set up and registered with the HCA. It would also prevent such organisations accepting payments made by the Secretary of State in respect of right-to-buy discounts. To be absolutely clear, tenant management organisations are not registered providers; they are management organisations which are subsidiaries of a registered provider. They are not, and cannot be, registered with the HCA, because they cannot own stock and are therefore not landlords. No grant funding to cover the cost of the discount will be made to such organisations under the voluntary right to buy.
My concern is that these amendments would, in effect, create a loophole in the implementation of the voluntary right to buy, whereby the setting up of a TMO would mean the voluntary right to buy could not operate. That may be what is intended but, if so, it will hinder the Government in delivering their manifesto commitment. Our aim is to ensure that social tenants can access available home ownership opportunities regardless of their landlord. It would be wholly unfair to tenants who want to take the opportunity to buy a home of their own to be prevented from doing so merely by the existence of a TMO.
Amendment 56B in the name of the noble Lord, Lord Berkeley, would exclude housing on the Isles of Scilly. I have been to the Isles of Scilly, very beautiful place that it is, and I understand the concerns about the loss of social housing on a small group of islands. But I have been clear in our discussion over similar concerns in rural areas that housing associations will have the discretion not to sell. They will be able to make this decision based on their knowledge and understanding of the needs of the local community. We want equality of opportunity for social tenants; it should not be denied to them just because they live on the Isles of Scilly.
Amendments 57A, 57B and 57D would require receipts from the proceeds of sales to be reinvested in the same area as the property being sold. We believe that these decisions are best taken by housing associations in light of local conditions and need. By seeking to constrain their discretion from Whitehall, we are limiting their ability to manage their assets to deliver their business and their charitable objectives.
Amendment 60A in the name of the noble Baroness, Lady Grender, would introduce a community right of appeal where there was local opposition to a sale under the voluntary right to buy. I cannot accept this amendment; housing associations know the needs of their local community and we believe that they will act in their best interest. As set out in the voluntary agreement, they will have discretion over whether to sell a property.
I thank all noble Lords who have taken part in this debate. I know that the noble Baroness, Lady Hollis, wants to come in, but I hope that with these assurances the noble Lord will feel able to withdraw the amendment.