256 Earl Attlee debates involving the Department for Transport

Asylum Seekers

Earl Attlee Excerpts
Tuesday 11th October 2011

(12 years, 8 months ago)

Lords Chamber
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Baroness Bakewell Portrait Baroness Bakewell
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To ask Her Majesty’s Government, in the light of the number of asylum decisions overturned on appeal, in particular among female asylum seekers, what steps they are taking to ensure that women fleeing gender-based persecution receive fair asylum decisions.

Earl Attlee Portrait Earl Attlee
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My Lords, the Government recognise that women can face particular forms of persecution that are quite often different from those faced by men, and are committed to ensuring that women’s claims for asylum are dealt with as fairly and sensitively as possible. The UK Border Agency is working closely with a range of key corporate partners in developing improvements to the asylum system. This will increase gender awareness throughout the asylum process.

Baroness Bakewell Portrait Baroness Bakewell
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I thank the Minister for his reply, and for implying that there is still space for improvement. Perhaps he knows the case of the playwright Lydia Besong, who sought asylum here in 2006 having been imprisoned and raped in Cameroon for being a member of the Southern Cameroons National Council. She has been refused asylum and is under threat of removal. Does the Minister agree that women such as Lydia—and there are several—who suffer gender-related persecution should be protected rather than sent back to face further risk, and that early access to legal representation for appeal would reduce the costs of the asylum process?

Earl Attlee Portrait Earl Attlee
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My Lords, Miss Besong is a failed asylum seeker, having had her appeal and further submissions dismissed by the courts, not by UKBA. She became appeal rights exhausted this year and therefore subject to enforced removal action if she refuses to leave the UK voluntarily. On the noble Baroness’s second point, about leaving it to appeal, it is open to legal and other advisers to introduce new evidence to the UKBA at any point between the original decision and the appeal hearing. Asylum could then be granted before the appeal is heard. It is not clear to me why this does not happen more often.

Lord Avebury Portrait Lord Avebury
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Does the noble Lord accept that at the asylum stakeholders’ meeting on 4 August the UKBA said that it had not released any victim of gender-based violence from the detained fast-track and did not consider it a reason for releasing a person? Is this not a breach of the undertaking that was given to the High Commissioner for Human Rights at the Council of Europe that:

“Particularly vulnerable applicants including … victims of trafficking or sexual violence … are not dealt with within the DFT process as a matter of policy”?

Does my noble friend accept that as the success rate of appeals by women against refusal of asylum is running at 50 per cent, it is clear that the improvements in procedures for dealing with gender-based violence in the criminal justice system have not read across to the UKBA?

Earl Attlee Portrait Earl Attlee
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My Lords, I think I have already explained why there can be very good reasons for the overturn rate at appeal. As regards the noble Lord’s question about detained fast-track, I am confident that legal protections for the detainee must be in place, but I shall write to the noble Lord on that point.

Lord Martin of Springburn Portrait Lord Martin of Springburn
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My Lords, there were more asylum seekers in my previous constituency of Glasgow North East than in any other part of Scotland, with 90 per cent of the cases at my surgery being asylum seekers. They were made most welcome by some of the poorest communities in the United Kingdom, but should there not always be monitoring in these communities to ensure that enough resources are going in to help where there is strain on local health services, schools and housing departments?

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Earl Attlee Portrait Earl Attlee
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My Lords, the noble Lord makes an important point about the need for care. One reason why you see concentrations of certain nationalities in certain places is that communities tend to become established, and it is natural for asylum seekers to go and join their own community in the UK.

Baroness Kennedy of Shaws Portrait Baroness Kennedy of The Shaws
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My Lords, perhaps I may return to the issue of gender. The running rate of 50 per cent of women succeeding in appeals, which is almost double that of men, is suggestive that there is poor decision-making and a culture of disbelief at the first instance in relation to women. Is that therefore not a signal, first, that there is poor training and, secondly, that there should be legal representation when the women are first interrogated and questioned because they are having to deal with sensitive matters such as sexual violence?

Earl Attlee Portrait Earl Attlee
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My Lords, I largely agree with the noble Baroness. The problem is that the matters that the applicant has to explain to the UKBA officers are extremely sensitive and the applicant has not yet acquired confidence in the machinery of our state because the machinery of their home state has totally failed.

Baroness Kennedy of Shaws Portrait Baroness Kennedy of The Shaws
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Should there not be lawyers present?

Baroness King of Bow Portrait Baroness King of Bow
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My Lords, following on from the noble Baroness’s point, is the Minister aware of Asylum Aid research which stated that there was a “striking failure” of understanding what was happening to these women on the part of those making the decisions? Would the Minister be prepared to meet me and other interested Peers to discuss how the UKBA training could be improved? Women deserve better than they are currently getting.

Earl Attlee Portrait Earl Attlee
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My Lords, I entirely agree that women deserve better, and we are working at improving our performance. We are not saying that we are perfect but often new evidence is introduced at a later stage when the applicant becomes more confident or has better legal advice. I shall of course be delighted to have a meeting with all noble Lords who are interested in this matter and I shall take steps to make sure that that happens.

Localism Bill

Earl Attlee Excerpts
Monday 10th October 2011

(12 years, 8 months ago)

Lords Chamber
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Lord Kennedy of Southwark Portrait Lord Kennedy of Southwark
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As far as it goes, I support the amendment moved by the noble Baroness, Lady Gardner of Parkes. Pedicabs, and the way in which they operate, can be a nuisance, and it is only by licensing them that we can get some control over them. It would therefore be good if local authorities could establish local by-laws for the licensing of pedicabs in their area. If people are going to travel in them, we should make sure that they are roadworthy, that there is proper insurance cover for passengers, that there are rules about where they can stand when waiting for business, that the people peddling them comply with traffic legislation and that, where breaches occur, there is provision to get them off the road.

I accept that at present they seem to operate only in central London, so Westminster council faces the biggest problem. However, like my noble friend Lord Berkeley, I would have preferred to see London-wide licensing of pedicabs. They will no doubt move elsewhere, with Camden, Islington, Kensington and Chelsea, Southwark and Lambeth all likely to have them in parts of their boroughs. By-laws that differ from borough to borough just risk confusion and it would be better to have a London-wide option. However, as I said, the Opposition support the thrust of the amendment and I hope that the Government can indicate what they will do to deal with this problem.

Earl Attlee Portrait Earl Attlee
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My Lords, I can understand why my noble friend Lady Gardner of Parkes has moved this amendment. She has explained the problem and other noble Lords have made sensible and balanced contributions. However, Transport for London and ultimately the mayor are responsible for pedicabs in London. The Government take the view that issues surrounding pedicabs in London should be dealt with at a local level, which this amendment would provide for. After all, this issue only really affects London. However, the mayor, Transport for London and the London local authorities are already taking the initiative to address the matter with straightforward measures that avoid the trap of overregulation. Noble Lords will be aware that Westminster City Council is currently working up a voluntary—

Lord Berkeley Portrait Lord Berkeley
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I am sorry to interrupt the Minister but I believe that they operate in Oxford, and there is a similar problem there. But I do not know what the solution is.

Earl Attlee Portrait Earl Attlee
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My Lords, I skilfully avoided saying that this problem was unique to London, because I thought this issue might arise, and I might get challenged by someone like the noble Lord.

Westminster City Council is currently working up a voluntary registration scheme for pedicabs, with registration being incentivised by providing parking bays and pedicab ranks for members. Those operators and riders subscribing to the scheme will sign up to a code of practice, and the noble Lord, Lord Berkeley, has already alluded to these developments. This registration scheme would then tie in with the provisions relating to the enforcement of road traffic offences in relation to pedicabs, which are included in the London Local Authorities and Transport for London (No. 2) Bill, currently before Parliament. Effective implementation of the provisions in the Bill relies on a system of licensing or registration being in place. The relevant clause could not come into force until a registration scheme for owners and riders has been approved by the Mayor of London.

Baroness Gardner of Parkes Portrait Baroness Gardner of Parkes
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I thank the noble Earl and the noble Lords who have contributed to the debate. It has been much wider and more interesting than I had expected. However it is an issue, and I would like to respond on a couple of points.

The noble Lord, Lord Berkeley said that it should apply to the whole of London. I draw attention to the fact that traffic varies tremendously in London. For example, on the subject of disabled parking, the blue badge scheme does not apply in any of the three central London boroughs. You have to have a blue badge and a local badge as well to take full advantage of disabled parking. If you have a blue badge, there are blue-badge places you can use, but you cannot use any other parking places. Each of the three central London boroughs said it would make it impossible for them, because they would be flooded by people coming from outside the boroughs. So this is a long-standing arrangement just for central London.

I do not agree with the noble Lord that you need to have licensing for pedicabs out in Havering, for example, which I represented at one time. I do not believe there are any pedicabs running around Havering. I think they are a fun thing in central London. However my concern is not the fun element, which I agree with my noble friend Lord Jenkin, is absolutely wonderful. In Bangkok it was great fun to travel around in them. However it is not a fun element if you are at risk of being injured due to their ignoring road behaviour. That is what worries me.

This is an issue that needs to be tackled. I accept that it might be better tackled somewhere else and in some other way. Perhaps LRT could deal with it selectively, but it has to be done selectively, because many boroughs will have no problem at all. If—as the noble Lord, Lord Berkeley has said—Oxford already has pedicabs then there are other places which need this issue to be addressed now. But again, the areas will need to be limited.

I have listened to the debate and I think it is valuable to have it on record for when this issue comes up again as it surely will in some other capacity. Meanwhile I beg leave to withdraw the amendment.

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Moved by
195ZAA: Clause 31, page 29, line 22, leave out subsections (1) to (5) and insert—
“(1) A Minister of the Crown may, in accordance with the provisions of this Part, require public authorities to make payments of amounts determined by a Minister of the Crown in respect of an EU financial sanction to which this Part applies.
(2) A requirement to make a payment under this Part—
(a) may only be imposed on a public authority if— (i) the authority has been designated under section (Designation of public authorities); and(ii) the EU financial sanction concerned is one to which the designation applies; and(b) must be imposed by a notice given to the authority under section 33 (referred to in this Part as a final notice).”
Earl Attlee Portrait Earl Attlee
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My Lords, I shall speak to a necessarily long list of amendments, starting with Amendment 195ZAA. The amendments deal with EU fines. I thank noble Lords for the constructive suggestions made during and since Committee. As a direct result, I am able to move some substantial amendments and therefore intend to take a little time explaining them.

To start, it would be helpful to reaffirm the basic principles here: this is about encouraging authorities not to incur fines for the UK in the first place. In the unprecedented circumstance that the UK is fined in relation to an infraction, it is about achieving compliance quickly, using a process which is fair, proportionate, reasonable and holds no surprises. We do not want to pay escalating fines to Europe. We have never incurred fines regarding an infraction and do not see these provisions as a prelude to being more relaxed about infraction proceedings or fines.

All this is reflected in the policy statement of the Local Government Group, which has been placed in the House Library and updates the one previously put forward by the Greater London Authority. I strongly welcome the statement, which is very helpful. I thank both the Local Government Group and the Greater London Authority for working with us so closely on this, and for their help and support. This paper will form the basis of a government policy statement on which we will consult more fully in due course.

The noble Lords, Lord Tope and Lord McKenzie of Luton, each provided convincing proposals on designation in Committee. I have combined these and taken them further so that the Minister would need to designate each authority by order, using the affirmative procedure and specifying the infraction case and related activities of the authority, before the Localism Bill’s provisions could be used. The activities described must take place after the order comes into force and will relate to the authority’s functions and obligations.

This means that authorities can be designated only for something which is their responsibility. Only actions or failures to act following designation would be taken into account when deciding whether to pass on a fine, and only in relation to the specific infraction case. The designation order would cease to have effect when the infraction case was closed. This responds to concerns on retrospectivity raised previously and highlighted in Committee by my noble friend Lord Newton of Braintree. It puts in place a mechanism which will give authorities an early opportunity to put things right, to solve the problem, before any fine. It also means that this House and the other place will have the ability to test the rationale for the proposed designation in debate. If this does not provide sufficient incentive, and in the unprecedented circumstance that the UK is fined for failing to comply with EU law, we will establish an independent advisory panel before seeking to recover any fines.

I am grateful to my noble friend Lady Gardner of Parkes and the noble Lord, Lord Best, for suggesting how an independent advisory panel could provide sufficient checks and balances to ensure that the Minister could not act, at the same time, as prosecutor, judge, jury and co-defendant on these matters. As I made clear in Committee, we remain committed to the principles of transparency, fairness, reasonableness and proportionality. This amendment will enhance all these qualities.

Such a panel would be formed at the point of need, with relevant legal, topical and sectoral expertise for the specific case. The Minister would consult the panel on the procedure and timetable. The panel would receive representations directly from the Minister and from the authorities involved. It would carry out fact-finding and make published recommendations to the Minister, including on the fair apportionment of culpability.

I remain strongly of the opinion that decision-making should remain with the Minister as an elected member of the Government with responsibility to make such decisions on resources. Any Minister acting against recommendations would need strong reasons for doing so should there be a subsequent judicial review.

The amendments on the process reflect the new role of an independent panel and will enable the authority better to plan its finances by covering all possible payments up front: lump-sum, accrued and ongoing periodic fines. This transparency could be a big help, allowing the authority to weigh the costs of fines against the costs of speedy compliance.

Any ongoing liability to pay towards a fine from the EU would end at the point where the authority demonstrated that it had taken all reasonable steps to comply. There is also provision for liability to be reduced—but not increased—if there is a change of circumstances.

We are extending the provisions to cover reserved matters in devolved areas. I am grateful to the noble Lords, Lord Wigley and Lord Empey, who spoke on this, with others, in Committee. I can confirm to the House that the extension of the provisions to cover reserved matters, without prejudicing the performance of any devolved functions, has the full agreement of all the devolved Administrations. On the request of the Welsh Government, we are also providing a mirror power for Welsh Ministers to pass on EU fines to responsible public authorities exercising devolved functions in Wales. This replicates the UK provisions in their entirety, including designation by order.

The rest of my amendments make changes to ensure that the clauses as a whole work together.

Finally, I should like to respond to the amendment proposed by the noble Lord, Lord Berkeley—in advance of him moving it—which would ensure that the Government could not designate any rail or inland waterway provider. I agree that we should not penalise companies for their private services and functions, but where a company is performing a public function, and only for that public function, it needs to be encouraged to comply with EU law in order to avoid significant fines being picked up by the British taxpayer. Where a private company has responsibility under statute to carry out public functions, the default position would be to use any existing regulatory framework to resolve the issue. A Minister would seek to designate a private company only if it was carrying out a public function, if it had caused or contributed to an active infraction case, and if any regulatory body had not been able effectively to incentivise compliance. This would of course be tested by this House and the other place should a Minister seek to designate in such circumstances.

I hope that this demonstrates that I have taken on board the points raised in Committee, and that these provisions are stronger and better as a result. With these amendments there is a very clear emphasis on incentivising avoidance of fines. We are radically devolving power, but that needs to go hand in hand with responsibility. Therefore, I strongly believe that these provisions will help to protect UK taxpayers. I beg to move the government amendment, and hope that the noble Lord, Lord Berkeley, will be willing to withdraw his amendments at the appropriate point after he has spoken to them.

Lord Tope Portrait Lord Tope
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My Lords, as I think I was the first to complain about the original provisions of the Bill when we considered it in Committee, it is only right that I should now be the first to rise to congratulate the Minister on what he has achieved since we were in Committee. I said at that time, with great regret, that the first that local government knew of the Government’s intentions on EU fines was when they read it in the Bill, which was most unsatisfactory. That is not the responsibility of the noble Earl, Lord Attlee, at all. His responsibility is the leadership that he has shown since that time in retrieving this situation. None of us would have wished to start from there, but that is where we found ourselves. The noble Earl has worked tirelessly since that time to achieve a compromise that is fully and wholly accepted by the Local Government Group, the Greater London Authority and, as far as I am aware, all others involved in this. It is still their position that it would be better if this were not in the Bill at all, but that is not too surprising—most people would rather not have provisions to fine them in legislation. Given that it is the Government’s intention, for the reasons given, that this will be in the Bill when it is enacted, then—thanks to the noble Earl and, as I think he would be the first to acknowledge, thanks to his officials—we have achieved a satisfactory outcome.

The only point that I would like to add is to welcome—as I also said in Committee—the statement of policy. It is a very good intention that the Government will discuss with local government those areas of concern in upcoming proposed EU legislation that has a significant effect upon local government. That is a very welcome good intention but I want to be sure that it happens. I have no doubt whatever that, as far as the noble Earl’s department is concerned, that has always been the case. I have been for many years a member of the Local Government Association’s European and international board and its predecessor’s bodies, right back to the days of the Local Government International Bureau. For some time in the early days of the new Labour Government we had regular meetings not only with CLG but also with the FCO and the Europe Minister to discuss issues of concern. They fell into abeyance some years ago and do not happen any longer. My plea to the noble Earl, and through him to the Government, is to ensure that this very welcome statement of policy does not just remain a statement of good intent but is actually put into practice. I am sure that this sort of meaningful dialogue between representatives of local government and representatives of central Government—not just CLG but also the FCO and other departments dealing with these issues, as appropriate—can only be to mutual benefit and will, we all hope, ensure that the provisions that we will shortly pass will never need to be used.

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Lord Beecham Portrait Lord Beecham
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He was none the worse for that. I do not think that his wife, who used to drive him around, would have been guilty of depositing fish and chip papers anywhere near the noble Lord’s house.

The position that we have reached is one that the Local Government Association has worked very hard with the Minister and colleagues from all sides of the House to achieve. In particular, the outcomes around the designation and the opportunity to correct a situation that perhaps led to a fine—the provision of an effective appeals system—have all been significant. I am encouraged that the statement of policy that has been produced by the Local Government Group is one that I understand the Government are minded to adopt. Perhaps when he replies the noble Earl will indicate how far their consideration of the document has gone and whether there are likely to be any issues of significance that might not accord with the proposals that have been made. I understand that effectively an agreed position has been reached around four main areas: working in partnership; that there should be no surprises; that there should be a fair and proportionate process; and that consideration should be given to the ability to pay.

One of the crucial issues first voiced in the debate to the Committee by the LGA was the lack of an opportunity for local government to be involved in the legislation from which proceedings ultimately might flow in terms of infringement of European law. It is welcome that the Government have now indicated that local government will be identified specifically as a key sector for consultation when the Government enter into negotiations on EU legislation that could ultimately lead to fines coming down to local authorities. That is an extremely important extension of the consultative role that should ensure that the legislation is right in the first place, which would be a distinct improvement on the position hitherto.

The Minister has made it clear that there will be no surprises in future. No local authority will be taken by surprise because of the designation process, which is a reasonable one in which Parliament will be involved. Equally, the process will be broadly based in terms of those involved in deciding a number of matters—for example, whether the UK Government themselves have contributed to the infraction. I take it that that will also apply to any infraction that might have been contributed to by the devolved Administrations where their activities impinged on European legislation. I assume that that is taken care of in the arrangements that the Government have come to with the devolved Administrations.

My final point is crucially important. The panel will determine these matters and the Minister will consider the authority's ability to pay a fine and provide for possible alternatives in the event that the ability to pay is not present. It is conceivable that a small district council might find it impossible to pay a significant fine in respect of some infraction of environmental legislation within its competence. It is extremely welcome that the Government have acknowledged that that is a risk and that they will not be seeking to extort from such an authority a contribution to a financial penalty that would seriously impede the activities of that local authority.

Thanks very largely to the Minister, we have reached a satisfactory position on this. It has been a good example of the way in which local government and the Government can work together and in which Ministers can listen to proceedings in your Lordships' House, take back concerns and proposals and work with them. I hope that the noble Earl will feel able, metaphorically at least, to bite one or two of his ministerial colleagues in the hope that this becomes a habit across government and not confined to the noble Earl.

Earl Attlee Portrait Earl Attlee
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My Lords, I thank my noble friend Lord Tope and other noble Lords for their kind comments. First, I plead not guilty for all the work: it was my officials what done it.

My noble friend Lord Tope talked about consultation on the EU legislation and the fact that we are committed to consulting with local authorities. I am confident that the LGG will hold our feet to the fire on this issue.

My noble friend Lord Jenkin mentioned Keeling schedules. They are useful in certain circumstances but the decision to use them is decided on a case-by-case basis.

My noble friend also asked me to give an assurance that under no circumstances could fines refer to activities, errors and omissions made before the Bill passes. I am very happy to give an absolute assurance that under no circumstances can the provisions be used retrospectively. Subsection (5)(b) of the clause proposed by Amendment 195ZAH means that only actions or inactions after designation can be taken into account. This is extremely important because it allows all those affected to concentrate on solving the problem rather than listening to the lawyers and doing nothing other than arguing. It is a very important point.

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Lord Beecham Portrait Lord Beecham
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And ability to pay?

Earl Attlee Portrait Earl Attlee
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And ability to pay—a very important point. The fines can only be set at a level that will not effectively bankrupt the authority. That is one of the principles in the legislation.

Amendment 195ZAA agreed.
Moved by
195ZAB: Clause 31, page 30, line 5, leave out “an EU financial sanction” and insert “a final”
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Moved by
195ZAH: After Clause 31, insert the following new Clause—
“Designation of public authorities
(1) A Minister of the Crown may by order designate a public authority for the purposes of this Part.
(2) The order must—
(a) specify the public authority by name;(b) identify any EU financial sanction to which the designation applies; and (c) describe the activities of the authority which are covered by the designation.(3) The order may identify an EU financial sanction for the purposes of subsection (2)(b) by—
(a) specifying an EU financial sanction that has been imposed on the United Kingdom;(b) specifying any Article 260(2) proceedings that have been commenced and providing that the designation is to apply to any EU financial sanction that may be imposed on the United Kingdom in those proceedings;(c) specifying a judgment of the Court of Justice finding that the United Kingdom has failed to comply with an EU obligation and providing that the designation is to apply to any EU financial sanction that may be imposed on the United Kingdom for failing to comply with that judgment; or(d) specifying or describing any proceedings under Article 258 or 259 of the Treaty on the Functioning of the European Union that have been or may be commenced and providing that the designation is to apply to any EU financial sanction that may be imposed on the United Kingdom for failing to comply with a judgment of the Court of Justice given in those proceedings. (4) The order may, for the purposes of subsection (3)(d), describe any proceedings under Article 258 or 259 that may be commenced by reference to the subject-matter of—
(a) a Reasoned Opinion addressed to the United Kingdom under Article 258 or 259 (as the case may be); or(b) any other document sent to the Government of the United Kingdom by the Commission of the European Union or by another member State which gives notice to the Government of the possibility of proceedings being commenced against the United Kingdom.(5) The activities described for the purposes of subsection (2)(c) must be activities of the public authority which—
(a) are carried out in the exercise of non-devolved functions of the public authority; and(b) take place after the provisions of the order describing the activities come into force.(6) The following may not be designated under this section—
(a) the House of Commons, the House of Lords, the Scottish Parliament, the Northern Ireland Assembly or the National Assembly for Wales; (b) a Minister of the Crown or a United Kingdom government department;(c) a member of the Scottish Executive;(d) the First Minister or the deputy First Minister for Northern Ireland, a Northern Ireland Minister or a Northern Ireland Department;(e) a member of the Welsh Assembly Government;(f) a court or tribunal.(7) Before making an order designating a public authority a Minister of the Crown must consult—
(a) the public authority concerned; and(b) if it is a public authority with mixed functions, the appropriate national authority.(8) In sections 32 to 33 references to “acts”, in relation to a public authority which has been designated under this section, are to acts within a description of activities covered by the designation.”
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Moved by
195ZAJ: After Clause 31, insert the following new Clause—
“Establishment of independent panel
(1) This section applies where—
(a) an EU financial sanction to which this Part applies has been imposed by the Court of Justice; and(b) at least one public authority has been designated under section (Designation of public authorities) and the EU financial sanction is one to which the designation applies.(2) A Minister of the Crown must establish a panel for the purpose of carrying out any functions it may be given by or under any provision of this Part in relation to that EU financial sanction.
(3) The panel must be established before any warning notice is given to a public authority in relation to that EU financial sanction.
(4) The panel is to consist of one or more individuals appointed by a Minister of the Crown who appear to a Minister of the Crown to have suitable qualifications, expertise or experience to carry out their duties.
(5) A Minister of the Crown may invite nominations for appointment to the panel from such organisations as a Minister of the Crown considers appropriate.
(6) The validity of any acts of the panel are not affected by a vacancy among its members.
(7) A Minister of the Crown may pay to a member of the panel such fees, allowances or expenses as a Minister of the Crown may determine.
(8) A Minister of the Crown may provide such staff, accommodation or other facilities as a Minister of the Crown may consider necessary to enable the panel to carry out its functions.”
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Moved by
195ZAL: Clause 32, page 30, line 11, leave out subsection (1) and insert—
“(1) Before a public authority which has been designated under section (Designation of public authorities) can be required to make any payment under this Part in respect of an EU financial sanction to which the designation applies—
(a) a Minister of the Crown must give a warning notice under this section to the public authority;(b) the procedures set out in the warning notice (with any changes made under subsection (7)) must be followed; and(c) a Minister of the Crown must determine the matters mentioned in section (Matters to be determined before a final notice is given)(4).”
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Moved by
195ZAZD: After Clause 32, Insert the following new Clause—
“Matters to be determined before a final notice is given
(1) This section applies where—
(a) a warning notice has been given to a public authority; and(b) the panel has considered all representations made to it under the procedures set out in that notice. (2) The panel must make, to a Minister of the Crown, a report on the matters to which the representations made to the panel relate.
(3) The report—
(a) may be published by the panel in such manner as the panel thinks fit and, if not published by the panel, must be published by the Minister of the Crown to whom it is made in such manner as the Minister of the Crown thinks fit;(b) must include recommendations as to the determination of the matters mentioned in subsection (4)(a) and (b);(c) if the authority has made representations to the panel about anything the authority considers relevant to any of the matters mentioned in paragraphs (c) to (e) of subsection (4), must include recommendations as to the determination of the matters mentioned in those paragraphs; and(d) must include the panel’s reasons for any recommendations included in the report.(4) After having had regard to the report, a Minister of the Crown must determine the following matters—
(a) whether any acts of the authority did cause or contribute to the infraction of EU law concerned and, in relation to any periodic payments mentioned in subsection (3)(c) of section 32, whether those acts have continued and will continue to do so;(b) the proportion of—(i) the total amount of the sanction (as specified under subsection (3)(b) of that section), and(ii) any periodic payments (as specified under subsection (3)(c) of that section),that, in the light of the acts of the authority which are determined to have had or to be having an effect mentioned in paragraph (a), is to be regarded as reflecting the authority’s share of the responsibility for the infraction of EU law concerned or, in relation to any such periodic payments, the continuing infraction of EU law concerned; (c) whether the authority should be required to make any payment or payments in respect of the EU financial sanction;(d) if so, what payment or payments the authority should make towards—(i) the total amount of the sanction specified under subsection (3)(b) of that section; and(ii) any periodic payments specified under subsection (3)(c) of that section; and(e) when any such payment or payments should be made.(5) In determining the matters mentioned in subsection (4)(c), (d) and (e) the Minister of the Crown must have regard to—
(a) the effect on the authority’s finances of any amount it may be required to pay and in particular, if the authority has mixed functions, the need to avoid any prejudicial effect on the performance by the authority of its devolved functions;(b) the determination under subsection (4)(b); and(c) any other relevant considerations.(6) Before making a final decision on the matters mentioned in subsection (4)(c), (d) and (e), the Minister of the Crown must invite—
(a) representations from the authority about the potential effect on its finances and, if it has mixed functions, the effect on its devolved functions of any amount it may be required to pay; and(b) if the authority has mixed functions, representations from the appropriate national authority.”
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Moved by
195ZAZE: Clause 33, Page 31, line 26, leave out from “give” to end of line 30 and insert “a final notice to a public authority only if a Minister of the Crown has decided in accordance with section (Matters to be determined before a final notice is given) to impose a requirement under this Part on the authority.”
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Moved by
195ZAZG: Clause 34, Leave out Clause 34
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Moved by
195ZAZH: Clause 35, Leave out Clause 35
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Moved by
195ZAZJ: Clause 36, Leave out Clause 36
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Moved by
195ZAZK: Clause 37, Page 34, leave out lines 16 to 23 and insert—
““the appropriate national authority”, in relation to a public authority with mixed functions, has the meaning given by section (Meaning of “public authority” and related terms)(8);
“Article 260(2) proceedings” has the meaning given by section 31(8)(c);
“Court of Justice” means the Court of Justice of the European Union;
“EU financial sanction” has the meaning given by section 31(8)(a);
“final notice” means a notice under section 33;
“functions”, “non-devolved functions” and “devolved functions” are to be construed in accordance with section (Meaning of “public authority” and related terms);
“infraction of EU law”, in relation to an EU financial sanction, has the meaning given by section 31(8)(b);”
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Moved by
195ZAZMZA: After Clause 37, insert the following new Clause—
“PARTEU fines: WalesPower to require Welsh public authorities to make payments in respect of certain EU financial sanctions
(1) The Welsh Ministers may, in accordance with the provisions of this Part, require Welsh public authorities to make payments of amounts determined by the Welsh Ministers in respect of an EU financial sanction to which this Part applies.
(2) A requirement to make a payment under this Part—
(a) may only be imposed on a Welsh public authority if— (i) the authority has been designated under section (Designation of Welsh public authorities); and(ii) the EU financial sanction concerned is one to which the designation applies; and(b) must be imposed by a notice given to the authority under section (Final notices) (referred to in this Part as a final notice).(3) If a final notice is registered in accordance with rules of court or any practice direction, it is enforceable in the same manner as an order of the High Court.
(4) Any sums paid by a Welsh public authority under this Part are to be paid into the Welsh Consolidated Fund.
(5) In this Part—
(a) “EU financial sanction” means a sanction consisting of a lump sum or penalty payment (or both) imposed by the Court of Justice in Article 260(2) proceedings for an infraction of EU law;(b) “infraction of EU law”, in relation to an EU financial sanction, means the failure to comply with a judgment of the Court of Justice given in proceedings under Article 258 or 259 of the Treaty on the Functioning of the European Union; and(c) “Article 260(2) proceedings” means proceedings under Article 260(2) of that Treaty.”
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Lord McKenzie of Luton Portrait Lord McKenzie of Luton
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My Lords, the purpose of the amendment is to try to have a safety valve in the arrangements for referendums around council tax, and for the outcomes of those, whereby the Secretary of State, notwithstanding the early determination, may direct that a substitute calculation can be increased by an amount determined by the Secretary of State. When we debated these amendments before we instanced particular circumstances where it was perhaps difficult for a local authority to disclose fully some of the sensitivities around its budget. Those matters might be commercially confidential or there might be a dispute outstanding. To spell out the consequences, risks and costs associated with that that could fall on the local authority, which could be difficult and prejudice its position. Hence the proposition that there should be an opportunity for the Secretary of State, obviously after discussions, to increase the amount determined. It may be that the Minister will say that this could be dealt with earlier in the process when the Secretary of State designates certain categories of authority, and that there will then be scope through that discussion to itemise just a few or even one particular local authority. That would be the mechanism to allow a council tax increase which was relevant to that local authority, but which was greater than the amount generally determined. That is the purpose of the amendment. I beg to move.

Earl Attlee Portrait Earl Attlee
- Hansard - -

My Lords, I fear that my response on this occasion will be fairly similar to the previous one. The amendment does not take account of the fact that the provisional principles for council tax referendums will be announced at the same time as the provisional local government finance settlement. Authorities will then have the opportunity to make the Secretary of State aware of any exceptional circumstances that they consider he should take into account when determining the principles.

The noble Lord, Lord McKenzie, suggested that there may be financial problems that the local authority is reluctant to disclose. But what about being open to the Secretary of State about its problems? Surely it would want to keep the Secretary of State informed. I do not understand how the situation could arise whereby a local authority was in severe difficulties but wanted to keep that quiet from the Secretary of State.

Lord McKenzie of Luton Portrait Lord McKenzie of Luton
- Hansard - - - Excerpts

I am sorry if I was not clear. The concern was not about being open and transparent with the Secretary of State, but about the process of a referendum laying bare some difficult situations that could prejudice the outcome of those so far as the wider public is concerned. Obviously, in due course, everything would have to be properly reported and accounted for in the public domain, but there could be some sensitivity around issues just at the point where the referendum might be undertaken. That is the issue we are seeking to safeguard.

Earl Attlee Portrait Earl Attlee
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I think that I can accept, as the noble Lord describes, that you might not want to make the difficulties public at the time of the referendum, should that be necessary, but I do not understand why the local authority would not make it clear to the Secretary of State that there was a problem locally. It might have been a minor disaster, or a facility could have been destroyed, for example. The Secretary of State may or may not be aware of it but the local authority could tell the Secretary of State, and if it is a matter that does not need to be fully advertised then the Secretary of State could perhaps put it in a different category. It might be common knowledge, and therefore it would not be a surprise that the local authority was put in a different category.

In addition, if an authority is faced with difficulties prior to the referendum being held, the Secretary of State may direct that the authority need not hold a referendum if he considers that it will be unable to discharge its functions effectively or unable to meet its financial obligations. It cannot be right to allow an authority to apply to set an excessive council tax after it has been rejected by the electorate, nor can it be right for the Secretary of State to set a higher level of council tax after a referendum.

I do not think that this is localist. Indeed, it would defeat the whole reason for having a council tax referendum in the first place—to let the local electorate decide. I therefore ask the noble Lord to withdraw the amendment.

Lord McKenzie of Luton Portrait Lord McKenzie of Luton
- Hansard - - - Excerpts

My Lords, I am grateful to the noble Earl for his explanation. We had this response and exchange previously. I should stress that I was not in any way suggesting that a difficulty which a local authority may be in should not be fully shared with the Secretary of State. I was simply expressing the difficulty, at that point in time, of having to expose it fully in the public domain because of the adverse consequences that it might bring, to the detriment of the taxpayers in that area. That was the issue that I was seeking to pursue.

I take the noble Earl’s point that doing this perhaps after the referendum has been lost would seem to negate that process. However, I hang on to the point that there needs to be some mechanism to deal with it. The noble Earl referred to provisions, which we will cover in a different way in Amendments 196A and 196B, whereby if the Secretary of State is of the view that an authority is unable to discharge its functions or would be unable to meet its financial obligations the Secretary of State can step in. However, when we discussed that matter last time, it emerged that that would be an in extremis situation and I am still trying to focus on an issue when that situation has not been reached but it might be a material contractual issue that the local authority is facing. The issue may have reached a critical stage in negotiations, or there may be litigation pending or under way. I am suggesting a safety valve to deal with that.

If the Minister is saying that the best way of dealing with that is to have these discussions earlier so that there can be a separate category for that authority, I would accept that as a route forward. Quite how it would be viewed by the wider public if an individual authority, which presumably would have to be named, were to be separately categorised, and the inferences that might be drawn, could give rise to some—

Earl Attlee Portrait Earl Attlee
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My Lords, you could have a category with a single authority or with two authorities that have some bad luck, where something went wrong, and they could be treated a little more generously than others.

Lord McKenzie of Luton Portrait Lord McKenzie of Luton
- Hansard - - - Excerpts

Again, I am grateful for that. I hold to the view that although it may help in some instances, being named separately in a category with a potential council tax increase that was greater than that of most other authorities could itself engender inquiries, concerns and speculation over what might be going on. There is no easy way round this but I am happy to accept the Minister’s assurance that this type of issue could be dealt with through the mechanism that he identifies. I am content to leave it there and beg leave to withdraw the amendment.

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Lord McKenzie of Luton Portrait Lord McKenzie of Luton
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My Lords, I beg to move Amendment 195K but shall not move Amendments 195L or 195M because this is an overlapping provision. This amendment would delete the detailed list of issues where guidance can be given by the Secretary of State in relation to a referendum. Regulations can touch upon provisions relating to: the question to be asked; the publicity to be given in connection with a referendum; the limitation of expenditure in connection with a referendum; the conduct of the authority, members of the authority and officers of the authority; when, where and how voting in a referendum is to take place; how the votes cast in a referendum are to be counted; and for disregarding alterations in a register of electors and so on. I contend that those issues should be left to the local authority to determine. If we are to be adherent to localism and want to trust local authorities, then we do not need this degree of prescription.

I am afraid that I missed all the fun over the removal of referendums earlier in the Bill as I was in the Committee on the Welfare Reform Bill. This is one area where referendums clearly remain in the Bill but I believe that the prescription should be removed.

Earl Attlee Portrait Earl Attlee
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My Lords, this amendment removes the power to make regulations in relation to significant issues relating to the conduct of council tax referendums. If there are to be no regulations, what are there to be? Are authorities to be left to make up their own rules on conducting council tax referendums and counting the votes?

Voters are entitled to see referendums handled in a consistent way with proper safeguards. The Government have accepted, on the recommendation of your Lordships’ Delegated Powers and Regulatory Reform Committee, that the regulations should be subject to the affirmative resolution procedure.

When I responded to similar amendments proposed in Committee, I said that the regulations would be modelled on existing regulations on the conduct of referendums on local government executive arrangements and would be subject to consultation with the Electoral Commission. Therefore, we are not suggesting a completely different system for operating a referendum; we are merely suggesting changes, where necessary, for this particular type of referendum.

Given that the regulations will be given considerable scrutiny and will be subject to the approval of both Houses, I request that the amendment be withdrawn.

Lord McKenzie of Luton Portrait Lord McKenzie of Luton
- Hansard - - - Excerpts

My Lords, I do not think that we are going to agree on this issue. We think that the Bill is unduly prescriptive and unnecessary. Clearly, the local authority has to have a referendum if it is going to deal with its council tax levels or if it wishes to go above the designated level. It cannot avoid that. If it acted spuriously or arbitrarily, it could obviously be held accountable for that.

There is also the question, which we touched on in Committee, of what happens if the referendum is found to be flawed in some respect in due course. What happens to the declared outcome of that referendum? That is an adjunct to these provisions but, on the specifics of seeking the removal of this prescription, I think that I understand the Government’s position. I do not agree with it but I do not see that there is a great point in pursuing it further this evening and I beg leave to withdraw the amendment.

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Moved by
196: Schedule 5, page 286, line 6, at end insert—
“(6A) No regulations under this section are to be made unless a draft of the regulations has been laid before and approved by resolution of each House of Parliament.”
Earl Attlee Portrait Earl Attlee
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My Lords, in its report, your Lordships’ Delegated Powers and Regulatory Reform Committee recommended that regulations made under new Section 52ZQ should be subject to the affirmative procedure.

These regulations will set out the rules for conducting council tax referendums, and I am content that the Bill should be aligned with this recommendation. To give effect to this recommendation, Amendments 196 and 197 will add new subsection (6A) to new Section 52ZQ of the Local Government Finance Act 1992, which is inserted by Schedule 5 to the Bill, and will amend Schedule 6 accordingly.

There are a number of further minor and technical amendments—Amendments 197A, 197ZA, 197ZB, 197ZC, 197ZD and 197ZE. These do not alter the policy effect of the council tax referendums provisions but they ensure that minor drafting errors are corrected and that the provisions operate appropriately in relation to Wales. If your Lordships desire, I can give more detail on these amendments, but I assure noble Lords that they are minor and technical. I beg to move.

Lord McKenzie of Luton Portrait Lord McKenzie of Luton
- Hansard - - - Excerpts

My Lords, I am content with the government amendments and have no points to raise in connection therewith. Although they are grouped together, I have not yet spoken to Amendments 196A and 196B. I do not know whether they will be called separately but I can support the government amendments as they stand.

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Lord McKenzie of Luton Portrait Lord McKenzie of Luton
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My Lords, this amendment takes us back to the point that we touched on earlier this evening: whether circumstances might arise where currently the Secretary of State can determine whether an authority will be unable to discharge its functions in an effective manner or will be unable to meet its financial obligations unless it has a so-termed excessive council tax increase. Our amendment would bring to that process the right to seek an independent assessment of those same criteria, so that there is a process, other than, or in addition to, the Secretary of State’s own engagement with that decision. That may, in part, provide a route for dealing with the issue that we discussed earlier concerning one-off events arising for local authorities.

My understanding is that these tests are to be judged in the extreme—only if there is a cataclysmic situation and not one somewhere along the spectrum before that. I do not think that that is what the wording actually says or what the natural meaning would be. However, I believe that an authority should have a right to an independent assessment when it is heading towards situations which are very serious for it and which, without an excessive council tax increase, it could not see its way through.

Earl Attlee Portrait Earl Attlee
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My Lords, similar amendments were withdrawn in Committee. I set out the Government’s position there and my noble friend Lady Hanham followed up in significant detail in her letter to the noble Lord, Lord Beecham, dated 19 July, a copy of which has been placed in the Library of the House. I shall not repeat all those points in detail, other than to reiterate that it would be inappropriate for an unelected and unaccountable person to make the decision, which will involve a judgment about whether local taxpayers should be entirely unprotected from excessive increases for a financial year.

My noble friend’s letter made it clear that authorities will be able to make the Secretary of State aware of any special circumstances applying to them during the process when council tax principles are formulated and finally determined. We talked about the possibility of having a separate category. If my right honourable friend got this decision wrong, clearly there could be very serious consequences if it turned out that a local authority was not able to carry out its functions, and there would be political repercussions for my right honourable friend. My noble friend also said the Government would keep an open mind about the context within which this power to disapply a council tax referendum would be used. With this in mind I would ask the noble Lord to withdraw these amendments.

Railways: Brighton to London Line

Earl Attlee Excerpts
Thursday 6th October 2011

(12 years, 9 months ago)

Lords Chamber
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Lord Berkeley Portrait Lord Berkeley
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To ask Her Majesty’s Government whether they will safeguard Uckfield station and the rail track of the former Uckfield to Lewes route for possible future use to provide additional capacity to the main Brighton to London line.

Earl Attlee Portrait Earl Attlee
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My Lords, there are no current plans to issue safeguarding directions. However, the former Uckfield to Lewes route is safeguarded by both Wealden and Lewes district councils in their local plans.

Lord Berkeley Portrait Lord Berkeley
- Hansard - - - Excerpts

My Lords, I am very grateful to the Minister for that Answer. Is he aware that East Sussex County Council has plans to build a road across the formation outside Uckfield which would, of course, completely prevent the line being reopened? Furthermore, is he aware that British Rail Property Board, which, as the House will know, is being abolished, is trying to sell off all its surplus land, which includes the land of the old Uckfield station, which, again, is essential to the reopening of this line? Will he instruct the property board not to do that and to keep this and other similar pieces of land for future reopening?

Earl Attlee Portrait Earl Attlee
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My Lords, the noble Lord raised two points, the first of which is the road. One of the benefits of the proposed scheme is that it allows for the building of a bridge at a later stage should that be necessary. In fact, the scheme makes it easier to open the line, should that be necessary, because to the west of the proposed road crossing is a level crossing, which would be unacceptable if you wanted to open the railway.

The noble Lord asked about the BRPB and whether we would give it directions. No, we will not. It is not necessary. We are absolutely confident that nothing has been done that will compromise the ability to open the railway at some point in the future, should it be desirable to do so.

Lord Bradshaw Portrait Lord Bradshaw
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Will the Minister widen his consideration just beyond this line. There are a number of noble Lords who have in their areas of interest railway lines that could be reopened with advantage in the future. Surely the land concerned should be vested in Network Rail, which in July last year pronounced the Uckfield to Lewes line of strategic importance. There are many other such lines, of which one example is Oxford to Cambridge. This has been made almost impossible to open between Bedford and Cambridge because of building.

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Earl Attlee Portrait Earl Attlee
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My Lords, it is important to ensure that disused railway lines could be reinstated if it was necessary. The difficulty with my right honourable friend the Secretary of State issuing safeguarding directions is that he can do so only if it is intended to reopen the railway line, not to make it possible. In addition, if he does give safeguarding directions, it can result in compensation to developers.

Baroness Whitaker Portrait Baroness Whitaker
- Hansard - - - Excerpts

My Lords, does the Minister accept that his words “at some point in the future” are not very consoling to south-east commuters, of whom I am one, who regularly have to stand on overcrowded trains at certain times of the day?

Earl Attlee Portrait Earl Attlee
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My Lords, the noble Baroness makes an extremely important point. We all know that at peak periods, the commuter railway lines south of London are all running at peak capacity. One difficulty is that we cannot easily increase the capacity to the main line terminals. In the case of Uckfield to Lewes, one of the bottlenecks is East Croydon, so even if we increased capacity in that area on the south of the line, you would still encounter the bottleneck at East Croydon, and there is very little we can do about that.

Lord Dubs Portrait Lord Dubs
- Hansard - - - Excerpts

My Lords, does the Minister agree that many people believe that the Beeching cuts represented an act of terrible vandalism in the previous century? There are local campaigns to bring back many small railway lines up and down the country that have fallen into disuse because of Beeching. Can the Government at least say that they will encourage local initiatives to help us restore those railway lines? They have environmental benefits and tourist benefits. If the Government were to say that that is their policy, many of us would be very grateful.

Earl Attlee Portrait Earl Attlee
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My Lords, it is great that there are local initiatives to reopen lines—to make my department think carefully about that—but there has to be a good business case.

Lord Dholakia Portrait Lord Dholakia
- Hansard - - - Excerpts

My Lords, does the Minister accept that Gatwick Airport is a very popular destination for those travelling between London and Brighton? The number of passengers has increased. Secondly, does not the maximum use of the line between Victoria and Brighton demonstrate the need to preserve an alternative method, especially when this expansion of the Brighton line is exhausted?

Earl Attlee Portrait Earl Attlee
- Hansard - -

My Lords, I fully accept that the Brighton line is running at capacity, but this particular scheme will do nothing to relieve the bottleneck. For instance, the path between Sevenoaks and Orpington is just twin track and there are no more train paths available at the peak period.

Lord Rosser Portrait Lord Rosser
- Hansard - - - Excerpts

Nearly all line reopenings that have taken place have proved successful and have more than met projected passenger figures. Can the Minister say whether other lines are being considered for reopening? In particular, what is the current position with the reopening of the Skipton to Colne route and the safeguarding of that route?

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Earl Attlee Portrait Earl Attlee
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My Lords, the Skipton to Colne route is a little far from Uckfield and Lewes. I can point to the dualling of the Swindon to Kemble line, which is very expensive but will bring many benefits. I see the Leader of Her Majesty’s Opposition nodding her head enthusiastically.

Lord Berkeley Portrait Lord Berkeley
- Hansard - - - Excerpts

My Lords, I am very grateful to the Minister for the answers that he has given to various colleagues on my original Question. Lewes-Uckfield is in Network Rail’s route utilisation strategy, which was published last year, so a lot of people in Network Rail must think that there is demand there.

The Minister said that if the Secretary of State was asked to give some assurance or make some designation on certain routes, the developers might try to claim compensation. Given the time that it takes to develop any of these new railway lines—noble Lords have given different examples—surely there is a case for looking at the policy again so that routes can be safeguarded even for 10 or 20 years. It may take that time to get a new project off the ground.

Earl Attlee Portrait Earl Attlee
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My Lords, we do not think that that route will need to be opened within the next 20 years.

Airports: Heathrow

Earl Attlee Excerpts
Monday 12th September 2011

(12 years, 9 months ago)

Lords Chamber
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Lord Spicer Portrait Lord Spicer
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To ask Her Majesty’s Government whether they expect Heathrow airport to lose its status as the world’s busiest international airport; if so, to which airport; and when.

Earl Attlee Portrait Earl Attlee
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My Lords, last month the Department for Transport published its UK aviation forecasts to support the development of a new policy framework for UK aviation, which supports economic growth and addresses aviation’s environmental impacts. It is forecast that Heathrow will have 85 million terminal passengers in 2030 compared with 65.7 million in 2010. The department does not forecast demand for airports outside the UK.

Lord Spicer Portrait Lord Spicer
- Hansard - - - Excerpts

My Lords, when I was Minister for Aviation, Heathrow was the number one international airport in the world and Gatwick was number four, and together they provided the international crossroads and hub for the whole world. Does my noble friend share my concern—based, if for no other reason, on economic growth—that the pre-eminence of Heathrow should now be challenged by the likes of Schiphol and Frankfurt because of the capacity constraints that have been set on it?

Earl Attlee Portrait Earl Attlee
- Hansard - -

My Lords, I understand the point that the noble Lord makes, but there are also airports in the Far East which will probably overtake Heathrow eventually. We want to see a successful and competitive aviation industry which supports economic growth and addresses aviation’s environmental impact. Aviation should be able to grow, but to do so it must play its part in delivering our environmental goals and protecting the quality of life of local communities.

Lord Soley Portrait Lord Soley
- Hansard - - - Excerpts

Is not the answer to the Question of the noble Lord, Lord Spicer, really that, in future, South American flights will go to Madrid, Indian and Chinese flights will go to Frankfurt and Schiphol and the rest will go to Paris? If the Government are determined to advertise that Britain is closed for business, I can hardly think of a better deterrent than the current aviation policy, with the possible exception of the reintroduction of biplanes.

Earl Attlee Portrait Earl Attlee
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My Lords, the noble Lord will understand that we cannot arrange for every flight coming into Europe to land at Heathrow.

Baroness Kramer Portrait Baroness Kramer
- Hansard - - - Excerpts

My Lords, the Minister will be aware of the recent report by Airport Watch, which demonstrates that Heathrow and London dwarf every European rival in number of flights to the world’s main business destinations. Therefore, would he agree that in order to keep its place, Heathrow should focus on how it treats its passengers and perhaps the UK Border Agency could change its policy so that people with non-UK passports can get through in less than one and a half hours, which was true at terminal 3 two weeks ago?

Earl Attlee Portrait Earl Attlee
- Hansard - -

My noble friend makes extremely important points which were all picked up by the South East Airports Taskforce. She mentioned the UK Border Agency. We are aware of scope for improvement and UKBA is working on that. She will also be aware of other things that will be happening as a result of the South East Airports Taskforce’s work, which will improve the experience for passengers.

Lord Berkeley Portrait Lord Berkeley
- Hansard - - - Excerpts

My Lords, would it not be better if we concentrated on service quality at airports and did not go for the busiest? Is the Minister aware that Beijing is soon to have another runway, which will give it a total of 120 million passengers a year, and would it not be much better for the environment if we concentrated policy in this country on the medium and shorter-term passengers being able to travel by high-speed rail and ordinary rail?

Earl Attlee Portrait Earl Attlee
- Hansard - -

My Lords, the general thrust of what the noble Lord says is very good. Interestingly, I went to Gatwick airport last week and saw the effort being put towards improving the passenger experience. No doubt I shall be going to Heathrow shortly.

Lord Dixon-Smith Portrait Lord Dixon-Smith
- Hansard - - - Excerpts

My Lords, the present situation in our airports was predicted 45 years ago, I think. There was a very reasonable proposal to put an airport in the Thames estuary, which would remove the constraints that are inevitable anywhere west of London. Perhaps my noble friend might care to comment on that possibility, as it is being raised again. At least, if that strategic decision were taken, there would be the possibility of a long-term solution.

Earl Attlee Portrait Earl Attlee
- Hansard - -

My Lords, we welcome all these suggestions. The mayor’s input and suggestions will be considered alongside the many other contributions to the debate about our future airport aviation policy.

Lord Palmer Portrait Lord Palmer
- Hansard - - - Excerpts

My Lords, could the noble Earl try to persuade his colleagues in the Treasury to look again at this terrible problem of air passenger duty, which is one of the reasons that Heathrow has lost its premier slot in the world?

Earl Attlee Portrait Earl Attlee
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My Lords, the noble Lord will know that air passenger duty is under review. However, it is a matter for the Treasury, as well as the Department for Transport. We are giving it careful consideration and will make an announcement in due course.

Lord Mawhinney Portrait Lord Mawhinney
- Hansard - - - Excerpts

My noble friend has already made it clear that this Government have made their decision about Heathrow. However, this Government also talk about the need for economic growth as well as environmental sustainability. If the next Government and those after also believe in economic growth, would my noble friend recommend that they build a third runway at Heathrow or a new airport in the estuary?

Earl Attlee Portrait Earl Attlee
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My Lords, I do not think it is an either/or decision.

Lord Davies of Oldham Portrait Lord Davies of Oldham
- Hansard - - - Excerpts

What is the Government’s transport policy really meant to contribute to economic growth? On rail, it seems a question of asking passengers to pay more; on roads they cut the funding that subsidises the cameras that keep our roads safe; and on aviation they have taken the negative decision against the third runway. What exactly are the Government’s plans for the aviation industry to make a contribution to economic growth?

Earl Attlee Portrait Earl Attlee
- Hansard - -

My Lords, we will have to wait and see when the aviation policy framework document is published next year as a draft.

Localism Bill

Earl Attlee Excerpts
Monday 12th September 2011

(12 years, 9 months ago)

Lords Chamber
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Lord True Portrait Lord True
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My Lords, I declare an interest as leader of a London borough. I thank my noble friend the Minister for the moves that have been made to address some of the legitimate concerns put forward at the previous stage. Having said that, my noble friend Lord Jenkin of Roding eloquently put the case for further consideration of some of the minor details—some of which are not so minor—in clarifying how this will work. Rightly or wrongly, there is suspicion among leaders of London boroughs about the risk of the mayor imposing policies on areas of London. Further safeguards and assurances would be desirable in that respect.

The other brief point I wish to make is that, as my noble friend Lord Jenkin said, recourse to the London Assembly, with all great respect to that body, is not a fully local response. In the Bill we already have to contend with the fact that regional government is continuing in London and that the local element of the Bill is somewhat deficient in London. Geographically elected members of the London Assembly represent quite large areas—less local than London boroughs—and are less urgently concerned through wards with local affairs. The London Assembly Members who are elected under proportional systems do not have that kind of local connection.

I hope that my noble friend, in considering the amendment of the noble Lord, Lord Jenkin, will tell us that he will be able to consider further the noble Lord’s points before the next stage.

Earl Attlee Portrait Earl Attlee
- Hansard - -

My Lords, this group of amendments addresses concerns raised about borough councils’ representation on an MDC’s board and committees. I am grateful for all noble Lord’s contributions. We have thought carefully about this and have tabled government amendments.

Amendment 97 would ensure that a borough council, including for this purpose the Common Council of the City of London, whose area forms part of an MDC, will have an automatic seat on the board by requiring that the mayor must exercise his power to appoint members to the MDC so as to secure that the members of an MDC include at least one elected member of each relevant council. Such appointments will still be subject to the same safeguards as other appointments. Amendment 99 would allow the mayor to remove a borough council member from an MDC’s board if that member ceases to be a borough member and the mayor wishes to appoint another member of that borough in the original member’s place. Amendment 102 is a consequential amendment to rules about the validity of proceedings and simply ensures that the absence of at least one elected member of each affected borough council will not affect the validity of an MDC’s proceedings.

Amendment 100 removes the stipulation that the majority of members of a committee or sub-committee of an MDC must be members of the MDC. These are significant concessions. My noble friends have suggested in Amendment 98 that one-sixth of the members must be from the boroughs, but that is not necessary. For example, with the proposed Olympic Park Legacy Corporation the four borough members would be likely to constitute rather more than one-sixth of the board. On that basis I ask my noble friends to withdraw their amendment. The House may recall the amendment the noble Baroness, Lady Grey-Thompson, tabled for Committee, which was not debated. That sought to provide that an MDC’s committees and sub-committees should not, as is currently the case, require a majority of MDC members. I am delighted to say that we have brought forward Amendment 100, which secures the aims of the noble Baroness.

Amendment 101, tabled by my noble friend Lord Jenkin of Roding and the noble Lord, Lord McKenzie, also relates to membership of committees and sub-committees but seeks to prescribe membership. It states that there should be at least one elected borough representative on both committees and sub-committees from those boroughs whose areas are affected by a designated mayoral development area, and, where those committees are concerned with planning, that at least half of the membership should comprise representatives from affected boroughs. I hope the House will agree that the existing provisions regarding committees and sub-committees, bolstered by Amendment 100, will give an MDC maximum flexibility over the make-up of its committees and sub-committees. I hope that deals with the point raised by my noble friend Lord Campbell of Alloway. For example, an MDC will be able to appoint one or more relevant borough council members to its planning committee and, should it wish to do so, have a majority of non-MDC members on that committee.

I turn now to Amendments 96 and 103 which address a borough’s comments on, first, the proposed designation of a mayoral development area and, secondly, designation of an MPC as the local planning authority. It is clearly right that an affected borough council must be consulted on both these issues, just as it is right to offer the opportunity to the London Assembly, relevant Members of the other place and other statutory consultees as the Bill provides. It is also the case that the mayor will be obliged to consult affected borough councils and other statutory consultees were he to propose that an MDC should offer business rate discounts. The Bill provides that, should comments be made by the London Assembly and the mayor not accept those comments, he is obliged to publish a statement giving reasons for that non-acceptance. Amendments 96 and 103 would extend that requirement to comments of the borough councils. However, there is no need to do this. As I have said, an affected borough council must be consulted by the mayor, so it could make its views known to him by that route. But a borough council could also make representations to its London Assembly constituency member who, in turn, could feed those views to the Assembly as a whole, as a result of which the Assembly could, if it wished, relay those representations and any of its own to the mayor. I suggest that this is a sufficient level of scrutiny.

I would ask noble Lords to withdraw their amendments and accept Amendments 97, 99, 100 and 102 in their place.

Localism Bill

Earl Attlee Excerpts
Monday 12th September 2011

(12 years, 9 months ago)

Lords Chamber
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Lord McKenzie of Luton Portrait Lord McKenzie of Luton
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My Lords, I should explain that our official Front Bench position is that we support the amendment, which means that, should it be put to a vote, I, at least, will be obliged to vote in favour. I am not sure how many of my colleagues behind me would follow me into the same Lobby. Our position was formulated because of strong support from the GLA, but I take it as implicit in my mandate that supporting the amendment would be conditional on the Government being able to answer a lot of the very robust challenges that have come, particularly, from this side of the House during this debate.

My noble friend Lord Whitty spoke about the importance of preserving a strong consumer interest. Points were also made by my noble friend Lord Faulkner about whether this will benefit passengers, some of whom do not live in London and are not London voters. Indeed, it covers rail travel from such places as Luton. If we were to separate rail from other modes of travel, how would that work? I understand the thrust of the movers of the amendment, but these are questions that need to be satisfied before it could proceed. Perhaps in responding the Government can confirm that there was overwhelming support for the proposition among transport operators and rail user groups. Will the Government let us know, for the record, whether any alternatives to transfer to the GLA have been considered and on what basis they were rejected?

The Government have acknowledged the considerable amount of casework undertaken by London TravelWatch and are presumably satisfied that this could be handled under the proposed new arrangements. The London Assembly review of TravelWatch, to which the noble Lord, Lord Jenkin, spoke, recommended that the reorganisation be folded into the assembly but with rail functions distributed between the assembly and the national independent passenger watchdog Passenger Focus. Have the Government undertaken an analysis and will they support that as an appropriate way forward?

I look forward to the Minister's reply and hope that he can dig me out of my dilemma on this issue. Powerful issues have been raised that need to be answered before the proposition can and should proceed, much as we love the thrust of it. In particular, there is a mood that the status quo should not necessarily be accepted. There may be ways in which it can be improved and cost savings may be generated. I would be interested in the Minister's views on that as well.

Earl Attlee Portrait Earl Attlee
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My Lords, Amendment 108 would abolish the London Transport Users’ Committee and transfer its functions to the London Assembly. My officials assured me that this would be an easy amendment to deal with—even I would be able to deal with it. The reality is that I find myself in the middle of a pretty vigorous debate. On the other hand, the noble Lord, Lord McKenzie of Luton, also finds himself in an interesting position.

I regret we did not have time to discuss this amendment in Committee when it was tabled by the noble Lords. As my noble friend Lady Hanham indicated in her subsequent letter, the Government believe that it is inappropriate—at this stage through this Bill—for the London Transport Users’ Committee, which is the independent transport users watchdog for London, to be transferred to the London Assembly.

Among other things, the committee undertakes an important and impartial complaints ombudsman role on behalf of London transport users in and around London, and it is vital that any change to the current arrangements ensures that complaints continue to be dealt with in a genuinely independent manner. In particular, there is an EU requirement which mandates the designation of an independent body for complaints for rail transport users. So there is an important question that needs to be resolved about how far the assembly can be sufficiently independent for the purposes of this EU legislation, given its party-political membership, its role in scrutinising the work of the mayor and TfL and its influence over the strategic direction of transport policy in London—especially when this Bill will allow it to reject the mayor’s transport strategy.

Indeed, if the Government had proposed such an amendment, there would have been concerns from many noble Lords about the lack of independent safeguards in the legislation. Therefore, as we have heard from our debate this evening, there are still some important questions that need to be resolved before we can consider legislating for any new arrangements. The noble Lord, Lord McKenzie of Luton, asked me a few more and I do not know the answers, which is why we cannot support the amendments.

However, as I am sure that noble Lords will agree, it is entirely right during a time of fiscal constraint for the London Assembly to consider ways to achieve best value for taxpayers’ money from the London Travel Users’ Committee that it oversees. The Department for Transport has already undertaken a review of Passenger Focus, the national rail passenger watchdog, which will deliver significant savings, and DfT will work with the committee, the assembly and other partners to explore ways to deliver an efficient and effective ombudsman function for London transport users.

On this basis, I hope that the noble Lord will withdraw his amendment.

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Lord Faulkner of Worcester Portrait Lord Faulkner of Worcester
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The noble Baroness, Lady Kramer, is quite correct. As I said, I have a great deal of sympathy with the point she makes but my concern is that the introduction of a new franchising authority, which the amendment proposes, would be in danger of creating greater fragmentation of the railway than we have at present. I agree with her that there are probably too many train operating companies. It is the Government’s intention that franchises should be longer than they have been in the past, and I strongly support that. However, to introduce a new franchising operator could lead to confusion and fragmentation. My noble friend Lord Berkeley refers to services that serve London but go well beyond. The classic example of that is the Thameslink line, which starts in Bedford, goes through Luton and St Albans—none of which is covered by Transport for London or the GLA—and then goes south from Croydon to Brighton.

Services like that need to be looked at in a regional context, and I am not certain that looking at them in a London context would make a great deal of sense. However, I pay tribute to what Transport for London has done in the development of its Overground service. The opening up of the East London line is an extraordinarily successful venture. The trains are very popular and they provide new journey opportunities for people who probably did not make those journeys, or tried to do it by car, or struggled on buses. It deserves to be commended for that.

I agree with my noble friend that it is helpful to have this debate, but this amendment is not quite the way that we should go.

Earl Attlee Portrait Earl Attlee
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My Lords, I understand the intention behind my noble friend’s amendment; namely, that the mayor and TfL should have greater control over London’s commuter rail franchises, given their wider transport responsibilities. As my noble friend Lady Hanham said in her letter following the Committee stage, TfL already plays an important role in relation to London’s commuter rail services. It already has, as pointed out by my noble friend, effectively full franchising powers over the London Underground concession, covering a number of key routes across London. It works closely with the Department for Transport in the development of other rail franchises affecting London, with the mayor having the ability to pay for outputs over and above those that the DfT specifies. By the way, I undertake to look up in the dictionary the definition of “decrement”.

The devolution of other London commuter rail franchises to the mayor and TfL is not a straightforward matter. The geography of London’s commuter rail network does not sit well with London’s administrative boundaries, with many lines extending well into neighbouring counties, as pointed out by many noble Lords. Furthermore, capacity on much of the London commuter network is limited, and there are inherent conflicts between London-area and non-London services that need to be balanced in the best interests of all users, and to keep overall costs down.

I am afraid my noble friend did not satisfy me in how the balance would be struck between the needs of commuters who live in London, and who elect the mayor and the Assembly, and those living in Luton, Brighton and Woking, who do not. There is a real question of a democratic accountability deficit if other London commuter rail services are devolved to the mayor, as many commuters do not live in London so do not have the opportunity to participate in the elections.

Nevertheless, the Department for Transport is happy to engage TfL further about the devolution of local rail services, in the context of Sir Roy McNulty’s independent study on rail value for money earlier this year. This study suggested that more local control of rail services could contribute to the development of lower-cost regional railways and, in line with the Government’s localism agenda, we are considering options for more local control of some rail services in other parts of England. We will also continue to encourage operators to work more closely with TfL. The new working arrangements, put in place for the South Central franchise which was let in 2009, appear to be working well.

On this basis, I urge my noble friend to withdraw her amendment.

Baroness Kramer Portrait Baroness Kramer
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My Lords, I am delighted that I have been able to stir up some debate on this issue and see it get some attention—rather than slip to its usual place at the bottom of everybody’s priority list—because there are some genuine issues here.

I say to those who are concerned about passengers outside the London area that most people have London as their destination and are therefore intensely important to TfL; they are not marginal. Also, most people who come in contribute in some way to London’s economic viability, either through business or entertainment, and so are very much a concern to Transport for London even though they do not actually live within the area. Again, we can also bring in other board members.

I am delighted to have sparked off some of this debate. Given that, I beg leave to withdraw the amendment.

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Moved by
119A: After Clause 10, insert the following new Clause—
“CHAPTER 2AOther authoritiesIntegrated Transport Authorities
In Part 5 of the Local Transport Act 2008 (integrated transport authorities etc) after section 102A insert—“CHAPTER 4General powers102B Powers of Integrated Transport Authorities
(1) An ITA may do—
(a) anything the ITA considers appropriate for the purposes of the carrying-out of any of the ITA’s functions (the ITA’s “functional purposes”),(b) anything the ITA considers appropriate for purposes incidental to the ITA’s functional purposes,(c) anything the ITA considers appropriate for purposes indirectly incidental to the ITA’s functional purposes through any number of removes,(d) anything the ITA considers to be connected with—(i) any of the ITA’s functions, or(ii) anything the ITA may do under paragraph (a), (b) or (c), and(e) for a commercial purpose anything which the ITA may do under any of paragraphs (a) to (d) otherwise than for a commercial purpose.(2) Where subsection (1) confers power on an ITA to do something, it confers power (subject to section 102C) to do it anywhere in the United Kingdom or elsewhere.
(3) An ITA’s power under subsection (1) is in addition to, and is not limited by, the other powers of the ITA.
(4) Subsection (5) applies if there is, in relation to an ITA—
(a) a Passenger Transport Executive established under section 9 of the TA 1968 for the integrated transport area of the ITA, or(b) an executive body established by virtue of section 79(1)(a) or 84(2)(d).(5) The ITA may delegate to the Executive or body the ITA’s function of taking action under subsection (1) (but not the function of determining what action to take).
102C Boundaries of power under section 102B
(1) Section 102B(1) does not enable an ITA to do—
(a) anything which the ITA is unable to do by virtue of a pre-commencement limitation, or (b) anything which the ITA is unable to do by virtue of a post-commencement limitation which is expressed to apply—(i) to the ITA’s power under section 102B(1),(ii) to all of the ITA’s powers, or(iii) to all of the ITA’s powers but with exceptions that do not include the ITA’s power under section 102B(1).(2) If exercise of a pre-commencement power of an ITA is subject to restrictions, those restrictions apply also to exercise of the power conferred on the ITA by section 102B(1) so far as it is overlapped by the pre-commencement power.
(3) Section 102B(1) does not authorise an ITA to borrow money.
(4) Section 102B(1)(a) to (d) do not authorise an ITA to charge a person for anything done by the ITA otherwise than for a commercial purpose (but see section 93 of the Local Government Act 2003 (power of ITAs and other best value authorities to charge for discretionary services)).
(5) Section 102B(1)(e) does not authorise an ITA to do things for a commercial purpose in relation to a person if a statutory provision requires the ITA to do those things in relation to the person.
(6) Where under section 102B(1)(e) an ITA does things for a commercial purpose, it must do them through—
(a) a company within the meaning given by section 1(1) of the Companies Act 2006, or(b) a society registered or deemed to be registered under the Co-operative and Community Benefit Societies and Credit Unions Act 1965 or the Industrial and Provident Societies Act (Northern Ireland) 1969.(7) In this section—
“post-commencement limitation” means a prohibition, restriction or other limitation imposed by a statutory provision that—
(a) is contained in an Act passed after the end of the Session in which the Localism Act 2011 is passed, or(b) is contained in an instrument made under an Act and comes into force on or after the commencement of section (Integrated Transport Authorities)(1) of that Act;“pre-commencement limitation” means a prohibition, restriction or other limitation imposed by a statutory provision that—
(a) is contained in an Act passed no later than the end of the Session in which the Localism Act 2011 is passed, or(b) is contained in an instrument made under an Act and comes into force before the commencement of section (Integrated Transport Authorities)(1) of that Act;“pre-commencement power” means power conferred by a statutory provision that—
(a) is contained in an Act passed no later than the end of the Session in which the Localism Act 2011 is passed, or(b) is contained in an instrument made under an Act and comes into force before the commencement of section (Integrated Transport Authorities)(1) of that Act;“statutory provision” means a provision of an Act or of an instrument made under an Act.
102D Power to make provision supplemental to section 102B
(1) The Secretary of State may by order made by statutory instrument make provision preventing ITAs from doing under section 102B(1) anything which is specified, or is of a description specified, in the order.
(2) The Secretary of State may by order made by statutory instrument provide for the exercise by ITAs of power conferred by section 102B(1) to be subject to conditions, whether generally or in relation to doing anything specified, or of a description specified, in the order.
(3) The power under subsection (1) or (2) may be exercised in relation to—
(a) all ITAs,(b) particular ITAs, or(c) particular descriptions of ITAs.(4) Before making an order under subsection (1) or (2) the Secretary of State must consult—
(a) such representatives of ITAs,(b) such representatives of local government, and(c) such other persons (if any),as the Secretary of State considers appropriate.(5) Subsection (4) does not apply to an order under subsection (1) or (2) which is made only for the purpose of amending an earlier such order—
(a) so as to extend the earlier order, or any provision of the earlier order, to a particular ITA or to ITAs of a particular description, or(b) so that the earlier order, or any provision of the earlier order, ceases to apply to a particular ITA or to ITAs of a particular description.(6) Power to make an order under this section includes—
(a) power to make different provision for different cases, circumstances or areas, and(b) power to make incidental, supplementary, consequential, transitional or transitory provision or savings.(7) The Secretary of State may not make an order to which subsection (8) applies unless a draft of the statutory instrument containing the order (whether alone or with other provisions) has been laid before, and approved by a resolution of, each House of Parliament.
(8) This subsection applies to—
(a) an order under subsection (1), other than one that is made only for the purpose mentioned in subsection (5)(b);(b) an order under subsection (2), other than one that is made only for that purpose or for imposing conditions on the doing of things for a commercial purpose.(9) A statutory instrument that—
(a) contains an order made under this section, and(b) is not subject to any requirement that a draft of the instrument be laid before, and approved by a resolution of, each House of Parliament,is subject to annulment in pursuance of a resolution of either House of Parliament.””
Earl Attlee Portrait Earl Attlee
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My Lords, in moving Amendment 119A, I shall also speak to Amendments 119B, 119D, 119DA and 119BA, in the name of the noble Lord, Lord McKenzie of Luton. The amendments will allow integrated transport authorities and their executive bodies, passenger transport executives, to properly undertake activities that benefit or contribute to their purposes. The enabling power goes beyond the existing incidental powers and can extend outside their geographical boundaries and immediate hinterland. These bodies are not local authorities and will therefore not have the benefit of the general power of competence that is already contained in the Bill.

The matter was debated in another place and in this House on 20 June. In response to an amendment tabled by the noble Lord, Lord McKenzie, the Secretary of State for Transport sought agreement to include suitable provisions in the Localism Bill, and this was given. The amendment provides an appropriate broader general power for integrated transport authorities and their passenger transport executives. For consistency, the power will also be provided to combined authorities and economic prosperity boards.

The main reason why these bodies need such a power is that local authorities using similar powers to the ITA’s existing incidental and well-being powers have been the subject of successful legal challenge. Integrated transport authorities and their passenger transport executives have therefore been unwilling to undertake activities and enterprises that are not expressly prescribed in law. The view that they could be successfully challenged has been supported by legal opinion obtained by the Passenger Transport Executives Group. An example provided by PTEG of the activities that they are seeking to use the new powers for is the provision of back-office functions for transport smart cards, similar to Oyster cards in London, to local authorities not in an ITA area or in another integrated transport authority area. Because providing and charging for such an activity is not expressly permitted by existing legislation, they fear legal challenge.

The potential benefits of integrated transport authorities being able to let their passenger transport executives undertake such operations for others is that they will be able to realise the economies of scale from providing similar services to a number of bodies. The bodies wishing to use these services will also benefit from obtaining the service more cost-effectively from an organisation that is already doing something very similar. The cost savings realised by both provider and client can be passed on to council tax payers. In the case of the service provider, this will be the metropolitan district councils in the area concerned. In the case of the client organisations, this will be either local authorities outside an ITA area or the metropolitan district councils within another ITA area.

The suggested amendment to government Amendment 119B in the name of the noble Lord, Lord McKenzie of Luton, is unnecessary because we are satisfied that where it serves some purpose in relation to a body’s function, collective action is already covered in the drafting of the new broader general power to be found in proposed new Clause 102B(1). Noble Lords will be aware that the parliamentary draftsmen undertake their work with great care. We are at one with what powers we want to grant and we should trust the parliamentary draftsmen to get it right on our behalf.

On government Amendment 119D, I have just explained to your Lordships our argument for providing integrated transport authorities and PTEs with wider general powers. This amendment seeks to do the same for combined authorities and economic prosperity boards, which are intended to provide stable governance mechanisms for long-term strategic decision-making on economic issues. In bringing groups of relevant authorities together, both are expected to be based upon meaningful economic geography. Where a combined authority is established for an area, it will be responsible for the transport functions in place of an ITA as well as having economic development and regeneration powers. Currently, one combined authority has been established in Greater Manchester. Economic prosperity boards are similar to combined authorities but without the transport functions. There are presently no economic prosperity boards.

Given that broader powers are being given to integrated transport authorities, it is essential that these powers are also made available to combined authorities and economic prosperity boards to ensure that they can effectively discharge their economic objectives. Indeed, given the close interrelationship between economic development and transport, it would be unreasonable not to confer these broader powers upon both bodies and would undermine their ability to deliver sustainable economic growth. I beg to move.

Lord Berkeley Portrait Lord Berkeley
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My Lords, this is an interesting group of amendments. The Minister explained their purpose very well, but it seems to me that the pendulum is swinging from local authorities, PTEs and ITAs et cetera getting a bit frightened of what they are allowed to do to something that is beginning to look like a Henry VIII clause in the transport field. That is probably quite a good thing, actually. It seems that they are going to be given powers to do anything. Perhaps the noble Earl could explain whether this could include, in respect of the integrated transport authorities or the passenger transport executives, things such as operating rail franchises if they felt like it. Could they take a bigger role in sponsoring and deciding how the franchises were run, and what would be the extent of their financial commitment to it?

Could those authorities go as far as was recently planned in Merseyside: for Merseytravel to run a vertically integrated railway and take over the infrastructure from Network Rail? It was interesting that that authority had been lobbying to do this for at least five years, if not 10, but then just as the McNulty report, which might have encouraged them to do it, came out it decided that it was not going to do it because it was too risky. However, it is an interesting option that may be open to other authorities. What will they do in running trams and operating buses? The prospect of even better integration between different types of services would be good, if it happened.

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Lord McKenzie of Luton Portrait Lord McKenzie of Luton
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My Lords, I shall speak briefly in support of these amendments, subject to any issues that come out of the very forensic questioning of my noble friends. Amendment 119BA seeks simply to ensure that the powers conferred can be pursued either alone or collectively with one or more ITA. I accept entirely the Minister’s confirmation that it can and that this amendment is not necessary. I am pleased that that is on the record. As the noble Earl said, we moved amendments in Committee to achieve a general power of competence for ITAs similar to that given to fire and rescue authorities in the Bill. These replicated amendments moved by my honourable friend Barbara Keeley in another place. The Minister there explained that these were matters for the Department for Transport and were under consideration. That, indeed, was the response when we debated the amendments in Committee here, but the Government committed to take matters further, which they have done. They have fulfilled their obligation to the House and we are happy to support these amendments.

Earl Attlee Portrait Earl Attlee
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My Lords, I am grateful for the welcome to these amendments. The noble Lord, Lord Berkeley, asked about extension of powers possibly covering rail franchising and Henry VIII powers in this amendment. Primary legislation would be required to allow the ITAs to be involved in franchising outside their area. If such changes are required, the Government will look for a legislative opportunity.

The noble Lord, Lord Beecham, mentioned the Highways Agency. He will understand that the Highways Agency is concerned with the strategic road network, but I am confident that it will work closely with local authorities. The noble Lord also asked about powers relating to local bus services in ITA areas. ITAs set a broad strategy for public transport, including buses. Most bus services in an ITA area are run on a commercial basis. ITAs are responsible, where they see fit, for topping up—in other words, adding extra services. There are some detailed questions and I will ensure that we get a full answer to all the questions. A copy will of course be placed in the Library. I beg to move.

Amendment 119A agreed.

Localism Bill

Earl Attlee Excerpts
Wednesday 7th September 2011

(12 years, 10 months ago)

Lords Chamber
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Earl Attlee Portrait Earl Attlee
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My Lords, these amendments focus on the potential impact of accreditation schemes, both in the private rented sector and the social rented sector. I turn to the social rented sector first.

Amendment 52B would give the Secretary of State the power to require the Homes and Communities Agency, and from April 2012 the Greater London Authority, to supply information about any accreditation or standards to be held by landlords of social housing. I assume that the amendment relates to the HCA’s future role as a regulator of social housing. The noble Lord nods. However, under the Housing and Regeneration Act 2008 the regulator is already obliged to consult on its own standards for social housing landlords and to bring those standards to landlords’ attention. In practice, of course, the regulator’s standards are freely available for everyone to view on its website, so I do not see a need to empower the Secretary of State to require that this information is published by law.

The amendment could also encompass accreditation or codes that might be adopted by social landlords on a voluntary basis. It is important that this kind of voluntary activity is owned by the sector itself, so I am not convinced that the regulator should be required to publish information about it. Indeed it is important that there is a very clear distinction between the regulator’s standards, which are compulsory, and any codes or accreditation arrangements that are adopted by landlords on a voluntary basis. Of course, we would encourage such voluntary activity in the sector, but we do not believe that it would be helpful for the regulator to police it or to report on it.

Turning to Amendment 85, which deals with accreditation in the private rented sector, I think that we all agree that a good accreditation scheme can play an important role in developing a local authority’s relationship with their local landlords. Many local authorities already run successful accreditation schemes, but as with the social sector, accreditation works best when it is owned by those involved. One of the main strengths of voluntary accreditation to date is that local authorities have been able to tailor their schemes to local needs, and experience shows that accreditation works best when it matches local circumstances.

Instead of allowing that local discretion, the proposals in front of us today would impose top-down burdens on all local authorities, including those who, quite legitimately, decide that accreditation is not appropriate for their area. Worse, they would force all existing and effective accreditation schemes into a straitjacket designed by central government. Schemes that did not match up would have to be, quite pointlessly, dismantled and reassembled at considerable administrative cost. This does not seem to make much sense and we cannot support it.

My Lords, these amendments are intended to support accreditation—and the noble Lord explained why he believes them necessary—but unfortunately they would have the opposite effect by undermining effective schemes that are already in place. Given this, I would ask the noble Lord to withdraw his amendment.

Lord Kennedy of Southwark Portrait Lord Kennedy of Southwark
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My Lords, I thank the noble Earl for his reply. However, I still think that there is an issue here that needs further consideration, so I hope that this will be kept under review. That said, I beg leave to withdraw the amendment.

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Lord Best Portrait Lord Best
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Amendment 54 is in the name of the noble Lord, Lord Kennedy and myself. Currently, the Secretary of State is able to direct the regulator to set standards for social housing in certain areas. In a strictly limited number of cases, he is able to direct the content of these standards. Clause 163 of the Localism Bill seeks to strengthen his powers in this area, allowing him to shape the contents of standards regarding tenancy exchanges in which tenants can swap properties. The view within the housing world is that this is giving the Minister too many powers to direct the behaviour of social landlords. The danger of accumulating more and more powers in the hands of the Secretary of State is that eventually, as one Minister after another brings their own fresh and no doubt good ideas to bear, you are effectively nationalising the housing associations; they are becoming creatures of government. They then run the risk of being regarded by the EU and others as public sector bodies. If the housing associations are no longer independent bodies and are regarded as public sector agencies, then all their borrowing becomes public sector debt and we have lost one of the key elements in having a social housing sector that is outside of public sector control.

So I am very sympathetic to standards about exchanges and the mobility of labour, and to the Minister’s hopes that housing associations will behave in a particular way, but laying this down, through direction to the regulator over these standards, does seem a step too far. I beg to move.

Earl Attlee Portrait Earl Attlee
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My Lords, Clause 163 is important in increasing mobility for social housing tenants who may wish to move for work, or to give care to or receive care from family or friends. We want to increase opportunities for tenants to move through mutual exchange. We have been working with the existing main providers of home-swap services to develop a technical solution that will put in place a national scheme that enables tenants to receive information on all possible matches across all providers in a scheme. Alongside this, we want all landlords to be required to provide their tenants with access to good internet-based home-swap services. Indeed, the majority of landlords who responded to our consultation on housing reform also agreed with this approach and said they could see no good reason why landlords should not subscribe to such a scheme. We therefore propose, through using the powers in this clause, that the social housing regulator should set a mutual exchange standard to make sure that social landlords sign up to good-quality services.

The noble Lord also raised the issue of public sector debt. While I am not undertaking to reflect on that and come back at a later stage, I will undertake to satisfy myself, through discussions with my officials, that the problem which the noble Lord alludes to does not exist. While I accept that some noble Lords view this as an overly bureaucratic approach, we believe that the benefits of increasing choice and mobility for social tenants must be the priority and that we should seek to deliver this better service for them.

Lord Best Portrait Lord Best
- Hansard - - - Excerpts

I am grateful to the noble Earl for that response. I agree entirely that improving mobility and exchange schemes is a thoroughly commendable line to pursue. I think that I am now on my 23rd housing Minister since I started in this world. They have all had important ideas to add to the things that housing associations ought to do; it is just that in the end, if one is not careful, the cumulative effect is the creation of an agency that is simply a government bureaucracy. I am grateful for the noble Earl’s reassurances and beg leave to withdraw the amendment.

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Lord Kennedy of Southwark Portrait Lord Kennedy of Southwark
- Hansard - - - Excerpts

My Lords, I will be as brief as possible in speaking to this group of amendments. My Amendment 55 seeks to designate an individual within the Homes and Communities Agency to be responsible for regulation. The amendment has the support of the National Housing Federation, and it is important because it seeks to avoid a conflict of interest between the HCA’s regulatory and investment functions. It will help to ensure that regulatory issues can be addressed, even to the extent of formal legal proceedings, without compromising the investment function of the HCA, and vice versa. The HCA would of course still be required to appoint a regulatory committee to oversee the regulation officer. The Government may say that this proposal will diminish rather than enhance regulatory independence but I do not accept that that is the case at all. I am in fact arguing the exact opposite. If that is the Government’s position, I hope that the noble Earl will be able to give the House additional words of assurance on this matter. I beg to move.

Earl Attlee Portrait Earl Attlee
- Hansard - -

My Lords, I am grateful for the way in which the noble Lord, Lord Kennedy of Southwark, succinctly moved his amendment. The Government are committed to ensuring the continued independence of the regulatory function once it transfers to the Homes and Communities Agency. However, our view is that the nomination of a single individual as a regulation officer would diminish rather than enhance regulatory independence. Rather than vesting the regulation function in an independent committee, these amendments, as the noble Lord explained, would confer the statutory powers on a single member of the HCA’s staff. In moving his amendment, the noble Lord talked about the problem of a conflict of interest. However, this person could presumably be dismissed at any time by the HCA on normal employment grounds. It could prove difficult for a member of staff in that position to take decisions that were demonstrably independent of the HCA’s other functions. In addition, where formal regulatory decisions are made by a properly constituted board or committee, there can be greater confidence that those decisions are broadly based and take account of the full range of relevant factors. I hope that the noble Lord will feel able to withdraw his amendment in view of my explanation.

Lord Kennedy of Southwark Portrait Lord Kennedy of Southwark
- Hansard - - - Excerpts

My Lords, I thank the noble Earl for his response. Clearly we are not going to agree on this. Nevertheless, I beg leave to withdraw the amendment.

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Lord Kennedy of Southwark Portrait Lord Kennedy of Southwark
- Hansard - - - Excerpts

My Lords, the Opposition fully support the amendment moved by the noble Lord, Lord Best. The amendment seeks to correct the use of what can only be described as an odd and unnecessary use of the term unsuitable. Like the noble Lord, Lord Newton, we ask the Minister to address that specific point of why unsuitable is being used. There is much concern that the Government are taking a much wider view and a much wider power and have additional intentions of using it. I hope that the Minister either accepts the amendment or that we have a very clear explanation about what this does and does not mean.

The Secretary of State already has the power to remove someone who is unable or unfit. As the noble Lord, Lord Best, said, this is adequate for the Monetary Policy Committee of the Bank of England, so we on this side certainly think that it is good enough for the HCA regulation committee.

Earl Attlee Portrait Earl Attlee
- Hansard - -

My Lords, it is important that the regulation committee is able to function effectively in order to retain the confidence of investors and the social housing sector. In extreme cases, it may prove necessary for the Secretary of State to intervene to remove a member of the committee to ensure that its crucial work is not jeopardised. “Unable, unfit or unsuitable” are fairly standard grounds and a nearly identical provision exists for membership of the boards of the existing social housing regulator and the Homes and Communities Agency.

In answer to my noble friend Lord Newton of Braintree and the noble Lord, Lord Kennedy of Southwark, a member may be able and fit to carry out his or her functions without being suitable to exercise them. This might arise, for example, if there was an irretrievable breakdown in the relationship between the member and the rest of the committee. A member might engage in activities such as filibustering deliberately to disrupt the committee’s work, but that falls short of being “unfit”. He would be being very effective in disrupting the work of the committee, so I am sure that noble Lords can understand the need for “unsuitable”.

Government Amendment 61 is a minor amendment that will update the Housing (Scotland) Act 2010 and the Equality Act 2010 to reflect the planned abolition of the Tenant Services Authority.

Lord Kennedy of Southwark Portrait Lord Kennedy of Southwark
- Hansard - - - Excerpts

My Lords, before the noble Earl sits down, does he see the problem that we on this side see: that somebody can be deemed unsuitable just because they are making a point that the others happen not to agree with? It is not filibustering but that they are making a perfectly valid point, which is not agreed with.

Earl Attlee Portrait Earl Attlee
- Hansard - -

No, my Lords, that would not meet the test of what is unsuitable. If the Secretary of State tried to use his powers to say that someone was unsuitable because he or she disagreed with other members of the committee, he would leave himself vulnerable to judicial review.

Lord Kennedy of Southwark Portrait Lord Kennedy of Southwark
- Hansard - - - Excerpts

Would the noble Earl like to suggest the number of times you have to disagree before you are deemed to be unsuitable?

Earl Attlee Portrait Earl Attlee
- Hansard - -

My Lords, I would imagine that a committee could have very free and frank discussions, perhaps lasting all afternoon, without falling foul of the test of unsuitability. On the other hand, if a member of the committee regularly interfered with the operation of the committee so that it could not function, the Secretary of State would have to step in.

Lord Best Portrait Lord Best
- Hansard - - - Excerpts

My Lords, I will certainly not press the matter further. However, it is important for the Government to know that the housing sector is very concerned that this regulation committee is independent and that the people on it feel able to say things that are contrary to what the Government might wish to hear. That independence is paramount. I hope that that point has been taken. I beg leave to withdraw the amendment.

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Lord Best Portrait Lord Best
- Hansard - - - Excerpts

Amendment 67 stands in my name and that of the noble Lord, Lord Kennedy. It concerns the appointments made by the regulator. It is important to note that this amendment relates only to appointments made by the regulator where the housing association has not failed in any way. It is not a disciplinary measure but constitutes a voluntary helping hand for the organisation. In a number of cases that I know well additional members have been appointed by the regulator as new members of the board and have been very helpful. However, there are limits to the number of appointments that the regulator ought to make to the board. We suggest that these be limited in future to a maximum of four. In my experience three new people are usually appointed to strengthen a board that has become weak—four is quite enough. We are trying to protect the independence and sovereignty of these organisations.

Earl Attlee Portrait Earl Attlee
- Hansard - -

My Lords, as regards the amendment moved by my noble friend Lord Shipley, I recognise the strength of local feeling in the case that he highlighted. We have looked at his proposal extremely carefully and have discussed it with the social housing regulator, the Charity Commission, the National Almshouse Association and the National Housing Federation. We have also received helpful representations from the United St Saviour’s Charity and from residents of the Hopton’s Almshouses in Southwark.

I fully understand the reasoning behind the proposed amendment. However, we are concerned that the amendment seems to require an increase in bureaucracy and potential state interference in the proper exercise of charity trustees' discretion. Currently, the identification of a new trustee is a matter for the existing trustee to decide and we are not convinced that new regulatory controls should be applied. The proposed amendment would apply only where the corporate trustee of an almshouse happens to be a registered provider of social housing. It is not clear that there is a strong rationale for requiring that these almshouse trustees, but not others, seek consent.

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Lord Kennedy of Southwark Portrait Lord Kennedy of Southwark
- Hansard - - - Excerpts

I know that the Minister was not tempted by the noble Lord, Lord Shipley, but can he give the House any assurance that the issue the noble Lord raised will be looked at seriously by the Government? I accept that this involves charity law, which is complicated stuff, but it also involves real people with real concerns and the Government should look at this seriously.

Earl Attlee Portrait Earl Attlee
- Hansard - -

My Lords, I am confident that my department will continue to monitor the situation, but we cannot do anything further with this Bill.

Lord Shipley Portrait Lord Shipley
- Hansard - - - Excerpts

Will it be possible for the evidence that the Minister referred to from the regulator, the Charity Commission and other bodies to be provided in the Library so that we can see exactly what evidence they have supplied to the Government that indicates that legally this is very complicated? Would the Minister agree that it would be good practice for consent to be received where a transfer is being proposed for almshouses? Would he consider and give advice on what other steps could be taken to ensure that consent for transfer from tenants is delivered?

Earl Attlee Portrait Earl Attlee
- Hansard - -

With regard to the evidence, if I can give the noble Lord some more evidence I will, but I am not certain that I can. I believe there are some difficulties with his second request.

Lord Kennedy of Southwark Portrait Lord Kennedy of Southwark
- Hansard - - - Excerpts

Before the Minister sits down, I shall press him on this point. In order to get time for this to be resolved, would he be able to facilitate a discussion between representatives of these organisations, the almshouses and their residents with officials and Ministers in the department?

Earl Attlee Portrait Earl Attlee
- Hansard - -

My Lords, we will do whatever we can to assist a resolution of this problem. We will continue to monitor it, but my particular point is that there is not much more we can do with this Bill.

Lord Shipley Portrait Lord Shipley
- Hansard - - - Excerpts

My Lords, when I moved Amendment 62, I quoted from the Minister’s letter which said that she was sympathetic to this case, so I am pleased that we seem to have ended on a note of sympathy and understanding of the problem. I think we need to try to find a solution to this. I repeat myself, but I do not think it is tenable for tenants of almshouses to be treated differently from tenants of other social housing or local housing. There is a principle at stake here. There may be legal complexities to deal with in this Bill, but I am very grateful for the assurance from the Minister that we can enter further discussions prior to Third Reading.

Earl Attlee Portrait Earl Attlee
- Hansard - -

My Lords, I said that we cannot enter further discussions. We cannot use this Bill to solve this problem. I gave no such undertaking.

Lord Shipley Portrait Lord Shipley
- Hansard - - - Excerpts

I understand the point that the Minister is making—that this Bill may not be the right forum for progressing the issue—but there will nevertheless be discussions about how the issue might be progressed in other ways.

Earl Attlee Portrait Earl Attlee
- Hansard - -

My Lords, we are happy to continue work to resolve the issue, but not with this Bill.

Lord Shipley Portrait Lord Shipley
- Hansard - - - Excerpts

I understand that situation. With that confirmation, I beg leave to withdraw the amendment.

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Moved by
63: Schedule 17, page 384, line 33, at end insert—
“1A In section 122 (restriction on gifts and distributions by non-profit registered providers to members etc) after subsection (6) insert—
“(7) The Secretary of State may by order amend this section for the purpose of—(a) adding to the permitted classes, or(b) modifying or removing a permitted class added by order under this subsection.(8) Before making an order under subsection (7), the Secretary of State must consult—(a) the Charity Commission,(b) the regulator, and(c) one or more bodies appearing to the Secretary of State to represent the interests of registered providers.””
Earl Attlee Portrait Earl Attlee
- Hansard - -

My Lords, in Committee, the noble Lords, Lord Best, Lord Patel, Lord McKenzie and Lord Beecham, tabled an amendment designed to liberalise Section 122 of the Housing and Regeneration Act 2008, which restricts the payments that housing associations may make to their members, and a similar amendment has been tabled again by the noble Lord, Lord Best.

The Government agree with the aim of the amendment and have put down our own amendments to achieve it. The amendments we have tabled would give the Secretary of State the power, by affirmative order, to add to the classes of permitted payments that housing associations may make to their members. Taking this matter out of the Bill will give us sufficient time to explore a new exemption that delivers greater flexibility while protecting public investment. Any order would be made only following consultation with the Charity Commission, the regulator and the housing association sector. I beg to move.

Lord Best Portrait Lord Best
- Hansard - - - Excerpts

I am very grateful to the Minister for what he has just said. There has been a problem here, but it sounds as though it is well on the way to resolution. I am very happy not to move Amendment 64.

Lord McKenzie of Luton Portrait Lord McKenzie of Luton
- Hansard - - - Excerpts

We are grateful to the Government for responding to the earlier amendment. I acknowledge that the noble Lord, Lord Best, will not move his amendment, but are classes 4 and 5 specified in that amendment classes that the Government would support and take forward under the process that they have set down?

Amendment 63 refers to,

“modifying or removing a permitted class added by order under this subsection”.

Do the Government have anything in mind concerning modifying or removing a particular class?

Earl Attlee Portrait Earl Attlee
- Hansard - -

My Lords, those are exceptionally good questions, but unfortunately I will have to write to the noble Lord.

Amendment 63 agreed.
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Moved by
66: Schedule 17, page 388, line 13, at end insert—
“17 In section 320 of the Housing and Regeneration Act 2008 (orders and regulations)—
(a) in subsection (3)(a) (orders subject to approval in draft by each House of Parliament), after “114” insert “, 122”, and(b) in subsection (7)(a) (orders subject to annulment by either House of Parliament, and exceptions from that requirement), after “114” insert “, 122”.”
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Lord Beecham Portrait Lord Beecham
- Hansard - - - Excerpts

My Lords, I will follow the noble Lord, Lord Palmer, on the question of compensation. Clearly, the ombudsman route provides the possibility of compensation. It is not certain whether that would apply to the alternative route, which we debated at some length earlier. Perhaps the noble Earl could indicate whether under the alternative method of the designated person—a councillor, Member of Parliament or tenant panel—there will be the opportunity for a compensation payment to be made by the designated person. If not, we would have two systems, one of which would afford the possibility of compensation while the other would not. I am sure that the noble Earl much appreciated that word in his shell-like ear. In the event that we will have two competing systems, will the Government ensure that guidance is given to tenants that that is the case—in other words, that under one system they may get compensation while under the other they will not? The matter could be discussed in the forum to which the Minister referred. Strange circumstances could arise if the situation were not clear.

Earl Attlee Portrait Earl Attlee
- Hansard - -

My Lords, Amendment 74 highlights the Housing Ombudsman’s power to order a member landlord to pay compensation to a complainant. I understand that my noble friend would like there to be greater clarity on how the ombudsman calculates the level of compensation to be awarded and I am grateful to him for raising the issue. Our view is that it is not necessary to include any new specific requirements in the Bill. In practice the ombudsman already provides a breakdown of any compensation he has decided to award, which is done in the context of what the ombudsman considers to be fair and reasonable in all the circumstances of the case. This arrangement allows flexibility to address specific issues and to provide a useful level of information, depending on the circumstances of each case. Clearly it would be difficult to attain this flexibility in a legislative duty on the ombudsman.

The ombudsman is intending to consult early next year on a revised statutory scheme to reflect the proposed extension of his jurisdiction to include complaints about local authority landlords, in addition to housing associations. I have no doubt that there will be further opportunities through that consultation process to engage on these and other issues. In answer to the question asked by the noble Lord, Lord Beecham, anything referred to the ombudsman means that compensation can be paid.

Lord Beecham Portrait Lord Beecham
- Hansard - - - Excerpts

My question is in relation to the other routes that have been included in the Bill and which may be taken further in discussions before Third Reading. Would compensation be payable when the matter is dealt with by a local councillor, Member of Parliament or a tenants panel? If not, would that be made clear to the applicant, whereas the ombudsman would provide the possibility of compensation?

Earl Attlee Portrait Earl Attlee
- Hansard - -

My Lords, in view of the complexity, a detailed letter would be appropriate.

Lord Palmer of Childs Hill Portrait Lord Palmer of Childs Hill
- Hansard - - - Excerpts

My Lords, I thank the noble Earl for his reply and the noble Lord, Lord Beecham, for his comments. I am quite confident that the monetary compensation would apply to all reports to the ombudsman, in answer to the comments of the noble Lord, Lord Beecham, so I have no worries on that score. My only comment is that for the sake of clarity in the ongoing negotiations and discussions, it would be useful for non-QCs to see that there is monetary compensation without having to go back to the 1996 Act. I very much thank the Minister for his reply and the reply from the noble Baroness, Lady Hanham. I beg leave to withdraw the amendment.

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Lord Kennedy of Southwark Portrait Lord Kennedy of Southwark
- Hansard - - - Excerpts

My Lords, I shall speak briefly to Amendments 75 and 76. They would ensure that the ombudsman’s service is not damaged by unintended consequences. What is wonderful about the ombudsman’s service is that compared with the courts, proceedings are informal, inexpensive and accessible. It is respected as its rulings are complied with by registered providers. The Government are proposing to solve a problem that noble Lords on this side of the House do not believe exists. We should be careful not to undermine the service. Will the Minister tell the House where the proposal has come from? Who has asked for it? How has it arrived here?

Earl Attlee Portrait Earl Attlee
- Hansard - -

My Lords, the proposals relate to the proposed order-making power for the Secretary of State to enable the housing ombudsman to apply to a court or tribunal to enforce his determinations. One of our aims through our package of reforms to social housing regulation is to give a greater role to social housing tenants in the scrutiny of landlord performance. The Bill supports that by providing a clear role for tenant panels in the complaints process. In parallel, we are currently consulting on draft directions to the social housing regulator that will result in tenants having stronger tools with which to scrutinise landlords’ performance. The regulator’s consumer regulation role will be focused on setting clear standards and responding to failures that cause actual or potential serious detriment to tenants. Alongside these reforms we want to ensure that we continue to promise tenants an effective right of redress. The proposed power to enable the housing ombudsman to enforce his decisions through the courts—although I hope it is never needed—gives tenants confidence that effective redress will continue to be available.

The noble Lords, Lord Best and Lord Kennedy, give an accurate description of the current situation. There is not a problem. The Government would use this power only if levels of compliance with the housing ombudsman determinations declined significantly. At present compliance is high, as noble Lords have recognised. Only one recommendation has been rejected in the past seven years. We hope and expect that this will continue. If so, we have no intention of using this power.

Lord Kennedy of Southwark Portrait Lord Kennedy of Southwark
- Hansard - - - Excerpts

Am I right that the noble Lord is saying that the Government are taking a power that they believe they do not need?

Earl Attlee Portrait Earl Attlee
- Hansard - -

My Lords, it is wise to make sure that we have the order-making power should we need it. It concentrates the mind. As I said, we have no intention of using it unless the situation deteriorates. I suspect that it will not, but it is always advisable to have something in your back pocket.

Lord Kennedy of Southwark Portrait Lord Kennedy of Southwark
- Hansard - - - Excerpts

That is a very interesting response. I have heard the exact opposite from the government Bench on many other proposals.

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Earl Attlee Portrait Earl Attlee
- Hansard - -

My Lords, I am confident that my department has properly considered those matters. It is obviously a very important issue and I have already undertaken to write to the noble Lord, Lord Best. Other noble Lords will of course get a copy, and there will be a copy in the Library.

Lord Best Portrait Lord Best
- Hansard - - - Excerpts

In the light of these comments I am delighted to withdraw the amendment.

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Moved by
78: Clause 171, page 159, line 27, leave out from “words” to “and” in line 31 and insert “for “if on such an application” substitute “in the case of an application under subsection (1) if the tenancy has not ended and”,”
Earl Attlee Portrait Earl Attlee
- Hansard - -

My Lords, I beg to move Amendment 78 and speak to Amendments 79, 80 and 243. These amendments are four minor and technical amendments to the new clause that we introduced in Committee. These combine to remove a lacuna in the clause as currently drafted. They would mean that Section 214(3A), which enables the court to order that the deposit be repaid in part or in full to the tenant, would apply if the tenancy had ended at the date of the application to the court but not if it had ended after that date. Clearly this is not the intention of the legislation and I ask noble Lords to support this amendment. I beg to move.

Lord Kennedy of Southwark Portrait Lord Kennedy of Southwark
- Hansard - - - Excerpts

My Lords, the Opposition accept that these are minor technical amendments and are happy to support them on that basis.

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Moved by
79: Clause 171, page 159, line 34, at end insert—
“(6A) After subsection (2) insert—
“(2A) Subsections (3A) and (4) apply in the case of an application under subsection (1) if the tenancy has ended (whether before or after the making of the application) and the court—(a) is satisfied that section 213(3) or (6) has not been complied with in relation to the deposit, or(b) is not satisfied that the deposit is being held in accordance with an authorised scheme,as the case may be.””
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Lord Best Portrait Lord Best
- Hansard - - - Excerpts

My Lords, Amendment 81 is about the exclusion of some rural dwellings from the preserved right to buy. Quite a few tenants who were previously in the public sector have become tenants of a housing association, through large-scale voluntary transfers. Those tenants, and indeed others in social housing, have the preserved right to buy: the opportunity, if they move around, to buy the place to which they move if it is another social housing home. However, if they wish to move into a home that falls under a Section 106 planning agreement, which provides that the property must be retained in perpetuity as a rented social housing home—that is; it is a condition of planning that a certain number of homes are for renting—they will be unable to do so because the landlord would be in breach of the Section 106 agreement. The preserved right to buy is rather paradoxically preventing people moving out of the council house that they are in at the time and into a new property that has been built under a Section 106 agreement.

This amendment excludes certain rural dwellings from the preserved right to buy, allowing the people to move in and not then be able to exercise the right to buy that property because of the Section 106 agreement and the restrictions on that property. This amendment would be helpful to people moving around—to tenants. It is unfair at the moment that they have to be turned away, even though the case is good, because the properties are restricted and cannot be sold into home ownership on a permanent basis.

During the summer, I received a lot of helpful correspondence from Ministers and the civil servants have been very helpful. On this matter, I had a reply which I think indicated that the point had not been fully understood by the civil servants. They have been marvellous in every other respect, but with this one aberration I did not get a satisfactory response. I am not entirely sure that the point was fully understood, which must have been my fault when making it in the first place. If this small, unintended consequence of legislation could be cleared up in the Bill, it would be helpful to the mobility of people in rural areas and in places where there are restrictions in the properties that have been built, thus helping mobility. I beg to move.

Earl Attlee Portrait Earl Attlee
- Hansard - -

My Lords—

Lord Kennedy of Southwark Portrait Lord Kennedy of Southwark
- Hansard - - - Excerpts

The noble Earl was a bit too quick for me. The Opposition gives its full support to the noble Lord, Lord Best, in moving his amendment on the exclusion of certain rural dwellings from the preserved right to buy. He is seeking to deal with an unintended consequence of the planning system. Many social homes in rural areas are built through Section 106 agreements. An issue can arise where housing is transferred from the local authority to housing associations. In these cases, existing tenants are given a preserved right to buy. When Section 106 agreements are used to build new social homes in rural areas, there is often a planning obligation which means that they must remain for social let. In those cases, tenants with a preserved right to buy are unable to move into these properties.

The amendment fixes an unintended consequence and the tenants would then have the right to acquire, which does not apply in rural areas. Therefore, the problem would not happen and the tenants in those situations can seek to move to social housing in rural areas if they wish. I hope that the noble Earl, Lord Attlee, can see that we are trying to be constructive and sort out a problem for everyone’s benefit.

Earl Attlee Portrait Earl Attlee
- Hansard - -

My Lords, the noble Lord, Lord Best, in moving his amendment suggested that his point was not fully understood. He alarmed me somewhat because he talked about Section 106 and its consequences. Unfortunately, my notes do not refer to Section 106 and nor do the Q and As. If my response does not fully answer his question, I will of course write to him with further details.

Tenants who have been involved in a stock transfer from a local authority to a registered provider would have agreed to this transfer on the basis that they would retain their right to buy. We do not think that it would be proper to remove this right from the tenant. Equally, we do not think that it is right that secure tenants who are part of a future stock transfer should have their longstanding right to buy taken away simply because they live in rural areas and their homes have been transferred to a new landlord.

However, while we wish to ensure that transferred tenants are not denied their existing rights, there is statutory provision to ensure that the new tenants of these properties do not get the right to purchase their homes in order that the properties remain available to those in need of social housing. There are existing measures in place to ensure that homes in rural areas, which are sold under the preserved right to buy, remain available to people at affordable prices.

Landlords can already impose restrictions requiring owners who wish to sell to either resell only to people who have lived or worked locally for at least three years, or first offer their home to the landlord, giving them the opportunity to return the property to their existing housing stock if they wish to do so. These restrictions on reselling are already in place in a very significant proportion of our countryside and remain in place in perpetuity. In our view, this is sufficient.

I hope that I have met the noble Lord’s points. If I have not, I will urgently have a meeting with him and officials in order to further examine the issues.

Lord Best Portrait Lord Best
- Hansard - - - Excerpts

I am very grateful to the noble Earl for that. A meeting will be necessary and I am grateful to him for agreeing to that. I beg leave to withdraw the amendment.

Statement of Changes in Immigration Rules

Earl Attlee Excerpts
Wednesday 7th September 2011

(12 years, 10 months ago)

Lords Chamber
Read Full debate Read Hansard Text Read Debate Ministerial Extracts
Lord Clement-Jones Portrait Lord Clement-Jones
- Hansard - - - Excerpts

My Lords, I should like briefly to add to the comments made by both my noble friends, with whom I am in total agreement. Indeed, I very much welcome today’s debate. I declare an interest as chairman of the Council of the School of Pharmacy, University of London.

It is already very clear through this debate that the process and outcome of the consultation, impact assessment and change in the rules have been grossly unsatisfactory. Although it was rather strange, I suppose that the qualified welcome given by some institutions to the March statement by the Home Secretary and the attendant statement of intent was explained by the fact that many in higher education were expecting worse. However, that does not mean that any of them are by any manner of means in agreement with the current state of play.

I want to talk, in particular, about the closure of the post-study work route visa, on which I have asked quite a number of questions over the past two years. The Government’s response to the Home Affairs Select Committee and correspondence to me from the immigration ministry are interesting in that they show that the Minister and the Home Office seem to have greatly underestimated the importance of the post-study work aspect of coming to a United Kingdom university.

As vice-chairman of the All-Party Parliamentary China Group, I have had a great deal of contact over the years with Chinese students in particular. I believe that some 80,000 to 100,000 students from China are here at any one time. The opportunity to undertake what is essentially an internship with a UK business after graduating, to prepare for a career back in China, has played a very important part in the decision by Chinese students to come here. In the response to the Home Affairs Select Committee report, the Minister said:

“We want to ensure students come for a limited period and to study not to work”.

In his letter to me of 27 July, the Minister put it rather differently:

“Tier 4 should be about coming to the UK to gain a high-quality education and not about finding a route to work in the UK through undertaking a course”.

However, that completely misunderstands the reason for the post-study work route visa. It is a route to having brief work experience here in the UK and thereafter to working long-term back in the home country with the skills acquired.

The tier 2 route visa will be granted only on a case-by-case basis. If we were able to unpack the responses to the consultation, which we are not, I am sure that a better solution could easily be found—certainly looking at the evidence to the Home Affairs Select Committee—to tighten up the PSWR mechanism under tier 4. That would be much more satisfactory. As it is, it will make our higher education institutions much less attractive to overseas students. As we know, and as has been mentioned by all speakers so far, the impact assessment for the new rules came out extremely late in a very unsatisfactory fashion. That, as we also know, was commented on by the Merits Committee on two occasions, and we now know that some £3.5 billion gross of income and economic activity could be at risk as a result. That potentially has a huge impact on our education sector and it puts that sector considerably at risk on the basis of little evidence of abuse of the post-study work route visa.

It is right to say, as the Merits Committee does, that it is not clear from the impact assessment or the Explanatory Memorandum to the June statement how the findings from the consultation have fed into the development of the policy or the estimates of the costs and benefits of the changes. I think that that is an entirely uncontroversial statement in the light of what we have heard today. That is despite the statement in paragraph 8.1 of the statement of changes. As we know, the consultation was rushed through in only a month, which itself was grossly unsatisfactory and, sadly, these new rules have taken effect in those circumstances. It is vital that the new rules are kept under review and I hope that the Minister can give an undertaking that that will happen after a very short period of operation. It would have been better if these rules had not gone through but, on the basis that they have, I very much hope that the Minister can give an undertaking that such a review will take place.

The experience of Australia is an extremely salutary lesson in these circumstances. When the Immigration Rules were changed, as the Home Affairs Select Committee reported, there was a slump in applications from overseas to Australian universities, from which they are still recovering.

Finally, the Home Affairs Select Committee report, which is an extremely good document, said that the committee members were not persuaded that students are migrants. The Minister, in his reply to the report, said that he disagreed, claiming that the definition was long-standing under UN measures. That does not make it right. It is high time that rationality prevailed and that students are not regarded as migrants unless they are here for the longer term after graduating.

Earl Attlee Portrait Earl Attlee
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My Lords, I thank the noble Lord, Lord Hunt, for the opportunity to debate this Motion. A large number of points have been raised. I am eager to deal with the issues to which they give rise but clearly I shall have to deal with most of them in writing, as noble Lords have been quite wide-ranging.

The Motion before us deals with changes to tier 4 of the immigration system covering international students. The issue at hand is how the findings from the consultation have fed into the development of the policy and the estimates of the costs and benefits of the changes.

When the noble Lord, Lord Hunt, started, he told us about the importance of overseas students. He is, of course, quite right and I absolutely agree with him, but only in respect of genuine students who have come here to study at our world-class academic institutions. That is why we are devoting our attention particularly to the private education sector, where there is much abuse, although we are doing well to reduce it. However, I am at one with the noble Lord regarding universities. He will know that they enjoy considerable advantages under our policies. For example, we have introduced flexibility into universities on the English language requirements, on the ability to work and on the ability to bring in dependants.

The noble Lord, Lord Hunt, talked about loss of income from the UKBA. Although there will be a reduction in fees paid to the UKBA, the agency has made allowance for this in its business planning. I hope that he agrees that the UKBA exists to keep our borders secure and not just to turn over visa fees. He claimed the credit for the previous action to deal with bogus students but the previous Government only started that and left this Government with considerable work to do.

The noble Lord referred to the 35th report from your Lordships’ Merits Committee, which states that:

“The Committee regrets that it is not clear from the IA or the Explanatory Memorandum how the findings from the consultation have fed into the development of the policy or the estimates of the costs and benefits of the changes”.

Your Lordships will recall that the House debated the first set of changes to the student route on 16 May. At that time, the impact assessment for the student changes had not been published. However, the impact assessment for the changes to the student route was published when we made the second set of changes on 13 June. I reiterate my previous reassurance that we are quite clear that it is right and proper to provide the Merits Committee with the information necessary for it to do its job.

However, the issue having been raised, it would be remiss of me not to put this again in the context of the previous practice in this area. While it is generally accepted as good practice, there is no legal obligation for the UKBA to consult on changes to the Immigration Rules. In March 2010, the previous Government made significant changes to tier 4—the student route—without a formal public consultation. Despite taking the views of key partners, they did not publish any formal explanation of the findings. Similarly, in March 2006, following consultation, the previous Government published their policy for a points-based system but did not publish the 517 consultations that they received.

I am satisfied that this Government have gone to great lengths to seek the views of the public and of the sector, and to take account of these views in developing our final policy. On 23 November 2010, the Home Secretary informed Parliament that she intended to hold a public consultation on reforming the student visa system. This process began on 7 December, when the Home Secretary announced our proposals and the consultation paper was published. The consultation ran until 31 January 2011—shorter than a standard 12 weeks but that was in order to announce decisions at a time that would allow the sector and students to plan for the following academic year.

Our consultation received over 30,000 responses—10 times as many as the consultation on economic routes—and officials spoke to representatives of over 200 institutions during the consultation period. On 22 March, the Home Secretary made a full statement in the other place setting out the detail of the Government’s decisions, and the public reaction and data that had informed those decisions. On 31 March, we published a detailed statement of intent describing the full policy package and lay changes to the Immigration Rules to implement the first changes resulting from the consultation, which came into effect on 21 April. On 13 June, we lay the second set of changes to the Immigration Rules and published the impact assessment.

It is true that, like the previous Government, we have not published every consultation response. As I mentioned, there were over 30,000 responses online and over 200 longer written responses. We published a summary of the online responses to all questions asked and answered in the consultation. We also indicated the level of support in relation to every response. We felt that this was helpful information for Parliament and interested parties to have. The government code of practice on consultations states that:

“Following a consultation exercise, the Government should provide a summary of who responded to the consultation exercise and a summary of the views expressed … Consideration should be given to publishing the individual responses received”,

but, in this instance, the volume of responses made that impracticable.

The level of response demonstrates a high level of public engagement with the policy development processes. The changes that we have made to our final policy show that we have genuinely listened to and taken account of the views expressed. For example, we initially proposed raising the minimum level of English to an upper immediate level and required secure English language tests for all students. This received a clear, negative response from institutions, who indicated that pre-university pathway courses provided a vital route for international students to access our world-class universities.

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Baroness Hamwee Portrait Baroness Hamwee
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My Lords, I wonder if the noble Earl could clarify—if not now, then at a later time—the basis of the use of the responses to the consultation. I was not entirely clear whether he was saying that it was factual information that was not used, and that other sources were used, or whether it was something wider than that.

Earl Attlee Portrait Earl Attlee
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My main point was that the consultation was responding to the policy rather than giving us detailed data on the likely effect of the policy.

Lord Hunt of Kings Heath Portrait Lord Hunt of Kings Heath
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My Lords, I am most grateful to the noble Earl, Lord Attlee, who seems to be working very hard today.

First of all, I echo the point made by the noble Baroness, Lady Hamwee, about the work of the Merits Select Committee, of which she is a distinguished member. It is very difficult for noble Lords to go through all the statutory instruments and statements of changes, and without the Committee we would be in a very difficult position as far as parliamentary scrutiny is concerned. Essentially this debate is about two issues. One is parliamentary process and the information provided by the Home Office; and it is also about the policy. On the issue of parliamentary process, it is very important that the Home Office learns lessons from the way in which this statement and previous statements have been produced for when further changes in Immigration Rules are brought before your Lordships’ House.

The noble Lord, Lord Avebury, has said that this is not the first such occasion, and indeed it is not. We come back consistently to this House to debate these changes because of the inadequacy of the department’s approach. The noble Earl said that his department readily takes on board the points made by the Merits Select Committee, but so far it has not. We continuously come back to debate these issues because the Merits Select Committee has identified inadequacies in his department’s approach. I have very little confidence that we will not be back in another few weeks with further discussion on the same basis.

The noble Earl has kindly offered to write to noble Lords on points to which he has not responded—he always does and it is appreciated—and I hope that his department will take this to heart. I thought it was very interesting when the noble Baroness, Lady Hamwee, said that the problem with the IA was that it only had two options: the do-nothing option, or the option of taking what the Home Office wants to do. Rather surprisingly, the Government have come to the view that the Home Office got it right in the first place. I am sure that we are all reassured that, after rigorous consideration of the Home Office’s original proposals, they have indeed, through the IA, come to the view that that is the right approach. Normally on IAs, one seems to get a series of options where I think one can get a more considered view, and I would hope for that in the future.

I too would pay tribute to the ILPA. I thought that the briefing paper it produced for us was, as ever, very comprehensive. Very interesting were the examples that it gave of people who would be badly affected by these proposals and changes. I hope that the noble Earl will have some time to have a look at these examples, because I think that they bring home to us how these changes can have a real impact on people from other countries.

The noble Lord, Lord Avebury, spoke about the impact of English language schools, and I agreed with everything that he said. I thought that he put a very pertinent point to the noble Earl about the proposal to change from the accreditation scheme to the monopolistic provider that is now going to be provided in relation to inspection, which will be very expensive indeed. The noble Earl gave the reasoned response that he thought this was going to be a more effective and more rigorous scrutiny. I hope that the noble Lord, Lord Avebury, might feel able to bring this back in some form because I think that it warrants further debate. I am particularly worried about the monopolistic issue and the cost, and I hope that there will be an opportunity to debate this further in due course.

I very much agreed with the noble Lord, Lord Clement-Jones, who spoke from his experience of the School of Pharmacy. My experience is particularly in the health field. Throughout the world we have wonderful contacts with healthcare systems in other countries, and it is because we have always had this marvellous open door, with people from other countries who often come to help the NHS. My fear is that it is not just the change in the rules that will make a difference but the change in the atmosphere; people from other countries will get the feeling that they are no longer wanted here to study, and that is a major concern.

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My Lords, it is because the route has been abused.

Lord Hunt of Kings Heath Portrait Lord Hunt of Kings Heath
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Yes, my Lords, but surely the point is to deal with the abuse in a holistic way and not stop legitimate people coming here. I fear that the changes will have that dampener impact. I really do.

On the question of consultation, I, like the noble Baroness, was rather confused by the Minister’s response. The Government seem to dismiss these responses because they commented on the policy or because they were unrepresentative. I do not know who decided that they were unrepresentative; it is almost as if the Government have decided that anyone who does not like the policy should not be listened to because they are unrepresentative. I just point out to him—and I am indebted to my noble friend Lord Rosser for referring to this—that the Merits Committee in paragraph 10 says that the committee very much regrets the lack of information and how the findings from the consultation fed into the conclusions and estimates that the Government have made. As the committee says,

“the estimation of costs to educational establishments would benefit from”,

consultees, and it is,

“regrettable as the Government presumably received some useful information given that the consultation specifically asked about the main advantages/disadvantages of the changes”.

If you are commenting on the general policy, I would have thought that you were actually talking about the main advantages and disadvantages of the changes. That really gives the game away. The fact is that all those legitimate organisations involved in education know that this has been a disastrous change in policy; they told the Government that and the Government take no notice. No wonder they have not fed that into the results of this statement of changes.

This has been a thoroughly good debate. Once again, the Government have found themselves rather lonely on this policy. That is because this policy is wrong and highly damaging to this country. I of course withdraw the Motion, but I hope that the Government will listen to what noble Lords have said tonight.

Localism Bill

Earl Attlee Excerpts
Wednesday 7th September 2011

(12 years, 10 months ago)

Lords Chamber
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Lord McKenzie of Luton Portrait Lord McKenzie of Luton
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My Lords, I thank the noble Lord, Lord Best, for introducing this amendment and for his description of the Community Land Trusts approach. We have a good deal of sympathy with the thrust of this because we have seen the benefit of the Government’s reply to the amendment in the document they issued in August. Of course, this was one of the amendments that was withdrawn at the last stages of Committee.

As we have heard, these powers seek to replicate provisions already in the Bill relating to community right to build orders. The amendment seeks to remove enfranchisement rights in respect of dwellings owned by CLTs, and enfranchisement rights give leaseholders the right to acquire freeholds in certain circumstances—legislation, as the noble Lord referred to, that was started by the Leasehold Reform Act 1967, but I think those opportunities have been greatly extended since.

As I understand it, the gist of the Government’s position appears to be that CLTs do not necessarily have the same level of community engagement as bodies do under the community right to build provisions, which are proposed by the community, supported by the community, subject to a community referendum. However, where the CLT does satisfy the level of community engagement, it will be able to apply for a community right to build order and thereby obtain the benefit of disapplication of enfranchisement rights. But I am bound say, therefore, that I am not sure why, where there are circumstances that permit this, they could not be described in the prescribed circumstances that the noble Lord is seeking in his amendment. Proposed subsection (1) says,

“regulations may make provisions for securing that in prescribed circumstances, an enfranchisement right”—

et cetera. So why could what the noble Lord describes not be encompassed in that way?

I think that the noble Lord makes a good point about referendums in relation to community right to build orders. In circumstances where there is clearly a very high degree of support for a project, why indeed put the project through the process, cost and challenges that this entails? It does appear that one way or another there is a route to the result that the noble Lord is seeking, which is all well and good, and I agree that we should not be seeking to remove enfranchisement rights lightly—these are important rights. I think that he has described fully why they should be removed in these sorts of circumstances.

I therefore support the thrust of the noble Lord’s amendment. I believe that they should not be forced through the community right to build process just to achieve the outcome here and that it could be dealt with by regulations that, as his amendment suggests, fully cover the situation.

Earl Attlee Portrait Earl Attlee
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My Lords, enfranchisement rights are an established and significant right, and removing them must not be undertaken lightly. We expect to use the community right to build powers to ensure that the enfranchisement rights are only removed where the proposal is by the community, for the community and has the backing of the community through a community referendum, as identified by the noble Lord, Lord Best.

I understand that the regulation-making power provided for by the amendment is expected to be used to disapply enfranchisement rights simply where a CLT is the landlord of the property. There is, however, no requirement for a CLT to be made up of members of the community and there is no requirement for a community referendum. This means that a CLT development may not be proposed or supported by the community. I am afraid that the removal of these significant rights cannot be justified. The design of the community right to build will allow the majority of CLTs to apply for a community right to build order. As such, they will be able to benefit from the disapplication of enfranchisement rights under a community right to build order, again as explained by the noble Lord, Lord Best. With these reassurances, I hope that the noble Lord is willing to withdraw his amendment.

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Lord Kennedy of Southwark Portrait Lord Kennedy of Southwark
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My Lords, my amendment is quite simple and seeks to place an obligation on the Homes and Communities Agency to produce certain information in its annual report. All the information, I understand, is available, some I accept is already published at least every year, and in some cases at least every six months. Having said that, I do not accept that this would be an unmanageable burden or that it is unnecessary or inappropriate to require the agency to produce such information in its annual report. I would contend that this is just the sort of information that the HCA should be including in their annual report. It is also valuable in the review document for the organisation that they clearly detail the number of new properties they have delivered on, what the level of rents are and who they are serving.

This amendment was tabled in Committee but not taken. If the noble Earl is not minded to accept it, in what other ways will the Government ensure that this important information gets out there? While it is one thing to say that the information is already out there, if you are not sure where it is, how it is collected or where it is located in the first place—or whether it is in a number of different places—then getting all the information, making comparisons and being able to comment with an informed mind becomes much more difficult. I beg to move.

Earl Attlee Portrait Earl Attlee
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My Lords, the noble Lord described his amendment as simple; experience shows that simple amendments can sometimes be the most dangerous. The information that this amendment would require to be included within the annual report is either reported on already or is available to members of the public, should they request it. For example, information on the total number of homes delivered each year is provided in the HCA’s official statistics, which are published every six months. The HCA also collects information on the number of habitable rooms per property and reports this to my department. No doubt if other types of information became desirable to collect, they would be collected without the need for any legislation.

I do not believe that it is necessary to prescribe in statute that these specific information requirements are included in the HCA’s annual report when the information is either already being collected and reported on or can be made available through existing channels. For these reasons, I hope that the noble Lord will withdraw his amendment.

Lord Kennedy of Southwark Portrait Lord Kennedy of Southwark
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My Lords, I thank the noble Earl for his response. Again, we are not going to agree on this. I am very worried that sometimes if the information is out there but you cannot find it or do not know where it is, there is an issue. People should be able to use and comment on it. Having said that, in this case I am prepared to withdraw the amendment.

Localism Bill

Earl Attlee Excerpts
Wednesday 20th July 2011

(12 years, 11 months ago)

Lords Chamber
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Lord McKenzie of Luton Portrait Lord McKenzie of Luton
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My Lords, we have added our name to the clause stand part debate that was spoken to by the noble Baroness, Lady Parminter, in particular. Along with the noble Lords, Lord Jenkin and Lord Reay, and, I think, the noble Baroness, Lady Hamwee, we stand by the long-standing and fundamental principle that planning permission may not be bought or sold—a principle that was reinforced by, I think, the Nolan committee in 1997.

I can see that the amendment was an attempt to be helpful and potentially addresses one area of the concern that primacy has been given to financial considerations. However, it still raises the issue of why it is specifically mentioned and highlighted, even with the qualification, when other material considerations are not. Why does it not stand or fall like any other material consideration, subject to whatever case law produces and to guidance? I would support that proposition as well. I was very struck by the force of the arguments that came to us when this clause was introduced, as it was introduced very late in the day in the other place and there was no opportunity to debate it extensively. My understanding is that the test for planning obligations includes that it must be,

“relevant to planning … necessary to make the proposed development acceptable in planning terms … directly related to the proposed development … fairly and reasonably related in scale and kind to the proposed development … reasonable in all other respects”.

I take the opportunity to refer to some correspondence from the Permanent Secretary at CLG—in this case with Nick Raynsford MP, although I think other MPs had a similar exchange. In relation to what was then new Clause 15, the Permanent Secretary stated:

“The Department’s policy position is that local finance considerations should be taken into account in the determination of planning applications, but only where they are material to the decision in hand. That is, where they relate to the use and development of land, and to the planning merits of the application in question. The Minister does not agree that the clause would cut across the fundamental role of planning in protecting the public interest, and it is not our intention to indicate that local finance considerations will always be material, that any specific weight should be given to them, or that they are any more important than other material considerations”.

This begs the question: why do we need this clause? What is it doing in relation to the new homes bonus that is so important to the Government, particularly given all the anger and concern that it has raised?

I am not sure that I would share in its entirety the encouragement of the noble Lord, Lord Best, for the new homes bonus. One can see that it is an important part of government policy, but after year 1 it will be funded by scraping off the top of the grants that local authorities get. The redistribution of those moneys is not particularly helpful. It also acts against regeneration because it is done on a net basis. Therefore, if you knock down existing properties to build new ones, nothing will flow from it.

Perhaps the Minister could give us an example of when receipt of a new homes bonus would not be a material consideration. The new homes bonus is always computed by reference to the development; that is how it is generated. Because it is calculated in this way, will the Minister give us some instances, to support the Government’s proposition, of when it would not be a material consideration? That would help us. It would be good to hear from the Minister why the Government feel that it is so important that this must be included in a new clause. What is it about the new homes bonus that would otherwise be a problem if the clause were removed?

Earl Attlee Portrait Earl Attlee
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My Lords, I am grateful to all noble Lords who have taken part in the debate. My first and pleasant duty is to welcome the noble Lord, Lord Kennedy of Southwark, to the opposition Front Bench. We did business the other day on his interesting question about Thameslink. Because it was topical, it required me to work pretty fast.

The Government are committed to increasing housing supply to meet housing needs and to supporting growth to boost recovery. Along with planning system reforms, we need better incentives for communities to support and accept new development. The noble Lord, Lord Best, touched on that in his valuable contribution. However, it is vital that we provide clarity on how such incentives relate to the statutory planning system. This is not a new phenomenon, as my noble friend Lady Hamwee pointed out. Voluntary agreements between landowners and local planning authorities to provide things needed as a result of development have been in use since 1932. Nowadays, Section 106 of the Town and Country Planning Act 1990 makes provisions for planning obligations. The use of planning obligations is regulated by statutory and policy tests. A developer cannot be made to sign up to a planning obligation, but planning permission can be refused if, without one, a particular development would be unacceptable in planning terms.

Community infrastructure levy powers introduced in 2010 allow local planning authorities to collect and pool mandatory developer contributions, based on charges per square metre of new buildings. While planning obligations must relate to the planning merits of the specific development that they relate to, community infrastructure levy funds can be used to support development across a wider area. The new homes bonus is even more flexible, as local authorities can spend it as they see fit. The Government’s hope is that the community infrastructure levy and the new homes bonus will encourage and support more ambitious development planning, by increasing the resources available for local authorities to spend in their areas over and above what they can reasonably seek as planning obligations.

However, they are both new on the scene and questions have been raised over how such measures relate to the statutory planning application system; in particular, can they ever legitimately be taken into account in decisions on planning applications? The Government are therefore keen to clarify the legal position on this. Clause 124 provides this clarity by amending Section 70 of the Town and Country Planning Act to clarify that such considerations should be taken into account in relation to planning applications but only where they are material to the particular application being considered.

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Lord McKenzie of Luton Portrait Lord McKenzie of Luton
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My Lords, I think we have now had “imminently”, “soon”, and “very soon”. Can the Minister perhaps rank those concepts for us and be a trifle more specific?

Earl Attlee Portrait Earl Attlee
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My Lords, when I originally drafted my response to my noble friend, I put down the word “shortly”, but the note came from the Box that it should be “imminently”. Once I was told that something would happen “shortly” and we got the statutory instrument 10 years later. However, I can assure noble Lords that the NPPF will come much more rapidly.

The noble Lord, Lord McKenzie, asked me for some illustrations and I have a few matters to draw to your Lordships’ attention. The first is the test for whether a consideration is material. Case law has established that to be material to the determination of a planning application, any consideration must relate to the development and use of the land, and to the planning merits of that application.

These are long-established principles. For example, back in 1970, in Stringer v Minister of Housing and Local Government, the classic statement was made that,

“any consideration which relates to the use and development of land is capable of being a planning consideration. Whether a particular consideration falling within that broad class is material in any given case will depend upon the circumstances”.

The noble Lord, Lord McKenzie, asked for examples of where NHB or CIL is or is not material. Take a scenario where NHB and CIL funds pooled by an authority will help fund a new parkway station on the local commuter route. In determining an application for a major housing development on a site within the catchment of the proposed station, it would be perfectly reasonable for the local planning authority to have regard to—as a material consideration—the fact that the development would generate revenues which would contribute to the new parkway station that would serve that development.

Of course, matters relating to NHB and CIL will not be material in relation to every development. Using the same example, what if the new development was particularly aimed at the retirement market? The development would, as with executive homes, result in NHB and CIL funds which would contribute to providing the station. This would still be a reasonable use of the funds. However, the provision of the station would not be material to the determination of this application, because it would not relate to the planning merits of the development proposed. Equally, the provision of this station would not be material to the determination of an application for a similar sized executive housing development which would be in the same local planning authority’s area, but on a site far removed from the station, and whose occupants would not use that new facility—so it would not be relevant to the application. What I hope I am illustrating here is that local planning authorities will only be able to take matters relating to NHB and CIL into account where they fairly and reasonably relate to the planning issues that are relevant to the particular application they are considering.

These are, of course, only very simple examples. For most planning applications there will be a wide range of matters that might be material: local planning authorities will need to judge, with the law as their guide, which matters are material to the case in hand. They will then need to decide how to apportion weight between all of those matters that are material. Just because something is or is not material does not mean that it will always have a decisive bearing on the decision to be made.

Turning to the amendment in the name of my noble friend Lord Greaves, ably moved by my noble friend Lady Hamwee, I thank the noble Lords most genuinely for this helpful suggestion. Despite its humble purpose, Clause 124 has clearly caused some to worry that it might in some way oblige decision-makers to give more weight to local finance considerations—but only where material—than to other material considerations, such as amenity or the environment. My noble friend’s suggestion is without doubt intended to provide reassurance on this point and it fully reflects the Government’s intention to leave the apportioning of weight to the discretion of the decision-maker. The Government are confident that the current clause achieves this on its own. However, there is merit in looking again at the wording to ensure that it does not inadvertently place local finance matters in any particular place in the pecking order of material considerations. My noble friend’s suggestion will be of great assistance as we continue to reflect on whether this clause best reflects our intentions. In the light of this, I hope that my noble friend will feel able to withdraw the amendment.

Lord McKenzie of Luton Portrait Lord McKenzie of Luton
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My Lords, before the noble Baroness does so, may I just draw out the Minister a bit on one example? A local development plan has provision for 5,000 houses but is strapped for cash. It sees the opportunity for a cash incentive—which is what the new homes bonus is—because it needs to use some resources elsewhere in its provision of services. It therefore grants planning permission for 8,000 units, motivated by that cash incentive. Would that, all other things being equal, be a non-material consideration? Would it put in jeopardy the approval, because of the difference between that and the development plan?

Earl Attlee Portrait Earl Attlee
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My Lords, the noble Lord poses a good question that will help to illustrate the situation. He describes a situation where the planning application is for more houses than are provided for in the local development plan. The extra money arising from the NHB and the CIL from those houses can be taken into consideration if it is used in relation to those extra houses. If the money is going to enhance a railway station that would support those extra houses, it can be taken into consideration, but if it is to support perhaps a swimming pool on the other side of town, it cannot be taken into consideration because it is not relevant to the application.

Baroness Hamwee Portrait Baroness Hamwee
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My Lords, my noble friend Lady Parminter’s opposition to the clause standing part reflects not just the concern of her organisation but the concern felt outside the House about the provision. Of course I will withdraw the amendment and I am grateful to the Minister for his agreement that the matter will be looked at again.

I shall comment on one or two of the points that he has made. On his example of the parkway station, the reaction around me was, “But that would enable development, and moreover it seems to be suggesting that economic growth is more important than the provision of extra housing”. It may be an interesting example but it has not quite yet convinced us.

The Government put the clause in the Bill in order not to allow uncertainty to linger. However, guidance can be produced quite quickly. It can be issued on the day that the Act comes into force or it can precede it. Although I understand that the Government wanted to reassure people, there are other mechanisms for doing so.

The Minister said that it was important to provide clarity. I hope that I have helped at any rate to suggest that the clause does quite the opposite—instead of clarity it provides more confusion and concern. We will ensure that my noble friend Lord Greaves is aware of the praise for his amendment. I beg leave to withdraw it.

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Earl Attlee Portrait Earl Attlee
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If the noble Lord, Lord Berkeley, wants to weary the patience of the Committee, he is perfectly entitled to move Amendment 168.

Amendment 168

Moved by