Property: London Lettings

Debate between Lord Ahmad of Wimbledon and Earl of Lytton
Wednesday 7th January 2015

(9 years, 3 months ago)

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Lord Ahmad of Wimbledon Portrait Lord Ahmad of Wimbledon
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The noble Lady referred to my recall of 1973. I was but a toddler then, but I have certainly read up on it. Let me assure her that the purpose behind the Government’s proposals is not in any way to reduce the housing stock, but to allow Londoners who are home owners and wish to put their properties up for rent on a short-term basis of up to 90 days to do so, without the need for increased bureaucracy. The measure will amend Section 25 to permit regulations that allow genuine householders to supplement their income by renting out their property. As to London’s housing shortage, I of course recognise the importance of London homes for Londoners, and the change will not remove the protection available in Section 25.

Earl of Lytton Portrait The Earl of Lytton (CB)
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I am sure the Minister would agree with me that the sort of occupation that would be facilitated by aspects of the proposed relaxation effectively becomes a form of commercial activity, and is treated as such for many regulatory, safety and taxation purposes. Would he not agree with me that, given the implications for the safety and amenity of regular residents, this matter is a proper concern of the development and building control functions that are exercised on a case-by-case basis on behalf of the community by the local authority?

Lord Ahmad of Wimbledon Portrait Lord Ahmad of Wimbledon
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My Lords, I assure the noble Earl that the Government have clarified that they intend to use the regulation-making power only to allow residents to let their homes on a short-term, temporary basis, such as when they are on holiday, without the need for planning permission. It is not intended to be used on a permanent or commercial basis. On the concerns that the noble Earl expressed, there will of course be safeguards. As he may be aware, provision will be made in the legislation for exemptions for areas and particular types of accommodation, which will be subject to review. Finally, I assure the noble Earl that we are working with local authorities, particularly those that have expressed concerns, to ensure that regulations provide the correct balance by allowing the kind of short-term letting that we wish to see while keeping the safeguards in place.

Short-Term Holiday Lets

Debate between Lord Ahmad of Wimbledon and Earl of Lytton
Monday 8th December 2014

(9 years, 4 months ago)

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Lord Ahmad of Wimbledon Portrait Lord Ahmad of Wimbledon
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My noble friend raises an important point about fire safety orders. They apply to all accommodation for paying guests irrespective of the business model used to market the accommodation. As he will be aware, under the order those offering accommodation to paying guests have a responsibility to assess the risk from fire and to consider fire precautions. If there are specific issues on the matter he has raised that he would like to take up with me, I shall certainly look into them.

Earl of Lytton Portrait The Earl of Lytton (CB)
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I declare an interest in the matter as a lessor of short-term holiday accommodation outside London. Given the ongoing responsibilities of various public authorities for other things such as environmental health, what reassurance can the Minister give that the proposed removal of local authority control in London for these very short-term and holiday lettings will not result in an untidy free for all which will be difficult to police because of its short-term nature, with potentially serious overcrowding? Is there an intention to consult further with property managers?

Lord Ahmad of Wimbledon Portrait Lord Ahmad of Wimbledon
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The noble Earl raises an important point about consultation. The regulations, when they are issued, will be subject to an affirmative order. In developing the guidelines and the subsequent regulations, we are working very closely with London local authorities to ensure that all the points and concerns that they raise are covered.

Anti-social Behaviour, Crime and Policing Bill

Debate between Lord Ahmad of Wimbledon and Earl of Lytton
Monday 20th January 2014

(10 years, 3 months ago)

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Earl of Lytton Portrait The Earl of Lytton
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I apologise to the noble Lord for interrupting his flow. The Minister pointed out the difference in approach between planning and building regulations. We have heard, for instance, that certain things may not apply to social housing providers of one sort or another. Building regulations do not necessarily fall automatically within the purview of a local authority; they can be outsourced. Therefore, you can have any number of commercial companies who can provide the building control facility. The NHBC, for instance, is actually a certification process set up by—

Lord Ahmad of Wimbledon Portrait Lord Ahmad of Wimbledon (Con)
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I remind the noble Earl that we are at Report, and it is normal convention after the Minister just to hear from the mover of the amendment, unless there was a specific point of elucidation or clarification to be made. I feel that the noble Earl may be going into a more detailed exposition.

Anti-social Behaviour, Crime and Policing Bill

Debate between Lord Ahmad of Wimbledon and Earl of Lytton
Wednesday 8th January 2014

(10 years, 3 months ago)

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Lord Ahmad of Wimbledon Portrait Lord Ahmad of Wimbledon
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My Lords, in Committee, Clause 1(5)(a) was the subject of some debate. It and the related provision in Clause 21 have also been a subject between the Home Office and the Joint Committee on Human Rights. Essentially, this provision places a duty on the court to avoid, as far as practicable, imposing prohibitions or requirements in an injunction or a criminal behaviour order which would conflict with the respondent’s religious beliefs.

The Government have consistently maintained that this provision related to the manifestation of the respondent’s religious beliefs, rather than to the religious belief per se. However, for the avoidance of doubt, we have decided not to remove the provision from the Bill, on the basis that the courts would in any event, by virtue of the operation of the Human Rights Act, be bound to consider whether the proposed prohibitions or requirements were compatible with the respondent’s convention rights, including but not limited to the right to the freedom of religion. I beg to move.

Earl of Lytton Portrait The Earl of Lytton (CB)
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My Lords, I can quite understand the reason why this particular safeguard or defence in injunctive procedures is to be removed. The noble Lord may rest assured that I am with him as far as the argument goes. I have written to his noble friend and had an answer this morning pointing out that, in normal civil injunctive proceedings, there are a significant number of available defences—depending on how one counts them, 15 or 20 or more. The Bill as it stands would have allowed for three; this will reduce it to two.

I still do not understand, because in his letter to me—which I thank him very much for, and for keeping me in the loop on correspondence generally to do with this Bill—the noble Lord, Lord Taylor, merely said that he did not agree with me. He did not explain why in one set of civil injunctive proceedings under this Bill there will remain two defences, but in any other injunctive proceedings there will be 15 or more. That seems a two-tier approach, so what is the direction of travel in that respect?

Lord Ahmad of Wimbledon Portrait Lord Ahmad of Wimbledon
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My Lords, perhaps I may come back to the noble Earl in advance of Third Reading on that to specifically clarify the issues that he has raised. In terms of what the Government have done thus far, our understanding and direction of travel is clear, responding directly to the concerns raised on this issue.

Growth and Infrastructure Bill

Debate between Lord Ahmad of Wimbledon and Earl of Lytton
Monday 4th February 2013

(11 years, 2 months ago)

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Earl of Lytton Portrait The Earl of Lytton
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My Lords, I tabled this probing amendment following discussions with the Compulsory Purchase Association. It sits as a singleton and does not relate to the amendments I moved previously in connection with compulsory purchase. I hope I can be brief and that it will be recognised as an attempt to free up the processes and will have general support as it actually removes something from the statute book rather than adding something.

The background to the amendment relates to the certification process when the infrastructure planning commission has accepted an application for an order granting development. Noble Lords will doubtless know of the procedure. Section 56 of the Planning Act 2008 provides that notice is to be given to persons of a particular category and in the form prescribed. Section 58 then deals with compliance with that general provision and, in particular, states at subsection (3):

“A person commits an offence if the person issues a certificate which … purports to be a certificate under subsection (2), and … contains a statement which the person knows to be false or misleading in a material particular”.

It relates to “knowingly” doing something that is offensive. Subsection (4) states:

“A person commits an offence if the person recklessly issues a certificate which … purports to be certificate under subsection (2), and … contains a statement which is false or misleading in a material particular”.

I have bit of a philosophical battle regarding the difference between the use of “knowingly” and “recklessly” in other matters. I should mention that “recklessly” is always a materially reduced standard of proof; however, the practicalities of this in relation to nationally significant infrastructure projects are, of their very nature, complex and involve large numbers of interested persons. All such projects are listed in the 2008 Act, many of them under various headings. The very idea of attaching a criminal offence to something of that degree of complexity borders on the absurd.

My amendment seeks to remove subsections (3) to (7), which contain the provisions for this sanction. The Committee may feel that that is going a little too far and I am quite happy to hear from the Minister that that might be the case. However, while an infrastructure provider on a large and complex scheme, which perhaps covers a substantial geographical area and a lot of different interests, may be expected, not unreasonably, to use its best endeavours to notify to all interested parties, having a criminal sanction is going a step too far. The Compulsory Purchase Association certainly feels that the provision is an impediment and stands in the way of getting these things done in a timely manner, while everyone carries out their due diligence in order to try to make sure that there is nothing lurking there which, unbeknown to them, could give rise to this criminal sanction.

My argument pivots on the term “recklessly”, which indicates that the circumstances in which there might be some element of risk are known but that someone somewhere thinks that you have not done enough to take account of those risks. The standards of proof are not as robust in terms of a convicting authority as they would be otherwise. The amendment removes risk and possible abuse in the setting in place of various bear traps, tripwires and anything else that people might want. The amendment will shorten timescales and remove a sanction that ultimately is unnecessary. I beg to move.

Lord Ahmad of Wimbledon Portrait Lord Ahmad of Wimbledon
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My Lords, I thank the noble Earl, Lord Lytton, who has made a number of important points about the operation of the major infrastructure planning regime. Of course I share his concerns to ensure that unnecessary bureaucracy and, indeed, all such administrative burdens are removed wherever possible from the planning system.

Sections 56 and 57 of the Planning Act provide that an applicant for development must notify certain persons of an application for development consent, such as local authorities, environmental bodies or people with interests in land. This is a crucial part of the pre-examination phase of a nationally significant infrastructure project as it ensures that those bodies and individuals with an interest in the project are made aware of and are able to engage in the development consent order process. This is, of course, crucial for an effective, transparent and efficient examination process.

Section 58, to which this amendment pertains, provides that the applicant must certify that he has complied with these requirements. The noble Earl raised several concerns and, indeed, if an applicant issues a certificate containing false or misleading information, he may be guilty of an offence and liable for a fine. The Government consider that this position is appropriate given the nature of a nationally significant infrastructure project, being on such a scale and having considerable effects, both positive and negative, on not only the local area and local people but also on national and international infrastructure networks. It is vital that applicants comply with the notification and consultation requirements placed upon them so that interested people, organisations and authorities can exercise their right to be involved in the examination of the project. Since the onus is on the applicant to ensure that parties are informed that an application has been accepted, it is right that the Government have some sanctions at their disposal if it fails to comply.

However, the Government remain committed to listening to and addressing any future concerns raised about unnecessary bureaucracy or, indeed, barriers to growth. The Government are happy to discuss any further evidence of this particular provision which is cause for concern. Based on those assurances, I hope that the noble Earl will see fit to withdraw his amendment.

Earl of Lytton Portrait The Earl of Lytton
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My Lords, I thank the Minister very much for his reply. It is a little bit of a disappointment. I simply make the point that, given the provisions for publicity that are also embedded in the 2008 Act, it is scarcely appropriate to have on top of that a criminal sanction. However, he very kindly offers the opportunity to discuss it. In fact, the Compulsory Purchase Association and I already have an appointment with to discuss matters with the department. Although it forms a separate matter from that particular body, I think it is entirely appropriate to leave it to that. While I may return to this at some later stage in the Bill, I beg leave to withdraw the amendment.

Growth and Infrastructure Bill

Debate between Lord Ahmad of Wimbledon and Earl of Lytton
Wednesday 30th January 2013

(11 years, 2 months ago)

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Earl of Lytton Portrait The Earl of Lytton
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My Lords, I tabled these amendments as a probing gesture and, I hope, a reasonably friendly one. I wish to speak to Amendments 58 and 59 together.

I have a professional interest and involvement in the world of compulsory purchase since my early days in—

Lord Ahmad of Wimbledon Portrait Lord Ahmad of Wimbledon
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My Lords, as a courtesy to the noble Earl, if noble Lords wish to leave the Chamber, may I suggest that they do so quietly? Thank you.

Earl of Lytton Portrait The Earl of Lytton
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My Lords, as I was saying, I have a professional interest and involvement in the world of compulsory purchase going back some 30 or more years and have a professional interest to declare. I also wish to record the assistance that I have had from a small group of specialist practitioners in the Compulsory Purchase Association who have been instrumental in helping me draft these amendments. There was to have been a meeting between a representative of the Compulsory Purchase Association and the department but I think that has not yet happened for various reasons. I hope that it will happen because there are probably things that could usefully be discussed, but I know that the reasons for it not happening were beyond anybody’s control.

For more than 20 years, legal experts, surveyors, claimants, acquiring authorities and others have campaigned to have the compulsory purchase system modernised. I have previously campaigned to remove some of the blocks and impediments to growth and infrastructure.

In passing, I should mention Fair Play, a publication produced last year by the Country Land and Business Association on dealing with blocks in the compulsory purchase system. I know that compulsory purchase is a slightly peripheral aspect of this Bill but I am reinforced in my endeavours in this respect by the Bill’s Long Title, which addresses the principle of unblocking systems.

Compulsory purchase is vital to growth and particularly to the creation and laying out of infrastructure. We need a compulsory purchase system that is properly modernised and is understood, with the majority of participants signed up to its principles. Participants need to believe that it is working. At the moment, I feel that there is widespread disdain and that we are dealing with a system that has fallen into a certain amount of disrepute. Participants need to support the process, even if they do not support the specific outcomes; otherwise, we will have delay and sclerosis. We have had many problems in the planning system and other systems, and the compulsory purchase system is another of those systems of administration that need to operate slickly and effectively. One gets the impression that, given the length of time for which this matter has been under discussion by experts of all sorts, it has fallen into the Whitehall “just too difficult to deal with” category. I hope that that is more perception than reality but there are many voices who suggest that the system is long overdue for reform and overhaul.

The Minister kindly wrote to me on 21 January, and I thank her for that. In particular, she endeavoured to answer a point that I had raised on compulsory purchase. She explained that the Bill is intended to deal with specific and small-scale issues and points of concern. I understand that but one needs to look at the system holistically. If we are dealing with growth and infrastructure, and getting things cranked up again for our economy to prosper, it is important that we do not deal with this matter at the periphery— at the edges. We need to deal with the central issues.

I should like to quote from the noble Baroness’s letter. She said:

“I do not think that it is appropriate at this stage in the Bill proceedings to take forward substantive changes to the compulsory purchase system without wider engagement and prior discussions on the details”.

That is all very well, but I was not sure if she was referring to amendments to this harlequin Bill in general or to compulsory purchase in particular. Perhaps she could clarify in her reply the degree to which compulsory purchase should be a component of the Bill. If she was referring specifically to compulsory purchase, I should point out that this matter has been under discussion for a long time. The issues have been well trailed.

In December 2003, the Law Commission published its paper, Towards a Better Compulsory Purchase Code: (1) Compensation. For nine years, that has been gathering dust in the noble Baroness’s department—not, I appreciate, under her jurisdiction as such. However, for far longer, experts have been campaigning for change. Blight, a degree of sharp practice in the advance payments procedures, out-of-date planning assumptions and so on are rife. All these are blocks and impediments to a streamlined system. No wonder the Country Land and Business Association, of which I am a member, has had a lot to say about this issue. It is worthy of consideration. We need to bear in mind that if we are going to roll out schemes such as High Speed 2, the way in which compulsory purchase operates is intrinsic to that process if it is to be carried out in any sort of sensible timescale and at sensible cost.

My amendments are an attempt to test the Government’s resolve and are a litmus test of their real intentions as regards growth and infrastructure. I turn to the detail. Amendment 58 is about advance payments. I should explain that when a compulsory purchase order is made and land is taken, a claimant is entitled to an advance payment of 90% of the estimated compensation due to them, while the final amount is being worked out. It should be borne in mind that at that stage, the relevant land has been taken and the acquiring body is in possession. The problem is that there is a lack of standardisation in the approach to claiming and receiving this payment.

If there is a disagreement regarding the completeness or otherwise of the information required or the basis of the payout, there is no satisfactory quick or necessarily fair solution for dealing with the matter. In those circumstances, it is wide open to abuse, and the abuse can occur on either side—both in the employing authority and, indeed, through claimants trying to manipulate the system to suit their own purposes. This simply causes delay. Advance payments are essential to a claimant’s ability to arrange their affairs. This can, and often is, mission-critical. Statutory interest—currently effectively zero—is no compensation when cash flow is king.

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Lord Ahmad of Wimbledon Portrait Lord Ahmad of Wimbledon
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First, I join the noble Lord, Lord McKenzie, in thanking the noble Earl, Lord Lytton, for explaining the two areas of compensation code for compulsory purchase that are of concern to practitioners and to claimants and indeed for proposing some remedy. I think his explanations were very clear.

First, as regards Amendment 58, the Government are very grateful to the noble Earl for raising this matter. I, too, am concerned to hear about the poor practice in making advance payments of compensation. However, it is not clear how the new Section 52B of the Land Compensation Act 1973 would provide the necessary teeth, for want of a better term, to force the acquiring authority to make the payment when it is due.

The provision to allow an advance payment to be made before possession is taken is new but, again, the same issue arises about how to ensure that the payment actually happens. In both cases, the provisions may not be effective without the additional use of judicial review to obtain an order requiring a tardy acquiring authority to pay the necessary amount.

On Amendment 59, the Government note the view that the percentages for loss payments should be reversed, so that occupiers get the lion’s share. This would be a popular change for occupiers and perhaps less so for owners. The noble Earl, Lord Lytton, suggests that this change would be cost neutral and I have no doubt that cases can be found where this is so. Some have been set out in the Compulsory Purchase Association’s evidence to the Committee in the other place. There may equally be cases where the amount of compensation would rise. Currently, both the evidence and the views of the acquiring authorities are lacking.

For both of these amendments, the issues raised would require further investigation before they could be taken forward. As I said earlier, it is not clear where the teeth could be found to ensure that advance payments are made in time. This might be a subject for good practice guidance, as we have mentioned in respect of other areas of the Bill. That guidance should come from the sector. I am sure that some authorities do things properly, and if others were told how this was done, the situation may improve. The noble Earl was quite clear that sometimes it is not apparent how this process can be done more effectively and the information is not readily available.

The noble Earl also mentioned the letter on loss payments sent by the Minister. He raised the issue about meetings, to which I shall turn in a moment but, first, I shall speak about loss payments. It is clear that the noble Earl’s proposals will be popular with occupiers but not with investment owners. We have not yet heard the view of acquiring authorities. I am sure that the noble Earl will appreciate and understand that, at this time, I cannot commit the Government to taking either of these amendments forward. Even if I could, the argument may quite understandably be made that we need to look at these in more detail, have the necessary investigations and, of course, conduct all consultations, which may not be possible during the passage of the Bill.

The noble Earl suggested, and my noble friend acknowledged the fact, that it would be useful to meet on these amendments and on the particular proposal specifically. Therefore, it would be helpful if we asked our officials to arrange a meeting to discuss the two matters raised and invite the noble Earl and his associates to discuss these matters further. We would welcome such a detailed discussion. Based on those assurances and the offer of a meeting, I hope that the noble Earl will be minded to withdraw his amendment.

Earl of Lytton Portrait The Earl of Lytton
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My Lords, I thank the noble Lord very much for his reply. As I said, my amendments are probing—I wanted to elicit a response. At this stage of the Bill, I am very pleased with the response and with the offer to meet. The Minister identified one or two things that I will comment on. Certainly the intention with regard to advance payments, and how that system would work, was intended to tap into the Land Compensation Act regulatory power provisions. There is a much longer document behind that, which sets out a series of recommendations that I know have been submitted to the department by the Compulsory Purchase Association. I hope that they will form the basis of a discussion on that point. It will require the Secretary of State’s regulation-making functions to bring that in. That is the only place where the teeth are going to bite.

I note the point about the views of acquiring authorities; it is perfectly valid. However, acquiring authorities very often use one of the same specialist practitioners with whom I have been conversing through the Compulsory Purchase Association. The relevant distillation of views is there, but it is perfectly right to raise the point and ask for better and fuller particulars to be provided. What the noble Lord said was perfectly valid. I look forward to a meeting and thank him very much for his invitation. I may return to the issue at a later stage in the Bill, but for now I beg leave to withdraw the amendment.

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Lord Ahmad of Wimbledon Portrait Lord Ahmad of Wimbledon
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My Lords, I absolutely agree with my noble friend that it is very important that parish councils are notified of the making of any legal orders affecting rights of way and other highways serving or crossing a parish and indeed of any town and village green applications relating to land within the parish. It may be helpful to the Committee if I set out how the process works to ensure that this is the case.

First, as regards rights of way creation, diversion and extinguishment orders, paragraph 1(2)(b)(ii) of Schedule 14 to the Town and Country Planning Act 1990 and paragraph 1(3)(b)(ii) of Schedule 6 to the Highways Act 1980 require the order-making authority to serve notice on,

“every council, the council of every parish or community and the parish meeting of every parish not having a separate parish council, being a council, parish or community whose area includes”,

any land affected by a rights of way order.

As regards orders for stopping up or diverting highways for the purposes of development—that is, Section 247/248 orders—Section 252 of the Town and Country Planning Act 1990 requires that, before making an order, notice be served on the local authority in the area of the proposed stopping up or diversion of a highway. Therefore, the notice of a stopping up or diversion is served on the parish council in whose area the development lies.

For town and village green applications, existing regulations require notification of Section 15 applications to parish councils. Specifically, the Commons Registration (England) Regulations 2008, which apply to registration authority areas in England in respect of which the registration provisions in Part 1 of the 2006 Act have been commenced—known as “pioneer areas”—and the Commons (Registration of Town or Village Greens) (Interim Arrangements) (England) Regulations 2007, which apply to other authority areas in England, require notification of such applications to parish councils.

Schedule 14 to the Town and Country Planning Act 1990 and Schedule 6 to the Highways Act 1980 require that, before a rights of way creation, diversion or extinguishment order is confirmed by either the Secretary of State or the order-making authority, notice shall be given in the prescribed form: first,

“stating the general effect of the order and that it has been made and is about to be submitted for confirmation or to be confirmed as an unopposed order”;

secondly,

“naming a place in the area in which the land to which the order relates is situated where a copy of the order and of the map referred to therein may be inspected free of charge … at all reasonable hours”;

and, thirdly,

“specifying the time (which shall not be less than 28 days from the date of the first publication of the notice) within which, and the manner in which, representations or objections with respect to the order may be made”.

The notices shall be given, among others, to,

“every council, the council of every parish or community and the parish meeting of every parish not having a separate parish council, being a council, parish or community whose area includes”,

any of the land to which the order relates.

The Commons Registration (England) Regulations 2008, which apply in the pioneer authority areas that I mentioned earlier, require, in Regulation 22(1)(a), an applicant to serve a notice of any application to a registration authority under Part 1 of the Act,

“on each of the persons specified in Schedule 6”.

Schedule 6, as it applies to Section 15 applications, requires the notice to be served on any local authority other than the registration authority in whose area the land in question lies. “Local authority”, as defined in Regulation 2 of the 2008 regulations, includes a parish council and the chairman of a parish meeting.

Finally, the Commons (Registration of Town or Village Greens) (Interim Arrangements) (England) Regulations 2007, which apply to the non-pioneer authority areas, require, in Regulation 5, a registration authority to send notice of an application in the prescribed form to every “concerned authority”. In this case, “concerned authority” is defined in Regulation 2(2) as,

“a local authority … in whose area any part of the land affected by the application lies”.

“Local authority”, as defined in Regulation 2, includes a parish council.

I believe that what I have illustrated answers my noble friend’s questions. With those assurances and the details that I have provided, I hope that he will be happy to withdraw his amendment.

Earl of Lytton Portrait The Earl of Lytton
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My Lords, I declare interests as the president of the National Association of Local Councils and as chairman of the Rights of Way Review Committee. If there is a failure to give the relevant notification to a parish council, will any sanction or redress be available to the parish council? I realise that the Minister may not be in a position to answer that question straight away.

Lord Ahmad of Wimbledon Portrait Lord Ahmad of Wimbledon
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My Lords, I am sure that there are instances where that is the case. For completeness, it may be appropriate if I write to the noble Earl on that specific point. However, I assume that appeals procedures are available to parish councils to take forward where orders are not adhered to.