Localism Bill Debate

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Lord Beecham

Main Page: Lord Beecham (Labour - Life peer)
Thursday 30th June 2011

(13 years, 5 months ago)

Lords Chamber
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Lord Beecham Portrait Lord Beecham
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My Lords, I, too, remember the noble Lord in his days as Secretary of State for the Environment. He was also chairman of the inner-city partnership team that met in Newcastle and I remember amusing him once by referring to the city action teams he was intent on imposing in our city, and I think in others, as feral cats. He liked that phrase and I liked what the noble Lord said today, particularly in relation to the Delegated Powers Committee report. It is interesting that it was compiled in such a hurry that the title of the printed document is the “Localsim” Bill report. I do not think that it has any connection with telephony. It is certainly very late and I congratulate my noble friend Lord Soley on managing to master as much of it as he apparently has. I have only just seen it this morning.

I agree with the thrust of the noble Lord’s argument about centralism and too much central prescription. I do not entirely agree that it would be wise and safe to leave some of the structure entirely in the hands of local councils. Most local councils would perform perfectly adequately and properly, but we need to consider that there may be some councils which would choose not to develop a proper procedure and we need to protect the interests of those in those authorities. That, in my view, should not be done by the Government, but the Local Government Association itself should perhaps produce a model against which councils’ performance could be judged. That is the local government family, as it were, assuming responsibility, as opposed to the Secretary of State, and it strikes me that, in this and perhaps other areas, that might be a better way forward.

The noble Lord, Lord True, referred to areas with regional governments. Of course, thanks to the present Government’s “settled determination”, in the phrase of the noble Lord, to abolish all regional structures except that in London—it is only London that is privileged to have a regional body, although it is a privilege that the noble Lord may not be too comfortable with—it is probably right to encourage and facilitate petitions for the kind of issues that the noble Lord referred to, rather than referendums, in the same way that the noble Lord, Lord Greaves, answered the question put to him earlier.

Having said all that, I thank and congratulate the Government for responding so constructively to so many of the points that have been raised around these issues. It is very welcome. I particularly celebrate the removal of Clause 47(5), which stipulated that the third ground for determination was,

“that the referendum question related to a matter specified by order by the Secretary of State”.

The noble Lord, Lord Greaves, I think, tabled an amendment to that effect and the Minister has adopted it, if not him. That is also very welcome.

My last point relates to the strange provision about the cost of a referendum. The noble Lord, Lord True, referred to the figure of around £1 million as representing about 5 per cent of the council tax requirement of his authority. I believe that it is roughly the same—the noble Lord, Lord Shipley, may recall and confirm, or otherwise—in Newcastle. There will be many authorities where 5 per cent is an enormous amount of money. If an authority presented and circulated petitions inscribed in gold leaf on vellum, it would still not reach 5 per cent of most councils’ expenditure. It seems a ridiculous figure. I wonder whether a decimal point has been missed somewhere—the printers have clearly had difficulties with the Bill, as I have already indicated. Five per cent seems extraordinary and I wonder whether any proper estimate has been made—or any estimate at all—by the Government, or those advising them, about what the cost of a referendum, perhaps on a city-wide basis, or district council basis, to take a lower level, would be. It may be that, if we are going to have guidance of this kind, differential provision ought to be made according to the size of the authority; perhaps something on a per capita basis, rather than on a percentage of revenue.

If we are to have a cap, as it were, of a percentage kind, should that relate to an individual referendum, or cumulatively? If there were a large number of referendums in the authority of the noble Lord, Lord True, or in mine, or in any other, one could reach even the high figure. I do not ask the Minister to respond to that thought, which has only just occurred to me—I cannot expect him to answer that—but it might be considered when he looks again, as I hope he will agree to do, at this provision. I welcome the provision; it is right that there should be some consideration of a financial limit by an officer—rather than a member in this case—but the one suggested seems to have little justification and little relationship to reality on the ground.

Lord Taylor of Holbeach Portrait Lord Taylor of Holbeach
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My Lords, this has been an interesting debate and I take it as a general welcome for the Government’s amendments. A number of interesting points have been raised which probe again at the boundaries of the referendum principle. Noble Lords are right to point to the balance between the Secretary of State and local authorities, but on examination they will discover that the powers of the Secretary of State are residual powers, usually to modify arrangements as a result of experience, rather than to impose a pattern of governance on local authorities throughout the Bill. However, some forms, some articulation of the form of referendums and suchlike are in legislation, because Parliament exists to ensure that, in the context of a citizen’s relationship with a local authority, there are certain rights. If a referendum is considered to be something which citizens can combine collectively to seek, those rights need to be established in law and it is Parliament’s job to establish them in law. I ask noble Lords to differentiate between the two things.

It was said—in jest, I hope—that the Secretary of State was empowered to decide what was local. If noble Lords had looked at our amendments, they would know that our amendment removes that power from the Secretary of State. My noble friend Lord Jenkin asked whether we can leave it to local authorities to decide when and how to conduct referendums. I have made the point about the protection of the citizen within local government. We could, of course, leave it to local authorities, but localism is about more than empowering local authorities, it is also about empowering people. This part of the Bill enables local people to require a referendum, but contains some sensible safeguards to combat abuse. I hope that my noble friend will be able to see the Government’s position in that context.

I, too, received the Local Government Association briefing asking me to table some amendments and to speak in its support—it is very wide in its mailings. However, that was drawn up before the Government’s amendments were known, so some of its criticisms—it generally welcomed many of the provisions of the Bill in this area—were made without the advantage that we now have of knowing what the Government’s proposals are.

My noble friend Lord Greaves asked whether the Government have a list of things that would be caught. My noble friend Lord True also wondered about this, but said that he hoped local authorities would be empowered to decide what was covered under those statutory applications. Under the approach that we have taken, it would be for councils to decide. We have no list. Amendments in a later group illustrate just how difficult such a list would be to apply. It is up to local authorities to decide what is excluded under the special case provisions.

My noble friend Lord Greaves asked whether a petition would qualify as a special case if it covered a large area. Yes, it would. The council would be able to refuse such a petition under the provisions as drafted. He also asked what “substantially” meant. I can give him only a quasi-legalistic answer: it means more than incidentally. I hope that that helps him in his appreciation of that.

Lord Beecham Portrait Lord Beecham
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Less than completely, presumably.

Lord Taylor of Holbeach Portrait Lord Taylor of Holbeach
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That may be so. I am not a lawyer.

--- Later in debate ---
I have explained to the noble Lord, Lord Beecham, my point about the cap. We have some information about what we estimate to be the cost of a referendum. Our impact assessment estimates the cost to be between approximately 50p and £1.50 per voter, depending on whether or not it is held with an election. I think that I have covered the questions raised.
Lord Beecham Portrait Lord Beecham
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I am grateful to the Minister for that information. Would he consider the issue of a per capita amount rather than this very large limit—not a large percentage, but in cash terms—that would have to be breached in order for there to be reason not to hold a special referendum?

Lord Taylor of Holbeach Portrait Lord Taylor of Holbeach
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That is a suggestion that we would like to consider. It is the spirit of this Committee that we appreciate approaches that are different from the text of the Bill and might define things better. I am happy to consider that matter and I thank the noble Lord for the idea.