Localism Bill

Lord Beecham Excerpts

Wednesday 14th September 2011 Lords Chamber

[Lord Tope]

My Lords, I added my name to the amendments so comprehensively and ably spoken to by the noble Lord, Lord Bichard, a little over three-quarters of an hour ago. The way in which the treatment of the issue has developed has been quite an object lesson in itself. As far as I am aware, it received little or no consideration in the other place. If I recall correctly, the only person in the Second Reading debate to devote their speech substantially to this issue was the noble Lord, Lord Filkin. It was at that point that I became very conscious that, in the midst of our general rejoicing at the proposed demise of the Standards Board for England, we were in grave danger of not thinking about what was going to be left later, which effectively was nothing: everything was going out—the baby and the bathwater.

When we got to Committee, we did not reach this issue until a Thursday evening, after the time when the Committee would normally have adjourned. I remember getting rather tired and emotional about such an important issue being addressed at such an hour. The noble Lord, Lord Beecham, who has known me for the best part of 30 years, is clearly astonished that I could ever get “tired and emotional”, but it sometimes happens late on a Thursday night, as it did on that occasion.

[Lord Beecham]

Only in the Private Eye sense.

[Lord Tope]

It was an extremely serious issue. The Government seemed to be taking the view that this was a Localism Bill and that standards in public life could therefore be dealt in accordance with local diversity. I was pleased to see in the briefing from the National Association of Local Councils, much quoted in this debate, the matter put very succinctly. It stated that,

“there is no local diversity about what is appropriate conduct for councillors”.

There is no one keener on local diversity than me, but the one area where local diversity is particularly inappropriate, and where in the past we have had rather too much of it, is in standards in public life.

I am therefore delighted, although still a little surprised, that, at this very late stage in the Bill’s process, we are having a full and good debate on the subject. The Minister’s response has been so much heralded that it is in danger of becoming an anticlimax, because we have all said what we think that he is going to say. If he says it, it will be what we expected; if he does not, we are all in trouble.

I am delighted that we are now, at this late stage, coming to address the real issue, which is not whether we should have had the Standards Board and whether we are pleased that it is going—everyone accepts that it is going—it is what replaces it. There seems now, a little late but welcome nevertheless, to be a general acceptance that there needs to be a mandatory code, that it should not be imposed by central government and the Secretary of State, that it should be drawn up, as our amendment states, by “representatives of local government”—I think that it is generally understood what that means—and that it needs to be mandatory both in terms of its existence and of what is in it, although it may be added to.

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[Lord Wills]

I support the amendment. I withdrew my own amendment, which was directed to much the same objectives, because I thought that this one was better. It was more comprehensive and generally much more effective than my own.

As the noble Lord, Lord Bichard, so compellingly set out, the transparent setting of standards for elected representatives plays an important part in securing the accountability that is fundamental for the health of any democracy. With the greater powers conferred on local authorities by the Bill should come greater accountability. Yet as this Bill currently stands, it risks some elected representatives not being accountable in that way. It cannot be acceptable to run the risk of leaving any elected representatives so unaccountable.

Voters expect their elected representatives to meet certain standards. They will expect a code of conduct to be in place for their representatives on every local authority and this amendment will ensure that such expectations are met. I very much hope that the further dialogue about which there has been so much conversation in the debate already will produce an outcome that embeds if not the exact words in these amendments at least something that achieves their effect.

[Lord Beecham]

My Lords, I feel obliged to pay particular attention to the need to declare interests as I reply on behalf of the Opposition to this debate, so I declare an interest as a member of Newcastle City Council, as a recently appointed member of its standards committee and as an honorary vice-president of the Local Government Association. I join other colleagues in congratulating the noble Lord, Lord Bichard, and his co-signatories on bringing forward these amendments. I fear that the tiredness of the noble Lord, Lord Tope, may account for the fact that he omitted to recall that several of us, including the noble Lord, Lord Shipley, myself and others raised the whole agenda of standards boards and committees at earlier stages of the Bill.

[Lord Tope]

My Lords, in no way would I wish to cast aspersions on the noble Lord and certainly not on my noble friend Lord Shipley. My point was that, if my memory is correct, the noble Lord, Lord Filkin, devoted his entire speech, or pretty well his entire speech, to the issue of standards. He was the only one in the debate to have done so—not surprisingly, as it is such a big Bill.

[Lord Beecham]

Indeed, and I join the noble Lord in congratulating the noble Lord, Lord Filkin, on what he said on that occasion as well as this. A number of issues have been raised today. I particularly note the observations of the noble Lord, Lord Tyler. I am probably alone in this Chamber in being prepared to shed a tear or two for the standards board. It perhaps started off in a rather cumbersome and bureaucratic way, but it did improve its performance over time. Nevertheless we accept that its day is done, and we have to find a suitable replacement for it.

The noble Lord, Lord Tyler, made perfectly legitimate reference to the problem of trivial complaints designed to gag or in some ways punish or inhibit members. That is a perfectly legitimate concern, which can be met within the framework of the local committees that are proposed in the amendments, particularly when they include the involvement of independent members. That is a crucial issue and one which will need to be discussed with Ministers. Those committees offer an assurance of impartiality which might not otherwise arise in the sometimes highly charged atmosphere—not necessarily party-political atmosphere—that can exist within individual councils.

The noble Earl, Lord Lytton, referred in particular to the position of parishes. There is clearly a need to consider the substantial workload generated by complaints within the very large number of parishes that we have. It is sometimes difficult for principal authorities to cope with the volume of issues that arise. I endorse his view that, where the principal authority is to remain responsible, some representation from parishes within that authority would be helpful. That is certainly the practice in Newcastle, as the noble Lord, Lord Shipley, will confirm. We do have parish members on the standards committee. I ought to say that, whatever happens in terms of the legislation, both political parties in Newcastle wish to continue with that committee, which is of course independently chaired. Incidentally, the independent members have written to say that they would very much wish to see an obligation on authorities to maintain those committees. However, I wonder whether it would be possible, in conjunction with the National Association of Local Councils, to which most, but not necessarily all, parish and town councils belong, to look at ways in which that burden might be moderated. For example, if the association in a county area were able to put together a panel drawn from across an area, rather than necessarily drawn from an individual council, which might find it difficult to man and support such a project, that might be an alternative to principal authorities having to undertake that work.

There is also the fundamental issue of what the purpose of this whole procedure is. The Bill puts the situation as effectively criminality or nothing. If there is a criminal offence, as defined by the Bill, then something happens; nothing else comes within the purview of the legislation. The criminality is based, as we have already heard, on a fairly narrow definition of financial interests. That in one sense is too narrow. But in any event there are other issues which are perfectly legitimate issues for public concern—for example, members’ relations with members of the public or staff, or the misuse of council property.

All these, I fear, occur and there needs to be a mechanism whereby complaints and issues of that kind can be dealt with and appropriate sanctions imposed. I concur that that would be better at a local than a national level. I hope, therefore, that we can carry forward those discussions. The noble Lord, Lord Filkin, is absolutely right: if you do not have sanctions, you do not have a mechanism that the public can have any confidence in. The Minister has indicated—I think to all and sundry—that the Government are prepared to move on these issues. That is extremely welcome, and I hope that we can have productive discussions that will lead to a more flexible and perhaps a more locally based system; but one in which the public in particular—whom it is there ultimately to serve—can have confidence. I very much welcome that change of mind and the positive attitude, which characterises Ministers in this House, at least in this department. I look forward very much to hearing the Minister’s reply and his anticipated undertaking to take this away and consider it, so that we might have an opportunity to see the position satisfactorily resolved at Third Reading.

[Lord Taylor of Holbeach]

My Lords, it is certainly clear that these amendments cover an important aspect of local government governance, and I acknowledge the strength of feeling around the House. It has been a very informative and well informed debate, and I think it has added a very useful stimulus to the discussions which have been well trailed but which I hope will follow as a result of this debate. I have to say that there is considerable common ground between us: we all want a vibrant and the strongest possible local democracy and we all want the highest standards of conduct in local government. The issue—and this is what we are trying to grapple with—is how we achieve that. The abolition of the Standards Board regime is a coalition agreement commitment. Whatever the original intentions behind the establishment of the regime, it has become a heavy-handed and costly vehicle for dealing with complaints, which can, in some cases, be petty, malicious, vexatious or politically motivated. I note that the noble Lord, Lord Bichard, in his very able presentation of his amendments, agrees with this judgment. My noble friend Lord Tyler did so most powerfully.

At the same time, it is evident that many noble Lords have significant concerns that what the measures in the Bill put in its place are too localist and do not deliver the outcome we all want. It is apparent that consideration of these issues will repay any time that we give between us to get it right. There are some difficult issues here, and there is clearly a discussion to be had on where to strike the balance between the local framework we have proposed and the framework proposed in these amendments. I am not going to claim that I have all the answers at this stage. I will not—as I would normally do—respond to many of the detailed points that have been raised, because I think it is perhaps best to deal with those in these discussions, and we should not try to pre-empt what we will say. I can perhaps give a steer as to how the Government are approaching the situation.

I think there is merit in some of the amendments that have been put forward. In particular, I am sympathetic to the proposal in Amendment 175 that there should be an obligation on local authorities to have a code of conduct, and that any such code should have some core mandatory elements to it. If the House is willing to give us space to consider this matter further, I am willing to take it away with a view to discussing it with noble Lords and seeing if we can come up with something suitable ahead of Third Reading.

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[Lord Taylor of Holbeach]

My Lords, this group of government amendments is designed to formalise the arrangements for London. Amendments 171 and 172 take on board the representations that have been made to us by the mayor and the Assembly of the Greater London Authority, asking that the standards function be a joint function of the Assembly and mayor. I said in Committee that we would be open to considering that request as we could see the benefit of ensuring that the mayor and the Assembly were given equal roles and responsibility for promoting and maintaining high standards, rather than leaving that function to be discharged by the Assembly alone.

Amendments 176 and 189 allow the Assembly and mayor to delegate functions to a committee or a member of staff. This mirrors the powers that local authorities have to delegate the function to a committee or a member of staff. Amendment 173 defines Joint Committees and Amendment 170 is a technical amendment related to the definition. Amendments 245 to 247 are also technical amendments. I hope that these amendments meet with the approval of the House and I beg to move.

[Lord Beecham]

My Lords, I do not have an interest to declare in these matters and neither do the Opposition. We are happy to agree with them.

Amendment 170 agreed.

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[The Earl of Lytton]

Following on from the noble Lord, Lord Filkin, and from what has just been said, there is one other point that I should like to flag up for the Minister. I refer to subsection (3) of Amendment 181 regarding the nature of disclosable pecuniary interests. This deals with elected or co-opted members of councils and it concerns an interest of that councillor, or an interest of their spouse or civil partner, or a person who is living with them as husband or wife, or a person with whom that councillor is living as though they were civil partners where they are aware that the person has an interest. I do not believe that subsection goes far enough. The point has been made to me—I am sure that the Minister will be aware of this issue—about the son-in-law’s development project or the sister-in-law’s application to the council. The objective test of external public scrutiny is what we have to meet here. I think that this really does need to be tightened up.

[Lord Beecham]

My Lords, I am fascinated by the notion of a literally hung council. I am not sure that I would wish to be a member of such a body—presumably it would be a very short life. That apart, I endorse the views of the noble Lords, Lord Filkin and Lord Newton, and the noble Earl, Lord Lytton. There is something to be discussed here. It requires a little more care and, perhaps, a little more legal input into definitions and processes. That said, the noble Lord has assured us that those discussions will take place and that we may be able to revisit, if necessary, at Third Reading. On that basis I am happy to accept that position.

[Lord Taylor of Holbeach]

My Lords, it has been useful to have this discussion. One of the ways forward for the discussions that we may well have between now and Third Reading is the provision of government position papers describing the factual information that noble Lords are seeking. The noble Lord, Lord Filkin, kindly let me off responsibility for replying in detail on the hoof this evening. Indeed, it would be far better to be able to put these matters to noble Lords at a point where we could commence our decisions. I hope that noble Lords will agree with that procedure. I thank them for their co-operation on this part of the Bill. It is important and I think the House is agreed on that.