Housing and Planning Bill
Debate between Lord Beecham and Baroness Young of Old Scone
Lord Beecham
It is not about how the Government reached that figure but what, in their eyes, would be an acceptable increase in cost to provide the result the amendment seeks to achieve. If £3,000 is too much, what would be acceptable?
Baroness Young of Old Scone
I wonder whether the Minister might clear up a confusion that is arising in my mind. It strikes me that we are not talking about a cost that falls upon the builders of these homes, because it will be reflected in their price. The point we are making is that, if an additional cost of £3,500 would genuinely be passed on to the purchaser of the home, within a period of less than three years they would have recouped that amount and be in profit thereafter, for however long they stayed in that home. It is not about an undue burden on the builders, but about trying to remove an undue burden on the purchasers and residents of those homes in perpetuity.
Growth and Infrastructure Bill
Debate between Lord Beecham and Baroness Young of Old Scone
Baroness Young of Old Scone
My Lords, perhaps I can help the noble Lord, Lord Cameron of Dillington. Lots of guidance on this issue is already available. I believe that Clause 5 is unnecessary in what, if I may say so, is a pretty unnecessary Bill, so I support the amendments, particularly Amendment 55 and, indeed, the proposal that the clause should not stand part of the Bill.
As I say, quite a lot of guidance is already provided in the NPPF to local authorities on information requirements, and we need to allow some time for that to bed in before taking any unnecessary legislative steps to control local authorities in the information that they may seek. As the noble Lord, Lord Greaves, said, it is possible to see what the evidence is that local authorities are being overly prescriptive and requiring information that is otiose, irrelevant or unreasonable. I have had experience across the planning system, mostly from the point of view of organisations requiring information from applicants through local authorities, and I would say that it is the lack of information, or delayed or poor quality information, which creates uncertainty and causes delays that result in poor quality decisions and make it virtually impossible for other interested parties to have a full and fair view of the impact of an application. That is particularly true for some of the environmental requirements that local authorities seek from planning applications.
With regard to “reasonableness”, I am sure the Minister will say that reasonableness is reasonable, but that the wording removes from the local authority the ability to be the final arbiter, to be in the driving seat and to be able to reduce the level of uncertainty that can cause these adverse consequences for decision making. It would be much wiser to allow the guidance that has been issued so recently time to work through in order to see whether local planning authorities are making overly onerous information requirements. If they are, the guidance should be tightened because this issue is much more appropriate for guidance than for primary legislation.
It is interesting that the Royal Town Planning Institute is against Clause 5. Even the Law Society, while supporting Clause 5, quite rightly notes that careful guidance will be needed to avoid this provision becoming a new judicial-review weapon for third parties to stall developments. As an old hand at judicial review as a weapon to stall developments, I would not like to think that we were creating more opportunities to do that.
Lord Beecham
The noble Baroness, the noble Lord, Lord Greaves, and my noble friend Lord Hanworth have done a pretty effective demolition job on this proposal, without the benefit of planning permission.
Another issue arises from the impact assessment. That impact assessment purports to make another part of the case for the Government’s proposals, which relates to costs. On page 29 of the impact assessment, there is an analysis of the:
“Estimated savings for applicants under a central scenario assuming 10% reduction in costs”.
For the 347,800 annual applications, that comes down to something like £54.8 million, on the basis of a 10% reduction in costs. That is the net present value. The costs are £54.8 million and because of some mysterious rounding of the figures, the savings purport to come out to £6.5 million. It might be thought that that is not an inordinately vast sum of money in the scale of things, but it is perhaps worth saving if one could get it.
However, within that, it is significant that for major developments for dwellings, the annual savings would be £1.4 million, so it is hardly a material factor in holding up house building in the country. For a major development—not dwellings—the annual saving is even less, £0.9 million.
Where does the 10% figure come from? Why is 10% applied across the piece? Are the Government really suggesting that information required for a householder development, for which the savings per application are deemed to be all of £69 each, somehow will be of the same percentage order as those for a major development? That strikes me as highly unlikely. This seems to be a bogus figure plucked out of thin air to provide some sort of financial justification for this measure. In addition, the impact statement goes on to say that the Government intend:
“to introduce complementary changes to secondary legislation, which will have the effect of re-introducing a right of appeal where a council has failed to validate an application”—
presumably inter alia but not necessarily exclusively on the ground of lack of information—
“and the statutory time limits for determining a planning application has passed. This will address the impact of recent court decisions that have challenged the Planning Inspectorate’s ability to consider such appeals”.
If this is a significant issue—the Government appear to think that it is—why is there no amendment to the Bill? Why is it being done in the form of secondary legislation, which, of course, cannot be amended if it comes before your Lordships’ House? From time to time, the Government take opportunities to add things to Bills, sometimes in considerable numbers. Why is this matter not being added to this Bill but being left to secondary legislation?