Leasehold and Freehold Reform Bill

Lord Foster of Bath Excerpts

Committee stage
Monday 29th April 2024 Lords Chamber

[The Earl of Lytton (CB)]

My Lords, I move Amendment 82C and will speak to Amendments 82D to 82M standing in my name. These draw on good practice in the management of multiunit developments in Australia, Europe and North America and seek to replicate best practice here. They are also designed to address some of the concerns raised in earlier debates, particularly in the context of the proposed change to the threshold for enfranchisement in mixed-use developments from 25% to 50%. I suggest that similar amendments to a future commonhold Bill would go some way to meeting concerns that have been expressed about the risks associated with a wholesale move to that tenure.

The amendments provide for the appointment of a building trustee. It is proposed that this should apply in the largest and most complex developments. Building trustees might also be appointed at the request of a recognised tenants association or by the courts. The building trustee will be an independent and impartial figure whose primary role of auditing performance would ensure that interest rights, responsibilities and performance of the landlord were properly balanced with those of leaseholders and, more importantly, that the building is properly maintained and the service charge provides value for money. I noted in our earlier discussions the Minister’s comments to me about value for money, but it is the benchmark used by the National Audit Office for local authority finance, I believe—I eyeball noble Lords who have experience in that line of business.

Amendment 82C sets out the buildings this would apply to, and Amendment 82D outlines the trustee duties—I will rattle through the amendments at some speed. Amendment 82E is about the appointment process of the building trustee. Amendment 82F sets out the trustee entitlement to documents and information.

There is, of course, the question of who pays for the building trustee. It would be unreasonable—particularly during a cost of living crisis—to burden leaseholders, especially as many of the buildings covered by Amendment 82C are already facing increased service charges owing to the new safety requirements under the Building Safety Act. Instead, Amendment 82G provides that the costs of building trustees would be covered by a levy on providers of commercial and residential mortgages and block landlords, excluding enfranchised building and tenant right-to-manage companies.

Amendment 82H sets out what would be the baseline value-for-money benchmark. This is necessary because there is a risk of inevitable bias in the management under the auspices of a party to the leasehold arrangements. This might be perfectly reasonable in terms of the person instructing the management, but still fall well short of the optimal.

One of the Bill’s key aims is to make it cheaper and easier for leaseholders to enfranchise. I welcome that. My amendments are designed to augment these plans by providing a light-touch oversight to ensure effective, efficient and economic management of a building. This backstop would require reassurance to lenders, leaseholders and other stakeholders that a freeholder-managed or resident-managed building will be properly looked after.

The reassurance offered by the building trustee is needed, as there is strong evidence that, monetising policies by a few freeholders apart, leaseholders themselves are often reluctant, unable or lack the skills to take on the responsibility and liabilities for the management of increasingly complex buildings, or to direct the professional managers adequately. Indeed, some complaints reaching my mailbox are about residents’ own management companies, and the Government’s own research found that leaseholders were concerned about issues of working with neighbours, lack of time and reluctance to take on additional responsibilities beyond those necessary as a home owner.

That touches on a point raised by the noble Lord, Lord Moylan, in a previous group, because although most leaseholders will appoint a managing agent to undertake the day-to-day running of a building, they themselves remain responsible for key decisions and setting priorities, such as service charge levels, authorising maintenance schedules and dealing with arrears. It can be difficult to get collective agreement on these issues, with resultant detriment to the management of the building fabric. According to data from the Scottish House Condition Survey, half of all housing is in what it describes as “critical disrepair”, and almost half demands “urgent attention”. The situation is most acute in tenements, so I appreciate that this probably relates to older buildings, but paying for common repairs or maintenance was the most frequent cause of disputes in these buildings.

By taking a whole-life view of the building, the building trustee can seek to avoid that Scottish experience by providing an independent assessment of maintenance needs and condition, and ensuring sufficient provision is put aside to maintain the building properly. Amendments 82I and 82J would require landlords to provide a 10-year plan of anticipated expenditure on capital works and building maintenance, and to establish a sinking fund to avoid leaseholders facing large, unanticipated bills. The plan and the fund would be subject to an independent audit and assessment by the building trustee to ensure that necessary works, and only necessary works, were planned for and adequately funded.

In an open letter to lenders on taking commonhold as a security, dated 21 July 2020, the Law Commission recognised that

“the value of a lender’s security is inherently linked to the management and maintenance of the building in which a flat is located. A failure to keep the building in repair, to insure it properly, or to keep sound finances all have significant potential to jeopardise the value of a lender’s security”.

The same is, of course, true for leasehold buildings. That is why I believe that professional landlords and lenders should cover the cost. It is the banks and the building societies whose capital is at risk. The building trustee should provide a cost-effective way of reassuring them that the flats they have lent on are being properly managed, and of maintaining the value of the security. The same is true of commercial lenders on mixed-use developments. I envisage that the Secretary of State would outsource the appointing of building trustees to an external body, as provided for in Amendment 82E.

Two significant further powers would be conferred on the building trustee through Amendments 82H and 82K. Amendment 82H would allow the building trustee to apply to the tribunal on behalf of leaseholders to seek refunds of expenditure that does not provide value for money. Amendment 82K would allow the building trustee to adjudicate in disputes between landlord and leaseholder, and between leaseholders. One of the main areas where I see this provision being used is service charge arrears. It is particularly important in leaseholder-managed blocks that do not have the wider financial resources of the major landlord groups that service charges are paid promptly. Failure to do so prevents a building being managed properly, and in extreme cases places all residents at unnecessary risk. If essential safety works could not be undertaken or building insurance obtained, that would create real problems.

Evidence from other parts of the world suggests that condominium statutes do not have sharp enough teeth to recoup outstanding contributions efficiently and effectively. In England and Wales, we currently fall between two extremes. I have sympathy with those noble Lords who argued in a previous debate that forfeiture, with the exorbitant windfall that it can offer landlords, is inherently unreasonable. Equally, I recognise the point the Minister made in previous discussions that civil debt recovery proceedings can be lengthy. The building trustee’s power to adjudicate offers a faster and less formal route of dispute resolution than the court, and supports the building’s cash flow.

Amendment 82L would provide for the building trustee to take over the management of a building if its landlord becomes insolvent. Historically, this has happened to very few landlords. However, the Committee will recall that I have previously raised concerns that not all landlord groups have the funds needed to meet the building safety remediation liabilities and could therefore become insolvent. The financial position of these groups may get significantly worse, depending on the Government’s decision on ground rents. Some of the country’s largest landlord groups—I refer to E&J Estates, which is landlord to around 40,000 homes, Long Harbour, which is landlord to around 193,000 homes, and Regis Group, which is landlord to around 30,000 homes—have significant borrowings that are due to be repaid from ground rent income over the next 40 to 60 years.

To the best of my knowledge, the Government’s final position is still unknown but, based on press comments on the Secretary of State’s own preference, it is reasonable to assume that the finances of landlord groups dependent on ground rent income to repay their borrowings will come under further, if not fatal, stress. This is not just my view; it is also that of the Government, whose own impact assessment states that

“there may be potential insolvencies/forfeiture and associated costs where the freeholder defaults on contractual obligations as a result of the cap”.

However, it does not seem that there has been further assessment of just exactly what this would mean in practice.

The collapse of a major landlord group would be without precedent and could cause tens of thousands of leaseholders in hundreds of buildings to be in serious trouble. In blocks subject to intermediate leases, it is likely that contracts covering everyday management and maintenance would be at risk because there would be no landlord to provide instructions. Conveyancing and lending transactions, which are already under stress, would be paused as there would be no one to process essential documents such as notices, deeds of covenant, landlord certificates and leaseholder deeds of certificate. The ability of the building trustee to assume the management of a building in such circumstances, and prevention of possible management contract termination, is an essential backstop that prevents leaseholders being left in limbo for months while they try to set up an alternative arrangement for managing their buildings and/or await the outcome of the administration or liquidation.

Finally, Amendment 82M would simply ensure that the building trustee has relevant qualifications for the task.

I hope your Lordships will see the merit in these arrangements, and that the Minister will be able to agree that measures such as this are a necessary complement to the Bill’s intentions. While I commend these amendments to the Committee, I simply say that I am not set on this particular structure, but the principle needs further examination to provide the point that I have constantly been on about—namely, consumer protection. On that basis, I beg to move.

[Lord Foster of Bath (LD)]

My Lords, I will speak to Amendment 95A. The Long Title of the Bill is very clear. It includes the phrase

“in connection with the remediation of building defects”.

Much of the debate has been on the management and funding of remediation and maintenance, but the early identification of defects is clearly really important in order to avoid some of the problems that can occur, as, tragically, we have seen, for instance, in the Grenfell Tower fire.

That fire was caused by a faulty electrical appliance, but there is also a large number of fires caused by faulty electrical installations. Indeed, the charity Electrical Safety First has calculated that there are around nine such fires every single day in England and Wales. On average, they cost about £32,500, but they have in many cases ruined lives, and on a few occasions have meant, tragically, that people have lost their lives. Quite clearly, it makes a great deal of sense to identify faults at the earliest possible opportunity.

Property Agents: Regulation

Lord Foster of Bath Excerpts

Thursday 18th April 2024 Lords Chamber

[Baroness Swinburne (Con)]

I thank the noble Lord for his comments and for his work, which I have acknowledged. I am grateful also to noble Lords on the committee for their recent work on this important topic. Ministers are considering its recommendations and will respond in due course. Training programmes are currently available, and. I suspect that this question will come up time and again. In respect of the legislation that we are currently talking about, I have no doubt that I will be having those conversations with the Minister, my noble friend Lady Scott, in the coming days and weeks.

[Lord Foster of Bath (LD)]

My Lords, given the clear, widespread support for the introduction of an independent property agents regulator, first proposed by the indefatigable noble Lord, Lord Best, some five years ago, can the Minister explain why, having had five years to think this through, it is not now possible, as she seems to suggest, for the Government to include it by way of an amendment to the Renters (Reform) Bill? That way, they would provide what more or less everybody in this House and outside it are keen to see.

[Baroness Swinburne (Con)]

I understand the frustration. I believe that all of us in this House and in our wider communities would like to see more professional-quality work being done in this sector and that we all want to drive up service standards for buyers, sellers and renters—whoever they may be—interacting with the system. It is important that we get it right; measures are coming up in the leasehold and freehold Bill and certainly in the private renters Bill, both of which will be before this House over the next few weeks. Therefore, there are opportunities for us to put forward specific measures that we felt were a priority in the leaseholder space and the private rental space.

Local Government Finances

Lord Foster of Bath Excerpts

Thursday 21st March 2024 Lords Chamber

[Lord Foster of Bath (LD)]

My Lords, I too begin by congratulating my noble friend Lord Shipley on securing this debate and on his excellent introduction to it. I want to concentrate on just two issues: arts and culture cuts, and the unfairness in the allocation of funds between rural and urban areas.

In 2016, the chief executive of Arts Council England, Darren Henley, published a book, The Arts Dividend; Why Investment in Culture Pays. He argues in it that the dividends from investment in the arts and culture include encouraging creativity, helping educational attainment, improving health and well-being, supporting the creative industries, providing defining characteristics to villages, towns and cities, contributing to economic prosperity and enhancing our global reputation.

The noble Baroness, Lady Bull, and the noble Earl, Lord Clancarty, made similar points, and I understand that the noble Lord, Lord Freyberg, may well say something about this, too. Indeed, the noble Earl referred to a debate that he secured back in 2017 on local arts and cultural services, during which reference was made to a speech given earlier that year by the then new chairman of the Arts Council, Sir Nicholas Serota, who said:

“I need to voice long-term concerns around public investment, and especially the loss of local authority funding—which is now the most pressing issue, day to day, for many cultural organisations across the country”.


Seven years on, with further losses to local authority funding, the situation is dire. The extra £600 million this year does not begin to address the acute funding and service demand pressures on councils, which are now merely managing decline.

Our councils are the biggest funders of culture, spending around £1 billion in England on services such as libraries, museums, heritage and the arts. Most are discretionary, not statutory, but many councils are trying hard to protect them as they see the benefits to residents. However, with continued funding cuts, it is ever harder. Spending reductions in cultural and related services are now higher than for any other service area, and councils are warning that further cuts can be expected. As others have said, to avoid still deeper cuts, councils are selling off their assets at a rate of knots. One survey suggests that an average of 6,000 assets, from swimming pools to libraries, are being sold every year, which certainly does not bode well for the future.

A possible lifeline—the levelling-up funds for local councils—is simply not getting through. As the PAC announced last week, only 10% of levelling-up funds have been spent, due to delays in funds being received by councils. Can the Minister explain what is being done to speed up those payments? More importantly, does she accept that councils’ arts and cultural services are not a luxury but are integral to supporting communities, contributing to the economy and helping individuals live more fulfilling and healthy lives? If she does, can she tell us what plans the Government have to reduce their decline?

Some councils are better placed than others to sustain such services, so I turn to the issues impacting rural communities. In 2015, the then Defra Secretary, Liz Truss, claimed:

“This Government … is committed … to ensuring the interests of rural communities and businesses are accounted for within our policies and programmes”.


Four years after that claim, I chaired your Lordships’ special committee on the rural economy, which concluded that her commitment had not been met and rural areas were losing out. We demonstrated that, for many rural services—health, dentistry, public transport and policing, among others—government funding per head was lower for rural areas than for urban ones despite higher delivery costs. For policing, for example, the current funding formula means that, in Suffolk, where I live, we get a Home Office grant of £114 per resident, whereas Merseyside gets £217.

The committee also demonstrated that rural house prices and rents were higher despite lower wages’ that broadband and mobile connectivity were worse; and that government funding to rural local councils was lower, meaning higher council taxes for rural dwellers. The evidence was clear that rural areas were being unfairly treated, not least in the local government funding settlement.

Five years on, little has changed: all of these disparities remain. Of course, there have been some welcome initiatives—Delivering Rural Opportunity, published only on Monday, lists some of the Government’s favourites —but, despite such welcome initiatives, huge disparities remain between rural and urban areas. In times of reducing public expenditure, it is ever more important to distribute available resources fairly.

Michael Gove, in the final local government finance settlement update, appeared to suggest that he had cracked it. He said that,

“in response to the consultation feedback and in recognition of the specific challenges and difficulties local councils can face serving rural, sparse populations, we are increasing the Rural Services Delivery Grant by £15 million in 2024-25”.—[Official Report, Commons, 5/2/24; col. 6WS.]

Of course, any increase is welcome, but, as the Rural Services Network has pointed out, the extra money will go to only a limited number of rural councils—only the top quartile—based on a “super sparsity” measure. Very many will get no extra funding.

Even with this small amount of extra cash for a few councils, huge rural/urban disparities will remain. The RSN analysis for 2024-25 shows just how stark it will be. Urban local authorities will receive some 36%—£141—more in government-funded spending power per head compared to rural authorities. Rural residents will pay, on average, 20%—£112—more per head in council tax than their urban counterparts because rural councils are still getting less government grant. This simply is not fair. Rural communities continue to be disadvantaged and their residents left behind at a time when the aim is supposed to be levelling up across the country.

Ten years ago, the Government seemed to acknowledge the need to do something about this and changed the funding formula to make it fairer. But, in effect, they then did not use it. They added and froze in place a “damping process”. As a result, there are councils in London receiving millions of pounds more than the Government’s own formula says they should and rural councils getting far less than they should. Of course, I want to see the size of the pot increased, but, whatever its size, it should be allocated fairly. Does the Minister accept that it is not being, that rural communities are losing out and that the damping process should be phased out? All councils are getting a poor deal from this Government, and rural councils are getting the worst deal of all.

Levelling-up and Regeneration Bill

Lord Foster of Bath Excerpts

Report stage
Tuesday 11th July 2023 Lords Chamber

This is a very important amendment, because it defines geographical indicators that would help us to know whether levelling up across all departments in Whitehall is a success. I look forward to hearing the Minister’s reply. The issue is clearly complicated a bit by what the noble Lord, Lord Lansley, said earlier, but I was not convinced by the Minister’s reply when we discussed this in Committee and I should give notice that I am minded at this stage to test the opinion of the House.

[Lord Foster of Bath (LD)]

My Lords, I support the other amendments in this group, but I am particularly grateful to my noble friend Lord Shipley for pointing out that the “geographical disparities” referred to in his amendment will cover disparities between urban and rural areas. It is those disparities that have led me to table the two amendments in my name—Amendments 10 and 303—and I am very grateful to the noble Lord, Lord Carrington, for his support.

Only yesterday, the Rural Coalition produced a document urging all political parties to do more to help rural areas. The document, A Better Future for Rural England, called for a sea-change in the way rural areas are perceived and treated. It argues that achieving the economic and social growth envisaged

“will only prove possible if there is a sustained implementation effort led by central Government and made across Whitehall departments. Much of that effort will need to focus upon addressing the structural inequalities, fragile infrastructure and economic weaknesses which characterise and hold back rural areas”.

Sadly, calls to give rural areas a better deal are not new. For example, in 2015 the noble Lord, Lord Cameron of Dillington, was commissioned by the Government to review the way in which the development of government policies took account of rural communities. Responding to his recommendations, the then Secretary of State, Liz Truss, said:

“This Government is committed to ensuring the interests of rural communities and businesses are accounted for within our policies and programmes”.


Subsequently, the Government produced a booklet called Rural Proofing: Practical Guidance to Consider Impacts of Policies on Rural Areas. It was updated recently and part of the update states:

“It is important that government policies consider how they can be delivered in rural areas”.


The booklet explains:

“This document helps policy makers and analysts in government to consider how to achieve the outcomes they want from their policies in rural areas. This is called rural proofing”.


In 2019, I chaired one of your Lordships’ Select Committees on the rural economy. One of our key recommendations was that rural proofing should be beefed up even further. The Government actually said they were going to do that and then said that they were going to produce a report about how they were doing it every two years. On the basis of all that, one would expect that by now rural areas would be faring at least as well as urban areas or at least were well on the way.

Sadly, the reality is incredibly different. There is a huge disparity in the cost of living between urban and rural areas. In rural areas, house prices are higher but wages are lower. Council taxes are higher, but government support for their councils is lower. Funding per head on many services, from healthcare to public transport, is lower but it costs more to provide those services. From broadband coverage to banking, rural areas lag way behind urban ones.

Only today, many noble Lords will have received a briefing from the NFU on rural crime, which states:

“The NFU recognise that crime is crime wherever it takes place. However, rural crime is very different from urban crime. The scale, cost, social impact, and other effects of crime in rural areas are underestimated, under-reported and not fully understood”.


The briefing noted, for example, that the current funding formula means that in the area where I live, Suffolk, we get £114 per resident from the Home Office grant, whereas if you go to Merseyside, you get £217. So the Rural Services Network, using government metrics, concluded that if all rural areas were brought together and treated as a single region, their need for levelling up would be greater than for any other region. But to make matters worse, Defra has produced its rural proofing report. Indeed, its most recent one, the 2022 report, amazingly and despite its title provides no evidence whatever of rural proofing procedures outlined in the guidance being followed. The Rural Services Network concluded:

“Nowhere … is anything evidenced anywhere to show if these processes were followed”.


During our deliberations, I asked on two separate occasions whether a Minister could tell me whether those rural proofing processes were carried out in relation to the Levelling-up and Regeneration Bill. I have had no response. Now, in fairness, various Ministers have attempted to allay my fears. For instance, when I last raised it, the noble Baroness, Lady Bloomfield, responded with three examples of very good things that the Government have done. First, she was very proud to boast of the £110 million rural England prosperity fund, failing to point out that that is simply a continuation of the previous scheme, the EU structural investment programme fund. So there is no extra money there.

Then we had the great example of the extended subsidy scheme for buses—£250 million, of which £20 million is going to the whole of rural England, whereas £20 million will be given for bus priority measures in just the West Midlands, and £50 million for the first all-electric bus town. But the ultimate example that I was given was that I should be really pleased that the Government had given some rural energy support—extra funding for rural areas. But when you analyse it, what is that? That is for the nearly 1 million people who are off the gas and electricity grid, who predominantly live in rural areas. And what happened? They got the extra money ages after the previous scheme had been introduced. They had to wait for a lifetime for it. Surely that is real evidence of rural proofing not having taken place.

So I hope I might get an answer to the question today of how the Bill has been rurally proofed. If not, we can fall back on the two amendments that I have put down. Amendment 303 simply requires that that answer be provided before the Act is implemented. Amendment 10 deals with mission statements and seeks to embed rural proofing in them, requiring

“a rural proofing report detailing the ways in which the levelling-up missions have regard to their impact on rural areas and will address the needs of rural communities”.

That is a pretty simple request, given that it is meant to be government policy anyway.

I believe it makes sense to take the steps outlined in these amendments, to make meaningful rural proofing a fundamental part of all levelling-up policy development, delivery and outcomes monitoring. Ideally, I would like to go even further, as they have already done in Northern Ireland, where rural proofing is on a much stronger legal footing. But that is perhaps for another day.

I hope we will not have to take these two amendments to a vote, because I hope we are going to get an answer to the question that I am now asking for the third time.

[Lord Carrington (CB)]

My Lords, I declare my rural interests as set out in the register. It gives me great pleasure to support the noble Lord, Lord Foster of Bath, on Amendment 10, as well as consequential Amendment 303. As he has said, he has been deeply involved in promoting rural issues for many years. Although progress has been made, in particular with the recent publication of the report Unleashing Rural Opportunity, there is a long way to go to address the disparity in productivity between urban and rural areas, which can differ by as much as 18%. We need to take into account issues such as housing, connectivity, transport and energy costs and it seems clear that, economically and socially, there is much more to be done.

The noble Lord, Lord Foster, mentioned many of the reports that have been written and the actions that have followed. I add two reports from the All-Party Parliamentary Group for Rural Business and the Rural Powerhouse, on which I sit. One was an inquiry into rural productivity and the rural premium, which explored the impact of the cost of living crisis in rural areas, the other an inquiry into rural productivity. Many organisations whose remit involves rural affairs contributed to these reports, including the CPRE, the CLA, the NFU, the Rural Services Network, the Federation of Small Businesses, Citizens Advice’s Rural Issues Group and many more.

--- Later in debate ---

[Baroness Scott of Bybrook (Con)]

My Lords, I am not aware that the advisory council is publishing papers, because it is advisory to the Government. I will make further inquiries and come back to the noble Lord and others in the Chamber.

[Lord Foster of Bath (LD)]

To save the House time later, I remind the Minister that rural-proofing is not about giving a list of good things you have done in rural areas. To quote the Government’s own document:

“Rural proofing aims to understand the intended outcomes of government policy intervention in a rural context and to ensure fair and equitable policy outcomes for rural areas”.


If the Minister is correct that this legislation has been rural-proofed, will she commit to publishing the specific report for this Bill, which would achieve what my two amendments are seeking to do?

[Baroness Scott of Bybrook (Con)]

My Lords, a number of proofings have been done on the Bill. I will ask for those and make sure that they are brought forward. It is not about giving money; it is about knowing where money is required in rural areas to make life better for people, as well as making sure that policies are rural-proofed. If we find out through that rural-proofing that some policies are not delivering as well as they could for rural areas, we have to do something about it, and that is what the Government are doing.

--- Later in debate ---

Moved by

[Lord Foster of Bath]

10: After Clause 1, insert the following new Clause—
“Rural proofing reportAlongside the first statement of levelling-up missions required by section 1, the Secretary of State must publish a rural proofing report detailing the ways in which the levelling-up missions have regard to their impact on rural areas and will address the needs of rural communities.”

[Lord Foster of Bath (LD)]

My Lords, I am enormously grateful to the Minister for promising to go and look for evidence that rural proofing of this Bill has taken place. But in the event that she is unable to find it or, more likely, that the reports are not deemed satisfactory, it seems better to embed the rural proofing process in the legislation itself, so I would like to test the opinion of the House.

Levelling-up and Regeneration Bill

Lord Foster of Bath Excerpts

Committee stage
Wednesday 24th May 2023 Grand Committee

[The Earl of Caithness (Con)]

My Lords, as we enter this record-breaking 15th day in Committee on a Bill, I pay huge tribute to my noble friends on the Front Bench and noble Lords on the Opposition Front Bench for their considerable patience, humour and endurance.

The sadness of this levelling-up Bill, which has not ground us down, is that there has been absolutely no give from the Government. I am not as hopeful as the noble Baroness, Lady Boycott, for this amendment, because I fear that the top right-hand corner of the Minister’s brief will say, “Reject”. If I may say so, that has not helped the process of this Bill. Perhaps a message could be sent back to the department that, if one wants to get the Bill through this House, there could be a little more understanding that a lot of the amendments, whether from the Opposition or our side, are there to constructively help the Bill, not destroy it. Because we do not divide in Committee, we will have to go through the whole process in a few weeks’ time on Report, which will be longer and more agonising than it might necessarily have been.

I come at this from a different perspective from the noble Baroness, who made an interesting speech from her own experience. When I came here, I was told that you speak on your honour and experience and vote on your conscience. It is wonderful that we have someone like the noble Baroness, with her experience, but I come at this from the point of view of having served on the Food, Poverty, Health and Environment Committee of your Lordships’ House. The devastating evidence that we received on food made me reassess what the priorities ought to be. Food in this country will probably kill you more quickly than any disease. We eat an enormous amount of processed food—it is 57% of our diet. Some 80% of the processed food that we eat in this country is not fit to be fed to children. It is not good for us, which is why 60% of us are obese and the number is growing. It is one of the unsung scandals that will one day hit the headlines in a major way. Hopefully, we can take some action before that happens. The cost is astronomical. It is estimated that the bad food that we eat contributes to losses of about £74 billion a year to the British economy.

That is the angle that I come at this from, so let us do anything we can to help to grow and produce our own vegetables freshly. It must be devastatingly sad for farmers to grow top-quality food—because our standards are so high—only to have it macerated into virtual poison and sold in supermarkets. What a waste of time and effort, from their point of view.

I also come at this from the health and recreation angle, picking up the point of the noble Baroness, Lady Young. I do not have my own kitchen garden, but I dig my daughter’s. I have been fascinated by doing that with my grandson because, over the last three years, I have noticed a considerable change: this year, he was fascinated by the difference in the sizes of the seeds of the peas, the salads and the courgettes. He kept asking why each one was different and why they were not all the same. He has now taken charge of his vegetables in the garden. His willingness to eat green vegetables has gone up in proportion to his interest in the garden, because they are his vegetables and they are now on his plate. He has seen them grow—he helped me to plant them and will help me to pick them this autumn.

When I was doing this with him a couple of weekends ago, I thought that this amendment absolutely encapsulates that. I gave your Lordships just one instance, but, if this were done on a much bigger scale, not only would there be recreational and mental health benefits from being outside and digging the garden but the young would be educated. My grandson and I now have a competition about who is the first to see the robin once we start digging, because, sure enough, one will appear on a fence-post, looking for what we have turned over in the hope of getting a free meal. If this can be done for those who have never had the experience of handling food in its natural state, the benefits could be amazing.

Going back to what the noble Baroness, Lady Boycott, said about the gardens that she helped to create in London, I multiply my experience of this and think, “Yes, we can do something”. That is why I hope that the Government will take on board that this is something where local authorities can give a real benefit. It is not allotments; it has to be on a different scale from that. We have heard about the problem with allotments and how long the waiting lists are, so a different tack has to be taken to try to get the local authorities to move, because the end benefits are so worth while.

[Lord Foster of Bath (LD)]

I assure the noble Baroness, Lady Bennett of Manor Castle, that we on these Benches have supported her in the past and will continue to do so. I should reveal that it was me who quietly raised the issue of resources with her just before we began. I note that the amendment mentions identifying

“resources required to bring all land contamination in England to safe levels”.

I say to her and the Committee that that will be a challenging task. She rightly pointed out that, in your Lordships’ House, we are not allowed to discuss those matters, but I hope that someone will take this on board, whether through this amendment or through anything else, because it is a big issue.

This is a helpful reminder to us that, if we recognise that huge problems are caused by land that was previously contaminated, we have to make sure that we are not continuing to create problems for the future with the contamination of land now. Separately, I have been looking into the issue of lithium-ion batteries and the way we are currently disposing of them, which I do not believe we have yet addressed. There are all sorts of problems. People have been killed by lithium-ion batteries exploding, but increasingly they are being dumped, not least in single-use vapes, which, sadly, many young children are now using. They are thrown away in landfill sites and cause all sorts of problems. It is worth checking what lithium can do: lithium toxicity can lead to cancer, brain damage and even death, so we are currently creating toxicity in our landfill sites that we need to address. This is a reminder to do that.

--- Later in debate ---

[Lord Best (CB)]

My Lords, I support Amendment 504GJF from the noble Baroness, Lady Hayman of Ullock, also supported by the noble Lords, Lord Young of Cookham and Lord Wasserman. However, this is not the amendment I would have liked to see. That would read: “The Vagrancy Act 1824 is hereby repealed”. That amendment was ruled to be outside the scope of this Bill. This amendment is a tentative step in the right direction and the very least we should be taking forward at this stage.

Your Lordships’ House played a crucial part in getting the repeal of this antiquated Act into the House of Commons’ version of the Police, Crime, Sentencing and Courts Act 2022. This House passed the repeal amendment on a cold February night, at 25 minutes past midnight, earning the thanks of the coalition of homeless charities, led by Crisis, that had campaigned for this change over many years. In the Commons, Nickie Aiken MP and the right honourable Robert Jenrick MP helped secure this repeal, and all that remained was for the commencement date to be set. But the Government postponed the repeal for well over a year, pending the results of consultation on whether losing the 1824 legislation would deprive police forces of powers they need to address “aggressive begging”.

Those of us involved in the efforts to get rid of this archaic Act have emphasised two points. First, the criminalisation of people sleeping rough not only sends out all the wrong messages in a civilised society but directly undermines efforts to help people off the streets and provide them with the support—for example, to tackle alcohol and substance misuse and mental health problems—that they desperately need. Many homeless people, knowing that homelessness is itself illegal, will not come forward, even if they are abused and harassed by obnoxious bullies. The police have a role not in arresting the homeless but in supporting them to receive the help they need. Indeed, it would seem a step forward if the Homelessness Reduction Act 2017—which requires certain public bodies, including prisons, to notify local authorities when they know of people at risk of homelessness—could be extended to embrace the police as well.

Secondly, there is the objection that powers need to be retained from the old Act—invented or included in a new Act—to protect the public from anti-social begging. We considered this point when discussing the repeal of the Vagrancy Act with Ministers. We were not convinced that there are gaps in existing legislation that need new laws. The Anti-social Behaviour, Crime and Policing Act 2014 provided a range of powers to deal with nuisance of this kind. Other legislation, including the Modern Slavery Act 2015, addresses cases where criminal gangs are involved. Drawing upon the expert legal advice of the noble Lord, Lord Sandhurst, we concluded that it was entirely unnecessary to create new legislation to supplement all of the existing police powers. Indeed, only a very small minority of police forces currently make use of the Vagrancy Act, strongly suggesting that, since the others are operating without recourse to the penal measures in the old Act, a new Bill is quite unnecessary.

I recently asked the noble Lord, Lord Sharpe of Epsom, for news of positive action by the Government to end street homelessness, which they aspire to do by the end of 2024. It was good to hear the positive measures being taken to fund local initiatives and support multiagency working. There is much more to do, and I encourage the Government to step up the important positive work to ease the miseries of those sleeping rough on our streets. In the meantime, let us have all the evidence that government has collected on the Vagrancy Act, including its damaging impact. Let us move forward as quickly as possible towards the repeal of this dreadful relic of the Napoleonic Wars, before its 200th anniversary.

[Lord Foster of Bath (LD)]

My Lords, I am sure that we are all disappointed that we will not hear from the noble Lord who also sponsored these amendments—

[Lord Young of Cookham (Con)]

There is a convention that, if you speak in a debate, you have to stay until the wind-ups. Sadly, I have a commitment that means that that would not be possible. I endorse everything that has been said.

[Lord Foster of Bath (LD)]

We are grateful to the noble Lord, and we will miss him for the rest of our deliberations.

We have had many interesting debates on the issue of housing during the discussion on the Bill, from the need to introduce the decent homes standard into the privately rented sector or to address much more urgently the need to improve the energy efficiency of our homes. But I would argue that these amendments are particularly critical, not least during the cost of living crisis, as they deal with the really important issue of evictions and homelessness. Of course, they come at a time when there is huge pressure on temporary accommodation, given all the additional demands being made—not least, in housing refugees. We know that local councils are massively stretched and are using bed and breakfasts and hotels well beyond the legal limit.

--- Later in debate ---

[Baroness Blower (Lab)]

My Lords, it is a pleasure to follow my noble friend Lord Kennedy. I shall speak specifically to my Amendment 504GC. As evidenced in previous debates on the Bill, levelling up can clearly be about large and strategic macro issues, but a significant aspect of it is that, on an individual level, some people simply cannot read as well as we would want. On an individual level, there must be an aspiration to ensure that all adults are literate. Speaking on this issue in another place, Margaret Greenwood MP said:

“Poor literacy skills and illiteracy often consign people to insecure and low-paid work. They are a form of deprivation that can lead to isolation and poverty and can leave people vulnerable to exploitation”.—[Official Report, 23/11/22; col. 353.]


It would seem that the most recent national survey of adult basic skills in England was as long ago as 2011. It showed that 1 million adults had literacy skills at entry level 3 or below. At this level, people are deemed to be functionally illiterate, although they can, for the most part, read straightforward text on familiar topics and obtain information from everyday sources—but this is not reading at a level that any Government should want the population to function at. It is not the level at which a parent can be confident to read with a child beyond infancy, and it is not the level at which a parent can assist with, or show interest in, schoolwork with children as they grow up. It is not the level at which a worker can seek retraining, upskilling or new opportunities.

As is often said, talent is everywhere but opportunity is not. Adult further and community education provision is not uniform. This provision affords opportunities to adults who have a lower level of literacy than that which we want for everyone. For precisely that reason, this amendment calls for a report on the “impact of geographical disparities” in adult literacy on levelling up and regeneration and for the Secretary of State to publish a strategy

“setting out steps they intend to take to improve levels of adult literacy”.

In 2022, 11 years after the survey to which I referred, the National Literacy Trust found that 7.1 million adults can be described as functionally illiterate. If this is accurate, we are, as a nation, allowing about 16% of our population to languish without the skills they need both personally and to be effectively economically active. As I said, the provision of adult learning opportunities to address low levels of literacy in the population is not uniform, and therefore neither is the participation. This amendment would require the Government to publish the information and then the strategy. If we accept, as I am sure we all do, that employers value and require essential skills, of which literacy is clearly the foundation, improving the capacity of those who struggle to read and write must be a priority.

Speaking as a teacher of many years, it pains me to recognise that not every young person finishes their schooling able to read and write as well as they might or as we would want. However, for a variety of reasons, adult illiteracy and low levels of literacy are a fact in our society. Regrettably, there have been significant cuts in adult education, with as much as a 50% fall in classroom-based adult learning opportunities. This must be addressed if we are to afford the opportunities needed to ensure that all are able to reach their potential.

The Government should not ignore this, especially now, as we continue to tackle education issues arising from the Covid pandemic. There can be no real levelling up without attention to adult illiteracy and a strategy to eradicate it. It is a matter of levelling up but also of social justice.

[Lord Foster of Bath (LD)]

My Lords, I will speak extremely briefly and only to Amendment 499, just to ask the Minister two very basic questions.

It is my firm belief that, for far too long, there has been a failure by Governments of all parties to tackle the inequalities between rural and urban areas. So much of government policy is designed for urban areas and ignores the special and different requirements of rural areas. So, frankly, it is no wonder that there is a disparity in the cost of living between urban and rural areas. In rural areas, house prices are higher and wages are lower; council taxes are higher, but government support for their councils is lower; and the funding per head for services such as healthcare, policing and public transport is lower, but it costs more to provide those services. If you look at other issues, from broadband coverage to banking, you will see that rural areas lag way behind urban areas.

I said in my speech at Second Reading that the Rural Services Network used government metrics to come to the conclusion that, if all rural areas were treated as a single region, their need for levelling up would be greater than that of any other region. At the time, I asked what in the Bill would address that disparity. I ask again: in relation to this amendment, what aspects of the Bill will address the need to level up between urban and rural areas? Related to that is a question that I have also asked but that has not been answered: can the Government tell us how the absolute requirement for rural proofing of all legislation was carried out in relation to the Bill?

[Lord Stunell (LD)]

My Lords, I will speak to all three amendments. In different ways and on different aspects, they set out a clear path for the Government to address some significant issues that, unfortunately, are not covered in the main text of the Bill at present.

In passing, I say to the noble Lord, Lord Kennedy of Southwark, on his experience of public transport: welcome to everywhere that is not London. It is not just that there are no buses in rural areas outside London; he should try the urban areas.

At the moment, there are fundamental problems with how we deliver education to potential parents on how they might best help their children to develop and grow. There are also problems with delivering education in our formal education system for children and in our adult education and further learning courses and opportunities that are available to people not only immediately after leaving the school system but in later life. The noble Baroness, Lady Blower, made that point powerfully, and I will reinforce it: in a rapidly changing technological society, what you might describe as in-course training is vital, even for people like me, to discover how to use the latest devices properly and effectively. That is very much the case for those who come out of the education system with a limited level of skills, and maybe without even having the resilience and skills to learn and develop themselves without substantial help and assistance.

So we have a ladder: literacy is certainly an issue in the absolutely crude sense of the word—whether people can read and write—but, as the noble Baroness, Lady Blower, pointed out, it is a question not just of that but of being able to use that process to inform and educate yourself, to learn from what people present and give to you. That shortage spills into an inability or failure, at the end of your school career, to get magic pieces of paper that are the doors to routes to acquiring skills and qualifications. Of course, that failure means that there is an inability to get and hold high-value, high-quality jobs.

The consequence for the individual is, clearly and very often, a waste of their potential, a lack of fulfilment and, sometimes, an alienation from wider society. But the impact for the community is also negative, and the impact for our country and economy is very negative indeed. I say to the Government that, for levelling up to be successful, there has to be more economic growth in areas that are not flourishing at the moment.

To best spend taxpayers’ money on levelling up, however and wherever that tax is collected, it needs to go to areas that need the growth and help. It is exactly those areas where there is that deficiency in skills and professional qualifications, and where it is difficult to recruit people. That means that we are not getting the productivity growth in the industries and geographies where they are most needed. For instance, we get high economic growth in London and the south-east but not in the north-east of England. Unfortunately, all of these are connected in a line that starts with the process of how children grow and flourish in our education and training system.

--- Later in debate ---

I believe that the time has come for some sort of national organisation for the taskforce expert group, preferably a commission, to look at these issues and to help government to take them forward. I beg to move.

[Lord Foster of Bath (LD)]

My Lords, I rise to support Amendments 504F and 504G. I congratulate the noble Baroness, Lady Young, for the work that she has done, not only on this but on many related issues. She is a great asset.

As the noble Baroness mentioned, back in 2019 I chaired your Lordships’ special Select Committee on the Rural Economy. Part of our deliberation addressed the issue of land use at a time when regional spatial plans had been withdrawn with nothing to replace them. Several witnesses at that time told the committee that they were unhappy with the situation. For example, Hugh Ellis of the TCPA said:

“For me, a national spatial plan is essential. Almost every other advanced economy has one”.


It was hardly surprising that the committee concluded that the

“Government should revisit the merits of a spatial plan for England”.


Of course, much has happened since then, but we still have no form of detailed spatial plan. However, we are delighted that the Government have committed to publishing a land use framework, as they call it, by the end of the year. We know that your Lordships’ Land Use in England Committee recently considered the issue and welcomed the Government’s intention to produce a framework. As we have heard, there was some uncertainty as to whether the Government’s intentions were to have a framework that covered the full range of demands on the use of land, from food production and energy resilience to nature recovery strategies and access to green and open spaces.

The committee’s proposals are neatly summarised in Amendments 504G and 504F: to establish a land use commission

“to prepare and publish for consideration by Government the draft land use framework for England”,

and a requirement that the Government

“lay a land use framework for England before Parliament”.

Amendment 504F may seem redundant, given the Government’s commitment to bring forward such a framework this year, but it seems vitally important that we have something like this on the statute book pretty quickly to ensure that the commitments given by the noble Lord, Lord Benyon, earlier this week are followed through. It is not just a framework. The amendment is very clear that the output must cover the full range of demands on the use of land, and that, crucially, an exemplar list, while not exhaustive, is included in the amendment. However, it goes further, making it clear that numerous bodies, including other government departments as well as Defra, local authorities and relevant public bodies, should be involved and that there should be wide-scale consultation. It is important to set these down very clearly.

It may be that the Government will agree with such an idea in some form or other and bring forward some wording on a similar line. If there is to be further consideration of the wording, there is one other issue which I hope will be included. It would allay some fears if it was made clear that the proposed framework that the Government are going to bring forward is not seen as replacing, or even being in conflict with, the current planning regime. Your Lordships’ land use committee was very clear about this. It said:

“It is not suggested, and we do not propose, that the land use framework sets any distinct housing development policy or replaces the planning system in any way. Nevertheless, the framework cannot ignore the interaction of housing with land use and so it must incorporate some acknowledgement of this”.


I hope that it may be possible, at least in the Minister’s response. Further paragraphs in the report suggest a way forward, but the clear statement that the land use framework does not replace the planning system may be a useful addition to the amendment.

It is clear—and the situation is clearly changing—that the Government are not yet persuaded of the need for Amendment 504G, which proposes, as we have heard, the establishment of a land use commission. It is worth recalling that when the Government responded, quite recently, to the land use committee’s report, they said,

“we disagree with the proposal for a separate Land Use Commission”.

There has obviously been some shift, and it is good to hear that. Perhaps the Minister can at least confirm that she agrees that the Government have not yet been persuaded—not that they disagree. That is quite a significant shift in the language.

I genuinely hope that the Government will take this on board. A separate commission, as the amendment proposes, with commissioners from a wide range of backgrounds and experiences, will also ensure other things: that relevant data is collected on a regular basis, dialogue between all involved parties continues, advice and best practice is widely shared, an annual report is presented to Parliament for debate, and modifications to the framework can be proposed to the Government. These are all important things to ensure that we do not do it just once and then forget it, and that we ensure that we can move forwards.

Levelling-up and Regeneration Bill

Lord Foster of Bath Excerpts

Committee stage
Thursday 18th May 2023 Lords Chamber

On Amendments 356 and 357, the infrastructure levy will be a non-negotiable charge on the final gross development value of a completed development. It will be responsive to the market, reducing the need for negotiation. However, we acknowledge that site-specific infrastructure and mitigation are important. That is why the Government are proposing to retain Section 106 in some very limited circumstances—for instance, to secure integral infrastructure such as sustainable drainage, and to allow the negotiated in-kind delivery of infrastructure on large sites. We are consulting currently on these circumstances before we develop regulations.

[Lord Foster of Bath (LD)]

I am sorry to interrupt the Minister. She has given a number of examples. Will the biodiversity net gains required in the Environment Act 2021 be included in the exceptions she has just listed?

[Baroness Scott of Bybrook (Con)]

I think I have just said that we are currently consulting on what will be in those. I would prefer to wait until after that consultation and then we will know what is going to be in them.

Amendments 332 and 333 seek to require a local authority to prepare an assessment of its affordable housing need and for the infrastructure levy rates to be set at a level that will meet this need in full. We must recognise that the total value that can be captured by the levy, or indeed any system of developer contributions, will not necessarily match the costs of meeting the entire affordable housing need of an area. Revenues will depend on the value of development that comes forward, and that will not always match need.

Nevertheless, new Section 204G(2) in Schedule 11 requires that charging authorities, when setting their rates, must have regard to the desirability of ensuring that affordable housing funded by developer contributions equals or exceeds present levels. That will ensure that affordable housing need is accounted for when levy rates are set. Furthermore, charging schedules will be subject to scrutiny by public examination to ensure that it does.

I want to make it clear that the list of infrastructure issues is not in priority order. Although affordable housing may be seventh on the list, that does not make it a priority. That list is also not necessarily complete.

As noble Lords will no doubt be aware, strategic housing market assessments or similar documents are currently part of the evidence base used to prepare a local plan. These are required as a result of national policy contained in the National Planning Policy Framework, rather than in primary legislation. Under the new system for preparing local plans, local authorities will continue to be required to prepare evidence regarding different types of housing need, including affordable housing. That will inform not only the local plan but the infrastructure delivery strategy.

I agree that it is important that the levy is based on up-to-date evidence of affordable housing need. It is the intention that local plans, charging schedules and infrastructure delivery strategies are prepared together. However, during the transition period, this may not always be possible. That is why our preferred approach is to use regulations and guidance to set out how evidence-based documents, including evidence on different types of housing need, should be considered. I hope I have given reassurance to the Committee that the provisions in the Bill will enable levy rates to be set with proper regard to affordable housing need, and that the noble and learned Lord, Lord Etherton, will feel able not to press his amendment.

Amendments 334 and 334A have the commendable purpose of ensuring that the levy meets its aims of delivering at least as much affordable housing as the current system, if not more, or otherwise addressing locally identified need for affordable housing. The Bill allows regulations to make provision about matters to be considered by charging authorities when setting rates, including the desirability of ensuring that affordable housing funded by developer contributions equals or exceeds present levels. This will ensure that affordable housing need is accounted for when rates are set but, if the Government are overly prescriptive about requirements, the development of an area could become unviable. That is because affordable housing need may exceed what can be captured through the levy. In such circumstances, rates would need to be set at such high levels that neither affordable housing nor market housing would come forward.

The Bill has been drafted carefully to enable local authorities to find the right balance when setting rates and capture as much value as they can while maintaining viability. As I have said, local authorities’ infrastructure levy charging schedules will be subject to public examination, meaning thorough scrutiny of how and why levy rates are set at a particular level. The infrastructure delivery strategy will also be subject to examination, alongside either a local authority’s charging schedule or its local plan. We envisage that the infrastructure delivery strategy will set out the proportion of levy payment that an authority will require to be delivered in kind as affordable housing. I hope that this provides the noble Baronesses, Lady Warwick and Lady Taylor, with sufficient reassurance not to press these amendments.

Amendments 340, 341, 344, 344A, 349 and 350 are all concerned with how local planning authorities should spend levy proceeds. With regard to Amendment 340, the infrastructure levy is an important tool to support sustainable development objectives at the local level. There is an existing requirement for local authorities, when exercising any function in relation to local plans, to do so with the objective of contributing to the achievement of sustainable development. This is set down in Section 39 of the Planning and Compulsory Purchase Act 2004 and will remain in the new plan-making system.

To create sustainable development and successful places, it is important that the infrastructure is appropriately planned for. Contributions from developers are a key tool in mitigating the impacts of new development, alongside wider government funding. The Bill provides a flexible framework to allow local authorities to decide which infrastructure projects they spend the proceeds on. When making such decisions, the Government expect local authorities to fulfil their functions by having regard to all their legal requirements in the round—for example, contributing to the achievement of sustainable development.

I turn to Amendments 341 and 344. As I hope that I have impressed on the Committee, we have designed the levy with the aim of delivering at least as much affordable housing as the current system of developer contributions, if not more. Should the levy generate more revenues than at present, local authorities would be able to choose to direct those additional revenues to meeting their local affordable housing need. Nevertheless, local authorities will need to balance this objective of affordable housing delivery with the levy’s other objectives, such as supporting the development of new roads and medical facilities. We think it is right that local authorities, which know their areas best, are best placed to make local decisions in balancing funding for matters such as affordable housing and other local infrastructure need. I hope noble Lords will therefore feel able not to press these amendments.

Levelling-up and Regeneration Bill

Lord Foster of Bath Excerpts

Committee stage
Monday 24th April 2023 Lords Chamber

[Baroness Henig (Lab)]

I am extremely pleased to support the noble Baroness, Lady McIntosh of Pickering, who introduced this amendment in, if I may say so, an extremely detailed speech, which means that I can be somewhat briefer. I think noble Lords will be pleased about that, because I have a dreadful cough which might manifest itself in the next five minutes. I apologise if it interrupts what I want to say.

I was a member of the committee that was so ably chaired by the noble Baroness, Lady McIntosh of Pickering, to carry out the post-legislative scrutiny of the Licensing Act 2003. There was an extremely strong team on that committee, quite apart from the chair and the House of Lords back-up team; Sarah Clover was an extremely helpful special adviser. I am grateful to Sarah for sharing with me her vast legal expertise on this topic, and for guiding me through the more arcane elements of this particular legal element.

The agent of change principle was one of the issues that came up during our proceedings. The Government professed themselves to be sympathetic to the problems being faced by the night-time economy. Indeed, their response to our recommendation that the agent of change principle should be adopted in both planning and licensing guidance was that they were consulting to see whether the agent of change principle should be emphasised by changes to the National Planning Policy Framework. That was in 2017; perhaps the Minister could tell me what the outcome of that consultation was, since the trail seems to have gone a little cold and I have not heard whether there has been any follow-up. I would be most grateful if perhaps the Minister could bring us up to date on that particular matter.

Now, of course, since 2017, the landscape has changed considerably for the worse as far as the night-time economy is concerned, as the noble Baroness, Lady McIntosh, quite rightly pointed out. It was decimated by Covid and is only just recovering from the impact. Along with the rest of the economy, the night-time economy faces critical staff shortages and considerable inflationary increases. Frankly, it needs all the help it can get. It needs the Government not to just pay lip service to helping the economy in these difficult times but to actually do something to assist.

This is one obvious way that the Government can help. Here is the Government’s opportunity to enshrine in primary legislation the agent of change principle, so that the interests of the night-time economy, local residents, and possible new local developments are all taken into account equably in planning decisions. It seems to me that that is a very important principle. Furthermore, it seems to me absolutely right, and very important, that this happens right at the outset of new developments, so that all interests at local level can be fully taken into account, difficulties can be pinpointed and ways to mitigate these difficulties can be identified early on.

Really, this is a very straightforward amendment to try to assist in the current process, and to improve it. Therefore, I commend it to the Minister as one which could bring great benefits up and down the country at, as far as I can see, hardly any cost. I very much hope it will be taken on board by the Government.

I will just add that the noble Baroness, Lady McIntosh, and I have some form in putting forward amendments which are then taken on by the Government and presented subsequently as government amendments. I am therefore extremely hopeful that this might happen in relation to this very constructive and helpful amendment, and I commend it to the Minister.

[Lord Foster of Bath (LD)]

My Lords, I too served on your Lordships’ Select Committee on licensing in 2017, and on the subsequent follow-up committee. I join with the noble Baroness, Lady Henig, in heaping praise on the absolutely able chairmanship of the noble Baroness, Lady McIntosh of Pickering. As we have heard, both committees concluded that it was important to incorporate the agent of change principle in planning policy and guidance.

In case anybody is in any doubt what this means, the agent of change principle ensures that a new development must shoulder responsibility for compliance when situated near, for example, an existing music venue. Similarly, if a music venue opens in an existing residential area, it would be responsible for complying with residential requirements to minimise nuisance. For example, based on this principle, an apartment block built near an established music venue would have to pay for soundproofing, while a live music venue opening in an existing residential area would be responsible for the cost of soundproofing.

The committee was therefore very pleased that the Government agreed that the agent of change principle should be reflected in the National Planning Policy Framework and in Section 182 guidance. That has now happened. However, the follow-up committee heard that the principle as it stands, reflected in those documents, does not sufficiently explain the duties of all parties involved. The committee argued that the principle needs to go further to protect licensed premises and local residents in our changing high streets, and that a lack of consistency between the planning and licensing systems—something that it believed needed to be changed anyway—has led to, for example, live venues not being guaranteed to be protected. I will give two quick examples.

The Night & Day Café is a live music venue in Manchester’s Northern Quarter. It opened in 1991 and is the venue that launched the careers of, for example, Elbow and Arctic Monkeys. In November 2021, the venue was served with a noise abatement notice from Manchester City Council. This followed ongoing complaints from local residents who had moved into a new development—warehouses converted into flats—during the Covid pandemic when the venue was temporarily closed. The case provoked a huge degree of interest. Some 94,000 people have signed a petition asking for the notice to be withdrawn, with one signatory describing the situation as

“like moving to Leicester Square and complaining about there being too many cinemas”.

Night & Day Café’s appeal over the order has been adjourned until later this year. It has still not been resolved.

The Jago is a venue in Dalston that hosts live music events, screenings and workshops. It is registered as an asset of community value and is very highly regarded in the local area. It has hosted musicians for almost two decades, but since the pandemic many surrounding buildings have been converted into residential properties, which has led to an increase in noise complaints and, in June 2022, it received a noise abatement notice. It too has been the subject of a petition trying to help, with over 2,500 signatures. Again, its problem has not yet been resolved.

The committee recommended that, to resolve issues such as these, the Government should review and strengthen the agent of change principle and consider incorporating it into the current planning reforms in the Levelling-up and Regeneration Bill. The Government did not disagree, and themselves pointed to the then upcoming Levelling-Up and Regeneration Bill as a vehicle to address these concerns. This amendment is simply by way of helping the Government achieve what they agreed was needed: greater clarity about what is expected of councils and businesses. In that light, I hope the Minister will see that the amendment is designed to support and help the Government. I hope she too will support it.

[Lord Brooke of Alverthorpe (Lab)]

My Lords, I am grateful to the noble Baroness for moving the amendment and to others who have spoken. I too was a member of the original committee, although not the follow-up committee. It is amazing to look at how life has changed so quickly since the report in 2017 and the subsequent report. Since then we have had the pandemic and a whole new experience of living in a different world entirely, including a different world of work, from what we had in the past.

Leaving aside nightlife, look at what is happening with online trading and with the high street. When one wanders around Oxford Street one sees quite large premises now empty and not being used. The Strand has been transformed completely from what it was like 20 years ago. Companies that had been there for almost a century and a half have disappeared, yet the properties remain empty. What will happen to them? Without any doubt, if they fail to get commercial operatives they will be converted into residential premises in due course.

Levelling-up and Regeneration Bill

Lord Foster of Bath Excerpts

Committee stage
Monday 27th March 2023 Lords Chamber

To close the circle, I will say that I live in a house that was built in 1678. When I first went to live there, many would have regarded it as a rather large heat sieve. I have gone around plugging most of the bigger rat holes that have occurred in the interim, post construction. But this is not just about energy use, although that is a very important thing. Energy use is probably the major net present value of energy component; that tends to be the situation. I see my noble friend Lord Ravensdale nodding at that. But, if we can make sure that the buildings we build today will last at least as long as some of those Victorian buildings—so they are built in a robust style with things that do not fall apart, so people feel that they are not then threatened by continual recurring costs of making good and patching up—we will tick boxes in terms of energy, on the one hand, and human satisfaction and commitment for the long term, on the other. That must make a lot of sense.

[Lord Foster of Bath (LD)]

My Lords, there appears to be a clear consensus across your Lordships’ House that we need to improve the mental and physical health and overall well-being of citizens, and that we can do that, in part, by improving the area around where people live and the homes in which they live.

Amendment 241, to which I have added my name, and which was powerfully introduced by the noble Lord, Lord Young of Cookham, deals with the issue of the area around people’s homes and how it could be improved. A very good example of that is access to nature, and it is worth remembering that the Environment Secretary, Thérèse Coffey, very recently said:

“Nature is vital for our survival, crucial to our food security, clean air, and clean water as well as health and well-being”.


So access to nature is important for health and well-being purposes, as well as the other things that she mentioned.

When I was a Minister in what was then the Department for Communities and Local Government, I had a responsibility, for a while, for green spaces, and I had an opportunity to see some tremendous work being done by some planners. However, I was very acutely aware of the enormous pressures that they were under to achieve further access to green spaces. They faced huge conflicts, where many other issues often took priority over access to green spaces, and therefore priority over citizens’ health.

As part of the Government’s recently announced plans for nature recovery—which, in part, we were discussing in relation to earlier amendments—the House will know that the Government have set a target to ensure that everyone will live within 15 minutes of a green space or water, but, unfortunately, there is very little detail expressing how that will be achieved. So one of the benefits of Amendment 241, it seems to me, is that it will help the Government achieve that particular objective. However, as others have said, in particular the noble Lord, Lord Stevens, and the noble Baroness, Lady Jones, this is about more than just access to green spaces: it is about access to amenities and being able to get to them easily by walking, wheeling or cycling, which are all forms of exercise that improve health.

It is worth noting that in 2021 Sustrans carried out a survey that found that walking, wheeling and cycling together prevented almost 130,000 serious long-term health conditions every year. Yet we are still building developments that are far from existing settlements, and where you cannot even buy a pint—perhaps I should say a litre these days—of milk, or at least you will not be able to until a later phase of development. So people have to resort to using their cars or, where it is available, public transport, thereby again reducing exercise opportunities.

Planning departments can play a role in enabling people to exercise as part of their everyday lives, but they need help. We know from the Sustrans survey that 64% of planners who responded called for “robust … guidance or regulation” to help them prioritise health and well-being. I believe that this amendment—which is based, as we have heard, on the 20-minute neighbourhood approach—would help achieve that, while also providing the flexibility that planners need because they know their area best.

As we have heard, subsequent amendments in the group look at ways in which we can improve the housing in which people live in order to improve their overall well-being. Like others, I pay enormous tribute to the noble Lord, Lord Crisp, for the work he has done leading so many of us in the direction he has taken us with his string of amendments, which I very much hope will be incorporated, in some form, in the final version of the Bill.

I will pick up on one aspect that is not covered by his amendments, but is covered by Amendment 504GF, which was very well introduced by the noble Baroness, Lady Hayman, and to which I have added my name. It does not deal with new homes being built but looks at existing properties and how they could be improved to help the health and well-being of their residents and to achieve our net-zero target.

One of the reasons I am particularly attracted to this amendment—there are many others—is that it introduces into legislation targets for improving the energy efficiency of existing properties. As the Minister knows, this is an issue that I have raised on very many occasions in your Lordships’ House. I am always pointing out that there are 17 million homes that are currently below the acceptable energy efficiency level. In one of my many attempts to do this, I referred three years ago to the report by the Climate Change Committee, UK Housing: Fit for the Future?, which assessed the preparedness of our housing stock for the challenge of climate change. It concluded that the measures to reduce

“emissions … from the UK’s 29 million homes”—

responsible for 17% of all carbon emissions—had

“stalled, while energy use in homes”

had increased, and adaptations of housing stock to meet the impact of climate change were

“lagging far behind what is needed to keep us safe and comfortable”.

Three years on, the CCC’s most recent report shows that the situation is still dire. The decline in work to retrofit existing properties has hardly been halted. It says:

“Installation rates for building insulation have plummeted over the last decade, and are far below the level they need to be”


to deliver on UK climate targets.

Of course, as I have said in your Lordships’ House on previous occasions, I welcome a number of recent initiatives by this Government—ECO+, for example, and the announcement only three days ago of £1.4 billion to improve energy efficiency in social housing, although it is from a pot that was previously announced—and I look forward to hearing plans from the newly established Energy Efficiency Taskforce.

Housing: Conditions in Rented Sector

Lord Foster of Bath Excerpts

Thursday 16th March 2023 Lords Chamber

[Baroness Scott of Bybrook (Con)]

I thank the right reverend Prelate. If he looks at the LUR Bill, he will see that we are dealing with this exact problem at the moment. It will probably be debated next week in this Chamber and I look forward to being able to tell him further about what we are going to do.

[Lord Foster of Bath (LD)]

My Lords—

[Lord Carlile of Berriew (CB)]

My Lords—

[The Earl of Courtown (Con)]

My Lords, I think it is the turn of the Liberal Democrats.

[Lord Foster of Bath (LD)]

My Lords, during the passage of the Social Housing (Regulation) Bill, your Lordships’ House voted for an amendment that would have reduced energy costs in social housing. In the other place recently, without any explanation or debate, that amendment was removed. Is that not a gross discourtesy to this House? Can the Minister now explain why that amendment was removed?

Levelling-up and Regeneration Bill

Lord Foster of Bath Excerpts

Committee stage
Wednesday 15th March 2023 Lords Chamber

[Lord Foster of Bath (LD)]

My Lords, I will make a brief contribution because tonight, in East Suffolk Council, where I now have the great privilege of living, there is to be a debate on the very subject of democracy at local government level. I have just received a copy of the speech that will be given by David Beavan, the councillor for Southwold ward. He will say—he has not yet said it—the following:

“The Conservative party won the last election with 38% of the vote, but this gave them an overwhelming majority with 71% of the councillors. We are not allowed to debate the unfair first past the post system but we can debate ways to mitigate it so that the silent majority of non-Conservative voters are represented … This administration used its majority as a sledge hammer to close down debate in this council and to pack every committee and outside body with their own … We believe there is a better way to run this council … Where all members of every party have an opportunity to work for East Suffolk … Where debate is open and considered not predetermined by a party political whip … Where opposition members are given a fair chance to make their point in meetings … Where officers are not dragged into petty party politics … Above all we need a Scrutiny committee that is not directed by the administration. An opposition chair would ensure this independence … East Suffolk today faces big challenges. We need to work together as a community and a council. We should set aside party politics after the election and knuckle down to govern fairly for all of East Suffolk.”


I entirely agree with him, and I note that in an earlier discussion on Monday the noble Earl the Minister said clearly that this Bill is all about getting rid of “central diktat” and giving local people an opportunity to have a say. This amendment from my noble friend gives an opportunity to do that. I hope it will be supported by the Government.

[Lord Stunell (LD)]

My Lords, we have had a short debate and it will be very interesting to see how the Government respond to it. I wait in hope that something can be done, as my noble friend said in moving this amendment, to turbocharge local democracy. There is no doubt that it needs turbocharging: we see elements of its alienation every day of the week. We are moving closer and closer not to better local democracy, but to perhaps better but certainly more intense local administration. I have spoken on that already today. My noble friend made the extremely powerful point, and certainly a very good debating point, that if ID cards are good enough for Northern Ireland, surely a proportional voting system is good enough for England. I hope the Government have a really plausible reason for not accepting that argument.

My noble friend Lady Harris has accurately reported, I am sure, the views of Richmondshire District Council—incidentally, it is in North Yorkshire, which we were of course discussing earlier today—and the value of every vote being equal and the opportunities for regeneration that flow from that. The noble Baroness, Lady Bennett of Manor Castle, drew our attention to some examples of bad practice and pointed out the damaging impacts of single-party rule. Since we certainly think it is inappropriate, to say the least, in North Korea, it ought to be inappropriate in our town halls in England as well. Restoring that element of local choice and broader representation ought surely to be one of the objectives of this levelling-up Bill.

My noble friend Lord Foster of Bath drew attention to the not untypical situation with East Suffolk Council whereby a party with less than 40% of the vote finishes up with over 70% of the representation and therefore of the decision-making. We had debates earlier about the Government’s intention, set out clearly in the Bill, to suspend the operation of proportionality in local authorities in the formation of CCAs. I hope the Government Front Bench will take note of some of the malign consequences that can arise when proportionality is not adhered to. Of course, in terms of representation, a sense of alienation can grow in voters, and in non-voters but electors, who repeatedly say, “It’s not worth voting because they always get in”. That happens time and again, particularly in local government. Surely, we have to make sure that the voices of the silent ones—the voices being suppressed by that system—are in fact heard.

I want to hear the Government say, “There are things about this we do not like; we do not really want anything other than first past the post; but we do recognise that local communities, local councils, should have the right to choose for themselves the voting system they use”. My noble friend has set out in considerable detail a very compelling case: we are not suggesting throwing the whole system up in the air, but simply using systems already in operation in various parts of the United Kingdom, including in England.