Parliamentary Buildings (Restoration and Renewal) Bill

Debate between Lord Foulkes of Cumnock and Lord Stunell

2nd reading (Hansard): House of Lords
Monday 8th July 2019 Lords Chamber

[Lord Foulkes of Cumnock]

Why does the noble Lord think that the Treasury will agree to Parliament making this decision without its approval—I see the Leader of the House is not listening—given that I keep getting told that a much more modest proposal that I have been suggesting for a number of years is subject to approval by the Treasury and must be within a particular envelope? Either this Parliament makes decisions about expenditure or it does not. The noble Lord is saying that it will make decisions about billions of pounds, when it cannot make decisions about millions.

[Lord Stunell]

The noble Lord exactly anticipates the point I am coming to. If this goes ahead unamended, it is a recipe for the hidden hand to cause delay and wasted effort. Those were the points I was about to make.

The Joint Committee recommended that a Treasury Minister sit on the sponsor body, which will sign off the brief for the delivery authority. That is when the Treasury input is needed, not after a year’s work of design and procurement has been done, and perhaps wasted, when the estimates commission consults the Treasury, in accordance with paragraphs 3, 5 and 8, and is obliged to reject what comes to it. I say “obliged”, because if you must “have regard” to something, that leaves very little room to ignore the advice you receive.

There is a weakness in accountability here, but not a weakness of the designers, contractors, delivery authority or sponsor board. Those accountabilities are in the main clear and transparent, and very welcome for that. The weakness is in the accountability of the Government and the lack of any transparency in their input. I describe it as their “input” into the process but it is much more likely to be their extraction from it, because I do not believe that the Treasury would urge anyone to spend the money faster. However, their participation in the process is not transparent, and that weakness will lead to delay, waste and extra costs. How much better and simpler would it be to have the Treasury at the front end rather than the back end of the process?

It may be said that there is no problem because the Government will accept the point that the noble Lord, Lord Foulkes, is so dubious about them accepting. However, we know that transparency influences the progress of the project, and that endless delays and costs involve money. When there was no transparency, we did not know, for instance, why it was taking so long for previous stages of this process to reach the House and for decisions to be taken. When those delays cannot be attributed and chased, they accumulate. I can well understand that the Government have no wish at all to be fingered by this problem; equally, we have to understand its cost. With costs running at over £500 million a year, I can well see that Ministers will be hesitant. That is five schools-worth a year, and the temptation will be to stop, pull back and slow down. That is bad and expensive news at any stage of a big project, but it is absolutely destructive when it is in full flow. Let us get that interference at the front level, and minimise the delay, the wasted design time, the costs and the aborted procurement. I hope we can come back to that key issue in Committee.

I concur with practically every speaker in this debate in saying that this is a good, sound Bill. It needs to go ahead, and quickly, and we need to make sure that any flaws regarding accountability that may be built into it are dealt with before it leaves your Lordships’ House.