Housing Market

Lord Khan of Burnley Excerpts
Thursday 17th November 2022

(1 year, 9 months ago)

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Lord Khan of Burnley Portrait Lord Khan of Burnley (Lab)
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My Lords, I thank my noble friend Lady Warwick of Undercliffe for introducing the debate so eloquently. I welcome this debate to consider the housing issues facing the UK today, but let me first say how proud I am to hear my noble friend Lady Taylor of Stevenage make such an excellent maiden speech. She joins this House with a wealth of experience in local government and I know she has an enormous amount to contribute to the House, especially in flying the flag for Stevenage and Symonds Green.

Stevenage was established by the New Towns Act 1946 and represents the success of the post-war Labour Government who built homes for heroes from the rubble of war. In the years since, this country has changed far beyond what the builders of Stevenage could ever have imagined, but the news this week that a toddler in Rochdale has died from exposure to mould shows that the squalor in society that Beveridge identified persists today. Just yesterday, the Secretary of State told the other House that more must be done. I am convinced that “more must be done” is no longer enough. The only answer to housing conditions in the UK today is an effort that matches the Herculean effort of the post-war Government because, tragically, the death of two year-old Awaab Ishak is not an isolated case and squalid conditions are not the only problem. My noble friend Lady Warwick talked about 2 million children living in unsuitable, unaffordable and overcrowded housing in the UK.

Access to housing is increasingly difficult, especially for those who have traditionally benefited from social homes. There are now 1.4 million fewer households in social housing than there were in 1980, despite the population of our country growing by over 10 million in the same period. Building good-quality and well-regulated social housing is the relief that the Government can provide to so many millions of families struggling today. According to the Joseph Rowntree Foundation, over half of renters on low incomes would be lifted out of housing unaffordability were they to be offered homes at social rent levels.

We must also look to new and innovative forms of community and co-operative housing, learning from successful models in places such as Sunderland, Liverpool and Lancaster, where they build community wealth or collective ownership and have seen over 25,000 houses built so far. Such models give residents a greater say over design and management and can be paired with new community land trusts to provide community-owned affordable homes.

I recognise that home ownership is an ambition for millions and an achievement for many more. In the more immediate term, we need to address the present mortgage crisis, which means that a household refinancing a two-year fixed mortgage will be paying £500 more per month on average.

The result of this crisis will be that people who have worked and saved to own a place of their own will lose the roof over their head. Needless to say, on home ownership the limit of ambition should stretch far beyond addressing the immediate crisis—we must ask why home ownership rates have fallen and the number of new affordable homes available to buy has plummeted.

Following the Chancellor’s mini-Budget, more than 40% of available mortgages were withdrawn from the market, and lenders priced in interest rates for two-year fixed-rate products at over 6%, and, unfortunately, the Statement today did not address the issues for many people. This has a very real and immediate impact. Mortgage repossessions soared by 91% compared with the same period last year, while the number of orders to seize property are up by 103%.

While the situation now is worse than ever in recent memory, this is the latest culmination of a trajectory which began in 2010. There are now 800,000 fewer householders under 45 who own their home and nearly 1 million more people in private rented properties than 12 years ago. For a significant part of the population, private renting will be the right option, but there should be an alternative. The Government’s own White Paper admits that the private rented sector

“offers the most expensive, least secure, and lowest quality housing to 4.4 million households”,

and they are correct. One-fifth of private tenants in England are now spending a third of their income on housing that is non-decent.

Unfortunately, soaring rents are not the only issue that private renters have to contend with, as we have heard in other contributions today. There is also an unfair power imbalance which allows landlords to act with impunity, as seen in the continued use of no-fault evictions, mentioned by the noble Baroness, Lady Thornhill, and as demonstrated by the fact that over a fifth of private renters who moved in 2019-20 did not end their tenancy by choice.

My noble friend Lady Warwick of Undercliffe in the title of this debate calls for a “coherent strategy” to address housing problems in the UK today. As I said earlier, that strategy must take inspiration from the post-war Labour Government. I want briefly to share a quote from the Health Secretary of that historic period, Nye Bevan, who said:

“We shall be judged in a year or two by the number of houses we build. We shall be judged in ten years’ time by the type of houses we build”.


I would add that we should judge ourselves by the health and quality of life of the people who today live in homes that were built by previous generations.

Turning to some powerful contributions from speakers with great expertise, knowledge and experience, the noble Lord, Lord Lilley, mentioned a speech he made in the other House many years ago in which he said that the cure for the housing crisis is to build more homes—that is absolutely clear. Many years ago, that was seen by the press in a different manner, but I am sure that everyone now appreciates that clear, simple message.

The noble Baroness, Lady Thornhill, talked about being a pro-development mayor, and we need a pro-development ministerial approach to address this crisis. The noble Baroness also talked about change being slow; in particular, she mentioned the renters reform Bill, and I look forward to the Minister’s response on that.

My noble friend Lady Taylor, while making her excellent maiden speech, made a very pertinent point: safe, secure and warm houses are essential to one’s dignity. The noble Lord, Lord Crisp, repeated the idea that this is not just about buildings; it is about communities.

The noble Lord, Lord Best, made a very important point about affordability and looking at the underlying reasons behind the housing crisis. The noble Lord talked about the Oliver Letwin recommendations; can I press the Minister on whether they have been implemented? What assessment have the Government made of them?

I am afraid that the story of Awaab Ishak shows a tragic failure on many fronts. The death of Awaab was preventable; that it happened in modern Britain is unconscionable. Dangerous housing conditions are all too common. Today, we must mark a step change in the urgency shown towards safety and standards. The coroner said that the death of Awaab will and should be a “defining moment” for the housing sector. With the power and platform that the Minister has, what urgent steps will she be taking to ensure that this appalling tragedy never happens again? It should never have taken the death of a two year-old boy to get us to act on a widely accepted chronic problem in the housing sector.

Devolved Administrations: Intergovernmental Relations

Lord Khan of Burnley Excerpts
Tuesday 8th November 2022

(1 year, 9 months ago)

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Baroness Scott of Bybrook Portrait Baroness Scott of Bybrook (Con)
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I thank my noble friend for that comment. I will take it back to the department, discuss it and then come back to her.

Lord Khan of Burnley Portrait Lord Khan of Burnley (Lab)
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My Lords, the challenges we face—the cost of living crisis, the climate crisis and standing up to Putin—are common across our four nations and we need to face them together. Can the Minister detail what recent engagements the Government have had in the past few months with the devolved Administrations on the climate crisis as part of preparations for COP 27?

Baroness Scott of Bybrook Portrait Baroness Scott of Bybrook (Con)
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I thank the noble Lord. I cannot give the dates for what happened but it is possible, at any time, to go on to the government website and see what those meetings were about. However, I can tell the noble Lord that if those are the issues which the devolved Governments want to speak to the Prime Minister about, I am sure he will be listening at this coming meeting.

Local Authority and Combined Authority Elections (Nomination of Candidates) (Amendment) (England) Regulations 2022

Lord Khan of Burnley Excerpts
Tuesday 28th June 2022

(2 years, 2 months ago)

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Baroness Pinnock Portrait Baroness Pinnock (LD)
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My Lords, I repeat the interests that I stated in the discussion of the previous statutory instrument as a councillor and a vice-president of the Local Government Association. I welcome the addition to the disqualification criteria of anyone who is on the sex offender register. I note what the Minister said, which is also in the document, that, although we are discussing the consent to nomination for mayoral candidates, this has been laid as a negative instrument to include councillors at all levels, including in London. I welcome this.

The Sexual Offences Act was passed in 2003 so why has it taken nigh on 20 years to get what would for everybody be an obvious disqualification criterion included on the consent of candidates form? What has it taken 20 years? I was lobbied by a sitting councillor in the north of England about a parish councillor who was put on the sex offender register. There was no way of disqualifying them. I remember sending Written Questions to the appropriate Minister at the time seeking some action on behalf of the Government to rectify this error because, whatever we think about the situation, people will not stand if they are on the sex offender register. If they have already been elected, they will not be disqualified if the criterion does not exist. That is what happened in this case. If you are elected to public office, you have authority and access to institutions that are not necessarily available to others. If you are on the sex offender register, that brings an additional risk to members of the public. Why has it taken 20 years when my little network of folk knows of an example where a disqualification should have occurred but could not occur because of this lack of action by the Government?

I have a second question, which I know the Minister will be happy to answer. We have this SI for council and mayoral elections, including for combined authority mayors, but what about Members of Parliament? Why is there not an SI that changes the consent to nomination candidates’ form for Members of Parliament? They have even greater status and access to institutions than a councillor or a mayor. Why is that not here? I gently reference the fact that, currently, a number of Members of Parliament are being investigated about complaints of sexual harassment or offences. That would seem to me to indicate that we—those of all parties and none—have got to be more aware of the folk that we ask to stand for public office. Here is a way, by including this criteria in a parliamentary candidates’ consent to nomination, to provide that bar and give protection to the public.

I clearly support what is here today but I have questions for the Minister. I think that he is now trying to find answers to them; I look forward to those.

Lord Khan of Burnley Portrait Lord Khan of Burnley (Lab)
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My Lords, I again refer your Lordships to my entry in the register, stipulating that I am a local councillor in Burnley Borough Council.

This instrument will update the candidate consent to nomination forms to reflect the very welcome changes introduced by the Local Government (Disqualification) Act 2022, to which the Minister referred. An overwhelming majority of local councillors, mayors and mayoral candidates serve their communities to the best of their ability in the spirit of public service and public duty. I have done so for 15 years as a local councillor. I know that the Minister served as a council leader, as did the noble Baroness, Lady Pinnock.

However, when individuals fall short of the standards we expect from elected representatives we must ensure that action can be taken to remove them from office and, importantly, prevent them standing in the first place. Labour supported the associated Private Member’s Bill, with my honourable friend the shadow Minister, Jess Phillips MP, stating that

“it is important that this change is made in relation to all representatives, but with a special focus on those who act as corporate parents.”—[Official Report, Commons, Local Government (Disqualification) Bill Committee, 1/12/21; col. 4.]

It is great to have some cross-party agreement on what is quite a sensible thing to do. It is vital that we uphold the best standards in public life at all levels of government. I echo my noble friend Lord Jones’s comments. He spoke about the extra effort and hard work that has gone on behind the scenes to get this here.

I shall finish by asking the Minister a few questions, in the spirit of previous speakers. Are any further instruments necessary to implement provisions of the Local Government (Disqualification) Act 2022? Finally, can he confirm whether these measures will be in force for any upcoming local authority by-elections? I look forward to his response.

Lord Greenhalgh Portrait Lord Greenhalgh (Con)
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My Lords, I thank the Committee for considering this draft instrument. I also take the opportunity to pay tribute to the sponsors of the Local Government (Disqualification) Bill. I thank my noble friend Lord Udny-Lister and the Member for Mole Valley, Sir Paul Beresford—both very distinguished former leaders of Wandsworth Council—for their diligent work to progress the Bill here and in the other place respectively.

I will take a few moments to respond to noble Lords’ questions. In response to the noble Baroness, Lady Pinnock, this has taken a long time, but it was one of those things that came to light. It is a loophole that has been closed because of the Private Member’s Bill taken forward by my noble friend Lord Udny-Lister and Sir Paul Beresford. They are to be commended. It has taken too long, but we have got there. It is one of those things where we are responding to something that, frankly, was not front of mind until, as the noble Baroness said, there was someone in office who chose not to stand down when this became apparent.

The noble Lord, Lord Khan, wanted to know about implementation. My understanding is that the SI will come into effect the day after it is made after the Act commences. The issue is not about speed and delay but whether there is enough time to prepare. Certainly, there was no need for the usual. We are moving at pace. Therefore, by-elections will be covered because of the speed of implementation.

The noble Baroness, Lady Pinnock, wanted parity, if you like, and asked why not MPs, given some of the recent incidents and cases in the other place. As I previously responded in support of the Bill at its Third Reading,

“standards and conduct for MPs and PCCs are governed under separate regimes, with their own mechanisms to disqualify or sanction unacceptable behaviour.”—[Official Report, 4/3/22; col. 1083.]

We are doing this for members of a local authority, counsellors, local mayors, members of the London Assembly or the London mayor. There are other regimes for MPs. As noble Lords know, MPs can, under certain circumstances, be recalled if at least 10% of the constituency electorate sign a petition.

The noble Lord, Lord Jones, really tested me on the number of mayors and having a schedule of mayors. This is not as easy as noble Lords would think. Obviously we have the London mayor and the London Assembly as one model. A number of combined authorities have a directly elected mayor: Cambridgeshire and Peterborough, Greater Manchester, Liverpool City Region, North of Tyne, South Yorkshire, Tees Valley, West Midlands, West of England and West Yorkshire. Obviously we are covering directly elected mayors, of which we have a number now. There are four in London, in Croydon, Hackney, Tower Hamlets and Lewisham, as well as all the ceremonial mayors. I am told that the total number of directly elected mayors is 26 in England. That is quite a bit of work in response to the question from the noble Lord, Lord Jones.

In conclusion, it is essential that the provisions of the disqualification Act are accurately reflected in mayoral election rules. That is exactly what this instrument achieves, while ensuring that local government can continue to command people’s faith and trust, both now and in future. I therefore commend these regulations to the Committee.

Local Government (Exclusion of Non-commercial Considerations) (England) Order 2022

Lord Khan of Burnley Excerpts
Tuesday 28th June 2022

(2 years, 2 months ago)

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Baroness Pinnock Portrait Baroness Pinnock (LD)
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My Lords, I draw attention to my relevant interests as a councillor on Kirklees Council and as a vice-president of the Local Government Association. I support the terms of this statutory instrument, which, as the Minister said, is a reaction to the heinous acts of what has become a murderous Russian regime that is directing its unrelenting firepower on the citizens of Ukraine. As a result, it is incumbent on us to do whatever small act we can to reduce links that might enhance businesses based in Russia or Belarus.

Following on from the questions asked by the noble Lord, Lord Jones, does the Minister know, or can he find out for us, the total value of local government business currently placed with Russian or Belarusian businesses? If he does not have that information, will he write to us and perhaps put the information in the Library? People would widely welcome that information, I think.

When I saw this SI, I thought it demonstrated how overcentralised we have become that we must have secondary legislation to enable local government to make decisions about where it places its contracts. What the Minister said—that there was pressure from local council leaders on the Government to enable this action to take place so that local authorities did not open themselves to legal challenge—proves my point. It spoke to me. For goodness’ sake, precious government time has had to be spent on drawing this measure up so that councils can make the sane and sensible decision to stop making new contracts with Belarus and Russia. We need to change that. Perhaps we will get another SI from the Minister in future just to release councils from this burden of insensibility, but clearly I totally agree with what is contained in this order.

Lord Khan of Burnley Portrait Lord Khan of Burnley (Lab)
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My Lords, first, I refer noble Lords to the register, which details that I am still a local councillor in the finest borough in the country, Burnley Borough Council. I thank the Minister for his speech outlining the sensible and pragmatic proposal before us, which responds to the sector and ensures that we show our solidarity at not only the national government but the local government level across the United Kingdom.

I am pleased to say that we on these Benches strongly support this statutory instrument. We support the Secretary of State and the Government giving local authorities the flexibility to make the decisions that are right for their localities. It is the right thing to do. We have continuously called on the UK Government to move faster and harder on economic and diplomatic sanctions against Putin’s barbarous regime. Too often we have lagged behind the EU and the US, while some promised measures have yet to be implemented. Ministers need urgently to introduce a new US-style law to act against those who act as proxies for sanctioned individuals and organisations. Supporting this statutory instrument further demonstrates that our support for Ukraine at all levels of government remains undiminished. The UK and our allies have shown remarkable strength and unity in response to President Putin’s invasion of Ukraine. We will not be party to funding his war machine. Noble Lords have spoken with great solidarity in relation to the situation in Ukraine and supporting the order.

Having listened to noble Lords—in particular my noble friend Lord Jones, who, like the noble Baroness, Lady Pinnock, asked some excellent questions—I want to ask the Minister a few questions of my own in the same spirit. How has the department engaged with local authorities to make them aware of these new powers? Will the Minister encourage local authorities to exercise these powers? If so, how? What assessment has the department made of the level of contracts in the public sector with Russia and Belarus?

I just want to pick up on the point made by the noble Baroness, Lady Pinnock, about highlighting the challenge of overcentralisation. Like the Minister and the department for levelling up, we must look to ensure that, rather than responding after pressure from local authorities, we lead from the front so that local authorities are not put in difficult positions. I look forward to the Minister’s response.

Lord Greenhalgh Portrait Lord Greenhalgh (Con)
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My Lords, I thank the Committee for considering the order and for all the contributions to the debate. I am sure we can agree that it will further simplify our already strong message to Russia that we stand firmly with Ukraine and will use all levers possible to cut off funding to this illegal invasion. Allow me to try and respond to the points made by noble Lords.

I start with the points raised initially by the noble Lord, Lord Jones, and then backed up ably by the noble Baroness, Lady Pinnock, around what we know about which local authorities have contracts with Russian and Belarusian-backed companies and the value of those contracts. The Government do not hold data on how many contracts and sub-contracts are held by local authorities with organisations under the control of Russia or Belarus. However, we know that there are contracts and that the Secretary of State has been asked by a number of council leaders to amend legislation to allow councils to terminate such contracts.

The noble Lord, Lord Jones, wanted some examples of contracts that fall into this. I will give one, which makes two points that have been raised by noble Lords. The first is that Portsmouth City Council has a contract with Gazprom and has decided not to terminate the contract. I make this point because it is not for Ministers or central government to use the bully pulpit. In response to the noble Lord, Lord Ahmad, I say that we are giving a permissive power for local authorities to make the decision about whether they withdraw from these contracts or not. We want them to go through the process and have the ability to do so, which currently in theory they do not, which is why we are bringing in this statutory instrument. We have been asked by the noble Lord, Lord Jones, about the impacts of employment—

Lord Khan of Burnley Portrait Lord Khan of Burnley (Lab)
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It is Lord Khan, not Ahmad.

Lord Jones Portrait Lord Jones (Lab)
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From the officials.

Constitutional Commission

Lord Khan of Burnley Excerpts
Thursday 9th June 2022

(2 years, 2 months ago)

Grand Committee
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Lord Khan of Burnley Portrait Lord Khan of Burnley (Lab)
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My Lords, I thank the noble Lord, Lord Wigley, for securing this debate and introducing it so eloquently. It has been a pleasure to listen to the debate and hear from noble Lords with such extensive experience of championing devolution.

Ron Davies, a former Secretary of State for Wales, once said:

“Devolution is a process, not an event.”


The successes of devolution, but also the immense challenges facing it, are only too evident today. It has now been a month since the Northern Ireland Assembly elections and voters are still without a functioning Assembly or Executive. With Parliament currently considering multiple pieces of Northern Ireland legislation, including Bills that we hoped and expected would be debated in Stormont, there could not be a more timely moment for today’s debate.

For all the reasons we have heard today, the Labour Party is looking closely at the future of devolution. Labour is currently operating a constitutional commission to consider the future of our United Kingdom and how power, wealth and opportunity can be devolved to the most local level. This commission is considering all parts of the United Kingdom and will focus on delivering real, lasting economic and political devolution across our towns and communities and to people across the country. It is crucial that we are ambitious about the future of devolution. We need the Government to treat this with the care and thoughtfulness it deserves—not, as has proved the case too often in recent years, as an afterthought.

As well as in Wales, Scotland and Northern Ireland, we need to look at unleashing the potential across the English regions. The Government must make sure that powers coming back from Brussels are not centralised in Westminster but shared across the regions and nations of the United Kingdom. They must also hear from, and work with, our great mayors and council leaders, using their experience and ideas to guide next steps. We must always make the positive case for devolution and champion the process, but also consider how we can strengthen the relationships and co-operation which underlie the union.

The noble Baroness, Lady Fraser, cited Professor Helen Thompson’s article about the monarchy and how the union must also “carry on”. My point to the Minister on this issue is that we need to give it due respect, consideration and attention. We cannot carry on as normal. I look forward to hearing the Minister’s response and, more importantly, the plan. We want to hear the plan that the Government will bring forward to address this very important and timely issue.

Prime Minister: Meeting with First Ministers of the Devolved Governments

Lord Khan of Burnley Excerpts
Wednesday 8th June 2022

(2 years, 2 months ago)

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Lord Greenhalgh Portrait Lord Greenhalgh (Con)
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I am sure there will be every opportunity to point to the strength of the union. I think the Platinum Jubilee celebrations were an absolute triumph; my favourite was breakfast with Paddington Bear.

Lord Khan of Burnley Portrait Lord Khan of Burnley (Lab)
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My Lords, earlier this year, the UK Government published plans for the UK shared prosperity fund, which replaces the European Regional Development Fund and European Social Fund. Despite a previous pledge to match the size of former EU funding in each nation of the UK, the Government have clearly broken that promise for Wales, which is expecting a shortfall of £772 million. What discussions has the Prime Minister held with the Welsh Government over this? I believe the Welsh First Minister is here next Monday, celebrating 100 years of Welsh Labour. Maybe the Prime Minister and the First Minister can have those discussions while enjoying those celebrations.

Lord Greenhalgh Portrait Lord Greenhalgh (Con)
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I am sure they will have those discussions but, as I said in a previous answer, 20% more has been spent on the Welsh Government per person, as part of the spending review 2021. In addition, the UK shared prosperity fund is going to deliver £2.6 billion spread across the country, with £585 million earmarked for Wales. That is a significant sum of money.

South-west of England: Levelling up

Lord Khan of Burnley Excerpts
Thursday 7th April 2022

(2 years, 4 months ago)

Grand Committee
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Lord Khan of Burnley Portrait Lord Khan of Burnley (Lab)
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My Lords, I thank the right reverend Prelate the Bishop of Exeter for his Question and his excellent introduction to the issue before us. He is right to highlight the current disadvantages for people in the south-west in education, housing, farming, transport, digital infrastructure and life chances for young people. I also thank all noble Lords for their thoughtful contributions, including discussing productivity, connectivity, careers and decently paid jobs.

The current economic settlement is not working. For decades, the places that used to power our country have got only the crumbs from the table. That has created huge inequalities, which Labour will focus on fixing. In the last decade, the Tories have stripped the nations and regions of funding and power. An IPPR North report shows that the Tories have taken £431 from every person in cuts to council funding and handed just £31 back in levelling-up funds. For all the talk about levelling up, we are being completely short-changed again by the White Paper. After 12 years, we are left with a list of 12 things the Government have failed to achieve—no new money nor new powers.

Boris Johnson’s answer to our communities calling for change is to shuffle the deckchairs by tinkering with government structures and recycling announcements. This is not what was promised. We deserve far more ambition than this. We need to change the settlement for our country back in favour of those who built it. Labour will do that by ensuring that jobs and opportunities are spread fairly across the country, so that you do not have to move hundreds of miles just to find good work or prospects.

The UK is one of the most regionally unequal countries in the world, but inequalities can also occur between towns, cities and villages within the same region. In the south-west of England, there are prosperous towns such as Bath in Somerset and Poole in Dorset, but there are also areas that face deprivation and lack opportunities.

Despite this, the south-west receives less spending per head, and less spending on public services and transport per head, than the national average. Let me give a few examples. Stroud has recently applied for levelling-up funding to transform public services in its town centres. Truro in Cornwall suffers from high levels of antisocial behaviour. Latest police figures show that it has the highest levels of crime in the country. Every constituency in Cornwall except one has higher deprivation than the England average, including Camborne and Redruth, which is 23% higher.

The right reverend Prelate is right to point out that the narrative accompanying the Government’s levelling-up strategy focuses on the north/south divide, to the neglect of other regional inequalities such as in the south-west. I say this as someone from a northern town. Both the north and the south-west of England have languished regarding key indicators such as life expectancy, educational attainment, well-being and wages. If the Government want to close the UK’s regional productivity gap and boost living standards, they must promote cross-party support and develop a long-term strategy and commitment that lasts longer than a single parliamentary term or a single party’s political agenda. Now is the moment to set a new direction of travel and for people start thinking about every government policy, in line with the UK regions; but certainly, the current plan and approach will not level up the UK.

It has come to my attention, not through research but through eavesdropping, that the right reverend Prelate the Bishop of Exeter and the Minister were at Trinity College, Cambridge together. The right reverend Prelate was a young chaplain and in those days, he was giving the Minister wise words and advice. I am not sure how much importance he attached to them then, but today the message is clear, and I hope the Minister will react to it. I look forward to his response.

Building Safety Bill

Lord Khan of Burnley Excerpts
Lord Stunell Portrait Lord Stunell (LD)
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My Lords, I have a couple of points that would perhaps have been better taken in Committee, but we did not have the amendments then, so I apologise for these rather Committee-related points. I refer to the government Amendments 18 and 19 about insurance requirements, which I am afraid are not very self-explanatory and, in the absence of explanatory text, rather impenetrable.

Amendment 18 rather boldly says, “Leave out Clause 47”. Clause 47 is one that requires there to be an insurance scheme for certain officials, as the Minister has just set out. That is in a context where, in Amendment 243, the Government have found the need to step in to provide a warranty scheme and make sure it really happens. In the building industry, many of those looking for professional indemnity insurance have found that in the first year after Grenfell their premiums went up by a factor of two, and in the most recent year their premiums have gone up by a factor of four.

Insurers are fleeing the market of providing professional indemnity insurance for anybody who has anything to do with the construction industry. So I wondered whether there was any evidence available, to the Minister or the department, that there was a functioning market in insurance products for those for whom this requirement is being changed. It was, as the Minister has just said, up to professionals in this new profession to seek out insurance, just as it was for professionals such as architects, surveyors or whoever it might be. In a situation where that insurance market is shrinking, and where the Government have found it necessary to talk about imposing a requirement in relation to housing warranties, how happy are they that such a market really exists, and that the abolition of Clause 47’s requirements actually make sense?

I am not proposing an amendment. I am simply seeking to establish that the Government do know exactly what they are doing, and also asking them to explain to this House and noble Lords what exactly they are intending to do.

Lord Khan of Burnley Portrait Lord Khan of Burnley (Lab)
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My Lords, I welcome these technical amendments, tabled by the Minister. While I will not unnecessarily detain the House by discussing each amendment, I would appreciate clarification on a small number of issues.

First, Amendment 17 provides the building safety regulator with a power to conduct inspections of building control bodies, thereby giving further oversight of building control bodies provision. Can the Minister explain what guidance will be given on the conduct of such inspections?

Secondly, Amendments 243, 244 and 265 will together mandate a warranty of 15 years minimum as a standard, while enabling the making of regulations for warranties to set a minimum period of liability for developers, minimum standards for the warranty, and a penalty regime for any developers failing to comply. On the warranty, can the Minister explain the rationale for 15 years? Can she elaborate on the Government’s plans for the penalty regime?

As I stated earlier, I welcome these technical amendments and look forward to clarification from the Minister.

Baroness Scott of Bybrook Portrait Baroness Scott of Bybrook (Con)
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My Lords, I thank noble Lords for this short debate on these amendments. I am very pleased that most of them, if not all of them, have been welcomed, because I think they will make a difference to the housing market.

The noble Lord, Lord Stunell, brought up the issue of why the amendments have come so late. It is because we listened; the Minister listened, in Committee, to this issue, and therefore the Government have brought forward these amendments. I think the important thing about insurance requirements, as I said, is that the Government are expecting this to reinvigorate the insurance market. At the moment, that is not the case because it is all done through specific Government-procured insurance. This should reinvigorate the market that, as he quite rightly says, is not as vigorous as it should be at the moment. So that is one thing.

The insurance of approved inspectors was mentioned. It will be for the building safety regulator to decide how to set up insurance requirements for approved inspectors. This can be done by the regulator through its professional conduct rules.

The noble Lord, Lord Khan, asked who has oversight of this. It will be the building safety regulator. That is their job, and it is through their rules and regulations that they will make sure that these things are delivered.

Lastly, I am afraid I do not know how the 15 years came about, but I will find an answer for the noble Lord. It is in line with the prospective limitation period for action under the Defective Premises Act 1972—but I will find out how that came about in 1972 for the noble Lord.

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Lord Stunell Portrait Lord Stunell (LD)
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My Lords, briefly, we welcome the changes that the Minister has reported, particularly Amendments 257, 258 and 259, which will bring back to the affirmative procedure some of those matters which we raised in Committee. We appreciate that and we are very happy to support the Government’s amendments in that respect.

Lord Khan of Burnley Portrait Lord Khan of Burnley (Lab)
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My Lords, I welcome this final group of amendments relating to construction products. The Government are absolutely right to take steps to increase the recourse available to residents and responsible persons where construction or cladding products have led to residences becoming uninhabitable. Government

Amendment 246 is particularly welcome, as it provides for a new right of action where breach of regulations relating to construction projects leads to a building or dwelling becoming unfit for habitation. Every person and family deserves the right to live in a safe and habitable home. On this issue, I would be grateful if the Minister could clarify whether the Homes (Fitness for Human Habitation) Act already provides for similar guarantees.

I also particularly welcome Amendments 247 and 248, which intend to provide a right of action for a 30-year limitation period where historic defaults relating to cladding either cause or are a factor in a building or dwelling becoming unfit for habitation. I am sure that the whole House will agree that the passage of the Bill should represent a turning point for building safety in the UK, and I hope that these amendments will contribute to that.

Code of Practice for Private Parking

Lord Khan of Burnley Excerpts
Monday 28th March 2022

(2 years, 5 months ago)

Lords Chamber
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Lord Khan of Burnley Portrait Lord Khan of Burnley (Lab)
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My Lords, the Private Parking Code of Practice has been introduced in an effort to regulate the industry and respond to the evolving threat of rogue operators. This is an objective that I am sure the whole House will support, and I am pleased that steps such as these are being introduced to this end. I am concerned that the Government are, unfortunately, not going far enough. The noble Lord, Lord Lucas, is right to raise his concerns in today’s debate.

The Minister will be aware that the Government have been obligated to introduce the code as a result of the Parking (Code of Practice) Act 2019. There is certainly some merit in the code that the Government have brought forward. I am particularly pleased that the code caps the amounts that should be charged for various parking charges. In practice, this will cut most fines at £50 and others at £100. However, it is unclear whether there are loopholes that could be exploited by this limit. There have been recent press reports of individuals receiving multiple separate fines in one day, resulting in a total fine of many thousands of pounds. Can the Minister assure the House that this would not be possible under the new code?

I am also pleased that a new process will be developed that will allow drivers to appeal fines. Although I appreciate that this service will be independent, what mechanisms will Parliament have to evaluate its operation? The code is right to bring forward the possibility of banning rogue companies that act outside the rules. Will the Minister commit to transparency over this? Will he arrange for the department to publicise those who have been banned?

On the issue of clear signage and markings, while this is also welcome, I would appreciate it if the Minister would explain what steps have been taken to ensure that they are accessible for people with disabilities.

Ministers have previously stated that the code was developed in close consultation with private parking experts including consumer and industry groups. Can the Minister elaborate on the findings of that consultation, and whether this will feed into further regulations?

The noble Lord, Lord Lucas, and the noble Baroness, Lady Randerson, talked about the complexities of this area. I thought he talked well about indicators and, in particular, the volume of CCJs and statistical analysis of what has been happening. We welcome the opportunity to debate the code today. I hope the Minister will be able to provide assurances on the issues raised by this House. Regulations to confront rogue parking operators are long overdue, but the Government must go further to hold them to account.

Lord Greenhalgh Portrait The Minister of State, Home Office and Department for Levelling Up, Housing & Communities (Lord Greenhalgh) (Con)
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My Lords, I thank my noble friend Lord Lucas for his interest in the Private Parking Code of Practice and for securing this important, valuable and informative debate. I hope noble Lords will agree that the code of practice is a significant step towards creating a fair system for motorists, ending the poor practices and behaviour that have been widespread within the private parking industry for far too long, as raised by the noble Lord, Lord Khan. It will bring greater consistency and improve standards across Britain, boosting our high streets and town centres by making it easier for people to park without receiving unwarranted charges.

Noble Lords may be aware that the code is part of a wider regulatory framework that we are also putting into place to ensure a fair system for motorists. This includes a certification scheme, to which parking trade associations must adhere if their members wish to request access to DVLA data. It also includes the establishment of a scrutiny and oversight board to monitor the new system and the creation of a single, independent appeals service for motorists to turn to if they are unhappy with the handling of an appeal by an operator.

The certification scheme, based on the code, will outline how the requirements of the code should be measured, tested and assessed. It will provide an opportunity to clarify anything that proves to be unclear or confusing in the code itself for implementation by parking operators. The Government intend to finalise the scheme this spring. We will also appoint the scrutiny and oversight board this spring to oversee the operation of the new system and monitor its effectiveness. The board will advise the Government on the operation of the code and certification scheme, providing recommendations on whether these need to be updated. We anticipate that the code will be reviewed every two years, once it comes into full force at the end of 2023, and the scheme as required.

The governance of the code will include representatives from the department, the DVLA, industry and consumers. We also expect the new single appeals service to be represented in this governance to improve information and data flows, ensuring that the sector is monitored efficiently. In addition, we are preparing a data strategy and a robust monitoring and evaluation framework for the enforcement of the code. The strategy will provide an outline of relevant data and identify opportunities to maximise the value of that data, reflecting the principles of the National Data Strategy.

My noble friend Lord Lucas has a keen interest in ensuring that we track the data appropriately. I assure him that we will cover the data around the number or volume of parking charges issued by operators. The frequency of that will be determined by the data strategy in due course, but I note my noble friend’s desire to see that on at least a monthly basis. In addition, we will be looking at the number of appeals accepted by operators and the number of appeals brought to the single appeals service. I note that my noble friend also wants us to track the number of county court judgments which come in where appeals are rejected and people are still not paying, which would obviously be much lower.

This will allow us to better understand and manage breaches of the code, identify any issues not adequately covered by it and spot patterns and trends across the sector. At the same time, it will provide motorists and the industry with an insight into how the system is working. The data will be collected by the trade associations and the single appeals service. It will be examined by the scrutiny and oversight board and used to make decisions on the operation of the system and the updates required to the code and the scheme. I hope noble Lords will agree that, altogether, these measures will ensure that the code is effectively implemented and monitored going forward, with the appropriate structures in place for important issues to be identified and resolved without impacting on the service received by motorists.

The noble Baroness, Lady Randerson, raised the issue of providing an impact assessment for the code, which I think is a question of timing. I hope I can reassure her that we do intend to undertake an impact assessment of the changes introduced by the code once the single appeals service has been designed, to ensure that we have all the necessary information to complete the assessments. It is about getting the impact assessment right at the right time. I hope that reassures the noble Baroness.

In response to the noble Lord, Lord Khan, who is quite an expert on private parking practice, I note that the code introduces a 10-minute grace period. It also introduces high requirements for signage. On loopholes—a very important point raised by noble Lord—we are working with the industry, including the two trade associations, to ensure that there are no loopholes. The noble Lord asked about a register for banning rogue operators. These will be monitored through the wider regulatory framework, including the scrutiny and oversight board already mentioned.

So, we know that the involvement of the private parking industry in this process is crucial to the success of the code. We look forward to working alongside the industry—as well as consumer and motorist organisations —as we move towards the full implementation of the code and its regulatory framework at the end of 2023. Finally, with the expertise and knowledge of my noble friend Lord Lucas, I am very keen that he does provide his input around getting the data framework and data frequency right. I thank him very much for securing this very important debate.

Building Safety Bill

Lord Khan of Burnley Excerpts
Baroness Pinnock Portrait Baroness Pinnock (LD)
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My Lords, it was the safety failure of cladding on Grenfell Tower that resulted in 72 people tragically losing their lives. Subsequent investigations showed that construction products that failed flammability tests were used. Obviously, the safety of the construction products used is critical if we are to achieve a much improved building safety standard.

The safety of construction products in the Bill is dealt with only in Schedule 11. Ten pages of detail set out the regulatory regime around product safety. Amendment 112 in my name would add a new clause to the Bill to ensure that product safety is an integral and important part of the legislation.

The purpose of Schedule 11 is to enable the Secretary of State to make relevant regulations to control the safety of construction products. The key word used throughout is that the Government or the Secretary of State “may” by regulations do something. I suggest that the key word should be “must”. For example, Schedule 11 states that products “may” be prohibited if they are not safe. Can the Minister clarify the reasoning for not using prescriptive language?

On standards and technical assessments of products, the wording used is that construction products regulations “may” make provision for standards and technical assessments. Given the learning from the tragedy at Grenfell, I would expect product standards to meet safety standards clearly established by regulation. The schedule establishes the notion of creating a list of “safety-critical products” covered by safety-critical standards which “may”, or presumably may not, be detailed in a timely way. The regulations also make provision for enforcement—or, at least, they “may” make provision—of the safety and standards regime.

The Hackitt report, my favourite document on all this, has a whole chapter on construction product safety and some very clear recommendations, one of which states:

“A clearer, more transparent and more effective specification and testing regime of construction products must”—


I emphasise “must”—

“be developed. This should include products as they are put together as part of a system.”

That is one of the issues that I raised at Second Reading and on other amendments in Committee. It is important that a product is not only proven to be safe but proven to be safe in conjunction with other materials. That was part of the failure exposed by the Grenfell fire.

Dame Judith Hackitt states clearly in her report that that is essential. Her report recommends:

“Manufacturers must retest products that are critical to the safety of”


higher-risk buildings. The report also seeks to ban assessments in lieu of tests—that is, the desktop studies that were part of the failure at Grenfell—and allow them only in

“a very limited number of cases”.

The Government have set out to reflect in the Building Safety Bill all the recommendations in Dame Judith Hackitt’s report. Unfortunately, Schedule 11 does not do that. It certainly does not do it with the clarity of language or insistence on actions contained in that report.

Amendment 112 is an attempt to draw the attention of the Committee to the fundamental importance of ensuring the safety of, and safe use of, construction products. The amendment seeks to address the want of timeliness in the schedule by insisting on the early publication of regulations on testing and certification. Proposed new subsection (2) seeks to provide for all the recommendations in the Hackitt report to be included in the Bill. I hope that, in her response, the Minister will accept the importance of tightening the proposed regulations on construction products and, given that nearly five years have passed since the Grenfell fire, will accept that no further time should be lost in making buildings safe by ensuring that construction products are safe.

I just want to comment on the other amendments in this group. I give my full support to Amendment 111 in the name of my noble friend Lord Foster, who has made the case for the vital importance of the safety of electrical appliances and for continuing to check them. Too many fires—high-risk fires—have occurred because some electrical appliances are not safe or do not continue to be safe.

I also fully support Amendment 117 in the name of the noble Baroness, Lady Finlay. I give the example of my own council—Kirklees Council—which provided free carbon monoxide monitors for every household. This followed the tragic death of a young child whose family was living in a terraced house where carbon monoxide leaked through from the adjacent house, which was not being properly maintained, if I may put it like that. Really sadly, the child died. As a consequence, the council—with the full support of everybody—produced free carbon monoxide monitors for every household. They are life-saving, and we will obviously fully support the amendment in the name of the noble Baroness. With those comments, I look forward to the Minister’s response.

Lord Khan of Burnley Portrait Lord Khan of Burnley (Lab)
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My Lords, I will speak to all the amendments in this group in the names of the noble Lord, Lord Foster of Bath, and the noble Baronesses, Lady Pinnock and Lady Finlay of Llandaff.

I turn first to Amendment 112 in the name of the noble Baroness, Lady Pinnock. She presented the case very clearly and eloquently; the headline from her contribution was that the amendment seeks to satisfy the Grenfell review and the Hackitt review. Testing and certification are important for product safety. Ultimately, they will save lives and ensure safer homes.

Amendment 117 is in the name of the noble Baroness, Lady Finlay, who made a very clear and economical argument on safety and why this amendment should be welcomed by the Government and all of us—was it £2 for the developers and owners of buildings to ensure the safety of their residents? The noble Baroness, Lady Pinnock, mentioned the very sad example of the young child in her constituency. We can save people’s lives by welcoming and adopting this amendment.

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Lord Stunell Portrait Lord Stunell (LD)
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My Lords, the noble Baroness, Lady Fox, has raised an interesting theme which has been expanded on by the right reverend Prelate and the noble Earl, Lord Lytton, that of proportionality. I want to come at it from a slightly different angle. We have to decide whether something being a fire risk or not is an objective or a subjective decision. If we think it is an objective decision, and that it is possible by some process in a square box to say, “Yes, there is no doubt that this is a fire risk”, the view of a resident that it is not a fire risk is irrelevant, because it is a fire risk. Or we may think that there is scope for human judgment in that, and that the assessment of the resident—or, at least, of residents collectively in a block, if they decide that a particular level of risk is one they are prepared to accept—may have some bearing on the situation. Where does that objective judgment come from? I think that is at the heart of the question that the noble Baroness, Lady Fox, has brought to this discussion.

We know that there is a tremendous absence of qualified fire risk assessors. So my first question would be: was it a qualified fire risk assessor who made that judgment, or was it somebody who thought they were qualified but who actually was not? Therefore, if you are not quite sure—and we have all done it—in the current climate you obviously give a fail. What professional reputation you have depends on it. I put it to the Minister that this connects to the whole skills and training agenda, in that we do not have enough qualified people with the right skills to do the assessments on the basis of which those huge bills are then handed out.

I think that is really important. It is also important to consider what actual training we are talking about for these fire risk assessors. I presume that, apart from the necessary professional qualifications, they will also act to a code or a guidance note, or something that will be issued by the Secretary of State as part of the regulations that are otherwise in the Bill. That comes back to the question of what the basis is of the guidance that will be given to a fire risk assessor about these inevitably marginal and grey areas of what is and is not risky.

The Minister assured us some time ago that the EWS1 was no longer a factor in these things—but we know that not every insurance provider has come to the same decision. Therefore, it may still be the case that some insurance and mortgage providers will say, “I’m not going to provide you with the finance unless we see an EWS1, or something equivalent to it”. We go around in a circle here: the shortage of qualified people with proper guidance to make decisions in difficult and marginal cases means that less qualified people take the safety-first line, which is causing a lot of pain and work to be commissioned unnecessarily. In other words, we could safely afford to cut it finer if we had sufficient trained and qualified risk assessors acting with proper guidance provided by the Government.

I hope that we keep the level of risk as low as it is sensible to do. Secondly, I hope we invest a bit more time in making sure that, among the professionals making these decisions, there is a better common understanding of the phrase “what is sensible and proportionate to do”—of what that line is and where it gets drawn between a balcony that needs to be replaced and one that does not. There are some deep issues here that go far beyond whether leaseholders do not particularly like a decision about a set of balconies in one place or another.

I will just connect this to the situation in Salford, which the noble Baroness, Lady Fox, also brought to our attention. I believe my noble friend Lord Foster did so as well. A large number of residents of those blocks have had all their cladding—and therefore insulation—stripped off and are waiting for an outcome. There are some unintended outcomes lingering on from decisions taken on fire risk. I referred in our previous session to the fact that buildings have more ways of killing you than simply through fire. We need to make sure that, in eliminating one risk, we do not create others as deadly.

Lord Khan of Burnley Portrait Lord Khan of Burnley (Lab)
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My Lords, I shall briefly speak to Amendment 115A in the name of the noble Baroness, Lady Fox. It is good to see her put it in—I think she is becoming an expert on tabling amendments now. As other noble Lords have said, including the noble Earl, Lord Lytton, the right reverend Prelate the Bishop of St Albans and the noble Lord, Lord Stunell, this is an issue that needs clarifying in relation to subjectivity, objectivity and proportionality. Just to quote the words of the noble Lord, Lord Stunell, this amendment, if accepted, would alleviate the marginal and grey areas.

I thank the noble Baroness, Lady Fox, for her top tips on keeping warm—I shall print them out tonight and use them in future. I wanted to ask the Minister whether the Government have made an assessment of how many balconies pose a material risk and are in need of any remedial works. Is she aware of any new buildings with balconies that do not comply with fire safety regulations? I look forward to her response.

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Earl of Lytton Portrait The Earl of Lytton (CB)
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My Lords, I should perhaps explain that, while I am a RICS member and fellow and a registered valuer, I do not actually deal with this particular thing. But, as a valuer, I understand constructs of risk and the attitude of lenders, because they so often dictate the process that is put in place by the valuers: they often set the fee for valuation and their form is used for this particular process. I say again that it is very difficult for a professional institution that tries to weigh up all these different bodies to get away from the big beasts of the mortgage lenders and the insurance world when it is dealing with this sort of thing. But I make no apology for that—there have been problems, and the noble Baroness is absolutely right that they have been visited, as she would say, on wholly innocent leaseholders. It is right that the whole thing should be kept under constant review.

Lord Khan of Burnley Portrait Lord Khan of Burnley (Lab)
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My Lords, I rise briefly to speak to Amendment 132 in the name of the noble Baroness, Lady Neville-Rolfe. It is a little but very important amendment and, as the noble Baroness will appreciate, “Every little helps” in making sure we get this right. I admire what the noble Earl, Lord Lytton, who spoke with great expertise, said about ending the confusion and providing clarity. That was a very important point. As a Lancastrian, I have never agreed with somebody from Yorkshire as much as I have agreed with the noble Baroness, Lady Pinnock, during the course of this Bill. She is quite right: leaseholders should not bear the costs for issues they have no control over. It is not their fault. We need to end the logjam.

This is my final contribution in Committee. It has been a fascinating debate. I have a special message for the Minister in Latin, to continue the theme: “Da operam, si potes”, or “You can do it, if you try hard”. We have debated a lot of fantastic amendments during this Committee. I am sure the Minister can do it and make this landmark Bill even better, to help people, residents and leaseholders across the whole country.

Lord Greenhalgh Portrait Lord Greenhalgh (Con)
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My Lords, I thank my noble friend Lady Neville-Rolfe for her amendment. It has been a fascinating debate, with lovely Latin phrases which I am sure have been worked on all afternoon using Google Translate.

As the Government have made clear, it is important that we restore a sense of balance and proportionality to fire safety. We must ensure that fire risk assessments of external walls do not require unnecessary work and reduce the risk aversion we have seen in the sector. The department has already taken steps to ensure that industry takes a proportionate approach to the assessment of the external walls of buildings and I can reassure my noble friend that we will continue to work with industry, including lenders and surveyors, to keep under review the process used to assess external wall systems.

The noble Earl, Lord Lytton, mentioned that we have been tracking the data from mortgage lenders and it is available on the GOV.UK website. I have been looking at my Apple iPhone—I have given the brand away, but I do not know how I could have coded that without using the brand name—and the vast majority of mortgage valuations for flatted developments do not require an EWS1 form. The trend is also going down. I think the most recent data in January was that around 8% of mortgage valuations require an EWS1, so 92% do not. That is down from 9%. My department estimates that 492,000 leaseholders in residential buildings of 11 metres and above do not need to undergo an EWS1 assessment for their building for them to sell their property or remortgage. It is important that we continue to work with mortgage lenders to track how that is evolving over time. These things take time, but the trend is in the right direction.

The Government are also making preparations to launch a professional indemnity—or PII—scheme, targeted at qualified professionals to enable them to undertake EWS1 assessments where otherwise they would not be getting PII cover. A condition of PII coverage under the scheme will be that EWS1 assessments are carried out in line with PAS 9980. An audit process will be in place to monitor compliance to the standard.

I thank my noble friend for raising this important matter. She has absolutely championed that the Government get to grips with some of these points. I think we are making progress on a number of fronts now. I assure her that this work is of critical importance for the Government. We will continue to work closely with industry in the coming months to ensure that. I therefore ask that she withdraws her amendment.