New Towns: Laying the Foundations (Built Environment Committee Report)

Lord Lansley Excerpts

Wednesday 10th June 2026 Lords Chamber

[Lord Lansley (Con)]

My Lords, it is a great pleasure to follow the noble Lord, Lord Cameron of Dillington, and my noble friend Lord Gascoigne. I pay credit to my noble friend and the noble Lord, Lord Cameron, for the work that they did in this committee and continue to do. It is very helpful. I share the view of my noble friend and regard myself very much as a friend of the New Towns Taskforce and the new towns programme, albeit occasionally a critical one, as the Minister knows well.

I remind noble Lords of my registered interests, particularly over the past decade as chair of the Cambridgeshire Development Forum. It is on Cambridgeshire that I want to focus for a couple of minutes. I was the Member of Parliament for South Cambridgeshire for 18 years and for the past decade I have been working in the development forum and continue to live in the area. Thirty years ago, we started building Cambourne on a greenfield site to the west of Cambridge. To put it all in context, in the Cambridge region we are building out Cambourne. If Cambourne North is in the local plan, which I expect it to be eventually, it will be 25,000 homes. We are building out Northstowe, which is anticipated to be 10,000-plus homes. We are building out Waterbeach, north of Cambridge, on the A10 between Cambridge and Ely, which is expected to be 11,000 homes. Last week, the Government, in the shape of Homes England and the Hill Group, secured the project for the build-out of Cambridge East, which people think of as Cambridge airfield, which will be more than 10,000 homes.

So we have our own new towns programme. None of these are in the Government’s new towns programme. Cambridgeshire is planning to deliver 55,000 homes through its own new settlements, without the benefit of the new towns programme in any formal sense. However, the Government are planning a development corporation. I look forward to a debate on the statutory instrument about that, and we will discuss it then.

We have learned a few things. First, in Cambourne, we are 30 years on but only now are we going to get east-west rail with a railway station. Secondly, at Northstowe, we learned the lesson that we needed some of that infrastructure. The Conservative county council built the guided busway and a Conservative Government built the A14 rebuild, but that did not mean that Northstowe happened when we expected it to and to the extent that we thought it would. If I had been standing here in 2007, I would have said, “In 10 years’ time, Northstowe will be established. It will have 2,500 homes and be planning to go to 10,000”. Ten years on from 2007, there were in fact no homes in Northstowe. Why? Because in October 2008 the market collapsed.

It is so important that, as my esteemed friend Oliver Letwin said in his review, we understand the central importance of markets and of ensuring that we respond to them, not least in where we locate new towns and where there is market demand and viability, and in the diversity of tenure in those towns, so that we can see these properties go into the market. It is only those market sales that are fundamentally going to fund the affordable and social housing that we want to be a significant part of this.

We have learned some of those lessons and they are being incorporated into the new towns programme, but we should not imagine that we are operating by looking back to 1945 and then imagining what we are going to do in 2026. No. We can see now in Cambridgeshire what the lessons are. Some of them have been painful ones, but we have none the less come through and are succeeding. I want the Government—we will have this debate another time—to recognise that Cambridgeshire is doing the things that the Government want it to and does not need the new towns programme to make it happen, but that we can learn from it in encouraging other places to do so.

I have two more points. First, yes, there should be development corporations, but in some places they should be mayoral development corporations with tax increment financing, as well as loans from Homes England and the Government. Secondly, when my noble friend’s committee comes to look at the future and community engagement, it should remember that it is the young people today—probably teenagers—who will be moving into many of these homes. Let us engage them too, not just the communities that already live there.