(1 week, 5 days ago)
Lords ChamberMy Lords, Amendment 232, tabled by the noble Lord, Lord Lansley, seeks to standardise and extend powers in respect of mayoral development corporations to mayors of all strategic authorities outside London. I understand why the noble Lord has brought his amendment forward. The Government are bringing forward equivalent provisions via Clause 36 and Schedule 17 of the English Devolution and Community Empowerment Bill, and I understand his view that inclusion of this amendment would expedite the legislative change. I welcome that enthusiasm: it is essential that all mayors have powers to establish and oversee mayoral development corporations, which are a key tool to drive large-scale development and regeneration in their regions.
None the less, the amendment would not save significant time. The Government are committed to ensuring that the English Devolution and Community Empowerment Bill reaches Royal Assent in spring 2026, at which point there will be no delay. The relevant provisions will commence on the day that the Act is passed, providing relevant mayors with the powers to establish development corporations. The amendment would also have minimal impact because, except for the Cambridgeshire and Peterborough combined authority—I can understand why the noble Lord, Lord Lansley, might be particularly interested in that one—all mayoral strategic authorities currently have powers to establish and oversee MDCs. Cambridgeshire and Peterborough Combined Authority, as well as any new mayoral strategic authorities, will automatically receive mayoral development corporation powers following Royal Assent of the English devolution Bill.
Finally, and I think this reflects the comments of the noble Baroness, Lady Pinnock, it is appropriate that Parliament scrutinises provisions providing mayors with mayoral development corporation powers, as part of the wider package of powers being granted to mayors through the devolution framework in the English devolution Bill. Therefore, while I understand the reason that the noble Lord has brought Amendment 232 forward, I hope that he will consider withdrawing it.
I am grateful to noble Lords for contributing to this short debate, and particularly grateful to my noble friend for his kind remarks. I heartily endorse what he said about the importance of trying to resolve the relationship between the processes of local government reorganisation and the rapid progress we want to achieve in implementing planning reform in order to get on with building the houses and developments we are looking for.
I should have previously referenced my registered interest as chair of the Cambridgeshire Development Forum. The Minister is absolutely right: the Cambridgeshire and Peterborough mayor should have access to development corporation powers—even though the Government’s apparent intention, as I think was stated last week, was that the Cambridge Growth Company will be turned into a development corporation in the Cambridge area. We have yet to know in what designated area and with what powers, but that is for another day.
I am encouraged by the Minister’s assertion that the delay will be so limited. Let us hope that the English Devolution and Community Empowerment Bill does not get at all bogged down in the new year, because we want to be sure that those powers are available to mayors where they come forward to take up the potential new town designation. I was wrong when I said “mayors of all established strategic authorities”; I know it is my amendment, but I have just checked, and it does not say that. It refers to all mayors of strategic authorities. Whether they should be established strategic authorities is a question we might have a look at when we get to the English devolution Bill. But for the present, while looking forward to returning to these interesting issues in the new year, I beg leave to withdraw Amendment 232.
(2 weeks, 3 days ago)
Lords ChamberMy Lords, this group of amendments seeks to examine the circumstances in which an environmental delivery plan, and the associated levy payment, could be mandatory. Amendment 164, in the name of the noble Lord, Lord Roborough, would wholly remove the option for an EDP to be mandatory. Amendment 164A, in the name of the noble Lord, Lord Langsley, would significantly restrict the circumstances in which an EDP could be made mandatory. I assure noble Lords, as I previously stressed in Committee debates, that the scenario of mandatory EDPs and levy payments will arise only in limited, exceptional circumstances. I will explain that in a bit more detail—the noble Lord, Lord Lansley, suggested that I would say that again—to try to reassure noble Lords.
A key purpose of the NRF is to offer developers an alternative way to meet their environmental obligations, so it is not our intention to make EDPs the only route available. As I have set out, Natural England is able to recommend that an EDP be mandatory only where it believes this is necessary, and it would be required to set out its reasoning within that EDP. That would form part of the consultation on that EDP—allowing developers and others to support or oppose this approach —and the responses to that consultation would of course form part of the Secretary of State’s consideration before making that EDP.
We consider that these steps represent a significant consultative and democratic safeguard. However, we also recognise that there is interest in what circumstances the Government consider may be necessary for an EDP to be mandatory rather than optional. We consider that there are two broad possibilities, the first of which is in instances where the ability to make an EDP mandatory provides a crucial assurance to Natural England and the taxpayer. For example, were Natural England to work with the developer and invest significant resource into preparing a bespoke EDP to address the impacts of a single large development such as a piece of energy infrastructure, that EDP is not likely to be usable by anyone else. If the developer or promoter subsequently chose to discharge their environmental obligations via a different route, that cost of developing the EDP would be wasted. It is important, therefore, to have a mechanism to provide certainty that an EDP will be used in such a scenario.
Secondly, if an EDP could only secure the right conservation measures to pass the overall improvement test and if all developers in scope paid in, but consultation showed that a small minority of developers did not wish to do so, it may be reasonable for Natural England to recommend and for the Secretary of State to agree that the EDP should be mandatory. A consideration of the overall benefits to growth and development would be properly in the gift of the Secretary of State in this scenario.
It is also important to note that the Bill contains a duty on the Secretary of State in drafting the levy regulations to ensure that even where payment of the levy is mandatory, it does not make development economically unviable, as this would not deliver the win-win the NRF is seeking to achieve.
Noble Lords will have the opportunity to scrutinise these regulations. They are subject to the affirmative parliamentary procedure, which will enable stakeholders to have the opportunity to comment on regulations before they are made. In developing the regulations, we will, of course, work closely with stakeholders to ensure the effective operation of the levy system. Given this reassurance as to the limited circumstances where the levy could be mandatory, I hope that noble Lords will not press their amendments.
Amendment 158A, also in the name of the noble Lord, Lord Lansley, seeks to limit circumstances where an EDP could be amended so as to make payment of the levy mandatory. I assure the noble Lord that while we do not envisage Natural England amending an EDP to make payment of the levy mandatory, the Bill already provides that an EDP could be amended in this way. Such a scenario would be very unlikely to materialise, because the Secretary of State would need to consider whether making an EDP mandatory meets the high legal bar of this being necessary. However, if it did, the Bill as drafted already allows for this to happen, crucially, following further public consultation and, of course, the consent of the Secretary of State. With this reassurance, I hope the noble Lord will feel able to withdraw his amendment.
I am grateful to the noble Lords for their contributions to this debate; it is a really important one. What the Minister said certainly added something new in terms of the operation of the viability test as a way of mitigating the risk that the mandatory levy would put developers in a disadvantageous position. Otherwise, what she said was what I had previously understood.
Personally, I do not think that Amendment 164A significantly narrowed the scope; it simply expressed what I hoped was the intention. However, I would be very grateful if the Minister continued to consider—if not in the Bill itself, then certainly in the regulations and guidance—whether Natural England is deterred from constantly pressing the Secretary of State to think of making the levy mandatory, simply in order to justify the fact that it put all its effort and money into preparing EDPs in the first place, which is, I am afraid, part of the argument it will inevitably present. But, subject to that request, I beg leave to withdraw Amendment 158A.
(2 weeks, 3 days ago)
Lords ChamberMy Lords, we return to the substantive consideration of Part 3 of the Bill and the nature restoration fund, with this first grouping considering amendments that relate to the underlying requirements of an environmental delivery plan.
In response to the question from the noble Lord, Lord Roborough, about the purpose of Part 3, we know that the status quo is not working. Environmental assessments and case-by-case negotiations of mitigation and compensation measures often slow down the delivery of much-needed housing and infrastructure. Meanwhile, the condition of our most important habitats and species has declined over a sustained period. By taking a more strategic approach to the restoration of protected sites and species, we can deliver improved environmental outcomes while reducing planning delays for the housing and infrastructure that our communities need.
The noble Lord asked me a question about the number of houses subject to nutrient neutrality that will be unlocked at Royal Assent. We are very clear that such environmental obligations can be discharged only where a robust and scrutinised EDP is in place. This is the right approach to ensure there is a credible plan that will deliver the better environmental outcomes that we need.
Amendment 130, tabled by the noble Baroness, Lady Willis, has captured the sympathy of some in this House who support the strategic approach of the NRF but are concerned about this approach being used where it is not appropriate. However, we have always been clear—and the legislation is explicit—that the Secretary of State can approve an EDP only where it is shown to materially outweigh the negative effect of development. This is not a throwaway judgment of a Secretary of State but must be a judgment based on an ecologically sound and robustly scrutinised EDP, with Natural England providing a statement as to whether they believe the EDP can meet this high bar. As the noble Baroness will know, the scientific basis of the evidence provided to the Secretary of State was clarified in a government amendment. A Secretary of State simply could not sign off an EDP that did not stack up—and if they ever did, then the Bill provides that such a decision could be challenged via a judicial review.
In capturing a range of environmental features that could be addressed through an EDP, the Government are not seeking to suggest that EDPs will come forward covering each of these features but simply that we should be able to bring forward EDPs where science supports the case and the evidence would allow the Secretary of State to approve the EDP in line with the overall improvement test. Where the science does not support it, an EDP could not be made, but to limit EDPs in the way the amendment suggests would be to close off the potential that EDPs offer to deliver more than the current system and help support the recovery of protected sites and species, rather than merely offsetting the impact of development.
I want also to respond to some of the noble Baroness’ questions. First, on the mitigation hierarchy, Natural England will always consider the mitigation hierarchy when it develops EDPs. It is an important approach when planning for biodiversity, as it is generally more environmentally effective and cost efficient to protect what is already there than to replace it. However, it is not always the case. The flexibility provided by the Bill will allow for those cases where, in Natural England’s expert judgment, the strict appliance of the mitigation hierarchy would lead to suboptimal outcomes, and only then, and where money could be spent far more effectively to achieve better outcomes for nature.
Secondly, the noble Baroness asked me about process. EDPs will not require additional assessment. Natural England will carry out assessments and surveys, and developers will no longer have to do that for the features in the EDP.
My noble friend Lady Young asked about the European conventions. The Bill does not repeal any existing legislation and will not weaken the UK’s continued support for and implementation of any of our international commitments. We are committed to the EU-UK Trade and Cooperation Agreement and its provisions which ensure that mutual high standards are protected. EDPs will ensure better environmental outcomes that go further than current legislation, which simply offsets harm. Money from the NRF is ring-fenced for nature under clauses in the Bill.
I am conscious that the NRF has not had the easiest genesis, but the Government have shown that they are listening, and the legislation demonstrates a real commitment to breaking from a status quo that has, at best, overseen the managed decline of our most valued protected sites and species. With this explanation, I hope the noble Baroness feels able not to move her amendment.
Amendment 201, tabled by the noble Lord, Lord Roborough, would provide the Secretary of State with broad powers to manage the effects of nutrients in water. This draws on the amendments tabled by the previous Government during the passage of the Levelling-up and Regeneration Bill, which were rightly defeated by this House.
While we share the noble Lord’s desire to address nutrient neutrality, we cannot simply rely on broad powers and the promise of action. The nature restoration fund creates a clear path to addressing this issue based on credible evidence, a robust and tested EDP and the legal guarantee that funding will be secured to ensure that conservation measures deliver environmental improvement. Granting the Secretary of State such a broad Henry VIII power would raise not only questions but serious risks as to how such a power could be used.
Amendment 122, also tabled by the noble Lord, Lord Roborough, would provide the Secretary of State with a power to issue guidance relating to the making of an EDP and require Natural England or any other body carrying out functions under this part to comply with such guidance. I recognise the importance of the matters the noble Lord raises, including in respect of agricultural businesses, food security and land that communities really value. The Secretary of State is already able to make guidance on any matter relevant to the making of an EDP, which would naturally include the important matters raised in the amendment.
On the issue of compulsory purchase raised by the amendment, as it is ultimately for the Secretary of State to make an EDP and to authorise Natural England’s use of compulsory purchase powers, if the Secretary of State is not satisfied with the way the EDP has been drafted, they may simply choose not to make the EDP. Similarly, if the Secretary of State is not satisfied with the way Natural England is proposing to exercise its compulsory purchase powers, they may simply choose not to authorise the exercise of the powers.
Amendment 129, tabled by the noble Lord, Lord Lansley, would require EDPs to identify all environmental impacts from the development to which the EDP relates, on the environmental feature which is the subject of the EDP. As we have said throughout these sessions, EDPs are targeted plans to address specific impacts from development on identified environmental features. These are not a replacement for wider assessment or intervention but a way to allow specific impacts to be addressed through a more strategic approach. While Natural England will of course be alive to other impacts, the focus of the EDP must be on the specific impact, as it is only that impact and the associated environmental obligation that are being discharged through the EDP. We have been clear throughout that anything not covered by an EDP will be considered and addressed through the existing system. For that reason, it would simply add burden to an EDP to require Natural England to identify all impacts where the EDP itself is tasked with addressing only specific impacts.
Amendment 128, also tabled by the noble Lord, Lord Lansley, would require an EDP to identify all environmental impacts that may be expected as a result of the development to which an EDP relates. As I mentioned in Committee and have just repeated, EDPs are targeted plans, and the Government are clear that an EDP will modify existing obligations only for identified impacts and where the EDP itself can demonstrate how the conservation measures will materially outweigh the negative effect of development on the specific environmental feature. Any impacts not addressed—
I am afraid that the Minister has failed to understand that the amendments I have proposed, following the debate in Committee, are directed towards only the environmental feature, and the negative effects associated with that environmental feature, which is the subject of the EDP. She is suggesting that I am widening it out to other features. I am not; the amendments address only that feature.
I am sorry if I misunderstood, but that may be due to confusion around the wording. It seemed that the amendment was trying to widen that out. As I said, any impact not addressed through the EDP is subject to a separate assessment. Therefore, it would not need to form part of the EDP itself.
I have left Clause 55(1)(a) where the Government left it, which means that we are concerned only with the environmental feature which is the subject of the EDP. Her entire argument against my amendments is around the proposition that I am trying to widen it out to other things; I am not. I am simply saying that, if there is a negative effect associated with the environmental feature derived from that development, it should be identified in the EDP.
The very nature of the EDP would do that anyway, because the action taken by the EDP must materially outweigh the impact of the development. If that is what the noble Lord is trying to say, I can confirm that that is the purpose of the EDP in the first place. I will continue now.
As set out in the Member’s explanatory statement, Amendment 132, tabled by the noble Lord, Lord Markham,
“seeks to encourage debate on the proportionality of conservation measures included in an EDP”.
In doing so, the amendment proposes that EDPs should consider the monetary value of the plants or animals the conservation measures would support, to ensure that conservation measures are proportionate. As the noble Lord will be aware from the debates to date, EDPs will be required to materially outweigh the negative effects that development would have on a relevant environmental feature, be it a feature of a protected site or a protected species. That may include multiple plant species of varying abundance. Similarly for protected species, an EDP would address these impacts at an appropriate population scale.
The scale of conservation measures required will be determined by the scale of impact from the development, with the levy rate being set to ensure that sufficient measures are delivered to meet the overall improvement test. In setting the regulations that will govern the nature restoration levy, the Secretary of State must aim to ensure that the levy does not render development economically unviable, but the levy must be sufficient to deliver the necessary conservation measures in line with the overall improvement test. That will ensure that the levy is set at a rate that delivers for both nature and development, with developers in all but exceptional circumstances being able to choose whether to use an EDP or whether to address these impacts and secure the necessary measures themselves under the existing system. I hope that, with this explanation, the noble Lord will not press his amendment.
Finally, Amendment 203, tabled by the noble Lord, Lord Roborough, would require the preparation of a report by the Joint Nature Conservation Committee on the consolidation of the Wildlife and Countryside Act 1981 and the Conservation of Habitats and Species Regulations 2017 as they relate to planning. I appreciate that the dual systems of the habitats regulations, which cover habitat sites and include the HRA process, and the Wildlife and Countryside Act, which covers SSSIs, can appear complex. However, in practice, there are integrated processes which address and manage this complexity. These processes are well understood by practitioners, and while the Government will always look for opportunities to improve processes, the amendment risks creating uncertainty that may delay development and presupposes that consolidation is necessary and desirable. At this time, we do not consider that such a report is necessary, but even if it were, it would be a legal rather than ecological exercise, which would fall outside the JNCC’s area of expertise. Given this explanation, I hope that the noble Lord will not press his amendment.
My Lords, I thank my noble friend Lord Fuller for moving his amendment in this group.
These amendments would make technical changes to how EDPs work practically. My Amendments 166 and 167 would ensure that only impacts addressed by the EDP may be disregarded for the purposes of the habitats regulations. I agree entirely with my noble friend Lord Lansley and am very grateful for his comments. We think that this is in line with the Government’s plans and seek to be constructive with these amendments. Can the Minister explain why the Government are not willing to accept these constructive and specific amendments?
Amendment 134 in the name of my noble friend Lord Fuller also seeks to strengthen the Government’s measures. We will listen carefully to the Minister’s reply.
Finally, my Amendment 135 is another that seeks clarity in the Bill. We are disappointed that the Government have not seen the merit of our case and would have preferred to see this clearly set out in law. I entirely agree with my noble friend Lord Fuller on his questions and comments about the timing of EDPs and how they can be effective within the specified 10-year period. I very much look forward to the Minister’s reply.
My Lords, I turn first to Amendment 134 tabled by the noble Lord, Lord Fuller, which would require conservation measures delivered by a landholding to be secured solely through Section 106 agreements.
The noble Lord’s stated intention is to ensure that conservation measures are secured through a sufficiently enforceable mechanism. While we fully agree with the noble Lord that we need sufficient certainty to ensure that conservation measures are delivered, I hope to reassure him that his amendment is not necessary.
The NRF represents a shift towards a more strategic approach to dealing with the environmental impacts of development. Once an EDP is made, it will be for Natural England to secure the necessary conservation measures and ensure that they are in place, monitored and effective.
Some conservation measures may require Natural England to acquire land, but, where it does so, requiring it unilaterally to enter a Section 106 planning obligation would be inappropriate. Foremost, this would be an odd use of Section 106. Many conservation measures, such as in relation to wetlands, will not require planning permission. It is therefore unlikely that a Section 106 agreement between Natural England and the local planning authority would be needed.
What this amendment suggests is required is more likely to be a species of unilateral undertaking by Natural England—one that would unnecessarily restrict its latitude to deliver conservation measures flexibly. It would reduce the scope for Natural England to modify its approach where doing so would be within what the EDP approved and deliver more effectively for the environmental feature. Similarly, it could stop land being used for overlapping purposes.
Ultimately, it will be important that Natural England can implement whichever conservation measures it considers most effective while still being bound by the need for the measures to be sufficient to meet the overall improvement test—which this approach puts the focus on. In recognising the shift in approach under this model, I hope the noble Lord will withdraw his amendment.
Amendment 135, which was previously tabled in Committee by the noble Lords, Lord Roborough and Lord Blencathra, relates to the use of planning conditions as conservation measures. In previous debates, I have been clear on the importance of planning conditions to ensure that developers take appropriate action to avoid impact in advance of other conservation measures being delivered. These conditions will form part of the draft EDP and be consulted on, which will ensure that developers are fully aware of any conditions that may be imposed if they choose to utilise an EDP.
I also re-emphasise that the Bill will allow Natural England to request that a condition be imposed only on a development coming under an EDP. The Bill simply will not allow Natural England to request planning conditions to be imposed on any development other than where that development wishes to rely on an EDP.
Finally, I turn to Amendments 166 and 167, also tabled by the Lord, Lord Roborough. These amendments were also considered in Committee, but I am very happy to further clarify our position. The amendments would amend Schedule 4, which sets out the effects that an EDP has on underlying environmental obligations, establishing that, where a developer has committed to pay the levy, the relevant obligation is suitably discharged.
“Environmental impact” is defined within the Bill as
“one or more ways in which
the negative effect
“is likely to be caused by the development”.
Therefore, the effect of Schedule 4 is already limited to those impacts. If a development has multiple environmental impacts but only one is covered by the EDP, those other impacts are not affected by Schedule 4 and must still be assessed through the existing system. That is to ensure that all impacts are considered and features sufficiently protected, while allowing a more strategic approach where it is appropriate. I trust that this provides noble Lords with sufficient reassurance, and that they will not press their amendments.
If “environmental impact” in Clause 55 embraces all the ways in which a development might impact negatively on an environmental feature, why does the clause go on to say:
“But an EDP need not identify all of the possible environmental impacts on an environmental feature”?
By definition, that means that there may be environmental impacts that are not identified in the EDP but which, under Schedule 4, may come to be disregarded for habitats purposes.
I am sorry, I thought that I had clarified that matter. If only one impact is covered by an EDP, the others are not affected by Schedule 4 and have to be assessed through the existing system. That is to ensure that all impacts are considered and that features are sufficiently protected while allowing the EDP to cover a more strategic approach.
I apologise; I shall not intervene again. Schedule 4 says that the environmental impacts can be disregarded, but the Minister is telling us that the environmental impacts identified in the EDP can be disregarded. We agree, and that is what my noble friend is seeking to introduce into the Bill.
(2 weeks, 5 days ago)
Lords ChamberMy Lords, before I address the amendments, I should say that I circulated a diagram of the respective responsibilities of, and links between, spatial development strategies, local plans and neighbourhood plans that I hope was helpful to noble Lords in our consideration of the Bill.
Amendment 90, tabled by the noble Lord, Lord Lansley, proposes to expressly allow a spatial development strategy to set out an amount or distribution of development for employment, industrial, logistics or commercial purposes. I fully recognise the intention behind the amendment, but it is not necessary. That is because new Section 12D(1) already requires spatial development strategies to include a statement of the strategic planning authority’s policies, however expressed, on land use and development that are of strategic importance to the strategy area. In fulfilling this requirement, I would expect strategic planning authorities to address employment, industrial, logistics and commercial development needs. That has been demonstrated in, for example, the London Plan, which operates under comparable legislative provisions.
To respond to the noble Lord, I add that our intention is for the National Planning Policy Framework, which we will consult on this year, to set out explicit policies for how employment, industrial, logistics, commercial and other issues are intended to be addressed, including through spatial development strategies. I hope that is helpful.
Amendment 92, tabled by the noble Baroness, Lady Thornhill, proposes that spatial development strategies include a design vision for the strategy area developed in collaboration with both the local community and other stakeholders. I have outlined previously in our debates the importance that the Government place on good design of new homes. We would expect any detailed design requirements to be set by local planning authorities and neighbourhood planning groups through their local and neighbourhood plans, as these will allocate specific sites. I therefore ask noble Lords not to press their amendments.
My Lords, I apologise: I should when I first rose, as it was the first time I spoke on Report today, have drawn attention to my registered interests relating to the chairmanship of development forums in both Cambridgeshire and Oxfordshire. I thank noble Lords for their support for the amendment. I am very grateful for the additional points that were made.
I am grateful for what the Minister said. I do not doubt that it is possible to put the necessary guidance into the National Planning Policy Framework. Indeed, I hope that when we see the revision of the NPPF before the end of the year we will see something akin to the guidance relating to plan-making but related to the making of spatial development strategies. I humbly say to the Minister what I said previously, along with my noble friend Lord Jamieson, about the importance of relating the question of the amount and distribution of housing to the spatial strategy in relation to employment, industry, logistics and the opportunities for inward investment, frankly. I cannot see any reason why that should not be quite explicit in the NPPF and therefore carried forward into requirements on SDS authorities. It is absolutely in the Government’s interest to do that. If growth is their number one priority, and planning reform is essential to that, then getting spatial development strategies up and running in ways that focus on this would be absolutely at the heart of it.
With those further requests to the Minister for future action, I beg leave to withdraw the amendment.
My Lords, Amendment 97A, tabled by the noble Lord, Lord Lansley, seeks to ensure that any spatial development strategy that had been prepared by an authority remains in place for the strategy area following the restructure of the strategic planning authority; the strategy could not be replaced or substantially altered within five years of its adoption unless the Secretary of State authorised a strategic planning authority to do so. Given that the Government are currently undertaking an ambitious programme of local government reorganisation in England, I understand why the noble Lord seeks to make provision to account for this and ensure a degree of continuity for an operative spatial development strategy.
However, new Section 12T empowers the Secretary of State to include transitional provisions in strategic planning board regulations. This power complements existing powers to make transitional provision in regulations to reflect changes to local government organisation. If a local government reorganisation leads to uncertainty over the boundaries of a spatial development strategy or its applicability to an area, it is more suitable to address this through tailored transitional provision in regulations rather than through primary legislation. This means that the effects of local government reorganisation can be considered on a case-by-case basis.
Preventing a strategic planning authority from replacing or significantly revising its spatial development strategy until five years after its adoption following local government reorganisation would restrict its ability to respond to major national policy changes or new major investment in its area. Strategic planning authorities are well placed to determine when updates to their strategies are necessary and should retain the discretion to do so. Given this, I would respectfully ask the noble Lord to withdraw his amendment.
My Lords, I am most grateful to noble Lords—particularly the noble Baroness, Lady Pinnock—for their support, and to the Minister for her response. I completely understand that the Minister does not want to close down the possibility of alterations to spatial development strategies, which this might do. I hope that we might look at the transitional provisions, and I hold in my head the thought that if we can see those—in relation to the making of spatial development strategies and the impact of local government reorganisation—and if we have a problem, even if we do not deal with it in this Bill, it would be within the scope of the English Devolution and Community Empowerment Bill to be able to deal with it at a later stage. Therefore, I beg leave to withdraw Amendment 97A.
My Lords, Amendments 99 and 108 in the name of the noble Lord, Lord Lansley, return to measures in the Levelling-up and Regeneration Act 2023. As your Lordships will recall, in Committee, I advised the House that the Government consider that the best time to commence the provisions of Sections 98 and 100 of that Act is alongside our wider reforms to the local plan-making system, as the noble Lord, Lord Lansley, mentioned.
Amendment 108 would advance the date of commencement ahead of those connected reforms, bringing them into force on the day on which the Bill is finally enacted. However, we continue to believe that a co-ordinated approach to commencement will be most helpful to planning authorities and we do not consider there is a case for advancing these provisions ahead of our wider timetable.
Amendment 99 deals with neighbourhood priorities statements. This is another measure provided for in the Levelling-up and Regeneration Act 2023, so this amendment is not required if we want to bring them into force. However, at this stage, we want to ensure our new local plan-making system is working as it should before considering adding the introduction of neighbourhood priorities statements.
Neighbourhood planning groups are welcome and are encouraged to contribute their views during the preparation of local plans. The expertise developed through the preparation of neighbourhood plans already allows them to make thoughtful and constructive contributions that local authorities should consider carefully. In common with the noble Lord, the Government continue to believe that neighbourhood planning groups can make a valuable contribution across the planning system. However, we are not yet convinced that a statutory approach is required to enable that contribution. As such, I hope the noble Lord will feel able to withdraw his amendment.
I thank the noble Baroness, Lady Pinnock, for Amendment 127, which seeks to introduce a requirement into the development consent order process for the Secretary of State to consider neighbourhood plans when determining nationally significant infrastructure projects, and to empower her to limit variations to those plans. Neighbourhood plans are indeed a vital part of the planning system, giving communities a voice in shaping development in their areas. I fully recognise that the spirit of this amendment is rooted in a desire to strengthen that voice, particularly in the context of large-scale infrastructure projects that, as we all know, can have significant local consequences. It reflects a genuine concern that local priorities should not be overlooked in the pursuit of national objectives. However, as I sought to set out during earlier debates, the Government maintain their position that this amendment is unnecessary. The DCO process has been carefully designed to ensure that decisions on NSIPs can balance national priorities with local impacts and be made in a timely manner.
Neighbourhood plans form part of the development plan, which is the starting point in making decisions on planning applications in the Town and Country Planning Act regime. This is well established and, although there are occasions where departures from neighbourhood plans are warranted, it is part of the planning balance with which local planning authorities and planning inspectors are familiar. We recognise that, where a departure from a neighbourhood plan occurs, it can be frustrating for the community. I understand that, but this is part of the planning system working as it should.
For NSIPs, the primary policy framework remains the national policy statements, which set out the need for such projects and provide guidance for both promoters and decision-makers. As noble Lords know, national policy statements are subject to public consultation and parliamentary scrutiny. I am very confident that the Planning Act 2008 already embeds a sufficient number of safeguards to ensure that local views are considered.
Local communities and authorities can participate in the examination process, submit representations as part of this and provide local impact reports. These processes ensure that information about local concerns, including impacts of the proposed NSIP, is available to the examining authority and the Secretary of State. Local impact reports, along with any other matters deemed important and relevant, including neighbourhood plans, must be taken into account by the Secretary of State as part of decision-making.
Where a relevant NPS is in effect, the Secretary of State is legally required to determine applications in accordance with it, unless specific statutory exceptions apply. Introducing an additional requirement, as proposed in this amendment, risks undermining the clear operation of the decision-making obligation on the Secretary of State and could prevent the Government’s objective of building more infrastructure that the country desperately needs.
This amendment also proposes that the Secretary of State be able to make variations to neighbourhood plans. Under the existing process, the Secretary of State does not play any role in approving neighbourhood plans; they are a matter entirely within the jurisdiction of local authorities. This fundamentally underpins local democracy in the planning system. It would therefore not be appropriate to confer powers on the Secretary of State to vary them, as this rightly remains a matter for local communities.
The Government’s position on this matter remains unchanged from Committee. The existing statutory framework already provides the necessary mechanisms to ensure that neighbourhood plans are considered where appropriate. For these reasons, I hope that the noble Baroness will not press her amendment.
My Lords, I am grateful for all the contributions to this short debate. The effect of Amendment 108 on neighbourhood development plans would be to commence them when this Act is passed. I suspect that means it would be commenced in November. I hope the Minister is saying that the Government intend that these provisions commence alongside the new revision of the National Planning Policy Framework that we normally receive as a Christmas present, just before Christmas. There might only be a matter of weeks between those two dates, so I will not stress about that at this stage.
As far as Amendment 99 is concerned, there is still a role for neighbourhood priority statements, but this is absolutely something we can come back to under the English devolution Bill. When we see what effective neighbourhood governance is, that will include an ability to make these statements in relation to development and planning in the area of a given neighbourhood. On that basis, I beg leave to withdraw the amendment.
My Lords, Amendment 106, tabled by the noble Lord, Lord Lansley, seeks—as we have heard—to make it a statutory requirement for local planning authorities, either separately or jointly, to appoint a suitably qualified chief planning officer. I have also discussed this issue further with the noble Lord, and while I appreciate the sentiment behind the amendment, and I agree it is important for planners to be represented in the leadership of local authorities, I do not consider it to be a matter which we should legislate for at this time.
There are currently more than 300 local planning authorities in England, which vary considerably in the scale and scope of their planning functions. We think it is important for local authorities to be able to determine how best to organise their planning functions, and in practice the role of a chief planner or equivalent already exists. The role of a chief planner is very different within a large unitary authority, such as Cornwall —a county authority which focuses principally on mineral and waste planning matters—and a small district authority.
However, as I said in Committee, I will keep this issue under review as we progress with further reforms to the planning system, and it is something I can discuss with local authorities. With this reassurance, I kindly ask the noble Lord to withdraw his amendment.
I am grateful to the Minister, not least for her time in discussing these matters. I do not think we have moved forward, but we continue to be in a position where she has very kindly offered to continue to reflect on this and, indeed, to consult. Maybe, the route forward is for there to be, if not formal, certainly some informal discussion with local authorities about this.
It seems to me—it is getting to be a bit of a theme of mine this evening—that as we enter into the planning reforms, and indeed the local government reorganisation, it will change the nature of the responsibilities of local planning authorities. Increasingly, given the position where the planning function occupies a leading role in relation to a range of issues, including infrastructure strategies and economic development activities, it would continue to be a desirable step forward for there to be, as part of the suite of chief officers of any local planning authority, a planner at the heart of their functions.
That said, if the Minister is willing to continue to reflect, and we have the standby option that we can revisit this in the English Devolution and Community Empowerment Bill—it seems to me that we can, because it will be within the scope of the reorganisation of local government to think about who the statutory officers of those authorities should be—I will take the opportunity this evening, it being a late hour, not to press this at this stage. I beg leave to withdraw Amendment 106.
(3 weeks, 3 days ago)
Lords ChamberMy Lords, I hear the strength of feeling in the House on this amendment. It might be helpful if I set out in a bit more detail the way the Section 31 direction works. It is important to note that a Section 31 direction allows time for the Secretary of State to consider whether to exercise call-in powers. It is exactly what it says on the tin: a holding direction to enable that process to go through.
In response to the noble Lord, Lord Fuller, the use of holding directions helps to prevent exactly the circumstances he described by restricting the issuing of a decision on a planning application—whether it be to grant or to refuse—to allow time for full consideration of whether it raises issues of more than local importance, such that it merits calling in, and to help prevent the rushed consideration of such matters. I have dealt with a number of these call-ins of applications since becoming a Minister. Every time we look at a called-in application, we have to consider the criteria against which the Secretary of State will consider the call-in of a local application. I hope it will be helpful if I very quickly go through those.
Compliance with the local development plan is not the question here; it is whether the Secretary of State will use the call-in powers, and they will use them only if planning issues of more than local importance are involved. Such cases may include, for example, those which, in the Secretary of State’s opinion, may conflict with national policies.
I am confused. The Minister referred to Section 31 directions, but surely, we are talking about Section 74 directions. Section 31 is to do with grants for local authorities.
My apologies: I got my numbers mixed up there. I am talking about the call-in power.
Such cases could include, for example, those which may conflict with national policies on important matters, may have a significant long-term impact on economic growth and meeting housing needs across a wider area than a single local authority, could have significant effects beyond their immediate locality, could give rise to substantial cross-boundary or national controversy, raise significant architectural and urban design issues, or may involve the interests of national security or of foreign Governments. However, each case will continue to be considered on its individual merits.
I thank the noble Lord for that clarification. Of course we keep the procedures under review in order to ensure they are fit for purpose. It is very important that we would inform the House in the proper way if we were to make any procedural changes in regard to the issues he raises.
Amendment 65, tabled by the noble Lord, Lord Lansley, as an amendment to government Amendment 64, seeks to incentivise local planning authorities getting up-to-date local plans in place and to allow them to determine applications subject to a holding direction where an up-to-date plan is in place and the proposal accords with this plan. I assure the noble Lord that we appreciate the sentiment behind his amendment. As I have often said, we too want to ensure that local planning authorities make positive decisions and grant planning permission for development which is in accordance with up-to-date local plans. However, we are not convinced that the noble Lord’s amendment is necessary. Under our amendment, the Secretary of State will be able to restrict refusal of planning permission or permission in principle. Where the Secretary of State has not also restricted the local planning authority from approving the application, they will be free to reconsider the application and grant it if they wish. We believe that this addresses the intent of the noble Lord’s amendment.
Amendment 87A, tabled by the noble Baroness, Lady Coffey, would amend secondary legislation to enact government Amendment 64. I assure the noble Baroness that this amendment is not needed, as we will bring forward the necessary changes to secondary legislation shortly following Royal Assent of the Bill.
Amendment 87D, tabled by the noble Baroness, Lady Coffey, seeks to remove assets of community value from the permitted development right which grants planning permission for the demolition of certain buildings. I am not responsible for the grouping of amendments, so I understand her issue about where this has been grouped, but we will debate it as it is in the group before us. I very much appreciate the sentiment behind this amendment, and I share the noble Baroness’s desire to ensure that local communities do not lose the community assets which are so important to them. We do not have many old houses in our town, because it is a new town, by its very nature. However, I have relayed before my story of a beautiful old farmhouse in my own ward of Symonds Green. An application came in for that property, and we tried very hard to get it listed before the application was considered. Unfortunately, the inside of the property had been amended; so much work had been done to it internally that we could not get a listing for it and, unfortunately, it was, sadly, demolished. The reason I am saying that is because there are a number of routes that local communities can take to protect properties, which I will come on to in a minute.
It is already the case that the demolition permitted development right excludes many types of buildings which are particularly valued by local communities. We know how important these buildings are, and Members across the House have stated this both this afternoon and in previous debates. These include pubs, concert halls, theatres, live music venues and many other buildings of local value.
Local planning authorities, as I have stated before and as I was reminded by the noble Lord, Lord Freyberg, can use Article 4 directions to remove permitted development rights in their area, where it is appropriate to do so. While I note the comments of the noble Lord, Lord Freyberg, about Article 4 and the possible complexities of dealing with that, it is possible for local authorities to apply for these in advance.
There is also another route that local authorities can go down, which is to set up a register of buildings of local community interest, which, while it does not carry the weight of statutory protection that Article 4 does, provides a checklist for communities and planners for buildings that cannot be listed, against which they can be checked, should proposed development come forward.
We believe that the current approach is the right one. However, I assure the noble Baroness that we continue to keep permitted development under review, and this and other matters related to that are always under review. With these assurances, I ask noble Lords not to press their amendments.
I think we are debating Amendment 65, which I moved.
The debate has illustrated that, in effect, this is the debate we ought to have had in Committee. There is one set of people—I count myself among them—who cannot understand what the Government are trying to achieve, and why the amendment is necessary, and another set who are saying that it gives the Government powers to do things that might be objectionable.
Actually, of course, the Government have all those powers. If they wanted, for example, to grant planning permission to all data centres, they could issue guidance for that purpose. They could issue national development management policies, for which they have powers. The question I keep coming back to, which is where I started, is: what is this trying to achieve? Calling it an “anomaly” seems to be completely misleading. If you put it alongside a holding direction to stop the granting of planning permission, that stops a local authority giving planning permission because, once it is given, you cannot take it away. Having a holding direction to stop the refusal of planning permission simply stops the local authority saying no, and then the applicant has the opportunity for appeal or a further application, and many other routes—and the Secretary of State has many routes to deal with it. I am afraid that I cannot see the benefit.
The Minister was kind enough to say that my amendment was not necessary, as she wants to do the things that my amendment calls for, so that is fine. So I do not need to proceed with my amendment and will beg leave to withdraw it, in expectation that we will focus on Amendment 64 itself.
(1 month, 4 weeks ago)
Lords ChamberI am grateful to the Minister. I note that, in Clause 69, there is a provision that the regulations may require or permit Natural England to integrate the process—that is the levy process—
“to the extent and in the manner specified by the regulations, with processes undertaken for other statutory purposes”.
Are we in that territory? Are we in the territory where a community infrastructure levy, environmental delivery plan levy or the nature restoration levy could be part of the same process?
I am not sure they would be the same process, but I think that refers to the fact that some of the same processes—for example, the appeal process—might be similar to the process being used for the levy for the EDP. That is what that reference is to, but if it is any different to that or more complex, because the way that the noble Lord described it would be a much more complex integration of both processes, I will confirm to him.
The noble Lord also referred to the viability assessment and the way that developers do this. In my quite lengthy experience of planning, I have found that developers are pretty masterful in developing their viability assessments. In the early days of this, they will want to look at how EDPs and the charging regimes around them are being framed. Most developers are quite competent at working up a viability assessment to take into account some of the new things that come along. The guidance point is an important one. We will always aim to assist those who are involved in this process with guidance, so I would anticipate that there will be guidance forthcoming. With this explanation, I hope that noble Lords will be content not to press their amendments.
Finally, Amendment 306A, tabled by the noble Lord, Lord Roborough, seeks to allow the nature restoration levy regulations to impose the liability to pay into the nature restoration fund where the impact of the development cannot be fully dealt with through the mitigation hierarchy. The levy regulations will already allow for differential rates to be charged based on the varying impact of development. It follows that development that is having a greater impact on the environmental feature will be charged a higher levy rate. Where a developer chooses to use the existing system, they would need to address the impact of development through that approach. However, should a developer subsequently decide that they wish to use an EDP, they could still make a commitment to pay the levy prior to the planning application being determined. As such, the legislation can already accommodate the circumstances envisaged by the amendment, so I hope that the noble Lord will not press his amendment.
Before my noble friend replies, can I just ask the Minister if—perhaps not now, but at some point before Report—she could just go back to the question on Clause 66 regarding the circumstances in which an EDP makes the levy mandatory and explain what kind of circumstances are anticipated?
I apologise to the noble Lord. I did not answer his question, which was quite clear. I think the issue of mandatory EDPs was put in as a precaution, but he is right—it would be useful to have some examples of where that might be necessary. We will come back to that between Committee and Report, so that we are all clear on the kinds of circumstances where a mandatory EDP may be put in place. It is important that we all understand that.
(1 month, 4 weeks ago)
Lords ChamberI was just coming to that. The performance of EDPs will be monitored in the ways that have been set out. There will be oversight from the department and a process for monitoring the EDPs. It might be helpful if, between Committee and Report, the noble Baroness, Lady Hayman, and I can set out exactly how that process will work, and we will aim to do that.
The noble Baroness Coffey talked about the environmental principles policy statement, and I can confirm that the Bill must have regard to that statement, in line with the Environment Act 2021. With all those comments, I hope that noble Lords will not press their amendments.
My Lords, I wonder if I might just ask the Minister, after her helpful and interesting points, about the back-up conservation measures that are included in the EDP but are not expected to be needed. That being the case, can we have conversations about the calculation of the cost of the EDP, the amount of the levy, how the levy and the liabilities for the levy are to be determined and when they are to be paid? Can we talk about how that applies to back-up conservation measures? Clearly, developers do not want to be in a position of paying them, or expecting that they have to, then finding that they do not have to pay them.
I understand the point that the noble Lord is making. When a developer opts for an EDP, there will be a clear statement of the costs. But I think it would be useful to have a conversation between now and Report, so I am very happy to do that.
(2 months ago)
Lords ChamberMy Lords, I will also speak to Amendments 187, 200, 201, 202 and 203, which relate to the relationship between development corporations.
Development corporations are important vehicles for delivering large-scale and complex regeneration and development projects. As we continue to deliver the many homes that this country desperately needs, we expect the number of development corporations to increase in the coming years. Different types of development corporations have been created in law to respond to the circumstances of that time. This has created ambiguities within the current legislative framework so that multiple development corporations could be created within the same locality. This risks creating confusion and delaying the speed of delivery for key strategic projects, which can be unhelpful and frustrating for all.
As the intention of our reforms in this Bill is to create a clearer, more flexible and robust development corporation legislative framework, I believe that these amendments are necessary. This is because they will set out the relationship between different types of development corporations by aligning their boundaries and removing any doubt over decision-making. These amendments will create a backstop so that, for example, if, following consultation, a centrally led development corporation had an overlap with a mayoral development corporation or a locally led development corporation, the overlapping part would automatically become part of the government-led area. The same would apply for a mayoral development corporation, which would have the same power over a locally led development corporation.
I hope that noble Lords understand why the amendments are necessary. Before I respond to the other amendments in this group, it would be helpful to listen to noble Lords’ views, so I shall reserve any comment on them until I wind up. I beg to move.
My Lords, I shall speak to my Amendments 206A, 351ZA and 362 in this group, which also relate to mayoral development corporations. I am supportive of what the Minister is proposing in Amendment 186 and the related amendments. It is helpful to see that there is an established hierarchy between development corporations so that, if the Government establish a development corporation, it trumps a mayoral development corporation, in effect, while a mayoral development corporation trumps a locally led development corporation. However, my amendments raise an additional—and, I hope, helpful—issue.
Before I come on to that, let me say this: the underlying purpose of the development corporations in Part 4 of this Bill is to give mayors, through such corporations, the scope to engage in not just regeneration but development. So mayoral development corporations can be the vehicle for significant new settlements, both as urban extensions and in new sites. That is helpful, too.
Of course, what we do not have in this hierarchy of development corporations is the availability of local authorities to propose locally led development corporations on the same basis as the Government and mayors can do. That was in the Levelling-up and Regeneration Act but has not yet, with the exception of one of the accountability measures at the back of the section, been brought into force. Unless the Minister tells me otherwise, as I understand it, it is not the Government’s intention to bring into force the further provisions of that Act on locally led development corporations. For the avoidance of doubt, if I am wrong about that, I would be most grateful if the Minister could tell us so in her response to this debate.
Members who were attentive to the running list of amendments will recall that I tabled Amendments 204 and 205 back in July. Their purpose is to give other mayors access to the same powers to establish—I should say “propose”, since the Government establish them—mayoral development corporations as are available to the Mayor of London under the Localism Act. This is not to say that mayors do not have any such powers. However, since the Localism Act, they have generally been established under statutory instruments. Some of those have given mayors similar powers to those of the Mayor of London, but there are often gaps; the time pressures on these debates does not permit me the pleasure of examining precisely which gaps have been identified and for which mayors, but that does not matter. The point is that my Amendments 204 and 205 had the objective of giving mayors—all mayors—the same powers as are available to the London mayor.
I then found, when the Government published the English Devolution and Community Empowerment Bill in the other place, that Clause 36 and Schedule 17 of that Bill provided for other mayors to have the same powers as the London mayor. It struck me that, under those circumstances, there was no merit in my continuing to push Amendments 204 and 205, so I withdrew them. It further struck me that, if we provide for other mayors to have those powers under the English devolution Bill, it will run to a slower timetable than this Bill.
Therefore, Amendment 206A, which would bring into the Bill the new schedule proposed in Amendment 351ZA, is drafted in the same terms, substantially, as the Government’s English Devolution and Community Empowerment Bill. It would have the same effect—to give mayors generally the same powers as the London mayor—but it would do so in this Bill. Instead of waiting until some time next year—a time to be determined—and given that this is the Government’s number one legislative priority and that we are going to debate into the night if we have to, we can be confident that the provision would reach the statute book this year.
Based on the past experience of the unwillingness of Ministers to bring provisions of Bills that we have passed into force, Amendment 362 requires that the provision be brought into force within two months after the passing of this Bill. Therefore, we would be looking at all mayors having the powers by the early part of next year. This is important and relevant because we are already beyond the point at which the New Towns Taskforce said that it would publish its recommendations, including sites for new towns. It said in its interim report that it would publish the final report and recommendations in the summer; it is definitely now no longer the summer. I hope that the Minister will be able to tell us that it will do so shortly, as there is a degree of planning blight associated with their not being published. There is benefit to delivering on the objective to build more homes if we publish them sooner rather than later.
I hope that this Bill will secure Royal Assent this year—ideally, by the end of November—and that, by the end of January, with the inclusion of Amendment 206A and the proposed new schedule, the mayors will have access to those powers by the end of January.
My Lords, I will start with the notice from the noble Baroness, Lady Scott, opposing Clause 93 standing part. I welcome the opportunity to explain the intentions behind this clause. Clause 93 clarifies and extends areas for development and the remit of development corporation models. It includes changes to legislation that would extend the remit of mayoral development corporations, so that they can deliver regeneration and new town development rather than just regeneration. It also allows that separate parcels of land can be designated as one new town area, overseen by one new town development corporation.
The current framework is outdated and not fit for purpose. Each development corporation model was developed to address a specific circumstance at the time of its introduction. This poses a significant risk to the effective delivery of the development corporations. For example, mayoral development corporations can be used only for regeneration projects, as the model was developed initially for London but then widened out to areas outside London, including rural areas. The English Devolution and Community Empowerment Bill will enable strategic authorities to create more mayoral development corporations, so it is even more important to ensure that the legislation is fit for purpose.
Amendment 195A aims to remove the power permitting new town development corporations
“to do anything necessary or expedient for the purposes or incidental purposes of the new town”.
I reassure the noble Baroness that this is not a new addition to the new town development corporation framework. This provision is already written into primary legislation underpinning new town development corporations, as well as urban development corporation models. The changes to the infrastructure provision include listing specific functions and bringing them in line with mayoral development corporations, with the addition of heat pumps, which have been added to the list of infrastructure that can be delivered by all models.
As development corporations are used to respond to the specific needs of developments or regeneration schemes, it is important that the legislation offers this level of flexibility so that they can be tailored accordingly. We all want to see large-scale developments and infrastructure projects that will support housing and economic growth, but they need to be supported by the right infrastructure without compromising existing provisions. It would be a step backwards if we were to take the power away from new town development corporations and instead provide only a list of infrastructure, as some developments may require new technologies. Decisions to establish development corporations and the powers each will have will be made via regulations. Their oversight will be carefully designed and subject to statutory consultation.
Amendments 351ZA and 362, tabled by the noble Lord, Lord Lansley, would standardise and extend powers in respect of mayoral development corporations to mayors of all strategic authorities outside London. I welcome his proposal. It is vital that we empower local leaders to transform underused sites to create thriving communities tailored to local needs. For this purpose, mayoral development corporations should be part of every mayor’s toolkit. However, we believe these amendments are unnecessary. The changes the noble Lord is proposing are already being made through the English Devolution and Community Empowerment Bill introduced on 10 July 2025. Given its scope, that Bill is the most appropriate vehicle for these changes. I take the noble Lord’s point about delay, but I am not under the impression that there is going to be any grass growing under the feet of the English Devolution and Community Empowerment Bill. I think that is going to get moved on at pace and I hope that it will be appropriate for the changes that we are talking about.
Since we have in this Bill Part 4 relating to development corporations, I fail to see why it is not the appropriate place to legislate for mayoral development corporations, rather than the English Devolution and Community Empowerment Bill. I think the evidence points to completely the opposite conclusion to the one the Minister just used.
I think it sits alongside other measures in that Bill. That is why it has been put into the EDCE Bill rather than this Bill.
Amendment 362 would commence provisions in relation to the development corporations within two months of the Planning and Infrastructure Bill passing. I welcome the noble Lord’s enthusiasm in wanting the changes to be implemented quickly, and I share his passion for that. We recognise that they are important measures, creating a clear, flexible and robust development corporation legislative framework to unlock more housing across the country, co-ordinating that with infrastructure and transport to support sustained economic growth. We also want the changes to come into force as soon as practically possible. However—and I would say this—there is further legislative work and guidance to ensure that development corporations are set up for success. It takes a significant amount of time to establish a development corporation, including essential preparatory and scoping work. We do not envisage that this will cause any delays to those interested in setting up a mayoral development corporation, but I do not think the progress of the other Bill is going to hold things up unnecessarily either.
It might be helpful if I cover some issues around how this is going to work. We know that development corporations are a vital tool for delivering large-scale, complex property developments, particularly where the risk—the noble Lord, Lord Shipley, mentioned risk—is too great for private sector delivery alone. To encourage the use of development corporations and reduce the risk of challenge, there should be clarity around their remit and functions.
Decisions to designate and grant powers to development corporations must be made by regulations. They are subject to statutory consultation, and they must be made with careful consideration of all the issues of oversight that we have heard about. The department consulted on oversight regulations for locally led urban development corporations last year, and the Government’s response is expected later this calendar year—I hope it does not run out before “later” arrives. Locally led urban development corporations cannot be set up before provisions in the Levelling-up and Regeneration Act 2023 are commenced.
In relation to the point from the noble Lord, Lord Shipley, about South Tees, the Government have issued a response to the independent review of the South Tees Development Corporation and Teesworks joint venture, which included clarifying the available measures to strengthen the oversight for mayoral development corporations. On 3 April 2025, guidance was published which clarified legislation and scrutiny of mayoral development corporations. I hope that that gives an adequate response to his question.
It is not my understanding that there will be fiscal devolution powers in that way, but I will take that back and write to the noble Lord if I am wrong.
I understood from what the Minister was saying that it is the Government’s intention to bring all of Section 172 of the Levelling-up and Regeneration Act relating to locally led new towns into force. Am I correct in that? I got the impression that that is the Government’s intention, but it was not quite explicit.
My understanding is that the powers in the Act relating to locally led development corporations will be brought into force, but I have committed to write to the noble Lord, Lord Jamieson, with a full explanation. I will circulate that letter when I have published it.
I am sorry if I misled the noble Baroness. I meant to say that the Government recognise the issue around planning capacity. We have already allocated that £46 million for local government, and we must have the discussions with Sir Michael Lyons that recognise that we need to make sure that the capacity is there to deal with new town development corporations as well.
Can the Minister tell us when we can expect to see the report of the New Towns Taskforce?
(2 months ago)
Lords ChamberI would be very interested to know whether the Minister has the figure—if not, she could let us know later—but I think the National Audit Office said 17% of local authorities had not submitted their infrastructure funding statements. I wondered if she had any update on that and perhaps would let us know how many have failed to disclose.
As the noble Lord predicts, I do not have the figure in front of me, but I will write to noble Lords and confirm what it is.
Amendment 185L seeks to deal with instances in which community infrastructure secured through Section 106 cannot be delivered as originally intended. In our view, this amendment risks unintended consequences which could hinder, rather than facilitate, sustainable development. I emphasise that local planning authorities can already take enforcement action if a developer fails to deliver on the obligations they have committed to in a Section 106 agreement, including failure to deliver community infrastructure where relevant. This may include a local planning authority entering the land to complete the works and then seeking to recover the costs or applying to the court for an injunction to prevent further construction or occupation of dwellings. This amendment would prevent the modification of planning obligations even where a change of circumstances means that the community infrastructure in question can no longer be delivered by the developer.
As I have set out, the Government are committed to strengthening the system of developer contributions, including Section 106 planning obligations. To deliver on this commitment, we are taking a number of steps, including reviewing planning practice guidance on viability. However, we must have flexibility where necessary to ensure that development, where there are genuine changes in circumstance, can continue to come forward. We must also think carefully about the demands we are placing on local planning authorities, which may not have the capacity or resources to take on responsibility for delivery in the way this amendment proposes.
Amendments 185K and 220 focus on the development consent order process and strategic development schemes and seek to achieve the same outcome. The clauses proposed by the noble Baroness, Lady Pinnock, would place a legal requirement on developers to deliver on commitments made to provide specified local infrastructure as part of their projects.
First, I want to express my sympathy with the spirit behind this proposal. We all agree that communities must be able to secure the infrastructure they need, especially when new development brings added pressure on local services and existing infrastructure, including schools, nurseries and GP surgeries. In particular, I acknowledge that the concerns that may be driving the amendment relate to the impact of temporary workers or additional traffic on local communities caused by large-scale infrastructure projects, which can remain under construction for significant periods of time.
(2 months, 2 weeks ago)
Lords ChamberMy Lords, Amendment 72 in my name seeks to leave out lines 12 and 13 on page 22 of the Bill, removing the additional definition of “qualifying distribution agreement”. It is a straightforward technical amendment. Its purpose is to tidy up the drafting of the Bill by removing a definition that is no longer required. The term “qualifying distribution agreement” is already defined in Clause 13(8), following other changes made during the passage of the Bill. The amendment will help ensure that the legislation is clear, coherent and free from unnecessary or redundant definitions. It will not alter the substance or effect of the policy but support the overall clarity and workability of the Bill.
I hope that the Committee will support this amendment. I look forward to the debate on the other amendments in this group; I will reserve comment on them until I make my winding-up remarks. I beg to move.
My Lords, I am grateful to the Minister for being so brief and to the point and for allowing me the opportunity to explain the purpose of the other amendments in this group in my name, which are Amendments 73 to 76. Like the Minister, I look forward to hearing from the noble Earl, Lord Russell, about grid capacity in his Amendment 79. I remind the Committee of my registered interest as chair of development forums in Cambridgeshire and Oxfordshire.
My amendments relate to Clause 17, which contains a power to give Ministers the opportunity to designate strategic plans for the purposes of the connection reforms that are taking place in relation to the transmission and distribution networks. I suppose it would be helpful—not least because it will connect to what the noble Earl, Lord Russell, will raise—for me to remind the House that this process is under way. In effect, it was commenced by the Connections Action Plan under the previous Administration in November 2023. A simple way of expressing it is by saying that there was a lot of commitment to future substantial increases in generating capacity in a range of technologies, which were increasingly forming a queue to book their potential connection to the transmission or distribution networks. However, there was considerable risk related to whether those projects would be delivered on time or at all.
The volume of such commitments made it very clear that a significant proportion of them would not be viable, because there would be an excess of what was required. The numbers varied, but I think the latest figure was something like 714 gigawatts of grid capacity relative to about 500 gigawatts of demand. Instead of the old regime, which can be characterised as “first ready, first connected”—namely, those who were planning to provide capacity simply booked a place in the queue and then, when they were ready, they were given a right to be connected—the intention now is for there to be strategic planning behind the process leading to the net-zero objectives in 2030, which were published under the Government’s Clean Power 2030 Action Plan last December.
Since then, Ofgem and the National Energy System Operator have been working on this. For the avoidance of doubt, references in Clause 17 to the independent system operator and planner, ISOP, are actually to the National Energy System Operator, or NESO. Ofgem agreed on its methodologies, I think in April, and has now, after consultation, approved the processes. I think that we are in a position—but the Minister can correct me if there is more detail—where we are anticipating, potentially in a matter of weeks, the first allocation of commitments by Ofgem to what is known as Gate 2. As I understand it, Gate 2 means that Ofgem will say that it is committed to these projects and that they will be connected to the transmission or distribution networks when they are ready and because they are needed.
There are two differences with that approach. First, the queue will be straightforward; it will be not just “first ready, first connected” but “first ready, first needed, first connected”. Secondly, the two criteria that Ofgem will apply, in the first instance, will be that there is a clear timetable—with milestones, which, if they are not met, may cause such projects to lose their place in that queue—and that they will be connected when they are needed. There is therefore a direct relationship between the strategic planning for electricity capacity in a range of technologies and the projects that NESO agrees will be brought in to supply the grid at given times in the future.
If I understand it correctly, the present strategic objective is set out in the connections annexe to the Clean Power 2030 Action Plan. It sets out a range of technologies, and capacities that are required in those technologies, and then breaks them down by regions across the country. There is therefore a plan to which the alignment should relate. The Explanatory Notes state that the designated strategic plan according to which the National Energy System Operator should work may be, for example, the Clean Power 2030 Action Plan, so we can see the relationship with that.
The Explanatory Notes do not say this, but the Delegated Powers Committee’s memorandum from the department did: in addition, the designated plans are intended to include the strategic spatial energy plan intended to be published in 2026. That is in addition to what is in the clean power plan, which has 2030 targets and ranges for its potential capacity requirements through to 2035, and will extend that to 2050 so that there is a longer strategic alignment between the people who are making substantial investments and the commitment on the part of the grid to take that supply into the grid.
I thank the Minister for that. Is it then the Government’s intention to publish a new strategy and policy statement under the Energy Act? At the moment, legislation requires Ofgem to have regard to what is effectively an out-of-date strategy.
I hope I picked up that question during my response. I will just check back to make sure that I got the wording right. I think that is the case but I will confirm it to the noble Lord in writing. Still, I think he is correct in his assumption.
I trust that explanation provides a sufficient response for the noble Lord, and I ask him not to press his amendment.
(9 months ago)
Lords ChamberI thank my noble friend. I very well remember that speech from the former Prime Minister. We have already taken some steps during this year’s spending round to switch the funding formula back to where the need is most in our country for local government. We have put additional money into key areas such as special educational needs and adult care services. We made a further announcement yesterday about more funding for affordable housing, particularly to improve the quality of temporary and emergency accommodation.
In the spending review in the spring, we will do more to shift the balance back so that the spending review for local government will follow the needs in local areas. As we do that from one side, we also have mayors and unitary councils and strategic approaches; as each part of the country begins to grow, everybody will benefit.
My Lords, I remind noble Lords of my registered interest in relation to Cambridgeshire and Oxfordshire. Those are two counties that will have county elections this May, yet they have received letters from the ministry saying that they must present initial plans on 21 March, which I assume is the day before purdah for those elections. Does it make any sense at all for those initial plans to be sent before the elections and before any administration that has been elected can come into place and put forward initial plans? Will the Minister delay that request from 21 March to the latter part of May at the very earliest?
I can give the noble Lord a very straightforward answer to that. No, we will not delay it, because we have a number of partners in local government coming to us who want to take part in this process. The proposal put forward on 21 March is an outline proposal; where there are new Administrations elected in May, there will be several months until the final proposal is due, which is at the end of November, where they can continue engagement with the Government and other partners, including the districts, to develop those final proposals.
If a new administration is elected in May, it is of course within their gift to depart from the interim plans set out by a previous administration, but we will continue working with all partners until we get to the 28 November deadline, when we expect final proposals to come in.
(10 months, 3 weeks ago)
Lords ChamberMy noble friend makes a good point. It is impossible to overstate the importance of having an accountable and transparent process for local government. I mentioned in my opening remarks that it is an absolute scandal that we have found ourselves in the position we have in relation to local government audit, with 1,000 audits outstanding—that is just not good enough. Accountability is absolutely vital. As well as a complete review of local government audit systems, and making sure that we have an audit service for all of local government that is fit for purpose, we will consult on something for mayoral combined areas. I do not know what it will be called, but it will be the equivalent of a local public accounts committee. We think that the work of the Public Accounts Committee in Parliament is helpful and useful, and we will consult with local government on whether a local public accounts committee, along similar lines, would be useful.
My Lords, I remind the House of my declared interest as chair of the Cambridgeshire Development Forum. The Minister will know that I share her enthusiasm for strategic planning, but will she acknowledge that it may be some time before strategic authorities are established, or indeed before some strategic authorities have the necessary capability for strategic planning? In order to maintain momentum, will the Government issue guidance that will enable local planning authorities to go ahead with spatial strategies at a sub-regional level as quickly as possible?
I thank the noble Lord for that comment. It is important that we get development moving as quickly as possible. The New Towns Taskforce will make recommendations to government on the best delivery approach when it reports in July next year. The appropriate delivery vehicle will always be place-specific, and we expect development corporations to be used in most cases. Mayors, local authorities and government can establish development corporations, and we look forward to engaging local partners to understand what will be the best delivery approach for them to support future growth. If these need to come forward sooner rather than later, we will work with local areas to make sure that we facilitate that as best as possible.
(10 months, 4 weeks ago)
Lords ChamberMy Lords, I remind the House of my declared interest as chair of the Cambridgeshire Development Forum. Indeed, I am glad that the Minister has seen for herself the scale and the quality of the developments taking place in Cambridgeshire. Among those building out on those sites, one of the principal difficulties is that the Section 106 agreements for the delivery of affordable housing are not often able to be supported by contracts with registered providers.
Has the Minister seen the report from the Home Builders Federation today, which says that there are 17,000 such affordable homes that are not contracted for by RPs? Will she respond to that report? The Home Builders Federation is asking for a Written Ministerial Statement that would encourage local planning authorities to use cascade mechanisms under the Section 106 agreements to promote the delivery of those affordable homes. Will she and other Ministers direct Homes England to step in and take over these contracts, and themselves maintain the delivery of affordable homes?
I am grateful to the noble Lord, Lord Lansley, for that question, because in a housing crisis where we have so many people in need of affordable homes, it has been such a shame that Section 106 homes that could have been funded were unable to be picked up because of the lack of capacity within affordable housing providers.
The Government have been very aware of the problems affecting the sale of Section 106 affordable housing. Alongside the National Planning Policy Framework, Homes England also launched a new clearing service to help unblock the delivery of these homes. This is a great role for Homes England to fulfil. The Government are now calling on all developers with uncontracted Section 106 affordable homes to proactively and pragmatically engage with this new service. We hope that this will be able to unlock some of the stalled Section 106 affordable homes which we know are there, waiting for those families who are desperate for housing. I hope that this service will take things forward.
(11 months, 1 week ago)
Lords ChamberThe noble Baroness is quite correct: we want to do that. Despite the very difficult Budget round this time, the Secretary of State for my department was able to achieve further funding for affordable homes of £500 million. That brings the total for affordable housing up to £3.1 billion.
My Lords, will the Minister confirm that the National Planning Policy Framework will be published before we rise for the Recess? In that, can we return to the question of metro mayors? Through their economic development activity, they are well equipped to add anticipated employment growth into the standard method for calculating future housing need. Will the Government incorporate that additional measure in their calculation?
I thank the noble Lord for inviting me to Cambridge, which I visited last week. It was a good visit and I am grateful to him. I can commit to publish the NPPF before the House rises for Christmas. I will take his other point back to the department and get the noble Lord a written answer.
(1 year, 3 months ago)
Lords ChamberAs a new town girl, what the noble Lord has just said is music to my ears. When my new town was built, it was designed to provide all the infrastructure that families needed in a neighbourhood format, and I absolutely understand the points that he has made.
There is a “delivering community needs” section of the NPPF consultation document which should help communities in practice. The changes proposed would ensure that the planning system supports the increased provision and modernisation of key public services infrastructure such as hospitals, criminal justice facilities and all those aspects. They would also ensure the availability of a sufficient choice of post-16 education and early years places and enable a vision-led approach to be taken to transport planning where residents, local planning authorities and developers work together to set out the vision for how they want places to be, rather than simply projecting forward past trends. Further, they would enable the planning system to do more to support the creation of healthy places. We have had many a discussion in this Chamber about those aspects as well and I think that incorporates some of the points the noble Lord made about gardens and private and public open space to help communities to thrive. I hope that he will look at the consultation and respond to it; that would be really helpful.
My Lords, I declare my interest, as recorded in register, as chair of the Cambridgeshire Development Forum. The Minister will be aware that Cambridgeshire may be an area of particular interest from the point of view of any new towns or development corporation statements. Although we may not be here to see it, it would be very helpful for us to have the opportunity to interact with Ministers on whatever announcement is made tomorrow.
From the point of view of Cambridgeshire, the Minister will recall that during the passage of the Levelling-up and Regeneration Act we talked about strategic planning. If the Government are not going to bring into force the joint strategic development strategy provisions of the levelling-up Act but are proposing a new strategic spatial development process, I think Cambridgeshire would be a very good place in which to test those arrangements—I hope the Minister might agree.
This is going to be a plan-led system, so making plans is very important, and I want to check one or two things about the new transitional arrangements. Can those who are making plans now and who have reached Regulation 19 for submission proceed on the basis of the old NPPF? Can those who have not reached that stage proceed as long as they can submit plans for examination by December 2026, but on the basis of the new NPPF? Others who cannot achieve that timetable will have to work to the new plan-making system, which is the one set out in the levelling-up Act. For clarity, I think that therefore means that the new plan-making system needs to be in place as soon as possible next year, and we need to see the regulations come forward for that. I also think it means that national development management policies, which the Government are planning to bring in, will have to be timed to coincide with the new plan-making system and—I hope this will be clear—not be applied to those making their plans and submitting them before December 2026 using the current NPPF. Otherwise, they will simply not make progress; they will wait for NDMPs, and I do not think we want them to be waiting for those.
I want to ask two other questions. The Statement does not refer to skills for construction, which are essential—we have to have the skills. We have to have the Construction Industry Training Board, and the others, making investments in the skills base to potentially build these homes, otherwise it simply will not be possible.
Finally, the budget of Homes England is important, but it is not the only mechanism for delivering affordable and social housing. About £4 billion a year comes from developer contributions; we need to see what the new landscape for developer contributions looks like after the reform of Section 106 and reform of the community infrastructure levy. I hope that the Minister will say that those too will come forward in short order.
I thank the noble Lord, Lord Lansley, for those points. There were several, but I will try to address them all. First, the new towns task force will work closely with local leaders and communities to make sure that we get the right homes in the right places. I am sorry to say that to the noble Baroness, Lady Thornhill, but it is important. It will work on identifying potential locations within the next 12 months and deliver those large-scale developments as quickly as possible—one hopes, with spades in the ground at some sites by the end of this Parliament. That was my point about new towns; I cannot yet say whether those involved will be looking at Cambridge, but no doubt your Lordships will hear about that in due course.
On the strategic planning issues, our intention is to implement the new plan making system set out in the Levelling-up and Regeneration Act from summer or autumn 2025. We anticipate that all current-system plans that are not subject to transitional arrangements will need to be submitted for examination under the existing 2004 Act system no later than December 2026. That, coupled with the transitional arrangements, represents a significant extension of the current system compared to previous proposals. In the transitional system, changes to the housing targets will depend on the stage of the plan. For those at the Regulation 19 stage, we will ask for the numbers to be reviewed. If you have already been through examination, the numbers will stand, but we will ask you to review your plan immediately with the new housing numbers included. Therefore, there are transitional arrangements and then further arrangements.