Levelling-up and Regeneration Bill

Debate between Lord Lansley and Lord Carrington

Committee stage
Thursday 18th May 2023 Lords Chamber

[Lord Carrington (CB)]

Citizens Advice and others have pointed to provision of rural housing being a growing problem and a significant barrier to the rural economy, as the average house price can be up to 10% of average earnings, compared with 7.4% in urban areas, excluding London.

Navigating the planning system has always been a problem in rural areas, and larger building providers have been the most successful. CPRE, the countryside charity, has pointed out that successful housing applications tended to be in a very narrow segment of the market—the upper to middle end, which does not favour renters, first-time buyers and affordable housing.

The Government are prioritising the development of brownfield sites, which is certainly laudable, but 87% of these are in urban areas and often in the south-east. However, the economic impact of small developments and, in particular, affordable housing in rural communities can make a huge difference in supporting businesses and communities in terms of employment and other activities. It would also assist with the growing problem of rural homelessness, as identified by Shelter and other charities.

These amendments make strategic housing and market assessments of affordable housing compulsory, and influencing the rate of the infrastructure levy would be of great benefit to the sensible provision of affordable housing in rural areas.

[Lord Lansley (Con)]

I want briefly to refer to the clause stand part notice tabled by my noble friend Lord Young of Cookham and I for a probing purpose. Clause 126 has the effect of retaining the community infrastructure levy in London and Wales, but I will not talk about Wales. We are leaving Wales out of it for these purposes. The clause retains the community infrastructure levy in London, alongside the introduction of the infrastructure levy. I understand that that is essentially because the mayoral CIL has been used for the provision of Crossrail and is expected to do so for years to come.

However, it has raised in our minds a question to ask my noble friend the Minister about whether the community infrastructure levy, which of course does not provide for affordable housing, can live alongside the infrastructure levy for a number of years. The technical consultation, which is to be concluded on 9 June, does not explain how the respective contributions are to be assessed in a combined fashion because they apply to different parameters of the development. That leads to the assumption that with a 10-year transition we are looking at many places across the country with a combination of community infrastructure levy obligations that have arisen in relation to developments over a number of years and past developments, alongside the introduction of the infrastructure levy. The technical consultation, to my reading, does not help us understand how these two things are going to be meshed together. Of course, many noble Lords tabled their amendments in this group before the technical consultation was published. It answers some of the questions, but not all of them, and I think this is one question that it does not quite answer.

Another question occurred to me while reading the technical consultation in relation to affordable housing. It does not yet provide certainty about whether contributions under the infrastructure levy may be regarded as an improvement on the situation where developers are able to negotiate or renegotiate their liabilities under Section 106. Developers are not engaging in negotiations simply because they can and therefore they do and local authorities do not give way simply because they ask for it. Circumstances change.

I am always burned by the fact of the October 2008 crash. In the space, literally, of weeks, the economic viability of many large-scale development projects changed dramatically. If you look at any system, including this system, and it cannot meet the test of what you would do under those circumstances, I am afraid it does not help. Renegotiation of the contributions is one solution. It might be said that if the market price and the gross development value of a large site crash in the way they did in October 2008, the infrastructure levy crashes as well. The problem then is: how is the affordable housing going to be funded? How is the other infrastructure to be funded?

I do not have answers to all these things, but my noble friend and I will perhaps have an opportunity in the next group to talk a bit more substantively about the infrastructure levy and what we might do about it, but that does not answer the question. If affordable housing presently often suffers by being a residual after other Section 106 obligations have been met, and if under the infrastructure levy it becomes, in effect, a right to require and it is elevated above other requirements, there will be a great deal of difficulty in local communities about the fact that there are many other obligations that the infrastructure levy has to meet that may not be able to be met if the gross development value comes down or if, for example, the affordable housing right to require and the tenures that have to be provided lead to a much higher cumulative discount needing to be paid. We have to have some flexibility built into the system, and the risk at the moment is that that is not presently available in the way that we have understood it in the past. We can strengthen local authorities, and in the next group I hope we can talk about how that might be possible.

Agriculture Bill

Debate between Lord Lansley and Lord Carrington

Consideration of Commons amendments & Ping Pong (Hansard) & Ping Pong (Hansard): House of Lords
Tuesday 20th October 2020 Lords Chamber

[Lord Carrington (CB)]

My Lords, I declare once again my farming interests, as set out in the register. I am extremely pleased to be able to support Amendment 18B, proposed by the noble Lord, Lord Curry. As we all know, the amendment has widespread support in this House and nationally, and, as it has returned in a slightly different format, it can be discussed accordingly.

I will make two very short points. I understand why the Government do not want to see their hands tied by a specific standards clause, as it would be wrong for trade deals to fail if one sector alone, accounting for a small proportion of GDP, has an implied veto. This amendment is a very sensible compromise, in that it enables a committee of experts to report to Parliament before a deal is signed, and then the pros and cons can be decided.

Secondly, other countries, notably the United States of America, have independent trade commissions that report to their assemblies, so no precedent is being set.

[Lord Lansley (Con)]

My Lords, first, I apologise for intervening on our consideration of the Agriculture Bill at this stage, having played no part whatever in any previous consideration of it. But I intervene today because I have played a part in the consideration at every stage of the Trade Bill—and, indeed, the previous Trade Bill, in the last Session. So I come as an emissary from the Trade Bill discussions.

Before I come to Amendment 16B, I will just say to my noble friend the Duke of Wellington that I have sat in a Reasons Committee in the House of Commons, and when such a committee is presented with a Lords amendment that breaches financial privilege, custom and the Standing Orders effectively require that it presents just that one reason. So he should attach no weight to the fact that no other reasons were presented. That is the form of how it is done.

On Amendment 16B, I start from the same place as my noble friend. We have a manifesto that commits us to the highest standards of environmental protection, animal welfare and food standards. However, I do not agree with her that we require Amendment 16B in order for this to happen.

I am a member of the EU International Agreements Sub-Committee of your Lordships’ House. We are looking at the trade agreements as they come through. At the moment we have only the Japan agreement to look at as a new, as opposed to a rollover, agreement. Of course, these issues have not arisen with the rollover agreements. The Japan agreement would be covered by this amendment, because it relates to agriculture and food—there are provisions relating to tariff changes and so on. Are we really suggesting, as a consequence of this amendment, that the British Government will now not enter into a trade deal with Japan on the grounds that the Japanese Government will not—I am sure that they will not—accept that UK standards should be applied in Japan? Their view may well be that their standards are equivalent, but they will not sign an agreement that says that they are committed to that.