Public Bodies Bill [Lords]

Debate between Lord Maude of Horsham and Andrew George

Tuesday 25th October 2011 Commons Chamber

[Mr Maude]

I hear what the right hon. Gentleman says, and I know that he has been hugely involved in the matter and has a passionate commitment to the cause of youth justice being delivered appropriately. I obviously take on board what he says, and my right hon. and hon. Friends have said both in Committee and in the House that we will keep the matter under review. Under the procedures in the Bill, before an order gives effect to the arrangements for bringing the YJB inside the Ministry of Justice, as is envisaged, there will have to be a proper consultation process and parliamentary scrutiny. That applies right across the piece to any changes that are implemented under the Bill. There will have to be full consultation and a proper parliamentary process.

It is important to put on the statute book, as I hope will happen under the Bill, a procedure for changing the arrangements for public bodies. In the past it has been far too easy for public bodies to be casually, almost incontinently created, and it has never been easy for them to be reformed when needs have changed. Anyone who has been in government knows the pressure that there is on primary legislation, and the need to make changes to the governance, funding arrangements and scope of public bodies cannot easily rise to the top of the pile. The procedure that we are putting in place for public bodies to be reformed, abolished or merged or to have their governance or funding arrangements changed is therefore really important, and I am grateful for the constructive approach that has been applied to the Bill.

Commitment to reforming the quango state is common across the political divide. All three parties entered the last election with a commitment to reforming the public body landscape, so we brought forward the Bill in the hope and expectation that there would be a consensual approach to it. Although there have been disagreements about some aspects of it—it was never likely that there would be absolute unanimity about every body for which changes were proposed—the approach has broadly been constructive. There has been agreement that the approach taken in the Bill is desirable.

Thus it was that last June, I told the House that we were committed to cutting the number of public bodies in order to increase accountability and cut costs. We always made it clear that the primary objective of the Bill was the former. Cutting costs would certainly happen, and I will say a word about the savings later, but the primary objective was to ensure that there was democratic accountability, unless the three tests that we set out for a body or function continuing in a way that was not democratically accountable were met.

The review that we carried out first established whether the functions of a body needed to be carried out at all. If so, we sought to establish whether the body should exist at arm’s length from government by asking three questions: first, does it perform a strictly technical function; secondly, do its activities require clear political impartiality; and thirdly, does it need to act independently to establish or measure facts in a clear and independent way?

We discovered that there were 904 non-departmental public bodies, non-ministerial departments and public corporations. We proposed that in excess of 200 would cease to be public bodies; that 120 would be merged into 56 bodies; and that 170 would be substantially reformed. In addition, we listed 15 as “under consideration” with further announcements expected in due course.

The Bill establishes a mechanism that gives Ministers a series of powers, which it outlines, to make changes through secondary legislation. As I have said, if we had always to wait for an opportunity to make primary legislation, we would continue inevitably to add to the landscape of unaccountable, and often very costly and not always very efficient, public bodies.

[Andrew George]

The Minister said that he did not expect absolute agreement in every case that is identified in the Bill, which was iterated both in Committee and particularly on Report. Will he reassure the House that he will give special consideration to the cases, including the Agricultural Wages Board, that were highlighted on Report, and to the need for rural proofing within the Government?

[Mr Maude]

I hear what my hon. Friend says, and he will have heard what my right hon. Friend the Minister of State for the Department for Environment, Food and Rural Affairs said on the matter. The benefit of the process of parliamentary scrutiny is that particular concerns are evinced so that we can respond. However, I stress that any changes carried into effect under the provisions of the Bill will require the introduction of an order and consultation. We accepted amendments in the other place that allow an enhanced affirmative procedure, so that there is proper consultation. Either House can require that enhanced procedure to be put into effect, so there can be full scrutiny and further discussion. Nothing in the Bill allows precipitate action, but none the less, the Bill allows decisive action, so that we do not have to wait for the roulette wheel to come round to enable primary legislation to be amended.

Public Bodies Bill [Lords]

Debate between Lord Maude of Horsham and Andrew George

Tuesday 12th July 2011 Commons Chamber

[Mr Maude]

I justify it on the basis that the Government of the hon. Lady’s party introduced a minimum wage, which was voted through by the House. The Agricultural Wages Board was introduced at a time when there was no national minimum wage. It now exists, and we take the view that an independent body with the AWB’s powers no longer needs to exist.

[Andrew George (St Ives) (LD)]

The point about the Agricultural Wages Board is not just that it pins down a minimum wage for agricultural workers but that there are six scales of pay and other protections for those workers, who have a very weak voice in the labour market. The Minister talks about transparency, but the rural voice will be lost unless transparent decisions are made in the Chamber about each of the bodies involved, including the Rural Advocate, who speaks up on behalf of the most vulnerable in rural communities.

[Mr Maude]

On the hon. Gentleman’s point about the Rural Advocate, it seems to me that rural areas are very well represented in this House. It seems odd that a separate body should be created to be a rural advocate, because it seems to me that it is the duty of Members of Parliament to be the advocate for their constituents. There are many very effective advocates of rural residents and constituents.

The Department for Environment, Food and Rural Affairs proposes to consult on the AWB in the autumn. It will be part of a wider consultation package on the future of the agricultural wages committees and the agricultural dwelling house advisory committees.