Budget Resolutions and Economic Situation

Debate between Lord Pickles and Robert Neill

Friday 20th March 2015 Commons Chamber

[Robert Neill (Bromley and Chislehurst) (Con)]

Would my right hon. Friend care to note that the London Land Commission, which he has delivered with the current Mayor, reflects the need to assemble and deliver building on brownfield land in London, which the Labour Mayor of London was talking about years ago but never delivered while he or a Labour Government were in charge of London?

[Mr Pickles]

I do not really understand why that was. Labour’s solution to this brings to mind their solution of garden cities. They promised five but could not deliver five, so they promised 10 and never delivered 10. The London Land Commission is indeed a good thing.

The resale of shared ownership properties will be streamlined, and will make it easier for tenants in the private rented sector to sublet or share space. We will also extend our support for home ownership, which has already helped more than 200,000 households to buy or reserve a home. Buying our first home appeals to the very British sense of aspiration and self-reliance. It is a reward for hard work and an investment in the future—a place to settle down and to raise a family. A new Help to Buy ISA will give a much needed boost to people saving to get on the housing ladder. The Government will contribute an additional 25% of their savings up to a total of £3,000. In other words, if someone saves £12,000, the Government will give them an extra £3,000, making £15,000 in total.

We will also help those who want to rent an affordable home. By 2010, the net loss of affordable rented housing under Labour had reached the astonishing figure of 420,000 homes. By contrast, this Government will be the first since the 1980s—[Interruption.] Opposition Members should listen to this, because it is important. This Government will be the first since the 1980s to end their term with a larger stock of affordable housing, and I think that is a remarkable achievement. Our affordable housing programme will achieve the fastest rate of affordable house building for 20 years and will deliver more than 500,000 new affordable homes by 2020.

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[Mr Pickles]

I am always happier when I am on the same page as my right hon. Friend, who was an immensely distinguished Minister in the Department for Communities and Local Government. He should take considerable credit for keeping us focused on affordable houses, and he should share in the triumph.

We are considering ways to deliver private rented accommodation for homeless families, so that councils can help those who are in most need, while reducing the reliance on expensive temporary and bed-and-breakfast accommodation.

This Government have put councils and communities back in charge of housing and planning. We have adopted the same approach to boosting economic growth. Local areas now have the breathing space and support they need to find their own economic solutions. We have ended the failed attempt by Labour to run the economy through regional quangos and have devolved powers and funding to enterprise zones and local enterprise partnerships. We have trusted local people, and they are now delivering jobs and growth in their communities.

Twenty-four enterprise zones across England have created a whopping 15,500 jobs, attracted more than 430 businesses, secured more than £2 billion of private sector investment and built world-class business facilities and transport links. These enterprise zones are gaining momentum as local centres of excellence—whether with biotechnology in Nottingham, advanced engineering in Lancashire, creative industries in Bristol or aerospace in Torquay.

We will now create two new enterprise zones at Plymouth and Blackpool, subject, of course, to business cases, and extend up to eight existing zones, so that more communities can benefit from these local engines for growth. We will also support the creation of a Croydon growth zone to create 4,000 homes and 10,000 jobs.

The message is clear: where cities grow their economies through local initiatives, we will support and reward them. Starting next month local authorities in Cambridgeshire and Greater Manchester will be able to retain 100% of any growth in business rates, so that they can support businesses and reap the benefits. Unlike what the Labour party is proposing, we are not raiding the budgets of local authorities to pay for this.

[Robert Neill]

May I particularly congratulate my right hon. Friend, because I honestly believe that this is one of the most significant steps towards devolution for local government that we have seen in 50 years? Will he confirm that the principle of 100% new business rate retention and the opportunity to pool health care funding will be available to other parts of the country if local authorities produce appropriate collaborative arrangements?

[Mr Pickles]

Absolutely. My hon. Friend was a distinguished Minister in my Department. Right from the very beginning, all this was envisaged under the Localism Act 2011. Rather than trying to move all local government at the same speed, we will of course devolve this power to those councils that are capable of managing larger budgets and delivering a deal. I envisage that within the next five years most local authorities will use such a system. For those that do not, the Prime Minister made it clear in a speech a couple of weeks ago that it will be our intention to get the retention up to 66%. I shall be disappointed if we cannot exceed that, but for most local authorities self-sufficiency and being able to raise their own finance locally and to spend Government money sensibly, and so on, is the future. I have great hopes for what is happening in Greater Manchester, and it shows that people of good will right across the political spectrum can work together.

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[Hilary Benn]

There is indeed the web, but the right hon. Gentleman will be well aware, having studied the market, that some companies make a special effort to market properties elsewhere and do not make a similar effort to market them in this country. He surely does not agree with that. Everyone in Britain should have the same right and opportunity, and companies should not make a deliberate effort to try to sell to people from other countries before those in London have a chance to access such properties.

[Robert Neill]

Given that this is a completely new policy that, as far as we can see, is being made up as we go along—

[Mr Pickles]

Changed.

[Robert Neill]

And it is being changed, so will the right hon. Gentleman tell us exactly what the policy is? What will the policy cost, how many bureaucrats will be needed to enforce it and what will be the impact on London as an international financial centre?

Rotherham Metropolitan Borough Council

Debate between Lord Pickles and Robert Neill

Wednesday 4th February 2015 Commons Chamber

[Mr Pickles]

I thank the right hon. Gentleman for the tone and the substance of his response. He is bang on the money. By their wilful blindness to address this issue and by their reluctance to tackle issues relating to people of Pakistani heritage, they just made it worse. The problems we are going to face over the next few weeks, with those who will seek to exploit this, were made worse. We want to make it absolutely clear that the House is determined to deal with the question of child sexual exploitation without fear or favour. I very much welcome that.

On looking for commissioners, I consulted the right hon. Gentleman when we faced another situation and I shall be consulting him on this. Of course, we need to make it clear in that consultation that I am not in any way prejudicing the decision on whether to take the necessary action. That has to be clear. The cabinet has now resigned, which I think was the sensible thing to do. I do not think we can take that as the formal response, but I look forward to hearing what Rotherham has to say.

With regard to Ofsted, Louise Casey spoke to my right hon. Friend the Secretary of State for Education, and arrangements have been made to talk further about the points raised by the right hon. Member for Leeds Central (Hilary Benn). The right hon. Gentleman had the opportunity to look at the report and will know that there are certain references to and worries with regard to the police force. Louise Casey has also spoken to the Home Secretary and we hope to make progress, but the right hon. Gentleman will understand that there are certain matters it would not be seemly to talk about on the Floor of the House.

I am keen to get democratic control back to Rotherham. It is my intention to try to roll those services back. Initially, I looked at taking limited ones, but having looked through the whole process it was clear that it just simply was not possible. I needed to take the whole lot and then roll them back as quickly and as expeditiously as possible.

I have been involved with local government for the best part of 40 years. This is heartbreaking. This is terrible. I used to lead a large council. I can see the hon. Member for Sheffield South East (Mr Betts) on the Opposition Benches—he used to lead a very large council. I used to be the chairman of a social services committee. I just cannot understand how people with responsibility, both officers and members, could ever, ever have allowed this to happen.

[Robert Neill (Bromley and Chislehurst) (Con)]

I share the sentiments expressed by the Secretary of State. For any of us who believe in local government, this is a tragedy. It is also, above all, a tragedy for the victims. I congratulate my right hon. Friend on the boldness of his measure. Can he, in taking the matter forward, ensure that the commissioners appointed have particular expertise in their ranks in relation not only to the child care issues that are so critical, but to proper corporate governance, proper employment procedures and proper understanding of electoral administration, all of which will be critical in the period going forward?

[Mr Pickles]

My hon. Friend’s advice is very sensible. I actually believe that this is now one of the plum jobs in local government. This is a chance to restore good quality local government. We shall be looking right across the piece for people with enormous experience. Rotherham deserves the absolute best. I can assure the House I am determined to get people of immense quality to bring about that necessary change.

London Borough of Tower Hamlets

Debate between Lord Pickles and Robert Neill

Tuesday 4th November 2014 Commons Chamber

[Mr Pickles]

On the latter point, I entirely agree with the hon. Gentleman, but the method of charging is laid down in the legislation, and it needs to be emphasised strongly that the amount PricewaterhouseCoopers charged would have been considerably less had the mayor decided to co-operate and not to obfuscate and delay. The only reason I did not make this statement in July is the delays by that administration. If the mayor would like to make a substantial contribution out of his own pocket to the report, that would seem to me to be a sensible thing to do.

[Robert Neill (Bromley and Chislehurst) (Con)]

My right hon. Friend will know that I recognise from personal experience that intervention of this kind is very seldom used and its significance is not to be understated, but will he accept from me, from the experience of when we worked together in Doncaster, that this is utterly justified in this case, and that cumulatively this well-balanced report from PricewaterhouseCoopers indicates an overall political culture that is worse than that discovered in the Doncaster case and that justifies the high level of intervention? Will he pay particular attention to the need to have strong commissioners with experience in electoral and administrative processes, because the lack of objectivity of former monitoring officers has been the subject of comment in the House before, and in Tower Hamlets opposition members, both Labour and Conservative, have in the past not had the protection from the statutory officers that they were entitled to when subject to personal—in the case of my friend Councillor Peter Golds, deliberate homophobic—abuse from supporters of the mayor? That cannot be accepted in a civilised country.

[Mr Pickles]

My hon. Friend was a very distinguished Minister in my Department, and he will know how long I agonised over the decision on Doncaster, because this kind of intervention goes against everything I believe in. I believe that local government is an independent entity and that is one of the strengths of our constitution, but there comes a point at which we need to ensure transparency, fairness and accountability, and it is certainly my hope that one of the commissioners will have extensive experience of practical election law and procedure, as that will strengthen that. It is also certainly my intention that Tower Hamlets will come out of this process much stronger.

Local Audit and Accountability Bill [Lords]

Debate between Lord Pickles and Robert Neill

Monday 28th October 2013 Commons Chamber

[Mr Pickles]

My right hon. Friend makes a reasonable point. The audit regime is just part of the process of transparency; the publication of amounts above £500 and the right to be able to see what the council is doing increase the opportunity for the taxpayer, the voter and the local press to investigate.

[Robert Neill (Bromley and Chislehurst) (Con)]

I entirely agree with my right hon. Friend’s observation about the great opportunities we are giving to the council tax payer. Does he also agree that the perverse consequence of the previous system was that council policies were often skewed towards obtaining the result required to get approval by the Audit Commission, rather than towards the priorities that the council tax payers would have wished for?

[Mr Pickles]

My hon. Friend makes a reasonable point. There was a box-ticking culture, and local authorities were often spending an enormous amount of time on increasing their scoring as opposed to delivering decent services for local people.

Protection remains in place for whistleblowers and to prevent Enron-style conflicts of interest. We need to remember that the Westminster homes scandal was uncovered not by the Audit Commission, but by an outsourced auditor from Touche Ross. There is no reason why private sector auditors cannot be independent and fiercely robust. Reserve intervention powers will remain to tackle systemic failures such as those at Doncaster, working with the local government sector, but they are the exception that proves the rule. There will be a continuing role for both Members of Parliament and Ministers to use their public voice to challenge local government when bad decisions are made—that is called democracy.

The second provision in this Bill will protect the local press from unfair local competition. Where local newspapers thrive, local democracy thrives. Local newspapers not only inform residents of what is going on, but play a vital role in exposing local waste, mistakes and corruption, and, thus, in holding councils to account. When councils put out their own glossy free sheets to compete with local newspapers, local democracy is the loser. Tackling that abuse was a key pledge in not just the coalition agreement, but the general election manifestos of both parties.

In 2011, Parliament previously strengthened the local government publicity code, but a small number of councils have intentionally ignored it, with Tower Hamlets being a case in point. Ofcom has found it guilty of breaching broadcast rules for political advertising, but no power exists to tackle its political propaganda sheet, and local auditors have recently refused to intervene. Such actions are not just a misuse of public funds; they are, ultimately, harmful to local democracy and the independence of the free press. They are also further evidence of a worrying pattern of divisive community politics and mismanagement of council staff and resources by the mayoral administration. So provisions in the Bill will ensure that we will act when Parliament is ignored. Yes, this is central intervention, but it is being done to protect the free press and deal with the serious abuse of power. Even in a localist system, there is a role for central Government to set an ethical framework and maintain checks and balances on local government to prevent corruption. Without such backstops, there would be a siren voice for a return to top-down inspections or to set up a quango such as the Audit Commission.

The third and final provision in the Bill will close a legal loophole and ensure that all councils’ bills will be set so that they are fully accountable to local taxpayers. Some unelected bodies are setting a levy on council tax bills with little or no accountability for local voters—from waste disposal authorities and integrated transport authorities to crematorium boards. We will ensure that the direct democracy provisions in the Localism Act 2011 allow council tax referendums to apply also to that quango state.

The Bill has already been scrutinised in the Lords, where the Government listened to a range of views and made a number of minor amendments. Subject to the will of the House, we intend to make the Bill even stronger. We will modernise the archaic rules on parish polls, for example by allowing longer voting hours and postal votes. Perhaps our most significant proposal is to give people the right to film, blog or tweet at council meetings. Some councils would prefer meetings to be held behind closed doors, but the public has the right to see decisions being taken and how the money is spent.

A private Member’s Bill promoted by Mrs Thatcher introduced the right to attend council meetings back in 1960, and that in turn built on a law introduced by the Liberal Government of 1908, so this is truly a coalition of minds. It is right that we should now bring her legacy up to date for the digital age. We have previously amended secondary legislation to open up councils’ executive meetings and have encouraged councils to open up their full council and committees. Many have refused, however, citing health and safety, data protection or just standing orders. Tower Hamlets said that such a change would lead to “reputational damage”. Well, yes, it probably will when people see what is going on in their council chambers. There have even been cases of the police being called to threaten bloggers with arrest. We will therefore make the necessary changes to primary legislation to allow full councils and committees to be open as well.

Our argument is that the coalition Government are scrapping the top-down red tape of Whitehall inspection and micro-management. That will save taxpayers’ money and help to devolve power, but it must go hand in hand with local transparency and accountability. We must ensure an independent free press and scrutinise and challenge bad decisions by councils. Individual taxpayers and the new wave of citizen journalists must be let in to conduct their own scrutiny. We are localising audit and scrapping protection, while ensuring that there is protection against the bad old days of municipal corruption. In short, the Bill will deliver greater openness, stronger local democracy, accountability and significant savings for the taxpayer. I commend it to the House.

Growth and Infrastructure Bill

Debate between Lord Pickles and Robert Neill

Tuesday 16th April 2013 Commons Chamber

[Mr Pickles]

This is a normal administrative process. I will check with my ministerial colleagues, but I believe a London borough—Barking, I think—is currently putting out a consultation with regard to article 4 and betting shops in the area.

There is a misunderstanding here. Where this measure relates to a sole property, we would expect notice to be served, but where it is served generally to an area, the normal process by which we inform the public about planning applications, decisions and appeals would apply.

[Robert Neill (Bromley and Chislehurst) (Con)]

I agree that to permit a local authority to opt out entirely from permitted development measures would be draconian, but does my right hon. Friend accept that there are underlying concerns that article 4 directions may not operate as well in practice as in theory? Is he therefore prepared to consider what further steps might be taken by his Department and local authorities to refine the way in which the article 4 system works?

[Mr Pickles]

Absolutely, and that is why we are looking towards Lord Taylor’s advice in respect of tweaking the article 4 process. It has undergone a number of changes. It changed under the last Government in 2008, and we made a change in 2010, so article 4 is not set in concrete—it is not buried under a back patio.

Oral Answers to Questions

Debate between Lord Pickles and Robert Neill

Monday 4th February 2013 Commons Chamber

[Mr Pickles]

It is entirely localised; it is a matter for local councils to determine.

[Robert Neill (Bromley and Chislehurst) (Con)]

Has my right hon. Friend seen the recent Ofcom report that criticises the London borough of Tower Hamlets for what is described as political advertising? Under those circumstances, will he revisit the strength and effectiveness of the local authority publicity code?

[Mr Pickles]

I was shocked to read that report and I am very unhappy with what is going on in the borough. I will look as a matter of urgency at putting the publicity code on to a statutory basis.

Local Government Finance

Debate between Lord Pickles and Robert Neill

Wednesday 19th December 2012 Commons Chamber

[Mr Pickles]

The hon. Lady makes an extraordinary point. Let us be absolutely clear: Liverpool receives the enormous amount of £2,836 per household and its cut is on the average. The hon. Lady has made a point that I have often heard in this Chamber, namely: why are other parts of the country not receiving a bigger cut? Let us put this in context. I have the figures for Liverpool. In terms of the old formula grant—the start-up funding allocation—Liverpool receives £386 million, Manchester £391 million, Birmingham £783 million. Windsor and Maidenhead, however, receives £28 million, Wokingham £31 million and West Oxfordshire £5 million. Essentially, the hon. Lady is asking those authorities, which already contribute to the national pool, to increase their council tax by somewhere in the region of 60%. That does not seem like a sensible thing to do.

[Robert Neill (Bromley and Chislehurst) (Con)]

Will my right hon. Friend, in due course, give the House further details of the efficiency support grant, which is a very welcome element of the statement? Will he confirm that it is a new initiative that, for the first time, will reward authorities that get on and do things, rather than subsidise those who sit back, carry on with the old ways and expect to be bailed out by central Government?

[Mr Pickles]

My hon. Friend will recall that that grant comes from the working neighbourhoods fund. When he and I were looking at that a couple of years ago, we found that the departing Labour Government had left no money to pay for it. We thought that that was completely unacceptable, so we created a transitional grant to help with the process. I am delighted to say that we are now down to about seven authorities that need such help. We are saying to those authorities, “You can’t expect the rest of local government to pay for you not doing the right thing. Provided that you give an undertaking that you will look towards better corporate government, joint working and getting your base down, we will give you the money next year, but if you haven’t made progress by the end of the year, you won’t get anything the following year.” It is completely unfair for local government to subsidise people who are being inefficient.