Planning and Infrastructure Bill

Lord Ravensdale Excerpts

Committee stage
Thursday 17th July 2025 Lords Chamber

[Lord Banner (Con)]

I tried with my proportionality clause, which we will come to later in the proceedings. That is the best I can do so far; I am toying with tweaking it so that if it were to find its way on to the statute book, the Secretary of State would have the ability to publish statutory guidance on how to give effect to it. But, to echo what the noble Lord said before, if proportionality was spelled out in neon lights in legislation, it would send a message to everybody—consultees, consultants, applicants, decision-makers, the courts and the public—that less can be more. To my mind, that is a fundamental way of furthering the objectives of the Bill.

[Lord Ravensdale (CB)]

My Lords, I declare my interest as a chief engineer working for AtkinsRéalis.

I support what the noble Baroness, Lady Pinnock, and the noble Lord, Lord Hunt, have set out around the purposes of the Bill, and in particular what the noble Lord, Lord Hunt, said about putting growth front and centre.

It is important to set out a bit of broader context here, because this goes all the way back to 2008. In the decades before 2008, we had that consistent 2.3% labour productivity growth over many years, but since then, that productivity growth has fallen off a cliff, with only around 0.5% per annum growth since then. That then feeds through into flat real wages. Again, there was a 2% growth in real wages for decades, but they have been flat since 2008, which has led to all those problems with debt, tax take, the NHS, and even the political problems—the frustrations of those who have been left behind.

Of course, growth is a complex picture, as are the reasons behind that slowdown in growth, but our inability to build enough productive infrastructure to invest in that is very high up on that list, whether that is new infrastructure to bring down the price of electricity; new transport infrastructure, with all the agglomeration benefits that come with that; or new digital infrastructure.

We can contrast what is going on elsewhere in the world—to expand on what the noble Lord, Lord Hunt, said—with electricity. China has gone from 6,000 to 10,000 terawatt hours of electricity generation in the past 10 years, whereas our electricity generation has been flat or even declining slightly, at only around 300 terawatt hours. That of course has many other implications: the cost of our electricity, which is around four times that of the United States; the knock-on effects of that to inward investment; and circling back to growth as well. Even if we look at the Government’s targets, such as the 2030 target for clean electricity generation, the amount of electricity infrastructure that we need to build to hit that target is far below what we need to hit to get to 2030, and of course that will have effects on net zero and on energy security as well.

The planning system is at the heart of this, with the key issues of judicial review and environmental regulation, which are being addressed to some extent in the Bill. But, circling back to growth, that needs to be front and centre. It is vital that the Bill delivers for critical infrastructure as well as houses, so that purpose clause which sets that out front and centre in the Bill is vital, with all the benefits it will bring for net zero, the environment, and energy security, and resolving those broader issues of net debt, government spending and quality of life.

[Baroness Neville-Rolfe (Con)]

My Lords, I will speak to Amendment 1 in the name of the noble Baroness, Lady Pinnock, and I thank her for explaining the basis of her approach so clearly. I was not able to speak at Second Reading but I have an interest in planning, going back to the 1980s, both in government and in business, and one of my most rewarding experiences was as chair of the Built Environment Committee before I joined the Front Bench.

I am not sure it is strictly relevant, but I am the joint owner with my brother and sister of a cottage and a couple of fields in agricultural use in an AONB in Wiltshire, this is declared in the register.

Planning and Infrastructure Bill

Lord Ravensdale Excerpts

Committee stage
Thursday 17th July 2025 Lords Chamber

That is why I am concerned that the amount of parliamentary scrutiny is being reduced. I want to make sure that both Houses have as much information as would be given to somebody putting in a pre-action protocol letter in order to make sure that we can continue to scrutinise. I commend my amendments to the Committee.

[Lord Ravensdale (CB)]

My Lords, I support Amendment 8, in the name of the noble Lord, Lord Hunt of Kings Heath, to which I have added my name. I emphasise the points he made, in that I think the biggest risk with this Bill is that it will not deliver for large infrastructure, in the sense that it will not address the concerns around environmental regulation.

Part 3 is very well set up for housebuilding, but if we look at the high-profile issues with environmental regulation that we have seen with some of our large projects, such as the HS2 bat tunnel or the acoustic fish deterrent—the fish disco, as it is called—we find that those were all habitats issues that were uncovered when the developers started to assess the site and figure out how they were going to operate their specific piece of infrastructure. Those are not the kind of things that would have been addressed through the proposed environmental delivery plan mechanism or the nature restoration fund. It simply does not match up with the timescales of how the EDP process would work. That is something that we will come back to later in Committee.

However, there are some welcome things that the Government are looking at, and I welcome the amendment from the Government to remove the statutory requirement for a pre-application process on NSIPs. What the noble Lord, Lord Hunt, has proposed sits alongside that really well, in setting out maximum deadlines and no-response provisions. This measure would be helpful to emphasise that and help speed large infrastructure through the system by making it a statutory requirement.

[Lord Jamieson (Con)]

My Lords, I thank the noble Lord, Lord Hunt of Kings Heath, for leading this group on national policy and for his advocation for speed and simplicity, taking away two of the points that I was about to make. This goes to the heart of what our planning system needs to have: clarity and speed. Policy needs to be clear and consistently implemented, so that developers, planners and local councils understand what is required and how decisions will be made in a way that reduces risk and cost to all parties, while being clear and transparent to the public.

On timeliness, projects need to move through the system efficiently and effectively so that they are delivered on time and to avoid unnecessary, costly delays. How does the Minister intend to provide further detail about the review of national policy statements and ensure that clarity, consistency and timeliness are truly embedded in that process?

Amendment 9, to which I have added my name, seeks to probe the meaning of “exceptional circumstances” in the context of reviewing or amending national policy. Its aim is to clarify the intent behind the term, while still ensuring that Ministers retain the flexibility that they need for genuine national emergencies. My concern is that an amendment to the national policy statement, as required by new subsection (5A), could be delayed if the threshold for what constitutes “exceptional circumstances” is vague. I would be grateful if the Minister could set out what she considers would fall within the scope of that phrase and whether the current wording risks introducing unnecessary uncertainty or even a shift in overall approach.

We need to strike a careful balance, avoiding the risk of judicial review while maintaining sufficient ministerial flexibility in genuine emergencies. Governments must be able to act swiftly when needed yet, if a decision is justified solely on the basis of exceptional circumstances, it becomes difficult to test or challenge that rationale. Courts often defer to such open-ended terms, which can weaken accountability, and your Lordships’ House may find it difficult to challenge the use of powers in this area. I would welcome reassurance from the Minister that the wording achieves the right balance.

Finally, I thank my noble friend Lady Coffey for her carefully considered and valuable contribution to this group. Her insight and experience will be vital in improving this Bill. In particular, I highlight Amendment 13 tabled by my noble friend. This amendment is vital, because it would preserve parliamentary accountability by requiring the Government to formally respond to any resolutions or recommendations from Select Committees. That, in turn, would help to clarify policy direction early, reduce uncertainty for developers and ensure timely engagement with concerns before they can cause delay. Stronger scrutiny at this stage can help catch potential issues before they escalate.

I also thank other noble Lords who have spoken in this debate—the noble Lords, Lord Hunt of Kings Heath, Lord Mawson and Lord Ravensdale—in particular on the continuing issue of EDPs and their fitness for purpose, and the role of Natural England, which is something that I am sure we will come back to again and, possibly, again.

The amendments we have just discussed are small but significant measures. I hope that the Minister can provide your Lordships with the answers to these questions and engage the knowledge the Committee brings to ensure that we get this right.

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Moved by

[Lord Ravensdale]

46: After Clause 9, insert the following new Clause—
“Applications for development consent: low carbon energy infrastructureAfter section 35A in the Planning Act 2008 (timetable for deciding request for direction under section 35) insert—“35B Representations by relevant authorities, net zero and sustainable development(1) In relation to relevant nationally significant infrastructure projects, relevant authorities should have special regard to the matters in subsection (5) when carrying out the activities in subsection (6).(2) The relevant nationally significant infrastructure projects are —(a) the construction or extension of a generating station within the meaning of section 14(1)(a) for the purpose of low carbon electricity generation, or(b) the installation of an electric line above ground within the meaning of section 14(1)(b) for the conveyance of electricity generated by a station in subsection (a).(3) For the purposes of subsection (2)(b) it does not matter whether the electric line is also used or intended for use in connection with the conveyance of electricity generated from other sources.(4) The relevant authorities are—(a) the conservation bodies in section 32 of the Natural Environment and Rural Communities Act 2006 (UK conservation bodies),(b) the Environment Agency, and(c) such other bodies as may be prescribed in regulation by the Secretary of State.(5) The matters referred to in subsection (1) are the need to contribute towards—(a) achieving compliance by the Secretary of State with part 1 of the Climate Change Act 2008 (Carbon target and budgeting),(b) the achievement of biodiversity targets under sections 1 to 3 of the Environment Act 2021,(c) adapting to any current or predicted impacts of climate change identified in the most recent report under section 56 of the Climate Change Act 2008, and(d) achieving sustainable development.(6) The activities referred to in subsection (1) are any representations under Part 5 and Part 6. (7) In discharging their duty under subsection (1), the relevant authorities must have regard to any guidance given from time to time by Secretary of State.(8) In this section “low carbon electricity generation” has the meaning given in section 6(3) of the Energy Act 2013.””

[Lord Ravensdale (CB)]

My Lords, I remind noble Lords of my interests as a chief engineer working for AtkinsRéalis, director of Peers for the Planet, and co-chair of Legislators for Nuclear.

We have had a number of discussions already in earlier groups about the tensions that potentially exist between competing objectives, such as growth, nature and net zero, and the issues with the regulators and the precautionary principle when it comes to large infrastructure. This has resulted in a regulatory system that is stopping large energy infrastructure being built—solar farms, wind farms, nuclear power stations—and is therefore destructive to our environment, not to mention the growth agenda.

Some of the well-known examples, such as bat tunnels and acoustic fish deterrents, have already come up in previous groups, but a lesser-known example is a worm called Sabellaria that builds and lives in tubes on the seabed—I hope noble Lords will bear with me for a minute. This information is courtesy of Catherine Howard, partner at HSF Kramer. For offshore wind projects, the conservation body advised compensation for impact to Sabellaria when placing rock on the seabed, even in areas where Sabellaria is not present—I repeat, even in areas where it is not present. That resulted in a two-year delay to offshore wind farms, including the trio of Norfolk offshore wind projects: Norfolk Vanguard East, Norfolk Vanguard West and Norfolk Boreas. These projects, consented to in 2021-2022 by Vattenfall and since sold to RWE, have been delayed by approximately two years due to the inability to satisfy seabed compensation requirements. This is holding up infrastructure that is a top priority for net zero and energy security for the UK.

Examples such as this are commonplace across our infrastructure, adding billions in cost and years in delay. The noble Lord, Lord Hunt of Kings Heath, mentioned the 44,000 pages of the Sizewell C environmental assessment: a stack of paper 5 metres high—taller than a double-decker bus. The planning application for the Lower Thames Crossing was 359,000 pages—if all that was laid end to end it would total 61 miles, five times the length of the crossing itself.

Part of the solution here comes later in the Bill, in Part 3. A really important piece of the puzzle is the regulators themselves and how they are set up. My Amendment 46 in effect would put duties on the relevant regulators, with a scope limited to electricity generation projects, to take account of the benefits as well as the local environmental impacts of projects. By putting a net-zero duty on the Environment Agency and the statutory nature conservation bodies, the regulators would be directed to consider the broader benefits of electrical generation infrastructure and balance these with the local environmental impacts. It is really that macro versus micro view.

At the moment, the regulators are concerned purely with the local environmental impact of a particular piece of infrastructure, not with the potential macro benefits that the piece of infrastructure may bring. There could be a number of different duties to consider here—for example, energy security—but a net-zero duty is easiest to define for coherence with government targets.

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[Lord Berkeley (Lab)]

My Lords, the amendment from the noble Lord, Lord Ravensdale, is a very good amendment, but it refers only to low-carbon energy infrastructure. Of course, he is an expert in that, and that is fine. The comments made by him, my noble friend Lord Hunt and the noble Baroness, Lady Bennett, referred to a much wider subject: are regulators a good thing or not and are we controlling them? To say that we want to make changes to the regulations on low-carbon energy infrastructure without looking at others means we are missing something. We have big problems with many regulators, but it should be a consistent policy. It needs to be done on a much more scientific and level playing field rather than it being just something which relates to whether we think what they are doing is a good thing or a bad thing. I do not think that is the right way to look forward. Maybe when the noble Lord comes to wind up, he can explain why the amendment refers just to low-carbon energy infrastructure.

[Lord Ravensdale (CB)]

Perhaps I may answer the noble Lord now. I thank him for his comments. He is absolutely right that there is a broader point here, but the amendment took into account the scope limitations of the Bill, which is why we raised it in that way. He is right that there is a broader point on regulators, but that would take it outside the scope of this legislation.

[Baroness Pinnock (LD)]

My Lords, these have been two very interesting amendments to think about. The noble Lord, Lord Ravensdale, quite rightly points to the fact that there are significant delays in wind farms in the North Sea because of demands by regulators in relation to Sabellaria. There is the tension that we started this Committee day with, which is if, as a country or as a world, we do not go down the net-zero route, there will not be nature to protect, because most of Norfolk and Suffolk will disappear under the waves of the North Sea. There has to be some balancing act between retention and restoration of nature, and not wilful destruction of it, but at the same time enabling the move towards net zero that we must do at speed. I am glad I am not in a ministerial position where I have got to do that balancing act, but that has to happen. We will not please everybody; that is also true.

The other issue that has come into this debate is, as the noble Lord, Lord Hunt, put it—I think I quote him correctly—“the egregious behaviour of regulators”. But it is this Parliament that provides the duties for regulators. A Parliament some time ago demanded that regulators look after the marine environment—or Natural England and all the rest of it.

It is about trying to pull all the moving parts together and understanding where we have to do the trade-offs. I have great sympathy with the amendment in the name of the noble Lord, Lord Ravensdale, but also with the emphasis on the importance of continuing to protect and preserve nature. That is what the Bill ought to be able to do, but I am not sure that it does—in fact, at the moment, I am convinced that it does not. I hope that by continual discussion we will find a route through if the Government are willing to listen.

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[Baroness Taylor of Stevenage (Lab)]

I apologise. I took the liberty of popping out of the Chamber for five minutes. We will reply on that.

Amendment 46A, tabled by the noble Baroness, Lady Coffey, and supported by the noble Baroness, Lady Bennett, seeks to ensure that when determining whether planning consent should be granted for a nationally significant infrastructure project, the Secretary of State must take into account any environmental delivery plan applying to the land that will be developed. The Committee will be scrutinising Part 3 of the Bill in a later sitting. I look forward to that, but I am happy to speak to this amendment today.

The Planning and Infrastructure Bill creates a new type of plan: an environmental delivery plan—EDP. Within an area defined in an EDP, Natural England will identify the impact that relevant development is expected to have on a defined environmental feature or features. These can be features of protected sites or a protected species. Natural England will then set out a package of conservation measures that will outweigh the impacts of the development on the relevant environmental feature.

This process for developing EDPs and the wider set of safeguards across the NRF will be subject to further discussion under Part 3. However, in respect of this amendment, the crucial point is that once an EDP is approved by the Secretary of State that covers development of the type in question and in the location in question, developers will be able to make a payment through the nature restoration levy, which would discharge the relevant environmental obligation being addressed through the EDP. Where a developer chooses not to utilise an EDP, they will need to address these environmental obligations under the existing system. As a decision for the developer, it would not be necessary to require the Secretary of State, when considering a development consent order, to have regard to an EDP that the developer might choose not to use. In these circumstances, the decision would need to consider whether the application was in line with existing environmental obligations.

Further to this, mandating that the Secretary of State takes account of an EDP removes flexibility for the developer on how to discharge environmental obligations. This could impact on the viability of a scheme and would undermine the Government’s commitment to decide 150 infrastructure planning consents during this Parliament, as well as wider growth objectives. I appreciate that there are still some questions in there about how EDPs will work, but that is not the subject of today’s discussion—we will cover that under Part 3.

Furthermore, while the content of an EDP is not intended to be relevant to the planning merits of a determination, if the Secretary of State determines that an applicable EDP is material, they can have regard to it. That is already the case: under Section 104(2)(d) of the Planning Act 2008, the Secretary of State must have regard to any other matters which they think are both important and relevant to their decision. This could include any relevant EDP. I hope that that reassures the noble Baroness, Lady Coffey.

[Lord Ravensdale (CB)]

My Lords, I thank the Minister very much for that response. I will address some of the questions that noble Lords raised. I take the point made by the noble Lord, Lord Jameson, about sustainable development, but he mentioned the specific list of bodies. When we started out with this amendment, we had a long list of bodies and agencies that would be considered within the amendment, but we were informed by the Public Bill Office that that would present hybridity concerns, which is why we limited it to the subset that noble Lords can see in the amendment today. The reason we have gone with those is that most of the issues we have had with regulation of large infrastructure have been to do with the Environment Agency and the statutory nature of conservation bodies, but we have given that power for other bodies to be prescribed in regulations by the Secretary of State.

As I said, I thank the Minister. I am very encouraged by what she said. I note that she talked about the strategic priority statements in terms of duties on regulators, but I would note the strength of a statutory duty, which I think is quite important here in pinning down the objectives of regulators. There will be a lot of benefit in doing that within statutes. I look forward to seeing that in further detail, and I would welcome further engagement with the Minister on this point between now and Report. But, for now, I beg leave to withdraw my amendment.

Amendment 46 withdrawn.

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[Lord Banner (Con)]

My Lords, it will probably already be apparent that in many respects the noble Lord, Lord Hunt, and I are in agreement about how the Bill can be made more effective, but on this group we are not yet quite aligned. I have a lot of sympathy with the intention behind Amendments 52 and 65 in particular, and I have immense respect for those behind the drafting. I myself wanted to go further when I was undertaking the review of legal challenges to M6, and I think it is important that I explain why I felt I could not, while I still need some convincing that it would be possible or sensible to go further.

When I did the review, I concluded that the evidence demonstrated that the overwhelming majority of judicial reviews of the M6 failed. It follows from this that the problem is not with the law, nor is it about “activist judges”, the term often used by some people about judges. It is about the time it takes for bad JRs to meet their doom. That is the problem, and to my mind the remedy for it is to shorten the judicial review process as much as possible. That is what my recommendations focused on, and I am told that Clause 12 in conjunction with the CPR changes—I have not been checking my emails so I still have not seen them—gives effect to those recommendations. That is what the changes would do.

To my mind, therefore, removing judicial review altogether, as things currently stand, would not achieve much more than a truncated JR process. For the really big stuff, the Heathrows and HS2s of this world, the system already allows for the JR process to be fast-tracked. The HS2 and Heathrow cases, both of which I was involved in, went from ground zero to the Supreme Court far quicker than normal cases—not much more than a year, in the HS2 case in particular.

The question then is: what are the downsides of going further, and does the relatively marginal benefit outweigh those downsides? In my view, the answer is no. There is a difficulty with ousters, whether done expressly through an ouster clause, which hardly ever works, or done in a more intelligent fashion than an express ouster, as the amendment from the noble Lord, Lord Hunt, does, essentially asking Parliament to endorse a DCO and thus giving it the benefit of parliamentary sovereignty. Most DCOs involve the compulsory purchase of land and/or the acquisition of individual rights. There is a real danger, if that approach is undertaken, that there will come a point—whether because someone was denied a hearing because there was a mistake or because someone involved in the decision-making process inadvertently failed to disclose an interest—where something goes wrong in a CPO context. A person whose land, maybe their home, is to be acquired—or there is to be some other fundamental interference with their rights—is, it is said, denied any possibility of correcting an obvious legal error.

In that scenario, there is a real danger that the untested working assumption that Parliament is sovereign—for there is no written tablet of stone saying that the Supreme Court cannot quash legislation—will be tested, and we will not get the right answer. Pandora’s box would be opened and the Supreme Court would quash the legislation in question, and once opened you would never be able to put it back in the box. The lessons from the USA Supreme Court tell us that it would not stop there. This building would no longer be the most important on Parliament Square; it would be the Supreme Court building. That would clearly be a fundamental constitutional change, and most people would regard it as unwelcome to our democracy.

I also have a degree of discomfort about what is fundamentally an executive process being essentially laundered by Parliament, as opposed to it being a legislative process from start to finish, as the HS2 and Crossrail hybrid Bill processes were. I do not want to rain on the noble Lord’s parade, and that of those behind this. As I said, I see a lot of merit in trying to go further, but once you realise that the adverse delaying effects of JR can be cut down very substantially, the question is: does going further risk the constitutional crisis that it may very well facilitate, bearing in mind the very severe consequences and implications of that?

On Amendment 47, I recommended that the single shot for cases totally without merit be an oral hearing—as opposed to a written procedure, which is what Amendment 47 covers—because we are dealing with something that interferes with people’s property rights and can take away someone’s home. To my mind, given that degree of interference in fundamental rights, the individuals in question ought to have the right to at least one hearing, even if it is a 30-minute JR permission hearing that declares a case to be totally without merit. There ought to be at least one day in court—otherwise, fundamental constitutional principles and the legitimacy of the process could be undermined. There is no doubt that we need to sharpen up planning and infrastructure, but, if at all humanly possible, we need to do it in a way that carries people with us as opposed to alienating people; that is the way to make the system work.

I am yet to be convinced, but I am willing to be convinced. Ultimately, it is not me that the noble Lord needs to convince but the Minister and her colleagues. For the reasons I have given, I have a degree of nervousness about these amendments.

[Lord Ravensdale (CB)]

My Lords, I do not have a huge amount to add to the comprehensive introduction provided by the noble Lord, Lord Hunt of Kings Heath, but I want to pick up on a few things related to the nuclear industry.

The noble Lord, Lord Hunt, mentioned the eight years from application to consent for Sizewell C. The Government, of course, have big ambitions for the nuclear rollout. Tomorrow I am chairing a board meeting of Midlands Nuclear—a partnership organisation for nuclear across the Midlands region. We are looking at where we can site nuclear power stations within the Midlands, and at small modular reactors and advanced reactors, all in coherence with the Government’s plans through EN-7—the new national policy statement for a more flexible siting approach for nuclear.

There are big ambitions for nuclear and for the industry, but, given the experience we have had with Hinkley, Sizewell and other large infrastructure, we have to be radical. We have to think of new ideas that are going to help speed infrastructure through the system. That is why the Government should take these suggestions from the noble Lord, Hunt of Kings Heath, very seriously. I note that a lot of the principles in Amendment 52—the noble Lord mentioned the tried and tested process within that—and Amendment 65 are similar to those in a law that is being rolled out in Canada. The Government should consider these amendments very seriously.

[Baroness Coffey (Con)]

My Lords, I was astonished when I saw Amendment 52, but I will start briefly with Amendment 47. As my noble friend Lord Banner pointed out, this is just about being fair to people. As has been mentioned, effectively not allowing people to have hearings and an opportunity to speak when their livelihoods, homes or whatever it is are being ripped away is difficult.

Planning and Infrastructure Bill

Lord Ravensdale Excerpts

2nd reading
Wednesday 25th June 2025 Lords Chamber

[Lord Ravensdale (CB)]

My Lords, I declare my interest as a chief engineer working for AtkinsRéalis, a vice-chair of Peers for the Planet and co-chair of Legislators for Nuclear.

As an engineer, of course, I very keen to see Britain get building. This Bill is the single most important piece of legislation in the Government’s agenda to unlock growth and deliver for the many strategic targets the Minister outlined, including housing, clean power 2030 and defence. It is vital, therefore, that Parliament gets this right. I welcome the direction of travel in the Bill and that the Government are coming up with a number of very positive, radical ideas for the planning system.

However, the biggest problem for the Bill being able to deliver against its objectives is that Part 3, which has been presented as a solution to speed buildings and infrastructure through the system, may be a solution for housing, but, as the noble Lord, Lord Hunt of Kings Heath, set out, there are broadly held concerns that it will not deliver for infrastructure. That is because, by the time a developer comes along and identifies a habitat’s problem, there is unlikely to be time for Natural England to put in place an EDP to the satisfaction of all stakeholders. That means there will be a twin-track approach, which could have the unfortunate side-effect of adding to the bureaucratic burden within the planning system for large infrastructure. I would be grateful if, in her summing up, the Minister could expand on how she sees EDPs delivering for large infrastructure.

At the core of many of the issues that have added billions in cost and years in delay to our large infrastructure is the habitat regulations. They are, of course, very necessary, but there have been increasing issues with how they are interpreted. As mentioned previously, Catherine Howard, partner at HSF Kramer, has been doing some sterling work with ecologists and others on straightforward, common-sense clarifications to the habitat regulations that would bring more scientific rigor to the whole process. This has been set out in her Project Nutcracker series of articles, which I hope officials have seen.

For example, the habitat regulations are worded to require the proving of a negative: in other words, proof is required that a proposed project will not have an effect on a particular habitat. This is not the way science works; instead, we come up with theories and design experiments to try to falsify them. But proving that something does not exist is not falsifiable. That means that Natural England is currently not only overburdened but wastes precious time exploring hypothetical risks that are not adequately underpinned by scientific evidence. This is the fault of a system that asks it to prove that developments will have no impact, meaning that it must investigate and account for possibilities that there is no ecological evidence for.

The fundamental change that needs to be made is the introduction of a positive duty not to grant consent where there is scientific evidence of an adverse effect. This small amendment would have an immediate effect, freeing up scarce resource at Natural England to deliver on those goals, while streamlining the planning process for all the projects going through the system.

So there is a potential common-sense reform here that many ecologists are supportive of. It would bolster the measures in the Bill to speed up delivery of infra- structure projects in this Parliament, including the much-needed projects at the centre of the Government’s spending review and infrastructure strategy, as well as delivering more effectively for nature.

I am grateful to the Minister for her engagement in this Session on embodied carbon emissions. When she sums up, could she outline what plans the Government have to introduce common guidance, or perhaps to make a Ministerial Statement clarifying the approach local authorities should take?

In conclusion, there is a significant risk here. If Part 3 does not deliver for infrastructure, all the Government’s great aspirations for infrastructure build and development will not be realised. I look forward to further engagement with the Government on our pragmatic solutions to mitigate this risk, help get Britain building in the near term and deliver for nature.

Housing: Permitted Development Rights

Lord Ravensdale Excerpts

Wednesday 18th December 2024 Lords Chamber

[Baroness Taylor of Stevenage (Lab)]

I take the noble Baroness’s point; we need to keep this continually under review. Some of the permitted development homes have been of fair quality and have provided homes for people. But we need to continue to press that all new homes delivered through permitted development rights must provide adequate light, meet nationally described space standards and be decent, fit and safe for the people who live in them. We will continue to do that. Where there are bigger schemes, equally, they must meet those requirements.

[Lord Ravensdale (CB)]

My Lords, I declare my interest as listed in the register. Running through the creation of additional housing are upcoming policy decisions on regulating embodied carbon. Can the Minister update the House on the research under way in her department, when it will report and when the associated consultation will be published?

[Baroness Taylor of Stevenage (Lab)]

I am grateful to the noble Lord, and for his time in meeting with me to discuss embodied carbon. We have been talking to the construction industry and to developers across the board, and there are some complex issues involved. I know the noble Lord is doing work with stakeholders as well, and I look forward to working with him further in the new year. I believe we have a meeting scheduled for early in 2025 to discuss this further.

Planning Reforms: Net-zero Carbon Emissions

Lord Ravensdale Excerpts

Tuesday 3rd December 2024 Lords Chamber

[Lord Ravensdale (CB)]

My Lords, I declare my interests as listed in the register. A Written Ministerial Statement from December last year is preventing a number of sustainable developments from being built across the UK, including Salt Cross in Oxfordshire, because it is constraining local authorities’ efforts to build houses that go beyond current building energy-efficiency regs. Can the Minister say what plans the Government have to revoke that Written Ministerial Statement and allow these developments to go ahead?

[Baroness Taylor of Stevenage (Lab)]

I thank the noble Lord, and I will take back the point on the Written Ministerial Statement, but plan makers’ powers have not been restricted. The Planning and Energy Act 2008 permits plan makers to set at the local level energy efficiency standards which go beyond national building regulation standards, provided that they do so in a manner consistent with national policy.

Teesworks Project: Audit

Lord Ravensdale Excerpts

Wednesday 20th March 2024 Lords Chamber

[Lord Ravensdale (CB)]

My Lords, this project relates to the Government’s wider levelling-up agenda. We heard last week that only 10% of the Government’s levelling-up funds have been spent. What assessment does the Minister make of that?

[Baroness Swinburne (Con)]

I thank the noble Lord for his question. I already have an outstanding question from one of his colleagues on his Benches from the debate last week. I am trying to find the exact numbers for how much is in progress, given that there is lag between the money being allocated and being spent. I am chasing that and will come back to the House as soon as I have the number.

Levelling-up and Regeneration Bill

Lord Ravensdale Excerpts

Report stage
Monday 4th September 2023 Lords Chamber

Moved by

[Lord Ravensdale]

191: After Clause 88, insert the following new Clause—
“Duties in relation to mitigation of, and adaptation to, climate change in relation to planning(1) The Secretary of State must have special regard to the mitigation of, and adaptation to, climate change in preparing—(a) national policy, planning policy or advice relating to the development or use of land,(b) a national development management policy pursuant to section 38ZA of the Planning and Compulsory Purchase Act 2004.(2) When making a planning decision relating to development arising from an application for planning permission, the making of a development order granting planning permission or an approval pursuant to a development order granting planning permission, a relevant planning authority (as defined in section 85 (interpretation of chapter 1)) must have special regard to the mitigation of, and adaptation to, climate change.(3) For the purposes of interpretation of this section, Part 3 of this Act, and Schedules 7 and 12 to this Act—“the mitigation of climate change” includes the achievement of—(a) the target for 2050 set out in section 1 of the Climate Change Act 2008,(b) applicable carbon budgets made pursuant to section 4 of the Climate Change Act 2008, and(c) sections 1 to 3 of the Environment Act 2021 (environmental targets) where applicable to the mitigation of climate change;“adaptation to climate change” includes—(a) the mitigation of the risks identified in the latest climate change risk assessment conducted under section 56 of the Climate Change Act 2008, and(b) the achievement of the objectives of the latest flood and coastal erosion risk management strategy made pursuant to section 7 of the Flood and Coastal Water Management Act 2010.”Member’s explanatory statement
This new Clause places a duty on the Secretary of State and relevant planning authorities respectively to have special regard to the mitigation of, and adaptation to, climate change with respect to national policy, local plan-making and planning decisions.

[Lord Ravensdale (CB)]

My Lords, I will speak to Amendment 191 and declare my interests as a director of Peers for the Planet and a project director working for Atkins. I thank my supporters, the noble Baroness, Lady Hayman of Ullock, and the noble Lords, Lord Teverson and Lord Lansley. I also thank the Minister for the time he has devoted to this issue in a number of meetings since Committee, and I particularly thank him for our constructive discussion this afternoon.

We fundamentally reworked our amendment for Report, based on feedback from and engagement with government throughout the Committee stage. This amendment aims to resolve two issues: planning weight for climate in the system and what we are calling the “golden thread”—ensuring that climate runs throughout the complete planning system. The amendment aims to ensure that climate and the environment run as a golden thread through town and country planning, rather than the inconsistent picture at present.

The existing Section 19(1A) duty, which was restated in the Levelling-up and Regeneration Bill, states that the development of land should

“contribute to the mitigation of, and adaptation to, climate change”.

This currently applies to local plans and to a number of other plans and strategies within the Bill, but, importantly, it does not apply to individual planning decisions or the new national development management policies. It also does not refer specifically to our climate change and environmental targets. We feel that there is a fundamental inconsistency here, and our amendment aims to resolve it.

Further, our amendment gives planning weight to climate change in decision-making. It is not sufficient for climate considerations to be in only the National Planning Policy Framework—NPPF—as this is just guidance, and multiple reports from experts have highlighted how the current system is not working. It means that climate is included along with many other material considerations to be weighed up by the decision-maker, and it is for them to decide the importance to be given to climate change in a particular decision. Our amendment provides for a statutory duty that would make it clear that climate change should be a material consideration, with planning weight in the decision-making process—that is the crucial point.

This is not a novel concept in planning. Statutory duties giving planning weight already exist in relation to listed buildings. Our amendment was modelled on Section 66 of the Planning (Listed Buildings and Conservation Areas) Act 1990, which gives considerable importance and weight—“special regard”—to the preservation of listed buildings in the planning system. It then sets out in guidance, in the NPPF, how this duty is to be interpreted when making planning decisions. This tried and tested model could be used to include a similar climate change planning duty in the Levelling-up and Regeneration Bill.

As the Government are currently reviewing the NPPF and have not yet published the revised version of that guidance, this is the ideal time to insert such a duty, provide that guidance in the NPPF, and ensure that our planning system and new development do more to contribute positively to the achievement of our climate and nature targets. Importantly, we would have a statutory duty but it would be for the Government to decide on the specifics of how this would be implemented within the guidance set out in the NPPF. It would elevate climate as a consideration in the decision-making process, but it would maintain that important flexibility for decision-makers.

There are many examples of why this is needed and the benefits it would bring. UK clean power has been world-leading, but the planning regime currently in place means that just two onshore wind turbines were built in England in 2022, major offshore wind projects are stuck waiting for planning approval and thousands of new homes continue to be built on flood plains. Local plans to create the sustainable and economically vibrant places we all want to live in are being held back by planning barriers and inconsistent decision-making. The Committee on Climate Change—the CCC—the Skidmore review, the CBI, and businesses in the construction and building sector all agree that reform is needed. I was grateful to see 21 past presidents of the Royal Town Planning Institute supporting the amendment before us today—they are the people responsible for implementing this.

--- Later in debate ---

Reverting to my initial remarks on Amendment 191, I live in hope that what I have said provides the reassurance necessary for the noble Lord, Lord Ravensdale, to withdraw that amendment, and for the other amendments in this group not to be moved when they are reached.

[Lord Ravensdale (CB)]

My Lords, I listened very carefully to what the Minister said, but I believe that it has highlighted some of the gaps that remain in the approach the Government are taking. For example, he put a lot of emphasis on local plans and how they will help to drive this down through the planning system, but many local authorities do not have those plans or have very out-of-date plans—there has been a lot of research done on that. That flow down to individual planning decisions is not there. That illustrates the nature of the problem and why there needs to be a joining-up of all these approaches, and a statutory duty.

The noble Earl also mentioned mitigation. We are basing this around a tried and tested approach; with heritage buildings, we are maintaining flexibility. All we are doing is saying that climate considerations must be of increased priority compared with other factors—that is what we are trying to get across—while maintaining the flexibility in the planning system. As the noble Lord, Lord Deben, said, it is absolutely vital that our planning system supports climate mitigation and adaptation. This really is an enabler that sits at the heart of the whole system.

I recognise the work that the Government are doing; there is much more to be done here. I am grateful to all noble Lords who have spoken in support. I wish to test the opinion of the House.

--- Later in debate ---

[Lord Young of Cookham (Con)]

My Lords, I have added my name to the amendments tabled by the noble Lord, Lord Crisp, and commend his tenacity in pursuing this issue through his Private Members’ Bill and all the stages of this legislation. I shall add a short footnote to his speech.

After the debate in Committee and the very helpful meeting that we had with Ministers, on 25 May the Minister wrote a comprehensive nine-page reply taking the objectives of the amendments one by one and outlining how, in the Government’s view, existing provisions reflected them. We can discuss whether there is total alignment between current provisions and what is in the amendments, but the letter asserting this and existing statements from the Minister in our debates indicate that there is not a lot of distance between what the Government say that they want and what is proposed, which would help to bridge the gap that the right reverend Prelate has just referred to.

The letter dated 25 May said: “Following on from our meeting, I thought that it would be helpful to set out where the principles of healthy homes are already being considered and addressed through existing laws, systems, policy and guidance”. I want to make two points, picking up the key objections to the amendment that were made by my noble friend Lord Howe in his reply to the debate on 27 March. He said, referring to the noble Lord, Lord Crisp:

“Where we had to part company with him—and, I am afraid, must continue to do so—was on the extent to which new legislation should duplicate legal provisions already in place, and, to the extent that it does not duplicate it, how much more prescriptive the law should be about the way in which new housing is planned for and designed”.—[Official Report, 27/3/23; col. 76.]


On the first objection, I would prefer “consolidate” to “duplicate” to describe the impact of the amendments. Annex A to the letter dated 25 May explains that the relevant policies in the amendments are set out in no less than 11 groups under the heading “Healthy Homes Principles”. These groups in turn referred to 28 different chapters or clauses in building regulations, design codes, the NPPF, planning legislation and orders. The amendment brings all those provisions together under one overarching umbrella and provides what is currently missing: namely, a clear statement of government policy on healthy homes all in one place, breaking down the silos between all the government departments involved—the Department of Health and Social Care, the Home Office, the Department for Transport, the Department of Energy and Climate Change, Defra and DLUHC. The 28 different references would then have a coherence which is lacking at the moment and which would be embodied in the statement that the Secretary of State has to make, underlining the commitment to healthy homes.

The second objection was that the amendment was prescriptive. However, the wording of paragraph 4 in the new schedule proposed in Amendment 191B gets round that objection in that it uses “should” instead of “must” throughout. The only compulsion is in paragraph 1, which obliges the Secretary of State to prepare a statement in accordance with the proposed new schedule. The groundwork for this has already been laid by the noble Lord, Lord Crisp.

I hope that my noble friend will reflect on these points and that his customary emollience will go one step further into acquiescence.

[Lord Ravensdale (CB)]

My Lords, I will speak to Amendment 280. I thank my supporters, the noble Baroness, Lady Hayman of Ullock, and the noble Lords, Lord Best and Lord Lansley. I also thank the noble Baroness, Lady Scott, for her engagement with me on this issue over recent months and for her letter outlining the position of the Government.

I will focus on the changes to the amendment since we were in Committee, where we highlighted the magnitude of the issue of embodied carbon, with 50 million tonnes of CO₂ equivalents a year—more than aviation and shipping combined, so it is a significant amount of emissions. When we consider the effort and investment that is going into some of these other areas, it points towards the need to do a lot more on embodied carbon.

We also set out that industry is ready. On an infrastructure-related bid that I am currently working on for the private sector, we are looking to set targets for embodied carbon and assess it in the design phase, something that we now do almost as a matter of course. However, regulation needs to catch up, to ensure that this is applied consistently and to seize the wider sustainability and economic benefits of this change applying across the whole of industry. Our amendment focuses purely on the initial reporting stage, whereby industry will be mandated to report embodied carbon for all new construction projects above a certain size; the subsequent stage, using data gathered in the initial stage, would be to set out actual regulated limits for embodied carbon in buildings.

Non-Domestic Rating Bill

Lord Ravensdale Excerpts

Committee stage
Monday 3rd July 2023 Grand Committee

Moved by

[Lord Ravensdale]

1: Clause 1, page 2, line 25, at end insert—
“(za) the chargeable day falls after the day on which qualifying energy efficiency improvements are completed,”Member's explanatory statement
This amendment, and others to Clause 1 in the name of Lord Ravensdale, would allow qualifying energy efficiency improvements a time-unlimited level of improvement rate relief.

[Lord Ravensdale (CB)]

My Lords, I will speak to my Amendments 1, 3 and 4. I apologise to noble Lords for not being present for the opening speeches of Second Reading and therefore being unable to make my points then. However, I was present for the rest of the debate and wrote to the Minister with the points I would have made, so I hope that I may be forgiven. I declare my interests as a project director for Atkins and as a director of Peers for the Planet. I certainly support the aims of the Bill and the measures contained within it, which will support businesses and high streets across our country and the economy.

My amendments in this group are very straightforward. They relate to the application of improvement relief. I listened with great interest at Second Reading to the remarks on this topic from noble Lords and the Minister, who said:

“The Government consider that a 12-month relief will allow time for the benefits of the property investments to flow through into businesses. We will keep this under review”.—[Official Report, 19/6/23; cols. 83-84.]


Although the 12-month relief is very welcome, there is a strong case for the Government to remove such constraints from a specific class of improvement—energy-efficiency improvements. I will explain why.

The Government have already made the great move of exempting renewable energy generation and storage from rateable value through regulations introduced in 2022. However, energy efficiency does not receive a matching exemption, despite the efficacy of energy- efficiency measures in increasing the energy security of the UK and reducing carbon emissions, not to mention in reducing costs for businesses and supporting economic growth. Energy efficiency has been raised many times recently in your Lordships’ House, so I will not bore the Minister and other noble Lords with an extended analysis of why we need to do more in this area.

As to the effect of the Bill as written, we know that all but the simplest energy-efficiency measures have longer payback periods, so it is likely that a 12-month exemption will continue to disincentivise improvements. To be adopted by business, energy-efficiency measures must make clear financial sense and have a low net cost. As a simple illustration, it is unlikely that a household would contemplate insulating their home if there was a risk that the savings would be outweighed by the introduction of a higher council tax band after only a year of relief.

My amendments seek simply to align energy-efficiency measures more closely with the existing reliefs for renewable energy generation and storage so that we have a coherent approach in this area. They represent a great opportunity for the Government to help increase investment in energy-efficiency improvements across business and to contribute to critical national goals in energy security and net zero, as well as lowering bills for businesses at a time when this is needed more than ever. Fatih Birol of the International Energy Agency warned recently that we may see another surge in gas prices this winter. The amendments would extend improvement rate relief for energy efficiency to 1 April 2029; the Government could then decide whether to extend any reliefs beyond then. I beg to move Amendment 1.

[The Earl of Lytton (CB)]

My Lords, I have two amendments in this group, to which the noble and learned Lord, Lord Etherton, who cannot be with us because he is arguing his case across the way in the Chamber, has added his name. I declare that I am a member of the Rating Surveyors’ Association, which, together with Luke Wilcox, barrister of Landmark Chambers, has been helping me formulate my views on these amendments.

The purpose of the two amendments in my name in this group, Amendments 2 and 6, is to extend the application of improvement relief, so, to some extent, they follow the lead of the noble Lord, Lord Ravensdale. Without discussing it with him, I opted for extending the application to works carried out within a five-year period. The amendments follow up on the comments made at Second Reading.

The expected lifespan of the many types of improvement may extend to decades. If, as one supposes, the relief is intended to incentivise improvements—not just mandatory compliance works but those which add materially to utility, convenience and annual value—it needs to be an altogether bigger quantum; otherwise, as matters stand at the moment, we will be in a situation where, maybe 13 months after the work is carried out, the rateable value will increase by some 50% of the additional annual value of the works. This may not be so much for the purposes of adding value as of preserving value in the face of decline, so this dynamic needs to be whittled down.

We have issues with the definition of “relief” and whether it will count for anything at all in practice, and of “improvement”, of which other noble Lords may seek to define certain aspects more clearly—I agree with that. Unfortunately, the Government’s protestations about the sums they claim to have earmarked for this relief do not disguise the fact that the design of these things is often such that none of it is ever called on in practice. I will leave that bit of cynicism to one side, but if this relief is to mean anything beyond a fig leaf, it has to be large enough in quantum and long enough in duration to be commercially noticeable and relevant. Some types of improvement may take a considerable time to translate into a business benefit.

Although I understand, for instance, not including developers in the benefits of this measure, I maintain that the net effect of excluding any otherwise qualifying works carried out by landlords for the tenant, for which there may be a higher rent payable, is based mainly on groupthink rather than objective balance. That is the reason behind Amendments 2 and 6.

--- Later in debate ---

[Baroness Scott of Bybrook (Con)]

As far as I know, we do not have a framework yet, but as soon as we have—I assume it will go out to some sort of consultation—I shall make sure that noble Lords are aware of when it is issued.

[Lord Ravensdale (CB)]

My Lords, the noble Earl, Lord Lytton, made a compelling argument for a general extension of improvement relief, as did the noble Baronesses, Lady Pinnock and Lady Hayman, for extending heat network relief. For me, this is all about joining the dots across the legislation, so that we have a coherent picture. As the Minister said, we already have a permanent exemption for renewable energy and storage. All these factors feed into our overall strategic targets, so we need a coherent picture across the legislation. The Minister rightly talked about fiscal responsibility and the need to bear it in mind.

The other side of the picture, to counter that, are all the benefits to increasing private investment—in the case of energy efficiency, lower bills—and the benefits from overall economic growth that would flow from that. I look forward to further discussions with the Minister leading up to Report, but for now I beg leave to withdraw my amendment.

Amendment 1 withdrawn.

Levelling-up and Regeneration Bill

Lord Ravensdale Excerpts

Committee stage
Monday 22nd May 2023 Lords Chamber

[Lord Lucas (Con)]

My Lords, I support everything the noble Baroness just said. From long experience of canvassing and getting bloody knuckles as you try to withdraw your hand from the letterbox but the spring bites them, shortly before the dog’s teeth just miss your retreating hand, I think there would be support across the House and general congratulations if the Government were able to do something along these lines, but I suspect it should not require retrofitting. Chewing up people’s front doors would just be too expensive, but any new front door should certainly not have any of these devices on it.

[Lord Ravensdale (CB)]

My Lords, I shall speak to Amendment 504GG in my name, and note that I am co-chair of the Midlands Engine All-Party Parliamentary Group. I thank my supporters, particularly the noble Baroness, Lady Hayman, for her help in refining and improving the amendment, and the noble Lord, Lord Mawson, and the noble Baroness, Lady Verma, for their support.

I have spoken before in Committee about high streets, and will try not to repeat much of what I have previously said. I do not need to speak about the importance of regenerating high streets in the regions—I know that the Government get its vital importance for levelling up. Their plans for enhanced compulsory purchase powers and high street rental auctions could form part of the solution here.

However, I have spoken to many local stakeholders about these new powers, and the consensus is that they will not do much to move the dial. They are not commensurate with the scale of the change that needs to happen if we are to look toward a future where high streets in our regional cities are bustling with activity, are pleasant environments where people want to come and spend time, and are integrated with transport systems to allow easy transit for people to spend time there.

It has been estimated that the cost of each high street rental auction could be at least £6,000. In a time of strain on local authorities’ finances, they are unlikely to be used. In any case, high street rental auctions and compulsory purchase powers have been set up to address the supply of high street units, but supply is not the issue here. Anyone looking to set up on high streets in my home city of Derby is spoilt for choice. Most landlords would not choose to have an empty property. The issue here is demand, not supply. The Government really need to look much more closely at how they can incentivise businesses to set up on high streets. This critical point should be addressed in the Bill and will move the dial.

Levelling-up and Regeneration Bill

Lord Ravensdale Excerpts

Committee stage
Monday 27th March 2023 Lords Chamber

I hope that my noble friend the Minister will consider concrete measures such as this to deliver on the missions. That can be done only if we work with local councils and give them the mandate and flexibility to succeed.

[Lord Ravensdale (CB)]

My Lords, I shall speak to my Amendment 484. I thank my supporters: the noble Lords, Lord Best and Lord Stunell, and the noble Baroness, Lady Hayman. I also declare my interests as a director of Peers for the Planet, and as a project director working for Atkins.

It would be helpful if I started with some definitions; I hope I am not teaching too many noble Lords to suck eggs. There are two types of emissions from buildings: operational carbon, which is those emissions due to energy and water use; and embodied carbon, which is those emissions related to construction materials. Operational carbon emissions are already limited by Part L of the Building Regulations, but there is no such parallel regulation limiting embodied carbon emissions.

For a long time, operational carbon emissions have accounted for the majority of buildings’ emissions. However, with decarbonisation of the grid, operational carbon has reduced in recent years and that trend is set to continue, particularly with the introduction of electric heating. As such, the embodied carbon emissions in construction contribute an increasing proportion of the whole-life carbon emissions for most buildings, with one study indicating that over two-thirds of a low-energy new building’s emissions are embodied.

UK embodied carbon emissions represent some 50 million tonnes of emissions per year, which is more than aviation and shipping combined—a huge quantity of emissions that is completely unregulated and has increased in recent years. We think of the huge effort that is going into mitigating the carbon emissions of aviation and shipping: we have a sustainable aviation fuels plan, jet zero and plans for corridors for emission-free shipping based on ammonia and hydrogen. But for embodied carbon the current plans in place are sparse—although industry is making some good progress in reporting—so we have a problem.

Lord Boyce, who sat on these Benches but passed away, sadly, late last year, had a saying which went something like, “There is no such thing as problems, only solutions in disguise”. The solution here is a fantastic campaign, which has been under way for a number of years, to add a new part, Part Z, to the building regulations; this would start with reporting and then move on to regulation of embodied carbon emissions. It has wide support across industry; 200 of the country’s leading developers, clients, contractors, architects, engineers and institutions have written statements of support. These include organisations such as British Land, Willmott Dixon, Sir Robert McAlpine and Laing O’Rourke—I could go on—and industry bodies such as the Construction Industry Council, the Concrete Centre and the Steel Construction Institute; so there is wide support right across industry.

Industry already has the tools necessary to respond to Amendment 484 and, indeed, is voluntarily using them. Regulation would simply unlock the final door to enable the existing mechanisms to run smoothly and to ensure a level playing field. It has already been the subject of a Private Member’s Bill put forward by Jerome Mayhew in another place, which has enjoyed wide cross-party support.

Many countries in Europe are already proceeding with the approach outlined in the amendment. These include France, Sweden, the Netherlands, Finland, Denmark and Norway. It is not only about the emissions cost; we risk being left behind in the opportunities that the amendment will unlock if we do not proceed with it soon. These opportunities include the benefits of a standardised approach to reporting—rather than the patchwork quilt of the many approaches that exist currently—which would reduce overall costs to industry, and the treasure trove of data that would be generated and could then be used to inform further decarbonisation efforts, both in voluntary targets and in leading towards eventual regulation.

To add to this, the policy signal provided by this amendment would mean that the UK could then develop in growing markets such as steel recycling, an important area that could be developed in the UK. Rather than exporting scrap and importing recycled steel as we currently do, we could invest in that industry in the UK, as is currently done in the US and Europe. Low-carbon cement is another example; if the signal were given, attracting investment and moving that from lab scale to implementation would be much more of a priority—likewise, low-carbon building materials such as non-plastic insulation and the retrofit and reuse market.

So what is currently going on within government? The Government’s construction playbook calls for carbon assessments on all public projects. However, it provides no details as to how that should take place or what an appropriate carbon emissions level is. This leads to many inefficiencies in differing approaches to assessments, increasing overall costs to the taxpayer.

The key ongoing activity is a DHLUC consultation on embodied carbon reporting, which is due to report later this year. Our amendment has been drafted to align with that consultation; it states that regulations must be made within six months of the Act being passed. This amendment would give the Government a ready-made legislative vehicle to implement these regulations once the outputs of the consultation have been defined. All the pieces of the puzzle would then be in place; otherwise, I fear that we would have much longer to wait to make parliamentary time available—we need to move quickly and seize the opportunity here.

Working in business myself, one area of concern that I am very conscious of is to avoid placing additional burdens upon small and medium-sized enterprises. Whole-life carbon assessments will involve some additional costs to businesses, at least initially while tools and approaches are being refined. This is why we have placed limits within the amendment; it applies only to building works with a total useful floor area of 1,000 square metres or over and to developments with more than 10 dwellings. This shields smaller developers from the initial costs of undertaking whole-life carbon assessments.

Finally, I will go into a little more detail on how the amendment would work. The overall strategy is to “report first, limit later”. This follows the precedents set elsewhere in Europe and makes the transition towards zero-carbon construction easier, while sending a clear signal that legislated limits are coming. The amendment deals with the initial reporting aspect, with the intent that later regulations would cover embodied carbon limits, which would in themselves be informed by the initial reporting phase. As I alluded to earlier, approaches to many of the aspects in the amendment have already been developed and are being used voluntarily by industry; for example, the Royal Institution of Chartered Surveyors has defined a methodology for calculating embodied carbon.

The emissions footprint that embodied carbon represents means that we need to move forward with urgency and help to enable industry to bring forward solutions. The Levelling-up and Regeneration Bill is an ideal and timely enabler to make this happen.

[Lord Best (CB)]

My Lords, I rise to support Amendment 484 in the name of my noble friend Lord Ravensdale, which was so comprehensively and expertly laid out before us. I declare my interests as president of the Sustainable Energy Association and a member of the Peers for the Planet coalition.

This amendment would require housebuilders and other developers to produce an assessment of the amount of carbon for which the construction of a proposed project would be responsible over its life. This includes the carbon embodied in the building materials used and the construction processes deployed.

Everyone recognises the necessity of building in ways that limit carbon emissions once the building is constructed, but that is only half the story. Half of total emissions—possibly more—associated with new building come from the carbon embodied in its construction. Concrete, steel and other materials use vast quantities of fossil fuels, as does transportation, sometimes across continents, of heavy building materials.

The House of Commons Environmental Audit Committee has shown that—as the noble Lord, Lord Ravensdale, said—the embodied carbon in new buildings accounts for more emissions than aviation and shipping put together; that is a great statistic. Yet this huge contributor to climate change is virtually invisible. Measuring and assessing embodied carbon alongside the subsequent emissions over a building’s lifespan should make all parties think harder when choosing building materials. There are many alternatives to the worst-offending components. This amendment will provide the basis for eliciting the evidence for more sophisticated decision-making.

The amendment could also lead to greater priority being given to making the best use of the buildings we already have before demolishing and replacing existing structures and adding to landfill. Demolition and construction also create dust and air pollution on a massive scale, amounting to some 30% of harmful particulates in urban areas. Retaining—rather than clearing and replacing—existing housing can also have social and community benefits. Demolition of Victorian terraced streets in the 1960s and 1970s is now seen to have been, in many cases, an unfortunate mistake. The amendment forces us to pay more attention in the wider levelling-up agenda to the regeneration of the homes we have today, rather than concentrating, as the Bill does, on the planning and delivery of new homes.

Action to upgrade existing properties—with green grants, regulations on energy efficiency for lettings, tax incentives and more—does not only address the decarbonisation challenge, it improves quality of life, reduces fuel poverty and saves NHS budgets. Recent research by the Building Research Establishment found that excessively cold homes, for example, are costing the NHS £540 million a year. The improvement of existing housing would also be accelerated, and the stock of available affordable homes increased, by the introduction of a national housing conversion fund to finance acquisition and modernisation of poor-quality, privately rented properties.

As the levelling-up programme moves onward, these regeneration measures will demand more of government’s attention. In the meantime, this amendment would achieve a more credible basis for judging the environmental impact of building practices and I strongly support it and the creation of a new Part Z to the building regulations.