English Devolution and Community Empowerment Bill

Debate between Lord Shipley and Lord Wilson of Sedgefield

Report stage
Thursday 26th March 2026 Lords Chamber

[Lord Jamieson (Con)]

My Lords, the noble Lord, Lord Shipley, has raised an interesting point which deserves an answer. On this side of the House, our views were made very clear in Committee: we are on the side of democracy, we believe it is up to the electorate to decide who is best placed to represent them, and we should respect their views.

[Lord in Waiting/Government Whip (Lord Wilson of Sedgefield) (Lab)]

I thank the noble Lord, Lord Shipley, for his amendments relating to disqualification for being a mayor of a strategic authority. These amendments seek to prevent an individual from simultaneously being a councillor of a local authority and holding the office of the mayor of a combined county authority.

The noble Lord will know that existing law already prohibits council members of constituent councils in both combined authorities and combined county authorities from being elected or holding office as the mayor at the same time. This is provided for in the Local Democracy, Economic Development and Construction Act 2009 and the Levelling-up and Regeneration Act 2023. These amendments would have the effect of almost mirroring that prohibition, in relation to combined county authorities only, for councillors of any local authority.

However, the Government are planning to replace all two-tier council areas with unitary authorities and hence replace all combined county authorities with combined authorities before the next planned mayoral elections in two-tier areas. This means that the prohibition would very likely not be required. With that in mind, I ask the noble Lord to withdraw his amendment.

[Lord Shipley (LD)]

My Lords, I thank the Minister for the clarity of his explanation: that as of today, existing legislation holds sway in this respect. With that assurance, I beg leave to withdraw my amendment.

--- Later in debate ---

[Lord Shipley (LD)]

My Lords, there are three very important amendments here, and I look forward to hearing the Minister’s response.

I have two caveats. The first is that it is quite difficult for central government to undertake some of the detailed analysis across the whole of England, with its population of 56 million, and to manage that effectively. The right reverend Prelate the Bishop of Manchester has raised a slightly different issue, which is about community empowerment. We talk a lot about English devolution, but community empowerment is a much more locally based, neighbourhood concept. The problem that communities will face is that they will have no money to do the work that they would like to do.

I am very supportive of anything that can be done to assess how community empowerment is working, but my second caveat is that overview and scrutiny committees are supposed to be doing this very job within their own areas. There are people who have the responsibility of scrutinising what is happening—having an overview of what is happening. It seems to me that we should go to those people first to assess the success of the Bill when it becomes an Act, rather than going straight to central government and expecting it to do it all.

[Lord Wilson of Sedgefield (Lab)]

My Lords, I thank the noble Baroness, Lady Scott, and the right reverend Prelate for their amendments.

As drafted, Amendment 87 would be much more burdensome for the Secretary of State and require yearly reporting via the annual report on English devolution, rather than every five years, as the noble Baroness intended. The annual report, introduced by the Cities and Local Government Devolution Act 2016, is designed to update Parliament on the progress that government is making in implementing devolution across England, rather than monitoring progress on individual policy areas. This amendment does not align with the focus of the annual report, but I reassure the noble Baroness that the Government are already committed to assessing the impact of devolution on local economic growth and public service delivery.

On the mayoral strategic authorities receiving an integrated funding settlement, we already have an integrated settlement outcomes framework in place. This is published on GOV.UK. The framework outlines a number of outcome indicators and outputs which the mayoral strategic authority will be assessed against to determine whether it is delivering effectively for its residents. For example, the Greater Manchester Combined Authority’s outcomes framework includes several outcome indicators relating to economic growth and public service delivery. This includes the number of supported businesses that have increased productivity, and measuring the success of support for residents with long-term health conditions, getting them back into employment. As more mayoral strategic authorities receive an integrated funding settlement, more mayors will be subjected to the integrated settlement outcomes framework.

At the local authority level, the Government recently published the local outcomes framework, which enables outcomes-based performance measured against key national priorities delivered at the local level. The outcomes that are measured include: economic prosperity and regeneration, adult social care, and child poverty.

The outcomes and metrics for each local authority area will be published on GOV.UK through a new digital tool. This will improve transparency and enable the public, local authorities, strategic authorities and central government to have a shared view of progress for all areas in England. The performance against the outcomes and metrics for each local area will also allow local authorities, strategic authorities and central government to work together to identify what needs to be done at a local level by different partners to tackle local challenges.

The noble Baroness also seeks in her amendment to ensure value for money for residents. The introduction of local scrutiny committees for mayoral strategic authorities will allow local areas to hold their mayors to account, including by undertaking value-for-money assessments. Although I welcome the spirit of this amendment, it would place undue burden on the Secretary of State, and we cannot support it.

On Amendment 184, the quality of service delivery by strategic authorities, the efficiency with which they deliver their functions, and the value for money they provide are matters of importance to Members on all sides of the House. As new powers and functions are devolved through the Bill it will be essential that scrutiny and accountability keep pace, ensuring that all strategic authorities are well run and operate effectively.

I have already touched on the role of local scrutiny committees and the integrated settlement outcomes framework. In addition, strategic authorities are expected to adhere to the process and principles set out in the English devolution accountability framework. This includes the scrutiny protocol, which encourages the engagement of residents through mayors’ question times and other equivalent opportunities for the public and journalists to put questions directly to elected mayors.

As part of our commitment to effective governance, we are also undertaking annual conversations with strategic authorities. These are regular engagements with strategic authorities, intended to foster an understanding of strategic authorities’ roles and challenges, sharing learning from across the sector to drive positive outcomes for residents. Strategic authorities are also subject to the best value duty, including inspections and, if necessary, the appointment of commissioners.

Where parliamentarians may have concerns about the performance of strategic authorities, it is entirely appropriate that they raise them with the Government through the usual means. I trust that your Lordships will see how strategic authorities will be subject to both non-statutory and statutory mechanisms to drive performance, efficiency and value for money.

I thank the right reverend Prelate for Amendment 318A. My noble friend will be more than happy to meet him and his colleagues to discuss these issues further. Through the Bill we are building on the foundations of the Localism Act 2011 with a more effective community right to buy and a new duty on local authorities to make arrangements for effective neighbourhood governance. We regularly engage with local government and the community sector to understand how existing powers are working on the ground. We know from this engagement that the current community right-to-bid provisions are not strong enough to enable communities to protect valued local assets for future use, which is why we are strengthening them with the introduction of community right to buy. This will help communities safeguard a range of assets that play a key role in community life, including green spaces such as parks, recreation grounds and allotments. We will explore the best way to monitor the effectiveness of the scheme going forward.

On the parts of the Localism Act which relate to community rights and local services, we think that effective neighbourhood governance is the right route to help to ensure that local decisions are made more effectively by people who understand local needs. A core goal of neighbourhood governance is smarter, more responsive decision-making that is closer to communities, giving communities a greater say in what matters to them.

Through regulations we will set out the criteria for the arrangements that must be in place. We will continue to engage with local government and the community sector to ensure that we understand the best way to do this and the effectiveness of current community empowerment frameworks such as the Localism Act. Although it is crucial to ensure that communities have access to pleasant and attractive environments that provide the spaces they need for recreation and growing food, there are other ways the Government are doing this, including through the planning system.

As noble Lords will be aware, the Government have consulted on a new planning policy framework designed to make planning policy easier to use and underpin the delivery of faster and simpler local plans. It proposes a number of changes to improve the approach to climate change and the delivery of green infrastructure, nature-based solutions and community facilities. We are analysing the feedback received and will publish our response in due course. All these measures seek to ensure access to community spaces and the ability to shape local decisions. An annual report is not necessary or proportionate. As usual, the Government will continue to keep all policies under review. I therefore ask the noble Baroness, Lady Scott, to withdraw her amendment.

English Devolution and Community Empowerment Bill

Debate between Lord Shipley and Lord Wilson of Sedgefield

Report stage
Tuesday 24th March 2026 Lords Chamber

[Lord Wilson of Sedgefield (Lab)]

We are basically saying that, where we can do that, we will, but where there are not the structures of a local, parish or town council, we might not be able to do that. The best way forward is therefore to have a system that is flexible and works with and engages the local community.

[Lord Shipley (LD)]

My Lords, I am grateful to the noble Baroness, Lady Scott of Bybrook, for pointing out that issue. I am glad that she did. I thank the Minister for his reply, but I have concluded that the Government have no plan to empower local communities in the way that the Bill suggests: it talks about devolution and community empowerment, but I see little prospect of real community empowerment.

The Government need a plan to prevent the upward drift of powers. The noble Lord, Lord Wilson, talked about lots of parish and town council seats not being contested, but that is because they do not have decent enough powers to make it worthwhile for people to stand. People do not stand because they do not see what they would do. The Government have to be convinced that devolving power to communities can make for better governance in England. That is where I am. I am grateful for the Conservative Party supporting the spirit of the amendment, which I think means it will be abstaining on this—or perhaps voting against, but I think abstaining. I wish to test the opinion of the House because this issue is central to an English Devolution and Community Empowerment Bill, which, without it, will be neither of those things.

English Devolution and Community Empowerment Bill

Debate between Lord Shipley and Lord Wilson of Sedgefield

Committee stage
Wednesday 4th February 2026 Grand Committee

[Lord Shipley (LD)]

My Lords, I will be very brief because we ought to hear from the Minister on the range of questions that have been produced, and I do not want to simply restate them. I have always supported greater investment by local government pension schemes. I should declare an interest, since I have a very small local government pension from the days when councillors were able to be part of the scheme. I just make that absolutely clear, even though the sum I receive is really very small.

I have always wanted local government pension schemes to invest more in their areas to drive growth in their areas. It seems an entirely laudable objective, but it has to be consistent with the scheme managers’ fiduciary responsibilities. As the noble Baroness, Lady Scott, and the noble Lord, Lord Jamieson, made clear in their explanatory statements, scheme managers have to remain independent and focused solely on the interests of scheme members. There are those two competing requirements.

I want to support the Government’s objectives here. This has to be the right thing to promote, although one has to be extremely careful. At this stage, that statement of principle from me is probably sufficient, and it would be useful to hear the Government’s response.

[Lord Wilson of Sedgefield (Lab)]

I am grateful to the noble Baroness for Amendments 148, 149, 150 and 153. I will try to clarify the questions that she asked and, if I cannot, I am more than willing to write to her. Some of these pension aspects are very technical.

These amendments relate to the important requirement that strategic authorities work with the Local Government Pension Scheme funds in their area. This mirrors the duty to co-operate with strategic authorities placed on LGPS funds in the Pension Schemes Bill. The aim is to help strategic authorities to identify local projects that are appropriate for pensions investment and drive growth.

I recognise the noble Baroness’s intention, in tabling Amendment 148, to seek to broaden the provisions to include other employers participating in the scheme. The clause requires the strategic authority itself, rather than its constituent authorities, to co-operate with the relevant pension fund. In my view, this is the correct approach. Strategic authorities are responsible for driving local growth; as such, they should be aware of the interests of housing associations, admitted bodies and other local employers. An additional requirement for multiple other organisations to collaborate with the LGPS would place an unnecessary burden on those employers.

I turn to Amendments 149 and 153. I recognise the intentions to preserve the independence of LGPS-administering authorities and to reduce the burden of regulation on their functions. I assure noble Lords that the Government are not seeking to undermine the fiduciary duties of local pension funds in any way. The decision on whether or not to invest in a particular asset will be made by the asset pool, not the fund. This will help protect the fund against potential conflicts of interest, ensuring that all investments are made in the interests of the fund. Supporting guidance will be clear that investments should only ever be made where that investment helps the investing pension fund to meet pension liabilities.

The Government want to see funds and asset pools working closely with combined authorities, including corporate joint committees in Wales, in order to identify and develop appropriate investment opportunities so that the investment might of the Local Government Pension Scheme can drive local growth. I share the view of the noble Baroness that this requirement must be workable. For this reason, the high-level requirement does not put a restrictive framework on exactly how strategic authorities must work with the scheme. It will be up to strategic authorities to establish a system that is workable for them. Further, I point your Lordships to the existing guidance for strategic authorities on the development of local growth plans, which supports strategic authorities in establishing a productive relationship with investors.

I turn now to Amendment 150. I thank the noble Baroness, Lady Stedman-Scott, for asking important questions regarding a requirement for funds to participate in an asset pool. Asset pooling is the cornerstone of the Government’s investment reforms for the LGPS, bringing significant benefits of scale and expertise. As I have said, the Government are not seeking to undermine the fiduciary duty of local pension funds in any way. The responsibility to set an investment strategy—the key driver of investment returns—will remain with funds, ensuring that they retain local accountability and decision-making and that they can drive performance. The duty in this clause is complementary to the duty that will be placed on LGPS funds through regulations made under the Pension Schemes Bill. It will work effectively only if the concept of participation is defined in the same way in both pieces of legislation. That is why the Government are tabling amendments to this clause to reflect changes that have been made to the Pension Schemes Bill.

A question was asked about pooling. Integrated models in which strategic advice and investment management are both delivered by the same fiduciary manager are commonly used in private sector schemes and internationally. These models can deliver greater value for money and economies of scale. Asset pool companies will be required to have robust policies and procedures to identify and manage conflicts of interest. In contrast to external advisers, asset pools owned solely by LGPS AAs are expected to provide services in their interest. They do not stand to gain financially from the partner fund taking their advice or from providing poor-quality advice. I will look again at the noble Baroness’s speech in Hansard to make sure that we have covered all her questions and so that she has what we are doing in writing.

I turn now to government Amendments 151, 152, 154, 155, 156 and 157. These minor and technical amendments correct the definition of participating in an asset pool company. They will accommodate a pool company structure where the pool is owned by a holding company, thereby allowing an existing pool—the Local Pensions Partnership—to be included in the definition. This is not a change in policy but a correction.

Renters’ Rights Bill

Debate between Lord Shipley and Lord Wilson of Sedgefield

Monday 12th May 2025 Lords Chamber

[Lord in Waiting/Government Whip (Lord Wilson of Sedgefield) (Lab)]

My Lords, it may not surprise noble Lords that, before we start the debate on the first group, I again remind the Committee of the protocol around declaring interests. As I mentioned last week, noble Lords should declare relevant interests at each stage of proceedings on a Bill. That means that in Committee, relevant interests should be declared during the first group on which a noble Lord speaks. If a noble Lord declared an interest during the previous two days in Committee, that is sufficient, but if this is their first contribution, any relevant interests should be declared.

[Lord Shipley (LD)]

My Lords, I thank the noble Lord for what he has just said, reminding us of the importance of declaring interests in Committee if they have not been declared so far, but will he make a statement to the Committee about the Government’s plans for further consideration of this Bill, given that we were promised six days of consideration? We lost more than two hours last week through dinner-hour business, and today—for extremely good reasons—we have now lost more than five hours of consideration. I hope the Government have now decided that they must give this Committee an extra day, because we were promised six days and we have not had six days. I hope the Government’s intention is not simply to go through the night tonight and through the night on Wednesday. This would not mean reasonable discussion of the 132 amendments that still stand to be debated in your Lordships’ Committee.

[Lord Wilson of Sedgefield (Lab)]

I thank the noble Lord for those comments. We will try to resolve this through the usual channels, but there are six days and this is the fifth day. We want to make progress today and we want to complete Committee on the sixth day, which is Wednesday this week.

Clause 17: Landlords etc: financial penalties and offences

Amendment 145