High Speed Rail (London-West Midlands) Bill

Lord Stevenson of Balmacara Excerpts

Report stage (Hansard): House of Lords
Tuesday 24th January 2017 Lords Chamber

Moved by

[Lord Stevenson of Balmacara]

2: Clause 1, page 1, line 11, at end insert—
“( ) The scheduled works may not commence until the nominated undertaker has consulted appropriate bodies representing the interests of landowners about its disposal of surplus land policy, and has published a report on that consultation.”

[Lord Stevenson of Balmacara]

My Lords, I draw your Lordships’ attention to my interests as declared at the Committee stage of the Bill and earlier. The subject of the amendment was discussed in Committee and the Minister made a helpful response at that time. The issue was also raised in the Select Committee of your Lordships’ House, as it engages the private interests of many petitioners, and that committee made a strong recommendation, to which I wish to refer. We also now have the Government’s response to the Select Committee, which raises the point that I want to raise with the Minister.

The Crichel Down rules have governed the selling of surplus land following compulsory purchase for over half a century. Although there are said to be problems with them—that is perhaps a matter for another day—they are respected as the rules of the game. This issue has great importance, as there is no real accessible right of review once land has been taken, as judicial review is effectively out of the financial reach of most landowners.

The problem is that HS2 Ltd has decided that, rather than simply follow the Crichel Down rules, as has been the established practice, it will introduce alongside those additional exceptions under which it will not offer, in the first instance, land that it has compulsorily purchased back to the original landowner. These exceptions include, it says,

“where it makes sense to pool the land with adjoining ownerships in a joint disposal”.

What this might mean, of course, is that where HS2 Ltd thinks that it will be better for it financially to keep the land it no longer needs and sell it in a different parcel, it will. It will not be offered back to the owner whose land it was originally. The Lords HS2 Select Committee recognised this and recommended in its report:

“We strongly urge the Secretary of State not to add further exceptions to what is already … a long list of cases … in which the original owner will not be given first refusal to reacquire the land at its then market value. Apart from other more principled reasons, which we need not repeat, it would be odd if one Department of State had its own version of the rules”.


The Government say at paragraph 122 of their response:

“The Promoter is prepared to reconsider the additional exceptions set out in the Information Paper in the particular circumstances of each case”.


It is that phrase to which I would like a response from the Minister. Obviously, if that means that no decisions will be given in general but only in particular cases, there is no certainty for the landowner, who would have to wait each time for HS2 Ltd to decide, presumably towards the end of the time for which it needed the land, whether to keep it. HS2 Ltd would still have the power to keep any land it wanted—for example, for a development—which it would have acquired at much below the market rate. Is that fair?

HS2 Ltd has provided no details of what criteria it would use to undertake case-by-case reviews. If a case-by-case approach is used, these criteria should surely be in the public interest. That makes the case. I look forward to hearing from the Minister. If he cannot agree to review, perhaps he would be prepared to write giving examples of what criteria would be used. I beg to move.

[Lord Ahmad of Wimbledon]

My Lords, as I am sure the noble Lord is aware, the policy regarding the disposal of surplus land received an extensive examination by the Select Committees of both Houses with regard to individual cases, to which he referred, and more broadly when they heard from representative bodies such as the National Farmers’ Union and the Country Land and Business Association. I am sure the noble Lord has noted this, but I say for the benefit of your Lordships’ House that paragraphs 417 and 421 of the Lords Select Committee’s report set out its conclusions in detail.

The Secretary of State is under a general duty to minimise land take for the railway, whether permanently or temporarily. In general terms, any land that is surplus following construction will be disposed of in accordance with the Crichel Down rules. These rules provide for the circumstances in which land acquired by compulsory acquisition, but no longer required, will be offered back to the former owners. The rules have been developed over the course of half a century and have been endorsed by previous Governments. The basic principle is that former owners will, as a general rule, be given the first opportunity to repurchase any surplus land at current market value provided it has not materially changed in character since acquisition, such as new buildings having been built on it.

The rules set out a number of other exceptions to this general principle, which HS2 follows, but have also added two further exceptions to cater for the special circumstances of the HS2 scheme. These exceptions would allow the Secretary of State to retain land acquired for the project where a site is needed for regeneration or where it is needed for the relocation of a business directly affected by HS2. The Select Committee report recommended that the project remove these two additional exceptions. In their response, the Government have noted, and agreed to reconsider, the additional exceptions in the particular circumstances of each case.

I hope the fact that we are proposing to use a very well-established approach for this policy and have further agreed to revise that approach to make it further in line with the original policy demonstrates that this amendment is unnecessary. I hope that the noble Lord is minded to withdraw his amendment.

[Lord Stevenson of Balmacara]

I thank the Minister for that response. I look forward to reading it in more detail in Hansard. For the moment, however, I beg leave to withdraw the amendment.

Amendment 2 withdrawn.

Moved by

[Lord Stevenson of Balmacara]

3: Clause 1, page 1, line 11, at end insert—
“( ) Before the date on which the nominated undertaker commences any works authorised by this Act, the Secretary of State must publish a cost-benefit analysis of the environmental impacts of the proposed works within Phase One of High Speed 2 and connected construction works in the Chilterns Area of Outstanding Natural Beauty.( ) The report must include an explanation of the methodology used to value the savings in environmental impact that would have arisen from more extensive tunnelling.”

[Lord Stevenson of Balmacara]

My Lords, I will speak also to the other amendments in this group. We are at the end of a very long and extensive planning process, which, while not as lengthy as the planning inquiry for T5, I think could be agreed all round to have been quite a marathon. Despite the scrutiny of the public aspects of the Bill in this House and in the other place—and in particular, the excellent and thorough work done by the Select Committees, which was heroic in all respects, and to which I have already paid tribute in Committee, and about which others have spoken again today—I have a view that the public interest has not yet been fully satisfied. So I would like to make a couple of points arising from these amendments.

There are, of course, a number of problems to do with the hybrid Bill process. This has been described in earlier discussions as a hangover from the Victorian era, and it is probably going to be reviewed in the light of the fact that a Joint Committee has been set up of both Houses. We are aware that comments in the Select Committees of both the Commons and the Lords have been also been made, and it is a matter of some regret that your Lordships’ House has not had the opportunity to discuss the report of the Select Committee of the Lords that looked at this Bill in detail. If we had had that chance, some of the points that I am going to make could have come up at that time. I am not going to continue on process issues, however, because I think that they will be the subject of a report from the Joint Committee, and I hope that this House will have a chance to discuss this later on. I myself have submitted evidence, and I know that a number of other noble Lords have done so as well.

My argument in very skeletal form—and I hope that I am not engaging with any of the points that might be raised by members of the Select Committee who are present today, because this is a matter about public interest, not private interest—is that the procedures of the two Houses, more by accident than design, dealing with the public aspects of the planning Bill as in the case of HS2 through the Public Bill procedure, and the private aspects through Select Committees, somehow manage to exclude a full consideration of public interest issues. I want to argue that point in relation to these three amendments.

My three areas of concern are not matters that I expect your Lordships’ House to consider for amendment to the Bill. They were not put down as wrecking amendments; they are not intended to delay the progress of the Bill through to Royal Assent. But I hope that, at some point in the future, they will be open to interrogation by those responsible for delivering the Bill. They might well ask themselves important questions about whether what has been decided in the Bill through the processes that I have described is in the best possible form that it could be.

In Amendment 3, my question is not whether we should open the case for a through-the-Chilterns tunnel but to ask for transparency over how that decision was reached. Everyone will say that the Select Committee process, both in this House and in the other place, has done this issue to death. My point is that it probably has done it to death from the point of view of the private interest—but not from the point of view of the public interest. This is partly because the process engages with private interest from the start, and that tends to drive the way the debate is going. It is also a reflection of where we are today in relation to public bodies funded from public funds, which find it very difficult to put up arguments that are opposed to those that are made by a government department, such as the Department for Transport in relation to HS2. In that sense, there is a danger that the public interest would not be fully considered.

So I have two particular questions for the Minister. We are told in two or three places in the Bill documents that the statutory tests that are required by the Countryside and Rights of Way Act were undertaken by the Secretary of State. This was referred to by the Lords Select Committee. But what precisely were the tests and why is the information that was used to determine these points not made available? Surely it would be in the public interest to be transparent on this point, and I look forward to hearing from the Minister on this.

We read in both Select Committee reports—from this House and the other place—that a full-bore tunnel through the Chilterns AONB was considered, but rejected on cost grounds. If that is so—and I have no reason to doubt that it was done properly—why is that information not published and made available? The amendment states:

“The report must include an explanation of the methodology used to value the savings in environmental impact that would have arisen from more extensive tunnelling”.


Again, this is a matter of public interest, and I would be grateful if the Minister could respond. These requests are not disproportionate; they are in the public interest and should be answered, and I look forward to hearing what the Minister has to say about them. If he chooses to write in more detail, I will be happy to receive a letter from him at a later date.

On Amendment 4, the arguments are much the same —although, because it is a modest project, the costs here are much less. Again, we find that the tiny village of Chetwode, which is in north Bucks, argued persuasively for a bored tunnel, which was refused by the Commons Select Committee “on grounds of cost”. The Lords Select Committee also received this and said that it,

“reluctantly reached the same conclusion”.

We have not seen the figures. Again, that is an issue of public interest, and I would be grateful if the Minister could provide them now—or, if he wishes, in a letter.

--- Later in debate ---

[Lord Ahmad of Wimbledon]

I referred to the specific addition, but I note what the noble Lord has said. I will write to him in that respect and ensure that a copy of the letter is laid in the Library of the House for the benefit of all noble Lords. I reassure noble Lords that this is an area that the Government have considered very carefully. Indeed, it has been scrutinised specifically by the Select Committees of both Houses.

I want to pick up on a couple of points that have been raised. The noble Lord, Lord Stevenson, asked specific questions. I will write to him in detail on some of the issues that he raised, but my understanding is that the response on Section 85 was set out in the Government’s response to the 2011 consultation, which was subsequently published in January 2012. The other issue, of environmental mitigation, is also included in the business case, as was assessed according to the department’s guidance. As I said, the noble Lord raised some specific points and I will write to him in that respect.

The noble Lord, Lord Berkeley, raised the issue of the ideas that contractors may put forward. As I am sure the noble Lord is aware, contractors come under the powers in the Bill, including the limits on deviation. Contractors are also limited by the environmental statement. Within those limits, contractors will be encouraged to be innovative. Indeed, a key commitment to Parliament in the environmental minimum requirements is that we will seek to reduce the environmental effects beyond those in the environmental statement itself. That will be done by innovation, much akin to what the noble Lord suggests.

I reiterate the point that the Public Accounts Committee in the other place and the National Audit Office will continue to examine the costs of HS2 as we move into the detailed design and construction stage and more detailed cost information becomes available. I hope my detailed response demonstrates what has been done, the analysis that has been undertaken and the revisions that have been made in response to issues that have been raised, particularly in the area of the Chilterns. I hope it demonstrates to noble Lords that the tabled amendments before us this afternoon are unnecessary. I underline that these issues have been fully examined, not by one Select Committee but by two. I have already underlined the amount of time they took and detail they went into in their careful consideration. As a Government, we feel that any further cost review at this stage would serve only to delay the railway, which I am sure is not the intention of the majority of Members in your Lordships’ House. I hope that, with the detailed explanation I have given, the noble Lord is minded to withdraw his amendment.

[Lord Stevenson of Balmacara]

I thank all noble Lords who contributed to this brief debate. I expected to be vilified and attacked, and that all happened in due order. I have no comments to make on that—it goes with the burden of trying to stand up for things that you believe in. At least my noble friend withdrew the idea that I might be hysterical, which was only marginally worse than getting a low 2.2 for drafting when we introduced the discussions on the higher education Bill a few weeks ago.

I had a good response from the Minister on the particular questions I raised, and I thank him for that. On whether the statutory duties required under the CROW Act had been dealt with, he said he thought that they had been published. I would be grateful if we could perhaps have a further discussion on that when I have seen the letter that he will write. My impression was that they were not spelled out in the detail that I am looking for. I am sure that we will get to that point, so I am not worried. I look forward to corresponding with him on that.

The second point is on the cost of tunnelling, a question that came up several times from noble Lords. I understand the point that has been made but, as was said, I think, by the noble Baroness, Lady Pidding, to know the cost of building the whole railway is important, but it is not the only factor that we need to know. What savings have been built into the overall cost by not doing other things that would have cost more money or, indeed, less? It is that argument that we are lacking information about. If it is true that the tunnelling is providing environmental benefits, those benefits need to be taken into account in the total value for money—a point that was made. It is that issue that we do not get.

For instance, my noble friend Lord Young raised the issue of the Colne Valley, which was not part of the amendments I put down, although it could have been. He said, as has been said elsewhere, that this was independently assessed and so is okay. But when you learn that the independent assessor was a non-executive director of the Department for Transport, which authorised the review, you wonder whether that is truly independent. Again, the point is: what does that show us? If the figures provided by the promoter are correct, that is one aspect, and it is very useful. But it does not tell you what would have been the cost had it been done a different way, such as by tunnelling. If you do not cost in the environmental benefits, that is an issue.

The Minister mentioned a range of costs for different tunnels. The figure that we most often hear, and therefore the one we are using, is about £485 million—I do not want to go into this in any detail—for the extension of the tunnel from where it comes out in the AONB in the Chilterns to Wendover. It is that figure that I want to measure against the savings that would occur from the environmental benefits preserved—the lack of building of viaducts and the requirement not to build bunds and sound-proofing. That is the figure we never hear.

Lots of people who have been engaged in the process say that they have read the reports and seen the figures. They always say that it is okay, but they never tell us what the figures are. Do noble Lords not find that just a little odd? That is why I say that the public interest needs to be satisfied and why I put down these amendments. However, I am satisfied that we have had the debate that I wanted to have at this stage. I look forward to the letters from the Minister and, with that, I beg leave to withdraw the amendment.

Amendment 3 withdrawn.