Cities and Local Government Devolution Bill [Lords]
Lord Wharton of Yarm Excerpts(9 years ago)
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The Parliamentary Under-Secretary of State for Communities and Local Government (James Wharton)
I beg to move, That the clause be read a Second time.
Mr Speaker
With this it will be convenient to discuss Government amendment 51.
James Wharton
First, I should put on the record my gratitude and that of my colleagues for the representations made by hon. Members who were keen to see the new clause included in the Bill, and to support and empower their local national parks authorities to do the best job they can and to continue to contribute to the communities they represent. In particular, I am grateful to my right hon. Friends the Members for New Forest East (Dr Lewis) and for New Forest West (Mr Swayne) and my hon. Friends the Members for Thirsk and Malton (Kevin Hollinrake), for Penrith and The Border (Rory Stewart), for Berwick-upon-Tweed (Mrs Trevelyan) and for Richmond (Yorks) (Rishi Sunak). I would like to add Councillor Gareth Dadd of North Yorkshire County Council, who made strenuous efforts to convince us of the merits of these changes and kindly arranged for me to meet representatives of the North Yorkshire national park authority and National Parks England.
In the light of this weekend’s flooding, I think it important to reiterate the comments of my right hon. Friend the Secretary of State for Environment, Food and Rural Affairs in the statement that we have just heard, and I offer my sympathy to the people of Cumbria and other affected areas in recognition of the significant impact of what has happened there as a result of the unprecedented weather events.
Before speaking expressly to the content of the new clause and amendment, I would like to say a few words about the role of the national park authorities in water management in the context of what has happened this weekend, and about how the changes might assist them in further performing that role. Although national park authorities do not have responsibility for emergency planning, the planning decisions they make and the development control conditions they enforce can make a big difference to the demands placed on those who do have to respond during an emergency.
National parks have an important role to play in managing the water environment and helping with restoration work. For example, the floods of November 2009 caused severe damage to the rights-of-way network in Cumbria and the Lake District national park. Over 250 bridges were damaged or destroyed and 85 paths needed repair. The function-specific general power of competence that we are discussing with these amendments could be used to enhance the national park authorities’ ability to respond to flood emergencies by enabling them to enter into partnerships, to develop skills and capacity within small rural communities and businesses to assist with the responses needed, to develop specific skills to combat future flood management, and to adapt the network to improve flood resilience.
Andrew Gwynne (Denton and Reddish) (Lab)
Given that national parks might cover one or more metro mayor areas—for example, the Peak District national park is partly in Greater Manchester and partly in South Yorkshire, two areas that might well have metro mayors quite soon—is there not a case for having some co-ordination for emergency planning to make sure that there is the same resilience and the same emergency planning in the different parts of the national park?
James Wharton
The hon. Gentleman makes an important point. We want to see co-ordination, and there are already structures in place to deliver it and to ensure that different bodies work together to respond as efficiently and effectively as possible. From what I have seen happening in Cumbria and other areas over the weekend, a number of those bodies are working very hard to deliver for local communities. The hon. Gentleman puts an important point on the record. We absolutely want to see as much co-operation as possible, and we want to empower these public bodies to carry it out wherever possible. That underlies in many ways the purpose of devolution, so it is an apt time for the hon. Gentleman to put his comments on the record.
Mr Dennis Skinner (Bolsover) (Lab)
In the east midlands, there is the D2N2—Derby Derbyshire-Nottingham Nottinghamshire—which may or may not have a directly elected mayor. There is also the Sheffield city authority, which includes Barnsley, Rotherham, Doncaster and various other district councils in North Yorkshire and indeed in North Derbyshire. In the middle of all that, there is Hardwick Hall and various other major buildings. What I want to know, now that the Minister has said that there should be the greatest co-operation, is how that can happen between the Sheffield people who are anxious to take over large areas of North Derbyshire and D2N2, which is also part and parcel of the same area? My guess is that there will be many more situations like that in Tory shires. What is the Government’s policy?
James Wharton
Devolution is a bottom-up process; it is done by consensus. I know that the hon. Gentleman will have a significant opportunity further to discuss some of the relevant provisions today, but where we see bodies that have the capacity to co-operate, we want to empower them to do so. We want to give them the levers they need to deliver such things as better public services and economic development. The first step towards that is to confer the powers that the bodies will need to achieve it. What the amendments do is to start the process of empowering our national parks authorities so that they can not only contribute on flooding and resilience, but better the offer that they can make to the public to improve the work they already do so well.
New clause 7 confers new general powers on national park authorities in England, along similar lines to those conferred on, among others, fire and rescue authorities and integrated transport authorities in chapters 2 and 3 of part 1 of the Localism Act 2011. I should make it clear to Opposition Front Benchers that those general powers are intended to enable a national park to do more and to do it better; they are not a back door to fracking or shale gas development, and will not affect the approach that we intend to take in that regard.
In England, our nine national parks include some of the country’s finest landscapes, beautiful vistas and exciting wildlife. They are part of our national identity. National parks protect those landscapes for future generations so that we can all enjoy them. They are the cornerstone of many rural businesses. The new powers for national park authorities will allow an authority to act as an individual could—with certain limitations—in relation to its functions. For example, a functionally specific power of competence will allow a national park authority to act through a company, and will allow authorities to trade in a broader way than they currently can.
National park authorities have themselves asked for that power, because they consider that it will enable them to act in a more entrepreneurial and innovative way. For example, they consider that they will be in a better position to enter into partnerships to support growth across our rural economy. Jim Bailey, the chair of National Parks England, has said:
“We are pleased to see the Government introduce this amendment. This will help National Park authorities to maximise opportunities to fulfil our statutory purposes”.
The measure will allow national park authorities to participate fully in devolution deals—an example is Northumberland national park authority's request as part of the north-east devolution deal—and to seek additional sources of funding to assist further their work in supporting rural economies.
It is important to note that a power of competence does not override existing legislation. National park authorities will therefore be bound by their statutory purposes: conserving and enhancing the natural beauty, wildlife and cultural heritage of an area, and promoting opportunities for the understanding and enjoyment of the special qualities of the area. It is also important to note that the power will not be used by national park authorities as an opportunity to start charging for entry. As all but a very small percentage of land in national parks is owned privately rather than by the national park authorities, they could have no legal basis for charging.
Let me also make it clear that the new powers will not be used to encourage or permit too much, or inappropriate, development. National parks are designated under the National Parks and Access to the Countryside Act 1949 for their natural beauty and opportunities for open-air recreation. Under the Act, they have the two statutory purposes to which I have just referred. The statutory framework of protection and consents will remain unchanged, and, in using their new powers, the park authorities will not be able to promote or permit activities that are incompatible with those statutory purposes.
The powers given to the Secretary of State, by regulation, to restrict the use of powers by national park authorities in a particular way relate solely to the new clause, and not to their existing powers. Other than those concerning the furtherance of national park purposes, which are retained, the new powers replace the existing general powers of national park authorities under the Environment Act 1995. The new powers are considered more extensive, but the old ones are being repealed to avoid overlap.
Amendment 51 is a minor and technical amendment to schedule 5. It contains consequential amendments to section 65 of the Environment Act.
We are making these changes in response to effective representations that we have received from a number of Members, and from National Parks England and national park authorities. I hope that they will be broadly supported by Members on both sides of the House.
Liz McInnes (Heywood and Middleton) (Lab)
Our national parks are precious national assets. Millions of people use and enjoy them every year. They are areas of protected countryside that everyone can visit, and where people live, work, and shape the landscape. We have 15 national parks: 10 in England, three in Wales and two in Scotland.
In his autumn statement, the Chancellor included devolution to national park authorities in England, allowing them to lend, invest, trade, and set up co-operatives with businesses. That is legally known as the general power of competence. However, we know what is driving this change: cuts made by this Government. Since 2010, national park authorities in England have suffered cuts of up to 40% in their Government funding. Indeed, Northumberland national park is already renting out its spare office space—vacated by staff who have lost their jobs—where an enterprise hub has been set up.
New clause 7 would amend the Environment Act 1995 to provide English national park authorities with general powers to do anything they consider appropriate in carrying out their functional purposes. The new general powers in proposed new section 65A are similar to those conferred on other authorities by chapter 1 of part 1 of the Localism Act 2011. The new clause only applies to English national park authorities.
Proposed new section 65B limits the scope of the general power of competence in several respects. It does not allow English national parks to borrow money or charge a person for anything they do other than for a commercial purpose. That immediately raises concerns. The coalition Government’s attempt to privatise our forests was met with a public outcry. That plan was rightly defeated. This Government have attempted to open up our national parks to fracking, again causing a great deal of concern among the public, who value our precious national assets and have no wish to see them opened up to commercial ventures in that manner. We need strong assurances that the character of our national parks will be protected and that such important national institutions are maintained for the benefit of the public. We need a cast-iron assurance from the Government that fracking is not going to be allowed in our national parks.
We need more details on Government funding of national parks. We need more details on what the national parks are actually planning to do with the new powers. We cannot allow the commercialisation of our national parks by the back door. The future governance and accountability of our English national parks is an absolutely massive issue, which deserves proper debate. It does not belong here, in the Cities and Local Government Devolution Bill, inserted at the eleventh hour with no time for the weighty issues raised to have a proper discussion.
Liz McInnes
Red herrings, Aunt Sallies: I am merely expressing the unsuitability of the new clause in application to this Bill. It has been brought in at the eleventh hour with the minimum of notice. It raises huge issues. I do not think the general public would agree with the hon. Gentleman that the worry about fracking in our national parks is a red herring. I certainly got a lot of correspondence about it when the Government were talking about it a few weeks ago, and I think we need a proper debate.
James Wharton
I do not know whether I could be clearer on this: the debate around fracking is perhaps for another day, but let me be absolutely clear that these clauses will not be a back door to fracking. They do not affect the issue of fracking with regard to national parks. I would also add very clearly that this is something that has been asked for by national parks. I would be interested if the hon. Lady could tell the House how many national park authorities she has spoken to before coming to oppose the new clause and amendment.
Liz McInnes
The Minister makes an important point. The Government have not given us time to respond correctly. I have not spoken to any national park authorities because the Government have not given us time to consult properly on this matter. No reference had been made to the new clause before now. Today the Bill’s Third Reading debate will take place, and the new clause has been slipped in at the eleventh hour. The Minister is being disingenuous if he seriously expects us to have been able to do a thorough consultation with all the national park authorities in England. If that is his approach, he is trying to set us up to fail. We value our national parks, and we want to ensure that we have a proper debate on their future. That is what we are asking for here.
Mr Betts
I see my hon. Friend’s concerns in that regard, but the reality is probably that many national parks do look at ways to raise revenue to help support their budgets. I share his views that national parks are subject to cuts and that they are finding it more difficult to do the job that we expect them to do with their much reduced resources. I think that they will look at other ways to raise funds. That happens anyway. I am not sure whether this new clause widens that possibility greatly. I understand that it simply puts the national parks in the same position as a local authority to try to fulfil their functions.
James Wharton
I wish to clarify that this proposed new clause has no impact on planning as it would affect national parks. It has nothing to do with shale gas extraction, or fracking. I hope that is clear enough for the hon. Gentleman, and that it will give him some reassurance about our intention, which is to deliver on a request from the national parks.
Mr Betts
I am aware that the national parks have been asking for it, and I accept the Minister’s statement. Will he think about the comments made by my hon. Friend the Member for Hemsworth (Jon Trickett) on fundraising and the extent to which the powers of general competence could be used by national parks in any way that undermined their primary purpose, which is to look after the national parks, their beauty and the environment while ensuring they are a place where people can live and work? That is an important function of national parks authorities.
James Wharton
I thank the hon. Gentleman for generously giving way again, and I can offer that reassurance. The primary purpose remains, as I said in my speech, that anything that a national park does must be in line with its statutory obligations. There is no legal basis for charging, and we are not looking to allow it. I hope that we might move to a position of greater consensus on the new clause, which I felt would be uncontroversial. I recognise the concerns expressed by hon. Members and I thank the hon. Gentleman for accepting my interventions and giving me the chance to put some of these matters to bed.
Dr Julian Lewis
I thank you, Mr Speaker, for drawing such attention to the fact that I “beetled” into the Chamber, as you put it, rather late, and I apologise for that. I also apologise for the fact that unfortunately I am going to beetle out of it again rather early, for the same reason that I was late, namely Defence Committee business. I am delighted to have the opportunity of this small window to try to reassure those on the Opposition Front Bench. I hope that they will take my reassurances seriously, as I was one of only three Conservative Members to vote against the scheme for privatising the forest estate, which the hon. Member for Heywood and Middleton (Liz McInnes) referred to in her remarks. I am not one to accept on trust everything about forests that the Government put forward.
Having said that, the Government deserve a big pat on the back for this measure. It is often said that the Government do not listen, but this is a classic case of their having listened. [Interruption.] I would be grateful if those on the Opposition Front Bench also listened for a moment, because I am directing my speech at them in an attempt to be helpful.
The chair of the New Forest national park authority, Mr Oliver Crosthwaite-Eyre, is a former official verderer of the New Forest and very highly thought of by all those who live and work in the forest and are concerned with its management and protection. He contacted me some time ago to ask if it would be possible to persuade the Government to include such a provision in the Bill in Committee. Sadly, that stage had just concluded, so it shows extraordinary flexibility and willingness to listen by the Government in general—and by the Under-Secretary in particular—to manage to include the provision.
I fully sympathise with the Opposition spokesmen, because new clause 7 is a lengthy provision, and it is their job to scrutinise measures, whether they are long or short, but particularly if they are long. I should therefore like to try to reassure them about new clause 7 by reading two brief extracts from a document supplied by National Parks England specifically for use in our debate. It says:
“National Parks England (the umbrella body for the NPAs) warmly welcomes the tabling of New Clause 7 by Ministers and hopes that you”—
meaning me—
“will be able to speak in support of it at the Report Stage debate of the Bill on Monday 07 December 2015.”
It then gives a long list of the reasons why it supports the extension of powers, which are similar, it points out, to powers given to many comparable bodies. It ends by referring specifically to the new clause:
“New Clause 7 follows the legislative format established for other public bodies. National Parks England supports this amendment and would encourage MPs to speak in support during the Report Stage debate on the Bill.”
I understand the difficulty in which Opposition spokesmen find themselves, given that a clause of such complexity has been tabled at short notice. I hope that I have been able to reassure them that national parks themselves warmly welcome the clause. I do not think that it is a conspiracy. I have had occasion in the past to point out conspiracies when they crop up, but I do not think that this is an occasion for concern about conspiracies—on the contrary, it is an opportunity to congratulate Ministers, including the Under-Secretary, on listening, being flexible and making a change at, indeed, the eleventh hour. That change deserves to be made if we are to show our trust in the judgment of the national park authorities themselves.
James Wharton
I do not intend to speak for long. I merely wish to record my thanks to hon. Members who have contributed to this debate. We began in a contentious place, but we have, I hope, moved towards consensus. I acknowledge the contributions of right hon. and hon. Members, including my right hon. Friend the Member for New Forest East (Dr Lewis), who has been vociferous in making the case and with whom I have exchanged a significant quantity of correspondence, for bringing this to the Government’s attention and suggesting that it be included in the Bill. The measure is welcomed by national parks and by many hon. and right hon. Members. I hope that it will be welcomed, too, by shadow Ministers and that we can move forward in a more consensual way in the rest of today’s debates. Regardless, I commend the changes to the House. They are welcome and they are important.
Question put, That the clause be read a Second time.
James Wharton
I intend to speak at greater length on this issue, but as the hon. Gentleman has given me the opportunity to do so I would like to make it clear that the amendment gives any council, including districts, the permission to request to be removed from or added to a combined authority. My right hon. Friend the Secretary of State will review the case put forward by a council and make a decision on whether the request can proceed, but I can reassure the House that any such decision would, where possible, be made only following consultation and negotiation with relevant parties. In all cases, we would endeavour to seek and secure the consensus that I think has characterised many of the discussions we have had in a range of places so far, and which is so important in underpinning the Government’s approach to devolution more generally.
Mr Allen
I am sure that those words will have been heard throughout the Chamber and, more importantly perhaps, by all those who care about, or are in positions of authority in, local government. I very much hope that they take the message that the Government and the House are keen for there to be progress on devolution, and that it should occur on the basis of consensus, interaction and negotiation facilitated by the Secretary of State and the Government.
The people who have interacted with the Secretary of State and the Minister will make their own judgment on whether the Secretary of State can be trusted on these matters. As far as I am concerned, however, the Secretary of State has got us to this position on devolution, which, as I mentioned earlier, was not possible under the previous coalition Government or the previous Labour Government. Is it perfection? No. Is it genuine progress? I hope the answer to that is most definitely yes.
James Wharton
I begin with new clauses 1 to 4, which propose the establishment of a local government constitutional convention. We had the opportunity to discuss these provisions on our first day in Committee, and as the hon. Member for Nottingham North (Mr Allen) said then, they include the nuts and bolts of this body, as proposed by the Political and Constitutional Reform Committee, which the hon. Gentleman chaired in the previous Parliament. He now draws on the wealth of the knowledge that he acquired from his chairmanship during that time. His intention has been, in part at least, to ensure that some of his observations and experience could be read by anyone who feels that the concept of a constitutional convention is something that could be recommended to the House. I hope he feels that he has been successful in that aim. I have certainly enjoyed the debates we have had on the issue, and I recognise his tenacity and consistency in putting his case before us.
I do not consider it necessary to go through in detail every stage of the possible effects that new clause 1 could have, but it is important to recognise that the hon. Member for Nottingham North has made a number of points that draw on his experience and that inform the debate on devolution. However, as has been the case in previous debates and in Committee, I am not yet persuaded to go as far as to include new clause 1 in the Bill at this time.
John Redwood
Will the Minister confirm that as the talks on Scotland’s money versus that of the rest of the United Kingdom make rapid progress, it will be the Government’s aim to ensure that England has a block grant that it may choose how to spend?
James Wharton
My right hon. Friend tempts me to go further than I can in the specific context of the Bill, but I think he has been above averagely consistent on that point and very clear about his position. He has put it clearly on the record today, as he has before, and the fact that he has done so is welcome.
I look to the Chair, Madam Deputy Speaker, for advice on whether you would like me to comment on the other amendments in the group, which I would be happy to do, although I have not yet heard the comments of hon. Members on them.
Madam Deputy Speaker (Mrs Eleanor Laing)
If the Minister would like to wait until the end of the debate, I shall, with the leave of the House, call him again.
James Wharton
Thank you, Madam Deputy Speaker. Given that we have had such a productive and healthy debate so far, it would be appropriate for me to respond later to the specific points that hon. Members raise. I therefore look forward to the opportunity to speak again as we progress through this stage of consideration.
Mr Betts
I entirely agree. In the end, of course, a district council as a whole will have to go to an area, but, as the hon. Gentleman says, the focus should be on what works for the economy in terms of job creation, growth and the development of skills, and on ensuring that the necessary transport links exist.
I hope that the Minister will clarify one important point. There may ultimately be a decision for the Secretary of State or the Minister to make on these matters. The districts in North Derbyshire and North Nottinghamshire, or some of them, may well decide to become part of the Sheffield city region—I hope that they will, because I think that it makes economic sense—but it is nevertheless possible that Derbyshire and Nottinghamshire will form another combined authority, an N2D2, and that there will then be a conflict between the two decisions.
I understand from the amendment that it will be up to the Secretary of State to decide which combined authority the districts should join, because they cannot join two; the people in those areas cannot have a vote for two elected mayors in different combined authorities. I hope when he decides that he will indicate that his key criterion will be what is right for the local economy—that point was made by the hon. Member for York Outer (Julian Sturdy)—and right for developing skills, for economic growth, and for the development of a proper transport strategy for those areas.
James Wharton
I absolutely hear what the hon. Gentleman says. We must do what is right. If devolution is to be successful, it must recognise the boundaries that are, as my hon. Friend the Member for York Outer pointed out, more than political: the economic boundaries and the community boundaries. We must take account of what local people want. I am sure that, in exercising whatever powers he has when discussions on the Bill have concluded, the Secretary of State will first seek to build that consensus, as he has throughout the devolution discussions, but will then seek to ensure that the deals that are done will stand the test of time.
James Wharton
May I take the opportunity, as presented by my hon. Friend the Member for Gainsborough (Sir Edward Leigh), to confirm that it is indeed the Government’s intention to build that consensus? We are not going to impose change on areas that do not want it. However, we have been persuaded, that, as proposed in amendment (a), areas should not at the same time be prevented from being part of devolution deals. We are seeking to build consensus, not impose change on areas, but we should have the flexibility to ensure that we can deliver the deals that local people want.
Mr Chope
I am grateful for that, so far as it goes, but will the Minister explain how he will deal with the situation in, for example, Dorset? The county council wishes to retain control over the area that it currently governs. If one or more district councils in that county council area wish to enter into a unitary arrangement with, for example, Poole and Bournemouth, who will prevail? Is it going to be the will of the county council or is it going to be the will of, for example, Christchurch Borough Council? In my constituency, a number of councillors serve on the borough council and on the county council. To which group will the Government pay heed, or will they say, “Because there is no agreement, there can’t be any progress”, which I understood was the Government’s policy?
James Wharton
Of course we want to find consensus. Tempted as I am to go down the route of discussing individual proposals in too much detail, there is no intention to set out here or at any other time some sort of rule that would allow districts always to determine what happens, or counties always to determine what happens. We want to talk with local areas, take representations from those local authorities and local people, from local enterprise partnerships and, of course, from hon. Members representing those areas to build a consensus as to how best we should go forward with this process. The Secretary of State will apply a statutory test, which I will talk about later, but I hope I can at least give my hon. Friend that reassurance.
Mr Chope
I am grateful to my hon. Friend, so far as it goes, but basically he is saying that the Government will now decide. A few months ago the process was to be bottom-up, driven by the local councils: if they wanted change, they would be able to introduce change. Now we are told that nobody will be able to dictate, neither a borough council nor the county council, but ultimately the Government will decide. This is a significant change of Government policy, announced in the form of a manuscript amendment to amendment 56.
Mr Chope
I am grateful to my hon. Friend for his intervention and for his suggestion that we might be able to find a modus operandi between the two of us, who are very concerned about this, and the Minister, who I know is doing his best to give us assurances which will enable us to support amendment 56, as amended by the Government, rather than dividing the House on it. I am happy to give way once more to the Minister if he is able to give the sort of undertaking that my hon. Friend the Member for Gainsborough was suggesting he might like to give.
James Wharton
I thank my hon. Friend for giving way. I will talk more about this issue when I speak to the new clause and amendment later. It is important to be clear that this is not about allowing areas to veto. We want to allow flexibility to build that consensus. The Government’s intention is to work with local areas to deliver economically sensible areas of devolution, with structures that sit beneath them that allow those things to be delivered and that potential to be realised. So it is not about giving one area or another a veto or taking a particular mandated approach; it is about having the flexibility to deliver what different areas need. That is what the amendment allows, which is why we are looking at it so closely and are keen to see it discussed further and delivered as part of the Bill.
Mr Chope
I am grateful to my hon. Friend for that intervention, but I am afraid that what he said goes against the position that we have already established, which was explained to me by the Secretary of State—namely, that the Government were not pushing any of this agenda, but that this agenda could be promoted by individual councils if they wished and if they had the agreement of their neighbouring councils. Now we are told that it no longer depends on their having the agreement of their neighbouring councils, but that the Government will intervene if they think the consent of a neighbouring council is, for example, being unreasonably withheld. That has not been spelled out yet in the legislation, but it is implicit in what the Minister says—a completely different proposition from what we had before.
This is a sensational change in the Bill, because up until now we had been told that the Government were neutral and that they were enabling councils to do what they want. If this measure goes through as the Government obviously want it to do, one of the consequences is that between now and 2019, in counties such as Dorset, instead of getting on and running local services for local people, the councillors and their officers will be preoccupied with arguing the toss about new structures—structures which, as I have already said, were established 20 years ago and have not been criticised at all. Small councils such as Christchurch Borough Council—the ancient borough—are threatened with losing their independence. Likewise, East Dorset District Council is threatened with losing its independence, ultimately at the whim of the Government.
This is all done, supposedly, in the name of devolution, but a district council is a highly devolved body because it is close to the local people. It decides those all-important planning applications in accordance with the wishes of the local people. I see my hon. Friend the Member for Bournemouth West (Conor Burns) in his place. He will know that one of the reasons that Bournemouth has great tower blocks on its clifftop is that for many years it has had a different planning policy from that of Christchurch, which has an equally delightful clifftop but has not wrecked it by allowing enormous tower blocks on it. That is why Highcliffe is still an attractive place in which to take a holiday, like Friars cliff and other places in Christchurch, which are gems on the south coast.
James Wharton
The watchword throughout the debate in Committee and, indeed, today has been “consensus”, but I never thought that it would be consensus between the hon. Member for Bolsover (Mr Skinner) and my hon. Friend the Member for Christchurch (Mr Chope). That goes further than I anticipated we could achieve.
James Wharton
I will give way when I touch on some of the points discussed earlier if the hon. Gentleman wants to comment at that stage.
As I have already spoken about new clause 1, I want to talk about new clause 5. It proposes that a commission be set up to consider devolving tax and fiscal powers to local level. I well know that the hon. Member for Nottingham North (Mr Allen) is an advocate of devolving power from central Government, so he will be familiar with the successive inquiries that have covered similar ground to what he proposes. I therefore do not think that a further inquiry into tax power devolution to local government would serve a particularly useful purpose at this time, although I recognise, as always, his consistency and eloquence in bringing such matters before the House. I hope that he will not press his new clause 5 when we reach the end of this group of amendments.
Mr Graham Allen
Given that there is now no need for an inquiry, since there is a precedent in Scotland—I congratulate Scotland on being able to retain an element of income tax—there is nothing in the water in England to stop us having income tax assignment as well. On the basis that there is now something stronger than an inquiry in the form of a precedent, approved by the Treasury and by this House in the Scotland Act 2012, I gladly agree not to press new clause 5.
James Wharton
I thank the hon. Gentleman. I recognise what he says. There are complexities in devolving such matters to local government, but I am sure he will continue to argue, as such matters are discussed, that he wants those complexities dealt with in reality, rather than just in theory.
New clause 8, tabled by my hon. Friend the Member for Altrincham and Sale West (Mr Brady), would provide a cooling-off or probationary period for the conferral of functions from a local authority to a combined authority. I know that my hon. Friend has raised that matter in discussions during previous stages of the Bill, and that it is of great interest to him.
I can see the attraction that the flexibility to reverse a conferral of powers might have for an individual local authority, but there are considerable downsides. The very fact that the combined authority might be responsible for those powers for only a year or so might be conducive to little action being taken under what would perhaps be perceived as a temporary conferred function. The combined authority would almost certainly be reluctant to base any investment or other major activity on a function that it could lose in a few years’ time. Moreover, partners, whether businesses or other public bodies, would almost certainly be reluctant to enter into arrangements that could so quickly be reversed. We consider, therefore, that it would be very doubtful that activity within that probationary or cooling-off period of any such conferral of powers would give a realistic picture of how a combined authority might operate in the future or of the full range of improvements that might be achieved.
We consider that a better alternative, if local authorities are not sure whether they wish to confer a specific power, would be for them to trial such joint working across the area of a combined authority through informal arrangements, such as a shadow combined authority or joint committee. Those models are available to local authorities and combined authorities without the need for secondary legislation to be made. I therefore ask my hon. Friend the Member for Altrincham and Sale West not to press new clause 8 to a Division of the House.
New clause 10 seeks to reinsert the clause that was inserted in the other place to amend section 2 of the Representation of the People Act 1983 to lower the minimum voting age from 18 to 16 for the local government franchise in England and Wales. We debated that provision at length when we last met in Committee, after which we agreed to remove the clause by a significant majority of 95. The message was clear then and it remains clear now.
We have discussed quite widely the age of majority and the things that 16 and 17-year-olds are able to do or are prevented from doing by law. It has been suggested that because young people are politically engaged, and quite rightly so, they should be given the vote. That is a conclusion with which I do not agree. The debate has exposed the wider truth that there is a range of views, many of which are enshrined in legislation, that can best be described as encompassing the transition from childhood to adulthood. There is probably no clear point at which a person becomes an adult, but it is at 18, not 16, that society normally draws the line.
Any change to the entitlement to vote must be considered properly. We should not make piecemeal changes to the franchise. We cannot make changes and simply assume that there will be no implications for other areas where our laws and our society treat 16 and 17-year-olds differently. The voting age for UK parliamentary and local elections is set at 18. The age that is used in most democracies is 18. The Government have no plans to change it. Indeed, my right hon. Friend the Member for Wokingham (John Redwood) reminded the House last time we debated this matter that we have no manifesto mandate to do so. Recognising that the shadow Minister says that he intends to test the will of the House on this issue, I encourage all hon. Members to support the Government and oppose the reinsertion of this clause.
New clause 11 requires that the Secretary of State must, within 15 months of the Bill being passed, publish a review of the fire and rescue services affected by the provisions of the Bill. The new clause is not necessary. Devolution is about enabling local areas to determine how best their services are delivered. It is therefore only right that fire and rescue authorities, in agreement with local partners, should decide how and when to review and assess how the provisions of the Bill may affect fire and rescue services. I remind hon. Members that the requirements of the fire and rescue national framework will continue to apply. With those explanations, I hope the Opposition will not press the new clause.
Turning to new clause 13, we are already taking major steps to devolve local taxes and have only just set out plans for a radical devolution of fiscal powers. By the end of the Parliament, the local government sector will retain 100% of local taxes to spend on local government services. For the first time in decades, local areas will see the full direct benefit of business rate growth in their local area. We will also grant new powers to directly elected mayors and to authorities. We will give all local authorities the power to reduce business tax rates to support businesses in their areas. As was confirmed in the spending review, we will set out detailed proposals in due course. In the light of that, I hope the House will agree that this new clause, which would require the Secretary of State to set out a framework for further devolution of fiscal powers, is unnecessary. I hope, therefore, that the shadow Minister will agree not to press it.
New clause 14, which was tabled by the Opposition, would require the Secretary of State to issue guidance to combined authorities on co-operation with peripheral authorities. I do not believe that it is necessary or appropriate. Before making orders establishing a combined authority and orders devolving new functions to such an authority, the Secretary of State must consider that to do so is likely to improve the exercise of statutory functions in the area or areas to which they relate. Additionally, Parliament must approve such orders.
The new clause seeks to provide a further requirement about how, once established, a combined authority should go about the exercise of functions devolved to it. As with local authorities, combined authorities must have regard to all relevant considerations in taking their decisions. Just as local authorities cannot be blind to the impact of their decisions beyond their boundaries, nor can combined authorities. Neither local authorities nor combined authorities can be ignorant of what happens beyond their borders. We do not have these provisions for local authorities and it is the position of the Government that we should not impose them on combined authorities. Therefore, the new clause is neither necessary nor appropriate. I hope that the House will agree.
Amendments 4, 5 and 6 were tabled in response to an amendment tabled in Committee by my hon. Friend the Member for Altrincham and Sale West. The first of those amendments will ensure that the Secretary of State’s annual report on devolution to Parliament includes information on the extent to which powers that have been devolved to a mayor remain exercisable by a Minister of the Crown. Amendment 5 is a consequential amendment to amendment 4, while amendment 6 defines the phrases “combined authority” and “Minister of the Crown”. Although it is the Government’s intention that functions should be devolved as widely as possible, there may be circumstances in which they should be exercised either jointly or concurrently. With those explanations, I hope that hon. Members will accept amendments 4, 5 and 6.
If amendment 58 were accepted, it would mean that any transfer of functions to a combined authority must not be dependent on the combined authority having a mayor. In its intent, it is similar to the provisions of the old clause 3, which the Committee voted to remove from the Bill by a majority of 81. That provision imposed a specific requirement that a mayor could not be a precondition for transferring functions to a combined authority. As I told the Committee, that provision was at odds with our manifesto commitment, and amendment 58 is too.
In our manifesto, we committed to
“devolve far-reaching powers over economic development, transport and social care to large cities which choose to have elected mayors.”
We are not forcing this on anyone or on any place. Whether an area has a mayor is a matter of local choice. However, if an area wants to have a devolution deal of the scale and ambition of Greater Manchester’s, we do expect a mayor to be part of the deal. The effect of amendment 58 would be to stop our pursuing that manifesto policy. It would potentially put the whole future of devolution at risk of challenge. It is an amendment to which we are wholly opposed and that we hope will not be successful should the House choose to divide on it.
Amendment 2 provides that a combined authority mayor can be established only after a referendum. I listened with great interest to the comments of my hon. Friends the Members for Hazel Grove (William Wragg) and for North East Somerset (Mr Rees-Mogg). My hon. Friend the Member for North East Somerset was, as ever, persuasive and eloquent, but on this occasion, I am afraid to say, he was not quite persuasive enough. The amendment would require the Secretary of State to make regulations governing the conduct of such referendums and to consult the Electoral Commission before doing so. We had an interesting debate on the first day of Committee about this very matter. I recognise that I was repeatedly challenged by Members from both sides of the House about the degree of choice for local areas.
While I do not seek to reopen that debate, I must make it clear again that the Bill does not give the Government the power to impose devolution or a model of devolution in any area. The decision to approach the Government with a proposal for the devolution of powers and the decision on the degree of devolution required are entirely local ones. By the same token, we have always been clear that where areas make that approach to negotiate the significant transfer of powers, like the powers agreed with Greater Manchester, we would expect a mayor to form part of the mix, as that provides the levels of leadership and accountability that are necessary to ensure the effective delivery of such a deal.
Mr Rees-Mogg
Will the Minister clarify what he has said about nobody being forced to go down this route? Does that mean that, under amendment 7, an objecting constituent council would not be part of the mayoralty?
James Wharton
To clarify for my hon. Friend, areas will not be forced to be part of a devolution deal. If a mayor is part of a devolution deal and a local council does not want to be part of it, the council will not be forced by anything that the Government intend to do or can do to be part of that combined authority or devolution area. It is a matter of building local consensus and giving local people the choice.
Mr Rees-Mogg
So if a council is part of a combined authority and it objects to there being a mayor, but the majority of members of the combined authority vote for a mayor, the council will leave the combined authority and will not be any part of any combined authority or of the mayoralty.
James Wharton
My hon. Friend is correct. Where an existing combined authority and a number of the local authorities within it want to make a deal but one or more do not, we want flexibility so they are not forced in any way to enter into a deal with which they do not agree, but are instead able to leave and not be part of that devolution deal.
Holding a referendum on the narrow question of whether there should be a mayor risks not fully recognising the choice that is to be made. It also fails to recognise the role of those who have been elected by people of their area to represent them, and to make the necessary decisions to safeguard their wellbeing and the prosperity of the area. Of course, those democratically elected locally will want to have regard to the views of communities and businesses in their area, and of the voluntary sector and those who live and work there, but we should have the confidence in those who are elected in those areas to grasp the opportunities that the Bill makes possible, to consider the degree of devolved power that is appropriate and deliverable in each of their areas, to enter into negotiations with Government and, in what is a fast-moving environment, to take the decisions that will best deliver the economic growth and development they have already been mandated to deliver.
Mr Andrew Turner (Isle of Wight) (Con)
I am very concerned that the Isle of Wight and Hampshire may or may not be subject to the rule about a mayor. What are the Minister’s proposals on that?
James Wharton
It is entirely a matter for the Isle of Wight whether it would like to be part of any devolution deal. That would not be imposed on any area. Which areas we would want to see a mayor in as part of a deal, would depend on the deal and what was being asked for in the discussions that took place. There is no single fixed model that we would look to apply, cookie cutter-like, to different communities, but I assure my hon. Friend that if the Isle of Wight did not want to be part of something and felt it would not serve its interests, there is nothing in the Bill that would allow us to compel it to do so.
Amendment 57, tabled by my hon. Friend the Member for Altrincham and Sale West, would enable a local authority to leave a mayoral combined authority, and, should that happen, provide for a fair division of resources. The existing combined authorities legislation, section 106 of the Local Democracy, Economic Development and Construction Act 2009, and the Bill already enable an order to be made to remove a local authority from a combined authority with consent from the area, agreement from the Secretary of State and approval from Parliament.
There would, of course, be a number of practical issues to deal with before making such an order: for example, setting up alternative operational arrangements, working out how to divide budgets and any contractual arrangements. However, the 2009 Act and the Bill provide for that. If an order is made to remove a local authority from a combined authority, it must specify an authority to become the local transport authority. The Bill provides further powers to enable such an order to transfer combined authority functions to another public authority or to be ceased.
We consider that the provisions provide all the powers and flexibility necessary to enable a local authority to leave a combined authority, where that is wanted locally; where the Secretary of State considers that to do so is likely to improve the exercise of statutory functions, and has regard to the need to reflect the identities and interests of local communities, and to secure effective and convenient local government; and where Parliament approves the making of such an order. With those assurances, I look to my hon. Friend not to press the amendment.
I now turn to amendments 7, 8, 13, 15, 18, 19, 20, 26 and 54. The Bill already enables one local authority to be removed from a combined authority if it does not wish to agree to the combined authority’s proposal to adopt a position of mayor. I look to my hon. Friend the Member for North East Somerset, who I know from his earlier comments has a particular interest in this matter. The amendments extend the provisions and would mean that, if one or more councils within a combined authority do not wish to adopt particular aspects of a devolution deal, but the combined authority and other councils within it do, then the area of the combined authority is changed to remove the council or councils that do not wish to participate.
Norman Lamb
I would like the Minister to reassure the House that the emphasis will be—I think the shadow Minister made the point in his contribution—on consensus and that we should only get to the point of imposing this if all else fails. Will the Government issue guidance to ensure that the emphasis is on local agreement?
James Wharton
The emphasis is absolutely on local agreement and consensus. There is no power to impose devolution structures on areas that do not want to be part of devolution. Indeed, the amendments will ensure that areas that do not want to be part of a deal are able to leave that combined authority should they wish to do so. The amendments give greater flexibility to existing combined authorities to implement devolution deals, and to build further on the flexibility of the enabling approach in the Bill.
On amendment 9 and amendments 11, 12, 14, 21, 22, 23, 24, 25, 27, 28, 29 and 50, they are designed to simplify and harmonise the Bill’s provisions relating to the consents needed locally before powers can be conferred or exercised. We have tabled them in response to issues raised during earlier stages of consideration of the Bill in the House. They will standardise the provisions, so that the default position would require the constituent authorities and the combined authority to consent before secondary legislation is made. An exception is that for the dissolution of a combined authority, the consent of a majority of the constituent local authorities is required before such an order can be made. This simply retains the status quo.
I will now speak to amendments 27, 32, 33, 52 and 53, which further increase flexibility within the Bill’s provisions to enable combined authorities to be established and functions conferred. We are bringing them forward in response to our discussions in Committee, where some hon. Members outlined particular challenges in their areas. As is clear, the amendments do not in themselves change any combined authority in any place, but provide the flexibility to allow agreements to be made and delivered.
Mr Skinner
The Minister will know I have already referred to the fact that there are two different contending authorities or joint authorities in our area. One is Derbyshire and Nottingham, D2N2, and the other is Sheffield and Barnsley. There are several unitary district councils associated with that bid. Sheffield may want to take highways and transport from Derbyshire County Council. The unitary authorities of Bolsover, North East Derbyshire, Derbyshire Dales and Chesterfield are all involved with that county council in relation to social services and various other matters. We therefore need an assurance from the Minister—I know he has just been talking to the Secretary of State—that makes it clear that for Derbyshire County Council the circumstances, in electoral processes or in any other way, will not change. Is it yes or no?
James Wharton
I think the assurance I can give the hon. Gentleman is that what is done will proceed by consensus. We will look to talk to local areas about the different deals they want. The temptation in debates on Bills such as this is to look at the individual deals in individual areas. The Bill will enable us to have maximum flexibility to respond to local demand and local desire for devolution to deliver deals that will stand the test of time. I am unable to talk in detail in this particular forum, given the amendments and new clauses we are discussing, on what is proposed specifically in individual areas or the hon. Gentleman’s concerns, but I would be very happy to meet him to discuss any particular issues he wants to raise. I can assure him that the intention is to find consensus and build on it to deliver the devolution agenda.
Julian Sturdy
We need to ensure we get the safeguards and assurances on amendment 27, so that however well-meaning it is—I do not doubt what the Minister is trying to achieve—it will not have knock-on consequences for county councils in areas where we are trying to deliver devolution deals based on economic, rather than political, grounds.
James Wharton
My hon. Friend has discussed with me outside this Chamber some of the issues of interest to him in his area, for which he is an effective advocate. I can absolutely assure him that the intention is to find consensus and the right solutions for each area. We need flexibility in the Bill to deliver that. Where there are real concerns, far from being ignored they will very much be heard and acted on. I know some of the issues he raises in relation to his area. I am happy, as always, to meet him and his colleagues to discuss them as things progress, but there is no desire to do anything to areas—indeed, quite the opposite. This is about areas asking for things that we can then deliver. The Bill will give us the flexibility to deliver them.
James Wharton
I need to make progress as I am very conscious of the time.
I thank hon. Members for tabling amendment 59 relating to the Localism Act 2011. The amendment would not only impose a requirement to publish a report on the performance of the Act but require the Secretary of State to undertake a review of the general power of competence in relation to its use by combined authorities. The amendment is not necessary.
Jon Trickett
I am grateful to the Minister, who is making an articulate exposition of his position, for giving way. Were some districts in a county area to attach themselves to a great city, would he envisage the possibility of the county taking a different shape—in other words, Derbyshire or any other county in the same category ceasing to represent all the areas they currently do?
James Wharton
The intention is to deliver what local areas want, and therefore the Bill gives us the flexibility to ensure that the county would not need to be reshaped, but equally, where that was wanted, it would give us the flexibility to deliver it. That is the point of the Bill, as an enabling Bill. We want to proceed by consensus, because that is how devolution will last.
Amendment 1 would enable the Secretary of State to make provision in secondary legislation to require all local authorities in the area of a mayoral combined authority to undertake a community governance review within two years of the Act coming into force. Whatever the merits of “parishing” an area, I do not believe the amendment is necessary or appropriate. I recognise the desire for further devolution and for the devolution debate to continue, including on the role of more local decision making and parishes, but this is not the time or place to go down the route set out in the amendment. I hope, therefore, that hon. Members will agree not to press it.
James Wharton
We will be talking about that with the LGA and other interested parties, but we are still in the process of delivering those deals and it would be against the spirit of devolution were we to announce the format for such a forum. I recognise the hon. Gentleman’s comments, however, and the value that such a forum could bring. I am happy to put that on the record. It is our intention to have those discussions and to develop something that has broad agreement.
My hon. Friend the Member for Carlisle (John Stevenson), who cannot be with us today because of the terrible flooding that has afflicted his constituency, has tabled amendment 56, which would enable the Secretary of State to use a fast-track process for unitarisation or boundary changes in a particular area. I suspect I am going to take a few interventions on this amendment, but I wish to highlight this point: it enables a fast-track process and streamlines the use of existing powers; it does not bring in powers that do not already exist. He tabled a similar amendment on the first day of the Committee of the whole House, with a view to ensuring that no one council could effectively veto such a change, however sensible and supported such a proposal might be.
My hon. Friend wished to see a way of preventing one council from denying change that might be in the best interests of the wider area. We have heard further arguments today about the proposition, particularly from my hon. Friends the Members for Cleethorpes (Martin Vickers) and for Amber Valley (Nigel Mills). When we debated this last time, I made clear our approach: if such a governance change were to be made, there needed to be a level of consensus across the area and that we are not in the business of imposing change on any one. That remains our starting point and our intention.
Sir Edward Leigh
I know the Minister does not want to comment in detail, but, moving from the general to the particular, what would happen if Lincolnshire County Council, for example, wanted to use amendment 56 to fast-track the procedure, but one or more districts objected to a unitary authority? Do I take it that nothing in amendment 56 would make it easier for the district councils to be overridden by the county council?
James Wharton
The powers already exist for the Secretary of State to review and change local authority boundaries and create unitary authorities—to do many of those things that hon. Members have talked about with concern. This is a streamlining amendment that makes it more straightforward to deliver things where there is the desire; where it is important, as part of a deal; where there is consensus; and where the Secretary of State, having applied the statutory tests, is satisfied it is the right thing to do in the interests of that area. It is a welcome amendment, therefore, and I hope that hon. Members will support it.
Graham Stuart
I am struggling to square the amendment with what the Minister has just said. There is no talk about streamlining or tests. The amendment simply states that if one council is in favour, all the others can be pushed aside. That is what the amendment says. Our job is not just to listen to reassurances from Ministers, however brilliant, but to look at the words of the Bill, and the Bill appears to give great power to the Secretary of State. If he has that power already, I do not see why we need it in an amendment; if he does not have it already, I am a little reluctant to give it to him.
James Wharton
I hear what my hon. Friend says, but it remains the case that a council or group of councils can now, regardless of the Bill, ask the Secretary of State to implement a proposal for structural change through the traditional processes of the Local Government and Public Involvement in Health Act 2007, even where not all councils agree or where there are competing proposals for different councils. He has those powers, but only as part of a convoluted and lengthy process. This is not about forcing unwanted change on areas just because we have the power to do so; it is about enabling the flexibility to deliver the right devolution deals for areas and in a timely and flexible way. I know that hon. Members have raised concerns, but there are none the less statutory tests that have to be satisfied in doing that. This place would need to approve any change, but the fast-track process, with its significant safeguards, is a welcome one.
The new process would still require the Secretary of State to lay before Parliament a report on the fast-track process, including on matters he has taken into account when deciding to use it, and I reiterate that it could not be used without Parliament’s approval. Having carefully considered and weighed the arguments; having listened to the comments of my hon. Friend the Member for Carlisle and others; and having considered the need to ensure flexibility if we are to make devolution last, we have decided to support the amendment. We have tabled a manuscript amendment so that it is for a trial period and not something that would necessarily last in perpetuity; none the less we welcome the flexibility in the amendment.
Mr Chope
Will my hon. Friend confirm that the Secretary of State would not, under any circumstances, force change on a local authority against its will, and is really only interested in encouraging local authorities to talk to each other? He said, at the beginning of his remarks, that the starting point remains that change will not be forced on any one but suggested that ultimately the Government wished to have the power to force it.
James Wharton
I remind my hon. Friend of my earlier comments: those powers already exist. The Government’s intention is to find consensus, to build on the local desire for devolution and to deliver lasting devolution to areas that will benefit from it. Those powers are already there. This is about ensuring we can deliver, in a timely way, the devolution that local areas want, but I can absolutely reconfirm the Government’s commitment to seeking and building on consensus. That is how devolution will stand the test of time.
Amendments 16, 30 and 55 ensure that criminal liabilities of a public authority can be transferred to either a local government or combined authority on the same basis as other liabilities when public authority functions are conferred. Amendments 17 and 31 amend clauses 7 and 16 respectively and allow references in a transfer order or regulations to be made to a formal document, such as guidance, which can be amended from time to time.
Amendment 36 is a technical amendment substituting the original word “jointly” with the new word “concurrently”. The change is necessary to ensure that certain transport functions being carried out by strategic transport bodies and local authorities can be undertaken concurrently rather than jointly. Amendment 3 would change how mayors for combined authorities should be elected. We have debated this matter at length. We believe that, where we are electing an individual to exercise significant executive power, the voting system for which we have made provision is the right one, and that therefore the amendment should be rejected. Finally, amendments 10, 37 to 43, 45 and 44 are necessary to bring the Bill into line with the arrangement in London. They provide clarity and consistency in respect of mayoral deputies with police and crime commissioner functions.
I hope that hon. Members will accept the Government amendments and reject Opposition amendments and that the House will continue broadly to support the delivery of devolution, on which there is so much consensus and support.
Mr Allen
I beg to ask leave to withdraw the clause.
Clause, by leave, withdrawn.
New Clause 9
Consultation on changes to healthcare provision
‘(1) Part 4 of the Local Authority (Public Health, Health and Wellbeing Boards and Health Scrutiny) Regulations 2013 is amended as follows—
“(1) In section 20 (Interpretation) insert after “for which there is a country council (a);”—
“(c) combined authorities and each constituent part of a combined authority””—(Mr Graham Brady.)
This amendment requires that constituent parts of combined authority are consulted on any major healthcare reorganisation in their area in addition to the combined authority being consulted. It also allows constituent parts of a combined authority to refer any such reorganisation to the Secretary of State for Health without such a referral having to be made by the combined authority to which they are part.
Brought up, and read the First time.
Cities and Local Government Devolution [Lords] Bill
Lord Wharton of Yarm Excerpts(9 years, 2 months ago)
Commons ChamberRead Full debate Read Hansard Text Read Debate Ministerial Extracts
The Parliamentary Under-Secretary of State for Communities and Local Government (James Wharton)
I beg to move amendment 29, in page 1, line 14, leave out “under section 2”
This amendment would be consequential on leaving out clause 2.
The Second Deputy Chairman of Ways and Means (Natascha Engel)
With this it will be convenient to discuss the following:
Clauses 1 and 2 stand part.
New clause 1—Competences of local government—
‘(1) The Secretary of State must, after consultation with representatives from local government, publish a list of competences of local government.
(2) After the list has been published, the Secretary of State may not publish any amended list of competences of local government without first obtaining approval of the revised list consent from—
(a) the House of Commons, with two-thirds of its membership voting in favour of the amended list, and
(b) the Local Government Association.”
This new clause would define the independence of local government, and entrench it beyond easy repeal.
New clause 13—Double Devolution statements—
‘(1) A Minister of the Crown who has introduced a Bill in either House of Parliament having the effect of devolving functions or powers of the United Kingdom Parliament or the Secretary of State to a combined authority must, before the second reading of the Bill, make a double devolution statement on the arrangements for further devolving those functions or powers to the most appropriate local level except where those powers can more effectively be exercised by central government or by a combined authority.
(2) The statement must be in writing and be published in such a manner as the Minister making it considers appropriate.”
The intention of this new clause is to make clear what double devolution to smaller councils and neighbourhoods will occur in the wake of big city deals being agreed by combined authorities when giving powers to cities and/or combined authorities.
New clause 18—Independent Review, Support and Governance—
‘(1) It shall be the duty of the Secretary of State to lay before each House of Parliament each year a report about devolution within England and Wales pursuant to the provisions of this Act (an “annual report”).
(2) An annual report shall be laid before each House of Parliament as soon as practicable after 31 March each year.
(3) The Secretary of State may by order make provision for an Independent Commission or Advisory Board to undertake a review, challenge and advisory role in relation to:’
(a) reviewing orders and procedure arising from the Secretary of State’s decisions; and
(b) requests for orders received from combined or single local authorities.”
This new clause would ensure the Secretary of State has the necessary power to create an Independent Commission or Advisory Board to scrutinise the work of the Secretary of State relating to devolution, Annual Devolution Report and handle requests from local government about the decisions made by the Secretary of State.
New clause 22—Devolution in London—
‘(1) Within six months of the passing of this Act, the Secretary of State must publish a report on a greater devolution of powers in London, including on whether to make provision for the Secretary of State to—
(a) transfer a public authority function to a joint committee of London councils, and
(b) establish a joint board between London boroughs and the Mayor of London to support further devolution in London, and
(c) devolve responsibility on fiscal powers, including but not limited to, setting and revaluating local tax rates, banding and discounts.”
This new clause makes it a requirement for the Secretary of State to report on further devolution options for London, including fiscal devolution (e.g. council tax revaluation, etc) which has been called for by the Greater London Assembly and the Mayor of London.
New clause 23—Fair funding settlement: report—
Within six months of the passing of this Act, the Secretary of State must publish a report on the impact on the functions of combined authorities of the fairness of the distribution of funding from central government to local authorities, particularly with regard to levels of deprivation.”
This new clause would require a report linking the impact of devolution with the level of funding.
New clause 25—Public authority functions—
Within one month of the passing of this Act, the Secretary of State must publish a list of public authority functions which may be the subject of a transfer of functions under the provision of this Act.”
This new clause would require the Government to be more specific about the functions which it intends to developed to mayors, combined authorities and other local authorities.
Government amendment 4.
Amendment 51, in clause 3, page 2, line 19, at end insert—
‘(2A) An order under subsection (1) may not be made unless the proposition that the combined authority have a mayor is approved by a referendum of the electorate in that combined authority.”
The intention of this amendment is that elected mayors will be introduced only if that proposal has been endorsed, in a referendum, by 50% of the population.
Amendment 43, in page 2, line 31, leave out subsection (8) and insert—
‘(8) An order under this section providing for there to be a mayor for the area of a combined authority may be revoked or amended by making a further order under this section; this does not prevent the making of an order under section 107 abolishing the authority (together with the office of mayor) or providing for a constituent part of the combined authority to leave the combined authority and to resume its existence as a separate local authority.
(8A) An order under this section providing for a constituent part of the combined authority to leave the combined authority and to resume its existence as a separate local authority must make fair provision for a reasonable and proportionate division of resources between the former combined authority and the seceding local authority.”
The intention of this amendment is that a constituent part of a combined authority can leave a combined authority without the combined authority being dissolved, with provision for “fair terms” for the leaving part (i.e. their resource is calculated on a per capita basis, or similar.)
Amendment 46, in page 2, line 38, at end insert—
‘(10) This section does not apply to the County of Somerset, as defined by the Lieutenancies Act 1997.”
Amendment 39, in page 3, line 2, at end insert—
‘(1A) For an area of a Combined Authority where for any part of that area there exists both a County Council and District Council, no order may be made under section 107A unless either the Secretary of State or the existing combined authority has carried out a consultation with local government electors on replacing the existing County Council and District Councils with one or more unitary authorities.”
Amendment 44, in page 3, line 14, at end insert—
‘(4A) A constituent council may withdraw consent after the creation of a combined authority and a mayor for that authority.
(4B) Where one or more constituent councils have withdrawn their consent under subsection (4A), the Secretary of State must make an order either:
(a) abolishing the combined authority and the office of mayor, or
(b) reconstituting the combined authority without the non-consenting council or councils concerned”.
The intention of this amendment is that a constituent council may withdraw its consent to the creation of a combined authority, in which case the Secretary of State must either abolish the authority and mayor or re-constitute the authority without any non-consenting council.
Amendment 53, in page 3, line 27, at end insert—
‘(2A) The Secretary of State may make an order under section 107A in relation to a combined authority‘s area if a proposal for other appropriate governance and accountability structures for the authority’s area has been made to the Secretary of State by the constituent authorities.
(2B) The Secretary of State may set out accountability and governance tests in respect of other appropriate governance structures.
(2C) Orders may allow for a mayor or other appropriate governance structure to enter into collaborative working arrangements with more than one combined authority, or local partnership board covering for example rural areas.”
This amendment would allow for a mayor to work with more than one Combined Authority, or partnership board covering, for example, rural areas.
Clause 3 stand part.
Government amendments 18 to 22.
That schedule 1 be the First schedule to the Bill.
Amendment 57, in clause 4, page 3, line 33, at end insert—
‘(1A) Where the mayor for the area of a combined authority appoints a deputy, regard to gender balance must be given”
This amendment is intended to make sure that gender balance is taken into account in mayor/deputy teams
Clause 4 stand part.
New clause 21—Consultation with local community—
The Secretary of State must make an order to determine the consultation processes which will be used with the local community.”
This amendment is intended to ensure that mayors are provided only where the local resident population has been properly consulted.
Amendment 56, in clause 6, page 6, line 24, at end insert
“which is not restricted to a specific governance structure”
This amendment will allow a council to choose any form of governance and would be defined as a local authority according to the 1992 Local Government Finance Act.
Amendment 42, in clause 8, page 10, line 12, at end insert—
‘(2) The Secretary of State must lay before each House of Parliament at least once in each calendar year a report on the exercise by the Secretary of State of powers which have been devolved to the mayor of a combined authority.”
The intention of this amendment is that the Government should publish every year publish a report that shows that it has not exercised a power that has been devolved to a combined authority mayor.
Amendment 59, in clause 11, page 11, line 27, at end insert—
‘(1) Within 12 months of the passing of this Act, the Secretary of State must publish a report on the performance of the Localism Act 2011 and a review of the general power of competence provision.”
This amendment requires a review of the Localism Act and local authority innovation.
Government amendments 27 and 28.
James Wharton
As well as amendment 29, I will speak to Government amendments 4, 18 to 22, 27 and 28, and to the stand parts for clause 1, clause 2, clause 3, schedule 1, and clause 4. I will also comment, if time and the mood of the Committee permits, on new clauses 1, 13, 18, 22, 23 and 25, amendments 51, 43, 46, 39, 44, 53 and 57, and new clauses 21, 56, 42 and 59, which have been placed in the same group.
The range of interest that has been shown in this Bill speaks for itself. On Second Reading 76 colleagues made contributions, and there was a great deal of consensus. This Bill is of a consensual nature, and while there are issues that we will be discussing in Committee, it is important to put that on record. My intention and that of the Government today is to reflect on the debate that is now to take place and take that into account going forward. We hope this debate can continue in this consensual tone and that it will characterise the passage of this Bill.
Clauses 1 and 2 were inserted into the Bill in the other place. We have considered carefully the arguments in support of the clauses. We share the views of those who supported the clauses about the importance of the Government’s accountability to Parliament for the devolutionary measures and deals they pursue.
Clause 1 places a statutory duty on the Secretary of State to provide annual reports to Parliament setting out information about devolution deals. We recognise that the effect of this clause will be to bring together in an annual report to Parliament details about the whole range of devolutionary activity. While some, if not most, of this information will have been made available to Parliament in the ordinary course of business, we accept that there can be value in such a comprehensive annual report, enhancing transparency and accountability. The Government therefore accept that clause 1 should stand part of the Bill.
Amendments that hon. Members have now tabled seek in various ways to extend the reporting requirements. We are not persuaded that these are needed to ensure the transparency and accountability that we all wish to see, but I will listen carefully to the debate and we will consider further expanding the reporting requirements on devolution in due course subject to the arguments hon. Members put forward.
The hon. Member for Nottingham North (Mr Allen)—whom I may refer to occasionally throughout today’s discussion—has tabled new clause 18, which would require the Secretary of State annually to lay before Parliament a devolution report and enable the Secretary of State to establish an independent body to provide advice on devolution of powers. I think the reporting requirement he has in mind is already covered by clause 1, and while we accept the importance of reports, I do not believe a case can be made to establish some new independent body to provide advice. I fear that any such step would simply lead to additional costly bureaucracy.
The hon. Gentleman has also tabled new clause 13, which would require the publication of a report about how powers devolved to combined authorities are being further devolved. I know he takes great interest in that issue, in line with the devolution agenda more broadly, and wants that taken forward. The Government attach importance to such further devolution. In the Localism Act 2011 we have recognised the importance of neighbourhoods and of neighbourhood planning, and of communities being able to take ownership and management of community assets or take on the provision of local services. This is an important element of devolution and I can see the case for any comprehensive report about devolution covering these matters.
Amendment 42 was tabled by my hon. Friends the Members for Altrincham and Sale West (Mr Brady), for Hazel Grove (William Wragg) and for Bury North (Mr Nuttall). It would require the Government to publish an annual report about powers that have been devolved to a combined authority mayor. This again is an important matter and there is a case for information about this to be included in any comprehensive annual report on devolution. The Government recognise that and want to find the right solution for the concerns hon. Members have.
The shadow Secretary of State and the hon. Members for Heywood and Middleton (Liz McInnes), for Croydon North (Mr Reed), for Dewsbury (Paula Sherriff), for Easington (Grahame M. Morris) and for Stretford and Urmston (Kate Green) have tabled new clause 22 which would make it a requirement for the Secretary of State to report on further devolution options for London, including fiscal devolution which has been called for by the Greater London Authority and the Mayor of London. As we made clear in the other place, we are open to discussing with London plans for the devolution of wider powers. Indeed, the Mayor and London Councils have already sent in formal devolution proposals and the Government are engaged in discussions regarding these. We are committed to taking forward these discussions and I doubt whether there is a need for some further reporting requirement therefore to be included in this Bill.
Mike Kane (Wythenshawe and Sale East) (Lab)
Will the Minister confirm that these devolution powers from central Government apply to Manchester and to the interim authority and mayor after 2017, and that it is not the reverse—from local authorities up to a combined authority or mayor system—and that with spatial planning it will take the full agreement of the 10 leaders who make up the cabinet and a two-thirds majority for all other decisions? Will he confirm that to the Committee today?
James Wharton
The hon. Gentleman makes an important point. We are talking about powers that are being transferred from Whitehall and Westminster and from Ministers and public bodies to combined authorities —to the areas that are making these devolution deals. It is not about powers being taken up from local councils and authorities, unless they choose to so pool them. That option is on the table, but there is nothing in this Bill that would compel it. In Greater Manchester, as part of that deal and the accountability we want to build into the process, the combined authority has a two-thirds mechanism for holding the mayor to account. That is an important part of that deal and one that gives the reassurances people in Greater Manchester—the local authority leaders who reached that deal with us—and hon. Members will want to see as we take this process forward.
Sir Edward Leigh (Gainsborough) (Con)
In theory devolution is fantastic, of course, and we all agree with it, but in this debate on Sunday trading will the Minister at least listen to religious people who feel the country is becoming increasingly secular and consumerist? Their concerns have to be handled very sensitively by the Government. That does not necessarily mean they cannot proceed, but those concerns have to be handled sensitively. Will he assure the Committee he will do that?
James Wharton
I can absolutely give my hon. Friend that assurance. The Government have consulted on, and made clear our intention to introduce as part of this Bill, Sunday trading devolution. We will have full opportunity to discuss that. This Bill is currently being discussed in Committee on the Floor of the House. There will be time for discussion and we will work with colleagues and listen to their concerns, and we will try to find a consensus, so if change is to be delivered it has the support of the House and of the broadest possible base of opinion in this country.
We accept the case for transparent and comprehensive reporting—indeed, we are advocates for it—but we are clear that the devolution statement that clause 2 requires to accompany any future Bill would be unnecessarily bureaucratic. For many Bills, such a devolution statement would be irrelevant, as the Bill would have no implications for functions that can be devolved. There is a real risk that, in practice, the production of such a statement would become a tick-box exercise, at best adding no real value and at worst becoming a distraction from driving forward real devolution, for which I think there is a broad consensus in favour among Members.
James Wharton
Yes, I can give the hon. Gentleman that reassurance. Every devolution proposal will involve a deal between the Government and those local areas that want devolution. As part of those deals, we will look at what further steps can be taken. We recognise the principle, which he advocates, that decisions should be taken at the lowest level of government at which they can effectively be taken. If an area with which we were having discussions wanted that to be part of the deal, and if we could work with it to deliver it, it would be our intention to do that.
Returning to clause 2, it would be easy for some future Government to parade their devolutionary credentials because every one of their Bills had a devolution statement, while in reality they might have done little to continue to meet what I confidently predict will be a continually growing appetite for devolution across the country. I suspect that the hon. Gentleman agrees with me about the existence of that appetite. Accordingly, the Government are opposed to clause 2 standing part of the Bill, and amendment 29 is consequential to the removal of the clause from the Bill, deleting the reference to that clause in clause 1.
The hon. Gentleman has tabled a number of amendments that would have constitutional implications. We will consider most of them later today, but new clause 1 is in this group. It would require the Secretary of State to publish a list of local government competences, having first agreed them with representatives from local government. Once published, the list could be amended only with the approval of two thirds of the membership of the House of Commons and the approval of the Local Government Association.
I understand the reason for new clause 1 but I cannot support it. When codification of the relationship between central and local government has been attempted in the past, it has failed, as was recognised by the Political and Constitutional Reform Committee of this House. In their response to a report from the Committee in 2013, the Government commented that codification fails because it is about processes, rather than about policy intended to improve outcomes. Instead of liberating local leaders, a codified relationship could simply serve to focus energy on theoretical debate, rather than on shared endeavour, problem solving and action.
Mr Allen
I will speak about this at greater length later, but may I make one specific point now? Historically, local government has felt uneasy about its relationship of subordination to central Government, and a means of reassuring local government of all political parties would be to entrench the settlement that the Minister is proposing and to find a way in which to reassure local government about its long-term sustainability and its independence from central Government. Will he undertake to have a think about this matter, so that he will be able to ensure even more co-operation from local government?
James Wharton
I will of course give the hon. Gentleman that undertaking, and I shall listen carefully to what he says later. I know that he has a great deal of expertise in this area, and I recognise some of his concerns. It is important that we find the right mechanism to address them as best we can in the Bill.
Amendment 59 and new clauses 23 and 25 have been tabled by the shadow Secretary of State, the hon. Member for Hemsworth (Jon Trickett), and his colleagues. Amendment 59 would require a report reviewing the Localism Act 2011. New clause 23 would require the Government to publish a report about the impact on combined authorities of the way in which resources had been distributed through the local government settlement. New clause 25 would require the Government to publish a list of the public authority functions which may be transferred.
We do not consider amendment 59 to be necessary. The Government are committed to a process of post-legislative scrutiny to review the effectiveness of legislation and to inform the development of future legislation. The lead Department submits a report to the Select Committee, usually within three to five years of the legislation receiving Royal Assent, with its preliminary assessment of how the Act has worked in practice in relation to its objectives and benchmarks, as identified during the passage of the Bill. This would inform the Select Committee’s view on whether to conduct a fuller post-legislative inquiry into the Act. The additional steps proposed in amendment 59 are therefore unnecessary.
Mr Clive Betts (Sheffield South East) (Lab)
When the Localism Act was passed, the Secretary of State for Communities and Local Government, the right hon. Member for Tunbridge Wells (Greg Clark)—in a previous guise—produced an annual report on how each Department was doing in regard to devolution. Unfortunately, that practice was stopped, but the right hon. Gentleman came to the Select Committee and argued strongly that it should be continued. Does the Minister think his boss has changed his mind?
James Wharton
The hon. Gentleman shares my admiration for my Secretary of State and for the work that he has done in this area of policy over an extended period. It is of course open to my right hon. Friend to do that again, and I suspect that the hon. Gentleman will wish to prevail upon him and to repeat his argument on the value of considering that course of action. However, I do not think it necessary to include amendment 59 in the Bill.
We also consider new clause 23 to be unnecessary. It would not add anything to the information we already provide. By separating Government funding from the other sources of income available to local authorities, as the new clause proposes, and by isolating deprivation from other drivers of spend—for example, the impact of population sparsity in rural areas—the report required by the new clause would fail to present a properly rounded picture of the settlement. As hon. Members know, we already publish an annual assessment of the impact of the settlement on authorities’ wider spending power and an equalities statement on the settlement’s effect. Moreover, the settlement is subject to wide-ranging consultation and comes before Parliament for approval. I am not persuaded that anything further of this nature is needed in the Bill.
On new clause 25, I remind hon. Members that this Government’s devolution policy is a bottom-up one. We want to ensure that devolution opportunities are available to all parts of England, including rural and coastal areas, counties, towns and cities. On Second Reading, we discussed at some length the devolution deal that has been done with Cornwall, a non-city area that wants to be part of this process and that has got behind a plan that it believes can drive real change for the better. The enthusiasm from hon. Members from Cornwall who spoke in that debate was obvious and is commendable.
Mr Jacob Rees-Mogg (North East Somerset) (Con)
My hon. Friend makes the important point that rural areas should be protected. Will he give the House an undertaking that rural areas that are close to urban areas will be protected from being swallowed up by those neighbouring cities?
James Wharton
My hon. Friend raises a point that I know is close to his heart. He has tabled amendments to the Bill, which we shall discuss later. No area will be compelled to agree a devolution deal. The purpose of the Bill is to enable us to put such a deal on the table for any area that wants one, but it does not give us the power to compel any area to accept it. His comment is in line with the Government’s intentions in the legislation. We want to ensure that devolution and the benefits it can bring are there for everybody, but we will not compel areas to be part of it.
Jonathan Edwards (Carmarthen East and Dinefwr) (PC)
The Minister has talked about a bottom-up approach. From what I understand, Manchester is to be offered powers over policing. We had a bottom-up approach in Wales as a result of the Silk commission, which was sponsored by the UK Government, in which all parties agreed that policing powers should be devolved to Wales, just as they are in Northern Ireland and Scotland. However, the draft Wales Bill was published yesterday and the devolution of policing is missing from it. Can the Minister explain the ambiguity of the Government’s position?
James Wharton
I recognise the hon. Gentleman’s diligence in raising his concern, particularly given that that is his area of expertise. Rather than my commenting on it in the debate on this Bill, however, I would gently suggest that it is a matter that should be discussed in a Welsh context in the debates on the Wales Bill.
Mr Graham Brady (Altrincham and Sale West) (Con)
The Minister has given the welcome assurance to my hon. Friend the Member for North East Somerset (Mr Rees-Mogg) that no rural area neighbouring an urban or metropolitan area would be held to becoming a member of it. Will he also give the Committee an assurance that any rural area wishing to join a combined or mayoral authority will be able to do so?
James Wharton
That would be entirely a matter for the proposal put forward by the local area in question. We would certainly be open to whatever geography an area wished to present as the most logical for its economy and the most able to allow it to drive forward the changes and improvements we envisage being enabled by the Bill. So yes, that would be possible, but only by agreement and in line with the Government’s approach to devolution.
James Wharton
The hon. Gentleman tempts me to divert my attention from the amendments. The steps this Government are taking on business rates are generally welcomed by local government—that is my experience of the discussions I have had. They are another step towards giving local government the certainty, control and freedom it wants, and delivering on our agenda. They are broadly in line with the devolutionary approach that we are taking and is envisaged by the Bill.
Nigel Mills (Amber Valley) (Con)
The Minister mentioned that local areas can choose what area will bid for these devolved powers, based on their own local needs. What size of population or of economy would an area need to get this devolution? There has been some suggestion that the Nottinghamshire and Derbyshire bid is not large enough.
James Wharton
It is up to local areas to make proposals, and we will look at the offers and deals. Thirty-eight proposals were submitted before the 4 September deadline by areas interested in being part of this process. We will seek to ensure that any proposal makes economic sense, and that the deal takes account of all interested parties and their views, but we are not going to prescribe in this Bill, nor set out centrally, the geography that devolution should follow, because to do so would go counter to the bottom-up process that we envisage driving forward long-lasting and successful devolution in this country. I recognise my hon. Friend’s important question, but flexibility is the intention and it is what the Bill contains. We want agreement and to work with areas to deliver on their objectives.
We are open to discussing devolution proposals from all places. We have been clear that our approach is for areas to come forward with proposals that address their specific issues and opportunities. The Bill is therefore enabling legislation that will provide the legislative framework to give effect to the different aspects of devolution deals. The Government have not specified a list of functions that may be devolved, and there is good reason for that approach. It means that we can consider any area, idea or proposal. Perhaps more significantly, if we started to specify lists of functions or kinds of areas, those whose ambitions fell outside these ideas might be reluctant to come forward. The reality is that, as decades past have shown, if the man in Whitehall is asked to specify what might be devolved, the list is going to be pretty cautious.
It would not be right to restrict our ambition by taking such an approach, so I hope Opposition Front Benchers will accept and understand the position the Government are taking. In short, specifying functions or kinds of areas is simply not consistent with a genuinely bottom-up approach. We will therefore not be supporting amendment 59, or new clauses 23 and 25, and I hope hon. Members will not press them to a vote. I also hope that, with my explanations and assurances, the Committee will be able to support clause 1 and reject clause 2, accepting the consequential amendment to clause 1.
Mr David Nuttall (Bury North) (Con)
Given what has been said by my hon. Friends the Members for North East Somerset (Mr Rees-Mogg) and for Altrincham and Sale West (Mr Brady) about rural areas being swallowed up by urban areas and the Minister’s response thereto, does it all mean that the Minister would be minded to accept at least the thrust of amendment 43, which stands in the name of my hon. Friend the Member for Altrincham and Sale West and would give a predominantly rural area that has already been swallowed up the right to remove itself from the arrangement?
James Wharton
I have had discussions with my hon. Friend the Member for Altrincham and Sale West, I recognise the comments that he makes and I will of course listen carefully to the further discussion today. I will set out the Government’s position on the issue in due course, but I wish to make it clear that the intention is to be consensual. We intend to listen to concerns that hon. Members might raise and try to find a way whereby we can agree across this House on what we want to deliver. I recognise the important point being made and I am sure we will discuss it further.
Amendment 4 is about mayors being a condition of devolution. We are seeking to remove the requirement that a mayor cannot be a precondition of transferring local authority or public authority functions to a combined authority, because it is wrong in principle, and it is at odds with our manifesto policy and manifesto commitment. In addition, if the requirement remained, it would mean that the deals we have made already with Greater Manchester and with Sheffield could be in jeopardy. The requirement is wrong in principle.
Mr Kevan Jones (North Durham) (Lab)
I welcome this movement, but can the Minister explain why the Secretary of State has always insisted in his discussions with the combined authority and the north-east council leaders that a prerequisite for any devolution is having a mayor?
James Wharton
I think the hon. Gentleman may have misunderstood the direction of travel that I am setting out, but I am happy to clarify it and I hope to go on now to address his concerns.
Mr Betts
The Minister has just said that the Sheffield deal could be put at risk, but at this stage it is not a done deal—it is a proposal. If Sheffield were to say, “We actually rather like the proposal, but without the mayor,” what would be wrong with that, as the Bill stands?
James Wharton
The hon. Gentleman might recognise that that would then not be the agreement that has been proposed. Where there is devolution on the ambition and scale of Greater Manchester, we could not ensure that the strong, clear accountability necessary to support such devolution and provide the leadership to drive forward that area’s economy would be in place without a metro mayor. That strong, clear accountability needs to be a single point of accountability that only an elected metro mayor can provide. Where major powers and budgets have been devolved, people need to know who is responsible for decisions that can have a radical impact on their day-to-day lives. Mayoral governance for cities is a proven model that works around the world—it is indeed the model of governance for world-class cities. None of that is to say that we are imposing mayors; mayors are not being imposed anywhere. If any area has a mayor, it will be because that area, through its democratically elected representatives, has chosen to have one. The Bill specifically provides for that.
Mr Betts
The Minister is making the case that a mayor is required in order to have strong enough leadership and get things through, but in the proposed Sheffield deal only the transport functions go to the mayor—all the economic functions go to the combined authority. Is he therefore saying that there is not going to be strong leadership on these economic functions, because a mayor is not in charge of them?
James Wharton
Let me be absolutely clear about this: this Bill does not allow this Government or any future Government to impose mayors on anybody. But where we make a deal it is a two-way process, and it is the Government’s clearly stated intention for those metropolitan areas that the accountability a mayor brings is desirable and we want to see it as part of those deals.
Mr Nuttall
Does the Minister accept that Greater Manchester is not just a single city? It is an area made up of a city—
Mr Nuttall
Two cities, nowadays, and several very independently minded towns, which feel that they have been forced together into an artificial construct.
James Wharton
It is important to be clear about what the devolution we are talking about does. It takes powers that exist in Whitehall—powers that rest with public bodies—and transfers them to local decision makers. It does not affect the arrangements that are already in place for local government, which recognise differences and the communities within them. We will allow them, of course, to pool areas of policy if they wish to do so, but nothing in this legislation would allow us to compel them to do so.
In his Budget speech in July, the Chancellor was clear:
“The historic devolution that we have agreed with Greater Manchester in return for a directly elected Mayor is available to other cities that want to go down a similar path.”—[Official Report, 8 July 2015; Vol. 598, c. 329.]
All of that is reflected in our manifesto commitments to
“legislate to deliver the historic deal for Greater Manchester”
and to
“devolve far-reaching powers over economic development, transport and social care to large cities which choose to have elected mayors.”
Mr Kevan Jones
I would like the Minister to clarify something. As he knows, the north-east combined authority area is not a metro area, because it covers a large rural area. He said that the agreement is between the combined authority and the relevant Minister, but the insistence so far from the Secretary of State has been that the only way the north-east combined authority will get devolution is if it has an elected mayor. Is the Minister now saying that there is an option for devolution without an elected mayor for the north-east?
James Wharton
The hon. Gentleman will recognise from the quote by the Chancellor that I just read out that where areas want significant devolution on the scale that Greater Manchester has and where they have metropolitan areas at their heart, the Government will ask for that requirement to be part of that deal process. However, nothing in this Bill will allow the Government to compel any area to have a mayor or to have devolution. This is an enabling piece of legislation. The hon. Gentleman is absolutely right that in the deal that we are discussing with the leadership in the north-east area—all of it from his party—there is that expectation and requirement, and it is a deal on which great progress is being made.
Andrew Stephenson (Pendle) (Con)
This point was covered very well on Second Reading. My hon. Friend may remember the speech of my hon. Friend the Member for Gloucester (Richard Graham) about who is in charge. Many members of the public cannot answer the question about who is in charge of their area. If we are devolving significant powers, surely it is right and proper that we have one person who is accountable to the people in that area.
James Wharton
My hon. Friend makes a very good point. If we want to drive forward the opportunities that devolution presents, the best model to use in many areas is that of metro mayor. We will have an answer to the question: who do I ring when I want to speak to the north-east, to Tees Valley and to Manchester? We will have a person who can bring together those opportunities and drive the potential that this devolution agenda delivers.
Ben Howlett
I thank my hon. Friend and the Secretary of State for the reassurance that was given to my hon. Friend the Member for North East Somerset (Mr Rees-Mogg) that we in the west of England will not have a mayor forced on us. Does he not agree that having that clause taken out needs to be looked at on Report?
James Wharton
Perhaps I need to be clearer about the impact of this clause. This clause would put at risk some of those deals already done. It would leave them open to legal challenge and put in jeopardy the devolution packages that those areas expect, the deals they have made with Government and the commitments that we made in our manifesto. I am in danger of repeating myself excessively, but I will again point out that no area can have a mayor or devolution forced upon it. This is enabling legislation that allows us to deliver our devolution obligations.
Jon Trickett (Hemsworth) (Lab)
Is the Minister saying that he has entered into draft deals for which he has no legal powers and for which the Bill as presented on Second Reading gives him no powers? Is he also saying that without driving this amendment through this afternoon, he would not have had the legal powers to enter into the deals that he has done so far?
James Wharton
What I am saying is that, if this amendment is not made, deals with areas including Greater Manchester and the Sheffield city region would potentially be at risk; they would be open to legal challenge. The whole point of this Bill is to enable us to deliver on the deals that we are making with areas. That is the whole reason why we need this legislation. If we were able to deliver those deals without it, we would not be here debating it in this Committee today. I do not think that the loss of those deals is an outcome that many would wish to see. I therefore commend to the Committee the amendments that we need to make to ensure that we can deliver on our manifesto commitments and on those deals that we have made.
I now wish to consider amendment 51, which was tabled by my hon. Friends the Members for Hazel Grove and for Shipley (Philip Davies). It provides that a combined authority mayor can be established only after a referendum. Our manifesto commitment states that we will
“devolve far-reaching powers over economic development, transport and social care to large cities which choose to have elected mayors.”
We are committed to cities making the choice for a mayor, but, as I have made clear, a mayor will not be imposed anywhere. This principle of choice is a principle which I am confident that my hon. Friends accept.
James Wharton
If the hon. Lady will let me make a little progress, I will give way to her soon. I know that she has been keen to get in.
In the traditions of our democracy—the traditions of a representative democracy that go back to the days of Edmund Burke if not before—it would be curious if that choice could not be made by those elected at the ballot box by the people of the city to represent them. That is the approach that is provided for in the Bill. The Bill specifically provides that each council in the area must consent to any order establishing a combined authority mayor. There is a good precedent for such an approach. A council can decide to establish a directly elected mayor for its area now. It was Liverpool City Council, which, in 2012, decided that Liverpool should have a directly elected mayor. If one council can decide to have an elected mayor, why cannot a group of councils decide to have a mayor over their combined area?
To require a referendum to be the only way for a combined authority to have a mayor would seem not fully to recognise the role that those democratically elected can legitimately have. The choice at root, as Greater Manchester has shown—
William Wragg
I am very grateful to my hon. Friend for giving way. He is proceeding with great courtesy, erudition and charm in this debate. Just on that point of the referendum in Greater Manchester, there were constituent parts of Greater Manchester that had referendums in 2012 on whether to have directly mayors and they rejected them. In part, that is my motivation for the amendment.
James Wharton
My hon. Friend raises an important point. He gives me the opportunity to clarify again the difference between the local authority mayors, of whom we have talked before, who took powers up and away from people, and the metro mayors who take powers down towards people and away from central Government and public bodies. It is an important distinction and one that is at the heart of the difference that explains the approach the Government are taking to my hon. Friend’s concerns.
As Greater Manchester has shown, the choice at root is whether or not to have wide-ranging devolution. If the choice is for devolution, it goes without saying that there must be accountability arrangements commensurately strong for the scale of powers being devolved. Holding a referendum on the narrow question of whether there should be a mayor risks not fully recognising the choice that is to be made. In short, our democratic traditions do not demand the approach provided for in amendment 51. Indeed, the approach we have in the Bill of the choice for a combined authority mayor being made by councils is exactly the same approach that is open to councils for choosing a local authority mayor—accepting the difference that I have already explained in my comments to my hon. Friend the Member for Hazel Grove about these powers coming down from central Government. Accordingly, I hope that this amendment will be withdrawn.
Karin Smyth
I wish to come back later to make some other points, but let me raise now this issue of two-way opportunity and choice for local people, which I very much welcome. Bristol does not have the opportunity to reverse the decision it made in 2012, which is a fundamental principle of democracy and accountability. I am interested to hear whether the Minister will support clause 21, which has come from the Lords.
James Wharton
I hear what the hon. Lady says and that issue will be given a great deal of consideration. I will comment on the matter later in the course of the Committee, but the message has been heard loud and clear by Government. As I said in my opening remarks, we are keen to find consensus where we can on this agenda. I hope that at this stage, subject to the debate that might take place, that will sufficiently reassure the hon. Lady so that she can await those discussions in due course.
James Wharton
I cannot give way to my hon. Friend, because I must make some progress. I apologise to him, but there will be opportunity throughout today to discuss this matter.
I doubt that it would be right to accept this amendment, but we shall of course listen carefully to the debate, both on this amendment and on the amendments of my hon. Friends the Members for Hazel Grove and for Shipley. We recognise the strength of feeling and we want to find a way to ensure the broadest possible support for this legislation. I have put on record the Government’s views and the concerns that we have to the proposed approach, but we will of course listen to what is said later on today.
Amendment 46, which is in the name of my hon. Friend the Member for North East Somerset (Mr Rees-Mogg), seeks to prevent the ceremonial county of Somerset— the administrative county of Somerset and also the two unitary authorities of Bath and North East Somerset and North Somerset—from adopting arrangements that include a mayor for the area of the combined authority. There are two difficulties with the amendment. I suspect that my hon. Friend will speak to the amendment later, and I will listen intently to the comments that he makes. The first is that it would single out Somerset, Bath and North East Somerset and North Somerset as some kind of special case.
James Wharton
Although those places are indeed special, the amendment is completely at odds with the generic, enabling provisions of the Bill. To recognise the unique character of an area is not to seek to exclude it from the enabling provisions. Rather, it is through those enabling provisions that we can recognise the particular character of Somerset along with the particular character of any other area. That is at the heart of the Government’s flexible approach—the bottom-up approach—of delivering devolution that is bespoke to the areas that want it.
Secondly, the amendment would rule out the Somerset authorities from having the option of adopting one of the models for strong and transparent governance that is available. Clause 3 enables an area to adopt the model of a combined authority mayor, but it will be for the councils themselves to decide whether they wish to move to this form of governance. We will not impose devolution on anyone, but it should be possible for everyone. I look to my hon. Friend the Member for North East Somerset to withdraw his amendment, but I will listen with interest to the comments that he makes.
I also want to comment on amendments 53 and 56, which are tabled in the name of the hon. Member for Nottingham North. Amendment 53 seeks to extend the Secretary of State’s powers under the new section 107A, so that in addition to providing by order for there to be a mayor for a combined authority area, provision could be made in certain circumstances, following a proposal from the constituent authorities, for some other governance and accountability structures for the combined authority area. Amendment 56 seeks to provide that, where such other governance structure has been provided, the combined authority would be a major precepting authority, as it would be if there were a mayor for the combined authority area.
In general, I have some sympathy with what might be seen as the underlying idea of those amendments, which is to introduce some greater flexibility, but in this case I am not persuaded that this is the right approach. The amendments risk being seen as an attempt to hold out the possibility of some governance arrangement that does not have that sharp single point of accountability. Although we have been clear that the Government wish to impose that accountability on no one, it will be a requirement for those deals that are similar in their scope and ambition to that with Greater Manchester.
Mr Graham Allen
The Minister is being very generous in giving way. May I take him back to the point made by the hon. Member for Bury North (Mr Nuttall) about making arrangements that can be flexible and allow evolution, particularly of the larger areas that will be devolved? I know that Core Cities are particularly interested in this concept. It could be the equivalent of a pre-nup agreement with a smaller authority before it comes into full membership, almost like with the EU where there is a trial period, to see whether people get on before taking it forward as consenting authorities.
James Wharton
I hear the hon. Gentleman’s thoughts and recognise the intention behind the amendment. I will listen carefully to his comments later and will look to find consensus where we can to ensure that the safeguards that all Members want to see are included while ensuring that we deliver on this agenda and on the manifesto pledge made by my party at the election, only six months ago.
I am conscious that a number of hon. Members wish to speak, so I shall try to move through some of the other amendments reasonably quickly. Amendment 57 is tabled by the shadow Secretary of State and his colleagues and requests that a gender balance must be considered when the mayor appoints a deputy. I gently remind those on the shadow Front Bench that this approach was considered for the leadership of their party and rejected. The mayor, who will have a democratic mandate to govern, needs to be able to determine who will best assist him or her in delivering on the promises they have made to voters. That person should be the best person, regardless of gender, and I asked that the amendment is withdrawn.
Andrew Gwynne (Denton and Reddish) (Lab)
On the question of dissolving a combined authority, will not the difficulty always be that pooling and sharing arrangements will have been put in place and borrowing arrangements will have been made that a constituent authority might not easily be able to exit? That would make the long-term stability of the combined authority very uncertain were the amendment to be passed.
James Wharton
The hon. Gentleman makes a salient and important point. The Government will not support the amendment for that very reason, but I will listen carefully to the speeches that are made because it is important that we address concerns to the fullest extent to which we are able without attracting from the intention of the Bill and the intention of the Government to deliver on our agenda.
Clause 3 provides flexibility to enable a single local authority to leave, in line with the comments that the hon. Gentleman has just made, if it does not wish to continue to be part of a combined authority. A council can also leave a combined authority once a mayor has been elected for the area of a combined authority without the need for the combined authority to be dissolved and reformed, using exactly the same process as is used to establish such an authority of undertaking a governance review demonstrating that the change would improve the exercise of functions. In addition, a council that wishes to leave a combined authority can do so if it obtains consent from the other constituent councils of the combined authority, and if there is one, the mayor. Again, I will listen carefully to the comments of hon. Members with a view to finding a position that can get broad agreement across the House as the Bill makes progress.
Amendment 39 is tabled by my hon. Friend the Member for Amber Valley (Nigel Mills). It applies to circumstances in which a combined authority is proposed and seeks to require that no order can be made for a combined authority unless local government electors have been consulted on replacing the existing county councils and district councils with unitary authorities. That moves away from the flexibility we want to be to deliver and puts conditions on deals that we might want to make but that we do not necessarily want to impose. Again, I will listen very carefully to my hon. Friend’s comments later on in today’s discussions.
Mr Betts
Will the Minister also listen to the problem in the districts in north Nottinghamshire and north Derbyshire? They are part of the Sheffield city region for economic purposes under the proposed deal but not for transport purposes, because in order to come under the mayor’s jurisdiction they need the permission of the county. Equally, the districts have to give their permission to join a county combined authority. This is a really complicated situation that needs resolution with Government help.
James Wharton
We will consider both the specific situation that the hon. Gentleman raises and more generally its application to our policy direction. I will listen carefully to the comments made in the rest of today’s debate.
Amendment 18 to 22, 27 and 28 are technical and simply provide that where the Secretary of State has powers in relation to electoral matters, those powers may also be exercised by the Chancellor of the Duchy of Lancaster. The provisions are similar to those in other legislation regarding local electoral matters, such as the election of mayors under the Local Government Act 2000, and ensure that the rules made on the election conduct of elections are consistent over wider electoral landscape. I hope that the explanation I have been to give in the time available adequately and sufficiently explains the Government’s position. I reiterate our commitment to listen to the comments of hon. Members and to build as broad a consensus as we can.
Mr Betts
I want to make a very few points, because I know that other Members want to speak, particularly my hon. Friend the Member for Nottingham North (Mr Allen), who has tabled a number of amendments and has a long track record of constructive engagement in matters of constitutional reform and devolution of which I am very supportive. He did excellent work on that in the last Parliament.
My first point is about the question of elected mayors and takes me back to the point I made on Second Reading. If the Government are committed to considering bespoke arrangements on devolution for particular parts of our country and considering requests from combined authorities—groups of authorities voluntarily coming together and proposing what they want to see devolved—why do we need one element of imposition in all this? Why do we need one element that says that they can have the powers they come up with providing that agreement is reached but that they must exercise them in a particular way and that there is no ability to discuss that or come to a different view? I find it completely inconsistent with the rest of the Government’s approach.
I do not know why the Government are so insistent on having a mayor as a solution. If it was left to the combined authorities, they would come up with different arrangements. The arrangement in Sheffield has been negotiated not because the combined authorities wanted it but because they were told that they had to have it or else they could not have devolution. That is the situation.
James Wharton
Given that the hon. Member for Nottingham North (Mr Allen) has informed the Committee of the sad news of the death of Michael Meacher, I think it is appropriate for me to put it on the record that the Government’s thoughts are, of course, with those who were close to him and who will be feeling pain at this time. As someone who was in this House for longer than I have been on this earth, he made a very significant contribution to this place and one that we should recognise.
Mr Rees-Mogg
May I add to what the Minister has just said? In my dealings with Mr Meacher in this House, he never put his strongly held political views above his fundamental good manners and civilisation. He was always the most decent man to talk to, even though I doubt there was a single subject of any political importance on which we agreed. He is a loss to this Chamber.
I will come on to my amendment 46, which would exempt Somerset, God’s own county, from the provisions on having a mayor. The Minister suggested that Somerset was not exceptional. I think that that was a momentary lapse because he is not only a most honourable gentleman, but somebody of fundamental good nature and wisdom. We will forgive him such a momentary mental lapse on this occasion and put it down to the wet weather or something like that.
The Government are giving fine and good undertakings. I will quote briefly from the Secretary of State on Second Reading:
“It is a fundamental tenet of this Bill, in contrast to other reforms debated over many years, that it does not give me or any of my ministerial colleagues the power to impose any arrangement on any local authority.”—[Official Report, 14 October 2015; Vol. 600, c. 326-327.]
My hon. Friend the Minister has reiterated those undertakings. They are excellent and encouraging, and they provide a solid basis for proceeding. Unfortunately, there is a “but” coming.
Everything I hear from local councillors in North Somerset and Bath and North East Somerset tells me that they are having their arms twisted. We are seeing a velvet glove today—a finely manufactured velvet glove of the highest quality velvet. Behind it, however, is a firm iron fist that expresses the Government’s will that things should go in a certain way. I encourage the Government, through my amendment, to make the background noises—the conversations in smoke-filled rooms—match the fine words that we are hearing in this House.
And so I come to why I want to exempt Somerset. Well, there is history—there is always history! I will start, as always, with Alfred the Great. If we go all the way back to 879, Bristol was in Mercia and Somerset in Wessex. One of those two kingdoms was completely under the Danes—that was obviously the Gloucestershire bit. The borderline between the two has been there for over 1,000 years. There is a strongly embedded history in Somerset and, indeed, in Bristol which means that they see themselves as independent, distinct units.
It is important that the Government go with the grain of communities that have built up over generations, centuries and, in this case, even a millennium, rather than create new administrative regions that mean very little to people. Most people have no interest in the title of their council. They have an interest in where their home is. Their home may relate to a great city, to a great county or to a village, a county and the country. The use of power needs to go with that. Therefore, devolution from the United Kingdom to an administrative body with which people do not have sympathy and about which they do not have a feeling makes things no better. People have a loyalty to the nation and a loyalty to their locality, but if interspersed between them is some random political agglomeration that came about through a sudden burst of enthusiasm by a Government, people have no association with that, no enthusiasm for it and no loyalty for the institution.
Of course, this has been tried before. This is my second and perhaps more important appeal to history in the context of Somerset, particularly in relation to North Somerset and Bath and North East Somerset. We were part of a much disliked, most unsuccessful, high-cost organisation called Avon. It is known to the cognoscenti as CUBA—the county that used to be Avon. The name CUBA was appropriate because it was almost as left-wing as Mr Castro in its approach to government and it was exceptionally expensive. It had one of the highest increases in rates in the 1980s. It was felt by people in the rural areas that it was run for the benefit of Bristol, with the cost being borne by people in rural areas.
We continue to see that in Avon and Somerset police, the cost of which is borne by the rural areas, even though—I am sorry to say this with the hon. Member for Bristol South (Karin Smyth) sitting opposite me—most of the crime is in Bristol. Inevitably, being an inner city, Bristol has more drug dealing, more armed crime and more social disorder than Nempnett Thrubwell and other villages in my constituency, which are bastions of law-abiding civility.
James Wharton
We have had an interesting and wide-ranging discussion that none the less has retained the cross-party support for the Bill’s broad objectives that I detected on Second Reading. There are concerns about some of the amendments, and the shadow Minister has indicated his intention to test the will of the Committee on some of them, but on others I have listened carefully to, and will consider, the informed contributions of hon. Members on both sides. However, I do not think that detracts from the fundamental truth that many Members of different political views would like the devolution agenda advanced and the Bill to succeed. I am pleased that that is the case and hope that we can move forward in that vein. I want to touch on some of the specific comments made in today’s debate.
The hon. Member for Nottingham North (Mr Allen), who kindly described me as a benign Minister—I have been described as benign and as a velvet glove this afternoon, although at least one Member indicated from a sedentary position disagreement with at least one of those statements—is on the record as a supporter of devolution. I have discussed the issue with him in this place and outside it. I recognise that through his amendments he wants to make his position clear that devolution should go further—he anticipates that in due course it will go further—and wants to entrench elements of devolution as part of our constitutional settlement. I understand his desire to deliver that, but some of his amendments may go a little too far from the nature and scope of this Bill in respect of what he wants to deliver constitutionally. I listened carefully to what he had to say and I recognise his expertise in this area and welcome his contributions.
My hon. Friend the Member for Amber Valley (Nigel Mills) talked about his desire to see local government reorganisation tied in with some of the devolution deals that are being delivered. We do not resile from that prospect—it is not something that we are necessarily against—but we are cautious when it comes to any proposal that would move towards imposition of that sort of reorganisation. This is going to be a consensual process—the Bill is designed to allow for that—and that is what it must be if devolution is to be a lasting settlement. I recognise the point of my hon. Friend’s amendment 39 and the consultation that he envisages within it, but I do not think that it is a step that we want to include at this time.
The hon. Member for Bristol South (Karin Smyth) made a cogent argument about the mayor and the provisions for people to have a say about that mayor, bringing the provisions into line with requirements and legislation that exist for mayors in other areas. I recognise what she said and hope that we can find some agreement on this area that she will support. I have certainly taken note of her comments and her useful contribution today.
My hon. Friends the Members for Altrincham and Sale West (Mr Brady) and for Hazel Grove (William Wragg) commented on a range of issues and a range of amendments, including on their desire for referendums. I talked about the issue in my opening remarks and set out why I think the process we are talking about here is different, with different types of mayors from those we have seen before and differences in the nature of what we are doing, with the transfer of powers down rather than up. I have listened to my hon. Friends’ comments and hope that, while we may disagree on some of the specifics, we will find broad agreement, and I look forward to having further discussions with them about how best to achieve that.
Victoria Borwick
I want to return to the point, mentioned across the Chamber, about the work that can be done collaboratively on health issues. We saw the work done on dealing with violence against women, and I want to reiterate the importance of devolving health to these larger areas.
James Wharton
My hon. Friend brings a wealth of experience to this place, and I welcome her comments and interventions. She has stated her position very clearly on the record. As we move through the course of today’s debate, we will have further opportunities to discuss the potential for health devolution. I recognise my hon. Friend’s case particularly in respect of London. The Government have the capacity to discuss and continue to discuss with the Mayor of London and London local authorities the sorts of changes they would like to see to the existing settlement. It is important to recognise my hon. Friend’s comments, to welcome the co-operative spirit in her approach and her desire for London to benefit from the sort of changes that are going to be delivered to other areas through this Bill.
Mr Mark Prisk (Hertford and Stortford) (Con)
I am listening to the Minister’s comments about referendums and what we discussed on Second Reading about metro mayors. In the balance of the debate, there still seems to be some confusion among the Opposition Front-Bench team about whether this is an imposition. It is not; it is an enabling process. Will the Minister confirm that that is the case?
James Wharton
My hon. Friend pre-empts what I was coming on to say. He is, of course, absolutely right, and is perhaps more generous than I would be inclined to be when he says that there is only “some” confusion on the shadow Front-Bench. He makes an important and relevant point—one that I intend to develop in my later remarks this afternoon.
Andrew Stephenson
I appreciate the Minister’s confirmation that nothing will be imposed on any area where it is not wanted. However, in areas where it is wanted and councils want to come together to get powers devolved from Westminster to their areas, does my hon. Friend agree that it is important to have a single person who can be held accountable by the public for those new powers and new responsibilities?
James Wharton
My hon. Friend is of course right about the importance of sharp accountability with respect to the ability of a metro mayor to drive the change that devolution presents an opportunity to deliver. This direct approach from the elected metro mayor should help to ensure that we get the maximum benefit from a process of devolution. That has been shown the world over, when many big cities with mayors deliver real improvement and success for the areas they represent. It is a proven model, one that we want to see delivered through this devolution agenda. It is also one, importantly, that will not be imposed on any area.
Mr Kevan Jones
Will the Minister just be honest? He says that he is not going to impose a system, but he well knows the alternative. Unless the north-east accepts an elected mayor, no devolution will take place. That is a take-it-or-leave-it provision; it is an imposition by any other name. The Minister should admit that he wants to impose an elected mayor on the north-east irrespective of what local people or local politicians want.
James Wharton
I listened carefully to hon. Gentleman’s contribution, and I know that he is exercised by this issue. I do not recognise the narrative that he put forward as entirely fulsome in its representation of the processes that are under way. [Interruption.] I will explain my comments thus. The Bill does not allow the Government to impose devolution or a model of devolution on any area. It allows areas to reach agreement with the Government about devolution when they see the benefits to their areas from it.
In the north-east—an area represented by the hon. Member for North Durham (Mr Jones) and one close to my heart and interests—we have had productive discussions with local authority leaders. Those leaders are not exclusively Conservative or even Liberal Democrat, as we are talking to Labour local authority leaders, too, and they are working with us to find the right package to deliver devolution. The Bill gives no power to impose devolution on the north-east and we would not attempt to impose a model of that devolution without the two going in tandem. The opportunity is there in the legislation for areas to ask for devolution; we can enter into discussions and deals can be made in a bespoke and bottom-up way to ensure that every area gets the right deal.
We have been clear throughout this process—it was clear in the manifesto on which this party stood at the last election—that if areas with large metropolitan city centres want a devolution package similar to the one that Greater Manchester has agreed with the Government, we would expect a metro mayor to be part of the package.
Ian Mearns
Will the Minister confirm that for the area of the North Eastern local enterprise partnership, which includes Durham, Northumberland and Tyne and Wear, a £30 million investment package is on the table, but that that £30 million is available only in the eventuality of an elected mayor being accepted by the seven authorities?
James Wharton
I am happy to confirm that we are in discussions with local authority leaders in that area, but that leads me on the hon. Gentleman’s earlier comments about the geography. He has raised the point—and is perfectly entitled to do so—that this is a diverse area with rural and urban communities. I should make it clear, first, that we are talking about powers that are currently controlled in Whitehall and currently controlled nationally by public bodies and by Ministers here, and we are taking them closer to the people affected by them. Secondly, I must make it clear that we will not tell any area what its geography must be. We have left it for areas to come forward with proposals that they believe best suit the economic opportunities that exist in those areas.
John Stevenson (Carlisle) (Con)
Does the Minister think it would be in the best interests of the north-east to have an elected mayor?
James Wharton
My hon. Friend raises a valid point. An elected mayor provides the focus and accountability; it means there is someone to drive the agenda forward and be accountable for it. However, we would not impose this on any area. It will be delivered only by agreement. That is true of the north-east as it is for the country as a whole, and it is true of the text in this Bill, which does not give us the power to impose. It gives us the power to make deals with the areas that want them. Devolution should be on the table for any area that wants it, but it should be imposed on no one, and that is what the Bill ensures will happen.
Mr Rees-Mogg
I am grateful for my hon. Friend’s very clear answer. Is it therefore the case that if an area refuses devolution, the money stays with Whitehall but can still be spent in that area, and that refusing devolution results in no financial loss?
James Wharton
Of course. Areas that choose not to be part of devolution—and it is their choice; devolution will not be imposed on anyone—will suffer no disadvantage as a result of that choice. I shall be happy to meet my hon. Friend and his colleagues to discuss any concerns that they may have about what may come to be proposed for the area that my hon. Friend represents, and also about the implications should an area choose not to be part of the process. This is not about imposition; it is about consensus, working together and co-operation.
James Wharton
I will if the hon. Gentleman is very brief. I know that he is enthusiastic to have his say.
Mr Jones
I am, because what the Minister has just said is not true. What has been said to the seven local authority leaders in the north-east is they must either accept the mayor and the devolution settlement or not receive the extra money that has been trumpeted by the Tory party in the north-east and by the Minister’s friends. The only way to get extra resources for the north-east is to accept an elected mayor and the system to which the Minister is agreeing.
James Wharton
I am not sure how much more clearly I can express myself. We will not impose devolution on any area, but any area is free to come forward and negotiate with the Government to make a deal for the delivery of devolution if it wishes. Areas that do not choose to be part of devolution will not have anything taken away from them as a consequence, and when devolution is delivered, it will be about powers coming down. Local authorities will only see powers transferred up to a metro mayor when they opt for that to happen. I think I have made myself very clear on that important point.
There is one more important point that I want to make to Opposition Front Benchers, about amendment 4. It is imperative that when the conditionality amendment that was made in the other place is put forward, we are able to deliver on our manifesto commitments, and so that we can do that, the changes that the Government have proposed today need to be made.
Mr Steve Reed
This group of amendments deals with the functions of combined authorities and their funding. I shall try to cover the whole range and also speak to our amendment.
The Minister said that he and the Government are listening to these debates and making changes as a result. It is disappointing, therefore, that they have not brought any significant changes to the Committee in relation to this group, after the debates and decisions that were taken in the Lords, and the debate on Second Reading, on introducing stronger financial powers. Areas are being given new powers, which is absolutely welcome, but the truth is that they will lack the resources they need to use them fully.
Local government has proven itself to be more efficient than national Government, as hon. Members have testified, but Whitehall still will not let go. That is why I tabled amendment 58, which would introduce multi-year financial settlements. That would offer city regions financial stability and allow them to have long-term planning, which currently is not on offer under the financial settlement or the funding of local enterprise partnerships. Without long-term funding arrangements, they cannot plan sensibly for the long term.
The Government must commit to providing devolved regions with the resources they need so that they are not being set up to fail. The regional development agencies, which LEPs replaced, were able to make single three-year funding arrangements. LEPs are in many respects better, but they have access to a smaller budget, and there are far too many small ring-fenced grants, which constrains their ability to take the big, long-term, strategic decisions in the way they need to. We must ensure that combined authorities do not suffer the same problems.
Amendment 58 would therefore make provision for multi-year funding agreements, which would give combined authorities the resources and time they need to build financial stability and allow them to best protect themselves against unfair funding settlements of the kind we have seen central Government deliver since 2010, which I fear we are going to see again when the Chancellor makes his pre-Budget statement to the House in a few weeks’ time. This is an important issue, and I believe that the success or otherwise of devolution depends on it, so we will seek to push that amendment to a vote.
A number of other amendments are aimed at increasing financial stability. We are particularly interested in the Government’s view of those. I urge the Minister, in the Secretary of State’s absence, to respond to them so that we do not have to bring them back on Report. In particular, amendment 60, tabled by my hon. Friend the Member for Sheffield South East (Mr Betts), seeks further powers to allow mayors to borrow. New clause 14, tabled by my hon. Friend the Member for Nottingham North (Mr Allen), would allow local areas more discretion over the setting of council tax bands.
New clauses 10 and 11, tabled by my hon. Friend the Member for Harrow West (Mr Thomas), seek further devolution to London. I think he is quite right to point out that the devolution journey in London has not ended, because the capital is seeking further powers. His points about devolving housing to London are certainly worth further exploration. However, it is worrying that the Housing and Planning Bill contains more than 30 centralising measures, taking powers away from the localities and putting them in the hands of Ministers here in Whitehall, which runs completely contrary to everything we have heard from Ministers this afternoon about their devolution intentions.
My hon. Friend the Member for Harrow West also referred to fiscal devolution. We certainly need to see that, but it must sit alongside a fair equalisation mechanism, with incentives for areas so that they can benefit by expanding their economic potential, including the ability to invest in housing, infrastructure and those things that will increase the opportunity for jobs and prosperity.
The Government have tabled a number of minor amendments relating to the functions of police and crime commissioners, particularly amendments 23, 24 and 25 to schedule 2. There have been a number of media reports about devolving fire service functions to PCCs, but the Bill gives those functions to mayors. Can the Minister assure the House that fire services will not be politicised in the hands of mayors, a move that the Local Government Association says there is “no pressing need for” at this stage?
We support the principle of subsidiarity—an ugly word for a beautiful concept, as my hon. Friend the Member for Nottingham North reminded us in relation to his new clause 2—which states that decisions should be taken as close to citizens as possible. That is a very important principle that central Government repeatedly fail to understand.
On my hon. Friend’s points about a constitutional convention, he has been constrained to keep within the scope of this Bill by talking about a local convention. However, we believe that we do need a model for engaging civic society in the whole country—citizens, not just politicians—in seeking a new constitutional settlement that will shift powers not just from Whitehall to town hall but to communities, neighbourhoods, service users and all citizens to get power out of this place and into the hands of people who can really make a difference once they have access to it.
James Wharton
We have had an interesting and wide-ranging discussion. I recognise the comments made by hon. Members across the Committee and the range of amendments that have been tabled.
New clauses 2, 4, 5, 6, 7 and 16, and amendment 2, tabled by the hon. Member for Nottingham North (Mr Allen), are about the constitutional position of local government and putting in place arrangements for a constitutional convention to review this and implement any constitutional reforms considered necessary. I recognise his consistency in pursuing this issue; indeed, he also has a private Member’s Bill related to it. No one would deny the importance of constitutional matters. The traditions of this country are that we approach these matters in a pragmatic, evolutionary way. Our constitution has evolved over the centuries and continues to do so to meet the real needs of our people across the United Kingdom and to reflect the changes that are taking place in the wider world. I absolutely recognise the hon. Gentleman’s intentions and interest in this area, but I feel that this approach has served us well and I am confident that it will continue to do so.
The thrust of the hon. Gentleman’s amendments is that, for the first time in our history, we would put our constitution on a more rigid basis, seeking to codify issues and, in a sense, to set them in stone. Although they recognise the importance of constitutional issues and strongly support the passing of power down to the lowest practical level that this Bill will enable—the essence of devolution—the amendments are unnecessary and would be out of step with our traditions. They are also somewhat outwith the scope and intention of this particular Bill. However, I recognise his desire to put these matters on the agenda and his belief that they need to be addressed. I am sure it is not the last time that they will be discussed across the Floor of the House.
Mr Graham Allen
If the Minister thinks the system is serving us well, may I gently remind him that six or seven months ago we came within 6 percentage points of the Union breaking? We have all the shambles around English votes for English laws, and there are many other issues where people are clearly, given voter participation levels alone, disenchanted with politics. Does he not agree that the great work he is doing on English devolution could be the spark to re-engage a lot of people who are very jaundiced about our politics?
James Wharton
As I said, I recognise the hon. Gentleman’s interest and expertise in this area, and I am sure that we will have the opportunity to discuss it further across the Floor of the House, whether in relation to this Bill or other areas of policy. He tempts me to go further than I am willing to go in my comments today.
My hon. Friend the Member for Carlisle (John Stevenson) tabled amendment 50, which would give the Secretary of State powers to establish unitary authorities even if not all the councils concerned in a combined authority area agreed to the change. Our approach is that if a governance change is to be made, there needs to be a level of consensus about the choice over the whole area. We are not in the business of imposing change on anyone. However, I recognise my hon. Friend’s desire to raise this issue. He is not the only Member to have done so. The hon. Member for Bassetlaw (John Mann) has spoken about similar issues today and has met me to speak about them separately. We are about to engage in ongoing correspondence on the matter. I am of course happy to meet my hon. Friend if he would like to discuss this further, and I am pleased that he will not press his amendment to the vote.
My hon. Friend the Member for North East Somerset (Mr Rees-Mogg) tabled amendments 47, 48, and 49, which make a special case for Somerset. Just to be absolutely clear and to put it on the record, Somerset is a very special and exceptional place, but I explained earlier why I do not consider it appropriate to treat it differently in terms of this Bill. Nor do I believe that the substance of the amendments, which are about how the principle that changes in an area’s governance are a matter for local choice should be applied, are necessary given the existing safeguards. Somerset, or indeed any council, could be not required to join a combined authority or be conferred new central Government powers if those democratically elected to represent the people of the area did not consent. The councils of Somerset—or, indeed, the councils of some place less special—can themselves decide how they want to take their residents’ views into account. Those who have been elected should decide these matters. That is four square with our traditions of representative democracy, and therefore I hope my hon. Friend will not press his amendments to a vote.
Mr Rees-Mogg
I am very grateful to my hon. Friend for his assurances, which are extremely welcome, and for acknowledging that Somerset is an extremely special place. On that basis, I will not press my amendments later.
James Wharton
I thank my hon. Friend and note that flattery can get you a long way in this business.
The hon. Member for Harrow West (Mr Thomas) tabled new clause 10, which would provide for the devolution of the Secretary of State’s housing powers to the Mayor of London. Since 2012, the Mayor of London has had overall responsibility for housing policy and delivery in London, taking over from the Homes and Communities Agency. The Mayor has powers to set strategic housing and regeneration policy through the London housing strategy. The Secretary of State has a legitimate role in relation to housing across England and it would be inappropriate to remove that role.
The amendment would weaken the Mayor’s role by requiring the Assembly’s consent. That fundamentally misinterprets the role of the London Assembly, which is a scrutiny not an Executive body. I recognise the hon. Gentleman’s desire to pursue the issue and to put it on the record. I am sure he will want it to be considered further as matters progress and that this is not the last time it will be discussed on the Floor of the House.
A significant number of other amendments relate to finance. Government amendment 9 provides greater flexibility in funding the functions to be devolved. Orders under the Local Democracy, Economic Development and Construction Act 2009 enable a combined authority to levy for transport purposes, and the constituent councils to make financial contributions to that combined authority to fund economic development and regeneration functions. The amendment provides flexibility to enable the constituent councils, if they so wish, to make financial contributions for any function of the combined authority, not just economic development and regeneration.
Opposition amendment 58—which the shadow Minister, the hon. Member for Croydon North (Mr Reed), has said he wishes to pursue further this evening—proposes that the Secretary of State be allowed the power to allow combined authorities to set multi-year finance settlements. For a combined authority to set multi-year budgets, it requires not a power from central Government, but the certainty of knowing what funding it is to get. The deals we have agreed with Greater Manchester and the Sheffield city region show how funding across the years can be agreed. We do not, though, need powers to put in place multi-year settlements for local authorities. We can already do that administratively as part of the wider local government finance settlement.
Amendment 60, tabled by the hon. Member for Sheffield South East (Mr Betts), would delete from clause 5 the exclusion of borrowing powers from the ancillary powers that can be given to a combined authority mayor. I listened very carefully to his contribution and understand his concerns. We agree that in appropriate cases there should be prudential borrowing for funding investment for which the mayor is responsible. The Bill provides for that, and the exclusion that the amendment seeks to remove is not about prohibiting such prudential borrowing.
Clause 10 makes provision for funding combined authorities and, in particular, provides that the Secretary of State may make regulations specifying the functions for which there can be borrowing. The Bill explicitly provides that those functions can include mayoral functions and that the constituent councils must consent to any regulations allowing borrowing.
I assure the hon. Gentleman that there are indeed borrowing powers for mayoral functions. In addition to devolving powers to a mayor, the Bill also allows ancillary powers to be conferred on a mayor to allow him or her to exercise the devolved powers. These ancillary powers could be those needed to ensure that there are no doubts about a mayor being able to run an office or to commission necessary studies, or they could include giving the mayor a general power of competence.
The exclusion, which the amendment seeks to remove, is to make it clear that those ancillary powers cannot include a power to borrow. They cannot be a back door to borrowing. The Bill sets up a proper regime for borrowing to fund mayoral powers, and that should be the route for a mayor being able to borrow.
Mr Betts
These are complicated issues and I am not totally sure that I followed all that, and I do not know whether anyone else did, either. The Minister seemed to be reading out a brief from civil servants. Could he provide a note with a thorough explanation of the issue? None of us wants to end up with mayors who need to create transport systems but then find that they do not have the powers to borrow in order to do so.
James Wharton
In line with my desire to retain my reputation as a benign velvet glove, I have already written a note to my officials asking that we write to Members following this debate, to ensure that we fully clarify those matters. I will, of course, write to the hon. Gentleman, and if he has any concerns, I would be delighted to discuss them further with him.
Amendment 55, tabled by the hon. Member for Nottingham North, would enable control over decisions on business rates and council tax discounts to be devolved, if that is what is wanted locally. We have always said that we are interested in hearing proposals from authorities and that nothing is off the table for conversation. The Government have signalled their intentions and enabled a large degree of the sorts of financial flexibilities sought by the amendment. We recently announced that, by the end of this Parliament, local government will be able to retain 100% of its business rates. Through the existing powers that govern the business rates retention scheme, we can already give mayoral combined authorities their own share of local rates income and ensure that they benefit from the local growth that that will help to establish. Of course, any decision to make use of the existing powers to extend the rates retention scheme would be taken alongside that on any wider transfer of powers and functions to mayoral combined authorities.
Mr Graham Allen
Does the Minister accept that the Scotland Act 2012 gives the Scottish Government the right to retain not only 10p in the pound of income tax, but, from April, the proceeds of landfill tax and stamp duty, which are two significant amounts of money? Is there some reason why local authorities in England should not be able to have similar retention of those taxes?
James Wharton
The hon. Gentleman is consistent with his theme of wanting to go further to take devolution to what I have no doubt he genuinely believes to be its logical next level. I acknowledge his comments, and I am of course happy to meet him after this Committee sitting to discuss them further. However, I do not want to hold out the false promise that a Bill that already goes so far and does so much will be amended in line with his desires. I am happy discuss with him his longer-term desires for constitutional change and for devolution to take what may well be its next steps at some point.
We made it clear in our 2015 manifesto at the last election that we would continue to help local authorities keep council tax low for hard-working taxpayers and to ensure that residents can continue to veto high rises in council tax via a local referendum. New clause 15, tabled by the hon. Gentleman, would abolish the system of council tax referendums put in place by the coalition Government. The referendum threshold is not a cap. Councils can set any council tax increase they like, provided they obtain the consent of their local electorate when they go over the threshold. We see no reason to take away the protection and the final say of local voters over excessive increases.
New clause 12, tabled by the hon. Gentleman—he has just raised this issue—would provide that income tax receipts amounting to 10p in the pound should be assigned to the Department for Communities and Local Government, which would then pass the money on to councils. We are already committed to boosting local growth: by the end of this Parliament, the local government sector will retain 100% of local taxes to spend on local government services. The new arrangements we are already committed to delivering will give the sector greater long-term certainty over its income. No longer will local authorities be reliant on central Government telling them how much money they will receive for the year ahead only weeks before they set their annual budgets. I recognise the hon. Gentleman’s desire to go further and I am very happy to discuss that issue further, but I ask him not to press the new clause to a vote at this time.
James Wharton
The hon. Gentleman is articulate and persuasive, but he will not tempt me to elaborate further.
New clause 11, tabled by the hon. Member for Harrow West, provides for the devolution to London of the receipts from taxes on property. I know the Mayor’s ambitions for London and we have announced the local retention of business rates, but devolving taxes such as stamp duty to London could create a distortive effect. There would be a significant increase in administration costs for both the Greater London Authority and businesses that purchase properties both in and outside London. I have heard what the hon. Gentleman has said, and I will consider his comments further, but I do not want to give him the false expectation that they are likely to be reflected in the Bill or to make a commitment that I cannot fulfil at this time. He has, however, made his case very effectively.
Mr Gareth Thomas
I am grateful to the Minister for his smooth words. I gently suggest that his argument against the further devolution of property taxes as distortionary does not fit with his argument for devolving business rates, which will arguably be just as distortionary, as my hon. Friend the Member for North Durham (Mr Jones) said. There seems to be a slight lack of consistency in the Minister’s position, which may be because of what the Treasury has bequeathed him. I encourage him to go back to the Treasury and press it further before Report.
James Wharton
I hear the hon. Gentleman’s comments. The announcement that we will devolve business rates was made in the way it was exactly because we wanted to ensure that we talked to local government about how it should be done to make sure it works properly and effectively and meets our policy desires. To devolve certain taxes to just one area is a different proposition. He clearly supports it and argues for it effectively, but it does not have a place in this Bill at this time.
Amendment 1, which was tabled by the hon. Member for Nottingham North, clarifies that the persons who may be invited to attend an overview scrutiny committee meeting may include
“representatives of parish, neighbourhood, community and other councils in the area of the combined authority”.
I understand the hon. Gentleman’s intention and commend him for pursuing openness in the process, but the Bill already allows people to attend. To define them in a list risks the provision being narrowly interpreted, rather than broadly interpreted, which is what we want.
Mr Graham Allen
The intention is to ensure that those who operate below the council level at neighbourhood or parish level feel involved and engaged, rather than going along as members of the public, so that they can take the next step of pushing devolution down into double devolution. Surely engaging those people would be a very good thing to do.
James Wharton
I agree with the hon. Gentleman that that engagement is important. My contention is that the Bill provides for it with the power to allow persons to attend and invite persons to be present to scrutinise the process. My argument is that defining a list of particular types of persons or bodies risks narrowing the interpretation. However, I understand what the hon. Gentleman desires to achieve.
I will now discuss the amendments that relate to requirements on the exercise of mayoral powers. Amendments 40, 41 and 45, which were tabled by my hon. Friends the Members for Altrincham and Sale West (Mr Brady), for Hazel Grove (William Wragg) and for Bury North (Mr Nuttall) would place requirements on mayoral powers. Amendment 40 provides that a function may only be specified as a function of the mayor with the consent of the combined authority prior to the creation of the post of mayor. We have concerns over the latter part of that amendment, because it appears to rule out a further transfer of functions to a mayor once the position has been established. It seems to mean that the deal that is reached initially is the deal, full stop.
Amendment 45 underlines hon. Members’ concerns that the constituent councils must be content with the list of functions to be exercisable by the mayor. I understand hon. Members’ concerns and agree that no local authority functions should be conferred on a combined authority, with or without a mayor, without the consent of the councils involved. We make provision for that in clause 5. I am happy to continue the dialogue with the hon. Members who have raised this point and I understand the deeper points that they wish to address. I hope, therefore, that we can reach a consensus that allows us to pursue the matter in a different manner to the amendments that we are discussing.
Government amendments 5, 6, 7, 8 and 26 will provide greater flexibility in how a mayor will be able to undertake their functions. The amendments are reasonably straightforward. Amendments 5 and 6 will provide greater flexibility and create greater capacity to enable a mayor to be supported in undertaking functions, where that is wanted locally. Amendments 7, 8 and 26 enable mayors of combined authorities, if it is specified by order, to exercise any of their general functions jointly with other authorities or combined authorities with the same functions, if they so choose. They enable a joint committee comprising the mayors of two combined authorities or a combined authority mayor and local authorities to exercise jointly shared functions across the area, thus providing greater flexibility in how mayors, combined authorities and local authorities can work together.
Finally, I will mention some minor and technical Government amendments. Amendments 30 and 31 insert provisions that enable an order to specify that local authority functions must be exercised jointly by the councils and the combined authority. Amendments 23, 24 and 25 relate to police and crime commissioners. They clarify the timing of an order that transfers PCC functions to an elected mayor; ensure that drafting on PCC functions is consistent; and ensure that, in line with the provisions for PCCs generally, a person acting in place of a mayor with PCC functions temporarily cannot carry out particular strategic functions, such as issuing a police and crime plan. Finally, Government amendment 15 will mean that the power to make regulations under clause 17 includes a power to make incidental, supplementary and consequential provision. Those are tidying-up amendments that are not controversial. I certainly have not detected that they are from the debate.
I hope that right hon. and hon. Members, in the light of those explanations, will not press their amendments and will feel able to support the Government amendments.
Mr Nuttall
With the authority of my hon. Friend the Member for Altrincham and Sale West (Mr Brady), and having listened carefully to the Minister’s comments, I beg to ask leave to withdraw the amendment.
Amendment, by leave, withdrawn.
Clause 5
Functions
Amendments made: 5, page 4, line 26, at end insert “, or
(c) so far as authorised by an order made by the Secretary of State—
(i) for a person appointed as the deputy PCC mayor by virtue of an order under paragraph 3(1) of Schedule 2, or
(ii) for a committee of the combined authority, consisting of members appointed by the mayor (whether or not members of the authority),
to exercise any such function.
‘( ) An order under subsection (3)(c)(ii) may include provision—
(a) about the membership of the committee;
(b) about the member of the committee who is to be its chair;
(c) about the appointment of members;
(d) about the voting powers of members (including provision for different weight to be given to the vote of different descriptions of member);
(e) about information held by the combined authority that must, or must not, be disclosed to the committee for purposes connected to the exercise of the committee’s functions;
(f) applying (with or without modifications) sections 15 to 17 of, and Schedule 1 to, the Local Government and Housing Act 1989 (political balance on local authority committees etc).”
This amendment makes provision for a mayor to arrange for the person appointed as the deputy PCC mayor or a committee of the combined authority to exercise a general function which is exercisable by the mayor, if authorised to do so by an order made by the Secretary of State.
Amendment 6, page 4, line 39, leave out paragraph (b) and insert—
“(b) in accordance with arrangements made by virtue of this section or section 107DA.”
This amendment provides for a general function exercisable by the mayor for the area of a combined authority to be taken to be a function exercisable by a committee or by the deputy PCC mayor, where arrangements have been made under provision inserted by amendment 5 or new section 107DA, inserted by amendment 8.
Amendment 7, page 5, line 3, at end insert—
“() provide that functions that the mayoral combined authority discharges in accordance with
arrangements under section 101(1)(b) of the Local Government Act 1972 (discharge of local
authority functions by another authority) are to be treated as general functions exercisable by
the mayor (so far as authorised by the arrangements).”
This amendment enables the Secretary of State to provide by order that functions of a mayoral combined authority discharged in accordance with arrangements under section 101(1)(b) of the Local Government Act 1972 are to be treated as general functions exercisable by the mayor of the authority.
Amendment 8, page 5, line 16, at end insert—
“107DA Joint exercise of general functions
(1) The Secretary of State may by order make provision for, or in connection with, permitting arrangements under section 101(5) of the Local Government Act 1972 to be entered into in relation to general functions of a mayor for the area of a combined authority.
(2) Provision under subsection (1) may include provision—
(a) for the mayor for the area of a combined authority to be a party to the arrangements in place of, or jointly with, the authority;
(b) about the membership of any joint committee;
(c) about the member of the joint committee who is to be its chair;
(d) about the appointment of members to a joint committee;
(e) about the voting powers of members of a joint committee (including provision for different weight to be given to the vote of different descriptions of member).
(3) Provision under subsection (2)(b) to (d) may include provision for the mayor or other persons—
(a) to determine the number of members;
(b) to have the power to appoint members (whether or not members of the combined authority or a local authority that is a party to the arrangements).
(4) Provision under subsection (2)(c) may include provision as to the circumstances in which appointments to a joint committee need not be made in accordance with sections 15 to 17 of, and Schedule 1 to, the Local Government and Housing Act 1989 (political balance on local authority committees etc).
(5) In this section references to a joint committee are to a joint committee falling within section 101(5)(a) of the Local Government Act 1972 that is authorised to discharge, by virtue of an order under this section, general functions of a mayor for the area of a combined authority.”—(James Wharton.)
This amendment enables the Secretary of State to make provision by order enabling the combined authority to enter into arrangements to discharge general functions of the mayoral combined authority jointly with one or more other local authorities or combined authorities.
Clause 5, as amended, ordered to stand part of the Bill.
Schedule 2
Mayors for combined authority areas: police and crime commissioner functions
Amendments made: 23, page 26, line 33, leave out
“police and crime commissioner functions”
and insert
“functions of a police and crime commissioner”
This amendment makes a minor drafting change to paragraph 1(1) of new Schedule 5C to achieve consistency with the language used in new section 107E(1) as inserted by clause 5 of the Bill (to which sub-paragraph (1) cross-refers).
Amendment 24, page 26, line 34, at end insert—
‘( ) A duty under this Schedule to make provision by order is a duty to make such provision in an order made at any time before the first election of a mayor who, by virtue of an order under section 107E(1), is to exercise functions of a police and crime commissioner.”
This amendment clarifies that an order made under new Schedule 5C can be made at any time before the relevant mayor is first elected and makes it plain that a Schedule 5C order can be made subsequently to an order under new section 107E.
Amendment 25, page 30, line 12, at end insert—
‘( ) Subsections (5) and (6) of section 107C, so far as relating to the exercise of PCC functions, are subject to any provision contained in an order under this Schedule.”—(James Wharton.)
This amendment ensures that an order under new Schedule 5C can make provision to prevent a person who is acting in place of a mayor with police and crime commissioner functions from carrying out particular PCC functions such as issuing or varying a police and crime plan, consistent with the current position in respect of actin PCCs.
Schedule 2, as amended, accordingly agreed to.
Clauses 6 and 7 ordered to stand part of the Bill.
Clause 8
Other public authority functions
NHS Funding (North-East and Teesside)
Lord Wharton of Yarm Excerpts(11 years, 1 month ago)
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Tom Blenkinsop
My hon. Friend has mentioned that in Health questions and in the Select Committee on Health, of which he is a doughty member who provides a lot of input. Someone from a poorer socio-economic background has a lower likelihood of reaching the age at which they would receive more funds under the allocation—it would probably never happen. This becomes a self-defeating, vicious circle of a lack of investment in people who might need it the most.
As I was saying, the proposals in a recent working paper issued by NHS England on the allocation and the indicative target allocation would have led to a per capita reduction in funding for CCGs throughout the north-east, and my constituents would have lost out. Meanwhile, CCGs in the south would have had a per capita increase; for example, those covered by Coastal West Sussex CCG would each gain £115, those in Hailsham £136, and those covered by South Eastern Hampshire CCG £164. That is clearly not a one-nation NHS. I received ministerial assurances that that formula was not ultimately used for 2013-14, but a response to a parliamentary question that I asked confirmed that
“No proposals or decisions regarding allocations for 2014-15 have yet been made.”—[Official Report, 22 October 2013; Vol. 569, c. 76W.]
The hon. Member for Stockton South (James Wharton), who is in the Chamber, told the Evening Gazette on 23 October that it was indeed “right” that NHS England was considering reducing health funding for his constituents and the north-east, but—
James Wharton (Stockton South) (Con)
The hon. Gentleman has either misread or misremembered, or perhaps the Evening Gazette did not give a full account of my comments. What I said was right was having an independent funding body that makes decisions based on a formula that is consulted on, and it is right that age should be a factor. That does not mean that deprivation should not be a factor. I recognise and welcome the debate, and the effort that hon. Members in all parties are making to put the case that deprivation has an impact on health outcomes and should be considered as part of the funding formula. I recognise, however, the independence of NHS England, and I support it being an independent body. Does he recognise its independence?
Tom Blenkinsop
I recognise the health outcomes and needs of my local constituents; as their representative, I will voice those views and needs vociferously. I take on board, however, the hon. Gentleman’s comments and his desire to see deprivation recognised in the allocation of funds. On the future allocation for CCGs, I hope that he will advocate to the Minister on behalf of those of his constituents who share the same socio-economic background as me, in the way that we Labour Members do. I take his intervention in favour of those funds in a spirit of common north-eastern friendship.
Will the Minister assure us that he will urge NHS England to consider deprivation and regional health inequalities when determining funding formulae? Furthermore, will he guarantee that any funding formula used to determine allocations in 2014-15 will not leave the north-east comparatively worse off, and will not widen the north-south health divide? I thank the Minister for his time, and I hope that he will be able to provide the clarifications and assurances that my colleagues and I have sought this afternoon.
Health Professionals: Regulation
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Stephen Barclay (North East Cambridgeshire) (Con)
In the wake of the Francis report and the news that 14 more trusts are under investigation due to unnecessary deaths, it is clear that our current system of health care regulation has failed. More importantly, it means that the NHS has failed its patients, and that the Care Quality Commission is clearly not fit for purpose. I have seen documents that suggest that 25 hospitals with abnormally high mortality rates were highlighted to the then Secretary of State, the right hon. Member for Leigh (Andy Burnham) in March 2010. Seven of the 14 trusts now under investigation were on that list. He referred them at the time to the CQC, which confirmed it had:
“no current concerns about these trusts which would require intervention.”
Some of them, however, have had significantly high mortality rates for more than a decade. Sir David Nicholson tried to paint Mid Staffordshire as a singular case. Minutes of meetings imply that the concerns of patients’ families were dismissed as simply lobbying. Perhaps more worryingly, it appears there has been not just incompetence, but a culture of cover-up in the NHS.
Let me give just one example. Professor Sir Brian Jarman, a world-respected authority on mortality data, has raised with me allegations of trusts fixing their mortality figures. In essence, trusts relabelled deaths as palliative care after the definition was widened in 2007. Hospitals’ standard mortality rates would fall, as palliative care deaths were considered normal and not down to poor care. Experts suggest that a figure of approximately 4% of deaths should be classified in this way, yet at the Medway NHS Foundation Trust, one of the trusts now under investigation, it jumped to 37%, which suggests that in one month hospitals had been transformed into hospices.
The paper reclassification improved hospitals’ mortality score by approximately a third, yet nothing had actually changed on the wards. In other words, they were fiddling the figures and, as a result, were masking poor care. The same tactic was used by Mid Staffordshire to obscure what was really going on, and the number of deaths classified even now as palliative care across England is still higher than expected, and higher than in comparable international countries. That needs to be looked at urgently. Until that happens, we cannot be confident that the 14 trusts currently under investigation—seven of which, we were told in 2010, were not a concern—are all that we need to worry about.
Perhaps more distressing is that management consultants profited from masking the real causes of those deaths. The CHKS advisory group visited hospitals to advise not on how to reduce mortality and save lives, but on how to make the figures look more normal.
James Wharton (Stockton South) (Con)
My hon. Friend is a respected member of the Public Accounts Committee, and I am sure he knows from his work on the Committee that target-driven culture, in whatever Government Department, can often lead to anomalies and inefficiencies. Is it not extremely worrying that the way the targets were framed in the case he highlights led not only to inefficiencies, but to actual loss of life? Would he suggest that this is not just a matter for the individual hospitals he has named, but for the entire target-driven process, which needs to be re-examined by the Government and the Minister?
Stephen Barclay
My hon. Friend is absolutely right. The deaths, in part, came from a target culture. The targets were not set with that intention, but that was the consequence.
We have to ask about the people responsible for fiddling the figures to meet those targets. Between 2007 and 2009, the chairman of the advisory board at CHKS was Niall Dickson—not a doctor, but a journalist—and he is now the chief executive of the General Medical Council. Has the Minister reviewed the role of CHKS in advising hospitals on how to reinterpret death rates, and is someone involved in such an organisation the right person to be regulating doctors today?
Not surprisingly, following the Francis report, there has been a flurry of activity to explain what new systems will be put in place, but as an ex-regulator I know that such changes, while introduced in good faith, are likely to be flawed. If we are to ensure patient safety, we need a culture change. The ultimate regulator is a well-informed patient. The ultimate inspectors are whistleblowers on the ground. We need quality transparent data for patients to be able to make real, informed choices about where to be treated and how to hold the NHS to account. It is remarkable that a report last week found that two thirds of doctors and nurses at some hospitals would not recommend their own hospital to their family and friends. What does that say about the regulation of those hospitals? It is common knowledge among NHS insiders that certain doctors are good and certain doctors and surgeons should be avoided. Why should patients be kept in the dark about that sort of information?
Those involved in projects such as the Dr Foster unit at Imperial are world leaders in providing health information, and the decision to publish heart surgery outcomes was welcome, but the status quo does not go far enough. Data are available privately showing outcomes broken down by hospital, department, ward and even individual doctor. I urge the Minister to start to make those data public. They have never been published. Those in the profession know what they contain; it is time we trusted the public with the truth. Of course, they need to be presented in a meaningful way, but there is a duty to explain them, not hide them. We have seen with heart surgery what a positive impact such transparency can have.
I ask the Minister to reflect on the following point. We now have the safest heart surgery in Europe, partly because we have data transparency, but that is down to consultant anaesthetist Steve Bolsin, who exposed high death rates for child heart surgery. That information, which was published in Private Eye, led to a public inquiry. The publication of those figures has clearly driven up standards, yet the impetus for change was not the Department of Health or the Royal College of Surgeons, but a whistleblower who was prepared to speak up—incidentally, is it not revealing that he no longer works for the NHS?
Accident and Emergency Provision (North-East)
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Tom Blenkinsop
My hon. Friend makes an excellent point. It is a sorry state of affairs, and personal experiences, that people from our area are reporting. The warning signs are there, and I believe front-line staff when they say, as has been reported:
“Somebody is going to die somewhere down the line and it could be the most vulnerable, children. Families of sick people arrive at hospitals and expect to find them in a bed, but they are still outside in an ambulance.”
In fact, a tragedy has already taken place. Last year, an ambulance crew brought a patient to the hospital, but he was not officially handed over to A and E staff. Before he could be seen by a nurse or doctor, he went into a fatal cardiac arrest. The patient, who has not been identified, died at James Cook university hospital, having waited for emergency treatment for more than two hours.
The delays are obviously stretching resources all over the place; for example, ambulances from as far away as Lancashire are being brought in to cover other emergencies. I fear that, with changes in NHS provision elsewhere in the north-east and north Yorkshire, James Cook hospital’s resources might become even more stretched. Surgeries’ general reduction in their late opening times for out-of-hours appointments in some areas across the north-east is putting further pressure on regional A and Es. For example, in County Durham, 69 GP surgeries offered late opening appointments in 2011, but in 2012 that was down to 61 surgeries, which is a 7.6% drop. In Newcastle, 33 GP surgeries offered late appointments in 2011, which dropped to 24 surgeries in 2012. In Hartlepool, 15 GP surgeries offered late appointment times in 2011, but that dropped to 10 in 2012, which is a 31.3% decrease. As the Minister will admit, triage is essential, and that is enormously helped by walk-in centres in my constituency, across Middlesbrough and in Redcar, especially as regards less affluent transient populations who are often not on GP registers.
As the Minister knows following the meeting he kindly agreed to have with me and a representative of the trust, urgent care provision in east Cleveland is facing particular problems. The trust claims to be taking steps to resolve the problems, but if the issues are not resolved, I fear that in the interim—and possibly in the longer term—a reduction in urgent care provision in east Cleveland might further increase the demand faced by James Cook hospital’s accident and emergency department, as patients search for alternative treatment. To an extent, we have already seen that with the draw-down in services at Guisborough general hospital’s minor injury unit.
James Wharton (Stockton South) (Con)
I congratulate the hon. Gentleman on securing what is an important debate for many of our constituents. Many of my constituents use James Cook hospital—some by choice, because it is such a good hospital. The hon. Gentleman is talking about the reorganisation of services across the north-east and its impact. We have seen A and Es closing, or being focused in smaller areas to provide specialist care. How would a new hospital at Wynyard impact on future service provision for our constituents?
Tom Blenkinsop
I thank the hon. Gentleman for his input. A hospital at Wynyard would be an excellent provision for the region. It was planned by the previous Labour Government. That was as part of a different financial package and under a different scheme, but it was always in the Labour Government’s plans. It is good that the present Government also want that to happen. However, we are discussing current services, and the impact of the reduction in moneys on James Cook hospital and services in east Cleveland and north Yorkshire, which he will no doubt have read about in the local press.
Changes in provision for A and E departments in north Yorkshire might increase the pressures faced by James Cook hospital. In the neighbouring constituency of Scarborough, the trust has given assurances as to the future of overnight A and E services, but local people feel that there are uncertainties over the future of those services. In Northallerton, the Secretary of State for Foreign and Commonwealth Affairs, the right hon. Member for Richmond (Yorks) (Mr Hague), has been campaigning against cuts to services, particularly maternity services, at the Friarage hospital. In Malton, the minor injuries unit has been closed at weekends. I fear that if services at those hospitals are further reduced, additional demand might be placed on James Cook hospital, despite the fact that it already struggles to cope with demand.
When someone is taken to hospital in an ambulance, most reasonable people would expect them to receive care and treatment very quickly. Although I accept that demand is difficult to predict, I certainly do not expect my constituents to have to wait two and a half hours after been taken to hospital by paramedics. I do not hold nurses or doctors responsible for that; after all, more than 5,000 nurses have been cut across the NHS since May 2010. The situation is more likely to have been caused by the budgetary squeeze and the organisational changes that local NHS trusts find themselves dealing with due to the Government’s cuts and unnecessary NHS reorganisation.
I hope that my examples make it clear that there are serious problems on Teesside and across the region, and that they cannot be allowed to continue. I appreciate that the Minister is monitoring the situation with regard to urgent care staff in other hospitals in my constituency. I would be grateful if, alongside that process, he closely monitored A and E performance at James Cook university hospital. There is a very real danger that the situation could deteriorate. At the moment, the capacity for the hospital’s A and E department is 60,000 patients a year; that is what it was designed for. This year, it expects almost double that figure—105,000 patients. That is a time-bomb waiting to go off, which would have repercussions across the region.
EU Working Time Directive (NHS)
Lord Wharton of Yarm Excerpts(12 years, 7 months ago)
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Charlotte Leslie
My hon. Friend anticipates a point that I will come to later. I pay tribute to the work of John Black and others on this issue. If there was only one target that the NHS should enshrine, it is continuity of care, because after that so many things follow.
European Court of Justice rulings—I do not want to be too technical, but they are the SiMAP and Jaeger rulings—have caused tremendous problems for the profession. First, inactive on-call work is required to be counted as working time. Therefore, if a doctor is on call but inactive and perhaps sleeping on the premises, it is counted as on-call time, which makes life very difficult for hospital trusts organising rotas and getting the time available. Secondly, if a doctor overstays their allocated shift, perhaps because they are about to hand over, but have to stay on for an extra hour, perhaps because a patient has had a cardiac arrest, they are required to take compensatory rest to make up for that immediately afterwards. If that doctor has a clinic some time the next day, they will have to take an hour of rest time, cancelling that clinic, because the European Court of Justice dictates that. Potentially, patients who have turned up at hospital and are ready and prepared for surgery will have their clinic cancelled because the Court ruling says that the doctor must be forced to take rest. That is obviously a tremendous inconvenience for patients, beyond continuity of care, and a nightmare for the hospitals trying to make accommodations.
James Wharton (Stockton South) (Con)
I congratulate my hon. Friend on securing this important debate. She has spoken eloquently about the challenges that the rulings cause for the running of hospitals, and the problems that they cause in the care of patients. Does she agree that treating doctors in such a way, commoditising the patients they work with and clocking their work on and off damages their ability to do their job professionally, which affects their health too?
Charlotte Leslie
Absolutely. My hon. Friend makes an extremely good point. An interesting point that I shall come to later is that the Royal College of Physicians reports that sickness rates have soared because of the stress on clinicians as a result of not being able to perform their duties with the professional excellence that they espouse. The directive has a detrimental effect on the professional ethos of the NHS, and on the individuals whom it was designed to help.
Myalgic Encephalomyelitis
Lord Wharton of Yarm Excerpts(13 years, 10 months ago)
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Ian Swales (Redcar) (LD)
I begin by reading what a constituent of mine, Jan Laverick, who suffers from myalgic encephalomyelitis, wrote to describe her condition:
“ME is sudden and extreme muscle weakness to the point of not being able to lift a glass. It is collapsing with exhaustion and not being able to move for hours. It is struggling to sit up long enough to eat a meal that has been placed in your lap. It is tachycardia, seizures, paralysis and black outs. It is sensitivity to light, sound and touch. It is extreme abdominal bloating, nausea, loss of appetite, excruciating stomach cramps…It is daily fevers and sweats. It is inflammation and horrendous joint, nerve and muscle pain. Imagine suffering from these symptoms only to find there is little research into the cause or cure, that you might not be taken seriously by your GP or the benefits system. Your condition might even have been dismissed as ‘yuppie flu’.”
I welcome the fact that the Department of Health now accepts ME as a genuine medical condition. However, it is clear from speaking to sufferers and medical professionals that diagnosis can still pose a problem because ME symptoms are similar to those present in several other medical conditions. I recognise that one of the main obstacles to the adequate treatment of ME is the lack of knowledge and consensus about the disease, and I will argue that funding and research must be focused on the biomedical factors involved, and not simply on managing the psychological symptoms.
James Wharton (Stockton South) (Con)
I congratulate my hon. Friend on securing this important debate on a subject that I know is close to his heart. It has been raised with me, as it has with him, by a number of constituents who are concerned about it. I echo his comments and point out that, at present, no funding is available for biomedical research into the causation of ME. Does he agree—I believe he just said that he does—that this is an area we want the Government to look at again, and that we should encourage them to take seriously?
Ian Swales
I thank the hon. Gentleman; indeed, that is right. I am not sure whether no funding is available, but it certainly is the minority of funding, and that seriously needs addressing.
My goal is to see the Government-funded Medical Research Council work with ME sufferers and biomedical researchers to achieve a proper understanding of the condition’s challenges and to change the unjust perceptions of it.
Hospital Services (North-East)
Lord Wharton of Yarm Excerpts(14 years, 4 months ago)
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Grahame M. Morris
That is a very good point and the development of community health infrastructure has been integral to the proposal for the new hospital. It is key to improving health and tackling health inequalities.
I have some sympathy with the Minister, as it seems that the proposed hospital suffered at the hands of the Chief Secretary to the Treasury as he searched to save around £2 billion in June. However, regardless of the changing economic circumstances that saw Britain’s budget deficit improve by £10.4 billion from the original pre-election forecasts, I do not believe that it is too late for the Minister to give the proposed new hospital a second chance, following a reconsideration of the evidence.
Grahame M. Morris
If you do not mind, Mr Sheridan, I will not give way to the hon. Gentleman. I know that time is short, but I am almost finished and I think that the hon. Gentleman will have an opportunity later to speak. I have almost completed my contribution.
As it stands, the future of health provision in North Tees and Hartlepool is being put at serious risk. The cancellation of the hospital at Wynyard can only ever be viewed as a delay—the need for it still exists. Whether it is a delay of five years, 10 years or longer, the people of Stockton North, Stockton South, Hartlepool, Easington and Sedgefield need a new hospital. I invite the Minister to think in the long term and not to abandon a well thought-out project that would improve health care for people who have suffered a legacy of some of the worst health outcomes in Britain.
Phil Wilson (Sedgefield) (Lab)
Thank you for giving me the opportunity to speak in the debate, Mr Sheridan. I want to make a business case for the Wynyard hospital based on its effect on the local economy, because the Government’s decision is short-sighted. The new hospital was to be sited at Wynyard park—a 700-acre business park owned by Wynyard Park Ltd that has created more than 1,000 jobs in the past five years. Fifty-five companies have moved on to the site, and the hospital would have been a catalyst for further private sector investment and jobs. The Government go on all the time about the need to rebalance the north-east’s economy, and the Opposition agree with them. One way to do that and to help generate private sector investment would be to invest in infrastructure and public sector hospitals, such as the one that the Government have cancelled.
The cancellation of the hospital came on the back of the announcement about housing benefit. The former Chancellor said that we would take £250 million out of housing benefit through reforms, but the present Government want to take out £1.8 billion, which would greatly affect areas of County Durham. In addition, just under 100 schemes have been cancelled under Building Schools for the Future, which is a problem not just for education, but for construction jobs in the region. On top of that, the regional development agency is to be abolished. It has played a part in work on the Wynyard site and the foundation hospital, and it has tried to attract investment into the area.
James Wharton
I understand the hon. Gentleman’s terminology when he says that the RDA will be abolished, but is it not rather the case that it will be replaced by more localised local enterprise partnerships, which will deliver better for local people in communities across the north-east?
Phil Wilson
Actually, it is being abolished—that is what is happening.
I want to make two points about the RDA. First, it invested £2 million last year in attracting inward investment. On the basis of that money, it attracted £720 million of inward investment into the north-east—82% of inward investment into the region comes through the RDA, so if it ain’t broke, don’t fix it. Secondly, in preparation for the hospital development, the RDA organised meetings between the foundation hospital and overseas firms to see whether those firms would come on to the site.
Hospital Car Parking Charges (Hereford)
Lord Wharton of Yarm Excerpts(14 years, 4 months ago)
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Mr Burns
I am grateful to my hon. Friend for making that cogent and powerful point. As we have all found out since we came into office, the economy was left in a dire state, and we are now having to pick up the pieces, as we did in 1979, to sort out the mess that the previous Government left us. That is the challenge that we are facing, and that is why we are having to take some tough decisions for the general better welfare of the economy as a whole and the people of this country, as tends to be traditional when we come to power after a Labour Government.
Where car parking charges make it difficult for staff to do their jobs properly, where they damage patients’ access to services, or where they prevent family and friends from visiting, hospital trusts have a responsibility to look again at their charges and policies. As my hon. Friend knows, a review is currently under way at Hereford hospital. I trust that he and all his constituents who are concerned about the level of car parking charges at the hospital are contributing to that review and ensuring that their views and concerns are known as regards the impact that those charges may be having on them. I also believe that it is crucial, not only in Hereford but throughout the country, that greater publicity and prominence be given to the fact that some people may qualify for a reduction in car parking charges due to their individual circumstances. That must be drawn to the attention of the client group that might benefit, because one suspects that too often, there is too little publicity and awareness of those discounts, which would provide genuine help to those who find car parking charges genuinely onerous to pay for.
James Wharton (Stockton South) (Con)
I should just like to have it recorded in Hansard as a point of important note that while we are talking about the people who are the most disadvantaged by the charges that are so often levied in hospital car parks, not a single Opposition Member is here to hear the debate. I hope my hon. Friend agrees that that is an important point that should be recorded and registered.
Mr Burns
I congratulate my hon. Friend, who has certainly succeeded in achieving what he intended. No doubt tomorrow, when Hansard is published, his cogent point will be marked. The only disappointment is that as there are no Opposition Members here, they will not be aware of his intervention, but I am sure he will use his skills to ensure that his point is given a wider audience.
North Tees and Hartlepool NHS Foundation Trust
Lord Wharton of Yarm Excerpts(14 years, 5 months ago)
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Alex Cunningham
I certainly agree with that. I know that it is the view of clinicians and other health professionals that it will be impossible to sustain two hospitals with the full range of services and facilities needed to serve our communities. Indeed, patients in our areas have to access different services at the two different sites, which are 14 miles apart.
The new hospital was to be a vital element of wider health care reform in our region and would have delivered clinically sustainable hospital services in the single hospital while delivering a much wider range of services in the community much closer to people’s homes, including three new integrated care centres in Billingham, Hartlepool and Stockton. There is no doubt that there has been some controversy about the plan to build one “super hospital” to replace the two outdated ones, as well as unease among some in the community about the location chosen. I firmly believe, however, that the plan would have provided improved services for local people and that it is ultimately the right plan for the NHS trust to pursue.
James Wharton (Stockton South) (Con)
I am grateful to the hon. Gentleman for giving way. I also note with interest that he is perhaps the first hon. Member in the history of this House to brandish his middle finger at Mr Speaker and to receive no reprimand for it.
The hon. Gentleman has acknowledged that the hospital’s location between two communities is somewhat controversial locally. The representations that I have received from my constituents have, almost without exception, praised the Government’s decision and criticised the proposals for the hospital at Wynyard. Let me read him one short example of an e-mail that I received only the other day:
“The decision is a sensible one. Leaving aside the reckless economic folly of committing funding the country does not possess and blatant politicking by Labour in promising such funding in marginal constituencies the truth is that this hospital was vehemently opposed by a significant number of local people on grounds that it was geographically in the ‘wrong’ place for both communities, had no public transport links and would seriously affect A19 and A689 traffic flows”.
Does the hon. Gentleman accept that the views of his constituents and mine are mixed, at best?
Alex Cunningham
These issues were extensively explored with the public. There was detailed and extensive formal and informal consultation involving public meetings, leaflet drops to households and a radio campaign. The Government had promised additional funding to tackle some of the transport issues and communities across the place were in favour of the hospital.
I must outline why the new hospital should remain a priority for the new Government.