Oral Answers to Questions

Alberto Costa Excerpts

Monday 21st November 2022 Commons Chamber

[Lee Rowley]

I was going through Bristol’s documentation on the council website only yesterday; I am happy to talk to any local council to understand the pressures and challenges it faces and the concerns it has. By the same token, however, while local government does a hugely valuable job, one part of that valuable job has to be to ensure that it is providing the most efficient and effective services for ratepayers over the long term.

[Alberto Costa (South Leicestershire) (Con)]

Being able to raise council tax is a very welcome measure in the autumn statement. Leicestershire County Council is the lowest-funded upper-tier authority in England. Will the Minister meet me and representatives of the council to discuss its fairer funding situation?

[Lee Rowley]

My hon. Friends from Leicestershire have made that case repeatedly, and as a fellow east midlands MP, I understand the concerns about the challenges that individual councils face. I have already been in a meeting with representatives from Leicestershire County Council, who made their points known, and I would be happy to talk to my hon. Friend further about this matter.

Provisional Local Government Finance Settlement

Alberto Costa Excerpts

Thursday 17th December 2020 Commons Chamber

[Robert Jenrick]

I will happily look into the issue that the hon. Gentleman raises, but £1 million is not a great deal of money in the context of the £39.8 million that the Government have provided to Cheshire West and Chester Council to meet its covid-19 expenditure. If that is correct, it rather suggests that we have made good on our promise to ensure that that council, like every other, gets the resources it needs. In case the hon. Gentleman would like to know, the settlement for next year for Cheshire West and Chester ensures a 4.1% cash and real-terms increase in core spending power, which builds on a 6% increase last year.

[Alberto Costa (South Leicestershire) (Con) [V]]

Conservative-led Blaby District Council is one of the best-run councils in our country. Conservative council leader Terry Richardson asked me today how the Government will compensate councils such as Blaby for the loss of the new homes bonus. For context, that is a loss to Blaby District Council of more than £1 million. If the Secretary of State does not have the answer to that specific point, will he undertake to write to me with a specific response on the data that Blaby has to work on?

[Robert Jenrick]

I will happily write to my hon. Friend with the full details with respect to Blaby District Council. Across the country, we have announced today that we will be doing a further year of the new homes bonus, backed by over £600 million of Government money, but we will also be consulting on the future of the new homes bonus. The new homes bonus is an important part of the finances of many local councils, but it is widely perceived to be a poor incentive for councils to get on and build homes, so the consultation will ask how we can develop a new incentive that supports those councils that need to build homes and those that have high ambitions to get on and build. Fortunately for my hon. Friend, his council and those that surround it in Leicestershire are among the most ambitious councils in the country when it comes to house building.

Hinckley National Rail Freight Interchange

Alberto Costa Excerpts

Tuesday 11th February 2020 Westminster Hall

[Alberto Costa (South Leicestershire) (Con)]

I beg to move,

That this House has considered the proposal for the Hinckley national rail freight interchange in South Leicestershire.

It is a pleasure to serve under your chairmanship, Sir Gary. I thank Mr Speaker for granting the debate and I welcome the Minister to his place. I will say at the outset that the Minister and I spoke about this last night, and I am very grateful for his comments and his time. I know that he has quite a few words to say today, so I may curtail my speech. I also thank colleagues for joining me in this debate, which, although it is on an issue unique to South Leicestershire, is representative of something that other hon. Members may encounter in their constituencies.

The proposal for the Hinkley national rail freight interchange is for the construction of a purpose-built logistics hub to the south of the village of Elmesthorpe in my constituency. The hub would be operational 24/7 and built with access to the existing two-way railway track between Birmingham and Leicester to allow for freight train entry, along with local road access for the entry of a quite substantial number of heavy goods vehicles.

[Dr Luke Evans (Bosworth) (Con)]

I thank my hon. Friend for securing this debate, because I represent a neighbouring constituency on which the plans will have a knock-on effect. What impact does he think the 24/7 operation of the hub might have?

[Alberto Costa]

Before I answer my hon. Friend’s question, I welcome him to this Westminster Hall debate. I appreciate that he cannot speak this afternoon because he has yet to make his maiden speech. The rail freight interchange will have as much of an impact on his constituency of Bosworth as it will on my constituency of South Leicestershire. The 24/7 impact on the current infrastructure—let alone the very modest additional infrastructure that has been proposed—will be detrimental to his constituents as well as to mine.

I will put the location of the proposal into context. The planned site for the Hinkley rail hub would, in its totality, encompass a 440-acre area; for comparison, that is almost a quarter of the size of Gatwick airport. We are talking about a very large area that is currently beautiful rolling South Leicestershire countryside. The site will neighbour the historic and picturesque county villages of Elmesthorpe, Stoney Stanton, Sapcote, Sharnford, Aston Flamville, Potters Marston, Croft, Huncote, Thurlaston and Wigston Parva, which are collectively and colloquially referred to as the Fosse villages.

I appreciate that people in the Chamber—with the exception of those in the Public Gallery—will not be familiar with the Fosse villages, much to their detriment. The settlements, many of which date back to medieval times, vary in size and, because of their location, share a collective bond in this area of Leicestershire. My constituents in the Fosse villages contend with overburdened infrastructure at the very best of times.

[Jack Lopresti (Filton and Bradley Stoke) (Con)]

Looking at the overall picture, will there not be an environmental benefit in getting freight off roads and on to rail, and should a study be done to try to demonstrate that?

[Alberto Costa]

I entirely agree. Government policy is to reduce HGV traffic by moving freight off our principal road arteries and on to rail, but the concern about this specific proposal is that developers often propose a purported rail freight head development when all they want is a very large logistics park. We must be ultra-cautious that this particular development is not just a front for yet another large-scale logistics park.

[Dr Luke Evans]

Taking freight off the roads is a great idea. A problem that worries me for my constituency, however, is that if the rail freight hub went ahead, there would be more congestion on our already congested roads, particularly the A5. If money were spent on improving the A5, that would perhaps allow proposals like this to go forward in future.

[Alberto Costa]

My hon. Friend is absolutely right. As I mentioned a moment ago, at times the existing infrastructure is already at capacity. For three or four years we have been discussing dualling the A5 all the way to the M1, and that has not yet happened—there are safety issues with the A5. My constituents—and, no doubt, my hon. Friend’s constituents—are concerned that the proposal will add to a road system that is frankly not equipped to take such an extremely large amount of proposed HGV traffic.

As I have said, my constituents in the Fosse villages contend with overburdened infrastructure at the best of times. Furthermore, the proximity of the site to the existing logistics hubs in Leicestershire is paramount. Magna Park is one of Europe’s largest logistics parks and is proposed to double in size. It is near the market town of Lutterworth, only a few miles south of the constituency of my hon. Friend the Member for Bosworth (Dr Evans), while the proposed rail hub would be only a few miles north. To give hon. Members an idea of the sheer size of Magna Park, its footprint is directly comparable to, and perhaps larger than, that of Lutterworth. The existing logistics park is enormous—particularly if it doubles in size—so another large logistics park, developed under the guise of a rail freight head terminal, would be problematic and grossly unfair to people who like the quality of life in that part of Leicestershire.

I appreciate the strategic importance of sites, such as Magna Park and the proposed interchange, situated in the so-called golden triangle—the intersection of the M1, M69 and M6 motorways—meaning that about 80% of the British population can be reached within five hours. However, some deeply concerning factors must be considered. The environmental impact of the proposal has been at the fore of many of my constituents’ concerns, and the plans are to concrete over the existing site, which is beautiful rolling countryside of lush green fields stretching as far as the eye can see.

Anyone standing in those glorious South Leicestershire fields today would quite easily spot the nearby local nature reserve of Burbage common, most of which is located in the constituency of my hon. Friend the Member for Bosworth. If I may speak for my hon. Friend, the common is a 200-acre mix of semi-natural woodlands and unspoiled grassland that is used daily not just by his constituents, but by mine, for walking, horse-riding, exploring and orienteering. Quite frankly, I am more than a little jealous that the common sits in his constituency, but as he knows, we might have a boundary review, and I know what I will be asking for.

[Dr Luke Evans]

My hon. Friend may not be surprised to hear that I would be reluctant to see Burbage common moved. Has he ever been to Acorns coffee shop and seen how well used it is by walkers, ramblers and dog walkers? People enjoy having a coffee and using that time to relax after walking around the beautiful Burbage common.

[Alberto Costa]

Sadly, I have not yet visited that particular locality, but my constituents do visit. I look forward to being taken there by my hon. Friend to celebrate his maiden speech, once he has made it.

Burbage common is a site of unspoiled and unrivalled natural beauty. Significantly, it is also home to Burbage wood, which is a site of special scientific interest, with rare wild flowers, more than 20 species of butterfly, more than 100 different species of fungi and more than 25 different mammals. The Hinkley rail hub site would be situated directly next to Burbage common and would therefore have an indescribably detrimental impact on that unspoiled local nature reserve and the various wildlife and plants that currently thrive there.

On the supposed employment benefits of the proposed development, the developer has stated that in excess of 8,000 jobs will be created. I am a proud Conservative and always favour free enterprise and the creation of employment, but I have very serious concerns about the filling of those supposed vacancies.

[Dr Evans]

Eight thousand new jobs would be very welcome in my area, but the impact on amenities—doctors’ surgeries, schools and housing—would be considerable. Is my hon. Friend aware of any plans for how to counteract that, if the plans were to go ahead?

[Alberto Costa]

I am not aware of specific plans for counteracting that. Constituents are certainly expressing concerns about those things, and rightly so.

Earlier, I mentioned nearby Magna Park, which purportedly employs more than 10,000 people. My constituency has a welcome unemployment rate of less than 1%, so who will those employment opportunities be for? They will not be for my constituents, and I doubt they will be for neighbouring MPs’ constituents either. In reality, if the proposal were to go ahead and so many employment opportunities were to be created, we would find people commuting from up to an hour away, from as far afield as Milton Keynes, and taking rat runs through the Fosse villages to get to the proposed railway hub terminal. That would put even more pressure on the already problematic infrastructure of the Fosse villages.

At this point, I will bring in the views of Blaby District Council, one of the two excellent Conservative-led local authorities in my constituency. The rail hub is a nationally significant infrastructure project, so Blaby District Council will act as a statutory consultee on the application. The final planning decision will lie with the responsible Secretary of State.

Blaby District Council has informed me that, although the plans are in their pre-submission stage at present, its elected members have made it clear that they cannot support the development in question. They share concerns similar to those that I have expressed today. They are concerned about the impact of heavy goods vehicles travelling through rural villages, the environmental impacts such as light and noise pollution, and the huge increase in traffic, with ecology and the protection of local biodiversity high on the political agenda.

[Dr Evans]

Do the roads in my hon. Friend’s constituency have the capability to deal with more HGVs? Will the quality of the roads be sufficient to allow that to happen?

[Alberto Costa]

Local district councillor colleagues would certainly be concerned if an unhealthily high number of HGVs used existing roads. Clearly, the existing roads would not be sufficient to deal with the thousands of employees on the rat runs and the HGV traffic, much of which would no doubt use the smaller B-class roads rather than the A-class roads even though it is obliged to use A-class roads.

Blaby District Council has advised that many factors will need to be addressed in order for the proposal to avoid a formal objection. The site has no status in the council’s local plan, and therefore it has not been envisaged or planned for. The council is concerned about where the required employment would be sourced from and what provisions would be made to accommodate those employees. Hinckley and Bosworth Borough Council is the other statutory consultee on the application and, although it is in the neighbouring constituency of my hon. Friend the Member for Bosworth, I understand that it shares similar concerns.

I will now discuss my constituents’ views of the proposals. Considering the historic collective bonds in the Fosse villages that go back many years, it comes as little surprise that the vast majority of my constituents are opposed to the plans. Scarcely a day goes by when my inbox or my constituency office is not informed of a resident’s concern about the rail hub proposal. In order properly to gauge the strength of feeling among residents on the matter, last year I issued a survey to all residents in the Fosse villages. I received almost 2,000 responses in less than four weeks—a huge return for a survey of that nature.

Almost 80% of Fosse village respondents said that they were against the development, with impacts on local infrastructure and the environment being the predominant concerns. Furthermore, more than 83% responded that they thought it would be detrimental to their village’s identity.

[Dr Evans]

Will my hon. Friend be kind enough to share with my office the data he has gathered, so that I might look at it to see how I could build on his work?

[Alberto Costa]

My hon. Friend makes an excellent point. I will be pleased to ask my team to share the data with him. Perhaps we can consider what further surveys we might wish to do jointly, given the joint impact on our constituents.

I fully appreciate and understand the serious concerns of many of my constituents about this proposal. I am pleased to say that some of the brilliant district councillors for the Fosse villages have joined us in the Public Gallery this afternoon. Those councillors have worked tirelessly on behalf of their local residents—their electorate—to oppose the plans. They have attended every public meeting and every engagement event. I pay tribute to the fantastic work of Councillors Maggie Wright, Sheila Scott, Iain Hewson, David Freer and Deanne Woods, to name but a few.

The reasonings against the proposal are varied in their multitude, but they are all of equal importance. With little or no legislation in place governing the provision and placement of such logistic hubs, I fear that rural areas such as South Leicestershire and Burbage common, which already carry their fair share and do their part, are being somewhat overburdened. Will the Minister, the Department and the Secretary of State—I know that the Minister will discuss the matter with him—kindly look into it and consider my constituents’ concerns, to ensure that the plans for the Hinckley rail hub and similar such proposals are given the scrutiny they require and deserve? Will they commit to ensuring that the views of the people of South Leicestershire, Hinckley and Bosworth are properly taken into account before any decision is made?

[The Parliamentary Under-Secretary of State for Housing, Communities and Local Government (Luke Hall)]

It is a pleasure to serve under your chairmanship, Sir Gary. I thank my hon. Friend the Member for South Leicestershire (Alberto Costa) for securing a debate that is clearly important to many people in his constituency and beyond its borders. We have had an informative discussion.

Before describing our policy on the development of strategic rail freight interchanges, I am glad to be able to provide some context for this debate. As a Government, we absolutely recognise the important benefits that rail freight offers to the United Kingdom, including substantial benefits for the environment, as one of the most carbon-efficient ways to move goods over long distances. The sector also delivers economic and social benefits through cost savings to industry, and by supporting employment and reducing congestion, with rail freight resulting in 7.2 million fewer lorry journeys each year. Industry estimates that rail freight provides £1.7 billion of benefits to the United Kingdom economy.

The Government are committed to the growth of the rail freight sector and recognise the role of rail freight in helping Government to achieve net zero carbon emissions by 2050. Between 2014 and 2019, Government invested £235 million in improving capacity and capability for rail freight. Recently, we also increased by 28%, to £20 million, the budget for a freight grant scheme to support the carriage of freight by rail and water on routes where road haulage has an advantage.

To be helpful, I will also set out the purpose of strategic rail freight interchanges. Such interchanges are large multi-purpose rail freight interchange and distribution centres linked to both the rail and the trunk road systems. They enable freight to be transferred efficiently between transport modes. Many rail freight movements are unable to undertake a full end-to-end journey for relevant goods.

The development of a network of strategic rail freight interchanges is a key element in reducing the cost to users of moving more freight by rail and in reducing the number of freight movements on our road. The interchanges also facilitate important trade links, improve international connectivity and enhance port growth. As my hon. Friend the Member for South Leicestershire acknowledged, it is Government policy to support the development of an expanded network of strategic rail freight interchanges. We consider the interchanges to be of national significance.

My hon. Friend has a specific interest in the proposal for the Hinckley national rail freight interchange in South Leicestershire. From this debate and others, I know that he is a passionate advocate for his community. He is absolutely right to bring this debate to the Chamber, and he has made his thoughts and concerns heard at a ministerial level. Absolutely, we are having those discussions with the Secretary of State. Importantly, this debate has been a good opportunity for us to understand the depth of feeling in my hon. Friend’s constituency. Let me reassure him that he has absolutely achieved the objective of ensuring that his voice is heard at that level, and residents across South Leicestershire are having their voices heard, too.

I join my hon. Friend in placing on the record my gratitude to Councillor Maggie Wright, representing Normanton ward, Councillor Iain Hewson, representing Stanton and Flamville ward, and other councillors. I know they all have strongly held views on this issue and that residents will be grateful for the diligent and professional way in which they have approached the matter, working with their Member of Parliament to bring this case to the House today.

I understand that the Hinckley SRFI proposals are at the pre-application stage. As part of the process, the developer has held two rounds of informal consultation on its proposals, which has included a number of public exhibitions. When the applicant submits the development consent order application to the Planning Inspectorate, my hon. Friend’s constituents, as interested parties, will be able to make representations in writing on the scheme. During the examination process, interested parties are invited to provide more details of their views in writing or they can speak at hearings. I know that my hon. Friend will use those mechanisms to again raise his concerns about the impact on the local environment, but I am very happy to ensure that a record of our debate today is also included in the process.

I hope my hon. Friend will appreciate that as the proposed strategic rail freight interchange in question is currently in the planning process, I am not able to comment, as the Minister responsible for local government, on the specific merits of the proposals at this stage. That is because the Government may be asked to opine on the development at a later stage. Under the Planning Act 2008, the Secretary of State for Transport has a quasi-judicial role in issuing decisions on applications for development consent orders for strategic rail freight interchanges.

It may be helpful, though, if I set out the rationale for strategic rail freight interchanges being considered nationally significant infrastructure projects, and the process for considering development consent order planning applications for strategic rail freight interchanges. The nationally significant infrastructure projects regime was established by the 2008 Act and is a bespoke consent regime for nationally significant projects in the fields of energy, transport, water supply, waste water and waste. The regime’s aim is to simplify and speed up planning consent for such projects by reducing the number of separate applications and permits that are required and enabling faster decision making. That helps the benefits of nationally significant infrastructure projects to be realised more quickly.

The Act sets out thresholds that determine which projects must submit applications for consent under the nationally significant infrastructure projects regime. For strategic rail freight interchanges, that means that a development larger than 60 hectares and capable of receiving at least four trains a day is considered nationally significant for the purposes of the regime. Establishing thresholds of that kind provides certainty for our country’s most complex infrastructure schemes. The statutory timescales under the regime give applicants and communities predictability, which is essential to provide the confidence needed to bring forward nationally significant infrastructure projects that the country needs. That of course includes strategic rail freight interchanges.

The nationally significant infrastructure projects regime also allows Government, through national policy statements, to set the policies for how schemes are to be considered. The national networks national policy statement, approved by Parliament in 2015, sets out the need for, and Government’s policies to deliver, development of nationally significant infrastructure projects on the national road and rail networks in England. It provides planning guidance for promoters of nationally significant infrastructure projects on the road and rail networks. It also provides the basis for the examination by the Planning Inspectorate and decisions by the Secretary of State for Transport. The Secretary of State uses it as the primary basis for making decisions on development consent applications for strategic rail freight interchanges and other national network significant infrastructure projects in England.

The national policy statement provides a clear framework for strategic rail freight interchange developers, local authorities and the Planning Inspectorate. Planning guidance set out in the national policy statement for national networks states that

“a network of SRFIs is needed…to serve regional, sub-regional and cross-regional markets.”

Furthermore, it states that there is a “compelling need” for an expanded network of strategic rail freight interchanges. It does not, however, specify where those interchanges should be located. Instead, it provides a framework for private sector developers to bring forward proposals through the planning system if they are deemed to be operationally and commercially viable.

[Alberto Costa]

This is one of our core problems—the lack of Government guidance on where these logistics parks or nationally significant infrastructure developments should be located. I would be grateful if the Minister could ask the Secretary of State or the other responsible Minister to write to me about the lack of a Government framework policy on the location of large logistics parks.

[Luke Hall]

I am very happy to have that conversation and ensure that my hon. Friend receives the information and assurance that he has asked for.

The development consent order planning application is tightly bound by statutory timescales that Parliament has set. The application and examination in respect of a proposed development is undertaken by the Planning Inspectorate, on behalf of the Secretary of State for Transport. The inspectorate will decide whether the application meets the required standards before proceeding to an examination. I can assure my hon. Friend that the views of communities affected by interchanges are fully taken into account as part of the planning process.

In deciding whether the application can progress to examination, the inspectorate will consider whether the developer has fulfilled its statutory duty to consult local communities and local authorities affected by the scheme. Indeed, community engagement is fundamental to the nationally significant infrastructure projects regime’s operation. Developers are required to consult extensively before an application is submitted and considered; and where the consultation has not been carried out in line with the statutory requirements, the Planning Inspectorate can refuse to accept the application. Local authorities and communities also have the right to be involved during the examination of a project: they can set out their views in written representations, which can then be taken into account in decision making.

Local authorities also have a particular role to play in the development consent order application process. In addition to submitting written representations, relevant local authorities can submit a local impact report, which sets out details of the potential impacts of the proposed scheme on the authority’s area and how it envisages that those impacts could be mitigated. The examining authority and the Secretary of State must have regard to that under the 2008 Act. The Planning Inspectorate has six months to carry out the examination of the proposed development, which may include a public inquiry, where the views of the affected communities can be expressed.

A report of the findings and conclusions in respect of the proposed development, including a recommendation, is then issued by the Planning Inspectorate to the Secretary of State within three months. The Secretary of State then has three months to issue a decision on the proposal. If for any reason a decision cannot be issued in that time, a written ministerial statement setting out a new deadline will need to be laid in Parliament.

I assure my hon. Friend that in considering any proposed development, the Planning Inspectorate and the Secretary of State weigh its adverse impacts against the benefits. That includes the facilitation of economic development, including job creation, housing and environmental improvement, any long-term or wider benefit and any longer-term and cumulative adverse impacts, as well as any measure to avoid, reduce or compensate for those impacts.

District Council Finances

Alberto Costa Excerpts

Wednesday 1st May 2019 Westminster Hall

[Mark Pawsey (Rugby) (Con)]

I beg to move,

That this House has considered district council finances.

It is a great pleasure to serve under your chairmanship, Mr Gapes. I am very pleased to have finally secured a debate on the finances of district councils, which is an important subject. The fact that we got the debate now is testimony to the popularity of debates in Westminster Hall. I shall speak about a report that was published by the all-party parliamentary group for district councils in July 2018. Since our return after last year’s summer recess, I have consistently been applying for the debate, and we have finally got it, and with local elections tomorrow, it is extremely timely—persistence has finally paid off.

I am a Member of Parliament representing a district; I represent the borough of Rugby. I am a former district councillor and member of that authority, and very proud to have represented my community on the council and to have the opportunity to represent it in Parliament. As a former member of a district council, I strongly believe that they have a vital role to play in the next few years in shaping and delivering Government strategy, supporting local growth, building the homes we need and providing the preventive services that are necessary for sustainable health services.

To set the context, there are 192 district councils. In two-tier areas, they deliver 86 of 137 essential local government services to 22 million people, which is 40% of the population. District councils cover 68% of the country by area. One of their most important functions is as the housing and planning authority; they approve 90% of planning applications in their areas and enabled over 91,000 new homes to be delivered last year.

I am very proud to say that my local authority, Rugby Borough Council, saw 584 dwellings completed in 2017-18. It is a great example of a district that looks favourably on house building and development, and it has a very progressive attitude. I know the Minister saw that on his recent visit to Halton, which is an excellent example in my constituency of house building at scale, with a development that will consist of 6,200 homes by the time it is completed.

In two-tier areas, the county council area is divided into a number of districts, which each have an independent district council. I firmly believe that district councils are closer to their residents than are the vast majority of other forms of local government, which is one of the reasons I strongly believe that they should be protected. Rugby town hall is in the middle of our community. It is accessible by all residents and immediately identifiable; it gives a sense of identity to our community. I know there are pressures that are leading some areas to consider alternative arrangements—in particular, there is a move towards unitarisation—but in my area that would be neither practical nor in the best interests of our residents. Districts operate on a size and scale that makes sense to local communities, and they have a unique understanding of the residents they serve.

[Alberto Costa (South Leicestershire) (Con)]

May I take this opportunity to congratulate my hon. Friend on securing this important debate? Blaby District Council and Harborough District Council, led respectively by Councillor Terry Richardson and Councillor Neil Bannister, are both excellently run. Does my hon. Friend agree that any proposal for unitarisation of the Leicestershire area is not welcomed by the district councils?

[Mark Pawsey]

I share the views of my hon. Friend in believing that districts are the right-sized and best-located authorities to deliver a substantial number of services to local residents. I fear that some of that connectivity and identity would be lost in a larger organisation.

I will now talk about some of the things that district councils have been able to do. One key issue that came out of our report is that district councils have a proven track record of devising innovative solutions to transform public services by taking a lead in improving services and providing outcomes for people through better collaboration. That is a really important point, which we will come back to again and again. It is driven by a financial imperative in some instances, but in many ways it is driven by the desire to do things better.

District councils have a proven track record in building better lives and bigger economies in the areas they serve. Through their roles in planning and housing, they act as the building blocks for local economic growth, and in many ways districts work collaboratively with each other and alongside newly established local enterprise partnerships to deliver growth and support local businesses and industry. I believe that district councils also protect and enhance the quality of life by safeguarding our environment, which is an issue we will be considering later today in the Chamber. Promoting public health, leisure and a sound environment is an important role, creating attractive places to live and where people will want to raise their families and build an economy. Districts are also tasked with the challenge of tackling homelessness—again, their proximity to the people and knowledge of individuals is important—and the duty to promote wellbeing.

For district councils to deliver for their residents and the businesses in their area, it is important to ensure that they have sustainable and suitable levels of funding, which is the matter I want to address. It is why the all-party parliamentary group for district councils, which I chair, held a formal Select Committee-type inquiry on the finances of district councils. We published our report, “Delivering the District Difference,” in July 2018. I want to put on the record my gratitude to the 60 local authorities that provided written evidence to the APPG, and I thank the seven district councils, including Rugby Borough Council, that came before us and provided oral evidence to the APPG in Parliament. I am also grateful to many parliamentary colleagues who sat on that committee, particularly the hon. Member for Stroud (Dr Drew), who took part in the evidence sessions and is here today.

Our report was a major piece of work, and we collaborated with the District Councils’ Network to ensure that we were working closely with the sector. I thank the DCN for its valuable contribution to the report. In our evidence sessions, it came across loud and clear that district councils under financial pressures have identified innovative and efficient ways of doing things differently to provide better value for money to local taxpayers. A recent Local Government Association report found that district councils have saved £224 million through sharing services with other districts and bodies, which is far more than any other type of council.

I will give some examples of shared working arrangements that my local authority, Rugby Borough Council, has with others. Rugby has a shared service on building control with Warwick District Council and works on procurement with our neighbours, Nuneaton and Bedworth Borough Council. A particularly useful case study in Rugby involves its working closely with Daventry District Council to provide local crematorium and cemetery services. On its own, neither authority was of a sufficient size to be able to deliver these services efficiently, and my constituents wishing to use crematorium services were obliged to make lengthy journeys to either Coventry or the other side of Warwick. There had been an aspiration for such a service in Rugby for some time, but it was recognised that, in isolation, Rugby was not of sufficient size to deliver it. By working with Daventry and providing a facility on the border between the two authorities, we have ensured that the residents of both local authorities have great provision.

National Audit Office figures show that district councils have experienced the most significant real-terms cut in spending power between 2016-17 and 2019-20, which has required them to be enterprising. One of Rugby’s overarching corporate priorities is to become financially self-sufficient by 2020. It is seeking to reduce its reliance on the sometimes arbitrary and variable central Government funding sources and take control of its sources of income through local taxation arising from economic growth and investment income. When I was a councillor, I was always aware of concerns that the pots of funding might or might not be available. They were sometimes arbitrary or time-limited, which meant that it was difficult to plan for the long term. Rugby aims to be financially self-sufficient so that it is no longer reliant on those variable sources. That will ensure better provision for my constituents in the long term.

All councils have had to work hard to achieve more with less. Between 2010 and 2020, councils in England will have lost almost 60p of every pound of central Government funding. For district councils, that equates to almost £1 billion. I know the Minister recognises the role that districts have played in identifying savings, and is aware of the burden that they have shouldered in recent years.

[Alberto Costa]

I thank my hon. Friend for his generosity in giving way again. The district councils in my constituency have highlighted the ever-increasing cost of waste and recycling services. Proposals to scrap a charge on green waste collection and introduce weekly food waste collections, although laudable, are likely to put significant financial burdens on district councils. Does my hon. Friend agree that, should district councils implement those changes, proper and full support is needed from central Government?

Local Government Finance

Alberto Costa Excerpts

Tuesday 5th February 2019 Commons Chamber

[James Brokenshire]

I will take one final intervention, but then I will make some progress, because I know that a lot of Members want to speak and I am conscious that interventions will eat into their time.

[Alberto Costa (South Leicestershire) (Con)]

Does my right hon. Friend agree that the measures he is outlining will help Leicestershire County Council, which is involved in the business rate retention pilot scheme, as well as Harborough District Council and Blaby District Council? Those three local authorities are led by excellent Conservative administrations.

[James Brokenshire]

I commend the Conservative authorities in my hon. Friend’s area for their work, and I commend him for his recognition of the benefit that accrues from the business rate retention pilots and of how funding from the growth in business rates can be invested into local services. That is why we want to move to this new system throughout the next financial year.

These proposals will amount to a real-terms increase, but I know that we face a number of challenges. Among the most serious is the responsibility that councils—and, indeed, all of us—have towards the most vulnerable in our society. It is therefore right that out of the more than £1 billion of extra funding committed at last year’s Budget, £650 million will go towards adult and children’s social care in 2019-20. This will help to meet the pressures resulting from an ageing population. Some £240 million of that amount has been allocated to ease pressures on the NHS, and that is on top of the £240 million announced in October to address current winter pressures. The remaining £410 million can be spent on either adult or children’s social care and, where necessary, to take pressure off the NHS. I know that local authorities will value that flexibility greatly.

We are investing a further £84 million over the next five years to expand three of our most successful children’s social care innovation programme projects in up to 20 local authorities to keep more children at home safely. We are supporting local authorities to make the best use of available resources and to increase efficiency, as well as to innovate and improve the way in which they deliver services. Better integration of the health and care systems with other local services is essential, particularly in regard to social care. The long-term NHS plan, with its welcome shift from acute to community healthcare services, together with the upcoming social care Green Paper, will make a big difference.

Local Government Funding

Alberto Costa Excerpts

Wednesday 28th March 2018 Commons Chamber

[Sajid Javid]

I hope that the hon. Lady will appreciate what I am about to come on to: an understanding of how we got into this situation and how we can avoid getting back into it. Liverpool City Council is part of the Liverpool city region, which has been getting a lot more money recently—especially for investments, to encourage growth and jobs. If other members of the Liverpool city region, such as Wirral, for example, stopped wasting a quarter of a million pounds every year on some council Pravda, perhaps they would spend money more efficiently.

[Alberto Costa (South Leicestershire) (Con)]

My right hon. Friend mentioned a moment ago that he is going to explain how we got into this position. Will he elucidate what was meant by the last Labour Chief Secretary to the Treasury in the note that said that there was no money left?

[Sajid Javid]

I thank my hon. Friend, who brings me to precisely the point I was about to make, which will help explain exactly why the last Labour Chief Secretary left that note for his successor.

In considering how this climate was created, we need to step back and remember what the Government inherited in 2010: the biggest budget deficit in peacetime, of £150 billion, and Labour’s great recession—the deepest in almost 100 years. If that was not enough, there was also the biggest banking bail-out ever: just one bank bailed out to the tune of £50 billion.

--- Later in debate ---

[Sajid Javid]

Yes, I can give my hon. Friend that reassurance. I shall say more about how the system is going to work in a moment.

Our aim is to go further and for local authorities to retain 75% of business rates from 2020-21, as we work towards 100% retention. With that in mind, in December I announced an expansion of the 100% retention pilots that have proved so popular. More than 200 authorities came forward to bid for the new 100% business rates retention pilots that we are going to run in 2018-19. I was pleased to respond to that enthusiasm by doubling the number of initial pilots to 10, covering some 89 authorities. The 10 that we have selected, taken alongside the existing pilots, give a geographic spread to help us to see how well the system works across a broad range of areas and circumstances. The pilot areas will keep 100% of the growth in their business rates if they expand their local economies—that is double what they can keep now. There will also be opportunities for others to get involved, with a further bidding round for pilots in 2019-20, which will open in due course.

[Alberto Costa]

I thank my right hon. Friend for making that point. Would he encourage Leicestershire County Council and other well-run Conservative-led councils to make further bids for the pilots?

[Sajid Javid]

Yes, I would certainly encourage all those councils that are creative and innovative, and that want to support local businesses and to look at new ways of funding and delivering services, to bid when we open up opportunities for new pilots.

Grenfell Update

Alberto Costa Excerpts

Thursday 22nd March 2018 Commons Chamber

[Sajid Javid]

I thank the hon. Gentleman for his comments, and I am happy to respond to the points he raised.

The hon. Gentleman is absolutely right to question, as the taskforce has done in its second report, the speed of rehousing. However, it is appropriate to remind the House that, right from the start, the intention of the council and everyone involved is, rightly, to treat every individual as just that—an individual. If the objective from day one had been to get people out of hotels and into homes without listening to their needs, that clearly would have been wrong. It has been right at every step to work with each one of the households affected. For example, when numerous households said that they would like to take the opportunity to split, particularly if they had different generations in homes, we listened to them. There were 151 homes lost in the fire, but 208 households need to be rehoused because the council rightly listened to the needs of the families.

I will not go through all the numbers, but of the 208 households who need rehousing, 22 have not accepted any offer of temporary or permanent accommodation, despite the fact that more than 300 properties of all different sizes and in different locations are now available for those families. There are 22 who have yet to accept an offer. I hope the hon. Gentleman understands that many of those families are still very traumatised and that some are not in a position to even want to make a decision about leaving the hotel. I hope he agrees that in such situations no family should be forced into accommodation they are not comfortable with. However, I accept his wider point about treating the issue with the urgency it deserves, which is why I hope that when the council responds to the taskforce report, it will accept all its recommendations on rehousing and all the other issues.

The hon. Gentleman asked whether I have confidence in the council. Yes, I do have confidence in the council. I would like to see more. I agree with the taskforce recommendations. I still feel that it was right to intervene when I did and to have the taskforce go in and provide scrutiny.

On the building safety programme, we believe that there are 301 tall residential towers over 18 metres high whose ACM cladding does not meet building regulations. Immediate interim measures have been taken in every single one of those buildings, to ensure that the residents feel safe. All those measures have been taken in consultation with the local fire service, to make sure that there is proper expert advice, and it is accepted that they are appropriate measures. Of those buildings, 130 are in the private sector. Local authorities are the primary bodies responsible for seeing whether there are any more such buildings in the private sector in their respective areas. We have provided them with a tremendous amount of support, including an additional £1 million, which we recently released at their request, and we continue to work with them. Of the 158 buildings in the social sector, remediation work has begun on 92 of them—58%—and the work has been completed on seven.

I hope that the hon. Gentleman respects the fact that, once a building has been identified, it takes time to take down the cladding and replace it appropriately, but we are supporting local authorities in doing that work, including where they need financial flexibility and support. We have been approached by 41 local authorities so far. Interestingly, only 13 of those 41 authorities have reported that they have residential towers with ACM cladding that they are trying to remedy. Understandably, however, other issues have come up, such as a demand for sprinklers and other forms of action. In each of those cases, we have said to the local authorities that it is right for them to determine, with professional advice, what essential work they need to do, and we will work with them on financial flexibilities if that is required.

The hon. Gentleman asked about fire doors, and that work continues. As he knows, we are working with the independent expert panel, the National Fire Chiefs Council and the Government’s scientific advisers. There has been testing, including visual inspections, and the testing in labs continues. The independent experts are still advising us that there is a low risk to public safety—at this point, they feel that there is no systemic risk—but their work continues, as does the assessment work.

Lastly, the hon. Gentleman asked about building regulations. He rightly said that developments of course continue as we speak, and we need to make sure that there is full confidence in the building regulations system. That is exactly why a report is being prepared independently by Dame Judith Hackitt. All the recommendations in her interim report have been accepted, and each of them is being implemented. We await her final report, which I think will bring much more clarity to this area.

[Alberto Costa (South Leicestershire) (Con)]

I thank my right hon. Friend for his very important statement. Will he confirm that interim safety measures have been taken for all social housing blocks with unsuitable cladding, and that in the majority of cases the remediation work has already begun?

[Sajid Javid]

Yes, I am very happy to confirm that to my hon. Friend. In every single case in which tall residential buildings have been identified with ACM cladding that we believe does not meet building regulations, interim safety measures have been taken, and work has begun on a majority of social buildings.