(3 years, 7 months ago)
Commons ChamberThe sporadic localised disorder that we have seen in Northern Ireland is completely unacceptable, and I appreciate the comments made by the hon. Member for North Down (Stephen Farry) in that regard over the past couple of weeks. The factors behind that disorder are complex and, as I have said, multifaceted. All communities in Northern Ireland must work together to resolve current tensions and unrest. I have been in regular close contact with political and community leaders, as well as with the Police Service of Northern Ireland, and it is clear that, as we know in this House, the only way to resolve differences is through dialogue. In that regard, we all have the ability to lead the way by example.
As I outlined in a statement last week, and as I have just said, the tensions and issues that led to violence a couple of weeks ago are multifaceted and, as I am sure the hon. Gentleman is aware, a number of issues are going on. I would be wary of putting this on any one issue, or of giving anyone the view that it is acceptable to argue that, because of tensions over the protocol, it is acceptable to use violence. There is much more to what happened the other week than that. As I have said, we want to work towards a practical pragmatic solution with our partners in the EU, to ensure we have that good, free and flexible flow of products between Great Britain and Northern Ireland in the way we want, and as we deliver from Northern Ireland to Great Britain.
I agree with the Secretary of State that the reasons behind the violence are multifaceted, but the barriers to trade, which the Prime Minister repeatedly and wrongly denied existed, have played a part in the growing political instability in Northern Ireland. We need solutions. Will the Secretary of State do what he did not do in last week’s statement and confirm that his Government are seeking an agreement on common veterinary standards? That would go a long way to lowering barriers to trade in food products across the Irish sea.
(3 years, 10 months ago)
Commons ChamberMy hon. Friend makes an excellent point. As Northern Ireland enters its centenary year, it is the right time to shine a light on what makes it so special as we look to a bright future. Fostering economic growth and social cohesion is key to building a stable and prosperous future for Northern Ireland. I was pleased to be able to announce the £400 million of new money, in the new deal for Northern Ireland just before Christmas, to help boost economic growth, competitiveness, infrastructure and the social fabric. We are planning an exciting programme to promote Northern Ireland’s potential across the United Kingdom, and also internationally.
From recent engagement with victims’ groups, their overriding concern is that the scheme be open for applications as quickly as possible. We share that objective, and I will continue to work with the Executive’s delivery of this scheme. We must make sure progress is not diverted by any red herrings. This is a devolved matter, and devolved matters are funded from the block grant. The Executive need to step up and fund this scheme. The Department of Finance in the Northern Ireland Executive needs to step forward and to get the independent fiscal council organised to provide that independent advice and scrutiny to help them on these budgetary matters.
I thank the Secretary of State for that answer. Eighteen months ago, I was proud to play my part in finally delivering the payment to victims who had campaigned for decades for redress for the unimaginable suffering they endured during the troubles. The fact that it still has not been delivered, though, should shame us all. So does the Secretary of State agree that failing to deliver on these promises to victims will do immense damage to trust, and when will he act to ensure that those promises are kept in Northern Ireland?
I am sure the hon. Gentleman will appreciate—being, as he outlined, part of the process—we are all proud to have got this moving forward. He is absolutely right: I think there is a moral as well as a legal and an ethical duty to ensure that the victims are able to access that programme of work. I know the work is ongoing to do that. In the Department of Justice, the Minister there is passionate and determined about that, as is the First Minister. One of the frustrations I had in 2020, I have to say, was the fact that it took a court case to get the Deputy First Minister to even designate a Department. That simply was not good enough. The Department of Finance now needs to ensure that it does not play games with victims and their pensions and payments, and that that money is made available to the Department of Justice to get on and deliver this programme.
(4 years, 2 months ago)
Commons ChamberUrgent Questions are proposed each morning by backbench MPs, and up to two may be selected each day by the Speaker. Chosen Urgent Questions are announced 30 minutes before Parliament sits each day.
Each Urgent Question requires a Government Minister to give a response on the debate topic.
This information is provided by Parallel Parliament and does not comprise part of the offical record
I would say to my hon. Friend that yes, this does break international law in a very specific and limited way. We are taking the power to disapply the EU law concept of direct effect, required by article 4, in certain very tightly defined circumstances. There are clear precedents of this for the UK and, indeed, other countries needing to consider their international obligations as circumstances change. I say to hon. Members here, many of whom would have been in this House when we passed the Finance Act 2013, that that Act contains an example of treaty override. It contains provisions that expressly disapply international tax treaties to the extent that these conflict with the general anti-abuse rule. I say to my hon. Friend that we are determined to ensure that we are delivering on the agreement that we have in the protocol, and our leading priority is to do that through the negotiations and through the Joint Committee work. The clauses that will be in the Bill tomorrow are specifically there should that fail, ensuring that we can deliver on our commitment to the people of Northern Ireland.
I am astounded that the Secretary of State has just conceded that he is proposing to break international law. Perhaps for the first time I agree with the right hon. Member for Maidenhead (Mrs May). It is a question of trust when it comes to signing international treaties. We cannot condemn others for seemingly breaking the international rules-based order if we are prepared to do the same. It is incredibly damaging to our reputation if we are seeking to acquire trade treaties and the UK internal market Bill tomorrow seeks to disapply section 7A of the European Union (Withdrawal) Act 2018. That would be a clear breach of our international obligations, and for that reason should he not rule it out?
As I have said several times today, obviously our focus is on ensuring that none of these clauses is required because we are able to secure a free trade agreement through the negotiations, which are ongoing this very day in London, as well as through the work of the Joint Committee. These clauses will simply put in place reasonable and limited structures to ensure that, should those negotiations not come to a satisfactory conclusion, in January we are able to show that we are delivering unfettered access for the people of Northern Ireland and ensuring that Northern Ireland remains an integral part of the UK customs territory and single market.
My hon. Friend makes a very good point, highlighting exactly the point I was making. As 86% of the population want to own their own home, most people have always found it slightly bizarre and illogical that when we talk about affordable homes we talk only about homes to rent. People want to own their own home, so it is absolutely right that affordable homes should also include homes that are affordable to buy.
The Government’s housing plans sit alongside their policy of neighbourhood planning. The Minister will recall that in the Adjournment debate he answered earlier in the year he recommended that the people of Haughton Green went away and produced a neighbourhood plan. They have started that process, so what assurances can he give them that the Two Trees site will not be brought forward for development by Tameside Council before they have had the opportunity to say how they want the site to be sustainably developed?
I am sure the hon. Gentleman will appreciate that I cannot comment on any particular planning application owing to the quasi-judicial role. As I said in that debate, neighbourhood planning is at the heart of our planning model. It delivers more homes than are delivered in areas that do not have a neighbourhood plan and allows the local community to work out where homes should be and what type of homes best suit them. It is fantastic that more than 200 plans are now in process and approved, and more than 2,000 are coming through. I look forward to seeing the conclusion of the plan in his constituency.
(8 years, 6 months ago)
Commons ChamberWe need to work across the piece not only on building new homes but on the better care fund, social services, the No Second Night Out campaign and our extra investment in homelessness. So ultimately, yes, we will have done our job to the best of our ability when we give everybody in the country the chance to own their own home. Labour seems to want to stop people having that chance. The hon. Lady might want to think about the fact that 86% of our population want to own their own home. She might want to support their ambitions rather than doing them down.
In addition to the 1 million more homes and the 1 million first-time buyers, we want enduring, sustainable improvement to the delivery of new housing in this country. The chronic under-supply of new British homes is a failure that was decades in the making. Halfway through this turnaround decade, our changes are bearing fruit. In this Parliament and the last, we have devoted the effort required first to rescue and then to reform housing delivery. Time spent building carefully on each round of reform, learning from experience and forming the local relationships required for delivery, is time well spent.
As we saw in the previous decade, the quick and dirty debt-fuelled approach to building more houses is no solution at all. Rather, it led directly to a disaster that set Britain back by years. The purpose of the neighbourhood planning and infrastructure Bill is to empower local communities to plan and deliver the development they need where they need it. It will simplify and streamline the neighbourhood planning process and give communities confidence and certainty that their voices will be heard as soon as possible. The creation of a fully fledged neighbourhood planning system stands as one of the great reforms of this Government. The neighbourhood planning process is now under way in thousands of communities.
The Minister knows that I have an interest in neighbourhood planning because he responded to my Adjournment debate earlier this year about problems in the Haughton Green area of my constituency. What assurances can he give to the people of Haughton Green that the things they want to see happen in their community could be delivered through the Bill? For example, will there be a neighbourhood right of appeal—something the Government blocked when Labour tabled amendments on such a measure?
Actually, the Labour party did not vote or even call a vote on the neighbourhood planning third-party right of appeal. The hon. Gentleman might like to check back and see how that issue played out. What we want to ensure, through the Bill, is that there is no need for a third-party right of appeal, because the community’s voice will have been heard at the beginning of the process. I think prevention is much better than cure. Having talked to organisations such as the Campaign to Protect Rural England, and to colleagues and people who have drawn up neighbourhood plans around the country, that certainly seems to be the more popular way to get things done.
(8 years, 9 months ago)
Commons ChamberI congratulate the hon. Member for Denton and Reddish (Andrew Gwynne) on securing the debate. I want to pay tribute to his clear and energetic campaigning on behalf of his residents. As we have seen here today, he is fully committed not just to urban regeneration but to ensuring that we see the right kind of environment and community for his residents—something we all want to see right across the country. I hope that the hon. Gentleman will appreciate that for reasons of propriety, as the Minister for Housing and Planning, I cannot comment on particular planning proposals or draft local plan documents. I am nevertheless happy to respond in general terms to the issues that the hon. Gentleman has aired today. I hope to suggest some possible ways forward for his constituents.
Having listened to what the hon. Gentleman has said, it seems to me that his concerns relate more to policy, both local and national, than to rules. This Government’s expectations of the planning system are set out in the national planning policy framework. It is an important document and one of its important objectives is to promote the highest standards of architecture and design as well to ensure that the historical environment is allowed to play its part in place-making.
This is not just a matter of ensuring that conservation areas and buildings listed for their architectural and historical interest are safe. The character and distinctiveness of our villages, towns and cities are often dependent on townscape features that are not designated as heritage assets, as the hon. Gentleman outlined very well. Buildings, for instance, have clearly accrued over time and tell us about our history; they have varied texture and human-scale design; and they avoid the “sameness” that in reality spoil too many of the town centres and developments that we have seen over the last few years.
Local authorities, of course, must ensure that appropriate roads and other hard infrastructure are there to support the developments they approve, but green infrastructure matters, as well. Trees and open spaces, whether or not protected by designation, play a vital role in place-making and promote public health. New infill development that shows care and respect to a town or village’s character and context can not only raise the spirits, but help to attract visitors and businesses and increase property values. The framework also makes it clear that local authorities should prioritise suitable brownfield land wherever practicable.
Whatever the development planned, it is best to make sure that the community is involved early on and is clear about its ability to get involved. Local residents have three main opportunities to have their say about future development: plan-making, neighbourhood planning and directly through planning applications. I shall touch on those in turn in the next few minutes.
Tameside Metropolitan Borough Council is in the early stages of scoping a supplementary planning document for the area. The council has already engaged planning and design consultants to lead early community engagement. I think that is a good thing, but we need to make sure that that engagement goes forward. I hope that the hon. Gentleman will urge his constituents to contribute their views through the plan-making process.
One of this Government’s ambitions in determinations for localism is to make sure that local people feel empowered and if possible take the lead on the approach to designs adopted in their area. If there is concern that buildings have not been listed for their architectural or historical interest, and that they are vulnerable, a community can use its local plan to create a local list of heritage buildings so that their merit is not ignored. Local people can also investigate a new design toolkit, which has been launched by the Prince’s Foundation and is entitled “Beauty-In-My-Back-Yard”. I commend it as something for the hon. Gentleman and his constituents to have a look at as providing a possible basis for dialogue with Tameside council and developers.
As the hon. Gentleman rightly outlined, there is the wider context of the Greater Manchester spatial framework. The 10 authorities of Greater Manchester have a long and successful history of working together to drive economic growth. The devolution deal provides further opportunities for that. At the local level, each individual authority will have to sign up and be accountable in the local area. Each authority must consult and involve the local area so that local people will have a say over development in their areas. I encourage all the hon. Gentleman’s constituents in Haughton Green to take part in the consultation, and I hope that they will consider engaging in neighbourhood planning as well, because that would be a massive step forward.
I agree with everything that the Minister has said so far, but local people need to know that a consultation is taking place. That is the problem that we had with the call for sites.
That is a good point. It is important for local authorities to work hard to engage their local communities. However, neighbourhood planning allows people to have a direct say in the development of their areas. Not only can they work on the design of the plan, but every resident in the neighbourhood has a vote in a referendum. I am pleased that, so far, 88% of people have voted “yes” in neighbourhood planning referendums. If people are interested and involved, they will have confidence in the process and get behind it.
The hon. Gentleman mentioned parks and similar areas. We feel that people should be encouraged and empowered to have a say in what happens to assets of that kind. The community right to bid allows pieces of land, and buildings such as churches, to be listed as assets of community value when that is appropriate. I should be happy to give the hon. Gentleman further details of the listing process, which is extremely straightforward and simple, and can prove very successful in protecting assets. It is necessary to ensure that the right assets are protected, and the community is best placed to do that. We need a localised, flexible and reformed planning system that is driven by communities, and enables them to make decisions that are right for their areas. The people who know best are the people who live in those areas, and that is what neighbourhood planning, and assets of community value, are all about.
The people of Haughton Green, like those elsewhere, have statutory opportunities to comment and criticise when a local plan is revised, when a spatial plan is developed, and every time a planning application is made. Even if land is allocated for development in the spatial framework or local plan, a particular planning application can still be refused permission in response to evidence and well-argued objections. That brings me back to something that the hon. Gentleman has heard me say at the Dispatch Box a few times before. We want more homes to be built, but we also want them to be the right homes, in the appropriate places and for all tenures.
There are many opportunities for local people to have their hopes and concerns reflected in our modern, reformed planning system, especially if they have volunteered to work on a neighbourhood plan that is brought to a successful conclusion and adopted following a local referendum, and there are many ways in which to secure well-loved and useful local buildings and protect them from unnecessary loss. I hope that the hon. Gentleman’s constituents will take those opportunities on board, have confidence in their ability to use them, and enjoy success in the future.
Question put and agreed to.
(8 years, 9 months ago)
Commons ChamberMy hon. Friend outlines the sensible and productive approach that has been outlined by my hon. Friend the Member for Richmond Park (Zac Goldsmith), who I hope will be the next Mayor of London, to make sure we deliver more housing for London. As the joint chair of the London Land Commission, I look forward to working with him.
Does the Minister understand the plight of the residents of Haughton Green, an urban village in my constituency, who, under the Greater Manchester Combined Authority’s spatial framework, have seen every remaining piece of open green space in that area identified for future development? Is it not time we had a planning system that worked for the people of Haughton Green?
The hon. Gentleman’s council is represented on that authority, so I would hope it has a voice. I am also co-chairing the Manchester Land Commission, and I will certainly raise that point with the Labour interim panel chair and Mayor.
(8 years, 10 months ago)
Commons ChamberI am slightly surprised by the hon. Lady’s comments. If she looks back at the Hansard report of this debate, she will see how many interventions I have already taken, so she might want to talk to her colleagues about the fact that they got in before her. I am sure that she appreciates that I will always take an intervention from the Chair of the Select Committee first.
The future of supported housing matters, which is why my Department and the Department for Work and Pensions have jointly commissioned a fact-finding review of the sector. This will report by the end of March and will deepen our knowledge and understanding. The research has included extensive consultation with local authorities, supported accommodation commissioners and all categories of supported housing providers, be they charities, housing associations or, indeed, those in the commercial sector. It will provide us with a better picture of the supported accommodation sector.
In the meantime—Lord Freud has written to all interested parties outlining this today—the 1% reduction will be deferred for 12 months for supported accommodation. We will get the findings of the review in the spring. We will work with the sector to ensure that the essential services it delivers continue to be provided while protecting the taxpayer, making sure that we make best use of the taxpayer’s money and meet the Government’s fiscal commitments. We will look at this urgently to provide certainty for the sector.
I am grateful to the Minister for giving way and for setting out the next steps. I put it to him politely that he ought to have done that kind of research before making the announcement in the first place. In order to give those housing providers certainty, can he now also tell the House precisely what kinds of measures will be implemented to offset the changes in housing benefit?
I say gently to the hon. Gentleman that the financial mess in which the previous Labour Government left this country means that we have to make difficult decisions and move quickly to ensure that hard-working taxpayers are properly protected. I am proud to be working with a Chancellor who sees that as one of our first and foremost duties.
(8 years, 11 months ago)
Commons ChamberAs my hon. Friend will know, having given evidence after being quizzed by the Select Committee, I am an avid proponent of what it does, and my hon. Friend makes the very good point that the policy will increase housing supply. The reality is that every property sold brings in money that will mean that extra homes get built—housing supply will go up. So it is time to end the baseless scare story that right to buy reduces the number of homes, particularly in London.
Let me provide hon. Members with some figures. After we reinvigorated the scheme for council tenants in London, 536 additional homes were sold in the first year, and 1,139 were built. Yes, hon. Members heard that correctly: two for one on right to buy homes in London already. We are building even more, and that success will now be repeated on a much grander scale.
I am grateful to the Minister for giving way, but he will, I hope, forgive my scepticism, given that in the Stockport part of my constituency, there have been 184 sales of council homes under right to buy over the last three years—yet not one single right to buy replacement.
Urgent Questions are proposed each morning by backbench MPs, and up to two may be selected each day by the Speaker. Chosen Urgent Questions are announced 30 minutes before Parliament sits each day.
Each Urgent Question requires a Government Minister to give a response on the debate topic.
This information is provided by Parallel Parliament and does not comprise part of the offical record
Absolutely; my hon. Friend makes an important point. We are hugely determined to drive up house building, having inherited from Labour in 2010—when the right hon. Member for Wentworth and Dearne (John Healey) was the Minister—the lowest level of house building that the country had seen since 1923. We have seen the figures rise, and they need to continue to do so. All the work going on at the moment is about getting more homes built in this country.
New Charter Homes, a registered social landlord in the Tameside part of my constituency, has just announced 150 job losses. It says that this is a direct consequence of this Government’s right to buy and rent policies. What assessment have the Government made of the impact of those two announcements on registered social landlords’ business plans, and what support will the Minister give to housing associations such as New Charter to ensure that their financial stability is put on a firm footing for the future?
I am almost at a loss for words. The right to buy for housing associations has not yet come into force, so how a housing association can be taking that view now is beyond me, particularly when we bear in mind that our policy will create more work for them. We want them to use the income from right to buy to build more homes, which will mean more work for the housing associations.
My hon. Friend works hard to champion his local communities. I have enjoyed meeting some of the people working on the neighbourhood plans. They can have absolute confidence that a neighbourhood plan has weight in law. There is a duty on local authorities to work with a neighbourhood plan in an area. Indeed, the Government give them funding to do just that. If there are concerns about that, I will happily meet him and any of his constituents to see what we can do to ensure that the local authority does its duty.
Does the Minister understand the considerable upset and frustration from my constituents in Reddish, and indeed in Denton, at the decision by Liberal Democrat-controlled Stockport council to grant outline planning permission for luxury houses to be built within Reddish Vale country park, which is part of the Greater Manchester green belt? Is not that just another example of the Government talking the talk on community engagement but, when it comes to it, the public being locked out of the decisions?
My hon. Friend is absolutely right and he has spoken to me extensively about the excellent work going on in Pendle to make sure that brownfield sites are being developed, and I am pleased that that is part of the housing zone programme. We are in the process of encouraging further development on brownfield land. We want to develop 200,000 new homes by 2020 on brownfield land, and just last week we launched a £4.4 million incentive fund to support the preparation of local development orders on brownfield sites.
Absolutely, Mr Speaker. Last year the planning Minister told me that green-belt protection throughout the ancient county of Lancashire, which incorporates my constituency as well as Pendle, meant that development would not be permitted unless there was extensive consultation with the local population through an amendment to the development plan, and only then in exceptional circumstances. What would the Minister’s view be of a local authority that did not consult extensively with the local community and then approved a development in the green belt, as Liberal Democrat-controlled Stockport council has now done?
I am sure, Mr Speaker, that you will excuse me for saying “Nicely done” to the hon. Gentleman for keeping that question in order.
The hon. Gentleman is right: rearranging, reorganising or relooking at green belt within a local plan needs to be done in full consultation with people. The local authority needs to go through that, and it has to go through an independent examination with an inspector, but, obviously, with regard to individual planning applications, ultimately we believe in localism. I believe it is right for local people, through their local authorities, to have that power, through democracy, to make local decisions. It is very much a matter for the local authority.
(10 years, 9 months ago)
Commons ChamberI would be happy to meet the right hon. Lady and other Members from Salford if that would help. In a moment, I will touch on the better care fund, because we do need to look at how we change, reform and transform the delivery of adult social services, particularly social care. That is one of the things that my Department and the Department of Health are working on. I am working closely with the Minister of State, Department of Health, my hon. Friend the Member for North Norfolk (Norman Lamb), to deliver for local authorities.
We want to go further with the efficiency support grant. The Government do not want to continue as we have had to do, year after year, in patching up problems left from the Labour legacy. We have listened to authorities and to Members—not only me, before I was in post, but those such as my hon. Friends the Members for Hastings and Rye (Amber Rudd) and for Pendle (Andrew Stephenson)—about dealing with this issue once and for all and finding a permanent fix. Therefore, for councils that are on track with their efficiency plans and are delivering on the second year of their business plans, which we will review later this year, the grant will be rolled into their settlement in 2015-16. This a massive opportunity—a big reward—that will go a long way to filling, once and for all, the black hole in which seven authorities were left by Labour.
May I ask the Minister whether his Department has done any kind of research into the long-term financial viability of local authorities? We already know that some are nearing the cliff edge, so what assessment has his Department made and what will he do to make sure that they do not go bankrupt?
I refer the hon. Gentleman to the work showing not only that local authorities are coping well, but that good ones are improving front-line services.
(10 years, 11 months ago)
Commons ChamberUrgent Questions are proposed each morning by backbench MPs, and up to two may be selected each day by the Speaker. Chosen Urgent Questions are announced 30 minutes before Parliament sits each day.
Each Urgent Question requires a Government Minister to give a response on the debate topic.
This information is provided by Parallel Parliament and does not comprise part of the offical record
The new homes bonus is fairly simple: you build more houses, you get more money.
The Minister must surely be aware that many local authorities have already committed significant reserves to meeting additional equal pay requirements, especially as a result of the Birmingham ruling. That money cannot be spent twice, so will he cover those additional costs, should they arise, if those councils take his advice and spend the reserves on front-line services?
If the hon. Gentleman looks at the Birmingham case, he will find that we have been helpful to Birmingham, particularly with capitalisation. It would have been better, however, if that authority had made decisions earlier for good financial planning.
Getting rid of comprehensive area assessments has saved the public purse around £28 million a year. On top of that, work going on now means that there is a constructive, involved approach from the sector—opening up and looking more sensibly at what works—rather than a tick-box culture. I am delighted that such a good Conservative authority is showing so highly in the process.
The Minister will be aware that the Local Government Association has independently assessed that Tory-led West Somerset council will not be financially viable in future. How many more local authorities does he believe will not be financially viable in future as a result of his Government’s cut to local services?
The hon. Gentleman gives a good example of where the sector and the LGA are working closely with the council to help it to work its way through shared management, particularly shared senior management, and shared services, which will bring the kind of savings needed—it is a small district council serving just 35,000 residents—and take things forward in a prudent and sensible way. That is the sector helping itself rather than the old tick-box culture that cost everybody so much.
(11 years, 7 months ago)
Ministerial CorrectionsTo ask the Secretary of State for Communities and Local Government how much was paid in (a) year end and (b) in-year bonuses to officials in his Department in each of the last two years.
[Official Report, 18 December 2012, Vol. 555, c. 695W.]
Letter of correction from Brandon Lewis:
An error has been identified in the written answer given to the hon. Member for Denton and Reddish (Andrew Gwynne) on 18 December 2012.
The full answer given was as follows:
The information is as follows, including comparative figures for 2009-10:
Performance year | Year end | In year | Total |
---|---|---|---|
2009-10 | 832,491 | 181,426 | 1,013,917 |
2010-11 | 580,050 | 113,830 | £693,880 |
2011-12 | 247,750 | 296,500 | 544,250 |
(11 years, 9 months ago)
Commons ChamberThank you, Mr Deputy Speaker. I am slightly surprised by the comments of the hon. Member for Birmingham, Northfield (Richard Burden). Not only is my right hon. Friend the Secretary of State happy to meet representatives from Core Cities, but I met them myself during the consultation process. They were part of it, so I am not sure where the hon. Gentleman gets his facts.
To help local authorities, we published 50 ways to make sensible savings. [Interruption.] As I might have guessed, the Opposition scoff at the idea that looking after the pennies will take care of the pounds. That is probably why they got us into an economic mess in the first place.
The Opposition should take a leaf from the book of an Olympic hero—Sir Dave Brailsford, the head of British Cycling. His philosophy is the aggregation of marginal gains; tiny changes across the board that add up to the difference between silver and gold. That is what we should be doing. We should not scoff at small savings, because they add up to large amounts.
Thanks to the autumn statement, which exempted local government from the 1% top-slice in 2013-14, councils have time to put their house in order and put people first. As my hon. Friend the Member for Sherwood (Mr Spencer) suggested, they should start by freezing council tax, as Nottinghamshire county council and many others are doing—we know of about 150 already.
Once upon a time under the previous Government, council tax rose exponentially: it more than doubled. We have put money aside to put tax rises on ice for a third successive year. Councils should take advantage of that for the benefit of hard-working people who can ill afford to pay more. Already, 150 councils are taking that high road—councils from Derby to Dorset, from Northampton to Norfolk and Wolverhampton to Watford; but if councils take the low road and put up taxes, they should be aware of the wrath of the taxpayer. We are setting a 2% referendum principle for all principal local authorities, police and crime commissioners and fire and rescue authorities. That is direct democracy in action.
If an authority wants to raise council tax by more than 2%, the local electorate will have the right of veto in a binding referendum. I am sure that some councils may have a case—personally, I cannot see it—but if they do they should put it to the vote. They should stand up before residents and state their case. If they win the argument, so be it, but we will take a dim view of democracy dodgers trying to sneak in under the democratic radar, especially those using levies as places such as Manchester and Rotherham are doing.
I urge hon. Members to think about what we are saying. The Government grant is equivalent to 1%, so councils that are seeking to increase council tax and avoid a referendum are doing so, in effect, for at most 0.99%. What a kick in the teeth for local taxpayers. Any council leader that cannot get their officers and members to work together to find 0.99 % of savings should look again.
Surely the Minister knows how council tax is calculated. The issue is not just about one year—it is about the erosion of the council tax base, which has had a devastating impact in local authorities such as Tameside.
I respectfully suggest that the hon. Gentleman does a bit more research, because the Secretary of State stood at the Dispatch Box at an earlier date to say that it was in the base. The hon. Gentleman misses the point about the settlement. Council tax money is not about lining councils’ pockets—it is hard-working taxpayers’ money. Many councils already have more in reserve than they are losing through cuts. Liverpool, Manchester and Leeds have reserves twice the size of their spending power reductions.
I will deal first with the points raised by the right hon. Member for Greenwich and Woolwich (Mr Raynsford). I am still relatively new to the House, having joined in 2010, and I am certainly new to the Dispatch Box. I have to say that the opening remarks of his speech were the most undignified I have heard in this Chamber in my short time here. I therefore do not intend to comment further on what he had to say.
The hon. Member for Warrington North (Helen Jones) made a point about the scheme in general, and I shall respond to it directly. She seemed to suggest that her party would like to see a centrally controlled policy scheme, rather than trusting local councils. I must point out that the Local Government Association does not want this provision to be part of universal credit; it wants it to be localised, if it needs to change. I was disappointed that Labour Members seemed to lack trust and faith in local councils and local councillors to do what is right for their communities. We have far more trust and faith in them than Labour does.
I was astounded to hear at least one Member complain that the Government’s pledge of a further £100 million to help local authorities with the transition was unhelpful. That provision is of course voluntary; local councils do not need to take part and do not need to take up any of the money. It is simply a transitional grant that will be available if councils wish voluntarily to take up the offer of it. Some councils will come up with different schemes. It is part of localism that they will do what they think is right for their local communities. Some might have large reserves. If, for example, a council had about £45 million in reserve, it might use some of that to prepare for the changes. The Government’s position is that that should be a local decision. This is about local councils having the political will to do the right thing, to look at what is right for their communities, and to work to develop economic growth to get more people off benefits and into work. That goes hand in hand with the business rate retention that we discussed earlier.
It is important to record the fact that no Labour Member is saying that localism is a bad thing. The Minister cannot have it both ways, however. Either the Government take a localist approach, in which the arrangements for council tax benefit will be different from one local authority to another, or they do what the Minister says he wants to do, which is to simplify the system. That would involve one nationwide system.
I am not quite sure what point the hon. Gentleman is trying to make. This is a localised scheme in which local councils will do what they want to do. Different councils are consulting on different schemes, and in response to some of the consultations the Government have made provision to allow local authorities some transitional money to help them to move to what might be a better scheme for their area. But—this is the key point—that money is part of a voluntary scheme. It is up to local authorities whether they take part in it, or whether they go ahead with what they believe is the right scheme for them.
By the Minister’s own admission, then, this is not a simplified scheme. It is a localised scheme, but it is not simplified. Every local authority will have a different system in place, which will add to complexity.
I think the hon. Gentleman is starting to understand that localism means that local councils can do what they think is right for their local communities, understanding that what might work in one local community would not necessarily be right in another local community in respect of the schemes they devise to secure economic growth, to create more jobs or to get more people off benefits in the first place.