Housing and Planning Bill Debate

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Baroness Andrews

Main Page: Baroness Andrews (Labour - Life peer)

Housing and Planning Bill

Baroness Andrews Excerpts
Monday 25th April 2016

(8 years, 7 months ago)

Lords Chamber
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Baroness Andrews Portrait Baroness Andrews (Lab)
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My Lords, it is a pleasure to follow the noble Lord, Lord Krebs, who speaks with authority on climate change. I support the amendment in the name of my friend, the noble Baroness, Lady Parminter. We were both members of the Select Committee on the built environment, and we heard a weight of evidence that supports the amendment.

In July 2015, when the Government announced that they were scrapping a proposed regulation to require all new homes to be carbon neutral, they justified their action on the grounds that they sought to continue to reduce the overall burden on housebuilders. That has always been the argument used, and it is where the debate takes a wider turn. Reducing the burden on private sector housebuilders has also been the justification: for the mantra of deregulation that led, in March 2015, to the Government removing the code for sustainable homes; for the failure to implement national standards for lifetime homes; and for a complete failure to plan for the future and the mitigation of climate change, and to plan for longevity—the two most transformational impacts on our society.

The pursuit of deregulation at the expense of foresight and, frankly, simple common sense marks a certain opportunism in the Government that is, basically, dangerous. As we have heard already, there is no evidence from the industry to suggest that deregulation in this form leads to faster or better building, or to lower profits. In fact, intelligent builders, large and small—we heard about the London example—find that there is a market for sustainable homes that reflects the starting price and is reflected in lower bills. There is a driver for improvement that we should recognise in policy.

The Government’s Foresight unit warned a year or two ago, with total conviction:

“The potential role of land and land use in both climate change mitigation and adaptation will be profound. The move to a low-carbon economy will increasingly influence land use decisions, settlement patterns, the design of urban environments, and choices on transport infrastructure”.

That is the reality, but I fear we have a Government who reject the obligation to think ahead, who ignore the evidence, and who seem to be in denial of the reality of the significant emissions, as we have heard—I think 25% of our emissions come from the built environment—and of a potential increase in our population of 9.7 million homes over the next 25 years, with all the imperatives that creates for sustainable housing and infrastructure.

Taking just the code for sustainable homes, elements of it are now incorporated into building regulations and defined as new national technical standards. They are designed to reduce burdens, but in evidence to the Select Committee, Worcestershire County Council—hardly a pusher for a socialist agenda—said:

“Withdrawing the Code for Sustainable Homes appears to have sent a signal to developers that sustainability measures are less important than before, meaning that councils wishing to promote better environmental performance in new development will struggle to deliver higher standards.”

The UK Green Building Council put it equally bluntly:

“In the last 10 years we have had this very clear trajectory and everyone has known where they are going and have had a lot of time to put in place the strategies. Now we do not know where we are going”.

The Select Committee’s judgment has already been quoted. It was absolutely certain that the decisions would add to long-term costs and that there was no evidence that they would have any impact on the Government’s stated primary objectives to speed up housebuilding. It also said that it did not have,

“a clear explanation as to how new homes will be energy efficient and environmentally sustainable”.

I urge the Government to reverse their decision on this extremely important matter. This is the opportunity for the Minister, who has listened so closely throughout the debate, to show foresight and, frankly, common sense, and accept the amendment.

Lord Stunell Portrait Lord Stunell (LD)
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My Lords, I support the amendment proposed by my noble friend, which has been supported also by the noble Lord, Lord Krebs, and my Labour colleague. There is absolutely no inconsistency with Conservative policy, or the Conservative Government’s policy, in supporting this amendment. I remind the Minister that although the genesis of this measure lay with the preceding outgoing Labour Government, it was strongly supported by both parties in the coalition agreement. Indeed, last year the Prime Minister said at the conclusion of COP 21:

“The talks at the COP21 conference in Paris have culminated in a global deal, with the whole world now signed up to play its part in halting climate change. In other words, this generation has taken vital steps to ensure that our children and grandchildren will see that we did our duty in securing the future of our planet”.

Therefore, I say to noble Lords on all sides of the House that this is absolutely a mainstream and necessary policy move to take. Of all the things that can be done to improve the UK’s performance on reducing climate change and the impact of CO2 emissions, tackling the built environment is right at the top of the list. Buildings account for 34% of our carbon emissions and within that homes account for two-thirds—that is, 22% of carbon emissions—significantly more than the whole of the transport sector. Governments devote many brain cells trying to find ways of reducing vehicle emissions and CO2 emissions but contribute nothing like the same level of policy input or intensity to reducing the much bigger output of carbon dioxide emitted from homes.

That brings me to the reasons given by the Minister when we discussed this in Committee. I do not want to rehearse all the arguments deployed then, but one which came across very strongly was that the Government were placing a lot of reliance on the additional cost that this measure would impose on the construction of an average house. Connected to that was their understanding that if there was such an additional cost, it would automatically lead to a reduction in the volume of homes that would be built. As my noble friend said, at the time the Minister relied on a Zero Carbon Hub estimate that the extra cost would be £2,885 per home. Unfortunately, the Minister did not complete the quotation from the Zero Carbon Hub report, which said that the cost would fall very substantially over subsequent time. The noble Lord, Lord Krebs, mentioned a range of values. It is highly likely that at this stage, two years after that estimate was made, the likely cost, given existing technology and building experience, would be about half that figure—perhaps, say, £1,500. If the cost was £1,500, the annual saving mentioned by the Minister in Committee would be repaid in five years. In other words, the additional cost would be repaid in five years given the reduced energy costs for the inhabitants of those homes. Given that the typical house built today will still be standing and occupied in 60 years, I would have thought a payback period of five years suggests that there is not too much of a problem on that score.

A second leg of that argument was that the increased cost of construction would result in fewer homes being built. I have put some questions to the Minister which I hope she will be able to answer when she responds to this debate. I thank her for the very constructive meeting with her that she arranged for a number of us who support this amendment. The reality is that building costs go up each year in any case for lots of reasons, such as shortage of labour, increased pay rates, shortage of materials and higher costs. For instance, the average cost of building a three-bedroom home in Hertfordshire has been slightly higher in each of the last five years. It has been increasing. I hope the Minister will be able to give us those figures later on. It is even more true that the cost of the land on which that home is built has been increasing as well, by a very much larger amount. I hope the Minister will be able to tell us what that increase is.

It ought to follow, from the theory deployed in Committee by the Government Front Bench, that as those costs rise the number of homes should fall and, presumably, so would their price. It is interesting that the sale price of a typical three-bedroom house in Hertfordshire has been rising faster than any increase in construction costs. It is also the case that this has not led to a reduction in the volume of housebuilding. It seems that neither leg of the argument stands up in regard to the link between the cost of providing high quality and the impact on volume or quantity. I hope the Minister will provide the House with some additional information on that and, perhaps, tell noble Lords which leg of the argument the Government will now use to advance the view that this amendment should be rejected.

It has also been said, and was mentioned in Committee, that the Federation of Master Builders is against this proposal and is very important. I do not think anybody in this House would deny its importance, but its members are responsible for only some 20% of the new homes built each year. As has been reported, the overwhelming concerns of builders large and small are access to finance and land and shortage of labour. Right down at the bottom, at only 4%, are concerns relating to regulation and red tape. I do not know what other arguments the Minister may rely on. There is certainly a need for more consultation, but all the consultation on this proposal has already been carried out and the Government had already reached the conclusion that it was appropriate to go ahead. Any consultation which may still be necessary will easily fit into the 12-month period allowed for in this proposed new clause.

I guess that the final argument will be that such a provision should not be so precisely and explicitly stated in the Bill: it ought to be in regulations. The Government have brought this upon themselves. The regulations already exist; they have been printed and published. However, the Government have announced that the next triennial uplift in building regulations has been cancelled. They could reinstate it and give an undertaking to proceed with the stalled regulations. They have not done so and that means that the only way forward, the only way to demonstrate that Britain is sincere in its signature on COP 21 and the only way of helping the Prime Minister to demonstrate that this Government, like the preceding one, intend to be the greenest ever is for this clause to receive the support of your Lordships today.

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Lord Krebs Portrait Lord Krebs
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My Lords, I am grateful to the noble Baroness, Lady Parminter, for introducing this amendment so eloquently. We discussed it at some length in Committee and therefore at this point I will be brief. As the noble Baroness has said, the Government’s position is that the changes introduced in April 2015 need time to bed down so that their impact can be assessed further. The noble Baroness has already referred to exactly how this assessment will take place, but it is important to note that while we wait for the review, many more new homes are being built, and some of them will be at risk of flooding if we do not have proper and sustainable urban drainage to deal with surface water flooding.

As I said in Committee, as long as developers have an automatic right to connect to existing sewerage pipes, there is no real incentive or need for them to implement SuDS. I referred then to the survey undertaken by the Adaptation Sub-Committee of the Committee on Climate Change, of which I am the chairman and thus declare an interest. We surveyed about 100 planning applications in flood-prone areas and found that only 15% of them had installed SuDS. Barratt Homes has subsequently reported that in 2014-15, a third of its developments contained no SuDS provision. At the moment the policy is simply not being taken up in the way it should be. Moreover, when SuDS are installed, it is not clear who is responsible for maintaining them. The amendment seeks to ensure that SuDS are the default option in new developments. It achieves this by removing the automatic right to connect to existing sewerage systems, which would become the absolute exception once all other options have been explored.

As has been said by the noble Baroness, Lady Parminter, this amendment has the support of many industry, professional and environmental bodies, including most importantly Water UK, which represents the industry that has to deal with drainage problems when they occur. I should like to quote the Construction Industry Council which has said that,

“the Ministerial Statement that now guides planning was not rooted in all the research and development that had been undertaken by Defra over the last 10 to12 years”.

This has left,

“voids in policy as aspects of Schedule 3 are now unresolved”.

It is worth pointing out that, in this regard, England is lagging behind the devolved Administrations. Northern Ireland has ended the automatic right to connect; Scotland has a general requirement for SuDS in new development; and Wales has much more extensive SuDS standards than those in England. We have heard the debates in Committee. We know that Parliament has already legislated for the requirement for SuDS in Schedule 3 to the Flood and Water Management Act 2010, but the Government have chosen not to implement it. We know that Sir Michael Pitt, in his review after the 2007 floods, recommended that SuDS should be incorporated in all new developments, so now is the time for the Government to respond to this amendment by saying, “Yes, we agree”. This is a very simple and straightforward way of ensuring that SuDS are implemented and that new developments—the very large number of new homes that will be built—are properly protected from the risks of surface water flooding.

Baroness Andrews Portrait Baroness Andrews
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My Lords, my noble friend Lady Young of Old Scone has signed the amendment but is unable to speak to it. She has given me the grave responsibility of supporting it in her name. She is such an expert on the environment, including sustainable drainage, that I would be taking a risk if I went into the technical detail, so I shall confine myself to a few more general statements.

We have 5.2 million homes at risk of flooding, according to the commission of inquiry into flood resilience, published in March last year. Clearly, policy needs to shift the focus away from flood defence towards flood resilience. That is the case for sustainable drainage.

We heard evidence in the Select Committee on the Built Environment on flood risk. The committee was sitting just at the point when there was so much flood damage across the UK. All the evidence emphasised the fact that the provision of sustainable drainage systems was of key importance to future urban water management. Essentially, SuDS are designed to mimic natural drainage systems, such as green roofs, ponds, wetlands and underground storage. They provide an alternative to drainage of surface water through pipes to watercourses, which increases flood risk.

The Government’s decision not to implement Schedule 3 to the Flood and Water Management Act 2010, which would have established a separate approval regime, is rather perverse and was strongly criticised. The construction industry, no less, told the committee that the decision had created voids in policy, uncertainty in planning policy interpretation, the abandonment of the concept of draining as critical infrastructure, no structure for the adoption and maintenance of SuDS, as we have already heard, and no measures to address flood resilience at a local scale. This is very strong language from a responsible, professional body.

Amendment 119A comes with a whole raft of professional and expert support. A range of authoritative environmental bodies have supported the intention of the amendment. Those bodies have pointed out, for example, that SuDS can be installed and maintained at a low cost and are cheaper than maintaining conventional drainage. We have good ecological and economic arguments for SuDS.

The problem is that those same bodies have emphasised that the presumption in planning that SuDS should be included in new developments is not working. Those bodies agree, too, that the decision not to implement Schedule 3 has created uncertainty of interpretation over what is acceptable. It has made drainage simply a factor in the planning mix rather than critical infrastructure, partially implemented in places and of variable quality. It is that distinction between the status and guarantee of SuDS as infrastructure and a planning choice that is weakening and debilitating the policy. That seems to be what is happening. In short, the Government have designed a system through using the planning guidelines adopted instead of the legislation, which is almost bound to lead to low take-up and low quality, so increasing flood risks. There is collateral damage as well in terms of habitats and human life.

This also gives the developers an upper hand. If they suggest that there are practical or economic barriers, few local authorities can answer back. There is not the same level of expertise to challenge this. As we have heard, only England is being so short-sighted. The devolved Administrations have indeed taken more proactive steps to implement sustainable drainage. So, we have an opportunity for catch-up. I do not believe that it is enough at this point to say that it is good enough to wait and see. Many more homes and developments could benefit if we act now, and that is what we should do. I hope that the Minister will feel able to accept Amendment 119A.

Baroness Williams of Trafford Portrait Baroness Williams of Trafford
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My Lords, I thank the noble Baroness, Lady Parminter, for raising this very important issue, and the noble Baroness, Lady Andrews, for pointing out the feeling of the House on the matter. I share it; I know, following the devastation of this winter’s floods, that we are all keen to ensure that new housing development is brought forward only when it is safe from flooding and without increasing flood risk everywhere.

Following the floods in December, the Government are taking action but we can go further. I am keen to listen to the House and consider how we can respond to the proposals. I recognise that there is unease about the ability of the planning system to deliver sustainable drainage. The new, strengthened policy came into effect in April last year and it will take some time for developments affected by that policy to reach completion before it is possible to reach a clear view on its effectiveness. To date, the vast majority of the available evidence on take-up of sustainable drainage systems predates the introduction of the policy change.

However, following helpful conversations with noble Lords last week, I can confirm that, in response to the amendment, we commit to undertaking a full review on the strengthened planning policy on sustainable drainage systems by April 2017. I can also confirm that we will take action to make changes, including closely examining the need for any legislative measures, if evidence shows that the strengthened policy is failing to deliver. I am keen that the review is informed by a wide range of experiences and hope that noble friends and members of the Adaptation Sub-Committee will play an active part in taking it and any recommendations forward. Officials are developing a plan to identify what further work is needed to improve our evidence on the effectiveness of the policy, including the take-up of sustainable drainage systems in new development. They will welcome the opportunity to work with stakeholders on this.

As well as these commitments, we have established the national flood resilience review, led by Oliver Letwin, to assess how the country can be better protected from future flooding and increasingly extreme weather events. This review will identify any gaps in our approach and pinpoint where our defences and modelling need strengthening, allowing us to take prompt action. The review is due to report in the summer.

The Government are committed to ensuring that development is safe from flooding and the delivery of SuDS is part of our planning policy. We also recognise the importance and benefits of sustainable drainage systems in our planning guidance, for not only reducing the impacts of flooding, but removing pollutants from urban run-off and the added benefits for amenity, recreation and wildlife. I hope, with this reassurance, that the noble Baroness will feel free to withdraw her amendment.

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Lord Taylor of Goss Moor Portrait Lord Taylor of Goss Moor
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My Lords, I will speak briefly on this issue, which I feel very strongly about. We are in a terrible place: because people believe there is insufficient land in our island to build, we cram homes on to the smallest possible areas. Through not releasing enough land, its value is bid up and it goes to those who will squeeze the smallest possible boxes into the tiniest possible area with the least possible facilities. We should have more generous minimum space standards. After the war, we built council homes with very generous room sizes and with gardens with space to grow food. We could learn from this.

We need to understand that only some 9% of our country is built on; half of that is parks and gardens. To build the homes we need adds a fraction of 1% to the built area. Even the south-east would still be 87% green fields, even if we built all the homes we need on such land, in that area, which we do not need to do. The argument that we cannot afford decent sized homes does not add up. It comes out of making too little land available. I will give three facts to the House. First, we build the smallest homes anywhere in the European Union outside Romania and Italy. That is because they build almost entirely apartments. They have a tradition of apartment living which we do not have here. An Englishman’s garden used to be important, but people rarely get that now. Around 40% of all homes built are flats, yet only 2% of the population say they want to live in them. We have got something immensely wrong there.

Secondly, we actually build smaller houses than we did in the 1920s, even including the workmen’s cottages which were very small even by today’s standards. Thirdly, we build homes half the size of those the Danes build, on average. It is a myth that we cannot afford the space to give an Englishman a decent home and garden, and it is high time that we changed that view.

Baroness Andrews Portrait Baroness Andrews
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My name is on this amendment and I support what my noble friend has said. The contribution we have just heard from the noble Lord, Lord Taylor of Goss Moor, gives us very important context in our understanding of the possibilities. We all need space as much as we need light. That was what Parker Morris recognised when the first space standards were set down, and so many people have benefited from those. We now face the opposite situation. Government policy decrees that it is optional for local authorities to adopt national standards. There will be many good ones that will want to do that because they recognise the health benefits of having proper space and light, but many more will be inhibited by the requirements that are attached, which are going to add more burdens and complications.

It is interesting how often this Government generate more bureaucracy while constantly railing against it on every occasion. There will, therefore, be another dimension to the postcode lottery: local authorities which recognise that space is essential to good health and family and social harmony and provide for it, knowing that the converse means greater family and social stress; and local authorities which will not do that. It will mean less room for children to do homework; for teenagers to have necessary privacy; for parents to have room to move. All those things make for well-being.

Nowhere is this more crucial than in areas where there are no planning standards at all. I raised this issue in last week’s debate on the conversion of offices into dwelling spaces. It was very late in the evening and I did not want to test the patience of the House, but the other issues we have discussed, such as the impact on the viability of town centres and the general viability of enterprise, make it timely to raise it again. In 2013, when the Government amended permitted development rights without planning permission, this was at first for only three years. In October last year it was made permanent. This has given rise to grave concerns, in addition to the very serious ones raised last week by noble Lords such as the noble Lord, Lord True. There is a great deal more to be said about this aspect of policy and its impact in evidence from local authorities as diverse as Bath and Camden. For example, the London Borough of Barnet told our Select Committee that because there are no planning standards for converting offices to domestic dwellings, local authorities have no control over important details such as space standards, dwelling mix and tenure. The London Borough of Barnet told us that:

“There are no planning standards, so you could theoretically build rabbit hutches, as people sometimes refer to them, if you wanted to, whereas planning standards that define a good-quality size of units are almost set in stone”.

I refer noble Lords to a recent report by RIBA, which pointed out that, of the 170,000 homes built last year, 20,000 were converted offices. As such, under the regulations, there are no planning standards which give safeguards for the new home owners. The conversions need not meet space standards or any other planning-based quality standards such as energy efficiency. Some of these apartments are no more than 14 square metres, which is about one-third of the national average. If noble Lords are sceptical, I invite them to look at the RIBA report: it is on the web.

Overall, this is serious. It weakens the ability of local authorities to secure good quality housing, and it will lead to a new generation of home owners who will be expected to manage in conditions which are neither ethical nor healthy. Given the number of homes that may well be coming forth through these conversions, I hope the Minister appreciates that these are inadequate and, frankly, unsafe conditions and that she will undertake to review the need for full planning conditions to apply to them.

Lord Deben Portrait Lord Deben (Con)
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I have some sympathy with the arguments behind it, but the amendment seems entirely the wrong one. The noble Lord, Lord Taylor, is absolutely right about the release of land. If one has a criticism of government, it is the very strong one that we have not made people release land. There is enough land in London to provide the homes we need if it were released. We have not done it; nor did the previous Government; nor the one before; nor the one before that. Yet all the way along we have known that the land is there.

However, it is not very helpful to bring forward an amendment which simply tells every local authority that it must do the same thing. I deeply disagree with the noble Baroness, Lady Andrews. You cannot just talk about localism and the postcode lottery. Local authorities have got to be able to make up their minds. The other day, I had a rather sharp disagreement with my noble friend Lord True because I happened to suggest that local authorities were not entirely without guilt in the provision of houses. He immediately jumped up to defend them. I happen to think that local authorities can be good and bad. We have to believe in them and give them the right to make decisions. The noble Baroness, Lady Andrews, is just wrong to say that we have to impose from the centre these particular requirements. It is acceptable to choose to have them or not.

I want local authorities to have that choice but I do not want the Government to get off the hook on the fundamental thing, which is that action is required to make land available. It is not being made available because local government, national government and quasi-governmental bodies all say, “Well, we might need it. Probably better not to do it now. We would get a bit more money if we hold it back and put it in penny parcels”. We need a serious battle to release the land, particularly in London. If we did that, I think the price would plummet because I would make it compulsory to get rid of the whole lot together and insist it was developed within a short period of time, not just hoarded by housebuilders. There is a great deal to be done but we need some radical change on that front.

If I may dare say so, this is not a sensible amendment because it does not make radical change. It merely says, once again, that every local authority has to do what the Government say. I am not in favour of that but I am in favour of some radical change.