Crown Estate Bill [HL] Debate

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Department: HM Treasury

Crown Estate Bill [HL]

Baroness Bennett of Manor Castle Excerpts
Baroness Bennett of Manor Castle Portrait Baroness Bennett of Manor Castle (GP)
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My Lords, I rise, as I hope increasingly often to rise, to offer some kudos to the Government. We are seeing reflected in this Bill an increased ambition for offshore wind, and we are also seeing ambition for other renewables. That has to be applauded. Renewables are our energy future, together with energy conservation, on which I am afraid we have as yet seen sadly little ambition from the new Ministers. That does not mean that the Green group will not call out government actions when they need to be called out, so I have to note that while we are hearing about this admirable pursuit of renewables and the decarbonisation of our electricity supply, the Government have just given the go-ahead for the expansion of City Airport, which puts the interests of a small wealthy elite over the well-being of local people and the climate. It is a facility that operates planes flying on routes where rail is a very feasible alternative.

I also note that we are holding this debate in a setting where Ofgem has just raised the price cap for energy by 9.5%, just before the onset of winter, which is deeply worrying for people still strongly affected by the continuing cost of living crisis. The Government have said that establishing GB Energy will reduce bills in the future, but that aim will be achieved only if the Government invest in improving the energy efficiency of homes as well.

As a number of noble Lords have already said, this Bill is very closely linked to the creation of GB Energy, so it is unfortunate that we are not able to consider these two issues together. Your Lordships’ House will perhaps particularly understand the desire not to have Christmas tree Bills as we saw so often under the last Government, but we also need a joined-up legislative procedure.

As Greens, we would say that we need to see far more community-owned assets and schemes that genuinely benefit local people, rather than—often large, multinational—private companies seeking to use public funds, channelled through Great British Energy, to continue profiteering while the planet burns, and people’s bills remain too high. The very structure of the Crown Estate, which many noble Lords have already reflected on, is one of extreme centralisation and, as I will come back to later, extreme lack of transparency about its activities. It seems better aligned to work with giant multinational companies rather than a small, local community energy group, which might, want to develop run-of-stream local tidal energy schemes, for example.

I will reflect briefly on another couple of points that have also already been raised. For new offshore wind projects to be delivered, we need significant investment in grid capacity, yet that needs to be done with sensitivity to local environments and communities. Again, if that grid capacity is an issue for the Crown Estate, it seems ill-equipped to make good consultation and liaison with local communities.

I also want to raise an issue that no one has yet raised and which the Minister in his introduction did not raise either. We have seen in other references from the Government the suggestion that this Bill might allow for carbon capture and storage schemes offshore. I have to reflect, as I reflected to the previous Government, that this is an unproven, struggling technology. The claim that these will appear and work in the future must not be allowed to excuse the continued burning of fossil fuels.

I want, in particular, to bounce off the comments of the noble Baroness, Lady Hayman, who is not currently in her place—while joining in a number of declarations for my membership of Peers for the Planet—that we need to see in this Bill a much stronger focus and push towards nature recovery, alongside the ability to invest in related technology, infrastructure and research, as part of the Crown Estate’s role. It is worth noting that the Scottish Crown Estate Act 2019 led the way on this with a duty to manage its assets to improve environmental well-being.

When we think about wildlife, the parlous state of our land is often the focus, but nature in and on the seas is struggling just as badly, if not even more so. I note that the RSPB last week, for example, highlighted a major decline of herring and other gulls. As elsewhere, nature is in a terrible state. I want to focus, as I do not think anyone yet has, on the issue of sea-grass, which is a potential major carbon store as well as being hugely significant for the life cycle of many marine species. The majority of UK sea-grass beds, an estimated 92%, have been lost or damaged in the past century. Worldwide, 35% have been lost in just the last 40 years.

The noble Lord, Lord Teverson, raised a point about the seaweed farms in Cornwall. Industrial monoculture is just as bad in the seas and on our shorelines as it is on our land. The Crown Estate in Scotland, in particular, has been the site of significant fish farming. This is factory farming which has major environmental impacts. It involves taking protein to be fed to carnivores, to produce a tiny fraction of that protein. There are problems with the spread of disease and antimicrobial resistance. How are we going to ensure that the Crown Estate, under this Bill, considers all these issues?

Looking specifically at Cornwall, the noble Lord, Lord Teverson, raised the issue of bottom trawling, which is a huge environmental issue. Just in July this year, the BBC reported that large new—that is newly known to us—beds of maerl, calcified seaweed, have been discovered off the Roseland Peninsula and St Austell Bay. Natural England said these were irreplaceable habitats within sight of the shore. A spokesperson also reflected that it is incredible that we still have such “completely undiscovered” sites. We have to ask what kind of job the Crown Estate is doing to safeguard its assets if we have only just discovered that that is there. We come back to the question in this Bill of investing in research. Perhaps we need to make sure there is investment in research so that we know what is there before we wreck it. That is surely an essential point.

I would appreciate a response from the Minister on another point: how will this Bill, or how will the Government, by guidance or other action to the Crown Estate, ensure that these new activities happening offshore are part of a just transition, assisting offshore workers in particular to move from high-emission sectors to those that contribute to tackling the climate emergency?

The next issue I want to raise has been extensively canvassed, so I will be very brief. I have noted that the loudest “Hear, hears” around your Lordships’ House have been on the issue of the devolution of the Crown Estate for Wales, so that Welsh people are given control over their own resources to be used for local benefit. Those arguments were powerfully made by the noble Lord, Lord Wigley, and the noble Baroness, Lady Smith of Llanfaes, among others. This issue featured in the Green Party of Wales manifesto in the recent election and is an issue that I am pleased to say we will be supporting as strongly as possible. However, I note that, if that were to happen, as would appear to be the view of your Lordships’ House, it would only highlight the lack of democratic oversight that would remain in England.

As the noble Baroness, Lady Young of Old Scone, said, the Crown Estate is a big thing, with enormous amounts of resources under the control of a sort of public, but mostly private, corporation—the control of a handful of individuals appointed by the Crown. Like many others, I can applaud the small steps towards modernisation of an institution that dates back most immediately to the 1961 Act but originally to 1760. Like so many of our constitutional and legal arrangements, this would appear to be the result of historical accidents over centuries—except that, of course, one has to ask: are these accidents? I pick up here the points made by the noble Lord, Lord Berkeley. Somehow, these “accidents” often seem to put in the hands of the few the power to control what should be public resources, while the profits from public resources go to the few rather than to the many.

I finish, and round up those points about democracy and lack thereof, by raising, as did the noble Baroness, Lady Young of Old Scone, and the noble Lord, Lord Young of Cookham, issues—we are on land now—for tenants and leaseholders of the Crown Estate. A report in openDemocracy in July notes that the Crown Estate has earned more than £344,000 in housing benefit since the pandemic. It seems circular, given that the Crown Estate is, as some have said, an arm of the Treasury; it is paying housing benefit essentially to itself.

Over the same period, the Crown Estate delivered eviction notices and warnings to at least 31 tenants. I note that among the properties of the Crown Estate is a three-bedroom flat near Buckingham Palace, which was recently advertised for rent for £19,067 per month. I am not quite sure where the public benefit is here, but we are where we are. Reports in 2019 said that the Crown Estate had received more than 100 complaints about its residential properties in just two years, including grievances about rent hikes, leaks and faulty electrical goods. Here I come to one of my main points. When approached by openDemocracy, a spokesperson for the Crown Estate declined to comment. How much is this a public asset and working for public good?

We need the Crown Estate to be sensitive to the concerns and interests of local communities, across England as well as in Wales. What plans do the Government have, through this Bill or otherwise, to ensure that the Crown Estate—with this lack of accountability, and environmental and social responsibility, and with structures from the 18th century or, as the noble Lord, Lord Berkeley, said, sometimes going back further into the medieval period—can be made fit for the 21st century?