Planning and Infrastructure Bill

Baroness Grender Excerpts

2nd reading
Wednesday 25th June 2025 Lords Chamber

[Baroness Grender (LD)]

My Lords, the Government’s ambition to build more homes and infrastructure for our country is welcome. It is indeed time to get Britain building again. However, there is a danger in this Bill of council blaming and nature blaming, which ignores recent history.

According to the CPRE, a staggering 1.2 million homes given planning permission since 2015 have not been built. This highlights that the problem is not always the blockers in communities but is often the developers, who are banking land and failing to build. Although we strongly support the aspiration of 1.5 million new homes in this Bill, regrettably, it does not include any explicit target for the building of 150,000 social homes per year—a vital commitment in our own manifesto. How can we truly tackle the housing emergency and get families out of the insecurity of temporary accommodation without addressing the dire lack of genuinely affordable homes that are tied to local incomes?

We are deeply concerned that this Bill continues with the overcentralised, developer-led approach that has demonstrably failed to deliver. It undermines the independence of local government and deprives communities of their stake in development. Local councils, as the backbone of our planning system, are not the blockers: they approve the vast majority—86%—of applications that come their way. Sweeping powers for the Secretary of State, such as on determining which planning functions are delegated and on reducing the objection period for transport projects, will shut communities out of decisions that have a profound impact on their lives. We must ensure that local councils, not Whitehall, decide which applications go to committee, maintaining the democratic right for communities to be heard and represented.

On Part 3 of the Bill, although the concepts of environmental development plans and a nature restoration levy are noted, their success is highly dependent on substantial up-front funding. We have very serious concerns, for Committee stage, about Natural England’s capacity and resources to monitor and enforce this fund effectively.

This is a missed opportunity for mandating nature-friendly development in all new housing, including minimum biodiversity measures such as swift boxes, bat boxes and green roofs, including solar. It also fails to adequately strengthen protection for irreplaceable habitats such as our precious chalk streams. We will seek to amend to improve farming business viability through better use of environmental land management. We owe it to future generations to ensure that our planning system is sustainable, genuinely affordable and democratically accountable, enabling our communities to thrive and to enjoy nature, not diminish it.

Planning and Infrastructure Bill

Baroness Grender Excerpts

Committee stage
Thursday 24th July 2025 Lords Chamber

[Baroness Bennett of Manor Castle (GP)]

My Lords, there are 100 million animals killed for meat in the UK every month, which is quite a statistic. There are 75,000 people who work in abattoirs and associated institutions. The amendment from the noble Lord, Lord, Lucas, raises an important issue. Whether this is the right way to address it I am not quite sure because, as other speakers have said, we are talking about a systemic issue here. I often speak about our broken food system. At the heart of that broken food system is factory farming and the giant chicken and pig institutions which are associated with giant abattoirs, logically enough. We are approaching a land use framework, to be coming from the Government. Many noble Lords think that this does not get mentioned enough. If we think about land use and abattoirs, this all needs to fit together in a systemic way, whatever model you think should apply. Obviously, I have views on that.

I want to cross-reference what I was doing in your Lordships’ House about 12 hours ago. I was talking about the climate emergency and the impact of rising temperatures. I note that in 2022, the Government produced guidance that animals should not be transported except in temperature-controlled environments when the temperature—or the perceived temperature, taking account of humidity—is higher than 30 degrees Celsius. That might not historically have been much of an issue in the UK, but it is only going to continue and become a larger issue if you are moving animals. The longer the distance, the more you are unable to do it in the cool hours of the day.

We need a much more localised food system, which means small independent farmers and small independent abattoirs. Five small abattoirs closed in 2024 alone, and the figure is down to 49 from 64 in 2019. There is a real issue here, but it must be looked at systemically in the round, not just as abattoirs on their own. We have a huge animal welfare issue here. We also need to think about workforce. I found some statistics suggesting that the average age of a slaughterer is 63.

[Baroness Grender (LD)]

My Lords, these Benches support the amendment moved by the noble Lord, Lord Lucas, and thank him for raising this. We also thank him for tabling this amendment in good time so that this Committee could consider it.

This amendment seeks to designate livestock markets and abattoirs as critical national infrastructure. This is not merely a technical adjustment but a vital step towards securing the future of our rural communities, ensuring robust food security and upholding the highest standards of animal welfare across our nation. The Liberal Democrats have been consistent about the critical importance of maintaining and investing in small abattoirs and local livestock markets. We see them not just as commercial facilities but as essential pillars for rural economies, fundamental to animal welfare and crucial for food traceability. They are the very backbone of our local food systems and they in turn enable ethical meat production, allowing for shorter supply chains and reduced food miles, about which we have heard something already.

We have heard from the noble Baroness, Lady Bennett, about the closure of small abattoirs: operations in England fell from 64 in 2019 to 49 in 2023. This has exacerbated pressures on our rural communities, leading to significant challenges—including thousands of farm animals being culled, with the meat unable to be sold due to a lack of workforce. I will not get into the Brexit legacy, but this is clearly part of that too. According to a 2022 Food Standards Agency report, small abattoirs are closing at the alarming rate of 10% per year and within a decade may disappear altogether. This is not just an economic loss but a profound waste and a blow to animal welfare, as animals often face longer and more stressful journeys to distant facilities.

In the House of Commons during the passage of this Bill, my honourable friend Sarah Dyke MP, whose family are sixth-generation farmers in Somerset, highlighted the impact of regulatory and cost pressures, such as the 20% rise in meat inspection fees, which disproportionately affect these vital facilities. We have consistently called for the replacement of the small abattoir fund, which was removed in November 2024, and have proposed a £1 billion addition to the farming budget to sustain and enhance these networks. Yes, it was all fully costed when we made this proposal, with revenue-raising measures. We even advocate for innovative solutions, such as authorising mobile slaughter units to improve access in remote areas.

The inclusion of abattoirs and livestock markets as critical infrastructure would provide them with the protection and longevity that they desperately need within future planning and development strategies. Our 2024 manifesto explicitly committed to:

“Investing in rural and coastal infrastructure and services, including local abattoirs”


and livestock markets, to bolster community resilience and food security and to support younger workers in rural areas. This underpins our commitment to a comprehensive new animal welfare Bill, which we would love to see, ensuring high animal welfare standards throughout the food supply chain.

This is about providing the stability and recognition that these essential facilities deserve. It is about more than just buildings. It is about safeguarding the livelihoods of our farmers, ensuring humane treatment for animals, and building a more resilient, transparent food system for all. Think of it as a circulatory system of our rural economy. The abattoirs and livestock markets are the vital arteries and veins. Without protecting this core infrastructure, the entire body of our farming sector, and local food supply, will struggle to thrive—or worse, begin to fail. By acting now, we can revitalise and safeguard our rural heartlands for the generations to come. I look forward to hearing the Minister’s response.

[Lord Roborough (Con)]

My Lords, I also support Amendment 50 in the name of my noble friend Lord Lucas, which would recognise livestock markets and abattoirs as critical national infrastructure. I draw the Committee’s attention to my register of interests, in particular as a dairy and livestock farmer. This amendment, if passed, would lay the foundation for a new, modernised network of these vital rural services—positions with proper transport links, outside of town centres, and designed to ensure that animals are dealt with humanely, locally and profitably.

As others have pointed out, the abattoir sector is in crisis. In 2023, just 60 small abattoirs remained operational in the UK. That number is falling at 10% per annum, as the noble Baroness, Lady Grender, mentions. At that rate, these essential businesses could vanish entirely. This would be disastrous for rural communities, food security and animal welfare.

Over 90% of abattoirs have closed in the past 50 years. Family farms face round trips of over 100 miles to slaughter just a handful of animals. It is inefficient and undermines the very animal welfare standards that we seek to uphold. However, it is more than just a logistical problem; it is a threat to the viability of local farming and the vitality of our regional food systems. A resilient, shorter and more farmer-focused supply chain demands a well-distributed network of small abattoirs, local butchers and livestock markets. These businesses form the bedrock of local food infrastructure. They offer private kill services for farmers who wish to add value, by marketing directly to consumers, and they provide an essential lifeline to farmers breeding rare or native breeds that larger processors often cannot or will not accommodate.

Two-thirds of livestock farmers report difficulty accessing appropriate abattoir services and one-third say that their nearest abattoir has already closed. Small abattoirs in particular are struggling to survive: they face rising energy costs, increased national insurance contributions and a regulatory system that is disproportionately burdensome. The rules are designed with large-scale processors in mind, not the nuance of a local operation handling a few thousand livestock units a year.

Our previous Conservative Government introduced the small abattoir fund to help these small businesses modernise and alleviate costs. Disappointingly, the current Labour Government chose to cancel it, sending entirely the wrong message to the rural economy after the family farms death tax and the abrupt cancellation of sustainable farming incentive applications.

Livestock markets are also disappearing from market towns. These are an essential part of rural life, where farmers and other rural inhabitants can come together, generating real social cohesion and a shared sense of community. If this Government are serious about rural resilience, food security and animal welfare, they should look to support the amendment in the name of my noble friend Lord Lucas. It would provide abattoirs with the planning status that they need to invest, modernise and survive. It would allow new facilities to be built with appropriate infrastructure and make it clear that local food systems matter just as much as energy or transport. Livestock markets will ensure that communities can continue to bond on market days.

This amendment speaks to a wider issue in our national life, where traditional social infrastructure is made uneconomic through burdensome regulation. Large, impersonal businesses are able to cope with this far better than small ones. I urge the Government to consider, in all legislation and regulation, how they can encourage and empower these community businesses to thrive.

--- Later in debate ---

[Lord Lucas (Con)]

My Lords, I have Amendment 61 in this group. Its purpose follows on from what my noble friend Lord Gascoigne said: namely, that we have not built a new reservoir for a long time. The intention of the amendment is to give the Government the power to change that—to make things happen.

I would hope that the existence of such a power would mean that things happen anyway, but we need the ability to shift things onwards and to get out of the situation we are building ourselves into. We want to put in another 1.5 million houses but have no way of supplying them with water, particularly in some bits of the country that would actually welcome additional houses. It is important to get over whatever the blockage is and it would be a good idea to give the Government a bit of dynamite to do this.

I am delighted that Tideway has come in on budget. Perhaps the noble Lord could introduce whoever is responsible for that to whoever is responsible for the doors here.

[Baroness Grender (LD)]

My Lords, as we consider the challenge of water security, we all feel the urgency. Demand is rising, our climate is changing and not a single new major reservoir has been completed in over three decades, as we have already heard. Yet pursuing a one-size-fits-all solution rarely serves us well, especially regarding water storage and distribution. I particularly thank the noble Lords, Lord Gascoigne and Lord Lucas, for inspiring this discussion and debate.

There is consensus on building new reservoirs, but this cannot be done in isolation. Proper investment from water companies is essential, particularly in tackling leaks and improving demand management so that we use water more wisely, even as we boost supply. This is not either/or; it must be both. Yesterday, in the Statement regarding the Independent Water Commission, the full implication of the broken infrastructure that has led to so much water going to waste was laid down very clearly.

It is tempting to focus on grand, large-scale projects, but we should make space for smaller, locally led interventions that reflect the needs and fabric of our communities. Alongside ambitious infrastructure, a programme of carefully sited small and medium reservoirs, delivered in partnership with farmers, landowners and councils, can speed up progress, reduce environmental barriers and, most importantly, engage local people. We have heard not just from experts but from communities themselves that local schemes such as Slow the Flow projects, natural dams and catchment-based storage bring added benefit for flood mitigation and biodiversity, not just water supply. These nature-friendly solutions must be championed alongside larger reservoirs.

However local schemes alone are not enough. We must pair them with strategic national thinking. Regions with water surpluses should be able to support those facing deficit—a modern, integrated network for water transfer. I ask noble Lords to bear with me, because this is a little complicated. The National Infrastructure Commission, which was replaced by the National Infrastructure and Service Transformation Authority in April 2025, was praised by the National Audit Office for its proposals, which constituted a positive cost-benefit case for establishing a network of strategic transfers of water—a transfer system that enables us to balance supply across the country, smoothing out regional disparities and providing resilience against drought and flooding. The recent Commons Library briefing, Future Water Resources, highlights several proposed intercompany transfers, such as Thames Water to Southern Water—120 megalitres a day—demonstrating that active steps can be and are already being undertaken. Alongside large and small reservoirs, these transfer schemes are truly integral to future-proofing our water supply and reducing the risk of shortages.

Turning to the amendments before us, Amendment 59, in the name of the noble Baroness, Lady Coffey, proposes removing the size and complexity test for new water infrastructure to focus solely on the value for money test. But, as Ofwat’s current regulations set out, that test ensures that projects do not threaten a water company’s fundamental service to customers. Given the sector’s current state, we should tread carefully before removing this safeguard. A more prudent path may be to consider government co-funding models, such as that now being used for nuclear, if projects exceed what companies can realistically deliver and are in jeopardy of providing a poor or totally broken service—or further broken, should I say—to consumers.

Amendment 61, in the name of the noble Lord, Lord Lucas, would hand powers to the Secretary of State to dictate timelines and, crucially, permit bypassing planning controls. While there is much in the amendment that we read with interest, I worry in particular about proposed new subsection (3)(b), which is a significant centralisation of power. Yes, there has been an unacceptable delay in reservoir construction, but concentrating such powers is unlikely to foster better outcomes. Proper local engagement, as we all made very clear in our Second Reading speeches, and scrutiny need to be balanced and are vital partners to each other.

Amendment 62, tabled by the noble Baroness, Lady McIntosh of Pickering, aligns more closely with the objectives on these Benches. I look forward to hearing the Minister’s response to the compelling arguments that were made on the noble Baroness’s behalf.

Above all, we must ensure that interventions, whether mighty reservoirs or smaller, community-scale schemes, work for people and for nature, and are delivered with transparency, accountability and genuine urgency. I hope the Minister will clarify the Government’s support for small reservoirs and for a robust water transfer network, so that every region and every customer in every region can feel protected, valued and heard.

[Lord Lansley (Con)]

My Lords, I intervene in this group to flag up a couple of points. I thank my noble friend Lord Gascoigne for introducing Amendment 59, which makes an interesting point.

In response to the noble Baroness, Lady Grender, the size and complexity threshold test is about assessing whether an infrastructure project is of such size or complexity that the water undertaking cannot manage it or, if it attempts to manage it, it might prejudice its financial ability to meet its obligations to customers. Actually, under current circumstances, we have reached the point where many water undertakers may not have the capacity to undertake infrastructure projects in the way we expected in the past. We know that there was a substantial period when they did manage investment and they increased investment in the water industry, but in more recent years they have not done so and there is considerable risk to their ability to undertake the infrastructure projects we are looking for.

We should not be surprised that that is the case. Take Anglian Water, which is not among the most prejudiced of the water companies at the moment. I was very interested to attend a presentation about Anglian Water’s proposals for the Fens reservoir. It was fascinating, positive and optimistic. Then, in response to a question, Anglian Water mentioned that it is not going to own it. Somebody else will own it, and we do not know who.

So we have to be aware that there is substantial uncertainty about how we will fund much of this infrastructure, but the most important thing was mentioned by my noble friend Lord Gascoigne in moving Amendment 59. The amendment is about which projects should go out to competitive tender. That is all it really tells us. The answer ought to be: if it will secure value for money—indeed, if there is potential for independent financing which, as he said, can be more cost-effectively delivered, and we know that the risk premium on the water undertakings themselves is making their borrowing more expensive than what may well be available through other sources of financing —then we should go down that path. The size and complexity threshold test is unhelpful, gets in the way and creates serious impediments to getting on with infrastructure projects.

Of course, the amendment is not deliverable. It does not deliver the objective in its own right. One would have to substantially change Section 36 and other sections of the Water Act 1991 to achieve the objective, because the regulation derives its power from the primary legislation. We need to look at the Water Act 1991 in substance to achieve that on Report.

What my noble friend Lord Lucas’s amendment says is helpful. When one looks at what it is that governs the delivery of reservoirs, as far as I can tell the Reservoirs Act 1975 basically says that it ought to be done by an appropriately approved construction engineer. That is pretty much it. There is a great deal that should be added to what is required in order to secure reservoir development.

I have two other points to make. The first is that Amendment 62 from the noble Baroness, Lady McIntosh, raises a more significant point than the amendment itself says. We are aiming to secure what we need in terms of water supply. I remind noble Lords of my interests in the Cambridgeshire Development Forum and the Oxfordshire Development Forum, which of course means that two reservoirs—the Fens reservoir and the Lincolnshire reservoir—are relevant, as well as the Grand Union Canal project and related activity to try to supply the east of England. We are in a position at the moment where, by 2050, we will have a deficit in water supply equivalent to a third of our present use. That is the degree of stress that we are looking at and therefore need demand management to be substantially improved and the supply to be improved.