Localism Act 2011 (Consequential Amendments) Order 2012

Baroness Hanham Excerpts

Wednesday 21st March 2012 Grand Committee

Moved by

[Baroness Hanham]

That the Grand Committee do report to the House that it has considered the Localism Act 2011 (Consequential Amendments) Order 2012.

Relevant document: 41st Report from the Joint Committee on Statutory Instruments

[The Parliamentary Under-Secretary of State, Department for Communities and Local Government (Baroness Hanham)]

My Lords, the consequential provisions order makes amendments to existing legislation in relation to policies implemented through the Localism Act relating to the general power of competence, compulsory acquisition of land and neighbourhood planning.

The parish councils order, which I will also speak to, sets out the conditions that parish councils will need to fulfil in order to be eligible to use the general power of competence.

The Localism Act (Consequential Provisions) Order 2012, as implied by the title, will make consequential amendments to particular provisions in existing primary and secondary legislation following the enactment of the Localism Act 2011.

The order provides for amendments in three specific policy areas, each of which has its own schedule. These are: the general power of competence; compensation for compulsory acquisition of land; and neighbourhood planning. I will consider each of these schedules in turn. The amendments in Schedule 1, Article 2, deal with the insertion of text referring to the general power of competence into various pieces of legislation, such as the Industrial and Provident Societies Act 1965. References to the well-being power are, however, being retained in two particular circumstances. First, the well-being power is being retained in Wales because Welsh Ministers were offered the opportunity to have the general power of competence but they decided against it. Secondly, it is retained to deal with the historical exercise of the well-being power by English councils—for example, where bodies such as ALMOs were established using those powers.

Schedule 2, Article 3, covers the compensation arrangements for compulsory acquisitions of land. The amendments in Schedule 2 are necessary to fully implement changes brought about through Section 232 of the Localism Act. This section of the 2011 Act reformed the planning assumptions for compulsory purchase compensation and, in doing so, replaced Sections 14 to 16 of the Land Compensation Act 1961 with new Sections 14 and 15 only.

As a consequence, this means that references to Section 16 elsewhere in statute must be removed. This is achieved by paragraphs 1(2) and 3(2) of the schedule. The remainder of paragraphs 1 and 3 are transitional provisions to align with those in the commencement order and interpretation provisions. Section 232 also replaced Sections 17 and 18 of the 1961 Act with new Sections 17 and 18. These make provision for the issuing of certificates of appropriate alternative development.

Paragraph 2 of Schedule 2 amends paragraph 55 of Schedule 2 to the Local Government Act 1972 to reflect these changes. Paragraph 55 deals with any necessary consultation arrangements between county and district planning authorities. The amendments set out in Schedule 3, Article 4, of the order cover neighbourhood planning. Part 2 of Schedule 9 to the Localism Act amends the Planning and Compulsory Purchase Act 2004 to provide for a new category of development plan—a neighbourhood development plan. These plans will be made by local planning authorities on the initiative of parish councils or neighbourhood forums.

The amendments in paragraph 1 of Schedule 3 to the order amend Schedule 8 to the Planning and Compulsory Purchase Act 2004, which makes transitional provision in relation to old plans and policies. To ensure continuity of a plan-led system, the transitional provisions allow for the life of local plan policies to be extended and saved until replaced. Local planning authorities replace the saved polices with new policies in stages as new development plan documents are adopted.

Paragraph 5 of Schedule 8 to the Planning and Compulsory Purchase Act 2004 defines a new policy as one contained in certain planning documents. The amendments to Schedule 8 to the 2004 Act will both extend the types of planning documents that new policies are contained in to include a neighbourhood development plan, and also set out when a new neighbourhood planning policy is published for the purposes of transitional arrangements.

While the amendments contained in this order are in the main technical and, in some cases, quite hard to follow, they are vital to ensuring that the provisions contained in the Localism Act 2011 work as intended. I commend this order to the Committee.

--- Later in debate ---

I seek an assurance from the Minister that those restrictions will also apply to parish councils, without which I really fear for the safety of the world.

[Baroness Hanham]

My Lords, I thank both noble Lords for their comments and their questions. With regard to the last point raised by the noble Lord, Lord Beecham, it would probably be proper that parish councils should be associated with those regulations as well. It conjures up all sorts of possible things that might happen, but it would be appropriate that they were covered.

First, on the point raised by the noble Lord, Lord Shipley, regarding parish councils and their neighbouring area, the power would work only provided that they both had powers to do so. So in perhaps part of a parish, if the neighbourhood did not have that power because it either was not a parish council or it was not a neighbourhood forum, that would not work; but as long as it does have that power, they are able to and, indeed, ought to co-operate, because it seems very clear to me that that should be what is required. I thank the noble Lord, Lord Shipley, for his support on that point.

With regard to what happens when the department of a clerk or one of the councillors gives up, it is correct that they would be eligible and able to carry on using their power until the next election. That was the case also with the well-being power; there was always an assumption that they could continue. However, they will have to continue doing it under their own mandate to ensure that they do not breach any of the other laws. The order recognises that, if there are longer-term projects in train, they can carry on. The noble Lord asked, “How long is a piece of string?”, and I take his point, but the string is as long as making sure that the project comes to a conclusion. It might be a contract; it might be that a council is deciding whether to make a playground or to ask for the listing of a piece of land; but they can properly do that and cannot be challenged for it. A council is eligible to complete a project for up to four years if that is the time between elections.

I was asked about peer review. Peer review at the moment is voluntary, being carried out by the Local Government Association. With parish councils, I suspect that it would have to be with the co-operation of the National Association of Local Councils—I cannot see anything to stop that happening. As with other local authorities, peer review is often helpful and often produces some very useful results. However, there is no legislation to say that it should happen. If a council wishes to do it, and someone in the local associations feels that it is appropriate, it can happen.

[Lord Beecham]

Would the Minister feel able, in the language that government use these days, perhaps to nudge the association into suggesting such an idea to its members?

[Baroness Hanham]

The most that I can do is to record the fact that we see the value of it at the moment and it would seem appropriate, therefore, for people to consider doing it subsequently. I think that I have covered most of the points raised.

[Lord Beecham]

Could you comment on the scope for authorities to act jointly?

[Baroness Hanham]

Under the general well-being power, they would be able to act together, but, as I said to the noble Lord, Lord Shipley, that would be as long as they both had the power to co-operate.

I hope that I have covered the points made. That concludes our work on the order.

Motion agreed.