Local Government Bill [HL]

Baroness Hollis of Heigham Excerpts

Tuesday 5th October 2010 Lords Chamber

[Baroness Hanham]

That the Bill do now pass.

[Baroness Hollis of Heigham]

My Lords, because no amendments have been tabled at Third Reading, I hope that the House will allow one or two of us to say a few words on Bill do now pass.

For those not familiar with the Bill, John Denham, the former Secretary of State, legislated for unitary status for Norwich and Exeter in spring 2009. The Liberal Democrat party, which ran Norwich from 2002 to 2006, started our move towards unitary status with full Labour support. In Exeter, I believe that all three city parties warmly supported it. However, because the Boundary Committee, incompetently throughout its time, produced its final report six months late—in December 2009 instead of July 2009—the Secretary of State regrettably and inevitably ran out of time for further consultation.

That Bill passed and a transitional authority was put in place for both cities, which I emphasise abided by the law at every step of the way. Last May’s elections were therefore suspended. Norwich and Exeter have behaved impeccably throughout. In the general election, Mr Pickles made it clear that he would overturn the Bill immediately because Norwich belonged to Norfolk and Exeter belonged to Devon even though they were self-contained, chartered, self-governing boroughs 600 years before there was even a concept of a county council. The Bill was truncated because the courts also ruled that there was incomplete consultation because the Boundary Committee’s report came in six months late and that the city council seats left open should be filled by by-elections—these occurred this summer on 9 September—since this matter was last before your Lordships’ House on Report. I know that those noble Lords who are still here will be anxious to know the results of those by-elections and what they say about this whole story.

In Exeter the Labour Party won three seats and is now in control. Thank you, Mr Pickles. In Norwich the Labour Party increased its majority; the Liberal Democrats lost a seat, as did the leader of the Tory city group, Mr Noble, who had been the parliamentary candidate just four months before—so much for all those remarks from the opposition Benches that the proposals did not have community support. In at least three wards in Norwich the Lib Dem candidate struggled to beat the UKIP candidate for fourth and fifth places respectively. Not pretty. The party that ran Norwich from 2002 to 2006 can now meet in a phone box and may be wiped off the map in the next couple of rounds of local elections.

On those poll results, if projected, the Lib Dem local MP for Norwich South and the Tory MP for Norwich North would lose their seats. From a joint population of around 270,000, some 25 to 30 per cent of the electorate voted on a single issue—unitary status. They knew what they were voting for and made their views clear. I take no issue with the noble Baroness, Lady Hanham. I think that it is a bad Bill. She may have different views from mine on it, but she has responsibility for her department to carry it through and I well understand its obligations. But no such obligations fall on the Lib Dems. The Lib Dem council started the process towards unitary status and Lib Dem councillors have remained stalwart behind it throughout. They are decent, honourable people.

The Lib Dem MP, Simon Wright, supported it and his wife was a Liberal Democrat councillor who was very much in favour of it. Delegations to the Lib Dem leadership in London were led to believe that, given Lib Dem commitment to localism, they would have full support for becoming unitary. What was said to them in private was shamefully reversed in public. I refer to the noble Lords, Lord Tope and Lord Rennard, pressed I do not doubt by Norman Lamb in the other place, who incidentally said in Parliament that he wants to keep Norwich in the county, so that Liberal and Labour Norwich city councillors can fight the Tory county councillors locally more effectively—the very same Tories with whom he is in coalition nationally, if we can imagine such a twisted position.

Those three senior Lib Dems denied their local Lib Dem colleagues and their Norwich Lib Dem MP their support. Not only that, they ensured defeat. Local Lib Dems are appalled; they used words such as “treachery” in the press; they have made savage denouncements; and the electorate are well aware that the London Liberal Democrats have effectively destroyed the local Lib Dem party as well as, more importantly, the ability of Norwich and Exeter to generate the economic growth and jobs that this recession badly needs. Any trust that Lib Dems had in Norwich and that local Lib Dems had built up has been wiped away. The Lib Dem party has always been a party built up from local government. When the coalition segments, you may find that you have nothing left on which to rebuild your party, because this episode will not be forgiven.

This Bill is shameful. It is a delay, not a defeat, because it will come back. It is not a defeat except for the standing—and, frankly, if I may say so, the honour—of the Lib Dem party in local government.

--- Later in debate ---

[Lord Rennard]

My Lords, I shall be brief on this occasion, because it seems to me and to many of us who have witnessed these debates that just about everything that could be said on the issues has been said in earlier debates—if not repeated by everybody on each particular point. The positions of the parties and participants were clear when the orders were first debated in this House on 22 March, and I stand by the view of my party that it would have been far better for all concerned if the amendment moved by my noble friend Lord Tope had been carried then. Much unnecessary debate and great uncertainty for people in Exeter, Norwich and Norfolk could have been avoided.

The noble Baroness, Lady Hollis, referred to the recent local elections in Norwich and Exeter, but she chose not to refer at all to the general election outcome in May this year. It was very clear before the general election what was the position adopted by the Liberal Democrats and by the Conservatives, and the outcome of the general election was very clear in terms of both votes and seats in support of parties—

[Baroness Hollis of Heigham]

I thank the noble Lord for giving way. I am sure that he would not wish to mislead the House, but his candidate, Simon Wright, made it clear throughout the campaign that he supported unitary status for Norwich.

[Lord Rennard]

Indeed, but the Liberal Democrats and the Conservatives stated categorically just before the general election that both parties were committed to not proceeding with those structural changes in the way, in the timescale and on the basis in which the Labour Government tried to introduce them in their dying days in what was a quite improper way—a way which the judges decided was illegal and improper. Other parties won those elections, and therefore decided that they would proceed in this way. We believe that it is not the right scheme and not the right time, and that this debate should be brought to a close and the Bill be allowed to pass.