Deregulation Bill

Baroness Janke Excerpts

Thursday 5th February 2015 Lords Chamber

Moved by

[Baroness Janke]

30: Before Clause 72, insert the following new Clause—
“Referendums on changing local authority governance system
In the Local Government Act 2000, omit section 9NA (effect of section 9N order).”

[Baroness Janke (LD)]

My Lords, in speaking to Amendment 30, I declare my interest as a member of Bristol City Council. This amendment seeks to restore to Bristol people the same right that people of other cities have to change their system of government, subject to conditions required by the Local Government Act. A section added in 2011 relates to local authority referendums for elected mayors ordered by the Secretary of State. Noble Lords may recall that in 2012, the Government required that the 12 largest cities in England call referendums on whether their residents wished them to introduce a system of directly elected mayors. Bristol was the only city to vote narrowly in favour of such a system.

The section removes the right of Bristol citizens to change their system of government in perpetuity. This fact was not made at all clear when they voted in the referendum. As more and more people have found out that that is the case, they are quite outraged and feel that they are being discriminated against by virtue of having supported the Government’s arguments for a mayoral system. Whatever the view is about elected mayors—and there are many—many Bristol people are astounded that they have been denied the democratic rights that other cities enjoy as to whether or not they have a mayoral system. I can believe that this was not an intended consequence of the legislation. Nevertheless, it clearly is unjust and needs to be changed.

I say, “in my view”, but this view is also supported across the political parties in Bristol and by the mayor, as he said at a recent council meeting when a motion was unanimously passed supporting change—change not necessarily from a mayoral system but change to enable the citizens of Bristol to decide themselves what system of government they wish to have.

The Local Government Act lays down clear conditions as to how a local authority may change its governance arrangements, including the need for a referendum as fully described in Section 9N. The current situation is unnecessary, unjust and discriminatory in that Bristol people should be deprived of their democratic rights to determine their own system of governance, which is the case in every other English city.

I hope the amendment will receive support and that the Minister will consider how the current situation could be redressed and restore democratic rights to the people of Bristol. I hope the House will give its support in taking this matter forward. I beg to move.

[Lord McKenzie of Luton (Lab)]

My Lords, we have a good deal of sympathy with the amendment, which, as the noble Baroness said, has cross-party support in Bristol. I have been in touch with the leader of the Labour group there, who confirms her support for it.

As we have heard, Bristol was one of 12 cities that had a referendum foisted on it by this coalition Government, and it is worth reflecting on the extent of that mandate. The turnout was 24%, with 41,000 voting for and 36,000 against. So 77,000 people voted and the majority was about 5,000.

We know also that central Governments have an appetite for elected mayors that is not altogether reflected at local government level. The noble Baroness was right to point out how you change your system of governance and the constraints that you have. I have a helpful briefing from the House of Commons Library, which states:

“Under the 2000 Act, any local authority wishing to establish a mayoralty required a ‘yes’ vote in a local referendum. The 2007 Act changed this, permitting local authorities to adopt a mayor by resolution. However, an authority can still choose to hold a referendum on the issue. Alternatively, authorities can be obliged to hold a mayoral referendum if 5% or more of the local electorate sign a petition demanding one … The Government may also compel an authority”—

which is what happened in this case—

“to hold a referendum. The result of a mayoral referendum is binding on a local authority.

The Localism Act 2011 permitted a referendum to be held on abolishing an elected mayor, subject to time limits; and for a referendum to be held on establishing a leader and cabinet, or on using the committee system. Four authorities have held referendums on whether to retain their mayoral system. Electors in Doncaster … and Middlesbrough … voted to retain their elected mayor, whilst those in Hartlepool … voted to replace it with the committee system, and those in Stoke-on-Trent … voted to replace it with a leader and cabinet system.

Authorities which have changed their governance arrangements as a result of a referendum can only make a further change following a further referendum”.

That is not unreasonable. It goes on:

“Where a local authority has held a referendum on its governance arrangements, a further referendum may not be held for ten years (five years in Wales). Conversely, where a mayor has been created by resolution of the council, five years must elapse before the council may resolve to abolish the mayor. However, there is no time limit on holding a referendum (whether initiated by the council or by a petition) to reverse a decision made by a resolution”.

I come to the crucial point:

“Further, where a local authority has been required by the Government to hold a referendum and voted for an elected mayor, it may not hold a further referendum at any time. Bristol City Council is the only authority affected by this: as the law stands it cannot move away from its elected mayoralty”.

As the noble Baroness has said, it is held in that position in perpetuity. That just does not seem right, and perhaps the Minister will take the opportunity to explain why the Government think it is. However, if they do see it as an anomaly and an injustice, what do they propose to do about it?

--- Later in debate ---

[Baroness Janke]

I am very grateful to the noble Lord, Lord McKenzie, for his sympathetic response but am rather disappointed that there does not appear to be a great deal of support for this amendment. Nevertheless, I do not believe that it will go away. I am sure that it will come back again and again. The explanation that the Act of Parliament relating to London is another example is not right, because in London the elected mayor has strategic powers, with 32 London boroughs and the City carrying out the functions of local government, so there is more of a subsidiarity issue than in other cities.

I would like to press the case in future. As I say, I am sure that this will not go away. I believe that Bristol people should have the same rights as the people of other cities in England and shall of course look for other ways in which I might be able to take this forward. Having said that, I beg leave to withdraw the amendment.

Amendment 30 withdrawn.

Economic Leadership for Cities

Baroness Janke Excerpts

Thursday 11th December 2014 Lords Chamber

[Baroness Janke (LD) (Maiden Speech)]

My Lords, it is a great privilege and honour to join your Lordships’ House. I stand today as a former leader of Bristol City Council, not as one who has lost her seat. I am still a councillor in Bristol and I stand here in the hope of sharing some of the ambitions and hopes for that great city with your Lordships in the debate today.

First, let me thank your Lordships for the warm welcome that I have received here. I include my supporters, the noble Baroness, Lady Maddock and the noble Lord, Lord Tope, who are not only parliamentarians but have long experience in local government. Secondly, I add my thanks for the advice, professionalism, kindness and good humour of the staff in this place. The doorkeepers have already been mentioned, but I, too, would like to add my thanks for the many times that they have rescued me from the labyrinthine corridors and staircases of this magnificent building. Who knows, I might not even be here today if it were not for their good advice on finding some of the best routes.

On my own background, I was born in Liverpool, which is a great and proud city. We have already heard in the debate about Liverpool and its achievements. I am a teacher and have taught in a variety of settings: primary, secondary and adult. I have taught modern languages, including English as a second language, and economics. I have also taught in a number of different locations, in London, Paris, the west coast of Scotland and Bristol. In addition, I have served as a councillor in the London borough of Kingston upon Thames and of course Bristol. It is a great privilege, in a debate on cities in this House, to be able to talk about Bristol in the week of the 150th anniversary of the Clifton Suspension Bridge.

Bristol is a city of innovation and technical excellence: whether we talk about the suspension bridge, Concorde, Airbus or Wallace and Gromit, it is testimony to the high concentration of technical expertise, which is underpinned by two world-class universities. Bristol is the most economically successful city in England, with the exception of London. Bristol is also the European Green Capital and a place where many of the new green industries and organisations choose to have their base and headquarters; it is a very green city.

So it is with great pride that I wish to speak in this debate. Yet, coming even from a successful city like Bristol, the question is constantly being asked: why cannot cities take their own decisions, invest in infrastructure, invest in housing, and invest in the growth that is really going to address the needs of their people? As my noble friend Lord Shipley has said, the IPPR report really outlines the case for economic improvement in performance in English cities. They have lagged behind the average GDP per capita. Only Bristol has bucked the trends. This, of course, is in stark contrast to other cities in Germany, Italy, Sweden and France, which are at the forefront of economic growth and have outperformed even capital cities.

The report of the City Growth Commission recommends a range of powers that could be devolved to what are called “metro areas”; and I agree with what has been said today: there should be no tight imposition on what those boundaries should be. However, there is a recommendation about financial flexibility and this, as other speakers have said, is the key to giving powers, whether it is to our regions, county regions, city regions or whatever configurations emerge. The London Finance Commission and the Communities and Local Government Select Committee have outlined ways in which revenue and taxes could be raised at local level and add to the rates of economic performance of our cities or city regions.

In conclusion, the many reports of such groups as Core Cities, the Centre for Cities and the City Growth Commission and others that have been mentioned provide ample evidence to support major change. As I have said already, it is important that new configurations, whether they are federations of existing local authorities, county regions or city regions, should be voluntary and locally inspired. One size will not fit all. The ambitious and visionary proposals that are coming forward from all parts of the country are a huge encouragement and are opportunities that we must seize. I hope that the constitutional debate will give us the opportunity to move forward on these major issues. I thank my noble friend Lord Shipley for raising the debate, and I thank noble Lords for their attention.