Localism Bill

Baroness Morgan of Cotes Excerpts

Monday 17th January 2011 Commons Chamber

[Caroline Flint]

I give way to the hon. Lady.

[Nicky Morgan (Loughborough) (Con)]

Following the question put by her hon. Friend the Member for Chesterfield (Toby Perkins), does the right hon. Lady get thanks from her local residents when she meets them for almost doubling most of their council taxes?

[Caroline Flint]

The record will show that for many years under the Labour Government it was Conservative councils, not Labour ones, that increased their council tax.

This Bill is meant to take power from Whitehall and devolve it to local communities, but we find on closer inspection that it provides an arsenal of more than 100 new powers for the Secretary of State. It should be retitled the “only if I say so” Bill, because if the Secretary of State does not like it, it ain’t happening.

Much has been made of the introduction of local referendums, and we support mechanisms that promote public engagement in the political process, but when the Bill gives the Secretary of State the power to decide what is or is not a local matter and on what local people can and cannot have a say, just how deep the Government’s commitment is to localism is called into question. Far from devolving power as we were promised, this Bill represents a massive accumulation of power in the hands of the Secretary of State. If nothing else, at least we now know why the Government were forced to drop the word “decentralisation” from the Bill’s title.

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[Pat Glass (North West Durham) (Lab)]

Having been a parish councillor until a few weeks ago, I welcome those parts of the Bill that seek to reduce centralisation and strengthen local democracy, but the Government appear to give with one hand and take away with the other. To give powers to local government with one hand and slash budgets, through the local government settlement, with the other is disingenuous and simply will not deliver localism in any form that I understand. I welcome the excellent sentiments expressed by the hon. Member for Penrith and The Border (Rory Stewart)—he is no longer in his place—who chairs the all-party group on town and parish councils, of which I am the vice-chair.

On the very day that the coalition announced the deepest cuts in local government history, which will result in an estimated 140,000 public sector job losses in one year alone, they also announced the Localism Bill. Forgive me, but the cynic in me finds a sad but strong link between the two. My concern is that the big society Localism Bill is simply a cover for thousands of job losses. My local authority, Durham county council, is being forced to axe 1,600 jobs and make £100 million of savings over the next four years, and my local police authority is having to cut 80 jobs this year.

The Secretary of State rather smugly told us earlier today that Durham county council has £80 million in reserves. He knows well that for a county the size of Durham, that is not an unreasonably sized reserve. He knows that local authorities are under a legal duty to hold back a percentage of reserves for emergencies and, therefore, are not free to spend that money on front-line jobs. He is also aware that, if Durham county council spent that element of its reserves which it can spend, it can spend it only once, yet it has cuts to make next year, the year after and the year after that. He should also be aware that that element of the £80 million reserve that it can spend will largely fund redundancies this year.

[Nicky Morgan]

Perhaps the hon. Lady can help me with a little point I am confused about. The leader of her party said over the weekend that had Labour won the election there would have been cuts to local government finance, and in the amendment to the motion her party confirms its commitment to localism and devolution. Are we not just arguing about semantics, because hon. Members on both sides of the House appear to agree on localism, devolution and cuts to local government finance? Where does she think the cuts would have fallen had there been a Labour Government?

[Pat Glass]

The hon. Lady has obviously read my mind. The leader of Durham county council has told me that, had the reductions in grant funding been limited to the level that Labour would have made, all the cuts to the council could have come from existing back-office services without hitting front-line services. However, cuts of the magnitude and scale of those proposed by the Government simply cannot come from anything other than front-line services. Front-line services will be hit, and hit hard.

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[Alok Sharma]

Indeed he did.

Labour’s clear message appeared to be that we cannot possibly trust local people to make decisions on planning at a local level.

[Nicky Morgan]

Does my hon. Friend agree that that top-down approach has not worked? There are fewer houses being built now than in 1997.

[Alok Sharma]

My hon. Friend is absolutely right. Under the previous Conservative Government between 1979 and 1996, an average of 171,000 homes were built every year across England. By contrast, under Labour, with its top-down approach and targets, an average of only 145,000 homes were built each year between 1997 and 2009.

The problem with the current planning system is that it is not seen to be fair to local communities. It seeks to drown out their voices rather than to amplify them. Despite the clear wishes of local communities and local councils, the local view is that developers eventually ram through inappropriate developments on appeal.

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[Nicky Morgan (Loughborough) (Con)]

This is an important debate on an important Bill, which will change the relationship between central Government, local government and residents.

In the short time available, I want to concentrate on part 5 of the Bill, which deals with planning. I welcome the proposals that will enable communities to put together neighbourhood development plans and orders. Since the debate started, I have received an e-mail from a resident of the village of Quorn in my constituency who says that an application has recently been made to redesignate land in the village to greenfield. That will mean that it cannot be used for allotments, which are desperately needed in the village. If neighbourhoods had the ability to put together a plan to designate how they would like local land to be used, that application could not have been made. I entirely agree with the comments that have just been made by my hon. Friend the Member for Lancaster and Fleetwood (Eric Ollerenshaw) —the Bill is needed and it is needed now.

We cannot possibly say that the current system is working in favour of residents and communities. Local councillors feel extremely frustrated. Too often, the only power that local communities have is to mount a vociferous no campaign. In his opening remarks, the Secretary of State talked about a confrontational and adversarial system and I am sure that we are all aware of that from our postbags and inboxes. I am sure that all hon. Members are aware of groups that have campaigned in their constituencies against proposed developments. In my constituency, I want to pay tribute to the Garendon Park countryside protection group, the Loughborough south-west action group and residents in Barrow, Hathern and Sileby.

If the planning system is not working, we must believe that there is an alternative. I agree with the comments made earlier—the difference between the Government and the Opposition is that we believe in the power of residents and communities to show common sense and to trust their judgment about what is best for their local areas. One example would be the Loughborough in bloom competition, which was led by the Loughborough Echo and supported by Charnwood council. It has transformed the way that Loughborough town centre looks and was entirely down to local groups and communities that joined the scheme year on year.

I can also cite the many neighbourhood plans and village design statements drafted by local residents. I firmly believe that residents will support development as long as their views on the nature of that development are listened to. That is the frustration with the system at the moment—views are not heard. My hon. Friend the Member for Reading West (Alok Sharma) talked about the views of communities falling on deaf ears and that is how residents feel now.

I also believe that residents can and will work with local businesses and retailers to ensure that there is sufficient employment land available and that there are sustainable town and village centres.

[Anne Marie Morris]

I note with interest my hon. Friend’s comments about the business community. Does she agree that we should see it as part of these neighbourhood forums?

[Nicky Morgan]

Absolutely, particularly in relation to my constituency, which includes a large town, a smaller town and various villages. The employers, businesses and the retail industry are critical to the area’s success and we must see that they are fully engaged with neighbourhood plans. I particularly welcome clause 102, which requires developers to consult local communities before submitting planning applications for certain developments.

Let me offer a few final thoughts so that colleagues will have time to make their points. First, there must be clarity around the decision-making process regarding the plan or order, and the process must be fair and transparent. It would be helpful to know at some point the grounds on which a local planning authority or examiner could turn down a plan or order. It would also be helpful to know who will bear the cost of preparing a plan.

There have been calls for a third party right of appeal. According to the Campaign to Protect Rural England, the UK appeal system cost £25 million in 2007-08, when there were almost 23,000 appeals. I understand that the Government are keen to reduce dramatically the number of appeals by having more up-front agreement to plans and orders, but will Ministers keep this area under review so that we can see whether that works for residents in practice?

Last April, the Prime Minister issued an invitation to join the Government. Part 5 and other parts of the Bill show that that invitation has been issued, and I firmly believe that residents in Loughborough and elsewhere will accept it. I urge Members to support the Bill today.