Planning and Infrastructure Bill

Baroness Scott of Bybrook Excerpts
Baroness Scott of Bybrook Portrait Baroness Scott of Bybrook (Con)
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My Lords, I declare my interests as set out in the register as vice-president of the Local Government Association.

We on these Benches support many of the Bill’s principles and ambitions, several of which build on work that we led in government during a period of record housebuilding. While not perfect, the Levelling-up and Regeneration Act is a step forward, streamlining the planning system and focusing on local priorities. As a Minister, I recognised the urgent need for more homes, and I remain just as committed today to driving practical action to meet that need.

In 2019, the Conservative Party committed to delivering 1 million additional homes over the course of that Parliament. In 2024, before the general election, we delivered on that commitment. The Labour Party has now committed to delivering 1.5 million homes over this Parliament, and it is essential that it delivers on that manifesto commitment.

As the Bill progresses through this House, we will raise serious concerns: the removal of councillors’ voting rights on individual applications; sharply increased housing targets in rural areas, without sufficient protection for villages; the shift to strategic plans; and the questions over the deliverability of the 1.5 million homes target. That figure appears to be little more than the Deputy Prime Minister’s arbitrary aspiration. Announced in the other place without a road map, without detailed plans and, ultimately, without a credible delivery mechanism, the target lacks the very foundations required to make it achievable.

There are, quite rightly, widespread questions about the target’s deliverability, particularly in light of the February S&P Global UK Construction Purchasing Managers’ Index, which reports one of the sharpest monthly declines in housebuilding and construction on record. Furthermore, the joint report from Savills, the Home Builders Federation and the National Housing Federation estimated that the Secretary of State is likely to fall short of her target by as many as 500,000 homes.

Doubts about deliverability were only compounded by the recent spending review. The Chancellor’s announcement was heavily backloaded, with limited short-term impact; most of the uplift comes after 2030, with meaningful increases not projected until 2035-36. The headline figure, spread over a decade, goes beyond this Parliament and will have to withstand numerous fiscal events from a Government so often keen to change their mind.

There is, as yet, no formal multiyear budget commitment. It is a pledge, not a statutory allocation. As the Institute for Fiscal Studies put it, the £39 billion figure is meaningful only if future spending reviews confirm it. Even if the workable aspects of the Bill are able to deliver more homes, the Government must indicate how this funding will deliver their pledge in this Parliament.

The Bill also impacts our natural environment and rural communities. Later in this debate, my noble friend Lord Roborough will outline why, from these Benches, we view Part 3 of the Bill as a particular cause for concern. The proposed nature restoration levy may, to some sitting in an office in Whitehall, seem like a welcome simplification of the environmental conditions attached to the planning system. But in reality it appears to water down existing protections, and that is not a solution. The Official Opposition want to see the right homes in the right place, without weakening our position on nature restoration and appropriate environmental protections.

There are important questions that the Government must answer. What safeguards will ensure that the levy is proportionate to the environmental impact and does not simply become another tax or barrier to development? What is the expected timeline for implementing the environmental delivery plans, and have the Government factored in potential delays, including the possibility of judicial reviews? We look forward to the Minister’s reflections on these points. Our assessment is that it could take some years from Royal Assent before the environmental delivery plans begin to make a real-world impact. If the Government believe otherwise, we would welcome reassurances on this.

On outcomes, concerns persist. The Chartered Institute of Ecology and Environmental Management has warned that this system risks the immediate loss of natural capital, with any benefits only realised decades later. We hope the Government can provide greater confidence that this approach will deliver meaningful and timely results for the environment.

If the Government are now concerned with the issue of nutrient neutrality, perhaps I might draw their attention to the amendments we tabled during the passage of the Levelling-up and Regeneration Act. Regrettably, the Government—then in opposition—chose to vote them down, thereby defeating the proposition. I would, of course, be more than happy to assist the Ministers by returning these amendments to the attention of the House, in the hope that even at this stage the Government might now reconsider their position.

Additionally, this Bill touches on the crucial area of energy. My noble friend Lord Offord will speak with authority on this subject later in the debate. However, I will briefly set out why we see it as so vital. The UK continues to face some of the highest electricity costs in the world, an issue that poses a serious barrier to growth. We therefore welcome commitments to energy infrastructure and support any measures that aim to reduce energy costs. This must go hand in hand with proper community consultation, particularly regarding the installation of overhead cables and new pylons. Finally, we must ensure that we are developing a diverse and resilient energy mix, one that provides stability and equips us to meet the challenges of an increasingly uncertain world.

On planning, the Minister is correct that we are deeply concerned about the proposed national scheme of delegation, which would remove councillors’ ability to vote on individual planning applications. Is the Minister not concerned about the systematic removal of layer upon layer of democratic oversight? Democratic accountability matters, especially when it comes to housebuilding. Local consent, legitimacy and trust are essential to deliver not just more houses but the right houses.

When local communities and their elected representatives have a meaningful role in the planning process, housebuilding is seen as something done with people, not done to them. Strip that away and you risk generating opposition, misdirecting development and ultimately building fewer homes. We want the right homes in the right places, and the Government need to bring communities with them if they are to deliver that. When communities are engaged and can see the shape and benefit of new housing, whether through affordable homes, infrastructure improvements or environmental safeguards, public support increases and delivery becomes more achievable.

We are particularly concerned at the proposed model of strategic planning. It could be—and is being—used to shift urban housing need into our rural areas. This is especially troubling in light of the disproportionately high increases in housing targets assigned to those rural authorities. The Secretary of State has raised the national housing target by 50%. Residents might reasonably expect that their local targets have increased by a similar amount, but that is far from the case. According to the House of Commons Library, in major urban conurbations, housing targets have risen by an average of 17%. In predominantly rural areas, they have increased by 115%.

To illustrate, London’s target is down 12%, Newcastle down 15%, Birmingham down 38% and Coventry down 55%. Meanwhile, Wyre Forest and New Forest have seen their targets doubled. Westmorland’s target has increased by almost 500%. This is neither fair nor sustainable. It erodes local trust and places significant pressures on our rural services, infrastructure and landscapes.

Worse still, it undermines the very reason we need more homes in the first place. High housing costs in major towns and cities act as a major barrier to interregional mobility. For low-income houses, households and renters, housing affordability creates a form of price lock-in, preventing them accessing areas with greater employment opportunities. If we are serious about boosting growth and supporting opportunity, we need the right homes in the right places. We need homes where opportunities are, and we need local representation to be involved in the process of building those homes. We therefore urge the Government to rethink this approach and to restore a meaningful role for democratic decision-making in the planning system.

From these Benches, we warmly welcome the Government’s greater emphasis on the local plans. A plan-led system is the right approach, and we recognise the effort to ensure that communities have a stronger voice in shaping development. However, we see opportunities to build on this. In particular, we would like to explore more ambitious support for small builders and self-builders, an important part of a diverse and resilient housing sector. The current 10% site allocation for such developments is a positive step, but we support the Federation of Master Builders’ suggestion that this could be increased to 20%. We also welcome consideration of an expanded role for Homes England in supporting microbuilders, who often face particular barriers to entry.

I turn briefly to the issue of grey belt. While we appreciate the intention to make better use of underused land, concerns remain about how these changes may impact the wider countryside, particularly village identity. Although this is not directly part of the Bill, it clearly interacts with the Bill, and we hope Ministers will continue to reflect on the balance between flexibility and long-standing protection of rural communities. There is also a risk of unintended urban sprawl. This would place significant pressure on our local infrastructure and services. We should prioritise the proper use of our existing urban centres, bringing empty properties back into use and supporting densification where appropriate to make the most of the space we already have.

Our aim in engaging with the Bill is not to obstruct its objectives but to contribute constructively to its success. We will bring forward amendments that are designed to strengthen the Bill’s ability to deliver well-designed, affordable homes, particularly for those on lower incomes and first-time buyers, while ensuring that local voices, rural character and environmental safeguards remain respected.

Planning and Infrastructure Bill

Baroness Scott of Bybrook Excerpts
Moved by
3: After “infrastructure” insert “, thereby supporting delivery of the Government’s target of building 1.5 million safe and decent homes in England by the end of the 2024 Parliament,”
Baroness Scott of Bybrook Portrait Baroness Scott of Bybrook (Con)
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My Lords, I first declare my interest as a vice-president of the Local Government Association. I thank the noble Baroness, Lady Pinnock, for bringing forward a purpose clause which, as we have said, allows us to focus on the Government’s stated intent, specifically its overarching vision to enable housebuilding and support the development of critical infrastructure.

While we welcome the amendment, we on these Benches believe it can and must be strengthened. The Government have committed to building 1.5 million new homes, but as things currently stand, that target is undeliverable. The Bill in its present form does little to change that fundamental reality; it does not move the dial in enhancing development across the country.

In 2019, the Conservative Party pledged to deliver 1 million additional homes over the course of that Parliament. By 2024, before the general election, we delivered on that promise. If this legislation is truly intended to unlock housebuilding, then that ambition must be explicit in the purpose of this clause. Only by doing so can we measure the Bill’s effectiveness against the Government’s target and hold them to account, both in your Lordships’ House and in the other place. That is precisely why I have tabled an amendment to Amendment 2, to include the Government’s goal of delivering 1.5 million homes in the Bill.

In this House, we are united in the view that this country needs more homes. Housing unlocks opportunity, enables labour market mobility, allows young people to move forward with their lives and removes the key barrier to productivity. However, quantity must be matched by quality. New homes must be well designed and sensitive to local character, and I trust the Minister will agree with that point.

If the Bill is the Government’s legislative vehicle for delivering this, then that ambition must be stated clearly and unambiguously. We must support the Government’s stated aim, but the ambition must be backed by a credible plan, meaningful partnerships and, as we have heard, the active involvement of local communities.

Planning and Infrastructure Bill

Baroness Scott of Bybrook Excerpts
Baroness Scott of Bybrook Portrait Baroness Scott of Bybrook (Con)
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The noble Lord cannot withdraw his amendment until I have withdrawn mine.

My Lords, I thank the Minister for her replies and I look forward to continuing to work with her throughout the Bill. I again thank the noble Baroness, Lady Pinnock, for bringing this forward; it is a debate that is useful to have at the beginning of any Bill, just to set the tone.

I want to return to the central issue, which was raised repeatedly by nearly every noble Lord who spoke in this debate, and that is the future of local democracy under the provision of the Bill. At Second Reading and again today, the Minister insisted that this legislation does not represent an attack on local democracy. She reaffirmed the Government’s position that local decision-making remains central to the planning process. I fear we may be reading different Bills, because in clause after clause the principle of localism—the very foundation of community-led planning—is being eroded. We are witnessing the repeal of large sections of the Localism Act and seeing the introduction of powers that allow government-imposed national and significant infrastructure projects to bypass not only local consent but, in many cases, meaningful public engagement altogether. This Bill shifts power upwards, away from communities and towards the centre. That is why I believe that paragraph (d) of the purpose clause is not only helpful but essential. It reasserts a principle that should never have been up for negotiation: local voices must be heard and development should happen with communities, not to them. I thank all noble Lords who contributed to supporting this principle.

Finally, I turn back to paragraph (c) of the proposed purpose clause. This is clearly an emotive issue, and rightly so. It has drawn attention from across the Committee today, not least because of the direct relevance to Part 3 of the Bill, which risks weakening vital environmental protections at precisely the moment we should be strengthening them. It represents a step backwards, a regression from the hard-won safeguards enshrined in the Conservatives’ Environment Act. The problems do not stop there: there are gaps, inconsistencies and serious omissions. I urge the Minister to please step back, listen carefully and engage with these concerns, not just from the Committee but from a broad coalition outside it.

I hope the Committee will forgive me—it is quite personal—if I say that in my opinion it is bizarre that during the passage of LURB, noble Lords blocked reform of nutrient neutrality in this place. This leaves me curious to see whether they will raise the same concerns now that nutrient neutrality provisions are in their own Bill. We have wasted a number of years when up to 160,000 new homes could have been built in this country.

I conclude by reaffirming that we are committed to working constructively with the Government throughout Committee and in the remaining stages of the Bill. We want to deliver more homes and the important infrastructure that this country needs, but we need the process to get that right.

I had the privilege of working on the Levelling-up and Regeneration Bill, and many noble Lords will recall the year I spent taking that legislation through this House. With the same level of commitment I had to that Bill, I look forward to engaging with the Minister to ensure that we get this Bill through and get it right. At this point, I beg leave to withdraw my amendment.

Amendment 3 (to Amendment 2) withdrawn.
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Baroness Coffey Portrait Baroness Coffey (Con)
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With Amendment 17 I will also debate Amendments 18 to 23 in my name. These have been described as a “redirection”; I am not exactly sure what that means, but there is a theme that I hope will become clear. I thank my noble friends on the Front Bench for adding their names to Amendments 17 and 23.

As the Explanatory Notes and various bits of memoranda make clear, this clause is designed to try to speed up aspects of planning, and I understand that flexibility may be wanted. I was a bit surprised when Minister Pennycook in the other place suggested in Committee, talking about offshore generation, that perhaps the MMO could become the planning authority in that regard. The MMO is simply not big enough to get into that.

The theme through my amendments is the fact that a Secretary of State has some literally very special powers, called special development orders. That is why I have tabled some quite detailed amendments. While the narrative, including in Committee and in various memoranda, has been that it can go to an alternative consenting authority, the reason I have tabled these amendments is that there is an alternative consenting authority: the Secretary of State himself or herself.

Amendment 17 tries to probe why the Bill refers to Section 59. You do not need to go through the NSIP and DCO process because the Secretary of State could, more or less, just authorise this tomorrow, without any public consultation, engagement and all sorts of things. The Secretary of State already has the power to do that. I expect that it is usually used for things such as MoD land, so the reasons may be somewhat related to national security infrastructure and so on, but I am concerned that this hands a heck of a lot of power to the Secretary of State, and we should at least be considering that carefully.

That is particularly true when thinking about nuclear and other energy generation, which my Amendment 23 covers. The amount of land taken by most energy projects is pretty significant, not just land for the station itself or the transmission network but the preparation land. That is why I would like to see a commitment, ideally in law, that this will never apply to where a Secretary of State themselves can, on request, give planning permission to something from a developer.

I turn to another aspect of my amendments. This is a novel process—I think that is the explanation in various memoranda—and it will be done by regulations. Putting in the Bill three months for the Secretary of State to make a particular decision seems reasonable if the whole point of this is that it be done quicker. By the way, that is just considering whether something should go through the DCO process or an alternative consenting authority.

In the debate on the first group, I clumsily mentioned the Minister’s commitment to write. It was actually Minister Pennycook, in the House of Commons Committee where this was considered, who pledged several times in the debate on this clause to write to the Committee. That letter may have been sent to the members of the Committee, but it certainly has never appeared on the Bill website or been deposited in the Libraries of either House. He pledged to give more examples of how this would work in practice. The reason for me probing this today is that we could end up with some kind of Stalinist Secretary of State who is determined to build whatever they like anywhere and everywhere. As it stands, through this amendment and this new clause, we will give them the powers to do that, and I do not think we should. That is why I wanted to look at this clause.

I turn to Article 6 of the convention on human rights. Again, a back-up memorandum says:

“These alternative consenting regimes are likely to be … the Town and Country Planning Act 1990, Highways Act 1980, Transport and Works Act 1992 and the Harbours Act 1964”.


But it does not say that it will be only that, which, again, is part of my concern.

So, in a variety of ways, this is probing to see whether we can properly get, in effect, a commitment from the Government on the Floor of this House or through a letter from the Minister—if it is not in legislation—that can candidly be used in a future court case when somebody might want to oppose the Secretary of State doing something so draconian. It would show that it was made clear to this House and this Parliament that that would never happen. So far, none of the back-up memoranda or Explanatory Notes makes that explicit, and that is what I hope to achieve today.

I am particularly concerned about energy projects. The noble Lord, Lord Hunt, is no longer in his place, but I explained on the previous group that I have extensive experience of trying to handle NSIPs as a Member of Parliament and now as a Peer in this place, and I am still very concerned about my local community and what is happening in that regard. With that, I beg to move.

Baroness Scott of Bybrook Portrait Baroness Scott of Bybrook (Con)
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My Lords, I thank my noble friend Lady Coffey for explaining this group. That leaves me no need to go through it again, but I am pleased to support her Amendments 17 and 23. I will be brief, but I wanted to say something about both of them, especially Amendment 17. This amendment is vital because it probes the fundamental issue of democratic accountability and local consent. If the government-imposed national significant infrastructure projects can proceed without planning consent or public engagement, we risk undermining public trust by excluding communities from decisions that directly affect them. This also weakens local accountability by sidelining local authorities and stakeholders, and it increases the risks of legal and political challenges, as the lack of consultation may well lead to resistance or even to judicial review.

Probing this issue is essential to ensure that any such powers are used only when they are truly justified—when they are proportionate to the situation and exercised with true transparency. I raised this concern in the opening group today, and it is one on which we really need some clear answers. I ask again, why is it necessary for government-imposed NSIPs to bypass both planning consent and public engagement? How is this consistent with the Government’s continued claims that localism is protected?

Baroness Pinnock Portrait Baroness Pinnock (LD)
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My Lords, I apologise for not preceding the noble Baroness, Lady Scott.

Amendment 17 would remove the required consent for the construction of or extensions to a generating station for electricity. Can the Minister explain why, in this instance, the government proposal is that it be disapplied from the existing requirements for going through a proper process? It is important to understand the reason. If it is for timeliness, what causes the delays? If it is for reasons of cost, is that related to timeliness? Is there another way to have accountability and public discourse without creating delays and cost pressures? Otherwise, why would we want to disapply the current requirements for consent? Again, there is a thread of accountability running through this: there is a tension, as the noble Lord, Lord Hunt, mentioned, between getting things done and accountability for local communities.

With those few comments, I look forward to a detailed answer from the Minister.

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Moved by
45: Clause 6, page 13, line 23, at end insert—
“(7A) Where the Secretary of State decides not to accept an application under subsection (2) and (5), the Secretary of State must publish the reasons for the decision and identify the relevant statutory or regulatory basis.”Member’s explanatory statement
This amendment seeks to increase transparency and protect developers from arbitrary rejection.
Baroness Scott of Bybrook Portrait Baroness Scott of Bybrook (Con)
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My Lords, Amendment 45 seeks to enhance transparency in the development consent order—DCO—acceptance process. It would require the Secretary of State to publish the reasons whenever an application is not accepted under the relevant subsections of Clause 6, along with the precise statutory or regulatory basis for such a decision. This is a simple yet crucial step towards ensuring accountability and transparency in the decision-making process.

By explicitly identifying the legal grounds on which an application is rejected, the amendment would help to eliminate ambiguity and to reinforce the rule of law within the planning system. Currently, developers face significant uncertainty and frustration when their applications are rejected without clear explanations. This can hinder timely resubmission by leaving applicants unsure of what issues need to be addressed or whether the rejection was based on procedural, technical or substantive grounds. The resulting delay not only increases the costs and administrative burden for developers but can stall projects that may be vital to meeting national infrastructure and environmental goals.

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Baroness Scott of Bybrook Portrait Baroness Scott of Bybrook (Con)
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My Lords, I thank the Minister for her response, but I am not reassured. I am still not at all clear what the developers are being asked for, as we have heard from my noble friend Lord Banner, and we have heard from developers as well. There needs to be clarity not about what they should change but why they have been turned down. I hope the Minister and I can talk more about this, but I am considering bringing it back on Report if we do not get the reassurance that the clarity that developers need from the Secretary of State will be delivered by any changes that the Government are making. If not, we will press to make changes ourselves. At the moment, I beg leave to withdraw my amendment.

Amendment 45 withdrawn.