High Streets (Built Environment Committee Report)

Baroness Scott of Bybrook Excerpts

Tuesday 13th May 2025 Grand Committee

[Baroness Scott of Bybrook (Con)]

My Lords, I draw attention to my interest on the register as vice-president of the Local Government Association.

The Built Environment Committee’s report makes wide-ranging and thoughtful recommendations to the Government on how best to support our high streets. These include improving bus networks and parking, supporting local markets, encouraging greater business involvement in high street management and simplifying business rates. I thank my noble friend Lord Moylan for chairing the committee and my noble friend Lord Gascoigne for presenting the report today.

Many of the funds and initiatives referenced in the Government’s response, such as the high street rental auction, high street accelerators, the city region sustainable transport settlement and the private parking code, were in fact introduced or legislated for by the previous Government, who had a strong record on supporting high streets. We supported businesses, particularly high street businesses, through the Covid 19 pandemic with a comprehensive £400 billion package. We supported towns through the long-term plan for towns, which the current Government have since withdrawn. That plan committed £1.1 billion to 55 towns across the UK, empowering local communities to develop locally led town plans shaped by community leaders, employers, local authorities and Members of Parliament. We supported high street generation through a suite of wider funds, including the £4.8 billion levelling up fund, the £3.2 billion towns fund, the high street task force and the £150 million community ownership fund.

I turn to the conclusions and the recommendations of the report. These were wide-ranging and covered several key areas relevant to the vitality of the high street. The first recommendation calls for improvements to public transport connectivity, particularly bus networks, and for more efficient and accessible car parking. I note that this was actively pursued by the previous Government, culminating in the launch of the private parking code, which was finalised in May 2024 and came into force in October that year, following significant work with the industry.

The committee also urged continued support for local market traders and recommended that the local authority-operated markets outside London be granted business rates relief. The Government claim that their new approach meets their manifesto commitments, but I must challenge that claim. The manifesto pledged to

“level the playing field between high streets and online giants”,

yet the policy in question levies additional taxes not on online giants alone but also on high street retailers, large department stores, supermarkets, football stadiums and others. These are not online giants. This approach risks further burdening those the Government claim to support. These are the things that keep our high streets thriving and surviving.

I turn to the section of the report concerning local businesses and regeneration. The Government’s first Budget left business confidence at its lowest point in two years. According to the British Chambers of Commerce, only 49% of companies surveyed in the first quarter of 2024 expected an increase in income over the coming year. This should be a concerning indicator. In light of this, the Government must consider how best to support, though not mandate, the development of business improvement districts. BIDs have shown that they can drive local growth and community involvement, but there is a lot of scope to do even more. The Government should explore whether the BID model could be strengthened by expanding participation to include community representatives, ensuring a broader, more inclusive voice in local regeneration.

The next recommendation rightly highlights the importance of public participation, saying that local authorities should ensure that residents are involved in the decision-making. This is essential if regeneration efforts are to reflect the real needs and priorities of local communities. The Conservative Party agrees with the committee’s view that the Government must embed accountability measures into any new regeneration programme. I therefore ask the Minister to set out how the department intends to build on this principle. Specifically, how will local voices be ensured a place at the table in the design and delivery of future regeneration schemes?

We recognise the value of the Government’s funding simplification doctrine. This principle should be expanded to apply to all local authorities receiving multiple funding streams aimed at high street regeneration.

The committee rightly supports the continuation of the long-term plan for towns, particularly as it includes vital resource funding, not just capital. Any future programmes must adopt a highly simplified bidding process, enabling local authorities to focus on delivery rather than navigating bureaucracy. Will the Minister commit to simplifying the funding landscape and providing much-needed clarity on the future of regeneration programmes? Additionally, will he introduce a significantly simplified bidding process for any future high street or town regeneration funding? This would help ensure that local authorities can focus more on the delivery and less on the administrative burden, as I said.

I turn briefly to the commentary from third parties on the committee’s report. In August 2024, the Federation of Small Businesses published its report, The Future of the High Street, calling for greater support and innovative thinking to improve conditions for small firms operating on UK high streets. Notably, the FSB found that good transport links are essential, with almost 43% of small businesses stating this as a key factor for their success. In the light of this, what plans do the Government have to ensure that transport links in our towns are available, frequent and reliable?

The FSB also reported that around 49% of high street small businesses believe that parking facilities are poorly managed in their area. Will the Minister commit to a review of parking provision, particularly in poorly performing areas, so that we can improve accessibility for those travelling to the high street by car?

Finally, I leave the Minister with two further questions that speak to some of the most pressing concerns raised by the committee. First, how do the Government intend to improve the return on investment for high street and town centre projects that are currently underperforming? Secondly, how will the department support local authorities in unlocking the latent resource, expertise and community passion that remain under- utilised in so many of our communities?

I again thank the committee for its diligent and thoughtful report and acknowledge the valuable contributions of all noble Lords who have spoken in this debate or on that committee. I hope that we can continue to draw on the considerable expertise of this House to ensure that we do all we can to both support and revitalise our high streets.