Levelling-up and Regeneration Bill

Baroness Thornhill Excerpts

2nd reading
Tuesday 17th January 2023 Lords Chamber

[Baroness Thornhill (LD)]

My Lords, I begin by reassuring the House that my noble friend Lady Harris of Richmond is not leaving the House. The V next to her name on the speakers’ list stands for virtual, not valedictory.

I thank all the creators of the excellent briefings we received, which are too numerous to list individually. From them it is clear that the Bill carries a huge weight of expectation. It seems as though a lot of these experts —pressure groups, charities and professional bodies—are not convinced that it will ever deliver what it says on the title page, while welcoming many individual aspects, as do we. We believe that this Bill will neither measurably level up nor ensure long-term regeneration, which is regrettable. We on these Benches think it is a missed opportunity to do both. The rhetoric will not match the reality. To echo the noble Baroness, Lady Taylor, it is like getting a soft Christmas present—you are hoping for a silk scarf but you get socks.

The Bill provides a framework for delivering the Government’s 12 missions for reducing inequality by 2030, but it is a shaky one at best. Someone has definitely failed to look at the instructions for assembly, as it really does not hold together. The Explanatory Notes give us four overarching objectives, but it is hard to see how they live up to the aspirations of the missions. The missions themselves are not part of the Bill—Part 1 sets out how they will be set, monitored and reported on annually but not how they will be effectively delivered and funded.

Let us be candid: aspirations of this breadth and magnitude have failed to a greater or lesser extent under successive Governments over many years. This is a herculean task which we all want to get behind. Our job is to ask the Government what will be different this time. I am certain that we all want to see the missions succeed, but is everything underneath them strong and clear enough to actually deliver? Is there really a cross-government focus on levelling up? After all, you do not fatten a pig by weighing it.

The second objective covers

“the devolution of powers through the creation of a new model of combined county authorities”.

Our view is that devolution should be much more than this, and so the Bill is yet another missed opportunity. It is centralist, with the regions of England controlled out of Whitehall still. It could be argued that it is about delegation with a bit of decentralisation, but it is not what we would call devolution. There is no significant commitment to fiscal devolution, nor to devolving appropriately down to parishes and districts—those closest, after all, to the communities that the Government seek to empower and engage with.

The third objective covers the regeneration of town centres and is probably set to be the most disappointing of all. For levelling up to work in the longer term, it must be about transforming the economic fortunes of left-behind areas. The proposals in the Bill are largely cosmetic quick wins, probably designed to arrive in time for the next election—heaven forbid—and not bold policy solutions to drive regional economic success. As a party, we will continue to work for more transparency in politics. We were particularly concerned at the apparent lack of impartiality in the distribution of the towns fund.

Your Lordships must excuse me while I take a drink: my cancer treatment has side effects, including dry mouth—I am sure lots of noble Lords are familiar with that.

A more attractive high street is important to how residents feel about where they live—I have no doubt about that. But a nice-looking high street will not thrive unless residents have more money in their pockets to spend in it and a reason to go to it. New businesses will not invest in challenging high streets without incentives, including serious reform of business rates and a costed and coherent plan to address wider economic factors. Drab, rundown town centres are a symptom of economic decline. This Bill does not address the root causes of that decline. Giving residents more say in street names and protecting alfresco dining does not quite get the investors’ pulse racing. I admit that proposals for high street rental auctions and compulsory purchases sound interesting, but on closer examination, which we will all surely do, they could well have the opposite effect of decentralising investment —something to scrutinise at the Bill’s next stages.

The fourth objective is the most controversial and has aroused the most comment. The Bill has at its heart the much-heralded planning reforms. We have been inundated with briefings from different organisations about this section, and they have been very revealing and sometimes worryingly contradictory in their interpretation. We will seek clarification on those contradictions.

One major concern is who wins at Top Trumps— the local plan or the proposed national development management policies? Which will the Planning Inspectorate give most weight to? These are really important questions. How will these play out in council chambers and planning offices up and down the country? We will be seeking an unequivocal answer during the passage of the Bill.

The Bill is full of words which are subjective and open to interpretation, such as targets being “advisory”, but what does this actually mean? The word “guidance” pops up a lot. When does guidance mean that you can take it or leave it, it is up to you, and when is it a very strong diktat with punishment for non-compliance, such as the current housing delivery test? The word is very useful when MPs are playing the blame game: “It is not the Government’s fault but the council’s interpretation of the guidance”. We will be seeking clarity on these issues. More seriously, the Bill is peppered with wide-ranging Henry VIII powers, not least the proposals in Part 5 to give the Government extensive powers to change a range of environmental protections, with very limited scrutiny.

One word we would like to see banished from the Bill is “affordable”, in relation to housing. It is meaningless; affordable to whom? Our country needs social housing on a scale not seen for decades, and we will support all measures to ensure that this happens. We are deeply concerned that although one of the missions is restoring pride in place, and talks about community engagement and empowerment, the only solution that is offered to the problem of the second homes and short-term lets which blight parts of the country is a registration scheme. We believe that the Bill could do more to respond to the concerns of these communities.

A new draft of the National Planning Policy Framework is out to consultation at the moment, including the delivery test. The consultation closes in March. The final details of both will be extremely important in the application and interpretation of many of the measures in the Bill. The draft of the NPPF is a serious document which deserves serious scrutiny. It may well, I hope, answer many of our questions and concerns and allay fears, but it may also provoke many more.

We are dismayed by the lack of focus on the role of the planning system in tackling the climate crisis. People living in the most deprived areas are often the most vulnerable to threats from a changing climate, and their homes urgently need to be prioritised for retrofitting. We are not convinced of the Government’s commitment to this, as the rhetoric does not seem to match reality. There is much in this Bill—too much, one could argue—and I am sure that your Lordships are looking forward to getting stuck into the detail, because the devil will be in the detail.