Lord Barwell
Main Page: Lord Barwell (Conservative - Life peer)
Robert Neill
My hon. Friend is absolutely right. There is a history to the incremental growth of the London Thames Gateway Development Corporation, which did not prove satisfactory, and as he knows the Government are looking at the matter in a different context.
We seek to introduce proper accountability to the London mayoral development corporation. There was a debate about whether it would be appropriate to give the boroughs a veto, and that possibility has foreshadowed an Opposition amendment. The Government have reflected on the matter, and we take the view that it probably is appropriate and sensible to include a check and balance in the system, but we conclude that, because the Mayor of London is a strategic authority and charged with the economic development policy and oversight for London, the check and balance should not be through any one London borough or group of London boroughs, as they have their own important role, are in any event the statutory consultees on these matters and would have the opportunity to put their views forward anyway.
It is more appropriate if the check and balance mirrors other checks and balances in the GLA’s governance scheme, so that the London assembly, which is democratically elected and represents all Londoners, is able to veto a proposal for a mayoral development corporation by a two-thirds qualified majority vote.
Gavin Barwell (Croydon Central) (Con)
I am grateful to the Government for accepting the approach that I outlined in Committee in response to an amendment moved by the right hon. Member for Greenwich and Woolwich (Mr Raynsford). Will my hon. Friend confirm that, because of the two-thirds majority to which he refers and the GLA’s electoral system, one merit of the proposal is that it will effectively ensure the need for cross-party consensus behind any MDC designation?
Robert Neill
My hon. Friend is entirely right, and I am grateful to him for raising the suggestion in Committee, because it fits neatly with an established pattern of working in the GLA. As he rightly observes, the proposal will require any Mayor to achieve a measure of cross-party consensus. The system is established in relation to the Mayor’s budget and the various strategies that he is entitled to bring forward, and it is logical to include such an important issue in the same regime. Not only is there an electoral system in the GLA which requires cross-party consensus for a two-thirds majority, but the assembly is seized of certain powers not unlike our powers in this place to call for people and papers, so it can summon people and, therefore, carry out robust scrutiny.
Importantly, the assembly is also elected on a basis that includes constituency representatives and those elected through a list system, so any London borough that might be affected or concerned by a proposed mayoral development corporation has its constituency assembly representative at City hall who is able to stand up, ask questions and challenge on their behalf. I hope that that meets the Opposition’s point, and that their amendment will not be necessary.
Gavin Barwell
I will restrict myself to commenting on mayoral development corporations. There is an irony in the positions that the parties are taking today. It is rather strange for Conservative Members to be defending city-wide government and for Labour Members to be making the case for the boroughs. Incidentally, I say in passing that I always find it slightly grating when people refer to London as a region. It is a city, and I consider myself as living not in a region but in the world’s greatest city.
Having started on that note of disagreement, I wish to say that on Second Reading and in Committee the right hon. Member for Greenwich and Woolwich (Mr Raynsford) correctly diagnosed a problem with the Bill. There was a danger that a future Mayor would designate a mayoral development corporation despite widespread cross-party opposition in all parts of the affected area. There would be nothing that the Secretary of State could do but accept that designation. He was absolutely right about that, and we had a good debate about it in Committee.
As my hon. Friend the Minister said, the problem with the solution that the right hon. Gentleman proposed at that point was that it would have centralised the decision back with the Government. I made the suggestion, which I am grateful to the Government for adopting, that we should go with the grain of the existing arrangements, for which the right hon. Gentleman was probably responsible, and use the London assembly to hold the Mayor in check.
The hon. Member for Lewisham East (Heidi Alexander), who made a very good contribution throughout the Committee stage, has proposed an alternative solution. The problem is that, if just one local authority were involved, that local authority would essentially be given a veto. There might be good public policy reasons for the Mayor wanting to pursue a development corporation solution in a particular area. I therefore believe that the Government have adopted the right model in the Bill. I suppose I would say that, having proposed it in Committee, but I hope that Ministers will consider a couple of minor tweaks that could be made. If they are persuaded, perhaps that can happen in another place. I shall come to those tweaks in a moment.
My hon. Friend the Minister will know that many of the people who serve on the London assembly are themselves councillors in the local authorities concerned. In Croydon and Sutton, our London assembly member, Steve O’Connell, is a Croydon councillor. In the neighbouring GLA constituency of Merton and Wandsworth, Richard Tracey is a local councillor.
Gavin Barwell
My hon. Friend, who is a former member of the assembly, knows that many members are in that position.
The right hon. Member for Bermondsey and Old Southwark (Simon Hughes) referred to urban development corporations. I see that he is in heavy conversation at the moment, but he talked about the lack of democratic accountability in those corporations in the 1980s. It is important to make the point that in this case, the designation of a development corporation would be made not by central Government but by the Mayor of London, who is democratically elected.
I am conscious of the time and know that other Members wish to speak, so I end with two points that Ministers might wish to consider. Schedule 21 deals with the detailed arrangements for mayoral development corporations. Paragraph 1 is about the membership of them, and perhaps the Government could consider a requirement that the people whom the Mayor appointed to them, or at least some of them, should have a connection with the local area covered. That is not mentioned in the schedule. It sets out the need for people to have experience and to have shown some capacity in the relevant functions of the corporation, and for them to have no financial interest. Those are both good and sensible provisions, but there may well be a case for ensuring that at least some members have a local connection with the area and perhaps a relationship with the local authority.
Paragraph 6 of schedule 21 is about committees established by mayoral development corporations. Sub-paragraph (3) states:
“A committee or sub-committee may, with the agreement of the Mayor, include persons who are not members of the MDC, but a majority of the members of a committee or sub-committee must be members of the MDC.”
I, and I suspect other Members, have received representations from both the Mayor and the assembly stating that they would be happy with a much more relaxed rule that gave MDCs more freedom to appoint a greater proportion of people who were not members of its board. Those people may well be members of the local authority or have connections with the area. Given that we have not yet achieved complete consensus on this matter, the Government could look at some of the details of schedule 21, to see whether we can address some of those concerns.
In conclusion, it is greatly to Ministers’ credit that they listened to the debate in Committee and came back with a solution, which I think is a good one that improves the Bill. If they went away and looked at a couple of details on schedule 21, it might be possible to address some of the concerns that hon. Members have raised in this debate.
Simon Hughes
I shall make a brief contribution to what is an important debate for London, which I am happy to take part in once again.
I agree with the hon. Member for Lewisham East (Heidi Alexander) that the two biggest issues that affect my constituents and hers, and that fall directly or indirectly within the remit of local government, are jobs and housing. Most people are most concerned about those two issues most of the time. I am afraid that I come to this debate with long experience in this place. When I was first elected, Lady Thatcher’s Government had just set up urban development corporations throughout the country, of which the London Docklands Development Corporation was one. Indeed, that was the backdrop to my by-election, because my predecessor, Bob Mellish, was appointed as vice-chairman of the LDDC. That was not uncontroversial in Bermondsey, because people in general, and particularly those in the Labour party, did not think that a quango should be given the powers over Southwark, Newham and Tower Hamlets that the LDDC was given, so appointing a Labour MP to the LDDC was not consistent with Labour party policy.
That handover of powers to the UDCs was very controversial, because it meant that planning decisions were taken by a group of unelected people. It was possible to influence the people who took the decisions, but never possible to hold them directly accountable. I used to go to planning committee meetings following lots of community activity—they were not always in Southwark: sometimes, for major planning schemes in the Surrey docks or along the riverside, meetings were held at the LDDC in the Isle of Dogs or elsewhere—but communities often felt alienated afterwards. The legacy is the feeling of remoteness when decisions are not taken by locally elected representatives.
I am not saying that the local community comes away feeling deliriously happy after every local council planning committee meeting. I have seen enough local planning committees in Southwark over the years make controversial planning decisions—under Labour, Liberal Democrat and Liberal Democrat-Conservative coalition administrations. However, at the end of the day, the public at least know that they can kick those people out at the next election if they want to do so. My premise, therefore, is that the starting point should always be accountable decision making, particularly on planning matters, and particularly on the big planning matters that “urban development” by definition implies. This is not about whether someone can have a bedroom in the mansard roof of a flat or house, or whether someone’s garage can be an extra bedroom; this is about schemes for industrial sites and other things on that scale.
Simon Hughes
They will have had a say, because, as the hon. Lady will know, the Bill contains a requirement for formal consultation with a list of people, including every local authority and others.
The Government are trying to take power from the centre and hand it down to the regions, including London, and then further down, not just to local authorities but to neighbourhoods. Southwark has eight community councils, which is very welcome. That is what the Under-Secretary of State for Communities and Local Government, the hon. Member for Bromley and Chislehurst (Robert Neill), who has responsibility for planning, asks us to support. However, that does not mean that there should not be overarching responsibilities on a London-wide basis.
I say to the hon. Member for Lewisham East that there is certainly a wish to continue arguing for a London-wide responsibility for housing strategy, and we need to work out the best way of delivering that. Boroughs will do their own thing to develop as much as they can, but we will clearly need a London-wide policy to meet the needs of the homeless, asylum seekers and refugees, for instance, who do not immediately and naturally become the responsibility of a particular borough, because they do not have a fixed link with that borough. I and my London colleagues are keen to work with her and her London colleagues and the Minister and his colleagues to try to ensure that at the end of the deliberations we put in place the best possible structure, providing appropriate responsibilities at the level of boroughs and the Mayor and the London assembly, and as far as possible allowing for democratic accountability for all policies, particularly housing and regeneration.
Gavin Barwell
I tried to address in my speech the point that the right hon. Gentleman is making, but he was in discussion with a colleague at the time. If paragraph 6 of schedule 11 was amended, it would give the Mayor more flexibility to put people from neighbourhood planning groups or local authority representatives on to the MDC planning committee. That may be one way of squaring this circle.
Simon Hughes
At the moment, of course, the legislation provides for how the Mayor chooses the people to be on the development corporations. That could be looked at again. I do not think that my colleagues would object to there being nominees either from the local authorities in the areas in question—whether from more than one or a single local authority—or from the community councils and elsewhere. I think the hon. Gentleman’s idea, which we need to consider, is a good one.
There needs to be good democracy in London whereby people can be held to account for the decisions they make. The fact that the London Development Agency is going is helpful, because it means that the Mayor will be responsible for London’s economic regeneration as a whole. That is what mayors of big cities should do. Whether people support mayors in big cities is a separate debate, but if we have them, that is what they should do. The Mayor should be held to account by the assembly, so I hope that we can say to the Minister that he is on the right track, but that he should remain alert to the concerns expressed by the hon. Member for Lewisham East and her Front-Bench colleagues. If we can get it, we need to aim for consensus by the time the Bill completes its passage through the House of Lords and Parliament.