Greater Manchester Combined Authority (Functions and Amendment) Order 2017

Lord Bourne of Aberystwyth Excerpts

Monday 24th April 2017 Lords Chamber

Moved by

[Lord Bourne of Aberystwyth]

That the draft Order laid before the House on 20 March be approved.

[The Parliamentary Under-Secretary of State, Department for Communities and Local Government and Wales Office (Lord Bourne of Aberystwyth) (Con)]

My Lords, the draft order that we are considering today, if approved and made, will provide further new powers for Greater Manchester, as agreed in the devolution deals, to support its programme of public sector reform.

The Government have of course already made good progress in delivering their manifesto commitment to implement the historic devolution deal with Greater Manchester. Since agreeing the first deal with Greater Manchester in November 2014, we have passed the Cities and Local Government Devolution Act 2016, followed by a considerable amount of secondary legislation in relation to Greater Manchester. In March 2016, we passed legislation to establish the position of an elected mayor, who will also take over the role of the Greater Manchester police and crime commissioner. The first mayor will be elected on 4 May this year and will hold a three-year term of office.

In December 2016, we passed legislation giving Greater Manchester new powers on housing, planning, transport, education and skills, some of which are to be undertaken by the mayor individually and others by the members of the combined authority collectively. On 24 March, following parliamentary approval, the Minister for Policing and the Fire Service made two orders which transfer the functions of the Greater Manchester Fire and Rescue Authority to the mayor on 8 May and the fire and rescue assets and liabilities to the combined authority, as well as abolishing the fire and rescue authority. They also set out the detailed operation of the police and crime commissioner function when it transfers to the mayor on 8 May, and they transfer the assets and liabilities of the police and crime commissioner to the combined authority.

The draft order we are considering today provides a further significant step for Greater Manchester. It gives effect to many of the further proposals for devolution on which Greater Manchester has consulted. If approved and made, it will enable the mayor to designate areas as mayoral development areas, subject to agreement from combined authority members, and require the mayor to prepare local transport policies and plans, subject to agreement from seven of the 10 combined authority members—this is a function currently undertaken by the combined authority collectively. It will enable the mayor to pay grants to local authorities, which is designed to support the mayor’s decisions around the use of the consolidated transport budget, and require the mayor’s vote to be carried in any decision relating to use of the “earn back” infrastructure fund. It will transfer the functions, assets and liabilities of the Greater Manchester Waste Disposal Authority to the combined authority and abolish the waste disposal authority on 1 April 2018. It will also provide the combined authority with the same powers to share information as the constituent authorities have in relation to crime and disorder, education and skills, and environmental issues.

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In conclusion, I pay tribute to Tony Lloyd, who is the police and crime commissioner for Greater Manchester. He served as a Member of Parliament for just short of 30 years, for two Manchester seats. He was elected in 1983 and stood down from Parliament in October 2012. He served his city with great distinction as a Minister. He was also chairman of the Parliamentary Labour Party for six years. It is no mean feat to last six years in that job. He went on to be the police and crime commissioner for Greater Manchester and has been there since November 2012. We owe him a debt of gratitude for all the work that he has done for Manchester and Greater Manchester. With that, I am very happy to agree to the order.

[Lord Bourne of Aberystwyth]

My Lords, I thank noble Lords who have participated in the debate on this order on Greater Manchester. I will pick up first on the fulsome tribute paid by the noble Lord, Lord Beecham, to George Osborne—equalled only by the fulsome tribute made by the noble Lord, Lord Kennedy, to Tony Lloyd. As the noble Lord, Lord Beecham, said, it is absolutely right that George Osborne has been very firmly behind these proposals, particularly in relation to the northern powerhouse.

On the points the noble Lord made in relation to consultation, I appreciate the need for consultation and strongly support it. However, he will be aware that the Secondary Legislation Scrutiny Committee, which looked at this draft order, was content that every effort had been made in relation to consultation. I agree that it is a shame that more people did not respond: nevertheless, it is important to put that in context. Those who did respond, responded favourably in every single area that the consultation looked at, as the noble Lord is very generously indicating.

The noble Lord, Lord Beecham, is right about paragraph 2.6 of the report accompanying the order. It is not anticipated that we will use this power to upset the balance of power within the authority. Perhaps I could write him more fully on that point.

On a general point made by many noble Lords on overview and scrutiny—the noble Baroness, Lady Pinnock, and the noble Lord, Lord Kennedy, stressed the importance of this—it is important to note that, in fairness to the authority here, all the deals are bespoke: each one is somewhat different. Greater Manchester has gone further on independence of members by ensuring that a member represents the constituent authority. The chair of any overview and scrutiny committee has to be of a party different from that of the mayor. That does not necessarily apply to the audit committee. That must have an independent member, but they need not necessarily be the chair. I applaud the authority for pushing for that—and the Government were of course very keen to accept it.

My noble friend Lord Deben spoke graphically and eloquently of the silo system of government. I have much sympathy with him on that point and will take it forward. He may have other avenues open to him—perhaps even further up the food chain than me—where he can perhaps convey that message to ensure that it is taken on board. It is a message that is heard loud and clear.

I thank the noble Baroness, Lady Pinnock, for her general welcome for the draft order and the programme of devolution. I agree with her on the need for balance between the different parts of the devolution deal; that is, the councils represented by individuals on the combined authority, and the mayor. On expenditure, while I appreciate that the phrase “reasonably incurred” perhaps lacks a certain substance, the courts are familiar with dealing with it. However, I take the general point that the noble Baroness makes; it is a very fair one. I also take her point about the need to take everybody with you in so far as you can. I am sure that any mayor of Greater Manchester, whatever their party or whether or not they are independent, will want to ensure that that is the case, so that it is not simply a question of counting heads for majority rule.

I thank the noble Lord, Lord Kennedy, once again for his constructive approach, as always, on this issue and for the vignette on Millwall. No debate is complete without a vignette from the noble Lord’s borough, and I am very pleased to hear the news on that in any event. I agree with him on the importance of scrutiny and look forward, as he does, to the elections and to taking this important step forward in the way that we govern our country. With that, I commend the draft order to the House.

[Lord Kennedy of Southwark]

I have a final question for the Minister; it is not a problem if he writes to me on it. Police and crime commissioners are limited to two terms. I assume that the mayor is not term-limited. Perhaps he could look at that and write to me, because it would obviously be a slightly different case when it came to looking at mayors of combined authorities, police functions and police and crime commissioners.

[Lord Bourne of Aberystwyth]

I thank the noble Lord and will gladly write to him on that point.

Motion agreed.