Levelling-up and Regeneration Bill

Lord Carrington Excerpts

Report stage
Tuesday 11th July 2023 Lords Chamber

[Lord Foster of Bath (LD)]

My Lords, I support the other amendments in this group, but I am particularly grateful to my noble friend Lord Shipley for pointing out that the “geographical disparities” referred to in his amendment will cover disparities between urban and rural areas. It is those disparities that have led me to table the two amendments in my name—Amendments 10 and 303—and I am very grateful to the noble Lord, Lord Carrington, for his support.

Only yesterday, the Rural Coalition produced a document urging all political parties to do more to help rural areas. The document, A Better Future for Rural England, called for a sea-change in the way rural areas are perceived and treated. It argues that achieving the economic and social growth envisaged

“will only prove possible if there is a sustained implementation effort led by central Government and made across Whitehall departments. Much of that effort will need to focus upon addressing the structural inequalities, fragile infrastructure and economic weaknesses which characterise and hold back rural areas”.

Sadly, calls to give rural areas a better deal are not new. For example, in 2015 the noble Lord, Lord Cameron of Dillington, was commissioned by the Government to review the way in which the development of government policies took account of rural communities. Responding to his recommendations, the then Secretary of State, Liz Truss, said:

“This Government is committed to ensuring the interests of rural communities and businesses are accounted for within our policies and programmes”.


Subsequently, the Government produced a booklet called Rural Proofing: Practical Guidance to Consider Impacts of Policies on Rural Areas. It was updated recently and part of the update states:

“It is important that government policies consider how they can be delivered in rural areas”.


The booklet explains:

“This document helps policy makers and analysts in government to consider how to achieve the outcomes they want from their policies in rural areas. This is called rural proofing”.


In 2019, I chaired one of your Lordships’ Select Committees on the rural economy. One of our key recommendations was that rural proofing should be beefed up even further. The Government actually said they were going to do that and then said that they were going to produce a report about how they were doing it every two years. On the basis of all that, one would expect that by now rural areas would be faring at least as well as urban areas or at least were well on the way.

Sadly, the reality is incredibly different. There is a huge disparity in the cost of living between urban and rural areas. In rural areas, house prices are higher but wages are lower. Council taxes are higher, but government support for their councils is lower. Funding per head on many services, from healthcare to public transport, is lower but it costs more to provide those services. From broadband coverage to banking, rural areas lag way behind urban ones.

Only today, many noble Lords will have received a briefing from the NFU on rural crime, which states:

“The NFU recognise that crime is crime wherever it takes place. However, rural crime is very different from urban crime. The scale, cost, social impact, and other effects of crime in rural areas are underestimated, under-reported and not fully understood”.


The briefing noted, for example, that the current funding formula means that in the area where I live, Suffolk, we get £114 per resident from the Home Office grant, whereas if you go to Merseyside, you get £217. So the Rural Services Network, using government metrics, concluded that if all rural areas were brought together and treated as a single region, their need for levelling up would be greater than for any other region. But to make matters worse, Defra has produced its rural proofing report. Indeed, its most recent one, the 2022 report, amazingly and despite its title provides no evidence whatever of rural proofing procedures outlined in the guidance being followed. The Rural Services Network concluded:

“Nowhere … is anything evidenced anywhere to show if these processes were followed”.


During our deliberations, I asked on two separate occasions whether a Minister could tell me whether those rural proofing processes were carried out in relation to the Levelling-up and Regeneration Bill. I have had no response. Now, in fairness, various Ministers have attempted to allay my fears. For instance, when I last raised it, the noble Baroness, Lady Bloomfield, responded with three examples of very good things that the Government have done. First, she was very proud to boast of the £110 million rural England prosperity fund, failing to point out that that is simply a continuation of the previous scheme, the EU structural investment programme fund. So there is no extra money there.

Then we had the great example of the extended subsidy scheme for buses—£250 million, of which £20 million is going to the whole of rural England, whereas £20 million will be given for bus priority measures in just the West Midlands, and £50 million for the first all-electric bus town. But the ultimate example that I was given was that I should be really pleased that the Government had given some rural energy support—extra funding for rural areas. But when you analyse it, what is that? That is for the nearly 1 million people who are off the gas and electricity grid, who predominantly live in rural areas. And what happened? They got the extra money ages after the previous scheme had been introduced. They had to wait for a lifetime for it. Surely that is real evidence of rural proofing not having taken place.

So I hope I might get an answer to the question today of how the Bill has been rurally proofed. If not, we can fall back on the two amendments that I have put down. Amendment 303 simply requires that that answer be provided before the Act is implemented. Amendment 10 deals with mission statements and seeks to embed rural proofing in them, requiring

“a rural proofing report detailing the ways in which the levelling-up missions have regard to their impact on rural areas and will address the needs of rural communities”.

That is a pretty simple request, given that it is meant to be government policy anyway.

I believe it makes sense to take the steps outlined in these amendments, to make meaningful rural proofing a fundamental part of all levelling-up policy development, delivery and outcomes monitoring. Ideally, I would like to go even further, as they have already done in Northern Ireland, where rural proofing is on a much stronger legal footing. But that is perhaps for another day.

I hope we will not have to take these two amendments to a vote, because I hope we are going to get an answer to the question that I am now asking for the third time.

[Lord Carrington (CB)]

My Lords, I declare my rural interests as set out in the register. It gives me great pleasure to support the noble Lord, Lord Foster of Bath, on Amendment 10, as well as consequential Amendment 303. As he has said, he has been deeply involved in promoting rural issues for many years. Although progress has been made, in particular with the recent publication of the report Unleashing Rural Opportunity, there is a long way to go to address the disparity in productivity between urban and rural areas, which can differ by as much as 18%. We need to take into account issues such as housing, connectivity, transport and energy costs and it seems clear that, economically and socially, there is much more to be done.

The noble Lord, Lord Foster, mentioned many of the reports that have been written and the actions that have followed. I add two reports from the All-Party Parliamentary Group for Rural Business and the Rural Powerhouse, on which I sit. One was an inquiry into rural productivity and the rural premium, which explored the impact of the cost of living crisis in rural areas, the other an inquiry into rural productivity. Many organisations whose remit involves rural affairs contributed to these reports, including the CPRE, the CLA, the NFU, the Rural Services Network, the Federation of Small Businesses, Citizens Advice’s Rural Issues Group and many more.