Office for Demographic Change Bill [HL] Debate
Full Debate: Read Full DebateLord Hodgson of Astley Abbotts
Main Page: Lord Hodgson of Astley Abbotts (Conservative - Life peer)Department Debates - View all Lord Hodgson of Astley Abbotts's debates with the Cabinet Office
(2 years, 9 months ago)
Lords ChamberMy Lords, it may seem inappropriate, perhaps even in bad taste, to be discussing 20 to 25-year projections of our population when on the other side of Europe, a country’s cities are being reduced to rubble. The situation in Ukraine is fast-moving and this country must play its part both in providing shelter for those who have fled and, no less importantly, in assisting those who wish to return home to help restore their homeland to peaceful prosperity. Nothing I say in the next few minutes should be seen as in any way reducing our duty to help the people of Ukraine.
One of the downsides of a five-year electoral system is that complex issues that have consequences stretching into the future—what the insurance companies call “long tail” issues—tend to be avoided. Keynes was undoubtedly right when he said:
“In the long run we are all dead”,
but political death can come every five years. However, the general public are not foolish. They know when complicated decisions are being avoided, and each time Governments dodge these decisions, trust and confidence is marginally further reduced. This cannot be good for our democratic way of life.
That takes me to the Bill, for in few areas have the long-term concerns of the general public been so consistently overlooked by successive Governments as that of demographic or population change. Let me give just a couple of numbers. The last 25 years saw our population grow by 9.1 million to 67.1 million, made up of a mixture of natural increase and net migration. The most recent ONS projections suggest that the population will grow by just under another 4 million by 2045, and that annual population growth will remain not far below historic levels at just under 285,000 per annum. It is important to remember what this figure means: 285,000 per annum means an average daily increase of 780, or 5,500 per week. It means we are putting a large village—a small town—on to the map of the UK every week, 52 weeks a year; and, 4 million people is roughly one and a half cities the size of Manchester.
Raising these uncomfortable truths is dangerous, because one can variously be called a narrow-minded little Englander, an economic illiterate, a closet racist, a eugenicist or sometimes all four. But my concern is not about people’s race, colour or creed. It is not about seeking to shut the door to all new arrivals—we all recognise the cultural and economic dynamic that new arrivals bring—but it is about the scale of population increase. It is about the impact that scale will have on the country we leave to our children and grandchildren. And it is about the fact that the Government have no strategic plan to address the multifaceted challenges that population change inevitably brings.
Am I alone in my concern? Most certainly I am not. In connection with this Bill, I commissioned some polling by Focaldata. This revealed that 71% of the population are concerned about the impact of the forecast further population increases. In case Members of your Lordships’ House think this is a concern to the white British community only, I asked the polling company to focus on ethnic minority communities. The answer there was that 60% were similarly concerned.
Everyone needs to recognise that any demographic change—up or down—results in trade-offs. Over the next couple of minutes, I shall identify a few of the most important. Most people look at population growth through an economic prism of increasing our total national GDP. Of equal relevance is how this increase has been shared out. The truth is that, measured by median wages per head, the rapid population growth of the past 25 years does not appear to have benefited a large number of our fellow citizens. Another reason is to redress the current imbalance in the structure of our population, especially as regards the social care sector. Today’s young people are inevitably tomorrow’s old people, requiring yet more people to look after them, resulting in what David Attenborough has memorably called a population Ponzi scheme.
Meanwhile, these new people require homes, schools and hospitals. We live on average as 2.3 people per dwelling. A population which is growing, as it is, by 780 per day requires 339 new dwellings every day, 14 every hour, or one every four minutes, night and day. As Danny Dorling, Professor of Geography at the University of Oxford, has pointed out, we are concreting over our country at a faster rate than at any time in our history. Of course, we also need to remember Robert Kennedy’s famous phrase that GDP measures almost everything except that which makes life worth living. The trade-offs of population growth in environmental, ecological and societal terms are considerable.
Therefore, I argue that there is an urgent need to address this formidable range of issues and, no less importantly, at the same time reassure the general public that they are being addressed. One way to achieve this would be to create a new independent body to provide transparent, evidence-based, strategic commentary on this country’s demographic future. I call this body the office for demographic change, or ODC. I have used the design of the existing Office for Budget Responsibility as a model.
How would it work? Clause 2 of my Bill would require the Government to prepare annually a statement setting out their policies in relation to anticipated changes in the demography of the United Kingdom. Clause 1 establishes the ODC and imposes a series of duties on it. Clause 1(2) proposes duties to collect evidence about the impact of population change, in particular in relation to the Government’s own stated demographic objectives. Clause 1(4) specifies a number of assessments that the ODC is required to make, in particular on the ability of the country to comply with its existing treaty obligations, such as those relating to climate change. Clause 1(3) requires the ODC to report at least annually, with the reports being laid before Parliament for debate by both Houses, which is an important aspect of restoring public trust and confidence in this policy area. Clause 1(5) gives the ODC complete discretion as to how to perform these duties, provided that it is objective, transparent and impartial. Importantly, the same clause ensures that the ODC cannot consider the impact of any alternative policies: it is an analyst of the Government’s demographic policies, not a creator of them.
Let me pull together the threads of my argument. The United Kingdom is already a relatively crowded island. For example, it is three times as densely populated as France, and England will soon overtake the Netherlands as the most densely populated country in Europe. Crucially, nearly 60% of the inhabitants of this country believe it is already overcrowded. The Government now need to take positive steps to respond to this continuing high level of public concern.
I have not been able to see my noble friend’s speaking notes for his reply to this debate, but I very much hope that he will not say that all these issues are being addressed by the Migration Advisory Committee—they are not. The MAC, which is a perfectly fine body, looks at one issue only: the impact of migration on employment prospects and the consequent general impact on the economy. The MAC could, and should, usefully be subsumed into the new ODC, but in no way does the MAC address the wider environmental, ecological and social issues.
Creating an ODC would provide a means of bringing together and balancing the views of economists and business leaders; ecologists and environmentalists; and social scientists and local communities. It would represent an entirely fresh way of looking at our demographic future and the trade-offs which inevitably will be required. I do not pretend that this will be easy.
In his book The New World Order, Henry Kissinger wrote:
“To undertake a journey on a road never before traveled requires character and courage: character because the choice is not obvious; courage because the road will be lonely at first.”
I hope that the Government, and indeed the opposition parties, will on this occasion show the necessary character and courage. I beg to move.
My Lords, I thank my noble friend for initiating this debate. Of course, as with the noble Lord opposite, I understand fully that he is not making any statement about the terrible events in Ukraine, which we all condemn and regard with the utmost horror. I might add, as a student over many decades of the history of the Orthodox Christian world, that I find it tragic to see the humane, literary culture of the great Russian nation being traduced by a tyrant and its history and faith being distorted and abused to justify this foul and impious war and the massacre of innocents.
Perhaps I ought to add another personal reflection and declare an interest as a vice-president of the LGA, although I have been retired from local government for some time now. As a long-time council leader, I know the importance of accurate demographic information. That is certainly an objective that we all share and that the country requires.
I also agree with everybody who has spoken—my noble friend Lady Neville-Rolfe put it very well—that long-term planning is important. I do not think that Governments of all shapes and sizes have been very good at this. I had the privilege of chairing a Select Committee of your Lordships’ House on intergenerational fairness, with the noble Baroness, Lady Greengross, as a colleague. I think it true to say that we found that things could be done better by all Governments, and in Whitehall, when it comes to looking forward.
I thank all noble Lords who have spoken today for their thoughtful contributions. As my noble friend’s Bill points out, in a sense, at the heart of good policy-making are the proper use of data and the production of statistics. Understanding the growth, change and distribution of the UK population and its impact is certainly important for immediate policy concerns, as in local government, and for planning for the future.
But—here I ask a similar question to the noble Lord, Lord Bassam—in our judgment the Office for National Statistics serves as a model the world over in its production of statistics. First and foremost, this includes the census programme, with data collected last year and due to be published later this year for Northern Ireland, England and Wales. Alongside this excellent piece of work, the ONS works to produce regular updates on population statistics and makes regular forecasts for demographic change alongside its annual population estimates. I know this to be an area of great focus for the current National Statistician and everyone working at the ONS.
Much of the work my noble friend is suggesting that this new office of demographic statistics might conduct is already catered for by the Office for National Statistics. I do not know whether he is suggesting taking this work away from its current home and putting it into a new body. If so, that would be needlessly disruptive, could be a source of duplication and is likely to incur unnecessary costs for the taxpayer.
As I acknowledged at the outset, we can always improve on how this data is used in decision-making. The Office for National Statistics is planning on running a master class on how using data can better inform decision-making for policymakers. I understand that it is also developing a session specifically on improving understanding of demographic data and its impact on policy-making. I hope it will make information on that available to your Lordships in due course.
On what the Government are already doing in this area, the Green Book commits policymakers to
“consider whether longer term structural changes may occur in the economy or society”,
which include demographic changes. As part of this, the OBR uses demographic statistics as part of its economic and fiscal forecasting, and both national and local government regularly use ONS population and household projections in long-term planning for health, social care, education and pensions.
On the broader point about how to think about demographic change, I submit to my noble friend that while most of the issues he raises are clearly of great significance, demographic change is only one factor in our policy responses. We certainly face challenges as a growing nation—most of those who spoke addressed this—but the idea that the only solution to this is to somehow fix our population to some concept of a manageable level is too pessimistic about what we can achieve through advances in technology and considered policy-making.
Like most of us, I was born into a nation much smaller in population than it is today. There have been challenges, about which many have spoken, but we have also seen great improvements and advancements in our way of life in our lifetime, and that is true for all parts of the nation and all sections of the population, despite the poverty and problems that existed and still exist in our nation today. The Government can always do more in terms of measuring the impact we have on the environment—I agree with those who have made this point—and how we best deliver for a changing country, but to view all this through the lens of demographic change is too simplistic and not what best serves the country.
However, in relation to immigration, the Government have clear commitments, not always recognised in your Lordships’ House. We have moved, as we promised in 2019, to overhaul our immigration system by ending the free movement of people into the United Kingdom, taking back control of our borders, introducing a points-based immigration system, welcoming in-demand workers and offering a range of new and bespoke visas, making it easier to attract and retain the best and brightest talent. But the question runs slightly wider than that.
The Office for Budget Responsibility, which my noble friend has aimed to emulate with this proposed office, has a clearly defined remit as to what it makes its forecasts on, and its oversight of policy areas is largely restricted to the fiscal domain. This office for demographic change would, however, reach far and wide across government policy, and while its assessments and forecasts might be of interest to policymakers, this type of analysis rightly belongs in various policy departments. It is important that they do that analysis—there I agree with my noble friend—but to have such a swathe of policies constantly under review by a government body that is charged with assessing policy through this one lens is not necessarily the most conducive to good policy-making. So while the Government of course welcome scrutiny of our policies and their impacts, we believe this is generally best done by Parliament and third-sector organisations, except in a limited number of cases.
I am sure my noble friend will continue to advise and reflect on these important policy issues and we will continue to listen keenly to what he and all other noble Lords who have spoken have to say on how we best go about addressing the important challenges that he raises, but it is not the Government’s preferred approach to set up new public bodies, nor do we think it is necessary in this case, so we cannot support setting up the organisation he proposes in the Bill. Despite a productive discussion today, to which I have listened carefully, the Government have reservations about the specific proposals put before us. Therefore I must ask that, as the Bill goes forward, everyone across this House carefully considers the specific implications of these proposals.
My Lords, I am very grateful to all those who have participated in this debate. I absolutely recognise that this is a very delicate and difficult subject in which almost anything one says is capable of being misinterpreted, and frequently is. Therefore, I do not so much want people to agree with me—although I would like them to—as for this to become a respectable matter to discuss, which it has not been. Out there, a lot of people feel they cannot talk about it because they will be attacked for that.
Briefly, I thank the noble Viscount, Lord Craigavon, who talked about the disjointed approach to this whole policy. He said that I had drawn the ODC too tightly, but my noble friend on the Front Bench said I had drawn it too broadly, so I think I am pretty much in the right place, in that case. I thank my noble friend Lady Neville-Rolfe for her support. She asked about costs. The MAC costs £900,000 a year—that is the MAC’s budget. I think the MAC should be subsumed into this body, so when my noble friend the Minister says we are going to create a new body, we are not, we are going to get rid of one. I know that “one in, one out” is part of the Government’s policy, therefore I think that probably 1.5 million to 2 million quid would cover the enlarged body. I thank the noble Baroness, Lady Greengross, with her knowledge about the impact of demographic change on older people, and my noble friend the Earl of Shrewsbury with his knowledge about reskilling and the impact of new arrivals on that.
The noble Lord, Lord Green of Deddington, has faced, and put up, uncomfortable truths for many years. From time to time, I have been ashamed by how he has been treated by the House. Every Member of your Lordships’ House is entitled to be treated with respect. His style may be a trifle uncompromising sometimes—I accept that. Nevertheless, his facts and figures are accurate, even if some noble Lords find uncomfortable some of the conclusions which may have to be drawn from them.
I thank my noble friend Lord Horam for his comments on long-term thinking going wider than just the economy and being crowded. I think the only state in the US which is as crowded as the UK is New Jersey.
The noble Lord, Lord Bassam, and I have had common cause on many occasions in the past—and no doubt will again in the future. He is, as one would say at the pub, “a decent bloke”. However, I must say that this was a very, very sorry performance. Overcrowded Islands? had a question mark after it. What is wrong with the current data? What is wrong with the Migration Advisory Committee? We have heard several noble Lords talk about this. I will not detain the House by discussing how we would deal with the situation in Ukraine, but I could.
I say to the noble Lord that he is faced with a problem—namely, he is talking to two audiences. The first is the elite in the big cities and university towns. They regard this subject as insufferably vulgar, prejudiced and populist. The latter is the insult of the chattering classes. They believe that it will be all right on the night and that, if we stop talking about it everything will be fine. The rest of the country, however—if you go back to my old seat in Walsall North, the West Midlands, or elsewhere—is a completely different world. Do they think that there is an issue here? You bet they do. I must say to the noble Lord that, before we get to the next election, the Labour Party must decide where this fits. The red wall seats ain’t going to come back if what the noble Lord has espoused today is the Labour Party’s policy at the next election. This was one of the major reasons for them coming to us in the first place.
To correct the noble Lord, I say briefly that my party and I recognise the importance of these issues, but this is not the right way to set about having that debate. That is the difference between the noble Lord and me.
I am very happy to accept that rejoinder.
I say to the Minister: am I surprised? No. Am I disappointed? Yes. Are the ONS and MAC providing enough? We know that they are not; they are not joining up the dots. He had to read out the cost to the taxpayer of from £1.5 million to £2 million. Frankly, demographic change is an important part of any levelling-up policy—the flagship policy of this Government. What demography does will have an impact on our ability to deliver this. After giving a challenge to the noble Lord, Lord Bassam, I give one to my noble friend. We lost the Chesham and Amersham by-election because of building in the green belt. Now, we are proposing to build all across the green belts in our shire counties in the south-east of England and in other parts of the country. It is intensely unpopular and, unless we show people that we are doing something about it, we shall rue the day. I had hoped that when my noble friend came to the Dispatch Box that we would get the noble Lord, Lord Botham. In fact, we got Geoffrey Boycott.
I will end with two very brief quotations. The first is from David Aaronovitch, a writer from the Times I often quote, who said:
“I have a regular correspondent—let us call him Igor—who writes to me from Offa’s Dyke … Running through Igor’s protestations is a sense of bewilderment. And in this he captures what I now feel. What many of us are feeling and expressing. How could they? Why would they? Why didn’t we know? What is it about them that we just don’t get?”
Secondly, Octavia Hill, co-founder of the National Trust, wrote:
“We all want quiet. We all want beauty ... We all need space. Unless we have it, we cannot reach that sense of quiet in which whispers of better things come to us gently.”
The underlying purpose of the ODC is to provide for Igor, and millions like him all across the country,
“that sense of quiet which whispers of betting things will come to him gently.”
I commend the Bill to the House.
Bill read a second time and committed to a Committee of the Whole House.