(7 years, 8 months ago)
Grand CommitteeMy Lords, I am sure the mayoral system will be interesting—possibly in the Chinese sense—but if it is likely to work anywhere, it will undoubtedly be Manchester. I want to raise a couple of issues with the Minister.
First, of course the Government would like to see combined police and fire authorities. There are places where that might be suitable. But I take it that where there is a different view locally—as there would be in the north-east, for example, where we have different boundaries for the different services—there will not be any compulsion on authorities to go in that direction.
I am sorry to say that, having been spending my time on the next statutory instrument, I have forgotten what my second point was. Perhaps I will approach the Minister afterwards.
My Lords, first, I make my usual declaration of interests as in the register; specifically that I am a local councillor and a vice-president of the Local Government Association. The two orders before us I have no issue with, and my comments will be correspondingly brief. The Minister, the noble Lord, Lord Stunell, and my noble friend Lord Smith of Leigh, who is a member of the authority, are the experts here.
As we have heard, the orders transfer fire and rescue functions and police and crime commissioner functions to the mayor for Greater Manchester. I am pleased that we are having an election for this position on the first Thursday in May. These functions will then be transferred to this new elected person to be accountable for the delivery of these very important services to people living in the Greater Manchester area. At the same time, the office of police and crime commissioner and the Greater Manchester Fire and Rescue Authority will both be abolished.
I record my thanks to Tony Lloyd, who has been the PCC for Greater Manchester since 2012. Before that he was a Member of the other place for 29 years, for both Stretford and Manchester Central. In that time, he also served as the chair of the Parliamentary Labour Party, which is an interesting job to hold down, and he managed to hold it for six years until he left this place to become the PCC.
Escaped, yes. Anyway, it is important to put that on record. For both policing and fire and rescue services, specific functions can be exercised only by the mayor, although they will be able to appoint a deputy mayor for policing and crime.
The issue I have with these devolution deals in general—not this one specifically—is that I sometimes feel they are a little unclear and you get a sort of patchwork. I accept the point that areas can work with what they think they can cope with. Certainly, in this area, the Greater Manchester mayor will have considerable powers, in many respects similar to those of the Mayor of London. They will also have powers in respect of the health service.
I am sure the three noble Lords present today fully understand all the functions the mayor will take over, but I am not convinced that every Member of your Lordships’ House is fully aware, or members of the general public living in Greater Manchester and other places. We need to have a much wider discussion about where we are going with local government and all these functions. It is time for the Government to consider producing a Green Paper to enable proper debate about these functions in England. I have approved a number of these orders in recent weeks in this Room and the Chamber. They are all different and sometimes you cannot work out why. We need a discussion about where we are going with local government. All these positions are important, and it is important to have democratic control. Let us not forget that the individuals involved will be spending huge sums of council tax payers’ and taxpayers’ money. We must be clear who is there, why they are doing it and how we engage with them. But that is a discussion for another time.
As I said, I support the orders and I certainly wish the new Manchester mayor—whoever it is, although I hope, of course, that the Labour candidate gets elected—the very best in their new role.
My Lords, I have overcome my senior moment. I wanted to ask whether any consideration had been given to ambulance trusts, which are fairly unaccountable bodies but are, of course, part of the emergency services. Has there been any discussion with either trusts or local authorities about a different relationship—keeping that phrase fairly neutral—as regards the future of that service?
I thank all noble Lords who have taken part in this debate. I too must declare an interest as a former councillor and resident of Greater Manchester. I pay tribute to Tony Lloyd who has held the fort very well over the last couple of years in his role as interim mayor, and in all the roles he has held previously in government and local government. We have here three people who will be voting in the mayoral elections in May, so that is very good. The noble Lord, Lord Stunell, mentioned turnout. I recall an experience I had in Greater Manchester of probably the worst turnout in history: the Benchill by-election back in November or December 2001, where turnout was 8%. That was a depressing low. Looking forward to the mayoral elections, I was quite sceptical about the Mayor of London, but that is not a position for which any political party is scraping round for candidates. It is very sought-after and has gained a profile over the years, and I fully expect that will happen in Greater Manchester and elsewhere. As it does, visibility will grow and accountability will become a lot more obvious.
The noble Lord, Lord Smith—I was going to call him my noble friend, but he is really—talked about blue light services being brought back down to GM. The noble Lord, Lord Beecham, asked about ambulance trusts. It is within the gift of whichever combined authority to request collaboration in that regard, or that those matters be part of the devolved model. There are no limits to what the model may look at. That brings in the point made by the noble Lord, Lord Kennedy: that the different devolution deals are a bit of a patchwork. This is necessarily a patchwork because every area is different. For example, rural areas look very different from urban areas; they have different needs and different proposals. The noble Lord, Lord Kennedy, is smiling at me slightly but I said that on the then devolution Bill, and I firmly believe it. I say to the noble Lord, Lord Stunell, that the Liberal Democrats grilled me on accountability and scrutiny during the passage of that Bill. We have very rigorous structures in place, certainly in Greater Manchester and, I hope, elsewhere.
The noble Lord, Lord Beecham, asked about the compulsion to combine police and fire authority areas, particularly where they are not contiguous. There is absolutely no compulsion to do that. If they are not contiguous, such a move would require structural change anyway.
I think I have answered all the questions, but if not I will certainly come back to noble Lords.
(7 years, 9 months ago)
Lords ChamberWe do not want the county council network deciding on arbitration.
My Lords, I am still recovering from the shock of the support of the noble Lord, Lord Lansley, for anything I have said in this Chamber, particularly on this occasion. However, I am grateful for his support.
I am not sure where the Minister is leading us on situations where county councils are involved or invited to become involved, because it is not clear what happens if they decline.
My Lords, I come to this order with a slightly different approach and a different range of concerns from those on which I expect my noble friend will concentrate. We are now in a situation where, whatever happens to the process as outlined by the noble Baroness, the constituency boundaries at the next general election will—contrary to the recommendation of the Electoral Commission—be based on the register as it stood in December 2015. Of course, that does not mean that anyone registering since that date will not have a vote, but it means that the constituency boundaries will not necessarily reflect the, I hope, improved system of registration. Let me give an illustration of the potential differences. In my own city of Newcastle, the number on the electoral register as of last December was 183,961, and it is now 190,770, which is an increase of 6,809 or, by my calculation, an increase of 3.7% on the figure that will be the basis on which the new constituency boundaries are drawn.
The Government have introduced other significant changes, using their majority in another place, to change the whole system. I say that because local authority boundaries will become irrelevant under the new dispensation. I am wondering whether the Minister has—I do not blame her if she has not—seen the report by Lewis Baston, who is an expert in these matters. He recently produced a report for the Constitution Society in which, among other things, he states:
“As it currently stands under IER, the electoral register is too incomplete and unstable to provide a suitable basis for allocating parliamentary representation”.
He says:
“There have been noticeable levels of under-representation, which has varied with social and demographic characteristics”.
He also says:
“The use of the December 2015 purged register has also had a regional effect. London has three seats fewer than it should. Nationally, it has mainly affected urban areas, with the big core cities in particular had poor net completeness in electorate registration”.
However much that is corrected, partly as a result of the order we are discussing, it will not affect the boundaries that will apply in the next Parliament.
Lewis Baston also says:
“If the register numbers in December 2015 are inaccurate”—
they clearly were—
“the boundary review will contaminate the entire basis of the electoral system”.
He points out in relation to the discussions and debates before the boundary review was implemented that the,
“warnings made in 2014, of damage to the representation of London and the metropolitan areas, have come true and the map drawn in the 2016-18 boundary review will under-represent these areas”.
It is of course entirely coincidental that those are the areas in which the Labour Party is currently most strongly represented.
Lewis Baston goes on:
“The dramatic variations in total electorate that have taken place … between December 2012 and December 2015 undermine the idea that at any stage the electoral register is a reasonable estimate of the total local population entitled to vote”.
He cites examples demonstrating that in some places, such as Liverpool, the estimated net completeness of the register as at December 2015 is as low as 81%. By definition, it is therefore about 20% short of what the figure should really be. I repeat that that does not stop voters being registered, but it means the boundary situation has in effect been corrupted. One of the problems, as he concludes, is that there is,
“simply nothing that can be done under the current rules to rectify the problem that student constituencies are likely to be oversized (in terms of registered electors) when the election takes place”.
That is one facet of an issue which is generally of much wider application.
I am not sure whether the Minister will be able to respond to this today, but in my submission there is a very strong case for the Government to review and, indeed, to alter their decision to require the next general election, or at least any general election taking place after 2017, to be held on the basis of the boundaries as currently drawn. There is a need for a proper review of constituency boundaries to reflect the increase in the electoral register and other changes, which, I repeat, the order will help to facilitate. If the Government do not do so, they will have taken such a decision because they perceive a political advantage for the Conservative Party. That is no way in which a democratic process should be regulated, and I hope that the Government will reconsider their position. I repeat that they will return to the recommendations made by the Electoral Commission, who should be consulted in the light of the developing circumstances as we now see them.
My Lords, I record my local government interests and very much endorse some of the remarks made by my noble friends. Given the extension of the area now to parts not actually connected to the major authorities in what was the county of the West Midlands metropolitan area, we are apparently seeing a revival of what was the Anglo-Saxon kingdom of Mercia, part of the heptarchy about which I recall reading in my copy of the Anglo-Saxon Chronicle some considerable time ago. There is an interesting expression of view about this. The NAO report identifies this, with the local geography, and states in terms:
“The devolution deals agreed so far involve increasingly complex and administrative and governance configurations, and there are risks around alignment with the administrative geographical areas for other linked policies”.
That is certainly reflected in the view of the Secondary Legislation Scrutiny Committee, which states:
“We would also comment that the apparent ‘combination creep’ of the West Midlands arrangements to involve non-constituent councils must add to the complexity, and highlights even further the far-reaching impact of the changes to local government structures which are being taken forward through secondary legislation”.
An example of that is contained very graphically in the order which we are dealing with tonight—the precursor to the devolution deal, which is presumably the object of the Government and perhaps those who are signing up to it. The order says that:
“A decision on a question relating to any of the matters specified in sub-paragraph (6) requires both … a unanimous vote in favour by all members appointed by the constituent councils, or substitute members … present and voting on that question … and … where members appointed by the non-constituent councils or appointed from the Local Enterprise Partnerships have been given voting rights by resolution … a simple majority of all members of the combined authority who are entitled to vote on the question to be decided (including substitute members, acting in place of those members) present and voting on that question at a meeting of the Combined Authority”.
That is a wonderfully crystal-clear administrative process which everybody no doubt is expected to understand and implement. It illustrates the complexity of some of these proposals.
I want to refer to the financial issue because we have heard little about that thus far. The Government have already made clear their intention to make additional investment funding available. That sounds rather good. We are told that in the north-east there will be, over 30 years, some £30 million a year added—that is £900 million to the North East Combined Authority. Gateshead at the moment has decided not to participate in a joint authority so there will potentially be a hole in the middle of our new doughnut. That aside, even if it is not part of this deal, it is only £30 million a year of capital investment between six councils. That is £5 million a year per council. It is peanuts. It is nothing in comparison to the vast amount of money that has been lost to local government in the region.
The same goes elsewhere. The NAO report has a table of the amount of additional investment involved in the devolution deals. It expresses that both in gross and per capita terms. It is quite interesting to look at how much the per capita annual amounts run to. In the West Midlands it will be £13 per head. That is towards the bottom end of the range. The region that will get the most is the West of England with £27 per head. My own region will get £15 a head. The smallest, rather surprisingly one might have thought given the fanfare of publicity about it, will be Greater Manchester, which will get only £11 a head.
The total, which is the more interesting point in many ways, for the 15.5 million people who will be included in the areas being considered will be £246 million a year. That is not a great deal of money given the size of the population but it pales into insignificance from the existing funding which comes from the annual growth fund, which is £461 million. The total capital spending of constituent local authorities is £4.4 billion. This is a tiny fraction added to what is currently being spent. The notion that somehow there will be a great revolution in terms of investment in these areas is complete nonsense. It is a very modest addition to what is currently being spent.
There is another question, of course: how are these combined authorities and their services to be financed—in revenue, not capital, terms—since local government will essentially now have to depend on business rates? How will that system work? What elements of redistribution will ensure that those areas with a smaller business rate base will not be disadvantaged in what they will be able to gather from their local businesses compared with better-off authorities? What redistribution methods are the Government examining and when will we have an indication of how they will play out in practice?
I am certainly sympathetic to the notion of devolution, but I am concerned, to use a phrase that I have perhaps overworked in this place, that we may see an example of the Government passing the buck but not the bucks. On the face of it, from the figures in the NAO report, that is certainly likely. We have to recognise that authorities are being put in an invidious position. As my noble friends have pointed out, it is all very well to say that they do not have to have a mayor, but if they do not have a mayor they do not get the deals. That is the reality. Pretty crude blackmail is being applied. It is unfortunate, because we ought to be able to move to a more devolved system of government, entrusting locally elected, responsible people with decision-making in their area, in partnership with the Government.
I make another plea, as I have often made in this House and elsewhere, that the Government think again about their relationships with these areas and revive what a Conservative Government introduced more than 40 years ago—one of its leading Secretaries of State is in his place—when we had government regional offices, where all departments in government eventually came to be represented in an area and a constructive, constant dialogue was made between the local authorities and the various branches of government. If we are to have any kind of devolved system, we need to look again at reinstating that provision.
I hope we can make progress. I entirely endorse what my noble friends Lord Hunt and Lord Kennedy said about the undesirability of imposing a mayoral system on these areas—particularly given what was said about a police and crime commissioner elsewhere—when the mayoral role will now absorb that of the police and crime commissioner, and presumably, if the Home Secretary has her way, of the fire service as well. An enormous amount of power will be concentrated in that single pair of hands. That is a matter of concern as well. I hope that we will see some progress here.
I raised my final concern in connection with another order some time ago affecting the Sheffield region, where district councils from the counties of Nottinghamshire and Derbyshire were keen to be involved because they are in Sheffield’s economic area. Therefore, for some purposes, as with the district councils in this order, they can have a connection, in this case with what we can crudely call the West Midlands, for economic and transport purposes, but will still have their connection with their own county councils—it might be a unitary council in the case of Shropshire—for other services. Yet, health and social care may well come on the agenda. They could find themselves in a position where they are between two counties. My suspicion—I may be too suspicious about this—is that this will create a backdoor reorganisation of local government and we will have new kinds of unitary authorities not corresponding to the present pattern. That is a concern to many Conservatives in local government, as well as some of the rest of us. It would be interesting if the Minister were able to comment on how the Government will approach such suggestions—it is fairly clear from the Sheffield experience that they are likely to endorse them—that would lead ultimately to a reconfiguration of local government on a scale that we have not seen in the last 25 years or so. That is creeping up on us and has not been adequately explored or debated.
My noble friend just reminded me that I should have declared my own local government interests. I do so now before the end of the debate: I am a local councillor in the London Borough of Lewisham.
My noble friend is anticipating the result, I hope correctly. This amendment deals with one aspect of the pay-to-stay provisions which have been very controversial. I shall reiterate briefly that the rationale for the provisions is based on a myth; namely, that council housing in particular is subsidised and therefore people with what is regarded as a high income are being subsidised by the taxpayer. In fact, of course, the housing revenue accounts of councils are not subsidised. Councils are obliged to balance the books and do so through the rent system. Paradoxically, however, what we may find under the pay-to-stay provisions is that the so-called high-income residents will be subsidising the taxpayer, rather than the other way round, because the money raised from the increase to be applied will go to the Treasury.
In a useful discussion with the Secretary of State and the Minister, I suggested that at the very least there should be some indexation of the income levels to reflect the increases which one anticipates will continue to take place in the consumer prices index. The amendment seeks to provide that this could take place on the basis of a triennial review to update the levels by the rise, if there is one, in CPI. That seems reasonable and the Secretary of State thought so too. I had hoped that the Government might come forward with an amendment, but they have not done so. I assume, however, that their view has not changed and I trust that the noble Baroness will—
My Lords, as this is my first proper intervention in today's proceedings, notwithstanding the questions I asked in the previous debate, I refer Members to my entry in the Register of Members’ Interests and also declare that I am a councillor in the London Borough of Lewisham.
I should also say in this opening contribution, as I have voiced in previous debates, that our proper consideration of this Bill and all its clauses and schedules is made all the more difficult because of the poor handling of the Bill through Parliament by the Government. I do not feel that it is going to be any better today. It is a scandal how poorly prepared the Government are. At every session we are either highlighting new problems or discovering new issues that will make the implementation of the measures in the Bill even more difficult to deliver.
This Bill should have been proposed in the Queen’s Speech in May this year, having had proper pre-legislative scrutiny in this Session of Parliament. I should further add that running three days of Committee in a row next week is not, in my opinion, ensuring that we get the best out of these debates. It makes preparation for debates difficult and the scrutiny process very difficult.
With today’s Committee day and then three days next week—and, I understand, proposals for two of the first three days when we return after Easter being reserved for Report, it means that, including today’s debate, the main business in six of the next seven days in your Lordships’ House will be the Housing and Planning Bill. It is not a good way to proceed; not a good way to make legislation; not a good way to treat Parliament; not a good way to treat local authorities which are trying to understand what is happening and interject with their views; not a good way to treat the voluntary sector which is trying to keep up with what is going on and give its views; and not a good way for the Government to be seen to be taking on board the views expressed to them, and hopefully responding to them. It is all unsatisfactory and all of the Government’s own making.
I agree entirely. It is not good for the Minister or indeed for all Members of your Lordships’ House; there are many Members who have been here all the time for these debates.
Amendment 83 in my name and that of my noble friend Lord Beecham is quite simple in its intention and, hopefully, will cause the Government no problems at all. That said, I often think that my amendments will help the Government and improve the legislation and should be of no concern at all, but so far I have not been able to persuade them of that fact. Still, we carry on in the hope that on Report the issues and concerns that we have raised will be responded to, because, although we do not like the Bill, we fully understand our role as a revising Chamber in seeking to improve the Bill before it becomes an Act of Parliament.
The amendment seeks to add, in an additional clause, that those with an entry on the database of rogue landlords and letting agents cannot be granted an HMO licence. A house in multiple occupation is a property rented by at least three people who are not from one family but who share facilities such as the bathroom and the kitchen. A licence is required if the property is rented out to five or more people who are from more than one family, the property is at least three storeys high and tenants share facilities such as the toilet, the bathroom or the kitchen. It is important that people identified as rogue landlords should be specifically unable to rent out properties as houses in multiple occupation and should be prevented from obtaining a licence to rent out such properties. My amendment is clear, straightforward and simple. I look forward to the Government’s response, and I beg to move.
Can the Minister repeat for the Committee what the Government’s problem is with Amendment 69A? It would not stop them doing anything. It is just a sunset clause and would provide them with the ability, if they proceed with the policy and find an issue with it, to stop it. If they wanted to carry on, they would bring forward the affirmative regulations to do so. I do not see what the major problem is. If the Minister could repeat her reasons, it would be very helpful.
Before the noble Baroness answers my noble friend, perhaps I may add to his question—it is the same point but viewed from a slightly different angle. If it turns out that the scheme is not working, on the face of it that would require the Government to bring in primary legislation to change the duty. What the amendment offers is a way of dealing with matters, if required, by secondary legislation, where that difficulty is much less—in fact, we complain about it being less much of the time. In this case, it would surely be a better way of dealing with it than imposing a duty to come back with primary legislation if the scheme proved not to be working properly.
I have a final final question for the Minister. She said that the Government are going to discuss matters with Citizens Advice and tenants groups. I very much welcome that. But are we to infer from that that until now they have not discussed the scheme and how it might work—that they will be discussing the final scheme, as it were, and how both groups might advise residents, as opposed to involving them in the first place in designing this scheme?
Perhaps I might make one final comment—it will be my last on this group. Will the Minister agree to reflect on some of the comments made in this debate and the previous debate, particularly the comments of my noble friend Lady Hollis? In the previous debate we were talking about income levels and rent levels changing almost weekly or monthly, but here the Government want a consistent level. For me, the two debates highlight some inconsistency and we need to look at that. Again, we do not want to get ourselves into difficulties in the future.
My Lords, I thank all noble Lords who have spoken in this debate today. The noble Lord, Lord Shipley, made some very important points about us all being in policy silos. That has been demonstrated by the discussions we have had in the debate this evening.
The noble Lord, Lord Best, and others, talked about the NPPF guidance, the starter home obligations and the resultant conflict which needs to be addressed very seriously by the Government. There is clearly a conflict and that cannot be right, and it will not be sustainable. The noble Lord, Lord Young of Cookham, referred to what is happening in Chichester. I had a look at the article he referred to. It went on to say that from 30% affordable housing it moved to 50% starter homes, no affordable housing, no nomination rights and no local connections—not all good news, I suggest.
The noble Lord, Lord Kerslake, spoke about the overriding nature of the starter-home proposals in relation to other housing tenures and how this will replace much-needed social rented housing. There are real issues there about what will happen in future years, as we heard earlier. The noble Earl, Lord Listowel, talked about people living in poor housing accommodation. I must say that that reminded me of my parents’ excitement when they got the letter from Southwark Council saying that we were going to be rehoused. I was about nine years old and we lived in some quite poor, damp, unsuitable property. We moved to a clean, warm, dry, safe—and, I must say, large—council flat. I am the eldest of four children. I had my own bedroom and no longer had to share with my brother. We were both delighted and the lives of the whole family improved just by moving to that new property.
The noble Lord, Lord Stoneham of Droxford, raised the important point about rising homelessness and also the increasing housing benefit bill with more homes being in the private rented sector. My noble friend Lady Royall of Blaisdon highlighted the importance of good social housing as part of a proper mix and the particular challenge in rural areas, as did the noble Lord, Lord Cameron of Dillington. My noble friend Lady Hollis of Heigham set out with her usual skill how a successful local policy on housing, properly planned and delivered, can have enormous benefits and deliver the stable communities and economic benefits that we all want to see.
This has been an interesting and useful debate, and I hope that the Minister can take back to the department our deep concern at these proposals. I hope that she will reflect fully on this debate but also on the other debates we have had today. With that, I beg leave to withdraw the amendment.
My Lords, I wonder, having regard to other affordable issues such as affordable transport for members of the staff, whether it might be possible just to refer over the next two minutes to some information from Savills which may be relevant to our further discussions. I gather that a penny or two has dropped with the Minister.
In one of its many contributions to the debate, Savills said that as it currently stands, the biggest concern is that the starter homes policy could distort a new-home sale market without significantly increasing the number of new homes delivered overall. It explained that there was a risk that starter homes could cannibalise help-to-buy sales as well as existing open-market sales aimed at first-time buyers. Furthermore, Savills states that the classification of starter homes as a form of affordable housing under planning rules, and the duty on local authorities to promote the supply of starter homes, is likely to result in fewer homes being delivered for what is currently classified as an affordable tenure. It therefore expects to see fewer homes delivered for affordable rent.
Given the lack of detail released, it is not clear what the interaction would be between shared ownership and starter homes. Perhaps as we go forward into subsequent debates about this proposal, the Minister could give a clear indication of the detail behind these schemes. It appears that there is a clear overlap between parts of the market likely to be served by Help to Buy, starter homes and shared ownership, particularly in London. We have not heard anything as yet about Help to Buy, and the relationship of this new scheme to that and the possible impact on Help to Buy. There seems to be some thinking that the two might merge. That is a matter that perhaps the Minister might consider, either in writing or in subsequent debate.
I thank my noble friend. I was getting a bit nervous there; I thought he was going to intervene on me, but we are a good double act. Having said that, I think it has been a very good debate this evening. I hope that the Minister will look at this issue very carefully because it will almost certainly come back on Report. I beg leave to withdraw the amendment.
(8 years, 10 months ago)
Lords ChamberWe have repeatedly supported the idea of votes for 16 and 17 year-olds. I think noble Lords will find that the position of the noble Lord today is a tactical one.
When it comes to sitting on their hands, few better exponents of that philosophy could be found than those on the Liberal Democrat Benches. They sat on their hands and colluded with the enormous damage inflicted on local government and elsewhere for five years. They are not in any position to lecture us about anything around consistency. Furthermore, it is quite clear that the Government’s unfortunate position on this has been confirmed on three or four occasions in votes at the other end. We are not in a position to change that. Noble Lords on the Liberal Democrat Benches know that it will not change. This is gesture politics of a typical kind and we ought to have nothing whatever to do with it. When we get a change of Government, we will see a change in the voting age, not only for local authority elections but for parliamentary elections, European elections and any future referendums.