Moved by
232: After Schedule 6, insert the following new Schedule—
“ScheduleMayoral Development Corporations for planning and development purposes: amendment of the Localism Act 2011Introduction
1 The Localism Act 2011 is amended in accordance with this Schedule.Part 8
2 In the heading of Part 8, after “London” insert “and areas of other mayoral strategic authorities”.Interpretation
3 In section 196—(a) before the definition of “the Mayor” insert—““CCA” means a combined county authority established under Chapter 1 of Part 2 of the Levelling-up and Regeneration Act 2023;“combined authority” means a combined authority established under Part 6 of the Local Democracy, Economic Development and Construction Act 2009;“constituent council” means—(a) in relation to a combined authority—(i) a county council the whole or any part of whose area is within the area of the authority, or(ii) a district council whose area is within the area of the authority;(b) in relation to a CCA—(i) a county council for an area within the area of the authority, or(ii) a unitary district council for an area within the area of the authority;and here “unitary district council” means the council for a district for which there is no county council;”;(b) for the definition of “the Mayor” substitute—““the Mayor” means—(a) the Mayor of London,(b) the mayor for the area of a combined authority, or(c) the mayor for the area of a CCA;”;(c) after the definition of “MDC” insert—““strategic authority area” means—(a) in relation to the Mayor of London or a mayoral development area designated by that Mayor, Greater London;(b) in relation to the mayor for the area of a combined authority or a mayoral development area designated by the mayor for such an area, the area of the combined authority, or(c) in relation to the mayor for the area of a CCA or a mayoral development area designated by the mayor for such an area, the area of the CCA;”.Designation of Mayoral development areas
4 (1) Section 197 is amended in accordance with this paragraph.(2) In subsection (1), for “Greater London” substitute “a strategic authority area”.(3) In subsection (3), in the words before paragraph (a), for “the Mayor” substitute “the Mayor of London”.(4) After subsection (5) insert—“(5A) The mayor for the area of a combined authority or CCA may designate a Mayoral development area only if—(a) the Mayor considers that designation of the area is expedient for furthering economic development and regeneration in the strategic authority area,(b) the Mayor has consulted the persons specified by subsection (5B) and, if applicable, subsection (5C),(c) the Mayor has had regard to any comments made in response by the consultees,(d) in the event that those comments include comments made by a constituent council or a district council consulted under subsection (5C) that are comments that the Mayor does not accept, the Mayor has published a statement giving the reasons for the non-acceptance,(e) the Mayor has laid before the combined authority or CCA, in accordance with its standing orders, a document stating that the Mayor is proposing to designate the area, and(f) the combined authority or CCA approves the proposal.(5B) The persons who have to be consulted before an area may be designated are—(a) the constituent councils,(b) each Member of Parliament whose parliamentary constituency contains any part of the area, and(c) any other person whom the Mayor considers it appropriate to consult.(5C) In the case of a combined county authority, any district council whose local authority area contains any part of the area also has to be consulted before the area may be designated.(5D) For the purposes of subsection (5A)(f) the combined authority or CCA approves a proposal if it resolves to do so on a motion considered at a meeting of the combined authority or CCA throughout which members of the public are entitled to be present.”.Exclusion of land from Mayoral development areas
5 (1) Section 199 is amended in accordance with this paragraph.(2) In subsection (2), for “the Mayor” substitute “the Mayor of London”.(3) After subsection (2) insert—“(2A) Before making an alteration, the mayor for the area of a combined authority or CCA must consult—(a) the constituent councils, and(b) any other person whom the Mayor considers it appropriate to consult.”.Transfers of property etc to a Mayoral development corporation
6 (1) Section 200 is amended in accordance with this paragraph.(2) In subsection (1), for “a person within subsection (3)” substitute “an eligible transferor”.(3) After subsection (1) insert—“(1A) In the case of an MDC for an area in Greater London, “eligible transferor” means—(a) a London borough council,(b) the Common Council of the City of London in its capacity as a local authority,(c) any company whose members—(i) include the Mayor of London and a Minister of the Crown, and(ii) do not include anyone who is neither the Mayor or London nor a Minister of the Crown, or(d) a person within subsection (3).(1B) In the case of an MDC for an area in the area of a combined authority, “eligible transferor” means a person within subsection (3).(1C) In the case of an MDC for an area in the area of a CCA, “eligible transferor” means—(a) any district council whose local authority area is within the area of the CCA, or(b) a person within subsection (3).”.(4) In subsection (3)—(a) omit paragraphs (a) and (b);(b) in paragraphs (d) and (e), for “Greater London” substitute “the strategic authority area”;(c) omit paragraph (k).(5) In subsection (4), for “liabilities of—” substitute “liabilities of an eligible transferee.(4A) In the case of an MDC for an area in Greater London, “eligible transferee” means—”.(6) Before subsection (5) insert—“(4A) 20 In the case of an MDC for an area in the area of a combined authority or CCA, “eligible transferee” means—(a) the combined authority or CCA, o(b) a company that is a subsidiary of the combined authority or CCA.”.(7) In subsection (9), after “(4)(c)” insert “or (4A)(b)”.Functions in relation to Town and Country Planning
7 (1) Section 202 is amended in accordance with this paragraph.(2) In subsection (7), for “the Mayor” substitute “the Mayor of London”.(3) After subsection (7) insert—“(7A) The mayor for the area of a combined authority or CCA may make a decision under any of subsections (2) to (6) only if—(a) the Mayor has consulted the persons specified by section 197(5B) and, if applicable, section 197(5C), in relation to the area,(b) the Mayor has had regard to any comments made in response by the consultees, and(c) in the event that those comments include comments made by the constituent council or a district council specified by section 197(5C) that are comments that the Mayor does not accept, the Mayor has published a statement giving the reasons for the non-acceptance.”.Arrangements for discharge of, or assistance with, planning functions
8 In section 203, in subsections (1) and (4), after “City of London” insert “, or a county council or district council”.Acquisition of land
9 (1) Section 207 is amended in accordance with this paragraph.(2) In subsection (2), for “Greater London” substitute “the strategic authority area”.(3) For subsection (3) substitute—“(3) Before submitting a compulsory purchase order authorising an acquisition under subsection (2) to the Secretary of State for confirmation—(a) 15 an MDC for an area in Greater London must obtain the consent of the Mayor of London;(b) an MDC for an area in the area of a combined authority or CCA must obtain the consent of the mayor for that area.”.”
Lord Lansley Portrait Lord Lansley (Con)
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My Lords, Amendment 232 relates to mayoral development corporations. Noble Lords will recall a debate in Committee about this precise point. To remind noble Lords, in the English Devolution and Community Empowerment Bill, presently in the other place, the Government have proposed that the powers available to the Mayor of London in relation to the establishment of a mayoral development corporation should be provided to all mayors of established strategic authorities—I think that is correct. Noble Lords will also recall that I previously tabled an amendment to this effect back in July, so I was pleased to see that the Government were proceeding in exactly the same direction, but disappointed that this has been included in the English devolution Bill rather than here in the Planning and Infrastructure Bill, where Part 4, which we have now reached, is devoted to development corporations. It was certainly my understanding and intention that we would debate and, I hope, adopt the measure of giving all the mayors access to the same powers.

As a simple way of bringing that forward, I took Schedule 17 of the English Devolution and Community Empowerment Bill and transposed it into what would become a new schedule to this Bill. I anticipate that it is not the Government’s intention to disagree with the content of Amendment 232, since they wrote it; however, they appear to be set on resisting the idea that it should be included in this Bill and, on the basis of our anticipation of Royal Assent being reached only in a matter of weeks rather than months, be brought into force rapidly.

As it happens, since Committee, the English Devolution and Community Empowerment Bill Committee has had the opportunity to consider Clause 36 and Schedule 17 of that Bill and has not amended it, so there is no requirement for us to think of it having changed. I suspect, based on the discussion in that Bill Committee, it will not be returned to in substance on Report. I do not anticipate that the English devolution Bill, when we see it, will have any different text from what we see here now.

I put it once more to Ministers, but will not press it because what would be the point? It is their Bill, their language, their schedule that they can have now, in my view—and why would they not? It seems to me that most mayors, certainly the ones I have spoken to or their representatives, would like the powers sooner rather than later.

Quite early in the new year, probably before the English devolution Bill has received Royal Assent, we will be discussing the question of which new towns will be mayoral development corporations as opposed to government development corporations or locally led ones. These are precisely the issues which are the subject of this part of this Bill. I put it to noble Lords that it would be better to take this provision, include it now, and bring it into force at an earlier stage. I beg to move

Baroness Pinnock Portrait Baroness Pinnock (LD)
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My Lords, on these Benches we have much sympathy with the core principle behind this amendment from the noble Lord, Lord Lansley, regarding mayoral development corporations. The purpose of Part 4 of this Bill is to create a more flexible, and perhaps more robust, framework for development corporations. The existing way that development corporations work has limitations with regard to some of the development that all of us seek—transport infrastructure, for example. The noble Lord, Lord Lansley, has helpfully reminded us that this selfsame wording is in the devolution and empowerment Bill, currently going through its stages at the other end of the building, so those of us who will have the joy of debating that Bill, when it comes here, will be coming back to this issue.

The main concern we have, though, is about the decision being vested in the hands of the mayor and the rather narrow representations of the leaders of the constituent authorities—this will not come as a surprise to the Minister. This is an erosion of meaningful local planning influence, reducing local authorities to mere consultees whose considered objections can be dismissed. This amendment could grant substantial planning control over designated areas by placing the decision-making at the mayoral level, with its minimal approach to democratic engagement and consultation. While mechanisms exist for arrangements concerning the discharge of planning functions, this shift inherently concentrates strategic planning functions away from the local level.

Amendment 232 is a way forward in potentially accelerating growth plans, but it is achieved at the expense of local democratic involvement and, crucially, would lose having a strong voice from those residents directly affected. In a nutshell, this is an interesting and important proposal, but it bypasses local democracy.

Baroness Taylor of Stevenage Portrait The Parliamentary Under-Secretary of State, Ministry of Housing, Communities and Local Government (Baroness Taylor of Stevenage) (Lab)
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My Lords, Amendment 232, tabled by the noble Lord, Lord Lansley, seeks to standardise and extend powers in respect of mayoral development corporations to mayors of all strategic authorities outside London. I understand why the noble Lord has brought his amendment forward. The Government are bringing forward equivalent provisions via Clause 36 and Schedule 17 of the English Devolution and Community Empowerment Bill, and I understand his view that inclusion of this amendment would expedite the legislative change. I welcome that enthusiasm: it is essential that all mayors have powers to establish and oversee mayoral development corporations, which are a key tool to drive large-scale development and regeneration in their regions.

None the less, the amendment would not save significant time. The Government are committed to ensuring that the English Devolution and Community Empowerment Bill reaches Royal Assent in spring 2026, at which point there will be no delay. The relevant provisions will commence on the day that the Act is passed, providing relevant mayors with the powers to establish development corporations. The amendment would also have minimal impact because, except for the Cambridgeshire and Peterborough combined authority—I can understand why the noble Lord, Lord Lansley, might be particularly interested in that one—all mayoral strategic authorities currently have powers to establish and oversee MDCs. Cambridgeshire and Peterborough Combined Authority, as well as any new mayoral strategic authorities, will automatically receive mayoral development corporation powers following Royal Assent of the English devolution Bill.

Finally, and I think this reflects the comments of the noble Baroness, Lady Pinnock, it is appropriate that Parliament scrutinises provisions providing mayors with mayoral development corporation powers, as part of the wider package of powers being granted to mayors through the devolution framework in the English devolution Bill. Therefore, while I understand the reason that the noble Lord has brought Amendment 232 forward, I hope that he will consider withdrawing it.

Lord Lansley Portrait Lord Lansley (Con)
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I am grateful to noble Lords for contributing to this short debate, and particularly grateful to my noble friend for his kind remarks. I heartily endorse what he said about the importance of trying to resolve the relationship between the processes of local government reorganisation and the rapid progress we want to achieve in implementing planning reform in order to get on with building the houses and developments we are looking for.

I should have previously referenced my registered interest as chair of the Cambridgeshire Development Forum. The Minister is absolutely right: the Cambridgeshire and Peterborough mayor should have access to development corporation powers—even though the Government’s apparent intention, as I think was stated last week, was that the Cambridge Growth Company will be turned into a development corporation in the Cambridge area. We have yet to know in what designated area and with what powers, but that is for another day.

I am encouraged by the Minister’s assertion that the delay will be so limited. Let us hope that the English Devolution and Community Empowerment Bill does not get at all bogged down in the new year, because we want to be sure that those powers are available to mayors where they come forward to take up the potential new town designation. I was wrong when I said “mayors of all established strategic authorities”; I know it is my amendment, but I have just checked, and it does not say that. It refers to all mayors of strategic authorities. Whether they should be established strategic authorities is a question we might have a look at when we get to the English devolution Bill. But for the present, while looking forward to returning to these interesting issues in the new year, I beg leave to withdraw Amendment 232.

Amendment 232 withdrawn.
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Moved by
235: Clause 94, page 124, line 33, leave out “and” and insert “to”
Member's explanatory statement
This amendment is connected to another amendment in Lord Lansley’s name to clause 94.
Lord Lansley Portrait Lord Lansley (Con)
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My Lords, this group containing, happily, not only my amendments but Amendment 238 in the name of my noble friend Lord Fuller, is about the designation of new towns. The purpose of Amendment 236, which is the substantive one in my name, is to provide for additional parliamentary scrutiny of the designation of new town development corporations—those controlled by the Government. It is particularly about those under Section 1(1) of the New Towns Act, whereas elsewhere in that Act, locally led new towns, for example, were subsequently inserted. This provision would not apply to them; it would apply only to those controlled by the Government.

The point is that there are substantial implications in having a new town controlled by the Government. Designating the area and, for that matter, the powers that are to be given to that development corporation, and therefore by extension taken away from a local planning authority and vested in a development corporation, is a highly significant issue.

The super-affirmative procedure which the proposed new clause would introduce is, as the parliamentary guide would tell us, intended to be reserved for highly significant statutory instruments. I think this fits that bill. We are talking about the potential transfer of powers, potentially for relatively large areas, away from democratic control for decades.

For example, in the recent report by the New Towns Taskforce we saw a proposal for a dozen new town sites, some of which are pretty substantial. If we look at the area described as Brabazon and West Innovation Arc, it comprises three substantial areas to the north of Bristol. If all the planning control in that area were to be taken out of the hands of local authorities for what might be decades, it would make a very big impact in that area. The scrutiny of that by Parliament at the outset is important.

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On the issue of borrowing and raising private finance directly, the noble Baroness, Lady Scott, mentioned the Local Government Pension Scheme, and we had a question on that this morning in Question Time. I agree that it is worth exploring how the Local Government Pension Scheme can help with these types of investment. That will all come as part of a wider funding toolkit. It requires careful consideration to make sure that we properly balance the benefits and risks, including the possibility that mayoral development corporations could accrue significant debt and liabilities—an issue raised by the noble Baroness, Lady Thornhill. We must also consider how the proposed borrowing powers would interact with mayoral strategic authority borrowing. We will need more time than is available on this Bill, but I can commit that the department will consider these changes in the future. For the reasons I have given, I kindly ask noble Lords not to press their amendments.
Lord Lansley Portrait Lord Lansley (Con)
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My Lords, I am grateful to all noble Lords who contributed to this short, as the Minister said, but I thought very interesting debate—a preliminary to the further debate that I hope we will have, not least if we can contrive to have an early debate on the Built Environment Committee’s report in the new year at a time when we can incorporate the Government’s full response to the task force report and the Government’s actual proposals for new towns. We learned from my noble friend Lord Evans of Rainow that if there is that range of issues to be considered in relation to one of the new town proposals, we can expect a lot of contributions when we get to a dozen such proposals, not even including Cambridge, from my own point of view, which is beyond the task force’s report.

What the Minister had to say was encouraging from the point of view of getting parliamentary debate to take place without impeding or delaying the programme in any way. I hope that, when we have that debate, we will come back to some of the important issues raised by my noble friend Lord Fuller. He made some important points, in my view, about the capacity for financing this. Tax increment financing and the ability to borrow against the future development value will be a key part of that.

From my part, in relation to parliamentary debate on the new towns programme, I was grateful for the Minister’s response, so I beg leave to withdraw Amendment 235.

Amendment 235 withdrawn.
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Baroness Hodgson of Abinger Portrait Baroness Hodgson of Abinger (Con)
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My Lords, I will speak to Amendment 250. I know that many noble Lords are much better versed in the law around this than I am. However, I want to touch on the point about land held in trust for enjoyment by the public. In situations where such a purchase will mean that the public’s rights of enjoyment will not be maintained, surely there should at least be extensive consultation with local communities, with their views taken into account, and where there is strong objection, surely at the very least some alternative provision should be made.

Like the noble Baronesses, Lady Young and Lady Bennett, I am concerned that this amendment will erode the rights of the general public and that they will not have a suitable, easily accessible mechanism to defend their rights or negotiate a solution to satisfy both parties. The law is beyond the reach of most normal people as it is so expensive. Judicial review would probably be off-putting to local communities not familiar with law.

If I have read this amendment correctly, it would appear to backdate this right. Surely that is very unusual and we ought to be looking to the future. I hope that when this issue is given further consideration by the Government, they will consider the rights of local people and ensure that their voices are heard and they are given primary consideration.

Lord Lansley Portrait Lord Lansley (Con)
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My Lords, I spoke on this subject in Committee. I want to follow up briefly, because in this debate we are getting a more comprehensive view of the problem and, potentially, of the solution. For example, the noble Baroness, Lady Young of Old Scone, referred to the fact that the Local Government, Planning and Land Act 1980 brought in the provisions now in the Local Government Act 1972. Last time we were told about these ancient pieces of legislation: the Public Health Act 1875 and the Open Spaces Act 1906. The fact that they are ancient pieces of legislation is neither here nor there. The thing we are dealing with was inserted in 1980, which is why the amendment refers to 1980.

What should happen in the future? In future, if land to which the public have some rights of enjoyment and access is to be disposed of by a local authority, the local authority should consult. And what the legislation requires is not too onerous: it is to advertise for two weeks and consider any objections raised. This is hardly too much. That is for the future. Clearly, the public benefit should be incorporated into whatever decisions are made as a consequence of that.

For about 45 years local authorities thought, because of what is in Sections 122(2B) and 123(2B) of the Local Government Act 1972, that if they did not do that, not only was the sale still valid but the trusts relating to that legislation were extinguished. They were wrong about that, so we have to put them back in that situation. Essentially, we have to look back and say, in all these decisions made over that period, where local authorities operated on what turned out to be a false basis, they must take into account the public benefit that might have been derived from the trust and find some other way of doing it. The noble Lord, Lord O’Donnell, explained to us how, in one instance, it is the intention of the All England Lawn Tennis Club to ensure that significant public benefit continues to be provided by way of access to open space and public enjoyment. That is exactly where we need to go. But the legislation needs to reflect both the requirement for consultation and that there may be some continuing necessity for the public benefit either to be enjoyed in that open space or by some alternative means.

Lord Cromwell Portrait Lord Cromwell (CB)
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I agree with what the noble Lord, Lord Lansley, has just said. Philanthropists in the past gave areas of green space and there have been scandals where councils have sold them off for money, and we all complain that there are no more playing fields, for example. This smells a bit like that. It is almost land that has been protected by accident by a legal quirk that has prevented it being developed subsequently or sold on for development unwisely.

To my mind, this is surely a case-by-case matter. The noble Lord, Lord O’Donnell, made a very powerful case for Wimbledon. Maybe he is right, but I am sure that plenty of sites around the country are not quite so green and lovely in their eventual outcome. I find it difficult to support an amendment that alters everything across the board. Going back, almost in a time machine, doing a proper consultation and the substitution of what is being lost has to be the approach, rather than what is proposed in this amendment.