Neighbourhood Planning Bill Debate

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Neighbourhood Planning Bill

Lord Mann Excerpts
Lord Barwell Portrait Gavin Barwell
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If the hon. Gentleman will bear with me, I think he will get exactly the clarification that he is looking for—but the simple answer is yes. I shall come on to it again later in my speech. I am grateful to the hon. Gentleman for his kind words. The Government’s intent is very much to honour the principle behind the Lords amendment, but we believe we have a better solution that will provide pubs with more flexibility and do a better job of ensuring their viability in the long term.

Lord Mann Portrait John Mann (Bassetlaw) (Lab)
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I congratulate the Minister on his flexible approach to the Bill. Given that he has previously agreed to visit my Bassetlaw constituency, will he offer a date very soon, so that I can consider whether to include a pub in his itinerary?

Lord Barwell Portrait Gavin Barwell
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That has got to be one of the kindest invitations that I have received so far in my ministerial career. I have already given an undertaking and I very much look forward to visiting the hon. Gentleman’s constituency. I am trying to combine it with an event in the Sheffield city region, looking at housing. The hon. Gentleman served on the Public Bill Committee and he is a passionate advocate of neighbourhood planning. I know that he has worked hard in own constituency to encourage neighbourhood planning. I am very much looking forward to meeting some of the community groups with him. Members of my private office are in the Box and will have heard that commitment. I hope that we can get the hon. Gentleman a date as soon as possible—with or without the benefit of a visit to a local pub.

At the same time as making these changes, we also want to protect local planning authorities from any compensation liability arising from the removal of national permitted development rights. We will do this by amending the compensation regulations to limit to 12 months the period of any potential liability on local planning authorities when the rights are removed.

Let me now take the opportunity to update hon. Members on the outcome of the debate in the other place in respect of the permitted development right for the change of use from office to residential. This was an issue debated at some length in Committee, and I know that there are differences of opinion in the House. Hon. Members will know that the permitted development right is making an important contribution to housing delivery, with over 12,800 homes delivered—thanks to this right—in the year ending March 2016. The Government have always recognised that in certain areas there have been concerns about the local impact of this right, so we have outlined an approach that provides flexibility for those areas that are meeting their housing requirements to have a greater say over where the permitted development right for the change of use from office to residential should apply.

For those areas that are delivering 100% or more of their housing requirement—the figure identified in their local plan—that can continue to do so after removal of the right, and that are able to demonstrate that it is necessary to remove the right to protect the amenity and wellbeing of their area, the Secretary of State will not seek to limit article 4 directions applying to that area. We intend to publish the first housing delivery test data in November. For those who are not familiar with it, this was one of the key reforms set out in the housing White Paper. We will now hold local authorities to account not just for producing a glossy plan, but for delivering the houses set out in the plan on an annual basis. This will indicate to local authorities in November whether this additional article 4 flexibility would apply to directions brought forward after that date. For those interested in further information about this change, it can be found in House of Lords Library in a letter from my ministerial colleague Lord Bourne, dated 18 March. We shall provide detailed guidance before November.

We are making a further change by bringing forward regulation to enable local planning authorities to charge planning application fees when permitted development rights have been removed by an article 4 direction. This recognises the resource commitments in those areas that have removed the permitted development right for sound policy reasons. The Government’s position remains that although the permitted development right makes an important contribution to delivering the homes that we desperately need, we have with these two small changes demonstrated a degree of flexibility to allow those local authorities that are delivering the homes that are needed in their area to apply an article 4 direction if they wish, and then to be able to charge planning application fees in the relevant areas.

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Greg Mulholland Portrait Greg Mulholland
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I thank the hon. Lady for her support and echo her comments. The Minister has genuinely listened and was interested in looking for solutions when the hon. Lady and I met him on 30 January. He offered that meeting and we were delighted to have it. He actually went to the trouble of inviting me into his office last Thursday to hand me a copy of the amendment and to say exactly what the Government were going to do. That is an example of how Ministers can work with MPs from across the House to achieve things, and I warmly thank him for that.

Following my tabling of a similar amendment on 7 December, I thank Lord Kennedy of Southwark for taking up the baton excellently, ably and enthusiastically, and for showing his support by taking it through the House of Lords, which presented us with this great opportunity. I thank Protect Pubs, which is now the pre-eminent organisation campaigning for better protection for this country’s pubs. It is a member of the British Pub Confederation, which I also congratulate. I must declare an interest as I am the chair of the British Pub Confederation, and I am delighted to continue to work with all publicans and pub representative organisations within the confederation. I also thank the hon. Member for Selby and Ainsty (Nigel Adams), because he introduced a private Member’s Bill with the same aim back in 2010. That is sometimes forgotten, but I told him that I would mention him and thank him in the Chamber today.

Although I tabled a similar amendment back in December, it was also tabled during the passage of the Localism Act 2011. My point then was that localism is phony if we continue to allow valued pubs to be demolished or turned into supermarkets or offices without the community having any say. That is all that we are changing today—no more, no less. We are not getting into pub protection in great detail. The amendment simply gives communities the right to have a say through a planning process, just as with anything else. It should have happened a long time ago—it is common sense—but I am delighted that it is happening now.

Echoing the comments of another pubs campaigner—the hon. Member for West Bromwich West (Mr Bailey)—I thank the brave pro-pub councils that have brought forward article 4 directions and other pub-protection policies. They have shown that they can do certain things, but we needed this change from the Government. I also thank the Otley Pub Club from my constituency. Again, I have to declare an interest in that I am the club’s honorary president. When Ministers wrongly rejected this change back in 2015 by not accepting the amendment tabled by the hon. Member for Bristol North West, the club took Ministers at their word when they said, “If you value your local pubs and if you want protection against predatory purchasing by supermarkets, list them as assets of community value,” and listed all 19 pubs in the centre of Otley to show that that was the only way communities could protect them. Communities no longer have to list all their pubs simply to remove permitted development rights. If Otley Pub Club had not had the courage to go ahead and do that, and prove that Ministers were wrong in rejecting that amendment, we may not have been here discussing this today. Asset of community value status remains important, but it no longer needs to be used in all cases for all pubs simply to end permitted development rights.

I thank the wonderful CAMRA branches and members that have engaged in the campaign over many years. It was disappointing that CAMRA headquarters did not support the amendment in December. The reasons for doing so were rather strange—perhaps there had been a particularly good Christmas party—but we are delighted that the change has finally come through after many years of campaigning. It was slightly bizarre that CAMRA was still sending messages yesterday to its members, myself included, urging us to contact our MP about a vote when there was no vote. Several MPs have said to me, “Don’t worry. We’re going to vote with you,” but I have had to tell them not to. I even had one MP say that they were going to vote against me because of the email from CAMRA, so luckily there will be no vote. However, it is rather odd that CAMRA carried on lobbying after the event. I have mentioned the Co-op issue, but CAMRA really needs to look at the failed agreement with the Co-op, which has been an appalling predatory purchaser and destroyer of pubs up and down the country. CAMRA needs to disassociate itself from the Co-op in the interests of its members and of pubs.

I must put on the record and draw attention to a significant and brave decision by the Minister. When my amendment was considered in December, a false briefing was circulated by the representatives of the large pub companies. The reason they were lobbying so hard to stop communities having the simple right to have a say was that they wanted their large pubco members to continue to be able to sell pubs to supermarkets, who can demolish them without the community having a say. People have been losing viable pubs as a result. I raised that matter on the Floor of the House and wrote to the Minister, and that was when I realised the kind of Minister he was. Rather than the usual response from civil servants, he wrote back to me, and I want to quote from the letter because it was so nice and refreshing to have an acknowledgment from a Minister. It said:

“I recognise that in doing so I referenced briefing that was made available more generally by the British Beer and Pub Association in relation to existing permitted development rights for pubs. You are right to point out that their briefing contained inaccuracies, and therefore I am pleased to confirm for the record that it is the case that the removal of permitted development rights for the change of use or demolition of pubs, as a result of the nomination or listing as an Asset of Community Value, has no effect on a pub’s ability to make internal changes.”

It was great to have that confirmation, but it is a serious matter that a clearly interested party was sending false information to hon. Members, misleading them about something that was extremely simple.

The Government have clearly decided not to accept my original amendment of 7 December, nor Lord Kennedy’s of 28 February, but I understand their reasons for doing so and have made it clear to the Minister that he has my full support for the new amendment and that I am delighted with the outcome.

The hon. Member for Chesterfield (Toby Perkins) raised the concern that the Government decided to include the mixed use category of A3/A4 because they did not want to stop publicans serving food. In actual fact, there is no need for the category because we know that food is served in many pubs in category A4 but not in others, and sometimes that changes from week to week. There is no need for the change, but the first concern that has been raised is whether the same permitted development rights will be in place for the mixed category. The Minister has made it clear that that will be the case, which is fairly clear in the Bill.

However, I flag up the genuine and very serious concern about article 4 directions because, to use the Minister’s words, there is an unintended consequence whereby many councils have decided to introduce important and impressive article 4 directions to bring in strong protections for pubs—stronger than will be offered by the amendment, as he knows—including stopping the predatory developers that the hon. Member for St Albans (Mrs Main) mentioned, but those protections apply only to A4. There is a real danger that it could create a loophole whereby unscrupulous owners or developers can seek a mixed use designation to get out of the strong pub protection that exists in some areas.

Now that is on the public record, and now it is understood in a way that perhaps it has not been by some organisations, I urge the Minister to consider introducing a statutory instrument, in addition to this amendment, to ensure that the new mixed use A4/A3 category, which is for pub restaurants that should clearly have the same protection, does not fall foul of another loophole by no longer being covered by existing pub protection policies. That should be easy to address with a statutory instrument, and then everyone will be happy with the amendment as a whole. In a sense, he has done something remarkable because, despite their opposition and misleading briefings, both the British Beer and Pub Association and one of its large pubco members, Punch Taverns, have said that they are perfectly happy with the amendment. He has done something significant but, now that it has been spotted, he needs to plug the potential loophole with a statutory instrument to ensure that it does not become a problem.

Finally, I thank the Minister and all hon. and right hon. Members who have taken part in this campaign over many years. I raised the issue as far back as 2008, and it was one of the key aims when we set up the all-party Save the Pub group. It has taken longer than expected and hoped for, but we have got there now, with the caveat of closing the loophole that has been identified.

Lord Mann Portrait John Mann
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Does the hon. Gentleman agree that organising such an open, accessible and cross-party campaign that has allowed all of us to be involved, with him taking the lead throughout, is a good model for securing change in this place?

Greg Mulholland Portrait Greg Mulholland
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The hon. Gentleman is kind, and it is nice of him to say so. It has been a pleasure working with him, and with Members on both sides of the House, because that is how, as parliamentarians with an interest and a zeal for campaigning, we can change things. We can all do it in different ways, and I look forward to doing so in the future. The changes we have had, including on pub companies, show that we can succeed and that all-party groups and campaigning in this place, when done well, can be successful. I have been nearly 20,000 feet up a mountain with the hon. Gentleman, but I have never been to a pub in Bassetlaw with him, which we might have to put right. If he would like to do that, I would be delighted to join him.

There is a real threat from unscrupulous developers, owners, pub companies and supermarkets that seek to offload pubs, demolish them and get supermarkets in place before planning permission is needed, and I remind the House of the utter absurdity that communities currently have no right to object to the imposition of a supermarket and the loss of a viable pub, but have the right in the planning process to complain about the supermarket’s signage. The amendment is finally reversing that nonsense, but it will continue to happen until the amendment is enacted. Now that the Government have made clear their intent, which has the full support of both Houses—that is very unusual—and of all major parties, the Minister should seriously consider a moratorium on any demolitions or conversions. A moratorium would be extremely useful in stopping the continued loss of pubs.

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Lord Barwell Portrait Gavin Barwell
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The Government and the Whips Office in particular always welcome a sinner who repenteth. My hon. Friend makes two very good points. The White Paper proposes moving to a standard methodology for the assessment of need, and we will incentivise all local authorities to use it. None the less, it remains the case that that methodology will provide a number of the total amount of housing need, but local authorities will still need to think about the mix of housing and of tenures relevant to their local community, and the demographic profile of the need for housing in their area. He makes a very important point and we will certainly ensure that the guidance covers those issues.

Lord Mann Portrait John Mann
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If a local authority is making progress with its local development plan but waiting for the Secretary of State’s approval, and if a new city region or combined authority that it joins during that period decides to take a different overall strategic approach to housing, what effect would all that work and decision making have on that scenario? Will that be part of the guidance, to ensure that communities that have been fully consulted and that have made decisions are not sent back to the drawing board, which would delay rather than promote future housing, because of that possible crossover?

Lord Barwell Portrait Gavin Barwell
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That is not an easy question to answer in the abstract. Generally speaking—I am not an expert on this; I am sure the hon. Gentleman will correct me if I am wrong—in most of the devolution agreements that have set up a requirement to produce a spatial strategy, each of the individual constituent authorities in the combined authority has a veto. That is certainly the case in Greater Manchester, and I believe it is the case everywhere other than in relation to the London plan, the key difference being that that plan cannot allocate specific sites in the same way as the Greater Manchester spatial strategy. In that situation, I believe that the hon. Gentleman’s own local authority would have a veto over any wider strategic plan.

I think that the hon. Gentleman was also driving at the issue of transitional arrangements. In other words, if an authority is nearing completion of its own plan and work is about to get under way on a wider strategic plan, would that authority still be able to complete its work on its own plan? I am happy to reflect on that, but my instinct is that it should be able to do that, because there are clear advantages in getting a plan in place, in terms of protection from speculative development.

Lord Mann Portrait John Mann
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rose

Lord Barwell Portrait Gavin Barwell
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If I allow the hon. Gentleman to intervene, that will give me more time to think, so I will happily take another intervention.

Lord Mann Portrait John Mann
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The Minister’s instinct is very good, in my judgment. I hope that he will think through, perhaps not at this very moment, a scenario whereby a district council that is on the verge of getting its development plan agreed and endorsed in law is not put in the position of having to use its veto against a wider authority that it has joined, because that veto might undo the work that has already been done. In other words, is there potential for hybrids that allow housing developments to proceed, rather than an absurd structure that, in essence, allows different processes to collide? It strikes me that that may be a possibility somewhat near to my home in future.

Lord Barwell Portrait Gavin Barwell
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I will find out from my officials when I leave the Chamber whether my instincts about that were good. I will happily discuss the matter further with the hon. Gentleman, perhaps when I have the opportunity to visit his constituency.

We have been thinking about the question of transition in relation to the new standard methodology, and we will consult on that shortly. I have no doubt that, when it comes into place, a number of authorities at various stages of their plan making will ask whether the Government are suggesting that they should stop and start again using the new methodology, or whether they should complete the plan they have nearly finished and do a fairly quick review. We have given thought to that question. The hon. Gentleman has just asked a related question about the situation in which a strategic plan is in the early stages of preparation and a local plan is nearly complete. I will reflect on that, and perhaps we can have a discussion about it outside the Chamber when I have had a chance to talk to my officials, but I have given him a steer on my instincts.

We have digressed a bit—with your forbearance, Madam Deputy Speaker—but we were discussing Lords amendments 7, 8 and 9, which, as I said, are about giving the Secretary of State the power to produce regulations about the matters that local authorities should cover in their statements of community involvement. Hon. Members will recall that my right hon. Friend the Member for Sutton Coldfield (Mr Mitchell)—I do not believe he is in his place today—highlighted this matter on Report. I am pleased that, as I promised, we have been able to table an amendment that reflects the intention behind his amendments.

I turn to Lords amendment 23. The White Paper highlighted the Government’s commitment to legislating to enable the creation of locally accountable new town development corporations. The existing institutions report to the Secretary of State, but there is a strong desire for locally accountable institutions. Lords amendment 23, which was tabled by Lord Taylor of Goss Moor and Lord Best, was entirely consistent with the White Paper and the Bill’s aim of further empowering local areas, and I am pleased that the Government were able to accept it. Several pieces of planning legislation have been introduced in recent years, and the White Paper left open the possibility for further legislation to follow. It is good that, by accepting Lord Taylor’s amendment to the Bill, we have been able to get into statute one of the measures that we set out in the White Paper.

In summary, the amendment would support the creation of locally led garden towns and villages by allowing the responsibility for any development corporation created under the New Towns Act 1981 to be transferred to a local authority or authorities covering all or part of the area designated for the new town. My right hon. Friend the Member for Arundel and South Downs has tabled amendments on the issue, and I think it might be best if I allow him to speak to his amendments before I tell him how the Government intend to respond to them, to give him the opportunity to persuade me of his case.

I turn to compulsory purchase. In the other place, the Government tabled a number of primarily technical amendments based on further engagement with expert practitioners to ensure that the compulsory purchase provisions will make the process clearer, faster and fairer. Lords amendments 24 to 62, together with amendments 76 and 78, deal with temporary possession to refine the new system so that it will work as intended.

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Lord Barwell Portrait Gavin Barwell
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I am grateful to my hon. Friend for his kind words, and I have tried to approach the entire Bill in the same spirit. It is fair to say that the Housing and Planning Act 2016 had a rather difficult passage through Parliament, and with this Bill we wanted to build the broadest possible coalition behind the changes that the Government are making to try to drive up the amount of housing that we build. It has been pleasing to see, both in the other place and here today, the fairly widespread support for the way in which the Government are trying to take forward this agenda.

I will briefly describe, for those who do not have my hon. Friend’s expertise in such matters, Lords amendments 63 to 68. They deal with the no-scheme principle; that is the key principle that defines the world in which compensation is assessed when compulsory purchase powers are used. The amendments basically refine the provisions so that they will work as intended.

Lords amendments 69 to 73 extend the ability of the Greater London Authority and Transport for London to make a joint compulsory purchase order for a combined housing or regeneration and transport project. I think I am right in saying that both the GLA and TfL have these powers at the moment, but they are not allowed to use them together on a combined project, which is what we are seeking to allow. In particular, Lords amendment 72 would allow TfL to work with a mayoral development corporation as an alternative to the Greater London Authority.

I thank the experts at the Compulsory Purchase Association and Transport for London for their advice, and Members of this House and of the other place for their constructive contributions to the debate on a very technical area of law. As I said on the first group of amendments, when not so many Members were in the House, I thank one of my most distinguished predecessors as Housing Minister, Lord Young of Cookham, who ably steered these provisions through the other place.

Responding to concerns raised in the other place, the Government tabled Lords amendments 74, 75, 77, 79, 80 and 83, which replace the power within the consequential clause of the Bill so that the Secretary of State’s power to make consequential changes—in essence, when something is spotted after the legislation has gone through that has a knock-on effect on other legislation—is limited to part 2, or in other words only to the CPO provisions. We made those changes because of concerns in the other place about the broad scope of the consequential provisions. The possibility of things being spotted really arises in relation only to the CPO provisions, which is why we have limited this power to part 2.

Lords amendment 81 commences the regulation-making power in Lords amendment 4, and Lords amendment 82 commences the regulation-making power in Lords amendment 9. Lords amendment 84 will apply the same changes proposed by Lords amendment 5 to examinations that take place under the new streamlined procedure to modify a neighbourhood plan that is in force, as introduced by clause 3 and schedule 1.

I commend the Lords amendments in this group, and I will come back in later when I have had a chance to listen to the arguments of my right hon. Friend—and my very good friend—the Member for Arundel and South Downs.

Lord Mann Portrait John Mann
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I will comment on three aspects of the amendments in this group and what the Minister has said on them. The first, briefly, is about changes to housing for the elderly. It is a question of whether a local community or a local council can actually designate specific pieces of land explicitly for accommodation for the elderly, which would open up the potential for planning gain, particularly on service sites. For example, saying that a specific piece of land within a larger development should be allocated for a few bungalows would precisely address rental need and possibly purchase need.

The other added key value that arises from the Minister’s comments about having an effective approach to accommodation for the elderly is equity release. There would be a boost to the local economy from large numbers of people wanting to downsize—both those who want to purchase smaller accommodation and those who want to move to social renting but are in essence excluded from doing so at the moment—by releasing the modest equity in the house they have spent their lifetime purchasing. They want to do so to be able to live in more comfort and more cheaply, but also to be able to assist their grandchildren to get on to the housing ladder. Spending that equity would be a huge boost to the economy in a community such as mine. Is the possibility of creating zones that could be serviced or, through planning gain, developed, a greater option as a result of the amendments?

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Lord Mann Portrait John Mann
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Under the code of conduct on standards in public life, someone who has declared an interest—certainly in this House—is prohibited from moving an amendment in which that person has a pecuniary interest in relation to any organisation, as has been the case ever since the Nolan Committee reported in 1996. Does the right hon. Gentleman not think that the House should reflect on that?

Lord Herbert of South Downs Portrait Nick Herbert
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I should emphasise that Lord Taylor made his interest clear when he moved the amendment. As for the rules in the other place, I am not aware of them, but it is the case that Lord Taylor has had in the past, if not currently, a commercial interest with one of the developers that would stand to gain from the transfer of powers that may be effected by the permissive legislation that the Government wish the House to accept.

I believe that this raises a question of principle, namely whether the powers of, specifically, compulsory purchase should ever be delegated to local authorities. I suggest to Members on both sides of the House that we should not allow that. While it might be appropriate to delegate other powers to make it easier for new towns to be established by local consent, I think it would be a grave mistake to delegate powers of compulsory purchase in a way that would cause Ministers to lose control altogether of the process whereby land may be compulsorily purchased. It would have the effects I have described in this area all across the country. The amendment would forbid such a transfer of power in this specific instance in relation to powers of compulsory purchase, and I seek reassurance from my hon. Friend the Minister that the Government have no intention of allowing such a transfer of powers of compulsory purchase. He will know that this is also of huge concern to my right hon. Friend the Member for Mid Sussex (Sir Nicholas Soames), who is unable to be here today but shares my concern about the impact of the Mayfields new town, which crosses both our constituencies.

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Lord Barwell Portrait Gavin Barwell
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Let me briefly respond to the points made by the hon. Member for Bassetlaw (John Mann) and my right hon. Friend the Member for Arundel and South Downs (Nick Herbert).

The hon. Gentleman asked whether a council can designate particular sites for housing for the elderly, and the simple answer is yes, it can. They have powers to do that already, and in the guidance we issue we might want to look at the extent to which we allow that to be a matter for local decision making, or whether it is something we wish to promote.

The hon. Gentleman made two vital points in relation to neighbourhood planning. First, neighbourhood planning is not just for affluent rural communities. This is an opportunity for communities right across the country to have more of a say about how they develop in the future and how we make the tough and difficult choices that must be made in order to provide the housing we so desperately need and the land for employment and other community uses. The Government are very much committed to ensuring that neighbourhood planning is not just for affluent communities and that we see it adopted right across the country. I have said before that I am very grateful to the hon. Gentleman for the role he personally has played as an advocate of this policy. He will know that we make additional financial support available to groups in deprived areas, recognising that they need capacity support to produce the plans, and we recently confirmed that that support will be going forward over the next few years. He made a crucial point, however.

The hon. Gentleman’s second point was picked up by my right hon. Friend the Member for Arundel and South Downs, but it is worth reiterating from the Dispatch Box. Although at the moment the sample size is relatively small, there is clear evidence that neighbourhood plans that allocate sites for housing have actually provided for more housing than their relevant local authority was going to propose. I do not wish to make a party political point, because I am trying to encourage consensus, but I believe in passing power down to people, and it is a very powerful argument for doing so when we trust people to make decisions about their area and they respond in exactly the way we would want.

Lord Mann Portrait John Mann
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That is a good socialist principle.

Lord Barwell Portrait Gavin Barwell
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Both sides of the House can lay claim to that good localist principle. The evidence is clear, and that is why the Government are keen to see neighbourhood planning turbocharged around the country. I will say a little more about that shortly, but first I want to respond to the points my right hon. Friend made, because the overall argument is relevant to both aspects.

I will deal with my right hon. Friend’s two amendments first, and then come on to the particular planning application he refers to. On amendment (a) to Lords amendment 4, the Government absolutely agree with him about the importance of neighbourhood forums and parish councils having sufficient time to consider planning applications when notified by local planning authorities, and, crucially, about the importance of their views being taken into account when local planning authorities make decisions. I can assure him and the House as a whole that we intend to update the secondary legislation to provide requirements for where forums and parish councils are automatically notified of planning applications under the new provisions.

The provisions will be consistent with the existing provisions in the development management procedure order relating to consultation on planning applications. They will include providing that a local planning authority must not determine any planning application where a parish council or designated neighbourhood forum has been notified and wishes to make representations before a minimum of 21 days has elapsed. It is already the case that a local planning authority must consider the representations received and whether considerations are raised that may be material to the application, but detailed requirements relating to the operation of the planning application process best sit in secondary rather than primary legislation, to ensure that we have the flexibility to keep procedures up to date. It would not surprise me if my right hon. Friend wanted to come back with further suggestions, and it is much easier to make suggestions if the matters are in secondary legislation. Having provided him with all the reassurances he wanted, I respectfully request that he does not press his amendment.

It is not necessarily for me to defend amendment (a) to Lords amendment 23, but let me say what I think Lord Taylor was driving at and then reassure my right hon. Friend on his particular points. At the moment, when somebody owns a piece of land that is not designated as suitable for housing or any other use and then, through a local plan process, the council changes that designation, the landowner sees a significant uplift in value. If a company or individual then acquires rights over that land and secures planning permission, there is a further uplift, and that planning permission may be traded several times. At the end of the process, several organisations or individuals have made a great deal of money and there is not a great deal of value in the land for providing the infrastructure that all our constituents tell us is vital to go along with housing. I think Lord Taylor is considering the extent to which, when changing the designation of land, the public sector can try to secure that land early in the process, avoiding the long chain I described and ensuring that more value is available to provide the required infrastructure.

Having said that, it is important that I provide my right hon. Friend with clarification about the regulations that will be made. I reassure him that the functions that could be transferred would not include functions that are the prerogative of the Secretary of State. Under the New Towns Act 1981, any compulsory purchase order sought by a new town development corporation must be submitted to and confirmed by the Secretary of State. That is the case for compulsory purchase orders sought by all bodies, and there will be no change to that position. That will be clear from the regulations, which will, subject to the enactment of this Bill, come to this House for approval. On that basis, I hope that my right hon. Friend will withdraw amendment (a) to Lords amendment 23.