Lord Pickles
Main Page: Lord Pickles (Conservative - Life peer)(13 years, 3 months ago)
Commons ChamberRead Full debate Read Hansard Text
Nadhim Zahawi (Stratford-on-Avon) (Con)
7. What the timetable is for the implementation of local retention of business rates.
The Secretary of State for Communities and Local Government (Mr Eric Pickles)
The Government have published proposals to allow local retention of business rates and are seeking views by 24 October. The plans give councils a strong financial incentive to drive economic growth, as well as providing protections for places in need of additional support. Subject to the outcome of the consultation, we intend to introduce business rates retention by April 2013.
Luciana Berger
There is significant concern in cities such as Liverpool that councils will lose money after the first year if they cannot adjust quickly enough to the changes. We have had reassurances from Ministers that councils will get that support in the first year, but will the Secretary of State guarantee that they will get that additional support in years 2, 3 and 4?
Mr Pickles
Had the provisions been in place over the past few years, Liverpool would have done particularly well out of the system. I am confident that the leadership of Liverpool will respond to this, because it puts Liverpool very much in the driving seat. My opinion is that Liverpool is an extremely good place to invest.
Mr Burrowes
Following the riots, the viability of high streets is a priority. For my local shops, the priority is reform of business rates, which they see as too high and lacking any real connection with local services and local decision makers. Can the Minister hasten the day when business rates are not an issue for his Department?
Mr Pickles
I certainly hope so. We recognise the burden of rates on small businesses. That is why we are doubling small business rate relief until the end of September 2012. Approximately a third of a million business rate payers, including small shopkeepers, will pay no rates at all for this period, and through the Localism Bill we are giving authorities powers to grant business rates discounts as they see fit.
Esther McVey
Businesses on Wirral are concerned that the retention of business rates might result in increased business rates. As the party of the small business, how are we going to protect those small engines of growth in these difficult times?
Mr Pickles
My hon. Friend makes a reasonable point, and I can assure her that part of the consultation makes it clear that local authorities will have the ability to bring business rates down, but not to put them up.
Nadhim Zahawi
In my constituency, the local enterprise partnership is moving swiftly to create business growth across both Warwickshire and Coventry. Can the Secretary of State explain which mechanisms will allow LEPs to receive funding from business rates where they, working with the local authority or alone, have been responsible for economic growth in the area?
Mr Pickles
LEPs are a partnership between local authorities and business, and we will be encouraging, though we will not be prescribing, local authorities to pool the business rates. I know that a number of authorities around Greater Manchester, west Yorkshire and particularly London are actively considering pooling arrangements, which has the advantage that poorer areas can benefit from richer areas.
Michael Dugher (Barnsley East) (Lab)
Barnsley council has estimated that, had the arrangements been in place last year, it would have seen a cut of more than £40 million last year. Does the Secretary of State think it is fair that poorer areas such as Barnsley may face pressures in delivering vital local public services, whereas wealthier areas may see their business rates receipts go through the roof?
Mr Pickles
If business rates go through the roof, they will be caught by the “disproportionate” rule and those sums will be taken away and distributed to poorer areas. This was designed to help councils such as Barnsley to retain local growth. The figures that I have seen—we received some figures from Barnsley during the recent settlement—did not appear to be entirely accurate. I am happy to work with the hon. Gentleman to get the best possible deal for Barnsley.
Barbara Keeley (Worsley and Eccles South) (Lab)
Ministers—[Interruption]—have already made savage front-loaded cuts to council budgets, and now they want to top-slice the proceeds of business rate growth which they promised to local councils. Localising business rate growth should give local authorities an incentive to grow their business base and to create jobs. Will the Minister explain just how central Government’s top-slicing of business rate growth can provide that proper incentive? Is it not just another hit on local government finance?
Mr Pickles
The hon. Lady was clearly missed by Members on her side of the House, and indeed by those on ours, judging by that welcome.
The only top-slicing that will take place is with regard to disproportionate gains, and I am pretty confident that Kensington and Chelsea and Westminster councils will see enormous increases in their rates. It is only right that we take that money away and see that it is distributed to other parts of the country, such as to Barnsley. I would have thought that she would support that.
Mr Philip Hollobone (Kettering) (Con)
What incentives will there be to encourage local authorities to introduce special low business rates for green energy schemes?
Mr Pickles
The Localism Bill gives local authorities the discretion to do that, and my hon. Friend makes a very sensible suggestion which I am very confident a number of local authorities will take up.
Nick Smith (Blaenau Gwent) (Lab)
2. What steps his Department is taking to support high streets through the planning system.
David Morris (Morecambe and Lunesdale) (Con)
5. What steps he is taking to improve transparency in local government.
The Secretary of State for Communities and Local Government (Mr Eric Pickles)
Following public consultation earlier this year, I will shortly publish a code of recommended practice on transparency, setting out the principles and minimum standards that authorities should follow. That will ensure that councils can be held fully accountable to the people they serve.
David Morris
I think we can all agree that greater transparency is a friend of the democratic process, but it needs to be backed up by the empowerment of local residents. How will the Localism Bill drive through both transparency and greater democratic input?
Mr Pickles
The Localism Bill will indeed do that. Perhaps the most notable of its provisions is on the transparency of chief executive and senior salaries, which will have to go through a vote of the whole council. I am sure my hon. Friend understands that the Localism Bill is just part of the move towards transparency, which might better be described as ensuring that the public are kept informed.
Chris Leslie (Nottingham East) (Lab/Co-op)
How transparent is it for Ministers to mask the real cuts in local government spending, such as the 16% cut for Nottingham city council, by dreaming up a statistical methodology that they call spending power and spinning it as a cut of just 8%? Why do they not just come clean about the cuts to the poorest areas in the country?
Mr Pickles
The body that thought up the spending power recommendation was the Local Government Association. Indeed, immediately before we announced it, the hon. Member for Derby North (Chris Williamson), who is sat on the Labour Front Bench, endorsed it as the way we should go.
Gavin Barwell (Croydon Central) (Con)
8. What plans he has to designate further enterprise zones.
Caroline Nokes (Romsey and Southampton North) (Con)
17. What plans he has to increase the powers of local authorities in dealing with unauthorised development.
The Secretary of State for Communities and Local Government (Mr Eric Pickles)
Local authorities already have strong powers to act against unauthorised development which apply to everyone who ignores planning controls. In the Localism Bill, we have taken action to restrict retrospective planning applications, to ensure that people do not get away with flouting the system.
Caroline Nokes
I thank the Secretary of State for that answer. What assurances can he give me that those rules will apply equally to all residents, and that the Travelling community will not be exempt from rules that apply to the rest of the population?
Mr Pickles
It is right and proper that we should respect the lifestyle choices of the Travelling community, but that does not give them particular rights over other citizens, particularly among the settled community. This Government will introduce special rules to ensure that authorities that provide pitches for Travellers receive a top-up against the new homes bonus, but the planning rules must be blind to a person’s ethnic background.
Alec Shelbrooke (Elmet and Rothwell) (Con)
18. Whether he plans to set the strategic housing land availability assessments of potential housing provided by unimplemented planning permissions against the five-year supply requirement.
The Secretary of State for Communities and Local Government (Mr Eric Pickles)
I have today laid a written statement outlining the work of my Department over the recess. We have been promoting economic growth, promoting local shops and firms, and giving new incentives for councils to create jobs and businesses. We have increased freedoms to local councils, cut Whitehall red tape and boosted transparency in government. We have taken the lead in helping local communities get back to business after the August riots. I would like to pay tribute to local councils that provided leadership to their communities during that period, to the firefighters who bravely tackled arson in the face of violence and, above all, to local residents who literally picked up their brooms to clean up and reclaim the streets after the mess.
Chris Skidmore
Can the Secretary of State guarantee that, unlike the previous Government’s disastrous regional spatial strategy under which 10,000 houses were planned to be built on the Kingswood green belt, the national planning policy framework will retain all current green belt protections?
Mr Pickles
There was a time when I was a frequent visitor to my hon. Friend’s constituency, so I know the strength of local feeling about the green belt. Let me give him a clear and unequivocal assurance that the green belt will be protected under this coalition Government, unlike under the previous Labour Government, who promised to build on it.
Stephen Twigg (Liverpool, West Derby) (Lab/Co-op)
T10. The Aspes road-Leyfield lane footpath in my constituency is little used by local people, yet it has become a focus for crime and antisocial behaviour. Will the Secretary of State look at the rules and bureaucracy that make it very difficult for local communities to secure the closure of such footpaths?
Mr Pickles
I would be happy to meet the hon. Gentleman to discuss the specific problem he mentions; perhaps we will be able to do something to sort it out. I am grateful to him for raising the issue.
Andrew Stephenson (Pendle) (Con)
T2. At a time when the whole country is working hard to help pay down the last Government’s deficit and public sector workers are experiencing a two-year pay freeze, it appears that some council chief executives are still finding elaborate ways to hike their pay. Will my right hon. Friend join me in urging overpaid council chief executives to do the right thing and take a pay cut?
Mr Pickles
I certainly hope that chief executives will do the right thing. Above all, this issue is not just about money, but a question of leadership. It is about looking other council workers in the eye, particularly those who might face voluntary redundancy or early retirement. That is why chief executives should make some kind of sacrifice. Frankly, it is no good making a big song and dance about taking a cut and then bumping up expenses in private.
Malcolm Wicks (Croydon North) (Lab)
I welcome the Secretary of State’s decision, in the aftermath of the riots, to give the extra £20 million to Tottenham and Croydon. Does he agree that this should be focused on the businesses that have been burnt out and devastated and the citizens who were the major victims of the devastation? Will he be clear that he never intended £8.5 million of that riot money to be given to a very rich premiership football club, namely Tottenham Hotspur?
Mr Pickles
I shall be visiting Croydon very soon to discuss the possibilities. However, it is important to understand that the extra money made available was intended not to deal with riot damage or to get businesses up and running again, but to deal with some of Croydon’s long-term structural problems. I noted carefully what the right hon. Gentleman said about the football club, and will be happy to discuss with him elsewhere what should be done next.
Alok Sharma (Reading West) (Con)
T3. A recent independent report on the use of section 106 moneys by Labour-run Reading borough council concluded, among other things, that it was “difficult to categorically state that officers or members in position of power have not abused their position”.What advice can the Minister offer concerned council tax payers who want to see the full and exhaustive investigation that Labour in Reading is refusing to initiate?
Mr Barry Sheerman (Huddersfield) (Lab/Co-op)
Does the ministerial team agree that one way of making local government more efficient would be to make the people who work in it feel valued, and feel that they do a good job for their communities? Is it not about time that Ministers spoke up with one voice about what a good job those people do throughout our communities?
Mr Pickles
I entirely agree, and I think that if there was ever an example of that, it could be seen in the aftermath of the riots. I spoke to just about every council leader affected, and was immensely impressed by their determination to ensure that their communities recovered very quickly. I cannot praise their efforts highly enough.
Jason McCartney (Colne Valley) (Con)
T4. Many of my constituents are totally perplexed about why Labour-run Kirklees council is trying to steamroller through big housing developments in parts of the countryside such as Lindley Moor and the northern gateway area while there are hundreds of empty homes throughout the district. Does the Minister agree that the number of empty homes in Kirklees should be a material consideration in the council’s local plan?
Andrew Selous (South West Bedfordshire) (Con)
T8. If the Prime Minister were to give the Secretary of State an additional role, I doubt he would ask for more money to do it, so does he agree that council chief executives who double as returning officers and already earn more than he does should not receive an additional fee for overseeing elections?
Mr Pickles
This is something very close to all our hearts in this Chamber. That, of course, is a matter for the Secretary of State for Justice, but to me this seems common sense. I have not come across many chief executives who do the count and organise the postal votes; that is often done by the deputy returning officer. I know that a number of returning officers ensure that the extra money is shared among staff. I think that that is the right course, but if chief executives are pocketing that money, they should feel ashamed.
Clive Efford (Eltham) (Lab)
Local authority-run closed circuit television played a vital role in investigating many of the riots in our high streets only a month ago, yet the Protection of Freedoms Bill will make it more difficult and bureaucratic for local authorities to install CCTV. Will the Secretary of State take the opportunity to reflect on that, and consult local authorities and police before we go ahead with the measures in the Bill?
Mr Pickles
Of course we will reflect on those matters, but it is important that these important intrusions into people’s private lives are regulated, and the Bill intends to regulate them, but if the hon. Gentleman has a specific point, we will be happy to look into it.
Mr Chuka Umunna (Streatham) (Lab)
What is the Secretary of State doing in conjunction with other Departments to promote awareness among uninsured local businesses affected by last month’s riots that under the Riot (Damages) Act 1886 the deadline for making compensation claims will fall imminently—this week, I think?
Mr Pickles
As the hon. Gentleman will know, we extended the normal period within which claims can be made. We have put out a simplified form—or, rather, we have worked with local authorities to put out a simplified form. It is available on our website. I am not aware that there are many businesses that have suffered an uninsured loss that have not come forward, but we do intend to use this money to get those businesses back into business, so that the community can continue to thrive.
Greg Hands (Chelsea and Fulham) (Con)
May I congratulate the whole ministerial team on being bold on planning reform? Whatever the rights and wrongs of individual planning decisions, it cannot be right that the planning process itself costs 10 times more in central London than in central Paris or central Brussels. I therefore urge the Secretary of State to ensure that we pare down the costs of the planning process so that we can contribute to the country’s economic growth.
Lilian Greenwood (Nottingham South) (Lab)
Last year, Nottingham city council, which serves some of the most deprived communities in the country, was subjected to the biggest cuts in funding, while rural shire counties were protected. Will the Secretary of State look again at this year’s settlement and get a fairer deal for my constituents?
Mr Pickles
We had to put in place protection for Nottingham because the Labour party withdrew the working neighbourhoods fund; we had to protect Nottingham from Labour cuts. My advice to Nottingham is that if it wants to get favourable treatment from the Government, it should publish its expenditure online: publish and be damned!