Lord Rosser
Main Page: Lord Rosser (Labour - Life peer)
Lord Rosser
My Lords, we have had an interesting and at times passionate debate. Before I go further, I will again welcome the Minister to her new role and endorse the comments made about her by my noble friend Lady Hollis of Heigham. We have heard contributions from different sides of the argument. The contributions from the noble Baroness, Lady Hanham, the noble Lords, Lord Rennard and Lord MacGregor of Pulham Market, the noble Baroness, Lady Scott of Needham Market, the noble Viscount, Lord Ullswater, the noble Lord, Lord Tope, and the noble Earl, Lord Cathcart, were in support of the Bill and of the arguments advanced by the noble Baroness, Lady Hanham. The contributions from my noble friends Lord McKenzie of Luton, Lady Hollis of Heigham and Lord Grocott were in opposition to a Bill that seeks to deny unitary authority status to Norwich and Exeter and to stop any further progress in Suffolk. We also heard an unexpected intervention by the noble Lord, Lord Burnett, which was perhaps the most passionate, as well as being the briefest.
However much some might like to dress it up, this is a political issue to be determined by Parliament. The coalition Government do not like the decision made in March this year in Parliament, and in particular in the House of Commons, that Norwich and Exeter could have unitary authority status. These were decisions made by Parliament, not by the then Secretary of State under delegated powers. Nor do the coalition Government like the earlier decision that could have resulted in one or more unitary authorities separate and distinct from Suffolk County Council. The coalition Government are now seeking to go down the same parliamentary road, this time to reverse the decision with another Bill. They were a bit slap-happy on the serious question of whether the Bill was a hybrid. Your Lordships’ House made sure that further evidence on that issue was properly considered.
Since Parliament made its decision, we have also had a court judgment. It said that the stance of the previous Secretary of State on Norwich and Exeter having unitary authority status was not irrational and that he was entitled to reach the view that he did on the merits of the proposals. The judgment went against him largely on the basis of process. All the issues about the stance of the previous Secretary of State, including issues about process, consultation and criteria, as well as the arguments for and against by supporters and opponents of the change to unitary authority status for Norwich and Exeter, were set out, as the noble Earl, Lord Cathcart, said, in the report of the Merits of Statutory Instruments Committee of this House. The content of that report, which could hardly have been music to the ears of the then Secretary of State, was widely quoted both in the debates in this House and in the debate in the other place. It must therefore be a matter for reflection that a court has made a ruling that could be regarded as seeking to negative not a recent decision of the previous Secretary of State but a very recent decision of Parliament on an issue of this kind, when it appears that all the arguments were before Parliament when it made its decision only a few months ago. It would suggest that, on occasions, the division of powers between the legislature and the judiciary is not quite as clear-cut as some would have us believe.
There is no criticism of the coalition Government over the principle of seeking to change or rescind legislation with which they do not agree by inviting Parliament to make a different decision. That is how an issue such as this, which has been the subject of a very recent decision by Parliament, should be addressed. However, the reality is that the move by the coalition Government to deny unitary authority status to Norwich and Exeter, and to ensure that no further progress is made in Suffolk that might lead to a unitary authority, is unfair and perverse. Indeed, the decision to quash any further moves that might lead to a unitary authority in Suffolk shows that the coalition Government’s decision is not based on looking at the merits of each case but is an objection in principle, to put it at its most polite, or, to be rather nearer the mark, an objection weak on logic but strong on ideology. The Secretary of State clearly did not go through all the papers and information available with any degree of thoroughness, as he made his decisions almost before he got his feet under the table in his new office.
The case for single-tier authorities is strong. The then Secretary of State for the Environment, Michael Heseltine, said in the other place in 1991 that,
“unitary authorities are more clearly responsible for the delivery of services, and more clearly accountable for the bill local people are expected to pay ... two tiers may lead to excessive bureaucracy and duplication of effort”.
He added that single-tier authorities would enable the Government,
“to increase the momentum of their existing policies to enable decision-making and responsibility to be more directly in the hands of the people”.—[Official Report, Commons, 23/4/91; col. 901.]
Certainly, in the case of Norwich and Exeter, value for money can hardly be a concern, as my noble friend Lady Hollis of Heigham powerfully argued. Even the then Permanent Secretary at the DCLG stated that, while the proposals would involve estimated net costs of £400,000 over the period to 2014-15, annual ongoing savings thereafter were estimated at £6.6 million. He acknowledged that, if the proposed approach of a unitary Norwich and Exeter achieved the economic gains envisaged, there might be offsetting benefits to the public purse from an increase in jobs, extra local and national tax revenues and reduced benefit payments.
Between 1995 and 1998, 46 new unitary authorities came into existence covering over a quarter of the population in non-metropolitan England. Only four of the 39 former county councils disappeared entirely, which does not suggest that an efficiently run county council cannot survive and prosper where unitary authorities have been established.
I do not know whether the new coalition Government have now taken a decision that unitary authorities act as a brake on progress rather than as an engine for economic progress both within their own area and the surrounding areas, and whether they now intend to abolish them. That is not an unreasonable question to ask, as it was the Conservative Government’s Local Government Act 1972 that established a two-tier structure for the whole of England and showed their then dislike, which appears to be resurfacing with this Bill this afternoon, of single-tier authorities for cities such as Norwich.
The Liberal Democrats, of course, used to believe that there should be a single principal tier of local government—and I think that the noble Lord, Lord Tope, is still in favour of it in his own area—unless the local community preferred other arrangements. However, that is clearly not their policy if it is Norwich—the largest non-unitary authority in the country—or Exeter that wants unitary status.
The principle of unitary authorities is not new, including in county council areas. For example, Devon already has two established unitary authorities; Wiltshire, I believe, has Swindon; and Bedfordshire had Luton. Why, then, should Norwich and Exeter not also be given the unitary authority status that they, and not the previous Government, have sought? Other county councils prosper alongside unitary city authorities, so why not Norfolk and Devon? We have had no plausible answer to that question from either wing of the coalition Government, and that is the question that the noble Earl, Lord Cathcart, should be raising not with me but with his own Front Bench.
Lord Teverson
I thank the Minister—I am sorry, not the Minister; I am out of date. I thank the noble Lord for giving way. I answered that question. I said that in historic Devon there are two unitary authorities: Torbay, which has not been successful, and Plymouth, which struggles hugely. There are others that are good, but those are the facts.
Lord Rosser
My Lords, I note that that is the noble Lord’s view, but I doubt that it is universally held. I accept that he is entitled to his view, as I am entitled to my view and this side is entitled to its view on these issues.
The situation is that Norfolk County Council and Devon County Council object to Norwich and Exeter respectively being given the much greater freedom to manage their affairs that unitary authority status would provide, apparently on the basis that it would make life more difficult for them. If other county councils, such as Wiltshire County Council, can prosper with separate unitary authorities in their major urban areas, why not Norfolk County Council and Devon County Council? As the judge said, the decision by the previous Secretary of State was not irrational; he was entitled to reach the view that he did on the merits of the proposals. However, it is irrational for a coalition Government who preach the language of devolving power and moving away from big centralised government to deny the right of Norwich and Exeter to break free from what they obviously feel are the shackles of Norfolk County Council and Devon County Council respectively, both of which on this issue seem to have a adopted an attitude more akin to that of a colonial power, resisting to the end the desire for independence of those whom they currently rule.
There is a decisive majority on Norwich council and either unanimity or near unanimity on Exeter council, which goes across parties, in favour of unitary authority status. However, their views seem to count for nothing with this coalition Government, which is a clear message that, despite the rhetoric to the contrary, the wishes of locally elected representatives will be ignored by them.
We often hear it claimed that those who live in urban areas do not understand the culture and needs of those in rural areas. This issue with Norwich and Exeter is the reverse: there is a feeling that the rural-dominated county councils do not understand the culture and needs of the urban area. Frankly, at a time when the Secretary of State has so demonstrably failed to stand up for local government in England, which faces cuts in funding in the current financial year of £1.165 billion, there will be an inevitable feeling in Norwich and Exeter, which will no doubt prove justified, that their respective county councils will not exactly fall over themselves to ensure that the brunt of any coalition government cuts will not be borne by the two major cities within their areas.
It is Norwich and Exeter that seek unitary authority status.
Earl Cathcart
My Lords, the noble Lord seems to be arguing so passionately for their cause that I wonder whether he feels that the Merits Committee got it wrong.
Lord Rosser
My Lords, my recollection is that the Merits Committee said that it did not come to a definitive view on the arguments relating to unitary authority status for either Norwich or Exeter. It is not the role of the Merits Committee to make that view. The Merits Committee put certain issues in front of the House for the House to decide whether it wished to take them into consideration.
There was no attempted imposition by the previous Government. The imposition is coming from the new Conservative-Liberal Democrat coalition Government, who, contrary to the overwhelming wishes of locally elected representatives from different parties, have decided to ride roughshod over their views and deny them what cities of comparable size in other parts of the country already have—unitary authority status. That is what the coalition Government call “freedom, fairness and responsibility”.
I hope that the Government will think again and move away from the “central government knows best and will decide” stance that they are adopting on this issue and on a number of other issues in the short time that they have been in office. If the coalition Government are not prepared to think again, Norwich and Exeter will, unfortunately, have to be patient for a little longer, but at least the cross-party support for a unitary authority in those two fine cities will know where support can be found—and it is not on the Benches opposite.
Baroness Hanham
My Lords, if the noble Baroness had continued to sit for a bit longer, she would have heard me get to her point. It is correct that the Bill does not repeal the Local Government and Public Involvement in Health Act 2007, but it would also be fair to say that the Government have no plans to issue further invitations for unitary authorities and, if there were applications, they would be viewed against the serious economic situation we are in at the moment and consideration would be given to whether they offered any value for money whatever, which these applications have proved not to have. I should have thought that any local government worth its salt would think twice about putting forward an application under those circumstances.
Lord Rosser
The noble Baroness raised the issue of the Merits Committee report. I stand by what I said in response to the intervention from the noble Earl, Lord Cathcart. The report states:
“The Committee emphasises that it is not our role to reach a view on whether some form of unitary status is right in these circumstances, but to draw to the special attention of the House issues which it may wish to take into account when reaching its decision on the specific proposals in these Orders”.
That is the role of the Merits Committee. As the report states, it is not the role of the Merits Committee to reach a view on whether some form of unitary status is right in these particular circumstances.
Baroness Hanham
My Lords, I am sure the noble Lord will forgive me for saying that I did not say that the Merits Committee report supported or not unitary status. I said precisely what he said: that the Merits Committee drew the attention of the House to certain aspects with which it was deeply unhappy. I am certain that that is what I said; it is certainly what I meant to say; I do not believe that the noble Lord can draw any inference from what I said that I thought that the Merits Committee was either supporting or not supporting unitary authority status.