Infrastructure Bill [HL] Debate

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Department: Department for Transport
Wednesday 5th November 2014

(9 years, 12 months ago)

Lords Chamber
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Lord Ahmad of Wimbledon Portrait Lord Ahmad of Wimbledon
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I beg to move Amendment 88 and shall speak also to Amendments 89 to 95 and Amendment 121. Maximising the release of surplus public sector land is critical to supporting the Government’s ambitions to reduce the deficit, increase the number of houses being built and help to drive economic growth. The new public sector land programme from 2015-16 will mean transferring a significant amount of surplus and developable land from government bodies to the Homes and Communities Agency for onward disposal.

Clause 21 is intended to speed up the transfer of land from arm’s-length bodies to the Homes and Communities Agency by allowing sites to transfer directly using a single transfer scheme, rather than transferring first to the parent department in a separate scheme. However, the Homes and Communities Agency no longer has a remit to operate in London without mayoral delegation. The Greater London Authority therefore has a pivotal role in delivering housing and economic growth in the capital, and we have been working with it to consider how its expertise can best be utilised in the disposal of surplus government land. The GLA has been clear that it wishes to carry out the Homes and Communities Agency’s former functions in London with regard to the disposal of developable land. The Greater London Authority Act 1999 allows for the transfer of central government land to the authority but, as with the Homes and Communities Agency, land from arm’s-length bodies can transfer only via the parent department and not directly in a single scheme.

In Committee, my noble friend Lady Kramer agreed to consider an opposition amendment to enable direct transfers of land from arm’s-length bodies to the GLA. Following our constructive dialogue with the GLA over the past few months, we are now satisfied that there is strong potential for the GLA to have a role in disposing of surplus government land in London. This amendment, which will allow land to be transferred directly to the GLA and its subsidiaries, will help to reduce bureaucracy in the longer term. We are therefore tabling a government amendment to effect this change. Our amendment adds three new sections to the Greater London Authority Act 1999 to allow schemes to be made transferring land to the GLA and for regulations to be made naming the bodies which will be able to transfer land and setting out the tax position for transfers.

We introduced Clause 22 to ensure that appropriate development may happen quickly by bringing the powers of purchasers of land from the Homes and Communities Agency, the Greater London Authority and mayoral development corporations into line with those presently enjoyed by the purchasers of land from local authorities and other public bodies involved in regeneration and development. We have tabled this amendment to ensure that the powers will be fully available in relation to the GLA.

The bulk of GLA land is held and managed by GLA Land and Property Limited, a wholly owned subsidiary of the authority. We need to make sure that the amended powers will apply to land which the subsidiary holds or disposes of in the same way as they will apply to land which the HCA, GLA or an MDC hold or dispose of. These amendments clarify that the powers will be available in relation to land which the subsidiary owns or disposes of, provided that it has been carrying out housing and regeneration functions for the GLA in relation to that land.

Amendment 121 refers to new subsection (12) of Clause 22. Clause 40 is concerned with the territorial extent of provisions. Although Clause 22 is effective in England only, there is only one legal system covering England and Wales, and that system will operate in relation to Clause 22. The legal systems in Scotland and Northern Ireland will not operate in relation to the clause. I beg to move.

Lord Tope Portrait Lord Tope (LD)
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My Lords, Amendment 93A is in my name. In speaking to his amendments, the Minister referred to an opposition amendment in Committee. The amendment was in my name and, while I understand that the Minister may occasionally feel that I am in opposition, I mostly support the Government in this House and therefore perhaps we could correct that. It was not an opposition amendment; it was an amendment on behalf of the Greater London Authority, moved by a Liberal Democrat Member on the government side of the House.

Lord Ahmad of Wimbledon Portrait Lord Ahmad of Wimbledon
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My Lords, for the record, I fully acknowledge my noble friend’s contribution in that regard.

Lord Tope Portrait Lord Tope
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My Lords, I am grateful and my pride is restored. When I received the open-door response from my noble friend Lady Kramer on that occasion, I think I predicted that the two-word amendment which I moved in Committee would come back at this stage of the Bill as a two-page amendment. I did not anticipate that it would run to eight or nine amendments over five pages, but I am grateful to the Minister and his officials for their work to try to correct what we all recognise was an anomaly.

The Greater London Authority is happy with the amendments to Clause 21 and with Clause 21 when amended, but there are still concerns about Clause 22. The Government’s proposals are welcome, but they do not go quite as far as they need to in order to correct what the Government intend. That is because the protection afforded by the new clause does not completely cover historic disposals. We are trying to correct an omission from the Housing and Regeneration Act 2008. It is the view of the GLA that to be legally robust and clear to prevent unnecessary blocking of planned strategically important developments, the legal operation of the changes made by Clause 22 needs to be retrospective and to cover historic disposals. My Amendment 93A to Clause 22(11) would ensure that the changes in the clause cover relevant developments in London from the time that Section 11 of and Schedule 3 to the Housing and Regeneration Act 2008 came into force, which was 1 December 2008. That would mean that all relevant land left unprotected by the defective provisions of that Schedule 3 would be covered by the corrections made by this amended Clause 22. It would also cover the appropriate corresponding provision that applied to the London Development Agency prior to its abolition.

That is entirely consistent with the Government’s intentions. I hope that the Minister will be in a position today to accept Amendment 93A. If he is not in a position to do so today, I hope that he will give a commitment to look at this point, which the Greater London Authority rightly feels to be important, and to correct it at a later stage, preferably at Third Reading in this House so that I can tie up the loose ends, but if that is too quick, then at a further stage of the Bill.

Lord McKenzie of Luton Portrait Lord McKenzie of Luton
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My Lords, we are grateful for the explanation provided by the Minister today and in the letter of 30 October. It follows a commitment made by the Minister when we discussed an amendment from the noble Lord, Lord Tope, which called for the GLA to perform the role of disposal agency in London. This parallels the role designated for the HCA outside London, whereby land from arm’s-length bodies can be transferred directly rather than via the parent department. We support these amendments.

We also support the amendment just spoken to by the noble Lord, Lord Tope, about the cut-off point and the date from which these provisions apply. That anomaly was pointed out in Committee. I hope that the Minister is able to give a positive response.

In Committee, we also probed the prospect of one or more local authorities adopting a similar role, particularly given the prospect of releasing substantial sums of publicly owned land to support housing development. This appeared to find some approval from the Minister, who undertook to explore further. Given that we do not have an amendment from the Government on this point, is this issue still under active consideration?