Cities and Local Government Devolution [Lords] Bill

Mike Kane Excerpts

Wednesday 21st October 2015 Commons Chamber

[James Wharton]

As well as amendment 29, I will speak to Government amendments 4, 18 to 22, 27 and 28, and to the stand parts for clause 1, clause 2, clause 3, schedule 1, and clause 4. I will also comment, if time and the mood of the Committee permits, on new clauses 1, 13, 18, 22, 23 and 25, amendments 51, 43, 46, 39, 44, 53 and 57, and new clauses 21, 56, 42 and 59, which have been placed in the same group.

The range of interest that has been shown in this Bill speaks for itself. On Second Reading 76 colleagues made contributions, and there was a great deal of consensus. This Bill is of a consensual nature, and while there are issues that we will be discussing in Committee, it is important to put that on record. My intention and that of the Government today is to reflect on the debate that is now to take place and take that into account going forward. We hope this debate can continue in this consensual tone and that it will characterise the passage of this Bill.

Clauses 1 and 2 were inserted into the Bill in the other place. We have considered carefully the arguments in support of the clauses. We share the views of those who supported the clauses about the importance of the Government’s accountability to Parliament for the devolutionary measures and deals they pursue.

Clause 1 places a statutory duty on the Secretary of State to provide annual reports to Parliament setting out information about devolution deals. We recognise that the effect of this clause will be to bring together in an annual report to Parliament details about the whole range of devolutionary activity. While some, if not most, of this information will have been made available to Parliament in the ordinary course of business, we accept that there can be value in such a comprehensive annual report, enhancing transparency and accountability. The Government therefore accept that clause 1 should stand part of the Bill.

Amendments that hon. Members have now tabled seek in various ways to extend the reporting requirements. We are not persuaded that these are needed to ensure the transparency and accountability that we all wish to see, but I will listen carefully to the debate and we will consider further expanding the reporting requirements on devolution in due course subject to the arguments hon. Members put forward.

The hon. Member for Nottingham North (Mr Allen)—whom I may refer to occasionally throughout today’s discussion—has tabled new clause 18, which would require the Secretary of State annually to lay before Parliament a devolution report and enable the Secretary of State to establish an independent body to provide advice on devolution of powers. I think the reporting requirement he has in mind is already covered by clause 1, and while we accept the importance of reports, I do not believe a case can be made to establish some new independent body to provide advice. I fear that any such step would simply lead to additional costly bureaucracy.

The hon. Gentleman has also tabled new clause 13, which would require the publication of a report about how powers devolved to combined authorities are being further devolved. I know he takes great interest in that issue, in line with the devolution agenda more broadly, and wants that taken forward. The Government attach importance to such further devolution. In the Localism Act 2011 we have recognised the importance of neighbourhoods and of neighbourhood planning, and of communities being able to take ownership and management of community assets or take on the provision of local services. This is an important element of devolution and I can see the case for any comprehensive report about devolution covering these matters.

Amendment 42 was tabled by my hon. Friends the Members for Altrincham and Sale West (Mr Brady), for Hazel Grove (William Wragg) and for Bury North (Mr Nuttall). It would require the Government to publish an annual report about powers that have been devolved to a combined authority mayor. This again is an important matter and there is a case for information about this to be included in any comprehensive annual report on devolution. The Government recognise that and want to find the right solution for the concerns hon. Members have.

The shadow Secretary of State and the hon. Members for Heywood and Middleton (Liz McInnes), for Croydon North (Mr Reed), for Dewsbury (Paula Sherriff), for Easington (Grahame M. Morris) and for Stretford and Urmston (Kate Green) have tabled new clause 22 which would make it a requirement for the Secretary of State to report on further devolution options for London, including fiscal devolution which has been called for by the Greater London Authority and the Mayor of London. As we made clear in the other place, we are open to discussing with London plans for the devolution of wider powers. Indeed, the Mayor and London Councils have already sent in formal devolution proposals and the Government are engaged in discussions regarding these. We are committed to taking forward these discussions and I doubt whether there is a need for some further reporting requirement therefore to be included in this Bill.

[Mike Kane (Wythenshawe and Sale East) (Lab)]

Will the Minister confirm that these devolution powers from central Government apply to Manchester and to the interim authority and mayor after 2017, and that it is not the reverse—from local authorities up to a combined authority or mayor system—and that with spatial planning it will take the full agreement of the 10 leaders who make up the cabinet and a two-thirds majority for all other decisions? Will he confirm that to the Committee today?

--- Later in debate ---

[James Wharton]

That would be entirely a matter for the proposal put forward by the local area in question. We would certainly be open to whatever geography an area wished to present as the most logical for its economy and the most able to allow it to drive forward the changes and improvements we envisage being enabled by the Bill. So yes, that would be possible, but only by agreement and in line with the Government’s approach to devolution.

[Mike Kane]

Can the Minister explain what first attracted the Chancellor of the Exchequer to the idea of extending the business rate relief zone to his constituency of Tatton, enabling it to be considered part of Greater Manchester?

[James Wharton]

The hon. Gentleman tempts me to divert my attention from the amendments. The steps this Government are taking on business rates are generally welcomed by local government—that is my experience of the discussions I have had. They are another step towards giving local government the certainty, control and freedom it wants, and delivering on our agenda. They are broadly in line with the devolutionary approach that we are taking and is envisaged by the Bill.