Local Plans (Public Consent)

Nick Boles Excerpts

Wednesday 9th July 2014 Westminster Hall

[Nick Herbert]

I agree with the hon. Gentleman.

I have two suggestions for the Minister. He is listening, and I am grateful that he came through my constituency last week, sweeping past the village of Kirdford, which I have described, in his large ministerial car—

[The Parliamentary Under-Secretary of State for Communities and Local Government (Nick Boles)]

I have tried to bite my tongue for a long time in the debate, but I feel the need to point out to my right hon. Friend that I was driving my own car, without a driver or a private secretary. I was on my way to Chichester. Furthermore, on the A3 on the way back I had a tyre blow-out; I had to change the tyre myself.

[Nick Herbert]

The lesson to the Minister is clearly either to take public transport or to be driven around in an enormous ministerial car. Nevertheless, I am grateful to him for coming to my constituency, then to Chichester, to meet local people and to hear for himself about the problem.

My suggestions are, first, to strengthen the process of neighbourhood planning—to make it easier, not harder, for local communities, to give them more support and to make the process less bureaucratic. Secondly, we should tackle the overweening power of the Planning Inspectorate. The inspectorate is out of control and it is defying localism. People do not want orders from a quango in Bristol. If we are serious about localism, we must deal with that.

The Conservative manifesto stated:

“To give communities greater control over planning, we will abolish the power of planning inspectors to rewrite local plans.”

My hon. Friend the Member for Fylde said that if the Planning Inspectorate was not given new marching orders, hon. Members might decide for themselves that those marching orders should be given. I propose amendments to the Infrastructure Bill to send a clear signal to the Planning Inspectorate that what it is doing is undermining localism and support for local housing, and that that must stop.

--- Later in debate ---

[The Parliamentary Under-Secretary of State for Communities and Local Government (Nick Boles)]

It is a pleasure to serve under your chairmanship, Mr Betts. I am used to facing your inquisition and find my current position a more comfortable one to be in. Although it is more comfortable with respect to you, it is slightly less comfortable with respect to my cherished colleagues, who are familiar faces in debates such as these. They represent their constituents eloquently, passionately and with total conviction.

The difficulty is that in a sense it is of no comfort or consolation to those constituents that although they are suffering from intense problems, others are beginning to be able to make the system work. It is of no consolation to the residents of Fylde to know that in many other parts of the country, because residents there have managed to get a local plan in place, local decisions are being made and adhered to, not overturned by planning inspectors. Nor is it of any consolation to the people of Daws Hill to hear that in other parts of the country there are now 1,000 communities working on neighbourhood plans, nor that there have been 20 referendums on neighbourhood plans, all of which—20 out of 20—have shown the overwhelming support of local people for plans that, as in the community of Kirdford in the constituency of my right hon. Friend the Member for Arundel and South Downs (Nick Herbert), are for quite significant housing growth. It is of no consolation to people to hear that things may be working elsewhere.

The responsibility for the Government is to create a system that applies to everyone and every area, in which every community and every council knows what its responsibilities are.

[Steve Baker]

The crucial thing about Daws Hill is that the two developments that bracket it were excluded from the neighbourhood forum. I have every confidence that if those two areas had been included the residents of Daws Hill would have been full and keen participants in the process.

[Nick Boles]

I fully understand the frustrations of the residents of Daws Hill about that decision. It is unfortunately the case that the council is the duly elected planning authority. It is democratically accountable and therefore it is with the council that the ultimate decision lies on which areas are to be designated.

I believe that every single contribution to the debate started with an acknowledgement of the desperate need for housing. The debate was secured by my hon. Friend the Member for Wycombe (Steve Baker)—I congratulate him on doing so—and so perhaps he will forgive me if I point out that in Wycombe, which is certainly not untypical in the south of the country, the affordability ratio stands at 9.6 compared with 6.45 nationally. That means, very simply, what the father of four told him: the average price of a house in the lower quartile—the lower quarter of available houses—is 9.6 times the average income in the lower quartile of earnings, so someone who is not particularly well paid would have to spend nearly 10 times their salary to buy a house.

Now, as we know, the Governor of the Bank of England has, entirely responsibly, clarified that mortgages of more than four times income should be rare. We also know that mortgage lenders require a deposit, and the Government have put in place the Help to Buy scheme to make it possible for people to get mortgages on 5% deposits. However, there is simply no way that that gentleman, or many like him, will ever be able to afford to pull together nine or 10 times the average income without huge support from somewhere else. This Government are not willing to stand by while housing and home ownership become the preserve of the rich and those with wealthy parents, and we have to act.

[Anne Marie Morris]

The Minister is making some good points about the need for housing, but he is making none about the need for local people to have a say about where that housing is. Does he not agree that a community right of appeal, not a third-party right of appeal, might well put the Government on the side of responsible communities?

[Nick Boles]

If my hon. Friend is a little patient, she will allow me to say how the planning system absolutely gives people the ability to decide where developments should go.

I would like to start by explaining where the concept of objectively assessed need comes from. In every constituency, there are people who would like to buy a house or a flat. They might move several times, because they currently rent, and rental leases are often relatively short. They might not even get on the electoral roll or, indeed, be living in the area where they would ultimately like to buy. Who represents them in this democracy? Who represents them in local residents’ meetings deciding how many houses the community is willing to accept? We need to represent them; that is why a national Government are elected. That is why Governments have a responsibility to tell local councils, “Yes, you should decide where you are going to meet your development needs, but, no, you don’t decide whether you meet them.” We do not allow local councils to say, “We do not want to provide enough school places”—we require them to provide enough places. We do not say to the local national health service, “You decide whether you want to provide enough doctors and hospital beds”—we say, “You have to work out how and where you are going to meet your needs.” It is simply the same with housing. We represent those who do not have a vote in these public meetings and have not voted for the local councillors, perhaps because they do not live in the area yet or are not even of voting age. I take that responsibility very seriously, and I make no apology for that.

[Steve Baker]

I am extremely grateful to the Minister for mentioning affordability in Wycombe, and I am acutely aware of it, not least because it affects me too. However, it is precisely because I agree with the imperatives he has set out that I think we should move to an incentives-based system that produces consent.

[Nick Boles]

I am grateful to my hon. Friend for raising that point, because it was much the most challenging and stimulating of his very challenging and stimulating speech. I hope he will be pleased that there is a pilot of development benefits, which the Chancellor announced in the Budget, and we are working on exactly how it will work. The idea that it is not just the local council that should receive income and revenue streams from development is controversial in our planning system. The council has traditionally always received such income, whether through section 106 agreements or, as happens now, through the community infrastructure levy and the new homes bonus. What has not happened before is that the benefits go directly to householders. That happens in the Netherlands and other parts of continental Europe, and it seems to secure a level of consent that, as hon. Members have eloquently explained, we still do not manage to secure, even with local and neighbourhood plans. That is why the Government are undertaking this pilot, and I would very much welcome my hon. Friend’s thoughts about how it should operate, because we are devising it at the moment.

On that subject, we have decided to allocate to neighbourhoods that put in place a neighbourhood plan—I remind my hon. Friend that 1,000 communities are working on them—25%, uncapped, of all revenues from the community infrastructure levy. That will go to the community—to the parish council—to spend on community assets, community facilities and improvements to community amenities, as the community determines. That will not be decided by the council or a Minister—it will be decided by the community. That is a proper reward for the intense and usually entirely unpaid work people in places such as Kirdford and Bassett put into their neighbourhood plans.

[Martin Horwood]

In my urban constituency, I represent people on the housing waiting list, as well as some of the poorest areas in south-west England. The truth is that, if all the housing planned for the Cheltenham area went ahead, and it was all social housing for rent, people would be able to have three houses each. Massively more housing is being planned for our area than required by natural population growth. The developers have no interest in making it all social housing for rent—that is what Cheltenham borough council is doing in the urban areas, on brownfield sites. However, the developers have said quite explicitly to their investors in the City that they want traditional market housing; they want expensive commuter homes on greenfield sites that are cheap to build. In many areas such as ours, demand is insatiable. House prices are high because we have good jobs and good schools. Our towns have often grown enormously over decades, but that does not bring down house prices.

[Nick Boles]

I am sure we would have been happy to hear a full speech from the hon. Gentleman, because he has a lot to say in representing his constituents. It is, of course, very much open to him to make such points at the examination in public of the local plan, which I know he has some difficulties with.

I want to conclude by, in a sense, warning hon. Members and, indeed, those they represent to be careful what they wish for as they approach the next election; indeed, my hon. Friend the Member for Tewkesbury (Mr Robertson) referred to the simple matter of planning becoming an election issue. I say that because the alternative proposed by the hon. Member for City of Durham (Roberta Blackman-Woods) and the Labour party is dramatically less localist than what we, albeit with problems—one step forward, half a step back—are trying to achieve.

The hon. Lady referred to the review the Labour party has commissioned from Sir Michael Lyons. Let me refer to an article from today’s Guardian—I am sure she will agree that The Guardian is a bible of wisdom—which quotes his speech to the Local Government Association conference in Bournemouth yesterday. The article says:

“Speaking to the LGA in Bournemouth, he said a Labour government would not be abandoning the current national planning policy framework that requires councils to make land available, and if anything it would be turning the screw on councils. He said: ‘We are breaking eggs to make omelettes. The backlog is so serious here that we have to do everything we can.’

His remarks suggest the National Planning Inspectorate will, if anything, have a bigger role in ensuring houses get built.”

The British people have a choice. It is not a choice of whether to meet our housing need and to offer the next generation what I suspect every Member of Parliament in this room enjoys—the ownership of their own home. The choice is whether we try to work with local councils and local communities, giving neighbourhoods incentives to work out what new houses they will build, or whether we allow Ministers in a Labour Government to impose decisions on them. I know which choice I will be making next May.