T7. This will be the last Communities and Local Government question that I shall ask. May I therefore surprise the Government by congratulating them on introducing measures to require the installation of smoke alarms in all privately rented housing, but—there is a sting in the tail—may I also ask them to explain why it took them so long to reach that decision, given that their own impact assessment shows that the measure will save more than 20 lives a year? Is it because there are forces within the Government that are hostile to regulation, even when it saves lives?
It is with some sadness that I come to the Dispatch Box. I had the honour of following the right hon. Gentleman when he made his maiden speech on his second appearance in the House, which was a daunting task. I am very pleased to be answering his question today.
These things take a little time. The private Member’s Bill introduced by my hon. Friend the Member for High Peak (Andrew Bingham) helped, but it took a little time to persuade colleagues. I wanted to give these alarms away for free. It makes an enormous amount of sense for firefighters to fit them. It seems to me sensible, rather than imposing a duty, to impose a charge. I wish the right hon. Gentleman and his family every success for the future.
I need to emphasise, and not just for form’s sake, that I am waiting to hear from Tower Hamlets in response to my report, but should I decide to appoint commissioners, one of their prime responsibilities would be to ensure that there was a robust system of transparency, scrutiny and accountability. The reason that I want to do that is that that is exactly what happens in just about every council up and down the land. That is normality, and no one ever really questions it. Sometimes, when I talk to other Government Departments about introducing new things for local government, people suggest nailing them down and making them a statutory duty, but the truth is that we probably do not need to do that. This is how local government operates, and how it has always operated. It puts its citizens first, so when we have one council that disregards that principle, it makes the system much more difficult to operate.
I, too, welcome the Secretary of State’s statement, and I entirely support the actions that he has outlined. It is absolutely right that there should be effective intervention in the exceptional cases in which individual local authorities have manifestly failed. I was involved in a similar action some years ago in Hackney, which I am pleased to say led to significant improvements. Hackney is now a very different authority from what it was. One of the lessons from that is that intervention to root out problems should also involve trying to build on the strengths of the authority and of the elected members who want to transform the area. Will he tell us what more will be done to encourage the elected representatives of Tower Hamlets who want to transform that area for the better to work with the commissioners to achieve a lasting improvement in the service?
I might be doing the right hon. Gentleman a disservice, but I think he was the architect of the powers that I am currently using, so I shall be freshly polishing the substantial bust of him that sits in my office. He is right to refer to experience. In Doncaster, we used the Local Government Association and peer-to-peer monitoring, and we got alongside the councillors. It was not just the mayor that we were trying to bolster up; it was the councillors as well. We took cognisance of the fact that we needed to bring out the best. Not everything is wrong in Tower Hamlets, as the hon. Members for Poplar and Limehouse (Jim Fitzpatrick) and for Bethnal Green and Bow (Rushanara Ali) have said. It is a wonderful, vibrant place, but frankly it deserves better leadership.
(10 years, 10 months ago)
Commons ChamberOf course I will give way to the hon. Gentleman, but just let me make a little bit of progress.
According to the Office for National Statistics, house building is now at its highest level since 2007, based on new orders in residential construction. House building starts in the last quarter were at their highest level since 2008. The National House-Building Council agrees, with new home registrations at their highest since 2008. The Royal Institution of Chartered Surveyors has declared that
“every part of the country has reported growth since the beginning of the market crash six years ago.”
Contrary to the Opposition’s motion, statistics on net housing supply show that 400,000 more homes have been delivered in the first three years, which is in line with figures before Labour’s housing crash.
As the Secretary of State is referring to figures, will he confirm that his Department’s statistics show that in 2007, 176,000 homes were built, in 2008, 148,000 homes were built, and in the latest 12 months in which he has been Secretary of State, just 107,950 were built?
Basically, if the right hon. Gentleman walks through the door of Eland house and embraces Stanley Baldwin’s figures, he will find that it takes a wee while to start to make progress. He should congratulate the Government on what we have been doing to get the thing going again, and it is a matter of some pleasure that that is the case.
May I draw the House’s attention to my declaration in the Register of Members’ Financial Interests? Will the Secretary of State tell the House what his Department’s latest assessment is of the expected level of house price inflation over the coming year?
The Department relies on the Office for Budget Responsibility for those figures.
I tell you what: if every council cuts its council tax by 2%, I might re-look at some of the unpleasant things I have talked about. I will look carefully at what the hon. Gentleman has mentioned, but I suspect that it is an honest assessment of the current situation, that it gives information to people and that we will not find horoscopes or TV listings in it. Lancashire has a vibrant local press.
8. How many new homes were started in England in 2012. [R]
That question might have sounded like a good idea earlier this morning, but this is the wrong Bill, the wrong matter and the wrong debate in which to raise it. If the hon. Gentleman writes to me, no doubt we will do our best to help.
In an internet age, Britain must be able to compete virtually; otherwise, businesses will literally select another country at the click of a mouse. We live in a connected age, but technologies also make our society interdependent. Everyday families take for granted the “just-in-time” technologies that stock our supermarkets and drop off internet deliveries to our doors. To make them work, however, we need to build and provide the storage depots, warehouses and rail exchanges, and the supporting energy infrastructure to keep the economy moving.
The number of large-scale business and commercial applications taking over a year to determine is rising, so this Bill will allow an alternative process to decide nationally significant business and commercial projects within 12 months of the start of examination. Existing requirements to consult local communities will be retained, as will democratic checks and balances.
I am grateful to the Secretary of State for giving way, and hope this will not cause him any difficulty with his colleague. How will “nationally significant developments” be defined? What definitions will be used to decide whether developments are nationally significant and thus fall within the remit?
First, there are national policy statements, in addition to which we are going to consult. Let me be absolutely clear that it is our ambition to ensure that, providing local authorities put together a planning performance agreement with these large developments, this measure will not be necessary; it is there to help. I give way now to my distinguished hon. Friend.
(12 years, 2 months ago)
Commons ChamberAbsolutely. The alternative means will be a touch of realism about the process, which will help. My hon. Friend makes an important point. As well as the process of renegotiation, we are looking at being able to deliver an additional 15,000 affordable homes, on top of what we have already announced. It is a measure of the kind the Opposition would never have dared advocating. I know that she is a keen observer of the media, so she might recall that when the former Prime Minister was interviewed on “Newsnight” he said that the housing market was essentially a private one and that there was a good case for the withdrawal of much of state aid.
May I draw attention to my interests in the register? Will the Secretary of State tell us the distinction between the doctrine of muscular localism, which he has just announced, and heavy-handed, top-down centralism?
If the right hon. Gentleman will forgive me for saying so, he represented the heavy hand of centralism and I represent muscular localism.
(12 years, 10 months ago)
Commons ChamberYes, of course. The idea is to give the maximum incentive to councils. That is how the system is being devised. However, it is much simpler than the existing system, which is just about impenetrable. Indeed, London Councils considered that point some time ago when it described the four—[Interruption.] Ah, I have it in front of me. How very helpful! This is marvellous. Bob always comes up trumps. This quote comes from the London Councils’ report, “Four Block Muddle”:
“The current formula grant system…lacks transparency and is inherently unstable and unpredictable, generating fluctuations in grant allocation that defy logic… Even finance experts, let alone members of the public, struggle to understand the working of this complex system.”
So here we are introducing a much better system, and, to coin a phrase, I would have expected local councils to rejoice, rejoice, rejoice.
I give way to the right hon. Gentleman, the architect of our present system.
I am grateful to the Secretary of State but I have to say that many other people besides me were architects of the existing system. However, given that doubts are being expressed by many local authorities about whether the provisions in the Bill will achieve the objectives that the Secretary of State has set out, will he, in words of one syllable and in plain English, explain the provisions in the first seven clauses of the Bill, which to most people are absolutely incomprehensible gobbledegook?
I feel a little stung because I have always been most helpful to the right hon. Gentleman.
Clause 1 deals with the local retention of the non-business rate and provides for the framework of the rate retention scheme in England by inserting a new schedule 7B into the Local Government Finance Act 1988. Clause 2, on the revenue support grant, gives effect to schedule 2, dealing with the amendment of provisions about revenue support grant in England. Clause 3, on additional grant, amends the 1988 Act to remove the provision for the Secretary of State to pay additional grant to local authorities in England. It also makes consequential amendments to the Local Government Finance Act 1992 and the Greater London Authority Act 1999. Clause 4, on the local government grant, amends section 100 of the 1999 Act so that from 1 April 2013 the Secretary of State may pay a general grant to the Greater London authority for a financial year but will not be required to do so. I think that that covers the point, although we could go through the entire Bill—there are only 16 clauses.
I was very impressed by what I saw in Great Yarmouth, which has within it Nelson ward—the fourth most deprived ward in the country. What impressed me was people’s determination. Great Yarmouth had an opportunity, about 30 years ago, to become the Aberdeen of the south, and with the move towards carbon capture and similar moves on energy it has an opportunity to become a major driving force within the United Kingdom.
May I draw attention to my interests in the register?
Is the Secretary of State aware that Notting Hill Housing Trust, a housing association, is reported to be marketing overseas some of the homes that it is currently building? Although it may be understandable for private builders facing the very serious crisis in selling properties to do this, is it not totally unacceptable, at a time of chronic need for housing for British people here in this country, for a housing association to be selling homes overseas? What is the Minister going to do about it?
My hon. Friend makes some very important points, but such matters are way above my pay grade. With regard to charitable trusts and the like, however, it would be sensible for her to talk to members of my Department, and we will do our best to help her.
I draw attention to my entry in the Register of Members’ Financial Interests.
On waste, will the Secretary of State confirm that his Department spent £1.3 million in the first four months of this year on legal advice and consultancy? How much of that was attributable to the consequences of his unlawful decision to try to abolish regional spatial strategies?
I am delighted to tell the right hon. Gentleman that the bill has come down from what it was under Labour, and that quite a lot of that money was actually expended on decisions taken by my Labour predecessor. We have been using that money to unravel the mess that he and his friends left behind.
(13 years, 7 months ago)
Commons ChamberIt is a great pleasure to resume the debate on the Budget.
Since 1997, year on year, families have waited for that dreaded envelope: the council tax bill. Every year under Labour, it grew, eventually doubling in size, but this year something is different. As the bill hits the doormat, families and pensioners throughout England will find that it has not gone through the roof. It will save families up to £72 on a band D home, because the coalition Government are on the side of ordinary working people. I commend those councils—every single one of them—that have taken up the Government’s offer to give their residents a much-needed break, but I am very disappointed that the Opposition have opposed the measure.
In the Commons, the shadow Local Government Minister, the hon. Member for Derby North (Chris Williamson), called the measure a “gimmick”. His Lords counterpart last week also opposed it, alleging that the
“freeze builds up financial trouble for the future.”
Surely that cannot be the Labour party’s position, because it is not what Labour councils are saying on the ground.
I have a selection of quotations, and I will read out just three that will help. Sandwell’s local authority states:
“The council is very aware of the difficult times local people face, and we don’t want to add to their misery”.
On the freeze, it states:
“It would be barmy not to do so.”
Manchester city council, a local authority that we have heard a lot of recently, states:
“We recognise it has been a very difficult year for some people, and as the UK comes out of recession it is critical we offer all the support we can to Manchester residents… it is great news…that this year we will freeze council tax”.
Will the right hon. Gentleman give way?
In a moment. Let us have the full panoply before we hear from the right hon. Gentleman.
Yes.
Bolsover council states that
“we have taken this step to freeze our share of the Council Tax because we do not feel it is fair that these are passed onto you”.
I do not recall the right hon. Gentleman freezing the council tax during his time in government, but let us hear from him.
I am sure the right hon. Gentleman will recall, because he has followed local government matters, that the London borough of Greenwich, the authority in the area I am proud to represent, has frozen its council tax for six of the past 10 years—under a Labour Government for five of those six years. Has he forgotten that? Is he not aware of what councils were doing long before he took up his current position?
I suppose if a council sits on £130 million of reserves, that is an easy thing to do, but let him recall Hammersmith and Fulham, which, after years of considerable increases, managed not only to freeze the council tax but to cut it in each successive year.
I regret that the Labour party says one thing in the Chamber and another thing to the voters. I am proud to say that we are able to set aside—
(13 years, 10 months ago)
Commons ChamberI wish that my right hon. Friend had not used the R-word, but it is certainly my intention that this is part of a continuous process of devolution. He is quite right. There was a lot of cynical suggestion that the London councils and the Mayor would not be able to reach an agreement, and it is to their credit that they have managed to do so.
Will the Secretary of State give way?
As I understand it, the Secretary of State’s chief argument in favour of the Bill is that local people should be free to determine how they receive services within their own area. Does he believe that the frequency and arrangement of refuse collection services should be left entirely to local decision, or might he occasionally be tempted to intervene in this?
(13 years, 11 months ago)
Commons ChamberOf course, I hope that it will not be necessary to cap any authority this year. I rather hope that they will all accept the council tax freeze. The beauty of the measure is that once we get through this year, there will be no more capping. A reasonable level will be suggested, and after that, local people can decide. If local authorities make a reasonable case for an increase, so be it. The measure will act as a break against excessive council tax rises.
The Secretary of State expresses surprise that we are not rejoicing at the settlement that he has announced. After 13 years of Labour Government announcements that always contained year-on-year real terms increases in grants to local authorities, this year the Secretary of State is announcing a settlement in which every local authority in England—with the possible exception of Dorset, although that point was not entirely clear—will suffer a loss. Is that not an indication of what the Tory in government means?
(13 years, 12 months ago)
Commons ChamberI have to say that that is the future of local government. We expect local authorities to merge services and to protect the front line. Prudent councils are doing that. Councils that are more content to use the poor and the vulnerable as a battering ram against the Government will seek to protect the centre and not seek to protect front-line services, whereas good councils will protect the front line.
4. What progress has been made in devolving more powers and financial autonomy to local authorities.
(14 years, 1 month ago)
Commons ChamberIf we are organising trips around the country, the least I can do is come and see my hon. Friend in Colchester.
Will the Secretary of State tell the House whether he believes that house prices will rise or fall over the next six months? If they fall, would he see that as a good thing or a bad thing?
I understand what my hon. Friend is saying. We are determined to ensure that planning remains local, but of course an applicant’s right to appeal against a decision will remain.
I welcome the Secretary of State to his new post. What estimate has his Department made of the impact of the potential changes to planning policy implicit in this question and the other changes his Government have announced, given that Savills, the respected commentators on housing, project that on current trends and patterns there will be a cumulative shortfall of more than 1 million homes within five years?
I thank the right hon. Gentleman for his welcome. It is entirely typical of his courtesy that his was the first letter of congratulation that I received. However, I have to tell him that it seems perverse for the Labour party to be concerned about housing numbers. After all, last year the lowest number of houses was built since 1946. Under Labour, it would appear that more damage was done to the housing industry than the Luftwaffe did.