Levelling-up and Regeneration Bill

Richard Graham Excerpts

2nd reading
Wednesday 8th June 2022 Commons Chamber

[Michael Gove]

The Chair of the Select Committee brings me to an important point, which is that this legislation is complemented by other activity that Government are undertaking on levelling up. That activity involves negotiations with metro Mayors, for example in the west midlands and in Greater Manchester, on the devolution of more powers. When my good friend the former Member for Tatton initiated the programme of devolution to metro Mayors, he did so by direct discussion with local leaders. We will be transferring more powers, and we will update the House on the progress we make in all those negotiations. I noted a gentle susurration of laughter on the Opposition Front Bench, but I gently remind them—I sure the Chair of the Select Committee knows this—that when Labour were in power, the only part of England to which they offered devolution was London. This Government have offered devolution and strengthened local government across England.

As I look at the Benches behind me, I find it striking that in this debate on this piece of legislation, which is about strengthening local government and rebalancing our economy, the Conservative Benches are thronged with advocates for levelling up, whereas on the Labour Benches there are one or two heroic figures—such as the hon. Member for Barnsley Central (Dan Jarvis) and the hon. Member for Wansbeck (Ian Lavery), who are genuine tribunes of the people—but otherwise there is a dearth, an absence and a vacuum.

Talking of dearths, absences and vacuums, may I commend to the Labour Front Benchers the speech given by Lord Mandelson today in Durham—a city with which I think the Leader of the Opposition is familiar—in which he points out that Labour has still not moved beyond the primary colours stage when it comes to fleshing out its own policy? In contrast to our levelling-up White Paper and our detailed legislation, Lord Mandelson says that Labour is still at the primary stage of policy development, but I think it is probably at the kindergarten stage.

We have put forward proposals, and we are spending £4.8 billion through the levelling-up fund and similar sums through the UK shared prosperity fund, to make sure that every part of our United Kingdom is firing on all cylinders—and from Labour, nothing. When it comes to addressing the geographical inequality that we all recognise as one of the most urgent issues we need to address, it is this Government who have put forward proposals on everything from strengthening the hand of police and crime commissioners, to strengthening the hand of other local government leaders, and providing the infrastructure spending to make a difference in the communities that need it.

[Richard Graham (Gloucester) (Con)]

My right hon. Friend rightly makes a powerful case for devolution and increased democracy, but is he aware that under this Bill, a combined authority can be created that transfers powers from second-tier councils to itself, without needing the councils’ consent? That is different from the position under the Local Democracy, Economic Development and Construction Act 2009. Does he agree that that would be tragic for real devolution to the lowest possible level, and that the consent of district councils to the transfer of any powers must be secured?

[Michael Gove]

My hon. Friend makes an important point, and it gives me an opportunity to pay tribute to and thank those who work at district council level. As we look at the pattern of local government across this country, it is important to recognise that one size does not fit all. Although I am a strong advocate of the mayoral combined authority model, and it has clearly brought benefits in areas such as Tees Valley and the west midlands, we need to be respectful of district councils and the structure of local government in those parts of the country that do not—and, indeed, need not or should not—move towards that model. I look forward to engaging with him and the Association of District Councils on how we can make sure that our devolution drive is in keeping with the best traditions in local government.

As my hon. Friend reminds the House, the devolution proposals outlined in the Bill extend the range of areas that can benefit from combined authority powers, and they strengthen scrutiny. One criticism that has sometimes been made of the exercise of powers by Mayors in mayoral combined authorities is that there has been inadequate scrutiny, particularly by the leaders of district authorities within those MCAs. Our Bill strengthens those scrutiny powers, and in so doing strengthens local democracy overall. That is in line with the progress that the Government have made, including on the Elections Act 2022, which the Minister for Local Government, Faith and Communities, my hon. Friend the Member for Saffron Walden (Kemi Badenoch), brought in.

When we talk about levelling up, and particularly when we think about changes to our planning system, we absolutely need to focus on effective measures to regenerate our urban centres. One challenge that the country has faced over the last three or four decades has been the decline in economic activity and employment in many of our great towns and cities. We need to make sure that people’s pride in the communities where they live is matched by the resources, energy and investment that they deserve.

I saw some of that energy on display when I was in Stoke-on-Trent just three weeks ago, under Abi Brown, the inspirational Conservative leader of Stoke-on-Trent City Council. Real change is being driven to ensure that all the six towns that constitute Stoke-on-Trent have their heart strengthened, their pride restored and investment increased.

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[Lisa Nandy]

I agree with my hon. Friend, who reminds us that we have had 12 long years without real action to put power back in people’s hands. He raises a really important point—I think all Members have raised it: that, as long as there are centralising tendencies in Government, and as long as they find their way into Bills such as this, we will continue to undermine the situation. If the Secretary of State does not want to listen to Opposition Members, I urge him to listen to Members on his own side; looking at their faces, I do not believe they will allow this to drop.

We have debated the problems that people face in this House many times. There are simple changes that the Secretary of State could make in order to stop people coming into our communities and extracting from them.

[Richard Graham]

I want to make a couple of very simple points. First, the constituents of the hon. Member for Reading East (Matt Rodda) could have applied to a very good recent fund for brownfield sites; Gloucester was successful in its application.

Secondly, I find it curious that the hon. Lady keeps referring to the regional development agency, which was one of the most disastrous organisations ever created. It did nothing but harm in my city of Gloucester, and all the bad things that it did are gradually being sorted out by this progressive Conservative Government. Could she talk about the Bill rather than Labour’s failures of the past?

[Hon. Members]

Hear, hear!

--- Later in debate ---

[Richard Graham (Gloucester) (Con)]

The Bill focuses on three things that are close to my heart and the hearts of many Members: levelling up, democracy and devolution. If anybody wants a symbol of what can be achieved through the levelling-up fund, they should look no further than at what is happening in Kings Square in the heart of Gloucester. In what was the Debenhams department store will arise, by September next year, a new teaching campus for the University of Gloucestershire, bringing 5,000 students, 300 staff and the revitalisation of retail. That enterprise will be able to train people in health and teaching skills, thereby bringing huge help to our hospital and schools. So yes, the Bill is hugely important.

A big part of the Bill documentation is about planning. One thing that I would like to highlight there is the ability of councils to be creative in compulsory purchase orders. There are two examples on the streets of Gloucester: the ex-Colwell College on Derby Road and the Pall Mall Investments building on London Road, both of which are giant eyesores plagued with litter and antisocial behaviour. They are a symbol not of levelling up, but of what cannot be done because of not having the powers to enforce that these buildings should be brought back to productive use. I am all in favour of the clauses in the Bill that allow for better compulsory purchase.

There is one aspect of the Bill that needs to be highlighted. Unfortunately, the new class of combined county authority in the Bill, as it is currently worded, takes away from a consent section in the Local Democracy, Economic Development and Construction Act 2009. That section only allowed district council functions to be transferred with consent, whereas clause 16 of the Bill does not require the consent of district councils—second-tier councils; borough, city or district—that cannot be constituent parts of the CCA. Ministers tell me that it is not their intention for districts to be stripped of powers, but I believe that the Bill can do that, and so does the District Councils’ Network. I hope that the Minister will give a reassurance in his summing up that the Bill Committee will look very closely at the issue and ensure that a new combined county council cannot take away powers from a district council without its consent. We should be devolving down, not up. We should be creating new authorities with consent, not fiat. We should be reinforcing democracy, not taking it away from two-tier councils through unintended stealth clauses.

This is particularly relevant to small cities, because if cities such as Gloucester lose powers to combined county authorities, they would be the losers. We would have less say about our future and fewer representatives to work with community groups, and the outcomes in terms of local pride would invariably be exactly the opposite of those intended by the levelling-up Bill.

By contrast, a well-focused city council, with responsibility for its own future, is delivering, through the levelling-up fund, the brownfield site fund and the shared prosperity fund, and has further ambitions for another key part of our city centre. We will be doing our bit to achieve the goals that the Secretary of State and his Ministers share. But that is not all, because there are changes happening through multi-academy trusts, the use of diocese land, and the achievements of our university and college in the skills agenda. Be in no doubt that levelling up is happening, but let it not be at the expense of second-tier councils, and let us ensure that the Bill allows us all, however small our authority, to achieve what we want.

--- Later in debate ---

[Stuart Andrew]

I certainly make that commitment. My hon. Friend raised that point with me earlier this afternoon. There are some points there that I want to further explore, so I will ensure I meet him in the next week or so.

[Richard Graham]

Will the Minister say something in his summing up on the points that I and my hon. Friend the Member for Sevenoaks (Laura Trott) raised, and which we discussed earlier with his colleague the Secretary of State, to reassure us that there is no intention to devolve upwards and that the powers of district councils will remain as they are without being poached by some CCA?

[Stuart Andrew]

I hope my hon. Friend saw the enthusiastic nodding on the Front Bench, which will give him the reassurance he seeks.

The Levelling-Up and Regeneration Bill represents a major milestone in our journey towards building a stronger, fairer and more united country. As my hon. Friend the Member for Aylesbury (Rob Butler) said, it is for all parts of the country. It confers on local leaders a suite of powers to regenerate our high streets, towns and cities, and gives them unprecedented freedoms to build the homes and infrastructure that communities want and need, following all the BIDEN principles—that is, the Secretary of State’s, not the President of the United States. I also take on board the points raised by my hon. Friend the Member for Wantage (David Johnston) about the environmental standards of homes. I hope to do some more work on that in the coming weeks.

Levelling-up and Regeneration Bill

Richard Graham Excerpts

Report stage
Wednesday 23rd November 2022 Commons Chamber

[Dehenna Davison]

As I say, we have discussions under way at the moment and we are looking ahead to which new devolution deals we can start exploring. I am certainly happy to work with my hon. Friend to see if this is something we can deliver in his local area in Cumbria, too.

Our first amendment relates to clause 16, which allows the conferral of local authority functions, including those of county councils, unitary councils and district councils, on to a combined county authority, or CCA.

[Richard Graham (Gloucester) (Con)]

I am grateful to the Minister for giving way, because this is of seminal importance to all second-tier councils around the country. I therefore welcome Government amendment 29. Can she confirm, for the avoidance of any doubt, that this means, as the explanatory statement suggests, that there is no question of the functions of a district council in a two-tier area being handled by a combined county authority and that, although it says

“a CCA may make provision”,

a CCA cannot make provision where there is a second-tier council?

[Dehenna Davison]

I can confirm that, and my hon. Friend pre-empts the next bit of my speech, which will hopefully provide some reassurance.

Clause 16 is essential to enable CCAs to be conferred with, for example, the economic development and regeneration functions of a council so that it can deliver them over a wider area, thus driving growth. Although it was never the Government’s intention, we have heard concerns from colleagues on both sides of the House, as well as from local authorities and the District Councils Network, that the clause could be used for the purpose of upward devolution. So there can be absolutely no doubt, we are explicitly precluding the conferral of two-tier district council functions on to a combined county authority. This amendment reflects the Government’s commitment that devolution legislation will not be used to reallocate functions between tiers of local government.

Government amendment 29 will still allow for combined county authorities to exercise functions with district councils concurrently or jointly, facilitating joint working on important issues where there is a local wish to do so. I hope that addresses the concern embodied in amendment 17, tabled in the name of the hon. Member for Wigan (Lisa Nandy), who is not currently in the Chamber.

Our second amendment provides for the effective co-ordination of highways infrastructure, to enable key route networks to operate effectively. Improving key route networks across towns and cities is a Government priority, and we want to facilitate the improvement of transport links as much as possible. The co-ordination of transport across the area of a combined authority or combined county authority is a tool that local leaders across the country have told us is valuable. We therefore propose an amendment to meet the commitment in the levelling-up White Paper to provide a new power of direction for Mayors and combined county authorities, to increase Mayors’ control over key route networks. This will enable them to better co-ordinate the delivery of highways infrastructure, which is needed for effective key route networks across the whole of their authority area.

Our third amendment is a small amendment to improve the partnership between police and crime commissioners and local leaders by clarifying legislation to ensure that PCCs can participate in local government committee meetings. Stronger partnership working between local leaders is central to the Government’s priority of ensuring that local voices are heard on important issues and that decision making is informed by a variety of perspectives in order to deliver our ambitions.

These three amendments add to the strong foundations the Bill already provides for devolution, by going further to solve the specific issues that areas face. In that spirit, I can announce that we will shortly be consulting on how houses in multiple occupation are valued for council tax purposes. The consultation, to be launched by January, will look at situations where individual tenants can, in certain circumstances, be landed with their own council tax bill and will consider whether the valuation process needs to change. Our clear intention is for HMOs to be classed as single dwellings, other than in exceptional circumstances.

[Dehenna Davison]

We will be consulting on this as a matter of urgency, and I am happy to take this away and to work with my hon. Friend to make sure we find a settled solution that works for local authorities.

If regulation is required, the measure will allow that regulation to be in place before the Bill receives Royal Assent. I thank my hon. Friend the Member for Gosport (Dame Caroline Dinenage) and my right hon. Friend the Member for Portsmouth North (Penny Mordaunt) for their campaign highlighting this issue, which I know affects other MPs. The Secretary of State and I look forward to meeting their local businessman, Mr Brewer, in the coming days.

Separately, I can confirm that, during the Bill’s passage in the other place, we intend to table amendments addressing circumstances in which authorities have to pay hope value when they compulsorily purchase land in an effort to regenerate their area.

Finally, we have also tabled amendments to make minor corrections and clarifications in support of high street rental auctions and compulsory purchase reforms. These amendments will ensure the policy objectives of these measures can be achieved in full.

[Richard Graham]

I am grateful to the Minister for giving way a second time. I thank her and the Department for Levelling Up, Housing and Communities team for listening so carefully to the concerns of Members on both sides of the House. What she says about new clause 7, tabled by my hon. Friend the Member for Gosport (Dame Caroline Dinenage), is incredibly reassuring for people who are renting in HMOs. The ability to fine tune legislation is so precious.

[Dehenna Davison]

I am grateful to my hon. Friend for his incredibly kind words.

I thank Members on both sides of the House for the constructive way in which they have engaged with this important Bill. I look forward to hearing their contributions to today’s debate, and I commend our amendments to the House.

[Alex Norris (Nottingham North) (Lab/Co-op)]

It is a pleasure to speak for the Opposition in these proceedings.

The Public Bill Committee had 27 sittings over four months. The Government enjoyed it so much that they sent seven Ministers and three Whips to share the joy of line-by-line scrutiny. Which was my favourite? How could I choose between those 27 glorious sittings? They were very good debates, as the Minister said.

When it comes to levelling up, we have been clear from the outset that we feel the Bill is a missed opportunity. It ought to have been a chance for the Government finally to set out what their levelling-up agenda really is and what it means for the country. It was a chance to turn the rhetoric and all the press releases into reality. Instead of translating three years of promises into genuinely transformative change, we do not feel the Bill takes as much further forward. After the White Paper and now this Bill, we are still searching for the big, bold change for which the country is crying out and that the Government promised. The Bill has squandered that opportunity, and it seems those premises will be broken.

Levelling up is supposedly the defining mission of this Government but, after all the talk and all the promises, all they could muster was bolting a few clauses on to the front of a planning Bill. It serves no one to pretend that that is not the reality. Where is the plan to tackle entrenched regional inequalities? Where is the plan to unleash the wasted potential of our nations and regions? And where is the plan to get power out of Whitehall and into our towns, villages and communities?

Part 1 of the Bill establishes the levelling-up missions and the rules for reporting progress made against them. The missions are an area of consensus. Who in this House does not want to see a reduction in the disparities in healthy life expectancy, regional investment and educational outcomes? The problem is that, although the Government set out their supposed policy programme to deliver on these missions in their White Paper, it is in reality a mishmash of activity, much of which is already happening. We seek to improve this with amendment 10, as the missions should be accompanied by a full action plan setting out the activity taking place and how it will contribute to delivering the missions. I would hope that the Government already have such action plans, if levelling up really is such a totemic priority, but I fear they do not, because levelling up is not a priority.

[Richard Graham]

The hon. Gentleman has mentioned a couple of times the important question of levelling up across the country. Does he accept that, under the last Labour Government, one of the biggest challenges for many of us was that, although huge amounts of money were funnelled into metropolitan cities, smaller cities in counties around the country completely missed out? A huge amount of progressive work has been done by this Government to ensure that constituencies such as mine in Gloucester do not miss out on the levelling-up programme.

[Alex Norris]

I agree with the hon. Gentleman that, when we talk about levelling up, it should never be north versus south or London versus the rest of the UK, and that it should recognise that, across all communities, there are challenges and areas that need support. I think that is an area of consensus.

I stress that the hon. Gentleman is talking about the previous Labour Government, not the last Labour Government. I was at secondary school for much of that period, and I am not sure that relitigating it would advance this debate. I do not see that huge progressive changes have come through in the intervening 12 years, as he sees it, and I do not see them on the horizon either. Conservative Members may disagree with me on this point, which is fine, but if the Government are so sure of their case that this Bill will be very impactful, where is the impact assessment? Its publication is long overdue, and the stream of Ministers who came through the Committee all promised to publish it. It was signed off by the Regulatory Policy Committee on 19 July—what is that, four months ago?—but instead, it is hidden. What on earth does it say that it needs to be locked away in the Department, and what does it say about the Government that they are not brave enough to publish it?