Criminal Justice and Courts Bill

Debate between Sarah Champion and Robert Neill

Tuesday 17th June 2014 Commons Chamber

[Sarah Champion]

I wish to speak broadly to amendments 23 to 32 to clause 55 in part 4 of the Bill, and to the “highly likely” test on judicial review. I also wish to share my thoughts on the specific proposals for judicial review, based on the recent experiences of the Liverpool City and South Yorkshire regions, which directly affects my constituents. As a precursor, I should say that I accept that the number of judicial review cases has risen in recent years, but I am not certain that the proposed revision of judicial review would give a fair outcome to those parties seeking review, or tackle the reasons why instances of judicial review have increased.

In particular, I wish to address the idea that the likely outcome would be assessed as part of the process leading to the granting of a judicial review, rather than the legality of the process leading to the said outcome. On 7 February the South Yorkshire and Liverpool regions won a joint High Court action that ruled that cuts in European funding were unlawful. Lawyers bringing that action argued that the significant reduction in funding of 65% was disproportionate compared with other areas.

Evidence presented to the Court at the time showed that Ministers allocated €150 million less to Liverpool City region, and almost €90 million less to South Yorkshire, than they had estimated their share to be. Obviously, that could not be fair. It meant that over the next seven years, funding to Liverpool City region worked out at €147 per head, compared with €380 in the previous funding round from 2007 to 2013. A judicial review case was filed in September 2013, and the process, rather than the outcome, was deemed out of order. The judge requested the High Court to order the Government to adjust their allocation of funding from Europe because of the flawed calculation method used to distribute €10 billion from the European regional development and European social funds. Had that decision not been challenged, the funding that would have been allocated to Liverpool City region and South Yorkshire would have been spread across other regions.

Under the judicial review process as it stands, South Yorkshire and Liverpool were right to file for judicial review, as they believed that the process by which the decision was made was flawed. Logic would suggest that if the process behind the decision was flawed, the likelihood is that the decision itself would be flawed. Unsurprisingly, the judge ordered the Government to reconsider the funding arrangement.

The difficulty is that we will never know what would have happened if the Government’s proposals on judicial review had been in place at the time of that specific case. I suspect that the Government, already having a series of funding arrangements in mind, would have granted the same levels of funding to South Yorkshire and Liverpool, regardless of the process under which the funding allocation was decided. If, at the application stage, it was deemed that South Yorkshire and Liverpool would have been likely to receive the same amount of funding, their application would have been taken no further. To be clear: in South Yorkshire and Liverpool, I suspect that the likely outcome would have been assessed as the same in this case, regardless of the flawed process. Therefore, at the beginning of this process, the case may have been unable to proceed—a case in which 3.6 million people living in those regions would have not been able to access €10 billion-worth of funding.

Such considerations—those predictions of likely outcomes—will now become law under the Government’s plans. I have no doubt that in some areas judicial reviews may be seen as wasteful, but at the same time I strongly believe that the case I have referred to would not have made it to court under the new proposals.

Was the process flawed? Yes. Is the outcome likely to be similar? Perhaps, yes. Does that mean that the people of the Liverpool City and South Yorkshire regions should not have been afforded the opportunity to challenge? No. On the slim chance that the outcome would change for them, taking the case to the courts would have seen the two regions immeasurably better off. It is only right that the people of those regions be allowed to challenge that decision.

A faulty process often leads to a flawed decision, and even if the outcome might be the same, we need to consider those rare cases in which the outcome is predicted to stay the same so judicial review is not granted, but the outcome is then prevented from being different. In their current form, these plans would prevent case law from forming based on the one in 100 cases in which the outcome might have been predicted to stay the same but in fact did not stay the same. We are taking the power of the formation of case law away from judges, and we are instead putting the power of decision making into the hands of people less experienced in making such decisions.

I implore the Minister to look at the case of the Liverpool City and South Yorkshire regions as an example of why judicial review should be granted not on the basis of the likely outcome, but on the basis of the process of decision-making. We must allow flawed processes to be challenged, so that for the cases in which an outcome is different, the people involved are granted that outcome, rather than having it snatched away from them before it goes to court.

[Robert Neill (Bromley and Chislehurst) (Con)]

I thank the Minister for the constructive way in which he has engaged with me and others on the planning amendments. I welcome the stance that the Government have taken on these matters and I know that welcome is shared by the legal profession and planning professionals. The Minister is right to say that these are not necessarily the most headline catching of measures in the Bill, but they are important and valuable because they are consistent with the approach that the Government have adopted—in this instance, also supported by the Opposition, I am glad to say—towards the rationalisation of the planning process and the speeding up of the process of development.

These measures are significant, because a successful and smooth planning process, including the judicial element of potential challenges, is critical, not only to the legal process but to environmental protection and the economy. One of the problems that has been encountered in the past is that some of the duplications and delays in the system were a disincentive to bringing forward the sort of development that we all want to see. This is an opportunity to rationalise the process, and I am glad that the Government have taken it.

I also thank the hon. Member for Hammersmith (Mr Slaughter) for his approach in Committee, as well as the Under-Secretary of State for Communities and Local Government, my hon. Friend the Member for Grantham and Stamford (Nick Boles). I also thank officials in the Ministry of Justice and the Department for Communities and Local Government—some of whom are in earshot—who took my Lazarus-like reappearance on the scene of planning law in good grace and engaged most constructively with me. I also want to thank Richard Harwood QC and other members of the planning and environment Bar who did a lot of work in the drafting of the detail of the amendments.

My hon. Friend the Minister has given me the bulk of the cherry that I asked for in Committee, but the Government have not been able to make progress on a couple of issues. I invite him to be mindful of the need to keep a careful eye on the operation of the planning court, because some matters may be picked up through the civil procedure rules and may provide a constructive means of taking forward further reforms.

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[Sarah Champion]

Does the hon. Gentleman agree that good and honourable local authority people sometimes get it wrong and that having relatively straightforward access to judicial review is a good thing?

[Robert Neill]

I am not sure whether you would agree, Mr Speaker. I take the hon. Lady’s point, but I do not think that she follows it through logically. It comes back to this: the basic tests of Wednesbury reasonableness remain. The opportunity for judicial review remains and putting some balance or check in the process to say, “Before you intervene, you have to consider the costs” is not unreasonable.

Any decision maker can, of course, get things wrong, which is why we have judicial review. That remains. But equally, it is not unreasonable to say that when a challenge is brought, those who litigate ought to bear in mind the costs of their doing so. I understand the hon. Lady’s points, which she made eloquently in Committee. I have some sympathy with her, but the Bill does not do what she believes it does. I do not believe it undermines the scope for meritorious judicial review. It is not in the interests of anyone that the courts be clogged up with unmeritorious judicial review cases. There is no doubt that there have been a number of those.

On local government, let me suggest two instances of such cases. It is suggested that those who bring judicial review are often the aggrieved small people. That is not always so. When I was a Minister at the Department for Communities and Local Government, my right hon. Friend the Secretary of State and I suffered at the hands of CALA Homes in a very famous judicial review decision when we were attempting to carry out the will of the House and, clearly, of the electorate and remove the regional spatial strategies, which were discredited. A judicial review was brought against the Secretary of State and against the democratically elected planning authority, Winchester city council, which had gone through the process of standing up for its residents who did not wish to have a particular piece of land developed. What happened was that judicial review was used by, in effect, a predatory developer. There are many cases around the country where it is the big battalions who will use judicial review against elected local authorities. Redressing the balance is fair in that instance, too.