Oral Answers to Questions

Debate between Steve Reed and Brandon Lewis

Monday 2nd February 2015 Commons Chamber

[The Minister of State, Department for Communities and Local Government (Brandon Lewis)]

We are progressing longer tenancies by promoting a model tenancy agreement with bodies representing landlords, tenants, letting agents, mortgage lenders and local authorities. Recent figures show that tenancy lengths have increased to an average of just under four years.

[Mr Reed]

A survey conducted in Croydon North showed some letting agents charging registration fees as high as £500, and hundreds more in finder’s fees and for simply handling the deposit. Of course, short tenancies make this rip-off even worse. Why are the Government not standing up for hard-pressed renters against rip-off letting agents?

[Brandon Lewis]

Actually, we are. The new provisions in the Consumer Rights Bill will require all letting agents to publish their full tariff of fees, both on their websites and prominently in their offices, regardless of whether they are a member of a protection scheme and of which redress scheme they have signed. This will protect tenants from the small minority of agents who charge unreasonable hidden fees and will raise awareness of safe agents and the right of redress.

Local Government Finance

Debate between Steve Reed and Brandon Lewis

Wednesday 18th December 2013 Commons Chamber

[Brandon Lewis]

If the hon. Gentleman looks at the Birmingham case, he will find that we have been helpful to Birmingham, particularly with capitalisation. It would have been better, however, if that authority had made decisions earlier for good financial planning.

[Mr Steve Reed (Croydon North) (Lab)]

The level of total spending power is central to the local government settlement, so can the Minister explain here and now how the 2.3% cut in local government spending power that the Secretary of State announced in June turned into a 15% cut for most London boroughs once the detail came through?

[Brandon Lewis]

That is simply not true; we have got a protection in there. This year, it is even better than last year, so even the biggest cut in the country is only 6.9%.

“Councillors on the Frontline”

Debate between Steve Reed and Brandon Lewis

Thursday 5th September 2013 Westminster Hall

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

It is a pleasure, Mr Benton, to serve under your chairmanship, as it was under our previous Chair. I congratulate the hon. Member for Sheffield South East (Mr Betts) on securing this debate, and the entire Committee on putting together the report. I am sure that the hon. Gentleman is right that there are some elements on which we do not see eye-to-eye, but it is important and a rich result that it has brought the debate into the public domain and raised the profile of the great work that thousands of councillors do and have done throughout the country over the years. We are having a proper debate about the position of councillors and their role and that of councils in the future.

The work to keep up momentum in considering that role is hugely important, and necessary to ensure that we maintain and develop a skilled, enthusiastic and effective group of councillors throughout the country who are drawn from a wide range of backgrounds. Hon. Members have touched on that today. We need councillors to operate effectively to meet the ever more complex demands of the future in serving of their electorate and communities.

Like others here, I come from a local government background and I clearly remember the tap on my shoulder from a Conservative councillor—unfortunately, he is no longer with us—who explained that if I stood for the council, it would be really helpful and I would be serving my community. He used the classic words that many of us have heard, or even said, that it will take only a couple of hours once a week, if not once a month, over the next few months. I stand here today as a result of that.

Being a councillor and being part of fixing the pothole and making someone’s life better today and tomorrow is a fantastically rewarding job. Politicians at all levels should be more honest about that and publicise the fact that we are fortunate in our jobs and in serving our communities. It is right to do what we can to raise the profile of how that empowers our communities and how we can be involved and lead our communities. The Localism Act 2011 played a large part in moving that forward and will strengthen it in the time ahead.

I hope that, in the next few years, we will see a growing understanding by people and councils of what powers people can use to benefit and work for their communities. That will help ensure that more councils are member-led instead of officer-led. I think hon. Members in the Chamber agree that we must ensure that the powerhouse of our local democracy is led by elected officials.

The hon. Member for Warrington North (Helen Jones) was right when she said that it is important that local councils have a good cross-section of people from all types of background and of all ages. I was proud that, when I was a council leader, I developed a group that included the youngest councillor in the country at the time when the age limit changed, and a brilliant councillor who is well into his 70s. They performed a great service in a council with an even spread of men and women.

Councils today recognise that things are changing. An example was given of a pram, and the same occurred with the introduction of disability discrimination legislation. Councils must move forward and provide. My successor on the council I led has just had her first child and has managed to ensure that she can continue as leader. Obviously, she will take maternity leave, but the council will remain member-led, and someone’s sex or age will not stop that.

Referring to something my hon. Friend Member for Harrow East (Bob Blackman) said, I was leader of my council for five years and I ran a business full time, but I was the leader of a relatively small district authority in a two-tier structure. I highlight that because it picks up a point made by hon. Members, including my hon. Friend the Member for Rugby (Mark Pawsey), that there are many different sorts of council, of different sizes and make-up—unitary, metropolitan, county, district—and I will touch on that in more detail a moment. It is important not to have a one-size-fits-all structure or a national structure of how people should be recompensed or given an allowance. It is right that that is led locally by remuneration panels and councils that understand what their councils need.

When I was first a back-bench opposition councillor, it involved evenings only for a couple of hours every week or two. In many district councils, it is not much different now. In Great Yarmouth, council meetings are still primarily evening meetings to allow people who work to be involved. It is right that councils retain the flexibility to look at what is right for them and their members in representing and being part of their community and involving the community in those meetings.

To touch on a valuable and valid point from my hon. Friend the Member for Harrow East, I am doing what I can to encourage all councils to look at their structure and constitution and to decide whether to choose, now that we have changed with the Localism Act 2011, between a cabinet and a committee structure, particularly in small and two-tier authorities, but in any authority, and to involve back benchers and the community as part of that process. I led a committee-structure council, but I know that a cabinet structure can work well, and it is right that councils look carefully at what is right for them, their community and their members, and have the flexibility to make that choice. The ability to make that choice now exists in a way that it previously did not.

The debate has taken place under previous Administrations, and it is fantastic that the Committee and the hon. Member for Sheffield South East have re-energised the debate and enabled it to take place again today. It provides an opportunity for the Government to set out our views on what being a councillor should mean and what roles councillors should seek in the wider context in which they will act and work in the next few years. These issues are not free from controversy, as indeed the Committee’s inquiry, its report and the Government’s subsequent response has clearly shown. There are some sharp differences between the Government’s position on the role of councillors and some of the points in the report.

Before I go into that in more detail, let me say something on which I think we all agree. I pay tribute, as other hon. Members, including the hon. Member for Warrington North, have done, to all councillors throughout the country who give their time, energy and efforts to put in the vital work to set out the strategic direction for their councils, holding them to account for the provision of public services, and representing their communities and residents so well. I recognise the skill and dedication of all those who do that public service as councillors on behalf of all of us as residents.

As we have heard, this country has a long tradition of people serving their community as elected councillors, from parish councillors in our smallest villages to city councillors and directly elected mayors in great cities and urban areas. A whole range of people out there are working in that proud civic tradition and in our great cities. In every case, councillors, as the democratically elected representatives of their communities, are uniquely placed to contribute to their communities’ well-being and future development.

However, as we know from the discussions between my hon. Friend the Member for Bromley and Chislehurst (Robert Neill) and the hon. Member for Sheffield South East about the days of the previous municipal authorities organisation, which I admit predates my time as a councillor, and as I know from my experiences of the LGA and from how councillors have developed today, councils are continually changing. The role of councillors will always change, develop and evolve to meet the needs of communities in any given time and age.

Employers have a role in ensuring a healthy, vibrant councillor base now and in the future. That is important, and I congratulate the Committee members who have raised the issue of ensuring that we do more to educate employers about the benefits of having councillors—not just their responsibilities if their employees are councillors, but the benefits to them of having councillors who have wider experience of representing, advocating, negotiating and leading for their community.

What is the future for councillors? That is a fair question emanating from this debate. As we set out in our response, the Government are clear that the core principles of being a councillor, for us, are community service and volunteering. We are clear that councillors are and fundamentally should be volunteers. Let me be clear about what I mean. I am not suggesting that councillors should be amateurish or lack the important skills that they need to fulfil their role as representatives of their electorate, but I am clear that being a councillor is not a staff council job.

As my hon. Friend the Member for Bromley and Chislehurst pointed out, we do not want a professional councillor role, which would blur the line between the council and the executive. Councillors are there in a different capacity, and it is that difference that gives them their power, their benefit to the community and the strength not just to scrutinise but to lead and set strategic direction without being part of the establishment.

That is why it is important to delineate the difference between a councillor’s role and that of staff of the council. It comes through on many levels, and training is part of that. I congratulate the LGA on the great work that it is doing to develop training. Some training opportunities have been mentioned in this debate, but councils have a duty to ensure that they educate people, particularly new councillors, about the opportunities available. The political parties obviously play a part in that as well, as was mentioned in information given to the Committee.

I accept that there will be councillors—leaders of our cities and counties, cabinet members and leaders in front-line roles, for want of a better phrase—who will in practice put in a level of commitment that is effectively full-time or more. My hon. Friend the Member for Harrow East mentioned his experience, and the time that he gave. I accept that, which is why I accept that the allowances provided should reflect such commitment appropriately: not as a salary or remuneration package or as compensation for what the person might have earned if they had not chosen to be a councillor, but as appropriate recognition by the community of the contribution that the person is making to the community’s life. “Appropriate” includes also having regard to the present circumstances of the public purse and the pressures and burdens faced by ordinary taxpayers, as the hon. Member for Warrington North pointed out.

The Chairman of the Select Committee and the report made the point that the Secretary of State and I are “inconsistent” in talking about localism; the example that he used was my comments about Cornwall when I gave evidence to the Committee. However, as my hon. Friend the Member for Bromley and Chislehurst eloquently pointed out, giving local decision-making power does not mean that we as Ministers, or as politicians generally, have taken a vow of silence. It is right that we highlight things.

It was said that we talked about a Labour conspiracy. Actually, one reason why we gave some of the examples that we did—for instance, the Labour group in Norwich which raised council tax this year and then massively raised allowances, or the meeting in Great Yarmouth lately where a Labour group wanted to raise allowances for vice-chairmen—is that that kind of thing does not give local government a good name when people are struggling at home.

[Mr Reed]

Can the Minister explain why appropriate remuneration for the full-time leader of a major county or unitary council should not include a pension, while for a directly elected mayor it should?

[Brandon Lewis]

As the hon. Gentleman will know, we have just held a consultation on the future of the local government pension scheme for councillors, and we will be responding in due course. He will have to bear with me until we respond to the consultation.

However, I highlight, as I just said, that there is a difference between fully employed council staff and councillors. That does not mean that the local remuneration panels and the council should not take decisions about what is right for them locally on remuneration and allowances for council members; they have local power to do so. Equally, if they make decisions that the community do not like or that are referred back, they must also expect their local national politicians to give up their vow of silence.

That is how the Government see councillors in the future, and it is what we believe the majority of our communities expect. In short, as is often the case today, councillors will be those who are the most community-spirited and the most ready to take up the challenge of making a difference to their localities. Their motivation should be, and generally is, community service, not personal gain or advantage for any group or organisation to which they belong.

On representation and diversity, we have heard that the key motivation for the Committee report was statistics from the national census of local authority councillors about the average age and diversity of our elected councillors. The inquiry, to which I also gave evidence, looked in great detail at the changing role of councillors. In particular, it has considered the changes driven by this Government’s desire to decentralise and ensure that powers and responsibilities are effectively delegated to local authorities and, beyond that, to communities, neighbourhoods and individuals.

The inquiry also considered carefully what might be done to encourage a more diverse councillor base and some of the practical issues that may discourage it, and identified three key practical barriers to people putting themselves forward or remaining as candidates, including the time required and the attitude of employers and allowances. It also considered the support required by councillors now and in future.

I will address the issues raised in a moment, but I am clear that the real key to attracting a wide range of new and enthusiastic councillors and retaining and nurturing existing councillors—the point about retention levels has been well made—is ensuring that councils and councillors have a purpose and opportunities to get things done that matter to them and their communities. That goes straight to the values of being a councillor, which I have discussed. Our commitment as a Government to localism and the new legislative framework that we have created provides a new impetus for councils and councillors to look outwards, work collectively, engage with their communities and neighbourhoods and exercise new freedoms for their areas.

At the heart of that is the general power of competence, which opens up a fundamental change to the whole culture of local government. Those who grasp that nettle and understand it will realise that there are massive new opportunities and a chance to reinvigorate engagement with leaders, communities and residents on behalf of their areas with councils and other organisations to deliver services and improvements for their communities.

That is the context in which our localism agenda equally reinforces communities through the introduction of neighbourhood planning, the right to build, the community right to challenge and the community right to bid. Although some have suggested that introducing those rights simply acts to bypass councils and councillors, I believe that those powers and rights need to be driven down to whatever level is appropriate and go directly to the community.

If councillors engage fully with those powers and rights, take part and are prepared to put their commitment into such community works, they can provide new and exciting opportunities for councillors to support, encourage, mentor, negotiate and advocate for their communities to deliver things for them and make their communities’ dreams and aspirations become real on the ground.

Decentralising and moving powers to the most appropriate local level is not a threat to councils, but it should incentivise people to become involved and see that they can make a difference to their community. It should empower not only what are often referred to as back-bench councillors but councillors generally, particularly against the strength of an officer base.

At the same time, hon. Members will know that I am currently considering responses to our consultation on the development of parish and town councils, particularly in areas where there are none at present, again with a real desire to provide a focus for local activity, local engagement and, with the support and involvement of local councillors, local delivery. For those with a true interest in their communities, a vocation and a desire to make things better is the incentive to serve. The reward is the knowledge of the part played in delivering those changes and improvements, and in making things better. All of us who are or have been councillors have a part to play in promoting what a fantastic job and experience it is to be able to go out there and work with a community to improve the community in which we live.

I also see opportunities here for councillors of all types, and not only cabinet members or leaders. Some might feel disfranchised, particularly by the cabinet system in an executive council—I get that a lot when I am travelling around the country. We want councillors not only to be reinvigorated in representing their communities to the council and in holding the council to account, but to let the community see that councillors have a hugely important role and purpose on the council.

--- Later in debate ---

[Brandon Lewis]

I thank the hon. Lady for her comment, which highlights the points that have been made by my hon. Friends. That is exactly why members and councillors are there to challenge officers, and not just to take their word but to look at things and make decisions for their communities. If they feel that they need to put that in reserves, they cannot credibly say, “We can put away a record level of reserves”—an extra £3 billion this year alone—“but we have not got enough money.” If they did not have enough money, they would not be putting £3 billion into reserves. They would not be able to do it.

[Mr Reed]

I often hear Ministers say these kind of things. Does the Minister understand the difference between capital and revenue funding? Government Ministers often assume that money can be taken out of reserves and spent on revenue-funded services, without taking account of the fact that that would mean, in the following years, that there would be no reserves.

[Brandon Lewis]

Yes, I understand that, having been a council leader myself, and having gone through various budgets, including being able to freeze council tax back in 2005 to keep council tax low, as the Government have done consistently since coming into office in 2010. I fully understand that. I say to councils that if they want to spend and if they have reserves they are building up—councils have built up £3 billion of extra reserves in the past year alone, taking the amount to a record high of £19 billion—it is not credible for the public to expect them to be able to build up such reserves while pleading poverty. If they want to look at using that and they need to look at the capital side of their reserves, they should look at putting that into capital expenditure that will help them save revenue further down the line. That can be done, and good councils are doing that across the country and are even able to provide cuts in council tax, as we saw from some great Conservative councils in this year alone.

I recognise that, in general, providing this framework is not, in terms of the Localism Act, the end of the story. I am as keen as anyone here to see more people from more backgrounds become involved in one way or another, bringing a wider range of skills and experiences and spreading the load. However, I am clear that it is also for councils and local political parties to engage positively in their areas, to provide strong role models, to go out into their communities and to be part of them, and to demonstrate the importance of the work they do by using their new freedoms to show that they can make things better, generate an enthusiasm to become involved and then harness that enthusiasm.

That is not about setting centrally driven quotas or lists. It is not about directing councils on the support that they must provide or on how they should do things. It is not about centralising or directing councils over the allowances they pay, nor is it about us taking a vow of silence on any of those things. It is not about imposing additional levels of performance management, when ultimately the ballot box will determine.

My hon. Friend the Member for Cleethorpes touched on elections every two years, and he has made his views well known around unitary councils. Where we do have examples of two-yearly elections, the turnout is not particularly higher, and it is certainly no higher than when we have all-out four-yearly elections. Again, that is something that councils have the freedom to look at, take a view on, and decide what is right for them in their communities.

Nor is this about imposing any central burdens on national or, in particular, local taxpayers without the opportunity for them to consider whether that is how they want their money to be spent. What it is about is harnessing the enthusiasm on the ground to get involved and make a community better. For example, we already have more than 650 communities applying to have a neighbourhood area designated. That is the first step in a formal process for neighbourhood planning. More are joining each week and, in that way, exercising a real local say in how they want their areas to develop.

It is about working with communities and encouraging them to see the new opportunities open to them, even if the community does not necessarily want to get involved to start with, because it is something new and they are not used to it. There is nothing to stop councillors from encouraging them to make their views known and to start to build interest, or from mentoring them and representing them in the council and other service delivery organisations.

There are many examples of councillors working in communities to help their residents take back control. This is about those councillors acting as role models for and in their communities. It is about explaining clearly the roles of councillors and the function of local government in people’s lives. We all have an important part to play in that, as do the media, as a couple of Members touched on earlier. It is about councils truly valuing the work of their councillors, supporting and empowering them and providing them with the necessary freedoms, tools and budgets as appropriate.

It is about local and national political parties engaging with people, considering how they can best encourage people and candidates to come forward, and looking at their own rules and processes.