Levelling-up and Regeneration Bill (Eighth sitting) Debate
Full Debate: Read Full DebateTim Farron
Main Page: Tim Farron (Liberal Democrat - Westmorland and Lonsdale)Department Debates - View all Tim Farron's debates with the Ministry of Housing, Communities and Local Government
(2 years, 5 months ago)
Public Bill CommitteesI will not speak for long, Mr Paisley, but I want to reemphasise some things we have talked about today and build on the wise comments made by the hon. Member for Nottingham North.
Equality is hugely important and not to be taken for granted. The issue is that a movement towards a form of local government that is by definition more removed from the public than a district council, for example, will undoubtedly affect those with protected characteristics. We must prevent the tendency we discussed earlier to have people on the board and the committees—running the CCAs, in this case—who are much more likely to be older, male and white. That tendency will naturally occur because, while devolution is happening in one sense, it is also a centralisation locally, away from district councils. That will inevitably happen unless we work hard to prevent it. That is why these equality impact assessments are very important—not just in terms of the representative nature of the people who are on the CCA, but on the kind of policies that they pursue.
I am bound also to remind Members of the Rural Services Network’s report, published this week, which pointed out that if rural England was a separate region, it would be poorer than all the other regions. It would be the poorest region and the region most in need of levelling up. Pretty much every CCA in the country will have a rural element to it, but the chances are that it will not be the central part or the part where most of the members come from.
I want us to think very carefully about the impact of our decisions, particularly on rural communities. I spent part of the break between this morning’s sitting and this one on the phone to a local GP surgery in Cumbria that has lost something like £70,000 of its income in recent years. It has a patient roll of 5,000 to 6,000 people, but it sees on average 2,000 to 2,500 patients every year who are not registered with the surgery—they are visitors coming to the Lake district. The surgery gets not a penny for that.
Earlier, the hon. Member for York Central rightly mentioned the interaction between the integrated care systems, which will come into force this week, and the new CCAs. It is vital that we consider the differences in access to services between rural areas and urban areas, and consider disadvantage as being different. There are much higher levels of unemployment in the Barrow part of the Westmorland and Furness Council area, for example, and much lower unemployment in the part of the area that I represent; however, the gap between average incomes and average house prices is bigger than anywhere outside the south-east of England. The consequence in terms of poverty is therefore much greater, and the need for us to pay attention to those differential metrics—and, more importantly, the impact on individuals’ lives—is that much greater.
That is why it is important that equality is built into this legislation. Accountability would come out of the fact that impact assessments would be provided on a regular basis and there would be scrutiny as a consequence. It would force members who are either from demographic profiles that are not a minority or under-represented or from non-rural parts of the geographical community represented by a CCA to be held to account on behalf of those people and those communities who are.
The public sector equality duty under the Equality Act 2010 ensures that public bodies play their part in making society fairer by tackling discrimination and providing equality of opportunity for all. As public bodies, CCAs must integrate equality considerations into decision-making processes from the outset, including in the development, implementation and review of policies. However, the equality duty does not require public bodies to follow a prescribed process and leaves it to their local discretion as to when it is appropriate to carry out an equality impact assessment to ensure compliance with the duty that binds them. The amendment would place an additional unnecessary duty on combined county authorities that does not apply to other public authorities, including existing combined authorities, which relates to the point made by Opposition Members about ensuring there is equal treatment and similar legal bases between MCAs and CCAs.
It is the Government’s intention that CCAs will be expressly subject to the public sector equality duty, which we will do by consequential amendments to the Equality Act, meaning that CCAs have to integrate equality considerations into their decision-making processes as soon as they are established. There is therefore no need to place a further burden on CCAs by requiring them to produce a separate equalities impact assessment. In fact, equalities considerations will already be at the very heart of what they do. With those assurances, I hope that the hon. Member for Nottingham North will withdraw his amendment.
I beg to move amendment 22, in schedule 1, page 198, line 18, at end insert—
“(2A) The arrangements must ensure that the Chairs of the overview and scrutiny committees of the District Councils contained within the CCA’s boundaries are members of the CCA’s overview and scrutiny committee.”
This amendment would require that the Chairs of overview and scrutiny committees of the District Councils within the CCA are represented on the CCA’s overview and scrutiny committee.
Schedule 1, which is introduced by clause 13, relates to the overview and scrutiny functions of the CCAs, which are important. The amendment gives us the opportunity to add districts so that they are seen as a key part of the process that have an important say. If the Minister is not minded to accept the amendment, I hope that he acknowledges the key role of districts.
According to the District Councils Network, its members deliver 86 out of 137 essential local government services to 22 million people—40% of the population—covering 70% of the country by area. The Minister was perfectly candid—that is the best way to be—that part of the reason for having CCAs as distinct from the combined authorities created under the Local Democracy, Economic Development and Construction Act 2009 is to give Ministers the chance to work around district councils where those councils do not want to be involved in greater devolution.
I think we have to find a way to get the district councils into the proposed process more fully. We have seen combined authorities use non-constituent members to deliver, and that is a good way to operate, and I think that the amendment would enhance that opportunity. Amendment 22 seeks to do so by ensuring that among the members of the CCA’s overview and scrutiny committee are the chairs of the overview and scrutiny committees of the district councils within the CCA. I hope that is a proportionate way of trying to get districts involved. They have so much expertise about the area they serve that it would be foolish to discount them. They have a track record of delivery, and they know what people want because of their really close engagement with their constituents.
When we debate clause 16, will talk a little more about the fundamental role of districts, but we know that they are not likely to be formal or founder members of CCAs. Instead, the amendment effectively says that we have a very skilled group of people who lead overview and scrutiny in their local authority, who have high levels of experience, training and ability. They do it day in and day out. They are familiar with the issues, they know how to scrutinise an executive, and they know what information to read and what questions to ask. To pull them together is almost like convening an international team from the best players in the league and I have no doubt that it would be a significant success.
Amendment 22 would be a really good way of enhancing the overview and scrutiny provision while getting better engagement with the district councils. In that sense, I hope it is a bit of a two-for-one for the Minister.
This seems to be a really sensible and proportionate proposal. The Conservative leader of the District Councils Network talked to us in the evidence session on Tuesday 21 June. He speaks very clearly on behalf of members of all political parties who are on district councils: Liberal Democrat, Labour, independent, Green and, of course, the leading Conservative group among district council members.
There is a concern about district councils being slowly but surely erased—and they are. In Cumbria, we are living proof of that, because some good district councils are being dismantled this year, hopefully with very good unitary authorities taking over their responsibilities and being reflective of what the local communities desire. However, if we are to move forward in this direction and if CCAs are to be the building blocks by which these decisions and the delivery of levelling up will take place, it is surely right to demonstrate to district councils that we and the Government value them—not only that we value them as district councils but, as the hon. Member for Nottingham North rightly said, that we value their expertise.
In this amendment, the Government are being asked to consider picking the people who already do this job in their home patch, so to speak, and to bring the skills, expertise and experience that they have from providing scrutiny of their own councils’ business and the operation of democracy internally within their district councils to the sub-regional level.
The amendment seems to be not only a very effective and sensible practical proposal but one that would allow the Government to demonstrate to district councils that they are not being erased and that they are a very important part of our future. We talked earlier about whether symmetry mattered. If we believe that local communities are best at designing their own destiny and if they choose to maintain two-tier authorities, as many do, then reflecting that autonomy and its outcome—not begrudging it, but welcoming it—seems to me a wise thing to do. Let us have the chairs of the overview and scrutiny committees from the constituent district councils within a CCA on the overview and scrutiny committee of that CCA.
I would say that the amendment is well-intentioned, but that would not really do it justice; I actually completely agree with the broad thrust of what Opposition Members are trying to achieve. However, I think that we should do it in a slightly different way.
Schedule 1 places a requirement on all combined county authorities to establish one or more overview and scrutiny committees, and provides for the Secretary of State to make regulations for such committees. That mirrors the provisions for combined authorities; regulations were made in 2017 that already apply to all the combined authorities.
As for the majority of the CCA model, it is our intention that the overview and scrutiny arrangements for CCAs will adopt the same broad principles as those for combined authorities. Regulations made under schedule 1 must ensure that the majority of members of overview and scrutiny committees are drawn from the CCA’s constituent councils. Furthermore, an overview and scrutiny committee cannot include a member of the CCA, including the mayor.
The regulations and powers in schedule 1 enable scrutiny committees to be established with membership appropriate to the CCA, so that they are able to effectively challenge, advise and make recommendations to the decision takers. To do this, each CCA’s overview and scrutiny committee needs to be flexible enough to reflect the bespoke role of the CCA, as agreed in individual devolution deals—how they are constituted, the powers they are responsible for delivering, and so on. That will affect the background and interests of the members that it would be appropriate to appoint.
Indeed, as we established earlier, my county is an amalgamation of Lancashire, Yorkshire, Cumberland and Westmorland. What’s in a name? It may not be the most important thing in the world, but it sums up the identity of a community or series of communities. The new authority that will serve my constituency is Westmorland and Furness Council. The northern part of the area, around Penrith, was always part of England, so folks there rightly feel aggrieved that their identity has been somewhat stolen from them.
I will reflect on the very early part of my life. I was not following politics in those days at all, but was probably watching the noble Baroness Floella Benjamin on “Play School”—that was about as close as I got to any kind of involvement in politics at that age. I recall with some bitterness that when the reorganisation happened in the early 1970s, Yorkshire did better than Lancashire out of it because of the name. Nearly every part of Yorkshire that was turned into either a shire or metropolitan authority kept the name—for example, South Yorkshire, West Yorkshire and North Yorkshire. Part of Humberside did not have that blessing, but it was the only bit of Yorkshire that did not.
Let us think about what happened to Lancashire: it became part of Cumbria, Greater Manchester and Merseyside. It lost that identity, and a whole generation of people have grown up as Lancastrians without realising that they are. I am sure the Government will seek to establish a CCA in a meticulous and proper way, but errors will be made and there will be things about the genesis of the new bodies that we would have perhaps wished to have done differently a year or two later.
A whole bunch of different politicians might get elected to districts that form part of the CCA after three or four years—perhaps on the basis of people being concerned about their identity—yet we are told that nothing can be changed without a two-thirds majority. We changed the Fixed-term Parliaments Act 2011 with a simple majority, so we have proved that it does not really matter. No Parliament can bind its successors, and rightly so, but apparently the Government can bind the successors of local authorities. That is not democratic, and it does not allow local authorities to establish their own identity, which might morph over time.
I beg to move amendment 26, clause 18, page 14, line 35, at end insert—
“(1A) But notwithstanding subsection (1)(b), if a CCA prepares and submits a proposal for conferred powers under section 17(1) and the Secretary of State has already made provision for another CCA to be granted identical powers, the Secretary of State must consent to that proposal.”
This amendment would require the Secretary of State to accept an application for conferred powers from a CCA where they have already accepted an identical application from another CCA.
At the end of the previous sitting, the Minister started the debate on this issue, which is a point of distinction, so I think the amendment will be an interesting one to discuss. Notwithstanding the sorts of functions that the Minister has in mind, which he will follow up with, the clause sets the rules by which county combined authorities can receive more powers from central Government. We are supportive of that: we want to move powers from Whitehall to our town halls, but in doing so the Bill can be improved.
I touched a little on the asymmetry of the devolution of power in England, and it is worth covering something of that. Metro Mayors hold powers over spatial planning, regional transport, the provision of skills training, business support services and economic development. The detail of the powers and budgets devolved, however, varies massively between areas.
For example, in Greater Manchester and West Yorkshire the powers of the police and crime commissioner have been merged into the mayoral role, but not in other mayoralties. The Greater Manchester Combined Authority oversees devolved health and welfare budgets, working in partnership with the lead Whitehall Departments, but other combined authorities do not have such powers. All Mayors can establish mayoral development corporations, except for the Mayor of Cambridgeshire and Peterborough. All Mayors can raise a council tax precept, except in the West of England.
That is an odd hotchpotch. If we were to sit down and plan a devolved settlement, which we are doing quite a bit of, we would never pick a model that is quite as uneven and such a mishmash. That is what happens when settlements are negotiated case by case behind closed doors, on the basis of what Ministers judge communities are ready to have. Furthermore—this is part of what we are addressing today—those disparities in power do not even account for the fact that vast swathes of the country do not even have combined authorities; they just have their council.
We are in the odd situation where Manchester gets to elect a Mayor with a PCC, but in Nottingham we cannot vote for a Mayor—we don’t have one; we do not have a combined authority in the county terms yet—but we vote for councils and a PCC. That gets very hard to explain to constituents, and means that different parts of the country get access to different powers. I think we should do better there.
The Minister characterised that position as being for either a one-size-fits-all model or moving at the pace of the slowest. I am not saying that. My dissatisfaction with asymmetry aside, I live in the real world; we have an asymmetric settlement and it would not be practical or desirable to change that. Where those combined authorities are motoring along, they must keep doing so; they are doing crucial and impressive work, and of course we would not want to change that. However, we have the power to ensure that the combined county authorities, which cover big parts of the country, and will hopefully bring devolution to the bulk of the country, have some sense of commonality in the powers that they are able to access, but not have to access—not a floor but a ceiling.
I do not think that I am actually asking the Minister to do anything more than has already been set out by the Government. The White Paper itself sets out those three tiers of powers. We will get to the point about the governance structures at a later date, and as the hon. Member for Westmorland and Lonsdale said earlier, I also completely dispute the point that we should have to accept a Mayor in order to get tier 3 powers.
Nevertheless, the Government have established a common framework—a common menu, as it were—from which to pick. This is the significant point of difference: I believe that should be a local choice. It should be the local leaders and local public deciding what powers they want. I must say that I think the bulk will want something towards the upper end, because they will understand that decisions will be made better locally and that they will have a better understanding than the centre about what they want for their communities and how to get it. The Government’s approach—the approach of the past 12 years—is to pick and choose, depending on the qualifications, or otherwise, they think the local leaders have. I think that is a significant mistake.
Amendment 26 seeks to improve that. Essentially, it would prevent the Secretary of State from doing a blizzard of different side deals with different communities, based on the powers they confer on a CCA by saying that, if they confer a certain power on the CCA, then an identical application from another CCA must also be accepted. That is saying that, if new ceilings are set, then everyone should have access to that. As I said, that will not result in perfect symmetry—anything but—that is not the intention of the amendment. However, it will mean that all communities have access to the same powers.
I am interested in what the Minister says to that and will listen carefully. If, in practice, the way in which the amendment is worded does not deliver that effect but, in the Minister’s view, there is a better way of doing it, then I would accept that heartily—it is the substance, rather than the amendment itself, that means something to me. However, it is a very important point.
This is the moment, on county combined authorities, to say that we are going to break free from this individual deal-by-deal way of devolution, and say that we just think the powers are better exercised locally—we should be explicit about that because it is a good thing to say—and that in doing so, everybody gets access to them, not just the ones that are deemed to be good enough. I think that would be a significant step forward for this legislation.
I think this is where we get to find out who devolution is for. Is it for the benefit of Whitehall or communities? I have no desire to see—in fact, I have a revulsion to the idea—contrived symmetry from the centre. I am very happy for there to be asymmetrical devolution, so long as that is the choice of the people within those communities. This is where we get the opportunity to see whether this grassroots taking back control from the centre or the centre, in a rather patronising way, throwing a few crumbs to the local community.
People living in Cornwall, Northumberland, Devon and Cumbria have the same rights and the same expectations about the quality of services as people in Manchester, the west midlands and London—no more, but definitely no less. It would therefore seem very wrong if services and powers that are devolved to London and Greater Manchester are not devolved to Cumbria, or at least are not offered to it so that the community can choose whether to take them.
This is about not just the powers that should be devolved, but the preconditions that the Government choose to impose. Obviously, we are talking about Mayors, or Mayors by any other name. I have absolutely no problem with communities that want a Mayor having one as part of their devolution deal, but I have an enormous problem with the Government saying, “You can have these powers, but only if you have the form of local government that we tell you to have.” That is not devolution. It is certainly not what people in my part of the far north-west of England want, and I suspect it is not what people want in other parts of the country. This is an opportunity for the Government to declare that devolution is for the people and not for their own convenience.
I wholly concur with the previous two speeches on amendment 26. We have to think about the people in our communities, and if we ask any of them who currently does what in governance terms— whether it is Parliament or local councils—they will often struggle to identify exactly where those powers rest. When we introduce another tier of government, people need clarity about it. Particularly if they are living on the borders of the new CCAs, they will be looking one way and saying, “Well, they have powers that we haven’t got here.” We have to be careful that we do not introduce confusion into our governance and accountability systems.
I therefore think that the point about having a more à la carte approach is right, as devolution grows and we get used to new functions of government, so that we can see what can be achieved. If the Government dictate limitations on the ability of authorities to exercise their powers in one area, and a neighbouring authority has those extensive powers, undertaking partnerships between two CCAs could be quite challenging, and it could also limit the opportunities.
We have to look further ahead. We are in this process of development and evolution, which is fantastic, but we do not want to end up with patchwork Britain. We do not want Parliament to be left legislating over a small number of authorities because not every devolved area and CCA has those powers. We could end up with two or three CCAs without the powers that all the others have, and the national Parliament will then have to legislate over certain functions. That seems ludicrous in itself. We would not see fairness in patchwork Britain. We will talk again about the postcode lottery that we see emerging. The areas of greatest deprivation are probably those that would see the fewest powers. We have to think more strategically about how we apply that. That is why the amendment does justice to the issue. It enables the CCAs to take on these additional powers, but it does not mandate that.
It was clear from the presentations from the Mayor of the West Midlands, Andy Street, and the Mayor of West Yorkshire, Tracy Brabin, that the M10 Mayors are working incredibly closely together. They are inspiring one another to address the challenges of where they can take devolved powers, and that presents opportunities to the people they represent. That will of course be an evolving picture as more people come into the M10. I guess we are heading towards the M20, or wherever it may end—not the M25, as Members are suggesting, because it would simply go round in circles.
We need to make sure we are not seeing a denial in the differentiation of the powers that emerge. Ultimately, this is about the impact that they have on locality and local areas. It is really important that we think about where it could travel to. It clearly has implications for this place—its future and what it does—but we also want local decision making. I think there is a consensus across the House that we want decisions to be made closer to people, and if we devolve certain opportunities to some areas, the intersection of those powers can create more than the sum of their parts, which is something that really stood out from the evidence we heard. There could be a real benefit in devolving those powers, because we do not want a metro Mayor or a CCA coming back to Parliament every few years, saying, “I need more powers. We need more primary legislation looking at this issue.” We want a deal that is underpinned by the flexibility to drive change, and we will see that change come about through shared practice.
I, too, support this wise and important amendment. I am thinking again about my community in Cumbria. Many bus routes that serve the county cross boundaries including, indeed, regional boundaries, because many of Cumbria’s routes are through to: Northumberland and Durham, a different region; into North Yorkshire, a different region; and to Scotland, a different nation—not necessarily a matter for this Committee, I am afraid. We are bounded on one side by the sea and then at the bottom there is Lancashire—the same region, but very likely to be in a different CCA, if that is the direction in which the Government and the community seek to move.
Bus services cross boundaries, and of course people work in different communities. People in the south end of Cumbria will look to work in Lancaster and further south. Towards the eastern end, the dales part of my community will look towards Leeds or Skipton. Further north, people will work in Carlisle and Penrith, and so on. Bus services rightly do not respect artificial boundaries, and it is important that we regulate fairly.
It is also worth bearing in mind, though, that there are far too few bus services to regulate and they are far too expensive. In a rural community like mine—in fact in most communities, urban or rural—bus services do not make much money, if they make money at all. Rather than thinking about the burden on the taxpayer of a subsidy that we might ask for, we need to consider public transport as a crucial investment in the oiling of a community, and of an economy.
As we move towards CCAs, part of the ambition that I would like them to have, as they are integrated with transport authorities, is to be able to bring more services. It seems odd that we are in a country where most local authorities are forbidden from being operators themselves. We should allow authorities to become bus operators and make their own luck, and indeed to compete properly in order to provide services to their communities.
For people living in a rural community such as mine—living off the A6, the A591, or the A590—on those arterial routes there will be a very expensive bus service. Often, there will not even be an expensive bus service; there might be one a week if people are lucky. Giving power to local communities, and putting in a provision and an expectation that they will co-ordinate, regulate and make sure that there is fairness and continuity across boundaries, should also go hand in hand with ensuring that there is sufficient investment, so that we have more buses and indeed more light rail serving our communities, particularly in rural areas that are so remote and where the distances to travel are that much greater.
I agree with so much of what has been said by Members on the Opposition Benches. I agree about the importance of co-operation across boundaries. I have been very pleased to see the way that the West Midlands Combined Authority has improved transport even beyond its boundaries. Places that are negotiating devolution deals with us at the moment, from the south-west to the north-east, are thinking about that very actively.
I agree with what the hon. Members for Westmorland and Lonsdale and for York Central said about the importance of integration. It is one of the reasons that we have been keen to support bus franchising where people want that. I remember it being advocated to me nearly 22 years ago by the hon. Member for Blackley and Broughton (Graham Stringer), who is a former leader of Manchester City Council. He spoke about the advantages of integration through having that London-style bus franchising, which we would be able to approach in different ways through devolution.
Our approach is to achieve voluntary co-operation, rather than setting a requirement or duty to co-operate. We always try to encourage co-operation wherever we can—indeed, to the point of the hon. Member for Westmorland and Lonsdale revealing that he had encouraged it across the England-Scotland border, through the wonderful borderlands growth deal.
The amendments are about two shared interests. One is a belief that devolution and the exercise of integrated transport powers are crucial to the effective operation of county combined authorities. The second is a strong belief that all county combined authorities should have access to the same powers as those who have the greatest. Given that those points are the topics of the two previous debates, I do not think there is an awful lot to add.
The case for the importance of transport connectivity has been ably made by my hon. Friend the Member for York Central. The debate has been had on access to powers, and I do not think it needs repeating. The only thing I would say is that the amendments put a limited obligation on the Secretary of State. If we are in a situation where—the Minister says this is likely, and I would concede that—some areas would be more ready, some geographies would be more natural or the leaders would be keener to receive these powers than others, there should be some account of that publicly.
Rather than saying, “These are just the two the Government have chosen and decided are good enough to receive these powers”, these amendments would mean the Secretary of State would provide another reason. That could be the geography or simply that the local leaders do not wish to receive the powers, in which case it would be a simple statement for the Secretary of State to make, but it would be an important statement and would demonstrate that the decision is being made public and is not happening behind closed doors.
I will be brief. As the hon. Gentleman has said, these issues have been discussed previously. It is worth bearing in mind that some of the infrastructure—highways infrastructure in particular—might seem to be of local consideration only, but they are of national strategic importance. I am bound to pick on my own area.
Things that are under the aegis of Highways England, which are national roads, so to speak, and supported directly by the Department for Transport, are one matter. Some of the strategic road network, the layer down from that, which is looked after by local authorities, is clearly of national strategic significance. The A591 in my constituency links the motorway from junction 36 right up to Keswick and back to the north lakes. It is not part of the national strategic network belonging to the English highways agency.
That is absolutely fine, but we need to recognise that if a local authority or a collection of local authorities is going to have responsibility for such an important road—the main arterial route through the middle of the Lake district, which is the biggest visitor destination in the country after London—it needs to be adequately resourced. It may need to be resourced across more than one CCA, depending on what boundaries are considered. This is important because I want to make sure the Government are held to account for the resource that they do—or do not—provide CCAs, so that communities such as mine are not basically providing and maintaining a road for 20 million visitors on whose behalf the Government contribute nothing.
This is an important amendment. Having served as a shadow Transport Minister, I know the importance of getting a system in place to ensure connectivity and reliability, as well as modal shift. These amendments would hold the Secretary of State to account through the requirement to set out the reasons for any inequality in the transport functions conferred on CCAs. Ultimately, the public have a right to understand the Secretary of State’s thinking on such matters, particularly as it could well have an impact on them.
As we will debate further as the Bill progresses, the national development management policies will be making particular demands around transport infrastructure in our country. I am sure that will be a major area of contentious debate, but if we are looking at some authorities having the means to address their local transport system and other local authorities not having equal means, that will create even more discontent and inequality.
Ultimately, our transport system is a national system because our connectivity across the country has to connect—that might seem an obvious point. My fear is that this inequality could mean a more stop-start approach to transport planning, as opposed to the smoothing that we know the road and bus industries—and indeed the transport sector as a whole—are calling for. Accountability for any differentiation of powers is important, and that is what these amendments call for. It is also important to understand the Secretary of State’s thinking about how they are putting the transport system together across our country.
I appreciate the Minister’s role, but what happens in what I described earlier as the capillary routes, as opposed to arterial routes, is of equal importance, because people will not maximise the opportunity of those routes if they cannot reach them. There has to be joined-up thinking that stretches beyond the remit of the Minister, but which is crucial to the Bill.