Non-Domestic Rating (Lists) (No. 2) Bill

Tim Farron Excerpts

2nd reading & 2nd reading: House of Commons & Programme motion & Programme motion: House of Commons & Ways and Means resolution & Ways and Means resolution: House of Commons
Wednesday 30th September 2020 Commons Chamber

[Tim Farron (Westmorland and Lonsdale) (LD)]

Obviously, this proposal is an understandable one and one that we broadly support, although I share the concerns of my hon. Friend the Member for Richmond Park (Sarah Olney) that its late implementation only exacerbates a problem that is rife. If we are desirous of creating greater equity in this country—the party in power refers to levelling up—we would have dealt with this years ago and the imbalance in terms of property and land values. My party would go further and say that business rates are more than just not fit for purpose; they are ripe for abolition and replacement with a commercial landowners’ levy. We can operate that in a way that would not only be fairer, but would motivate the owners of land to use that land for the best and most appropriate purposes. Therefore, if we are levelling up, we would implement this sooner, though I understand that the assessment is delayed for all the correct and reasonable reasons that the Minister set out.

I have two quick points, which are strongly related to that. Members from all parts of the House have talked about the benefits to struggling businesses of the business rates deferral scheme. That exemption has been renewed by the Chancellor for a further six months, which is hugely welcome and will make a massive difference. Of the businesses surveyed, 42% of them said that it made the difference between them being able to continue or to collapse, so it is a welcome support.

I will not be the only Member present who has been lobbied regularly by people who are not helped by that. I am talking about a range of people who, under the banner of the excluded, have received no help from the Government whatsoever. That list is lengthy, and it includes people who have been self-employed, but for less than 18 months now. It includes people who are managing directors of small, limited companies—taxi drivers, personal trainers, hairdressers and many other small companies—and people who were just unlucky and did not get themselves onto the payroll cut-off just at the right moment in March this year. Many of those people are without any support whatsoever and have had to live off what few savings they might have or have overrun credit cards to pay their rent or mortgage and feed their kids. While the exemption from and extension of the business rate relief is massively welcome, will Ministers please give thought to the, we believe, 3 million people, including 4,500 people in my constituency, who have not been helped?

Finally, this is surely a moment for the Government to consider other amendments to business rates and alterations in their structure. This would be the moment for the Government to do something about an issue that they have sought to engage with for some time now: the loophole that allows people who own a second home—I am not talking about a holiday let, but a second home—to avoid paying any form of taxation. In my constituency, it is estimated that about 3,000 to 4,000 second home owners use the loophole so that the property technically qualifies as a holiday let. However, they are not letting out the property at all. They are not breaking the law; they are taking advantage of a loophole. That means that those people are not paying council tax and, as a small business, they are paying no business rates either. A quick back of the fag packet estimate for my constituency is that it costs the council tax payers of South Lakeland £6 million a year to subsidise very wealthy people who can afford to have a second home.

If we add that to the Government’s unintentional, but nevertheless given bung of £10,000 each through the stamp duty relief extension the other month, we have a picture where, in communities such as mine, where excessive second home ownership robs those communities of life, community and demand for local schools, local shops and bus services so that those services end up being under threat and sometimes closing, the Government are encouraging an excess of second home ownership. That is particularly the case in rural communities such as the lakes and the dales, where they should be doing the opposite. I urge the Government to do what the Welsh Assembly Government have done and close that loophole. The Government had a consultation on this, to give them credit. They closed that consultation in January 2019. Twenty months on, is it time, maybe, for us to find out what they are planning to do? Will they stop playing into the hands of those who have plenty, and therefore disadvantaging communities such as mine in the south lakes who do not have enough?

Town and Country Planning

Tim Farron Excerpts

Wednesday 30th September 2020 Commons Chamber

[Tim Farron (Westmorland and Lonsdale) (LD)]

This set of SIs is an answer to a massively important question about how we build more homes that are fit for communities, but the answer is blindingly obviously the wrong one. There is no evidence that planning logjams such as those to which the SIs are meant to be a solution are the problem. Some 40% of homes with planning permission over the past 10 years have not been built.

We need to look instead at some of the other reasons we are not building the houses that we need. It is about, for example, the lack of funding for local authorities—the lack of understanding that we need to directly intervene through council housing and social rented housing to provide the homes that we need. It is also about the fact that the price of land is so utterly prohibitive. It would be much more sensible in this time of rapid and urgent legislation to tackle the Land Compensation Act 1961 and reduce the value of land as a whole so that we get more houses built that are affordable.

The relaxation of permitted development rights has, as we heard from the hon. Member for Weaver Vale (Mike Amesbury), already reduced quality.   The Government’s own commission reported that seven out of 10 buildings built under the existing rights lacked adequate light and ventilation, and were, as the hon. Gentleman said, creating the slums of tomorrow.

That was not always the way the Conservative party approached social rented housing, by the way. Harold Macmillan, when housing Minister, did tremendous work. He was the one behind the Parker Morris standard: really good quality council houses, with lots of good space around them. Council houses can be good houses, and that is what they need to be. [Interruption.] If I have got something wrong there, I will give way.

[Mr Betts]

Macmillan homes, built after the Bevan homes in the 1950s, were actually built to smaller space standards. I know that because I was actually brought up in one.

[Tim Farron]

I am delighted to take the correction. And there was me praising a Conservative! What Macmillan did do was build numbers, and the estates of the ’50s were certainly better than the estates of the ’60s, but I do indeed stand corrected.

The biggest concern I think many of us will have is the undermining of democracy: communities having what will be done to them dictated to them, without them having the ability to contradict or to say otherwise. If you are somebody who represents two national parks, the lakes and the dales, and the wonderful communities within them—Grange, Kendal and others—you will be particularly worried about what that means. We are not nimbys, by the way.

[Andrew Griffith]

As someone who also represents an area of national beauty, if we do not build houses in brownfield sites where dwellings already are, where does the hon. Gentleman think we will build those homes?

[Tim Farron]

I am grateful for that intervention, because I am about to talk about that.

The key point is simply this. South Lakeland District Council, a Liberal Democrat majority authority, has built well over 1,000 social rented homes. What we are talking about is not saying no to development; we are talking about saying yes to the right kind of development, and being able to have power and community control over where those houses are built and what kind of houses are built. Local control means better quality.

That is what worries me most about not just these proposals today, but the suite of proposals they sit alongside in the White Paper. We need to able to build the homes we need. It is absolutely infuriating that we have to say yes to private developments of executive homes that we do not need in order to crowbar in a handful of affordables. The average house price in my constituency is £260,000. The average household income is £26,000. It is obvious why we lose a third of our young people. Our communities, our council, our national parks want to be able to build houses, but build the right houses so that there are homes for local people in the lakes, the dales and the rest of the south lakes. The replacement of section 106, as proposed separately by the Government, risks, as has been reported to me by our local housing associations, at least 50% of their developments. That will not do anything to meet the needs of people in my communities.

There is also a particular concern—I will finish with this—that the Government are planning to say that developments of up to 50 units would not have to take any affordables as part of that proposal. I can tell hon. Members that in our communities we very rarely get developments of larger than 50 units. This set of proposals would lead to the removal of any affordable homes being built in the south lakes for the foreseeable future. It seems to me that there are many stakeholders the Government could have listened to when bringing forward these and similar proposals. The only stakeholders they have listened to appear to be the biggest of the developers. They have carved out our communities and caved into the big developers.

End of Eviction Moratorium

Tim Farron Excerpts

Wednesday 23rd September 2020 Commons Chamber

[Tim Farron (Westmorland and Lonsdale) (LD)]

(Urgent Question): To ask the Secretary of State if he will make a statement on the end of the eviction moratorium.

[The Minister for Housing (Christopher Pincher)]

I congratulate the hon. Member for Westmorland and Lonsdale (Tim Farron) on securing this urgent question. The Government have taken unprecedented action to support renters by banning evictions for six months, preventing people from getting into financial hardship and helping businesses to pay salaries. We have boosted the welfare safety net and increased the local housing allowance rates to cover the lowest 30% of market rents. We have made available £180 million for the discretionary housing payments this year, for local councils to distribute to support those renters who require additional support. We have now introduced comprehensive measures to ensure that renters continue to be protected over the autumn and winter, following the resumption of possession proceedings on Monday.

However, we must strike a balance so that landlords are able to access justice alongside measures to protect the vulnerable. That is vital to the long-term health of the private rented sector. We have worked with the judiciary to put in place new court arrangements that seek to ensure appropriate support to all parties within the current statutory framework. The judiciary will look to prioritise the most serious cases, including antisocial behaviour, fraud and egregious rent arrears. New court rules also require landlords to reactivate any claim they have made before 3 August and to provide information to the court on the effect of the covid-19 pandemic on the tenant and their dependants. A court would be likely to take a very dim view of any landlord who tried to circumvent this requirement or mislead the court by not disclosing relevant information where known.

To help to keep people in their homes over the winter, we have changed the law, increasing notice periods to six months in all but the most serious cases. Tenants now served notice will not be required to move over winter, while landlords will be empowered to take action where necessary—for example, where a tenant’s antisocial behaviour severely affects their neighbours’ quality of life. To further support renters, guidance has been issued to bailiffs by my right hon. and learned Friend the Lord Chancellor to ensure that possession orders are not enforced in areas where lockdown restrictions are in place or over the Christmas period, except in the most serious circumstances.

Our package strikes a fair balance, supporting landlords to act in the most serious cases while keeping the public, including renters, safe. Comprehensive guidance has been published for landlords and tenants to explain these new arrangements and the possession process in courts. The Government are clear that all these measures are to protect renters over this period. They are kept under constant review in the light of evidence on public health, and we are prepared to take further measures as they are needed to protect landlords and tenants alike.

[Tim Farron]

I am grateful to you, Mr Speaker, for granting this urgent question.

The ban on possession proceedings has given many private renters protection against the economic impact of coronavirus; at least the roof over their heads could not be taken away. That protection ended on Sunday and now 55,000 households are in immediate danger of losing their homes. They are the 55,000 served with eviction notices between March and August. Their landlords were not required to give six months’ notice, so courts could be processing their eviction orders as I speak. In addition, by the way, asylum seekers who fled to Britain for sanctuary will receive eviction notices with immediate effect. For context, in the same period last year, just 21,000 eviction notices were served. The scale of the hardship that is now being unleashed is unprecedented and no one is ready for it. Shelter estimates that a colossal 322,000 private renters are newly in arrears since the pandemic began, so things will get worse even more quickly. Unless he acts now, the Secretary of State will break his promise made in this place on 18 March that

“no renter who has lost income due to coronavirus will be forced out of their home”.

The Minister insists there are new measures to provide protection. That is not so. The new civil procedure rules require the landlord seeking possession to describe the effect of the pandemic on their tenants’ circumstances, but judges have zero authority to take those circumstances into account. In practice, it provides no protection. We recognise, too, that some small landlords will be unable to pay their mortgages or put food on their tables, so I remind the Minister of his promise to landlords that none should face unmanageable debt. The Minister believed the eviction moratorium was justified as the pandemic took hold in spring, but as we battle a second wave in the harsh depths of winters are not such measures justified still?

I do not ask the Minister to kick the can down the road. Instead, I ask for an extension to the eviction moratorium, so that the underlying problems can be solved. The 55,000 at risk of homelessness today cannot afford to pay their rent now, they are not likely to have the money in a few months’ time, and they are not going to have enough money for a deposit for a new place if they are evicted, so, very briefly, my four suggestions are these.

First, let us enact a further six-month moratorium on the bulk of evictions starting today, but this time do not waste the six months. Secondly, let us amend section 8 evictions to give judges discretion over tenants who are in need. Thirdly, the Minister should, as his manifesto promised, fast-track legislation to repeal section 21 no-fault evictions. Throughout the crisis, the Government have swiftly moved through legislation when they have needed to and there is nothing more urgent than preventing avoidable homelessness. Finally, the Minister should provide a comprehensive package of financial support for those in arrears, so that when the moratorium does end, we do not see the appalling misery of mass homelessness, whether that is in the Lakes or in London.

The British people are united in their decency and in their belief that the virus should not bring families to their knees and dump them on the street. The Minister has the power to prevent a pandemic of homelessness. I beg him to use that power and take the actions I have outlined.

United Kingdom Internal Market Bill

Tim Farron Excerpts

Tuesday 15th September 2020 Commons Chamber

[Christine Jardine]

Yes, I support the devolution amendment, and yes I believe, as I will come on to explain, that this is all about the devolution settlement, which is a very different thing from independence.

How often did right hon. and hon. Members listen to me and my colleagues warn the Government they were heading to exactly where we are now? As I said earlier, I fully accept we need a framework by which the powers that were vested in Brussels and are now returning to the UK will work for every part of this country. We need a Bill that does precisely that, but, Sir Graham, this ain’t it.

I cannot understand why the Government, in forming this Bill, did not stop for a minute and listen to the many voices urging them to be more conciliatory—to look, for example, at measures such as those that my Liberal Democrat colleagues and I have proposed: to appoint Ministers from the devolved nations to the CMA and be inclusive. But the Government did not listen to us, especially when we warned about the dangers of the withdrawal agreement to the Good Friday agreement, which everyone in the House should regret. Please listen to us now when we say that this approach—this Bill, these steps—do not respect the spirit of that agreement or the devolution settlement.

I appreciate, possibly more than many, that the devolution settlement is something that Conservative Members, particularly those from Scotland, were not comfortable with 20 years ago, but even they have surely learned to love the enthusiasm, commitment and benefits we have seen in Scotland, and I am sure in Wales, and the great changes brought about in Northern Ireland by devolution, and in London. We have come so far since the turn of this new century in devolving power in this country closer to the people most affected by it. It would be dreadful if this Bill—this attempt to allow us to trade more smoothly—were to undermine it, but I fear that that is exactly what it will do.

In supporting amendments tonight, I appeal to Government Members, many of whom have sat—and one or two of whom are aiming to sit once again—at Holyrood. I am confident that they cherish as much as I do what we have achieved for Scotland in Scotland as part of the United Kingdom, in Wales and, most importantly, in Northern Ireland, where we have peace for the first time in my lifetime. I disagree fundamentally with my colleagues on the SNP Benches about independence and where Scotland should be heading, but I cannot disagree with their anger at the lack of respect for ourselves, our Parliament and others across the United Kingdom.

I do not believe that that is what the Conservative and Unionist party truly believes or wants. I want to believe it was not what it intended when it opened this constitutional and legal can of worms, but we need more than words and platitudes about how it will be fine and it is all about trade. We need Conservative Members to stand with us and say to the Government: please respect our Parliaments, the will of the people across the country and the rule of law. If they will not abandon the Bill, I ask them please to accept the amendments, because that is the only way to respect and protect the United Kingdom.

[Tim Farron (Westmorland and Lonsdale) (LD)]

It is a great honour to serve under your chairmanship, Sir Graham, and to follow the speech of my hon. Friend the Member for Edinburgh West (Christine Jardine).

The Bill claims to be about unity based on the pillars of mutual recognition and non-discrimination; in reality, unamended, the Bill is something quite different. It will enforce the lowest common denominator in goods and services across the United Kingdom. There is such a focus on the fear of letting in through the front door chlorinated chicken or whatever other emblem of lowered standards there might be from a trade deal with the US or anywhere else. This Bill unamended is the route through the back door to lowered standards, whether it be for farmers, in retail or in manufacturing.

What is the value in consistency if it leads to the lowest possible standards, and how do we ensure the integrity of the Union and the dignity and, indeed, sovereignty of Scotland, Wales, Northern Ireland and England as we consider how to regulate these deals? We have in front of us the proposal for the Office for the Internal Market, which looks to be utterly toothless, in effect. At the apex of its terrifying range of powers is the ability to launch investigations and to deliver written statements—and that is it. That is the entire arsenal for the devolved nations to protect their standards of goods and services, while those nations will not be around the table making the decisions in the first place.

If the Government think this is a Bill about creating a united front, they are completely and utterly deluded. Rather than finding unity and a common position between the nations of the UK, this set of proposals in reality drives a deeper wedge between them. Like my hon. Friends who spoke before me, that fills me not with joy in the anticipation of another bite at the cherry of independence, but with complete and utter dismay. It should fill Conservative and Unionist MPs with utter dismay, and I am bewildered that it does not.

The problem is that the Government voted for and the Prime Minister signed a withdrawal agreement that he knew—he must have known—was a trade-off between a border separating Northern Ireland and the Republic and a trade border in the Irish Sea. One threatens the Good Friday agreement and the other threatens the very existence of the United Kingdom. There was never a third option: there was no Malthouse compromise and nothing else was on the table. It was all guff, and I pity any Tory candidate who fell for it.

It was a border between Northern Ireland and the Republic or a border between Ireland and Great Britain, and the Prime Minister made a choice, but now he says he does not like his choice, or he did not understand his choice, or it is all the fault of the nasty foreigners. But we have discovered in the last few days, as have millions of people who voted in good faith for this Government last December, that Brexit is not done: it was never done. Either the Prime Minister did not understand what he was signing, or he said a thing, indeed a series of things, that was not so. On this also, there is no third option.

More than 20 years ago, as has been said, this country rightly moved towards devolution to empower Wales, Scotland and then Northern Ireland. To their great shame, the Labour Government at that time did not do go further in empowering the regions of England also. Of course, the devolution that did happen at the time was opposed by the Conservative party in opposition, but in time it grew to accept the new devolved nature of Government in these islands, because—guess what?—proportional representation gives it seats in Scotland.

If on issues where the devolved Administrations have competence this Government force them to submit to whatever standards they decide on in the guise of unity, all we are doing is enforcing the lowest common denominator. We will not be levelling up; we will be forcibly levelling down. The Government will be sticking up two fingers at devolution.

This is a significant threat to the Union. I am waiting and waiting for the moment when Conservative and Unionist party Members will grasp the second part of their name and their mission. The current Conservative leadership deems this Bill to be just another convenient trench in the culture war. I implore Conservative MPs to take back control of their party before it is too late and we lose our country, for then there will be no Union for us to be Unionist about.

In South Cumbria, I am 50 miles from the Scottish border. I have no desire to live 50 miles from a foreign border—not in my lifetime, nor in my children’s or grandchildren’s lifetimes.

There are both practical and emotional reasons why this Bill is the worst thing to come to this House in the 15 years that I have been a Member of Parliament. Cumbria does not have a more important internal market than our relationship with south-west Scotland. It is a porous border, not even recognised by many: people work on one side of the border and live on the other; they go to school on one side and visit their GP on the other. Sheep reared in Cumbria are sold in Scotland. Cattle reared in Scotland are sold in Cumbria. Farmers dependent on common standards on both sides are about to see those standards undermined. Our farmers, across all nations, are to be sold down the river. Every poor decision, every compromise will sow more seeds of discontent in the devolved nations, playing into the hands of those who are desperate to split us asunder.

--- Later in debate ---

[Richard Fuller]

If I may, I will pick up on something that the hon. Gentleman has said. Many speakers on the Opposition Benches have also said this. They talk about the race to the bottom with regard to regulations. Please will he indicate where he sees any of that deregulatory zeal in this Government? I would like to see some deregulatory zeal. The truth of the matter is that, historically and certainly in recent years, the pattern of regulation of markets, whether in Scotland or in the rest of the United Kingdom, is for more and higher regulation. That is the story. The Government want to continue to maintain high standards. Where can he point to, so that I can see all these things that he is waving around as something we should be fearful of?

[Tim Farron]

I am grateful to the hon. Gentleman for his intervention. We should be aware that, on top of the desire politically for greater regulated markets, which I absolutely welcome, there is also a desire to maximise profit. What do we do when we are trying to maximise profit? We reduce costs. What are regulations? Well, sadly, they often involve more costs. One of the benefits of the European Union is that we lock ourselves in to an understanding that there are common rules. If, within the United Kingdom, we create an in-built incentive for one part of the United Kingdom to reduce its standards and therefore automatically drag down the standards of the other three parts of the UK at the same time, we have made this possible. Indeed, I argue that, thanks to the laws of free-market economics, we have made it more than likely—we have made it almost certain.

The Competition and Markets Authority should be representative of all the nation. There needs to be unity in the decisions and not just in the implementation of the conclusions. I am afraid for the future of our United Kingdom. Do this Government want to be the Administration responsible for the disintegration of our Union, whether by negligence or design? That is where they are taking us. This Bill, through its inherent relegation of the importance of devolution, is a colossal step—a witless step even—towards undermining the unity of the Union. This Government have taken us out of one Union. We will not let them wreck another, which is all the more precious even than the one that we have left.

--- Later in debate ---

[The Parliamentary Under-Secretary of State for Business, Energy and Industrial Strategy (Paul Scully)]

It is a pleasure to serve under your chairmanship, Mr Evans. I would like to thank all Members who have spoken today. Before I proceed to discuss part 4 in some detail and the amendments that have been tabled, I want to put the Bill into context, so that we can see where it sits. I would particularly like to thank my hon. Friends the Members for Stone (Sir William Cash), for Rother Valley (Alexander Stafford), for Hertford and Stortford (Julie Marson) and for Beaconsfield (Joy Morrissey) for their support of the Bill. This is an economic Bill to ensure that UK companies can trade unhindered in every part of the UK, and their focus on the core issue of ensuring that free trade must be commended.

The United Kingdom’s internal market has been the bedrock of our shared prosperity for centuries. It has enabled businesses and individuals to thrive and has been the source of unhindered and open trade across the country. It has helped to demonstrate that, as a Union, our country is greater than the sum of its parts. The economies of our four nations within one United Kingdom are forged as one. Around 60% of Scottish and Welsh exports are to the rest of the UK, which is around three times as much as the exports to the rest of the EU. About 50% of Northern Ireland’s sales are to Great Britain. In some local authorities in Wales, over a quarter of workers commute across the border. So when we leave the transition period at the end of this year, and the laws made in Europe can now be made across the UK, hundreds of powers will flow from the EU to the devolved nations and the UK Government in an unprecedented transfer of powers. It is really important to remember that we are devolving powers down to those devolved nations.

The Bill will not limit the devolved Administrations from innovating, as some Members have suggested. If an Administration wanted to introduce minimum alcohol pricing laws in the future, as was mentioned earlier, our proposals in the Bill would have no effect on them as long as the rules did not have a discriminatory effect on goods from other parts of the UK. Nor would our proposals do anything to prevent any Administration from introducing rules and regulations on how and where products could be used, including bans on smoking in public places. As these powers return to the devolved Administrations and as we recover from covid, we must ensure that our economy is stronger than ever. That is why the Government have brought forward this legislation to guarantee the continued functioning of our internal market and to ensure that trade remains unhindered in the UK.

Our manifesto committed us to maintaining and strengthening the integrity and smooth operation of our internal market, and eight weeks ago, my right hon. Friend the Secretary of State for Business, Energy and Industrial Strategy presented to Parliament a White Paper that set out plans to preserve our internal market after the transition period. Since then, we have spoken to hundreds of businesses and business representative organisations across the UK to gather views and feedback on our proposals. Overwhelmingly, businesses supported our approach. For example, the British Chambers of Commerce stressed that a fragmented system would create additional costs, bureaucracy and supply chain challenges that could disrupt operations for firms across the UK. As these proposals progress, business communities will want practical considerations, not politics, at the heart of the debates on shaping solutions. I want to thank those businesses, along with colleagues across the devolved Administrations, for their engagement on the White Paper.

Turning now to the independent body that will be created by the provisions in part 4, we consulted on how to ensure that an independent monitoring and advice function could uphold the internal market. In response, to oversee the functioning of the internal market, the Bill sets up the Office for the Internal Market within the Competition and Markets Authority. In some of the contributions today, Members have talked about who will serve in the Office for the Internal Market. I must remind people that the Competition and Markets Authority sits aside from Government and the directors of its board can be seen on its website. It is open to everyone to see their expertise in their fields. These are not people who are passed on through grace and favour; these are technical roles and it is really important that we have the greatest expertise in that body.

[Tim Farron]

I do not think that any of us doubt the integrity of the people on the board or on that body. We doubt their powers to be able to ensure that there is equity. Does the Minister not understand that there is a real difference?

Oral Answers to Questions

Tim Farron Excerpts

Monday 20th July 2020 Commons Chamber

[Christopher Pincher]

We were the first Government in the world to legislate to be zero-carbon by 2050, and we intend to meet that pledge, which is why we have introduced the future homes standard to reduce carbon emissions from homes built after 2025 by between 75% and 80%. I am prepared to listen to and consider all proposals to make us greener and better, and I look forward to hearing those proposals from the hon. Lady.

[Tim Farron (Westmorland and Lonsdale) (LD)]

What recent assessment he has made of the effect of trends in the level of second home ownership on local communities.

[The Minister for Housing (Christopher Pincher)]

Second homes can bring significant benefits to local areas, including boosting tourism, consumer spending and investment in the local economy. However, we are aware of the need to balance this with the housing needs of local people. We have taken decisive action to address these challenges through the introduction of a stamp duty surcharge on second homes.

[Tim Farron]

Excessive second home ownership robs communities of life, schools and other services. Does the Minister understand, then, why people in the south Lakes are so appalled that the Government have chosen to give a £15,000 stamp duty bonus to those lucky enough to be able to afford a second home? When there are 3 million hard-working people excluded from Government support at the moment, are these not appalling priorities? Will he end the second homes bonus and instead support the 3 million excluded?

[Christopher Pincher]

Second home owners contribute significantly to the economy of many parts of our country, particularly those parts that rely on the tourist economy. I remind the hon. Gentleman that, in 2013, we removed the requirement to offer a council tax discount on second homes, and 95% of the 253,000 second home dwellings now have council tax applied to them. It is very important that we balance the needs of the local economy with the rights of local people. We think we have got that balance right as we try to get this country through a very difficult epidemic, and every penny spent locally matters to local businesses and people.

Business and Planning Bill

Tim Farron Excerpts

Committee stage & 3rd reading & 3rd reading: House of Commons & Committee: 1st sitting & Committee: 1st sitting: House of Commons & Report stage & Report stage: House of Commons
Monday 29th June 2020 Commons Chamber

[Meg Hillier]

I rise to discuss new clause 6, which stands in my name. The Bill has been very rushed. It was announced on Thursday in the business of the House. We had to lay amendments by Friday, and I thank you, Dame Eleanor, for allowing a manuscript amendment today in order to get the new clause put forward.

As the Government rush into this legislation—I think there are questions about why that is—it is important that we make sure there are points of review and reflection about how well it is working. To put it more charitably, I am trying to save the Government from themselves. I think there is a lot of support across the House for the new clause, but in the very short time between Thursday and now, it has been hard to marshal all that and enable people to come and express their views.

The Minister may be able to answer this, but why has the Bill been quite so rushed, given that we have been in lockdown since 23 March and we knew that was coming for some time before then and given that we knew these sectors would be among the hardest hit? One would have thought that somebody in the Government would have been working up a Bill and stress-testing it before now, so that it was not such a surprise to Members of this House and sectors out there.

Local government has been caught rather by surprise. Of course it has been involved. I am not saying to the Minister that the Government have not spoken to local government. It would be extraordinary if he had come to the House from his Department and not done that. But there has not been enough detailed discussion about the impacts. We have heard, and I will not go into the detail again, about some of the impacts in constituencies such as mine and other urban constituencies with a high density of licensed premises, where antisocial behaviour has already been happening as a result.

We are already seeing problems, so there is a warning sign for the Government. The reality is that once off sales are allowed, as the hon. Member for Kensington (Felicity Buchan said, at the same hours as on licensed premises—almost with a sweep of a pen, with a very short period for councils to object—we will see an awful lot more sales off the premises at all hours of the day and night. We also have the big issue about the resources involved from the police and local councils to police it.

It is easy to say, as the Minister did, that the police have certain powers and there are powers for local authorities, but the issue is the resourcing. We cannot just do all of that in one go. A lot of licences are being applied for. There are more than 1,300 licensed premises across my borough as a whole. How many licensing officers are needed to do that work? The police have other things to do with their time—certainly that is the case in my constituency, where they are dealing with serious crime issues, as well as antisocial behaviour and managing and policing social distancing and covid-19 regulations. There is a lot on everyone’s plate. We want to support businesses, but a three-month review after this has been in place would give the Government the chance to come back and either reassure us that it is all fine everywhere, or, if there are problems, look at ways of addressing that. The Minister has heard today from the Labour Front Benchers that there is strong support to get the economy going, and backing to make sure that businesses can survive the next period, as we still live in the pandemic. That is really important, certainly in a constituency such as mine with so many licensed premises, but we have to get that balance so that residents do not lose out.

This is a very mild amendment. Earlier, the Secretary of State rejected it because I had discussed a rolling amendment—I just say to the Minister that I had very little time to draft it and get advice about how to make it fit. I did not have time to discuss it in detail with the Government, otherwise I would have, and I know that other Members around the House agree with it.

I will not push the amendment to a vote today, but I am hoping that in the other place, they will have more time to think about, listen and reflect upon it, and that, in the meantime, the Government will also have time to reflect on it. Perhaps the Minister can give me some indication of whether this is something that the Government are willing to reflect on—to build in, simply, a three-month review point, so that three months after the Bill becomes an Act, the issue would come to the House again. A Minister would come to explain what is happening and we would have a debate about how this is working in our constituencies up and down the country, in the four nations of the UK, and we can make sure that we are getting it right. If there are problems then, the Government would have my backing to bring in certain powers to ensure that the antisocial behaviour that I fear this may herald is tackled, and I am sure that the Government would have the backing of other Members.

It would be helpful to hear from the Government about their thinking on this very mild amendment. We pushed for a review of the covid-19 legislation, which was pretty draconian. That was accepted by the Government and I propose this review in a similar spirit. I do not think that this will provide uncertainty for businesses. A review, when there has been such cross-party support in general for a proposal that supports businesses, is unlikely to completely reverse it, but it may allow for amelioration of some of the worst impacts if they materialise, as I fear they may in my constituency, or it may allow for different approaches to how the measures are applied in different nations of the UK, different regions or different cities.

They key thing is that if we have the review, it would give the Government and the House an option to look at this again. I think that something as draconian as this—the biggest change in licensing rules for decades—warrants a review. Some of these licences will be granted for a year if they pass through on the nod. A lot of them will go through very fast because of a lack of resources in local authorities. I urge the Minister to take my suggestion for this amendment constructively. I will not push it to a vote today because I recognise that, although the Bill is rushed, the amendment is also rushed. I hope, however, that the other place will consider it, that the Government will approach it thoughtfully and that when the Bill returns to this place, we can consider having a three-month review.

[Tim Farron (Westmorland and Lonsdale) (LD)]

I shall speak to new clause 1, which I will not push to a Division because, for reasons mentioned by others—not least the hon. Member for Hackney South and Shoreditch (Meg Hillier)—I accept the premise of the Bill. It is about boosting the economy and creating flexibility so that people can begin to make a living again within the confines of the important safety restrictions that there are. However, I am very much looking to the Minister and the Government to be very clear that they will accept the terms and the general approach of my amendment, which seeks Government support for the hospitality and tourism industry beyond the current date set, which is the end of October, when the Government’s financial support schemes currently run out.

We welcome this Bill, rushed though it is, and understanding the necessity of that. We also welcome the support that the Government have given to the sector and the economy more widely. Undoubtedly the furlough scheme, the grant schemes and, more recently, after a lot of lobbying by myself and plenty of others, the discretionary schemes delivered through local authorities have helped to save thousands of companies from bankruptcy and protected millions of jobs. I am grateful to the Government for that.

Westferry Printworks Development

Tim Farron Excerpts

Wednesday 24th June 2020 Commons Chamber

[Steve Reed]

I am going to come on to the issue of the proportion of affordable housing that was included in the scheme. The timing of the decision is a further issue on which I am seeking clarification from the Secretary of State. He could easily provide that if he published the documents behind it. I hope that he will, and that Conservative Members will all be voting for that when this debate concludes.

[Tim Farron (Westmorland and Lonsdale) (LD)]

Irrespective of the rights and wrongs of the Secretary of State’s behaviour, viability assessments are used by developers around the country to frustrate the affordable housing targets of local councils and planning authorities. South Lakeland District Council, Lake District National Park and Yorkshire Dales National Park do their best to provide affordable housing in a place where average house prices can be well in excess of a quarter of a million pounds, but viability assessments are often used to frustrate that process. Would it not be better if the Secretary of State were to stand up in the interests of affordable housing and not in the interests of the developer?

--- Later in debate ---

[Robert Jenrick]

No; I wish to make this point, because it is important. The hon. Member for Croydon North also propagated another inaccurate story that is more serious and disappointing, and that is the one in respect of the application to build a new holocaust memorial for the United Kingdom in the grounds of this building. There has been a suggestion that in that case I used my powers as Secretary of State to call in the application. That is incorrect. The Secretary of State is the applicant for the holocaust memorial, and there is a clear Chinese wall whereby another Minister in the Department who has no interest in that application takes the ultimate decision. That is exactly what we did in that case, so I strongly urge Members from all parties, as well as the media who have reported on that issue, to tread carefully. We should not bring something as important as our national holocaust memorial into this party political discussion.

[Tim Farron]

I am grateful to the Secretary of State for giving way; he is being very decent with his time.

The Secretary of State has made the case that he felt the need to intervene in this case to deliver housing. Does he understand my frustration and the frustration of many other Members present? In my part of the world, we have London house prices without anything like London wages. We regularly look to his Department to intervene to help to deliver affordable houses, yet his Department allows developers to get away with viability assessments that get rid of affordable housing. I wish he was also tough in cases when it comes to the Lake district and other parts of the country.

[Robert Jenrick]

I do not know whether the hon. Gentleman has asked to call in applications; he certainly has not come to see me about any applications during the past 12 months of my tenure, but I would happily meet him in the appropriate way if he wishes to do so. My record as Secretary of State is clear for all to see in the range of applications that I have considered and the difficult decisions that I have consistently made, which affect Members from all parties and their constituencies. If one does this job properly, one gets homes built. One does not necessarily make friends, and I make no apologies for that. Each decision must be made on its merits, but if we want to tackle the housing crisis, we need to build homes.

Housing and Planning

Tim Farron Excerpts

Tuesday 3rd March 2020 Westminster Hall

[Tim Farron (Westmorland and Lonsdale) (LD)]

It is an honour to serve under your chairmanship, Sir Charles. I pay tribute to the hon. Member for Harborough, who made an excellent speech, and I congratulate him on securing this important debate.

Like everybody else, I feel there is a whole range of issues that we could address when it comes to housing and planning, so I will be specific and talk about planning and regulation relating to those homes that are not typically lived in. In my constituency, roughly a minimum of 7,000 properties are not lived in. They are second homes, boltholes owned by people who can afford more than one home. It is not their principal home. That is not even beginning to count the number of holiday lets, which are an important part of the tourism economy in the lakes and the western dales.

We also have a more recent development with the rise of Airbnb. I want to be very clear that Airbnb, like all technology, is neutral; it is what we do with it that gives it moral value for or against. I can think of many advantages of affordable holidays for people, and I can think of advantages for people who have holiday lets on the platform. It is also a way of making good use of space.

There is a lot that is good about Airbnb, but there are some problems as well. Research conducted for The Guardian just a few weeks ago showed that one in five houses in the Langdales, in Ambleside and in part of Windermere were on Airbnb. Many of those will be in estates that would not typically house second homes or even holiday lets, so it is clear that there is a movement out of the full-time, affordable family market into homes that are being used simply for rental. That is deeply troubling, and I would like the Government to look at it.

I would also like the Government to understand that although in a free society people should be allowed to use their money however they wish, the excess of second homes in communities such as mine can become deeply problematic. When we think that probably 80% to 90% of homes in certain Lake District villages are not lived in all year round, it is no surprise that beautiful places such as Dent and Langdale—wonderful communities at opposite ends of my constituency, one in the lakes, one in the Yorkshire dales—have school rolls of less than 30. Why? Because the majority of the homes that could send children to those schools are owned by people who do not occupy them or add much in the way of economic value to the community.

So what would I like the Government to do? I would like them to tackle this matter, as they have been promising for many months now. I ask the Minister in particular to address this. The Government have had a consultation, which closed in January 2019. They have still to act upon it and say whether or not they are going to close the loophole, as the Welsh Assembly have done, that allows some second home owners to game the system and avoid not only paying business rates, but paying council tax altogether. A conservative estimate in my constituency is that second home owners using that loophole are costing local council tax payers in the south lakes at least £3 million a year.

Will the Minister close that loophole, as the Welsh Assembly have? Will he also look at changing planning law, so that having a second home is actually a separate category of planning use from having a first home, so we can regulate the amount of second home ownership in places such as the lakes and the dales? Will he allow councils to look at raising council tax in certain areas, to create a disincentive and allow a redistribution of income in national parks in particular?

Finally, will the Minister look at the Airbnb market, recognising its value and the contribution it makes, but also recognising that a lack of regulation, health and safety applications, insurance and other things may make it an unfair competitor, added to the fact that Airbnb seems to be taking away houses from the affordable market for local families in the lakes? Those issues are a challenge that a Government ought to be addressing.

Grenfell Tower Inquiry: Phase 1 Report

Tim Farron Excerpts

Tuesday 21st January 2020 Commons Chamber

[Tim Farron (Westmorland and Lonsdale) (LD)]

I appreciate you calling me to speak, Mr Speaker.

I begin my brief remarks by paying tribute to the Grenfell survivors and their families bearing the weight of bereavement. They have fought for justice in the face of suffering that I cannot begin to imagine. Their dignity and determination continue to be awe-inspiring, and I uphold them in my prayers. On top of that, I honour the bravery of the firefighters. The personal risks they took are utterly humbling and we should be clear that any systematic failures in how the disaster was handled detract in no way from the phenomenal courage and hard work of firefighters on the ground.

The new building safety regulator must have the widest possible scope to ensure that people are safe and feel safe in their homes. It must, for example, look at all building materials. We need a complete review of the content and implementation of building regulations, including provisions for the use of sprinklers and cladding in tower blocks; local councils’ ability to check the details of developments prior to and during building or renovation; the ability to update building regulations as new products, processes and techniques become available and to use the regulations to enforce changes, where necessary, in buildings, based on updated knowledge of new products, processes and techniques.

It is unacceptable that thousands of families are still living in unsafe high-rise buildings. Smaller, often privately rented buildings in places such as south Cumbria can be, potentially, lethally unsafe, with their residents living in fear of what might happen or—more likely—in ignorance of the risk they are in. So I welcome the Secretary of State’s announcement in his statement yesterday that from next month those responsible for failures to remove cladding would be named and shamed, but we cannot rely on that being sufficient when so many of those living in their properties may not have the means to take action. The Government must establish deadlines for the removal of the cladding. If that does not happen, they must step in and change the buildings themselves, and even present landlords with the bill. If they cannot be trusted to provide safe buildings, they cannot be trusted to be landlords. That may seem a radical step, but two and a half years after this tragedy is enough time to start the remediation of the work. It is not enough to ask them to remove it and pass on the responsibility; the Government must ensure that that happens. It is nothing less than a matter of life and death.

Yesterday, the Secretary of State referred to the Government’s absolute duty to ensure that action continued to be taken as quickly as possible so that a tragedy such as the one at Grenfell could never happen again. I commend him for his ambition, and plead with him to take those steps to enact the recommendations so that he can be true to his word.

Oral Answers to Questions

Tim Farron Excerpts

Monday 13th January 2020 Commons Chamber

[The Minister for Housing (Esther McVey)]

I welcome my hon. Friend to these Benches. She will be a terrific addition to this place, and I am delighted that she is dedicated to the green belt and supporting her constituents. That is only right, and the Government, too, are committed to that. Planning inspectors are appointed to independently examine plans. Given my quasi-judicial role in the planning system, it would not be appropriate for me to speak on this matter, but I cheer my hon. Friend on in all she does for her constituency.

[Tim Farron (Westmorland and Lonsdale) (LD)]

The Government’s consultation on closing the loophole that allows second home owners to avoid paying any council tax whatever by pretending to be a small business ended 12 months ago. Will the Government take action to protect communities in south lakes and elsewhere, or have they decided not to bother?

[Esther McVey]

We will absolutely help communities like the hon. Member’s. The Government have removed the requirement to offer council tax discounts on second homes amounting to 75% of the full rate. He is quite right: the consultation closes on 16 January, and then we will make decisions on it. If he would like to discuss his suggestions with me, I will gladly meet him.