Wednesday 17th September 2025
(2 days, 6 hours ago)
Lords ChamberPlanning and Infrastructure Bill 2024-26 View all Planning and Infrastructure Bill 2024-26 Debates Read Hansard Text Amendment Paper: HL Bill 110-VIII Eighth marshalled list for Committee - (16 Sep 2025)
Baroness Hayman of Ullock
“(5) An EDP must include conservation measures that are not, at the time the EDP is made, expected to be needed but which must be implemented in the circumstances set out in the EDP.(5A) Those circumstances must relate to the effectiveness of the conservation measures that have already been implemented, as revealed by the monitoring of the EDP (see section 76(4)(a)).”Member's explanatory statement
This amendment would require Natural England to include backup conservation measures in an EDP, in case the primary ones prove to be ineffective, and to specify the circumstances in which the backup measures will be implemented. (See also my amendment to clause 76 inserting a new subsection (4) about monitoring.)
The Parliamentary Under-Secretary of State, Department for Environment, Food and Rural Affairs (Baroness Hayman of Ullock) (Lab)
My Lords, this group covers further government amendments to bring confidence that the nature restoration fund will deliver the improved outcomes for nature that are at the core of the model. At its introduction, the Bill provided the ability for Natural England to include back-up conservation measures within an EDP which could be used if the initial conservation measures were not delivering the desired outcome.
Reflecting the original intent that these back-up measures would be used where necessary, Amendment 248A makes it mandatory for an EDP to include back-up measures as well as explicitly requiring Natural England to monitor the effectiveness of conservation measures so that it knows when it is necessary for these to be deployed. In addition, government Amendment 298ZA bolsters the duty of the Secretary of State to carry out remedial measures. Should the end-point report or the report following revocation contain an assessment that conservation measures are not likely to or have not passed the overall improvement test, this amendment requires the Secretary of State to take proportionate action to address any shortfall in environmental outcomes, whether the EDP is revoked or it reaches the end date.
Finally, the amendments make a series of minor legislative fixes and consequential amendments necessary for the correct operation of the legislation following these substantive government amendments. I hope that the Committee will support these amendments, and I beg to move.
Lord Roborough (Con)
My Lords these amendments brought forward by the Minister draw attention to a crucial point: environmental delivery plans, if they are to carry weight and deliver real outcomes, must be more than static documents. Amendment 248A rightly calls for contingency measures, back-up conservation actions that can be triggered if the initial interventions fall short. That is not only prudent but essential if we are to treat the environmental promises made in an EDP with the seriousness they deserve. Likewise, the amendments proposing a clear duty on the Secretary of State to act where an EDP fails the overall improvement test, together with publication requirements, are in my view sensible and measured. If the regime is to maintain public confidence, there must be accountability when delivery falters.
The environmental delivery plan must not be a one-shot deal; it must be an adaptive instrument capable of responding to what monitoring reveals and supported by a credible remedial pathway if things go wrong. These proposals help to strengthen that architecture, and I hope that the Government will give them serious and constructive consideration.
Baroness Hayman of Ullock (Lab)
I thank the noble Lord for his supportive comments. I do believe these amendments show we have been listening to concerns. I beg to move.
Member’s explanatory statement
This amendment would be a drafting correction so that subsection (6) refers to “the environmental impact of development” which is the defined term in subsection (8).
Lord Lucas (Con)
My Lords, I have managed to eliminate Japanese knotweed successfully several times. It requires a bit of time and a bit of glyphosate.
Baroness Hayman of Ullock (Lab)
I have also got rid of Japanese knotweed—I have not had much success with Himalayan balsam, though.
I thank the noble Lord, Lord Roborough, for Amendments 253, 296 and 297, and the noble Lord, Lord Cromwell, for Amendment 253B. I will consider these together because they all relate to invasive non-native species and the nature restoration fund. The Government recognise the impacts of invasive non-native species on our native species and ecosystems. As the Minister for invasive non-native species, I appreciate the noble Lords’ intentions in tabling these amendments, but they do not align with the targeted nature of the nature restoration fund.
However, I reassure noble Lords that I have a particular bee in my bonnet about how we best tackle invasive non-native species, because they can have a devastating impact on our native biodiversity. Himalayan balsam means that nothing grows at all, and it wrecks riverbanks. However, it is about not only what is here at the moment and how we manage it but how we stop more invasive species coming in. That is a huge challenge. While I am on that subject, the noble Lord, Lord Lucas, asked about the list—it is retained EU law, but we have been reviewing and amending it in order to tailor it to UK circumstances.
Amendment 253 would require Natural England to take action to eradicate the invasive non-native species that could negatively impact an EDP’s environmental features. The legislation already allows invasive non-native species control to act as a conservation measure, where this would support the action of Natural England to materially outweigh the impact of development on the relevant environmental feature. However, we should recognise that it might not always be the best option in terms of environmental impact, value for money and delivery considerations, such as the need to secure the overall improvement by the EDP end date.
Requiring action to eradicate invasive non-native species, regardless of these considerations, could delay EDPs, increase costs, and limit the ability to secure positive environmental outcomes. With these amendments, the Secretary of State would be required to revoke an EDP—even one delivering effectively for nature—because of the presence of a single grey squirrel, which does not make sense in the bigger picture. Making EDPs contingent on mandatory eradication in this way could also make them unviable. On the grey squirrel question, the noble Lord asked about the sterilisation programme. To confirm, the programme is ongoing, and is being supported by Defra.
Amendment 253B, tabled by the noble Lord, Lord Cromwell, seeks to require bodies exercising powers relating to an EDP to ensure that legal obligations under the Weeds Act 1959 are “publicised, observed and enforced”. The Weeds Act grants powers for the Defra Secretary of State to serve landowners with a requirement to remove the weeds specified within the Act, and ensures that landowners retain responsibility for their own land, instead of public bodies needing to act.
EDPs are a targeted tool to address the impact of development on specific environmental features. Introducing a broad obligation for Natural England, and others exercising responsibilities relating to EDPs, would expand the scope of EDPs, and risk diverting focus from their core purpose. The noble Lord, Lord Cromwell, and others discussed ragwort. I assure the noble Lord that there is nothing in this legislation that would preclude Natural England or others from taking action in line with the Weeds Act, such as reporting the presence of ragwort where this is encountered, or from appropriately removing such weeds where Natural England, or delivery partners, are delivering conservation measures on the ground. With these explanations, I hope that the noble Lord, Lord Roborough, will withdraw his amendment.
The Earl of Caithness (Con)
My Lords, I was interested in that debate, and would like to pick up what the Minister said. Given her responsibilities, could she update us on the point my noble friend Lord Roborough made about the grey squirrel? Could she be a little more specific about the up-to-date situation on that, but also on deer in general, which are causing havoc to young plantations and farmland? Those might not include non-native or invasive species, but there are far too many deer in the countryside.
Baroness Hayman of Ullock (Lab)
One of the main deer that cause a problem is non-native, but we will not go into that. The department is currently producing the revised deer strategy, which I am sure we can share with the noble Earl when it is produced. The noble Earl, Lord Kinnoull, is working closely with the group working on the grey squirrel sterilisation programme. I have had meetings with him and his colleagues, but I cannot provide the details of that, as it is something that they are driving forward themselves. It may be worth the noble Earl having a conversation with the noble Earl, Lord Kinnoull, and we are supporting the work that he and his group are doing.
Lord Roborough (Con)
My Lords, I am grateful to all noble Lords who contributed to this short debate, and particularly to the Minister for her knowledgeable answer. I add my thanks to the Minister for a meeting which she organised a couple of weeks ago with her officials. The depth of knowledge of those officials on this subject was phenomenal.
The noble Lord, Lord Inglewood, made a good point about public education. These are not adorable, furry animals, these are pests. They are causing damage to our wildlife, our trees, and to everything in our country, and people need to be aware of that. I could not agree more with the noble Lord, Lord Cromwell, about ragwort. My experience is that responsible farmers remove this as soon as they see it, and it is disappointing to see public bodies not taking that responsibility seriously.
I also thank my noble friend Lord Lucas for his points. He slightly contradicted himself; of course, it is very difficult to remove these invasive non-native species, but the point is that it is not impossible. I had the same experience with Japanese knotweed and Himalayan balsam; you can eradicate them, but you have to work at it.
I will take away the comments made in the debate, and perhaps see whether there is something we can do, in this Bill or elsewhere, to try to strengthen the defences against these. I withdraw my amendment.
The Parliamentary Under-Secretary of State, Ministry of Housing, Communities and Local Government (Baroness Taylor of Stevenage) (Lab)
My Lords, this group of amendments relates to the regulation-making powers governing the nature of the restoration levy. The powers provide the framework for how the levy will operate and how it will be used to unlock development and deliver nature restoration. Let me reassure the noble Lord, Lord Framlingham, that we have a whole group on CPO powers, group 9, so I am sure we will have further discussions about that then. The substance of the levy will be governed by secondary legislation, which will be laid under the affirmative procedure following Royal Assent. It is worth highlighting that, as well as receiving scrutiny from Parliament, the relevant charging schedule will form part of the consultation on each EDP, and, to reiterate, the use of an EDP will be a choice for developers.
Turning to Amendments 256 and 313, tabled by the noble Lord, Blencathra, the Government have designed the nature restoration fund to work on a cost-recovery basis, with actions required to deliver EDPs funded by the developers who use the EDP. The framework of powers ensures that the levy can be designed to achieve this aim, and that all appropriate costs can be met through the levy. This follows the polluter pays principle, as the EDP will address the negative impact from development, so it is right that these costs be met through the levy. Given the range of matters that may need to be addressed through an EDP, there may be circumstances where the acquisition of land is required. Where this is the case, it is only right that this cost be recovered through the levy, rather than through public funds, whether the land is acquired by agreement or through compulsory purchase.
While I recognise the concern around the use of compulsory purchase, these are important powers to ensure sufficient certainty that, where necessary and appropriate, land can be acquired for delivering conservation measures. This again highlights the importance of consultation on each EDP to ensure proper scrutiny before the EDP is considered by the Secretary of State.
Lord Framlingham (Con)
I am sorry to interrupt again, and I appreciate that other amendments deal with this, but the very simple principle is that if you are buying somebody’s land, you should pay a fair market price for it, surely.
Baroness Taylor of Stevenage (Lab)
The noble Lord is correct, and there are provisions for that in the process.
Turning to Amendment 307, tabled by the noble Lord, Lord Gascoigne, I note that he is a non-native species of Surrey; I hope he is not an invasive species of Surrey. His amendment would limit what administrative expenses could be included within a charging schedule to those included in Section 11 of the Natural Environment and Rural Communities Act 2006. These powers were drafted long before the NRF and extend solely to charging for providing a service and for licences. Natural England’s role in the NRF is wider than simply providing a service. It will be drafting EDPs, conducting surveys and analysis to work out the most appropriate conservation measures, and consulting on them and presenting them to the Secretary of State. It will subsequently have administration costs as part of implementation, such as contracts with service providers and administration of levy collection. Many noble Lords have also referred to the need for a proper scientific basis, and it will be important that it be able to deliver that scientific evidence.
As mentioned previously the Government’s objective is for the NRF and Natural England’s role in delivering it to operate on a cost-recovery basis, which would not be possible if we were to accept this amendment. To ensure value for money for the taxpayer, it is important that Natural England can recover all appropriate costs as part of the levy.
I turn to Amendment 308A from the noble Lord, Lord Gascoigne. We agree with the noble Lord. The Government are clear that money from nature restoration levies will be used to deliver the EDP and secure the necessary conservation measures. While Natural England will be the organisation drafting EDPs on behalf of the Secretary of State, it will not always be best placed to deliver the conservation measures, so we will work with other bodies when securing those measures. We will set out a procurement strategy in due course that will speak to the issues the noble Lord is driving at through his amendment.
When Natural England works with or through partners it will remain bound by the provision in Clause 71 to
“spend money received by virtue of the nature restoration levy on conservation measures that relate to the environmental feature in relation to which the levy is charged”.
Money used in this way cannot simply be used for other purposes. For that reason, Clause 71 still requires that this money be monitored and accounted for. On the basis that there is always a link between the levy and the delivery of conservation measures, regardless of whether Natural England is the body delivering them, I hope that the noble Lord will not press his amendment.
I turn to Amendment 309, again tabled by the noble Lord, Lord Gascoigne. As the noble Lord will be aware, the Government have tabled an amendment making it explicit that Natural England can only deliver network measures—measures that do not directly address the impact on a protected site but improve the same feature elsewhere—where it considers that they will make a greater contribution to the improvement of the environmental feature in question than measures that address the impact of development locally.
Under these proposals, Natural England will be required to state how it reached this conclusion with reference to the best available scientific evidence. Crucially, network measures could never be used where to do so would result in the loss of an irreplaceable habitat, as this would inherently not pass the overall improvement test. More generally, the amendment would limit actions within the boundary of a local planning authority that may not align with the ecological boundary of, or environmental impact on, a protected site. I trust that this speaks to the substance of Amendment 309, given that the Government’s amendment provides an ecological lock on the use of these measures by requiring Natural England to pay regard to the need to protect the overall coherence of the relevant site network.
Amendment 310, also from the noble Lord, Lord Gascoigne, would require the Secretary of State to bring forward regulations covering all the matters listed within Clause 71(3). There are many indispensable elements to the levy regulations that will be brought forward to ensure that this legislation can operate effectively. However, framing the power as a “may” rather than a “must” provides the Secretary of State with discretion when deciding whether it is necessary to bring forward specific requirements in regulations.
I turn to Amendment 312 from the noble Lord, Lord Gascoigne. The Government agree that transparency is vital throughout the EDP process. That is why the Bill already includes reporting requirements at the midpoint and endpoint of an EDP that will include information about the cost of conservation measures. In addition, Natural England will be required to publish annual reports across the NRF that will include a summary of Natural England’s accounts, with information about the total amount of levy received and the amount spent on conservation measures each year. Through this process, we are confident that there will be an adequate level of transparency in respect of both costings and expenditure.
I turn to Amendments 314 and 315, tabled by the noble Lords, Lord Gascoigne and Lord Blencathra. As I set out previously, removing Natural England’s ability to recover administrative expenses would require the Government or Natural England—and as a result, the taxpayer—to shoulder the cost of creating EDPs and any administrative costs of implementing them. Similarly, removing Natural England’s ability to include previous expenses would directly impact this and remove the Government’s ability to forward conservation fund measures to Natural England, which would then recover the money through the levy when development proposals come forward before repaying the Government. Furthermore, limiting the ability of Natural England to reserve money for future expenditure would restrict its flexibility to secure the most appropriate conservation measures and plan for unforeseen circumstances. Allowing these costs to be included within a charging schedule will ensure the long-term viability of the nature restoration fund and provide greater certainty that environmental outcomes will be achieved.
In a similar vein to previous amendments, Amendment 301A, tabled by the noble Lord, Lord Teverson, and spoken to by the noble Baroness, Lady Parminter, would require that money accepted through the nature restoration levy be classified as additional to the core funding of Defra or Natural England. I can assure the noble Lord that the legislation is clear that the nature restoration levy is provided to Natural England to deliver on the EDP and cannot be used for purposes outside the EDP. As part of this, and to ensure transparency, regulations may require Natural England to account separately for any money received through the nature restoration levy that would prevent this from being merged with central budgets.
Although the levy can be used by Natural England for administrative expenses in connection with an EDP, this must, as the drafting suggests, be in connection with an EDP. This might cover the costs of drafting and implementing a specific EDP, or a proportion of the cost of setting up a digital platform for the NRF generally, but the nature restoration levy would not affect the core budget of either Natural England or Defra, which remains a matter for the Government. With this explanation, I hope that the noble Lord will feel comfortable to withdraw his amendment.
On Amendment 307A, the nature restoration fund is being established to support development, so it is vital that the nature restoration levy does not undermine the economic viability of development while still being able to secure sufficient funding to deliver the necessary conservation measures to meet the overall improvement test. There is no legislative requirement to include contingency in the levy, as framed by this amendment. However, it is important that the regulations allow for circumstances where it may be necessary or prudent to include a precautionary buffer to support the delivery of conservation measures, whether through back-up conservation measures or simply because the primary conservation measures may cost more than originally anticipated.
Crucially, a draft charging schedule will include details of how the levy has been calculated. If a contingency were included in the charging schedule, this would form part of the draft EDP, which will be subject to consultation before being considered by the Secretary of State. While I am confident that the nature restoration levy will be set at a fair price that supports development, the use of EDPs will remain voluntary in all but the most exceptional circumstances. A developer is therefore free to use the existing system if they do not think the EDP or the levy is appropriate. Developers will have full clarity on what they are paying—
Lord Cromwell (CB)
I thank the Minister for explaining those points, but I just want to clarify something. I think that we were both at the same meeting where I challenged Natural England on this, and it assured me that there would be a contingency. For a large project, I think it is perfectly sensible to have a contingency, but when I questioned what would happen to the contingency, or indeed any unspent funds, after of meeting the required level of environmental reparation, I was assured, to my astonishment, that it would not be handed back as excess but would spend it on some more good environmental stuff, above and beyond what was anticipated for the levy. That is a sleight of hand, if I can put it in those terms, to use money that was not needed for the purpose for which it was provided for another purpose. Perhaps, at best, there is a difference in understanding between the department and Natural England, which it would be helpful to clarify.
Baroness Taylor of Stevenage (Lab)
I thank the noble Lord for that point; I will attempt to clarify that for him. There are potentially significant complexities and legal and financial liabilities introduced by requiring the return of the money with interest to developers. Given that developers will have already received the benefit they paid for, it would be more proportionate, and better for nature, for Natural England to use any excess funds to the benefit of the environmental feature. With this explanation, I hope that the noble Lord will consider withdrawing his amendment.
Lord Cromwell (CB)
The noble Lord and I are starting to repeat ourselves, so perhaps we can talk about it outside. However, that is not the reply that the Minister has given me.
Baroness Taylor of Stevenage (Lab)
I am happy to continue the conversation on this, but I would reiterate that it is up to the developer whether they enter into an EDP. They will have a charging schedule set out before them and, if they feel the contingency is too great, they can argue it or not take part in the EDP.
On Amendment 309A, tabled by my noble friend Baroness Young, I reassure my noble friend that the intention of her amendment is already captured. I agree that it is crucial that Natural England ensures the effective delivery of conservation measures, which is why Clause 55 sets out that the conservation measures in an EDP
“are to be taken by, or on behalf of, Natural England … to … address the environmental impact of development”,
as well as
“contribute to an overall improvement in the conservation status of the identified environmental feature”.
Member's explanatory statement
This would be a minor drafting change to align the style of paragraph (a) of clause 57(2) with that of paragraph (aa) (as inserted by my another of my amendments to clause 57) and paragraph (b).
The Earl of Caithness (Con)
My Lords, what my noble friend Lord Roborough has said is very important. I draw the Committee’s attention to an announcement in February of this year from the Environmental Farmers Group, which comprises about 4% of England’s farmland—nearly a million acres—and over 700 farmers. Before the powers of this Bill got into print or came to this House, the Environmental Famers Group managed to reach an agreement with Natural England that satisfied Natural England and the local authority, and ended the moratorium on housebuilding between Salisbury and Christchurch. Thousands of new houses will be built as a result of this agreement, and the environment will benefit. It would be a tragedy if this Bill inadvertently started to block agreements such as that and Natural England resorted to compulsory purchase and a state attitude that it is the only one that can do it. It is vital, as the noble Lord, Lord Inglewood said, that every possible angle is kept open for the private sector in its various forms to contribute to the benefit of biodiversity, development and growth in this country.
Baroness Hayman of Ullock (Lab)
My Lords, I thank the noble Lord, Lord Curry, for Amendments 258, 268 and 353. These amendments speak to the role that private providers of nature services will play in the delivery of the NRF.
We share the desire of the noble Lord—and that of other noble Lords who have spoken in this debate—to support private sector investment in nature. We are clear that private and third-party providers will play a critical role in delivering the NRF. By design, this Bill allows a partnership approach to the delivery of conservation measures. This includes explicit reference in Clause 76 to paying others to undertake conservation measures. The Government expect Natural England to use competitive procurement approaches, wherever appropriate, to ensure innovation and value for money.
As the noble Lord, Lord Cromwell, said, we tried to spell this out a little better in the letter that we sent round. It explained that EDPs will provide new opportunities for the private sector, habitat banks, farmers, local authorities and environmental groups to supply nature services. Of course, local solutions are an important part of this, but I am happy to write to the noble Lord regarding processes. As part of the wider measures to support the NRF, the Government will issue guidance to natural England specifically on this point.
The noble Lord also asked about the percentage of the levy that would go to conservation measures and how much would be spent on other things. We cannot be specific on that because clearly it will depend on the nature and size of the EDP and the measures that are going to be agreed. Admin will be able to be claimed for, but the overall focus is delivering the conservation measures—that is what we want the money to be spent on. There will be charging schedules which will provide more information.
The problem with enforcing the binary choice in the amendments is that it would reduce the role for private solutions as part of the implementation of Part 3 of the Bill. My The noble Lord—I think I will call him my noble friend—Lord Inglewood rightly said that we need choices in order to have the best outcomes for nature.
On Amendments 318B and 320B, in the name of the noble Lord, Lord Cromwell, Natural England will work with private providers and landowners to deliver conservation measures. We recognise the vital role these providers will play in making the NRF a success. Restricting Natural England’s ability to deliver conservation measures itself in the way proposed would risk EDPs being unable to deliver value for money for developers where the only available and willing providers are prohibitively expensive.
We are shortly going to be discussing compulsory purchase, so I will say here that we expect Natural England to consider compulsory purchase only where attempts to acquire land by agreement have failed, and that use of Natural England’s compulsory purchase power must be authorised by the Secretary of State. I trust the noble Lord will be content not to press his amendments.
I turn to Amendment 318ZA, in the name of the noble Lord, Lord Roborough. I understand the desire for clarity on the opportunities for farmers and others to be involved in the delivery of conservation measures. As mentioned earlier, this model relies on close working with private partners and landowners, and we will publish guidance to support this. However, we are aware that local landowners know their land better than anybody else.
On Amendment 325ZA, tabled by the noble Lord, Lord Cromwell, I will be very brief. I reassure the noble Lord that this amendment is unnecessary because, where the land is available to Natural England at market value, it will already be able to pursue the compulsory purchase order as there is a long-standing requirement that compulsory purchase orders can be used only where reasonable efforts to negotiate the purchase of land by agreement have failed.
Finally, regarding the noble Lord’s questions around SFIs, to confirm, we are looking to launch a reformed scheme next year. As I know more details, I will keep the noble Lord in touch with that. With those explanations, I kindly ask noble Lords not to press their amendments.
Lord Roborough (Con)
Before the Minister sits down, would it be possible to share the guidance, or at least a draft of the guidance? I think it would help us to understand where we go to on Report.
Lord Lucas (Con)
My noble friend should know better than to say “Before the Minister sits down”—really.
When this project gets going and we start to see how Natural England is balancing its own activities against involvement with the private sector and farmers and others, how is Parliament going to be informed as to what is going on? How will information flow to us as to how Natural England is fulfilling its role? The Minister had some very fine words in her replies, but how can we butter some parsnips with them?
Baroness Hayman of Ullock (Lab)
Clearly, we want to make it work. As I have said, Defra will be monitoring it closely and reports will come out on it, and I am absolutely certain that I will get questions.
Lord Curry of Kirkharle (CB)
My Lords, I thank the Minister for her reply and I am partially reassured by the answer.
I am trying very hard not to remain slightly cynical about Natural England’s overarching role as the controlling body that will determine what happens on the ground with each development. There might be—forgive the phrase—oven-ready solutions in local areas which get delayed significantly by the decision-making process that will inevitably occur within a bureaucratic organisation such as Natural England. I ask the noble Minister to think about whether there might be a slicker, smarter way of achieving better environmental outcomes by local actors on the ground which could be included in the Bill. I beg leave to withdraw my amendment.
“(2A) Where an EDP includes conservation measures of the type mentioned in section 55(4) (network conservation measures), it must state how, in the opinion of Natural England, the measures comply with the requirement in section 55(4A) (network measure to make a greater contribution to improvement of conservation status of the feature than onsite measure).”Member's explanatory statement
This amendment would require that, where an EDP includes network conservation measures, it must state how Natural England considers that these meet the requirement in section 55(4A) (inserted by my amendment to clause 55 at page 92 line 12) that they are more effective than onsite measures.
Member's explanatory statement
This amendment is consequential on my amendment leaving out clause 58 and my amendment inserting a new clause before clause 88.
Member's explanatory statement
This amendment is consequential on my amendment to clause 76 inserting a new subsection (4).
“(A1) When Natural England decides to prepare an EDP, it must— (a) notify the Secretary of State of that decision, and (b) publish the notification given to the Secretary of State.”Member's explanatory statement
See the explanatory statement for my amendment leaving out clause 58.
Member's explanatory statement
This amendment would make changes to strengthen the overall improvement test, which the Secretary of State must consider before making an EDP.
Lord Cromwell (CB)
My Lords, I support Amendment 292, which requires that, where land has been acquired under compulsory purchase but is not then used for the purpose for which it was acquired, the Secretary of State should seek to return it to the landowner. Surely that is natural justice. However, it leaves open what happens to any compulsory purchase funds that have been paid to the landowner. To my mind, the funds should be returned if they wish to take back the land.
I draw the Committee’s attention to evidence from HS2, including coverage on the BBC—is there a debate we can have without reference to HS2? Land was compulsorily purchased, but when it was decided that the land was not needed, it was offered back to the farmer in question to buy at a far higher price, or the so-called market value, which is a fine example of profiteering on the back of compulsory purchase. I also remind the Committee of the concerns I evidenced on Monday about the bullying behaviour of agents acting for authorities with compulsory purchase powers. Despite what it says about it being a last resort in theory, when the agents are motivated to acquire the land as quickly and cheaply as possible, different tactics often apply.
Baroness Taylor of Stevenage (Lab)
My Lords, this group relates to the powers in Part 3 for Natural England to make a compulsory purchase for purposes connected with the taking of conservation measures. The Government have taken a cautious approach in respect of compulsory purchase powers, but it is clear that this needs to be available to ensure that there is sufficient certainty that, where necessary and appropriate, compulsory purchase can be used to ensure that conservation measures are delivered. However, the Government recognise the need for such powers to be tightly constrained, and I am confident that, when considered alongside existing safeguards, the proposed amendments are not necessary.
I turn first to the amendments tabled by the noble Lords, Lord Roborough and Lord Blencathra, which seek to require Natural England to return any land obtained under a compulsory purchase order in two different scenarios. The first is when Natural England uses these powers to purchase a piece of land and the Secretary of State later decides not to make the EDP in question. I can assure the noble Lords that this will never happen, as Natural England cannot make a compulsory purchase before the EDP has been made.
The second scenario is when an EDP is revoked. Where an EDP is revoked, any land secured through compulsory purchase may still be required to address the impact of development covered by the EDP, or to support the delivery of any remedial measures being taken forward following revocation. Requiring land to be returned automatically would risk removing a crucial way of delivering remedial measures and potentially damaging the relevant environmental feature.
Where land has been compulsorily purchased and is not needed, and it would genuinely be surplus, the Crichel Down rules would apply. The land would be offered back to the former owner, their successor or sitting tenants at market value, provided that the land has not materially changed and none of the exceptions under the rules applied. These rules are well-established, as we discussed in a debate the other day, so I hope the noble Lord is content to withdraw his amendment.
Moving to Amendment 323, tabled by the noble Lord, Lord Cameron, and the noble Earl, Lord Caithness, I assure the noble Lords that the subject of their amendment is already addressed in the Bill. CPO powers may be used only in connection with the taking of conservation measures, as defined in the legislation. Amendment 324 would restrict Natural England’s ability to use CPO powers to purchase land that is part of a private dwelling. I would first like to assure noble Lords that this type of land is incredibly unlikely to meet the high bar for compulsory purchase or to be approved by the Secretary of State. The use, or future use, of land will be taken into account by the Secretary of State when approving the CPO. This important safeguard ensures that the use of these powers comes with appropriate oversight, and noble Lords will be aware of existing protections around private dwellings granted by the Human Rights Act 1998. I think the noble Lord, Lord Roborough, mentioned that himself.
Finally, Amendment 352 would extend the compulsory purchase powers to Crown land. The CPO powers in the Bill are there to provide assurance that land can be acquired where necessary to ensure that an EDP can deliver the necessary conservation measures. Extending these powers to cover Crown land is unnecessary. To put it simply, if Natural England were to require Crown land for a conservation measure, that would be resolved between Natural England and the relevant authority. I hope that, with those explanations, the noble Lord will be content to withdraw his amendment.
Lord Roborough (Con)
My Lords, this short debate and previous debates covering other amendments relating to CPOs have been a clear demonstration of just how emotive compulsory purchase is. Handing these powers to Natural England almost unfettered is surely a step too far. I am grateful to the Minister for trying to reassure the Committee, but the comments about going back at market value are exactly the issue that the noble Lord, Lord Cromwell, highlighted: if that market value has changed dramatically between when the CPO happened and when it was decided to return it, that would seem rather unfair. A requirement to buy the land back at the same price would be fine.
Lord Blencathra (Con)
My Lords, I will speak briefly to Amendment 294, submitted by the noble Baroness, Lady Grender. I apologise that I was not in the Chamber this morning to participate: I had to attend my Select Committee, especially as it was on a subject that I demanded that we investigate. Way back last June, we fixed the meeting for this morning at my convenience, so I had to be there.
The amendment from the noble Baroness would prohibit the Secretary of State from having the power to amend an EDP in a way that would reduce the measures taken to mitigate the negative environmental impact of development. This amendment touches on important points of principle, including environmental conservation and the remit of the Minister’s power. I would be interested in hearing the Government’s response.
I will also address the government amendments in the name of the noble Baroness, Lady Taylor of Stevenage, which would require Natural England to consult on the EDP when certain amendments to it are proposed. The circumstances in which the consultation will be necessary are when the proposed amendment would increase the maximum amount of development covered by the EDP, include new places in the development area or add new types of conservation measures not currently included in the EDP. It seems an important principle that amendments which would change an EDP in this way are subject to consultation. I agree entirely. Such consultations should aim to allow for relevant expertise and the voices of a variety of stake- holders to be heard. I look forward to hearing the noble Minister’s response to the amendment from the noble Baroness, Lady Grender.
Baroness Hayman of Ullock (Lab)
My Lords, this grouping includes further amendments that the Government have tabled to address matters raised in advance of Committee. As part of this package, the Government’s Amendment 295B clarifies the consultation requirements when amending an EDP, where the intent had always been to ensure that consultation was taken forward where it was proportionate to do so. This will ensure that, where an EDP makes a significant amendment, measured by its meeting certain criteria, there will now always be a requirement to consult on that amendment, so that the public and expert stakeholders are able to contribute to and comment on the proposals.
Government Amendments 295C, 295D and 295E contain minor legislative fixes and a consequential amendment necessary for the correct operation of the legislation following the substantive government amendments. I hope that the Committee agrees to accept these amendments, and I commend them.
I turn briefly to the non-government amendment, Amendment 294, tabled by the noble Baroness, Lady Grender, which would make it impossible to amend an EDP when that amendment would in any way reduce or weaken the conservation measures it contains. While I absolutely appreciate the concerns that she has rightly raised, the amendment would substantially restrict Natural England’s flexibility to make crucial amendments to EDPs, which may include reducing both the amount of development and the conservation measures contained in an EDP. For example, we would want to ensure that, if an expected development was not actually going to come forward, an EDP could be amended to reflect this and reduce the scale of conservation measures, in line with the reduction of impact from the development.
I also note that all significant amendments will now need to be consulted on. All EDPs will continue to need to pass the overall improvement test following any amendment. I therefore hope that the noble Baroness agrees to withdraw her amendment.
Baroness Grender (LD)
I thank the Minister for her response. She will understand that we are attempting to prevent what happens over custom and time, which is always the weakening of something such as an EDP. We will examine her words carefully and meet with her between now and Report to make a bit of progress on this. Meanwhile, I beg leave to withdraw my amendment.
“(5A) A report under subsection (1)(a) (midpoint report) must also include an assessment of whether the EDP is likely to pass the overall improvement test.(5B) A report under subsection (1)(b) (final report) must also include—(a) an assessment of whether the EDP has passed the overall improvement test, and(b) if the assessment is that the EDP has not passed the test, the extent to which the conservation measures have failed to outweigh the negative effect of the EDP development as mentioned in section 60(4).(5C) A report under subsection (2) (revocation report) must also include—(a) an assessment of whether the EDP would be likely to pass the overall improvement test if it were not being revoked, but reading section 60 as if—(i) the reference in subsection (4) to the conservation measures were a reference to the conservation measures that have been or will be taken despite the EDP’s revocation (but not including any measures taken by way of remedial action under section (Remedial action by Secretary of State where EDP ends or is revoked)(4));(ii) the reference in subsection (5) to the maximum amount of development to which the EDP may apply were a reference to all of the development in respect of which a developer has paid or will pay the nature restoration levy despite the EDP’s revocation;(b) if the assessment is that the EDP would be unlikely to pass the test, the extent to which those conservation measures are likely to fail to outweigh the negative effect of that development.”Member's explanatory statement
This amendment would require Natural England to include more detail in its reports about the effect of any conservation measures that have been implemented.
“(2A) Where Natural England requests, or the Secretary of State is minded to make, an amendment to an EDP that—(a) increases the maximum amount of development to which the EDP may apply, as specified under section 54(5),(b) changes the development area to include a new area to which the EDP does not currently apply, or(c) adds new conservation measures that are of a kind not currently included in the EDP,the Secretary of State must direct Natural England to consult on the EDP as proposed to be amended.”Member's explanatory statement
This amendment would require Natural England to consult when an amendment is proposed to an EDP which would increase the maximum amount of development covered by the EDP, include new places in the development area or add new types of conservation measures.
Member's explanatory statement
This amendment is consequential on my amendment inserting a new clause after clause 64.
“Remedial action by Secretary of State where EDP ends or is revoked(1) This section applies where a report under section 62(1)(b) or (2) (report at end or on revocation of EDP) contains an assessment that the EDP has not passed, or would be unlikely to pass, the overall improvement test (see section 62(5B) and (5C)).(2) The Secretary of State must take such action (“remedial action”) as the Secretary of State considers proportionate for the purpose of seeking to materially outweigh the negative effect on the conservation status of the identified environmental feature that is (or is likely to be) caused by the environmental impact (as identified in the EDP in accordance with section 55(1)(b)) of any development in respect of which a developer has paid or will pay the nature restoration levy.(3) In deciding whether remedial action is proportionate, the Secretary of State must take into account—(a) the extent of the negative effect on the conservation status of the identified environmental feature,(b) the extent to which the remedial action would remedy that negative effect, and(c) the cost of the remedial action.(4) Remedial action may include—(a) taking (or continuing to take) any conservation measures included in the EDP, or directing another public authority to take (or continue to take) such measures;(b) taking, or directing another public authority to take, any other measures to improve the conservation status of the identified environmental feature.(5) The Secretary of State must, before the end of the period of six months beginning with the date on which the report mentioned in subsection (1) is published, publish a statement setting out—(a) the remedial action that the Secretary of State intends to take, and(b) the effect that the remedial action is expected to have on the identified environmental feature.(6) The Secretary of State must, before the end of the period of two years beginning with the date on which the statement mentioned in subsection (5) is published, publish a report setting out—(a) the extent to which the remedial action has remedied the negative effect mentioned in subsection (2), and(b) whether the remedial action has had its expected effect, as set out in the statement under subsection (5)(b).(7) If any measures taken by way of remedial action have not been fully implemented by the time the report mentioned in subsection (6) is published—(a) that report must set out when the measures are expected to be fully implemented, and(b) the Secretary of State must publish a further report, containing the information required under subsection (6)(a) and (b), before the end of the period of six months beginning with the day on which the measures are fully implemented.”Member's explanatory statement
This amendment would require the Secretary of State to take remedial action in any case where an EDP ends (not only in cases of revocation) and its conservation measures have been assessed not to have been effective. It would also require the Secretary of State to publish a statement of the remedial action that will be taken and to report on it when it has been taken.
Baroness Coffey (Con)
My Lords, my noble friends Lord Grayling and Lord Randall of Uxbridge cannot be here, but their Amendment 305, to which my noble friend on the Front Bench has also added his name, is really important in trying to make sure—going back to the environmental principles and government policy—that developers should be rewarded for doing the right thing up front, instead of just being prepared to sign a cheque. It is certainly not a blank cheque, but it could be a very big cheque. That should be offset, recognising the work done by developers as they develop their housing and other projects.
I am sure that my noble friend on the Front Bench will go into more detail, but in essence, we risk entering a regime where mandatory levies are applied, and it is not even necessarily guaranteed that planning consent will be given. Meanwhile, instead of outsourcing, in effect, a lot of the work that would happen as a consequence of an EDP, we want developers to make sure that they design in the integration principle, which the Government have in their policies. It is a transfer of that into thinking how we build right first time, instead of constantly thinking about how to retrofit or do other elements, which, frankly, may not be as well done considering the original design.
Baroness Taylor of Stevenage (Lab)
My Lords, this group of amendments relates to the payment and collection of the nature restoration levy. First, Amendments 299 and 308, tabled by the noble Lords, Lord Roborough and Lord Blencathra, seek to reframe the powers to make levy regulations. In designing these powers, the Government have been careful to ensure they cover everything required to support the levy. These powers are drawn from existing powers in the Planning Act 2008 to make community infrastructure levy regulations, to which the noble Lords, Lord Roborough and Lord Lansley, referred. These provide for all relevant circumstances. As such, we believe the powers as drafted are appropriate and sufficient to cover the matters the noble Lords set out in their amendments. In addition, Clause 69(1) already requires Natural England to base the schedule on the expected costs of conservation measures when considering how much to charge developers.
On Amendment 304, tabled by the noble Earl, Lord Russell, while the only test the EDP needs to pass is the overall improvement test, ensuring the viability of development is a crucial consideration for any EDP. Put simply, if using an EDP would make development unviable, then developers will simply choose not to use the EDP.
Amendment 305, tabled by the noble Lord, Lord Grayling, and spoken to by the noble Baroness, Lady Coffey, seeks to add a duty on Natural England to offer discounts to developers paying into an EDP if they incorporate measures to enhance biodiversity on their sites. This approach risks conflating the existing BNG requirements with the discharge of environmental obligations through an EDP. However, we will look to ensure a smooth, user-friendly experience for developers, including the SME builders that we have been talking about so much during the debates.
Lord Lansley (Con)
I am grateful to the Minister. I note that, in Clause 69, there is a provision that the regulations may require or permit Natural England to integrate the process—that is the levy process—
“to the extent and in the manner specified by the regulations, with processes undertaken for other statutory purposes”.
Are we in that territory? Are we in the territory where a community infrastructure levy, environmental delivery plan levy or the nature restoration levy could be part of the same process?
Baroness Taylor of Stevenage (Lab)
I am not sure they would be the same process, but I think that refers to the fact that some of the same processes—for example, the appeal process—might be similar to the process being used for the levy for the EDP. That is what that reference is to, but if it is any different to that or more complex, because the way that the noble Lord described it would be a much more complex integration of both processes, I will confirm to him.
The noble Lord also referred to the viability assessment and the way that developers do this. In my quite lengthy experience of planning, I have found that developers are pretty masterful in developing their viability assessments. In the early days of this, they will want to look at how EDPs and the charging regimes around them are being framed. Most developers are quite competent at working up a viability assessment to take into account some of the new things that come along. The guidance point is an important one. We will always aim to assist those who are involved in this process with guidance, so I would anticipate that there will be guidance forthcoming. With this explanation, I hope that noble Lords will be content not to press their amendments.
Finally, Amendment 306A, tabled by the noble Lord, Lord Roborough, seeks to allow the nature restoration levy regulations to impose the liability to pay into the nature restoration fund where the impact of the development cannot be fully dealt with through the mitigation hierarchy. The levy regulations will already allow for differential rates to be charged based on the varying impact of development. It follows that development that is having a greater impact on the environmental feature will be charged a higher levy rate. Where a developer chooses to use the existing system, they would need to address the impact of development through that approach. However, should a developer subsequently decide that they wish to use an EDP, they could still make a commitment to pay the levy prior to the planning application being determined. As such, the legislation can already accommodate the circumstances envisaged by the amendment, so I hope that the noble Lord will not press his amendment.
Lord Lansley (Con)
Before my noble friend replies, can I just ask the Minister if—perhaps not now, but at some point before Report—she could just go back to the question on Clause 66 regarding the circumstances in which an EDP makes the levy mandatory and explain what kind of circumstances are anticipated?
Baroness Taylor of Stevenage (Lab)
I apologise to the noble Lord. I did not answer his question, which was quite clear. I think the issue of mandatory EDPs was put in as a precaution, but he is right—it would be useful to have some examples of where that might be necessary. We will come back to that between Committee and Report, so that we are all clear on the kinds of circumstances where a mandatory EDP may be put in place. It is important that we all understand that.
Lord Roborough (Con)
My Lords, I thank all noble Lords for their thoughtful contributions to this short debate, and I thank the Minister for her response. I am particularly grateful to my noble friend Lord Lansley for his comments clarifying my question about financial viability. I remain not completely clear. The letter this morning was helpful, but it would be helpful if, when the Minister responds to the questions raised in this debate, she could say whether the actual cost of contributing to the NRL will be available prior to Section 106 being available. The Minister has much greater experience than I do on how developers act in these ways, but it would be reassuring to know that there is no excuse for reopening affordable housing contributions in Section 106 based on unexpected costs of the NRL.
I thought the Minister’s response about the proportionate nature of the application of the nature restoration levy very helpful, and I will go away and read her comments. I beg leave to withdraw my amendment.
“(c) monitoring EDPs.”Member's explanatory statement
This amendment would move the requirement on Natural England to monitor EDPs (currently in clause 57(7)) into clause 76.
Baroness Hayman of Ullock (Lab)
My Lords, I thank the noble Earl, Lord Caithness, for his Amendments 319 and 320, which seek to amend Clause 73. These amendments specifically seek to ensure that those paid by Natural England to deliver conservation measures have the right level of expertise.
I understand that it is of course important that appropriate expertise and an appropriate person are deployed in the delivery of conservation measures. The Bill contains measures to ensure that the conservation measures within an environmental delivery plan deliver the necessary environmental improvements, with further safeguards included in the amendments that the Government have proposed.
Without the necessary expertise to deliver conservation measures, Natural England simply cannot comply with the requirements set out in the Bill when procuring conservation measures from third parties. The overall improvement test, as amended, will ensure that, when making an environmental delivery plan, the Secretary of State has confidence that the effect of the conservation measures will materially outweigh the negative effects of development. That includes confidence in the delivery of the conservation measures. Natural England will need to demonstrate that high integrity and standards will be applied in the procurement of any conservation measures and services.
As noble Lords are aware, we have introduced a requirement for Natural England to take sufficient measures to monitor the effectiveness of conservation measures and the effects of EDPs in general. That will ensure that any non-performance is addressed.
Finally, the Secretary of State will issue guidance as needed to ensure that conservation measures are designed and delivered using the appropriate expertise. The noble Lord, Lord Cromwell, asked a lot of detailed questions about how the levy will operate. If he will bear with me, I will write to him on those issues.
Amendment 320, tabled by the noble Earl, Lord Caithness, seeks to ask for “or body” to be put in after “person”. However, I can confirm that the meaning of another person in this context includes already bodies. That is the default position under the Interpretation Act 1978. I hope that reassures the noble Earl. The Bill already delivers the spirit of the noble Earl’s amendments, so I kindly ask him not to press them.
The Earl of Caithness (Con)
My Lords, I am grateful to the Minister. Can she confirm that Clause 76(3) refers only to EDPs?
The Earl of Caithness (Con)
My Lords, I am grateful. This has been very helpful. I beg leave to withdraw the amendment.
“(4) In monitoring an EDP, Natural England must take sufficient measures to monitor—(a) the effectiveness of the conservation measures that have been implemented, and(b) the effects of the EDP in general.(5) In deciding how to monitor an EDP, Natural England must have regard to guidance issued by the Secretary of State.”Member's explanatory statement
This amendment would provide more detail about exactly how Natural England must monitor its EDPs. It would also move the provision about guidance from clause 57 into clause 76.
Lord Blencathra (Con)
My Lords, I thank my noble friend Lord Caithness, and the noble Lord, Lord Cameron of Dillington, for their excellent amendments—excellent because I was a co-signatory. These amendments seek to ensure consistency in treatment between statutory undertakers and private individual land managers as regards the powers of entry to be exercised by Natural England.
Frankly, this was an unwelcome addition to the Bill in the other place, giving Natural England even greater powers than already envisaged. I have referred before, or my noble friend has, to Natural England being turned into an authoritarian empire. This is part of what I was referring to. These amendments would require that at least 21 days’ notice be given to both sets of parties by Natural England to enter and survey or investigate any land covered by this part of the Bill. This appears to be the least amount of respect that private landowners should be entitled to. There are major issues around biosecurity—the risk that entrants to land carry on animal disease or predatory species. Given Natural England’s activities across the country, there is a considerable and real risk involved in their entry.
Farms may also have livestock that pose some risk to visitors and need to be kept away from roads and public rights of way, but for the behaviour of which they remain liable. Giving the additional time would allow landowners and Natural England to consider the risks around the entry and sensible precautions that can be taken and warnings given.
We in the Conservative Party have always strongly believed in both equal treatment before the law and the importance of public and private land ownership. These are principles we will always continue to support and are rights that we believe all should have access to. I therefore welcome Amendments 321 and 322, and I am grateful for the opportunity to discuss them in further detail.
I hope that those who drafted this law did not take the view—we have no evidence that they did—that, “The public sector is good and can be trusted but private ownership is bad and cannot be trusted, so let us go in and speak to them straightaway”. As an aside, I say to my noble friend Lord Caithness that if inspectors arrived at the farm of the noble Baroness, Lady Hayman of Ullock, and wanted to see it immediately, if it meant she could no longer travel on a ghastly Avanti train with me I can understand why she would happily ask them to come in straightaway.
However, I trust that the Government will take these amendments seriously and I agree with the underlying principles. I await the Government’s response to them with anticipation.
Baroness Taylor of Stevenage (Lab)
My Lords, I do not want to disturb the travelling arrangements of noble Lords who live in Cumbria. Amendments 321 and 322, tabled by the noble Lord, Lord Cameron, and ably moved by the noble Earl, Lord Caithness, would extend the written notice period required before Natural England could demand admission to land. This is currently set at 21 days for statutory undertakers and at least 24 hours in other cases.
Although we agree it is important that adequate notice is provided, the provisions in the Bill are consistent with powers of entry in similar legislation. In aligning with other legislation, we are reducing the risk of confusion for landowners but also recognising the justified difference in treatment regarding statutory undertakers, such as utility companies, whose activities may be vital for public services and so may require additional preparation to protect public safety and to prevent disruption.
However, noble Lords have made some very good points and we will consider this further. It is also worth highlighting the additional safeguards in the Bill, such as ensuring that these powers cannot be used to gain access to private residences—I believe it says “residences” not “dwellings”, so I hope that covers the point about gardens that the noble Earl made. These safeguards further ensure that the powers cannot be used in any other manner other than for carrying out functions under this part of the Bill.
The noble Earl made a very good point about a second or subsequent visit. We do need to consider that further. He also raised the point about notice in writing. He is right to point to the fact that this could be an actual letter—a physical letter—or it could be an email; it could probably not be social media, because that would not be an appropriate way of communicating directly with the person concerned.
With that, and a commitment to discuss this further, I hope that, on behalf of the noble Lord, Lord Cameron, the noble Earl, Lord Caithness, will agree to withdraw the amendment.
The Earl of Caithness (Con)
My Lords, I think that is the most positive reply we have had from the Government in 48, 58, 68 hours. I am extremely grateful to the Minister for that. I feel she understands the point that my noble friend Lord Blencathra and I are after: fairness. I was involved as a surveyor in giving notices to people, and there are circumstances when 24 hours is required, but this is not emergency legislation. There should be no need for Natural England, if it is doing its job properly, not to be able to give a decent length of notice and treat people in a civilised manner. I am very grateful to her and look forward to hearing from her shortly. I beg leave to withdraw the amendment.
Member's explanatory statement
This amendment is consequential on my amendment inserting a new clause after clause 64.
Member's explanatory statement
This amendment is consequential on my amendment inserting a new clause after clause 64.
Member's explanatory statement
This amendment would remove the need for an annual report on EDPs to include an assessment of the effectiveness of all EDPs in force, which is considered no longer necessary in view of the changes made by my amendment to clause 62.
Lord Blencathra (Con)
My Lords, several of the amendments put forward by my noble friend Lord Caithness seek to ensure that those to whom the Secretary of State may delegate power are more precisely clarified. I support my noble friend’s efforts to ensure that the legislation is as clearly drafted as possible, so that it may be enacted in the way that both Houses intend. Furthermore, under this Bill, Natural England is being conferred a variety of different powers. It is therefore important that those delegated these powers, whether individuals or bodies, are appropriate. As a result, I am supportive of my noble friend’s amendments, and I am sure the Government will provide them with the necessary attention they deserve.
Amendment 343, also proposed by my noble friend, calls for the establishment of an independent body to oversee Natural England’s powers and duties. I support the principles behind such an amendment as transparency and accountability are essential requirements for effective government. I am therefore supportive of some of the ideas included in the amendment, such as requests for information, transparent reporting and independent monitoring. I hope the Government take this amendment seriously as well.
I also thank the noble Lord, Lord Cameron of Dillington, for his Amendment 328. It is a probing amendment to ascertain which people the Government envisage taking on the responsibilities of Natural England under this part, and whether they include the farmers and occupiers affected by the EDP. I am sure that the whole Committee will welcome clarification of this question, as we have addressed it in prior groups.
Baroness Hayman of Ullock (Lab)
The noble Earl has tabled a number of amendments that seek to amend Clauses 86 and 87. I will consider these together, as they relate to the role of Natural England and who can undertake the role of developing and implementing an EDP.
First, Amendments 326, 328, 329 and 331 seek to ensure that only appropriate persons can be designated in this role and also seek to amend or clarify who can perform this role. Noble Lords are aware that Natural England is named in the Bill as the body responsible for the preparation and implementation of environmental delivery plans. However, there may be instances where it is appropriate for another body to take on some or all of Natural England’s role. There might be a scenario where it would make sense for a different public body to do this role. In the debate on Monday, I explained, for example, that the Marine Management Organisation might take on the role for an EDP that applied to coastal waters.
Clauses 86 and 87 provide for the Secretary of State to make the necessary changes to allow another body to exercise the same functions as Natural England. Any changes by regulations made by the affirmative procedure would receive the proper scrutiny of Parliament, which would ensure that only an appropriate body could be named. The Bill has been drafted to allow this partnership approach, which includes consulting relevant local expertise—farmers and land managers, for example. We expect that farmers and land managers will be able to benefit from new opportunities to provide conservation measures and so diversify their own revenue streams.
Amendments 343 and 361 would establish an additional independent body to monitor the success of EDPs in achieving the overall improvement test. Establishing an additional body would, however, increase the burden on and cost of administration of the nature restoration fund. The fund is to be implemented on a cost-recovery basis, and this additional administration would increase developer costs through higher levy rates and divert money away from environmental delivery. However, we agree with the noble Earl that oversight is important. The Secretary of State already has oversight of the nature restoration fund, which includes final approval of all environmental delivery plans following public consultation, and the ability to amend or revoke an environmental delivery plan if it is not delivering as expected. In addition, the Office for Environmental Protection may also scrutinise and report on all matters relating to the implementation of environmental law.
On Amendments 327, 330 and 332, as I set out earlier, the meaning of “another person” includes bodies already in line with the default position under the Interpretation Act 1978. As we set out in the debate on Monday, we would only ever expect to designate a public body to fulfil the role currently fulfilled by Natural England in the Bill.
I hope I have done enough to reassure noble Lords about the safeguards that ensure the benefits for development and nature, with Natural England fulfilling the role of preparing and implementing EDPs, alongside our intentions as to who else can perform this role or otherwise participate in the delivery of EDPs. I therefore kindly ask the noble Earl to consider withdrawing his amendment.
Baroness Hayman of Ullock (Lab)
My Lords, I thank noble Lords for their contributions to this debate. I will talk first to Amendment 335, which was moved by the noble Baroness, Lady Coffey. It would require developers to establish a biodiversity baseline before development begins. Through biodiversity net gain, developers are already required to provide a site baseline, using the statutory biodiversity metric, as part of their planning application for Town and Country Planning Act developments. The biggest developers are also going to be required to do so from May next year, when it is extended to nationally significant infrastructure projects.
On Amendment 336, the Government agree that it is important that the use of offsite biodiversity gains by developers is justified. As part of the statutory biodiversity net gain framework, decision-makers need to take account of the biodiversity gain hierarchy, which prioritises, first, the onsite delivery of net gains. Again, this is distinct from the NRF, but we are not convinced that there needs to be a further duty on the decision-maker to prepare a statement justifying each offsite gain. The biodiversity net gain framework already requires a developer to provide information about why the use of offsite gains is required as part of the approval of the statutory BNG plan. It would be disproportionate to require decision-makers to prepare a further statement justifying the use and would add additional burdens on local planning authorities, especially for their ecologists, for little further benefit.
Turning to Amendment 339, which I thank the noble Baroness, Lady Grender, for tabling, I will say that the National Planning Policy Framework is clear that decision-makers should contribute to and enhance the environment by protecting and enhancing valued landscapes and sites of biodiversity value. Local plans are required to identify, map and safeguard components of local wildlife-rich habitats and wider ecological networks, including the hierarchy of international, national and locally designated sites of importance and areas identified by national and local partnerships for habitat management, enhancement, restoration or creation. Furthermore, the Environment Act 2021 introduced local nature recovery strategies, which are now being rolled out across the country.
These spatial strategies for environmental improvement are developed in partnership with local stakeholders and enable strategic authorities to agree a set of priorities for nature recovery. They also map out the most valuable existing areas for nature, which are often underpinned by other protections in the planning system, and areas which could become of particular importance for biodiversity. Strategic and local planning authorities will need to take local nature recovery strategies into account when planning for development under legal provisions in the Levelling-up and Regeneration Act and the Planning and Infrastructure Bill. Where it is appropriate for large areas of habitat to be conserved or enhanced, local nature recovery strategies provide a mechanism to do so.
Local nature recovery strategies allow local areas to determine the best opportunities to take action for nature restoration, while also planning for any development needed in the area. In February, we published guidance setting out the role of the local nature recovery strategies in the planning system, and we are exploring how we can best reflect them in policy through our wider work.
The application of planning policy through up-to-date strategic development strategies and local plans, which consider local nature recovery strategies, will ensure that local people are equipped to make decisions about where habitat enhancement and creation can drive the best environmental outcomes. Therefore, while I understand the intent behind this amendment and agree that promoting nature restoration at scale is an important objective, the legislative framework to enable this is already in place.
On Amendment 341, we recognise that ponds can deliver important biodiversity benefits, and we want to encourage them in the right locations. We also recognise the benefits of ponds for farmers, providing valuable sources of irrigation during dry periods. The noble Earl, Lord Caithness, mentioned the recent flooding; of course, things such as balancing ponds can be really helpful.
Permitted development rights are a well-established part of the planning system. For example, under an agricultural permitted development right, farmers can create ponds and on-farm reservoirs, subject to certain limitations and conditions, to manage and control impacts. Meanwhile, home owners can create new ponds in their gardens under householder permitted development rights.
Changes to permitted development rights are brought forward through secondary legislation as amendments to the general permitted development order. A public consultation would ensure that the views of the public, including those who would benefit from the rights created, are taken into account. It would also allow for consideration of any potential impacts of the proposal and how these might be mitigated.
The amendment seeks to provide a national planning permission for ponds across the whole of England, regardless of whether one would be appropriate in a particular location, such as on land used for public recreation or in an area where it could increase flood risks. To ensure that ponds are properly located, there are circumstances in which a planning application is appropriate. On that basis, we cannot support the amendment. However, I assure noble Lords that we will continue to keep permitted development rights under review.
Turning to Amendment 346, tabled by the noble Baroness, Lady Bennett, while obviously I understand the ambition to improve information on the state of contaminated land in England, I also believe that the policy intent of her proposals is largely met by existing legislation and statutory guidance.
Part IIA of the Environmental Protection Act 1990 provides a framework for identifying contaminated land in England and allocating responsibility for its remediation. It provides a legal definition of contaminated land and lays out the responsibilities of local authorities and the Environment Agency for dealing with contaminated land. These responsibilities include local authorities inspecting their area to identify where land may be contaminated, and maintaining a public register of land that has been identified as contaminated land. Local authorities and the Environment Agency are also required to ensure that “appropriate persons” remediate these sites.
Additionally, there is a statutory obligation for local authorities to report to the Government on the state of contaminated land in their area when asked to. Defra commissioned the Environment Agency in November 2024 to complete a state of contaminated land survey, and a subsequent report, and we will soon release the survey to local authorities. Regarding the noble Baroness’s question about Zane, I just want to clarify that the previous Secretary of State, Steve Reed, did meet Zane’s family, and it was following that meeting that the state of contaminated land survey was commissioned. We are looking to release it to local authorities to respond to very soon—this month—and we are aiming to publish the final report in spring next year.
Given that the existing frameworks are already embedded into legislation and guidance, Amendment 346 would cause unnecessary duplication and distraction for local authorities. Therefore, while obviously I completely appreciate the noble Baroness’s concerns, I would ask her not to press her amendment, and I will check the other questions she asked and get back to her in writing.
Amendment 345, introduced by the noble Baroness, Lady Grender, wishes to create the new category of “heritage trees” and give them further protection. The National Planning Policy Framework recognises the benefits from natural capital and ecosystem services, which trees and woodlands provide. We are clear that opportunities should be taken to incorporate trees into new developments, and that existing trees should be retained whenever possible. Moreover, development that results in the loss or deterioration of ancient woodlands or ancient or veteran trees should be refused unless there are wholly exceptional reasons, and a suitable compensation strategy exists.
Aside from these protections at national level, there are tree preservation orders, a key method of protecting trees and woodlands in England; and authorities are already expected to take into account the historic, cultural and ecological value of a tree. Local planning authorities are also required to notify relevant parties when the order is made so that they can encourage good tree management, particularly when determining planning applications. Local officers have powers to enforce protections, and an order makes it a criminal offence to cut down, prune, uproot, or wilfully damage or destroy a tree without the local authority’s written permission. Regarding the Sycamore Gap, the people who cut that down have actually gone to prison.
We are concerned that the creation of a new category of heritage trees could cause confusion and add to burdens on both Natural England and local authorities without the commensurate benefits. My noble friend asked about the Tree Council report, and I can say that Defra is working on a tree strategy, which I am sure she will take great interest in when she sees it.
Amendment 346A seeks to place an additional nature duty on forestry authorities when exercising their functions in planning, development and infrastructure on protected landscapes. We share the aims of the amendment and agree that public bodies should fully contribute to nature conservation and biodiversity recovery.
However, the objectives of the amendment are already embedded in the statutory and policy framework that forestry authorities operate within. Where renewable electricity development on the public forest estate is consented through the development consent order process for NSIPs, the national policy statements will apply, and the Overarching National Policy Statement for Energy stipulates:
“In considering any proposed development … the Secretary of State should take into account … its potential adverse impacts, including on the environment, and including any long-term and cumulative adverse impacts … at national, regional and local levels”.
Furthermore, forestry authorities already have relevant and bespoke duties applicable to all land, and this balancing duty is a statutory obligation laid out in the Forestry Act 1967, requiring them to balance their forestry-specific duties with the conservation and enhancement of natural beauty. Although I welcome the spirit of the amendment, I do not believe it is necessary to introduce this new statutory nature duty, as outlined in it.
Amendment 346DC, tabled by the noble Lord, Lord Lucas, seeks to remove potential obstacles which may arise from Sections 1 or 3 of the Wildlife and Countryside Act. We recognise the desire to clarify the position of development when it comes to exceptions from these obligations and offences towards wild birds. However, where impacts are unavoidable, development activity can already be exempted as lawful action in the existing list of exemptions under Section 4 of the Act. We will, however, carefully consider how to better manage the interactions between protected species and development both through the NRF and as part of our wider efforts to improve the regulatory landscape.
Having said all that, I hope that the noble Baroness will feel able to withdraw her amendment.
Baroness Coffey (Con)
My Lords, we have had another one of those odds and sods groups, with the desire to perhaps insert or add permitted development rights. I am sure that the Minister will recognise my disappointment about what she said about ponds. She will be aware that this is the only opportunity for Peers who are not Ministers to try to get some secondary regulations through and enacted. I am conscious that there was sufficient encouragement for many others in the aims of trying to improve nature, which is what many of the amendments were about. With that, I beg leave to withdraw Amendment 335.
Baroness Taylor of Stevenage (Lab)
My Lords, I thank the noble Baroness, Lady McIntosh, for tabling these amendments and for her thorough introduction. I meant the other day to ask the noble Baroness, Lady Bennett, to take our very good wishes for a speedy recovery to the noble Baroness, Lady Jones, who I hope is recovering quickly. I am sorry that I did not do that before.
Effective implementation of SUDS, including adoption and maintenance, can reduce the impact of new developments on sewers by adding up to 87%, creating headroom for additional developments where they may not be possible with only conventional drainage. I have previously shared with the noble Baroness, Lady McIntosh, some of the outstanding schemes that I have seen in Sussex and with the noble Lord, Lord Lansley, in Cambridge. The responsible developers make provision for the ongoing maintenance of these schemes. We need to see sustainable drainage in more developments, to designs that cope with changing climatic conditions, deliver wider water infrastructure benefits and help to tackle our water pollution problems. We have already taken steps to improve the delivery of SUDS through the planning system. The update to the NPPF, published on 12 December, expanded the requirement to provide SUDS to all development with drainage implications. I restate that, although the NPPF is not a statutory document in itself, it is part of the statutory planning system.
Sewerage undertakers have the ability to refuse a connection where it appears to them that it would prejudice their network or not meet their reasonable standards. There is no automatic right to connect to a sewerage system. The Independent Water Commission, chaired by Sir Jon Cunliffe, is reviewing the water sector regulatory system in England and Wales. The UK and Welsh Governments will consider the report, including whether it has implications for the right to connect. That report should be factored in before considering any potential legislative changes to Section 106. Regardless, the Government are strongly committed to requiring standardised sustainable drainage systems, or SUDS, in new developments and are considering how best to implement our ambitions.
The Government published updated non-statutory national standards for SUDS in June 2025, which were welcomed by stakeholders as a positive step. We intend to consult on the national planning policy related to decision-making later this year, including policies on flood risk and SUDS. I will take back the noble Baroness’s point about run-off, because it would be useful to consider that at the same time. Also this year, we will consult on ending freehold estates, which will include options to reduce the prevalence of private management arrangements for community assets including SUDS. For this reason, I hope that the noble Baroness will withdraw her amendment.
Baroness McIntosh of Pickering (Con)
I am grateful to all who have spoken and those who have supported the amendment: the noble Baroness, Lady Young, who echoed my concerns about why the original legislation was not implemented; the noble Baroness, Lady Bennett, for reminding the House about the “slow the flow” scheme, particularly the Pickering pilot scheme that I was closely associated with; and my noble friend Lady Coffey for pointing out the reason for the blockage and delay. It is like, “We are going to do it, but just not yet”. There is a degree of urgency and let us bear in mind that, as my noble friend Lord Blencathra on the Front Bench pointed out, if your house was built on a flood plain since 2009, you cannot be insured, or the only insurance that you can get is probably so cripplingly expensive that you cannot afford it.
For a host of reasons, I believe that the time is now. I was told during the passage of the levelling-up Act that we would have to wait for a different opportunity. The time is now, so I will revert to this at a future stage of the Bill. For the moment, I beg leave to withdraw the amendment.
Lord Roborough (Con)
My Lords, these amendments address the critical interface between planning law and the protection of our sensitive natural environments governed under the habitat regulations.
Amendment 350, which I have signed—I should really have signed Amendment 349 too, which I also support—proposes a new Part 1A to the habitats regulations, placing scientific evidence at the centre of decision-making. That principle is vital. All too often, planning decisions are mired in ambiguity and subjectivity, which, in turn, creates delay and a window for opportunistic challenge. These amendments would create a framework that distinguishes between material and de minimis effects, gives due weight to credible science and offers clarity for both developers and conservation bodies. That said, we must take care that the new language, particularly around decisions not requiring absolute certainty, does not inadvertently weaken precautionary safeguards. It is a fine balance and one we will want to explore further.
I imagine that I am fortunate not to have read the article in the Telegraph today, so I am completely comfortable with the amendments. The only thing from the introduction of the noble Lord, Lord Hunt of Kings Heath, with which I did not entirely agree is the idea that nature has to suffer. A lot of the debate we are having around the Bill is about how to make sure that nature suffers as little as possible and how to mitigate that in the hierarchy. I believe that these amendments can be part of that.
That goes to the broader debate that we on these Benches have been having throughout the discussions on the Bill about why we have Part 3 at all. When we started debating the groups on Part 3, we offered a number of amendments to deal with nutrient neutrality, two of which, taken together, would have released 160,000 houses immediately after the Bill commenced. I am still not clear how EDPs will release those houses from the blocking guidance from Natural England.
The noble Baroness, Lady Young of Old Scone, has tabled a number of amendments that would significantly restrict the extent of EDPs, which I also support. In all the amendments I have mentioned and which the noble Lord, Lord Hunt of Kings Heath, has brought forward today, there are solutions which, frankly, would be far better than Part 3 for speeding up development, increasing certainty and reducing costs. I therefore support these amendments.
Baroness Hayman of Ullock (Lab)
My Lords, government Amendment 349A in this group makes a minor legislative fix, inserting the correct definition of the Ramsar site series into the habitats regulations.
I turn to the non-government amendments and the debate we have just been listening to. The noble Lord, Lord Ravensdale, and my noble friend Lord Hunt of Kings Heath have tabled a number of amendments concerning the operation of the habitats regulations. I wish to add some detail to comments I made in Monday’s debate in response to amendments seeking to limit the disapplication of the habitats regulations to the specific features and impacts identified in the environmental delivery plan. This is an important point which is relevant for today’s debate.
As I said on Monday, the disapplication in Schedule 4 already applies only to the specific impacts of the development identified in the EDP. I want to set out how this could work in practice. If a development proposal comes forward that has three different impacts on protected features—for example, nutrient pollution, recreational disturbance on ground-nesting birds and an impact on dormice—there might be two EDPs covering the area where that development is located, each addressing strategically the impacts of development on one of those environmental features. In this scenario, the developer may choose to discharge its obligations in relation to the two environmental impacts covered by those EDPs through payment of the relevant levy for each. The remaining impact would continue to be assessed in the usual way, either through the habitats regulations assessment or by applying for a species licence. With the other two impacts being addressed through the EDPs, the remaining assessment would be more focused and streamlined.
I want to be clear that it would remain necessary to consider any effects not covered by an EDP. This is by design. EDPs are intended to be modular, with each one addressing a specific impact or impacts. They are not intended to be a comprehensive way of addressing all the possible environmental impacts of developments. I hope that helps to clarify.
I come to the specific amendments that we have been debating. I know that noble Lords have been concerned that EDPs might not deliver for infrastructure, so they have proposed these amendments to improve the operation of the existing system. Our focus in bringing forward the measures in this Bill has been on ways to practically improve the planning process. Case-by-case negotiations of mitigation and compensation measures often slow down the delivery of much- needed housing and infrastructure, as the noble Lord, Lord Ravensdale, explained in his introduction. The nature restoration fund will allow developers to benefit from a streamlined process and simple user experience, while delivering better outcomes for nature. The Bill is also clear that EDPs can be brought forward to support nationally significant infrastructure projects.
The Government already plan to address, through improved guidance, many of the points made in the amendments and by noble Lords. Although I note the desire for an open conversation about wider reforms to the habitats regulations, noble Lords will recognise that amendments of the type proposed go far beyond the NRF and would benefit from proper scrutiny and consideration. Although many in the Committee may favour the spirit of some of these amendments, legislating in this manner at this late stage of the Bill would risk a period of significant uncertainty for practitioners and a potentially negative impact on development that we would all wish to avoid.
I turn to Amendment 346DA. I thank the noble Lord, Lord Ravensdale, for raising the important issue of energy security. I wish to clarify that, through the overarching energy national policy statement, nationally significant low-carbon infrastructure is recognised as critical national priority infrastructure. In relation to such projects, the Secretary of State will start with a presumption in favour of granting consent. It is recognised that it is likely that the needs case for this infrastructure will outweigh the residual effects in all but the most exceptional cases, and we are already seeing positive impacts of CNP infrastructure. The current overarching national policy statement for energy also confirms that, where there are no alternative deliverable solutions to mitigating the impact of the NSIP on sites subject to habitats regulations assessments, then compensatory measures are still required.
Delivery of compensatory measures is an important part of protecting our network of protected sites, where damage to a site is unavoidable and where there is an overriding public interest. For offshore wind, as the noble Lord, Lord Ravensdale, explained, there are particular issues around the identification of suitable compensation, and the marine recovery fund will provide an optional mechanism which developers can pay into to discharge their environmental compensation obligations. In addition, for offshore wind, Defra recently consulted on changes to the environmental compensation requirements and intends to introduce a statutory instrument to deliver these changes. Where an environmental delivery plan is in place under the nature restoration fund, this will enable developers to fund strategic, Government-led conservation measures.
Amendments 349 and 350, tabled by my noble friend Lord Hunt of Kings Heath, and Amendment 349B, tabled by the noble Lord, Lord Lucas, would fundamentally alter many of the well-established principles of the current regime. While the Government understand and support many of their intentions, the focus of Part 3 is to establish the nature restoration fund and create a tool to address the environmental impact of development. Expanding the scope of the Bill in this way, as I said before on the other amendments, risks introducing uncertainty into the system and could slow the consenting of development. Several of the amendments also raise questions in respect of how they guard against environmental regression and significant harm to protected sites.
We feel that such significant changes to the habitats regulations assessment process would be better addressed following greater scrutiny, including from affected stakeholders. However, they raise a number of very important points about the operation of the habitats regulations. To take two specific points, decisions should be made on the basis of the best available scientific evidence and the habitats regulations assessment process should be applied appropriately and proportionately.
Government amendments to Part 3 include clarifying that both Natural England and the Secretary of State will take account of the best available evidence when preparing, amending or revoking an EDP. However, introducing legislative definitions of “scientific evidence” or “scientific justification”, as proposed by these amendments, needs careful consideration to understand the impact of such changes and to avoid the risk that we introduce unnecessary uncertainty and increased litigation in this area.
Dan Corry’s review, which we have mentioned in previous debates, also suggests a potential reform to the habitats regulations and how they are applied, while ensuring consistency with international obligations. I can confirm that we are looking at how to improve the operation of the existing habitats regulations. We are preparing updated guidance on the assessment process, and the noble Lord’s amendment rightly addresses the role that guidance can play in encouraging a proportionate application of that process. The noble Lord, Lord Lucas, may also wish to note in relation to his amendment that the guidance will make clear the flexibility that exists in order to screen out the de minimis effects where it is clear that there is no risk of harm to the integrity of the protected site.
I supported much of what the noble Earl, Lord Russell, said, and the approach that he suggested—that we need to be much more considered and take more time over some of this. We will of course continue to consider ways in which the operation of the habitats regulations can be improved, while protecting our most valuable habitats and species, at the same time as providing more certainty and an efficient process for developers. On that basis, I hope noble Lords will not press their amendments but continue to work with us on this important matter.
Lord Ravensdale (CB)
My Lords, I am very grateful to the Minister for her summing up and the extra information that she provided, particularly the important clarity around NSIPs and Part 3. However, we have not yet got away from the central issue of how useful Part 3 is going to be for major infrastructure projects. I appreciated what she said on guidance, but, clearly, we need to go further in what is laid down in statute. Coming back to Amendment 350, we are talking about minor changes to the regulations, to bring us back to their original intent and to clarify the existing law. I certainly look forward to further discussions with the Minister and other noble Lords on this as we go towards Report. With that, I beg leave to withdraw the amendment.
Baroness Bloomfield of Hinton Waldrist (Con)
I did not say overall; I said in some regions.
Baroness Taylor of Stevenage (Lab)
We have had figures bandied around about solar. The total figure covered at the moment is 0.1%, and the total figure for the energy plan, which goes up to 2030, is 0.8%.
Baroness Bloomfield of Hinton Waldrist (Con)
And I repeat: it is 8% in some regions—not in all regions, and not the overall figure for the United Kingdom land space.
The Secretary of State’s need for wind and solar seems to have blinded him to the mounting costs and spatial limitations they could impose. A 24/7 digital economy, data centres and artificial intelligence are not served by intermittent power. They need reliable baseload, and that means nuclear. France, Finland and Sweden—nations with some of the cheapest, cleanest electricity in Europe—all rely on nuclear. The truth is this: nuclear is not the problem; our system is. As we embrace more advanced nuclear technologies, we must try and fix it now in this Bill.
The current regulatory regime puts documentation above the national interest. It pretends that a legal checkbox exercise is the same as protecting the environment. It is not. By making it near impossible to build a handful of nuclear stations on tightly controlled sites, we are instead forcing ourselves to cover more of the countryside with wind turbines and solar panels. Of course, we all care deeply about the environment. Our national love of the countryside and of our natural heritage runs deep. But a planning system that blocks low-carbon, low-footprint, clean energy is self-defeating. It turns environmental regulation into a tool of environmental harm.
Cheap abundant nuclear is not a fantasy; it is our route to energy sovereignty, to lower bills and to powering a modern, prosperous Britain. If we are serious about delivering the infrastructure that will enable growth, attract investment, support heavy industry and safeguard our national interest, then we need to be bold enough to cut through the red tape that is holding us back. Britain stands on the cusp of a new industrial renaissance, but we cannot reach it with the planning system stuck in the past—particularly as we embrace the new, small and advanced nuclear technologies. These amendments are a crucial step towards a future that is energy secure.
Lord Blencathra (Con)
I wanted to speak briefly on the point that the noble Lord, Lord Hunt of Kings Heath, made on regulatory alignment. I like regulatory alignment in principle, provided it meets the right level of agreed regulation. I am fairly certain with everything I read that British regulators are perhaps over-nitpicking and over-fussy here, and are causing delays at Hinkley Point by double- and triple-checking the welding. I am also fairly certain with what I read that American regulators are—I would not say sloppy—much more relaxed.
If regulatory alignment comes about from British regulation experts talking to American regulation experts and reaching agreement, I can live with that. What I could not live with is a political agreement on regulatory alignment. I admire the way that President Trump goes around the world fighting for American interests, and stuffs everybody else provided that American interests come first. My worry here would be that, at some point, he may offer a deal saying, “Okay, Britain, you want no tariffs on steel and whisky? I can go along with that, provided you accept American terms on regulatory alignment for our nuclear reactors”. It is the political deal that worries me, not any regulatory alignment brought about by experts. I do not expect the Minister to be able to answer that or comment on it; I merely flag it. I see the noble Lord, Lord Hunt of Kings Heath, nodding, and I am glad that we agree on this point.
Baroness Taylor of Stevenage (Lab)
My Lords, I will not get drawn into the geopolitical issues of international trade on the planning Bill, but I will address the points in the amendment.
The Government shares the ambition of the noble Lord, Lord Offord, and the noble Baroness, Lady Bloomfield, who moved his amendment, to make nuclear development faster and more cost effective, and the plea of the noble Lord, Lord Blencathra, for SMRs. My noble friend Lady Hayman mentioned AMRs as well, which are important. Quite simply, we cannot grow the economy in the way that we want to without rapidly tackling the clean energy issue on all fronts, including nuclear. That is about not only clean energy but providing us with energy security and lower energy prices, which will help not only businesses in our country but households as well. It is important that we get on with that.
I fear that the solutions proposed in this amendment—I appreciate that it is a probing amendment—would potentially invite problems of their own, and risk undoing the growth we have seen in public support for new nuclear. I look first at allowing the Secretary of State to disregard environmental impact assessment requirements, where doing so would
“secure the provision of the generating station in an economic, efficient, proportionate and timely manner”.
We should remember that environmental assessments include not just impacts on wildlife but also take account of the impact on communities—noise, air quality, human health, and so on.
An application for a new nuclear power station will include proposals for mitigation measures designed to limit or remove any significant adverse environmental effects that it would have. This amendment could remove any requirements for those mitigation measures, which simply means that the significant impacts would not be managed. Like the noble Lord, we recognise that environmental assessment is in need of reform, which is why we are already carefully considering how to bring forward environmental outcome reports that will allow us to ensure that EIA is proportionate and to reduce the risk that these assessments are used to unduly delay development coming forward.
Allowing the Secretary of State to exempt nuclear power station projects both from the habs regulations and from any requirement to pay into an EDP could leave our most important protected sites and species at risk of irreparable harm. Simply providing for these regulations to be disregarded is probably the wrong approach and risks removing the need for even the most common-sense consideration of environmental impacts and actions to address these.
As I hope I have already set out to noble Lords in these debates, the nature restoration fund will allow developers to discharge their environmental obligations around protected sites and species more quickly and with greater impact, accelerating the delivery of infrastructure at the same time as improving the environment.
The planning regime must support new nuclear, so we have introduced a transformative draft national policy statement on nuclear energy. It is important, therefore, that both this policy statement and the overarching national policy statement for energy are considered when deciding applications for new nuclear power stations. This amendment would remove the centrality of these national policy statements in determining applications for those power stations, which would only slow down and confuse the decision-making process. The habitats regulations must be applied sensibly, which is why the overarching national policy statement for energy has already introduced the concept of critical national priority projects. This creates a presumption that the importance of low-carbon energy infrastructure is such that it is capable of amounting to imperative reasons for overriding public interest. We recognise that we need to go further and the nuclear regulatory framework—my noble friend Lord Hunt, referred to it, I believe—must avoid increasing costs where possible. We have therefore launched the Nuclear Regulatory Taskforce, which will report later this year.
The Government remain firmly of the view that, when it comes to development and the environment, we can do better than the status quo, which too often sees both infrastructure delivery and nature recovery stall. I hope that, with this explanation, the noble Baroness, Lady Bloomfield, on behalf of the noble Lord, Lord Offord of Garvel, will be able to withdraw the amendment.
Baroness Bloomfield of Hinton Waldrist (Con)
My Lords, I thank the Minister for her considered and rather encouraging response, and indeed all noble Lords for their thoughtful contributions to this debate. I particularly thank the noble Lord, Lord Hunt of Kings Heath, for reminding the Committee about the exciting progress towards regulatory alignment between the US and the UK on nuclear matters. I join him in encouraging the Government to investigate bringing forward helpful legislative changes on Report in the light of recent research. For now, I beg leave to withdraw this amendment.
“General duties when exercising functions relating to EDPs(1) This section applies where—(a) Natural England or the Secretary of State is exercising any functions in relation to the preparation, amendment or revocation of an EDP, or(b) the Secretary of State is considering whether to take, or is taking, remedial action under section (Remedial action by Secretary of State where EDP ends or is revoked).(2) Natural England or the Secretary of State must take account of the best available scientific evidence.(3) Natural England or the Secretary of State must have regard to—(a) the development plan for the development area,(b) the current environmental improvement plan,(c) any Environment Act strategies, and(d) any other strategies or plans,so far as Natural England or the Secretary of State considers them to be relevant.(4) Where an EDP specifies as the development area an area that includes waters adjacent to England (see section 54(2)(b)), Natural England or the Secretary of State must also have regard to—(a) any marine plan,(b) the marine policy statement, and(c) the UK marine strategy,so far as Natural England or the Secretary of State considers them to be relevant.(5) Where an EDP includes as an identified environmental feature a protected feature of a protected site, Natural England or the Secretary of State must have regard to any conservation objectives of the site that relate to the feature, so far as Natural England or the Secretary of State considers them to be relevant.(6) Where an EDP includes as an identified environmental feature a protected species, Natural England or the Secretary of State must have regard to the need to achieve favourable conservation status for that species in their natural range.(7) Subsection (8) applies where—(a) an EDP includes as an identified environmental feature a protected feature of a protected site, and(b) the EDP includes conservation measures of the type mentioned in section 55(4) (network conservation measures).(8) Natural England or the Secretary of State must have regard to the need to protect the overall coherence of each relevant site network of which the protected site forms a part, so far as it relates to the protected feature.(9) The Secretary of State may by regulations make provision about other things that must be done by Natural England when exercising functions in relation to the preparation, amendment or revocation of an EDP.(10) In this section—“current environmental improvement plan” has the same meaning as in Part 1 of the Environment Act 2021 (see section 8 of that Act);“development plan” has the same meaning as in section 38 of the Planning and Compulsory Purchase Act 2004;“Environment Act strategy” means a strategy prepared under any of the following provisions of the Environment Act 2021— (a) section 104 (local nature recovery strategies);(b) section 109 (species conservation strategies);(c) section 110 (protected site strategies);“marine plan” has the meaning given in section 51(3) of the Marine and Coastal Access Act 2009;“marine policy statement” has the same meaning as in the Marine and Coastal Access Act 2009 (see section 44 of that Act);“relevant site network” means—(a) the national site network within the meaning of the Habitats Regulations 2017 (see regulation 3 of those Regulations);(b) the national Ramsar site series within the meaning of the Habitats Regulations 2017 (see regulation 3 of those Regulations);(c) the network referred to in section 123(2) of the Marine and Coastal Access Act 2009 (marine protected area network).“the UK marine strategy” means the strategy developed under the Marine Strategy Regulations 2010 (S.I. 2010/1627).”Member’s explanatory statement
Clause 58 sets out matters to which Natural England must have regard when preparing an EDP. This amendment would extend that duty to the exercise of other functions relating to an EDP (e.g. amendment and revocation) by both Natural England and the Secretary of State. It would also add in additional matters to which Natural England and the Secretary of State must have regard when exercising functions.
(a) after the definition of “marine area” insert—““the national Ramsar site series” means all the wetlands in the United Kingdom that have been designated under paragraph 1 of article 2 of the Ramsar Convention for inclusion in the list of wetlands of international importance referred to in that article;”;”Member’s explanatory statement
This amendment would be a drafting correction to insert a definition of “the national Ramsar site series” into the Habitats Regulations.
Baroness Hayman of Ullock (Lab)
My Lords, Amendments 351A and 351B, tabled by my noble friend Lady Young, would require regulations containing consequential amendments made under the power in Clause 89 to be subject to the super-affirmative procedure. Although I wholly agree that it is crucial that regulations receive the appropriate level of scrutiny, the super-affirmative procedure is intended to provide for statutory instruments considered particularly important or complex.
I want to assure noble Lords that any amendments made under this power would be limited to either consequential or technical changes that are required to ensure the proper functioning of the system. I trust that noble Lords would agree that use of the procedure for such amendments is not likely to be an effective use of parliamentary or government time. Therefore, I hope my noble friend will agree not to press her amendments.
Amendment 356, tabled by the noble Baroness, Lady Coffey, would require that the Secretary of State responsible for carrying out all relevant functions under this part be nominated in the Bill as the Defra Secretary of State. The noble Lord, Lord Lansley, said in an earlier debate that it would be unusual to explicitly set out in legislation which Secretary of State is being referred to, as this could risk confusion down the line if, for example, departments or portfolios changed. I take the point that the noble Baroness made. In addition, it will generally be up to the Government of the day to agree which Secretary of State was best placed to use which powers.
In the case of the powers in question, we recognise the role the Secretary of State for Defra needs to play in the nature restoration fund. To reassure noble Lords, and as I clarified this morning, we would expect the Secretary of State for Defra to lead on the consideration and approval of EDPs as the NRF is established. However, we do not want to put this specifically in the Bill, partly because of the precedent it sets but also because there may be certain circumstances where it is appropriate for another Secretary of State to carry out functions under this part. I cannot give the noble Lord an example because we do not expect it to be a frequent thing. It would have to be looked at specifically at the time if there were circumstances that meant another Secretary of State would have the knowledge and the expertise required to make the judgments and the assessments that were needed. Just in case that could happen, we do not want to remove the possibility by specifying the Environment Secretary purely in isolation in the Bill. I hope that noble Lords will agree not to press their amendments.
Baroness Coffey (Con)
My Lords, I am concerned about this amendment, in particular subsection (3) of the proposed new clause, because it talks about repealing primary legislation. I understand what the noble Lord, Lord Hunt, is getting at in trying to make legislation straightforward. That is why we have all these schedules to legislation nowadays, to try to bring that about. I fear, and I have heard on the grapevine, that the noble Lord has been advised by somebody who is now advising somebody very important in the Government and who has also made subsequent comments about how nature is getting in the way of development. While I am conscious of the positive intentions that the noble Lord seeks to achieve through the amendment, I am just flagging my concern.
Baroness Scott of Bybrook (Con)
My Lords, I am grateful to the noble Lord, Lord Hunt of Kings Heath, for bringing forward Amendment 356A for the consideration of the Committee today. The proposed new clause would allow for pre-consolidation amendments to be made to planning legislation in anticipation of a full future consolidation Bill. Its purpose, as I understand it, is to probe the desirability and feasibility of consolidating the extensive and at times unwieldy body of planning law. The noble Lord is absolutely right to raise the matter.
It comes at a timely moment. We hear that, hot on the heels of the first planning Bill, the Government may now be contemplating a second. As we have said from this Dispatch Box on a number of occasions, if the Government had proceeded to commence either in full or even in part the schedules and clauses already contained within the Levelling-up and Regeneration Act, we might well have avoided the need for yet another Bill in the first place.
That brings me to the specific questions for the Minister. Can she confirm whether there is any truth in the strong rumours circulating that a new planning Bill is indeed on its way? If so, will such a Bill aim to consolidate the many changes that have been made right across the breadth of planning law in recent years? Do the Government accept that consolidation is both needed and desirable, not least to provide clarity and certainty to practitioners, local authorities and communities alike? Finally, can the Minister tell us whether the Government have considered what such a consolidation process might look like and under what timescale it might realistically be delivered? I look forward to the Minister’s reply.
Baroness Taylor of Stevenage (Lab)
My Lords, I thank my noble friend Lord Hunt for Amendment 356A and for highlighting the merits of consolidating our planning legislation. As someone who has been on the sticky end of it for a number of years, I can absolutely see his point.
My noble friend is not the first to consider this. Indeed, the existing legislative framework provides the Government with sufficient powers to consolidate the planning legislation at an appropriate time. Specifically, as the noble Baroness, Lady Scott, said, Section 132 of the Levelling-up and Regeneration Act provides the Secretary of State with broad and flexible powers to make regulations that amend, repeal or otherwise modify a wide range of planning-related statutes.
While we have no immediate plans to consolidate planning legislation in England, we will keep this under review, as we recognise that consolidating planning legislation could offer some benefits. Since the enactment of the Town and Country Planning Act 1990, the legislative framework has undergone numerous amendments, and consolidation may help to streamline and simplify the system. However, a comprehensive consolidation needs to be weighed against the risks of uncertainty and disruption, particularly at a time when the Government are prioritising targeted planning reform to drive economic growth.
Any move towards consolidation would also require substantial resources, so we would need to be confident that it has clear benefits. At this stage, we believe that targeted reform is the best way forward, but we are live to the possibilities that consolidation offers. I hope that my noble friend and other Peers with an interest in planning will continue to work with us. I therefore hope that my noble friend will feel able to withdraw his amendment.
Lord Hunt of Kings Heath (Lab)
I am very grateful to my noble friend. I say to the noble Baroness, Lady Coffey, first, that the person to whom she referred has not in fact advised me on this amendment. Secondly, she should not fear the amendment; I realise that it is a Henry VIII provision, but all it would allow us to do is have pre-consolidation amendments. We could not use it, for instance, to create a special pathway for nuclear developments in the way that the noble Baroness, Lady Bloomfield, suggested. I hope I can reassure her on that.
I am grateful to my noble friend the Minister. Clearly, she and her department recognise that, for people in the field, this can be very complex, so everything we can do to make it as straightforward as possible is to be desired. Having said that, I beg leave to withdraw my amendment.
“(x) section 46(1), (4) and (5) come into force at the end of the period of two months beginning with the day on which this Act is passed;(xa) section 46(2) and (3) come into force—(i) in relation to applications made to the Secretary of State, on the day on which the first relevant regulations made by the Secretary of State come into force;(ii) in relation to applications made to the Scottish Ministers, on the day on which the first relevant regulations made by the Scottish Ministers come into force;(iii) in relation to applications made to the Welsh Ministers, on the day on which the first relevant regulations made by the Welsh Ministers come into force;and in this paragraph “relevant regulations” means regulations under paragraph 9A of Schedule 3 to the Harbours Act 1964 (inserted by section 46(4));”Member’s explanatory statement
This amendment would adjust the commencement of clause 46 so that the repeal of existing fee-charging powers takes effect in each of England, Scotland and Wales only when new fees regulations come into force in the area concerned.
Baroness Neville-Rolfe
Member’s explanatory statement
This probing amendment, connected with another in the name of Baroness Neville-Rolfe, seeks to prevent the commencement of provision on EDPs until guidance has been published setting out how any regulatory burdens on smaller developers and construction firms can be minimised.
Baroness Neville-Rolfe (Con)
My Lords, I am honoured to speak, in the last group, to my Amendments 361A and 361B, on encouraging SME builders, and to Amendments 363 and 364, on mechanisms for encouraging the speedy rollout of planning reform. Amendment 275A, which I was unable to speak to this morning, belongs in a family with the first two amendments, and I am grateful to the noble Baroness, Lady Hayman of Ullock, for her comments in my absence. I am especially keen to improve the position of SMEs; it is a theme of many of my amendments to many Bills before the House of Lords.
My SME amendments follow a constructive discussion we had at one of the two Ministers’ helpful briefing sessions. My concern is that the new EDPs under Part 3 will further damage the position of smaller developers and construction firms, and I would like to see guidance provided to Natural England to head off that risk. I am afraid that neither the requirement to consider the viability of development in making regulations nor the tiering of the nature restoration levy by type of development quite does the trick.
We know from the trouble over nutrient neutrality just how religiously Natural England follows rules designed for nature protection at the expense of anything else. We need balance in relation to how it treats small developers and the smaller sites that developers need. The truth is that SMEs contribute so much to local communities and local employment and can do so much more in construction.
Baroness Pinnock (LD)
My Lords, SME builders play a very important role in the housebuilding sector of the country because they are able to build on small sites that often need to be redeveloped or are in villages or small townships. We need to encourage SME builders, because they add variety to the range of housebuilders that we rely on in this country. It does seem that, throughout this Bill, there has been too much emphasis on the major house developers—on the basis, I guess, that they are the only source of the very large numbers of housing units that the country requires.
I know that throughout the Bill the Government have attempted to support SMEs, although I am not sure that that has been sufficient. The noble Baroness, Lady Neville-Rolfe, has important points to make about SMEs. As always in planning, it is the balance—between encouraging SMEs, maybe at the expense of some of the regulations regarding environment, and relying too heavily on the major housebuilders, which will be able to cope with the growing need for consideration of environmental responsibilities. I look forward to what the Government are going to say about this; encouraging SME builders is really important.
Baroness Scott of Bybrook (Con)
My Lords, we are nearly there. I thank all noble Lords from across the House for their contributions to the Bill. Over long and often intricate debates, sometimes stretching well into the night, your Lordships have engaged with candour, with insight and with seriousness befitting the weight of these issues. The cross-party spirit of scrutiny and the diligence shown in Committee has, I believe, genuinely strengthened our deliberations.
Amendment 361, tabled by the noble Earl, Lord Caithness, is sound and reasonable. I shall not detain the Committee with another extended rehearsal of why Part 3 is, in our view, both damaging and unnecessary. But let me be clear: despite the Government’s determination to plough ahead with this part of the Bill, the opposition to it will only crystallise further on Report. Part 3 needs to go. At the very least, there must be an independent oversight of its administration. Without that, the concerns raised in Committee will only deepen.
The two thoughtful amendments tabled by my noble friend Lady Neville-Rolfe are practical and considered proposals that go right to the heart of the issues we have debated throughout Committee. Amendment 363 would ensure that the Secretary of State updates all national policy statements before the Act can be commenced. This is vital; out-of-date national policy statements do not provide the clarity or certainty required for developers, planners or communities.
Meanwhile, Amendment 364 would ensure that the Secretary of State publishes an analysis of how each section of the Bill will affect the speed of the planning process and construction before any provisions are commenced. If the central purpose of the Bill is, as Ministers insist, to accelerate planning and speed up delivery, it is only fair to ask how it will achieve that objective in practice. Will it, for example, make any real progress towards the former Deputy Prime Minister’s target of 1.5 million new homes, a promise which, under this Government, looks ever more distant as housebuilding rates continue to decline?
I conclude by returning to the point that I made at the start of Committee. This Bill does not go far enough. It makes adjustments to processes, to roles, to fees and to training. But it leaves untouched the fundamental framework of planning—the very framework that needs serious, bold reform if we are to unlock the scale of housebuilding that this country so urgently requires. We now hear rumours of a second planning Bill to come. If that is true, what your Lordships’ House has been asked to consider is not reform but merely a prelude.
The Government have missed an opportunity with this Bill. They had the chance to set a clear vision for the planning system that delivers for communities, supports growth and tackles the housing crisis head on. Instead, they have brought forward a piecemeal piece of legislation more about tinkering at the edges than about grasping the real challenge. The Government have chosen to use up their remaining political capital on Part 3 rather than building more homes, and the Minister will soon realise that she and her department have wasted their energy on this Bill.
I repeat my thanks to all the staff in the House: the doorkeepers, the technical staff and Hansard have all had to work very hard on nights when we have sat late on this Bill, and I thank them very much for that.
Baroness Taylor of Stevenage (Lab)
My Lords, before I respond to the amendment, I thank all noble Lords who have taken part in the Committee debates and the meetings we have held around the Committee stage of the Bill. We have apparently spent 60 hours in the Chamber debating the Bill and covered 650 amendments. Noble Lords’ knowledge and experience have helped us to shape this important new approach to planning, growth and the environment, which has been especially valuable.
I thank the Front-Bench spokespeople who have shown great stamina and fortitude, which has been really greatly appreciated. I also thank all the outside bodies who have contributed to our debates in the House. I especially thank all the officials who have worked on the Bill. The processes in the House of Lords mean that our officials often have to work at very short notice on putting together papers for Front-Benchers. I also thank the staff of the House, who have worked often very long hours on the Bill.
I also give my personal thanks to my fellow Front-Bench government spokespeople, the noble Lords, Lord Khan and Lord Wilson, and the noble Baroness, Lady Hayman, who have supported me so ably on the Front Bench during Committee. I am extremely grateful to them for their support.
This final group of amendments tabled by the noble Baroness, Lady Neville-Rolfe, relates to the commencement of the legislation. I thank the noble Baroness for her support and encouragement of the growth agenda that the Bill is aimed at promoting. As we have made clear throughout Committee, our Planning and Infrastructure Bill will play a key role in unlocking economic growth, and we must progress to implementation as swiftly as possible to start reaping the benefits of these measures and getting shovels in the ground—including shovels operated by SME builders. My noble friend Lord Livermore yesterday quoted the fact that this Bill has already been assessed to be making a great contribution to the economic growth we all want to see.
On Amendment 363, while I commend the intent of bring all national policy statements up to date, we must resist this amendment because the clauses in the Bill already address this through the introduction of a requirement for all NPSs to be reviewed and updated at least every five years. These clauses include transitional requirements, the most stringent of which require the NPSs which were designated more than five years before the date when the clauses came into force and have not been amended, to be brought up to date within a two-year period. Delaying the commencement of the rest of the Act until such a time as all NPSs have been updated is therefore unreasonable and would have a detrimental impact on the objectives of the Bill, stalling delivery and growth in our country.
Amendment 253 also seeks to have all remaining sections of the Bill come into force on such a day as the Secretary of State may by regulations appoint. Commencement regulations under this amendment are to be subject to a negative resolution. The commencement of each section of the Bill has been carefully considered with regard to the specific issue and relevant circumstances to determine whether that provision should come into force on the day the Act is passed, or a set period beginning with the day on which the Act is passed, or on such a day as the Secretary of State may by regulations appoint. This bespoke consideration should not be displaced by a blanket rule requiring commencement regulations, and I do not believe there is any reasonable basis for requiring all commencement regulations to be subject to the negative procedure rather than the generally standard procedure of commencement regulations not being subject to any procedure.
Amendment 364 would require the Secretary of State to publish analysis regarding the impact of each section of the Bill on the speed of the planning process before we can commence any of its provisions. I appreciate the noble Baroness’ intentions behind this amendment, and we are aligned in that we want the Bill to have as big an impact as possible in unlocking growth and accelerating development across the country. However, we have already published a full impact assessment on the Bill, including analysis of how each measure will impact on the planning system. As I mentioned earlier, this analysis showed that the economy could be boosted by up to £7.5 billion over the next decade by this pro-growth legislation, and we should not look to delay the implementation of these clauses and the reaping of the Bill’s benefits across the planning system.
We are confident that the Bill will streamline and turbocharge planning processes. For example, our analysis of the Bill’s reforms to the pre-application stage of the NSIP regime shows that these changes could reduce the typical time projects spend in pre-application by up to 12 months. This is a dramatic acceleration of the current system and of delivery of major economic infrastructure and demonstrates clearly how the Bill will get Britain building again. With these reassurances, I hope the noble Baroness will not press her amendment.
Baroness Neville-Rolfe (Con)
My Lords, I thank those who have spoken from the Front Benches, and I thank the Minister for some of her reassurance. I will look carefully at Hansard. I do not think we are quite there on Natural England. There is the choice of the existing system, which has its problems, or the new system, which also has potential problems, so if we can make sure that SMEs have an easier time, that would be a great plus in the passage of the Bill.
In terms of commencement, obviously my amendments were exploratory, and I will not press them, but I look forward to better information on the NPSs, including the scheduling of when they will come forward as part of dissemination on the Bill. People need to understand the whole picture, as the Minister has acknowledged on a number of occasions. I beg leave to withdraw my amendment.