Levelling-up and Regeneration Bill

Baroness Taylor of Stevenage Excerpts

Committee stage
Monday 13th March 2023 Lords Chamber

Moved by

[Baroness Taylor of Stevenage]

103: Schedule 2, page 257, line 23, at end insert—
“(e) as to the holding of by-elections for mayoral vacancies.”Member's explanatory statement
This is to probe the possibility of Mayoral by-elections.

[Baroness Taylor of Stevenage (Lab)]

My Lords, I shall speak also to my Amendments 115, 118 and 119 and Amendments 116, 117 and 125 in the name of my noble friend Lady Hayman of Ullock.

In general terms, these amendments have been tabled to probe some of the issues around what appears to be a democratic deficit in both the existing elected mayoral system and the new provisions proposed in the Bill. They also consider how the Secretary of State will deal with the financial consequences of the powers given to him or her in the Bill to transfer functions to the mayor, as well as some further issues around the communication of issues relating to the mayoral system to members of the public in the area that he or she represents.

I know that communication has been covered extensively in our previous debates in Committee—we have heard extensive responses from the Minister and the noble Earl, Lord Howe, on that subject—so I will be brief. However, if the new CCAs that choose to go down the route of an elected mayor are to be successful, it will be vital that all matters relating to the mayoralty are set out clearly and communicated effectively to the public in the area concerned.

Amendment 103 is intended to probe the possibility of mayoral by-elections. We need clarity in relation to what would happen in the event that a CCA mayor resigned or left office for any reason. Does there need to be specific provision in the Bill to enable a mayoral by-election should this happen? As the current proposal seems to be that the deputy mayor is simply appointed by the mayor, it does not seem appropriate for an unelected deputy mayor to step in and take over until the next cycle of mayoral elections is due. Can the Minister clarify whether it is the Government’s intention that a mayoral by-election should possible if the mayor is unable or unwilling to carry on in their role in a period that is not close to the date in the normal cycle of mayoral elections?

Amendment 115 would insert:

“The Secretary of State may by regulations make provision as to the scrutiny of deputy mayor appointments.”


This amendment has been supported by the Local Government Association, which thinks it gives greater power to combined authority members to hold the mayor, and the mayor’s choice of deputy mayor, to account. We heard a great deal earlier this afternoon about the flaws in the process for appointing deputy mayors. The current system of appointment by the mayor to the role of deputy mayor seems to leave a gaping hole in any democratic process in this respect. Deputy mayors have powerful roles within the executive and administration of the CCA. As we have heard, they could potentially take the role of the current police and crime commissioner. They also receive remuneration from the CCA, which can be at a significant cost to the taxpayer. But this can be done without any provision in the Bill for scrutiny either by the overview and scrutiny committee or by an equivalent body, let alone any external scrutiny, which seems to set those roles apart from both the democratic process, in that they are not elected by the public, and the provisions that would be made in a local authority, for example, for the appointment of a senior member of staff. Would the Minister give consideration to any further provisions and safeguards that could be built into the Bill to ensure that CCA members and the public can hold the mayor to account for the appointment of deputy mayors?

Amendment 116, tabled by my noble friend Lady Hayman of Ullock, would mean the Secretary of State must publish a statement confirming what additional funds will be made available to a mayor when making regulations under Clause 28, so we are back to funding again. This amendment is supported by the LGA. The clause gives the Secretary of State significant powers to transfer responsibilities for certain functions and activities to the mayor and the CCA. In some circumstances, we accept, this may be subject to the normal process of new burdens funding, although that process in itself has its own challenges. We would be more concerned that devolution may be used as an excuse to reduce funding for services, particularly core services. We absolutely support the transfer of powers from central government to local leaders, but of course these powers must be accompanied by appropriate funding levels. Our amendment would ensure that the Secretary of State would confirm what funding was being allocated along with any new powers that are conferred. The LGA agrees with that opinion, saying that

“powers must be accompanied by appropriate funding levels, and devolution should not be used as an excuse to reducing funding”.

So, on that amendment, we have the support of the LGA.

Amendment 117, again in the name of my noble friend Lady Hayman of Ullock, is on an annual summit of CCA mayors. This is similar to earlier amendments we laid down around the sharing of good practice. It is a probing amendment designed to explore how CCA mayors will share information on the implementation of the new types of combined authorities and best practice. It would give them a forum to enable them to discuss any issues arising from the operation of the CCAs, and liaison and co-operation between them and the Government, and to understand how different models of CCA are working—for example, those that have taken the powers of police and crime commissioners. We appreciate that there may be a role for the LGA. We discussed that earlier this afternoon; we can discuss it further in later stages of the Bill. Other bodies may have an interest in this area in relation to CCAs, but it is certainly not clear from the Bill how joint working, sharing of good practice and achieving an agreed stance where issues arise on policy matters around the structure of CCAs and so on would happen.

Amendment 118 is a probing amendment which would prevent the Secretary of State from conferring only partial police and crime commissioner functions on the mayor. This relates very much to the discussion that we had earlier under other amendments. I hope that it is not related to the issue raised by my noble friend Lord Hunt earlier, where a mayor does not agree with decisions made by a PCC of a different political persuasion—or even the same one, if you are in one of those types of political arrangements and they have had a fallout. It seems strange to have provision in the Bill which could lead to the possibility of a patchwork of different policing responsibilities being conferred on CCA mayors. This begs a further question about the role of police and crime commissioners in those circumstances.

This probing amendment seeks to understand the Government’s view on whether they would prefer the default position to be to transfer all the functions of police and crime commissioners to mayors in most circumstances, except where the CCA particularly expresses a wish not to transfer any of those powers, or whether it is to be left to CCAs at local level to determine which functions will be transferred to the mayor. Can the Minister please clarify this point? Policing is just too important in our communities to see it haggled over between different bits of local authorities. I hope we can have a clear line on this.

Amendment 119 is a probing amendment to allow the person appointed deputy mayor to be appointed as the deputy mayor for policing and crime. Again, we had a very long discussion about this earlier today, but it is certainly not clear in the Bill whether it is the intention that a deputy mayor should never take the function of a deputy mayor for policing and crime. We have raised other amendments, and under those is our concern about the democratic deficit in the appointment of deputy mayors. However, if and only if the issues around accountability for those appointments can be resolved, it would seem perverse for the mayor not to be able to delegate this part of their responsibility. Indeed, in practice, it almost certainly would happen. Can the Minister comment on how this aspect of the Bill might be clarified to make that issue clearer?

Lastly, Amendment 125, in the name of my noble friend Lady Hayman of Ullock, would mean that a change in the mayoral title must be communicated to residents. We agree with Amendment 124 by the noble Lord, Lord Shipley: a list of possible alternative titles for mayors is really unnecessary, as the CCA already has powers to choose alternative titles if it wishes. My noble friend’s amendment is intended to make sure that, if there is a change to the title, that is communicated to the public—to residents—and that that should be written into the process for any mayoral change of title. I beg to move.

[Lord Shipley (LD)]

My Lords, my name is attached to Amendment 124 in this group, which relates to Clause 40, “Alternative mayoral titles”. I challenge the notion that a choice of titles is required on the face of the Bill. Powers to decide a title already lie with the CCA, under Clause 40, in line 25 of page 35, and to attempt to define possible titles is an unnecessary addition.

The titles suggested are,

“county commissioner … county governor … elected leader … governor.”

I am not clear where those four titles came from. I guess we could all add some more, but it is confusing since everybody else is using the word “mayor”. I do not understand why another title is necessary. If I look at the word “governor”, I immediately think of a school governor, the governor of a US state or the governor of a prison. I am not sure it helps public understanding of what is proposed with a combined county authority to have a mixture of titles for roles. The public will have great difficulty engaging with them, because the titles could be different in one place from another. The power is there for people on the CCA to decide what title they want but, frankly, if I had my way it would be “mayor” because that has become the term. For the West Midlands, Greater Manchester, Merseyside, Tees Valley and so on, the word is “mayor” and I am not sure it helps to have suggestions that they could be called “governors” or “county commissioners.” I hope the Minister may be able to look at that and come up with an explanation about why the Government want to confuse things so much.

--- Later in debate ---

[Baroness Scott of Bybrook (Con)]

That is understood. I will take that back and do what I can; I will see what we have already.

On Amendment 115 tabled by the noble Baroness, Lady Taylor of Stevenage, I agree with her that the decisions of a mayor of a combined county authority should be—as I said earlier—subject to effective scrutiny, as should those of any leader of any council. Devolution should combine strong, empowered local leaders with strong accountability, but also transparency. The Government will publish a new devolution accountability framework to ensure that all devolution deals lead to local leaders and institutions that are transparent and accountable.

Schedule 1 provides that a combined county authority will be required to have at least one overview and scrutiny committee, as we discussed earlier, which can review and scrutinise decisions made or actions taken by the combined county authority and the mayor. The schedule provides that the Secretary of State may make regulations about the overview and scrutiny committee, including membership, voting rights, payment of allowances, chair, appointments of scrutiny officers, circumstances in which matters may be referred to the committee, and the obligations on persons to attend and respond to reports that the committee issues. This will ensure a robust framework within which overview and scrutiny committees will operate.

We think that this gives sufficient scope for local scrutiny on decisions taken by the CCA or mayor, such as the appointment of a deputy mayor by the mayor from among the combined county authority’s membership, if that is considered appropriate. I make it clear that the statutory deputy mayor will have to come from the members of the CCA—from those local authorities. It is not the same as a deputy mayor for police and crime, who could come from somewhere else, because they would possibly be required to have different experience and background. I hope that makes sense. It is quite important that we have those two deputies separated.

On Amendment 116, tabled by the noble Baroness, Lady Hayman of Ullock, we agree that information on funding should be available, and I can reassure the noble Baroness that that will be the case. Information on the funding available to a combined county authority and mayor will be in the public domain. The deal agreed between the Government and the area sets out both the funding arrangements and the powers to be conferred on the combined county authority and the mayor. The deal document is published and therefore publicly available. There must also be a public consultation locally on the area’s proposal to establish a combined county authority. We expect this to set out how the CCA will work and include the powers to be conferred on the CCA and the mayor and the funding available. The final proposal, which must be accompanied by a summary of the consultation, will constitute the formal submission to the Secretary of State seeking the establishment of the CCA.

In Amendment 117, the noble Baroness, Lady Hayman, probes whether there should be an annual summit of the CCA mayors. The existing combined authority mayors have themselves established the M10 group to enable them to work together. The Government engage with this group on a regular basis. We expect the M10 and the new combined county authority mayors to consider how best to work together. We think a locally led arrangement is better than a centrally imposed approach, and I expect it will evolve as more areas agree devolution deals.

In tabling Amendment 118 to Schedule 3, the noble Baroness, Lady Taylor of Stevenage, is seeking to prevent a combined county authority taking on part of the police and crime commissioner role. Schedule 3 provides further detail, setting out the matters on which the Secretary of State either may or must make regulations to enable a transfer of police and crime commissioner functions to a combined county authority mayor. It provides the framework and arrangements for the mayor to exercise these PCC functions on a day-to-day basis.

The amendment would limit the ability of the Secretary of State to determine an appropriate limited scope to the conferral of PCC functions to combined county authority mayors. Combined county authority and combined authority mayors should have parity where possible to ensure that all areas of England have the same options. The schedule achieves this consistency by mirroring the scope of regulations that govern the conferral and exercise of police and crime commissioner functions by combined authority mayors, as set out in Schedule 5C to the Local Democracy, Economic Development and Construction Act 2009. The amendment would create an inconsistency between the schedule governing the making of regulations related to combined county authority mayors’ exercise of PCC functions compared with its equivalent for combined authority mayors, leading to unnecessary inconsistency in the legislative framework for the PCC model.

[Baroness Taylor of Stevenage (Lab)]

I am still a bit confused about this. The Bill says that some mayors taking on police and crime commissioner powers can take certain powers to themselves and others can take others, so you end up with a picture around the country where they have different powers in different places. That was my concern, not that there would be an inconsistency between police and crime commissioners and mayors. What I wanted to understand with the amendment was whether, if the powers of the police and crime commissioner are transferred to the mayor, they will all be transferred. We do not want a different picture around the country depending on which powers of the police and crime commissioner have been moved over.

[Baroness Scott of Bybrook (Con)]

All the powers will go. There will not be half a PCC left. Does that make sense?

Amendment 119, tabled by the noble Baroness, Lady Taylor of Stevenage, seeks to allow the person appointed as statutory deputy mayor of the combined county authority to also be appointed as the deputy mayor for policing and crime. Schedule 3 prevents this because the deputy mayor and deputy mayor for policing and crime are two distinct, separate, and weighty roles. The role of the statutory deputy mayor is to step in and act as mayor should the mayor be unable to act or if the office of mayor is vacant for a time, as well as assisting across a whole range of general mayoral functions where applicable.

The deputy mayor of a combined authority is typically also a council leader, and we anticipate this will likely also be the case in combined county authorities. This would mean that this person is already accountable for the decisions and activities of the council they lead, in addition to their combined county authority responsibilities, where they will be accountable collectively, and possibly personally, for some of the CCA decisions, including personally for the mayor’s functions if the mayor cannot act. The role of the deputy mayor for policing and crime is to dedicate constant focus and attention to crime and policing and is usually a full-time role. Clearly, both the roles of deputy mayor and deputy mayor for policing and crime are significant and we believe that they should remain separate and distinct.

Amendment 124, tabled by the noble Lord, Lord Shipley, seeks to allow CCA mayors to be called by their choice of alternative title. Clauses 40 and 41 already enable mayoral combined county authorities to resolve or choose to use an alternative title to “mayor” for their directly elected mayor. They can choose from a shortlist of titles listed in the Bill, or a different title not on the list, having regard to other titles used in the area. I understand where the noble Lord is coming from regarding the fact that the title “mayor” is beginning to take on some level of credence within the country, but if you come from a particularly rural county area—I counted last night that where I was leader of a council, we already had 16 mayors—an elected mayor would be confusing for some people. The role of a mayor in some rural areas is seen as a civic role, rather than a leadership role, which is very different.

--- Later in debate ---

Finally, Amendment 125 tabled by the noble Baroness, Lady Hayman of Ullock, would require combined county authorities to communicate to all residents in their area changes to a mayoral title. We entirely agree that it is important that residents are aware of the title used by an individual representing them. Clause 41 requires that combined county authorities publish a notice in their area whenever there is a change to the mayoral title. This requirement is to ensure that residents are aware of the change in that title. The Government therefore feel that they have already provided for effective, proportionate reporting mechanisms for changes to mayoral titles that cover what the noble Baroness is seeking.

[Baroness Taylor of Stevenage (Lab)]

I thank the Minister for her detailed responses and the other noble Lords who have taken part in the debate. The noble Baroness, Lady Pinnock, mentioned that the detail in the Bill is insufficient on how CCAs operate. That goes to the heart of a lot of these amendments. We have tabled a lot of probing amendments to try to find out some of the detail about how all this is going to work.

In relation to Amendment 103 and the appointment of deputy mayors, in local government we have an appointments committee, as the Minister will know, which oversees the appointment to local authorities of any senior post. When we tabled the amendment, we had not understood that it was going to be essential that the deputy mayor would be one of the councillor members of the CCA. I hope that we have been able to clarify that through the submission of this amendment.

Matters of governance and constitution are essential. I would normally say I understand that we have to wait for regulations, statutory instruments and so on, but as this will be such a major change for our areas, it is important that both the local authorities and the members who will enact this legislation—and the members of the public who are going to live in the new CCA areas—understand in great detail how it is going to work before we go into the new system. The noble Lord, Lord Stunell, made a comment about having some draft regulations in front of us before we get to the end of the Bill. That would be incredibly helpful.

On provisions for by-elections, I understand the Minister’s comments about that being in the schedule. However, it sounds as if it will be a little in the hands of the Secretary of State as to whether to call for an election. That gives me a bit of concern because if a local councillor resigns midterm, you have to hold a by-election if the members of the electorate call for it. Unless it is very close to an upcoming local election, you have to do that between elections. I do not see any problem with having something further in the Bill so that we could understand how that works. It would be the same process, in effect, as for a local councillor.

On Amendment 115, I understand the responses. But would the accountability include the PCC or the mayor as PCC? The Minister mentioned a whole raft of accountabilities that the mayor comes under. Would it include the PCC and the mayoral role as PCC? I would like to understand that a little better. Is the whole policing element of the mayor’s role going to be undertaken a bit under the radar, as it is now, by a local policing committee?

On Amendment 116, the noble Baroness said that the deal agreed sets out the funding arrangements and that it is a public document. It was helpful to have that clarified. Her response to Amendment 117 was that there is an existing body, the M10 group of CCA mayors, and it is helpful to know that the Government expect mayors to participate in some kind of forum.

On Amendment 118, the schedule sets out the functions. Thanks to the responses we have had, we now know that they would be the same options, whether it was going to be a police and crime commissioner or the mayor undertaking those duties. I want to just ask one further question: does that mean that the deputy mayor for crime and policing does not have to be a councillor member of the CCA? Could that person be just appointed from outside the CCA? We would take an interest if that was the case.

On the list of titles, we just disagree. The amendment states quite clearly that we think it should just be left to authorities to determine that; there is no need for a list of titles on the face of the Bill. We have been told over and again that we do not need so much detail in the Bill, but in this case we have a whole list on the face of the Bill that we think is entirely unnecessary.

I am grateful for the points about communication because it is really important that, with a new system like this, the public understand exactly what is happening. If there is to be change to the title that should be communicated. “Communicated” is not as effective as I would like it to be. I would like them to be consulted on it, but communication is better than nothing.

That said, I am happy to withdraw my amendment for now. I stress the point that the noble Lord, Lord Stunell, made about having some draft regulations in front of us so that we can understand very clearly exactly what the provisions are. If the noble Baroness could write to us about the issue of the deputy mayor with responsibility for police and crime functions and whether that person is going to be a councillor or not, that would be helpful.

[Baroness Scott of Bybrook (Con)]

I am happy to answer that straight away. That person does not have to be a councillor. The statutory deputy mayor needs to be a councillor and the police and crime one does not.

[Baroness Taylor of Stevenage (Lab)]

With that, I withdraw my amendment.

Amendment 103 withdrawn.

--- Later in debate ---

[Lord Stunell (LD)]

I will speak very briefly; I will certainly not debate with the Minister all 35 amendments. I am taking on a brief inspection that these are indeed just minor and consequential. I want to use this as the opportunity to say that the Minister has written to us today, advising us of a whole range of further amendments that the Government will table. While most of them flow from the debates we have had so far, one particular amendment relating to the building safety regulator is completely off-piste, as far as I can see. In responding, can the Minister—perhaps being grateful for me not debating all 35 amendments—assure us that sufficient time will be given for us to think through some of the new amendments the Government have tabled today?

[Baroness Taylor of Stevenage (Lab)]

I am sure that the Minister will be pleased to know that I too will not debate all 35 amendments. They are largely consequential and drafting amendments. I noted that, earlier in today’s debate, the noble Earl, Lord Howe, referred to the consultation provisions contained in Amendments 151 and 152, so we will have a closer look at those, and we may write to the Minister, the noble Baroness, Lady Scott of Bybrook, if we have any further concerns on that.

I have one tiny question—forgive me: I know that it is late—on Amendment 143. The proposed new paragraph 7ZB in Schedule A1 to the Planning and Compulsory Purchase Act 2004 states:

“If the Secretary of State … thinks that a constituent planning authority are failing or omitting to do anything it is necessary for them to do in connection with the preparation, revision or adoption of a development plan document, and (b) invites the combined county authority to prepare or revise the document, the combined county authority may prepare or revise (as the case may be) the development plan document.”


I do not necessarily need an answer now, but I would be grateful if the Minister could write to me. Is it the Secretary of State or the constituent planning authority who invites the CCA to intervene in the preparation or revision of the document? That was not clear. The amendment also makes provision for the CCA to charge the non-constituent authority for work done on the development plan. Would those charges be agreed between both parties in advance, subject to a fee scale or limited fixed charges? I ask that question because it may be that the financial position of the constituent planning authority was the reason for the delay in the first place. It may be that, either in preparing the plan or if the recruitment of planning staff in the area is difficult, the authority is not in a position to increase salaries and so on, so if there were to be a massive charge to it from the CCA, that might be an issue. I am happy to take a written response to that question in due course.

Other than that, I have no questions or comments on the amendments.

[Baroness Scott of Bybrook (Con)]

I thank the noble Baroness for her offer; I would prefer to give a written answer to that question, because it was quite complicated, and I do not want to give the wrong answer.

On the question of sufficient time for the new government amendments, I will ensure that I talk to the usual people to give plenty of time for noble Lords to look into them, because they were more substantive than this group of amendments. Saying that, I beg to move.

Levelling-up and Regeneration Bill

Baroness Taylor of Stevenage Excerpts

Committee stage
Monday 13th March 2023 Lords Chamber

[Baroness Taylor of Stevenage (Lab)]

My Lords, I draw attention to my interests in the register. I am a serving district and county councillor and a vice-president of the District Councils’ Network.

I will speak to our Amendments 78 and 85 and will comment also on some of the other amendments in this group. Many in this House who have connections with local government will be very aware of the significant issues in relation to formal audit over the last three years. This has been the result of a number of issues in the private sector audit regime that we now have, including the increasing complexity of local authority accounts and the resultant demands on training, the recruitment and retention of staff, and rapidly increasing fees, to name just a few factors that have been experienced by the private audit sector. In fact, it was estimated last year that only 9% of local authorities had been able to have their 2021 audits completed on time.

Audit is really vital, as the noble Lord said just now. It provides public reassurance and confidence for both members and officers, and more particularly for the public. It is disappointing that the Bill does nothing to address that issue. However, the amendments in this section are aimed at ensuring that scrutiny within the CCA is as powerful and independent as it can be, which should, in turn, mean that audit is effective and can develop a high level of confidence among members and the public.

Turning first to our Amendment 78, this is needed because of the proposals in the Bill that effectively exclude district councillors from being voting members of the CCA itself. I appreciate that we have some work to do to clarify that point. The fundamental impact of the decisions taken by the CCA must, therefore, be able to be scrutinised effectively by members with a detailed local knowledge of their area. As chairs of overview and scrutiny review the decisions of their own councils’ executive committees on a regular basis, they will have a good working knowledge of the strategic planning for their areas, and therefore will be able to assess the likely impact of decisions taken by the CCA.

There is a precedent for this. For example, in the policing panels, which scrutinise the work and budgets of police and crime commissioners, all districts in a PCC’s area are entitled to be present. It is not intended that this amendment would prevent other members being appointed to an overview and scrutiny committee—for example independent members, as referred to in Amendment 84, from the noble Lord, Lord Shipley.

I turn now to our Amendment 85. This relates to the sharing of best practice on scrutiny, and there is some very good advice and support on scrutiny available from the Centre for Public Scrutiny. It will be vital to the successful operation of the CCA that best practice from around the country is shared among the committees. We appreciate that this is not necessarily the role of the Secretary of State, but it could be made clear in guidance to overview and scrutiny committees that they should give consideration regularly to how they operate and how they assimilate best practice.

I will now comment, if I may, on some of the amendments tabled by other noble Lords. We support Amendment 77, from the noble Lord, Lord Shipley, which is designed to strengthen the role of overview and scrutiny in relation to CCAs. The Labour Party has long been advocating that local public accounts committees could be a way of pulling together local scrutiny of the impact of both national and local policy-making and decision-making on local areas. This would be a first step towards ensuring that overview and scrutiny committees have a level of independence from the CCA. The membership of these committees also needs to be carefully considered.

Turning to Amendment 79, the noble Lord, Lord Shipley, referred to the fact that overview and scrutiny committees must be able to carry out their work without influence, and I totally support that. The overview and scrutiny committees must be completely unfettered from any interference from the CCA, including such devices as setting out workplans for them or prohibiting them from scrutinising any aspect of work undertaken by the CCA. Neither should the CCA be able to determine the process used by the overview and scrutiny committees. For example, if the committees wish to call witnesses, including members of the CCA, they should be able to do so. We would be grateful for the Minister’s clarification that it is the intention that overview and scrutiny committees are entitled to carry out their scrutiny of the CCA in any way that they determine will achieve effective scrutiny.

The amendments tabled by the noble Lord, Lord Carrington, raise some important issues around the way in which rural issues—such as housing, education, transport, rural economies and so on—often differ from those that are the main consideration of a CCA. We should support the freedom of a CCA to create any sub-committee that is relevant to the work that it undertakes. If it helps to have a rural sub-committee specifically listed to ensure that rural issues are considered by a CCA, that is no bad thing. This is particularly useful where the CCA covers an area that is largely urban but contains smaller rural areas, as it will ensure that issues relevant to rurality are properly considered and reported back to the CCA. A report from one of our own Lords committees, on rural communities, showed that, on the whole, local enterprise partnerships are not great at delivering for rural areas, so the need for that sort of committee of a CCA is well evidenced.

Amendment 82, in the name of the noble Lord, Lord Shipley, is a belt-and-braces amendment, if noble Lords will forgive the expression, to ensure that, should a Member have recently crossed the Floor from one political party to another—meaning that they would have had very recent contact with the mayor, their decision-making processes and strategy—they are not then placed in a position to be able to scrutinise the mayor’s actions. It truly is belt and braces because, in my experience, people who change their political party do so because of disenchantment with where they have been, so it is possible that they may be the best critics of the mayor and their administration. However, this amendment would ensure that there could be no deliberate manipulation of the scrutiny function.

Similar to Amendment 82, Amendment 83, in the name of the noble Lord, Lord Shipley, would mean that, if there is no party with an outright majority on the CCA, the chair of overview and scrutiny should not be a member of either of the parties that may hold the majority together. Depending on local circumstances, this might be difficult if, for example, a third or fourth party is very much in the minority and may not be able to put forward a chair. In those circumstances, it might be necessary to make provision for an independent chair; the fact that we need to continue to discuss this means that there are issues here that continue to need resolution.

The LGA has made some extensive comments on Amendment 84 in the name of the noble Lord, Lord Shipley. It is worth recording what it has said about having independent co-opted members on audit committees; it is certainly in favour of it. It states:

“Having multiple co-optees enables them to have complementary skills (eg finance, risk management, governance) … The constitutional rules should still require the majority of audit committee members to be elected members. This is for two reasons”—


which are fairly obvious to me but perhaps they are not always so obvious. They are that

“audit committees are fulfilling a role delegated by elected members … who are jointly and severally ‘those charged with governance’, and … elected members represent the community and are in a unique position not enjoyed by independent co-optees to understand what the concerns of local people are in relation to assurance”.

So, although we would support the increase in transparency provided by an increased number of independent members participating in an audit committee for all the reasons that the LGA and the noble Lord, Lord Shipley, have highlighted, we question the need to have a specific number when the Bill already states that “at least” one member of an audit committee is an independent member. Perhaps it should be for the CCA to determine its preference for the number of independent members, based on the particular skills base that it feels it needs to carry out the audit role. In time, we feel that good practice would be developed by CCA audit committees as they understand what particular skills are needed in relation to CCA audit work; we are sure that they would be supported by national bodies such as the LGA in sharing good practice.

Another important issue arises here: the question of remuneration, which the LGA has raised. Independent members of a CCA audit committee are likely to be necessarily highly skilled individuals in, for example, finance, risk management and/or governance. While one could expect that they will give a certain proportion of their time for community benefit, it seems unreasonable to expect that they would carry out this role without any remuneration at all. Although the cost of the remuneration of independent members is likely to be minimal in the context of the overall budget of the CCA, consideration should be given to this at the initiation of the CCA so that the roles can be properly defined and recruited. The availability of the necessary skills in any particular area can be decided only in practice.

I am grateful to noble Lords for all their amendments in this group.

[Baroness Pinnock (LD)]

My Lords, I remind the House of my interest as a member of Kirklees Council and one who has served on its audit committee for a number of years. Scrutiny and audit are close to my heart. My noble friend Lord Shipley has raised some important issues about scrutiny—about the importance of an appropriate person not being seen as a political nominee, because that would undermine the whole purpose of scrutiny, taking an independent view of the decision-making process in the combined authority.

The second thing, which has not yet been explored, is that scrutiny can be post decision-making and pre decision-making. In strategic decisions made by a combined county authority or a combined authority, the primary duty of a scrutiny committee ought to be pre-decision scrutiny, because that is one way of ensuring a very detailed look at what is proposed—through a semi-independent committee one step removed from the decision-makers in the combined authority. I look forward to what the Minister will say on that and whether emphasis could be put on pre-decision scrutiny, particularly in this role.

The audit function has been illustrated by my noble friend Lord Shipley, who pointed out the number of councils that are failing in their financial status because auditors fail to pick up what is going on there. There are two elements of audit, though, which, again, have not been explored today or indeed in the Bill. One is internal audit, which ought to be primarily the duty of elected members, and the other is external audit, where the appointed external auditors of every council have a very important role at looking at where deficiencies might occur and where decisions being made by the council pose a substantial risk to its future. I totally support the views expressed by all Members who have spoken so far about the importance of having independent experts on those committees from a financial, audit or risk sector to support and advise the committee, but in the end, it is the decision of the elected members. It is them who have to carry the can, quite rightly: if they make poor decisions and fail to expose issues of concern in their councils, they too must be held accountable. I look forward to what the Minister will say on those issues.

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[The Parliamentary Under-Secretary of State, Department for Levelling Up, Housing & Communities (Baroness Scott of Bybrook) (Con)]

My Lords, the amendments in this group relate to scrutiny of combined county authorities. I think that we all agree that effective scrutiny of a combined county authority, as with any other local authority, is a key aspect in providing the strong accountability that we all wish to see. The noble Baroness, Lady Pinnock, is absolutely right: it is about not just scrutiny after the event but overview before the event as well, as any good local authority would be doing at the time. I also say this to her: the Bill makes provision for payments of allowances to local authority members who sit on overview and scrutiny, and audit, committees.

Noble Lords will be aware that Schedule 1 provides the underpinning processes for holding a combined county authority to account. Through Amendment 77 the noble Lord, Lord Shipley, wishes to put provisions in the Bill requiring a combined county authority to publish a report of an overview and scrutiny committee if that committee believes that publication of that report is in the public interest.

I reassure the noble Lord that Part VA of the Local Government Act 1972 provides powers to require the publication of reports of a committee or sub-committee of a principal council, including overview and scrutiny committees. Schedule 4 to the Bill amends Part VA of the Local Government Act 1972 to apply these provisions to combined county authorities. I hope that this provides sufficient reassurance to the noble Lord that further amendments in this area are not necessary.

Amendment 78 was tabled by the noble Baroness, Lady Taylor of Stevenage. We absolutely agree on the importance of overview and audit, as I have said. We recognise that it could be appropriate for representatives from district councils within a combined county authority’s area to be members of a CCA’s overview and scrutiny committee. However, our approach is that this issue of representation is best decided locally. The Bill provides for combined county authorities to invite representatives of district councils, along with other appropriate persons, to be members of their overview and scrutiny committees. The powers are already available to achieve what she seeks.

I recognise that the noble Baroness is perhaps seeking to place a requirement on combined county authorities to ensure that chairs of overview and scrutiny committees of district councils in the CCA areas have to be members of the CCA overview and scrutiny committees. As we have said many times, we prefer a localist approach of enabling those in the area the ability to form their scrutiny committees, rather than dictating this from central government.

Amendment 79 tabled by the noble Lord, Lord Shipley, seeks to prevent a combined county authority restricting the work of an overview and scrutiny committee without good reason. The provisions in this schedule mirror exactly for the combined county authorities the overview and scrutiny arrangements in place for combined authorities. It is important to ensure consistency in approach to robust accountability across all those authorities that have functions and funding conferred to them from the Government.

As with combined authorities and local authorities, combined county authorities are public bodies required by public law to act reasonably in making decisions. It is only right that each combined county authority should be able to decide its own overview and scrutiny committee operational arrangements which best match its local circumstances. This is what this provision in the schedule does.

These operational arrangements will be set out in a combined county authority’s local constitution, to which it and all its members are bound. As such, there is no requirement for this amendment. A CCA cannot withhold an overview and scrutiny committee’s powers. Without such proposals in place that have been consented to by all parties, overview and scrutiny committees will not be able to undertake their role effectively.

Amendment 80 was tabled by the noble Lord, Lord Carrington, who I thank for being the voice of rural committees, which are extremely important. This amendment seeks to give combined county authorities’ overview and scrutiny committees the ability to establish a rural sub-committee. I see that is very important for many county authorities, and I can confirm that the existing provisions enable a combined county authority’s overview and scrutiny committee to do this, should it wish. Paragraph 2(1) of Schedule 1 allows a CCA’s overview and scrutiny committee to appoint one or more sub-committees, and they could, of course, be rural sub-committees.

Amendments 82 and 83, tabled by the noble Lord, Lord Shipley, are about the chairs of overview and scrutiny committees and sub-committees. Schedule 1 sets out that a chair of a combined county authority’s overview and scrutiny committee has to be of a different political party than the mayor in the case of a mayoral CCA and of a different political party to the majority of members in the case of a non-mayoral CCA or an independent person. These amendments seek to provide an additional criterion that the chair cannot have been a member of the same political party as either the mayor or majority of members for a non-mayoral combined county authority for a period of five years prior to appointment.

While we agree with the noble Lord that overview and scrutiny committees are an important part of the accountability process, we believe this amendment to be an unnecessary extra hurdle. Potential chairs’ credentials should be treated on the basis of their current political membership, or lack of it in the case of an independent chair. This is a consistent approach throughout local government. There are no requirements to look back over previously political membership, and we do not think there should be one in these new arrangements.

Amendment 84, tabled by the noble Lord, Lord Shipley, looks to increase the minimum number of independent members of a combined county authority’s audit committee to three. The Government believe that devolution should be locally led, as I have said many times, and recognise that greater functions and funding must come with strong accountability. The Government’s policy approach is to allow each combined county authority the flexibility to decide its own operational arrangements for its audit committee to best match the arrangements to local circumstances. Currently, this allows CCAs to decide how many independent persons should be appointed to an audit committee, providing that there is at least one independent member.

The noble Lord, Lord Shipley, and the noble Baroness, Lady Taylor, brought up the issue of who will be the members of audit committees. The regulations that will establish combined county authorities will set out audit committee arrangements. They will provide that, where practical, the membership of an audit committee reflects the political balance of the constituent councils of the combined county authority. Membership may not include any officer from the combined county authority or the combined county authority’s constituent councils. We await that further information on membership. The amendment that the noble Lord seeks to introduce would take away some of this flexibility, which might not best fit the local circumstances of the combined county authority.

Finally in this group, the noble Baroness, Lady Taylor of Stevenage, tabled Amendment 85, which would place a duty on the Secretary of State to facilitate the sharing of best practice between overview and scrutiny and audit committees of combined county authorities. We recognise that sharing best practice makes an important contribution to the delivery of effective scrutiny functions across the local government sector as a whole. However, we believe that this works best where best practice sharing is locally led rather being a diktat from above.

When they are established, combined county authorities will become part of a broader local government framework and will receive support in developing and improving scrutiny functions. The existing combined authorities are already working together to share best practice between their organisations, including considering effective scrutiny. This includes via the M10 network, which is led by the combined authorities but which government engages with regularly.

Combined authorities are also supported in their work on scrutiny by the Centre for Governance and Scrutiny, which looks at specific challenges across all local government, including combined authorities, and works with them to enhance the effectiveness of their scrutiny. Once established, combined county authorities will also be able to operate and share best practice in a similar way to those authorities already in place. I hope the noble Baroness agrees that—

[Baroness Taylor of Stevenage (Lab)]

I hope the Minister will excuse me. I find that response about the sharing of best practice a little confusing. What we were trying to understand was how the work across the CCA picture nationally would be shared. I am not clear how that will work across the piece—across the country. There will, clearly, be the development of good practice in audit and scrutiny. Is it intended that that will sit within a framework such as, for example, the Local Government Association? Where will it sit, and how will those authorities be able to share what they are doing properly and effectively?

[Baroness Scott of Bybrook (Con)]

For a start, they will still be members of the Local Government Association, I assume, as will their members; so there is that route. As we have said, the combined authorities already in existence are already joining together themselves and sharing good practice. I would imagine that the CCAs and further combined authorities will also be doing that sort of sharing of best practice. The department will obviously keep a close eye on a new structure, work with those local authorities and be able to share any good practice from that as well. As usually happens with change, everybody wants to get together to see how it is going. I can give your Lordships an example of when I took a local authority to a unitary authority, and other authorities were going to unitary authorities at the same time. We all joined together and shared best practice. It did not have to be imposed on us; we did it as a matter of course. I think local government is good at doing that and will continue to do so into these new ways of working.

I hope the noble Baroness will agree that, as the work currently undertaken elsewhere should be locally led, there is no need to place a duty on the Secretary of State to facilitate the sharing of best practice between combined county authorities.

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Moved by

[Baroness Taylor of Stevenage]

87: Clause 14, page 12, line 5, at end insert—
“(4) A CCA may request that the Secretary of State publishes an assessment of their funding, including in relation to any new functions.”Member’s explanatory statement
This means that a CCA may request that the Secretary of State publishes an assessment of their funding, including in relation to any new functions.

[Baroness Taylor of Stevenage (Lab)]

My Lords, with the current local authority funding gap running at over £7 billion a year and much of the supposed increase trumpeted by the Government having to come from the pockets of already hard-pressed council tax payers, it is somewhat disappointing, as I have said before in this Chamber, that the Bill seems largely to overlook the underlying issues of the underfunding of local government generally and the fact that funding is not distributed fairly according to need.

That is key to the Bill, because those financial issues represent a barrier to the Government achieving their ambitions of levelling up. Indeed, the current rounds of bidding to get funding for levelling up only further add to the problem, because the authorities with the resources to put together the shiny bids that appear to be favoured are not always the ones with the most need. In that respect the Government are, at worst, turning the whole concept of levelling up upside down, and, at best, are applying sticking plasters to the gaping wounds of underfunding in our communities.

As a local government leader for 17 years, I can say from first-hand experience that the drastic savings that have been imposed on local authorities since 2010 mean that what has been achieved is all the more impressive. All major projects coming before any council are subject to detailed analysis of how the outcomes will be measured and monitored. That includes environmental, legal and equalities impacts and, especially, financial costs. At a time when even our Conservative County Council are announcing that it has exhausted all options in meeting its budget deficit, I hope the Minister will reflect on how we can better enable local councils to level up our areas. We are proposing a number of amendments in an attempt to address this deficit, and the amendments in this group would be the start of that process.

On Amendment 87, with a local government regime that is already incredibly regressive—from the benefit from council tax being skewed to those areas that are already better off to the many recently introduced funding pots which, as I said, enable those authorities with the resources to prepare the best bids regardless of the needs of the area—it is vital that there is a process to ensure the accountability and integrity of funding directed to CCAs. The publication of an annual statement would enable clear scrutiny to take place, both between and within CCA areas. It would also have the effect of making the funding of CCAs far more transparent for public purposes, as it would enable the CCA and the Government to demonstrate what funding had been allocated.

The second part of the amendment would take that transparency one step further, in that it asks for the annual statement to have a cost-benefit analysis to demonstrate whether the funding allocated to the CCA is achieving the stated aims. Again, that would provide a good opportunity for internal scrutiny via the overview and scrutiny committee, which we discussed earlier this afternoon, and for the public to be assured that the funding provided to the CCA was achieving the aims of levelling up and the strategic objectives that the CCA had set for itself.

The national benefit of these statements would be that, once consolidated, they would provide a national picture of funding, the way that funding was allocated and why, and the benefits that were being delivered through that funding. I would like to think that the discipline of reporting on an annual basis would also ensure that, where bidding pots still got allocated—much as I might prefer funding to be done in a different way—there would be clear criteria for and assessment of those bids, with measurable outcomes, so that these could be reported in the annual statement.

On Amendment 123, in the name of my noble friend Lady Hayman of Ullock, while the clause in the Bill sets out that the Secretary of State may make regulations in relation to requiring the mayor to maintain a fund in relation to receipts arising from, and liabilities incurred in, the exercise of general functions, and about the preparation of an annual budget, it is not clear whether that power for the Secretary of State extends to subsequently scrutinising that budget and fund in Parliament. Our contention is that local government, including any CCAs set up under this Bill, is already subject to extensive scrutiny through the overview and scrutiny committees internally, and externally through the audit process. So we would be grateful for clarification from the Minister on whether there is to be a further layer of scrutiny set up in relation to CCA budgets.

Amendment 172, submitted in my name and in the name of the noble Lord, Lord Shipley, talks about this fair funding review—and I feel fairly strongly about this. The fair funding review has been under discussion for at least five years to my knowledge, and probably longer than that. It was delayed again in October 2022. The methodology we currently have for allocations is both flawed and completely out of date. For example, it takes traffic flows from 2011, unemployment data which is 10 years old, highways data which is 20 years old, and census data—and, as we all know, the census is undertaken only every 10 years and so is nearly always too out of date for allocating funding via that formula. Additionally, we all know about the failure to reset property values, which means that we are using property values from 1991.

Average council tax as a share of disposable income in London is the lowest in the UK. That does not mean that there are not areas of deprivation in London, of course—some of the most deprived areas in the country are there—but it is just over half of that in Yorkshire and the Humber, and in the north-east. So, in a dynamic economy and at a time of a cost of living crisis, this outdated and flawed approach, which penalises and exacerbates economic equalities, will not do—it is the exact opposite of levelling up. Our amendment is there to suggest that we need to get on with this fair funding review and get it enacted quickly, because we have got no chance of levelling anything up unless we get this fair funding review completed.

There have been comments from the LGA, which supports the fact that the fair funding review needs to be done. It makes a very good point that there needs to be enough time to allow formal consultation with local authorities, but I cannot believe that, after five years of working on this, that could not be done fairly quickly. When the review does happen, it needs to consider both the data and formulae used to distribute funding, and the Government need to ensure that overall local government funding is sufficient when the new-needs formulae are introduced. That will ensure that no council sees its funding reduced and that there are transitional arrangements for any business rates reset. I beg to move.

[Lord Shipley (LD)]

My Lords, I think that these are three very important amendments, and my name appears on Amendment 172. It goes without saying that the fair funding review has been undertaken for too long and that it is reasonable that within one year of this Bill being enacted the publication of the fair funding review should happen. I also think that the other amendments are very important, but Amendment 87 really matters because it says that

“a CCA may request that the Secretary of State publishes an assessment of their funding, including in relation to any new functions”.

In other words, is the right amount of money being given to undertake the tasks which the CCA is due to undertake?

All of this relates to the amendment in the names of my noble friend Lord Scriven and myself that relates to fiscal policy. There is an issue that we need to debate about fiscal policy and the powers of CCAs—we have the concept now of “trailblazer authorities” and I think the trend is a good one. Nevertheless, I want to be reassured that Ministers understand that local authorities cannot be expected to undertake things, and nor can CCAs, unless the local authorities or CCAs are able to fund them. For that reason, all three amendments in this group seem to me to be particularly important.

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[Earl Howe (Con)]

My Lords, this group of amendments relates to the budgets and funding of combined county authorities and the scrutiny of them. Amendment 87, tabled by the noble Baroness, Lady Taylor, seeks to place a requirement on the Secretary of State to publish an assessment of a combined county authority’s funding, including in relation to any new functions.

The Government fully recognise the importance of transparency with regard to allocations of funding and regular reporting on the impact of wider and deeper devolution. That is why we introduced a measure to that effect in the Cities and Local Devolution Act 2016. This provision requires the Government to produce an annual report on progress with devolution that covers the areas suggested by the noble Baroness’s amendment; namely, funding and regular progress reporting on devolution of additional public functions. Combined authorities and local authorities are already covered by this provision. We laid a consequential amendment, government Amendment 152, on 9 February that will bring combined county authorities into its scope. I hope that is helpful to the noble Baroness.

It is also worth noting that combined county authorities will be subject to the same accounting and audit provisions as combined authorities and individual local authorities. Government Amendment 151, laid on 9 February, extends the provisions of the Local Audit and Accountability Act 2014 to combined county authorities. These provisions include the requirement for them to have locally audited annual accounts available for public inspection on request. Taken together, these measures will ensure that combined county authorities operate in a transparent manner and are held to account for successful delivery in the same way that other institutions in England with devolved powers already are. The Government therefore feel that there are effective, proportionate reporting mechanisms already in place for combined county authorities that will cover what the noble Baroness is seeking to achieve.

I read Amendment 123, tabled by the noble Baroness, Lady Hayman of Ullock, as probing whether Parliament will be able to scrutinise CCA budgets. I agree with what the noble Baroness said: combined county authority mayors and their budgets should be subject to scrutiny. Where I differ from her is that I believe that it should be a local matter. If it is to be worth the name, devolution should combine strong, empowered local leaders with stronger accountability and transparency. A directly elected leader, such as a mayor, with a fixed term and a clear mandate makes it much easier for local communities to make judgments based on local performance and local delivery, rather than the ebb and flow of national politics.

All combined county authorities will be required to have at least one overview and scrutiny committee and an audit committee. These will be instrumental in holding the authority and the mayor to account for their decisions and activities. The Government will be publishing a new devolution accountability framework to ensure that all devolution deals lead to local leaders and institutions that are transparent and accountable, work closely with local businesses, seek the best value for taxpayers’ money and maintain strong ethical standards. Requiring combined county authorities to lay their budgets before Parliament would be excessive and would also place CCAs on a different footing from combined authorities and all other local government institutions.

[Baroness Taylor of Stevenage (Lab)]

I think I said when I moved the amendment that our contention was that local government, including any CCAs, is already subject to extensive scrutiny, so we agree with that. I would be grateful if the noble Earl could clarify that no further layer of scrutiny will be applied to CCA budgets. Was that the content of the his response?

[Earl Howe (Con)]

In broad terms, yes. But if I can elaborate on that, I will certainly write to the noble Baroness.

Amendment 172, tabled by the noble Baroness, Lady Taylor, and the noble Lord, Lord Shipley, seeks to insert a new clause following Clause 76. This proposed new clause would require the Secretary of State to publish the fair funding review. I take this to mean the most recent government consultation on fairer funding for local government, which is the 2018-19 review of relative needs and resources.

The review of relative needs and resources was undertaken in 2018-19. As the noble Baroness rightly pointed out, this assessment is now out of date. It does not take into account more up-to-date census and demographic data. The events of the past five years, including, notably, the Covid-19 pandemic, mean that the world has moved on. I therefore suggest to the noble Baroness that there would be little benefit to publication in its outdated form.

The Government have already set out, in the local government finance policy statement on 12 December, that we would not be implementing the relative review of needs and resources in this spending review period. Instead, that policy statement sets out details of the funding policy that will be maintained for a second year into 2024-25. In making this decision, the Government were clear that now is the time for stability for the sector, not reform, given the turbulence of the Covid-19 pandemic and the more recent economic issues relating to high inflation.

I emphasise that the Government remain committed to improving the local government finance landscape in the next Parliament and beyond. The department is keen to work closely with local partners and to take stock of the challenges and opportunities that they face to build on the work of the review of relative needs and resources and to ensure that plans for reform are contemporary, robust and informed by local insight. Again, this is set out in the local government finance policy statement, published in December. This is an important issue and one that we should certainly discuss in the coming months.

I hope that the noble Baroness, Lady Taylor, will understand the Government’s reasoning on this, and that she will not feel the need to press this amendment when it is reached.

[Baroness Taylor of Stevenage (Lab)]

I am very grateful for the responses from the Minister. As was said earlier in the debate, we know that he always listens to the points being put forward, and I thank him for that.

On Amendment 87, which proposes that the CCA can request the publication of fair funding for new functions, I think that it is fair to say that local authorities cannot be expected to undertake bureaucratic burdens such as those. However, we want to see the records of reporting on CCAs, in particular around the cost-benefit analysis of what is being achieved by a CCA.

In response to the comments from the noble Lord, Lord Stunell, I say that there is a significant difference between the funding we see for initiatives and the funding for core services. There has been a great deal of the former and not so much of the latter in recent years. What happens, as we constantly see in local government, is that core services are undermined, and it hollows out the ability of local authorities to deliver the initiatives. I agree with the noble Lord that, whenever we raise these issues, we always get told that there will be new-burdens funding for things. In effect, while we occasionally see some money coming forward, we get things such as the new homes bonus. That is a good example, because the bonus was simply top-sliced from the rest of local government funding, so, in effect, they did not give us any new money at all; they just gave us our own money back. There are also things such as the Government setting rent policy for local authorities, telling us how much rent we can charge our tenants and placing additional burdens on housing authorities, and then saying, “No, you can’t have any new-burdens funding, because you should have been doing all that in the first place”. So there are problems around the whole issue of the new-burdens regime, and we need a genuine increase in funds in local government.

The points from the noble Lord, Lord Stunell, on how local government is financed, by whom, and how the resources are allocated and so on, were very well made. I would like to see the Government be brave enough to get on with this fair funding review. From the Minister’s response, I feel that it has been pushed into the long grass again. It was set up in 2018; we all understand that the pandemic had an impact on it, and perhaps during the pandemic was not the time to go into a full review of local government funding. It was delayed again in October 2022. Hearing that it has now been moved to the next Parliament is a concern, because this is urgent now. In 2023, we really cannot go much further forward with the system we have, which does not respond to local economic needs or local data, is very slow to respond, and, in many cases, is using data that is between 10 and 20 years old—that is not helping at all with the levelling-up agenda.

I spoke earlier about the difference between initiatives funding and core funding. It is all very well putting money into areas for local initiatives—often that is capital, and we have heard that the Secretary of State has now been stopped from signing off any further capital initiatives, so even that might not happen at the moment—but, if you do not keep the core funding going as well, and make sure that it is rising by inflation at the same time, it will be much more difficult to deliver any levelling-up initiatives whatever. So the amendments are important in making the point that we need to ensure that local government finances are duly and properly taken into consideration in the Bill. As I said earlier, it is disappointing that it is not there in a stronger way and we will look at the government amendments on the reporting on CCA funding to satisfy ourselves that they are right.

In the meantime, I am happy not to press the amendments. However, I hope that the Government are taking the point that we take very seriously this issue of local government finance and its rightful place in the levelling-up agenda; we may come back to it later in the debate.

Amendment 87 withdrawn.

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[Baroness Scott of Bybrook (Con)]

I did not say that the councils do not have any concerns or interest in the role of the PCC. Of course, they do, as we have heard, with community safety committees et cetera. What I said was that the councils do not deliver any of the services required by the PCC. That is the job of the local police. Therefore, there is no crossover in that way.

[Baroness Taylor of Stevenage (Lab)]

I do not know where that information has come from about councils not delivering community safety-related services. It is just not the case. We look at anti-social behaviour; we look at domestic abuse. In my own local authority, we have a very big and effective domestic abuse service, and we work with our colleagues in the police. We have issues related to local area policing. We set our priorities with our local policing teams and deliver services jointly to address those priorities. I could go on—I know the noble Baroness will know some of this from her own experience in local government. It is just not the case that local government does not deliver community safety services in the same way that we deliver health prevention services and so on.

[Baroness Scott of Bybrook (Con)]

I think we are going to disagree on this, and there is a fine line. I also want to answer the questions from the noble Lord, Lord Bach, that I did not answer at Second Reading, for which I apologise—I am conscious of that—but because the amount of information I have is not sufficient to answer them today, I will write to him and talk to Home Office colleagues as well, because I think it is important we get their views. I will also write more about the responsibilities of the PCC and the local authorities, because it is important that we get this right and that noble Lords understand the reasons why we are doing this.

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[Baroness Scott of Bybrook (Con)]

I do not know about buses, but I imagine that there may be the ability for a mayor to appoint somebody to be responsible for transport in a large area. I will check that, but I am sure that it is within their powers. It is probably a very good thing to have in large geographical area, as the mayor cannot do everything in detail there. I hope that that satisfies noble Lords.

[Baroness Taylor of Stevenage (Lab)]

I have a question on the issue of buses. We have seen millions of bus miles removed from the system altogether. The noble Baroness, Lady Randerson, has very carefully and thoroughly articulated why they are so essential. It is really important that we get this bus strategy as quickly as possible so that we can start to get a sense of how local authorities can play a part in restoring some of the bus services that we have lost. Can the Minister give us any idea of how quickly that will come about? It would seem that the Bill is an ideal opportunity to put that into place. Otherwise, we will have to go through the same discussions again in a few months, a year or two years’ time to give local authorities that power. Why not use the Bill as the ideal opportunity to reinstate what we used to have back in the day? I remember a very good bus service in my own area before the powers were taken away from councils.

[Baroness Scott of Bybrook (Con)]

This is the responsibility of the Department for Transport. I will be in touch with the relevant Minister to explain the Committee’s deep concern about the issue of bus services and say that an early solution to this would be considered appropriate by the Committee. I will also find out how long it will be before we get this strategy in place. I will write that at the end of the letter, which will go to all noble Lords in Committee. I hope that noble Lords will withdraw their amendments.

International Women’s Day

Baroness Taylor of Stevenage Excerpts

Friday 10th March 2023 Lords Chamber

[Baroness Taylor of Stevenage (Lab)]

My Lords—and Ladies, as I feel I should say today—I add my tributes to those paid to Betty Boothroyd. I never knew her; I came into this House, sadly, after she last spoke here. It was always such an inspiration to hear both a working-class and a northern voice speaking from the House of Commons and then from this House. I am sorry that the noble Baroness, Lady Lampard, is no longer in her seat, but I thank her for her maiden speech and for her work at GambleAware; it is so important in my community.

Too often, I knock on doors when campaigning at election time to be told that the resident does not understand politics or voting. Too often, this is said by women. It is time—it is well past time, actually—that we make the history and understanding of democracy part of our education all the way through school. There are stories that can truly bring this to life and I will talk today about one that inspired me.

Tomorrow morning, my noble friend Lady Thornton and I, along with members of the Stevenage and North Herts group of the Fawcett Society—both sisters and brothers, I am pleased to say—will be visiting the beautiful grounds of Knebworth House in Hertfordshire to celebrate the life and courage of one of the great and lesser-known heroines of the suffragette movement: Lady Constance Lytton. She was born into an aristocratic family; her father, Robert Bulwer-Lytton, the first Earl of Lytton, was Governor-General of India and it was he who made the proclamation that Queen Victoria was the Empress of India. In 1905, Lady Constance started to become involved with the Espérance Club, founded in response to the distressing conditions for girls in the London dress trade. In 1908, through her contacts in the Espérance Club, she met released suffragette prisoners with whom she discussed the cause of women’s suffrage—although, at the time, she remained unconvinced by their methods. She began a lifelong campaign on prison reform and continued her discussions with leading members of the movement.

Then, in 1909, she became a member of the Women’s Social and Political Union, later stating:

“Women had tried repeatedly, and always in vain, every peaceable means open to them of influencing successive governments. Processions and petitions were absolutely useless.”


She started to make speeches around the country for the WSPU and used her family connections to campaign in Parliament. She wrote to Home Secretary, Herbert Gladstone, asking for Emmeline and Christabel Pankhurst to be released from prison and for suffragettes to be treated as political prisoners. She soon became involved in the active campaigning of the movement and was imprisoned twice in Holloway after demonstrations at the House of Commons. When the authorities discovered that she was the daughter of Lord Lytton, fearing that her ill health and hunger striking would lead to martyrdom, they ordered her release and she wrote to the Liverpool Daily Post to complain about the favourable treatment that she had received.

In 1910, distressed by that difference between her treatment and that of poorer prisoners, Lady Lytton travelled to Liverpool having disguised herself as a working-class London seamstress, Jane Warton. She was arrested there after speaking against force-feeding at an event and after an incident where rocks were thrown at an MP’s car. Imprisoned in Walton Gaol for 14 days’ hard labour, she was force-fed eight times. Even today, well over 100 years later, her descriptions of force-feeding are an incredibly harrowing, difficult read. Using her traumatic personal experience, she went on to campaign against the conditions that the suffragettes endured. It is thought that she was instrumental in helping to end the practice of force-feeding.

Lady Constance never recovered from her prison treatment and her subsequent heart attacks and strokes further weakened her fragile health. She died in 1923, aged just 54. At her funeral, the purple, white and green suffragette colours were laid on her coffin. Her ashes lie in the family mausoleum in Knebworth Park, where we will gather tomorrow to lay green, purple and white flowers in her memory.

But memorial is empty without action; action hinges on education about the consequences and impact of gender inequality. We may have achieved universal suffrage in this country, but we continue to see the impact of gender inequality both here and around the world. We have heard powerful advocacy during the debate for the journey to continue towards equality in employment, pay, education, health treatment and childcare, and to end the horror of violence against women and girls. I thank my honourable friend Jess Phillips MP for yesterday so movingly reading the names of the women killed in violent attacks, which are still at more than 100 a year. I also thank my noble friend Lady Anderson for her advocacy today for those who pay the ultimate price for speaking out.

We remember the battles for fairness in maternity and carers’ leave, which were in front of your Lordships’ House again just last week in Private Members’ Bills. On the issues that Lady Constance campaigned on, we still have a long way to go on prison reform. Our democracy at least enables progress, albeit glacial on some issues. However, we are all horrified to hear of the closing down of the education and employment of women and girls in Afghanistan and Iran. Worse still, we heard reports this week of girls attending schools in Iran being hospitalised due to noxious gases being released into their classrooms. I hope our FCDO Ministers are asking questions of the Iranian Government about this and continuing to make our views on gender-based violence clear, wherever it occurs.

The legacy of our courageous sisters, including Lady Constance, should and does spur us on to continue to champion the cause of gender equality. Keeping their stories alive, and the fight they had to ensure we can vote out those who do not take our issues seriously, is still and always will be a cause worth fighting for. Sisters, the fight goes on. Brothers, thank you for your support—but, as this is so important, can we get a bit of a lick on, please?

Levelling-up and Regeneration Bill

Baroness Taylor of Stevenage Excerpts

Committee stage
Wednesday 22nd February 2023 Lords Chamber

Moved by

[Baroness Taylor of Stevenage]

50: After Clause 5, insert the following new Clause—
“Levelling Up FundIf an allocation is made from the Levelling Up Fund, a Minister of the Crown must publish a statement explaining how the allocation supports the levelling-up missions.”Member’s explanatory statement
This means that the Government must explain how allocations from the levelling up fund support the levelling up missions.

[Baroness Taylor of Stevenage (Lab)]

My Lords, I add my thanks to the noble Lord, Lord Holmes, for an interesting debate on robotics. It was an interesting answer from the noble Earl as well.

I am speaking to Amendment 50 in my name, the amendment tabled in the name of my noble friend Lady Hayman and in support of Amendment 57, submitted by the noble Baroness, Lady Valentine. I am grateful for her engagement with me and with my noble friend Lady Hayman on this part of the Bill.

The levelling-up fund, well intentioned as I am sure it was, has generated more light than heat so far. The unfortunate Hunger Games-style bidding process pitted areas that all have legitimate needs against one another, wasted millions in the application process and has seen the bids eaten away by inflation. That has broken too much of the promise with which the fund set out. In fact, just today, SIGOMA—the Special Interest Group of Municipal Authorities—published its analysis, saying that there is no strong correlation between deprivation and allocation from either round 1 or 2 of the levelling-up fund. It seems that even the Treasury is concerned about the fact that there appears to be little to link the allocations with identified regional inequalities, or any strategy to show the contribution that the fund is making to the overall strategic aims of the missions.

As we heard earlier today, regional inequalities are going in the wrong direction and therefore increasing. I referred earlier to those issues. Transport is one example. There are many examples of bus services being lost up and down the country and an appalling situation relating to train cancellations, which are now at a record high.

The noble Baroness, Lady Pinnock, in an earlier group, set out the shocking fact that Leeds has spent a third of a million on the bidding process, which achieved absolutely no return whatever. We do not yet know what the total figure is for the UK but, in these desperate times for local government funding, it is a travesty that authorities are having to put that much money in without any idea as to whether they will get a return—something that you would never tolerate in business, I suspect.

In the amendments debated on day 1 of Committee, a strong case was made for including the missions in the Bill—we heard more about that today—to ensure that there is clarity of purpose and so that we can be sure that funding allocated for levelling up clearly demonstrates which mission or missions it is aimed at. Of course, we are very pleased for those areas that received levelling-up funding. I was with the leader of Broxbourne Council yesterday and he was delighted to have been successful in his bid. But, given that local government has lost £15 billion in funding since 2015, a funding round of £2.8 billion is crumbs from the table when there are communities that are desperate, really desperate, for investment.

It is of great concern that in the round 2 bids, there was rock-bottom allocation for Yorkshire and the Humber, and nothing for Birmingham, Nottingham, Stoke, or the Stonehouse community in Plymouth that is in the bottom 0.2% for economic activity. We really must do better than explaining the criteria for bidding after the submission of the bids has closed, which happened with round 2. It has also become apparent that the impact of inflation on round 1 bids has meant that some of them have had to be re-evaluated, some of them have not even had a spade in the ground so far, and there is no clear path for meeting the added costs. I am sure that the Minister, with her extensive experience in local government, knows that expecting local authorities to meet inflation costs from their hard-pressed budgets, on future bidding rounds or even on the existing ones, is unrealistic.

I am sure that what local government would really like to see is not these constant bidding rounds—it is not just the levelling-up fund, there are others as well—but a real long-term plan for a sustainable and fair funding system meaning that local areas can plan for their own futures and focus on delivering levelling up in their area, rather than competing for successive bidding rounds. I served on the fair funding task force for over five years. It does not seem to have got anywhere very far. It is about time we recognised that real localism means real funding for real local authorities to deliver what their areas need.

The amendments are designed to ensure that we have clarity around the link between the missions and the funding, and to make provision for review after a year to ensure that they are delivering against anticipated outcomes. I am sure that even the Treasury would agree with that. I beg to move.

--- Later in debate ---

[Baroness Scott of Bybrook (Con)]

I will be very happy to provide that information.

[Baroness Taylor of Stevenage (Lab)]

I thank noble Lords for the debate on the levelling-up fund. It is a key issue to discuss as we go into the Bill because, clearly, none of the levelling-up project will happen without proper funding, and most of us in local government certainly feel that the levelling-up fund has not been the way to do it.

I want to start with the issue of categories 1, 2 and 3. Those categories deterred some authorities from applying because people felt that, if they were in a higher-banded category, they would not have any chance of getting any funding. It was very disappointing when they did not bid because they thought they were not going to get any and then found that others in the same category, and some in higher categories, were allocated funding. So I support the request from the noble Baroness, Lady Pinnock, for some explanation of how that banding works.

My second point is about how the Treasury is feeling about round 3. I am not clear on what the Treasury has done in terms of the levelling-up fund: whether it has stopped round 3 for the time being, whether it has delayed it or what it is doing with it. It would be interesting to know how that is going to happen going forward.

The Minister mentioned match funding, and I am sure that she is as aware as I am that the various places that it used to come from are scarce and in very short supply these days. So match funding can also deter people from bidding for things. I know that it is not compulsory to have it, but, if you think you will not achieve your bid without it, it may deter people from bidding in the first place. It seems almost certain that the areas that need match funding the most are the least likely to have access to it, so it goes against the principles of levelling up.

I was pleased to hear the Minister talk about the recognition of the need to address the complexities in the funding landscape, which is vital. Moving forward, as the delivery of the missions gets more complex, we absolutely need to be clear about a straightforward mechanism for funding.

I was pleased to hear the speech of the noble Baroness, Lady Valentine, which was helpful. I am grateful for the work that Business in the Community does across the country in helping to move the levelling-up agenda forward. I was impressed and pleased that she mentioned the issue around capital funding and having revenue funding to support it. Too often, funding pots are allocated and things are built and delivered—because that is what ticks the box for the department concerned—but the ongoing revenue for that project is not considered and ends up being a local burden that can, in some instances, result in the original project never being delivered properly, because there is not the revenue to deliver it. So I hope that future funding pots will take that into consideration.

I was shocked about the Blackpool project being funded but then going into a period in which it is not. You cannot stand these projects up and down at very short notice: they take a lot of planning, and the disappointment for young people engaged in something when the tap is turned off and that project stops is almost worse than doing nothing at all, because it adds to their feelings of having things taken away from them.

On the short timescales and short delivery times, if levelling up is going to work properly, it must work with a great spirit of co-operation and collaboration between those tasked with delivering it—there may be more than one public agency doing that. Having these very short bidding times and delivery times in some instances is not at all helpful, and I hope that that can be taken into consideration.

We heard information about the town deals and the towns fund. I have been quite close to one of them, and, although there is an equal lack of transparency in allocation, there was very serious scrutiny of what the outcomes would be before the bidding and allocation. That is something that we should look to for the future.

I was pleased to hear the remarks of the noble Lord, Lord Stunell, about the serious lack of credibility in the scheme. I talk to my colleagues in local government all the time, and there is no doubt in my mind that there has been a great loss of credibility in the scheme. The Minister referred to a feedback process; it may be that that has got going fairly recently, because the second-round funding has only recently been announced. But those who were involved at the time certainly felt that they had not had an adequate opportunity to receive any feedback. Of course, they want to learn because, if there will be multiple rounds of this, people want to know what they did wrong and, equally, the ones who got it right want to know what they did right.

The noble Baroness, Lady Pinnock, referred to the reason we have been pressing so hard on these definitions of geography, missions and metrics, and how they will be used: because of how they will be used to determine funding. Even if funding for levelling up were to be considered for a completely different model—such as one much more like the sort of model I would like to see, which is local government being given the funding and being allowed to get on with it—surely we must have a method which determines how funding follows need, rather than just whoever puts in the shiniest bid at the time.

Levelling-up and Regeneration Bill

Baroness Taylor of Stevenage Excerpts

Committee stage
Wednesday 22nd February 2023 Lords Chamber

[Lord Shipley (LD)]

My Lords, this could be a brief debate on this group of amendments. I agree with the noble Baroness, Lady Hayman of Ullock, in her conclusions on missions and metrics—and I shall come back to that in a moment. I also agree entirely with what the noble Lord, Lord Stevens, said a moment ago. I hope I quote him correctly, but I think he said, “The Bill will be useful if it forces a focus on the means of delivering levelling up”. That was particularly helpful, because it is really what these amendments in this small group are about.

In moving Amendment 10, I shall speak also to Amendment 58, to which I have added my name, and I want to support Amendment 48. There has been a lengthy debate on missions and metrics, the existing and the new ones. When I read the White Paper and then the Bill for the first time, particularly the missions and metrics, I concluded that we had to start with how outcomes would be evaluated. The metrics as set out will in most cases be impossible to interpret in the context of levelling up because they cover too large a spatial area. We need to know what exactly needs levelling up and where.

As an example, I take bus services, in the context of services in the past year being cut by 10% across the country. Yet in the document about measuring the progress in levelling up, in figure 16 there are mentions of buses—but it always assumes that there is a bus. It is about whether the bus is running late or not and whether you can get to work by bus on time, whereas the issue is actually whether there is a bus at all that will get, for example, a student in a school doing a T-level to the employer providing the 20% of work experience required for that T-level.

I concluded very early on in considering the Bill that we have to define the Bill’s use of the words “geographical” as well as “disparities”. A lot has been said about “disparities”, so I shall concentrate on “geographical”. Many statistics exist now, but not all the statistics that we would like to have. Some of those statistics that are available now are national, while some are regional and some are local, depending on which body produces them. I propose that we need to assess outcomes with independent assessment of what happens at a very local level, hence my suggestion of using area postcodes—or the first few digits, such as in mine, which are NE3. You cannot get it down to a street level, I concede, and I also concede that another way of addressing the issue is, as the noble Baroness, Lady Hayman of Ullock, said, by doing it by council area and council ward. You could do it by council ward: 40 years ago we were doing assessments and metrics of this kind at a ward level in Newcastle upon Tyne. Most local authorities were able to produce evidence like that.

We have to be much clearer about how we are going to assess outcomes, for we have to do outcomes—it cannot just be about missions. How else will we know that levelling up is actually happening? I have a proposal for the Minister, which is what the noble Baroness, Lady Hayman of Ullock, ended up saying. The Government should take back all the missions and metrics that they have put in the Bill’s documentation and then add to it everything that has been recorded in Hansard in all the excellent contributions that have been made. Then they need to reissue all those missions and metrics by the time we reach Report, which, because of recess dates, will be some weeks hence. I have absolutely no doubt that the department can easily do it in the time before we get to Report. I beg to move.

[Baroness Taylor of Stevenage (Lab)]

My Lords, it is rather a shame that this Bill appears to have become a bit of a Christmas tree Bill, with everything hung on it. As my noble friend Lady Hayman has said, in truth it is three Bills—a levelling-up Bill, a planning Bill and a structure of local government or devolution Bill. In truth, it would have been better had it come forward in that way.

If the Bill is to be true to its title as a levelling-up Bill, it must surely take the serious aspects of regional disparities as essential to making the Bill work. The amendments in this group—I support the amendment proposed by the noble Lord, Lord Shipley, as well—are tabled to ensure that the geographical differences between communities are properly assessed so that a baseline can be established and success then measured. The right reverend Prelate the Bishop of Leeds said that without evaluative processes in the Bill they are just aspirations, and I agree. We can have as many dreams as we want about what might happen but, if we do not actually say where we are trying to get to, it is like setting out on a journey without a destination in mind. You do not know where you are going to end up, and that is really key.

The evidence on disparities between and within communities in the UK is irrefutable. The Government’s own figures show that 37% of disposable household income in the UK went to just one-fifth of individuals with the highest incomes, while only 8% went to those with the lowest. The Equality Trust has demonstrated just how unequally wealth is spread across the UK, with the south-east having median household wealth that is well over twice that in the north of England. It is true to say that some of this is driven by property wealth, but with the north-east, Wales, Yorkshire and the Humber and the east and West Midlands at less than half the wealth of London and the south-east, the impact on economic opportunities is stark. The Equality Trust research states that the UK has the highest level of income inequality than any other European country other than Italy.

The right reverend Prelate the Bishop of Leeds referred to the need to have discrete attention paid to the most serious causes of inequality, which is absolutely correct. We had a debate under the previous group of amendments around health inequalities. Those key areas of disparity between our regions are stark. The Health Foundation shows, for example, that a 60 year- old woman in the poorest areas of England has a level of diagnosed illness equivalent to that of a 76 year-old woman in the wealthier areas. Children in poorer areas are much more likely to be living with conditions such as asthma and epilepsy and, as they get into their 20s, with chronic pain, anxiety and depression—and for the over-30s in those areas there is the prevalence of diabetes, COPD and cardiovascular disease. There are demographic differences, too, with people from ethnic backgrounds all having higher levels of long-term illness.

We have already commented on the missing health disparities White Paper. It is terrible that that has been scrapped, because it would have made the assessment of levelling-up needs in relation to health far easier. We need to find out from the Minister what has happened to that health disparities White Paper. We will continue to support work which means that the Bill will show how levelling up will tackle health inequalities.

There are many areas of disparity. I shall also speak about educational attainment. While educational attainment in London and the south-east outstrips much of the rest of England, evidence from the Institute for Fiscal Studies shows that a 16 year-old’s family income was more than four times as strong a predictor of GCSE attainment than their local authority of residence. Both the Sutton Trust and the Education Policy Institute have raised concerns that the pandemic has seen a widening of that educational attainment gap and that that has a lifelong impact on young people. I noted the Minister’s comments on this, but it is hard to see how the current lack of a fair funding system and the regressive nature of council tax will not continue to build in the inequalities that disadvantage those young people. As an example, I was very pleased to see that the Mayor of London used the increase in business rates he had had, which most areas of the country may not benefit from, to provide free school meals for all primary schoolchildren just this week.

As well as disparities between regions, it is important that the Bill recognises that there are also stark contrasts within areas. My noble friend Lady Hayman’s amendment refers to this. Even in London we have the classic examples of increasing levels of inequality as you go along the route of underground lines. This means that, on all measures—economic, health, education and well-being—there are great disparities. If we take the line between Kensington and Barking and Dagenham, we can see that the disparity grows as we go along that route. Similar disparities apply all across the south-east. Even in my own area, the county council division I represent has a difference of nine years in life expectancy from another area in my borough which is just three miles away. These differences are very stark.

I was very pleased to hear the noble Lord, Lord Shipley, talk about bus services. The lack of bus transport in some parts of our country is a real issue, and it affects particular groups of people who do not have access to other forms of transport—to name some, the elderly, students and those on low incomes. It effectively places them under a curfew and stops them having access to all the opportunities of work, school, college, hospital and health access, and social and welfare opportunities that they could take advantage of. It is a really big issue, depending on where you are.

I loved my noble friend Lady Hayman’s example of one bus a week. Obviously, in Cumbria, two buses a week would get us closer to London services, and that shows the difficulty with using faulty metrics: it is not helping anybody much to have two buses a week. I remember discovering, on my early visits to the Local Government Association here in London, that there was a bus literally every three minutes between Victoria and Westminster, which takes about 10 minutes to walk, if you can walk it. It was a revelation to me. Even 28 miles away, where I live, that is not the case. There are big differences and regional inequalities in those services.

I listened with interest to the powerful speeches earlier on housing, another area of inequalities between our regions, but I fear we would probably be here even later into the night if I started on housing. I shall just say that the Housing First provision we have made in my own area—where we put a roof over the head of someone who is street homeless first, in purpose-built accommodation, and then provide a package of complex-needs support—is making a real difference. That probably cannot be done everywhere, but these things make a difference and start tackling the real inequalities between our areas.

I hope the examples I have used, on the economy, health and education, demonstrate how important it is to be able to effectively measure the progress of levelling up if we are to be able to truly demonstrate its impact. The amendments in this group are key to ensuring that the Bill recognises the importance of the evaluation process, including the independent oversight which has been the subject of previous discussions in our first session on the Bill. I hope we can persuade the Minister—I know she has a lot to think about on the Bill—to reconsider some of those issues. If the Bill is truly to meet the aspirations of its title as a levelling-up Bill, we need to think about how we tackle those regional disparities.

--- Later in debate ---

Moved by

[Baroness Taylor of Stevenage]

39: After Clause 2, insert the following new Clause—
“Reports: local authoritiesA Minister of the Crown must publish guidance for county councils, unitary authorities and combined county authorities to publish annual reports on the delivery of levelling up missions.” Member’s explanatory statement
This means that a Minister of the Crown must publish guidance for county councils, unitary authorities and combined county authorities to publish annual reports on the delivery of levelling up missions.

[Baroness Taylor of Stevenage (Lab)]

My Lords, I am assuming, optimistically, that local government will be a key partner in levelling up; I hope that is the case. It is therefore a bit disappointing that we had so little knowledge among us about the Spatial Data Unit, the deep dive team and the Levelling Up Advisory Council. I hope that we can put that right as we go through the Bill.

In speaking to these amendments, I hope that the wording of Amendment 39 has not caused consternation among my local government colleagues. If it has, they can blame my inexperience in your Lordships’ House for that. It was certainly not intended to represent a burdensome, bureaucratic reporting process; I have had plenty of those in my time as a council leader.

My point in tabling the amendment was to reflect our overall concern that it is currently difficult to determine from the Bill what mechanisms will be introduced to enable the effective monitoring and management of levelling up, either between government departments or by consolidating the actions of local government with what happens in government departments. I have suggested that guidance be published for the exact opposite reason than burdensome bureaucracy: to give local government clarity about how we would contribute to that monitoring mechanism. That is Amendment 39.

My second amendment in this group refers to the perceived gap between the planning framework and the levelling-up missions. If the two do not correlate, we will once again be in a position where what happens in the day-to-day business of local government is in danger of being disconnected from the overall aim of levelling up. For example, the noble Baroness, Lady Fox of Buckley, referred earlier to the critical role that housing delivery can play in levelling up and my noble friend Lady Young spoke about the importance of the environment. Planning can certainly help tackle poverty of environment. The last example refers to the earlier comments from the noble Lord, Lord Lansley, about the ability of planning to provide the framework to drive local economies. These are vital issues for levelling up. My second amendment is a probing one designed to determine both how that will be done and how the link will be made between the National Planning Policy Framework and the levelling-up missions.

Amendment 55 reflects my experience in local government, where there are always additions—they are generally helpful but sometimes are not quite so helpful—at the end of reports on legal, financial and equalities issues, climate change et cetera. The wide-ranging nature of levelling up means that it stretches right across government, and the business of local government is not necessarily an easy fit with government departments. It has been interesting for me since I came to your Lordships’ House to see that adult social care, for example, which is very much part of everyday local government life, does not sit in the local government department in central government but sits with health and social care. I have a big domestic abuse unit in my council in Hertfordshire; that sits very much with the Home Office in central government. There is not always an easy link so part of the mechanism to ensure that the Bill is considered properly as legislation goes through should be that those impact assessments refer specifically to how legislation reflects the aims of the Bill. Of course, in this case, I am thinking specifically of local government legislation as it comes forward.

I beg to move.

[Baroness Pinnock (LD)]

My Lords, the noble Baroness, Lady Taylor of Stevenage, has raised some significant points in her amendments in this group. The first is to include in the Bill the engagement of local authorities in reporting on levelling up in their areas. My noble friend Lord Shipley said in our debate on the previous group how there has been an obsession in government, from Governments across the decades, with ruling England from Westminster and Whitehall down to minute areas of decision-making. Certainly on this side of the House, we believe that local people and their locally and democratically elected representatives are best placed in this context to determine what areas within their council boundaries would best benefit from the levelling-up missions and funding. They would also be able to report on them because they have a depth of understanding and data that would help to make clear what progress has or has not been made.

That is a point well made, as is the point that the National Planning Policy Framework, which is currently in review, will relate to many of the missions in the Bill. Are we going to build new homes that are car-reliant or will we ensure that they can access public transport? Are we going to make them safe places in a safe environment for housing? Is there going to be in the framework allocation of land so that businesses are in appropriate places and are accessible for people who want jobs? All of that means that that is a very important point well made. No doubt it will be pursued at later stages of the Bill.

[Earl Howe (Con)]

My Lords, this group of amendments tabled by the noble Baroness, Lady Taylor of Stevenage, looks at the role of local government and the National Planning Policy Framework in delivering levelling up.

First, Amendment 39 would mean that county councils, unitary authorities and combined county authorities would publish annual reports on the delivery of levelling-up missions. I hardly need to re-emphasise that local authorities and local leaders have a crucial role to play in levelling up places across the UK. Empowering local leaders, including through agreeing devolution deals and simplifying the funding landscape, is a cornerstone of the levelling-up agenda.

This principle of empowerment is absolutely critical. Noble Lords have tended to criticise the Government for any suggestion of the centre telling local authorities what to do; writing this amendment into the Bill might appear to do just that. Having said that, many organisations outside central government, including All-Party Parliamentary Groups, academics, business bodies, think tanks and local organisations, have been debating and scrutinising the levelling-up agenda and how it could be taken forward in particular areas of the country; I have no doubt that they will continue to do so. The provisions on reporting in the Bill will further enable such independent assessment and thinking but requiring local authorities to report in this way, as I think the noble Baroness herself recognised, would surely be disproportionate and unnecessary.

Amendment 55 would mean that a Minister must publish a report on the impacts of this legislation on local government and a strategy to consider how this part of the Bill will impact local authorities through future legislation. The new burdens doctrine, established and maintained by successive Governments, requires all Whitehall departments to justify why new duties, powers, targets and other bureaucratic burdens should be placed on local authorities, as well as how much such policies and initiatives will cost and where the money will come from to pay for them. It is very clear that anything which issues a new expectation on the sector should be assessed for new burdens. As the Government develop new policies to deliver against their levelling-up missions, they will fully assess the impact on local authorities and properly fund the net additional cost of all new burdens placed on them. Therefore, this provision already ensures that the Government must properly consider the impact of their policies, legislation and programmes on local government and fully fund any new burdens arising.

Amendment 54 would mean that a Minister must publish draft legislation for ensuring that the National Planning Policy Framework has regard to the levelling-up missions. Although it would not be appropriate to legislate to embed the levelling-up missions in planning policy, the levelling-up missions are nevertheless government policy. Planning policy to achieve these will be a relevant consideration when developing local plans and determining planning applications.

The department is currently consulting on updating the National Planning Policy Framework. The consultation document was published in December 2022 and the consultation is due to close in March 2023. It sets out a number of areas where changes to national planning policy might be made to reflect the ambitious agenda set out in the levelling up White Paper, and invites ideas for planning policies which respondents think could be included in a new framework to help achieve the 12 levelling-up missions in the levelling up White Paper. The department will respond to this consultation by the spring of 2023 so that policy changes can take effect as soon as possible.

In summary, I suggest that these amendments, though well intended, are unnecessary. I hope that the noble Baroness will feel able to withdraw her Amendment 39 and not move Amendments 54 and 55.

[Baroness Taylor of Stevenage (Lab)]

My Lords, I am very grateful to the noble Earl for his thoughtful response. On the first amendment, Amendment 39, I explained that I thought that perhaps the wording was a little confusing. I did not intend to impose a burdensome doctrine on my colleagues in local government; I do not think that they would have forgiven me if I had done that—I want to walk out of here unscathed. I think that is really important. However, it is important that local government understands what its role is going to be in measuring and monitoring the success or otherwise of the levelling-up missions. I will withdraw my amendment, but I hope that Ministers will consider how local government is going to take part in that essential exercise of determining whether the levelling-up missions have been successful and, just as government departments are going to have to pull that together, how local government will be required to do so.

In relation to the second amendment, Amendment 54, I understand that the National Planning Policy Framework is being revised at the moment. I hope that it will be revised with the levelling-up missions embedded in it, because that will help clarify matters for local government. When we get legislation coming forward without the documents to support it, it is difficult to say whether that is going to happen. I hope we will get the opportunity to have good scrutiny of the National Planning Policy Framework when it comes forward so that we can make our decision at the time about whether it actually works in terms of having a countrywide set of levelling-up missions.

On the last of my amendments, Amendment 55, it is always good to hear that financial aspects are being taken into account. I understand all about the new burdens funding—which, I have to say, sometimes works and sometimes does not in practice—but that was not exactly the point that I was making. I was referring to how local government contributes to those missions. We have the Levelling Up Advisory Council, which I presume is going to draw together the work of different departments and how they contribute. My point was about how we make that assessment as legislation is issued and how that legislation contributes to the missions. If this is to be the biggest change we are going to have across local government, then surely it is important that any legislation coming forward talks about the contribution that it is going to make. Of course, it will need funding, and I would welcome new burdens funding for new challenges that it brings with it, but we also need to understand how it works in terms of new legislation that will come forward. I am grateful to the noble Earl for his response.

Amendment 39 withdrawn.

Levelling-up and Regeneration Bill

Baroness Taylor of Stevenage Excerpts

Committee stage
Monday 20th February 2023 Lords Chamber

[Baroness Taylor of Stevenage (Lab)]

My Lords, I draw attention to my interests as a serving councillor on Stevenage Borough Council and Hertfordshire County Council, and as a vice-president of the District Councils’ Network.

At Second Reading, I said that to some extent the Bill fails to meet the aspirations of the White Paper, but even the White Paper has significant omissions in that some of the key challenges which impact on opportunity and aspiration in this country are missing. This cannot be a levelling-up Bill without them, and this group of amendments seeks to address that.

In his contribution, the noble Lord, Lord Stunell, said that the missions were not in the Conservative manifesto, so we cannot absolve the Government from parliamentary scrutiny of those missions. However, neither can that proscribe Parliament from consideration of missions that were not there at all, or prevent those missions being added.

I thank my noble friend Lady Lister of Burtersett for her fantastic speech and amendment on child poverty, along with the right reverend Prelate the Bishop of Durham, and I thank the right reverend Prelate the Bishop of Gloucester for delivering another powerful speech on that issue. I also thank the noble Baronesses, Lady D’Souza and Lady Stroud, for supporting the amendment.

My noble friend Lady Lister referred to an issue raised at Second Reading—that it was the Government’s stated intent that the Bill address child poverty, and yet it is not explicit in the missions. The powerful intervention of the noble Lord, Lord Bird, addressed, among other things, the contribution that social housing can make to tackling poverty. I completely agree, having grown up in a council house myself and seen how good-quality social housing benefited the people around me. That is very powerful. There is also no excuse for not including child poverty in the missions.

The right reverend Prelate the Bishop of Gloucester spoke about the difficulties in education when you are facing poverty. When I was growing up, providing things as straightforward as school uniform, ingredients for cooking lessons and sports equipment were all great worries for children growing up in poverty.

The statistics are startling, and my noble friend Lady Lister quoted some of them. Some 27% of children—that is, eight in every classroom of 30—live in poverty, and of course the figure is far worse in some areas. In part of the county council division I represent in Hertfordshire—one of the wealthier areas of the UK, let us remember—one in three children lives in poverty. I have seen at first hand the impact on those children’s life opportunities in terms of educational attainment, health, mental health, economic capacity and every aspect of well-being: cultural, physical, social and academic. To imagine that levelling up can happen at all without a real focus on child poverty dooms the whole endeavour to failure.

For those of us who witnessed the huge impact of Sure Start and the comprehensive strategy of investment in children between 1998 and 2010, as a result of which, the number of children living in poverty fell by 600,000, it was dreadfully disappointing to see that project abandoned and the figures start to rise again. This situation has been exacerbated by the further inequalities that Covid inflicted on deprived communities. The Bill has the potential to start the serious work of tackling child poverty again. Let us not miss the opportunity, simply by not including child poverty as a serious and specific mission. My noble friend Lady Lister rightly asked why it was not in the White Paper or the Bill, and the noble Lord, Lord Young, proposed a solution. There may be other ways of doing it, and I hope that the Minister has taken account of what she has heard in the Chamber this afternoon.

I am grateful to the noble Lord, Lord Holmes of Richmond, for his advocacy for our disability community—I am sorry he could not be in his place this afternoon. As he says, this should be considered through every policy aspect of the Bill. Despite successive Acts of Parliament attempting to drive equalities forward in this respect, one has to spend only a very short period in the company of anyone with a disability to see just how far we still have to go. Access to transport, public buildings, education and the workplace, and the ability to participate in the political process, simply must get better if we are to see real levelling up. These are spatial issues, planning issues, and I hope we will see some progress as a result of the Bill.

I am grateful to my noble friend Lady Hayman for tabling the amendment on increasing cultural infrastructure across the UK. Unfortunately, due to the vicious cuts in local government funding in recent years, we have seen local cultural assets closed or mothballed across the country just at a time when creativity, innovation and celebration of local heritage could be creating jobs, developing skills, supporting mental well-being, giving educational opportunities and underpinning social cohesion and collaboration. In an excellent report from the Local Government Association, Cornerstones of Culture, the noble Baroness, Lady Young of Hornsey, chair of the Commission on Culture and Local Government, sets out the incredible opportunities that supporting the development of cultural infrastructure can deliver in terms of levelling up. As a resident of Hertfordshire, which is rapidly becoming the Hollywood of Europe, with film, TV and creative studios driving our economy—there is always a commercial in my speeches—and creating huge opportunities for our county, in particular its young people, I can say that the benefits this cultural intervention could bring across the UK are clear to see.

We have amendments from the noble Lord, Lord Stunell, and the noble Baroness, Lady Parminter, on meeting net zero, which are very welcome. There was a huge discussion on this on Second Reading, and it was notable just how many noble Lords said that without a specific mission to drive the target of reaching net zero across our nations and regions and across all policy areas, the Bill would be significantly deficient and miss a valuable opportunity. It is difficult to understand why amendments tabled the other place that attempted to strengthen the Bill in this respect were not adopted. As far as I am concerned, the situation is quite simple: either the Government mean what they say on net zero and climate change mitigation, in which case, make it the subject of a specific mission, or they do not. The consequences of the latter are enormous and unthinkable. It absolutely must be a target of devolution that every place in the UK fulfil its role in delivering net zero, and that progress be monitored.

The noble Lord, Lord Stunell, pointed out that achieving net zero is most challenging in the areas most in need of levelling up. The south-east is improving in this regard while the north-east is continuing to decline. At COP 27 the Prime Minister made a commitment to honouring promises on climate finance. That must apply equally across our nations and regions, as it does to external funding support. Yet, at the moment we do not even have a commitment to financing, for example, the decarbonisation of public housing. I urge the Minister to take seriously the strongly held concerns of noble Lords across this House about leaving out net zero as a specific mission of this levelling-up Bill. I will be particularly interested to hear the Minister’s thoughts on how green jobs, new biodiversity targets and environmental planning challenges each relate to the levelling-up agenda, and how the Bill can be improved by incorporating these.

I thank the noble Baroness, Lady Willis, for her powerful speech on a healthy environment and for pointing out that access to green space is definitely an equalities and levelling-up issue. The link to health and mental health outcomes is clear from all the evidence the noble Baroness cited and that we see elsewhere. Can the Minister say why this cannot be dealt with in the planning frameworks? I was lucky enough to grow up in a new town, where green space such as parks was planned from the very start. It comes under increasing pressure as the cramming of urban areas is seen as a way of solving the housing crisis. That cannot be right, and we need to have a careful look at this from a planning point of view.

We have a group of amendments here that are intended to address serious omissions from the Bill and include missions that will make a significant and important contribution to the levelling-up agenda. I hope that the powerful words of the noble Lords who have contributed to this debate will receive a receptive hearing from both the Minister and the Secretary of State.

[Baroness Scott of Bybrook (Con)]

My Lords, this group of amendments includes those related to new missions and metrics. The missions contained in the levelling-up White Paper are the products of extensive analysis and engagement; this analysis is set out in the White Paper. As I have made clear already, the Bill is designed to establish the framework for missions, not the content of missions themselves. The framework provides ample opportunity to scrutinise the substance of those missions against a range of government policies.

I start by addressing Amendments 4 and 9, tabled by the noble Baronesses, Lady Lister of Burtersett and Lady Hayman of Ullock, which would require the levelling-up missions to include a mission on child poverty. Let me say that everybody in this Government accepts that child poverty is an issue that needs continually to be kept an eye on, managed and acted upon. However, the way we deal with it is perhaps the issue that we need to discuss. We believe that the best and most sustainable way of tackling child poverty is to ensure parents have opportunities to move and progress in the workplace. Setting targets can drive action that focuses primarily on moving the incomes of those just in poverty to above a somewhat arbitrary poverty line, while doing nothing to help those on the very lowest incomes or to improve children’s future prospects. We therefore have no plans to reintroduce an approach to tackling child poverty that focuses primarily on income-based targets. Ministers and officials engage extensively across government to ensure a co-ordinated approach to tackling poverty, and we will continue to do so in the future.

Moving into work is the best way to improve lives. In 2019-2020, children in workless households were over six times more likely to be in absolute poverty than those in households where all adults were in work. Since 2010, there are nearly 1 million fewer workless households; under the Conservatives, 1.7 million more children are living in a home where at least one person is working. However, that is not to be complacent. The issue for me—the noble Lord, Lord Best, brought it up—is good housing, good education, good skills and good jobs. All these things are covered by the missions, and they do not need to be one separate mission.

While I am talking about living standards, my noble friend Lord Young asked about the definition of living standards. The Bill seeks to raise the living standards of people in work and people who are able to work, or whom we can get into work:

“By 2030, pay, employment and productivity will have risen in every area of the UK,”


getting those who are not already in work into work. That is the definition in the White Paper.

The levelling-up White Paper highlights the challenges faced by children from disadvantaged backgrounds, and how these vary between and within places. It takes a systematic approach, through the missions, to address a number of factors which we believe contribute to child poverty. The levelling-up mission on living standards commits to increasing pay and employment in every area of the UK, which would in turn help to reduce child poverty. We are also committed in the White Paper to investing an extra £200 million to expand the Supporting Families programme in England, which will help to improve the life outcomes and resilience of vulnerable children and their families. Additionally, over £300 million in funding for family hubs and Start for Life has been allocated to 55 high-deprivation local authorities, supporting a focus on perinatal mental health and parent-infant relationships, infant feeding and parenting support. These are very important at the beginning of a child’s life, as we heard again from the noble Lord, Lord Bird.

Leasehold Charges

Baroness Taylor of Stevenage Excerpts

Monday 20th February 2023 Lords Chamber

[Lord Kennedy of Southwark]

To ask His Majesty’s Government what plans they have to ensure managing agents and freeholders (1) are more transparent with leaseholders on the makeup of the charges they levy, and (2) ring fence the money raised by such charges.

[Baroness Taylor of Stevenage (Lab)]

My Lords, on behalf of my noble friend Lord Kennedy of Southwark, and with his permission, I beg leave to ask the Question standing in his name on the Order Paper and draw the attention of the House to his relevant interest as a leaseholder.

[The Parliamentary Under-Secretary of State, Department for Levelling Up, Housing & Communities (Baroness Scott of Bybrook) (Con)]

Service charges must be reasonable and where costs relate to work or services, they must be of a reasonable standard. Such moneys must be held in trust unless specifically exempt and used for their intended purposes. We are committed to ensuring that residents have more information on what their costs pay for, and this will help them more effectively to challenge their landlord if they consider their fees to be unreasonable. We will bring further reforms later in this Parliament.

[Baroness Taylor of Stevenage (Lab)]

My Lords, there seems to be some confusion regarding statements made in the other place and in the media by the Secretary of State, the Member for Surrey Heath. In the other place, he talks of the reform of leasehold as a tenure of housing, yet in the media he talks about the abolition of leasehold tenure. Can the Minister tell the House which it is: reform or abolition? It cannot be both. Leaseholders deserve absolute clarity on the intentions of government.

[Baroness Scott of Bybrook (Con)]

The Government would absolutely agree with that. My right honourable friend the Secretary of State set out in the Commons his intention to bring the outdated and feudal leasehold system to an end.

Building Safety

Baroness Taylor of Stevenage Excerpts

Thursday 2nd February 2023 Lords Chamber

[Baroness Taylor of Stevenage (Lab)]

My Lords, I know it is late, but I crave just one minute before I speak to the Statement specifically, given its topic. It was 18 years ago today that, in the only tower block fire we have ever had in Stevenage, two wonderful firefighters—Michael Miller and Jeff Wornham—were killed. I just wanted to remember them and send my thoughts and prayers to the families, friends and colleagues of those two heroes. I thank noble Lords for allowing me to do that.

I am sure that, across your Lordships’ House, we recognise that this Statement is a welcome, if belated, step in the right direction towards tackling the shocking failures in building safety standards that have led to the most appalling scandal, which has now dragged on for over five years. I pay tribute to the bravery and tenacity of the campaigning Grenfell survivors and the building safety campaign groups and individuals across the country that have worked tirelessly to bring the seriousness of the issues involved here to the attention of government and the public. I also pay tribute to Members of both Houses who have been their champions.

While it was refreshing, certainly in the light of current events, to hear the Secretary of State say categorically in the other place that

“I do believe this Government should have acted earlier to learn the lessons of the past”—[Official Report, Commons, 30/1/23; col. 52.]

even I can agree with him on that—the delays cannot have been helped by the revolving door which has seen no less than seven Secretaries of State responsible for local government in five years. He has even had two goes at it himself. The fact is that in five years we have seen people left in the most dreadful limbo on this issue. The stress, fear and harm that they have lived with on a daily basis is incalculable: not able to sleep for fear that their buildings are not safe; living in fear of the exorbitant costs of mediation measures; and not able to sell their properties or move away. For some, this has impacted on their physical and mental health. In the most serious cases, leaseholders have faced bankruptcy, their dreams of owning their home transformed into the stuff of nightmares.

When this Statement was given in the other place, it was notable just how many of those who spoke referred to specific examples in their own constituencies: so many stories of distress and despair, like that of Sophie in my home town. Sophie, having bought what was described as a luxury flat for £230,000, soon discovered that the remediation costs for her failing building were to cost her £210,000. This development, a refurbishment carried out under the permitted development regime, and after the deregulation and privatisation of the building control regime, did not meet basic fire safety standards. A waking watch had to be employed, at huge cost to Sophie and the other leaseholders.

Sophie set up a group called Herts Cladiators to campaign on this issue, and indeed presented her very clear evidence to the Select Committee in February last year. Her campaign has consumed years of her life; she powerfully describes the financial impact on those affected. She says that every penny they earn is spent on pre-mediation such as insurance premiums, waking watches and intrusive surveys. Sophie asked the Select Committee how the proposed measures would help in cases such as hers, where the developer has transferred assets and is now dissolved, parent companies have no assets and the building contractor has ceased trading. She was advised that litigation on the building control company would likely be unsuccessful, the structural warranty provider has gone bust and there is no way of tracing the manufacturer of insulation used because the developer ceased trading and the freehold has changed hands several times. Perhaps the Minister can answer Sophie’s questions, because it is difficult to see anything in the Statement which addresses them.

I am sure that so many of us will have heard stories like Sophie’s. I hope that the Statement that we are receiving today will give some comfort that she and other campaigners are at least being listened to. While it is a step in the right direction, it leaves so many more questions still to be answered. Perhaps the Minister can help.

There are questions of timing and accountability. If developers are to sign up for remediation costs, how quickly will the work be carried out? In spite of so many promises over the last five years, millions of people are still living in buildings with dangerous cladding, and only 7% of flats at risk of fire have been fixed. Will a date be set by which remediation works must be completed?

Is the contract with builders and developers sufficiently robust to ensure that it covers all the work necessary, and how do we ensure that it does not restrict the liability of housebuilders? How will the manufacturers of faulty products that have led to so many of these safety issues be held to account? When and how will the insurance sector be required to take its fair share of responsibility? Are those who knowingly built in ways that would endanger safety to be brought to justice? If the Secretary of State is recognising that permitted development and the deregulation of the building control regime played their part in this scandal, will a full and thorough review of those aspects be carried out?

The Statement refers to support for private leaseholders. Will the Secretary of State give consideration to social housing providers who have been affected by similar issues? This whole issue serves to highlight once again the absolute chaos in our housing market that has been caused by poor practice and dodgy dealing in the leasehold market—the subject of a long and powerful campaign by my noble friends Lady Kennedy of Cradley and Lord Kennedy of Southwark. I note that the Secretary of State pledged in the other place to remove this anachronistic form of tenure once and for all in the King’s Speech. If the Minister has further information on how and when this will be done, we would certainly welcome that on our side of the Chamber. Surely, the Levelling-up and Regeneration Bill could be used to get some reform of this sector on the statute book now, rather than waiting until the next King’s Speech. After all, there can be no levelling up with the housing market in the crisis it currently endures.

We are five and a half years on from the tragedy of Grenfell. That the resolution of these issues has taken so long and left so many trapped in dangerous buildings is an absolute scandal. It is time for the warm words to stop and the action to start.

[Baroness Brinton (LD)]

My Lords, the noble Baroness, Lady Taylor, rightly reminded us of the 18th anniversary of the Stevenage tower block fire and the tragic deaths of two firefighters. From these Benches we too send our condolences to their families and co-workers. I declare my interest as a vice-president of the All-Party Group on Fire Safety and Rescue.

There is much to be positive about and to welcome in this Statement, but it has taken far too long. It is nearly six years since the terrible tragedy of the Grenfell Tower fire that cost 72 lives, among whom 40% of the disabled residents lost their lives. In that time, many thousands of leaseholders in high-rise blocks have had their lives completely on hold. Their insurance and service charges are skyrocketing, they are not able to move or sell and they are for ever living in fear of fire. So we welcome the elements of the Statement that are a step forward, in forcing the costs of remediation on to developers and building companies, with serious penalties for failure to do so—by removing the right to build. However, there are still big gaps in ensuring that all those blameless leaseholders and tenants are protected from the undue risk of fire and being penalised by freeholders and property agents.

Blocks that are under 11 metres tall are specifically excluded in the Building Safety Act. It was wrong to do so then, and it is wrong to do so now. The argument that the risk is smaller as the blocks are lower is valid except when you factor in the speed at which combustible cladding fires spread. I urge the Minister to continue talking to such leaseholders, to listen to their stories and then to help them. There is a further problem with blocks under 11 metres if there is only one staircase for people to escape down. That is a significant problem and will always impact on safe egress.

It is good to see some action being taken on skyrocketing service charges and insurance. More transparency on invoices is positive, but that fails to stop the charges being excessive. What do the Government plan to do about other egregious behaviour by letting agents? I know of one case in my area in which a tenant who has been without a shower for a year has been told that if she pushes it any further, she will receive an eviction notice. That behaviour is also absolutely unacceptable —it is from the letting agent and she cannot get hold of her landlord, even though she is entitled to under the law.

Some blocks are still paying for waking watch services, when there is a very high charge for a very limited and ineffective service. In fact, there was a fire before Christmas in a block of flats where there was a waking watch, but of course the waking watch was in the wrong place when the fire was discovered. There has been inadequate public funding to support social housing providers unwillingly caught up in this disaster whose ability to spend capital moneys is very curtailed. Where is the funding to help pay for the remediation that is needed?

My final issue relates to disabled residents. During the debate on the Statement in the other place on Monday, two MPs, Florence Eshalomi and Mike Amesbury, asked about PEEPs. I declare my interest as a disabled person. I have been caught in a hotel above floor 5 when a fire alarm went off. It is pretty scary if you are not quite sure what the arrangements are. Even if there is a PEEP, will people turn up? The Secretary of State said in reply to Florence Eshalomi:

“Critically, one recommendation from the inquiry—the need for personal emergency evacuation plans—is one that the Government have not yet met. I have been working with my colleagues in the Home Office to make sure that we do”.


In reply to Mike Amesbury, he said that the Home Office was

“working hard and I hope to update the House shortly”.—[Official Report, Commons, 30/1/23; cols. 56-57.]

On Wednesday, the All-Party Parliamentary Fire Safety and Rescue Group heard from Lee Rowley, who explained that the Government are thinking of giving the Home Office the lead on this. The APPG is very clear that these issues and those about fire safety in education are cross-department. At the moment, it feels to us in the all-party group that every time there is an issue it is passed from one department to the other and then to the other. We urge the Government to have one Minister in overall charge of fire safety, who will undertake to work with any other Ministers who also have responsibility for fire safety.

I know that the Home Office is currently consulting on PEEPs, but the consultation is on an extremely watered-down version presented after we had finished on the Building Safety Bill. That means that it has not been as well discussed, and it was certainly not discussed with me and the noble Baroness, Lady Grey-Thompson. We had both tabled amendments for a stronger version of PEEPs to be introduced. Can the Minister say whether only the watered-down version is being considered, or will the responses from disabled groups about the dangers of a watered-down version be listened to?

Local Councils: 2023-24 Budgets

Baroness Taylor of Stevenage Excerpts

Wednesday 25th January 2023 Lords Chamber

Asked by

[Baroness Taylor of Stevenage]

To ask His Majesty’s Government, given the impact of current levels of inflation on budget planning for local councils for 2023–24, what support they are providing to councils in setting balanced budgets and ensuring that local services are delivered.

[The Parliamentary Under-Secretary of State, Department for Levelling Up, Housing & Communities (Baroness Scott of Bybrook) (Con)]

We recognise that councils are facing pressures, which is why, taking 2023 and 2024 together, we have increased the funding available to local government in England in real terms. The provisional local government finance settlement for 2023-24 makes available up to £59.5 billion for local government in England—an increase of up to £5 billion, or 9%, in cash terms on 2022-23—and includes a £2 billion additional grant fund for social care. We consulted on these proposals until 16 January, and will consider the responses prior to publishing the final settlement in early February.

[Baroness Taylor of Stevenage (Lab)]

My Lords, I thank the Minister for her Answer. Those standing as councillors do not do so to cut services for their residents. The Local Government Association estimates a gap in funding of £3.2 billion this year, rising to £5.2 billion next year. Across the country, local councillors are taking awful decisions on closing libraries, swimming pools, children’s centres, domestic abuse services, nurseries, transport services for disabled children and more. Even Tory Hertfordshire says that it has exhausted all options for service cuts. Do His Majesty’s Government recognise that cutting local services puts pressure on other public services? Why has the fair funding review for local government ground to a halt?

[Baroness Scott of Bybrook (Con)]

My Lords, as I said, we recognise that councils are facing pressures but the 9% announced in the Autumn Statement is, in real terms, an increase in funding. Local government is having to meet pressures in the same way as every resident in this country is under pressure. As I said in answer to a question yesterday, we will look further at funding issues for local government in future—probably not in this Parliament but in the next.

Levelling-up and Regeneration Bill

Baroness Taylor of Stevenage Excerpts

2nd reading
Tuesday 17th January 2023 Lords Chamber

[Baroness Taylor of Stevenage (Lab)]

My Lords, first, I thank the Minister for the meeting she kindly arranged last week to enable questions on the Bill in advance of it coming before this House.

When I was growing up in the Sixties, we would occasionally speculate with our pocket money on something called a Jamboree Bag, I am sure that noble Lords are far too young to remember this piece of sweet shop nostalgia, but I say “speculate” because these bags offered far more in hope than they did in expectation. They generally contained about six sweets. Two would be sweets you really liked, two would be sweets you absolutely did not like, and the other two would be too stale to eat. They would also have a novelty or toy, which was inevitably disappointing—unless you got the fortune-telling fish we all longed for.

As I started the marathon read of this Bill, I had that same feeling of expectation. I am passionate about local government and the power of localism— I have spent half my life engaging in it—because I genuinely believe that only local solutions will work to solve some of the endemic inequalities our communities face. At the last general election this Government were elected on a promise to address geographical inequalities and regenerate and level up the UK. This Bill has the very noble aim of delivering that, but I am afraid to say that it lacks the ambition needed to address this mammoth challenge.

It is not just that the missions are not detailed in the Bill; it is difficult even to trace the link between them in some of the provisions, so the Bill is in danger of falling far short of expectations. This is exacerbated by weak reporting mechanisms, allowing for a bizarre pick-and-mix system whereby Government departments can choose which missions they will follow. The Bill as proposed allows Ministers to mark their own homework, so it should be accompanied by some sort of independent oversight and a clear role for Parliament to judge whether each department is adhering to its statutory responsibilities. If Ministers are able to revise, amend and delete missions at will, they absolutely must work with local leaders and representatives from across the UK on that.

On the issue of local voices, I want to turn next to the local government and devolution provisions in the Bill. The House will know that the UK today is the most centralised state in Europe. Stevenage, which I proudly call home, has twin towns in both Germany and France, and things are very different there. Ingelheim, on the west bank of the Rhine, is home to a global drugs company and keeps every euro of business rate that it raises. Autun, meanwhile, in the Morvan Forest, an area as protected as our Lake District, was able to build an agricultural conference complex from concept to first event within 18 months. My point is not that these exact policies are necessarily the right ones for the UK, but that we should be far more ambitious and open to ideas when looking to address the imbalance of power in our country. So I welcome the Minister’s accepting that national challenges require place-based solutions, but I feel strongly that Part 2 would better deliver this if accompanied by greater powers and fairer funding, so that leaders can support local recoveries according to the needs of their own areas.

I do want to welcome the implicit recognition that devolution can drive economic, social and environmental development in local areas, but questions remain over whether the specific model of county combined authorities is the right one for every area. Local residents and leaders will always know their own area best and the powers they need to deliver their ambitions, so we will be seeking amendments to allow greater flexibility for our towns, cities and counties to determine their own future.

Despite its omission, I also want to address the barriers to levelling up presented by the Government’s approach to local government finance. As a local government leader for 17 years, I can say from first-hand experience that the drastic savings imposed on local authorities since 2010 mean that their achievements during this time are all the more impressive.

All major projects coming before any council are always subject to detailed analysis of how the outcomes will be measured and monitored, including the environmental, legal and equalities impacts, and especially the financial impact. At a time when even the Conservative Hertfordshire County Council is announcing that it has “exhausted all options” in meeting its budget deficit, I hope the Minister will reflect on how the Government can better enable local councils to level up their areas.

Turning next to the planning provisions, I am sure I am not the first to suggest that the Bill might better be described as a planning and regeneration Bill. Despite the Government recognising the need for planning reform, Part 3 misses many of the proposals in the White Paper and lacks the ambition needed to address the housing emergency. Local communities deserve a greater say in the housing needs of their area, but I am concerned by clauses which seek to override local voices, particularly those involved in the creation of the national development management policies, and that these may take precedence over local development plans and diminish the local voice in favour of the mysterious “office for place”. That is potentially a retrograde step, making planning something done to, not with, a community. We will examine the clauses on street votes too, including seeking clarification on voting systems, consultation and the registration of interests.

I also encourage the Minister to consider new provisions on how housing and planning can deliver on levelling-up missions. In particular, I hope the Minister will consider amendments from this House urgently to tackle the provision of social housing and ensure the right financial instruments exist to empower local authorities and social landlords to deliver. We will seek further amendments to ensure that local businesses benefit from housebuilding and construction in their area by addressing questions over local procurement. As I will discuss in further detail later, we should also consider opportunities to incorporate our net-zero ambitions into planning policy and benefit from the economic opportunities that this can bring.

Serious concerns were raised in the Commons about the infrastructure levy proposals in Part 4—that the levy as proposed will fail to secure as much, let alone more, public gain from developers as the present Section 106 and community infrastructure levy system. I am sure there will be significant scrutiny of this part, and we will seek particular clarification of how the Government’s plans will address developers’ claims that the levy makes schemes unviable. I hope the Minister can also give greater detail on how the levy can contribute to social housing and schemes of mixed tenure.

Parts 6 and 7 broadly relate to the environment. Whether intentional or not, it is regrettable that the Bill does not take further steps to use the planning system to tackle climate change and its impact on the most deprived communities. I will be particularly interested to hear the Minister’s thoughts on how green jobs, new biodiversity targets and environmental planning challenges each relate to the levelling-up agenda. Unfortunately, the Bill does none of this, and we will explore amendments on these points.

I will be taking a particular interest in development corporations and Part 8, given my experience of growing up in a new town under the governance of a development corporation. I welcome the Minister’s commitment to work with the House to ensure that we benefit from lessons learned and are able to strengthen the Bill in this respect.

Determining ownership of land and property can be fraught with difficulty. I am sure the House would agree that local authorities and developers should be able to make better use of brownfield sites for development. However, decontaminating brownfield land too often requires considerable expenditure. Those costs can mean that developing the land is unviable, which then disincentivises developers. Does the Minister believe that Part 9 could help to address this?

The Bill was an ideal opportunity to set out a framework for the regeneration of high streets. While I am pleased that the Government recognise the issue, I am unconvinced that the minimal provision in the Bill for rental auctions and the letting of vacant premises anywhere near tackles the major issues of town centre regeneration set out clearly in the two reviews undertaken by Bill Grimsey. These include looking at the disparity in costs between online and high street retail; creating more workspaces and homes in town centres to drive footfall; ensuring a sound leisure, culture, sport and tourism offer alongside retail to add to dwell time; and incentives for independent businesses. Without looking at these factors, we will never see our high streets thrive.

The Bill before us had enormous potential to genuinely address the structural inequalities of our country. I am greatly encouraged by the interest from this House in ensuring that it meets the challenges facing our towns, cities, counties and villages. We must not let that potential be squandered. Levelling up should be more than a slogan; it must be a cross-governmental strategy. That is why it is essential that the mission statements are embedded in what is proposed in the Bill. The provisions on devolution are a step in the right direction, yet, as the Bill currently stands, they are undermined by the retention and creation of other powers. The emphasis on the future of high streets is welcome, but must be paired with more ambitious action.

Unfortunately, as it stands, the Bill is a wasted opportunity. However, given the interest from all sides of the House in improving it, I have every confidence that, as amended, it will provide much more. I look forward to the debate, particularly the maiden speeches from my noble friend Lady Anderson of Stoke-on-Trent and the noble Lord, Lord Jackson of Peterborough.