(1 day, 19 hours ago)
Lords ChamberMy Lords, it is a pleasure to introduce this important group on pet ownership, which is a subject of real concern and interest to hundreds of thousands of families that live in rented accommodation and desperately want to share their lives with a pet. I will speak to Amendments 118 and 125, which are also supported by my noble friend Lord Lexden and the noble Baroness, Lady Jones, to whom I am very grateful. I am also grateful to my noble friend Lady Coffey for adding her name to Amendment 125. She brings great authority to this debate as a former Defra Secretary of State with a long-standing interest in and commitment to animal welfare.
I also support Amendments 119 and 126, in the name of the noble Baroness, Lady Miller of Chilthorne Domer, to which I have happily added my name. I declare my interest as a patron of International Cat Care. I am very grateful to Battersea Dogs & Cats Home, Cats Protection and other charities in the sector for their support and the excellent briefing they have provided us, as well as to other organisations, such as Mars Petcare, which has shared crucial research on the benefits of pet ownership and does so much for animal welfare.
I will set out the background to these amendments. We are a nation of pet lovers. Around 13.5 million homes in the UK include a dog and 12.5 million—mine included—are graced by a cat. Unfortunately, however, pet ownership is all too often limited to those who own their own home, causing huge anguish to the millions of families that rent but also want to share their lives with a pet. In 2024, Cats Protection found that over half a million households that would like a cat do not have one because their rental agreements forbid it. Research from Battersea Dogs & Cats Home shows that only 7% of private landlords list their property as pet friendly—an incredibly low number when we consider that, according to the same survey, 76% of tenants already own or aspire to own a pet.
Correcting that imbalance is so important for a number of reasons. There is the obvious link between rental restrictions and pet homelessness, with housing issues cited as the second most common reason that pets are relinquished to Battersea. Last year, Cats Protection took in the equivalent of three cats each day due to landlords not allowing them in their properties—part of a wider crisis of pets having to be given up. At Second Reading, I told the story of Zeke, a cat that arrived in Battersea just 24 hours before his first birthday after his owners faced the heartbreaking choice between finding an alternate rental property or giving him up to a shelter. His story is far from unique: across the UK, thousands of animals urgently need loving homes, yet countless responsible would-be pet owners in the private rental sector are being unfairly prevented from adopting or finding suitable housing due to overly restrictive tenancy agreements.
It is not just our pets that suffer as a result; public health is impacted too. Research conducted by Mars Petcare has found that pet ownership saves the NHS approximately £2.5 billion per year, with pet owners making 15% fewer visits to a doctor. The physical benefits of taking a dog for a walk or a run every day are obvious, but those of us who own pets know it is the mental health and well-being aspects that have the greatest impact. Pets provide people with companionship and loyalty—particularly for those who live alone—help them to meet new people, add structure to their day and offer unconditional love and support. Children also benefit from understanding the responsibilities of caring for a dog or cat and learning how to interact safely with animals. Pet ownership is also often an indicator of a responsible and reliable tenant, which is very relevant to this debate. Research from Battersea showed that three-quarters of landlords surveyed did not observe any discernible increase in wear and tear to their property due to pets.
For all these reasons, I am delighted that the Government are committed to encouraging responsible pet ownership across the private rented sector and I strongly support the ambition of this section of the Bill: providing tenants with the right to request a pet—a request that cannot be unreasonably refused by a landlord. My probing amendments today seek simply to tighten up certain aspects of legislation to guarantee that the pet provisions in the Bill are as effective as possible and that the laudable ambition and clear intention of this legislation is fully realised.
But we are not quite there yet. As it stands, I fear that there are loopholes in the Bill and that landlords will have too much room to deny most requests, risking a serious and unnecessary burden on tenants, the ombudsman and, ultimately, the courts. The amendments I have tabled will provide certainty for tenants and clarity for landlords, and will ensure that the Bill is not a missed opportunity to unlock thousands of homes for pet owners across the country.
I understand the issue and I will respond in due course.
My Lords, I am very grateful to all who have taken part in this debate. I always knew it would be an interesting debate, and so it has proved. I did not know until we had the appearance of Wilberforce the snake that it would be quite so wide-ranging, but that has certainly been the case.
One of the interesting things about this debate is that normally in Committee there is some disagreement with what the Government are trying to do. There has not really been any disagreement today with what the Government are seeking to do here; we are just seeking to make their noble intentions as effective as possible. I am very pleased the Minister responded constructively and positively.
As my noble friend Lord Lexden said, opaque law can never be satisfactory law. The speeches from the noble Baronesses, Lady Miller and Lady Grender, the noble Lords, Lord Howard of Rising and Lord de Clifford, and others have underlined that there are too many uncertainties as things stand. In that most precious of relationships between a human and a pet, there needs to be certainty. This debate has brought that out.
My anxiety is that some of the amendments, including those from the noble Earl, Lord Caithness, and the noble Lord, Lord Howard of Rising, seek to import more loopholes into the Bill and to give landlords greater powers of veto. I am disappointed that my noble friend Lady Scott of Bybrook has fallen into that trap as well.
I thank the Minister for her comments, which were very constructive and positive. She spoke a number of times about guidance, including on consent and withdrawal of consent. I am not a lawyer and I do not pretend to understand the intricacies of the contractual obligation she talked about, but I am pleased to hear that they will be spelled out in accompanying guidance. Would she be prepared to talk to the animal charities involved in this sector about the drafts of that guidance and, similarly, about the guidance on the refusal of consent? Those will clearly be very important documents and those with day-to-day practical experience of the problems that arise in this area would be very good people to consult.
We will all be grateful to the Minister for saying, on the issue of superior landlords, that she will look at the quantum of data. Perhaps she could do that before we reach Report and let the noble Baroness, Lady Miller, have it so we can discuss whether there is any need for further amendments.
Finally, the amendment from the noble Earl, Lord Kinnoull, has strong support from all sides of the House, and he is absolutely right to bring it forward. The right to own a pet should be universal and not in any way dependent on the type of property someone lives in. I am very grateful to the Minister for saying that she will look further at this and give it consideration before Report. On that note, I beg leave to withdraw my amendment.
My Lords, when the Renters (Reform) Bill was originally proposed, Battersea asked landlords what policies or incentives would make them more likely to consider offering pet-friendly properties—that is an important point to bear in mind—and out of all the different policies and incentives, the two most popular were requiring tenants to hold insurance to cover any damage, or changing the Tenant Fees Act to allow the landlord to charge for a deep clean and fumigation at the end of the tenancy. I acknowledge that there are concerns regarding availability of insurance to cover pet damage in line with the requirements currently set out in the Bill. However, having talked to those with expertise in the sector, I believe the insurance market will adapt to new legislation, as it has in the past with cyberinsurance under the Data Protection Act 2018 and professional indemnity insurance for cladding remediation under the Building Safety Act 2022. I think there is already evidence of insurers responding to market demand, with the letting insurance providers Paymentshield and Addept Insurance updating their tenants’ content policies to include pet damage cover. I am aware of other providers that are in the process of—
One of the things I read was that Paymentshield is offering accidental damage only; I read out the definition of accidental damage and that is not really any cover at all. I am sorry; I do not know whether the noble Lord was talking to insurance underwriters or brokers, but I can tell him that the underwriting community in the insurance world is absolutely solid on this.
My Lords, my general point was that I believe the market would adapt in time, because that is the purpose of legislation—to push that market on. I know there are other insurers that are looking at pet damage insurance products to bring to the marketplace. We will have to see if it happens, but I very much hope that it would. I understand the fears from landlords that pets may damage their properties, but I also do not believe that pet deposits are the solution to this area, because they are unevenly applied and unaffordable to many.
Finally, I just want to make the general point that research has shown that fears around pet damage are often largely unfounded. Again, research that was commissioned by Battersea with the University of Huddersfield showed that more than three out of four landlords did not encounter any damage caused by pets in their rental properties. So there is very low risk, and, alongside evidence showing that pet owners tend to stay longer in their properties, this demonstrates that renting to pet owners can be financially beneficial to landlords in the long run.
I put to the noble Lord this point about the Italian torpedo. I hope he will accept that there is currently no reasonable insurance solution available for a tenant—there is none. So, if a landlord says, “I need you to go out and buy a tenants’ insurance policy”, thinking, sneakily, that as one does not exist, the tenant will look forever and will never be allowed a pet, would that be an acceptable solution for the noble Lord?
I go back to the point that the market may not exist at the moment but the legislation is designed to push this market along. I very much hope that by the time the Bill becomes law, that market will have adapted.
But if the market does not come into being—I made the point about insurance not being available for inevitabilities—we will have created through the Bill a route for landlords to quite simply prevent tenants having pets.
That is probably a bridge we ought to cross when we come to it.
My Lords, the noble Lord, Lord Black, quoted from the University of Huddersfield’s excellent research, The Financial Impact of Pet Ownership in Rental Properties, which I have read in detail. One of the most surprising things is that there is more non-pet-related damage to properties from non-pet owners, which averaged at £215, than there is pet-related damage from pet owners. But perhaps the more relevant thing to this particular debate is that when there was damage: the tenant’s deposit fully covered the cost 38% of the time; the repair costs exceeded the deposit and the tenant covered the additional costs 18% of the time; and the repair costs exceeded the deposit and were covered by insurance 13% of the time—which is surprising given what the noble Earl, Lord Kinnoull, told us. So, more than 60% of the time, there was no problem at all. Only in a very small percentage of the time did the landlord find themselves out of pocket. The overall findings from this study were that it is a much-exaggerated fear rather than an actual problem.
(1 month, 2 weeks ago)
Lords ChamberMy Lords, Amendment 25 has the support of my noble friend Lord Black of Brentwood. We are both profoundly conscious of the importance of the contribution the independent sector of education makes to providing for children with special educational needs and disabilities. I hope the Government also recognise this important contribution and will join us today in paying tribute to it.
One-fifth of pupils in independent schools receive SEND support—a significantly higher proportion than in the state sector. The small schools, which are so numerous in the independent sector of education, are ideal places for such pupils. They thrive under the careful, compassionate supervision of their dedicated teachers and the staff who support them. Many of these schools, cherished by pupils and parents alike, are members of the Independent Schools Association, of which I am president, giving me an interest, which I declare.
The continued success of these schools needs to be safeguarded at a time when SEND provision in the state sector is in crisis—a crisis which will not be relieved for some time through the plans for significant improvement that the Government are quite rightly making. Everyone hopes that the Government’s plans will eventually succeed, but arrangements are needed of the kind for which this amendment provides.
Amendment 25 would help safeguard the future of independent schools that specialise in SEND provision, which are so badly needed in our country today. Under this amendment, an independent school that has 50% or more pupils with a registered SEND need would retain its charitable rate relief. The Government say that such relief must be confined to schools with some 50% of pupils with education, health and care plans. That is the wrong dividing line. There are nearly 100,000 pupils with a registered SEND need in independent schools whose parents do not want or, in many cases, have been unable to get an EHCP, which is notoriously difficult to acquire, since a long and often expensive obstacle course awaits those who apply for it.
In Committee, the Minister was at pains to stress that the majority of children with special educational needs have those needs met in state schools. Of course that is so, but it is wrong to neglect or diminish the crucial extent to which independent schools supplement the state’s provision, working in the spirit of partnership which is the predominant characteristic of the independent education sector today.
Without this amendment, invaluable SEND schools can be expected to find themselves in grave difficulty or will be forced to close. I beg to move.
My Lords, I will speak to Amendment 26, in the name of my noble friend Lady Barran, to which I have added my name. I support all the amendments in this group, especially Amendment 25 from my noble friend Lord Lexden, who put his case so powerfully. It is shameful that the Government refuse to recognise the extraordinary role that independent schools play in the care of those with special educational needs. If, even at this late stage, they do not agree to the modest suggestions put forward by my noble friend, they will stand charged with putting the interests of party dogma ahead of the needs of some of the most vulnerable in our society.
I declare my interest as chairman of governors at Brentwood School, president of the Boarding Schools’ Association and Institute of Boarding, and, for this group, chairman of the Royal College of Music.
When I spoke in Committee on the issue of gifted arts students, I made one simple point: in an economy that is flatlining, the creative economy is one of the few areas of sustained economic growth with unlimited potential to expand even further. It provides hundreds of thousands of jobs, is part of a huge export market and contributes billions in revenue. We should nurture it, not attack it. Music, as well as being a huge British success story in its own right, powers it by supporting so much of its rich tapestry, including film, television, computer games, drama, advertising and so on. In turn, its future depends absolutely on first-class music education in schools, conservatoires and universities, providing a pipeline of talent into the sector. Without that continuing education, and new musicians and new teachers entering the profession, music dies. It is as simple as that: no pipeline, no music.
But music education—where it all starts—is in real crisis. I acknowledge that this began under the last Government, but we have yet to see any signs of change, despite the new Government having been in office nearly 10 months. From primary schools right the way through to the end of full-time education, music remains under threat as never before.
With music education already in such crisis, why on earth would the Government want to make matters even worse by jeopardising the very real achievement of specialist music, dance, choral and drama teaching in independent schools? The amendment from my noble friend reflects the success and importance of the Music and Dance Scheme schools and their unique contribution, and that of our leading choir schools, to artistic life in this country. Nearly 1,500 pupils—the stars of tomorrow—receive means-tested bursary support to attend renowned specialist performing arts schools which are the envy of the world. Their position is already under threat because most parents are now charged VAT on their fee contributions, with only a small number receiving increased funding to offset it. That is bad enough, and we should not pour fuel on the fire.
This amendment is based on a proposition that is very simple for even the most dogmatic of minds to understand. The future of these schools, which are already facing such pressure, and their continuing ability to provide world-class teaching can be made more secure if they are protected from full business rates. The Government say that their entire agenda is focused on growth, yet here we have a policy that is absolutely anti-growth. Even on the number one item on their agenda for this Parliament, their opposition to independent education is so all-consuming that they are prepared to jeopardise it on the altar of ideology. I hope that even now the Government will see the strength of these arguments and accept my noble friend’s amendment.
My Lords, I rise to speak to Amendments 27 and 29 in my name, and I declare my interests in sport as set out in the register. I thank the Minister for his sympathetic response to my amendments in Committee, our subsequent conversation and the clear personal priority that he attaches to sport, particularly for disadvantaged communities, and the way it can bring them hope and opportunity in life.
There was a time when this Chamber had many contributors to any debate that impacted the world of sports policy. One notable absentee, who retired from the House three years ago, is my noble friend Lord Coe, and I am sure that the whole House will want to take this opportunity to wish him well as he seeks election on Thursday to become the first British president of the International Olympic Committee.
I made my case for these amendments in Committee. Both amendments highlight the lifeline received by many of our top sports men and women who have benefited from the sports bursaries and scholarship policies of independent schools. Today I also make the case for the widespread community use of the many outstanding sports facilities of independent schools, the expertise of their coaches, their support staff and the groundsmen and groundswomen who coach and support their pupils and offer their facilities and services to local communities through dual-use campaigns. Amendments 27 and 29 would provide protection for schools where 10% or more of students receive sports scholarships or bursaries and separately would discount all sports facilities from schools’ business rates.
These proposals reflect the commitment of independent schools to spreading opportunities in sport through fee assistance schemes and public benefit partnerships, including sharing facilities and coaching staff. Sporting opportunities are a key focus for some independent schools, and sports awards form part of the £1 billion in fee assistance delivered by independent schools in the last academic year. What is really important is that more than half the money is means tested, ensuring that support is targeted where it is most helpful, yet the imposition of VAT and the increase in the minimum wage and national insurance contributions are now compounded by the proposed imposition of business rates. Schools will inevitably have to cut back to balance their budgets, and the casualties will be the opportunities for sport and recreational activity for many dual-use local community clubs after school hours.
In moving the first of my two amendments, I drew the Committee’s attention to the contribution that independent schools make to elite sport as well. At the Olympic Games in Paris last year, 33% of Team GB’s medallists attended independent schools. At Tokyo in 2021, 40% of Team GB’s medallists attended independent schools. At Rio in 2016, it was 31%. At London 2012, it was 36%. Yet only 7% of our children go to independent schools, so top Olympians and Paralympians are more than four times more likely to have been privately educated than the UK population overall because of the bursary and scholarship policies on offer.
Let me give the specific example of Millfield, which delivered 13 of the 14 Millfield-educated and trained British athletes on Team GB through its means-tested financial support mechanism. The school funded 13 of the 14 Millfield-educated and trained British athletes on Team GB for the Paris Olympic Games, who between them brought home seven Olympic medals and one Paralympic medal: four gold, three silver and one bronze. All received means-tested financial support from the school during their time at Millfield, but how can that continue? Where will the money come from when the Government themselves predict a significant fall in children going to independent schools and urge those independent schools to make major cuts to their budgets? Where will the scholarships and bursaries be paid from?
My Lords, I rise to speak to Amendment 30 in my name and that of the noble Lord, Lord Storey; I also support Amendment 31 in the names of my noble friends Lord Black of Brentwood and Lord Lexden, which seeks to include a review on the effect that this Bill will have across the education sector.
I think it is safe to say that both the noble Lord, Lord Storey, and I do not believe that the long-standing tradition that education should be free from taxation should be broken. Clearly, the Government do not agree with us, and we have seen this with the egregious introduction of VAT on independent school fees and now with the proposed change in this Bill to the exemption from business rates relief for independent schools with charitable status, not to mention the impact of the proposed employer national insurance contribution increases.
As the Minister knows, the majority of independent schools are small and run on tight margins. As he will remember from my speech in Committee, I believe it is a poor precedent for the Government to set to create a two-tier charity system and there has been no answer from the Government about this principle that all charities should be treated equally. This feels like a rather political move and charities, of all organisations, should be free from such moves.
I assume that the noble Lord is going to argue that there has been no sign that pupil numbers are dropping significantly following the introduction of VAT in January and that this Bill will similarly have a limited impact. But I say to the Minister that, first, the point that the principle that education should never be taxed still stands and, secondly, I do not think anyone really expected the impact on independent schools from the imposition of VAT would happen so quickly.
I am sure the noble Lord has received letters from parents, just as I have. They will go to great lengths to avoid disrupting their children’s education and I would be surprised if we see much change before the start of the new school year, and then from a reduced uptake in year 7. Indeed, the latest data from the Independent Schools Council shows a drop of 4.6% in applicants in year 7 and 3.9% in reception—and that was before the imposition of VAT.
I look forward to hearing the insights from other noble Lords and to hearing the Minister’s response, but at this point I am minded to test the opinion of the House.
My Lords, I will speak to Amendment 31 in my name. I am grateful, as always, to my noble friend Lord Lexden for his support. I also strongly support Amendment 30 from my noble friend Lady Barran. I refer noble Lords to my previous declaration of interests.
Let me explain why this amendment is important. Throughout all the debates on independent education that we have had in this House, as indeed they have had in the other place, the Government have shown themselves seemingly impervious to rational argument. Frankly, they have buried their head in the sand, wilfully refused properly to engage with the independent sector and ignored the strength of feeling in this House and the opinion of experts in the field.
The unpalatable truth that they will not acknowledge is that their policies, of which the measures in this Bill are one central strand, simply will not end up benefiting the state sector in any meaningful or visible way. The 6,500 teachers promised are likely to be a fantasy and will end up being just another broken promise. But the policies will end up profoundly impacting the independent sector and the lives of tens of thousands of pupils and their hard-working parents, and that will have far-reaching consequences not just for the schools themselves but in countless other areas.
Heartbreakingly, as we heard in the debate on the previous group, it will impact on the way in which our society cares for vulnerable children, those with special needs and disabilities, and their carers and families. It will impact on local communities that currently benefit from thriving and imaginative partnerships with state schools, on faith communities and on military families. It will impact on gifted children who benefit from bursaries, something that many independent schools are cruelly being forced now to review, and of course it will impact on jobs at independent schools, especially when closures of schools inevitably and tragically happen.
It is crucial that all this is rigorously scrutinised and that Parliament has an opportunity to examine the consequences of the policies contained in the Bill, taken alongside the other tax changes being made on VAT and on national insurance—a combination of measures that the Government’s impact assessment failed to do, as it related only to business rates. That is what we, particularly in this House, are here for: to scrutinise, examine and challenge. But we need a comprehensive assessment of the facts, undertaken by the Government themselves, to be able to do that, and that is what this amendment would deliver. The Independent Schools Council, which does such an exceptional job in championing the sector, and the other associations that form part of it will conduct their own analysis. Ultimately, however, it is the Government who are responsible for the delivery of public policy in these areas and who must be held accountable by Parliament and the electorate.
The Government say that their measures, including those in Clause 5, will raise a certain amount of money to be invested in state education. I doubt it will raise anything like that, but let us see. They say they will be able to recruit additional teachers. I very much doubt it, but let us see. They say there will be no consequences for children with special needs and those in faith schools—let us see. If they are really confident that their policies can deliver what they say without damaging consequences elsewhere, why would they not want to have a review of them to prove the point? What are they fearful of?
Perhaps it is just possible that they might be wrong and will end up undermining and weakening the independent sector, which is the envy of the world, without delivering for the state sector—which means, of course, that they would have to think again. We need answers to that. That is why I believe they must commit to a thorough review of their policies, then Parliament, including our House, can scrutinise it, debate it and make recommendations for change.
My Lords, I agree with both amendments in this group. If you believe in “education, education, education”, you should not tax independent schools in the way that the Government have decided they want to. The Government have argued that taxing independent schools will increase the number of teachers in state schools, but the Government’s own figures show that they reached only 62% of their postgraduate secondary ITT recruitment target in 2024, so there will be pressure to increase the pay of existing teachers rather than to appoint new ones. In any case, most of the extra £1.5 billion estimated to come per year from this clause will go on special educational needs.
I suggest, very much in line with Amendment 25 from the noble Lord, Lord Lexden, that the Government’s priority should be to cut the backlog in assessments for education, health and care plans, rather than taxing parents who want the best for their child with special needs and think it can be delivered only in the independent sector. There is a very basic issue of principle here: the right of a parent to opt out of a state system where they believe their child would benefit from that. When they have paid their share of general taxation and foregone a place in the state system, thus saving the state money, then paid additionally for their child’s schooling, I submit that it is wrong in principle to tax them yet again for that decision to send their child to an independent school.
I have concluded that Clause 5 is a distraction. It will fail to deliver the Government’s ambitions for the state sector, and it is better for our education system as a whole to remove Clause 5.
(2 months, 1 week ago)
Grand CommitteeMy Lords, I will speak briefly to Amendment 54A and the consequential amendments in the name of my noble friend Lord Lexden, to which I have added my name. I declare my interests as chairman of governors at Brentwood School and as president of the Boarding Schools’ Association and the Institute of Boarding. I have just two brief points to add to the comprehensive remarks that my noble friend delivered with his customary eloquence, with which I agree entirely.
First, why do we need a definition in the Bill, given that the 1988 Act, as far as I can tell, does not use the term or make any reference to schools, and talks generically only of charities? If the concern is to make a differentiation between independent schools and academies as state-funded and independent schools, it would surely be much simpler to make clear that the Bill does not apply to academies. The only conclusion you can reach is the one that my noble friend reached: the novel insertion of this definition is simply to shoehorn what I am afraid is party-political dogma into this legislation, and that makes for bad law.
That leads me to my second point. At some point this legislation may well end up in the courts, when the legal definition of independent school, which has been long established in law, as my noble friend said, may become very important. Therefore, there needs to be certainty about definition, which there will not be if independent education is dealt with in different ways in different pieces of legislation. What steps have been taken to ensure that this definition is not compromised or contradicted in some way in other legislation, which will at some point down the line cause real legal uncertainty?
My Lords, as the Committee and the Minister know by now, we on these Benches are opposed to the whole of Clause 5, and I will start my remarks by making the case that it should not stand part of the Bill; rather, we urge the Government to think again and remove it.
First, as we debated at Second Reading, there is the point of principle. On what basis should the Government identify a single group of charities, with no concerns about the delivery of their charitable objects, for separate treatment in relation to business rates from their charitable peers? Sadly, the only plausible reason is that it reflects some ideology that does not respect the right of parents to choose the education for their child. I am not suggesting that the Minister sees it in that way, and I accept that the Government’s plan to tax education for the first time ever in this country’s history were in their manifesto, but I cannot find another logical basis for this choice.
Secondly, this picture is confirmed when we look at the amount of money that will be raised from this change. The Government project that only £70 million will be raised. Finally, it leaves the risk that in future legislation in this area, this or a future Government will carve out another group of charities that they believe no longer justify the business rates relief. This feels a wrong-headed choice, and I very much hope that the Minister will encourage his colleagues to review it and remove the clause.
I turn to Amendments 55, 56, 59 and 62. Amendment 55 is consequential and necessary to enable the later amendments. I have tabled it to exempt specific independent schools from this measure. Amendments 56 and 59 are probing amendments to understand what is meant by the term “or other consideration” in the context of fees payable for the provision of full-time education. I would be grateful if the Minister could give the Committee an example of where another consideration has been used in practice wholly or partly to replace fees.
Amendment 62 highlights the position of smaller independent schools, many of which charge significantly less than the independent school average of £27,642, which was the figure the Minister in the other place gave as the mean annual day fee as of January 2024. I appreciate that the Government are unlikely to agree with the fee level in my amendment, but it would be helpful for the Committee to hear whether there is a fee level below which this legislation would not apply. As the Minister knows, some faith schools in particular charge lower fees than the state school equivalent per pupil funding rate. Would the Government consider exempting schools that charge less than the per pupil funding rate from this tax.
As we have heard, Amendments 54A, 55A, 59A, 69C, 69D, 77 and 78 in the names of my noble friends Lord Lexden and Lord Black of Brentwood would replace the use of “private school” with “independent school”. I agree with my noble friends’ analysis of the importance of this and some of the factors that sit behind it. The term “private school” is much more informal, and in legislation it is more commonplace to use “independent school”. We support those amendments fully; I hope the Minister will give careful consideration to them.
My Lords, in moving Amendment 63, I will speak to all of the other amendments in this group. Amendment 63 would exempt schools that provide bursaries that amount to more than 7% of a school’s income. This is a small cost, but comes at a time when private schools are already facing higher costs from the Government’s decision to impose VAT on them. I am concerned that schools will not have room in their budgets to continue providing the same level of means-tested fee assistance. I hope the Minister agrees that the provision of bursaries is an important factor in enabling children from less affluent homes to access independent education.
Amendment 64 would exempt schools which provide education for gifted arts students, including music and drama. These schools tend to be small independent schools, which will not be able to absorb the costs that the Government are imposing on them. Our worry is that they will be forced to close, and the culture that is so essential to our society will no longer be available in the same way. The Minister will know of the real concerns in this sector and the impact that it risks having on our creative industries, which are such an important engine of growth in this country. These are students who attend a private school based on their exceptional talent. I hope the Minister will reflect on how best to avoid narrowing opportunities for children who access this small group of schools.
Amendment 66 would exempt schools where 10% of pupils have a parent or guardian in the Armed Forces. If I have understood correctly, it seems unfair that while the children of foreign diplomats and international military personnel will be exempted from these additional costs on independent schools, specifically VAT, the same benefits are not being offered to the children of our own Armed Forces personnel. As such, it seems fair to suggest that the children of those personnel, who provide invaluable service to this country, are treated with the same level of respect.
I very much support the spirit of my noble friends Lord Black and Lord Lexden’s Amendments 69A and 69B. Clearly, the spirit of Amendment 69A aligns with my amendments in this group, and Amendment 69B highlights the invaluable work that some independent schools do in relation to children in care. I beg to move.
My Lords, I will speak to Amendments 69A and 69B in my name and that of my noble friend Lord Lexden as well as to Amendment 64 in the name of my noble friend Lady Barran, to which I have added my name. I refer to my earlier declaration of interests and, for this group, I add that I am the chairman of the Royal College of Music.
On music, let me start with Amendment 64, which is an extremely important amendment. It would have long-term ramifications well beyond the terms of this Bill because specialist music education for gifted students is central to the future of our creative economy, and it therefore needs to be seen in a wider context. As noble Lords will be aware, the UK’s creative industries are vital to our future. With the economy stalling, this is one sector which, for the time being, continues to grow. It employs hundreds of thousands of people, earns huge amounts in exports and provides an essential component of the UK’s soft power, something that is more important now than ever. Right at the centre of the creative economy is music, which powers the rest of the industry.
In turn, the future of music depends absolutely on first-class, specialist music education in schools, conservatoires and universities to provide a pipeline of talent into the sector. Without that education, music dies. However, music education, including that provided by specialist schools in the independent sector, is in trouble and has been for a long time. Music has been squeezed out of the curriculum. The number of pupils taking music at GCSE and A-level has plummeted. Many schools no longer have dedicated music professionals teaching the subject. Indeed, if pupils have access to a dedicated music professional today, it is likely to be because of a partnership with an independent school. From primary schools right the way through to the end of full-time education, music is under threat as never before.
We see the results of that every day, most recently with the appalling decision of Cardiff University to close its school of music, the largest in Wales, something that the world-renowned composer Sir Karl Jenkins has put down to the decline of specialist music education in schools. The closure of the school follows hard on the heels of the closure of the junior department of the Royal Welsh conservatoire, which has enormous repercussions for music in Wales and beyond. At such a time of crisis for music education, which I have to say has not improved in any way since the general election, despite so many promises before it, the last thing we need is for independent specialist music schools, those providing education for gifted students under the music and dance scheme, as well as the leading choir schools to be threatened. It is crucial that they continue to provide music, dance and drama teaching to the most gifted students if we are to protect the pipeline of talent into the music industry.
The future of these schools and their continuing ability to provide world-class teaching will be much more secure if they are protected from full business rates. This is not a niche subject or special interest pleading; it is fundamental to the artistic future of our country and the success of the creative economy. Does the Minister acknowledge the vital importance of the pipeline of musical and dramatic talent into our creative industries? If he does, will he explain why the Government are putting it in jeopardy in this way?
Amendments 69A and 69B deal with boarding schools. Boarding schools play a vital role in our education system, with around 65,000 boarding pupils educated in the independent sector. They contribute just over £3 billion each year to our economy, generating £900 million in revenue for the Exchequer and supporting more than 64,000 jobs. Like the rest of the sector, they are a vital instrument of soft power and one of our strongest exports. Like the rest of the independent sector, they are already under significant strain as a result of not just VAT but the damaging increase in employers’ national insurance contributions. For many, especially the smaller schools, the end of business rates relief will be a huge added burden. Already the signs of the impact are clear: the Government’s figures show that visa applications to study at UK independent schools fell by 23% in the first two quarters of 2024 compared to the same period in 2023. That is a significant straw in the wind.
Recently, one agent told the Boarding Schools Association:
“This tax penalty is making our clients think twice and wonder if the UK is still the holy grail of academia”.
Another commented:
“The reputation of British boarding is already damaged and while it was the destination 10 years ago, it is now one of many”.
With international numbers down and likely to fall further, now is not the time to be adding to the increasingly intolerable burden on so many boarding schools with the withdrawal of business rates relief.
Boarding schools play a crucial role in a number of areas, including the provision of places for military personnel serving our country at home and abroad, as my noble friend said, and for vulnerable pupils with special educational needs and disabilities. My two amendments seek to recognise their importance and, in certain circumstances, exempt them from the withdrawal of relief.
Amendment 69A would discount boarding facilities from a school’s business rates bill if 10% of boarders are on a government continuity of education allowance, or CEA. This reflects the importance of boarding provision for the children of those who serve our country and often risk their lives for it. In the last academic year, 4,000 pupils were supported by CEA for 2,666 service personnel and their families. By easing the commercial pressures on them, this exemption would give a measure of continued support and protection to schools providing places for CEA pupils and reflect the inherent public benefit in ensuring that service families have confidence that they can provide a stable school life for their children.
In the same vein, Amendment 69B would discount boarding facilities from a school’s business rates bill if that school is supporting looked-after pupils supported either directly by local authorities or by charities. It recognises the hugely important role of boarding schools in educating some of the most vulnerable children and the significant pastoral support that they provide. One of the best known charities supporting this work is the Royal National Children’s SpringBoard Foundation. The RNCSF widens access to the opportunities available for young people facing the greatest barriers to their development. Along with local authority and community organisation partners, it works with boarding and independent schools to help them target their fully funded school places on the young people who need them most and help them access them effectively. To date, it has supported more than 1,000 pupils, 98% of whom get two or more A-levels, compared to 16% of disadvantaged children.
Brentwood is one school the RNCSF works with, taking students into boarding places, hosting regional interview days and supporting its excellent campaign to help children in care who are applying to university with their UCAS applications. This is clear public benefit work, supporting not only society’s priorities for vulnerable children but assisting our stretched local authorities support children in their care to achieve their full potential. This is, rightly, an intensive and involved process for any school to engage in to ensure that pupils have the right level of support and guidance around them at school. If anything properly fits the definition of a charitable activity clearly in the public interest, it is this. My question to the Minister is: why on earth do the Government judge that the facilities that care for and support these young people are unworthy of charitable relief?
These are all focused amendments which do not in any way challenge the central tenets of the legislation but recognise the special importance and public policy significance of crucial aspects of independent education. They seek to protect those schools educating gifted students whose careers will power the creative economy, children of military families who serve our country and those who are vulnerable because of special needs. I hope the Minister will accept them. Not to do so would, frankly, be callous and short sighted.
My Lords, I will add briefly to the powerful comments that my noble friend Lord Black just made on Amendments 69A and 69B, to which I have added my name, in order to pay tribute to the achievements of our country’s excellent boarding schools, which have been transformed so greatly for the better during my lifetime, and to support the measures proposed in these two amendments, which would exempt them from business rates on aspects of their work that are of great public benefit.
My Lords, Amendment 70 is in the names of my noble friends Lord Storey and Lord Shipley, neither of whom is able to be here. They estimated that this group of amendments, being very close to the end of Committee, would be debated in the Committee day allocated for next week.
The purpose of Amendment 70 is straightforward: it would require the Government to assess the impact of Clause 5 on state schools. It is reported that independent schools are already losing about 10,000 pupils, who are withdrawing from private education, and that is before the implementation of VAT, the decision on which was made earlier this year. If that is the case, the removal of that number of pupils will cost the state sector £92 million, because those young people will now have state-funded places in the state sector.
Two questions then arise. One concerns the additional cost, which is borne by the Government. The second concerns the fact that there are often clusters of private schools in certain locations. There is a clutch of private schools in Newcastle upon Tyne. There are two private schools in Bradford and two private schools in Wakefield—I am moving south. When you get to the south of England and London, there is obviously a large number of private schools. If children are withdrawn from them due to the rising fees, there will be an impact not just on the cost of their education but on finding appropriate school places in their localities. That is the first impact.
The second impact, which is of particular concern, is on children with special educational needs and disabilities. This measure will put pressure on the state sector, where, as we already know and as I said earlier, SEND is in crisis. It could be very difficult indeed for those young people to find places where there is the proper support to meet their needs. The additional funding and, in the case of young people with particular disabilities having to be accommodated in the state sector, the additional facilities needed to support them could unduly add another cost to the state sector. This is not being considered by an impact assessment on the provisions in this Bill; hence the need for an impact assessment, as set out by my noble friends, so that the Government can demonstrate that they have actually considered what the overall impact will be.
I look forward to hearing what the Minister has to say on that score and I beg to move.
My Lords, I support all the amendments in this group but I shall speak in particular to Amendment 72A in my name and that of my noble friend Lord Lexden. I refer to my earlier declaration of interests.
The Minister has been very emollient and courteous in batting off all our amendments today; I thank him for the way he has dealt with them. Although he and his colleagues throughout government like to bury their heads in the sand and pretend otherwise—as we have seen, I am afraid—the impact of their onslaught on independent education, of which the removal of business rates is just one strand, will have profound ramifications for not just the sector and the children educated in it but a wide range of public policy areas. This is a bit like that game of Jenga, which we have probably all played, where blocks of wood are taken out until a point comes where the removal of one of them causes the whole edifice to crumble. That is what is in danger of happening here, with the sustained attack on independent education in danger of causing policy failure in a wide range of other areas.
Consider quite how far-reaching are the consequences of this policy underpinned by Clause 5. It impacts on public health and the care of vulnerable children; on the future of music, drama and the arts in the UK, which we have talked about today; on military families and defence personnel; on state schools, whose class sizes will increase; on multiculturalism and respect for different faiths; on jobs, export and investment; on local communities, volunteer groups, charities and so on, which depend on partnership with independent schools; on sport, as we have heard so eloquently described; and on soft power and Britain’s standing abroad. As a result of this web of different aspects that will be affected and will impinge on so many different aspects of government policy, it is vital there is an impact assessment of the consequences of Clause 5 taken in conjunction with the Government’s other policy changes. That is what my Amendment 72A provides for.
Apart from everything else, Parliament has a continuing responsibility to scrutinise the Government’s actions in this area. That is what this House, in particular, is here for. To do that, we need not just the data provided by the industry’s own excellent associations but data from across government and a detailed assessment of its implications. Given the profound changes to policy that Clause 5 exemplifies, ripping up five decades of orthodoxy about parental choice, such an impact assessment is the very least we should expect to allow us to fulfil our responsibilities and make clear to the public what its consequences are.
My Lords, I shall speak to Amendments 71 and 72 in my name and express my support for Amendment 72A in the name of my noble friend Lord Black of Brentwood. Amendment 71 would require an impact assessment on rescinded facilities that private schools offer to state schools. Amendment 72 would require an annual statement of how many pupils have been moved into the state system as a result of Clause 5. Many in this Committee have expressed concerns about the impact of the combined tax measures on private schools introduced by this Government. We had a number of examples from the noble Baroness, Lady Pinnock. The changes announced in this legislation, combined with VAT applied to private schools, will no doubt harm many institutions. Indeed, as we have heard, we are already seeing the consequences of the Government’s decisions, with a number of private schools, including, most recently I think, Bedstone College in Shropshire, closing their doors.
As my noble friend Lord Lexden said in relation to an earlier group, there appears to be an emerging trend of small, rural private schools being particularly vulnerable. This raises the real risk of thousands of pupils across England being displaced and moving into the state system. As we discussed earlier, in particular parts of the country, that is not much pressure on the state system, but is potentially the reverse. However, in some parts of the country, such as Bristol or Surrey, schools are operating at full capacity. It is essential that we have proper oversight and transparency of the impact of this legislation on the state sector. It is with that in mind that I tabled Amendment 72. I also welcome Amendment 70 in the name of the noble Lord, Lord Storey. It is clear that all of us share many of the same concerns.
On Amendment 71, as we have heard, many private schools have a long history of collaboration with state schools and of sharing their facilities and resources. My noble friend Lord Moynihan gave an eloquent exposition on the value of sports grounds, but theatres and science laboratories provided by private schools offer many state school pupils opportunities that otherwise they might not have. Therefore, the closure of such schools would be felt by state school students as well as private school students as they would lose access to these resources. The Minister says—and I understand why—that it reflects the Government’s expectations for these schools to continue to offer public benefit, and one option for that is sharing their facilities, but, as we have heard, their income is being pressured from a number of different directions, including by this legislation, so I urge the Minister to consider my Amendment 71 and all the others in this group.
(3 months ago)
Lords ChamberMy Lords, like my noble friend Lady Fookes, I want to address the issue of pet ownership. It is one that I have raised a number of times in this House, and I am delighted that the Government are now tackling it.
We are a nation of pet lovers. There are around 13.5 million homes with dogs as pets in the UK and around 12.5 million homes are graced by a cat—mine included. My husband and I have been blessed with the company of several cats—Destino is the incumbent—for 30 years and understand only too well the old adage that a cat is what makes a flat or a house a home. We have always been lucky to own our own home, but the companionship offered by pets should not be a privilege limited only to those who can do so, as the Minister quite rightly said in her opening remarks.
That is becoming a pressing issue as we increasingly become a nation of renters, many of whom want to own a pet cat or dog yet, at the moment, simply cannot. The second most common reason that animals are relinquished to the wonderful Battersea Dogs & Cats Home is housing, with only 8% of private landlords currently listing their property as pet-friendly, while an unacceptable 33% of private landlords who do not currently allow pets in any of their properties say that nothing would persuade them to do so.
Cats Protection’s Cats and Their Stats report in 2024 found that over half a million households who would like to have a cat do not have one because their rental agreements forbid it. As a result, Cats Protection took in the equivalent of three cats each day last year where owners had to make the gut-wrenching decision to give them up. These are not just dry statistics; wanting a pet and being told you cannot have one impacts people’s health and well-being, not least older, often lonely, people for whom a pet is a lifeline.
There are thousands of heartbreaking stories of people taking that most difficult of decisions to give up their beloved pet to a shelter when they cannot find somewhere pet-friendly to live. That includes cats like Zeke, who arrived at Battersea just 24 hours before his first birthday after his owners were faced with that unenviable decision whether to find an alternative rental property that would allow pets or to give up their beloved animal altogether. Take Anna and her husband who, after selling their home, had to find a short-term rental with their newborn son and two cats. That young family found it so difficult to find a landlord who would allow cats that they ended up living in a tiny converted garage.
Pets truly are members of the family. It is hard to overestimate the health benefits that pet ownership brings. Research by Mars Petcare has found that pet ownership saves the NHS around £2.5 billion each year in the UK, with pet owners making 15% fewer visits to a doctor for health reasons. That is partly the result of the physical health benefits of owning a dog but also the result of the significant mental health support that all pets provide.
As the Bill progressed in the other place, we heard arguments opposing the inclusion of the pet provisions due to concerns that pets cause damage to properties, but evidence suggests that these fears are exaggerated. Research commissioned by Battersea with the universities of Huddersfield, Sheffield Hallam and Brunel found that renting to tenants with pets is in fact commercially beneficial for landlords.
I welcome strongly the pet provisions in this Bill which seek to prevent landlords being able unreasonably to refuse a pet request from a tenant. I also recognise that improvements have already been baked into the Bill, including reducing the amount of time that landlords have to respond to a pet request. This change will make a meaningful difference for both tenants and shelter organisations dedicated to rehoming animals.
However, there is room further to strengthen the Bill’s pet provisions to create a fairer balance between the needs and rights of both tenants and landlords. I aim to bring forward proposals to do so in Committee. As has happened in countries such as France and Canada, where similar legislation has been passed, providing guiding principles on what constitutes unreasonable grounds for a landlord’s refusal to a pet request would be a positive step. While no piece of legislation can feasibly detail all scenarios, as my noble friend Lady Fookes outlined earlier, without such guiding principles I am concerned that the legislation will leave loopholes open for landlords, giving too much leeway to deny the majority of pet requests, in turn placing an unnecessary burden on tenants, the ombudsman and ultimately the courts.
I also believe that, once permission for a pet has been granted, it should remain in place for the duration of the tenancy; otherwise, there is a risk of landlords revoking consent later down the line, undermining the stability and security for renters and their pets.
Additionally, while I have no doubt that this legislation will make a real difference for those tenants in situ who wish to acquire a new pet, it will not act as enough of a sea-change for those with existing pets who are looking for a new place to rent, with landlords simply shuffling prospective tenants to the bottom of the list.
I strongly support the pet provision aspects of the Bill because they mark the start of a long-overdue culture shift which will mean that more tenants can own a pet in rented homes, with incalculable benefits not just for their own health and for the pets, but for society as a whole. With more people renting than ever, and more wanting to own a pet, this legislation is a tremendous opportunity to unlock thousands of homes for pet owners. I hope we can make the small necessary amendments to it in Committee to ensure that we deliver for all those who want and deserve that most precious gift in life—the unconditional love of a pet.
(8 months ago)
Lords ChamberMy Lords, although I am speaking in a personal capacity, I declare an interest as a trustee of the Imperial War Museum Foundation and a former trustee of the IWM from 2007 to 2015.
As the Bill centres on the Holocaust—the most appalling series of events in mankind’s long and brutal history—it touches on so many issues of massive importance to our history, our society and to our humanity itself. The building of a memorial to those who perished and those who survived—and an education centre to stand as a warning to those who would seek refuge in the ideology of the far right in future—is something we should all unite around. This Bill, regrettably, simply sows division. My feelings towards it can be summed up in four words that have characterised much of this remarkable debate: “Great idea, wrong place”.
As regards the proposed location of the memorial, a botched decision-making process and a lack of consultation got us here. There will be the terrible consequences for the environment, the real security threat not just for Parliament but for the media who work around here, the lack of space for a proper education centre, the dreadful design without meaning or feeling and the funding black hole—a very popular thing at the moment—of perhaps £100 million. From all those points of view, virtually everything in this proposal is wrong.
The right answer is for a memorial and education centre to be housed just a stone’s throw from Parliament at the Imperial War Museum, which has held the national collection for the Holocaust for a quarter of a century. The IWM, established by Act of Parliament following the horrors of the First World War, has always had at its heart, in the words of its first director-general, Sir Martin Conway,
“the action, the experiences, the valour and the endurance of individuals”—
the very values that surely are central to our remembrance of the Holocaust. The IWM has all the qualities needed to make a truly international success of a memorial and education centre: space, expertise, history, and, above all, as a potent and visible imposing national symbol of remembrance, authority. The IWM is already the place to which people from across the UK and internationally who want to remember the Holocaust, and those who want to learn from the atrocity, gravitate.
The IWM has held the national collection of the Holocaust since 2000, and in November 2021 opened exceptional new Holocaust galleries which are breathtaking in their scope, power and impact. Developed using the most up-to-date research and evaluation, including archive material available only since the end of the Cold War, the horror of the Holocaust is told through individual stories based on over 2,000 photos, books, letters and personal objects—real objects, which would not be available here. It is a stunning experience that makes history come alive. These galleries rightly take their place alongside new, equally impressive Second World War galleries, costing £31 million and powered by generous philanthropists and foundations, with, vitally, two suites of learning centres using the most up-to-date digital technology to tell stories and encourage discussion and reflection. They are global success stories in which the UK should take great pride. The success of these galleries itself tells a tale which is key to this debate.
As my noble friend Lord Sandhurst said, since the end of 2021, less than three years ago, 1.2 million visitors have gone through these galleries and over 20,000 students have taken part in learning programs. The facts speak for themselves. The IWM is already the central location to which people, young and old, instinctively go for remembrance and learning. Why on earth would we want to build another memorial and learning centre, which would inevitably be inferior to that offered by the IWM, when we already have the resources there and, in the beautiful Harmsworth gardens, space to build a fitting, dignified memorial without the terrible disruption and the risk of shoehorning it into Victoria Tower Gardens? That site has everything that Victoria Tower Gardens does not: it is accessible, it is safe, it has history, it has potential, and it works with the environment rather than against it.
We have squandered too much time—over a decade—trying to get this done. If we are to stand any chance of getting a fitting Holocaust memorial and associated learning centre built while the sadly dwindling number of Holocaust survivors are still with us, we must find a compromise. The Imperial War Museum is the answer. We just have to be brave. History, at the very centre of this debate, will not look kindly on us if we fail to do so.
(3 years, 10 months ago)
Lords ChamberTo ask Her Majesty’s Government what steps they are taking to encourage more private landlords to allow responsible tenants to keep pets in their rented properties.
I draw attention to my residential and commercial property interests as set out in the register. The Government want to improve life for tenants and recognise the importance of pets in people’s lives. Earlier this year we published the revised national model tenancy agreement, the Government’s suggested contract for assured shorthold tenancy in the private rented sector. We revised it to encourage landlords to allow responsible tenants to keep well-behaved pets in their home.
My Lords, during the difficult and often lonely days of lockdown, pets have been a vital source of companionship, well-being and love for many people across the UK, especially the vulnerable. However, is my noble friend aware that, according to Cats Protection, 1 million households that would like to have a cat cannot do so because they live in a rental property? I welcome the changes made to the Government’s model tenancy agreement, which my noble friend mentioned, meaning that consent for pets will be the default position for any landlord using it, but not all landlords use the agreement as it is voluntary. What action will the Government take to encourage landlords to use the model tenancy agreement to allow all those who want to have a pet in their rented property the chance to do so?
My Lords, I am aware of the issue that my noble friend raises. The model tenancy agreement is the Government’s suggested contract with which to agree a tenancy and is freely available online. We will continue to work with landlords and other stakeholders to ensure its wider adoption for use in the private rented sector.
(4 years, 9 months ago)
Lords ChamberTo ask Her Majesty’s Government what assessment they have made of the impact of the restrictions in place to address the COVID-19 pandemic on the financial sustainability of churches and places of worship.
My Lords, I beg leave to ask the Question standing in my name on the Order Paper and declare an interest as Master of the Guild of St Bride’s, on Fleet Street.
As of 4 July, places of worship were allowed to reopen with social distancing in place. We are engaging with faith groups to understand the pressures they are facing during Covid-19, and we continue to listen to and understand the ongoing impact of the loss of income. Faith organisations can apply for a range of government-backed financial packages to support charities and businesses at this time.
My Lords, churches and places of worship are not simply where we go to pray. They bring the joy of music, support tourism, offer significant community provision and, importantly, are custodians of our heritage. All are essentially self- funding and require a sustainable income, which has simply evaporated as a result of lockdown, leaving many in extreme difficulty. Does my noble friend the Minister agree that ensuring the long-term financial sustainability of our churches should be a strategic priority of the Government? Does he also agree that it is folly to extend the congestion charge in London to Sundays and evenings, placing an intolerable price tag on worship for many who want to attend church services in London on a Sunday, or a concert in the evening, and making a desperate financial situation even worse?