Building Safety

Lord Young of Cookham Excerpts

Thursday 2nd February 2023 Lords Chamber

[Lord Young of Cookham (Con)]

My Lords, I join others in warmly welcoming the Statement made earlier this week. As has been said, it marks an important milestone on the road to justice for the thousands of leaseholders whose lives have been on hold, as the noble Baroness, Lady Brinton, said. I welcome what my noble friend has just said in updating us on the progress being made in making these blocks safer.

But, may I press my noble friend on two sentences in the Statement? The first is:

“Leaseholders should know that the law is on their side.”


The second is:

“When we were told that leaseholders must pay, we … protected”


them. However, there are two groups of leaseholders for whom, sadly, that is not the case, and who are not given protection under the Bill. The first is leaseholders who have enfranchised, following government encouragement, and become freeholders. When I raised this nearly a year ago in Committee, the words of my noble friend’s predecessor, my noble friend Lord Greenhalgh, gave me some assurance:

“They are effectively leaseholders that have enfranchised as opposed to freeholders.”—[Official Report, 28/2/22; col. GC 262.]


Sadly, after my amendment was rejected, they are effectively freeholders, and they do not have the protection extended to other leaseholders in the Bill.

The second category was touched on by the noble Baroness, Lady Brinton: leaseholders in buildings under 11 metres, who are not covered by the Bill either, but they are confronted by the same problems as leaseholders in tall buildings. They are getting high service charges, they are living in buildings with defective cladding or other fire safety defects, and they are exposed to these costs. In both cases, I was promised consultation to remedy what I regard as a manifest injustice. Can my noble friend update me on the outcome of those consultations?

[Baroness Scott of Bybrook (Con)]

I thank my noble friend for reminding me that I have not spoken about buildings under 11 metres. I know the noble Baroness, Lady Pinnock, would never forgive me if I did not answer that question. I will start, though, with enfranchised leaseholders, which I do remember in the context of the Bill. The Government have published a call for evidence on leaseholders in buildings over 11 metres or five storeys, which closed on 14 November last year. We are analysing those responses and considering the feedback prior to finalising the policy. However, enfranchised leaseholders living in buildings covered by the developer remediation contract will be protected from the cost of remedying life-critical fire safety defects arising from buildings’ design and/or construction. Furthermore, leaseholders in buildings over 11 metres are protected from the costs of remediating unsafe cladding, even where the developer has not signed the contract, which is important. Costs may be met through the building safety fund or the new medium-rise fund. I think we are doing what my noble friend wants, although it might be a bit slower than he would have preferred.

On buildings under 11 metres, which I know have been a concern for many noble Lords in these debates, the Government are committed to understanding the full scale and nature of historical building safety issues facing leaseholders in these buildings. As such, we welcome further information. The department set up a dedicated inbox for leaseholders and managing agents of these buildings to contact the department about their specific buildings. We will work with them on that. We stress that the responsibility for the costs of fixing historical building safety defects should still rest with the building owners. They should not pass these costs on to the leaseholders but seek to recover costs from those responsible for building the unsafe buildings in the first place.

I would like to emphasise that the risk to life from historical fire safety defects is much lower in buildings under 11 metres. That is no excuse, but it is rare for these buildings to require building safety-related remediation works. The Government’s assessment therefore remains that extending the protection to buildings under 11 metres is probably neither needed nor proportionate, but we will work with leaseholders and agents of these buildings if they have specific issues.

Local Councils: 2023-24 Budgets

Lord Young of Cookham Excerpts

Wednesday 25th January 2023 Lords Chamber

[Baroness Scott of Bybrook (Con)]

My Lords, local authorities across this country are doing some very creative things to make their money go further. They are working closely with others in their local areas to deliver the services that their residents deserve. I think that this will go on. Through the levelling-up Bill that has come here, we will see different ways in which local government can join together to make itself far more financially viable.

[Lord Young of Cookham (Con)]

My Lords, allowing local authority expenditure to increase by 9.2% in cash terms seems reasonable to me against the background of the current economic challenges. However, if, pursuant to my noble friend the Minister’s reply, a local authority thinks that that is wrong for its area, it is free to spend more if it can persuade the local electorate to vote for that in a referendum. Is that not a more democratic way of approaching local government finance than the crude rate-capping that we had before?

[Baroness Scott of Bybrook (Con)]

I absolutely agree with my noble friend, not only on that point but that councils can look to a referendum. It is important that, if they look for a referendum, they say what they are going to spend the money on so that local people have a choice.

Levelling Up: Funding Allocation

Lord Young of Cookham Excerpts

Monday 23rd January 2023 Lords Chamber

[Baroness Scott of Bybrook (Con)]

My Lords, we absolutely still agree with the whole project of levelling up. I just need to say that, of all the bids, the north-west—this will please the noble Lord opposite—had the highest number of successful projects and was second in funding per capita; Wales was top and the north-east was third. I suggest that that is putting the money where it is required.

[Lord Young of Cookham (Con)]

My Lords, I quite understand why the Government wanted to kick-start the levelling-up policy with these centrally allocated grants, but looking ahead, and given the commitment in the levelling-up White Paper to usher in a revolution in local democracy, should not these funds in future be added to the block grant given to the increasingly large local authorities set up under the Bill and then local people could decide what their priorities are, with local councillors accountable to their local electorate?

[Baroness Scott of Bybrook (Con)]

My Lords, competitive funding can be a very effective tool for protecting value for taxpayers’ money. Competitions such as the levelling-up fund can also support fair and transparent awards of funds and drive innovation, but I understand my noble friend’s concerns and the Government have committed, within the levelling-up White Paper, to reducing the complexities of local government funding.

Levelling-up and Regeneration Bill

Lord Young of Cookham Excerpts

2nd reading
Tuesday 17th January 2023 Lords Chamber

[Lord Young of Cookham (Con)]

My Lords, some five hours ago the first Government Back-Bench speaker was my noble friend Lord Bourne, which begins with “B”. I am the last Government Back-Bench speaker, and my name begins with “Y”. Can I make a plea for some alphabetical levelling up next time?

In the time available I will make two points, one specific and one general. The specific one, which I raised yesterday, relates to the Government’s proposal to make local housing targets discretionary and not mandatory. For nine years on and off I had ministerial responsibility for housing and planning, most of them under the benign but watchful eye of my noble friend Lord Heseltine, whose contribution was the outstanding feature of today’s high-quality debate. Based on that experience, you will never get the homes the country needs if you rely on the good will of local government. It was not local government that made the commitment to 300,000 houses; it was us—the Government. Local government, with its local electorate, will never deliver that target. Look at all the foot-dragging with local plans. It will opt out of the tough decisions unless there is a target.

However, now the Government are proposing to abandon the one lever that they have to deliver that commitment. Assuring people that new homes will be well designed will not take the trick. The objections will come when land is zoned for development, long before any designs are in the public domain. Therefore, I hope that noble Lords will change the Bill back to what the Government originally proposed before they backed down in the other place. If not, they run real risks at the next election, not just for not hitting the 300,000 target—we understand about Covid—but for not taking seriously an issue rising steadily up the political agenda, not least the need for more affordable housing, as mentioned by so many noble Lords in this debate.

On a happier note, my general point is that I welcome the motivation behind the Bill. A country with stark inequalities between communities will be an unstable one, and there are strong political, economic and social arguments for levelling up and giving equal opportunities to everyone regardless of where they live.

The first sentence of last year’s White Paper stated that:

“From day one, the defining mission of this government has been to level up this country”.


However, turning that mission into tangible policies is difficult. I and the noble Lord, Lord Hunt of Kings Heath, discovered this on your Lordships’ committee when we heard that levelling up meant different things to different people, if indeed it meant anything at all. I have knocked on more doors than anyone else in this Chamber.

[Noble Lords]

Oh!

[Lord Young of Cookham (Con)]

All right—I have knocked on nearly as many doors as all the noble Lords in this Chamber. I have never met anyone who said, “George, what I really want is to be levelled up.” They want better schools, shorter waiting lists, crucially with priorities differing from place to place. My noble friend Lord Lucas wants a sixth-form college in Eastbourne, while the noble Lord, Lord Hunt, wants better rail services in the West Midlands. I believe the Government can achieve their objective through a different route: by giving local authorities much more autonomy to reflect those varying priorities than what is proposed, and by making this a much more decentralised country.

This Bill was never meant to be called the levelling up Bill. At the beginning of this Parliament we were promised a White Paper on devolution. That commitment was abandoned in May 2021, when we were told that a new levelling up White Paper would be published later, which would supersede it. The White Paper said:

“We’ll usher in a revolution in local democracy.”


It later made the point that local leaders in other countries have

“much greater revenue-raising powers.”

But there is absolutely nothing about that in the Bill. Devolving greater ability to spend central government money with strings attached is not a revolution in local democracy; it is a step change in local administration.

Let me make a radical suggestion to decentralise and to turbocharge levelling up by empowering local democracy. Over the next 10 years, revenue from fuel duty, some £25 billion, will disappear as we buy electric vehicles. The revenue foregone will be met by road pricing, now made possible by in-car technology—a transition that the Government will no longer be able to duck. However, that revenue should not go to central government but should complement the existing revenue from parking and congestion charges and go to the larger units of local government encouraged by the Bill. This would give local government greater autonomy and a sounder basis of local taxation than the increasingly discredited and out of date council tax, which raises the same amount from a mansion in Belgrave Square as a terraced house in Oakham, in Leicestershire. I would expect this proposal to be welcomed by my noble friend the Minister, as I came across a statement released by the County Councils Network calling for

“Full fiscal devolution to counties to create an extra £26bn in GVA”,


signed by the leader of Wiltshire Council, my noble friend Lady Scott.

In conclusion, rather than rigidly following the targets in 12 centrally derived missions, I honestly believe that more people will believe that they have been levelled up if we go down this route of local democratic empowerment.

Housebuilding: Government Targets

Lord Young of Cookham Excerpts

Monday 16th January 2023 Lords Chamber

Asked by

[Lord Young of Cookham]

To ask His Majesty’s Government whether it remains their policy to build 300,000 homes a year.

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

The Government remain committed to continuing to work towards our ambition of delivering 300,000 homes a year, as set out in the 2019 Conservative manifesto. We are making good progress. Annual housing supply is up 10% compared with the previous year, with more than 232,000 net additional homes delivered in 2021-22. This is the third-highest yearly rate for the last 30 years.

[Lord Young of Cookham (Con)]

I am grateful to my noble friend for that renewed commitment, but does she recall the 2019 White Paper Fixing Our Broken Housing Market, which listed a number of reasons why we might not hit that target? The first one said that

“some local authorities can duck potentially difficult decisions, because they are free to come up with their own methodology for calculating ‘objectively assessed need’.”

Does my noble friend understand that asking local authorities to make the housing target discretionary rather than mandatory makes it less likely that we will hit the 300,000 target, because you cannot rely on the good will of local authorities to meet a national mandate?

[Baroness Scott of Bybrook (Con)]

My Lords, we remain committed to a plan-led system. National planning policy expects local planning authorities, through their plans, to make sufficient provision for housing and to identify the sites to deliver much-needed homes to meet local needs. To get enough homes built in places where people and communities need them, a crucial first step is to plan for the right number of homes. That is why we remain committed to the 300,000 homes target and to retaining a clear starting point for calculating local housing needs. We are currently consulting on changes to the planning policy that will support how we plan to deliver the homes our communities need.

Housing: Private Rented Sector

Lord Young of Cookham Excerpts

Thursday 12th January 2023 Lords Chamber

[Baroness Scott of Bybrook (Con)]

My Lords, I do not agree that it is a blunt tool. We propose to apply to new tenancies a requirement for an EPC rating of C and raise the maximum spend that landlords are required to invest to £10,000 from April 2025, and to all tenancies by April 2028—the noble Lord is right. If we are going to meet our net-zero strategy, we have to commit even further to consulting on phasing in even higher minimum performance standards. That will take place through the social housing sector but also through the private rented sector.

[Lord Young of Cookham (Con)]

My Lords, further to the noble Lord’s original Question, is there not an inevitable tension between the interests of the private landlord on the one hand, who wants access to his capital or property and is therefore interested in a short lease, and the interests of families and tenants on the other hand, for whom renting may now be the only tenure and who want a much longer lease? Should we not be moving far more quickly to the position that exists in most other countries, where good-quality rented accommodation is provided by financial institutions as a long-term investment, as they are more prepared to issue the long leases that tenants increasingly want?

[Baroness Scott of Bybrook (Con)]

My noble friend brings up an extremely important point. The Government have always welcomed new institutional investments in the private rented sector and will continue to do so. We have also made a number of interventions to support the build-to-rent sector, such as the build to rent fund and the private rented sector guarantee scheme. Build to rent boosts housing supply and diversifies the private rented sector, but it also increases quality and choice for renters in cities and towns across the country. I will take the noble Lord’s views back to the department, and we will look into this further.

Residential Leaseholders

Lord Young of Cookham Excerpts

Thursday 12th January 2023 Lords Chamber

[Baroness Scott of Bybrook (Con)]

As I have made clear a number of times at this Dispatch Box, these measures were in the manifesto in 2019. We have always said that we will bring forward a reform Bill in this Parliament and that is what we intend to do. We just have to wait and see; I am very sorry. I totally understand that this is causing some issues in the sector. That is why we will get the Bill through as soon as we possibly can, but it has been quite complex and we need to get it right.

[Lord Young of Cookham (Con)]

My Lords, I welcome the commitment that my noble friend has just given to make it easier for leaseholders collectively to enfranchise, to make it easier for an individual leaseholder to extend the lease, and to move more towards a system of commonhold rather than leasehold. I understand that she cannot give a commitment about the timetable but, given that work on the Bill is clearly well advanced, can she consider publishing it in draft so that when it comes forward it can have a speedier passage?

[Baroness Scott of Bybrook (Con)]

I would love to put the Bill out in draft, because I would love to stop these Questions coming every three months from the noble Lord, Lord Kennedy. We have committed as a Government to making enfranchisement easier and cheaper for leaseholders, and that is important. We have also committed to abolish marriage value cap ground rents in enfranchisement calculations and prescribe rates to be used. We have already made clear that this is what we will do. We just have to be patient until the Bill comes forward.

Housing: Cost of Living

Lord Young of Cookham Excerpts

Thursday 15th December 2022 Lords Chamber

[Baroness Scott of Bybrook (Con)]

I thank the right reverend Prelate for that question, and I think it is an extremely interesting opportunity. I would like to talk to her in further detail about that because I have read the report Coming Home and I think the idea of the five S’s—sustainable, safe, stable, social and satisfying housing—is a wonderful thing to aspire to. I cannot offer her a long-term cross-party review at this time, but I would like to talk to her further and talk to my officials about that.

[Lord Young of Cookham (Con)]

My Lords, 20% of families in England now rent privately and one-third of them rely on housing benefit. That is capped by the local housing allowance, which was fixed on rents in 2019 and has been frozen for five years, although rents are rising rapidly—by 12% in the last year. This means that a family with a two-bedroom house faces a shortfall of some £1,500 a year that they have to meet out of the rest of their benefit. Does my noble friend recognise the difficulties that this can cause? Is there a case for the Chancellor, in his forthcoming Budget, reviewing the decision to freeze the local housing allowance?

Housing (Built Environment Committee Report)

Lord Young of Cookham Excerpts

Tuesday 8th November 2022 Lords Chamber

[Viscount Waverley (CB)]

My Lords, I am totally sympathetic to the point about skills and training made by the noble Lord, Lord Grocott. I will address that in a different way, the manner of which I will inform the House of in a moment. I have found this a fascinating debate, particularly as it is not one that I would normally be identified with. I am totally sympathetic to the approach of the noble Lord, Lord Moylan, and his concerns about homes, as I have been to those of all noble contributors. As he said, homes are not necessarily being built in the right place. I will concentrate on that point about land by adding a differing dimension, which I fear may be considered out on a limb but not out of sync.

Beyond having only one substantive but fundamental point that pertains to planning applications, and by whom and how those applications are managed, I support any move to introduce the compelling of those who secure land for the construction of housing projects, whether developers or construction entities, to use that land in short order for the purpose for which the use was granted or lose it. That could be easily achieved and the Chancellor may care to take note of that.

I offer my remarks this afternoon not as a policy proposal, but as a co-chair of two APPGs, one on the future of the United Kingdom freight and logistics sector and the other on the future of trade and investment, both of which have parallel criteria to get things moving in the national interest. Both are undertaking a strategic review and planning is a key component of the former—but I speak, of course, as an individual.

I am in line with the initial remarks of the noble Earl, Lord Lytton, and with how he intimated, without specifically mentioning the detail, that existing airport operations must be at the forefront of joined-up decision-making when new housing developments are being considered and be consistent with differing government policy. Planning processes can hold the national interest hostage, given that airports are prize assets which support the export ambitions of the United Kingdom. Housing developments should not be built within the noise envelope of an airport.

My concluding remarks will offer a case study, identifying one such district authority, of when all this went horribly awry, with national government having to intervene. It would be helpful if the Government—for all that I imagine the Minister will defend the case otherwise—approached decision-making across departments when planning applications are considered in a way that was more holistic, rather than with a silo mentality.

One principal objective of the 2013 aviation policy framework was to ensure that air links continued to make the UK one of the best-connected countries in the world, enabling it to compete successfully for economic growth opportunities. The framework noted that airports acted as focal points for business development and employment by providing rapid delivery of products by air and access to international markets. The framework specifically recognised the importance of Heathrow and East Midlands Airport, and identified that EMA acted as a hub for freight, noting that three of the four global express air freight providers, including DHL, maintained major operations at that airport.

The Government are developing a long-term aviation strategy to 2050 and beyond. As part of this emerging strategy, the Government have referred to a number of documents, including Aviation 2050: The Future of UK Aviation, a consultative publication from December 2018. I shall not tire the House by quoting the detail of paragraphs 4.45 and 4.48, which specifically recognise the importance of the 24-hour operation at EMA, particularly the provision of night flights. It is clear that the Government rightly consider air freight a particularly important part of the UK economy, confirmed in paragraph 4.49, recognise the importance of night flights at EMA and encourage their continued growth.

Housing development in the wrong locations can have an adverse impact on residents and local businesses, such as potential development in the surroundings of national and regionally significant airports. Two quotes from the National Planning Policy Framework are worthy of note. One says:

“Planning policies and decisions should ensure that new development can be integrated effectively with existing businesses and community facilities … Existing businesses and facilities should not have unreasonable restrictions placed on them as a result of development permitted after they were established.”


The second says:

“Where the operation of an existing business or community facility could have a significant adverse effect on new development (including changes of use) in its vicinity, the applicant (or ‘agent of change’) should be required to provide suitable mitigation before the development has been completed.”


This is where it becomes complex, because a local authority is the airport’s “competent authority”. Therefore, the local authority is required to consider the “balanced approach” when establishing noise-related operating restrictions at an airport. The “balanced approach” is promoted by the International Civil Aviation Organization and comprises four principal elements: land-use planning and management; reduction of noise at source; noise abatement operating procedure; and operating restrictions. On land-use planning and management, the ICAO states that:

“Compatible land-use planning and management is also a vital instrument in ensuring that the gains achieved by the reduced noise of the latest generation of aircraft are not offset by further residential development around airports.”


I end with my case study. A prime case has directly impacted the aviation modal, with the Government having written to Uttlesford District Council, in which district Stansted Airport resides, confirming that it is to remain in special measures, which limit its planning powers as not being in line with the Department for Levelling Up, Housing and Communities, noting that UDC’s decisions were “shameful”. I was adversely impacted by the operations of Stansted Airport, both flying out of the airport and, regrettably, when I returned, because of those decisions. I must, however, place on record how grateful I am to the owner, Manchester Airports Group, for its courtesy in giving me an on-the-spot detailed briefing as to what on earth was going on at that airport as a result of the types of decision-making that the district council to which I referred made. Central government has concluded that the number of major planning applications overturned on appeal was unacceptable. The chief executive, Mr Holt, was clear that the special measure vis-à-vis Uttlesford District Council was “absolutely intrinsically linked” to the absence of an acceptable local plan to deliver on government targets, including for the smooth running of Stansted Airport.

I felt that needed to be put on record in a debate on which, frankly, I have a great deal of sympathy with the whole issue of the housing and the planning elements. I give these my absolute full-hearted support, but there are other issues that need to be taken into account when we consider the national interest.

[The Deputy Speaker (Lord Young of Cookham) (Con)]

My Lords, the noble Lord, Lord Campbell-Savours, will speak in the gap remotely, and I invite him to speak briefly.

Housing: Manifesto Commitment

Lord Young of Cookham Excerpts

Wednesday 26th October 2022 Lords Chamber

Asked by

[Lord Young of Cookham]

To ask His Majesty’s Government whether they remain committed to building 300,000 new homes a year by the mid-2020s, as proposed in the 2019 Conservative Party Manifesto.

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

My Lords, I can assure my noble friend that housebuilding is a priority for this Government and a central part of our plans for growth. As my noble friend said, the 2019 Conservative manifesto stated that we will continue our progress towards our 300,000 homes a year by the mid-2020s. To unlock home ownership, we must build more homes in places where people want to live and work. We will continue to explore policies to help build the homes people need, deliver new jobs, support economic development and boost local economies.

[Lord Young of Cookham (Con)]

I am grateful to my noble friend. However, at Prime Minister’s Questions last week, the former Prime Minister said that

“we will abolish the top-down housing targets.”—[Official Report, Commons, 19/10/22; col. 679.]

As a former Minister for Housing and a former Minister for Planning, perhaps I can say to my noble friend that we will never get the new homes the country needs in the places where they are needed if we rely solely on the goodwill of local government. Does she agree that, while there needs to be dialogue with local government, the responsibility for ensuring that families live in decent and affordable accommodation is one for the new Administration?

[Baroness Scott of Bybrook (Con)]

I do agree that it is one for the new Administration and I cannot comment on the past Administration any longer. I agree with my noble friend that we must build more homes in places where people want to live and work, as I said. The Neighbourhood Planning Act 2017 put beyond doubt the requirement for all areas to be covered by one or more plans that address the strategic priorities for each area. Authorities that fail to ensure that in-date plans are in place are failing their communities by not recognising that homes and other facilities that local people need are relying on ad hoc, speculative development that will not make the most of every area’s potential. Ministers have powers to intervene when local planning authorities fail to meet the timescales set out for preparing a local plan. However, these powers have not had to be used as yet.