English Devolution and Community Empowerment Bill

Baroness Taylor of Stevenage Excerpts
Moved by
Baroness Taylor of Stevenage Portrait Baroness Taylor of Stevenage
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That the Bill be now read a second time.

Baroness Taylor of Stevenage Portrait The Parliamentary Under-Secretary of State, Ministry of Housing, Communities and Local Government (Baroness Taylor of Stevenage) (Lab)
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My Lords, I first extend my thanks to the many noble Lords with whom I have already spoken about this Bill. I am grateful for their engagement with this very important legislation. I know that a number of noble Lords have been closely engaged in delivering front-line services over the years, so I would like to take this opportunity to thank all those in this House who have taken part in that. We know that our residents greatly value the services that impact their daily lives. This whole Bill will bring that decision-making closer to the areas and communities that it impacts.

This Government were elected on a manifesto to deliver change. We are determined to transform our economy and our country through a decade of reform that delivers better public services and growth in every community and every corner of our country. Many hard-working communities that are the backbone of our economy have been neglected for far too long. They have seen good jobs disappearing, their high streets in decline and the dream of a decent home pushed even further out of reach.

Rebuilding these foundations is central to this Government’s mission, but we will not achieve our goals unless we fundamentally change the way our country is run. That means handing power back to local people, who know their areas best, so they can make decisions on what really matters to their communities. This is what the English Devolution and Community Empowerment Bill will do—drive the biggest transfer of power out of Whitehall to our regions and communities in a generation. The Bill will make devolution the default setting. It will give mayors new powers over transport, planning, housing and regeneration; rebuild local government so that it can, once again, deliver good local services that people can rely on; and empower local communities to have a bigger say in shaping their local area.

Strategic authorities are at the heart of this change. The Bill is creating strategic authorities as a new category of authority in law. They will make it easier for local leaders to work together over larger areas to drive through big, pro-growth projects such as integrated transport networks and housing. Crucially, the Bill will give new strategic authorities powers to pilot and request new functions, with government having a duty to respond to requests by established mayoral strategic authorities. Strategic authorities will operate at three levels: foundation, mayoral and established mayoral, and the Bill will define the powers and responsibilities of each of those levels.

Working alongside parliamentarians and local councillors, mayors will drive forward the delivery of people’s priorities, igniting growth and unlocking opportunities for their local area. That is why the Bill will give them wide-ranging new powers in areas such as transport, planning and economic development, which have a real impact on people’s lives. For example, mayors will be able to intervene in strategic planning applications to unlock housing, and there will be powers for all strategic authorities to license shared cycle schemes so that they work for everyone and we do not see bikes strewn across all our pavements.

The Bill will also see more mayors take on police and crime commissioner functions and become responsible for fire and rescue authority functions, allowing them to take a joined-up approach to improving public safety. They will also be able to appoint commissioners to support them as their responsibilities grow, similar to the way this works in London.

The Bill is the floor, not the ceiling, of the Government’s ambition and we have already demonstrated how seriously we take mayors’ rights to request new powers. We announced at the Budget that mayors will be given the power to raise revenue locally through a new overnight visitor levy, and we are consulting on whether to also grant this power to foundation strategic authorities. This is a ground-breaking step for the future of devolution, with transformative investment potential for England’s tourism sector and the wider economy. This Government are committed to giving mayors the tools they need to drive growth and deliver for local people.

None of this reform can be achieved without strong local government. Councils are the bedrock of our state. They are critical to delivering local public services that people can rely on, but they have been neglected for too long. The Bill will help rebuild local government as a “fit, legal and decent” foundation of devolution. It will establish the local audit office to help fix the broken, fragmented local audit system—nobody who has been in local government over the last few years will pretend the audit system is working properly.

We will also reform local authority governance by requiring councils with a committee system to move to a leader and cabinet model or, otherwise, undertake and publish a review on the decision, while putting a stop to new local authority mayor roles being created. This change will streamline decision-making across all councils, making it easier for people to understand how their council is run, while also respecting local democratic mandates where the committee system was adopted more recently following either a council resolution or a public referendum. In those cases, we will allow them to continue for the period that was voted for.

The Bill will also give the Government the tools to deliver local government reorganisation across England, resulting in better outcomes for residents and savings which can be reinvested in public services. I know that noble Lords have raised concerns about the powers we are taking in the Bill to incentivise local government reorganisation. To be clear, reorganisation is a crucial part of the Government’s mission to fix the foundations of local government, creating unitary councils that can deliver the high-quality services that all our residents deserve.

I assure noble Lords that we are fully committed to working in partnership with local areas. Our long-standing position remains: we will always seek to work with local areas on proposals for reorganisation brought forward by local areas. This Bill will enable the Secretary of State to direct areas to submit proposals to reorganise, but this power will only be used as a last resort when areas have failed to make any progress following an invitation.

As I have previously laid out, we want to give mayors the tools and opportunity to unleash the potential of their area with a more ambitious role and deeper powers. Each mayor will serve millions of people and manage multimillion pound budgets. This role has to be underpinned by elections that command public confidence. The Bill will revert elections for mayors and police and crime commissioners to the supplementary vote system after the May 2026 elections to provide greater accountability and a strong personal mandate. This was the voting system in place when mayors were first established, and it is the best system for electing people to single executive positions. In addition, the Bill will bar mayors from also sitting as MPs, ensuring that local places benefit fully from having dedicated local leaders.

We are not just giving mayors more power; we are also handing more control directly to the communities they serve. This Bill will give local communities a bigger say in shaping their place, with councils required to make sure that effective neighbourhood governance is in place. Communities will also have the tools to transform their high streets and neighbourhoods through a new community right to buy to save much-loved community assets such as pubs and shops from being lost, and to protect sports grounds, which are at the heart of so many communities and a source of great local pride. The Bill will also support our high streets by banning the unfair practice of upwards-only rent reviews, preventing the blight of vacant shopfronts. Every community should have the opportunity to thrive, and these measures are fundamental steps in achieving this.

I will now turn to a few amendments we made to the Bill in the other place. We have listened to parliamentarians and the sector and have introduced a modest number of amendments to ensure that the Bill functions correctly and delivers for local people. First, on London’s strategic licensing, I am sure noble Lords will agree that London’s pubs and restaurants are the beating heart of London’s cultural life. They contribute to our capital’s world-class status and to the growth of the economy. Yet for too long, hospitality businesses have been held back by a licensing regime that lacks proportionality, consistency and transparency. That is why we have brought forward amendments to establish a new licensing regime in London that will give hospitality businesses greater confidence and create the conditions for London’s night-time economy to thrive.

These amendments will also introduce a call-in power for the Mayor of London to determine borough licensing applications of strategic importance. The policy direction of the call-in amendment is clear. However, to ensure we fully digest any wider changes to the operation of licensing as a result of the call for evidence from the licensing policy taskforce—which closed on 6 November—we will bring forward more detailed amendments at a later stage in the Bill and we will continue to engage with noble Lords on this.

To support this Government’s commitment to deliver 1.5 million homes in this Parliament, we have taken steps to cut unnecessary and duplicative bureaucracy. Amendments have been introduced which will allow mayors to adopt a written representation procedure when determining certain planning applications of potential strategic importance and which remove the requirement that the local planning authority must consent to mayors of strategic authorities when making, revising or revoking a mayoral development order. However, I assure noble Lords that this change is not an attempt to bypass local planning authorities. Mayors will still have to bring them along as they will be crucial to delivering these orders. It is about empowering mayors so they can provide the strategic leadership that areas deserve.

We have also brought forward an amendment which will devolve the approval of lane rental schemes from the Secretary of State for Transport to mayors of strategic authorities, putting decisions in the hands of those with knowledge of their area.

On taxi and private hire vehicles, the Government recognise the challenges that the current licensing framework can cause, including inconsistent standards across the country and the practice of “out-of-area” working, where drivers choose to license in one authority area but work wholly or predominantly in a different authority area. As highlighted by the noble Baroness, Lady Casey of Blackstock, in her recent National Audit on Group-based Child Sexual Exploitation and Abuse, out-of-area working creates concerns in some authorities about the safeguarding standards applied to some of the drivers operating in their area. The Bill therefore creates a power for the Secretary of State to set national minimum standards for the licensing of drivers of taxis and private hire vehicles. Setting these licensing standards will help bring some consistency across licensing authorities.

Finally, we have taken concrete steps to ensure that local government members are able to perform their duties without fear for their own safety or that of their family. The world has changed a lot since I started being a councillor and this Government are clear that intimidation, harassment and abuse have no place in our democracy. This Bill puts it beyond doubt that a member’s, or co-opted member’s, home address should not be published by default. The amendment we introduced will also prevent the disclosure of home addresses when they are declared as interests at public meetings.

I know we all share a wish to set the sector on a firmer footing, ensure local government is fit, legal and decent, and empower communities to deliver real change and opportunities. We believe this Bill is a fundamental step in achieving this. By enabling the biggest shift of power from Whitehall to local areas in over a generation, this Bill will support the change residents expect and deserve: better joined-up delivery of public services, good jobs and politics being done with communities, not to them. I move the Bill.

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Baroness Taylor of Stevenage Portrait Baroness Taylor of Stevenage (Lab)
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I thank noble Lords from all sides of the House for their excellent contributions. It has been an engaging and constructive debate and, for someone as passionate about devolution and local government as I am, it is heartening to hear that passion echoed around the Chamber. We may have different views on how we do things, but that passion for moving some of the powers and funding that are currently held in this little bit of London to local areas has been echoed today. We all know the pressure that the current system is under. It is not working in many places now, and it certainly is not sustainable for the future. We can see the signs of the system cracking all around us, and we need to move forward with this.

I will answer a couple of points made by the noble Baroness, Lady Scott of Bybrook, and the noble Lord, Lord Jamieson, before I start picking up particular detailed points in the Bill. The noble Baroness spoke about respect for local identity. These proposals have come from local government. We have not devised them in the office—there is no map-drawing going on in Marsham Street. That has been done by local people in their own areas. I will not take any lessons from the Tories, who dithered and delayed on local government review and devolution. They did some devolution, but they left huge areas of the country stranded from the increased powers and funding that some areas have benefited from. That cannot be right, and we need to address that now.

The accountability gap that the noble Baroness, Lady Scott, mentioned is there now; what we are doing is introducing locally elected mayors to provide local accountability for local decision-making. With the powers that will be devolved from Whitehall to those local mayors, they will have a powerful democratic mandate to take decisions on behalf of their residents. With the strong local authorities that will sit alongside them and the neighbourhood governance that will take that accountability to the very local level, this is an empowering Bill in terms of accountability, not the other way around.

The noble Baroness asked about funding. There is £200 billion of funding being devoted to this mayoral project, and that gives areas a real chance to make decisions on their own behalf. There are other powers, which I will come to.

The noble Baroness, Lady Scott, mentioned fiscal stability. Fiscal stability comes from having growth and investment in every part of our country, not just in the bits of it where it is decided that it will be. We will get that fiscal stability only where we are making decisions on growth and investment at local level. It is therefore very important that we take these steps now.

Just briefly on the noble Baroness’s point about adult social care—which is well made; we know that there are huge problems with adult social care—each of the proposals for local government reorganisation contains the area’s ideas of how to do the transformation to adult care services. With that local input and the work that the noble Baroness, Lady Casey, is doing, I think that we have a chance to make a real step forward on adult social care after a long time of waiting for that to happen.

I will endeavour to respond to different points in turn, but I would be happy to discuss topics of interest in detail in advance of Committee. The noble Lord, Lord Shipley, asked an important question about other government departments and how they are reacting to the Bill. I simply point to the huge amount of co-operation that we have had from other government departments on, for example, skills, transport, public health and prevention, policing and the fire service. There has been a great cross-governmental project to work on this. I have some of my fellow Ministers sitting on the Front Bench with me and I know that they will be working in their own departments on how we devolve these powers to the local level.

The noble Lord, Lord Shipley, also asked whether this devolution can really be delivered with local government finances in the state that they are. I very much regret that they are in that state, and we need to move that on. The answer to that question is that we simply cannot deliver the public services that people deserve and the growth that people need to see without making these changes. To the noble Baroness, Lady Bennett, I say that we absolutely understand the pressures: many of us have been very close to those pressures over the years, but we need to move this on now.

I say to the noble Baroness, Lady Janke, that mayors will have powers devolved from Whitehall, not upwards from local government. That is very important. We will have stronger, more sustainable unitary local authorities delivering services to local people. As my noble friend Lady Griffin very articulately pointed out, that will instead create the opportunities and growth that we need to see across our country. Of course, people are worried about change, but I point to the success that we have seen right across mayoral areas already. Those areas that already have mayors are making great strides forward with economic growth, housebuilding, skills, transport and infrastructure.

Let me be clear, particularly to the noble Viscount, Lord Trenchard, who I have spoken to on many occasions at Hertfordshire events as well as in this House, that the historic institutions, such as lords-lieutenant and high sheriffs, remain a fundamental part of local life and will continue to do so.

A number of noble Lords raised issues about the functions of local government. As I said, no one is drawing maps in Whitehall; they are being devised and owned by local people. This place-shaping goes right to the heart of the local government reform that the noble Baroness, Lady Pinnock, referred to. Devolution by default is the principle right at the heart of the Bill. As mayoral authorities grow and get more established, they can request more powers, as we have already seen our colleagues in Manchester and other mayoral authorities doing. The Bill sees our system of devolution move away from an ad hoc and inconsistent model, replaced with a model where it is clear what places can access, when they can access it and under what conditions. Our new system of conferring functions on levels of strategic authority is devolution by default, which will streamline the devolution of functions. All areas can be confident about the functions they will receive and, as the framework deepens over time, they will know that they will have access to the new powers as they are introduced.

I am very grateful for the examples of great local action that we have heard. My noble friend Lady Elliott is right that accountable responsible mayors must have the funding that they need to deliver local outcomes and the right framework to demand further powers when they are ready to take them. The noble Baronesses, Lady Scott, Lady Shephard, Lady Bennett and Lady Maclean, and the noble Lord, Viscount Trenchard, all spoke about issues relating to the establishment and the expansion of functions. The Government have been clear that devolution can deliver growth, unlock investment and deliver the change that the public want to see. That is why we want to see more parts of England benefit from devolution. Our engagement with councils to date has demonstrated that there is real appetite for this devolution across England, and the Bill will streamline the process for establishing new strategic authorities. It is our strong preference for devolution to be locally led.

However—and I hope this addresses some of the points about the powers that we have put into the Bill to deal with issues through ministerial-led routes—there are powers providing those routes to establish or expand strategic authorities or provide a strategic authority with a mayor. I reassure the noble Lord, Lord Storey, and others who have raised this issue that these powers will be used only where no local agreement can be reached, where this cannot be moved forward at a local level. We much prefer this to be done at a local level, and this measure will definitely be a last resort. The powers will be subject to conditions and statutory tests and will not be commenced automatically. Instead, they will be commenced by regulations only when Ministers consider it necessary and we will ensure that Parliament has the opportunity to engage further on this matter.

My noble friend Lord Bassam’s points on pace are noted. I thank him for all the work that he did in Brighton. I agree that we need to establish stable unitary authorities as the foundation for devolution, and I am grateful for his comments.

As it has been mentioned in the debate many times, I will briefly refer to the devolution priority programme mayoral elections. Although we had a Question on it earlier, it is important to reiterate those comments, as they were questioned by the noble Baronesses, Lady Scott and Lady Shephard, and the noble Lord, Lord Wallace. The noble Lord, Lord Lansley, spoke about the importance of pace in the devolution priority programme associated with this, and the noble Lord, Lord Pack, mentioned this as well. Of course, we are committed to this extension of devolution and, for Cumbria, Cheshire and Warrington, the first mayoral elections for the new strategic authorities will take place in 2027, as those local authorities had already requested that that be the date for them. For Norfolk and Suffolk, Greater Essex, Sussex and Brighton, and Hampshire and the Solent, which are all areas that currently have two tiers of local government, we have announced that we are minded to hold the first mayoral elections for those areas in May 2028, because we know mayoral devolution is most successful when mayoral strategic authorities are underpinned by strong unitary councils. Therefore, holding elections for new mayors in 2028 will allow enough time for the reorganisation process to conclude and unitary councils to be well established.

On the issue of why culture and heritage are not included in the competence list—the noble Lord, Lord Shipley, the noble Baroness, Lady Prashar, and my noble friend Lady Griffin mentioned this—the current list of thematic policy areas is deliberately broad and is intended to allow a wide range of activities to fall within the scope of the areas of competence. Many initiatives relating to culture, heritage and tourism would naturally be encompassed within the economic development and regeneration area of competence. Strategic authorities will remain key players in supporting culture and heritage initiatives locally. Many are already using their existing powers to support culture, heritage and tourism.

The noble Baroness, Lady Prashar, raised important points about the ability of local government, confidence in its institutions and how that can drive community cohesion. She is absolutely right to raise that, which is why it is important that these institutions are stable and people have confidence in them. The noble Lord, Lord Ravensdale, mentioned the environment, which is the specific competence of mayors, and energy, which is the subject of new powers over local growth plans and strategic planning.

The issue of the appointment of commissioners was mentioned by the noble Baronesses, Lady Scott and Lady McIntosh, and the noble Lord, Lord Shipley. I think that the noble Lord asked why they are not local government leaders. They can be local government leaders if that is the way that the mayor decides to take this. Local authorities will have critical new functions to undertake. They require representation on national bodies and joint working. It is not realistic to expect a mayor to do all this on their own. That is why mayors will be able to appoint and remunerate commissioners to lead on one of seven areas of competence, helping to increase the capacity in their strategic authorities. The noble Baroness, Lady McIntosh, asked about rural communities in this respect. Mayors can set an expectation that one or all of their commissioners should focus on rural issues. This is rightly a local decision.

The noble Lord, Lord Fuller, and many other noble Peers raised issues around local government funding. We are making good now on long-overdue promises to fundamentally update the outdated funding system and its decades-old data. We are targeting money where it is needed most by properly accounting for local need and equalising local income. We are giving local authorities greater flexibility and certainty as we simplify the more than 30 funding streams that were there when we came into office, worth almost £47 billion through the first multi-year settlement in a decade. Giving local authorities that certainty over funding, and over multi-year settlements, is critical here. We will publish the local authority allocations later in December and they will be subject to consultation and the usual parliamentary process.

On mayoral combined authority precepts, to empower mayors to deliver change in their communities, they need to be able to spend money effectively. Previously, mayors could use their precept only to raise money for mayoral functions. This did not cover some areas vital to growth, such as adult skills provision. The Bill will allow mayors to spend money raised through the mayoral precept across the whole of an authority’s function. The introduction of a precept will need to be approved through the budget voting process within each strategic authority.

On council tax, we are committed to empowering local leaders to drive growth and deliver for their communities, without placing excessive tax burdens on people. We are delivering the long-awaited local government funding reforms and the multi-year settlements, and we are consulting on modernising and improving the administration of council tax, to make the system fairer, more efficient and more transparent. That package builds a more sustainable, accountable and locally empowered system that focuses on the needs of communities.

There has been a broad agreement that local audit reform was needed. I agree with my noble friend Lady Armstrong that audit is essential for public confidence. When the whole-government accounts cannot be cleared because of the issues with local government funding, something has to change. Local audit is vital for ensuring trust and confidence that taxpayers’ money is being used wisely. We have acted decisively to clear the backlog, but significant further reform is needed. Last December, we published a strategy and consultation on measures to outline a road to recovery and set the system up for long-term, sustainable success. The Bill delivers core elements of this strategy, creating a clear statutory remit for the local audit office to oversee and streamline the system. I hope that picks up the points that noble Lords mentioned.

The noble Baronesses, Lady Bennett and Lady Pidgeon, my noble friend Lady Armstrong and the noble Lord, Lord Evans, all mentioned the scrutiny of combined authorities and local public accounts committees. All combined authorities will be required to establish both overview and scrutiny committees, and audit committees. Beyond these structures, the current system of accountability and scrutiny is guided by the English Devolution Accountability Framework and scrutiny protocol. We are reviewing both documents to reflect the changes brought forward by the integrated settlement and the Bill. We recognise that there is scope to further strengthen the system of accountability and scrutiny for mayoral strategic authorities. That is why we committed in the White Paper to exploring models for local public accounts committees and local accounting officers. We are committed to strengthening accountability alongside the strengthened devolution offer, and we will confirm our policy approach in due course.

The noble Baronesses, Lady Scott, Lady Janke, Lady Bennett and Lady McIntosh, and the noble Lord, Lord Wallace, among others, mentioned the important issue of our parish and town councils. The Government value the role that town and parish councils play; they are an important part of local democracy. There are no plans to abolish town and parish councils or to change their powers. Our plans on neighbourhood governance in the Bill are about hardwiring community engagement into local authorities themselves. Parish councils will be an important partner in creating stronger, more responsive neighbourhood governance, as will the whole range of grass-roots groups that support community empowerment. I hope that answers the point raised by the noble Lord, Lord Addington, about community groups and their engagement in this. It is for local authorities to determine whether new parish and town councils are needed, and this is done through the community governance review process.

The noble Baronesses, Lady Scott and Lady Griffin, and the noble Lord, Lord Wallace, raised issues around community empowerment. Of course, communities need power returned to them. We want to empower local leaders so that they can better affect the decisions impacting on their areas. That is why we are giving communities stronger tools to shape the future of their local areas, such as the new community right to buy, to help protect against the loss of cherished local assets. Some 350 of the most deprived communities are receiving funding from the Government. This includes the 75 plan for neighbourhoods areas and 25 new trailblazer areas, which will receive £20 million in funding over the next decade, including the pride in place funding. There is a clear ambition to hardwire that community engagement into this new system.

On the neighbourhood governance plans, the noble Lord, Lord Wallace, talked about removing powers from local areas. It is the opposite of that; we are creating a clear neighbourhood governance system for local authorities to hardwire community engagement and neighbourhood working into their governance. The goal of that neighbourhood governance is to move decision-making closer to residents. Decisions about local communities should be made by people who understand local needs. That is why we are introducing a new requirement for all local authorities to make appropriate arrangements for the effective governance of local neighbourhood areas.

The noble Lord, Lord Fuller, and the noble Earl, Lord Devon, raised issues about rural versus urban. Like the noble Lord, Lord Jamieson, I will not get involved in the cream and jam debate. I am afraid the planning Bill and the English devolution Bill are quite controversial enough for me; I will not get involved in a debate about scones. The Government recognise that neighbourhoods across England are diverse, and that rural and urban communities have different needs and characteristics. Through the review of existing council-led neighbourhood governance models, we are working closely with local authorities and the community sector to understand what works best in different contexts.

The noble Lords, Lord Best and Lord Lansley, raised important issues around mayoral development corporations. I agree with the noble Lord, Lord Best, about the value of the New Towns Taskforce report and Sir Oliver Letwin’s report relating to master planning and development corporations. That is why the Bill extends to all mayors the power to create mayoral development corporations, to drive economic growth and regeneration. Mayoral development corporations will benefit residents by delivering new homes, better transport and economic opportunities, revitalising areas for future generations.

I can see I have run out of time. I am sorry; I knew I would not get through all this, but I will respond in writing to any noble Lords whose questions I did not get to. I will conclude my remarks now. I reiterate my thanks to your Lordships for their engagement with the Bill to this point. I thank the noble Lord, Lord Porter, for raising the issue of the District Councils’ Network and the County Councils Network, which have contributed hugely to the work going forward and to briefing noble Lords.

As the Bill progresses, I am happy to accommodate any requests from noble Lords for meetings or additional briefings wherever helpful. As I have set out earlier today, this ambitious legislation will deliver top to bottom redistribution of power, putting decision-making in the hands of local areas and delivering real change for working people. With this Bill, the Government will deliver on our manifesto commitment to empower local leaders and mayors to unlock growth and opportunities right across our country by making the right decisions for the communities they serve. I look forward to working with your Lordships during the passage of this legislation. I commend the Bill to the House.

Bill read a second time.
Moved by
Baroness Taylor of Stevenage Portrait Baroness Taylor of Stevenage
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That the bill be committed to a Grand Committee, and that it be an instruction to the Grand Committee that they consider the bill in the following order:

Clauses 1 to 4, Schedule 1, Clauses 5 and 6, Schedule 2, Clauses 7 to 9, Schedule 3, Clauses 10 to 20, Schedule 4, Clauses 21 to 23, Schedule 5, Clause 24, Schedule 6, Clause 25, Schedule 7, Clause 26, Schedule 8, Clauses 27 and 28, Schedule 9, Clauses 29 and 30, Schedule 10, Clause 31, Schedule 11, Clause 32, Schedule 12, Clause 33, Schedules 13 and 14, Clause 34, Schedule 15, Clause 35, Schedule 16, Clause 36, Schedule 17, Clause 37, Schedule 18, Clause 38, Schedule 19, Clause 39, Schedule 20, Clauses 40 to 43, Schedule 21, Clauses 44 to 46, Schedule 22, Clause 47, Schedule 23, Clauses 48 to 50, Schedule 24, Clauses 51 and 52, Schedule 25, Clauses 53 to 57, Schedule 26, Clauses 58 and 59, Schedule 27, Clauses 60 and 61, Schedule 28, Clauses 62 and 63, Schedule 29, Clauses 64 to 73, Schedule 30, Clause 74, Schedule 31, Clause 75, Schedule 32, Clauses 76 to 84, Schedule 33, Clause 85, Schedule 34, Clauses 86 to 93, Title.

Baroness Scott of Bybrook Portrait Baroness Scott of Bybrook (Con)
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I understand that there has been no agreement in the usual channels for the Bill to be committed to a Grand Committee. I put on record that it is very disappointing that the Government have tabled this Motion without the agreement of the usual channels.

Baroness Taylor of Stevenage Portrait Baroness Taylor of Stevenage (Lab)
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My Lords, my noble friend the Chief Whip consulted the usual channels in the usual manner. I am also aware that he spoke to some key Peers with an interest in the Bill.

Motion agreed.

English Devolution and Community Empowerment Bill

Baroness Taylor of Stevenage Excerpts
Lord Wallace of Saltaire Portrait Lord Wallace of Saltaire (LD)
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My Lords, I have no interests to declare. Like the noble Lord, Lord Norton, I am an academic and am interested in clear language, among other things. I was horrified when I first read the Bill by the looseness of its language. Devolution has already been mentioned. The PACAC report some three years ago on the governance of England noted that

“we … refer to what is currently taking place in England as ‘decentralisation’”

rather than devolution, but it is not really effective devolution. This Bill carries on what its predecessor under the Conservative Government was doing in providing a mayoral strategic structure throughout England.

“Local”, “community” and “neighbourhood” are used extremely loosely throughout the Bill. The use of “strategic” implies something that is not local and has to be seen separately from it. Incidentally, in talking about strategic authorities, we enter into the structure of government in the United Kingdom and are talking about constitutional matters—although, with the odd absence of constitution that we have in this country, Governments can muck about with local government in a way that no other constitutional democracy that I am aware of can.

I regard community as very local. In France, the commune is the village, and each commune has a mayor. I think about the ward represented by my colleague the noble Baroness, Lady Eaton; she has five or six separate communities within the one ward. Neighbourhoods are parts of towns or cities, and a neighbourhood is somewhere you can walk around, but the Bill uses those terms to cover much larger areas. That raises questions about its relationship with central government, in setting up a network of strategic authorities.

I have submitted a later amendment that refers to a mayoral council for England; that indeed has been set up by prime ministerial fiat, but is only a pale shadow of the structure for the Council of the Nations and Regions and the mayoral council associated with it, which Gordon Brown usefully proposed some years ago. If we are to have real devolution, there will have to be some mechanism for negotiation between strategic authorities and central government. That is why the absence of any reference to the fiscal issue here also indicates that we are not really dealing with devolution.

The last thing I want to say is that, according to all the opinion polls, we are in a situation in which public trust in national government is remarkably—horrifyingly —low. Public opinion polls also say that public trust in local government is less bad than it is in central government. Strong local government, with councillors whom your average voter might actually know, is one of the ways that one holds democracy together. Colleagues like the noble Baroness, Lady Eaton, find themselves trying to represent 15,000 people per ward in a district like Bradford; that is not really effective local democracy. It is very hard for the councillor to know all the electors, let alone for the electors to know the councillors. When we come to the question of town and parish councils, and devolution from strategic authorities to the levels below, we will wish to emphasise that.

I signal that, as we talk about the context of the Bill and strategic authorities, we must first be clear how those strategic authorities relate to central government and, on the other side, how they relate to the single tier of effective local government and to the town and parish councils in which we hope your ordinary voter will find some sense of identity and participation.

Baroness Taylor of Stevenage Portrait The Parliamentary Under-Secretary of State, Ministry of Housing, Communities and Local Government (Baroness Taylor of Stevenage) (Lab)
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Before I comment on the amendments in this group, I send my very best wishes to the noble Baroness, Lady Pinnock. We had an online meeting with her last week, and I know how frustrated she is not to be able to be part of this Committee’s work at the moment. I hope that she will be able to return to work with us in due course, so please convey our best wishes back to her.

I thank all noble Lords who have continued to engage with me since Second Reading and for the amendments that have been submitted. This House does great work on Bills, as I have experienced on both occasions that I have taken Bills through the House recently, and I am very grateful for that engagement and the work that has been done between Second Reading and Committee. I will start with a brief introduction of my own.

The Bill will deliver a landmark transfer of power out of Westminster to mayors and local leaders, enabling them to unlock growth, transport and infrastructure and deliver the change that we need in our local areas. It will deliver our commitment to a fit, decent and legal local government as the foundation of devolution by establishing, for example, a new local audit office that will transform our broken local audit system. We have committed to transfer power out of Westminster to all levels, which is why the Bill will also empower our communities via a new duty for local authorities to establish effective neighbourhood governance, bringing decision-making closer to communities, and a new community right to buy, which will help our authorities to have the power to do with the assets that they value what they think is the right thing.

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Lord Shipley Portrait Lord Shipley (LD)
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My Lords, I would like briefly to contribute in the hope that I can be helpful to the Minister at this point. There is a list of areas of competence in Clause 2. The noble Lord, Lord Jamieson, told us that this was a probing amendment. By implication, I think that that means some thought can now go into the list of areas of competence.

I just want to add one new thing. I was a board member of a regional development agency, One North East, for a number of years. There is a difference between the list of areas of competence that we had and this list. Let me explain. We had a rural role and a role in culture and sport, particularly capital investment. We had a clear role in tourism and in energy. We had no role in public safety, health, well-being and public service reforms, or community engagement and empowerment, and we did not directly address issues of poverty, although we did indirectly by the nature of what the RDA was trying to do. I wonder if the Minister might take on board all that has been said and look at those areas of competence. I hope that they are not seen to be a final list. In my view, they are not a final list but a very good basis for discussion. I hope that the Government will be willing to do that before Report.

Baroness Taylor of Stevenage Portrait Baroness Taylor of Stevenage (Lab)
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My Lords, I thank all noble Lords for their amendments on the areas of competence and for what has been a useful and helpful discussion on the subject. Many of the amendments in the group seek to probe the list of mayoral competences and I understand why noble Lords would want to do that, but I want to be clear that the areas of competence are deliberately broad to enable a wide range of activities to fall within the scope of strategic authorities. They are intended as a framework that mayors can adapt as their local areas determine where they should place the emphasis.

Amendment 8, tabled by the noble Lord, Lord Lansley, seeks to create a distinct area of competence of “community engagement and empowerment”. It is important that all tiers of local government work to deliver for their communities, as we all know. Strategic authorities, like any other tier of government, will be empowered to engage with those who live and work in their areas. Those already in place do so effectively.

Indeed, many existing combined and combined county authorities already use their powers to engage with their communities to ensure that their work meets local needs. For example, West Yorkshire Combined Authority has an established region-wide engagement platform, known as Your Voice, to strengthen dialogue with local communities. Through this initiative, alongside wider public engagement activity, the authority is gathering views to inform decisions on how its devolved funding is allocated.

The York & North Yorkshire Combined Authority has invested £1.9 million to support community building projects across the region. Funding has been given to buildings which play an important role for communities, such as the village halls in—I always hesitate to use the Yorkshire pronunciations, so forgive me if I get this wrong —Great Ouseburn and Kettlewell.

The areas of competence have been framed to enable a wide range of activity to fall within scope, including community engagement and empowerment. In this sense, it will be embedded within and throughout all the existing areas of competence. These competences are deliberately flexible. I take the point made by the noble Lord, Lord Lansley, about any power in the Bill, but we intend for it to be a framework; I will reflect on that point and come back to him.

The noble Lord, Lord Mawson, made a point about action and impact, as opposed to the broader framework. I refer him to the Pride in Place funding that does exactly as he was describing; it is £20 million of funding for each of 250 neighbourhoods. This is a long-term project, over 10 years, to make sure that each place is able to shape the things that are important to it. I refer the noble Lord to that important project, which shows how we are working with communities—not to them—to move forward the kinds of projects that he was talking about.

Amendment 9, tabled by the noble Baroness, Lady Bennett, seeks to create distinct areas of competence for

“reducing poverty and socio-economic inequality”,

and food security. She will not be surprised to hear that I share her objective of addressing poverty, socioeconomic inequality and food insecurity. The Government remain firmly committed to tackling these issues by addressing all the factors that underpin these challenges that we see in communities.

The areas of competence already enable strategic authorities to tackle poverty and socioeconomic inequality in a cross-cutting manner, via skills and employment support, economic development, investing in transport, tackling health inequalities and in many other ways. The same is true for food security. In Greater Manchester, the combined authority is taking concerted action to tackle food inequality and poverty through initiatives such as No Child Should Go Hungry, which has provided thousands of emergency food cards to residents. At a strategic level, mayors will take account of all the needs of their areas, and locally relevant information, such as the land use framework that colleagues in Defra are producing.

Amendment 3, tabled by the noble Lord, Lord Ravensdale, seeks to add energy to the existing transport and local infrastructure area of competence. The noble Lord and I have spoken about this Government’s energy plans and I have written to him today. With his permission, in a moment, I will quote briefly from that letter because I think it would be helpful for noble Lords to have a bit more detail. On the role that we intend strategic authorities to play in this space, while I am sympathetic to the noble Lord’s amendment, I do not believe at this stage it is necessary. As noble Lords will know, the themes of the areas of competence are, as I have said, deliberately broad in scope and include thematic policy areas such as local infrastructure and environment and climate change. Energy cuts across all these, as well as other areas of competence. Importantly, strategic authorities can, and will be able to, address their local communities’ energy needs through the areas of competence. Indeed, many are already doing so.

On future strategies, the Government are undertaking a number of pieces of work reviewing the benefits of local energy planning for meeting national goals, several of which will lay out our approach for local renewable energy. The forthcoming local power plan will be owned jointly by Great British Energy and the Department for Energy Security and Net Zero. That will outline our shared vision for the local and community energy sector. We are continuing to develop the local power plan with Great British Energy and updates will be provided soon. Similarly, the warm homes plan will cover housing retrofit and heat network zoning and will be published shortly. There will be more details in that plan on heat network zoning. The secondary legislation, rather than this Bill, will provide the necessary framework to empower local authorities to act as heat network zone co-ordinators under the Energy Act 2023. That is just a bit more information on those areas. For example, the Liverpool City Region is working to establish Mersey Tidal Power, with the aim of delivering Europe’s largest tidal power project by 2030, capable of powering up to 1 million homes. In the west of England, the combined authority has implemented its local energy scheme, which is funding community-led renewable projects.

Amendment 4, tabled by the noble Lord, Lord Freyberg, seeks to add tourism to the existing economic development and regeneration areas of competence. The Bill already makes provision for strategic authorities to support the tourism industry. Clause 41 extends local powers to strategic authorities to encourage and promote visitors. Combined authorities and combined county authorities can use these powers to promote tourism and host events attracting visitors to boost local businesses such as hotels and shops. Many existing combined authorities and county authorities are already making use of these powers. For instance, the West Midlands Combined Authority is investing £120 million into an economy, trade and tourism programme, supporting over 250 businesses and 10 major sporting and cultural events. This example demonstrates that prescribing an extensive list of industries and sectors within the area of competence is not required. The areas of competence will empower mayors and strategic authorities to determine their own priorities in the application of their powers, and many are already doing so to address local issues such as tourism.

Amendment 2, tabled by the noble Baroness, Lady Scott, would remove transport and local infra- structure from the areas of competence for strategic authorities. I note from the noble Baroness’s explanatory statement that her intention in tabling this amendment is to probe how the power to borrow will work for mayoral strategic authorities. I think the noble Lord, Lord Jamieson, was probing this during his speech. All existing mayoral strategic authorities already have the power to borrow for all their functions, including transport. Clause 12 will confer the power to all future mayoral strategic authorities. Strategic authorities have full discretion over the exercise of borrowing powers and allocation of resources, subject to obtaining the requisite support from their constituent members via the budget voting process.

Like the rest of local government, strategic authorities must also operate within the prudential framework— I think all noble Lords here would expect that. This framework comprises statutory duties and codes intended to ensure that all borrowing and investment is prudent, affordable and sustainable. It provides robust mechanisms for oversight and accountability. In practice, this amendment would remove transport and local infrastructure from the areas of competence for strategic authorities. That is clearly contrary to the aims of the Bill.

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Baroness Scott of Bybrook Portrait Baroness Scott of Bybrook (Con)
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I am sorry, but the Minister does not seem to have mentioned this: I think we are also probing where LRS would fit in and what level they would be if they are going to continue.

Baroness Taylor of Stevenage Portrait Baroness Taylor of Stevenage (Lab)
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I will finish what I am saying, then I will see whether I can answer the noble Baroness’s question.

Including public safety within the areas of competence is important for several reasons. First, it enables devolution of further public safety functions. For example, consideration is currently being given to the role of strategic authorities in resilience as part of the post-implementation review of the Civil Contingencies Act 2004, due to be completed by March next year.

Secondly, it allows mayors to delegate certain existing functions relating to public safety to a commissioner; where the mayor is responsible for policing, they must appoint a deputy mayor for policing to whom policing functions are delegated. Additionally, the inclusion of public safety within the areas of competence allows a mayor who is responsible for fire services, but not for policing, to delegate certain fire-related functions to a public safety commissioner.

Thirdly, it enables the mayor to convene local partners and collaborate with other mayors to tackle questions of public safety—something all residents would expect them to do. There is a wide range of activity in which we would expect mayors to participate.

Amendment 11, tabled by the noble Baroness, Lady Scott, seeks to clarify how strategic authorities will seek and assume powers within their area of competence and then be held to account. One of the central aims of the Bill is to move away from the current patchwork of powers and piecemeal devolution of functions. To that end, the Government’s ambitious new devolution framework will set out a coherent and consistent set of functions.

Part 2 of the Bill sets out specific functions and the voting and governance arrangements that strategic authorities will automatically receive at each level of the devolution framework, categorised under the relevant area of competence. For example, the duty to produce a local growth plan is categorised under the “economic development and regeneration” area of competence. The Bill allows for new powers and duties to be added to the devolution framework over time, ensuring that it remains adaptive and responsive to future needs and policy developments. Mayors of established mayoral strategic authorities will also be able to request and pilot new functions so it will be possible to test and evaluate outcomes ahead of adding new functions to the framework.

Finally, I turn to accountability. Combined authorities and combined county authorities—

Lord Lansley Portrait Lord Lansley (Con)
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My Lords, while the Bill clearly allows for additional functions and powers to be given to mayoral strategic authorities, the specific question was whether the Bill has a power to enable the areas of competence list to be amended.

Baroness Taylor of Stevenage Portrait Baroness Taylor of Stevenage (Lab)
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I heard the noble Lord’s question. I responded earlier that I will come back to him on how this works within the Bill, so if that is okay, I will do it in writing and share it with other Members of the Committee.

Combined authorities and combined county authorities are required in law to establish both an overview and scrutiny committee and an audit committee. Also, all strategic authorities are expected to follow the principles and processes in the English devolution accountability framework and scrutiny protocol. The Government remain committed to strengthening local accountability and scrutiny, and we are exploring models such as local public accounts committees; we will provide an update on our proposals in that regard in due course.

I hope that, with these reassurances and explanations, the noble Lord will feel able to withdraw his amendment.

Baroness Bennett of Manor Castle Portrait Baroness Bennett of Manor Castle (GP)
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Perhaps I might come back to the issue of food security. In her answer, the Minister talked about access to food, which is obviously a crucial part of food security and very much related to poverty, but I do not think she really talked about food production and local systems of food distribution, which tie in with the question asked by the noble Earl, Lord Devon—particularly in terms of vegetables and fruit. We are talking about health, as well as pure calories, here. Do the Government see looking to produce as much food as possible locally as an important part of the new strategic authority?

Back in the depths of Covid, I chaired an online event on research from the University of Sheffield demonstrating that Sheffield could be self-sufficient in vegetables and fruit, growing in the green areas of the city. That is just a demonstration of the possibilities: if you get local attention on solving these issues, we can make real progress.

Baroness Taylor of Stevenage Portrait Baroness Taylor of Stevenage (Lab)
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I understand why the noble Baroness is pushing her point strongly, but I will stick to the answer I gave: those areas of competence already enable a very wide framework to tackle poverty and socioeconomic inequality—including food production, if that is where the mayor chooses to go in a particular area. The issues raised by the noble Baroness are cross-cutting aspects so putting them into one of the competences would mean that you would not be able to work so effectively across those competences, including on things such as skills and health inequalities. It is right to leave the framework of competences as broad as possible to allow people to determine the best way forward at a local level.

There is other work going on in Defra, as the noble Baroness will be well aware, in relation to land use frameworks—as well as all of the other issues around how we account for local food production—but, from the point of view of this Bill, the competences and the broad framework that they offer give the widest framework for local authorities to tackle needs in their areas.

Lord Mawson Portrait Lord Mawson (CB)
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I know that the Minister cares a lot about these issues around community engagement, which is always encouraging to people such as me. As a social entrepreneur, I have spent my life at the other end of this telescope. I now operate with a team across this country, in some of the poorest communities, grappling with local authorities and the machinery of the state.

To be honest, we and some of our business partners find a lot of this state machinery very broken indeed; it is very difficult to make it work in practice. What people such as me are trying to suggest is that there needs to be some humility. It is difficult. I am aware that lots of colleagues in this Room have spent a lot of their lives in the public sector—I get all that; it has been my privilege to work with some rather excellent CEOs of local authorities and in the health service, as well as some who have not been so good, if I can put it like that—but there are real challenges with this machinery, whatever we say. I am experiencing them at the moment in one town in the north, where our Civil Service is not understanding the granular, practical detail of transformation and innovation—or what those things look like—and is in danger of putting old men in new clothes.

So, with the opportunity that appears before us in this legislation, let me explain why we need to create, at a granular, local level and in place, learning-by-doing cultures that pay attention to how we work with the public, local authorities, the health service, charities and the social sector—that is, how those interfaces work in practice to deliver. I suggest that it is because, at the moment, although the words all seem fine and lots of people care about this, when you try to do this stuff—as my colleagues and I do—something quite different starts to appear. I fear that, if we are not careful—and unless we grip some of that difficulty and some of the things that some of us have got a lot of grey hairs from trying to do—there will be lots of meaning well, but very little will change, in some of our poorest communities.

Baroness Taylor of Stevenage Portrait Baroness Taylor of Stevenage (Lab)
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I thank the noble Lord, Lord Mawson, for those additional points. In this Room there are many people from local government, who have spent many years working to make sure that what he called the machinery of state is not interfering with actually delivering at local level. What we are trying to do with the Bill is to make sure that we continue that, but no doubt we will have many discussions about whether or not it is going to work.

It is very important that what we do is driven by local people at local level. The Co-operative Councils’ Innovation Network, which I started with my right honourable colleague from the other end, Steve Reed, about 15 years ago now, sets up pilot projects to show exactly how you start with the impact at local level and then work up to what needs to be done in the machinery to make that work. That is what I want to do but on a national scale, and I hope that the Bill will go a long way towards doing so.

Lord Ravensdale Portrait Lord Ravensdale (CB)
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My Lords, I raised a minor point around paragraph (a) in Clause 2—“areas of competence”—which refers to “transport and local infrastructure”. My point is about the wording. That could perhaps be taken to mean local infrastructure related to transport. That is probably not the intention of the Government and this is local infrastructure in general, but perhaps there is an opportunity to clarify that wording.

Baroness Taylor of Stevenage Portrait Baroness Taylor of Stevenage (Lab)
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The noble Lord knows, because we have had the conversation, that I feel that the order of that wording is a little unfortunate. We will reflect on that because it does look as though it is infrastructure related just to transport. That is not the intention of the Bill. The Bill is intended to reflect that the competences will include local infrastructure and transport. If that local infrastructure relates also to transport, well and good, but it might be other infrastructure. So I will reflect on that and come back to the noble Lord.

Lord Jamieson Portrait Lord Jamieson (Con)
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My Lords, I am grateful to all noble Lords who have spoken on this group. What has emerged quite clearly is that there is a huge desire across the Committee for a proper devolution framework that is both ambitious and workable, and one that truly empowers local leaders while ensuring clarity, accountability and coherence.

I want to come back to competence because there appears to be some confusion. My noble friend Lord Porter raised the fact that local authorities already have a general power of competence. Therefore, I want to be clear: what do we mean by competence in the Bill? As the noble Lord, Lord Mawson, raised, what matters for the public is delivery. For that to happen, local authorities, mayors and strategic authorities need to have the responsibility, the powers and the funding. My noble friend Lord Lansley, in helpfully referring to the White Paper, said that a competence is a strategic mandate “to do”, as opposed to the general power of competence. I would really appreciate it if the Minister could clarify—not necessarily now—exactly what we mean by an area of competence and what that means in terms of responsibilities, powers, funding and the ability to do.

The noble Lord, Lord Ravensdale, mentioned energy. Over a century ago the last energy revolution of neighbourhood gas and electricity was rolled out by local authorities because they had the power and the funding—they did not have the responsibility but they took the responsibility—to do so. By the sounds of it, many noble Lords here would like local authorities to be in the same position again to be able to do things at the local level.

The noble Lord, Lord Freyberg, mentioned tourism, which is absolutely crucial to delivering economic growth, particularly in certain areas, such as Bedfordshire, where we have the delights of two national zoos and various other things.

My noble friend Lord Lansley and other noble Lords raised the very important issue of empowerment. It is partly because of the need to try to delve into and understand this that my noble friend Lady Scott and I tabled some of our amendments. Amendment 2 seeks precisely to understand what is meant by the devolution of transport powers; I appreciate that the Minister provided some clarity on that. Amendment 5 is about public safety; that term has significant implications, some of which were raised by the noble Lord, Lord Wallace of Saltaire. My noble friend Lady Scott raised the important issue of LRFs and where they will fit in the future. The importance is around how this will work in the future and the clarity as we go through this process. It is not just about what areas people are competent in but what powers, funding and responsibilities they will be given to deliver that.

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Lord Jamieson Portrait Lord Jamieson (Con)
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My Lords, before I speak to these amendments, I have a point of clarification: I believe that my noble friend Lord Parkinson was referring to Bristol, not Ipswich.

The amendments in the names of the noble Earl, Lord Clancarty, and the noble Baroness, Lady Prashar, would add the arts, creative industries, cultural services and heritage as an area of competence. The noble Earl has long been a vocal advocate for the cultural and creative sectors; his contributions to these debates and their economic, social and civic value are well recognised by the Committee. The case made by the noble Earl is compelling, as is the case made by the noble Baroness.

Cultural policy is most effective when it is shaped locally, with the flexibility to reflect the distinct histories, assets and ambitions of local areas; we have heard this from pretty much every noble Lord who has spoken today. Taken together, these amendments ask an important question: what role do the Government envisage for culture within the devolution framework? The Bill as drafted is silent on this point. Many combined authorities already treat culture as a strategic priority; local leaders would welcome clarity that they may continue to do so within the new statutory framework.

As with earlier groups of amendments, the issue here is not simply whether culture matters—few in this Committee would dispute that, I think—but whether the Government’s model of devolution is sufficiently flexible and ambitious to allow strategic authorities to support and grow the cultural life of their areas. These amendments invite the Government to set out their thinking and explain whether the omission of culture from Clause 2 is deliberate or merely an oversight. I look forward to hearing the Minister’s response.

Baroness Taylor of Stevenage Portrait Baroness Taylor of Stevenage (Lab)
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My Lords, I thank the noble Earl, Lord Clancarty, for Amendments 6 and 51, and the noble Baroness, Lady Prashar, for Amendment 10. These amendments seek to create a distinct area of competence for culture; and to enable a mayor to appoint a commissioner to this additional area of competence. As noble Lords will be aware, we had long discussions about this matter during the passage of the then Planning and Infrastructure Bill.

When I was thinking about this, I thought I would have a look at what was going on in Hertfordshire, my own county, which calls itself the Hollywood of the UK. That might be disputed territory, but that is what it calls itself. When you look at the economic impact in Hertfordshire, there was film and TV investment of £3.7 billion, and 4,000 direct jobs, but 7,000 to 19,000 jobs if you include supply chain and freelance workers. There were major new investments, such as Sunset Studios in Broxbourne, which brought £300 million a year into the local economy; Sky Studios Elstree has an estimated value of over £3 billion over the first five years; and then there are Warner Brothers, Elstree Studios, and all the rest.

I know that is the economic dimension of this, but the whole ecosystem starts with local arts and grass-roots infrastructure, skills and training, and inspiring a new generation of creatives to go into the industry. Mayors and strategic authorities can, and already do, play a very important role in these areas. That is precisely why the Bill’s existing areas of competence have been framed as they have. They are deliberately broad, enabling a wide range of activity to fall within scope, including cultural, creative and heritage activity.

I thank the noble Baroness, Lady Prashar, for correctly highlighting the power of these activities to tackle some of the divisions we are seeing in society; they play a very powerful role in that respect. My noble friend Lady Griffin highlighted the importance of skills enabling the culture industries to thrive, which illustrates the cross-cutting nature of the competences because skills in the creative industries and elsewhere are included in the competences as we see them.

For example, Clause 41 extends a broad power to strategic authorities to encourage and promote visitors to their area. That power sits under the “Economic development and regeneration” heading. This demonstrates how these activities are intended to be captured without the need to list them in a separate policy area. Indeed, many authorities already fund and support culture and heritage initiatives using their existing powers.

The noble Viscount, Lord Colville, made a point about the West Midlands and Birmingham. As we have already had north-west and Yorkshire examples, I will use the example of the West Midlands Combined Authority, which invested £4.1 million into arts and culture projects as part of the legacy funding following the 2022 Birmingham Commonwealth Games.

However, I take the noble Viscount’s point that for local authorities this has been a very difficult time when they are faced with the difficult choice between whether they fund the adult care services and the children’s services or arts services. That is why this Government have started to work on the fair funding of local government so that we can get local government’s confidence back that there is the possibility to invest.

The provisional 2026-27 settlement will make available £78 billion in core spending power for local authorities in England. That is a 5.7% cash-terms increase compared with 2025-26. By the end of the multi-year period, we will have provided a 15.1% cash-terms increase, worth over £11 billion, compared with 2025-26. The reforms ensure that this funding is allocated fairly and that the places and services that need it most are supported. It is for services such as adult care and children’s services, but it will also ensure all areas are able to deliver at the kinds of cultural services that we have been talking about.

In my own area, I hung on to the Gordon Craig Theatre in Stevenage. In spite of successive cuts in funding, we recognised its value to our community, not only in terms of our strong cultural life but to skills and our economy. It is what the noble Lord, Lord Bassam, called recognising the long-term strategic benefit of what that brought to our community. While I am talking about specific places, the noble Lord, Lord Wallace, mentioned Bradford, and I congratulate Bradford on its fantastic year as City of Culture. It has done an amazing job, and we look forward to that continuing in Bradford and elsewhere around the country.

On commissioners, I note that they are an optional appointment for mayors to support delivery in a specific area of competence. Mayors are able to shape the exact brief of the role, and it would therefore be reasonable, for instance, for a commissioner focused on economic development and regeneration to also lead on a strategy focused on culture and the creative industries.

However, I note the concerns of all noble Lords who have spoken, particularly the noble Earl, Lord Clancarty, who is a great champion in this area, and the noble Baroness, Lady Prashar. I would be very happy to meet them and discuss this further before we get to Report. I hope that with these reassurances, the noble Earl feels able to withdraw his amendment.

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Baroness Taylor of Stevenage Portrait Baroness Taylor of Stevenage (Lab)
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My Lords, I thank the noble Baronesses, Lady Royall of Blaisdon and Lady McIntosh of Pickering, for their amendments on rural affairs, and I thank all noble Lords who have spoken in this debate.

I will begin by responding to Amendment 7, tabled by my noble friend Lady Royall of Blaisdon, which seeks to create a distinct area of competence for rural affairs. Strategic authorities cover a range of geographies in England, from highly urbanised areas, such as the West Midlands Combined Authority, to more rural geographies, such as the Devon and Torbay Combined County Authority. Mayors and strategic authorities will be empowered to support all communities within their geography, including rural communities.

It is for this reason that the areas of competence are deliberately broad in their definitions. The topics that they cover are matters which apply to all communities—for example, transport and local infrastructure or housing and strategic planning. We have heard lots of descriptions of why those topics are particularly important in rural areas, but they will be important in different ways to the way that they are important in urban areas. It is right that, at local level, local leaders are empowered to deal with them as appropriate in their area.

Many existing combined and combined county authorities are making use of powers which have not been badged as rural functions to support their rural communities. For example, the mayor of the York & North Yorkshire Combined Authority, David Skaith, is making use of transport functions to build the foundations for a working rural bus franchising model across the area. It aims to deliver a better bus service for areas that currently see only one bus a week—more of that later. Were a specific competence for rural affairs to be included, it could run the risk of encouraging rural areas to be considered in isolation. By that, I mean we do not want rural areas to become a silo that is only one person’s responsibility; we want it to be a responsibility across all those competences. With that in mind, I hope that my noble friend will feel able to withdraw her amendment.

I now turn to amendments tabled by the noble Baroness, Lady McIntosh of Pickering, which seek to ensure that mayors appoint a commissioner where any of their area is classified as a majority or intermediate rural area. I point out to the noble Baroness that, although the structure of the rurality funding in the formula has changed, it has not been taken out; it has been reallocated with the fair funding formula. We have built sparsity considerations into the fair funding formula. The way it has been done has been changed and it has a different name, but we have included consideration of sparsity in that funding formula.

To turn to her amendment, commissioners are an optional appointment for mayors to help bring additional expertise to support delivery in a specific area of competence. Mayors are able to shape the exact brief of the role. It would be reasonable, therefore, that a commissioner focused on economic development and regeneration could lead a strategy focused on the rural economy, for example. As I have outlined, rural matters cross multiple areas of competence. Commissioners will not be precluded from addressing these rural considerations in their work. In practice, it would be possible for a mayor to appoint a commissioner to an area of competence that has a rural relevance in the area, such as environment and climate change, and then give them a locally appropriate title, such as deputy mayor for the environment and rural affairs. These amendments would also mandate the appointment of a commissioner, removing the mayor’s right to choose whether to appoint a commissioner or not.

Amendment 128, tabled by my noble friend Lady Royall of Blaisdon, would require strategic authorities and their mayors, when considering whether or how to exercise any of their functions, to have regard to the needs of rural communities. The Government fully recognise the importance of rural communities and are committed to ensuring that they benefit from devolution.

Mayors already have a strong track record of using their powers to support rural areas. For example, in the north-east, Mayor Kim McGuinness is investing £17 million into the rural economy, supporting farming businesses and rural tourism. The North East Combined Authority has established a dedicated coastal and rural taskforce to ensure that rural and coastal communities are fully represented in investment decisions.

The noble Lord, Lord Best, highlighted housing issues for rural areas. I am very grateful to him for his work on the Devon Housing Commission and his continual advocacy, when I am dealing with housing matters, that I keep considering the needs of rural communities. That has been really helpful.

The noble Baroness, Lady Scott, spoke about broadband infrastructure in rural areas. I visited colleagues of hers in Cromer recently, who were very keen to stress that among the other issues that coastal communities are facing. It is really important, but the Government’s view is that adding a statutory duty may create unnecessary complexity without delivering additional benefits. We want the benefits to come from the overall structure and empowering our mayors to act in the best interests of their communities.

I turn to the amendment to Amendment 128 tabled by the noble Baroness, Lady Bennett. I fully agree that transport is vital to rural communities, but this issue is already well addressed through existing powers and investment. The Bus Services Act 2025 strengthens local leaders’ ability to protect services, and from 2026-27 more than £3 billion will support better bus services, including nearly £700 million per year for local authorities. Importantly, for the first time these allocations take rurality explicitly into account, recognising the higher cost of serving remote areas.

The noble Baroness mentioned biosecurity; I will respond to her in writing on that. She also referred to her earlier remarks on food security. To add to my earlier response, the good food cycle published in July 2025 sets out the Government’s vision to drive better outcomes from the UK food system for growth, health, sustainability and resilience. There are 10 outcomes in that cycle, on healthy and more affordable food, good growth, a sustainable and resilient supply and vibrant food cultures. It has a set of near-term priorities, including securing resilient domestic production, generating growth elsewhere in the food system which supports positive public health and environmental outcomes, and improving food price affordability and access—in particular, targeting costs that lead to food price inflation and supporting those who most need access to healthy, affordable nutrition. I am happy to write to her further on that if it would be helpful.

Baroness Bennett of Manor Castle Portrait Baroness Bennett of Manor Castle (GP)
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I thank the Minister for making the special effort to provide that extra response, but that is what Westminster is doing. I am talking about what local authorities and strategic authorities can decide for themselves to do in their local area, not relying on a direction down from Westminster.

Baroness Taylor of Stevenage Portrait Baroness Taylor of Stevenage (Lab)
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I take the point. That project is being supported by the Food Strategy Advisory Board, including extensive engagement across government. I will take back the point that that should include all tiers of local government, as the noble Baroness makes a fair point.

Through rail reform, mayoral strategic authorities will have a statutory role in the design of local rail services and all tiers of local government will benefit under the new Great British Railways business unit model, taking local priorities into account. The noble Baroness also referred to cycleways. I am very proud of where I live because my town was built with 45 kilometres of built-in cycle infrastructure. This is an important opportunity for our new towns as we develop the work of the taskforce. I know the noble Lord, Lord Gascoigne, will again be interviewing our Secretary of State in the Select Committee tomorrow on these and other matters. Gilston, which is a garden village near Harlow, made provision for a cycleway. We have to think about that. While we agree on the importance of these issues, the amendment is unnecessary because this Bill and other government activities will already enable authorities to secure improvements to rural transport without imposing an additional legal duty.

Finally, Amendment 260 tabled by the noble Baroness, Lady McIntosh of Pickering, would require the Secretary of State to publish an assessment of the impact of the Bill on rural areas before any regulations could be made using the powers in this Bill. Ahead of the introduction of the Bill, my department assessed the impacts of regulatory policies within it on businesses and households, urban and rural. This impact assessment was given a green rating by the Regulatory Policy Committee, indicating that it is fit for purpose. It would not be proportionate to complete another impact assessment solely for rural areas, given that our original assessment applies to those as well.

May I just refer to the remarks made by the noble Lord, Lord Cameron? He referred to the importance of the rural voice being heard across government. I completely agree. The mainstreaming of rural affairs across competences is vital, as is the freedom for mayors to address their local issues in the best way to tackle their local challenges.

In talking about bus services, the noble Lord reminded me of when I did a review of the universal credit system a while back. I was sent to Blandford Forum in Dorset. Some of the people who were working on their skills with the jobcentre had to visit the jobcentre every day. The problem with that was that the bus fare was £9 and there was only a bus to get there, with no bus to get home again; you may have wanted to improve your skills but it was very tricky to do so because, although you could get there, you could not get back home again. That was one of the big flaws in the universal credit system. Of course we want to keep track of people who are trying to develop skills, but there are difficult issues around that in rural areas.

When we discussed London-style bus services across the country—I am sure that the noble Baroness, Lady Scott, will remember it well from the then levelling-up Bill—it raised the eyebrows of my noble friend Lady Hayman of Ullock. My noble friend lives in Cumbria, so London-style bus services are quite a long way from the service she gets in her local area. I understand the issues, but I think that enabling mayors —and their commissioners, if they choose to do it in that way—to address their local issues is the best way to tackle local challenges in these areas. For these reasons, I ask my noble friend to withdraw her amendment.

Baroness McIntosh of Pickering Portrait Baroness McIntosh of Pickering (Con)
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My Lords, I am grateful to the Minister for her response. She referred to an impact assessment. We used to use the tried-and-tested method of tabling an amendment to ask for an impact assessment to be prepared. If the department has prepared an impact assessment, would it be possible for the Minister to publish it while this Bill is going through? That would be immensely helpful.

Baroness Taylor of Stevenage Portrait Baroness Taylor of Stevenage (Lab)
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Let me just check with my civil servants so that I do not say something I should not say. I believe that it has been published; I will send the noble Baroness a link to where she can access it.

Baroness Royall of Blaisdon Portrait Baroness Royall of Blaisdon (Lab)
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My Lords, I am grateful to all noble Lords who have participated in this short debate and to my noble friend the Minister for her response.

I am of course delighted that mayors are empowered to support every part of their constituency; it must be their aspiration that they do so. It is very good that there are such broad areas of competence. I warmly welcome the great examples from Yorkshire and the north-east cited by my noble friend. However, I firmly believe that this Bill must be, and must be seen to be, relevant to and beneficial for all areas of our country. As the noble Lord, Lord Best, pointed out, it is the case for many mayoral areas that, in population terms, such a tiny proportion of their constituents are from rural areas; it would be very easy to overlook their needs.

The noble Lord, Lord Cameron, spoke about rural-proofing. That is absolutely vital. I wonder whether we could have some discussions before Report on how there can be some sort of rural-proofing in this Bill. Personally, I would favour a duty that could be included in order to ensure that the needs of rural areas will be properly addressed. I recognise that it will be the desire of all mayors to ensure that they are properly representing and addressing the needs of all their constituents, but I fear that that might be very difficult when funding is stretched, as it is bound to be. I would like to see some means of ensuring that the needs of rural areas are properly addressed; perhaps we could discuss that further before Report. I beg leave to withdraw my amendment

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Baroness Taylor of Stevenage Portrait Baroness Taylor of Stevenage (Lab)
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My Lords, I thank the noble Lord, Lord Gascoigne, for this amendment, which seeks to ensure that new strategic authorities have the capability to take on additional powers. I recognise the noble Lord’s intention to ensure that all strategic authorities are strong and effective in delivering their devolved responsibilities; of course, that is a goal that this Government share. However, this amendment would create an express separate requirement on the Secretary of State, adding complexity to the process of establishing new strategic authorities—much of that burden was described by the noble Baroness, Lady Thornhill—that, in my view, potentially risks their autonomy without providing an equivalent benefit.

I assure the noble Lord that the Government are building on the capability and capacity of new strategic authorities to ensure that they can deliver the new devolution framework. Let me give him a little detail around how that is working. The Government support the improvement of strategic authority capability by funding the Local Government Association to deliver a sector support programme, which is available to both strategic and local authorities; that includes training for both officers and elected leaders, support in attracting new talent, and guidance on topics such as good governance and assurance. We will continue to review that offer to make sure that it remains fit for purpose.

The Government are also seeking to facilitate greater take-up of secondments by civil servants into strategic authorities to ensure that those authorities benefit from the widest range of capability available. We are keen to support areas establishing strategic authorities to get on to a firm footing and to be best equipped to start delivering improved outcomes for all local communities. We are doing this through the provision of a checklist that sets out the key requirements they will need, information sessions with a number of key government departments and a series of master classes for areas on a number of different topics, such as developing a local constitution and risk management. As an example, when a new combined authority or combined county authority is established, there is a year-long transition period when public transport functions remain exercisable by the constituent councils while the new authority creates an effective transport team.

We are very aware of the issues raised by the noble Lord, but I hope that he agrees with me and that my reassurances are sufficient for him to withdraw his amendment.

Lord Gascoigne Portrait Lord Gascoigne (Con)
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My Lords, I am very grateful to the Minister, as ever.

The noble Baroness, Lady Thornhill, got me going: she talked about her rose-tinted glasses and I had visions of the infamous Rose Garden treaty. I thought that this would be a new version of the Tory-Lib Dem alliance, but she dashed my hopes there and then.

I appreciate the Minister’s point. I think she mentioned “levelling up”, but this amendment is to try to give effect to levelling up. It is not to lock people out; it is to make sure that levelling up is delivered for them. I think that there is possibly somewhere where we can meet there.

As ever, I am very grateful to my noble friend Lady Scott for her genuine support. I am pleased to hear from the Minister’s remarks that there is some work to be done. I would like to have further discussion, perhaps with the LGA, as the noble Baroness, Lady Thornhill, said. There may be something that we could work on, or at least tip our hats to—I do not know. With that, I beg leave to withdraw my amendment.

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However, from the point of view of this Bill, I agree with the principle of devolving those services that should be for local people to organise, but the revolutionary idea of putting in law that it has to happen is a bit too far for us.
Baroness Taylor of Stevenage Portrait Baroness Taylor of Stevenage (Lab)
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My Lords, I thank the noble Lord, Lord Shipley, for Amendment 13, which seeks to ensure that power is moved away from central government—we all agree with that—to strategic and local authorities. The amendment would place a new statutory duty on strategic and local authorities to

“consider whether any of its powers may be exercised at a more local level”

of government. Should the strategic authority or local authority believe that to be the case, they must

“act so as to enable such devolution”.

I am afraid that this amendment runs counter to the spirit and purpose of the Bill, and risks creating a patchwork of powers across England, with strategic authorities and local authorities holding different sets of powers depending on where they are in England. We believe that allowing different tiers and areas to hold different responsibilities would blur accountability, make it harder for the public to understand who is responsible for what, and weaken value-for-money assurance for investment by increasing duplication and misalignment. The amendment also risks devolving powers to bodies without the capacity to deliver them effectively—which is part of the point made by the noble Baroness, Lady Scott; people need to be willing to accept the duties—and could impose disproportionate and impractical consultation burdens on strategic authorities.

Baroness Scott of Bybrook Portrait Baroness Scott of Bybrook (Con)
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I do not want to give the idea that the parish and town councils across this country would not be able to do it. Some will, but some will not. I know town councils and parishes that run better services than district councils ever did.

Baroness Taylor of Stevenage Portrait Baroness Taylor of Stevenage (Lab)
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I was highlighting the fact that the noble Baroness spoke about the willingness to adopt services, which I believe is important.

The devolution framework is designed to eliminate risk by ensuring that mayors and strategic authorities are given a consistent and coherent set of functions, to ensure that strategic authorities can make strategic decisions and deliver policies that span multiple local authority areas. It is important that all tiers of local government work together in the interests of their local communities. That is why local authorities are embedded within the decision-making structures of combined authorities and combined county authorities as full constituent and voting members. A blanket requirement for a strategic authority to meet tiers of local government is a significant administrative burden; for example, in North Yorkshire alone, there are 412 parish and town councils. There is nothing wrong with expecting mayors and local authority leaders to communicate with them, but imposing that approach could place a considerable cost of consultation on them and potentially crowd out the time they need for their core strategic responsibilities.

I take the noble Baroness’s point about town and parish councils. We are introducing a system of neighbourhood governance, and it is important that we have our debates on that when the time comes. We will, I am sure, debate the role of town and parish councils, but including them in the Bill would have indicated to them that the Bill will have some impact on them that it is not intended for the Bill to have. I totally recognise the work that our town and parish councils do around the country: it is important and I know that we will have those discussions when we get to those elements of the Bill.

On Amendment 13, it is important that we do not interrupt the Government’s intention to give a consistent and coherent set of functions to strategic authorities and that their work dovetails with what our local authorities are doing. I hope that that has reassured the noble Lord and that he will withdraw his amendment.

Lord Jamieson Portrait Lord Jamieson (Con)
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Before the Minister sits down, I want to clarify one of the statements she made. This is a devolution Bill. She implied that she wants clarity that all functions are done at the same level across the country. To my mind, the whole purpose of devolution is that you do it at the level that is most appropriate. That may be very different, for instance, in Yorkshire compared with Stevenage. My noble friends from Yorkshire and Lancashire have disappeared, so I cannot refer to them. It may be that there is a brilliant parish council that can take on more responsibility—my noble friend Lady Scott of Bybrook mentioned Salisbury—whereas, in another area, we may say, “Well, no, that’s better done at the unitary or strategic level”. Devolution is about that local determination of how services are delivered at the best level for the best results for residents. I want to make sure that the Minister was not implying that that is not the case.

Baroness Taylor of Stevenage Portrait Baroness Taylor of Stevenage (Lab)
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We have set out clearly in the Bill—with the competences, for example—where we see strategic responsibilities lying and where local council leaders will be responsible for the services they deliver. As we go through the local government reorganisation process, we will have unitary authorities across the country delivering those services. What we do not want to do is muddy the waters by saying that there will be some areas that have different strategic powers from others. That is why we have set out the competences in the Bill.

It is not about what you deliver at local level because the strategic competences allow that to be flexible across different geographies and demographics. It is about ensuring that the strategic level is delivered by the combined authority and local services are delivered by the local authority. I do not think it would be helpful to muddy those waters by having the picture be different across the country.

Lord Shipley Portrait Lord Shipley (LD)
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My Lords, the Minister asked whether I was satisfied by her responses; I am actually more worried now than when I started. I agree entirely with what the noble Lord, Lord Jamieson, has just said.

I will give an example of where the Government are heading for great difficulty. Let us take the area of competence for transport and local infrastructure. “Local” is not defined—I think my noble friend Lord Wallace of Saltaire will come back on the issue of definition at a later stage. I understand that strategic transport and major capital infrastructure, such as on a new railway line, is a strategic matter for a strategic authority, but I hope that transport and local infrastructure does not mean that every traffic-calming scheme in every residential road of a local authority has to be signed off by the mayor. I am keen for the Minister to be clear about what these terms mean because the Bill is not clear.

I jokingly referred to the powers I am proposing being revolutionary. They are very different, but they are an attempt to get everyone to understand that if you have a devolution Bill and think it is about devolution, it has to be devolution from the strategic authority where the mayor and the authority think their powers could go to local government. That debate has to be had. It is not, as the Minister said, about ending up with a patchwork of powers. Of course there will be differences in local areas. That is a positive, not a negative thing. Let us not call it a “patchwork” because that means that Whitehall and Ministers want to run 56 million people in England. In the end, having a standard system that everybody must fit into will not work. It will be a cause of great difficulty.

I am encouraged by some of the things that the noble Baroness, Lady Scott, said—that there are correct things in it, there are principles and it is well intended. The test of successful devolution is a willingness to devolve power from yourself rather than demanding it to yourself. The test is for the strategic authority to say, “We think the powers we have in this area could well be carried out by a local authority, so let’s talk about it”, and say to the local authority, “You in turn must decide whether you need to undertake these powers directly or can devolve them to others, including town and parish councils”. I do not believe that the Government will ever succeed with community empowerment plans unless they empower communities. This Bill is not doing that.

Paragraph 16 of the Explanatory Notes to the Bill says:

“The Bill will introduce a requirement on all local authorities in England to establish effective neighbourhood governance, to move decision making closer to residents, empowering ward councillors to address the issues most important to their communities at a local level”.


What it does not say is that that would not include the planning process or a whole set of services that local people might want to have some say in. The Government cannot make statements like that without then delivering the means to increase community empowerment. I will not give up on my Amendment 13. True devolutionists must follow their desire to give power to others to use in a country of 56 million people. For the moment, I beg leave to withdraw the amendment.

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Lord Jamieson Portrait Lord Jamieson (Con)
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My Lords, I speak on this group of amendments concerning Clause 3, which addresses the creation of single foundation strategic authorities. The amendment in my name and that of my noble friend Lady Scott of Bybrook are probing in nature, and we have also given notice of our intention to oppose Clause 3 standing part of the Bill.

At the heart of our concerns is the familiar theme that we have returned to throughout the Bill, and I suspect we will again—the balance of power between central government and local communities. Too often the Bill grants the Secretary of State sweeping powers to create, reshape or direct local government structures with minimal checks, consultation and accountability. That is not the model of devolution that we believe in.

I also ask the Minister for clarification on the role of single foundation strategic authorities. Will all unitary and counties not in a combined authority be offered the opportunity to be a single foundation strategic authority? What powers and funding will they be given and how does this compare to combined authorities, mayoral and foundation mayoral authorities? Where will a single foundation strategic authority fit in the landscape? Could it be forced into a combined authority?

Amendment 14 in the name of the noble Baroness, Lady Janke, is sensible and necessary. It would require the Secretary of State to consult all levels of local government in an affected area before designating a single foundation strategic authority. Indeed, I would go further. Consultation should involve not only local authorities but local residents. If we are serious about localism and empowering communities, rather than simply rearranging governance structures, the voices of the people who live and work in those areas must be heard.

Amendment 15 in my name and that of my noble friend Lady Scott of Bybrook probes whether the affirmative procedure alone is sufficient scrutiny for the Secretary of State’s powers under this clause. Given the scale of the decisions being taken and the potential impact on local governance and accountability, it is legitimate to question whether Parliament should have a more substantial role in overseeing these powers.

Throughout this Bill we have systematically sought to remove or constrain the Secretary of State’s ability to create new authorities or confer new powers without proper consultation or local consent. Clause 3 as drafted continues the pattern of centralisation. For that reason, we have tabled an amendment opposing the question that Clause 3 stands part of the Bill. We believe that the Government must provide far greater clarity about how and when these powers will be used and what safeguards will be in place.

As I said earlier, this is a theme that we will return to later in the Bill. For now, I hope the Minister will reflect on the strong arguments made today for a more genuinely localist approach, one that respects local government, involves local residents and ensures that decisions about local government are not taken unilaterally by the Secretary of State.

Baroness Taylor of Stevenage Portrait Baroness Taylor of Stevenage (Lab)
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My Lords, I thank the noble Baronesses, Lady Scott and Lady Janke, for their amendments on single foundation strategic authorities. Clause 3 provides a power for the Secretary State to designate a single unitary council or county council that is not covered by an existing strategic authority as a single foundation strategic authority. Any future designation of a single foundation strategic authority will be subject to the consent of the council involved. For this reason, the amendment tabled by the noble Baroness, Lady Janke, is not a necessary requirement.

I appreciate the intention behind the proposal. However, it would not be proportionate to impose an additional requirement to consult every level of local government within the proposed area of the single foundation strategic authority. The principal body affected by the designation will be the old unitary county council and no designation can be made without the consent of the relevant council.

The amendment tabled by the noble Baroness, Lady Scott, probes whether Clause 3 should be included in the Bill. Clause 3 is vital to ensuring that the Bill delivers on its ambition to ensure that everywhere in England can benefit from devolution. The Government recognise that non-mayoral devolution to single local authorities can serve as an important foundational step, allowing areas to see early benefits from devolution, while considering all options for unlocking deeper devolution by working with neighbouring local authorities in combined authorities and combined county authorities, over the longer term.

The second amendment in the group, Amendment 15 in the name of the noble Baroness, Lady Scott, and spoken to by the noble Lord, Lord Jamieson, probes whether the affirmative procedure is appropriate for the Secretary of State’s power to designate a council as a single foundation strategic authority. I should reassure the Committee that this is in line with the long-established practice whereby secondary legislation is used to establish new institutions and to implement agreed devolution agreements within areas.

In addition, the use of the affirmative procedure ensures that no designation can be made without the approval of both Houses. As I said, we want local authority designations to be done at the local level; that is the provision, I believe. However, the Government recognise that, in rare cases, non-mayoral devolution can serve as an important first step. To access further functions available at the mayoral tier, single councils will need to work across a wider geography.

I will let the noble Lord know about the issue of funding in due course in writing, if that is okay. Establishing those single foundation strategic authorities will accelerate the transfer of powers out of Whitehall to local government so that local leaders have a greater say over decisions in those areas.

With these reassurances, I ask the noble Baronesses, Lady Scott and Lady Janke, to withdraw or not press their amendments.

Baroness Scott of Bybrook Portrait Baroness Scott of Bybrook (Con)
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The Minister said that the affirmative procedure had to go through both Houses; I understand that. We have set up unitary authorities through secondary legislation up until now, and this Bill has never been needed. However, I am not quite sure what happens with a local authority that does not want this. Is there a power through the affirmative procedure for the Secretary of State to insist that a local authority, which does not want to become a single foundation authority for whatever reason, will have to do it? Will that go through the affirmative procedure or not?

Baroness Taylor of Stevenage Portrait Baroness Taylor of Stevenage (Lab)
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The Government have made our intention very clear: we want to see unitary authorities established across the country. We want that initiative to come from local areas themselves. Some areas may be more comfortable going into the single foundation authority first, before they take the step to go into a combined authority; that is what the provision in the Bill is about. We want to make sure that there are unitary authorities across the country. In extreme circumstances, I believe, the Secretary of State has a power to make sure that it does happen, but that would be very much a power of last resort; we would not want to use it unless there could be no agreement any other way.

Lord Jamieson Portrait Lord Jamieson (Con)
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The Minister kindly said that she would write to me about funding, but I had two other related questions. First, will all authorities be able to say, “I want to be a foundation authority”, or is that going to be limited in some way? Secondly, if you are a single foundation strategic authority, could you still be forced into a combined authority at a later date?

Baroness Taylor of Stevenage Portrait Baroness Taylor of Stevenage (Lab)
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For most local authorities—I have spoken to a great number of them over the past few months—the attraction of taking your unitary authority and going into a combined authority is the ability to have the greater powers that that level of devolution will accrue to the area and the communities for which you are responsible. I think that it will be the exception rather than the rule that people will want to be a single foundation authority, but they may be more comfortable with using that as a first step then working it out for themselves. This has happened to a certain extent through the whole devolution programme. Where people are in a unitary authority, they will look around them to see which of the surrounding authorities work best in terms of their economy and public services, as well as which model makes more sense to their local community, before they decide which way to go; if they wish to take some time to do that, the Bill makes provision for that.

Baroness Janke Portrait Baroness Janke (LD)
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I thank the Minister for her comments. I do, however, feel that there is a distinct lack of local input into the proposals in this Bill; that is one of the symptoms of the approach the Government are taking. They seem to be taking the view that they have decided what will be imposed on the country and are not particularly concerned about what local people think about it. I point to the regional assemblies, where they did the same thing and incurred huge hostility and a lack of trust from local people—not least in arguments about geography and local differences that took up quite a lot of government time and energy.

I think what the Government are trying to introduce here is uniformity, rather than devolution, and they will find an unwilling reception for their attempt to impose uniformity. People do not want mayors, who are very often seen as the outpost for central government; they also do not want local change imposed from Whitehall. I wish the Government luck with the Bill. Local government reform is a very sensitive business and maybe if Sir Humphrey were here, he would be saying that the Government are being very courageous. However, I beg leave to withdraw my amendment for the present.

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Lord Shipley Portrait Lord Shipley (LD)
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My Lords, I am very happy with the amendments spoken to so far, so I will not repeat what has been said. Amendment 28 in the name of my noble friend Lady Pinnock relates to whether the Secretary of State determines local boundaries and whether decisions on local authority boundaries within a combined authority area are a matter for central or local government. In the spirit of this Bill, which is about devolution, I can see no reason why central government has to be involved. It ought to be a matter for local councils to decide on. Perhaps the Minister might explain why my noble friend Lady Pinnock has got this wrong; it seems to me that she has got this right.

Baroness Taylor of Stevenage Portrait Baroness Taylor of Stevenage (Lab)
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There were a lot of amendments in this group, but we whipped through it very quickly, so I thank noble Lords. The amendments in the group tabled by the noble Baroness, Lady Scott, seek collectively to remove the Secretary of State’s new powers to direct the creation or expansion of a combined authority or combined county authority or to provide for a mayor. The Government have been clear that devolution can deliver growth, unlock investment and deliver the change the public want to see, led by local leaders who know their areas best. That is why we want to see more parts of England benefit from devolution.

As I have said, I have been involved in local government for a very long time. We have tinkered around with this issue for a very long time indeed, and it is time we provided some certainty and stability. Our engagement to date with councils across England has demonstrated the appetite for devolution within local government. I have spoken to many of them and visited many areas that do not currently have those devolution arrangements.

Devolution, of course, should be locally led wherever possible, and the Government remain committed to working in partnership with local government to deliver that vision. At the same time, we have been clear that we cannot accept proposals that would block other areas accessing devolution—that would be very difficult for those areas—or risk creating devolution islands. The backstop mechanism in the Bill will allow the Government to establish strategic authorities in areas where local leaders have not been able to agree on how to access devolved powers. That will ensure that all of England can benefit from devolution and nowhere is left behind.

English Devolution and Community Empowerment Bill

Baroness Taylor of Stevenage Excerpts
Baroness Taylor of Stevenage Portrait The Parliamentary Under-Secretary of State, Ministry of Housing, Communities and Local Government (Baroness Taylor of Stevenage) (Lab)
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I thank noble Lords for their scrutiny of the first clauses of the Bill last week. I have replied in writing to some of the questions noble Lords asked me last week, and I hope they have received those replies. I look forward to further scrutiny today.

I thank the noble Baroness, Lady Scott, and the noble Lord, Lord Lansley, for their amendments to Clause 6, on decision-making arrangements. The amendment tabled by the noble Baroness, Lady Scott, probes whether Clause 6 is required. Clause 6 is central to the Bill’s core ambition of moving from devolution by deals to devolution by default. It creates a clear and consistent decision-making framework for combined authorities and combined county authorities. Current decision-making arrangements in combined authorities and combined county authorities are complex and vary widely, as noble Lords who have spoken have referred to. This confuses the public and makes accountability harder. For example, mayors are often seen by the public as the accountable person for their authority, but the Mayor of the West of England and the Mayor of the West Midlands are not allowed to vote on their combined authority’s budget.

Clause 6 introduces a simple majority voting system which makes decisions more transparent, creates a level playing field and provides more clarity for the public. For mayoral strategic authorities, the mayor must be in the majority for a vote to pass. This reflects their direct democratic mandate across the entire area. When he was referring to Cambridgeshire, the noble Lord, Lord Lansley, spoke about the consequences if that is not in place. I think it is an important move. Collaboration remains important, and we are clear that we want to see mayors build a consensus, but one member should not be able to block decisions for an entire region. Removing Clause 6 would keep the current patchwork of governance rules, which slows decision-making down and can undermine accountability to the public, so we believe the clause is essential for strong, transparent governance and should remain in the Bill.

Amendments 41 and 43, also tabled by the noble Baroness, Lady Scott, seek to understand the justification for providing the mayor with a veto over decisions and why decisions must require the agreement of the mayor. The Government recognise the importance of strong collaboration with strategic authorities. That is exactly why the Bill requires both the mayor and the constituent members to work together. The standard voting arrangement in the Bill requires that a majority of members support a decision. We believe the provisions in the Bill strike the right balance between collective decision-making and clear leadership. Directly elected mayors have a unique democratic mandate. They are elected by the public to provide leadership and direction for their whole area. Requiring mayoral agreement on key decisions helps ensure clarity over who is accountable for outcomes. Without that clarity, responsibility risks becoming blurred. Removing the requirement for mayoral agreement would weaken the leadership model that underpins effective devolution. It would lead to slower decision-making, less coherent strategies and reduced accountability to the public.

Amendments 42 and 44 in the name of the noble Lord, Lord Lansley, seek to provide that secondary legislation can be used to set voting arrangements for combined authorities and combined county authorities that differ from the standard arrangements set out in Clause 6. The Government agree that simple majority voting would not be appropriate for all situations. That is why Clause 6 already provides that voting arrangements set out in other enactments continue to apply. Therefore, these amendments are not necessary. For example, in non-mayoral areas the local transport plan must instead have the consent of all constituent councils in order to be adopted. In mayoral areas, the local transport plan remains a mayoral function, but it must be approved by a simple majority vote of the strategic authority. The existing powers for the Government to provide place-specific voting arrangements in secondary legislation, to which the amendments refer, will also apply.

Turning to the comments of the noble Lord, Lord Lansley, and the noble Baroness, Lady Scott, about the Levelling-up and Regeneration Act, the Local Democracy, Economic Development and Construction Act—that is a snappy title—and Clause 6, the Bill does not disapply or override those Acts. Their relevant provisions continue to apply where appropriate, so restating them here does not add any new legal protection. Including additional statutory references risks creating confusion about which provisions apply in different circumstances and undermines the clarity of the governance framework the Bill is trying to apply.

We recognise that some parts of the country have unique technical circumstances that require small changes to this consistent approach, such as to reflect arrangements relating to the management of trams or local bus companies. We have undertaken extensive engagement with existing combined authorities and combined county authorities over the past 12 months on this issue to agree a limited set of bespoke voting arrangements that met this high bar. Should any future strategic authority seek bespoke arrangements, the Government would need to consider them on a case-by-case basis. However, we are clear that any changes to the standard voting arrangements would be by exception and subject to a very high bar.

The Government will maintain some of the place-specific voting arrangements. For example, Lancashire combined authority has bespoke voting arrangements in relation to its budget, which reflects its governance structure. In response to the question from the noble Lord, Lord Lansley, about weighted voting, the existing powers for the Government to provide place-specific voting arrangements will continue to apply, so that will be for Suffolk and Norfolk to determine as we go forward. For the reasons that I have set out, I ask that the amendment be withdrawn.

Baroness Scott of Bybrook Portrait Baroness Scott of Bybrook (Con)
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I am grateful to the Minister and to all noble Lords who have taken part in this debate. As I said, the issues raised today go to the heart of how we structure local democracy and ensure that the voices of all our communities are fairly and effectively represented. That is why we brought forward these probing amendments.

A consistent concern has emerged that the balance of power proposed in the Bill risks concentrating authority in the hands of the one single officeholder rather than empowering the broad and diverse range of locally elected councillors who best understand the communities that they serve. I have not heard a lot today that puts my mind at rest, but I will read Hansard tomorrow and look further at it. I was pleased that the Minister said that places such as Norfolk and Suffolk, quite close to my heart now, will have that flexibility to deal with local problems—but I have to say that they might argue about it. Who knows? Let us hope that there are two single authorities and we do not have any problems.

We all agree that effective local leadership is vital, but leadership does not mean overriding democratic deliberations; it means working with those local representatives, ensuring accountability and respecting the mandate of those who have been elected by their communities. When decision-making structures are distorted in favour of one individual, however capable, they operate not as a system of local democracy but, as I said, as a presidential model, which sits uneasily with the traditions of government in this country.

My noble friend Lord Lansley’s amendment rightly seeks to bring the Bill back into alignment with those frameworks established in previous legislation. I will read this back, but it sounds as if that is happening, although I am not quite sure how. If there are any further questions, I am sure that we will talk to the Minister about them. I am happy with that.

In relation to Clause 6, we have urged the Government to reconsider whether rewriting the constitutional arrangements of the Act was necessary or justified. It looks to me as if we are perhaps not rewriting as much as we feared was being rewritten—but, as I said, we will look at that in detail when Hansard comes out.

We still believe that, if the Government truly wish to empower our local authorities, they must demonstrate it by upholding democratic balance, trusting councillors and ensuring that all voices, not just one, carry the appropriate weight in the decisions that shape our counties and regions. But at this time, I am happy to withdraw my amendment.

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Lord Jamieson Portrait Lord Jamieson (Con)
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My Lords, I thank my noble friend Lord Lansley for his amendments. I think that there has been consensus among noble Lords contributing on this group that this is something that should be explored and looked at further. Amendment 45 rightly links local growth plans to spatial development strategies, ensuring that they are not formed in isolation and do not contradict each other. When a local growth plan is drafted, it should take account of the implications for spatial development. We welcome this amendment and support a more integrated and coherent approach.

However, we also believe that these plans must be informed by neighbourhood plans as well as neighbourhood priority statements, which have yet to be commenced under the Levelling-up and Regeneration Act. Amendment 46 seeks to ensure that spatial development strategies take into account national environmental improvement plans and the land use framework. This will help local government at least to have regard to the national Government’s environmental targets and to be aware of the environmental solutions proposed. As for the land use framework, we are still waiting for it to be published. Can the Minister confirm the timeline? As others have asked, will it be imminent?

Amendments 138, 139, 144 and 145 address the need for spatial development strategies to be aligned with infrastructure projects to identify any that are needed for growth. Again, these should be important considerations to ensure that new developments are supported with the necessary infrastructure rather than treating the two in isolation. As we said in the Planning and Infrastructure Bill debates, the consequences for development of the failure to deliver infrastructure should also be clear.

We agree with the principle behind all these amendments. It is important that combined authorities’ and councils’ various strategies are joined up, co-ordinated and coherent to ensure not only good governance and efficiency across local government but, more importantly, high-quality development. I thank my noble friend for his efforts and I look forward to hearing the Minister’s response.

Baroness Taylor of Stevenage Portrait Baroness Taylor of Stevenage (Lab)
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My Lords, that was an interesting discussion. I thank the noble Lord, Lord Lansley, for his amendments and I welcome the opportunity to discuss the role of spatial development strategies in the new devolution framework.

Amendment 45 would require strategic planning authorities to identify the policies in their spatial development strategies that are of strategic importance to address the local growth priorities identified in local growth plans. I very much agree with the need for spatial development strategies properly to address the priorities identified in local growth plans where they are of strategic importance to the area, such as the issues that the noble Lord mentioned around skills and infrastructure. There is an expectation in the revised NPPF that that is exactly what will happen.

The Planning and Infrastructure Act, to which the noble Lord also referred—we recently sat through many hours of debate on it—requires strategic planning authorities to have regard to any plan or strategy they have published. This would include a local growth plan. In the draft revised NPPF, which was published just before Christmas, we set out that spatial development strategies should give spatial expression to strategic elements of local growth plans, and that would include all of the issues mentioned by the noble Lord. We also set out in the draft revised NPPF that spatial development strategies should be tested against national policy when they are examined; that will include the industrial strategy, for example, and will shine a light on whether they are meeting the expectations we have of the SDS.

A number of Peers spoke to Amendment 46. I say to my noble friend Lady Young that I found her extrapolation of this through to losing lots of elections in May and then having a whole reshuffle a bit depressing. I hope that will not happen, and I also hope that my noble friend will have a wander through one of her new forests and cheer herself up a bit. Amendment 46 would require a strategic planning authority to have regard to the Government’s environmental improvement plan and the land use framework for England while preparing a spatial development strategy.

I absolutely agree with noble Lords on the importance of these national documents relating to land use and the environment. The provisions detailing the required content of spatial development strategies and the factors to be taken into account in their preparation were introduced less than two months ago in the Planning and Infrastructure Act, following very thorough parliamentary scrutiny. I do not consider it necessary to revisit or amend these requirements before they have even had a chance to be tested in practice. The documents in question are expected to inform the drafting of national planning policies, and strategic planning authorities will be required to have regard to the need to ensure that their strategy is consistent with the current policy.

For example, if we found that the land use framework or the environmental improvement plan were being ignored in strategic development strategies, we would keep that under review. Should any gaps or misalignments emerge between strategic development strategies and these documents, we can consider future changes to the National Planning Policy Framework or planning practice guidance, or even secondary legislation to ensure that they are taken into account in preparing an SDS.

A number of noble Lords asked questions on the publication of the land use framework, which I know is eagerly awaited. The Government consulted on land use in England from January to April last year. The responses, as well as the feedback from supporting workshops that have been held since, are being analysed. The responses will inform the preparation of the land use framework. I cannot give noble Lords an exact publication date today, I am afraid, but I know that my colleagues in Defra want to publish it as quickly as possible.

On the question from the noble Lord, Lord Shipley, about regional plans, I used to be on the regional assembly, so I sat thought the entire process of the east of England regional plan; the noble Baroness, Lady Thornhill, did so as well, I believe. There were a lot of lessons to be learned from those regional plans, particularly around the co-ordination of data and so on, and I know that officials in the department have taken into consideration how that was done. We need to reflect carefully on those experiences and how they fit in with what we are about to do with strategic development strategies.

The noble Baroness, Lady O’Neill, asked about London. The London plan sits outside this Bill, I think, but there is an expectation on London boroughs that this will be done. Indeed, my own borough is quite a way outside London—well, 28 miles; we are in Hertfordshire, so not that far—and we were consulted on the London plan as part of the Ring Around London consultation.

On my noble friend Lady Young’s question about the local nature recovery strategies, it is a requirement that SDSs take account of those; indeed, the London plan has to take account of local nature recovery strategies as well.

Amendments 138, 139, 144 and 145 would require mayoral combined authorities and mayoral combined county authorities to set out in their local growth plan what is needed in spatial and infrastructure terms to realise the economic growth opportunities presented in the plan. As with Amendment 45, tabled by the noble Lord, Lord Lansley, I agree with the need to ensure that places are identifying these needs. Local growth plans will be required to set out an economic overview of their area, shared priorities agreed with the Government, and a pipeline of investment opportunities. Where infra- structure or development presents a relevant investment opportunity, we would expect it to be included in that pipeline. We are clear that local growth plans should provide an overarching framework for growth, identifying actions and investment that can drive economic growth and productivity.

But, when it comes to addressing the spatial implications of local growth plans and identifying the development and infrastructure needs for realising growth, the right vehicle is the spatial development strategy. That is why we set out that spatial development strategies should give spatial expression to strategic elements of local growth plans when we published our proposed reforms to the National Planning Policy Framework. For all those reasons, I hope that the noble Lord, Lord Lansley, will withdraw his amendment.

Earl of Clancarty Portrait The Earl of Clancarty (CB)
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My Lords, we will come to local growth plans and culture. Can the Minister confirm that the spatial development strategies will include cultural growth as something to look at?

Baroness Taylor of Stevenage Portrait Baroness Taylor of Stevenage (Lab)
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Each local area will consider its local growth plan, and I hope they will all look at culture. We have carefully considered and are reflecting on the comments made on the competencies we included. This is important, and I gave some stats on the first day of Committee on the benefit to the economy of some of the culture in my own county. It is important that all areas consider this as a key part of what should be in any development strategy and local growth plan.

Lord Lansley Portrait Lord Lansley (Con)
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I am most grateful to the Minister for that response and to all noble Lords who spoke on this group. In particular, I give warm thanks to those who supported Amendment 46. As the noble Baroness, Lady Young of Old Scone, rightly said, we may need to think about this again on Report, just to check, for example, that the National Planning Policy Framework does what the Minister says it does. At the moment, I cannot honestly say that I am sure that it does.

Noble Lords who are often in these planning discussions will always find it rather odd to try to work out that the Government sometimes say that we need to put something in the Bill. For example, local nature recovery strategies are prescribed to be taken into account for a spatial development strategy. Why not prescribe the land use framework? That, apparently, will be covered in the National Planning Policy Framework, which, as we know, is a document that derives statutory weight. So, if it is in there, the weight is there, and that is fine. But the point is that we are writing this legislation now, and this gives us an opportunity for Parliament to say what it thinks, because we cannot and do not debate the content of the National Planning Policy Framework in the way that we debate this legislation. So, there is a reason why we do this now, in the here and now.

There are many links to, for example, environmental well-being, local nature recovery strategies and promoting the adaptation to and mitigation of climate change in the way spatial development strategies are to be constructed. I just think we need to be absolutely certain that Ministers will make that clear in the NPPF. Indeed, they have a power under Section 12D(7) to prescribe the matters that spatial development strategies must include. We just need a bit more certainty that these things will be prescribed.

Where the relationship with the growth plan is concerned, I completely take the Minister’s point. It is just that, although growth appears to be the priority, actually the spatial development strategy says that the strategic authority should focus on the consequences of growth rather than on delivering the growth. The relationship between the local growth plan and the spatial development strategy is much more of an ex ante than post hoc set of decisions. You want to go upfront and say that we are designing the local growth plan alongside the spatial development strategy and not trying to retrofit the housing to meet the local growth requirements. I hope that that is what is going to happen; otherwise, I fear that these will be two teams in strategic authorities, with the economic development people on the one hand and the planning people on the other, when they should be one team producing one strategy. I hope that we can encourage that as much as possible through the nature of the debates we are having.

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Baroness Taylor of Stevenage Portrait Baroness Taylor of Stevenage (Lab)
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My Lords, I thank the noble Baroness, Lady Scott, and the noble Lords, Lord Jamieson and Lord Lansley, for their amendments on established mayoral strategic authorities.

Amendment 47, tabled by the noble Baroness, Lady Scott, seeks to remove the Secretary of State’s ability to designate by regulations a mayoral strategic authority as an established mayoral strategic authority. We have been clear that newer strategic authorities will need a chance to establish themselves and set up core functions properly before they exercise all the powers in the devolution framework. However, it is important that our most established strategic authorities are not held back from accessing the full suite of powers in the devolution framework.

The ability for the Secretary of State to designate established mayoral strategic authorities is crucial to ensuring that the most mature institutions have full access to all devolved powers. Amendment 47 is therefore inconsistent with the Government’s objective of devolving further powers out of Whitehall. As the noble Lord, Lord Lansley, said, established mayoral strategic authorities have access to an integrated settlement, which is a very important measure for them.

I will set out further where we have got to with this so far, as it might help noble Lords with the concept. The English Devolution White Paper confirmed that the following combined authorities have met the criteria and will be eligible to apply for the established mayoral level of devolution: Greater Manchester, Liverpool City Region, South Yorkshire, West Midlands, West Yorkshire and the North East.

Once the Bill becomes law, several other combined authorities will become eligible to apply for MSA status: Cambridgeshire and Peterborough, East Midlands, and York and North Yorkshire at that point. These prospective established mayoral authorities will need to submit formal proposals outlining how they meet the relevant criteria. Those proposals will then be considered by the Government, taking into account the combined authority’s or combined county authority’s track record of managing major programmes. The Government will engage with all remaining mayoral combined authorities when they meet the eligibility criteria to apply for established mayoral strategic authority status. I hope that that helps to clarify where we are at the moment.

In practice, the effect of this amendment would be to remove the regulation-making power when the Secretary of State designates an established mayoral strategic authority. In the absence of that regulation-making power, designation would instead rest solely on the Secretary of State. This amendment would therefore deny Parliament a say on the designation of established mayoral strategic authorities.

Amendment 49, also tabled by the noble Baroness, Lady Scott, seeks to require the Secretary of State to obtain the consent of a combined county authority before making subordinate legislation in relation to the designation of established mayoral strategic authorities. The amendment, as drafted, would require the Secretary of State to obtain the consent of a combined county authority before removing its status as an established mayoral strategic authority using secondary legislation. However, the actual effect of the amendment would be inconsequential, as Clause 8 already prohibits the Secretary of State from using secondary legislation to remove an authority’s established status. Therefore, this amendment is not necessary.

Also, if in tabling this amendment the noble Baroness was seeking reassurance that a combined county authority could not be designated as an established mayoral strategic authority using secondary legislation without the consent of the authority, then this amendment is also not necessary. Clause 8 already stipulates that the Secretary of State may designate an authority as established only if that authority itself submits a written proposal asking to be designated as an established mayoral strategic authority. Therefore, the authority’s consent is an inherent part of the process, as no authority can be designated unless it actively applies.

Amendments 48 and 50, tabled by the noble Lord, Lord Lansley, seek to introduce a new statutory requirement for the Secretary of State to consider the

“governance, accountability and specified performance metrics”

of an existing mayoral combined authority or mayoral combined county authority, before it can be designated as an established mayoral strategic authority. I accept that the noble Lord has made this amendment in good faith and wishes to ensure that only those authorities with a strong track record of delivery, and which can demonstrate exemplary stewardship of public finances, are able to access the deepest powers and functions. On this, the noble Lord, the Government and I, as the Minister, are aligned. However, the amendment is unnecessary. The Government have already published clear non-statutory criteria for accessing the established mayoral tier, as set out in the English Devolution White Paper. The reason for having this in non-statutory documents is that it may require amending from time to time, depending on our experience of taking this forward.

To answer the question about criteria from the noble Lords, Lord Jamieson and Lord Lansley, I think that the noble Lord, Lord Lansley, already set them out, but just to be clear, they include that a mayoral combined authority or mayoral combined county authority must have been in existence, with a directly elected mayor, for at least 18 months at the point of submitting the request. It must have published a local assurance framework and it must not have been subject to a best value notice, independent review, statutory inspection or intervention in the previous 18 months. Finally, it must not have been subject to any ongoing recommendations from an externally mandated independent review and there should be no material accounting concerns covering the current or previous financial year that relate to the strategic authority’s ability to manage public money.

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Lord Lansley Portrait Lord Lansley (Con)
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Before my noble friend responds to the debate, I want just to be sure that I am clear. On the criteria that are applied by the Secretary of State to the question of whether a strategic authority that applies to be established should be permitted to do so, so far they presently include what the devolution White Paper said. None of that has been withdrawn and nothing has been added; it is still the same. But if that were to change at some point in the future, the Government do not need a power in order to change it, because the Secretary of State will simply issue some document that says, “From now on, this is how the Secretary of State is going to look at these decisions”. It is important to get these criteria right. Unless I am misunderstanding the Minister, the intention is that this is a gateway through which you can pass in only one direction. You become an established mayoral strategic authority and you cannot come back if it is wrong, so the criteria have to be right, and the mayoral strategic authority has to be able to live permanently with that status. Am I correct about that?

Baroness Taylor of Stevenage Portrait Baroness Taylor of Stevenage (Lab)
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Yes, the noble Lord is right, but this is quite a high level of criteria. There are some financial aspects, but the fact that the authority must not have been subject to a best value notice, an independent review, a statutory inspection or intervention in the previous 18 months covers a wide variety of activity in a strategic authority. There is a rigorous process and a very high bar for those authorities to get over. When we look at the established authorities that I mentioned in relation to the progress on where we are with these now, they have been in place for a long time. Some of them are requesting additional powers to do things that were not traditionally in the framework for mayoral authorities. It is important that that is a high bar for them to get over.

As the noble Lord rightly pointed out, having an integrated settlement is an important step forward for those authorities. We hope that this will be a transformational process and that all the combined and combined county authorities will strive to get to that process once they have a mayor in place. We do not want it to be something that slips back. Let us hope that we can set these criteria, setting the bar high, which indicates the direction of travel we have for devolution, and move forward so that our authorities have the powers to do what they need to do locally.

Lord Lansley Portrait Lord Lansley (Con)
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I apologise for interrupting; I promise that this will be the last time. On the question of tourism revenue, if there is a tourism tax or whatever, what do we know about the arrangements for that? Is it the case that only established mayoral strategic authorities will be able to levy any kind of tourism tax because they have the financial governance and accountability arrangements established for this purpose—forgive the use of “established”, but the noble Baroness can see what I mean—or is there an intention that this would be a wider financial offering to strategic authorities?

Baroness Taylor of Stevenage Portrait Baroness Taylor of Stevenage (Lab)
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The tourism tax is an interesting step forward because, as far as I know, this is the first time a fiscal power has been devolved. The Government are keen to test out that devolution of fiscal power; I do not have the details at my fingertips so I will write to the noble Lord on the detail of how it is moving forward.

Lord Jamieson Portrait Lord Jamieson (Con)
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My Lords, I thank my noble friend Lord Lansley for his thoughtful amendments and comments. I also thank the Minister for her feedback, which has certainly provided some more illumination on a sometimes slightly murky area of devolution.

On integrated financial settlements, I know that, when I chaired the LGA, I pushed very hard to move in this direction. I was very pleased that we managed to get a couple of them over the line with the previous Government. They are important and offer huge benefits to the areas that have them. Therefore, this idea of criteria, and being very clear on them, is important; I thank the Minister for being clear that the White Paper is where the criteria are set out.

However, I am quibbling over and slightly uncomfortable with the fact that the criteria are just guidance for the Minister and could, therefore, be changed relatively easily. When you are talking about devolution, with local councils and local government making significant changes in anticipation of something that will potentially make a significant difference to their areas, those criteria must be very clear and not changeable. Councils must know what goal they are aiming for because, as the Minister said, this is not something that happens overnight; it takes several years, potentially, and a lot of effort. I do not want the goalposts to move too much—most local authorities would not want that, I think—so I would like some assurances, though not necessarily today, on how set in stone the criteria are as people go through the process.

I am also quite curious about the “no stepping back” bit. As the Minister said, we set some very high bars. However, the day after, someone might fail those high bars—but they are still there. A little elaboration on that at some later point would be very much appreciated.

With that, I thank noble Lords for the debate and beg leave to withdraw my amendment.

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Devolution should rest on democratic legitimacy, transparency and clear lines of responsibility. Those are the principles that should guide us as we shape governance arrangements; it is against those principles that this Bill must ultimately be judged, not the creation of additional bureaucracy.
Baroness Taylor of Stevenage Portrait Baroness Taylor of Stevenage (Lab)
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My Lords, I thank all noble Lords for their amendments on mayoral commissioners and for the wide-ranging debate that we have had on the subject.

Before I respond to any individual amendments, I want to reiterate why the Government are introducing commissioners. I completely understand the point made by the noble Lord, Lord Jamieson, on title and definition. I must say, I asked myself the same question on the potential confusion around commissioners who are sent to do a job when an authority is failing and these types of commissioners; we have to think carefully about that.

As I have set out, the Bill will empower our mayors with wide-ranging new powers over transport planning and local growth, so they can drive growth across their region, and powers over health and public safety, so that they can deliver the public service reform that the public expect to see. These are critical functions, and it is not reasonable to expect a mayor to do all of them. That is why we have introduced commissioners—an optional appointment to whom mayors can delegate functions to support them in their work. Mayors will be able to appoint up to seven commissioners, aligned to the areas of competence and reflecting areas of responsibility. As the noble Lord, Lord Jamieson, said, mayors can also appoint members of the combined county authority or combined authority as portfolio holders, of course; they will also have officials to support their work, such as finance officials, legal officials and so on.

Let me be clear: this is not about inviting a proliferation of appointments. Rather, it is about mayors having capacity to deliver against the full range of their functions and giving them flexibility in how they deliver for their area. Local authority leaders who are on the combined authority will be able to support the mayor as portfolio holders; do not forget, though, that it is important to remember that they will have their own authorities to lead as well, so they will be working in their own authority at the same time.

On Amendments 51A and 52A, I reiterate that commissioners are an optional appointment: they are designed to increase capacity and give mayors more flexibility in how they choose to deliver for their areas. These amendments, tabled by the noble Baroness, Lady Willis, would remove that optionality, effectively introducing seven new statutory roles in the combined authority or combined county authority. We have set out the competency, for example on the environment and climate change, in the Bill itself, but mayors are best placed to determine whether they need additional support on this based on the needs of their local area.

While we have set out in the competencies what we think mayors should be doing, it cannot be right that we make the choice for them about how they do that. Therefore, it is for mayors to decide. I know this can be difficult for us in the political process when a mayor may put an emphasis on an area that would be less important to us than something else, but I am afraid that is part of the democratic process that we live with all the time; it is not that different.

Baroness Scott of Bybrook Portrait Baroness Scott of Bybrook (Con)
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I just do not understand this. If I am a leader of a local authority and I have a specific need for a competence, I employ an official or an officer. I interview a large range of them; I do not go to one of my mates and ask if they would like to be a commissioner. I do not understand why that should be any different in a mayoral office. If they are doing work that demands somebody extremely well-qualified in a specific arts project, they can employ an officer or official. It does not need to be a commissioner who has a connotation of being politically motivated, as well as being possibly qualified in that area.

Baroness Taylor of Stevenage Portrait Baroness Taylor of Stevenage (Lab)
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I will come on to that in a moment, if that is okay. If I do not answer the noble Baroness’s question, I will come back to it.

Amendments 50A, 51B and 53A, tabled by my noble friend Lord Bassam, seek to remove the statutory cap on the number of commissioners that may be appointed by the mayor. It is important that mayors have the support they need from specialists to deliver for their constituents. However, we believe the Bill strikes the right balance, ensuring that mayors have the capacity to deliver without inviting a proliferation of appointments.

For this reason, I am afraid I cannot support the Amendment 196A, tabled by my noble friend Lord Bassam. This amendment would enable mayors to appoint mayoral special advisers and would include provisions regarding their appointment, function and code of conduct. It would also exempt these advisers from holding a politically restricted post under a local authority for the purposes of Part 1 of the Local Government and Housing Act 1989. I agree that mayors can benefit from advice that they trust aligns with their politics. Political advisers bring important expertise that helps mayors formulate their strategy, policy decisions and communications approach. That is why mayors can already appoint a political adviser, and our current position is to provide new mayoralties with that option too.

However, these advisers will be subject to political restrictions in the same way existing advisers are. Accountability in public office is of paramount importance, which is why we have existing guardrails in place. The cap ensures that spending remains proportionate to the institution and prevents a proliferation of political appointments. On my noble friend Lord Bassam’s point on the code of conduct, mayors’ special advisers, where appointed, are employees of the strategic authority, and therefore they would be covered by the strategic authority’s code of conduct.

Amendments 54, 55, 58, 59, 57 and 61, tabled by my noble friend Lord Bach, seek to enable commissioners’ work or the delegation of function to relate to more than one area of competence. The amendments also seek to allow two or more commissioners to relate to the same area of competence. I thank my noble friend for these amendments, and I reassure him that the mayor will already have the flexibility to consider local circumstances when considering a commissioner’s exact brief and any delegated functions relating to the area of competence.

The Bill states that a commissioner’s work or functions can relate to other areas of competence and matters outside of them where it is incidental to the work in their special area of competence. For example, a commissioner focused on economic development and regeneration could lead on a growth strategy that included elements related to housing, skills and transport.

Amendment 171, also in the name of my noble friend Lord Bach, seeks to ensure that, where a mayor is responsible for more than one police force, they would have the flexibility to appoint a single deputy mayor or separate deputy mayors for each police force. As I have set out, the Bill already ensures that the mayor has support in exercising police governance functions in each of the police forces for which they have responsibility, and it recognises that these forces remain distinct and separate entities. The provisions in the Bill will prevent the same person from being appointed to more than one deputy mayor for police and crime positions, ensuring that there is a dedicated lead for the day-to-day oversight of policing in each force area.

My noble friend will know that I worked in policing for many years, and I am very aware of the different policing challenges that can occur even in neighbouring forces: the balance of different types of crime—rural and urban—and some of the more internal issues around different IT systems, and so on. That seems appropriate at the moment. Our right honourable friend the Home Secretary spoke very powerfully about her view that there needs to be further reorganisation of policing, and we should of course work across government as we move forward with the Bill to work with her to identify her ideas and how that might be implemented in this. But I appreciate that she was talking about some of this being implemented some way off, as the noble Lord, Lord Bach, said.

For the moment, this amendment would impact the direct line of accountability the mayor is able to provide to voters regarding the police forces which they are required to hold to account. I will reflect on his call for flexibility around this, and I think we need to have further discussions with the Home Office about how this will work moving forward.

Amendment 221, tabled by my noble friend Lady Griffin of Princethorpe, would enable a mayor of a combined authority to appoint any councillor of a constituent council in a combined authority area as deputy mayor. I want to clarify with her that I have understood her amendment properly, because I think she said something slightly different from what is in the amendment itself. The mayor can appoint members of the constituent authorities who sit on the combined authority in portfolio holder roles, but they cannot appoint any member of the constituent authority. I just clarify that.

The position of deputy mayor is a significant responsibility, which could involve stepping in to chair the authority and undertaking mayoral functions. That is why, currently, only those constituent councillors who have been appointed as a member of the combined authority may be appointed as a deputy mayor. These members have been appointed by the council to the authority in the knowledge that this may involve taking on the deputy mayor role, so they have the legitimacy to perform it if called upon. It is important that we keep measures in place to ensure that a deputy mayor is a legitimate appointment, best prepared for the demands they will face should they have to step in as mayor. Because this amendment applies only to combined authorities, technically it would create a divergence between the requirements imposed on them, versus combined county authorities.

The remaining amendments in this group, tabled by the noble Baroness, Lady Scott, seek to remove Clause 9 and Schedule 3. This would eliminate the role of commissioners from the Bill, preventing their appointment by mayors. As I have stated, commissioners are intended to increase mayors capacity and give them more flexibility in how they deliver for their area. These authorities will have critical new functions to undertake, requiring representation on national bodies, joint working with partners and access to the expertise they need. It is simply not realistic to expect a mayor to do all this on their own. These appointments will be a local decision, and no additional funding will be provided.

I will now cover some of the questions that have been asked by noble Lords, including the noble Baroness, Lady Scott, the noble Lords, Lord Jamieson and Lord Shipley, the noble Viscount, Lord Trenchard, and others. Starting with the question about commissioners being simply devolution to unelected officials, commissioners are optional and can be appointed only by the mayor, who determines their terms and conditions. They will work in lockstep with the mayor to drive forward the policy agenda for a specific function, such as transport or public health. This will be particularly effective where a commissioner has specialist knowledge and expertise that can help deliver the mayor’s vision for local people. There is a real difference here between employed officials of a local council, for example, and what these commissioners will do. The best example I can give is the way that these positions work in London, where the mayor has a number of deputy mayors, as they are called, who act for the mayor in certain policy areas.

The mayor, the combined county authority and the overview and scrutiny committee will each play a role in the commissioner’s appointment and/or the termination of their appointment. We will set out guidance, following Royal Assent, on recruitment and job descriptions. Responding to the noble Lord, Lord Shipley, I say that these commissioners will be subject to the Nolan principles, as employees of strategic authorities. Commissioners will also fall under the strengthened accountability system for devolution, which will confirm further details in due course; we are likely to have further discussions about that later this evening.

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Lord Jamieson Portrait Lord Jamieson (Con)
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With voting, the figure required can be either two-thirds or 50:50. Can the Minister clarify what figure is required to remove a commissioner?

Baroness Taylor of Stevenage Portrait Baroness Taylor of Stevenage (Lab)
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For the overview and scrutiny committee, I believe it is a simple majority vote, but I will clarify that in writing for the noble Lord.

We expect that commissioners will have detailed knowledge and expertise in their assigned area of competence and will be appointed on this basis. Constituent members will not necessarily be experienced in their portfolio subject area. There are also circumstances where it would not be appropriate for a portfolio lead to represent both the borough and the region; there may be perceived conflicts of interest. As I said earlier, the local authority leaders who sit on the combined authority will also be running their councils on a day-to-day basis.

Commissioners will be able to represent the mayor’s authority and policy positions in a given area, including by speaking to the media. They could help make day-to-day decisions that are delegated by a mayor and provide strategic insight and advice for their area of expertise. We also expect commissioners to play a leading role in stakeholder engagement and partnership working, across geographies and organisations, as appropriate. This would include working closely with local councillors, business leaders and public sector institutions, using their advocacy and influence to deliver the mayor’s agenda.

I hope that that has helped clarify some of the points raised by noble Lords and that, with the assurances I have given, they will not press their amendments.

Lord Shipley Portrait Lord Shipley (LD)
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If there are any matters raised by me or other noble Lords that the Minister did not cover, could she send a letter to cover them? I do not think I heard confirmation about the Nolan principles, for example. If there is anything else, I hope that officials might draft something for her to send.

Baroness Taylor of Stevenage Portrait Baroness Taylor of Stevenage (Lab)
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I did confirm that the commissioners will be subject to the Nolan principles. I will go back over Hansard—I always do after these debates—and if I have missed anything, I will certainly write to the noble Lord.

Lord Bassam of Brighton Portrait Lord Bassam of Brighton (Lab)
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My Lords, this has been an absolutely fascinating debate. It has made me think a lot about the history of local government and how it has changed over 150 or 160 years. There was a time when we had aldermen, but they were abolished. We have had two-tier government, county boroughs and so on, but things have changed there too. The introduction of commissioners is a very progressive move, so I cannot agree with the noble Lords, Lord Shipley and Lord Jamieson, on that point. I can see that the accountability framework for commissioners is very important; they will have a powerful job.

If we think about it, some of those combined mayoral authorities will cover large geographical areas. My own likely combined mayoral authority involves East and West Sussex, which is about 100 miles from one end to the other and about 50 miles wide—and East Anglia covers a similarly large geographical area. It is right that we have these commissioners appointed and can hold them to account, because they will have a very important job to do. That is one reason why I thought that introducing some flexibility in terms of the patch or territory they cover, or the policies, was so important. However, I have heard what the Minister has said about that, and I hope we can reflect on some of those issues before Report.

On the points I made about political advisers and special advisers, I simply say this: again, it relates to the size of the task in front of mayors and commissioners. The salary is some £45,000 a year, which is generous but not pitched at a level one would necessarily expect to attract the very best. We need to have good quality political advisers involved in these strategic mayoral authorities. In my time as a local government leader, I did not see fit to have a political adviser—I got more than enough political advice from the Labour group, daily, and sometimes beyond that. But political advisers and special advisers are of immense value. When I first became a Minister back in 1999, what the civil servants used to say to me that was of value was that they had access to a special adviser who understood the thinking of the Secretary of State and their Ministers. That is really important, and that is why I thought it worth having a discussion about introducing special advisers into these very large strategic mayoral authorities. However, I have heard what the Minister said about that, and I shall reflect on it some more. I beg leave to withdraw the amendment.

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These arguments feed directly into Amendment 196B, tabled by the noble Lord, Lord Bassam, which seeks for the designation of local accounting officers to strengthen accountability for public spending. This is of a piece with the wider debate that we are having today. It reflects the same underlying concerns that as power and funding move closer to communities, accountability must follow just as clearly, visibly and robustly. This is not a debate about structures for its own sake. It is about whether the Government have a credible, coherent plan to ensure that trust, accountability and value for money keep pace with devolution.
Baroness Taylor of Stevenage Portrait Baroness Taylor of Stevenage (Lab)
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My Lords, I thank my noble friend Lord Bassam and the noble Lord, Lord Bichard, for their amendments relating to accountability and scrutiny, and I hope that the noble Baroness, Lady Pinnock, is recovering.

Starting with Amendment 191, tabled by the noble Lord, Lord Bichard, there is already an existing system of scrutiny that provides accountability to the public and local checks and balances and accountability to government, including a requirement for combined authorities and combined county authorities to establish an overview and scrutiny committee and an audit committee. In addition, the English devolution accountability framework and the scrutiny protocol set out the processes and principles that mayoral strategic authorities are expected to follow. Both documents are being reviewed to reflect the changes introduced through the integrated settlement and through this Bill. Where the most established mayoral strategic authorities benefit from integrated settlement, assurance is provided via an outcomes framework which interacts with the wider government system of accountability.

However, we recognise that there is scope to strengthen further the system of accountability and scrutiny for mayoral strategic authorities. That is why the Government committed in the English devolution White Paper to exploring a local public accounts committee model. Listening to the noble Lord made me reflect on some work that I did in 2015 with Sir Richard Leese, who was then the leader of Manchester City Council, and Jules Pipe, who was then mayor of Hackney. That work was focused on devolution and turning the dial from acute responses to prevention.

We recommended that if there was more widespread devolution, there was a need to think about local public accounts committees. Although that feels like six months ago, it was 10 years ago. Maybe every idea has its time. Therefore, I accept the principle behind this amendment and assure the noble Lord that we intend to hold mayoral strategic authorities to a very high standard.

The noble Baroness, Lady Thornhill, was reflecting on the scrutiny of integrated settlements, for example, and allowing those who have the local knowledge of how things are working is crucial. When we were thinking about the possibility of a local public accounts committee, we saw it as being as powerful as the Public Accounts Committee here, being able to call witnesses from various bodies that are impacted on by the services and projects that are being delivered so that it can gain a much fuller picture of what is going on. This is a very different type of scrutiny—fundamentally different, as the noble Baroness said, to audit, which is a financial function. It is really important that we consider this fully. However, I ask that the Government are given time to complete the engagement that we need to do with the sector to design such a new approach, because it is important that we talk to the sector about this.

I hear the point that the noble Lord, Lord Fuller, made about the scrutiny of all levels of local government. He is of course right that both budgets and precept levels in town and parish councils are not insignificant in many areas, so we have to think about that. It is essential that any new accountability and scrutiny regime complements the existing system and the reformed audit framework in the future. Above all, it must be proportionate and supported by clear guidance and support for the sector, to make sure that we get these reforms right. With that assurance, I hope the noble Lord will feel able not to move his amendment.

Amendment 196B relates to local accounting officers. I thank my noble friend Lord Bassam for this proposed new clause that would require established mayoral strategic authorities to create local accounting officers. His amendment would designate the head of paid service as the accountable officer responsible for local spending, value for money and scrutiny. Although I agree with the importance of strong accountability and value for money, all mayoral strategic authorities already operate within an existing system of accountability, and that accountability is split between the “golden triangle” of statutory officers: the chief executive, chief finance officer and monitoring officer. These officers are accountable to their board and required to comply with the best value duty.

Strengthened systems are already in place for areas that have integrated settlements. This includes the mayoral strategic authority chief executive being responsible for core accountability processes within their authority, including responsibility for local outcome delivery and value for money. However, we are continuing to explore the local accounting officer model. We recognise that accountability to Parliament for the use of taxpayer money, which the accounting officer system provides, is a fundamental principle and not something to be altered lightly.

As part of our work on testing a strengthened accounting officer model, the Government are engaging with mayoral strategic authorities and other government departments. It would not be appropriate to pre-empt the outcome of that work with a primary legislative change to introduce local accounting officers at this point. For these reasons, I hope my noble friend will feel able not to move his amendment.

On Amendment 53, tabled by the noble Baroness, Lady Pinnock, this proposed new clause would place a duty on the mayor of a combined county authority to establish a separate scrutiny committee for each commissioner they have appointed. As I have set out, mayoral strategic authorities are expected to follow the existing principles and processes described in the English devolution framework. This includes requirements that all combined authorities, and combined county authorities, must establish an overview and scrutiny committee, which provides local checks and balances. The noble Lord, Lord Shipley, raised a very important issue about being able to undertake pre-scrutiny. Overview and scrutiny committees are very capable of putting in place pre-decision scrutiny if they wish to do so. Some local authorities have that already, so it is not prohibited.

Further, the Bill ensures that the overview and scrutiny committee will have the power to recommend termination of a commissioner’s appointment. I can respond properly now to the question from the noble Lord, Lord Jamieson, about the voting majority. To correct what I said earlier, a two-thirds majority of non-mayoral members of the combined authority or the combined county authority is required to accept the recommendation. Commissioners are also accountable to the mayor, who can terminate their appointment.

As Clause 9 allows for the appointment of up to seven commissioners, this amendment would risk institutions having to establish as many as seven scrutiny committees in addition to the existing overview and scrutiny committee that is already accountable. This would create significant additional labour and cost pressures for combined county authorities. There is a technical difficulty in that it would also apply a lopsided accountability system, as the amendment makes no reference to these seven committees applying to combined, as opposed to combined county, authorities. While we recognise that there is scope further to strengthen the system of accountability and scrutiny for mayoral strategic authorities, we believe that this amendment would create unnecessary pressures on the existing system, and I therefore ask that it is not moved.

Lord Shipley Portrait Lord Shipley (LD)
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I am grateful to the Minister for a comprehensive reply to a comprehensive set of issues. It gives us pause for thought. I am glad that the Minister recognises the importance of pre-scrutiny. That is a fundamental issue, so if it can be better built into the Bill before it becomes an Act, that will be very helpful. I beg leave to withdraw the amendment.

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Lord Shipley Portrait Lord Shipley (LD)
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My Lords, I have just one thing to add to what the noble Baroness, Lady Scott of Bybrook, said. Last week, I mentioned the importance of guidance being published in advance of Report; it is absolutely fundamental to our understanding of the Bill, given that so much is missing from it. I therefore repeat my support for the point made by the noble Baroness, Lady Scott, that it would help us to have a better understanding of some of the detail that the Government are going to put into guidance before we get to the point of debating and voting on it on Report.

Baroness Taylor of Stevenage Portrait Baroness Taylor of Stevenage (Lab)
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My Lords, I thank the noble Baroness, Lady Scott, for her amendments relating to providing allowances for combined county authority members with special responsibilities.

Amendments 62 and 236 would make it mandatory for the Secretary of State to issue guidance before Clause 10 comes into effect, and would require a combined county authority to publish an annual report on its webpage outlining the allowances that have been paid to members with special responsibilities. I welcome the commitment from the noble Baroness to ensuring transparency in local government—a matter of paramount importance to this Government.

As a former council leader, the noble Baroness, Lady Scott, will know, as I do, that allowances probably attract more debate and discussion, from both Members and the public, than much of the other policy that we debate. That is why we will issue statutory guidance on complying with the duty under Clause 10 to produce and publish reports. The guidance will allow the Secretary of State to set clear expectations—for example, regarding the frequency of such reports and where they are published—to support combined authorities and combined county authorities in this area. In the event that further clarification is needed, the power to issue guidance provides flexibility for the Government to update their position.

I would also add that, because this amendment applies to combined county authorities only, it would create a divergence in law between the requirements imposed on them versus combined authorities. That would be inconsistent; it would not be right to treat the two types of authority differently on that basis. My understanding is that this statutory guidance will be published on Royal Assent. I ask the noble Baroness to withdraw her amendment.

Baroness Scott of Bybrook Portrait Baroness Scott of Bybrook (Con)
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I thank the Minister but we are back where we started, really, in that we would like to see the guidance before Report so that we can see whether the guidance is correct or whether it could include something else. I currently do not know this, and we will not know. So I thank the Minister for her answers, but we should try to get the guidance before Report; if we do not, we are going to be asking more and more questions on this in Committee.

I accept what the Minister says about combined authorities and county combined authorities. I will look at that again and, if we do not get this guidance, I will retable it on Report. At this point, I say to the Minister that this is an important issue, and it would be better if we could scrutinise it properly, at least on Report, but at this point I withdraw my amendment.

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Baroness Scott of Bybrook Portrait Baroness Scott of Bybrook (Con)
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My Lords, Amendments 63 and 64 in my name and that of the noble Lord, Lord Jamieson, both relate to Clause 11 and the proposed changes to the mayoral precept arrangements. They are intended to elicit from the Government a clearer explanation of both the necessity and the principle behind the changes proposed in this clause. We want to see the prevention of uncontrolled mayoral precepts, the avoidance of tax rises through the backdoor and fiscal parity with existing local authorities. That is more important now, having heard some of the debates today.

Amendment 63 seeks to probe why the Government believe it necessary to revisit the precept arrangements that were set out only recently in the Levelling-up and Regeneration Act 2023. They were presented as part of a carefully planned settlement between central government, local authorities and the public, particularly in relation to accountability and transparency around local taxation. Those arrangements were debated at length in this House by noble Lords on all Benches, as the Minister and I know only too well, given the many hours we spent debating it.

Against that background, it is not immediately clear why the Government now feel the need to depart from that framework so soon after it was enacted. What has changed and what problems have arisen that they are now seeking to address? I would therefore be grateful if the Minister could first explain what evidence the Government have had that existing arrangements are no longer fit for purpose; secondly, whether local councils or mayoral combined authorities have themselves asked for these changes; and thirdly, what outcomes for precepts they are expecting or seeking to facilitate through these changes. It is right to be cautious about reopening settlements that have barely had time to bed in, and I hope the Minister can reassure us that this is not just change for change’s sake.

Amendment 64 addresses a related but distinct, significant concern: why mayors should be treated differently from other local authorities when it comes to limits on precept increases. As things stand, other types of local authority are subject to clear principles set out annually by the Secretary of State, which limit the extent to which they may increase their council tax without triggering additional scrutiny or consent. The amendment simply proposes that mayoral combined authorities and mayoral combined county authorities should operate within the same principles. Therefore, my question for the Government is very simple: what is the justification for the differential treatments?

Mayors exercise significant powers and command substantial budgets with high public profile. It is only right that those powers come with the same fiscal discipline and protections for taxpayers that apply to other tiers of local government. Without parity, there is a risk that mayoral precepts become a means of raising revenue, perhaps even for vanity projects or unfunded responsibilities, without the safeguards that residents elsewhere quite rightly expect.

This leads me to a broader concern that underpins both of the amendments in this group. Too often, we see responsibilities devolved without sufficient or sustainable funding attached. While devolution can and should empower local decision-making, it should not become a mechanism by which central government passes financial pressures down the line and leaves local leaders, and therefore local taxpayers, to pick up the bill.

If mayors are given additional duties without adequate funding, the inevitable consequence is pressure to raise their precept. From a Government who have sought to raise punitive taxes at every opportunity, this sounds very much like another tax rise through the back door. I do not believe that is what the public would understand as devolution or community empowerment. It is not consistent with the principles of transparency and accountability that we all should stand for.

The last two questions I have for the Minister are: for what reason do precept arrangements in the LURA need to be reopened, and why should mayors not be subject to the same precept arrangements as other local authorities? I hope the Minister will be able to reassure me on both points, and I beg to move.

Baroness Taylor of Stevenage Portrait Baroness Taylor of Stevenage (Lab)
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I thank the noble Baroness, Lady Scott, for her amendments on precepts.

Amendment 63 probes why the Government are changing precept arrangements, and I completely understand why she would do that. The changes to existing powers will allow mayors to precept for all an authority’s functions, giving mayors more flexibility about how they fund mayoral priorities.

I remind noble Lords that the ability to issue a mayoral precept has existed in law since 2017, but it remains at the discretion of mayors how to use it. However, as it stands, mayors who choose to use the precept can spend it only on mayoral functions rather than on all the authority’s functions. This limitation is arbitrary and unnecessary. It could mean, for example, permitting spending on transport but not on health.

We want to give mayors the tools to tackle the obstacles to growth and improve the lives of people in their area, and to do this effectively, mayors must be able to spend across all an authority’s functions.

Amendment 64 would impose council tax principles automatically on strategic authorities. The Secretary of State can already set referendum principles on strategic authorities should they choose to do so. However, where used, mayoral precept rates are proportionately a small amount. Imposing a limit on how much they can rise in line with councils would mean that, in almost all areas, the value would remain insignificant and be ineffective for investing in local priorities.

The Government have made it clear that any increases to the mayoral precept should be fair and proportionate, but aligning maximum mayoral precept rate rises with other council tax rises reduces local agency, which runs contrary to the spirit of the Bill and of devolution. We want to see mayors who are empowered to invest in their communities, creating better public services and driving economic growth.

I took a quick look at some of the rates of mayoral precepts that are levied. It was interesting for me to see that in Liverpool in 2025-26, residents of band D properties were charged £24 extra for the mayoral precept per year. In Cambridgeshire and Peterborough, the figure was £36. It is a bit unfair to compare some of the other authorities because they deliver police services and they precept for those as well. But then I looked at some of the town and parish council figures, and the average parish band D precept is £92.22, which was a percentage change of 9.4% in the last year. So, the mayoral precept feels proportionate to me.

The Government consult on the local government finance settlement each year. That is the established and appropriate way of considering what is best for authorities and taxpayers each year, and we will continue to do so. I therefore ask the noble Baroness, Lady Scott, to withdraw her amendment.

Baroness Scott of Bybrook Portrait Baroness Scott of Bybrook (Con)
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I am grateful to the Minister for her responses and for trying to assure me about those amendments. However, she will understand that concerns raised in the short debate between us are not about opposing devolution nor about questioning the role of mayors but about ensuring that changes to local taxation powers are justified and consistent.

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Lord Shipley Portrait Lord Shipley (LD)
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I am grateful to the noble Lord, Lord Jamieson, for raising some very crucial issues on the levels of borrowing powers. I add to that my concern—made even more so by the fact that constituent councils will not be able to scrutinise the work of the mayor or commissioners.

In that situation, I hope the Government will not be anticipating that local councils will then be responsible for any overspending by mayors and the combined authorities because, otherwise, there will be a demand on the council tax payer. So can the Minister confirm that overspends caused by poor-quality work by mayoral authorities will not end up with the council tax payer having to bail them out?

Baroness Taylor of Stevenage Portrait Baroness Taylor of Stevenage (Lab)
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My Lords, I thank the noble Baroness, Lady Scott, for her Clause 12 stand part notice, ably spoken to by the noble Lord, Lord Jamieson.

All existing mayoral combined and combined county authorities have the power to borrow for all their functions. Unlike local authorities, the current process requires making a bespoke statutory instrument after an institution has been established. This process is highly inefficient. The Bill streamlines the process by giving the power to borrow to mayoral combined authorities and mayoral combined county authorities for purposes relevant to their functions. The power to borrow is still subject to safeguards. Clause 12 requires authorities to obtain the Secretary of State’s consent before they exercise the power for the first time in respect of functions other than transport, policing, and fire and rescue.

I will cover some of the points that the noble Lord, Lord Jamieson, asked me about. First, in relation to agreeing a debt cap, in general the exercise of power will remain subject to consent from the Secretary of State for the Ministry of Housing, Communities and Local Government, before it can be used for the first time, as I said. That would follow any internal processes, such as a debt cap agreement. The only exception will be where the new mayoral combined authorities and combined county authorities inherit fire, police or transport functions. In this instance, the power to borrow can be exercised immediately for these functions to ensure that ongoing financial arrangements are not disrupted.

In terms of how borrowing is agreed, any borrowing by a mayoral strategic authority is agreed through the annual budget-setting process and is subject to approval by the combined and combined county authority, operating within existing legislative, financial and prudential controls. While the mayor proposes the budget, borrowing cannot be undertaken unilaterally. Under the Bill, most budgets will be approved by a simple majority, which must include the mayor.

In response to the noble Lord, Lord Shipley, the budget, like all other matters, will be subject to the overview and scrutiny process, so there can be scrutiny of the budget in the same way that you would expect in a local authority.

The noble Lord, Lord Jamieson, asked about underwriting. Like the rest of local government, strategic authorities must also operate within the prudential framework. This framework comprises statutory duties and codes intended to ensure that all borrowing and investment is prudent, affordable and sustainable. It provides robust mechanisms for oversight and accountability. For those reasons, I ask that the noble Lord does not press his clause stand part notice.

Lord Jamieson Portrait Lord Jamieson (Con)
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I thank the Minister for her response. If I may, I will delve a little deeper into some of her comments. She said that the first time an authority borrows, it will have to get consent from the Secretary of State, with an implication that, at that time, guidelines or parameters would be set up. I think that is what I heard. I want to make sure it is not the case that, the first time you borrow, the Secretary of State says it is fine, and then thereafter there are no guidelines, or whatever. I appreciate the Minister may not be able to clarify that today, but if she could write to us, that would be much appreciated.

The authority can already borrow for fire and police. The Minister mentioned one other: transport. For those, there would not be any such guidelines, as I understand it from the Minister’s comments. Again, it would be helpful if the Minister could come back to confirm whether that is the case or whether they would be subject to whatever guidelines may be given by the Secretary of State. That would be much appreciated.

We talked about budget controls. I am curious about that because it raises the point that the budget in effect has to be agreed by the mayor. I am intrigued as to what happens when the mayor and the combined authority are slightly at odds. What then happens in that process?

The Minister did not mention, as far as I am aware, the key question that I asked and that the noble Lord, Lord Shipley, was also concerned about: who in effect is the guarantor in the event that the combined authority cannot pay back its borrowing? I would be grateful if the Minister could come back with a response to that. Anticipating those answers, I will not press my opposition to Clause 12 standing part of the Bill.

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Moved by
65: Clause 13, page 17, line 8, leave out “this section” and insert “subsections (2) to (7)”
Member's explanatory statement
This would be consequential on the amendment of clause 13 which provides for the amendment of section 143 of LGFA 1988 and section 106A of LDEDCA 2009.
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Baroness Taylor of Stevenage Portrait Baroness Taylor of Stevenage (Lab)
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My Lords, Clause 13 will allow combined authorities and combined county authorities to make a transport levy on their constituent councils to cover any transport costs not met by grants or other revenue streams. Previously, the powers to charge a transport levy have been provided through varied and disparate regulations and orders. The Bill standardises and makes consistent the ability for combined authorities and combined county authorities to charge a transport levy. These minor and technical amendments correct new sections and amend cross references to protect the regulation-making powers for levies. I beg to move.

Baroness Scott of Bybrook Portrait Baroness Scott of Bybrook (Con)
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My Lords, as the Minister said, these are technical and consequential amendments to the levies section of the Bill. It has been a long enough day, and I have already made my position on mayoral precepts and council tax very clear in the previous two groups, so I will not repeat myself.

English Devolution and Community Empowerment Bill

Baroness Taylor of Stevenage Excerpts
Baroness Pidgeon Portrait Baroness Pidgeon (LD)
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My Lords, I shall speak initially to my Amendments 70 and 71 in this group. It is a pleasure being here with noble Lords; it feels like a reunion of assembly or London Councils meetings. I thank the noble Lord, Lord Gascoigne, who I know is not able to be here today, for adding his name to Amendment 70, and the noble Lord, Lord Moylan, for adding his name to Amendment 71. Both noble Lords have direct experience of the GLA and London government as a whole. Like other noble Lords, in drafting these amendments I bring 26 years’ experience as an assembly member and a London borough councillor.

Amendment 70 is about the power of summons. The law as it stands means that the assembly has relatively limited powers of summons over individuals and documents. It can summon the Mayor of London only in his or her role as chair of one of the functional bodies. For example, you could summon the mayor to a meeting as chair of Transport for London, but you could not summon them to come to a meeting if there was a huge failure or difficulties in their housing or solar programme and you wanted a detailed discussion. That makes no sense.

Furthermore, the assembly is prevented from summoning those delivering services in London. Noble Lords might well think that that does not matter because people will go and give evidence, so we do not need this power, but I will give the Committee a concrete example. Many years ago, I led an investigation into High Speed 2—then an initial programme that was going to have a huge impact in west London. High Speed 2, admittedly at that time under different management, refused to come before the assembly to give evidence to our inquiry. Despite huge amounts of correspondence, including the Department for Transport trying to put direct pressure on this body that was accountable to it, High Speed 2 refused to give any evidence at all. Yet it was delivering a project affecting London with huge amounts of public money.

Similar bodies, including the Environment Agency, the Port of London Authority and even London Councils, may attend if requested, but they, too, have at times decided not to. That cannot be right when we are trying to look at services delivering for London. This power would strengthen the assembly, allowing it to fully carry out its scrutiny role. It sits well with Amendment 72, which proposes a London local authorities joint committee, because there would need to be scrutiny of that body and this new power would allow the assembly to carry that out.

As I said, the noble Lord, Lord Gascoigne, is unable to be here today, but in correspondence last night he said that he was happy for me to explain his support for this. He comes at it from a different point of view. He used to work for the former Mayor of London and he said that, although we come at this from different angles—he would brief the mayor ahead of scrutiny and I would be there as a scrutineer—he feels that these scrutiny sessions are serious, healthy, important and substantive and he does not see any potential for these powers to be abused because you would use them only in exceptional circumstances. He feels that, ultimately, if the mayor turns up, they may not answer the questions put to them, but at least you would have that opportunity—so he was keen to support this amendment. This issue has had cross-party support on the assembly for years, so I hope that the Minister will seriously consider this amendment.

Of course, if more powers are given to the mayor, as was discussed at the start of this group, the assembly should be strengthened alongside this. The noble Baroness, Lady Scott, mentioned London being up on a pedestal but, actually, Manchester has more power than London in certain areas, such as health, and it feels as though London potentially needs to catch up.

Amendment 71 would remove the anomaly that, to amend the Mayor of London’s budget, a two-thirds majority is needed at the final stage. For many years, this has meant us, as assembly members, sitting there and rejecting the mayor’s budget and then it still going through at the final meeting because the threshold has not been reached. Such a threshold does not exist in any other part of local government, and I do not understand why it is needed here for London. I ask the Government to remove this requirement so that any mayor has to work with the assembly to ensure that a budget has majority support.

The other amendments in this group cover the establishment of a London local authorities joint committee and the power to pay grants to it. This would, as we have heard, put in place formally what is already taking place through other means. I am happy with these amendments. They have cross-party support and support from the London Assembly. As I said, they complement my amendment on the power of summons for the London Assembly, because I think that this joint committee should be subject to scrutiny as well.

Amendment 75, in the name of the noble Baroness, Lady O’Neill of Bexley, makes a reasonable point—the noble Baroness and I exchanged some correspondence at the weekend about it. As many of us have said, reviewing how the London system works and what lessons there are for other areas does not necessarily need to be in the Bill. I come at this from a different point of view. I am really keen to increase the powers of the London Assembly and to look at stronger scrutiny arrangements across the country with the rollout of mayoral and combined authorities. For me, that is the gap in the model that is being rolled out.

At the moment, there is little to no real scrutiny of billions of pounds-worth of expenditure across the country. This is a huge deficit in these new mayoral models. This scrutiny must be carried out by members who are not conflicted through other roles, such as being leaders of authorities. This is probably where I differ from the noble Baroness, Lady O’Neill, and the noble Lord, Lord John, because I think that council leaders can be conflicted. They want to secure funding for their borough, and that can cause tension—they may not want to get into the bad books of a mayor. That is where the benefits of the GLA model, with scrutineers who are directly elected, comes in. They can look at things more independently, ask the tough questions and, sometimes, produce very tough reports.

I disagree with the suggestions we have heard in the debate on the amendments in the names of the noble Lords, Lord Fuller and Lord Harris, about reducing the number of London boroughs. I do not think that that would be right. The amount of work, including casework, that borough councillors have to do in London is unbelievable compared to their colleagues elsewhere. That would not be a realistic option.

I look forward to the Minister’s response with interest. I hope we can start to see some movement to strengthen the powers of the assembly and to support London Councils on this matter.

Baroness Taylor of Stevenage Portrait The Parliamentary Under-Secretary of State, Ministry of Housing, Communities and Local Government (Baroness Taylor of Stevenage) (Lab)
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My Lords, I thank my noble friend Lord Harris of Haringey and the noble Baronesses, Lady Scott of Bybrook, Lady Pidgeon and Lady O’Neill of Bexley, for their amendments relating to London devolution. As a mere veteran of what the noble Lord, Lord Fuller, described as provincial local government, I feel a little hesitant about sticking my head into the lion’s den of London local government—but it is my job, so I will do it anyway.

I start with the stand part notice in the name of the noble Baroness, Lady Scott, which would remove Clause 15 from the Bill. It is vital that the devolution framework works for the unique circumstances of London’s governance. Clause 15 must stand part of the Bill in order to signpost to Schedule 25 to the Bill and the GLA Act 1999. This enables the Government, among other things, to confer functions on the Mayor of London, the Greater London Authority and its functional bodies. Contrary to the comments from the noble Baroness, Lady Scott, about putting London on a pedestal, the provision enables us to confer powers on the mayor and the GLA. If the GLA was excluded from Schedule 25, it would then be the only strategic authority that would require primary legislation for the conferral of functions, and there is no rationale for creating a divergent approach just for London. Schedule 25 will ensure that the Greater London Authority benefits from the devolution framework and can deepen its powers over time.

The noble Baroness asked a question about consultation. Ahead of the Bill being introduced, the Government engaged the mayor, the GLA and London Councils on proposals in the devolution White Paper.

I thank my noble friend Lord Harris for bringing his wealth of experience and knowledge of London to our debates on this Bill. I thank the noble Baronesses, Lady O’Neill, Lady Pidgeon and Lady Hayter, and the noble Lords, Lord Tope, Lord Moylan and Lord John. I have not yet been able to add up their joint years of London experience, but it is of significant breadth and depth, and it is welcome to have that informing our discussions on the Bill. For the record, my local council was formed in 1971 and has been a Labour council to this day. It does not quite meet the 60 years mentioned by the noble Lord, Lord Moylan, but we are not far away, and we are a new town.

We are currently engaging positively with London Councils and the Greater London Authority on this matter. In the context of that ongoing work and the need to continue to work jointly towards a constructive resolution, I do not feel that it would be appropriate to rush in a legislative change for the unique arrangements for London governance through this amendment. I am very happy to meet my noble friend Lord Harris and other London partners, if he feels that that would be helpful before Report, because I understand the points he has made.

On Amendment 70, in the English devolution White Paper the Government committed to strengthening scrutiny in strategic authorities. As the noble Baroness knows, London is unique among strategic authorities, in that the mayor’s work is scrutinised by the directly elected London Assembly. It is my understanding that the mayor is committed to appear before 10 sessions each year for scrutiny. If he does not do so, or misses more than a number of those sessions, he can be sanctioned by the GLA.

As the Government consider the best way to strengthen scrutiny in strategic authorities, it is right that we tailor our approach to the arrangements in London. We will engage the GLA and the London Assembly on any potential changes. I have much sympathy with the frustration about key partners and providers that spend public money and then refuse to come before scrutiny bodies. I will not go into my particular pain over bus companies, but I understand the point that the noble Baroness was making there. This amendment would significantly alter the powers of the London Assembly and preclude the Government’s ongoing work on this issue, which is being taken forward in close discussion with combined authorities and the GLA.

Similarly, on Amendment 75, London’s model is unique among strategic authorities and has successfully served the people of London for the last 25 years—I think the noble Lord, Lord John, referred to the successful part of London governance. The Government are regularly in contact with the GLA to understand how its governance, scrutiny arrangements and partnership working arrangements are delivering for Londoners. As London’s devolution settlement evolves, the Government want to continue to see positive working between the GLA and its partners, including London borough councils, to deliver on shared priorities. We hope to build on these where possible. Therefore, we do not believe that a formal review is necessary.

I listened to the points made by the noble Baroness, Lady O’Neill, about issues around boroughs neighbouring London, Lee Valley park, the London grants scheme and so on. I will reflect on those. A meeting might be helpful, because I did not quite understand the balance between “If it ain’t broke, don’t fix” and there being things that need to be fixed that we should have a look at to see what changes would be necessary. It would absolutely not be right to interject a legislative knee-jerk into this space without the work that is needed between all parties to determine a way forward. I hope that we can move that forward before Report.

Amendment 71 seeks to introduce simple majority voting for the London Assembly to amend the Mayor of London’s final draft budget. This Bill includes measures to unblock mayoral decision-making. Primarily, this is by stipulating that most decisions in combined authorities and combined county authorities require a simple majority including the mayor, but also by making some functions, such as those concerning police and fire, exercisable by the mayor only.

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Baroness Pidgeon Portrait Baroness Pidgeon (LD)
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We talked about a review of the scrutiny arrangements of other metro mayors, if you like—mayoral and strategic authorities. Is the Minister able to give us a timescale for that? We also talked about discussions with the GLA; the GLA is made up of the Mayor of London and the London Assembly. Is the department talking to officers and members of the London Assembly, because the Civil Service often uses the term “GLA” when it means just the mayor’s office.

Baroness Taylor of Stevenage Portrait Baroness Taylor of Stevenage (Lab)
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My understanding is that discussions are with the GLA, but I will double-check on that and respond to the noble Baroness in writing.

We are putting in place a robust system of overview and scrutiny for the combined authorities. We are also considering, as we discussed with the noble Lord, Lord Bichard, the other day, whether a system of local public accounts committees might also be relevant.

Lord Moylan Portrait Lord Moylan (Con)
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There is a certain sleight of hand going on. The noble Baroness referred to scrutiny arrangements and, of course, the London Assembly is largely a scrutiny body; that is what it spends most of its time doing. But when it comes to budget setting, it is a co-decision-maker. That is a crucial difference. Setting and amending the budget is not a scrutiny activity by the London Assembly; it is a co-decision-making function with the mayor, which strengthens democratic oversight of the mayor’s expenditure of what are now very large amounts of money—£20 billion-plus—on the people of London.

The question is what an appropriate position and appropriate balance of power for the assembly is in that co-decision-making role—not its scrutiny role, but its co-decision-making role. We are now into 26 years of existence of the London Assembly. The fact that that threshold has never once been met illustrates that it is not allowing the assembly to function as intended, as a co-decision-making body. It needs to be adjusted. One might say that the mayor’s executive functions would be hampered if democracy were improved, but of course the mayor’s executive functions would be further unhampered if there were no democracy at all. The London Assembly is meant to be a democratic body. Why is it not allowed to function as a normal democratic body in this one area where it has a co-decision-making power?

Baroness Taylor of Stevenage Portrait Baroness Taylor of Stevenage (Lab)
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I was referring to the difference between the combined authorities and the combined county authorities, which are made up of the constituent members from the local area. The GLA does not work like that, as we all know. It is not a body that represents the London boroughs; it is a different, directly elected body and it has a different scrutiny function. I was not trying to engage in sleight of hand; I was just pointing out the difference between the two bodies.

Baroness Scott of Bybrook Portrait Baroness Scott of Bybrook (Con)
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My Lords, I have listened carefully to noble Lords’ contributions, for which I am very grateful. It is so refreshing to hear about London local authorities. I have talked for a number of years in both Chambers about local government, but we very rarely have a proper debate on London governance. It is very refreshing and I thank noble Lords who have, it seems to me, hundreds of years of experience in the great city’s governance. It is seriously refreshing.

To the noble Lord, Lord Harris, I say that of course I understand the role of our great capital city and its importance in the economy of our country, but I do not think that that means that we cannot at times challenge it and scrutinise it from here, and I think that that is what we are doing. It is our genuine desire to ensure that community empowerment, efficiency and localism should apply to London as well when we are looking at the rest of the country.

Clause 15 remains wholly unclear, both in its purpose and its intention. Empowering one individual further without compelling justification or evidence is not the right direction of travel in our opinion. It may be that we need to review London before we give these further powers, as we are doing for the rest of the country. Are we giving these powers to an authority that is as efficient as it can be in governance, just as the rest of the country is being challenged to be before it gets those powers?

If there is a case for expanding the powers in London, I suggest that the Government look at that governance before they make that decision, which is why the amendment was tabled. If such a case exists, I believe that it should be laid before Parliament transparently rather than delivered through secondary legislation at a later stage in a way that limits our scrutiny and public understanding, which is important.

Equally, amendments tabled by the noble Baroness, Lady Pidgeon, and the noble Lord, Lord Harris of Haringey, have highlighted a real concern about the existing governance arrangements and structures, although I remain unconvinced that more layers of committees are the answer. None the less, not only are the Government taking, in our opinion, the wrong direction of travel, but they are also missing a great opportunity in this primary legislation. The proposal to reduce the two-thirds majority to a simple majority, as we have heard, for changes to the GLA council tax requirement would empower councillors, as we are trying to do in this Bill. My understanding is that, when the budget is debated, many of the issues in the budget are voted down by the GLA but, when it gets to the budget decision, that decision is lost. That does not seem right and the Government need to seriously look at this again.

The amendment tabled by my noble friend Lady O’Neill of Bexley—I thank her for all her work in the London boroughs—would give us exactly the opportunity that we want in order to assess what currently works, what does not work and where genuine reform, rooted in efficiency, transparency and local empowerment, might be needed.

I suggest that the Government are not listening to what we are saying. It seemed to me that, at different levels, there was pretty much cross-party agreement. I believe that they must explain with much more clarity why Clause 15 is necessary without some sort of review of London, who it benefits and what problems it seeks to solve. We all want a London that works for Londoners, for the people who come here to enjoy our wonderful capital city and for the economy that it feeds in this country.

I also believe that the Government’s arrangements for our city should be proportionate to those for the rest of the country. Further empowering an already powerful mayor without a real, robust rationale does not achieve that. I urge the Minister to reflect carefully between now and Report. In the meantime, I will withdraw my stand part notice but will be considering what we bring forward on Report.

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Lord Jamieson Portrait Lord Jamieson (Con)
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My Lords, we have had an interesting debate. In essence, we are debating a philosophical issue here. I firmly believe in democracy. Elections take place; your Lordships would be surprised to know that I do not always like some of the decisions that the electorate make, but I will defend every time the public having the opportunity to elect whom they want to represent them. That is a priority.

Just because I do not like it or just because they have a second job that I may not think appropriate, they should have that opportunity. We need some protections in place for fraud and other things, but I believe in democracy and, in essence, that is what the comments of my noble friends Lord Fuller and Lady O’Neill are about, and I associate myself with them. We should not prevent people standing for election; we should allow the electorate to make their choice. That is what democracy is. We may all have our views about whether a job is too big and therefore we cannot have somebody doing two of them but, if you believe in democracy, you believe that the electorate should have the facts presented in front of them and they should be given that choice. That is my strong philosophical view. We should not be telling the electorate, “No, you cannot have this person because they are already too busy”. Therefore, I genuinely believe my noble friend’s comments and that it is right that we should trust the electorate.

I appreciate that that may not align with certain party rules on different things, but there is no reason that the law has to mirror a certain party’s rules. I have no problem with whatever party having particular rules for the candidates they choose. That is the right thing to do. I know, from my own experience as chairman of the LGA, that the Conservative group had some very different rules from the Labour, Liberal and independent groups for how long people could stand and who was eligible. That is fine; I would not criticise the rules that Labour or the Liberals had, and I hope they did not criticise our rules. That was a choice; we were not imposing them by statute.

I very much support both the amendments of my noble friend Lord Gascoigne and the proposal that this clause not stand part of the Bill from my noble friend Lord Fuller. If Clause 16 stands part, the amendments proposed by my noble friend Lord Gascoigne would introduce a certain amount of flexibility. Given the amendments that the Government are proposing, what would happen if an election were to take place, let us say, 10 days before the end of a parliamentary term? Would the Government really want to impose a mayoral election? I am not quite sure that 10 days works, but I am sure your Lordships get my gist. If Clause 16 were to stand, a certain amount of flexibility would be beneficial, notwithstanding my previous comments.

I also agree with the Government’s amendments, assuming that eight days is the correct period and would give time for an MP to stand down and so forth, but I have a particular question on this. It may be very unlikely, but what happens if an election for a mayor happens when Parliament is not sitting? My understanding is that an MP cannot resign when Parliament is not sitting. Could the Minister at least consider that? I am not necessarily expecting an answer here, but a written answer would be helpful for everyone.

The fundamental point is why this Government believe that the electorate are not the right group of people to decide who represents them, even if they decide that it is Andy Burnham.

Baroness Taylor of Stevenage Portrait Baroness Taylor of Stevenage (Lab)
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My Lords, I thank the noble Lords, Lord Gascoigne and Lord Fuller, for their amendments, and the noble Baroness, Lady O’Neill, for moving the amendment from the noble Lord, Lord Gascoigne, on members of legislatures disqualified for being a mayor of a strategic authority, and for probing whether Clause 16 is needed.

It is not the job of this Committee to debate the Labour Party rulebook or decisions of its national executive committee. Your Lordships must trust me that they do not want that job. I thank the noble Baroness, Lady Royall, and the noble Lord, Lord Shipley, for their interventions on that issue.

Clause 16 will prevent individuals being a Member of Parliament, or of the devolved legislatures in Scotland, Wales and Northern Ireland, and a mayor at the same time. This is an important clause for two reasons. First and most critically, the post of mayor is a vital role at the forefront of delivering change—whether that is economic growth, public services, planning for the strategic area, transport or many other issues—and its responsibilities will only increase with this Bill. The role must demand a person’s full attention as a full-time post, rather than being a part-time position done alongside another vital public service role.

Secondly, elected members and mayors have a duty to represent the constituents who elected them. The noble Lord, Lord Shipley, raised the potential issue of having different constituencies. Fulfilling two different roles on behalf of different geographical areas could lead to conflicts of interest or undesirable trade-offs. This is absolutely not party political; it is common sense. Indeed, it is now the case that those mayors who are also police and crime commissioners—Andy Burnham and Tracy Brabin—cannot be Members of a UK legislature at the same time.

I know that this House operates on a slightly different basis, but when I joined it, I was still leader of my council. As a Minister you cannot do both jobs at the same time, but even before I was a Minister, I would not have dreamed of trying to do so. They are different jobs; both carry a heavy level of responsibility, and it was important to me to focus on one.

Baroness Scott of Bybrook Portrait Baroness Scott of Bybrook (Con)
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Can the Minister clarify that what she just said about PCCs and Members of the legislature concerns the elected Members? We have to be very careful here; we are part of the legislature.

Baroness Taylor of Stevenage Portrait Baroness Taylor of Stevenage (Lab)
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I apologise; I could have been clearer on that. The noble Baroness is quite right: it is the elected legislature. In view of my comments, I ask that noble Lords do not press their amendments.

Government Amendments 77, 80, 82, 85 and 90 will modify Clause 16 to introduce a grace period in which a mayor can hold office and simultaneously be a Member of a UK elected legislature without being disqualified. The period will be eight days. To answer the question from the noble Baroness, Lady O’Neill, the eight days enables the Chiltern Hundreds process to happen—that is the period required for going from being an MP to being a mayor. To go from being a mayor to being an MP, it enables the mayor to put their affairs in order before they take up their post as an MP. In the event that a mayor is running to be a Member of a UK legislature, it will be eight days beginning on the day when they are elected to that legislature.

I will write to the noble Lord, Lord Jamieson, as I do not know the answer to his question. It is important that Members are given reasonable time to get their affairs in order and to ensure their resignation from the respective legislature. These amendments address concerns raised in the other place about ensuring that an orderly transition can occur in the event that an MP is appointed as a mayor. Similarly, mayors running to be a Member of a UK legislature would otherwise be disqualified immediately on election. Introducing the grace period provides a period of transition for the outgoing mayor to get their affairs in order. I commend these government amendments to the Committee.

Lord Jamieson Portrait Lord Jamieson (Con)
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I raised another point in relation to the amendment in the name of my noble friend Lord Gascoigne. With a very strict timetable of eight days, one could envisage situations where any sensible person would stand back and ask, “Do we really want to have a mayoral election for the sake of two, three or four weeks?” Will the Government consider a bit more flexibility?

Baroness Taylor of Stevenage Portrait Baroness Taylor of Stevenage (Lab)
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I apologise; I meant to say to the noble Lord that I will write to him about the situation in which Parliament may not be sitting when that election takes place.

Lord Jamieson Portrait Lord Jamieson (Con)
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I appreciate that the Minister will do that, but I was also making the point that the amendments in the name of the noble Lord, Lord Gascoigne, would at least provide some flexibility. The common-sense approach would be to ask, “Why would I have a mayoral election this month when there’s one happening next month anyway?” Can there be a bit more flexibility? As the Labour Party has rightly said, it costs a lot of money to run an election in Manchester.

Baroness Taylor of Stevenage Portrait Baroness Taylor of Stevenage (Lab)
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I will reflect on that question and come back to the noble Lord.

Baroness O'Neill of Bexley Portrait Baroness O’Neill of Bexley (Con)
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I beg leave to withdraw my amendment.

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Moved by
77: Clause 16, page 20, line 7, at end insert—
“(1A) If a person—(a) is elected as the mayor for the area of a combined authority, and(b) is, on the first day of the mayoral term, an elected member of a legislature in the United Kingdom,the person is not disqualified under this paragraph for holding office as the mayor at any time in the period of eight days beginning with the first day of the mayoral term.(1B) If a person—(a) becomes an elected member of a legislature in the United Kingdom, and(b) is, when the person becomes the elected member, the mayor for the area of a combined authority,the person is not disqualified under this paragraph for holding office as the mayor at any time in the period of eight days beginning with the day on which the person becomes the elected member of the legislature.”Member’s explanatory statement
This would stop the new disqualification from applying during an 8 day “grace period” beginning with the day when it would otherwise apply (in the absence of this amendment). This would give time for an orderly resignation as legislator (where the person becomes mayor) or as mayor (where the person becomes a legislator).
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Moved by
80: Clause 16, page 20, line 13, at end insert—
““first day of the mayoral term” , in relation to a person who is elected as the mayor for the area of a combined authority, means the day that would be the first day of the person’s term as the mayor if it is assumed that the person is not disqualified under this paragraph.””Member’s explanatory statement
This makes clear that the effect of the new disqualification provision must be ignored when working out what is the first day of the mayoral term.
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Moved by
82: Clause 16, page 20, line 23, at end insert—
“(1A) If a person—(a) is elected as the mayor for the area of a CCA, and(b) is, on the first day of the mayoral term, an elected member of a legislature in the United Kingdom,the person is not disqualified under this paragraph for holding office as the mayor at any time in the period of eight days beginning with the first day of the mayoral term.(1B) If a person—(a) becomes an elected member of a legislature in the United Kingdom, and(b) is, when the person becomes the elected member, the mayor for the area of a CCA,the person is not disqualified under this paragraph for holding office as the mayor at any time in the period of eight days beginning with the day on which the person becomes the elected member of the legislature.”Member’s explanatory statement
This would stop the new disqualification from applying during an 8 day “grace period” beginning with the day when it would otherwise apply (in the absence of this amendment). This would give time for an orderly resignation as legislator (where the person becomes mayor) or as mayor (where the person becomes a legislator).
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Moved by
85: Clause 16, page 20, line 29, at end insert—
““first day of the mayoral term” , in relation to a person who is elected as the mayor for the area of a CCA, means the day that would be the first day of the person’s term as the mayor if it is assumed that the person is not disqualified under this paragraph.”Member’s explanatory statement
This makes clear that the effect of the new disqualification provision must be ignored when working out what is the first day of the mayoral term.
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Moved by
87: Clause 16, page 20, line 38, at end insert—
“(1A) If a person—(a) is elected as the Mayor, and(b) is, on the first day of the Mayoral term, an elected member of a legislature in the United Kingdom,the person is not disqualified under this section from being the Mayor at any time in the period of eight days beginning with the first day of the Mayoral term.(1B) If a person—(a) becomes an elected member of a legislature in the United Kingdom, and(b) is, when the person becomes the elected member, the Mayor,the person is not disqualified under this section from being the Mayor at any time in the period of eight days beginning with the day on which the person becomes the elected member of the legislature.”Member’s explanatory statement
This would stop the new disqualification from applying during an 8 day “grace period” beginning with the day when it would otherwise apply (in the absence of this amendment). This would give time for an orderly resignation as legislator (where the person becomes Mayor) or as Mayor (where the person becomes a legislator).
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Moved by
90: Clause 16, page 21, line 6, at end insert—
““first day of the Mayoral term” , in relation to a person who is elected as the Mayor, means the day that would be the first day of the person’s term as the Mayor if it is assumed that the person is not disqualified under this section.”Member’s explanatory statement
This makes clear that the effect of the new disqualification provision must be ignored when working out what is the first day of the Mayoral term.
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Lord Jamieson Portrait Lord Jamieson (Con)
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My Lords, I shall speak briefly to these amendments in the name of the noble Baroness, Lady Thornhill, who asked a number of important and timely questions.

Let me use her first amendment in this group as an example. It would require the Secretary of State, when making regulations, to consider and

“minimise any conflict, overlap, or duplication between the functions of the Mayor and the functions of other authorities or public bodies”.

This is absolutely sensible and common-sense, and it should happen. However, I suggest that, for clarity, this should extend also to Whitehall, from where powers are devolved; then, with the exception of oversight, those powers and the bureaucracy involved should no longer exist within Whitehall.

The Bill amends the 2023 Act through numerous schedules and amendments. It is right, therefore, that we ensure this clarity and avoid unnecessary overlap. I am sure that many Members in this Grand Committee will remember the passage of the Levelling-up and Regeneration Bill through the House. It was a long and complex piece of legislation—I pay tribute to the excellent work done by my noble friend Lady Scott—and the changes in this policy and space must be approached with care. I am keen, therefore, to hear from the Minister about the Government’s overall approach to avoiding unnecessary and costly duplication and legal uncertainty, in relation not just to this amendment but across the Bill as a whole.

Baroness Taylor of Stevenage Portrait Baroness Taylor of Stevenage (Lab)
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My Lords, I thank the noble Baroness, Lady Thornhill, for her amendments on the role of mayors. Before I respond to these amendments, I want to clarify the rationale for Clause 18. The clause will extend an existing power of the Secretary of State to provide that certain general functions may be exercised solely by a mayor. The power currently exists in the Local Democracy, Economic Development and Construction Act 2009 and, as the noble Lord, Lord Jamieson, said, in the Levelling-up and Regeneration Act 2023. This clause will ensure that it can also apply to general functions conferred under any other regulation or Act of Parliament. The extension of this existing power reflects the broader range of routes through which functions may be conferred on strategic authorities and their mayors, once the current Bill becomes law.

Amendments 91 and 92 seek to amend this clause and prevent the potential for conflict, overlap or duplication between a mayor’s functions and those of other authorities or public bodies. As your Lordships will know, mayors of combined authorities or combined county authorities are not corporate entities in themselves. For that reason, all functions must be conferred on the underlying authority rather than directly on to the mayor. However, some functions may be designated as mayoral functions, as they are to be exercised only by the mayor. Where functions have been made mayoral, they typically relate to the management of day-to-day activities.

Key strategic decisions still require approval by the strategic authority constituent members. To give an example, all members will vote on which roads form part of a key route network, after which the mayor will be responsible for managing it. This will allow for swifter decision-making and more effective governance on day-to-day matters.

It will be important that all tiers of local government work together to benefit their communities. This is why principal local authorities will be embedded within the decision-making structures of strategic authorities as full constituent members. This will ensure that they play a central role in drawing up specific strategies and plans, such as local growth plans. Furthermore, before any new function is conferred on a strategic authority by regulations, the Secretary of State will be required to consult the constituent councils of any affected strategic authorities and any other person who exercises the function concerned. This will ensure that the views of those affected are properly considered.

I hope that, with these explanations, the noble Baroness will feel able to withdraw her amendment.

Baroness Thornhill Portrait Baroness Thornhill (LD)
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I absolutely accept that the new structures are complex and complicated. It is very easy to be seduced by the noble Baroness’s fluent explanation. My amendment was coming more from the perspective of practicalities, which was also borne out by the comments earlier that, in reality, there is overlap, with weakened scrutiny, unclear accountability and eroded public trust. I would like to feel that a lot of work was being done into what those are. We know it is probably happening, but it is all going to come later through SIs and secondary legislation. I wanted to make it absolutely clear, up front, that those overlaps and duplications will be considered, because they will be a source of conflict and friction going forward. It was interesting that the leaders of boroughs are saying that that is happening even 20 or however many years later. But, for the moment, I will withdraw my amendment.

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Lord Shipley Portrait Lord Shipley (LD)
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My Lords, the issues raised in this group are fundamental, and I support everything that has been said so far, broadly speaking. Our efforts to identify how the new structure will relate to all the other organisations delivering public services, and how they will all work together, demonstrates the importance of Committee. I hope that when the Minister replies there will be some positive movement on that.

I hope the Minister will not think me flippant when I have said what I am about to say. Amendments 98 and 99 are important in probing the necessity of forcing local partners to respond to meeting requests. Many of the Bill’s pages—pages 23 to 34—are about mayoral powers to require local partners to attend meetings and other mayors to collaborate, and so on. I have a simple question for the Minister about local partners; as I say, I hope she will not think I am being flippant. The Bill says:

“The mayor for the area … may convene meetings with local partners to consider relevant local matters”.


I understand that, but can local partners convene a meeting with the mayor to consider relevant local matters?

I ask that question because, on previous days in Committee, the answers that we have had about devolution away from mayors to, say, constituent councils, have been that there is to be no power of scrutiny for a constituent council within a strategic authority. That is a very serious matter—I do not think it will work. My question is simple: can local partners convene a meeting with the mayor, or is this a one-way power whereby only the mayor can convene meetings with local partners? If it is, I hope that the noble Lord, Lord Bichard, and the noble Baroness, Lady Royall, will be willing to pursue the matter when we get to Report.

Baroness Taylor of Stevenage Portrait Baroness Taylor of Stevenage (Lab)
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My Lords, I thank the noble Baronesses, Lady Scott and Lady Royall, and the noble Lord, Lord Bichard, for their amendments on local partners’ co-operation with mayors. This is an important group of amendments. Without this type of local co-operation, devolution will not work, so I take it very seriously.

Amendment 98 would provide for the Mayor of London, instead of the Secretary of State, to define “local partners” for the purposes of Clause 21. Elsewhere in England, it would remain for the Secretary of State to define the meaning of “local partners” in regulations. Were this amendment to be made, it would create an immediate inconsistency between the powers of the Mayor of London and the approach taken elsewhere in England. Allowing the Mayor of London to specify local partners where other mayors could not would lead to a piecemeal and unclear definition of local partners, risking confusion at all levels. Defining “local partners” in regulations will allow for appropriate parliamentary scrutiny—I think that is important—will provide a single, coherent definition across England and will ensure that mayors’ power to convene can be clearly understood by both mayors and local partners.

Examples of the types of organisations the regulations may include are those that deliver public services on behalf of, or receive funding from, a mayoral strategic authority; are identifiable as key enablers in statutory strategies; or play a material role in helping a mayoral strategic authority perform its functions within its local area. We are not seeking to define “local partners” in isolation. We are interested in understanding from strategic authorities and their mayors the type of organisations and institutions that should fall under a definition of a “local partner”. We are doing some more work on that with our strategic authorities.

I turn to Amendment 99, which seeks to understand the requirement for local partners to respond to a notification from a mayor of a strategic authority to convene a meeting. Clause 21 provides mayors with a new power to notify local partners of their intention to convene a meeting on a local matter that relates to their areas of competence. It also places a corresponding requirement on any local partner to respond to such a notification. This power is designed to enable mayors to bring the right people around the table, so that partners can work together to tackle shared challenges, seize opportunities for their communities and deliver the best outcomes for local people. The point from the noble Lord, Lord Bichard, about data sharing was very relevant to this. It is often the lack of ability to share data across organisations that slows down these kinds of collaborative projects.

The requirement on local partners is proportionate and not unduly burdensome. It does not oblige partners to engage beyond acknowledging the notification, nor does it prescribe what steps a local partner must take following any meeting or how they must act. Rather, the requirement is simply to respond to a mayor’s notification. The intention is to promote constructive dialogue even where there may be a difference of view on the relevant local matter. Taken together with the other mayoral powers of competence in this Bill, Clause 21 will strengthen the role of strategic authority mayors, giving them the means to drive growth, foster collaboration and deliver improvements for their communities.

On the point that the noble Lord, Lord Shipley, made about whether public bodies can require the mayor to attend, the mayor’s role in convening will probably answer that point, but I will reflect on it. If the mayor had a duty to convene people to collaborate on issues, and another body requested a meeting to discuss something like that, it would not seem in the spirit of what is in this Bill for the mayor to decline that invitation. I will take that back and think about it a little more.

Finally, I turn to Amendments 196 and 237 from my noble friend Lady Royall and the noble Lord, Lord Bichard. I assure noble Lords that the Government —and I—strongly support the spirit of the amendments: local public service partners and strategic authorities should collaborate to ensure quality, joined-up services for local people. Placing a new, wide-ranging statutory duty on local public service partners to attend meetings; provide information and assistance; and engage with strategic and local authorities in their local area may place an additional and unwarranted burden on these bodies. I, too, remember the Total Place initiative. One thing that got in the way of that was the dialogue between bodies, when they said, “We just do not have the capacity to provide that at the moment”. It caused some friction between some bodies.

As set out in the English devolution White Paper, it is the intention that mayors act as conveners on public service reform. The Bill provides them with the power to do this by granting them a power to convene local partners on their areas of competence, which include health, well-being and public service reform. The Bill places a corresponding duty on local partners to respond to a request by a mayor to meet. It is important to note that this does not place a duty on local partners to agree to particular policies of the mayor or to meet if they do not think that it is appropriate. We believe that this strikes the right balance between giving mayors the tools to drive collaboration, protecting the independence of local partners to act as they think fit and avoiding burdensome duties to which they must adhere.

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Lord Jamieson Portrait Lord Jamieson (Con)
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I will take back what the noble Baroness says. In this case, my point is that a random unelected body is not the same as an elected body. I genuinely think that democracy is important. If you wish to engage, you probably need to be a bit more nuanced in whom you engage with, because it should not be random; it should be those people who can really give you the feedback and information you need, depending on the subject and the place. Take central Bedfordshire, for example: a random 100 people from across central Bedfordshire will not be particularly helpful when we are discussing what is happening in my own little village of Maulden; I would rather discuss it with the residents of Maulden.

With that, I shall move on. This debate has made it clear that collaboration is important—in many cases, essential. I hope that it will be taken seriously by the Minister and that she will come back with some flexibility later on in the Bill’s passage.

Baroness Taylor of Stevenage Portrait Baroness Taylor of Stevenage (Lab)
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My Lords, I am sorry that we have been pressing on time; the Hansard team and other officers were here until very late last night and we do not want to put them under any further pressure.

I thank the noble Earl, Lord Clancarty, the noble Lords, Lord Ravensdale and Lord Wallace, and the noble Baronesses, Lady Bennett and Lady Janke, for their amendments on the duty to collaborate. I shall start with Amendment 100, for which I thank the noble Earl, Lord Clancarty. I completely understand the intention behind this amendment—we have now had many discussions on this issue—but we ultimately think that it is unnecessary, as cultural well-being is captured in the current wording of Clause 22.

Culture underpins our creative and visitor economies; in this way, cultural activity is inherently captured in the meaning of

“economic, social or environmental well-being”.

The formulation is intentionally wide so that mayors can request collaboration on a broad range of matters; it is also intended to avoid an exhaustive or prospective list. Adding “cultural” risks undermining that approach and creating pressure to enumerate further dimensions of well-being without delivering any substantive new effect. Indeed, explicitly singling culture out could invite arguments that other aspects of well-being that are not listed are of lesser importance, or that cultural interests should be interpreted narrowly or separately from economic, social or environmental considerations.

Mayors of strategic authorities can, and already do, collaborate on cultural matters. The Mayors of South Yorkshire, West Yorkshire, York and North Yorkshire have come together to sign the White Rose Agreement, committing to work together on high-profile culture and sporting events and to celebrate Yorkshire’s heritage. I hope that the noble Earl and the other noble Lords who raised the issue of culture have been reassured by my agreement to reflect on how culture is treated in the competency framework.

I turn to Amendment 101, tabled by the noble Lord, Lord Ravensdale, which seeks to promote greater regional collaboration between mayors and other public and private partners. The Government agree with the value and benefits of regional collaboration. However, while the amendment is well intentioned, we do not think it is necessary. Strategic authorities and their mayors already have a wide range of mechanisms to collaborate across administrative boundaries, and several mayors are already doing so successfully. We heard some examples from the noble Lord.

The powers in Clause 22 are not intended to replace the wide range of positive and informal collaboration that already takes place. They are intended to supplement these existing mechanisms and strengthen mayoral leadership by providing a more formal route for cross-boundary pan-regional collaboration where this can improve outcomes for communities. However, it should be for mayors to decide for themselves how to use these powers rather than for the Government to prescribe or constrain the purposes and form that mayoral collaboration must take. More broadly, under existing legislation, combined authorities and combined county authorities can already enter into joint committees, allowing them to discharge certain powers together and jointly produce legislative documents such as spatial development strategies.

I turn to Amendment 102 from the noble Lord, Lord Wallace; this is not from Sir Humphrey, but from me—I am passionate about devolution and am not letting anyone get in the way of that; it is good programme, though, and I like it. This amendment would require strategic authorities to prepare joint strategic development plans, covering two or more strategic authority areas in certain circumstances. I appreciate the intent behind the amendment to join up strategic authorities, but I do not agree that the amendment is necessary. We already have broadly equivalent powers as a result of the Planning and Infrastructure Act 2025. New Section 12B of the Planning and Compulsory Purchase Act 2004, as inserted by the 2025 Act, enables the Secretary of State to require authorities to work together on spatial development strategies through the establishment of a strategic planning board. The Government intend to use these powers, in particular in areas without a combined authority or a combined county authority. The same Act gives the Secretary of State a wide range of intervention powers in relation to the preparation and adoption of spatial development strategies.

It is worth highlighting that, where strategic planning authorities are working on separate spatial development strategies, they are required by the Planning and Compulsory Purchase Act 2004, as amended by the Planning and Infrastructure Act 2025, to have regard to the need to be consistent with current national policies. The National Planning Policy Framework sets out strong expectations on authorities to work effectively across local government boundaries.

I turn to Amendment 103. I am grateful to the noble Baroness, Lady Bennett, for raising the importance of citizen engagement in local decision-making. The Government fully agree that residents should have meaningful opportunities to shape the decisions that affect their areas. However, as the locally elected leaders in their regions, mayors should have the ability to decide on how best to engage with their local communities. Mayors can convene citizens’ assemblies if they wish to, and, in places such as South Yorkshire, mayors have decided to use these powers. Once the Bill becomes law, all mayors will have general powers of competence conferred automatically on them, which will enable them to convene citizens assemblies should they wish to do so.

Finally, the Bill already includes a provision in this area. Clause 60 introduces a neighbourhood governance duty, requiring all local authorities to put in place arrangements to secure effective neighbourhood governance. That will ensure that communities have meaningful opportunities to inform and influence local decisions.

I turn to Amendment 104, from the noble Baroness, Lady Bennett, and Amendment 196, from the noble Baroness, Lady Janke. Both seek to ensure that mayors and strategic authorities work closely with their local authorities, public service providers and bodies representing local communities in town and parish councils. I recognise the spirit in which these amendments have been made. It is important for all mayors to engage with the wider public sector and the local authority family in delivering their own functions. However, strategic authorities are already expected, through existing legislation and provisions in this Bill, to work collaboratively with local partners and communities when exercising their functions.

Amendment 104 in particular would impose a disproportionate administrative burden on mayors of strategic authorities by placing a new duty requiring them to meet local authorities, public service providers and town and parish councils. As an illustration, North Yorkshire alone compromises 729 individual parishes, organised into 412 town and parish councils. Expecting a mayor to discharge this proposed duty in respect of each body would be impractical and may crowd out some of the time needed for the officer’s other strategic responsibilities. Parish and town councils continue to be supported in their work, and local authorities are strongly encouraged to work with them to understand the contribution they are able to make to the delivery of local services and the management of local assets.