Leasehold Reform (Ground Rent) Bill [Lords]

Ben Spencer Excerpts

Report stage & 3rd reading
Monday 24th January 2022 Commons Chamber

[Eddie Hughes]

I beg to move, That the Bill be now read the Third time.

I start by thanking colleagues across the House for their support for this important piece of legislation. I am pleased to say that there has been recognition from both Houses of the importance of getting the Bill enacted promptly for the benefit of generations of future leaseholders, and I thank the Opposition, particularly the hon. Members for Weaver Vale (Mike Amesbury) and for Sheffield South East (Mr Betts), for their engagement and valuable input. I also wish to put on record my thanks to those who served on the Committee; the Chairs, my hon. Friend the Member for Kettering (Mr Hollobone) and the hon. Member for Sunderland Central (Julie Elliott); the Clerks; and particularly my hon. Friend the Member for Redcar (Jacob Young) for ably assisting me throughout.

The Bill delivers an important improvement to the leasehold system for future generations of home owners. It is a vital step towards addressing the historic imbalance in the leasehold system and it is integral to the Government’s broader reform to create a housing market that works for everyone. It has benefited from a number of amendments both here and in the other place, and I thank all those who have participated in debates and given their time. The changes have included raising the maximum penalty from £5,000 to £30,000, giving certain powers to Welsh Ministers when a property is in Wales and a range of important clarifications that ensure that the Bill will not have unintended consequences. Taken together, the amendments have significantly strengthened the legislation.

The Bill is narrowly focused on the ground rent of future residential leases, but it is understandable—

[Dr Ben Spencer (Runnymede and Weybridge) (Con)]

I strongly support the Government’s commitment to ending the practice of charging unfair and excessive ground rents. As my hon. Friend will know, residents in park homes such as those in Penton Park in my constituency are still facing excessive pitch fee rises each year. Does he agree that legislation should be introduced to link the pitch fee review inflation index to the consumer price index rather than the retail price index as soon as possible?

[Eddie Hughes]

As I have said, the Bill is narrowly drafted, so the pitch fees do not apply. However, the Government are committed to making the changes for which my hon. Friend has been campaigning, and we will make those changes when legislative time allows.

Although the Bill is narrowly focused, it is understandable that Members—including, just now, my hon. Friend the Member for Runnymede and Weybridge (Dr Spencer) —have raised broader issues relating to the leasehold system. We understand that many leaseholders feel trapped in a system that is not working for them, and we are determined to provide greater protection and support for all leaseholders. The Government are committed to undertaking an ambitious and far-reaching programme of reform of the leasehold system, and I can assure the House that we are working apace to bring about those reforms.

Building Safety

Ben Spencer Excerpts

Monday 10th January 2022 Commons Chamber

[Michael Gove]

My hon. Friend makes an important point that sometimes work that is absolutely necessary involves a degree of disruption to people’s ordinary lives that is incredibly painful. Whether it is me or another Minister, we will make sure that someone comes to Ipswich to listen to my hon. Friend’s constituents. He is an incredibly effective advocate for them, and it is only right that we hear direct from them.

[Dr Ben Spencer (Runnymede and Weybridge) (Con)]

Some of the most distressing conversations I have with constituents are with those who have been caught up in this scandal, as are some of the most distressed constituents I have met. They are trapped, unable to move and face unknown costs, none of which is their fault. I warmly welcome the raft of measures announced today, as will they, but the next question will be, what next? What will happen and how quickly? I urge my right hon. Friend to clarify the measures that he has set out as soon as possible, to drive this forward and to bring them the certainty they desperately need.

[Michael Gove]

My hon. Friend and constituency neighbour is absolutely right that people will want greater detail, and greater detail soon. I look forward to working with him and others to provide them with the required reassurance. As I mentioned earlier, although we believe these measures have the potential to resolve many of the issues, I would not want to say that every single individual’s problems will be resolved. We will do everything we can to proceed at speed in providing help.

Planning (Enforcement) Bill

Ben Spencer Excerpts

Friday 19th November 2021 Commons Chamber

[Dr Ben Spencer (Runnymede and Weybridge) (Con)]

I beg to move, That the Bill be now read a Second time.

Rogue development is the cause of great anger and misery in Runnymede and Weybridge. Our green belt and natural environment are incredibly important. Our green belt prevents urban sprawl, protects biodiversity, provides a home for countless types of wildlife and provides essential outdoor space for leisure. Whether it is green parks, farmers’ fields, meadows or forests, our green belt is our community identity, health and wellbeing, and it must be protected.

I have seen the incredible harm that rogue development does in my beautiful constituency of Runnymede and Weybridge, but from speaking to other Members, I know that it happens everywhere. I am here today to right this wrong, to put strong measures in law to stop rogue development in its tracks and to protect our green belt and local communities.

We have planning policy and rules to regulate where development can happen. We have processes of appeal and enforcement. For the most part, people stick to those rules, but some people do not—they deliberately build on the green belt without permission. They set up lorry parks, with heavy goods vehicles trundling down country lanes in front of people’s homes and schools, all without permission.

[Mr Gagan Mohindra (South West Hertfordshire) (Con)]

Shame!

[Dr Spencer]

It is shameful. They build temporary homes with no thought to infrastructure, sewage, water or the impact on local services, all without permission. They destroy green fields and forest to make a quick buck. That in itself is enough to infuriate anyone, particularly my residents who live next to a rogue development, but there is something even worse—even more toxic and offensive—than the rogue development itself.

One of the things that I believe unites us all is the British sense of fairness and fair play. As the MP for Magna Carta, the importance of due process, proper legal strictures and the right of appeal weighs heavily on me and is always at the forefront of my mind. Sometimes people make innocent mistakes, and our planning enforcement system needs to be fair, but rogue developers prey on that system. They use it to their advantage. They profit from fairness by abusing the system—by appealing, delaying, changing, amending, adapting. What was a farm becomes a spray shop, becomes a junkyard, becomes a dwelling, becomes a block of flats. By redeveloping, appealing, delaying, building, ignoring, they can continue to profit from rogue development with impunity, making vast amounts of money. And the local authority is helpless, trapped in our cumbersome enforcement and appeal system. This must stop.

When I first became an MP and my constituents brought the horror of rogue development to my attention, I spoke to many people about how we could solve it, and I was often told, “Stay out of it. It’s too difficult, Ben. It can’t be solved.” Such are the challenges of enforcement that in a particularly egregious case, one of my local councils, Runnymede, has had to use extraordinary methods—a proceeds of crime order—to try to stop this rogue development cycle. This is crazy.

I refuse to accept that this problem is too difficult to fix. This is about basic fairness, protecting our communities and stopping villains profiting from crime, and I do not think there is a single Member of this House who disagrees with me about the importance of fixing the problem.

[James Sunderland (Bracknell) (Con)]

I can think of plenty of examples in my neck of the woods in east Berkshire, and indeed in neighbouring Hampshire and Surrey, of where unscrupulous landowners have put scrap cars on sites, contaminated the soil and put up small dwellings, with constant encroachment on what is there already. Does my hon. Friend agree, therefore, that we must give councils the powers to deal with this issue and to ensure that these unscrupulous people cannot make money from their actions?

[Dr Spencer]

I entirely agree with my hon. Friend. That is just another example of something I said at the start of my remarks: while this issue blights many parts of Runnymede and Weybridge, it affects people across England and Wales.

[Sir Christopher Chope (Christchurch) (Con)]

May I ask why my hon. Friend’s Bill is drafted in such a tentative way? It says that the Secretary of State “may” make regulations. Bearing in mind my hon. Friend’s strength of feeling on this issue, which I share very much, why is he not demanding more of the Secretary of State?

[Dr Spencer]

The reason for the Bill’s drafting is that this whole area of planning enforcement and law is complicated—I recognise that—and in the discussions that I have had with Ministers—

[Mr Deputy Speaker (Mr Nigel Evans)]

Order. Dr Spencer, would you face the Chamber? I know that it is awkward and that you want to respond to Sir Christopher, but you have to talk to the Chamber.

[Dr Spencer]

My apologies, Mr Deputy Speaker.

I recognise that this is a very complicated area. Rogue developers will use any chink in the armour of enforcement and the appeals process to their advantage—I will come to that a bit later—so it is important that there is as much scope as possible for regulations to be adapted, amended and updated to ensure that we get this absolutely right and prevent these rogue developments. That is why the Bill is drafted in the way that it is.

[Anthony Mangnall (Totnes) (Con)]

Sorry, I am not helping my hon. Friend make any progress. He mentioned the impact that this issue has on local authorities, but there is also the impact that it has on our residents and constituents. They spend countless hours on neighbourhood plans and trying to get the best for their communities, only to find that developers ignore them. This is about them; it is about taxpayers’ money, where it goes, and what our local authorities do. I hope he recognises, as is recognised in the Bill, that there is an enormous opportunity to restore faith in process and ensure that greed is not winning the day.

--- Later in debate ---

[Dr Spencer]

I thank my hon. Friend for his intervention—it is exactly that. One challenge is that residents see what is effectively a two-tier system, in that those who do not play by the rules are managing to benefit from that. It is a source of great frustration. For enhancing faith in the law and the faith of local authorities in the Government, the inclusion of measures to stop people getting away with breaking rules is critical.

Why is all this so hard? Let us go through it. Under our current processes, if someone builds a lorry park on a farm without permission, first that needs to get reported. The local planning authority must investigate and, if necessary, issue an enforcement notice. All that time, the lorries are moving and the rogue developer is making money. Section 174(1) of the Town and Country Planning Act 1990 provides a right of appeal, and this is where it really starts to get fun. Written notice of the appeal must be sent to the Secretary of State before the date specified in the enforcement notice as the date on which it is to take effect. If an applicant gives notice of appeal without providing a statement in writing, specifying the grounds on which he or she is appealing, they are granted a further 14 days to provide it. So far, the council has found a breach, and that takes time. It has investigated it, which takes time. If one games the system by submitting an appeal without a statement, one gets even more time. All that time, lorries are moving and the rogue developer is making money.

If an enforcement appeal is delayed because the appellant fails to provide sufficient information and the Department’s request for it is ignored, the Department will involve the Secretary of State’s powers under regulation 5 to require a time limit to be observed. Before we even get to the appeal, not providing information can lead to ongoing delays. That means more lorries, and more money for the rogue developer. Most enforcement appeals are transferred to planning inspectors for determination. Appeals represent the highest volume—but not all—of their work, and the number of open cases is vast. It increased to about 11,000 in August 2020, and although that number began to reduce, in recent months it has been rising again. This summer it reached 10,500. The average time for inquires to be heard is 60 weeks. Think about that—60 weeks! That is 60 weeks of lorries moving, and rogue developers making money.

Once the Secretary of State or planning inspector has determined an appeal, an application for leave to submit a further appeal in the High Court can be made on a point of law, under section 289 of the 1990 Act. That must be submitted within 28 days of the appeal, or in an extended period at the court’s discretion. So long and drawn out is the process that Government guidance even sets out considerations for if it takes longer than four years. That is four years of lorries, and by that time, it is no longer just a lorry park as homes are starting to be built. The next cycle is about to begin, and all that time the rogue developer is making money by changing the goalposts, gaming the system, and destroying our communities.

My constituents say to me, “Ben, look at this. We live in a society where the rule of law is broken.” What can I say to them? We can add to all that the fact that planning enforcement is a discretionary service, at a time when local authority finances have been under significant pressure. I must stress: this is not the fault of our local authorities and their planning enforcement teams. They are fantastic, and they are equally frustrated by the lengthy delays in trying to tackle these issues. They would welcome further powers, so that we can identify and address rogue development more swiftly and effectively.

In a nutshell, tackling that is the aim of the Bill. First, it will create greater transparency, making it easier to identify persistent offenders. Currently, there is no way to identify or track those who persistently flout planning rules. This Bill will therefore create a national database for planning enforcement issues and a duty to declare whether an applicant has been subject to previous enforcement notices. This will be populated by planning enforcement teams and paid for through the existing mechanisms of the planning application fee. To address the most serious planning breaches—those that cause the most significant damage to or impact on our communities and natural environment—the Bill also seeks to strengthen the powers available to local planning authorities. Clause 3 therefore sets out a mechanism for local authorities to apply for a High Court injunction, where the court may apply conditions on the site or developer, including, but not restricted to: restricting the use of a site currently subject to enforcement proceedings; stopping the lorries; requiring remedial action to return the site to its prior condition; putting back the forest; digging up the concrete and asphalt; and preventing further applications being made until the initial enforcement matter is resolved, to break the endless cycle of overlapping applications and appeals.

[Cherilyn Mackrory (Truro and Falmouth) (Con)]

Does my hon. Friend have any knowledge—if he does not, perhaps the Minister might say something on this in his wind-up—of what happens when such a situation occurs on a pure greenfield site? If the planning application had gone ahead, the damage would turn that into a brownfield site, which would then become somewhere we could build on afterwards. What happens to the site? If it is put back to normal, does it become a greenfield site again or will it always be seen as a brownfield site because the damage has been done?

[Dr Spencer]

I thank my hon. Friend for her intervention. I cannot answer that question, but I hope the Minister can do so in his wind-up. I realise that we have now set him a task to do so. Where this flouting of rules has happened in my constituency and things such as the POCA have been used, the damage has been done. I recognise that the duty to try to put things back to how they were before is a bit of wishful thinking. If we take out the commercial incentive, we can, I hope, stop this behaviour dead in its tracks. That is a better approach, and the measures I have mentioned are fundamental in bringing that about. As everyone has said, all this is complicated, so in addition to bringing forward these measures, we will need to review them to make sure that they work. My Bill therefore also seeks to review their effectiveness to see whether more needs to be done.

I would like to finish up by thanking everyone who has worked with me to get to where we are today—my local authorities, planning officers, the Government and Members from across this House. Rogue development is a nightmare that wreaks havoc on all our communities. I believe it can be solved.

[Anthony Mangnall]

Before my hon. Friend finishes, let me say that I find it extraordinary that in this House we spend a great deal of time on these Benches being attacked by the Liberal Democrats over planning and the lack of accountability of developers, yet on the day he brings forward a Bill that holds developers to account, the Liberal Democrats are nowhere to be seen.

[Dr Spencer]

I thank my hon. Friend for pointing that out. I hope that all our constituents will be watching our debate and reading the Hansard record of our discussion on these important issues. I believe this issue can be solved. It must be solved, for all our communities, and I hope that we will look back on this debate today as the start of the end of rogue development.

--- Later in debate ---

[Dr Ben Spencer]

I thank the Clerks, the Government, the officers in my local council, the Opposition Front Bench and the Conservative Members who took part in this important debate. The strength of feeling across the House is palpable. I have to say that I feel a degree of sadness hearing stories from fellow Members about how many people have been affected. I knew that this issue affected not just my constituency, but there is a difference between knowing, and then hearing people’s personal stories and the stories of their constituents; this has blighted so many people. The situation clearly needs to be fixed, but the methods that we use to fix it need to be invulnerable to abuse. I choose the word “invulnerable” carefully, because rogue developers will use every possible means in their power to continue, because of the massive financial incentive.

This has been a powerful debate, and I have reflected on lots of good comments from Members on both sides of the House. I am pleased to hear from the Minister that he and the Government see this as a critical issue that needs to be driven forward. I am particularly pleased to hear the strength of feeling about taking on some of the database provisions in my Bill, and ensuring that we can break the issue down and stop it happening. With that spirit of co-operation, I very much welcome ongoing discussions with the Government to get these measures into the planning Bill in a form that is invulnerable to abuse by rogue developers. For those reasons, with the leave of the House, I beg to ask leave to withdraw the motion.

Motion and Bill, by leave, withdrawn.

Oral Answers to Questions

Ben Spencer Excerpts

Monday 11th January 2021 Commons Chamber

[Kelly Tolhurst]

I regret that the hon. Lady does not recognise the unprecedented steps that this Government have taken in an unprecedented global pandemic to support renters and people experiencing homelessness and rough sleeping. Our data show that our measures to protect renters are working. We have had a 54% reduction in households owed a homelessness duty to the end of an assured tenancy from April to June compared with January to March. Ministry of Justice stats show no possessions recorded between April and September. We have put a ban on evictions, given a six-month notice period, extended buy-to-let mortgage holidays, provided £700 million to support rough sleepers and those at risk of homelessness, provided 3,300 next steps accommodation, given £6.4 billion to local authorities to deal with the impact of covid, helped 29,000 people with Everyone In, and saw 19,000 move on to settled protection. The list goes on and on. We know that people are experiencing hardship in these times, and this Government will continue to review and take the necessary action to ensure people in this country are protected.

[Dr Ben Spencer (Runnymede and Weybridge) (Con)]

What support the Government are providing to help local authorities experiencing a reduction in income as a result of the covid-19 outbreak.

[The Minister for Regional Growth and Local Government (Luke Hall)]

We are providing councils with comprehensive support for income lost due to the pandemic. We are extending the existing compensation scheme for lost sales, fees and charges income into 2021-22, and we have already paid councils £528 million under this scheme. We have introduced a local tax guarantee scheme for this financial year that provides 75% of irrecoverable losses in business rates and council tax, worth an estimated £800 million. We are also allowing councils to phase recovery of collection fund deficits over three years.

[Dr Spencer]

I very much welcome the incredible financial support provided to local authorities, particularly through the national leisure recovery fund. Does my hon. Friend agree that supporting council provision of health and leisure centres is vital in helping us to keep healthy and to support our mental wellbeing? Will he look at the situation in my local authorities, Runnymede and Elmbridge borough councils, and their individual leisure operator contracts and according liabilities, where those are in excess of the support provided by the scheme?

[Luke Hall]

My hon. Friend is absolutely right. Leisure services play a vital role in helping people to be active, supporting physical and mental health, and bringing a wider range of community and wellbeing benefits. I can confirm that Runnymede and Elmbridge have each lodged an expression of interest as the first necessary step in the application process for the national leisure recovery fund; I believe that they will have submitted their completed applications before the deadline of 15 January. It is also worth noting that councils may be eligible for support from the sales, fees and charges scheme, which was recently extended into the first three months of 2021-22, but I am always more than happy to meet him to discuss this matter in more detail.

Provisional Local Government Finance Settlement

Ben Spencer Excerpts

Thursday 17th December 2020 Commons Chamber

[Robert Jenrick]

The hon. Lady makes an interesting argument, because we on the Government Benches want to see more private sector investment going into the great cities of the midlands and the north. We want to see more homes, more urban regeneration, and more brilliant and inspired schemes coming to constituencies such as hers. That is exactly the approach we have taken with respect to the local housing need, and I respectfully ask her to show a little bit more ambition for her community. The three-year annual delivery of homes in Sheffield is 2,500 homes; the new local housing need that we have proposed is 2,800 homes, so if the hon. Lady truly believes that 300 extra homes could not be built in a great city such as Sheffield, then I think she is talking it down, which I am sure is not her intention. However, through your auspices, Madam Deputy Speaker, can I offer her and, particularly, her mother—who has done a fantastic job leading her city over a very challenging year—a very happy Christmas?

[Dr Ben Spencer (Runnymede and Weybridge) (Con)]

I thank my right hon. Friend for this much-needed further financial support for our local authorities, which lead the local response to covid. Local government staff in Runnymede and Elmbridge borough councils and Surrey County Council have worked tirelessly this year to provide essential services to my constituents, and will continue to do so over Christmas and the new year break and beyond. With Runnymede and Weybridge now entering tier 3 restrictions, will my right hon. Friend join me in thanking those staff for their efforts, and agree that we must continue to support our local authorities and the fantastic work they do for our communities?

[Robert Jenrick]

I would be delighted to join my hon. Friend in thanking the brilliant staff at his local councils. I have been consistently delighted and impressed by the fantastic work that staff at local councils have done across the country, including my own in Newark and Sherwood, Rushcliffe and Bassetlaw, and Nottinghamshire County Council. I am sure that all of us in the House want to join together to thank them and wish them a healthy and peaceful Christmas.

Oral Answers to Questions

Ben Spencer Excerpts

Monday 16th November 2020 Commons Chamber

[Robert Jenrick]

The Department has already made it clear that a robust process was established—before I became Secretary of State. It was followed to the letter and we will not apologise for investing in communities that have been under-invested in and undervalued by the Labour party for generations. With respect to the accounting officer’s report, accounting officer assessments are not routinely published. That is a matter for the Department, which I am sure will consider it and reply to the Select Committee in due course. But I can assure the hon. Gentleman that he will not deter us from our mission to level up all parts of the country.

[Dr Ben Spencer (Runnymede and Weybridge) (Con)]

. My right hon. Friend knows that homes alone will not stop homelessness, and that many of the drivers of homelessness, such as mental illness, addiction, debt and low social capital, need tackling in a comprehensive homelessness strategy. Will he confirm that the Protect programme will co-ordinate this wraparound support, which is so needed to help people who are homeless?

[Robert Jenrick]

I can do that. My hon. Friend shares my belief that street homelessness is a crisis not just of housing, but of health, mental health and addiction as well. Our approach from the start of the pandemic has been not only to bring people in off the streets into safe and secure accommodation, but to ensure at all times that they have that wraparound support. That was part of the success of Everyone In and it is part of the Protect programme, and it learns from the enormous success of the Housing First pilots that we have initiated in parts of the country.