English Devolution and Community Empowerment Bill Debate
Full Debate: Read Full DebateCaroline Voaden
Main Page: Caroline Voaden (Liberal Democrat - South Devon)Department Debates - View all Caroline Voaden's debates with the Ministry of Housing, Communities and Local Government
(1 day, 3 hours ago)
Commons Chamber
Miatta Fahnbulleh
It is my pleasure to open the debate on day two of Report on the English Devolution and Community Empowerment Bill. Today we are concerned with parts 3, 4 and 5 of the Bill, which cover provisions relating to local government, community right to buy, local audit and the ending of upward-only rent review clauses in commercial leases. As with yesterday’s debate, I will focus on the substantive changes made in Committee and those we have brought forward on Report.
Before I turn to the amendments, I would like to address some of the comments made in yesterday’s debate. Opposition Members suggested that this Government have not taken on board any of their suggestions. Today I am delighted to demonstrate that the Government have been listening to the points raised by Members in the House and by our mayors. We have today announced the next big step in our path to devolution. Mayors will be given the power to raise revenue locally through a new overnight visitor levy. We are consulting on whether to also grant this power to leaders of foundation strategic authorities. This is a groundbreaking step for the future of devolution, with transformative investment potential for England’s tourism sector and the wider economy.
Mayors have already proven what is possible when they are given the tools to deliver, from the Mayor of London using business rate supplements to deliver the Elizabeth line to the Mayor of Greater Manchester using his mayoral precept on council tax to provide far improved bus services. Making places more attractive to visit, live and work in will attract further investment and improve the visitor experience, so I am proposing that constituent authorities within a strategic authority that implement a levy should be eligible for a share of the revenue raised for growth-related spending. Tomorrow, the Exchequer Secretary to the Treasury and the Secretary of State of State for Housing, Communities and Local Government will publish a consultation with the details of the proposed levy. We recognise that businesses and potential visitors may have concerns about the effects of a new levy, and we will take those concerns seriously. I expect mayors to engage constructively with businesses and their communities to hear those concerns throughout the consultation period and beyond
Caroline Voaden (South Devon) (LD)
I am interested in this proposal, but I wonder whether it will be applicable to council areas that do not yet have a mayor and may not have a mayor for some time. Will they still have the power to impose an overnight visitor levy?
Miatta Fahnbulleh
We will consult on whether that power should be extended to foundational strategic authorities that do not have a mayor, and we will see the responses to that consultation.
I said yesterday that the Bill is the floor, not the ceiling, of this Government’s ambition. Today’s announcement shows just how seriously we take the mayor’s right to request new powers, and our commitment to give them the tools they need to drive growth for the area. I thank my hon. Friends the Members for Liverpool Wavertree (Paula Barker) and for Vauxhall and Camberwell Green (Florence Eshalomi) for raising that issue, and my hon. Friend the Member for Uxbridge and South Ruislip (Danny Beales) for his contribution to yesterday’s debate.
I turn now to the changes made in Committee. The Government recognise how much communities value their local sports grounds as spaces that foster local pride, belonging and identity. The Bill will automatically designate grounds across England as sporting assets of community value, ensuring that those essential local spaces are protected. We have introduced a new 16-week review period for communities seeking to purchase a sporting asset of community value accommodating more than 10,000 spectators. That amendment is about putting processes in place to safeguard the long-term sustainability of larger sports grounds, ensuring communities have the capability and readiness to manage them effectively.
The Bill delivers fully on our commitment to fix the broken local audit system that we inherited, and will set local government on a firmer financial footing. In Committee, we inserted new provisions relating to financial penalties, sanctions and criminal offences. They will ensure that the local audit system has the right levers in place to deter and sanction improper behaviour. The new local audit office will be established as the regulatory authority for that system, and will be given further powers to conduct assurance reviews.
The Bill will ban upwards-only rent review clauses in new and renewed commercial leases. Such reviews create an imbalance of supply and demand, contributing to the blight of empty properties, from high street shops to empty office floors. Our amendment will close loopholes in the ban, ensuring that tenants who vacate or have not occupied properties are still caught by the ban. It will allow tenants to trigger a rent review in all leases, preventing landlords from avoiding rent reviews during times of rental decline
I turn now to the amendments tabled on Report. New clause 46 will confer the general power of competence on England’s national park authorities and the Broads Authority. The legislation underpinning our national parks currently limits their powers to activities directly related to their statutory functions, creating uncertainty and stifling their ability to innovate. Providing them with the general power of competence will enable them to be more innovative and agile in delivering their statutory functions, and to contribute towards the Government’s wider agenda.
Dr Simon Opher (Stroud) (Lab)
I thank the Minister, who is not in her place, for taking the time to meet me to discuss my amendments 107 and 108, which concern the community right to buy.
This Bill is one of the most exciting and empowering pieces of legislation to come from this Government. For the first time, communities will be given a genuine first opportunity to buy and own the places that matter most to them. Instead of seeing valued community assets sold off to the highest bidder, residents will be able to step in, organise and take ownership for themselves. That is truly transformative.
In Stroud, community ownership is essential for maintaining services and the environment for rural villages and towns. Community-owned village shops, such as those in Horsley and Coaley—and, indeed, my favourite shop in the world, which is in my village of Uley and is run by fabulous volunteers—keep the villages alive and provide access for older people and those without transport.
Village pubs are dying off. There are campaigns in my area to keep the Rose & Crown in Nympsfield open and, in fact, people have succeeded in making a community pub at the Red Lion in Arlingham. There are also community rooms such as the Trinity Rooms in Stroud, which the community is fundraising to buy, hopefully by Christmas. That is all very exciting. Land in Stroud aptly named the Heavens is being purchased by the community, as is Rodborough fields. This Bill will finally give legal backing to those campaigns, but I believe that we can make one important improvement.
As drafted, the Bill refers to “economic or social interests” when defining assets of community value, but it leaves out environmental interests. That means that wildlife-rich spaces cannot be protected, even when they provide major community benefits, including access to nature and improvements to wellbeing.
My amendments simply would extend the community right to buy to include assets that further the environmental wellbeing of local communities, granting them the ability to buy and, importantly, safeguard nature-rich areas if they come up for sale. I am a GP, and I use social prescribing extensively. Walking in nature is a proven way of getting better without using pills, so I very much urge the Minister to listen to what we are saying. My hon. Friend the Member for Worthing West (Dr Cooper) quite rightly said that this is about public health.
I know some Members are concerned that these powers could block the house building that we all want so much. That is why my amendments provide a safeguard in restricting the eligibility to land that has not been allocated for development in the local plan.
This Bill represents the biggest transfer of power out of Westminster for a century. It will give communities the right to shape, to buy and to rebuild. In Stroud, we are ready to embrace that opportunity, but we must ensure that the law properly recognises environmental value alongside social and economic wellbeing. That is why I urge the Government to support my amendments to ensure that the Bill delivers the fullest possible benefits for communities up and down the country.
Caroline Voaden
New clause 10, which I tabled, would require the Secretary of State to re-establish the community ownership fund, to which strategic authorities can apply for funding. We have heard from lots of Members in the House today about the value of their local community-owned businesses.
Community-owned spaces are of immense economic and social value to their local area. Businesses across the country under the community ownership model are defying the odds, when small businesses in retail and hospitality in particular are struggling to survive. According to Plunkett UK—I commend its work in this area—business survival rates for community businesses remain exceptional, with a five-year survival rate of 97%. That is radically higher than the 39% survival rate of private small and medium enterprises over the same period. These thriving local enterprises reinvest back into their communities, creating a positive cycle. They also provide exponential benefits to local areas and the people who live there. They tend to source goods and services locally, creating a circular economy in the places where they exist. They support charitable activity, provide fundraising for local causes and improve the aesthetics of our towns and villages through gardening initiatives, improving the quality of our green spaces, encouraging more people to get outdoors and improving arts and culture.
From pubs and shops to community centres and hubs, these spaces are the pillars of their communities, bringing people together and nurturing a shared pride in their town or village. They are the difference between a bunch of houses and a genuine community. At a time when community cohesion is frayed, division is commonplace and we are being pulled apart by dangerous individuals seeking to widen the cracks that are showing in our society, these community spaces offer a way to reunite communities. Through something as simple as providing a place for people to meet and talk to each other, community spaces combat this increase in division with social interaction, enabling communities to come together to celebrate where they live.
Community-owned spaces provide a wide array of volunteering opportunities, employing more than 20,000 volunteers across this country, from young people right through to older people. In a recent survey by Plunkett, 58% of these businesses stated that older people benefit most from their presence. In rural areas such as South Devon, that is especially important. Isolation can happen when people live far from neighbours in rural areas, and in many ways these places help to strengthen the very fabric of rural life for those people.
It is not easy for a community to buy a building or space that is at risk of closure or has been left unused. That is why the community ownership fund is vital, as Government funding is desperately needed to enable a sustained increase in community ownership. A community ownership fund would develop a larger pipeline of start-up groups and build the capacity and confidence of those groups to progress to the trading stage. If it were reopened, it would have a transformational impact by enabling the spread of community spaces and the extensive benefits they bring.
In the three years that the community ownership fund was in place, it saved thousands of cherished community sites at risk of closure. Thanks to the fund, community groups could generate income, build financial sustainability and strengthen community ties. It is the Government’s mission to double the size of the co-operative sector, as set out in their manifesto. It is time, therefore, for them to correct their mistake, to fulfil their promise and to seize the opportunity that this Bill presents by backing my new clause 10 and reopening the community ownership fund.
Maya Ellis (Ribble Valley) (Lab)
I come once more to this discussion with a huge passion for devolving power to local areas. The northern powerhouse promise encouraged me to move back home to the north from London in my 20s, and I am so proud to have spent most of my career since then working to grow the local economies in Manchester and Lancashire. The city of Preston, part of which is in my constituency, has the telltale cranes all over the sky and grade-A office space being built at pace. Growth is best when it has local inputs and local impact, and with a two-hour train journey to London, there is no reason that Preston and cities like it should not become a key and critical spoke in our national growth story.
I am hugely grateful for the incredible energy of the Minister and for that of my hon. Friend the Member for Oldham West, Chadderton and Royton (Jim McMahon), who poured himself into this Bill for the past year, ensuring that areas such as Lancashire can get the powers they need to turbocharge their growth in the way that only Lancastrians know how.
Today, I will speak about new clauses 63 and amendments 42 and 150, which pertain to neighbourhood governance. I am grateful to have had the opportunity to participate in the Bill Committee, during which I sat through lengthy debates on all these clauses. I have not directly supported the range of amendments concerning neighbourhood governance arrangements and parish and town councils, and on the whole I understand and largely support the Government’s argument against them—namely, that if we are intent on devolving power, we should allow local areas to manage that power as well, rather than dictating from Westminster how it must be managed. However, I wish to mention a number of instances in which I agree with the intent behind the amendments and to say something about the issues that they raise, in the hope that the Government can add helpful secondary legislation or strong guidance to help local areas make these changes a success.
As I observed during the development of plans for devolution in Lancashire, too many residents and organisations told me that their part in the consultation on the process felt tokenistic at best, if it was there at all. I think there is still a broad question for the Government to answer: how will we ensure that the interests of all residents and local groups have been properly fed into local changes, and how will we continue to hold local areas to account for maintaining that engagement?
My constituency contains many parished areas, while in other parts of it local community groups come together ad hoc, so I see the strengths of both formal and informal community leadership. I have been a proud member of my local parish council for many years, and it is often the place where I feel most connected to my community. The Minister has made clear throughout the Bill’s development that town and parish councils will not be affected, and indeed will have every right and opportunity to take on more responsibilities through the Bill. I commend that, and I thank her for protecting this vital part of our democracy.
While I recognise that there is plenty of public sentiment against mandating areas to become parished—which is why I cannot support new clause 63 directly—there is certainly public support for simplified, easily understood structures of government that the public can more clearly hold to account. Indeed, the Government’s own White Paper on the Bill said that its aim was to simplify local government and make it more consistent. We need only look around us to see what happens when people do not understand how our governing structures work and do not feel connected to them. People are increasingly disillusioned, and at a time when our economy is relying on people to come together with new ideas to create growth, despondency is our biggest enemy. While we need to allow flexibility, might the Government be able to show a clear preference for a town or parish council structure in their guidance, and/or ensure or require that any proposed solution involves clear democratic accountability?
I am so grateful to this Labour Government for being brave enough to push this Bill as one of their first priorities. Done is better than perfect for sure, and any devolution is better than none. However, in my decades of working with all types of communities, often hearing things that challenge some of my progressive dreams for and assumptions about this country I love, I have learned that progress and tradition can work hand in hand if we take the best from both. I therefore urge the Government to make the most of the powerful structures we have—town and parish councils, which already run 90% of this great country—part of our future, and to ensure that we truly have accountable democracy at every level so that every person has a voice, as has always been the Labour way.