Asked by: Dan Poulter (Labour - Central Suffolk and North Ipswich)
Question to the Department for Levelling Up, Housing & Communities:
To ask the Secretary of State for Housing, Communities and Local Government, what plans he has for Government oversight of local authority property investments.
Answered by Luke Hall - Minister of State (Education)
Local authorities borrow and invest under the Prudential Framework which is designed to ensure that their capital plans are affordable, prudent and sustainable, while giving councils the freedom to set their own capital strategies. Government is responsible for ensuring the Framework remains effective in driving sound decision making, and collects appropriate data to monitor trends and identify risks. Local authorities remain accountable to their electorate for managing their own investment strategies and meeting their Best Value duty. They must comply with the Framework’s statutory guidance, including the requirement to report performance against a set of metrics designed to demonstrate the objectives of the Framework are being met, and must publish an investment strategy.
Government is aware of recent trends where some local authorities are taking on high levels of debt to invest for commercial income, and takes the view that a minority of councils are exposing taxpayers to undue financial risk. Government is also aware of the financial risks that can arise from councils' investments in companies. We have already strengthened our investment guidance to support better consideration of risks in decision making, and are now considering carefully what further interventions are needed, taking into account the recommendations of the Public Accounts Committee in their report of 13 July 2020. We already have underway a review to improve our available data and ensure we fully understand sector borrowing and investment activity, including current and emerging risks. We continue to actively monitor capital trends in the sector, as part of our normal processes, and we are collecting data from authorities to understand the impact of the current crisis on commercial income.
Asked by: Dan Poulter (Labour - Central Suffolk and North Ipswich)
Question to the Department for Levelling Up, Housing & Communities:
To ask the Secretary of State for Housing, Communities and Local Government, what plans he has for Government oversight of local authority business investment companies.
Answered by Luke Hall - Minister of State (Education)
Local authorities borrow and invest under the Prudential Framework which is designed to ensure that their capital plans are affordable, prudent and sustainable, while giving councils the freedom to set their own capital strategies. Government is responsible for ensuring the Framework remains effective in driving sound decision making, and collects appropriate data to monitor trends and identify risks. Local authorities remain accountable to their electorate for managing their own investment strategies and meeting their Best Value duty. They must comply with the Framework’s statutory guidance, including the requirement to report performance against a set of metrics designed to demonstrate the objectives of the Framework are being met, and must publish an investment strategy.
Government is aware of recent trends where some local authorities are taking on high levels of debt to invest for commercial income, and takes the view that a minority of councils are exposing taxpayers to undue financial risk. Government is also aware of the financial risks that can arise from councils' investments in companies. We have already strengthened our investment guidance to support better consideration of risks in decision making, and are now considering carefully what further interventions are needed, taking into account the recommendations of the Public Accounts Committee in their report of 13 July 2020. We already have underway a review to improve our available data and ensure we fully understand sector borrowing and investment activity, including current and emerging risks. We continue to actively monitor capital trends in the sector, as part of our normal processes, and we are collecting data from authorities to understand the impact of the current crisis on commercial income.
Asked by: Dan Poulter (Labour - Central Suffolk and North Ipswich)
Question to the Department for Levelling Up, Housing & Communities:
To ask the Secretary of State for Housing, Communities and Local Government, what plans he has for Government oversight of local authority property investment companies.
Answered by Luke Hall - Minister of State (Education)
Local authorities borrow and invest under the Prudential Framework which is designed to ensure that their capital plans are affordable, prudent and sustainable, while giving councils the freedom to set their own capital strategies. Government is responsible for ensuring the Framework remains effective in driving sound decision making, and collects appropriate data to monitor trends and identify risks. Local authorities remain accountable to their electorate for managing their own investment strategies and meeting their Best Value duty. They must comply with the Framework’s statutory guidance, including the requirement to report performance against a set of metrics designed to demonstrate the objectives of the Framework are being met, and must publish an investment strategy.
Government is aware of recent trends where some local authorities are taking on high levels of debt to invest for commercial income, and takes the view that a minority of councils are exposing taxpayers to undue financial risk. Government is also aware of the financial risks that can arise from councils' investments in companies. We have already strengthened our investment guidance to support better consideration of risks in decision making, and are now considering carefully what further interventions are needed, taking into account the recommendations of the Public Accounts Committee in their report of 13 July 2020. We already have underway a review to improve our available data and ensure we fully understand sector borrowing and investment activity, including current and emerging risks. We continue to actively monitor capital trends in the sector, as part of our normal processes, and we are collecting data from authorities to understand the impact of the current crisis on commercial income.
Asked by: Dan Poulter (Labour - Central Suffolk and North Ipswich)
Question to the Department for Levelling Up, Housing & Communities:
To ask the Secretary of State for Housing, Communities and Local Government, what steps he is taking to ensure Town Deal board members publish registers of their financial interests.
Answered by Luke Hall - Minister of State (Education)
In our Towns Fund further guidance, we state all Town Deal Board members should sign up to a code of conduct based on the Seven Principles of Public Life (the Nolan Principles).
The Lead Council is responsible for ensuring that all respective Town Deal Board members understand these principles and how they function in practice.
We also expect all members of the Town Deal Board to complete a declaration of interests.
Asked by: Dan Poulter (Labour - Central Suffolk and North Ipswich)
Question to the Department for Levelling Up, Housing & Communities:
To ask the Secretary of State for Housing, Communities and Local Government, what steps he is taking to ensure financial accountability and transparency on the use of funding allocated through the Towns Fund.
Answered by Luke Hall - Minister of State (Education)
Every Town Investment Plan we receive is robustly assessed against a range of criteria, with value for money a central consideration.
Funding is distributed through local authorities who are the accountable body. Funding for projects will only be released when full, green book compliant, business cases have been approved.
Asked by: Dan Poulter (Labour - Central Suffolk and North Ipswich)
Question to the Department for Levelling Up, Housing & Communities:
To ask the Secretary of State for Housing, Communities and Local Government, what steps he is taking to ensure that funds awarded through the towns fund are deposited with the accountable local authority as the responsible body.
Answered by Luke Hall - Minister of State (Education)
Each town was asked to nominate a lead local authority for the Towns Fund. All payments are made through those lead local authorities, using Section 31.
Asked by: Dan Poulter (Labour - Central Suffolk and North Ipswich)
Question to the Department for Levelling Up, Housing & Communities:
To ask the Secretary of State for Housing, Communities and Local Government, whether he plans to extend the time frame in which local authorities can spend the capital receipts from the sale of council and social housing during the covid-19 outbreak.
Answered by Christopher Pincher
To support local authority house building during this unprecedented time, we extended the deadline for local authorities to spend receipts arising from sales of their homes by an additional six months. This has enabled many of them to catch up with their spending plans and deliver replacement social housing.
We are currently looking into requests for further extensions and will inform authorities of the outcome as soon as possible.
Asked by: Dan Poulter (Labour - Central Suffolk and North Ipswich)
Question to the Department for Levelling Up, Housing & Communities:
To ask the Secretary of State for Housing, Communities and Local Government, what role (a) archaeology and (b) heritage will play in his Department's proposals on changes to the planning process.
Answered by Christopher Pincher
The Government is committed to the protection of the historic environment and we have put in place a strong legislative and policy framework to achieve this. In bringing forward any reforms to the planning system, we will ensure that heritage considerations, including the need for archaeological surveys, are taken into account.
Asked by: Dan Poulter (Labour - Central Suffolk and North Ipswich)
Question to the Department for Levelling Up, Housing & Communities:
To ask the Secretary of State for Housing, Communities and Local Government, what steps his Department is taking to ensure that appropriate community consultation may take place in respect of the proposed EDF development of the Sizewell C nuclear power station during the covid-19 outbreak.
Answered by Christopher Pincher
The planning system has a vital role to play in supporting the United Kingdom’s economic recovery and it should continue to operate effectively during the Covid-19 emergency while adhering to the Government’s guidance on social distancing. A written ministerial statement (Virtual working and planning – Responding to Covid–19 Restrictions, 13 May 2020 (HCWS235)) by the Secretary of State for Housing, Communities and Local Government made clear that moving to digital events and processes will be critical and that these can be put in place in the vast majority of cases to allow for the participation of all parties.
The Government fully supports the Planning Inspectorate’s programme for moving to digital events and it expects such events to be taking place virtually by mid-June, other than in exceptional circumstances. The method by which hearings and events are conducted is a matter for the Inspectorate, operating in accordance with their legal obligations.
The application for development of the Sizewell C nuclear power station was submitted to the Planning Inspectorate on 27 May 2020. After receipt of the application, the Planning Inspectorate has 28 days to review the application and decide whether or not to accept it. If the application is accepted, it will be examined in public. The public will be able to register with the Planning Inspectorate to become an Interested Party. Any interested party can make representations to the examining authority on any aspect of the project.
The Government expects everyone involved in the planning process to engage proactively and the Inspectorate published guidance on 28 May 2020 on how interested parties and members of the public can participate in the examination process, including accessing documents online and attending virtual hearings. This guidance can be found at: https://www.gov.uk/guidance/coronavirus-covid-19-planning-inspectorate-guidance.
Asked by: Dan Poulter (Labour - Central Suffolk and North Ipswich)
Question to the Department for Levelling Up, Housing & Communities:
To ask the Secretary of State for Housing, Communities and Local Government, what assessment his Department has made of the effect of the covid-19 outbreak on the ability for due diligence to take place in respect of (a) the proposed development by EDF of the Sizewell C nuclear power station and (b) other significant planning applications.
Answered by Christopher Pincher
The planning system has a vital role to play in supporting the United Kingdom’s economic recovery and it should continue to operate effectively during the Covid-19 emergency while adhering to the Government’s guidance on social distancing. A written ministerial statement (Virtual working and planning – Responding to Covid–19 Restrictions, 13 May 2020 (HCWS235)) by the Secretary of State for Housing, Communities and Local Government made clear that moving to digital events and processes will be critical and that these can be put in place in the vast majority of cases to allow for the participation of all parties.
The Government fully supports the Planning Inspectorate’s programme for moving to digital events and it expects such events to be taking place virtually by mid-June, other than in exceptional circumstances. The method by which hearings and events are conducted is a matter for the Inspectorate, operating in accordance with their legal obligations.
The application for development of the Sizewell C nuclear power station was submitted to the Planning Inspectorate on 27 May 2020. After receipt of the application, the Planning Inspectorate has 28 days to review the application and decide whether or not to accept it. If the application is accepted, it will be examined in public. The public will be able to register with the Planning Inspectorate to become an Interested Party. Any interested party can make representations to the examining authority on any aspect of the project.
The Government expects everyone involved in the planning process to engage proactively and the Inspectorate published guidance on 28 May 2020 on how interested parties and members of the public can participate in the examination process, including accessing documents online and attending virtual hearings. This guidance can be found at: https://www.gov.uk/guidance/coronavirus-covid-19-planning-inspectorate-guidance.