Flood Recovery Framework

Daniel Kawczynski Excerpts

Wednesday 17th April 2024 Westminster Hall

[Philip Dunne]

I will go on to talk about multiple flood events involving the same properties, but my hon. Friend is absolutely right: there is an obligation on the Environment Agency, as the lead on this issue, to identify preventive measures that can be taken to stop flooding of properties. Few things are more devastating for a householder than to see their home get flooded, but one can barely imagine what it must be like to live through that multiple times. Most of us in the Chamber do not need to use our imaginations to know what that means—we have seen it at first hand in our constituencies, as my hon. Friend has just identified.

About 5.7 million homes and businesses in England are at risk of flooding, and more than half of the best, most fertile farmland in Britain is on flood plains. That is particularly relevant in the River Severn catchment, which crosses Shropshire. The River Severn Partnership—whose parliamentary caucus is ably chaired by my neighbour, the hon. Member for Shrewsbury and Atcham (Daniel Kawczynski), who I am pleased to see in his place—has formed to work with local authorities and MPs along the length of the catchment, and with the Environment Agency and others, to seek holistic solutions to adapt to those conditions and reduce flood risk.

Flood risk is a real and present danger. Latest estimates suggest that, by the end of this century, the River Severn will be 0.85 metres higher on average across the year and up to 1.5 metres higher during winter flood levels, although it is expected to be lower in summer, with 25% less water available for abstraction by as soon as 2050. In the past three years, we have already experienced three of the five worst floods ever recorded along the River Severn and, as yet, no climate allowance has been built into the considerable defences installed.

Regrettably, the River Severn catchment accounts for a disproportionate degree of flood events. In February 2022, 44 of the 80 flood warnings put out nationally were for the River Severn. Even when the catchment is not at the centre of storm events, we are often affected in Shropshire. Properties along the River Severn have been flooded twice in the past six months. In October, Storm Babet flooded 109 properties internally and 28 businesses, and in January, Storm Henk flooded 74 properties and 32 businesses. Those figures almost certainly understate the impact, as some people do not report to their local authority or insurer for fear of losing access to insurance in the future.

Putting in place the right preventive measures to reduce the risk of flooding is what the River Severn Partnership is all about, but that is a discussion for another day, unless my hon. Friend the Member for Shrewsbury and Atcham wants to intervene on that topic, given that I mentioned him.

[Daniel Kawczynski (Shrewsbury and Atcham) (Con)]

This is the first time in 19 years that someone has encouraged me to intervene on the, so I am very grateful. I pay tribute to my right hon. Friend—my constituency neighbour—who has been one of the most active in the caucus of 37 MPs along the River Severn, which I chair, and I very much welcome his debate. Does he agree that it is essential that we work in collaboration with the Department for Environment, Food and Rural Affairs to continue to lobby the Treasury on the £500 million business case we submitted to finally manage and maintain Britain’s longest river?

[Philip Dunne]

I am very pleased to have created a first in my hon. Friend’s parliamentary career, and I am sure it will not be the last. I invite him to apply for a Westminster Hall debate to discuss the work of the River Severn Partnership; I would be happy to support it. We did indeed submit proposals to the Treasury—in fact, to the Chancellor himself—on the River Severn Partnership bid for significant funding to look at a whole range of remediation and adaptation options upstream, going as far as the source of the River Severn in Wales.

This morning’s debate is about ensuring that the right support mechanisms are in place for those who have been affected by flooding. A range of measures offer financial and practical help, including schemes for householders, businesses and farmers. Some are of long standing, such as the Bellwin emergency relief scheme, and others were introduced more recently by the Conservative Government in 2017 through the flood recovery framework to provide more targeted support.

However, the support is a complex patchwork, as one glance at the House of Commons Library briefing for this debate shows: there are several elements of support, with different eligibility criteria, applicable to different entities that have suffered flood damage. Home and business support is primarily managed through local authorities under schemes for which the Department for Levelling Up, Housing and Communities has lead responsibility. They include the community recovery grant, council tax reductions, the business recovery grant and business rate reductions.

[Philip Dunne]

I am very grateful for that important intervention from my hon. Friend, who is a valued member of the Environmental Audit Committee. He is right to point out how complex it is to get to grips with the situation, given that different responsibilities fall in different places. I encourage him to consider the work being led by my hon. Friend the Member for Shrewsbury and Atcham in the River Severn catchment in creating a partnership involving all the local authorities in the area, the Environment Agency and the non-governmental organisations that have an interest in the issue, such as the Wildlife Trust and the various broad and fen groups, as well as the internal drainage boards, which have a vital role to play. In many cases, such groups find it hard to come together regularly; there may even be a role for an enterprising and experienced MP to provide some leadership in order to cut across some of those institutional boundaries. I commend that partnership model to my hon. Friend.

[Daniel Kawczynski]

On that point, I would like to ask my right hon. Friend for his views on one matter. Now that we are out of the European Union, we do not need, for the first time in my life, to comply with the common agricultural policy. That means that we can, for the first time, pay farmers and landowners to hold on to water. My right hon. Friend referred to how our friends and neighbours across the border in Wales will be pivotal in helping us to do that. I would like to put on record the fact that my right hon. Friend the Member for Montgomeryshire (Craig Williams), who is the Prime Minister’s Parliamentary Private Secretary, has made very positive statements about that in his local newspaper. Does my right hon. Friend agree that this is a huge opportunity to strengthen our Union between Wales and England?

[Philip Dunne]

My hon. Friend tempts me to conclude my speech before I get to the point about farmers and sustainable farming incentives. There are provisions in the existing support arrangements, post the CAP regime, which will allow for mechanisms to help reduce flood risk.

My hon. Friend referred to the cross-border challenge. He will know that, on the English side of the border, in Shropshire and Herefordshire, there is a developing partnership with the equivalent counties of Powys and Monmouthshire, on the Welsh side, to provide practical schemes to allow them to co-operate across borders, which has been a problem. As we know, the environment is a delegated matter, but the environment, as we also know, does not respect administrative boundaries. The situation is a bit of a nonsense, and the responsible bodies can grapple with it only by working together. That includes the Welsh Government and Welsh local authorities, as well as the UK Government and English local authorities. My hon. Friend is quite right to draw that issue out.

I was going on to talk about the support arrangements for farmers and about the internal drainage boards, which my hon. Friend the Member for North Norfolk (Duncan Baker) referred to. Those support arrangements are managed by the Department for Environment, Food and Rural Affairs. Measures include the welcome introduction of a farming recovery fund, as a swift response to Storm Henk, with its eligibility criteria recently and pragmatically extended.

I should put on record my entry in the Register of Members’ Financial Interests as a partner in a farming business. I am particularly pleased that the Minister for Water and Rural Growth is here to listen and respond to the debate. I know he cares deeply about water management issues, and has throughout his time in Parliament. I hope to suggest some pointers to him regarding the challenges facing farmers with flooded land.

I have just mentioned my entry in the register, and my farm is on the Herefordshire-Shropshire border. Part of it is within the Severn catchment and, as it is on the watershed, part of it is in the River Wye catchment. We have fields that, even this morning, in the middle of April, are still too wet to work. They have yet to dry out sufficiently, having effectively been waterlogged since last autumn. We did not have a specific flood event in the fields through either Babet or Henk, other than at the margins, but the water table has risen to such a level that we have not been able to get machinery on to some of our fields.

Before I turn to the specific farming measures that I would ask the Minister to look at, I would like to touch on the impact on properties, and particularly homes that have been flooded or are at material risk. Like many others in the House, I spent time earlier this year with homeowners, business owners and farmers in my constituency who had had their lives turned upside down by the impact of flooding. Some have been flooded more than once in the past year alone. I sympathise enormously with those who have had to deal with flooding, however it has affected them, having seen the damage and disruption it causes.

I visited one couple in Highley on the banks of the River Severn a couple of days after Storm Henk, who were still only able to access their home wearing waders, because flood waters had reached as high as the door handle on their back door. The heartbreaking devastation of that impact on their home was matched only by the anger and frustration of being told in the days that followed that they might not have been part of a sufficiently serious flood in their area to be able to access financial support, since fewer than 50 property owners had at that time come forward to report internal flooding of their properties across the local authority of Shropshire. That seems an arbitrary threshold. When visiting their premises, it was difficult to explain why the support mechanism did not apply to them, not least because it is at the discretion of the Secretary of State whether to invoke the mechanism at all.

The threshold is determined by local authority boundaries on a map rather than by the river system or catchment that has flooded, and it can take weeks or—as in the case of Storm Henk in Shropshire—months to establish whether the threshold has been reached, given the reluctance of some householders to report a flooding incident for fear of the impact on their subsequent insurability. Flood Re has significantly reduced but not eliminated that issue.

I appreciate that the eligibility criteria for the flood recovery framework is not the responsibility of my hon. Friend the Minister, but I urge him to impress on ministerial colleagues in DLUHC, as they undertake a review of the scheme this year, that they should consider how to improve access to the scheme to make it more fair. It is at present hard to comprehend why access can be denied to someone whose home or business is on the wrong side of the local authority boundary when, just upstream or downstream on the same river, properties affected by the same storm are awarded financial support.

As part of the review, I also urge Ministers to look at the per-property limits for support, as those are likely to leave people subject to multiple floods without further help once their property has reached the upper limit. If a property has changed hands between floods, the new owners might not be eligible for support even if their property has been flooded.

My second point concerns the administrative burden of implementing support under the flood recovery framework, which falls on local authorities. Everyone in this House is aware of the pressures that councils are already under, with limited resources for flood and water management. When a flood occurs, the community bands together incredibly quickly to support each other. I pay tribute to the efforts of local volunteers, flood action groups and local councillors who do so much to help when flood warnings are issued. Support from the local authority to help with prevention and then clean-up remains vital.

--- Later in debate ---

[Daniel Kawczynski (Shrewsbury and Atcham) (Con)]

I pay tribute to my neighbour, my right hon. Friend the Member for Ludlow (Philip Dunne), with whom, in May, I will have had the privilege of serving for the last 19 years. This may be one of the last times—I hope it is not the last time—that we will be in a debate together, because my right hon. Friend is standing down at the next election. I take the opportunity to pay tribute to him and all the work that he has done, in a very collegiate way, with me and other Shropshire MPs. Over the last 19 years, there has not been a cigarette paper between us; the only time we have ever disagreed was over the referendum on our membership of the European Union. Apart from that, we have been as one in fighting collectively to secure resources for Shropshire.

The devastation that flooding causes, to which my right hon. Friend referred, is an extraordinarily emotive issue. Towns such as Shrewsbury were built at a time when we were fighting with the Welsh; they were fortifications that were built along the border. Shrewsbury therefore has a beautiful castle, and we have more listed buildings than any other town in England—that is our USP. It is a beautiful, historic town. Of course, the problem is that, for fortification and defence purposes, it was built right in the middle of a river loop. We would not do that now, obviously, because of the consequences of flooding. That is the historical context that we are grappling with.

In February 2019, I brought the then Secretary of State for DEFRA, my right hon. Friend the Member for Surrey Heath (Michael Gove), to a very flooded Shrewsbury. The anger, misery and frustration from the business owners that the Secretary of State met was palpable. We met with a local butcher, a local hairdresser and local residents. Those people are now being flooded annually. When I became MP for Shrewsbury 19 years ago, floods happened perhaps every five or 10 years. That is why I invited the Secretary of State to see at first hand the difficulties that we were facing.

As a result of the visit, we secured £50 million to help us with some small flood defence schemes, as well as an intention to set aside resources and work together to find, as my right hon. Friend the Member for Ludlow indicated, a long-term solution to managing the River Severn—Britain’s longest river. I have formed a caucus of 36 Members of Parliament who have the River Severn flowing through their constituencies. If there is one thing that I have learned as a Member of Parliament over the last 19 years, it is that it is difficult to achieve anything when operating in a silo by oneself. My strongest advice to the next generation of politicians who come in at the next election is if they really feel passionately about something, they should form a caucus and go in mob-handed and with large numbers to lobby DEFRA and the Treasury. That is why we have that caucus of 36 or 37 Members of Parliament who represent communities all the way down the River Severn.

Bizarrely but fortunately, our local Shropshire Council has done the same thing, reaching out to all the councils further downstream to form a consortium of councils that represent communities all the way along Britain’s longest river. We are therefore in a unique situation. We have a parliamentary caucus of all the Members of Parliament representing the communities in Parliament and we act collectively and in tandem here in the House of Commons. Our council has also taken control and is leading and managing, in a collaborative spirit, other councils along the River Severn to promote the River Severn Partnership and its work with the Environment Agency.

I want to thank the Minister for coming to Shrewsbury just before Christmas for an extremely welcome visit. He had the opportunity of visiting the Frankwell flood defences right in the heart of Shrewsbury and meeting the Environment Agency and River Severn Partnership representatives who included Mark Barrow and others from Shropshire Council. I was extremely grateful to the Minister for his remarks and his thanks to the hardworking people at the Environment Agency who do so much to alleviate and help my local residents. I hope that he will get a chance to visit Shropshire again before the end of this Parliament.

As my right hon. Friend the Member for Ludlow said, after four years of work we have finally submitted a business case to the Exchequer. We are not just asking DEFRA for a little bit of the money that has already been allocated to the Department, competing with other communities for that money: no, we are doing something different. We feel so strongly and so passionately about the issue that we are going above DEFRA and putting a business case directly to the Treasury. We are not pleading for money. We are not pleading for the £500 million required to tame Britain’s longest river. Rather, we are putting a methodical, carefully scripted and watertight—if hon. Members will pardon the pun—business case, worked in conjunction with the River Severn Partnership and the Environment Agency, which explains why and how Britain’s longest river can be managed and tamed for the benefit of all the communities in the catchment area, for that £500 million.

The Chancellor has asked me to continue to engage with one of his most senior civil servants, Simon Finkelstein, and I have had the opportunity of presenting that business case to him in conjunction with my right hon. Friend the Member for Ludlow. The Chancellor has said to me that we are unique, to his knowledge, in the sense that we have created a cross-party caucus and that our councils are operating as a consortium. Some other Member of Parliament may contradict me here—I would be interested to see what they are doing—but according to the Chancellor, there is no other project of this kind, where all the MPs and councils along a river are working together to put forward a business case to manage it holistically. I think that is extremely important.

It is important to point out that the business case outlines a gross value added uplift for the west midlands and our region of between £100 billion and £150 billion, if we tame the River Severn. You do the maths, Mr Efford—I am sure your maths is better than mine—but that is for an investment of £500 million. Yes, some people say to me, “My goodness me, £500 million sounds like a lot of money. Crikey! Are you realistically going to extract that much from the Treasury?” Well, look at the business case: for an investment of £500 million, we get a GVA uplift of £100 billion to £150 billion.

Where will that GVA uplift come from? I can take the Minister to hotels in my constituency that cannot get insurance because they flood every year—all the goods have to be thrown out and cannot be replaced through insurance. I can take him to huge areas of land in my constituency that are ripe for development, such as the brownfield sites that we simply cannot touch because of flooding. I can take the Minister to many residents who are flooded every single year, or to see the council so that it can explain the sheer cost of the clear-up every single year. I believe that Shropshire Council, just in the last flooding alone, spent £2 million on clear-up. If we add that up along the whole of the River Severn, we start to see how that number grows.

Only a few of us here in the House of Commons have done business studies at university and worked in the international commercial world. I am one of them, and I am very proud to have come from commerce into the House of Commons. I am passionate that more people from business come here. As somebody who has studied business studies and worked in commerce, I feel very strongly that lobbying Government should be done from a commercial, business-case perspective. That is why I very much hope the Minister will look at our business case and work in conjunction with us to secure that funding from the Treasury.

We need a holistic solution to managing the River Severn, which could of course be replicated across the whole of the United Kingdom. If we succeed on the River Severn, and we demonstrate that we can manage and tame a river by paying farmers and landowners further upstream to hold on to that water, they will be incentivised. A key concept of emotional intelligence is interdependence. From an interdependence perspective, we need to give a financial incentive to people further upstream to hold on to water by paying them for that.

Of course, we have all built little flood defences in our constituencies, but think about how counter-intuitive it is to say, “I am going to protect myself and push the problem further downstream and let you deal with it.” That is not interdependence—“I’m alright, Jack. I’m going to protect myself, but you can deal with the problem.” No, that is wrong. We have to think in a more interdependent way for the whole of our communities. Hold on to water further upstream, and pay those farmers and landowners to protect the whole of the area.

If we succeed in Shropshire and on the River Severn, it would not just be a prototype for the rest of the United Kingdom; it could be a massive export opportunity. I went to places in the world when I worked in commerce, as I am sure the Minister has, such as Bangladesh and others. I have seen not only the sheer devastation of flooding in countries such as Bangladesh, but the sheer number of people who have lost their lives as a result of flooding in communities and societies even more vulnerable than our own. I would like to see greater collaboration between the Minister’s Department and the Foreign, Commonwealth and Development Office on how our aid budget is used for scientific research and technology development, not only to help ourselves here in the United Kingdom, but for that work to then be either exported or given in international aid to other countries. I would be interested to see if the Minister agrees and if he can give any additional information on that.

Finally, I pay tribute to Mark Barrow from Shropshire Council, who takes the lead on the River Severn Partnership. He has been enormously supportive to me, my team and the River Severn caucus here in the House of Commons. Having represented a border community, as my right hon. Friend the Member for Ludlow has done, for the last 19 years, I am extremely cognisant of the importance of the Union, as I have already alluded to. I am one of those politicians who fundamentally believes in the Union of the United Kingdom of Great Britain and Northern Ireland. We should not cut up the individual parts of this island, but do everything conceivable to bring it together. I believe that this is one of those projects where working in conjunction with our friends and neighbours across the border in Wales could send a very powerful signal that we will transcend the artificial borders between us and work collaboratively to find solutions for helping our residents.

[Rachael Maskell (York Central) (Lab/Co-op)]

It is always a pleasure to see you in the Chair, Mr Efford. This debate is clearly about risk, who carries that risk, when it is shared, and who pays for it. I will start by congratulating the right hon. Member for Ludlow (Philip Dunne). He has worked on issues to do with rivers for a considerable time, and that is really appreciated.

Flooding has been on the agenda I have had to deal with in York since I first came to this place. York floods—it is part of our history—but this year we had the greatest floods since 1872. We had more water for a more sustained period of time, and of course that had a devastating impact on part of our city. The mitigation that was put in after the Boxing day floods in 2015 has had a massive impact on our city, preventing flooding along the River Foss and the River Ouse, and I am grateful for that. The conclusion of that work is welcome. There is a bit more work being done on water storage; eyes are turning upstream to address the upper catchment and the water storage issues, which must be looked at.

The Minister has come to my constituency and seen for himself some of the challenges that our city faces. I want to talk about one cell, as the Environment Agency terms it, that floods with great frequency, impacting the businesses there. Yes, those businesses trade well in the summer, when the sun is out and people come down to our riverfront and enjoy that space, but their frustration is that the logic on which the flood recovery framework works—or does not work, in their case—means that it looks not at individual businesses and the cost to them, but at a much broader geographical area.

I met the hon. Member for North Dorset (Simon Hoare), the Minister in DLUHC, to look at the framework and why it does not work. In his letter to MPs on 8 January, he set out that the Government were going to trigger the framework, but there is no logic to say how it will be triggered or not triggered, so we need some consistency to ensure fairness. He also listed a number of counties where the framework would apply, and stated that authorities had to have more than 50 flooded properties to be eligible. That means that it does not apply to everyone. For us the story is bittersweet, because we no longer have 50 flooded properties, but none the less, for those properties that do flood—usually businesses—it is incredibly costly. I urge the Minister to look at a per-capita scheme rather than one that focuses on a geographical area and is not applied in a logical fashion.

I have met Yorkshire Water, the Environment Agency and City of York Council to look at what is happening in our city. We have a major choice to make. Do we shut water out and have the continual battle of keeping it away, as the hon. Member for Shrewsbury and Atcham (Daniel Kawczynski) suggested, or do we learn to live with water? It is a very difficult choice, given the climate changes we are seeing; Members from across the House have articulated how much more frequent flooding is and the extent to which water levels are rising. I have praised our flood defences, but we know that we do not have long in relative terms until they will be challenged. What do we do at that juncture? We have been looking across the globe, as the hon. Member mentioned, but this is very real for us now. We have to make strategic choices about how we manage water, while remembering that flooding is not our greatest threat—drought is—so we also need to think about what we are doing on storage for the long term. York does not have one river; we have two. Of course, many of our towns and cities were built along rivers, which were traditionally trading routes. We have to deal with that.

I have several requests of the Minister. First, can we have some consistency in the application of the flood recovery framework? Secondly, can it apply to all businesses affected? At the moment, businesses, and some property owners, are carrying all the risk. Thirdly, can the suspension of council tax payments and business rates for the owners of flooded properties for the period that they cannot trade be not optional, but determined from the centre by the Government? That would really help, and it has not happened yet in York. I have been meeting with the council to urge for that. However, that transfers the risk to local authorities, and they have got no money at the moment. They are having to balance their books with other risks, so I ask that that comes down from the centre. I discussed that with the DLUHC Minister, the hon. Member for North Dorset, earlier in the week.

Can we also have another look at insurance? The Flood Re scheme has been a real success. My constituents have certainly praised it, and it has meant that they are eligible for an insurance scheme that they can afford. However, the clock is ticking on Flood Re. It is only a 25-year scheme; it ends in 2039. We need to think about what happens after that, because the risks are increasing and there will still be need and demand. These issues need to be addressed now, or certainly by the incoming Government, to ensure that we have resilience built into our insurance system.

We also need an insurance scheme for businesses. There is no reason why businesses are in the “too difficult” box. We need minds to come together to work that through, and I call on the Minister to have those discussions, because it is not working at the moment. There are businesses in my constituency that are uninsurable. They are not insured and not getting flood recovery framework funding; they are out there on their own, forgotten by this Government. I really hope that the Minister has a response to that.

I am conscious of time, so the last issue I will address is that of sewage in our water. The effluence coming into our water system is making things even worse for businesses. Last year in York, we had 1,414 sewage releases. That is going to increase. Having an open sewer running through the middle of our city is obviously massively unpleasant, but we need to look at our whole drainage system. Running our system off Victorian sewers is not the way forward.

[Daniel Kawczynski]

Sewage going into rivers is an important issue that has not been touched on. I hope the Minister is aware that Severn Trent recently announced a special programme to clear up the water around Shrewsbury, but this should be a cross-party issue. The Lib Dems have, I am afraid, tried to politicise it by putting on their little leaflets, “Local Tory MP votes to pour sewage into the River Severn.” That is extremely inappropriate, given the talk about anger with Members of Parliament and the denigration we all face. That is an issue that I have faced, and it has been really unpleasant. We have to be very careful about what we say on this issue.

[Rachael Maskell]

I am grateful to the hon. Gentleman, but the point I want to make is that we need a strategic plan for managing sewage in our country. Clearly, the Victorians got it right and got on with the job, but we have turned our eyes away from the sewage system for the best part of 200 years. We really have to turn our eyes back. We have to think about hygiene and good sanitation. At times as I walk around wonderful medieval York, it feels that we are trying to bring that experience even more to life with the state of our rivers. I urge the Minister, and indeed the shadow Minister, my hon. Friend the Member for Kingston upon Hull West and Hessle (Emma Hardy), to have a plan for sewage.

Sewers are underground, but that does not mean they can be ignored. Increasingly, we are seeing the impact of that. Here in London, the Tideway project is an incredible investment; we need to see that across the country, including in the north, so I urge such investment to be part of the plan. It would take away some of the difficulty if there were fresh water running through our cities, even when they are flooded.