Matthew Pennycook Portrait Matthew Pennycook
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Sustained economic growth is the only route to delivering the improved prosperity our country needs and the higher living standards working people deserve. That is why it has always been this Government’s No. 1 mission. This landmark Bill, which will speed up and streamline the delivery of new homes and critical infrastructure, is integral to the success of that mission, and it will play a vital part in delivering the Government’s plan for change milestones of building 1.5 million safe and decent homes in England and fast-tracking 150 planning decisions on major economic infrastructure projects by the end of this Parliament. The Government are therefore determined to ensure that the Bill receives Royal Assent as soon as possible, and I am pleased that the House has an opportunity today to renew its commitment to this vital legislation and express its firm opposition to attempts to undermine its core principles.

Before I turn to the amendments before us, let me put on record once again my heartfelt thanks to Baroness Taylor for her prodigious efforts in guiding the Bill through the other place, and my gratitude to peers collectively for the comprehensive and rigorous scrutiny to which they subjected it. The Government made a number of important changes to the Bill in the other place, with a view to ensuring that it will work as intended, that its full potential in respect of unlocking economic growth is realised, and to provide further reassurance that a number of its key provisions will achieve the beneficial outcomes that we expect. In the interests of time, I will update the House briefly on the two most significant areas of change.

The first concerns the package of measures we introduced last month to maximise the growth potential of the Bill. As hon. Members will be aware, the Bill’s impact assessment estimates that it could benefit the UK economy by up to £7.5 billion over the next 10 years. That is an assessment, it should be noted, that was made prior to the incorporation into the Bill of several important pro-growth measures, including the removal of the statutory requirement to consult as part of the pre-application stage for nationally significant infrastructure project applications—a change that could result in cost savings of over £1 billion across the pipeline of projects in this Parliament. The package introduced last month further bolsters the growth impact of the Bill. It included provisions that further streamline the consenting of reservoirs, clarify Natural England’s strategic advisory role, and facilitate the deployment of up to three additional gigawatts of onshore wind and secure the billions of pounds’ worth of investment into UK services that come with that.

The second area of change concerns the package of amendments we tabled in July in respect of part 3 of the Bill, which directly addressed a range of issues that were highlighted in the advice the Government received from the Office for Environmental Protection on the new nature restoration fund. They provided for a number of additional safeguards, strengthened and made more explicit those that were already in the Bill on its introduction, and further clarified how the NRF will operate going forward. I emphasise that none of the changes made will affect the process by which house builders interact with an environmental delivery plan, namely by paying a levy to discharge specific environmental obligations through it, and nor do they undermine the strategic approach that underpins the model.

Edward Leigh Portrait Sir Edward Leigh (Gainsborough) (Con)
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The housing market is absolutely flat and we desperately need to build more housing. What is stopping all this new building, people moving and creating a healthy housing market? It is the appalling stamp duty that everybody acknowledges is the worst tax. The Minister is not the Chancellor, but will he approach his right hon. Friend the Chancellor of the Exchequer on the autumn statement and see whether she can steal our clothes and promise to abolish stamp duty?

Matthew Pennycook Portrait Matthew Pennycook
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The Chancellor will set out her decisions on the Budget in fairly short order and the right hon. Gentleman will have to wait for that. I am going to be quite strict in sticking to the contents of the Bill and what is in scope, rather than ranging more widely, as he tempts me to do.

The amendments we tabled in the summer package provided greater confidence that the NRF delivers the improved outcomes for nature that are at the core of the model. I take the opportunity to thank all the hon. Members who engaged in constructive discussions with the Government about the NRF during Commons stages, not least my hon. Friend the Member for Basingstoke (Luke Murphy) for his thoughtful participation in Committee, which helped shape my thinking about the package of amendments in question.

I should also make clear that the Government tabled further technical amendments in the other place to ensure that the NRF works effectively across borders, as well as ensuring it is able to operate in the marine environment. Those amendments also ensure that the NRF can be used to support the impact of development on Ramsar sites. In addition, the Government supported an amendment tabled by Lord Banner in the other place to ensure that the NRF can accommodate the development processes associated with large strategic housing sites that are phased.

Turning to the amendments made by peers in the other place, I want to make clear that the Government welcomed the scrutiny and challenge provided, and that we are willing to make sensible concessions in some areas. However, I am afraid that most of the amendments sent back to this place seek to undermine the core principles of the Bill, and for that reason we cannot accept them. Let me make clear precisely why, in each instance where that is the case.

Lords amendment 1 would prevent the removal of existing parliamentary requirements that serve to delay material policy amendments to national policy statements. In short, it is a wrecking amendment designed to frustrate the Government’s intention to streamline the process for incorporating into NPSs changes that have already received public and parliamentary scrutiny. Let me emphasise once again that the intent of clause 2 is not to erode parliamentary scrutiny; it is simply about ensuring that scrutiny is proportionate to the four categories of changes the clause covers. That said, I have always recognised the sincere arguments made by various hon. and right hon. Members, as well as by noble Lords, about the importance of transparency and parliamentary scrutiny in respect of NPSs. That is precisely why I provided the Chair of the Liaison Committee, my hon. Friend the Member for Hackney South and Shoreditch (Dame Meg Hillier) with a number of assurances on Report.

For the purposes of clarity, let me repeat those assurances. When the Government of the day intend to make a reflective amendment to an NPS, a statement will be laid before Parliament announcing a review and the relevant Select Committee will be written to. Ministers will make themselves available to speak to that Committee and we will take into account the views of any Select Committee report published during the consultation period. Importantly, the NPS as amended must be laid in Parliament for 21 days, during which time this House may resolve that the amendment should not be proceeded with. In other words, Parliament retains the ultimate say over whether a change should be enacted.

To assuage further the concerns that some hon. Members might have about a reduction in scrutiny as a result of the clause, I am happy to provide a further commitment today: when a statement is laid in Parliament announcing a review, it will include how the proposed change or changes fall within the four categories of changes to which clause 2 applies. I cannot, however, accept Lords amendment 1 for the reasons I have set out, and I urge the House to reject it.

Turning next to Lords amendments 2 and 3, Lords amendment 2 enables faster consenting of major water infrastructure projects. Crucially, it allows third party providers, appointed by water undertakers, to apply to deliver such projects through the streamlined development consent order route.