Planning and Infrastructure Bill (Fourteenth sitting)

Gideon Amos Excerpts

Thursday 22nd May 2025 Public Bill Committees

[Ellie Chowns]

I thank the Minister, and look forward to discussing this with him further. I beg to ask leave to withdraw the motion.

Clause, by leave, withdrawn.

New Clause 94

Considerations when deciding an application for development consent

“In section 55 of the Planning Act 2008 (acceptance of applications), after subsection (4) insert—

‘(4A) When deciding whether to accept an application, the Secretary of State must have regard to the extent to which consultation with affected communities has—

(a) identified and resolved issues at the earliest opportunity;

(b) enabled interested parties to understand and influence the proposed project, provided feedback on potential options, and encouraged the community to help shape the proposal to maximise local benefits and minimise any disbenefits;

(c) enabled applicants to obtain relevant information about the economic, social, community and environmental effects of the project; and

(d) enabled appropriate mitigation measures to be identified, considered and, if appropriate, embedded into the proposed application before the application was submitted.’”—(Gideon Amos.)

This amendment to the Planning Act 2008 would require the Secretary of State to consider the content and adequacy of consultation undertaken with affected communities when deciding an application for development consent.

Brought up, and read the First time.

[Gideon Amos (Taunton and Wellington) (LD)]

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

I will be brief, Mrs Hobhouse. Earlier in the progression of the Bill, we debated the removal of the pre-application requirement—all the statutory requirements for pre-application consultation under the Planning Act 2008. It may be wishful thinking, but it seemed to me that it was a generally held view that a qualitative test of some sort was needed for the consultation carried out by applicants before a DCO NSIP application is accepted for examination. That is certainly the opinion among the Liberal Democrats.

We therefore drafted the new clause, which repeats the four key paragraphs on the requirements for good consultations, which are in Government guidance, and places them on the face of the Bill as something to which the Secretary of State should have regard when considering whether to accept an application for development. In other words, in simple terms, when an application comes in, the Secretary of State and the inspector should consider the extent to which the applicant has consulted people and how well they have consulted people. That seems to be a basic, straightforward and simple requirement. I am sure the Government will have many complicated reasons for why this cannot be done, but to my mind it seems a straightforward way of dealing with it: introducing a qualitative test for Government to apply, given that they are removing all the pre-application consultation requirements from the primary legislation.

I have a quotation from Suffolk county council. As many will know, Suffolk has had more than its fair share of nationally significant infrastructure projects, far more than anywhere else in the country, starting with the Ipswich rail chord a number of years ago, with which I had some involvement. Suffolk is the site of numerous offshore wind farms, solar farms, Sizewell and huge numbers of cable routes and substations so, as the council describes it:

“Suffolk County Council has been involved with the delivery of projects under the Planning Act…since 2010”.

It states:

“The proposed replacement of a statutory requirement, by statutory guidance alone, is therefore, neither sufficient nor robust.”

I will not continue the quotation in the interests of time. I am sure that the Committee gets the gist. We offer the new clause as a way of securing sensible test, so that there is proper pre-application consultation, and that that continues to occur despite the removal of all the requirements under the Act.

[Matthew Pennycook]

I thank the hon. Gentleman for moving the new clause. Without testing the patience of the Committee too far, I will speak fairly briefly to set out the Government’s position, because I recognise the concerns that were expressed in previous debates. As he described, the new clause would result in the Secretary of State having to take into account how community consultation has taken place in the determination of whether an NSIP application should be accepted for examination. Specifically, the new clause would require the Secretary of State to consider whether the application has sought to resolve issues, enabled interested parties to influence the project during early phases, obtained relevant information about the locality, and enabled appropriate mitigation through community consultation.

We recognise the crucial role that communities’ engagement and consultation can play in building infra-structure that mitigates impacts and increases benefits for communities, but the Government do not agree that a statutory test is the right way to achieve that objective. Evidence shows that the statutory consultation requirements —as debated at length in an earlier part of the Bill—which are unique to the NSIP regime, are creating perverse alternatives. Risk-averse developers end up producing lengthy documentation that is aimed at lawyers and not communities. Moreover, developers are disincentivised to change their schemes in light of responses to those consultations for fear that they would have to go out to consultation again. Let us be clear; this slows down delivery and increases cost to all our detriment.

As we discussed with the pre-application stage, the times have nearly doubled since 2013 to over two years, and we estimate that our proposals could save businesses up to £1 billion over the lifetime of this Parliament. For this reason, as we have already debated, the Government have tabled amendments to remove all statutory consultation requirements during pre-application. This includes amending the acceptance test in section 55 of the Planning Act 2008 to remove the adequacy of consultation test.

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Although amendments have removed the need to undertake consultation in line with the requirements in the Planning Act or consider the approach to consultation and acceptance, the Government remain clear and committed to guiding developers to engage with communities, as doing so remains vital to delivering successful infrastructure projects that are suitable to proceed to examination. With those reassurances, although I appreciate that the hon. Gentleman may take a different view in principle, I hope that he might consider withdrawing the new clause.

[Gideon Amos]

It continues to be a privilege to serve the Committee with you in the Chair, Mrs Hobhouse, and a pleasure to serve under my right hon. Friend the Member for Kingston and Surbiton (Ed Davey). I am very grateful for the opportunity to respond to what the Minister has said on this new clause. It is worth pointing out that the new clause would not reintroduce all the procedural requirements that are being removed from the Planning Act 2008. It would place a test in the Bill that, as the Minister has just said, will already be applied, because it is in the guidance. If it is already being applied under guidance, I am not sure why the Government feel that it will be so detrimental and delay applications to such a great extent.

Including this provision in the Bill would give the Secretary of State the clear ability to refuse an application where that consultation has been wholly and completely inadequate. Take, for example, an applicant who comes forward after completely refusing to consult anybody on anything. There would be nothing in the Bill that expressly allows the Minister to take that into account when deciding whether to accept the application for examination. I know that the Committee would like to make progress, so I will not press the new clause to a vote. I think the point has been made, and I hope the Government will consider it further. I beg to ask leave to withdraw the motion.

Clause, by leave, withdrawn.

New Clause 95

Repeal of requirement for agreement to removal of consent in DCOs

“In the Planning Act 2008, omit section 150 (removal of consent requirements).”—(Gideon Amos.)

This amendment to the Planning Act 2008 would remove the existing requirement that development consent orders can only remove a requirement for consent or authorisation with the agreement of the relevant consenting body.

Brought up, and read the First time.

[Gideon Amos]

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

The new clause would remove section 150 from the Planning Act 2008, which would restore the ability to elected Ministers, when making decisions on NSIPs, to make decisions on other consents, which is currently reserved to executive agencies and non-departmental public bodies.

In other aspects of the Planning Act, these big development consent order projects are intended to follow a single-consenting regime, which works reasonably well. As we discussed earlier today, it includes a listed building consent, conservation area consent and a whole range of other matters. Certain consents are reserved to other executive agencies—or quangos, we might say. That is time consuming, as it obstructs the principle of a single, one-stop shop for these big projects. It is also less democratic even than the Secretary of State taking the decision.

Industry is keen on this new clause. Another reason to table it was to show the Minister that we also have proposals to speed up the process, where that does not remove people’s democratic say. The new clause would enhance that democratic say, because it would restore to elected Ministers some of the decisions that are currently reserved to unelected arm’s length bodies. The new clause is offered in the spirit of improving the Planning Act 2008 regime.

[Matthew Pennycook]

I thank the hon. Gentleman for moving the new clause. As he says, it seeks to repeal section 150 of the Planning Act 2008. I recognise the issue touched on, and it is one that the Government have considered but ultimately decided not to make the changes that he seeks, for reasons that I will outline.

In addition to the planning permit granted through the DCO, NSIPs have to secure a range of other, secondary consents. Those can be temporary permits if only needed for construction, or permanent permits if needed for operating the development. Section 150 enables applicants to include those secondary consents in the DCO, instead of having to seek them separately. That speeds up the consenting process, but it is subject to the agreement of a relevant consenting authority, such as the Environment Agency.

The Government agree that the consenting and permitting process for NSIPs needs to be streamlined, and work is ongoing to achieve that. Seeking permits after the DCO has been granted causes unnecessary delays to the construction of significant infrastructure schemes. As the hon. Gentleman referenced, section 150 was intended to support the one-stop shop ambition of the NSIP regime, but in practice is rarely used. Consenting bodies require a large amount of information to decide on a permit application, but applicants rarely have such information this early in the planning application process.

As we said in the planning reform working paper, the Government want to deliver the one-stop shop vision for the NSIP regime. We considered potential reforms, such as a deemed consent framework, or indeed to repeal section 150, to reduce barriers and increase uptake. However, after speaking extensively with stakeholders, we think that those are not viable options.

The new clause repealing section 150 would allow applicants to include consents and permits in their draft DCO application without the agreement of the consenting body. The secondary consents would then be included in the DCO under section 120, which does not require permission from the relevant consenting authority. That risks, however, lessening the robustness of the permitting process for the following reasons.

As the draft DCO is submitted at an early stage, most applicants do not have enough information about their project to underpin a permitting decision, and consenting bodies would need to evaluate applications based on incomplete information. The Secretary of State making the decision on the DCO would likely have insufficient information to make a robust and legally sound decision. In particular for environmental permits, there is a risk of regression on environmental standards. Some consents are also not suitable to be included in the DCO, because they relate to ongoing activities that a regulating body needs to monitor, and where permits may need to be amended or revoked. I therefore disagree—the Government took this view on the balance of serious consideration, after engaging with a wide range of stakeholders—that repealing section 150 would be beneficial.

Instead, we will reduce the permitting burden by reforming the permitting system. Many NSIPs need environmental permits for low-risk temporary construction activities. Our wide-ranging reforms will modernise, accelerate and simplify decisions to get projects and developments moving, while upholding protections for the environment and local communities. The reforms by the Department for Environment, Food and Rural Affairs will further empower regulators to make risk-based decisions on which activities should be exempt from needing environmental permits.

Easing permitting requirements for low-risk activities will help to speed up consenting and construction, as well as incentivise more investment in infrastructure. Further operational and service improvements to the Environment Agency’s permitting service will enable permits to be issued faster. Additionally, we will provide clearer guidance to applicants and consenting authorities to improve the usage of section 150 in its current form.

I hope that the hon. Member for Taunton and Wellington accepts that we recognise the problem, but think that there is a different way to address the challenges he has highlighted that does not involve a full repeal of section 150. We agree that change is needed, but we are focusing on alternative and what we consider more effective solutions. On that basis, I hope that he is reassured, although I recognise the point he makes.

[Gideon Amos]

I am concerned that this smacks of certain parts of Government reserving to themselves decisions that could easily come under one Secretary of State, and would be the one-stop shop that we would all like to see. In the interests of time, however, I beg to ask leave to withdraw the motion.

Clause, by leave, withdrawn.

New Clause 96

Review of land value capture

“(1) The Secretary of State must, within six months of the passing of this Act, conduct a review of land value capture.

(2) A review under this section must consider—

(a) the benefits of different methods of land value capture;

(b) international best practice;

(c) how changes to existing practice could assist in the meeting of housing targets and the delivery of critical infrastructure and public services; and

(d) how any changes to existing practice could be incorporated into UK planning law.

(e) The Secretary of State must, within six months of the conclusion of the review, lay before Parliament a report on the findings of the review.”—(Olly Glover.)

This new clause would require a review into methods of land value capture, to ensure the public benefit from instances where land value rises sharply, and for this to be considered to be incorporated into UK planning legislation.

Brought up, and read the First time.

[Olly Glover]

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

The new clause would require a review into methods of land value capture, for reasons that I shall explain. As the Minister will be aware, currently the primary mechanisms to capture land value uplifts in England are developer contributions, in the form of section 106 agreements and the community infrastructure levy. While those mechanisms bring some benefits, they are not without their challenges.

Earlier this year, the Commons Housing, Communities and Local Government Committee launched an inquiry to examine how land value capture policies can contribute to the delivery of the Government’s house building plans and, crucially, help to fund affordable housing and public infrastructure. The Committee gathered valuable insights from experts, and one finding was that in high- value locations such as the greater south-east, to put it in affordable housing terms, only 19.6% is being achieved on average at the moment, whereas one could achieve 40% to 50%.

Land value capture is not unknown in this country—indeed, it is being used to finance the ongoing operational costs of the newly reopened Northumberland line between Newcastle, Blyth and Ashington in the north-east of England—but we need a land value capture system more widely that is fair and delivers what communities need: genuinely affordable housing, and public infrastructure and services that people can rely on. Moving to more mechanisms for local authorities to use land value capture methods other than section 106 and CIL might enable them to fund some more expensive elements of infrastructure, such as new railway stations or lines, that are currently neglected.

The new clause would require a review into land value capture methods, building on the work of the Select Committee inquiry. National Government should consult with local government. I look forward to the Minister’s comments.

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[Olly Glover]

I am grateful to the Minister for his comments; the Committee will be delighted to learn that I will not rise to his challenge to debate at inordinate length. It is good to hear that the Government are taking forward some proposals in this area and, given that there is an ongoing Select Committee inquiry, I beg to ask leave to withdraw the clause.

Clause, by leave, withdrawn.

New Clause 98

Electricity distribution networks: land and access rights

“(1) The Secretary of State must, within 12 months of the passing of this Act, consult on and implement measures to give electricity distribution network operators powers in relation, but not limited, to—

(a) the acquisition of rights over land for new and existing overhead lines and underground cables;

(b) the acquisition of land for new substations or the extension of existing substations;

(c) the entering into of land for the purposes of maintaining existing equipment;

(d) the entering into of land for the purposes of managing vegetation growth which is interfering with the safety or operation of overhead equipment.

(2) Any powers granted must be compatible with the need to complete works related to development in a timely, inexpensive and uncomplicated manner, and may include the provision of compensation to relevant landowners.”—(Gideon Amos.)

This new clause would require the Secretary of State to consult on giving electricity distribution network operators powers in relation to the acquisition of and access to land.

Brought up, and read the First time.

[Gideon Amos]

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

[The Chair]

With this it will be convenient to discuss new clause 99—Extension of permitted development—

“The Secretary of State must, within 12 months of the passing of this Act—

(a) make provision for the following to be included as permitted development—

(i) upgrading of existing lines from single to three phase;

(ii) alteration of conductor type;

(iii) increase in the height of distribution network supports to maintain minimum ground clearances under the Electricity Safety, Quality and Continuity Regulations 2002;

(iv) increase in the distance of supporting structures by up to 60m from their existing position when replacing an existing overhead line;

(v) in relation to new connections from an existing line, an increase in nominal voltage to a maximum of 33kV and related increase in pole heights;

(vi) upgrading of existing lines from 6.6kV to 11kV;

(vii) installation of additional stays supporting wood poles;

(viii) upgrading of existing apparatus, including the increase of capacity of pole mounted transformers, subject to the provisions of section 37(1) of the Electricity Act 1989 and the Electricity Safety, Quality and Continuity Regulations 2002;

(ix) temporary placement of a line for a period of up to two years.

(b) consult on the introduction of further measures for the purposes of enabling distribution network upgrades and reinforcements to be delivered as permitted development.”

[Gideon Amos]

New clauses 98 and 99 would require the Government to review permitted development rights and land acquisition rights for the electricity distribution network. The electricity distribution network is about 200,000 kilometres of bending overhead lines. If we are going to deliver net zero and economic growth, the anomalies now appearing in the system need to be addressed. There is a massive challenge for us in delivering more local renewable energy installations, as more farmers want batteries and more people want solar panels on their roofs.

The stress on the distribution network is significant—the Minister will know a lot more about this than I do—and we need to upgrade our distribution network as rapidly as possible. That reminds me of a seminar I once organised, when someone from National Grid said, “You can tell the road with all the solar panels on the roofs by the substation on fire at the end of it.” We really need to find a way to resolve the overloading of the distribution network, which can pose risks—though hopefully not fires—and challenges to those trying to upgrade their local network.

I have a couple of examples. Where there is a row of poles with two cables on them going across a field, just to put a third cable on there requires a planning application. When we are dealing with hundreds of thousands of kilometres of electricity line, that seems overly rigorous and constrained. Similarly, if someone wishes to increase the height of the poles by more than 10%—let us say they want to increase them by 12%—that would require a full planning application process. We hope these new clauses are self-explanatory in their aim of to moving us closer and faster towards delivering on communities’ net zero ambitions.

I have growing confidence that the Government will accept these new clauses without any further debate—but I have always been an optimist. I look forward to the Minister’s comments.

[The Parliamentary Under-Secretary of State for Energy Security and Net Zero (Michael Shanks)]

I hate to let the hon. Gentleman down at this hour of the Committee, but I will outline why we cannot accept his new clauses. I think he will, however, be pleased with the Government’s position on this. I will turn first to new clause 98, which requires the Government to consult on the implementation of measures to give distribution network operators powers in relation to the acquisition of and access to land.

First, we completely agree with the case that the hon. Gentleman outlined. The distribution network does the vast majority of the heavy lifting to get electricity to all our homes and businesses, and it plays a critical role. It will require significant upgrading over the coming years, not least with the increase in demand that we expect. We agree that the current regime for infrastructure is not fit for purpose, as do developers and landowners.

We are all in agreement, which is fantastic at this hour of the Committee. The reason I cannot support this new clause is that we want to propose—if I may say so—a more ambitious set of reforms to land rights and consenting processes later this year. While we agree with the principle of many of the proposed changes, it is important that we get their detail right and ensure that they are developed with particular consideration of the rights of landowners. We will consult on reforms in this area, and following that consultation, we will look at including appropriate measures in future legislation, where necessary.

[Gideon Amos]

I wonder whether the Minister could be a little more definite. He referred to future legislation and some time this year, but I cannot help but think that I have heard those phrases before on some other topics. Is there a concrete proposal to bring forward legislation in this area?

[Michael Shanks]

A working group, involving people from across the Department and all those involved in this area, has been working on these proposals, and a consultation will be brought forward shortly. In the King’s Speech, we committed to a Bill that addresses a number of different areas in the energy space, and we hope that this area could be included. However, it is necessary to complete the consultation process in order to know what those measures might look like.

On new clause 99, I broadly agree with the thrust of what the hon. Gentleman has raised. Reform is necessary for us to meet the increasing demand for clean energy, and upgrading the distribution network will play a crucial role, particularly in connecting small-scale renewable energy technologies such as solar and wind, as well as the widespread adoption on the demand side, which we do not often speak about, with the roll-out of electric vehicles and heat pumps. Without upgrades in this space, we risk falling short of our climate goals and hindering progress towards our sustainable future.

While we are in complete agreement with the hon. Gentleman on the need for change, we do not support this particular new clause because it is possible for us to complete many of these changes through secondary legislation. As with new clause 98, it is also crucial that landowners’ views are heard and understood before any of these changes are implemented. We may wish to consider other reforms as part of this process or to discount certain proposals based on the evidence from those relevant stakeholders. That is why the Government have committed to consult on these and other reforms in the summer. That is the most appropriate way forward, rather than the Planning and Infrastructure Bill. I hope the hon. Gentleman will withdraw new clause 98.

[Gideon Amos]

I beg to ask leave to withdraw the motion.

Clause, by leave, withdrawn.

New Clause 101

Preservation of playing fields and pitches

“(1) A local planning authority must, when exercising any of its functions, ensure the preservation of playing fields and playing pitches.

(2) The duty in subsection (1) may, when granting permission for development, be met through the imposition of conditions or requirements relating to—

(a) the protection of playing fields or playing pitches affected by the development; or

(b) the provision of alternative, additional or expanded playing fields or playing pitches.

(3) For the purposes of this section, ‘playing fields’ and ‘playing pitches’ have the same meanings as in the Town and Country Planning (Development Management Procedure) (England) Order 2010.”—(Gideon Amos.)

Brought up, and read the First time.

[Gideon Amos]

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

[The Chair]

With this it will be convenient to discuss

New clause 111—Protection of villages—

“(1) The Secretary of State must, within 6 months of the passing of this Act, issue guidance for local planning authorities, or update any relevant existing guidance, relating to the protection of villages.

(2) Any guidance issued under this section must provide villages with equivalent protection, so far as is appropriate, as is provided for towns in relation to—

(a) preventing villages from merging into one another,

(b) preventing villages merging into towns, and

(c) preserving the setting and special character of historic villages.”

[Gideon Amos]

New clause 101 concerns the protection of playing fields, which are vital to people’s health and wellbeing by creating important opportunities for physical activity, with multiple benefits for mental health and physical health. Following the Government’s decision to withdraw Fields in Trust from the list of statutory consultees, there is widespread concern about the loss of playing fields and the under-provision of play and green spaces—[Interruption.]

[The Chair]

Order. I hear the Division bell; I suspend the Committee for 15 minutes.

--- Later in debate ---

On resuming—

[Gideon Amos]

I will be brief as we come to the last couple of new clauses that we on the Liberal Democrat Benches wish to speak to today. I was speaking to new clause 101, which relates to playing fields. Fields in Trust is a charity that helps to protect playing fields and green spaces. Its public green space index is a way to track change over time, and it consistently finds inequality of access: one in three children do not have a playground close to home and 6.3 million people live more than 10 minutes away in walking time from a green space.

The new clause would place a duty on local planning authorities to protect playing fields and pitches from development. In March this year—a couple of months ago—the Government announced that some organisations, including Sport England, will no longer be statutory consultees on planning decisions, in order to speed up development. The press release states:

“The NPPF is clear that existing open spaces, sports, recreational buildings and land, including playing fields, should not be built on unless an assessment has shown the space to be surplus to requirements or it will be replaced by equivalent or better provision.”

The Government argued that such protections were sufficient, but Sport England states that:

“from 2022-23 alone it protected more than 1,000 playing fields across the country.”

That was in a Guardian article where it was reported that thousands of playing fields may be lost. The protections in the NPPF are therefore not sufficient. The effect of removing Sport England as a statutory consultee can only be to speed up development on playing fields.

Sport England has also stated that

“it responds to over 98% of applications within 21 days and that in 70% of statutory applications it does not object.”

There is not a source of unnecessary delay as a result of Sport England being involved in the process. If those provisions are being removed, then the Government need to put in place more robust legal provisions for playing fields. The new clause would do that so that important community assets are not lost.

[David Simmonds (Ruislip, Northwood and Pinner) (Con)]

I will be brief: the issues in new clause 111, which it is my privilege to speak to, have already been extensively debated. We have just heard about protections in respect of playing fields; new clause 111 is about protections in respect of villages. Those are relevant to places such as Harefield in my constituency—pretty much the last village in London—and to the concerns highlighted by many Members, including my hon. Friend the Member for Broxbourne (Lewis Cocking), about some recent decisions on infilling, which puts the separation of villages from nearby towns at some degree of risk. We are keen to preserve it. We will press the new clause to a vote in due course.

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Authorities are also able to utilise other tools to restrict development in villages when that is necessary for a variety of other reasons, which we have set out. I hope that, on that basis, the hon. Member for Broxbourne is reassured. He is a diligent member of the Housing, Communities and Local Government Committee, so he has probably read the guidance; the protections that it provides to the overall coherence of the green belt are clear and it does not undermine the contributions that the green belt makes. Safeguards are in place in policy and that guidance to ensure that the concerns that he outlines are unfounded. On that basis, I humbly ask him not to push proposed new clause 111.

[Gideon Amos]

We do not agree with the Government’s approach in removing Sport England as a statutory consultee. We are concerned that that will only lead to more development on playing fields. I will not detain the Committee with a vote, but I think that our position is clear. I beg to ask leave to withdraw the clause.

Clause, by leave, withdrawn.

New Clause 103

Local Area Energy Plans

“(1) All local authorities and combined authorities must create a Local Area Energy Plan.

(2) For the purposes of this section, a ‘Local Area Energy Plan’ means an outline of how the relevant authority proposes to transition its area’s energy system to Net Zero.”—(Olly Glover.)

This new clause would require all local and combined authorities to develop Local Area Energy Plans which set out how they will meet their Net Zero goals.

Brought up, and read the First time.

[Olly Glover]

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

The new clause would make the adoption of local area energy plans compulsory in England. Local area energy plans are now recognised as the leading method for turning national net zero targets into real, on-the-ground action. They offer a path that is not only strategic and data driven but collaborative and cost-effective.

The plans are driven by local government, working hand in hand with key stakeholders from across the community. The result is a fully costed spatial plan that lays out exactly the changes needed to the local energy system and the built environment. Critically, it includes not just what needs to happen but where, when and by whom it should be delivered. Moreover, local area energy plans break down the big picture into manageable steps. They map out the costs, shifts in energy use and reductions in emissions over time. Such plans can be prepared to align with our national climate goals, including ultimately reaching net zero by 2050.

I am proud to say that in Oxfordshire, where my constituency is, a local area energy plan is under development. However, despite their importance to our planning process and net zero target, such plans are not compulsory in England. That has not stopped many local authorities from preparing them, and I hope that the Government will note that many of those local authorities are controlled by the Labour party. In Greater Manchester, 10 boroughs have a local area energy plan in place. Plans are also in place in York and North Yorkshire, Cornwall and the Isles of Scilly, Peterborough and the borough in which we are holding this debate: Westminster. In Wales, all 22 authorities have produced a local area energy plan because in Wales that is compulsory.

If hon. Members do not believe me, I quote Shaun Gibbons, the head of carbon reduction at York city council:

“The York Local Area Energy Plan has served an important role in articulating the scale of the net zero challenge and setting specific targets against some of our most pressing actions. It has provided a robust evidence base for external funding applications and has resulted in the Council accessing funding several times greater than the original cost of the plan.”

The new clause would require local authorities to prepare local area energy plans and would be a key component in getting to net zero. In the final stages of this Committee, I have hope that the Minister will view the measure favourably, given that there is so much good practice from Labour-run councils.

[Olly Glover]

I thank the Minister for his comments. It is good to know from him that the topic is being looked at with a geographical scope greater than single local authorities. We shall observe with interest how that goes. In the interests of having time to speak to other new clauses, I will not press this one to a Division. I beg to ask leave to withdraw the clause.

Clause, by leave, withdrawn.

New Clause 105

Extension of use classes C5 and C6 to England

“In article 1(2) of the Town and Country Planning (Use Classes) (Amendment) (Wales) Order 2022, after “Wales” insert “, except in relation to articles 2(e) and 2(f), which apply in relation to England and Wales”.”—(Gideon Amos.)

This amendment of existing regulations would extend use classes C5 (Dwellinghouses, used otherwise than as sole or main residences) and C6 (Short-term lets), which currently only to apply to Wales, to England.

Brought up, and read the First time.

[Gideon Amos]

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

[The Chair]

With this it will be convenient to discuss new clause 106—Change of certain use classes to require permission—

“In article 3(1) of the Town and Country Planning (Use Classes) Order 1987, at end insert “, subject to paragraphs (1AA) and (1AB).

(1AA) Where a building is used for the purpose of Class C3, the use of that building for the purpose of Class C5 or Class C6 (or vice versa) is to be taken to involve development of the land.

(1AB) Where a building is used for the purpose of Class C5, the use of that building for the purpose of Class C6 (or vice versa) is to be taken to involve development of the land.””

This amendment would require planning permission to be obtained to change the use of a dwelling to a second home or to a short term let use class and for changes of use between those classes.

[Gideon Amos]

I rise to speak on new clauses 105 and 106, which are the final new clauses in these debates—I know how disappointed Government Members will be to hear that news. They are a couple of important new clauses, and I will spend a couple of minutes on them. There are, of course, well discussed and rehearsed arguments about second homes and short-term lets and their effect on existing communities. New clause 105 would take the position in Wales, where there are separate use classes for short-term lets and second homes to enable them to be regulated, and extend that across to England. New clause 106 would ensure that planning permission was required to change a dwelling house to a second home or a short-term let.

The previous Government indicated that they would legislate on short-term lets and allow planning authorities, local councils, to determine their extent, and that is what this is really about. Of course, second homes can be great for the local economy by bringing people to the area to spend money, but when they become a huge proportion of that local town or community, they can lead to businesses being closed and trade going away if the homes are left empty for too long. The same can apply to short-term lets.

In Cornwall, there are 13,000 second homes. In Somerset, my own county, there are 4,200 second homes. In recent years, there has been a staggering 30% increase. The whole point of the two new clauses is that they would give local planning authorities the ability to plan and to say what the appropriate level of short-term lets and second homes in their communities was. It would give them the ability to set those policies themselves and to grant or refuse planning permissions in accordance with the policies, so that they could do what is right for their areas to ensure that they do not suffer from too many short-term lets and second homes, which are pulling resources out of their communities.

We believe that the new clauses are vital and needed by councils around the country, and we urge the Government, at least on short-term lets, to make good on the previous commitment to introduce planning controls, not just taxation controls. Planning controls are needed because they shape the community in which people live and over which councils have a say.

[Matthew Pennycook]

I thank the hon. Gentleman for tabling and speaking to these two new clauses and highlighting this really important issue, which does affect a large number of rural, coastal and, it is important to say, urban communities across the country. I have had a number of extremely fruitful meetings with colleagues on both sides of the House about it—most recently with the hon. Member for Westmorland and Lonsdale (Tim Farron), who is from the same party as the hon. Member for Taunton and Wellington and whose constituency typifies the problems that can occur from incredibly excessive concentrations of both short-term lets and second homes.

Short-term lets and second homes can benefit local economies. They can be incredibly important for tourism in particular parts of the country. But we are also very aware of the concern that excessive concentrations can affect the affordability and availability of housing to buy and to rent, impact on the sustainability of local services and reduce the sense of local community. There is clearly a balance to be struck. As things stand, it has not been struck correctly. We think that change is needed in this area.

To take action on short-term lets, we still intend to introduce a registration scheme for them to ensure the quality and safety of tourist accommodation, provide better data to local authorities and protect the spirit of our communities. In addition, from April 2025 the furnished holiday lettings tax regime was abolished, eliminating the tax advantages that short-term let owners had over private rented sector landlords. Furnished holiday let owners are now subject to the same income, corporation and capital gains tax rules as other landlords.

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I have heard calls for the introduction of use classes to address the problem of concentrations of short-term lets and second homes. As the hon. Member for Taunton and Wellington mentioned, the previous Government’s proposed planning use class for short-term lets raised concerns that, if the proposals were accompanied by provision making clear that changes of use to and from short-term lets required planning permission, existing short-term lets would be locked in. Concerns were also expressed about the ability of local planning authorities to apply and enforce the changes.

[Gideon Amos]

Would the Minister not agree that the problem of locking-in could be countered by giving a lead-in time of six or 12 months? After that time, there would be a need for planning permission to continue with a short-term let, for example.

[Matthew Pennycook]

I note and accept the hon. Gentleman’s point, and there are a variety of considerations at play in this area. Locking in was one concern raised; enforcement was another. In response to feedback, we are considering the issue more generally. I make those points simply to say that this needs to be thought through carefully.

I have made this point in the House a number of times, and I am happy to do so again: we recognise the case for further action on short-term lets and second homes. We are very carefully considering what additional powers we might give to local authorities to enable them to respond to the pressures they are facing, but this is a complex area, and we have to think carefully about introducing these types of restrictions. We need to explore various potential levers that could help better strike that balance between housing and the tourism economy before moving forward.

We do not consider the planning changes set out in the new clause to be the most effective route to achieving that aim, but I once again reassure Members that we are taking concerns in this area very seriously and that I am more than happy to continue the dialogue with the hon. Gentleman and other Members who are affected. I know it is an extremely pressing issue in many constituencies. On that basis, I hope the hon. Gentleman will feel content not to push the new clause to a vote.

[The Chair]

I call Liberal Democrat spokesperson Gideon Amos for the final time in this Bill Committee.

[Gideon Amos]

I hope you and my right hon. Friend the Member for Kingston and Surbiton (Ed Davey) have not been discussing that this is to be my final time as the spokesperson, Mrs Hobhouse, but I am grateful for your introduction. It is the final time in this Committee—I definitely agree with you there.

We believe this is a crucial issue and that the argument is well made for legislating for planning controls. I am genuinely grateful to the Minister for committing to taking further action, but we on the Liberal Democrat Benches remain absolutely resolute that this needs legislation, so we will push the new clause to a vote.

Question put, That the clause be read a Second time.