English Devolution and Community Empowerment Bill

Paul Foster Excerpts
Paul Foster Portrait Mr Paul Foster (South Ribble) (Lab)
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I rise to support the Second Reading of the English Devolution and Community Empowerment Bill, which is a vital step towards modernising local government and delivering fairer investment and greater accountability across England. I do so with 17 years’ experience as a local councillor, for five of which I was leader of South Ribble borough council in Lancashire, which forms part of my constituency. Although the scope of the Bill covers many distinct subject matters, I intend to focus my brief comments—listening to what you said, Madam Deputy Speaker—on part 3, chapter 1 on local government reorganisation.

Let us be clear: Lancashire is now an outlier. While 74% of England’s population live under unitary authorities delivering all local services through a single accountable body, Lancashire remains part of the shrinking 26% operating under a two-tier system. Frankly, no one would design the two-tier system today—it is inefficient, confusing and expensive. Residents do not understand why one council is responsible for potholes and roads and another for pavements and parks, why education sits at county level while planning sits with district, or why one council collects their waste and another disposes of it. They do not understand why they are paying for two different sets of local councillors for the same geographical area, and for 15 chief executives and senior management teams when they only actually require three or four, or why our neighbours in Greater Manchester and the Liverpool city region are all unitaries, but Lancashire is left with two tiers of bureaucracy. The result? Duplicated services, inefficient staffing and confused accountability.

We know that change works. In South Ribble, through shared services with our district council neighbour, Chorley, we have saved over £1 million for local taxpayers—real money back into local budgets. Imagine what could be achieved with a fully unitary structure across Lancashire. In my time as leader of South Ribble borough council, I froze council tax for three consecutive years while still delivering effective and efficient frontline services. Yet our residents’ council tax bills kept rising as Lancashire county council increased their taxes annually due to its inefficiencies. My community were confused by these council tax bills, not understanding that the local district council only accounted for around 11% of their overall bill and, in fact, that they were paying more to the police and crime commissioner than to their district council.

Beyond efficiency, this is about fully unlocking devolution. Lancashire has been left behind. We will end up being one of the largest counties in the north of England without a metro mayor. We have missed out already on hundreds of millions of pounds of investment seen in Greater Manchester, the west midlands, West Yorkshire and the Liverpool city region. That is why I welcome the powers in the Bill that allow the Secretary of State to mandate reorganisation where appropriate from a two-tier system to a unitary model. It is a necessary tool to drive reform, and I commend the Secretary of State and the Local Government Minister for their bold vision.

Judith Cummins Portrait Madam Deputy Speaker
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I call the Liberal Democrat spokesperson.

Local Government Reorganisation

Paul Foster Excerpts
Wednesday 15th January 2025

(8 months, 2 weeks ago)

Commons Chamber
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Jim McMahon Portrait Jim McMahon
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I do not want to disregard the good work of district councils in this conversation about reorganisation, and about redirecting money to operational costs on the frontline, so that taxpayers get better value for money and see the benefit in their local public services. I pay tribute to council officials, frontline workers and councillors, whether they are in unitaries, counties or districts, for their work. I just set out the view that the best way to achieve efficiency is by having more streamlined local government structures that enable money to go to the frontline.

On whether district councils will have a voice in the process, it is a fact that we have received requests for reorganisation, and statutory invitations go out at the end of the month, but it would be usual for the Government to be faced with a number of options for what those new boundaries might look like. The county might have a view about how many councils should be included in the reorganisation, and I suspect that districts might have a very different view.

It would be quite usual for a number of different proposals to come forward for a county. It is for the Government to try to strike a balance that takes into consideration identity, efficiency and having an anchor to the area that makes sense. We genuinely want this to be a collaborative process, so that we get the right outcome for local people.

Paul Foster Portrait Mr Paul Foster (South Ribble) (Lab)
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As the Minister is aware, I was a district council leader in Lancashire until 5 July, when I got the Avanti train down to Westminster. As I have said for many years, the challenge we face is that the two-tier system does not work. It confuses our residents. The Local Government Association’s map of the different structures of local government in England is a mishmash, and it does not work. West Lancashire and South Ribble borough councils have put forward detailed proposals for local government reorganisation to the Minister, but the Conservative-run county council has not. My concern is that some elections will be cancelled and some will not. On the priority programme, will the Minister please consider enforcing the cancellation of all elections in places where he is moving forward quickly with reorganisation?

Jim McMahon Portrait Jim McMahon
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When my hon. Friend said he got the Avanti train down on 5 July, I think the Chamber was half expecting him to say that he had only just arrived, but he has been here for some time.

I know there are different views in Lancashire on what a good outcome looks like, and there are certainly different views on what a good process looks like, but I think there is a shared view that the time has come for devolution in Lancashire. When people look to Greater Manchester and the Liverpool city region, and see that Cumbria and Cheshire are organising to be part of the next stage, of course they want to be part of that. Lancashire is unique, in that we were already in discussions with it about its timetable and process. The level 2 agreement that is in place of course comes with investment, funding and other powers. Lancashire has agreed that by autumn, it will submit proposals to the Government that reconcile its organisational status; it will also bring forward a plan to move forward with a mayoral combined authority. Lancashire took the view that given that the timetable was already in place, it did not need to request that the election be cancelled.

To be clear, we absolutely see Lancashire as part of our priority work. It is critical. The prize for the north of England is completing the work on Cheshire, Lancashire and Cumbria, so that the whole north of England has mayoral devolution. That will be game-changing.