Select Committee on Agriculture Minutes of Evidence


Examination of witnesses (Questions 500 - 519)

WEDNESDAY 17 JUNE 1998

MR CHRIS DAVIES, MR KEITH RIDDELL, MR JEREMY MOODY and MR TOM WHITE

  500.  You sound hopeful rather than certain.
  (Mr Davies)  I was the engineering representative with a group of planners, etc. We produced the DoE guidelines for development of coastal zone management plans, and it is quite clear that again with a wide range of authorities in some authorities there was good integration, account would be taken in others, and then there may not be the same problems.

  501.  Would you favour effectively a veto from an agency responsible for this aspect of policy on planning matters in designated zones, either flood plains or the coastal zone areas?
  (Mr Davies)  No, I think the different pressures on land are such that a balance has to be struck. I feel that having a national veto would not be the way to approach this.
  (Mr Riddell)  If I could add to this, success is sporadic around the country but there are examples of where, let us say, guidance has failed to be effective and other areas where it has worked very well indeed. The concept of guidance is the runner, because flood and erosion potential are not the only issues at stake here. We are faced with perhaps 4 million more homes somewhere or other and the reason for guidance not being applied as effectively as it could be in the past is a lack of information, a lack of knowledge and lack of education on exactly what risks are being taken on board in any planned new development. I think the arena we are dealing with is completely one of risk management and that risk management cannot be successfully undertaken without provision of comprehensive information.

  502.  All of those points are innate in a local democratic process.
  (Mr Riddell)  That is right.

  503.  So if you provide lots of information, lots of education, it does not necessarily produce the outcome that one might wish, and you appear to be defending the right of a local authority to make a judgment to permit development in an area which will be both risky to the occupants of that development and pass on substantial costs to other agencies, paid for by the taxpayer at large rather than the community in that area or, indeed, the developer of that particular site. You are happy to defend that individual right, are you?
  (Mr Riddell)  We have not necessarily drawn the conclusions that you have just drawn there, that these additional costs are passed on to the taxpayer at large.

  504.  But they are.
  (Mr Riddell)  We have mentioned that there is room for review of funding arrangements and the distinction between national and local responsibilities. I think all these things go together.

  505.  So just to draw you out a little further, you would then qualify your freedom to local authorities with perhaps a legal obligation for the developer to share a proportion of the costs of any defence of their development, which at the moment is not obligatory?
  (Mr Riddell)  Yes, that may well be an appropriate mechanism.
  (Mr Davies)  Not only the direct costs of defence but in compensatory measures that have to be taken elsewhere.

Mr Todd:  Indeed, which might be restoration of habitats as well as the strict engineering compensation that may be required. Turning to the valuers, any restrictions on planning in these sorts of areas will have a significant impact on the potential value of the land obviously.

Chairman

  506.  I saw you trying to catch my eye just now. There are other points you want to make not directly on this question. Please feel free.
  (Mr Moody)  Yes. I think we could start by commenting on some of the earlier questions and then fill out on your specific question to us. You wanted to go first, Tom.
  (Mr White)  Only to say that in an area which is dominated by Internal Drainage Boards, such as my own, they do, of course, in all cases now, I think, make a charge on development related to the area of defence.

Mr Todd

  507.  But that is only in an IDB area?
  (Mr White)  That is in an IDB area, which, of course, is very particular to my area. In the same way also, it would not be true to say that someone acting or a council allowing development in Northamptonshire would pass the cost of getting rid of that water to the taxpayer because, for example, if you take the Welland-Nene flood defence budget, which ensures that the water from the Welland and the Nene is got away to the Wash, the greatest single contributor to that is the Northamptonshire District Council.

  508.  Which is heavily supported by the taxpayer at large?
  (Mr White)  The taxpayer at large but also by the rates, which presumably is not the taxpayer.

  509.  But only 20 per cent. of their revenue comes from that source.
  (Mr White)  But the point I am making is that they are not necessarily throwing the cost downstream because they will have a charge themselves to make towards the defence coming in.
  (Mr Moody)  But there are the twin issues here and I think for those areas outside the IDBs there may be a considerable history of complacency about the relationship between planning and water management issues.

  510.  If you are behind an Environment Agency coastal defence, for example, which we certainly saw, then you might not take quite the same view because that is paid for out of the general taxpayer and not contributed to by the developers who sit in jeopardy behind the wall?
  (Mr White)  There is an incorrect notion that the agricultural drainage ratepayer in the Fens pays to get rid of the water that has come from the high country. That is, of course, not true because the high country makes the same contribution through the flood defence budget.

  511.  Could we turn back to the question I did put to you about the impact on valuations?
  (Mr Moody)  I think our view on the impact on valuations is that obviously where the planning regime bites it operates as a restriction on opportunity and, therefore, focuses value on specific land. The planning regime now is so plan-led that the value latent in development will usually only be expressed where that land is identified in the local plan or there are live hopes appreciated by the market that that land will shortly be appreciated by the local plan. So for the great majority of agricultural land the issue of any veto on significant commercial, residential or industrial development, if that is what we are talking about, would not be germane to its price. Where that land is in the queue for the local plan, or the edge of a settlement or a new settlement that an authority may be planning or anticipations of road junctions or whatever, then clearly that would be a material effect on that additional development value which could take its value from £2-3,000 an acre to many thousands per acre, but outside those zones I suspect there would generally be not very much impact on the valuation. Just rounding off some of the earlier answers, I think you have the issue of development within the flood plain, and having seen, for one reason or another, planning applications to a Midlands county in the Eighties, I was very surprised at the time at the way both that council and the relevant water board expressed no concern whatsoever about significant housing development within the 1947 flood plain. There is a recent instance from my trawl for evidence for today on the Midlands floods. Some land in the Midlands on which one of our members had failed to secure planning permission for a relatively minor development for a client was within years picked up by the local council for the retention of salt for road operations during the winter. That salt may now have been spread far and wide by the floods that have happened more recently, and then you have the issues obviously of development outside the flood plain with its run-off, and the consequent effects of management have been picked up. So there are two angles to it but you would need to be fairly careful about a definition of "development" that would be caught by it because the definition of "development" is fairly wide-reaching.

  512.  Yes. Indeed, your point about the change in the run-off time in your particular area has a bearing on that?
  (Mr White)  Yes.
  (Mr Moody)  The other point that would have a bearing on it is the definition of the flood plain itself, that the old plans all show the 1947 flood line. Much of East Anglia is 1953 when the sea reached nearly to Cambridge. Of late in the Chairman's own area and across into the north of Oxfordshire, the floods have clearly reached a level significantly higher than has ever been appreciated, which may in part be as a consequence of the development that has happened in the last 50 years, that there is now less capacity in the Tewkesbury washlands or whatever to hold the water, and equally more run-off to channel it down.

  513.  And changes in agricultural practice as well?
  (Mr Moody)  That is right, yes.

Chairman

  514.  On that point, I was interested in what you said about a local authority denying a developer planning permission for a modest development and giving itself planning permission for something much more significant. We have heard some anecdotal evidence that suggests that the problem often rests not so much with local authorities as with the planning inspectorate, that local authorities can sometimes resist development in the flood plain and are then overruled at the inquiry by the planning inspectorate. Do you have any evidence to support that anecdotal suggestion?
  (Mr Moody)  I have had no submissions to me on that point. I think there is a general observation that the planning inspectorate has been more respectful of local government in the last few years than it may have been a decade or more ago. So I think there may be less truth in that than maybe there might once have been.

  515.  I saw Mr Davies nodding his head there.
  (Mr Davies)  Yes, I have anecdotal evidence of that as well.

  516.  You have had a planning inspectorate overrule a local decision?
  (Mr Davies)  Yes.

Mr Todd

  517.  Turning back to the co-ordination of policy, with the establishment of regional development agencies this has been seen by some as an opportunity to co-ordinate more effectively policy in this area. Would you suggest, Mr Davies, that that is a reasonable way forward?
  (Mr Davies)  Going back to the comments we made previously about the interrelationship between development pressures, social issues and all the other issues associated with either coastal or flood defence proposals, and also our suggestion that things should be looked at on a regional basis, then certainly that would seem to be an appropriate vehicle to consider to cover these issues.

  518.  The difficulty is that regions, either MAFF regions, which I think you referred to in your document, or any other definition of region that we may use, do not tend to encompass the natural features that require planning. I see a nod from the valuers at this?
  (Mr Moody)  That is right. Two immediate instances come to my mind, that in earlier evidence I think we heard that the issues regarding a coast management plan for Holderness would see Holderness prejudiced to the benefit of Lincolnshire, which would not come, since the demise of Humberside at least, with any normal region, and again the issue of the Fens lying between East Anglia and the East Midlands and almost all strategic regions.

Mr Todd:  So there is some difficultly in following a regional route in this unless one makes a bold assumption that regions talk to each other about these matters, which we cannot be entirely sure of.

Mr Hurst

  519.  To Mr Moody and Mr White, can you expand on your role as valuers in raising public awareness as to the dangers of flooding to particular properties or parcels of land?
  (Mr White)  Yes. In preparing valuations for, for example, banks or the AMC or a purchaser in a purchaser's report, it would normally come within our remit to advise that client on the likelihood or otherwise of flooding. One of the common questions that is asked of a valuer in the Fens, for example, is, "What chance is there that my investment will be under water within 20 years with the melting of the polar icecap?" I am happy to say that on the advice of our local drainage boards I am able to give a positive report, in that we do not believe this to be a proper fear. So in that sense, if professional advice is taken as to the likelihood of flood danger, then a professional answer will be given, and because in our part of the world (Mr Hayes' constituency) we take our drainage rather more seriously than some, because without it we are in more trouble than most on a day-to-day basis, we are able to allay any fears. It is actually in other areas such as Tewkesbury where the danger is greater. We do, of course, have two questions. One is the river water that comes from the highlands and the other is the defence against the sea, but both of them are taken with equal seriousness because the Wash basin is such a critical area in that respect.


 
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