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Mr. Gray: Liberal Democrats are always on about levies on green-field sites for green-field development. Does he agree that, if such a measure were in place, all that would happen would be that those houses which are built on green-field sites would be more expensive--larger, middle-class, executive-style homes? Developers would not care in the least about a green-field levy. It would be an incentive to build on the green-field sites that the hon. Gentleman seeks to protect.

Mr. Taylor: I do not see that the fact that it would be more expensive for a developer would be an incentive to build on those sites. Those funds would be used to reduce the costs of building on brown-field sites, equalling out the playing field that is currently weighted towards the green-field sites.

In addition, building on green-field sites is positively encouraged at present, and re-development discouraged, because no value added tax is charged on new development, whereas the refurbishment of empty homes and offices carries the full rate. That urgently needs changing. Re-balancing VAT to provide an equal VAT cost on re-development of derelict buildings and green fields, bringing one down and putting the other up, at no net cost to the Exchequer, could dramatically change the financial picture, yet there are no new economic instruments from the Government. I am glad to say that Lord Rogers urban task force has, in its interim report, recommended them.

I hope that the Chancellor of the Exchequer will come forward with proposals in the Budget. I am sorry if I sound a little negative, but, so far, the Chancellor has been extremely slow in coming forward with any environmentally friendly and sustainable changes to taxation policy. In fact, recently, he won a grey ribbon award for his bad record on the environment, so I am not optimistic. If they do come, we will welcome them, and they will help to achieve the 60 per cent. target--which is unrealistic without them--and move us towards the 75 per cent. target that the Government round table on sustainable development, and the Lord Rogers task force, suggested.

We must also address the fact that many people want to leave urban areas because the policy in cities and towns is going wrong. Tackling the problems of a derelict environment, high crime levels and poor schools is fundamental if we are to persuade people to stay in our cities. We should bear in mind that Britain is unusual in seeing large numbers move out of the inner urban areas. In much of the rest of Europe, cities are popular places in which to live because of planning and the lack of dereliction.

I should have liked to have mentioned the problem of second homes, but I have run out of time. I would say to the Minister: get rid of the council tax discount; look at introducing planning controls, which already exist for offices and should exist for the conversion of family homes into second and holiday homes and, finally, look at the 800,000 empty properties in Britain before planning to build unnecessarily on green-field sites.

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Mr. Keith Vaz (Leicester, East): The hon. Member for Truro and St. Austell (Mr. Taylor) demonstrates what the Liberal Democrats are so good at--facing in two directions at the same time, supporting the country and the town--but his saving grace is that he does it always with a smile.

I welcome the debate. It is a pity that it has been such a long time since the Conservative party last initiated a debate on planning. I cannot remember, when the Labour party was in opposition and the Conservative party was in government, a passionate devotion to planning in the green belt, but I am glad that we are having the debate. This is the 12th planning debate--Adjournment and otherwise--that I have attended. Under the previous Government, it was usually through an Adjournment procedure that we got to discuss planning.

I am delighted that we have at the Dispatch Box two Ministers who have a grip on the subject, who understand the problems of the planning system and who are so passionately committed to the green belt. I welcome the work that they have done over the past 18 months, and I know that they will continue to produce thoughtful and appropriate policies that will meet the needs of local communities.

I am not surprised that the former Secretary of State for the Environment, the right hon. Member for Suffolk, Coastal (Mr. Gummer), has run away. He came to make a little statement and then left. That is what he did to the planning system and the green belt--he made a few statements, did a few photo calls and then abandoned the system. This was the man who introduced PPG6 and PPG13 during his term in office, two policies that also faced in different directions at the same time. They were criticised by the present vice-chairman of the Conservative party, the hon. Member for Tunbridge Wells (Mr. Norman), in his capacity as the chairman of Asda. I do not know what he is going to say tonight, but I hope that he will repeat some of the criticisms that he had when the Conservative party were in government.

Of course Labour is passionately committed to the green belt and the countryside. It is a very strong commitment, which is why so many Labour Members are present to speak in the debate. The previous Government neglected the green belt and ignored any ideas that could have supported it or our cities.

It is sheer hypocrisy for the shadow spokesman to condemn this Government for what they have done. The Minister was quite right to read out a list of crimes committed by the previous Government against the green belt. It is a list of which the Conservative party should be ashamed. It is hypocritical for Conservatives to pretend that they support the green belt. We know that they have to pretend because most of them are now in marginal seats, and the Liberal Democrats are close to capturing many of those seats. We understand why they say those things--no doubt their local newspapers are also covering the debate--but we have an absolute commitment, reasserted by the Minister, by which we will stand.

I have only a few minutes in which to speak because I know that many colleagues want to contribute to the debate, but I must mention the importance of modernising our planning system and perhaps put a couple of points to the Minister so that he is aware that we support what he has done in respect of planning, but hope that he will take the modernisation procedures forward.

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It is important that we examine all the PPGs that have been issued so far. One of the criticisms that I have of the planning system is that there is no firm body of planning law. Those who advise councils and others when applications are made have no consistency. I do not agree with the hon. Member for Truro and St. Austell, who said that the Government should be criticised for not publishing more PPGs. We have had too many PPGs, and the process needs to be streamlined. We need to examine those that have been passed so far and see whether they are consistent. A number of those issued under the previous Government were not, which is why we have the problems that we have.

Mr. Matthew Taylor: I do not disagree with the hon. Gentleman. I think that he missed my point. We need to update PPGs, not add to their number.

Mr. Vaz: If that is what the hon. Gentleman said, I apologise. He is absolutely right. We need to update our PPGs, and that is why I have previously suggested the creation of an advisory committee to advise Ministers and the Government on the inconsistencies in our planning system, especially the PPGs, so that, before they are issued, they can be made consistent with the planning law that goes before them.

The only people who seem to be able to understand the complicated nature of planning law are the planning silks, and we all know how well they do out of the planning system. Why should it be that the only people who benefit from the planning system are the lawyers? I say that as a former lawyer, although not a planning lawyer. The fact that the system is complicated makes matters much worse.

There needs to be consistency and firmness in the system but also flexibility. It is important that developers also know what the present planning system is. Part of the work that the Government have done has been to convince big developers such as the retailers of the importance of developing within city centres. Some of the big supermarkets such as Asda, Tesco, Sainsbury and Safeway understand that, when we say that they have to pass a sequential test, we mean it. We are not going to do what the Conservative Secretary of State did, which was to say that he supported a sequential test but then not follow through. Those developers are told that they ought to develop within city centres and within existing communities. To be fair to them, many have come up with innovative schemes to ensure that there is development within city centres.

When I go home at night, I pass the development on the Finchley road, which has been led by Sainsbury. It has been beneficial because it has brought businesses into the local community, and it is a pleasure to shop in areas of that kind. My hon. Friend the Member for Harrow, East (Mr. McNulty) has left the Chamber, but what Boots has done for the centre of Harrow encourages people to come there. That means that we do not have to have development outside.

We want people to move into our city and town centres, not to move out of them. I see that the right hon. Member for Skipton and Ripon (Mr. Curry), a former Environment Minister, is sitting on the Front Bench. Under the previous Government's policy, it was sad that our town centres were abandoned rather than celebrated. We need investment in our town and city centres so that they are safe places in which to live and work.

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Anyone passing Marble Arch and the Edgware road late at night will see exactly the kind of vibrant, inner-city area that we want to see developed. The shops are open quite late into the night; people walk around quite safely; and, although not all the cafes are open in January, the area has the atmosphere of which continental cities are so proud.

Delay is still inherent in the planning system. I know that it was inherited--[Interruption.] It is no good the shadow Minister nodding; it was under the Conservative Government that the backlog developed. Their failure to appoint inspectors and to get planning inquiries moving caused the backlog and delay. We need more inspectors and a more efficient planning inspectorate so that, when applications are turned down, there can be a much quicker resolution of the problem.

I do not know whether any of the Conservative Members present speaks for Hampshire, but, in Mitchell Deva, a community has been under threat for the past five or six years because no one will make a decision as to whether houses can be built in the local area. That causes enormous distress and concern to local people, so let us try to get rid of the delays inherent in the system.

Secondly, the planning system is still very costly, and the only people who can use it are the developers who have a great deal of money. We need to bring the cost down. Some inquiries, such as that into the fifth terminal at Heathrow, go on for years. Despite the enormous cost of the T5 inquiry, we all know what is going to happen in the end. Clearly, local people need to be able to put their case. Perhaps they could be funded through the planning system so that they can get the kind of barristers that some of the big developers use, but let us see an end to those large and long-winded public inquiries.

I welcome the planning role for the regional development agencies. The Minister is right--the regional conferences will enable many of the problems to be dealt with at the regional and local level. That is the way to operate. Instead of having Whitehall dictate what should happen in our regions, local people should work together.

Finally, I commend the work of the urban task force. The Government were right to put someone as eminent as Lord Rogers into the chair of the urban task force. He is one of the foremost architects of this century. He is committed to ensuring that we celebrate our towns and cities. The task force is going to our major towns and cities to take evidence and to listen to the good practice of local Labour councils. That is because all Labour councils have done good work. That having been done, the task force will produce a report that will enable us to have a good urban policy--that is something that we should support.

I look forward to receiving the task force's report because the key to protecting our green belt is to ensure that development occurs on brown-field sites in the cities. It is no longer a question of the bankrupt contest between town and city. The way to resolve these problems is to ensure that we examine ways in which our urban renaissance can be developed so that there will not be development outside urban areas. That is the best way to plan for prosperity and to plan for our people.

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