Select Committee on Office of the Deputy Prime Minister: Housing, Planning, Local Government and the Regions Minutes of Evidence


Examination of Witnesses (Questions 240 - 256)

MONDAY 8 DECEMBER 2003

RT HON LORD ROOKER, MISS MELANIE JOHNSON MP AND RT HON MARGARET HODGE MBE MP

  Q240  Mr Betts: You have just mentioned the whole problem of a range of different initiatives. In the paper which we had from South Yorkshire it said there was something like 50 different area initiatives tackling regeneration in the coalfields. Does not that mean, in the end, that we do not get a combined result, which is the effect of all the 50 initiatives together but many of them actually conflict and people do not get joined up together, organisations, Local Strategic Partnerships, spend all their time trying to do some co-ordination, which is almost impossible? Is there any way we can simplify this greatly and create almost one body and say, "There's the money, get on with it"?

  Lord Rooker: I shall certainly go back and ask some questions about that. If there is an area subject to so many income streams and initiatives, I have not heard a figure as high as that, I would want to know why we had not already done some simplification. That is absolutely barmy, that an area is subject to so many initiatives.

  Q241  Mr Betts: That is what they have had over the time they have been working with them?

  Lord Rooker: Some have come and gone, so that is okay, so they are not 50 initiatives at the same time. This has been the issue, I think, of trying to target the money. There is not a bottomless pit. By spreading it thinly we do not get the benefit, by targeting it we think we do. We are trying, I might add, within Whitehall, to stop having lots of new schemes with small grants, and things like that. I have had discussions with one of my colleagues in another department today in this respect. We want to try to mainstream as much as we can, and, of course, mainstream through the normal instruments, whether it is the local government or indeed the Regional Development Agencies, and, in due course, probably the Regional Divisional Assemblies. There will be a role there, in terms of redundancy of housing, to try to have a single pot in the regions. It is one of the purposes of that, to get that single pot with the housing investment programme for local authorities in the annual development programme for the Housing Corporation, to simplify, get the benefits of simplification and make sure we deal also with the small areas, like in the rural townships, as well as the larger urban areas. You have got to be careful, giving it to a single body which may have a blind eye to some of the smaller projects, because a quick fix on a big site looks easier, we have got to make sure we do not fall into that trap, but, by and large, I would want to simplify from where we are at the moment.

  Q242  Mr Betts: You talk about mainstreaming, and generally, of course, that is a good idea. If you are going to mainstream them into local authorities, can you make sure that they then mainstream it in the sorts of objectives that you want to see in the coalfields?

  Lord Rooker: Yes, this is the great snag, is it not? We are committed, in respect of our colleagues and partners in local government, to having fewer ring-fenced funds. On the one hand, we cannot say "Okay, we're not going to ring-fence the money" and then say, the next day, "Right, we want to know exactly which street you're working in, that you are meeting Government objectives." We cannot, Government, have it both ways, neither can the House, with respect, because, as you vote for money, for projects, you will want to see the end game for that money, you will want to see value for money, the Public Accounts Committee will want to see value for money on schemes. If you take the Neighbourhood Renewal Fund, for example, I was very surprised when I went to ODPM to realise that, it is paid over to local authorities, it does not have to be spent on neighbourhood renewal per se, it is their view how it is spent. They have got the floor targets and the indicators, true, we want to be able to check on that, and we are in touch with them constantly, but it is not ring-fenced as such. That gives them greater flexibility. Out of flexibility we get better value for money. They are on the ground, it is best that we in Whitehall are not telling them the minutiae of how we operate these schemes. Recently we made some announcements to unring-fence some other money that was going to local authorities, some of it in terms of homelessness. There is an issue there, of unring-fencing to local government. Then I trust, rather than a wing and a prayer, they will deliver what you want, in terms of central government, because we have got to go back to the Treasury at the end of the day and account for that money, did we get the outcome we expected. I think we have to be adults. We have a better relationship with local government than I think we have ever had in my experience in your House over the last 30 years, and there is a willingness everywhere I have gone to work in partnership, and they are convincing me so far that we can get value from money. We get the audited arrangements and we get the Local Strategic Partnerships operating, and so I am reasonably optimistic that we can end up getting better value for money by mainstreaming those. I am speaking at a conference on the very issue tomorrow.

  Q243  Mr Betts: I think local government may accept that there is a better working relationship between Government and themselves, but then also they say, from time to time, that it would be nice if government departments always worked together as well as they should. Do you think there is a case for a permanent cross-departmental working group to be established to deal with the issues of the coalfields, and indeed perhaps a lead minister appointed, to post together the various things which different departments are doing?

  Lord Rooker: If there are policy issues, of major changes of policy, the current committee structure seems to perform okay, in terms of getting agreement across Government. What it comes down to then is making sure that, as ODPM, we are in the driving-seat in the sense of trying to encourage and making sure that, our responsibilities, there is co-ordination across the piece. It is exactly the same with the Communities Plan launched by the Deputy Prime Minister in February, it is a Government plan. The Coalfields Programme is a Government programme, therefore it is our task to ensure that other departments take account of this in making their own spending decisions. When we start to regenerate the coalfields areas, with new jobs, houses are built, we know for a given number of dwellings you need a primary school, for another given number of dwellings you need a secondary school, that has to be co-ordinated with the Department for Education. We know for a given number of dwellings you will need a health centre, you will need a GP. That has to be co-ordinated from the centre. Then the people down on the ground, where it is the primary care trust, and at the regions and health and the various departments, as long as they know the people in Whitehall are working to a plan, i.e., in this case, coalfields communities regeneration, or the Sustainable Communities Plan, and there is a bit of overlap anyway, we can get their mainstream programmes bent into this plan for regeneration. It might look alright for a headline but it would not make any difference in the way the policy is delivered. If it is failing and there is a lack of communication, lack of co-ordination across Whitehall on this, then at the end of the day that is my fault and I will do something about it, if someone can point up where there is a real hole in the co-ordination. I cannot be fairer than that. I cannot offer a quick fix on this. Most of my time is spent particularly on the communities plan side of it, and less so on this, because I think the issues are working quite well. We are going to have more need for that, as more houses are built in the coalfields, it is true, and more jobs are generated, there will be this need for making sure there are roads, the Department of Transport, maybe the odd railway station, they did talk about Corby this afternoon, although not quite in this context. Then we will discuss it with our other partner authorities, where we try to pull them together, down at their level, at the regional level or the district level, all these other organisations, whether it is the Environment Agency or other such bodies, so that they know at that level there is a Government plan, i.e. to which all ministers are signed up, which the permanent secretaries are signed up to. I think it would be giving a false perspective if you said, "Give us a coalfields regeneration minister." If there were one I suppose it would be me. If there is a failure of co-ordination I would like to know about it because it is my responsibility.

  Q244  Andrew Bennett: Can I take you on to the housing question. Over two years ago, a lot of people, including this Committee, drew attention to the empty homes across a lot of the North of England. In the last two years, English Partnerships have been looking really fairly closely at the coalfield areas and they have now identified a significant number of empty homes within the coalfield areas. Some of the things the Committee has looked at are just as bad in the coalfields as we looked at in the North of England two years ago, so what are you doing about it?

  Lord Rooker: First of all, I agree with your analysis. There is an overlap in a couple of areas between the market with more Pathfinders, ie the nine areas—

  Q245  Andrew Bennett: Barnsley and Stoke, I think?

  Lord Rooker: Yes, that is right. South Yorkshire and Stoke, the North Staffordshire Pathfinder. I have been to virtually all the Pathfinders but I have not been to all the parts of all the Pathfinders. I was in Stoke and Newcastle-under-Lyme the other week for the second time this year, and you can see, you know yourself, when you are taken around there, you can recognise the Coal Board houses. First of all, most of them are empty, derelict, sometimes burned out, and you wonder why they have not been cleared anyway, because they are an eyesore. I regret to say, the planning for some of these issues, the master planning and then the planning for the programmes for replacement takes over, and, of course, the ownership is not always straightforward. You have to remember the spivs moved in on this lot and they were bought and sold at auctions in London and at corner pubs elsewhere, and this caused mayhem, and, of course, this has been highlighted in the last few years. I think what was said earlier on, and the Deputy Prime Minister launched the plan in the East Midlands, at Meden Valley, to look at a project we have got there, from which we hope we will be able to learn some experience to use elsewhere. In the Pathfinders, work has gone ahead, several million pounds have been allocated already to each of the Pathfinders anyway. We will have their strategic plans for those we have not had at the moment, which are the two you mentioned anyway, by next spring, to release the rest of the money. There is half a billion pounds over the three years in the housing Pathfinders to get cracking on this, and, like anybody else, I have been chivvying. I want the scaffolding, I want the bull-dozers, I want the hoardings up, I want the action and I want the jobs, because it has got to be jobs-led as well as housing. It is not just a housing project, the housing is the thing which people see and recognise more easily. We have to clear some of the stock probably quicker than we have done so far, but clearing it and leaving it empty for a couple of years probably sends a signal to the local community they do not know what they are doing. You do send mixed messages, if you are not careful.

  Q246  Andrew Bennett: What about actually having at least one or two more Pathfinders, if you are saying they are going well, in some of these coalfield areas?

  Lord Rooker: The nine were designated by Stephen Byers, just before ODPM was launched. I do not think we have got plans for any more. Our objective, with the nine Pathfinders, by the way, is to learn the lessons to stop other areas needing Pathfinder status.

  Q247  Andrew Bennett: We have identified already that there are some bits of the coalfields which have exactly the same problems, so if you are not going to set up a new Pathfinder, what about English Partnerships, they have got some money, why not let them diversify rather more into housing, in some of these areas?

  Lord Rooker: As you heard earlier on,—

  Q248  Andrew Bennett: They were singing your praises.

  Lord Rooker: They were, were they not, without any prompting on my part, I have to say. I felt quite embarrassed. The fact is, they are a class organisation. They are our lever for change, the ODPM. As a government department, as I have said to your Committee before, we ourselves do not build or clear houses, we are ODPM. Our instruments for change are two, the Housing Corporation and English Partnerships. They have got their remit, they are all professionals, we do not have any day-to-day interference, and we have given them far more flexibility than they have ever had before, they know what the big picture is, particularly in the Sustainable Communities Plan.

  Q249  Andrew Bennett: Do you think they can get on with it, in the same way as the Pathfinders are doing it?

  Lord Rooker: If that was their view, that for some of their areas, with their resources, they thought they could make an impact which fitted in with the overall big picture, I for one would not be stopping them, far from it.

  Q250  Andrew Bennett: You have talked about the Meden Valley and the special purpose vehicle to do work there, but you mentioned also this question about private landlords. Are you going to give us a guarantee that local authorities will be able to license landlords in all these areas of market weakness?

  Lord Rooker: The licensing of private sector landlords will be at the discretion of a local authority, subject to the approval of the Secretary of State. I cannot conceive of any local authority coming to the Deputy Prime Minister, or Keith Hill, in that case, and saying, "Look, we've got a problem in this area, because it's coalfields, where the spiv landlords are in." The very purpose for licensing private landlords was born out of the housing renewal areas, although the legislation—which I do not think has been published yet but it will be published shortly, because I think you have got the Second Reading before Christmas probably—in the Housing Bill is that it is nationwide. A local authority, anywhere, can make a case for a street, or part of a street, to be licensed, if it is based on either anti-social behaviour or other factors, it can make the case. I have no doubt in my mind that local authorities will be giving extra powers. Also, of course, with what is happening in your House today and tomorrow, which is the reason Yvette could not be present, because she does this on a daily basis, the coalfields issue, is that the extra powers to facilitate the ease of compulsory purchase will be placed into the Housing and Planning Bill. We have taken the opportunity, obviously, with the carry-over, to make the Bill stronger, in this respect, to give more powers to local authorities. The answer to your question is, yes.

  Q251  Chairman: Will the local authorities be likely to have the power to license a particular landlord, as opposed to a particular area?

  Lord Rooker: Yes, I think it is. The idea, of course, let us face it, to license the landlord is to drive the crooks out of business, let us not put too fine a point on this. It may be that the landlord cannot be licensed, the manager gets the licence because he is not a crook, where a spiv is a rip-off merchant causing mayhem in the community and therefore can manage it differently. I think there is a fair degree of discretion for the local authority to license in an area maybe all the landlords in a street. Of course, the good landlords, who have good relations with the local authority now, are not going to object to this, because it is the others giving them and their industry a bad name.

  Q252  Chairman: I think my point was that you may have a particular landlord who has a number of properties, in different areas, each one of which is giving problems, so it is the individual rather than the area?

  Lord Rooker: Let me put it this way, the House has not had the legislation yet, so we have got plenty of chances for amending it. I would like to think that the legislation will be flexible enough that, if there were the case of a national landlord, operating in different parts of the country, who had a reputation for running the properties badly, where there was a reasonable amount of anti-social behaviour, housing benefit fraud and other such matters that caused the licensing in the first place, we could target that landlord. It may be that we have to target the areas where they operate, but I do not think the good landlords will object to that.

  Q253  Mr Cummings: Minister, are you making any representations to the Department of Trade and Industry to have the question of mineworkers' compensation for coronary, bronchitis, emphysema, resolved as speedily as possible?

  Lord Rooker: I am not aware of what the delays are at the present time. If there are current issues regarding mineworkers' compensation, I know it was a large programme and it was delayed when it started. I am not up to date with the actual payment levels at the present time. I am well aware because I was in the House at the time, when many of the debates and the pressures on the Government were taking place. I have not received anything, as far as I can recall from my brief. I have got stuff on the pensions but, in terms of the compensation for illness, I have not seen anything that is negative about that. If there are issues, I would be happy to take it up. We will ask about it, obviously, as you have raised the question.

  Q254  Mr Cummings: I would not want to press you this afternoon, Minister.

  Lord Rooker: Do not worry. You have asked the question. We will check with the DTI about how it is going, so you can have a note on it.

  Q255  Andrew Bennett: It is an absolute disgrace. I do not have much of the coalfield population, if you like, but I have got cases where people have died and the money is going to go to their grandchildren. If the money goes out now, it goes to an elderly miner who is in poor health and they spend it in the coalfield area, because their health does not let them go to Spain, or anywhere else, to spend it so they spend it locally. You get two hits. You give some compensation to the person who suffered and you get it into those coalfield areas. When it is paid out years after the person has died, it goes to grandchildren in the south of England and they will spend it anywhere other than the coalfields. We have got some figures here, which we can give you, that it is going really pitifully slowly. The only people who are benefiting from it at the moment are the lawyers dealing with it?

  Lord Rooker: I regret that. I accept completely what you say. I will make it my business, here on my own, as it were, to check with DTI why it is going, in your words, pitifully slowly. I take your point exactly that money paid out later, after the miner sadly is deceased, is less likely to be spent in that area than it would have been. Let us face it, that was not the purpose of the pay-out in the first place, by the way.

  Q256  Andrew Bennett: They are getting a double hit?

  Lord Rooker: I know. It is an unintended consequence that the payout to the miner is spent in the area, or we hope it will be spent in the area, because it is not going to solve the miner's ill-health problem, it is not for that purpose, it is not going to do that. At least, in terms of liveability, the fact is the state has compensated for the way they were treated badly in the past. It makes you wonder why people wanted to fight to keep their jobs to go down the pits, because it was such an ill-health industry. That is not because it is a bad industry, you can mine coal quite safely. The fact is, we all know that in the early part of the century the structure was set up so it was an ill-health industry, because health and safety took a very low priority, and not a lot of that changed in 1948 either, as we know. We were late coming to this and it is up to our generation to pay the consequences of that by compensating those miners.

  Chairman: Minister, I think your timing is impeccable because I think we are getting a buzz for a vote. We know that you have been here all afternoon and we do appreciate your coming here to give evidence. As a colleague once famously put it, we congratulate you on your indefatigability. Thank you very much.


 
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