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


Examination of Witnesses (Questions 180-200)

2 FEBRUARY 2004

MR CHRIS BROWN, DR ROB PICKARD, MR GEORGE FERGUSON, MR MIKE HAYES AND MR JACK WARSHAW

  Q180 Sir Paul Beresford: Would you feel that there are examples of exactly the opposite, in other words the cost is higher just because of the listed building?

  Dr Pickard: Yes, the costs can be higher certainly, but on the other hand the specialist skills you are going to have and the jobs you can create from re-using the heritage can be very significant. It is also being shown in a number of places where public money has gone into the heritage, that you have levered quite considerable numbers greater from the private sector in terms of investment. So there is an economic benefit from investing in the heritage.

  Mr Brown: May I answer that from my practical experience? We invest money to get returns for policy holders and almost invariably—there will be the odd situation where it does not apply, but almost invariably—we will look to keep not only listed buildings but other unlisted but attractive or historically interesting buildings in the area, because we think it adds value. We are a long-term investor, so we invest over 10-plus years.

  Mr Hayes: Very often there is a gap in funding and the public sector needs to come in and meet that. The value is way beyond the monetary value of the real estate created, a huge community value placed into heritage-led regeneration and the whole issue of the value in terms of sustainability as well.

  Q181 Sir Paul Beresford: What is the attitude of the institutional funders?

  Mr Hayes: The institutional funders will be risk averse by and large and will be looking for a return. It is very much the public sector role to bring in the private sector funding we can and the private sector skill that we can and where there is a gap, to meet the gap to the benefit of the wider community.

  Mr Ferguson: My experience and the experience of a  lot of our members is that conservation-led regeneration does add value. That is a generality, but it is a generality which would be true, whether it be in Leeds, Liverpool, Chester, Bath, wherever it is in general. You can think of Leeds, which I know Mr O'Brien is familiar with, take the Calls area, the fact that was a conservation-led regeneration scheme, or take the Victoria Quarter which helped change the centre of gravity of Leeds in terms of its retail because of that historic value. The Prudential who did that recognised the added value that brought. There is another one in Leeds. I do not know why I keep thinking of Leeds, but it is a very good example of a city you do not necessarily think of as an historic city, but which is using history in schemes like the brand new glass covered scheme in the middle of Leeds which has the SAS-Radisson Hotel in it. It is using historic buildings in a very creative way, together with contemporary architecture. I have absolutely no doubt that those all add value. If you look at the sort of value which Urban Splash have managed to squeeze out of schemes, I know that they have given evidence. We happen to be working with them on a scheme and they squeeze the value out of schemes by using that added character. Sometimes you cannot get that added character in a new scheme, simply because historic buildings break current regulations and you cannot. There is a need for a look at how we break rules, I am talking about planning and building regulation rules, in order to get some of the excitement, charm, sense of place that one gets in historic schemes.

  Q182 Sir Paul Beresford: I know this is a very broad question to ask, but could you touch on the risks you feel are specific to this type of scheme involving heritage compared with others?

  Mr Ferguson: The biggest risk is delay. You are right about the institutions. The institutions are extremely conservative in terms of the way they approach things. What has happened with the institutions is that they get advised by the commercial agent, who advises them not to take that sort of risk, therefore they advise commercial agents in reverse. It is a circular argument which leads to a very conservative way of thinking. The biggest single risk is the question of the time it takes and the time is often a factor of the quality of the application. If people take the right decisions early on and get the right advice and put design high on their agenda and knowledge about historic buildings high on their agenda, they are more likely to get a quick result. Let us not disguise the fact: dealing with historic buildings is a longer process, is almost bound to be a longer process than on a virgin site for instance.

  Mr Warshaw: It is vitally important to realise the import of George Ferguson's last comment. It is so often the case that neither the applicant, nor the applicant's team, nor the local authority knows sufficient about the building or even the area in question to be able to justify their proposals on the one hand or be able to judge them intelligently on the other. The application therefore becomes only the start of a longer process which should have been undertaken before the application was put in.

  Q183 Sir Paul Beresford: We can all think of some superb examples, and you are a past master at them, of a paint brush across a screen and we just see this glowing building, but in a percentage of cases one would suspect that really what should happen is a bulldozer through the building. I am thinking of some of the 1950s and 1960s buildings. Would you agree?

  Mr Ferguson: There are bound to be some cases where either a building has got beyond sensible repair or the situation has changed, its circumstances have changed. I do believe that it is right that if a building is judged to be listable for architectural, esthetic, historic reasons, there must be a presumption in favour of its retention. Therefore the onus is on those applicants and their architects to prove that they can do better. That is the whole thing. If you can design a dramatically better building or dramatically better—and I do mean dramatically better, not just marginally—than exists there, then there must be a case for removal of a listed building.

  Sir Paul Beresford: I shall not mention my gasometers again.

  Q184 Chairman: Let us try to get Mr Hayes' vigorous nodding on the record. You would agree.

  Mr Hayes: Yes. I just wanted to recount an occasion when, as the director of planning, I applied for planning permission to demolish two Georgian houses in Liverpool, owned by the city council. That went to public inquiry and the inspector decided they ought to be demolished. The reason for our case was that they were totally shot, they were derelict and there was no feasible way of seeing them brought back into use in the market at that time.

  Q185 Sir Paul Beresford: I am tempted to touch on my gasometers again. Since there is a review of the way in which English Heritage is approaching these sorts of matters, what would you suggest which might actually help? Should the system of delisting be speeded up?

  Mr Ferguson: There should not be a system of delisting. Delisting should only be applied where there is a real circumstance for the removal of a building. I cannot see the point in having a general delisting programme.

  Q186 Sir Paul Beresford: All right: procedure. I will change the word. English is my second language.

  Mr Ferguson: No, no; I know exactly what you mean. What I mean is that the procedure is bound to entail you jumping through certain hoops, it is bound to be quite protective.

  Q187 Sir Paul Beresford: If you were a developer sitting there with a 1950s building which you have decided has to come down, the local authority has decided has to come down, everybody seems to feel so, are the hoops too long, could they be shortened, could there be a more straightforward way of doing it?

  Mr Ferguson: As architects we are often frustrated by the planning and the listed building consent, the length of time it takes. We would not want it to be sped up to the extent that it compromises the solution. It is a matter of getting the balance right. If there is real unjustified delay in the case of some planning permissions or things which have been dealt with by local authorities, and I can point to examples now, one I am dealing with where there is no objection, absolutely no objection, it is agreed that it is okay but it has taken nine months, one just wonders what on earth is happening. That is not a delisting case that is simply a listed building consent.

  Mr Warshaw: Let us try to get this absolutely straight. The criteria for delisting are simply that on the one hand wrong information was given which formed the basis of listing in the first place, or, something has happened to it since it was listed in effect to take away the reason for listing. Otherwise, you simply apply for listed building consent to demolish and you use those criteria as something to justify the demolition.

  Chairman: Thank you for that clarification.

  Q188 Andrew Bennett: Can we just go through the planning process? If something is listed or in a conservation area, how far do people putting together a scheme really have to spend a lot more money up front before they get an idea as to whether the scheme is a runner or not?

  Mr Warshaw: I believe that if enough is understood about either the building or the area in question beforehand, there should not be a significant amount of money which has to be spent up front to put together any scheme.

  Q189 Andrew Bennett: You think they should be able to get outline planning permission rather than having to go for a detailed one?

  Mr Warshaw: If a conservation area appraisal has been properly carried out and the opportunities, the negative parts as well as the positive parts, really well identified and the urban design work part of the system and all of the briefing and development master planning work actually carried out up front, it is not quite the same as an outline planning permission, but it amounts to a very positive steer about what should be acceptable at a particular location.

  Dr Pickard: One of the problems may be to do with the bureaucracy in that at the present time there are many different permissions, consents. You may require listed building consent or planning permission. If you are on a site that is within a conservation area and there are unlisted buildings, conservation area consent will be required for demolition of such buildings. It could also have an ancient monument on it. The ODPM is now looking at the simplification, the possibility of unified consent regimes, where matters could be brought together. That may assist to speed up the process.

  Mr Brown: A quick comment from me about practicalities. We are doing regeneration in conservation areas all over the country. The reality in the present system is that you can get an outline planning permission in a conservation area, but the resistance you will get from local authorities varies from place to place and more or less at random. I take very much the points which have been made before, but it seems to me that for a 20-year regeneration programme over a 20-acre site comprising maybe 40 or 50 listed buildings, a detailed consent is just not feasible.

  Mr Ferguson: What should accompany that outline permission is a strong master plan and a design statement and the master plan and the design statement should be judged and agreed and referred back to. That does not mean there cannot be improvement, but it should be seen as a defence against what we have seen happening, which is a slightly cynical use of the outline planning permission, to excite people with a vision and then retreat into the dull and the unimaginative. An outline planning permission concerns a lot of authorities, who feel that once they have given it they can be held to ransom by developers and I understand that concern. It is a concern of ours that some of our best architects are used at the early stages for so-called trophy architecture and are then replaced by less good designers, some of whom may not be architects.

  Q190 Andrew Bennett: You are telling me that good practice is possible but that it does not always happen. Is the new planning legislation going to make it easier for good practice to happen or is it not going to make any difference?

  Mr Ferguson: It is going in the right direction. It is a more transparent process, it is definitely referring very strongly to sustainable development, it is encouraging just what we are talking about in terms of conservation-led regeneration, it needs very strongly to signal the importance of good design, which it fails to do at the moment and we are hoping that this will be incorporated.

  The Committee suspended from 5.30pm to 5.40pm for a division in the House

  Q191 Chairman: Would you care to continue?

  Mr Ferguson: I was particularly emphasising the need to install design into the Planning Bill. It has been accepted by government in the House of Lords and by Lord Rooker that this is an unanswerable case, that the matter of design should be included in the Planning Bill and it sounds as though it is a matter of how. We believe it should run alongside sustainability as an equal case to sustainability and that it should be defined in the planning guidance rather than in the Bill itself, but nevertheless mentioned and emphasised in the Bill. I say this very strongly, because it applies so much to listed buildings and conservation areas and the matter of the repair and care of our historic buildings cannot be separated from this whole question of the importance of design.

  Mr Hayes: Two points about upcoming legislation. One is that I hope the new local development framework concept at local level will enable the planning system to be much more at the delivery end and much more on the front foot. The great thing it does is separate strategy from local delivery. The concept of area action plans, which will allow local authorities to work with partners and with communities to join funding regimes and the like, to set up regeneration schemes in advance of developers coming along seems to me to be potentially a very, very positive move. On a more general front, an upcoming best value performance indicator in relation to the quality of the planning process, requiring local authorities to state whether they have urban design skills and conservation skills, is also absolutely, in my view, a move in the right direction.

  Q192 Chairman: May I move to the question of who benefits from heritage-led regeneration? Mostly it leads to higher property costs, so it could be argued that the benefits are only to those who can afford to move into such communities. Is this not just about gentrification?

  Mr Hayes: It certainly does not have to be. The whole business of bringing historic buildings back into use is about finding end users. If we are clever about finding those end users in relation to community need, maybe housing need or whatever, it ought to be possible, particularly making greater use of CPO powers, to join up the resource of the historic building or the historic area and the end user who will not simply look at rising property value but social benefit and social good.

  Mr Ferguson: One hopes that successful regeneration brings greater prosperity with it. There is a certain balance between the fact that inevitably successful regeneration does inflate local prices. There is a sort of inevitability about that. You cannot escape from it. It does not necessarily mean mass yuppification. What compensates for it currently and is used extensively is the matter of affordable and social housing within private schemes. Our view is that that could be spread in a more creative manner rather than just simply loaded on the private housing developer and that it would be healthier to do so. A successful regeneration is not just a mix of building types and styles and old and new, it must also incorporate as much mix to our minds in the way of forms of tenure and types of use. It does seem strange to us that this whole burden is currently on the private housing developer.

  Mr Brown: There is a missing ingredient and that is affordable work space. We are getting much better at affordable housing, but we are very poor at affordable work space. It is normally the artists and the creative people who are first there and who are first to be pushed out by regeneration. It seems to me in policy terms quite easy to sort out. So long as those people can be assisted to get ownership early in the process and benefit from the rising values, or similar systems to affordable housing put in place, then we can maintain that mix, which we actually value. Most people do not like sterilised, gentrified areas.

  Q193 Chairman: May I ask RICS specifically? You make reference in your evidence to the notion of the RDAs and EP having historic environment targets whilst English Heritage should have regeneration targets. What do you have in mind and how might they be measured?

  Mr Brown: I would probably draw the comparison with British Waterways, who were given a regeneration mission in 2001, Waterways for Tomorrow. That transformed the way they did business. It seems to me that we heard some interesting things from English Heritage earlier. The number of people with private sector experience I counted from the response was one. It seems to me that if your target is to conserve historic buildings, you will fill your staff with archaeologists. If your task is to do with regeneration, you will start recruiting a wider skill base of people to allow you to hit those targets.

  Q194 Christine Russell: I just want to be absolutely clear what your views on the listing process are. You said at the beginning, quite rightly, that there should be a presumption of retaining listed buildings. At a later stage you criticised the length of time it can take to obtain listed building consents. If you were rewriting the listing regulations, what would you put in them? How would you improve the existing system.

  Mr Ferguson: The best way of improving it is to bring it all under one umbrella. We do have various forms of protection and I would hope that would be the way the DCMS lean towards bringing it under a single umbrella, although nevertheless you then have to have discrimination, you have to have the skills to recognise how many hoops you have to jump through, because you will still have the buildings which are now scheduled monuments, you will still have the grades of listing, you will still have conservation area consent, so they require subjective judgment in order to deal with them at the appropriate level and in the appropriate time.

  Q195 Christine Russell: I am assuming you would go along with the suggestion we heard this afternoon from English Heritage that there will be no more spot listing once the development process had started on a certain site. Yes?

  Mr Ferguson: Yes. What Simon Thurley said was absolutely right. Our clients want clarity; they want certainty, more than speed. That matters much more to them. What is incredibly destructive is to be led down a path which is suddenly stopped. We would accept that complicated planning applications take time. What we do not accept is that they zig-zag or go into reverse. That is what we need to avoid.

  Q196 Christine Russell: I assume that you will accept that a different set of skills and expertise is perhaps needed when you are working in an historic environment. Can I ask you to be honest about how good and extensive those skills are within your membership? It seems to me that in every town and city there is one specialist architectural practice which deals with historic buildings.

  Mr Ferguson: You have a very fine one in Chester.

  Q197 Christine Russell: I am just trying to tease out of you, as a professional—

  Mr Ferguson: It is true, as some architects have a greater experience of working with hospitals, some architects have greater experience of working with historic buildings. What is surprising, and delightfully surprising, is that you might get an architect who is seen as a very contemporary architect being extremely clever with an historic building. The Great Court of the British Museum is an extreme example, a rather large one. That happens very delightfully in very small buildings as well. It is undoubtedly true that some architects are better at handling it, have a better understanding of the historic environment than others. It will always be thus. Another thing is that there are some local architects who have a greater understanding of their place than those who are flown in from outside. Those are generalisations and I can show you really good cases which break all those generalisations.

  Q198 Christine Russell: You have no fears that those kinds of skills are on the decline in your profession.

  Mr Ferguson: No. Far from being on the decline, it is something we take extremely seriously and that there is more training for and the whole matter of accreditation which has come in recently, which has been forced on us by English Heritage. We accept the rigour that it brings will mean that there are more architects who are having, for their own economic good, to get more interested and au fait with historic building issues.

  Q199 Christine Russell: May I ask you for your comments on the reliance which appears to be happening on procurement through design and building contractors? How much of a risk does that pose?

  Mr Ferguson: It is something which personally I do not welcome. It has been a trend which means that we, as professionals, are put in a more awkward position in that our client becomes the contractor, whose real interest is to get out as economically as possible with as much profit as possible, instead of our client being the developer or end user. The preferred client is the end user, who is interested in getting the best quality result. That is generalisation, but one can see where the pressure is coming from. We are put in a position of being compromised more often when we are working for the contractor in some form of design and build situation, whether it be PFI or not, than we are when we are working for the end user or the developer themselves.

  Q200 Andrew Bennett: Preserving historic buildings is distorting history, is it not? Is there any justification for keeping the Victorian building unless you keep the pea soup fog to go with it, or the Elizabethan houses without the excrement in the street?

  Dr Pickard: The conservation philosophy most people working in the conservation world will accept, even going back to William Morris last century, accepts the change which occurs to buildings and we do not restore back to one period. We recognise that change is important and it is also part of the process of management that we can allow further change to occur, including the rehabilitation for new uses. We do not think about it as being at just one period, we think about it as a continuing history in a sense.

  Mr Hayes: It is something of a cliché, but it is using the past to build a future. That is the trick.

  Chairman: Do we really want to leave this session on a cliche«? It looks as though we are going to have to. Thank you very much for your evidence.





 
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