Select Committee on Communities and Local Government Committee Minutes of Evidence


Examination of Witnesses (Questions 125-139)


MR MARK LLOYD, MR ROGER HOWES, COUNCILLOR ANGUS CAMPBELL AND COUNCILLOR KEN THORNBER

20 MARCH 2006

  Q125 Chair: Welcome to our first set of witnesses this afternoon. We draw to the attention of the Committee that Mr Byles from the Association of County Council Executives has not been able to come. Would you like to introduce yourselves?

  Mr Howes: I am Roger Howes from Nottinghamshire County Council, Regional and International Manager.

  Councillor Campbell: Angus Campbell, Deputy Leader, Dorset County Council.

  Councillor Thornber: Ken Thornber, Chairman of the CCN and Leader of Hampshire County Council.

  Mr Lloyd: I am Mark Lloyd, Chief Executive, Durham County Council.

  Q126  Chair: Can we start with you, Councillor Campbell, because in the submissions of Dorset County Council you urge "a return to local authorities of powers that have been removed from them to regional level, particularly in relation to strategic land use and transportation, planning and housing." What evidence has your Council to put forward that view, and in what way do you think that the regional level of governance has been ineffective in those topics?

  Councillor Campbell: We did a bit of clear blue-sky thinking on this one when asked if there was a future for regional government, which is why we looked at it right from the beginning. There were various elements to your question, which I think will probably come up later on. We did talk for a long time on it in the last part, which says, "Where do you think regional government is failing the system?"—so I do not know how long you want me to speak about that.

  Q127  Chair: Not too long!

  Councillor Campbell: Quite! We feel that however you work regional government, if there is going to be regional government, then it should work on geographical boundaries, which are geographically based socially, economically, and historically if they can be; so that they are recognised by the people. We also recognise that the move—and quite rightly—is bottom-up as far as connecting with communities and the whole community planning drive is concerned, so that it has some connection with the people at the grass roots, as well as having a strategic focus, being big enough to have a strategic focus and being able to deliver. We think they all meet at the county council level.

  Q128  Chair: Can I ask the other witnesses whether they agree or disagree with that view, and whether they perceive there to be any role for regional government either in service delivery or strategic planning.

  Mr Lloyd: I sit here representing County Durham in the north-east of England and of course we have the experience of having been through a referendum on 4 November 2004 to judge whether the people of the North East wished to see an elected regional assembly put into place. My council supported that policy, but the people of the North East rejected an elected assembly on the basis of four to one, as John Cummings, Member for Easington, will know well. In that light, we do have a legitimacy problem with regional governments, but I have to say in a small region like the north-east of England there are a number of policy areas where it does make sense for us to come together with a view to having a coherent approach to governance perhaps or administration but not government; and we are working at the moment, as you will appreciate, on issues like spatial planning, transport and housing, and making some progress through the collaboration across different councils representing the constituents in the North East. I think, Chair, that we are different because of scale.

  Councillor Thornber: One of the problems for assemblies is that they lack capacity at the moment. The capacity in the South East, where I come from, has been provided by the county councils. As my colleague said, we are large strategic authorities and we are delivering locally. There is a problem of accountability too, Madam Chairman: 30% of the members of our assembly are non-elected, and the others are not elected, they are nominated—so there is that problem. There is also a problem of identification with a region on the part of people locally, and in the south east 8 million people are encompassed from Banbury down to Dover, almost to Bournemouth and so on; so there are those difficulties. There is tension between government officers and regional assemblies, and I am aware of those. All told, therefore, regional assemblies have not, in my view, added value to the process; they have added a bureaucratic level.

  Q129  Chair: Before bringing in Dr Pugh, are you speaking against regional assemblies or regional governance, and are you speaking in your role as Chairman of the County Councils Network or as the Leader of Hampshire County Council?

  Councillor Thornber: I am afraid the two have overlapped in my reply, Madam Chairman, but I am speaking on behalf of the CCN. The CCN speaks for our delegation collectively. I was inevitably focusing on the present, and that is regional assemblies, but with great respect I would advance similar arguments in terms of not being in favour of regional government. It is hardly the topic in our pubs and clubs, Madam Chairman, is it? The people intuitively in the North East set their minds against it.

  Q130  Dr Pugh: Would you not acknowledge that there is scope for regional decision-making? In fact, would you not actually welcome a degree of regional decision-making? Take for example a transport scheme that is wholly beneficial to a particular area that uses an enormous amount of available resources for that region, that will be validated and put forward or not: would you not sooner that was done by the region agreeing that that should happen, and that that project should be prioritised over others; or would you prefer the traditional method, when you get a big project emerging that spans many county councils, like a large road improvement? It used to be done by the Department for Transport looking at everybody's individual transport plans and saying, "this year we will do this rather than that". Would you not, as a group of county councils, or representatives of people in those areas, want to decide some things as a region for yourselves, with some resources, which you could not decide and do not normally decide in unitaries as things currently stand?

  Councillor Thornber: Madam Chairman, I think there is a difference between regional government and regional governance and partnerships. For example, forgive me drawing from the south-east, but all of the county leaders meet with their chief executives, and we operate almost as a virtual regional assembly, and it is that sort of co-operation which will involve unitaries too, which I think is the way ahead.

  Mr Lloyd: Post the North East referendum, 25 councils in the North East realised that we needed to bring in a different form of partnership to the way we worked together, and we have revitalised our Association of North East Councils. That is not just about county councils but also about the unitary and district councils in the North East. We are well able, as a collective, to make decisions on behalf of the North East, involving other partners. The advantage that that body has is its legitimacy. The council leaders sitting there are all elected, representing the people of the North East.

  Mr Howes: Certainly very much the view in Nottinghamshire is that regional organisations of any sort have to add value, and perhaps at times decision-making has been passed to the regional level more as a matter of, "it is time something else moved to the regional level". I am conscious that at the moment our police authority is meeting with Charles Clarke today, and they are expecting to be told that things will go regional as far as the police are concerned, when I think probably they would say—whether it needs to be said—it should be left at county level. Why should it go regional? What is the added value for that particular level? A point was made earlier about regional funding, and the question was asked whether it would be a better idea that things passed down to the regional level to assess priorities. We have got an example in the East Midlands whereby through the process that has been established, it has worked against us because we have the A46 between Newark and Widmerpool, which is Nottinghamshire; it has a dual carriageway in Lincolnshire on the A46, and then in Leicestershire we have this awful part in between of single carriageway, with a horrific road accident toll. It was at the stage of being ready to go forward under the old system, and designs were sorted; now it is going under regional funding procedures and because of its cost it would take up three years' funding of this regional funding.

  Q131  Dr Pugh: Is there a distinction between a regional partnership and a regional decision-making body? Could you not say a regional decision-making body is intrinsically more dynamic because if all the partners do not agree to something in a partnership it does not happen; on the other hand, if you have a body of some kind that has to make decisions it has to make decisions at the end of the day and things do happen? A partnership moves as slow as the slowest member of it, does it not?

  Mr Howes: I can see where you are coming from, but with the regional assemblies at the moment you have two-thirds local government and one-third of other members of different stakeholders. Then you can have issues where in fact if, for instance, the local government side may be split for one reason or another—you could be talking about key strategic planning decisions even coming down to levels of housing and so on—the stakeholders who have not got any form of political accountability will be effectively making the decision.

  Q132  Mr Olner: The title of our inquiry is: Is there a future for Regional Government? Mr Lloyd has very aptly said that in the North East a huge question mark has been answered, and since then it has not gone forward. What I want to tease out of you is this. In that regional network is there now a formal role for sub-regional government? I understand what Dr Pugh said about the partnership issue, but should we not be putting on the table something for strategic sub-regions within regions? If that strategic sub-region is based on the city region, how wide should they be, and how all-embracing should they be in relation to peripheral towns to the city?

  Councillor Thornber: The sub-regional authority certainly within shire counties is legitimately and democratically the county council. So far as city regions are concerned, I do not have a great deal of experience apart from certain suggestions in Hampshire; but I know intuitively that people living in what we might call the hinterland around a city would not want to be absorbed within the city region. I do think there are ways of increasing productivity without going to the level of city regions. I do not think productivity is addressed by taking in the hinterland. There are, after all, social responsibilities which districts and indeed counties have—not just economic ones. I really ought to invite Durham to comment on this through you, Madam Chairman.

  Mr Lloyd: The Office of the Deputy Prime Minister believes that in the North East there are two city regions—Tyne & Wear and Tees Valley—so following the logic through that has been promoted you would suggest therefore two forms of local government in the north-east of England. I would contend that the city regions of the North East overlap, and it is not as simple as to draw an administrative line on a map. If we take, for instance, Durham City in County Durham, it is a key component of both the Tees Valley and the Tyne & Wear Economic Development Plans, because it contributes to both, in the light of the fact that it has a world-class university. City regions are not new initiative constructs, and I would argue, and I think many of the academics that have looked at the issue would argue, that city regions have fuzzy boundaries, dynamic boundaries that change depending on the issue you are looking at. If we are concerned with job growth in a particular urban area, then the travel-to-work pattern would determine the geography. If we are looking at shopping, it would be a different geography, and recreation would be another again. I do not think city regions provide a new form of government, but they do provide helpful development tools for us.

  Q133  John Cummings: Do you see cities like Durham being disadvantaged if city regions are implemented widely because of the geographic location and the dynamics of the county?

  Mr Lloyd: Indeed. The short answer is that I do see towns that are not at the core of this urban policy being disadvantaged. Indeed, the original question talked about peripheral towns, and that is just what they would be, which is why I have some reservations about the notion of building government on city regions.

  Q134  John Cummings: Do you believe in general that the needs of small towns on the periphery of cities get enough attention under the present system?

  Mr Lloyd: Chairman, if we pursue the notion of urban-focused policy, the answer to Mr Cummings' question is "no"; the peripheral towns will not get the attention that they need. What we need is to make sure that we have got a combination of urban and rural policy that ensures the success of our cities—which we all welcome—and which is not at the expense of other places. We need a balanced portfolio of development.

  Q135  John Cummings: Are you saying that the present conception of the city region is basically flawed in relation to the attention it gives to more rural communities?

  Mr Lloyd: I share a concern about the policy development, yes.

  Q136  John Cummings: Is that view shared by the County Councils Network and other members?

  Mr Howes: I have just had an example, which we gave in our submission. For instance, our area of central and north Nottinghamshire, a former mining and textile area that is going through a lot of regeneration, is between the Nottingham city area and the Sheffield city area. If you were to have city regions, the danger is that there would be a policy vacuum between the two. In other words, they would not be fully part of one, not fully part of another; and needing their own particular policies to regenerate it. At the moment this is happening through sub-regional partnerships, but a sub-regional partnership specifically for that area trying to drive forward regeneration. I would also add, as a separate but linked point, that when you go further south in Nottinghamshire around the Nottingham area itself, you then come up against overlapping hinterlands of Nottingham, Derby and Leicester—as mentioned by Durham. We recognise that and we are taking a positive approach to that, the strategic authorities of the three cities of Leicester, Derby and Nottingham; and the three counties of Nottinghamshire, Derbyshire and Leicestershire are driving forward initiatives where there is added value for looking at the three cities as a whole.

  Q137  John Cummings: Have you conveyed these concerns to the ODPM; and, if you have, what sort of response have you received?

  Mr Howes: We certainly conveyed the fears. I think they are at the stage where they are taking in a lot of information. We had the Minister around, and we made points to him about the advantages and the difficulties that would need to be overcome. They are at the stage of listening.

  Councillor Thornber: I understand, Madam Chairman, that we have not had a response.

  Q138  Mr Hands: It sounds that the four of you are all opposed to city regions, or the concept of them, but possibly for slightly different reasons: Durham because they would prefer to have the north-east region; and the other three of you because you prefer the current status quo, county councils and so on. Most of the arguments that you have come up with against city regions sounded like, so far, ones of definition and practicality—how you define a city region, and whether you could define it in different ways for different issues, whether you are talking about housing transport or whatever else in terms of infrastructure. Do you see any major constitutional or other issues that in your view militate against the concept of city regions? What are the other arguments against them?

  Councillor Thornber: I would say that perceptions are very important in the acceptance of new structures, and those people living in what we have termed the hinterland would regard their legitimate democratic accountabilities as being diluted, and their interests almost therefore not sufficiently taken into account. There is the dilution argument for the present structure, which would inevitably be impacted upon, whether it is county or whether it is boroughs or district.

  Councillor Campbell: Can I go back to an earlier question?

  Q139  Chair: If you are brief.

  Councillor Campbell: It is connected. Most of these things are connected. The point about how authorities would need to get together anyway to make decisions—I can see where it is coming from, but the problem we have particularly in the South West, which is the biggest region, is that every region like that has edges to it, however arbitrary it is. The people we would need to communicate with are not necessarily the ones that are in our region. That is one reason that led Dorset to its conclusion that it did; that Regional Government should be set at county, unitary level, and then move outwards, working with its neighbours, because that makes more sense, both historically and socially as far as the geography is concerned, to getting things done.


 
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