Mr.
Lilley: The right hon. Gentleman is correct. I intended to
catch the Chairman’s eye on the previous clause, but I am having
to try to relate my remarks to this clause instead. His point is well
made and well taken, and I withdraw my epithet. None the less, a
question still arises: does the clause significantly change the
Secretary of State’s powers to intervene in the kind of
circumstances that I
described?
Ms
Winterton: Let me set out the range of the powers in the
clause. There are powers that enable the Secretary of State to give a
steer to the regional authority through guidance and regulations,
powers that relate to the Secretary of State’s role and
responsibilities at specific stages of the strategy-making process, and
reserve powers as a fall-back. As I said earlier, there are existing
reserve powers in respect of the preparation of regional spatial
strategies. The Secretary of State has not had to resort to them, so
obviously did not on the occasion that the right hon. Member for
Hitchin and Harpenden mentioned. These wholly new powers apply to the
leaders’ board, which is a newly constituted
organisation. Obviously,
it is difficult for me to comment on the case to which the right hon.
Gentleman refers. If he wants to write to me about the circumstances, I
am
more than happy to have a look at it. However, as I said, the existing
powers are in section 10 of the Planning and Compulsory Purchase Act
2004. I
do not think that the powers set out in this clause would be used
excessively because, as I tried to explain, that is not what we want.
We want regional strategies to be drawn up, but we need a reserve power
in case it is necessary to attend to exceptional
circumstances. Question
put, That the clause stand part of the Bill.
The
Committee divided: Ayes 8, Noes
7.
Division
No.
46] Question
accordingly agreed to.
Clause 76
ordered to stand part of the
Bill.
Clause
77Revision:
supplementary Question
put, That the clause stand part of the Bill.
The
Committee divided: Ayes 8, Noes
7.
Division
No.
47] Question
accordingly agreed to.
Clause 77
ordered to stand part of the
Bill.
Clause
78Implementation Question
put, That the clause stand part of the Bill.
The
Committee divided: Ayes 10, Noes
5.
Division
No.
48]
Question
accordingly agreed to.
Clause 78
ordered to stand part of the
Bill.
Clause
79Regional
strategy as part of the development
plan Question
put, That the clause stand part of the Bill.
The
Committee divided: Ayes 8, Noes
7.
Division
No.
49] Question
accordingly agreed to.
Clause 79
ordered to stand part of the
Bill.
Clause
80Duties
of regional development
agencies 6.30
pm
Mr.
Jackson: I beg to move amendment 91, in
clause 80, page 56, line 31, at
end insert— ‘(1A) The
functions referred to in subsection (1) above shall include its duty
under subsection (3) of section 6B of the Regional Development Agencies
Act 1998 (Delegation of functions by regional development agencies) to
propose delegations of certain of its functions to one or more local
authorities in its
area.’.
The
Chairman: With this it will be convenient to discuss new
clause 14— Delegation of functions by regional development
agencies— ‘(1) The
Regional Development Agencies Act 1998 (c. 45) is amended as
follows. (2) After section 6A
(delegation of functions to the Mayor of London and the London
Development Agency)
insert— “6B
Delegation of functions by regional development
agencies (1) Subject to the
provisions of this section, a regional development agency shall have
power to arrange for the discharge of any of their functions by a local
authority within their area or jointly by a group of local authorities
within that area. (2) For the
purposes of this section, a ‘function’ shall include any
part of a function, or any function or part of a function which is
exercisable only in relation to part of the area of a local
authority.
(3) A regional development agency shall within six
months of the coming into force of this section and at yearly intervals
thereafter propose such delegations for the discharge of any of their
functions by a local authority within their area, or jointly by a group
of local authorities within that area, having regard to the
desirability of maximising such
delegation. (4) Whether or not
a regional development agency has made proposals under subsection (3),
the Secretary of State shall have power to direct an agency to make
such delegations as he may determine, after taking into account any
representations made to him by any local authority in the area
concerned, or by the
agency. (5) Two or more local
authorities to which any function has been delegated under this section
may arrange for it to be discharged by them jointly or in accordance
with any executive arrangements agreed by them from time to
time.”’.
Mr.
Jackson: We are on the home stretch, Mr.
Illsley. The
proposals could be designated as the Local Government Association new
clause and amendment. They arise from the delegation of powers from
RDAs to local authorities, which is important, and flow from discussion
and consultation on the sub-national review, which we have mentioned.
The Minister often prays in aid the panjandrums of the LGA. We are
grateful for their leadership in local government, but they do not
always agree with the Minister and the Government. On RDA delegation,
the briefing that the LGA provided on Second Reading specifically
stated: “It
is disappointing that despite the Government’s assertions that
the Bill is designed to empower communities there has been no movement
to allow elected councils to have increased powers and funds to effect
real difference in their local areas, particularly during the
recession.” The
LGA makes a number of key points in support of the new clause—I
referred to this when we talked about regional government generally,
but it nevertheless merits repetition. Its research showed that
although there is a national
economy, “there
is no evidence that the current Government office boundaries define
‘regional’ economies. Below the national level, markets
for goods and
services” and
so
on “operate
at sub-region and city region level.”
The LGA also makes the
point that there are
“roughly 50
‘sub national’ functional economic areas in
England” alone,
and
states: “Many
decisions...need to be taken at sub-regional, rather than regional
level...Our most recent research focuses on the differential
effects that the current recession is likely to have on local
economies. The research suggests that in the current economic climate
it is more important, not less, to delegate decision-making and funding
to the level at which it can most effectively be
deployed.” That
point was also made in the Lords. The LGA specifically mentions what
the Select Committee on Business and Enterprise has said about the need
to delegate functions. There has been some debate and contention about
whether it is necessary to be exact in specifying all the functions and
responsibilities for funding that could be delegated to local
authorities.
Mr.
Goodman: Does my hon. Friend agree that despite all the
Divisions, we now have a chance to achieve consensus on this matter?
Were the Minister minded to look favourably on the amendment, we would
be able to look favourably on clause 85, which sets up the
bare
bones of economic prosperity boards, leaving aside all the other clauses
that give her a lot of centralising power. In that way, the Government
would have the boards, the LGA would have its amendment and everyone
would be happy.
Mr.
Jackson: My hon. Friend leads me to finish my peroration
via a crescendo of consensus. I hope that the Liberal
Democrats—our doughty fighters for Cornwall—are minded to
support
us. There
is consensus on this matter. The Business and Enterprise Committee has
said, specifically with regard to RDAs and the Bill, that there is a
need
for “the
role of local authorities—and of the communities they
represent—to be strengthened”.
If the Minister is
truly committed to the devolution of power from RDAs to local
authorities, which has a degree of consensus in the
Committee—the opinion is prevalent among Government and
Opposition members of the Committee—I hope that she will see fit
to accept the amendment and the new
clause.
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