Amendment 14 seeks to make things more proportionate. Either the Secretary of State wants all councils to abide by the code or he wants to be selective. I am told that he wants to be selective, which makes me even more concerned. Amendment 15 seeks to delete the astonishing new subsection that sees the Secretary of State attempt to
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take editorial powers over all local government publications. The words in the Bill leap off the page, because it says he will take this power
“whether or not the Secretary of State thinks that the authority is complying with the code”.
The amendment would require the Secretary of State to publish evidence of a breach of the code.
Andrew Griffiths (Burton) (Con): I listened to much of what the hon. Gentleman said in Committee and followed his train of argument. Will he clarify whether he opposes the code itself or just its enforcement?
Andy Sawford: I am surprised that the hon. Gentleman did not pick this up during our three Committee sittings on this clause, as we made it clear that we support the voluntary code. We have been able to agree on one example where there is clearly a question as to whether the code is being flouted, and it is a great shame that the Government have not seen fit to take any action in three years to enforce the code.
Andrew Griffiths: Will the hon. Gentleman give way?
Andy Sawford: I am going to make some progress, because the hon. Gentleman spoke extensively on these provisions in Committee and made us more, not less, concerned.
Amendment 15 seeks to delete the astonishing new subsection I mentioned, to extend the time that the authority has to respond to evidence of a breach of the code to 28 days from 14, and, crucially, to require the Secretary of State to publish a report detailing his conclusions, having considered the response from the authority. That seems to us to be a very reasonable amendment that enshrines an evidential basis for taking any action in relation to the code. Amendment 16 seeks to delete the whole of proposed new section 4B, as we feel it is overly proactive meddling from the Secretary of State. We will seek to press amendment 15 to a vote. I hope that hon. Members on both sides of the House will consider it reasonable that if the Government must press ahead with these powers, there is at least a requirement for the process to be evidence-led, for councils to have the right to make representations and for the Secretary of State to publish his findings before any action is taken.
I end by asking the Minister, one more time, to try to persuade us that this approach is necessary by saying how he thinks that the Opposition, the cross-party, Conservative-led Local Government Association, Liberal Democrat-run and Tory-run councils all around the country, the National Association of Local Councils, the National Union of Journalists and my constituents in east Northamptonshire, who are so upset about the end of the Nene Valley News, are all wrong and he is right. Even if he still thinks he is right, can he explain, as someone who purports to be a localist, why it is right to impose central Government’s will? This clause is worthy of a crackpot dictatorship.
John McDonnell:
This is barmy. It is absolutely crackers that we are spending parliamentary time on this matter. I receive Hillingdon People from my Conservative-controlled local authority. On virtually every page, there is a picture of a smiling Conservative councillor pointing at something,
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standing on something or expressing some view. Interspersed with the smiling photographs is genuine information about what is happening in the local community. People tell me that the newspaper is an ideal size for lining a hamster cage, so it serves some useful purpose in the local area.
Today, the Government have announced the commission report on the expansion of aviation, which includes the threat to my constituency from the third runway. I have been assured that there will be cross-party opposition on my council to the Government’s proposals. We will use Hillingdon People to explain the proposals that have been introduced. We have used it in the past to explain the proposals of all political parties. Undoubtedly, views will be expressed by councillors on a cross-party basis condemning the commission’s proposals and, almost certainly, the Government’s approach. Does that mean that we will then be hauled before the Secretary of State to be advised on the words that we can use about this matter and on the way in which Hillingdon People will be used?
The one good thing about local newspapers is that they reflect local opinion. There might be an overbalance of photographs of a certain party, but for all that they are a useful tool in mobilising local opinion around a local issue, and they are campaigning tools for a local authority in genuinely reflecting the views of the local populace who elected them.
My local council has certainly consulted local people and supported local meetings to ensure that people can express their views on the extension of Heathrow. It has then reflected those views in Hillingdon People, and launched campaigns on the basis of what local people have said. At my last public meeting on this matter, a campaign called “Back Heathrow” was spuriously launched by the aviation industry to support Heathrow airport expansion. It was completely funded by Heathrow airport and run by its public relations agency. People then said to me that Hillingdon People should be used to put out accurate information, rather than the spurious propaganda that the airport was putting out. I am anxious that my local authority, which will go on the stump on this issue, may be debarred from using Hillingdon People to explain what its views are and to campaign against the expansion of Heathrow airport.
I would be grateful to the Minister if we heard his views. By the looks of it, he will now be the editor-in-chief of Hillingdon People, so I would welcome his views now before we put a foot wrong. Is it in order, under this Bill, for Hillingdon council to use Hillingdon People to campaign against Heathrow expansion and to disseminate information that will be opposed to the commission’s views and what seems to be the emerging view about a third runway at Heathrow?
Chris Williamson:
I rise to speak against this Orwellian clause and in favour of the amendment tabled by my hon. Friend the Member for Corby (Andy Sawford). He is absolutely right to say that the Government are seeking to put the Secretary of State in the position of censor-in-chief. We live in the United Kingdom. I thought that the Government believed in freedom of speech and the free press, but it turns out that that is not the case
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when it comes to publications produced by local authorities. It is clear that the Secretary of State is setting himself up as some sort of Orwellian big brother figure. If the clause goes through, the Department for Communities and Local Government should be renamed the ministry of truth. It is all right for the DCLG to issue draft press releases praising the Government. As my hon. Friend the Member for Corby said, as long as local government is praising the policies of central Government that is okay, but if it has the temerity to point out that in some way what the Government are doing might have a negative impact on the communities that they represent, then woe betide them; that is not acceptable. When the Secretary of State seeks to take that kind of power to himself, we have to ask what kind of country we want to live in. This is completely wrong. Just look at the document—it could be a Tory hand-out. It has even suggested the headline that the local authorities might like to put on their press releases. It reads, “Pickles praises troubled families programme”—so, big up the Secretary of State, but, whatever you do, do not say anything that could be interpreted as negative.
My hon. Friend the Member for Corby pointed out that there is absolutely no evidence suggesting widespread abuse of the voluntary code. Indeed, we would be hard-pressed to find any example, let alone widespread examples, so this provision is completely over the top. We have talked about using a sledgehammer to crack a nut, but it is more like using a pile-driver to crack a minuscule nut. There is no example of any abuse. It is clear, therefore, that the Secretary of State is seeking to set himself up as the censor-in-chief.
In Committee, I challenged Government Members to come up with some examples of the abuses that merit this heavy-handed legislative response. The first out of the traps was the hon. Member for High Peak (Andrew Bingham), who came up with the ludicrous assertion that legislation is merited to stop a photograph of the Labour leader of his local borough council appearing in the council newspaper with a Labour party pen. A pen with the Labour logo on it was an abuse that merited legislation—talk about crackers, as my hon. Friend the Member for Hayes and Harlington (John McDonnell) said. It is unbelievable. We are talking about legislation to stop local authorities publishing their council newspapers, giving information to the local community about matters affecting them, and it is suggested that the Secretary of State should be put in charge because a Labour leader appeared in a council newspaper holding a pen with a Labour logo on it.
The hon. Member for High Peak must have scrutinised that photograph with a magnifying glass to be able to see the logo, let alone to suggest that it would influence people. He dug himself an even bigger hole by comparing it with product placement, which is banned on the television. He said that we do not see packets of cornflakes on the table in “EastEnders”. Crackers really does not cover it.
Chris Heaton-Harris (Daventry) (Con): The hon. Gentleman is making some cogent points. If that photograph had appeared on a Member of Parliament’s website paid for by IPSA, IPSA would have banned it. I am not sure whether that helps or hinders his argument, but someone else would want to ban that logo placement.
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Chris Williamson: With the greatest of respect, I think the hon. Gentleman is talking through his hat. I am not sure that IPSA would ban it. Is he telling me in all seriousness that that would happen if a Labour politician appeared on their website and happened to be holding a pen with a Labour logo on it? People would not be able to see it; it is ridiculous. In the Committee sitting, I had a pen with “League Against Cruel Sports” emblazoned on it. I held it up and challenged the hon. Member for High Peak to read what it said on the pen, because the scale would have been about the same as in the photograph in the borough newspaper. He could not see it; of course he could not. The hon. Member for Daventry (Chris Heaton-Harris) mentions IPSA, but that compounds the ludicrousness of the Government’s case. When the hon. Member for High Peak made the point, he was unable to read the logo on my “League Against Cruel Sports” pen and, in the same way, without a magnifying glass he would not have been able to see that the Labour leader had the temerity to hold a pen with the Labour logo on it.
The next out of the traps was the Minister, who referred to a poster. A poster in Lambeth was a bit critical of the Government—we can’t be having posters. The poster was, I think, on a bus stop—so far, therefore, a pen and a bus stop merit legislation.
The final Government Member out of the traps, as I recall, was the hon. Member for Burton (Andrew Griffiths), who quoted Councillor Western, the Labour leader of Derbyshire county council. She had the temerity to point out that the cuts being imposed by central Government would have “a devastating impact” on our communities. Well, that is a statement of fact. It seems that Members on the Government Benches do not want statements of fact if they are in any way, shape or form marginally critical of what the Government are doing, even though they are accurate. This really is Orwellian and merits references to the ministry of truth. I sincerely hope that any Government Member who believes in fairness, free speech and the freedom of the press will support my hon. Friend’s amendment.
4 pm
I conclude by reinforcing the point made by my hon. Friends the Members for Hayes and Harlington and for Sheffield South East (Mr Betts), to which my hon. Friend the Member for Corby may have alluded as well—the fact that local council newspapers are in no way a threat to the local newspaper industry. I know from personal experience at a local level that Derby city council uses a local newspaper to print and publish its council news-sheet, so far from damaging the local newspaper industry it is having a beneficial impact.
John McDonnell: I am the secretary of the National Union of Journalists group in Parliament. There needs to be a discussion between Departments. We are working with the Department for Culture, Media and Sport and will hold a seminar in the new year to discuss how we ensure that all Government Departments can assist in the development and support of the local press. A Member on the Government Benches suggested publishing local material in the local media or on a wrap-around basis, which would support the print industry and the local press.
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Chris Williamson: Indeed. There is a happy partnership between many local authorities and the newspaper in their local area. It is a significant overstatement of the truth to suggest that local authorities producing their newspaper are in any way responsible for the decline in the local newspaper industry. Many other factors, not least access to online information, are responsible for the decline. What the Government seek to do will not arrest that decline and might make matters worse. The truth is that, where there is a partnership with the local newspaper serving the local authority area, limiting the number of times the council can produce information through its newsletters will diminish the local newspaper’s income stream. Far from assisting local newspapers, the Government will add to their decline. I hope the Minister will reflect on that.
My hon. Friend the Member for Hayes and Harlington referred to his connection with the NUJ. Let me quote the National Union of Journalists’ response to what the Government propose. As my hon. Friend the Member for Corby said, in many areas where there is no local newspaper, local people rely on the council publication for useful information and would regret the Government decision to limit the council’s ability to produce that for them. The NUJ says:
“In areas where there are no, or limited local newspapers, then sharing planning details, service changes and details of consultations on a quarterly basis is insufficient”.
It is clear that there is no evidence to support what the Government want to do. The amendment—this is pretty unprecedented, in my experience—is supported by the Local Government Association, a Conservative-led body. It is very rare for the LGA to come out and support an Opposition amendment. It is also supported by the National Association of Local Councils, the National Union of Journalists and members of the general public. It is hard to find anybody who has a good word to say about this Orwellian clause, save for a handful of hard-line Conservatives on the Government Benches.
I implore the Minister, if he has any semblance of concern for the feelings of the public or the wishes of the Tory-led Local Government Association, and if indeed he genuinely believes in a free press and freedom of speech, to support amendment 14, because that would be in the interests of freedom of speech and of the general public, ensuring that they have the information they need about services and other activities in their local area provided by the council. I hope that he will reflect on that and support the amendment.
Alex Cunningham: I rise to support amendments 14 to 16. Nothing is more likely to get the blood rising in the body of a journalist, even one who has not worked in mainstream journalism for half a lifetime, than the idea that someone wants to interfere in the message they are trying to deliver to their readers. That was my reaction when I first heard about the Secretary of State’s ambition to become editor-in-chief of all council publications, from city authority newspapers to parish council newsletters.
I spent many a happy year working as a journalist in the local and regional media and then in the communications industry for a blue-chip company. I never experienced any real interference, and certainly nothing like the level that the Secretary of State wants. Likewise, in my 20 years as a councillor, first for Cleveland
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county council and then for Stockton-on-Tees borough council, I never saw the abuse of power through publications of which the Secretary of State appears to be so terrified. It will therefore come as no surprise that, as a former journalist and councillor, I have particular concerns about clause 39, which gives the Secretary of State the power to direct local authorities to comply with a specific code of conduct relating to their publicity materials.
If the Bill passes in its current form, as other Members have said, the Secretary of State will be appointing himself editor-in-chief of Local Government Inc. and assigning himself carte blanche to intervene, irrespective of whether he believes a local authority is complying with the code of practice. So that we are clear about the extent and reach of the proposed powers, I will explain that clause 39 would apply to all local authority publicity material, including newspapers, such as the quarterly Stockton News in my constituency which is delivered to so many residents across the borough to keep them informed about services and what is going on in the local authority area. It would apply to posters advertising the many events, schemes and projects that local authorities promote for the benefit of their citizens. It would also apply to the social media updates that local authorities provide to ensure that residents have up-to-date information.
As an aside, I would be fascinated to know how the Secretary of State plans to monitor the thousands of communications emanating from councils across the country every day. Does he have plans for an army of Twitter monitors, Facebook spies and online assessors to ensure that there can be no challenge to his authority? Of course not, so perhaps the Minister can explain just how that brave new world will be policed.
The powers proposed in clause 39 are entirely disproportionate and represent a stubbornly heavy-handed response, as the Government have identified only one example of a local authority apparently abusing its position. Even in that instance, as other Members have said, the local authority involved has denied the accusation of contravening the Government’s current code of recommended practice. I agree that any political bias would be unacceptable in local authority publicity, and the code of conduct requires objectivity, even-handedness and appropriateness. That much is beyond contention. It was with that in mind that we encouraged the Government to take action in cases where possible breaches are identified in order to ensure neutrality and fairness. However, as my hon. Friend the Member for Corby (Andy Sawford) has said, the Government have not even written to the local authority in question about the publication. I must therefore question whether the Secretary of State truly believes that a breach has been committed.
It is also worth repeating that, as my hon. Friend the Member for Corby said, through a series of freedom of information requests it has been established that, since coming to power in May 2010, the Government have not contacted a single local authority to express concern about potential breaches of the code. Perhaps they can tell us how many they expect to contact in the future under the new proposals. Assuming that the Government are implementing the current code of practice in full, we must take it from that that few councils, if any, are
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breaking existing recommendations. All of that prompts the following question: why fix something that is not broken?
When we bear these factors in mind, the context of the Secretary of State’s attempted power-grab politics becomes abundantly clear. With the lobbying Bill currently seeking to limit the campaigning that third sector and voluntary organisations are able to undertake, it appears that the unpopularity of the Government’s policies has begun to sink in. Is the Secretary of State really heading up a damage-limitation mission to control how local authorities communicate the politically toxic effects of the Government’s policies to their local communities merely by explaining the changes and cuts that they need to make?
We know from copies of the template press releases that the Department has issued to local authorities’ press teams that they encourage bias as they frame Government policy in what could only be described as positive terms. Does this mean that the Secretary of State will have to punish one of his own Conservative-led councils for being politically biased for printing material from his own Department? This illustrates the absurdity of his proposals and reveals an outrageous double standard, if ever there was one.
Clause 39 not only grants to the Secretary of State the ability to determine when and how local authorities can publish communications to local residents but assigns to him the ability to dictate the issues and information that they can communicate as well—perhaps an ideal set of circumstances that would put him on a par with the Rupert Murdochs of this world. Why does he not just ban all the newspapers, ban all the publicity and ban all the posters? It would have the same effect. If that were not extreme enough, he is similarly assigned the ability to control the language and phraseology that local authorities will be permitted to use. Perhaps the Government will manage to rid the public of the bedroom tax after all, but changing the words will not change the devastating effects that his policies are having on some of our most needy people.
I am sure that the significance of this move, coming as it does so soon after the intense debates that have been had on the topic of press regulation and the need to remove the risk of political interference and maintain the sanctity of free speech, will not be wasted on Members on both sides of the House. I am minded to ask the Secretary of State whether, were he to assume these new powers, his reformulated role would be compliant with the spirit of the royal charter in providing the public with better protection from press abuses while upholding the freedom of expression that is so central to our democracy. Surely those provisions should apply to him as well. A new term has been coined for him this afternoon—the censor-in-chief—which is certainly what he will be with these powers.
In short, such wide-ranging powers will disfranchise local authorities, removing any semblance of their discretion over communications with residents. Let us not forget that local authorities have a responsibility to represent those residents and to provide services for them, and that transparency and accountability are fundamental cornerstones of that duty. Were an authority unable to protect the interests of its residents, it would unquestionably be failing in its duties.
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Given the Government’s agenda for the national planning policy framework, the plans before us appear to undermine their express goal of empowerment for local residents and fly in the face of their professed localism agenda. Members need not just take my word for it. Baroness Eaton, the former Conservative leader of Bradford council, has described as “regrettable” the proposal in the Bill that will
“centralise powers to the Secretary of State and allow central government to interfere with matters that should rightly be decided at a local level.”—[Official Report, House of Lords, 22 May 2013; Vol. 745, c. 902.]
Ministers have already made clear their intention to prevent local authorities from sharing information or commenting on the impact of Government policy if they disapprove of the message. That would inevitably have the effect of gagging local authorities in contentious policy areas. To give an illustrative example, a piece in Stockton News entitled “Challenging Times”, published earlier this year to inform residents of upcoming service changes, would be unlikely to make it past the Secretary of State’s red pen unscathed, referring as it does to
“a time of unprecedented reductions in Government funding to the Borough as a result of the Government’s austerity measures.”
The Secretary of State might not like the fact that Stockton borough council’s funding will have fallen by 40% between 2010 and 2016, but that is precisely what it is—a fact. We are talking about facts—political, maybe, but not politicised. That is crucial to the argument for upholding the freedom of speech. I should also make the point that, as far as Stockton News is concerned, no politicians, with the exception of the civic mayor, ever write or comment in it. The publication does not even quote them or publish pictures of them.
Local authorities often work with residents, community groups and MPs to promote the best interests of residents in matters such as the siting of local health provisions and national infrastructure developments. If the Government’s proposals pass, the Secretary of State could use clause 39 to block such collaboration, ultimately to the detriment of residents.
4.15 pm
Let us not forget that local authorities are already required by statute, in the shape of the Local Government Act 2000, to have regard to the contents of the publicity code, and should the Secretary of State have reason to believe that a local authority has failed to comply with a statutory obligation, he is able to intervene by seeking judicial review. The Secretary of State has failed to detail why he deems current provision to be inadequate or to explain why he has yet to apply any of the current powers. Instead he has argued that clause 39 is needed to protect the local press from unfair competition for advertising, but he has not told us how the situation is unfair.
Time and again, the Secretary of State overlooks some essential points, not least that the recommended code of practice has no provisions relating specifically to advertising, other than to specify lawfulness. This suggests to me that this particular argument is but a distraction from the underlying aim to censor local authorities and their elected councillors.
The nonsense of the suggestion is best borne out by the Communities and Local Government Committee report, which declared—others have already alluded to
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this—that there is no evidence that council publications are competing unfairly with local newspapers. Indeed, far from unfair competition, the obligation on local authorities to publish statutory notices actually results in local authorities paying the commercial newspaper industry some £26 million a year. Taking into account total spend, including general advertising, local authorities spend nearly £44 million a year with the commercial newspaper industry, which blows the Secretary of State’s argument out of the water.
As I have made clear, I can see no reason to move away from the current code of recommended practice to an unnecessarily heavy-handed, regulated system entrenched in legislation. We simply cannot hand full editorial control—because that is what this will mean—to one person for his own political motives. For that reason, I support amendments 14 to 16.
Brandon Lewis: First, let me be clear that good communication between a local authority and the public is important. Let me also be clear that what clause 39 delivers is a manifesto pledge by both coalition parties. Local authority publicity can be expensive and it can be controversial, so it is important that local authorities get it right.
In Committee I outlined our intentions and explained exactly what the clause seeks to achieve. We should be conscious of the fact that localism is about empowering local people to be able to challenge and see, transparently, what their local authority is doing. This is about true localism and making sure that we are also able to do our bit to defend the independent local press.
The code of recommended practice on local authority publicity ensures that publicity is, among other things, cost-effective, objective, even-handed and appropriate, and Labour Members have agreed in principle with the voluntary code. It ensures that taxpayers’ money is not wasted on issuing inappropriate publicity or publicity that political parties themselves should be issuing, rather than a local council using taxpayers’ money to do it. The code has been in place since 2011. It was debated and approved by both Houses of Parliament.
Andy Sawford: The Minister is right to say that the code seeks to prevent money being used on things that are politicised, but does he not see that his argument is not consistent with a Department that is sending out puff pieces about its Secretary of State for local authorities to issue?
Brandon Lewis: I suspect that deep down inside, the hon. Gentleman—we almost became hon. Friends in Committee—probably realises that there is a world of difference between a template press release sent to independent local journalists and a municipal taxpayer-funded newspaper that takes away the competition of a local independent press. None of the provisions in the Bill makes any changes to the publicity code.
Let me give a very clear example of how the process might work for a local authority publishing a weekly newspaper—such as Nene Valley News, which was mentioned by the hon. Gentleman—in direct competition to the local independent press that is so important in holding councils to account. Under the provisions, the Secretary of State, after advising the local authority that he intends to do so and giving it time to make any representations it wishes—such as that there is no other
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local paper—may, if he thinks fit, issue a direction requiring that the local authority comply with some or all of the code, but particularly, let us say, the part advising local authorities that council newsletters should be issued no more than quarterly. If the Secretary of State considers that a group of local authorities, or even all local authorities in England, should be required to follow the guidance in the code, he must of course make an order, which would need to be debated and agreed by both Houses of Parliament.
Alex Cunningham: Will the Minister tell us the name of one newspaper group that has approached the Department to claim that local authority publications are undermining and threatening its business?
Brandon Lewis: I suggest that the hon. Gentleman looks at Hansard for the reports of our proceedings in Committee, where we outlined the evidence—including from the Newspaper Society, which complained about exactly that issue—particularly, as was noted, in relation to Tower Hamlets.
Amendment 14 confuses the very clear and necessary provision that the Secretary of State may direct a local authority to comply with some or all of the publicity code. The amendment would achieve little in practice, as the Secretary of State may of course issue more than one individual direction. Amendment 15 would also be far from beneficial. It would add layers of complexity and bureaucracy to what should be a straightforward procedure to allow the Secretary of State rapidly to address incidences of the guidance in the code not being observed.
Andy Sawford: Will the Minister give way?
Brandon Lewis: No, I shall make a little progress. The hon. Gentleman was keen to make progress during his speech.
Any local authority that already—rightly—complies with the guidance in the code would be wholly unaffected by a direction. Amendment 15 would remove sensible, proportionate measures and put in place a gold-plated bureaucratic process that requires the publication of not one, but two reports by the Secretary of State, all while taxpayers’ money might continue to be wasted.
Amendment 16 seeks to remove the provisions to ensure that a group of local authorities, or all local authorities in England, comply with the guidance in the code. We have sensibly decided to make provision for the Secretary of State to require compliance with the code not only by an individual local authority, but by a number of them or even, if necessary, by all local authorities in England.
The Secretary of State can issue an individual direction to an authority, but to require a group of local authorities or even all local authorities in England to comply with the code, the Secretary of State must make an order subject to the agreement of both Houses of Parliament. That was a recommendation of the Delegated Powers and Regulatory Reform Committee, and we were happy to amend the Bill to give effect to it. Amendment 16 would quite wrongly undo the power and the recommendation, leaving a ridiculous situation in which if the Secretary
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of State wanted to act to address widespread non-compliance by a group of councils, he might have to issue hundreds of individual directions. The amendment would also remove parliamentary scrutiny of the process.
We are obliged to make the provisions because although the vast majority of local authorities comply with the code, a very few do not; we accept that there are very few. It is to address that abuse of council resource and waste of taxpayers’ money that we have rightly decided to act. The provisions are important, proportionate and necessary.
Alex Cunningham: The Minister is making some sweeping comments. I would be interested to know whether he can tell us of one local authority that the Secretary of State has found it necessary to take action against under the existing code, which is adequate for the purpose that he is outlining? I think we already know the answer.
Brandon Lewis: I am sure that the hon. Gentleman will have done his homework and will realise that for the Government to take action under the voluntary code, there would have to be a long and expensive judicial review.
The provisions are the right way in which to move forward so that we can enforce the code effectively, efficiently and swiftly. It is slightly baffling that the Opposition claim that they have no problem with the voluntary code agreed by Parliament and support it, but do not want it to be enforced. That just does not make sense, has no credibility and does not add up. The provisions ensure that we can protect the good, local independent press, and that taxpayers’ money is used efficiently and effectively, and not wasted on town hall Pravdas. I encourage hon. Members to resist the amendments.
Andy Sawford: What a shocking response. We will not press amendments 14 and 16, but we will press amendment 15 to the vote.
Amendment 15 would place a very simple expectation on the Secretary of State: that he would act on the receipt of evidence, that he would share that evidence with the local authority and that he would ask it to comment. As the Minister says, these matters should be subject to local discretion as well as to national direction. The Secretary of State would simply have to say, in taking enforcement action against a local authority, that he had found a breach of the code. It would be incredibly simple, straightforward and right to make that amendment if the Secretary of State feels that it is necessary to take these extraordinary powers, even though we do not.
The Minister’s response, as at each stage of the passage of the Bill, has made us far more concerned, not less, about the intention behind this very worrying and deeply anti-democratic clause.
I beg to ask leave to withdraw the amendment.
Amendment, by leave, withdrawn.
Amendment proposed: 15, page 26, line 25, leave out subsection (4) and insert—
‘(4) A direction can only be made by the Secretary of State if—
(a) evidence of a breach of a code has been published by the Secretary of State to the local authority;
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(b) a local authority, on receipt of a letter from the Secretary of State notifying them of evidence which purports to demonstrate a breach of the code has made a response to the Secretary of State within 28 days; and
(c) upon receiving any response the Secretary of State has published a report detailing his conclusions.’.—(Andy Sawford.)
Question put, That the amendment be made.
The House divided:
Ayes 226, Noes 287.
Division No. 161]
[
4.25 pm
AYES
Abrahams, Debbie
Ainsworth, rh Mr Bob
Alexander, Heidi
Ali, Rushanara
Allen, Mr Graham
Anderson, Mr David
Ashworth, Jonathan
Austin, Ian
Bailey, Mr Adrian
Bain, Mr William
Barron, rh Mr Kevin
Bayley, Hugh
Beckett, rh Margaret
Begg, Dame Anne
Benn, rh Hilary
Berger, Luciana
Betts, Mr Clive
Blears, rh Hazel
Blenkinsop, Tom
Blomfield, Paul
Bradshaw, rh Mr Ben
Brennan, Kevin
Brown, rh Mr Gordon
Brown, Lyn
Brown, rh Mr Nicholas
Brown, Mr Russell
Bryant, Chris
Buck, Ms Karen
Burden, Richard
Byrne, rh Mr Liam
Campbell, Mr Alan
Campbell, Mr Ronnie
Caton, Martin
Champion, Sarah
Chapman, Jenny
Clark, Katy
Clarke, rh Mr Tom
Clwyd, rh Ann
Coaker, Vernon
Coffey, Ann
Connarty, Michael
Cooper, rh Yvette
Corbyn, Jeremy
Crausby, Mr David
Creagh, Mary
Creasy, Stella
Cruddas, Jon
Cryer, John
Cunningham, Alex
Cunningham, Mr Jim
Cunningham, Sir Tony
Curran, Margaret
Dakin, Nic
Danczuk, Simon
Darling, rh Mr Alistair
David, Wayne
Davidson, Mr Ian
Davies, Geraint
De Piero, Gloria
Dobbin, Jim
Dobson, rh Frank
Docherty, Thomas
Donohoe, Mr Brian H.
Doran, Mr Frank
Dowd, Jim
Doyle, Gemma
Dromey, Jack
Dugher, Michael
Durkan, Mark
Eagle, Ms Angela
Eagle, Maria
Efford, Clive
Elliott, Julie
Ellman, Mrs Louise
Esterson, Bill
Evans, Chris
Farrelly, Paul
Field, rh Mr Frank
Fitzpatrick, Jim
Flello, Robert
Flynn, Paul
Fovargue, Yvonne
Francis, Dr Hywel
Gapes, Mike
Gardiner, Barry
Gilmore, Sheila
Glass, Pat
Glindon, Mrs Mary
Godsiff, Mr Roger
Goggins, rh Paul
Green, Kate
Greenwood, Lilian
Griffith, Nia
Gwynne, Andrew
Hamilton, Mr David
Hamilton, Fabian
Hancock, Mr Mike
Hanson, rh Mr David
Harman, rh Ms Harriet
Harris, Mr Tom
Havard, Mr Dai
Healey, rh John
Hendrick, Mark
Hermon, Lady
Hillier, Meg
Hodge, rh Margaret
Hodgson, Mrs Sharon
Hood, Mr Jim
Hopkins, Kelvin
Howarth, rh Mr George
Hunt, Tristram
Irranca-Davies, Huw
Jackson, Glenda
Jamieson, Cathy
Jarvis, Dan
Johnson, rh Alan
Johnson, Diana
Jones, Graham
Jones, Helen
Jones, Mr Kevan
Jones, Susan Elan
Jowell, rh Dame Tessa
Kaufman, rh Sir Gerald
Keeley, Barbara
Kendall, Liz
Khan, rh Sadiq
Lammy, rh Mr David
Lavery, Ian
Lazarowicz, Mark
Leslie, Chris
Lewell-Buck, Mrs Emma
Llwyd, rh Mr Elfyn
Love, Mr Andrew
Lucas, Caroline
Lucas, Ian
Mahmood, Shabana
Mann, John
Marsden, Mr Gordon
McCabe, Steve
McCann, Mr Michael
McCarthy, Kerry
McClymont, Gregg
McDonagh, Siobhain
McDonald, Andy
McDonnell, John
McFadden, rh Mr Pat
McGovern, Alison
McGuire, rh Mrs Anne
McKechin, Ann
McKenzie, Mr Iain
McKinnell, Catherine
Meacher, rh Mr Michael
Meale, Sir Alan
Mearns, Ian
Miller, Andrew
Moon, Mrs Madeleine
Morden, Jessica
Morrice, Graeme
(Livingston)
Morris, Grahame M.
(Easington)
Mudie, Mr George
Munn, Meg
Murphy, rh Mr Jim
Murphy, rh Paul
Murray, Ian
Nandy, Lisa
Nash, Pamela
O'Donnell, Fiona
Onwurah, Chi
Osborne, Sandra
Owen, Albert
Pearce, Teresa
Perkins, Toby
Phillipson, Bridget
Pound, Stephen
Powell, Lucy
Reed, Mr Jamie
Reed, Mr Steve
Reeves, Rachel
Reynolds, Emma
Reynolds, Jonathan
Riordan, Mrs Linda
Ritchie, Ms Margaret
Robertson, John
Robinson, Mr Geoffrey
Rotheram, Steve
Roy, Mr Frank
Roy, Lindsay
Ruane, Chris
Ruddock, rh Dame Joan
Sarwar, Anas
Sawford, Andy
Seabeck, Alison
Shannon, Jim
Sharma, Mr Virendra
Sheerman, Mr Barry
Sheridan, Jim
Shuker, Gavin
Skinner, Mr Dennis
Slaughter, Mr Andy
Smith, Angela
Smith, Nick
Smith, Owen
Spellar, rh Mr John
Straw, rh Mr Jack
Stringer, Graham
Stuart, Ms Gisela
Sutcliffe, Mr Gerry
Tami, Mark
Thomas, Mr Gareth
Thornberry, Emily
Trickett, Jon
Turner, Karl
Twigg, Derek
Twigg, Stephen
Umunna, Mr Chuka
Vaz, Valerie
Walley, Joan
Watson, Mr Tom
Watts, Mr Dave
Whitehead, Dr Alan
Williamson, Chris
Winnick, Mr David
Winterton, rh Ms Rosie
Wood, Mike
Wright, David
Wright, Mr Iain
Tellers for the Ayes:
Phil Wilson
and
Julie Hilling
NOES
Adams, Nigel
Afriyie, Adam
Aldous, Peter
Amess, Mr David
Andrew, Stuart
Arbuthnot, rh Mr James
Bacon, Mr Richard
Baker, Steve
Baldwin, Harriett
Barker, rh Gregory
Baron, Mr John
Bebb, Guto
Beith, rh Sir Alan
Bellingham, Mr Henry
Benyon, Richard
Bingham, Andrew
Binley, Mr Brian
Blackman, Bob
Blunt, Mr Crispin
Boles, Nick
Bone, Mr Peter
Bottomley, Sir Peter
Bradley, Karen
Brady, Mr Graham
Brake, rh Tom
Bray, Angie
Brazier, Mr Julian
Bridgen, Andrew
Brine, Steve
Brokenshire, James
Brooke, Annette
Browne, Mr Jeremy
Bruce, rh Sir Malcolm
Buckland, Mr Robert
Burley, Mr Aidan
Burns, rh Mr Simon
Burrowes, Mr David
Burstow, rh Paul
Burt, Lorely
Cable, rh Vince
Cairns, Alun
Campbell, rh Sir Menzies
Carmichael, Neil
Chishti, Rehman
Chope, Mr Christopher
Clappison, Mr James
Clark, rh Greg
Clarke, rh Mr Kenneth
Clifton-Brown, Geoffrey
Collins, Damian
Crabb, Stephen
Crockart, Mike
Crouch, Tracey
Davey, rh Mr Edward
Davies, David T. C.
(Monmouth)
Davies, Glyn
Davies, Philip
Davis, rh Mr David
de Bois, Nick
Dinenage, Caroline
Djanogly, Mr Jonathan
Dorrell, rh Mr Stephen
Dorries, Nadine
Doyle-Price, Jackie
Drax, Richard
Duddridge, James
Duncan, rh Mr Alan
Duncan Smith, rh Mr Iain
Dunne, Mr Philip
Ellis, Michael
Ellison, Jane
Ellwood, Mr Tobias
Elphicke, Charlie
Evans, Graham
Evans, Jonathan
Evennett, Mr David
Fabricant, Michael
Fallon, rh Michael
Farron, Tim
Featherstone, Lynne
Field, Mark
Foster, rh Mr Don
Fox, rh Dr Liam
Freeman, George
Freer, Mike
Fuller, Richard
Gale, Sir Roger
Garnier, Sir Edward
Garnier, Mark
Gauke, Mr David
George, Andrew
Gibb, Mr Nick
Gilbert, Stephen
Gillan, rh Mrs Cheryl
Glen, John
Goldsmith, Zac
Goodwill, Mr Robert
Graham, Richard
Grant, Mrs Helen
Gray, Mr James
Grayling, rh Chris
Green, rh Damian
Greening, rh Justine
Griffiths, Andrew
Gummer, Ben
Gyimah, Mr Sam
Halfon, Robert
Hames, Duncan
Hammond, rh Mr Philip
Hammond, Stephen
Hancock, Matthew
Hands, Greg
Harper, Mr Mark
Harrington, Richard
Harris, Rebecca
Hart, Simon
Harvey, Sir Nick
Haselhurst, rh Sir Alan
Hayes, rh Mr John
Heald, Oliver
Heath, Mr David
Heaton-Harris, Chris
Hemming, John
Henderson, Gordon
Hendry, Charles
Herbert, rh Nick
Hinds, Damian
Hoban, Mr Mark
Hollingbery, George
Hollobone, Mr Philip
Holloway, Mr Adam
Hopkins, Kris
Howarth, Sir Gerald
Howell, John
Hughes, rh Simon
Hunt, rh Mr Jeremy
Hunter, Mark
Huppert, Dr Julian
Hurd, Mr Nick
Jackson, Mr Stewart
James, Margot
Javid, Sajid
Jenkin, Mr Bernard
Johnson, Gareth
Johnson, Joseph
Jones, Andrew
Jones, rh Mr David
Jones, Mr Marcus
Kelly, Chris
Kirby, Simon
Knight, rh Sir Greg
Kwarteng, Kwasi
Lamb, Norman
Lancaster, Mark
Lansley, rh Mr Andrew
Latham, Pauline
Laws, rh Mr David
Leadsom, Andrea
Lee, Jessica
Leech, Mr John
Lefroy, Jeremy
Leslie, Charlotte
Lewis, Brandon
Lewis, Dr Julian
Liddell-Grainger, Mr Ian
Lilley, rh Mr Peter
Lloyd, Stephen
Lord, Jonathan
Loughton, Tim
Luff, Peter
Lumley, Karen
Macleod, Mary
Maude, rh Mr Francis
Maynard, Paul
McCartney, Jason
McIntosh, Miss Anne
McLoughlin, rh Mr Patrick
McVey, Esther
Menzies, Mark
Mercer, Patrick
Metcalfe, Stephen
Milton, Anne
Moore, rh Michael
Mordaunt, Penny
Morgan, Nicky
Morris, David
Morris, James
Mosley, Stephen
Mowat, David
Munt, Tessa
Murray, Sheryll
Murrison, Dr Andrew
Newmark, Mr Brooks
Newton, Sarah
Nokes, Caroline
Nuttall, Mr David
O'Brien, rh Mr Stephen
Offord, Dr Matthew
Ollerenshaw, Eric
Opperman, Guy
Ottaway, rh Richard
Parish, Neil
Patel, Priti
Pawsey, Mark
Penning, Mike
Penrose, John
Percy, Andrew
Perry, Claire
Phillips, Stephen
Pincher, Christopher
Prisk, Mr Mark
Pritchard, Mark
Pugh, John
Randall, rh Sir John
Reckless, Mark
Redwood, rh Mr John
Rees-Mogg, Jacob
Reid, Mr Alan
Robathan, rh Mr Andrew
Rogerson, Dan
Rosindell, Andrew
Rudd, Amber
Ruffley, Mr David
Rutley, David
Sanders, Mr Adrian
Sandys, Laura
Scott, Mr Lee
Selous, Andrew
Shapps, rh Grant
Sharma, Alok
Shepherd, Sir Richard
Simmonds, Mark
Simpson, Mr Keith
Skidmore, Chris
Smith, Henry
Smith, Julian
Smith, Sir Robert
Soames, rh Nicholas
Soubry, Anna
Spelman, rh Mrs Caroline
Spencer, Mr Mark
Stanley, rh Sir John
Stephenson, Andrew
Stevenson, John
Stewart, Bob
Stewart, Iain
Stewart, Rory
Stride, Mel
Stuart, Mr Graham
Stunell, rh Sir Andrew
Sturdy, Julian
Swales, Ian
Swayne, rh Mr Desmond
Syms, Mr Robert
Teather, Sarah
Thornton, Mike
Thurso, John
Timpson, Mr Edward
Tomlinson, Justin
Tredinnick, David
Tyrie, Mr Andrew
Uppal, Paul
Vaizey, Mr Edward
Vara, Mr Shailesh
Vickers, Martin
Villiers, rh Mrs Theresa
Walker, Mr Charles
Walker, Mr Robin
Walter, Mr Robert
Ward, Mr David
Watkinson, Dame Angela
Weatherley, Mike
Wheeler, Heather
Whittaker, Craig
Whittingdale, Mr John
Wiggin, Bill
Williams, Mr Mark
Williams, Roger
Williams, Stephen
Williamson, Gavin
Wilson, Mr Rob
Wollaston, Dr Sarah
Wright, Jeremy
Wright, Simon
Yeo, Mr Tim
Young, rh Sir George
Zahawi, Nadhim
Tellers for the Noes:
Gavin Barwell
and
Jenny Willott
Question accordingly negatived.
17 Dec 2013 : Column 690
17 Dec 2013 : Column 691
17 Dec 2013 : Column 692
Madam Deputy Speaker (Dawn Primarolo): We now come to the next group of amendments. The hon. Member for North East Cambridgeshire (Stephen Barclay) is not here to move lead amendment 17. I call the Minister to move amendment 6.
17 Dec 2013 : Column 693
Council tax referendums
Brandon Lewis: I beg to move amendment 6, page 30, line 32, at end insert—
‘(13A) Subsections (14) to (16) apply (and subsections (18) to (20) do not apply) if, in accordance with section 49(2A), this section comes into force on the day on which this Act is passed.’.
Madam Deputy Speaker (Dawn Primarolo): With this it will be convenient to discuss the following:
Government amendments 7 and 8.
Amendment 18, page 31, line 2, at end insert—
‘(17) The Secretary of State may, by Order, exempt from the calculation of an authority’s basic amount of council tax any levies agreed as part of a City Deal signed prior to this Act receiving Royal Assent.’.
Government amendments 9 to 11.
Brandon Lewis: Our amendments are precautionary measures to remove the risk of local authority budgeting being adversely impacted in the event of a delay to the Bill taking effect. Clause 41 currently provides that the council tax referendum calculations will take account of levies from 1 April 2014. The referendum principles, which we intend to publish in draft very shortly, will be put to this House for approval in February as normal. Those principles will take account of levies, but will be subject to the will of Parliament and the Bill, which will have come into force by then.
The amendments have a relatively simple effect. Together, amendments 6, 9, 10 and 11 provide that if the Bill is passed by 5 February—the likely date by which the referendum principles must be laid before Parliament—the provisions in clause 41 will take effect immediately and the changes to the referendum provisions will take effect for the 2014-15 financial year. Otherwise, the changes will take effect by order from 2015-16. There is no reason to believe that the provisions will not be in force before the referendum principles are approved, but we are tabling this group of amendments to give local authorities advance certainty over timings so that they can be confident that any delay in Parliament would not impact on their budget-setting timetable.
Amendment 7 is a minor amendment clarifying that the clause does not alter the existing discretion of the Secretary of State when determining categories of authority for 2014-15. Amendment 8 addresses the ability of the Secretary of State to determine categories of local authorities on the basis of whether their 2013-14 council tax increase would have been excessive had levies been taken into account. The clause puts this existing ability beyond question and does not extend it further. Similarly, the amendment does not extend that existing ability, but updates the references to increases in 2013-14 to include references to increases in 2014-15, should the provisions take effect from 2015-16. The current transitional provisions in subsections (14) to (16) ensure that council tax comparisons between 2013-14 and 2014-15 are made on a like-for-like basis. An amendment must be made to ensure that this protection for authorities still exists if levies are to be included from 2015-16. Subsections (18) to (20) in amendment 8 provide that protection.
In summary, these amendments are precautionary measures only and, apart from clarifications and restatements of existing legislation, have one purpose:
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to ensure that in the event of any unpredicted delay, local authorities will continue to be treated consistently and to benefit from the transitional protections already in the clause.
Andy Sawford: Our amendment 18 would give the Secretary of State some discretion to prevent any unintended consequences arising out of the levy changes from affecting city deals. The amendment states:
“The Secretary of State may, by Order, exempt from the calculation of an authority’s basic amount of council tax any levies agreed as part of a City Deal signed prior to this Act receiving Royal Assent.”
We are concerned that the provisions to include levying bodies could affect those city deals that have been agreed around the country.
4.45 pm
The provisions would, for example, affect the deal in which the Leeds city region has been promised a large investment fund that is to be part-funded by the increased levy from the integrated transport authority. The deal was done in the expectation that the current rules would apply—that is, that the integrated transport authority levy would not be included in the calculation. Will the Minister clarify that, at the time the city deal was signed, there had been no discussion about changing the rules on levying authorities? The answer to that must surely be no. Had the Government known that they intended to make these retrospective changes, it would only have been right to inform the authorities that that city deal could be undermined by the changes on levying made at a later date. All local authorities are important, of course, but those that are leading our major cities and trying to work in partnership with the Government could understandably think that there had been a breach of faith in this regard.
Huw Irranca-Davies (Ogmore) (Lab): It strikes me that the same argument could apply, in principle and in practice, to the internal drainage boards, which work in partnership with the Environment Agency. They are worried that being included in the referendum provision could lead to their being unable to do the essential drain clearing that helps with flood alleviation. My hon. Friend is making his point well. Does he agree that this could also apply to the internal drainage boards?
Andy Sawford: My hon. Friend is absolutely right. This group of amendments on levies would have significant implications for internal drainage boards. There was a specific amendment on them, but it has now been withdrawn. However, the other amendments will affect the boards just as they will affect other bodies that apply levies. I know that my hon. Friend considers this to be an important matter; he is an expert on matters affecting our rural communities and, in particular, on flooding. If a local authority felt the need to take urgent action—or, indeed, long-term action—on flood defences, I think we would all be concerned if that ability were to be undermined by the provisions in the Bill. I will return to that issue in more detail later.
Leeds city region has written a letter to the Deputy Prime Minister to raise concerns about the clause, and it gives us a new insight that we did not have in Committee. The city region is concerned that including levies within
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the ambit of a calculation to hold a referendum on annual increases in council tax could result in it having to hold
“up to 60 referendums, with the Combined Authority not being in a position to know whether its investment programme was affordable until all referendums had been passed.”
Is the Minister aware of that concern, and does he recognise those possible implications? A critical element of the Leeds city deal is the local contribution fund. The Leeds city region believes that the Bill, as it stands, will make the fund “impossible to deliver”, because it could trigger up to 60 referendums a year and the authority might have to conduct such referendums over a period of five years.
In Committee, the Minister said that the figures provided thus far did not make a compelling argument for treating city deals differently. Does he agree, however, that these new figures from Leeds city region should make us think again and support a clause that does not require the Secretary of State to make exemptions but, rather, merely permits him to do so?
The Minister might well be proved right; this might not become an issue. Leeds city region clearly believes that it will, however. If that were to happen, would it not be in everyone’s interests if the Secretary of State could make a judgment to exempt the levies? It would be in the Government’s interest, in terms of their good faith in negotiating the city deal. It would also be in the interests of the city regions around the country, particularly Leeds city region, which has expressed so much concern.
If a council tax referendum were lost and the levying body refused to reduce its levy, what would the Minister expect a local authority to do? Under the Bill as it stands, a levying body would not have to abide by the result of a referendum, should one be triggered and subsequently lost. In effect, therefore, the financial risk would be on the local authority regardless of whether the increase in council tax was a direct result of its financial decisions. That cannot be fair.
The provisions are retrospective. The Minister told us on Second Reading and in Committee—his noble friend Baroness Hanham told their lordships—that the provisions are not retrospective. They clearly are. The Local Government Association is absolutely clear in its analysis of the effect, as are Labour Members. Clause 41(15) allows the Secretary of State to apply changes retrospectively. He will be able to impose a different referendum limit on authorities where their council tax increase for 2014-15 would have been excessive under the new definition, but not under the current definition. This is not fair on those authorities that have taken decisions in good faith based on the legislation in place at the time. There is no difference in principle between Labour Members and the Government on the intention to protect citizens and residents of our local councils from excessive council tax increases. Indeed, councils such as Hackney have been freezing their council tax for many years and setting an example, as other Labour councils have done, but we would not want to see an unfair retrospective provision that undermines the plans that local authorities have put in place.
There is clearly a risk of perverse outcomes that will put growth-generating investment at risk. Levying bodies are, by statute or local agreement, able to recover some
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or all of their costs by charging local authorities a fee for infrastructure or services. Local government in England is subject to a variety of different levying arrangements covering significant and regionally important issues such as transport, drainage—the point my hon. Friend the Member for Ogmore (Huw Irranca-Davies) made—and a wide range of other local issues. There is enormous scope for perverse outcomes in our communities from these provisions.
There are a number of examples where the extension of council tax referendums will cause instability and uncertainty—not just the Leeds example, but many other areas around the country where plans have been made on a different basis from the legislation that is now being proposed. On integrated transport, the implications in west Yorkshire, for example, are that if the referendums were lost, it would put at risk £750 million of investment and 20,000 new jobs; these are very significant consequences.
Under the Bill’s provisions, an internal drainage board that needed to take emergency action to manage flood risk may be denied the capacity to do so by the outcome of a referendum. These boards may also be unable to support wider central Government objectives because the changes might limit their ability to levy funding to invest in flood defences. Participants in the work that Sir Michael Pitt did a few years ago in response to some of the most severe flooding we have seen in this country were left scratching their heads as to how, at a time of public sector financial constraint, we would meet the challenge of ensuring that there are effective flood defences. We know that some of the poorest and most vulnerable people are the most exposed to flood risk around the country. There are issues with insurance, for example. One of the sensible ways in which we were able to take this forward was through the drainage boards and the work they were able to do. That could now be undermined.
Huw Irranca-Davies: My hon. Friend illustrates the point very well. It is only a couple of years ago that we had extensive flooding in the south-west of England. One of the consequences of that was the need to do emergency work very rapidly on the drainage channels there. The levies paid through IDBs are very well supported by those communities that need them for flood alleviation.
Andy Sawford: My hon. Friend has considerable expertise in this and he is right. If a drainage board needed to take emergency action, clearly it would not be in the interests of communities—the very people who, during a cost of living crisis caused by the Government, we agree we want to protect from excessive council taxes—to leave them exposed to flood risk if we know that we can take emergency action to address that.
There are issues with pension authorities, particularly in some metropolitan counties and in London, which operates the legacy pension schemes of the Greater London Council. As with the rest of the local government pension scheme, there is little control over the costs of these, which are increasing with each successive valuation. Indeed, more levying bodies may be created in the future as a consequence of the pension governance reforms that the Department is considering.
In short, these proposals have not been thought through. We do not disagree with the fundamental intention behind them—to keep council tax down—but we do
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disagree about how they are being introduced, without further thought or consultation, and particularly about some of the issues that arise from retrospection as it affects drainage boards and city deals. We would urge the Government to go back to the drawing board. With the leave of the House, we will seek to press amendment 18 to a vote.
Brandon Lewis: Before dealing with amendment 18, let me touch on the issue of internal drainage boards, which some hon. Members have raised. IDB levels are not being singled out. This Bill will ensure consistent and fair treatment between all local authorities.
I shall now turn directly to amendment 18, which relates to local authorities that have collectively entered into “city deals”—agreements with the Government on additional freedoms and financial certainties in order to promote local growth and skills—before the Bill’s commencement. This area was touched upon on Second Reading and debated in more depth in Committee, where the hon. Member for Corby (Andy Sawford)was content to take away and consider the clarifications and assurances I gave in response to a similar amendment.
Since this amendment has been tabled, I am happy to repeat some of the points discussed in Committee and to provide hon. Members more widely with any further expansion I can give. Although the amendment would have a wider effect, I understand that its intent is to address a single specific case—that of the Leeds city region deal— where there are plans to create a transport investment fund that would allow about £1 billion to be raised from grants, contributions from stakeholders and borrowing. Repayment of that borrowing will be met by the constituent authorities via modest increases in the transport levy over the next decade. This arrangement is novel. It will provide much-needed investment in the region and remains an arrangement that the Government are committed to and happy to support. However, the figures generated by Leeds and the other authorities taking part show that if those levy increases were passed straight on to local taxpayers in the form of higher bills, it would be affordable without the need for a referendum. It would amount to an increase of between 0.2% to 0.9% per year.
Andy Sawford: I understand the Minister’s point, which he made in Committee. It is a fair point, but does he accept that the consequence would be to restrict the ability of local authorities across that area, in a way that they never imagined, to raise council tax in a way that local authorities outside the city deal could? The amount that would trigger the referendum would mean that they were limited?
Brandon Lewis: I will come on to that very point in a few seconds.
I have to say that there is no basis for suggesting that these levies would result in authorities being forced to hold referendums. Given the relatively small increases involved, I would urge those authorities to freeze their council tax instead and take advantage of the grants we are making available to support them in doing so, thus holding down council tax for hard-working people.
Let me gently suggest to Labour Members that this is an area where the facts do not support the claims being made. It is right for the Opposition to test and challenge the statements of the Government of the day, but where
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there is shown to be no basis for criticism, we should move on and focus our attention elsewhere. In this case, we are proceeding over ground already debated several times here and in the other place, and the figures involved are not disputed by the Opposition or the authorities themselves. However, in the same manner as for any other authority, if Leeds, Bradford or any other council wishes to make representations about how the proposed referendum principles will apply to their particular circumstances, the Secretary of State would take them into account when asking the House to approve the final principles in 2014.
Huw Irranca-Davies: I am listening carefully to the Minister and I am genuinely probing because this is a matter of concern. Can he give a categorical assurance that where emergency funding is needed for an area, as advised by an IDB, it would trigger the referendum and would not delay the essential work being done? Can he give that categorical assurance and, if so, how?
Brandon Lewis: The hon. Gentleman makes a cogent point. My constituency of Great Yarmouth has been heavily affected by the east coast weather, with 9,000 evacuations and some homes lost in Hemsby, where the community is working phenomenally well together. What happens in the event of floods or other major disruptive events is that the Government look to support authorities facing major unexpected problems in the usual ways—through the building scheme, for example, or other appropriate bespoke approaches. Inclusion of levies in council tax legislation will have no effect on those procedures.
Brandon Lewis: I want to make some progress, but I am happy to talk to the hon. Gentleman further about Bellwin.
The other claim made in Committee and on Second Reading was that the Government were reneging on their agreements with authorities and that they gave their approval for large council tax increases as part of the Leeds city deal. That is not correct. The Leeds city deal was not agreed on the basis that it meant large council tax increases for local people or on the basis of denying them their say if Leeds or other authorities wished further to increase council tax—for instance, to increase investment and go beyond what is set out in the deal itself. That could happen only so long as local taxpayers, who will have to bear the burden, are willing to accept it. It is a matter for them. With those reassurances, I hope that the hon. Member for Corby will not press his amendment to the vote. If he does, I encourage Members to resist it.
Amendments made: 7, page 30, line 37, after ‘may’, insert ‘, in particular,’.
Amendment 8, page 31, line 2, at end insert—
‘(17) Subsections (18) to (20) apply (and subsections (14) to (16) do not apply) if this section comes into force on a day appointed by the Secretary of State by order under section 49(2A).
(18) Section 52ZC of the Local Government Finance Act 1992 applies with the following modifications to the determination of a set of principles for the financial year beginning with 1 April 2015.
(19) The Secretary of State may, in particular, determine categories of authority for that financial year—
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(a) on the basis of whether an authority’s relevant basic amount of council tax for the financial year beginning with 1 April 2013 would have been excessive if that amount for that year and for the immediately preceding financial year had been determined under section 52ZX of the Local Government Finance Act 1992 as amended by this section,
(b) on the basis of whether an authority’s relevant basic amount of council tax for the financial year beginning with 1 April 2014 would have been excessive if that amount for that year and for the immediately preceding financial year had been determined under that section as so amended, or
(c) on the basis set out in paragraph (a) and on the basis set out in paragraph (b).
(20) In subsection (3)(b) of section 52ZC the reference to an authority’s relevant basic amount of council tax for the financial year immediately preceding the year under consideration is to the amount that would have been calculated by the authority for that year under section 52ZX of the Local Government Finance Act 1992 if the amendments made to it by this section had been in force for that year.’.—(Brandon Lewis.)
Amendment proposed: 18, page 31, line 2, at end insert—
‘(17) The Secretary of State may, by Order, exempt from the calculation of an authority’s basic amount of council tax any levies agreed as part of a City Deal signed prior to this Act receiving Royal Assent.’.—(Andy Sawford.)
Question put, That the amendment be made.
The House divided:
Ayes 222, Noes 284.
Division No. 162]
[
5 pm
AYES
Abrahams, Debbie
Ainsworth, rh Mr Bob
Alexander, Heidi
Ali, Rushanara
Allen, Mr Graham
Anderson, Mr David
Ashworth, Jonathan
Austin, Ian
Bailey, Mr Adrian
Bain, Mr William
Bayley, Hugh
Beckett, rh Margaret
Begg, Dame Anne
Benn, rh Hilary
Berger, Luciana
Betts, Mr Clive
Blears, rh Hazel
Blomfield, Paul
Bradshaw, rh Mr Ben
Brennan, Kevin
Brown, rh Mr Gordon
Brown, Lyn
Brown, rh Mr Nicholas
Brown, Mr Russell
Bryant, Chris
Buck, Ms Karen
Burden, Richard
Byrne, rh Mr Liam
Campbell, Mr Alan
Campbell, Mr Ronnie
Caton, Martin
Champion, Sarah
Chapman, Jenny
Clark, Katy
Clarke, rh Mr Tom
Clwyd, rh Ann
Coaker, Vernon
Coffey, Ann
Connarty, Michael
Cooper, rh Yvette
Corbyn, Jeremy
Crausby, Mr David
Creagh, Mary
Creasy, Stella
Cruddas, Jon
Cryer, John
Cunningham, Alex
Cunningham, Mr Jim
Cunningham, Sir Tony
Curran, Margaret
Dakin, Nic
Danczuk, Simon
David, Wayne
Davidson, Mr Ian
De Piero, Gloria
Dobbin, Jim
Dobson, rh Frank
Docherty, Thomas
Donohoe, Mr Brian H.
Doran, Mr Frank
Dowd, Jim
Doyle, Gemma
Dromey, Jack
Dugher, Michael
Durkan, Mark
Eagle, Ms Angela
Eagle, Maria
Efford, Clive
Elliott, Julie
Ellman, Mrs Louise
Engel, Natascha
Esterson, Bill
Evans, Chris
Farrelly, Paul
Field, rh Mr Frank
Fitzpatrick, Jim
Flello, Robert
Flynn, Paul
Fovargue, Yvonne
Francis, Dr Hywel
Gapes, Mike
Gardiner, Barry
Gilmore, Sheila
Glass, Pat
Glindon, Mrs Mary
Godsiff, Mr Roger
Goggins, rh Paul
Green, Kate
Greenwood, Lilian
Griffith, Nia
Gwynne, Andrew
Hamilton, Mr David
Hamilton, Fabian
Hanson, rh Mr David
Harman, rh Ms Harriet
Harris, Mr Tom
Havard, Mr Dai
Healey, rh John
Hendrick, Mark
Hermon, Lady
Hillier, Meg
Hilling, Julie
Hodge, rh Margaret
Hodgson, Mrs Sharon
Hood, Mr Jim
Hopkins, Kelvin
Howarth, rh Mr George
Hunt, Tristram
Irranca-Davies, Huw
Jackson, Glenda
Jamieson, Cathy
Jarvis, Dan
Johnson, rh Alan
Johnson, Diana
Jones, Graham
Jones, Helen
Jones, Mr Kevan
Jones, Susan Elan
Jowell, rh Dame Tessa
Kaufman, rh Sir Gerald
Keeley, Barbara
Kendall, Liz
Khan, rh Sadiq
Lammy, rh Mr David
Lavery, Ian
Lazarowicz, Mark
Leslie, Chris
Lewell-Buck, Mrs Emma
Lewis, Mr Ivan
Love, Mr Andrew
Lucas, Caroline
Lucas, Ian
Mahmood, Shabana
Marsden, Mr Gordon
McCabe, Steve
McCann, Mr Michael
McCarthy, Kerry
McDonagh, Siobhain
McDonald, Andy
McDonnell, John
McGovern, Alison
McGovern, Jim
McGuire, rh Mrs Anne
McKechin, Ann
McKenzie, Mr Iain
McKinnell, Catherine
Meacher, rh Mr Michael
Meale, Sir Alan
Mearns, Ian
Miller, Andrew
Moon, Mrs Madeleine
Morden, Jessica
Morrice, Graeme
(Livingston)
Morris, Grahame M.
(Easington)
Munn, Meg
Murphy, rh Mr Jim
Murphy, rh Paul
Murray, Ian
Nandy, Lisa
Nash, Pamela
O'Donnell, Fiona
Onwurah, Chi
Osborne, Sandra
Owen, Albert
Pearce, Teresa
Perkins, Toby
Phillipson, Bridget
Pound, Stephen
Powell, Lucy
Raynsford, rh Mr Nick
Reed, Mr Jamie
Reed, Mr Steve
Reeves, Rachel
Reynolds, Emma
Reynolds, Jonathan
Riordan, Mrs Linda
Ritchie, Ms Margaret
Robertson, John
Robinson, Mr Geoffrey
Rotheram, Steve
Roy, Mr Frank
Roy, Lindsay
Ruane, Chris
Ruddock, rh Dame Joan
Sarwar, Anas
Sawford, Andy
Seabeck, Alison
Shannon, Jim
Sharma, Mr Virendra
Sheerman, Mr Barry
Sheridan, Jim
Shuker, Gavin
Skinner, Mr Dennis
Slaughter, Mr Andy
Smith, Angela
Smith, Nick
Smith, Owen
Spellar, rh Mr John
Straw, rh Mr Jack
Stringer, Graham
Stuart, Ms Gisela
Sutcliffe, Mr Gerry
Tami, Mark
Thomas, Mr Gareth
Thornberry, Emily
Timms, rh Stephen
Trickett, Jon
Turner, Karl
Twigg, Derek
Twigg, Stephen
Umunna, Mr Chuka
Vaz, Valerie
Walley, Joan
Watson, Mr Tom
Watts, Mr Dave
Whitehead, Dr Alan
Williamson, Chris
Winnick, Mr David
Winterton, rh Ms Rosie
Wood, Mike
Wright, David
Wright, Mr Iain
Tellers for the Ayes:
Tom Blenkinsop
and
Phil Wilson
NOES
Adams, Nigel
Afriyie, Adam
Aldous, Peter
Amess, Mr David
Andrew, Stuart
Arbuthnot, rh Mr James
Bacon, Mr Richard
Baker, Steve
Baldwin, Harriett
Barker, rh Gregory
Baron, Mr John
Bebb, Guto
Beith, rh Sir Alan
Bellingham, Mr Henry
Benyon, Richard
Bingham, Andrew
Blackman, Bob
Blunt, Mr Crispin
Boles, Nick
Bone, Mr Peter
Bottomley, Sir Peter
Brady, Mr Graham
Brake, rh Tom
Bray, Angie
Brazier, Mr Julian
Bridgen, Andrew
Brine, Steve
Brokenshire, James
Brooke, Annette
Browne, Mr Jeremy
Bruce, rh Sir Malcolm
Buckland, Mr Robert
Burley, Mr Aidan
Burns, rh Mr Simon
Burrowes, Mr David
Burstow, rh Paul
Burt, Lorely
Cairns, Alun
Campbell, rh Sir Menzies
Carmichael, Neil
Chishti, Rehman
Chope, Mr Christopher
Clappison, Mr James
Clark, rh Greg
Clarke, rh Mr Kenneth
Clifton-Brown, Geoffrey
Collins, Damian
Cox, Mr Geoffrey
Crabb, Stephen
Crockart, Mike
Crouch, Tracey
Davey, rh Mr Edward
Davies, David T. C.
(Monmouth)
Davies, Glyn
Davies, Philip
Davis, rh Mr David
de Bois, Nick
Dinenage, Caroline
Dorrell, rh Mr Stephen
Dorries, Nadine
Doyle-Price, Jackie
Drax, Richard
Duddridge, James
Duncan, rh Mr Alan
Duncan Smith, rh Mr Iain
Dunne, Mr Philip
Ellis, Michael
Ellison, Jane
Ellwood, Mr Tobias
Elphicke, Charlie
Evans, Graham
Evans, Jonathan
Evennett, Mr David
Fabricant, Michael
Fallon, rh Michael
Farron, Tim
Featherstone, Lynne
Field, Mark
Foster, rh Mr Don
Fox, rh Dr Liam
Freeman, George
Freer, Mike
Fuller, Richard
Gale, Sir Roger
Garnier, Sir Edward
Garnier, Mark
Gauke, Mr David
George, Andrew
Gibb, Mr Nick
Gilbert, Stephen
Gillan, rh Mrs Cheryl
Glen, John
Goldsmith, Zac
Goodwill, Mr Robert
Graham, Richard
Grant, Mrs Helen
Gray, Mr James
Grayling, rh Chris
Green, rh Damian
Greening, rh Justine
Grieve, rh Mr Dominic
Griffiths, Andrew
Gummer, Ben
Gyimah, Mr Sam
Halfon, Robert
Hames, Duncan
Hammond, Stephen
Hancock, Mr Mike
Hands, Greg
Harper, Mr Mark
Harrington, Richard
Harris, Rebecca
Hart, Simon
Harvey, Sir Nick
Haselhurst, rh Sir Alan
Hayes, rh Mr John
Heald, Oliver
Heath, Mr David
Heaton-Harris, Chris
Hemming, John
Henderson, Gordon
Hendry, Charles
Herbert, rh Nick
Hinds, Damian
Hoban, Mr Mark
Hollingbery, George
Hollobone, Mr Philip
Holloway, Mr Adam
Hopkins, Kris
Horwood, Martin
Howarth, Sir Gerald
Howell, John
Hughes, rh Simon
Hunter, Mark
Huppert, Dr Julian
Hurd, Mr Nick
Jackson, Mr Stewart
James, Margot
Javid, Sajid
Jenkin, Mr Bernard
Johnson, Gareth
Johnson, Joseph
Jones, Andrew
Jones, rh Mr David
Jones, Mr Marcus
Kelly, Chris
Kirby, Simon
Knight, rh Sir Greg
Kwarteng, Kwasi
Lamb, Norman
Lansley, rh Mr Andrew
Latham, Pauline
Laws, rh Mr David
Leadsom, Andrea
Leech, Mr John
Lefroy, Jeremy
Leslie, Charlotte
Lewis, Brandon
Lewis, Dr Julian
Liddell-Grainger, Mr Ian
Lloyd, Stephen
Lord, Jonathan
Loughton, Tim
Luff, Peter
Lumley, Karen
Macleod, Mary
Maude, rh Mr Francis
Maynard, Paul
McCartney, Jason
McIntosh, Miss Anne
McLoughlin, rh Mr Patrick
Menzies, Mark
Metcalfe, Stephen
Milton, Anne
Moore, rh Michael
Mordaunt, Penny
Morgan, Nicky
Morris, Anne Marie
Morris, David
Morris, James
Mosley, Stephen
Mowat, David
Munt, Tessa
Murray, Sheryll
Murrison, Dr Andrew
Newmark, Mr Brooks
Newton, Sarah
Nokes, Caroline
Nuttall, Mr David
O'Brien, rh Mr Stephen
Offord, Dr Matthew
Ollerenshaw, Eric
Opperman, Guy
Ottaway, rh Richard
Parish, Neil
Patel, Priti
Pawsey, Mark
Penning, Mike
Penrose, John
Percy, Andrew
Perry, Claire
Phillips, Stephen
Pincher, Christopher
Prisk, Mr Mark
Pritchard, Mark
Pugh, John
Randall, rh Sir John
Reckless, Mark
Redwood, rh Mr John
Rees-Mogg, Jacob
Reid, Mr Alan
Robathan, rh Mr Andrew
Rogerson, Dan
Rosindell, Andrew
Rudd, Amber
Ruffley, Mr David
Rutley, David
Sanders, Mr Adrian
Sandys, Laura
Scott, Mr Lee
Selous, Andrew
Shapps, rh Grant
Sharma, Alok
Shepherd, Sir Richard
Simmonds, Mark
Simpson, Mr Keith
Skidmore, Chris
Smith, Henry
Smith, Julian
Smith, Sir Robert
Soames, rh Nicholas
Soubry, Anna
Spelman, rh Mrs Caroline
Spencer, Mr Mark
Stanley, rh Sir John
Stephenson, Andrew
Stevenson, John
Stewart, Bob
Stewart, Iain
Stewart, Rory
Stride, Mel
Stuart, Mr Graham
Stunell, rh Sir Andrew
Sturdy, Julian
Swales, Ian
Swayne, rh Mr Desmond
Swinson, Jo
Syms, Mr Robert
Teather, Sarah
Thornton, Mike
Thurso, John
Timpson, Mr Edward
Tomlinson, Justin
Tredinnick, David
Tyrie, Mr Andrew
Uppal, Paul
Vaizey, Mr Edward
Vara, Mr Shailesh
Vickers, Martin
Villiers, rh Mrs Theresa
Walker, Mr Charles
Walker, Mr Robin
Wallace, Mr Ben
Walter, Mr Robert
Ward, Mr David
Watkinson, Dame Angela
Weatherley, Mike
Wharton, James
Wheeler, Heather
Whittaker, Craig
Whittingdale, Mr John
Wiggin, Bill
Williams, Mr Mark
Williams, Roger
Williams, Stephen
Williamson, Gavin
Willott, Jenny
Wilson, Mr Rob
Wollaston, Dr Sarah
Wright, Jeremy
Wright, Simon
Yeo, Mr Tim
Young, rh Sir George
Zahawi, Nadhim
Tellers for the Noes:
Gavin Barwell
and
Karen Bradley
Question accordingly negatived.
17 Dec 2013 : Column 700
17 Dec 2013 : Column 701
17 Dec 2013 : Column 702
17 Dec 2013 : Column 703
Interpretation of Act
Amendment made: 2, page 34, line 19, at end insert—
‘(2A) References in this Act to provision made under it include provision made under Part 42 of the Companies Act 2006 as it has effect by virtue of Schedule 5.’.—(Brandon Lewis.)
Commencement
Amendments made: 9, page 36, line 3, leave out ‘and’ and insert ‘to’.
Amendment 10, page 36, line 5, at end insert—
‘(2A) If this Act is passed before 5 February 2014, section 41 comes into force on the day on which this Act is passed; otherwise that section comes into force on such day as the Secretary of State may by order appoint.’.
Amendment 11, page 36, line 8, leave out paragraph (a).—(Brandon Lewis.)
Relevant Authorities
Amendment made: 3, page 42, line 36, leave out paragraphs (a) and (b) and insert
‘that is wholly in England’. —(Brandon Lewis.)
Further provisions about Auditor Panels
Amendment made: 4, page 47, line 5, after ‘authority’, insert
‘other than a health service body’.—(Brandon Lewis.)
Eligibility and Regulation of Local Auditors
Amendment made: 5, page 58, line 3, leave out sub-paragraph (3) and insert—
‘(3) For paragraph 6 (holding of appropriate qualification) substitute—
“Holding of appropriate qualification
6 (1) The body must have rules to the effect that an individual is not eligible for appointment as a local auditor unless the individual—
(a) holds an appropriate qualification,
(b) is an EEA auditor who has passed an aptitude test in accordance with sub-paragraph (3), unless an aptitude test is not required (see sub-paragraphs (4) and (5)), or
(c) has been authorised to act as a local auditor by the body pursuant to the European Communities
17 Dec 2013 : Column 704
(Recognition of Professional Qualifications) Regulations 2007 (SI 2007/2781), and complies with the requirements of those Regulations that apply to a person acting as a local auditor.
(2) The body must have rules to the effect that a firm is not eligible for appointment as a local auditor unless—
(a) each individual responsible for local audit work on behalf of the firm is eligible for appointment as a local auditor, and
(b) the firm is controlled by qualified persons (see paragraph 7 below).
(a) must test the individual’s knowledge of subjects—
(i) that are covered by a recognised professional qualification,
(ii) that are not covered by the professional qualification already held by that individual, and
(iii) the knowledge of which is essential for the pursuit of the profession of local auditor;
(b) may test the individual’s knowledge of rules of professional conduct;
(c) must not test the individual’s knowledge of any other matters.
(4) No aptitude test is required if—
(a) the individual is to provide services consisting of local audit work on a temporary and occasional basis, or
(b) the subjects that are covered by a recognised professional qualification and the knowledge of which is essential for the pursuit of the profession of local auditor are covered by the professional qualification already held by the individual.
(5) Whether the provision of services is on a temporary and occasional basis is to be assessed on a case by case basis and in particular by reference to its duration, its frequency, its regularity and its continuity.
(6) A firm which has ceased to comply with the conditions mentioned in sub-paragraph (2) may be permitted to remain eligible for appointment as a local auditor for a period of not more than three months.”
(3A) In paragraph 7 (meaning of control by qualified persons)—
(a) in sub-paragraph (1) (introductory), for “paragraph 6(1)(b)” substitute “paragraph 6(2)(b)”, and
(b) in sub-paragraph (2)(b)(i), (requirement for firm to be eligible for appointment as statutory auditor), for “statutory auditor” substitute “local auditor, or as a statutory auditor in accordance with this Part of this Act as it has effect apart from its application by virtue of Schedule 5 to the Local Audit and Accountability Act 2013.”’.—(Brandon Lewis.)
5.14 pm
Brandon Lewis: I beg to move, That the Bill be now read the Third time.
Let me begin by thanking the members of the Public Bill Committee, who did such an excellent job in ensuring that the Bill was subjected to thorough scrutiny. We benefited from the wide range of experience that a number of colleagues from all parties had of working in and being part of local government and I thank them for committing their expertise to the Bill.
In particular, I should like to thank the hon. Member for Corby (Andy Sawford), who fulfilled his commitment to give the Bill robust but fair scrutiny. In the other place, Lord McKenzie commented that audit is sometimes considered “boring but important”. I would say that
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the often passionate critique put forward by the Opposition in the course of this Bill’s passage certainly proves the latter while arguably testing the former assertion. I am particularly grateful to the hon. Gentleman and his Opposition colleagues for their support in helping us to introduce new measures into the Bill in Committee.
The new provisions to modernise parish polls respond to amendments from the Earl of Lytton, who, in his role as president of the National Association of Local Councils, highlighted the urgent need to reform that outdated legislation. The measures to open up local council meetings will break down the doors of town halls and increase the transparency of local decision making. I am pleased that we have achieved consensus on that as it shows that in this digital age, as the way the public consumes information changes, it is no longer right that decisions should be made out of the sight of local taxpayers. We will, of course, work closely with interested parties to ensure that, as we agreed in Committee, we strike the right balance in the regulations between allowing members of the public to film council meetings and minimising disruption.
The Bill is the culmination of a great deal of work with a number of third parties, particularly the Audit Commission, which I would also like to thank for its support and healthy challenge throughout this process. During the Bill’s passage through the House, we have made, as has been noted, a number of amendments to strengthen it. In addition to the two new measures we have added, we have also made amendments to enable the sector to set up collective procurement arrangements, through which relevant authorities can choose to have an auditor appointed on their behalf. That has been welcomed by the Local Government Association and we will continue to work with it in developing the regulations that will set out the approach in more detail.
Also prompted by debates in the other place, we have amended the Bill to extend the purposes for which data-matching exercises may be used. That will enable the future owner of the national fraud initiative to continue to undertake data-matching exercises on the detection of errors and inaccuracies, as the Audit Commission can under its existing powers.
In addition, we have made a number of other technical and clarifying amendments to several of the local audit provisions, which will ensure the smooth and effective operation of the new audit regime after the Audit Commission’s demise. In addition to the amendment we have made today to support the transparency of the auditor appointment process, we have also clarified how the provisions apply to parish meetings, the qualifications and eligibility criteria for local auditors and how local auditors will recover costs for undertaking all their statutory functions.
We have had a lengthy debate about the local government publicity code. I think it is safe to say that we are all agreed on the content of the code, but that there is a difference of opinion about how that code should be enforced. I say again that it is right that action should be taken when authorities are failing to comply with the code. By ensuring compliance, the Bill will support local accountability by protecting the local free press from unfair competition and preventing taxpayers’ hard-earned money from being squandered on propaganda and competing with the local independent press.
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The Bill further protects the taxpayers’ pound by ensuring that levies will be included within the council tax referendum principles. No longer will a local authority be able to raise council tax through back door levy increases, making taxpayers pay more for services that councils down the road do in-house and within the referendum principles. That levels the playing field for local authorities and the amendment we have made today will provide certainty for those authorities.
In conclusion, the Bill is another important step in delivering the Government’s localist agenda. It deals with some of the fundamental principles of good governance and good government, it promotes responsible and robust public accounting, it drives decision making down to the local level and it protects local taxpayers and defends local democracy. To return to my opening remarks, it is an important—and I would say interesting—Bill and I commend it to the House.
5.19 pm
Hilary Benn (Leeds Central) (Lab): The Bill certainly has generated a great deal of debate—more, I suspect, than either the Minister or others who thought it was just about audit might have anticipated. That is in no small measure, as the Minister has just acknowledged, due to the skill and forensic arguments put forward by my hon. Friend the Member for Corby (Andy Sawford), who did sterling work in Committee, as he has done today, ably assisted by my hon. Friend the Member for City of Durham (Roberta Blackman-Woods) and also my hon. Friend the Member for Derby North (Chris Williamson), from whom we heard today.
I join the Minister in expressing thanks to all Members who served on the Bill Committee, all those who gave evidence to the ad hoc Joint Committee, and my colleagues the noble Lords McKenzie and Beecham for the work they did in scrutinising the Bill in another place.
As we know, this is a Bill that arises from a very early decision that the Secretary of State took, which was to abolish the Audit Commission. When we heard from him on Second Reading, he was convinced that it was the right thing to do. We all recognise that the commission is going, but only time will tell whether it was right for the Secretary of State not to take the advice of the noble Lord Heseltine, who originally introduced the Audit Commission because he thought it was wrong for local government to appoint the people who audit it.
What is striking about the Bill, however, is that the quality of some of the content we have debated at length has not benefited from the length of time it has taken the Government to bring it forward, in part because of the complexity of what has been removed and therefore the need to construct arrangements to replace it. I acknowledge that the Government moved on the issue of joint procurement, and I am grateful to the Minister for listening to the arguments made by local government and by my hon. Friend the Member for Corby, but I am genuinely sorry that the Minister either has not wanted to get the arguments that we made or has not properly understood the consequences of the Bill failing to anticipate the new world in which local authorities have to work. That is particularly surprising, given that Ministers often lecture local government about the need to make changes.
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On access to information, the amendments that we argued for were all about the public’s right to know. As we are aware, the Audit Commission is covered by the Freedom of Information Act; private auditors in general are not. As councils change the way in which they work, it is very important that the public have the right to understand what is happening and have access to information. Listening to the Minister this afternoon, the more he protested that our amendment was not necessary, the more puzzled I became. Then there was a moment of what I hope was conversion. I am delighted by what he had to say when pressed by my hon. Friends. We will hold him to what he said about ensuring that the public has exactly the same right as it currently has using the Freedom of Information Act to get access to information that auditors and private companies have about contracts that they are undertaking on behalf of local authorities.
I am very sorry that the Government have not made provision for auditing that will be fit for purpose for the years ahead. The Minister did not do justice to the argument that we advanced. We did not suggest that the Bill prevents local authorities from working together with each other or with central Government—for example, through the troubled families initiative. That is not our argument. Our argument is that when the Whitehall and the local pound are brought together to provide services at a local level, there will continue to be different audit arrangements.
I say to the Minister, and I hope he will reflect on it even when the Bill has become an Act, that that does not make sense. An audit, especially when the Bill gives us a chance to set it on a new footing, must take account of the changing way in which public money is spent, particularly as community budgets develop. It does not make sense if there is a community budget for different bodies, with the NAO trying to chase the Whitehall pound down the road and the local authority auditor looking at the local pound.
One clause that was dissected and then comprehensively savaged by my hon. Friend the Member for Corby, both in Committee and earlier today, is clause 39, which deals with the code of practice for local authority publicity. I was interested to hear that the Liberal Democrats apparently could not bring themselves to vote for it in Committee, because they were absent when it was discussed. I do not blame them, because they are right to be embarrassed by what is a most illiberal piece of legislation.
The hon. Member for Mid Dorset and North Poole (Annette Brooke) described that provision as a sledgehammer. If I may coin a new phrase, I think that it is a sledgehammer of a blunderbuss, and it has been constructed on the back of a lot of ministerial complaining about Pravda-like publications. I have not read quite so many local authority publications since Second Reading, but I have still found no figures on tractor production, which I continue to be disappointed about.
Basically, no evidence has been advanced on local authority publications. It is no good the Minister in the other place saying, “I could give you the names of 12 authorities, but I don’t think that would be helpful.” We have heard the Minister give one example, that of “East End Life”. The really damning revelation is that for all the complaints, concerns and denunciations of
17 Dec 2013 : Column 708
breaches of the code, he tries to suggest that what the Bill offers is true localism, and in three years the Government have not even contacted a single local authority, which is astounding. They could not be bothered to write a letter to a single authority, but they could be bothered to draft a shoddy clause that will give the Secretary of State the right to control every single local council publication, every website, leaflet and bit of content—the lot.
The Secretary of State, if he takes offence, will be able to tell councils, “You’re not allowed to refer to the bedroom tax as the bedroom tax. You have to call it something else.” If he feels like it, he will be able to stop councils commenting on spending cuts and the way they affect the local authority area. He could stop them commenting on airports, HS2 or NHS changes. He can even tell local parish councils that they cannot produce 12 double-sided A4 sheets a year. He will be able to do anything he wants. Censors the world over might think that is a jolly good clause, but the House was unconvinced.
Brandon Lewis: I appreciate the right hon. Gentleman giving way at this stage, when I would not normally seek to intervene, but I just want to point out gently that parish councils can still produce 12 such publications a year—one a month.
Hilary Benn: Absolutely, but the problem with the clause is that they cannot publish any more than that. If they want to bring out a special edition on their Christmas celebrations, for example, having had their 12, that would not be allowed, because the Secretary of State is taking the power to prevent that.
The clause states that the Secretary of State can exercise all those powers regardless of whether he thinks that the local authority is complying with the code of conduct, which is extraordinary. I read with great care the arguments that the Minister tried to advance in Committee, but I am afraid that I found none that justified that. The truth is that Ministers ought to be really careful with the great big blue pencil they are about to get hold of.
On referendums and levying bodies, I must say that I was unconvinced by the Minister’s arguments in relation to the Leeds city region deal, described by his ministerial colleagues as a watershed moment, which was signed before the new policy was announced. The Minister has still not answered the question I asked the Secretary of State on Second Reading, and which was asked again today by my hon. Friend the Member for Corby, so I will put it slightly differently.
The city deal was signed towards the end of the year and the announcement of the new policy on referendums and levying bodies was announced at the beginning of the new year. Knowing how long it takes to decide on these things in government, I think that it is inconceivable that Ministers were not privately discussing changing the rules at the very moment when they were discussing the Leeds city region deal. If that is the case—I will give way to the Minister on this point—why did he not tell the people they were negotiating with? He does not want to intervene, so for the third time we have had no answer to the question, and some people will draw the conclusion that they do not want to answer it.
The Minister will have seen the letter mentioned by my hon. Friend the Member for Corby that the Leeds city region sent to the Deputy Prime Minister on
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6 December asking the Government to solve the problem they created by changing the rules after the agreement was signed. The Minister knows very well how important the transport infrastructure fund is to the Leeds city region deal; indeed, it is the main thing that the city region got out of city deals, which, as he knows, I support. The letter is signed not only by the chair of the combined city region which is to become an authority—the leader of Leeds city council—but by the chair of the local LEP. They are not persuaded by the Minister’s arguments, because they say:
“As it stands, the Local Audit and Accountability Bill makes the Fund impossible to deliver.”
I listened carefully to what the Minister said, and I do not know whether there is a chink of light there, but he has a responsibility to sort this out.
Apart from doing justice to the Leeds city region, there is another argument for why the Minister has a responsibility to deal with this. If the Government go back on a done deal, which is what has happened in this case, they undermine confidence in the city deal process, undermine the certainty on which financial planning has to be based, and undermine the confidence of those who will negotiate with them in future, who will ask themselves, “Hey, look what happened to the Leeds city region—how do we know they aren’t going to change the rules for us after we’ve signed our names in ink on a piece of paper?” It needs to be sorted out.
As the Minister knows, we support the other changes that were made in this House on parish polls and councils allowing recording and videoing of council and committee meetings. In this day and age, with the very big changes in technology that enable every citizen to become a reporter, all of us in this House, whichever side we sit on, want more people to take an interest in what our local authorities are doing, by going to meetings and reporting them to spread the news and make sure that more people can see what is going on.
We will not oppose the Bill given that provision has to be made for a replacement for the Audit Commission, which is on its way out, but in some respects it is a lost opportunity. For all the words that the Secretary of State, in particular, is fond of saying about localism, once again this Bill proves that the longer he is in office the more he cannot resist using legislation to tell local councils what to do.
5.32 pm
Annette Brooke (Mid Dorset and North Poole) (LD): I thank my right hon. Friend the Member for Hazel Grove (Sir Andrew Stunell) and my hon. Friend the Member for Chippenham (Duncan Hames) for serving on the Committee. The thoroughness of the scrutiny by the hon. Member for Corby (Andy Sawford) has been very apparent. It would be remiss of me if I did not mention my noble Friend Lord Tope, as have many others, and thank him and Lord Shipley for their contributions in the other place. I also thank the Minister for his great courtesy throughout.
This Bill has pluses. It was right to abolish the Audit Commission. Having gone through the whole passage of the Bill, we have got to a pretty good place as regards auditing. I feel reassured by the Minister on the remaining issues. I am particularly pleased that he will continue to work on regulations with the Local Government Association. I applaud the modernisation of parish polls,
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which I am sure will be a great relief to parishes in my constituency. I welcome more openness in the recording and publication of council meetings, as that can only be a plus for local government.
We have discussed the publicity code at much length today. Clearly, there is agreement on the code itself across the House, but following its implementation and impact will possibly be an interesting experience. I can see the point of including levies in the referendum principles, thereby preventing unaccountable levying authorities from exerting pressure on council tax, but there is more talking to do about the potential unintended consequences. The Minister indicated that he would continue to listen to people’s concerns.
Finally, the Bill does not repeal the duty on local authorities to publish statutory notices in their local newspapers. I accept that the Government feel that this is not the right time to do that, but I urge them to keep looking at the issue. It is a burden on local government, given the tightness of its finances, and it is also the most ineffective way to communicate very important information to local residents.
5.35 pm
Neil Carmichael (Stroud) (Con): I served on the Bill Committee and thoroughly enjoyed it. I thank everyone else who served on the Committee for making it such an enjoyable process. As has been recognised, we scrutinised the Bill extraordinarily well.
I want to talk briefly about internal drainage boards, which are important. In my constituency, the IDB is essential in maintaining flood defences and as part of the process of ensuring that houses are protected. The accountability of our IDBs is relevant to the Bill, so I want to underline their importance to local communities. I also note that councillors are, of course, on the boards and should be applying influence as appropriate. The precept issue should not disguise the fact that IDBs play an important part in land drainage, certainly in areas of my constituency.
Bill accordingly read the Third time and passed, with amendments.
Business without Debate
Delegated Legislation
Motion made, and Question put forthwith (Standing Order No. 118(6)),
Pensions
That the draft Armed Forces and Reserve Forces (Compensation Scheme) (Consequential Provisions: Primary Legislation) (Northern Ireland) Order 2013, which was laid before this House on 19 November, be approved.—(Mr Gyimah.)
Motion made, and Question put forthwith (Standing Order No. 118(6)),
Capital Gains Tax
That the draft Taxation of Regulatory Capital Securities Regulations 2013, which were laid before this House on 22 November, be approved.—(Mr Gyimah.)
17 Dec 2013 : Column 711
Mr Speaker: With the leave of the House, we shall take motions 5 to 7 together.
Motion made, and Question put forthwith (Standing Order No. 118(6)),
Representation of the People
That the draft Electoral Registration and Administration Act 2013 (Transitional Provisions) Order 2013, which was laid before this House on 17 July, be approved.
That the draft Representation of the People (England and Wales) (Description of Electoral Registers and Amendment) Regulations 2013, which were laid before this House on 23 October, be approved.
That the draft Representation of the People (Provision of Information Regarding Proxies) Regulations 2013, which were laid before this House on 23 October, be approved.—(Mr Gyimah.)
Motion made, and Question put forthwith (Standing Order No. 118(6)),
Representation of the People, Scotland
That the draft Representation of the People (Scotland) (Description of Electoral Registers and Amendment) Regulations 2013, which were laid before this House on 30 October, be approved.—(Mr Gyimah.)
European Union Documents
Motion made, and Question put forthwith (Standing Order No. 119(11),
Regulation of Tobacco and Related Products
That this House takes note of European Union Document No. 18068/12 and Addenda 1 to 7, a draft Directive of the European Parliament and of the Council on the approximation of the laws, regulations and administrative provisions of the Member States concerning the manufacture, presentation and sale of tobacco and related products; welcomes the success of the Government so far in securing agreement for top priority issues such as the prohibition of characterising flavours, including menthol, in tobacco products; supports the Government’s continued pursuit of its key negotiating objectives during Trilogue negotiations, primarily a text which provides adequate flexibility for Member States to go further in certain key areas of public health policy, including packaging, where the evidence supports this and it is
17 Dec 2013 : Column 712
justified by the Treaty; further notes that the Government recognises the importance of further strengthening the internal market, taking into account a high level of health protection; and supports the Government’s view that the proposed Directive is good for public health and will be a positive measure in the Government’s efforts to reduce the number of children and young people who take up smoking in the UK.—
(Mr
Gyimah
.)
Motion made, and Question put forthwith (Standing Order No. 119(11)),
Economic and Monetary Union
That this House takes note of European Union Document No. 14102/13, a Commission Communication: Strengthening the social dimension of the Economic and Monetary Union; and supports the Government’s position that any measures to increase social and employment co-ordination should be voluntary for Member States outside the Eurozone.—(Mr Gyimah.)
Petition
The Lilacs Care Home, North Lincolnshire
5.37 pm
Nic Dakin (Scunthorpe) (Lab): I would like to pay tribute to the hard work that Councillors Sandra Bainbridge and Tony Ellerby have done in leading this petition to defend an asset in their ward.
The Petition of residents of Scunthorpe,
Declares that the Petitioners are very disappointed by the ruling of the Conservative group of North Lincolnshire Council that they intend to close The Lilacs care home despite it being a manifesto promise of theirs to not do so.
The Petitioners therefore request that the House of Commons requests the Government to urge North Lincolnshire Council to rethink their decision and consider the impact that this closure will have on local residents.
And the Petitioners remain, etc.
17 Dec 2013 : Column 713
Dalgety Bay
Motion made, and Question proposed, That this House do now adjourn.—(Mr Gyimah.)
5.39 pm
Mr Gordon Brown (Kirkcaldy and Cowdenbeath) (Lab): I am grateful to you, Mr Speaker, for agreeing to this debate, but I regret having to come back to the House and subject it to a fourth debate in less than three years about a single issue in one constituency—radiation contamination in the Dalgety Bay area of Fife.
It is now more than half a century since contaminated materials containing radium-226 were dumped on the Dalgety Bay foreshore by people on behalf of the Ministry of Defence. It is now just under a quarter of a century since the Ministry accepted that the contamination existed and posed a potential safety risk. It is now three years since the discovery of large amounts of contaminated particles that, as a result of coastal erosion, had risen to the surface, with some particles having a level of radiation that is judged to be a risk to health and thus completely unacceptable. It is now nearly two years since the Ministry of Defence committed itself to a plan that required the polluter to clean up the area. It is now six months since the Committee on Medical Aspects of Radiation in the Environment and Public Health England, the relevant health body advising the Ministry, called for the clean-up to be agreed and to happen as soon as possible.
Despite more than 50 years of contamination, nearly 25 years of the Ministry of Defence knowing about the risks, two years of knowing the seriousness of the risk and the likely escalation of such risks, and two years in February since a plan was agreed with the Scottish Environment Protection Agency, there has been no clean-up, no agreement to fund a clean-up, no agreement on a plan for a clean-up, no agreement even on the options for such a plan and, as yet, no presentation of the options for a clean-up plan or the promised consultation on those options. Indeed, the Ministry of Defence has yet to agree to what it promised in February 2012 to do by May this year—publication of the options for remedial action, acceptance of responsibility by the polluter for the pollution and a plan to fund the clean-up.
It is sad to report that despite all the evidence proving the Ministry of Defence’s responsibility and all the evidence of its admission of responsibility as long ago as 1990, the Ministry is even now—months after a report this spring named it as the polluter—refusing to accept that it has responsibility in this area. That is despite the clear promise made in a letter from Mark Hill of the Defence Infrastructure Organisation, dated 21 December 2012, which stated:
“In the event that MOD is found to be an Appropriate Person in accordance with the statutory regime for contaminated land”—
the MOD was of course named as the appropriate person a few months ago—
“the Department will fulfil its legal obligation to meet its portion of the liability and carry out voluntary action including remediation where appropriate.”
There has therefore been a failure to make progress on three important issues—publication of the options for the clean-up, agreement on the funding of the clean-up, and acceptance of responsibility as the polluter. Those
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issues of deep concern locally have brought me back to the House today to ask the Minister—I know that he has visited the area and, as he will reply to me for a second time in the House, he is fully aware of the issues or, at least, he should be—to use his influence to end the delays, to end the failure of the Ministry of Defence to accept responsibility and to end what I am afraid to say is a lack of consideration for the people of Dalgety Bay that is now strongly felt in the local community.
The issue of the contamination and its significance cannot be wished away. Dalgety Bay is already the first and only area of the United Kingdom where a radiation risk assessment has had to be done to measure the extent of the contamination. It is also the first and only area of the country to be the subject of what is called an appropriate person report—a report under the legislation dealing with radiation contamination—which has been produced through very detailed research by the Scottish Environment Protection Agency. It has concluded that, without any doubt in the matter, the polluter of the area is indeed the Ministry of Defence.
Dalgety Bay is therefore not only the first area subject to such a risk assessment and to the naming of a polluter, but it is still at risk of being named by the Scottish Environment Protection Agency as the only radiation contaminated area in the United Kingdom, which has never happened to areas where there are nuclear weapons, nuclear power stations or nuclear waste storage. If it had to be imposed on the area, which is a scenic part of the Fife coastal walk, such a decision would blight the foreshore, harm the environment and cause difficulties for the town that would last well into the future or, at least, for as long as we can see ahead.
We therefore cannot gloss over this matter. For 13 years, starting in 1946, decommissioned military aircraft were scrapped and then incinerated. The resulting ash, which included radiated particles, was dumped in the area of Dalgety Bay.
To give an understanding of the scale of the pollution, I want to draw the House’s attention to a memo of 14 December 1990, which was sent by Her Majesty’s inspectorate of pollution to the then Minister at the Scotland Office. The official’s report stated:
“I attended a meeting with the MOD to discuss the possible origins of the contaminated material and to consider how best to proceed. MOD confirmed that some 800 aircraft were scrapped during 1946 at the nearby…HMS Merlin and that the aircraft would have contained instruments and equipment luminised with radium.
There is evidence that the debris from demolition work at the…station was used for infilling purposes between 1946 and 1959.
This information, together with the nature of the contained debris which has been found leaves little doubt as to the origins of the contaminated debris which has been found…and is likely that there is more material buried in the area inland from the beach.”
“I am glad to report that”
“seem willing to help both with further monitoring and with any remedial action which might be necessary.”
In the last debate on this matter, the Minister told me:
“We have found no evidence to corroborate claims that 800 aircraft were destroyed in 1946 through burning, and the resultant waste material—including ash—deposited on the beach or within the headland prior to 1959.”—[Official Report, 9 July 2013; Vol. 566, c. 335.]
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I take that one contestation of the report to mean that everything else was correct: that the dumping did take place, that it was authorised by the Ministry of Defence, that the waste is a potential risk, and that the Ministry of Defence does and should take responsibility. It is only the precise number of aircraft that he cannot confirm, but he cannot deny the figure either.
In 1992, there was a report in which the Ministry of Defence accepted that Dalgety Bay was a polluted area. Again, after 2000, Mr Fred Dawson, the head radiation protection officer dealing with the safety officer at the MOD, advised that the Ministry of Defence would be found liable and that there was significant reputational damage involved in denying liability in this area. More recently, the community council, under the chairmanship of Colin McPhail MBE, whom I congratulate on the work he has done to expose this matter, solicited statements by former and present residents about the scale of what happened in the ’40s and ’50s. I understand that the leader of Fife council, Alex Rowley, has assembled a mass of evidence that is available to the Ministry.
It is hardly surprising that the Scottish Environment Protection Agency states:
“The total number of radioactive…particles…that have now been recovered since the beginning of our investigation in September 2011 is over 1,000. Of these sources, five had a radioactivity content of greater than”
the accepted level of radium-226. After that report, we cannot doubt that the dumping of materials was done by the Ministry, that those materials have radioactive content or that, because of coastal erosion, the particles are being brought up to the surface in greater numbers. Action must now be taken. The discovery of radiation particles on the surface is not an historical problem that is diminishing the further we move from the time of the dumping and that is likely to disappear over time; contaminated particles are being discovered all the time. That is aggravated by winter storms and rising coastal erosion. Such particles are being washed up or found on the foreshore at the rate of 100 a month.
Let us be clear what the Ministry of Defence promised us would have happened by now. In February 2012, the Ministry agreed to an “Investigation Plan”, which listed the stages of work that would be undertaken. The Ministry promised that in the second part of stage 3, which was due to happen between February and May this year, it would outline management options for the clean-up of the site:
“MOD will set out within the investigation report outline management options which may include remediation.”
That was supposed to have happened seven months ago. The report also stated:
“The options should be distinct and range from the ‘do minimum’ to the ‘maximum possible’.”
It recommended an holistic approach and said that the listing of the options was to have happened seven months ago. It then said:
“It may be appropriate to sift the outline options…to whittle the number down to a manageable size”.
That has not been done either.
It said that stages 4 and 5 were then to be progressed by the appropriate persons. Stage 4 should
“comprise the long-term management/remediation solutions”,
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“source removal, pathway disruption and receptor protection…to reduce the level of uncertainty.”
Stage 5 should then be delivered by the appropriate person, meaning the polluter, the Ministry of Defence.
Not one of those promised actions has yet happened. Seven months on from the deadline agreed by the Ministry, there has been no option study published and no narrowing of the options. Although the Ministry has been named as the polluter, none of the options has been costed and none of the clean-up has yet been agreed. None of the work has been planned or gone out to contract, far less any clean-up done. Work that was supposed to have been completed on a timetable from February to May this year has not been done, and we are still waiting for the options paper to be published and the consultation entered into.
The community council chairman was promised in a letter from Mr David Olney of the Defence Infrastructure Organisation, dated 26 March 2012:
“MOD experts are already in regular contact…in order to ensure the successful completion of the investigation by May 2013.”
That has not happened. The effect is that work that should have been commissioned in the autumn and completed by the winter has now been delayed. The likelihood is that we will face another winter of coastal erosion, with more particles being brought to the surface, and that a summer and autumn of delays will be followed by a winter of further delays, about which I want to ask for answers today.
The consultation that was promised has ground to a standstill. The last meeting of the Dalgety Bay particles advisory group was held on 22 May and the last forum meeting on 30 May. A meeting of stakeholders was promised before the end of the year, but none will take place until the beginning of next year, which means that work is unlikely to start before next summer, if then.
The Minister must also consider the fact that the delays are all the more regrettable because nearby, in Almondbank in Perth, at another ex-Ministry of Defence site where contamination was discovered, the clean-up was agreed and carried out within six weeks. It appears that that was because the remedial work was a condition of sale, with penalty clauses included. It looks like the Ministry is willing to act with speed only when there is a legal obligation to do so.
Machrihanish, where there are far lower levels of radiation, was also cleaned up without anyone having to come to Parliament to beg for it to be done. Again, that was because of a condition of sale in a commercial contract. Must we really accept that the Ministry of Defence will move only when there are commercial obligations and stall when it feels it has only a moral obligation to act? Have we to wait for the Scottish Environment Protection Agency to impose statutory obligations on the Ministry of Defence, which it is entitled to do?
The delay is galling because, as I understand it, the Ministry of Defence will announce in the next few days that it will break up submarines at Rosyth, next door to Dalgety Bay. For months it has been consulting on a plan, one of the options in which is to store not only low-level but intermediate radioactive material there. In that case, it would be nuclear waste.
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The Minister has accepted responsibility not only for the DIO but for Scotland as part of his work in the MOD. As any visit he makes to Scotland will prove, the Ministry cannot command any public confidence when it seeks to guarantee safe long-term storage of either low-level or intermediate radioactive nuclear waste in Rosyth if it cannot even reassure the people of the nextdoor town that it will take responsibility for the safe disposal of the long-standing radiation waste at Dalgety Bay. Would the Minister be happy to accept the storage of even more radioactive waste in his constituency if he had no assurances about the safe storage of the existing waste?
Thomas Docherty (Dunfermline and West Fife) (Lab): I am grateful to my right hon. Friend for securing this important debate. Does he agree that there is no way in which my constituents in Rosyth or his in Dalgety Bay will accept for a second that waste being stored at the site or in the wider West Fife area?
Mr Brown: My hon. Friend is absolutely right. It seems that one part of the Ministry of Defence has no clue what another part is doing. It wants to store waste at one place in that part of Fife but refuses to clean up the mess left by previous waste in another part. It is shocking that there is no co-ordination within the Ministry, and I believe that people who work on the nuclear programmes in the MOD are unhappy with the state of affairs that the Minister and his colleagues have left us with.
I come now to the delays. When replying to the previous debate, the Minister said we should take into account the views of Public Health England, which he said had not exactly given a “ringing endorsement” of the report produced that showed the risk and named the polluter. The letter sent to SEPA from Public Health England stated on 28 June:
“I am writing to provide comments on the…risk assessment …Regarding your contaminated land assessment, we agree that radium-226 contaminated objects recovered from Dalgety bay include objects that could give rise to radiation doses that exceed the relevant criteria for the Radioactive Contaminated Land (Scotland) Regulations 2007; specifically the effective dose criterion of 100 MSV.”
Whether or not that is possible, it is important that such objects are removed from the beach and disposed of appropriately.
On 10 July Public Health England wrote:
“It is clear that there is a level of radioactive contamination that requires further investigation and appropriate action.”
“You also asked about the extent that risk mitigation is required. It is clear that doing nothing is not an option and as noted above, it is important that agreement is reached by all of the interested parties on the best way forward.”
Public Health England then wrote formally to all parties on 21 August saying that it has
“consistently called for a management strategy to be developed and implemented at Dalgety bay.”
“We agree that the…criterion on effective dose could be exceeded for ingestion.”
There is no doubt about where the health authorities stand on the issue.
I understand that the MOD is worried about creating precedents, and that 15 sites with similar waste have been revealed by the MOD, including Dalgety Bay.
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I know that a radioactive waste inventory of 2010 suggests there are many more sites that are not under the control of the MOD but may have radioactive waste. However, I have always argued that because of coastal erosion on a site beside the sea, there is a special case for action in Dalgety Bay that the Ministry of Defence should now accept. Nothing excuses it for refusing to act on the incontrovertible evidence now available.
In the past few months, all the facts have been produced, researched, documented and published in forensic detail. We know that without doubt the MOD was responsible for dumping the waste, and that it knew for nearly 25 years without telling us that there were safety issues and risks that should have been dealt with. We also know that if it does nothing to fund the clean-up, it will have legal obligations that it will eventually have to meet. It is surely time to bring this sad saga to a conclusion in the only way possible, and I hope I will not have to ask you, Mr Speaker, for a fifth debate before the responsible course of action is pursued. That responsible course is for the MOD to own up to the damage, to pick up the bill to get rid of the waste and clean up the area, and to do so as soon as possible. The patient and long-suffering residents of Dalgety Bay deserve nothing less.