Matthew Pennycook MP: speeches 2025

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15 May 2025 · Planning and Infrastructure Bill (Ninth sitting) · Hansard source
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The hon. Lady tempts me down a path of commenting on past Secretaries of State—I would enjoy that, but I will not do it. She is absolutely right that we must ensure that this legislation can be exercised appropriately by any Secretary of State, whoever they might be, in years to come. Where the hon. Lady and I slightly differ is on what legislation is required to do in all circumstances. We rely on Ministers to exercise their judgment in line with the relevant legislation and other obligations, for example on call-in decisions that the Deputy Prime Minister and other Ministers in my Department are asked to make. They are judgments. They are exercised on the basis of a recommendation by the Planning Inspectorate, and of the relevant material considerations, but a judgment is still exercised. We are saying that the Secretary of State has to exercise a judgment on the “overall improvement test” but on the basis of advice from Natural England, once consultation has been carried out. As the hon. Member for Taunton and Wellington mentioned, clause 55 gets to the heart of this approach. We are reflecting on the points made in the letter from the Office for Environmental Protection. I want to set out why we feel our approach is right, and that the necessary safeguards are built in. I will deal briefly with the amendments in turn, starting with 119. Changing “are likely to” to “will” would require a greater deal of certainty from the Secretary of State before they would be able to make an environmental delivery plan. That does get to the heart of the difference in approach. In moving away from a site-by-site assessment to trying to improve outcomes for nature in the round, over a wider geographic area, we have to move away from a time period in which those conversations, or offsets, can be delivered on those sites specifically. By its very nature, the approach requires a degree of, if you like, gazing into an as-yet-unknown future. The test of “likely” makes that difficult to achieve.
15 May 2025 · Planning and Infrastructure Bill (Ninth sitting) · Hansard source
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If the hon. Lady will let me respond to this point, I will then address her point. It is precisely that flexibility that we want to allow Natural England to use, because over that wider geographic area, it can look at which conservation measures, in the round, will have the most impact, rather than costly gold-plating, which happens now in certain circumstances— I will not repeat the individual cases, but we hear about them in the press a lot—and often leads to bad outcomes, and which flows from the site-by-site assessments that must take place. What gets to the heart of the approach, and is the reason why some of these amendments are deeply problematic, is that, under this approach, we cannot be as unequivocal as we can currently on the basis of individual site-by-site assessments. There needs to be the opportunity to take a forward view as to what will have the likely effect of having an overall benefit for nature in the round across the EDP area.
15 May 2025 · Planning and Infrastructure Bill (Ninth sitting) · Hansard source
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I thank the hon. Gentleman for that intervention. Without in any way denigrating the amendment tabled by the hon. Member for North Herefordshire, the hon. Gentleman’s amendment is a subtler way of attempting to constructively suggest how the Bill might be improved, but we still think it is problematic, for the following reasons. It would apply a higher threshold to the improvement test in clause 55 —namely, that measures are likely to be sufficient to “significantly” outweigh the negative effect of development. The addition of “significantly” into the improvement test would mean that measures would need to be likely to significantly outweigh the negative impact of development, and that would require more than a marginal improvement. It would also introduce uncertainty as to what could be classified as “significantly” outweighing the negative impact—as well as, I might add, an associated risk of legal challenge. In that sense, in seeking to press EDPs to deliver far in excess of the impact that arises from development, amendment 14 risks undermining the efficacy and placing an undue burden on developers, notwithstanding the legal risk I have just mentioned.
15 May 2025 · Planning and Infrastructure Bill (Ninth sitting) · Hansard source
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We think the Bill provides that certainty, which is why the Secretary of State felt able to make that statement, but—this is really important— while the hon. Lady has clearly indicated that she, like us, is unhappy with the status quo, and while I think she recognises the limitations of the impact we can have in terms of beneficial nature outcomes using the current, individual site-by-site-assessment basis, her amendment 20 would, in practice, result in the continued need to assess development on a case-by-case basis and would require conservation measures to address the specific impacts of each development. It does not provide the necessary flexibility that will lead to better outcomes for nature, while at the same time unlocking development and allowing it to be accelerated.
15 May 2025 · Planning and Infrastructure Bill (Ninth sitting) · Hansard source
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As I set out, there is a requirement to go out to public consultation when significant amendments are made. That would be a general consultation, in the sense that we are moving beyond a site-by-site assessment. Again, it is for Natural England to set out how the EDP will function across the whole area. To return to the point raised by the hon. Member for North Herefordshire, we do not think there is a requirement to consult in every instance, when some changes could be minor. If an overall improvement test is no longer met, revocation is of course an option of last resort, and the Bill includes various safeguards to ensure that we do not reach that point. Those safeguards include the ability to deploy back-up conservation measures if monitoring indicates underperformance of the primary conservation measures, and the option to amend an environmental delivery plan or to reduce the capacity of development under the environmental delivery plan. If, however, a decision is reached to revoke an environmental delivery plan, the legislation is clear on two fronts. First, development that has relied on the environmental delivery plan prior to revocation is not affected by the decision to revoke. Secondly, the Secretary of State will consider appropriate actions to ensure that the negative effect of development on environmental features, where a developer has already committed to pay the levy before revocation, is suitably addressed. That will provide certainty for developers that they can rely on environmental delivery plans, and certainty for local communities and environmental groups that the environment will be protected in all situations. That links to Government new clause 66, which provides the Secretary of State with the power to make a compulsory purchase order in fulfilling their obligations when an environmental delivery plan is revoked. To deliver any appropriate conservation measures, it may be necessary to utilise powers of compulsory purchase. The new clause provides the Secretary of State with the necessary powers to ensure that they can fulfil that duty as part of the wider package of safeguards that underpin this new approach. Similarly, Government new clause 72 ensures that the Secretary of State can take the steps necessary in the event of revocation, by granting them powers of entry when they are delivering conservation measures where an environmental delivery plan has been revoked. We recognise that such powers should be provided only with appropriate constraints, which is why the clause includes appropriate safeguards. With that explanation, I commend clause 59 and the new clauses to the Committee. I should also touch on amendments 15 and 128. Amendment 15, tabled by the hon. Member for Taunton and Wellington, would raise the threshold for the actions the Secretary of State must take on revocation of an environmental delivery plan. The safeguards I have just outlined already ensure that we secure positive environmental outcomes. In seeking to require the Secretary of State to take actions to “significantly” outweigh the impact of development, the amendment, as per previous debates, would place an undue burden on the state to go beyond the overall improvement that sits at the heart of this new approach and that already delivers more than the current system. I hope the hon. Gentleman is sufficiently reassured on those safeguards and will not press his amendment. Amendment 128 was tabled by the hon. Member for Keighley and Ilkley, and I hope that, in this instance, it is at least coherent internally, even if it is not aligned with the measures in the Bill. It would require the Secretary of State to seek to return land obtained through compulsory purchase orders, in the event of an environmental delivery plan being revoked. The important point to stress is that nothing in the legislation would preclude the return of surplus land to former owners, their successors or sitting tenants in accordance with the Crichel Down rules. However, it would not be appropriate to require the Secretary of State to return that land to its former owner whenever an environmental delivery plan was revoked. The land would not be surplus if it were needed to secure conservation measures that may be necessary in the event of revocation. The amendment would reduce the ability of the Secretary of State to use land already secured under the environmental delivery plan to fulfil their obligations in the event of the EDP being revoked. With that explanation, I hope the shadow Minister will agree not to press his amendment.
15 May 2025 · Planning and Infrastructure Bill (Ninth sitting) · Hansard source
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I appreciate why the shadow Minister raises that point. I am confident, for the following reasons. A six-week timeframe to challenge an EDP is in line with similar legislation on plan making. For example, the statutory consultation period for local plans is six weeks, as set out in regulation 19 of the Town and Country Planning (Local Planning) (England) Regulations 2012. We think it is an appropriate timeline, and there is precedent. We are trying to strike a balance between allowing sufficient time for an EDP to be challenged when it is made, amended or revoked—in all the circumstances that I set out—and not making the period so long that it will not allow for EDPs to be prepared and implemented as swiftly as possible, which is obviously the objective of the Bill. I hope that, on that basis, the shadow Minister is reassured. Question put and agreed to. Clause 60 accordingly ordered to stand part of the Bill. Ordered, That further consideration be now adjourned. —(Gen Kitchen .)
15 May 2025 · Planning and Infrastructure Bill (Ninth sitting) · Hansard source
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The shadow Minister makes my case for me, because we want to allow Natural England to have that flexibility.
15 May 2025 · Planning and Infrastructure Bill (Ninth sitting) · Hansard source
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I thank my hon. Friend for that contribution, although I do not expect hon. Members to just take me at my word; I think they should both interrogate the Bill and the provisions and reflect on my further comments. Although I caveat everything by saying that we are grateful to the Office for Environmental Protection for its recent advice and its support for the intention of these reforms—let us be clear: it supports the intention and we are carefully considering its advice —we are clear that this approach will deliver more for nature, not less. The important thing is that those improved outcomes—and they are improved outcomes; we are not talking about merely maintaining the status quo—can be achieved only if we are willing to do things differently. That is why the Bill establishes an alternative to existing processes, but only where that will lead to better outcomes. I should make a brief comment about Natural England, as the other body that will be involved in the design and implementation of environmental delivery plans. It is slightly unfair, if I may say so, for the hon. Member for North Herefordshire to suggest that there is a stark conflict of interest here. As I have said in previous sittings, Natural England has the expertise and ecological skills to make the right judgments. It will put in place suitable propriety barriers to ensure that it can act effectively as both an advisory body and the body tasked with preparing, designing and implementing EDPs.
15 May 2025 · Planning and Infrastructure Bill (Ninth sitting) · Hansard source
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I will make a bit of progress, then I will be happy to give way. Hon. Members may say that those safeguards are not sufficient, but we trust elected Members in ministerial capacities to exercise their judgment, in line with the ministerial code and taking into account their obligations under both international and domestic law. We trust them to do that. If hon. Members take issue with the basic fact that a Secretary of State can exercise judgment, then we disagree.
15 May 2025 · Planning and Infrastructure Bill (Ninth sitting) · Hansard source
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The clause sets out the approach to challenging an environmental delivery plan. As the obligations discharged through an EDP will not be subject to separate consideration at the point of development consent, we recognise that it is important that EDPs are subject to appropriate scrutiny. Earlier clauses provided for consultation in respect of EDPs, and clause 60 provides a route to challenge them. The route of challenge enables a claim for judicial review to be brought within a period of six weeks from the date that the EDP is published. The same six-week period for judicial review is available following any decision by the Secretary of State not to make an EDP or to amend or revoke one, or when the Secretary of State has decided not to amend or revoke an EDP. The decisions of the Secretary of State and Natural England in preparing EDPs must be subject to scrutiny, and the clause sets out a clear, time-bound mechanism for parties to question those decisions. For those reasons, I commend the clause to the Committee.
15 May 2025 · Planning and Infrastructure Bill (Ninth sitting) · Hansard source
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I do not think it will be, for the reasons I have given: suitable propriety barriers will be put in place and the House will be able to take a view on whether those are sufficient. I would also slightly push back on the idea that Natural England is judge and jury when it comes to EDPs. The Secretary of State has responsibility for judging whether an EDP meets the outcomes test on the basis of advice from Natural England.
15 May 2025 · Planning and Infrastructure Bill (Ninth sitting) · Hansard source
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To be clear, in assessing that the amendment in question would result in the need for continued assessment on a site-by-site basis, I am referring to amendment 20. I am absolutely certain that that is what it implies. Amendment 119, which I think the hon. Lady has just spoken to—there is a slight risk of conflating the two—is problematic for other reasons. As I have said, it introduces an inappropriately high bar that will, in effect, make it incredibly difficult for the Secretary of State to meet the test. There is, as I have said, a necessary degree of future gazing here, in terms of the change in approach. I certainly do not want to curtail debate, but I do want us to debate the other clauses in the Bill. I think I have firmly set out the Government’s position—why we think the Bill does achieve the very clearly stated intentions that we have set out—but I go back to the fact that we are very cognisant of the concerns in this area. We want to ensure that sectors have confidence in the operation of environmental delivery plans, and that is the reason— I am more than happy to debate it with the hon. Lady outside the Committee and at later stages of proceedings on the Bill—why we will reflect on the very specific points that the OEP has made on a number of clauses. Amendment 97 agreed to. Amendment proposed : 119, in clause 55, page 88, line 7, leave out “are likely to” and insert “will”.— (Ellie Chowns.) This amendment would mean that an EDP would only pass the overall improvement test if it is certain that the proposed measures will outweigh any negative environmental effects caused by the development. Question put, That the amendment be made.
15 May 2025 · Planning and Infrastructure Bill (Ninth sitting) · Hansard source
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I will give someone else a chance, but I am happy to come back to the hon. Lady.
15 May 2025 · Planning and Infrastructure Bill (Ninth sitting) · Hansard source
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It is the Chair’s job to say so, but I do not think the hon. Lady can intervene on an intervention. I thank the shadow Minister for his contribution. It would not be the best use of our time if I were to flick through the Bill while on my feet and attempt to find the relevant subsection. I will happily write to the hon. Member for North Herefordshire to set out how the requirements in clause 58 operate. In designing the legislation, we have sought to avoid situations where the Secretary of State would be forced to revoke an environmental delivery plan where it would still meet the test of securing better outcomes for nature. A practical example of where it would be right to allow such amendment is where an EDP has proposed conservation measures to cover more development than is subsequently expected to come forward. There may be instances where the level of development is reduced, and then it may be appropriate to amend the EDP. In such circumstances, it would be right to amend and to reflect the reduction in the scale of development covered and the corresponding conservation measures. Amendment 11 would prevent that and would force the Secretary of State to revoke the environmental delivery plan or to keep the inaccurate plan in place. In the event of a substantive change to the environmental delivery plan, both a public consultation and approval by the Secretary of State would be required. That would give the opportunity for environmental groups and local stakeholders to have their voices heard, and for Natural England to present evidence that provides assurance that the overall improvement test would continue to be met. With that explanation, I hope the hon. Member for Taunton and Wellington will agree to withdraw his amendment. Clause 59 establishes the process for revoking an environmental delivery plan, and the circumstances under which the power will be used. When the Secretary of State approves and makes an environmental delivery plan, they are taking a decision at a specific point in time. However, we recognise the need to retain the ability to revisit this decision if necessary and ultimately to revoke an environmental delivery plan if the overall improvement test is no longer met.
15 May 2025 · Planning and Infrastructure Bill (Tenth sitting) · Hansard source
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I appreciate where the hon. Gentleman is coming from. In the correspondence I will send to the Committee, I am more than happy to try to give hon. Members a sense of how the provisions in the Bill do or do not interact with the existing developer contribution system. However, section 106 agreements are a very different proposition from what we are discussing. We are talking about a nature restoration levy payment, managed by Natural England and directly for use on conservation measures that form part of an EDP. So section 106 is an entirely separate issue. I recognise—I think this is the hon. Gentleman’s point—how issues of viability will be addressed in the calculation of the levy payment. What I would say to that is that this is a regulation-making power; the regulations will come forward with further detail, and we have made them subject to the affirmative procedure. We will have further debate in the House on the technical detail of how those regulations look when they are published. This is just the regulation-making power that will allow the levy to be charged. On that basis, I hope I have somewhat clarified the issue.
15 May 2025 · Planning and Infrastructure Bill (Tenth sitting) · Hansard source
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Briefly, it is worth my putting on the record the following so that the Committee is clear about the Government’s position. The mitigation hierarchy is still a requirement of the national planning policy framework. It is established through that, and it continues to operate. But we think—I have been very honest about this—that the new approach in the Bill requires flexibility, where appropriate—
15 May 2025 · Planning and Infrastructure Bill (Tenth sitting) · Hansard source
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It is late in the day, Mrs Hobhouse, and people are running away with themselves in various respects, but I do want to provide members of the Committee with as much reassurance on this point as we can provide as the Government. I will be able to set out the reasons I think their concerns are unfounded and why I think the interpretation they have put on these new clauses is not accurate, and why, for reasons of operability, we need to ensure they are in place. As part of that, I also commit to write to the shadow Minister on the specific and fairly technical series of questions he has put to us about public bodies in respect of clause 75. With that, I commend the clauses to the Committee. Question put and agreed to. Clause 75 accordingly ordered to stand part of the Bill . Clause 76 ordered to stand part of the Bill . Schedule 6 Amendments relating to Part 3 Amendments made: 103, in schedule 6, page 156, line 35, leave out “, as it applies in England and Wales,” See the explanatory statement for Amendment 101. Amendment 104, in schedule 6, page 156, line 35, at end insert “(see also section 95(1A) (extent of this paragraph is England and Wales only)).”— (Matthew Pennycook.) See the explanatory statement for Amendment 101. Amendment proposed : 121, in schedule 6, page 157, line 34, leave out paragraph 41.— (Gideon Amos.) Question put, That the amendment be made.
15 May 2025 · Planning and Infrastructure Bill (Tenth sitting) · Hansard source
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Clause 71 sets out the broad functions of Natural England in respect of the nature restoration fund. As will have become clear from earlier clauses and previous debates, Natural England will administer environmental delivery plans; that is, it will do everything required to prepare the documents themselves, as well as take them through the processes of consultations and scrutiny before they are made by the Secretary of State. This will include its administrative responsibilities in monitoring and preparing reports on an environmental delivery plan’s progress. Natural England will also be responsible for securing the delivery of the conservation measures necessary to implement what is set out in the environmental delivery plan, to ensure that it meets the necessary overall improvement test, and delivers positive outcomes for nature. This clause makes it clear that these functions may include the development of land, for example, to create a certain habitat to improve the conservation status of a protected site. There will be instances where it is more prudent, cost-effective or timely for another body, whether public authority or private business, to carry out certain measures, so the clause gives Natural England the ability to pay another person to take conservation measures. That will ensure that Natural England can work with other providers where needed to ensure the timely and effective delivery of conservation measures, and for that reason I commend the clause to the Committee. Throughout the development of the nature restoration fund, we have been clear that that Natural England must have the appropriate powers to deliver on the ambitions of the reforms. That is why we have tabled Government new clauses 67 to 71, which will ensure that Natural England has sufficient powers of entry to survey or investigate land. That will allow Natural England to conduct surveys, take samples, or conduct any exploratory works necessary to produce an environmental delivery plan or deliver conservation measures. We recognise that such powers should be provided only with appropriate constraints. With that in mind, the powers are not exercisable to enter a private residence and entry must take place at a reasonable time. Where land is occupied, Natural England or the Secretary of State must give at least 24 hours’ notice in writing to the occupier, unless the occupier of the land is a relevant statutory undertaker, where the notice period is 21 days. If, in seeking to exercise powers of entry, Natural England has been or is likely to be denied entry, the amendments also provide for the courts to issue a warrant to enter land. They create two relevant offences relating to the power of entry: intentionally obstructing a person acting in exercise of this power, and disclosing confidential information obtained in the exercise of a power of entry for purposes other than those for which the power was exercised. These powers are crucial to ensure that Natural England is able to carry out its functions effectively, and for those reasons I commend the new clauses to the Committee. Clause 73 provides that, as well as preparing environmental delivery plans, Natural England must produce an annual report on the exercise of its functions in respect of the nature restoration fund. As previously set out, environmental delivery plans have a dual purpose in facilitating the development the country needs to meet its ambitious goals for housing and growth, while contributing also towards the restoration of our natural environment. Given the central role environmental delivery plans will play, it will be important that the Secretary of State, as well as the public and Parliament, are provided with regular information across a range of matters relating to the plans. Clause 73 establishes an appropriate proportionate requirement for Natural England to prepare an annual report to fulfil this purpose. The Secretary of State will prepare guidance with further detail on how the report should be prepared, with this clause setting out core matters that the report must include, such as where environmental delivery plans are in place, and an assessment of each one that is in force. This report will be published and laid before Parliament so that it can receive appropriate scrutiny from all hon. Members. This is an important step to ensure transparency and to provide information to support the ongoing delivery of EDPs, as well as the design of future environmental delivery plans. For these reasons, I commend this clause to the Committee. Turning to clause 74, Natural England has a central role to play in preparing and implementing EDPs and is already planning how to deliver the first tranche. However, as we have discussed, circumstances may arise in which it is prudent or necessary for another body to assume some or all of Natural England's functions in this space. Clause 74 provides the Secretary of State with the power to make the necessary changes to allow another public body to exercise the same functions as Natural England in respect of environmental delivery plans. That includes the ability to confer powers granted to Natural England under part 1 of the Natural Environment and Rural Communities Act 2006 on an alternative body for the purpose of administering and implementing EDPs. In designating an alternative body, it may also be necessary to transfer certain rights, assets and liabilities from Natural England for those functions to be carried out. Government new clause 65 provides the mechanism for doing so. Throughout these clauses we have sought to ensure the nature restoration fund is fit for purpose today, but also able to adapt to changes in the future. It is on that basis that we have proposed the inclusion of a power to designate another body to exercise the functions of Natural England. I commend these clauses to the Committee.
15 May 2025 · Planning and Infrastructure Bill (Tenth sitting) · Hansard source
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Let me make a couple of comments in response. First, I understand the point that has been made, but a fair amount of the detail will come through regulations. The House will have an opportunity to scrutinise those, and they will, as I said, be under the affirmative procedure. Secondly, to refer the shadow Minister back to clause 62, I think issues such as phasing and complex development are dealt with in subsection (2). My other, wider point goes perhaps not to the kids in schools, but certainly to the species that existing arrangements are designed to provide for. Developers are already paying a separate type of fee to discharge their environmental obligations. The Bill proposes a smarter way of doing that, and the levy will proceed on the basis of that smarter way to discharge those obligations. I have not had the chance to say this, and it is worth doing so, but it is the Government’s clear intention that the aggregate cost of conservation measures to developers under an EDP is no greater than it is under the status quo for existing mitigations. The Government’s intent is not to charge developers more. This is a more effective, strategic and efficient way to discharge existing environmental obligations on a strategic scale. However, further detail will be forthcoming. Question put and agreed to. Clause 63 accordingly ordered to stand part of the Bill. Clause 64 ordered to stand part of the Bill. Clause 65 Appeals Question proposed, That the clause stand part of the Bill.
15 May 2025 · Planning and Infrastructure Bill (Tenth sitting) · Hansard source
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Let me make a couple of points in response. I did not state that a particular clause in the Bill, “effectively maintains the mitigation hierarchy”; I said that that was the Government’s belief as to the effect of the Bill, and it is also the view of the chief executive of Natural England. We have been very clear that our approach requires flexibility to diverge, and this is where I would gently challenge the hon. Lady. It is all well and good for her to say, “I agree with the objective of a win-win for nature and development.” We can all agree with that. I am challenging her as to where she agrees with the fundamental requirements of how our strategic approach will operate. On this particular amendment, I would make the point that in reinstating as it does—
15 May 2025 · Planning and Infrastructure Bill (Tenth sitting) · Hansard source
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The hon. Member is right that those powers are there. The reason the new clauses are required is to ensure the operability under the nature restoration fund. To provide him with a little more detail, which I hope might be helpful, in respect of the Protection of Badgers Act the new clauses extend which prohibited activities may be covered by a licence to cover what will be needed for an EDP. The new clauses also provide for a greater alignment between licences granted under the existing Protection of Badgers Act and those granted in respect of other species under the Wildlife and Countryside Act 1981 and the Conservation of Habitats and Species Regulations 2017. EDPs will set the terms of a licence, but we need these new clauses to ensure operability under the nature restoration fund. As I said, I am more than happy to write to hon. Members to reassure them on this point, but I do think their concerns are somewhat unfounded and I do not think the interpretation they are placing on the Government is correct.
15 May 2025 · Planning and Infrastructure Bill (Tenth sitting) · Hansard source
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I thank the shadow Minister for that intervention. I will say two things. First, I again slightly caution against reading section 106 agreement provisions directly across into the clause we are debating. Secondly, the point he makes about regional variations in viability challenges is a good one, and it will, I am sure, be one of many issues the regulations have to consider. However, the full detail of those regulations will be forthcoming in due course, once the Bill receives Royal Assent. As I said, clause 64 and the regulations that flow from it will play an important part in ensuring that the setting of the levy reflects the appropriate administrative costs in connection with the environmental delivery plan, as well as ensuring that processes are integrated wherever possible. In addition, the clause provides the necessary flexibility to ensure that the nature restoration fund is capable of accommodating different approaches to the setting of charging schedules—a point that relates to the discussion we have just had. That will ensure that environmental delivery plans can, where appropriate, deploy different approaches to calculating the levy rate—for example, reflecting the fact that some environmental issues are better considered on a per-dwelling basis, whereas others may benefit from calculating the levy based on the footprint of the development. In designing the measures, we have sought to ensure that we have the flexibility to tailor our approach to the unique circumstances on the ground as they pertain to each individual EDP. The shadow Minister, the hon. Member for Hamble Valley, may address amendment 129 in due course, but I will turn to it now. The amendment, which was again tabled by the hon. Member for Keighley and Ilkley (Robbie Moore), would prevent Natural England from including the cost of acquiring land when considering the nature restoration levy rate that developers will be required to pay. The nature restoration fund model will need to operate on a full cost recovery basis, as we have discussed, so excluding the cost of land from the levy price paid by developers would shift the burden of developers’ financial responsibilities to the state. Under the existing system, developers are required to meet the cost of mitigation measures, which would include the cost of purchasing the land. That is the situation as it stands. That shows that the capital cost of land is not an additional cost that is being added on to developers. If land purchase could never form part of a levy-funded environmental delivery plan, Natural England would be required to rely on other measures, which may be more expensive and less effective in addressing the impacts of development. On that basis, I hope the shadow Minister will not press his amendment, and I commend both clauses, as currently drafted, to the Committee.
15 May 2025 · Planning and Infrastructure Bill (Tenth sitting) · Hansard source
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As complimentary as the shadow Minister is being about me, I think it is a stretch—even for someone such as myself, who has lived and breathed this for years—to have been setting out while in opposition the fine details of collection for nature restoration levy regulations forthcoming. That is a level of detail that I did not get into, and would not be expected to, and that the House can consider when those regulations come forward.
15 May 2025 · Planning and Infrastructure Bill (Tenth sitting) · Hansard source
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I think I understand the shadow Minister’s point. Obviously, the normal process for compulsory purchase would apply. We will come to CPO provisions later. If I have not covered it, I am more than happy to go into further detail at that point. As I have set out, in order for an environmental delivery plan to be made, there must be sufficient certainty that the conservation measures are deliverable to allow the EDP to pass the overall improvement test. The possibility of using compulsory purchase where other options are not available is, in our view, essential to the operation of the nature restoration fund. That does not change the fact that, in practice, compulsory purchase will always be the least preferred delivery option, with a negotiated procurement of land use or management changes being the natural starting point, wherever those are required. While talk of compulsory purchase can raise concerns—I understand those, and we debated them on Second Reading —we expect farmers and land managers to benefit, with the nature restoration fund providing opportunities to diversify their business income. We will debate Natural England’s compulsory purchase powers more fully when we reach clause 72. Given the environmental and practical need for these limited powers, I hope that the hon. Gentleman agrees to withdraw the amendment. I turn to amendments 131 and 10, which seek to remove the ability for regulations to make provision for Natural England to reserve money for future expenditure. By removing the circumstances in which Natural England can reserve money for future expenditure, the amendments would limit the flexibility for Natural England to secure the most appropriate conservation measures and would prioritise haste over environmental outcomes. In our view, they would also restrict Natural England’s ability to plan for unforeseen circumstances and allow money to be made available to react to changing circumstances. The Bill provides a number of additional safeguards to the use of the nature restoration levy, which will ensure that money is spent effectively and transparently. I will set those out when we reach the debate on clause 66. Natural England will, of course, not wish to unnecessarily delay the procurement of conservation measures once levy funding is received, and preventing prudent financial management would not assist it in that endeavour. With that explanation, I hope that the hon. Members will agree not to press their amendments. I turn finally to amendment 132, in the name of the hon. Member for Keighley and Ilkley. This would require any unused funds to be returned to developers where an EDP no longer requires funding. We recognise that a requirement for Natural England to return any unused funds could reduce the cost to developers. However, we do not expect Natural England to be left with significant residual funds at the end of an EDP. Natural England will be encouraged to ensure that the costing of conservation measures is clear from the start and, as I have said, subject to consultation. In the event that there are unspent funds that are not required to secure the conservation measures under the EDP, those funds will be directed towards additional conservation measures and securing additional positive environmental outcomes. Should the EDP period elapse before the outcome is achieved, the funds will continue to be invested until the required environmental outcome is achieved. In addition, any system of dividing up and returning residual funding would risk making environmental delivery plans more expensive and would distract Natural England from focusing on developing and delivering them. It is important to emphasise again that developers are not paying for specific conservation measures on a site-by-site basis. They are providing a contribution to secure the package of conservation measures required across the EDP geography to outweigh the impact of development covered by the plan. With that explanation, I hope that the hon. Member for Taunton and Wellington might consider withdrawing his amendment.
15 May 2025 · Planning and Infrastructure Bill (Tenth sitting) · Hansard source
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indicated dissent .

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