Further Reading
- British Humanist Association briefing: Second reading of the Localism Bill
- Local Government Association briefing: Second reading of the Localism Bill
- Age UK briefing: Second reading of the Localism Bill
- British Retail Consortium briefing: Second reading of the Localism Bill
- Council of Mortgage Lenders briefing: Second reading of the Localism Bill
Member News
The coalition's flagship Localism Bill has its second reading in the House of Commons this afternoon.
Communities secretary Eric Pickles says the legislation will "fundamentally shake up the balance of power" in Britain and "put power back where it belongs - in the hands of the people".
But Labour has denounced the Bill as a "sham" that will see central government gain new powers and subject local councils to further "diktats" from Whitehall.
The long-delayed Bill was presented to Parliament in December, providing local communities greater scope to take over control of some services from councils.
Reaching 406 pages, with 207 clauses and 24 schedules, the legislation follows on from the coalition programme which committed the government to devolve greater powers to councils and communities.
It covers social housing reform, the devolution of power from central government to local authorities, the new planning system and reform of the housing revenue account.
Measures also contained include giving ministers the power to require local authorities to make payments in respect of EU fines.
Member Response: Construction Products Association
The Construction Products Association understands the government's desire to devolve greater powers to councils and neighbourhoods and give local communities control over housing and planning decisions. However we want to ensure that the changes set out in the Localism Bill do not negatively impact on levels of new housing and other developments, whether it be in the hiatus between the new and old system or in the longer term. Key areas of concern for our industry includes the need for adequate housing provision, decisions on key infrastructure projects and the impact on minerals planning.
Member Response: Age UK
Age UK believes Localism presents the opportunity to remove barriers so that people in later life can have a greater say in their neighbourhood and shape the services they rely on. In order for this to be achieved, however, Localism must meet the needs of the socially excluded. This necessitates ensuring that the whole community is represented, and engagement and inclusion are at the heart of new systems. The implementation of the Equality Act 2010 should be promoted to adopt 'age friendly' policy making and service delivery. Authorities should also have to consider whether an expression of interest as part of the communities right to challenge would promote or improve equality.
Parliamentarians must also examine the powers available to the secretary of state under general power of competence (Clause 5 (2)) of the Bill closely as in their current form they are wide ranging and may need to be limited.
Age UK will be judging the effective implementation of change through the bill by whether it delivers improved outcomes for older people. This means improvements in local services, planning and housing, adult social care and support, and access to volunteering. The bill needs to deliver a framework for age friendliness, whether it is in cities, towns, or local communities.
Member Response: Jane Bevis, director of public affairs, British Retail Consortium
"Mandatory ballots on proposals for business rate supplements are an essential – and welcome – improvement in the Localism Bill – business also needs a voice in ensuring that neighbourhood plans recognise the positive benefits of sustainable economic development. LEPs must have the expertise, resources and accepted role in acting as a strong business voice."
Member Response: Council of Mortgage Lenders
CML members have lent over £60 billion UK-wide to housing associations for new-build, repair and improvement to social housing. How the sector is regulated is therefore of paramount importance to lenders. It is inextricably linked to their view of risk associated with the sector, as well as their appetite for – and their pricing of – funding.
The strengthening of financial regulation through the Tenant Services Authority (TSA) has meant that housing associations have been able to continue borrowing more easily and at lower rates than other property sectors both before and during the credit crunch. The capital markets also look favourably on the housing sector and the strong investment grade ratings given to the sector are supported by the existing system of regulation and the stability associated with it.
The government has decided to make changes to how housing regulation is delivered. The Localism Bill will slim down consumer regulation, abolish the TSA and transfer its functions to a regulatory committee of the Homes & Communities Agency (HCA). It is important therefore that the bill ensures that there is a robust, transparent and independent framework of economic regulation for social housing as well as a regulatory environment that ensures housing associations continue to command the confidence of lenders and can continue to attract investment at competitive rates.
Member Response: CHILDREN with LEUKAEMIA
CHILDREN with LEUKAEMIA is the leading national charity dedicated to fighting Britain's biggest childhood cancer. We campaign to protect children with leukaemia and children at risk of developing leukaemia and seek to raise awareness of the association between leukaemia and children who live close to high voltage overhead power lines.
We welcome the opportunity that this Bill offers to give people much needed new rights through referenda and neighbourhood plans. We hope that the Bill will help local people to shape the development of their communities positively and ensure sensible plans for new power line development, away from homes, schools and play areas are implemented.
Member Response: British Humanist Association
Special privileges afforded to churches, mosques, faith-based charities and other religious organisations providing public services, which permit potentially wide-spread discrimination against those of no religion or with the wrong religion, will only create barriers to participation in the Big Society.
We want to see policies that promote real inclusion of all people regardless of belief. That means policies which do not permit refusing employment to a person for a publicly-funded position just because they do not believe in god, or which do not permit making prayer a requirement in order to receive a service. Unfortunately, current government policy allows all sorts of exclusive and discriminatory practices to take place in the provision of services by religious organisations.
Without amendments to the Localism Bill, there is a real risk of increased religious discrimination in our public services.
The BHA works closely with others, including religious groups, and we know that our concerns to have fair and inclusive secular public services are widely shared. Parliamentarians have an opportunity through the Localism Bill to make legislative changes that will rule out discrimination by religious organisations when they are working under public contract to provide services. Such moves would finally treat civil society groups equally and fairly in practice.
Member Response: Local Government Association
The LGA welcomes the thrust of the Bill and the government's aims to decentralise power and decision-making. In particular we support a General Power of Competence for councils and the possibility of broad devolved powers for councils with directlyelected mayors.
However, we oppose moves to force English councils to pay parts of fines imposed on the UK national government by the EU. This policy is unfair, unworkable, dangerous and unconstitutional.
The dismantling of the current complex, bureaucratic and inefficient housing finance system, following campaigning by the LGA, is very welcome. However, we are concerned that powers for Whitehall to reopen what is supposed to be a clean break settlement would stop councils managing their housing assets for the benefit of local residents, and they should be reconsidered.
Member Response: Neil Sinden, director of policy and campaigns, Campaign to Protect Rural England
We want local communities to have real influence over what happens in their neighbourhoods. There are some welcome proposals in the Bill on neighbourhood plans, but overall it falls short of fulfilling ambitious and exciting pre-election commitments by both coalition partners to introduce a community right of appeal.
This omission means that powerful supermarkets and other developers will be able to continue to bully and bludgeon local communities until they get the planning permissions they want.
Article Comments
The Localism Bill and Democracy
Referring to: Part 4, Community empowerment, Chapter 1, Local referendums
Positive features
1. Citizens will be able to demand and obtain a referendum on any local issue 'economic, social or environmental'. One in twenty members of an electorate must endorse the referendum proposal.
2. All levels of local government are to be involved, e.g. the Greater London Area, cities, towns, counties and districts.
3. Electronic collection of endorsements can be used.
Negative features
Design of the direct democratic procedure appears to be rudimentary and not 'state of the art' participatory democracy. The Conservative/Libdems have not heeded errors made during long experience in other countries.
1. Deliberative components are lacking
1a) A referendum demand can go directly from proposal to ballot without formal debate of the proposal by the council. This weakens the 'agenda-setting' aspect of the citizens' initiative.
1b) There is no provision for the council to put forward an alternative proposal. An alternative proposal may bring the advantage of leading to negotiation between council and proposers. If no compromise can be reached and the council rejects the original proposal then both proposal and alternative can be put to the electorate in a ballot containing a 'preference' question.
2. The requirement of 5 percent for elector's endorsements could be made fairer by having a sliding scale from, say, one in ten for small villages to one or two percent in large cities.
3. A veto or 'facultative' referendum, which can block council policy or law, should be explicitly introduced with its own rules. This requires 'rapid response' by the electorate, so rules need to be different, e.g. the number of endorsements to be gathered in order to trigger a referendum may be fewer and an embargo on the disputed council policy should be included.
4. There is no provision for public organisational or financial support of a referendum campaign (which can be very costly to the proposers) although councils are encouraged to campaign for their own position.
'Power to the people' and democracy are not fully achieved because
5. The citizen's referendum shall not be legally binding but must only be taken into consideration by the council.
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Overall, the Localism Bill's new democracy rules regulating citizen's proposition and referendum are to be welcomed with reservations.
These rules may allow politicians and government to become accustomed to democracy with a stronger role for the people.
Citizens for their part will be able to try their hand at steering government, discovering more about how their councils have worked, grappling with some complexities of public policy making, encountering freedom or lack of public information.
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Dr. Michael Macpherson
Psycho-Social and Medical Research PSAMRA $ Integral Studies
Guildford and Berlin
Founder
I&R $ GB Citizen's Initiative and Referendum
Campaign for direct democracy in Britain
http://www.iniref.org/
Dr. Michael Macpherson
23rd Jan 2011 at 3:40 pm
After D4S achieved success in our local 2008 referendum - which decided to abolish an elected mayoral system - we expected the main parties to honour their stated intentions regarding the choices they would make available to local communities should they gain power.
We were heartened by the Conservative promise to abolish the artificial 85,000 population ceiling in the cases of communities which favoured an enhanced committee system. Indeed, we campaigned on this commitment which was contained in their Control Shift policy document.
Instead of that we are seeing a massive exercise mounted by the Government to persuade communities that the elected mayoral option is the best in terms of democracy. This is despite the lack of enthusiasm shown by communities for such systems when tested by honest referenda.
That some existing councils are trying to force such a change on their citizens - either by scaremongering or deceit - merely serves to illustrate just how deeply some vested interests have penetrated local government.
Local wishes will only be respected by an honest programme to promote political literacy and a real commitment to accept the decisions made by local communities.
Mick Williams,
Convenor, D4S.
[www.democracy4stoke.co.uk]
democracy4stoke
17th Jan 2011 at 7:38 pm








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