81: Clause 15, page 19, line 24, after “to” insert “remove or to”
Member’s explanatory statement
This amendment would ensure functions can be removed as well as added to the GLA.
My Lords, this first group of amendments concerns the Greater London Authority and the London councils. We expressed concern regarding Clause 15 in Committee as we do not see why conferring more powers on the Mayor of London should be such a priority in a Bill supposedly concerned with devolution to the rest of England. Although we recognise that London’s governance is unique, we do not believe that this alone shields its governance arrangements from scrutiny.
Amendment 82 in the name of the noble Baroness, Lady Pidgeon, would expand the London Assembly’s existing powers to require the attendance not only of the mayor but of experts and professionals involved in the delivery or oversight of London’s services. It is clear that further democratic oversight of London’s services is needed, and not from the mayor alone.
Amendment 84, also in the name of the noble Baroness, would alter the voting requirement for the assembly to change the authority’s consolidated council tax requirement with a simple majority, rather than a two-thirds majority. The two-thirds majority requirement has proved to be a barrier to effective scrutiny, particularly over taxation. This is especially pertinent amid the rising cost of living for households in London and has our full support.
All these concerns and proposed changes can be deliberated further through Amendment 83, tabled by my noble friend Lady O’Neill of Bexley, to whom I am very grateful. This amendment would initiate a full review of London’s governance model within 12 months of the day on which this Act is passed, giving Parliament the opportunity to look at the GLA’s effectiveness, accountability and outcomes. This amendment also has our full support.
The amendments in my name seek to give the Government the flexibility to respond to such a review or to any changes Parliament decides on in the future. By amending Clause 15, our amendments would ensure that functions can be both removed and added to the GLA without requiring more and more primary legislation. I look forward to hearing noble Lords’ valuable contributions and I hope the Government will consider our constructive proposals to allow the Government flexibility in the future.
My Lords, I thank the Minister for meeting me so that I could explain more about my amendment, in particular the need for the wider power of summons for the London Assembly. Amendment 82 is about the need for a greater power of summons. The London Assembly has a limited power of summons over individuals and documents, but it can currently summons the Mayor of London only in very limited circumstances. The assembly is also prevented from summonsing those delivering services in London. At times, organisations refuse to attend hearings, including London councils. That cannot be right. Organisations that are delivering services to Londoners and spending huge amounts of money should be required to attend and answer questions.
When I met the Minister, it was suggested that the assembly should simply ask the mayor to secure guests who were reluctant to attend. That would be rather like the Lords asking the Prime Minister to help with our work—completely inappropriate. This power would strengthen the London Assembly and the scrutiny of services to Londoners. I therefore hope that Members across the House will support this simple amendment, which has always received cross-party support at the London Assembly. Given that there has been a shift between Committee and Report and a clear understanding of a need to increase scrutiny and transparency of mayors across the country, this amendment would help address that issue.
Amendment 84 would remove the requirement for a two-thirds majority to amend the mayor’s budget at its final stage. This is an anomaly; it does not exist in other parts of local government. This simple amendment would remove it and make it the same as for other levels of government. I am pleased to have received support from the noble Baroness, Lady O’Neill of Bexley. This is about basic democracy and powers for a scrutiny body. It would mean that any mayor would have to work cross-party to secure his or her budget. Again, I hope all Members will support this.
My Lords, I remind the House of my interest as a councillor in the London Borough of Bexley. I was previously Bexley’s longest-serving leader, with associated involvement in London Councils and the Local Government Association. I will speak to my Amendment 83 and to Amendment 84 in the name of the noble Baroness, Lady Pidgeon, to which I have added my name, as they are interlinked Before I do, I thank the Minister for Amendment 243 and the power to grant funding for distribution via a joint committee, as this will, I hope, resolve some of the issues I raised in Committee.
I raised the suggestion of a review of London governance in Committee, given that the mayoral GLA governance structure in London was the first of its kind and has been in place for about 26 years. The Minister promised me a conversation before this stage, but I suspect she ran out of time. It would still be helpful to have that conversation; it is interesting that the noble Baroness, Lady Pidgeon, got one.
As I said, the governance arrangement in London has been in place for nearly 26 years. It is interesting that that structure has never been repeated. Indeed, the Bill does not seek to replicate that same arrangement. That appears to be an indication that it is not viewed to be the most successful governance structure, so surely it would be worth considering the learning from mayoral authorities set up since, with a view to improving the arrangements in London. The irony is that I sat here the other night listening to the Minister talking about commissioners, and it occurred to me that a review of London that picks up some of the issues and shows some of the weaknesses could be of benefit to others. That would be an additional benefit.
The main difference with the arrangements post-London is that their governance relationship is between the council leaders and the mayor in pursuit of devolution, we hope to the lowest common denominator. Indeed, the proposal in this Bill suggests overview and scrutiny arrangements, whereas the London arrangement—the GLA—is considered to be for checks and balances.
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A review with learning from more recent arrangements might result in some grown-up conversations with the mayor, as well as achieving more effective strategic planning and thinking. I am sure that it would save money, as well as being more effective. This money could be spent on services needed for residents, instead of a layer of governance that could be more effective. A review of effectiveness, accountability and outcomes would also allow capture of differences in London, as well as sorting out some of the anomalies, such as the funding of the Lee Valley Regional Park, so we could actually spend money on our own parks and green spaces, rather on one that we may never visit.
If the Government believe in devolution, I hope they will support these amendments. If the Minister is unable to offer reassurance on these points, I may wish to test the opinion of the House.
My Lords, I remind the House of my interest as co-president of London Councils and, like the noble Baroness, Lady O’Neill, as a former borough leader. I think I was also the longest-serving leader in my particular borough at various times, and I am a former member of the London Assembly.
I rise particularly to address government Amendment 243, to welcome it and to say how grateful I am to my noble friend the Minister for the consultations that she had with me and also with London Councils about the content of it. The amendment that has come forward is a welcome compromise. Obviously, there is a desire from London Councils that perhaps written in somewhere should be a formal requirement to consult. But I am very pleased that the Minister and the department have been able to respond in this way, and I am pleased that it is now going to be in the Bill.
To underpin the comments made by other noble Lords in respect of the other amendments, I think that what is being forgotten is that the basis of the settlement in London was that people should work together. I do not know whether that is a criticism of the three mayors that have been, the various iterations of London Councils or the relationship with government, but I suspect that that could be improved. Whether it requires the sort of review that the noble Baroness, Lady O’Neill, has suggested, I do not know. But all I would say is that noble Lords should be careful what they wish for in such a review, because it might produce outcomes that they do not like.
I will sit down by concluding again with my thanks to my noble friend the Minister for bringing forward Amendment 243.
My Lords, I thank the noble Baronesses, Lady Scott, Lady Pidgeon and Lady O’Neill, for their amendments on the functions and governance of the Greater London Authority and London boroughs.
I turn first to Amendments 81, 154 and 156. This Government are committed to delivering a permanent transfer of power from Whitehall to our regions. Strategic authorities, including the Greater London Authority, will not be able to deliver for their residents if they fear that a future Government will be able, on a whim, to easily remove functions that have been devolved. Parliament is, of course, sovereign. The Government will always be able to introduce primary legislation that changes which functions should sit with which level of authority. However, this Bill makes sure that the Government will have to make that argument through the various stages of a parliamentary Bill; it must not be easy to take devolved powers away from strategic authorities. That is why this Bill limits the ability of this Government and future Governments to remove functions from strategic authorities using secondary legislation so that they can be exercised again by central government. It would be wrong to single out the Greater London Authority and allow its functions, and only its functions, to be removed by secondary legislation.
On Amendment 82, I thank the noble Baroness, Lady Pidgeon, for meeting me to discuss this issue. Her insight into the governance of London was very valuable to me. First, I would note that the Mayor of London is already required to appear before the assembly 10 times a year for Mayor’s Question Time. This affords assembly members an opportunity to question the mayor on a regular basis. It is a tried and tested mechanism for questioning the mayor, and is backed up by a strong incentive for the mayor to attend, in that generally, if they fail to attend six consecutive meetings, they will be removed from office. This amendment would not remove the existing mayor’s Question Time mechanism; rather, it would represent an additional burden on the mayor of London potentially requiring them to appear before the assembly multiple times within a given month.
Before the Minister sits down, could she clarify something? With the new mayors of strategic authorities, I understood that the committees voted using a simple majority. Are we now saying that it is a two-thirds majority, the same as for London, in the new mayoral authorities?
I read the Bill yesterday and thought that it was a simple majority, but there we are.
I thank the noble Baroness, Lady Pidgeon, for making the clear and compelling case for the need for change to specific London governance arrangements. These amendments are ultimately intended to help improve services for Londoners and to strengthen democratic scrutiny of the mayor, whoever he or she might be, by elected members.
I thank my noble friend Lady O’Neill of Bexley for making the case for a full London governance review. I restate our support from these Benches for her amendments. We feel strongly that this is necessary in London, as is happening across the whole country. The Government may wish to contemplate further the possibility of that review, and therefore consider more seriously at the moment our proposed amendments to Clause 15, which would allow for the removal of functions from, as well as the conferral of functions to, the GLA.
If the London governance arrangements are so unique, as the Minister made plain in Committee, we believe Parliament ought to have further oversight and that democratic scrutiny should be strengthened in London. I hope that the Government will not dismiss these proposals but give them serious consideration. I beg leave to withdraw the amendment.
Amendment 81 withdrawn.
Amendment 82
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I turn to the other amendments in this group. Our Benches do not support Amendments 81, 154 and 156, which go against the devolution agenda by suggesting that powers can just be taken back by the Government from the GLA. Why would you single out London for this? Surely we should be looking at devolving far more services and powers to local and regional government, rather than just trying to recentralise.
Amendment 83, which we will hear about shortly, calls for a review of the London model. I believe that work may already be under way looking at London. I hope the Minister can update us on that but I am sure that this probably should not be in the Bill.
The Government’s Amendment 243, which allows for grants to be paid to joint committees of London councils, rather than the current messy situation where one borough has to take the lead, is a tidying-up exercise and we support it. I look forward to hearing a positive response to my amendments from the Minister in due course.
In London there are 25 elected members of the assembly; 14 are constituency members and 11 are London-wide. They can call people before them, but they cannot instruct or make things happen, which comes back to the earlier point. The only real power over the mayor is to overturn the budget with a two-thirds majority, which in effect has never happened—something that Amendment 84 seeks to address. According to Google, the GLA’s budget for 2026-27 is £22.7 billion; that is an awful lot of money. It includes the mayor’s office, Transport for London, the Metropolitan Police and London fire. Each council tax payer on a band D property in London pays just under £500 per annum towards that.
It is an awful lot of money and, given the responsibilities, would not it be more effective to have the mayor and boroughs working together for the best outcomes for London? I am talking about outcomes such as tackling crime, making sure that our public transport is effective and efficient, and building the homes that London needs—outcomes that impact every Londoner, as well as those who come to London to work, learn or visit. In fact, in Manchester those outcomes even include health, and it could be beneficial to join up the public health or prevention knowledge in councils to deliver better health outcomes for London.
Secondly, this amendment would enable the assembly to summon witnesses who are not connected to the Greater London Authority or work on its behalf. In using a broad definition, it could allow the assembly to require attendance from virtually any entity linked to activity in, or related to, Greater London. The assembly’s power is backed up by powerful enforcement mechanisms. A person who fails to comply with the assembly’s request can be liable for a fine or even imprisonment for not more than three months. I am sure noble Lords can appreciate that the expansion of a power with such an enforcement mechanism needs to be considered very carefully. In London, the assembly has broadly either the same or similar powers to those being introduced for local scrutiny committees. As London’s devolution settlement continues to evolve, the Government will continue to work with relevant partners, including the noble Baroness.
I turn to Amendment 83, for which I am very grateful to the noble Baroness, Lady O’Neill. I recognise her very long and dedicated service to Bexley and to London. The Mayor of London is directly elected by the people of London every four years, alongside the London Assembly, which scrutinises the mayor’s work. This model is unique among strategic authorities, and it has successfully served the people of London for the last 25 years. The Government are regularly in contact with the GLA to understand how its governance, scrutiny, arrangements and partnership working arrangements are delivering for London and Londoners. As London’s devolution settlement evolves, we want to continue to see positive working between the GLA and its partners, including London borough councils, to deliver on shared priorities.
With this ongoing conversation already happening, it is not necessary to impose a formal review of London governance to be reported on at an arbitrary point. Indeed, it would be unusual to put such a requirement into primary legislation. The accountability arrangements for all mayoral strategic authorities, including the Greater London Authority, will also be strengthened by revised guidance, such as new iterations of the English Devolution Accountability Framework and scrutiny protocol.
I turn to Amendment 84 from the noble Baroness, Lady Pidgeon. Simple majority voting in London would make it harder for the mayor to exercise executive authority and deliver for Londoners in areas where other mayors are being empowered. As I have said, London’s devolution settlement has served Londoners well for 25 years, striking the balance between the executive authority of the mayor and the scrutiny of the assembly. Mayors in combined authorities and combined county authorities can have their budget amended only by a two-thirds majority, and there is no reason why London should be different.
Finally, my Amendment 243 would enable central government to pay grant funding directly to a London joint committee, such as that run by London Councils. This will address a long-standing anomaly in London’s governance. I am very grateful to the noble Lord, Lord Harris, among others, for bringing this issue to my attention, and I also thank him for his very long service to London government.
Where there are cross-borough initiatives which are outside the remit of the Greater London Authority, the committees established by London Councils are best placed to receive and direct related funding on behalf of boroughs. Among many other examples, this is evident in the Freedom Pass, which the London Councils transport and environment committee negotiates with Transport for London and pays for on behalf of boroughs. At the moment, when central government wishes to pay funding for initiatives co-ordinated by London Councils, it must use cumbersome workarounds, such as paying to a nominated lead borough or routing it through the GLA. This creates additional barriers in time and complexity to getting money where it needs to go. It also lacks transparency, making it hard for citizens to follow who is involved in the spending of their money.
This amendment is a simple yet significant change that will allow money to flow directly from central government to joint committees established by London Councils, speeding up and simplifying delivery for Londoners. It is important that any entity receiving public money has the appropriate governance and oversight in place. Therefore, this amendment enables payment to take place only once the Secretary of State has made regulations setting out eligibility requirements. Those regulations will be approved by resolution of this House and the other place.
I commend my own amendment to the House and ask the noble Baronesses, Lady Scott, Lady Pidgeon and Lady O’Neill, not to press their amendments.