- [Relevant documents: Fifth Report of the Housing, Communities and Local Government Committee of Session 2021-22, Local government and the path to net zero, HC 34, and the Government response, CP 589; Report by the Comptroller and Auditor General on Local government and net zero in England, HC 304, Session 2021-22; Written evidence received by the Environmental Audit Committee in relation to local government and net zero in England, HC 497, Session 2021-22; Oral evidence taken by the Environmental Audit Committee on 8 September, 22 September and 21 October 2021 on Mapping the path to net zero, HC 497, Session 2021-22.]
- 6:03 pm
- I beg to move,That this House has considered the role of local government in reaching Net Zero.I thank the Members across the House who supported the application, as well as the Backbench Business Committee for granting this debate today, World Environment Day.The Government ignore at their peril the vital role of local authorities in delivering net zero. The Committee on Climate Change, the National Audit Office and the independent review of net zero all agree that the UK cannot meet its net zero targets without local authorities. The CCC shows that local authorities have influence over a third of UK emissions. The net zero strategy puts the figure at 82%.Local authorities determine what is built in our communities, how we get from place to place, how we reduce our waste, and much more. They are best placed to understand their communities and deliver policies that fit their place. Those communities are let down by a Westminster Government who prevent local authorities from decarbonising their areas according to their need. Forty per cent of people most trust their local authority to act on climate change. That is much higher than the faith they place in central Government or in business. It is time that the Government treated local authorities as equal partners and gave them the funding and powers that they need to reach net zero.
- I congratulate the hon. Lady on securing this important debate. On funding, does she agree that, as well as reversing the 13 years of serious cuts that are preventing local authorities from greening elements of their areas, we need to move away from piecemeal competitive funding for specific projects? Such funding means that local authorities cannot plan for the long term and waste a huge amount of time bidding against each other, rather than getting the funding they need to roll out now.
- I totally agree. The hon. Lady pre-empts what I will say later in my speech. The competitive process wastes so much time and local resources that could be spent on delivering projects.More than 300 local authorities have set a net zero target and declared a climate emergency, and 132 councils have net zero targets of 2030 or sooner. Liberal Democrat-run councils have had remarkable successes in implementing sustainable, green policies against a backdrop of substantial barriers; they could do so much more. My Bath and North East Somerset Council has become the first in England to adopt an energy-based net zero housing policy. That ensures that any new housing development is energy self-sufficient and puts a limit on building emissions. My council is also the first in the west of England to adopt a biodiversity net gain policy. But such brave initiatives cannot survive unless central Government are truly behind such progressive policies and support rather than undermine local authorities, particularly when it comes to planning applications that go to appeal where developers get their way and do not build the green buildings that we need.Beyond Bath, the Liberal Democrat-run Cheltenham Borough Council has implemented a green deal that has helped local businesses to invest in solar panels and heat pumps, led by the Liberal Democrat parliamentary candidate, who, I hope, will tell us all about it once we have had a general election. In Richmond, the Liberal Democrat council has been independently recognised by CDP—a global not-for-profit charity that runs disclosure systems and is regarded as the gold standard for environmental reporting—as one of 123 cities and boroughs across the globe taking bold environmental action.In Stockport, Liberal Democrats successfully implemented the Stockport schools climate assembly. That involved young people from several schools coming together to learn about, propose, debate and vote on climate action ideas. Their first ask was to make sustainable and biodegradable period products more available in schools. The council responded by creating a programme that delivered funding and training to implement that. Stockport Council has called on the Manchester Mayor to roll out such school climate assemblies across the region. I will go further: we should have them across the UK.
- I congratulate the hon. Member on securing the debate. Manchester City Council has prioritised reducing its impact on the climate with the ambitious target of zero carbon by 2038. Even though that great work is happening, local authorities require more support. Does she agree that, for effective and efficient net zero plans to be met, the Government must make funding more certain and long term?
- I absolutely agree. We need councils to spread their wings and deliver, but they cannot if they do not have the funding, which must ultimately come from central Government. Local authorities in Manchester, Bath and Brighton—wherever we are—should have the freedom and the money to make their own decisions for their local communities.We Liberal Democrats recognise the importance of community buy-in: we need to win hearts and minds to persuade people that net zero projects are good for their communities. Only with consent from our communities can we deliver the path to net zero. That is why empowering local authorities as much as possible is so vital. More and more power and decision making has been eroded away from local government during the last decade—that must stop and be reversed.Local authority spending power has fallen dramatically since 2015, largely because of central Government grants being cut by more than 40% over that period. Spending per person decreased in real terms for 79% of local authorities between 2015 and 2022. The less money local authorities have to spend, the less climate action they can take. Although I welcome the Government’s recent increase in local authority funding, it is far too late. UK100 has pointed out that the funding process from central Government for net zero projects is “opaque, sparse, and competitive”. Even the new Department for Energy Security and Net Zero has admitted that it does not know how many grants there are. The competitive tendering process whereby every local council rushes for a small amount of money is completely inadequate when it comes to the enormous task to deliver net zero.
- I congratulate my hon. Friend on securing this debate. In my area, St Albans City and District Council has just won a staggering £8.5 million from a Government fund to make homes energy efficient and to reduce bills. That is the largest sum of money won by any council of our particular size, but even that will only go towards making 900 properties—about a fifth of the council’s total housing—energy efficient. Does she agree that, if councils were no longer forced to compete against each other time and again, councils such as St Albans could go further faster, because we know that our communities are champing at the bit to get this stuff done?
- I congratulate my hon. Friend’s local authority on getting that amount of money, which is obviously welcome but is not enough. I think the Minister will hear from across the House that the competitive process is a real problem, because it wastes time and money—money that could be spent directly on the projects themselves.
- The reality is that we also have to talk about scale. York wants 73,000 heat pumps and 22,000 new connections to sustainable district heat systems, and we have 44,100 homes that need retrofitting and 24,000 that need microgeneration through solar energy—all by 2040. If we do not scale up the funding, we will never reach those targets.
- We all need to grasp the enormity and scale of what needs to be done. The ambition of central Government is just not big enough, whereas I find that the ambition in local authorities is very high and the will to deliver on that high ambition is much bigger in local authorities than we currently see in central Government.In the updated net zero strategy, the Government agreed to simplify the funding process. Local authorities have spent £130 million since 2019 simply on applying for competitive funding pots—£130 million that could have gone into the projects.
- Large-scale funding is required to address the scale of the challenge facing local areas when it comes to housing and bringing homes up to decent standards, and the hon. Lady is absolutely right about ensuring that that is provided equitably across the country. If we are serious about net zero, the Government need to provide the appropriate funds to retrofit 19 million homes across the country, so that they can be up to the necessary energy performance certificate standard and provide the benefit of reduced energy costs to millions of households. That is the kind of ambition we need, but it is lacking from this Government. Does she agree that that is what the Government need urgently to do?
- I agree; I could not have put it better myself.Let me return to the grants, which are currently rigid and tied to certain areas, meaning that councils can end up with money for projects that are not right for their communities. Not only have we not got enough money; when we do have it, it is often not the right sort of money, nor what our communities need. For example, a council could receive money for additional bus lanes when increased bus services would be preferred, or they might receive money designated for e-bikes when such provision is not really right for the needs of the community. Net zero grants must be made more flexible to help local authorities to spend the money on projects that work in their area.The Government have spent more time blocking local authorities than they have empowering them. Many councils I have spoken to said the biggest barrier they face in implementing net zero policies is central Government. Onshore wind is an example. Some 77% of people would support a new onshore wind farm in their area—people know that renewables are the solution to our energy crisis—but the Government’s effective ban on onshore wind has denied communities this investment. Housing is another example that has already been mentioned. The UK has some of the leakiest homes in Europe. Net zero will remain a pipe dream in the absence of a huge and comprehensive retrofit programme; we need to understand the scale and we need the money to retrofit.
- I am grateful that the hon. Lady is recognising the problems around funding, but also around regulatory frameworks. She will know that a report by UK100 has said that local authorities face what they call “Kafkaesque” barriers to pursuing net zero, one of which is in the area of transport. As she knows, the all-party parliamentary group on the green new deal undertook an inquiry on transport, concluding that we need local authorities to have the powers and the funding to modernise their own local public transport networks. Does she agree?
- Indeed. Again, the hon. Lady pre-empts me; I will come to that point in a minute. Local authorities need much more control over what is happening in their local transport provision. The situation is wholly inadequate. If we really want to provide an alternative to motorised travel, we need good local transport and bus services, but we do not have them. Local communities are crying out for us to design and implement such services, but local authorities must be key partners as only they have the structure and relationships to deliver the programmes we have discussed.Let me return to housing. We Liberal Democrats have campaigned relentlessly to get the Government to introduce higher efficiency standards for new builds and not wait until 2025. It is irresponsible to delay further and to hamstring local authorities’ ability to raise standards, and it is ridiculous that we are building homes now that will need to be retrofitted in five or 10 years’ time. That is such a waste of time. Why not regulate now to build the houses for the future? The chair of the national Climate Change Committee has called this a “stunning failure” by the Government to decarbonise homes, and I fully agree.Planning and listed building laws also contribute to our leaky buildings. We Liberal Democrats run councils with some of the most precious historic buildings and streetscapes in the country, such as in my city of Bath. This is a blessing and a curse. We represent some of the most beautiful areas in the world, but we are often unable to retrofit and reduce the emissions of historic houses and buildings. Currently, national planning policy puts heritage concerns above climate concerns. That is counterproductive. If councils are unable to retrofit these properties and make them more energy efficient, many will become uninhabitable.
- Another issue that needs to be addressed is that of skills. We simply do not have the skills supply needed to retrofit—whether historic buildings or new builds—at the scale we need. It will therefore be crucial to start injecting that focus on skills, but we need to do that now to deliver in time.
- Indeed. We need a Government who understand how this all fits together. We cannot retrofit homes if we do not have the supply chains or the skills, and we need to be talking to further education providers and universities so that we get the skills for the future. This all needs to come together, but there is currently a deplorable lack of plan and vision. Again, local authorities have understood that and are starting to have those conversations. Central Government should really look to local authorities and see them as equal partners.In designing future planning policy, we need central Government to give more weight to climate concerns so that local authorities can make our beautiful buildings habitable and fit for purpose. Planning legislation must also be bound to our climate change legislation, so that climate change can take greater weight in planning decisions. The Royal Town Planning Institute argues that nothing should be planned without the idea first having been demonstrated to be fit for a net zero future. This would solve some other issues. For example, a major reason that renewable projects can wait up to 15 years to connect to the grid is that the planning approval process is not adequately focused on the urgency to deliver net zero.Local authorities are also constrained when it comes to managing transport. Surface transport is the largest emitting sector in the UK. The benefits of supporting active travel far outweigh the cost. People walking, wheeling and cycling in 2021 took 14.6 million cars off the road, saving 2.5 million tonnes of greenhouse gas emissions and avoiding more than 29,000 early deaths. Independent modelling suggests that even if 50% of vehicle sales were electric by 2030, car mileage would still have to decrease by more than half if we are to limit global warming to 1.5°. Investment in active and sustainable travel is therefore essential.Unfortunately, the decision to deregulate buses means that bus operators run routes primarily based on profitability, which has led to thousands of bus routes being closed. Between 2021 and 2022 alone, 1,100 bus services were cut, including 51 in the south-west region. The Government must empower local authorities to franchise bus services and simplify the franchise application system, and they must also reverse the ban on local authorities setting up their own bus companies. Only then can our bus routes be determined by the needs of local communities, rather than the need to make a profit.
- Order. Although I hesitate to interrupt the hon. Lady, I hope that she will soon be concluding, because the guidance is that she has 15 minutes for a speech such as this, and she has so far taken 20.
- Thank you, Madam Deputy Speaker. I took many interventions, but I understand that you want me to come to a conclusion, and I will be finishing soon.There needs to be a regular forum for feedback on the problems that local authorities are facing. A net zero delivery authority can help facilitate that. Local authorities up and down the country stand ready to do more to tackle the climate emergency, but often find themselves constrained by an over-centralised Government. To make the net zero transition as efficient and sustainable as possible, we must all pull in the same direction. The latest research demonstrates that, when compared with a nationally implemented programme, devolved climate action would result in £160 billion of savings and wider returns of over £400 billion.It is time that this Government acknowledged the huge potential there is for local authorities up and down the country to deliver net zero. The Government must see local councils as true partners, and provide them with the proper resources and powers they need in our path to net zero.