Clause 56
Local Government and Public Involvement in Health Bill
7:45 pm
Angela Smith (Parliamentary Under-Secretary, Department for Communities and Local Government; Basildon, Labour)
I thank the hon. Gentleman for his comments. He shared with us some of the dilemmas of this issue, which we will continue to address in the Committee. I will say something about the reason for this clause being in the Bill and answer his questions in that context.
The Bill takes forward many of the White Paper’s commitments to empower local government. We want to extend that philosophy to parish councils by giving local people much more freedom in respect of well-being in their own area. Parish councils already have a long list of specific activities and powers and an additional power under section 137 of the Local GovernmentAct 1972 to undertake actions that will bring direct benefit. That power is limited at present, not least because there is a ceiling on the amount of money per head that can be spent by a parish on specific objectives. It is currently £5.54 per annum per person.
Clause 56 will release some parish councils from those constraints and give them additional powers to enable them to promote social, economic and environmental well- being in their areas. Hon. Members will be aware that district councils have that power under the Local Government Act 2000 and they must have regard to their own community strategies in exercising that power. We did not want to place an additional burden on parish councils and require them to develop their own community strategies too. To avoid duplication of bureaucratisation, the Bill says that they must have regard to those strategies prepared by a higher-tier authority. We will not require the parish councils to get into additional bureaucracy themselves. Many parishes anyway produce their own local plans and local authorities are increasingly having regard to local parish plans.
As the hon. Gentleman said, the power of well-being is potentially a very broad power and we do not seek to constrain it by placing statutory limits on eligible parishes’ expenditure, but it would be prudent to have some safeguards in place; the problem is how many there should be. Clearly, not every parish council would have the right to the power of well-being because the size of parish councils varies enormously and so does the work they do, their ambitions and, indeed, their competence.
We want to ensure that those who want to use the new power have the capacity and the competencies to do so and that is where the eligibility criteria come in. The White Paper said that the criteria would be based on the non-statutory quality parish scheme, which provides a good starting point for thinking about the issues. However, I cannot give an assurance that those criteria are automatically sufficient for what we are seeking to do. As hon. Members may be aware, in the quality parish councils scheme, a parish council must be able to demonstrate that it is representative of, and actively engages with, all parts of the community, providing vision, identity and a sense of belonging. It must also demonstrate that it is effectively and properly managed, and has the ability and capacity to take on the enhanced role and responsibility that quality status is likely to bring.
That is a good starting point for development of the criteria that a parish with power of well-being should have. A number of tests have already been devised. They cover such matters as electoral mandate, qualifications of the clerk of the council, the frequency and administration of council meetings, communication, community and so on.
The hon. Gentleman made some probing comments about whether the Government are seeking to put a duty or obligation on every parish council to have to meet the criteria for power of well-being. We are not—that would be too onerous for certain parish councils, and many would not want it. We are not trying artificially to limit the number of parish councils that could have a power of well-being, but we want to ensure that the power is exercised sensibly and that the parish itself has the competence and ability to exercise the power. The number of parishes with quality parish status is fairly small—approximately 300. That might increase, but not because of a drive to get higher numbers. It will increase if councils want the power, and are sufficiently competent to be given it.
We have discussed matters with the National Association of Local Councils, and the association is broadly content with the Government’s position. When we consider the precise criteria, we shall talk to the association and to other stakeholders, including the LGA. In considering whether the power of well-being should go further than the quality parish scheme, we shall also explore whether, for example, the criteria should address potential financial implications.
We want to devolve power so that local people can have greater influence on services in their own local communities. We want councils to be able to respond better to local circumstances. However, appropriate safeguards have to be attached to devolution, both for the sake of the public and of councillors. By providing suitable appropriate criteria, we can find a way forward that is appropriate for all.