Part of Natural Environment and Rural Communities Bill – in a Public Bill Committee at 11:00 am on 5 July 2005.
In the Minister's opening comments, he suggested that 10 years was not a long enough period, and that the investment might deter some organisations from taking on such an agreement. It is the same phrase that I used—the return of capital investment. Will he give us any examples of the sorts of agreements whereby capital investment would be expected in any reasonable business sense to run beyond 10 years? If it were and if a subsequent Secretary of State were to cancel the agreement, would that not render the Government liable for significant sums of compensation? Would it not be more appropriate, and would it not be easier to go along with the power to cancel, if the agreement were for a shorter period, and included a less open-ended commitment to compensate?