Baroness Taylor of Stevenage (Lab)

My Lords, I thank noble Lords for their amendments in this group. Amendments 209B and 209C, tabled by the noble Baroness, Lady Pinnock, seek to amend Clause 105 and expand the power introduced by the Levelling-up and Regeneration Act for compulsory purchase orders to be confirmed with directions for the non-payment of hope value compensation where justified in the public interest. The amendments propose to extend the types of CPOs for which directions removing hope value may be sought to CPOs for the provision of sporting and recreational facilities. The amendments seek to introduce a change so that CPOs for the provision of sporting and recreational facilities would not have to facilitate affordable housing provision when seeking directions removing hope value. While the Government recognise the value of parks and playing fields to our communities—we had a very interesting debate on this subject twice in last week’s Committee—I am afraid we are not able to support these amendments. The non-payment of hope value to landowners through the use of CPO powers must be proportionate and carefully justified in the public interest. Affordable housing, education and health are types of public sector-led development where the public benefits to be facilitated through the non-payment of hope value can be directly demonstrable to local communities. The Government have concerns that the public benefits and the justification for lower compensation for landowners are likely to be less compelling for sporting and recreational facilities. The proposed changes could make it difficult for authorities to justify directions removing hope value in the public interest, as the benefits to be delivered are clearly less identifiable. I thank the noble Lord, Lord Roborough, for his Amendment 210. This seeks to repeal Section 14A of the Land Compensation Act 1961, which provides the power for CPOs to be confirmed with directions removing hope value where justified in the public interest for certain types of schemes. The amendment also seeks to remove Clause 105 from the Bill, which proposes to expand the direction power to CPOs made on behalf of town and parish councils for schemes that include affordable housing, and to make the process for determining CPOs with directions more efficient. The amendment would remove the power, which was introduced, as he rightly said, by the last Government under the Levelling-up and Regeneration Act. It allows authorities to take forward certain types of schemes by compulsory purchase, and to pay reduced value for land where it will deliver clear and significant benefits and is justified in the public interest. To support the delivery of housing and infrastructure that this country desperately needs, we must make better use of underutilised land across the country. We know that many local authorities share this objective, but their plans can be delayed by heightened expectations of land values by landowners. This can result in the delivery of benefits to the public through the building of homes, transport links and schools being more costly, and significant amounts of developable land remaining unused. The Government are committed to improving land assembly, speeding up site delivery and delivering development for the benefit of communities. We also remain committed to ensuring that landowners are awarded fair compensation where compulsory purchase powers are used to deliver schemes in the public interest. I therefore kindly ask the noble Lord not to move his amendment. Amendment 211, tabled by the noble Lord, Lord Roborough, would require Natural England to return any land obtained through compulsory purchase orders where the value of the work carried out exceeded the price of the original contract offered to the landowner. I thank him for his amendment. As noble Lords will be aware, we will discuss the nature restoration fund and the role and powers granted to Natural England in more detail later this afternoon. To successfully deliver this new strategic approach, we must ensure that Natural England has sufficient powers and resources to implement the conservation measures required. We expect Natural England to consider using compulsory purchase powers only once other options to acquire the land have been exhausted, especially trying to acquire that land by agreement. Where land is acquired by compulsory purchase, this will be subject to appropriate scrutiny and oversight, including authorisation by the Secretary of State. The landowner will receive compensation in line with the existing approach. Requiring Natural England to return land in the circumstances set out in the amendment would undermine the rationale for allowing Natural England to have these powers in the first place. Some conservation measures will require Natural England to acquire land, whether by agreement or, where the Secretary of State considers it appropriate, through compulsory purchase. Having this range of options provides certainty that conservation measures can be delivered. It is fundamental to the Secretary of State being satisfied that the overall improvement test will be met. In line with the safeguards provided in the Bill, if land were required to be returned as envisaged by this amendment, this could lead to the environmental delivery plan needing to be amended because conservation measures would no longer be delivering as intended. That would reduce the amount of development that the EDP would cover; increase cost to developers; or trigger the need to revoke the EDP, requiring the Secretary of State to consider appropriate remedial action to ensure that the impact of development is addressed in line with the overall improvement test. I recognise that the use of compulsory purchase powers is an issue close to the hearts of many noble Lords. However, I trust that the Committee can recognise the need for these targeted powers, to ensure that the nature recovery fund delivers the much-needed win-win for nature and development. In a meeting with Natural England and a number of noble Lords who are here today, Natural England said that it had used the power only three times ever. I do not anticipate it doing this all the time.