Contribution
My Lords, the amendments in this group all concern Schedule 25, which allows the Secretary of State to make regulations in relation to functions of strategic authorities and mayors. We believe that the schedule, as drafted, lacks the appropriate democratic safeguards.
The current test in the Bill for whether the Secretary of State is satisfied that regulations can be made is “appropriate”. That threshold is notably low and subjective for the exercise of very wide powers. These provisions allow for conferral, modification and transfer of significant public functions, including through the amendment of primary legislation. It is therefore reasonable to expect a more disciplined legal standard.
We on these Benches believe that replacing “appropriate” with “necessary and proportionate” would align the exercise of these powers with well-established public law principles. The amendments would require the Secretary of State not only to justify the objective being pursued but to demonstrate that the chosen intervention is genuinely necessary and no more extensive than is needed. The amendments do not prevent action but rather ensure that such action is properly constrained and transparent.
I turn to the issue of consent. Amendments 157, 159, 161, 162, 165, 167 and 169 would require the Secretary of State to obtain the written consent of affected strategic authorities and mayors before they exercise their powers. They would therefore introduce a vital democratic safeguard. As drafted, the duty is limited to consultation, which does not guarantee that local views will meaningfully shape an outcome. Given that these regulations may significantly alter the functions and balance of power within local government structures, it is only right that those directly affected have a decisive voice. Put simply, changes should not be imposed on local people without their consent.
A consent requirement would ensure that changes are made in genuine partnership with local leaders, rather than being imposed from the centre. It would also further enhance transparency and allow both Parliament and the public to see clearly that reforms have secured local agreement.
Amendments 158, 160, 164, 166 and 168 address a clear inconsistency in the drafting of the schedule by applying an established safeguard to provisions where it is currently absent. In Part 1, the Secretary of State is rightly constrained by the requirement to consider whether regulations are justified by reference to the effective exercise of the function concerned. However, despite later parts conferring powers of equal significance, such as the transfer and reallocation of functions, no such discipline is applied. This risks creating a situation in which substantial structural changes to local government could be made without a clearly defined statutory purpose. By inserting this test alongside the requirement that any intervention be necessary and proportionate, the amendment would ensure that all uses of these powers were guided by consistent and principled frameworks.
I turn finally to the amendments on pilot schemes. My amendments seek to place sensible and proportionate safeguards around the use of pilot schemes. As drafted, the Bill confers very broad discretion on the Secretary of State, with limited external scrutiny. Pilot schemes are by their nature experimental. It is therefore essential that they are subject to robust transparency and evaluation requirements. The amendments would ensure that impact reports, consultation responses and written consents were made public. This would strengthen accountability and allow both Parliament and the public to understand how the schemes are operating in practice.
The requirement for an independent evaluation introduces an objective assessment of whether a pilot scheme has achieved its intended outcomes, rather than relying solely on the views of those involved in its delivery. Removing the ability to extend pilot schemes repeatedly prevents what could otherwise become a rolling arrangement that avoids proper scrutiny. The introduction of the requirement to demonstrate measurable improvements supported by evidence, and to show that benefits outweigh any adverse impacts, ensures that pilot schemes are not only well intentioned but effective in practice.
Finally—and I am sorry that I have taken so long—the proposal would require all regulations under this schedule to be subject to the affirmative procedure, accompanied by a clear written statement, which would reinforce parliamentary oversight and ensure that the exercise of these significant powers is properly justified and transparent. I look forward to the Minister’s response on these points.