Issue - items at meetings - Localism Bill - update

Report of the Strategic Director, Resources (copy attached).

RESOLVED - That the Governance Committee notes the report and requests officers to report back to the Committee once the draft Bill is published.

46.1         The Committee considered a report of the Strategic Director, Resources concerning Decentralisation and Localism Bill which was anticipated to deliver new freedoms and flexibilities for councils.

46.2         The Acting Assistant Head of Law noted that the Bill had not yet been published, but that it would almost certainly include reform of the planning system and housing subsidy system, as well as constitutional matters such as the opportunity for council’s to return to the committee system of governance, and the abolition of the Standards Board. She advised that the most significant change from a legal perspective would be the ‘general power of competence’, which would allow councils to take any action unless it was strictly prohibited; this represented a major shift from the current approach, which meant that councils had to look for the authority to act.

46.3         Councillor Randall welcomed the general power of competence and the changes to the housing subsidy system, although he felt that the proposed new homes bonus would not make up for cuts to the housing allowance; the council needed to build new homes rather than subsidising the private sector. He also supported the community right to build in theory, but felt that it would not have the desired aims. He advised that he supported the overall aim of empowering communities, but felt that proposals in the Bill would instead create barriers to local decision-making.

46.4         Councillor Elgood welcomed the Bill, which he felt would bring important change. He stated that the general power of competence would give councils more freedom and that by removing ringfencing, communities would have a greater say in how money was spent. He also welcomed the abolition of the Standards Board, whose work could be undertaken by other bodies.

46.5         Councillor Mears stated that the proposals in the Bill would bring greater flexibility for councils and communities and that she looked forward to the full details. She welcomed the abolition of housing targets and advised that new council homes would be built in the city for the first time in many years.

46.6         The Deputy Chairman commented that the Bill would contain a wide range of proposals and that, while she welcomed reform of the housing subsidy system and the opportunity to return to the committee system, she had concerns about giving local communities the responsibility to determine neighbourhood planning applications without council arbitration. She advised that she remained sceptical about the new homes bonus and its potential to incentivise councils to build new homes.

46.7         The Chairman welcomed the opportunity or the council to review it’s constitutional arrangements and confirmed that the Committee would consider a further report on the Bill in February 2011. He added that the new homes bonus had the potential to bring in a significant amount of money.

46.8         Councillor Fallon-Khan stated that the Bill would give local people powers to make decisions about the things that affected them and have a say in how city evolved.

46.1         RESOLVED - That the Governance Committee notes the report and requests officers to report back to the Committee once the draft Bill is published.