Local Authority round-up 26/11/18

Brexit

Theresa May meets EU officials ahead of impending summit

Theresa May travelled to Brussels on 21 November 2018 to meet with EU officials, as both sides try to reach an agreement on outstanding issues in time for a special European Council summit on 25 November. Although a draft text of the Withdrawal Agreement was agreed at cabinet level last week, the EU missed its deadline on 20 November to complete the text of its declaration due to outstanding issues surrounding Britain’s access to the single market, EU boats’ access to UK fishing water and Gibraltar. Although the declaration is not yet legally binding, it is intended to set the framework for the future UK-EU relationship.

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Prime Minister under pressure as leaders oppose draft Withdrawal Agreement

Although Theresa May appears to have staved off a leadership challenge, she is under pressure on the domestic front as MPs from all sides of the Commons threaten to withhold support for the deal. Prominent Tory rebel Jacob Rees-Mogg said on 20 November 2018 that the time is “now” to force a no confidence vote, otherwise Mrs May will lead the Conservatives in the 2022 general election. He accepted, however, that a confidence vote is unlikely this month but may happen in the next. Similarly, during separate talks Nicola Sturgeon and Jeremy Corbyn agreed Mrs May’s Brexit deal is a “bad one” and that ‘no-deal’ should not be the only alternative presented to MPs.

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Institute for Government (IfG) identifies ambiguities in Brexit proposals

In its report ‘Supervision after Brexit’  the IfG argues that there is a hole in the Government’s Brexit proposals, because ministers have said little about who will take over the “supervisory” role of the European Commission and EU agencies. Specifically, the IfG argues that the current  “supervision” process will be particularly important if the UK is to retain the unprecedented market access the UK Government has said it wants. That access would be based on close alignment with and adherence to many EU rules. The report sets out various options to maintain this process, with one possible solution to make supervisory bodies accountable directly to Parliament rather than to Government departments.

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Confederation of British Industry (CBI) leaders convene special Brexit meeting

A specially convened meeting of the CBI’s most senior policy-making committee has issued an unanimous statement declaring “we must not go backwards” following the publication of the draft Withdrawal Agreement between the UK and EU. The CBI is united in the view that the Government’s proposed deal represents hard-won progress and suggests that the proposals have two essential benefits for our economy that must be achieved: (1) If passed, the agreement unlocks a transition period which guarantees a ‘no-deal’ cliff edge is avoided in March 2019 and (2) the agreement opens a route to a good long-term trade deal. Businesses want this to be based on frictionless borders, services access and a say for the UK over future rules.

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We have recently created a Brexit checklist to assist businesses with the various challenges and opportunities presented by Brexit. Please click here to view it.

Commercial

Government goes ahead with accelerated degrees

Following a consultation on the proposal to roll out shorter university courses, the Universities Minister Sam Gyimah MP announced that hundreds of thousands of prospective students will be given more choice with the expansion of two-year degrees. Accelerated degrees will meet exactly the same quality assurance measures as standard degrees and will provide exactly the same level of qualification. Specifically, a two-year accelerated degree will condense 3-year degrees with 30 weeks teaching into 2 years with 45 weeks teaching. Mr Gyimah said: “Innovative solutions and ground-breaking opportunities remain the driving force behind our higher education system. We have created a successful, world-system but this is all about making it even better.”

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Report reveals councils’ profit making results from parking charges

Analysis conducted by the RAC Foundation has found the combined surplus made by English councils in 2017-18 was £867 million, compared to £658 million in 2013-14. The total income from parking activities was £1.16 billion in 2017-18, while total expenditure was £793 million. Steve Gooding, director of the RAC foundation said: “When totted up, council parking income amounts to a multi-million pound business” and confirmed that “our purpose in publishing this analysis is not to suggest the existence of any sharp practice, but to encourage motorists to seek out and read their own local authority’s parking report – and ask some pointed questions if their authority doesn’t publish one.”

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Cabinet office announces new “social value” contracts in Government procurement

The Cabinet Office has announced new measures to deliver better public services and to use Government contracts as a “force for good.” The announcement follows a package of measures launched in June 2018 to promote a healthy and diverse marketplace of companies that bid for Government contracts. Amongst other matters, the Government has confirmed that by Summer 2019, Government procurements will be required to take into consideration social and economic benefits in certain priority areas, including supporting small businesses, providing employment opportunities for disadvantaged people and reducing harm to the environment. From 2019, new complex outsourcing projects will be piloted with suppliers before deciding to use the private sector.

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Regulatory

Local Government Association (LGA) calls for ‘DIY mileage correction tools’

The LGA is urging the ban of mileage correction services and devices after a surge in ‘clocking’ which is putting motorists at a greater risk of buying dangerous used cars with false mileage. For example, in one recent prosecution, a van sold with 89,000 miles on the clock was actually found to have travelled more than 243,000 miles. Similarly, in another prosecution, the mileage differences on 10 clocked vehicles added together were the equivalent of travelling to the moon. As well as defrauding people through their higher prices, the LGA warns that the crime could hide serious mechanical problems on vehicles and lead to expensive repair bills.

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How can councils improve access to social housing for victims of domestic abuse?

The Ministry of Housing, Communities & Local Government (MHCLG) has published statutory guidance on improving access to social housing for victims on domestic abuse. The guidance recommends that local authorities:

• Exempt from their residency requirements those who are living in a refuge or other form of safe temporary accommodation in their district as a result of having escaped domestic abuse in another area. This should ensure that victims of domestic abuse are given appropriate priority under schemes;
• Work together to ensure that any increased pressure on social housing as a result of this guidance does not fall disproportionality on those areas with refuges; and
• Apply the medical and welfare reasonable preference category to victims and their families who have escaped domestic abuse and are being accommodated in a refuge or other temporary accommodation.

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Report urges councils to reduce smoking in social housing

A new report published by Action on Smoking and Health (ASH) ‘Smoking in the home: new solutions for the smokefree generation’ explores how councils can help smokers quit and protect non-smokers from exposure to second-hand smoking in social housing. The report found that those people living in social housing are less likely to successfully quit despite trying as often as other smokers.  The report calls for greater promotion to support smokefree homes, extra support in communities with the highest rates of smoking, and engagement with tenants about the issue of smoking.

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Statistics reveal fly-tipping figures for 2017-18

According to statistics released by the Department for Environment, Food and Rural Affairs, almost one million crimes of fly-tipping were reported by councils across England during 2017-18, indicating the first fall in five years. Following these figures, the BBC’s Local Democracy Reporting Service have investigated what action councils are taking to tackle fly-tipping. It discovered that Bromley Council has so far spent £15,000 on private investigators to tackle the issue, but none of their covert operations have resulted in a prosecution. Similarly, Bristol City Council is piloting a scheme where enforcement officers act as a “fly-tipping detective” rifling through rubbish to find evidence of the perpetrator. Despite the positive actions of many councils, the statistics reveal that fly-tipping occurs on average 2,7000 times a day.

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Planning and housing

Court of Appeal (COA) hands down key ruling on public procurement

The COA has agreed that a development agreement was not a public works contract at the time it was concluded because there was no enforceable obligations. However, the court decided that the arrangement had to be looked at as a whole and entry into the development agreement was unlawful. In entering into the development agreement, the council was committing itself to entering into a public works contract in the future without complying with the public procurement legislation. One of the most striking outcomes of the judgement is that the court has made a declaration of ineffectiveness in respect of the development agreement and a  civil financial penalty will be payable.

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LGA responds to affordable housing report

According to new research by the Country Land and Business Association (CLA) of 70 Local Plans from the most rural local authorities, 2,154 villages across England are judged to be unsustainable. This means housing allocation, including the delivery of affordable homes in these communities is either highly restricted or not permitted, further exacerbating the rural housing crisis. Responding to the report, Councillor Martin Tett, Housing spokesperson for the LGA said: “As every street, village, town and city is different and will have different levels of need and opportunity for housing growth, it should be for councils working with communities to determine how and where new homes are built.”

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Secretary welcomes housing statistics

According to new statistics published by the MHCLG, almost 222,000 homes were delivered in 2017 to 2018. The statistics represent the highest level of new homes delivered across England in all but one of the last 31 years and brings the total number of additional homes delivered since 2010 to 1.3 million. Welcoming the statistics, Communities Secretary James Brokenshire said: “Today’s figures are great news and show another yearly increase in the number of new homes delivered, but we are determined to do more to keep us on track to deliver the homes communities need.”

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First time buyer’s benefit from stamp duty tax relief

According to quarterly Stamp Duty Land Tax (SDLT) statistics, more than 180,500 individuals have saved the money they would have spent on SDLT for their new homes. The tax relief, also known as First Time Buyer’s Relief was introduced on 22 November 2017 and the new figures released show that the estimated total amount saved by buyers is more than £426 million. The relief was claimed in more than 58,800 transactions between July and September this year, an increase of 12% compared to the previous quarter.

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If you have any questions about the issues raised in this update, please do not hesitate to get in touch.