Local Authority round up 13/09/19
13th September, 2019
Our Local Authority round up provides brief summaries of topical information on a weekly basis, to keep you aware of the changes and updates relevant to you.
Brexit
Prime Minister denies lying to Queen over Parliament suspension
Boris Johnson has denied lying to the Queen over the advice he gave her over the five-week suspension of Parliament. The prime minister was speaking after Scotland’s highest civil court ruled on Wednesday the shutdown was unlawful.
In a unanimous ruling on Wednesday, the Court of Session in Edinburgh said Mr Johnson’s decision to order the suspension was motivated by the “improper purpose of stymieing Parliament”. However a ruling last week from the High Court in London had dismissed a similar challenge brought by businesswoman and campaigner Gina Miller. In their rejection of her claim, the judges argued the suspension of Parliament was a “purely political” move and was therefore “not a matter for the courts”.
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UK offers Brexit mini-deals to side-step Brussels
Diplomats have alleged that the UK government are attempting to bypass its negotiations with the European Commission by proposing “mini-deals” to national capitals in the EU directly. Many EU capitals have been approached with offers of deals or bilateral arrangements which could better the impact of a no-deal Brexit on both sides. The move is said to have infuriated Commission officials who are concerned that patchwork deals could be more beneficial to the UK than the Withdrawal Agreement which was negotiated by Teresa May last year. A spokesperson for the UK’s Department for Exiting the EU has said it is “untrue” that the UK is trying to bypass talks with the Commission.
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MPs demand Parliament be recalled
Following the Court of Session’s ruling that the prorogation of Parliament was unlawful and No.10 confirming that Parliament would remain prorogued pending the appeal to the Supreme Court, MPs are now demanding that Parliament be recalled. Labour, the SNP and the Lib Dems are all demanding that MPs be recalled as early as Wednesday afternoon and some have returned to Parliament to protest. They are currently not due to sit again until 14 October when a Queen’s speech is planned for the government to set outs policy agenda.
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Judge in Scotland’s highest court rules Parliament suspension unlawful
A panel of judges at the Court of Session (Scotland’s highest civil court) have ruled in favour of a cross-party group of politicians who were challenging the Prime Minister’s move to suspend Parliament. The decision overturns an earlier ruling from the court, which recently ruled that Mr Johnson was not breaking the law. It does not however immediately affect the current suspension of Parliament, as no order has been given to cancel the suspension before a full hearing at the Supreme Court in London which starts on Tuesday 17th September 2019.
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Prime Minister will deliver Brexit without the backstop
Arlene Foster, leader of the DUP has announced that Mr Johnson has advised her that he is focused on finding a Brexit deal that works, but that rejects the Irish backstop. Mrs Foster also advises that the Prime Minister has already set out to the European Union why a Northern Ireland-only backstop would be anti-democratic. Sinn Fein has warned that unionist parties must have the right to veto any Brexit deal that they do not agree with. There has been speculation that the government is re-considering the idea of a Stormont lock to break the impasse. This type of agreement would create a formal mechanism for consulting and seeking the approval of Northern Ireland’s devolved administration in the backstop, allowing the Stormont parties a say before any divergence between NI and GB would happen after Brexit.
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UK trade agreements with non-EU countries in a no-deal Brexit
The Department for International Trade have published updated guidance on the new trade agreements which will be in place if there’s a no-deal Brexit. As trade agreements that the UK is currently part of as an EU Member State will no longer apply post-Brexit, the UK government have been working on new deals to replace them. For clarity, the DIT have advised that where new agreements are not in place before the UK leaves the EU, then trade will take place on World Trade Organisation (WTO) terms.
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New EU immigration policy in the event of a no-deal Brexit published
The Home Office have published new plans for EU immigration to the UK which will apply after 31 October 2019 in the event of a no-deal Brexit. Though a policy was published under Teresa May’s government about the “European Temporary Leave to Remain”, the Home Office last week published an amended version entitled “Euro TLR” which applies to “law abiding” EU and EFTA arrivals after exit day. The Euro TLR will be granted for 36 months and can be applied for until 31 December 2020. Those who hold the Euro TLR can use the status as a bridge into the new immigration system, the criteria for which is still to be decided.
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There is a way to get a Brexit deal, insists Boris
The Prime Minister has announced that “loads of people” want to leave the EU with an agreement, but that he is prepared to leave without one if absolutely necessary. During a meeting with Arlene Foster, Leader of the DUP, Mr Johnson is to have confirmed his commitment to securing a deal which works for the entire United Kingdom as well as the Republic of Ireland. It is still hoped that pragmatic and practical solutions can still be introduced to the debate at this stage which may find some common ground between the EU and the UK.
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Home Office publishes new guidance on post-Brexit right to work checks
The Home office have published a new policy paper on post-Brexit EU migration and guidance for businesses on conducting right to work checks. This guidance sets aside the previous policy announced in late August. Employers can face a fine if they employ a person whose immigration status does not permit them to work in the UK. The employer won’t be fined they’re found to have carried out prescribed right to work checks, which can take the form of a manual document or (in some cases) an online status check. Though completing the checks exempts the employer from receiving a fine, it is still a criminal offence for an individual to be working in the UK if they have reasonable cause to believe that, or know outright, that their immigration status prevents them from working in the UK.
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Brexit – implications for private pensions
The Pensions Regulator has acknowledged that Brexit will have implications for both workplace and private pensions. This is in part due to the costs of complying with investment markets legislation incurred by asset managers, brokers and banks which in turn is passed to pension fund clients. The Financial Conduct Authority (FCA) explains that if the UK leave the EU with a deal, there will be an implementation period, during which EU law applies until December 2020 and so existing protections and rights won’t change during this period. The FCA have recently taken steps to limit the impact of a no-deal Brexit, and the government has put in place a temporary permissions regime to allow EEA providers to continue to operate in the UK after it has left the EU whilst they get permanent FCA authorisation.
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Commercial
£62 million flood defence investment announced
The government has pledged £62 million in flood funding for communities in England which was announced by Environment Secretary Theresa Villiers and is expected to benefit more than 9,004 homes. Thirteen projects across Yorkshire, Cumbria, the North East and the South East of England will benefit from a share of the investment which will help to develop existing flood defences, boost economic regeneration and increase prosperity. £19 million will be invested in Calder Valley where more than 3,000 properties were flooded in 2015 and £22.8 million will be invested in Cumbria and Lancashire to support four flood prevention projects.
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Councils to benefit from £3.5 billion funding increase
Following the announcement of details of the Spending Round, councils are expected to benefit from a £3.5 billion funding increase which will be the biggest year-on-year real terms increase in funding for over a decade. The increase is to support vital services including a £1 billion grant for adult and children’s social care, £422 million to tackle homelessness and rough sleeping and £241 million from the Towns Fund to support the regeneration of high streets, town centres and local economies. Communities Secretary Rt Hon Robert Jenrick MP said “This package comes in recognition of the central role that local authorities play in supporting communities and our most vulnerable people across the country.” The money from the Towns Fund will help support 100 places which will be invited to develop proposals for a new generation of multi-million pound Town Deals, 45 of which will be across the Northern Powerhouse and 30 places are in the Midlands Engine. Eligible towns will include those places with proud industrial and economic heritage and the funds will be used to develop innovative regeneration plans. The government will soon publish a prospectus to guide towns through the process and set eligibility criteria for funding.
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Single Person Discount fraud costs councils nearly £16 million each year
A study from the fraud prevention service Cifas, along with WPI Economics, found that in the 2017/18 financial year, detected Single Person Discount fraud cost the local government sector £15.8m. It is estimated that in the same year over £216 million of housing fraud occurred which included fraud on right to buy and unlawful subletting. Chief executive officer of Cifa, Mike Haley, said “unlawful subletting and fraudulent housing claims put huge financial pressure on local authorities and, more importantly, it means that families are missing out on the opportunity of a much-needed home.”
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Councils to face £25 billion funding gap by 2025
A report published by the TUC and New Economics Foundation called “Councils in crisis” has reported that councils will face a £25 billion funding gap by 2025 as funding reforms will shrink government grants to almost zero. Although councils will be able to retain a higher proportion of business rates, this will leave them more exposed to the economic harm expected from a no-deal Brexit, it argues. It also found that poorer areas are at greater risk of funding shortfalls as they face a bigger challenge in increasing business rate growth. The report also warns that ring-fenced grants will account for less than 9% of local authority expenditure by 2025.
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Regulatory
MPs demand ban on pavement parking
The Commons’ Transport Committee has called for a new law and an awareness campaign on the impact parking on pavements has, particularly for those with mobility or visual impairments, noting that the government’s action on the issue had “been slow.” The Department for Transport said it had concluded a review into the issue and would be announcing its next steps “over the coming months.” Such a call has been welcomed by the Local Government Association. The Scottish government has already banned pavement parking in its Transport (Scotland) Bill, and the Welsh government has set up a task force to look at the issue.
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Man jailed over flat share fraud on council
A man who fraudulently claimed that he had been sharing a flat with a resident of Grenfell Tower and who claimed that he was displaced by the fire has been sentenced to three and a half years in jail. He had previously pleaded guilty to one count of fraud by false representation. The man claimed that he was a victim of the fire and was put up in a hotel by the Royal Borough of Kensington and Chelsea council who paid out £54,099 in hotel costs, £14,310 on a food allowance at the hotel and £6,876 in bank payments. The person he claimed to have flat shared with died in the fire.
For more information please click here.
Planning and Housing
Homes England plans 80 ‘cutting-edge’ properties in Northstowe
The Government’s housing agency, Homes England, together with developer Urban Splash, are planning to build ‘cutting-edge, designed council homes’ in Northstowe. South Cambridgeshire District Council has welcomed the plans with Councillor Hazel Smith saying “We are really excited to have succeeded in our bid to deliver these much-needed homes, increasing our overall council house portfolio. Importantly, working with Homes England and Urban Splash on what is our first large-scale MMC project enables us to offer residents cutting-edge, designer council homes that will actively tackle the risk of fuel poverty, making them truly affordable for people to live in.” The homes will be built using Modern Methods of Construction involving building products and methods which require prefabrication and off-site assembly and 60 of the homes will be design specifically for residents over 55.
For more information please click here.
£6 million announced for homelessness scheme
Greater Manchester launched A Bed Every Night scheme in 2018 which aims to provide a bed and personal support for anyone sleeping on the streets. Mayor Andy Burnham said “In 2017, I made a firm commitment to do everything I could to end the need for rough sleeping by 2020 and it remains my top priority.” He then announced a £6 million funding package for the second phase of the scheme which will see 400 places across 10 boroughs every night until June 2020.
For more information please click here.
Upcoming seminars
As you may well know we run a programme of seminars on a wide range of topics. Listed below are those seminars coming up which we feel may be of interest to you. Please click on the links for further information and to book your place. You can see our full programme of upcoming events by clicking here.
Housing Management Law School – Autumn Term 2019
Join us at the next Ward Hadaway Housing Management Law School taking place this Autumn. Autumn term will bring with it a brand new programme where our social housing experts will update you on the most recent news and topics that you need to know about from both a legal and practical perspective.
Wednesday 9th October (Newcastle)
Thursday 17th October (Manchester)
HR and employment law update
Hear from Ward Hadaway’s employment specialists who will ensure that you are kept up-to-date with the latest developments in employment law.
Thursday 28th November (Middlesbrough)
If you have any questions about the issues raised in this update, please do not hesitate to get in touch.
Please note that this briefing is designed to be informative, not advisory and represents our understanding of English law and practice as at the date indicated. We would always recommend that you should seek specific guidance on any particular legal issue.
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