Local Government Bill [HL]

My Lords, amendments in this House should not relate to the issue of who should be paying for what and how much, hence the wording of the amendment, which calls for a report. I hope that the noble Baroness will, when she responds, talk about who should be paying the costs of the elections for a number of councillors in Exeter and Norwich. These are due to take place shortly, following the decision in the High Court on Monday 5 July to quash in their entirety the structural change orders creating unitary councils for the cities of Exeter and Norwich. I use those words to describe what happened in the High Court because those are the words used by the Minister in her letter to me of 8 July. As we know, we do not know exactly what happened and was said in the High Court on 5 July since, certainly as of lunch time today, a transcript of the proceedings was not available. This is not entirely satisfactory when we are considering the Bill more than a week after the hearing on 5 July. In her letter of 8 July, the Minister states that, as a result of the decision in the High Court, "““the terms of office of one third of the members of Exeter and Norwich City Councils, which had been extended by the Orders, ended on 5 July and there will be by-elections to fill these vacancies within 35 days as required by statute””." I should be very grateful if the Minister could say which Act of Parliament and which section of that Act the Government believe require these elections to be held within 35 days. If the Minister is referring to Section 89 of the 1972 Act, does that not in fact refer to elections to fill casual vacancies being held within 35 days? If the Minister regards these as casual—as opposed to ordinary—vacancies, under which of the circumstances giving rise to casual vacancies set out in the 1972 Act is she saying that these elections for one-third of the two councils fall? I understand that the Minister’s view does not appear to be a universally held view of the law in legal circles, but if her interpretation of when these elections must be held is right, it also means elections for one-third of each council in the height of the holiday season when many people will be away. That is not ideal. Has the Minister heard from either Exeter or Norwich councils about when they intend to hold these elections? Has she had any representations from either of them on this issue? Does the Minister not take the view that the quashing orders were not declarations by the High Court that the offices of the councillors concerned were now vacant within the meaning of Section 89 of the Local Government Act 1972, but rather that the order of the court quashed the structural change orders creating unitary councils for the cities of Exeter and Norwich, as indeed the noble Baroness said in her letter to me of 8 July? Does the Minister not take the view that the event which caused the vacancies was nothing specific to any of the councillors concerned, as is surely the case when giving rise to a casual vacancy as opposed to an ordinary vacancy, but rather that the vacancies arose because—for reasons we all know—the ordinary elections were not held on 6 May 2010? In her letter the Minister also said: "““We recognise that any by-elections will involve the councils in additional costs””." She then went on to repeat the coalition Government’s stock line, which I paraphrase, about this all being the fault of the previous Government, of whom she does not seem to be the greatest fan. Once again, it would be very helpful if, when the Minister replies, she could say what additional costs the Government have apparently decided that Exeter and Norwich councils should bear. Presumably, if the council elections had taken place on the same day as the general election in May, there would have been some cost to Exeter and Norwich councils of running their elections in tandem with the parliamentary election. However, the cost of the council elections to come, for one-third of the seats, will be somewhat greater than would have been the case had they been held on the day of the general election because they will be being run separately from any parliamentary election, and thus the councils will bear all the costs. When the Minister refers in her letter to additional costs for the councils, is she referring to their having to contribute the expenditure they would have incurred had the council elections been held on the day of the general election, or is she seeking to say that the councils will have to pay all the surely much higher costs of running the elections this summer for one-third of the members of the two city councils? Bearing in mind that in her letter of 8 July, the Minister puts the responsibility for what has happened on what she views as the big, bad previous Government, will she confirm that she is not therefore proposing that Exeter and Norwich councils should pay, at the most, any more towards the costs of the imminent elections than they would have paid had the council elections been held on the same day as the general election? The judicial review, which led to the quashing of the orders, was against the Government in the form of the CLG, not the two authorities. I understand that the cost for each authority of the forthcoming elections will be in the region of £80,000 to £100,000 of unbudgeted expenditure, equivalent, I am told, to a 1.8 per cent increase in council tax in the case of Exeter. There is no suggestion in the Minister’s letter that either council has acted in a way that has incurred her wrath—this in a letter where, as early as the third paragraph, the Minister is extremely eager to tell me where she lays the finger of blame. Surely, coming at it from her stance, the Minister will not say that what she regards as additional costs incurred by two local authorities as a result of a previous decision by central government should now be paid for not by central government but by those local authorities, which have not acted in a way that she regards as unacceptable. In the light of the Minister’s trenchant views in the third paragraph of her letter of 8 July, I suggest that she cannot now in all fairness expect the two local councils—rather than central government—to bear the additional costs to which she referred. This amendment calls for a report to establish exactly what costs are incurred by the two councils in holding the forthcoming elections in order to assist the Minister, as I hope she will say that central government will, at the very least, bear the bulk of the costs of these elections. I beg to move.