My hon. Friend is getting me on to a subject that I have often touched on in the past, which is the role of water companies overall. When I was fortunate enough to be Secretary of State for Environment, Food and Rural Affairs, I was able to talk to the water companies about the way in which they have privileged financial engineering over the real engineering required to ensure that new developments are fit for purpose, and in particular about how we deal effectively with a lack of investment in infrastructure, such as a lack of effective treatment of waste water. The way in which some of the water companies have behaved, frankly, is shocking, which is why my right hon. Friend the Secretary of State for Environment, Food and Rural Affairs will be bringing forward more proposals to ensure that the water companies live up to their proper obligations, because it is a matter of both infrastructure and the environment.
I mentioned earlier that the environmental outcome reports, which the Bill makes provision for, will strengthen environmental protection, and of course the Department for Environment, Food and Rural Affairs is helping to ensure that biodiversity net gain is integrated fully into the planning system to make sure we have the enhanced environment that all of us would want to pass on to the next generation.
As we recognise the need to develop homes in the future that are beautiful, with the right infrastructure, democratically endorsed and with the environmental externalities dealt with appropriately, we also want to ensure that they are parts of neighbourhoods, not dormitories. That is why it is so critical that we deal with one or two of the flaws—I will put it no more highly than that—within the current planning system. Such flaws mean, for example, that we can have developers that, because they do not build out, subsequently exploit the requirement for a five-year housing land supply to have speculative development in areas that local communities object to. We will be taking steps in this legislation and in the NPPF to deal with that.
We will also be taking steps to ensure that the Planning Inspectorate, when it is reviewing a local plan and deciding whether it is sound, does not impose on local communities an obligation to meet figures on housing need that cannot be met given the environmental and other constraints in particular communities. There are two particular areas, I think, where the Planning Inspectorate —and it is simply following Government policy—has in effect been operating in a way that runs counter to what Ministers at this Dispatch Box have said over and over again. That has got to change, and it is through both legislation and changes to the NPPF that we will do so. We will end abuse of the five-year land supply rules, and make sure that, if local authorities have sound plans in place, there cannot be such speculative development. We will also make sure that, even as we democratise and digitise the planning system, we are in a position to make sure that the Planning Inspectorate ensures not that every plan fits a procrustean bed, but that every plan reflects what local communities believe in.