My Lords, we strongly support the intention behind this amendment. The importance of managing the impact of flooding has been brought into very sharp focus recently, and my noble friend has made a cogent case for ensuring that all those involved, whether builders, local councils, inspectors or national organisations, are fulfilling what is required of them in terms of capacity and performance in reducing flood risk.
My noble friends Lord Shipley and Lady Parminter made the case for a review of planning policy delivery. Planning policy for flooding is set out in the National Planning Policy Framework. The framework was published by the Department for Communities and Local Government in March 2012 following extensive public consultation and is supported by practice guidance. It sets strict tests to protect people and property from flooding, which all local councils must follow. We have been very clear that where these tests are not met, new development should not be allowed.
The framework states that councils should plan the location of new development to avoid areas of flood risk where possible. Only if no sites are available in areas of lower risk of flooding can local councils even begin to consider whether to allow development in areas where there is a higher risk. For logical reasons, this is known in planning terminology as the sequential test. Where the sequential test has shown that it is not possible, consistent with wider sustainability objectives, to locate in an area with a lower risk of flooding, then—depending on the flood risk—a second stringent test must be met before a development can go ahead. This is called the exception test, which provides a very strong safeguard. To pass the exception test, you must show that the development provides wider benefits to the community that outweigh the flood risk and that it will be safe for its lifetime without increasing flood risk elsewhere—which was another point that noble Lords flagged up. Where possible, the development will reduce flood risk overall, such as through new flood defences. If there is a risk of flooding, a planning application has to be supported by a site-specific flood risk assessment. This is important because, where there is a risk of flooding, councils should give the go-ahead to new development only where, following the sequential and, if required, the exception tests, it can be demonstrated that what is to be built is flood resilient and resistant, and, as necessary, includes safe access and escape routes. Quite simply, in terms of flood risk, if there are better sites for developments, or developments demonstrated to be necessary are not made safe, they should not be permitted.
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The delivery of planning policy is subject to strict scrutiny. Very importantly, local plans, which allocate land for new development, are tested at a public examination by an independent inspector. Plans must be consistent with national policy in order to be found sound and be based on an up-to-date assessment of
flood risk—the strategic flood risk assessment. All councils are obliged to have these strategic flood risk assessments.
Under planning law, applications for new development must be determined in accordance with the local plan unless material considerations indicate otherwise. The National Planning Policy Framework would be a material consideration, as would any new information on flooding, such as updated flood maps published by the Environment Agency.
As well as inputting to the preparation of local plans, the Environment Agency is a statutory consultee for applications in flood risk areas, so local councils must consult it. The agency will advise local councils in line with the policy in the framework. We know that local councils pay attention to that advice because the agency both monitors and reports publicly on the planning applications on which it was consulted for detailed flood risk advice and on the impact of its advice. My noble friend noted the number of applications that the Environment Agency sees.
My noble friend Lord Shipley asked whether councils have the expertise to deal with flooding. We have no reason to believe that they do not have sufficient access to the right advice and expertise. The Environment Agency has standing advice on its website for councils to use for lower-risk applications. As I have mentioned, it has a statutory duty to comment on applications where there is a higher flood risk.
As I have mentioned, the Environment Agency is a statutory consultee for both residential and commercial planning applications. It takes a risk-based approach to examining applications. It concentrates on major developments, rather than on applications for individual properties, and on areas at the highest risk of flooding.
I can reassure noble Lords that the most recent agency report, for 2012-13, shows that 99% of proposed new residential units to which the Environment Agency objected on flood risk grounds were decided in line with agency advice where those decisions are known. This proportion has remained very similar over a number of years.