10.00am Friday 25th June 2010 Sparkenhoe Room, Leicestershire County Council County Hall, Glenfield, Leicester LE3 8RA

AGENDA Page 1. Apologies

2. Declarations of Interest

3. Minutes of the East Midlands Leaders’ Board Meeting 1 held on 12th March 2010

4. The Coalition Government’s Policy and Legislative Priorities: Implications for Local Government 5

5. Implications of Government Announcement on Strategic Regional Planning 24

6. The New Regional/Sub-Regional Agenda? 37 Requirement for Decisions on: ƒ East Midlands Leaders’ Board and East Midlands Councils ƒ RDAs and Local Enterprise Partnerships

7. Regional Health Report 59

8. GOEM presentation 62

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MINUTES OF THE MEETING HELD ON 12TH MARCH 2010 AT LEICESTERSHIRE COUNTY COUNCIL

Present: Cllr David Parsons CBE (Chair) – Leicestershire County Council Mr Narendra Bajaria CBE - Peak District National Park Authority Cllr Sandra Barnes – South Northamptonshire District Council Cllr Roger Begy OBE – Rutland County Council Cllr Neil Clarke – Rushcliffe Borough Council Cllr Kay Cutts – Nottinghamshire County Council Cllr Jim Harker - Northamptonshire County Council Cllr Martin Hill OBE – Lincolnshire County Council Cllr Andrew Lewer – Derbyshire County Council Cllr Gary Porter – South Holland District Council Cllr Lewis Rose OBE – Derbyshire Dales District Council Cllr Ernie White – Blaby District Council

Steve Atkinson – Chief Executive, Hinckley & Bosworth Borough Council Stephen Hillier - GOEM John Sinnott – Chief Executive, Leicestershire County Council Jane Todd - Chief Executive, Nottingham City Council

Andrew Pritchard – East Midlands Regional Assembly Stuart Young – East Midlands Regional Assembly

Apologies: Cllr Jon Collins (Vice-Chair) – Nottingham City Council Cllr Hilary Jones – Derby City Council Cllr Ross Willmott – Leicester City Council

ACTION 1. Apologies and Introductions

1.1 Cllr David Parsons welcomed Members to the meeting.

1.2 Apologies were received as noted above.

2. Declarations of Interest

2.1 All Members declared an interest under Item 7.

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ACTION 3. Minutes of the (Shadow) East Midlands Local Authority Leaders’ Board Meeting held on the 4th December 2009

3.1 These were confirmed as a true and accurate record.

4. Scheme for the Establishment and Operation of a Leaders’ Board for the East Midlands

4.1 Stuart Young, Executive Director, East Midlands Regional Assembly introduced this report.

4.2 Resolution:

ƒ Members noted the consultation responses. ƒ Members considered and endorsed the final Scheme for subsequent submission to SY Government. 5. Business Plan 2010-11

5.1 Stuart Young, Executive Director, East Midlands Regional Assembly introduced this report.

5.2 Resolution:

ƒ Members noted the Business Plan 2010-11 and the anticipated payment of grant. 6. East Midlands Leaders’ Board/East Midlands Councils Budget 2010-11

6.1 Stuart Young, Executive Director, East Midlands Regional Assembly introduced this report.

6.2 Resolution:

ƒ Members agreed the budget for 2010-11.

7. Proposed Members’ Allowances Scheme

7.1 Stuart Young, Executive Director, East Midlands Regional Assembly introduced this report.

7.2 Resolution:

ƒ Members considered and endorsed the report and recommendations of the Independent Remuneration Panel in relation to the establishment and operation of the Members’ Allowances Scheme for the East Midlands Leaders’ Board and East

Midlands Councils.

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ACTION

8. Developments on the Regional Strategy

8.1 Andrew Pritchard, Director of Housing Planning & Transport, East Midlands Regional Assembly introduced this report.

8.2 Resolution:

ƒ Members asked that the proposals for a Regional Strategy Member Panel set out in Appendix 1 be given further consideration through the next meeting of the SY/AP Review Group supporting the establishment of East Midlands Councils.

ƒ Members noted the rest of this report.

9. Regional Challenges and Key Issues

9.1 Stuart Young, Executive Director, East Midlands Regional Assembly introduced this report.

9.2 Cllr Parsons CBE outlined the action that was being undertaken by emda and others to respond to the closure of the Astra Zeneca facility in Loughborough.

9.3 Cllr Lewer gave an update on the future of the Toyota facility in South Derbyshire.

9.4 Cllr Parsons CBE gave an update on the campaign to electrify the Midland Main Line and the implications of the Government’s announcement on High Speed Rail. Jane Todd confirmed that the 3 Cities had been generally supportive of the potential of a High Speed Rail station within the East Midlands.

9.5 Cllr Roger Begy gave an update on the planned closure of RAF Cottesmore.

9.6 Narendra Bajaria CBE gave an update on the fluorspar extraction industry in the Peak District and the impact on local jobs of the potential closure of Cavendish Mill.

9.7 Cllr Clarke gave an update on the status of the A453 improvement between the M1 and Nottingham.

9.8 Cllr Harker gave an update on Silverstone following recent confirmation of the future of the British F1 Grand Prix. Cllr White and John Sinnott highlighted the implications of Donington’s unsuccessful bid to hold the British Grand Prix and lessons that should be learned as a result.

9.9 There then followed a presentation from Tony Travers from the London School of Economics on ‘The East Midlands and the Future’, followed by questions and a discussion.

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ACTION

9.10 Resolution:

ƒ Members thanked Tony Travers for his presentation. ƒ Members of the East Midlands Leaders’ Board noted the discussion and asked SY that progress in addressing these issues is reported to subsequent meetings of the East Midlands Leaders’ Board.

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25th June 2010

THE COALITION GOVERNMENT’S POLICY AND LEGISLATIVE PRIORITIES: IMPLICATIONS FOR LOCAL GOVERNMENT

Synopsis

This report summarises the implications for Local Authorities of the Coalition’s Programme for Government, the proposed Bills in the Queen’s Speech and Government’s announcement of £6.2bn in savings in 2010-11.

Recommendations

ƒ Note the potential implications of the Government’s legislative programme, its Programme for Government and 2010/11 financial savings.

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1. Introduction

1.1 This report considers the implications for Local Authorities of relevant aspects of ƒ The Coalition’s Programme for Government, published on 20th May ƒ The Government’s announcement on 24th May of £6.2bn in savings for 2010-11 ƒ Bills announced in the Queen’s Speech on 25th May

2. The Coalition Government’s Programme for Government and Legislative Programme

2.1 The Coalition Government published its full programme for a 5 year Government on 20th May. The Programme for Government contains a number of actions with implications for local government. The relevant actions are detailed in Appendix (1).

2.2 The Government detailed the Bills it wishes to bring forward during the current Parliamentary year in the Queen’s Speech of 25th May. The list of Bills in the Queen’s Speech is detailed in Appendix (2). Many of the Bills have implications for Local Government, the most significant being the Decentralisation and Localism Bill.

2.3 Not all of the Commitments in the Programme for Government will be taken forward by legislation in the current Parliamentary year, i.e. through Bills announced in the Queen’s Speech, some will be taken forward in future years’ legislative programmes, some will be addressed through the Spending Review that will report in the Autumn, some by the ‘emergency budget’ on 22nd June and some will be taken forward either in advance of legislation or without requiring legislation.

3. Implications for Local Government – Policy and Legislative Priorities

3.1 The actions detailed in the ‘Programme for Government’ very much accord with the ‘localism’ agenda that the Conservative Party championed in opposition. The Coalition’s first pledge in the ‘Communities and Local Government’ chapter of its Programme for Government is that “We will promote the radical devolution of power and greater financial autonomy to local government and community groups.” The Programme for Government is ambitious, containing a plethora of commitments.

3.2 Key Coalition proposals and their potential implications include:

a) Abolition of Regional Spatial Strategies

3.3 The implications for Local Government of the abolition of Regional Spatial Strategies are covered in a separate report.

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b) New Powers

3.4 The Government proposes new powers for Councils, together with a strong emphasis on devolving some powers to communities and residents, which will need to be carefully considered by Councils and may act as a constraint on their discretion.

3.5 The proposal to give Councils a general power of competence, to underpin their community leadership role, would enable Councils to do anything they consider likely to benefit their area and the people who live there, only restricted where there is specific limitation in statute.

3.6 Further devolution of powers will also see Councils being able to shut down permanently any shop or bar found to be persistently selling alcohol to children and charge more for late-night licences to pay for additional policing. These powers will be introduced through the Police Reform and Social Responsibility Bill.

3.7 To balance Councils’ additional powers, residents will be given new powers to instigate local referendums on any local issue and veto excessive council tax increases. This will be included in the Decentralisation and Localism Bill. The parameters of a ‘local’ issue or ‘excessive’ rise have yet to be defined.

3.8 Communities will also be given powers to help ‘save’ local facilities and services ‘threatened’ with closure, and the right to bid to take over local state-run services. It is unclear whether such facilities and services would include those run by local authorities, whether it would be for the local authority to invite ‘bids’ to ‘take over’ services (i.e. for a ‘friendly’ takeover) or whether ‘hostile’ takeovers could occur. How such groups could then be held to account or demonstrate that they are ‘representative’ of their community and where the funding for the continuation of any ‘saved’ or ‘bid for’ services may come from is not yet clear but provisions to implement this proposal will again be taken forward in the Decentralisation and Localism Bill.

3.9 The proposal to stop plans to impose supplementary business rates on firms if a majority of the firms affected do not give their consent may constrain the resources available to upper tier local Councils to pursue economic development activities, including Business Improvement Districts. Currently votes are only required when the contribution to be made by a supplementary business levy exceeds one third of the cost of any economic development scheme.

3.10 Finally Government proposes to ban the use of powers in the Regulation of Investigatory Powers Act (RIPA) by Councils, unless they are signed off by a magistrate and required for stopping serious crime. The LGA have noted concern

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about the definition of ‘serious crime’ in the RIPA, which may constrain Councils contribution to tackling serious crime.

c) Local Government Finance

3.11 Councils across the East Midlands have been pursuing operational efficiencies to minimise the Council Tax burden during difficult economic times. Whilst the pledge to freeze Council Tax in England for at least one year, and seek to freeze it for a further year, in partnership with local authorities helps ease the financial pressure on taxpayers, it adds further pressure to local Government finances. Working within the context of restricted finance settlements, the ending of ring- fencing allows Councils more flexibility about how they can secure savings.

3.12 The commitment to review the Housing Revenue Account (HRA) builds on a review begun by the previous Government through which Housing Authorities that have retained their housing stock and Arms Length Management Organisations have received an "offer" to leave the HRA system. Each Local Authority will need to assess their offer on its merits, taking into account the amount of debt which they would have to take on. It is unclear yet whether the offers made by the previous Government will be honoured. However, the Housing Minister has confirmed that he will continue the consultation on changes already under way, analyse responses and then announce whether the current proposal will be taken forward in part or in full, or whether an alternative model will be considered.

3.13 The HRA raises important issues for the region since the majority of housing authorities in the East Midlands are understood to be in ‘negative subsidy’. The region is understood to have contributed nearly £70m to be redistributed elsewhere in the past year alone. For example, Lincoln’s Housing Business Plan forecast that the city will pay central government some £6.269m in ‘negative subsidy’ over the next 5 years.

3.14 The Government have pledged to undertake a full review of local Government finance. This will not be concluded by the time that the Spending Review (SR) is published in the autumn, but the SR will be able to take account of its initial findings. Depending on the political will of the Government to implement any changes advised by the review, this may have significant implications for Local Councils.

d) Economic Development and Business

3.15 The Government proposes a significant transfer of responsibility for economic development away from Regional Development Agencies towards Local Enterprise Partnerships, which are joint local authority-business bodies brought forward by local authorities. The Business Secretary has indicated that the North East, North

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West, Yorkshire and Humber and the West Midlands have particular structural problems that need to be addressed, with the implication that these regions will be the focus for resources. In other areas it is indicated that there will be substantial cut-backs and refocusing for RDAs.

3.16 Should Councils wish to retain their existing RDA, the Government has indicated that they will be able to do so. Government will bring forward proposals in the summer that set out their approach to creating Local Enterprise Partnerships and make the necessary legislative changes through the Decentralisation and Localism Bill.

3.17 Issues in relation to Local Economic Partnerships and RDAs are covered in more detail in the Executive Director’s report.

3.18 The Government’s commitment to find a practical way to make small business rate relief automatic reflects positively on the work done by Councils in the East Midlands to encourage businesses to take up rate relief to help them through the recession.

e) Schools

3.19 In the areas of School reform, the agenda of decentralisation and putting ‘communities in control’ has given rise to some radical proposals, which may have significant implications for local Councils. The Government proposes to enable new providers to enter the state school system, giving parents, teachers, charities and local communities the chance to set up new schools, dubbed ‘free schools’.

3.20 Schools will also have greater discretion over the curriculum and there will be reforms to schools’ accountability. How any ‘new’ schools are funded and the implications for the funding of existing schools and Council services are not yet clear. Although provisions in relation to accountability are included in the Education and Children’s Bill, provision in relation to ‘free schools’ are not.

3.21 In developing legislation to implement its commitment, Government will need to be mindful of integration with Councils’ existing role in education, particularly around the operation of fair admission and exclusion policies, providing for children with special educational needs and providing effective connection with child protection services.

3.22 The Government’s Academies Bill provides for any maintained school to apply to the Secretary of State to become an Academy without the need to consult the relevant local authority. Clearly this offers the potential to diminish local Councils’ role in influencing the provision of education.

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f) Housing

3.23 The Government has put a significant emphasis on housing in its programme, including proposals to promote shared ownership, help social tenants and others to own or part-own their home and encourage farmers to convert existing buildings into affordable housing, together with a pledge to explore a range of measures to bring empty homes into use.

3.24 To encourage new house-building the Government pledges to provide incentives for local authorities to deliver new homes and businesses, but there is also a continuation of the theme of putting ‘communities in control’ with the proposal to create new trusts that will ‘make it simpler for communities to provide homes for local people’, and this will be taken forward in the Decentralisation and Localism Bill.

3.25 It is unclear what form ‘incentives’ to Councils will take and how quickly they will be put into place. There could, therefore, be an unintended incentive for Councils to delay allocating any land for housing or business until they can be confident of benefiting from the promised incentives.

g) Governance, including elected Mayors

3.26 The Programme for Government states; "We will create directly elected mayors in the twelve largest English cities, subject to confirmatory referendums and full scrutiny by elected councillors".

3.27 The cities identified in the Conservative’s February 2009 Green Paper ‘Control Shift’ are; Birmingham, Bradford, Bristol, Coventry, Leeds, Leicester, Liverpool, Manchester, Newcastle, Nottingham, Sheffield and Wakefield. The Local Government Information Unit considers that ‘confirmatory referendums’ may mean that the mayoral systems will be put into place prior to referendums being held. However, there is no provision in the Bills announced in the Queen’s Speech to take forward the creation of directly elected Mayors.

3.28 Councils will be allowed to return from the cabinet to committee system should they wish to. In addition, the Government will not look to continue the previous Government’s moves towards greater unitary status in local government. It has stopped restructuring in Norfolk, Suffolk and Devon and will also not push forward with plans to regionalise the fire service. Provisions in relation to restructuring in Norfolk, Suffolk and Devon have been included in the Local Government Bill.

3.29 The Police Reform and Social Responsibility Bill provides for directly elected individuals to hold the police to account. Depending on the mechanism to achieve

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this, this may have implications for Police Authorities and also any future directly elected Mayors.

h) Accountability and Transparency

3.30 The Government’s programme marks a shift in Councils’ performance inspection regime away from institutional or professional inspection towards opening up information to promote public oversight, particularly on local authority spending and employee salaries.

3.31 In line with this, the Standards Board and Comprehensive Area Assessment regime are earmarked for abolition and local authorities will be requested to publish; ƒ All expenditure items over £500. ƒ The job titles of every member of staff. ƒ The salaries and expenses of senior officials paid more than the lowest salary permissible in Pay Band 1 of the Senior Civil Service pay scale. ƒ Organograms that include all positions. ƒ Meeting minutes and local service and performance data. ƒ Contracts and tender documents in full.

3.32 Provision to publish staff information and abolish the Standards Board will be taken forward in the Decentralisation and Localism Bill. Other information will be required through the full implementation of the Sustainable Communities Act. Alongside publishing pay information online, Councillors will be given the power to vote on large salary packages for council officials. Government also proposes to implement a ‘20 times’ pay multiple between the lowest and highest paid in public sector organisations. Although there may be a burden in providing and managing the publication of such information, it does offer the opportunity for local Government to further demonstrate its efficiency and good practice.

3.33 Finally, in contrast to the requirement to publicise certain matters, the Government also proposes to impose tougher rules on Council newspapers to lessen competition with local titles.

4. ‘In-Year Savings’ for 2010-11

4.1 In line with their pledge to make an early start on reducing the budget deficit predominantly through reduced public spending, on 24th May the Government announced £6.2bn of ‘in year’ savings across the public sector for 2010-11. Local Government will be expected to shoulder a significant share of this burden with proposals to reduce grants to Local Government by £1.165bn. Local Government will be given greater flexibility to implement savings with the removal of ring fencing over £1.7bn of grants and the £29bn formula grant will not be affected.

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Government announced further detail about how the savings will affect individual Councils on 10th June. Further details of how the savings affect Councils in the East Midlands are included in Appendix 3.

4.2 The New Local Government Network (NLGN) estimate that the implication of this announcement is that councils will face a 15% cut to the funding they had been awarded, through Specific Grants and Area Based Grant for 2010-11. They further describe implementing the necessary savings as a ‘colossal challenge’. The overall saving required by Councils in the East Midlands (0.6%) is broadly in line with the saving required across England as a whole (0.7%). However five of the 9 principle authorities need to save more than £4 million, placing them in the top twenty five of Councils across England in terms of overall savings required.

4.3 Many districts are unaffected by the savings, however some have been, in percentage terms, significantly affected. Bolsover and Ashfield both have to achieve the maximum 2% saving, alongside only seven other councils across England. Chesterfield, Nottingham, Corby, Boston and Rutland all have to achieve savings of greater than 1%.

4.4 Government also announced £270 million in savings from RDA budgets. There is evidence of RDAs looking to review allocations made to local authorities this year as a result of this saving, effectively passing on a further cut to Councils.

4.5 A further saving will be made in not approving any further applications to the Future Jobs Fund. Over 50% of Councils in the region have engaged with the Future Jobs Fund. It is unclear whether local commissioning of work programmes will continue.

5. Recommendation

5.1 Members of the East Midlands Leaders’ Board are invited to note the potential implications of the Government’s legislative programme, its Programme for Government and 2010/11 efficiency savings.

Stuart Young Executive Director

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Coalition Programme for Government: Actions with Implications for Local Government

1. COMMUNITIES AND LOCAL GOVERNMENT

ƒ We will promote the radical devolution of power and greater financial autonomy to local government and community groups. This will include a review of local government finance. ƒ We will rapidly abolish Regional Spatial Strategies and return decision-making powers on housing and planning to local councils, including giving councils new powers to stop ‘garden grabbing’. ƒ In the longer term, we will radically reform the planning system to give neighbourhoods far more ability to determine the shape of the places in which their inhabitants live, based on the principles set out in the Conservative Party publication Open Source Planning. ƒ We will abolish the unelected Infrastructure Planning Commission and replace it with an efficient and democratically accountable system that provides a fast-track process for major infrastructure projects. ƒ We will publish and present to Parliament a simple and consolidated national planning framework covering all forms of development and setting out national economic, environmental and social priorities. ƒ We will maintain the Green Belt, Sites of Special Scientific Interest (SSSIs) and other environmental protections, and create a new designation – similar to SSSIs – to protect green areas of particular importance to local communities. ƒ We will abolish the Government Office for London and consider the case for abolishing the remaining Government Offices. ƒ We will provide more protection against aggressive bailiffs and unreasonable charging orders, ensure that courts have the power to insist that repossession is always a last resort, and ban orders for sale on unsecured debts of less than £25,000. ƒ We will explore a range of measures to bring empty homes into use. ƒ We will promote shared ownership schemes and help social tenants and others to own or part-own their home. ƒ We will promote ‘Home on the Farm’ schemes that encourage farmers to convert existing buildings into affordable housing. ƒ We will create new trusts that will make it simpler for communities to provide homes for local people. ƒ We will phase out the ring-fencing of grants to local government and review the unfair Housing Revenue Account.

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ƒ We will freeze Council Tax in England for at least one year, and seek to freeze it for a further year, in partnership with local authorities. ƒ We will create directly elected mayors in the 12 largest English cities, subject to confirmatory referendums and full scrutiny by elected councillors. ƒ We will give councils a general power of competence. ƒ We will ban the use of powers in the Regulation of Investigatory Powers Act (RIPA) by councils, unless they are signed off by a magistrate and required for stopping serious crime. ƒ We will allow councils to return to the committee system, should they wish to. ƒ We will abolish the Standards Board regime. ƒ We will stop the restructuring of councils in Norfolk, Suffolk and Devon, and stop plans to force the regionalisation of the fire service. ƒ We will impose tougher rules to stop unfair competition by local authority newspapers. ƒ We will introduce new powers to help communities save local facilities and services threatened with closure, and give communities the right to bid to take over local state-run services. ƒ We will implement the Sustainable Communities Act, so that citizens know how taxpayers’ money is spent in their area and have a greater say over how it is spent. ƒ We will cut local government inspection and abolish the Comprehensive Area Assessment. ƒ We will require continuous improvements to the energy efficiency of new housing. ƒ We will provide incentives for local authorities to deliver sustainable development, including for new homes and businesses. ƒ We will review the effectiveness of the raising of the stamp duty threshold for first-time buyers. ƒ We will give councillors the power to vote on large salary packages for unelected council officials.

2. BUSINESS

ƒ We will find a practical way to make small business rate relief automatic. ƒ We will support the creation of Local Enterprise Partnerships – joint local authority-business bodies brought forward by local authorities themselves to promote local economic development – to replace Regional Development Agencies (RDAs). These may take the form of the existing RDAs in areas where they are popular.

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3. CRIME AND POLICING

ƒ We will allow councils and the police to shut down permanently any shop or bar found to be persistently selling alcohol to children. ƒ We will permit local councils to charge more for late-night licences to pay for additional policing.

4. CULTURE OLYMPICS MEDIA SPORT

ƒ We will work with the Mayor of London to ensure a safe and successful Olympic and Paralympic Games in London in 2012, and urgently form plans to deliver a genuine and lasting legacy.

5. DEFICIT REDUCTION

ƒ We will hold a full Spending Review reporting this autumn, following a fully consultative process involving all tiers of government and the private sector. ƒ We will create strong financial discipline at all levels of government and place an obligation on public servants to manage taxpayers’ money wisely. ƒ We will reduce the number and cost of quangos.

6. EQUALITIES

ƒ We will undertake a fair pay review in the public sector to implement our proposed ‘20 times’ pay multiple.

7. GOVERNMENT TRANSPARENCY

ƒ We will require public bodies to publish online the job titles of every member of staff and the salaries and expenses of senior officials paid more than the lowest salary permissible in Pay Band 1 of the Senior Civil Service pay scale, and organograms that include all positions in those bodies. ƒ We will require anyone paid more than the Prime Minister in the centrally funded public sector to have their salary signed off by the Treasury. ƒ We will require all councils to publish meeting minutes and local service and performance data. ƒ We will require all councils to publish items of spending above £500, and to publish contracts and tender documents in full.

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8. POLITICAL REFORM

ƒ We will give residents the power to instigate local referendums on any local issue. ƒ We will stop plans to impose supplementary business rates on firms if a majority of the firms affected do not give their consent. ƒ We will give residents the power to veto excessive council tax increases.

9. SCHOOLS

ƒ We will promote the reform of schools in order to ensure that new providers can enter the state school system in response to parental demand; that all schools have greater freedom over the curriculum; and that all schools are held properly to account. ƒ We will fund a significant premium for disadvantaged pupils from outside the schools budget by reductions in spending elsewhere. ƒ We will give parents, teachers, charities and local communities the chance to set up new schools, as part of our plans to allow new providers to enter the state school system in response to parental demand. ƒ We will improve the quality of vocational education, including increasing flexibility for 14–19 year olds and creating new Technical Academies as part of our plans to diversify schools provision.

10. SOCIAL ACTION

ƒ We will support the creation and expansion of mutuals, co-operatives, charities and social enterprises, and enable these groups to have much greater involvement in the running of public services. ƒ We will give public sector workers a new right to form employee-owned co- operatives and bid to take over the services they deliver. This will empower millions of public sector workers to become their own boss and help them to deliver better services. ƒ We will train a new generation of community organisers and support the creation of neighbourhood groups across the UK, especially in the most deprived areas.

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11. SOCIAL CARE

ƒ We will establish a commission on long-term care, to report within a year. The commission will consider a range of ideas, including both a voluntary insurance scheme to protect the assets of those who go into residential care, and a partnership scheme as proposed by Derek Wanless. ƒ We will break down barriers between health and social care funding to incentivise preventative action. ƒ We will extend the greater roll-out of personal budgets to give people and their carers more control and purchasing power. ƒ We will use direct payments to carers and better community-based provision to improve access to respite care.

12. TRANSPORT

ƒ We will reform the way decisions are made on which transport projects to prioritise, so that the benefits of low carbon proposals (including light rail schemes) are fully recognised. ƒ We will make Network Rail more accountable to its customers. ƒ We will establish a high speed rail network as part of our programme of measures to fulfil our joint ambitions for creating a low carbon economy. Our vision is of a truly national high speed rail network for the whole of Britain. Given financial constraints, we will have to achieve this in phases. ƒ We will support sustainable travel initiatives, including the promotion of cycling and walking, and will encourage joint working between bus operators and local authorities. ƒ We will stop central government funding for new fixed speed cameras and switch to more effective ways of making our roads safer, including authorising ‘drugalyser’ technology.

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Queen’s Speech 2010 – Full list of Bills

ƒ Office for Budget Responsibility Bill ƒ National Insurance Contributions Bill ƒ Welfare Reform Bill ƒ Pensions and Savings Bill ƒ Financial Services Regulation Bill ƒ Equitable Life Payments Scheme Bill ƒ Airports Economic Regulation Bill ƒ Postal Services Bill ƒ Energy Security and Green Economy Bill ƒ Academies Bill ƒ Education and Children’s Bill ƒ Health Bill ƒ Police Reform and Social Responsibility Bill ƒ Public Bodies (Reform) Bill ƒ Decentralisation and Localism Bill ƒ Local Government Bill ƒ Parliamentary Reform Bill ƒ Parliamentary Privilege (Draft Bill) ƒ Freedom (Great Repeal) Bill ƒ Identity Documents Bill ƒ Scotland Bill ƒ European Communities (Amendment) Referendum Lock Bill ƒ Armed Forces Bill ƒ Terrorist Asset Freezing Bill

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2010/11 Revenue Grant Allocation Savings: East Midlands

2010-11 Main Revenue Grant allocations

Local Authority Indicative Sure Start School Social Care Dept. for Formula Grant Area Based Total Dedicated Development Reform Transport Grant Schools Grant Grant Kickstart 2009 Grant (specific grant) £m £m £m £m £m £m £m £m Amber Valley - - - - - 9.879 0.105 9.984 Ashfield - - - - - 11.471 1.357 12.828 Bassetlaw - - - - - 11.312 0.409 11.720 Blaby - - - - - 6.425 0.030 6.455 Bolsover - - - - - 7.927 2.674 10.601 Boston - - - - - 7.262 0.360 7.622 Broxtowe - - - - - 8.862 0.039 8.901 Charnwood - - - - - 12.514 0.202 12.716 Chesterfield - - - - - 10.150 1.681 11.830 Corby - - - - - 5.727 0.309 6.036 Daventry - - - - - 6.157 0.030 6.188 Derby 155.545 6.543 12.025 1.159 - 109.649 24.093 309.013 Derbyshire 428.857 16.654 27.324 3.744 - 185.150 51.970 713.700 Derbyshire Dales - - - - - 4.823 0.030 4.853 Derbyshire Fire - - - - - 19.674 - 19.674 Derbyshire Police - - - - - 116.153 - 116.153 East Lindsey - - - - - 17.378 0.030 17.408 East Northamptonshire - - - - - 6.661 0.030 6.691 Erewash - - - - - 9.686 0.105 9.791 Gedling - - - - - 9.253 0.030 9.284 High Peak - - - - - 7.147 0.039 7.186 Hinckley and Bosworth - - - - - 7.386 0.039 7.424 Kettering - - - - - 7.279 0.039 7.317 Leicester 205.370 10.923 14.562 1.483 - 182.370 42.486 457.195 Leicestershire 349.635 11.978 16.912 2.346 - 100.667 31.093 512.630 Leicestershire Fire - - - - - 18.840 - 18.840 Leicestershire Police - - - - - 121.382 - 121.382 Lincoln - - - - - 10.589 0.114 10.703 Lincolnshire 377.222 14.214 27.421 3.364 - 192.069 54.581 668.871 Lincolnshire Police - - - - - 66.302 - 66.302 Mansfield - - - - - 10.366 0.114 10.480 Melton - - - - - 3.932 0.039 3.971 Newark and Sherwood - - - - - 10.327 0.039 10.366 North East Derbyshire - - - - - 7.897 0.039 7.935 North Kesteven - - - - - 8.756 0.039 8.794 North West Leicestershire - - - - - 7.146 0.039 7.184 Northampton - - - - - 18.936 0.358 19.295 Northamptonshire 392.120 16.833 23.382 2.638 0.089 154.116 43.412 632.589 Northamptonshire Police - - - - - 77.494 - 77.494 Nottingham 157.494 8.175 11.505 1.504 - 172.595 55.848 407.121 Nottinghamshire 442.736 17.080 23.314 3.489 0.073 176.074 57.083 719.850 Nottinghamshire Fire - - - - - 25.010 - 25.010 Nottinghamshire Police - - - - - 145.984 - 145.984 Oadby and Wigston - - - - - 4.649 0.039 4.688 Rushcliffe - - - - - 7.197 0.030 7.227 Rutland 21.724 0.926 1.004 0.133 - 7.716 2.924 34.426 South Derbyshire - - - - - 7.314 0.039 7.352 South Holland - - - - - 8.982 0.309 9.290 South Kesteven - - - - - 10.147 0.114 10.261 South Northamptonshire - - - - - 5.799 0.030 5.829 Wellingborough - - - - - 6.984 0.030 7.014 West Lindsey - - - - - 8.224 0.030 8.255 England TOTAL 30,817.572 1,301.167 1,909.465 237.000 4.999 28,995.502 4,983.553 68,249.258 East Midlands TOTAL 2,530.703 103.325 157.449 19.859 0.162 2,175.787 372.426 5,359.711 EM % of England TOTAL 8.21% 7.94% 8.25% 8.38% 3.24% 7.50% 7.47% 7.85%

19 Item 4 Appendix 3

2010-11 Revenue Grant allocation reductions

Local Authority Dept. for Supporting Working Local Prevent (ABG) Cohesion Road Safety Dept. for Home Office Total % reduction Adjustment Final % reduction Education People Admin Neighbourhoo Enterprise (ABG) revenue (ABG) Transport total (ABG) reductions prior to 2% (capping reductions post- Total (ABG) (ABG) d Fund (ABG) Growth Kickstart 2009 prior to 2% cap reductions at post- adjustment Initiative (specific cap adjustment 2% of column adjustment (ABG) grant) adjustment 8) £m £m £m £m £m £m £m £m £m £m % £m £m % Amber Valley ------0.018 - - - -0.018 -0.2 - -0.018 -0.2 Ashfield - - - -0.259 - -0.048 - - - -0.307 -2.4 0.050 -0.257 -2.0 Bassetlaw ------0.018 - - - -0.018 -0.2 - -0.018 -0.2 Blaby ------Bolsover - - -0.252 - - -0.018 - - - -0.269 -2.5 0.057 -0.212 -2.0 Boston ------0.078 - - - -0.078 -1.0 - -0.078 -1.0 Broxtowe ------Charnwood - - - - -0.048 - - - - -0.048 -0.4 - -0.048 -0.4 Chesterfield - --0 .161------0 .161-1.4--0.161 -1.4 Corby ------0.064 - - - -0.064 -1.1 - -0.064 -1.1 Daventry ------Derby -1.803 -0.164 - - -0.066 - -0.090 - -0.029 -2.152 -0.7 - -2.152 -0.7 Derbyshire -3.404 -0.336 -----0.355 - -0.078 -4.173 -0.6 - -4.173 -0.6 Derbyshire Dales------DeFire e r b y ------s h i r - --- - Derbyshireolice ------P - - East Lindsey ------East Northamptonshire------Erewash ------0.018 - - - -0.018 -0.2 - -0.018 -0.2 Gedling ------High Peak ------Hinckley and Bosworth------Kettering ------Leicester -2.514 -0.146 -0.905 - -0.102 - -0.095 - -0.039 -3.800 -0.8 - -3.800 -0.8 Leicestershire -2.591 -0.264 -----0.229 - -0.065 -3.149 -0.6 - -3.149 -0.6 LeicestershireFire------Leicestershireolice ------P Lincoln ------0.018 - - - -0.018 -0.2 - -0.018 -0.2 Lincolnshire.378.348--- -3 -0 --0 .412.06.204-0.6 --05-4 --4.204 -0.6 Lincolnshire Police------Mansfield ------0.018 - - - -0.018 -0.2 - -0.018 -0.2

20 Item 4 Appendix 3

Local Authority Dept. for Supporting Working Local Prevent (ABG) Cohesion Road Safety Dept. for Home Office Total % reduction Adjustment Final % reduction Education People Admin Neighbourhoo Enterprise (ABG) revenue (ABG) Transport total (ABG) reductions prior to 2% (capping reductions post- Total (ABG) (ABG) d Fund (ABG) Growth Kickstart 2009 prior to 2% cap reductions at post- adjustment Initiative (specific cap adjustment 2% of column adjustment (ABG) grant) adjustment 8) Melton ------Newark and Sherwood------North East Derbyshire------North Kesteven------North West Leicestershire ------Northampton -0.012 - - - -0.057 -0.018 - - - -0.086 -0.4 - -0.086 -0.4 Northamptonshire -3.210 -0.319 -----0.476 -0.089 -0.074 -4.167 -0.7 - -4.167 -0.7 NorthamptonshirePolice ------Nottingham -2.778 -0.218 -1.217 - -0.066 -0.018 -0.185 - -0.054 -4.535 -1.1 - -4.535 -1.1 Nottinghamshire -3.781 -0.387 -----0.422 -0.073 -0.082 -4.745 -0.7 - -4.745 -0.7 NottinghashiremFire ------Nottinghamshireolice ------P Oadby and Wigston------Rushcliffe ------Rutland -0.254 -0.062 -----0.022 - -0.010 -0.347 -1.0 - -0.347 -1.0 South Derbyshire ------South Holland ------0.064 - - - -0.064 -0.7 - -0.064 -0.7 South Kesteven ------0.018 - - - -0.018 -0.2 - -0.018 -0.2 South Northamptonshire------Wellingborough ------West Lindsey ------England total -311.000 -30.000 -49.930 -17.500 -7.000 -4.000 -20.592 -4.999 -6.000 -451.021 -0.7 1.042 -449.979 -0.7 EAST MIDLANDS -23.727 -2.244 -2.535 -0.259 -0.337 -0.412 -2.286 -0.162 -0.494 -32.456 -0.6% 0.108 -32.348 -0.6% EM % of England total 7.63% 7.48% 5.08% 1.48% 4.82% 10.29% 11.10% 3.24% 8.24% 7.20% 10.34% 7.19%

21 Item 4 Appendix 3

Local Authorities in England- Top 25 Absolute Reductions in Grant (post adjustment)

Position Local Authority £m Final % reduction reductions (post-adjustment) (post-adjustment) 1 Birmingham -12.62695511 -0.73 2 Liverpool -9.287687361 -1.23 3 Kent -8.789297523 -0.69 4 Lancashire -7.935671825 -0.69 5 Essex -7.559144636 -0.63 6 Leeds -7.411205973 -0.81 7 Bradford -7.265007197 -0.98 8 Manchester -7.184913001 -0.93 9 Sheffield -6.545406103 -0.97 10 Durham -6.338578455 -1.02 11 Hampshire -6.204595213 -0.62 12 Norfolk -5.922256914 -0.76 13 Hertfordshire -5.886341027 -0.61 14 Surrey -5.346280598 -0.64 15 Nottinghamshire -4.745456223 -0.66 16 Newham -4.686784618 -0.82 17 Staffordshire -4.573080126 -0.64 18 Nottingham -4.534976502 -1.11 19 Doncaster -4.533518438 -1.20 20 Croydon -4.347498351 -1.14 21 Lincolnshire -4.203806005 -0.63 22 Derbyshire -4.17304334 -0.58 23 Northamptonshire -4.167361982 -0.66 24 Tower Hamlets -4.12406152 -0.75 25 Suffolk -4.112350083 -0.65

The remaining ‘principal authorities’ are; 35 Leicester -3.800 -0.8 55 Leicestershire -3.149 -0.6 87 Derby -2.152 -0.7 156 Rutland -0.347 -1.0

Local Authorities in England: Top 25 Percentage Reductions in Grant (post adjustment)

Local Authority Final reductions - % reduction £m (post-adjustment ) (post-adjustment) 1= Norwich -0.355 -2.000 1= Great Yarmouth -0.308 -2.000 1= Burnley -0.303 -2.000 1= Hastings -0.286 -2.000 1= Pendle -0.269 -2.000 1= Ashfield -0.257 -2.000 1= Barrow-in-Furness -0.245 -2.000 1= Hyndburn -0.244 -2.000 1= Bolsover -0.212 -2.000

22 Item 4 Appendix 3

Local Authority Final reductions - % reduction £m (post-adjustment ) (post-adjustment) 10 Preston -0.390 -1.995 11 Blackburn with Darwen -4.018 -1.708 12 North East Lincolnshire -2.983 -1.474 13 South Tyneside -3.191 -1.430 14 Blackpool -2.894 -1.404 15 Chesterfield -0.161 -1.364 16 Thanet -0.207 -1.364 17 St Helens -3.209 -1.339 18 Middlesbrough -2.705 -1.336 19 Woking -0.090 -1.279 20 Knowsley -3.356 -1.261 21 Liverpool -9.288 -1.231 22 Redcar and Cleveland -2.348 -1.221 23 Doncaster -4.534 -1.197 24 Hartlepool -1.662 -1.193 25 Copeland -0.098 -1.191

Others in the top 50 include: 30 Nottingham -4.535 -1.114 38 Corby -0.064 -1.053 42 Boston -0.078 -1.019 43 Rutland -0.347 -1.009

23 Item 5

25th June 2010

IMPLICATIONS OF THE ABOLITION OF STRATEGIC REGIONAL PLANNING FOR THE EAST MIDLANDS

Synopsis

This report sets out the implications for the East Midlands of the Government’s decision to revoke Regional Strategies and to formally abolish the strategic planning function through forthcoming legislation.

Recommendation

ƒ Members note this report and raise any questions and concerns

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1. Introduction

1.1 The Queen’s Speech of 25 May 2010 confirmed the Coalition Government’s intention to bring forward legislation to abolish regional strategic planning in favour of a localised system based on the Conservative Party’s Green Paper ‘Open Source Planning’. The Secretary of State for Communities & Local Government further announced on the 27 May 2010 the Government’s intention to revoke all Regional Strategies (including Regional Spatial Strategies) by ‘executive order’ in advance of any legislation, including the East Midlands Regional Plan (letter enclosed as Appendix 1). The Government has also confirmed that CLG funding for Regional Leaders’ Boards will cease with immediate effect, subject to limited additional resources to support necessary ‘transitional arrangements’.

1.2 The abolition of RSs will bring to an end the current phase of regional planning in England which began with the development of Regional Planning Guidance in the early 1990’s under Michael Heseltine, and which was formalised by the last Labour Government with the Planning and Compulsory Purchase Act 2004. It ends the constant thread of strategic planning which dates back almost 40 years to the introduction of County Structure Plans by the then Conservative Government through the Town & Country Planning Act 1971. The end of regional planning also has significant implications for funding decisions on transport and housing, environmental and economic issues and action on climate change.

1.3 This report sets out the implications of the Government’s decisions, in so far as they can be understood at the time of writing, for both East Midlands Councils and the Region’s local authorities.

2. The Regional Plan

2.1 The extant Regional Plan was published in March 2009 following 4 rounds of public consultation and an independent Examination in Public. It followed 2 versions of Regional Planning Guidance (published in 1994 and 2001) and an initial RSS published in March 2005 (which included the MKSM Sub-Regional Strategy). The Regional Plan forms part of the ‘statutory development plan’, along with Local Development Frameworks (LDFs) produced by local planning authorities. Following legislation introduced by the then Conservative Government in 1991, planning decisions must be taken in conformity with the development plan, ‘unless other material considerations indicate otherwise’.

2.2 Existing and emerging LDF Core Strategies have been developed in the context of the Regional Plan. As a result, LDFs include both policies that are required by the Regional Plan (e.g. the scale of housing provision) and those which rely upon the Regional Plan for their strategic justification (e.g. designation of the Nottingham-Derby Green Belt and Green Wedges). Removal of the Regional Plan from the development plan means that LDFs must be capable of ‘standing alone’, and be supported either by national policy or by independent evidence. This could include evidence developed for the Regional Plan but not Regional

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Plan policy itself. Failure to justify policy in these terms could lead to an LDF being found ‘unsound’ by the Planning Inspectorate.

2.3 It is worth noting that out of a possible 35 LDF Core Strategies in the East Midlands, only 2 have so far been adopted (North Northamptonshire and Hinckley & Bosworth). Advice from GOEM remains that local planning authorities should continue to progress LDFs in accordance with agreed timetables.

2.4 Unlike the abolition of Structure Plans, which took place over a 3 year period from 2004, it seems clear there will be no managed transition from one system to the next as new legislation will not even have been drafted let alone implemented by the time the Regional Plan is revoked. As a result, there are likely to be a number of significant strategic ‘policy gaps’ within the development plan system over the next few years. Some further examples of issues covered by policies that will disappear when the Regional Plan is revoked are set out below. ƒ Improving the design quality of new development. ƒ Affordable housing targets. ƒ Priorities for rural diversification. ƒ Sub-regional strategies covering the Three Cities Sub-area, Northern Sub- area, MKSM and the Lincoln Policy Area. ƒ The requirement for joint working and joint plan making by local authorities, including around Derby, Nottingham, Leicester, Lincoln, Northampton and in North Northamptonshire. ƒ Regeneration priorities (including the former coalfield areas, Corby, Mablethorpe, Gainsborough & Skegness). ƒ Expansion and development of East Midlands Airport. ƒ Criteria for reviewing employment land designations across HMAs ƒ Priorities for improving broadband coverage. ƒ Protection and enhancement of biodiversity, including for priority habitats. ƒ Protection and enhancement of the landscape. ƒ Protection and enhancement of woodland cover. ƒ Protection and enhancement of the historic environment. ƒ Priorities for maintaining and enhancing green infrastructure. ƒ Water quality and water resources (including water efficiency standards for new development). ƒ Protection and enhancement of key river corridors. ƒ Waste recycling and apportionment targets. ƒ Apportionment of aggregates extraction between minerals planning authorities. ƒ Energy efficiency standards for new development and priorities for low carbon energy generation (including renewable energy targets). ƒ Priorities for culture, sport and recreation. ƒ Road and public transport investment priorities. ƒ Provision of Regional Parks and protection and enhancement of the National Forest. ƒ The requirement for a Lincolnshire Coastal Strategy. ƒ Protection and enhancement of the Peak District National Park and its surroundings.

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2.5 Past experience indicates that the absence of development plan policy on such issues is likely to lead to greater uncertainty within the development industry and result in more decisions taken on appeal by the Planning Inspectorate and ultimately by the courts, rather than by local planning authorities. It is unclear how the collective impact of such decisions on travel demand and requirements for water, energy and other resources will be considered.

2.6 In relation to housing provision, Ministers whilst in Opposition made reference to using so called ‘Option 1 figures’ as a basis for local planning authorities determining a five year supply of housing land in accordance with PPS3 as an interim measure. No statement on the definition or use of ‘Option 1 figures’ has so far been made by Government. However, the term is believed to refer to the levels of provision originally put forward by Regional Planning Bodies in Draft RSSs, as opposed to the (generally higher) figures endorsed by the Secretary of State in final RSSs.

2.7 If this interpretation is correct, then the differences between the ‘Option 1 figures’ and the extant Regional Plan are set out in Appendix 2. This would result in a reduction of 1,100 dwellings per year at the regional level, much less of a change than in some other regions, but with some significant local variations. However, these figures need to be set against the commitment of both the coalition parties to increase housing delivery compared with performance under the last Labour Government. It is also worth noting that a revised version of PPS3 was issued on the 9 June 2010 to reflect the Government’s policy to remove minimum density requirements and prevent ‘garden grabbing’, but which still includes all existing references to the role of the RSS in determining housing provision.

2.8 Housing delivery in the East Midlands between 2001/2 and 2008/9 is set out in Appendix 3. The figures show that completions rose to meet the Regional Plan target in the period up to the ‘credit crunch’, and then fell away as the recession took hold.

2.9 In relation to issues covered by the Partial Review which were due to be subject to public consultation in June 2010:

Lincolnshire Coastal Strategy: consideration is being given to developing a ‘concordat’ between the relevant local authorities and the Environment Agency to determine how development should be managed until full LDF coverage can be achieved. However the evidence base provided by the Coastal Study remains relevant to planning decisions in the area.

Aggregates Apportionment: the Regional Aggregates Working Party is considering how the revised apportionment could be reflected in emerging Minerals LDFs. The existing evidence base remains relevant to planning decisions.

Regional Transport Strategy: There is no mechanism for taking this work forward in the absence if the Regional Plan, although parts of the evidence base

27 Item 5

may be useful to Local Transport Authorities in the development of the 3rd round of Local Transport Plans, assuming these are to be submitted as currently proposed.

Gainsborough Growth Point: This can be taken forward through the Central Lincolnshire Joint LDF, providing this process continues.

Renewable Energy Targets: There is no mechanism for taking this work forward in the absence of the Regional Plan, although part of the evidence base may be useful to local planning authorities developing LDF policies. The UK remains committed to meeting EU targets on renewable energy generation.

2.10 EMC has a contract with East Midlands Planning Aid Service (EMAS) to support the proposed consultation on the Partial Review. Unless this can be used to support the further development of the Lincolnshire Coastal Strategy, the contract will be cancelled and unused funds returned to EMC.

3. Monitoring & Conformity

3.1 EMRA produced RPG/RSS Annual Monitoring Reports between 2001 and 2009. The reports and the supporting database are available at www.emregionalstrategy.co.uk. During this time, EMRA invested heavily in the development of a series of county based planning information systems, known as CDP Smart and an overarching regional system called CDP Vision. This has enabled data from all 46 local authorities to be collected using a common set definitions and used to inform both LDF and Regional Annual Monitoring Reports.

3.2 There is strong interest from local authorities to continue using and developing CDP Smart for LDF purposes. However, there appears to be only limited interest in maintaining CDP Vision without an RSS to monitor and financial support from CLG. One option would be to ‘freeze’ CDP Vision and to use any remaining maintenance resources to support the further development of CDP Smart. CDP Vision could be un-frozen in the future, or re-configured to fit alternative sub- regional geographies, if additional resources could be found. All work on producing the next Annual Monitoring Report (covering the period 2009/10) has been suspended.

3.3 Once the Regional Plan has been revoked, there will be no basis for EMC to make conformity comments on major planning applications or Local Development Framework Documents. In the interim period the Secretary of State has sought to down grade the weight given to the Regional Plan in planning decisions in his letter of 27th May 2010. Given EMCs powers to comment are now ‘permissive’ rather than mandatory for both planning applications and LDFs (as a result of the Local Development Democracy, Economic Development and Construction Act 2009), EMC’s conformity function can be wound up in advance of the formal revocation of the Regional Strategy.

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4. Transport

4.1 EMC currently leads on the management of the Transport RFA Programme and the Regional DaSTS process. In relation to the RFA Programme, The Department for Transport confirmed on the 10 June 2010 what amounts to a moratorium all major schemes not under construction (including the A453) until at least the outcome of the Comprehensive Spending Review is known. It is not clear if Regions will be asked to re-prioritise through a further RFA round and if so when or if Ministers will make decisions on schemes through some other mechanism. Ministers have also signalled an intention to review the way in which schemes are assessed to better reflect ‘low carbon’ proposals.

4.2 In relation to DaSTS, EMRA/EMC has managed the regional process to date and will jointly make the Regional submission with emda by the end of June with sign off through the Joint Strategy Advisory Board, in line with Department for Transport expectations. Whilst it is clear that the basic approach set out in DaSTS will continue to be relevant in an environment where both cash and carbon are constrained and economic growth is a high priority, it is not clear if the next stage of the DaSTS process involving a series of more detailed follow-on studies will proceed as originally proposed.

4.3 In relation to High Speed Rail, planned meetings with HS2 (the company charged by the last Government to develop a new high speed line) have been cancelled because of uncertainty over the new Government’s policy. Whilst both coalition parties are supportive of high speed rail in principle, the Conservative position in Opposition was to support a different alignment to that being taken forward by HS2 which does not involve a station in the East Midlands. It is therefore not clear how this work will be taken forward in the future or what it would mean for the Region.

4.4 Over the past 18 months EMRA/EMC has been working to upgrade and extend the 3 Cities Ptolemy land use transport integrated (LUTI) model to cover the whole of the East Midlands, to support the DaSTS process to inform the development of LDFs and Local Transport Plans. Ptolemy is the first LUTI model to be developed to cover a whole region and to meet the exacting technical standards required by the Department for Transport. It has been developed at the fraction of the cost of more traditional models, and has already been used successfully at LDF level and to inform major development decisions. In the absence of ongoing capacity within EMC to manage the use of the model (which is currently held by consultants WSP), the Highways Agency has agreed to take on management arrangements initially to the end of the financial year, to enable the model to be used and maintained and to act as bridge to a more permanent arrangement.

4.5 In relation to freight issues, the Regional Freight Study funded through DaSTS has reaffirmed the importance of freight to the regional economy, and highlighted the potential for collaborative action at the regional level. However, the next Regional Freight Group meeting planned for September 2010 has been cancelled, and any successor arrangements have yet to be considered.

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4.6 Finally, the latest version of the Regional Public Transport Map has been published in electronic form, and paper copies are currently being distributed. Discussions are being taken forward with the Association of Transport Co- ordinating Officers (ATCO) to update the map for future years.

5. Housing

5.1 The revocation of the Regional Strategy does not directly affect the Regional Housing Strategy (RHS), which has been used as the basis for prioritising public investment in new affordable housing, bringing existing stock up to decent homes standards, and Gypsy and Traveller site grant. It is unclear what (if any) weight will be given to RHS policies by Government or the Homes and Communities Agency (HCA) in any future funding decisions. However the evidence base that supports the RHS will still be relevant.

5.2 A small proportion of the CLG funds for private sector decent homes have been top sliced to support a Housing Policy Development & Implementation Fund which is held by EMC. This has been used to inform the development of the Regional Housing Strategy and support sub-regional working by local authorities. By the end of June 2010, it is anticipated that just under £300,000 of this fund will be left un-committed. Discussions are ongoing with GOEM and the HCA as to how this money should be used. The fund could be held by a regional agency or by Derby City Council (which acted as the original banker), either to support existing projects that support the whole Region, or to be distributed between local housing authorities to support private sector renewal and regeneration in the same proportion as allocations made for 2010-11.

5.3 Finally, whilst it is possible that the Homes & Communities Agency may wish to engage with local authorities collectively as its long term role becomes clearer, this may not be on the same basis as current regional structures. However, the HCA has signalled a willingness to engage with the Leaders’ Board during this interim period.

6. Environmental Infrastructure

6.1 The Regional Aggregates Working Party (RAWP) is chaired by a senior officer of Leicestershire County Council and supported by an independent Technical Secretariat funded directly by CLG. The RAWP was first established in 1974 and comprises representatives from central and local government and the extraction industry. Its main role is to advise on the aggregates apportionment between minerals planning authorities in the region. In the short term the RAWP has sufficient resources to continue, but its future role and funding is likely to be considered as part of the Comprehensive Spending Review in the light of the decision to revoke the Regional Plan. Conservative policy whilst in Opposition was to end the policy of managing the supply of aggregates through RAWPs.

6.2 The Regional Technical Advisory Body on Waste (RTAB) is chaired by a senior officer of Lincolnshire County Council and comprises representatives of

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central and local government, the private and environmental sectors. EMC provides technical secretariat support. The RTABs main role has been to advise the on the apportionment of waste between waste planning authorities and the pattern of waste treatment facilities, and to assist in the implementation of the Regional Waste Strategy. A technical study assessing waste treatment capacity in the East Midlands and the development of waste capacity modelling tool are both due for completion by the end of June 2010. The RTAB may be able to continue in the absence of EMC in a limited form, but without the Regional Plan its future role and purpose is unclear. However, the UK remains committed to meeting the requirements and targets set out in the EU Waste Directives.

6.3 EMRA/EMC led development of the concept of green infrastructure through work to support the first RSS (2005). Discussions are ongoing on the future of the EM Green Infrastructure Network (EMGIN). In the short term the EMGIN web-site will held and maintained by the River Nene Regional Park. Natural England has agreed on an interim basis to Chair of the 6Cs Green Infrastructure Group which oversees the management of remaining Growth Point funds. The 6Cs Green Infrastructure Strategy will be launched in early July as planned. The Regional Biodiversity Partnership is funded and administered independently from EMC and will continue for the time being.

7. Economy & Skills

7.1 The revocation of the Regional Strategy will also include the Regional Economic Strategy and the future of Regional Development Agencies is under review. However, the role and configuration of any post RDA economic structures has yet to be formally discussed or decided. It is likely that the geography of these successor arrangements will provide the basis for future joint working between local authorities on a range of issues.

7.2 The is no formal requirement from BIS for a Regional Skills Strategy but emda has been asked to complete work on regional priorities statements (for adult skills) by the end of July 2010. It is not clear what the future role and function of local economic assessments will be in the absence of a Regional Strategy.

8. Climate Change

8.1 EMC is an active participant in the Climate East Midlands (CEM), the Regional Climate Change Partnership, and currently chairs the CEM Management Group (CEM Annual Report 2009/10 is contained in Appendix 4). EMC also hosts and part funds the Regional Climate Change Co-ordinator (RCCC) and hosts the Adaptation Co-ordinator. Much of the funding for the work of CEM for 2010/11 comes from the EM IEP to support activities by local authorities. This funding has recently been re-confirmed, and therefore CEM can continue to function at least until the end of the financial year. Initial discussions have taken place with a view to GOEM chairing the CEM Management Group and managing the RCCC post as an interim arrangement.

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8.2 A key aspect of EMRA/EMCs work on Climate Change has been the annual East Midlands EXPO. Plans for the 7th EXPO in Nottingham in October have been suspended and existing contracts cancelled.

9. Conclusions

9.1 The revocation of the Regional Plan and the proposed abolition of the strategic planning function will have profound and perhaps unintended consequences for the planning system at local level across the East Midlands. However, it will also impact on a range of other related areas of work supported by EMC using CLG grant. Whilst every effort is being made to ensure current commitments are met and that affairs are left in good order, it is inevitable that some matters will be left unresolved given the speed of wind-down, even with the release of limited additional CLG resources.

9.2 It seems likely that legislation to reform the planning system set out in the Queens Speech will be delayed until the end of 2010. It will be important for all local authorities to use any extra time to actively participate in legislative process to ensure that new arrangements are fully fit for purpose.

9.3 Finally, a significant body of work has been produced in the East Midlands as part of the regional planning agenda since the early 1990’s, which is in danger of being lost or misrepresented. As a result, arrangements are being made with Nottingham Trent University’s School of Architecture, Design & the Built Environment to deposit an ‘archive’ of material which can be properly catalogued, stored and made available for future study.

10. Recommendation

Members note the report and raise any questions or concerns.

Andrew Pritchard Director of Strategy

32 Item 5 Appendix 1

33 Item 5 Appendix 2

East Midlands RSS Housing Provision (To be read with notes)

Draft RSS Final RSS Annual Annual Total Central Lincolnshire HMA 1,830 2,030 40,600 Lincoln 524 9902 19,800 North Kesteven 754 5602 11,200 West Lindsey 552 4802 9,600 Coastal Lincolnshire HMA 940 4353 8,700 Boston 290 1353 2,700 East Lindsey 650 3003 6,000 Peterborough Partial HMA 1,350 1,2003 24,000 Rutland 170 150 3,000 South Holland 550 3703 7,400 South Kesteven 630 680 13,600 Nottingham Outer HMA 1,465 1,830 36,600 Ashfield 455 560 11,200 Mansfield 410 530 10,600 Newark & Sherwood 600 740 14,800 Northern HMA 1,370 1,510 30,200 Bolsover 350 400 8,000 Chesterfield 360 380 7,600 NE Derbyshire 330 380 7,600 Bassetlaw 330 350 7,000 Peak, Dales & Park HMA 420 500 10,000 Derbyshire Dales 150 200 4,000 High Peak 270 300 6,000 PDNPA 0 0 0 Derby HMA 1,770 1,830 36,600 Derby 700 720 14,400 Amber Valley 465 510 10,200 S Derbyshire 605 600 12,000 Leicester & Leicestershire HMA 3,780 4,020 80,400 Leicester 1,180 1,280 25,600 Blaby 340 380 7,600 Charnwood 760 790 15,800 Harborough 345 350 7,000 Hinckley & Bosworth 460 450 9,000 Melton 160 170 3,400 NW Leicestershire 480 510 10,200 Oadby & Wigston 55 90 1,800 Nottingham Core HMA 2,370 2,850 57,000 Erewash 290 360 7,200 Nottingham 945 1,000 20,000 Broxtowe 270 340 6,800 Gedling 310 400 8,000 Rushcliffe 555 750 15,000 West Northamptonshire HMA1 2,480 2,564 51,275 North Northamptonshire HMA1 2,643 2,748 54,950 EAST MIDLANDS 20,418 21,517 430,325

34 Item 5 Appendix 2

Notes

The draft RSS for the East Midlands (Sept 2006) covered the period 2001-2026 but this was re-based to 2006-2026 in the final version issued in March 2009. This was done by removing completions for the period 2001-2006. The figures above represent annual averages over the 25 year period in the draft RSS and over 20 years for most districts in the final RSS except for Northamptonshire districts and Lincolnshire Coastal districts (see footnotes 1 and 3 below).

Housing provision was expressed in annual figures in the draft RSS but because of the exceptions noted below the final RSS establishes that the total provision over the 20 year period represents the target and not the annual apportionment which is included for monitoring purposes only.

Footnotes

1 West Northamptonshire comprises Northampton, Daventry and South Northamptonshire. North Northamptonshire comprises Corby, Kettering, East Northamptonshire and Wellingborough. RSS figures for Northamptonshire districts are expressed in 5 year annual averages per district in the draft RSS but in the final RSS as HMA wide figures for the period 2021-26. The figures given in the table are expressed as simple annual averages and for the final RSS averaged and totalled over 20 years to allow a broad comparison with other figures.

2 Figures for Lincoln, North Kesteven and West Lindsey in the final RSS are for different areas than in the draft RSS as the final RSS figure for Lincoln includes parts of North Kesteven and West Lindsey districts on the edge of the city area. Figures for North Kesteven and West Lindsey are reduced accordingly.

3 Figures for Boston, East Lindsey and South Holland are limited to existing commitments pending completion of a Lincolnshire Coastal Strategy to consider implications of future flood risk. The annual figures are front loaded and equate roughly to a 10 year supply, not for the whole 20 year RSS period. Note that for comparative purposes in the above table the final RSS annual apportionments for these districts are expressed as an a twentieth part of the total figure, not as expressed in Policy 13a in the final RSS.

35 Item 5 Appendix 3

Housing Completions East Midlands 2001/02 - 2008/09

25,000

20,000 Net Additional Dwellings (minus affordable)

15,000 Affordable Dwellings

adopted RSS target 10,000 draft RSS target

5,000

0

01/02 02/03 03/04 04/05 05/06 06/07 07/08 08/09

36 Annual Report 2009/2010 Contents Page Section

3 Foreword

4 1. Introduction

5 2. First Year Achievements

6 3. Performance against key targets

Front page bottom photo shows the launch of a pedal 8 4. Progress against Priorities powered (zero carbon) cab service for Leicester city centre at East Midlands EXPO, October 2009 16 5. Moving forwards in 2010/11

Climate East Midlands (Regional Climate Change Partnership) Structure in relation to national and regional bodies

CENTRAL GOVERNMENT DEPARTMENTS National level support and reporting NOTTINGHAM CLIMATE LOCAL AND REGIONAL CLIMATE UK DECLARATION CHANGE SKILLS FUND ADAPTATION PARTNERSHIP (NETWORK OF RCCPs) PARTNERSHIP (CLG, IDeA) BOARD (Defra/UKCIP)

Regional level support and reporting REGIONAL BODIES

EXECUTIVE PANEL Financial support via MANAGEMENT GROUP Defra to RCCP for adaptation Advice and guidance Financial 7 PRIORITY support from WORKSTRAND GROUPS CLG LOCAL GOVERNMENT CLIMATE CHANGE SUPPORT PROGRAMME (EM IEP)

2 CLIMATE EAST MIDLANDS ANNUAL REPORT 2009/10 Foreword

Climate East Midlands is our regional climate change • Raising the awareness of over 250 people (from partnership. Its aim is to enable people in the East across the region’s public, private and voluntary Midlands to collectively understand the issues we sectors) of the UK’s new climate projections face and, more importantly, agree and deliver on the • Developing and promoting good practice on water priorities for the region. The priorities and key actions efficiency in agriculture enabling the farming agreed across a wide range of stakeholders for 2009/10 community to access grants from the Rural are set out in our Programme of Action ‘Tackling Development Programme for England Climate Change in the East Midlands’. • Helping businesses and the public sector understand The latest UK Climate Projections 2009 suggest that what they need to do to meet the Carbon Reduction if we continue as we are, within our children’s lifetime, Commitment (Energy Efficiency Scheme) the East Midlands is likely to experience significantly warmer, wetter, stormier winters and hotter, drier • Taking a national lead in examining the impacts of summers. These will bring an increase in the frequency climate change on the historic environment and magnitude of both flooding and drought, and • Through the Lincolnshire Coastal Study, finding major risks to our communities, businesses and the right balance between flood risk protection, livelihood. regeneration and development needs of coastal Considered in isolation, the effect of flooding or a heat communities wave incident may seem relatively minor, but Climate However, it’s clear that we need to be even more East Midlands recognises that our infrastructure, ambitious in the future if we are to avoid the including transport, the education and health sectors consequences of unavoidable climate change. We and our domestic arrangements and culture were need to do more to support communities who will be developed against the backdrop of a relatively stable affected by increased exposure to climate change climatic period. Even minor changes in climatic risks. We need to help business to reduce greenhouse conditions can have disproportionate impacts and gas emissions, exploit the opportunities for renewable our aim is to help the region avoid potentially greater energy and move to a low carbon economy. impacts and to adapt our services and lifestyles to the already changing climate. On behalf of the region, the Executive Panel of Climate East Midlands is committed to We also want the East Midlands to seize the delivering these priorities to tackle the causes and opportunities arising from the move towards a low consequences of climate change. carbon economy and a changing climate. Our region already has a reputation for its commitment to action. The Nottingham Declaration on Climate Change, launched in 2000, was a major call for action and has now been signed by more than 300 English Councils and other organisations. Mark Sitton Kent Midlands Regional Director, We are on course to deliver our Programme of Action Environment Agency and notable achievements during 2009/10 include: On behalf of • Implementing innovative approaches to supporting Climate East Midlands Local Authorities to manage their climate change risks and manage reductions in carbon emissions

Climate East Midlands Executive Panel

Kevin Baillie, Sustainable Development Mark Sitton Kent, Midlands Regional Director and Infrastructure Director Environment Agency (EA) East Midlands Development Agency (emda) Chair of the Executive Panel Chris Alison, Director Alison Adams, Deputy Infrastructure Director East Midlands Improvement and Efficiency Government Office for the East Midlands (GOEM) Partnership (EM IEP) Maddy Jago, East Midlands Regional Director Andrew Pritchard, Director of Strategy Natural England (NE) East Midlands Councils (EMC) Chair of the Management Group 3 CLIMATE EAST MIDLANDS ANNUAL REPORT 2009/10 Introduction

Climate East Midlands is a Regional Climate Change Working with and through its partner organisations, Partnership. It is one of nine such partnerships in Climate East Midlands provides a source of trusted England which are recognised and part-funded by and authoritative information, helping the region Central Government and which play an important understand its current vulnerability to extreme weather role in the delivery of national, regional and local and improve its resilience, engaging and mobilising climate change policy. Its partners are six key regional individuals, communities and organisations to take organisations (East Midlands Development Agency, action on climate change. Looking further afield, East Midlands Improvement and Efficiency Partnership, Climate East Midlands also helps the region speak East Midlands Councils, the Environment Agency, with a single voice on climate change to national Government Office for the East Midlands and Government and European partners. By successfully Natural England). aligning national, regional and local resources through the Regional Programme of Action, Climate East Climate East Midlands was formally established Midlands has maximised impact, reduced duplication following the launch of the Regional Programme of and strengthened a shared understanding of climate Action 2009-11‘Tackling Climate Change in the change issues across the region. East Midlands’ in February 2009 by the Secretary of State for the Environment. The Partnership was set up This can be demonstrated by the significant progress in order to deliver the Programme of Action, through that has been made against the 8 priority areas within sharing information between partner organisations the Regional Programme of Action, with a range of on their respective climate change activities and achievements including those listed right. identifying those areas of work best tackled through One year on from the launch of the Regional joint partnership activity, and by helping local Programme of Action, this Annual Report looks government and its partners in the region to deliver on back over the achievements and outcomes delivered their high levels of commitment. during 2009/10 and, looking ahead, sets out the The two key targets in the Programme of Action broad priorities to be taken forward by Climate East reflect the interests of the Partnership to tackle the Midlands in 2010/11. causes and consequences of climate change within the East Midlands: • On the causes of climate change, the target is to achieve an average 10% reduction in per capita carbon dioxide emissions across the region (according to National Indicator 186) by March 2011.* • On the consequences of climate change, the target is to have embedded climate impacts and risks across council decision making and to have developed a comprehensive adaptation action plan (by reaching an average of Level 3 across the region against National Indicator 188) by March 2011.* These targets reflect the key priorities agreed between central and local government for the cities and counties of the East Midlands as expressed in the nine Local Area Agreements that cover the three year period April 2008 to March 2011.

*The indicators are described in more detail on pages 6-7

Peat erosion in the Derbyshire Peak District Peat is a vitally important wildlife habitat which stores carbon and rainwater, but is threatened by erosion and hotter, drier summers - issues being tackled by Moors for the Future project.

4 CLIMATE EAST MIDLANDS ANNUAL REPORT 2009/10 First year achievements

1. People and Communities 4. Environment Greening Communities Climate East Midlands Sustainable Farming Guidance materials on launched its quarterly newsletter and website to keep sustainable land management and farming have been stakeholders informed and engage a wider audience produced and used, and access to European RDPE in tackling the causes and consequences of climate grants has been enhanced. Forty businesses are already change. Ten communities are now receiving specific putting projects in motion, helping to tackle the causes support through the Energy Saving Trust Green and consequences of climate change. Communities Programme following the establishment of a new regional EST Advice Centre in Nottingham. Coastal Futures, an innovative and collaborative approach to addressing some of the climate change 2. Public Sector related issues on the Lincolnshire Coast, has attracted Nine Local Climate Impact Profiles covering the whole national attention and was a major contributing factor region were produced by March 2009, an exemplar in the area being awarded ‘Coastal Pathfinder Status’ approach supported by the UK Climate Impacts by the Government in 2009. Programme. This regional project has continued throughout the year with financial support from EM 5. Economic Resilience IEP and as a result, Local Authorities have assessed Regional Energy Strategy The Regional Energy themselves as having achieved their adaptation targets Strategy has recently been refreshed and updated, with through regional support and collaboration. much greater alignment to the PoA.

Local Authority Carbon Management Climate East emda’s Resource Efficiency Programme has been Midlands has worked with Carbon Trust and Energy improved with more emda investment and has Saving Trust to deliver bespoke in-house carbon delivered to 67 companies in 2009. management and domestic sector programmes in Leicestershire, Lincolnshire and Northamptonshire. 6. Infrastructure and Services The in-house carbon dioxide savings identified could ‘Driving down’ emissions The regional approach to amount to a 21% reduction over 5 years, saving £1.2m DfT’s Delivering a Sustainable Transport System is in energy bills per annum, at current costs. helping ensure consideration of carbon emissions in all transport infrastructure decisions. GOEM, in conjunction with UKCIP and Defra, ran 5 UKCP09 events in Autumn 2009 across the East 7. Inter-regional and International Links Midlands that raised awareness of the new projections Climate UK Climate East Midlands has strongly amongst 250 stakeholders. GOEM launched a advocated the benefits of collaborative work between collection of adaptation case studies at a regional Regional Climate Change Partnerships across the UK Adaptation conference in Leicester in January 2009 and has helped establish a programme of joint projects attended by over 160 people. looking at improved communications, single regional strategies, tools and resources and definitions and The East Midlands Improvement and Efficiency terminology. Partnership established a local authority climate change support programme which is now integral to 8. Leadership the Regional Programme of Action. EM IEP are now Measuring Progress The development and pilot leading members of Climate East Midlands and fund of a methodology to monitor and report progress regional mitigation and adaptation projects. against Nottingham Declaration commitments is 3. Buildings underway, creating a benchmark for others to follow. An introductory Public Reporting workshop with over 50 Climate Change and the Historic Environment people representing 26 councils took place in January The region is leading the UK in considering the 2010. The pilot project will be completed in 2010/11. impacts of climate change on the historic environment. Climate East Midlands and the Regional Heritage Forum ran a joint project in 2009 which engaged many stakeholders. The outputs from the project have now been published and include new guidance for Local Authorities.

5 CLIMATE EAST MIDLANDS ANNUAL REPORT 2009/10 Performance against key targets: mitigation

per capita CO2 East Midlands upper tier local authority CO2 emissions per capita emissions (t)

14

12

10

8

6

4

2

0 Nottingham Leicester Derby Nottinghamshire Lincolnshire Leicestershire Derbyshire Northamptonshire Rutland

Upper tier authority 2005 2006 2007 National Indicator 186

Carbon dioxide emissions per capita 2. Assisting in the reduction of domestic sector emissions - Climate East Midlands has The regional target is for an average reduction of supported councils in Northamptonshire over 10% in carbon dioxide emissions per capita across the year to see what extra they can do to reduce the region by the end of March 2011, based upon a emissions from housing. 2005 baseline. 3. Assisting businesses to reduce their emissions The bar graphs (which show the relative amount of - emda has supported Business Link to provide a CO emissions per capita for each of the 3 cities and 2 Resource Efficiency diagnostic check to all small and 6 counties for the years 2005, 2006 and 2007) medium sized companies accessing business support. illustrate that there is a generally encouraging trend in emissions reduction and that the regional target is 4. All partners have undertaken steps to reduce their likely to be met. own corporate emissions with the Environment Agency, Natural England and Northamptonshire However, this is a complicated indicator and further County Council achieving the Carbon Trust explanation is needed. The bar graphs use the latest Standard during the year. data available which is more than 2 years behind the present. We won’t know whether the target has been 5. The Region is making good progress in implementing achieved until 2012, when the 2010 data is published. a regional programme of studies to deliver the Government’s DaSTS (Delivering a Sustainable The indicator includes emissions from three main Transport System) agenda. These studies will inform sectors: domestic; commercial and industrial and future transport investment priorities in the region transport—but only includes emissions over which that will support a range of social and economic local authorities are considered to have some degree outcomes and also contribute to the requirement to of influence. So emissions from motorways, power reduce carbon dioxide emissions. stations, etc. are exluded because they are considered to be within the scope of Central rather than Local Explaining the commitments Government influence. within the region The regional contribution All 9 Local Area Agreements in the region contain commitments and targets to reduce carbon dioxide, Climate East Midlands has contributed to this indicator with 7 committed to NI186 and 2 committed to in several ways via joint and individual partner action: NI185 (reducing CO2 emissions from local authority 1. Assisting in the reduction of corporate emissions operations). - EM IEP has helped 9 district councils and 1 fire authority to embed carbon management into their mainstream processes during the year.

6 CLIMATE EAST MIDLANDS ANNUAL REPORT 2009/10 Performance against key targets: adaptation

East Midlands upper tier local authority progress on planning to adapt to climate change

4

3 x

2 x x x x x x x x x

1 x x x x x x x x x

0 x x x x x x x x x

Score Derby Derbyshire Leicestershire Leicester Lincolnshire Northamptonshire Nottingham Nottinghamshire Rutland City (combined (combined City (combined (combined Score City (County Council County Score of the Score of the Score of the of the County and only) County and County and County and Districts Districts) Districts) Districts)

National Indicator 188

Planning to adapt to climate change NI 188, Planning to Adapt to The regional target is for the region to have achieved an Climate Change average score of 3 across the 9 upper tier local authority The aim of the indicator, which is included within areas, according to the requirements of the indicator 7 out of 9 of the region’s Local Area Agreements, (see box right) by March 2011. is to embed the management of climate risks and opportunities across the local authority and partners Key The bar chart shows the relative performance levels services, plans and estates and to take appropriate in May 2009 (green) and the targets for May 2010 adaptive actions where required. (pink). All are on track to meet their 2009/10 targets, even though Derby and Nottinghamshire do not have Level 0 Getting started NI188 formally in their Local Area Agreement. Level 1 Public commitment and impacts assessment Level 2 Comprehensive risk assessment The regional contribution Level 3 Comprehensive action plan (average level Climate East Midlands has provided extra capacity to for the East Midlands by end 2010/11) all the local authorities, with EM IEP funding a team of Level 4 Implementation, monitoring and Climate Adaptation Project Officers. They have worked continuous review together through the regional Planning to Adapt project in order to share the workload of carrying out Source: Local and Regional Adaptation Partnership Board guidance notes, December 2008 comprehensive risk assessments of services and sharing the results across the region.

7 CLIMATE EAST MIDLANDS ANNUAL REPORT 2009/10 People & Public Sector Buildings Environment 1 Communities 2 3 4 Economic Infrastructure Inter-regional & Leadership 5 Resilience 6 & Services 7International Links 8 Progress against priorities: People and Communities

Aim Engaging, informing and supporting people and communities to tackle climate change

Year 1 achievements include

Coordinating an approach to supporting climate EST are now supporting a further group of communities friendly communities. around the region, utilising the evaluation of EMRA’s initial Climate Friendly Communities project in 2009. Climate East Midlands has brought together a range of partners to help engage communities to reduce This work is ongoing, and many communities are now their carbon footprint. Successful examples include reaching a level of maturity where they can begin to Sustainable Hockerton’s large community owned explore large scale action, including community owned turbine which started generating in January 2010. renewables and social enterprise. Social Enterprise East Midlands (SEEM) continues to support communities A programme of events has included supporting and individuals to explore the possibilities of how social the launch of the Energy Savings Trust’s Green enterprises can contribute to a low carbon economy. Communities initiative which gave away free energy meters, a workshop at EXPO to engage faith and third sector organisations, and a dedicated event during UKCP09 week for organisations that support communities.

Photo courtesy of Sustainable Hockerton

8 CLIMATE EAST MIDLANDS ANNUAL REPORT 2009/10 People & Public Sector Buildings Environment 1 Communities 2 3 4 Economic Infrastructure Inter-regional & Leadership 5 Resilience 6 & Services 7International Links 8 Progress against priorities: Public Sector

Aim Developing, supporting and gearing up the role of the public sector in responding to the mitigation and adaptation challenges of climate change in the East Midlands

Year 1 achievements include

1. Planning to Adapt 2. Carbon Management Programme The region has built on the collaborative approach The East Midlands Carbon Management Programme, to developing Local Climate Impact Profiles and the funded and delivered by EM IEP in conjunction local authorities, whether or not NI188 is a part of with the Carbon Trust, has delivered local carbon their Local Area Agreement are now successfully management programmes for nine district councils working together to ensure that they meet their and a fire authority in Lincolnshire and Leicestershire. national indicator targets. The project is recognised Lincolnshire and Leicestershire have NI 185 – reduction as best practice and is being used to inform projects in carbon dioxide emissions from local authority in other regions (London and the South West). In operations – in their Local Area Agreement. The project collaboration with UKCIP, extensive work has been put has identified carbon dioxide savings of 21% over 5 into developing and utilising a robust risk assessment years, which amount to year on year savings of 10,000 methodology. This is available for download from tonnes of carbon dioxide, equivalent to £1.2m per www.climate-em.org.uk annum, at current costs. The Planning to Adapt project has received positive EMRA has funded the Energy Saving Trust to work with feedback from regional stakeholders: local authorities in Northamptonshire on a customised ‘Really appreciate the regional based approach to One to One programme, focusing on reducing carbon project development which I would like to see replicated dioxide emissions from domestic housing stock. With for other performance indicators. The engagement the support of the programme, five local authorities of post graduates to assist in the NI 188 project is together with Northamptonshire County Council an outcome in itself - which others should learn from. have developed action plans to reduce the carbon A small amount of money can go a long way - and emissions from their area, and also identified joint engender effective partnership working.’ emission reductions objectives. Northamptonshire County Council is also planning to assist its district ‘Derbyshire County Council and its public sector council partners in adopting county-wide monitoring partners in the county would have been well behind of carbon emissions through use of EST’s monitoring with the NI 188 agenda if it hadn’t been for the tool. Daventry District and Kettering Borough Councils, support of the EM IEP in helping move us forward who have previously completed the full One to One with staff to do the work and mutual aid and support programme, assisted as mentors during this process. through the Regional Adaptation Project Group. I’m now confident we will meet the staged targets for this indicator. The proposal to offer a similar collaborative approach on NI 186 is most welcome.’

EM IEP Perceptions Study 2010

Photo courtesy of Sustainable Hockerton

9 CLIMATE EAST MIDLANDS ANNUAL REPORT 2009/10 People & Public Sector Buildings Environment 1 Communities 2 3 4 Economic Infrastructure Inter-regional & Leadership 5 Resilience 6 & Services 7International Links 8 Progress against priorities: Buildings

Aims • Enabling progress towards new low carbon and climate resilient buildings, through planning, design and sustainable construction • Appropriate retrofit of existing (including sensitive approaches to historic) buildings

Year 1 achievements include

1. Showcasing of good practice 2. Climate Change and the historic environment The East Midlands EXPO at the Walkers Stadium in Working with English Heritage and the Council for Leicester October 2009 showcased over 60 local firms British Archaeology, Climate East Midlands staged a and organisations that are active in low carbon and stakeholder workshop in July 2009 to bring together a climate adaptive solutions for buildings to over 800 wide range of historic environment and climate change people. The products and services on show included professionals. The outputs from the day included a green roofs, renewable energy technologies, water matrix of generic impacts of climate change on the efficient appliances and low energy lighting. Also historic environment, a more detailed version of the featured were the region’s Further Education colleges matrix featuring a range of examples from the East which are all leading on teaching and promoting Midlands and a commitment to continuing dialogue different aspects of greener building through a between the Regional Heritage Forum and Climate joint New Technology Initiative (NTI) Sustainable East Midlands. Construction Pathfinder. The outputs from this workshop will be useful for In addition there was a conference on Greening our other regions and local areas and are now available to Cities which investigated solutions to the effects of download from the Nottingham Declaration website as the ‘Urban Heat Island’. part of wider guidance on tackling climate change. ‘We were very happy with EXPO 2009 and found it to be the busiest for us of all the events we have taken part in.’ Sustainable Construction I-Net ‘We are developing a partnership with an organisation relating to a sustainable heritage centre, at an early stage, but as a direct result of EXPO.’ The Wildlife Trusts

Renewable energy technologies on show at EXPO 2009 10 CLIMATE EAST MIDLANDS ANNUAL REPORT 2009/10 People & Public Sector Buildings Environment 1 Communities 2 3 4 Economic Infrastructure Inter-regional & Leadership 5 Resilience 6 & Services 7International Links 8 Progress against priorities: Environment

Aim Protecting and enhancing the capacity of the natural and historic environment to help mitigate carbon emissions and provide adaptation opportunities for people, wildlife populations and historic and cultural assets.

Year 1 achievements include

1. Co-ordinated approach to coastal areas at flood risk materials such as rainwater as a resource and Natural England ran seminars for land managers on energy Following the Examination in Public into the last Draft efficiency, carbon management and renewables. Regional Spatial Strategy (2007) which highlighted the importance of flood risk issues on the Lincolnshire Coast, By raising the profiles of water efficiency measures in the Secretary of State asked that a Lincolnshire Coastal the Rural Development Programme for England for the Strategy be developed as part of the Partial Review to East Midlands, opportunities now exist enabling farmers the RSS, to provide a long term vision of sustainable and rural businesses to gain grants of up to 50% for development for Boston Borough, East Lindsey and technologies that increase water use efficiency or secure South Holland. The revised RSS policies set out in the alternative supplies. Forty businesses are already putting Coastal Strategy were submitted to the Secretary projects in motion, helping to tackle the causes and of State in March 2010 and based on the findings consequences of climate change. of a Lincolnshire Coastal Study (available at www. lincolnshire.gov.uk/coastalstudy). The study considered 3. Completion of Landscape Character Assessment the full range of social, economic and environmental The East Midlands Regional Landscape Character factors along the coast, as well as using ‘cutting edge’ Assessment has been developed on behalf of Natural modelling techniques to assess the potential impact of England, in association with stakeholders in EMSCAPE, sea level rise and the hazards from flooding. the Regional Landscape Partnership. The Assessment The work was overseen by a steering group comprising describes the region’s landscape character and the of the relevant local authorities, regional bodies, forces that have created the landscape we see today. the Environment Agency, Natural England and a It also reviews the forces that continue to change representative from the Internal Drainage Boards, the landscape and suggests ways to secure positive and was chaired by the Bishop of Lincoln. It was also landscape change in the future. The Assessment informed by widespread stakeholder engagement and will support work on climate change adaptation local consultation. This innovative and collaborative and mitigation, by helping people to take landscape approach to addressing some very challenging issues considerations into account when making decisions. on the Lincolnshire Coast has attracted national 4. Energy crops attention, and was a major contributing factor in the area being awarded ‘Coastal Pathfinder Status’ by the Energy crops in the East Midlands currently account Government in 2009. for about 1%or 6,000 hectares of arable land use but represent about 34% of the UK’s total energy crops. 2. Farming/land management There is a clear opportunity to increase the area of Partnership work addressing climate change impacts energy crops in the East Midlands region to satisfy on land management has delivered many positive growing end user demand, as 95% of biomass fuel outcomes in improved soil management, resource used in the region is imported. Natural England delivers protection and water efficiency, as well as promotion the Energy Crops Scheme in the region and during of good practice and technologies. The Environment 2009/10 held 8 promotional events, achieving direct Agency led in producing advice and practical guidance contact with over 400 farmers.

11 CLIMATE EAST MIDLANDS ANNUAL REPORT 2009/10 People & Public Sector Buildings Environment 1 Communities 2 3 4 Economic Infrastructure Inter-regional & Leadership 5 Resilience 6 & Services 7International Links 8 Progress against priorities: Economic Resilience Aim Achieving a low carbon, resilient regional economy

Year 1 achievements include

1. Sustainable economic growth within The report will inform how environmental environmental limits considerations are dealt with in the Regional Strategy development process. A regional steering group has In support of the Programme action to ‘ensure better been established to manage and support the project; alignment of low carbon economic and infrastructure members include Natural England, the Environment priorities’ through the development of the forthcoming Agency, East Midlands Environment Link, GOEM Regional Strategy, emda are leading a study into and EMC. Sustainable Economic Growth within Environmental Limits. Defra and other English regions are showing interest in this work as it could provide a best practice model The Draft Policy Statement on Regional Strategies for operationalising environmental limits issues. The (BIS/CLG, August 2009) stated that the Regional project will conclude in June 2010 and will include a Strategy will be required to deliver the outcome of stakeholder engagement workshop. Sustainable Economic Growth (SEG), which is defined as: “economic growth that can be sustained and is 2. Regional Energy Strategy within environmental limits, but also enhances the This has recently been refreshed and updated, with environment and social welfare, and avoids greater much greater alignment to the PoA. extremes in future economic cycles”. 3. emda’s Resource Efficiency Programmehas been In preparation for the Regional Strategy a partnership improved with more emda investment and was project has been developed to consider how the delivered to 67 businesses in the 2009/10 period – concept of ‘sustainable economic growth within out of a total of 400 over 3 years. environmental limits’ can be determined and operationalised within a regional context. This will 4. emda’s Climate Resilience Programme review different facets of environmental limits (e.g. was launched as planned, but has had limited uptake water, soil, atmosphere, aggregates, etc), identify those due to the onset of the recession that are relevant to the East Midlands, where legislative limits already apply, at which spatial scale and their relevance over different timescales.

12 CLIMATE EAST MIDLANDS ANNUAL REPORT 2009/10 People & Public Sector Buildings Environment 1 Communities 2 3 4 Economic Infrastructure Inter-regional & Leadership 5 Resilience 6 & Services 7International Links 8 Progress against priorities: Infrastructure and Services Aim Reducing the carbon impacts of energy, transport, water and waste services and improving the resilience of its associated infrastructure

Year 1 achievements include

Delivering a sustainable transport system (DaSTS) The region is developing a joint approach to modelling different transport interventions via the Ptolemy Model Although the East Midlands is continues to be more car (which enables consistent and transparent modelling of dependant compared to the England as a whole, public transport and land impacts and complements existing transport usage has been increasing in recent years. modelling techniques). This will also help provide more Rail patronage rose by 48% between 1997 and 2007. detailed information regarding carbon costs, and the Bus and light rail patronage has risen by 6.5% and bus relative pros and cons of regional transport options. kilometres by 14.8% over the same period – in contrast to most other parts of England. Nottingham now has The region is also progressing the ‘Smarter Choices’ the highest per-capita bus usage of any city in England agenda to encourage a shift to lower carbon outside London. The success of the Lincolnshire transport choices. As part of this the East Midlands InterConnect initiative in increasing bus patronage has developed a map of public transport choices shows what can be achieved in rural areas. Two new (connecting the larger settlements in the region), with rail stations opened in the region during 2009: East the purpose of making public transport the ‘default’ Midlands Parkway and Corby (shown below), which will choice for businesses and individuals when travelling help further boost rail patronage in future years. throughout the region. A new more sustainable approach to setting priorities for transport (DfT’s Delivering a Sustainable Transport System, or DaSTS) is progressing well within the region. The carbon cost of each different form of transport infrastructure development is now being mapped, with a view to better intelligence in this area helping inform better infrastructure decision-making.

13 CLIMATE EAST MIDLANDS ANNUAL REPORT 2009/10 People & Public Sector Buildings Environment 1 Communities 2 3 4 Economic Infrastructure Inter-regional & Leadership 5 Resilience 6 & Services 7International Links 8 Progress against priorities: Inter-regional & International Links

Aim Facilitating partnerships beyond the region that encourage knowledge transfer and sustainable trade

Year 1 achievements include

1. Climate UK Another outcome of this joint working between regions was a national workshop for regional bodies in Climate East Midlands has strongly advocated the Birmingham in October 2009 to consider how best to benefits of collaborative work between Regional incorporate climate change adaptation into the new Climate Change Partnerships across the UK to learn Regional Strategies. from one another’s experiences and to develop a more coordinated UK wide approach to activity, through the Another example was an adaptation workshop in Leeds national network of Climate UK. in March 2010 for local authorities from Northern Regions to share good practice in making progress on A number of joint projects have been established, National Indicator 188, with East Midlands providing with the East Midlands leading on the theme of significant input. ‘Communications’. An audit of communications activity has been completed, a new name and visual identity 2. EU Funding agreed (Climate UK); a new Climate UK webpage A joint event was held with the West Midlands to look developed to act as a gateway to all the regional climate into the possibility of accessing European funding. change partnerships and a Communications Strategy A collective view on the advantages of taking this and Action Plan are all under development. A joint forward was agreed with further work planned, newsletter or bulletin is one of the practical actions resources permitting. under consideration which would help to showcase regional action on climate change from around the whole of the UK.

Inaugural meeting of Climate UK, February 2009 at the Met Office in Exeter 14 CLIMATE EAST MIDLANDS ANNUAL REPORT 2009/10 People & Public Sector Buildings Environment 1 Communities 2 3 4 Economic Inter-regional & Infrastructure Leadership 5 Resilience 6 International Links 7 & Services 8 Progress against priorities: Leadership

Aim Driving action to tackle climate change by embedding policies, exemplifying practices and individual behaviours across regional partner bodies; and building effective partnership arrangements to support the implementation, monitoring and reporting on the PoA

Year 1 achievements include

1. The Regional Climate Change Partnership 3. UKCP09 regional roll out Climate East Midlands has been developed and is now Launched in June 2009 by the Secretary of State for fully functioning at executive and operational level. the Environment, the UKCP09 climate projections Communications was identified as a vital part of the highlighted the need for swifter action to adapt to partnership’s activity and over the last year: increasing temperatures, rising sea levels and changing • A clear visual identity, name and branding guidelines rainfall. To meet the call for action the East Midlands have been developed hosted the first regional launch of the scenarios in September, supported by 4 additional events at • A website (www.climate-em.org.uk) and quarterly locations across the region in November. 8 workshop newsletter (The Wrapper) have been launched themes relevant to specific sectors or areas of concern • A range of workshops, events and meetings were defined, attracting about 250 delegates overall throughout the region have been organised and including representatives from organisations not facilitated to help engage stakeholders, raise traditionally engaged with the climate change agenda. awareness and mobilise action on climate change, The UKCP09 scenarios have since been used to inform including a 2009 EXPO. risk assessments being carried out by local authorities. 60 people were trained on the detailed interrogation 2. Public Reporting on climate change pilot project of the UKCP09 online tools.This will allow them to Over 50 people representing 26 of the region’s local investigate potential impacts, vulnerabilities and authorities joined in a workshop on 29th January 2010 adaptation options in more detail, leading to better to begin piloting a public reporting process on climate informed decisions. change, based on the voluntary, high level commitments that all East Midlands councils have made by signing the Nottingham Declaration. Symbolically, the event was held in Nottingham, where the Declaration was first launched in October 2000 by Nottingham City Council and then re-launched in revised form at a subsequent national conference in 2005. Workshop participants recorded their activities, drafted public statements and compared their plans, targets and achievements. Work is underway to synthesise the information generated and to develop a regional approach to communication.

15 CLIMATE EAST MIDLANDS ANNUAL REPORT 2009/10 Moving forwards in 2010/11

In compiling the Annual Report and to inform future Implementation of the Programme of Action continues activities, Climate East Midlands undertook a review of to be undertaken in the context of political, institutional the Priority Action Areas identified in the Programme and economic uncertainty, with public spending in of Action to identify where activity should continue, particular likely to come under strong pressure over the be intensified or where there are new opportunities next few years. and emerging areas of work. A key theme emerging However action on climate change is underpinned by from the review was the need to widen stakeholder statutory obligations such as the Climate Change Act engagement in order to help accelerate activity across 2008 and the Carbon Reduction Commitment Energy the public and private sectors. Efficiency Scheme. It also makes good economic sense As a result, work on implementation has been because it can help both the public and private sectors re-focussed into seven workstrands which will form the design services and products that are more cost effective basis for reporting progress in the next Annual Report: and resilient. Regardless of any institutional changes that may occur over the next 12 months, the work • Leadership undertaken by Climate East Midlands and its partners • Adaptation will continue to be relevant to the future of the region’s • Mitigation people and businesses. • Building Capacity • Planning • Health • Communications

Contact Details Acknowledgements

W: www.climate-em.org.uk Climate East Midlands is grateful to the following for their support over E: [email protected] the past year: T: 07854 284 588

Carbon Trust

Address: Communities and Local Government

Climate East Midlands Defra Phoenix House Energy Saving Trust Nottingham Road Melton Mowbray Improvement and Development Agency LE13 OHU UK Climate Impacts Programme Item 6

25th June 2010

THE NEW REGIONAL / SUB-REGIONAL AGENDA?

Synopsis This report provides an update on developments at the sub-regional and regional level. It invites Members to consider and agree the future context for collaborative Local Authority arrangements and Local Enterprise Partnerships.

Recommendations

In order to initiate a managed transition process, Members of the East Midlands Leaders’ Board are invited to:

ƒ Agree to the continued operation of East Midlands Leaders’ Board (as the decision making executive) and East Midlands Councils (as the consultative and representative body for all Local Authorities) to support Local Government influence and engagement in the transition process from the current to future arrangements.

ƒ Agree that future activity of East Midlands’ Leaders’ Board and East Midlands Councils reflects the reduction in resources available to it, specifically CLG grant. Liabilities to partner authorities will be minimised.

ƒ That the Executive Director completes the organisational review in consultation with Leicestershire County Council (as the accountable body).

ƒ Agree the context for the subsequent development of LEP proposals in relation to whether the regional or sub-regional level should provide the basis for establishing Local Enterprise Partnerships in the East Midlands (not to preclude any cross-border LEPs).

ƒ Take into consideration that if sub-regional LEPs are agreed as the preferred way forward, no immediate agreement on their spatial geography is required. Further discussion should be held between Local Authorities, and with the business sector, to establish resulting sub-regional structures.

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1. Context

1.1 In light of recent Government announcements, including the £6.2 billion of spending cuts announced by HM Treasury on 24th May, this report outlines the potential impact of, and implications for, both the region and the Local Authority part of the regional governance structure – specifically, East Midlands Leaders’ Board and East Midlands Councils.

1.2 The report acknowledges that further details are emerging day by day. Consequently, Members are advised that subsequent to the dispatch of these papers, the situation may change. In this event, further updates will be reported at the Board meeting.

2. Introduction

2.1 A summary of the regional results of the General Election on 6th May 2010 are:

ƒ Conservatives 31 seats (gain 12) ƒ Labour 15 seat s (lose 11) ƒ Liberal Democrats 0 seats (lose 1) ƒ Others 0 seats (no change)

Note

ƒ There are 22 new MPs in the East Midlands. ƒ The former Regional Minister and MP for Corby and East Northants, Phil Hope, lost his seat to Louise Bagshaw (Con).

2.2 Cabinet Members of the Coalition Government are:

Position Minister Prime Minister, First Lord of the Treasury and Minister for the Civil Rt Hon David Cameron MP Service (Con) Deputy Prime Minister, Lord President of the Council (with special Rt Hon Nick Clegg MP (LD) responsibility for political and constitutional reform) Lord Chancellor, Secretary of State for Justice Rt Hon Kenneth Clarke QC MP (Con) Secretary of State for the Home Department; and Minister for Rt Hon Theresa May MP Women and Equalities (Con)

Secretary of State for Defence Rt Hon Dr Liam Fox MP (Con) Secretary of State for Business, Innovation and Skills Rt Hon Dr Vincent Cable MP (LD) Secretary of State for Work and Pensions Rt Hon Iain Duncan Smith MP (Con) Secretary of State for Energy and Climate Change Rt Hon Chris Huhne MP

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(LD) Secretary of State for Health Rt Hon Andrew Lansley CBE MP (Con) Secretary of State for Education Rt Hon Michael Gove MP (Con) Secretary of State for Communities and Local Government Rt Hon Eric Pickles MP (Con) Secretary of State for Transport Rt Hon Philip Hammond MP (Con) Secretary of State for Environment, Food and Rural Affairs Rt Hon Caroline Spelman MP (Con) Secretary of State for International Development Rt Hon Andrew Mitchell MP (Con) Secretary of State for Northern Ireland Rt Hon Owen Paterson MP (Con) Secretary of State for Scotland (and providing ministerial support Michael Moore MP (LD) to the Deputy Prime Minister in the Cabinet Office)

Secretary of State for Wales Rt Hon Cheryl Gillan MP (Con) Secretary of State for Culture, Olympics, Media and Sport Rt Hon Jeremy Hunt MP (Con) Chief Secretary to the Treasury Rt Hon Danny Alexander MP (LD) Leader of the House of Lords, Chancellor of the Duchy of Rt Hon Lord Strathclyde Lancaster (Con)

Minister without Portfolio (Minister of State) (Unpaid) Rt Hon Baroness Warsi (Con)

Also attending Cabinet meetings

Position Minister Minister for the Cabinet Office, Paymaster General Rt Hon Francis Maude MP (Con) Minister of State – Cabinet Office (providing policy advice to the Rt Hon Oliver Letwin MP Prime Minister in the Cabinet Office) (Con)

Minister of State (Universities and Science) – Department for David Willetts MP (Con) Business, Innovation and Skills

Leader of the House of Commons, Lord Privy Seal Rt Hon Sir George Young MP (Con) Parliamentary Secretary to the Treasury and Chief Whip Rt Hon Patrick McLoughlin MP (Con)

Also invited to attend Cabinet meetings when required:

Position Minister Attorney-General Rt Hon Dominic Grieve QC MP (Con)

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2.3 Note - A number of the region’s MPs have been given Ministerial roles:

ƒ Kenneth Clarke, MP for Rushcliffe – Lord Chancellor and Secretary of State for Justice. ƒ Patrick McLoughlin, MP for Derbyshire Dales – Chief Whip and Parliamentary Secretary to HM Treasury. ƒ Edward Garnier, MP for Harborough – Solicitor General. ƒ John Hayes, MP for South Holland and the Deepings – Minister of State for Skills and Lifelong Learning (BIS). ƒ Alan Duncan, MP for Rutland and Melton – Minister of State at the Department for International Development. ƒ Andrew Robathan, MP for Leicestershire South – Parliamentary Under Secretary of State at the Ministry of Defence.

2.4 Members are also reminded that Local Elections were held at 6 Local Authorities in the region:

ƒ Amber Valley Conservative hold ƒ Bassetlaw Conservative hold ƒ Daventry Conservative hold ƒ Derby NOC, Conservative run with Lib Dem support ƒ Lincoln NOC, Conservative led administration ƒ West Lindsey Conservative hold

3. Government Commitment to Reduction in Budget Deficit

3.1 The Government has said its most urgent priority is to tackle the UK's budget deficit in order to restore economic confidence and support the recovery. On 24th May, the first steps in tackling the deficit were announced, setting out details of how the Government will save £6.2 billion from spending in 2010-11.

3.2 It is clear that the main burden of deficit reduction will be borne by reduced spending rather than increased taxes. The Treasury has committed to undertake a full Spending Review, reporting in the autumn following consultation with all tiers of Government and the private sector.

3.3 The Health, International Development and Defence departments will make efficiency savings of their own, but these will be recycled within their own budgets in 2010/11. The savings in these departments are not included in the £6.243 billion.

3.4 All other departments will make the following savings in 2010/11:

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ƒ Department for Transport: £683 million ƒ Communities and Local Government: £780 million ƒ Local Government DEL (departmental expenditure limits): £405 million ƒ Business: £836 million ƒ Home Office: £367 million ƒ Department for Education: £670 million ƒ Ministry of Justice: £325 million ƒ Law Officers’ Departments: £18 million ƒ Foreign Office: £55 million ƒ Department of Energy and Climate Change: £85 million ƒ Environment, Food and Rural Affairs: £162 million ƒ Culture, Media and Sport: £88 million ƒ Work and Pensions: £535 million ƒ Chancellor’s Departments: £451 million ƒ Cabinet Office: £79 million ƒ Devolved Administrations: £704 million

3.5 Departments are expected to make savings that include:

ƒ £1.15 billion in cutting discretionary areas such as consultancy, advertising and travel costs. ƒ £1.7 billion from delaying and stopping contracts and projects, including immediate negotiations to achieve cost reductions from the 70 major suppliers to Government. ƒ £600 million from cutting the costs of quangos. The total cut in RDA’s budget is £270 million shared between CLG, DECC, DEFRA and BIS. ƒ £170 million from reductions in property costs. ƒ £95 million from IT. ƒ At least £120 million from freezing Civil Service recruitment.

3.6 The eight RDAs (outside London) have seen a cumulative in-year cut of £270 million from their 2010/11 budget. The anticipated reduction in emda’s budget is around £24 million that clearly requires a review of planned projects, outputs and other expenditure.

3.7 The Government further announced that an emergency Budget on 22nd June will set out a ‘comprehensive and credible plan to eliminate the bulk of the structural deficit over the course of the Parliament’.

3.8 The Chancellor of the Exchequer George Osborne and Chief Secretary to the Treasury Danny Alexander have announced details of how the next Spending Review will be conducted. The Spending Review, due to conclude in the

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autumn, will set spending limits for every Government department for the period 2011-12 to 2014-15.

4. East Midlands Leaders’ Board and East Midlands Councils

4.1 Background

4.1.1 Members are reminded that the Local Democracy, Economic Development and Construction Act received Royal Assent on 12th November 2009. This Act provided for the formal establishment and transfer of responsibilities to the East Midlands Leaders’ Board.

4.1.2 Considerable work was undertaken by Local Authorities within the East Midlands to reach agreement on the establishment of a Leaders’ Board and Local Government adopted the proposed 9+5 model for an East Midlands Leaders’ Board (made up of the Leader of each of the Unitary and County Authorities in addition to a Leader from one District in each of the County areas). The Chair of the Peak District National Park Authority is a further member in matters relating to the Regional Strategy.

4.1.3 As required by the Local Democracy, Economic Development and Construction Act 2009, the East Midlands Leaders’ Board was required to submit a ‘scheme’ or proposal for its formal establishment and operation.

4.1.4 The scheme was formally approved by the Secretary of State on 29th March 2010 enabling the formal transfer of statutory roles and responsibilities.

4.1.5 The East Midlands Leaders’ Board is the strategic decision making body on issues of interest and relevance to Local Authorities at the regional level. It was agreed that a strong voice on behalf of Local Government is needed to:

ƒ Provide leadership on behalf of Local Government in the region and develop effective partnerships with key organisations, e.g. emda, GOEM, Homes and Communities Agency, Environment Agency, Strategic Health Authority and wider stakeholders (including the business, environmental and community/voluntary sectors). ƒ In conjunction with emda, joint responsibility for agreeing the Single Regional Strategy, including its drafting, implementation and monitoring of its delivery. ƒ Influence Government in those critical areas and agree key strategies and investment plans, e.g. Regional Funding Advice. ƒ Act as the decision-making executive for East Midlands Councils.

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4.1.6 Members are reminded that while the East Midlands Leaders’ Board is the decision-making executive for East Midlands Councils, its statutory focus is provided by the LDEDC Act.

4.1.7 This statutory role relates to joint responsibility with the RDA (emda) for the development, agreement, delivery and monitoring of the Regional Strategy.

4.1.8 Members are further reminded of the roles of East Midlands Councils:

ƒ To represent the interest of all 46 Local Authorities in the region. ƒ To act as a representative and influencing body. ƒ To provide a line of accountability from the Leaders’ Board to wider Local Government. ƒ To make appointments to national and regional bodies in liaison with the East Midlands Local Authority Leaders’ Board. ƒ To provide a reporting mechanism for regional Local Government partnerships, e.g. RIEP. ƒ To consider how its relationship with national LGA can best be structured. ƒ Meets at least bi-annually. ƒ The Leaders’ Board will report progress in developing and delivering the Regional Strategy. ƒ East Midlands Councils would have no executive decision making responsibilities. Its role is to specifically act as a wider Local Government forum.

4.2 Current Developments

4.2.1 The Government announced its intention to abolish Regional Spatial Strategies (read Regional Strategies) and reform the planning system under the ‘Decentralisation and Localisation Bill’ announced as part of the Queen's Speech. This intention was further reiterated by a letter from the Secretary of State to Local Authority Leaders, attached as Appendix 6(1). CLG is currently working through the implications of such a revocation and its effect on the planning system.

4.2.2 The Government has stated that it will publish and present to Parliament a simple and consolidated national planning framework covering all forms of development and setting out national economic, environmental and social priorities. However, it is not likely that the Government’s Decentralisation and Localism Bill will be put before Parliament before autumn as the proposals would require consultation before legislation can be introduced.

4.2.3 While there may still be discussion within Government on the exact procedure and timings for abolishing Regional Spatial Strategies, the Government is

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currently considering using existing powers to revoke regional strategies ahead of legislation.

4.2.4 In accordance with this announcement, CLG have confirmed that the funding East Midlands Councils receives for regional strategy related work (£1.88 million for 2010/11) is to be cut as part of the £6.2 billion savings package already announced, and abolished completely for future years.

4.2.5 EMLB/EMC has already received funding for the first quarter of 2010/11 (until the end of June). The Secretary of State has agreed that further funding may be paid to the Leaders’ Board in order to facilitate an orderly transition to any new arrangements and manage the ‘wind down’ of current (statutory) responsibilities.

4.2.6 The availability of this further funding indicated by the Secretary of State is on the basis of ‘up to a further 3 months.’ After this additional ‘transition’ funding, Members are reminded that CLG will not provide any subsequent funding to the East Midlands Leaders’ Board.

4.2.7 The anticipated removal of Section 5 of the LDEDC Act would remove all statutory responsibilities from the East Midlands Leaders’ Board. While the principle of Boards of Local Authority Leaders and wider voluntary partnership groups of Local Authorities entirely conforms to Government’s ‘localism’ principles, the removal of significant roles and responsibilities, and of course funding, requires the Board to consider the future roles and responsibilities of the entire partnership structure and available resources to support these arrangements.

4.2.8 Members are reminded that as one of the ‘responsible regional authorities’, the revocation of Regional Strategies also has significant implications for emda.

4.3 Basis for the Continuation of East Midlands Leaders’ Board and East Midlands Councils

4.3.1 Economic development, housing, planning and transport represent many of the strategic issues that Local Authorities have chosen to work together in recent years. While currently undertaken through the East Midlands Leaders’ Board and East Midlands Councils, and previously through EMRA, LGEM and the 9Cs, it is the very nature of collaborative issues that provides the rationale for a regional partnership.

4.3.2 The basis for the current regional partnership is further provided by ‘docking points’ with other regional Governmental organisations that have a range of roles

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and responsibilities (including financial), e.g. GOEM, emda, Homes and Communities Agency, Environment Agency, Strategic Health Authority.

4.3.3 With the Government announcing its intention to abolish the Regional Spatial Strategy/Regional Strategy, Local Government should agree the basis, if any, on which they will work together within a regional partnership.

4.3.4 The basis should reflect the Government’s stated intention to replace RDAs with Local Enterprise Partnerships, abolish the Government Office for London and consider the case for abolishing the remaining Government Offices. The outcome of the Government Office review is not likely to be known before the Spending Review reports in the autumn.

4.3.5 Inevitably, any ongoing regional partnership for Local Authorities will be based on a far slimmer structure that focuses on essential services resourced only through local authority subscriptions, residual CLG grant and fee-earning services.

4.3.6 In the interim, the Association’s Regional Employers’ function, consultancy services and discretionary Local Government policy work continues.

4.3.7 Within the immediate context, the decision of whether to retain EMLB should be dependent upon their specific functions in relation to regional infrastructure, the co-ordination of central-local relations and priorities, and the allocation of regional budgets and/or programmes (e.g. Regional Funding Allocations, EU funding).

4.3.8 A further consideration is to co-ordinate Local Authority input on economic issues at the regional level, and provide the Local Authority perspective of whether the East Midlands has some, or any, of the characteristics of a functional economic area and the need for a regional Local Enterprise Partnership.

4.3.9 It is suggested that the future for any regional grouping of Local Authorities depends upon the following criteria: a) What is the level of political support? b) What is the level of organisational support from proposed membership (local authorities, police, and fire and rescue authorities)? c) What roles and services will be undertaken? d) What resources are available to undertake these roles and services (both financial and staffing)? e) How sustainable is the model?

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Item 6 a) Political Support

4.3.10 Initial discussions with Local Authority Leaders have indicated a wish to retain a partnership forum for Local Authorities. This would support collaborative work and co-ordinated responses on issues of relevance to Local Authorities in the region.

4.3.11 While revoking regional strategy responsibilities removes the statutory duties from the East Midlands Leaders’ Board – the actual principle of Boards of Local Authority Leaders and wider voluntary partnership groups of Local Authorities conforms to Government’s ‘localism’ principles.

4.3.12 Given CLG announcements and the implications for funding, concern has been expressed at the potential for Local Authorities to voluntarily dismantle their part of the regional governance structure in advance of other bodies. This may limit the engagement of Leaders on strategic issues at the regional level at a time when Local Authorities need to ensure that transition to the new arrangements is effectively managed. b) Organisational Support

4.3.13 The over-riding determinant of organisational support is the proposed partnership base of East Midlands Councils, specifically the region’s Local Authorities, The Peak District National Park Authority, Police Authorities, Fire and Rescue Authorities and Parish Councils.

4.3.14 No organisation has indicated that it does not wish to continue with proposed membership. However, it remains a subscription based partnership and members would need reassurance that East Midlands Councils has a clear role to play and offers discernable benefits of membership. c) Roles, Responsibilities and Provision of Services

4.3.15 While Regional Strategies will not be with us for much longer and funding for the East Midlands Leaders’ Board will soon cease, Leaders have stated the need for Local Authorities to collectively engage, where appropriate and worthwhile, with existing regional architecture/organisations.

4.3.16 Although the futures of regional organisations such as emda, GOEM and the HCA are by no means certain, they still exist and are likely to do so for some time. Due to legislative and logistical requirements the transition process to successor arrangements could be quite lengthy and unlikely to be fully completed before March 2012.

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4.3.17 The new Coalition Government is pursuing a localism agenda that offers opportunities for Local Government, albeit with constraints on actual funding. Many of the potential opportunities require Local Authorities to work collaboratively on key infrastructure, skills and economic development, management of regionally focused EU funding and wider transitional issues (if they are to explore how they assume selected RDA, HCA or GO responsibilities). d) Resources

4.3.18 In light of Government announcements, particularly in relation to Regional Strategies, action is required to minimise liabilities for Local Authorities and ensure fairness and honesty with staff.

4.3.19 Consequently, a rapid wind down of the strategy directorate of the East Midlands Leaders’ Board/East Midlands Councils has been implemented. This will largely be completed by the end of June. This will initially involve up to 20 staff being made redundant, with the possibility of more to follow later in the year.

4.3.20 A radical organisational review will be completed to meet the collaborative requirements of the organisation while still enabling the delivery of a range of (often income generating) services.

4.3.21 Members are reminded that the East Midlands Leaders’ Board and East Midlands Councils is an unincorporated voluntary partnership body. Leicestershire County Council acts as the accountable body.

4.3.22 It is also an unincorporated Employers’ Organisation under the Trades Union and Labour Relations (Consolidation) Act 1992 reporting annually to the Certification Office for Trades Unions and Employers’ Association.

4.3.23 The originally agreed and proposed revised budget to support the ongoing activity of the East Midlands Leaders’ Board and East Midlands Councils is as follows:

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Original Revised % reduction Notes: Income £ £ 1) CLG Grant 1,901,340 787,000 2) Local Authority Subscriptions 437,000 437,000 3) Other 230,000 226,000

TOTAL INCOME 2,568,340 1,450,000 -43.5

Expenditure

4) Staff costs 1,537,600 960,000 -37.5 Members costs 109,300 75,000 -31.3 Other fixed costs 319,850 258,000 -19.3 Corporate costs 58,220 20,000 -65.6 Transition & project costs 531,000 137,000 -74.2

TOTAL EXPENDITURE 2,555,970 1,450,000 -43.2

Surplus 12,370 0

The revised figures are based on the following assumptions:

Notes:

1) Payment of second quarter CLG grant (2/3rds of £472,000) = £315,000.

2) All Local Authorities pay their subscription invoices (£9,500 per authority).

3) Consultancy and Migration Programme income remain at the same level and no interest is earned on a reduced income stream.

4) A revised staffing structure is developed within budget constraints.

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Item 6 e) Future Sustainability

4.3.24 It is suggested that the East Midlands Leaders’ Board and East Midlands Councils, in a substantially reduced form, should continue in order to manage the transition to new arrangements. If anticipated income is received, there would exist sufficient resources to enable the organisation to continue until the end of this financial year.

4.3.25 This will enable adequate time for greater clarity on the exact nature of the transition and for Local Authorities to decide on the scope of any future partnership arrangements.

4.3.26 Liabilities will continue to be minimised and Local Authority partners will not be exposed to any residual liability by these proposals.

5. RDAs and Local Enterprise Partnerships

5.1 A key policy measure that has already been confirmed in the coalition agreement between the Tories and the Lib Dems, and in the recent Queen’s Speech, is the creation of Local Enterprise Partnerships (LEPs) to replace Regional Development Agencies (RDAs).

5.2 Many decisions currently taken by Central Government and quangos will need to continue to be taken, and may not be suitable for devolution to individual local councils but are not effectively made by Central Government either.

5.3 For these decisions, governance needs to be developed which is fully and transparently democratically accountable. In these circumstances, Local Government and local partners must determine the best spatial geography and devolved governance arrangements at which to respond to economic policy and delivery issues. It is suggested that the following issues are of particular relevance:

ƒ Economic development ƒ Spatial planning ƒ Housing and regeneration ƒ Climate change and flood risks ƒ Adult skills ƒ Employment support for the long-term unemployed and workless ƒ Transport

5.4 There is already notable experience of sub-regional decision-making through existing local area agreement and multi area agreement mechanisms.

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Importantly, there is increasing evidence from the Total Place Pilots that are exploring how the totality of public resources in a place can be used more effectively to improve services at lower cost.

5.5 It will be for Local Authorities themselves to decide (in consultation with partners) the most appropriate spatial level as the basis for joint work and collaboration. This is particularly relevant in considerations of the establishment of Local Economic Partnerships (LEPs).

5.6 We await further details from Government on proposals but understand that Local Enterprise Partnerships will be joint local authority-business bodies brought forward by local authorities themselves to promote local economic development. While these are intended to be the replacement for RDAs, the Government has already indicated that LEPs may take the form of the existing RDAs in areas where they are popular/where there is an economic need.

5.7 Government proposals may be based on establishing around 20-25 LEPs nationally. Their spatial boundaries should reflect natural or functional economic areas and they should be business-led and established in partnership with the business sector. Proposals for LEPs will centre on the need for strategic economic bodies. However, it is not yet clear whether the focus will be on strategic commissioning of existing enterprise agencies to deliver employment and business start-up advice to small companies or more direct delivery.

5.8 In order to set the context for successor LEP proposals and to respond to a fast moving national agenda, Members of the East Midlands Leaders’ Board are advised to consider whether Local Authorities favour the regional or sub-regional level as the basis for establishing Local Enterprise Partnerships in the East Midlands (note - this does not preclude any cross-border LEPs).

5.9 Leaders are further advised that if sub-regional LEPs are agreed as the preferred way forward, no immediate agreement on their spatial geography is required. Government will need to be reassured that proposals are the result of discussion between Local Authorities and partners, specifically the business sector, in order to establish appropriate and effective sub-regional structures.

5.10 There is also further thinking by Government on the future role of other services. Government has signaled its intention to abolish Business Link’s regional office and there is considerable discussion around ‘knowledge hubs’ – the future basis for advice and support for knowledge-based, potential high-growth business ventures. There are suggestions that up to 10 ‘knowledge hubs’ may be established. This suggests that a structure around a regional model could be likely.

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a) Timings

5.12 Government is set to remove the legislative requirement to have RDAs through the Public Bodies (Reform) Bill announced in the Queen’s Speech with the opportunity for Local Authorities and business to establish Local Enterprise Partnerships where they feel they would be beneficial.

5.13 At the time of writing the exact timing and scope of the transition process from RDAs to LEPs is not yet clear. This includes how soon Local Authorities will be able to come forward with proposals to establish LEPs, or how quickly LEPs can be formally established once they receive approval from, presumably, the Secretary of State.

5.14 However, proposals for establishing Local Enterprise Partnerships are likely to be included as part of the autumn Spending Review. While Government has not requested the submission of formal proposals for LEPs (although this is a real possibility soon), in advance of the Spending Review, it would be opportune to offer to Government ‘expressions of interest’ or proposals ‘without prejudice’ for the organisational and geographical basis for LEP(s) in the East Midlands.

5.15 It is not clear how easy it will be to dismantle RDAs in areas where Local Authorities choose to establish sub-regional LEP(s) rather than a regional LEP along the regional boundaries of their RDA. The RDAs own land and buildings and in many cases have long-term contracts with other organisations - both public and private. Given the ‘logistical’ challenges, some suggest that transition will not be likely much earlier than March 2012.

5.16 In relation to funding, Government has indicated that transition to LEPs should be ‘smooth’, and allow for ‘the appropriate fulfilment of ongoing projects, grants and contracts, including projects which also draw on EU structural funds’. However, it is clear that given the current and future public spending squeeze and the recent announcement of nearly £300 million of in-year budget cuts for RDAs, the new LEPs will have significantly less money than the RDAs currently have. b) Skills

5.17 The Government intends to reform the delivery of the skills agenda. While discussions, inevitably, are on-going, proposals are being considered for the replacement of existing (albeit only recently established) skills organisations, i.e. the Skills Funding Agency, Young People’s Learning Agency and Apprenticeship

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Service) by a new arrangement, possibly to be called the Higher Learning and Adult Education Council.

5.18 The timescale and detail for these changes are still uncertain, as is the role of Local Government in shaping the role of whichever organisation takes on these responsibilities in future. c) Management of EU Funding

5.19 One area of uncertainty relates to the future of the European Regional Development Fund, which is currently administered by the RDAs. There is discussion within Government around the potential for Local Authorities to have a greater role in delivering EU funds.

5.20 These proposals could be based upon regional delivery managed through a Local Authority arrangement. Rather than the RDA or GO managing the programme on behalf of the region, a Local Authority (or Local Authorities) could assume this role. A potential benefit of this model would be its relative stability in the transition from the current model to the post-2013 model.

6. Recommendations

In order to initiate a managed transition process, Members of the East Midlands Leaders’ Board are invited to:

6.1 Agree to the continued operation of East Midlands Leaders’ Board (as the decision making executive) and East Midlands Councils (as the consultative and representative body for all Local Authorities) to support Local Government influence and engagement in the transition process from the current to future arrangements.

6.2 Agree that future activity of East Midlands Leaders’ Board and East Midlands Councils reflects the reduction in resources available to it, specifically CLG grant, Liabilities to partner authorities will be minimised.

6.3 That the Executive Director completes the organisational review in consultation with Leicestershire County Council (as the accountable body).

6.4 Agree the context for the subsequent development of Local Enterprise Partnerships proposals, in relation to whether the regional or sub-regional level should provide the basis for establishing Local Enterprise Partnerships in the East Midlands (not to preclude any cross-border LEPs).

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6.5 Take into consideration that if sub-regional LEPs are agreed as the preferred way forward, no immediate agreement on their spatial geography is required. Further discussion should be held between Local Authorities, and with the business sector, to establish resulting sub-regional structures.

Stuart Young Executive Director

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Item 6 Appendix 1

4 May 2010

Our Ref: Cllr David Parsons CBE Your Ref: Chair East Midlands Leaders’ board c/o First Floor Suite, Council Offices, Nottingham Road, Melton Mowbray LE13 0UL

Dear Councillor Parsons

Leaders' Boards funding for the first quarter of financial year 2010/11

The Department has released funding to the Leaders' Boards covering the first quarter of financial year 2010/11 and your payment is £472,479.

As you are aware, we are in purdah period prior to the General Election. We have received guidance from the Cabinet Office that this initial grant payment should be made for a three month period rather than for the first six months of the year, as we had originally said. These funds are released in line with the business plans which have been agreed with each of the Leaders' Boards. Following the General Election we will be in contact with you once the Government's policy in relation to Leaders Boards is clearer.

Yours sincerely,

David Morris

Head of Planning Delivery and Performance Division Tel 0303 44 41647 Department for Communities and Local Government Zone 1/G9 Eland House Bressenden Place London SW1E 5DU 54

Item 6 Appendix 2

Tuesday 25 May 2010

Queen’s Speech 2010

Her Majesty’s most gracious speech to both Houses of Parliament on 25 May 2010.

MY LORDS AND MEMBERS OF THE HOUSE OF COMMONS

My Government’s legislative programme will be based upon the principles of freedom, fairness and responsibility.

The first priority is to reduce the deficit and restore economic growth.

Action will be taken to accelerate the reduction of the structural budget deficit. A new Office for Budget Responsibility will provide confidence in the management of the public finances.

The tax and benefits system will be made fairer and simpler. Changes to National Insurance will safeguard jobs and support the economy. People will be supported into work with sanctions for those who refuse available jobs and the timetable for increasing the State Pension Age will be reviewed.

Legislation will reform financial services regulation to learn from the financial crisis and to make fair and transparent payments to Equitable Life policy holders.

My Government will support investment in new high-speed broadband internet connections, enable the construction of a high-speed railway network and reform the economic regulation of airports to benefit passengers.

My Government will modernise the Royal Mail, in partnership with employees, and will ensure it benefits from private sector capital and disciplines.

My Government will limit the number of non-European Union economic migrants entering the United Kingdom and end the detention of children for immigration purposes.

Legislation will be introduced to improve energy efficiency in homes and businesses, to promote low carbon energy production and to secure energy supplies.

My Government will remove barriers to flexible working and promote equal pay.

My Government will seek to build a strong and fair society by reforming public services and encouraging individual and social responsibility.

55 Item 6 Appendix 2

Legislation will be introduced to enable more schools to achieve academy status, give teachers greater freedom over the curriculum and allow new providers to run state schools.

The voice of patients and the role of doctors will be strengthened in the National Health Service to improve public health alongside actions to reduce health inequalities. A commission will be appointed to consider a sustainable long-term structure for the operation of social care.

A Bill will be introduced to make the police service more accountable to local people and to tackle alcohol-related violence and anti-social behaviour.

The role of social enterprises, charities and co-operatives in our public services will be enhanced. The cost of bureaucracy and the number of public bodies will be reduced.

A Bill will be introduced to devolve greater powers to councils and neighbourhoods and give local communities control over housing and planning decisions. Legislation will be introduced to stop uncompleted plans to create unitary councils.

My Government will propose Parliamentary and political reform to restore trust in democratic institutions and rebalance the relationship between the citizen and the state.

Measures will be brought forward to introduce fixed term Parliaments of five years.

A Bill will be introduced for a referendum on the Alternative Vote system for the House of Commons and to create fewer and more equal sized constituencies.

Constituents will be given the right to recall their Members of Parliament where they are guilty of serious wrongdoing.

Proposals will be brought forward for a reformed second House that is wholly or mainly elected on the basis of proportional representation.

Action will be taken to reform the funding of political parties. A draft Bill will be published on reforming parliamentary privilege.

Legislation will be brought forward to restore freedoms and civil liberties, through the abolition of Identity Cards and repeal of unnecessary laws.

My Government will work constructively and co-operatively with the devolved institutions.

My Government will introduce legislation to implement recommendations from the Final Report of the Commission on Scottish Devolution and is committed to a referendum on additional powers for the National Assembly of Wales.

56 Item 6 Appendix 2

My Government will support the political institutions and stable devolved government in Northern Ireland.

MEMBERS OF THE HOUSE OF COMMONS

Estimates for the public services will be laid before you.

MY LORDS AND MEMBERS OF THE HOUSE OF COMMONS

My Government will introduce legislation to ensure that in future this Parliament and the British people have their say on any proposed transfer of powers to the European Union.

The Duke of Edinburgh and I look forward to our visit to Canada in June and to our visit to the United Nations in New York in July. We also look forward to receiving His Holiness Pope Benedict the Sixteenth in September.

My Government will seek effective global collaboration to sustain economic recovery and to combat climate change, including at the climate change conference in Mexico later this year.

My Government will fully support our courageous armed forces and undertake a full Strategic Defence and Security Review.

My Government will work with the Afghan government, Pakistan and international partners for lasting security and stability in Afghanistan.

My Government looks forward to an enhanced partnership with India.

In the Middle East, my Government will continue to work for a two-state solution that sees a viable Palestinian state existing in peace and security alongside Israel.

My Government will work to reduce the threat from nuclear weapons and nuclear proliferation including the serious international concerns posed by Iran’s nuclear programme.

My Government is committed to spend nought point seven per cent of gross national income in development aid from 2013.

Other measures will be laid before you.

MY LORDS AND MEMBERS OF THE HOUSE OF COMMONS

I pray that the blessing of Almighty God may rest upon your counsels.

57 Item 6 Appendix 3

58 The Coalition: our programme for government

The Coalition: our programme for government 3

Freedom Fairness Responsibility 4 The Coalition: our programme for government The Coalition: our programme for government 5

CONTENTS 1. Banking ...... 9 2. Business ...... 9 3. Civil Liberties...... 11 4. Communities and Local Government ...... 11 5. Consumer Protection ...... 12 6. Crime and Policing...... 13 7. Culture, Olympics, Media and Sport...... 14 8. Defence ...... 15 9. Deficit Reduction ...... 15 10. Energy and Climate Change ...... 16 11. Environment, Food and Rural Affairs ...... 17 12. Equalities ...... 18 13. Europe ...... 19 14. Families and Children ...... 19 15. Foreign Affairs ...... 20 16. Government Transparency ...... 20 17. Immigration ...... 21 18. International Development ...... 22 19. Jobs and Welfare ...... 23 20. Justice...... 23 21. National Security...... 24 22. NHS...... 24 23. Pensions and Older People ...... 26 24. Political Reform ...... 26 25. Public Health ...... 28 26. Schools ...... 28 27. Social Action ...... 29 28. Social Care and Disability ...... 30 29. Taxation...... 30 30. Transport...... 31 31. Universities and Further Education...... 31 6 The Coalition: our programme for government The Coalition: our programme for government 7

FOREWORD By David Cameron and Nick Clegg This is an historic document in British politics: For example, we both want to build a new the first time in over half a century two parties economy from the rubble of the old. We will have come together to put forward a programme support sustainable growth and enterprise, for partnership government. balanced across all regions and all industries, and promote the green industries that are so As our parties have worked together it has essential for our future. This document shows become increasingly clear to us that, although how, with radical plans to reform our broken there are differences, there is also common banking system and new incentives for green ground. We share a conviction that the days growth. of big government are over; that centralisation and top-down control have proved a failure. We both want a Britain where social mobility We believe that the time has come to disperse is unlocked; where everyone, regardless of power more widely in Britain today; to recognise background, has the chance to rise as high as that we will only make progress if we help their talents and ambition allow them. To pave people to come together to make life better. the way, we have both agreed to sweeping In short, it is our ambition to distribute power reform of welfare, taxes and, most of all, our and opportunity to people rather than hoarding schools – with a breaking open of the state authority within government. That way, we can monopoly and extra money following the build the free, fair and responsible society we poorest pupils so that they, at last, get to go to want to see. the best schools, not the worst. We are agreed that the first duty of government We both want a Britain where our political is to safeguard our national security and support system is looked at with admiration, not our troops in Afghanistan and elsewhere – and anger. We have a shared ambition to clean up we will fulfil that duty. We are also agreed that Westminster and a determination to oversee the most urgent task facing this coalition is a radical redistribution of power away from to tackle our record debts, because without Westminster and Whitehall to councils, sound finances, none of our ambitions will be communities and homes across the nation. deliverable. Difficult decisions will have to be Wherever possible, we want people to call the taken in the months and years ahead, but we shots over the decisions that affect their lives. will ensure that fairness is at the heart of those And we are both committed to turning old decisions so that all those most in need are thinking on its head and developing new protected. Working together, we are confident approaches to government. For years, politicians that we can take the country through difficult could argue that because they held all the times to better days ahead. information, they needed more power. But today, Tackling the deficit is essential, but it is not what technological innovation has – with astonishing we came into politics to achieve. We stood speed – developed the opportunity to spread for Parliament – and for the leadership of our information and decentralise power in a way parties – with visions of a Britain better in every we have never seen before. So we will extend way. And we have found in this coalition that transparency to every area of public life. Similarly, our visions are not compromised by working there has been the assumption that central together; they are strengthened and enhanced. government can only change people’s behaviour That is why this coalition has the potential for through rules and regulations. Our government era-changing, convention-challenging, radical will be a much smarter one, shunning the reform. bureaucratic levers of the past and finding 8 The Coalition: our programme for government

intelligent ways to encourage, support and enable Three weeks ago we could never have predicted people to make better choices for themselves. the publication of this document. After the election, of course, there was the option of In every part of this agreement, we have gone minority government – but we were uninspired further than simply adopting those policies by it. Instead, there was the option of a coalition where we previously overlapped. We have in the national interest – and we seized it. found that a combination of our parties’ best When we set off on this journey we were two ideas and attitudes has produced a programme parties with some policies in common and a for government that is more radical and shared desire to work in the national interest. comprehensive than our individual manifestos. We arrive at this programme for government For example, when you take Conservative plans a strong, progressive coalition inspired by the to strengthen families and encourage social values of freedom, fairness and responsibility. responsibility, and add to them the Liberal This programme is for five years of partnership Democrat passion for protecting our civil government driven by those values. We believe liberties and stopping the relentless incursion that it can deliver radical, reforming government, of the state into the lives of individuals, you a stronger society, a smaller state, and power and create a Big Society matched by big citizens. responsibility in the hands of every citizen. Great This offers the potential to completely recast change and real progress lie ahead. the relationship between people and the state: citizens empowered; individual opportunity extended; communities coming together to make lives better. We believe that the combination of our ideas will help us to create a much stronger society: one where those who can, do; and those who cannot, we always help. David Cameron Prime Minister And in the crucial area of public service reform, we have found that Liberal Democrat and Conservative ideas are stronger combined. For example, in the NHS, take Conservative thinking on markets, choice and competition and add to it the Liberal Democrat belief in advancing democracy at a much more local level, and you Nick Clegg have a united vision for the NHS that is truly Deputy Prime Minister radical: GPs with authority over commissioning; patients with much more control; elections for your local NHS health board. Together, our ideas will bring an emphatic end to the bureaucracy, top-down control and centralisation that has so diminished our NHS. The Coalition: our programme for government 9

1. BANKING • We will reform the regulatory system to avoid a repeat of the financial crisis. We will bring In recent years, we have seen a massive financial forward proposals to give the Bank of England meltdown due to over-lending, over-borrowing control of macro-prudential regulation and and poor regulation. The Government believes oversight of micro-prudential regulation. that the current system of financial regulation is fundamentally flawed and needs to be replaced • We rule out joining or preparing to join the with a framework that promotes responsible European Single Currency for the duration of and sustainable banking, where regulators have this agreement. greater powers to curb unsustainable lending • We will work with the Bank of England to practices and we take action to promote more investigate how the process of including competition in the banking sector. In addition, we housing costs in the CPI measure of inflation recognise that much more needs to be done to can be accelerated. protect taxpayers from financial malpractice and to help the public manage their own debts. • We will create Britain’s first free national financial advice service, which will be funded • We will reform the banking system to avoid in full from a new social responsibility levy on a repeat of the financial crisis, to promote a the financial services sector. competitive economy, to sustain the recovery and to protect and sustain jobs. • We take white collar crime as seriously as other crime, so we will create a single agency • We will introduce a banking levy and seek a to take on the work of tackling serious detailed agreement on implementation. economic crime that is currently done by, • We will bring forward detailed proposals for among others, the Serious Fraud Office, robust action to tackle unacceptable bonuses Financial Services Authority and Office of Fair in the financial services sector; in developing Trading. these proposals, we will ensure they are effective in reducing risk. 2. BUSINESS • We want the banking system to serve business, not the other way round. We will The Government believes that business is the bring forward detailed proposals to foster driver of economic growth and innovation, and diversity in financial services, promote that we need to take urgent action to boost mutuals and create a more competitive enterprise, support green growth and build a banking industry. new and more responsible economic model. We want to create a fairer and more balanced • We will develop effective proposals to ensure economy, where we are not so dependent on a the flow of credit to viable SMEs. This will narrow range of economic sectors, and where include consideration of both a major loan new businesses and economic opportunities guarantee scheme and the use of net lending are more evenly shared between regions and targets for the nationalised banks. industries. • We will take steps to reduce systemic risk • We will cut red tape by introducing a ‘one-in, in the banking system and will establish an one-out’ rule whereby no new regulation is independent commission to investigate brought in without other regulation being cut the complex issue of separating retail and by a greater amount. investment banking in a sustainable way; while recognising that this will take time to get right, • We will end the culture of ‘tick-box’ the commission will be given an initial time regulation, and instead target inspections on frame of one year to report. high-risk organisations through co-regulation and improving professional standards. 10 The Coalition: our programme for government

• We will impose ‘sunset clauses’ on regulations • We will end the ban on social tenants starting and regulators to ensure that the need for businesses in their own homes. each regulation is regularly reviewed. • We will promote small business procurement, • We will review IR 35, as part of a wholesale in particular by introducing an aspiration review of all small business taxation, and that 25% of government contracts should seek to replace it with simpler measures that be awarded to small and medium-sized prevent tax avoidance but do not place undue businesses and by publishing government administrative burdens or uncertainty on tenders in full online and free of charge. the self-employed, or restrict labour market We will consider the implementation of the flexibility. • Dyson Review to make the UK the leading • We will find a practical way to make small hi-tech exporter in Europe, and refocus the business rate relief automatic. research and development tax credit on hi-tech companies, small firms and start-ups. • We will reform the corporate tax system by simplifying reliefs and allowances, and tackling • We will review the range of factors that can avoidance, in order to reduce headline rates. be considered by regulators when takeovers Our aim is to create the most competitive are proposed. corporate tax regime in the G20, while We will reinstate an Operating and Financial protecting manufacturing industries. • Review to ensure that directors’ social and • We will seek to ensure an injection of private environmental duties have to be covered in capital into Royal Mail, including opportunities company reporting, and investigate further for employee ownership. We will retain Post ways of improving corporate accountability Office Ltd in public ownership. and transparency. • We will seek to ensure a level playing field • We will ensure that Post Offices are allowed between small and large retailers by enabling to offer a wide range of services in order to councils to take competition issues into sustain the network, and we will look at the account when drawing up their local plans case for developing new sources of revenue, to shape the direction and type of new retail such as the creation of a Post Office Bank. development. • We will end the so-called ‘gold-plating’ of • We will give the public the opportunity to EU rules, so that British businesses are not challenge the worst regulations. disadvantaged relative to their European competitors. • We will review employment and workplace laws, for employers and employees, to ensure • We will support the creation of Local they maximise flexibility for both parties Enterprise Partnerships – joint local while protecting fairness and providing authority-business bodies brought forward by the competitive environment required for local authorities themselves to promote local enterprise to thrive. economic development – to replace Regional Development Agencies (RDAs). These may We will make it easier for people to set up • take the form of the existing RDAs in areas new enterprises by cutting the time it takes where they are popular. to start a new business. Our ambition is to make the UK one of the fastest countries • We will take steps to improve the in the world to start up a new business. We competitiveness of the UK tourism industry, will reduce the number of forms needed to recognising the important part it plays in our register a new business, and move towards a national economy. ‘one-click’ registration model. The Coalition: our programme for government 11

3. CIVIL LIBERTIES to be enshrined in British law, and protects and extends British liberties. We will seek to We will be strong in defence of freedom. The promote a better understanding of the true Government believes that the British state has scope of these obligations and liberties. become too authoritarian, and that over the past decade it has abused and eroded fundamental human freedoms and historic civil liberties. We 4. COMMUNITIES AND LOCAL need to restore the rights of individuals in the GOVERNMENT face of encroaching state power, in keeping with Britain’s tradition of freedom and fairness. The Government believes that it is time for a fundamental shift of power from Westminster • We will implement a full programme of to people. We will promote decentralisation and measures to reverse the substantial erosion of democratic engagement, and we will end the era civil liberties and roll back state intrusion. of top-down government by giving new powers • We will introduce a Freedom Bill. to local councils, communities, neighbourhoods and individuals. • We will scrap the ID card scheme, the National Identity register and the • We will promote the radical devolution of ContactPoint database, and halt the next power and greater financial autonomy to local generation of biometric passports. government and community groups. This will include a review of local government finance. • We will outlaw the finger-printing of children at school without parental permission. • We will rapidly abolish Regional Spatial Strategies and return decision-making powers • We will extend the scope of the Freedom on housing and planning to local councils, of Information Act to provide greater including giving councils new powers to stop transparency. ‘garden grabbing’. • We will adopt the protections of the Scottish • In the longer term, we will radically reform model for the DNA database. the planning system to give neighbourhoods • We will protect historic freedoms through far more ability to determine the shape of the the defence of trial by jury. places in which their inhabitants live, based on the principles set out in the Conservative • We will restore rights to non-violent protest. Party publication Open Source Planning. • We will review libel laws to protect freedom • We will abolish the unelected Infrastructure of speech. Planning Commission and replace it with • We will introduce safeguards against the an efficient and democratically accountable misuse of anti-terrorism legislation. system that provides a fast-track process for major infrastructure projects. • We will further regulate CCTV. • We will publish and present to Parliament • We will end the storage of internet and email a simple and consolidated national planning records without good reason. framework covering all forms of development • We will introduce a new mechanism to and setting out national economic, prevent the proliferation of unnecessary new environmental and social priorities. criminal offences. • We will maintain the Green Belt, Sites of • We will establish a Commission to investigate Special Scientific Interest (SSSIs) and other the creation of a British Bill of Rights that environmental protections, and create a new incorporates and builds on all our obligations designation – similar to SSSIs – to protect under the European Convention on Human green areas of particular importance to local Rights, ensures that these rights continue communities. 12 The Coalition: our programme for government

• We will abolish the Government Office for • We will impose tougher rules to stop unfair London and consider the case for abolishing competition by local authority newspapers. the remaining Government Offices. • We will introduce new powers to help • We will provide more protection against communities save local facilities and aggressive bailiffs and unreasonable charging services threatened with closure, and give orders, ensure that courts have the power to communities the right to bid to take over local insist that repossession is always a last resort, state-run services. and ban orders for sale on unsecured debts of We will implement the Sustainable less than £25,000. • Communities Act, so that citizens know how • We will explore a range of measures to bring taxpayers’ money is spent in their area and empty homes into use. have a greater say over how it is spent. • We will promote shared ownership schemes • We will cut local government inspection and and help social tenants and others to own or abolish the Comprehensive Area Assessment. part-own their home. • We will require continuous improvements to • We will promote ‘Home on the Farm’ the energy efficiency of new housing. schemes that encourage farmers to convert We will provide incentives for local authorities existing buildings into affordable housing. • to deliver sustainable development, including • We will create new trusts that will make it for new homes and businesses. simpler for communities to provide homes for We will review the effectiveness of the raising local people. • of the stamp duty threshold for first-time • We will phase out the ring-fencing of grants buyers. to local government and review the unfair We will give councillors the power to vote Housing Revenue Account. • on large salary packages for unelected council • We will freeze Council Tax in England for officials. at least one year, and seek to freeze it for a further year, in partnership with local authorities. 5. CONSUMER PROTECTION • We will create directly elected mayors The Government believes that action is needed in the 12 largest English cities, subject to to protect consumers, particularly the most confirmatory referendums and full scrutiny vulnerable, and to promote greater competition by elected councillors. across the economy. We need to promote more responsible corporate and consumer behaviour • We will give councils a general power of through greater transparency and by harnessing competence. the insights from behavioural economics and • We will ban the use of powers in the social psychology. Regulation of Investigatory Powers Act (RIPA) • We will give regulators new powers to define by councils, unless they are signed off by a and ban excessive interest rates on credit and magistrate and required for stopping serious store cards; and we will introduce a seven-day crime. cooling-off period for store cards. • We will allow councils to return to the • We will oblige credit card companies to committee system, should they wish to. provide better information to their customers • We will abolish the Standards Board regime. in a uniform electronic format that will allow consumers to find out whether they are • We will stop the restructuring of councils in receiving the best deal. Norfolk, Suffolk and Devon, and stop plans to force the regionalisation of the fire service. The Coalition: our programme for government 13

• We will introduce stronger consumer • We will seek to spread information on which protections, including measures to end unfair policing techniques and sentences are most bank and financial transaction charges. effective at cutting crime across the Criminal Justice System. • We will take forward measures to enhance customer service in the private and public • We will have a full review of the terms and sectors. conditions for police officer employment. • We will introduce, as a first step, an • We will introduce measures to make the Ombudsman in the Office of Fair Trading who police more accountable through oversight can proactively enforce the Grocery Supply by a directly elected individual, who will be Code of Practice and curb abuses of power, subject to strict checks and balances by locally which undermine our farmers and act against elected representatives. the long-term interest of consumers. • We will oblige the police to publish detailed • We will introduce honesty in food labelling so local crime data statistics every month, so the that consumers can be confident about where public can get proper information about crime their food comes from and its environmental in their neighbourhoods and hold the police to impact. account for their performance. • We will increase households’ control over • We will require police forces to hold regular their energy costs by ensuring that energy bills ‘beat meetings’ so that residents can hold provide information on how to move to the them to account. cheapest tariff offered by their supplier, and We will make hospitals share non-confidential how each household’s energy usage compares • information with the police so they know to similar households. where gun and knife crime is happening and • We will give Post Office Card account holders can target stop-and-search in gun and knife the chance to benefit from direct debit crime hot spots. discounts and ensure that social tariffs offer We will give people greater legal protection access to the best prices available. • to prevent crime and apprehend criminals. We will seek to extend protection and • We will ensure that people have the support to ‘off-grid’ energy consumers. • protection that they need when they defend themselves against intruders. 6. CRIME AND POLICING • We will ban the sale of alcohol below cost The Government believes that we need radical price. action to reform our criminal justice system. We • We will review alcohol taxation and pricing need police forces that have greater freedom to ensure it tackles binge drinking without from Ministerial control and are better able to unfairly penalising responsible drinkers, pubs deal with the crime and anti-social behaviour that and important local industries. blights people’s lives, but which are much more accountable to the public they serve. • We will overhaul the Licensing Act to give local authorities and the police much stronger • We will reduce time-wasting bureaucracy that powers to remove licences from, or refuse hampers police operations, and introduce to grant licences to, any premises that are better technology to make policing more causing problems. effective while saving taxpayers’ money. • We will allow councils and the police to shut • We will amend the health and safety laws that down permanently any shop or bar found to stand in the way of common sense policing. be persistently selling alcohol to children. 14 The Coalition: our programme for government

• We will double the maximum fine for • We will work with the Mayor of London to under-age alcohol sales to £20,000. ensure a safe and successful Olympic and Paralympic Games in London in 2012, and We will permit local councils to charge more • urgently form plans to deliver a genuine and for late-night licences to pay for additional lasting legacy. policing. We will examine the case for moving to a We will promote better recording of hate • • ‘gross profits tax’ system for the National crimes against disabled, homosexual and Lottery, and reform the National Lottery so transgender people, which are frequently not that more money goes into sport, the arts and centrally recorded. heritage. We will introduce a system of temporary • We will stop wasteful spending by National bans on new ‘legal highs’ while health issues • Lottery distributors by banning lobbying are considered by independent experts. We activities and restricting administration costs will not permanently ban a substance without to 5% of total income. receiving full advice from the Advisory Council on the Misuse of Drugs. • We will use cash in dormant betting accounts to improve local sports facilities and support We will review the operation of the • sports clubs. Extradition Act – and the US/UK extradition treaty – to make sure it is even-handed. • We will encourage the reform of football governance rules to support the co-operative ownership of football clubs by supporters. 7. CULTURE, OLYMPICS, MEDIA • We will support the creation of an annual AND SPORT Olympic-style schools sport event to The Government believes that a vibrant cultural, encourage competitive sport in schools, and media and sporting sector is crucial for our we will seek to protect school playing fields. well-being and quality of life. We need to We will cut red tape to encourage the promote excellence in these fields, with • performance of more live music. government funding used where appropriate to encourage philanthropic and corporate • We will introduce measures to ensure the investment. rapid roll-out of superfast broadband across the country. We will ensure that BT and other We will maintain the independence of the • infrastructure providers allow the use of their BBC, and give the National Audit Office assets to deliver such broadband, and we full access to the BBC’s accounts to ensure will seek to introduce superfast broadband transparency. in remote areas at the same time as in more • We will enable partnerships between local populated areas. If necessary, we will consider newspapers, radio and television stations to using the part of the TV licence fee that is promote a strong and diverse local media supporting the digital switchover to fund industry. broadband in areas that the market alone will not reach. • We will maintain free entry to national museums and galleries, and give national museums greater freedoms. • We will work with the Scottish Government to deliver a successful Commonwealth Games in Glasgow in 2014, and ensure that the 2013 Rugby League and the 2015 Rugby Union World Cups are successful. We will strongly support the England 2018 World Cup bid. The Coalition: our programme for government 15

8. DEFENCE • We will double the operational allowance for Armed Forces personnel serving in The Government believes that we need to take Afghanistan, and include Armed Forces pay in action to safeguard our national security at home our plans for a fair pay review. and abroad. We also recognise that we need to do much more to ensure that our Armed Forces • We will ensure that injured personnel are have the support they need, and that veterans treated in dedicated military wards. and their families are treated with the dignity • We will look at whether there is scope to that they deserve. refurbish Armed Forces’ accommodation • We will maintain Britain’s nuclear deterrent, from efficiencies within the Ministry of and have agreed that the renewal of Trident Defence. should be scrutinised to ensure value for • We will support defence jobs through exports money. Liberal Democrats will continue that are used for legitimate purposes, not to make the case for alternatives. We will internal repression, and will work for a full immediately play a strong role in the Nuclear international ban on cluster munitions. Non-Proliferation Treaty Review Conference, and press for continued progress on multilateral disarmament. 9. DEFICIT REDUCTION • We will aim to reduce Ministry of Defence The Government believes that it is the most running costs by at least 25%. vulnerable who are most at risk from the • We will work to rebuild the Military Covenant debt crisis, and that it is deeply unfair that the by: Government could have to spend more on debt interest payments than on schools. So we need – ensuring that Service personnel’s rest and immediate action to tackle the deficit in a fair and recuperation leave can be maximised; responsible way, ensure that taxpayers’ money – changing the rules so that Service personnel is spent responsibly, and get the public finances only have to register once on the Service back on track. register; • We recognise that deficit reduction, and – exploring the potential for including Service continuing to ensure economic recovery, is children as part of our proposals for a pupil the most urgent issue facing Britain. premium; • We will significantly accelerate the reduction – providing university and further education of the structural deficit over the course of a scholarships for the children of Servicemen Parliament, with the main burden of deficit and women who have been killed on active reduction borne by reduced spending rather duty since 1990; than increased taxes. – providing support for ex-Service personnel • We will introduce arrangements that will to study at university, protect those on low incomes from the effect of public sector pay constraint and other – creating a new programme, ‘Troops for spending constraints. Teachers’, to recruit ex-Service personnel into the teaching profession; • We will protect jobs by stopping the proposed jobs tax. – providing extra support for veteran mental health needs; and • We will set out a plan for deficit reduction in an emergency budget. We have created an – reviewing the rules governing the awarding independent Office for Budget Responsibility of medals. to make new forecasts of growth and borrowing for this emergency budget. 16 The Coalition: our programme for government

• We will make modest cuts of £6 billion to • We will establish a full system of feed-in tariffs non-front-line services within the financial in electricity – as well as the maintenance of year 2010/11, subject to advice from the banded Renewables Obligation Certificates. Treasury and the Bank of England on their We will introduce measures to promote a feasibility and advisability. A proportion of • huge increase in energy from waste through these savings can be used to support jobs. anaerobic digestion. We will hold a full Spending Review reporting • We will create a green investment bank. this autumn, following a fully consultative • process involving all tiers of government and • We will retain energy performance the private sector. certificates while scrapping HIPs. • We will reduce spending on the Child Trust • We will introduce measures to encourage Fund and tax credits for higher earners. marine energy. • We will create strong financial discipline at all • We will establish an emissions performance levels of government and place an obligation standard that will prevent coal-fired power on public servants to manage taxpayers’ stations being built unless they are equipped money wisely. with sufficient carbon capture and storage to meet the emissions performance standard. • We will reduce the number and cost of quangos. • We will cancel the third runway at Heathrow. • We will refuse permission for additional 10. ENERGY AND CLIMATE runways at Gatwick and Stansted. CHANGE • We will replace Air Passenger Duty with a per-flight duty. The Government believes that climate change is one of the gravest threats we face, and that • We will introduce a floor price for carbon, urgent action at home and abroad is required. and make efforts to persuade the EU to move We need to use a wide range of levers to cut towards full auctioning of ETS permits. carbon emissions, decarbonise the economy Through our ‘Green Deal’, we will encourage and support the creation of new green jobs • home energy efficiency improvements paid and technologies. We will implement a full for by savings from energy bills. We will also programme of measures to fulfil our joint take measures to improve energy efficiency in ambitions for a low carbon and eco-friendly businesses and public sector buildings. We will economy. reduce central government carbon emissions • We will push for the EU to demonstrate by 10% within 12 months. leadership in tackling international climate We will reform energy markets to deliver change, including by supporting an increase in • security of supply and investment in low the EU emission reduction target to 30% by carbon energy, and ensure fair competition 2020. including a review of the role of Ofgem. We will seek to increase the target for energy • We will instruct Ofgem to establish a security from renewable sources, subject to the advice • guarantee of energy supplies. of the Climate Change Committee. We will give an Annual Energy Statement to We will continue public sector investment in • • Parliament to set strategic energy policy and carbon capture and storage (CCS) technology guide investment. for four coal-fired power stations. We will deliver an offshore electricity grid in We will establish a smart grid and roll out • • order to support the development of a new smart meters. generation of offshore wind power. The Coalition: our programme for government 17

• We will encourage community-owned 11. ENVIRONMENT, FOOD AND renewable energy schemes where local people RURAL AFFAIRS benefit from the power produced. We will also allow communities that host renewable The Government believes that we need to energy projects to keep the additional protect the environment for future generations, business rates they generate. make our economy more environmentally sustainable, and improve our quality of life and • As part of the creation of a green investment well-being. We also believe that much more bank, we will create green financial products needs to be done to support the farming to provide individuals with opportunities to industry, protect biodiversity and encourage invest in the infrastructure needed to support sustainable food production. the new green economy. • We will introduce measures to make the • We will work towards an ambitious global import or possession of illegal timber a climate deal that will limit emissions and criminal offence. explore the creation of new international sources of funding for the purpose of climate • We will introduce measures to protect change adaptation and mitigation. wildlife and promote green spaces and wildlife corridors in order to halt the loss of habitats • Liberal Democrats have long opposed any and restore biodiversity. new nuclear construction. Conservatives, by contrast, are committed to allowing • We will launch a national tree planting the replacement of existing nuclear power campaign. stations provided that they are subject to the • We will review the governance arrangements normal planning process for major projects of National Parks in order to increase local (under a new National Planning Statement), accountability. and also provided that they receive no public subsidy. • We will work towards full compliance with European Air Quality standards. • We will implement a process allowing the Liberal Democrats to maintain their • We will take forward the findings of the Pitt opposition to nuclear power while permitting Review to improve our flood defences, and the Government to bring forward the prevent unnecessary building in areas of high National Planning Statement for ratification by flood risk. Parliament so that new nuclear construction • We will examine the conclusions of the Cave becomes possible. This process will involve: and Walker Reviews, and reform the water – the Government completing the drafting of industry to ensure more efficient use of water a national planning statement and putting it and the protection of poorer households. before Parliament; • We will work towards a ‘zero waste’ – specific agreement that a Liberal Democrat economy, encourage councils to pay people to spokesperson will speak against the recycle, and work to reduce littering. Planning Statement, but that Liberal • We will reduce the regulatory burden on Democrat MPs will abstain; and farmers by moving to a risk-based system of – clarity that this will not be regarded as an regulation, and will develop a system of extra issue of confidence. support for hill farmers. 18 The Coalition: our programme for government

• We will investigate ways to share with 12. EQUALITIES livestock keepers the responsibility for preparing for and dealing with outbreaks of The Government believes that there are disease. many barriers to social mobility and equal opportunities in Britain today, with too many • We will take forward the Marine and Coastal children held back because of their social Access Act and ensure that its conservation background, and too many people of all ages held measures are implemented effectively. back because of their gender, race, religion or • As part of a package of measures, we will sexuality. We need concerted government action introduce a carefully managed and science-led to tear down these barriers and help to build a policy of badger control in areas with high and fairer society. persistent levels of bovine tuberculosis. • We will promote equal pay and take a range • We will promote high standards of farm of measures to end discrimination in the animal welfare. We will end the testing of workplace. household products on animals and work • We will extend the right to request flexible to reduce the use of animals in scientific working to all employees, consulting with research. We will promote responsible pet business on how best to do so. ownership by introducing effective codes of practice under the Animal Welfare Act, and • We will undertake a fair pay review in the will ensure that enforcement agencies target public sector to implement our proposed irresponsible owners of dangerous dogs. ‘20 times’ pay multiple. • We will ensure that food procured by • We will look to promote gender equality on government departments, and eventually the the boards of listed companies. whole public sector, meets British standards • We will promote improved community of production wherever this can be achieved relations and opportunities for Black, Asian without increasing overall cost. and Minority Ethnic (BAME) communities, • We will investigate measures to help with fuel including by providing internships for under- costs in remote rural areas, starting with pilot represented minorities in every Whitehall schemes. department and funding a targeted national enterprise mentoring scheme for BAME • We will create a presumption in favour of people who want to start a business. sustainable development in the planning system. • We will stop the deportation of asylum seekers who have had to leave particular • We oppose the resumption of commercial countries because their sexual orientation or whaling, will press for a ban on ivory sales, and gender identification puts them at proven risk will tackle the smuggling and illegal trade on of imprisonment, torture or execution. wildlife through our new Border Police Force. • We will use our relationships with other • We will bring forward a motion on a free vote countries to push for unequivocal support for enabling the House of Commons to express gay rights and for UK civil partnerships to be its view on the repeal of the Hunting Act. recognised internationally. The Coalition: our programme for government 19

13. EUROPE • We will approach forthcoming legislation in the area of criminal justice on a case-by-case The Government believes that Britain should play basis, with a view to maximising our country’s a leading role in an enlarged European Union, but security, protecting Britain’s civil liberties that no further powers should be transferred to and preserving the integrity of our criminal Brussels without a referendum. This approach justice system. Britain will not participate strikes the right balance between constructive in the establishment of any European Public engagement with the EU to deal with the issues Prosecutor. that affect us all, and protecting our national sovereignty. • We support the further enlargement of the EU. • We will ensure that the British Government is a positive participant in the European Union, playing a strong and positive role with our 14. FAMILIES AND CHILDREN partners, with the goal of ensuring that all the nations of Europe are equipped to face The Government believes that strong and stable the challenges of the 21st century: global families of all kinds are the bedrock of a strong competitiveness, global warming and global and stable society. That is why we need to poverty. make our society more family friendly, and to take action to protect children from excessive • We will ensure that there is no further commercialisation and premature sexualisation. transfer of sovereignty or powers over the course of the next Parliament. We will • We will maintain the goal of ending child examine the balance of the EU’s existing poverty in the UK by 2020. competences and will, in particular, work to • We will reform the administration of tax limit the application of the Working Time credits to reduce fraud and overpayments. Directive in the United Kingdom. • We will bring forward plans to reduce the • We will amend the 1972 European couple penalty in the tax credit system as we Communities Act so that any proposed make savings from our welfare reform plans. future treaty that transferred areas of power, or competences, would be subject to a • We support the provision of free nursery care referendum on that treaty – a ‘referendum for pre-school children, and we want that lock’. We will amend the 1972 European support to be provided by a diverse range of Communities Act so that the use of any providers, with a greater gender balance in the passerelle would require primary legislation. early years workforce. • We will examine the case for a United • We will take Sure Start back to its original Kingdom Sovereignty Bill to make it clear that purpose of early intervention, increase its ultimate authority remains with Parliament. focus on the neediest families, and better involve organisations with a track record of • We will ensure that Britain does not join or supporting families. We will investigate ways prepare to join the Euro in this Parliament. of ensuring that providers are paid in part by • We will strongly defend the UK’s national the results they achieve. interests in the forthcoming EU budget • We will refocus funding from Sure Start negotiations and agree that the EU budget peripatetic outreach services, and from the should only focus on those areas where the Department of Health budget, to pay for EU can add value. 4,200 extra Sure Start health visitors. • We will press for the European Parliament to • We will investigate a new approach to helping have only one seat, in Brussels. families with multiple problems. 20 The Coalition: our programme for government

• We will publish serious case reviews, with • We will work to establish a new ‘special identifying details removed. relationship’ with India and seek closer engagement with China, while standing We will review the criminal records and • firm on human rights in all our bilateral vetting and barring regime and scale it back to relationships. common sense levels. We will maintain a strong, close and frank We will crack down on irresponsible • • relationship with the United States. advertising and marketing, especially to children. We will also take steps to tackle • We want to strengthen the Commonwealth the commercialisation and sexualisation of as a focus for promoting democratic values childhood. and development. • We will encourage shared parenting from the • We will work to promote stability in the earliest stages of pregnancy – including the Western Balkans. promotion of a system of flexible parental We will support concerted international leave. • efforts to prevent Iran from obtaining a • We will put funding for relationship support nuclear weapon. on a stable, long-term footing, and make sure We support reform of the UN Security that couples are given greater encouragement • Council, including permanent seats for to use existing relationship support. Japan, India, Germany, Brazil and African • We will conduct a comprehensive review representation. of family law in order to increase the use We will work to intensify our cultural, of mediation when couples do break up, • educational, commercial and diplomatic links and to look at how best to provide greater with many nations beyond Europe and North access rights to non-resident parents and America to strengthen the UK’s relations grandparents. with the fastest-growing areas of the world economy. 15. FOREIGN AFFAIRS • We will never condone the use of torture. The Government believes that Britain must always be an active member of the global community, promoting our national interests 16. GOVERNMENT while standing up for the values of freedom, TRANSPARENCY fairness and responsibility. This means working The Government believes that we need to throw as a constructive member of the United Nations, open the doors of public bodies, to enable the NATO and other multilateral organisations public to hold politicians and public bodies to including the Commonwealth; working to account. We also recognise that this will help to promote stability and security; and pushing for deliver better value for money in public spending, reform of global institutions to ensure that they and help us achieve our aim of cutting the reflect the modern world. record deficit. Setting government data free will • We will take forward our shared resolve bring significant economic benefits by enabling to safeguard the UK’s national security and businesses and non-profit organisations to build support our Armed Forces in Afghanistan and innovative applications and websites. elsewhere. • We will require public bodies to publish online • We will push for peace in the Middle East, the job titles of every member of staff and the with a secure and universally recognised salaries and expenses of senior officials paid Israel living alongside a sovereign and viable more than the lowest salary permissible in Pay Palestinian state. The Coalition: our programme for government 21

Band 1 of the Senior Civil Service pay scale, 17. IMMIGRATION and organograms that include all positions in those bodies. The Government believes that immigration has enriched our culture and strengthened our • We will require anyone paid more than the economy, but that it must be controlled so that Prime Minister in the centrally funded public people have confidence in the system. We also sector to have their salary signed off by the recognise that to ensure cohesion and protect Treasury. our public services, we need to introduce a cap • We will regulate lobbying through introducing on immigration and reduce the number of non- a statutory register of lobbyists and ensuring EU immigrants. greater transparency. • We will introduce an annual limit on the • We will also pursue a detailed agreement on number of non-EU economic migrants limiting donations and reforming party funding admitted into the UK to live and work. in order to remove big money from politics. We will consider jointly the mechanism for implementing the limit. • We will strengthen the powers of Select Committees to scrutinise major public • We will end the detention of children for appointments. immigration purposes. • We will introduce new protections for • We will create a dedicated Border Police whistleblowers in the public sector. Force, as part of a refocused Serious Organised Crime Agency, to enhance national • We will take steps to open up government security, improve immigration controls and procurement and reduce costs; and we will crack down on the trafficking of people, publish government ICT contracts online. weapons and drugs. We will work with police • We will create a level playing field for open- forces to strengthen arrangements to deal source software and will enable large ICT with serious crime and other cross-boundary projects to be split into smaller components. policing challenges, and extend collaboration between forces to deliver better value for • We will require full, online disclosure of all money. central government spending and contracts over £25,000. • We support E-borders and will reintroduce exit checks. • We will create a new ‘right to data’ so that government-held datasets can be requested • We will apply transitional controls as a matter and used by the public, and then published on of course in the future for all new EU Member a regular basis. States. • We will require all councils to publish meeting • We will introduce new measures to minimise minutes and local service and performance abuse of the immigration system, for example data. via student routes, and will tackle human trafficking as a priority. • We will require all councils to publish items of spending above £500, and to publish contracts • We will explore new ways to improve the and tender documents in full. current asylum system to speed up the processing of applications. • We will ensure that all data published by public bodies is published in an open and standardised format, so that it can be used easily and with minimal cost by third parties. 22 The Coalition: our programme for government

18. INTERNATIONAL • We will push hard in 2010 to make greater DEVELOPMENT progress in tackling maternal and infant mortality. The Government believes that even in these difficult economic times, the UK has a moral • We will work to accelerate the process of responsibility to help the poorest people in the relieving Heavily Indebted Poor Countries of world. We will honour our aid commitments, their debt. but at the same time will ensure much greater • We will support efforts to establish an transparency and scrutiny of aid spending to International Arms Trade Treaty to limit the deliver value for money for British taxpayers and sales of arms to dangerous regimes. to maximise the impact of our aid budget. • We will support pro-development trade • We will honour our commitment to spend deals, including the proposed Pan-African Free 0.7% of GNI on overseas aid from 2013, and Trade Area. to enshrine this commitment in law. • We will support innovative and effective • We will encourage other countries to fulfil smaller British non-governmental their aid commitments. organisations that are committed to tackling • We will support actions to achieve the poverty. Millennium Development Goals. In particular, • We will explore ways of helping the very we will prioritise aid spending on programmes poorest developing countries to take part in to ensure that everyone has access to clean international climate change negotiations. water, sanitation, healthcare and education; to reduce maternal and infant mortality; and to • We will ensure that UK Trade and Investment restrict the spread of major diseases like HIV/ and the Export Credits Guarantee AIDS, TB and malaria. We will recognise the Department become champions for British vital role of women in development, promote companies that develop and export innovative gender equality and focus on the rights of green technologies around the world, instead women, children and disabled people to of supporting investment in dirty fossil-fuel access services. energy production. • We will use the aid budget to support the • We will provide a more integrated approach development of local democratic institutions, to post-conflict reconstruction where the civil society groups, the media and enterprise; British military is involved – building on the and support efforts to tackle corruption. Stabilisation Unit in Whitehall and creating a new Stabilisation and Reconstruction Force to • We will introduce full transparency in aid bridge the gap between the military and the and publish details of all UK aid spending reconstruction effort. online. We will push for similarly high levels of transparency internationally. • We will review what action can be taken against ‘vulture funds’. • We will create new mechanisms to give British people a direct say in how an element of the • We will support reform of global financial aid budget is spent. institutions such as the World Bank and the International Monetary Fund in order • We will keep aid untied from commercial to increase the involvement of developing interests, and will maintain DfID as an nations. independent department focused on poverty reduction. • We will stick to the rules laid down by the OECD about what spending counts as aid. The Coalition: our programme for government 23

19. JOBS AND WELFARE • We will draw on a range of Service Academies to offer pre-employment training and work The Government believes that we need to placements for unemployed people. encourage responsibility and fairness in the welfare system. That means providing help for • We will develop local Work Clubs – places those who cannot work, training and targeted where unemployed people can gather to support for those looking for work, but exchange skills, find opportunities, make sanctions for those who turn down reasonable contacts and provide mutual support. offers of work or training. • We will investigate how to simplify the • We will end all existing welfare to work benefit system in order to improve incentives programmes and create a single welfare to to work. work programme to help all unemployed people get back into work. 20. JUSTICE • We will ensure that Jobseeker’s Allowance claimants facing the most significant barriers The Government believes that more needs to to work are referred to the new welfare be done to ensure fairness in the justice system. to work programme immediately, not after This means introducing more effective sentencing 12 months as is currently the case. We will policies, as well as overhauling the system of ensure that Jobseeker’s Allowance claimants rehabilitation to reduce reoffending and provide aged under 25 are referred to the programme greater support and protection for the victims of after a maximum of six months. crime. • We will realign contracts with welfare to • We will introduce a ‘rehabilitation revolution’ work service providers to reflect more closely that will pay independent providers to reduce the results they achieve in getting people back reoffending, paid for by the savings this new into work. approach will generate within the criminal justice system. • We will reform the funding mechanism used by government to finance welfare to work • We will conduct a full review of sentencing programmes to reflect the fact that initial policy to ensure that it is effective in investment delivers later savings through deterring crime, protecting the public, lower benefit expenditure, including creating punishing offenders and cutting reoffending. In an integrated work programme with outcome particular, we will ensure that sentencing for funding based upon the DEL/AME switch. drug use helps offenders come off drugs. • We will ensure that receipt of benefits for • We will explore alternative forms of secure, those able to work is conditional on their treatment-based accommodation for mentally willingness to work. ill and drugs offenders. • We support the National Minimum Wage • We will implement the Prisoners’ Earnings because of the protection it gives low- Act 1996 to allow deductions from the income workers and the incentives to work it earnings of prisoners in properly paid work to provides. be paid into the Victims’ Fund. • We will re-assess all current claimants of • We will consider how to use proceeds from Incapacity Benefit for their readiness to work. the Victim Surcharge to deliver up to 15 new Those assessed as fully capable for work will rape crisis centres, and give existing rape crisis be moved onto Jobseeker’s Allowance. centres stable, long-term funding. • We will support would-be entrepreneurs • We will carry out a fundamental review of through a new programme – Work for Legal Aid to make it work more efficiently. Yourself – which will give the unemployed access to business mentors and start-up loans. 24 The Coalition: our programme for government

• We will change the law so that historical 22. NHS convictions for consensual gay sex with over- 16s will be treated as spent and will not show The Government believes that the NHS is an up on criminal records checks. important expression of our national values. We are committed to an NHS that is free at the • We will extend anonymity in rape cases to point of use and available to everyone based on defendants. need, not the ability to pay. We want to free • We will introduce effective measures to tackle NHS staff from political micromanagement, anti-social behaviour and low-level crime, increase democratic participation in the NHS including forms of restorative justice such as and make the NHS more accountable to the Neighbourhood Justice Panels. patients that it serves. That way we will drive up standards, support professional responsibility, deliver better value for money and create a 21. NATIONAL SECURITY healthier nation. The Government believes that its primary • We will guarantee that health spending responsibility is to ensure national security. We increases in real terms in each year of the need a coherent approach to national security Parliament, while recognising the impact this issues across government, and we will take action decision will have on other departments. to tackle terrorism, and its causes, at home and • We will stop the top-down reorganisations abroad. of the NHS that have got in the way of • We have established a National Security patient care. We are committed to reducing Council and appointed a National Security duplication and the resources spent on Adviser. administration, and diverting these resources back to front-line care. • We have commenced a Strategic Defence and Security Review, commissioned and overseen • We will significantly cut the number of health by the National Security Council, with strong quangos. Treasury involvement. We will also develop • We will cut the cost of NHS administration and publish a new National Security Strategy. by a third and transfer resources to support • We will urgently review Control Orders, as doctors and nurses on the front line. part of a wider review of counter-terrorist • We will stop the centrally dictated closure of legislation, measures and programmes. We A&E and maternity wards, so that people have will seek to find a practical way to allow the better access to local services. use of intercept evidence in court. • We will strengthen the power of GPs as • We will deny public funds to any group that patients’ expert guides through the health has recently espoused or incited violence or system by enabling them to commission care hatred. We will proscribe such organisations, on their behalf. subject to the advice of the police and security and intelligence agencies. • We will ensure that there is a stronger voice for patients locally through directly elected • We believe that Britain should be able to individuals on the boards of their local deport foreign nationals who threaten primary care trust (PCT). The remainder our security to countries where there are of the PCT’s board will be appointed by the verifiable guarantees that they will not be relevant local authority or authorities, and tortured. We will seek to extend these the Chief Executive and principal officers will guarantees to more countries. be appointed by the Secretary of State on the advice of the new independent NHS board. This will ensure the right balance between The Coalition: our programme for government 25

locally accountable individuals and technical • We will seek to stop foreign healthcare expertise. professionals working in the NHS unless they have passed robust language and competence The local PCT will act as a champion for • tests. patients and commission those residual services that are best undertaken at a wider • Doctors and nurses need to be able to use level, rather than directly by GPs. It will also their professional judgement about what is take responsibility for improving public health right for patients and we will support this by for people in their area, working closely giving front-line staff more control of their with the local authority and other local working environment. organisations. • We will strengthen the role of the Care • If a local authority has concerns about a Quality Commission so it becomes an significant proposed closure of local services, effective quality inspectorate. We will develop for example an A&E department, it will have Monitor into an economic regulator that will the right to challenge health organisations, oversee aspects of access, competition and and refer the case to the Independent price-setting in the NHS. Reconfiguration Panel. The Panel would then We will establish an independent NHS provide advice to the Secretary of State for • board to allocate resources and provide Health. commissioning guidelines. We will give every patient the right to choose • We will enable patients to rate hospitals and to register with the GP they want, without • doctors according to the quality of care they being restricted by where they live. received, and we will require hospitals to be • We will develop a 24/7 urgent care service in open about mistakes and always tell patients if every area of England, including GP out-of- something has gone wrong. hours services, and ensure every patient can We will measure our success on the health access a local GP. We will make care more • results that really matter – such as improving accessible by introducing a single number cancer and stroke survival rates or reducing for every kind of urgent care and by using hospital infections. technology to help people communicate with their doctors. • We will publish detailed data about the performance of healthcare providers online, We will renegotiate the GP contract and • so everyone will know who is providing a incentivise ways of improving access to good service and who is falling behind. primary care in disadvantaged areas. We will put patients in charge of making We will make the NHS work better by • • decisions about their care, including control of extending best practice on improving their health records. discharge from hospital, maximising the number of day care operations, reducing • We will create a Cancer Drugs Fund to delays prior to operations, and where possible enable patients to access the cancer drugs enabling community access to care and their doctors think will help them, paid for treatments. using money saved by the NHS through our pledge to stop the rise in Employer National We will help elderly people live at home • Insurance contributions from April 2011. for longer through solutions such as home adaptations and community support • We will reform NICE and move to a system programmes. of value-based pricing, so that all patients can access the drugs and treatments their doctors We will prioritise dementia research within • think they need. the health research and development budget. 26 The Coalition: our programme for government

• We will introduce a new dentistry contract • We will phase out the default retirement age that will focus on achieving good dental health and hold a review to set the date at which the and increasing access to NHS dentistry, with state pension age starts to rise to 66, although an additional focus on the oral health of it will not be sooner than 2016 for men and schoolchildren. 2020 for women. We will end the rules requiring compulsory annuitisation at 75. • We will provide £10 million a year beyond 2011 from within the budget of the • We will implement the Parliamentary and Department of Health to support children’s Health Ombudsman’s recommendation hospices in their vital work. And so that to make fair and transparent payments to proper support for the most sick children Equitable Life policy holders, through an and adults can continue in the setting of their independent payment scheme, for their choice, we will introduce a new per-patient relative loss as a consequence of regulatory funding system for all hospices and providers failure. of palliative care. • We will explore the potential to give people • We will encourage NHS organisations to greater flexibility in accessing part of their work better with their local police forces to personal pension fund early. clamp down on anyone who is aggressive and We will protect key benefits for older people abusive to staff. • such as the winter fuel allowance, free TV • We are committed to the continuous licences, free bus travel, and free eye tests and improvement of the quality of services to prescriptions. patients, and to achieving this through much We will simplify the rules and regulations greater involvement of independent and • relating to pensions to help reinvigorate voluntary providers. occupational pensions, encouraging • We will give every patient the power companies to offer high-quality pensions to to choose any healthcare provider that all employees, and we will work with business meets NHS standards, within NHS prices. and the industry to support auto enrolment. This includes independent, voluntary and community sector providers. 24. POLITICAL REFORM The Government believes that our political 23. PENSIONS AND OLDER system is broken. We urgently need fundamental PEOPLE political reform, including a referendum on The Government believes that people deserve electoral reform, much greater co-operation dignity and respect in old age, and that they across party lines, and changes to our political should be provided with the support they system to make it far more transparent and need. That means safeguarding key benefits and accountable. pensions, and taking action to make it easier for • We will establish five-year fixed-term older people to work or volunteer. Parliaments. We will put a binding motion • We will restore the earnings link for the basic before the House of Commons stating that state pension from April 2011, with a ‘triple the next general election will be held on the guarantee’ that pensions are raised by the first Thursday of May 2015. Following this higher of earnings, prices or 2.5%. motion, we will legislate to make provision for fixed-term Parliaments of five years. This • We will commit to establishing an legislation will also provide for dissolution if independent commission to review the long- 55% or more of the House votes in favour. term affordability of public sector pensions, while protecting accrued rights. The Coalition: our programme for government 27

• We will bring forward a Referendum Bill on • We will cut the perks and bureaucracy electoral reform, which includes provision for associated with Parliament. the introduction of the Alternative Vote in the We will consult with the Independent event of a positive result in the referendum, • Parliamentary Standards Authority on how as well as for the creation of fewer and more to move away from the generous final-salary equal sized constituencies. We will whip pension system for MPs. both Parliamentary parties in both Houses to support a simple majority referendum on • We will fund 200 all-postal primaries over the Alternative Vote, without prejudice to this Parliament, targeted at seats which have the positions parties will take during such a not changed hands for many years. These referendum. funds will be allocated to all political parties with seats in Parliament that they take up, in We will bring forward early legislation to • proportion to their share of the total vote in introduce a power of recall, allowing voters the last general election. to force a by-election where an MP is found to have engaged in serious wrongdoing and • We will ensure that any petition that secures having had a petition calling for a by-election 100,000 signatures will be eligible for formal signed by 10% of his or her constituents. debate in Parliament. The petition with the most signatures will enable members of the We will establish a committee to bring • public to table a bill eligible to be voted on in forward proposals for a wholly or mainly Parliament. elected upper chamber on the basis of proportional representation. The committee • We will introduce a new ‘public reading stage’ will come forward with a draft motion by for bills to give the public an opportunity to December 2010. It is likely that this will comment on proposed legislation online, and advocate single long terms of office. It is a dedicated ‘public reading day’ within a bill’s also likely that there will be a grandfathering committee stage where those comments will system for current Peers. In the interim, be debated by the committee scrutinising Lords appointments will be made with the the bill. objective of creating a second chamber that We will improve the civil service, and make is reflective of the share of the vote secured • it easier to reward the best civil servants and by the political parties in the last general remove the least effective. election. We will reform the Civil Service We will bring forward the proposals of • • Compensation Scheme to bring it into line the Wright Committee for reform to the with practice in the private sector. House of Commons in full – starting with the proposed committee for management • We will put a limit on the number on Special of backbench business. A House Business Advisers. Committee, to consider government business, We will introduce extra support for people will be established by the third year of the • with disabilities who want to become MPs, Parliament. councillors or other elected officials. We will reduce electoral fraud by speeding • We will open up Whitehall recruitment by up the implementation of individual voter • publishing central government job vacancies registration. online. We will establish a commission to consider • We will publish details of every UK project the ‘West Lothian question’. • that receives over £25,000 of EU funds. We will prevent the possible misuse of • We will give residents the power to instigate Parliamentary privilege by MPs accused of • local referendums on any local issue. serious wrongdoing. 28 The Coalition: our programme for government

• We will stop plans to impose supplementary 25. PUBLIC HEALTH business rates on firms if a majority of the firms affected do not give their consent. The Government believes that we need action to promote public health, and encourage behaviour • We will give residents the power to veto change to help people live healthier lives. We excessive council tax increases. need an ambitious strategy to prevent ill-health • We will continue to promote peace, stability which harnesses innovative techniques to help and economic prosperity in Northern Ireland, people take responsibility for their own health. standing firmly behind the agreements • We will give local communities greater negotiated and institutions they establish. control over public health budgets with We will work to bring Northern Ireland back payment by the outcomes they achieve in into the mainstream of UK politics, including improving the health of local residents. producing a government paper examining potential mechanisms for changing the • We will give GPs greater incentives to tackle corporation tax rate in Northern Ireland. public health problems. • We will implement the proposals of the • We will investigate ways of improving access Calman Commission and introduce a to preventative healthcare for those in referendum on further Welsh devolution. disadvantaged areas to help tackle health inequalities. • We will review the control and use of accumulated and future revenues from the • We will ensure greater access to talking Fossil Fuel Levy in Scotland. therapies to reduce long-term costs for the NHS. • We recognise the concerns expressed by the Holtham Commission on the system of devolution funding. However, at this time, 26. SCHOOLS the priority must be to reduce the deficit The Government believes that we need to and therefore any change to the system reform our school system to tackle educational must await the stabilisation of the public inequality, which has widened in recent years, finances. Depending on the outcome of the and to give greater powers to parents and pupils forthcoming referendum, we will establish a to choose a good school. We want to ensure process similar to the Calman Commission high standards of discipline in the classroom, for the Welsh Assembly. We will take robust standards and the highest quality teaching. forward the Sustainable Homes Legislative We also believe that the state should help Competence Order. parents, community groups and others come • We will make the running of government together to improve the education system by more efficient by introducing enhanced starting new schools. Departmental Boards which will form • We will promote the reform of schools in collective operational leadership of order to ensure that new providers can government departments. enter the state school system in response to parental demand; that all schools have greater freedom over the curriculum; and that all schools are held properly to account. • We will fund a significant premium for disadvantaged pupils from outside the schools budget by reductions in spending elsewhere. • We will give parents, teachers, charities and local communities the chance to set up new The Coalition: our programme for government 29

schools, as part of our plans to allow new • We will keep external assessment, but will providers to enter the state school system in review how Key Stage 2 tests operate in response to parental demand. future. • We will support Teach First, create Teach • We will ensure that all new Academies follow Now to build on the Graduate Teacher an inclusive admissions policy. We will work Programme, and seek other ways to improve with faith groups to enable more faith schools the quality of the teaching profession. and facilitate inclusive admissions policies in as many of these schools as possible. • We will reform the existing rigid national pay and conditions rules to give schools greater freedoms to pay good teachers more and deal 27. SOCIAL ACTION with poor performance. The Government believes that the innovation • We will help schools tackle bullying in schools, and enthusiasm of civil society is essential especially homophobic bullying. in tackling the social, economic and political • We will simplify the regulation of standards in challenges that the UK faces today. We will education and target inspection on areas of take action to support and encourage social failure. responsibility, volunteering and philanthropy, and make it easier for people to come together to • We will give anonymity to teachers accused improve their communities and help one another. by pupils and take other measures to protect against false accusations. • We will support the creation and expansion of mutuals, co-operatives, charities and social • We will seek to attract more top science and enterprises, and enable these groups to have maths graduates to be teachers. much greater involvement in the running of • We will publish performance data on public services. educational providers, as well as past exam • We will give public sector workers a new papers. right to form employee-owned co-operatives • We will create more flexibility in the exams and bid to take over the services they deliver. systems so that state schools can offer This will empower millions of public sector qualifications like the IGCSE. workers to become their own boss and help them to deliver better services. • We will reform league tables so that schools are able to focus on, and demonstrate, the • We will train a new generation of community progress of children of all abilities. organisers and support the creation of neighbourhood groups across the UK, • We will give heads and teachers the powers especially in the most deprived areas. they need to ensure discipline in the classroom and promote good behaviour. • We will take a range of measures to encourage charitable giving and philanthropy. • We believe the most vulnerable children deserve the very highest quality of care. • We will introduce National Citizen Service. We will improve diagnostic assessment for The initial flagship project will provide a schoolchildren, prevent the unnecessary programme for 16 year olds to give them a closure of special schools, and remove the bias chance to develop the skills needed to be towards inclusion. active and responsible citizens, mix with people from different backgrounds, and start • We will improve the quality of vocational getting involved in their communities. education, including increasing flexibility for 14–19 year olds and creating new Technical • We will use funds from dormant bank Academies as part of our plans to diversify accounts to establish a ‘Big Society schools provision. Bank’, which will provide new finance for 30 The Coalition: our programme for government

neighbourhood groups, charities, social 29. TAXATION enterprises and other non-governmental bodies. The Government believes that the tax system needs to be reformed to make it more • We will take a range of measures to competitive, simpler, greener and fairer. We need encourage volunteering and involvement in to take action to ensure that the tax framework social action, including launching a national day better reflects the values of this Government. to celebrate and encourage social action, and make regular community service an element • We will increase the personal allowance of civil service staff appraisals. for income tax to help lower and middle income earners. We will announce in the first Budget a substantial increase in the 28. SOCIAL CARE AND personal allowance from April 2011, with the DISABILITY benefits focused on those with lower and middle incomes. This will be funded with the The Government believes that people needing money that would have been used to pay for care deserve to be treated with dignity and the increase in employee National Insurance respect. We understand the urgency of thresholds proposed by the Conservative reforming the system of social care to provide Party, as well as revenues from increases much more control to individuals and their in Capital Gains Tax rates for non-business carers, and to ease the cost burden that they and assets as described below. The increase in their families face. employer National Insurance thresholds • We will establish a commission on long-term proposed by the Conservatives will go ahead care, to report within a year. The commission in order to stop the planned jobs tax. will consider a range of ideas, including both • We will further increase the personal a voluntary insurance scheme to protect the allowance to £10,000, making real terms steps assets of those who go into residential care, each year towards meeting this as a longer- and a partnership scheme as proposed by term policy objective. We will prioritise Derek Wanless. this over other tax cuts, including cuts to • We will break down barriers between Inheritance Tax. health and social care funding to incentivise • We will also ensure that provision is made preventative action. for Liberal Democrat MPs to abstain on • We will extend the greater roll-out of budget resolutions to introduce transferable personal budgets to give people and their tax allowances for married couples without carers more control and purchasing power. prejudice to the coalition agreement. • We will use direct payments to carers and • We will reform the taxation of air travel by better community-based provision to improve switching from a per-passenger to a per-plane access to respite care. duty, and will ensure that a proportion of any increased revenues over time will be used to • We will reform Access to Work, so disabled help fund increases in the personal allowance. people can apply for jobs with funding already secured for any adaptations and equipment • We will seek ways of taxing non-business they will need. capital gains at rates similar or close to those applied to income, with generous exemptions for entrepreneurial business activities. • We will make every effort to tackle tax avoidance, including detailed development of Liberal Democrat proposals. The Coalition: our programme for government 31

• We will increase the proportion of tax • We will support sustainable travel initiatives, revenue accounted for by environmental including the promotion of cycling and taxes. walking, and will encourage joint working between bus operators and local authorities. • We will take measures to fulfil our EU treaty obligations in regard to the taxation of • We are committed to fair pricing for rail holiday letting that do not penalise UK-based travel. businesses. • We will work towards the introduction of • We will review the taxation of non-domiciled a new system of HGV road user charging to individuals. ensure a fairer arrangement for UK hauliers. • We will stop central government funding for 30. TRANSPORT new fixed speed cameras and switch to more effective ways of making our roads safer, The Government believes that a modern including authorising ‘drugalyser’ technology. transport infrastructure is essential for a dynamic and entrepreneurial economy, as well as to • We will tackle rogue private sector wheel improve well-being and quality of life. We need clampers. to make the transport sector greener and more sustainable, with tougher emission standards and support for new transport technologies. 31. UNIVERSITIES AND FURTHER EDUCATION • We will mandate a national recharging network for electric and plug-in hybrid The Government believes that our universities vehicles. are essential for building a strong and innovative economy. We will take action to create more • We will grant longer rail franchises in order to college and university places, as well as help give operators the incentive to invest in the to foster stronger links between universities, improvements passengers want – like better colleges and industries. services, better stations, longer trains and better rolling stock. • We will seek ways to support the creation of apprenticeships, internships, work pairings, • We will reform the way decisions are made and college and workplace training places as on which transport projects to prioritise, part of our wider programme to get Britain so that the benefits of low carbon proposals working. (including light rail schemes) are fully recognised. • We will set colleges free from direct state control and abolish many of the further • We will make Network Rail more accountable education quangos. Public funding should be to its customers. fair and follow the choices of students. • We will establish a high speed rail network as • We will await Lord Browne’s final report into part of our programme of measures to fulfil higher education funding, and will judge its our joint ambitions for creating a low carbon proposals against the need to: economy. Our vision is of a truly national high speed rail network for the whole of Britain. – increase social mobility; Given financial constraints, we will have to – take into account the impact on student achieve this in phases. debt; • We support Crossrail and further – ensure a properly funded university sector; electrification of the rail network. – improve the quality of teaching; • We will turn the rail regulator into a powerful passenger champion. – advance scholarship; and 32 The Coalition: our programme for government

– attract a higher proportion of students from disadvantaged backgrounds. • If the response of the Government to Lord Browne’s report is one that Liberal Democrats cannot accept, then arrangements will be made to enable Liberal Democrat MPs to abstain in any vote. • We will review support for part-time students in terms of loans and fees. • We will publish more information about the costs, graduate earnings and student satisfaction of different university courses. • We will ensure that public funding mechanisms for university research safeguard its academic integrity. The Coalition: our programme for government 33 34 The Coalition: our programme for government The deficit reduction programme takes precedence over any of the other measures in this agreement, and the speed of implementation of any measures that have a cost to the public finances will depend on decisions to be made in the Comprehensive Spending Review.

The Government fully supports the devolution of powers to Northern Ireland, Scotland and Wales. As a result of devolution, many decisions made by UK Ministers or in the Westminster Parliament now apply to England only. The Northern Ireland Executive, the Scottish Executive and the Welsh Assembly Government make their own policy on their devolved issues. This document therefore sets out the agreed priorities for the Coalition Government in Westminster. Cabinet Office 22 Whitehall London SW1A 2WH

Publication date: May 2010

© Crown copyright 2010

You may re-use this document/publication (not including the Royal Arms and other departmental or agency logos) free of charge in any format or medium. You must re-use it accurately and not in a misleading context. The material must be acknowledged as Crown copyright and you must give the title of the source document/publication. Where we have identified any third party copyright material you will need to obtain permission from the copyright holders concerned This document/publication can also be viewed and commented on at our website www.hmg.gov.uk/programmeforgovernment The material used in this publication is constituted from 50% post consumer waste and 50% virgin fibre

Ref: 401238 / 0510 Item 7

25 June 2010

HEALTH IN THE EAST MIDLANDS

Synopsis

This report updates Members of the East Midlands Leaders’ Board on current and potential future developments in the health sector.

Recommendations

ƒ In this time of great change, uncertainty and financial austerity, The Directorate of Public Health and Social Care East Midlands (on behalf of Department of Health in the East Midlands and the East Midlands Strategic Health Authority) can see great value in working closely with the East Midlands Leaders’ Board and recommends that the Leaders’ Board formally adopts the Regional Director of Public Health as its Chief Advisor on Public Health matters.

ƒ The newly formed Staying Healthy and Health Inequalities Group, as a key strategic group for health, will be advisory to the Regional Directorate of Public Health and the Regional Directorate of Public Health would welcome the opportunity to provide the East Midlands Leaders’ Board with regular feedback from the work of this group and to discuss with the East Midlands Leaders’ Board their priorities for public health and the potential to make the Staying Healthy and Health Inequalities Group jointly accountable through the NHS and Local Authority structures.

ƒ The Regional Directorate of Public Health would also value the opportunity to inform the East Midlands Leaders’ Board of key health developments affecting the East Midlands over the coming months.

59 Item 7

1. Government Priorities

1.1 ‘The Coalition: our programme for Government’ identifies future health priorities: ƒ A patient-led NHS ƒ Delivering better health outcomes ƒ A more autonomous and accountable system ƒ Improving public health through a new public health delivery system ƒ A focus on reforming long –term care

1.2 In addition, there is an imperative to make substantial management cost savings across the NHS.

1.3 A White Paper on Health Services is expected in July 2010, followed by a White Paper on the Public Health delivery system.

2. Health Issues

2.1 Despite changes in organisations and delivery mechanisms the health priorities remain as articulated in the ‘East Midlands Health Strategy – Next Steps for Investment for Health’: addressing inequalities, particularly in health is recognised as a shared responsibility and the over-arching priority for the East Midlands. Sustainable Development is also identified as a critical issue for the health of EM people. This strategic position has been reinforced by the publication of the Marmot Review: Fair Society, Healthy Lives: A Strategic Review of Health Inequalities in England post-2010.

2.2 The EM Staying Healthy Group has identified the following public health priority areas: Tobacco, Alcohol, Healthy Weight (including physical activity) and Workplace Wellness.

3. Regional Partnerships for Health

3.1 In the past, there was a close relationship between EMRA and the Public Health Directorate, with Investment for Health being an integral part of the Integrated Strategy and the Regional Directorate of Public Health (RDPH) being the Chief Health Advisor to the Assembly.

3.2 Recent partnership successes include the work on establishing the first regional Platform on Food, Physical Activity and Health, the establishment of strong tobacco and alcohol networks, the work on carbon reduction, transforming adult social care, implementation of Valuing People Now outcomes for people with learning disabilities, children’s health and well-being through the Children’s RIEP and joint emergency planning activities.

4. Future East Midlands Health Structures

4.1 No firm decisions have yet been taken in this area.

60 Item 7

4.2 The coalition is committed to the development of a national NHS Commissioning Board, co-ordinating the work of GP Commissioners, with the Department of Health having a greater focus on Public Health. In this scenario, it is possible that Strategic Health Authorities will evolve into Regional Offices of the NHS Commissioning Board and PCTs will become focused on public health.

4.3 The sustainability of all organisations will be subjected to the imperative to reduce the financial deficit.

4.4 The delivery of health objectives is also critically dependent on regional and local structures in other sectors.

5. Recommendations

Members of the East Midlands Leaders’ Board are invited to:

In this time of great change, uncertainty and financial austerity, The Directorate of Public Health and Social Care East Midlands (on behalf of Department of Health in the East Midlands and the East Midlands Strategic Health Authority) can see great value in working closely with the East Midlands Leaders’ Board and recommends that the Leaders’ Board formally adopts the Regional Director of Public Health as its Chief Advisor on Public Health matters.

The newly formed Staying Healthy and Health Inequalities Group, as a key strategic group for health, will be advisory to the Regional Directorate of Public Health and the Regional Directorate of Public Health would welcome the opportunity to provide the East Midlands Leaders’ Board with regular feedback from the work of this group and to discuss with the East Midlands Leaders’ Board their priorities for public health and the potential to make the Staying Healthy and Health Inequalities Group jointly accountable through the NHS and Local Authority structures.

The Regional Directorate of Public Health would also value the opportunity to inform the East Midlands Leaders’ Board of key health developments affecting the East Midlands over the coming months.

Dr Nick J Salfield. Deputy Regional Director Public Health East Midlands

61 EastEast MidlandsMidlands LeadersLeaders’’ BoardBoard

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