Local Authority round-up 01/04/19

Brexit

MPs reject Theresa May’s Withdrawal Agreement

On 29 March 2019, MPs rejected Theresa May’s EU Withdrawal Agreement by 344 votes to 286, a majority of 58. The result of the vote means the UK has missed an EU deadline to secure an extension of the Brexit process and leave with a deal on 22 May. Mrs May said the vote would have “grave” implications and the “legal default” was that the UK would leave on 12 April. That meant there would not be enough time to get legislation through to avoid a no-deal Brexit, she added. Mrs May now has until 12 April to seek a longer extension to the negotiation process to avoid a no-deal Brexit on that date.

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Prime Minister vows to resign if deal is passed

In a statement to Tory backbench MPs on 27 March 2019, Theresa May said: “I am prepared to leave this job earlier than I intended in order to do what is right for our country and our party.” Mrs May said she knew that Tory MPs did not want her to lead the next phase of Brexit negotiations “and I won’t stand in the way of that”. Labour leader Jeremy Corbyn tweeted that Mrs May’s announcement “shows once and for all that her chaotic Brexit negotiations have been about party management, not principles or the public interest”. In the meantime efforts to persuade MPs to back Theresa May’s Brexit deal will continue.

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House of Commons (HoC) holds indicative votes in first stage to identify way forward

On 27 March 2019, the HoC held indicative votes on a series of motions that suggested different ways forward relating to the UK’s withdrawal from, and future relationship with, the EU. These indicative votes were not supported by the Government. The strongest contenders from the votes were: (1) customs union: 264 for; 272 against; (2) confirmatory public vote: 268 for; 295 against and (3) Labour’s alternative plan: 237 for; 307 against. The results of the votes on 27 March 2019 (and any on 1 April 2019) only have political force, not legal force. However, it is possible that if the Government does not signal its willingness to implement a majority view of the HoC (and if the “meaningful vote” on the deal does not pass), the HoC might move to legislate for any majority way forward identified.

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Institute of Directors (IoD) calls on MPs to take account of the views of business leaders

The IoD has released statistics from an IoD Policy Voice survey, which showed members favoured alignment on Single Market rules and tariffs to gain EU market access, albeit with a minority in favour of diverging. Accordingly, Interim Director General Edwin Morgan stated: “Politicians who claim to prioritise the UK’s future economic success must take account of the views of business leaders, who understand better than anyone the impact of the changes that are coming to our relationship with our largest trading partner”. Mr Morgan added: “Conflicting views among MPs are understandable, and business does not have a unanimous view either, but now is the moment to accept that every course of action creates both risks and opportunities”.

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Government responds to petition calling for Brexit to be cancelled

The Government has officially responded to the record-breaking petition, calling for Brexit to be cancelled, which has passed more than 5.75 million signatures, and will be debated by MPs on 1 April 2019. The Government said it “acknowledges the considerable number of people” who have signed it, but revoking Article 50 would “break the promises” made to voters. Debates will also take place on two other petitions: one, which has passed 120,000 signatures, calling to hold another EU referendum. Another, which has passed 140,000 signatures, calling for the UK to leave the EU with or without a deal on the original Brexit date of 29 March.

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Government publishes trade remedies guidance

On 25 March 2019, the Government announced the withdrawal of its existing guidance on the UK trade remedies regime, that will apply in a no-deal Brexit scenario, and replaced it with fresh guidance. The new guidance explains how the Trade Remedies Investigations Directorate will investigate if new anti-dumping or anti-subsidy measures are needed to counteract unfair trading practices, and if safeguard measures are needed to counteract unforeseen surges in imports which risk damaging UK businesses, after Brexit. The guidance explains what counts as dumping, what counts as a subsidy and what is a safeguard measure and the procedure by which the UK will be able to implement trade remedies measures.

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MPs vote to take control of Brexit process for indicative votes

On 25 March 2019, the House of Commons (HoC) voted to debate and vote on alternative ways forward, and identify those that might command a majority. In a statement to the HoC on 25 March 2019, the Prime Minister said there was still not sufficient support to bring back the deal for a third “meaningful vote”, and stood by the Government’s previous commitment to work across the HoC to find a majority on a way forward. She expressed scepticism about the indicative vote process, and said that she cannot commit the Government to delivering the outcome of any votes held by the HoC.

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Government publishes guidance for businesses to register on new service for chemical regulation

The Government has published guidance on how businesses can register on its new UK IT service for chemical regulation. If the UK leaves the EU without a deal, UK businesses that manufacture or import chemicals will have to register under UK REACH, which will replace EU REACH. The guidance explains the specific steps a business must take to register a chemical online under UK REACH. From exit day, the new online system will allow businesses: that have existing UK-held REACH registrations to validate their registrations (“grandfathering”); that import chemicals from the EEA to submit downstream user import notifications; and to register new substance registrations or product and process orientated research and development notifications.

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We have created a Brexit checklist to assist businesses with the various challenges and opportunities presented by Brexit. Please click here to view.

Commercial

Labour pledges to end outsourcing of services dealing with ‘at risk’ people

The Labour Party has pledged to end the outsourcing of services that involve contact with people who are considered to be ‘at risk’. Under Labour’s plans, whenever a contract expires or is terminated, central or local government will be required to assess whether that service involves significant contact with ‘at risk’ groups. If the assessment concludes that the service deals with the relevant groups, then statutory guidance will be to bring the service back in house. However, the relevant authority will not be required to bring the service in house if the contract does not fall under a statutory definition of ‘relevant contract’ or if the value of the contract is below a certain threshold.

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Council tax set to rise by 4.7% in April

Average council tax bills in England will rise by 4.7% in 2018-19, according to figures released by the Ministry of Housing, Communities and Local Government. The levy on an average Band D property will go up by £78 to £1,750, the Government said, in part owing to the cost of policing and adult social care. More rural areas, described as “shire” areas, will see the biggest typical rise – up £82 to £1,826 for a Band D property. Councillor Nick Rushton, leader of Leicestershire County Council, said: “No-one wants to put up council tax, but many of us have very little option with county authorities facing the most severe financial pressures.”

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Government announces £36 million funding for the Great British Coast

The Government has announced 70 projects up and down the Great British Coast which have been awarded a total of over £36 million from a UK Government fund, to help develop and improve tourist attractions, create jobs and promote socio-economic growth. The 26 Coastal Communities Fund projects are forecast collectively to support over 15,000 jobs, and attract up to £40 million in additional investment from public and private sector sources. Communities Secretary, Rt Hon James Brokenshire MP said: “I am determined to support investment and development of our coastal communities and create an economy that works for everyone as we prepare for Brexit and beyond.”

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Regulatory

UK to adopt vehicle speed limiters

The European Commission has provisionally agreed the implementation of new rules which will see the introduction of speed limiting technology. Safety measures approved by the European Commission included intelligent speed assistance (ISA), advanced emergency braking and lane-keeping technology. The Department for Transport said the system would also apply in the UK, despite Brexit. Under the ISA system, cars receive information via GPS and a digital map, telling the vehicle what the speed limit is. This can be combined with a video camera capable of recognising road signs. Ford, Mercedes-Benz, Peugeot-Citroen, Renault and Volvo already have models available with some of the ISA technology fitted.

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LGA responds to annual road maintenance survey

On 26 March 2019, the Asphalt Industry Alliance published its Annual Local Authority Road Maintenance survey, which reports that, for the second consecutive year, councils’ highway maintenance budgets have increased by almost 20%. For councils in England and London this included a share of £420 million additional funding allocated in the November 2018 Budget. Responding to the survey, the LGA said: “Extra one-off funding announced in the Budget will help councils continue to try and improve roads this year but the Spending Review needs to provide councils with long-term and consistent funding to invest in the resurfacing projects which our road network desperately needs over the next decade.”

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Councils urge Government to fund sprinkler installations

In a letter to the Prime Minister, the Deputy Mayor of London and eight core cities and councils call on the Government to fund the installation of sprinklers into all council and housing association-owned residential buildings above 18 metres. It claims that there is now “growing support” for the retrofitting of sprinklers, which has backing from multiple organisations, including the All-Party Parliamentary Fire Safety and Rescue Group, National Fire Chiefs Council and the Royal Institute of British Architects. Signatories include the leaders of Leeds, Newcastle and Nottingham city councils and Liverpool City Council mayor Joe Anderson.

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Planning and housing

Local Government Association (LGA) survey reveals rise in temporary accommodation use

According to a survey conducted by the LGA, 8 in 10 councils have seen a rise in homelessness presentations since the introduction of the Homelessness Reduction Act 2018 (the Act). 6 in 10 councils also said it had increased the number of people being housed in temporary and emergency accommodation. LGA housing spokesman Cllr Martin Tett, said: “The wider factors that are increasing homelessness also need to be addressed if the Act is to be a success. Councils need to keep 100 per cent of Right to Buy sales receipts to replace homes sold and to adapt welfare reforms to protect families at risk of homelessness and prevent homelessness from happening in the first place.”

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Government confirms £46 million homelessness funding

In a written statement to Parliament on 25 March 2019, the Ministry of Housing, Communities and Local Government announced the allocation of a further £46 million Rough Sleeping Initiative funding to support those sleeping rough, and those at risk of sleeping rough, in 246 council areas. It is estimated that the money will provide funding for up to: 110 rough sleeping coordinators to improve local handing of the issue; 300 outreach workers; 350 other support and specialist roles; over 1,400 new emergency bed spaces, including winter night shelter provision; over 700 new long-term beds, including in the private rented sector and supported housing; and more than 500 new temporary spaces, through hostels for example.

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LGA responds to report on building new homes

An analysis of councils’ Brownfield Land Registers, published by the Campaign to Protect Rural England, demonstrates the huge potential that building on derelict and vacant land has for the regeneration of towns and cities, as well as the provision of new homes. Responding to the analysis, LGA housing spokesman Cllr Martin Tett said: “Councils are committed to bringing forward appropriate sites and ensuring homes are built where they are needed, are affordable, of high-quality and supported by adequate infrastructure and services. This timely report highlights the availability of sites across the country to deliver enough homes and infrastructure to begin to address the national housing shortage we face.”

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If you have any questions about the issues raised in this update, please do not hesitate to get in touch.