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Natural Environment and Rural Communities Bill

Amendments Nos. 334 and 335 seek to make it obligatory for the Secretary of State to give a minimum period of notice before terminating an agreement under Part 8 of the Bill. I appreciate why this is proposed but there are sound reasons for allowing the Secretary of State to cancel an agreement at any time. The provisions, as they stand, enable the department to step in quickly in the event of a body failing to carry to out a function satisfactorily under an agreement. At the extreme if there were misbehaviour by the body, the Secretary of State would be able to step in immediately. In those circumstances a Minister could be criticised by Parliament if there was a failure to take appropriate action. I must stress that our intention is to establish stable, long-term arrangements with bodies for delivery of functions under Part 8 agreements. We understand the points made by the noble Duke about the need for bodies to feel secure under these arrangements in order to invest in providing these services. In practice we will, of course, give as much notice as we reasonably can in the event that it becomes necessary to cancel an agreement. We will be giving careful thought to how we frame these agreements in order to provide reasonable assurance—to which the noble Duke referred—to a body that it will not be unfairly disadvantaged, financially or otherwise, in the exceptional event of premature termination. We will thus follow contract law principles in drafting the terms of the agreement to ensure that a body will not be unfairly treated and the precise terms and conditions of each agreement will be subject to careful consideration, taking into account any of the concerns over potential losses that a body may suffer as a result of early termination. I hope that I have reassured the noble Duke. I was pleased to have an opportunity to place those comments on record.