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Local Government (Devon, Norfolk and Suffolk)

I wish to home in on the two compelling reasons about which we have heard so much in the debate on this important issue, although the Government have not disclosed what evidence lies behind those compelling reasons. The reason why Ministers felt able to depart from the criteria—[Interruption.] It is very appropriate that as I am about to speak about the situation in Exeter, the Secretary of State for Culture, Media and Sport, the right hon. Member for Exeter (Mr. Bradshaw) should grace us with his presence. The first reason given by the Minister of State is economic regeneration, because, she claims, a unitary Exeter would be a far more potent force for delivering positive outcomes, both for the city and more widely, than the status quo two-tier local government. What is the evidence for that? I asked the Minister that question in an intervention, and she said that when the Exeter city councillors came to see her, they made a very good presentation. But that is not evidence to support the proposition that a unitary Exeter would be better at attracting inward investment and economic regeneration than the situation that has prevailed for many years and has been astonishingly successful over the last few years—the two-tier system of Devon county council and district councils working alongside it. I have some experience in this area, because much of the future development land for Exeter lies outside the city boundaries, and in my constituency there is a place called Langage, which is a significant growth point for Plymouth. It is currently virgin land, but it is intended that factories and commercial buildings will be built, creating many thousands of jobs and employing many of my constituents. That site is within Devon county council's area and on South Hams district council land, but it is a growth point for Plymouth. I have attended many meetings with the regional development agency, someone from South Hams, someone from Devon and someone from Plymouth, all trying to reach agreement on the development of that land. As it is intended to be the site for much of Plymouth's growth, it would be better if that land were inside Plymouth city's boundary. My point is that it is much easier to try to make decisions when fewer local authorities are involved. The Minister proposes that Exeter should have not two authorities—the county and Exeter district—making decisions, but three local authorities, just as we have on the outskirts of Plymouth. Those will be the unitary Exeter council, Devon county council and whichever district council covers the area. How can that be a more potent force in attracting inward investment and economic regeneration? It simply does not make sense, and it is definitely not a compelling reason. Instead, it is a blind leap of faith. We have also heard much about the second so-called compelling reason. The Minister has told us that a unitary Exeter could open the way to improvements in the quality of public services, and she places great store on the whole concept of Total Place. As we understand it, Total Place is all about different agencies and Departments—health, police and local authorities—working together to deliver services to the local community. It is about joined-up thinking, joined-up Government and joined-up delivery of services. However, the Minister is now claiming that that can be better achieved by a unitary council, which seems to defeat the purpose of Total Place. If the police, the health authority, councils and other agencies can work together, so can a county council and a district council. It is all part of joined-up thinking and the delivery of services. Citing Total Place as another reason why this decision has been taken in the face of the five prevailing criteria does not make sense. The Minister has gone against the independent boundary committee, against her predecessor's judgment and against the advice of her permanent secretary. No wonder the permanent secretary has written such a strong letter, which was read out earlier by my hon. Friend the Member for Bromley and Chislehurst (Robert Neill). It is couched in civil service-speak, but those of us who have been Ministers know exactly what the permanent secretary is saying to the Secretary of State. He is saying, "Are you out of your mind? Do not do this, because it will be a disaster. If you proceed, you must instruct me in writing so that I have a get-out when it goes belly up, which it will." He is saying, "Don't do this. You're making a huge mistake." We have asked about the evidence, but answer came there none. It is instructive and useful to look at what has happened in the rest of Devon and Cornwall in the transition to unitary authority government. My hon. Friend the Member for Tiverton and Honiton (Angela Browning) made a few comments the other day, and in part she is right: it has taken time for Plymouth to settle down as a unitary authority—possibly five years. During those five years, a lot of taxpayers' money was wasted. It is fair to say that it has now settled down as a unitary authority, and is improving and giving good value for money. Torbay is also improving, but it has had its challenges. One reason why it has not really prospered is that, for a unitary authority, it is very much on the small side. Yet Torbay is larger than Exeter, and there is no guarantee that Exeter can deliver the services. Cornwall has recently become a unitary authority, but it is taking a great deal of time to settle down, and the cost was far higher than was ever anticipated. I hope that the Under-Secretary of State for Communities and Local Government, the hon. Member for Stevenage (Barbara Follett), in her winding-up speech, will address a point that the Minister did not mention earlier. It is commonly accepted that the transition to a unitary authority in Exeter, if it goes ahead, will cost £25 million. Where will that money come from? It is certainly not in the current coffers of Exeter city council. The proposal is not viable, and flies in the face of common sense. Then we come to another point. This decision will not just affect the people of Exeter; it will profoundly affect the people of the rest of Devon. I cannot imagine a Devon county council without its county town—it is like ripping the beating heart out of a living body. It is difficult to anticipate how it will continue to function, and Devon county council estimates that it will cost every council tax payer in Devon £200 per annum more—simply to appease the Government's strange desire to bring about this outcome. It will affect not only the people of Exeter but the people of Devon. The Minister might say, "You all came to see us to say that you don't want unitary authorities in Devon. Okay, but what is the right way forward?" The right way forward is staring us all in the face: co-operation between Devon county council and the district councils, enhanced two-tier status, the sharing of services, the reduction of overheads and working together in partnership, which is happening more and more every year. Devon is becoming an exemplar of how councils can operate together. The Government would have been well advised to leave this all alone. I hope that this proposal will be rejected in another place—and if it is not, I hope that the law courts will throw it out.