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High Streets (Built Environment Committee Report)

My Lords, it is an absolute pleasure for me, as the new chairman of the Built Environment Committee, to open this debate on the importance of the high street. In doing so, I put on record my own thanks to the then members of the committee—including my predecessor, my noble friend Lord Moylan, who chaired this inquiry. I also thank the team of officials who helped the committee, our witnesses and those who submitted evidence. Thanks must also go to the Government for securing time for this debate.

Emperor Napoleon famously said that we were “a nation of shopkeepers”. By the time he said that, high streets were already well and truly established. Although it was meant as a derogatory slight, it spoke to some truth about our nation at the time and, to some extent, to this day. Over the centuries, high streets have remained a constant, where communities have come together to shop, to socialise and to work. They provide vital economic infrastructure and a space for people to meet and trade, to see and be seen. Yet they have of course evolved over time, reflecting changes in trade, retail, technology and society.

However, in recent years, high streets have faced extraordinary challenges. In 2023 alone, more than 10,000 high street shops closed across the UK. People up and down the country have felt the loss of their local clothes shops, pharmacies, pubs and banks. Although retail will remain a feature of the modern high street, there is now greater demand and, indeed, opportunity for restaurants and leisure activities—as well as for more public services, such as health centres and libraries—in town centres.

What communities want and what can be sustained on the high street is constantly changing, so the committee suggested that a “fixed vision” and a “monolithic approach” to their future should be avoided. Local authorities,

communities and businesses need to work together to shape high streets that reflect local conditions and are adaptable and resilient. It is crucial that local businesses are involved and empowered to play a part in the regeneration of a high street, and that residents are involved in the decision-making.

High streets will thrive only if people can get to them easily and safely. Traditional high streets are in competition with the convenience of parking arrangements in out-of-town developments, so access by car and sufficient parking are necessary for commercial sustainability and accessibility, combined with better public transport connectivity, particularly through improved bus networks.

As retail occupancy declines and leaves behind vacant units, cafés and restaurants have taken their place. The committee noted that, due to

“wider economic circumstances, consumer preferences and the rent levels landlords seek to remain financially viable may result in the dominance of certain business types”.

For example, there has been a rise in the number of charity shops, which benefit from substantial business rates relief and often have lower staffing costs, making them better able to afford high street rents. Fast food businesses were also cited as being better able to afford tenancies.

Public authorities are also tentatively moving public-facing services, such as surgeries and libraries, on to high streets. This can both improve access to those civic functions and increase footfall to sustain local businesses. The committee found that, in needing to appeal to all sections of society and ages, people should feel safe through better light, clear sightlines and mixed use of properties; that more green space and an “improved public realm”, while not able to withstand the tide of change, have a role to play; and that there needs to be better access to toilets, especially for older people and those with young children. The committee also noted the importance of recognising and celebrating the local history of an area to encourage pride.

The planning system, taxation and funding can all impact the success or failure of projects to revive local places. The Government’s local growth funding reforms must ensure that high streets are enabled to flourish in the long term, and that those responsible for their future have enough expertise to deliver improvements. The Government should recognise that local authority bidding for central funding has become expensive and wasteful and should consider replacing that approach with a transparent system of funding distribution that commands greater confidence.

There are too many recommendations to mention them all today—many of them seem common sense and, to me at least, easy to implement—but there is one final thing I wish to say. The committee received a response from the Government at the start of the year. While we appreciate their response and stated commitment to high streets, ultimately we felt disappointed that the response did not adequately address all our points. We respectfully urge the Government to look again at our report and do their utmost to enable local authorities and other stakeholders to ensure that the nation’s high streets survive and thrive for the next generation.

As a relatively new chair, as I have said, you inherit the sterling work of others and so you are able to come to past work completely afresh. When I was informed

that I would have to lead this debate, I was a little nervous as to what the report said—that I would perhaps have to try valiantly to look for something upbeat and positive to say, hold back my personal views and speak through gritted teeth. But I can say, hand on heart, that I found this report refreshing. It is neither stale nor desperate to cling to some nostalgic world long gone by. It is brutal in its analysis and thorough, but also realistic about the prognosis and how high streets can flourish.

High streets continue to hold a special place in the nation’s hearts and will continue to do so in years to come. Across the country, members of the committee heard about local communities, businesses and authorities working together to respond to societal change and build thriving town centres. With the right support and empowerment, there is no reason why high streets cannot continue to be the centre of communities in future. I personally and sincerely hope that councils, the Government, local businesses and communities genuinely see this as an opportunity not just for debate but for change and local growth. I look forward to listening to all noble Lords’ contributions. I beg to move.

3.52 pm