Kew Gardens (Leases) (No. 3) Bill [HL] — House of Lords, 2019-06-05
Topic: Housing
Dale Norman Campbell-Savours (Labour, Centre-left): My Lords, I intervened in Committee and put to the Minister a series of questions to which I hoped he might give me the answers in writing. They have not come, so perhaps he might ask officials to consider the questions I asked during that debate. The most important protection for the land at Kew Gardens has been the fact that leases could be granted for a maximum of 30 years. The moment you transform that system and change the arrangement such that you can grant leases of up to 150 years, you transform the discussion about the future of that land and its potential use by developers. Even though covenants and restrictions will be in place, developers will look seriously at the long-term potential of the use of the land The question for me is: what has been Parliament’s intention during the passage of the Bill? As I have understood it, it is to ensure that no commercial development takes place on the site and that residential development should be restricted to a very small proportion of the land. I am not convinced by that. Parliament is being naive in thinking that the position will remain the same for the next 150 years So last night, lying in bed at midnight—as happened on the previous occasion—I went through the documentation that the Minister has provided for us in the past week. That is the framework document, from which I want to cite a number of paragraphs in support of my case Paragraph 27.1 refers to a "light touch" annual review of the framework document. It then talks about three-yearly full reviews. What will happen at the end of three years, six years, nine years, 12 years, 15 years, 18 years or 21 years? At what stage do Ministers envisage being under pressure, because the Secretary of State retains powers in these areas, to change the arrangements for future development possibilities on that site Paragraph 28.2 confirms the sharing arrangements for developers’ gains—so in the framework document there is recognition that there will be developers’ gains in the future. I am sure developers will study that closely. It may be that, because the intention of Parliament is not altogether clear, lawyers pore over our debates. I am not a lawyer, but I am told that they often refer to parliamentary debates to try to identify what the intention of Parliament was when a particular Bill went through Paragraph 7.4 refers to a requirement on Kew, "to maximise opportunities to increase income" Again, that is a pressure point on Kew to maximise income available from the site. In my view, it would be for the development of commercial and residential property Under paragraph 7.2, the Secretary of State can set conditions on grant-in-aid funding. In other words, they could pressure Kew to maximise alternative income streams when deciding on the grant-in-aid funding to be made available in any particular year Paragraph 21.1 emphasises the requirement for Kew to have regard to "efficiency, costs and resources"—again, that is a pressure In paragraphs 23.2 and 23.3, there is a requirement to avoid balances. Under the agreement as I understand it, Kew must not pursue a policy of having balances at the ends of years. In other words, it cannot save money in that way, which will in itself put pressure on resource availability—so much so that I believe that it will seek profits from the development of land on the site. In paragraph 25.1, a process is set out for Defra’s approval of breaches of the MPM rules, guidance and advice, and in paragraph 9.2 there is a requirement on the Secretary of State to sign off land sales. This, of course, works both ways: it can put a block on sales, but on the other hand it could serve as a notice to future generations that in 2019 it was envisaged or foreseen that land sales would inevitably take place. The question is: what land? I am not suggesting for one moment that it will be land in the body of the site, but I believe that that site has rich future potential and that developers will look at it and argue that, on the periphery of the estate, particularly near the river, there is potential for substantial development In Committee, I pointed to a footage price for flats on the present market. Flats down there would sell, even in today’s market, at £1,500 per square foot. That property in the future, on the river at Kew, will fetch far more money than even today’s prices, because it will become prime property. Ministers have completely underestimated the pressure that will be put on the trustees and the people who will be running Kew in the future to maximise their profits through property development on that site. I heard nothing during the debate in Committee that in any way interferes with my view. I believe that that is what will happen, and what we have in the Bill offers insufficient protection, despite all the conditions that the Minister referred to in his responses on that previous occasion.