Localism Bill

I thank my hon. Friend for that wise remark. One can envisage such binding referendums having a variety of unintended negative consequences. The issue of standards was keenly debated in both Houses. Members and peers made it clear that they supported the abolition of the Standards Board regime and the removal of what was a top-down, bureaucratic system. However, concerns were raised about some aspects of our proposals to deal with local authority standards after the abolition of the Standards Board, and about whether they would ensure the high standards we all expect of local authorities. There was, however, much common ground and we were able to refine and develop our proposals as the Bill progressed through the House of Lords, and thereby get to a position which reassured all parties. All sides agreed that the promotion and maintenance of high standards of conduct was vital; the debate was about how best to achieve that. We have introduced amendments 29 to 36 to address these concerns. They focus on the offence of pecuniary interests, and ensure that there are appropriate defences, such as ““reasonable excuse””. In simplifying our proposals, we have ensured that councillors cannot use their position for financial advantage, but without the danger of criminalising a councillor for an honest oversight or omission. There was a feeling that the provisions dealing with local authority standards after the abolition of the Standards Board needed to be set out in more detail. On Lords Third Reading, following meetings with peers of all parties and cross-Benchers, the Government introduced amendments 15, 20 to 26, 7, 125, 332 and 333, strengthening the standards provisions in the Bill. Local authorities will now have to draw up a code of conduct in accordance with the Nolan principles of standards in public life, which I am sure I do not need to remind Members are selflessness, integrity, objectivity, accountability, openness, honesty and leadership. Central Government will not otherwise prescribe its content, other than to require councillors to register and disclose both their pecuniary and non-pecuniary interests in an open manner. Local authorities will also have to put in place arrangements both to deal with complaints that the code has been breached and for coming to a decision about complaints. Again, we will not stipulate what these arrangements should be.