My Lords, I thank the noble Lord, Lord Hunt, for tabling the Motion. It is important that, in the—albeit brief—debate that we have just had, your Lordships’ House reviewed and discussed the important issue of the Kerslake report. I join other noble Lords in recognising the sterling work done by Sir Bob Kerslake in the review of Birmingham, and look forward to welcoming him to your Lordships’ House. He and his team have clearly shown that Birmingham—both the city and the council—are some way from fulfilling their full potential, and indeed their past potential, which noble Lords talked about. The challenges they face are deep-rooted and there are serious problems that they need to face up to, such as an underperforming economy, poor local services in certain respects and no credible plans to address the council’s very significant budget difficulties. That England’s second city faces such challenges is something that should concern us all. I am therefore extremely grateful to the noble Lord, Lord Hunt.

I apologise to the noble Lord, Lord Hunt. I was seeking to meet him in advance of this debate and perhaps speak to him on Sunday. However, being a father of three and it being Mothering Sunday, I was under strict orders not to look at the phone in the key hours of the day. I apologise that we were unable to talk earlier.

I recognise and share many of the concerns that the noble Lord, Lord Hunt, has expressed. Indeed, I found myself in total agreement with the speech of the noble Lord, Lord Rooker. In particular, I listened with great attention to his description of the Labour Party conference. Not having attended one myself, I bow to his view of how the plenary, and indeed the fringe, sessions proceed. Nevertheless, I thank all noble Lords, and the noble Lord, Lord McKenzie, and Her Majesty’s Opposition, for their support for this order. It is important that we come together in ensuring that the great city of Birmingham realises its full potential.

We believe that the change to the election cycle in the city of Birmingham is critical to securing the fundamental reforms that the city needs. The current pattern of elections by thirds has not helped Birmingham’s ability to take strategic decisions. There is, as we all recognise, an inability to focus on the longer-term problems that are holding the council back, including transforming services. When we are children, we are often told not to do things by halves—or by thirds, in this case—so perhaps a move to whole-council elections will give the council the impetus that it needs. It will give a four-year stable mandate and facilitate the strategic decision-making that we all desire. It will enable the council more effectively to take those longer-term decisions and forge a strategic and long-term vision for the future and the city as a whole.

The approach of moving councils where reform is imperative to holding whole-council elections is not unprecedented. The previous Labour Government did this in the case of Stoke-on-Trent and we have done this for Doncaster Metropolitan Borough Council, where the first full-council elections will take place in May this year. More generally, the Government are on public record as recognising the benefits of whole-council elections every four years. In our White Paper response to my noble friend Lord Heseltine’s report on promoting economic growth, No Stone Unturned:In Pursuit of Growth, we said that,

“the Government welcomes the adoption anywhere of four-yearly whole council elections”,

while recognising that this was generally a matter for local choice.

The noble Lords, Lord McKenzie and Lord Hunt, raised the issue of the order being made so quickly. I recognise that, following the publication of Sir Bob’s report, matters have moved swiftly and continue to do so. I take this opportunity to apologise to the noble Lord, Lord Hunt, for not alerting him earlier to the further order, which we laid on Friday, which will shift the date for the first whole-council elections from May 2017, as recommended by Sir Bob Kerslake, to May 2018. I shall explain both why we are moving so quickly and why we have changed the start date.

First, as the noble Lord, Lord Hunt, recognises, the situation in Birmingham is serious. Indeed, all noble Lords who took part in the debate made that point. Fundamental reform is essential and needs to be driven forward as quickly as possible. We quickly established the Birmingham independent improvement panel, led by Sir John Crabtree, a highly respected figure in the city whose lifelong commitment to the well-being of Birmingham is known to all. The panel’s role is to provide challenge and advice to the council as it follows its improvement journey in response to the Kerslake report. The council quickly set to work to draw up an action plan to implement the Kerslake recommendations made to it and is now seeking to finalise this, working closely with the improvement panel.

Along with recommending a change to whole-council elections, the Kerslake report recommended that the Local Government Boundary Commission for England undertake an electoral review. The aim of this review, when linked with a move to whole-council elections, is to move the council away from having three-member wards and to enable there to be a smaller council. Such a council, with many single-member wards, will be better able both to represent local people and more effectively to take the tough decisions needed to address the challenges that Birmingham faces. The boundary commission has already started its work. Before it can get to grips with its review, it needs certainty about the pattern of elections that the council will hold, hence the urgent need for any order changing the pattern of elections to be made as soon as practicable.

That is what we did. We made the order on 21 January; we laid it before Parliament on the 22 January; and it came into force on 16 February. It implemented fully the Kerslake recommendations, including the start date recommended by the report. We knew that this report had been prepared following many meetings with residents, business leaders, community and faith leaders, the voluntary and community sector, local politicians, council officers, front-line staff, and representatives of other public services. The review heard the views of more than 350 people and received 80 submissions of written evidence.

However, with the order having been made, some suggested that 2018 would be a better year in which to hold the first whole-council elections. This is because Birmingham, like the other West Midlands authorities, would then continue to have no local elections in 2017, 2021 and so on. It would also avoid councillors being elected for just a one-year term, which would be the case for those elected in 2016 if the first whole-council elections were in May 2017. Our sole aim is to do what is best for Birmingham. We have been persuaded that a 2018 start date is on balance better than the 2017 start date, even though it means that a renewed council with a clear four-year mandate will not be in place until one year later.

I assure noble Lords that I fully take on board the points that have been made during this debate. In particular, the noble Lord, Lord Rooker, talked about the importance of training for officers and councillors. That is a very important point to reflect on, because, too often, people put themselves forward for office without perhaps fully understanding the nature of their role and its importance in decision-making.

The noble Lord, Lord Rooker, drew an important distinction between the roles of elected members and officers. Training and the renewal of such training are important not just in Birmingham but around the country.

I am confident that these orders provide a firm foundation for the many changes that are needed in Birmingham—challenges that I know the noble Lord, Lord Hunt, knows only too well. There is an overwhelming consensus that the council cannot carry on any longer as it is. The issues are deeply rooted and will not change overnight, but a start needs to be made now. This order is part of the start and I commend it to the House.