The proposed National Assembly for Wales (Legislative Competence) (Local Government) Order 2009 is the twelfth Legislative Competence Order on which the Welsh Affairs Committee has reported. The Order will give the Assembly powers in respect of the structures and work of local government in Wales at all levels. The Welsh Assembly Government has requested this power because it wishes to develop and strengthen the role of community councils and councillors in Wales. The proposed Order will allow the Welsh Assembly Government to fulfil its commitment to seek legislation to address issues identified in the 2003 'Aberystwyth Report'. The Committee agrees that a clear need for the proposed LCO has been identified and is consistent with the Government's commitment to build up the capacity of town and community councils. The proposed Order is drafted in broad and accessible terms with the minimum of exceptions and interpretation. The Committee is concerned, however, that there are now many terms used to describe the various tiers of local government in Wales and agree with the suggestions put forward that the Minister should speedily undertake a review of terminology relating to local government. Specifically the term 'community' is cited as having various meanings dependent on context. Furthermore, given that there have already been several LCO proposals identified in terms of local government, to call this the National Assembly for Wales (Legislative Competence) (Local Government) Order introduces the potential for confusion. A title such as 'National Assembly for Wale (Legislative Competence) (Community Councils) Order or similar is suggested

The effect of this proposed LCO would be to devolve wide-ranging legislative competence for social housing policy to the National Assembly for Wales. The terms of the proposed Order include the provision of social housing, provision by local authorities of caravan sites for use by gypsies and travellers, measures to tackle homelessness, and council tax payable in respect of dwellings that are not the main residence of an individual. The current proposal is a revision of an earlier, much narrower, affordable housing LCO laid before Parliament in 2008, which was criticised because the terms of the LCO went much wider than the policy purposes described to us by the Minister in her evidence. The Committee believes that there is indeed a demand in Wales for comprehensive social housing legislation for Wales, to include the regulation of social housing providers and reform of tenure law. It concludes that the current Order is a logical extension of the current devolution settlement and, with minor technical changes outlined in this Report, is content that it should proceed. The Committee reiterates its continuing concerns about the naming of LCOs. There is now a number of draft or proposed Orders with similar titles. The recommendation is that LCOs should be given a simple title which conveys the actual subject of the Order to the general reader.

Incorporating HC 1110, session 2008-09

The effective operation of devolution stands the best chance of success if both the UK and Welsh governments share knowledge and understanding, concludes the Welsh Affairs Committee in this report. The Committee makes a number of recommendations to improve the relationship between Wales and Whitehall. A broad review of how intergovernmental relationships are coordinated is required. The Joint Ministerial Committee should meet on a regular basis and ministers at all levels should be alert to the consequences of policy and legislation on devolved areas. The Cabinet Office should take lead responsibility for devolution strategy in Whitehall. Whitehall has lost a focus on the devolution settlement and too often has displayed poor knowledge and understanding of the specificities of the Welsh settlement. The Civil Service needs more consistent training and clear department-by-department focus on retaining devolution knowledge and understanding. The Welsh Assembly Government should have the confidence to interact with Whitehall and to promote areas of good practice. The Cabinet Secretary and the Permanent Secretary to the Welsh Assembly Government should give evidence annually to the Welsh Affairs Committee. Finally, reform of the Barnett Formula is required. The current financial settlement does not appear sustainable and a new arrangement needs to be built on an agreed and enduring basis which is demonstrably fair and sensitive to the particular circumstances of Wales.

proposed Legislative Competence Order relating to school Governance : Seventh report of session 2009-10, report, together with formal minutes, oral and written Evidence

Additional written evidence is contained in Vol. 2, available on the Committee website at www.parliament.uk/welshcom

On cover and title page: House, committees of the whole House, general committees and select committees