18:31 Llinos Medi (Plaid Cymru)

(3D) A ‘climate and nature duty’ means a duty to achieve any targets set out under Part 1 of the Climate Change Act 2008 or under sections 1 to 3 of the Environment Act 2021.”

(a) the United Kingdom’s Net Zero targets;

This new sub-section would require the Crown Estate Commissioners, in reviewing the impact of their activities on the achievement of sustainable development, to have specific regard to the United Kingdom’s Net Zero targets, regional economic growth, and resilience in respect of energy security.

Wales has immense renewable energy potential in our windy seas and long coastlines—we can see that demonstrated in the Morlais project on Ynys Môn—but the seabed, along with thousands of acres of land, is controlled by the Crown Estate. Renewable energy projects using these resources are expanding rapidly and delivering profits. We see that in the value of the Crown Estate, which sky-rocketed from £96 million five years ago to £853 million in 2023. However, all profits generated by the Crown Estate in Wales are transferred to the Treasury. This green wealth, just like the wealth from coal and other minerals in the past, is being sucked out of our nation. Millions of pounds generated on the Welsh Crown Estate is taken out of Wales each year, away from our communities who have borne the brunt of decades of economic decline.

And of course there is our climate crisis: wildfires in California, torrential rain in Spain, and extreme heatwaves and longer droughts. Even walking through the village of Angle in Pembrokeshire with members of the local community council, it is all too easy to see the increase in frequency of flooding, not to mention its damaging impact on residents and local farmers.

Prior to the general election of 4 July, my right hon. Friend the Chancellor set out her economic vision of securonomics: we would make, sell and buy more in Britain, and so deliver energy security and create good, well-paid jobs while tackling the climate crisis. My Labour colleagues and I stood for election on that manifesto, and it is time to deliver. At a time when the challenges are so great and the need for leadership is so acute, it is vital that the Crown Estate has greater scope to rise to those challenges and do its part for the revitalisation of our great nation.

Under amendment 5, the commissioners must have regard to net zero, regional economic growth and energy security. It would not impede the independence of the Crown Estate, but would provide unambiguous purpose and direction on an otherwise undefined and unexplained term. It should therefore be welcomed.

Of course, a key issue for all of us in the United Kingdom, and certainly for us in Northern Ireland, is the fishing sector. Any net zero development, such as a wind farm—wind farms have been proposed for my constituency in the past—could have a direct impact on the fishing sector there. Does the hon. Gentleman share my concern that the fishing sector could be impacted by measures that take away the opportunity to fish in the seas around this United Kingdom of Great Britain and Northern Ireland, to the detriment of those in the sector, and their families?

Off the back of Labour’s resounding victory last July, we know there is democratic consensus across the nation on our economic vision, which promotes energy security, regional economic growth and net zero, yet the Crown Estate appeared to be relying on the window dressing of ESG standards to obfuscate its desire to maximise its 12% of profits, at the expense of our nation.

Furthermore, other Government agencies and Departments have to take account of this economic vision. In its latest contract for difference round, the Department for Energy Security and Net Zero set a criterion of achieving shorter supply chains, in order to ensure that manufacturing facilities, installation firms and ports are located in areas of deprivation. It also adheres to science-based targets, which are goals that businesses set to reduce their greenhouse gas emissions in line with obligations under international treaties, so that we can reach net zero by 2050.

The national wealth fund has an overall goal of increasing investment in resilient and sustainable infrastructure to support the UK’s net zero transition, and to contribute to improved local economic opportunity and productivity. In partnering with the private sector and local government, the national wealth fund has two clear strategic objectives: to tackle climate change and to support regional and local economic growth.

Great British Energy facilitates, encourages and participates in the production, distribution, storage and supply of clean energy, the reduction of greenhouse gas emissions, improvements in energy efficiency and measures for ensuring the security of energy supply.

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18:45 Judith Cummins (Labour)

It is a pleasure to contribute this evening. I will speak in favour of the Bill and address some of the amendments and new clauses, although there probably is not time to address them all. The Bill is an important and necessary step to help the Government take speedy action to tackle the climate emergency, and to help ensure energy security. It modernises the management of the Crown Estate, as we have heard, which potentially is a sleeping giant of green energy provision. The estate is responsible for vast amounts of coastal land and seabed, which have enormous potential to deliver wind power and other renewables.

Tackling the climate emergency is a significant challenge, but it is achievable. However, we need to step up to the challenge, and the Bill is part of a wider transformation of Government policy to do exactly that. As we heard in Committee, the Bill is urgently needed because although the Crown Estate has enormous potential, the rules governing its management are unduly restrictive. For example, the Crown Estate Act 1961, which governs the estate’s management of its resources, sets out rules that would now be deemed inappropriate for holding very large cash balances. That makes it difficult for the Crown Estate to work with private investors to develop new wind energy and to transmit urgently needed new power to the grid. There is a clear need for these measures. I hope that, after sufficient debate, it is time for the Bill to make further progress.

Equally, amendment 5 is unnecessary. It would ask the Crown Estate when reviewing the impact of its work to consider the impact on net zero targets, regional economic development and energy security. However, it is clear that the whole Bill is intended to tackle the challenge of addressing and eventually reaching net zero. Referencing specific targets risks further complicating what is already an important Bill that has had considerable discussion in Committee.

As my right hon. Friend the Chief Secretary said at an earlier stage, this is an important Bill to help the UK achieve our climate targets, and it is a significant step forward in helping us retain energy security. It is time for the whole House to support it.

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19:00 Pippa Heylings (Liberal Democrat)

I extend my thanks to colleagues in the other place, the Public Bill Office staff and those in this House who served on the Bill Committee. Their efforts have been invaluable in scrutinising and refining the Bill. I support the Bill. However, the Liberal Democrat amendments seek to ensure that it delivers for both people and the planet. While the Bill presents opportunities—it aims to enhance energy security, create new jobs and bring us closer to achieving our climate targets—we must not lose sight of the need for financial accountability, proportionate borrowing caps, the duty to protect nature in the marine environment and the necessity of taking communities with us and providing them with clear, tangible benefits.

It is important to note that our discussion coincides with the third anniversary of Russia’s invasion of Ukraine and its consequences not only for the Ukrainians suffering the war, but for families here in the UK with volatile, skyrocketing energy prices due to our reliance on fossil fuels from authoritarian regimes like Putin’s: a stark reminder of the need to secure the production of our energy here in the UK. The last Conservative Government set the UK back both in meeting our climate targets and in seizing the opportunity to be global leaders in green energy due to indecision and broken pledges. We have the chance to be global leaders in offshore floating wind, which is why the Bill is so important.

By clearly defining sustainable development in the Crown Estate’s framework agreement, the amendment would establish a benchmark for accountability in line with existing legislation. In contrast with the amendment tabled by the hon. Member for Mid and South Pembrokeshire, this amendment mentions nature, too, and builds on the agreements in the other House. It seeks to enshrine the assurances given to the Lords, ensuring that the framework agreement would indeed include a climate and nature duty, aligning the Crown Estate’s responsibilities with the UK’s legally binding climate targets under the Climate Change Act 2008 and nature restoration goals under the Environment Act 2021. It is about more than environmental stewardship; it is about future-proofing the Crown Estate’s decisions against the economic risks of climate change and nature loss.

I hope that the Government and the Opposition will join the Liberal Democrats in supporting amendment 2 to ensure that sustainable development within the Crown Estate’s framework agreement is clearly defined and includes a climate and nature duty. The Bill presents a trident of opportunity—it can enhance energy security, create jobs and bring us closer to achieving our net zero targets—but we cannot afford to lose sight of the need for financial accountability, the duty to protect nature, and the need to ensure that all communities are included in the crucial journey to net zero.

The Bill means more funding for renewable energy, more investment in advanced manufacturing and more demand for the products we make in Wolverhampton and Willenhall. More investment means more jobs, more apprenticeships and more chances for young people to get the skills they need to build a career in the industries of the future, whether in engineering, fabrication or high-tech manufacturing. The Bill will help us to build more, make more and sell more in Wolverhampton and Willenhall, right in the heart of the Black Country.

Just this morning, the CBI has said that Britain’s net zero economy is booming. The sector is growing three times faster than the overall UK economy, the average salary in the net zero sector is £5,600 higher than the national average and productivity in the sector is nearly 40% higher than in the wider economy. Does my hon. Friend agree that this is an industrial opportunity for this country that we cannot afford to ignore, and that this Bill will help us to realise this opportunity and make it more achievable?

Just down the coast in the village of Happisburgh, the Norfolk Boreas and the Norfolk Vanguard wind farms make their landfall. Happisburgh has been at the frontline of the coastal erosion suffered in north Norfolk, with 40 homes already lost to the ever-encroaching North sea. This is a village battling the real-world impacts of climate change, and it is doing its bit to fight back by hosting renewable energy infrastructure, but it has had no additional protections. This double standard seems deeply unfair. It is in our interest to protect the renewable energy infrastructure we are building, but it is also in our interest to protect the communities that live alongside it.

People in Happisburgh have lived with the looming threat of coastal erosion and frequently feel left behind or forgotten about, and it seems as though this is just another example of this happening. I am sure that if there were an erosion risk of this scale in central London or the south-east, the Government would move heaven and earth to take action, but in North Norfolk, right at the eastern edge of our island nation, people feel despondent about the situation they are facing. Our amendment seeks to right this wrong. We believe that when these reforms to the Crown Estate allow for new renewable energy products, efforts must be made to secure the coastline where they make landfall. Renewables are our future, and we have to make sure that the communities that host key infrastructure have a future too.

I am aware that the Minister did not support this amendment in Committee. I am not expecting the recess to have led him to a Damascene conversion, but I hope that he can provide some reassurance today on how the Government will look at this double standard for energy products and what steps they will be taking to provide protection to villages such as Happisburgh that are doing all the right things but feel they do not get their fair share back. I would also be happy to welcome him and any of his Government colleagues to Happisburgh to see the situation for themselves. I honestly believe that bearing witness to the way that our coastline is being ravaged by climate change, meeting the people it affects and understanding what we are set to lose will spark anyone into supporting radical action to stop this coming to pass. I would be delighted if the Government could back our amendment today, but if they are unable to do so, I hope that the Minister’s team will be able to provide promises of progress for the residents of Happisburgh and all the other communities who live with the existential threat of coastal erosion.

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19:15 David Chadwick (Liberal Democrat)

I am not against wind turbines and the green energy they produce, but I am concerned about the impact on the fishing sector. I want to state my concerns and express my support for the fishing fleets at Portavogie, Ardglass and Kilkeel, where fishing is an important economic sector, providing jobs and investment. That has been happening for hundreds of years, and I want to see that tradition maintained. I hope that when the Minister sums up, he will reassure fishing communities that any development will not be to the detriment of the fishing sector.

Does the hon. Member agree that one of the problems in this territory is that we do not yet have the definition of what is meant to be sustainable? On reading the Bill, it appears that the whole focus of what sustainable will be is on the green energy side, rather than what will sustain the fishing industry.

That is the thrust of where I am coming from. I am not against the idea of green energy, but I want to ensure the sustainability of the fishing sector over the years. It has been sustainable and still provides jobs in Kilkeel and Ardglass, and I want it to continue to do so. That would be my concern as well.

The fishermen in my area are well aware of the limitations brought about by Crown holdings on the coastline, and concerns have been expressed to me regarding the partnership announced by the Government for the Crown Estate and Great British Energy—the very issue that the hon. and learned Member for North Antrim refers to—to bring forward new offshore wind developments. I wholeheartedly welcome renewable energy and attempts to harness the reliable energy of our vast seas and loughs, but only inasmuch as they do not stop the fishing sector from operating and being successful. That must always be the key consideration. If we were to lose one of our primary sectors in fishing and to gain wind turbines and green energy, that would be something that the Government would have to consider sensibly.

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19:30 Judith Cummins (Labour)

To be clear, the cumulative impact of the changes that the hon. Member for Ynys Môn is suggesting in her new clause would likely be to significantly delay the pathway to net zero.

I think the right hon. Member has misunderstood the point I was making. If we were to have a devolved entity, it would be starting from scratch midway through a multimillion-pound commercial tendering process, just at a time when the Crown Estate is undertaking critical investment in the UK’s path towards net zero—something I am sure she is keen to support.

I seek assurance that the ambitious net zero targets will not detrimentally affect the fishing sector. I remember some years ago there was talk of a wind farm just off the coast of Kilkeel, and the fishermen were concerned that it would be in one of their prime fishing sectors, where scallops were plentiful. If that continued, the fishing sector could lose out because the Government decided to push for net zero. I sought reassurance that Northern Ireland MPs would be able to contact the Northern Ireland commissioner directly, but I ask specifically for a wider assurance about the fishing sector in Northern Ireland—for Portavogie, Ardglass and Kilkeel.

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19:45 Pippa Heylings (Liberal Democrat)

“a duty to achieve any targets set out under Part 1 of the Climate Change Act 2008 or under sections 1 to 3 of the Environment Act 2021.”

I am getting vibes from the Whip, Madam Deputy Speaker, so I might not respond as fully as I had hoped to some of the remaining amendments. However, I will address amendment 5, which I know matters to several Labour Members who have spoken to it. Amendment 5, tabled by my hon. Friend the Member for Mid and South Pembrokeshire (Henry Tufnell), would require the commissioners, when keeping the impact of their activities under review with respect to clause 3, to have regard to the UK’s net zero targets, regional economic growth and resilience of energy security. I thank my hon. Friend for the discussions that he and I had on this topic both before Committee and last week. A version of the amendment was debated in Committee. I particularly thank my hon. Friends the Members for Truro and Falmouth (Jayne Kirkham), for St Austell and Newquay (Noah Law) and for Camborne and Redruth (Perran Moon) for engaging with me on this matter, and setting out so clearly what is important to them in the constituencies they represent.

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