Devolution Bill Progresses as Lords Sound Security Alarm

High-Level Summary

The House of Lords considered national security resilience, economic and youth policy, naval capability, conduct matters, secondary legislation, urgent Commons statements, and major devolution reform. Ministers outlined a whole‑of‑society approach to security in response to the 2025 Strategic Defence Review and discussed funding, youth engagement, and non‑traditional threats. Peers examined changes to Employee Car Ownership Schemes and motoring taxation, measures to reduce the number of young people not in education, employment or training, and challenges facing the Royal Navy’s submarine force. The House agreed suspensions in two conduct cases, approved several statutory instruments, questioned Ministers on the OBR leak and on the collapse of an Official Secrets Act case, and gave the English Devolution and Community Empowerment Bill a Second Reading before committing it to Grand Committee.

Detailed Summary

Strategic Defence Review 2025 – whole‑of‑society national security (Question)

Context and participation: Lord Wallace of Saltaire asked about the Government’s response to ‘whole‑of‑society’ proposals in the Strategic Defence Review. Lord Coaker said “the Government are committed to reviewing the recommendations outlined in the strategic defence review, which recognises the importance of a whole-of-society approach” [ref: b1.2/1]. He called the SDR proposals “radical and serious” and said Ministers would “start to talk to the population of this country about the need for us all to wake up to the threat we face” [ref: b1.4/1]. Key points: Peers asked about reconnecting with young people and expanding reserves and cadets. The Minister highlighted non‑traditional threats “not necessarily from traditional warfare but from ‘greyfare’, the threats to underwater cables, cyber attacks and all those sorts of things” [ref: b3.1/1], and said initial steps (industry seminars, reserve/cadet expansion) had begun but “we need to accelerate and expand that” [ref: b5.0/1]. He aimed to finalise the defence investment plan “by the end of the year” [ref: b3.1/1] and said defence readiness legislation was being explored “in this Parliament” [ref: b5.0/1]. Outcome: No decisions were taken in the session.

Employee Car Ownership Schemes and motoring taxation (Question)

Context: Lord Woodley asked about the impact of changes to Employee Car Ownership Schemes (ECOS). Government position: Lord Stockwood said implementation “will be delayed until 6 April 2030, with transitional arrangements until April 2032” [ref: b5.3/1]. He added the measure was “not expected to add any significant overall macroeconomic impacts”, though impacts were expected for manufacturers and dealerships [ref: b6.0/1]. Motoring taxation: On per‑mile EV charging, he said “drivers of petrol and diesel will pay fuel duty, whereas drivers of electric vehicles will not pay the current equivalent” [ref: b6.2/1]; hybrids would be “taxed at half the rate, which is 1.5p a mile” [ref: b7.6/1]. Outcome/next steps: Policy deferred; Ministers signalled ongoing industry dialogue and said they were “open to all those conversations” on alternatives such as salary sacrifice [ref: b7.0/1].

Young people not in work, education or training (NEET) (Question)

Context: Lord Hain asked about action to reduce NEETs. Government measures: Baroness Smith of Malvern said the Government were investing “£820 million over the spending review to help young people earn or learn through the youth guarantee,” including guaranteeing “six months’ paid work” for eligible 18‑21 year‑olds on Universal Credit for 18 months [ref: b9.0/1]. She set out further measures: a new gateway session and support “offered to nearly 900,000 16 to 24 year-olds,” expansion of youth hubs “to over 360 locations,” about “300,000 opportunities,” and fully funded apprenticeship training costs for eligible 16‑24 year‑olds [ref: b9.2/1]. Targeted support: Care‑experienced young people receive additional university bursaries and employers get extra support for apprenticeships [ref: b11.2/1]. Outcome: No decision sought; delivery will proceed via jobcentre gateways, hubs and apprenticeship funding.

Royal Navy submarine force – readiness and resilience (Question)

Context: Lord West of Spithead raised maintenance, availability and skills concerns, describing the force as “in a parlous state” and alleging that “for the last year… [the UK] has had one attack submarine operational for most of the time” [ref: b12.0/1]. He urged in‑year funding for a 100‑day plan [ref: b12.0/3]. Government response: Lord Coaker said “the Royal Navy has successfully maintained Operation Relentless, the continuous at-sea deterrent, without interruption for over 56 years” [ref: b11.5/1], citing investment at Devonport and Faslane and “the Dreadnought programme has a commitment of £31 billion, with a £10 billion contingency” [ref: b12.1/1]. He said floating dry dock options were being examined and recruitment and retention of engineers and technicians improved [ref: b13.0/1; b12.1/2]. On AUKUS, he had “no doubt that the US, the UK and Australia will stand together” [ref: b14.2/1]. On undersea infrastructure, he referenced new capabilities: “These are new undersea technology vessels… that can operate through the use of artificial intelligence” as part of “Atlantic Bastion” [ref: b15.0/1]. Outcome: No decisions; the Minister undertook to write on a query about the Inchgreen dock [ref: b13.6/1].

Liaison Committee – new special inquiry committees (Motion to Agree)

Lord Gardiner of Kimble proposed four special inquiry committees “on: childhood vaccination rates, national resilience, numeracy, and the Domestic Abuse Act 2021” [ref: b15.3/6], with inquiries typically confined to 10 months [ref: b15.3/3]. Outcome: Motion agreed without division [ref: b15.3/7]. Next steps: Committees to be appointed per the report.

Conduct Committee – suspensions in two cases (Motions to Agree and Resolutions)

Lord Kakkar presented reports on Lord Dannatt and Lord Evans of Watford. On Lord Dannatt, the Commissioner found he “had expressed a clear willingness to provide paid parliamentary services to the journalists” [ref: b16.2/2]; a four‑month suspension was recommended and agreed [ref: b16.2/6; b17.0/2; b17.2/2]. On Lord Evans, the Committee found the events he sponsored were “designed to generate income and drum up business for the company” he partly owned [ref: b17.5/3]; a five‑month suspension was recommended and agreed [ref: b17.5/4; b18.0/2; b18.2/2].

Secondary legislation approvals and bill scheduling

The House approved: Health and Care Act 2022 (Consequential Amendments) Regulations 2025 [ref: b18.4/3]; Victims and Prisoners Act 2024 (Permitted Disclosures) Regulations 2025 [ref: b18.6/3]; and Unmanned Aircraft (Offences and Consequential Amendments) Regulations 2025 [ref: b18.8/4]. Sustainable Aviation Fuel Bill: the order of commitment was altered so the Committee stage would start in Committee of the Whole House and, if not concluded by 10 December, continue in Grand Committee [ref: b19.1/2]; Motion agreed [ref: b19.1/3].

OBR leak and resignation of the Chair – questions on a Commons Urgent Question

Peers questioned Ministers after the OBR confirmed premature access to the EFO and its Chair resigned. The Government said “we take the Budget process extremely seriously and put the utmost weight on Budget secrecy” and that the FCA “has not commenced an enforcement investigation” [ref: b20.1/1]. They declined to adopt Sweden’s open Budget model—“I do not think that we had any intention of taking that forward” [ref: b20.3/1]—and will work with the National Cyber Security Centre on systemic risks identified by the OBR report [ref: b20.3/5]. Asked to confirm or deny pre‑Budget briefings, the Minister repeated the Budget secrecy line [ref: b22.5/1]. Outcome: No decisions taken.

Official Secrets Act case collapse – questions on a Commons Urgent Question

Following the collapse of a prosecution under the Official Secrets Act 1911, Ministers noted the JCNSS had “found no evidence of improper influence” by Ministers or officials [ref: b23.2/3]. They said a root cause was that “The 1911 Act created an unrealistic test by requiring the prosecution to prove that China was an enemy” [ref: b23.2/5], and quoted the Prime Minister that China “poses real national security threats to the United Kingdom” [ref: b24.1/2]. The Government outlined a timeline for a key witness statement and said it was not an eight‑month delay on their side [ref: b25.0/2]. Outcome: Government to respond to the JCNSS within two months; no new legislation announced in this session.

Local elections and mayoral timetables – questions on a Commons Urgent Question

Ministers confirmed: “Local elections will go ahead in 2026” [ref: b26.1/1]. For Sussex and Brighton, Hampshire and the Solent, Norfolk and Suffolk, and Greater Essex, inaugural mayoral elections are “minded” for May 2028 to allow local government reorganisation and establishment of strategic authorities [ref: b26.1/4]. Clarification: All scheduled council elections in 2026 will proceed; only four inaugural mayoral contests are delayed, while two other areas’ first mayoral elections are due in 2027 [ref: b27.3/1]. Strategic authorities will have interim powers and funding, including “a general power of competence; a duty to develop a local growth plan” and responsibilities in skills, housing, and transport planning [ref: b29.1/1]. Outcome: Position restated; no division.

English Devolution and Community Empowerment Bill – Second Reading and commitment

Government case: Baroness Taylor of Stevenage said the Bill would “drive the biggest transfer of power out of Whitehall” through new strategic authorities (foundation, mayoral, established mayoral), broader mayoral powers over transport, planning, housing and safety, the ability to request further functions, a visitor levy, and reforms to local audit, governance and neighbourhood empowerment [ref: b30.3/3; b30.3/4; b30.3/7; b30.3/8; b30.3/13]. She said the aim was “politics being done with communities, not to them” [ref: b30.3/20]. Key criticisms: Some peers warned of centralisation and costs, saying the Bill “empower[s] the centre rather than the community” [ref: b34.0/2] and describing it as “decentralisation, not devolution” [ref: b37.0/12]. Others pressed for stronger audit and scrutiny, a clearer cultural and rural focus, and safeguards on taxi licensing and micromobility. Outcome/next steps: Bill read a second time [ref: b88.0/31] and committed to Grand Committee with an order of consideration agreed [ref: b94.1/2; b94.1/3]. A complaint was noted that commitment was tabled “without the agreement of the usual channels” [ref: b95.0/1], but the Motion was agreed [ref: b95.1/2].

Angiolini Inquiry (Part 2, public spaces) – Ministerial Statement

Ministers responded to Lady Elish Angiolini’s report on preventing sexually motivated crimes in public spaces. They highlighted women’s safety concerns—“Somehow, we have simply come to accept that many women do not feel safe walking in their streets” [ref: b95.3/4]—and promised a bold, cross‑government VAWG strategy “very soon” [ref: b95.3/8], saying the Government “will not stop” until women are safe [ref: b95.3/9]. Ongoing actions include the new National Centre for Violence Against Women and Girls and Public Protection with £13.1 million to raise standards [ref: b95.3/7]. Peers pressed for a publication date, implementation timetable and data transparency. The Minister said the strategy “will be published as soon as possible” and cited vetting reform, domestic abuse specialists in 999 control rooms and cross‑department work [ref: b99.0/3; b99.0/4]. Outcome: No new timings; recommendations to be considered alongside the forthcoming strategy.