That is only true if they intend to make changes to the Admissions Code. Any objection to PAN is dealt with by the Schools Adjudicator. As things stand, the Admissions Code makes it clear that there is a strong presumption in favour of increasing PAN. Also, a school can admit over PAN if it wishes (unless it is a primary school and doing so would breach the infant class size limit).
However, there are other measures in the bill that, on the evidence available, are a disaster for our children's education. Bridget Phillipson appears to be pursuing an ideological agenda regardless of the evidence that it is likely to push the UK back down the international league tables. I know some of her own party are appalled that she is abandoning the previous cross party consensus on academies and hope the bill will change before it becomes law.