London Olympic Games and Paralympic Games (Advertising and Trading) (England) Regulations 2011

Tuesday 22nd November 2011

(12 years, 11 months ago)

Grand Committee
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Considered in Grand Committee
15:31
Moved By
Baroness Garden of Frognal Portrait Baroness Garden of Frognal
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That the Grand Committee do report to the House that it has considered the London Olympic Games and Paralympic Games (Advertising and Trading) (England) Regulations 2011.

Relevant document: 29th Report from the Joint Committee on Statutory Instruments.

Baroness Garden of Frognal Portrait Baroness Garden of Frognal
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My Lords, in 2006, Parliament passed the London Olympic Games and Paralympic Games Act, which provided a number of powers, including the power to regulate advertising and trading in the vicinity of Olympic and Paralympic venues. It was recognised by Parliament that tailored provision was needed for the Games to act as a stronger deterrent to ambush marketing and illegal trading, and because existing powers alone are not adequate for a major, time-critical event like the Games. We need these regulations to protect against ambush marketing as well as ensuring that spectators can access venues safely.

With an expected global audience of up to 4 billion, there is no doubt that there will be concerted attempts to ambush the Games, but in drafting these regulations we have recognised that we need to strike a balance between our objectives and ensuring that regular business can carry on to the greatest extent possible. These regulations must go no further than is necessary.

To ensure that we have got the balance right, we have sent the draft regulations to those who will be affected and we have listened carefully and amended the regulations in light of their views. The Department for Culture, Media and Sport launched a wide-scale consultation in March of this year. More than 600 people or agencies were directly contacted about the consultation and a leaflet was delivered to every letterbox within the proposed regulated zones. In addition, officials have spent the last few years meeting representatives of the advertising and trading sectors. In total, 51 written responses to the consultation were received from a range of stakeholders. The small response is, I believe, a reflection of the extensive informal consultation since 2006. Those who replied generally supported the approach, and any suggestions tended to be technical in nature.

In drafting the regulations, consideration has been given to the fact that ambush marketers will look to find new and innovative ways to associate brands with high-profile events. Accordingly, broad definitions of advertising and trading activity have been crafted, with a number of specific exceptions. Many of those exceptions allow for existing business or activities to continue; so, for example, public protest activity is specifically exempt under these regulations. Advertising or trading activity that is not exempt, and so could present a risk to our objectives, may still be undertaken if it is authorised by the ODA, for trading, or LOCOG, for advertising.

Unlike previous host cities, some of which have regulated a kilometre outside of venues, these regulations apply only to event zones comprising, in most cases, the venue and the area a few hundred metres around it. In a few cases, the event zone goes slightly further so that we can protect key places, primarily for when spectators walk from a major transport hub.

Like the event zones, the event periods are tailored to each Games event, “switching on” the day before and lasting only for the period of an event. The longest the regulations will apply to any one place is 35 days in the areas around the Olympic Park, and that period is not in one block, as the regulations switch off for the period between the Olympic and Paralympic Games.

Under the 2006 Act, the regulations may be enforced by the police or by enforcement officers designated by the ODA. With the police’s agreement the ODA will take the lead on enforcement, freeing up the police to focus on safety and security. Police will of course provide back-up as necessary. The ODA is looking to designate enforcement officers from local authorities. They undertake the enforcement of existing laws on street trading and advertising, so the ODA is utilising a knowledgeable and experienced resource. Local authorities will get funding for this resource, which will enable them to backfill their current roles through overtime and cancelled leave. Officers will be trained to take a light-touch approach to most infringements but persistent offenders could face having offending items seized or destroyed. To reassure your Lordships, the ODA’s enforcement strategy has been seen and approved by the Sports Minister, who is keen to ensure that proportionality is the touchstone.

The ODA has recently published detailed guidance on the regulations. This provides simple information about the regulations to ensure that those affected understand what is expected at Games time. Local authorities and advertising and trading bodies are all engaged in the process of reaching those individuals and businesses affected. The IOC requires all bidding cities to commit to take steps to prevent ambush marketing around Games venues. Sydney 2000 was the test case; since then, other host cities have taken similar steps. I believe that the regulations we are debating provide a robust yet proportionate framework for dealing with ambush marketing as well as ensuring safe access to Games venues. I beg to move.

Baroness Billingham Portrait Baroness Billingham
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My Lords, I thank the Minister for her clear presentation, reminding us of the background to this SI and the justification of the measures contained in it. As ever she is accurate and persuasive, leaving little room for objection from this side of the Committee. While there are one or two matters which I will raise later, in essence this SI is the completion of the London Olympic Games and Paralympic Games Act 2006. As such, it is a key factor in ensuring the smooth and safe running of the Games.

The scope of the SI encompasses the need for the 2012 Games to be a joyful event—a shop window for the UK of which we can be proud. It is also essential to prevent ambush marketing around the various venues and it has to ensure easy access to those venues. I very much hope, in relation to that last point, that both LOCOG and the ODA will take note of the lessons from the catastrophic shambles at the end of the Nadal match at the O2 on Sunday night. The three-set match, which was begun at 8 pm, finished at 11.30 pm. As a result, 2,000 people were left stranded at the North Greenwich tube station, with the last train leaving before midnight. I am told by friends that the dash for that last train had the potential for disaster and one has to ask whether Boris Johnson could not have foreseen the need to supply later trains. If such a predictable shambles can ensue from one match at one venue, the need for forensic planning could not be clearer.

Part 2 of the regulations deals with advertising activity in the event zones. A light touch is crucial, so the clear guidelines ensuring that legitimate businesses can continue their day-to-day advertising and activities are very welcome. The trading activities parts of the regulation are sensible and, indeed, essential. Enforcement of advertising and trading regulations will require a high level of experience and qualification. LOCOG is approaching local authorities to lease experienced officers to work during the Games.

Despite the Minister’s assurances, some concerns remain. Given the economic climate, with local authority budgets being slashed by the Government, is there now a potential problem that there will be a shortfall of the officers required? We also debated long and hard the effect on travel to and from the Olympic sites. We were assured that the adverse effects would be kept to a minimum, but we on this side are still concerned that local companies unable to trade are being made to close down for that two-week period. Surely this would put their viability at risk, and we hope that LOCOG will come up with some more consensual proposals. With these concerns, I again thank the Minister and the Bill team, which gave us an excellent briefing, and pledge full support from this side of the Committee for an SI which will complete the original aspirations of the 2006 Act for a wonderful and successful Olympic Games.

Lord Addington Portrait Lord Addington
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My Lords, I have very few words to say on this order. First, it seems to be in line with what we were expecting. Anybody who has been involved in this knows that a great part of the Olympic movement has been the defence of the brand to allow sufficient funds to be raised to enable everything to go ahead. This was always going to inconvenience people to a degree. The question here is whether the Government and the entire Olympic movement have done enough to ensure that that minimal level of interference with ordinary life has been achieved. I suspect that they have taken some very good steps towards it.

When it comes to ambush marketing, everybody raised a smile at the thought of the last World Cup when all the, shall we say, very presentable young ladies in orange skirts were seen dancing around. The fact of the matter is, however, that the way these events are financed is by making sure that sponsors get in and get a reason to carry on sponsoring them, which is the most important factor. I thus suggest that the Government should be intelligently vigorous in enforcing this, because if they are not—and this is the important factor—future events will be threatened. This will be part of one of the legacy issues: do sponsors of major sporting events have sufficient backing to make sure that they get enough bang for their bucks to come back next time? I hope my noble friend will be able to assure us that this will be looked at in the overall review at the end of the Games process to make sure that sponsors are looked after in an intelligent way that does not stop all life during the Games.

Lord Higgins Portrait Lord Higgins
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My Lords, I understand that the point raised by the Delegated Powers and Regulatory Reform Committee on this order—namely, that it would not be appropriate to have an order approved by negative resolution unless the Minister had given an assurance that it was necessary to proceed in this way for reasons of urgency—has already been met in the legislation which we have amended. I think that is a satisfactory situation.

I apologise, since I entirely share the enthusiasm of other noble Lords for the entire success of the Games, for raising just one point which I had not previously noticed. It relates to Regulations 6 and 7 of the order on page 4. Regulation 6 is concerned with the control of advertising activity, and we all understand the reasons for that, as has just been mentioned by my noble friend when discussing the whole question of sponsorship. However, I am concerned about Regulation 7(1), which says:

“Regulation 6 does not apply to advertising activity intended to—

(a) demonstrate support for or opposition to the views or actions of any person or body of persons,

(b) publicise a belief, cause or campaign, or

(c) mark or commemorate an event”.

It is really sub-paragraphs (a) and (b) which give me some cause for concern, given the recent protests which we have had outside St Paul’s. I am not at all clear why we want to make this exception in Regulation 7. On the contrary, I would have thought there was some case for strengthening the proposals for that. Indeed, we may want to make absolutely sure that provision is made to prevent demonstrations. As was pointed out in previous remarks, in the course of the Games it may be very easy to get enormous publicity for a particular cause, whatever it may be. Therefore, I would be grateful if my noble friend could tell us to what extent this has been considered and whether there is some argument in favour of strengthening or amending the order; or in favour of producing an alternative that makes it absolutely clear that demonstrations of the sort that I have described are prevented from getting advertising as a result of taking place, perhaps to the considerable disruption of those wishing to watch the Games, which we hope will be a great success.

15:45
Baroness Garden of Frognal Portrait Baroness Garden of Frognal
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My Lords, I am extremely grateful to the noble Baroness, Lady Billingham, and my noble friends Lord Addington and Lord Higgins for their contributions to the debate and their customary attention to detail in the matters that we are discussing today. We appreciate that these regulations may raise concerns but we believe that they strike the right balance, allowing business as usual to continue wherever possible. That point was raised by noble Lords in today’s discussion. Detailed measures have been put in place to ensure that businesses will be able to continue to run as usual in the course of the Games.

I shall just deal with some of the issues that have been raised. The noble Baroness, Lady Billingham, raised concerns following the tennis match that finished after the Tube had stopped running, leading to crowds appearing on stations. This is a very important issue. All the Olympic events will finish well before the last Tube trains leave. The ODA and LOCOG are looking carefully at access to and egress from each venue individually to make sure that there is sufficient transport for people to be able to get home at the end of events.

The noble Baroness asked how much the enforcement would cost, who will pay for it and whether there are enough people to do it. The ODA, as the responsible and accountable agency has budgeted for this work. It is estimated that £868,000 will cover the full range of costs associated with enforcement. Within this budget, the ODA will pay a fixed hourly rate per designated enforcement officer to the employing local authority. That hourly rate is sufficient to cover salary costs, expenses, travel and subsistence, storage costs for seized articles, administration and the gathering of intelligence data—all the aspects that will need to be replaced.

The noble Baroness asked whether the ODA officers would be trained. Indeed, a programme of training has already begun. Officers have already taken part in mock enforcement trials at a London 2012 test event. This will continue next year. The training integrates practical knowledge of the Act and regulations with a detailed understanding of the ODA’s enforcement policy. It includes practical examples of likely situations that may arise based on past learning, test events and hypothetical situations that have been highlighted as potential areas of concern during the passage of the Act and the regulations.

My noble friend Lord Addington asked whether there will be vigorous enforcement. Indeed, in looking at the Games, we will examine how the regulations were enforced and come up with lessons learnt. He is quite right in assuming that all the regulations before us have been previously agreed, and that we are finally putting the seal on them in advance of the Games.

My noble friend Lord Higgins asked about the exemption for demonstrations publicising a belief, cause or campaign and so on. Protest and other activity intended to demonstrate support for or opposition to a person’s view or actions is specifically exempt. The exemption covers advertising a belief or cause, or marking or commemorating an event. That would include charities. However, discussions with Liberty prior to the consultation were useful in ensuring that this category was soundly drafted. Indeed, no human rights groups responded to the consultation. Therefore, advertising that promotes a local non-commercial event of a religious, educational, cultural, political, social or recreational character is allowed unless it is sponsored by a private company. This allows for general non-commercial activity but protects against a large company using the exception to get its name plastered over local events and consequently ambushing the Games. However, I stress that these regulations are not about stifling political speech. Protest activity is specifically exempt and will not be restricted by these laws.

I hope that I have responded to most of the points raised today. It is a great relief to be working on a Bill where there is cross-party consensus and that we all have a common aim in ensuring that the Olympic and Paralympic Games next year are a resounding success. I thank opposition noble Lords and my noble friends for the discussions that have taken place over this instrument and the Games legislation. I know we all want to ensure that the Games are a magnificent success. With these regulations, we hope that we have mitigated the risks in a proportionate manner which recognises that London and the UK need to continue operating at Games time.

Motion agreed.