(3 years, 7 months ago)
Grand Committee(3 years, 7 months ago)
Grand CommitteeMy Lords, the hybrid Grand Committee will now begin. A small number of Members are here in person, respecting social distancing, and others are participating remotely, but all Members will be treated equally. I must ask all Members in the Room to wear a face covering except when seated at their desk, to speak sitting down and to wipe down their desk, chair and any other touch points before and after use. If the capacity of the Committee Room is exceeded, or other safety requirements are breached, I will immediately adjourn the Committee. The time limit for the following debate is one hour, and before calling the noble Baroness, Lady Rock, I call the noble Baroness, Lady Bloomfield of Hinton Waldrist.
My Lords, with this number of speakers, and the difficulty of intervening remotely in Grand Committee, I kindly remind noble Lords to please stick to the speaking limit, which will enable the Minister to respond fully to the issues raised by noble Lords.
(3 years, 7 months ago)
Grand CommitteeTo ask Her Majesty’s Government, further to their discussions with the Tenancy Reform Industry Group, what plans they have to reform (1) legislation, and (2) taxation, related to rural landlords and the letting of land.
My Lords, I declare my interests as set out in the register as a director of Wrackleford Farms, a tenanted farming business. I thank all noble Lords taking part in this important debate today, and greatly look forward to their contributions. I also thank my noble friend the Minister, who so recently took the then Agriculture Bill through this House. I was most encouraged by his supportive comments on the vital importance of agricultural tenants.
The tenanted sector of agriculture brings together those with assets—landowners—and those with entrepreneurial flair—tenants—to create sustainable and profitable businesses while providing landowners with a return through the payment of rent. The landlord and tenant system also provides liquidity to the most fixed factor of production in agriculture: land. Farm businesses looking to expand or contract can use the flexibility of the landlord and tenant system to meet those objectives. Also, agricultural tenancies remain the only viable route for many aspiring farmers to enter the sector.
It is disappointing that this important sector is adversely affected by short-term thinking. The introduction of the Agricultural Tenancies Act 1995 represented a major deregulation of the legislative framework within which agricultural tenancies operate. A key change was to lengths of term. Prior to 1995, new tenancies could be let only for the lifetime of the tenant, whereas under the new legislation there was no minimum term. A major problem before 1995 was that landlords were reluctant to let farms, knowing that they would be let for a generation. As a result, the size of the tenanted sector was in decline. However, this legislation has allowed the pendulum to swing too far in the opposite direction and now the average length of term on new tenancies is, remarkably, under four years. This means that farm tenants cannot plan for the long term, either in relation to their agricultural activities or in their desire to take part in diversification and new agri-environment schemes such as the proposed ELM schemes.
The Tenant Farmers Association has long asserted that the best way to address this is through amendments to the taxation environment within which landlords make decisions about land use. To do this, it has proposed the following sensible changes to taxation: first, restricting the generous 100% relief from inheritance tax, currently available to all landlords regardless of the length of time they are prepared to let land, only to those prepared to let land for 10 years or more; secondly, restricting those landowners that use share farming, contract farming, share partnerships and grazing licences as thin facades of trading activity to gain tax advantage when in practice they take no risk, have no entrepreneurial input and lack any management control; thirdly, offering landlords who are prepared to let for 10 years or more the ability to declare their income as if it was trading income for taxation purposes; and finally, reforming stamp duty land tax to end the discrimination against longer tenancies. This is an area where there appears to be a consensus between those organisations representing landlords and those representing tenants. It seems odd that government policy is to encourage longer farm business tenancies on the one hand and then to penalise those long-term tenancies through the way that they are taxed through SDLT. I seek an assurance from the Government that this issue is reviewed. On taxation, while I appreciate that the Minister does not speak for Her Majesty’s Treasury, it would be instructive to hear whether his department supports these measures and whether he will discuss these matters with his Treasury colleagues.
I thank the Government for bringing into effect certain agricultural tenancy reforms through Schedule 3 to the Agriculture Act 2020. These changes followed a Defra consultation which covered a very much wider agenda of issues than were introduced. That consultation was a distillation of yet wider changes proposed by the Tenancy Reform Industry Group, TRIG, which provided very detailed reports covering AHA tenancies, 1995 tenancies, taxation, county council smallholdings and issues around new entrants and retirement.
In its briefing for this debate, the Country Land and Business Association states that
“tenancy reform must be developed through consensus within TRIG.”
I consider this to be too narrow, but it does give this Government the green light to bring forward a Bill encompassing the full array of changes which TRIG proposed in its reports to Defra in 2017. However, the Government must not find themselves completely unable to make progress on wider areas of tenancy reform when a consensus cannot be found within TRIG due to the competing interests represented within it. This group should of course be a place to which the Government go for expert advice, but it should not decide policy. It is for the Government to decide how best to promote resilience and sustainability within the tenanted sector. During the debates on the various stages of the then Agriculture Bill in your Lordships’ House, we heard from many noble Lords from all quarters that we needed a specific piece of legislation for agricultural tenancies. When might we see a government Bill which picks up the issues identified by TRIG and the department’s own consultation?
One of the welcome changes in the Agriculture Act was the expansion of the franchise of organisations that can be used for the appointment of arbitrators for dispute resolution beyond RICS. Now we have the Central Association of Agricultural Valuers and the Agricultural Law Association. This is good news, as RICS had too much of a monopoly in this area, and its own governance issues. However, we must go much further on reforms to arbitration.
Here, I have to admit to first-hand experience of what an archaic process arbitration can be. My family has recently had to go through a difficult, lengthy and expensive arbitration process for the review of our farm rent. It is not a process that I would welcome having to repeat, although, sadly, it is the principal mechanism for resolving disputes that cannot otherwise be settled by agreement. Arbitration was intended to be a relatively straightforward and inexpensive process for resolving disputes. I can attest to the fact that it is anything but. As a family, we were disappointed with the way in which our case was handled in a number of ways.
Being able to learn lessons from this process is massively hampered by the fact that arbitration awards are required to be kept confidential between the parties. I contend that they should be publicly available and open to scrutiny, so that arbitrators can be held to account for the way in which they resolve cases. At the moment, there is little precedent or case law in this area. In addition, parties are left with an incredibly short period of time within which to appeal. A period of only 28 days is insufficient, particularly where the appeal has to be mounted in the majority of cases by a tenant farmer who can be daunted by the prospect of having to take matters to court. Overturning bad arbitration decisions is difficult and expensive and I believe that the whole process of dispute resolution needs to be fundamentally reviewed.
The CLA calls for a balance in landlord-tenant relationships and I wholeheartedly endorse this. However, it is patently obvious to any informed observer of the landlord-tenant system in agriculture that it favours the landlord. Short lengths of agreement, restrictive tenancy terms and high rents provide maximum benefit and flexibility to landlords and place additional burdens on existing and prospective tenants. The system needs to be levelled up. With more individuals looking for opportunities to take on tenancies in comparison to those offering land, it is clear that there is a market failure, which the Government need to step in to correct, both by considering sensible changes to legislation and the beneficial taxation environment within which landlords operate. It is obvious that the financial incentives are driving perverse behaviours that are in direct conflict with the good intentions of current legislation.
Agricultural tenancies are crucial to our farming industry, our farmed environment and our farming future. Reforms are vital. A specific agricultural tenancy Bill is essential and I hope that the Minister will respond positively to that call.
I thank the noble Baroness, Lady Rock, for giving us this opportunity to debate this important issue. I began my working life on the fells of Cumbria and have maintained an interest in upland management ever since. The Government’s Agriculture Act 2020 potentially offers great opportunities for the upland, with public payment for public good—blending environmental, forestry and farming approaches —but there are challenges. In recent days, an issue has come to the fore in Cumbria that illustrates this.
For over a century, the Newton Rigg agricultural college has provided research, advice and education throughout the area, particularly in upland management as well as mixed dairy. Furthermore, it was the National School of Forestry for England—a highly respected college. About 10 years ago, Askham Bryan, a college in Yorkshire, acquired Newton Rigg for the token amount of, I believe, £1. Now, facing severe financial difficulties itself, it has put the assets of Newton Rigg up for sale. The tenants, Newton Rigg, obviously will lose their asset, which is their land. This is simply a piece of asset-stripping of the worst kind and it will remove a time-honoured source of advice to upland farmers in particular, when it is most needed. The move has caused great difficulties across Cumbria. Will the Minister heed our voices and, perhaps, help?
My Lords, I declare my interests as set out in the register. I own two tenanted farms in north Northumberland, in the Redesdale valley, both of which are governed under the 1986 Act. The farms are family-run businesses that have passed down through the generations and hopefully will do so in the future.
Upland hill farming at present does not make much money; incomes are low and therefore farm rents are not high. When the necessary and growing legal responsibilities of landlords are included, such as the recent electricity safety regulations, there is the real possibility that landlords can make a loss year on year. In my case, I calculated that if I rented out the farmhouses as holiday cottages, I would make far more than I do at present renting out the entire farm, although I should stress that I have no intention of doing this.
I raise this issue because upland farm incomes are moving from being based on traditional intensive stock rearing to environmental improvement schemes. While this is an important transition, understanding how these schemes will affect farm income in the long run will be vital, as many of the schemes, such as tree planting, will be funded in the short term, but there needs to be consideration and clarity on how this will be sustainable in the longer term when the schemes end. The Government’s target for tree planting, for capturing carbon, will require vast areas of woodland to be planted. I have planted thousands of trees, which is great for biodiversity, but it is taking land out of grazing and therefore income from the farms in the longer term.
Predicting future income sources when the entire funding of farming is changing is difficult and will cause many disputes between landlords and tenants. Any certainty that the Government can give in a post- CAP world, especially on the longer-term income from environmental stewardship schemes, will be vital for the take-up and sustainability of those schemes.
A final point is that, before any further reforms are brought forward in legislation, the implications of the operation of the Agriculture Act 2020 need to be given time to be evaluated. I should also say that the TRIG has done excellent work in the past.
My Lords, I declare my interests as listed in the register. Interestingly, they include having been both a landlord and a tenant, so I see both sides of this argument. I endorse a lot of what the noble Lord, Lord Redesdale, has just said, particularly about finding more ground to plant trees. We have to approach these changes carefully. Noble Lords may recall the 1986 Act, which was intended to help young farmers. It was one of the best examples ever of the law of unintended consequences, in that no new farm tenancies were issued, as far as I know. However, I believe passionately that we need to make it easier for young people to get into farming. Unless you are very rich or you come from a landowning family, there is no chance whatsoever.
Looking at the whole question from the landowner’s point of view, again I think that we have to tread carefully, because people can be encumbered with families who do not farm well. If we extend things too far, you cannot get land back that you might want to use for your own family.
I would like to make one final point, which may not be raised by the other speakers. I feel, especially as we are now going to move to a new subsidy system, that we need to look carefully at how this is regulated and what clarity is given to it. For example, I have seen agreements where the landlord takes a subsidy and the tenant should pay slightly less, but it does not always work out that way. There have been problems on both sides—I am not blaming one or the other—but it would be useful to have clarity on this. That would help to remove issues that can cause conflict.
My Lords, it is a pleasure to follow the noble Lord, Lord Berkeley of Knighton, and to hear his interesting points. I also thank my noble friend Lady Rock for introducing this debate and setting out the important case for acting to help tenanted farms.
I want to express some concern about 1986 Act tenancies—that is, those granted before 1 September 1995 and hence still governed by the Agricultural Holdings Act 1986. About one-third of agricultural land is let. I am not sure what percentage is actually subject to the 1986 Act, and I hope that my noble friend the Minister, who is so adept in these areas, will be able to give that figure and also, perhaps, the number of farms in the country that we are talking about. But if he does not have that to hand—and I appreciate that these are relatively detailed points—perhaps he could write afterwards.
There often exists a problem with regard to succession rights for tenants under the 1986 Act. How can older tenants, with no immediate successor to whom they can transfer a tenancy, be encouraged to retire? I know that the Government considered extending succession rights to nieces, nephews and grandchildren but did not take up that proposal. Could my noble friend relook at that with the Government, because it seems a perfectly sensible proposal? I raise that point as there are limited options available to hand over to a new tenant when there are no immediate obvious successors.
I welcome much of what was done in the Agriculture Act 2020. However, as my noble friend Lady Rock pointed out, there are now problems with rather short leases. What are we doing to encourage landlords to let for longer periods? That is the only other issue that I wish to raise.
My Lords, I declare my interests, as set out in the register. This debate enables the airing of some important considerations in relation to tenancies and taxation. However, with the huge number of uncertainties facing farming now that the Agriculture Act has been passed, the timing is not right for further legislation. The Government have succeeded in abolishing the old agricultural system but have not announced in any depth what is the replacement.
We have to stop for five minutes while a Division takes place in the House.
That was not the Bell—it was the noble Lord’s phone.
I apologise to noble Lords—can the noble Lord resume, please?
I was saying that the Government have not announced in any detail what happens next, so farmers are unable to plan. This could involve both tenancy and tax matters. For example, let us suppose that they want to enter a tree-planting scheme under the ELMS, and their tenancy excludes silviculture, or the ELM scheme that they enter has a 25-year life, whereas their tenancy is a 10-year FBT, and so on. Details of ELMS may be unavailable until 2024. Those are the real issues that must be resolved by the TRIG.
The introduction of ELMS may have adverse tax consequences, as current tax rules operate as a disincentive to diversification in how they treat investment and trading activities differently. Leaving aside that information gap, I congratulate the Government on the reform measures in the Act, which were agreed by the whole industry, rather than spending time on divisive old chestnuts such as reform of AHA succession provisions. These restrictive tenancies, designed for issues of a different age, do not satisfy either landowners or succeeding tenants, who want the flexibility of an FBT where consensual terms are agreed. Other mooted changes such as introducing reasonableness tests and minimum tenure FBTs are unlikely to secure widespread industry support. I urge all reform to be on a consensual basis.
Please could the noble Lord draw his comments to a close, as there is a Division in the House?
My Lords, my noble friend Lady Rock gave a powerful speech in introducing this debate. I particularly support her comments on rogue landlords who are abusing the system and I hope that my noble friend the Minister and the Treasury will take note of that.
There are two different types of tenants. The Agricultural Holdings Act tenants, who farm about 1.3 million hectares, face the problem that most do not have any woodland in their tenancy—it was excluded when the tenancy was drawn up. What help will the Government give them with becoming more environmentally friendly, and with planting trees and understanding the possible difficulties?
The other group, the so-called farm business tenancies—they are not really tenancies, as my noble friend pointed out, because they are only about four years long—have a different problem. The dichotomy here is between the high rent demanded by landlords and the environmental obligations that the Government want all users of land to undertake. Landlords inevitably want the highest rent, but you cannot do that on a short tenancy. Furthermore, the farm business tenancies are having to plough up grassland and turn land over to maize for biodigestion in order to meet those high rents. Those landlords are irresponsible; they are not caring for the future of the land and are diminishing their assets. This will also thwart what the Government hope to achieve by the Agriculture Act that we have just passed. My noble friend must attack tenancies in two different ways, but what support—and what hope—can he give to make farm business tenancies more environmentally friendly?
My Lords, the noble Earl, Lord Caithness, has really hit the nail on the head, as one of the major problems we will face with ELMS is introducing it on farms that are tenanted. I add my congratulations to the noble Baroness, Lady Rock, for her excellent, comprehensive and succinct opening speech.
I thank the Tenant Farmers Association for its excellent briefing, which points out that short-term tenancies are holding back progression, investment and sustainable land use—which are exactly what will be needed in abundance if the environmental land management scheme is going to result in what we all want, particularly in the upland areas that the noble Lord, Lord Clark of Windermere, referred to. Whether people there are tenants or owners, they have to get an income from the farm. If a lot of that income comes in future from government grants and environmental schemes, the relationship between landlords, tenants and the grants will be crucial. Will the pilots and the national pilot devote sufficient attention to relatively small tenanted farms—or perhaps large farms with large amounts of grazing—in upland areas and how they will cope with doing everything that the Government want them to do?
My Lords, my interests are as recorded in the register. I am delighted that the noble Baroness, Lady Rock, has sponsored this debate and introduced it so eloquently, but regret that we have only two minutes to speak.
I have farmed as a tenant farmer all my professional life under a variety of arrangements, from Agricultural Holdings Act tenancies to FBTs to a range of share-farming arrangements. At one point, I had four different landowners and six different arrangements. The time is right to review tenancy arrangements and the relationship between landlord and tenant. I have the added benefit of being able to view the world from both sides of the fence, having been a board member of the Crown Estate and, for the past 10 years, a trustee of Clinton Devon Estates. We need much more flexible arrangements between landlords and tenants, so reviewing legislation to try to achieve that would be really helpful.
The relationship between landlord and tenant needs to be much more of a partnership, whatever the legal arrangement. If we are to deliver improvements in soil health, restore habitats, improve biodiversity, reduce diffuse pollution and so on, short-term FBTs with often disengaged landlords will not achieve this. Landlords and tenants will need to agree plans, particularly in tier 3 of ELMS. This will challenge traditional arrangements.
Landlords should also take the opportunity to look at restructuring, as some tenants will inevitably retire as a result of the change in policy. If possible, they should provide rural housing for retiring farm tenants. I also make a plea to landowners that farms that may become available through retirement be let to young, new tenants if possible, rather than taking the easy, default option of merging with existing farms. The reduction in the number of farm holdings is a real concern. Landlords should be willing to take the risk with a number of their farms within their land holding to encourage new blood. The Minister may be aware that I have had conversations with his officials on this matter and I hope that the changes will result in new entrants to our sector.
My Lords, I am delighted to follow the noble Lord and I congratulate my noble friend on securing this debate. I pay tribute to all farmers, who have worked tirelessly through this pandemic to put food on our plates in extreme weathers, in England and Wales especially, and I pay regard to the fact that tenant farmers account for 30% of those who farm in England and Wales and nearer 48% in North Yorkshire.
My main concern reflects that of other noble Lords: tenants who occupy the land under farm business tenancies. They account for up to half the tenanted sector of agriculture in England and Wales, and the tenancies are characterised by short-term lets and restrictive clauses. There is unfinished business from the Agriculture Act 2020 and I seek an assurance from the Minister today that these tenants, particularly FBT holders, will not be excluded from new government schemes replacing the CAP or indeed from any private arrangements for the better environmental management of the land. Will my noble friend therefore confirm that the beneficiaries of the new schemes will be the economic operators, those taking the entrepreneurial decisions and the tenant who actively farms, not the landlord, as that would be singularly inappropriate if they are not actively managing and farming the land?
My Lords, I declare an interest as a farmer, landlord and past tenant farmer.
In haste—if we want our agricultural productivity to compete with other nations’, we need fresh blood and, for agricultural tenancies to proliferate, to bring that fresh blood in we need to have a system that encourages both sides to get involved. Tenants need the incentive to invest in their soil and infrastructure. In my view, no tenancy should be for less than seven years and, if possible, it should be renewed for a further seven years unless there are good reasons not to, which could include, for instance, the landlord having a family who want to farm, or even wanting to sell the holding. However, a second term should be the norm.
Extending succession provisions of older tenancies to wider members of the family would not help. Interfering in existing contracts sends all the wrong messages to landlords and it would not open up our farms to all our best students, who do not happen to have a sitting tenant as a relative. Succession tenants are not necessarily the most able and, for our agriculture to catch up with others’, we must ensure that all of our very best can have their chance.
Equally, to encourage more lettings, HMRC needs to recognise the concept of the rural business unit, whereby you can have different enterprises operating on a holding but treated as one business for the purposes of tax. One of those permitted enterprises should be long-term agricultural tenancies. If that were to happen, long-term tenancies would flourish. Incidentally, agricultural tenancies themselves should be able to include a variety of enterprises, especially and including ELMS.
I stress again that, for agricultural tenancies to proliferate, the motivations of both landlords and tenants must be accommodated.
My Lords, I declare my landowning and farming interests and my other declarations in the register and join the noble Lord, Lord Clark of Windermere, as a fellow Cumbrian and chairman of the Cumbria LEP, in respect of his comments about Newton Rigg College.
The recent debates on the Agriculture Act 2020 in your Lordships’ House showed the interest in and the disagreements about the future of agriculture, otherwise known as rural England. Changes are afoot across the land. For the past two or three generations, buttressed by town and country planning legislation, the countryside has been almost exclusively a focus for farming and forestry. We need to be clear that upland and lowland farming and animal and arable farming are different. Indeed, in some ways, forestry is a form of arable farming. Living we do as in a country where the landlord and tenant system is prevalent in all kinds of different forms across all urban and rural Britain, how then should arrangements work, especially at a time of change?
Too much current discussion is focused on today and the existing legislation when a new look is required right across the piece. I believe that ad hoc tinkering is likely to lead to muddle and injustice. What is the role of contract and what is the role of legislation, be it hard or soft law? Everyone knows that change always costs money, but agriculture’s economics have been battered and the national finances are under the cosh. We have to be clear that working capital must be retained in the sector because, if it is not, constructive change will be paralysed. This is why, as the noble Lord, Lord Cameron, said, the long-standing ideas of the CLA about the rural business unit have found their time. It is completely self-evident that bringing about change needs a complementary tax regime that does not haemorrhage working capital from the sector.
My Lords, tenant farmers have more effect on lives than may be appreciated. My experience came from when I was a parliamentary candidate in Cornwall and had a home there for a number of years afterwards. The farmland was occupied by a tenant farmer whose three daughters almost matched my three daughters—the benefits to all six were remarkable. The Cornish girls took my girls down to the brooks, the milking shed and the wonderful spots and showed them a bit of what farm work was like. The three Cornish girls had new “virtual” lessons. As adults, the eldest married and went to South Africa, where she runs a successful hotel business, and the second went to Australia, where she holds a major office in the Queensland police, but the third one was the really big surprise. Everyone was worried because she had poor eyesight and thought that that would hold her back terribly, but she achieved a remarkable thing for a Cornish girl: she ran the patisserie in Harrods. I met her again there many times.
The farmer with a short lease needs to be supported, because why would you put in a huge effort for someone then to grab the land away from you? That would be very wrong. I am pleased to support the idea put forward by the agricultural people.
My Lords, I thank the noble Baroness, Lady Rock, for calling this key debate. I note my interests and the fact that I speak with modest experience as the co-chair of a local agricultural tenancies working group.
Given that tenants farm one-third of the agricultural land in England and Wales, tenancy reform will undoubtedly have a large impact, but that impact pales in comparison to that of the Agriculture Act and the introduction of ELMS. I therefore urge caution against a rush to further immediate reform and suggest that we need time to understand ELMS and farmers’ new role as environmental land managers before enacting further change. In an ideal world, TRIG would continue its excellent, consensus-driven work during the agricultural transition period before recommending a comprehensive reform that will complement ELMS and improve farming.
FBTs were introduced to increase new entrants and improve productivity, as we heard, yet the average age of farmers remains over 60 and productivity has flatlined. The fact that the average farm business tenancy lasts for only about three years is a complete failure. Such short-termism may be profitable, but it is a disaster for our soil. From personal experience, I know that it can take years and considerable cost to build organic matter in soil, so why would a tenant farmer do that with only a three-year tenure? Equally, how does a landlord implement a long-term stewardship vision for land without a long-term relationship with those who farm it? Can the Minister therefore explain how ELMS payments might work within the current agricultural tenancies structure, what payments will be the landlord’s and what will be the tenant’s, and whether that will vary with length of tenure? Finally, with the Environment Bill looming, can the Minister please explain how conservation covenants will work within the existing agricultural tenancies structure?
My Lords, I thank the Whips for organising my participation after an administrative snafu, and the noble Baroness, Lady Rock, for calling this debate. It is a pleasure to follow the noble Earl, Lord Devon. We share many concerns, although on this occasion my perspective is different.
I begin with the observation from Defra’s consultation feedback analysis report that tenancies reform is not adequate to tackle the many ills of our current system. It is treating the symptoms of a disease, not the disease itself, which is our acute concentration of land ownership. A lightning recap: half of the land is owned by 1% of the people; much land ownership is not recorded or publicly available; and the vast majority of people cannot get access to land to grow food. A handful of NGOs, including the Kindling Trust and the Biodynamic Land Trust, go to great lengths to get land for a small percentage of the huge numbers of people who would like to start businesses on it.
Your Lordships’ House is often accused of being medieval, as it sometimes can be, but the very nature of our proceedings demonstrates how fast a change is possible. We need an even larger-scale reform of land ownership and access to land to get us out of the medieval relic that is our 21st-century reality.
I have one specific question for the Minister and one suggestion. In the past, the Government have sought to use policy to achieve consolidation of land ownership. The clear view has been that the increasing size of farms is inevitable and even desirable. That has been hugely destructive to the environment, productivity and public health, with the focus being on grain and oil production rather than vegetables and fruit. It has also led to the hollowing out and ageing of rural communities. Have the Government abandoned this ideological position? Are they looking to increase the number of growers and farmers in the UK, and to reduce the average size of growing and farm businesses? My suggestion is for the Minister to read, or get one of his officials to read, a quite short book: Miraculous Abundance: One Quarter Acre, Two French Farmers, and Enough Food to Feed the World.
My Lords, these Benches support many of the proposals and share the concerns articulated this afternoon, particularly the idea that we now need some reforms as a matter of urgency. TRIG has done some great work in pointing the way to the most urgent of those. The fact is that the Agricultural Tenancies Act 1995 has not achieved what it set out to do to improve the land; nor has it brought in a new generation of farmers.
It is clear that landlords and tenants should be free to exercise a degree of reasonable flexibility where change can lead to more efficient and effective farming of the holding. It is essential for farmers to be able, within reason, to extend their activities to become more viable.
Many noble Lords have expressed concerns about the lack of information on how the new agriculture regime will play out in the relationship between tenants and landowners. Those concerns were set out by the noble Lord, Lord Carrington, the noble Baroness, Lady McIntosh, the noble Earl, Lord Caithness, and my noble friend Lord Greaves, and others. It is also clear that we need a more open, less confrontational and faster system of dispute resolution, ideally based on real understanding and collaboration between landlords and their tenants.
I disagree with the noble Earl, Lord Devon, about close relatives. We should give some consideration to extending this. It might be more likely that farmers will retire if they think someone close to them will take over the holding. We run the risk of missing chances to bring new people in.
We support the extension of the tenancies and hope that the Minister will respond positively to many of the suggestions that have come forward.
My Lords, I am grateful to the noble Baroness, Lady Rock, for tabling the debate and to all noble Lords who have spoken—far too many to mention individually. The overarching message has been the need to complete the unfinished business of agriculture tenancy reform. I pay tribute to the Tenant Farmers Association in particular for continuing to press this case.
As the Minister said during the passage of the Agriculture Bill, we all want a thriving tenanted sector and an environment in which all types of tenure run strong businesses. But to achieve this we need to address the critical issues that remain to be resolved. In particular, we need to ensure parity between tenants under the 1986 and the 1995 legislation to be able to object to a landlord’s refusal to enter a financial assistance scheme, along with new rights to invest in and improve the productivity of a holding.
I hope the Minister will agree that it is vital that all types of farming operation can participate in ELMS and make their contribution to environmentally sustainable agriculture. Could he also update the Committee on the Government’s plans to bring newer, younger entrants into the sector—those with the energy to drive forward the changes needed in this new era? A number of noble Lords raised that point.
Can the Minister update the Committee on progress since the Agriculture Bill received Royal Assent? Can he confirm that the regulations needed to implement the changes already agreed have now been laid? Are interim non-legislative measures being contemplated? When do the Government hope to bring forward a more substantial piece of primary legislation to address the outstanding issues?
My Lords, I start by declaring my farming interests as set out in the register. With agricultural tenancy matters being devolved, I speak from an English perspective. I express my gratitude, along with other noble Lords, to my noble friend Lady Rock for raising this matter for debate as we start the transition towards a new domestic agriculture policy—a transition that we believe will help our farmers to stay competitive and produce high-quality food, for which they are renowned, while protecting and enhancing the environment, on which a sustainable and productive future depends.
To put the importance of the debate in context, as has been said, a third of all farmland in England is tenanted, with 13% of farms wholly tenanted and 33% with a mixed tenure, both owning and renting land. This variety in land tenure and the ability to rent land flexibly is important, because it enables tenants and owners to expand, responding to market changes by renting out additional parcels of land. It also provides a route into farming for new entrants, bringing new skills and ideas into the sector.
I say to the noble Lord, Lord Clark, and my noble friend Lord Inglewood that I am fully seized of the points made about Newton Rigg. I am in dialogue with the Department for Education and I understand that feelings are running high in Cumbria.
The Government believe that a vibrant and flourishing tenant farming sector is vital. The legislative framework for agricultural tenancies must enable the development of successful farm businesses for tenants and an appropriate rental return for owners. This is how we will maintain confidence in the let sector and ensure ongoing opportunities for tenants and new entrants to land.
As many will recall, we discussed during the passage of the Agriculture Bill the importance of new entrants and the role that renting land through the county farm system has played in facilitating that. In the agricultural transition plan, the Government have set out plans for a new funding scheme to create lasting opportunities for new entrants to access land, infrastructure and support to establish successful and innovative businesses, working with county farm estates and other landowners. We have started work to develop this new entrants scheme through a co-design process, with the aim to provide further details by September and introduce the scheme in 2022.
My noble friend Lady Rock highlighted the role of the Tenancy Reform Industry Group. Defra has regular meetings with TRIG to discuss tenancy policy and legislation. I express my personal thanks to all TRIG members for their work over many years in providing expert insights and advice, but it is the responsibility of government to decide policy.
I hope everyone would agree that developing consensus is the best way forward. A number of points have been made on this. I think the noble Lord, Lord Curry, raised partnership. No contractual arrangement flourishes if one or both parties are unhappy. That is why having the confidence to let more land is key to the route to getting more entrants into the let farming sector. If confidence is undermined, what is to prevent owners withdrawing let land and reducing the opportunities we all dearly want for existing and future tenants to come into the sector?
The tenancy reforms the Government delivered through the Agriculture Act 2020 had widespread support from TRIG and other respondents to our 2019 public consultation. These reforms have helped to modernise and update the Agricultural Holdings Act 1986. They give tenants greater flexibility on when to apply for succession on retirement, modernise the suitability test for incoming tenants, and provide a balanced dispute process for tenants who would be unreasonably prevented from varying outdated, restrictive terms that might be a barrier to entering into future schemes.
The focus of these tenancy reforms is specifically on the older, 1986 legislation, not on the more modern farm business tenancies. This is because agreements under the 1986 Act were negotiated more than 30 to 40 years ago in a very different commercial and policy environment. My understanding is that, with 19,400 AHA holdings and 17,600 FBT holdings, we are seeing a reduction in AHA holdings and an increase in FBT holdings. Of course, we want modern commercial agreements, which the FBTs can provide, negotiated more recently with freedom of contract. They are reviewed more regularly, giving tenants the opportunity to renegotiate terms if that is deemed necessary. That is why the responses to our public consultation, in terms of reform of dispute provisions, for example, were very much concentrated on AHA holdings tenancies.
The Government are working with TRIG to develop the supporting regulations to implement the 1986 Act dispute reforms and to modernise the suitability test criteria for tenants who apply for succession. This will make sure that a fair dispute process is put in place that considers the interests of the tenant and the landlord and that incoming succession tenants show that they have the farming and business skills needed to build viable businesses in future. Following two recent constructive meetings with TRIG, we are making good progress with developing these regulations and, subject to parliamentary time, we intend to implement them later this year. When this focused work on the new tenancy regulations is completed, we will continue our engagement with TRIG to explore whether there is industry consensus on the need for further legislative reform and to consider whether non-legislative options might be effective.
I turn to taxation. One of the first things that I was told when I went on the Front Bench was, “Be very cautious if engaging in taxation matters and always say, ‘This is a matter for the Chancellor’”. I would say to noble Lords that, in my briefing for this debate, I was very pleased to be joined by, as well as my officials, Treasury officials. I will be passing back to the Treasury and assessing the points that have been made in this debate on taxation and I am grateful to all noble Lords for raising those matters. I recognise that the fiscal framework plays an essential role in owners’ decisions whether to let land and on the length of tenancy terms offered. However, I think that other factors are important, too, such as the size, quality and location of the land and personal motivations for owning it.
I am aware of the work that TRIG has done to investigate tax issues, suggesting that tax changes might help to incentivise the letting of agricultural land and encourage longer-term tenancies—for example, through limited income tax relief on farmland rents. The Government are committed to a fair and sustainable tax system and keep all taxes under review as a matter of course—that is the Treasury bit. The impact and potential unintended consequences of tax reform need careful analysis, as I hope everyone would agree.
For example, the proposal from the Tenant Farmers Association to limit the availability of agricultural property relief to owners who let land for 10 years or longer could result in owners instead using other ways—for instance, contract farming or taking the land back in hand—to retain the benefits of that relief. I am mindful of wanting to have the right climate for owners—I think particularly of smaller parcels of land. Unfortunately, there is a historical feeling that this is always about the big estates and small tenant farmers. I think that the opportunities for more land coming on to let will be from medium and smaller-size farmers who no longer want to farm and want to have someone, possibly a neighbour or a new entrant, coming into the industry. Relationships are again essential.
I understand the point made by many noble Lords about longer-term tenancies. It is recognised that they provide security for many tenants to invest and grow their businesses. It is also important to understand that shorter-term tenancies can sometimes be more suitable for businesses—I have heard that from certain quarters, including my noble friend Lord Taylor of Holbeach, who is engaged in a number of these matters. Short-term lets may be more appropriate for some new entrants looking to rent land on a short-term basis to gain experience without committing to long-term potential risks. Short-term lets can also be more suitable for some seasonal horticultural businesses. The flexibility over the length of tenancy and maintaining owners’ confidence in the let sector can only encourage more agricultural land into the let sector. However, I understand the points that have been made about longer tenancies and their dynamic.
Turning to ELM, raised by many noble Lords—my noble friends Lord Caithness and Lady McIntosh, the noble Lords, Lord Greaves and Lord Redesdale, and the noble Earl, Lord Devon, among others—what we are doing here is co-designing. It is essential that we work across the piece with tenant farmers and those working on common land. As part of our co-design process with industry, we are considering questions about the need for landlord consent to tenants entering schemes and the length of scheme agreements to ensure that our future schemes are broadly accessible, as well as providing the stability needed to support the delivery of public goods, such as environmental improvements. Indeed, one of the tests and trials includes six areas where landowners and tenants are working together. An example is an estate in County Durham and North Yorkshire covering an area of more than 7,000 acres. This is about a collaborative system of planning and delivering environmental management on land that encompasses a variety of farming systems and a tapestry of habitats. We want to ensure that the collaboration between tenants and owners can be supported and incentivised.
Many noble Lords asked about further legislation. I would not be straightforward with your Lordships if I did not say that the pressure on primary legislation at the moment across Whitehall is intense. Therefore, it would be wrong of me to make a promise to my noble friend Lady Rock on the timing of any further legislative proposals. We want to get through what we have said we will do with the Agriculture Act 2020 and see how that works. We want to work with TRIG and all interested parties to see how we can have a dynamic tenanted relationship and system. It would be wrong of me to say that I can promise primary legislation in the foreseeable future. I say that candidly because I simply do not have command of the legislative programme. We want to find ways to resolve the points that have been raised today so that there is a genuinely benign and dynamic relationship between owners and what I hope will be an increasing number of new entrants. That is why the work that we are doing with the county farms is so important.
A number of noble Lords raised the issue of trees. Obviously, we want to ensure, whether on owned or tenanted land, that it is the person engaged in the outcome of this, whether the tenant or the landlord, and the person who will be undertaking the work who should have the reward. Where tenants are undertaking that, of course they should be rewarded.
I am starting to get messages of concern from our gallant Whip about the time that I am taking. I assure all noble Lords that these matters are current and live. I am grateful to my noble friend for raising this important matter, as reflected by the considerable number of your Lordships who have participated in the debate, and I will follow it up with a letter in the usual manner to cover some of these important points in further detail.
As this debate has now concluded, the Grand Committee stands adjourned until 3.45 pm. I remind Members to ensure that they have sanitised their desks and chairs before leaving the Room.
(3 years, 7 months ago)
Grand CommitteeTo ask Her Majesty’s Government what role the British Armed Forces are playing in support of the “Global Britain” agenda.
My Lords, I declare my interest as a member of the Army Reserve. On 19 November, the Prime Minister said:
“Everything we do in this country—every job, every business, even how we shop and what we eat—depends on a basic minimum of global security.”
Our people are sustained by
“a web of feed pipes, of oxygen pipes, that must be kept open: shipping lanes, a functioning internet, safe air corridors, reliable undersea cables, and tranquillity in distant straits.”—[Official Report, Commons, 19/11/20; col. 488.]
This, in a nutshell, sums up defence’s contribution to global Britain. But global Britain is also about reinvesting in our relationships, championing the rules-based international order and demonstrating that the UK is open, outward-looking and confident on the world stage. As we await the publication of the integrated review, a subject to which I will return in a moment, I want to start by highlighting just some of the contributions our Armed Forces have made in recent times.
Our Armed Forces are a force for good in the world, providing international security, coming to the aid of the most vulnerable, providing direct humanitarian assistance, delivering aid and peacekeeping. The UK has a proud track record of being on the front line of every major international humanitarian disaster of the last decade. But with a spate of emergencies in the Caribbean in recent years, our ability to respond has been helped by the fact that the Royal Navy maintains a forward presence in central America to ensure that we can always be on hand whenever disaster strikes, particularly in the hurricane season.
In November 2020, more than 80 personnel assisted Belize with disaster relief in the wake of Storm Eta by providing planning and medical advice, moving vulnerable people to safety, distributing food and water and building flood defences. The year before, RFA Mounts Bay delivered essential aid to the Bahamas, which had been devastated by Hurricane Dorian, and in 2017 more than 2,000 Armed Forces personnel provided humanitarian and disaster relief to the Caribbean islands left devasted by Hurricane Irma. They distributed 135 tonnes of aid, provided 10 million gallons of safe water and supplied 500,000 water purification tablets, as well as sharing skills and lending equipment to repair infrastructure.
But it is not just in the Caribbean that UK military forces have been providing support. In west Africa, since June 2020 we have transported vital supplies to communities struggling against Covid-19, through RAF transport flights. In particular, we delivered the components for a field hospital to Ghana to treat victims of Covid-19.
Our reputation in the region as a partner of choice has grown following our provision of long-term support on the ground during the Ebola outbreak in Sierra Leone, where we built new medical facilities and provided additional medical support. In the Mediterranean last summer, the UK deployed HMS “Enterprise” to Beirut to deliver supplies and provide vital survey data that allowed the port to return to normal operations after the explosion. We also provided supplies to house and feed up to 500 soldiers from the Lebanese Armed Forces who were working on the relief operation. Even further afield, in the last few years we have delivered support such as shelter kits, solar lanterns and water purifiers to Indonesia and Vanuatu in the South Pacific, following natural disasters, and deployed teams from the Queen’s Gurkha Engineers to help support their fellow nationals in Nepal in the aftermath of devastating earthquakes.
In 2021, as we become a truly global nation, I seek the Minister’s assurance that with such a strong track record of humanitarian support, we will continue to prioritise our defence assets to support the safety of communities around the world. Of course, the principal role of the military is to deliver security, and I am pleased that recent years have witnessed an increase in the UK contribution to international peacekeeping. I have been part of NATO missions in Bosnia, Kosovo and Afghanistan, so the subject is close to my heart.
I have been fortunate to visit two recent success stories. First was the deployment of personnel to support UN, African Union and EU peacekeeping missions to counter al-Shabaab in Somalia. Indeed, in March last year, the first 400 Somali National Army soldiers graduated from a new UK-supported training facility in Baidoa. The second was equally impressive: our contribution to the UN mission in South Sudan, where we have deployed a regiment of Royal Engineers and, for a period, a field hospital. UK service personnel also undertook a wide range of educational support to civilians, including English language and computer training, as well as practical skills such as carpentry and mechanics.
Bringing us completely up to date, the recent deployment of 300 UK military personnel to the UN peacekeeping mission in Mali, where they will help to promote peace and counter instability, is in addition to the three RAF Chinooks and their teams that have been supporting the French counterinsurgency operations in the region since 2018. As we look forward to an ever increasingly global Britain with trade at its heart, it is worth recognising that, since the 1980s, we have maintained a long-standing maritime presence in the Gulf and Indian Ocean, now known as Operation Kipion, to ensure the safe flow of trade and oil, while also promoting peace and stability in the region. While not wishing to be fixed in any particular mission, can my noble friend the Minister reassure us that the overall recent increase in support to UN missions will persist?
In addition to humanitarian relief and security, the other key element of defence’s potential contribution to delivering a global Britain will undoubtedly be our ability to assist our allies with training. Training support comes in two forms. Examples of international training are the UK’s ongoing contribution to peace in the Democratic Republic of the Congo, where we are providing training on human security, including gender advisory work to promote stabilisation, and in Iraq, where over 6,000 members of the Iraqi security forces have now been trained by UK soldiers. Training is also delivered here in the UK through a variety of courses for all ranks, from junior commanders to the world-famous Royal College of Defence Studies, aimed at nations’ future leaders. I highlight the MoD’s internationally renowned defence human security advisor course, which covers topics including women, peace and security and has trained 20 international personnel a year since November 2018. One often-overlooked fact, however, is that the extensive network of defence attachés and regional-based training teams means that the MoD has a larger international footprint that the Foreign, Commonwealth and Development Office.
I have always been deeply impressed by the MoD’s defence engagement strategy and am delighted that this is now firmly a mainstream career option for our service personnel. It is also a key component of the UK’s soft power along with, for example, the BBC World Service. Can the Minister tell us what plans there are to have a genuinely comprehensive cross-government approach to prioritising and delivering soft power influence?
Looking to the future, we await the publication next month of the integrated review, which should deliver, in the language of the grand strategic approach, the ends, ways and means of the Government’s future ambitions. However, it is worth noting that the MoD has already quietly published some of the detail of the ways, or how, it intends to operate, in the Integrated Operating Concept 2025—the IOpC—last September. This sets out a new approach to how we will use our armed forces in an era of persistent competition and the rapidly changing nature of warfare. Representing the most significant evolution of UK military thought in several generations, it will lead to a fundamental transformation not only of the UK military, but how we use it.
It articulates a clear distinction between operating and warfighting, and reasons that while ultimately we need a contingent capability for our military to defend the nation and fight a war, our military should also be out and about in the world, operating—namely doing useful things, helping to build alliances and responding to crisis—rather than simply training as a contingent force. This is good news, as it implies that the MoD will be encouraged to do even more of the sorts of tasks with partner nations that I have highlighted in support of global Britain. Can the Minister confirm that this will be the case?
The IOpC also makes clear that we must be prepared to be enduring in our commitment and forward deploy our Armed Forces. There is no better example of this than the recent forward deployment of HMS “Montrose” to Bahrain. I hope that in the coming years, further Royal Naval assets, including offshore patrol vessels, frigates and future commando elements, will also be persistently forward deployed. I was fortunate, as Minister for the Armed Forces, to travel to 58 partnering nations. The one consistent message that I received was that, while the training and support that we offered were viewed as some of the best in the world, we would be there one minute and gone the next, which is why this move to persistent engagement will be the key for defence’s contribution to global Britain.
I end by highlighting that, in May, a carrier strike group led by HMS “Queen Elizabeth” will undertake our most ambitious deployment for two decades, encompassing the Mediterranean, Indian Ocean and east Asia. If the security of our nation is where defence meets prosperity meets global influence, then this deployment, and those global deployments that will follow, will be flagship events for defence’s contribution to global Britain.
My Lords, I thank the noble Lord, Lord Lancaster, for securing this debate. There is of course a UK and NATO defence base on Gibraltar, with important facilities and which is strategically placed at the entrance to the Mediterranean, which I visited as a Minister in 2001. I therefore welcome the joint announcement on 31 December 2020 by the UK and Spain that they had reached agreement on a “political framework” to form the basis of a separate treaty between the UK and the EU regarding Gibraltar, under what Spain’s Europe Minister called “co-responsibility”.
The agreement eliminates any physical checks at the land border with Spain, bringing Gibraltar within the Schengen zone, the customs union and the single market. This seems a common-sense outcome that will secure UK defence and other interests, lift the shadow of historic Spanish restrictions over the rock and offer citizens of Gibraltar and Andalucia the basis for a positive stable relationship, based upon future co-operation rather than historic confrontation.
I too thank the noble Lord, Lord Lancaster, for introducing this debate, but I fear that much of the British public sees global Britain as involving the British Council rather than the British Army, and certainly not the intractable problem of Mali, currently the most dangerous of all United Nations peacekeeping missions. The humanitarian achievements of our armed services are legion and demonstrate in a very practical way their capacity for dealing with the unexpected, but if the Army is to be deployed on missions such as Mali, the criteria for doing so must be spelled out clearly in public, and must include the possibility of mission creep.
My Lords, all Members of this House recognise that the Armed Forces already convey an excellent image for the United Kingdom whenever and wherever they deploy, and that in so doing, they help the Government to meet their aspiration to be a global force for good. To paraphrase the Prime Minister, our Armed Forces are one pillar of the Government’s ambition to safeguard Britain’s interests and values by strengthening our global influence. This entails having a United Kingdom presence that can be seen and felt physically on a worldwide basis, capable of exerting soft or, if necessary, hard power, at any time, and wherever it might be needed on any continent or ocean.
A maritime strategy that involves forward deployment is fundamental to this, and such a strategy is in place today, embodied by the carrier strike group deployment later this year. It will be enhanced by the emphasis given to the importance of a strong Navy by the Prime Minister in his speech on defence in November, a sentiment that I commend to your Lordships.
My Lords, our International Relations and Defence Committee report on the UK and Afghanistan, published this month, demonstrates the important role that our Armed Forces play in supporting global Britain. We welcome the significant part that the UK has played in NATO’s resolute support mission. In particular, our establishment of the Afghan National Army Officer Academy in Qargha, colloquially known as “Sandhurst in the sand”, has trained and improved the leadership capability of a generation of Afghan national defence and security forces, which face the challenges of the Taliban insurgency. Several alumni occupy senior positions in the Afghan Government, which has helped to build closer ties between the UK and Afghanistan. The initial UK training agreement was for 10 years. Does my noble friend agree that this programme is valuable for the global Britain agenda and should continue to be funded?
My Lords, if the Armed Forces are to continue to promote global Britain, we must look after them and fulfil our obligations under the Armed Forces covenant. Research by the Royal British Legion and Poppyscotland points to the difficulties that veterans are encountering in getting benefits assessors to understand post-traumatic stress disorder when scoring health assessments for disability benefits. One stated that:
“I supplied a consultant psychiatrist’s letter stating all my mental health conditions. I scored zero. This is laughable”.
I agree. A government spokesman has said that the report would be given careful consideration, but consideration must be given both carefully and urgently if we are to continue to promote global Britain.
My Lords, we have a disgracefully short time in which to debate a vital topic. I agree with virtually everything that the noble Lord, Lord Lancaster, said in his introduction. My fear is that the promotion of global Britain gives us back the idea that we are somehow a global great power. We have to recognise that we are not. We should not go back to the decision to withdraw east of Suez that we took in 1968. We have plenty of interests in Europe and its neighbourhood, where we have to play a vital role, given the Balkan tinderbox, the dangers of Russian revanchism, tensions in the Mediterranean and the north African problems to which other noble Lords have referred. We must avoid overreach. I support a stronger defence budget, but we must not imagine that we are what we were.
My Lords, I congratulate the noble Lord, Lord Lancaster. I put down peacekeeping and training as the main thrust, or a very large part, of what any modern force should be doing. As the noble Lord has covered that, I limit myself to a couple of questions.
If the Army, Navy and Air Force are all going to be taking part in this, what will be the spending commitments and procurement process that place it on an even keel, with major battle-fighting capacity, compared with other nations of our status or bigger? Do these things feature in the planning? Defence spending has a habit of getting sucked into big projects, with egos involved. Are we going to take some steps against that? Are we going to include the police in any form of training going forward, as well as the Armed Forces?
My Lords, some might thing that the UK, in claiming for itself the title “global Britain”, was being more than a little pretentious. The challenge is to substantiate the claim, and the route to that substantiation is the gaining of influence in the world, a reasonable ambition in the post-Brexit era. The real influence comes through a combination of the UK’s hard and soft power, a true integration of the skills of our diplomats, the strength and versatility of our Armed Forces and the correct focusing of our international development budget.
While I applaud the recent and significant increase in our defence budget, a welcome addition to our hard power, I am utterly dismayed—along with former Prime Minister Theresa May, the most reverend Primate the Archbishop of Canterbury and others—by the decrease from 0.7% to 0.5% of GDP in our international development budget. In the overall context of the Chancellor’s fiscal challenge, this £4 billion saving is tiny, but the damage that it does to the global Britain aspiration and our international reputation is huge. Would the Minister like to comment on whether this truly awful decision will either be reversed shortly or maintained solely for one year?
My Lords, we must strive to be the foremost player in European defence by bolstering NATO and playing a constructive and key role in European security. Further afield, with China having proved willing to announce the new Hong Kong security law and the detention of Uighur Muslims, we see passions run strong. The careful meshing of foreign policy, trade and defence interests against a backlash in public opinion over relations with China will provide an early and stern test for the British Government’s definition of global Britain. A strong defence policy will have a key role to play in the recalibration of Britain’s influence in the world, best delivered through an integrated and synthesised approach to security, defence, development and foreign policy, with a growing role in peacekeeping and humanitarian work. The welcome defence spending increase over the next four years will provide a real opportunity for global Britain to deliver and influence outcomes. In such uncertain times, that should be welcomed.
My Lords, I must admit to fearing that our Armed Forces are currently too small to satisfy the Government’s aspirations for us to be global Britain after Brexit or the CDS’s vision of a more forward-deployed military. The Army certainly has no surplus after those required to help with the pandemic have been removed—plus its contributions to NATO’s enhanced forward presence and UN peacekeeping operations in Cyprus and Mali. The realisation of the Government’s aspirations is therefore very much resource related.
My Lords, global Britain will only progress in alliance with our key allies, be it the US, France and so on. Of course, I welcome the increased funding and the four-year settlement, but hard choices remain. We have to ask ourselves whether we, as a middle-sized country, can do everything across the spectrum with excellence, as the Defence Secretary claims. Can we be everywhere, in all the theatres, as the noble Lord, Lord Lancaster, implies? I reflect that the increase in funding and presence worldwide took place at a time when we were a member of the European Union. Nevertheless, we took important and sovereign decisions. Was EU membership in any way a constraint on our defence posture in terms of procurement or deployment?
My Lords, the Chief of the Defence Staff, General Sir Nick Carter, has repeatedly called for a multiyear defence settlement to enable the military to invest in constructing a modern defence capability. I echo that plea. If the military is to be able to deliver the integrated operating concept, a pivotal strategy for global Britain, with its emphasis on continuing cyberwar against authoritarian states, it needs long-term investment in technology.
Secondly, the noble Lord, Lord Campbell of Pittenweem, spoke of the horrors continuing in Mali. Some 220 UN peacekeepers have been killed there since 2013, eight of them in the last four weeks. Our UK mission there is under-resourced; it needs helicopters —absolutely essential for providing crucial casualty evacuation—and it does not have them. Would the Minister examine that situation?
The noble Baroness, Lady Warsi, has withdrawn, so the next speaker is the noble Baroness, Lady Coussins.
My Lords, our Armed Forces are a shining example of how to teach, learn and use foreign language skills. The Defence Centre for Languages and Culture teaches 40 different languages. Will the Minister confirm that its funding is secure? Local interpreters are vital, but lessons learned from Iraq and Afghanistan led to a step change in our own language training, essential also for peacekeeping, conflict prevention and humanitarian aid. Language skills are required for promotion, conform to NATO proficiency standards, and attract a financial reward. Will the Minister ensure that this best practice is more vigorously disseminated to promote more widespread cultural change under the banner of global Britain, including throughout the Civil Service? Our Armed Forces show that multilingualism is not just useful but valued—a really important part of what global Britain should look like.
My Lords, I am not terribly keen on the term “global Britain”, but some Members have already pointed out the necessity to join up our activities. Embassies need to ensure that they have economic as well as diplomatic and military representation, because it is entirely the bringing together and integration of these services that enables us to promote our interests and those of the wider security of the world. Our Armed Forces have been underfunded for many years, particularly our Navy. We also have to pay attention to Africa, which will be the great powerhouse of the future, with a growing population. We should be able to capitalise on our historical connections there, and I strongly urge the Minister to do so.
My Lords, like the noble Lord, Lord Lancaster, I will always remember the support of our Armed Forces for the people of Kosovo 20 years ago. Our soldiers did a lot of humanitarian work at that time; in fact, they acted as aid workers alongside the UN. The reverse is sometimes true as well—that aid workers have to defend themselves, and staff are casualties, often unreported. Those soldiers were carrying out a mission under the UN principle of R2P, responsibility to protect, and my question to the Minister is: does that principle still hold good in defence circles, because we seem to hear less about it? The Conflict, Stability and Security Fund combines the skills of DfID and the MoD. As we have heard, we have sent 300 Light Dragoons and others out to Mali, adding to 100 already taking part in the French-led Operation Barkhane. I know the region, and I can only wish our soldiers and aid workers well. As has been said, this is a dangerous area where men of violence occupy places where government fears to tread.
My Lords, I thank the noble Lord, Lord Lancaster, for introducing this short defence debate, so necessary in these perilous times. We have left the European Union but not Europe, and with the major new extra funding for our Armed Forces, together with transformation and innovation, we are by far the strongest member of NATO in Europe. President Biden will undoubtedly need help to inspire the democratic allies of the United States, of which we should be far the closest. Statecraft and networking has always been one of our special strengths; we are recognised as one of the best in the world at it. The Prime Minister and the Foreign Secretary will play key roles in helping and influencing the President accordingly, while developing our own urgently needed long-term foreign policy. Con Coughlin’s excellent article in yesterday’s Telegraph is a key geo-assessment of how dangerous the world has become, suggesting that Beijing, Moscow and Tehran represent by far the most dangerous totalitarian states. I totally agree.
My Lords, the UK has one of the strongest and most powerful combinations of hard and soft power in the world. Our Armed Forces are respected around the world as the best of the best; in fact, the noble Lord, Lord Lancaster, mentioned soft power in his opening speech. I am an honorary group captain in 601 Squadron of the Royal Air Force, and the announcement of the new Space Command is a major development given the increasing threat in space and the need to prioritise this capability and ramp it up at speed. Does the Minister agree that our Armed Forces should continue to build closer links, with joint exercises and exchanges of personnel, with other countries such as India? Our Armed Forces are truly a crucial and prominent part of global Britain.
My Lords, it is hugely welcome that the Government define global Britain as a commitment to uphold the international rules-based system. That is not a given, as it might have seemed only a decade ago. There are daunting and growing challenges on that front. The Armed Forces’ capability is vital, so all eyes are on the integrated review, particularly the ability to project a naval and cyber deterrent into the Indo-Asia-Pacific region in the decades ahead. What is important is not simply the Armed Forces’ capability, however; this is about the will to act. Recent episodes such as Syria have shown that, if that is not there from the United Kingdom, we can allow nations with far inferior capability to become dominant. Global Britain must be about being a committed, enduring global leader, right from the very top.
The increasing challenges that Britain and our friends face in the world are very real. While commercial shipping demand grows inexorably, climate change is opening up new trade routes. The challenges multiply. The need to influence, to project our values and, where necessary, to compete—all those factors are focused on the world’s oceans. We should look to support our friends and partners where appropriate and able. Britain’s forthcoming new investments in maritime defence assets is not unique. It is to be seen also in other navies such as Australia, Canada, Japan, India, France and the USA. I draw attention to the calibre of our people. Their dedication, professionalism and can-do spirit are truly remarkable. At a time of profound national challenge and change, they have a special power to inspire us all, at home and around the world—soft power.
My Lords, we all await the delayed integrated review. I too welcome the extra £24 billion for defence and our Armed Forces, but think it somewhat perverse to allocate the extra funds before working out the detailed strategy that they are meant to underpin. Should not Her Majesty’s Government work out the strategy first and then commit the necessary funds to achieve it? We need a coherent and comprehensive defence strategy if the funding is to be effective. Can the Minister confirm that, as part of the global Britain agenda, Her Majesty’s Government will strengthen their “east of Suez” strategy—for example, working with our regional allies to better protect freedom of navigation in the South China Sea in particular and the western Pacific in general?
My Lords, in my one minute, I make an impassioned plea for Britain to be less global in strutting its military might across the world. We already have a military presence on 145 sites in 45 countries. If other members of our so-called Security Council were to follow our example, our fragile world would become even more dangerously unstable. Does the Minister agree with the words of former Prime Minister Theresa May that we should stop acting as the world’s policeman?
My Lords, I pay tribute to our Armed Forces’ regulars and reserves for the work they do internationally and at home: dealing with Covid, the floods and now trying to play a key role in global Britain. The noble Lord, Lord Lancaster, urged the Minister to say that the Government would keep up the major humanitarian efforts, but he also noted that the problem is that the UK is seen as here today and gone tomorrow, or here one minute and gone the next. That reflects the danger of Prime Ministers—David Cameron did this quite often—and others going somewhere and making a commitment without necessarily a clear strategic objective. Could the Minister clarify what the strategy behind global Britain will be and reassure us that it will not cause overstretch, further damaging our Armed Forces’ morale?
Britain’s Armed Forces are renowned for their dedication, professionalism and excellence. Labour stands four-square behind them, their families and our veterans. Today Britain faces a diverse array of threats: adversaries investing heavily in their military, a global pandemic, economic uncertainty, autonomous weapons, and a climate emergency. But uncertain times provide an opportunity to outline a new vision of our place in the world, and the Armed Forces should have a key role in that.
We have been here before: after the Second World War, the leadership of Clem Attlee and Ernie Bevin was instrumental in setting up NATO, but the Government cannot say how the Armed Forces will contribute to global Britain if we still do not know what is going to happen with the integrated review. When will it be published? There is much ground to make up. Two defence reviews cut spending by £8 billion and reduced the forces by 40,000. The recently announced increase in capital spend was matched by a real-terms cut in revenue.
We need an ambitious strategy for our Armed Forces to develop new international relationships and protect our country against serious threats. We need a coherent vision of Britain as a moral force for good in the world, which places the Armed Forces squarely within that. When will this Government show some leadership? Are they capable of showing us a vision of a new global Britain, as Attlee and Bevin did all those years ago?
My Lords, I congratulate my noble friend Lord Lancaster on securing this valuable debate and thank your Lordships for a stimulating discussion. I know your Lordships felt constrained by time, and trying to listen to your excellent contributions was rather like listening to a constantly beating staccato drum—so, if I do not manage to include everyone in my remarks, I apologise.
My noble friend laid out very well the extraordinary contribution that our Armed Forces make to the security and influence of the UK, not least our support of humanitarian and peacekeeping work and training. Globally, the Armed Forces truly are ambassadors and defenders of the UK’s values, prosperity and security. Indeed, the noble Lord, Lord Bilimoria, both acknowledged and paid tribute to that, for which I thank him. Particularly, he asked that we build closer links with friends and allies. I agree and confirm that India is indeed a valued ally.
To illustrate the range of activity I can report that, over the festive period alone, more than 6,000 military personnel were deployed on 39 operations in 46 countries. That eloquently underpins the concept of global Britain. As global competition deepens, as the challenges of Covid-19 put strain on the international system, as nations seek to find an edge—through fair means and foul—we face an unprecedented and accelerating challenge. While the Armed Forces already make an indispensable contribution to our security, prosperity and values, and to global Britain, we can and will do more. We shall be more globally engaged: actively competing and collaborating to defeat and deter our adversaries, working ever more closely with allies old and new, extending our reach to new theatres and domains, and tackling global challenges to our safety and prosperity. That is why the Prime Minister announced more than £24 billion for next-generation military capability, cementing our place as a leader in NATO, defending our people from new and evolving threats, operating globally, protecting the world’s most vulnerable, and bringing jobs and prosperity to every part of the United Kingdom. That is something of which we can all be proud; it means that global Britain is not some empty piece of rhetoric but a very solid concept. The MoD and our Armed Forces are certainly demonstrating —dramatically—just how solid a concept that is and how valuable it is to the rest of the world.
My noble friend Lord Lancaster raised a number of important issues that were echoed by the noble and gallant Lord, Lord Boyce, the noble Lord, Lord Liddle, and many others. I can reassure my noble friend and the noble Baroness, Lady Smith of Newnham, that humanitarian response and United Nation peacekeeping will continue to be an important component of the MoD’s engagement activity. As my noble friend is right to point out, the integrated review proposes a transformation in the Armed Forces to increase our presence and engagement across the world. Two important components of this will be agility and persistence. It is vital that the Armed Forces are flexibly deployed into the situations where they can deliver the greatest value, whether this be supporting United Nations peacekeeping and French counterterrorism operations in Mali, or delivering humanitarian aid to the Caribbean. The Armed Forces will do more to deliver this Government’s integrated approach to foreign policy and soft power, a point that my noble friend specifically mentioned, as did the noble Lord, Lord Mountevans.
The noble Lord, Lord Hain, in connection with current and recent issues, raised the very important matter of Gibraltar—a key defence base that occupies a special place in our affections. As he pointed out, it is of huge strategic importance. Around 440 military personnel, from all three services, are supporting Gibraltar. We are pleased that they can look to the future with greater certainty as a consequence of the outlined agreement.
The noble Lord, Lord Campbell of Pittenweem, raised Mali and mission creep. I seek to reassure him that the terms of deployment are clearly defined and they are over a specific time. Mission creep is not something that we would ever want. He is right to raise that prospect because there have been painful lessons in the past, but we are very cognisant of how these deployments must be closely described, defined and monitored. Indeed, in Africa, some 300 British troops and RAF Chinook helicopters are working alongside French and United Nations colleagues to support counterterrorism operations and a United Nations peacekeeping mission. In Somalia, 65 British service personnel support peacekeeping and training missions with Somali forces. As my noble friend Lord Lancaster said, that is another indication of the dimension and the broad spectrum of the support we can give.
The noble Baroness, Lady Coussins, raised languages. I totally agree with her: it is an essential support that we value. I did not make a detailed note of the point she raised, but I will look at Hansard and endeavour to respond to her.
Many of your Lordships raised the broader questions of international security, international influence, how we deploy our resources and what our objectives are. In among all that, the noble Lord, Lord Dannatt, raised international aid. As I said, the Government are committed to our aid and support role, and our Armed Forces play an important role in the discharge of that obligation.
The noble Earl, Lord Sandwich, and other noble Lords raised the issue of activities and influence, the noble Lord, Lord Truscott, mentioned south-east Asia, and the noble Baroness, Lady Smith, asked about coherent activity. The best illustration of that is possibly the carrier strike group, which I feel illustrates the point well. The United Kingdom reached a major milestone in December, when it declared that its carrier strike programme had achieved initial operating capability. The Defence Secretary, Ben Wallace, and the US acting Secretary of Defense, Christopher C Miller, co-signed the UK-US joint declaration for the carrier strike group 2021 deployment. This declaration paves the way for a successful inaugural operational deployment of the UK carrier strike group alongside its allies. The joint declaration supports the UK carrier strike group, led by the UK’s aircraft carrier HMS “Queen Elizabeth” on its inaugural deployment later this year.
This deployment embodies the strength of our bilateral ties and reflects the depth and breadth of this vital defence security partnership. It will include the Indo-Pacific region working together with allies to send a clear signal of our commitment to the region. But this will not be a flash-in-the-pan activity, as some of your Lordships, particularly the noble Baroness, Lady Smith, were concerned about; it is all part of a coherent approach. The deployment supports the UK’s deep and enduring defence relationships, such as the vital Five Eyes partnership, our ongoing commitment to supporting United Nations operations in the region and our desire to advance bilateral security co-operation with ASEAN nations.
My noble friend Lady Anelay of St Johns raised the important matter of Afghanistan, as did a number of your Lordships, and I will just cover the points that she raised. She referred to her committee’s work on the recent publication of the International Relations and Defence Committee report, The UK and Afghanistan. I pay tribute to my noble friend and her committee for a very useful report. It seemed a most comprehensive review of everything that has happened, with some very useful pointers as to where we ought to be looking. I reassure her that we remain committed to supporting Afghanistan in its journey towards lasting stability and security. The United Kingdom is the third-largest troop contributor to the Resolute Support Mission, with around 850 personnel deployed. We remain committed to building Afghanistan’s stability and security, committing £70 million in military funding and £155 million in development funding for 2021. Again, that is a useful indicator of the Government’s intention relating to their overseas responsibilities.
Our valued contributions make us well placed to influence our NATO allies and our partners, including the new United States Administration. We look forward to engaging with President Biden and his Administration. It is already clear that the United Kingdom and United States have much in common on a range of issues. I reassure my noble friend that we will seek that engagement at the earliest opportunity to reiterate our continued commitment to Afghanistan.
A number of your Lordships, including the noble Lords, Lord Touhig, Lord Anderson of Swansea and Lord Truscott, and the noble Baroness, Lady Wheatcroft, raised the integrated review and the issue of defence spending and budget. We are increasing defence spending by an additional £16.5 billion over the next four years—the biggest investment in the UK’s Armed Forces since the end of the Cold War. That marks the first outcome of the integrated review. It will enable modernisation of the UK Armed Forces, with at least £6.6 billion for research and development. The full conclusion of the integrated review will be announced in the coming months.
The right reverend Prelate the Bishop of Portsmouth raised the matter of our veterans—a matter dear to the hearts of us all. We offer support and advice across a range of areas through the Office of Veterans Affairs and our support for veterans’ charities. The case that he referred to was troubling and, if he wishes to provide me with more information, I shall investigate.
This has been an excellent debate. It has highlighted the broad contributions of the Armed Forces to global Britain. The value of the defence contribution to global Britain, as I have already said, cannot be overstated. This year will be a turning point: not only will it see the inaugural deployment of the carrier strike group, to which I referred; it will be a demonstration of the United Kingdom’s technological and industrial prowess, and a sign of our enduring commitment to allies across the world. It will also see the publication of the integrated review—a very important development, setting in motion the transformation of the reach and impact of our Armed Forces across the world and delivering a global Armed Forces ready for a global Britain.
I thank my noble friend for calling this debate and all noble Lords for their very interesting and thought-provoking contributions.
The Grand Committee stands adjourned until 5 pm. I remind Members to sanitise their desks and chairs before leaving the Room.
(3 years, 7 months ago)
Grand CommitteeMy Lords, the hybrid Grand Committee will now resume. Some Members are here in person, respecting social distancing, others are participating remotely, but all Members will be treated equally. I must ask Members in the Room to wear a face covering, except when seated at their desk, to speak sitting down, and to wipe down their desk, chair and any other touch points before and after use. If the capacity of the Committee Room is exceeded, or other safety requirements are breached, I will immediately adjourn the Committee. If there is a Division in the House, the Committee will adjourn for five minutes. The time limit is one hour.
(3 years, 7 months ago)
Grand CommitteeTo ask Her Majesty’s Government what assessment they have made of the report by the Community Security Trust Campus Antisemitism in Britain 2018–2020, published on 17 December, and in particular, the finding that the number of anti-Semitic incidents in universities has increased.
My Lords, I am particularly pleased to welcome the noble Lord, Lord Wolfson of Tredegar, to his new post in the Ministry of Justice. The noble Lord comes to us garlanded with the highest praises that the Bar can bestow. Like other well-known public figures, he was once a prolific Twitterer, and showed a great sense of humour and a rare knack for conciliating different points of view. All those qualities will stand him in good stead here. We wish him well and look forward to meeting in person.
I have spoken about campus anti-Semitism on previous occasions and sadly there is a great deal more to report. It is equally sad that an organisation such as the Community Security Trust, whose report we are debating, should have to exist at all. It is a charity that protects British Jews from anti-Semitism and provides security. How regrettable it is that every Jewish building and every Jewish gathering has to be protected by CST guards. I take this opportunity to thank the Government for the funding they provide to help the CST to continue to provide safeguards for the Jewish community.
The CST report uncovered the highest number of university anti-Semitic incidents ever recorded, notably online. Shockingly, they included anti-Semitic action by university staff—the very people who should be teaching students to reason and tolerate. Nothing leaves a Jewish student more unprotected than to find that the anti-Semitism he or she faces is from his or her lecturer, and that the panel set up by the authorities to investigate it is peopled by colleagues and devoid of Jewish members.
The treatment meted out, the failure to discipline and the reaction would not be tolerated for a moment by other ethnic minorities. But somehow racist and religious prejudice against Jews is given short shrift, and its specific nature glossed over. Just as Jeremy Corbyn’s response to allegations of anti-Semitism was that he was anti-racist, ergo could not be guilty, so the university authorities and Universities UK are trying to disguise this prejudice by folding it up into other racisms. In November, UUK put out a report on anti-racism in universities, but relegated anti-Semitism to a passing mention in a footnote.
The situation is not all bad. There is light at the end of the tunnel, as under the exceptional leadership of the noble Lord, Lord Mann, more universities—about 51—are adopting the IHRA definition of anti-Semitism, which has the effect of concentrating minds on its expression as well as its definition. But first I will give noble Lords just a very few examples of the sort of behaviour taking place in our universities. These are the young people who will be our leaders in due course.
At Warwick University a student complained about a lecturer who dismissed the notion that the Labour Party could be anti-Semitic as an attempt to discredit it by the so-called Israel lobby. That lecturer emailed the whole class to suggest that claims of anti-Semitism against Labour are orchestrated. Amazingly, it was the student who was then investigated by the university at length. Although that came to nothing, what a deterrent effect that will have on any other Jewish student thinking of complaining. It was the victim who was put on the stand.
The School of Oriental and African Studies maintains its poisonous reputation for Jewish students. A Canadian student was forced to abandon his studies there because of the toxic atmosphere. He was branded a Nazi supremacist for disclosing his support for Israel and was refunded his £15,000 fees. At SOAS, others complained, being Jewish means you are called fascist. The Malaysian Prime Minister was invited to speak at both the Oxford and Cambridge Unions, was openly anti-Semitic and was greeted with laughter.
Lecturers have spontaneously called the Holocaust “too Jewish” or indulged in the old slander of over-powerful conspiring Zionists. How ironic that the practice of no-platforming is so acceptable in universities but not when it comes to anti-Semitic speech. What an indictment of the failure to deal with the problem, that some Jewish students choose a university not by the course content or the quality of teaching but by the extent of anti-Semitism that they might encounter. Some academic staff have been shown to work together to foster an atmosphere inimical to Jewish students and teach and supervise others handing on the same antagonism to the next generation.
The International Holocaust Remembrance Alliance definition of anti-Semitism helpfully draws the distinction between legitimate criticism of the Israeli Government, like any other Government, and anti-Semitic calls for Israel to be destroyed or compared to a Nazi regime. Legitimate criticism of Israel is to anti-Zionism what literary criticism is to book burning. I mention the Israel element because of the wise observations of the late Lord Sacks. Antisemitism, he said, mutates like a virus. It used to manifest itself as religious discrimination, then it was racial, and now it focuses on attacking the self-determination of the Jews in their only, tiny, state.
The IHRA definition is not intended to be legally binding but to help perception and eradication of anti-Semitic activity. Why then is it not more widely adopted and why have some academics pushed back at it in a way that undermines their students’ protection? Notable among those is University College London. An academic board was set up there to try to reverse the college’s adoption of the definition which did not even include a Jewish student; can one imagine today a panel about campus racism without a black student? It argued against protection of Jewish students by saying that to define anti-Semitism is exceptionalism and blocks free speech. But anti-Semitism is exceptional in its length and breadth. As for blocking free speech about Israel, there are no examples ever of the definition having resulted in any reduction in academic freedom or research. Hardly any other country is so widely discussed. The definition is unequivocal about free speech. The irony is that the rejectionists are the ones seeking to stop Israel-connected speakers and to block academic research co-operation. What is to be done about this?
Holocaust education, which is compulsory for schoolchildren, sadly has not worked. How is it possible that an entire generation who has studied the holocaust can arrive at university and behave in the ways I have outlined? It is because they have studied the Holocaust in a vacuum, as an example of generalised hate, and have resigned it to history. They have learned nothing about the contribution of Jews to civilisation, about the millennia of persecution, and how that, and religious teaching, led to genocide; they have not learned of the overwhelming need for a safe haven and how Jewish self-determination in Israel is the best protection against genocide in the modern world. All they learn is that Jews were killed in their millions and all they see is pictures of death camps and bodies. It is not surprising that the brute reaction of some is to replicate Nazi slogans when they vent their hatred at universities. There is a need to widen Holocaust education into education about Jewish history. That is why the planned Holocaust memorial in Victoria Tower Gardens, at a cost of over £100 million and a destroyed park, is such a wasted effort. It will present the Holocaust again as something in the past, something over there, not here. It will enable alleged anti-Semites to continue to pay their respects to 6 million dead Jews, badge themselves as anti-racist and then carry on attacking Jews of today and their only state, Israel. How much easier it is to mourn the lost generation than to respect the living Jews of today. It will give the impression of “job done”.
So will the Minister take steps to ensure that more universities adopt the IHRA definition and incorporate it in their codes of conduct? Will he also promote a complete overhaul of Holocaust education so that students learn about Jewish history, why Jews were persecuted and how unwarranted are attacks on today’s community?
My Lords, alarming levels of anti-Semitism on campus are not new. It has been a profound problem since the mid-1970s. When I was a student in the 1980s, Jewish societies were being banned, at the instigation of those who saw themselves as progressive and liberal. These things—and many of the same people—played a central role more recently when my own party, the Labour Party, went through its shameful period. The problem on campus is more pronounced and, as the report attests, illustrates that for too long too little has been done to tackle students being radicalised and recruited to extremist ideas and politics with anti-Semitism at their centre, and the increasing role that academics play in propagation and denial of the problem. We need a more profound focus on the roots of such extremism and a more comprehensive view on how we tackle it. Will the Minister, whom I welcome and whose maiden speech I look forward to, consider asking the Commission for Countering Extremism to look into this, with a view to developing effective tools and techniques to guarantee the safety of Jewish students and stop a new generation of anti-Semites graduating from our colleges and universities?
I remind noble Lords that all Back-Bench speeches are limited to one minute.
My Lords, I am pleased to take part in this discussion. I congratulate the noble Baroness, Lady Deech, on getting the debate. All forms of discrimination on the basis of identity are wrong. Some have greater resonance than others; quite clearly, for all the historical and present-day reasons we know, anti-Semitism is up there with the worst of them. However, it is simply one of the evils we have in today’s world as a result of the increasing manifestation of politics of identity which are outward-looking and hostile towards individuals and groups. It results in people being disrespected, discriminated against and attacked. It must be wiped out.
I pay tribute to the noble Baroness, Lady Deech, for securing this debate and to Gerald Ronson, the founder, driving force and inspiration of the Community Security Trust. I welcome my noble friend Lord Wolfson to the House and to the Front Bench. We both attended King David High School in Liverpool, where we learned tolerance and understanding. I am sure that he will be pleased to note that, along with other clubs, our beloved Liverpool Football Club has adopted the IHRA definition of anti-Semitism.
Jewish students up and down the country need our support because, in the words of the late Lord Sacks:
“A society … that tolerates anti-Semitism—that tolerates any hate—has forfeited all moral credibility.”—[Official Report, 20/6/19; col. 868.]
This certainly applies to universities in particular; I support the call of the noble Baroness, Lady Deech, for all institutes of higher education to adopt the IHRA definition. I am certain that Jewish students up and down the country will take some comfort from today’s debate—although I am unsure how a one-minute contribution from the noble Baroness, Lady Tonge, will be sufficient to put right a career of repeating old, medieval tropes.
The noble Lord, Lord Woolley of Woodford, has withdrawn, so I call the noble Baroness, Lady Warwick of Undercliffe.
My Lords, there is no doubt that this report has been a wake-up call to universities. The CST acknowledges, quite fairly, that its drive to encourage greater reporting among Jewish students has helped to increase reported incidents, but the fact is that there has been a substantial increase. Much work has already been done in institutions on different forms of harassment and discrimination but Universities UK, representing all universities, accepts that more can always be done and that institutions should act swiftly on any reports of anti-Semitism. UUK’s Changing the Culture and Tackling Racial Harassment aim to galvanise the whole sector into thinking differently—less defensively and more proactively—about its approaches and policies that need to change. I am on the board of Nottingham Trent; I declare that interest. We have adopted IHRA’s definition of anti-Semitism, but I hope that we can go beyond debates about words and focus on the excellent work that UUK is encouraging through empowering Jewish students and creating an environment where they feel confident to come forward. What are the Government are doing to encourage reporting of any harassment?
My Lords, I declare my interests as in the register and warmly welcome my noble friend Lord Wolfson to his ministerial role. I congratulate the noble Baroness, Lady Deech, on securing the debate and the CST on the report we are debating. I highlight the excellent work of the CST, the Jewish Leadership Council and the Union of Jewish Students in their constructive engagement with universities on anti-Semitism.
In my one minute, I will focus on the need to improve university complaints procedures, which too often discourage students from reporting racism. Does my noble friend share my support for the CST report’s recommendations, such as the need for independent oversight of complaints of discrimination so that experts involved in this area can be brought in, for complaints to be responded to in a reasonable timeframe, and to ask universities to permit third parties such as the UJS or CST to submit complaints on behalf of students?
I too add my very warm welcome to the noble Lord, Lord Wolfson. I commend the Community Security Trust for the great work it does year in, year out and for this report in particular. It is very disturbing that we find ourselves in 2021 with the number of anti-Semitic incidents recorded in our universities higher than ever before. I am particularly concerned about reports of anti-Semitic incidents perpetrated by academic staff, as has been mentioned, as well as by student union officers or student societies. Every student, regardless of background, is entitled to a rich and fulfilling university experience. It is vital that universities are made to act on the report’s findings and recommendations. University complaints processes must be made fit for purpose as soon as possible so that incidents are dealt with appropriately, swiftly and in a way that instils confidence in, and gives proper redress to, those making the complaints.
My Lords, I am pleased to see the growing number of universities that have adopted the IHRA definition of modern anti-Semitism. I pay tribute to the noble Lord, Lord Mann, for his encouragement of this endeavour. As the UK head of delegation to IHRA who persuaded the Prime Minister to adopt the definition, I am concerned that this non-legally-binding definition should be maliciously misrepresented as a constraint on either academic freedom or free speech. The definition expressly states that criticism of Israel is not anti-Semitic. If academics cannot find a way to criticise the Israeli Government without having to resort to anti-Semitic tropes, it speaks volumes to both their paucity of language and their real motivation.
My Lords, I thank the noble Baroness, Lady Deech, for this debate, and the CST, along with the Union of Jewish Students, for preparing this important and distressing report. It is intolerable that students—or, of course, any Jewish person—should be subjected to anti-Semitic abuse. One of the issues highlighted is the flaws and lack of consistency in some universities’ complaints procedures. Some have given strong support, but others have not investigated or adjudicated complaints promptly, thoroughly or fairly. In that context, it is disappointing that only around 40 or 50 of over 130 universities have adopted the full IHRA definition and examples. Only if they do so can they recognise anti-Semitic discrimination, prejudice or abuse based on an appropriate, complete standard that is commonly accepted. I am sorry to see my alma mater, the LSE, missing from the list I saw. What are the results of the Minister’s department’s engagement with universities on adoption of the IHRA definition and best practice complaint procedures? I look forward to hearing his response and I welcome him to the Dispatch Box.
My Lords, I am chair of the Equality and Human Rights Commission, but I make it clear that I speak in a personal capacity.
I and the noble Lord, Lord Mitchell, set up something called the Coexistence Trust some dozen years ago to combat anti-Semitism and anti-Muslim sentiment at universities, and I deeply regret that the curse of this is still ongoing. However, I am afraid that I do not support the call for an IHRA definition: it is extremely poorly worded and probably unactionable in law. The noble Lord, Lord Pickles, has just said that it is not meant to be legally enforceable. It directly conflicts with the duty on universities to protect free speech. But there is a further danger in this: when universities adopt this definition, the pressure on them increases also to adopt the All-Party Parliamentary Group on Islamophobia’s extremely badly worded definition of Islamophobia. The end route, if we go down this road, is that there is no space left where students may learn to disagree with each other respectfully, something that I am sure no noble Lord would want.
My Lords, I thank the Community Security Trust for producing this timely report and for its ongoing efforts to tackle anti-Semitism. As a former lecturer, I am concerned at the findings, which revealed a steady rise of reported acts of anti-Semitism at universities. I find the CST’s recommendations reasonable and support suggestions of an independent process for reporting alleged anti-Semitism and recognising the IHRA definition.
As the approach for tackling this issue is so varied across institutions, has Her Majesty’s Government had discussions with Universities UK about developing overarching guidance for its members? I strongly believe in building interfaith harmony, which is why I successfully took action when I was accused of anti-Semitism by Associated Newspapers last year. Discrimination against one group of people should be viewed as an attack on our community as a whole. We must all stand together to combat any form of racism.
My Lords, I must adjourn the Committee for the next five minutes, as there is a Division.
My Lords, we will now resume. The noble Lord, Lord Dubs, has withdrawn, so I call the next speaker, the noble Lord, Lord Mann.
My Lords, the Council of Europe, the European Union, the British police for the last nine years, Chelsea Football Club for the last two years, and universities, some for three years, have not just thought about the IHRA definition; they have used it. There are no examples of it restricting free speech in any way. Every one of the examples cited by some maverick academics is an embellished falsehood, but do not take my word for it. This week, the Palestine Solidarity Campaign, in its training document, stated that there are no such examples.
The IHRA creates a framework for democratic debate. We are the ones in favour of democratic debate and academic research, not those who are against it. Jewish students have a right to be themselves on a university campus. That is what the IHRA gives us. I look forward to more information and announcements next week, as this spreads worldwide. I call on the Government to give it maximum support, not least in allowing me and others to have proper dialogue with the new Biden Administration, to ensure that they are at the heart of getting this success into American universities.
My Lords, I, too, congratulate the noble Baroness, Lady Deech, on securing time for this debate. I also look forward very much to the maiden speech of my noble friend the Minister, whom I hope to meet in person soon.
We have all been sent some excellent material for this debate, full of interesting suggestions about how to tackle anti-Semitism on UK campuses. I want to focus not on ways of tackling anti-Semitism on campus but on ways of helping Jewish students to live with it. I want to do this because I believe that, as our late colleague Lord Sacks used to say, anti-Semitism is a virus which has been around for thousands of years and is unlikely to disappear any time soon, whether from our universities or elsewhere. That is why I believe that we must do whatever we can to make Jewish students in the UK feel secure and respected, so that when they graduate they will want to devote their talents and energy to making this country more prosperous and civilised.
The University Jewish Chaplaincy has been doing precisely this for over 50 years. I urge the Government to support this charity so that it can continue to do its work effectively for at least another half century.
I thank the noble Baroness, Lady Deech, for drawing our attention to this report. To have 123 incidents—and increasing—in two years is serious, and I must say I was shocked when I read the nature of the abuse.
What is missing, however, is any investigation into why these incidents are increasing. The graph in the report is very interesting, because it shows a sharp increase after the deadly attacks on Gaza in 2008-09 and 2014. Since then, with increasing violence in the West Bank and Gaza, the expansion of settlements and the occupation of east Jerusalem, anti-Semitic incidents have continued to rise.
Whenever I suggest a connection between the two, I am told this is “victim blame”, which it is not. The victims are innocent Jewish people—students, in this case. They are victims because of the illegal actions of the Israeli Government. Please will our Government investigate the connection?
My Lords, one of the most egregious aspects of the indisputable rise of anti-Semitism on campus has been the way that elements of the left have exploited the well-meaning, progressive and radical instincts of so many students to deploy anti-Semitic myths. Whether it is the crass critique of capitalist injustice, with its gross, caricatured cabals of big bankers or, more pertinently, in the name of protecting oppressed groups, censorship is used to de-platform and disrupt Israeli speakers, to argue for academic boycotts or even, through the prism of identity politics, to treat all Jewish students as an undifferentiated blob representing privileged oppressors to be silenced.
Can the noble Lord, Lord Wolfson, who I of course welcome, assure us that when tackling this urgent matter, there will be no attempt at mirroring this censorious cancel-culture approach by, for example, no-platforming external speakers or clamping down on student societies, however unpalatably anti-Semitic their views? As Deborah Lipstadt reminds us in her brilliant book, Anti-Semitism: Here and Now, we need to strike a balance between warning and overreacting. It can backfire if we ourselves become intolerant. Free speech is an ally in fighting campus anti-Semitism, and shining a light on prejudice and bigotry, even in this House, is far more effective than bans.
I congratulate both the noble Baroness, Lady Deech, on securing this debate and the noble Lord, Lord Wolfson, on joining your Lordships’ House and look forward to his maiden speech.
If university leaders truly want to stamp out anti-Semitism, they must take ownership of the problem. The tone from the top is key, but there must be actions, not just words. First, leaders must adopt the IHRA definition, now universally accepted, of antisemitism. Next, they must ensure that clear rules are in place which are enforced through a strong disciplinary process, and those breaching the rules must be disciplined—whether students or members of faculty. Importantly, disciplinary decisions must be promulgated widely as an example to others, making it clear that anti-Semitic acts will not be tolerated. Finally, there must be a safe environment for students to come forward and report problems, knowing that there is no risk of retribution for so doing.
I refer your Lordships to my register of interests. I was especially interested to hear what the noble Baroness, Lady Tonge, would have to say in this debate, given her form on anti-Semitism. I have to say that it was predictable.
Criticism of Israel is usually healthy, especially in Israel itself. But there is a distinction between fair criticism and criticism that crosses that shocking line into race hate. Those across campuses who repeatedly voice their contempt for Israel and all it stands for reveal their prejudice by refusing ever to acknowledge any context.
Israel is the only fully-fledged democracy in the Middle East. The country itself is threatened daily by Hezbollah, Hamas and Iranian-sponsored terrorism—never mentioned. Israel’s regard for constitutional and civil human rights—never mentioned. Israel has many times been poised to conclude a two-state peace treaty with the Palestinians only to be thwarted by the extremists who prefer terror to peace—never mentioned. Criticism that ignores this context is nothing but a thin veil to hide deep seated and ill-disguised hatred of the Jewish state and all Jews. Anti-Semitism has no place anywhere in Britain, but most especially in places of learning.
My Lords, I pay tribute to the CST for its crucial work in combating anti-Semitism. Its report’s most worrying aspect is staff making allegedly anti-Semitic comments, the impact on students they teach and on students who are too scared to complain. I would like the Government to consider five specific questions. First, what will the Minister do to prevent academics spreading conspiracy theories and ensure that publicly funded universities recognised this problem and deal with it? Secondly, will they look at the contents of the report about Professor Miller and take this up with Bristol? What assessment has been made of how universities handle complaints, such as Warwick, and what discussions will they have with the vice-chancellor about it? What will they do about the obsession on campuses about Israel and the so-called Israel apartheid week, which is an insult not just to the Middle East’s only democracy but to black South Africans who suffered under apartheid? Finally, it is completely wrong for the noble Baroness, Lady Tonge, to blame racism against Jewish people in Britain not on the racists responsible but on Israel.
My Lords, I warmly welcome my noble friend Lord Wolfson to our House and look forward to his maiden speech. I declare my interests as I hold a number of positions in the Jewish community and that I have two daughters at university right now. How depressing to learn that they are facing anti-Semitism as I did 40 years ago; in those days, all the talk was about “Perdition” and, of course, anti-Israel rhetoric.
I welcome the CST report, but we have to recognise that it covers only reported anti-Semitism, not the huge amount of non-reported anti-Semitism, much of it online and some of it well away from campus, but which still affects the mental health of Jewish students, with torrents of vile extreme right and left-wing material. Does the Minister agree that we must ensure that higher education does not follow where the Labour Party went and even some parliamentarians seem to be going, of attacking Israel as a proxy for anti-Semitism?
My Lords, I thank the noble Baroness, Lady Deech, for initiating this very much-needed debate. Perhaps I speak for everybody in saying that it should have been a three-hour debate. I compliment the CST on the work it does; I should declare that I am on its advisory board.
In this minute I shall comment on some of the speeches. For the noble Baroness, Lady Tonge, there are no excuses for anti-Semitism. My noble friend Lady Ludford is right to ask the Minister about the lack of consistency in universities, and my noble friend Lord Greaves made an overriding comment about the evils in the world today. However, I must also comment, and I am shocked, that the noble Baroness, Lady Falkner, says that she is against the IHRA definition. I trust that that is not the view of the body that she chairs.
In the seconds available to me, I will revert back to comments made by the noble Baroness, Lady Deech. Few Jews today attend SOAS University of London because they know they would face a hostile environment where anti-Zionism often tips over into anti-Semitism. It is shameful that anyone should experience this in a UK university.
My Lords, I thank the noble Baroness, Lady Deech, for bringing forward the debate and the CST for its report. The vital issues the debate has raised are the welfare of Jewish students, the need for accessible, responsive reporting mechanisms online and in person, and the need to recognise this as part of a broader social problem.
With my minute, I ask the Minister: are universities that demonstrate best practice in dealing with complaints being encouraged to share that best practice? I think they should.
I welcome the work the Labour leadership is doing to rebuild the trust of the Jewish community and tackle anti-Semitism after the quite shameful findings of the ECHR report. As a party, we look forward to working with others to tackle this problem in our universities and across civic life, using the influence and insight which we have in tackling discrimination, injustice and hate crimes.
Finally, like all other colleagues, I congratulate the Minister on his appointment and give him the very best regards for his maiden speech, which I, and everyone else who has taken part in this debate, look forward to hearing.
It gives me pleasure now to welcome the Minister, Lord Wolfson of Tredegar, for his maiden speech.
My Lords, it is an honour to make my maiden speech. It is a privilege to do so from this somewhat virtual Front Bench. I am grateful to the noble Baroness for initiating this short but important debate.
I begin with a series of thank yous. While traditional, they are no less heartfelt. I thank Black Rod and the Clerk of the Parliaments for their help and advice, and the doorkeepers, who, in the short time since my introduction, have helped me find my way when I was lost, and my iPad when it was lost. I am also grateful to my introducers: my noble friend Lord Faulks, a previous holder of my ministerial position; and my noble friend Lord Greenhalgh, who, since I first met him at university, has devoted his talents to the governance of this magnificent city—and now also the country.
As this is my maiden speech, I hope noble Lords will permit me to speak to the question a little more personally than might otherwise be expected. Four generations ago, my family came to this country, seeking refuge from hatred abroad and the hope of a better life. Like many families, then and now, education and, in particular, going to university and getting a degree was my family’s way out of an economic if not physical ghetto.
We were fortunate to come to a genuinely tolerant and welcoming country. The late Lord Sacks of blessed memory, already invoked by several speakers, would surely have contributed his wisdom to this debate as he enhanced so many deliberations of your Lordships’ House. He used to say that this country is, in the traditional phrase, a “malkhut shel chessed”: a kingdom of kindness. I hope that my deviation from English in that sentence complied with the rule found in paragraph 4.39 of the Companion, being both, if a Minister is still permitted to use this phrase, limited and specific.
The importance of ensuring that our universities are free, so far as possible, from the scourge of anti-Semitism is something to which the Government give, as any Government must, the highest importance. I said “so far as possible” deliberately, because I recognise that, as we fight against all forms of discrimination, the battle against anti-Semitism may never be finally won.
While this country is indeed a kingdom of kindness and of tolerance, we must be on our guard against anti-Semitism. That especially applies to universities, which play such a crucial role in our cultural and intellectual life. Universities should be at the forefront of tackling anti-Semitism, which manifests itself both as religious hatred and as racism. Their duty is to ensure that higher education is a genuinely fulfilling and welcoming experience for all.
The fight against racism, against antisemitism, is reflected in my own family’s history and in my choice of Tredegar. In the latter part of the 19th century and the first couple of decades of the 20th, Jewish immigrants were drawn to south Wales and Tredegar by a thriving economy based on coal and generally found there a tolerant and welcoming society—a shared love of, we might say, the Hebrew Bible. The fact that both the largely Methodist local community and the Jewish immigrants were, in the terminology of the day, nonconformists. But shortly before midnight on 19 August 1911, a mob began to roam the streets of Tredegar. Over the ensuing hours, what started small turned into an anti-Jewish riot, resurrecting a racism most had thought long dead. In the middle of the riot, my great Uncle Jack was born and became the first in the family to gain a title. He was also known as Jack the riot baby. My family remembers that riot precisely because it was so unusual. Tredegar was overwhelmingly a community that gave immigrants a home, so much so that my paternal grandfather grew up trilingual—a remarkable combination of English, Yiddish and Welsh.
I am a Minister in the Ministry of Justice. This debate, and the characteristically thoughtful contributions of many noble Lords, highlights three important features of what justice means and ultimately what a just society is. To illustrate those three qualities and, although I sit in your Lordships’ House as a Lord temporal and not a Lord spiritual, I again turn to the writings of Lord Sacks. Lord Sacks recounted the first recorded conversation between the Almighty and one of the patriarchs. It is a famous bargaining session between God and Abraham. God is determined to destroy the cities of Sodom and Gomorrah. Abraham is equally determined to save them. Like any good lawyer, he bargains God down, from his opening bid that the presence of 50 righteous people would justify mercy. Eventually God agrees that if there are even 10 righteous people living in those cities, then the cities will be spared. I take three points from that story. First, as Lord Sacks explained, justice is the supreme virtue. Abraham’s question to the Almighty, to which there was no answer because there is no answer, was this: shall the Lord of all the earth not do justice? That question had no answer because justice is at the heart of a civilised society. Justice and the rule of law enable people of all backgrounds, and of different beliefs and of none, to live together under the law and in harmony.
The simple reason why antisemitism is wrong—and this goes for all forms of racism—is because it is unjust. That is why this Government expects higher education providers and their leaders to take a zero-tolerance approach to antisemitism. Providers must have procedures in place to ensure that they comply with the law. Where providers have failed in their duty to investigate and adjudicate complaints about antisemitism fairly and consistently, as my noble friend Lady Altmann and the noble Baroness, Lady Ludford, have mentioned, that is unacceptable. Universities and other higher education providers are independent and autonomous, but their independence and autonomy does not mean they are unaccountable. It means that they are responsible for the management of their own affairs and for meeting their duties under the law—including those relating to freedom of expression and equalities. It has been extremely disappointing to hear that some providers have failed in their duty to have robust policies and procedures in place. This is unacceptable and must cease; it is simply unjust, and justice is the supreme virtue. That is the first point I take from the story.
The second point is this: when it comes to the hard work of creating a society based on justice, all can contribute. The Almighty was prepared to have a debate with a mere mortal about what justice required. We, then, can surely find it within ourselves to debate with each other. So, in my work as a Minister in your Lordships’ House, my door will always be open to everyone. Debate with others, with whom you might disagree, is not only good manners. Thoughtful and tolerant debate is the way to achieve the most just society that we can.
Racism is the antithesis of debate. An anti-Semite does not want to hear what you say; when anti-Semitism goes unchecked at a university, it means a young person’s voice is silenced. I therefore welcome the report’s recommendation that providers adopt the working definition of anti-Semitism set out by the International Holocaust Remembrance Alliance. Indeed, when I was at the Bar I authored a legal opinion commending that definition. This Government have taken decisive action in encouraging its adoption; since October, when the Secretary of State for Education wrote to all providers in England to encourage them to adopt it, at least 27 additional institutions have done so.
I shall make two other points. First, in urging providers to adopt this definition, as my noble friend Lord Pickles explained, the Government are not impinging on their autonomy; it is their decision how to fulfil their duties under the law. However, if institutions do not demonstrate that they are taking their responsibilities seriously, we will consider going further to ensure that all providers are tackling anti-Semitism. Secondly, this Government support free speech. The right to discuss all kinds of issues, including those that might be uncomfortable or even offensive to some, is an integral part of higher education. I agree with the noble Baroness, Lady Falkner of Margravine, to that extent. However, freedom of speech protections can never justify a lack of action from providers in confronting racism and anti-Semitism on campus. That is my second point from this story: the importance of debate.
The third point is an insight from my father. The people whose presence might save the cities are not described in the biblical text as being merely “righteous”; they are referred to as righteous people “living in the city”. Living a good life is not just being a good citizen; it means playing your part in society and in the life of the nation, as my family has always sought to do. More than this, a just society is one which makes room for all. A society built on justice is an inclusive society. As a Justice Minister, I will seek to play my part in building a society based on justice and the rule of law, because that is a society to which everyone can contribute. Universities are the place where young women and men start to make their own independent way into society. Racism of any kind will not be tolerated anywhere in society; it is especially important that it is drummed out of our universities. That is my third and final point: a just society is an inclusive society—a society in which anti-Semitism has no place.
I again congratulate the noble Baroness on raising this important question and will write to noble Lords, with a copy placed in the Library, on those contributions which the time allotted for my maiden speech did not allow me specifically to respond to. I welcome the findings of the CST’s report. Many institutions have provided strong support to Jewish students, who also benefit, as has been mentioned, from the sterling work of the University Jewish Chaplaincy. However, the report demonstrates that, despite all our efforts over many years, anti-Semitism persists in our higher education system. The number of anti-Semitic incidents in our universities has become a real cause for concern. Therefore, we again call on leaders across the sector to do more to ensure a zero-tolerance approach is now taken.
I know from my family’s history, with its roots in Tredegar, that universities have great potential to change lives for the better. I feel sure that universities are serious in their commitment to tackling racism, which includes anti-Semitism, but much work remains to be done.
I apologise for my original pronunciation of Tredegar—that is one mistake I will not make again.
(3 years, 7 months ago)
Grand CommitteeMy Lords, the hybrid Grand Committee will now resume. Some Members are here in person, respecting social distancing, others are participating remotely, but all Members will be treated equally. I must ask Members in the Room to wear face coverings, except when seated at their desks, to speak sitting down, and to wipe their desks, chairs and any other touch points before and after use. If the capacity of the Committee Room is exceeded, or other safety requirements are breached, I will immediately adjourn the Committee. If there is a Division in the House, the Committee will adjourn for five minutes. The time limit is one hour.
(3 years, 7 months ago)
Grand CommitteeTo ask Her Majesty’s Government what assessment they have made of the reports by Church Action for Tax Justice (1) Tax for the Common Good, published in February 2019, and (2) Fair Tax Now, published on 4 January 2021.
My Lords, I thank all those speaking in this evening’s debate. I am no expert on tax, but it does not take an expert to see that there are some deeply entrenched tax inequalities. This 2019 report by Church Action for Tax Justice, and its 2021 report, Fair Tax Now, are more relevant than ever, not least with the financial impacts of the Covid-19 pandemic being felt in all parts of society, and with Her Majesty’s Government’s commitment to “levelling up”.
The proposals laid out by Church Action for Tax Justice seek not to harm wealth generation, but to level the playing field and facilitate a fairer tax system that ensures that those with the deepest pockets do their duty to the societies that provided the context in which they were able to amass their wealth. This is a vast topic, so I will make a couple of preliminary comments and then suggest four of the most important areas that must be addressed.
Democracies rely on the population accepting that taxes are broadly equitable, yet there is now a consensus that, for example, many international online companies are not paying their fair share of taxes in this country. At the same time, there is a delicate balance between encouraging the generation of wealth and ensuring that the burden of social costs is shared as equitably as possible.
Of the four most important areas to be addressed, the first is tax havens. For the United Kingdom, tax avoidance remains a major problem, with the annual tax gap estimated at £31 billion per annum. However, even more damaging is the infrastructure enabled by the UK that allows tax avoidance on a global scale. The presence of tax havens, whether they be British Overseas Territories or Crown dependencies, combined with their close connection to the financial might of the City of London, facilitates an international network that syphons money out of nations and into these jurisdictions, with their low tax, weak legislation and easily exploitable loopholes. Noble Lords may recall that the British Virgin Islands was the most popular tax haven mentioned in the Panama papers.
While I am pleased that the British Overseas Territories and Crown dependencies have all committed to publish public registers of beneficial ownership by 2023, these territories will remain lucrative places to those seeking to avoid paying tax. According to the 2019 corporate tax haven index, four of the top 10 havens globally were UK associated territories: the British Virgin Islands, Bermuda, the Cayman Islands and Jersey. The 2023 changes may go some way towards reducing their use, but the reality is that the City of London and the UK’s associated territories will continue to be at the centre of a network for international tax avoidance. Furthermore, should the Government choose to move ahead with free ports, and essentially create onshore tax havens within the UK, a corporate tax rate race to the bottom may be unleashed.
Secondly, I have some comments about income tax and national insurance. Domestically, we face structural problems in our tax system. It simply cannot be right that, when all tax is taken into account, the bottom 10% of people pay 42% of their income while the top 10% pay just 34.3%. Without doubt, part of the problem is that we have a progressive tax in income tax, along with a regressive tax in national insurance. Rolling up both of those into a single standardised progressive income tax would reduce bureaucracy and contribute towards rebalancing the percentage of income paid in tax. That would only partially solve the issue; it is the lower rates of capital gains tax, most beneficial to those with assets, that reduce the overall tax rate of the wealthiest. Whether by the incorporation of capital gains tax into a single progressive tax or by making capital gains more progressive and in line with general income tax, the current system requires reform to equalise the tax across wealth brackets.
Thirdly, there is council tax, which also fails accurately to account for the financial conditions of those who pay it. I think that a tax based on property valuations from 1991 is parochial and antiquated. The highest tax band, for properties worth £320,000 or more in 1991, fails to take into account changes to regional house prices since then and creates no differentiation between any properties worth more than £320,000: a property now worth £3 million pays equal council tax to a property worth £350,000. Furthermore, it is again designed as a regressive tax that results in the poorest paying a higher proportion of their income on council tax than those who are wealthier. Those on the highest incomes pay just 1% of their income on council tax; the lowest decile, conversely, pays 9%. According to Citizens Advice, it is the most common debt problem faced by families in the UK. At a minimum, it needs updating to reflect modern house prices, alongside the addition of a new higher bracket. Ideally, though, it should go further to better account for income disparities and to equalise contributions.
Lastly, I will say a word about corporation tax and VAT. Over the past 30 years the taxes that impact the poorest have steadily increased, such as VAT or council tax, while those that impact the wealthiest have gone down—for example, corporation tax and capital gains tax. Between 1975 and 2020 the relationship between VAT and corporation tax has virtually inversely correlated, with VAT going up and corporation tax going down. Although the EU set a base standard rate of 15% VAT, the UK has had 20% VAT since 2011, while continually reducing corporation tax during the same period. Now that we are no longer subject to the EU’s VAT requirements, perhaps the Government might consider slightly rebalancing corporation tax and VAT to deliver a fairer settlement to citizens and business alike.
I hope I have laid out quite clearly that, far from being some radically redistributionist document, the proposals from Church Action for Tax Justice seek only to induce fairness in the tax system and prevent the heaviest burden falling on the poorest. Much is said about the future now that we have left the EU. Some of us fear that it may give licence to people to change in ways that further divide our country in terms of people’s wealth. My hope is that we will take a lead in our world to think how we can use this opportunity creatively, so that everyone in our society has fair responsibilities and fair rewards for all that they do.
I call the next speaker, the noble Lord, Lord McKenzie of Luton. Lord McKenzie? No? We will move on to the next speaker, and if we can reconnect with the noble Lord, Lord McKenzie, we will bring him back in after the right reverend Prelate the Bishop of Portsmouth. I call the noble Lord, Lord Holmes of Richmond.
My Lords, tax, a temporary aberration, has proven more than somewhat sticky. Of itself, this is neither positive nor negative. I welcome the opportunity to take part in this debate, congratulate the right reverend Prelate on securing it, and welcome the two reports from Church Action for Tax Justice. Indeed, tax for the common good has to be what we are aiming at.
The Covid crisis has affected the relationship between citizen and state—taxpayer and tax collector—as with so much else in society and our economy, with HMRC being an effective means of financial support for many people. There is a real opportunity here to reimagine tax: real time, data-based, embedded far more in our daily experience, rather than something mysterious and distant, with the constant fear of the crown-embossed envelope landing on the doormat.
Many of us are used to dealing and interacting with our banks and grocers digitally, often via apps—why not similarly deal with the tax man? In saying this, I am in no sense undermining the significance of the pernicious forces of digital and financial exclusion, which need to be urgently addressed. But imagine a trader coming out of Covid. If HMRC reverses too quickly from financial support to debt collector, what should she do when faced with her VAT and other bills or paying the electric? As with any other debt, it should start with an effective relationship and connection, maybe via an app, with understanding and flexibility on both sides.
All the data already exists in our current banking and payment system to be able to operate a taxation system in real time for the benefit of all. It is encouraging that the Chancellor of Exchequer has nodded his support towards stablecoins and, indeed, central bank digital currency. Imagine central bank digital currency which could carry with it its taxation status, effortlessly operating an efficient, effective tax system for the whole UK. We could potentially have an effortless domestic and international, cross-border taxation system. When added to smart ledgers and DLT, the opportunity is extraordinary. Would my noble friend the Minister agree that, when it comes to tax transformation and tax for the common good, we not only have the technology but that tax in this new, transformed, technology-driven world does not need to be taxing?
I will try the noble Lord, Lord McKenzie of Luton, again. Lord McKenzie?
My Lords, we are asked to join a big conversation on tax, focusing on the unfairness of much of our current system. We have heard about some of that, including some of the international dimensions. Our starting point at this juncture is that taxation is, or should be, about a common good—not a necessary evil. Judgments about fairness are not just about tax rates; they are about accessibility of the benefits in the tax system and for whom they were designed. The Low Incomes Tax Reform Group has just published its practical steps, which note that tax and associated social security systems could be made to work better for those on low incomes.
The church reports are right to identify as unfair the benefits for those who can, depending on the circumstances, organise their income in such a way as to take advantage of a capital gains regime or, indeed, a more favourable income regime, with deferral in appropriate circumstances. In introducing this debate, the right reverend Prelate focused on council tax, and I agree entirely about the nature of its unfairness. I wonder whether the hangover from the poll tax is an inhibiting factor in addressing it more rigorously.
Inheritance tax has become virtually voluntary. At a time when the national finances have been laid bare by the pandemic, with an expected deficit of something like £400 billion, surely it is time to consider a wealth tax, about which we have now heard from the Wealth Tax Commission, the governing body.
The Tax Justice Network Briefing describes circumstances in which, through technicalities, taxpayers are able to minimise and lower taxation charges that operate internationally and in overseas jurisdictions. It is suggested that the benefits of doing so could amount to something like $500 billion, although that seems a somewhat simplistic figure. This can involve the use, as described, of tax haven jurisdictions, taking advantage of financial secrecy and helping to mask the true ownership of funds. We are told—we have heard it again this evening—that the Crown dependencies and overseas territories are up to their necks in these activities and are central to tax avoidance and evasion. I think that the Minister has committed to making some changes—
I am sorry but perhaps I may remind the noble Lord of the three-minute speaking limit.
My Lords, I am immensely grateful to the right reverend Prelate for securing this debate—it could not be better timed—and for the work that Church Action for Tax Justice has done and for the way it is establishing a new agenda here. However, to be reminded that we have three minutes rather puts me in mind of Dr Johnson—I mean Dr Johnson and not our current Prime Minister—saying that to be hung in the morning concentrates the mind wonderfully.
I have three points to make, besides endorsing all the comments, bar one, of the right reverend Prelate. Might I please caution not to easily roll up national insurance with income tax? National insurance needs to be reformed. It needs to be made progressive, along the lines that the right reverend Prelate spoke of, but it is a means by which people can feel that they contribute to their welfare state. It gives them a sense of ownership, which crediting people does not.
I turn to the three issues that I would like to raise. One reinforces the point that I have already made: it could not be a better time for this debate. At the last election, where I fought to be returned again in Birkenhead, I quietly said to myself—and rejoiced—that the Government’s main driving force would be the levelling-up programme. But that cannot be taken seriously unless we look at all, or practically all, of the Government’s domestic programme. I think that the job of the Government—and if not them, then us—is to bring together a comprehensive programme of reform for levelling up, but that cannot be done without considering taxation, both direct and indirect.
Secondly, I make a plea for gaining flexibility to vary tax rates. When I was part of the Blair Government —for that short but happy period of time—the Government took powers to allow them to experiment with welfare reforms. They did not have to be national; they could be regional or local. I say that merely to remind the Government that that might well be an approach that they would wish to see in the areas that they are most anxious to level up.
In doing that, immediate things come to mind. Would variations in various tax rates encourage employers to take on more people? The question should be: how do we gain that? Thirdly, what are the general tax principles we might bring to bear on this subject matter? I suggest two. One is to ask: is it proper, fair and just to levy direct taxation on incomes below the level that the Government believe is the minimum necessary to keep body and soul together? The second is to ask, as the right reverend Prelate did: how do we make sure that indirect taxation does not wipe out any other good that Governments try to do?
I am grateful to be able to contribute to this debate, but I hope very much that it is the first of a whole series.
My Lords, I am delighted that my good friend and close colleague the right reverend Prelate the Bishop of St Albans secured this debate. I congratulate him on bringing these reports from Church Action for Tax Justice to wider attention. I urge the Government to assess and act on them.
I particularly endorse the right reverend Prelate’s drawing attention to the often pernicious interaction of income tax and national insurance so-called contributions. The reality is that such “contributions” are no such thing. These are two direct tax systems working alongside each other, but crucially not together, and often unfairly. This is exacerbated when the impact of other taxes, such as council tax, is factored in.
I cannot claim now, as my time as an economist is long past, anything other than an amateur understanding of the economic impact of direct taxation. However, it is abundantly clear that, whatever the very modest merits claimed by the noble Lord, Lord Field, the interaction of these taxes—some progressive and others regressive, with varying conditions—causes a confusing and inequitable impact on the take-home earnings of those on low and modest incomes. This is an impact on those who can least afford it and are least able to absorb it.
The report Fair Tax Now illustrates this by powerfully comparing how the average tax on income borne by an NHS nurse and a person earning £10 million a year favours the multi-millionaire. However, there is also very significant unfairness in the tax treatment of those on low and very modest incomes, particularly in the marginal tax rates they face. No payments of national insurance and income taxes are paid on earnings up to £9,500 a year, so then a 12% national insurance rate kicks in. Income tax at the basic rate of 20% is added above £12,500 a year, giving a marginal tax rate of 32%. If you are fortunate enough to earn more than £50,000 then income tax rises to 40%, but the national insurance component of direct tax on income falls to 2%. The marginal tax rate on income of 50% and above is not an extra 20% as popularly claimed, but only an extra 10%. There are many other injustices and there is not nearly enough clarity. We need less inequality and injustice. I urge the Government to address this urgently.
I congratulate the right reverend Prelate the Bishop of St Albans on securing this debate. I wholeheartedly endorse the reports Tax for the Common Good and Fair Tax Now. If we are to rebuild a sustainable and just economy and end the blight of inequality, the evil of tax-dodging by powerful corporations, facilitated by accountants and lawyers, must be ended. For the reasons set out in those reports and by other noble Members in this debate, we need to make taxes of all kinds less regressive and to tax wealth, property and inherited income properly. We need to work internationally to prevent national competition on low taxation and end the blight of tax havens.
One thing that Covid-19 has shown those of us who, unlike the right reverend Prelate the Bishop of Portsmouth, are not economists is that Governments are not dependent on tax income to balance public expenditure in a notional account book. It is now clear that they have other sources of spending for the public good, especially in times of low inflation. But tax has functions beyond simply raising revenue for the Government. Most particularly, it is a means to reduce inequality—the most appalling blight on our society, as the reports make clear. The consequences of economic inequality on every aspect of life were drawn to our attention a decade ago in the work of Wilkinson and Pickett, and are strikingly reiterated in the latest of the reviews by Sir Michael Marmot and his team, Build Back Fairer: The COVID-19 Marmot Review. The adverse impact of inequality on the economies of the world has been pointed out time and again by the OECD and the International Labour Organization.
In the UK, the share of national income going to workers has been relentlessly declining for 40 years, as company profits and dividends to shareholders increase at the expense of wages and salaries. In 1976, 65.1% of gross domestic product went to wage earners; by 2019, wage share had slumped to 49.2%. After a year of lockdown, we can be sure that the scales have tipped yet further against—[Inaudible.]
I think we had some interference on the noble Lord, Lord Hendy.
[Inaudible]—I am ending now—forward to redress the growing and dangerous levels of inequality in the UK and across the world. I ask Church Action for Tax Justice to keep up the good work.
My Lords, I congratulate the right reverend Prelate on his excellent opening speech. Most people recognise that a system of incentives is both inevitable and right. If a person works hard, they should be rewarded for that work. If they work over many years to obtain qualifications, it should be reflected in their salary. Most people also recognise that there is an element of sheer luck in human life which cannot be eliminated. But what people deeply resent at the moment is not inequality as such, but the gross and growing inequality that is such a sharp feature of the modern world.
When someone gets a bonus that is more than an average person’s lifetime earnings; when they get that bonus even when their company has failed; when they employ a battery of lawyers to find a way of not paying their taxes; when they quickly switch their money from one tax haven to another, people feel that there is something fundamentally wrong and unfair. Over 80% of the British public believe that legal tax avoidance is morally wrong. I shall put it in a sentence: it undermines social solidarity. Let us be clear: a tax system that works depends on that sense of solidarity.
The amount of money hidden away is absolutely enormous. Between $8 trillion and $35 trillion sits offshore, enabling its wealthy owners to avoid paying tax. Developing countries, which face problems from Covid-19 on a scale unimaginable in the richer nations, are deprived of up to $200 billion every year by tax avoidance. The Danish, Polish and French Governments have refused corporate bailouts for corporations registered in tax havens. Could the Minister say whether Her Majesty’s Government have taken, or are contemplating, any similar steps?
Following on from that, will the Government commit themselves, working with the new US Government, to prioritise low-income countries in the base erosion and profit shifting, or BEPS, initiative of the OECD/G20 countries to reform global tax rules? At the moment, low-income countries are the biggest losers of tax revenue as a result of profit shifting by multinational corporations, losing 9% of total revenue as opposed to only 3% for high and middle-income countries. Will the Government commit themselves to a stance at the BEPS discussions which would prioritise low-income countries and encourage the new US Administration to do so? To that end, would they be prepared to offer technical assistance to those low-income countries in the analysis of their income and tax data to explore approaches that might best help them? I know that the Tax Justice Network stands ready to undertake such work if commissioned to do so. Would the Minister at least be prepared to look at what it proposes?
My Lords, I congratulate the right reverend Prelate the Bishop of St Albans on securing this important debate.
There is absolutely no doubt that there are major tax and welfare inequalities. If the Government are serious about their levelling-up agenda, to minimise and eliminate those inequalities they need urgently to look at tax reform, to ensure that it is less regressive and more progressive, and at welfare reform, to ensure that the current inequalities are eliminated, with a particular focus on universal credit.
I also commend the campaign organisation Church Action for Tax Justice, which published two reports containing proposals on creating a fairer tax system, many of which I find myself in total agreement with.
This debate is very apposite at the moment, in that the whole Covid pandemic has compounded the situation, with rising levels of poverty, the growing use of food banks and many people out of work, and the uncertainty of whether that work will exist several months down the road, whenever we are on the other side of the vaccination implementation programme and, we hope, the pandemic withers away. However, there is absolutely no doubt that those inequalities have to be addressed through reform of the taxation system and of welfare. Both go hand in hand.
Other organisations as well as Church Action for Tax Justice have referred to these issues. Only last week, in its most recent report, the Commons Public Accounts Committee stated that
“Quirks in the tax system”
have meant that groups of workers, including freelancers and self-employed people who recently moved on to company payrolls or who work on a series of short-term employment contracts with gaps in between, have been ineligible for furlough payments, and thus that needs to be looked at as well. The chair of the committee, Meg Hillier, asserts that
“out-of-date tax systems are one of the barriers to getting help to a significant number of struggling taxpayers who should be entitled to support.”
In conclusion, can the Minister advise us when the Government will hold the consultation on tax evasion measures this year, which was promised by the Financial Secretary to the Treasury in July 2020?
My Lords, I refer to my interests in the register. I congratulate the right reverend Prelate the Bishop of St Albans for initiating this debate. I support the reports by Church Action for Tax Justice.
Curbing tax avoidance and evasion is vital for building a just society. The Government talk about it, but have delivered far too little. HMRC has stated that, during the last decade, it failed to collect around £350 billion in taxes because of avoidance, evasion and errors. Other models of the tax gap estimate the amount to be between £58.6 billion and £122 billion a year—that is around £1 trillion over a decade.
One explanation is that the Government are too soft on the tax avoidance industry. On numerous occasions, courts have adjudged tax avoidance schemes, manufactured by big accounting firms, to be unlawful. For example, the Supreme Court, in the case of HMRC v Pendragon plc, considered a KPMG mass-marketed avoidance scheme as “an abuse of law”. Despite strong judgments, no big accounting firm has been investigated, fined or prosecuted, although they are awarded plenty of taxpayer-funded contracts. Can the Minister tell us why these firms continue to be indulged? Can she name even one instance where the Government have fined or prosecuted any big accounting firm for peddling unlawful tax avoidance schemes?
There is little transparency in tax avoidance. Company accounts are often opaque and there are no disclosures about the use of avoidance schemes to artificially reduce tax obligations, even though this harms stakeholders. For more than a century, Companies Acts have been used to redraw the boundaries between public and private information. Not so long ago, turnover, gross profit, reserves, director remuneration, audit reports, fees paid to auditors for non-audit work—and much more—were considered secret.
Despite opposition from big business, legislators sought to curb darker practices through transparency. However, this logic has not been applied to tax avoidance. Large companies should be required to file their tax returns and related documents at Companies House. The cleansing effect of public sunlight can curb some of the darker practices and empower citizens to take action and selectively boycott businesses engaged in rapacious practices. Surely the Minister is not going to oppose transparency—or is she?
My Lords, Church Action for Tax Justice campaigns for taxation reforms. In its 2019 report, Tax for the Common Good, it argued that the current tax system was not being used to its full potential as a tool to improve fairness in society. It also argued tax should be perceived as a public benefit rather than as a burden on taxpayers, saying that:
“Growing levels of inequality and the threat of climate change are among the greatest challenges faced by today’s world, while the UK still lives with austerity measures which have seen living standards plummet and undermined trust in our economic system. Responding to these crises requires public spending … and it requires that we rethink our use of natural resources.
Yet in rich and poor countries alike, it is still too easy for large companies and wealthy individuals to avoid paying their fair share of tax. And too often, tax is seen as negative: a burden to be minimised. We can tell a different story about tax: that it allows us to contribute to services and infrastructure shared by all, and that paying it is not just a duty but a privilege.”
The report proposes several reforms of the tax system, including increasing taxes on wealth and reforms to inheritance tax. It also argues that the Government should consider replacing council tax and business rates based on the value of property with a new tax based on the value of the land the property is built on; changing the way businesses are taxed through increasing corporation tax; creating a financial transaction tax; creating a new tax targeted at the providers of digital services, such as Amazon; and using taxation as a means of addressing climate change, such as through new taxes targeting carbon consumption. The report also suggested the introduction of taxes on other resources, such as plastics used in packaging.
The report also recommended that the UK should co-operate with other countries on the issue of tax avoidance, including through establishing an automatic information exchange to enable tax authorities in different countries to better share information on income-generating assets held by foreign citizens holding companies within their jurisdiction. There should be country-by-country reporting of financial information, requiring companies to state where their economic activity occurs, and public registers of beneficial ownership for all jurisdictions, including the UK Crown dependencies. The report argues that this would ensure that the ultimate owners of shell companies are identified and required to pay the right amount of tax. The United Nations should get global taxation rules so that all nations are involved in decisions—
My Lords, I remind the noble Lord of the three-minute speaking limit.
My Lords, Tax for the Common Good is a great analysis of the nature of taxes in the UK, and if it does not prick consciences, it should. Time restricts me to two areas in which I have been active. On page 4, we are reminded that tax is to provide revenue which funds quality public services and infrastructure for everyone.
We have been through a time of austerity that has cut deeply and unfairly into social funding, and we do not have the quality of services we should. I do not underestimate the terror that Treasury folk faced at the time of the financial crisis—I was looking into the abyss, too, so I know how it feels now as well—but we cannot forget the poorest people because they have less voice. And, although welcome, it is regrettable that universal credit seemed to get a temporary boost only when new, better-off cohorts of people became reliant on it because of the pandemic. It is the unanimous conclusion of the Lords Economic Affairs Committee report into universal credit—not a soft-touch committee —that cuts went too far. The biggest shame is how we can ever say that the future is being taken care of when one-third of children live in poverty: it is cruel, short-sighted and not the path to prosperity.
My second point is that we should stop hiding corporate activity and wealth. Page 7 reminds us about automatic information exchange, country-by-country reporting, public registers of beneficial owners and OECD rules, including BEPS. These are measures I have fought over many years to get this far, first in the EU and recently in your Lordships’ House, and I am bitterly disappointed that further steps are always delayed or thwarted, with corporate interests rallying threats about how disasters will befall if information is made available—almost always without real evidence. It is not evidence just because someone says it in a consultation reply, or bends the ear of Ministers or Commissioners. I took on corporate excuses in the final negotiations to get country-by-country reporting for banks into EU legislation, forcing through a sunrise clause that took effect unless harm was proven by a certain date—and harm was not demonstrated.
So, as these issues come around again, call the bluff, switch the burdens of proof and let us make progress. Will the Government do that?
My Lords, I thank the right reverend Prelate the Bishop of St Albans for opening this debate so well and noble Lords for some cracking short speeches. I thank Church Action for Tax Justice for both reports. As an Anglican priest, the first report got me at the introduction by referring to the hard time that tax collectors get in the Bible. To be fair, in New Testament times tax collectors were more like a cross between gangsters and wartime collaborators.
It is now time to rehabilitate those who collect tax, and to make the case for taxation as a mark and means of our shared common life and our willingness to be responsible, one for another. Rehabilitation depends on taxation being fair and being seen to be fair. I cannot do domestic taxation in three minutes, so I will say two quick things. Levelling up has to address income and wealth, and you cannot look at personal tax without also looking at social security.
I will make four quick points from the reports. First, we need to be willing to call out unscrupulous corporate tax practices. The 2021 report calls for:
“The implementation of the provisions in the 2016 Finance Act that would enable public country by country reporting, plus the UK no longer blocking the OECD from publishing aggregate country by country data”.
Can the Minister respond to that, please?
Secondly, the tax system needs to be fair to all types of trader. The UK now has a digital services tax, but big firms are simply passing on the extra charges to customers, such as advertisers or marketplace sellers. Ministers see the DST as a stopgap measure until the OECD agrees a global solution, but that is not happening tomorrow. When do the Government plan to review the DST and will they commit to closing the loopholes that have been found?
Thirdly, there needs to be action on environmental taxes. These can be key to tackling the climate emergency. What work has been done in government to assess the different options? Is this something that is likely to feature on the agendas of our G7 and COP meetings later this year?
Finally, there is the matter of international tax rules and how and where they should be agreed. My noble friend Lord Collins of Highbury is leading a review of the UK’s policy in and towards the UN and its committees and subsidiaries. However, even without major reform, the UK could wield huge influence on international tax co-operation and many other issues. We were a founding member of the OECD, have a leading role at the UN and have some of the highest allocation of voting powers of the financial institutions. Despite that global Britain mantra, too often the UK is absent from the world stage at the moment. What steps will the Government take to seek better and swifter action on international tax co-operation? I look forward to the Minister’s reply.
My Lords, I congratulate the right reverend Prelate the Bishop of St Albans on securing this important debate and thank noble Lords who have spoken for their thoughtful contributions. From listening to those contributions it is clear that many noble Lords agree that resilient, fair and responsive taxation is an essential public good. I am glad to have this opportunity to update the Committee on the Government’s work to ensure that our tax system continues fully to serve society.
However, I will start by saying a few words on the impact of Covid-19. The pandemic has affected tax revenues, but it has also highlighted the agility of our tax system to cope with unprecedented circumstances. Businesses in sectors worst affected by the crisis have benefited from VAT cuts and a business rates holiday, while our time to pay system has given financially distressed individuals the opportunity to postpone tax deadlines. The Chancellor will, in due course, take a decision on any role tax may play in returning the public finances to a sustainable footing at the Budget on 3 March. I hope, therefore, that noble Lords will understand that I cannot speak any further on that today.
However, I will say a few words about the philosophy that underpins our wider tax policy. At last year’s Budget the Chancellor reaffirmed the Government’s ambition to build an even fairer and more sustainable tax system that helps people and families with the cost of living, funds the first-class public services they expect and creates an environment for business to succeed. However, when designing future tax policy we need to remember that the UK economy of tomorrow will be different from that of today. That is why, over the course of this Parliament, the Government are also focused on creating a tax system that is better prepared to meet the challenges and opportunities of the 21st century.
I will talk briefly about the Government’s work on this front, particularly in relation to areas covered by the Tax for the Common Good report. First, I turn to tax avoidance, which was raised by many noble Lords. This is an issue that is quite rightly highlighted in this document, and it is a scourge on our society, which is why we are taking significant action to ensure that companies pay the right amount of tax on their UK profits. In fact, noble Lords may recall that, at last year’s Budget, we announced a new strategy to tackle unscrupulous promoters of tax avoidance schemes. I remind noble Lords that, at 4.7%, the tax gap in the UK is at its lowest ever recorded rate, falling from 7.5% since 2005-06.
However, we also recognise that tax avoidance is a global problem, with global implications. As a result, the UK has also been helping to lead international efforts to address gaps and mismatches in the global tax system. This includes our work at the forefront of the Organisation for Economic Co-operation and Development’s base erosion and profit shifting project, which seeks to prevent company profits being transferred to low- or no-tax locations. I reassure the noble and right reverend Lord, Lord Harries of Pentregarth, that a key part of that work is ensuring that low- and middle-income countries benefit from the steps taken, not just OECD members.
I will correct a concern of the right reverend Prelate about free ports: rather than a race to the bottom, the tax offer that has been designed for them will drive growth and investment, advancing the levelling-up agenda across all four nations of the UK that noble Lords will have heard the Government talk so much about.
I will respond to the issue, raised by the right reverend Prelate, of overseas territories and Crown dependencies, which have full control over their own fiscal matters. They have the right to set their own policy to support their economies within international standards, and they have the right to determine their own tax rates. However, all Crown dependencies and overseas territories with a financial centre have made commitments to implement global standards on tax transparency.
There is no doubt that digitisation is a tax challenge for every nation. We are working hard to find a global solution through the adoption of many of the BEPS recommendations, such as corporation interest restriction rules, which raise approximately £1 billion a year, and hybrid mismatch rules, which are expected to raise £900 million between 2016-17 and 2020-21. At home, we are examining how we can ensure that high street businesses are not left at an unfair disadvantage by the switch to online payments through a review of the business rates system. On digitisation in relation to operating our own tax system, as raised by my noble friend Lord Holmes of Richmond, I totally agree with him. In our recently published 10-year tax administration strategy, we set out our plans to make a fully digital tax system that operates in as close to real time as possible.
We have heard from a number of noble Lords about the role of taxes on earnings, such as income tax and national insurance, and taxes on wealth, such as capital gains tax, as well as the interaction between those different systems. Noble Lords are correct that individuals can be subject to different tax treatments depending on whether they are employed, self-employed or working through a company structure. The OBR has noted the implications of these differences in tax treatments for individuals, who can pay very different amounts of tax while doing similar work. The Government have already taken action to reduce this disparity of treatment; for example, by reforming the taxation of dividend income, including by reducing the dividend allowance to £2,000 from £5,000. Furthermore, corporation tax has remained at 19%, rather than being reduced to 17% from April 2020, as had previously been planned.
Our approach to taxing income, earnings and wealth is an incredibly important question that we will continue to consider. The noble Lord, Lord Field, made an important point on the wider role that different taxes can play and the link between contributions and public services, as well as the public’s view of that wider link. I disagree with the noble Lord, Lord Hendy, who said that tax is not an important part of funding our public services; I think it remains an essential part of that part of government.
The Government are committed to a fair tax system in which those with the most contribute the most. That is why the income tax system consists of three progressive rates of tax, which sit above an internationally high personal allowance. The income tax system is highly progressive: the top 1% of taxpayers are projected to pay over 29% of all income tax in 2019-20.
The Government are also proud of their record of reducing tax for working people. The personal allowance has increased by more than 90% in less than a decade, which means that a typical, basic-rate taxpayer pays over £1,200 less in income tax compared to 2010-11. As with all aspects of the tax system, the Government will keep income tax policy under review and any decisions on future changes will be taken as part of the annual budget process, in the context of the wider public finances.
Further, on the point of the progressivity of the system, in 2020-21, households in the lowest income decile will receive more than £4 in public spending for every £1 they pay in tax on average. In addition to the above changes, in April 2020 the Government increased the national insurance contribution primary threshold and lower-profits limit to £9,500, which will benefit 31 million individuals. The combined impact of income tax and NICs changes between 2010-11 and 2021 means that a typical basic-rate employee is over £1,600 better off, as I have said.
Noble Lords also touched on the issue of climate change. As the noble Baroness, Lady Sherlock, will be aware, the Treasury is carrying out a review into the transition to a net-zero economy. As a part of this work, we are exploring how we can harness the taxation system in the fight against global warming. In December, we published an interim report exploring the fiscal implications of the switch to net zero. This analysis will inform the final review document, which is due to be published later this year.
I hope that I have communicated some of this Government’s work to create a fairer and more sustainable tax system. It was a wide-ranging debate, covering work at home and internationally. We are committed to a tax system that helps people and families with the cost of living, funds first-class public services, and creates an environment for businesses to thrive. I am sure noble Lords will agree that these are laudable goals, and we are making strong progress towards them.
I finish by reassuring the right reverend Prelate on his fears on our path having left the EU. I think those fears are unfounded, and instead I endorse some of the hopes that he expressed for our path in coming years. Having left the EU, this Government’s core agenda is about levelling up across the UK. A well-functioning, fair tax system will be a key part of that.
That completes the business before the Grand Committee this afternoon. I remind Members to sanitise their desks and chairs before leaving the room.
My Lords, the Hybrid Sitting of the House will now begin. Some Members are here in the Chamber, others are participating remotely, but all Members will be treated equally. I ask all Members to respect social distancing. If the capacity of the Chamber is exceeded, I will immediately adjourn the House. Oral Questions will now commence. Please can those asking supplementary questions keep them to no longer than 30 seconds and confined to two points. I ask that Ministers’ answers are also brief.
(3 years, 7 months ago)
Lords ChamberTo ask Her Majesty’s Government what outcomes they hope to achieve at the G7 Summit due to be held in the United Kingdom in 2021.
My Lords, the Government have developed an ambitious agenda for the UK’s G7 presidency, which focuses on building back better for all. The Prime Minister will welcome the leaders of the world’s leading democracies in June to address shared challenges, from beating coronavirus and tackling climate change to ensuring that people everywhere can benefit from open trade, technological change and scientific discovery.
My Lords, I hope that today we are all celebrating President Biden’s decision to sign up again to the Paris Agreement on climate change. I hope that the Government recognise the critical importance of the G7 summit, building towards COP 26 in November and decisive action on climate change. Do the Government also recognise that the best global businesses are crying out for leadership on the sustainable development goals, the framework that provides us with the opportunity to genuinely build back better? Will the Government ensure that those goals are on the agenda for the G7?
My Lords, certainly, one of the key declared aims of the G7 presidency is tackling climate change and preserving the planet’s biodiversity, as I stated. I can certainly tell the noble Lord that we very much welcome the prospect of bringing the COP 26 UN climate conference to Glasgow, to Scotland, in November and will be working on the important agenda that the noble Lord outlines.
Following the question of the noble Lord, Lord McConnell, I was going to ask about the climate emergency. However, following the Minister’s answer, it is also important to ask: will the Government also focus on the social elements of our sustainable development goals, such as ending poverty and hunger, and dealing with inequality?
My Lords, obviously those objectives are encompassed in the agenda set out by the Prime Minister. Promoting future prosperity for all is vital. Incidentally, I am certain that the noble Baroness will welcome the invitation to the Government of Australia to participate.
My Lords, on Tuesday, President Biden announced the formation of a White House gender policy council and committed to restoring America as a champion of women and girls, which is welcome news. I fully support the Prime Minister’s continued focus on girls’ education but can my noble friend the Minister tell me how the UK will work with the United States and other partners to ensure that the wider issue of gender inequality, which has of course been exacerbated by Covid-19, will be properly addressed at the G7 summit?
I thank my noble friend for her important question. The Prime Minister has agreed to convene a gender equality advisory council that will report to the G7 leaders and drive an ambitious agenda to ensure that the disproportionate impact of Covid-19 on women is recognised and the importance of gender equality is at the heart of an inclusive recovery. I thank my noble friend for her work and leadership in this area. The council will be part of her legacy.
My Lords, I declare my interests and very much endorse the Minister’s reply to his noble friend Lady Sugg and his comments about her. I also welcome his response to the remarks of the noble Lord, Lord McConnell, with which I totally agree. I welcome the emphasis that the Government are putting on beating the pandemic and future pandemic planning. However, does the Minister accept that we must recognise the importance of continuing support for ongoing global health programmes—such as that on malaria, where the UK has been a world leader—not only because they save the lives of hundreds of thousands of children every year but because they provide vital health infrastructure for the fight against future diseases?
I thank the noble Baroness with her great experience for her kind comments. I can assure her that the United Kingdom remains committed to the research and development needed to fight all pandemics worldwide. One of the highest moments of my lifetime was the eradication of smallpox, and I am certain that the eradication of these great diseases, one of which the noble Baroness referred to, will remain an objective for all of us.
My Lords, I wish the Government well in their participation in the summit. What new ideas do they intend to put forward in view of the increasing awareness of climate change? Will we suggest any positive steps that President Biden could now take, having overturned Trump’s policies?
My Lords, it would be slightly impertinent of me on President Biden’s first day in office to set out an agenda for him. I think we all look forward to hearing that. I say again that we look forward to the COP 26 conference in Scotland. Within the G7 period and leading up to it, we will keep tackling climate change and preserving biodiversity will be at the heart of our efforts.
Does the Minister believe that the Government’s decision to refuse full diplomatic status to the EU ambassador to the UK will help or hinder our ability to build the consensus needed for a successful G7 summit? While he is at it, will he explain why the UK, uniquely in the world, would take such a staggeringly petty, pointless and self-harming decision?
My Lords, we have slightly moved away from the rather positive and optimistic approach of this discussion so far. The G7 will embrace the presence of the EU, as always, and of major democracies in the European Union.
My Lords, the Prime Minister has set a priority for the G7 to develop manufacturing capacity for treatments and vaccines to prevent future pandemics, and that is very welcome. However, there is an existing pandemic other than Covid—tuberculosis—which still kills 1.5 million people a year and for which there is no effective adult vaccine. That is why research and development investment to develop new tools is so important. Will my noble friend commit to protecting that investment, particularly that made by the Foreign, Commonwealth & Development Office, despite the regrettable cut in the ODA budget?
My Lords, having not ventured to offer an agenda to President Biden, I am certainly not going to offer one to the Chancellor. As with the answer on malaria earlier, obviously, fighting a key disease is a vital common international task. The United Kingdom has been one of the biggest donors to the World Health Organization and one of the biggest supporters of vaccine development.
My Lords, earlier this week, Theresa May said that we must bring people together in common cause, but to lead we must live up to our values. She regretted the UK abandoning its 0.7% commitment. Will the Minister detail the Government’s strategy for engaging members in the coming months to ensure that the UK summit turns the tide and brings leaders behind a common message on the post-Covid recovery?
My Lords, I know the noble Lord’s personal commitment to some of the causes set out in the G7 agenda. I think there is a wide area of agreement here. I understand the points made about overseas aid, but we will still be allocating £10,000 million to overseas aid. Based on the latest OECD data, the UK will remain the second-highest donor in the G7.
My Lords, since the UK is a world leader in setting targets, will the Prime Minister urge the G7 countries, as part of their climate agenda, to set targets for developing countries to step up investment in clean energy and green technology, and to provide technical assistance in developing their non-oil private sector?
My Lords, of course, one hopes that all nations will assent to these high ideals, including, for example, China.
My Lords, this follows on from what my noble friend has just said. To build better societies and economies, we need to ensure that all have the opportunity to thrive, free from persecution. In light of the United States recognition of the persecution of Uighurs in China as genocide, will my noble friend confirm that the UK will raise this as an issue for discussion and ask for a co-ordinated response at the G7?
I strongly support what my noble friend said and pay tribute to her work in fighting international injustice. Anyone who read my right honourable friend the Foreign Secretary’s Statement to the other place on 12 January in response to human rights violations in Xinjiang against the Uighur people will understand this country’s resolve. We call on other nations to show the same resolve on this deeply troubling question.
My Lords, the time allowed for this Question has now elapsed.
(3 years, 7 months ago)
Lords ChamberTo ask Her Majesty’s Government what plans they have to ensure that heritage organisations have access to sufficient supplies of locally produced coal to continue operating after 2021.
My Lords, I beg leave to ask the Question standing in my name on the Order Paper and remind the House of my interest as president of the Heritage Railway Association and vice-chair of the All-Party Parliamentary Group on Heritage Rail.
[Inaudible]—of the heritage sector. The legislation, which will come into force from May 2021, will end the sale of bituminous coal to households in England and lead to significant health benefits. While we acknowledge the indirect impact that this may have on the supply of coal to businesses, it is vital that the Government and the sector continue to work together to transition to cleaner alternatives.
My Lords, I know that the Minister appreciates the value of the heritage rail sector, but how does he envisage that heritage steam will continue to have access to high-quality bituminous coal if no UK-mined coal is available after next year? Transporting coal great distances from countries such as Russia or Australia adds to CO2 emissions and is expensive. Would it not make more sense for the mining of modest amounts of steam coal to continue in areas such as the north-east and south Wales?
My Lords, the legislation that Defra is bringing forward relates to households, and therefore we are working with the sector. It is important that we work with it not only through policy development but in looking at alternatives. Also, I understand that heritage rail has taken steps to improve efficiency and mitigate emissions. Therefore, as I said in my earlier reply, it is important that we work together on this, but this legislation relates to domestic consumption.
My Lords, I declare my interest as someone from whose land in Northumberland coal was being extracted until last year, including for heritage railways. The Minister will know that the Government refused permission for a further surface mine at Highthorn in Northumberland, disagreeing in the process with the county council, the planning inspector and the courts. I had no interest in that project, but I know some of the men who lost their jobs as a result. Given that this country has a continuing need for 5 million tonnes of coal a year, mostly for the cement and steel industries, as well as for the heritage rail industry, and that more of it now comes from Russia than any other country, with a far higher carbon footprint, why do the Government prefer to give jobs to people in western Siberia and take them away from people in Northumberland, and to increase emissions as a result while rewarding the persecutors of Alexei Navalny and Sergei Skripal?
My Lords, the National Planning Policy Framework is very clear that planning permission should not be granted for the extraction of coal unless the proposal is environmentally acceptable or, if it is not environmentally acceptable, provides national, local or community benefits which clearly outweigh the likely impacts. Clearly we are moving into a situation where in this country we are reducing the use of coal for the very important reason of human health.
My Lords, I declare an interest as a vice-chair of the All-Party Parliamentary Group for Craft. Craft industries have long prided themselves on their commitment to a green economy. However, coal is required for the firing of certain heritage bricks which have a unique quality. Does the Minister agree that such uses, including coal for steam, are the exceptions proving the rule for the future green economy, and are necessary if we are to preserve our industrial and architectural heritage?
My Lords, again, we are working across departments with the heritage sector, because we want to have a long-term future for it. However, we need to find alternative ways of securing the heritage sector while having a cleaner and greener economy and reducing emissions, which are making a significant impact on people’s health.
My Lords, we have heard concerns about the importation of coal, and I understand that some heritage rail organisations are currently importing coal, including from Germany. Can the Minister clarify how much coal is currently imported for this purpose, whether the amount is expected to increase, and what the impact of new border controls will be now that we have left the European Union?
My understanding is that, of the 26,000 tonnes of coal used for heritage rail, 90% comes from four British open-cast mines, and therefore any requirements will be about negotiating a suitable ongoing domestic supply. As I said, we want to work with the heritage sector on these matters. My understanding is also that coal imports are overwhelmingly not from EU countries.
My Lords, the Great Little Trains of Wales, Snowdonia, Talyllyn, Llangollen and others, are critical for the hospitality offer, yet heritage trains as a whole emit only just about half of the CO2 that people use in their domestic barbeque charcoal briquettes. The challenge is to find a solution to this problem to keep the trains running. I note that in his responses so far the Minister has not yet offered what the potential solutions might be. So will he support research into this matter and, in particular, into whether the residue steam coal in our unsafe, above-ground coal tips can be manufactured into the lump coal needed to ensure that these trains and the jobs they support survive into the future?
My Lords, I have been very clear that we are working with the heritage sector. Indeed, the legislation that relates to domestic consumption is being phased in so that we can work not only with consumers but with the heritage sector. So I reject the tone of the noble Lord’s question, because this is an area we want to work on. I remind your Lordships that we are doing this because fine particulate matter is very damaging to people whose health is vulnerable. To work on a cleaner health agenda, we need to apply our minds to how we can find alternatives.
Has the Minister ever travelled behind a steam locomotive? Has he no sense of soul about Britain’s steam heritage? Is he not aware that steam locomotives are temperamental creatures that depend on a certain supply of bituminous coal to work effectively and efficiently? Is he, as a member of a Government who have frozen fuel duties for the past 11 years and done far more damage to the environment than any steam locomotive, really trying to tell us that 35,000 tonnes of coal will damage the environment to such an extent?
My Lords, I am sure the noble Lord heard my first reply. This legislation is about domestic consumption. In people’s houses the increase in fine particulate matter from domestic consumption has caused concern, and we will not meet our legal and binding obligations unless we attend to this. I should also say that two villages away from where I am sitting is the Mid-Suffolk Light Railway, affectionally known as the “Middy”. I am well aware of it, I have travelled on it and I enjoy it very much, but we need to work across the heritage sector, not only with the rail sector, because this is a very important health issue.
My Lords, while I have genuine sympathy with heritage railways and others, such as the owners of traction engines and the like, does my noble friend agree that this should certainly not be a reason for opening any new coal mines in this country while importing the type of coal required is still possible? As my noble friend said, it is worth reminding other noble Lords that this is being done for health reasons.
I have said what the National Planning Policy Framework states, and I agree with my noble friend on why we need to do this and why we also need to work with the heritage sector.
Does the Minister not realise that if you go to places such as the north of England on a weekend and see thousands of people stood around, waiting, you know that a steam locomotive is going to be travelling through and people are waiting to view it? Does the Minister agree that there is no finer sight in this country than such a vision? Will he guarantee that it will be there for my grandchildren?
My Lords, that is absolutely what we are working on with the heritage sector because we want a viable future for these great heritage assets of our country. However, I go back to the fact that this is legislation reducing and changing our requirements for domestic consumption. I fear that some noble Lords are misinterpreting that. We are working with the heritage sector because we want a long-term, viable future for it.
My Lords, the time allowed for this Question has elapsed. I apologise to those noble Lords I was unable to call. We now come to the third Oral Question.
(3 years, 7 months ago)
Lords ChamberTo ask Her Majesty’s Government what assessment they have made of the United Nations Treaty on the Prohibition of Nuclear Weapons.
My Lords, the Government have been clear that they will not sign the Treaty on the Prohibition of Nuclear Weapons. We do not believe that this treaty will bring us closer to a world without such weapons. The Government believe that the best way to achieve our collective goal of a world without nuclear weapons is through gradual multilateral disarmament, negotiated using a step-by-step approach. We must take account of the international security environment and work under the framework of the nuclear non-proliferation treaty.
I thank the Minister for his reply. Nevertheless, as of tomorrow the TPNW will be no less a reality for the UK than for countries that support it. It will be no less a reality for states that possess nuclear weapons than for those that do not. The UN Secretary-General has described this new treaty as
“a further pillar of the disarmament regime”
and therefore fully compatible with the NPT. I ask the Minister, since the new treaty and its underlying humanitarian motivations will loom large over any future discussion of our non-proliferation responsibilities, what preparations are being made by the Government to engage with it constructively? Will they commit to attend, as an observer state, the first meeting of states party to the treaty, as Sweden and Switzerland are doing?
My Lords, I hear what the right reverend Prelate says but, to be clear, the United Kingdom will not support, sign or ratify the TPNW. The reasons are very clear to us: it fails to offer a realistic path to global nuclear disarmament and, importantly, risks undermining the effective non-proliferation and disarmament architecture that we already have in place, in particular the work that has already been achieved with key partners on the NPT.
I declare my interest as in the register. I am compelled to repeat the question from the right reverend Prelate the Bishop of Coventry. Given the global importance of this treaty, will the Government consider sending in an observer capacity a delegation when the treaty parties convene later this year, whether in person or virtually? Clearly, in observer status the Government might learn something of interest.
My Lords, I assure the noble Baroness that we are fully aware of the challenges that currently confront us on the global stage and the importance of ensuring that we see non-proliferation. There are major challenges with this treaty, including the fact that it does not look at the existing security architecture, including our obligations to NATO. It does not look at how we deal with the threats from nations such as the DPRK. My Answer was very clear about what our belief is on the treaty. If parties to that treaty engage with us bilaterally, of course, we will continue to engage with them on wide range of matters.
The Minister is being characteristically courteous but does he not agree that every Member of this House, not least the right reverend Prelate, has a responsibility not to deceive themselves that this treaty could be an effective mechanism for achieving our shared goal of the elimination of nuclear weapons? Indeed, suggesting that it is undermines that very goal.
My Lords, I have to disagree with the noble Lord. I accept that the treaty the right reverend Prelate talks about has noble intent but there are existing mechanisms, treaties and obligations that have ensured the decline in the proliferation of nuclear weapons. Indeed, with the treaties that we are part of and the partnerships that we have forged, since the end of the Cold War we have seen a 50% reduction in our own arsenal. While respecting the right reverend Prelate—and, of course, all noble Lords in this House—on this occasion I do not hold the same view.
I welcome my noble friend’s confirmation that it has never been the policy of Her Majesty’s Government to have the indefinite retention of nuclear weapons but to seek a world free from all nuclear weapons. This is stated in the national security strategy, set out in pillar 2 of the non-proliferation treaty and stated in the first resolution of the UN General Assembly, held 75 years ago this weekend across the road in the Methodist Central Hall. How could my noble friend use this anniversary to advance our declared ambition of the complete elimination of all these weapons of mass destruction before it is too late?
My Lords, I assure my noble friend, who speaks with a great deal of insight and expertise in this area, that we remain very much committed. Our commitment to our obligations and our adherence to the rules-based system of international law and the treaties that we are part of will ensure the very objective he seeks and I seek as well.
My Lords, one of the key aspects of non-proliferation in recent years has been the JCPOA. The UK has been involved in this but under President Trump the US pulled out. What are her Majesty’s Government doing about talking to President Biden about re-engaging in the JCPOA?
My Lords, we look forward to fruitful discussions with the United States on a range of issues and look forward to working with it on this important priority as well.
Following on from that question, only this week Her Majesty’s Government stated as part of the E3 that they are deeply concerned by Iran’s announcement that is producing uranium metal. There is no credible civilian use for uranium. Will my noble friend the Minister take the earliest opportunity to discuss with his new counterpart in the Biden Administration how to strengthen any deals with Iran to ensure the disbanding of its nuclear programme in its entirety and, at the same time, stop its destabilising behaviour in the region?
I assure my noble friend that on both his points we will be engaging constructively with the United States and other allies in this respect.
My Lords, Iran has incrementally violated the JCPOA. It would be delusional to return to it and to drop sanctions. Iran has achieved uranium enrichment levels of 20%. What are the Government doing to ensure that Iran halts this dangerous escalation?
My Lords, I assure the noble Baroness that Iran’s continued non-compliance with its nuclear commitments is deeply concerning and seriously undermines the non-proliferation benefits of the agreement. Iran faces a stark choice—to continue on its current path and face growing isolation or to come back to the negotiating table. We hope it will choose the latter course.
My Lords, does the Minister agree that any advance that has been made in any of the conventions on nuclear weapons so far has been achieved in the context of firm undertaking by nuclear powers, including us, to steadily reduce the number of nuclear weapons at their disposal? There seems to be quite a lot of room for doubt about the commitment of some nuclear powers at the moment. Is it not a priority for the British Government to get together with the new Administration in the United States, and indeed with the French, to discuss how we should be carrying the new situation forward?
My Lords, I assure the noble Lord that we will continue to engage with the US and with the P5 process. As he will be aware, we led on that last year. We will work very constructively with the French, who lead on the P5 this year.
My Lords, for the purposes of investment, this treaty puts nuclear weapons clearly in the category of controversial weapons. Does the Minister agree that investment in such weapons by responsible and ethical pension funds and other investors will quickly become completely unacceptable?
My Lords, the nuclear industry and its wider energy benefits are also part of the debate. We remain very committed to a minimum but credible independent nuclear deterrent.
My Lords, are the Government aware of the European Leadership Network’s call for a sustained, open-ended and regular panel on strategic nuclear risk reduction?
My Lords, if I may, I will respond to the noble Lord in writing once I understand the full context of his question. However, as I have already articulated, we are working with key P5 partners—including the key European partner in this respect, the French.
My Lords, the time allowed for this Question has now elapsed. We come to the fourth Oral Question.
(3 years, 7 months ago)
Lords ChamberTo ask Her Majesty’s Government what representations they have made to the Government of Russia about the arrest of Alexei Navalny.
My Lords, I begin by extending my best wishes and those of your Lordships’ House for health and happiness to the noble Lord, who I understand is 79 years young today.
It is appalling that Alexei Navalny has been detained on arbitrary charges. We raise his case regularly and directly with the Russian Government. On 15 January, immediately prior to his return, the United Kingdom’s ambassador to Moscow raised our concerns with the Russian foreign ministry. My colleague, Minister Morton, who is responsible for our relations, also raised this issue with her Russian counterpart in November 2020. As the noble Lord will know, the Foreign Secretary issued a statement on 18 January calling for Mr Navalny’s immediate and unconditional release.
First, I thank the Minister for his very kind words. Returning to the subject, does he not agree that Alexei Navalny has shown tremendous bravery by returning to Russia after the assassination attempt? Will the Minister agree that the Government might show support for his release, backing it up by increasing sanctions against the Putin-supporting oligarchs based in London in relation to their investments, property purchases and travel to the United Kingdom? That would show some real support in trying to get Alexei Navalny out of prison.
My Lords, I assure the noble Lord that I agree with his sentiments, and I look forward to working with him in this respect. Of course, we keep further sanctions under review but, as he will know, following the poisoning of Alexei Navalny last year, we issued proscriptions against six individuals and the State Scientific-Research Institute of Organic Chemistry and Technology.
My Lords, Mr Putin constantly challenges the global risk-based order and his behaviour is erratic, whether it is attempts to kill political opponents, such as Navalny, a WMD attack on our nation’s soil, a stream of outrageous damaging global cyberattacks, provoking flights into our airspace, a build-up of nuclear submarines threatening our deterrent, or actions in Ukraine, et cetera. It is difficult to know what he hopes to achieve, but it is certain that there is an increasing risk of miscalculation, which is highly dangerous and could lead to hostilities. Is the Minister concerned about this risk, and should there not be urgent action to rejuvenate arms control agreements, military-to-military dialogue and confidence-building measures, such as New START and the open skies agreement?
My Lords, the noble Lord speaks with great expertise and insight; I agree with the thrust of what he proposes and the specifics that he mentioned. We want to work with Russia and other partners on the very objectives that he has outlined, but the detention of the main opposition leader demonstrates a continuing decrease in democracy and human rights in Russia, and we will continue to hold it accountable for that.
My Lords,
“Confident political leaders do not fear competing voices, nor”
see the need,
“to commit violence against or wrongfully detain political opponents.”
Those are not my words but those of Mr Mike Pompeo, the outgoing United States Secretary of State, with whom I rarely agree. Does the Minister agree?
My Lords, I do agree with former Secretary of State Pompeo’s words. That is why we work very closely with the United States in dealing with the issues and challenges that Russia brings to the world.
Alexei Navalny’s latest investigation into what he has called the world’s “biggest bribe”—Putin’s sprawling palace at the Black Sea—is a reminder that corruption is endemic in autocracy and that tackling it undermines the rule of strong men such as Putin. With that in mind, will the Government continue to encourage greater transparency over Russian financial activities around the world, including in the United Kingdom, and take steps to combat money laundering? Can my noble friend the Minister update us on the progress that has been made on this since the Intelligence and Security Committee published its report last year?
My Lords, I apologise: some of my noble friend’s questions were not quite clear. However, I believe that she referred to the ISC report on Russia. As she will know, the Government’s response was published immediately after its release. Russia is a top national security priority for the Government, and we will introduce new legislation concerning the security services and law enforcement. As she will be aware, the Government are currently looking at how our sanctions regime can be further extended to deal with corruption and illicit financing.
My Lords, having worked in a Russian ministry in Moscow for three years in the early 1990s, I am hugely aware of the impact on the Russian people of the appalling treatment of the extraordinarily brave Mr Navalny. How on earth he brings himself to go back to Russia, I do not understand. Will the Government support a statement from our Parliament to the Russian Parliament expressing our strong support for the fundamental rights of Mr Navalny and the Russian people to free speech and freedom of assembly?
My Lords, on the principle that the noble Baroness raises, it is absolutely for Parliament to decide on issuing such statements. However, she will have seen the strong statement that we issued with partners on this very issue.
My Lords, the Minister said that the Government were keeping matters under review. Returning to the point made by the noble Baroness, Lady Helic, it is now 15 months since the publication of the Russia report and the Government have yet to implement even one of the 21 recommendations. There are enormous concerns that the City of London is still acting as a haven for dark money connected to human rights abuses in Russia. What steps will the Government take to ensure that UK businesses are not complicit in human rights violations in Russia?
My Lords, I believe that I have already addressed, in part, the issues of human rights and sanctions, and of course I will be talking to the noble Lord as we bring forward some of the broader sanction applications. On the report, we have acted. I have already alluded to legislation, and we continue to step up our activity, both domestically and internationally, to tackle illicit finance. The National Crime Agency has increased the number of investigations into corrupt leads and, among other things, the UK has used existing immigration powers in dozens of cases relating to hostile state activity. We will also review all tier 1 investor visas granted before 5 April 2015.
My Lords, we all recognise that the UK, as a democracy, is far more open to Russian influence than Russia is to British. Does the Minister agree that Russian interference, including finance in British politics, is at least as severe a threat to UK sovereignty as the European Court of Justice? Does he accept that the Government’s response to the ISC report is widely considered to have been “defensive and uninformative”? Can the Government assure us that they are working actively to tighten the law on foreign agents in British politics, on financial contributions from abroad to political parties and on espionage?
My Lords, I can give the noble Lord that assurance. On the question of interference in elections, he will be aware that various legal matters are already under way, so I cannot speak specifically to those. On the other matters that he raised, I have already said that we are acting, and will be responding, and have already taken steps, as our response to the ISC report has demonstrated.
My Lords, Russia, at its own request, rejoined the Council of Europe a few months ago but does not seem to have grasped the fundamental values of that council. Sanctions are really water off the duck’s back. The noble Lord, Lord Collins, came a lot nearer to the truth as to what we need to do if we are going to have an effective impact. Does the Minister agree that we need to join Berlin and Paris in encouraging Russia to follow the principles inherent in democratic societies and the underlying principles of the Council of Europe, which it was so keen to rejoin?
My Lords, in the interest of time, I totally agree with my noble friend, and we will work closely with Germany and France in that respect.
My Lords, the Russian Federation has failed to respond to the overwhelming evidence that it poisoned the opposition leader using Novichok, for which of course it has previous form. Addressing the EU last year, Alexei Navalny said that sanctions should target the money of the oligarchs who hold Putin’s assets. This lack of adherence to a rules-based international order has gone on for too long. Does the Minister agree now that there should be direct consequences, as suggested by Mr Navalny, for this outrageous breach of all the norms of civilised states, all of which is compounded by the subsequent arrest and jailing of Mr Navalny on his return to his own country?
My Lords, suffice to say that I agree with the noble Lord. I add that we have already taken quite specific actions, both through multilateral organisations such as the OPCW and specifically on issues of sanctions related directly to the Novichok poisoning of Mr Navalny. We will continue to work with partners and see what further steps we can take. As those come to bear, I will of course share them with your Lordships’ House.
My Lords, the time allowed for this Question has now elapsed.
My Lords, the Hybrid Sitting of the House will now resume. I ask Members to respect social distancing.
(3 years, 7 months ago)
Lords ChamberTo ask Her Majesty’s Government what steps they are taking to ensure that access to Covid-19 vaccination is available as part of their overseas development aid work to vulnerable people in less economically developed countries.
My Lords, the United Kingdom has committed £548 million to the COVAX Advance Market Commitment, the AMC, which is the international initiative to support global equitable access to vaccines. Through match funding the commitment was leveraged to encourage other donors to commit $1 billion in 2020. The commitment will support access to Covid-19 vaccines for up to 92 developing countries by contributing to the supply of 1 billion doses, with deliveries set to begin in the first quarter of 2021.
My Lords, while the United Kingdom has been a strong supporter of the COVAX Facility, the director-general of the WHO has raised fresh concerns about developing countries being left behind. Will Her Majesty’s Government consider approaches to supplement COVAX using our own economic development institutions? For example, could we make UK export finance easily available to countries importing the Oxford vaccine, and could we encourage the CDC to urgently support local vaccine supply chains?
My noble friend makes two very practical points, especially that on the CDC. I will certainly look at what we can do. To be absolutely clear, we remain committed to the COVAX Facility. We want to provide clarity to all that we will continue to support that facility, which we believe has the infrastructure to ensure the best, most equitable and fastest distribution to the most vulnerable around the world. However, my noble friend makes some practical points and I will certainly explore those further.
Does the Minister agree that, while priority must be given to vaccinating as many people in the United Kingdom as possible, it is also vital to help protect less developed countries, which may develop other strains of Covid-19 as we have already witnessed? Can the Minister assure the House that the UK Government will not seek any payment for vaccinations or equipment from those countries? Will the Government support them to develop and deploy the skills and expertise that have been developed by our own dedicated scientists and doctors in this country?
I assure the noble Baroness that, as vaccine distribution picks up pace and other vaccines come online, we remain committed to the COVAX Facility. The noble Baroness puts forward some practical points about British expertise and how this can be further leveraged in terms of support. Regarding specific charges that may be levied, let me assure her that the whole basis of the AMC within the COVAX Facility is to ensure that the most vulnerable are not prohibited from or limited in their access to the vaccine because of a lack of money.
My Lords, last week Dr Anthony Fauci from the US National Institutes of Health endorsed the WHO’s Covid-19 Technology Access Pool, the C-TAP. This is a key mechanism to support efforts to scale up the manufacture of vaccines for all. We are currently not supporting it. Considering the urgent need to respond to new variants of the virus, will the UK Government follow Dr Fauci’s lead?
My Lords, I understand from reports coming from the United States that Dr Fauci’s expertise will be fully leveraged within the World Health Organization, as he will be leading the United States delegation now that the US has rejoined the World Health Organization, which we welcome. As details of the Covid-19 Technology Access Pool emerge from the WHO, our Government are committed to assessing how it could add value to existing innovation and access infrastructure such as the Medicines Patent Pool, which we helped to set up 10 years ago. We are looking at it very carefully. We will work closely with the United States and, importantly, the World Health Organization in this respect.
Baroness Manningham-Buller. No? I call the most reverend Primate the Archbishop of Canterbury.
My Lords, we must welcome warmly the exceptional moral leadership in this remarkable donation to the COVAX programme, which I think is the largest of any country. However, in order to make the money work, and to follow up what the British ambassador, Julian Braithwaite, said at the WHO, we need a global vaccination campaign if we are to overcome this global pandemic. There are three particular obstructions to overcome. One relates to the use of surplus supplies of vaccine; for example, Canada has ordered more than five times what it needs for its population. The second is misinformation, mythical dangers or false stories being deliberately spread about the vaccines. Thirdly, in many parts of the countries that will need the vaccine, there are immense logistical difficulties in distributing it. To make the most of the financial leadership we have set and given our expertise, experience and success in the rollout in this country, what will the Government do to validate that gift by overcoming these three challenges?
My Lords, the most reverend Primate makes some very pertinent and important points. On the issue of countries which have oversubscribed, some countries have already announced plans for that. We are not in that position, but others have announced how they will look at distribution. We would implore them to consider that the most equitable way to support that distribution is through the COVAX Facility and the AMC, for the very reasons that have been put forward; namely, that they have the most effective infrastructure and networks to allow for equitable and fast distribution of the vaccine as it is rolled out.
I take fully the most reverend Primate’s point on misinformation. At a time when people are concerned and worried, it is highly regrettable that some in the world are putting out misinformation on vaccines which have already gone through all stages of testing and have been approved. We must come together to tackle that and provide proper information.
The most reverend Primate’s point on logistics was well made. As vaccine distribution continues, we will work through our networks within the FCDO and the UN to further strengthen NGOs; for example, with training and by ensuring that front-line healthcare workers in the field in developing parts of the world are vaccinated first.
I thank my noble friend for the assurances he has given the House about his department. Will he ensure that every effort is made to focus medical help to Africa on preventive vaccines, but not only against Covid-19? Can use be made of the Virtual Doctors organisation, which can assist in setting up a preventive system in African countries?
My Lords, I can give my noble friend that assurance. My right honourable friend the Foreign Secretary is currently on a visit to Africa, where issues concerning Covid-19 and the vaccine will be addressed directly, as they will be by the Minister for Africa. In her latter point, my noble friend also makes a practical suggestion about distribution. As more vaccines become readily available and distribution evolves, we will take this forward as part of our planning and share it with other partners as well.
My Lords, the great news from Washington this morning is that the US is joining the COVAX facility. I hope this will lead to many more opportunities. Last Friday, I met representatives of the Africa CDC who have more recent experience and expertise in conducting mass public vaccination programmes than do we in the UK. What discussions has the Minister’s department had with organisations in the global south, so that we can learn from them? They also highlighted the secondary economic impacts through healthcare and gender inequality. What preparations is the FCDO making to prevent there being a development mountain to climb after the pandemic subsides?
My Lords, on the noble Lord’s second question, he will appreciate that at the Gavi summit we saw a real commitment by the world community, led by the United Kingdom, not just to deal with the global pandemic but to ensure that the other challenges we face—particularly on vaccine distribution, including against polio and cholera—are not forgotten. These remain live challenges in many parts of the world. That underlines our commitment to ensuring that such challenges remain very much on the priority radar. Covid-19 vaccines and their distribution are our primary focus. I agree that we should be looking at the experience of all our partners. There are NGOs working throughout Africa that have real experience of dealing with the Ebola outbreak. We should learn from that. I have spoken to leading scientists in Pakistan who are still dealing with polio, both there and in Afghanistan. They were able to deploy quickly certain measures to deal with Covid-19 when it happened. This is a learning curve, and we must work together to ensure optimum outcomes not just for one country, but for us all.
The UK is rightly proud of the leadership of many Governments over many years in Gavi. It was alarming to hear on the “Today” programme yesterday that only 25 vaccine injections had been delivered into arms so far in developing countries. Can the Minister reassure the House that the UK’s extra orders for the Pfizer and AZ vaccines have not caused any delays in the urgent rollout of the Gavi orders?
I, too, heard that announcement. As Minister for South Asia, I know that there are large parts of India, for example, where the population is highly vulnerable and suffers extreme poverty. The Indian authorities are part of the rollout. I have also heard that the vaccine is now being delivered to Bangladesh. The Government are stressing to all our partners that support for the COVAX facility, particularly the AMC, is a key part of ensuring equitable distribution for all.
My Lords, I congratulate the Government on their vaccination record. I am about to have mine, so I thank them. The Big Issue works with people on the streets all over the world—and here I declare an interest. Vaccinating street dwellers against Covid is very important, but they also need nutrition and support beyond that. Can the Minister’s department indicate whether anything might be added to the Covid vaccine that could keep these people healthy?
My Lords, I pay tribute to the work of the noble Lord, helping people not just in the United Kingdom but across the world. I listened carefully to what the noble Lord said and look forward to practical suggestions from him for how we can further strengthen our work in this area. I can assure him that we are looking particularly at famine and nutrition in fragile states. This is very much part of the development elements with which the FCDO is engaged.
My Lords, given the devastating impact of Covid-19 on low and middle-income countries, the need and the demand for overseas development assistance has never been greater. This is one of many reasons why the cut to the 0.7% is so regrettable. Can the Minister reassure me that spending on health infrastructure and on, for example, data systems, cold chain storage and the training of healthcare workers will be protected from the aid cuts? It is crucial in the fight against this and future pandemics around the world.
My Lords, answering my noble friend presents me with a bit of a challenge because, not so long ago, she was leading on this area, but I hope I can provide her with practical information in every sense. I look forward to working with her further on the prioritisations within ODA. My noble friend knows better than most the challenges that this has presented. I can assure her that global health remains a top priority for the United Kingdom. We are focused on overcoming Covid-19, as well as on supporting more resilient and healthier populations in developing countries. I currently have wider responsibilities within the FCDO. We are looking specifically at country plans to ensure that the most vulnerable are protected and that other issues such as those raised by the noble Lord, Lord Bird, on famine, do not present additional problems as we challenge the pandemic. We will ensure that the principles close to my noble friend’s heart continue to guide our work within the FCDO.
My Lords, the time allowed for this Private Notice Question has elapsed. I apologise to noble Lords whom it has not been possible to call.
That the Regulations laid before the House on 1, 9 and 22 December 2020 be approved.
Relevant documents: 38th, 40th and 41st Reports from the Secondary Legislation Scrutiny Committee. Considered in Grand Committee on 19 January.
That it be an instruction to the Committee of the Whole House to which the Counter-Terrorism and Sentencing Bill has been committed that they consider the Bill in the following order:
Clause 1, Schedule 1, Clause 2, Schedule 2, Clause 3, Schedule 3, Clauses 4 to 6, Schedule 4, Clauses 7 to 19, Schedule 5, Clauses 20 and 21, Schedule 6, Clauses 22 and 23, Schedule 7, Clauses 24 and 25, Schedule 8, Clauses 26 and 27, Schedule 9, Clause 28, Schedule 10, Clauses 29 to 36, Schedule 11, Clauses 37 to 45, Schedule 12, Clauses 46 to 48, Schedule 13, Clauses 49 to 53, Title.
My Lords, I will call Members to speak in the order listed in today’s list. Interventions during speeches or “before the noble Lord sits down” are not permitted, and uncalled speakers will not be heard. Other than the mover of an amendment or the Minister, Members may speak only once on the group. Short questions of elucidation after the Minister’s response are permitted but discouraged; a Member wishing to ask such a question, including Members in the Chamber, must email the clerk. We will now begin.
(3 years, 7 months ago)
Lords ChamberMy Lords, Amendments 1 to 8, in my name and that of my noble friend Lady Jolly, are to correct drafting. None of them, individually or collectively, alters the meaning or substance of the parts of the Bill that they would amend. I beg to move Amendment 1.
The noble Lord, Lord Sharkey, made his points cogently on Report. We do not intend to oppose the amendments on the Marshalled List, as they are technical tidying amendments, consequential on those in the name of the noble Lord, Lord Sharkey, that were passed on Report.
My Lords, the Bill before us is quite different from the one we started with, but it is no doubt much better. That is entirely because of the huge value of your Lordships’ challenge and scrutiny. We have held over 50 meetings and considered 249 amendments, and the result is a tribute to the care and patience of noble Lords, for which I give profound thanks. It is also, if I may say so, a tribute to the workings of the hybrid House, which have kept legislation moving under difficult circumstances.
We would not have reached this position without the thoughtful, collaborative and constructive input of noble Lords, to whom, I pay tribute—in particular, to the noble Baronesses, Lady Thornton and Lady Wheeler, on the Opposition Front Bench, together with the noble Lord, Lord Hunt, and the noble Baronesses, Lady Jolly and Lady Walmsley, and the noble Lord, Lord Sharkey, on the Liberal Democrat Benches. I also thank, from the Cross Benches, the noble Lords, Lord Patel and Lord Alton, and the noble Baroness, Lady Finlay. They have all brought their immense experience and wisdom to our debates, to improve this legislation. And when it comes to wisdom and experience, I must also pay tribute to those from these Benches, especially my noble friend Lord Lansley, my predecessor, my noble friend Lord O’Shaughnessy, and my noble and learned friend Lord Mackay of Clashfern, who have all been of enormous help in enabling us to arrive at a consensus across the House. My noble friend Lord Howe has been a generous mentor, and my noble friend Lady Penn is a superlative Whip, both shepherding the process charmingly, discreetly and effectively.
I thank most emphatically my noble friend Lady Cumberlege. She has spoken of the importance of compassion, of the voices she has listened to, and of the paramount importance of patient safety. I have heard her, and I support her endeavour. She has the support of the House in her efforts, and we have collectively made significant progress towards her admirable goal.
I also thank officials on the Bill team, particularly Alice Clouter, and those in my private office, particularly Tilly McEwan. They have all worked tirelessly and expertly. I cannot give thanks to all the other champions in the House who have made influential interventions, but I am definitely very grateful to them.
I cannot hide my excitement about the future. While the Bill process is near its conclusion, we are at the end of the beginning of an exciting new regulatory system—a system that protects patients and enables innovation. It is with that vision of the future, as well as my gratitude to all, that I beg to move.
My Lords, at this stage of the Bill, we take a few moments to congratulate ourselves and thank those who have made it possible to get this far. First, I thank my own Bill team, who have worked so hard, particularly Rhian Copple in the Lords Opposition office, and my noble friends Lady Wheeler and Lord Hunt—and, indeed, my noble friend Lady Andrews and others, who popped up here and there to support us.
We should all congratulate ourselves because, despite the conditions in which we have worked this autumn and winter, we have managed to build effective communications which have made it possible to make considerable progress in improving the Bill in many ways, as the Minister said. I think we can say that we did our job, as the revising Chamber.
The fact that we ended up with only three Divisions on Report is a testimony to way in which the Minister, the noble Lord, Lord Bethell, his Whip, the noble Baroness, Lady Penn, and his adviser, the noble Earl, Lord Howe, and the very hard-working Bill team led by Alice Clouter, handled the Bill. They listened, they discussed, they considered and they revised, which is really all that one can ask. This is the Minister’s first Bill, and I congratulate him on leading his team and handling what is always a baptism of fire for any Minister.
I am delighted to agree with the Minister and say that we are sending back a very different, and much improved, Bill. We have managed to address many of the big-ticket items, ranging from data sharing to human tissue, and, ultimately, patient safety. I thank participants across the House. Like the Minister, I mention in particular the noble Lord, Lord Patel, the noble Baroness, Lady Jolly, the noble Lords, Lord Freyberg and Lord Clement-Jones, and the noble Baroness, Lady Cumberlege. I also thank everybody else who has taken part in the many discussions and given us the benefit of their wisdom, particularly the noble Lords, Lord Lansley and Lord O’Shaughnessy.
First Do No Harm paved the way for the creation of an independent patient safety commissioner, and I think that changed the way in which the Bill was handled, because it is now, as it should be, a patient safety Bill. For that, I really wish to congratulate the noble Baroness, Lady Cumberlege.
Finally, I want to thank the organisations who have given us their support and expertise, which is particularly important for those of us in opposition. I am very grateful to the DPRR and Constitution Committees for their insightful scrutiny, which sometimes is painful for the Government but is almost always helpful to us; the Lords Library; and, for us, the University of Birmingham, the British Dietetic Association, Advanced Accelerator Applications, the Association of British HealthTech Industries, Cancer Research UK and, in particular, the BMA. I am very grateful for the expert briefs that they have given us.
Stakeholder engagement will remain key for many years to come, for while the Bill will soon pass—as the Minister said—the task of creating a post-Brexit medicines and medical devices regulatory regime is far from finished. I look forward to working with stakeholders and the Minister to make sure that we move forward in the best possible fashion. We have given ourselves a good start.
My Lords, Bills come and go. This Bill started its life as one to tidy up regulatory issues to do with the new post-EU world. In 10 years’ time, the Medicines and Medical Devices Bill is one I may not list as one of the most important I have worked on; I hope that the forthcoming mental health Bill will fit that spot. If remembered at all, it will be for the introduction of a commissioner for patient safety, born out of the First Do No Harm report by the noble Baroness, Lady Cumberlege.
There will need to be changes in the House of Commons to make the Bill really fit for purpose. The Minister has indicated the Government’s intention to lay amendments, and I am grateful to him for involving Peers in that process. When does he anticipate Second Reading in the Commons?
As the Minister and the noble Baroness, Lady Thornton, said, many people make a Bill, and they do not all sit in the Chamber. In particular, I thank both the Minister and the noble Baroness, Lady Penn, for giving us time to talk to the Bill team and allow them to explain new government amendments. Of course, I should not forget the noble Baroness, Lady Thornton, and her team; the noble Lord, Lord Patel; my noble friend Lord Sharkey; staff in opposition offices; and others who certainly made the Bill better, turning it into a workable piece of primary legislation.
My Lords, I could not let this opportunity pass without expressing my gratitude to all those who have played such a vital part in drafting, scrutinising and improving this important Bill. I know that it will now return to the other place. I wish it a fair wind and hope that we will soon see it enacted.
Throughout, noble Lords from all sides of the House have, quite rightly, focused on using the Bill to strengthen patient safety. Safety is now threaded throughout the Bill. I do so welcome that; it is something that the noble Baronesses, Lady Thornton and Lady Jolly, have both just mentioned. We have enshrined a very important safety recommendation in the Bill: we will now have a proper database to record the medical devices that are used and on which we and patients will be able to track their outcomes and detect safety more quickly. I cannot overstate just how important that is. Without this data, the healthcare system has been flying blind.
I have been very touched by the kind and thoughtful expressions of support from so many noble Lords in general debates and, in particular, for my amendments, which were triggered by the recommendations in First Do No Harm. The report enshrined in me that, at every opportunity, we must be reminded that the NHS is run for the people and is paid for by the people. Right now, the NHS is demonstrating a total commitment to saving lives and defeating this deadly virus—a virus that, as it sweeps around the world, devastates lives, livelihoods, education, personal budgets and a national aspiration for a better world.
In the dark days of the Second World War, Beveridge was preparing for a better Britain. In these dark days, there is a need to make plans—not just to return to what was there before but to look forward to something better. I believe that the patient safety commissioner will provide something better and will improve patient safety and healthcare as a whole. I was thrilled that so many of your Lordships lent me their support in calling for this; I know that their voices made all the difference. I thank the Minister and the noble Baronesses, Lady Thornton and Lady Jolly, for their generous remarks today.
My Lords, I am delighted to follow my noble friend Lady Cumberlege; I pay fulsome tribute to her and the team that, through her leadership, produced the report, First Do No Harm, from which we see this Bill. I would like to join her and others in paying tribute to my noble friends Lord Bethell, Lady Penn and Lord Howe, who I had the honour to work with, as a humble bag carrier, in the other place.
In recalling my interest with the Dispensing Doctors’ Association, I would like to make one plea to the Minister as this Bill proceeds to the other place. For clinical trials and patient safety, which is the focus of the Bill, which I wholeheartedly support, we need to rely on patients making their data available and giving consent for it to be used for clinical purposes. During the passage of the Bill, I raised what has now been seen in Denmark—a huge reaction against patient data having been abused and used for commercial purposes against the wishes, and without the consent, of patients. Were that to happen here, it would detract from the fundamental good of this Bill and the wider public benefit to the NHS and future patients of sharing the clinical data that permeates this Bill. I urge the Minister, therefore, to look seriously at the practical question that remains of how patient consent will be obtained and confidentiality respected, particularly in meeting the requirements of clinical need. But I am delighted to have played even a small part in the passage of this Bill, and we look forward to its passage through the other place.
My Lords, I am delighted to have this opportunity to express my thanks to the Minister—the noble Lord, Lord Bethell—the noble Baroness, Lady Penn, and all the other noble Lords who have been taking part in this legislation, in particular those who spoke to and supported my amendments from all sides of the House.
Much has already been said about what we have achieved. I know that time is running short, so I will try and be brief. Of course I congratulate, first and foremost, the noble Baroness, Lady Cumberlege, for achieving what I had tried before—getting patient safety on statute. I did not have her tenacity or clout. So, many congratulations to her and, I believe, the commissioner for patient safety, who will make patient safety stronger in the whole of the health service.
I am very grateful to the Minister, the noble Lord, Lord Bethell, to the noble Baroness, Lady Penn, and to the noble Earl, Lord Howe, for the many meetings they arranged with us to hear our concerns and find solutions. I know it is a privilege for me to speak in person, but I hope all my colleagues on the Cross Benches—more than 12 of them—who took part in the Bill will feel I can speak on their behalf to thank Ministers and all other noble Lords.
I am also grateful to members of the Bill team, who were very helpful at the many meetings that the Minister arranged. And I am grateful to outsiders, in particular the University of Birmingham faculty of law, which worked very hard to produce the details of the legislation. Thank you all.
My Lords, there is not much more to say that has not already been said by other noble Lords. I just wanted to use this opportunity to thank and pay tribute to particular groups. The Bill team and private office, which have worked so hard to produce this legislation, are amazing in what they do and often unsung. It is important we recognise them.
Secondly, I thank those patients and patient groups who have provided so much moving information and testimony that has informed our work. After all, we serve them, and I hope and believe that we have served them through improving this Bill in this House in the way we have.
Thirdly, I pay particular tribute to my noble friend Lady Cumberlege. When I was in government and we commissioned her report, I could not have dreamed that she would have done such a thorough job and carried it with her customary tenacity, to the point where we have, on statute, the commitment to a patient safety commissioner. It is such an important step forward and it will make a massive difference to the lives of hundreds of thousands of people in this country. For that, we should all be proud of this step—and she in particular should be.
Finally, I thank the Minister—my noble friend Lord Bethell—the noble Baroness, Lady Penn, and the noble Earl, Lord Howe, but particularly the Minister; he has performed with absolute aplomb in the difficult 10 months since he became a Minister. He has so much on his plate, yet throughout this process he has listened, engaged and acted in a way that does him enormous credit, and I really want to pay tribute to him for everything he has done.
I share the Minister’s optimism that, having produced this Bill, we can produce a regulatory system for the UK outside Europe that is the envy of the world, that makes sure that every company, every charity and every researcher who wants to bring a transformative therapy into a health system will come to us because of what we are able to do and how we are able to bring them through into mainstream treatment, just as we are doing with vaccines and have done with the recovery trial. That is the template, and I look forward to working with my noble friends and other noble Lords to make that happen in the months to come.
My Lords, I am extremely touched by the kind words of noble Lords and pay tribute once again to the hard work of all those concerned. I look forward to the future—to, as my noble friend Lord O’Shaughnessy said, the opportunity for patient safety and innovation to be enhanced by this Bill. In that spirit, I beg to move.
My Lords, the Hybrid Sitting of the House will now resume. I ask all Members to respect social distancing. I will call Members to speak in the order given in Today’s List. Interventions during speeches or “before the noble Lord sits down” are not permitted, and uncalled speakers will not be heard. Other than the mover of an amendment or the Minister, Members may speak only once on a group. Short questions of elucidation after the Minister’s response are permitted but discouraged. A Member wishing to ask such a question, including Members in the Chamber, must email the clerk. Leave should be given to withdraw amendments. When putting the question, I will collect voices in the Chamber only. If a Member taking part remotely wants their voice accounted for if the question is put, they must make this clear when speaking on the group. We will now begin.
(3 years, 7 months ago)
Lords ChamberMy Lords, I am required to inform the House that the Scottish Government informed the UK Government that they would be unable to recommend legislative consent for the devolved elements of this Bill, and we have tabled amendments in advance of this debate that remove from the Bill provisions that are within the legislative competence of the Scottish Parliament. The content of the Bill does not invoke the legislative consent process in Wales or Northern Ireland.
We have engaged closely with the Scottish Government over many months, during the drafting of the legislation and throughout its passage. Where the Scottish Government have identified concerns, we have sought to remedy them. An example of that is an agreement from operational agencies to discuss a memorandum of understanding with the Crown Office and Procurator Fiscal Service to provide the Lord Advocate with visibility of criminal conduct in Scotland.
The Scottish Government, however, required further amendments to the Bill in areas which the Government cannot support; namely, placing express limits on the face of the Bill. The Government’s position throughout this process has been based on advice from operational partners to ensure that the Bill is workable in practice and has no unintended consequences for the safety of the public, or a CHIS, and we have had clear advice from operational partners in all parts of the UK that placing limits on the face of the Bill will lead to CHIS testing and increased initiation tests. We remain open to further discussion with the Scottish Government, to ensure that operational agencies continue to have access to the tools required to keep us safe.
I call the Minister to make a Statement on legislative consent.
I have just done that.
Clause 4: Corresponding provision for Scotland
Amendment 1
My Lords, these amendments remove from the Bill the ability to authorise participation in criminal conduct for devolved purposes in Scotland. I have just outlined why we have tabled these amendments: they are in response to the decision of the Scottish Government that they cannot recommend legislative consent. The amendments, therefore, respect the Sewel convention.
Authorisations necessary for the purpose of national security or the economic well-being of the United Kingdom relate to reserved matters, and public authorities will still be able to grant authorisations for these purposes for activity in Scotland. An authorisation necessary for preventing and detecting crime, or preventing disorder, is not in itself reserved. An authorisation granted for the purpose of preventing and detecting crime, or preventing disorder, may, therefore, relate to devolved matters, and it will be these matters to which the Bill will not apply.
In the immediate term, public authorities will need to continue to rely on existing legal bases for such authorisations in Scotland. Were these bases to change—I note the legal challenge currently before the Court of Appeal in relation to MI5’s existing legal basis for this activity—it would be for the Scottish Government to bring forward their own legislation to place this conduct on the clear and consistent statutory basis that the Bill delivers. I beg to move.
My Lords, of course, we do not intend to oppose the government amendments —the devolution settlement is to be respected. However, I have some questions, the answer to which at least one of which I can work out from the Minister’s introduction to the amendment. She has had my notes, so I will go through the points that occurred to me.
First, can the Government say anything about their assessment of the impact of what the Minister has just explained? In Committee, she referred to minimising the “immediate operational impact”. It appears to be acknowledged, therefore, that there is some impact. What happens if Scotland legislates differently? The Minister’s letter to noble Lords of 13 January explains one of the issues, which I take to be the major issue, about which the Scottish Government was concerned: an amendment to the limits to conduct that can be authorised; that is, whether specific listed crimes should be excluded. The House has debated that point and I am not seeking to reopen the matter.
In Committee, the Minister reminded us that national security and economic well-being are reserved, not devolved; she has just repeated that. In that case, could there be challenges—it seems to me that there could be—as to whether certain conduct is merely, if that is the right word, a crime? It is not merely a crime, but the House will understand that I am referring to a crime that does not fall within the other categories. The Minister also said that public authorities will continue to rely, in the immediate term, on the existing basis for an authorisation—which, I take it from what she said, is the non-statutory basis.
How, then, does Clause 8 work? That clause says that the Bill extends to Scotland and Northern Ireland, save that Acts of the Scottish Parliament are not amended. The Minister has introduced Amendment 7 —as well as Amendment 8—which amends Schedule 2, the list of consequential amendments. This provides that there may not be a criminal conduct authorisation if
“all or some of the conduct … is likely to take place in Scotland.”
If some of the conduct is in Scotland and the rest in England, Wales or Northern Ireland, does that mean there have to be parallel authorisations, one statutory and one non-statutory? Or do I understand from what the Minister said that the Government in England, Wales and Northern Ireland will proceed on the non-statutory basis so it will be aligned with the authorisation in Scotland? A criminal conduct authorisation prompted by an ordinary crime, if I can call it that, cannot extend across the border but, of course, the crime may well do so.
Finally, the Minister may or may not be able to say whether the issue is wider than the Bill. We will be in Committee next week on the Counter-Terrorism and Sentencing Bill and I gather from government amendments that there is an issue there—but is it an even wider issue on legislation? I hope the Minister can help with my questions, which I have tabled in order to understand how the Bill will operate in this circumstance.
I thank the Minister for her explanation of the purpose of these government amendments and for her letter of 13 January explaining the position in the light of the confirmation from the Scottish Government that they are unable to recommend consent for devolved provisions within the Bill. We understand why the Government have brought forward these amendments today and accept the need for them. Our key concern is whether the situation that has now been reached will have any adverse impact at all on national security and economic well-being, UK-wide, and it would be helpful if the Government could confirm, as I think the Minister has sought to indicate, that there will be no such adverse impact.
The letter from the Minister of 13 January states that the Scottish Government
“require further amendment to the Bill in relation to limits to the conduct which can be authorised under the Bill.”
As this House has now added those limits to the Bill, are the Government minded to change their stance on that issue and accept the amendment concerned?
Finally—I appreciate that this is a matter to which the Minister has also made reference—will the Government say what the impact will be, first in Scotland, to which she referred, and also in the UK as a whole, if the present legal basis for authorising criminal conduct changes, based on the outcome of the current, ongoing court case?
I thank both noble Lords for raising those points. On the final point made by the noble Lord, Lord Rosser, on what happens if the law changes in relation to the court case, clearly the court case is ongoing, we await the findings of it and, in a sense pre-empting the court case, the Government have seen fit to put on to a statutory footing that which was never on a statutory footing. So I hope that, without in any way pre-empting the court case, this will satisfy the courts.
Obviously, the Government are disappointed that we are having to bring forward these amendments. We made it clear that a UK Bill was and remains our preference, and we have worked hard to try to accommodate that. But we have to ensure the workability of the Bill as our primary consideration, and on those grounds we could not provide the amendment necessary to ensure the support of the Scottish Government. On the point made by the noble Lord, Lord Rosser, about limits, we will not accept any change to what we have put forward because it would completely undermine the operational capabilities that the Bill provides for. I have been through the arguments about the safeguards on human rights that are provided in the Bill and, of course, the Children Act when it comes to children.
The noble Baroness, Lady Hamwee, asked about the Government’s assessment of impact. She will appreciate that we do not want to provide sensitive operational detail, but operational partners are considering how to manage any impact of the decision of the Scottish Government. In the immediate term, public authorities will need to consider any existing legal basis for an authorisation, but the noble Baroness is absolutely right to acknowledge that these organisations will not be able to rely on the clear statutory basis provided by the Bill. If there is operational or legal risk in the future, it will be for the Scottish Government to bring forward legislation for devolved activity. It will be in their gift to decide on the safeguards attached to that legislation, and I would hope and expect them to be driven by the expert advice of operational partners, as we have been.
My Lords, I beg to move that the Bill do now pass.
Amendment to the Motion
“Leave out from “that” to the end and insert “this House declines to allow the bill to pass because the bill (1) grants blanket prior legal immunity for otherwise criminal conduct without sufficient safeguards or oversight, (2) provides no system of prior judicial authorisation, (3) does not recover profits obtained under a Criminal Conduct Authorisation which could include proceeds from the sale of drugs, weapons, human trafficking and slavery, (4) fails to provide compensation to victims of crimes authorised under the bill, and (5) represents a significant expansion of undercover policing despite, and without regard to, the ongoing Undercover Policing Inquiry.”
My Lords, noble Lords can imagine that there is a lot of legislation going through this House that I oppose. In the past, I have exercised restraint and have not been disruptive with procedural Motions, but there are times when we all need to make a stand, and this Bill, for me, is one of those situations. It is a terrible piece of legislation and I cannot be complicit in it, nor in future acts of state oppression that will be the result of our passing it, and I will, therefore, divide the House.
Noble Lords have spent many days trying to improve the Bill, and we have made a few positive steps, but even if the other place does not remove most of those amendments, the Bill is still so fundamentally flawed that it should not be allowed to pass. Scotland has had the sense to refuse the Bill and I wish that we would do the same. I was subject to police surveillance for more than a decade. I did not know about it, it did not affect me, and even when I found out, it really did not affect me very much—but others in your Lordships’ House were subject to similar but much worse surveillance, and many will not even know whether they were observed and under surveillance or not. The Bill does nothing to improve that situation; in fact, it will make things worse by granting total legal immunity to undercover officers, spies and informants.
There is also the fact that the Bill has been brought forward while the Undercover Policing Inquiry is still going on. Not far from here, that inquiry is hearing evidence about police infiltration of peaceful campaign groups and unions, and undercover officers forming sexual relationships with women. The Bill learns no lessons from that inquiry and does nothing to support the victims. It actually grants much broader legal immunity to the wrongdoers.
I am also concerned that I did not get a proper answer to my repeated questions about the proceeds of crimes authorised under the Bill. My conclusion is that the police will be able to authorise people to profit from criminal activities, and that there is no way for the state to recover those profits. I hope there will not be too many miscarriages of justice and abuses of power before we revisit and repeal this legislation. With all that in mind, I am sad that I am in a minority in opposing the Bill, but I cannot in conscience abstain and accept its passage. I beg to move.
My Lords, as one of the many Cross-Benchers who has applied themselves to this Bill, I record my thanks to the Minister for her explanations and for the discussions with her, which I have enjoyed—no 48-hour weeks for her—and James Brokenshire, who continues to have all our good wishes; to the Bill team; to the police and MI5; to IPCO, whose monitoring function is so vital; and to the NGOs and individuals who campaign on these issues and do their best to keep us all honest. I am particularly grateful to those who brought the Third Direction case. There are issues of great public concern which simply do not come to the attention of Parliament without the spur of litigation, and this is one of them. I have also appreciated not only the speeches of other noble Lords but my informal dialogue with them, intensive at times, which in my experience can be achieved just as easily, if not quite so pleasurably, in a virtual House as in a physical one.
This Bill was not widely consulted on and went from Committee stage to Third Reading in the other place during a single day. It needed the time we were able to give it, and I believe that after seven days of debate we have achieved significant improvement and clarification. I thank the Minister in particular for working with me on real-time notification. I hope we can achieve a satisfactory result on the other excellent amendments that we have passed, including those of the noble and learned Lord, Lord Thomas, which improve notification and the amendment of the noble Baroness, Lady Kidron, on juvenile CHIS, while still enabling the Bill to be enacted by the start of the Court of Appeal hearing on 28 January, which I know is the Government’s ambition.
I have great respect for the noble Baroness, Lady Jones of Moulsecoomb, and understand her regrets, which are underlined by the withholding of consent by the Scottish Government, but I will not be voting for her amendment to the Motion. For all its difficult and controversial features, the Bill is a clear improvement on the opaque and poorly safeguarded arrangements that preceded it, and it has my support.
My Lords, I have bled your Lordships’ ears over this Bill long enough, so I can be short. I thank the Minister for her patience and fortitude but my profound fears about this legislation will continue for a very long time, until it is amended or repealed. My concerns are about the signal that it sends but, even more, about the serious human rights abuses that it will herald. It is, quite simply, the most constitutionally dangerous legislation that I have seen presented in this country in my working life.
I am rather ashamed not to have been able to persuade more of your Lordships of the profound dangers of allowing the Executive to grant advance immunity for criminal actions to a whole raft of their agents—not just the brave security services or the hard-pressed police but many other government agencies and quangos, and the members of our communities who inform for or work for them, including even children. It will not even be with prior judicial warrant. This legislation does not put current arrangements on a statutory footing, so it does not merely respond to the litigation mentioned by the previous speaker. As for that litigation, there may be a lesson here for those of us who at times have dabbled in test-case legislation: to be careful what we wish for when provoking the might of the state in this fashion.
Just as our cousins on the other side of the Atlantic are beginning to rebuild their own bedrock of the rule of law, it will take a little longer in our own jurisdiction. A lot is said of patriotism these days. My patriotism is not the love of a flag but, in a nutshell, a love of the NHS and the rule of law. This Bill abrogates the vital principle of equality before the law, which I think all people well understand. It is a very sad day for me. For the moment, like the noble Baroness, Lady Jones, I can only bear witness for the record—but that I must do. I cannot in good conscience support the Bill being passed off as law.
My Lords, the noble Baroness, Lady Chakrabarti, always expresses herself firmly and persuasively. That said, I am afraid I could not agree with her less about this legislation. I support the passage of the Bill and want to thank the Minister, the noble Baroness, Lady Williams, who has been both consultative and a very good listener. She has also shown that she is prepared to move on important issues. Far from what the noble Baroness, Lady Chakrabarti, said, the Bill puts CHIS on a solid, statutory footing.
It has improved the way in which CHIS are to be dealt with by creating a clear process, all of which is legally enforceable and accountable. The code of practice has been mentioned less frequently in our debates than it deserved. It is absolutely required reading for all who are involved, or perhaps even interested, in how CHIS are handled in this country. One thing to be emphasised about the code of practice is that because it is a code rather than an Act of Parliament, although it has the force of law, it is a living instrument which can be changed as needs must.
The Bill will make a beneficial difference for the authorities, for the CHIS themselves and for public safety. With the changes that have been made, which have been difficult and creative at times, I commend it to the House.
My Lords, it is my particular pleasure to follow the noble Lord, Lord Carlile, although it is a particular discomfort to me to disagree with him on this occasion. The Bill proposes that the state should have the power to grant immunity for crimes committed in the future by agents on its behalf. I believe that the grant of such immunity is contrary to the rule of law, which prescribes that all are bound equally to observe the law, not least the criminal law. The fact that such immunity will derive from legislation if the Bill becomes law does not alter my belief.
Giving the state the power to exempt prospectively its agents from criminal law is the antithesis of this fundamental principle. A decision to prosecute or not should be granted only retrospectively, when all the facts and circumstances of the conduct at issue are known, including the nature of any authorisation and, above all, whether it is in the public interest to prosecute. The CPS makes such decisions all the time; that is compatible with the rule of law and equality before the law. This arrangement, as far as is known, has worked perfectly satisfactorily for the last 200 years. Instead, the Bill overturns this status quo, challenges the rule of law and gives the state unparalleled powers. I regret that on this occasion I cannot follow the advice of my noble friends on my party’s Front Bench and, as a matter of conscience, I am obliged to vote against the Bill.
My Lords, I, too, thank the Minister for all the consultation she has gone through, and the Government for their flexibility in adjusting the Bill to the stage it has reached. I am also always pleased to follow the noble Lord, Lord Carlile, and find that I think along the same lines as him, as I did when I was the Government’s Security Minister and he was outside the box, looking in to make sure that we behaved.
I am speaking against the amendment of the noble Baroness, Lady Jones, albeit that she put it eloquently. We should be proud of the Bill. Putting our covert human intelligence agents’ behaviour on a statutory basis is to be praised. As I have said, agents save lives. In working under cover, CHIS need to be trusted by those on whom they are reporting. Put simply, if they are to be believed to be a gang member, they need to act like one. If they do not, it is no exaggeration to say that they could be killed. Their handlers must be able to authorise them to break the law in certain circumstances and subject to specific safeguards. This has been strengthened in our debates and we should be proud of that. The ISC believes that there is a need for such authorisations. It also supports the Government’s decision not to place limits on criminal conduct in the Bill itself for the reasons that were debated.
I have thought long and hard about the use of children and I have to say that, initially, I was very concerned about it. As an aside, I do not consider 16 to 18 year-olds children, but that is a different issue. As regards the use of those aged below 16, I now believe that they should be used in exceptional circumstances, and appropriate safeguards are in place to ensure that that can be done to maximum gain and with minimum risk.
In summary, as I say, we should be proud that we have put this issue on a statutory basis. The Bill is a necessary and useful piece of legislation.
My Lords, in nearly 30 years in your Lordships’ House, I have never seen a piece of legislation that has made me more uneasy than this Bill. To me it is counterintuitive to give anyone the power to pre-empt the application of the criminal law .
I of course support the need to do all that is necessary to protect our national security and to detect and prevent serious crime, but it should have been possible to find other means. To choose this moment to extend in legislation the legality of law-breaking seems most unwise. This, after all, is a time when Russia is without compunction using, both at home and abroad, deadly poisons to eliminate its enemies. When it succeeds, it denies it. When it fails, its leader blithely explains that when it wants to kill, it succeeds.
I give one simple and deliberately irrelevant example. If a burglar is killed by a householder protecting himself or his family, it is unlikely that a jury will convict him of murder or even manslaughter. That does not mean, however, that we should legislate to give ex-ante immunity to householders who kill burglars.
I have one more word on journalists. I tried to persuade your Lordships to require judicial authorisation for any requirement to force journalists to reveal their sources in cases covered by the Bill. The amendment was defeated by seven votes but I was comforted by the fact that three former Cabinet Secretaries voted for it.
The Bill will now pass, and I shall vote for it, but let us agree, at least informally, that its implementation should be monitored with rigour. All societies must defend their security but open societies must take especial care of how they do so. Yesterday, President Biden told the American people that
“we’ll lead not merely by the example of our power but the power of our example.”
My Lords, the noble Baroness, Lady Jones, is absolutely right to bring forward her amendment to the Motion. I might want to criticise the details, which I do not intend to do, but she is right to do so. In fact, it would have been inconsistent with her rigid approach to the Bill for her not to do so. So, to that extent, I support her right to table the amendment; there is no question whatever about that. It gives me an opportunity to further vote for the Bill because I will not support the amendment to the Motion.
The noble Lord, Lord Marlesford, just made a point about the open society. This is a problem and there is a disquiet here. As an open society, we need to protect our openness. However, when that openness is the very thing used to undermine and smash our open society, we have to say no. We have to have a process that defends our open society and is consistent with the rule of law. The Bill is perfect for that. I have no doubt that in future the Bill will be amended, but the language that has been used about it is extravagant and misleading.
I see that on Twitter it is described as the “Spy Cops Bill”. It has nothing to do with spy cops. It is completely different and that can be misleading. If I was a CHIS in Scotland, I would be a bit concerned at the moment about becoming a whistleblower because I am not sure whether the Scottish Government are fully behind the process.
Perhaps I may briefly also express thanks. I have not been involved in the detail but I took up the Minister’s opportunity for a discussion with the Bill team and some of the advisers, which I found useful. Indeed, as a result, they published more information. The case studies, which I used extensively on Report, should have been deployed even more. There has been a communication issue regarding the Bill, which I find a fault because the Government have not defended and promoted some of its practical aspects as much as they could have.
The Bill protects covert human intelligence sources. It makes sure that they are not put at risk by being tested by the criminal gangs they may have been sucked into involuntarily, as mentioned in some of the examples used in the case studies. It is not the case that all people knowingly go down that route; they get sucked in by their employers. As a non-expert in this area, I found the newly published guidance incredibly helpful.
My final point is on the pejorative language used, such as when quangos are dismissed as not important. Most of the quangos listed in the Bill are non-ministerial government departments and should not be dismissed by saying, “Oh, it doesn’t matter”. I find that kind of language unacceptable among parliamentarians because it deliberately seeks to mislead the public regarding what the Bill is about. It should stop.
My Lords, I have a lot of respect for the noble Baroness, Lady Jones of Moulsecoomb, and we support the spirit of her amendment to the Motion to the extent that we oppose the granting of legal immunity. We believe that the Bill undermines the rule of law—that is, the principle whereby all members of a society are considered equally subject to publicly disclosed legal codes and processes. As a result of the Bill, that is called into question, as the noble Baroness, Lady Chakrabarti, and the noble Lord, Lord Hendy, have said.
Where a police officer or member of the security services tasks a covert human intelligence source to commit an act defined in law as a crime, the person tasked will no longer be subject to publicly disclosed legal codes and processes. An existing system that has worked effectively for decades, whereby informants and agents are tasked to commit crime and the decision, almost without exception, not to prosecute is taken by the relevant prosecuting authority, after considering all the facts, will be swept aside.
It is to be replaced with what we consider an unsafe and undesirable power, vested in the hands of the police, the security services and numerous other public authorities, to grant legal immunity with no prior judicial authority. The main issue is not, as the noble Baroness, Lady Jones, says in her amendment to the Motion, that there are insufficient safeguards or oversight, although this is arguably true. It is the fact that immunity can be granted at all, making the illegal legal. That is the fundamental issue for us on these Benches. I expect the legality of this aspect of the Bill to be challenged in the courts. That said, the House fully debated this aspect of the Bill, and without the support of the Labour Party leadership, we on these Benches were unable to remove it.
Contrary to the amendment to the Motion in the name of the noble Baroness, this House has clarified the existing position and improved the Bill, to ensure that innocent victims of crimes committed by those instructed to do so by state agents can seek compensation. Contrary to her amendment to the Motion, undercover policing is not being expanded by the Bill, although the Bill has shone more light on this aspect of policing. The number of public authorities that can deploy covert human intelligence sources has been reduced by the Bill. The directed criminal activity of those informants and agents has been placed on a statutory footing, rather than the Bill enabling it to increase.
From the start, we recognised the need to place the tasking of covert human intelligence sources to commit crime on a statutory basis, which this Bill does. We have improved the Bill in some important respects—the safeguards for children and vulnerable adults, for example, despite our fundamental misgivings over immunity. Therefore, with regret, we cannot support the noble Baroness’s amendment to the Motion.
I thank the Minister and the Bill team for their work on the Bill; our Labour colleagues and their staff for their assistance and co-operation on those aspects that we were able to agree on; and those on the Cross Benches who have liaised with us. I also thank my staff and colleagues for their help with what has been a very difficult Bill for me, personally, because of my previous professional experience of this difficult area of policing and because of my knowledge of the very real opportunities that the Bill presents for corruption and malpractice. The amendments that this House has introduced are the very minimum required and we will resist any attempt to remove any of them.
My Lords, we do not support the amendment to the Motion. This unelected House does not vote down Bills. Our role is that of a revising Chamber. Through making amendments to Bills, we invite the House of Commons to reconsider its position on specific aspects of legislation. That is what we have done with this Bill.
We have debated amendments to the Bill. Some have been agreed by this House, and some have not had its support. From our point of view, we have not won the support of this House for everything we wanted, but important amendments have been agreed and we want the Bill with those amendments to go back to the House of Commons for consideration. This amendment to the Motion, if carried, would thwart that objective and accordingly we shall vote against it.
My Lords, I thank all noble Lords who have spoken to this amendment to the Motion. I join other noble Lords in thanking the police, MI5 and other operational partners who will now, I hope, have a clear statutory framework and, as the noble Lord, Lord Carlile, says, the accompanying code of practice, which will also have the full force of law in which to operate.
I hope that the Government have put forward their case, in spite of some of the unique challenges relating to the sensitivity of this tactic and that noble Lords are reassured that I have been listening and will continue to listen to the strength of views that have been put forward on certain issues. I am happy to discuss any issue further and urge noble Lords to take that course of action if they have any remaining concerns, rather than support the amendment in the name of the noble Baroness, Lady Jones, which would cause the Bill to fall.
My noble friend Lord Marlesford talked about the implementation being monitored with rigour and I totally agree. Any legislation brought before Parliament must have that rigorous monitoring behind it. Every time the noble Lord, Lord Rooker, has spoken on the Bill, I felt like saying, “I refer noble Lords to the comments of the noble Lord, Lord Rooker”. He talked about the case studies which were much asked for at the beginning of the debates on the Bill and, once forthcoming, as the noble Lord said, almost forgotten about.
It is also worth considering that, without the power or activity that the Bill provides for, the NCA would have been unable to take almost 60 firearms off the street in 2018 alone and the Metropolitan Police would have been unable to seize more than 400 kilograms of class A drugs between November 2018 and November 2019. MI5 and CT policing would also have been impacted in their ability to thwart some 27 terror attacks since March 2017. I do not think that any noble Lord would want to prevent this criminality being stopped in future, which is what the amendment would do.
I acknowledge the important principles behind much of our debate on the Bill—Parliament needs to reassure itself that there is suitable oversight in place, and we have really interrogated that. While strong and differing opinions have been expressed on how to legislate for this activity, I pay tribute to the quality of the debate, despite fundamental differences, and the passionate and articulate way in which noble Lords have relayed their views.
I hope that, during the course of the debates, I have demonstrated the significant safeguards that exist and some of the additional ones that, as the noble Lord, Lord Paddick, and others have said, have now been inserted. Highly trained and experienced authorising officers must assess that an authorisation is necessary and proportionate. That authorisation must be compliant with the Human Rights Act, including the right to life and the prohibition of torture or subjecting someone to inhuman or degrading treatment or punishment. The authorisation is then overseen by the independent Investigatory Powers Commissioner, who reports his findings in his annual report and, thanks to amendments supported by noble Lords, will now consider each and every authorisation within seven days of it being granted. The IPT then offers an entirely independent judicial mechanism for anyone who is concerned that they have been subjected to improper action by any user of an investigatory power.
I hope that the Division that I know the noble Baroness is going to call will not succeed, and I hope that the Bill will now go back to the other place so that it can consider the amendments that noble Lords supported on Report. The Government are committed to providing any additional reassurance to command the support of Parliament and, of course, to keep the public and CHIS safe.
I will conclude there because I realise that we have combined speeches from the debate on the amendment with the final concluding remarks, but I join the noble Lord, Lord Rosser, in thanking the Opposition Front Benches, everyone who has contributed to these debates and all the staff who support us. I hope that the noble Baroness will feel able to withdraw her amendment, but I suspect that that is not about to happen.
I thank the Minister for her response and all noble Lords who have taken part in this debate. I also thank the eight or nine Peers I passed as I came into the House, all of whom gave me the benefit of their views on this Bill and my amendment—some were positive.
It seemed to me that this Bill was the worst I had ever seen in your Lordships’ House until yesterday, when we had the overseas operations Bill, which is even worse. Luckily, there appears to be more opposition to that; I look forward to joining in. I have been in your Lordships’ House for seven and a half years, and, to the best of my recollection—which is not always the best—I have only ever pressed one vote to a Division. Today’s will be the second. I should like to test the opinion of the House.
I will call Members to speak in the order listed in the annexe to today’s list. Interventions during speeches or before the noble Lord sits down are not permitted and uncalled speakers will not be heard. Other than the mover of an amendment or the Minister, Members may speak only once on each group. Short questions of elucidation after the Minister’s response are permitted but discouraged. A Member wishing to ask such a question, including Members in the Chamber, must email the clerk.
The groupings are binding. It is not possible to degroup an amendment for separate debate. Participants who might wish to press an amendment other than the lead amendment in the group to a Division must give notice either in the debate or by emailing the clerk. Leave should be given to withdraw amendments. In putting the question, I will collect the voices in the Chamber only. If a Member taking part remotely wants their voice accounted for if the question is put, they must make this clear when speaking on the group.
(3 years, 7 months ago)
Lords ChamberMy Lords, in moving Amendment 1, I shall speak also to the other amendments in my name in this group. Amendment 1
“would require the Secretary of State to exercise functions in respect of airspace change proposals under this Bill in accordance with the Secretary of State’s general duty in respect of air traffic services provided for by the Transport Act 2000.”
Amendment 10 is complementary to this amendment.
Amendment 2 would ensure that
“the Secretary of State must, before making a direction requiring a person to progress an airspace change, consider representations from persons involved in airspace change and be satisfied that the direction is necessary to deliver the CAA’s airspace strategy and is reasonably practicable to comply with.”
Amendment 5 would ensure that, before making direction requiring a person to co-operate in an air- space change, the Secretary of State must consider representations from persons involved in airspace change and be satisfied that it is reasonably practical for the recipient of the direction to comply with it.
Amendment 8 would align the test for the variation of the direction with that applicable to making a direction. Amendment 9 would require the Secretary of State to publish reasons for any direction to progress or co-operate in an airspace change proposal or variations or revocations of such direction made under this part. Amendment 11 would make the Secretary of State responsible for the implementation of the CAA’s airspace strategy and related reports.
Amendment 13 concerns the report on general aviation. General aviation—this was the case in my day, which is now some decades ago, but I think it still persists—particularly light general aviation, is essentially where all our airline pilots are initially trained; that is how they come into the profession and so on. It is important that it is properly facilitated with respect to airspace changes and development. Fortunately, from conversations with the Minister, I believe that she shares that view, and I hope that, in her response, she will set out the Government’s support for general aviation and how its interests will be taken account of in the developing airspace debate. Hopefully, this will leave general aviation properly provided for and, almost as important, feeling that it has been properly consulted in the development.
In summary, this group of amendments seeks to clarify the role of the Secretary of State. The Secretary of State has a role that is related to the CAA in various processes. It is not entirely clear who is in charge. The Bill as written gives the Secretary of State and the CAA the powers to achieve airspace change, but it is not clear who is actually responsible for getting it done. I would like to hear from the Minister that it is clear that the achievement of improvements and a new airspace capability is down to the Secretary of State, answerable to Parliament, and that his relationship with the CAA may be a partnership but he is the person in the partnership who is held accountable for execution and success.
The rest of the amendments are about requiring appropriate relationships between the parties and the Secretary of State. I beg to move.
My Lords, I support the Bill, but I must use this opportunity to say that it is a bit of a mess. That is not surprising, because it has such a long history: the Bill itself is the result of attempts over several years to get legislation of this nature, and of course we had the Committee stage over a year ago.
Since then, there has been a dramatic reversal in the fortunes of the aviation industry—one that we would never have foreseen at the time when we spoke about this last. The impact of coronavirus has undermined all branches of aviation. In addition, of course, since we last spoke we have left the transition period following Brexit, but we are still at the point where we have to adhere to international norms and regulations.
My Lords, I am grateful to the noble Lord, Lord Tunnicliffe, for tabling these amendments. I hope to set out the Government’s rationale for why we believe they are not necessary. I do not expect to speak at length on all groups, but for this group specifically it is important to put on record some commitments that the Government are willing to make and the rationale for them. I will return to the financial concerns of airports, raised by the noble Baroness, Lady Randerson, in the next group.
Amendments 1 and 10 seek to require the Secretary of State and the Civil Aviation Authority to act in accordance with the general duty set out in Sections 1 and 2 of the Transport Act 2000 respectively. These duties apply only to the provision of air traffic services and set out various matters to be considered in the exercise of the relevant functions. This includes the words
“to secure that licence holders will not find it unduly difficult to finance activities authorised by their licences”,
which in effect refers solely to NATS (En Route) plc, or NERL, as the UK’s only licence holder. I understand that NERL would like to ensure that the specific duty on the Secretary of State and the CAA is considered when directing NERL with an airspace change proposal, or ACP. It is already a requirement for the Secretary of State and the CAA to consider any licence conditions relating to NERL’s role in airspace modernisation through the lens of its statutory duties under the Transport Act 2000. As with any proposed recipient of a direction, if the licence holder has financial concerns in progressing an ACP then we expect that the CAA’s oversight team will seek to assist in finding potential solutions, such as sharing costs or expertise with other airport operators or assisting the proposed recipient in applying for funding from other sources.
The noble Lord’s amendment would extend the duties of the CAA and the Secretary of State in the Transport Act 2000 to cover other sponsors of airspace change; for example, airports. Relevant duties already apply to air navigation functions which the Secretary of State directs the CAA to carry out. Section 66 of the Transport Act 2000 enables the Secretary of State to give directions to the CAA regarding air navigation, and Section 70 sets out the CAA’s general duty in relation to its air navigation functions.
The amendment would be likely to cause a legislative conflict because, when determining whether to make directions using the powers in the Bill, the Secretary of State will consider advice from the CAA. This advice will take into account how critical the airspace change in question is in contributing to overall airspace modernisation, and the ability of the proposed recipient to progress the change, including the proposed recipient’s financial and other resources.
I turn to Amendments 2, 5, 8 and 9. The purpose of Amendments 2 and 5 is to require the Secretary of State to have regard to representations made by any person involved in airspace change before issuing a direction in order to be satisfied that the direction is necessary to deliver the CAA airspace strategy and that it is reasonably practicable to comply with. Amendments 8 and 9 would require the Secretary of State to ensure that the same considerations applied if the Secretary of State varied a direction and that the reasons for the variation were published. I reassure noble Lords that appropriate conditions are already written into the Bill.
Clause 2(3) states that, before giving a direction, the Secretary of State must consult its proposed recipient. Clause 2(4) states that the Secretary of State may give a direction only if he or she is of the view that it
“will assist in the delivery of the CAA’s airspace strategy.”
Clause 3(2) states that the Secretary of State must consult both the proposed recipient of the direction and
“the person with whom co-operation would be directed.”
On Amendments 8 and 9, Clause 4 requires that directions, and any notice of variation or revocation, given by the Secretary of State under Clauses 2 and 3 are given in writing and are published. As with directions given under Clauses 2 or 3, any variation of a direction must assist in the delivery of the airspace strategy. We also expect the Secretary of State to consider how critical the ACP is and the ability of the sponsor to progress it. Before varying a direction, prior consultation with the relevant parties would be required. The same factors considered when giving a direction would be considered before varying or revoking a direction.
The requirement to consult before giving or varying a direction would inevitably require the Secretary of State to provide reasons for giving or varying a direction and to take advice from the CAA to ensure that the direction or its variation is required to assist in the delivery of the CAA’s strategy. We would expect the reasons for the direction, or variation or revocation, to be given and published alongside the direction or notice of variation or revocation, rather than in the direction or notice of variation itself, although the Bill is not prescriptive on that point.
In the unlikely event that a direction or variation were given where it was not reasonably practicable for the sponsor to carry it out, the sponsor would be able to use its right of appeal to the Competition Appeal Tribunal, under Schedule 1, if the decision was wrong on one or more of the following grounds; namely, if it was based on an error of fact or was wrong in law, or an error was made in the exercise of a discretion.
Amendment 11 would make the Secretary of State responsible for the implementation of the CAA’s airspace strategy. It would also require the Secretary of State to lay before Parliament a Statement setting out progress towards the implementation of the strategy within 12 months of the Bill being passed, and to lay further reports covering every subsequent 12-month period within six months of those periods ending.
The Civil Aviation Authority (Air Navigation) Directions 2017, issued to the CAA under Section 66(1) of the Transport Act 2000, directs the CAA to
“prepare and maintain a co-ordinated strategy and plan for the use of UK airspace for air navigation up to 2040, including for the modernisation of the use of such airspace.”
This places responsibility on the CAA for preparing the strategy, in consultation with the Secretary of State, and to report annually on the delivery of that strategy, which the CAA does through its airspace modernisation strategy—AMS. However, although the CAA and the DfT, as co-sponsors, are jointly responsible for the programme and for setting out the framework within which modernisation happens, airspace modernisation will ultimately be delivered by aviation stakeholders. Therefore, the legislation makes it clear that the CAA is required by the Secretary of State to prepare and maintain an airspace strategy and publish an annual report on it, and that the Secretary of State will hold the CAA accountable for this.
With regard to the requirement for the Secretary of State to lay before Parliament a Statement on the CAA’s progress against the strategy, as I mentioned previously, the CAA is already required to publish an annual report on progress against the AMS through the directions made by the Transport Secretary under the air navigation directions 2017. The latest report was published on 22 December 2020. It is worth noting that an amendment of this nature would widen the scope of the Bill, which provides the Secretary of State with specific powers with regard to airspace change proposals, not responsibility for the AMS as a whole, which is covered by Section 66 of the Transport Act 2000.
Finally, Amendment 13, also tabled by the noble Lord, Lord Tunnicliffe, would require the Secretary of State to report on the impact of Parts 1 and 2 on the general aviation—GA—sector. I thank the noble Lord, Lord Tunnicliffe, for his constructive engagement on this issue since Committee; his insight and experience have been most welcome.
GA is a key part of the aviation sector and is an important source of pilots, engineers and technicians, who, in turn, contribute to the success of commercial aviation, as noted by the noble Lord, Lord Tunnicliffe. The Government support GA, and we will continue to ensure that its needs are not overlooked at both local and national level when it comes to airspace modernisation.
However, I do not believe that it would benefit the AMS to place a reporting burden on the Secretary of State within 12 months of the Bill becoming an Act, for two reasons. First, Part 1 provides the Secretary of State with powers of direction relating to ACPs. Initially, we intend to use the powers in the Bill only on ACPs that are part of the master plan which is being developed by the Airspace Change Organising Group—ACOG—and formally accepted into the AMS. However, due to the impacts of Covid-19 on the modernisation programme —notably, the financial impacts on industry—the next iteration of the master plan will now not be delivered until later in 2021. That means it is very unlikely that within the 12-month period laid out in Amendment 13 a sponsor would have been directed to undertake an airspace change. If the powers in Part 1 are not used in this timeframe, there will be no impact on GA to be assessed and reported.
Secondly, Part 2 relates to NERL’s licence. NERL is responsible for upper airspace, where GA aircraft, other than business jets, do not routinely fly. An impact assessment, relating to Part 2, of the effects on GA would be very limited in content. The Secretary of State is aware that ACPs can have both positive and negative effects on stakeholders, including the GA community. If an individual ACP were directed, the impacts on GA would be set out in the CAP1616 process and GA bodies would be consulted if there were impacts.
I will revisit some of the things that the Government already do to ensure that the GA sector is fully represented at every level of the airspace modernisation governance structure. First, the Government are grateful to the All-Party Parliamentary Group on General Aviation for sharing the findings of the inquiry into UK lower airspace led by my noble friend Lord Kirkhope. The Government will continue to consider these recommendations during future updates to the AMS.
Secondly, CAP1711b, the governance annexe of the AMS, lists all the organisations that must be engaged in airspace modernisation. For example, ACOG is required to demonstrate how it has engaged with GA bodies such as the General and Business Aviation Strategic Forum in order for the master plan to be accepted by the CAA. To further strengthen ACOG, two GA representatives now sit on its steering committee.
Additionally, and following the Kirkhope inquiry, the Secretary of State has amended the air navigation directions to require the CAA to undertake a review, in consultation with airspace users, of airspace classification. The review will identify volumes of controlled airspace where the classification could be amended to better reflect the needs of all airspace users. The Secretary of State has also directed the CAA to prioritise ACPs from GA aerodromes relating to global navigation satellite systems—GNSS—approaches.
There are no questions for the Minister, so I call the noble Lord, Lord Tunnicliffe.
My Lords, I thank the Minister for her response. In light of the assurances she has given us, I am happy to withdraw Amendment 1 and send this Bill to the other end, where they will no doubt consider her response in great depth. I shall also not be moving the rest of the amendments in my name in this group.
We now come to the group beginning with Amendment 3. I remind noble Lords that Members other than the mover and the Minister may speak only once and that short questions of elucidation are discouraged. Anyone wishing to press this or anything else in this group to a Division must make that clear in debate.
Amendment 3
I move Amendment 3 and I will speak briefly to the other amendments in this group. Amendment 3 would allow compensation for adverse financial impacts. Amendment 4 would empower the Secretary of State to provide that a person who is directed to progress an airspace change is fairly compensated for doing so, and that the compensation can be recovered from another person involved in airspace change where appropriate. Amendment 6 would empower the Secretary of State to require a person involved in airspace change to compensate another person who had been directed to progress an airspace change. Amendment 7 would allow compensation for adverse financial impacts.
One of the problems of getting organisations to co-operate is that some parties are unwilling to do so and they will use the financial impact on them as their excuse, particularly if one party is required to co-ordinate the activity and invest considerable work but is not likely to gain financially from the changes it is developing. Then it will be reluctant to move. Efforts to improve airflow planning over south-east England have been going on for at least a decade. It is important that, if it is a matter of financial limitations, the Bill allows appropriate mechanisms for money to flow between parties and perhaps from government.
This is important between big players, such as the airports and NATS. It is also important in the case of small airports or airfields on the periphery of the controlled airspace, where small changes may have significant adverse effects on them and they are not equipped—particularly financially—to mount a proper representation to have their voices heard without some recognition of the financial burden on them. Clearly, the movement of monies between the parties as allowed for in this group of amendments may not be necessary, but since we are creating a Bill to address all eventualities in the development of modern airspace it is important at this stage to make sure that there are facilities for money to move about and, in extremis, for government perhaps to finance parts of that development. I beg to move.
My Lords, our airspace modernisation is a complex but necessary process. It is necessary in the modern world because it enables environmental gains in an industry increasingly under fire for its emissions and where the technological solutions are much more long term than they are in the case of, for example, road vehicles. However, as the noble Lord, Lord Tunnicliffe, has just pointed out, one person’s gain is often another person’s loss. These are useful amendments because there is a real fear of a potential conflict between airports as the modernisation process goes forward.
In Committee, I mentioned that Stansted and Luton airports, for example, are very close geographically. It is not impossible to imagine that what would help Stansted might deprive Luton; for example, a potential airspace route that would cost it money in terms of potential for new services. Since the Committee stage, airports have found themselves in great financial difficulty because of travel restrictions. These amendments are therefore designed to ensure what I assume is an even-handed approach from the Secretary of State down through the CAA and the Airspace Change Organising Group.
The Airport Operators Association remains concerned about the funding of this issue—I raised that in the last group and was delighted to hear that the Minister has agreed to deal with it in her response here. When this matter was raised previously by the Airport Operators Association, the Aviation Minister suggested three sources of funding in a situation where one airport was going to win at the expense of another. The first suggestion was that alternative sponsors might pay. I would be grateful if the Minister would explain exactly what is intended with that proposal.
The second suggestion from the Aviation Minister was that funding might come from the £10-million airspace modernisation fund. That sounds fine but it is actually a relatively small sum so I would be grateful if the Minister could explain whether that is a fixed sum or extra funding would potentially be available.
Thirdly, there was a suggestion of government funding on a case-by-case basis. If the Government have any further thoughts on this, it would be really good to hear them at this stage. I hope that the Minister can put the Government’s intentions on record today to clarify these issues.
My Lords, the purpose of this group of amendments is to enable compensation for the recipient of a direction if the airspace change is predominantly or wholly for the benefit of a third party and if issuing a direction would lead to adverse financial impacts. Amendments 3 and 7 would also allow the Secretary of State to recover the cost of the compensation from the third party.
It is important for me to be clear up front that, while we recognise the severe impact that Covid-19 is having on the aviation sector, the “user pays” policy principle is an important one: those who stand to benefit from airspace change should pay for the costs of such a change. In the light of the pandemic and its effects on the aviation industry, most airports have paused their work on airspace change. However, airspace modernisation remains critical to deliver additional capacity and improve access to airspace for different users; it also brings environmental benefits by reducing emissions.
Therefore, the Government have asked the Airspace Change Organising Group—ACOG—to revisit the master plan for airspace change in this light to ensure that the benefits of the programme are realised and that the investment already made is not lost. In July last year, ACOG published a report on remobilising airspace change. It included 10 recommendations aiming to ensure that the programme advances, while recognising the financial pressures faced by airports and the industry.
The DfT and the CAA immediately accepted recommendations 1, 2 and 4. First, we will ask ACOG to establish clear protocols for the airports that are able to resume work on airspace change, how we engage with those where work has paused and the exit process for those that decide to opt out of the programme, subject to their criticality to the programme as a whole. Secondly, we will ask NERL and ACOG to work together to re-evaluate NERL’s 2018 feasibility report into airspace modernisation to identify the core set of airport-led airspace changes that will be required in the post-Covid world. Lastly, in the short term, the CAA will work with ACOG to ensure that work on airspace change that can still progress does not conflict with or constrain the broader programme.
Officials continue to work closely with the CAA to consider the remaining seven recommendations. One of these includes funding to tackle the short-term airspace change proposal—ACP—funding gaps potentially created by Covid-19. In the light of the pandemic, we recognise that the timescales in which airspace modernisation will take place will necessarily change. ACOG therefore plans to develop the future iteration of the airspace modernisation master plan in 2021.
The powers in the Bill are tied to the airspace modernisation strategy—the AMS—and the master plan. The Secretary of State could make a direction only to persons involved in airspace change based on this strategy. Therefore, it follows that there are no plans to use these powers in the near future while the industry recovers from the pandemic. As I have said, the need to modernise the UK’s airspace has not changed. We will need these powers in future once the master plan has been developed and the modernisation programme has been restarted to ensure that the strategy can be implemented in the years to come.
The Government recognise that there may be occasions when a small airport, or another person involved in airspace change, may require financial assistance to carry out some aspects of an ACP. We expect the CAA’s oversight team to work with the potential sponsor before recommending that the Secretary of State uses the powers to direct an ACP. At this early stage, if the potential sponsor expressed concerns that it did not have sufficient funding to proceed with a particular ACP, we would expect the oversight team to work with the potential sponsor to suggest alternative solutions.
My Lords, I thank the Minister for her explanation and for placing it on the record. I note that the Government are not entirely closed to the idea that financial considerations may be important, and that they may have to act to ease the burden on one party against another or make some arrangement, even if it is not a direction. I found the answers useful; unfortunately, I would have found an answer where she agreed with me entirely more useful. Nevertheless, I think that this has gone far enough for me to be happy to withdraw the amendment, and I give notice that I do not intend to move the other amendments in this group.
We now come to the group beginning with Amendment 12. I remind noble Lords that Members other than the mover and the Minister may speak only once and that short questions of elucidation are discouraged. Anyone wishing to press this or anything else in this group to a Division must make that clear in debate.
Clause 10: Air traffic services licensed under Part 1 of the Transport Act 2020: enforcement
Amendment 12
My Lords, I thank the noble Lord, Lord Tunnicliffe, NATS and the CAA for their very constructive engagement on this issue, which has resulted in these government amendments. In moving Amendment 12 I will speak also to Amendment 21.
Amendment 12 seeks to amend Section 34 of the Transport Act 2000 to give the CAA greater flexibility to consider representations about an alleged or apprehended contravention—or a complaint—and to ensure that resources are used effectively. Section 34 of the Transport Act 2000 currently places an obligation on the CAA to investigate a complaint if the representation is made by—or on behalf of—a person who appears to have an interest. While this obligation does not apply if the representation appears to the CAA to be frivolous or vexatious, in practice this section as currently worded gives the CAA little discretion not to commence formal investigations. As a result, the licence holder and CAA may be presented with a considerable burden when engaging with an investigation which could potentially have serious resource implications, even where the CAA then decides not to take further enforcement action.
Amendment 12 will provide clarity and flexibility for the CAA and stakeholders as to when investigations should be commenced. This will reduce the potential for unnecessary investigations which have no material effect—or which result in no enforcement action being taken—without watering down the CAA’s powers, or the ability of parties to raise a complaint. The CAA will publish updated enforcement guidance, which can refer to the application of Section 34.
Amendment 21 is a minor, consequential amendment. The Bill already makes a consequential amendment to Section 34 of the Transport Act 2000. That provision would have changed the current reference in Section 34 from “condition of a licence” to “licence condition”. As Section 34 is being amended more substantively, that consequential amendment is no longer required.
I turn briefly to Amendment 19, tabled by the noble Lord, Lord Tunnicliffe. I am grateful to the noble Lord for engaging with this. Amendment 19 seeks to ensure that the CAA would impose penalties on the licence holder, NERL, only where the contravention of the licence or Section 8 duty is serious, and it was deemed proportionate to do so. Following extensive engagement with NERL and detailed consideration, the Government are of the view that this amendment is not necessary. There are already sufficient legal checks and balances contained in the Bill, as well as through policy and guidance, to prevent disproportionate fines being levied on a licence holder.
The proposed amendment would also depart from the approach taken in the equivalent provision in the Civil Aviation Act 2012, meaning that the threshold for imposing a penalty relating to NERL would be higher than that for an airport’s economic licence. This would create a disparity in CAA enforcement across the sector. I do, however, appreciate the importance of considering the seriousness of the contravention, along with the proportionality of imposing a fine, and I will take this opportunity to reassure noble Lords of what provision has already been made.
First, the power of the CAA to impose a penalty is discretionary, and it would do so only for the most serious contraventions or as a matter of last resort. All regulators, including the CAA, are already required to consider the better regulation agenda—as well as the Macrory principles of better enforcement—in exercising their regulatory and enforcement functions. The Macrory principles explicitly state that enforcement must be proportionate to the nature of the offence and to the harm caused. In practice, proportionality will be considered at every stage of a stepped process to enforcement, which will be set out in the CAA’s enforcement guidance and statement of policy on penalties. The CAA is required to consult relevant stakeholders on the latter. The CAA will decide whether to impose a penalty, and the level of penalty, by assessing the seriousness and harm caused to users by the contravention, through the lens of its statutory duties under the Transport Act 2000.
If the CAA were to propose a penalty on the licence holder, the Bill contains procedural safeguards, in the form of consultation with the licence holder, before the penalty could be imposed. This would give the licence holder the opportunity to highlight the steps it is taking to mitigate the contravention. The CAA would consider all stakeholder representations ahead of imposing a penalty. If the licence holder were to disagree with an imposed penalty, they could appeal to the Competition Appeal Tribunal, which would have to have regard to the financeability duty imposed on the CAA under Section 2 of the Transport Act 2000. This approach is broadly aligned with equivalent provisions in the Civil Aviation Act 2012. The Government’s decision to modernise the air traffic licensing regime recognised that appropriate alignment with similar regulatory regimes would provide stakeholders with greater clarity and certainty and assist the CAA in exercising its regulatory functions and statutory duties in a more effective manner.
Turning to Amendment 20, I think we are agreed that the CAA should have a discretionary power to investigate complaints under Section 34, as set out in Amendment 12. It would therefore be inconsistent to narrow the power for the CAA to obtain information in relation to Section 34. I beg to move.
My Lords, these amendments relate to the CAA’s function to investigate complaints over breaches of licence conditions. Since the CAA has considerable powers, any limitation of those powers needs to be carefully balanced. There are concerns within various parts of the aviation industry about how the dual role of the CAA effectively operates in relation to these issues.
I regret that I am speaking before the noble Lord, Lord Tunnicliffe, because I want to listen carefully to the thoughts behind his amendments. It is important to fully understand the purpose of Amendment 20 in narrowing the power to obtain information. I believe it is in the spirit of the other limitations within this group of amendments, which seem entirely sensible.
My Lords, we fully support Amendments 12 and 21. We put forward amendments in Committee, in the light of conversations with the CAA, which we felt made some good points. We put these to the Government, who said, as Governments always do, “We don’t think much of your amendments but we agree with what you’re trying to do. Can we do it our way?” And my view is, yes, we can do it in the way they wish to draft it.
I turn to Amendment 19. In many ways, the Minister has answered the question: will the CAA behave in a responsible and proportionate way? She has basically assured us that it will, and that it is implied in general legislation.
On Amendment 20, we felt that the CAA’s powers were overly wide. I do not have a more specific reason for tabling the amendment, other than that the two concepts in Amendments 19 and 20 stood together.
I thank the noble Baroness, Lady Randerson, and the noble Lord, Lord Tunnicliffe, for a brief and constructive discussion. This is the culmination of many discussions of these issues, and we were very keen to reassure the noble Lord, Lord Tunnicliffe, that we recognised his concerns. We did—in typical government fashion—decide that our amendment was better than his, for which I apologise, but I suspect we were probably right. I am very grateful that the noble Lord is supporting the amendments. I tried very hard to set out exactly what we would expect the CAA to do in relation to his Amendment 19, and I am pleased that I have reassured him.
On Amendment 20, we felt that it would be inconsistent to narrow the power for the CAA to obtain information in relation to Section 34, because the Bill currently includes the power for the CAA
“to obtain information for … carrying out its functions under section 34 and Schedule B1”.
This covers documents or information that the person has or are under their control. It is important to note that:
“The CAA may give a notice under this paragraph only in respect of information or documents that it reasonably requires”—
I suspect that is a bit of narrowing—
“for the purpose of carrying out its functions under section 34 or Schedule B1.”
Therefore, we do not feel that it is necessary to limit the power, as we believe that the Bill is already appropriately drafted. On that basis, I commend the amendment to the House.
We now come to the group beginning with Amendment 12A. I remind noble Lords that Members other than the mover and the Minister may speak only once and that short questions of elucidation are discouraged. Anyone wishing to press this, or anything else in this group, to a Division must make that clear in debate.
Amendment 12A
My Lords, Amendments 12A, 18A, 18B and 44 are a series of government amendments to provide temporary powers for the alleviation of airport slot usage rules. This will amend retained EU regulation 95/93, which governs the allocation of UK airport slots.
Prior to the Covid-19 pandemic, the 80:20 rule—or the so-called use it or lose it rule—encouraged the efficient use of scarce airport capacity, while allowing airlines a degree of flexibility in their operations. There are eight slot-constrained airports in the UK to which the 80:20 rule applies: Heathrow, Gatwick, London City, Luton, Stansted, Bristol, Birmingham and Manchester. The 80:20 rule mandates that, provided an airline has used its airport capacity at least 80% of the time in the preceding scheduling period—either winter or summer—it is entitled to those slots in the upcoming equivalent period.
Due to the unprecedented impact of the Covid-19 pandemic, in March last year the EU Commission took the decision to waive the 80:20 rule. Airport co-ordinators were instructed, when determining slot allocations for the upcoming summer season, to consider slots as having been operated regardless of whether they were actually used. This waiver covered the summer 2020 season and was subsequently extended to cover winter 2020-21. The UK supported the EU’s position.
Without alleviation, airlines may have incurred significant financial costs by operating flights at low load factors merely to retain their slots. Alleviation has helped to protect future connectivity and airline finances and reduced the risk of ghost flights being run to retain slots.
We anticipate that the effects of the Covid-19 pandemic on the aviation industry will continue for some time. Passenger demand is not predicted to return to 2019 levels until at least 2024-25. After we exited the UK-EU transition period on 31 December, regulation 95/93 was retained in UK law. However, when it was retained, the powers of the Commission to extend the period of alleviation from the 80:20 rule—which are being transferred to the Secretary of State—were expressly limited to 2 April 2021. As we expect disruption to air travel to continue for several years, it is therefore imperative that the UK has the necessary powers at its disposal to provide alleviation beyond the summer 2021 season should the evidence suggest that it is warranted.
Amendment 12A inserts a new clause after Clause 11 in Part 2 of the Bill. The new clause would insert a new Article 10aa into retained Council Regulation (EEC) No 95/93 of 18 January 1993 on common rules for the allocation of slots at United Kingdom airports. This would provide the Secretary of State with a power, exercisable until 24 August 2024 and not in respect of a scheduling period after winter 2024-25, to provide air carriers with alleviation from the requirement to operate airport slots allocated to them 80% of the time in order to retain the slots for the next equivalent scheduling period.
To allow for flexibility, this amendment also includes powers to modify the 80% requirement relating to slots usage. This will be an alternative to applying a full alleviation of the 80:20 rule for a specified scheduling period or season. This recognises that there could be alternative ratios, not 80:20, which could be applied to ensure the efficient use of slots. It will also allow the Secretary of State to apply conditions to an alleviation of the 80:20 rule, such as by setting a deadline for the return of slots not intended for operation, or that a waiver will not apply to a series of slots of an airline that, for example, ceases to operate at an airport.
The amendment also allows the Government to make other changes to the operation of the rules relating to the allocation of slots under this regulation for the duration of the relevant scheduling period. For example, the Government could change co-ordination parameters to reflect partial closures of airports, adopt temporary rules for the most efficient allocation of unused slots, and give the slot co-ordinator enforcement powers—for example, where unused slots are not returned with sufficient time to enable them to be effectively reallocated to other carriers. Having the powers to vary the 80:20 ratio and apply conditions to be in place on application of the rule will allow appropriate measures to support the sector’s recovery as passenger demand returns.
The use of this power will require secondary legislation, subject to the affirmative procedure, for any applicable scheduling period in which evidence supports the conclusion that relaxation of the 80:20 rule is appropriate. The nature and extent of any relaxation will be subject to targeted consultation and, of course, there will be a debate in both Houses.
This approach will allow us to use current data and evidence, as well as to consult stakeholders, to make judgments on whether alleviations are required for each period and, if so, to what extent. We will also assess other institutions’ analysis and recommendations on slots usage rules for future seasons, including the Worldwide Airport Slot Board, and proposals from other areas, such as the European Union and the United States.
Amendment 18A is a consequential amendment to Clause 19 to reflect that the new clause on airport slot allocation extends to England, Scotland and Wales but not Northern Ireland, where aerodromes are a matter reserved for the devolved Assembly. As noted, however, all slot co-ordinated airports in the United Kingdom are currently in England.
Amendment 18B is a consequential amendment to Clause 20 and provides for the new clause to come into force immediately when the Bill is passed and becomes an Act. This amendment ensures that regulations could be made under the new Clause 11A, relating to airport slot allocation, following Royal Assent, so that they are ready to come into force as soon as appropriate thereafter.
Amendment 44 amends the long title of the Bill to include reference to airport slot allocation. I beg to move.
My Lords, I thank the Minister for her introduction to these amendments and her explanation of the background. I should explain to the House that for most of my time as a Member of the other House I represented Aberdeen Airport; I say “most of my time” not because the airport relocated, but because my constituency boundaries changed. As a result of that, and of the fact that I commuted weekly by air to Parliament for decades—until lockdown last March, I continued to do so—I have taken an interest in aviation. Until lockdown I was also a frequent traveller around Europe and the rest of the world, and have experience of a variety of airlines and airports, large and small.
The allocation of airline landing slots is controversial, in terms of competition and commercial opportunity, as well as of access from feeder airports to the co-ordinated airports—a particular concern of mine. I completely understand the reason for the current waiver of the 80:20 “use it or lose it” rule, in the present climate. As the Minister said, we are following the same measures as the EU. Since she touched on this, does she foresee any circumstances in which the UK would, or should, take a different approach—for example, in how the proportions are reallocated? What would be the criteria or the conditions for that to happen?
I understand the complexity of managing slots, especially when airlines have seen their incomes decimated, and the fact that, as the Minister said, the predictions are for a long, slow period of recovery. At the same time, airport managers understandably wish to maximise traffic through their airports and resent it if airlines retain slots that they do not use, especially if other airlines are seeking additional slots with the intention of building a service. Given the need to maintain good relations with its airline clients, an airport may be unwilling to express its frustration. Clear, legally enforceable rules would be helpful, so does the Minister think that legal enforceability of the slots rules should be considered?
Access to services to and from London airports is especially critical for Scottish and Northern Ireland airports, both for access to London and for connections to Europe and the rest of the world. Of course services are driven by demand and commercial reality, but it is acknowledged that wider economic consideration for linkages is also important. That was demonstrated by the Government’s intervention on the collapse of Flybe, in relation to certain regional services.
Leaving aside the case for subsidies—I am not engaging with that in this debate, even for lifeline services, as it seems an important but separate issue—there has been a belief among many airport users that feeder routes to London may be profitable, but that the slots could be more profitably used for long-haul routes. The feeder routes were not necessarily uncommercial, but perhaps less profitable. Control and possible hoarding of slots by the larger airlines restricts competition and makes it difficult for other airlines to develop alternative services.
At the height of oil and gas activity in Aberdeen, we had daily flights to not only Heathrow but Gatwick, London City, Luton and Stansted; more recently Loganair trialled a service to Southend, but that did not last long. British Airways pulled out of providing a service to Gatwick and London City years ago. I found that hard to understand, as many of the airline’s holiday flights operate from Gatwick and transfers from Heathrow to Gatwick are not relaxing. EasyJet pulled the last Gatwick link, and Flybe and Eastern ended the City flights. Flybe and Virgin both attempted to offer a Heathrow service but neither became established, although it was Flybe’s demise that ended its Heathrow link.
As of this week, because of the pandemic, we have one or two return flights a day to Heathrow, compared with the six or seven we would expect in normal times. EasyJet will start providing daily flights to Luton from March, and—hallelujah—to Gatwick from May, Covid permitting. No doubt users of Belfast Airport will have a similar story, while Inverness has had to fight to retain links to London. Indeed, the reduction in services to London has seen business switch to Amsterdam and Paris, to which we have direct services, although those services, too, are currently limited.
As has been said, airlines’ recovery post-pandemic is likely to be slow but could also be ruthlessly competitive. Will the Government consider how the allocation of slots can be managed to ensure that it works in the best interests of all stakeholders, including the flying customers and feeder airports? Can airlines be prevented from hoarding routes they do not use, if that keeps out feeder routes or newcomers?
What steps can be taken to ensure that the allocation of slots takes into account the economic and social needs of remote communities, which are by definition more dependent on air links? Just for the record, the train journey from Aberdeen to London takes a minimum of seven hours, and at the moment we have only one direct service without changes; the others take longer. For people living in such areas, flying is not a luxury but an essential part of life.
My Lords, this is part two of a discussion that we started earlier this week on the SI on this subject, which gave the Government temporary powers. Since Committee stage, a year ago, we have had the impact of the pandemic and the EU has waived the usual 80:20 rules on slot usage. That was welcome because it avoids ghost flights—empty flights, just to keep slots.
In the amendments the Government are giving themselves powers until 2024 to continue to waive the rules altogether or to vary them, possibly by varying the percentages. That is a whole new issue to have entered the Bill—something that was simply not there a year ago. I wondered about the 2024 date and whether the period was a tad lengthy but time and time again in this pandemic, things have taken much longer to play out than we thought they would. On reflection, 2024 seems to allow a reasonable period ahead to give a level of certainty.
Because we did not have these substantial amendments prior to Report today, however, I have some questions for the Minister. First, Amendment 12A involves temporary powers to make regulations about slot allocation. Paragraph 4(d) of the new article it inserts would allow the co-ordinator to “withdraw slots” from a carrier where it is determined that
“the air carrier has ceased its operations at the airport concerned”.
My question to the Minister is: how would that be determined? I have in mind a question similar to the one I asked earlier in the week about Gatwick. Virgin has announced that it will not fly from Gatwick in future and will no longer have a base there. Indeed, it no longer does have a base there—but it retains its slots. Slots are a very valuable commodity, so how is such a situation likely to be approached in future?
My second question is on the same amendment. Paragraph 2(a) refers to “a relevant previous year”, which is later defined as:
“any previous year that the Secretary of State considers appropriate for … comparing levels of … traffic.”
That is an extraordinarily broad and vague definition, as levels of traffic vary dramatically according to the make-up of carriers from specific airports—with new ones coming and going—and to their commercial decisions. It also uses the term of a year, while slot waivers work in seasons to reflect the patterns of demand, which vary from season to season. Can the Minister confirm that the year as a whole will be the point of comparison?
Another point that I raised in our debate earlier this week is that the number of available slots currently greatly outweighs the capacity of the airlines to fill them, because as the pandemic has progressed they have greatly reduced their staff and the number of planes that they own or rent. How do the Government intend to approach this problem, whereby the number of slots cannot be filled by the current capacity of airlines?
Slot hoarding has to be tackled. The 80:20 rule is designed to maintain the competitiveness of the industry, which means fair ticket prices for passengers. If the waiver is exploited it will be bad for new entrants to the market, bad for passengers, and bad for airports. The powers or conditions that the Government have included here, therefore, and the potential to vary the 80:20 ratio, seem a sensible and welcome approach to the situation that we face, and I look forward to the Minister’s explanations.
My Lords, we generally support these four amendments, and we thank the Minister for tabling them for our examination. Nevertheless, one must recognise that the dilemma brought out by the noble Lord, Lord Bruce, in his contribution, is a real one. It is important to see these amendments as quite separate from the general problem. Can the Minister tell the House what examination of this problem the Government expect to conduct in the future?
I know from my own experience, which goes back to the 1980s, that slot allocation is a very difficult and challenging problem in the airline industry. One of the problems in life is that when there are many parties to finding an overall solution to the distribution of a scarce resource the solutions you get become very difficult to change: creating a level of change that would address the issues raised by the noble Lord, Lord Bruce, would be in the best “Yes Minister” category—very brave. I hope, nevertheless, that the Minister can lay out some of the plans for addressing this issue.
On the amendments as a whole, I have a few questions. The Minister may have answered them—I was slightly distracted, so I hope the House will forgive me if we go over old ground.
First, my understanding is that each season’s solution, under these amendments, will be subject to an affirmative order. I would value a simple assurance on that.
Secondly, the Heathrow authorities told us that in their view the agreements that were being developed through the Worldwide Airport Slot Board were more optimal than the solution we have had to adopt for the summer of 2021. Should, therefore, the parties—the airlines, airports and other stakeholders—come to a worldwide agreement on slot allocation? These things are co-ordinated on a worldwide basis. Certainly, when I was a senior executive the most important date of my year was the IATA timetable conference in October, which addressed the following summer’s slots. If the airlines and airports produce an overall solution, is there enough flexibility in this proposed solution to allow the Secretary of State—I stress allow, not require—to endorse such a comprehensive, multiagency agreement?
Finally, can the Minister assure the House—and the industry—that there will be adequate consultation with all stakeholders for each season that is managed under these amendments?
I thank all noble Lords for their constructive engagement on these amendments, and I recognise that it is far from ideal to bring them to the House on Report. It is simply the nature of the beast and the situation that we are in: these amendments relate to the Covid-19 pandemic and our hoped-for recovery from it.
I will first address the comments made by the noble Lord, Lord Bruce. He set out many of the challenges faced by the Government—both the short-term task of building back our aviation industry, and the longer-term strategy for the sector. I recognise that slot allocation is a challenge. I would not say it is controversial—it is just one of the challenges that one has to deal with.
The Government have recognised that this is an issue and carried out a consultation on it, alongside, I think, the consultation on the aviation strategy—which was a little while ago, in perhaps 2018 or 2019. We did, therefore, recognise the issue, and we asked the industry and other parties with an interest in the aviation sector how we might reform slot allocation. It remains the Government’s intention to do a piece of work on the long-term reform of slot allocation. But that is not for now. Now, we have to deal with the current situation by making amendments that are not minor but do not amount to an overhaul of the entire slot allocation process.
We do take into account the challenges that the noble Lord, Lord Bruce, raised. The noble Lord asked whether we would take a different approach to the EU, and I suspect that we will, but not that we necessarily will—it depends on the EU’s approach to the periods after summer 2021. We will, however, certainly be looking at other percentages in relation to a waiver, and considering very carefully the conditions that we attach to the regulations.
The noble Lord also mentioned enforcement powers, and I think that I said, in my opening remarks, that we would consider them. There are probably at least three key elements to the way in which we will take this forward. We need to think about: new entrants and whether they are able to get into the market; the needs of passengers, which is a critical element; and—as the noble Lord pointed out to great effect—regional connectivity, particularly to places, such as Aberdeen, where the alternative is very long. Being on a train for seven hours does not sound like huge fun.
I think we will return to many of the points the noble Lord raised when we discuss the regulations that will be put before your Lordships’ House. I look forward to those debates; I think they will be quite challenging, and we will be able to have discussions on all the elements he mentioned.
Turning to issues raised the noble Baroness, Lady Randerson, I am pleased that she agrees with 2024. Would it not be nice if we did not have to do anything until 2024? But I suspect we may need to be doing something by then, so we are just future-proofing the amendments. The noble Baroness had a number of quite detailed questions about how one, for example, determines that an operator has ceased operations. Those are exactly the things we are asking the sector at the moment. The consultation, as the noble Baroness knows, started right at the end of December—a three-week targeted consultation to try to get to the bottom of these very knotty problems.
We now come to the group beginning with Amendment 14, and I remind noble Lords that Members other than the mover and the Minister may speak only once and that short questions of elucidation are discouraged. Anyone wishing to press this or anything else in this group to a Division must make that clear in debate.
Amendment 14
My Lords, I will speak to Amendment 14 and give notice that I am minded to put it to a vote at the end of the debate. As I said earlier, this Bill is a bit of a mess—through no fault of the Minister; it is simply the passage of time, and time has definitely taken its toll. This applies in particular to the clauses on unmanned aircraft.
Since 2016, I have been urging the Government to bring forward legislation on drones. The Minister reminds us from time to time that unmanned aircraft include model aircraft, but I am concerned here solely with drones. In the five years since I first addressed this issue, drone technology has been transformed, and so has the number of drones in operation. They are of massive importance to our military, to the police and other emergency services, and to countless businesses across the UK. It is wonderful, transformative technology; it is also very worrying technology. In the wrong hands, drones carry illegal drugs, take illicit mobile phones into prisons and threaten major loss of life by interfering with flights, as we saw at Gatwick in 2019. “Wrong hands” obviously includes criminals, but also careless and untrained hands.
Since we started this Bill in 2019, EU legislation has been updated, and that is reflected in the details of the amendments here today. But they do not reflect the broader approach that is now needed. The Bill is a wasted opportunity, because it is largely a list of additional powers for the police. That approach is unsatisfactorily narrow, and my amendment outlines the broad approach that I believe needs to be taken. It needs to address the serious concerns of BALPA, the Airport Operators Association and many airlines about safety and security risks from drones. I have specified the range of issues I am worried about, but I do not believe it is an exclusive list. Some of them relate to technical advances, such as the availability of geofencing and remote ID. Others relate to possible shortcomings in criminal law in relation to the deliberate weaponisation of drones. Potential risks from overseas exist now that the technology allows longer-distance flying.
The amendment in this group in the name of the noble and gallant Lord, Lord Craig of Radley, also raises important issues about commercially used drones, which are often specialist and valuable. My amendment addresses the issue of the appropriate minimum age to be in charge of a drone. EU legislation allows a minimum age of 14, and the Government have supported this. But that is a minimum: it does not have to be that low within the EU rules, and, in any event, we have of course left the EU. Legislation allows drones to be registered to anyone over 18, but they can be flown by people younger than this, and there is no requirement for the registered owner to be present and in the line of sight of the person flying the drone. So, the question is whether this is sufficient supervision.
In preparation for this debate, I spent a long time online looking at adverts for drones, from under £100 to thousands of pounds. In all the adverts I looked at, I saw no reference at all to the rules on registration and supervision, line of sight, heights for flight and so on. Presumably, all that comes with the instructions in the box. But I am not entirely sure that everyone reads the instructions in the box carefully.
Also untouched by this Bill is the issue of privacy. There are serious concerns that drones can allow invasions of privacy. I said earlier that the Bill concentrates on police powers, but police use drones as a tool themselves, and they are a very useful tool in fighting crime. The vast majority of police forces now use drones, but there appears to be no overall dedicated guidance for police on the way in which they are to be deployed, or provision of information on how they should be used. This is a potentially controversial area, as we saw when Derbyshire police used drones at the start of the pandemic to watch walkers in the countryside, with the potential to levy fines on them.
This is a fast-developing technology, and my amendment recognises that by seeking a review of the legislation within six months, and every year thereafter, to ensure that it is, and remains, fit for purpose. I am not prescribing solutions, just outlining issues to be addressed and asking for a more comprehensive and effective approach to the whole issue of drones.
My Lords, I support Amendment 14 and shall speak to Amendment 15, which stands in my name. It is a probing amendment and I shall not divide the House on it.
After Committee, I was informed that unmanned aircraft and drone operators holding CAA permission for commercial operation—PfCOs—were concerned about the scale of the police powers introduced by the Bill. Recent changes to the ANO 2016 affecting the use of unmanned aircraft have dispensed with PfCOs and new categories for unmanned aircraft operations are provided for all users. The concern is that use of the police powers designed principally for recreational users or potential criminal use could cause commercial operators loss of time or money, or even cause them to fail to meet a contract.
For example, a building inspection by a drone operator might involve manoeuvres putting the drone closer to the structure than would be acceptable for a hobby user. Were the police to order the immediate grounding of a drone in such a CAA-approved use or, looking to the future, of a drone with CAA operational authorisation for beyond visual sight, extended visual sight or even swarm flights, this could lead to business disruption and loss. Would the police consider a complaint from the public reasonable grounds to order grounding? Would the police authority be responsible for such a commercial loss? I expect not, but serious cases might lead to some form of claim by insurers or the operators themselves, so it is reasonable to suggest that, for flights with CAA operational authorisation, the most the police might be required to do would be to seek presentation of the CAA approval licence, as new Schedule 9 envisages. If still concerned, the police should report the operator to the CAA, which already has extensive statutory powers for investigation and sanction.
As the Minister informed me in an exchange of letters we have had about this amendment, new risk-based categories apply to all UA activities, but this does not seem to be any reason for commercial operators, however approved or risk-assessed by the CAA, to be less concerned about the difficulties they might face if the police powers were to be exercised in ways that, maybe inadvertently, were to delay or interfere with the approved use which the CAA had given to the commercial operator.
These operators are further concerned about the level of knowledge of the relevant extensive ANO and CAP 722 publications required of regional police forces to deal with unmanned aircraft operating commercially and whether their increased workload will be funded, particularly as this activity expands. No one would welcome a breach of trust between the police and commercial businesses if police involvement were to be disruptive to commercial use. In further exchanges with the Minister—I thank her for her engagement with me over these concerns—I have not been given sufficient reassurance about the way police powers in this Bill will be used so as not to lead to potentially harmful outcomes for the commercial operator.
There is considerable growth potential in the commercial use of UAs and, indeed, in the market globally for such remotely controlled devices. The Government quote an addition of £42 billion and more than 600,000 jobs by 2030. The Bill provides an opportunity to show that such commercial users are recognised and being supported by statute and regulation specifically designed to deal with, but not onerously restrict, their activities.
A further consideration is whether some statutory approved way to claim for loss, disruption or damage to the business of the commercial operator—for example, if its unmanned aircraft was incorrectly impounded by the police—should be provided. Would this too be by means of secondary legislation, as envisaged for appeals against fixed penalty fines?
My Lords, I support the probing amendment tabled by the noble and gallant Lord, Lord Craig of Radley, to insert a new clause. I will not repeat what he just said, but I underline its importance. If we go back in time a little, the Minister may recall that, when she first took office on drones, we—the UK—were a bit behind the curve compared to France, Ireland and Canada. Now, we have an opportunity to take the lead, which is what this new clause is partially about. I want to re-emphasise to Her Majesty’s Government that this industry, in particular, is here to develop commercial distribution and to function at all, the police should not be involved. It should be left to the CAA. It is fair to be open and say to my noble friend that the noble and gallant Lord, Lord Craig, and I have been in discussions with the industry—particularly with its legal representative, Richard Ryan, who is a well-known and very well-qualified barrister.
I shall give a couple of practical examples. I have been involved with drones almost since the day they were invented. If you have a situation with a constable—let us say in Sandy, where I live—who, under Schedule 9, is simply asking for reasonable grounds for belief, which may be founded on a complaint by a passer-by, the consequence is quite significant for a commercial operator as the constable will have the power to request information while the flight is taking place. I do not know whether the Minister has had a go at flying these things—I hope that she has—but they are not that easy; I speak as a former pilot and the noble and gallant Lord, Lord Craig, is a very experienced pilot. Anyway, the flight is still taking place, and the operator is being interrupted. Currently, under Part 1 of Schedule 9, paragraph (1)(a) states that while
“a flight by a small unmanned aircraft is taking place”,
the constable may, as paragraph 2(1)(a)(ii) states, require the person to provide
“information that would assist … the constable to verify that … that flight”
is valid. The issue with this is: who takes responsibility for the flight when the pilot is being interrupted by the constable? What if the drone switches out of GPS mode and into attitude mode? It then clearly requires more care and attention with respect to carrying out flight safety under Article 241 of the ANO 2016. I know that my noble friend has all these details at her fingertips, but I remind her that Article 241 clearly states:
“A person must not recklessly or negligently cause or permit an aircraft to endanger any person or property.”
I have a couple of other points, which are perfectly practical as well. The amendments to Schedule 9 rely on the fact that a constable has reasonable grounds for suspecting that a provision of the ANO 2016 is or was being contravened, as well as other aspects. How would the constable know at that time what precise provision of the ANO 2016 was being contravened? In practical terms, this is unachievable, due to the complexity of the legislation and/or further amendments to the ANO, leading ultimately to a possible miscarriage of justice.
My next point is very relevant to what is happening in the Covid world at the moment. What is the position if a remote pilot is conducting numerous flights at the same time, whether it is at a drone lightshow or transporting medical supplies on behalf of the NHS at scale? Some of these flights could be beyond the line of sight. This is relevant because, when we start operating at scale, the police will have significant powers which can harm the industry, create unnecessary reputational damage and be of significant cost and disruption to the whole unmanned aviation supply chain.
I have half a dozen other examples, but I do not think that the Minister wants to hear them this evening, although I would be more than happy to supply them. I ask her to reflect that this is a new industry that can and will create many jobs, increase skills and set the UK up as a leading pioneer in unmanned aviation. A system that confronts companies with such onerous terms in the legislation, that captures absolutely all operators, is, in my and my noble friend’s judgment, flawed. We have a situation where the Government have taken a view. We have looked at other jurisdictions, such as Canada—a country I know quite well—where the legislation is about half the scale of ours.
My final thought is that the potential for the loss of income, innovation and opportunity will be significant if this law applies to commercial operations, or those with an operational authorisation, especially in the short term. There is significant reliance on a constable knowing all the relevant aviation laws that apply. This is no good when a drone operator, for example, has a roof survey the next day which he cannot perform because his equipment has been appropriated by the constable in lieu of an investigation with no time limit.
Here is a wonderful potential industry. We need to make sure that, yes, there is control, but that can be done by the CAA, an organisation for which I have had the greatest respect as a pilot myself. Leave it to the CAA—that is what should happen. I hope my noble friend will reflect on some of the evidence that we have managed to produce this afternoon.
My Lords, we have heard a very powerful case from the previous speaker. I see no reason for me to detain the House unreasonably and will speak briefly, principally to Amendment 15. My concerns in Committee centred on what I saw as the need to isolate potentially irresponsible non-commercial users of drones from those who, for perfectly legitimate reasons, seek to exploit commercially this new and innovative use of the technology.
During the debate on 27 January last year, I raised the issue of the confiscation of equipment. On 12 February, I raised the same issue, in particular where rogue operators breached the rules. There has to be a procedure in place which more clearly separates and differentiates the potential rogue operator from the legitimate commercial operation. Fines are too often no deterrent. We know from government stats that there is a high incidence of non-payment among those who have little respect for the law. We need a separate, more vigorously enforced regime for rogue drone operators. We cannot treat CAA-authorised operations in a way which appears similar to that in which we treat recreational users.
The danger in the Government’s approach is that the recreational user will be the beneficiary of the developing, lighter-touch regime that will ultimately and inevitably have to apply to commercial drone operations. This is inevitable as commercial operators exert increasing pressure for the introduction of such a regime to protect commercial viability. Alternatively, if this does not happen, commercial operators will be penalised by the more vigorous approach that will inevitably have to apply to the recreational user. The systems proposed are flawed.
The noble and gallant Lord, Lord Craig of Radley, has valiantly sought to convince the department and Ministers of the dangers, but has received little reassurance to date by way of response. The noble Baroness, Lady Randerson, can clearly see the writing on the wall and therefore seeks a review of the new regime at a later stage. She is to be congratulated on the persistent way in which she has pursued these matters over a number of years. Either way, the system when tested will need to be reviewed. We need two, distinct sets of rules and regimes; a separate regime that is fair to all.
My Lords, I remind the House of my role as president of BALPA. I thank the Department for Transport for its constructive engagement with officers from BALPA in getting this far—goodness knows, we have spent a long time getting this far with this Bill.
I agree with the noble Lord, Lord Campbell-Savours, that rogue drone operators are clearly very different to the responsible drone operator that we wish to deal with. However, I am not sure that supporting this amendment is the right way forward. The Bill is not the right vehicle to include a requirement to review unmanned aircraft legislation. It cannot just be left to the CAA, as has been suggested, because if there were a major incident, government would be expected to have a role and to respond. At the same time, the development of drones is proceeding at an enormously fast pace. Will the Minister reassure us that a system of regular review will be put in place?
The serious concerns of BALPA are not limited to where we are today but look to where we might be tomorrow. We hear, for instance, about the problems with multiple use of drones, where one person controls more than one drone. The first instinct is to say, “That’s terrible, isn’t it? We really should have only one person per drone,” but let me put another scenario to the House. If someone is lost at sea, or there is an air crash, you may well want to have a swarm of drones covering a wide area. For that to be effective, you would need one central person to be in control so as to investigate what was beneath, and being observed by, a number of drones. It is not quite as simple as some people seem to imagine.
I would like the Minister to assure us that there will be a regular review, and that she will come back to the House at an appropriate time, possibly in answer to a Question, or put something in the Library, outlining the principles which could follow that review. It is no good saying that we want one every five years or every two years; we need to be able to respond fairly quickly to matters as they come up. I will certainly not be supporting a Division, as passing this clause would not take us forward at all. However, my hope is that some of the principles contained therein are the sort that should be borne in mind in developing the policies that we want to see for the effective and reasonable control of drones, commercially and privately.
My Lords, there is a real and strong disagreement within your Lordships’ House. There are those whom I would call almost the “free enterprise at all costs” people, such as the noble Lord, Lord Naseby. They would have very little and ineffective regulation of the system. Then there are those who are being cautious about the fact that this is a rapidly developing industry, while we know that some part of the industry is in the hands of the most unscrupulous people.
I do not accept the assertions of the noble Lord, Lord Naseby, that a police constable is going to interfere with people whom he knows are legitimately carrying out proper business of this sort, such as looking at bridges or buildings. These people will, or should, be registered in a separate register of those who have legitimate reasons to fly drones. Those who do not have a legitimate reason should, in many cases, be subject to the full force of the law because much of what they are doing is illegal.
The other thing is that drones can be a big nuisance factor. We will come on to that in a later amendment, when we talk about areas of outstanding natural beauty. But in her approach to this, the Minister should think about people who are legitimate drone owners—those who are licensed and registered with the CAA, and presumably the local police or enforcing authority—and those who probably should not be let near drones, and are using them for nefarious or criminal activities. However, in considering this amendment, it is important to say that this industry is developing very quickly. The thought of it proceeding on its way with a formal system of being able to review the way it is turning out, probably fairly often, seems a sensible precaution.
I will direct my comments to Amendment 14 but will listen carefully to the Minister’s response to all the points made in respect of Amendment 15.
Amendment 14, moved by the noble Baroness, Lady Randerson, would require the Secretary of State to lay before Parliament a review of legislation relating to unmanned aircraft and whether it provides sufficient protection to individuals. The amendment also sets out a number of issues to which such a review should refer but to which it should not be restricted. The review would be required to make a recommendation on whether the Government should bring forward further legislation in the light of its findings.
Unmanned aircraft—drone—technology is developing fast, and the Government need to ensure that they are proactive, not reactive, when it comes to legislating, where necessary, to reflect developments in this technology and the expansion in the use of drones in the public services, by the Armed Forces and in both the commercial and leisure sectors, as well as by those whose priority may not be operating drones safely and responsibly.
As has been said, unmanned aircraft offer great benefits to society but can also lead to significant areas of concern. Emergency services are utilising drones to save lives, and parcel and freight companies, for example, look to use drones to deliver vital medical supplies as well as day-to-day purchases. Unmanned aircraft are now used in many industries to carry out work that is potentially hazardous for human beings or can be done much more quickly or thoroughly by the use of drones. They are also used by the police, as we have seen during the current Covid-19 crisis and the associated lockdowns—an aspect to which the noble Baroness, Lady Randerson, referred.
However, there is another side, as we saw from the drone sightings at Gatwick Airport not so long ago, which resulted in flight cancellations and diversions affecting many thousands of passengers. It led, I believe, to a COBRA meeting being convened and the Army being called in, and it also highlighted the urgent need for this Bill, which nevertheless has been going through this House at a snail’s pace and still has to go through the Commons.
We have to be in a position to be sure that legislation keeps pace with developments in the increasing use, and, most importantly, potential misuse, of unmanned aircraft, as they become more sophisticated and powerful in what they can do and for how long—as well as in their range and areas of activity, not least the monitoring of civilians, and in relation to who uses them. As the noble Baroness, Lady Randerson, also said, drones are used for criminal activity as well.
There is a need to ensure that legislation continues to provide sufficient protection to individuals and that this does not get overlooked in this developing field of technology. There needs to be a mechanism for ensuring the continued adequacy and appropriateness of existing legislation, including this Bill, in a field of activity that is expanding and moving forward and will continue to do so with some rapidity.
It is not sufficient to say that legislation will be kept under review: there are so many areas nowadays, across so many departments, where the Government tell us that legislation is kept under continuous review. We need something in the Bill to ensure that, in such a fast-developing field as unmanned aircraft and the uses to which they are put, regular reviews of legislation take place, covering, but not limited to, the specific points referred to in the amendment. It is equally important that Parliament has a clear role in the review process, which is also provided for in this amendment. Amendment 14 has our support.
My Lords, I thank all noble Lords who have taken part in today’s debate. I will take each amendment in this group in turn, starting with Amendment 14, in the name of the noble Baroness, Lady Randerson, which the Government believe is neither necessary nor appropriate.
The purpose of Part 3 is to attach police powers to offences in a separate piece of legislation—the Air Navigation Order 2016—and to other offences. Therefore, this Bill is not the appropriate place for a requirement to review unmanned aircraft legislation. Furthermore, a number of reviews are already due to take place. I hope this will satisfy the noble Baroness that her amendment is not necessary.
The ANO 2016 is the legislation that currently sets out offences that are specific to unmanned aircraft. Article 275 of the ANO 2016 states that it must be reviewed every five years, and its first statutory review is due to be completed by August 2021. This review will assess the extent to which the law surrounding unmanned aircraft, in so far as it is laid down in that instrument, is operating effectively to achieve its objectives. Of course, this may well be within the noble Baroness’s six-month timeframe.
As the impact assessment for the Bill states, this legislation will be kept under continuous review to ensure that it achieves its objectives: to address the key gaps identified from the 2018 consultation on the future of drones in the UK and to improve the ability of the police to respond to UA misuse, thereby reducing the irresponsible and malicious use of UA. This is in line with the Government’s practice of keeping all UA legislation under review, regardless of whether there is a legislative requirement to do so.
Moreover, ordinarily, a five-year timeframe applies to post-implementation reviews of legislation. This is recommended in the Government’s better regulation framework and the requirements of the Small Business, Enterprise and Employment Act 2015, in relation to new measures adopted in secondary legislation regulating business and the voluntary sector. Furthermore, the Counter-Unmanned Aircraft Strategy, published in October 2019, commits the Government to continuing to develop proposals for inclusion in future legislation, so that the legal framework within which operational responders must operate does not become obsolete or hamper their ability to respond to and investigate malicious drone activity. I am very much hoping that these forthcoming reviews will reassure the noble Baroness and other noble Lords that the Government take our ability to legislate for the fast-moving world of the unmanned aircraft sector very seriously indeed, and we have work ongoing to make sure that our legislation is up to date.
The noble Baroness briefly mentioned the use of drones by the police. We have had a few conversations about this issue. It might be worth reassuring her that the police have to abide by the same laws as everybody else. Drones are incredibly helpful to police forces and can often be used in places where there is risk to life or where a helicopter might be too expensive or not as efficient. The police have to act within the same laws as everybody else and have operational procedures that overlay those laws in terms of the right way and right circumstances in which to use drones. Decisions for their use are put into place by each police force, which has clear guidance on how they are to be used.
Responsible use is of course really important—for example, on the collection and use of video footage, again, unsurprisingly, the police have to follow the same laws as everybody else. There is also a legal position on public bodies’ use of video footage that is well regulated by directed surveillance authorities. The police are responsible for ensuring that data is collected, processed and stored in accordance with the law. In terms of the safe operation of a drone, the police must do so in accordance with the Air Navigation Order 2016 and, where needed, if the operation is slightly riskier, they will have to apply to CAA for operational authorisation —as, indeed, does anyone else. If any individual has concerns about the use of drones by police, of course they can make a complaint to the police and crime commissioner or the mayor, where appropriate.
I turn to the amendment tabled by noble and gallant Lord, Lord Craig of Radley, which generated an interesting and lively discussion on permissions for commercial operators. Now that the implementing regulation is in place, there is no difference in the requirement to obtain a permission for a commercial or a recreational operator. I will call them “recreational operators” but there are all sorts of different operators. That is absolutely right, because I do not subscribe to the view that “commercial” is good and “recreational” is necessarily bad. Creating that false dichotomy is not really helpful.
It is down to risk, rather than who the person is with their hands on the control. So the implementing regulation draws no distinction between commercial and recreational flights and the ANO has already been amended to reflect that. Of course, the offences that noble Lords are discussing today relate to that ANO but do not amend the ANO itself. So the need to obtain a permission for a purely commercial operation has now been revoked—but, of course, that could be a good thing. Many commercial operators will now be very pleased, because they will not need to apply for a licence to fly a drone which a recreational operator standing right next to them could fly without a licence.
My Lords, I thank all noble Lords who have participated in this debate; it has been very interesting. I particularly thank the noble Lord, Lord Rosser, for his support, for signing the amendment and for his clear explanation of his position.
I thank the Minister for her response, but I am afraid that she has not reassured me. There has been a very interesting range of views, but the Bill is just a start. My contacts with the drone industry indicate that it believes that a modern, strong legislative framework would be helpful to the industry and not a constraint. I know of several organisations that retain very serious concerns about drones and their operation in the modern world, and about their safety and the societal impact of, for example, illegal activity.
The Minister very fully outlined the Government’s approach, saying that it is neither necessary nor appropriate to have the reviews that I suggest. She referred to the ANO 2016 and the statutory review this year, which she has referred to in previous conversations. I looked at that review, but it does not have the breadth of the one that I am calling for and is not in line with the scope of the amendment that I have tabled. I am afraid that, without a commitment from the Minister to the kind of comprehensive approach that I have in mind, I feel compelled to call a vote on this amendment.
We now come to the group beginning with Amendment 16. I remind noble Lords that Members other than the mover and Minister may speak once only and that short questions of elucidation are discouraged. Anyone wishing to press this or anything else in this group to a Division must make that clear in debate.
Clause 17: Part 3: interpretation
Amendment 16
My Lords, as noble Lords are aware, the Government made a series of amendments to the ANO 2016 by the Air Navigation (Amendment) Order 2020, which came into force on 31 December 2020. Those amendments were mainly necessary because implementing regulation 2019/947, or the IR, became applicable on 31 December 2020.
The IR was retained in UK law on 31 December 2020 and establishes a framework for the operation of unmanned aircraft to ensure that they are used safely. This includes requirements relating to registration, competency testing, authorisations for higher-risk flights, as well as provision for the creation of geographical zones in which UA use is restricted.
As the IR makes provision for some of the same subject matter as the previous requirements relating to small unmanned aircraft in the ANO, it was necessary to make amendments to the ANO, including removing provisions, to ensure that the two sets of legislative provisions interact correctly, without duplication or contradiction. The amendments to the ANO also create offences for breaches of the requirements of the IR. Those amendments mean that many of the references within the Bill to articles of the ANO, and therefore offences, are now out of date. It is therefore necessary to amend them to ensure that the powers in the Bill continue to function. This and other government amendments to Part 3 do not change the policy intention of the Bill.
The government amendment to Clause 17 is simple and technical. It ensures that the Bill refers to the end of the transition period by changing “exit day” to “IP completion day”, which means the implementation completion date.
Clause 18 deals with regulations made under this Act, and the government amendment to it is consequential to one of the amendments to Schedule 11. The amendment specifies which regulations made under Schedule 11 will be subject to the affirmative resolution procedure. The current draft of the Bill lists regulations under paragraph 4 of Schedule 11. However, paragraph 4 is removed by an amendment to Schedule 11 and the regulation-making power is set out in paragraph 1 of Schedule 11 instead.
I turn to the government amendments to Schedule 8. This Schedule gives the police the powers to require a UA to be grounded and, in certain circumstances, to stop and search persons and vehicles and to enter and search premises under warrant.
Schedule 8 also amends Section 93 of the Police Act 1997, so that counter-UA measures that involve interference with property or wireless telegraphy can be authorised, and so that the use of these measures in relation to the Civil Nuclear Constabulary and custodial institutions can be authorised within those organisations and bodies.
The amendments to Schedule 8 remove the incorrect references to offences and replace them with references to the closest equivalents and offences relating to requirements of the IR of a similar nature among the new corresponding offences in the ANO. For example, once amended, Schedule 8 will enable a police constable to stop and search a UAS operator or remote pilot who may not be complying with specific aspects of the IR’s risk-based operational framework—one example would be failing to obtain an operational authorisation to fly outside of the “open category”.
The list of offences to which the amendment to Section 93 of the Police Act 1997 applies has also been amended to include, for example, offences relating to the contravention of specified requirements in the IR. As with the other powers in this schedule, the offences to which the amendment to the Police Act will apply are only those that could constitute a serious safety or security risk if, for example, committed near certain sites, such as prisons. Without these amendments, the ability to protect the public, our critical national infrastructure and prisons from unlawful behaviour involving the use of unmanned aircraft would be limited.
I now turn to the amendments to Schedule 9. The purpose of Schedule 9 is to enable constables to obtain information from UAS operators or remote pilots about the lawful basis of a UA flight, for those flights that require a prior step to be lawful; for example, by registering or obtaining a permission. It is necessary to amend the powers in this schedule in light of the ANO amendment, including the circumstances in which the powers can be exercised. Under the IR, there is a wider range of circumstances in which a UAS operator must register, more gradations in levels of remote pilot competency and a number of new ways in which the CAA might grant its consent for a UAS operator to undertake higher-risk operations. It has therefore been necessary to substitute the schedule entirely. However, the policy intention of the schedule remains the same.
The Government consider that the powers in Schedule 9 need to be exercisable where a constable has reasonable grounds for suspecting, rather than believing, that a particular requirement applies. We believe this is necessary to ensure the purpose of the provisions is not defeated as the rules in the IR are more complex. It is necessary to amend some of the terminology to reflect the scope of the IR and the related terminology. The terms “small unmanned aircraft” and “SUA operator” are no longer used in the ANO, which now refers to “unmanned aircraft” and “UAS operator”. The Bill now refers to “relevant consent” to encompass the broader range of approvals, such as permissions, operational authorisations and certifications, that can now be issued by the CAA.
Schedule 9 is amended so that the powers that the police have in relation to the registration and competency requirements and related offences apply to the new registration and competency offences in the ANO and to the requirements for tethered small UA that the ANO amendment introduced. This means that, in the context of registration and competency, the police can still require a remote pilot to provide evidence of competency and give certain information about the operator, while a UAS operator can be required to provide evidence of registration and give information about the remote pilot.
The amendment also includes a power for the Secretary of State to make regulations setting out additional types of information and evidence which a constable could require a remote pilot or UAS operator to produce provided that the constable considered it would be reasonable to do so. Schedule 9 is also amended so that the powers that the police have in relation to provision of evidence of relevant consents for certain flights also apply to the new offences brought in by the ANO amendment. For example, the requirement to have an operational authorisation when flying in the specific category.
The power for a constable to inspect a UA has also been amended. The power, if enacted, would previously have been able to be used to ascertain whether registration and competency requirements were applicable to that particular flight and whether the UA had the UAS operator’s registration number displayed on it. Under the proposed amendment, a constable would be able to inspect a UA to ascertain whether any of the other powers in Schedule 9 were exercisable. This will still include circumstances where it is necessary to gain a more accurate assessment of the aircraft’s mass or to see whether the UAS operator’s registration number is displayed. It will now also include, for example, circumstances where a constable needs to check the class marking of a UA. EU Delegated Regulation 2019/945 requires UA put on the market from 1 January 2023 to meet certain product standards and bear markings that indicate which class the aircraft is in. This will, in time, assist a constable to ascertain whether the operation that has been undertaken using the aircraft was permitted under a particular category or subcategory of operation of the IR and to determine whether any further investigation is necessary or whether an offence has been committed.
I once again reassure noble Lords that the amendments to Schedule 9 are essential to ensure it functions as intended in light of the changes flowing from the IR becoming applicable and the changes made to the ANO by the ANO amendment.
Schedule 10 makes provision about fixed penalties for certain offences relating to UA. A minor and technical amendment has been made to paragraph 2(3) of Schedule 10 to change where the new provision created by that paragraph will appear in the ANO. This is necessary because the recent ANO amendment has added more provisions after Article 265 of the ANO.
Finally, Schedule 11 currently contains powers that allow for amendments to Schedule 8 and to Section 13 and Schedule 9 to the Bill—once it is an Act—in light of changes to the ANO, the creation of a new ANO or regulations made under the Act to provide for offences relating to EU-derived legislation. This means that the police powers in this Bill can be used to enforce any new unmanned aircraft offences brought in by any of the above.
I am speaking to this general set of amendments, but I want to speak particularly on disabled safety features on drones. The Bill should make it illegal to fly a drone if any safety features are inoperable or have been disabled. My noble friend Lord Whitty tabled an amendment to this effect in Committee. The Minister’s assurance then was that the safety feature that could be referred to would be electronic conspicuity, the disabling of which would be covered under other provisions. That, we believe, is not the case. Lights, geo-awareness and geo-fencing, software functions that limit altitude, remote ID and various redundancy measures could all be covered under this provision. There are technical requirements for certain systems whereby the user cannot modify them—for example, data associated with remote ID. However, this does not protect against deliberate hacking or intentional disabling of systems. A provision that makes these acts illegal is therefore relevant.
BALPA has engaged directly with staff at the DfT on this point and we are grateful to the Minister’s officials for doing so. We note that the Government believe that sufficient safeguards are already available in the Air Navigation Order to cover this matter, but, overall, we still believe that a specific and separate offence should be created in the Bill. I make these points for the Minister to take on board, as it is highly likely that this sensible and proportionate amendment may be urged when the matter is considered in the other place. I hope the Minister can take this back to the department and reflect on it as the Bill proceeds further.
My Lords, I start by congratulating the Minister on her spirited 12-minute speech, which covered all these amendments.
In the heady days of the 1960s, I went to university for three years. Her Majesty was good enough to teach me to fly in the Royal Air Force. At university, I ran the college bar and happened to get a maths degree. It was useful training, which led me into an airline career. Running the college bar gave me first-hand experience in line management, and I am afraid that the only effect of the maths degree was to make me even more pedantic than I was naturally.
Accordingly, when the Minister was kind enough to send a letter setting out these amendments and where they were, I read it and alighted on some of the words used. She wrote to clarify that these were “largely” technical changes, saying that it is important to note that these amendments, if accepted, will not change the policy intention of the Bill and are, “in most cases”, just making minor but essential changes. Either the words are careless, and the changes are wholly technical—though I believe that there is no such thing in most cases—or some of these amendments are not technical in nature. In her response, can the Minister tell me which of these many amendments is not a technical change but has some substance? Or can she assure me that the words “largely” and “in most cases” should have been omitted from her letter and that all the changes are technical?
I ask for this assurance because we do not have the resources to work through such a large number of amendments. We made an attempt—and I commend our adviser, Ben, who worked through them. He could not find anything that was not minor and technical, but I would value the Minister enlightening me and satisfying my pedantic approach.
My Lords, like the noble Lord, Lord Tunnicliffe, I have grappled with all these amendments. I wondered whether what seemed minor and technical to me might seem very significant to someone working in the industry. I thank the Minister and her officials for their thorough briefings. However, this all shines a light on the unsatisfactory situation with this Bill—a major tranche of amendments has been produced because of the time that has elapsed.
I support the points made by the noble Lord, Lord Balfe. They underline the need for a much more comprehensive approach and review. Although my amendment was narrowly lost, I hope the Minister will bear in mind the points I have made and the need to look more comprehensively at this in the near future.
As the noble Lord, Lord Balfe, said, as ever, the views of BALPA must hold great weight. It is important that safety is at the forefront of our minds, on all these issues. But because this is a diverse, complex and fast-changing subject, only people actually working in the industry are able to spot the problems when they first appear.
I agree with the noble Lord, Lord Tunnicliffe. I cannot see anything here which is not detailed and technical. Therefore, I have no objections to the amendments.
I thank noble Lords for their short interventions on this debate. Turning first to the comments of my noble friend Lord Balfe, I will, of course, take them back to the department and consider them further.
Turning to the points made by the noble Lord, Lord Tunnicliffe—I see his maths degree and I raise him an engineering degree. And I am the ultimate pedant. However, what is minor and technical to one person is not minor and technical to another; indeed, that was pointed out by the noble Baroness, Lady Randerson. When it comes to my letter to him, where I said “in most cases” and “largely”, I think I was just trying to cover my bases. The reality is that they are minor and technical. Where they are slightly not minor and technical—perhaps a bit borderline—I tried to bring that out in my 12-minute speech, particularly where there have been changes. For example, the implementing regulation has introduced some changes from the status quo ante; it is a slightly different regime. I suppose that, although they are technical amendments to make it all match up, perhaps they may be on the large end of minor. But I reassure him that I too have found nothing that I could not describe as minor or technical and, on that basis, I commend the amendment to the House.
We now come to the group consisting of Amendment 17. I remind noble Lords that Members other than the mover and the Minister may speak only once and that short questions of elucidation are discouraged. Anyone wishing to press this amendment to a Division must make that clear in debate.
Amendment 17
My Lords, I start by apologising to noble Lords and my noble friend the Minister, as I was unable to take part at Second Reading or in Committee. I have, of course, read the Hansard reports of both previous stages.
In moving Amendment 17, standing in my name, let me say at the outset that I do not intend to press this amendment to a Division, and I can see the potential problems if my amendment was actually inserted into the Bill. Nevertheless, I feel the issue merits a short debate.
Aircraft noise caused by low-flying aircraft, particularly if it is frequent, is a major disruption, and, indeed, can be a health issue. Those who live near airports and aerodromes get used to it—not that they can ever ignore it. However, my concern, one that is shared by many who enjoy the pleasures and tranquillity of our national parks and areas of outstanding natural beauty, is that, from time to time, that very peace and quiet is shattered by excessive aircraft noise. This amendment would prohibit civil aviation aircraft flying below 7,000 feet over landscapes designated as national parks or areas of outstanding natural beauty, except for any civil aviation aircraft landing at or taking off from civil airports or airfields and civil aviation aircraft flying below 7,000 feet for safety reasons. I have chosen 7,000 feet because that is the point at which noise is considered by the CAA to be a pertinent consideration when designing flight paths.
My honourable friend Mr Philip Dunne, the chair of the Environmental Audit Select Committee in the other place, has taken a keen interest in this matter and has asked several Parliamentary Questions exploring the issue. In March last year, he asked
“what provisions are included in the Air Traffic Management and Unmanned Aircraft Bill … to protect national parks and AONBs from aircraft noise.”
In reply, my honourable friend the Minister, Kelly Tolhurst, said:
“The Bill gives the Secretary of State the power to direct an airport, air navigation service provider or another body to take forward an airspace change that is considered necessary for the delivery of the Civil Aviation Authority’s … Airspace Modernisation Strategy.
Any Airspace Change Proposals that are taken forward as a result will be covered by the department’s existing Air Navigation Guidance which is reflected in the CAA’s airspace change process. The guidance for this process states that, where practicable, it is desirable that airspace routes below 7,000 feet should seek to avoid flying over Areas of Outstanding Natural Beauty … and National Parks.”
That Answer states “where practicable” and “it is desirable”, but I am afraid that that sounds a little weak to me.
I am very glad that the noble Lord, Lord Randall, has raised this matter, because it is of considerable concern to many people—those who enjoy areas of outstanding natural beauty and, for example, those who run the National Trust. I, too, would like to know what sanctions are available to people who own such areas of land if it becomes apparent that aircraft are not keeping to the guidance provided by the various air traffic orders.
Therefore, I intervene simply to second what the noble Lord, Lord Randall, has said. I believe that the mechanisms are there, but what I really want to know is what happens if the rules are not obeyed and what can be done about it.
My Lords, I welcome the raising of this fresh issue. I have had representations from residents in Shropshire about a sudden unexplained increase in aircraft noise in their area. In this case the noise was undoubtedly caused by civilian flights. People who suddenly find themselves underneath flights by the Air Force and the military often understand the need for those, but they may be more concerned about civilian commercial flights.
Even the local councillors could not find the cause. They could not discover where the flights were coming from, or why there had been a sudden increase. Was a new airline operating from a nearby airport? Were the schedules, or the destinations, different? They could not find the answer, and then along came the pandemic, and there was no longer a problem. However, that does not mean that the problem has disappeared for ever, or that it will not be back in the reasonably near future.
Even if that problem does not return in Shropshire, that would not undermine the important principle behind the amendment. I thank the noble Lord, Lord Randall, for tabling it. Areas of outstanding natural beauty and national parks are subject to numerous protections in terms of planning, the natural environment, and the agriculture that can take place within them, but, as I understand it, there is no protection from aircraft noise.
The Bill threatens to make the present vulnerability of such places worse, because airports will now be required to surrender their spare airspace. There might be an airport very close to an AONB but not operating over it simply because there is no commercial incentive to use that route. But now airports are to be asked to give up their spare airspace for use by general aviation, which means that our skies will be even more crowded.
This is an interesting development, at a time when the Government are keen to burnish their environmental credentials. I recommend that they look into this and see whether they can use their new powers to deal with the problem of noise. I urge the Minister to take seriously the suggestion in the amendment that flights below 7,000 feet should be controlled, and allowed only in certain situations.
I thank the noble Lord, Lord Randall, for his amendment, which, as he said, provides us with an opportunity to debate aircraft noise. I am sure that in her response, the Minister will set out the Government’s position on that. I certainly would not claim to know what all their objectives are on aircraft noise, but I do remember one, although it is unrelated to the specific issue covered in the amendment.
Following the 2017 public consultation on Heathrow, Gatwick and Stansted, the Government said that their objective was to
“limit or reduce the number of people significantly affected by aircraft noise at night, including through encouraging the use of quieter aircraft, while maintaining the existing benefits of night flights.”
As we are discussing aircraft noise, it might be interesting if the Minister could provide some information on the specific certifiable progress that has already been made towards achieving that stated government objective, and what specific further objectives and targets the Government have set themselves for the next three years so as to deliver on the objective to which I referred.
On the specific issue raised in this amendment, I am sure that a great many people who visit national parks and areas of outstanding natural beauty have, at times, been conscious of aircraft flying low overhead. An interesting point was made by the noble Baroness, Lady Randerson, about all the other types of protection that already exist for national parks and areas of outstanding natural beauty. In that context, she asked why the goal and objective set out in the amendment of the noble Lord, Lord Randall of Uxbridge, might not also offer a further protection, in view of how aircraft noise can, at times, diminish the enjoyment that people expect when visiting national parks and areas of outstanding natural beauty. The amendment refers specifically to civil aircraft, but presumably there could be an issue with military aircraft in this context as well.
I support the basic objectives that the noble Lord, Lord Randall of Uxbridge, seeks with his amendment. I hope that, when the Minister responds, she will set out the Government’s thinking on aircraft noise, not least on the specific circumstances covered by this amendment and the goals, objectives and targets that the Government have set in this regard.
My Lords, I thank my noble friend Lord Randall for tabling this amendment. When we debated this in Committee, noise did not particularly come up. I hope that one of the benefits of airspace modernisation is noise reducing. I am unable to set out in full the Government’s position on noise at airports; if there are any detailed questions, I will write.
However, I want to address the points made and the issues relevant to the amendment put down by my noble friend Lord Randall. He is absolutely right, and he read out lots of responses from the Aviation Minister to questions on airspace change proposals, which are covered by the air navigation guidance. Indeed, the guidance states that
“where practicable, it is desirable that airspace routes below 7,000 feet should seek to avoid flying over Areas of Outstanding Natural Beauty (AONB) and National Parks”.
There was a question about sanctions. Obviously, some airports have no option but to send flights over AONBs and national parks. For example, Gatwick is surrounded by them. We are lucky in our country, in that there are a significant number of these things and they are wonderful, but it is simply not possible for them not to be overflown. One might narrow it down to those operating below 7,000 feet, but nearly all commercial aircraft operating below 7,000 feet are taking off or landing. Again, with airspace change proposals, we expect to see the trajectory of both landing and taking off become steeper, which will again reduce noise and limit their impact.
The amendment is unlikely to have a significant impact on the volume of such flights because they are taking off and landing, but it would have a significant impact on general aviation, which would be unable to overfly vast swathes of the UK. Noble Lords will have heard today support for general aviation in government and parts of your Lordships’ House. There is lots to consider about this. It does not mean that the Government want AONBs and national parks to be overflown; we certainly do not. We expect everybody to behave sensibly when flying over such parks.
My Lords, I thank other noble Lords for joining in on this short but important debate: the noble Lord, Lord Bradshaw, the noble Baroness, Lady Randerson, and the noble Lord, Lord Rosser.
The noble Baroness, Lady Randerson, hit on the point that has not, perhaps, been completely answered by my noble friend, which is that there has seemingly been a change in overflying at lower heights. It is something that people notice. I live near Heathrow. We do not get much overflying, but we did notice last year, before the pandemic, that there seemed to be a change in patterns. My amendment would have tried to stop not overflying per se but flying below 7,000 feet.
My other concern is the fact that there is no way of registering such low flying and no sanctions that can be applied to an aeroplane that, for whatever reason, flies lower than it should. Clearly, there might be a safety issue or whatever, and I also take the point about take-off and landing, but I do not think that those are the cases that people complain about.
Having listened to the previous debate, as someone with a degree in Serbo-Croat I do not think that I could match the academic qualities of my noble friend, and I would certainly not dream of teaching her to suck eggs. I suggest, however, that when this goes to the other place there will be Members there whose constituents will contact them, and those Members may want answers to some of those questions. I say that as someone who knows that this is the sort of thing that really gets constituents going.
I will leave it at that. I am grateful for my noble friend’s answer. It was not quite as full as I had hoped for, but I am never really disappointed by her answers. I beg leave to withdraw the amendment.
We now come to the group consisting of Amendment 22. I remind noble Lords that Members other than the mover and the Minister may speak only once and that short questions of elucidation are discouraged. Anyone wishing to press this Amendment to a Division must make that clear in the debate.
Schedule 8: General police powers and prison powers relating to unmanned aircraft
Amendment 22
My Lords, Amendment 22, in simple terms, allows an appropriate authority to destroy a drone. The Minister has been kind enough to debate this at some length and wrote me a letter on 11 January setting out three points. First, legally, the power to destroy a UA already exists. Secondly, operationally, destroying a UA is not generally desirable. Thirdly, existing technology is such that destroying a UA is often unnecessary. I am not being pedantic here, but the words in the last two points, particularly, are of a partial kind. The Minister does not really need to debate reasons two and three with me. When it comes to the third, I know that “existing technology is such that destroying a UA is often unnecessary”, but it may be necessary. I accept that, “operationally, destroying a UA is not generally desirable”, as all sorts of second-order effects would have to be taken into account. Nevertheless, the only point I wish to debate is that, “legally, the power to destroy a UA already exists”. In her response, I would like the Minister to convince me of that.
I am aware, through my previous responsibilities, of the impact that can be made with two kilos of Semtex. The potential for a determined terrorist to use a UA for malicious terrorism is real. Such a terrorist coming from a sophisticated organisation would, of course, not have a drone with all the protective devices that a commercially applied drone has. The Gatwick incident showed that the police were then powerless, probably for technical reasons, to stop massive disruption taking place by the use of a drone. It seems to me that if a serious terrorist-like incident were developing, one would want a clear power for the authorities to destroy a drone. The burden rests with the Minister to convince us that the powers that exist are genuinely sufficient to make sure that the authorities, in appropriate circumstances, could destroy a drone in the interests of safety and limiting damage or massive destruction. I beg to move.
My Lords, I will not detain the House for long, but this is my application to join the pedants’ club, which was advertised somewhat earlier.
The amendment says
“insert ‘destroy the aircraft or’”.
The clause would then read:
“The constable may destroy the aircraft or require a person to ground the aircraft”.
I thought that this was a sort of “Derbyshire Constabulary amendment”, where they go chasing round after people—a constable cannot destroy an aircraft. What would we have? Would we have Derbyshire police with a popgun? I am afraid that it just will not work.
I can see what is meant but I can also see that we need to think this through a bit more thoroughly, particularly the attendant risks that might arise. The power conveyed in this Act could almost certainly be incompatible with the European Convention on Human Rights. I speak as a long-standing alternate member of the Council of Europe, and, indeed, as someone who was for some time a chair of its committee on implementation of judgments of the court. Even if the wording were sound, I am not sure that the principle is. You would need a proper judicial process in order to destroy a drone, and you would not be able to do it as an either/or—we will either destroy the drone or make you land it and then we will talk to you. I suggest that the amendment is well meaning but, unfortunately, defective.
My Lords, destroying a drone or an unmanned aircraft is a vital mechanism, particularly for dealing with terrorism. The incident at Gatwick at the end of 2019 illustrated for us all that dealing with an intruder drone is a highly complex issue. I invite noble Lords to think back to that and to the discussions that took place in the media, and, much more importantly, behind the scenes, on exactly how to deal with a drone that was causing millions of pounds of economic damage. It was damaging the economy and causing huge individual damage to those unable to fly, yet people were paralysed into inactivity, not least because there was a lack of certainty about powers. There was also a lack of certainty about the ability to destroy the drone effectively and the safety of doing it. All those things were being taken into account.
However, there would be circumstances where destroying a drone would be the simple and clear answer to a threat. I welcome this as an interesting, probing amendment. Like the noble Lord, Lord Tunnicliffe, I shall listen carefully to the Minister.
Going back to the Gatwick situation, I remind noble Lords that days were spent deciding how to deal with that drone. To this day, we do not know who was flying it. Therefore, the situation was never satisfactorily resolved.
I thank the noble Lord, Lord Tunnicliffe, for his amendment, which gives the police the power to destroy a UA if they have reasonable grounds for suspecting that it has been, or is likely to be, used in the commission of an offence. We have had many a thought-provoking discussion on this, both inside and outside the Chamber. If he will forgive me, I will set out the Government’s stall in full, even though I am aware that he accepts two of the arguments that I am about to put forward.
While I understand the intention behind this amendment, it is critical that all powers in this Bill are necessary and proportionate, and we have worked very hard with the Home Office and the police to ensure that this is the case. Our aspiration for this Bill has always been to ensure that we provide the police with the powers necessary to effectively respond to UA incidents, while ensuring that we do not inadvertently discourage positive UA use in the UK.
I will set out the three key reasons as to why the Government are of the view that this amendment is not required. First—I think that this is the point that the noble Lord needs to be convinced on—from a legal standpoint, the powers to destroy a UA already exist. Section 3 of the Criminal Law Act 1967—the CLA—allows the reasonable use of force in the prevention of crime. This is not police-specific legislation, but it is legislation that the police can, and do, rely on in circumstances where force is required. It would allow a police officer to destroy a UA in extremis if it were deemed necessary, subject to risk assessments.
The powers in this Bill must be necessary and proportionate, and the police assess that Section 3 of the CLA 1967 is sufficient and proportionate in the case of a UA, in line with other areas of policing. This legislation is used for other aspects of policing that require force in the prevention of crime, such as the use of police batons. Therefore, there is no legal requirement to provide for this power in the Bill. Indeed, doing so would set an unusual precedent: why would we specify a drone and not anything else? This could be taken to undermine reliance on the CLA 1967 in other areas.
Secondly, destroying a UA is not generally operationally desirable because there is a need to maintain presentable evidence as part of a police investigation and any subsequent court proceedings. Destroying a UA could render digital and forensic examinations impossible, potentially compromising an investigation.
Thirdly, existing technology is such that destroying a UA is also often unnecessary. The Government’s counter-unmanned aircraft strategy committed to the creation of a new national police counter-unmanned aircraft capability in the UK. This capability makes use of technology that is more sophisticated and does not by necessity result in the destruction of the UA. It relies on defeat countermeasures, known as “effectors” or “jammers”, which have a number of impacts on the UA, such as causing it to return home, landing it or forcing it to hover—the specific outcome depends on the UA programming. These effectors defeat the UA and prevent whatever malicious action it was going to take in a way that is more proportionate, easier for the operator to use and less likely to cause unwarranted collateral damage than the use of technology that destroys the UA.
The noble Lord previously raised a concern that the Bill and the package of related counter-UA measures we are taking would not be impactful in a high-threat UA incident. I will now set out why I believe that the Bill, alongside these other measures, would have sufficient impact. First, our operating procedures across a range of critical national infrastructure sites, such as airports and other key sites such as prisons, are constantly evolving and have significantly improved since the Gatwick 2018 drone incursion. This allows for a faster, more effective response by both the site and the police. The Bill supplements this as it extends the range of public authorities that can be given authorisations to make lawful the use of jamming equipment to counter UA.
Secondly, as I mentioned, the police have new capabilities and counter-UA measures available to them, which provide a step change in our ability to respond to UA incidents, compared to Gatwick 2018. The Bill supplements this by providing the necessary powers for the police to use this capability to its fullest extent.
Thirdly, if an incident occurs that cannot be stopped by either our operating procedures or our police capability, we can use Section 3 of the CLA 1967 to use necessary reasonable force to stop or, where absolutely necessary and proportionate, damage or even destroy the UA.
I hope that, based on the reassurances I have given, noble Lords will be satisfied that this Bill provides the police with sufficient powers to deal with UA offences, and that there are existing powers in law under which the destruction of a UA is, and can be, justified, where it is absolutely necessary in the circumstances. Therefore, I hope that the noble Lord, Lord Tunnicliffe, will feel able to withdraw his amendment.
My Lords, I listened to that explanation and remain unconvinced that it will not cause significant delay in what would be a fast-moving event and that the police or other appropriate authority would not, in fact, be more effective if they had the power to destroy a drone in a serious emergency situation. However, I have a difficult problem in pressing this any further in that the Minister arranged a meeting with senior Home Office and police people who said that they did not want the power, and if they are not attracted to having it, it would be unreasonable of me to press this further, having failed to convince the Government.
Before I finish, I note that we have done Report in three hours and 30 minutes. An observer of our normal proceedings might say that we have not taken this Bill seriously. In fact, we have taken it very seriously, and I commend the Minister and her people for the enormous amount of time, effort and letter writing they have put in to responding to the many questions and concerns we have put to them. Accordingly, I can assure society in general and anybody watching this event that opposition scrutiny and, as far as I can tell, Liberal Democrat scrutiny of the Bill have been very thorough indeed and very efficiently handled by the Minister and her people, and I thank her for that. I beg leave to withdraw the amendment.