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(3 years, 7 months ago)
Public Bill CommitteesWe are now sitting in public and the proceedings are being broadcast. Before we begin, I have a few preliminary announcements. Members will understand the need to respect social distancing guidance. In line with the Commission’s decisions, face coverings should be worn in Committee unless Members are speaking or medically exempt. Hansard colleagues would be grateful if Members could email their speaking notes to hansardnotes@parliament.uk. Please switch electronic devices to silent; teas and coffees are not allowed during sittings.
We now begin line-by-line consideration of the Bill. The selection list for today’s sitting is available in the room and shows how the selected amendments have been grouped together for debate. Amendments grouped together are generally on the same or similar issues. Please note that decisions on amendments do not take place in the order in which they are debated but in the order that they appear on the amendment paper. The selection list shows the order of debates. Decisions on each amendment are taken when we come to the clause to which the amendment relates. A Member who has put their name to the leading amendment in a group is called first; other Members are then free to catch my eye to speak to all or any of the amendments within that group. A Member may speak more than once in a single debate.
At the end of the debate on a group of amendments, or new clauses and schedules, I shall again call the Member who moved the leading amendment or new clause. Before they sit down, they will need to indicate whether they wish to withdraw the amendment or new clause, or seek a decision. If any Member wishes to press to a vote any other amendment in a group, including grouped new clauses and schedules, they need to let me know. I shall use my discretion to decide whether to allow a separate stand part debate on individual clauses and schedules following the debate on the relevant amendments.
Clause 1
Establishment of ARIA
I beg to move amendment 2, in clause 1, page 1, line 3, leave out
“Advanced Research and Invention Agency”
and insert
“Advanced Research and Engineering Projects Agency”.
This amendment would modify the name of the Advanced Research and Invention Agency to the Advanced Research and Engineering Projects Agency.
With this it will be convenient to discuss the following:
Amendment 3, in clause 1, page 1, line 5, leave out “ARIA” and insert “AREPA”.
This amendment would reflect a modification to the name of the Advanced Research and Invention Agency to the Advanced Research and Engineering Projects Agency.
Amendment 4, in clause 1, page 1, line 6, leave out “ARIA” and insert “AREPA”.
This amendment would reflect a modification to the name of the Advanced Research and Invention Agency to the Advanced Research and Engineering Projects Agency.
Amendment 26, in clause 15, page 5, line 35, leave out
“Advanced Research and Invention Agency”
and insert
“Advanced Research and Engineering Projects Agency”.
This amendment will modify the ARIA short title.
Amendment 1, title, line 1, leave out
“Advanced Research and Invention Agency”
and insert
“Advanced Research and Engineering Projects Agency”.
This amendment would modify the long title of the Bill to reflect a change to the name of the Advanced Research and Invention Agency to the Advanced Research and Engineering Projects Agency.
It is a pleasure to serve with you in the Chair, Ms McVey. I look forward to a fascinating discussion about a very important set of issues. Let me start by apologising on behalf of the shadow Minister, my hon. Friend the Member for Newcastle upon Tyne Central, who is delayed this morning but will be joining us in an hour or so. I have the pleasure of opening this morning’s sitting. I thank those who set up last week’s evidence sessions. I have sat on a number of Bill Committees in my short time in Parliament, and I have to say that I think it was the most informative evidence session that I have come across. I hope we all learned something from it—I certainly did.
The evidence session led directly to the first set of amendments. David Cleevely suggested this idea, in fact, and I remind the Committee of what he said in his observations:
“All the examples given of contributions that make a difference have all been, it strikes me, about engineering, so I suggest that we rename this the ‘Advanced Research and Engineering Agency’. To be honest, ‘invention’ strikes me a bit like something in the 1950s, with somebody emerging from a shed with a gadget that has just blown their hair off”—
a bit like my hair this morning. He continued:
“Peter Highnam pointed out ‘projects’, so we might actually consider it to be the ‘Advanced Research and Engineering Projects Agency’.”––[Official Report, Advanced Research and Invention Agency Public Bill Committee, 14 April 2021; c. 74, Q76.]
That is a really important point. I suspect that much of the discussion today and in successive sittings will really be about the finer points of setting up an organisation, and will be relatively dry. Amendment 2 goes to the heart of what the agency is actually about and its whole purpose.
I very much hope that we will get wide engagement from all members of the Committee. I know that Government Whips are sometimes inclined to suggest that Government Members should hold their fire, but we have lots of expertise here today, and I think we are all trying to get the best outcome, so I hope people will feel that they can contribute.
One thing that struck me about the evidence session was just how many witnesses highlighted the need for greater clarity about the purpose of the agency. Professor Wilsdon put it very well when he said:
“I think that trying to bring more clarity, or at least a sense of how this issue will be addressed through the governance of this new thing, is really important.”
He warned:
“Otherwise, you or your successors, and we or our successors, will be back here in a few years’ time, asking ourselves why it did not work.”––[Official Report, Advanced Research and Invention Agency Public Bill Committee, 14 April 2021; c. 23, Q19.]
Commentary and observations from the outside world say the same thing. The Government may have a view, and I hope the Minister will take the opportunity to clarify it. Our concern is that the Bill lacks clarity.
I found the evidence session very helpful, particularly because I started with a bit of prejudice: I thought I would struggle with anything that had been promoted by Dominic Cummings. I am not a grudgey sort of person—I do not bear a grudge. Actually, I do bear more than 65 million grudges on behalf of every man, woman and child in the country who was outraged by his behaviour this time last year, without going into what happened before that. It was disappointing that he did not choose to make himself available for our evidence session, because this is clearly a project associated with and driven by him. Perhaps that was for the best, though, because it makes it less about him and more about the future of research and development in our country.
The proposed name change came out of the evidence that he gave to the Select Committee on Science and Technology, which I watched. As one often does late in the evening, I was scrolling through the TV channels and suddenly I found hon. Members interviewing Dominic Cummings on the TV. Usually, I would move on to the football, but there was something extraordinarily engaging about that hour-long session. It seemed meandering and self-indulgent, and it revealed his loathing and hatred for everything in the world, particularly bureaucracy: whether it be Brussels bureaucracy, the blob or the way in which research and development work in this country, everything is designed to stop the process of invention emerging.
We all want it to be easier to do things. None of us wants bureaucracy, but most of us understand why it is there—there is a reason for it. Of course, we have to fight against it, but particularly in the last week or two it has become strikingly obvious why we need it: to make sure we do not leave ourselves open to cronyism and the abuse of public money. Over the years, all politicians have felt just how frustrating democracy can sometimes be. Would it not be so much better if just a few of us—a few blokes, probably—could just get together with Dominic and run the country? Would that not be so much better? We have seen examples of that through history and in other places. Without going back to cliches, there is a reason why we stick with democracy: it is better than all the other difficult systems.
I was struck by Mr Cummings’s constant invocation of the way things have been discovered in the past. He has talked frequently of the Laboratory of Molecular Biology in Cambridge, which is very dear to me. For those who come to Cambridge on the train from London, although there are many striking buildings outside Cambridge, it is particularly iconic building. It is not just a building, though; hugely important work goes on in it. Scientists from across the world, particularly Europe, are doing fantastic work. They have won a disproportionate number of Nobel prizes over the years.
Mr Cummings’s view was to hark back to the starting point, when there were some fantastic breakthroughs in a shed on the site of the old Addenbrooke’s Hospital. He almost seemed to think that they needed to be in the shed to get the breakthroughs. He was harking back to a very different world—perhaps the world that he wants us to be, back in the 1950s. That is not the world we are in now. That is the crunch with the name change.
What is in a name? In this case, a great deal. The word “invention” in the current title is useful to create a cheery acronym—I will come back to that—but actually it points to completely the wrong approach. As David said, it is bit like something from the 1950s, when someone emerges from a shed with a gadget that has blown their hair off. It is a sepia-tinged view of innovation: “The great breakthroughs were achieved against the odds, largely by blokes in sheds.” Well, perhaps they were, but that was then and this is now, and all the other witnesses painted a very different picture of how innovation happens.
Tabitha Goldstaub was particularly clear. She told us:
“I worry also about the lone genius model. We are well beyond individual success being seen like that. This is all about community. One of the things I have heard time and again is that people do not want to be funded as individuals but as groups of people. It is a community that would come together around a programme manager that is really important.”––[Official Report, Advanced Research and Invention Agency Public Bill Committee, 14 April 2021; c. 54, Q52.]
That was the real force of the evidence from those who know best—those who have been doing this in America. The session with the people from the Defense Advanced Research Projects Agency was particularly powerful. DARPA does not have invention in its title and there is a good reason for that: it is not what it does.
Dr Highnam was particularly clear:
“DARPA: defence and national security. Clear mission; clear scope in which to work. Of the ARPA-like entities around that I am aware of, the only one that very closely follows the DARPA model would be the Intelligence Advanced Research Projects Activity in the US intelligence community. When you change what I would regard as the key elements—ephemeral or temporary people, project based, and no fixed assets—that have made DARPA nimble and forward leaning for 63 years now, you get something else.”––[Official Report, Advanced Research and Invention Agency Public Bill Committee, 14 April 2021; c. 43, Q37.]
Note that he said “project based”—it is about projects, which is why that is in our amendment. It is a much more accurate description of what the agency should be about.
Dr Highnam said more, and this is probably more significant:
“The p in DARPA stands for ‘projects’, which is critical for a place like DARPA. We are not doing technology area x or y just because, and we do not do it for the long term. We have projects that are well defined at the beginning. A case has to be made. They are monitored, they have metrics and all manner of independent evaluation associated with them before we go out to find the best teams we can to participate and to be funded to work on that research. Then that project ends.”––[Official Report, Advanced Research and Invention Agency Public Bill Committee, 14 April 2021; c. 40, Q34.]
He could not have been clearer—that is what makes it work.
If we contrast that clarity with the Bill, we see that the evidence sessions clearly revealed the muddle in Government thinking, as a succession of witnesses tried to get their heads around what this agency is for. It is certainly not clear in the Bill. As it stands, without amendment 2 the muddle over what the agency does remains unresolved, which inevitably means a muddle over money and resources, because while managing projects does not necessarily require a big spend, invention is quite another matter. The name change links to that vexed question of whether it is new money.
When Dame Ottoline Leyser of UK Research and Innovation—she is a constituent of mine—was asked what she would do with an extra £800 million if she had it to spend, her reply was skilful in the extreme. It was tactful, but it was a laugh-out-loud moment, because it was quite clear that this is not what she would choose to spend it on. Professor McDonald made a similar point, as did a succession of other witnesses. All of them were absolutely clear that it has to be new.
We in the Opposition certainly want new. Our aspiration is to go beyond 2.4%—we want 3%. We are happy to support new money, but I suspect that if it were a Labour proposal, the first question would be, “Where is the money coming from?” Perhaps the Minister can tell us that, because I do not think we have any clues. We welcome it, none the less.
In reality, despite the creative attempts at amendments from us and from the Scottish National party, we know that future money cannot be guaranteed. That is why the purpose of the agency is so important and why the “Projects” element matters so much.
The amendment also seeks to add “Engineering”, partly as that was suggested by David Cleevely in his witness statement. As he rightly pointed out, many of the examples are engineering examples. I have to say “partly” because the shadow Minister, my hon. Friend the Member for Newcastle upon Tyne Central, is a chartered engineer. Perhaps that is not actually so significant. If we took out “Engineering”, our amendment would result in the name being ARPA—the Advanced Research and Projects Agency—which is a straight copy. We are seeking to emulate largely what ARPA has achieved, which I am not sure is such a bad thing.
I have to say that on Second Reading I had a slightly tetchy exchange with the Secretary of State about whether the proposed agency was modelled or based on whatever. It is clearly learning from experiences. We have some other not dissimilar examples: we have the small business research initiative, which is the SBRI. I have spent many years trying to promote and support it, and it is based on the American model, the SBIR—small business innovation research—so we have some examples of borrowing from the Americans and switching the letters round. Given the number of different American ARPAs, we could end up with ARPA UK, or it could be ARPA GB or ARPA England—it depends how the world goes in the years ahead—but, frankly, we are not precious about it. However, the shift from “Projects” to “Invention” really does matter, so if the Government chose to make that change, or whether it was an accident, I would like the Minister to explain why and what the Government think is significant about the word “Invention” in the title of the agency.
Dr Highnam of DARPA said that if one does not do it in the way that he described, one gets something else. It is therefore only reasonable to ask the Minister what it is that she wants to do differently. What is it that she wants the agency to be? If the agency is going to cost an initial £800 million, what makes her confident that it will work? We heard from a number of witnesses, including Felicity Burch, who talked about previous efforts to move our research system closer to the “edge of the edge”, as it has been described. I am thinking of the Technology Strategy Board and the industrial strategy challenge fund. Felicity Burch said in her evidence that setting the agency up on a statutory basis makes a difference, and I think it does, but only if it is done in the right way.
Let me conclude by returning just briefly to the operatic theme that I have encouraged throughout the debate so far. I have been through Puccini and Purcell, but to finish where I began with Dominic Cummings, could we annoy him a little bit more by suggesting that the song might be the “Ode to Joy”? It is not quite an aria, more a collective chorale, but I think one of the projects we could turn to is to create more joy. In general, let us have clarity by making the purpose of the agency clear in its title. Let us recognise that it really is about projects, and do so by adopting the series of amendments under consideration. That would give the new agency a genuinely clear purpose, with the challenge framed by the Government. In our view, that has a much better chance of success, and as such is worth supporting with enthusiasm.
What a pleasure it is to be under your chairmanship, Ms McVey, and to listen to the hon. Member for Cambridge. He talked about a wide range of issues, most which I am sure will be addressed in further debate. In this instance, I will concentrate on amendment 2 and those grouped with it.
The creation of ARIA represents an exciting opportunity to add to our already excellent research and development funding landscape. That came out very strongly on Second Reading, and I hope that today’s debate and last week’s evidence sessions demonstrate the importance of the legislation. I would like to place on record my thanks to the Opposition parties for the constructive way in which they have approached the Bill thus far, and I look forward to discussing the amendments that they have tabled.
Amendment 2 and associated amendments would change the name of the agency to the advanced research and engineering projects agency, or AREPA. I must say that when the hon. Gentleman raised this option last Wednesday, I did not realise that it was a serious suggestion. As I am sure he can imagine, a certain amount of thought and discussion has gone into choosing the name of the agency, and I do prefer the musical reference to naming the agency after a flatbread.
On a serious note, I recognise how central engineering successes have been to the historic breakthroughs of ARPA and DARPA in the United States. I found the evidence of Sir Jim McDonald of the Royal Academy of Engineering and others hugely interesting. I share the hon. Gentleman’s concern that those contributions should not be overlooked. I very much hope that ARIA builds on the history of engineering excellence that we have right across the UK, and supports the next generation of transformational breakthroughs. The powers of the body are key. I assure the Committee that just as UK Research and Innovation is able to provide funding for engineering research through the Engineering and Physical Sciences Research Council, ARIA’s powers extend to conducting engineering projects in exactly the same way as projects in any other area of science. That important discipline has not been forgotten. Our ambitions can be achieved without renaming ARIA, and I cannot accept the amendment.
I am grateful to the Minister. I admit that there is a sense of gentle joshing in the name change. It is not the engineering issue that is important to us, but the invention issue. I listened closely to for an explanation from the Minister of why “invention” has been chosen, but did not hear one; I would be grateful if she intervened to explain. I outlined clearly why the projects element is so important. We heard a consistent view from witnesses throughout the evidence sessions, so I see no reason why the amendment should not be seriously considered.
Looking at the numbers around me, I do not expect to secure an overwhelming victory in a vote, but this amendment will go on for further discussion elsewhere. I hope that it will be thought about carefully, because it simply cannot be denied that, both in the evidence sessions and outside this place, there is concern about clarity of purpose. We all want the agency to succeed, and the amendment is a constructive suggestion. Personally, I would go for “ARPA”, to make it absolutely clear that we are trying to do what the Americans have achieved in the past. Neither the Minister nor anyone else has given me a sense of clarity about what are actually trying to achieve—to say, “That is what we need to achieve, and that is what is missing.” That is why I wish to divide the Committee on the amendment.
Question put, That the amendment be made.
As the remaining amendments to clause 1 are consequential to amendment 2, to which the Committee has just disagreed, I will not call amendments 3 or 4, as it would be inconsistent with the decision that the Committee has just reached.
Question proposed, That the clause stand part of the Bill.
The establishment of the Advanced Research and Invention Agency as a statutory corporation means that the body has its own legal personality that is distinct from the that of the Crown or its individual members, as set out in paragraph 1 of schedule 1. That allows ARIA to enter into legal relations such as contracts, and to hold property in its own right.
A statutory corporation also allows the specific terms of the relationship between Government and ARIA to be set out in law—the composition of the board and the appointments process, for example. In setting that out, we have sought to balance the freedom required for ARIA to deliver transformational scientific and technological advances, but with appropriate ministerial oversight. I hope that hon. Members agree that that is the right vehicle for the creation of the agency.
Question put and agreed to.
Clause 1 accordingly ordered to stand part of the Bill.
Schedule 1
The Advanced Research and Invention Agency
I beg to move amendment 5, in schedule 1, page 6, line 10 at end insert—
“Memorandum of understanding
2 (1) ARIA and UK Research and Innovation must prepare a memorandum of understanding.
(2) The memorandum must set out how ARIA and UK Research and Innovation intend to co-operate with each other and avoid overlap between the exercise by ARIA of its functions and the exercise by UK Research and Invention of its functions.
(3) The memorandum shall be reviewed on an annual basis and revised as necessary by agreement between ARIA and UK Research & Innovation.”
This amendment would require ARIA and UKRI to prepare a memorandum of understanding setting out how they will collaborate and avoid overlap.
With this it will be convenient to discuss amendment 6, in schedule 1, page 6, line 2, at end insert—
‘(c) the Chief Executive Officer of UK Research and Innovation; and’.
This amendment would make the CEO of UKRI a non-executive member of ARIA in order to achieve greater collaboration and communication between the two bodies.
It is a pleasure to serve under your chairmanship, Ms McVey. I do not think anyone will vote against the amendment, because all it seeks to do is ensure that there is a memorandum of understanding between ARIA and UK Research and Innovation about how they will work together. The two organisations will be working on the same themes, though doing things slightly differently, and they need to communicate. I am happy to give way to anyone who thinks it is not a good idea that UKRI and ARIA communicate. The amendment is practical and sensible and seeks only to clarify how they would work together.
Our evidence session was informative. Dame Ottoline Leyser from UKRI said:
“The people employed at ARIA will absolutely need to understand deeply what UKRI is doing and what the opportunities are across that research base in order to deliver their vision. I would expect a very close working relationship with ARIA to allow that to happen.”––[Official Report, Advanced Research and Invention Agency Public Bill Committee, 14 April 2021; c. 6, Q3.]
When she said that, I thought that the relationship must have been written in the legislation and I had missed something, because she said it as though it was going to happen. I went back to the Bill to have a look, but nothing in it says that UKRI and ARIA have to work together or at least know what each other is doing. I thought that quite strange. When I asked her how she expected that to happen, she said “naturally”. We in Parliament make laws and legislation; we do not leave things to happen naturally if we can we put them on the statute book. The amendment seeks only to have a memorandum of understanding between the already established UKRI and the newly established ARIA.
If the Committee votes against the amendment, people outside will not understand. They will ask, “Why don’t you want a memorandum of understanding?” Everything cannot be done just on trust. We have trust and transparency, but right now ARIA has neither, and it will not be subject to freedom of information rules. It is the wrong approach to say to people outside, “We are going to give £800 million to an organisation that will have no oversight, no FOI and no link to UKRI.” How would that be sensible, especially when—I say this gently—the Government are caught up in sleaze at the moment? That would not help at all. People will say, “You want £800 million to go to whom and to do what?”
Ultimately, we know that men of a certain age get these opportunities, and these men tend to fail upwards. Without the amendment, we are saying that we will allow people to fail upwards and we will not know what they are doing because failure will be part of what ARIA is. We accept that failure can be a part of ARIA, but there needs to be some oversight and connection to the already established UKRI.
I thank the hon. Member for her service on the Science and Technology Committee with me, where we have been discussing this issue and the covid crisis over the last year. She made a point about men of a certain age. Last year, it was two women of a certain age—Dido Harding and Kate Bingham—who helped to respond to coronavirus. At the time, the Opposition made various allegations of cronyism, particularly about Kate Bingham, which ought to be withdrawn now that we have seen the success of what can happen when we take away some of the administrative burdens, focus clear-mindedly on a key goal and get it delivered. Making these allegations of sexism when we have had two women leading our response to coronavirus is not appropriate.
I thank the hon. Member for his service on the Science and Technology Committee, where we often agree and very often disagree. Of course we praise what goes well, but let us not forget that £14 million was spent on a test and trace system that was scrapped, or that Northern Ireland spent £1 million on a test and trace system that works perfectly well. Let us not forget those facts. Now, we are talking about £800 million.
Professor Pierre Azoulay said,
“It is important not to put those two agencies in competition; they both have a role to play.”—[Official Report, Advanced Research and Invention Agency Bill (Second sitting), 14 April 2021; c. 46]
Both agencies have a role to play; let them work together. Let us work on the premise that it will be a success.
As a female Science Minister, I fully understand the sentiment behind the proposed amendment. I agree that it is important that ARIA and UKRI co-operate for ARIA to be a coherent addition to the UK R&D funding landscape.
I thought that Professor Dame Ottoline Leyser, the CEO of UKRI, really spoke eloquently on this point last week when she said:
“The kinds of relationship that one wants to have with key players across the system are not things for which you necessarily legislate. They are about maintaining open lines of communication and building high-quality personal relationships with different actors in the system.” [Official Report Advanced Research and Invention Agency Bill (First sitting), 14 April 2021, c. 15.]
I agree. It is important that we do not over-engineer ARIA’s governance arrangements and obligations in the Bill such that we risk binding the body and creating a bureaucratic process. I am concerned that the need for ARIA and UKRI to agree and annually review an MOU creates just such an administrative burden.
I also agree with Professor Dame Ottoline Leyser when she says that this happens organically. After all, it will be in ARIA’s interests to maintain a dialogue with UKRI to understand the work opportunities and key research opportunities in the UK R&D landscape. The framework document which will be agreed between BEIS and ARIA will set out the broad principles according to which ARIA must interact with other public R&D funders, which will, of course, include UKRI. For this reason I cannot accept the amendment, and I hope that the hon. Member for Brent Central will withdraw it.
I want to question the Minister on the difference between an MOU and the document that she has just referred to. It seems to me that we are not far apart on that. Could we not have an MOU?
The framework document will be drawn up by the leadership of ARIA, and it is really important that that is how it will be devised. It will not be a Government-led document; it will be drawn up by the leadership and with ARIA.
I think the Minister has just described an MOU. A framework document that is agreed by UKRI and ARIA, not by the Government, is an MOU, I believe.
In earlier comments, the hon. Lady referred to the evidence obtained offline. When she asked, “How would this occur?” Professor Dame Ottoline Leyser replied, “Naturally.” The Lady’s response is to ask, “Why would we rely on that, if we can put something on the statute?” I suggest that it should be the other way around. In this country, we legislate only where we have to, not where we can.
The Government are creating a new agency and spending £800 million. They are saying that this new agency should not be subject to the Freedom of Information Act 2000. They are saying that it will fail, a lot, and we need to accept that failure happens in science. That is fine—I used to be a computer programmer, and I know that sometimes you try things and they do not work—but this is very new. We should not put it in a silo by itself, with no proper link to UKRI. I do not believe the hon. Member believes that there will be no link, because the Minister has just described this document as a memorandum of understanding by another name. I do not think there are actually any disagreements about having the memorandum of understanding.
I have learned something this morning. I too was a computer programmer. I hope my hon. Friend was a better programmer than I was—I worry about the code that I left for others.
On whether it is better to have it in the legislation, which is the point raised by the hon. Member for Broadland, does it strike my hon. Friend as odd, particularly at a time when the Government are under such scrutiny for relaxed arrangements involving texts, WhatsApp and all the rest of it? Is that not exactly the reason it should be put in legislation—so that it is clear for everybody?
My hon. Friend makes a very valid and powerful point. There are ongoing investigations—Greensill, PestFix and VIP lanes. Let us avoid such accusations by agreeing a memorandum of understanding between ARIA and UKRI. Let people not question the role of ARIA: we are expecting the public to accept failure as an essential part of ARIA, and they are going to accept failure. Let the public understand that there will be some link to UKRI, which is an established agency.
I wish to refer to some of the things that were said during the evidence sessions. In the very helpful session with Professor Dame Ottoline Leyser, she talked about the “edge of the edge”, to which we have already referred, but she also said directly after that that leaving them the freedom of decision making may attract the special people we need in that role. She was talking about the chief exec and the role of the people who will be looking after ARIA. That is very important. What we do not need to do is create restrictions around this. This is £800 million that is separate from UKRI. Professor Leyser was very happy about that; in fact, she wanted it to be quite separate, so that it was free and allowed to develop ideas and inventions.
The Opposition referred to a muddle when they talked about clarification, but I think what they mean is they want to meddle. They want to put restrictions in place—any kind of restriction that would show that we are in charge. Well, we are not. We are not great inventors. The people who will be in ARIA will be great inventors, and they will create good things.
The hon. Lady mentioned that she was happy to accept failure, but she also beat us around the face and neck about the £14 million that was spent on test and trace, which failed. Come on—we have to allow them to fail.
I was almost with the hon. Lady up until the £14 million. At the end of the day, Northern Ireland spent £1 million on a test and trace system that worked. I could have programmed a test and trace system—it might have taken me a few years, but I could have done it—for a lot less. It is unacceptable to spend £14 million on a test and trace system that failed and had to be scrapped. It is shocking for the hon. Lady to stand up and even consider that to be a defence.
A memorandum of understanding does not restrict anybody. A memorandum of understanding is exactly that: a memorandum of understanding. The hon. Lady talked about the CEO of UKRI. Amendment 6 talks about making
“the CEO of UKRI a non-executive member of ARIA in order to achieve greater collaboration and communication between the two bodies.”
What is wrong with having greater collaboration between UKRI and ARIA? I do not understand. Nobody has yet stood up to tell me why there is a problem with having collaboration between UKRI and ARIA. None of the Members that have spoken has given a reason why there should not be collaboration between the two. ARIA can still go off and do its thing, and fail away, but it needs to know what UKRI is doing. What is the problem?
Question put, That the amendment be made.
I beg to move amendment 28, in schedule 1, page 6, line 22, at end insert—
“(4) The Secretary of State must ensure that—
(a) at least 50% of the other members appointed under (3)(c) are women; and
(b) where the number of members under (a) would be an odd number, the calculation of 50% of other members should be made as if the board had one fewer non-executive member.”
This amendment is intended to ensure that the Secretary of State appoints a significant percentage of women as other non-executive members.
With this it will be convenient to discuss amendment 9, in schedule 1, page 6, line 24, at end insert—
“(5) The Secretary of State must, in appointing the members of ARIA, have regard to the diversity of the members including the representation of those with protected characteristics.
(6) In this section, ‘protected characteristics’ has the meaning given by Part 2, Chapter 1 of the Equalities Act 2010.”
This amendment would require the Secretary of State to have regard to the diversity of ARIA’s board when using their powers of appointment.
It is a pleasure to be able to take part in this Bill Committee. Unfortunately, I had to come to London to do so, but it is nice to see some of the faces that I have not seen for a while, other than on little screens. I will start with a bit of fluff: I thank the Clerks for their huge amount of hard work in assisting us with the amendments that we tabled to the Bill. It was really helpful. I am sure they provided the same level of help to everybody else, but we very much appreciate it.
I will speak to amendment 28 and the Opposition’s amendment 9. Our amendment 28 relates to the number of women to be appointed to the board in non-executive positions. There is some lack of flexibility around the positions because two are taken by named individuals. There are also positions that are not appointed by the Secretary of State because they are executive positions. In relation to the non-executive members, it is incredibly important that a significant percentage of women is included among them.
The hon. Member for Broadland said that we should legislate only where we have to. I think in this case it is incredibly important to legislate. We know that only 12% of all engineers are women, and that 25% of 16 to 18-year-old girls would consider becoming an engineer as opposed to 51.9% of boys in that age group. There is an incredibly hard glass ceiling, particularly in science, technology, engineering, and mathematics, and in the kind of roles that will benefit from the funding that ARIA will receive.
We know that young women, and young men, are more likely to take up and aspire to positions if they can see people who look like them in those positions, see people who have succeeded, and know that there is an opportunity to climb the ladder rather than hit the glass ceiling, as people so often do in engineering. This would be a real opportunity for the Government to make it clear that it is incredibly important to have women in these roles. Maths is not just for boys; it is a subject for everybody. When I was doing my advanced higher maths, I was the only girl in the class. Not one other girl had chosen to take advanced higher maths. It was not a small class, it was a class of about 20, and it was because people felt that it was a boys’ subject and girls should not be taking it.
It is important that the Government agree to such an amendment. If the Minister is unwilling to, it would be helpful to hear how the Government plan to increase the gender balance on the board and ensure that women are appointed to these roles. For example, they have said to FTSE companies that they need to have a percentage of women on those boards, but they are not putting that into the legislation in this instance and it is important that they do so.
The Opposition’s amendment 9 in relation to diversity is an incredibly good amendment. In fact, I am quite upset I did not think of it. We have a similar problem with diversity in engineering. Mainly white men are in these positions, and people in school do not look at these positions and think, “I’m going to aspire to do this,” because they do not see people like them in those roles.
My hon. Friend the Member for Aberdeen South and I represent Aberdeen constituencies, where Robert Gordon University and Aberdeen University do a lot around engineering, oil and gas. We have thankfully seen a significant amount of immigration to our city because of the oil and gas. Outside London, the highest percentage of non-UK-born citizens is in Aberdeen. That means a significant number of people from ethnic minority groups are in the engineering profession, but again we have the same issue. It is very unusual to go into a room full of oil and gas executives and for any of them not to be white, and it is fairly unusual for any of them to be women, although we are seeing an increase in those numbers. These amendments would make clear the Government’s intentions and say to organisations such as the FTSE companies that are being asked to have gender balance on their boards, “We are doing this too; we are leading by example”.
It is really nice to see the hon. Member back in London. I know it is a burden for SNP Members to come all the way down to the United Kingdom Parliament, but it is lovely to see her in person.
I do not think the Government are doing so badly on diversity, particularly on women. I reassure the hon. Member and the Opposition that, in relation to their amendments, the panel will be selected by Sir Patrick Vallance and other independent advisers. The job that they have done during covid demonstrates how many women we have in positions of scientific importance. We have the women we mentioned earlier: Dame Jenny Harries, Dame Ottoline Leyser, who gave evidence to us, and the Science Minister herself. From the diversity perspective, I think the absolute hero of the press conferences has been Professor Jonathan Van-Tam, who has been a wonderful communicator to the whole country, so I gently say to the hon. Member that I do not think it is as bad as all that and that the amendments are therefore unnecessary.
I was hoping that I was not being too critical of the Government. I did not intend to say the UK Government are terrible in this regard. I think they have done some good things around gender balance on boards, for example. I would have gone further, but they were a good start. I am not hugely critical of where things are, but I think a kind of stamp on this Bill, to say, “This is the direction we would like to go to”, would be helpful.
This can be done. We have done it in Scotland with the Scottish National Investment Bank. Our amendment is very similar to the proposal in relation to the investment bank—we are doing a huge amount for our public bodies. The investment bank intends to have a significant number of women on it, and it is the same for gender representation on public boards in Scotland more generally. I would very much appreciate it if the Minister let us know whether the Government will take the actions that we have proposed in our amendment. If not, what do they intend to do to ensure that people from diverse backgrounds are included?
It is a great pleasure to serve under your chairship, Ms McVey. I apologise to the Bill Committee for not being here at the start. That was due to a medical appointment that I could not avoid. I am sorry to have missed the opening speeches.
Labour welcomes this debate and the interest and proposed investment in advanced research and innovation through this agency. We have concerns about the Bill as it stands, which will I will go through in some detail, amendment by amendment. We champion our world-leading scientists, and we recognise the importance of giving science and engineering in this country the opportunity to enable us to build back better and create a fairer and more progressive world.
Amendment 9, which stands in my name and those of my hon. Friends, follows on nicely from the amendment moved by the hon. Member for Aberdeen North. I am sorry to have missed part of her remarks, but I caught most of them. We echo her desire to see diversity on the board of ARIA. I was very drawn to her comments about the oil industry in Aberdeen North. I worked as an engineer for 20 years before coming to Parliament, and I spent some of that time in Nigeria working not in the industry but with oil engineers, so I know about the lack of diversity that she is referring to and how challenging it can be to be the only person of one’s gender, ethnicity or class in the room.
Our amendment seeks to ensure that, in appointing members of ARIA,
“The Secretary of State must…have regard to the diversity of the members including the representation of those with protected characteristics.”
“Protected characteristics” has the meaning given by part 2, chapter 1 of the Equality Act 2010. That would require the Secretary of State to have regard to the diversity of the board when using their powers of appointment.
Labour wants to ensure that agencies such as ARIA are of benefit to the entire nation—indeed, to all nations in the United Kingdom—and every region and citizen. It is clear that, at the moment, diversity is not the strong point of our science establishment. Only 7% of managers, directors and senior officials in academic and non-academic higher education positions are black, Asian or minority ethnic, and only 24% of the UK STEM workforce are women. That has to change if we are to create a welcoming and inclusive culture in United Kingdom research and development. The Government’s R&D roadmap states:
“Equality, diversity and inclusion (EDI) is a critical aspect of research culture…UKRI will develop and launch bold initiatives to increase the participation, retention and promotion of a diversity of talent into R&D.”
I know that the Minister takes these issues seriously, so why is there no reference to diversity in this new agency? This Bill is a real opportunity for action. If the Government are serious about a forward-looking diversity programme, they must ensure that ARIA has diversity at its heart.
We want ARIA to be world leading and to make breakthroughs of which the whole United Kingdom can be proud. We cannot allow the research breakthroughs of tomorrow to be held back and hamstrung by old attitudes of the past. We are never going to unlock the full potential of our research sector if we do not use the talents of everyone. There are real issues with diversity in the UK science sector, with black and minority ethnic men 28% less likely to work in STEM than white men, and women representing 9% of people in non-medical STEM careers. Yet we face a shortfall of 173,000 STEM workers, which is estimated to cost the sector £1.5 billion a year.
The reason I am so determined that ARIA should reflect the importance of diversity is because when I graduated from Imperial in 1987—a long, long time ago—around 13% of engineering students were women. In my year at Imperial it was 12%. If we fast forward some 30 years—more than a quarter of a century—the figures have increased by 2 percentage points. In a quarter of a century, that is the amount of progress we have made in this critical area. We must not show any complacency or think that this will happen over time. As we have seen, it does not happen over time; it requires action.
Will the hon. Lady give way?
I am happy to give way to an hon. Member who is a great champion of diversity in science.
I am grateful to the hon. Lady for giving way. Does she recognise that the Government have taken steps in this direction, particularly during the year of engineering in 2018 and in the subsequent creation of an engineering envoy to try to continue to promote engineering to everyone, regardless of background, gender or ethnicity? The Government are alive to the issues and take them seriously, so mandating it in this amendment is not the right way forward. We need to do exactly what the hon. Lady said, which is to set up projects that let people decide that engineering is the career for them.
I am grateful to the hon. Member for his intervention. I recognise the sterling work that he did as Chair of the Science and Technology Committee and as the Government’s envoy during the year of engineering, and that he now does as chairperson of the Parliamentary Office of Science and Technology. He is not talking about this issue now simply because it has become more fashionable; he has a long history in this area.
I did not mean to imply that the Government have not taken any action. It is important for the Government to promote engineering, but in this, as in everything, itis the outcomes that matter, not the words. At the heart of this Bill is the creation of an institution. There are many challenges facing our research environment, including the lack of private investment in research and the lack of venture capital investment in early start-ups.
The Government have chosen to respond with an institution, and therefore it should reflect the Government’s priorities when it comes to diversity. If part of the answer to the challenges facing the scientific community is a new institution, at the heart of it must be the diversity that we want to see in the science establishment.
Obviously, I am not the only person to raise this issue; we heard earlier from the hon. Member for Aberdeen North, and it was clear from witness evidence that there was significant support for ARIA acting as an agent of change in this important matter. Professor Leyser, the chief executive officer of UKRI, said:
“I have to think about all parts of the system. I have to think about the people—do we have the right kinds of people in the system, the right mix, the right diversity, the right set of skills, and the right career trajectories and pathways through the system?”
If the person who is in charge of the greatest portion of the UK R&D budget has to think about that, why not ARIA? We also heard from Tris Dyson of Nesta Challenges, who said specifically of the proposed agency that
“we think that there is an opportunity to explore new avenues and do things slightly differently. Some of the opportunities that that presents, both through ARIA and more generally, is around boosting the diversity of people involved in frontier technology and innovation and improving geographical reach.”––[Official Report, Advanced Research and Invention Agency Public Bill Committee, 14 April 2021; c. 5-7, Q3.]
I hope that the Minister will explain how that will be realised if not through an amendment such as amendment 9.
We also heard really important evidence from Dr Dugan of Wellcome, who is a past director of DARPA. She said:
“What I can tell you about diversity from my own experience, both in Silicon Valley and at DARPA, is that for decades we have known that specificity of goal and outcome is a good way to get more equality and diversity in assessment of ideas and in people conducting or pursuing those ideas.”––[Official Report, Advanced Research and Invention Agency Public Bill Committee, 14 April 2021; c. 39, Q33.]
We will come on to consider this in further debate, but currently ARIA has no mission, no specificity of outcomes, and no diversity requirements.
Does the hon. Lady recognise that the Secretary of State will follow the code governing public appointments, which includes the principle that public appointments should reflect the diversity of our society?
The hon. Lady makes an interesting point and it raises two issues. First, how the CEO will be recruited and which rules for public appointment that process will follow is not clear in the Bill, so perhaps the Minister will provide that information. If the Secretary of State has to follow those rules, surely the amendment simply makes it clear what he—he in this case—has to do, and ensures focus on and recognition of the requirements. I do not feel that those two considerations are incompatible.
Does my hon. Friend agree that this is a fundamental issue. There is a real problem particularly around design, as Caroline Criado Perez identified in her book “Invisible Women: Exposing data bias in a world designed for men”—some of us attended the book launch here a couple of years ago. Extraordinarily, she pointed out that a swathe of design was done without women in mind at all, so crash tests and so on do not work because they are tested on the wrong people. That reflects the danger of having a board without a wide range of people. I read somewhere the other day that the armed forces in some country had only just discovered that women require different underwear from men. There is a blinds pot here, and it goes back to blokes in sheds I am afraid.
I am grateful to my hon. Friend, and I agree wholeheartedly. The fact that most technology and science has been designed and developed by a narrow demographic minority has great implications for our society. Sometimes I lie awake at night thinking of the wonderful inventions and technologies that we might have in the world had women and minorities been able to play a full part in our scientific development. My hon. Friend gave the example of how, as Caroline Criado Perez said in her book, so much of our world has not reflected the needs or interests of women, which is really important. I say to the Minister: the agency, which we will come back to a number of times, will fail. It is designed to fail. When it fails—not in general, but particularly—it needs to have the support of the public to understand the reason why it failed. To lock women out of the board, which is what it will effectively do, and not reflect the importance of diversity, will be a factor in public trust.
I welcome the hon. Lady to her place.
This amendment concerns the appointment of ARIA’s non-executive members by the Secretary of State. I have been lucky enough to speak to many outstanding women during my time as science Minister: scientists; researchers; and those with other important perspectives who would bring great expertise and value to the ARIA board.
This is an issue that I am committed to more broadly, as the hon. Lady will know, through developing a people and culture strategy that will look to ensure that the UK has the people we need at all levels, working in a culture that gets the best out of everyone and which delivers the best outcomes for the country. That means looking to remove barriers and dismantle any inequalities in the system that limit the ambitions, inclusion and participation of people from any background. I recognise the objective of the amendment and its importance, but I also highlight the inadvertent dangers of placing legislative constraints on the recruitment and appointment of ARIA’s members.
However, I will emphasise for the hon. Lady the provision of the Equality Act 2010, as set out in schedule 3 of the Bill, which I am sure we will come on to discuss. ARIA will be subject to the public sector equality duty. This duty will also apply to appointments made to ARIA by the Secretary of State. That means seeking to advance equality of duty between those who share a protected characteristic and those who do not.
As the hon. Lady will be aware, protected characteristics include sex and gender reassignment, and I believe that this duty should place—as it was designed to do—important issues of gender equality on the appropriate legislative footing. Therefore, I hope that she recognises that there is no need to make any provision in the Bill, and will withdraw the amendment.
Amendment 9 also concerns the appointment of ARIA’s non-executive members by the Secretary of State. In considering it, I will return to the Equality Act 2010, to which ARIA will be subject, and the public sector equality duty. As I have said, I believe that this duty should place, as it is been designed to do, the important issue of inclusion and equality on an appropriate legislative footing. Appointments made by the Secretary of State will follow the governance code for public appointments. The code includes the following principle:
“Public appointments should reflect the diversity of the society in which we live and appointments should be made taking account of the need to appoint boards which include a balance of skills and backgrounds.”
I therefore hope that the hon. Lady recognises that there is no need to make any further provision in the Bill and will withdraw her amendment.
This has been quite an interesting debate and I particularly enjoyed the speech by the shadow Minister; I thought it was very good. However, I did not expect to be discussing women’s underwear during the course of this Bill Committee.
It is the case in relation to things being designed for men that such things happen. We see that if we consider the fact that endometriosis treatments, for example, are few and far between, because researchers and organisations do not put money into researching things that are “women-only problems”, because for some reason we matter less. It is therefore incredibly important that the Government take positive steps in this regard.
Engineering and innovation will be the future for us. I have already said that I represent Aberdeen. We are looking at having a just transition; we are looking at moving Aberdeen away from its focus on oil and gas to a focus on renewable energy and the energies of the future. We will not have those energies of the future or the design and innovation that we will need unless we have diversity in the research environment and unless we have a significant number of people from different backgrounds, all with different life experiences, considering how best to solve problems. For young people considering coming into these organisations, having women and people with other protected characteristics on boards such as that of ARIA would mean that they are more likely to be able to aspire to those roles.
I agree that we need to hold people up as examples to encourage people from far more diverse backgrounds to come into engineering and all STEM subjects. However, the amendment would mandate the percentage of women sitting on the board of ARIA. The UKRI board, with 13 members, has six women, without that being mandated and using the Equality Act 2010. The Equality Act is delivering our aims. Let us talk about how we get more people from diverse backgrounds into engineering. In my view, this is not the way to do it.
I thank the hon. Member for his input. I was not trying to criticise the actions of the UK Government in this area—in lots of other areas, but not in this one. Positive steps have been made. In Scotland, we have a duty of gender diversity on boards and it has worked. We have proved that it has worked across public sector boards. It has made a positive difference. People can say that we might not need to legislate for it, but it is a safeguard. It ensures that we have that percentage of women on the board and that we have diversity in all appointments in relation to ARIA.
I thank the hon. Member for her informative contribution, which I have found fascinating. It is great that UKRI has that diversity on its board without it being mandated—I would suggest that that is another reason why ARIA and UKRI need to have a memorandum of understanding. Is it not important that there is some communication if that diversity is going to be taken into consideration? As the hon. Member says, if it is not mandated, we are just relying on good faith.
I absolutely agree. This measure should be included in the Bill as a safeguard or a fallback—a failsafe. I appreciate the public sector equality duty exists, but that is not strong enough to give me comfort.
When women do engineering degrees, they get better degrees than men. They get a better class of degree—the statistics prove it. If we want the highest possible quality of people, from diverse backgrounds, pushing innovation forward and trying to, for example, make the renewable energy technologies of the future, we need to ensure diversity on the board and more widely in the staff of ARIA.
I echo the disappointment of the hon. Member for Aberdeen North in the Minister’s response, who takes this issue very seriously. The architect of ARIA and the debate around it have focused very much on great individual minds of science, generally men, and how they should be left on their own to go off and discover new and exciting things. These amendments would send a really important message to the science community that ARIA is an inclusive agency and that, regardless of what some may have said or envisaged, this is about the whole of the United Kingdom. I would emphasise that we still have far, far to go to reflect diversity in the science community.
I beg to move amendment 31 in schedule 1, page 6, line 22, at end, insert—
“(3A) The Secretary of State may not appoint a person as chair unless the appointment of that person has been approved by resolution of each House of Parliament.
(3B) ARIA may not exercise any functions under this or any other Act, nor may the Secretary of State make any grants to ARIA under section 4 of this Act, until its first chair has been appointed.”
This amendment requires both Houses of Parliament, under the affirmative resolution procedure, to approve the name of the proposed Chair. ARIA may not exercise any functions, nor may the Secretary of State make any grants to ARIA until its first chair has been appointed.
With this it will be convenient to discuss the following:
Amendment 10 in schedule 1, page 6, line 26, at end insert
“with the consent of the Science and Technology Select Committee of the House of Commons.”
This amendment would require that the Secretary of State seeks and obtains the consent of the Science and Technology Committee of the House of Commons for the appointment of ARIA’s first Chief Executive Officer.
Amendment 33 in schedule 1, page 6, line 26, at end insert
“(1A) The Secretary of State may not appoint a person as Chief Executive Officer unless the appointment of the person has been approved by resolution of each House of Parliament.
(1B) ARIA may not exercise any functions under this or any other Act, nor may the Secretary of State make any grants to ARIA under section 4 of this Act, until its first Chief Executive Officer has been appointed.”
This amendment requires both Houses of Parliament, under the affirmative resolution procedure, to approve the name of the proposed Chief Executive Officer. ARIA may not exercise any functions, nor may the Secretary of State make any grants to ARIA until its first Chief Executive Officer has been appointed.
Amendment 32, in clause 4, page 2, line 21, at beginning insert
“Subject to paragraph 2(3B) of Schedule 1,”.
This amendment is consequential to Amendment 31.
Amendment 34, in clause 4, page 2, line 21, at beginning insert
“Subject to paragraph 3(1B) of Schedule 1,”.
This amendment is consequential to Amendment 33.
I would like to echo, first and briefly, the sentiments of my colleague in thanking the Clerks for their diligent work in the run-up to this Bill Committee and also to thank all of the witnesses who came to the evidence session last week. I found it incredibly informative and the hon. Member for Cambridge was right to highlight that at the start of today’s proceedings.
Amendment 31 and those related to it are quite simple. To coin a phrase that is oft used by Conservative Members, it is a way for this place to take back control. It is not a phrase that I would use willingly too often, for fear of sounding like them, but in this regard, it is a good way of summarising what is in front of us. It comes back to a key theme that runs through everything to do with ARIA and this entire concept. The hon. Member for Cambridge touched on it in respect of clarity. What is the Bill seeking to achieve? What is going to be the mission and the focus?
We heard during the evidence session that much of that determination of what the Bill seeks to achieve and the direction it takes is going to default to the chair, the CEO and those who are involved. They are going to fill the vacuum that the Government are leaving. That is fine, I assume, from the Government’s perspective, but it is incumbent on us as Members of this place, who are presiding over a significant amount of public money, to have a keen interest in what ARIA is seeking to achieve. The best and a very simple way we can do that is to ensure we have a chair and a CEO in place who we feel are pointing in the right direction. That is an important point to make, because—I am loath to mention him— Dominic Cummings in his evidence session and in the public domain has ties with people whose views are questionable, to say the least. I say “ties”, but he referenced scientists who promote the likes of eugenics and we need to be mindful of these things and that there are people out there who have views that are abhorrent. We do not know who the chair is going to be. We do not know who the CEO is going to be. We can trust the judgment of the Secretary of State or we can all play a part in deciding that. It is incumbent on all of us when we are talking about such a significant amount of public money to do our duty: to take back control and make sure ARIA has the direction that it requires.
Amendment 10, which stands in my name and that of my hon. Friends, reflects many of the concerns articulated by the SNP spokesperson—the hon. Member for Aberdeen South—and would require the Secretary of State to seek and obtain the consent of the Science and Technology Committee of the House of Commons to the appointment of ARIA’s first chief executive officer. Some members of the Bill Committee serve on the Select Committee and know how well able the Science and Technology Committee is to hold to account the potential—future—CEO of ARIA.
I feel that this amendment is particularly important because, in a response to a parliamentary question that I received just yesterday, the Minister made it clear that the recruitment of the first CEO was under way and that no interim CEO would be appointed. We therefore need to ensure that we get the first CEO right.
The driving factor behind the amendment is the need for greater oversight and responsibility. We are in the midst of a crisis of confidence; a scandal of sleaze is overwhelming this House and many of its institutions. I will start with a quote:
“The lunches, the hospitality, the quiet word in your ear, the ex-ministers and ex-advisers for hire, helping big business find the right way to get its way.”
That is how former Prime Minister David Cameron described back in 2010 the next big scandal to hit British politics. I want all members of this Bill Committee to think long and hard about the way the Bill is currently drafted. It leaves £800 million of taxpayers’ money, and our scientific future, open to just that level of sleaze.
We see in the current cronyism scandal the consequences of placing power and responsibility in the hands of those who are not accountable and do not have the moral judgment to hold that power wisely in the public interest. This Bill places huge power and responsibility in the hands of the CEO of ARIA, with little ongoing accountability, a significant budget and none of the checks provided by the usual public procurement and freedom of information rules. It is critical that there be parliamentary oversight of the choice of CEO if we are to avoid both sleaze and, equally important, the appearance of sleaze. This CEO needs the confidence of the UK’s scientific community: they will have a huge challenge. But they will receive that confidence only if they are appointed on merit. The Bill was drafted before the current sleaze scandal and reflects far too much the “Ask no questions—that’s too much bureaucracy” approach. We see where that has got us.
Labour’s Opposition day debate on 14 April, just last week, highlighted the fact that the Greensill scandal is just the tip of the iceberg of the cronyism rife in the Conservative party during the pandemic and long before. It is laced through the billions of pounds-worth of contracts paid for by taxpayers and of a slew of troubling senior appointments.
Bill Committee testimony from Government witnesses such as Professor Philip Bond, and Dominic Cummings’ evidence earlier to the Science and Technology Committee contained multiple references to trusting the leaders of ARIA with £800 million of taxpayers’ money with no purpose or mission, none of the usual safeguards and complete freedom for the Secretary of State as to whom they appoint. We are concerned that this is a recipe for sleaze in science. There is no detail in the Bill—
I am listening very closely to what the hon. Lady is saying, but I cannot imagine for one moment—I am sure that she cannot, either—that a chair or chief executive of ARIA would refuse an invitation from the Select Committee on Science and Technology to attend and answer questions. In the 11 years that I have been here, I have not been aware of a single incident of someone from the science community refusing to attend the Committee. To suggest that this could be science sleaze in the waiting is stretching the point way beyond reality.
I am always grateful for the hon. Gentleman’s interventions, as he makes interesting—if inaccurate, in this case—points. Let me emphasise how it looks from the outside right now: we have all these friends getting contracts because they have the WhatsApp contact of the Secretary of State, and people appointed to be in charge of procurement also work for big producers. I am afraid that the Bill does not contain the necessary safeguards, and it is incumbent on the Committee to ensure that that kind of sleaze does not taint science.
One of the reasons why things look that way from the outside is the accusations made by the Opposition. I have an example. The hon. Lady was not here earlier—I completely accept that she had a reason for that—when I referred to Kate Bingham’s appointment, and the £670,000 spent last year on a crucial campaign to get hard-to-reach groups not only to take part in vaccine trials but to take the vaccine. At the time, the Leader of the Opposition said:
“You cannot justify that sort of money being spent”,
and the deputy leader of the Labour party said, “This cronyism stinks.” After what we saw last year, I think it a little rich of the Opposition to go round suggesting that this is the problem, when, as my hon. Friend the Member for South Basildon and East Thurrock said, the Science and Technology Committee, and all the science community, are very engaged. The idea that there would be scientific sleaze is frankly risible.
Before I give way to my hon. Friend or address the latest intervention, I will finish addressing one of the points made by the hon. Member for South Basildon and East Thurrock. He said that he could not imagine that any chair or CEO of ARIA would not agree to give evidence to the Science and Technology Committee. I remind him that Dominic Cummings, who was not the chair of ARIA but was certainly its chief architect, refused to give evidence to this Committee on the basis that he had already given evidence to another Committee, and once was enough in terms of accountability.
Let me deal with the previous interventions, to which I am currently trying to respond. The hon. Member for South Basildon and East Thurrock says that he cannot imagine such a circumstance, but I want undeniable accountability written through the Bill. I am concerned about the level of accountability in the Bill, and in some of the evidence, and in other discussion on the Bill, it has been suggested that accountability is a good thing, because that bureaucracy prevents people getting their own way. Perhaps the CEO might feel that they have better things to do than be accountable. In addition, this is about making the appointment of the CEO subject to the scrutiny of the Science and Technology Committee. What could be wrong with that?
As for the intervention from the hon. Member for Newcastle-under-Lyme, it is the first time that I have heard The Telegraph called the Opposition. The charges of sleaze are far broader than those coming from the Labour party. Indeed, it really cannot be said that we have led the charge when it comes to concerns about multiple examples of sleaze. I was really interested in the vaccine taskforce example that the hon. Gentleman gave. I congratulate the vaccine taskforce, and indeed the NHS. It is interesting that it is never called the “NHS vaccine roll-out” but we do talk about NHS Test and Trace, when the NHS is rolling out the vaccine much more than it is testing and tracing.
I asked about that £650,000 funding at parliamentary questions, and it did not go towards finding hard-to-reach groups—I will write to the hon. Gentleman with the response. It may have gone to good purposes, but to argue that it was for hard-to-reach groups is to take accountability away from that expenditure. That is worthy of criticism.
The Government are going to extraordinary lengths to avoid scrutiny. We have seen that time and again, from the closing down of Parliament to awarding themselves Henry VIII powers. The Science and Technology Committee, on which I and the hon. Member for Newcastle-under-Lyme sit, is a good Committee that comes up with good results. We are, in the main, collegiate and work together in the name of science and its progress. It is not unusual for appointments to flow through the Science and Technology Committee—that is how Parliament works—so the amendment is not asking for something extraordinary. It is saying, “Let’s continue what we do in Parliament on scrutiny and oversight.” I fail to understand why the Government are so opposed to any form of scrutiny on ARIA.
The hon. Member for Newcastle-under-Lyme says that people outside may be thinking about sleaze because of what the Opposition are doing. I disagree. They are understanding sleaze because of what the Government are doing, what the Good Law Project is doing in taking the Government to court and what Byline Times and other investigative journalists are doing in highlighting the cronyism and corruption. If the Bill is to go through, we need to ensure that those allegations are not levelled at it, because we do not want sleaze in science. That is the last thing we need.
I have two points. First, UKRI is not broken. It is a great service that offers, through a process of application, grants and so on, a means to research and development. What ARIA does is create an opportunity for exceptional brains to make exceptional decisions and, with some money behind them, to try to develop things. It is not underhand or any of the things being said; it is just an opening and an opportunity. Someone said the other day that the coders in their bedrooms, who do not have the resources to make bids or applications, nor the language behind them to be successful, can get into that system. UKRI is not broken; ARIA is something separate.
With absolutely the greatest respect to the hon. Member for Newcastle upon Tyne Central, who was not here at the beginning, for good reasons, a number of Opposition Members have referred to Dominic Cummings. I am sorry, but I am not happy about that; we have before us a highly respected female Minister putting forward the Bill. We should respect her and her position and stop referring to somebody unelected who is not even in the room.
There were a number of important interventions. Let me first respond to my hon. Friend the Member for Brent Central. She was right and did well to remind us of the normalcy of the Science and Technology Committee looking at important science appointments and how eminently qualified the Committee is to do that. I referred somewhat light-heartedly to The Telegraph not being the Opposition. She did well to remind us that important elements of the sleaze scandals—plural—that are circulating were discovered by investigative journalism of the highest quality, sometimes outside the mainstream press, which is not often appropriately and adequately supported on access.
On the hon. Member for Loughborough’s intervention, first, it is not the Opposition who are saying that UKRI is broken. She does not like my mentioning Dominic Cummings, but I must say that he and others have criticised UKRI and the existing science establishment. Let us remind ourselves that UKRI is only three years old, but they have criticised it as inadequate and argued for the creation of something that is not subject to huge bureaucracy. She claims that this will not be a barrier to the great coder in their garage who has some fantastic idea.
We are trying to prevent ARIA from being used simply by those in the know who have connections. That great coder in their garage is unlikely to know who to apply to for an ARIA grant or prize and will not have the connections to get to the front of the queue. I am sure that the Minister has considered that sometimes bureaucracy is about ensuring equality of access and opportunity. ARIA wants to move fast, and we recognise that, but it needs to ensure that the right accountability and confidence are in place. As other hon. Members have emphasised, we cannot allow the kind of sleaze we have seen elsewhere, particularly with regard to procurement during the pandemic. We cannot allow that in science. I will not allow it to stain our great scientific heritage and hope for the future.
I have mentioned the Minister’s interest a number of times. I hold her in the greatest respect, but she is very misplaced in her argument that I am somehow discriminating against her by referring to the self-vaunted architect of ARIA—he made that much clear during his Select Committee evidence, and he implied that it was one of the conditions for his becoming the Prime Minister’s chief adviser—and to the antecedents of the agency that this Bill is about. That does her credibility no favours.
Let me continue. I am happy to take interventions, although I imagine that the Whips would like us to make progress. With none of the usual safeguards, and with complete freedom for the Secretary of State appointed by the Government, we are concerned that this is a recipe for sleaze in science. There is no detail in the Bill—perhaps the Minister could think about how to approve this—about who, if anyone, will play a role in making or scrutinising the appointments of chair, non-executive members and the first chief executive officer. There must be a concern about cronyism and protecting ARIA’s independence.
Let me consider a point made earlier. We do not know whether the roles of the chair and chief executive of ARIA will be added to the schedule of the Public Appointments Order in Council so that they can be independently regulated by the Commissioner for Public Appointments. If the answer is yes, I would appreciate clarity. Will the significant appointments to the roles of chair and chief executive of ARIA require a senior independent panel member, approved by the commissioner, to sit on the advisory assessment process? If not, how will the Secretary of State ensure a fair and open-minded recruitment process for those positions?
The public are frankly tired of backroom deals between mates who go to the same pub. I want the CEO to have a transformative impact on British society. It is right that at least their appointment should be subject to public scrutiny. There has been much criticism of the revolving door between the public and private sector. We want ARIA to be above such criticism. Let us not allow it to become mired in grubby deals before it has even begun.
Some might say that the Government are taking a rather Stalinist approach to scientific research, where a small group of really smart men, as it always was, are left to decide how best to pursue socioeconomic projects. That is a model that basically entrusts resources to a small group of experts, without democratic oversight. I thought the other side were not over-enamoured with experts. If a Labour Government had done that, one suspects they would have had to face comparison to some of the USSR’s leaders.
I emphasise that I do not believe that the Minister is subject to groupthink, and I am sure, or at least I hope, that the Secretary of State would never compromise himself in the way that the Conservative ex-Prime Minister David Cameron has, by giving jobs to buddies, but the fact is that people recruit people like themselves. Surely we need broader input. Dominic Cummings said in his evidence to the Science and Technology Committee that the agency should have “extreme freedom”. The very least we should expect is that Parliament should be able to scrutinise the appointment.
To emphasise that our concerns are credible and legitimate, I point the Committee to supporting points made in evidence. Dame Ottoline Leyser from UKRI said:
“The whole ability of this organisation to operate in this edge-of-the-edge really visionary way that we are all very excited about is critically dependent on those people; and they are in very short supply.”—[Official Report, Advanced Research and Invention Agency Public Bill Committee, 14 April 2021; c. 8, Q4.]
She added that
“it is crucial for the success of ARIA—it is everything. We need to go into the search process with absolute resolve to wait until we find the right people, and not appoint people just because there is a vacancy.”––[Official Report, Advanced Research and Invention Agency Public Bill Committee, 14 April 2021; c. 16, Q13.]
On the mission, Professor James Wilsdon said that
“in relying on appointing the leadership as the route to answering the question, all you do is move the source of the problem.”
That is why the amendment is so important. The Government are not taking responsibility for the mission, so the mission is with the chief executive officer. Surely the CEO must have some accountability. As Professor Wilsdon went on to say:
“If the Government have not been able to resolve the question of what it is for, how do we identify who the right leaders are?...I don’t see how you can find the right people. If you do find people, how do you avoid it simply becoming a tool, a plaything, of their prior interests and priorities?” ––[Official Report, Advanced Research and Invention Agency Public Bill Committee, 14 April 2021; c. 19, Q16.]
The Science and Technology Committee could investigate prior interests and priorities.
We heard from Professor Philip Bond that he is
“a big believer in giving the chair and the director enormous amounts of autonomy. You pick people you are willing to bet on and then hand them a lot of trust.”––[Official Report, Advanced Research and Invention Agency Public Bill Committee, 14 April 2021; c. 25, Q20.]
We are agreed that the Bill hands a lot of trust to the CEO, without making them accountable to Parliament or the public.
Finally, I want to quote from ARIA’s statement of policy intent:
“In shaping the research, culture, and setup of ARIA, the first CEO will have a significant effect on the technological and strategic capabilities of the UK over the course of generations. They will establish the philosophies, working styles, and cultural norms that make ARIA effective and distinct. They will recruit the first cohort of Programme Managers…enable them to launch the first programmes, sign the first research partnerships, and help define the strategic advantages the programmes aim for. They will position ARIA as a distinctive part of the UK’s research funding landscape that complements and expands the UK’s funding capability.”
Given the importance of the role, as clearly set out in that statement, to the science and technology landscape of this country, how can the Minister refuse to allow the Science and Technology Committee to have a role in that appointment?
Amendment 10 would require the Secretary of State to seek the consent of the Science and Technology Committee before appointing ARIA’s first CEO. Amendments 31 to 34 would require the proposed chair and CEO of ARIA to be approved by both Houses through secondary legislation.
These amendments reflect the welcome interest across Parliament in ARIA and the recognition that the agency’s success is dependent on the right leadership, as has been mentioned. In regard to the amendments, there is no equivalent precedent, such as in the case of UK Research and Innovation. As such, we will soon launch a robust recruitment process and have designed it such that only the very best candidates will be appointed as ARIA’s first CEO and chair. An experienced and expert panel will be responsible for sifting and interviewing candidates. It will feature the Government’s chief scientific adviser Sir Patrick Vallance and Jo Shanmugalingam, who is director general for science, innovation and growth at the Department for Business, Energy and Industrial Strategy. They will be accompanied by two highly esteemed panellists from the international R&D community, whose names will be announced in due course. The final appointments will be made by the Secretary of State, who will continue to have responsibility for appointing non-executives, including future chairs.
The chair, in consultation with other non-executive members, will appoint future executives, including CEOs. Last week, Philip Bond told us that
“if you want to define the ARPA model at some level, it is this: it is a different model of trust.” ––[Official Report, Advanced Research and Invention Agency Public Bill Committee, 14 April 2021; c. 25, Q20]
We trust the chair to make, in consultation with other non-executive members, appointments to the executive board. Placing additional limitations on that would, therefore, be contrary to the important principle of ARIA’s operation. Of course, the Select Committee will be able to call on ARIA’s leadership, to take evidence and understand their vision for the role. That point was made by the Secretary of State when he appeared before the Committee on 17 March. I therefore think that the process is open, fair and robust. It is completely sufficient for finding the right people.
Surely there is a fundamental point here about the relationship between Government and Parliament, and exactly the same point could be made about every single kind of appointment. This is a power grab by Government. The Science and Technology Committee would behave perfectly properly in making any kind of assessment. Why are the Government attacking Parliament in this way?
As I previously explained, there is no precedent in the system. We will be recruiting in the same way as we do for UKRI, and it does not go into legislation. I am very confident that we will have a full and robust process for appointing the chief executive. I therefore think that this is an open, fair and robust process. It is completely sufficient for finding the right people to be the chair and chief exec of ARIA and to make it a success. As such, I hope that the amendment will be withdrawn.
I want briefly to reflect on a couple of the Minister’s remarks. She has twice referred to the fact that there is, of course, no precedent to what has been suggested and used UKRI as an example. However, it is possible to make freedom of information requests of UKRI, and the organisation is subject to public contract auditors, so the comparison is not fair or just. I respectfully suggest to the Minister that it is apples and oranges, and I think she needs to reflect on that
The Minister also said that she does not want to infringe on the principle of ARIA. What about the principle of scrutiny? What about the principle of Parliament playing its role in that process? Does that mean nothing to the Government? The hon. Member for Cambridge hit the nail firmly on the head with his final comments. The relationship between Government and Parliament is an important one, and I find it utterly bizarre, as I said earlier, that a group of MPs who were all elected on a platform of taking back control are so happy to give it away to a single individual. Surely they can all see how utterly bizarre that is, and how the public will reflect on that with complete and utter dismay.
I will reflect briefly on the debate. I am sure that many of the points will be raised again later, particularly in relation to FOI, public contracts and the sleaze in which the Government are obviously enveloped. I have to admire the courage of the hon. Member for Newcastle-under-Lyme, who has tried incredibly hard to defend the Government. I would suggest that perhaps he is trying to defend the indefensible. I am sure the Government Whip is incredibly impressed at the hon. Gentleman’s hard work in that regard, but he needs to be mindful about how tone deaf he perhaps sounds.
The very notion from the hon. Member for Loughborough that we cannot mention Dominic Cummings, even though he is the architect of the Bill, is utterly absurd. Did she not watch his evidence?
My point was that Dominic Cummings has been mentioned very frequently, but when debating the previous amendment we talked about wanting to promote women and their status in society and in science. We have here a Science Minister, but we are not referring to her with respect; we are referring to somebody else. That is what I was talking about.
I am glad that the hon. Lady has managed to make her point, but with all due respect, I do not think I, or indeed anyone, has impugned the Minister’s capabilities in any way, shape or form. All we have done is reflect on why the Bill is here in the way it is. It was set up by an individual who only got the role of chief adviser to the Prime Minister on the basis that this would become a thing. She needs to be very mindful of that.
To go back to my initial point about why we have tabled these amendments, it is about the role of this Parliament. It will be of no surprise to anyone in this room that I do not hold this Parliament in much regard. I would be quite happy for the people of Scotland to not have MPs in this Parliament, but while the public in Scotland are contributing money to this Parliament, it should have a role in providing scrutiny.
As a member of the Science and Technology Committee, I can say with almost absolute certainty that its Chair would be in favour of having a say in who becomes the CEO of ARIA.
The hon. Lady has certainly made her point very well. I will sum up, because I am conscious of time and the fact that everyone else is, too. We heard during the evidence sessions that we want someone who is cross-cutting and who is not the usual suspect. We want someone who is a divergent figure. Let us play a role in making sure that we get that person.
Question put, That the amendment be made.
We are drawing to a close. I am mindful of the time—we have literally two minutes left—so we might as well end slightly early.
(3 years, 7 months ago)
Public Bill CommitteesI beg to move amendment 7, in schedule 1, page 6, line 24, at end insert—
“(5) The Secretary of State must, in appointing the members of ARIA, have regard to the desirability of the members (between them) having relevant experience.”
This amendment would require the Secretary of State to have regard to the (collective) relevant experience of ARIA’s members when using their power of appointment.
With this it will be convenient to discuss amendment 8, in schedule 1, page 6, line 24, at end insert—
“(5) The Secretary of State must, in appointing the members of ARIA, have regard to the desirability of the members including at least one person with relevant experience in relation to each of Wales, Scotland and Northern Ireland.
(6) In this section, ‘relevant experience’ means experience of one or more of the following—
(a) the conduct of scientific research; and
(b) the development or exploitation of scientific knowledge.”
This amendment would require the Secretary of State to have regard to the (collective) relevant experience of ARIA’s members in the devolved nations when using their power of appointment.
It is a pleasure, to serve under your chairmanship, Mrs Cummins, and to return to our deliberations on the Advanced Research and Invention Agency Bill.
Both amendments concern the diversity and characteristics of the members of the board of the Advanced Research and Invention Agency. We have heard repeatedly in our deliberations that the board has a significant amount of power and autonomy. In our view, it suffers from lack of oversight, which the amendments are designed to address.
Amendment 7 would require the Secretary of State to have regard to the collective experience of ARIA’s members in the devolved nations when using the power of appointment. The Labour party believes that science can be an engine of progress for society, and that it needs to be by and for everyone, not a private cashpoint for the few. It is essential that everyone in each region of the UK benefits from the creation of ARIA.
The Government have made many levelling-up promises over the past 18 months, just as they have made many promises to support science, but it is reported that they are now on track to miss the R&D target spend of 2.4% of GDP, following the cuts to international science spend, which were debated in the Chamber this morning, and the failure to provide support to medical research charities during the pandemic, forcing them to make sweeping cuts. The Royal Society has said that the Government’s actions, such as the cuts to overseas development aid and science, and the lack of clarity until the last moment about Horizon European science funding are undermining the ambition for the UK to be a science power. We do not want the people of this country to be short-changed by the Bill, when it comes to the levelling-up agenda.
Levelling up is not possible without utilising the skills and experience of all those who have extensive knowledge of scientific research and knowledge in each nation of the United Kingdom. Each of the devolved nations possesses subtle and significant differences in their research landscapes. Our amendment would require the Secretary of State to have regard to the relevant experience of ARIA members when making appointments. We cannot expect ARIA to function effectively for every area of the Union, if its key decision makers and knowledge base are restricted to one narrow region of England. I am sure the Minister agrees.
Labour recognises that, as does UK Research and Innovation. In November 2020, UKRI chairman Sir John Kingman told the Select Committee on Science and Technology:
“We have structures that involve regular consultation with the devolved Administrations and the funding agencies in the devolved Administrations.”
He also told the Committee that this good working relationship was in contradiction to the decision not to have board-level regional representation. He said:
“It was decided at the time that there should not be representatives of the devolved countries on the board. In practice, I would say that there are two members of the current board.”
As we see, UKRI has had to struggle against the lack of representation on its board, so let us make it official and clear from the beginning that ARIA is a national body. Research and development is a vital driver of growth, and we must utilise ARIA in each region and nation to unlock new markets and create jobs. We all want significant improvement in the way in which the benefits of research and development are shared across our nation, and we want those who contribute to it to come from all areas of our nation. I therefore hope the Minister welcomes amendment 7, which would ensure that.
In the evidence sessions, we heard about the importance of public service in attracting good people to the ARIA board. Tabitha Goldstaub, the co-founder of CognitionX and the chair of the AI Council, said:
“The most important thing is that I just kept hearing time and again from the community I spoke to, similarly to what the gentleman from DARPA said, that this is a time to serve. People really want to find a place to do research that saves people’s lives, especially in the AI eco-system.”––[Official Report, Advanced Research and Invention Agency Public Bill Committee, 14 April 2021; c. 52, Q50.]
That desire to serve should be reflected by ensuring that we have people from across our nation serving. That is why we are proposing amendment 7.
Amendment 8 would require the Secretary of State to have regard to the diversity of the board members, including the representation of those with protected characteristics. The points that we are raising here were discussed in a previous debate on the SNP amendment grouped with one of our amendments, so I will not reiterate them, but I expect it to be recognised that science has a diversity problem. We want ARIA not to exacerbate that but to send a clear message against it. We are not looking to set specific quotas for ARIA, but we want to send a clear message to the scientific community and ARIA’s chief executive and chair, whoever they may be, that diversity is essential to successful scientific research. High-risk, high-reward research should not exclude women or representatives from across our nations and regions.
Amendment 7 concerns the Secretary of State’s appointment of ARIA’s non-executive members. I have spoken to many experts, scientists and researchers about the creation of ARIA over the past six months, and one thing that has been made crystal clear to me is how important finding the right people will be to ARIA’s success. That point was reiterated to this Committee in the evidence session last Wednesday. The importance of finding the right people extends to ARIA’s non-executive members, and Professor Bond offered a valuable perspective on that. He was clear that we need a balance on the board and that it should include radical thinkers and those with different backgrounds in academia and industry. I was struck by his advice that we should have a board that was,, in his words “small” and “slightly unusual”. That is an important point.
We are looking to foster a culture that takes big bets and pursues transformational ideas. We have heard over and again how rare are the people who can do that. The difficulty in finding the mix of people to best support that activity means that we should impose as few constraints as possible and cast the net as widely as we can. That is a strong argument against placing inflexible legislative constraints on the background and experience of the limited number of people we are looking for before we have been begun that process.
We will conduct robust appointment processes that will follow the governance code for public appointments. That code includes principles of fairness, merit, diversity and integrity, which speak to the intention of the amendment.
I can confirm that we are looking for incredible people; I have made that clear.
There is another area where we are in danger of over-engineering ARIA: in governance arrangements. Although I share the belief of the hon. Member for Newcastle upon Tyne Central that a well-balanced board will be important for ARIA, I also believe that there are sufficient incentives and processes to support that without any further legislative constraint. For that reason, I encourage the hon. Lady to withdraw the amendment.
I thank the Minister for her response. Will she say whether there are any factors that the Secretary of State should consider when making these appointments? For example, schedule 9 to the Higher Education and Research Act 2017 establishes that the Secretary of State must consider the collective experience of the UKRI board when making appointments. Are there no factors that should be considered in the case of ARIA?
As I said, we will have a really robust appointment process. All those things will be taken into account to get that incredibly special person that we need to lead ARIA.
Amendment 8 also concerns the appointment by the Secretary of State of ARIA’s non-executive members. As I have said, I strongly believe that we should impose as few constraints as possible and cast the net as widely as we can in finding ARIA’s members. There is a real risk that placing inflexible legislative constraints on the background and experience of that limited number of people we are looking for will hamper our ability to find the right person.
I do, however, recognise that it is important for ARIA to be fully connected to the outstanding R&D activity in Scotland, Wales and Northern Ireland. That will require ARIA to build strong partnerships with institutions and businesses in all four nations. I echo comments from elsewhere about the fundamental importance of relationship building to this activity, but it is not necessarily possible to legislate for that. In the recruitment for the CEO and chair, we will work with the devolved Administrations and stakeholders across the United Kingdom to broaden the search for potential candidates, to encourage geographic diversity from the outset of these discussions. That approach, seeking as far as possible to ensure that the pool of people considered for positions in ARIA is representative of the geographic diversity of the UK, is the right one. ARIA would ultimately not be served by extensive and specific requirements that limit the options. I therefore cannot accept the amendment.
I thank the Minister for her response. We are hearing again that ARIA is not to be subject to regulation or oversight, regardless of what form that takes. The flexibility of which the Minister speaks can be seen by others as cronyism or the opportunity to ensure cronyism. The public are sick of mates being appointed without oversight. As I said in my intervention, other boards, such as the UKRI board, are required to consider the experience of the board before making further appointments. Would the Minister consider it acceptable if the entire board came from, say, Cornwall, which is not very representative, or had expertise only in nanotechnology? Cornwall is a very nice place and nanotechnology is an excellent scientific subject, but we heard from witnesses about the importance of having diversity of thought, background and experiences.
For the avoidance of doubt, we are happy to support the two amendments. On the issue of geographical experience, if we go with geographical knowledge as well, and perhaps get people who have specific expertise in, for example, energy-related technologies, such as we have around Aberdeen, and in technologies around AI, which we have in the area around Edinburgh, then we have geographic hubs as well as experience hubs. The amendment nicely allows for ARIA to make sure that it encapsulates all of that and not just, as the hon. Lady says, nanotechnology, which is brilliant but is not the only thing that we should focus on.
I am in absolute agreement with the hon. Lady. She highlights an important issue. We want ARIA to be transformational. We heard the Minister underline that we want ARIA to transform real people’s lives, but how is ARIA to do that if its members do not have experience on the ground in the different regions and nations of our country and if they do not understand the way in which the supply chain works in Aberdeen, for example, for specific technologies and sectors? We do not want ARIA to have a narrow focus or a narrow background of expertise. On that basis, I wish to press the amendment to a vote.
Question put, That the amendment be made.
I beg to move amendment 11, in schedule 1, page 6, line 31, leave out sub-paragraph 4 and insert—
“(4) The Secretary of State may refuse consent under sub-paragraph (3) only where the Secretary of State considers—
(a) it necessary or expedient in the interests of national security, or
(b) the person is unable or unfit to carry out the functions of the office.”
This amendment would allow the Secretary of State to refuse consent to the appointment of an executive member of ARIA on the basis of their unfitness or inability to carry out the functions of the office.
With this it will be convenient to discuss amendment 12, in schedule 1, page 7, line 11, leave out sub-paragraph 2 and insert—
“(2) The Secretary of State may remove a person from office as an executive member if the Secretary of State considers—
(a) it necessary or expedient in the interests of national security, or
(b) the person is unable or unfit to carry out the functions of the office.”
This amendment would allow the Secretary of State to remove an executive member of ARIA on the basis of their unfitness or inability to carry out the functions of the office.
I am not daunted by the 6:9 defeat that we have just experienced. We will continue in the hope of winning over Government Members to the improvements that we wish to see in the Bill. The amendments, which stand in my name and those of my hon. Friends, are just such constructive amendments to improve the Bill and, more specifically, to actually give the Secretary of State greater powers than he, perhaps in his modesty, has set out in the Bill.
Amendment 11 would allow the Secretary of State to refuse consent to the appointment of an executive member of ARIA on the basis of their unfitness or inability to carry out the functions of the office. Amendment 12 would allow the Secretary of State to remove an executive member of ARIA on the basis of their unfitness or inability to carry out the functions of the office. The amendments are necessary because greater oversight and responsibility are needed to avoid even the suggestion of the taint of sleaze being attached to science.
This morning, in response to amendment 10, through which we intended the Science and Technology Committee to review the appointment of the chief executive, I think the Minister said that we needed a different model of trust. The public need the existing models of trust to be upheld by our Parliament, our Ministers, our Executive, and the executives of agencies such as ARIA. It should also be clear that the Government are taking responsibility for who is on ARIA’s board and has control of £800 million of public money and, more important, control of our scientific—and therefore economic—future.
The Bill places huge responsibility and power in the hands of ARIA’s CEO with little ongoing accountability. The Secretary of State is responsible for appointing the chair, other non-executive members of the board, and the first CEO. All subsequent CEOs and all other executive board members will be appointed by the chair after consultation with the other non-executive members, as set out in paragraph 3(2) of schedule 1. Such appointments cannot be made without the consent of the Secretary of State, but as the Bill stands, the Secretary of State can refuse consent only on national security grounds. Why are national security grounds the only grounds on which somebody might not be fit or suitable to serve on the board of ARIA?
Should other grounds, such as wanting to pursue eugenics in great depth, not be considered reasons not to appoint somebody to a board?
My hon. Friend raises an important point. As we heard in earlier discussions, there are concerns about the areas of science, such as eugenics, that might be championed or accepted by potential board members. I would hope that belief in eugenics was sufficient to consider someone unfit for the board, but, as it stands, the Secretary of State would currently have no power to refuse consent for an appointment on that basis. I find it interesting to consider the workings of the Secretary of State’s mind here. National security is clearly a critical issue, and it is the first duty of any Government to protect their citizens, but are there no other reasons why somebody might not be suitable?
This is an opportunity; we can help spare the Government future embarrassment. Quite frankly, if we have this set of out-there people running the organisation and they then choose to appoint someone highly controversial, it could be extremely embarrassing. I remember occasions when Labour Secretaries of State had difficulties with scientific advisers. These are controversial areas, and I can foresee an extremely difficult situation. Without an ability to intervene, where does it lead?
My hon. Friend makes an important point. It is important to understand that ARIA will be an independent agency, but it will be spending taxpayers’ money and it will therefore reflect the public and the national interest. If somebody is recruited who, at the time or later on, is found to have views that are abhorrent to society, or not fit to serve on the board for other reasons, by what process could or would such a person be removed from the board? If, for example, after appointment of a member to the board, it was found that they championed eugenic research or that they believed in anti-vaccination mythologies, for example, would there be any means by which they could be removed?
Does the shadow Minister find it bizarre, as I do, that we have a higher bar for taxi drivers, for example, who have to pass a “fit and proper person” test in order to become a taxi driver, than for these people, who will be spending millions of pounds of public money? I recognise that that is a sensible thing to do, but there is not the level of oversight that we have for people such as taxi drivers.
The hon. Lady makes a very good point on the comparison with a “fit and proper person” test for taxi drivers. That underlines the point I was going on to make. In the Bill, there is no statutory requirement for members of ARIA to possess scientific expertise or experience, whether individually or collectively. There is no floor—there is no minimum requirement—for their expertise. We have heard a lot about how wonderful and amazing and visionary they must be, but we have not heard about any floor for that expertise and, as I said earlier, there are no “have regard to” factors that the Secretary of State must consider when making appointments. Schedule 9 to the Higher Education and Research Act 2017, for example, establishes that the Secretary of State must consider the collective relevant experience of the UKRI board when making appointments. In this Bill, there is no floor. That is a huge concern for the Committee.
In the evidence session, Professor Philip Bond said:
“What you are doing in creating this kind of model is handing trust to people. You want people with high integrity who are brilliant, and then you let them get on with it, and you trust that they will do something that reflects their character.”––[Official Report, Advanced Research and Invention Agency Public Bill Committee, 14 April 2021; c. 25, Q20.]
With the examples that we have seen of Tory cronyism, do the Committee really think that we can just rely on trust when it comes to public interest and the public purse?
One of the fundamental roles of a director is to exercise reasonable care, skill and diligence. As that is part of the fundamental concept of a board, I would suggest it is the collective responsibility of the chief executive and the entire board, not the responsibility of the Secretary of State.
The hon. Member makes an interesting point, and it would be excellent if we understood better how the board would collectively exercise responsibility. When we talk about a board exercising collective responsibility, that is absolutely true. That is right, and it is what happens in the private sector. I would be interested to know whether the reporting requirements on private sector boards will apply in this case, but this is public money. It is £800 million of public money—taxpayers’ money. Particularly as we come out of a pandemic and recession, there are many worthy recipients of that money. Is the hon. Member truly saying that it should be spent and directed by people who have no accountability and cannot be removed? The Secretary of State is responsible for their getting the money, but will have no ability to remove them, no matter how unfit they prove themselves to be. On the basis that the amendments offer the Secretary of State further powers to ensure the fitness of the board, I hope that the Minister will accept them.
Amendment 11 would extend the right of the Secretary of State to refuse an executive member appointment to include refusal of consent where a person is
“unable or unfit to carry out the functions of the office.”
It is important that the Secretary of State’s refusal rights are limited to where it is necessary and expedient on national security grounds. The freedom for the chair to hire the executive leadership team is a key feature of ARIA’s independence from Government. The Secretary of State will hire a top-quality non-executive team who have the experience and expertise to oversee ARIA. We should trust their judgment to hire an exemplary set of executive members. I remind the hon. Member for Newcastle upon Tyne Central that the Secretary of State will appoint the inaugural chief executive officer and will set the tone for the quality of the future executive member hired by the chair, and I hope she will withdraw her amendment on that basis.
I will now move to amendment 12, building on my comments with respect to amendment 11. Once appointed, the terms of employment for executive members’ contracts are determined by the chair, with the consent of the Secretary of State, and only after consulting other non-executive members. They are expected to include standard provisions that would allow the chair to remove an executive member from office if that person is deemed unfit or unable to carry out the functions of the office.
I thank the Minister for her earlier comments. Can she clarify what she means when she says, “They are expected to include standard provisions”? Is she saying that they will include the explicit provision for the CEO and the chair to remove members, and under what criteria or circumstances?
To reiterate, and building on my previous comments, contracts are determined by the chair. The contracts that people will have are to be negotiated. Furthermore, in extremis, the Secretary of State may remove the chair and other non-executive members if he or she is particularly concerned by the quality of executive members recruited by the chair. It is for those reasons that the amendment is not necessary, and I hope the hon. Lady will not press it.
We have asked an awful lot of questions about the appointment of the CEO and chair. Does the Minister understand that her answers have not given us comfort? To say that the roles will be appointed by the chair and the chief executive does not help us a huge amount, because we are not very happy about the process of appointing those people, so for them to be able to appoint other people does not help us in any way, shape or form. Having more safeguards in place would give us comfort that those people will be fit to do the job.
I echo the point made by the hon. Member for Aberdeen North. We recognise that a significant amount of power lies in the chief executive and the chair, and there is no oversight from Parliament or others of those appointments. To say that the chief executive and the chair will have the power according to contractual negotiations to remove members does not reassure us. The Minister said that the Secretary of State could, in extremis, remove the chair. Would she write to me to set out what the in extremis circumstances would be?
I am keen not to detain the Committee unnecessarily. We are raising important matters, but since the Minister is not happy to accept them, I beg to ask leave to withdraw the amendment.
Amendment, by leave, withdrawn.
I beg to move amendment 13, in schedule 1, page 9, line 11, leave out paragraph 11 and insert—
“11 The Secretary of State must by regulations make provision establishing the procedures to be adopted for dealing with conflicts of interest of members of ARIA, members of a committee or sub-committee or ARIA’s employees.”
The amendment seeks constructively to improve the Bill by providing greater transparency and oversight, and thus avoid potential scandals of sleaze that are currently overwhelming various aspects of this Government. The amendment would require that the Secretary of State make regulations to establish the procedures to deal with conflicts of interest involving ARIA’s members and staff. We recognise that ARIA should have close links with the private sector. ARIA will not be able to achieve its transformational goal without working closely with the private sector.
As was stated in the evidence sessions, part of the UK’s particular challenge is the commercialisation of existing fantastic ideas, so working closely with the private section is important. However, the Committee must be aware that we have seen time and again, particularly now, that the revolving door between the private and public sectors can be open to abuse, especially—I say reluctantly—under this Government. Only last weekend, writing in The Observer—other newspapers are available; I mentioned The Daily Telegraph earlier, so I am trying to be fair—the senior Conservative MP and Chair of the Liaison Committee, the hon. Member for Harwich and North Essex (Sir Bernard Jenkin) said:
“The line between public service and private gain is shamefully blurred”.
He went on to say:
“In the meantime, the government can establish not so much new rules but new processes and education, which encourage more of the proper conversations about values, integrity, ethics and how to behave when there might be potential, or even just perceived, conflicts of interest.”
He went on to recommend training in conflicts of interest. Again, we are constructively giving the Government —obviously the Bill was drafted before some of the scandals that they are embroiled in came to light—the opportunity to follow his advice.
I thank the hon. Lady for the other Newcastle for giving way. She draws a comparison with DARPA, but is the more obvious comparison not with UKRI? Like ARIA, UKRI is bound by the code of conduct for board members of public bodies, which includes. for example. the obligation to declare publicly any private financial or non-financial interests that may, or may be perceived to, conflict with one’s public duty. That speaks to the point that my hon. Friend the Member for North Norfolk made: we would not expect the kind of people we will appoint to the board to act in the ways that she seems to think they will.
I thank the hon. Member for the second Newcastle for that contribution. I will make a couple of points in response. Let me gently say that Government members of the Committee are trying somewhat to have it both ways, in saying that ARIA will be like UKRI while not putting in place any of the measures, systems or processes of accountability to require it to be like UKRI, building on the fact that ARIA is, as I understand it, meant to fill a gap in our research landscape.
On whether ARIA will follow all the rules that UKRI follows, I am pretty sure that the answer to that is no, because as I understand it, it is not going to follow freedom of information or procurement rules. We have seen over the past few months with the scandal over Greensill—this is what the comments from the Chair of the Liaison Committee were about—that the existing rules and regulations are not sufficient. Finally, for the hon. Member for Newcastle-under-Lyme to say that we can expect these people to behave better because they are going to be better than that—really? Many scandals have been founded on expectations like that and again, we do not want the touch or hint of scandal near our fantastic science base.
Can I have some clarity from the hon. Lady? The point made by my hon. Friend the Member for Newcastle-under-Lyme—the other Newcastle—was that there is already a written requirement for members of these kinds of bodies to make full disclosure. If they are going to ignore that, why does the hon. Lady think that they would not ignore a regulation from the Secretary of State saying exactly the same thing?
I thank the hon. Member for his contribution, which I think was made in a constructive sense.
I think the Chair of the Liaison Committee is making a point about that guidance. Clearly, it was not sufficient for David Cameron and it is clearly not proving to be sufficient in other cases. I hope that, as this amendment sets out, it is not simply about declaring. This is a critical part and I am grateful to the hon. Gentleman for allowing me to emphasise it. The amendment does not say they should declare conflicts of interest; it states that the Secretary of States makes regulations—detailed, I would say—establishing the procedures to deal with conflicts of interest. That is the key thing. This stems from the need to have a close working relationship with the private sector, which will give rise to conflicts of interest that may be quite complex, especially with new and evolving technologies, which may go on to complex and potentially international supply chains. Those conflicts of interest may be complex, involving equity stakes and so on. We need procedures to deal with them that are more detailed than the current general ones and which are specifically targeted at ARIA’s unique role.
Dr Regina Dugan, the chief executive officer of Wellcome Leap, effectively supported that proposal:
“The particular way that we work is through contracts; we do not actually do grants. I also think that this position of not taking equity is important, because the non-profit element of it is part of the differentiation, and we have an entire commercial sector that is good at assessing value and figuring out return on investment.”—[Official Report, Advanced Research and Invention Agency Public Bill Committee, 14 April 2021; c. 48, Q43.]
What is different with ARIA is that it is, potentially, going to be taking equity, which can raise more complex conflicts of interest.
Professor Pierre Azoulay of the Massachusetts Institute of Technology said that
“the programme managers at DARPA and also at ARPA-E—the Advanced Research Projects Agency-Energy—have a fixed expiration date, which means they will need to go back to academia or to the venture capital firm or large firm that they left, and generally they want to do so with their head held high and their reputation intact. I think that that has created over time a norm of correct behaviour, if you will, and the absence of cronyism.”—[Official Report, Advanced Research and Invention Agency Public Bill Committee, 14 April 2021; c. 38, Q30.]
We want to see that norm of correct behaviour established through supporting processes and procedures. I asked Dr Highnam,
“What should we be looking for in the directors and programme managers as the key positive part of the culture that ARIA should seek to build?”
He answered:
“Honour in public service is top of the list.”––[Official Report, Advanced Research and Invention Agency Public Bill Committee, 14 April 2021; c. 39, Q32.]
I should say that I have not heard any Government witness or Minister emphasise the importance of honour as a key characteristic of board members. I think it is really important that procedures to deal with conflicts of interest are established. That view is shared by the Chair of the Liaison Committee, who has said
“After the dust settles over the Greensill affair, I suspect that we will find that the lack of judgment over David Cameron’s approaches to ministers is less important than the general failure to address what has become a casual approach to conflicts of interests amongst many in government and in politics…All can see now the general inability of the various codes and systems”—
to the points made—
“of oversight, such as the toothless advisory committee on business appointments, to provide sufficient transparency and accountability, which is why even its chair, Lord Pickles, wants reform.”
When the Chair of Liaison Committee, who is much respected on the Government Benches, says that, and when we are mired in scandals as a consequence of a lack of appropriate conduct and clear processes and procedures, I urge the Minister to accept the need at the very least for greater detail when it comes to avoidance of conflicts of interest. I urge her to accept the amendment to establish processes and procedures to avoid conflicts of interest in this new body, which is critical to our future economic and scientific prosperity.
It is a pleasure to be part of a Committee that you are chairing, Mrs Cummins. I fully endorse what my hon. Friend has said about the amendment. In fact, she has pretty much said it all, but there are one or two points that I want to add.
We are considering a profound set of issues. The evidence sessions showed some fundamental differences in culture between our country and the Americans, and it is their example on which we are largely modelling our initiative. To some extent it goes to the problem that we are facing as a country at the moment. For a long time, we rather considered ourselves not to be prey to such conflicts; we had a British way of doing it. Procedures were not necessarily written down, but there were understandings and people behaved properly. The sad truth is that over the past 20 to 30 years, somewhere that changed. That is the truth, and that is why we are in the current situation.
In the evidence session with the Americans, I was very struck at one point when we were pressing them on how they avoided conflicts of interest. Their response was a kind of American swelling of patriotic pride, as they said that they would not do that because it would somehow harm the American dream. [Interruption.] Exactly. People in Britain are different; it is not that we are not proud of our country or patriotic, but I would say that our patriotism is different from theirs.
My hon. Friend makes an important point. Perhaps the fact that DARPA is part of the US defence establishment, with all the military honour and commitment to the defence of the nation, is one of the reasons why honour was held so high by the Americans. Does he agree that the absence of any mission and any departmental ownership of ARIA means that will not be the case in the UK?
My hon. Friend has touched on a very important point. It was something that I tried to draw out in some of the evidence sessions. I would point Members to an excellent book written a few years ago by Lord Sainsbury, an esteemed former science Minister. He talked about the differences in culture between Europe, America and the UK, and warned against just trying to transpose one system to another, unless one really understood the cultural context. We have not mentioned it so far today, as it has very much been about natural sciences and perhaps, mea culpa, engineering at the beginning, but the social sciences may be biggest challenge of all. That was touched on at one point in the evidence sessions when one of the witnesses said it is not just a matter of the technologies, but public acceptance and understanding of them. It will require some really innovative work from social scientists to understand how that will work.
On amendment 13, the framework document to be agreed between the Department for Business, Energy and Industrial Strategy and ARIA, which will complement the Bill, will commit ARIA to the code of conduct for board members of public bodies, which sets out the personal and professional standards expected from board members, and forms part of individual members’ terms and conditions of appointment.
The code of conduct includes, for example, the obligation to declare publicly any private financial or non-financial interests that may, or may be perceived to, conflict with one’s public duty. I believe that that principle-led, non-legislative approach is appropriate. Indeed, it is the standard approach taken by many other arm’s length Government bodies, including UKRI. That approach allows ARIA to manage conflict of interest risks in a flexible way that is best suited to its operations.
I agree wholeheartedly with what Dr Peter Highnam said last week about what we should be looking for in the CEO to build the right ARIA culture:
“Honour in public service is top of the list.”––[Official Report, Advanced Research and Invention Agency Public Bill Committee, 14 April 2021; c. 39, Q32.]
We will instil that sentiment in ARIA from the outset, starting with the recruitment of the chair and the CEO. We also have an additional assurance, in that the Bill includes a reserved power to introduce additional procedure, in law, should that be necessary once ARIA is operational. I believe that the hon. Member for Newcastle upon Tyne Central should take great comfort in the reserved power set out in paragraph 11, and I ask her to withdraw the amendment.
I thank the Minister for her response. I take most comfort from her unequivocal statement that honour in public service is a key characteristic that will be looked for in the chief executive officer of ARIA, because I had not heard such a strong statement about the need for honour, or even for public service, in ARIA’s mission. I take more comfort from that than from the confirmation that ARIA board members will be subject to existing rules about conflicts of interest. As we have heard, those rules are not sufficient. For example, in one of the recent scandals it was found that the Secretary of State for Health and Social Care owned shares in a company that had received a significant contract from his Department, and there were questions about whether the requirements for declarations of public interest had been met.
We in the Opposition have said a number of times that ARIA is an organisation that will necessarily give rise to important conflicts of interest, so it needs more detailed procedures and processes. I do not want to detain the Committee, however, and I hope that the Minister will look at the issue in the future. I will not push the matter to a vote, so I beg to ask leave to withdraw the amendment.
Amendment, by leave, withdrawn.
I beg to move amendment 14, in schedule 1, page 10, line 5, at end insert—
“(3) The report shall contain information regarding—
(a) the proportion of ARIA’s funding in the relevant financial year which has financed activities taking place (in whole or in part) outside the United Kingdom, and
(b) the national and regional distribution of activities in the United Kingdom supported by ARIA’s funding in the relevant financial year.”
This amendment would require ARIA’s annual report to contain details of the geographical distribution of activities funded by ARIA.
With this it will be convenient to discuss the following:
Amendment 30, in schedule 1, page 10, line 5, at end insert—
“(3) This report must include statistics regarding the percentage of its funding disbursed in each region of the UK.”
This amendment is intended to provide greater transparency about the destination of ARIA’s funding disbursements within the UK.
Amendment 16, in clause 2, page 2, line 10, leave out “in” and insert “across”.
This amendment would require ARIA to have regard for the benefits of its activities across the nations and regions of the UK in exercising its functions.
Amendment 17, in clause 2, page 2, line 12, leave out “in” and insert “across”.
See the explanatory statement for Amendment 16.
Amendment 18, in clause 2, page 2, line 14, leave out the first “in” and insert “across”.
See the explanatory statement for Amendment 16.
These amendments are all concerned with ensuring that the benefits of ARIA are spread across our country and contribute to a more equal and prosperous country. Amendment 14 would insert a new sub-paragraph requiring ARIA’s annual report, for which there is provision elsewhere, to contain details of the geographical distribution of activities funded by ARIA, while amendments 16, 17 and 18, which relate to clause 2, would require ARIA to have regard for the benefits of its activities across the nations and regions of the UK in exercising its functions.
We tabled these amendments in a constructive spirit, to improve the Bill in line with the Government’s own aims, as we understand them. During and since the general election, there has been significant discussion about the importance of ensuring that our whole country benefits from economic prosperity and from the transformational impact of ARIA.
I accept what the hon. Lady says about geographical spread and making sure that we are treating the country fairly and levelling up, but we have to accept that while £800 million over a four-year period is a lot, £200 million a year is not a huge amount. We know that we are focusing ARIA on a small number of projects. The danger is that we dilute the impact that ARIA could have using that money by trying to demonstrate that we are spreading it equally across the country. The danger with that is that we do not achieve what we set out to achieve in the first place.
There are two challenges here. ARIA’s funding is between 1% and 2% of the UK’s science spend, depending on whether the aims of the current Government are actually met, so in some respects it is considered too small to be subject to reporting requirements. Yet we also hear of how it is expected—indeed, required—to have a transformational impact on all our lives. If that impact is going to be transformational, surely it is critical that it should be as equitable as possible.
We have tried very hard to reflect those slightly conflicting aims. Amendment 14 is a reporting requirement; amendments 16, 17 and 18 are to “have regard to”. We have not set targets. We have not said that it has to be a certain proportion, but particularly with regard to amendment 14 there can surely be no objection to reporting how the funding has been spent. That is a basic requirement of transparency.
The hon. Member is right to infer that people may draw conclusions from that reporting, but I tend to feel that information is empowering, regardless of what the conclusions are, so the amendment takes a reasonable line between requiring that the spend be in some respects regionally distributed, which it does not do, and ensuring that the information is there to assess the extent to which ARIA is living up to its overriding goal—again, we do not have a mission, so let us say goal—of transforming our society.
The Opposition believe that that goal is possible. We believe that science and research, as I have said, can be the engines of progress for our society, but it needs to be for and by everyone, not simply for the few. It is essential, as I have said, that each region of the UK benefits from the creation of ARIA. The Secretary of State told the Science and Technology Committee that the Government wanted ARIA
“to reflect the wide talent and geographical spread of the United Kingdom”,
but there is nothing in the Bill to measure the extent to which it does that. As we have seen, the Bill fails to mention the devolved nations and does not outline any reflection of the geographical realities of the United Kingdom.
Amendment 14 is simply about requiring reporting so that the Government—whichever Government we have—can measure the impact that ARIA is having on the very important desire to reduce the regional inequalities in our country. It does not tie the hands of ARIA’s leadership; it just imposes reporting requirements. That is really important when we reflect that the Campaign for Science and Engineering found that for every £1 invested by the Government on research and development we receive 20p to 30p back each and every year. Surely we have a right to know where that money is going geographically, as well as which areas it is going to.
As a northern MP, I know that the north receives less than half of the life sciences investment per head that the south of England does, despite having great teaching hospitals and significant health inequalities that truly need to be transformed. We heard an important contribution from Tabitha Goldstaub of CognitionX, who said that
“ARIA has to be independent, but it also needs to ensure that it works really closely with central Government and with regional and local government. Local government spends about £1 billion on procurement, and cities are key investors in infrastructure, so finding a good link with local government, as well as with central Government, is important…Regional strengths deliver benefits to actual localities.”––[Official Report, Advanced Research and Invention Public Bill Committee, 14 April 2021; c. 56, Q54.]
We also heard from John Kingman, the chair of UKRI, that its structures involve regular consultation with the devolved Administrations. It is important that we see how well ARIA is able to benefit also from that engagement, whether indirectly through the UKRI or through its competitions and other means of funding.
I feel passionately about this issue because I represent a part of the country that often comes in for criticism, in the sense that some people, even some of my colleagues, say to me, “You’ve already got everything—you shouldn’t be getting any more.” This is a complex argument. If some areas have a long tradition of doing well and competing internationally, we can hardly deny them the resources to carry on with their work. However, we are painfully aware that there is a danger of overheating in some parts of the country.
I chair the all-party parliamentary group for the UK’s innovation corridor, which is, essentially, London-Stanstead-Cambridge, and there is much discussion at the moment about the Cambridge-Milton Keynes-Oxford arc—the so-called golden triangle. The discussion seems to have been going on for years and years—certainly for as long as I have been in this place, and long before that. There is this hope that through the clustering effects we can do much better than we already do, and we look to examples in other parts of the world to see how it is done.
The reason I support this amendment is that this is not simple or easy. There have been many attempts to spread the Cambridge cluster effect. In fact, ironically, it often seems to cluster more and more in particular bits of Cambridge. It is very hard to get people to go to other places, but that is what we want to try to encourage. One of the ways in which we will do that is by having the data and the information. This is a great opportunity for ARIA to be mindful of that in its report. It is not a difficult thing to do. It should tell people what is going on and where it is putting its resources. If it is not working in the first few years, that would give us the opportunity to intervene and make a change.
Once again, my hon. Friend has reminded me in his excellent contribution of an important point that I should have made, which was that the regional development agencies, abolished by the Conservative coalition in 2010, did report on regional innovation and science spend. Whenever I speak to the North East England chamber of commerce, I am told that one of the difficulties in making the knowledge exchange framework accessible or understandable is the lack of data on regional science spend. Part of the point of this amendment is to help restore some of that data.
That is absolutely right. One of the many tragedies of the last 10 or 15 years has been the fact that strong attempts by the last Labour Government to have a positive regional policy were swept away. Vince Cable, I think, described the destruction of the regional structures in 2010 as positively Maoist. Astonishingly, Lord Heseltine later came to Cambridge to bang the drum for regionalism outside the very offices that had been shut by his own Government a few months earlier.
We do not have a good record on regional policy in this country. We need to do better in future, for everybody’s benefit. Frankly, my city can do without the overheated house prices and the problems that come with everything being clustered in one place. It would be good for us, but also for everybody else, to get more balanced economic growth across the country.
We could do one small thing today—and I really do not see how it would be difficult for the Government to concede. I do not know how many Bill Committees I have been on—I have never yet had any success, although I live in hope. I make this plea, however, because I really do not see how the concession could be that painful.
I rise, obviously, to speak in favour of SNP amendment 30, which almost ties in with what is proposed by the shadow Minister. It is about providing greater transparency on the destination of ARIA’s funding disbursements within the UK.
I just want to pick up on a couple of things that have been said already. The shadow Minister reflected on the fact that the Bill makes no mention of the devolved nations. She almost seemed surprised, but that took me a bit aback because I am not surprised at that in any way, shape or form. I do not think anyone even on the Government Benches is over-surprised that they forgot to mention Scotland, Wales and Northern Ireland.
The hon. Member for South Basildon and East Thurrock mentioned his concerns about drawing conclusions. Yeah, I will be drawing conclusions about where that money goes and I am sure that every single person in Scotland will.
If we were discussing how the Government aim to spend our £22 billion a year on science and research, there would be a much better argument for the amendment. But we are talking about high-risk, high-reward science, where a focus on a particular technology has the transformational effect that we are after. That might be the University of Strathclyde and its quantum technology research—I have no objection to that being the area of funding. But if the area happens to be Cornwall, Cambridge, London or somewhere else, I do not think we should hamper ourselves on this particular aspect of a new agency by trying to set targets. We know that if we set a target, someone tries to meet it.
I understand the point that the hon. Gentleman is making, although I would caution that, when speaking to an MP from Aberdeen, people do not tend to mention a Glasgow university—it doesn’t go down too well, that’s for sure.
I understand the purpose of the hon. Gentleman’s point, but he must understand our concerns about making sure that Scotland receives its fair share of funding and investment from the UK Government while we remain a part of the United Kingdom. That ties into the wider narrative from this UK Government since the 2019 election. The views and will of the people of Scotland have been completely disregarded.
What we are seeing from the UK Government are attempts to impose their will on Scotland. We saw that with clause 46 of the Internal Market Bill and with the levelling-up fund that bypasses devolution but does not deliver for the communities in Scotland that it is needed for. This fits into our wider concern about the direction of funding from the UK Government.
As I said earlier, £800 million is involved. While Scotland is still a part of the UK we will take an interest and argue Scotland’s case for getting that funding into Scotland. It should, of course, be at the Barnett level. I would welcome assurances from the Minister that we will see investment in Scotland—not necessarily in Glasgow or at the University of Strathclyde, but perhaps in Aberdeen: that would be much more beneficial. I hope that we will see that level of investment in Scotland and I hope that she will provide that commitment, in which case I will be able to withdraw my amendment.
Does my colleague agree that what we saw happening in relation to Northern Ireland—the money funnelled there and the fact that we did not get our Barnett amount of that cash—increases our worry about the fact that we might not see the Barnett amount for ARIA either?
Absolutely; my colleague is spot on. As I said, this is not new, and the example she has provided is another clear indication of this UK Government’s failure to take cognisance of Scotland’s needs. If the Minister wishes to stand up and tell me that Scotland will get its fair share and we will get a Barnett sum spent in Scotland, I will be more than happy to withdraw my amendment; otherwise, I will push it to a vote to ensure that Scotland’s needs are met.
I shall turn first to amendments 14 and 30. The objective behind them is really important; we have spoken extensively about the need for ARIA’s funding to reach beyond the usual suspects. In my view, that applies to where that funding goes as much as to the formality of the research setting. That also reflects the wider Government priority. The R&D places strategy, due to be published this summer, represents a key part of our ambitions for R&D and innovation. It builds on the approach set out in the R&D roadmap.
The purpose of the places strategy is to ensure that R&D benefits the economy and society in the nations, regions and local areas across the United Kingdom, contributing to the Government’s wider levelling-up ambitions. I would like to make one key point about ARIA: as discussed previously, many of the details of ARIA’s operation will be set out more fully in a future framework document. I suggest that that document is the appropriate place for stipulations on the content of ARIA’s annual report.
It is extremely likely that ARIA will be required to provide in that report the type of geographical information sought in the amendments, but it would be beneficial to consider that in the round, alongside the other information that we might require ARIA to include in the report. The most appropriate and helpful information for ARIA, or Government bodies generally, to provide may also change in the future. To include specifics on the face of the Bill is impractical in that respect, as that would be inflexible.
On amendments 16, 17 and 18, ARIA will seek transformative scientific and technological breakthroughs, the outputs of which will have benefits across the United Kingdom. For example, a leap forward to driverless technology could create economic benefit to improve the quality of life across the UK. The attraction of the ARPA model is that its funding is laser-focused on achieving transformative outcomes. While £800 million up to 2024-25 is a meaningful amount of funding, it is a small proportion of the R&D spend. For those reasons, I urge the hon. Member for Newcastle upon Tyne Central to withdraw her amendment.
I thank the Minister for her response. I am pleased to hear that she believes that the information requested in amendment 14 is likely to be included in the reporting requirements of ARIA. On that basis, I am—well, “happy” is not the right word, but I will withdraw amendment 14. I do so also on the basis that she understands its importance.
I feel, however, that in her response to amendments 16, 17 and 18, the Minister has had it both ways: she is saying that the benefits will be felt across the nation but that a requirement to have regard for the benefits across the nations and regions of the UK is too much. Its borders may move, but the geographical reality of our United Kingdom as a country of nations and regions will, I hope, remain, and so a requirement to have regard to the benefit across the nations and regions seems eminently sensible—indeed, it is a minimal requirement. I would like to press amendment 16 to a vote later, but I beg to ask leave to withdraw amendment 14.
Amendment, by leave, withdrawn.
I beg to move amendment 29, in schedule 1, page 10, line 5, at end insert—
“(3) The report must include—
(a) statistics on the gender balance of—
(i) executive board members
(ii) non-executive board members
(iii) senior staff; and
(b) financial information on the gender pay gap among ARIA employees and appointees.”
This amendment is intended to ensure that this public body may be held accountable for its gender representation.
The Minister just made a helpful comment about the memorandum of understanding that will happen between BEIS and ARIA, but her comment was not quite strong enough for me. She said it was likely to include these things—perhaps very likely. Will the Minister tell us that it will include the geographical disbursement covered in the previous amendment, and the gender balance of the board members and senior staff and the gender pay gap, as covered in amendment 29? If we are asking companies to report on the gender pay gap in their annual reports, as we are and should be doing, it is not out of the question to ask ARIA to do the same.
The measure is particularly important because the Government are absolutely intent on excluding ARIA from freedom of information; if ARIA is excluded from FOI, we are not able to see that information. We will not have the level of scrutiny that we normally have over a public body. We have talked at some length— the shadow Minister spoke at some length—about the importance of gender balance, diversity and having women in senior roles. It is also important that we do not have a gender pay gap within ARIA. We know that the glass ceiling in areas such as engineering is very significant. We want to ensure that women are promoted to all levels within the organisation, that women are paid fairly within it and that we are able to scrutinise the information.
I would really appreciate it if the Minister stood up and said, “Yes, absolutely—we will be negotiating that as part of the MOU.” That would be massively appreciated because it is incredibly important.
I rise briefly to speak in support of the amendment. As the Bill stands, ARIA will not be subject to freedom of information requests. If there is no requirement to report on gender balance and the gender pay gap, will we have any understanding of the way in which ARIA is reflecting the gender diversity that we hope to see in the organisation?
Again, I draw hon. Members’ attention to the existing obligations under the public sector equality duty and the Equality Act 2010, to which ARIA will be subject. Under the public sector equality duty, ARIA must, in carrying out all its functions, have due regard to the need to eliminate discrimination, harassment, victimisation and any other conduct; advance equality of opportunity between persons who share a relevant protected characteristic and persons who do not share it; and foster good relations between persons who share a relevant protected characteristic and persons who do not share it.
This is a strong statutory duty that will apply to the recruitment and remuneration of ARIA staff. Should ARIA have 250 employees, there would also be a requirement to publish its gender pay gap information, based on the point at which the data becomes statistically significant and supports a good analysis.
I believe this specific duty is sufficient for ARIA, as indeed it is for all other employers. I do not think that any further provision in the Bill is required and I hope the hon. Member will withdraw the amendment.
I understand that there are public sector duties in relation to this issue, but ARIA could easily fulfil all those by employing only men—it could just pay them all at whatever level because they would all be men. It would fulfil its duties in that regard because there would be no gender pay gap, but it would be incredibly important for us to know that ARIA had only fulfilled its duties by taking that step, because it is public money that is being spent.
While Scotland is still part of the Union we want to be able to scrutinise how the money is spent. It is important that we have information on whether there is a gender pay gap in ARIA, whether or not it has 250 employees. Again, it is a public sector organisation spending public money but exempt from public procurement regulations and exempt from FOI. That means we are not able to adequately scrutinise the money spent, to ensure that there is diversity and fairness, making sure that women are not only in the lower roles in the organisations, but are starting at or being promoted to higher roles.
What the Minister said was not strong enough for me; I would like for her to have reassured us that the MOU will have that duty written into it. I would like to push the amendment to a vote.
Question put, That the amendment be made.
I welcome the detailed discussion that schedule 1 has attracted. It is to be expected since the schedule sets out ARIA’s governance arrangements, including the make-up of the board and how members and staff are appointed and removed. There are elements of schedule 1 that are standard to most statutory corporations and that mirror the measures on UKRI in the Higher Education and Research Act 2017. Those include the paragraphs about ARIA determining its own procedures, the delegation of functions by ARIA, and the preparation and laying before Parliament of audited accounts and annual reports.
I reiterate that ARIA will be subject to parliamentary scrutiny in the same way as other statutory corporations, both by Select Committees, including the Science and Technology Committee—I am sure that my hon. Friend the Member for Newcastle-under-Lyme and the hon. Member for Brent Central will contribute to that fully—and by the National Audit Office, which is expected to report in detail on ARIA for discussion at the Public Accounts Committee. With reference to this morning’s discussion, it is therefore clearly the case that ARIA will be held to account.
As with the rest of the Bill, in schedule 1 I have been very mindful of the need to strike a balance between providing ARIA with the independence to operate freely and ensuring sufficient Government and parliamentary oversight to protect the use of public funds. I also emphasise that the creation of ARIA has been welcomed by the UK research and innovation community, and I again point to the integrity of that community.
I will explain the rationale behind the key paragraphs that are specific to ARIA and that have not yet been discussed in relation to the amendments proposed to schedule 1, starting with those on membership. Paragraph 2 sets out ARIA’s membership. Its executive members must include the chief executive officer and chief financial officer, and between two and five other members. As we heard from Professor Philip Bond last week, that number reflects the need for ARIA to be a nimble agency, with agile decision-making structures.
ARIA’s non-executive members must include the chair, the Government chief scientific adviser and other members appointed by the Secretary of State. The Government chief scientific adviser will provide technical expertise and a helpful and effective link between ARIA’s activities and those of Government, while limiting any direct interference from Ministers. Non-executive members must comprise the majority of ARIA’s board, which is a matter of good governance.
Paragraph 3 sets out that the first chief executive officer will be appointed by the Secretary of State, ensuring that the initial leadership sets the right foundation for ARIA. Thereafter, executive appointments will be made by the chair, such that ARIA can maintain its independence from Government.
Paragraph 4 sets out that the chief executive officer must be appointed for a fixed term for a maximum of five years, and that a person cannot be appointed as CEO more than twice. That approach will ensure strong leadership, energy and renewal at CEO level, and we have seen that successful approach produce results for DARPA.
As is standard for statutory corporations, paragraph 14 states that ARIA must prepare annual accounts that must be sent to the Secretary of State and the Comptroller and Auditor General. The CAG must examine, certify and report on statements of accounts and send a copy of the report and certified statement to the Secretary of State, who in turn must lay copies before Parliament. As the Committee will be aware, the NAO is also able to conduct value-for-money examinations of ARIA, as per the National Audit Act 1983. The laying of annual accounts and reports before Parliament, combined with the NAO examination represent an opportunity to scrutinise ARIA’s activity and its use of public funds, as is standard for public bodies.
I would like to take this opportunity to address a point raised by the Secretary of State on Second Reading which left some ambiguity. He said that there was a commitment in the Bill to audit ARIA’s procurement activities. Any procurement spending will of course be included in ARIA’s accounts and be subject to audit in the normal way, according to paragraph 14, but we have made a further non-legislative commitment to explore how ARIA’s procurement activities specifically might be audited and reported on as a counterbalance to the exemption that the Bill gives ARIA from obligations on a “contracting authority” under the public contracts regulations. That is not within the Bill, as the Secretary of State’s comment could be taken to imply, but will none the less be an additional commitment to transparency and good governance for ARIA.
Schedule 1 contains provisions where necessary for ARIA to be able to operate as a statutory corporation and it is therefore essential that it remains part of the Bill.
I thank the Minister for her comments on schedule 1. While I necessarily disagree with her assessment that the schedule contains all the checks and balances, accountability and oversight that are required, I will not oppose it.
The National Audit Office audit to which the Minister referred is a very limited safeguard against some aspects of conflict of interest and the misuse of public money, and the wider concerns that we have. It is limited to providing a true and fair opinion about whether the public body’s financial statement is free from material misstatement, whether caused by fraud or error, and therefore does not address our concerns about accountability. The National Audit Office conducts 400 such audits annually and it would not necessarily prevent the mismanagement of public funds in ARIA or other bodies. I hope that the Minister will reflect on the importance of improving accountability as the Bill proceeds.
Question put and agreed to.
Schedule 1 accordingly agreed to.
Clause 2
ARIA’s functions
I beg to move amendment 15, in clause 2, page 1, line 7, at end insert—
“(1) In exercising its functions, ARIA must have regard to its core mission.
(2) In this section, ‘core mission’ means—
(a) for the period of ten years after the date on which this Act is passed, undertaking activities which support the achievement of the target established in section 1 of the Climate Change Act 2008;
(b) thereafter, that mission or missions which the Secretary of State establishes by regulations every five years.
(c) regulations under this section—
(i) shall be made by statutory instrument, and
(ii) may not be made unless a draft has been laid before and approved by resolution of each House of Parliament.”
This amendment would require ARIA to consider its core mission in exercising its functions. For the ten years following the Act passing, that core mission would be undertaking activities to support the achievement of net zero. Thereafter, its mission will be established by statutory instrument subject to the draft affirmative procedure.
With this it will be convenient to discuss amendment 35, in clause 2, page 1, line 8, at end insert—
“(A1) ARIA’s primary mission will be to support the development of technologies and research that support the UK’s transition to net zero carbon emissions or reduce the harmful effects of climate change.”.
This amendment sets the primary mission for ARIA to support the development of technologies and research that support the UK’s transition to net zero carbon emissions or reduce the harmful effects of climate change.
It has been a long day and we have had lively debates covering many important themes set out in this admittedly short Bill. We now come to one of the critical themes: the mission of ARIA. What is ARIA for?
Amendment 15 would require ARIA to consider its core mission in exercising its functions. Under the amendment, for the 10 years following the passing of the Act, that core mission would be to undertake activities to support the achievement of net zero. Thereafter, its mission would be established by statutory instrument, subject to the draft affirmative procedure.
I am surprised that I find myself in the position of needing to argue that ARIA—the Advanced Research and Invention Agency—requires a mission and that that mission should be net zero, which is the greatest existential challenge facing our country and the world right now.
We welcome ARIA, as we have said. We recognise that there is a gap in the UK’s research capability, which ARIA can and should fill, but we believe strongly that ARIA will succeed only if it is given a well-defined mission, which the Government must play a significant role in setting. As we heard in the evidence sessions—and as is, I believe, the opinion of the Minister—ARIA should not try to replace either blue skies research institutions or translational institutions, but should bring the two together to focus on the transformative effects that science and technology can have on society. I am sure that we are all united in the view that ARIA can have a transformative impact.
This is an opportunity for the Government to establish a mission-led funding agency that can benefit us all. With no mission and the whole of the realm of science—the whole of the unknown and the less understood—to choose from, the risk is that ARIA will be directionless, providing no societal return for taxpayer investment, or that it will be prey to vanity projects, providing return only for a few.
In evidence to the Science and Technology Committee, Dominic Cummings—I am mentioning him once again as the original inspiration and architect of ARIA—held up some sort of a diagram and said that general UK research was one bit and that ARIA should look at all the rest. That gave the impression that it would be like the SS Enterprise going off in search of new areas, but even the SS Enterprise—I know that “Star Trek” fans are present—had a mission, which was to seek out new civilisations. It was not a mission to—
I am speaking about “Star Trek”, so let me finish my point and then I will give way. It was not a general mission to go around the universe and galaxies. It was not a mission to look at mining new minerals or whatever. It was a mission to seek out new civilisations, yet here we have ARIA being proposed as an agency without any mission whatever.
Just to clarify, I think it was the USS Enterprise. I believe that ARIA has a mission, which is to boldly go to areas of science that we have not gone into before. A focus on impact, high risk and high reward is not what we currently have, and we should not hamper it at this early stage. I would not for one moment deny that climate change is a huge threat that needs to be addressed, but that is not necessarily where the agency should focus. Why would we want to tie its hands before it has even started to look at the transformational science out there?
I also have great concerns, because the hon. Lady said she felt that the Government should have huge input into the mission of ARIA. That would potentially breach the Haldane principle, which Government after Government have applied and stuck to in order to make sure that politicians are not influencing scientists in what areas that they research.
I accept that it is indeed the USS Enterprise, and I thank the hon. Member for that correction. On the rest of his contribution, I will say once again that I have a great deal of respect for the hon. Member, but to boldly go where no one has gone before is not a mission. It is not even a direction—it is explicitly not a direction. As I said, the USS Enterprise’s mission was to seek out new civilisations, so it was anthropological rather than another domain of science. ARIA has no mission.
We do think we have to talk about the Haldane principle, given that we have seen the acceptance of mission-oriented research, including the grand challenges that were discussed during the evidence sessions. That makes it clear that we can ascribe a mission to ARIA without breaching the Haldane principle. The Government should not outsource their responsibility to direct the transformative change that ARIA can bring to our greatest challenge, which is one that—the hon. Member is familiar with this—inspires so many young people and that can get public buy-in: climate change and the need to address the impact it will have on our planet.
Should we not be proud as a Committee to say that ARIA will achieve net zero in whatever project it pursues? That is essentially working on the edge of the edge—looking at forward technology, ensuring that we save the planet and ensuring that we do not add to the erosion of the ozone layer—so is it not progressive and transformative to set a parameter around net zero?
I absolutely agree with my hon. Friend; I think that it is progressive, transformative and very necessary. We heard today that the Prime Minister has decided to set another target for our emissions—I think that it is to slash UK emissions by 78% by 2035—undaunted by the fact that he has not met any of the targets that he has set previously.
This issue is not about setting targets; it is about changing the way in which our economy and our society work, to reduce our emissions. Just think of the role that ARIA could play in that process. My hon. Friend suggested that achieving net zero is not a narrow mission; it is a broad mission, because net zero impacts every aspect of our life. An ARIA CEO would have plenty of discretion in choosing which aspects of the climate and environmental emergency to address.
That is potentially a worthy mission, but the point is that the hon. Lady said there is no direction. Well, going boldly is going to the frontier—even “The Final Frontier”, if we go to “Star Trek V”. [Laughter.] The edge of the edge is not in one direction. The edge is a circle, or even a sphere—all the areas that we do not know about. Trying to focus on one narrow point, as she is doing with the amendment, misses the point of ARIA and the potential for its transformative effect across a wide range of disciplines and lots of areas of science, technology, engineering and, indeed, perhaps even mathematics.
I thank the hon. Gentleman for that contribution. Envisaging the edge of the edge, whether it is a circle or an ellipse—whatever it is, it is obviously broad. It is too broad. I think it could be anything. I think this Committee believes that ARIA must have a transformative impact on society, otherwise why are we here? The area where we need a transformative change is in climate change, which is a hugely broad area.
The UK, under this Government, is off track to meet current targets. The Government have no ambitious green recovery plan, they have axed the vital housing retrofit scheme and they have cut subsidies for electric vehicles. They are desperately in need of focusing our activities on the impact of climate change.
We know that two of the great challenges in reducing our emissions are transport and the existing housing stock. Think what impact an inspired programme director in ARIA could have on that great challenge of effectively insulating and reducing the emissions from our 20 million or so homes, or ensuring that transport, which the Government have said will be included in their emissions targets, is green. That is not a narrow mission. Net zero is not a narrow mission; it is as broad and as big as our planet, and it is certainly where we desperately need to focus our attention.
In response to the point about the Government choosing the mission, I would say that only the Government have the democratic mandate—they won the election—to choose the mission, while allowing ARIA’s leadership the operational independence to implement that mission. It is critical that the mission reflects public concerns, to establish buy-in as well as the tolerance for failure. Without a clear mandate from the Secretary of State, ARIA’s leadership will be put in the unenviable position of having to decide which Government Departments and policies to prioritise, and who will have the ear of the ARIA CEO. I say again that the Government cannot outsource this responsibility as they have chosen to outsource so many other responsibilities.
We are at the beginning of the decisive decade, in which the world must avert the worst impacts of climate change, and ARIA could provide much-needed research to help advance the solutions that are necessary to decarbonise our economy rapidly and fairly. In addition, this year the UK will host the critical COP26 UN climate summit. Would it not be a fantastic message to say that our leading high-risk, high-reward agency is focused on climate change? Would it not provide a model for other countries to follow?
It is a pleasure to follow my hon. Friend, who has made a strong case. This issue goes to the heart of the discussion we have been having all day and goes back to some of the comments I made in my opening remarks.
We were castigated earlier for talking too much about Mr Cummings. I say that we must cast off the curse of Cummings. I thought the Government had moved on—they got rid of him—but the Bill still has all his hallmarks. The chaos and confusion that he espouses—his raison d’être—will make this agency fail. That is the problem. I encourage the Government to move past it. The evidence from the witnesses all the way through was about the confusion. I understand Marina Mazzucato is advising the Government. She made it ever so clear that ARIA will only work if there is a clear mission. The Americans made it absolutely clear that if we want to do something like they have, that is the way to do it.
The Government seem to be completely confused about whether they want to learn from examples elsewhere, or do something very different—although they are offering no evidence as to why that should work; sadly, we have seen examples in the past of attempts to do this kind of thing that have not worked. If we are going to learn from the examples elsewhere, surely we have to listen to the people who know how they work. I am at a loss to understand why the Government are not listening to the advice.
The first point to make about the amendment is whether to have a mission or not. Do we do it in the way that might work? It is clear that we have to. The second point, which follows, is that if we are to choose something, what should we choose? Witnesses pointed out that there a number of choices. Unsurprisingly, climate change came up on a number of occasions, as it is obvious we should seek to address it. My hon. Friend the Member for Newcastle upon Tyne Central has made all the points on that.
We have an extraordinary situation in that we have COP26 coming up in a few months. Would it not be wonderful if we had this new agency established to address those huge challenges? I fear we are not going to have it, though. We might have the agency and someone sitting around scratching their head saying, “What shall we do today?” when it is entirely obvious what they should be doing.
As I said earlier, we could have some social science challenges. A big one is: how is an advanced country like ours not able to lag a few lofts? We have had 10 years of failure in these schemes, with one scheme under the coalition, and the latest scheme from the Government collapsing a few months ago. It is extraordinary when we know that one of the biggest problems is the state of our housing stock, yet we cannot seem to find a way to run a scheme to improve it. That challenge would fall very much within the scope of our amendment. We want this to succeed.
Finally, I cannot help but refer to the extraordinary document that Dominic Cummings waved at the Committee. I could not see it on the TV screens, so I went and printed it off. I will hold it up. I do not know if anyone has seen it, but this is primary school standard. I want to put in a word for taxi drivers, actually, because what was said earlier was slightly unfair. I am quite happy that taxi drivers are scrutinised—and members of the ARIA board. I also do not want to be in any way disrespectful to primary schools, but really? Do not place the future of the agency in the hands of the legacy of Dominic Cummings.
I just wanted to say that that document has been entered into evidence and is available on the Science and Technology Committee website.
And I am eternally grateful, because that is where I found it. I must say that I was still surprised, because it looks to me more like something that came out of “Star Trek” many years ago.
It is a pleasure to follow the hon. Member for Cambridge. I am not quite sure whether lagging roofs is necessarily within the remit of what I would expect ARIA to be doing. I like to think that the Government could do that notwithstanding any new technologies, but I appreciate the point he was making. I assure members of the Committee that there will be no “Star Trek” references coming from my mouth whatsoever—[Interruption.] Or “Star Wars”. We have had quite enough of that. I rise to speak in support of amendment 35, tabled by the SNP, which again is directly related to climate change and the drive towards net zero.
If ARIA is to have a mission—I think it should, and the majority of witnesses last week seemed to be in favour of that—there can be only one focus. I understand the premise of the Government’s not wanting ARIA to be constrained. I think the hon. Member for South Basildon and East Thurrock said that he did not want to hamper ARIA, but I disagree, and I think it is an honest disagreement to have. I do not see how instructing an agency to try to combat climate change and allow us to meet our net zero aims is hampering it. I think that provides not only the focus that the agency needs but the focus that we should all want it to have, because it is the biggest existential crisis facing us.
I do not deny that climate change is the biggest issue that we need to address, but a huge amount of research is already going on in that area across UKRI and its £8.8 billion-plus budget. To focus all £200 million a year for ARIA on climate change could miss the point of what we are trying to set up. To me—it may just be me—it is blindingly clear what the mission is: to find areas of research for which funding currently cannot be accessed because it is too risky, and fund that. We talk about high risk, high reward, and that is the mission: to find science that is worthy of research but cannot get funding or support now. If we do that, we might find the next global positioning system, the next computed axial tomography scanner or the next hadron collider—something really inspirational and transformational.
I certainly understand the hon. Member’s point, and, to his credit, he is persuasive in his arguments. None the less, hon. Members will be unsurprised to hear that he has not quite persuaded me, and I do not think his argument would necessarily persuade the witnesses—the likes of Professor Mazzucato and Professor Wilsdon—from whom we heard last week. It is right that we have this discussion, and it is good that we are having it in a positive and constructive fashion, but ultimately I believe there still should be a mission for ARIA. Without it, we are not doing all that we possibly can. DARPA is the clearest example of why a mission is important in this regard. We spoke about it on Second Reading, and we heard from the horse’s mouth just last week about the importance of the mission to DARPA.
I just want to add a couple of things. The hon. Member for South Basildon and East Thurrock gave us what he thinks the mission for ARIA is. Unfortunately, everybody I have heard speak has a different idea of what the mission for ARIA is.
I thought the statement of policy intent was really useful in telling us the mechanics of how ARIA will work. It is really useful in saying why it is set up in a particular way, but it does not actually tell us what the point of it is. Reading through the Bill, I realised not just that ARIA does not have a mission, but that it does not have a direction. Is ARIA about funding scientific things that are not otherwise funded? Is it about increasing productivity, which is mentioned too? Is it about economic growth? Is it about improving the lives of people who live in the UK or elsewhere? Is it about solving scientific problems? I do not know which of those things it is about.
Even if the Government are unwilling to accept the amendments that we have tabled—they should accept them, because, as I have explained, £200 million a year on solving climate change is not a bad thing, even though I think we should be spending significantly more than that—they should be clear about the point of ARIA. How are we are measuring performance? How do we know whether it has succeeded? Do we know that it has succeeded if it has spent lots of money? Do we know that it has succeeded if it has funded lots of projects? Do we know that it has succeeded if it has made a difference to the level of productivity within science, research and development in the UK, or to productivity in the UK in general? Is it succeeding if it is coming up with technologies that will improve lives?
We do not know what we are measuring ARIA against, so the Government will presumably—as they do with most things, and as most Governments do—say that ARIA is a success, whatever happens. However, I want to know what criteria it is being measured against, so that we can actually judge it. If it is what the hon. Member for South Basildon and East Thurrock suggested—if ARIA is to fund scientific projects on the edge, regardless of whether that is of an ellipse or a circle—that is fine, because then we can judge it against that. However, I am not clear that that is the Government’s intention.
We heard from some incredibly experienced witnesses last week, with much discussion focused on the question of prescribing ARIA a research focus. Inevitably, cases were made both for and against such an approach. The case made for the approach often referred to DARPA and DARPA-like agencies, but I remind the Committee that ARIA is not DARPA, ARPA-E or ARPA-H. Although we have learned some incredibly valuable things from those agencies, my primary consideration as we develop ARIA has been that it is the right approach for the UK’s R&D system.
Professor Dame Ottoline Leyser said to us last week—[Interruption.]
Professor Dame Ottoline Leyser said to us last week:
“The needs of the country—the priorities that the Government and Ministers set to solve particular challenges for the nation—fall very much within the UKRI remit”.––[Official Report, Advanced Research and Invention Agency Public Bill Committee, 14 April 2021; c. 8, Q4.]
Achieving net zero remains one of this Government’s top priorities—demonstrated by the Prime Minister’s 10-point plan—as it is for parties across the House. However, we should continue to successfully mobilise the structures we have in place to respond to the Government’s priorities, including through the industrial strategy challenge fund’s eight clean growth challenges.
We should use ARIA to do something different. Otherwise, I believe we are at risk of causing confusion and duplication of responsibilities. A key difference will be creating a space in the R&D funding system to give autonomy to visionary people. ARIA’s leaders will invite and scrutinise a range of proposals, each of which is defined by a single cohesive and coherent programme objective. That could be a measure towards achieving net zero, or it could be in any other field. ARIA will select the most talented programme managers with the most exceptional idea, and give them the opportunity to discover the next transformational breakthrough.
As we heard in evidence from Nesta and UKRI last week, ARIA is about conducting research in a different way, through new funding mechanisms and giving autonomy to experts. It is not about research in any one field. I agree that is the right approach. It is for that reason that I cannot accept the amendments. I hope the hon. Members will withdraw their amendments. Finally, if ARIA is successful, who knows: we could be saying, “Beam me up, Scotty!”
I thank the Minister for her comments, particularly for that final reference, the spirit of which I wholeheartedly agree with. However, I do not find her arguments against the amendment compelling, and I would like to push it to a vote.
Question put, That the amendment be made.
Clause 2 sets out ARIA’s functions. As described in the policy statement published on 19 March, ARIA is expected to facilitate a programme manager model. Programme managers lead research programmes designed around highly ambitious scientific or technological visions. Within their overarching programme, programme managers will distribute funding across a range of projects. Individual projects might vary in size, length and scientific discipline, and may be conducted by different institutions or collaborative groups. The projects are not stand-alone, but rather contribute to the overall aims of the programme.
An important feature of clause 2 is ARIA’s power to commission or support others to conduct research, to develop and exploit scientific knowledge, or to collect, share, publish and advance scientific knowledge. While ARIA is expected to perform some research in-house, a significant proportion of its activities are likely to take place externally. For example, programme managers are expected to commission individual research projects from experts across the public and private sectors.
It is vital that ARIA is able to support others contributing to its ambitious programme goals in a flexible way. Subsections (2) and (4) set out the ways in which in exercising its functions ARIA may support others. They should be read in conjunction with supplementary powers, which are set out in paragraph 17 of schedule 1. For example, ARIA may provide financial support through a range of innovative funding mechanisms. That may include making grants, loans and investments in companies or other entities, or any other payment, such as prizes.
A diversity of funding approaches has been integral to the ARPA model’s success in the US—we heard from Dr Peter Highnam—and it will encourage ARIA to experiment even more. However, we will balance experimentation with the need to safeguard public funding. The provision of financial support by ARIA is subject to any conditions that are attached to grant funding given by the Secretary of State to ARIA in clause 4, to which I am sure we will return shortly.
Finally, science is an international endeavour. Accordingly, ARIA will be able to fund, conduct, commission and support research internationally. Sir Adrian Smith and Sir Jim McDonald were clear about the importance of ARIA participating in international research in last week’s evidence session. Clause 2(5) and (6) state that ARIA’s activities are not restricted to the United Kingdom, but in exercising its functions ARIA must have regard to the desirability of doing so for the benefit of the United Kingdom, through economic growth or a benefit promoting scientific innovation and invention, or improving quality of life.
Clause 2 and the functions really get to the heart of the value that ARIA will add to our UK research and development system, and equip it for the exciting role that it will play. I recommend that it stand part of the Bill.
I thank the Minister for her comments. It is clear from this afternoon’s debate that clause 2 does not set out what ARIA will do or achieve, or what its real function will be, but we will not oppose it standing part.
Question put and agreed to.
Clause 2 accordingly ordered to stand part of the Bill.
Ordered, That further consideration be now adjourned. —(Michael Tomlinson.)