Professional Qualifications Bill [Lords]

(Limited Text - Ministerial Extracts only)

2nd reading
Wednesday 15th December 2021 Commons Chamber

[The Secretary of State for Business, Energy and Industrial Strategy (Kwasi Kwarteng)]

I beg to move, That the Bill be now read a Second time.

Services are a critical part of our economy, our trade and our lives. UK-qualified professionals in sectors including architecture, law and medicine, among many others, are at the forefront of their fields globally. It is a testament to their success that the UK is today the second largest exporter of services in the entire world. Good regulation is essential in providing the confidence that the market needs to grow. Good regulation is essential in providing the confidence that the market needs to grow. The Bill supports that endeavour so that services can not only thrive but provide excellent jobs in the future.

[Margaret Greenwood (Wirral West) (Lab)]

The British Dental Association has warned that the Bill could water down the standards required to practise. What are the Secretary of State’s thoughts on that? What assurance can he give the House that standards will be maintained?

[Kwasi Kwarteng]

I assure the hon. Lady that many such issues were rightly addressed and debated at great length in the other place. I have seen the concerns of some of our professional bodies. I feel that the Bill gives a measure of support, and I feel strongly that it is proportionate. It is on that basis that I am introducing the Bill and begging leave for it to be read a Second time.

I turn to the Bill’s elements—perhaps through these remarks the hon. Lady may get some reassurance. First, the Bill will revoke the current EU-based approach, temporarily retained from the end of the transition period, which often gives unreciprocated preferential access to holders of European economic area and Swiss qualifications, and put in place a new system that is global in outlook and can be tailored to the UK’s needs. The Bill is not a rejection of the valuable skills offered by EU professionals. On the contrary, it will ensure fairness and put them on an even footing with applicants from around the world. Professionals who have already had their qualifications recognised and work in the UK can continue to do so provided that they meet any ongoing practice requirements.

The Bill will also enable the Government and devolved Administrations to act promptly where shortages in services may occur and where consumers may well face unreasonable delays and charges. That is particularly important for regulated professions in the public sector. For example, in a 10-year period, just under a quarter of all UK recognition decisions were for secondary school teachers alone. Let me be clear, however, that the Bill is intended to complement, and not simply to replace, the Government’s ambitious domestic skills agenda.

The Bill will also support our trade agenda and boost UK businesses exporting services all over the world—in short, it will help spread our skills, innovation and expertise abroad. It will ensure that the UK can implement professional qualification provisions in the future trade deals that we all anticipate with enthusiasm. It will also ensure that UK regulators can be empowered to strike deals on recognition with their overseas counterparts while taking full advantage of provisions in such future trade deals. Finally, it will help professionals, both at home and from overseas, to access global markets.

We are working collaboratively with the devolved Administrations and devolved regulators, and I very much hope that we will come to a resolution on legislative consent by the time that the Bill leaves the House. Of course, our regulators’ expertise underpins all our professions, and that is the very reason why the Bill has the protection of regulator autonomy at its very heart. Regulators agree that that is the right approach, and in general they have voiced hearty support for the Bill.

This Bill is about ensuring that the regulation of professional qualifications works for the whole of the country’s interests. It is about fairness, ensuring that wherever professionals may come from, they have an equal opportunity to practise their professions; and it is about making access to professions more transparent, as well as supporting our own UK trade agenda. On that basis, I commend it to the House.

--- Later in debate ---

[The Parliamentary Under-Secretary of State for Business, Energy and Industrial Strategy (Paul Scully)]

It is a pleasure to follow the hon. Member for Newcastle upon Tyne Central (Chi Onwurah). I thank everybody who has spoken during the debate. [Interruption.] Yes, all the people in this extensive debate.

This Bill will support trade through allowing regulations to implement trade agreements and allowing our own professionals to enter new markets. It will also support our work to meet domestic need, such as addressing national shortages, while ensuring that professional standards are maintained and regulator autonomy is protected.

My right hon. Friend the Secretary of State rightly noted the relevance of the Bill to supporting international trade for our world-leading services sectors. Provisions on the recognition of professional qualifications can make it easier for UK professionals to provide services overseas—for example, by making it easier for regulators to agree recognition agreements with overseas counterparts. With trade partners, the Government would look to agree provisions that could require regulators to operate routes to recognition. Our deals with Norway, Iceland and Liechtenstein, for example, include this type of measure. But I can reassure the House that in any agreement regulators’ existing autonomy to set standards and assess them against these deals would be maintained. Regulators are not obligated to enter into recognition agreements with counterpart regulators overseas.

Turning specifically to the UK-EU trade and co-operation agreement, this secures continued market access across a broad range of key services sectors, including professional and business services. It also includes the framework to agree professional-specific arrangements on the recognition of professional qualifications. BEIS has established a recognitions arrangement team that provides advice and support to regulators if they pursue these arrangements. The hon. Member for Sefton Central (Bill Esterson) talked about legal services, in particular. The TCA with the EU secures continued market access across a broad range of key services sectors, but on legal services we negotiated unprecedented provisions for UK lawyers to practise in the EU using their UK title in both UK and international law.

The UK proposed ambitious arrangements on professional qualifications with the TCA, but regrettably the EU did not engage with them. However, on legal services we do, as I say, have unprecedented provisions. The Bill is also consistent with our other international commitments, including the common travel area with Ireland. The Bill does not alter the Government’s determination to uphold our CTA commitments. The Government are also working closely with the Irish Government and regulators to ensure that UK and Irish professions have continued routes to recognition.

The hon. Member for Sefton Central, and others, talked about skills and skills shortages. I thank him for his point on that. However, it is important to be clear about how the Bill fits into the Government’s overall skills strategy. The Bill allows regulations to be made requiring a regulator to be able to receive applications, assess individuals’ qualifications and experience gained overseas, and decide on whether to treat them as if they had the required UK qualifications or experience. That can be done only where there is a clear unmet demand for the services of a regulated profession.

Separate from the provisions of the Bill, the Government can, when necessary, consider short-term measures to deal with skills shortages, as they have in the case of HGV drivers. The Bill also plays its part in making sure that aspiring and qualified professionals can find the information they need to access professions, including transparency requirements for regulators to have clearer information online, and it provides for an assistance centre to help professionals directly.

But neither the Bill nor such short-term measures take the place of our domestic skills strategy. Our lifetime skills guarantee will enable anybody to acquire the skills to do those jobs wherever they live and whatever the stage of their life. The Skills and Post-16 Education Bill currently going through Parliament will set up the country for success by giving people the skills and the education they need for work. It puts employers at the heart of the skills system to make sure that local skill provision meets local needs, so that people can thrive where they live.

I will respond to the points raised by the hon. Member for Midlothian (Owen Thompson) on concurrent powers in the Bill and securing legislative consent motions for the devolved Administrations. I want to reassure the House that the Bill has been carefully designed to respect the devolution settlements. The inclusion of concurrent powers ensures that professions that fall within devolved legislative competence but are regulated on a UK-wide basis can be dealt with efficiently and appropriately under the Bill by the relevant and appropriate national authority.

The UK Government are working hard to seek common ground with the devolved Administrations. The devolved Administrations rejected our previous proposal of a formal duty to consult before regulating in areas of devolved competence, but we have now offered to place on the face of the Bill a stronger duty to consult. The amendment would require the Secretary of State or the Lord Chancellor to consult with devolved Administrations before making regulations under the Bill that contain provisions that could be made by devolved Administrations themselves, and then to publish a report on the consultation to be agreed with those devolved Administrations.

We have also offered to table an amendment to carve the Bill out of schedule 7B of the Government of Wales Act 2006, allowing the Senedd to remove UK Ministers’ concurrent powers if they deem that to be necessary. The Welsh Government will still be required to consult with the UK Government on the removal of those powers.

The Government’s approach demonstrates our commitment to transparency and scrutiny, and to preserving the balance of the devolution settlement while maintaining a coherent approach across the UK. Let me make it clear: it is not the Government’s intention to make regulations in relation to matters on which the devolved Administrations could legislate without seeking their views.

I hope that hon. Members from across the UK can support the Bill. We will continue to work in collaboration with the devolved Administrations and devolved regulators to ensure an approach that works for all parts of the UK. I look forward to discussing the Bill in Committee, and I commend it to the House.

Question put and agreed to.

Bill accordingly read a Second time; to stand committed to a Public Bill Committee (Standing Order No. 63).

Professional Qualifications Bill [Lords] (Programme)

Motion made, and Question put forthwith (Standing Order No. 83A(7)),

That the following provisions shall apply to the Professional Qualifications Bill [Lords]:

Committal

(1) The Bill shall be committed to a Public Bill Committee.

Proceedings in Public Bill Committee

(2) Proceedings in the Public Bill Committee shall (so far as not previously concluded) be brought to a conclusion on Thursday 20 January 2022.

(3) The Public Bill Committee shall have leave to sit twice on the first day on which it meets.

Proceedings on Consideration and Third Reading

(4) Proceedings on Consideration shall (so far as not previously concluded) shall be brought to a conclusion one hour before the moment of interruption on the day on which proceedings on Consideration are commenced.

(5) Proceedings on Third Reading shall (so far as not previously concluded) be brought to a conclusion at the moment of interruption on that day.

(6) Standing Order No. 83B (Programming committees) shall not apply to proceedings on Consideration and Third Reading.

Other proceedings

(7) Any other proceedings on the Bill may be programmed.—(Andrea Jenkyns.)

Question agreed to.

Professional Qualifications Bill [Lords] (Money)

Queen’s recommendation signified.

Motion made, and Question put forthwith (Standing Order No. 52(1)(a)),

That, for the purposes of any Act resulting from the Professional Qualifications Bill [Lords], it is expedient to authorise the payment out of money provided by Parliament of:

(1) any expenditure incurred under or by virtue of the Act by a Minister of the Crown; and

(2) any increase attributable to the Act in the sums payable under any other Act out of money so provided.—(Andrea Jenkyns.)

Question agreed to.

Marriage and Civil Partnership (Minimum Age) Bill (Money)

Queen’s recommendation signified.

Resolved,

That, for the purposes of any Act resulting from the Marriage and Civil Partnership (Minimum Age) Bill, it is expedient to authorise the payment out of money provided by Parliament of:

(a) any expenditure incurred under or by virtue of the Act by the Secretary of State, and

(b) any increase attributable to the Act in the sums payable under any other Act out of money so provided.—(Tom Pursglove.)

Question agreed to.