Committee
15:32
Scottish legislative consent correspondence published. Relevant document: 2nd Report from the Constitution Committee.
Clause 1: Designation of bodies involved in foreign power threat activity
Amendment 1
Moved by
1: Clause 1, page 1, line 10, after “activity” insert “including espionage”
Member's explanatory statement
This probing amendment seeks to clarify whether all aspects of espionage are covered by the reference to “foreign power threat activity”, in the light of the recent conviction of two Chinese spies, one of whom worked for the Hong Kong Economic and Trade Office in London.
Baroness Hayter of Kentish Town Portrait Baroness Hayter of Kentish Town (Lab)
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My Lords, this amendment is in my name and those of the noble Baronesses, Lady Ludford and Lady Foster, and the noble Lord, Lord Alton, who has other relevant amendments in this group. Amendment 1 is a probing amendment that enables the Minister to clarify the exact breadth of the intention in the Bill—a Bill that I welcome, and I regret I was not able to be here at Second Reading to say so. The Bill is designed to address the threat posed by foreign state-linked organisations that operate here in the UK.

My amendment relates in particular to the Hong Kong Economic and Trade Office, whose office manager, Bill Yuen, was recently convicted and sentenced to eight years in prison under the National Security Act 2023 for helping to run a CCP surveillance operation from its premises. The existence of this office dates back to the Hong Kong Economic and Trade Office Act 1996, passed on the premise that Hong Kong was meaningfully autonomous from Beijing. “One country, two systems” was meant to mean that separate legal, economic and administrative systems would be permitted in Hong Kong, albeit as part of China. Any such pre-1997 autonomy or even post-1997 freedoms are clearly no longer the case, yet somehow the office survives, supposedly independent of the Chinese embassy but with at least one of its staff acting on behalf of the Chinese Communist Party.

This has involved surveillance of some of our own citizens and of Hong Kong dissidents resident in the UK. Indeed, Regina Ip, former convenor of Hong Kong’s Executive Council, even claimed that it was legal for the Hong Kong Economic and Trade Office to gather intelligence on activists. Both sorts of surveillance are surely intolerable.

Perhaps it is possible to describe activity against UK citizens as activity involving a threat by a foreign state and therefore a threat to the safety or interests of the UK as defined in the Bill, but what about similar actions affecting Hong Kong citizens? Would they be covered if some foreign policy threat activity included espionage, given that surveillance of UK residents would be reported back to China? I assume it would count as espionage, especially as the Hong Kong Economic and Trade Office funded Bill Yuen’s legal costs and its salaried staff attended most of the trial at the Old Bailey to show support for him, even while the office enjoyed the privilege confirmed by Parliament in the hopeful days of 1996.

The Bill is to deal with the threat posed by foreign state-linked organisations operating in the UK. The Hong Kong Economic and Trade Office is a foreign state-linked organisation and is operating here in London. We should protect our citizens from its activities but also protect UK residents who are classified as dissident activists by the Chinese state, some of whom have bounties on their heads. I hope, in response, my noble friend the Minister can provide some assurance that this body and its nefarious activities would be in scope of the Bill’s intent. I beg to move.

Lord Alton of Liverpool Portrait Lord Alton of Liverpool (CB)
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My Lords, it is a great pleasure to follow the noble Baroness, Lady Hayter. This builds on the Private Notice Question which she placed before your Lordships’ House and indeed on our Second Reading debate last week where the Hong Kong Economic and Trade Office, which, as the noble Baroness has rightly said, is a relic of the past, became the centre of our interest because of some of those who worked there being convicted of being involved in espionage on behalf of the Chinese Communist Party regime in Beijing. That is why it is entirely relevant to this Bill and why it is good that the noble Baroness has placed Amendment 1, this probing amendment, before your Lordships’ Committee.

I have a few points I would like to make on that amendment before turning to my own Amendments 3 and 4, which deal with slightly different questions but are also linked to the malign activities of the Chinese Communist Party regime in the UK. Amendment 3 deals with transnational repression, and Amendment 4 deals with the activities of the United Front, which is not a state but works in line with the wishes and ideology of the Chinese Communist Party. That is why it is problematic in terms of the definitions in the Bill and why I have sought further clarification through my amendments.

I have a few pointers on the Hong Kong Economic and Trade Office case, which might be helpful to your Lordships. In May 2024, law enforcement initially arrested 11 individuals across the UK. Only three of those were heavily linked to state funding via the London Hong Kong office referred to by the noble Baroness. Only three were prosecuted under the National Security Act 2023. Two have since been convicted and—as the noble Lord, Lord Hanson of Flint, was quite right to remind us during Second Reading last week—were subjected to very lengthy prison sentences. The remaining eight individuals suspected of acting as part of the vigilante team in contact with entities in Hong Kong and targeting an individual on British soil were released without charge.

This case highlights a common practice whereby Chinese and Hong Kong authorities blend private civil disputes, corporate debt collection and local organised crime groups—a point that I heard more about recently at a meeting organised by Tom Tugendhat MP, our former Security Minister, which pointed to the activities of organised crime linked to some of these groups promoting a political ideology. All of those are involved in the execution of transnational repression and jurisdiction overseas while evading national security prosecution.

I have four questions I would like to put the Minister on Amendment 1 before turning to those other two amendments. I am sorry they have been grouped together, but I think it is for the convenience of the House. I hope the House will therefore forgive me if I spend a bit of time speaking to the other two amendments, but here are my questions to build on what the noble Baroness, Lady Hayter, has said already.

First, of the 11 individuals initially arrested by counterterrorism police in connection with the hostile tracking of a Hong Kong resident in Yorkshire, eight were subsequently released without trial. Can the Minister inform the House how many of those eight have since left the United Kingdom and whether any have returned to the jurisdiction of the People’s Republic of China or the Hong Kong special administrative region, thereby placing themselves beyond the reach of British justice?

Secondly, is the Minister confident that counterterrorism and the Crown Prosecution Service—the CPS—possess the immediate capacity to process massive backlogs of foreign language evidence quickly enough to meet custody time limits? That has been an issue relevant to these prosecutions. Specifically, was a lack of rapid security-vetted translation capacity a contributing factor in the decision to release the other eight suspects without pressing charges?

Thirdly, is the Minister satisfied that our law enforcement agencies, including the NCA—the National Crime Agency—and regional special branches have the required resources to effectively monitor and map the nexus between Chinese state authorities, overseas proxy organisations and private contractors operating inside the United Kingdom?

Fourthly, what steps are the Government taking to bolster the China capabilities of UK law enforcement? Specifically, are we investing in the recruitment and training of security-vetted interpreters, fluent not just in Mandarin and Cantonese but in crucial dialects such as Hokkien and Fuzhou dialects, to effectively monitor and respond to issues related to transnational state repression and organised crime? This was referred to during the meeting that Tom Tugendhat MP organised in the House Commons recently and which, as I say, I was able to attend.

Let me turn to Amendment 3. I do not want to go on too much about this amendment, because I was able to have a very helpful and constructive meeting with the noble Lord, Lord Hanson of Flint, yesterday. I say at the outset that I will not press your Lordships to divide on this amendment, in the light of the very helpful assurances which he gave me yesterday. But I will just recap. On 26 February, I initiated a debate on behalf of the Joint Committee on Human Rights, which I have the privilege to chair, about our report on transnational repression. It was a thorough debate and the Minister replied in his courteous manner. However, his reply did not meet all of the questions which we raised in that debate, or indeed in the report. I returned to it on 21 May, during the King’s Speech debate, and subsequently in a balloted debate that I won, which was secured for 4 June and which dealt with atrocity crimes. This is also an amendment which Alicia Kearns, Member of Parliament, raised in the House of Commons during its six-hour consideration of the Bill.

Without dwelling too much on procedural issues, I think all of us who have been around this place and have had the privilege to serve in both Houses know that to give the House of Commons only six hours of debate on a major Bill of this importance, and then to come to your Lordships and do all the remaining stages in one day flat, as we are doing today—Committee, Report and Third Reading—is clearly absurd, given that this is based on Jonathan Hall’s excellent report of 11 months ago, as is the idea that we have not had time during that period to debate some of these questions. Furthermore, it cannot be right that the Home Affairs Select Committee was unable to take evidence on the Bill, even though it requested it, or that my own committee, which wanted to scrutinise the Bill, was left to just write a letter to the Minister. The Minister has responded to that in his usual courteous way, and I am grateful, but how much better it would have been to have pre-legislative scrutiny and proper consideration of the Bill in the normal way. There are some questions that the noble Baroness, Lady Hayter, has asked and I am asking, and I know that colleagues from the Conservative Opposition Benches, the Liberal Democrat Benches and elsewhere on the Cross Benches have legitimate questions to ask about the Bill.

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On Amendment 3, we recommended in our report that we should adopt a formal definition of “transnational repression” and that we should systematically collect data and develop monitoring mechanisms. We agreed with James Lynch, the co-director of FairSquare, who told the committee that we were missing a
“big opportunity to … monitor and analyse the trends and then develop a coherent strategy”.
He said our failure to do this
“risks … emboldening authoritarian regimes to escalate TNR activities”.
The report calls for international co-operation with other democracies—we mention the example of Canada —in combating TNR, and we make some specific recommendations about the use of strategic lawsuits against public participation, or SLAPPs as they are called, and the misuse of Interpol red notices. Closer to home, the JCHR called for a national hotline for victims, more systematic, specialised training for police officers, and to identify the early warnings of TNR. I again commend that report to the whole Committee, and I urge the Minister, when he replies, to reiterate the promise that he gave yesterday: that, before the end of July, he will engage again with the Joint Select Committee on the points that are adumbrated in the report and mentioned in Amendment 3.
I turn to Amendment 4. I see that the Government Whips are looking nervous. I do not want to delay the Committee, but I did not group these amendments together; that was a matter for the Government. I did not want to ungroup the amendments, as that would take extra time. Amendment 4 seeks to introduce a vital and urgent statutory refinement to Section 31 of the National Security Act 2023. Noble Lords will recall that, when we debated that Bill, there was a collective sense of pride in the House that we were finally equipping our intelligence, security and law enforcement agencies with a framework fit to confront contemporary state threats. We are very fortunate to have my noble friends Lord Anderson of Ipswich and Lord Carlile of Berriew present in your Lordships’ Committee again today. In the past, they have been the advisers to the Government on these important questions.
However, as the operational reality of the National Security Act has unfolded, we have been forced to confront a significant, highly sophisticated structural vulnerability, and our laws remain ill-equipped to deal with the asymmetric, centralised doctrine of what Beijing terms its “United Front” political warfare. Let us be entirely clear about what “United Front” work is: it is not benign cultural diplomacy but a core political strategy of the CCP aimed at neutralising opposition, building coalitions and leveraging individuals outside the party to advance its domestic and geopolitical goals. Mao Zedong famously termed the United Front one of the CCP’s “three magic weapons” to defeat its enemies. Decades later, Xi Jinping has reinvigorated this weapon, describing it as an essential tool for the
“great rejuvenation of the Chinese nation”.
I could go on at great length, and I know that I would be reprimanded if I thought to do so. If unamended, the statutory framework struggles to establish the necessary thresholds of state agency against actors operating out of an official, physical state trade office, so what chance does it have of dealing with non-bureaucratic proxy networks such as those exemplified by the United Front? That is why Amendment 4 is necessary. The United Front is a strategy, not a corporate organisation. Even if it were designated, it would leave the broader network entirely untouched and legally insulated. Amendment 4 would provide a surgical and precise solution. It would give prosecutors the latitude to meet the foreign power condition simply by establishing that the prohibited conduct was carried out in alignment with a formal, published and authenticated foreign power policy that directs interference.
There are no unintended consequences here. I know that the Minister has been listening to the arguments, because I met him again today and he showed enormous courtesy and patience in dealing with this. I am only sorry that we have not had longer in Committee, where we could have debated these points in granular detail, rather than at this breakneck pell-mell speed. There is an old saying that if you legislate in haste, you end up repenting at leisure. Let us hope that repentance will not be required on this occasion.
Lord Garnier Portrait Lord Garnier (Con)
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My Lords, I thank the noble Lord, Lord Alton, and the noble Baroness, Lady Hayter, for what they said. They both spoke in very measured terms and I wish to support broadly everything that they have said, for two reasons: first, because I agree with them, and, secondly, because I was too late to co-sign their amendments. The only point of difference I have with the noble Lord, Lord Alton, is some thoughts about SLAPPs legislation—I confess that, yes, I am a member of the defamation Bar and I have various views about the questions that lie behind the excitement around the need to introduce SLAPPs legislation, but that is not for today. I broadly agree with the noble Lord and the noble Baroness and give them the encouragement that, simply because a Conservative Member of this House has not signed their amendments, that does not mean that a Conservative does not agree with them.

There is a danger that we can become naive, thinking that because there are, say, 2 billion buyers of toothbrushes in the People’s Republic of China it would be wrong of us to criticise the Chinese Government when they do things, either through their own agencies or through their proxy agencies, to damage the well-being of this country. As the noble Lord, Lord Alton, calmly pointed out, not everything is always as it seems. Therefore, although neither the noble Baroness, Lady Hayter, nor the noble Lord, Lord Alton, has threatened a vote on their amendments, I urge my noble friend the Minister—and he is my friend—to bear carefully in mind that when we are dealing with China we are dealing with an underwater crocodile. We can be naive and keep feeding it, and allow it to build bigger and bigger embassies and to spy, either formally or informally, upon the activities of our citizens, and indeed of the expatriate citizens of Hong Kong in this country, and we can allow it to carry on behaving appallingly towards United Kingdom citizens, such as Jimmy Lai, who “live” in Hong Kong, but, if we let another week or month or year pass in which we live in this fog of confusion, we are, I suspect, misleading ourselves and not doing our own citizens or the citizens of other countries any good.

China is not anything other than something that we need to be very careful about. Yes, we can sell 2 billion toothbrushes and we can sell glass, IT or whatever it may be, but I urge the Government to please not allow themselves to think that, when you feed a crocodile, it will wag its tail and say, “Thanks very much”. It will not. It will say, “Thanks for your leg—I’ll have the other leg, and then I’ll have your arm, your other arm and your head”. Meanwhile, people such as Jimmy Lai, who stand up for freedom of expression, are left incarcerated in terrible conditions in Hong Kong.

Let us wake up and realise that we are dealing with adversaries, not with people who wish to do us a favour. I thank the noble Baroness, Lady Hayter, and the noble Lord, Lord Alton, and the noble Baroness, Lady Doocey, who has yet to speak, for their amendments, because they are seriously worth considering.

Baroness Doocey Portrait Baroness Doocey (LD)
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My Lords, I will speak to Amendment 5, in my name and that of my noble friend Lord Marks of Henley-on-Thames, and the noble Lord, Lord Alton of Liverpool. This amendment seeks to ensure that our national security framework is not only addressing the threats of today but is prepared for what the director-general of MI5 has described as “the next frontier”—the potential risks posed by non-human autonomous AI systems. While our current debate focuses largely on human adversaries and their proxies who seek to undermine our national security, we must now also grapple with the emergence of systems capable of evading human oversight and control.

We are drawing a distinction between the AI tools we use today and what experts term artificial superintelligence, or ASI. The amendment defines ASI as a system

“capable of adapting its behaviour, in response to … its … environment, in ways not fully specified in advance by its developers”.

As Lord Browne of Ladyton, a former Secretary of State and expert on non-proliferation, has explained previously, the key distinction is that ASI would be an agent rather than an instrument. While a nuclear weapon cannot improve or replicate itself, or resist being shut down, a superintelligent AI system could, in principle, do all three. We are therefore contemplating a technology that could out-think experts and potentially subvert even our most capable national security apparatus.

This is not science fiction. We have recently seen a leading AI company restrict its latest, most capable model to a small group of major technology infrastructure firms, precisely so that they could use it to identify and close security loopholes that it was able to uncover in the core software and system. Officials are now warning that, in the wrong hands, the same kind of system could dramatically speed up cyber attacks against individual companies and, potentially, the critical infrastructure on which the country depends. That is where we are already today. The next level may be artificial superintelligence, where these systems become much more powerful and the risks in the hands of hostile states or state-sponsored actors are correspondingly greater.

The implications of that decision go further still. The United States Government have now imposed export controls on Mythos, prohibiting its use outside American jurisdiction. That is a remarkable step. A foreign Government have, in effect, decided that a single AI system is too powerful, too consequential and too potentially dangerous to allow unrestricted international deployment. That tells us that at least one major power has concluded that frontier AI capability is now a matter of national security, not only for the country that hosts it but for every country that might seek access to it. If the United States Government are drawing that line, it would be quite extraordinary if we in Parliament are not asking what our own response should be.

The AI Security Institute has warned that our current trajectory risks an irrevocable loss of control over systems that are becoming deeply embedded in our national infrastructure, economy and defence. Yet the AI Security Institute lacks the statutory authority to require disclosure, compel compliance or impose any binding obligations on the companies developing these systems. We have a body that can see the risks but cannot act upon them.

More importantly, the Government’s own AI Scenarios 2030 report, published earlier this month, acknowledges that highly capable AI could give rise to

“serious, potentially even existential harms”,

and, in the absence of effective intervention, highlights autonomous risks in which advanced systems may develop objectives that “resist human control”. My amendment would bring the development of such systems by a foreign power within the definition of “foreign power threat activity” under the National Security Act 2023. It is directed at systems capable of neutralising or subverting our relevant human authorities, which I have defined as our Armed Forces, intelligence services, police and the Government themselves.

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The National Security Act already recognises that new technologies create significant vectors for attack. This amendment simply applies that existing logic to the most advanced AI systems now in development, ensuring that state-backed proxies cannot use autonomous code to achieve what once required human hired guns.
Our world is being remade, and the front line is no longer somewhere distant or abstract—it is here. It is embedded across our infrastructure, our institutions and our daily lives. If we fail to act now, we risk confronting a crisis at a point when control has already slipped beyond our grasp. This amendment is not about alarmism; it is about preparedness. It ensures that we recognise this emerging category of threat before it materialises, not after. We must write the rules before the systems outgrow them.
Lord Beamish Portrait Lord Beamish (Lab)
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I thank the noble Baroness, Lady Hayter, and the noble Lord, Lord Alton, for the amendments in their names. It is timely to have a debate and to keep raising—as I know the noble Lord, Lord Alton, does regularly—the threat we face from China. The ISC in its China report outlined the very detailed structure which the Chinese state, which has the largest security services in the world, uses not just at home for repression but abroad for undermining other nations’ ability to act, and in persecuting individuals who oppose the Chinese communist regime.

The issue around the Hong Kong Economic and Trade Office is an obvious one which has raised concerns. The Bill is needed because whenever we have made the operating environment more difficult for states to use diplomatic cover, they have gone to other lengths. The success in identifying individuals who are using diplomatic cover for other activities shows that our security services are conscious of this. The response to the Salisbury attacks—in this country and across Europe among our allies, where a number of individuals were expelled from Russian embassies because of their links to intelligence services and activities which were not in keeping with their designation under the Vienna convention—certainly proved that point.

The problem I have with Amendment 4, tabled by the noble Lord, Lord Alton, is in defining strategy. That would be very difficult in terms of the united front. We all know what our adversaries get up to and what the aims are. The Bill is important because, as the operating environment has become more difficult, they are subcontracting this to individuals. So it is not necessarily about not understanding what the Chinese state is up to—we have a very clear understanding of this, and it is very complex and broad. The other thing the ISC report highlighted is that it is not just the scale but the lengths it goes to, both to intimidate individuals here and across the globe and to suck up information—which many of us might think is pretty irrelevant—for economic purposes and for building up a picture, a matrix, of what is happening in various political systems around the world.

It is good that these issues have been raised, because it throws a spotlight on what is happening not just in terms of China but what both Iran and Russia are doing. As I said at Second Reading, it is important to have that public debate to keep highlighting the dangers this country faces, and I congratulate the noble Lord, Lord Alton, on his tenacity in continuing to do this. These dangers are on multiple fronts, whether it is universities being targeted, and individual diaspora members being targeted there, or IP thefts from both companies and universities. This is something that needs constant vigilance.

Baroness Ludford Portrait Baroness Ludford (LD)
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My Lords, I was pleased to co-sign the amendment tabled by the noble Baroness, Lady Hayter. All the amendments in this group—Amendments 1, 3 and 4 in particular—are expressing frustration with the limited scope of the Bill. Perhaps the Minister might be able to give an idea as to whether the national security Bill that was heralded in the King’s Speech will be able to pick up some of these themes, if we are not successful in persuading the Government today to make amendments to this state threats Bill.

There is a feeling of concern that some threats that have been experienced, or that are pretty obvious, are not being sufficiently dealt with by the Government. This is particularly in relation to China, where we have been urged to wake up and not be naive about the underwater crocodile. Whether the Government are being naive or shaped by other considerations towards China, there is a feeling that there appears to be so much going on—demonstrated in the recent trial concerning the staff of the Hong Kong Economic and Trade Office, and otherwise instanced by the transnational repression towards residents of this country from Hong Kong who are being persecuted by the Chinese state, while they are supposedly under the protection of this country and this Government, which is intolerable—that we need to wake up and smell the coffee in relation to China.

I would like to hear some reassurances from the Minister that if he cannot take up some of these points in this Bill, the Government will take them up in the forthcoming national security Bill, which is intended to:

“Consolidate the Government’s approach to countering state threats to align more closely with the approach to countering terrorism”.

Lord Alton of Liverpool Portrait Lord Alton of Liverpool (CB)
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I strongly agree with the points that the noble Baroness has just been making. She has referenced the plight of people living in the United Kingdom who now have bounties on their heads. Will she take the opportunity to highlight specifically the case of Chloe Cheung, who was 14 when she took part in pro-democracy demonstrations in Hong Kong and now has a 1 million Hong Kong dollar bounty on her head and is fearful of being dragged in—as some were, and attempts were made to drag others, to the Chinese consulate in Manchester in order to intimidate them? These are not illusions. There are many frightened Hong Kongers in the UK worried about the direct attacks that are being made upon them. I thank the noble Baroness for raising the general point.

Baroness Ludford Portrait Baroness Ludford (LD)
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Not at all. I thank the noble Lord, Lord Alton, for all the work that he has done on this topic, both individually and as chair of the Joint Committee on Human Rights. I had the pleasure of meeting Chloe Cheung and some of her colleagues, and became even more aware of the threats they are under. It is intolerable that people to whom we have rightly given protection and residence are facing these kinds of huge, life-threatening threats from a foreign state. So far, we are not feeling reassured that this Bill is going to cover these threats.

There is a feeling among many of us that we want to hear robust pledges from the Government, even if, for whatever reason, they now want to get the Bill through incredibly quickly, having—to the bemusement of some of us—taken over a year to get to the point. They now want to rush it all through, but so be it. There is unfinished business in the Bill. If it is not dealt with today, it needs to be dealt with as soon as possible in the forthcoming national security Bill: the transnational repression, the proxy networks, the issues with the capacity of our police forces to cope with these threats, the foreign language capacity, the resources, and, as the noble Lord, Lord Alton, called it, the “China capability”. We risk being looked at as a laughing stock if our state and its law enforcement institutions are not able to cope with the threat being directed towards our state and the people living here. So I hope that, even if the Minister does not accept some of these amendments, he will tell us that no stone will be left unturned in the coverage of the national security Bill that we are expecting.

My noble friend Lady Doocey gave a very powerful justification of her own amendment on superintelligent AI. She certainly frightened me, in as far as I understood much of it. I am a bit behind the curve on AI, it has to be said, so she will have to give me a tutorial. But, to be serious, she rightly stressed all the threats and the Bill covers only a bit of this territory. We need to hear from the Government much stronger and more comprehensive responses to all the threats that are being sponsored by foreign countries towards us and the people who live here.

Baroness Foster of Aghadrumsee Portrait Baroness Foster of Aghadrumsee (Non-Afl)
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My Lords, I do not want to delay the House for very long. I will just add my voice to Amendment 1, which I added my name to. The Government are very clearly warning about hostile state activity. Therefore, the probing amendment gives the Government and the Minister the opportunity to say that espionage is included in the state threat. The amendment seeks to add it and to give clarity to the clause. However, I hope that the Minister can be very clear that the foreign power threat activity includes espionage. If he is able to say that, it will be very helpful. It is very clear, after the recent case involving the Hong Kong Economic and Trade Office—which, as far as I am concerned, should no longer have any status here in London and should be disbanded, but that is for another day—that the British state was penetrated, dissidents have been targeted and, indeed, our colleagues in Parliament have been under surveillance. Therefore, I hope that the Minister will be able to say that in his closing remarks.

Lord Shinkwin Portrait Lord Shinkwin (Con)
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My Lords, I will speak to the amendments in group 1 in the name of various noble Lords, including, of course, the noble Lord, Lord Alton of Liverpool. I say “of course” in tribute to the noble Lord’s indefatigable illumination of the threat posed to this country by the odious Chinese Communist Party regime. I join with the noble Baroness, Lady Ludford, and the noble Lord, Lord Beamish, in thanking him for his enduring efforts to ensure that we are alive to the CCP’s deliberate, cynical and relentless attempts to undermine our democracy and the West as a whole.

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In relation specifically to Amendment 1, espionage is central to the attempt to undermine us, whether it is to enable transnational repression of Hong Kong dissidents in the UK and elsewhere, as we have just heard, to misrepresent and thereby minimise public awareness of the CCP regime’s genocide against the Muslim Uyghurs in Xinjiang province, or simply for military and commercial gain. One could argue that all states, even allies, engage in a degree of espionage. The difference is that few embark on it with the same aggressive, menacing and malign intent as the CCP.
The noble Baroness, Lady Hayter, and other noble Lords, mentioned the recent case involving the Hong Kong Economic and Trade Office. I agree that it is clearly a front for nefarious activity against the interests of the UK and its citizens. Its raison d’être is clearly no longer justified, given that the CCP regime has brutally quashed any vestige of Hong Kong as a separate entity. It is not: it has been swallowed up, and with it its reasons. There is no justification for an outdated institution whose true purpose was on full display recently at the Old Bailey to be allowed to remain. The fact that successive Governments have continued to mouth the mantra that the HKETO is about trade merely serves to underline the urgent case for the amendments in this group.
We must call out the CCP and show that we recognise, as my noble and learned friend Lord Garnier, said, that we are dealing with adversaries. To fail to do so is to passively perpetuate their lies and signal that we are content to acquiesce in their defeat of us. We can and should, through these amendments, signal our self-confidence, our fervent belief in the democratic system and our renewed determination to export it, so that one day the Chinese people themselves may taste the freedoms that we take for granted in the West.
Just because we cannot bring ourselves to accept that China is our enemy does not change the fact that China, Russia and Iran view us as exactly that and act accordingly. Taken together, the amendments in this group take the fight to our enemies, including non-state actors and media organs. These amendments strengthen the Bill by optimising its effect and, crucially, its message. Surely, at a time when the credibility of the free world has rarely been so undermined by its own leader in the White House, demonstrating to our enemies and our friends that we are determined to be on the front foot in addressing both state and non-state threats has never mattered more. That is why the amendments in this group deserve our support.
Baroness D'Souza Portrait Baroness D'Souza (CB)
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My Lords, I will remark briefly on the excellent intervention by the noble and learned Lord, Lord Garnier, and others, on the sleeping crocodile and toothbrushes. I ask the Minister to say, in summing up, why it is so very difficult for the UK Government to be extremely firm with China on the issues we are discussing today, which involve vast trampling on international norms and human rights. China itself has made it clear that if it wishes to continue trade with the UK, it will do so. China acts in its own best interests. No matter how firm we are on other issues, if it is in China’s interest to trade in toothbrushes or whatever, it will continue to do so. I do not understand why the Government are so reluctant to build and publish a strategy that is extremely and overtly firm regarding the kind of transgressions we are discussing throughout this Bill.

Lord Marks of Henley-on-Thames Portrait Lord Marks of Henley-on-Thames (LD)
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My Lords, I regret that I was unable to take part on Second Reading owing to a long-standing family commitment, but I am very grateful on behalf of both the Liberal Democrats and many others for the Minister’s engagement with us before Second Reading and since. It has been extremely helpful, and his Bill team have been extremely helpful. The fact that most of the issues we face are now resolved owes a great deal to that commitment.

As was made clear at Second Reading, we support the aim of the Bill, in the light of the advice given to the Government by Jonathan Hall KC that further legislation is needed to enable appropriate action to respond to damaging activity by foreign state actors, as opposed to private bodies, that is prejudicial to the United Kingdom’s security and national interests.

We also understand the urgency of the Bill and the reason why it has been taken, effectively, as emergency legislation. However, I agree with the noble Lord, Lord Alton, that the degree of hurry and the haste overall have, sadly, reduced the amount of scrutiny we have been able to give it. The speed does not obviate the need for Parliament, and this House in particular, to give the Bill as much scrutiny as it can in the limited time available. But we do so in the light of the Government’s commitment, given in the King’s Speech, and to which my noble friend Lady Ludford referred, to introduce legislation to tackle the growing threat from foreign state entities and their proxies and to improve the country’s defences against cyber security threats. The Minister has mentioned those again in recent days, and we therefore accept that this Bill is not the end of the story in relation to those commitments, and that its structure requires further development to respond adequately to these ongoing, complex and ever-changing threats.

In this group I will add only briefly to my noble friend Lady Doocey’s careful and comprehensive explanation in her speech on Amendment 5—to which the noble Lord, Lord Alton, and I have added our names—of the dangers of artificial intelligence and superintelligence. Such developments would enable artificial intelligence and superintelligence systems to exacerbate foreign power and foreign state threats. Were Amendment 5 to be passed, they would be specifically subject to the National Security Act. The amendment addresses the particular threat of hostile or potentially hostile foreign state actors and their proxies developing and exploiting these new systems, which are capable, as my noble friend Lady Doocey said, of wreaking untold damage to our national infrastructure and our economic and military interests.

The extent and forms of such damage, the scope of the threats proposed and the potential shape of future attacks are unforeseen and unforeseeable today—and therein lies a great part of their danger. The dangers outlined by the noble Lord, Lord Beamish, to our academic life and our universities are all exacerbated by the growth of AI and ASI alongside them. The noble Baroness, Lady Ludford, in a lighter moment, said that the noble Baroness, Lady Doocey, had frightened her; well, she has frightened us all, and rightly.

Until this morning, we found the Government’s response to this amendment slightly inadequate. However, following our meeting yesterday with the Minister, the Government have given a strong indication that they recognise the development by foreign powers of highly advanced AI systems that pose risks to our cyber security and our national security. The Government will therefore seek and take into account the views of the Independent Reviewer of State Threats Legislation as to whether amendments to our legislation are necessary to redefine power threat activity accordingly.

That undertaking goes a long way towards meeting our objective. However, I am keen to see—and I hope the Government will add to this—the involvement of others going wider than the independent reviewer. For all that he is widely respected, his term is in any case due to end shortly. But real expert input in this area is necessary, and the Government need to take advantage of it. I would be keen to know that the Intelligence and Security Committee of Parliament is to be consulted on this issue, and it should have the remit to consult with wider experts on AI development as needed.

As to the need for further legislation on this issue, we need look no further than the statement issued by our Five Eyes allies, including the leaders of our National Cyber Security Centre, on 22 June—only last week. The statement was headed, “The AI shift in cyber risk: why leaders must act now”. It made the urgency clear:

“While AI will help us improve cyber defence over time, it also accelerates the speed, scale, and sophistication of cyber threats.


Frontier AI models are anticipated to exceed current industry expectations, fundamentally transforming both offensive and defensive cyber capabilities. The timeline is not years, it is months”.


This is a threat to take seriously, and we underestimate it at our peril.

Lord Cameron of Lochiel Portrait Lord Cameron of Lochiel (Con)
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My Lords, I am grateful to all noble Lords who have spoken in this debate. We all agree that the Bill is needed. As we said at Second Reading, the Opposition support the principles behind the Bill and the creation of a designation regime to tackle state threats, most importantly the IRGC. We do, however, feel the need to again make criticisms of how we have reached this point.

When the Government introduced the Bill three weeks ago, the usual channels agreed to fast-track it in both Houses. Part of that agreement was that the Government would work with the Opposition in a constructive manner to ensure that the Bill is the best it can be. My honourable friend Alicia Kearns MP had meetings with officials in the Home Office, informing them of her concerns about gaps in the Bill. My noble friend Lord Davies of Gower sent to the Minister two letters confirming those concerns, the first on 10 June and the second on 17 June. We gave the Government as much advance notice as possible of the amendments we would table, to give them enough time to consider the proposals and reach a reasonable compromise.

16:30
We did all this in good faith, but unfortunately our willingness to act constructively has not been reciprocated. The Government have failed to take on board our concerns around certain issues, even points that were recommended by Jonathan Hall KC. Their stock line has been to say that they do not have enough time to make changes to the Bill, given its progress. In that regard, I echo the points made earlier by the noble Lord, Lord Alton. The Government have had more than a year since Jonathan Hall KC published his report recommending a new proscription-like power for state-linked bodies. They have had months since we pushed our amendments to the Crime and Policing Bill to proscribe the IRGC. They have had several weeks now to draft amendments that address those gaps in the Bill. It is highly regrettable that on an issue as important as this, national security, the Government have shown themselves to be wholly unwilling to accept that there are serious gaps, gaps that will be exploited by the very groups that we are seeking to target with this legislation. I wish to put on record our profound disappointment with the way the Government have acted over this Bill. It is very regrettable indeed.
Turning to some of the amendments in this group, I am pleased that the noble Lord, Lord Alton, has tabled Amendment 3, which specifies different categories of conduct that would be considered by the Home Secretary when making a decision on which bodies to designate. This amendment was tabled in the other place by my honourable friend Alicia Kearns because, as she noted, there is no recognition of transnational repression in British law. As the noble Lord, Lord Alton, has repeatedly highlighted in your Lordships’ House, transnational repression takes many different forms and is perpetrated by the Chinese Communist Party, the IRGC, the Kremlin and others. China claims international jurisdiction for its national security laws, meaning agents of the Chinese state operate across the world in their attempts to kidnap so-called dissidents. The noble Lord’s Amendment 3 rightly highlights these issues, and we support it.
In Amendment 2, the noble Lord, Lord Walney, has rightly identified how hostile states use media propaganda to spread their influence. We have tabled an amendment criminalising the dissemination of publications related to designated bodies which will be debated in a later group, so we will reserve our comments on this matter for then. Suffice to say that, for now, I agree with the noble Lord, Lord Walney, that this is a significant lacuna in the Bill and the Government must rectify it.
Lord Hanson of Flint Portrait The Minister of State, Home Office (Lord Hanson of Flint) (Lab)
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I am grateful to noble Lords for their contributions and comments and for the broad support for the Bill from the noble Lord, Lord Cameron of Lochiel, and the noble Lord, Lord Marks of Henley-on-Thames.

I shall start on the issue that the noble Lord, Lord Cameron has raised. This Bill is a result of a Labour manifesto commitment. It is a result of a commission we gave to Jonathan Hall KC to examine these areas in October 2024. He produced a report for the Government which they have examined in detail, and they have given commitments in this House to bring forward legislation at the earliest opportunity. This is the earliest opportunity. In giving time for discussions with the Official Opposition, the Liberal Democrats, the Cross Benches and noble Lords such as the noble Lords, Lord Alton, Lord Anderson and others, I have tried to make sure that we get this Bill right. It has had a fast track, agreed with the Opposition. It was put through the House of Commons in one day. We agreed to have Second Reading in one day and now all remaining stages of the Bill today. I have tried to support the Opposition to achieve their objectives. I have to say to the noble Lord that I have been very clear, open and honest in private conversations about what I can do and what I cannot do. What I have said to him I can do I have tried to do. As we shall see in later amendments, the Government have tried to assist other noble Lords.

I have also been very clear about what I cannot do. What I cannot do are things that dilute or damage the basic principle of this Bill, which is to give my right honourable friend the Home Secretary the power to undertake some designatory actions, which have been called for by His Majesty’s loyal Opposition, the Liberal Democrats and others in this House and in other places, against a number of potential state threats. That is why we fast-tracked the Bill: so that this House and others can give powers for the Secretary of State to consider it.

The noble Lord and I get on well—we have friendly discussion; we have discussions inside and outside this House—but I reject wholly his allegations today that we have not engaged on this Bill. It is worth putting that on the record; we have to put these things on the record occasionally.

The noble Lord, Lord Alton of Liverpool, raised specific questions on a number of matters. If he will allow, they need reflection and are not material to the amendments before us today, although they are tangential and important. I cannot give him definitive answers today on the four questions that he raised, but I will write to him on them.

A number of noble Lords also raised the national security Bill that is coming up shortly. I refer all those noble Lords to the King’s Speech 2026. The King’s Speech document contains four pages of detail on the national security Bill and about what we intend to do; the gracious Speech has announced that. Again, I cannot give noble Lords a date for its introduction, nor can I go above what has been said in the gracious Speech, but noble Lords need to know clearly that there will be a security Bill and that the gracious Speech’s objectives will be met. I refer noble Lords to that.

I thank my noble friend Lady Hayter for her Amendment 1. I also thank the noble Baroness, Lady Ludford, the noble and learned Lord, Lord Garnier, and indeed, the noble Lord, Lord Alton, for speaking to that amendment. I hope I can reassure my noble friend that not only was the National Security Act 2023 landmark legislation but it modernised the Government’s approach to dealing with the state threat activities that she mentioned by repealing the Official Secrets Act 1911 and the offences therein and modernising those offences as a whole.

The espionage offence was at Section 1 of the 1911 Act and the espionage activity that it dealt with is now comprehensively dealt with in various offences found in Part 1 of the National Security Act 2023. These include the espionage offences referred to by the noble Baroness, Lady Foster. A number of other offences are in that Act. They protect key locations and key aspects of the state against foreign activity. They include the offence of assisting a foreign intelligence service. That offence at Section 3 of the Act has already proved invaluable in countering espionage and has led to recent convictions for serious offences in relation to those who acted for the Hong Kong Economic and Trade Office, to which noble Lords have recently referred.

The noble and learned Lord, Lord Garnier, described China in colourful terms which were echoed by the noble Baronesses, Lady Ludford and Lady D’Souza, the noble Lords, Lord Alton of Liverpool and Lord Shinkwin, and my noble friend Lord Beamish, from his experience on the Intelligence and Security Committee. They all raised the issue of China. I am clear on this. China poses a series of threats to the UK in national security terms, from cyber attacks, foreign interference, espionage, democratic institution interference and transnational repression, which are to be condemned. Protecting our security is non-negotiable, but we have to engage with China where there are clear UK global interests. Indeed, this engagement allows us to raise issues of concern—in which we occasionally have common interests.

I hope I can reassure my noble friend that the espionage activity that she has mentioned in Amendment 1 is covered completely. With those assurances, I hope that she can withdraw her amendment in due course.

Lord Alton of Liverpool Portrait Lord Alton of Liverpool (CB)
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Just before the noble Lord, Lord Hanson, leaves that point—and he will know that I have raised this before—it was one of the points raised in the Joint Committee on Human Rights report, which identified China as the principal threat when it comes to transnational repression, more than any other state. We puzzled over why, therefore, Iran and Russia are in the enhanced tier of the foreign influence registration scheme, but China is not. I know that the Minister will say, “We continue to look at this”, but will he give us some idea of how long it will take before we get a real answer to that question?

Lord Hanson of Flint Portrait Lord Hanson of Flint (Lab)
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I am afraid the noble Lord will have to accept the answer I give him every time he raises this issue, which is that we keep these matters under review. If the Home Secretary believes that the power should be exercised, she will exercise it alongside the Foreign Secretary and other Ministers. I cannot give him the answer to that question now, for the reasons he knows. I hope he understands that.

The noble Lord’s Amendment 3 proposes new types of conduct to be treated as foreign power activity. As I understand it, this would supplement but not supplant the existing meaning of Section 33 of the National Security Act 2023 when making designations. I am entirely sympathetic to the aim of the noble Lord, Lord Alton, of making the UK a harder target for transnational repression. He will know it is a matter the Government take seriously and that we continue to make concrete progress, including on the helpful recommendations from the noble Lord’s own committee, the JCHR, and the detailed inquiry. This includes the continued implementation of the National Security Act 2023, the recent successful prosecutions I referred to a moment ago, the introduction of police training, practical guidance, a national protective security agency and a range of other matters.

Where a person carries out such activity with the intention of materially assisting a foreign intelligence service, it would already fall within the scope of foreign power threat activity. I think that is right and that the link back to the definition that Parliament agreed in passing the National Security Act 2023 is entirely appropriate.

Given the evolving nature of the threat and absence of an internationally agreed definition of transnational repression, we believe the broad approach recommended by the Defending Democracy Taskforce, coupled with the powers in the National Security Act and wider criminal law, is better suited to protecting potential victims. As I have said to the noble Lord outside the Chamber, I am happy to write to him by what I will term close of play in this House, 23 July, with further details of how we will respond on those matters accordingly.

I thank the noble Lord for Amendment 4, which touches on a significant issue. Outside of the Chamber, contrary to the assertions of the noble Lord, Lord Cameron, I have tried to meet the objectives and to talk to the noble Lord in a constructive way. The foreign power condition is a core component of existing offences in Part 1 of the National Security Act 2023. I will explain how we will deal with the foreign power condition and its interpretation, which I hope will reassure the noble Lord.

In my view, the foreign power condition can be met. Let me be clear that it is not necessary for a person to be tasked or directed by a foreign power in order for their actions to constitute foreign power threat activity. Under the National Security Act 2023, where a person acts for the purposes of advancing or giving effect to the policy of a foreign power, the foreign power condition can already be satisfied. In intending to promote or fulfil the published policy of another state through their conduct, a person is likely to at least intend to benefit a foreign power. It is important to add that the meaning of foreign power under Section 32 of the National Security Act 2023 is not limited to foreign Governments and their constituent parts. It is broad enough to include a range of agencies, including the type of agency that the noble Lord has mentioned and the governing political party of a foreign Government.

I am happy to put beyond doubt that activities inspired by the policy of a foreign power, including the governing political party of a state, would fall within the current definition of foreign power threat activity in the National Security Act 2023. I draw the noble Lord’s attention to the fact that the National Security Act 2023 was drafted with the intention of capturing the full range of state threat activity. I have looked at the matter extremely carefully and consulted with legal advisers in the Home Office, as well as operational partners. If it helps put the matter beyond doubt for the noble Lord, including for the purpose of interpretation by the courts, I can assure the Committee that interference activity motivated by the policy of the governing party of a state is prosecutable under the National Security Act 2023.

Lord Alton of Liverpool Portrait Lord Alton of Liverpool (CB)
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I thank the Minister for giving that assurance. As he said, it puts it beyond doubt. It would enable that to be referred to in a court of law, should such a prosecution occur. I regard that as very significant progress, and I am grateful to the Minister.

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Lord Hanson of Flint Portrait Lord Hanson of Flint (Lab)
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I am grateful for that welcome from the noble Lord, Lord Alton.

I will touch on Amendment 5, from the noble Baroness, Lady Doocey, who—again contrary to what the noble Lord, Lord Cameron of Lochiel, has said— I have tried to engage with a number of times this week, including, at short notice, in discussions across the board. I am trying my best to achieve those objectives.

Amendment 5 seeks to expand the scope of the preparatory conduct offence and the definition of foreign threat activity to incorporate the development of artificial superintelligence. The noble Baroness has a strong point. She is right to identify the risks posed by advanced AI models. As the picture is rapidly evolving, it is vital that the Government step up to this challenge, and we are already trying to do so. We have the AI Security Institute, the most advanced capability of any Government in the world for understanding AI. The National Cyber Security Centre, part of GCHQ, is providing world-leading defensive capabilities. The Cyber Security and Resilience Bill, which is currently progressing through Parliament, will strengthen protections, and we are shortly to produce a national cyber action plan setting out the steps that the Government want to take.

However, I recognise that the noble Baroness has made important points, and I will go as far as I can to reassure her on those issues. The Government recognise that the development by foreign powers of highly advanced artificial intelligence systems poses a risk to our cyber security and our national security. We will therefore—I hope this helps the noble Baroness—ask the Independent Reviewer of State Threats Legislation to expressly consider whether amendments to legislation are necessary to redefine “foreign power threat activity”. Accordingly, we will do that. In response to the points that the noble Baroness has made, it is up to the independent reviewer to consult who they think is necessary, but I anticipate—I hope this is helpful to the noble Baroness—that they may wish to consult with a range of experts, as she has suggested, relating to AI.

My noble friend Lord Beamish is in the Committee today and, while it is a matter for the ISC itself, I am happy that we involve the ISC in that as appropriate. The Government always welcome the views of relevant committees, and I encourage my noble friend Lord Beamish to look at any AI issues if he requires it. I hope that reassures the noble Baroness on the experts that we can bring in, alongside the Independent Reviewer of State Threats Legislation and the ISC examining these important areas. I hope that will help the noble Baroness.

Lord Carlile of Berriew Portrait Lord Carlile of Berriew (CB)
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I apologise for interrupting the Minister in full flow. Can he make the position absolutely clear? He said that, as far as the Government are concerned, on the advice that they have received, Amendment 3 is covered by Section 33 of the 2023 Act. He has put that plainly on the record. Is he also saying that, as far as the Government are concerned, Amendment 5 is covered by Section 18 of the 2023 Act but, if that is not the case and the independent reviewer makes cogent recommendations, the Government will come ready to this House to amend Section 18 of the 2023 Act as necessary? The one thing to remember in the context of the independent reviewer is that the independent reviewer can only tell the Government what he thinks. He cannot amend the law himself. That assurance would be very helpful.

Lord Hanson of Flint Portrait Lord Hanson of Flint (Lab)
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I happily give the noble Lord the assurance that, as I have said, we are trying to ensure that we ask the Independent Reviewer of State Threats Legislation to expressly consider whether amendments to the legislation, as in the area noted by the noble Baroness, Lady Doocey, are considered. That will be a formal request, involving the independent reviewer making a judgment about who he wishes to call, and that would undoubtedly include, as suggested by the noble Baroness, independent AI experts. My noble friend Lord Beamish, the chair of the ISC, is in the Chamber today and will have heard what has been said. He has had the discussion and the offer has been made to all parties that they at least submit some evidence as part of that process.

I go back to the genesis of the Bill. The Bill is around because there was a manifesto commitment. There was a request to the independent reviewer and he has come up with suggestions. We have introduced the Bill as part of those suggestions, and we have said in response to other areas that His Majesty’s Opposition have pressed us on that we will consider those matters, but we have to do so as part of other, wider Bills. I am saying to the Committee today that this is a defined Bill with a defined purpose. I am trying to ensure that, having listened to the Committee, and as we will discuss in later amendments—

Lord Hanson of Flint Portrait Lord Hanson of Flint (Lab)
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I will finish this sentence, if I may. As we will discuss in later amendments, we have made some changes to help reflect some of the views that have been put to me. Ultimately, that is the position that I am trying to take.

Lord Carlile of Berriew Portrait Lord Carlile of Berriew (CB)
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May I repeat my second question? Will the Minister confirm that it is the Government’s view that Amendment 5 is covered already by Section 18 of the National Security Act 2023?

Lord Hanson of Flint Portrait Lord Hanson of Flint (Lab)
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My view is that there are powers there. However, in response to the noble Baroness, Lady Doocey, I am saying that we will ask the independent reviewer to examine whether we need to make any changes. That is the settlement I am trying to reach today. If there are other points I want to add to that, I will contact the noble Lord by letter or email afterwards. That is the settlement I am trying to put on the record for all parties today, to get this aspect of the Bill agreed and the amendments not pressed.

Lord Alton of Liverpool Portrait Lord Alton of Liverpool (CB)
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The urgency of dealing with the question of AI was emphasised by the noble Lord, Lord Marks, and, of course, by the noble Baroness, Lady Doocey, to whose excellent amendment I am a signatory. The Joint Committee on Human Rights is about to complete a further investigation into AI and human rights. I hope that, along with all the other referrals the Minister is going to make to the independent commissioner, he might ensure that the findings of that Joint Committee, which we anticipate will be published before the Summer Recess, will also be drawn to his attention.

Lord Hanson of Flint Portrait Lord Hanson of Flint (Lab)
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The noble Lord knows that I always welcome the views of the committee, and I will look at them and reflect on them with colleagues. I can probably give a definitive yes to the noble Lord, Lord Carlile, on his point; I was hedging my bets, but I think I can give a definitive yes. I hope that helps him in his assessment. I always like to give the House exquisite legal advice on these matters, rather than finding myself having to examine my own comments at a later date. I hope again that, given all the points that have been made, my noble friend will withdraw her amendment and that other noble Lords will not push theirs.

The Committee will notice that I have not spoken to the amendment in the name of the noble Lord, Lord Walney, or indeed the clause stand part notice from the noble Lord, Lord Goodman, which were in this group, because they have not spoken to them. With that, I hope that my noble friend will respond accordingly.

Baroness Hayter of Kentish Town Portrait Baroness Hayter of Kentish Town (Lab)
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I first thank the noble Lords, Lord Alton, Lord Beamish and Lord Shinkwin, for their support. I also thank the noble Baronesses, Lady Ludford and Lady Foster, and in particular the noble and learned Lord, Lord Garnier, who managed to get Jimmy Lai’s name in, which we always appreciate. I thank my noble friend the Minister for his assurance that espionage is covered.

This is a live issue. The Chief Executive of Hong Kong, John Lee, has said that overseas activists with bounties on their heads will be “pursued for life”. Activists such as Christopher Mung, Ted Hui, Finn Lau and Nathan Law have all been targeted by the Hong Kong Economic and Trade Office, so what we are asking for is urgent. That is why I support this Bill going as fast as possible and being implemented as quick as possible. I beg leave to withdraw my amendment.

Amendment 1 withdrawn.
Amendments 2 and 3 not moved.
Clause 1 agreed.
Amendments 4 and 5 not moved.
Clause 2: Offences relating to designated bodies
Amendments 6 to 8 not moved.
Amendment 9
Moved by
9: Clause 2, page 4, line 23, at end insert—
“(3A) The conduct specified in subsection (3) includes establishing, administering or maintaining a company, trust, partnership or similar arrangement which conceals, or is intended to conceal, the beneficial ownership of assets connected with a designated body.”Member's explanatory statement
This amendment makes the concealment of beneficial ownership, and the establishment and maintenance of that concealment of finance and assets relating to a designated organisation, an offence.
Lord Marks of Henley-on-Thames Portrait Lord Marks of Henley-on-Thames (LD)
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That moved a little faster than I had anticipated, so I now have to move my finger a little faster.

Amendment 9, in my name and that of my noble friend Lady Northover, reflects one that was moved in the House of Commons by my honourable friend Steff Aquarone, the Member for North Norfolk. The amendment would include in the offence of assisting a designated body the conduct of establishing or administering a company, trust or partnership, or another body, with the aim of disguising

“the beneficial ownership of assets”

controlled by such a body. The amendment is designed to advance transparency and to penalise the exercise of disguising the real ownership of the assets of bodies designated under this legislation, so that what is sometimes called corporate disguise cannot be used to assist unlawful foreign power threat activity by a designated body, and it would do so by making it an offence under new Section 17B.

As my honourable friend Mr Aquarone put it succinctly in the House of Commons:

“These groups rely on hiding their money, and opaque financial systems only help them to do that”.—[Official Report, Commons, 17/6/26; col. 931.]


By extending liability to those who make that opacity possible, we limit the ability of designated groups to continue to benefit from their assets and finances. The Government’s position appears to be, or appeared in the House of Commons to be, that existing mechanisms of financial control are sufficient protection of our national security from the use of disguised assets by designated bodies. The response of the Minister in the other place, Angela Eagle MP, was:

“Obtaining material benefits from a foreign intelligence service is an existing offence under section 17 of the National Security Act”,”.—[Official Report, Commons, 17/6/26; col. 934.]


so there was no need in this Bill to criminalise conduct that disguised the assets of designated bodies. I am afraid I disagree with that assessment.

Helping in such a disguise is not the same thing as deriving a material benefit from a foreign intelligence service, the offence with which Ms Eagle was concerned. Mr Aquarone gave a number of examples of egregious conduct by individuals who are the real owners of disguised assets being used to fund foreign state threats from bodies that are likely to be designated when the Bill becomes law. Among other examples, he cited the work by the Times, Bloomberg and Transparency International in exposing the use in the United Kingdom and elsewhere, by an Iranian-Cypriot banker already sanctioned by the UK Government, of disguised assets that may be used to fund the activities of the IRGC, which may become a designated body.

The Minister has responded to a number of questions in respect of which his department has set out ways existing financial controls will prevent, restrict or otherwise impact on conduct designed to hide the assets of designated bodies. The Government have stated that collaboration with Crown dependencies and overseas territories is sufficient to prevent the disguise of assets assisting designated bodies in those jurisdictions; and, further, that our requirements for the register of entities, and for company reporting with Companies House, are sufficiently robust to prevent the disguise of designated bodies’ assets being a threat. I am afraid I doubt that.

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Under this legislation, conduct assisting a designated body is to be a very serious criminal offence, attracting very serious sentences of imprisonment. I am unclear why existing transparency and reporting regimes should not be bolstered by the specific inclusion in this legislation of “assisting in disguising the assets of designated bodies”, and that conduct being designated and criminalised under the Bill. I would be grateful, therefore, if the Minister could give the Committee a further and more detailed explanation of why that should not be the case, and if he would at least promise to give further consideration to specifically including such conduct as assisting a designated body by hiding assets when this is further reviewed in the legislation promised in the King’s Speech, which he has confirmed is forthcoming. I beg to move.
Baroness Northover Portrait Baroness Northover (LD)
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My Lords, I speak briefly in support of my noble friend Lord Marks. He has put the case extremely effectively, taking from the amendment tabled by my honourable friend in the other place. Generally speaking, this is an area where there has been much cross-party working by the right honourable Andrew Mitchell, the noble Baroness, Lady Hodge, my noble friend Lady Kramer, and others. I therefore hope that noble Lords will be helpful in responding to this. The Panama papers, and many other sources, have revealed much information that would already have been in the public domain had beneficial ownership been clearer. Therefore, I hope the Minister will join me in supporting this amendment.

Lord Cameron of Lochiel Portrait Lord Cameron of Lochiel (Con)
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My Lords, the amendments in this group concern offences relating to the support and assistance of designated bodies. The noble Lord, Lord Walney, has not spoken to his amendments. In this regard, it is worth commenting that these Benches have a lot of sympathy with the principle behind the noble Lord’s amendments—he spoke at Second Reading last week—namely, the fact that a designated body, as a media organ, should not be a potential avenue by which criminals avoid prosecution. It is an issue worthy of consideration. It would be interesting if the Minister could confirm whether the offences proposed by the amendments tabled by the noble Lord, Lord Walney, would already be captured by the Bill as drafted.

Amendment 9, in the name of the noble Lord, Lord Marks, would make it an offence to conceal beneficial ownership relating to a designated organisation. Again, we on these Benches support the principle behind this amendment. The use, funnelling or concealment of funds to support a designated body should undoubtedly be an offence that is captured by the Bill, and I hope that the Minister can provide assurances that this will be the case. I look forward to his response.

Lord Hanson of Flint Portrait Lord Hanson of Flint (Lab)
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I am grateful for the contributions from the noble Lords, Lord Marks of Henley-on-Thames and Lord Cameron of Lochiel. The noble Lord, Lord Walney, is not in his place, but his amendments have been referred to. I confirm to the noble Lord, Lord Cameron of Lochiel, that the conduct captured in the amendments is already appropriately provided for by the existing provisions in the Bill. Had the noble Lord, Lord Walney, spoken to them, I would have gone into more detail, but that is the principle of the response to date.

I also thank the noble Lord, Lord Marks of Henley-on-Thames, for his Amendment 9, which intends to specify the concealment of beneficial ownership, and the establishment and maintenance of that concealment of finance and assets related to a designated body, as material assistance. The Government take corruption in all its forms very seriously. We welcome the noble Lord’s focus on this important issue, and the support of the noble Baroness, Lady Northover, for the objectives that the noble Lord, Lord Marks, has outlined.

On the noble Lord’s concerns about beneficial ownership, the Government have a strong record on reducing illicit finance, including working with overseas territories and Crown dependencies to do so. The register of overseas entities requires overseas entities that own UK property to register verified information on their beneficial owners with Companies House and to update that information. The Government also produce an annual progress report to Parliament on Companies House reforms, including updates to the register of overseas entities.

The “Assisting a designated body” offence is not limited to financial benefits; providing access to services is already explicitly covered by subsection (3) of the new Section 17B offence. Establishing or running an arrangement to look after a designated body’s assets is a service. Those who do so professionally are often called trust or company service providers. This reflects that there are no specific financial measures in the Bill but they can be applied in all environments. Therefore, the activity that the amendment seeks to address is already within the scope of the new offence.

The amendment is unnecessary in a positive way, in that the Bill is already covering this area, and although the noble Lord has drawn specific attention to this matter, I can explicitly confirm the extent of the provisions of the Bill, and we anticipate that a key utility for this power will be to call out and bear down on the very front companies the noble Lord has referred to which are carrying out foreign power threat activities as proxies for hostile powers. If the noble Lord looks at the Explanatory Notes to the Bill, he will see that that is very clear. I know he will have looked at those in detail, but I reaffirm for other Members of the Committee that the Explanatory Notes are very clear on that point.

If I may, I will follow up in writing to the noble Lord to give some further detail to him and his colleagues regarding the work that the Government are doing to prevent the misuse of beneficial ownership structures and financing of designated bodies more broadly. When I do that, I will place a copy of the letter in the Libraries of both Houses to ensure that all Members have access to my correspondence in due course. It is a matter for the noble Lord, but I think that we have covered these matters. It was very important that he raised them, but I respectfully ask him not to push his amendment; given that his is the last amendment standing in this group, I hope he will withdraw it and allow us to deal with matters by correspondence.

Lord Marks of Henley-on-Thames Portrait Lord Marks of Henley-on-Thames (LD)
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I am very grateful for the assurances and explanations that the Minister has given. I will not press the amendment to a vote now, but I invite him to consider, between now and the introduction of further legislation, whether there is a complete overlap, so that anybody who helps the disguise of assets, perhaps without knowing that the designated body is the beneficiary of that assistance, will be covered by the offence as it stands, because it seems to me that there is a possible lacuna where new legislation would be helpful. If he would add to his assurance by saying that he will at least consider whether there is such a gap, I would be happier in withdrawing my amendment, which I will seek leave to do in any event. I give him an opportunity to respond to that very specific point.

Lord Hanson of Flint Portrait Lord Hanson of Flint (Lab)
- Hansard - - - Excerpts

I give the noble Lord the assurance that we will certainly look at those matters, and I will include that in the correspondence that I send him post the consideration of the Bill.

Lord Marks of Henley-on-Thames Portrait Lord Marks of Henley-on-Thames (LD)
- Hansard - - - Excerpts

I am very grateful and, with that, I beg leave to withdraw the amendment.

Amendment 9 withdrawn.
Amendment 10 not moved.
Amendment 11
Moved by
11: Clause 2, page 4, line 34, at end insert—
“(5A) Subsections (1) and (2) do not apply to conduct engaged in on behalf of an impartial humanitarian organisation that is necessary to ensure the delivery of humanitarian assistance or to support other activities that support basic human needs.”Member’s explanatory statement
This amendment would create an exemption from the offence in section 17B of assisting a designated body if the assistance is provided on behalf of an impartial humanitarian organisation.
Baroness Northover Portrait Baroness Northover (LD)
- Hansard - - - Excerpts

My Lords, in moving Amendment 11, I will speak also to Amendment 12A, which replaces my original Amendment 12; Amendment 13A, which replaces my original Amendment 13; Amendment 18A, which replaces Amendment 18; Amendment 19A, which replaces Amendment 19; and Amendment 16.

I want to start by acknowledging the huge amount of support and effort that others have put into getting us to where we are now: the noble Lord, Lord Anderson, with his expertise and understanding, Sarah Champion and those associated with the International Development Committee, the International Committee of the Red Cross, other leading NGOs and others, and, from Friday onwards, the Minister and his team. I think that the poor Minister is probably due a full night’s sleep after all this.

I sympathise with the Government and those who drafted this legislation. I understand why they want to act, but we all know, as the noble Lord, Lord Alton, pointed out, that acting in haste in drafting legislation can have predictable challenges. For me, therefore, the key is to address the unintended consequences of this short Bill, rather than to seek to move particular areas forward. That will need to wait for the longer Bill that we have been promised in the King’s Speech. It could never be acceptable to say that this legislation must go through unamended, when risks were perceived with it, because we were short of time.

I also note the engagement of Jonathan Hall KC, who published a note on receipt of information on 25 June, suggesting a change to the legislation. It is quite something when such a suggestion is made, given that, in theory, this legislation came directly out of his report. I thank him for being willing to address this, and the Government for listening.

Let us set aside whether or not there should have been such a rush, and make sure that by the end of today we have taken forward a Bill in which there is common agreement about intentions and the protection of the British public and state without, at the same time, throwing out babies with bathwater. In fact, I am mightily keen not to throw out babies, but instead to look after them around the world, which is what humanitarian organisations so bravely do, often in the most challenging circumstances.

I am very grateful to those who signed my amendments—the noble Lord, Lord Alton, and the noble Baronesses, Lady Helic and Lady D’Souza—for their support. We had a clear problem as the legislation stood. No one, including the Government, wishes to prevent bona fide humanitarian organisations, working within international humanitarian law, doing their work, whether that is clearing mines, working on conflict resolution or getting aid to vulnerable people, or to block journalists from digging deep to do their work. The dilemma of engaging with those with whom we might otherwise wish to designate or proscribe is clear to the Government, hence the defence for diplomatic engagement.

The Explanatory Notes state that humanitarian work is not designed to be captured by this Bill. While diplomatic protection is in the Bill, humanitarian work, so far, is not. The factsheet on the Bill, published by the Home Office on 9 June, states:

“Legitimate activity, such as diplomatic and humanitarian engagement and journalistic freedoms are protected in the offences which include relevant defences”.


But actually, no: the intention was clearly there, but it was not translated into the Bill. We need to make sure this is rectified.

Amendment 11 provides an exemption, stating that the new provisions

“do not apply to conduct engaged in on behalf of an impartial humanitarian organisation that is necessary to ensure the delivery of humanitarian assistance or to support other activities that support basic human needs”.

That is the best route to go down, so that this legislation does not have a chilling effect on those in the humanitarian sector, so they fear to act lest they end up in the courts, or their banks or donors do not want to engage for fear of the law. In Yemen, for example, aid agencies have abandoned entire communities because they are working with groups that were blacklisted by the US Government. This then made it too risky to stay.

Amendments 12A and 13A seek to provide a defence for those carrying out humanitarian activities, making it clear that these must be in keeping with internationally recognised principles and standards applicable to such activities. Amendment 16 would mean that an offence in Section 17C on obtaining material benefits would not apply if the benefit was provided to an impartial humanitarian organisation. It provides an exemption.

17:15
Amendments 18A and 19A provide a defence—again—to those carrying out humanitarian activities. It has been said to me that, if there was any protection for humanitarian organisations in the Bill, malign actors might exploit this. But I point out that the UK has previously shown global leadership in its efforts to safeguard humanitarian action round the world. This includes a range of exceptions and general licences to protect humanitarian activities from sanctions, including counterterrorism sanctions. The UK has acted at the UN on this a number of times. There are also protections through the FCDO in terms of examination of partners and the examination under UK law of UK charities.
This is not a new challenge, and ways of addressing this have been found. I was therefore extremely grateful for the engagement of the Minister and his team. I hope, therefore, that we might agree that those carrying out humanitarian activities should have a defence in the Bill, even if we cannot carve out my preference of an exemption. I also thank the Minister’s team for suggesting that I should broaden my definition of “humanitarian aid” to make it “humanitarian activities”. I thank them for that suggestion; I have adopted it in my amendments, and I agree that is far preferable.
We are seeking to work together so that we can better protect the UK and its citizens, while at the same time not criminalising those extremely brave humanitarian organisations which may find themselves needing to deal with some of the most brutal people in the world as they seek to help the most vulnerable. I beg to move.
Lord Anderson of Ipswich Portrait Lord Anderson of Ipswich (CB)
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My Lords, it is a pleasure to follow the noble Baroness, Lady Northover, and I am delighted to add my support to Amendments 12A, 13A, 18A and 19A in her name. The unintended application of the new Sections 17B and 17C to those who carry out humanitarian activities was a danger to which we both spoke at Second Reading, and these amendments go a very long way to laying those concerns to rest.

My own Amendment 17, signed also by the noble Lord, Lord Verdirame, and the right reverend Prelate the Bishop of Manchester, who is not in his place, has similarly been superseded by Amendment 17A, which I tabled yesterday after discussion with the Minister. It appears in the supplementary list and is accompanied by the minor and consequential manuscript Amendment 18B.

Amendment 17A was floated in the Second Reading speech of the noble Lord, Lord Carlile, last Tuesday, tweaked in the note produced by Jonathan Hall KC on Thursday and tabled by me later that day. Three Independent Reviewers of Terrorism Legislation might not be quite as entertaining as the Three Tenors, but we have, I hope, as so often, sung more or less in harmony.

The problem that Amendment 17A seeks to address is the breadth of Section 17C, which prohibits obtaining material benefits from a designated body. Section 17C(3) defines material benefits as including not only

“anything which has the potential to result in a financial benefit”,

but additionally, and separately, the unqualified word “information”. The Minister sought to assist by suggesting at Second Reading that the transfer of information was caught by the prohibition only when it possesses

“an inherent value that enriches the recipient”.—[Official Report, 23/6/26; col. 614.]

Although I am as keen on gift horses as the next person, and while I appreciate the helpful spirit in which the Minister’s interpretation was put forward, I must confess that it is not one in which I would feel complete confidence as an advocate.

The starting point of Section 17C is that any receipt of information from or on behalf of a designated body is a criminal offence. Diplomats and other public servants have a defence. There is another defence of reasonable excuse in Section 17C(7), but this operates as a defence only to the charge of retaining the material benefit, not to a charge of obtaining it, accepting it or agreeing to accept it. That is the hole this amendment fills where information is concerned. It protects those who are not diplomats but who none the less have a legitimate interest in soliciting or obtaining information from a designated body.

Those engaged in humanitarian activity will now be protected by Amendment 18A. I mentioned at Second Reading the HALO Trust, which could otherwise have been at risk for asking a designated body where the mines were laid. But Amendment 17A remains vital for those who are neither diplomats nor engaged in humanitarian activity. I spoke at Second Reading of a small number of reputable organisations which enter into dialogue with bodies susceptible to designation for the purposes of conflict prevention and resolution. One of those bodies is the charity Inter Mediate, founded by Jonathan Powell, in which I declare a non-pecuniary interest as chair. Such bodies might be described as humanitarian, in which case they are protected by Amendment 18A. But, in case of any doubt, their ability to engage in such dialogues is safeguarded by Amendment 17A.

There are also foreign correspondents, a number of whom I have engaged with in recent days. In order to inform the public as effectively as possible, some of them routinely speak to sources in and around bodies liable to designation. They do not make it their practice to alert government or anyone else to the fact that they are doing so. While they understand that the Attorney-General has a discretion over whether to bring prosecutions, they point, I am afraid, to the abusive exercise of equivalent discretions elsewhere in the common-law world and ask, in the words of the title of Peter Hennessy’s latest book, “Could it happen here?” Prosecutorial discretion is of course a vital safeguard, but it is no substitute for a clear law that neither penalises reasonable behaviour, nor chills those who are associated with it.

These amendments do not weaken this vital Bill, but they avoid its unintended consequences. They give effect to the Government’s unrealised intention, expressed in the factsheet that accompanied the Bill, to include within it defences for humanitarian engagement and journalistic freedoms. I thank the Minister and the Bill team for their courteous and helpful engagement.

Lord Hanson of Flint Portrait Lord Hanson of Flint (Lab)
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I realise that it is unusual to speak this early in the debate, but I just hope the House will bear with me for a second. I believe it is important to give a view on the two sets of amendments that have been moved, so that colleagues will understand where the Government are coming from in any contributions they wish to make.

I recognise the concern raised by the noble Baroness, Lady Northover, and also by the noble Lord, Lord Anderson of Ipswich, about inadvertently criminalising the provision of legitimate humanitarian aid, and the resulting chilling effect this could have on important work. We have listened to the concerns and we have had extensive discussion outside the Committee. The Government will accept a new defence into Sections 17B and 17C, which is manifested by Amendments 12A, 13A, 18A and 19A, where conduct is carried out for the purpose of carrying out humanitarian activities, which are defined as only those activities carried out in accordance with internationally recognised principles and standards.

I am also grateful again for Amendment 17A from the noble Lord, Lord Anderson of Ipswich, which is based on the advice of Jonathan Hall KC, to expand the defence of “reasonable excuse” to cover obtaining, accepting or agreeing to accept information from a designated body. This pragmatic proposal will mean that, where a legitimate humanitarian organisation, such as those mentioned by the noble Lord, or a charity involved in conflict resolution, or indeed a journalist, takes information from a designated body, which could be about the location of landmines, for example, that organisation will not fall foul of the new offence at Section 17C. The amendment that the Government are willing to accept in the form of new Section 17C(7A) is intended to reflect that.

Again, I am happy if any other noble Lords wish to contribute to the debate and make any further points, if the House will allow me at the end of the debate to respond to those points. I thought it important to put on record now that there should be no difference between us. Therefore, the debate, I would hope, is about the importance of this subject, rather than the Government being forced into agreeing any particular amendment or not. With that, I will sit down and allow other noble Lords to contribute, but I hope the Government’s position is now clear.

Lord Verdirame Portrait Lord Verdirame (Non-Afl)
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My Lords, I am grateful for that clarification. It makes things much easier and will shorten the debate. The point that I was going to make, in respect of the amendment tabled by the noble Lord, Lord Anderson of Ipswich, is that designated bodies are different from terrorist organisations, because they may be exercising public functions in certain countries. For that reason, there are a number of British nationals who will have to engage with the designated bodies for perfectly legitimate reasons. Most of the examples that we have dealt with concern precisely that scenario: that is, cases of British nationals providing humanitarian assistance, journalists or those involved in conflict resolution.

But we should not lose sight of the possibility that even businesses could find themselves caught by these offences but for the reasonable excuse defence, which has now been accepted. There may, for example, be British businesses operating in Iran for perfectly legitimate reasons that will have to sell an investment and will have to obtain information from a designated body as part of that process. There may be British-Iranian dual nationals who have to, in the same way, accept or obtain information because they have to renew a passport or such other things. The reasonable defence excuse, which has now been cast in sufficiently wide terms, captures those situations. I am a little bit unclear about Section 17B, but the Section 17B offence concerns me a bit less because it already contains an important provision, UK-related activities, so does not come with as much of a risk of inappropriate application as Section 17C. With that, I welcome the Government’s concession on both of these aspects.

Lord Alton of Liverpool Portrait Lord Alton of Liverpool (CB)
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My Lords, I will speak to Amendment 22 in the group in my name and the name of my noble friend Lady D’Souza. It touches on the issues that my noble friend Lord Anderson of Ipswich raised in his remarks. I am very pleased with the progress that we have made around humanitarian organisations.

During the Second Reading debate last week, I specifically referred to the position of the International Committee of the Red Cross and said that it would passing strange if the united desire of this House to designate organisations such as the Islamic Revolutionary Guard Corps could be used to impede the work of the International Committee of the Red Cross. I specifically referred to an amendment to the Bill which it asked should be moved. I tabled it in due course and it is on the Order Paper.

During our very helpful meeting yesterday, the noble Lord, Lord Hanson of Flint, responded to another point that I raised with him and that I had also raised in correspondence with my noble friend Lord Anderson over the weekend concerning the position of journalists. I was struck by representations made by the admirable Alex Crawford from Sky News, who had given evidence to the Joint Committee on Human Rights during our inquiry into the activities of ISIS. The noble Lord will recall that I have raised with him the failure to prosecute any of the 400 ISIS members who committed genocide against Yazidis in northern Iraq and northern Syria and who have returned to this country. Not one of them has been prosecuted for crimes against humanity or the crime of genocide.

Alex Crawford went into the camps inside Syria and Iraq and very bravely interviewed some of the insurgents who were there, and she came to give evidence to our committee. She asked, “Would that mean, under the terms of this legislation, that I could be prosecuted for working to establish information and knowledge by going in directly to deal with a proscribed organisation?” I would like further clarity, just for the record and to put it beyond doubt, for people such as Alex Crawford, Lyse Doucet or many others. Last week, I referred to Kate Adie, who stood in Tiananmen Square at the time of the massacres that occurred there. Would someone like that also be placing themselves at risk under the legislation? Let us put that beyond doubt. I know that it is not the intention of the noble Lord, Lord Hanson. During our discussions yesterday, I felt that we made very significant progress in dealing with that.

I will just briefly refer to the position of the IRGC. This is not just about NGOs. The IRGC, as we all know, has to do some very delicate, sensitive and confidential work, sometimes engaging directly in places where there are organisations that we have proscribed or that we will, in the future, designate. Much of this can be funded by the United Kingdom, pursuant to the Geneva conventions, and this can include the provision of medical care of the wounded and sick. So, the idea that this could proscribe such groups solely to secure humanitarian access to civilian populations and detain persons—

Baroness Northover Portrait Baroness Northover (LD)
- Hansard - - - Excerpts

My Lords, I think the noble Lord means the International Committee of the Red Cross.

Lord Alton of Liverpool Portrait Lord Alton of Liverpool (CB)
- Hansard - - - Excerpts

I do indeed—there are too many acronyms flying around at the moment, and it is rather late in the day. I am very grateful to the noble Baroness.

17:30
This is an international organisation of very high standing for which all of us have great admiration. I hope that this will be put beyond doubt, because on its behalf people have put in cogent terms that some of its work could have been compromised in the Bill as it was drafted. I recognise that my noble friend Lord Anderson has helped us to make progress on this. Perhaps when the Minister replies, he will say how this will now be dealt with. These amendments presumably will now have to be sent back to another place. Is he satisfied that this will meet his objective of moving to Royal Assent very rapidly? He knows that none of us wishes to place obstacles in the progress of the Bill but, as the noble Baroness, Lady Northover, has said, we do not want this to become a law of unintended consequences.
Lord Carlile of Berriew Portrait Lord Carlile of Berriew (CB)
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My Lords, as a Welsh-born bathroom singer of much practice, I was pleased with my noble friend Lord Anderson when he referred to three tenors. However, your Lordships will have observed that, with the noble Lord, Lord Verdirame, and his operatic roots, it is now four tenors—and an “alto” as well.

None Portrait Noble Lords
- Hansard -

Oh!

Lord Carlile of Berriew Portrait Lord Carlile of Berriew (CB)
- Hansard - - - Excerpts

It took your Lordships quite a long time to get that one.

But seriously, I commend and congratulate my noble friend Lord Anderson and the Minister for the hard work they have done together in the last couple of days. I was attending a wonderful family wedding in Hereford Cathedral yesterday and was being informed, between bits of the service, of what was happening in the discussions. I am very happy with the result. What has been agreed gives sufficient protection for the concerns that have been expressed.

I mentioned at Second Reading my belief that the discretion vested in the DPP and the Attorney-General is a real protection and would be a real protection for those who might be faced with even a suspicion of prosecution in such a case. I think that we have reached a good way to deal with the matters raised by my noble friend Lord Anderson at Second Reading.

Lord Davies of Gower Portrait Lord Davies of Gower (Con)
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My Lords, I thank all noble Lords who have contributed to this debate. It is vital to our national security that those who assist bodies designated under this Bill are appropriately and effectively punished. The Terrorism Act 2000 has no prohibited purpose condition analogous to that included in the Bill, which we on these Benches believe could be exploited by potential criminals.

As my noble friend Lord Cameron and I argued at Second Reading, the existence of a prohibited purpose requirement will add a large degree of subjectivity and present further evidential barriers for prosecutors in the majority of cases where offenders have no legitimate defence. This argument was also made by Conservative MPs in the other place. We were told, however, by the Government that they were unable to accept our amendment, that no amendments to this Bill would be accepted and that our only chance of engaging in meaningful dialogue was to wait until the next national security Bill, the date for which is unspecified.

It is in that context that I turn to the amendments tabled by the noble Baroness, Lady Northover, and the noble Lord, Lord Anderson. Amendments 12A, 13A, 17A, 18A and 19A seek to create a defence for the offences of assisting a designated body or obtaining material benefit from a designated body. I understand the principle behind these amendments. However, we on these Benches worry that

“for the purpose of carrying out humanitarian activities”

is a potentially subjective criterion that may be misinterpreted and expanded by the judiciary or exploited by those seeking to harm the interests of the UK. Equally, the inclusion of a “reasonable excuse” defence for the obtaining of material benefit from designated bodies is a cause for concern. The wording is sufficiently broad that it may encompass excuses that are not intended to be captured. Moreover, the Minister has repeatedly resisted amendments with much tighter wording, arguing that the intention was for this Bill to be drawn as narrowly as possible.

Given the perhaps unhelpful manner that the Government have displayed during the passage of the Bill, I was extremely surprised to see these amendments appear on the supplementary Marshalled List last night. The tabling of amendments at the 11th hour, with minor drafting tweaks, would make the reasonable observer conclude that the Government have been involved in the drafting process. However, I struggle to believe that would be the case, given that the Government have told the Official Opposition on multiple occasions that they were unable to make further policy decisions during the interregnum. Indeed, they were so unwavering in this stance that they were unable to accept even amendments that had been confirmed as government policy, such as that on the seizure of passports. Therefore, I look to the Minister to assure the House that there has been no government involvement in the drafting of amendments in this group. Can he confirm that?

I can only reasonably assume that the Government will therefore be unable to accept the amendments in the name of the noble Baroness, Lady Northover. If the Government have offered assistance to the Liberal Democrats and are willing to accept the amendments in this group, I have several further questions for the Minister. Why did he inform us that the Government’s hands were tied and that no compromises could be made on the Bill between Second Reading and today? Given that the Conservatives also raised the issue of a defence to the offence of supporting a designated body, why were the Government willing to give preferential treatment and to work with Liberal Democrat Peers, but not the Conservatives? The Government informed us several times that, even with amendments they were sympathetic to, there simply was not enough time to draft them in an acceptable form during the passage of the Bill. Can the Minister now confirm that this was not the case, or did the Home Office increase the capacity of the legislative team over the weekend?

The concerns raised by the amendments in this group are not novel. In the spirit of collaboration, I even wrote to the Minister on 10 June, before Second Reading, outlining the issues on which we wished to work constructively. We were told in no uncertain terms that, on every issue raised, the Government were unable or indeed unwilling to act. The decision therefore to assist in the drafting of amendments that were published the night before Committee is just not satisfactory. It leaves noble Lords with very little time to consider amendments that concern national security and which are an unfortunate attempt at avoiding genuine parliamentary scrutiny. I would be very pleased if the Minister could address these concerns.

Lord Hanson of Flint Portrait Lord Hanson of Flint (Lab)
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For the avoidance of doubt, I quite like the noble Lord, and we have a good relationship on these matters. I think I have constructive discussions on these matters with both noble Lords opposite. But I want to say to the House that I have been very clear to the noble Lord from His Majesty’s loyal Opposition that there are certain things we can do and there are certain things we cannot. There are some issues we agree with, but not in this Bill, and there are other measures we will return to in future legislation. I have tried to not dilute the central purpose of this Bill, which is to give the Home Secretary a power to designate anybody that she, having taken advice from a range of sources in the Home Office and through agencies, thinks is a threat to the state.

As I have said, the issues the noble Lord has tried to shoehorn into the Bill are ones the Government in part agree with, and we will find a proper mechanism to implement those policies in due course. I did not want to extend the scope of the Bill, nor did I want to put in measures that, in my view, dilute its core purpose. That is why I have not been able to help the noble Lord.

The noble Lord, Lord Anderson of Ipswich, and the noble Baroness, Lady Northover—and indeed the Liberal Democrat Front Bench—made points about the unintended consequence of humanitarian, journalistic or other agencies being caught. I have tried, privately and at Second Reading, to give assurances that the Bill as drafted would not lead to those unintended consequences.

But it is perfectly reasonable for a Minister, between Second Reading and Committee, to listen to representations that are made and, as has happened, to have my officials and other Ministers in the department meet a range of humanitarian bodies, and to have respected journalists, such as Alex Crawford and Kate Adie, who were mentioned, raise issues with Members of this House where they are concerned about the impact of a particular Bill; and for us as a Government to reflect on those matters and, when amendments are discussed, to agree, potentially, areas where we can accept them. Yes, I accept that they are checked by Home Office lawyers, because this is the law of the land which the Home Office has to implement, but, with due respect to the noble Lord, I do not think that that is rejecting the things that he said.

I have tried to have a focus on the Bill. In my view, the amendments we have accepted give additional certainty. We thought we had that certainty, but requests were made to give that additional certainty and therefore we have done so. There are amendments in this group that we have not accepted and I cannot accept—I am afraid I am a perpetual disappointment to the noble Lord, Lord Alton of Liverpool, on his Amendment 22. But, in saying that I cannot accept the amendment he has tabled, I reassure him that the Bill we have crafted is designed to ensure that legitimate activities such as diplomacy and journalism, and activities that support basic human needs, are not caught within its offences.

We have to be alive to the risks of creating blanket exemptions, which could easily be exploited by sophisticated state actors. We have genuine concerns that exemptions could create simple loopholes for hostile actors to exploit. Those hostile actors frequently operate behind front organisations and sometimes shell charities, so a general carve-out would allow those bodies to carry out activities under the guise of relief work. I know the noble Lord does not want that, and he will know that that would not be right. There is a risk that legitimate humanitarian organisations are infiltrated by hostile actors, and, again, we must avoid unintended consequences.

However, I have recognised the concerns of the noble Baroness, Lady Northover, and the noble Lord, Lord Anderson of Ipswich, and I said what I said in my earlier introductory remarks, which do not need repeating. I am grateful to the noble Lords for their thoughtful and constructive amendments. They have helped strengthen the Bill and broaden its support, and they have meant that we have been able to tighten in many ways the concerns that were raised and address those properly.

I come back to the final point that the noble Lord, Lord Davies of Gower, mentioned. He made some good points; for example, there are things that he said on passports that are important. I agree with him; I have said to him, privately and on the Floor of the House at Second Reading, and I say to him now, that the Government hope they can do those things in this Session of Parliament. But the Bill before us is narrowly defined for a specific purpose, which is one I suspect he supports and which, ultimately, if the Bill can achieve early passage, will be resolved.

In answer to the question on whether the amendments we accept have to go back to the House of Commons, I say yes, that is right, but I am confident they will be agreed. I cannot say when, because I am not the business manager for the House of Commons, but I expect it to be done as soon as possible. If those amendments are accepted here, I have 110% confidence that they will be accepted in the House of Commons. Therefore, the Bill, as amended, with the safeguards that have been sought, can be presented for potential Royal Assent, and the powers that are in it can be exercised by the Home Secretary as a matter of urgency.

I therefore commend the amendments that I have indicated—Amendments 12A, 13A, 17A, 18A and 19A—to the Committee in support of the noble Lords, and I ask the noble Lord, Lord Alton, whether he will allow me to reflect still further on his Amendment 22, as discussed.

17:45
Baroness Northover Portrait Baroness Northover (LD)
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I am grateful to the Minister. It is important that we focus on the matter in hand, what the Government are seeking to do, making sure there are no unintended consequences and taking this forward. I hear the concern from the Conservative Front Bench, but I hope that they are able to see the bigger picture of what this was about and what we were seeking to do, which was not party-political in any way. It was simply to try to remedy some defects that we saw. We are grateful that the Government were able to hear that. It was something that was echoed by a number of organisations and lots of experts helping us in this regard. I am glad that in the end that was heard and therefore we have a better, safer Bill without those defects. I beg leave to withdraw the amendment.

Amendment 11 withdrawn.
Amendment 12 not moved.
Amendment 12A
Moved by
12A: Clause 2, page 5, line 7, at end insert—
“(e) for the purpose of carrying out humanitarian activities.”Member’s explanatory statement
This amendment, together with others in the name of Baroness Northover, provides a defence to the section 17B prohibition for the provision of humanitarian activities in accordance with internationally recognised principles and standards.
Amendment 12A agreed.
Amendment 13 not moved.
Amendment 13A
Moved by
13A: Clause 2, page 5, line 12, at end insert—
“(7A) For the purposes of subsection (6)(e), the reference to the carrying out of humanitarian activities does not include the carrying out of humanitarian activities in contravention of internationally recognised principles and standards applicable to the carrying out of humanitarian activities.”Member’s explanatory statement
This amendment, together with others in the name of Baroness Northover, provides a defence to the section 17B prohibition for the provision of humanitarian activities in accordance with internationally recognised principles and standards.
Amendment 13A agreed.
Amendments 14 to 17 not moved.
Amendment 17A
Moved by
17A: Clause 2, page 6, line 23, at end insert—
“(7A) In proceedings for an offence under subsection (1) or (2) where—(a) the benefit consists of, or includes, information, and(b) the conduct in question relates to that information,it is a defence to show that the person had a reasonable excuse for that conduct.”Member’s explanatory statement
This amendment would create a reasonable excuse defence for obtaining, accepting or agreeing to accept information from or on behalf of a designated body.
Amendment 17A agreed.
Amendment 18 not moved.
Amendment 18A
Moved by
18A: Clause 2, page 6, line 35, at end insert—
“(d) for the purpose of carrying out humanitarian activities.”Member’s explanatory statement
This amendment, together with others in the name of Baroness Northover, provides a defence to the section 17C prohibition for the provision of humanitarian activities in accordance with internationally recognised principles and standards.
Amendment 18A agreed.
Amendment 18B
Moved by
18B: Clause 2, page 6, line 37, after “(7)” insert “, (7A)”
Member’s explanatory statement
This amendment is consequential on another amendment in Lord Anderson of Ipswich’s name.
Amendment 18B agreed.
Amendment 19 not moved.
Amendment 19A
Moved by
19A: Clause 2, page 6, line 40, at end insert—
“(9A) For the purposes of subsection (8)(d), the reference to the carrying out of humanitarian activities does not include the carrying out of humanitarian activities in contravention of internationally recognised principles and standards applicable to the carrying out of humanitarian activities.”Member’s explanatory statement
This amendment, together with others in the name of Baroness Northover, provides a defence to the section 17C prohibition for the provision of humanitarian activities in accordance with internationally recognised principles and standards.
Amendment 19A agreed.
Amendment 20
Moved by
20: Clause 2, page 7, line 8, at end insert—
“17D Uniform and publication of images in relation to a designated body(1) A person in a public place commits an offence if the person—(a) wears an item of clothing, or(b) wears, carries or displays an article,in such a way or in such circumstances as to arouse reasonable suspicion that the person is a supporter of a designated body.(2) A person commits an offence if the person publishes an image of—(a) an item of clothing, or(b) any other article,in such a way or in such circumstances as to arouse reasonable suspicion that the person is a supporter of a designated body.(3) In subsection (2) the reference to an image is a reference to a still or moving image (produced by any means).(4) A person guilty of an offence under this section is liable on summary conviction to imprisonment for a term not exceeding six months or a fine not exceeding level 5 on the standard scale (or both).(5) A constable may seize an item of clothing or any other article if the constable— (a) reasonably suspects that it is evidence in relation to an offence under subsection (1), and(b) is satisfied that it is necessary to seize it in order to prevent the evidence being concealed, lost, altered or destroyed.(6) In connection with exercising the power in subsection (5), a constable may require a person to remove the item of clothing or other article if the person is wearing it.(7) The powers conferred by subsections (5) and (6) may not be exercised so as to seize, or require a person to remove, an item of clothing being worn next to the skin or immediately over a garment being worn as underwear.”Member’s explanatory statement
This amendment would create an offence of wearing or displaying in public, or publishing an image of, an article in a way that arouses reasonable suspicion that a person is a supporter of a designated body.
Lord Davies of Gower Portrait Lord Davies of Gower (Con)
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My Lords, I have already made it clear that the way the Government have dealt with this Bill is unfortunate, so I will not dwell on that any longer. The amendments in this group reflect the concerns that the Opposition have raised with the Government on a number of occasions. The Government have told us that they cannot accept any of them for myriad reasons. As I hope I will demonstrate to the Committee, every one of the Government’s arguments will fail at the first hint of scrutiny.

Amendment 20 would create an offence of wearing or displaying in public an article in a way that arouses reasonable suspicion that a person is a supporter of a designated body. This would include those who publish an image of such articles. This amendment seeks to correct the strange situation that could arise under this Bill whereby a state entity may be designated, but it would not be an offence to display its insignia or to glorify it online.

Viscount Hailsham Portrait Viscount Hailsham (Con)
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I am a little concerned by what is meant by an article of clothing. My noble friend will know that the keffiyeh is widely worn on the streets of London and was much associated, when worn by Yasser Arafat, with the PLO. Is there a risk that the wearing of the keffiyeh would be associated with support for a designated body? If there is, we are in very serious trouble.

Lord Davies of Gower Portrait Lord Davies of Gower (Con)
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I am not well-acquainted with this article of clothing.

Viscount Hailsham Portrait Viscount Hailsham (Con)
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It is an Arab headdress.

Lord Davies of Gower Portrait Lord Davies of Gower (Con)
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Should it come before a court, the court would have to decide. Further than that I cannot comment, but I take on board what the noble Lord says.

Getting back to what I was saying, such provisions already exist for proscribed organisations under Section 13 of the Terrorism Act. Where the IRGC is designated under this legislation, its insignia and flags could be displayed openly in public with complete legal impunity. Hordes of its supporters could wave IRGC flags on British streets and intimidate members of the Jewish community, and avoid any legal ramifications. This is an obvious legislative gap that is damaging to public confidence.

At Second Reading, the Minister said that banning uniforms would impact legitimate engagement of the designated state body, which would need to continue, for example, on diplomatic channels. I do not buy that argument. We are not legislating for Iran in this Bill; we are legislating for the United Kingdom. The offences do not apply to non-UK persons outside the United Kingdom. My amendments would not criminalise the display of IRGC insignia in Tehran. They would criminalise such acts only in Britain. I contend that, if, for some reason, an Iranian diplomat came to the country for diplomatic negotiations—although I do not believe that that has happened since 1980—it would be perfectly acceptable to require them not to wear an IRGC uniform or insignia.

If noble Lords are not convinced by my arguments then perhaps the following words will help put forward the case for my amendment. For the same reason as penalising support,

“it should also be an offence to display in public a flag or other insignia in such a way as to arouse reasonable suspicion that a person is a member or supporter of a”

foreign intelligence service subject to a statutory alert and liability threat notice. The argument continues:

“This is by parity with section 13 Terrorism Act 2000 which applies only to public displays.”


These were the words of Jonathan Hall KC, the Independent Reviewer of Terrorism Legislation and Independent Reviewer of State Threats Legislation, in his report published last year.

Much of this legislation has been justified by the Government on the grounds that it is rooted in the recommendations made by Jonathan Hall in his independent review. This amendment is a policy recommendation explicitly called for in his review. If the Government believe that his recommendation is grounds for policy justification, why does that not apply to our amendment, or will the Minister say that he believes that Jonathan Hall was wrong to suggest that uniforms should be banned?

This Government have been one categorised and defined by reviews. On countless occasions, across a range of departments, my colleagues and I have been told by the Government that they are waiting for the outcome of a review before taking any decisive action. Well, the review has concluded and Jonathan Hall has been clear, and now the Government have decided that they want to pick and choose which recommendations they would like to take forward. That raises the important question: why bother having the review in the first place?

Amendment 23 would give the police and immigration officers the power to seize the passports of individuals attempting to leave the country to assist a designated body abroad. It would do that by replicating the provisions of Section 1 and Schedule 1 to the Counter-Terrorism and Security Act 2015. The amendment details at length the powers available to police and immigration officers to seize passports, and would ensure that the same safeguards in the 2015 Act are in place.

I remind noble Lords that this too was a direct recommendation from Jonathan Hall’s report. He said:

“There is a strong case for enabling speedy action to remove a passport from a person who would otherwise leave the jurisdiction, where there is suspicion of involvement in foreign power threat activity”.


At Second Reading, the Minister stated:

“We are going to do it; we are just not going to do it in this Bill, which is a specifically designed piece of legislation to give powers to the Home Secretary. We will have further national security legislation later in his Parliament”.—[Official Report, 23/6/26; col. 614.].


In our discussions with the Government, they once again said that they agreed with Jonathan Hall KC and that they would do this at some point in this Session. When we asked the Government why, if they had accepted the recommendation, they would not implement it in this Bill, we were simply told that the Home Office did not have enough time to draft the amendment. But the Government have had over a year since Jonathan Hall KC’s report to sort out the policy detail. They have had a year to get the drafting right. Let us be under no illusion about how much time it would actually take them to draft this power. They are not starting from scratch. We already have the framework for the power in law in the Counter-Terrorism and Security Act 2015, as I have already mentioned. Half the job has already been done.

I have tabled my amendment, which the Minister will know is a more comprehensive version of the amendment tabled in the Commons, to show the Government that it can be done. If the Opposition can draft a comprehensive amendment on past procedure in a few days then surely the Government, with their Civil Service, can do the same.

The other criticism the Government have raised is that the amendment retabled in the Commons was too narrow, as they want the power to be extended further than to just those travelling abroad to assist a designated group. To do that, the Government say they need more time to ensure that this legislative gap is properly addressed, but all the while they prevaricate the legislative gap remains in place. If the Government want a wider power of passport seizure, applying to more offences in the National Security Act, they can bring forward a wider power in future legislation. I would be fine with that, but why will they not accept this narrower power for now as a stopgap while they draft the wider power?

Finally, Amendment 21 seeks to emulate the offence of disseminating terrorist publications in the Terrorism Act 2006. I have heard what the Minister has said about the differences between designating state-linked bodies and proscribing terrorist groups. I accept that there is a difference, but this is an issue where the difference in treatment is not borne out by the facts. The bodies we are dealing with in this threats regime are the very bodies engaging in propaganda to further their nefarious ends. The IRGC distributes materials encouraging others to wage war against the West. For example, the IRGC has founded news outlets, including Sepah News, Tasnim News Agency and Fars News Agency among others. The Seraj Cyberspace Organization serves as a central organisation that recruits and mobilises pro-regime users to conduct online operations for the IRGC. This includes social media campaigns, spreading disinformation online, and fomenting divisions among opposition groups through targeted operations. It has developed an expanded initiative to increase the IRGC’s human capacity online—its so-called soft war officers, who have been particularly active since the anti-regime protests in Iran in 2022 and the Hamas terrorist attacks on 7 October.

Other countries are taking action against the propaganda spread by the IRGC. In May, Europol’s internal referral unit launched co-ordinated action to target the IRGC’s online content after the EU designated it a terrorist organisation. It took down a total of 14,200 posts linked to the group. This operation exposed the enormous extent and reach of the IRGC’s online activities. Europol said:

“The content was spread across mainstream social media platforms as well as streaming services … Propaganda was identified in several languages, including Arabic, Bahasa Indonesia, English, French, Persian, and Spanish. The material ranged from speeches blending religious martyrdom narratives with highly charged political messaging to AI-generated videos glorifying the IRGC and calls to avenge the Ayatollah Ali Khamenei”.


There we have it—AI-generated videos glorifying the IRGC, calls to violence, blogs, recruitment of online operatives and more. The reach of the IRGC’s propaganda and violent material is vast and it is only growing.

I will not accept that designated bodies are different from terrorist groups when it comes to the dissemination of propaganda material. The Government stated that they believed dissemination would fall under the Section 17A offence of inviting support for a designated body. However, the reality is that many publications may not explicitly invite support for, in the limited sense as applied in Section 17A. They may simply glorify the actions and activities of the designated body. I have already given many examples of the myriad ways in which groups like the IRGC disseminate material. If this is the reality then it is abundantly clear that there is a gaping hole in the Bill.

The corresponding terrorism offence that my Amendment 21 is modelled on is contained in Section 2 of the Terrorism Act 2006. The offence in new Section 17A of inviting support for a designated body is modelled on the offence in Section 12 of the Terrorism Act 2000. These two offences were enacted six years apart. It is therefore evident that the Government and Parliament believed in 2005, when the new Terrorism Bill was introduced, that the original Section 12 offence in the 2000 Act was insufficient to deal with the full range of terrorist publications. If they believed otherwise, they would not have sought to create a separate stand-alone offence of dissemination in the 2006 Act. In other words, Parliament has already confirmed its belief that “inviting support for” does not sufficiently cover the wider dissemination of supportive materials. That is clearly evidenced by the arguments from the Government at the time. In 2005 the Minister responsible, the noble and learned Baroness, Lady Scotland, said that the Government wanted to give law enforcement agencies the tools they needed to tackle a particular mischief: the dissemination of publications in context, which means that they will either encourage terrorism or be of use to terrorists in practical ways. That was a very clear statement.

18:00
The then Labour Government recognised that a specific stand-alone offence of dissemination was needed to address the fact that the dissemination of terrorist publications was not covered by the offence of inviting support in the Terrorist Act 2000. I hope the Minister can confirm that this Labour Government will take the same sensible steps that their predecessors took, and I look forward to what he has to say. I beg to move.
Lord Verdirame Portrait Lord Verdirame (Non-Afl)
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My Lords, I have added my name in support of Amendment 20 in the name of the noble Lord, Lord Davies of Gower. As he has explained, Amendment 20 would create an offence mirroring an existing offence in Section 13 of the Terrorism Act 2000. Under that section, it is already an offence for a person to wear an item of clothing in such a way or in such circumstances as to arouse reasonable suspicion that that person is a supporter of a proscribed terrorist organisation. So we already have that offence in Section 13 of the Terrorism Act in respect of proscribed terrorism organisations; but, unless Amendment 20 is adopted, there will be no similar offence for someone wearing a uniform or displaying the insignia of a designated body.

I agree with those who have said a number of times that state threats call for a different response in some respects from that which we adopt in respect of terrorist organisations, but I do not see why, in respect of this particular offence, a different approach is needed. With this Bill we are trying to protect our public spaces—our public sphere, really—from the influence of malign foreign state organisations and from their attempts to subvert our democratic values and our liberal principles.

The Bill criminalises supporting a designated body but, as the Minister has explained before, it does so on a basis that is more demanding than for the corresponding offence under the Terrorism Act, so it would be challenging to rely on the offence of “supporting” to target the particular conduct Amendment 20 is aimed at. The “supporting” offence requires a prohibited purpose, which is defined as follows:

“that the person knows, or having regard to other matters known to them ought reasonably to know”,

that the purpose

“is prejudicial to the safety or interests of the United Kingdom”.

Faced with a person wearing the uniform of a designated organisation or carrying the insignia of that organisation in our streets, it would be difficult for the police to apply that test and quickly determine whether the prohibited purpose, which is not a low bar, was satisfied in the specific circumstances. But, if we have an offence such as Amendment 20 would introduce, which mirrors an existing offence under terrorism legislation, that determination could be made more simply and there would be no reason for the police to hesitate.

I hesitate to make comparisons with the 1930s, but I imagine that if we had had this power then, we would have designated the SS and then surely would have expected our police to arrest those wearing SS uniform in public spaces. I do not understand the hesitation the Government have in adopting this amendment, which, as we have heard, has already been recommended by a number of experts. I do not believe that immunity is a good reason. It is already the case that if an Iranian diplomat chooses to wear a Hamas uniform, he cannot be arrested because he enjoys immunity. Even though he would be committing an offence under Section 13 of the Terrorism Act, that diplomat would be able to invoke immunity. If the same person chooses to wear in London an IRGC uniform—if the Government end up designating that organisation—that person would be entitled to immunity. I do not think that immunity is a good reason for not extending this offence to designated organisations. For that reason, I hope that the Government will be able to support the amendment or, at the very least, indicate a willingness to adopt an offence on very similar terms. If the noble Lord, Lord Davies of Gower, is going to divide the Committee on his amendment, he will have my support.

Lord Walney Portrait Lord Walney (CB)
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My Lords, I too have added my name in support of Amendment 20 and endorse everything my noble friend Lord Verdirame has just said. I will briefly add, for emphasis, that the Government have promised an equivalent power for state-related organisations and without this, one of the key planks would not have an equivalent power.

Finally, if I understood correctly the concern expressed about the keffiyeh at the beginning of speech of the noble Lord, Lord Davies, is that not an article of clothing now commonly associated with a fully proscribed terrorist organisation, Hamas? As has been said, if such legal jeopardy arose, the relevant law does exist—Section 13 of the Terrorism Act. It is not widely used, and the argument would probably be that this headdress was originally about the assertion of Palestinian national identity. It has indeed been co-opted by supporters of Hamas, but it is a separate question which I do not think impinges on whether this amendment ought to be supported.

Lord Carlile of Berriew Portrait Lord Carlile of Berriew (CB)
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My Lords, I hesitate to do so, but I disagree with my two noble friends who have just spoken. Some years ago I was in a supermarket in London and found myself standing next to an approximately 17 year-old young man who was wearing a t-shirt with a swastika on it. He was entitled to wear that if he wished, because it is not unlawful to wear a t-shirt with a swastika on it, however much one disapproves. I turned to the young man and, in a moment of complete foolishness, I suppose, said to him, “Excuse me, but do you realise that 6 million people were murdered by the Nazis on the back of that particular insignia?” He turned to me and said, “Sir, I’m most awfully sorry: I never knew that, and I will never wear this again”. I was surprised that I got away with it and lived to tell the tale, as noble Lords will be sure I have on many occasions.

I do not think that in this Bill, we should be criminalising the mere wearing of such insignia as I have described. This is not a counterterrorism Bill; this is a counter-state threats Bill. We had this discussion at Second Reading and, in my view at least, we are not merely replicating what is in other Acts of Parliament. Further, if somebody wears an insignia and there is a public order disturbance or a racially aggravated public order disturbance, there are plenty of other laws to deal with that activity.

My final reason for objecting to this amendment is one that perhaps some will think trivial. However, if your Lordships were to look at new Section 17B of the 2023 Act, on page 4 of the Bill, between lines 13 and 21 it contains no fewer than four split infinitives in “to materially assist”, to which I object as a matter of principle. I hope that the Minister might agree that they should read “materially to assist” in order to comply with the English language, something I was taught by my foreigner parents to comply with at all times if possible.

Lord Marks of Henley-on-Thames Portrait Lord Marks of Henley-on-Thames (LD)
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My Lords, we cannot support these amendments. As we have heard several times, this is emergency legislation, introduced at a time when an urgent response is necessary to the activities of some truly malign state actors and their proxies.

There has been a dangerous escalation in recent months and years, not only of the threats of military and quasi-military attacks, but of cyber attacks on our energy and transport infrastructures and on our economy more widely. Then there has been an appalling outbreak of antisemitic attacks in the UK and abroad, and in allied countries such as Australia. Those attacks have also given occasion, we should remember, to anti-Muslim attacks at home and abroad. Our traditions of tolerance and peaceful co-existence have been, and have certainly seemed, constantly under threat.

Against that background, it has been considered that the mechanisms of proscription under existing terrorism legislation have needed supplementing with the provisions of this Bill concerning malign state-sponsored threats. As the Minister has confirmed, and I do not wish to be repetitive of what has been said many times in the debates today, there is to be further government legislation to tackle the growing threat from foreign state entities and their proxies, and to improve this country’s defences against cyber security threats. The Bill is, in that sense, work in progress.

We do not see the need to tack on to the Bill new offences of wearing items of uniform, dissemination of particular types of publication, or further complex new powers for seizure of passports, all in the last stages of a piece of emergency legislation. There may be a case for some version of some of the measures proposed, under some conditions, after careful later consideration.

I echo some of the points made by the noble Lord, Lord Carlile, but there are other points about the difficulties we have had with the Terrorism Act and other legislation. I am not sure that I go as far as he does on split infinitives, although my personal preference echoes his. We should not be introducing legislation at this stage which would raise all the issues that have so troubled us under the Terrorism Act. Now is not the time for these measures and this emergency legislation is not the Bill.

Lord Pickles Portrait Lord Pickles (Con)
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My Lords, I normally bow to the views of the noble Lord, Lord Carlile, on these matters—I am not entirely sure I understand the point he made about split infinitives—but I am not sure he is right on this occasion; nor was the noble Lord who last spoke. The IRGC, for example, is not simply a military arm of the Iranian state. It also operates through propaganda, symbolism, recruitment and ideological influence. While the Bill addresses the hostile state activity, I do not believe it adequately addresses the ideological dimension.

Noble Lords have spoken about the level of antisemitism, which has been considerably worsened by the number of marches that we have seen display the symbols, flags and uniforms of terrorist organisations. There should be consistency between “designation” and a “proscribed organisation”. Designation should also have practical consequences. It would be very difficult to explain to members of the public why a designated organisation’s flags, insignia and symbols should continue to be displayed in support of that organisation at marches or on the street. Terrorism legislation already recognises the importance of symbols, uniforms and imagery in demonstrating support. This amendment would close a potential gap in the legislation.

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Further, the police should be given some practical powers to act immediately where support of a designated body is being demonstrated. We have already seen so much confusion, but we have been privileged to have the police come and talk to noble Lords. It was pretty obvious, even from things such as “From the river to the sea” and what “jihad” actually means, that we should be giving some practical advice. If the police or the public require a handbook, almost, to explain what “designation” means, then this House has failed. Therefore, the point that my noble friend made is eminently reasonable, and we should pass this amendment.
Lord Hanson of Flint Portrait Lord Hanson of Flint (Lab)
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I am grateful to the noble Lord, Lord Davies, for giving the Committee the opportunity to debate these amendments, and I am grateful to the noble Lord, Lord Marks of Henley-on-Thames, for articulating the general position that the Government will take. I am also grateful to the noble Lord, Lord Carlile of Berriew, for the comments that he made, which mirror some of the points I will make in my response.

I completely understand why the noble Lords, Lord Davies of Gower, Lord Pickles—who has just spoken—Lord Walney and Lord Verdirame, wish to pass these amendments. They make a legitimate argument. The Government are clear in their opposition to all forms of terrorist support, particularly in the current context of antisemitism, and there are key issues that the Government wish to take specific action on. I will say a few words about each of the proposed offences in turn.

As has been said, Amendment 20 is modelled on Section 13 of the Terrorism Act 2000, which relates to organisations proscribed for being concerned with terrorism. Section 13 has proved to be operationally useful as a strict liability offence, meaning the prosecution does not have to prove an individual’s intention or state of mind. Terrorist organisations seek to recruit others to further their harmful ideologies, and wearing a terrorist uniform or displaying insignia, a flag or a logo are all acts of strength or dominance, if not terror. Section 13 seeks to deny proscribed organisations that oxygen of publicity.

However—this is where I hope I can offer an explanation to the Committee—as was referred to by the noble Lord, Lord Carlile of Berriew, for bodies involved in state threat activity, the situation is different. Foreign intelligence services and their proxies largely operate covertly and discreetly. This means that acts of flag waving and wearing a uniform in allegiance to a designated body are less of a concern. Notwithstanding difficulties that may arise with immunity from prosecution, in the event that a state body is designated, the offence could criminalise, among other things, a visiting military attaché, an embassy worker, or a cultural delegation. This could have profound consequences for diplomatic relations, and, where a designated body is a front company that was previously perceived as legitimate, this strict liability offence might punish those who simply fail to remove that body’s branding. Any need for the offence is especially limited, given that the offence of “supporting a designated body” under new Section 17A is wide enough in scope to capture the same activities. I therefore cannot accept Amendment 20.

I shall comment also on Amendment 21, which relates to a new offence:

“Dissemination of publications relating to a designated body”.


It includes a power for constables to seek the removal of internet-based publications. Again, the amendment replicates Sections 2 and 3 of the Terrorism Act 2006, but for designated entities. These offences cover the sale or other dissemination of books or other publications that encourage people to engage in terrorism or provide information that could be useful to terrorists. The Act, as currently constituted, provides a power for police to require the takedown of such material by internet service providers.

Section 2 of the Terrorism Act 2006 is designed to criminalise the dissemination of terrorist publications. It was introduced recognising the significant harm that can be caused. This offence purposely is not dependent on an organisation having been proscribed, recognising that terrorist publications may include publications which include and encourage the commission, preparation or instigation of acts of terrorism more broadly. In contrast, this Bill focuses on the strengthening of our response to organisations involved in foreign power threat activities that pose an acute threat to the UK and its interests. The threat from publications in this context is, I would suggest, not the same.

Offences in the National Security Act were specifically designed to target threats from state-linked activity, and that Act contains a number of offences that do not appear in terrorism legislation, including assisting a foreign intelligence service. In addition, this Bill includes offences under new Section 17A if a person

“invites support for, or expresses an opinion or belief that is supportive of, a designated body, and does so for a prohibited purpose”.

I contend that this offence is wide enough to capture the dissemination of publications where those requirements are met. A replicated offence in this case is not appropriate or required to address the state threats, and, incidentally, it was not recommended by Jonathan Hall KC, the Independent Reviewer of State Threats Legislation, who cautioned against directly copying these offences. He said:

“There is no evidence that penalising general encouragement of state threat activity is needed to avert harm to national security”.


Therefore, I suggest to the noble Lord that this amendment is unnecessary: it is not recommended by Jonathan Hall and the powers should not be included in the Bill.

The final amendment is one we have discussed on several occasions, including today. Amendment 23 seeks to give effect to Jonathan Hall KC’s recommendation that the police be given the power to seize passports. Whereas Jonathan Hall KC recommended that the power should be available on the basis of suspected foreign power threat activity, as currently exists for terrorism-related activity, this amendment is more limited in its application. Noble Lords will be aware that the Bill before us covers a range of issues, but as to the proposal in this amendment, I have already given a commitment on several occasions to deliver all Jonathan Hall KC’s recommendations in the report that inspired this Bill, including the question of passport seizure, which Amendment 23 seeks to examine. However, I have been clear that, in doing so, the Bill should focus narrowly on the new proscription-like power to tackle state threats, and it is not the right vehicle for this proposal.

The noble Lord’s Amendment 23 covers pages 14 to 26 of the amendment paper, the Marshalled List that is in front of us today. It takes 13 pages to give implementation to the policy objective of banning passports. I suggest that the noble Lord will probably ask me, at some point, why I will not accept his amendment. He has tabled 13 pages full of detailed points, which he suggests will meet the objective, but I cannot necessarily say to the Committee that they do meet that objective.

On Amendment 23, I told the noble Lord that we will achieve the objective he described in our own time, with proper legal facility. The noble Lord shakes his head, or perhaps I should say he looks quizzically at me: I think he will agree with that. I assure him that we want to meet the objective he set, but not in this Bill. I cannot be any clearer than that. I recognise that, at 13 pages, such provisions require detailed policy work, done in concert with key operational partners. While noble Lords have sensibly drawn their inspiration from the Counter-Terrorism and Security Act 2015, it is an assumption that all those provisions are fit for the purpose of the state threats context. The detailed policy work needs to be completed, and we need to ensure that we have operational guidance for partners, to be ready on commencement of the legislation. I am afraid the noble Lord’s Amendment 23 does not meet that objective.

I assure the noble Lord that we are not on different pages on this. The Bill is a specific Bill for a specific purpose and, while I agree with its general direction of travel, Amendment 23 is not fit for purpose. I therefore ask the noble Lord not press Amendments 20, 21 or 23, for the reasons I have outlined. However, should he choose to do so, I invite my noble friends to vote against them.

Lord Davies of Gower Portrait Lord Davies of Gower (Con)
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I thank the noble Lords, Lord Walney and Lord Verdirame, and my noble friend Lord Pickles, for their support, and I thank the Minister for his response. I listened to what the noble Lords, Lord Marks and Lord Carlile of Berriew, had to say about this. However, I remain unconvinced. The very act of wearing or displaying the insignia of a designated body can intimidate members of our society and damage community cohesion. I do not believe that the Bill, as drafted, offers sufficient safeguards to protect vulnerable individuals and communities who are targeted by foreign state powers.

If an individual wore an IRGC uniform and sat outside a synagogue, any reasonable member of the public would consider this an intimidatory act. However, the threshold for successful prosecution under a Section 17A offence would remain unacceptably high. The individual could argue that the purpose of wearing the uniform was not to express support for the designated body and that it was worn in a satirical context. Even if this extremely subjective intention could be disproved, it would then fall on the prosecution to show that such actions were prejudicial to the safety or interests of the UK, which is another subjective and potentially problematic barrier to prosecution.

I suggest that my amendment fixes this glaring loophole. It shuts down any avenues through which those who seek to terrorise others can evade prosecution. There are simply no justifications for why someone in the UK should be wearing or displaying the insignia of a designated state threat. Therefore, in line with Jonathan Hall’s recommendation, we should make it an offence to do so.

Amendment 23 concerns the seizure of passports of those suspected of supporting designated bodies, and this amendment has been unequivocally supported by Jonathan Hall, and is already a power which the police possess when combating terrorism. Let us be clear about this: it is not a new police power. It was a direct recommendation of a government-sanctioned review, and the Government have said that they will commit to implementing this policy. There is therefore no good reason to oppose this amendment, nor is there a logical or practical one.

Although the Government have pledged to implement this power in a future Bill, there are three concerns that remain which have not been assuaged by the Minister. First, any such future Bill will not receive Royal Assent before the Summer Recess. This means that those who support the IRGC will be protected from these police powers for a considerable length of time. What is the point of rushing to designate a group before Parliament concludes, but not giving the police force the necessary teeth to operate effectively?

Secondly, as I have made clear, the Government have perhaps acted in bad faith on this Bill. We on these Benches simply cannot wait for an unspecified date to enact a policy that can be accepted today. Thirdly, the Minister has acknowledged that his party is currently undergoing vast leadership changes. What is government policy today may not be government policy tomorrow.

I turn now to Amendment 21. As stated previously, this amendment would close yet another legislative gap in this Bill.

Lord Hanson of Flint Portrait Lord Hanson of Flint (Lab)
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There is absolutely no indication from any potential new Prime Minister that any changes to security legislation will be made. The King’s gracious Speech, and this Bill, both stand.

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Lord Davies of Gower Portrait Lord Davies of Gower (Con)
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Amendment 21, as stated previously, would close yet another legislative gap in the Bill, a gap that was recognised 20 years ago and subsequently rectified in the Terrorism Act 2006. I remain unconvinced by the Government’s justification for opposing our amendment. If the Government and Parliament recognised 20 years ago that a specific criminal offence of dissemination was required to address a lacuna in the law in relation to terrorism, surely we must recognise today that it is precisely the same lacuna in this Bill.

If my amendments do not form part of the final Act, I fear that the types of propaganda by designated bodies that I mentioned earlier will be allowed to flourish, that the IRGC will be able to parade in its uniforms and with its flags, and that those seeking to travel abroad to assist the IRGC will not be stopped. If any of these things happen, a crucial test of the Bill— namely, its ability to target and disrupt state threats to the United Kingdom—will have failed.

The Government have shown that they are not willing to take the necessary action to strengthen the Bill. If that is the case, I am left with no choice but to test the opinion of the House.

18:31

Division 1

Amendment 20 disagreed.

Ayes: 150

Noes: 216

18:42
Amendments 21 and 22 not moved.
Clause 2 agreed.
Amendment 23 not moved.
Clauses 3 to 8 agreed.
Schedule agreed.
House resumed.
Bill reported with amendments.