Equality Act 2010 (Age Exceptions) Order 2012

Debate between Baroness Howe of Idlicote and Baroness Hussein-Ece

Tuesday 17th July 2012 Grand Committee

[Baroness Howe of Idlicote]

My Lords, I, too, congratulate the Government on the great deal that has been achieved. I have memories of the heavy support for Saga initiatives and so on, which clearly have been very well handled subsequently.

I have a specific question about the Equality and Human Rights Commission. I happen to have been seeing the commission about another matter today, and as a result have received some comments about the articles that we are discussing. My general question, and I will back this up in a minute with a specific one, is whether the Government have had more recent detailed discussions with the EHRC and made certain that it is satisfied. I am thinking particularly about Article 4, “Exceptions for concessionary services”. The commission says:

“In its 2011 consultation response, the Commission noted that the exception for general beneficial concessions was limited by a test of reasonableness. The exception also contained a requirement that the concession (or more favourable term) did not have the effect of preventing persons of other age groups from requiring the services. However, in the version of the Order currently before Parliament”,

apparently,

“both these limitations have been removed”.

The commission, having analysed Article 4, advises that,

“as currently drafted, the exception may fail to meet the policy intention of the exception, as stated by the Government Equalities Office in its 2011 consultation paper: ‘The exception will not, however, allow concession to be a deterrent to people who do not qualify for them or unreasonably to inhibit access to the service concerned by those outside the target age group’”.

The commission says that:

“There is a risk that, as currently drafted, the exception could be used to create artificial pricing structures designed to exclude older (or younger) people from access to particular services”.

A number of examples are given, including a fashion retailer which wishes to maintain a younger customer profile. It inflates its prices for clothing while offering a 50% discount for the under-30s, thereby allowing them still to pay reasonable prices.

As regards my main point, have the Government had discussions? Is the Commission reasonably satisfied, from its independent perspective of not being part of a government department—its independence is crucial to the way in which it operates—with what the Government are doing? Have the Government at least explained why they are doing things in a specific way? Has the Commission accepted that as the Government’s right?

[Baroness Hussein-Ece]

First, I declare an interest as a commissioner for the Equality and Human Rights Commission. I also wish to pay tribute to my noble friend Lady Verma for very comprehensively setting out the provisions of the Equality Act 2010 (Age Exceptions) Order 2012. She took us all the way through the order. I welcome the order and, in answer to the noble Baroness, Lady Howe, the Commission has also welcomed it.

Noble Lords might recall one of the key recommendations of the Equality and Human Rights Commission’s very successful inquiry into older people and human rights in home care, which quite recently received widespread publicity. In that work, there was a specific call for the ban to commence as soon as possible in order to tackle the problem of ageist attitudes and unjustifiable age-based discrimination in this sector, some of which we know has been endemic and harrowing.

I should like to ask the Minister a couple of questions. I recognise that the legislation should allow for some types of age differentiation to remain lawful. However, as has been explained in response to some of the consultations last year, we have concerns about some of the exceptions—for example, Article 3 and the financial services. Obviously, we all have concerns about the financial services. That exception could be seen to have been cast rather widely in that it refers to the whole sector as well as covering all transactions and interactions between customers and service providers.

As drafted, the exception would make it difficult or impossible to challenge some types of age discriminatory treatment. I understand that these things happen; for example, a bank may decline someone over the age of 75 applying for a credit card or making another type of application. Given this exemption, presumably a bank still would be able to do that. How would such a 75 year-old have recourse to that treatment? Could that be redressed under this provision?

Another example might be that of an insurance company making a decision about someone at the other end of the age spectrum, someone aged under 25. When insuring young people for driving a car, we know that many insurance companies tend—I will not use the word discriminate—to make it more difficult or charge higher prices for those under the age of 25. What safeguards may be in place to address these points?

I very much agree with what the noble Baroness, Lady Thornton, said about information to ensure that service providers, employers and the general public are made well aware of these new provisions, as well as of their rights under the new Act.