5 Baroness Taylor of Bolton debates involving the Department for Business and Trade

Watchdogs (Industry and Regulators Committee Report)

Baroness Taylor of Bolton Excerpts
Monday 9th September 2024

(2 months, 2 weeks ago)

Lords Chamber
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Baroness Taylor of Bolton Portrait Baroness Taylor of Bolton (Lab)
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My Lords, I thank the noble Lord, Lord Hollick, for the way in which he chaired our committee and made sure that the work the committee has done has been purposeful.

I will start by coming back—as the noble Lord, Lord Skidelsky, has just done—to why we have a body of regulators in the first place. Like the noble Lord, Lord Addington, I remember the passage of the Water Bill while I was in another place. We were told at that time that independent regulators were going to be needed to protect industry and business from too much political interference by Ministers. The idea was, as the committee was told in evidence, that independent regulators can support stability and business confidence by separating important decision-making from political considerations and the electoral cycle. The committee was, and still is, interested in just how independent our regulators really are. That raises some significant questions, as we have heard this evening. Are the regulators really given a clear remit? Are their statutory duties and objectives properly defined?

The committee found that over time regulators have been given too many objectives, too many secondary objectives, and too many issues to which they “must have regard”. For example, the Office for Students was given seven general duties it has to consider. However, during our inquiry into the OfS, the regulator suggested that these duties do not necessarily have to be achieved, and the OfS merely has to show it has thought about these when making decisions. That is not a strong or clear basis on which to delegate power to an unelected body. This was clearly a cause for concern within higher education, the sector being regulated, especially when the OfS appeared not to be pursuing some of its duties, in particular in relation to institutional autonomy.

In other sectors, we noted that both the energy and water regulators face trade-offs, as we have heard this evening, between their different responsibilities—the affordability of consumer bills, the necessity of providing secure supplies and the need to protect the environment. It is challenging, and who should actually decide on the right balance—regulators, Ministers or Parliament? Quite simply, the duties and objectives given to these regulators in legislation do not provide guidelines on how to prioritise between the objectives they are given and the balances that should be struck. Government and Parliament need to give greater thought as to how they assign objectives to regulators. I welcome that the Government are conducting a review into the objectives of utilities regulators. Could the Minister give us more information on the timescale of that and whether it might be extended?

The power and influence that regulators have are very significant. It affects the lives of all of us and the viability and success of individual companies, and, indeed, our economy. It is therefore critical that regulatory bodies are accountable. They should be accountable to Ministers, where transparency is vital to ensure that there is clarity between the independent decisions of regulators and any political direction from Ministers. We cannot say that Ministers should not give directions, but when they do, there should be transparency.

As we have heard already, we need better accountability to Parliament. We acknowledge that many Select Committees in both Houses do a great deal of important work across a range of issues, but there is no drumbeat of accountability so far as the regulators are concerned, and we need to do more. The committee called this an accountability gap, and in a democracy that is very serious. We advocated for the body that has been spoken of, which would be similar in purpose to the Public Accounts Committee, but on a much smaller scale.

Independent regulators are here to stay. They have an important role, but we need changes so that their remits and responsibilities are clear; so that relationships with Ministers are clear and transparent; and so that they have a proper and appropriate degree of scrutiny, with Parliament playing a full role in this.

Paternity Leave (Bereavement) Bill

Baroness Taylor of Bolton Excerpts
Baroness Taylor of Bolton Portrait Baroness Taylor of Bolton (Lab)
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My Lords, I will say a few words in support of this legislation. I congratulate my noble friend Lady Anderson on a not just powerful but very clear outline of why this legislation and this change are necessary.

It is an example of the best use of Private Members’ Bills. I was not aware of this problem; I am sure that a lot of people were not aware of this problem. When the original legislation was going through, I am sure that nobody thought of this particular set of circumstances, which could have a devastating impact on the families affected. Our legislation sometimes has unintended consequences, even when it is drafted in the best possible way—although that has not been the case with much recent legislation. Even the best legislation can leave loopholes or gaps, or create anomalies, and this was one.

I congratulate my friend Chris Elmore in the other House on having the persistence to get us to this situation. It is not easy to steer a Private Member’s Bill through either House of Parliament and I think that this one is an important step forward.

As my noble friend mentioned, we are talking about really tragic circumstances, and they are difficult to talk about without a high degree of emotion. My noble friend mentioned individual cases that must have been devastating for the families involved—not just the partner, but the whole family of any mother who tragically died in childbirth. As my noble friend said, this should be a time of joy and to mix that with grief and overwhelming problems, including financial problems, is truly devastating.

It is an obvious thing for someone, before the birth of their child, to get a better-paid job to support their growing family. To have these kinds of difficulties because of your attempts to improve the situation must be absolutely devastating. So I think it is right to bring this forward and to give it a speedy passage, if we can.

In terms of public spending, this must be the least significant Bill that we are producing but, for the individuals affected, it must be one of the most impactful. Although the figures are small, the impact will be great. The Bill will not solve all the problems of those who have been affected by such a devastating loss, but it could ease their situation and we should certainly be doing that. I congratulate those who have brought the Bill forward and I hope the Minister makes sure that it goes through as quickly as possible.

Moved by
Baroness Taylor of Bolton Portrait Baroness Taylor of Bolton
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That the Bill do now pass.

Baroness Taylor of Bolton Portrait Baroness Taylor of Bolton (Lab)
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My Lords, I thank all those who have been involved in the progress of this Bill and in getting us to this stage. Most of all, I thank my honourable friend the Member for Bolton South East, Yasmin Qureshi. At Second Reading, one Member of this House described the Bill as being put forward by the “Bolton mafia”. We not only plead guilty but are very flattered by that description—we will wear it well. I also thank Ministers in the department, who have been extremely helpful on the progress of this Bill in both Houses, and the civil servants behind them, who have prepared assiduously detailed briefings. We are all very grateful for the help that we have had.

This is a very modest Bill—most Private Members’ Bills that succeed must have a certain degree of modesty—but that does not mean it is insignificant. It will make significant changes that will be of real benefit to quite a few people. We spoke at Second Reading of the changes that have taken place in work patterns. This Bill allows all employees to have more rights in respect of their need for flexible working. Flexible working has increased a lot in recent years, but just yesterday the British Chambers of Commerce pointed out in its press release that there are significant disparities in who can get it and which sectors have been responsive so far. The BCC and trade unions have welcomed this Bill, and many pressure groups that have followed the progress of this issue have made positive contributions.

The Bill will help make flexible working more available to more people and allow people in a broader range of circumstances to be able to contribute fully to our economy; it must benefit everyone. It is a small but significant measure, and I am very pleased and grateful for all the support the House has given to its passage.

Earl of Minto Portrait The Minister of State, Department for Business and Trade (The Earl of Minto) (Con)
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My Lords, I thank the noble Baroness, Lady Taylor, for bringing the Employment Relations (Flexible Working) Bill through the House. The Government have been pleased to support the Bill throughout all its stages, in line with our 2019 manifesto, which committed to promote flexible working. I am pleased to continue that support today at Third Reading and am very grateful for the cross-party support that the Bill has received.

The successful passage of this Bill will introduce changes to the existing right to request flexible working, which will be made alongside the Government’s commitment to make the right to request flexible working available from the first day of employment. The changes represent a timely, sensible and proportionate update to the right to request flexible working and reflect what many employers already do. They will particularly support those who need to balance their work and personal lives and may as a result find it harder to participate in the labour market. From older workers to new parents and those with disabilities or long-term health conditions, this Bill will be an important step in supporting their ability to remain and progress in work.

I am very pleased to support the Employment Relations (Flexible Working) Bill. It is a meaningful step in the right direction to help employers and employees agree work arrangements that fit with life. I thank the noble Baroness, Lady Taylor, for her sponsorship of the Bill as it has moved through this House, and the honourable Member Yasmin Qureshi and my honourable friend Kevin Hollinrake for their sponsorship in the other place and hard work in putting this Bill forward.

Moved by
Baroness Taylor of Bolton Portrait Baroness Taylor of Bolton
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That the Bill be now read a second time.

Baroness Taylor of Bolton Portrait Baroness Taylor of Bolton (Lab)
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My Lords, this is a modest but quite significant Bill that will take us a step closer to introducing the important changes that are necessary, I believe, for people to have the right to request flexible working. I thank my honourable friend Yasmin Qureshi, who is the Member of Parliament for Bolton South East—the Bolton connection will not be missed by some people there. I am very glad that she was fortunate enough to have the opportunity to introduce this piece of legislation.

Last month marked the 20th anniversary of the original legislation on flexible working—2003 does not seem that long ago in some respects. Some progress has been made but, when the legislation was first introduced, it was rather narrow in its effects. It was limited to parents, guardians and people who had care of young or disabled children. The legislation has evolved since then, and I think that most people acknowledge that there is a parental need for flexible working arrangements across a wide group of people.

It is right that, 20 years on, we consider where we should be now and the kind of approach that we should be taking. The right to ask for flexible working should be an entitlement for all employees, regardless of their personal characteristics. There was an interesting briefing from the MS Society, for example, which showed how flexible working can help quite a few sufferers from MS, and I am sure that that is the case for those with other illnesses as well.

The current situation regarding entitlement is that, since 2014, all employees with 26 weeks’ continuous service have been able to make one statutory application per year to change their working hours, work pattern and work location. I hope that the Minister might deal with that point about 26 weeks; many people think that this entitlement should start from day one of employment. I know that Ministers have said things on other occasions, so perhaps the Minister can repeat some assurances that the Government will be moving in this direction in the future.

At the moment, when anyone submits a request for flexible working, they must explain to the employer how the change would affect them and how it might be dealt with. That is quite a surprising and burdensome stipulation. Employers must properly consider any requests that they receive. The progress that we have been making in our thinking about this leads us to need further changes to this legislation. I am glad that the Minister in the other place acknowledged general support for this legislation. The departmental officials have been very helpful in terms of briefing and making sure that the legislation is in order.

There are four measures in the Bill. The first will introduce a duty on employers to consult their employees before rejecting any flexible working request. This measure will give both parties the opportunity to explore alternatives that might be applied before the door is closed and before a pre-emptive decision has been made. There are employers who adopt this kind of approach already, but it is not universal. It is certainly best practice, but it is better that we make a change here so we can ensure that employers do not have a knee-jerk reaction to any request of this kind.

The second provision allows not just one but two requests in any 12-month period. I think this will make quite a difference to a lot of people because caring responsibilities can change very quickly, illnesses can develop very quickly, and other factors might come into a person’s life that mean that flexible working becomes a very desirable feature. The legislative framework needs to be sufficiently flexible to allow these realities to be taken into account and amending the Bill in this way will ensure that the right is more responsive to an individual’s needs and we can therefore avoid negative outcomes, such as when an individual feels that if they cannot have flexible working then they may have to finish working altogether.

The third measure is about getting a decision within two months. At the moment, a decision is required within three months. Two months may not seem a significant change, but I think it is. People’s circumstances can change very quickly and, if you have caring responsibilities suddenly thrust upon you, to have a quick decision about your employment situation might be very significant indeed. I think it will really help many people.

Perhaps the most important aspect of the Bill is the final measure, which will remove the requirement for employees to have to anticipate what the consequences of the change will be. It will not always be the situation that the employee has the information necessary to provide that, and this measure changes the balance there. It is quite an important situation to remedy because people who have difficulty making written submissions, or difficulty knowing how the totality of a business works, could easily be at a disadvantage in the present situation.

This modest package of measures will help secure more flexible working, will meet the needs of individuals and businesses, and will create a situation where there is more constructive dialogue between employee and employer. This matters, and it could make a great difference. A recent ONS study showed that, if a person had flexible working opportunities, it really made a difference to whether they were able to stay in the labour market. The measures will also help employers who want to retain staff and retain skills. This is a situation where, generally, everybody will be helped, and I hope that those who are interested in this will give the Bill their support. I beg to move.

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Baroness Taylor of Bolton Portrait Baroness Taylor of Bolton (Lab)
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My Lords, with the leave of the House, I thank all noble Lords who have spoken in this debate. I also thank 10 women colleagues on the Front Bench, who are showing such support for this piece of legislation. I just hope somebody is able to take a photograph of this rather unusual occurrence.

It has been a very interesting debate, and probably longer than many Private Members’ Bill debates, which shows the level of interest. I particularly thank the noble Lord, Lord Holmes, for saying that this Bill is simple, straightforward, clear and concise. If only all legislation could meet those criteria, we would all be in a much better place.

My noble friend Lord Browne suggested that we should legislate only when it was necessary, and when there was a real and significant problem. The examples given today show that the Bill is necessary, and that there are significant issues that need to be addressed. It may be modest, but it will make a big difference for a lot of people, and will help the employment situation, as well as individuals with their work/life balance.

Mention has been made today of Covid and how it has changed our approach to working relationships, with work from home or flexible working. There are lessons to be learned there. As my noble friend Lord Browne pointed out, a lot of this change has been organic and now we are having legislation which is actually almost catching up with the mood of people in the workplace who want greater flexibility.

We have had a very constructive debate. As the noble Lord, Lord Davies, and others have made clear, this is not the last word on these issues. It is a small part of what is needed; it is an important part, but other things, such as consideration of advertising and the commitment that the Minister has given about day-one entitlements, are things we will come back to and will want to address in the future. I thank all Members for their contributions; I thank the Minister for his commitment to support this, and all those who have been involved, including his Bill team who, as I said earlier, have been extremely helpful. It is not the last word on these issues, but is a step forward. I therefore invite all Members to support this piece of legislation.

Bill read a second time and committed to a Committee of the Whole House.

Neonatal Care (Leave and Pay) Bill

Baroness Taylor of Bolton Excerpts
Baroness Taylor of Bolton Portrait Baroness Taylor of Bolton (Lab)
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My Lords, I congratulate the noble Baroness, Lady Wyld, and all those who have promoted the Bill. Reading the briefing we had from Bliss made me want to say a few words on this particular measure. When the noble Baroness, Lady Wyld, mentioned the two people, Tom and Anna, who were helping with Bliss, it made me think that we should note and appreciate that so many parents who have been through this trauma want to help others; it is a very important matter.

Many of us might think, “Well, why haven’t the Government done this already?”, because, when you read the kind of information we have in our briefings, you see that clearly there has been a vacuum of support and a very clear case that something needed to be done. It is good that we have been able to have people using the Private Members’ Bill procedure. In a way, this is what Private Members’ Bills are for—to bring attention to a real loophole that has existed—and I hope that the Bill can progress so that people who need this help will in fact get it. The case has been made and is clear, and we need to take this further as quickly as possible.

Those of us who have not had the experience of having a baby in neonatal care cannot fully comprehend this; we can listen to the experiences that have been brought to our attention by the two previous speakers, but I suspect that it is something that you actually have to experience to know the full impact. Whatever problems we have had individually, the idea of a child in an incubator with tubes is something that all of us would immediately be affected by. Childbirth is supposed to be—as well as potentially painful—very exhilarating and exciting; it is an important day and something that we remember all our lives. But we do have the assumption that things will go well, and, while we might have niggles at the back of our head that something could go wrong, if something does go wrong it must be absolutely devastating—the family’s plans go out of the window immediately.

If the figures in the briefings we have had are correct, we are talking about an awful lot of people who are finding life extremely difficult at a very critical time. Of course, as the noble Lord, Lord Patel, pointed out, and as the noble Baroness, Lady Newlove, just mentioned, with modern medicine, many of these babies need a great deal of care for quite a long time, and current provision for parental support is really not adequate for what we are talking about today. In this House, sometimes we have to ask ourselves: if this were us, what would we want and need? What would we want a member of our family to have, if they were placed in the same position?

The briefing we got from Bliss was extremely interesting, particularly the point that 36% of fathers of babies in neonatal care were actually signed off sick to try to provide the kind of support that was needed. That means that it is a very important issue, because the first few days, months and years of a child’s life are some of the most formative and significant in terms of forming the relationships and bonds that are so important for families going forward. The added anxiety of financial pressure is something that really needs to be taken into account.

I wanted to ask the Minister about something which the noble Lord, Lord Patel, pointed out: that some people will not fulfil the criteria that are mentioned in the Bill for getting this financial support. I know that regulations have to dovetail into each other, and that is not always the case, but there are some quite specific limitations in terms of who can be affected, and that will need to be considered further down the line.

I cannot resist the temptation to mention delegated powers. It was good to see that in the Commons the Henry VIII clause was removed, so we do not have to bring it up and complain to Ministers at this stage, which is somewhat unusual. There is also the question of timing because, again, in the Commons, the Minister estimated that perhaps in about 18 months’ time we might get round to have this provision. I think we could probably get some movement before that, if people really took this as seriously as they should.

I congratulate all those people who have been involved in this legislation. I would just say to the Minister that I hope that we can have joined-up provision. Mention has been made of maternity rights, but there may be other children in the family to think about and there are fathers as well as mothers. This is an opportunity to bring all the provisions together and make sure that we consider the impact on the family as a whole—parents and the baby in neonatal care as well as the other children in the family—because a lot of people need support in this kind of situation. But I congratulate all those involved and very strongly support the Bill.