Free Television Licences
Lord Ashton of Hyde Excerpts(4 years, 9 months ago)
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Lord Naseby
Sorry—old age. I beg leave to ask the Question standing in my name on the Order Paper.
The Parliamentary Under-Secretary of State, Department for Digital, Culture, Media and Sport (Lord Ashton of Hyde) (Con)
My Lords, the Government discussed funding with the BBC in 2015. We agreed with the BBC that responsibility for the concession would transfer to it in June 2020. To help with financial planning, we agreed to provide phased transitional funding over two years so as gradually to introduce the cost to the BBC. The Government and the BBC agreed that this was a fair deal for the BBC. The future of the concession is therefore the responsibility of the BBC. The Government are clear that they are disappointed with its decision.
Lord Naseby
Does my noble friend the Minister recognise that, in effect, the BBC is victimising 5.5 million pensioners whose sole real leisure pursuit, unless they are really active, is to watch television and listen to radio? It is no source of help to them to be told that the poorest will be means-tested. Does my noble friend recollect in 1986 the Peacock report recommending that the BBC accept some advertising and sponsorship? Have the Government brought to the BBC’s attention the fact that £140 million of BBC income worldwide now comes from advertising and sponsorship? If that is good enough worldwide, why is it not good enough to be implemented at least to some extent in the United Kingdom?
Lord Ashton of Hyde
My Lords, under the 2015 funding settlement it was agreed that responsibility would go to the BBC in return for an increase in its licence fee that was guaranteed and index-linked for five years. The director-general promoted that agreement and that is why we are disappointed with the BBC’s decision. As for the Peacock report, which as my noble friend said was 33 years ago, the funding model was considered then, but it was also considered again as part of the charter review. I am afraid to say to my noble friend that only 1.5% of those consulted agreed that having advertising on the BBC was a good idea.
Lord Stevenson of Balmacara (Lab)
My Lords, is not the real issue here whether we can believe the party opposite when it made a manifesto commitment to provide free television licences for those over 75 for the whole of the Parliament? The Minister has previously responded on this issue at great length and shared with the House his concern at being beaten up by this, but we are talking about the integrity and truthfulness of his party. What will he do about it? It is not a question of the figures; it is about what action can be taken. Last time, the excuse was that there was no legislation and it would take too long. We have a DCMS Bill in the House at the moment. What is wrong with tabling an amendment to that?
Lord Ashton of Hyde
The DCMS Bill the noble Lord refers to deals with the operational delivery of the Commonwealth Games and has really nothing to do with the BBC at all. As for his question, I have replied to it: I said that everyone knew, when the manifesto was written, that the responsibility had been given to the BBC by Parliament. That is where it rests, because that is where Parliament put it, and that is why we are disappointed with its decision.
Baroness Bonham-Carter of Yarnbury (LD)
My Lords, we on these Benches agree that we must support our older citizens. However, does the Minister accept that the introduction of free TV licences for the over 25s; sorry, for the over 75s—that would be expensive—was government policy and should be paid for by the Government? The licence fee is not the Government’s to spend: it is not public money but the public’s money and should be used to invest in BBC programmes and BBC content. There is no point in a free licence if the BBC is so pared to the bone that there is nothing of quality to watch.
Lord Ashton of Hyde
I do not agree that the BBC is pared to the bone. The BBC is a £5 billion organisation; it gets £3.7 billion from the taxpayer, so I do not agree that it is a pared-down organisation.
Lord Grade of Yarmouth (Con)
My Lords, I declare an interest as a former chairman of the BBC and, once upon a time, an executive there—in the good old days. However we got to where we are today on the issue of pensioners, we are where we are. Does my noble friend agree with me in praising the diligence with which the BBC has set about trying to solve the problem of meeting the expectation of help for pensioners while at the same time not impoverishing everyone else’s viewing by making swingeing cuts in programme budgets? The BBC has behaved impeccably and been meticulous in trying to respond to the problem.
Lord Ashton of Hyde
My noble friend makes the point that we are where we are. This was debated by Parliament and agreed. I know that some people, some noble Lords included, did not agree with the decision to pass responsibility to the BBC in the Digital Economy Act; nevertheless, that was done and the BBC is living up to the responsibility it was given. Dealing with the change in the structure of fees is a very difficult job, and television is changing dramatically, so I sympathise with the BBC; it has a difficult job to do. Nevertheless, we gave it a lot of warning—this was agreed in 2015—and that is why we are disappointed with what it has decided.
Lord Foulkes of Cumnock (Lab Co-op)
My Lords, I declare an interest as the chair of Age Scotland. This is not a matter for the BBC: it is a government responsibility. The Minister says that the Bill that my noble friend on the Front Bench referred to is not appropriate, but there is an appropriate Bill: I have a Private Member’s Bill, which has had its First Reading and will transfer responsibility back from the BBC to the Government. It will enable the Government to implement the promise that they made in their election manifesto. Will the Government support that Bill? If not, why not?
Lord Ashton of Hyde
The noble Lord repeats his mantra that it is not the BBC’s responsibility. We decided in 2015, and the BBC agreed, that it would be its responsibility. After that, Parliament agreed in the Digital Economy Act that it would be the BBC’s responsibility.
Social Media
Lord Ashton of Hyde Excerpts(4 years, 9 months ago)
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The Parliamentary Under-Secretary of State, Department for Digital, Culture, Media and Sport (Lord Ashton of Hyde) (Con)
My Lords, I have greatly enjoyed this debate and am grateful to the right reverend Prelate. I would not dream of calling him by his nickname, although I can say that he is not the only one—after a debate on algorithms, my daughter was pleased to tell me that I was called “Lord of the Nerds” on social media—but I am grateful to him.
In our view, the Church of England’s social media guidelines are a commendable example of the steps individual institutions can take to help support online users to have more positive conversations. That also applies to the users themselves. We welcome the guidelines. As the right reverend Prelate the Bishop of Chelmsford said, the expectations they imply encourage us to be the best we can. We all know that the digital world plays an ever-increasing role in all aspects of life. We agree with the Church of England that it is important that people apply the same common sense, kindness and sound judgment when they are online that they would use in face-to-face encounters. These precepts are not unhelpful in face-to-face encounters anyway.
The transformation of our lives to the online world also comes with risks. We have seen countless stories about the impact the internet is having on our politics, institutions and individual users. It is clear that something needs to change. That is why the Government are taking action to help shape an internet that is open and vibrant and encourages innovation but, importantly, also protects its users from harm. The Government believe the Church of England’s social media guidelines are well aligned with the plans we recently outlined in our online harms White Paper. I thank the right reverend Prelate and other noble Lords for welcoming it and the contributions they made to the consultation. It also aligns well with the 10 principles of the House of Lords Communications Committee, which were mentioned by my noble friend Lady Chisholm.
The right reverend Prelate the Bishop of Chelmsford asked about the digital authority. I commented on that at the end of my speech in the debate on that report. The Government will address that in our response to the consultation that has just ended. There were 2,000 replies, which we are going through at the moment. However, I made the slight warning that we are also conscious of the need for urgent action. Changing the whole regulatory landscape may be a step too far at this time, but we are considering it. That is illustrated by how, instead of a digital authority, the noble Baroness, Lady Grender, recommends Ofcom. There are issues to consider, but we agree that the overall regulatory landscape will have to be looked at in due course. We will come back to that.
Many noble Lords will be familiar with the White Paper, which sets out our plans to make the UK the safest place in the world to go online. In answer to the children who came to see the noble Baroness, Lady Kidron, we will establish a new duty of care on companies for their users, overseen by an independent regulator, so they will no longer be able to say that they do not have responsibility for their actions. The regulator will have the power to take effective action against companies that breach their regulatory requirements. Expectations of companies will be outlined in codes of practice from the regulator.
Between April and July, there was a public consultation on the White Paper proposals. In addition to the responses that I mentioned, we conducted over 100 meetings with stakeholders and international partners. We will use all these contributions to inform our work on online safety. We intend to publish our response to the White Paper consultation by the end of the year and to introduce legislation as soon as possible thereafter.
However, we are conscious of doing what we can sooner, so we are also taking action now, which the noble Lord, Lord McNally, mentioned. In addition to the social media code of practice published alongside the White Paper, the Secretary of State recently announced that the Government will produce a draft code of practice on child online safety. We are also developing guidance about the use of technology to ensure that children are protected from inappropriate content online. These will both be published before the regulatory framework is in place.
The Church of England community guidelines set out the importance of behaving with kindness and respect. We agree that users, as well as tech companies, have a role in creating a positive online environment. The Government are developing an online media literacy strategy to ensure a co-ordinated approach to online media literacy education and awareness for children, young people and adults, but users must also be held to account when their behaviour falls short of the standards we would expect offline. It is, therefore, essential that our legal framework is fit for purpose in an increasingly online world. The Government have asked the Law Commission to complete a second phase of its review of abusive and offensive communications online. The commission will make recommendations about options for legal reform of current communications offences. The project is expected to report in the early part of 2021.
Truthfulness is another of the central principles of the Church of England’s community guidelines. The Government recognise the risks of disinformation and are committed to reducing the potential impact in the UK. The White Paper includes provisions for protecting the public from online disinformation. We will expect platforms to take proportionate and proactive measures to help their users understand the nature and reliability of information they find online. Platforms should take steps to minimise the likelihood of misleading and harmful disinformation going viral and increase the accessibility of trustworthy and varied news content. These measures focus on protecting users from harm by ensuring that there are good processes in place; it is not about judging what is true or not but having sensible precautions which make it harder for disinformation to spread.
The noble Baroness, Lady Grender, asked two questions. In answer to the first, I will develop what I said about action now. We do understand that, to protect children, we need to get on with it. I mentioned the social media code of practice, which sets out principles that companies should follow to tackle online bullying. We have also funded the UK Safer Internet Centre to develop cyberbullying guidance. That provides, via an online safety toolkit, advice for schools on understanding, preventing and responding to cyberbullying. Digital literacy is already taught but, to support young people further, we have been working closely with the Department for Education on the relationships and sex education guidance. That covers how to develop positive, respectful relationships, how to recognise risks, harmful content and contact and how to report them. Positive, respectful relationships relate absolutely to the Church of England guidelines that we are talking about today.
I mentioned the new online media strategy, the online safety guidance and guidance on how to use technology to keep children safe. We know that there is more to do. We are doing quite a lot now but are committed to developing these important aspects. For example, the noble Baroness, Lady Kidron, talked about terms and conditions. We will now expect online companies to develop age-appropriate terms and conditions that people can understand, and a complaints procedure that will work quickly. Ultimately, these will be enforced by significant penalties, on which we are consulting.
The second question was about the 13 to 16 year-olds who are left behind by the GDPR. We applied a derogation in the Bill, but I will check the exact details and write to the noble Baroness.
I again thank the right reverend Prelate and the Church of England for their community guidelines and digital charter and emphasise how aligned we are on some of the fundamental issues. We will continue to engage with the Church of England as this work progresses. I am grateful to all noble Lords for their thoughtful contributions. This is an opportunity to lead the way and work with others globally. Through this work we will protect citizens, increase public trust in new technologies and create the best possible basis on which the digital economy and society can thrive.
Birmingham Commonwealth Games Bill [HL]
Lord Ashton of Hyde Excerpts(4 years, 10 months ago)
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The Parliamentary Under-Secretary of State, Department for Digital, Culture, Media and Sport (Lord Ashton of Hyde) (Con)
My Lords, I am grateful for all those helpful suggestions. I genuinely appreciate the offers of help; it is clear that there is a desire to make these a tremendous Games, not only for Birmingham but for the country, as well as for the Commonwealth.
I will start by addressing some of the points directly, then come to my traditional role in Committee of asking noble Lords to withdraw or not press all their amendments. The noble Lord, Lord Addington, talked about information; I absolutely have got that point, which was mentioned at Second Reading, and I tried to be clear that we genuinely want the organising committee and other partners to be transparent. I absolutely take the point of my noble friend Lord Moynihan that transparency is key. We want to build on the good examples of London and Glasgow in that respect.
I will outline for the noble Lord some of the places where he can get information. There is the specific APPG for the Commonwealth Games, which the organising committee has committed to attend. The committee is setting up a specific parliamentary liaison role at the moment. The management plan includes a very detailed reporting schedule; that is public information, signed by the organising committee, the Commonwealth Games Federation and the Secretary of State. I recommend looking at the organising committee website. As an ALB, unlike the London organisation, it will have to produce an annual plan, and is subject to all the Managing Public Money regimes that go with being an ALB. The organising committee has also agreed to report to the Public Accounts Committee and the DCMS Committee, and the chair of the organising committee has already talked to some noble Lords and has volunteered to do so again if that would help.
If all that is too much information, there is of course me and the DCMS civil servants; obviously I am open to questions from noble Lords. While we are on this first group, I point out that I am certainly open to meetings between now and Report if there are any aspects that noble Lords would like to talk about.
Lord Addington
My Lords, is this an undertaking by the department to make sure that Ministers will be available? As wonderful as the noble Lord is, apparently there will be a change of leadership in his party, and Ministers tend to get moved around. Perhaps we could have that commitment that the Government will make Ministers available. Although nobody can replace the noble Lord, to have somebody there we can get to would put another cherry on the cake.
Lord Ashton of Hyde
Obviously, I cannot commit to what future Governments will do. I can say only that, as far as we are concerned, we will be available. It is standard practice for Ministers to be available to Peers, both formally at Questions and debates in the House but also informally; it is normal for any Minister to address questions from noble Lords. Certainly, I do not foresee any change in my department’s attitude, and we have a good reputation for dealing with all noble Lords, particularly on Bills.
On the management agreement, the Secretary of State’s priorities in that agreement, which everyone signed up to, are to deliver a Games which inspire and support the delivery of positive, long-term, sustainable legacies, locally, regionally and nationally. That is the basis on which the organising committee is approaching its task.
Of course, noble Lords are absolutely right that in delivering this major sporting event, we are looking to maximise the benefits for the city, as well as the region, the country and the wider Commonwealth. I absolutely agree with the implication behind many noble Lords’ speeches that sport can and should be a power for lasting good. However, I also noted the caution from my noble friend Lord Coe that that presupposes a good actual Games. That is very important, and we bear it in mind.
The amendments tabled by the noble Lord, Lord Rooker, supported by the noble Lord, Lord Griffiths, would provide for the Secretary of State to direct the organising committee and precisely how that powerful good should be harnessed by requiring it to publish a legacy plan in relation to specific areas. I am grateful for the opportunity to provide more information to noble Lords about the legacy planning under way.
We all agree that the Games are about more than just 11 days of sport. They will leave a transformative physical legacy for the West Midlands. I will not go into that in great detail, but there will be not least the Games village, with 1,400 new homes in Perry Barr. I took on board what the noble Lord, Lord Rooker, said about that. It is more than a series of living units; it must be a community as well. With that in mind, Birmingham City Council has already established a group for local residents in Perry Barr, which is meeting both the organising committee and the council regularly. As mentioned, throughout July, Birmingham 2022 is inviting residents from across the region to share their hopes and ambitions for the Games in a community project called Common Ground. This will culminate, as the right reverend Prelate said, in “three years to go” celebrations in Centenary Square on Saturday 27 July.
Turning to the amendment on the proportion of affordable housing, this is a matter for Birmingham City Council, which is responsible for the delivery. It has confirmed that about 24% of the total number of homes will be affordable housing. This proportion has been derived as part of financial planning for the project, which has been agreed and finalised by the council as part of a bigger long-term project of 5,000 homes. To an extent, this is outside the Games budget itself, although it receives government funding from the Ministry of Housing, Communities and Local Government. As I set out in my letter to the noble Baroness, Lady Burt, a copy of which I put in the Library, representatives of Birmingham City Council would be happy to brief noble Lords on this matter.
The Games will also bring a new aquatics centre to Sandwell and the Alexander Stadium will be significantly refurbished, with increased capacity, providing an excellent administrative base for UK and England athletics. The Games are also accelerating transport infrastructure improvements, all linked with new housing and the Games village, including new Sprint rapid bus routes and upgrading two stations, all of which will leave a significant physical legacy.
Noble Lords have referred to other areas in their amendments. To these, I add as things to consider, potential benefits to trade, business, tourism, volunteering, culture and education and new jobs and skills. Let me provide updates on some of those areas. For example, by Games time, more than 45,000 jobs—staff, contractors and volunteers—will be created. The organising committee has already held eight events to discuss business opportunities with local companies. Birmingham Solihull is benefiting already from £10 million of Sport England investment, separate from the Games budget, aimed at tackling inactivity levels in underrepresented groups. Of course, I hope that the Games will be a catalyst for more physical activity.
The organising committee is also developing a Games-wide sustainability plan. However, maximising the long-term benefits of the Games is not a matter for the organising committee alone: it is a shared responsibility across the Games partnership. I reassure noble Lords that Games partners are already working collaboratively and therefore suggest that placing a requirement for a published legacy plan solely on the organising committee fails to recognise the shared nature of legacy realisation. In fact, to ensure a cohesive and integrated approach to legacy, a cross-partner legacy committee has been established within the Games governance structures.
I agree wholeheartedly with noble Lords’ recognition of the importance of local consultation, which is undoubtedly critical. The Games partners are talking to a vast range of local, regional and national stakeholders. The organising committee has just launched a series of community events across the West Midlands, giving a voice to their hopes and ambitions for the Games, so that this can inform its work. We will continue to consult this House as the plans develop. I know that John Crabtree, chair of the organising committee, is very willing to continue to meet noble Lords to discuss progress.
Lord Ashton of Hyde
My Lords, I am grateful to my noble friend for introducing this amendment and to the noble Lords who subsequently spoke to it. On the previous group, I said that the management agreement is between three parties—the Secretary of State, the organising committee and the Commonwealth Games Federation—but actually, it is between just the organising committee and the Secretary of State. To save me writing to everyone, I put that on the record. I knew there were three people; the accounting officer also signs it. Moving swiftly on, I accept the point the noble Lord, Lord Stevenson, made about signing things by putting them in the Bill. There is another way of making clear things that happen and which we commit to, and that is by me saying things from the Dispatch Box.
The amendment seeks to ensure that sports venues and events for the Games are accessible to athletes and spectators and are funded accordingly. As I explained on the previous amendment, I do not agree that an explicit reference to accessibility is needed in the financial assistance provision in Clause 1. I do not agree that it is necessary to provide for regulations to ensure that accessibility issues are considered as part of the planning and delivery of the Games. However, I welcome the opportunity provided by my noble friend Lord Moynihan to speak on accessibility, which is such an important issue, as the noble Lord, Lord Addington, highlighted.
The Bill is not explicit about every activity or workstream that the organising committee will undertake, but it does not follow that those particular activities will not be taken forward. The Birmingham 2022 Commonwealth Games provide a unique combined sports and parasport competition programme—unlike the Olympics—which demonstrates a truly integrated approach to accessibility. At present the parasport programme includes seven parasports. One further discipline, para table tennis, has been recommended for inclusion and is now subject to the Commonwealth Games Federation membership vote on additional sports. With the inclusion of para table tennis, the parasport programme for Birmingham 2022 would be the most extensive ever for a Commonwealth Games.
The organising committee will follow the same principle of a truly integrated approach in developing its accessibility strategy to include spectators, athletes, media, broadcasters, the Games workforce and volunteers. The organising committee has confirmed that it will appoint a dedicated accessibility manager who will develop the accessibility strategy. When developing this strategy, the Games will draw upon a full range of accessibility good practice, including lessons learned since the production of the International Paralympic Committee’s 2013 guidance, such as lessons from the Commonwealth Games in Glasgow in 2014 and in Gold Coast in 2018. The organising committee will work collaboratively with partners, local authorities, accessibility consultants and local organisations to ensure that venues and services are designed, operated and delivered to ensure that everyone, regardless of ability or any impairments, has a fully accessible and positive Games experience. This is essential for an integrated Games. The organising committee will also, of course, meet the applicable accessibility legislation and guidance when designing and delivering both competition and non-competition venues.
The organising committee will also consider issues such as financial capability, better use of technology, affordable ticketing and access to public transport, alongside understanding what local communities need. This will ensure that all people who live in the local communities have the very best access to the Birmingham 2022 Commonwealth Games. With accessibility at the core of the Games, the existing language of the financial assistance clause—Clause 1—already enables funding to be provided for this purpose. It includes the words,
“any other purpose connected to, or arising from, the Games”.
I hope that I have been able to reassure my noble friend about the central importance that accessibility will play in a truly integrated Games, and I therefore ask him to withdraw his amendment.
Lord Stevenson of Balmacara
Perhaps I might put to the Minister a further point that occurred to me while he was speaking. That was a very impressive list of contextual regulatory and other activity that will ensure the delivery of a Games of the type that he talks about. However, it struck me that he will have heard some of the words offered by other bodies in the sporting world—I think particularly of Premier League football clubs. For many years they have said that they will upgrade their stadia and ensure that they are made more fit for disabled access but they have failed to do so. Does that not give him cause for some concern?
Lord Ashton of Hyde
The partners organising the Commonwealth Games have a very different motivation. Apart from us, they include the Commonwealth Games Federation and local authorities—I think that those are most of the partners. They have a very clear motivation to make sure that these integrated Games—I repeat that, deliberately, they have the biggest para representation ever—work well. I suggest that the motivation of a Premiership football club is somewhat different.
Lord Moynihan
My Lords, I am very grateful to my noble friend the Minister for giving the Committee a comprehensive review of the importance with which the organising committee and the Government view this key area. I am only disappointed that, having said that he is doing absolutely everything that I have asked for in this amendment, and that indeed he has gone further, even to the point of saying “any other purpose”, he has not gone one step further and recognised that “any other purpose” should be very clearly defined where possible, as it is as important to the Government and the organising committee as it is for disability access and the interests of disabled sports men and women.
That said, I am sure that between now and Report we will have the opportunity to reflect on whether we can put this in the Bill in a form that will be acceptable to the Government. It will set an excellent precedent for future mega sports events not just in this country but internationally, which I think will be to the benefit of sport.
Lord Ashton of Hyde
The only thing I would say to that is that I think we all agree. This is really a question of signing the importance. “Any other purpose” includes accessibility and many other things. The trouble is that that might be what my noble friend thinks is the most important thing to sign but many other noble Lords might have other priorities. The whole point of including the words,
“any other purpose connected to … the Games”,
is that it covers everything and individuals’ personal priorities are not put on the face of the Bill. I ask him to reflect on that.
Lord Moynihan
I do not want to get into too great a debate with my noble friend on this subject. Suffice it to say that this is not a personal preference; it is an amendment tabled for the consideration of the whole Committee and, ultimately, the House. If the House felt that it was of significance—if that were the view of the House; not my personal preference—that would be the opportunity for it to be considered outside the generic phrase “any other purpose” and put on the face of the Bill. Not only would it then be capable of being implemented—the Minister has set out very ably and in significant detail how it can be implemented—but it could go further, sending a signal of the importance that we attach to disability access and to disabled athletes, and sending a further signal to future holders of Commonwealth Games and mega sporting events. However, for the time being, I am happy to withdraw the amendment and I look forward to further discussions with the Minister.
Lord Ashton of Hyde
My Lords, I am grateful to all noble Lords for their contributions and to my noble friend for raising this issue. As far as I was concerned, the question was whether this issue was appropriate for the Bill rather than some of the more general questions that have been asked in connection with it.
I will not go through my entire argument but, to be succinct, we do not think this is the right Bill to create a new regulatory regime to regulate betting on the Games, which would be administered by the organising committee. We know that sports betting is a popular entertainment, and preventing competitions being manipulated is essential for upholding public trust in betting and the integrity of sport. However, we have an effective regulator in the Gambling Commission, which also has a dedicated sports betting intelligence unit to uphold betting integrity, and it often receives information from gambling operators about, for example, suspicious betting patterns and suspected criminal betting. We do not think that removing that from the commission for the Games is correct or in line with what the Bill is about. I have mentioned before the operational requirements to produce a good Games.
I understand that there were wider questions. My noble friend asked about the Sports Business Council. That was established as a forum to engage with sport as an economic sector and it met several times over the course of 2017 and 2018. Since then the Sports Minister has changed at least once—perhaps twice, I cannot remember—and the other joint chair, Richard Scudamore, has also moved on. However, the department will renew that engagement in due course with the aim of providing the best platform for the sport and physical activity sectors to grow. This is one of the issues that we will certainly pursue through the policy channels in DCMS, and my noble friend is very welcome to continue along that line.
The noble Lord, Lord Stevenson, asked about a sports betting right—in other words, a return to sport for the use of their intellectual property rights. I know that some of our sports are interested in exploring this, particularly those with high-profile professional competitions. Again, however, this is not something that the Government are actively pursuing at the moment, and it is certainly not in the scope of the Bill. At the moment we think that the current risk-based regimes for what type of bets operators can offer is proportionate and effective. There are issues such as the fact that limiting bets would not remove all possibility of manipulating a competition. Anyway, sport is international, and overseas operators not offering services to British customers would not be subject to Gambling Commission rules. I am very happy to continue discussions on this outside the Chamber, and I am sure the Sports Minister will be as well. However, I do not think the Bill is the right place for this suggestion, and I hope my noble friend will feel able to withdraw the amendment.
Lord Moynihan
I am grateful to my noble friend. This was a probing amendment, but it was an important one. We are talking about something in the order of £13 billion of total betting on sport, excluding horseracing and greyhound racing. Governments around the world are increasingly looking favourably on the sport betting rights approach. Under French law, organisers of sports competitions have commercial exploitation rights over their competitions and not only they but the events they organise benefit. Through that, the sportsmen and women who participate may benefit too. However, I fully accept that the complexity of this would be significant and, given the time it would take for the House to get it right for the Commonwealth Games, it is unlikely to be deliverable.
With gratitude to the Minister for saying that he will continue to look at this, and having clarified that the work that has been done has not been lost but is being actively pursued in the department, I beg leave to withdraw the amendment.
Lord Ashton of Hyde
We are always encouraged to stay at the residence, so that saves hotel tax.
Lord Snape
Well, it would be the George V, in that case, for the noble Lord.
Again, for the United Kingdom, this proposal would not be particularly revolutionary. As a result of escaping the dead hand of the Treasury, the Scottish Parliament is now looking at Edinburgh being the first city in the United Kingdom to charge this tax. We wish the Scots well—certainly I do—and I hope that the habit will then spread south of the border.
One of the contributors to this debate talked about the fluctuation in hotel room rates. For the hotel business to pretend that such a tax would deter business people or tourists would be misleading. I looked up the room rates at the Crowne Plaza in Birmingham this week—
Lord Griffiths of Burry Port
That is the opposite stage instruction from:
“Exit, pursued by a bear”.
Never mind; that was too complicated.
To put it simply, if the Minister pours cold water on this, would he like to come up with one or two other proposals for how the local people can raise this £40 million?
Lord Ashton of Hyde
My Lords, I am grateful for those contributions. The noble Lord, Lord Rooker, and the right reverend Prelate are a difficult combination to face. The noble Lord was asking me to make a name for myself by opposing the Treasury and announcing a new tax from the Dispatch Box, while the right reverend Prelate said, “It’s only £1—that’s very little”. This is really a question of “Lead me not into temptation”, but I wonder how long that £1 would stay as £1.
The issue here relates to the actual amount of the budget for the Games and how it can be paid for. As we now know, there will be a £778 million investment, to be split approximately 75:25 between central government and Birmingham City Council and a number of its key partners. I was not quite clear what the noble Lord, Lord Griffiths, meant about the funding shortfall; I understand that the city council’s contribution to the Games budget was considered by a meeting of the full council earlier this year. The spending based on that budget will be tightly monitored across all the Games partners to ensure control—an issue which I know the noble Lord, Lord Rooker, talked about at Second Reading. We are confident that the budget announced is sufficient to deliver a strong Games for the city but I absolutely agree with the points raised at Second Reading, and earlier this afternoon by the noble Lord, Lord Rooker, saying that Parliament should be provided with more information regarding the Games budget. This will be forthcoming.
Lord Griffiths of Burry Port
I am grateful for this opportunity. I mentioned £40 million, as did my noble friend Lord Snape; the briefing papers that we received from Birmingham mentioned £40 million. It seems that when the local authorities calculate their 25%, they will be £40 million short of that. This provision is intended to bridge that gap.
Lord Ashton of Hyde
I understand now. The 25% comes from Birmingham City Council and its partners; it also involves revenue raising in various ways so none of it is certain. However, my point remains that the city council is looking at different ways to do that and I will come on to that in a moment.
This is not a completely uncontroversial proposal. I do not want to go into the detailed arguments about the hotel levy today, but it is not quite as straightforward as some people may think. Tourism in this country pays a much higher rate of VAT than our competitors in Europe. In May, a report on tourism tariffs by the All-Party Parliamentary Group for Hospitality expressed reservations about the likelihood of tourism levies having a long-term, positive benefit on tourism infrastructure. The report concluded that:
“Further studies need to be commissioned on the economic impact and viability of a tourist tax”.
The noble Lord, Lord Rooker, suggested that this should be a pilot, which goes some way to answering that although it would be limited in scope. The noble Lord also mentioned the Scottish Government, who will consult this year on the principles of a locally determined tourist tax, prior to introducing legislation which would allow local authorities to apply such a tax. We will certainly be looking at the benefits of that.
I have to say that matters of taxation are for the Treasury to consider. Treasury Ministers have been in correspondence with Birmingham City Council regarding its options for meeting its required contribution to the Games. That is the right place for those discussions, not this Bill, which provides the framework for the successful operational delivery of the Games. The Government are aware that the city council is actively considering a number of options for local revenue raising, including within existing powers, and stand ready to look at the details of any proposals that the city council wishes to put forward.
I hope that is not cold water, though it may be lukewarm. I hope that noble Lords are reassured that the Government remain committed to working with the city council on its plans for delivering its required financial contribution to the Games. I would therefore be grateful if the noble Lord felt able to withdraw his amendment.
Lord Rooker
When my noble friend on the Front Bench invited the Minister to make a name for himself, I was reminded of an occasion in early 2002, when I was young in this House and the Home Office Minister. At the Dispatch Box in a debate, I was challenged by someone on the opposition side. My answer was that, in my short, five-year experience as a Minister the Treasury had wrecked every good idea I had come across. An exchange took place between my boss—now my noble friend Lord Blunkett—and the Chancellor. I survived another six years as a Minister, but I was never invited to join the Treasury team. When these things get discussed we are always told, “It’s the Treasury; you cannot touch it”. Then, on Budget Day, the Chancellor stands up and says something that the department had no idea was coming. It is a good idea, so it is for the Chancellor to own. In this case, we are out of scope for the Budget, but this gives an opportunity. If it is a bad idea, you do not do it: that is the idea of a pilot and the opportunity for a pilot in taxation does not come along very often.
I do not want to set hares running, but I have a feeling that this would not go amiss in a couple of the national parks. There are sometimes complaints that there is no gateway or passport for visitors to them; hotels are the means of extra revenue. As I say, the broader the tax base, the less high taxes have to be. This is an opportunity for a pilot. We will obviously seek further and better particulars and come back on Report, when this might be worth looking at further. In the meantime, I beg leave to withdraw the amendment.
Lord Stevenson of Balmacara
My Lords, this House owes a great amount of thanks to the noble Lord, Lord Moynihan, for his campaigning over the years on this and related issues. He sees every opportunity to bring forward yet another version of his thinking on these matters. Once again, he has shown that we have a problem here that at some point will crystallise in a way that will require us to act fast. We should be thinking hard about some of the issues he spoke about when he moved this amendment. I think we will now hear from the Minister that everything is perfect and nothing needs to change. There is a certain amount of self-satisfaction around this, because we have heard that before on other occasions. I am in no sense being critical of him; he has a good record to defend, and I am not saying that he should not do so. However, time is moving ahead of us, and we will have to start to move on.
We have no specific legislation in this country to prevent one of our most important common social activities being affected by match fixing or doping. No criminal offence is created by people deciding to cause a goal not to be scored or to be scored, runs to be taken or people to be bowled out on particular balls. The only way that can be addressed at the moment is through the Fraud Act, which the noble Lord, Lord Moynihan, mentioned. It is long overdue for us to begin thinking seriously about the need for specific rules, regulations and laws with regard to sport.
So much depends on it, not just for those who bet on it, although it is bad enough when that happens. Indeed, the case behind some of the remarks made by the noble Lord, Lord Moynihan, was the fixing of a cricket match, which was treated under the Fraud Act. The very faith of supporters and audiences going to watch matches will be checked if they do not think that they are seeing a fair game or fight, or if there is any sense that people are being paid on the sides to influence the outcome.
Match fixing and the particularities related to it are a real and present danger. Do we need to act on that in relation to Birmingham? Should we think seriously about implementing one or more of the points made in Amendment 13? We have to think long and hard about this. As the noble Lord, Lord Moynihan, said, it relates to the question of doping or the using of drugs and artificial stimulants in sport.
As we have discussed, there are questions about what constitutes match fixing, and what type of drugs could be considered performance enhancing or, in some cases, performance disenhancing, if that is the right word. The principle here is still important. It is an attempt to obtain a result by defrauding those who do not participate in taking drugs. It reduces people’s enjoyment in the games they watch. It is not about fair play but about those who have the ability to cheat best. Those who are caught are the ones who are stupid about this. There is now so much effective doping in sport that, as we learned in the Winter Olympic Games from the state-aided support for the Russian teams, this has gone beyond the individual and whether they achieve a better result as a result of taking drugs. When it got to that stage, it seemed obvious that the world bodies would take action. However, they have not effectively resolved this, even though there is some hope that they may still get around to doing so. In the interim, the only agencies that can operate on this are our own Governments. Action needs to happen on this in this country, because other countries are moving ahead. It is time the Government fessed up to this and began taking steps in the right direction. This may well be their opportunity.
Lord Ashton of Hyde
My Lords, I am grateful for the contributions. I also agree that we owe a great deal to my noble friend Lord Moynihan, even if, on occasion, I have suffered from that. I am not complacent about this, because it is a serious issue that we need to think hard about. I hope I will be able to explain what is happening in Birmingham. I will not be able to agree with everything my noble friend said, and I will explain why. However, we certainly take this seriously, and I agree with the noble Lord, Lord Stevenson, that it is an abuse of spectators and of other athletes. Although some of these issues are covered in existing legislation, I wonder—I have said this in the past—whether it is not covered under fraud, particularly when we have professional athletes. But that is by the by. We take this seriously and I will explain what we are doing about it.
These amendments require the organising committee to publish plans for addressing match fixing and its rules for anti-doping in Birmingham. They would require the organising committee to prepare and publish a plan for preventing match fixing in Birmingham, and it would be required to publish anti-doping rules for Birmingham to comply with UK anti-doping rules and the 2015 World Anti-Doping Code. It would also criminalise anyone found guilty of committing a doping offence at the Games, and they would be liable to fines and imprisonment.
There is no doubt that the Government and the Games partners are fully committed to ensuring the integrity and fairness of the Games. That is why the organising committee will be working with the Commonwealth Games Federation and partners around the Commonwealth to ensure that we deliver a Games free from corruption.
The United Kingdom already has robust internal processes in place to combat match fixing threats through bodies such as the Gambling Commission and the Sports Betting Integrity Forum. Of course, match fixing is a cross-border issue and one that we take very seriously. That is why we demonstrated our commitment to international collaboration in this area by signing the Council of Europe Convention on the Manipulation of Sports Competitions—more commonly known as the Macolin convention—in December last year. The convention encourages sports organisations and competition organisers to put appropriate measures in place, such as adopting principles of good governance and educating athletes.
The Government are fully committed to rooting out corruption in sport and have played a leading role since the 2016 London anti-corruption summit. We have been instrumental in developing the new International Partnership Against Corruption in Sport—IPACS—working with a range of other Governments and sports bodies such as the International Olympic Committee. Indeed, the Commonwealth Games Federation is also a member of IPACS. In addition, the Commonwealth Games Federation has a very strict code of ethics which refers to match fixing. An updated version of this code will be approved in November 2019 and will come into force in January 2021, in time for the Games. It is our view that these existing measures will deliver a Games free from corruption.
Further, in respect of anti-doping, I reassure noble Lords that the Government and Games partners recognise this as one of the most important fights in the battle for sport’s integrity. The organising committee, in developing its anti-doping approach for the Games, will ensure that this not only covers Games-time athlete sample collection and testing but engagement with anti-doping organisations across the Commonwealth and an athlete education programme. These measures will aim to ensure that we deliver a clean and fair sports programme and that the highest possible standards are upheld.
The organising committee has already committed to anti-doping obligations as part of the hosting requirements agreed with the Commonwealth Games Federation. This ensures that anti-doping measures at the Games will comply with the World Anti-Doping Code and the Commonwealth Games Federation’s Anti-Doping Standard, and therefore will satisfy the requirements my noble friend has set out in the amendment. However, the amendment also mentions a provision to criminalise doping, which my noble friend has been assiduous in pushing at every legislative opportunity—at least recently. Noble Lords may be aware that Government commissioned a review into the criminalisation of doping, the results of which were published in October 2017. This followed a period of consultation. The review found that there was no compelling case to criminalise the act of doping in the UK. That reflected the strong consensus of those interviewed, including UK Anti-Doping and the World Anti-Doping Agency. None of those interviewed was in favour of criminalising doping in sport.
I hope I have provided assurance of the Government’s and the Games partners’ full commitment to addressing issues of integrity for the 2022 Games and, above all, to delivering Games which are fair and clean. The Games are already committed to upholding the anti-doping standards set out in my noble friend’s amendment. With that reassurance, I ask him to withdraw his amendment.
Lord Moynihan
This short amendment requests that the Government focus on visa and immigration rules for elite tournaments, not least given the possibility that this event will be under a different visa system from the current one, if the Brexit negotiations head in a somewhat more predictable direction than they have to date.
The focus of this amendment is to simplify the visa process for spectators holding tickets to sporting events due to be hosted in the United Kingdom, but specifically the Commonwealth Games, and to make it easier for athletes to get visas and/or work permits to compete in elite tournaments such as the Commonwealth Games. It would give a power to require the allocation of a certain number of visa and/or work permits to athletes, sports clubs, teams, associations or leagues.
I add one rider: we need to be very careful in our approach to visa and immigration rules and human rights issues. At the World Cup in Russia, a significant number of young boys were boarding a flight in Nigeria with a visa. I am trying to think of a polite word, given my anger towards the people who would do this, but those around them felt that the easiest way to get them into Russia was to acquire a one-way ticket from Nigeria under a simplified visa system. Fortunately, that plane was stopped, but in any visa and immigration relaxation for tournaments, we must pay attention to the human rights dimension in countries coming to compete at our Commonwealth Games. With that unfortunate reality one of the consequences of a more relaxed visa system, I beg to move.
Lord Ashton of Hyde
My Lords, I am grateful to my noble friend. Let me say straightaway that my earlier remarks about human rights and the Games partners having agreed with the Commonwealth Games Federation to abide by a human rights plan bear testament to the fact that we take this matter seriously.
My noble friend’s amendment would provide an expedited process for the administration of visas for spectators and athletes at the 2022 Games. We share his desire to ensure a smooth process for these applications, but I am confident that, through our work with UK Visas and Immigration and its experience from other mega sporting events, the amendment is unnecessary. We have significant experience of managing visa processes for major sporting events using existing legislation—for example, the rugby and cricket World Cups, the World Athletics Championships, Glasgow 2014 and, of course, London 2012, where there were about three times the number of athletes and officials from about three times the number of countries.
We will have robust plans in place for the Games for each category in my noble friend’s amendment without the need for new primary legislation. Let me take them in turn. For athletes, as part of the hosting requirements for the Games, the UK Government have already committed to the Commonwealth Games Federation that we will ensure that entry to the UK will be facilitated for those persons in possession of a valid passport and Commonwealth Games accreditation to carry out their Games functions in accordance with the United Kingdom’s visa system and requirements. That was in the bid commitment.
It is of course also important to ensure that a balance is struck—that we meet the operational requirements of staging an event of this nature while, none the less, protecting the integrity of our borders appropriately. For spectators, under current rules, individuals can apply for a standard visitor visa if they want to visit the UK for leisure. In line with the approach taken for other major sporting events we have hosted, we do not consider it proportionate to put in place a bespoke process for spectators. Nevertheless, we will work closely with UK Visas and Immigration to ensure that visas are processed promptly for the Games. We understand the significance of the extra requirements, based on our experience of other sporting events.
I hope noble Lords will be reassured that we are already working with the Home Office and UK Visas and Immigration to ensure that a robust plan will be in place for the prompt processing of visas for Birmingham. I am very willing to meet my noble friend or other interested Peers to discuss our approach. With that reassurance and the UK Government’s commitment in the bid to facilitate the entry to the UK of Commonwealth Games-accredited persons, I hope my noble friend will feel able to withdraw his amendment.
Lord Moynihan
My Lords, I just add that similar provisions were included in the London Olympics Act and the Glasgow Commonwealth Games Act. Speaking personally, the affirmative procedure is applicable because the range of matters caught both in trading and advertising is very broad; it is not limited to activities connected to the Games. This is exactly the sort of parliamentary process that should require the affirmative resolution, and that is why we used it for the London Olympic Games and the Glasgow Commonwealth Games.
Paragraph 16 of Schedule 2—the third paragraph that has been spoken to—is of equal significance. It is about property damaged during the exercise of the lawful function under the Bill. There is a right to be compensated and provision for consequential loss, but these are not administrative details. There will be important issues such as who is responsible for payment of compensation, what the appeal route is—does it go to court?—and what the grounds for appeal are, on law or on fact. These are really important issues for people living in the vicinity of the Games, who will be impacted by the use of these powers. Therefore, the question for the Committee is whether the affirmative procedure is applicable and appropriate. Having studied it at length both on the Delegated Powers Committee and subsequently, I firmly believe that this is a classic case where the affirmative procedure should be followed. We are talking about the rights of individuals and the impact of the Games on those individuals.
Lord Ashton of Hyde
My Lords, as we come to the last group, I do not think we will have a massive falling out on this subject—it would destroy the overall very satisfactory progress that we have all made in this Committee. I thank noble Lords for their contributions during the afternoon. They were admirably succinct and provide an excellent example for the noble Lord, Lord Hunt, who will join us on Report.
We have listened with interest to the points that noble Lords have made in debating the parliamentary procedure for the regulation-making powers for advertising and trading, and in debating the amendments tabled by noble Lords. The noble Lord, Lord Griffiths, has requested that the draft affirmative procedure should apply to the regulations concerning advertising and trading. The noble Lord, Lord Addington, and my noble friend Lord Moynihan seek the same, unless the Secretary of State considers that, due to urgency, it is necessary for the negative procedure to apply. The regulations will specify the Games locations and the periods when restrictions will be in place and will make provision about the “vicinity” of Games locations.
Noble Lords also seek to apply the draft affirmative procedure to the regulations, under paragraph 16 of Schedule 2, concerning the payment of compensation in certain circumstances following enforcement action. We have carefully considered the recommendations of the Delegated Powers and Regulatory Reform Committee. We are very grateful to the members of that committee, including my noble friend Lord Moynihan, and will respond to them in writing before Report.
Although it is right that the regulations should be placed before Parliament—I appreciate noble Lords’ interest in debating these regulations, and my noble friend Lord Moynihan explained why they are important —there are a number of reasons, which some noble Lords might not have appreciated, why the negative procedure provides a suitable level of scrutiny.
I appreciate the consideration of the noble Lord, Lord Addington, and my noble friend Lord Moynihan that there might be certain circumstances where regulations may need to be made as a matter of urgency due to operational requirements and therefore the negative procedure may be more suitable, but we still consider that all the regulations, whether urgent or not, should be subject to the negative procedure.
Noble Lords will be aware that the affirmative procedure was, as my noble friend Lord Moynihan said, used for the regulation-making powers for the Olympics and the Glasgow Games, but it is also true that the delegated powers in the Bill are not as broad as their predecessors and there is more detail in the Bill. For example, we have included definitions of trading and advertising in the Bill, whereas in London this was specified in the regulations. Unlike for London, we have defined “Games location” in the Bill. The advertising and trading offences will be able to apply only in, and in the vicinity of, a Games location. In contrast, the London Act 2006 provided that the regulations shall specify or provide criteria for determining the places in respect of which the regulations will apply. London did not stipulate any trading exceptions, whereas in this Bill we have included a number of exceptions and a power to provide more exceptions in the regulations. Existing exceptions cannot be removed, so there will be no broadening of the offence.
I assure noble Lords that a proportionate approach will be taken to these delegated powers, and it is in all our interests that advertising and trading restrictions apply only when and where necessary. This is not about imposing a blanket advertising ban or restricting all outdoor trading across Birmingham or the West Midlands. A Games location will be specified in regulations only where it is necessary for the advertising and/or trading restrictions to apply in, or in the vicinity of, that Games location to deliver a successful Games.
Defining “vicinity” is not as simple as providing a set distance from a Games location in relation to which the offence applies, as location-specific consideration needs to be given to spectator routes and nearby transport hubs. We have also sought to ensure that the periods for restrictions will be in place only when necessary. However, as a—dare I say it?—backstop, we have specified a maximum of 38 days for such restrictions, and we expect this to be much less in many cases; for example, for Games locations in use for only a few days.
In relation to paragraph 16 of Schedule 2, the schedule includes a power to bring forward regulations about compensation to supplement paragraph 15, which makes provision about a person’s entitlement to compensation in certain circumstances. Here, we consider that the negative procedure is appropriate. I would argue to my noble friend Lord Moynihan that these regulations will set out the administrative processes that need to be followed—for example, to whom a claim for compensation should be made, the timeframes for claims, the appeal processes and so on. This type of procedural detail is well suited to regulations and will enable government to ensure further discussion with relevant enforcement agencies in advance. In the London Act, how much compensation could be paid was included in regulations, but we have included it in this Bill.
I have listened carefully to the points raised and I respect the recommendations of the DPRRC, on which I will reflect further over the coming days. However, given the extra detail in the Bill, the maximum time limit of 38 days—come what may—and the lack of any Henry VIII powers at all, we believe that the negative power is not unreasonable. I respectfully ask the noble Lord to reflect on my arguments and, in the meantime, to withdraw his amendment.
Problem Gambling
Lord Ashton of Hyde Excerpts(4 years, 10 months ago)
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The Parliamentary Under-Secretary of State, Department for Digital, Culture, Media and Sport (Lord Ashton of Hyde) (Con)
My Lords, with the leave of the House, I will now repeat a Statement made by my right honourable friend the Secretary of State for DCMS earlier today in the other place:
“Mr Speaker, with your permission, I would like to make a Statement about today’s announcement on support for those affected by problem gambling. While we all want a healthy gambling industry that makes an important contribution to the economy, we also need one that does all it can to protect those who use it.
Problem gambling can devastate lives, families and communities. I have met users who have lost more than the UK’s annual average salary on credit cards during one night of gambling online and parents who are now without a child as a result of gambling addiction. Over recent months I have also met representatives from the gambling industry and colleagues from across the House to discuss what more needs to be done. We can all agree that it is best to prevent harm before it occurs, and to step in early where people are at risk. But we also need to offer the right support for those people who experience harm. We have already acted to reduce the minimum stake on fixed-odds betting terminals to £2, from £100. This has reduced the potential for large losses on FOBT machines and has reduced the risk of harm to players and wider communities. We have also tightened age and identity checks for online gambling websites, an important step to protect children and vulnerable people who may be at risk.
Today five of the biggest gambling companies have agreed a series of measures which will deliver real and meaningful progress on support for problem gamblers. This announcement has been welcomed by the Gambling Commission, GambleAware and Gamban. These are companies which, together, represent around half the British commercial gambling industry.
At the heart of this package is a very significant increase in their financial contribution to fund support and treatment. Last year voluntary contributions across the whole industry to problem gambling yielded less than £10 million. Now five operators—William Hill, Bet365, GVC, which owns Ladbrokes and Coral; Flutter, formerly known as Paddy Power Betfair; and Sky Betting & Gaming—have pledged that over the next four years they will increase tenfold the funding they give to treatment and support for problem gamblers. In this same period they have committed to spending £100 million pounds on treatment specifically. The companies will report publicly on progress with these commitments, alongside their annual assurance statements to the Gambling Commission.
Last week NHS England announced it is establishing up to 14 clinics for those with the most complex and severe gambling problems. This includes where gambling problems coexist with other mental health problems or childhood trauma. It has also been announced that the first NHS problem gambling clinic offering specific support for children is set to open. The funding announced today enables a huge boost for the other treatment services that complement specialist NHS clinics and will help us to place an increased focus on early intervention. I know that Members across the House have argued for a mandatory, statutory levy to procure funds for treatment and support of problem gambling. I understand the argument, but of course the House knows that legislating for this would take time to complete; in all likelihood more than a year. The proposal made this morning will deliver substantially increased support for problem gamblers this year.
It may also be said that receipts from a statutory levy are certain, and those from a voluntary approach are not. However, it is important to stress two things. First, these voluntary contributions must and will be transparent, including to the regulator, and if they are not made, we will know. Secondly, the Government reserve the right to pursue a mandatory route to funding if a voluntary one does not prove effective. This is a clear financial commitment from the industry to address the harms that can come from gambling, but this is not solely about spending money: this is a package of measures, spanning a number of different areas, to ensure we tackle problem gambling on all possible fronts.
First, a responsible gambling industry is one that works together to reduce harm and wants customers to be safe, whatever platform they use or however they choose to gamble. The companies already identify customers whose gambling suggests they may be at risk, and they take steps to protect them. Their licences require this, but they will go further. We have already seen the successful launch of GamStop, the multioperator self-exclusion scheme. I am pleased that companies have committed to building on this through greater sharing of data to prevent problem gamblers experiencing further harm.
Secondly, the five companies will use emerging technology to make sure their online advertising is used responsibly. Where technology exists that can identify a user showing problem gambling behaviours and target gambling adverts away from that person, they have committed to using it. More generally, the industry has already committed to a voluntary ban on advertising around live sport during the daytime, which will come into force next month.
Thirdly, operators have committed to giving greater prominence to services and campaigns that support those in need of help. They have pledged to increase the volume of their customer safer gambling messaging; to continue their support for the Bet Regret campaign, which is showing promising early results; and to review the tone and content of their marketing, advertising and sponsorship to ensure it is appropriate. These are welcome commitments and represent significant progress in terms of the support operators give for those impacted by problem gambling. However, as technology advances we need to be even more sophisticated in how we respond. The five companies which have proposed these measures today will be working closely with the Government, charities and regulators so that we can address any new or developing harms.
These are landmark measures and I commend the leadership of the five companies that have put them forward. They are proposals from some of the industry’s biggest companies and I believe it is reasonable for the biggest companies with the largest reach and the most resources to do more and show leadership. The industry as a whole needs to engage in tackling problem gambling, and we want other firms to look at what they can also do to step up.
I repeat: it will remain open to the Government to legislate if needed, so this is not the end of the conversation. We will keep working hard as a Government to make sure we protect users, whether online or in the high street.
There is still much more to do, but today’s announcement is a significant step forward. It means substantially more help for problem gamblers, more quickly than other paths we could take. We must and will hold the companies that have made these commitments to them, and we will expect the rest of the industry to match them. They will change lives for the better and contribute to the ongoing work we are doing to make gambling safer for everyone.
I commend this Statement to the House”.
Lord Foster of Bath (LD)
My Lords, I too thank the Minister for repeating the Statement. I am a member of your Lordships’ Social and Economic Impact of the Gambling Industry Committee.
It is, however, my membership of the All-Party Parliamentary Group for Gambling Related Harm that has led me to meet the parents of a number of children who have committed suicide because of gambling. It has given me the opportunity to meet people with mental health problems who have done everything they can to exclude themselves from gambling websites but are still being bombarded with gambling advertisements and free bet offers. I have also met people who have lost thousands of pounds in a very short time because they have been using multiple credit cards.
For far too long, the gambling industry has failed to take responsibility for the harm that it is causing not only to individuals but families and communities. As the noble Lord, Lord Griffiths, pointed out, far too many of the gambling companies are failing to contribute even the 0.1% of the gross gambling yield to the voluntary levy for research, education and treatment. This Statement is of course welcome. The commitment by the so-called “big five” is welcome and I congratulate all, in all parts of the House and elsewhere, including Ministers, who have managed to shame some—but not all—of the gambling companies into taking this action.
An increase from £10 million to £60 million for research, education and treatment is of course welcome, but we should put it into context. Just some of the £60 million will be used to help the approximately 430,000 people, including children, with gambling problems, when we know that only 2% of them are getting any form of treatment. That £60 million should be compared with the £40 billion annual turnover of the gambling companies, the nearly £1 billion of government cuts to our public health budget and the annual salary of the boss of just one gambling company: today we are welcoming £60 million, while Denise Coates, the head of Bet365, earned £265 million last year.
The £60 million is welcome but, as the Secretary of State admits, there is much more to be done, and we need to ensure that this is not a cynical ploy by the gambling companies to prevent the Government introducing further regulation. The Secretary of State says that he is not yet minded to introduce a compulsory levy. If we do not have one, how will the many companies that are not party to this deal, and which do not make an adequate contribution, do so? Surely the way forward is a compulsory levy.
Further, what more does the Minister believe needs to be done to prevent problem gambling in the first instance? Does he agree, for example, that we need to do more to ensure that individuals can afford to gamble at a particular level, and that we should ban the use of credit cards for gambling? Does he agree that we need a code of practice for advertising? The industry says that it is keen to have one but has so far failed to come up with the goods. What will the Government do to make sure that we have one?
Should we not also have a system of redress for individuals? I am sure the Minister is aware that, if an individual has a problem whereby, for example, they have self-excluded but are still bombarded with advertisements and therefore lose more money because they are tempted, they can go to the Gambling Commission and report it. The commission will take evidence from them and other such individuals—it may take action against the gambling company or even fine it, as has happened in the past—but there is no redress for the individual because the commission does not act as an ombudsman. At present, all someone can do is go to the gambling company and seek redress or take expensive legal action. Does the Minister agree that we need a proper redress scheme? Today’s Statement is a small step, but it is certainly not a giant leap.
Lord Ashton of Hyde
I am grateful to both noble Lords. Among the criticism, I think that today’s announcement was welcomed. It is important to reflect on the fact that, whether there is a mandatory levy or not, this is a considerable amount of money in addition to the existing sum.
The noble Lord, Lord Griffiths, said that the current voluntary levy does not produce the goods. We agree, which is why we negotiated with the five biggest companies a significant tenfold increase: they have agreed to increase 0.1% to 1% and, in the first four years, to commit a minimum of £100 million to treatment. Providing more money is not the only important thing here; the companies have also agreed to other voluntary things. We hope that noble Lords will accept that this is a big step forward. Of course, many people have talked about a mandatory levy for some time, saying that nothing would happen without one. Today’s announcement shows that something significant can happen; a tenfold increase is significant in anyone’s terms. As I said, this is about not just money but the attitude of the five largest companies, which should be given credit for providing leadership.
I agree that there is an issue with the remaining 50% of the industry. As I said, and as the Secretary of State made clear, we have not taken a mandatory levy off the table. However, the difference between this approach and doing the mandatory levy now is that we will get money into where it is meant to be, which is treating problem gamblers. That is to be welcomed.
The issue of credit cards was raised. We acknowledge the question of whether they should be used for gambling. We are looking at the evidence that the Gambling Commission has finished taking and at what the banks can do in addition to what they currently do, using their data on customers to look at forms of behaviour that their systems tell them might indicate problem gambling.
Today’s announcement comes in addition to the 14 new clinics already announced by the Secretary of State for Health; they are there to treat problem gamblers and addicts. We think that the Statement brings significant benefits. We will observe what happens over the next four years. This is entirely transparent. The companies will say what they do in the annual assurance that they must give to the Gambling Commission, so we can monitor them. We hope that the extra money and action will make a significant difference to what is generally acknowledged to be a significant problem.
The Lord Bishop of St Albans
I welcome this announcement today, but I notice from a press release from the companies that they see it as a health issue:
“The key priority will be to quadruple the number of those accessing treatment from 2.5% to 10%”.
After four years, 90% of those with gambling addiction problems will still be unable to access help. Surely that cannot be acceptable.
We know from Simon Stevens, the head of the NHS in England, that it looks like it will cost the NHS between £260 million and £1.2 billion a year. This is costing the general taxpayer a huge amount, when the industry, as I have said in the past, is privatising the profits and nationalising the costs. The key issue here is that we have to treat this as a public health issue. I declare my interest as a member of the Select Committee on the Social and Economic Impact of the Gambling Industry, which is just beginning to do its work. We need to take a fresh look at this. In particular, we have to legislate. All these companies are competing with one another, which is one of the reasons why we have this explosion in advertising; even the “whistle to whistle” ban is not going to stop the logos on shirts and the wraparound adverts that are blazoned all the time. We need to legislate to put these companies on an equal footing and protect the vulnerable, especially the young.
Lord Ashton of Hyde
The right reverend Prelate, who has been vociferous in his views on this—I have been on the receiving end for several years—has done good work, but he is overexaggerating slightly. On the increase in the proportion of problem gamblers receiving treatment, we will never reach 100%. They have to agree to be part of it. We have significantly increased the resources available to do it. We had one gambling clinic in the east; another has just opened, specialising in children. We have announced plans to open 14, and today’s announcement is in addition to that. In every other sphere of potentially harmful industries, such as smoking and alcohol, the industry pays taxes and the treatment of people affected by those industries is paid for out of general taxation. The gambling industry pays £3 billion in gambling tax plus income tax and NI. In addition to that, the top five companies have agreed to pay a 1% levy on that to fund treatment. They are producing a large amount of money. Because it will be transparent, we will monitor what needs to be done, but this is a dramatic increase in resources in a very short time and it will make a significant difference.
Lord Browne of Ladyton (Lab)
My Lords, betting advertising around televised sport, both live and recorded, has reached saturation point. The dominant sports broadcaster in this country is part of a bigger business that has a sporting and gaming division and it advertises on the platform on which the sport is broadcast. The sports advertisers use sports presenters and sports pundits to advertise, and they advertise live odds on the events that are happening and being broadcast. All this is aimed at—and has succeeded in—blurring the difference between the advertising and the event itself. It all looks like the one thing and it works for them. In this context, therefore, what on earth is expected to be delivered by a voluntary ban on advertising around live sport only during the daytime? What do the Government expect this to deliver in reducing this problem, and why did they agree to it if they did not expect it to make a real difference?
Lord Ashton of Hyde
I do not see why the noble Lord thinks that the proposal will not make a difference, but it is in addition to other areas. It works in sync with the fact that there is now agreement to use online technology to target gambling advertisements away from people identified as being at risk of problem gambling. Responsible gambling messaging will be increased and the tone and content of marketing will be reviewed. That is an addition to the previous commitment that the noble Lord mentioned of a whistle-to-whistle ban and the funding of a new multimillion-pound responsible gambling advertising campaign led by GambleAware. We are asking gambling firms to act responsibly. Where they do not, we will continue to talk to them as we have—the results of which have come today. We are not, however, ruling out legislation. We expect change and we expect firms to behave responsibly, but if they do not we will have to take other measures.
Lord Deben (Con)
I remind the House of my declaration of interest. I just do not understand this—I really do not. I do not think I can be accused of putting forward the Methodist point of view but, given that we have this agreement, why can we not set in train plans for some sort of legislation? That seems sensible. Secondly, given that the chief executive of one of the firms joining in this year paid herself four times the amount of money that the whole industry is putting into this scheme, is the amount sufficient? How do we expect those firms that have not joined in—the 50%—to join in? Is it not necessary to say to them, “You have not joined in voluntarily, so the first thing that will happen is that everyone has to join in up to the level voluntarily agreed”?
I want to see this move on and I ask my noble friend to accept that there is problem gambling, and that we should make gambling more difficult. So why is it possible to gamble on credit? That cannot be right. It should never be possible to gamble on credit. That is the first thing the Government could stop.
Lord Ashton of Hyde
As I said, the Gambling Commission has just finished taking evidence on that very subject and it is something that we will look at. The Secretary of State has indicated that it is an area that concerns him. We have to work on the basis of evidence, but that evidence has been collected and I assure my noble friend that it is an area being considered at the moment.
I just do not think there is any connection between the amount that a private owner of a gambling company pays him or herself and the issue. The issue is: where is the harm to the just under 1% of problem gamblers and how are we addressing it? Today’s announcement means that it will be addressed. Combined with the increase in NHS facilities, it means we are able to do a lot more to help problem gamblers than we have before. The remainder of the gambling industry not among those five big companies will be under no illusions after today. Hitherto, we were told that a voluntary system could not work and today we have increased the amount available tenfold. We will see what the remaining 50% of companies do, but it is much better to get people to contribute the right amount voluntarily than to make regulations for the sake of it. But we will monitor that and regulation will come if it is necessary.
Lord Kirkhope of Harrogate (Con)
My Lords, following on from the presidency of the noble Lord, Lord Griffiths, of the Methodist Conference, I declare my interest: I became the Minister with responsibility for gambling back in 1995. Indeed, at that time we wanted to deregulate the gambling industry in a reasonable, balanced and gentle way to bring it up to date and more into line with the circumstances we found ourselves in. However, I never thought that we would end up with the situation we have now. The Statement, as far as it goes, is helpful but does not tackle the underlying problems that all of us see day after day as we watch television or go online. We are bombarded with advertising encouraging gambling at all levels. My noble friend talks about problem gambling. It is difficult to assess at what point someone’s gambling habits become a problem. Is it a problem to them or a problem to society? All gambling must have regulation and be responsible. All those involved in producing the gambling industry must be responsible and answer to regulation that the Government must bring up to date—and bring up to date soon.
Lord Ashton of Hyde
I absolutely agree, and that is why we are doing so. The industry is regulated by the Gambling Commission, which was set up to do that. One of the licence conditions is that those in the industry should behave responsibly. Having said that, we have made recent changes. It is not just a question of the amount of money spent on treatment, important though that is, but a question of preventing problem gambling in the first place. I accept my noble friend’s point, which is that while the statistics are not perfect and debatable, and the number of problem gamblers small, there is a wider problem to the extent that, even if there are fewer than 1% problem gamblers, they affect a wider number of people, including families, communities and so on. However, the figures are not particularly big in numerical terms and are not, from all the evidence we have, growing; they are under 1%. A lot of work has been done on increasing the preventive element as well, not just treatment. There has been agreement on using new technology to divert advertising away from online gambling. More people are gambling online, so using online technology is a modern response to that.
We want to increase the availability of online messaging to review the tone and content of gambling companies’ marketing. We have launched a modern, up-to-date online system, GamStop, which is not perfect but is making a significant difference. It is a real-time self-exclusion scheme and the results so far have been good. That is in addition to the changes in advertising. The Government have not sat still and done nothing. We understand that changes have been made and that we must monitor the evidence to make sure that we are up to date. As I say, this is not cast in stone and, together with our advisers, the Gambling Commission, we will monitor the situation to make sure that we keep up to date.
Lord Adonis (Lab)
I commiserate with the Minister for having to repeat this embarrassing Statement. Does he realise that it essentially shows that the Government have become the pawns of the big gambling industry? He has said, with the full authority of the state behind him, that the Government are not prepared to move at all to tackle a massive social evil that is wrecking hundreds of thousands of lives, including those of young people who are becoming addicted to gambling in their early and mid-teens, which will then afflict them for life. Instead, the state is relying on the industry that has caused these evils to regulate itself by making paltry contributions, given the overall figures involved in this industry.
The noble Lord started to lose the House when he accused the right reverent Prelate of exaggerating. He made a compelling argument, along with the noble Lord, Lord Foster, about exactly what the social evils are and why the Government should be addressing them. When people come to look back at this massive social evil of gambling, they will equate it with the problems caused by tobacco addiction in the previous generation, when, after huge rearguard actions by the industry involved—particularly on the issue of advertising—the state finally moved. After that, everyone said, “Why has it taken so long?” The big issue that the Government will have to address is: when will they move to end the wall-to-wall advertising that promotes people into gambling? To my mind, that is morally and socially unjustifiable. Until the Government start to move on banning gambling advertising, everything they do in the meantime will seem beside the point.
Lord Ashton of Hyde
The noble Lord has made many predictions in this House and we will see whether he is right. If it were true that the present Government were pawns of the gambling industry, they would not have reduced the FOBT limit from £100 to £2.
Viscount Thurso (LD)
My Lords, perhaps I may press the Minister on his comments about technological advances, particularly with regard to what my noble friend said about pop-up advertising. These adverts are insidious. They are made possible by the use of cookies and algorithms, and are directly designed to entrap the people most likely to want to gamble. Can anything be done with the technological advances that he is talking about to prevent that kind of advertising?
Lord Ashton of Hyde
I shall not give a technical answer to that but there is technology using cookies and other data to direct advertising and gambling advertisements to certain people. If you can do that, you can also target it away from people, and that is what the companies have committed to do today. Banks and other financial institutions can use data and algorithms to work out when people are getting involved in problem gambling. We are investigating that with the banks and it is something that we would expect them to do. As I said to my noble friend Lord Deben, we are also looking at the use of credit cards in that respect.
Lord Brooke of Alverthorpe (Lab)
First, following on from that point, can the Minister say whether the Government have had discussions with the gambling industry about the use of algorithms? Secondly, he says that the Government are now looking to the industry to act responsibly and will be monitoring what it does. How long will that period of monitoring last? Thirdly, a Select Committee in this House has been appointed to look at this issue. Will any agreement that the Government reach with the gambling industry inhibit the implementation of recommendations from the Select Committee?
Lord Ashton of Hyde
I do not know specifically whether we have directly talked about algorithms. However, I know that we have talked about the use of data, which of course is the food for algorithms. Essentially, whenever you use data and computers to make decisions, you use an algorithm. I assume that is the case but I have not been given the specifics on it. The noble Lord asked for how long the industry will be monitored. We have been clear that there will be monitoring. It happens the whole time. Gambling companies have to give an annual assurance to the Gambling Commission and that will continue on a permanent basis. We will certainly take the Select Committee’s deliberations and conclusions into account, and we may or may not act on them depending on what they are.
Lord Beecham (Lab)
My Lords, when will the Government review the outcome of the change to fixed-odds betting terminals, which has recently come into force? Will there be a review this year?
Lord Ashton of Hyde
I do not know the answer to that but I will write to the noble Lord. The evidence that the Gambling Commission gets will be monitored continually. I shall have to ask whether it will be made public but the commission will certainly look at that. I signed off a Written Answer today about the number of outlets. That of course is significant in terms of the reduction in the FOBT limit, because that was one of the worries that the gambling industry had. It will be interesting to see what happens to the number of outlets. However, I will write to the noble Lord on that subject.
Birmingham Commonwealth Games Bill [HL]
Lord Ashton of Hyde Excerpts(4 years, 10 months ago)
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The Parliamentary Under-Secretary of State, Department for Digital, Culture, Media and Sport (Lord Ashton of Hyde) (Con)
My Lords, I hope this Bill will be welcomed across the House. I am excited to be moving the Second Reading of it, not for the operational details outlined but because of the beneficial effect the Games will have on Birmingham and the West Midlands, and because of the enthusiasm that has already been shown by many in the region.
The 2022 Commonwealth Games in Birmingham will be the biggest sporting and cultural event ever held in the city and the region, featuring thousands of world-class athletes and over 1 million spectators. With an estimated TV audience of 1.5 billion watching 11 days of action-packed competition, the Games will showcase Birmingham, the West Midlands and the entire country to the rest of the world as a destination for sport, business, leisure and education.
Of course, the Games are about more than just two weeks of sport. They will unlock opportunities for people across the region and the UK, delivering benefits and leaving a lasting physical legacy in the form of three major capital projects as well as transport infrastructure upgrades. They will bring wider opportunities, including cultural engagement, trade and business, tourism, volunteering, physical activity, jobs and skills and education. That is why the bid for the Games was underpinned by cross-party support at national and regional level.
I remind the House of the circumstances under which Birmingham was awarded the Games. In March 2017, following its inability to meet a number of hosting requirements, the Commonwealth Games Federation removed hosting rights from Durban. In December 2017, following a bidding process, Birmingham was awarded the right to host. This means delivering the Games in a truncated timeline of four and a half years rather than the more typical seven. I am delighted that the recent co-ordination commission, which met to review progress on Games preparations, expressed its confidence that partners would deliver a fantastic Games.
Delivering the Games at speed relies on effective and collaborative relationships with Games partners. It was in this spirit that partners worked closely together to identify the small number of temporary legislative measures included in the Bill. Noble Lords may recall that similar measures were provided for the 2012 London Olympics and Paralympics and the 2014 Commonwealth Games in Glasgow. I take this opportunity to remember the work of Baroness Jowell in preparing London for the Olympics. Of course, this is not the Olympics; the requirements for hosting the Commonwealth Games are different, and the narrow scope of the Bill reflects that.
I shall outline the main contents of the Bill. It provides a technical measure to ensure that financial assistance given to the organising committee continues to comply with spending rules set out by Her Majesty’s Treasury. The organising committee has been established as a non-departmental public body. It is subject to standard public sector controls, including a full management agreement. The Government have also committed to provide regular budgetary and financial updates to Parliament over the life cycle of the Games.
I am also pleased to be able to set out the agreed 2022 budget. Birmingham and the West Midlands will receive a £778 million investment to stage the Games. The public funding will be split approximately 75:25 between investment from central government and from Birmingham City Council and partners, setting a significant investment in Birmingham and the region that will deliver benefits for years to come.
The Bill also introduces measures, similar to those for London and Glasgow, to protect against unauthorised association with the Games. Securing commercial sponsorship is critical to staging a world-class event and managing public investment in the Games. This can be achieved only when the rights of sponsors are protected. By way of comparison, the Glasgow Games raised over £100 million in commercial revenue.
The Bill introduces a new civil offence which will ensure that only those authorised to associate with the Games, such as those who have contributed to the costs, may do so. This offence will apply only to those acting in the course of business. Association will be permitted only where an organisation has made the financial or other commitments required of an authorised business.
Importantly, enforcement must be sensible and proportionate. We recognise that residents, schools, faith and community groups want to show their support, so the organising committee is developing a “community brand” for use by not-for-profit organisations that share the Games’ vision and mission and want to proudly celebrate their community association. Information is key, which is why the Bill places a duty on the organising committee to produce guidance to ensure that people are clear about activity that may be an infringement.
We are determined to ensure that those who want to be a part of the Games can be, so the organising committee will put in place an accessible and affordable ticketing strategy. The Bill introduces a criminal offence for the unauthorised sale of Games tickets, ensuring that buying tickets will be clear, simple and affordable. This offence will apply to any unauthorised attempt to sell tickets, whether carried out in a public place, in the course of business, or for profit.
The Bill also creates offences for unauthorised advertising and trading. The restrictions on unauthorised trading will improve the spectator experience by ensuring that trading does not obstruct easy movement in the vicinity of Games locations, and the restrictions on unauthorised advertising will ensure that Games locations and their surrounding areas offer a consistent celebratory look and feel. These measures are proportionate and temporary. These restrictions can be in place for no more than 38 days; we will ensure that they take effect for the shortest possible time.
Regulations will be brought forward specifying when and where the advertising and trading provisions apply. This may differ by Games location to ensure that the restrictions are proportionate and apply only where necessary. We will also consult on whether further exceptions to the offences should apply.
There is a duty on the organising committee to produce guidance to support understanding of the provisions. Local authorities will be required to share this guidance with traders known to them who may be affected by the offence. Affected traders could also seek authorisation, free of charge, from the organising committee to continue trading or apply to the local authority for consent to trade on a street not specified in the regulations. Similarly, should an advertiser wish to carry out Games location advertising at a restricted time, it will be able to make an application, without cost, to the organising committee.
We provide a suite of powers to enable effective enforcement of these offences. These powers build on those already available to enforcement officers under the Consumer Rights Act 2015, ensuring that, where needed, swift and robust action can be taken. Work is already under way with the organising committee, police and local trading standards to ensure that any enforcement activity is proportionate. Experience demonstrates that the effect of these powers is mainly one of deterrence: we are not aware of any court cases for similar offences at Glasgow 2014 and only a small number of court cases in London for the ticketing offence.
Finally, key to a successful Games is ensuring that transport works efficiently for those living and working around Games locations, and those involved in the Games. The transport provisions in the Bill enable this. They set a statutory basis for the Games transport plan, which will be subject to public consultation later this year.
The measures also provide bespoke traffic regulatory powers, allowing short-term changes of road use—where needed—to ensure minimal disruption. Also included are powers for the Secretary of State to provide for concurrent regulation of road use by the person directed to prepare the transport plan, where they are not already a traffic authority, and provided there is agreement from the relevant local traffic authority. We believe that these powers facilitate co-ordination of Games transport planning. The Bill further provides a power of direction for the Secretary of State to safeguard the delivery of essential Games traffic-regulation measures. This would be used only if absolutely necessary.
I must make it clear that the organisers intend that any road regulation measures are kept to a minimum. Local residents and businesses will be kept closely informed of the proposals. Also, work is under way to deliver a clean and green Games supported by the delivery of new and accelerated infrastructure, additional services and effective use of the transport network.
I look forward to the comments and advice on improvements from noble Lords. I beg to move.
Lord Hunt of Kings Heath (Lab)
My Lords, I welcome the Bill and the Minister’s opening statement. In view of the remarks I will make on health and well-being, I declare an interest as a member of the advisory board of Sweatcoin, a healthy walking app.
It was a great day when the Commonwealth Games Federation selected Birmingham as the host city in 2022. Congratulations are due to Ian Ward, the leader of the city council, to Birmingham as a whole, and to partners such as Andy Street, Mayor of the West Midlands, the West Midlands Combined Authority, the department the Minister speaks for and Commonwealth Games England. This is a fantastic opportunity for Birmingham and the West Midlands, which we need to grasp enthusiastically and with both hands, as the Minister said. The sports that will feature are in themselves very interesting, and the Commonwealth Games’ track record of ensuring that the Paralympic Games have equity with the other Games is to be commended and will be continued in Birmingham. Living half a mile from Edgbaston cricket ground, I also know that women’s cricket is being considered for a place in the final list of games. I hope that the Minister will use his best offices to encourage such a decision.
Lord Hunt of Kings Heath
My Lords, the Minister’s powers of persuasion are remarkable.
My one item of concern is that noble Lords have found it very difficult to get any briefing from the city council, the mayor or the West Midlands Combined Authority. I suspect that they have been told by the Minister’s department not to provide briefing. This is a great pity. We should ask for the leader of the city council and Andy Street to brief Members before we reach Committee. I have never known a Bill affecting a sector on which we have not had formal briefing from the people concerned. Frankly, it is very disappointing that we had to beg the organising committee for the paucity of information that we have received. If this is going to be the approach in the future, it worries me—because, goodness knows, we are here to help the Games be as successful as possible.
There are only two issues I wish to raise. The first is funding and the second is the question of legacy. In relation to funding, today the Minister announced what I understand to be the final budget figures for the Games, and confirmed the split as 75:25. Can the Minister explain where financial liability lies for ensuring that that resource is spent wisely, and who is responsible if there is a cost overrun? Since the organising committee is, as I think he said, a non-departmental public body, I assume that its responsibilities are covered by the department. But what happens to the money that is to be provided through the city council? I would be grateful if the Minister could provide some information.
It will strike those of us in particular who have observed Olympic Games that clearly, because Birmingham was a late entry after the failure of the original bid on financial grounds, the financial liabilities are pretty huge. Even a city the size of Birmingham is particularly vulnerable in relation to its current financial situation. It is a fact that only a few months ago it faced warnings that hosting the Commonwealth Games could bankrupt the city; an audit report by Grant Thornton revealed an £84 million hole in its budget, at a time when vast sums of its emergency reserves had been spent. We know from newspaper cuttings that the West Midlands Combined Authority has said that the lack of a secure funding plan is:
“The most significant risk regarding the Commonwealth Games”.
I realise that that is partly in relation to the budgetary figure that the Minister has announced today, but it is in part based on the vulnerability of Birmingham City Council’s finances. It is reasonable for us to ask the Minister to spell out what he considers to be the impact on Birmingham City Council’s finances before your Lordships give the Bill their approval.
I turn to the legacy. Clearly, the Games are to be enjoyed in the moment—that is what they are all about—but legacy is important, too. It is not just the use of the stadia after the events but the environmental regeneration and, I hope to persuade the House, the health and well-being of the people of Birmingham and the West Midlands. We know that legacy was very important in relation to the London Olympics. They were a fantastic and very successful Games, and a lot of their legacy has been successfully undertaken. But, in relation to participation in sports and well-being, I do not think that the organisers have achieved what they set out to achieve. I really hope that we learn those lessons and translate them into a plan for Birmingham that will help us to make a real impact on people’s health and well-being.
Lord Ashton of Hyde
My Lords, I am grateful for all the suggestions and points that have been made by an intimidating mix of former Olympians, Brummies and local residents, politicians and former politicians with a lot more local knowledge than I have. I have not matched the noble Lord, Lord Griffiths, in trying to link my home town with Birmingham; Stow-on-the-Wold is not immediately connected with Birmingham but it is only an hour away.
I realise that I mentioned bipartisanship in my opening remarks. We have form on that; we arranged the First World War commemorations, which had a very successful outcome with a lot of support from all quarters, so I do not see why we cannot do that. I also noted that a number of issues were raised by noble Lords about Birmingham City Council. It is a bit of a tough ask for a Conservative Minister to defend a Labour city council, but I will take those issues on board and ensure that the communication referred to by the noble Lord, Lord Addington, improves—particularly now that the main communication will be with the organising committee, which will be responsible for producing these Games and spending the money wisely. I will come on to that in a minute.
The noble Lords, Lord Griffiths and Lord Addington, talked about engagement. There are now plenty of opportunities for that. There is an APPG for the Commonwealth Games, at a meeting of which the organising committee has already been present. We in DCMS are certainly happy to engage with any noble Lords and answer questions—let alone official Questions in Parliament, which I cannot avoid. The Government have already said that the organising committee will report to the Public Accounts Committee and the DCMS Committee. As an arm’s-length body, it will have to fulfil the normal annual reporting requirements on finances, ethnicity and diversity. So, there will be plenty of opportunities. The Minister for Sport is also available for noble Lords. Last and probably least, they can always ask me. We will be able to improve the level of information that all noble Lords receive. I know that the organising committee intends to have within it a parliamentary liaison organisation.
I agree with many noble Lords that a key theme is legacy. As I said in my opening remarks, that legacy is not just in sport; it is an economic legacy, a volunteering legacy and a cultural legacy—I am sure that there are others that I have forgotten. We understand that the legacy is critical. It is easy to talk just about the infrastructure legacy, which will be not insignificant, but we understand that there are more things to it.
Of course, we will have the Commonwealth Games village, a new aquatic centre—which is for diving as well as swimming—and a park that goes with it, all in an area which certainly needs them. There will be a quite a lot of transport upgrade, including upgrades to two railway stations and highway improvements in Perry Barr. I will make sure that those organising the transport bear in mind my noble friend Lady Berridge’s comments about people travelling east to west as well as north to south.
The Games will also require upwards of 45,000 organising committee staff, contractors and volunteers. The organising committee has already engaged with local companies on the economic opportunities, with the Birmingham 2022 portal already established as a one-stop shop to bid for Games contracts. In Glasgow, 76% of organising committee contracts went to local or regional companies and the Games there contributed more than £750 million to the Scottish economy.
Getting people engaged in exercise is important. If sport helps with that, that is great. Sport England is investing up to £100 million in 12 pilots looking at using sport to engage underrepresented and traditionally inactive groups. In February 2019, Birmingham and Solihull received nearly £10 million from Sport England as one of those pilots. The Active Communities project is designed to tackle inequality among older adults, women, young families and BAME people. I agree that that is a key legacy, albeit an extremely tough one to deliver—it has not necessarily been delivered in the past and certainly not in the last two cases.
The noble Lords, Lord Hunt and Lord Rooker, and others talked about briefing on the Bill. I can tell the noble Lord, Lord Hunt, that the organising committee will be able to call him this week and, as I have said, it will continue to do so.
So far as the budget and shortfalls are concerned, the Games partners, including DCMS, have oversight of the organising committee’s spending via the governance structure for the Games, including the organising committee’s own contracts committee and audit and risk committee, which includes DCMS-appointed board members. These provide an opportunity to influence spending decisions and obtain ongoing oversight of expenditure and value for money. The Government will also be able to scrutinise and, if necessary, block calls on contingency budgets. The noble Lords, Lord Hunt and Lord Rooker, also drew attention to difficulties with the financial position of Birmingham City Council. The council has said that its funding for the Games should not impact on day-to-day services and will not be met by increases in council tax. All the Games partners—including the council—are focused on ensuring that the Games deliver value for money. We will continue working very closely with the city council to look at how, with its partners, it can meet its commitment to financing the Games.
Birmingham City Council finally approved the budget in January. Since then, the overall budget has been passed by the major projects review board and the Treasury. The Minister or I will outline more detail about the budget in a Written Ministerial Statement. We may have to have a presentation or meeting with noble Lords to explain this in detail. Not only is the Games budget reasonably complicated but there is other government spending on infrastructure that will be used by the Games but is not part of the Games budget itself. It is not straightforward.
The athletes’ village will be built in Perry Barr with 1,400 homes, part of a larger development of 5,000 homes in due course. The village is being developed by Birmingham City Council, as part of its commitment to the Games. It will be responsible for the strategy for the housing, as one would expect a council to be, including the percentage provided as social housing. In response to the noble Baroness, Lady Burt, and the noble Lord, Lord Rooker, the council has told us that all homes will be built to the relevant building regulations standards for accessibility. There will be a mix of affordable, private rent and market-sale tenures. About 24% will be affordable housing. The noble Baroness asked about construction jobs and apprenticeships. The construction will provide at least 2,000 jobs, including 400 new jobs in construction and 50 apprenticeships during the construction period. As part of the social value commitments confirmed by Lendlease, the main contractor, at least 10,000 students will be supported across Birmingham. This will include mentoring, career advice, curriculum support, employability support and business projects. I will be happy to write to the noble Baroness on her other detailed construction and supply questions when we have talked to the Games partners.
My noble friend Lady Berridge talked about the wider aspects of the Games around the Commonwealth and the chance to promote equality and diversity in the “youngest city in Europe”. The organising committee recognises that diversity and equality must be embedded in its organisational culture. This can be achieved only by ensuring that the best possible people are selected through a fair and transparent recruitment process. The organising committee encourages applications from a diverse range of backgrounds. In particular, work is progressing with the Department for Education and the Department for Work and Pensions to ensure that opportunities are targeted at underrepresented groups. As I said, as a non-departmental public body of DCMS, the organising committee is required to report annually on equality and diversity. The noble Baroness also asked me to nudge the right reverend Prelate the Bishop of Birmingham on a scheme. I will do my best to nudge the right reverend Prelate, assuming that that is within the rules of the House. He attended the meeting I had, so I will bear it in mind to keep in close touch with him.
The noble Lord, Lord Rooker, warned us that oversight and governance need close attention. I agree. It is a tight schedule and we are aware of the need to get value for the public money being spent. The Games delivery programme is overseen and managed through an integrated governance structure that involves all the Games partners, including DCMS, Birmingham City Council, the organising committee, the Commonwealth Games Federation, Commonwealth Games England, West Midlands Police and the West Midlands Combined Authority. As I say, we will pay close attention to that.
The noble Lord, Lord Snape, mentioned the appointment of Nick Timothy as one of the non-executives. I think he used the expression “jobs for the boys”. All the non-executive director appointments made by the Secretary of State complied with the Governance Code on Public Appointments and were therefore open and transparent. They were assessed by an advisory assessment panel, so it was not just the Secretary of State. They were subject to the same selection process and were assessed against criteria published in the role specification. Nick Timothy, as the noble Lord may know, is a true Brummie and has a great and deep interest in and love of the city. I am sure he will put a lot of work and effort into his role on the organising committee.
Lord Snape
I am sure that everything the Minister said about Mr Nick Timothy is correct. Does he agree, though, that although I am not a native Brummie, I have a great love of the city too, yet no one has asked me to be a non-executive director of this organisation? Does he think the fact that Mr Timothy, like the mayor, Mr Andy Street, and the mayor’s principal adviser, Mr Andrew Browning, went to King Edward’s School, which currently charges £13,320 per year, has anything to do with his appointment?
Lord Ashton of Hyde
It is a bit difficult for me, as an old Etonian, to comment on that. I really do not think it has anything to do with it, but I may be biased. All I can say is that it was a proper and sensible appointment process. I am sorry that the noble Lord was not asked to apply but, of course, he could have applied himself and I am sure his application would have been treated with all the seriousness it deserves.
Lord Snape
One of the reasons I do not get old Etonians, of course, is that I do not share their sense of humour.
Lord Ashton of Hyde
Not everyone does, I agree.
My noble friend Lord Moynihan talked about delegated powers and the report from the DPRRC. We look forward to receiving that report fairly shortly, I believe. We have learned from the experience of the London Olympics Act and have sought to ensure that the delegated powers in the Bill are as narrow as possible. We have included things in the Bill not included in the 2006 Act. There are no Henry VIII powers. Those that have been included are limited to matters that cannot be determined until the detailed operational planning for the Games is further advanced, or when further consultation is needed. For example, what it means to be,
“in, or in the vicinity of”,
a Games location will depend on the Games schedule, which will not be known until much closer to Games time. Regulations about time periods and Games locations may need to be quickly amended in the event of a change in a competition venue. I look forward to discussing the detail of the individual clauses with my noble friend and other noble Lords in Committee. I think it will be useful to wait until we get the DPRRC report to see what it advises on that, but I do not foresee any particularly serious problems.
The noble Lord also asked why we are not extending the offence of ticket touting to other major sporting and cultural events. We have had this debate over a number of years, and I have debated it personally with my noble friend Lord Moynihan. At the moment we think there is a role for a responsible secondary ticketing market which allows consumers to make informed choices. That is why we do not want to impose a blanket ban on the resale of tickets for all major sporting or cultural events, but I accept that there is a debate to be had on that. These provisions, however, are designed to protect the integrity of the Commonwealth Games and reflect the uniqueness of a multi-sport event which, unlike most sporting events, is underpinned by significant public investment. That is why we have decided to ban it for this event. That is also why similar provisions were enacted for the London Olympic and Paralympic Games and the Glasgow Commonwealth Games. As I say, I am sure that we can discuss that in Committee if necessary.
The noble Lord also mentioned shooting—I believe on behalf of the noble Lord, Lord Bilimoria—and its exclusion from the sports programme. That is not directly connected to the powers in this Bill, but is worth mentioning because it is important to those who are keen on it. The key criteria were set, written submissions invited and presentations made to the assessment panel for each sport. Those included financial considerations, the availability of suitable venues, the potential for additional revenue generation and alignment with the CGF constitution and the objectives of Games partners. Those submissions were evaluated and a report then presented to the Birmingham 2022 organising committee board. The decision it made now goes to the Commonwealth Games Federation’s membership, where the ultimate decision lies. It is worth pointing out that shooting was offered the opportunity to transfer, with a suggestion that some of those events could take place in the West Midlands area, but the offer was declined.
The noble Lord, Lord Grocott, talked about budget governance. As I said, the figure today is a headline figure; I will let your Lordships know more detail when it is available. Overall, the governance is broadly as follows: the police oversee security, with the chief constable of the West Midlands having overall operational control of that—he will liaise and use national security agencies as well, but has overall responsibility; the organising committee is responsible for delivering the Games; and Birmingham City Council is responsible for overseeing the capital projects.
There will be more detail to go through in Committee and later. I repeat my offer: my department is happy to answer specific questions in more detail if anyone wants. I hope that will enable noble Lords to support this operational Bill, which, as we approach three years to go next month, is an essential milestone in the preparation for the Games. I look forward to working closely with all noble Lords as the Bill progresses through this House and I commend the Bill.
Age Verification
Lord Ashton of Hyde Excerpts(4 years, 10 months ago)
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The Parliamentary Under-Secretary of State, Department for Digital, Culture, Media and Sport (Lord Ashton of Hyde) (Con)
My Lords, with the leave of the House I will repeat a Statement made by my right honourable friend the Secretary of State for DCMS in the other place earlier today. The Statement is as follows:
“Mr Speaker, I would like to make a Statement in relation to the implementation of age verification for online pornography. As the House knows, the Government announced that age verification for online pornography, under the Digital Economy Act, would come into force on 15 July 2019. It has come to my attention in recent days that an important notification process was not undertaken for an element of this policy, and I regret to say that this will delay the commencement date. I wanted to take the opportunity to come to the House as soon as possible to apologise for the mistake that has been made and explain its implications.
In autumn 2018, we laid three instruments before the House for approval. One of those instruments, the Guidance on Age Verification Arrangements, sets out standards that companies need to comply with. This should have been notified to the EU Commission in line with the technical standards and regulations directive, and it was not. Upon learning of this administrative oversight, I have instructed my department to notify this guidance to the EU and re-lay the guidance in Parliament as soon as possible. However, I expect that this will result in a delay in the region of six months.
As the House would expect, I want to understand how this occurred. I have therefore instructed my department’s Permanent Secretary to conduct a thorough investigation. That investigation will have external elements to ensure that all the necessary lessons are learned. Mechanisms will also be put in place to make sure that this cannot happen again. In the meantime, there is nothing to stop responsible providers of online pornography implementing age-verification mechanisms on a voluntary basis, and I hope and expect that many will do so.
The House will also know that there are a number of other ways in which the Government are pushing our objective of keeping young people safer online. The Online Harms White Paper sets out our plans for world-leading legislation to make the UK the safest place in the world to be online. Alongside the White Paper, we also published the social media code of practice under the 2017 Digital Economy Act, which gives guidance to providers of social media platforms on appropriate actions they should take to prevent bullying, and insulting, intimidating and humiliating behaviours on their sites. We will also publish interim codes of practice detailing steps that we expect companies to take to tackle terrorist content and online child sexual abuse and exploitation. These will pave the way for the new regulatory requirements.
We set out in the White Paper our expectations that companies should protect children from inappropriate content. We will produce a draft code of practice on child online safety to set clear standards for companies to keep children safe online, ahead of the new regulatory framework. During the consultation on the White Paper, we heard about the technical challenges associated with identifying the specific ages of users, and so I have commissioned new guidance, to be published in the autumn, about the use of technology to ensure that children are protected from inappropriate content online.
The new regulatory framework for online harms announced in the White Paper will be introduced as soon as possible, because it will make a significant difference to action taken by companies to keep children safe online. I intend to publish the Government response to the consultation by the end of the year, and to introduce legislation as soon as parliamentary time allows after that, but I recognise that many Members of this House and people beyond it have campaigned passionately for age verification to come into force as soon as possible to ensure that children are protected from pornographic material they should not see. I apologise to them all for the fact that a mistake has been made which means that these measures will not be brought as soon as they and I would like.
But there are also those who do not want these measures to be brought in at all, so I make it clear that, although my Statement is an apology for delay, it is not a change of policy or a lessening of the Government’s determination to bring these changes about. Age verification for online pornography needs to happen, and I believe that it is the clear will of the House and those we represent that it should and that, in the clear interests of our children, it must”.
Lord Clement-Jones (LD)
My Lords, I too thank the Minister for repeating the Statement. This is unfortunate to say the least, and it means these AV requirements will be put in place nearly three years after the original Digital Economy Act was passed. If the Minister does the maths, he will find it has been three years since they were incorporated into the Act.
The noble Lord, Lord Stevenson, asked all the right questions and made a comment about the professionalism of our Civil Service. But I find it staggering that, if you recall, we had exactly the same situation with the Video Recordings Act when notification did not take place. We all had to come back here and re-pass aspects of that Act because that notification had not taken place. I do not understand why that experience was not engraved on every heart in the DCMS or Home Office. I think it was a Home Office requirement at the time, but I dare say the people themselves transferred to the DCMS subsequently. In those circumstances, will compensation be available to companies that have developed age-verification solutions and gone through the voluntary certification and assessment process in anticipation of the guidance going live this July? I would expect nothing less.
During the passage of the Digital Economy Act, we on these Benches agreed in principle with the concept of age verification for pornographic sites for the purposes of child protection, but we wanted greater safeguards in the Bill in terms of third-party verification and privacy. Sadly, that did not happen. My noble friend Lord Paddick and I argued in 2017 for statutory third-party age verification and queried that last year when the regulator was nominated as the BBFC.
What is the current level of voluntary operation of age-verification methods, in response to the guidance or as an independent action? Does any site operate a voluntary age-verification process? If so, are such processes now exclusively third party, which was the essence of our original amendment and why we felt that that was an important privacy aspect? Explicitly, what will be the procedure for the re-approval of the guidance? Will it be by the negative or the affirmative procedure?
My noble friend Lord Paddick argued last year for a much greater commitment to compulsory age-appropriate sex and relationship education for all children, including telling children what they should do if they encounter online pornography. That is an important other side of the coin. What resource is devoted to this increasingly important aspect of sex education? What difference will the new DNS over HTTPS protocol make to the eventual ability of the BBFC to enforce these requirements or to force internet service providers to comply?
The Secretary of State refers in the Statement to the implementation of the online harms White Paper, which is strongly related to the age-verification agenda. The Minister knows that we have reservations about over-hasty legislation; we believe that pre-legislative scrutiny would be wise and would iron out some of the scope and definitional problems. There are conflicting views about the width of the duty of care and, on the other hand, the dangers of being over-prescriptive. There are many voices still to be heard before we can be sure that the legislation will be sound. Is not a draft Bill the way forward?
There is no reason, however, why Ofcom should not be designated early after the end of the consultation—after all, it has the clout, the technological understanding, and experience in regulating content where it converges with technology, in using enforcement and information-gathering powers and in co-operating with other regulators. It could draw up the first code of practice on online safety, mentioned in the Statement.
There is some concern that current policies are driving us into a world where age verification will be required for all kinds of access other than to pornography. That seems to be the implication of the Secretary of State’s remarks about technical challenges associated with identifying the specific age of companies’ users. Is that the intention? We need to be extremely wary of the consequences of that. That must be fully debated before we go further on age-verification requirements.
Lord Ashton of Hyde
My Lords, I thank both noble Lords for their sensible comments and repeat our apology. The noble Lord, Lord Stevenson, commented on the memorial service for Lord Heywood and the quality of the Civil Service, so I agree that it is unfortunate that we are today bringing forward this Statement. I want to make it clear that Ministers, not civil servants, are responsible for the department. Both the Secretary of State and I take our responsibilities seriously. I take this opportunity to pay tribute to the civil servants—nearly all the time, though not in this case—and to say that they work extremely hard to protect children. They are absolutely committed and work flat out—I shall come to the online harms White Paper—so the responsibility lies fairly and squarely with Ministers.
The noble Lord, Lord Stevenson, asked how we learned and when. We were informed early last week—on 11 June, I think. A letter from the BBFC was written on 11 June; the Secretary of State was informed on Friday 14 June. Earlier this week he asked civil servants to tell him what the implications were and whether we could do anything to get age verification in place earlier. He then came before the other House today, as soon as possible, to apologise and explain what had happened.
The noble Lord rightly said that we have had experience of the technical standards and regulations directive. The department notified the Act but not the regulations that fell under it. Again, it was a mistake and we are making sure that it will not happen again.
In connection with making sure that it does not happen again, the noble Lord asked about “external elements”. By that, we mean that the review will include people from outside the department to make sure that there is an independent view. I cannot confirm whether it will be published—I will have to go back to the department to ask that.
As for technology, there have been delays. We need to make sure that the technology is effective and that privacy is taken into account. Obviously, the third-party age verifiers are subject to the new privacy law under the GDPR. One reason for the delay was to make sure that the additional voluntary certification scheme is up and running. I say in answer to the noble Lord, Lord Clement-Jones, that sites were expecting to have to be ready to comply with the requirement on 15 July. There has been no voluntary compliance before that; I am not surprised by that. With sites having been prepared to do it on 15 July, we would expect them to bring it in within the timescale of roughly six months—to which I shall come in a minute. We do not anticipate any compensation being paid, because sites were expected to do it on 15 July. They may have a little more time, but our intention is that they should do it as soon as possible. We will bring back the same regulations, because we have to bear in mind that this is about protecting children who accidentally stumble on pornography that they would not be able to stumble on in the offline world. We are concerned to get this in place as soon as possible, which is why we are very disappointed with our mistake.
The broader point made by both noble Lords was that this is a limited measure. We have always acknowledged that; it is for commercial sites. There are other areas in which children can come across pornography, such as social media sites, even though that is not their primary business. That is where online harms will come in. The noble Lord, Lord Clement-Jones, asked about pre-legislative scrutiny. We are very much in a cleft stick here. We of course understand the benefits of pre-legislative scrutiny, but we have to move as quickly as we can to correct some of the problems, particularly in respect of things that are already illegal such as child sexual exploitation and terrorism. However, the noble Lord would not expect me to make a commitment on that when the consultation has not even finished; no doubt, he will respond to the consultation to make his point.
The noble Lord, Lord Clement-Jones, mentioned the Video Recordings Act, where it is true that notification did not place under the old technical services directive. That was 25 years ago, in 1984, and it was corrected in 2010. So the noble Lord is right that there was a similar mistake 25 years ago. We will take measures to ensure that, whether in 25 years, two years, or one year, it will not happen again. I acknowledge that this has happened before, albeit some time ago.
The procedure on the guidance now is that it has to be laid before the EU for three months in draft form. If the EU makes some comments on it, it may have to stay for another month. After that period, it will have to be laid before the House, under the negative procedure, as the House has already agreed. That means we have to allow 40 days for any noble Lord to pray against it. It will take roughly six months to get through both Houses at the end of the up-to-four-month period.
There are several technical issues about the enforceability of the policy—not the policy itself. We also have to take this into account for the online harms White Paper. A suite of enforcement options is available. For example, the regulator can use payment providers and ancillary service providers to enforce the regulations, but these have to come in first and that is what we have had to delay.
Baroness Benjamin (LD)
My Lords, the Minister is well aware of my long-standing support for this age-verification regime and will not be surprised to learn how disappointed I am to hear about this delay. This means that more innocent children will be able to accidentally stumble across pornography, which, research has shown, will have harmful effects on their well-being. This is a huge price to pay for an unavoidable mistake. While I accept the Minister’s assurance that this is a DCMS administrative error, I would be grateful for confirmation that, as soon as the necessary processes have been undertaken with the Commission, the Government will announce the entry into force of this new regime.
It is important that we know that the Government intend to resolve this issue as soon as possible. We need to hear that time and time again. I would also be grateful for reassurance that this delay is in no way related to underlying privacy concerns that I know are being put forward by groups opposed to age verification in principle. I have met the BBFC and age-verification providers and believe that their additional protections are robust. Will the Minister confirm that the BBFC still has the full support of the Government for this certification, which was developed with the support of the department? Can the Minister please reassure me, all the people who have supported this regime and the children who will suffer, that he will take action to protect them as soon as possible?
Lord Ashton of Hyde
Yes, we will take action as soon as possible. As I explained, after the three or four months with the EU in draft are up, we will immediately proceed with laying it before Parliament. The delay is then the 40 days that it has to lie. As soon as it gets through both Houses of Parliament, it will be in force. We certainly intend to go through with it as soon as possible. The noble Baroness might like to check Hansard. She said that it was an “unavoidable mistake”; I have to confess it was an avoidable mistake. We should have avoided it and should avoid it in future. I also confirm that this was a mistake and the delay is in no way related to privacy concerns. That does not mean we are not taking privacy seriously. The additional voluntary certification scheme is important. We take privacy seriously, but that was not the reason for the delay.
The Earl of Erroll (CB)
I also regret this and am very sad about it. We have already been waiting for two years. Talk about dragging feet on this; I cannot believe it takes so long. I do not understand what the problem is with the guidance on age-verification arrangements. I have read it again and it does not contain anything technical. It lays out some fairly obvious things in plain English; it talks about various aspects of this and ends up saying that the Government would like to set up a voluntary certification scheme. That is about it; there is no technical stuff in there at all, so I am not sure why this is being used as an excuse to delay further. Could it possibly be because the BBFC has just launched a certification scheme that is really only about data protection? That is not its job; it is deliberately excluded from the Digital Economy Act. Data protection is the job of the Information Commissioner’s Office, which can levy huge fines. The BBFC is meant to be worrying about age verification and the protection of children online. Why is its certification scheme not about that? Its scheme is very heavyweight on the GDPR—or DPA 2018—stuff. Does it, therefore, think it needs more time? Was this just an excuse to delay it a little further?
If the Government are to issue new guidance in the autumn, I hope they will look at the British Standard. I also hope they will talk to the age-verification providers. They know how to do this, and how to do it anonymously. This is why, looking at the guidance, the BBFC says that the websites should not do it themselves. People bounce off, get verified elsewhere and get an anonymous, encrypted token back to prove they have done it. There is no problem or technical glitch with this. The Home Office may need to start talking to people who know how to do it; this really worries me.
The certification scheme is a good idea, so the websites know that the age-verification providers are all covered correctly. You need the GDPR stuff in there, but can it please be primarily about age verification and not be ridiculously expensive? At the moment, we are looking at £20,000 a pop for the scheme that the BBFC is proposing. A proper scheme, using the BEIS guidance, through the UK Accreditation Service, would have done a proper accreditation for certification providers for a quarter of the price or less. The Government have wasted a lot of money setting this scheme up and a lot of other people will waste a lot of money trying to get certification. As it is not really for age verification, it gives no guarantees of safety. Why are the Government doing it this way? As the whole thing is voluntary anyway, and certification not compulsory, why are they still delaying. Why does the BBFC not just start enforcing on 15 July? People are not going to put in age verification. Why disadvantage yourself, at extra cost, when you have no reason to do so? The websites will not do it until the last minute. In the meantime, the age-verification providers, which are all ready to go, are suffering economically very badly as a result of this delay.
Lord Ashton of Hyde
First, this is not an excuse for delaying. The legal advice that the BBFC has received, confirmed by the legal advice that my department has received, is that the guidance needs to be notified to the EU under the technical standards and regulations directive. The other two measures do not, so we are laying only the ones that we need to. I cannot give the noble Earl chapter and verse about the legal reasons today, but I can assure him there was no doubt about it. It was not even 50:50; it was absolutely correct. If there was any other way that we could have done it, without delaying it for this long, we would have done so.
We do not believe that money has been wasted in preparing this: we think that age verification is what Parliament asked for and what the majority of Members of both Houses want. That is the way it has been set up. Although it is technically quite difficult, it is not incompatible with the regulation of the ICO. The ICO, as the noble Earl rightly said, is responsible for data privacy and personal data breaches. The age-verification system is set up to comply with the GDPR and the Data Protection Act. The additional voluntary certification scheme—which is voluntary—is a further reassurance to users that even higher standards than the minimum standards of the GDPR apply. So I think it is correct that we continue with it.
As for why we are having to delay this measure, if we bring in age verification now, it will be unenforceable in UK law, because it will have been incorrectly proceeded with against EU law and against the technical standards and regulation directive. Unfortunately, we have concluded that there is no choice but to delay it.
Older Persons: Provision of Public Services
Lord Ashton of Hyde Excerpts(4 years, 10 months ago)
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Lord Browne of Ladyton (Lab)
My Lords, I congratulate my noble friend Lord Foulkes on his introduction of the debate. I thank him for his remarks and for his consistent advocacy for the interests of older people, as I consider that I am one.
He has left us with very little to add; I am persuaded by his arguments. The Minister is in a relatively easy position because he has been a Minister since 2014 in his department and he must have dealt with at least some of the debate on the television licence since 2015. I am sure he will be able to answer in some detail.
The Parliamentary Under-Secretary of State, Department for Digital, Culture, Media and Sport (Lord Ashton of Hyde) (Con)
It was 2016, I am afraid.
Lord Browne of Ladyton
I apologise to the Minister. I will tell my officials that his CV is incorrect. However, in any event, I am sure he is ready to answer the best question of the day posed by my noble friend Lord Foulkes: how did the Government, post 2015, go into the 2017 election with a manifesto pledge on not only TV licences but free travel without working out how they were going to deliver it? It is the Government’s responsibility to deliver that manifesto commitment and to look after the needs of old and vulnerable people. Jointly, I am sure they have figured out in the past 24 hours how they will solve this problem. I have seldom seen a Secretary of State more discomfited at the Dispatch Box in the other place than the Minister’s was when he was questioned by one of his predecessors two days ago.
I am glad to follow the noble Baroness, Lady Greengross. She told us that she was a member of the Select Committee that tackled intergenerational fairness. Of all its members who recommended that free TV licences be phased out, she is the only one who has come here to own that recommendation and she deserves credit for that. I share her disappointment that none of the other interesting discussions and recommendations in the report have attracted any attention, other than the age-related benefits.
However, what did the committee expect? The nature of those recommendations was such that it was unlikely that anyone would go beyond them and look at anything else. The presentation of the report by its chairman, the noble Lord, Lord True—I am disappointed he is not in his place to answer some of my questions—led to a great deal of publicity, given that it contains sentences such as, “The Government needs to get a grip of these particular benefits”. The argument he put forward—that this type of benefit will lead to conflict between generations in the long term—is nowhere in the report. I do not believe that. I do not think that anyone of the younger generation resents the few things in these benefits that some older people are given to make their lives better, particularly those who are lonely or vulnerable.
If the Minister thinks that in the report of the Select Committee he will find arguments to deploy here that will protect the decisions that the Government have made, or allow them to revise their view of their manifesto commitment, he will be disappointed. He will see that the argumentation of this is one-sided. It concentrates on witnesses who gave evidence to the committee who were utterly predictable in what they said about these benefits.
Lord Ashton of Hyde
My Lords, I start, with slightly less time than I should have, by thanking the noble Lord, Lord Foulkes, for calling this debate and all the contributions. I cannot say that it has been an altogether comfortable way to spend the past two hours.
The Government are committed to ensuring economic security for people at every stage of their life, including when they reach retirement, so I am pleased to say that relative poverty rates have halved since 1990. I am glad that incomes for over-75 households have increased much faster than average. The average income for all households between 1999-2000 and 2016-17 improved by 71%, but for households containing someone 75 or over, average weekly incomes more than doubled. The noble Lord, Lord Stevenson, mentioned some other statistics which I do not have in front of me, but I will get back to him on that and his other 15 questions later, and copy the answer to all noble Lords.
We want to maintain the achievement of raising average income for the elderly. We forecast to spend more than £120 billion on benefits for pensioners in 2019-20 and are committed to the triple lock for the duration of this Parliament, guaranteeing that both the basic and the new state pension, excluding protected payments, will rise by the highest of average earnings growth, price inflation or 2.5%.
The Government recognise loneliness as one of our biggest public health challenges. It is estimated that between 5% and 18% of all UK adults are always or often lonely. Frequently, feeling lonely is linked to early death. It is associated with an increased risk of coronary heart disease, stroke, depression and Alzheimer’s. We know that loneliness can affect people of all ages. As Jo Cox said, young or old, loneliness does not discriminate. We are working to help people of all ages to have meaningful social relationships and to avoid loneliness. We are the first Government in the world to appoint a Minister to lead work on tackling loneliness; I appreciate the comments of several noble Lords who acknowledged that.
Last year, we published the world’s first government strategy on loneliness, as well as securing £20 million of new grant funding for projects run by charities and community groups to bring people together. As the Motion suggests, the causes of loneliness and its solutions are many and varied. I much appreciated the ideas of the noble Lord, Lord Glasman, on that with respect to the elderly. I agree with him and other noble Lords that a debate on the wider aspects of this problem would be useful.
The loneliness strategy contains more than 60 policy commitments covering many aspects of people’s lives, from transport and health to education. For example, the Government are improving and expanding social prescribing across England. That will change the way in which patients experiencing loneliness are treated, connecting them to community groups and services through the support of link workers; 1,000 new, trained social prescribing link workers will be in place by 2020 and 900,000 will be referred to social prescribing by 2023-24. The strategy also announced the creation of a network of employers to take action on loneliness. More than 30 leading organisations, including Sainsbury’s, the Co-op, Transport for London and the British Red Cross, have signed up to this network, pledging to support their employees to avoid loneliness. We are also embedding loneliness into relationship education classes so that children can learn about it and the value of social relationships.
We agree that transport is vital to building and maintaining people’s social connections; it is therefore integral to the Government’s loneliness strategy. We have invested significantly in transport infrastructure, providing more than £61 billion in the five years up to 2020. That underpins much of what the Government can do to help people remain connected. We are also providing support to local bus services, community transport and community rail services.
For some people, a free local bus service can be a lifeline, providing access to healthcare and other essential services as well as allowing them to visit family and friends. To support this lifeline, the Government support council spending of around £1 billion a year so that older and disabled people can travel on buses for free. The Government remain committed to preserving the current statutory entitlement to concessionary bus fares. Therefore, last April, we announced a change in legislation to protect the concessionary travel scheme in its current form. However, we must recognise that providing free transport alone will not solve the problem of loneliness. Inclusive transport is key to our approach to the current transport network.
Lord O’Neill of Clackmannan
Can the Minister tell us why we should believe what he says about buses when the Government betrayed the trust they sought from the British electorate at the last election? They clearly broke their manifesto pledge there, so why should this promise be worth any more than the previous one?
Lord Ashton of Hyde
If the noble Lord is referring to TV licences, I will come on to them later. I hope that I will answer his question then. Of course, the fundamental difference there is that the power to do that was with the Government, not another organisation.
As I said, inclusive transport is part of our inclusive transport strategy, which was published last July, and our future of urban mobility strategy, which was published in March.
Turning to TV licences, I acknowledge and recognise the important role of the BBC in our national conversation and as a constant companion for everyone across the country, especially older people. From impartial news and current affairs coverage to its wide-ranging radio content, it provides something for everyone every day. We know the importance of providing such services, which is why we guaranteed the over-75 licence fee concession until June 2020. We know that television, radio and online services are powerful tools in combating loneliness and isolation.
The noble Lord, Lord Maxton, asked whether the scheme will continue in its present form. In the consultation, the public said that they want that; however, I accept that many changes in the competition and the provision of these services are coming. At the moment, the current charter arrangements say that the current licence will continue in its present form for the 11-year period. I do not know what exactly was said five or six Secretaries of State ago when this was agreed, but I know what was agreed and I will come on to that.
I stress to the noble Lord, Lord Addington, that when we agreed the five-year licence fee funded settlement with the BBC in 2015, the corporation was well funded to provide vital public services. We phased in the cost by providing £468 million in 2018-19 and £247 million in 2019-20, as agreed with the BBC. That is why, as I have said before in the House, the director-general said that the overall deal provided “financial stability”, in his words, and that the Government’s decision to put the cost of the over-75s on to the BBC had been more than matched by the deal coming back for the BBC. It was an agreement.
The licence fee income underpins the BBC’s important role in making sure that everyone can access the content that educates, informs and entertains. I noted earlier this week in the House that the Government did commit to maintaining the current licence fee—I mentioned that to the noble Lord, Lord Maxton. As part of that deal we unfroze the licence fee for the first time since 2010 by guaranteeing that it will rise each year in line with inflation. The BBC received over £3.8 billion in licence fee income, more than ever before. In return, we agreed that responsibility for the over-75 licence fee concession would transfer to the BBC in June 2020. Parliament consented to that and delivered it as part of the Digital Economy Act 2017. That is why we are disappointed that the BBC will not protect free television licences for all viewers aged 75 and over. Of the number of proposals on the table, the BBC has taken the most narrowly defined reform option.
Let me address directly the question put by the noble Lord, Lord Foulkes: why did we promise free licences for the duration of this Parliament when we cannot guarantee that the BBC will keep them free from 2020? That is because, as I have said, we agreed with the BBC at the 2015 funding settlement that responsibility for the concession will transfer to the BBC in 2020. That future concession was therefore a decision for the BBC. That was agreed by Parliament in the Digital Economy Act. The Secretary of State has said repeatedly that he expected the BBC to honour that agreement, and that is why we are disappointed. The BBC has acknowledged that the most vulnerable--the poorest pensioners who receive pension credit--will get the over-75 concession. Of course, as many noble Lords have said, there is a possibility that with the help of the BBC in making this available, an extra 600,000 people could receive pension credit because although they are eligible for it, they do not claim it. That would be a good thing and that is what the Government would like to see happen.
Lord Browne of Ladyton
Before the Minister moves on from this issue, is the agreement with the BBC enforceable? If so, do the Government intend to enforce it so that they can keep their word to the nation?
Lord Ashton of Hyde
The agreement with the BBC, which is in the Digital Economy Act, is what has happened. The BBC has the power and the responsibility to make a decision. It has made a decision and it is not a question of enforcing it. That is what is in the Digital Economy Act and that is what the BBC has done. It is its decision to do that because it is what Parliament gave it.
Lord Browne of Ladyton
I am sorry to take the Minister’s time, but what right does anyone have to be disappointed if there was no expectation? It is either an agreement or it is not an agreement. If it is a legal agreement that is enforceable, surely the Government have a responsibility for the third parties who are being affected by this to enforce the agreement.
Lord Ashton of Hyde
The agreement put into law in the Digital Economy Act was the power for the BBC to make the decision, so the BBC has done what it is entitled to do and what we gave it responsibility for. What I said was that the Secretary of State expected that because this was part of the agreement reached in 2015, the BBC would do what it said it would do. Oh, I am sorry, that is not true. It said it would do that part of the deal when it was made with the Secretary of State in 2015. The BBC made its decision, which it was entitled to do, and that is the situation.
I do not have much time because I want to allow a little for the noble Lord, Lord Foulkes.
On public services generally, to support care for the elderly the Government have given councils access to around £10 billion of additional dedicated funding for social care over the spending review period, including a £240 million adult social care winter fund for 2018 and 2019 to alleviate pressures on the NHS. This is the biggest injection of funding for winter programmes that councils have ever received. The investment in social care services allowed 65% of local authorities to increase home care provision in 2017 as a direct result of the £2 billion funding boost announced in 2017.
In the medium term, social care funding will be settled in the spending review, when the overall approach to funding local government will be considered in the round. The noble Baroness, Lady Pitkeathley—who has not given up after 22 years, I am glad to say—mentioned that we will bring forward at the earliest opportunity a Green Paper that will set out our plans to deliver a more sustainable social care system. She asked about the various candidates for leadership. The present Secretary of State, who I used to work with, takes this seriously and is keen to produce it as soon as he can. It will cover care and support for adults of all ages and will bring forward ideas for including an element of risk pooling into the system, which will help to protect people from the highest costs.
I agree with the noble Lord, Lord Foulkes, that the Government have an important role in working with charities, businesses, councils and other organisations which are already doing great work in bringing people together. We also have to create an economy which allows the ever-increasing expenditure that the noble Lord desires, otherwise we will simply transfer the problems to our children and grandchildren, which is not what we want.
We expect to publish the first annual report on loneliness later this year.
There are a number of questions that noble Lords have asked but, in the interests of time, I hope they will allow me to write to them and copy other noble Lords in on the answers.
Regulating in a Digital World (Communications Committee Report)
Lord Ashton of Hyde Excerpts(4 years, 10 months ago)
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The Parliamentary Under-Secretary of State, Department for Digital, Culture, Media and Sport (Lord Ashton of Hyde) (Con)
My Lords, I am grateful to my noble friend Lord Gilbert for introducing the debate and to the entire Communications Committee for its report. I think that it is clear and well thought through. I also thank all other noble Lords who were not on the committee but who have given us their views. This is an interesting area and the thought that has gone into the report is a tribute to noble Lords. However, plenty more needs to be done. As the report notes, the digital world plays an ever-increasing role in all aspects of life. The noble Lord, Lord Maxton, referred to that. As well as benefits and opportunities, this development has brought with it new challenges and risks. The noble Lord, Lord McNally, quoted Tim Berners-Lee in that respect. I think that the committee’s report is closely aligned with, although absolutely not identical to, the Government’s approach. I will explain some of the areas that we are considering and some where we do disagree.
The recently updated digital charter, which was also described as a digital work plan—it is that as well—is our response to the opportunities and challenges arising from new technologies. The committee’s report sets out 10 principles to shape and frame the regulation of the internet which resonate with the six principles that we set out in the charter. I will come back to those principles later. At this point I have to say that I do not agree with some of what the noble Lord, Lord Maxton, said. I believe that it is possible to regulate as long as it is sensible and proportionate. Indeed, Sir Nick Clegg has asked for reasonable regulation, as has been reported today in the newspapers. My Secretary of State has been to discuss this with Facebook and other tech companies in California. Where I do agree with the noble Lord and with my noble friend Lord Inglewood is that co-operation with international bodies is eminently desirable and will be useful. I personally have spoken about this at the G7, the D9, the OECD and the EU Council, and that was just me, let alone the Secretary of State and the Minister for Digital and the Creative Industries. We want to work with our like-minded international partners to determine how we can make the internet a safer place while protecting the fundamental rights and values on which our democracy is based. I can say that other countries are interested in our work in this area. I agree in a way with the noble Lord, Lord Stevenson, that we should not say too often that the work is world-leading; we ought to let other people tell us that.
The principles of the digital charter underpin an ambitious programme of work to ensure that the internet and digital technologies are safe and secure, are developed and used responsibly—with users’ interests at their heart—and deliver the best outcomes for consumers through well-functioning markets.
I will now set out in more detail some of the key areas of work that correspond to the committee’s recommendations. My department and the Home Office recently published the online harms White Paper—which virtually every noble Lord mentioned—setting out our plans to make the UK the safest place in the world to be online. I believe that the suggestions in that White Paper satisfy the committee’s 10 principles.
Illegal and unacceptable content and activity are widespread online, and UK users are concerned about what they see and experience on the internet. The balance that needs to be struck—this conundrum, if you like—was outlined by my noble friend Lady Harding. We agree with the committee that a duty of care is an effective response to tackle this problem. We intend to establish in law a new duty of care on companies towards their users, overseen by an independent regulator, on which we are consulting. As a result of that, as the right reverend Prelate said, tech companies will have to have responsibility. It will leave them in no doubt that internet companies have a responsibility in scope. We believe that this can lead towards a new, global approach to online safety that supports our values, as I said, but also promotes a free, open and secure internet. Speaking of democratic values, I also look forward to the ideas of the House of Lords special inquiry committee on democracy and digital technologies—chaired by the noble Lord, Lord Puttnam —which the noble Lord, Lord McNally, mentioned. I can confirm that, as always, DCMS will give it its utmost co-operation.
As the report identifies, organisations increasingly collect and use individuals’ personal data online. The noble Lord, Lord Vaux, gave us helpful detail on that. New technologies must be deployed ethically, as well as safely and securely. The Government take both the protection of personal data and the right to privacy extremely seriously. The GDPR and the Data Protection Act provide increased regulatory powers for the Information Commissioner’s Office, which strengthen our data protection laws to make them fit for the digital age.
However, the increased use of personal data with artificial intelligence is giving rise to complex, fast-moving and far-reaching ethical and economic issues that cannot be addressed by data protection legislation alone. In answer to the questions from the noble Lord, Lord Vaux, relating to Google in particular, I will look at those details again. It is fair to say that people can contact the Information Commissioner’s Office if they are worried about the use of their personal data by tech companies that may or may not be in compliance with the GDPR.
The Government have also set up the Centre for Data Ethics and Innovation to provide independent, impartial and expert advice on the ethical and innovative deployment of data, algorithms and artificial intelligence. In answer to the noble Lord, Lord Stevenson, this has not yet been set up on a statutory basis—as I think he well knows—but it will be. It is a question of legislative time, but it is our intention and plan to do that. In the meantime, as he knows, the Chancellor has made money available for it to act. It will work closely with regulators, including the ICO, to ensure that the law, regulation and guidance keep pace with developments in data-driven and AI-based technologies. The issue of the forward-looking aspects of the digital authority will partly be addressed by the Centre for Data Ethics and Innovation, but I will come back to the digital authority in a minute.
As set out in the online harms White Paper, creating a safe user environment online requires online services and products to be designed and built with user safety as a priority. We will work with industry and civil society to develop a safety by design framework.
The noble Lord, Lord Stevenson, and other noble Lords talked about market concentration, and the report recommends how the Government should approach mergers and acquisitions in this unique online environment. The Government’s Modernising Consumer Markets Green Paper sought views on how well equipped the UK’s competition regime is to manage emerging challenges, including the growth of fast-moving digital markets. We continue to consider the options across the range of measures proposed in the Green Paper, including for digital markets, and are due to report in summer 2019. This will be informed by the work of the independent Digital Competition Expert Panel, led by Professor Jason Furman, which published its recommendations for Government on 13 March. The Prime Minister announced yesterday that Jason Furman has agreed to advise on the next steps on how we can implement his recommendation to create a digital market unit. We are considering his other recommendations, and will respond later this year.
On the digital authority, which was one of the key recommendations of the report, to, among other things, co-ordinate regulators in the digital world, we support the committee’s view that effective regulation of digital technology requires a co-ordinated and coherent approach across the various sector regulators and bodies tasked with overseeing digital businesses. They need clarity and stability, and the Government should lead the way in providing oversight and co-ordination of digital regulation, and ensuring consistency and coherence. We are carefully considering how existing and new regulatory functions, such as that proposed through the online harms White Paper, will fit together to create an effective and coherent landscape that protects citizens and consumers. However, we are also conscious of the calls for speed, which have been made by many noble Lords and stakeholders, not all tonight. On the one hand, we have to carefully consider the implications of new regulation, as the noble Lord, Lord Gordon, told us; on the other hand, there are serious harms that need addressing now.
When I say we are carefully considering it, we are carefully considering it. The noble Lord, Lord Stevenson, is looking as if he is not taking me seriously, but we are.
Lord Stevenson of Balmacara
I apologise to the Minister. It was just that he said that he was considering it, and that he is considering it. It did not seem to advance the argument very much.
Lord Ashton of Hyde
I was considering it, we are considering it, and we will consider it further. The worry we have is about speed, and setting up a completely new regulator, and co-ordinating the existing regulators, is what we have to worry about. The consultation is still going on, and that is something we can address.
The other main issue that several noble Lords have mentioned is about the 10 principles in the report, and the six principles in the charter, which I mentioned before. We have a set of principles that underpin the digital charter, and the online harms White Paper is part of the charter’s programme of work. The committee’s principles of regulation correspond with the White Paper approach. For example, on parity, what is unacceptable offline should be unacceptable online. However, the online harms White Paper does set out our intention to consult widely as we develop our proposals, so we will further consider the proposals as part of this, ahead of finalising new legislation.
The noble Lords, Lord McNally and Lord Stevenson, also mentioned pre-legislative scrutiny. We would like to consult thoroughly—we have had a Green Paper and a White Paper, both of which have had consultations that, we hope, will ensure that we get our proposals right. However, as I said before, there is a need for urgent action—that is increasingly evident—and we will take those factors into account when reaching a decision on whether to engage in pre-legislative scrutiny. We are not against it in principle—in fact, there are many ways in which it would be useful—but, having had two consultations already, we may decide in the long run that speed is more important and that we need to get things done.
As to the momentum to which the noble Lord, Lord Stevenson, referred, a Bill is definitely planned. It needs to be drafted after the consultation—which ends on 1 July—but it will not be easy legislation to frame if we are to capture all the areas that noble Lords have talked about. We have momentum and are keen to do it, as is the Home Office, which wishes to address particular issues such as child exploitation.
The noble Lord, Lord Stevenson, the right reverend Prelate and the noble Baronesses, Lady Harding and Lady Kidron, talked about age-appropriate design. The right reverend Prelate was concerned that we would row back from this. Age-appropriate design, or the kids’ charter—or, as I call it, the Kidron charter—is a part of the wider approach to tackling online harms and will play a key role in delivering robust protections for children online. We discussed it at length on the Bill. The ICO has been consulted formally on the code and will continue to engage with industry. We are aware that the industry has raised concerns—the noble Baroness, Lady Kidron, mentioned some of them—but it is not beyond the wit of such an innovative industry to deal with those technical concerns. It is important that the ICO continues to work with the industry to make sure that the measures are workable and deliver the robust protection that children deserve. The ICO has a reputation as a proportionate regulator and we will stand behind it.
The noble Lord, Lord Gilbert, asked about a classification framework akin to that of the British Board of Film Classification. We have said in the online harms White Paper that companies will be required to take robust action, particularly where there is evidence that children are accessing inappropriate content, and that we expect the codes of practice issued by the regulators to make it clear that companies must ensure that their terms of service state what behaviour and what activity is tolerated on the service, as well as the measures that are in place to prevent children accessing inappropriate content. The regulator will assess how effectively these terms are enforced. The classification framework is an interesting idea. We are consulting on developing our proposals and we will certainly include that.
The noble Lord, Lord Gilbert, also asked for important assurances that the press are outside the scope of the duty of care and how the Government intended to balance journalistic freedom with the regulation of online harms. The Secretary of State has been clear that this is not intended to include journalistic content. We do not interfere with what the press does or does not publish as long as it abides by the law of the land. A free press is an essential part of our democracy, so journalistic or editorial content will not be affected by the regulatory framework we are putting in place.
The noble Viscount, Lord Colville, and the noble Lord, Lord Stevenson, mentioned gaming addiction. I have written to the noble Viscount, who reminded me that a whole six weeks had passed and he wondered what we had done about it. I do not think he has been in government or he would know that that is asking a bit much, especially as the consultation is still going on and does not finish until 1 July. We do not want to duplicate what is regulated by other gambling and gaming regulators. We are clearly looking at that important issue, but it is not within the scope of this White Paper.
The noble Viscount mentioned the GDPR loophole. I will have to look at that. I always thought that data subjects had the ability to ask for decisions made by algorithms to be explained, whether or not it was with a person. I will have to check the legal position and get back to him on that.
As far as the e-commerce directive and liability is concerned, the new regulatory framework will increase the responsibility of online services, but a focus on liability for the presence of illegal content does not incentivise the systematic, proactive responses we are looking to achieve. We think the way we are doing it—with the duty of care—gives them the responsibility to be more proactive, and that the monitoring they have to do is within the scope of the e-commerce directive.
I once again thank the noble Lord and his committee for their report. I think we are aligned on some of the fundamental issues. The contributions this evening have shown that there is a depth of interest in this subject. If we get this right, we have an opportunity to lead the way and work with others globally. We will protect citizens, increase public trust in new technologies and create the best possible basis on which the digital economy and society can thrive.
Free TV Licences for Over-75s
Lord Ashton of Hyde Excerpts(4 years, 10 months ago)
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The Parliamentary Under-Secretary of State, Department for Digital, Culture, Media and Sport (Lord Ashton of Hyde) (Con)
My Lords, with the leave of the House, I shall now repeat in the form of a Statement the Answer to an Urgent Question given by my right honourable friend the Secretary of State for DCMS:
“The BBC is a fundamental part of the social and economic fabric of our country. It is important for people of all ages, but particularly for older people, who value television as a way to stay connected with the world. The Government recognised the importance of the licence fee when we agreed a funding settlement with the BBC in 2015 to provide the BBC with financial certainty to plan over the long term. We agreed to take action to further boost the BBC’s income by requiring iPlayer users to have a TV licence, and we unfroze the licence fee for the first time since 2010 by guaranteeing that it will rise each year in line with inflation.
In return, we agreed that responsibility for the over-75 licence fee concession would transfer to the BBC in June 2020. We agreed a phased transition to help the BBC with its financial planning as it did so. This was a fair deal for the BBC. At the time, the BBC director-general said that the settlement represented,
‘a strong deal for the BBC’,
which provided ‘financial stability’.
The BBC is operationally independent, so yesterday’s announcement is very much its decision, but taxpayers want to see the BBC using its substantial licence fee income appropriately to ensure it delivers for UK audiences. This includes showing restraint on salaries for senior staff. In 2017-18 the BBC received over £3.8 billion in licence fee income—more than ever before. We have guaranteed that the licence fee will increase with inflation until 2022.
The BBC is also making over £1 billion a year from commercial work, such as selling content abroad which can be reinvested, so we are very disappointed that it will not protect free television licences for all viewers aged 75 and over. The BBC received views from over 190,000 people as part of its broader public consultation, which sought opinions on a number of options. With a number of proposals on the table, the BBC has taken the most narrowly defined reform option.
I firmly believe that the BBC can and should do more to support older people and am now looking to it to make clear how exactly it will do that”.
Lord Griffiths of Burry Port
They will have their moment to explain themselves. Will the Government look again at their responsibilities now that the BBC, using its independence, has taken its decision?
Lord Ashton of Hyde
My Lords, I am very sorry to hear that this might cause marital disharmony in the noble Lord’s household. To be serious, this is not a payout, as he called it. This is taxpayers’ money which is going to support the BBC. This was decided between the BBC and the Government in 2015. That agreement took into account the fact that the BBC licence fee was fixed with inflationary increases for five years, which was the first time that had happened. The deal on that and the increases in salaries—I absolutely take his point that that will not approach the £745 million we are talking about at the moment—was made in full knowledge of what it would mean. It was also agreed that the Government would phase this in, so the DWP has contributed to the BBC for it for the past two years, but that was agreed then. That is why we are disappointed that the BBC has taken this decision. There are some potential benefits. I accept that not all noble Lords agreed at the time, but it was passed into law in the Digital Economy Act 2017. It is the BBC’s decision, because Parliament gave it that decision to make.
Baroness Bonham-Carter of Yarnbury (LD)
My Lords, perhaps I may correct what was said from the Labour Benches: this was post-coalition. Indeed, my noble friend Lord Foster, who was then an MP, stopped a first attempt to do this.
Does not the Minister accept that the covert way in which the BBC licence fee was settled last time was wrong: that making the BBC take on the cost of funding free TV licences for the over-75s effectively made the BBC the vehicle to deliver elements of the welfare state, and that that was inappropriate? I agree with the Statement that taxpayers want the BBC to use its licence fee income in an appropriate way to ensure that it delivers for UK audiences. That is the point: the licence fee is not public money but the public’s money. Does not the Minister agree that it is double dipping to use the public’s money to pay for government policy?
Lord Ashton of Hyde
The public’s money is what the Government spend. Everything that the Government do is with taxpayers’ money, so I do not really understand the noble Baroness’s point. I should mention, as the noble Lord mentioned the Liberal Democrats, that the Liberal Democrat 2015 manifesto committed to remove the concession for higher-rate taxed pensioners. We have to be careful about what we said when. As for the point about social welfare, the agreement made in 2015 was not about tax policy; it was simply about whether the BBC should have the responsibility for the concession, and that is what it was given.
Lord Foulkes of Cumnock (Lab Co-op)
My Lords, I declare an interest as chair of Age Scotland. This sorry affair is wholly the responsibility of Her Majesty’s Government, not the BBC. Perhaps the Minister could explain one simple thing. Since the legislation was passed before the 2017 election, when the Conservatives included in their manifesto that they would maintain free TV licences for those aged 75-plus, how did they expect to be able to implement that promise?
Lord Ashton of Hyde
Of course the noble Lord is right that, before that promise was made, everyone knew that Parliament had agreed that responsibility for the concession fell to the BBC. It was in the BBC’s hands. That is why the Secretary of State has frequently said that he expected the BBC to continue that concession. Do not forget that the BBC has had since 2015 to accept that. This is not some small SME; this is a £5 billion company which has substantial revenues not only from the taxpayer but from its own resources. It could do that. It knew exactly what deal it had gone into. That was not only agreed but promoted by the director-general as being a good deal for the BBC.
Lord Sherbourne of Didsbury (Con)
My Lords, will my noble friend take time today to look at the Hansard of 21 January this year and read the speech of the noble Lord, Lord Lipsey, who cited the Social Metrics Commission, which showed that more than 80% of over-75s are not in poverty? He went on to say that the policy of giving all over-75s free licence fees,
“is misdirected and does not survive contact with the facts”.—[Official Report, 21/1/19; col. 582.]
Lord Ashton of Hyde
My noble friend is right that when the Government make these giveaways, if you like, they should take the future ramifications into account. This would cost more than £1 billion by the time the next charter review is due, which is why we expected the BBC to agree it. He is right that this is about fairness, which is why the BBC decided that the least well-off pensioners will still receive the over-75 credit. Indeed, because it has been universally taken up by the over-75s, there is a very good chance that more people will receive pension credit as a result.
Lord Addington (LD)
My Lords, is it not fair to say that the BBC is there to provide content that everybody can access, and that we should not lose sight of that as its primary function? Asking it to do something else, such as subsiding a government policy from another department, is bound to end in tears sooner or later. This just happens to have ended in tears now.
Lord Ashton of Hyde
I agree that providing content is an extremely important, if not the primary, purpose of the BBC but, as I said, it is not an unsophisticated organisation: it can do many other things besides that, including organising its budget. That is why the director-general said that the deal was good for the BBC.
Lord Hay of Ballyore (DUP)
My Lords, no matter how the Government square the circle here, this is a broken promise. Many people out there feel totally betrayed. This will drive many pensioners below the poverty line, especially in Northern Ireland where we face serious unemployment, higher than anywhere else in the United Kingdom. Pensioners are suffering. Asking pensioners over 75 to pay for a television licence will not solve the real long-term issues facing the BBC. An Urgent Question does not resolve this issue; I ask the Government to look at having a full debate in the House so that we can all say what we need to say.
Lord Ashton of Hyde
My Lords, on Thursday this week, there will be a debate in the name of the noble Lord, Lord Foulkes, on this subject and others, such as pensioner poverty and free transport. The noble Lord, Lord Hay, will have an opportunity to debate the matter further then.
Heritage Rail: Young People
Lord Ashton of Hyde Excerpts(4 years, 11 months ago)
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The Parliamentary Under-Secretary of State, Department for Digital, Culture, Media and Sport (Lord Ashton of Hyde) (Con)
My Lords, I am very grateful to the noble Lord, Lord Faulkner, for tabling this debate on such an interesting area of our national heritage. I can honestly say that I have greatly enjoyed this debate, because I have agreed with every speaker tonight. I thank all noble Lords for their contributions.
I enjoyed the stories of all noble Lords’ local railways, particularly the description by the noble Lord, Lord Jones, of his local heritage railway and the engines that run on it, because that is my local heritage railway as well. Perhaps it is just that, as my daughter was delighted to tell me the other day, I was described on Twitter as “Lord of the nerds”. The noble Lord is definitely on the right on end, not the right scruff end, of the trainspotter continuum.
I enjoyed the fact that the noble Lord, Lord Grocott, even managed to bring Brexit into this debate, but I am certainly not going down that branch line. He also talked about the variety of skills involved—as did many other noble Lords, including the noble Lord, Lord Snape. I absolutely agree with this. It is not just the specific skills to do with things such as boilers and engines but, as the noble Lord, Lord Grocott, outlined, many different skills—including timekeeping and timetabling, which he did not mention; in heritage railways, they tend to stick to the timetable—which give a structure to young people which they sometimes do not have. They can take those skills, as he said, on to employment. The noble Lord, Lord Snape, agreed from his experience of this, and I will certainly take back to the relevant department his remarks about the statutory consultation.
We should therefore celebrate what our railway heritage involves and ensure, as every noble Lord said, that the next generation is endowed with the skills and the passion to protect this legacy for future generations. I too record my thanks to the heritage rail APPG and especially to Chris Austin, who has also been mentioned.
Many noble Lords mentioned that heritage railways are major contributors to the visitor economy, attracting around 13 million visitors and bringing in an estimated £250 million to the economy annually—although the figure quoted by the noble Lord, Lord Faulkner, was £400 million. This has created an increasing amount of paid jobs as well as volunteering, with more than 3,000 people now employed on heritage railways. Of course that is dwarfed, as has been said, by the 22,000 wonderful volunteers who give their time and expertise for free to ensure the continued success of the heritage railways. However, many of them are retired, older people who will physically not be able to continue this work indefinitely, as much as they may wish to. We therefore have to ensure that we are enabling young people to take up the mantle to ensure the future sustainability of the heritage asset we have.
Therefore, as encouraged in the APPG report, I was pleased to see the introduction last year of a level 3 apprenticeship for heritage engineering technicians, which includes an option to acquire technical skills for the restoration and repair of locomotive steam engines. In only a few months since it was made available, 25 young people have elected to take up this apprenticeship, and I hope that many more will follow in their footsteps.
The APPG report outlines in its first recommendation the importance of involving young people in railways; the right reverend Prelate mentioned this, understandably, as did several other noble Lords. My department’s long-term Taking Part survey supports this and shows that if people visit heritage sites while they are of school age, they are more likely to visit as adults. Heritage railway museums are doing well on that score. An impressive 45,000 education group visits were made to the National Railway Museum in York and Locomotion in Shildon in 2018-19—which are part of the Science Museum Group, which is the most-visited group of museums in the UK by education groups. Both those museums offer a schools programme with strong curriculum links and a focus on STEM skills. It would of course be remiss of me as a Culture Minister, especially in this debate, not to be quite clear that we also value the benefits of STEAM subjects.
The need to encourage and increase the uptake of STEM skills has been clearly identified and prioritised by government over the last few years. The Government’s national Year of Engineering campaign in 2018 was designed to increase awareness and understanding among young people aged seven to 16 of what engineers do, and to showcase the many different routes into engineering careers. The National Railway Museum—which, as I said, is part of the DCMS-supported national museums network, the Science Museum Group—contributed to the Year of Engineering campaign through its Future Engineers initiative, a half-term programme which attracted nearly 30,000 visitors. Notably, 47% of the engineers involved in the Future Engineers programme were female. In light of the recommendation in the APPG report to “demystify” railway jargon to encourage young women’s involvement, promoting positive female role models in the sector seems a helpful step in this direction.
Virtually every noble Lord mentioned the Employment of Women, Young Persons and Children Act 1920, and it is apparent in the APPG report, as the noble Lords, Lord Faulkner of Worcester and Lord Berkeley, explained very clearly, that the interpretation of the Act presents a barrier to encouraging under-16s into volunteering opportunities on heritage railways, of which we all approve. Of course we want young people to have access to as broad a range of volunteering opportunities as possible. The noble Lord, Lord Rosser, referred to some remarks I made three years ago. We should strive to build on the momentum created by the Year of Engineering to encourage enthusiasm for heritage railways.
Of course, it is paramount that we ensure the health and safety of all young people in employment, whether in a paid or voluntary capacity, but that is not incompatible with young people volunteering on a heritage railway. There are clear and multiple benefits in doing so. Rather, we must ensure that appropriate safeguards are in place.
As I said, the noble Lord, Lord Rosser, referred to my comments. I said at the time that it was left for the Office of Rail and Road. He also referred to the comments of the Commons Minister. I should make the point that, very shortly after, he lost his seat, but I do not think it was connected with those remarks. I am encouraged to hear from noble Lords that a potential solution has been found to the issue through the use of a statutory instrument under the Health and Safety at Work Act 1974. My officials are currently seeking confirmation from the Department for Work and Pensions, whose responsibility this is, together with the Health and Safety Executive. I confirm to the noble Lord that I am very happy to convene a meeting to take that forward with the Department for Transport and the DWP. Indeed, I warned the DWP Minister this morning that that might be a likely outcome.
The noble Lord, Lord Shutt, mentioned that the APPG report was almost unique in not mentioning money, but money is important. The UK’s largest heritage funder, the National Lottery Heritage Fund, has awarded more than £163 million to more than 450 rail-related projects, such as the Boiler and Engineering Skills Training Trust to address disappearing skills, and to the Welsh Ffestiniog and Welsh Highland Railways for its heritage skills training programme.
Briefly, because I do not have very long, I wanted to mention coal, which the noble Lord, Lord Jones, mentioned. Obviously, we appreciate the need to reduce public health risks, but we are working carefully to consider how we might achieve a successful balance between enhancing environmental and public health protection and ensuring that the UK’s heritage vehicle industry—and, indeed, heritage houses that burn coal in grates—continues to thrive. My officials are meeting counterparts at Defra next week to discuss this, and Defra Ministers have previously publicly stated:
“The proposals in the consultation on domestic burning would not prevent heritage railways purchasing the fuels they need”.
We will progress the issues around the 1920 Act, I hope, although, as I say, we must ensure that health and safety is right, so the DWP will be involved. I think that is a better way forward and more likely to succeed than primary legislation.
We fully recognise the enormous benefits that heritage railways bring to the UK’s economy and tourism industry. We welcome the contributions of organisations such as the Heritage Railway Association and wish them every success. We stand ready to support them in securing the sustainability of this industry for future generations.