Prison Capacity Strategy

Lord Beith Excerpts

Tuesday 17th December 2024 Lords Chamber

[Lord Keen of Elie (Con)]

My Lords, we are concerned here with the Statement made and also with the Written Statement delivered the day before by the Secretary of State for Justice. Both refer to the 10-year prison capacity strategy; indeed, it is described by the present Government as “their” 10-year prison capacity strategy.

What we have heard and what we have read might be described as good and original. Unfortunately, what is good is not original and what is original is not good. The first apparent innovation that we are referred to is the annual statement on prison capacity. In the Written Statement on 11 December, the Secretary of State for Justice referred to the

“first Annual Statement on prison capacity”,

describing it as fulfilling a “transparency commitment for 2024” and a necessary step in “our plan”.

The Oral Statement given by the Secretary of State’s junior Minister in the Commons repeated news of this innovation: that the Government were to publish an annual statement on prison capacity, which would be a “critical” step. It is all about transparency, clarity and public confidence. But let us wait: 16 October 2023 was before the election. We had a Conservative Government and a Conservative Secretary of State for Justice, the right honourable Alex Chalk. What had he to say in the other place? He said:

“To ensure public confidence, a new annual statement of prison capacity will be laid before both Houses. It will include a clear statement of current prison capacity, future demand, the range of system costs that will be incurred under different scenarios and our forward pipeline of prison build. That will bring greater transparency to the plans and will set out the progress that is being made”.—[Official Report, Commons, 16/10/23; col. 59.]


I do not believe the Minister or his officials will require the column reference as the Statement made by the then Secretary of State for Justice is, in effect, repeated verbatim in this novel and innovative Statement that we have received in the last few days.

There is a difference. The right honourable Alex Chalk referred to a new annual statement “of” prison capacity. The new Government repeatedly refer to a new annual statement “on” prison capacity. Are we to infer that the innovation lies in the change of preposition? I can discern no further distinction between the two. What we are in receipt of is the cut and paste of the Conservative Government’s policy announced more than a year ago.

Then there is a second innovation in this new prisons programme, as reflected in the policy paper. We are told of new prisons in Yorkshire, Leicestershire and Buckinghamshire. The Secretary of State for Justice referred in her Statement on 11 December to “rapid deployment cells”. In the foreword to the prison capacity strategy document itself, the now Secretary of State for Justice tells us that this document is our 10-year prison capacity strategy.

“It sets out how this Government will build the 14,000 prison places … It is a detailed plan setting out where these places will be built … As such, it is a realistic but ambitious plan for prison building—a far sight from the empty rhetoric and disappointing reality of my predecessors’ previous efforts”.


Paragraph 8 of the document, under the heading “New prisons”, says:

“We will deliver … new places through new prisons”.

It explains that these are to include new prisons in Yorkshire, Leicestershire, Buckinghamshire, and Lancashire; and there will be “rapid deployment cells”, which are defined as “modular self-contained units”.

More innovation—but let us wait a moment. The construction of the rapid deployment cells at His Majesty’s Prison Millsike was announced by the then Secretary of State for Justice, the right honourable Alex Chalk, on 12 February 2024. With respect to the new prisons programme, His Majesty’s Prison Five Wells and His Majesty’s Prison Fosse Way opened before the election.

The construction of His Majesty’s Prison Grendon in Buckinghamshire was approved by the Conservative Government before the election. The plan for a third prison in Buckinghamshire was approved in January 2024. Construction of the new prison next to His Majesty’s Prison Gartree in Leicestershire was approved at about the same time.

The so-called “innovation” of the new prison programme is yet another case of cut and paste. There is reference to “empty rhetoric”, but whose? If the Minister were to submit this paper to his tutor, it would be marked in bold red, “Wretched plagiarism”, and down-marked again for failure to acknowledge his sources. It is a third-class effort.

There is one example of innovation by the present Secretary of State for Justice and her department. We know that something like 73,000 cases are pending in the Crown Courts. We know that, on any day, 10% to 30% of Crown Courts are shut. The number of prisoners on remand is still set to increase. Only recently, the Lady Chief Justice called for an additional 6,500 judicial sitting days in order that, in the face of such increase, the Crown Court could operate at maximum capacity.

What innovation did this Government bring to bear? They agreed not to 6,500 additional sitting days but to 500. Then, I believe today, there has been a suggestion that a further 2,000 sitting days will be found. Whether they are freed up in light of the move for an increase in magistrates’ sentencing powers from six months to 12 months or otherwise is not clear. But that still leaves a further 4,000 judicial sitting dates which are not going to be utilised in the face of this backlog.

Yet, at the same time, there seems to be consideration of such innovations as judges sitting with magistrates and not with juries. Will the noble Lord please enlighten us as to why the Chief Justice’s suggestion, nay request, for 6,500 additional sitting days that are available has not been met.

I have the highest regard for the Minister and his commitment to prison and sentencing reform, but over a long and successful business career he will have been face to face with a lot of cobblers. This 10-year strategy is simply a cut and paste of existing policy projects, and we need more from this Government than empty rhetoric.

[Lord Beith (LD)]

My Lords, I agree with the noble and learned Lord about the need to address the remand prisoner situation with more sitting days, but on other parts of what he said, I hope he is wrong. If there is that much continuity between the policies of the previous Government and this Government, we are not going to get out of the difficulties that we face.

There is no doubt about the appalling state of our prison system which the Government have inherited. They took over a system which was supposed to provide 20,000 extra prison places while coping with massive overcrowding, a shortage of experienced staff and a penal philosophy which called for even longer sentences. There is a desperate shortage of the resources needed to reduce reoffending, either by programmes during custody or by supporting ex-prisoners on the difficult route to leading a better life and keeping the law.

We do not want to see this Government repeat the failures of their predecessor. Given his practical and personal experience in resettling and employing ex-offenders, we believe that the Prisons Minister understands the problems and is personally committed to changing the way we address them. But the Statement does not really inspire confidence and nor does the strategy. It rests on two assumptions, the first of which is that the increase in prison places will be achieved. I have to say that I am doubtful about that on the basis of experience, and even if achieved, it is recognised that it is not enough. That will not solve the problem. We cannot build our way out of this situation.

The other key assumption is that the sentencing review—which we welcome—will reduce the pressure for yet more places to be provided, even on the numbers the Government have given. That depends on whether there is political leadership to implement the radical ideas the commission will have to come up with if it is going to change the situation. We want to know whether that leadership is there. The public and media debate has to be taken forward. Tough talk leads to bad decisions. Excessive use of custody, which is hugely expensive, ensures that neither the prisons nor the probation system can devote the effort to the rehabilitation needed to cut crime.

It is time to be straight with the public. It is time to tell them that the Government are spending their taxes on a system which we know leads to prisoners reoffending. We know it leads to more prisoners and less rehabilitation, as well as to more reoffending, and it has got to change. When a crime is committed, victims and the public want the offender to be caught, tried, made to face the consequences of the hurt and damage they have caused and set up to lead a better life in the hope that they will not repeat their offences either towards the victims or towards anybody else.

In some cases, prison is essential for public protection; in others, there are more effective community sentences which, for many offenders, are more challenging than a spell in jail. It is not sensible to use the length of a custodial sentence, as we do these days, as the index of how seriously we take a crime. That way lies wasted money and more reoffending on release. Is the political leadership prepared to say that kind of thing? With a former DPP as the Prime Minister, it ought to be possible.

I put to the Minister a simple question: why does this country lock up more criminals for longer than most other west European countries?

[The Minister of State, Ministry of Justice (Lord Timpson) (Lab)]

I thank the noble and learned Lord, Lord Keen, and the noble Lord, Lord Beith, for their comments. We are all aware that we have a problem. The problem is that the prison population increases by 4,500 people a year. In the summer, when I was six weeks into this job, we were 99.9% full: in fact, we had fewer than 100 spaces in our prisons. It was clear that this was not just a problem, it was a very dangerous problem. We are now running at 97% or 96% in the male estate and can already see the benefits of that. But we need to keep building new prisons, and we got planning permission for HMP Garth earlier this month. We do not just need new prisons; we need new house blocks and to ensure that we do not lose cells.

We cannot build our way out of the difficulties we have; we also need sentencing reform. As noble Lords are aware, David Gauke is leading a sentencing review, which will be concluded by the spring. We need to make sure that demand and supply are in balance, because we always need to have space for the police to arrest and charge people and put them in prison. Interestingly, last week I went to Spain to visit the prisons over there. It has 15,000 spare cells, which we can only dream of here. Unsurprisingly, when I went round the prisons there, things were much calmer than they are here.

How will we get more capacity? We have to create these 14,000 prison places. The cost is very high, and much higher because of the delays in the previous Government’s building. But the other real problem is that we have had a net increase of only 500 prison cells because so many have been lost and prisons have been sold. One of the things that is really important is to make sure that we do not lose prison places and prison wings. I am looking forward to visiting HMP Millsike before Christmas and seeing what a good, environmentally state-of-the-art prison looks like. But I have also been recently to HMP Manchester and HMP Winchester, both of which had urgent notifications, to see the other side of the coin, where prisons need serious investment. I am pleased that we have managed to find £500 million to invest.

We have many great prisons as well. We need to future-proof things and to keep buying land on top. In my old job, every day I was looking at the sales figures of our retail chain; now I am looking every day at the prison population and seeing how much capacity we have. I am pleased to say that, so far, our numbers are slightly under the projection we have been looking at.

I have seen a number of rapid deployment cells and the issue with them is that, even though we do not have a choice—we need to do them—the extra cost is not just in the cells but in the extra visitor centre space, extra kitchen space and so on. That is why it is not just a cheap temporary option; it is an expensive temporary option.

On Crown Court backlog days, I am very pleased that colleagues have found more headroom and we have managed to get 2,500 extra sitting days; and the magistrates’ courts going from six to 12 months will free up 2,000 extra days. It will help with the remand population—17,000 is a significant issue—but it is still not enough.

Yes, we need to build prisons. Yes, we need the sentencing review, and to wait and see what the conclusions are. We always need prison cells for dangerous people. We need to incentivise prisoners to turn their lives around. But we also need to punish people outside of prison as well. We need to work hard when we see the conclusions of that review.

We need to focus also on reducing reoffending, because 80% of offending is reoffending. As noble Lords challenged me to do, I need to focus on delivering these new prison places so we do not run out of space, but I also need to really focus on delivering reduced reoffending, so over time our prisons are less full because people are reoffending less.

As we all know, there is a very complex job to do. We are dealing with the most complex people in the country and a system that is the most complex. It is a privilege for me; it is my dream job to do this. I am looking forward in the new year to starting to deliver on my plans. We are now in a position where we have overcome the immediate capacity problems. We can use the headroom, even though we have only minuscule capacity space compared to the Spanish. It is important that we use that time to focus on education, purposeful activity, people addressing their drug and mental health problems, and helping them so that when they get out, they stay out.

Legal Aid: Social Welfare and Family Law

Lord Beith Excerpts

Monday 18th November 2024 Lords Chamber

[Lord Ponsonby of Shulbrede (Lab)]

Of course, I am sympathetic to the point the noble and learned Baroness makes. As she said, I have substantial experience of dealing with litigants in person in family courts. The debate about early legal advice is also being considered as part of the allocation arrangements as a result of the Budget, but I am sympathetic to the point she makes.

[Lord Beith (LD)]

My Lords, is the Minister concerned about the combined effect of the restrictions on scope for legal aid, the enormous complexity of trying to get an exceptional circumstances funding application through, and the creation of advice deserts in many parts of the country? These are severe barriers. The Minister has been strongly in support of legal aid over many years, as I know well, but does he have any hope of making progress on this matter?

[Lord Ponsonby of Shulbrede (Lab)]

I thank the noble Lord for that question, specifically on the point of advice deserts. There is no doubt we are facing substantial challenges in that respect. The previous Government allowed the number of duty solicitors available to drop by 26% between 2017 and 2023. The MoJ and the Legal Aid Agency are working with providers where there are specific issues; for example, setting up a list of providers available to provide immigration advice to clients in the south-west.

Arbitration Bill [HL]

Lord Beith Excerpts

3rd reading
Wednesday 6th November 2024 Lords Chamber

[Lord Ponsonby of Shulbrede (Lab)]

My Lords, the Bill has now benefited from the scrutiny of two parliamentary Sessions, following its introduction in the last Parliament and examination by a Special Public Bill Committee. It has undergone further scrutiny since its reintroduction by this Government.

I take this opportunity to thank some of the noble Lords who have engaged with and supported the Bill over the past year. I begin by thanking the noble and learned Lord, Lord Thomas of Cwmgiedd, in chairing the former Special Public Bill Committee. He marshalled and managed truly expert feedback on these reforms from across the arbitration sector and the judiciary. The committee process resulted in several technical improvements to the Bill, introduced by the noble and learned Lord, Lord Bellamy. I also extend my thanks to the noble and learned Lord for his commitment to driving forward these reforms, while always recognising the importance of getting the details right.

The Bill has been improved during this Session’s Committee stage too, thanks in no small part to the considered and well-informed input from the noble Lords, Lord Wolfson and Lord Verdirame, and the noble and learned Lord, Lord Mance, who advised that the previous Clause 13 did not adequately reflect the case law on arbitral appeals that it sought to codify. We remedied this issue through my amendments in Committee, fixing a long-standing error in what is otherwise considered a supremely well-drafted framework. Based on sector feedback, the Government also made an improvement to Clause 1 ahead of introducing the Bill a second time, ensuring that its default rule on governing law did not apply inappropriately to certain investor-state arbitrations.

I am also grateful to my noble friend Lord Hacking for his contributions, both as a member of the former Special Public Bill Committee and as an active participant throughout the Bill’s passage. I appreciate his continued interest in full and proper arbitration law reform, after witnessing at first hand so much of its development over many years.

The legislative scrutiny provided by this House has served only to give optimal effect to the Law Commission’s recommendations, made after two extensive consultations. I record my thanks to Professor Sarah Green and her colleagues at the commission, Nathan Tamblyn and Laura Burgoyne, for their brilliant work. I also thank the Bill managers, Iona Bonaventura and Harry McNeill Adams, along with the government lawyer, Wan Fan, the parliamentary counsel, Helen Hall and Neil Shah, and my policy lead, Lee Pedder. I also thank my private secretary, Paul Young.

The measures within the Bill have been much sought after by our arbitral community. I am hugely grateful for its support and engagement with these reforms since the Law Commission’s first consultation.

I conclude by reminding noble Lords of the Bill’s benefits. By reforming and modernising our arbitral framework, it will make dispute resolution more efficient, attract international legal business and promote UK economic growth. We pass the Bill to the Commons in excellent condition, and I hope its passage can be completed swiftly. I beg to move.

[Lord Beith (LD)]

My Lords, the noble Lord, Lord Ponsonby, and I share the distinction of being the only people participating in the proceedings on the Bill who have neither presided over arbitration nor appeared before arbitrators. We have had a panoply of very expert noble Lords taking part in proceedings, none more so than the noble and learned Lord, Lord Thomas of Cwmgiedd, and the Public Bill Committee.

This is an important—although small—Bill, because it will effectively underpin an important export earner and an important opportunity for this country to assist in many issues across the world, because of the popularity of London as a centre for resolving disputes. It has had two Law Commission consultations, a very well-argued Law Commission report, excellent drafting and two processes through the full proceedings of this House. Not much legislation gets all that. As a consequence, we can be pleased about what has been achieved and wish it well in the Commons.

Criminal Justice System: Capacity

Lord Beith Excerpts

Tuesday 22nd October 2024 Lords Chamber

[Lord Keen of Elie (Con)]

My Lords, I begin by thanking the Minister for engaging with me in correspondence last week, in which he calmly set out his reasoning for the present policy proposal. I express my deep sympathy to him for having to respond to questions on a Statement from the other place that is heavy in hyperbole and very weak on reasoning.

What is particularly surprising is that by this morning, the Justice Secretary, who made the original Statement in the other place, was conceding in an interview that this is not a problem you can build yourself out of.

Where did this policy originate? The last Labour Government, while recognising the obvious link between sentencing and prison capacity, decided to advance a policy that relied on prison capacity being predicted and adjusted to accommodate sentencing policy, rather than sentencing policy taking account of prison capacity. The Centre for Criminology at the University of Oxford described this “predict and provide” policy as flawed. The then president of the Prison Governors Association described the then Labour Government’s policy as

“an out-of-control demand met by the provision of little more than penal warehousing”.

The noble Lord, Lord Dubs, then chair of the prison policy group, described the policy as “simplistic”.

What did the then Labour Government do? They announced plans for the building of three titan prisons with massive capacity. What did they do next? They announced the abandonment of plans for three titan prisons with massive capacity and announced plans for the building of five new prisons. If we could find them all, we might utilise their capacity, but the fundamental issue here is not prison cells but penal policy. It is not only obvious but well established that if you increase sentencing powers, sentences increase. Magistrates, like science, cannot resist a vacuum. They will fill it. Increasing sentencing in the magistrates’ court may well relieve some pressure on the Crown Court, but it is liable to increase pressure on reception prisons and category C prisons.

What will that impact be? We have no impact assessment, but the means to carry out such an assessment are potentially available. During the pandemic, the sentencing powers of magistrates were temporarily increased from six to 12 months. It should be possible to correlate this with the impact on reception prisons and category C prisons. Why has that not been done?

I note the Government’s most recent decision, which is to appoint the former Conservative Justice Secretary David Gauke to carry out a review. I applaud their decision to call on his expertise and ability to properly inform them as to what they should do next.

I come on to the question of early release, which is connected to this proposal over sentencing. If the Government are to release more prisoners in the next few days, will they please try to release the right ones? Last time, they released dozens of prisoners who did not qualify for release and dozens of prisoners who had breached restraining orders and should never have qualified for early release. Of those who did qualify for early release, some were let out on licence without an electronic tag, which might have made it a little difficult to work out where they had gone.

In coming to a conclusion, I observe that the marrying up of social policy, penal policy, sentencing policy and prison capacity in the context of recidivism, extensive substance abuse, mental health issues and the requirements for care in the community and family support raises complex issues, particularly when the Treasury will rarely, if ever, invite the Ministry of Justice to the front of the spending queue. Those issues have to be addressed as a whole and, in my respectful view, they are not well served by a simplistic statement of blame, which was essentially what was delivered in the other place.

I conclude by thanking the Minister once again for his reasoned and calm engagement on this topic and I look forward to his response.

[Lord Beith (LD)]

My Lords, the noble and learned Lord, Lord Keen, gave us some interesting historical context, but I had expected an apology—or at least a guilty plea, with the plea in mitigation that he chose to leave the previous Government before the ceiling really started to fall in. They left an appalling situation: overflowing prisons, a huge backlog of untried cases, record numbers of remand prisoners, and victims seeing no outcome or closure to what they had suffered. This Government now have to deal with that, and they are running out of their few options to do so. I welcome their decision to have a fundamental review of sentencing policy and to invite David Gauke to carry it out. I very much agree with the noble and learned Lord on that; he is a good choice and I wish him well in the task.

Why are we filling prisons with more offenders than any other western European country? Why are we failing to recognise that we are putting resources into a prison system that is institutionally ill equipped to do the kind of rehabilitative work that is clearly necessary? Unless we see a significant reduction in prisoner numbers, what hope is there that rehabilitation programmes can work in prisons?

With so few options available to them, it seems logical and sensible for the Government to make use of the available time of magistrates who are willing to sit on more serious cases, freeing up time in Crown Courts. However, last time, this was not found to be very effective; it led to an increase in the demand for prison places. The Lord Chancellor conceded in the Commons:

“That is what happened and what I expect to happen again”.—[Official Report, Commons, 17/10/24; col. 1011.]


It is not even a temporary solution. Do these plans overlook the possibility that some defendants will opt for a jury trial when they no longer have the incentive that magistrates can sentence them only to six months? That means longer sentences and larger prisoner numbers. Will special training be provided to magistrates to try to ensure that good use is made of them in cases dealing with more serious offences that require a longer sentence, but that the new powers do not simply inflate sentences that would otherwise have been given to potentially shorter-sentence prisoners?

The Lord Chancellor has said, and I agree with her, that

“people have to know and believe there are consequences to breaking our laws”.

This is not achieved when prisoners are released without completing their sentences or any serious regard to why they were imprisoned for a long period. Neither is it achieved by using a significant part of our resources in a prison system which is ill equipped, ill resourced and ill prepared to rehabilitate offenders. If this announcement buys the Government some time, can we have some reassurance that it will be used for fundamental change?

[The Parliamentary Under-Secretary of State, Ministry of Justice (Lord Ponsonby of Shulbrede) (Lab)]

I thank both noble Lords for their questions. I will first address some of the points made by the noble Lord, Lord Beith, and then turn to the noble and learned Lord, Lord Keen.

On the noble Lord’s final point about buying time, that is the Government’s objective with SDS40; the standard determinate sentencing going from 50% down to 40% is indeed to buy time. As he will know, there was a Statement in the House of Commons today on a sentencing review, which we are very grateful that David Gauke has agreed to chair. That Statement will be repeated in this House in due course, so we can debate the issues raised in it.

The noble Lord, Lord Beith, asked some specific questions, including whether increasing magistrates’ sentencing powers from six to 12 months will incentivise defendants to opt for jury trial. In the brief interlude when that happened before, there was no statistical data to say that might be the case, so on that particular example we are confident that there will not be any appreciable increase in the number of defendants opting for a jury trial.

As far as training goes, there will be refresher training available to magistrates. When I was in opposition, I personally did the training for the increase in sentences. It was not that long ago, but if some magistrates feel they want the refresher training then it will be available to them.

The central point that the noble Lord made was about filling up prisons. As my noble friend Lord Timpson often reminds me, if you do nothing then the prison population will go up by 80 a week. That is the reason we are initiating this review of sentencing, which will get under way very quickly.

The closing remarks of the noble and learned Lord, Lord Keen, were much more acceptable than his opening remarks. In his closing remarks, he acknowledged the complexity of the situation, that there are many interacting factors in the situation we have arrived at today, and that there needs to be a multifaceted approach to try to turn the tide on the ever-increasing number of people we find in our prisons. I agree with the point he made in his closing remarks.

I think the noble and learned Lord might have been tweaking my nose with his other point. He said that magistrates cannot resist a vacuum, but he knows that that is absolutely not true. Magistrates sentence within the sentencing guidelines, as do district judges. The problem with magistrates and district judges is that they sentence quicker than Crown Courts, not that they sentence more harshly. I see that the noble Baroness, Lady Sater, is nodding her head, because she knows that what I have said is correct.

The overall objective of this announcement is to increase magistrates’ sentencing powers back from six to 12 months. I look forward to answering more questions from other noble Lords on that matter.

Arbitration Bill [HL]

Lord Beith Excerpts

Committee stage
Wednesday 11th September 2024 Lords Chamber

[Lord Thomas of Cwmgiedd (CB)]

My Lords, I agree with both the noble and learned Lords, Lord Hope and Lord Hoffmann, that this amendment ought not to be accepted. However, it seems to me, as the noble and learned Lord, Lord Hoffmann, said, that everyone agrees with the sentiment behind what the noble Lord, Lord Hacking, has proposed.

I had thought that we had agreed how to deal with this matter when the then Minister dealt with it at a hearing of the Special Public Bill Committee. I raised this point by way of an amendment to the old Arbitration Act. The Minister agreed, in response to that, that he would write to the arbitral institutions and we would see what the best practice was. I had assumed that all that would be made public, and I am entirely at a loss to understand why the letters that were written and the responses have not been made public. It would be extremely helpful to have all this information put into the public domain to show, for the benefit of London, what was being done to address this point. As I understand it, these were documents written by the Minister in his capacity of trying to deal with a problem that had arisen and was discussed in this House. It would be very helpful to have a discussion and look into the matter in detail. If something needs to be done—more than is being done—we can return to it. Certainly, we ought not to delay the Bill by this amendment.

[Lord Beith (LD)]

My Lords, in our Second Reading debate on 30 July, I asked the Minister to respond about these consultations that had taken place, which he did in a letter on, I think, 15 August. He set out in some detail the various ways in which the existing system deals with corruption.

It would be beneficial, as the noble and learned Lord has just pointed out, if the documents which the Minister was summarising were themselves made public, with the consent of the relevant organisations, because there is a lot of detail here that needs to be discussed. Indeed, the remarks of the noble and learned Lord, Lord Hoffmann, illustrate that we cannot proceed on the matter of this amendment without some pretty extensive discussion about how it could work and how it affects the role of the arbitrator. Although I am very sympathetic to the amendment, to try to introduce it at this stage would be an unnecessary delay to a Bill that has had quite a lot of delays already, not least because of the general election. That would be an unfortunate consequence.

The most reassuring thing in the Minister’s letter is the reminder that the case to which the noble and learned Lord, Lord Hoffmann, referred, and in which he was directly involved, was of course dealt with in the High Court. The High Court set aside the results of the arbitration, having discovered the corruption that had occurred. This is a demonstration that, even without new statutory provision, our system can deal with corruption of this kind. It is still there, however. There is a lot of corruption about and it is quite likely that it will emerge or be present in matters that are the subject of arbitration, particularly between states and very large commercial undertakings.

I therefore do not think that we should be content simply to set aside the amendment that the noble Lord, Lord Hacking, has introduced, but I do not think that we should attempt to insert it into the Bill at this stage. We should seek to establish whether both the substance of the law and our ability to enforce it would be improved by new statutory provision, and I am not yet persuaded that that is so. We strongly support the Bill and do not want to see its progress delayed.

Arbitration Bill [HL]

Lord Beith Excerpts

Committee stage
Wednesday 11th September 2024 Lords Chamber

[Lord Ponsonby of Shulbrede (Lab)]

My Lords, in this group I will speak to Amendments 3 and 4, tabled in my name.

It has come to light that Clause 13 does not adequately codify the case law on appeals under Part 1 of the Arbitration Act 1996. I have tabled Amendment 3 to replace Clause 13 and correct the root cause of this issue: a drafting error in the 1996 Act that provided for an incorrect approach to appeals under Part 1 of the Act. Allow me to explain both the underlying issue and the approach I am taking to resolve it.

Clause 13 of this Bill as introduced seeks to codify case law regarding leave to appeal decisions on staying legal proceedings under Section 9 of the 1996 Act, namely the House of Lords decision from 2000 in Inco and First Choice Distribution. As such, the current Clause 13 inserts into Section 9 provision that

“the leave of the court is required for any appeal from a decision of the court under this section”.

During the passage of this Bill, certain noble and learned Lords raised the point that Clause 13 as drafted would permit leave for appeal to be sought only from the High Court—the High Court being what is meant by “the court” in the provision. However, the current situation established by case law provides that leave to appeal can be sought directly also from the Court of Appeal. It seems that Clause 13 as drafted would have the effect of inadvertently narrowing the existing position, which was never the intention.

The root cause of this issue is that the 1996 Act made an incorrect consequential amendment to Section 18(1) of the Senior Courts Act 1981 and Section 35(2) of the Judicature (Northern Ireland) Act 1978. In Inco and First Choice Distribution, the late Lord Nicholls of Birkenhead identified that this provision in the Senior Courts Act was originally meant to give effect to restrictions on the right to appeal contained in Sections 1 and 2 of the Arbitration Act 1979. The Senior Courts Act then needed updating to reflect additional appeal restrictions in the 1996 Act. But, as Lord Nicholls put it,

“for once, the draftsmen slipped up”.

The provision in the Senior Courts Act, when read literally, suggests that no appeals against decisions under Part 1 of the 1996 Act are allowed, except where expressly provided for in the 1996 Act. However, the intended and correct position is that appeals are indeed permitted unless expressly restricted by the 1996 Act. Due to this misunderstanding, Clause 13, in inserting its express language on appeals into Section 9 of the 1996 Act, establishes restrictions on those appeals. Accordingly, the provision that

“the leave of the court is required for any appeal from a decision of the court under this section”,

as used in other sections of the 1996 Act, is intended as a restriction providing that leave under those sections can be sought only from the High Court. As it was not the intention of the Law Commission or the Government to add such a restriction on Section 9 appeals, we must correct it.

Simply amending Clause 13 to permit direct appeals to the Court of Appeal under Section 9 could raise questions about other sections of the 1996 Act and whether similar provision should also be made elsewhere. Deleting Clause 13 would maintain the current appeal process but miss the opportunity to fix the issue properly. This seems remiss, given that the clear objective of this Bill is to refine and clarify our arbitral framework.

Amendment 3 therefore rectifies the underlying issue. It replaces the current Clause 13 with amendments to the Senior Courts Act 1981 and the Judicature (Northern Ireland) Act 1978. These clarify that appeals against High Court decisions under Part 1 of the 1996 Act, including under Section 9, may, subject to provision in that part, be made to the Court of Appeal. This will establish beyond doubt the current position on appeals.

Amendment 3 also necessitates a change to the Bill’s Long Title, which is currently:

“A Bill to amend the Arbitration Act 1996”.


However, under Amendment 3, it will now also amend the Senior Courts Act 1981 and the Judicature (Northern Ireland) Act 1978. This will not practically widen the scope of the Bill, given that it modifies that other legislation only to the extent that it relates to the 1996 Act. Nevertheless, Amendment 4 is required and updates the Long Title, adding “and for connected purposes”. I beg to move.

[Lord Beith (LD)]

My Lords, we support this amendment and are grateful to the Government for bringing it forward. The Minister’s remarks could usefully be framed and provided as an object lesson in the fact that drafting really does matter and that, when it goes wrong, the consequences mount up in subsequent legislation. He illustrated that well.

[Lord Wolfson of Tredegar (Con)]

My Lords, I am personally grateful to the Minister for engaging with me and others on this. These are technical matters, but it is important to get them right. I acknowledge the assistance I have had from my colleague Toby Landau KC, who, as the noble Lord, Lord Hacking, said on the previous group, did a lot of work on the original DAC report. I also acknowledge members of the Law Commission team with whom the Minister and I have both engaged, especially Nathan Tamblyn.

As the Minister said in moving his amendment, in Inco Europe, Lord Nicholls of Birkenhead, with whom the rest of the Appellate Committee agreed, said:

“I am left in no doubt that, for once, the draftsman slipped up”.


He put it in those terms because, again, as the noble Lord, Lord Hacking, said on the previous group, this is an extremely well-drafted Act. It is probably one of the best-drafted Acts on our on our statute book. To pick up the other phrase that Lord Nicholls used in that case, for once, Homer had nodded. This amendment rectifies the position—I am not sure what the opposite of nodding is, but, whatever it is, it puts Homer’s head back upright. I am grateful to the Minister for bringing forward this amendment, which we support.

Arbitration Bill [HL]

Lord Beith Excerpts

2nd reading
Tuesday 30th July 2024 Lords Chamber

[Lord Beith (LD)]

My Lords, the noble Lord, Lord Hacking, has raised the corruption issue, and I will refer to it in a moment. First, I thank him for his contribution and for the insights he gave on Second Reading, in the life before the Arbitration Act 1996, which were illuminating.

The Bill is extremely important. Arbitration is important; it is a major earner for this country. We need to keep our arbitration system up to date, and its legal framework needs to be reliable and able to deal with circumstances that can arise. I am delighted that the noble Lord, Lord Ponsonby, has set out the Bill for us and will respond at the end, and I am grateful for his close interest in it. It is an amazing Bill in that it has been through so many processes that it seems almost inconceivable that improvements could still be made to it. They could, actually, but it might be contrary to the public good if we in any way delayed the Bill, which is now somewhat overdue.

The Law Commission did the work. There were consultations arising out of it. The Special Public Bill Committee did extremely good work on it under the able chairmanship of the noble and learned Lord, Lord Thomas of Cwmgiedd. The noble and learned Lord, Lord Bellamy, was much engaged with it and will no doubt refer to it in a moment. Since the original consideration of that Bill in the previous Parliament, Clause 1 has been amended to deal with the state party issue, which was referred to at the later stages of the Special Public Bill Committee. It was very disappointing that the Bill did not get dealt with in the wash-up, but I welcome the Government having moved quickly to bring it back again. I genuinely believe that we could proceed with it expeditiously. I do not usually argue for shortcutting parliamentary procedures, but the Bill has had a lot of parliamentary procedures and a lot of attention, and I think it is in a fit state to be made statute.

On the corruption issue, which was raised at a relatively late stage in the Public Bill Committee, the noble and learned Lord, Lord Bellamy, in responding, agreed to write to arbitral institutions to see what they were doing to ensure that the arbitration frameworks that we have are not used as a device for money laundering and other forms of corruption to be pursued. I would be interested to know what response he got while he was still in office. To the extent that responses came later, perhaps the Minister can assist us and tell us what indications were given that institutions and organisations were alive to this problem and were looking for ways to ensure that it did not feature largely in arbitrations that were conducted under the terms of the Bill.

We have a very good reputation for arbitration and some of those most experienced in it took part in the Bill’s proceedings. The work they put into it means that this worthwhile Bill deserves an expeditious passage.

Criminal Justice Act 2003 (Requisite and Minimum Custodial Periods) Order 2024

Lord Beith Excerpts

Monday 29th July 2024 Lords Chamber

Thirdly and finally, and slightly more vaguely, will the Minister, as he takes this statutory instrument through—and he mentioned the possibility of further legislation—consider whether there is scope for bringing IPP prisoners within this approach, and seeing that their release at greater pace, although not necessarily in every case, can contribute to the Government’s objective here, which is to relieve the pressure on the prison system? They should not be ruled out as a matter of course but should be looked at on a sympathetic basis where that can be done safely.

[Lord Beith (LD)]

We have all welcomed the Minister in three debates on three successive sitting days, so he has been thrown in at the deep end of parliamentary accountability. However, he has received some pretty sound advice from all the preceding speeches, including in the well-directed questions from the noble Lord, Lord Moylan.

Today what we are faced with from a parliamentary accountability point of view is not satisfactory. We know that the Government are caught in a difficulty whereby they have had to deploy a statutory instrument without it having gone to the Joint Committee on Statutory Instruments, on which I have served. That is a shame, because that committee and its excellent team of advisers go through statutory instruments in great detail and sometimes find mistakes. They occasionally find mistakes that throw into question the validity of the instrument and the ability to enforce it, so I hope that extreme and extra care has gone into the drafting of this instrument, which is quite complicated. For example, there are 54 excluded offences, and many other complications affecting various categories of prisoner. So we hope that it is looked at very carefully—and, in a defect is found, we hope that the Government will come back at a later stage with a revised instrument.

What we have today is not a policy but a response. The Minister gave some indications of how policy might be developed, but we are not there—we are not at that point. We are simply observing a government response to a desperate crisis, which any incoming Government would dread—well, it is happening. It is the result of underinvestment and delayed investment in prison building over a long period and the constant rise in the number and length of custodial sentences, as well as the large rise, to which the Minister referred, in the number of remand prisoners, which itself is largely the result of the huge backlog in serious cases coming to court, as part of the wider chaos that we find in our criminal justice system. I ask the Minister: is it in fact the case, as alleged in the press, that sentencing hearings for prisoners on bail have been deliberately delayed to avoid further sentences sending people into our already overcrowded jails?

We have a prison population that is three times the level it was when I became a Member of Parliament. The noble Lord, Lord Deben, has referred to how that contrasts with other European countries, and I share his concern about the fact that it has happened and that it is so out of line with how most countries view the same problems of crime that we face. The announced prison building programme cannot solve the problem, although it is needed. We have to remember that, when the prison building programme that we have now was announced, much of it was intended to replace unsuitable and inadequate prison accommodation—not to add to the total stock but to replace accommodation that should not continue to be used.

We have a prison system that cannot house its prisoners and cannot rehabilitate them, and we have as a result a completely unacceptable level of violence against prison staff as well as prisoner-on-prisoner violence.

Nothing we are doing today will change this. We have to review the trend of the ever-increasing use of custody. For that to happen—here I repeat what I said last week—we need to strengthen community sentencing and the services necessary to make it effective. We also need to establish a measure of crime and its seriousness which does not make custody the only means by which society can assert its abhorrence of serious and persistent crime. That is fundamental to the problem we have at the moment: the only way society knows how to recognise and deal with crime, as is reflected in the media and in ordinary conversation, is to say that we are not going to put up with these dreadful crimes and so we should put people in jail for longer, even if it is not relevant to the rehabilitation of the offender when they are eventually released. We have to face up to that problem, and that is going to require real leadership, rather than party-political leadership. The Minister has a background that makes him well suited for this; I hope he is given the scope to carry out that kind of leadership.

[Lord Hope of Craighead (CB)]

My Lords, I am intervening just to ask a question. The Minister used the word “stabilised” twice, I think, during his presentation of this instrument—he is looking forward to a stage when the Government can feel that the prison crisis has stabilised. Can the Minister explain a little more of what he means by the word “stabilised”? The point is this, as the noble Baroness, Lady Jones of Moulsecoomb, made clear: we are sending too many people to prison, and therefore one of the ways of stabilising the problem is by addressing rigorously the overuse of prison as a means of punishing crime. I am sure the Minister is well-equipped to carry out that campaign.

The other feature of our present treatment of offenders, particularly serious offenders, is the length of the prison term. I was Lord Justice General in Scotland some years ago, when I had the task of reviewing the tariffs to be imposed on discretionary life prisoners. These are people who, unlike murderers, were sentenced to life imprisonment because of the gravity of the crime they had committed. The average tariff I was imposing in line with what was the current practice then—this was about 20 or 30 years ago—was something like 11 years; now, it is way above that, at 17 or 18 years, or more, and lengths of sentences are going up into the 30s. In my time as Lord Justice General, such lengths of sentences were quite unimaginable, and I am not sure it is doing any good except to keep people in prison longer than ever before. That is why the crisis has grown. There is a fundamental problem that has to be addressed, and I urge the Minister to explain what he means by “stabilise”. Perhaps the Minister could also address more closely—not today, and not even in writing to me, but later, in discussion with officials—how the problem can be corrected, so that we do not find ourselves in two years’ time facing the same crisis we are facing today.

Beyond that, I commend the drafting of the regulation. I think a great deal of thought has gone into the measure. It has been carefully thought through and, as a means of dealing with the crisis, it is exemplary. However, it is the underlying problem that must be addressed, not the particular crisis itself.