Future UK-EU Relationship on Professional and Business Services (EU Committee Report)

Lord Bhatia Excerpts

Thursday 22nd July 2021 Lords Chamber

[Lord Bhatia (Non-Afl) [V]]

My Lords, I fully agree with what the noble Baroness, Lady Donaghy, said in her speech. She has laid out all the parts of the committee’s report, which was unanimous. We must acknowledge that this sector is vital to the UK economy, contributing £224 billion and employing some 4.6 million people. The Government are yet to give their final response to the committee’s report. Can the Minister inform the House when they will do so?

Electricity Capacity (Amendment) Regulations 2021

Lord Bhatia Excerpts

Wednesday 21st July 2021 Grand Committee

[Lord Bhatia (Non-Afl) [V]]

My Lords, I thank the noble Lord, Lord Callanan, for explaining this instrument, and I fully agree with what he has said. In view of this very important matter, can the Minister explain whether this capacity system will create more emissions?

[The Deputy Chairman of Committees (Baroness Finlay of Llandaff) (CB)]

I think that we can now try to return to the noble Lord, Lord Bradshaw. Lord Bradshaw? We will move on to the noble Baroness, Lady Bowles of Berkhamsted.

Professional Qualifications Bill [HL]

Lord Bhatia Excerpts

Committee stage
Wednesday 9th June 2021 Lords Chamber

[Lord Lansley (Con)]

My Lords, I am very glad to speak to my Amendment 18 in this group.

In relation to Amendment 9, moved by my noble friend Lady Noakes, I think she has a point. Somewhere, we should be taking account of the costs that are imposed on regulators, and by extension as they are imposed on the professionals who are themselves regulated. In the previous group, the noble Baroness, Lady Randerson, referred to the material in the impact assessment on that point. Personally, I do not think Amendment 9 puts it in the right place, with great respect to my noble friend. There is a good point for putting it perhaps slightly later in Clause 1, and we may come back to this on Report. It seems that it certainly should be taken into account in the making of regulations under Clause 1; it just is not, at the moment. For example, there are things as to fees being paid in connection with an application but nothing to do with the regulations taking account of the costs on those regulated, including those who are currently regulated in that profession.

Why have I brought forward Amendment 18? The reason is that it relates to the inclusion of

“without unreasonable delays or charges”

at the end of Clause 2(2). What does that do? It is trying to define the circumstances where demand for a professional service is not being met. My fundamental problem with it is that it illustrates this by reference to unreasonable delays or charges. The implication is that this is the criterion by which one measures whether professional services are in sufficient supply.

For example, in relation to the health service, it is very hard to measure why there are delays for treatment. Sometimes they occur because of lack of workforce and sometimes for completely different reasons. It may be incredibly difficult to ascribe delays to simply having insufficient overseas applicants for a particular profession in the health service. Charges will be even more difficult since we do not charge. It may be possible to do this for dentistry but not for most other healthcare professions, since we do not charge consumers for access to services.

Interestingly, my noble friend Lord Grimstone wrote a letter to the Delegated Powers Committee—I think last Thursday—which is in its latest report, published on Monday. There is a paragraph which comes exactly to this point, in which he says:

“The Committee sought further clarification on the point that this demand needs to be met without unreasonable delays or charges. Those words make it clear that regulations can be made where the demand for the services of the profession is, strictly speaking, being met but the consumers of those services are experiencing unreasonable delays or having to pay high charges.”


Demand for those services under those circumstances is not, “strictly speaking, being met”; it is not being met. We do not need to write “unreasonable delays or charges” into the Bill for it to be evident that, in circumstances where insufficient members of a profession are providing services, there are delays in accessing those services; that is plainly the case.

As the end of the same paragraph, the Minister says, rather tellingly, that unreasonable charges and delays

“are illustrative of the considerations that the appropriate national authority would make in relation to this condition.”

“Illustrative” is not what the Bill says. It does not say “for example”, which it might well say. It says

“met without unreasonable delays or charges.”

It specifies those factors, so I think we should take them out. If unreasonable delays or high charges to consumers result from a lack of professional supply and that can be remedied by overseas applications, the appropriate national authority can make such a determination. It does not need the Bill to reference “unreasonable delays or charges” for that to happen.

I hope my noble friend will recognise that, in this respect, I am not trying to argue that delays or extra charges are not important; they are very important and may well be the principle determination one looks for in some professions. In others, one looks for other things. We should simply take those words out when the time comes—I hope we will—and the appropriate national authority will, if necessary, properly consult on what the demand for a professional service may be and the circumstances in which it is not being met.

[Lord Bhatia (Non-Afl) [V]]

My Lords, the Explanatory Notes state about Clause 9 that

“a regulator in one part of the UK could ask an equivalent regulator in another part of the UK for information relating to an individual’s fitness to practise and, where applicable, any instances of professional sanctions. This provision ensures that regulators in all parts of the UK have access to information that helps them fulfil their obligations.”

Does the Minister agree that, in view of the duty of all regulators to co-operate with each other, it should be mandatory for all four nations to allow any professions to practise in all four nations without any hindrance?

Pollution Prevention and Control (Fees) (Miscellaneous Amendments) Regulations 2021

Lord Bhatia Excerpts

Tuesday 8th June 2021 Grand Committee

[Lord Bhatia (Non-Afl) [V]]

My Lords, this SI has been prepared by BEIS, which explains that its purpose is to increase the hourly rates used to determine the fees payable by the offshore oil and gas industry and the Oil and Gas Authority to BEIS’s Offshore Petroleum Regulator for Environment and Decommissioning—OPRED—for certain activities undertaken by OPRED in relation to the environmental management of the offshore hydrocarbons industry.

We are told that the instrument is subject to the affirmative resolution procedure. It contains enabling powers that are both negative and affirmative. The European Union (Withdrawal) Act 2018 makes provision for the affirmative procedure to take precedence over the negative procedure where there is a combination of instruments. To enable OPRED’s new hourly rates to be introduced from 1 July 2021, the instrument will enter into force on the day after it is made, which will be beyond the common commencement date of 6 April 2021.

As the Explanatory Memorandum says, the increases in eligible costs to be charged to the offshore hydrocarbons industry and the Oil and Gas Authority were identified following a review of the cost base for the current OPRED fee schemes. The increases, which will allow OPRED to recoup the costs for the provision of regulatory services, are not alterations to reflect changes in the value of money. The territorial extent of this instrument is the United Kingdom.

I support this SI and particularly support what the noble Baroness, Lady Altmann, said about bringing in wind and solar energy procedures to replace those for the current sources of energy.

Professional Qualifications Bill [HL]

Lord Bhatia Excerpts

2nd reading
Tuesday 25th May 2021 Lords Chamber

[Lord Bhatia (Non-Afl) [V]]

My Lords, being almost the last speaker in this debate, I will not read out the speech I had prepared. I largely agree with what many noble Lords have said, particularly the noble Lords, Lord Bilimoria and Lord Patel, and the noble Baronesses, Lady Verma, Lady Meacher and Lady Finlay. Will the Minister confirm that all professionals, particularly doctors, must have the skills to speak perfect English, and that patients who do not understand English must have access to the services of a skilled translator?

Biomass Electricity Subsidies: Deforestation

Lord Bhatia Excerpts

Thursday 20th May 2021 Lords Chamber

[Lord Callanan (Con)]

In the biomass strategy, we will explore all the factors to which the noble Lord referred. I do not have a date for when a development consent order will be agreed but all this and the relevant factors will be explored in the strategy.

[Lord Bhatia (Non-Afl) [V]]

Does the Minister agree that the only source of electricity for third-world villages is biomass?

[Lord Callanan (Con)]

No, I do not agree, because there is also the potential for PV—solar photovoltaic—generation.

Corporate Insolvency and Governance Act 2020 (Coronavirus) (Extension of the Relevant Period) Regulations 2021

Lord Bhatia Excerpts

Tuesday 18th May 2021 Grand Committee

[Lord Bhatia (Non-Afl) [V]]

My Lords, as the Explanatory Memorandum states, this SI

“has been prepared by the Department for Business, Energy and Industrial Strategy”.

It goes on:

“This instrument makes provision to further extend the duration of some of the temporary measures introduced by the Corporate Insolvency and Governance Act 2020 … beyond their current expiration dates, namely: restrictions on the use of statutory demands and winding up petitions from their current expiry date on 31 March 2021 to 30 June 2021; the modifications to moratorium provisions and temporary moratorium rules from their current expiry date of 30 March 2021 to 30 September 2021; and the small supplier exemption from termination clause provisions from its current expiry date of 30 March 2021 to 30 June 2021. This instrument also extends provisions suspending liability for wrongful trading in the Corporate Insolvency and Governance Act 2020 (Coronavirus) (Suspension of Liability for Wrongful Trading and Extension of the Relevant Period) Regulations 2020 … made under the CIG Act, from the current expiry date of 30 April 2021 to 30 June 2021.”


The EM also states:

“The instrument is made using the powers given by section 20 and section 41 of the CIG Act to make regulations which amend or modify corporate insolvency or governance legislation, and to extend temporary provision in the CIG Act respectively and is subject to the made affirmative procedure … the Secretary of State must have considered the effect of the regulations on those likely to be affected by them. The Secretary of State must also be satisfied that the need for regulations is urgent, the regulations are proportionate, and that the same result cannot be achieved either without legislation or by using a different power. The Secretary of State must also keep the need for the regulations under review and revoke or amend them if appropriate. This power is being used to amend secondary legislation … The territorial extent of this instrument is England, Wales and Scotland.”


Thank you.

Employment Rights Act 1996 (Protection from Detriment in Health and Safety Cases) (Amendment) Order 2021

Lord Bhatia Excerpts

Tuesday 27th April 2021 Grand Committee

[Lord Bhatia (Non-Afl) [V]]

My Lords, as the Explanatory Memorandum states, this SI has been prepared by the Department for Business, Energy & Industrial Strategy, or BEIS. It amends Section 44 of the Employment Rights Act 1996. The Act currently gives employees the right not to be subjected to a detriment by their employer for leaving or refusing to return to their workplace or for taking steps to protect themselves in circumstances of danger which they reasonably believe to be serious and imminent. This amendment will repeal Section 44(1)(d) and (e) and insert a new provision at Section 44(1A) which will provide other employees and limb (b) workers with the right not to be subjected to detriment in health and safety cases. The territorial application of this instrument is to England, Wales and Scotland.

Following the judicial review brought by the Independent Workers’ Union of Great Britain against the Secretaries of State for BEIS and the Department for Work and Pensions, this order is being introduced in response to the High Court’s judgment. The High Court found that the UK had failed to fully implement two EU directives in domestic law, as protections were applied only to employees, while the court held that they should also extend to limb (b) workers. Limb (b) workers tend to have a more casual employment relationship and are entitled to a basic set of rights such as the minimum wage and holiday pay.

As a result of the High Court judgment, the Government have committed to updating the legislation quickly to ensure clarity as to workers’ rights and will consult directly key trade unions, ACAS and the citizens advice bureaux in preparation for employers and workers contacting their organisations.

This is an important instrument to protect workers from bad employers who have used zero-hours contracts and other tactics to exploit workers.

Net-Zero Carbon Emissions

Lord Bhatia Excerpts

Wednesday 21st April 2021 Grand Committee

[Lord Bhatia (Non-Afl) [V]]

My Lords, a whole-system approach enables decision-makers to understand the complex challenges posed by the net zero target and to devise solutions and innovations that are more likely to succeed. It is a discovery process combining structured approaches to understanding and managing physical factors—such as infrastructure and novel and advanced technologies—with broader perspectives on economic, behavioural and other issues, taking into account complex interactions. This systematic approach will help to manage the associated uncertainties, including technical and behavioural factors, and will require the use of both quantitative and qualitative approaches, including systems engineering.

Achieving net zero by 2050 is a system transformation challenge. A clear understanding of the entirety—[Inaudible]—an interconnected programme of work, driven by data and analytics, with responsibility aligned behind a single goal. A number of steps have to be taken to develop the analytical capabilities, flow of information and reporting needed to inform decisions, as follows.

First, the Government should require all regulators to develop an explicit first-order objective to support the transition to net zero by 2050. Secondly, to enable transparency and accountability across government, the Government should undertake and publish carbon emissions assessments for all public sector policies, including major infrastructure projects or investments.

Thirdly, the Government should bring together public sector funders to develop a bold, coherent, mission-driven programme of public sector research and innovation investment to achieve net zero. This body should have the level of authority to influence spending decisions across departments, influence the strategic direction of UKRI programmes and set out opportunities for leveraging business activity.

Fourthly, to support the development of decarbonisation technology and infrastructure, the Government should consider establishing a national infrastructure investment plan, with an explicit mandate to support the transition to net zero, to help manage risk, partner with the private sector and bring down the cost of finance. Fifthly, to help households, businesses and public service providers make the investment needed to deliver the transition to net zero, the Government should work with private sector financial institutions to establish frameworks and instruments to give them access to the required finance and support.

Sixthly, the Government should announce a clear, credible domestic plan for achieving net zero, to set an example that could help inspire international action and commitment under their presidency of COP 26 in Glasgow. They should build into their work the objective of fostering international action and international collaborations on trade, investment, finance, technology, capacity building and R&D.

[The Deputy Chairman of Committees (Baroness Barker) (LD)]

My Lords, there is a Division in the Chamber. The proceedings will be adjourned for five minutes.

--- Later in debate ---

[The Deputy Chairman of Committees (Baroness Barker) (LD)]

My Lords, we are ready to resume our debate. We return to the noble Lord, Lord Bhatia.

[Lord Bhatia (Non-Afl) [V]]

My Lords, getting to net zero will be a big challenge but will create millions of new jobs and improve the UK economy, which suffered huge job losses due to Covid-19.

National Security and Investment Bill

Lord Bhatia Excerpts

2nd reading & 2nd reading (Hansard) & 2nd reading (Hansard): House of Lords
Thursday 4th February 2021 Lords Chamber

[Lord Bhatia (Non-Afl) [V]]

My Lords, the aim of the Bill is to reform the way inward investment in the UK is investigated to ensure that hostile Governments or other entities do not use this to undermine the UK’s national security. The Intelligence and Security Committee of Parliament actively called for this reform. The Bill would give new powers to the Secretary of State to call in acquisitions, including takeovers, to assess any risk to national security. The Bill would remove the existing business turnover thresholds, meaning that small and medium-sized enterprises could be subject to a national security assessment under the new regime.

The Bill would also establish a mandatory notification regime for certain sensitive sectors of the economy. Under this new regime, any acquisition would need to be registered with the Secretary of State. The Bill would also establish a voluntary notification regime, whereby parties to an acquisition would need to be registered with the Secretary of State. The Bill would also establish a voluntary notification regime, whereby parties to an acquisition not already covered by the mandatory regime would be able to notify the Secretary of State about the potential risks to national security. The Bill sets out the procedures for how a national security assessment would be conducted and resolved.

The Government have argued that these powers are necessary because of the resurgence of state-based threats to national security and the risk of UK businesses being controlled by entities with close ties to hostile foreign Governments. They have argued that the Bill strikes the right balance between encouraging inward investment and protecting national security. In this globalised world, there are many rewards and risks, types of money, and companies registered in tax havens that will hide those companies’ real owners.

My concerns are mainly about the tenders issued by the Government for defence materials. These are international tenders and it is obvious that price cannot be the only consideration unless the Government are certain that whichever company wins the tender is open to scrutiny about who is the ultimate owner and controller of the winner. I submit that where our defence sector is concerned, the Secretary of State for Defence must have full powers to reject the winner of the tender if there is any doubt about its the ownership or integrity.