Energy Bill [HL]

Debate between Lord Callanan and Baroness Altmann

Report stage
Tuesday 28th March 2023 Lords Chamber

[Lord Callanan (Con)]

I think it is very easy for other people who are not directly engaged in the business of regulation to think that adding a statutory duty will be the magical cause of all the different elements of the energy system that they want to contribute to. But, of course, what we should also remember is that placing a duty in primary legislation also makes it justiciable.

I am sure there are plenty of lawyers in this House, and lots of litigation is already flying around on net-zero duties—the Government, indeed, need to respond to further litigation by the end of the week. If the House wants to give yet more work to their learned friends—of course, all the costs of that are ultimately borne by consumers—then the House is free to do that. We continue to keep the matter under review, but we are very clear, as is Ofgem, that Ofgem feels as though it already has this responsibility. I hope that Peers will think again.

[Baroness Altmann (Con)]

Before my noble friend sits down, is there any chance that the Government might reconsider this? Will he consider that the future system operator will have this remit? The FCA, the PRA under the current Financial Services and Markets Bill, the NHS, and the Advanced Research and Invention Agency will all have this specific remit written in. Why do the Government so reject putting it in the Bill for Ofgem?

[Lord Callanan (Con)]

Because the other bodies do not have the responsibility for regulating the energy system. I do not see why that is so difficult for my noble friend to understand.

Retained EU Law (Revocation and Reform) Bill

Debate between Lord Callanan and Baroness Altmann

Committee stage
Thursday 23rd February 2023 Lords Chamber

[Baroness Altmann (Con)]

My Lords, I am struggling to understand my noble friend’s comments. If UK law is already stronger than retained EU law, why do we need to get rid of the retained EU law? What is the problem with retaining it on the statute book and going with our stronger protections?

[Lord Callanan (Con)]

I am sorry that my noble friend does not seem able to understand this, but the Bill provides the tools to remove or retain EU law. It also enables the Government—I repeat this point again—to preserve and restate retained EU law. If my noble friend had listened to our debate on the first group, she would know that I made the point to the noble Lord, Lord Fox, that there is some retained EU law in this area, and a lot of UK domestic legislation that builds on and intertwines with it. There is also the interpretative effects, which were originally aligned. Therefore, while maintaining the high standards that this Parliament has legislated for, and possibly extending those standards in some areas, it is incumbent on us, in order to tidy up the statute book, to make sure that all our laws work for the best interests of this country.

[Baroness Altmann (Con)]

My Lords—

[Lord Callanan (Con)]

Let me make the point to my noble friend before I give way to her again. Many of these regulations will indeed be preserved, retained or replaced. If it is the case that the Government come forward with such proposals, those regulations will be consulted on, and debated in the other place and debated here. My noble friend will have the opportunity to comment on them then.

[Baroness Altmann (Con)]

I thank my noble friend. I am still not quite sure what we can say to women, who currently have hard-won protections in the labour market, about where their future rights and protections will end up. We do not have a list of all the things that are going to be changed; the Government themselves have already said they do not necessarily know all the wider ramifications of this. If those protections are, in the view of a Minister, in need of change, and presumably being weakened, Parliament will have the opportunity to look at them. However, as the noble Lord opposite said, if they do not like them, they lose the whole lot.

[Lord Callanan (Con)]

My noble friend asks what she can say to women. She can tell them that they have one of the highest minimum wages in Europe as a result of the policies of this Government, that they are entitled to 5.6 weeks of annual leave compared with an EU requirement of four weeks, and that they are entitled to a year of maternity leave in the UK whereas the EU minimum is only 14 weeks—that is what she can say to women workers.

Vulnerable Households: Energy Costs

Debate between Lord Callanan and Baroness Altmann

Tuesday 31st January 2023 Lords Chamber

[Lord Callanan (Con)]

Let me repeat the answer I gave to my noble friend Lady McIntosh earlier: we used to have a system of social tariffs which was judged to be ineffective. That is why we moved to the warm home discount payment, which, of course, has been increased this year. We keep these matters about the best way of getting support to vulnerable consumers under review, and we will continue to look at this.

[Baroness Altmann (Con)]

Would my noble friend comment on the need to reform the standing charge for energy pricing? For the most vulnerable households and, for example, single-person households, regardless of how much they try to cut their energy use, they cannot escape the standing charge—which has in many cases doubled to several hundred pounds per year. I understand that part of the rationale for that is to help pay for the cost of failed gas providers, but this charge is paid even by those who have electricity and no gas.

Prepayment Meters

Debate between Lord Callanan and Baroness Altmann

Tuesday 24th January 2023 Lords Chamber

[Lord Callanan (Con)]

I say to the noble Lord that prepayment customers do not pay higher tariffs than other customers. They pay slightly more because of the cost of servicing prepayment meters. It is an important distinction. If we were to equalise the cost, that would mean that other customers would pay more to service that, and many other customers in fuel poverty are on credit meters—so I am afraid that there is no easy answer to this problem.

[Baroness Altmann (Con)]

My Lords, will my noble friend take back to his department the need not only to look at the forcible installation of prepayment meters but the installation of smart meters? An elderly gentleman I know, living alone, had a smart meter installed. He did not wish that, but it was forced on him. It was installed somewhere he could not see it. He had to climb on to a stepladder to operate it. Inadvertently, he had not paid his bill and he was cut off and left without heating, lighting, computing or a telephone for days and ended up calling an ambulance because his smart meter had let him down. Can my noble friend assure us that any investigation for vulnerable customers will include smart meter installation as well?

[Lord Callanan (Con)]

I say to my noble friend that I would like to hear more about that case, because I can see a number of potential problems with what she had to say. First, nobody is forced to accept a smart meter. I am the Minister responsible for smart meters and I know that it is the policy that is maintained. Secondly, if you have a smart meter, you do not need to look at the smart meter—that is the whole principle of it. You have a separate display unit, which will provide you with the information that you need. So I would be interested to hear more about that particular case if my noble friend would let me know.

Electricity: Decarbonisation

Debate between Lord Callanan and Baroness Altmann

Wednesday 21st December 2022 Lords Chamber

[Lord Callanan (Con)]

The noble Lord is right that we will need a lot more electricity both for EVs and for the electrification of heat. I cannot give him an exact figure at this stage—it depends on a number of different factors, not least of which is the success of our demand reduction policies.

[Baroness Altmann (Con)]

My Lords, another barrier to the delivery of net zero was the disappointing announcement on 14 December on the green taxonomy. Unlike the answer given by our noble friend Lady Penn on 3 November in this House, it suggested that the work might be delayed or even cancelled. Does my noble friend not agree that taxonomy of sustainable business services could help the financial services industry to identify appropriate activities to support decarbonisation of the power sector and move us to net zero?

[Lord Callanan (Con)]

The noble Baroness is right that green taxonomy is an important component. She will also be aware that the work is being taken forward by the Treasury, with support from BEIS and Defra. I think it is fair to say that it has a mixed record in other parts of the world, but it is certainly something that we are looking at closely.

COP 27: Outcome

Debate between Lord Callanan and Baroness Altmann

Tuesday 6th December 2022 Lords Chamber

[Lord Callanan (Con)]

The Government have taken a number of measures—I point the noble Lord to the tax on single-use plastic bags—but clearly there is a lot more that we need to do. I know that colleagues in Defra are working on this.

[Baroness Altmann (Con)]

My Lords, I praise the Government on all their work so far on the climate issue. Could my noble friend tell the House whether they have plans to embed into the United Kingdom standards in the upcoming Financial Services and Markets Bill the recommendations of the UN high-level expert group on the net-zero pledges of non-state entities, such as pension funds, to ensure that our massive, long-term institutional investor money will support net zero and green growth?

[Lord Callanan (Con)]

I am sorry to tell my noble friend that I am not responsible for the financial services Bill. I would be very happy to get Treasury colleagues to write to her.

North Sea Gas

Debate between Lord Callanan and Baroness Altmann

Wednesday 7th September 2022 Lords Chamber

[Baroness Altmann (Con)]

My Lords, following on from the questions of my noble friends Lord Bridges and Lord Cormack, I ask my noble friend to relay back to his department the concerns that have been expressed about the UK’s potential non-attendance at the meeting on Friday, and perhaps report back to interested Peers whether it is possible for the UK to be represented in the middle of an energy crisis in a meeting that is so important?

[Lord Callanan (Con)]

To be honest, this Question was the first I have heard of this meeting. I do not know the answer. I do not even know if we have been invited to it, but I will find out.

Employment Rights

Debate between Lord Callanan and Baroness Altmann

Tuesday 19th July 2022 Lords Chamber

[Lord Callanan (Con)]

As I said, the best right that workers can have is the right to a secure and well-paid job, which is what we are providing. I have also outlined during previous debates that we have employment rights in this country far in excess of most of the EU standards and which were retained under the Brexit withdrawal Bills. We have an excellent record of workers’ rights, and we should be proud of it.

[Baroness Altmann (Con)]

My Lords, would my noble friend agree that one of the big crises facing the labour market at the moment is the withdrawal of many older workers from the workforce altogether? In the context of employment rights and the previous question, would the Government consider paid leave for carers of elderly loved ones or relatives who need to take some time off, just as mothers with young children need paid maternity leave? Would the Government consider facilitating the return of older workers to the labour force in that manner?

[Lord Callanan (Con)]

My noble friend makes an important point. It is vital, particularly if we are suffering shortages in some sectors, to get as many members of a productive workforce into work as possible. We will keep all these matters under review to see how we can ensure getting more carers back into work.

Energy: Prices and Supply

Debate between Lord Callanan and Baroness Altmann

Thursday 14th July 2022 Lords Chamber

[Lord Callanan (Con)]

The noble Lord makes an important point and I completely agree about the importance of nuclear and Sizewell C. Negotiations are continuing; I think it unlikely that there will be an announcement before the House rises.

[Baroness Altmann (Con)]

My Lords, commendably, the Government are trying to shield households from these excessive rises in energy costs. However, will my noble friend consider carefully the excellent point made by our noble friend Lord Howell: that cutting fuel duties could indeed set up a virtuous circle? Given the extent of the rise in fuel costs, households surely need time to transition to this higher-cost environment. A tax cut, as long as it is passed on to bill payers, could assist in that transition.

[Lord Callanan (Con)]

This has of course been a source of considerable debate in the current leadership contest. I am sure that the new Prime Minister and the new or existing Chancellor will want to consider these matters very carefully. As I said, we have already supported households to a massive extent, but given the inevitable rises that are coming down the line later in the year, I am sure the Chancellor will want to look at these matters again.

Post Office: Horizon Compensation

Debate between Lord Callanan and Baroness Altmann

Thursday 30th June 2022 Lords Chamber

[Lord Callanan (Con)]

Again, I have considerable sympathy for the points that my noble friend makes, but, so far, Fujitsu has not been found guilty of any fraud or other crime related to this matter. It is co-operating in full with the inquiry, as we would expect of it. I realise that this is uncomfortable for the House, but we should wait for the results of the inquiry to set out in stark detail exactly where the failings were.

[Baroness Altmann (Con)]

My Lords, I associate myself with the tributes paid to my noble friend Lord Arbuthnot and Paul Scully in the other place, and with the congratulations offered to the Government on bringing forward payments at last, at least in many cases. The Statement talks about reimbursing “reasonable” costs of legal action. I understand that going forward, because we have to guard against egregious costs being imposed, but for those who have already had to take legal action, can my noble friend assure the House that there will be full recompense for all the legal expenses that they have had to go to, in addition to which there will be compensation for the suffering that they have clearly been through?

[Lord Callanan (Con)]

If my noble friend is talking about the GLO legal action, of course the costs of that were funded and the lawyers were not paid by the litigants; a lot of the compensation went to pay the legal fees, which is part of the problem with the GLO scheme.

Carers: Unpaid Leave

Debate between Lord Callanan and Baroness Altmann

Tuesday 14th June 2022 Lords Chamber

[Baroness McIntosh of Hudnall (Lab)]

My Lords, how much parliamentary time would the Minister estimate—

[Baroness Altmann (Con)]

Would my noble friend recognise that there is a significant labour shortage? Part of the problem has been with the Great Retirement or Great Resignation. A number of older workers have withdrawn from the labour market during the pandemic, partly because of the problems experienced in care homes. With an ageing population and increasing numbers of people who are going to need to look after older relatives, would the Government consider leave along the lines of maternity leave for those in later life who need to organise some care for loved ones, so they do not leave the workforce and never return?

[Lord Callanan (Con)]

Of course, we want to see people supported in the workforce as much as possible, which is why we introduced a right to request flexible working, and many employers have been able to work with their employees to grant that—but my noble friend makes an important point.

Subsidy Control Bill

Debate between Lord Callanan and Baroness Altmann

Committee stage
Monday 7th February 2022 Grand Committee

[Lord Callanan (Con)]

My understanding is that, yes, that is the case. If that is not correct I will certainly clarify that to the noble Lord, but my understanding is that that would be the case.

[Baroness Altmann (Con)]

I apologise to my noble friend, but may I ask for clarification from him as well? He mentioned a cost to implementing this; can he confirm that the Government’s estimate of the cost is £20,000 and that local authorities already have such databases right now?

[Lord Callanan (Con)]

Just to clarify the points from the noble Lord, Lord McNicol, yes, it would need to meet the scheme requirements if it was given under a scheme. If the subsidy is not minimal financial assistance —so it exceeds £315,000 accumulated over three years—it does have to meet the principles; if it is MFA, it does not need to meet the principles. Reviewing the cost as an impact assessment does not necessarily cover all those options.

--- Later in debate ---

[Lord Callanan (Con)]

I will come back to the noble Lord in writing. It is a complicated area to clarify the exact legal position on that. Sorry, can my noble friend Lady Altmann remind me of her question?

[Baroness Altmann (Con)]

Can my noble friend confirm that the Government’s estimate of the cost in relation to the subsidy scheme—which he referred to as a potential reason why the Government might not accept these amendments—is £20,000 and that local authorities do already have databases that could be used?

[Lord Callanan (Con)]

That returns to the point that I made earlier. The commitment given by Minister Scully in the other place is that we will review the costs; I committed to return to the Committee with the relevant cost provisions, which I will do before Report.

Amendment 38 would remove, for the purposes of transparency, the distinction between a subsidy awarded under a scheme and a stand-alone subsidy. The amendment seeks to have one, uniform threshold for all subsidies. Taken together with Amendment 39, this new uniform threshold would be just £500.

Subsidies given under a published scheme are currently required to be uploaded to the database if they are more than £500,000. This threshold is set at that level because the database will already include information about the scheme under which these subsidies are given. In our view, this information will be sufficient for others to understand whether their interests will be affected by any subsidy given under that scheme and whether they should therefore seek to challenge the scheme.

The Bill provides for various reasons why a subsidy or scheme cannot be challenged on subsidy control grounds. For example, a subsidy award given under a published scheme cannot be judicially reviewed in the Competition Appeal Tribunal on subsidy control grounds. This is because it is the scheme that is assessed against the principles and is challengeable, rather than the individual award made under that scheme. As such, this Bill does not provide for the possibility to challenge subsidies given under schemes in the Competition Appeal Tribunal. The scheme itself should be challenged, not the individual awards.

Additional information about small subsidies would therefore have very limited value for those concerned about potentially distortive subsidies and would detract from the core purposes of the database. These requirements would lead to additional red tape for public authorities—well beyond the requirements they had to fulfil under the EU state aid regime—and in a great many cases, as I said earlier, the information would simply duplicate what those authorities already publish in appropriate formats elsewhere.

Post Office: Horizon Compensation

Debate between Lord Callanan and Baroness Altmann

Monday 24th January 2022 Lords Chamber

[Lord Callanan (Con)]

Of course, it is not just Northern Ireland: throughout the whole United Kingdom people have been financially, emotionally and criminally destroyed by this case. No words that we could utter here could minimise the terrible suffering and distress that has gone on. Again, I am sorry to be practical and hard-headed about this, but we have to return to the central point: we all think we know where blame lies, but let us wait for the results of the inquiry. By all means, in the meantime get on with paying compensation to those who have suffered—but let us have a proper inquest at the end of the inquiry, when we have the full results, of exactly who was to blame.

[Baroness Altmann (Con)]

My Lords, I congratulate my noble friend Lord Arbuthnot and all involved on their persistence and tenacity in pursuing this egregious injustice. I am also delighted that the Government have set aside money to at least start to address these issues. Could my noble friend the Minister tell or reassure the House whether those who have been affected will be fully compensated, including for the legal costs they have incurred? Obviously no money can offset the emotional and psychological damage done, but I understand that there are concerns that some of those who have had to go through the courts may still end up financially worse off as a result.

[Lord Callanan (Con)]

I certainly join my noble friend in paying tribute to the work of the noble Lord, Lord Arbuthnot, both in this place and the other place, as well as—to be fair—a number of Members on all sides of the House who drew attention over a number of years to this slowly unfolding catastrophe. This issue is an excellent example of some great work done by parliamentarians. With regard to my noble friend’s question, the answer is yes: the legal costs are covered as part of the payments.

Energy Prices

Debate between Lord Callanan and Baroness Altmann

Wednesday 12th January 2022 Lords Chamber

[Lord Callanan (Con)]

I outlined in earlier answers the support that we are providing for vulnerable families for their energy bills to do precisely that. As I also said, we are currently engaging with stakeholders and looking to see what else we can do in this area.

[Baroness Altmann (Con)]

My Lords, the winter fuel payment is currently less than it was in 2009, the cold weather payments are the same as they were in 2008, and the warm homes discount—which I agree is an excellent measure—has stayed the same since 2011. Given that the cost of fuel is rising so substantially and also that most of these benefits are available only to those who are claiming pension credit, will the Government now look at urgent measures to increase the take-up of pension credit, which has been stuck at 40% of people not claiming it since 2010? It would be a direct way of getting help to people immediately.

[Lord Callanan (Con)]

My noble friend is asking about social security policy, which, I am sorry to say, is not within my speciality, but I will certainly write to her with details on that. On the warm homes discount, she will of course be aware that we consulted last year on increasing the discount and extending the number of eligible households that would qualify for it. We will be responding to that consultation soon.

Power Outages: North of England

Debate between Lord Callanan and Baroness Altmann

Thursday 2nd December 2021 Lords Chamber

[Lord Callanan (Con)]

I hope we will not just accept it. Balancing the different factors that the noble Lord mentioned, we need to put as many cables underground as possible, but he is right that that is much more expensive than running overhead lines. We need to do what we can to improve the resilience of the system, but I am sure we would meet many objections if the solution was to cut down more trees near power lines.

[Baroness Altmann (Con)]

My Lords, can my noble friend tell the House how many people are still without power—the figure of 50,000 has been mentioned; whether the Army has been asked to go in to support those people who are cut off in this awful winter weather; and what plans the Government have, given the prospect of climate change, with such storms likely to be increasingly prevalent, to forestall or deal with situations of this nature that arise in future?

[Lord Callanan (Con)]

My understanding is that there are currently about 20,000 people who are still without power. As I said, 950,000 have had their power restored. I understand the calls for the Army to be deployed, and its abilities are legendary, but it is important to recognise that in work such as this, safety priorities mean that only suitably qualified engineers can work on electricity network infrastructure. The military resource cannot support the restoration of electricity supplies, and network distribution operators have confirmed that military assistance is not necessary in this case.

Oil and Gas Authority: Remit

Debate between Lord Callanan and Baroness Altmann

Thursday 2nd December 2021 Lords Chamber

[Lord Callanan (Con)]

As the noble Baroness knows, we have some of the most ambitious climate targets of any major economy in the western world and we are committed to net zero; indeed, it is a legal obligation. However, we will still need declining amounts of oil and gas, and the choice we face is whether we wish to use that produced domestically or to import it. In every scenario set out by the reductions, we will still have a requirement for petroleum products.

[Baroness Altmann (Con)]

I congratulate the Government on their ambitious climate targets, but can my noble friend tell the House what proportion of the oil that will be extracted from the Cambo development is likely to be exported under current scenarios, as there seems to be little domestic demand for the heavy crude oil that Cambo and other future oilfields will produce? This seems more about exporting than about domestic energy security, and, in that context, some extra taxation on production would anticipate some of the future taxpayer costs that might arise if these oilfields end up being unable to export in a future scenario of other countries having to reduce their oil imports.

[Lord Callanan (Con)]

No decision has yet been made regarding the proposed Cambo field. The export market for oil and gas produced from Cambo is purely a commercial matter dictated by the market, the quality of oil and the different refinery capabilities. But, as I said, even with continued development, we expect the UK to remain a net importer of both oil and gas throughout the transition period when following the Climate Change Committee’s balanced net-zero pathway.

Shortages: Protection for the Vulnerable

Debate between Lord Callanan and Baroness Altmann

Wednesday 20th October 2021 Lords Chamber

[Lord Callanan (Con)]

The right reverend Prelate makes a good point. Everybody across all levels of government—national and local—want to do all they can to minimise food waste. Of course, we are always looking for additional ways to protect the most vulnerable.

[Baroness Altmann (Con)]

My Lords, shortages of energy and food have driven up the cost of basic necessities. Does the Minister agree that the poorest pensioners are likely to struggle most, as they spend so much of their budget on these items? What are the Government doing to increase take-up of pension credit, as 40% of pensioners who are entitled do not claim it and therefore do not get access to the warm home discounts, cold weather payments and so on that this benefit could provide for them? With 40% of pensioners not receiving that benefit, what will the Government propose to improve the situation?

[Lord Callanan (Con)]

My Lords, nearly 1.5 million people across Great Britain do receive pension credit, but I agree with my noble friend that many are not claiming what they are entitled to. We are working constantly to increase awareness of pension credit; we recently joined forces with Age UK and various celebrities to try to encourage pensioners to check their eligibility for access to this important benefit.

European Union Touring Visas

Debate between Lord Callanan and Baroness Altmann

Tuesday 14th September 2021 Lords Chamber

[The Lord Speaker (Lord McFall of Alcluith)]

Lord Mann? He is not here. I call Baroness Altmann.

[Baroness Altmann (Con)]

My Lords, given that these impacts were known and understood during the Brexit negotiations, has the pandemic had any particular effect on this problem? What measures did the Government intend to introduce alongside the trade and co-operation agreement to protect and support these citizens?

[Lord Callanan (Con)]

It is difficult to disaggregate the effects of the pandemic from those caused by EU exit. We will see the full effects in the fullness of time, but we are certainly endeavouring to provide as much support to individuals as possible. As I said in my answer to the noble Baroness, Lady Hayter, we tried to negotiate these provisions as part of the TCA, but the EU rejected it.

Net Zero Test

Debate between Lord Callanan and Baroness Altmann

Thursday 22nd July 2021 Lords Chamber

[Lord Callanan (Con)]

The heat and buildings strategy will be published in due course. I do not agree with the noble Lord that we are not doing anything. I refer him to action we have taken recently: the energy White Paper, the revised emissions trading system, all of the announcements and investment to do with offshore wind, the pledge to phase out new petrol and diesel vehicles, the transport decarbonisation plan, and so on. Of course, there is always more to do, but I do not accept the noble Lord’s premise.

[Baroness Altmann (Con)]

My Lords, I would like to congratulate the Government on their achievements so far, with the fastest reduction in the G7. We have two Ministers—one in the Lords and one in the Commons, my noble and honourable friends—who are determined to help reduce our emissions and achieve success for the environment. I agree with the noble Viscount, Lord Hanworth, that an independent assessment of the net-zero impact of policy is important and I commend the work of the Climate Change Committee. However, I hope the Government will continue to focus, for example, on direct action, by encouraging institutional and pension fund investors to invest in climate change mitigation, and promoting a net-zero approach to investment portfolios rather than asking officials to continue with a net-zero test in a way that the family test has been more of a tick-box exercise.

[Lord Callanan (Con)]

I thank my noble friend for her comments and certainly agree with her. As she is well aware, the trustees of occupational pension schemes are independent of government; they are not bound by the commitments we have signed up to. However, given the significance of the financial risks posed by climate change, we expect all investment decisions made by pension scheme trustees to take climate change into account. As of 2019, trustees of pension schemes with 100 or more members have been required to set out in their statement of investment principles policies on stewardship on an ESG, including climate change.

Post Office Update

Debate between Lord Callanan and Baroness Altmann

Monday 24th May 2021 Lords Chamber

[Baroness Altmann (Con)]

My Lords, I echo the welcoming of the extension of the inquiry. I also echo the tributes to my noble friend Lord Arbuthnot for his work on this issue. This was an affront to justice and compensation is urgent. There is a clear feeling across the House that the sense of urgency perhaps needs to be increased by a level or two. More than £100 million of taxpayers’ money was spent on criminal prosecutions of innocent people that were investigated, managed and conducted by the Post Office itself—marking its own homework. Can my noble friend assure the House—I believe that he may have just done so in answer to the previous question—that private prosecutions will not be used as a fast-pass ticket to jump the queue to the criminal courts by companies with deep pockets? This would mean that we could learn lessons in this case so that, generally speaking, wealthy private companies would not be able to bring private prosecutions or we could review their ability to do so.

[Lord Callanan (Con)]

I have given the noble Baroness an answer about the Post Office pursuing private prosecutions. I reiterate that it has no special powers in this regard: the power to bring private prosecutions exists across the piece and is used by a number of other organisations. The Post Office has assured us that it has no plans to pursue any further private prosecutions. The issue of private prosecutions generally has been studied extensively; indeed, a committee of this House looked at the issue and recommended—I will correct this for the noble Baroness if it is not right—that the power should remain. However, I repeat that the Post Office will not be pursuing any more private prosecutions.

Offshore Gas Rigs

Debate between Lord Callanan and Baroness Altmann

Thursday 11th March 2021 Lords Chamber

[Lord Callanan (Con)]

I have set out that, where it continues for operational reasons, we want to reduce it as much as possible, and we are committed to the World Bank initiative to eliminate it completely by 2030.

[Baroness Altmann (Con)]

My Lords, with UK oil rigs being the most polluting in Europe and North Sea oil producing 21 kilograms of CO₂ per barrel, compared with 8 kilograms for Norway, could my noble friend tell the House what further measures the Government might consider introducing to ensure that oil companies phase out this flaring much faster than planned—and well before 2030?

[Lord Callanan (Con)]

Transforming the UK continental shelf into a net zero basin will be achieved through a combination of energy efficiency, electrification from alternative, decarbonised energy, and the use of carbon-capture technology. There are a range of policies that we can bring into play to try and bring these practices to an end.

Vauxhall at Ellesmere Port and Battery Manufacturing Strategy

Debate between Lord Callanan and Baroness Altmann

Tuesday 2nd March 2021 Lords Chamber

[Lord Callanan (Con)]

Ultimately, of course, these are commercial decisions for the companies involved, but we are working closely with a number of people interested in establishing gigafactories. We have announced £500 million as part of our wider commitment of up to £1 billion to support the electrification of vehicles and their supply chains, including developing gigafactories in the UK.

[Baroness Altmann (Con) [V]]

My Lords, I congratulate the Government on their aim to ban sales of new internal combustion engine cars from 2030. What specific plans do they have to invest in the production of electric vehicles and batteries to ensure that the UK remains competitive globally in manufacturing? Does my noble friend see a role in this for regions such as the north-west, where Vauxhall is sited?

[Lord Callanan (Con)]

I agree with my noble friend that it is very important that we see a future for these industries. As I have said, we are doing all that we can to help—I outlined our financial commitment in my answer to the noble Lord, Lord Fox. I come from the north-east, so I want to see it do well along with the north-west, and I repeat my earlier answer that we are doing all that we can to secure the future of the Ellesmere Port facility.

Covid-19: Night-time Economy

Debate between Lord Callanan and Baroness Altmann

Tuesday 26th January 2021 Lords Chamber

[Lord Callanan (Con)]

I do agree with the noble Lord. The night-time economy generates around £66 billion in UK revenues. It employs 1.3 million people, across a wide range of businesses, so the points that he has made are well received.

[Baroness Altmann (Con) [V]]

I wonder if my noble friend could update the House on the progress of the £1.57 billion Culture Recovery Fund, which was announced by the Government and is most welcome; I congratulate the Government. Does he agree with me that this sector of our economy is important not just economically, with 1.3 million people estimated to be employed, but culturally, socially and health-wise?

[Lord Callanan (Con)]

My noble friend is correct. The Culture Recovery Fund is delivered through Arts Council England, the National Lottery Heritage Fund, Historic England and the British Film Institute. It covers charitable and private organisations of all sizes, in the arts, museums and heritage sectors, as well as music venues, festivals and independent cinemas. The Government continue to work closely with each of these sectors to understand what further support we can provide.

Travel Agents

Debate between Lord Callanan and Baroness Altmann

Monday 23rd November 2020 Lords Chamber

[Lord Callanan (Con)]

It is nice to see that the TSSA is well represented in today’s questions from noble Lords. As I said, there is a Minister for Tourism. A cross-departmental tourism task force has been set up and, as I said to the noble Lord, Lord Snape, there will be an announcement tomorrow.

[Baroness Altmann (Con)]

My Lords, following on from the previous question, could my noble friend look into the somewhat misleading, confusing and contradictory statements applied to travel agents? On 31 October, all non-essential retail was ordered to close. On 5 November, the Chancellor said in the other place that

“Travel agents’ businesses … will benefit from business grants”,—[Official Report, Commons, 5/11/20; col. 513.]


but when the regulations and guidance were published, travel agents seemed to be excluded. I urge my noble friend to clarify what the situation is, especially since florists and pubs, which can do click and collect, have qualified for support that seems not to have applied to high street travel agents.

[Lord Callanan (Con)]

I will certainly have a look at the issue that my noble friend refers to, but I think the guidance has been very clear and most sectors of industry have been rigorously applying it.

Covid-19: Financial Support for High Street Retailers

Debate between Lord Callanan and Baroness Altmann

Tuesday 27th October 2020 Lords Chamber

[Lord Callanan (Con)]

The noble Lord makes a powerful point. We are providing an unprecedented package of support worth £750 million to allow charities and social enterprises to continue their vital work but, of course, we accept that we are not able to replace every pound that they have lost.

[Baroness Altmann (Con)]

My Lords, I congratulate my noble friend on the business rates holiday and look forward to the forthcoming reform proposals. Following up the question from the noble Baroness, Lady Fox, are there discussions between his department, the DHSC and the Government in Wales regarding the sale of non-essential items and the risk to high street jobs that it poses when those who might otherwise have purchased such items on the high street are then driven to buy them online?

[Lord Callanan (Con)]

My noble friend makes a powerful point. As I said earlier, I thought the Welsh Government were placed in a really difficult situation yesterday. It shows the difficulty of trying to define what is an essential item and what is non-essential. As I said, I almost felt sorry for them.

REACH and CE

Debate between Lord Callanan and Baroness Altmann

Thursday 17th September 2020 Lords Chamber

[Baroness Altmann (Con)]

My Lords, I understand that the UK agency replacing REACH will spend £13 million a year and employ about 40 staff, to replace an agency with more than 600 staff and a budget of more than €100 million. As the UK’s new database of chemical safety will not have access to the EU’s chemical safety database, is there a risk, about which my noble friend might be able to reassure the House, that we might not be equipped to counter the potential for unscrupulous manufacturers to dump products on the UK market that fail to meet the safety standards?

[Lord Callanan (Con)]

We are aware of the possibility, but of course we are working hard to make sure that does not happen. The registration requirements in the UK will be as strict as they were previously; we are seeking to duplicate many aspects of the previous regime. Of course, we are seeking during the negotiations a data-sharing agreement with the European Chemicals Agency which will reduce the costs and burdens of the new scheme.

Small and Medium-sized Enterprises: Public Procurement Contracts

Debate between Lord Callanan and Baroness Altmann

Monday 7th September 2020 Lords Chamber

[Lord Callanan (Con)]

Of course, all businesses will need help during the Covid crisis, and we have one of the largest programmes of help for companies and businesses in the western world.

[Baroness Altmann (Con) [V]]

My Lords, could the Minister explain to the House the—[Inaudible.]—The procurement process for public contracts is often enormously cumbersome, time-consuming and costly—[Inaudible.]

[Lord Ashton of Hyde (Con)]

My Lords, I am afraid the noble Baroness, Lady Altmann, is completely inaudible, but I suspect the Minister might have an idea of what she is trying to say.

OneWeb

Debate between Lord Callanan and Baroness Altmann

Wednesday 8th July 2020 Lords Chamber

[Lord Callanan]

We will use our golden share to full advantage for the British taxpayer. We will take all those considerations into account, but primarily national security.

[Baroness Altmann (Con) [V]]

My Lords, what engagement have the Government had with the astronomy community in the light of OneWeb’s application to launch up to 42,000 new satellites into low-earth orbit and the disruptive reflections that have caused such concern among the astronomy community? Are the Government looking to introduce anti-reflective coatings such as DarkSat or VisorSat, which have been employed by SpaceX?

[Lord Callanan]

As the noble Baroness recognises in her question, this is novel, cutting-edge satellite technology which we are investing in as part of our focused research and innovation in the UK. We want to become a world leader in the space sector, and this provides us with suitable strategic geopolitical opportunities to do so.

Committee on Climate Change: Progress Report

Debate between Lord Callanan and Baroness Altmann

Wednesday 1st July 2020 Lords Chamber

[Lord Callanan]

We are not ignoring the recommendations of the committee. As I said, we will respond in due course, but the noble Lord makes an important point about the importance of getting carbon out of new homebuilding. We will be publishing a heat and building strategy in due course.

[Baroness Altmann (Con) [V]]

My Lords, I welcome the positive progress on a new climate risk disclosure framework for pension trustees under the Pension Schemes Bill. I ask my noble friend whether the Government will build on this positive progress by introducing a comprehensive, long-term road map, with a timetable, for the investment sector to align investments with our net-zero targets?

[Lord Callanan]

My noble friend has considerable expertise in this field and I thank her for all her contributions on the Pension Schemes Bill. She rightly pointed out that the Department for Work and Pensions is taking powers to introduce mandatory climate financial disclosure for all occupational pension schemes. Of course, we are not stopping at pension schemes, and last year’s green finance strategy made it clear that we want all listed companies and large asset-owners disclosing in line with the task force on climate-related financial disclosures by 2022.

Covid-19: Business

Debate between Lord Callanan and Baroness Altmann

Wednesday 13th May 2020 Lords Chamber

[Lord Callanan]

Of course, we keep these matters under constant review. It is not our intention to penalise anyone. We want to continue to work together with the devolved Administrations in all parts of our United Kingdom.

[Baroness Altmann (Con)]

Given the costs of the commendable measures taken by the Government to protect jobs, can my noble friend the Minister tell the House whether the Government will consider raising some of the funding for the job retention schemes by issuing specially targeted pension-fund gilts, for example, which pension schemes could use to better match their liabilities, and for which they have significant funding?

[Lord Callanan]

My Lords, the Prime Minister has said that we will do whatever it takes to win the fight against the pandemic. My noble friend has made an interesting suggestion, which I will certainly pass on to the Treasury, but the PM has declared to businesses and workers that we will stand by them. As I have said in previous answers, we have announced an unprecedented range of support measures for businesses, such as CBILS and the bounce-back loan scheme.

Self-employment Income Support Scheme

Debate between Lord Callanan and Baroness Altmann

Tuesday 5th May 2020 Lords Chamber

[Lord Callanan]

We already have a number of schemes in place. The SEISS will benefit something like 95% of all claimants, but of course such schemes have been introduced at pace. Officials are still working on it, and I and the department will reflect closely on what the noble Lord has said. We want to ensure that as many people as possible are helped during these difficult times.

[Baroness Altmann (Con)]

My Lords, I congratulate the Government on their unprecedented rescue schemes for the self-employed and freelancers. I understand that one may be paid out before June—within May. Can my noble friend outline any other measures planned for the employed and the self-employed which are under consideration?

[Lord Callanan]

I referred to some additional measures in the answer that I gave to my noble friend Lord Empey earlier. We have been taking a number of other measures; I can tell my noble friend that, yesterday, HMRC began contacting customers who are eligible for the SEISS. It remains on target to be delivered in early June but, if we possibly can, we will of course get the payments out earlier because we know that they are urgently required in many situations.

Covid-19: British Business Bank

Debate between Lord Callanan and Baroness Altmann

Thursday 30th April 2020 Lords Chamber

[Lord Callanan]

My noble friend makes a very good point—fintech has a significant role to play. Funding Circle, as he will be aware, was recently added as a CBILS accredited lender. Along with other alternative finance providers, it will help even more businesses to access the finance they need at this difficult time.

[Baroness Altmann (Con)]

Will my noble friend comment on the interest rate charged on the loans and say whether there is a cap on that rate? Are penalties allowed for early repayment, which would obviously be detrimental to the future of firms? Also, following on from the suggestion made by my noble friend Lord Leigh of Hurley, is there any intention to help firms by providing finance for equity investment rather than debt only?

[Lord Callanan]

The business interruption payment means that the borrower benefits from no fees or interest in the first 12 months. Interest rates are then charged at the discretion of each lender. However, under the terms of the state aid agreement, the Government fully expect that the benefits of the guarantee under CBILS is reflected in the interest charged by the lender both during the period of the business interruption payment and thereafter, for the remainder of the facility.

Covid-19: Financial Markets

Debate between Lord Callanan and Baroness Altmann

Wednesday 25th March 2020 Lords Chamber

[Lord Callanan]

There are competition issues involved in doing that, as the noble Lord will be well aware of, given his experience. We have some powers in certain sectors and at the moment we are looking at this within the existing framework of legislation.

[Baroness Altmann (Con)]

My Lords, I understand my noble friend’s words about wishing to maintain orderly markets. While we are traditionally a country that supports free markets, I too echo the concerns expressed by my noble friend Lord Bates and others around the House today that in the current circumstances, which are exceptional, there are serious concerns about the orderliness of the markets. Those concerns are not only about short selling but also program trading and algorithm trading. There has been evidence over the past few months that some operators in the market have been behaving unscrupulously because they have advance information that is just a few nanoseconds ahead of others, which has led to enormous profits. Will the department consider looking at the implications of this for UK pension funds, which are currently struggling in the market environment that we are facing during this emergency, and will it consider whether some other measures might be necessary?

[Lord Callanan]

I know of the close interest that my noble friend takes in pension funds, so she will be aware that many of them also take advantage of taking both short and long positions to allow for the hedging of risk. However, I can certainly assure her that we continue to closely monitor market activity, including short selling activity, and we are constantly evaluating our approach to ensure that it is the right one for consumers. Further, if it is required, we will not hesitate to take action.

Brexit

Debate between Lord Callanan and Baroness Altmann

Wednesday 2nd October 2019 Lords Chamber

[Lord Callanan]

If there are significant matters—of course we are still currently a member of the EU—then we are attending meetings, but not all EU meetings are to do with legislation. A lot of them are to discuss things that might happen, some of which could possibly impact on Northern Ireland, so we review which meetings we are attending on a weekly basis. I would of course be happy to meet the noble Earl, Lord Kinnoull, to discuss this further.

In concluding this debate, I remind your Lordships that it has been three years since the British people voted in the referendum to instruct the Government to leave the European Union. A number of noble Lords—the noble Lords, Lord Birt, Lord McNally, Lord Taverne, Lord Heseltine and Lord Livermore—spoke of having a second people’s vote. The noble Lord, Lord Shutt of Greetland, even questioned the continued validity of the 2016 referendum. I remind noble Lords again of the Government’s position that more British people voted in the 2016 referendum than for any other course of action in British electoral history. The message from voters in that referendum and the subsequent general election was clear; we cannot continue to second-guess such a clear instruction and we will never support another referendum.

[Baroness Altmann]

I put on the record that the Minister is not quite right. More people voted in the 1992 general election than in the EU referendum.

[Lord Callanan]

I will check the figures; I am not sure that the noble Baroness is correct on that.

I have laid out the ways in which the Government are working to deliver on that instruction and the way in which we are prepared for multiple outcomes. Today we have presented to Parliament and to the public our new proposals on Northern Ireland and Ireland. As I said earlier, I hope that these proposals can provide the basis of a rapid negotiation towards a deal, which is what we want. This will then allow us to focus on a positive future relationship that is in all our best interests.

This Government are looking to the future beyond our withdrawal from the European Union. We are looking ahead to work on the NHS, violent crime and cutting the cost of living. As the Prime Minister said in his Statement in the other place last week, and as he repeated in his speech this morning, what the British public want from the Government is for us to respect the outcome of the referendum in which they gave a clear instruction to deliver a withdrawal from the European Union and for the Government to move on and move forward.

Brexit: Transition Period

Debate between Lord Callanan and Baroness Altmann

Monday 16th April 2018 Lords Chamber

[Baroness Altmann (Con)]

My Lords, could my noble friend reassure us that the Government are listening to British business concerns about how long it will take to make new agreements on the rules of origin if we do not remain in a customs union with the EU, particularly as that will affect the food and automobile industries?

[Lord Callanan]

We have undertaken extensive consultations with industry and businesses. We are doing it all the time. I do it myself. We have undertaken more than 500 recorded DExEU organised engagements with businesses and civil society to find out what the concerns of businesses are. We are of course taking the feedback that we have received from them to the negotiations with the EU.

European Union (Withdrawal) Bill

Debate between Lord Callanan and Baroness Altmann

Committee: 10th sitting (Hansard - continued): House of Lords
Monday 26th March 2018 Lords Chamber

[Baroness Altmann (Con)]

Does my noble friend truly believe that the British people voted to leave the EU with no deal, with all the implications that that has for the livelihoods and business prospects of this country? That was not on the ballot paper. We have respected the British people’s vote by triggering Article 50 and negotiating with the EU but, if it comes down to the point where we cannot get a deal, surely Parliament must be in control of what happens to the interests of our country in that scenario.

[Lord Callanan]

I believe that the British people voted to leave the EU and we are trying to negotiate the best possible deal to ensure that we leave the EU. To go back to our original argument for all the reasons against the amendment, I hope that the noble Lord, Lord Jay, will consent to withdraw it.

European Union (Withdrawal) Bill

Debate between Lord Callanan and Baroness Altmann

Monday 19th March 2018 Lords Chamber

[The Minister of State, Department for Exiting the European Union (Lord Callanan) (Con)]

My Lords, this has again been an excellent debate and let me say at the outset that I note that support for the amendments comes from noble Lords on all sides of the House. I am not trying to imply that this is a partisan issue, but it is one of principle. I hope that the noble Lord, Lord Butler, the noble Baroness, Lady Wheatcroft, and the noble Lords, Lord Newby, Lord Wigley and Lord Foulkes, who have tabled Amendments 226, 227BH and 357, will believe me when I say that I respect their positions. But this debate has been held many times before, and I therefore hope that noble Lords will forgive me if my argument sounds familiar. The referendum question, agreed by Parliament and presented to the people, was whether we wished to leave or remain in the European Union. Parliament attached no conditions or caveats to that vote.

It was clear in the campaign that a leave vote could lead to a range of outcomes and that not all of us advocating leave agreed about the way to do so. People knew this at the time, it was extensively debated and, in the biggest democratic mandate for a course of action ever directed at any UK Government, voters instructed the Government to leave the European Union.

[Baroness Altmann]

My Lords, it is that very term—“instructed” the Government or “instructed” Parliament—that is the subject of the amendments. I am not a fan of referenda, but it is clear that what the British people were led to believe, and what they voted for in the referendum, needs at least mostly to be delivered. The question is, if what they voted for—more money, no change to the borders, very easy trade deals; never mind that nobody mentioned ending of roaming and a potential Brexit surcharge on their flights—is not what is on offer, what should this Parliament do? It is questionable that this House should agree that the British people have instructed us to do whatever the Executive manage to negotiate with the EU, irrespective of whether it resembles even closely what the leave campaign told the British people it would achieve.

[Lord Callanan]

My Lords, the noble Baroness says that she is not in favour of referendums but is supporting a campaign to have another one. I think we all know what her agenda is: she did not like the result of the referendum, and she does not like the result of the policy. She is entitled to have her view, but we are entitled to disagree with her.

[Baroness Altmann]

I am not in favour of another referendum. I am in favour of parliamentary democracy and parliamentary sovereignty. The concern here is that Parliament seems to have handed over its power to the people by believing that there is an instruction from the people. If the Government were to say that there will be a free vote and a meaningful vote on whatever is negotiated, we would not need to go back to the people, because Parliament should be able to represent the national interest. I would prefer no final referendum or vote for the people, but if that is required it may be appropriate or prudent to leave it as an option.

[Lord Callanan]

I am not going to continue with this debate, but I think we know where she is coming from: she wants to reverse the result of the referendum, which she is entitled to believe, but I am entitled to disagree with her.

European Union (Withdrawal) Bill

Debate between Lord Callanan and Baroness Altmann

Committee: 7th sitting (Hansard): House of Lords
Wednesday 14th March 2018 Lords Chamber

[Lord Callanan]

I can only apologise for disappointing my noble friend. Of course, we take very different views on the issue of our EU withdrawal, so perhaps he will forgive me on this occasion for not agreeing with him.

[Baroness Altmann (Con)]

I thank my noble friend for giving way. Can he confirm that he said that the Government want to remain flexible about belonging to the rapid response and alert system which governs public health, public food safety and feed standards? It would seem to me that that is not something that the country or Parliament would think was an issue one could be flexible about. We need to be in that arrangement, as the noble Lord, Lord Rooker, so vividly explained.

[Lord Callanan]

I apologise to the noble Baroness, but I do not think I used the word “flexible” in respect of that agency. I said that the agency does some valuable work, as do a number of other EU agencies, and that is one matter that we need to discuss.

European Union (Withdrawal) Bill

Debate between Lord Callanan and Baroness Altmann

Committee: 6th sitting (Hansard - continued): House of Lords
Monday 12th March 2018 Lords Chamber

[Baroness Altmann]

I rise briefly to explain why I have added my name to these important amendments. One thing that has not been mentioned in Committee so far is the idea that the arrangements we have with Europe also protect the safety, maintenance and repair facilities around our country for our aviation and aerospace industries. We must maintain alignment of regulation. We have 100 airports and 172 maintenance and repair facilities, and if we jeopardise the standards of safety, if we are not in the open skies agreement and not in EASA, then the US apparently is already planning to send its own inspectors to make sure that our standards are up to scratch. If we cannot reassure people that we will maintain those standards, we will not have a functioning aerospace and aviation industry.

Another important element that must not be forgotten is that if we do not maintain our membership of the open skies agreement and EASA, the flights taken by ordinary citizens will increase in price. One estimate from the consultancy Oxera is that if all flights operated by third country airlines were removed, air fares for UK passengers would rise by between 15% and 30%—a Brexit surcharge which people were never told to expect to pay when they voted to leave the EU. These restrictions cannot be overcome simply by airlines setting up subsidiaries in Europe, because ownership restrictions do not allow non-EU investors to own a controlling interest in EU airlines.

I urge my noble friend the Minister to make a commitment to the Committee that we intend to maintain membership of EASA and the open skies agreement, notwithstanding the jurisdiction of the European Court of Justice.

[Lord Callanan]

My Lords, to start with, I apologise to the noble Lord, Lord Tunnicliffe, as we are more than happy engage in discussions with interested parties. Before I had this job, I was Aviation Minister and had regular meetings with all the concerned parties in the industry, and my noble friend Lady Sugg has told me she is very happy to continue those discussions. I am sorry if I did not make that clear to him earlier. We are of course carefully considering all the potential implications arising from the UK’s exit from the EU, including the implications for the UK’s future relationship with the European Aviation Safety Agency and the Single European Sky agreement. I thank the noble Lords, Lord Berkeley and Lord Adonis—surprisingly, I see that the latter is not in his place—for their amendment.