Asked by: Lord Dholakia (Liberal Democrat - Life peer)
Question to the Department for Environment, Food and Rural Affairs:
To ask Her Majesty's Government what assessment they have made of reports that Ofwat is allowing SME customers in the English water retail market to be charged in advance.
Answered by Lord Goldsmith of Richmond Park
While there are a range of market codes in place to protect customers, Ofwat does not specifically prohibit retailers from charging customers in advance for the services they provide. Some customers may, for example, have made an active and informed choice to voluntarily enter contractual arrangements with retailers on terms which include some form of advance billing.
However, Ofwat has also taken steps to strengthen the protections for customers on deemed contracts (that is where the customer has not actively negotiated and agreed a contract with their retailer) against non-voluntary changes in their non-price terms, which would include changes in billing arrangements. Following a public consultation, in July 2019 Ofwat published its decision that for customers acquired on retail exit who have not subsequently switched retailer, their terms in the round should leave them no worse off than they were on retail exit.
While the example of advance billing was used as one example of a non-price change that could leave customers worse off, Ofwat’s decision applied more widely to the fair treatment of customers who had not yet engaged in the market. To avoid stifling innovation or preventing retailers from making efficiency enhancing changes that may benefit customers, retailers should be able to alter the non-price terms for customers on deemed contracts so long as they are: transparent about any proposed changes; are able to clearly articulate what the impact on customers will be; and are able to demonstrate to customers why, and how, they will be at least ‘no worse off’ as a result of those changes.
Asked by: Lord Dholakia (Liberal Democrat - Life peer)
Question to the Department for Environment, Food and Rural Affairs:
To ask Her Majesty's Government what measures Ofwat has taken to enable new entrants to the English water retail market to meet their credit support requirements.
Answered by Lord Goldsmith of Richmond Park
In 2017 Ofwat with KPMG undertook a review of the credit arrangements in the business retail market to establish whether the arrangements created an undue barrier to entry. The review found that, in principle, requiring collateral is not a barrier to entry in and of itself.
Ofwat has supported (and on occasions sponsored) market code amendments aimed at improving transparency and flexibility and reducing barriers to new entrant retailers. For example, Ofwat sponsored a code change to Wholesale Retail Code CPW021 (Negotiating Alternative Eligible Credit Support reasonably and in good faith) implemented in July 2017. This change provided greater certainty on wholesalers’ obligations to negotiate ‘alternative eligible credit support’ and increases the scope for retailers to provide the required eligible credit support via a mechanism which suits their particular circumstances.
In some cases, Ofwat has rejected proposed market code amendments on credit where such proposals are not considered – on the basis of the evidence presented - to better facilitate the principles and objectives of the market codes.
In Ofwat’s ‘review of incumbent company support for effective markets’ published in August 2020, it asked wholesalers to explain their approach to offering alternative credit arrangements and alternative payment terms and the extent to which they tailor their offerings to the characteristics of individual retailers. In its report Ofwat highlighted examples of good practice and where performance could be better. It emphasised that where different retailers have different risk profiles, a wholesaler is able to reflect this by offering these retailers’ different or tailored terms, so long as the differences in terms objectively reflect the differences in risk. Ofwat plans to provide further guidance on this in early 2021.
Asked by: Lord Dholakia (Liberal Democrat - Life peer)
Question to the Department for Environment, Food and Rural Affairs:
To ask Her Majesty's Government what assessment they have made of the benefits the English water retail market has delivered for SMEs; and how many SMEs switched retailers in (1) 2018, and (2) 2019.
Answered by Lord Goldsmith of Richmond Park
Since market opening, Ofwat has published annual reports on the business retail market, including with a focus on customer outcomes and benefits delivered to customers, including SME customers – see:
Its most recent report, on the third year of the market (2019-20) noted that just over half (54%) of small/medium SMEs (10-249 employees), and 58% of micro-businesses (0-9 employees) are aware they can choose their retailer. The majority (91%) of all business customers who had switched retailer or renegotiated a new deal with their existing retailer in the 12 months to spring 2020 reported that they had received some form of benefit as a result of switching or re-negotiating.
Concerning switching rates, around 3.1% of small/medium SMEs (10-249 employees) and 4% of micro-businesses (0-9 employees) switched retailer or renegotiated a new deal with their existing retailer in the 12 months to spring 2020, compared to 6.2% (small/medium SMEs) and 3.6% (micro-businesses) in the 12 months to spring 2019.
Asked by: Lord Dholakia (Liberal Democrat - Life peer)
Question to the Department for Environment, Food and Rural Affairs:
To ask Her Majesty's Government what measures Ofwat has taken to increase competition in the non-household retail marketplace.
Answered by Lord Goldsmith of Richmond Park
Ofwat’s role is to promote competition through a well-functioning market where that will further the interests of customers. In furthering this role, since the market has opened the regulator has explored barriers to market entry, for example, credit security arrangements for smaller new entrants. Where appropriate, Ofwat has supported (and on occasions sponsored) market code amendments aimed at promoting new entrants to the market.
Over the past three years, we have seen greater choice for business customers with around twenty retailers operating in England. In addition, a number of larger customers have become licensed to operate as self-suppliers. The self-supply model enables customers to have greater control over their data, and has delivered price and water efficiency savings. In 2019/20, an additional three self-supply licences were granted bringing the total to 12 as at end March 2020.
Asked by: Lord Dholakia (Liberal Democrat - Life peer)
Question to the Department for Environment, Food and Rural Affairs:
To ask Her Majesty's Government what assessment they have made of the use of Parent Company Guarantees by water wholesalers to their associated retailers in the English water retail market; and their impact on market (1) competition, and (2) distortion.
Answered by Lord Goldsmith of Richmond Park
Ofwat keeps under review the use and impact of Parent Company Guarantees (PCGs) in the water business retail market. For example, it has previously reviewed the use of PCGs in the market and wrote an open letter (in January 2019) to retailers and their associated companies reminding them of their obligations under the market codes and competition law on this.
Use of PCGs, or other forms of intra-group credit, in and of themselves should not be of concern. For example, where a retailer is obtaining credit and paying a market orientated rate for that credit, then this should not distort competition. However, if the credit provision was below the market rate, i.e. not reflecting the economic risk specifically of that retailer (as opposed to the group as a whole), this could potentially distort competition. To increase transparency around use of PCGs, a requirement was introduced (though a change to the market codes) for retailers to provide information to Ofwat including: confirmation any PCG has been provided on an arm’s length basis; and evidence which can be used to determine the commercial consideration (and any other relevant costs) of the PCG.
Asked by: Lord Dholakia (Liberal Democrat - Life peer)
Question to the Foreign, Commonwealth & Development Office:
To ask Her Majesty's Government what assessment they have made of the treatment of religious minority communities in Yemen; what information they have about the appeal against a death sentence in the case of Hamid bin Haydara; and whether they will release that information.
Answered by Lord Ahmad of Wimbledon
We stressed our concerns about Mr bin Haydara’s case with the Houthis directly on 6 October. We strongly condemn Mr bin Haydara's death sentence and the continued persecution of Baha'is in Yemen for their religious beliefs. We continue to follow the treatment of the Baha’is in Yemen closely, including through meeting their representatives in the UK and lobbying the relevant authorities. We continue to call on the parties to the conflict to respect the human rights of all Yemenis.
Asked by: Lord Dholakia (Liberal Democrat - Life peer)
Question to the Foreign, Commonwealth & Development Office:
To ask Her Majesty's Government what assessment they have made of reports of the repression of members of the Bahá'í community in north Yemen; and what representations they have made to representatives of the Houthis about freedom of religion or belief in those areas under their de facto governance.
Answered by Lord Ahmad of Wimbledon
The UK strongly condemns the mistreatment of Baha’is who are being persecuted for their religious beliefs in areas under the control of the Houthis. We are working closely with our partners to raise these concerns directly with the Houthi authorities and urge the release of detained individuals. We continue to call on the parties to the conflict for the human rights of all Yemenis to be respected.
I raised the religious persecution of the Baha’i community in my statement of 22 October on human rights. We continue to follow the treatment of the Baha’is in Yemen closely, including through meeting their representatives in the UK and lobbying the relevant authorities.
Asked by: Lord Dholakia (Liberal Democrat - Life peer)
Question to the Ministry of Justice:
To ask Her Majesty's Government how many 10 and 11 year olds received a custodial sentence in each of the past 10 years.
Answered by Lord Keen of Elie - Shadow Minister (Justice)
Custody should always be a last resort for children. The table below sets out the number of 10 and 11 year olds who have received a custodial sentence since 2009:
| 2009 | 2010 | 2011 | 2012 | 2013 | 2014 | 2015 | 2016 | 2017 | 2018 |
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Total Immediate Custody | 1 | 1 | - | - | - | - | - | - | - | - |
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This is the latest annual data available from the ‘Criminal Justice Statistics quarterly: December 2018 – Outcomes by Offence data tool’:
https://www.gov.uk/government/statistics/criminal-justice-system-statistics-quarterly-december-2018
Asked by: Lord Dholakia (Liberal Democrat - Life peer)
Question to the Ministry of Justice:
To ask Her Majesty's Government how many children aged between 10 and 14 years old were held in youth custody in each month in the last five years.
Answered by Lord Keen of Elie - Shadow Minister (Justice)
Custody should always be a last resort for children. Statistics on the numbers of children aged between 10 and 14 held in Youth Custody are published regularly as part of the Youth Custody data series and can be found at the following link;
https://www.gov.uk/government/statistics/youth-custody-data
The table below shows the number children aged between 10 and 14 years old were held in youth custody in each month in the last five years. It should be noted that the data from 2018/19 onwards is currently provisional.
Year | Apr | May | Jun | Jul | Aug | Sep | Oct | Nov | Dec | Jan | Feb | Mar |
2014/15 | 51 | 51 | 51 | 47 | 37 | 39 | 44 | 45 | 46 | 45 | 34 | 44 |
2015/16 | 50 | 49 | 47 | 42 | 34 | 40 | 46 | 43 | 33 | 31 | 26 | 33 |
2016/17 | 38 | 34 | 33 | 38 | 35 | 36 | 39 | 31 | 37 | 40 | 42 | 42 |
2017/18 | 39 | 36 | 39 | 45 | 43 | 43 | 52 | 50 | 43 | 36 | 43 | 47 |
2018/19 | 48 | 47 | 41 | 37 | 42 | 43 | 39 | 40 | 43 | 37 | 37 | 38 |
2019/20 | 38 | 36 |
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Asked by: Lord Dholakia (Liberal Democrat - Life peer)
Question to the Ministry of Justice:
To ask Her Majesty's Government how many 10 and 11 year olds received a youth caution or criminal conviction in each of the past five years; and what proportion of those children were in care at the time of the caution or criminal conviction.
Answered by Lord Keen of Elie - Shadow Minister (Justice)
| 2014 | 2015 | 2016 | 2017 | 2018 | |
| Cautions issued | 450 | 359 | 309 | 218 | 159 |
| Convicted | 76 | 86 | 71 | 70 | 37 |
The table above shows the total number of cautions and convictions issued to 10-11 year olds over the past five calendar years. Published figures do not allow us to distil the number of individuals but instead only the number of cautions/sentences. This is the latest annual data available from the ‘Criminal Justice Statistics quarterly: December 2018 – Outcomes by Offence data tool’: https://www.gov.uk/government/statistics/criminal-justice-system-statistics-quarterly-december-2018
Data on looked after children is not held centrally by the Ministry of Justice. However, children supervised by the local Youth Offending Team or in custody will have their needs, including identifying whether they are looked after, assessed and appropriate measures will be put in place to ensure their individual needs are met.