Product Regulation and Metrology Bill [HL]

Debate between Lord Fox and Lord Hunt of Wirral

Report stage
Wednesday 26th February 2025 Lords Chamber

[Lord Hunt of Wirral (Con)]

My Lords, while the Minister recovers his breath, we will all carefully reflect on every word that he has just said but, given the speed with which he delivered that speech, I hope he will forgive me if I do not respond in detail. I shall just deal with what we believe is the overly broad current definition of an “online marketplace”, as the scope could be inadvertent. I speak to Amendments 49 and 53 on behalf of my noble friend.

The current definition of an online marketplace would inadvertently capture a number of online services not thought of as marketplaces, such as search engines, online advertisements and price comparison websites. Potentially, even further removed services, such as app stores, could be captured by this proposed definition. This risks placing disproportionate requirements on services whose functionality is not what the Bill is intended to regulate and will require careful drafting of the necessary secondary legislation to avoid confusion and potential challenges. That is not guaranteed, however, due to the extensive delegation of powers and limited oversight provided by the Bill.

This broad scope will create unnecessary regulatory burdens on businesses that were never intended to be covered by the legislation. It could also discourage innovation and investment in digital services if companies fear that they will be subject to complex and costly compliance requirements. Our amended definition would therefore capture services that are not meant to be dealt with under the Bill but is more appropriate in its scope when it comes to goods and products, giving greater context and identifying the subjects of the sellers being provided, namely consumers and third-party sellers. I hope that gives an indication to the Minister of why we feel these amendments are required.

[Lord Fox (LD)]

My Lords, I thank the Minister and the noble Lord, Lord Hunt, for their comments. The noble Lord, Lord Hunt, in the amendments that he is putting forward, really puts his finger on the problem and the challenge of defining an online marketplace. What was not an online marketplace yesterday can be one tomorrow. You can be looking at what starts off as a chat site where people exchange photographs, which suddenly becomes somewhere you can sell things. The problem that we therefore have, in being very specific in the definition, is that we create the loopholes for other people to use.

I am sympathetic to the problem that the noble Lord sets out, which is the inadvertent inclusion of other things, but the more we try to nail it down with a framework, the less likely we are to legislate for what is coming round the corner. I am very happy to have that discussion with the noble Lord. Perhaps there is a way of having something that can flexibly move, but we have all seen the changing world of online selling—it is absolutely changing every day. I am sympathetic, but sceptical that the amendment would do what we need it to do.

I co-signed government Amendments 23 and 51, which took on board issues that I brought forward in Committee. I thank the Minister for his reaction to that. Overall, with the exception of that key issue—marketplaces are where this is happening and we need a process whereby liability can be properly attributed, but I am convinced that primary legislation will not be the place to do that because of the changing world that we live in—and with those provisos, I think we need a way of moving forward that gives us that flexibility.

Retained EU Law (Revocation and Reform) Bill

Debate between Lord Fox and Lord Hunt of Wirral

Report stage
Monday 15th May 2023 Lords Chamber

[Lord Hunt of Wirral (Con)]

My Lords, I shall say a brief word. Having taken over from my noble friend Lord Hodgson of Astley Abbotts of chair of the Secondary Legislation Scrutiny Committee, I would like to support his words and the words of my colleague, the noble Baroness, Lady Randerson, with regard to Amendments 73 and 74.

As we have heard, under the European Union (Withdrawal) Act 2018 the committee was charged with an additional function—the scrutiny of what are called proposed negative instruments laid under the new sifting mechanism. The committee had 10 days to report on those proposed instruments and, to the immense credit of the committee and of the talent of the staff concerned, it rose to that considerable challenge of meeting a demanding deadline under the leadership of my noble friend. But this was not an easy matter. In its report on the Bill, the committee warned that the task of sifting would be even more challenging under this Bill because of the potential significance and complexity of the instruments to be sifted.

During the debate in Committee, in which I participated in support of my noble friend, the Minister gave us some hope that he understood the persuasiveness of the case for extending the scrutiny period. Sadly, that was not to be, and the Government in their response to the committee’s report on the Bill said that they did not accept the need for the period to be extended. This is very disappointing indeed. As I said in Committee, the committee would not expect to use the full 15 days for every proposed negative instrument—far from it. What is being asked for is an extension of the deadline in recognition of the fact that the Bill has the potential for generating more complex and far-reaching policy changes through instruments subject to the sifting mechanism than the 2018 Act has.

I warned my noble friend the Minister that when he got back to the department, after his warm words in support of my noble friend and other noble Lords who participated, people would tell him that it was impossible, because it would set a terrible precedent—and I think that that is probably what happened. I would ask him just to think again, because I do not think that it sets a precedent at all; it is a unique occasion. If the Government are to demonstrate their support for effective parliamentary scrutiny—and, in particular, effective use of the sifting mechanism—I would urge him to think again and accept these amendments.

[Lord Fox (LD)]

My Lords, this has again been a lively debate. The Government’s concession on Amendment 1 ensures that the bulk of retained EU law will remain on the statute book as assimilated law at least for a while, but there are no moves in the Government’s amendments to change the Bill’s proposal for the Executive to sunset retained EU rights, powers and liabilities. Amendment 15, proposed by the noble Lord, Lord Anderson, and moved by the noble and learned Lord, Lord Hope, would ensure that it is Parliament rather than the Executive that will have the final say over whether those rights, powers and liabilities should be revoked at the end of the year. That is very important and that is why we will support that amendment, if it is put to the vote.

I turn to Amendment 76. Speaking in the Commons last week, after the Government had announced their plans in the press and, latterly, to the Commons, the Secretary of State said that

“the Bill provides business certainty and legal certainty”.

It does not provide either of those. Despite the U-turn on sunsetting, the Bill still retains those powers that will enable Ministers to amend retained EU law, now assimilated law, by statutory instrument when they deem it to be appropriate. As the Secretary of State also said last week:

“Most importantly, it gives us the space to focus on the reform programme”.—[Official Report, Commons, 11/5/23; col. 447.]


So all the thousands of pieces of legislation that are assimilated automatically by this amended Bill can be revoked or reformed with almost no opportunity for debate or amendment in this crucial legislation.

As we have heard, this represents a huge gathering of power to the Executive. Amendment 76 from the noble and learned Lord, Lord Hope, ensures that any SIs the Government propose to make using this power are referred to a Joint Committee of both Houses for scrutiny. If the Joint Committee finds that a significant change to the law is proposed, then the SI must be debated on the Floor of each House. This is what Parliament is here to do. There is also a provision to ensure that amendments to such SIs can be agreed by both Houses. We had a lively debate in three corners of the House about that. When the time comes, these Benches will support this amendment.