Sanctions and Anti-Money Laundering Bill [HL]

Lord Freeman Excerpts

2nd reading (Hansard): House of Lords
Wednesday 1st November 2017 Lords Chamber

[Lord Freeman (Con)]

My Lords, first, I pay tribute to the excellent service on the Front Bench of my noble friend Lady Anelay. Judging by the quality of her contribution this evening, I am sure she will replicate that distinguished service for many years to come.

I support the Bill. Unlike those with much legal background and training, I shall concentrate on some practical matters and principally on money laundering. I find myself in agreement with the noble Baroness, Lady Bowles, about the implications of the Bill—I hope they are positive—in terms of money laundering. I appreciate that the UK has recently transposed the fourth money laundering directive and I hope and trust that the UK will continue to be a member of the international Financial Action Task Force. I would be grateful if the Minister could confirm, either tonight or in due course, that that will be the case.

The power in the Bill enables the United Kingdom, after leaving the EU, to update UK anti-money laundering regimes. The changes to be made to UK legislation will be made under the affirmative procedure. I am delighted by this. Those noble Lords who have sometimes suffered in a more rapid process must welcome the fact that we will debate the regulations and the changes that are due to come under the affirmative procedure rather than the negative procedure. Parliament is better involved in detail if that is the case.

I understand that the Government’s review of the UK’s anti-money laundering legislation is planned to conclude in December 2018. I am not quarrelling with that timetable, although I am a little disappointed, but it is vital that the target is met. I am sure the Minister, who has the same degree of attention to detail that he had when serving with other ministerial responsibilities, will comment on my plea that we conclude that legislation properly.

One area it is vital to cover is the need for a mandatory register of house owners located abroad who are currently able to buy UK property anonymously. I have lived in London for most of my life, although I did not represent a London consistency in another place, and I am acutely conscious that there is a good deal of concern not just in central London—in Kensington and Chelsea and Mayfair—but throughout Greater London about the anonymous purchase of property and the implication—implication only; I make no charge—of improper sources of funds to buy the properties. The Government have promised to introduce legislation by April 2018 to bring transparency to the housing market so that overseas companies must publicly declare their beneficial ownership. That is a very important target to meet on legislation and government action. Transparency International has apparently identified more than £4 billion-worth of London property bought with wealth considered suspicious—these are not my statistics, and I am grateful to that organisation for briefing me—and 40,000 London properties that are owned anonymously.

Action is required. Companies House, I am sad to say, has far too few employees dealing with registration. I gather it is a handful—or less than a single handful—and therefore staffing should be increased dramatically. We need a register of beneficial owners of UK property, which should be open not only to your Lordships’ House but to the general public.

Queen’s Speech

Lord Freeman Excerpts

Wednesday 11th June 2014 Lords Chamber

[Lord Freeman (Con)]

My Lords, my contribution will be even shorter than I envisaged simply because my noble friend Lord Lyell has made many of the points that I was going to make, and I very strongly agree with him.

The noble Lord, Lord Dannatt, when he spoke in your Lordships’ Chamber a few months ago, called for a debate on the Floor of the House about defence. I think it very important that we have that debate because the last of our troops will be withdrawing from Afghanistan, and we remember those who have fallen. It would be appropriate to try to learn some of the lessons of that conflict and what more we need to do to strengthen the numbers and equipment of our forces.

In the gracious Speech, there is one Bill which I strongly support: the Armed Forces (Service Complaints and Financial Assistance) Bill. I hope the House will agree a speedy passage for it because it gives the opportunity for service men and women to raise concerns and complaints in a much more efficient and effective manner than at present. The Bill provides for the establishment of an ombudsman to deal with complaints that might not necessarily result in prosecution.

As far as the Reserve Forces are concerned, I hope we do not lose our nerve in backing the creation of a larger reserve force of 30,000 for the Army. When many years ago I shared responsibility with some of your Lordships for the Territorial Army, we were at more than 70,000. To go to 30,000 seems credible and realistic. When our regular soldiers come back from Germany, I hope that many of them will consider transferring their service from the regulars to the Reserve Forces. From my conversations with many of them, there is every hope that that will happen.

Finally, I pay tribute to those recently retired members of the Armed Forces whom I have taken on as a research assistant over the years. I think all of them have gone on with a greater understanding of your Lordships’ House and the process of legislation. If I can embarrass the latest member, Mr Zombanakis, who is listening to this debate, I wish him well at Harvard. All his predecessors have enjoyed their time working for me and understanding the role and function of the House of Lords.