(1Â week, 4Â days ago)
Lords ChamberMy Lords, I am obviously not alone in enjoying the period I spent on the Economic Affairs Committee under the chairmanship of the noble Lord. I really enjoyed itâand most of his speech. It was one of the most interesting committees I have served on, but I have to say that no Government of any kind paid much attention to our reports. I am very pleased with the appointment of the Chancellor of the Exchequer and have every confidence that he will obtain growth, but there is a need for some reforms of taxation. I will make three little points before two bigger ones.
First, council tax should be revalued, extended up the scale and absorbed, with an abolished stamp duty, into a land value tax. Secondly, why should small businesses want to remain small? The VAT threshold must be dealt with, because we want growth. Thirdly, why on earth should working over-65s not pay national insurance?
I have a declaration to make in that between 1999 and 2001 I was the Pensions Minister and I was responsible for the 75p pension increase. It was not all bad, as the poorest pensioners on supplementary benefit had an increase of over ÂŁ3. They do not queue up to the TV cameras to say, âIâm poor and I had ÂŁ3â. I explained this to the Labour Party conference that year. When I sat down on the platform, Gordon Brown said I should acknowledge the standing ovation. It is how you tell the tale. It was not just 75pâthere was more to it than that.
Of course, this resulted in the double lock, leading to the triple lock, and it is now unsustainableâI have said so publicly. What is the answer? My answer is a triple average. It is fairer and easier to explain. I have done some calculations and got the Library to calculate it for me: if it had been used in the past three years, the increases would not have been 10.1%, 8.5% and 4.1%; they would have been 6%, 5.9% and 2.8%. The triple average could work after the next election. It is easy to explain and fair. We have to reset the pensionâI am not arguing with my noble friendâbut the mechanism for changing it could simply be the triple average, which would remove the major public expenditure obstacles we have.
My second main pointâthis is the message to this Governmentâis the need to avoid attacking the poorest low-income pensioners. This will happen unless the Chancellor changes the personal allowancesâthe tax threshold. It is no longer a stealth tax, following the work of the late Audrey Wise and Nigel Lawson and me in 1977. The law requires a vote in the Commons for the allowances to be raised by less than inflation. On 2 December last year, Labour MPs voted to freeze the allowances until 2030-31. They voted for a tax increase. The manifesto is completely out of the way. Everybody knows they voted for a tax increase.
This Government perpetuated the freezing of the allowances started by Jeremy Hunt and Rishi Sunak, and this policy is now dragging millions of low earners and low-paid pensioners into taxation in the first place and millions more into the higher rates. For anybody interested in the technicalities, these days the 1977 law is set out in Section 35(1) of the Income Tax Act 2007. Taxing the very basic state pensionâwhich is what this Government are going to do unless they change the allowances, because freezing them will cause that to happenâwill be very bad news. It will be a lot worse than the abolition of the heating allowance, and it has to be dealt with. It can be avoided, but are they going to avoid it?
I understand the pressures, but it is no good saying, âOh well, everybodyâs got to carry the burdenâ. I do not believe the poorest pensioners have the broadest backs. Why should they not have the basic state pension? It has never happened before, but it will happen unless the Government do something about the threshold. They can do it in a way that does not affect it for everybody else. I do not agree with freezing the threshold in the first place, but the fact is that it cannot be done, as it used to be done, by stealth. You have to knowingly vote for it. I read the debate, and nobody ever told Labour MPs, âBy the way, this is a tax increase, and we have to do this because those three people back in 1977 forced us to; it used to be done without thatâ. It was all about indexing the allowances. Therefore, they used the lawâbut without telling people what they were doing. I want to tell Labour MPs: you voted for a tax increase and, unless you do something else in the next Budget, you are going to be responsible for taxing the basic state pension. That is not a good idea.
(2Â months ago)
Lords ChamberMy Lords, my text for this simplistic opposition attack on the Government is simple: I will point out the legacy of the noble Baroness who has just spoken. She was in the Cabinet for six years. On 20 January 2025, the Economic Affairs Committee of your Lordshipsâ House produced a 42-paragraph letter to the Secretary of State for Work and Pensions. This followed a short inquiry to understand what was driving the massive change to incentivise benefits and inactivity under the Tories. Time permits me to mention just two paragraphs.
Paragraph 1 read:
âSpending on incapacity and disability benefits has risen by more than 40 per cent in real terms since 2013 ⌠This is around 20 per cent higher than the UK defence budget and equal to 22 per cent of the total health budget. Spending on incapacity and disability benefits is forecast to rise to ÂŁ100.7 billion ⌠pushing the total welfare bill above ÂŁ370 billion. The latest figures show that around 3.7 million people of working age receive the health component of Universal Credit ⌠1.2 million more than in February 2020. As the Office for Budget Responsibility note, since before the COVID pandemic this rise has been uniform across age groups. This is in the context of there being 1.51 million people registered as unemployedâ.
In Paragraph 7 of the letter, the committee said:
âWhile it is difficult to unravel the data to provide a clear picture of the level of economic inactivity, administrative data show that spending on health-related benefits has risen. This has occurred in all parts of the country and in all age groups. As the OBR notes, âThe proportion of the working-age population in receipt of an incapacity benefit reached a post-financial crisis high of 7.0 per cent in 2023-24 and is forecast to reach an all-time high of 7.9 per cent in 2028-29. This reverses the steady decline in caseload prevalence from the early 2000s to mid-2010sââ,
which was Labourâs time in office. It was a complete reversal of what had been happening under the Labour Government.
My final quoteâI want to keep this shortâis from an interesting piece by the Financial Times data expert John Burn-Murdoch, âWhat if the UK isnât actually the sick man of Europe?â, from 6 December 2024. Time permits me to read only the final paragraph of his piece:
âIt turns out the apparent rise in Britainâs illness-related inactivity is mostly not about deteriorating health, but about incentives within the benefit systemââ
incentives that were put there by the Government in which the noble Baroness served in the Cabinet for six years. To finish the quote:
âPolicies focused on the latter stand the best chance of getting Britons workingâ.
In other words, it is an absolute con. There was good progress under the Labour Government until 2010, and after that it reversed. We on the Economic Affairs Committee could not understand it. We thought we had got rid of the system whereby it paid not to work. Everybody around the table was gobsmacked, yet it had been made possible to be better off not working under the Tory Government of which the noble Baroness was a key member.
(4Â months ago)
Lords ChamberMy Lords, as I just said, we are looking to publish only two key tranches. The first has already been done; the second will follow shortly. The third and final tranche will be after police investigations. Those are the materials that are being withheld because the Met is using them for its work. Rather than repeatedly coming back to your Lordshipsâ House, we want to do this effectively in a way that works for this House.
In view of the practical issues that my noble friend has raised, would it be possible to give this House and the other House 24 or 48 hoursâ notice of when the release is going to be? It will not be any good coming back after the Recess on the Monday and all of a sudden being told on that day, âThe Statementâs this afternoonâ. There ought to be a bit more warning about when it is going to happen.
My noble friend raises an interesting point and I will have to speak to colleagues.
(1Â year, 10Â months ago)
Lords ChamberMy Lords, I am voluntarily involved in a small Archimedes screw on the River Teme, generating electricity at Ludlow.
Given that the UK cannot build railways as fast as the Victorians, I am on solid ground in my belief that clean electrical power by 2030 is a non-runner. The UK is world class in setting targets, which is not the same as delivering actions. Last weekâs report from the National Energy System Operator is claimed by some as saying it is all possibleâthat is pie in the sky.
What is expected in the 1,873 days until 1 January 2030? The list has to be deliveredâall of it, simultaneously and in full. Market reforms need to unlock ÂŁ40 billion a year in investment. Onshore wind capacity has to double. Battery capacity connected to the grid has to grow fourfold. Solar capacity has to be tripled. The high-voltage grid has to be upgraded and expanded twice as much in the next five years as we have seen in the past 10 years. Carbon capture and storage targets have to be achieved using technology that has not yet been delivered at scale. We have to contract as much offshore wind power in the next one or two years as we have seen in the past six years. We need a fourfold increase in the flexibility of demand using smart meters that actually work. When the wind drops and the sun does not shine, batteries and pump storage hydro will have to be there to compensate. The nuclear plants will be required as back-ups.
That will all have to be delivered at pace, on time and at the same timeâcome off it. This is the UK in 2024, not the UK of the Lunar Men 250 years ago at the start of the Industrial Revolution. The UK no longer has a culture of building or people like Isambard Kingdom Brunel.
I have never yet heard a Minister address the issue of intermittent renewables. Who pays for the intermittency? It is never addressed. Huge amounts of kit cannot be manufactured in the UK. There is an international shortage of substation transformers and the ships needed for offshore installation. There is a massive shortage of homegrown skills to make all this possible.
I keep hearing that planning has been dealt with. Really? I know I am alone in this, but I see pylons and wind turbines across the countryside as truly majestic. Not everybody agrees, but burying the grid at sea is far less secure than having it where you can see it. We know that the massive undersea cables for the world wide web have been interfered with by Putinâs Russia. A lot of these doubts have been set out in detail by many people, including Professor Dieter Helm in one of his blogs. Nothing has changed since then except the Government and the creation of NESO.
Let me be clear: I am not a climate scepticâI was the first Minister ever to speak on the Climate Change Bill, for the simple reason that I introduced it in this House in 2007. It is 1,873 days and counting.
(2Â years, 7Â months ago)
Lords ChamberI was pleased to endorse the Policy Exchange paper published last week entitled Where now for UK Industrial Policy? by Geoffrey Owen, the former editor of the Financial Times. I encourage Ministers and shadow Ministers to study the paper and, above all, to listen to Owen and his contacts, as they themselves will have no direct experience of his lessons from the past, and from other countries.
There are warnings such as,
âthe picking winners ⌠of the 1960s and 1970sâ
and the âapparent successâ of Bidenâs programmes. Of course, we should look at recent US and European experience, but we need to look deeper to see whether they are relevant to the UK. Owen gives an indication that the lurches in UK industrial policy can be assessed by the 18 changes in titles and responsibilities of the UK departments that have been the principal link between Whitehall and industry since 1970.
Previous policies have failed. I shall give a brief outline of Owenâs conclusions: do not imitate the EU; have government investment in R&D; and
âthe UKâs newest funder, the Advanced Research and Investment Agency ⌠ARIA is charged with supporting high-risk projectsâ
to have
âa transformative effect on the economy. But these will be calculated risks with a clearly defined objective, and the project will be terminated if not enough progress being madeâ.
When this occurs, there is a need to ignore the inevitable lobbying that will take place to create open-ended government support. Projects should not be made difficult to abandon. Do not enter a subsidy race with other nations. Do not use the term âstrategic investmentâ for any sector without explaining in clear terms why one sector is more strategic than another. Furthermore, it is crucial to channel government support,
âon a competitive basis, allowing scope for new entrants as well as established producersâ.
After his first stint at the Financial Times, Owen worked at the Industrial Reorganisation Corporation and British Leyland for the short period from 1969 to 1972. His report indicates some successes, but the story overall is not good. Manufacturing is not the same as in my early experience between 1957 and 1971âI am the oldest, most out-of-date chartered engineer still paying his subs in the House. It is vital, as my successor as MP for Perry Barr, Khalid Mahmood, says in his endorsement of the paper that we have a,
âconsistent and predictable policy environmentâ
It is also vital that the tent is big enough and that Ministers and shadow Ministers are big enough to accept things invented by others. In this respect, the legacy of Dominic Cummings is the Advanced Research and Invention Agency, and this should be embraced and, I hope, allowed to flourish.
(3Â years ago)
Lords ChamberI note the tone of my noble friendâs comment and understand the frustration that noble Lords in this House feel.
Did the breach include any of the marked registers from the polling stationsâthe noble Baroness must know what they are? Are they kept in digital form and, if so, for how long?
(4Â years, 4Â months ago)
Lords ChamberMy Lords, in relation to my noble and learned friendâs amendment, I have a short but I believe very important question to ask of your Lordships. What is your Lordshipsâ House here for if it is not this? My noble and learned friend has demonstrated beyond doubt that there is a riskâa measurable risk, not a fanciful riskâthat the Electoral Commission might have its independence damaged and impugned if these amendments are not introduced into the Bill. What would the Government lose by accepting these amendments?
I therefore suggest to your Lordships that we have not yet heard any good reason why these amendments should not be sent back. I am unpersuaded by the argument that because some robes are hanging on hangers somewhere in the building, no doubt losing their creasesâwhich is as good an argument as anything I have heard against my noble and learned friendâs amendmentsâwe should not delay matters for another day, which is available. There is an option: the Minister can go and consult his ministerial colleagues and come back to the House in a matter of minutes and say, âI have listened to the noble and learned Lord, Lord Judge; he has argued a brilliant case and it may well be that he is rightâ. And if there is a risk that he is rightâwhich is what I believeâwe should not let this pass just because it is inconvenient to delay the end of the parliamentary Session.
My Lords, I had not intended to speak, but the fact is that, following what we have just heard, the Order Paper for Tuesday and Wednesday next week has Questions down from noble Lords. It is not as though we are slicing off tomorrow: the Order Paper is there, and it is there for a reason. Somebody worked out, in terms of the management of this place, that the House would sit. People put bids in for Questions, and they are sitting there on the Order Paper. The Minister âto whom I pay tribute for the way in which he has dealt with this Billâdid leave a gap open, which is not completely closed.
On what the noble and learned Lord, Lord Judge, said, we are certainly going to find out what the mettle of the electoral commissioners is made of, as a result of this kind of legislation. This is going to test those individualsâboth the officers and the commissionersâin a way that they never contemplated when they applied for or were appointed to their posts.
I do not want to delay the House, but the other day I was readingâand I have not finished itâDavid Runcimanâs How Democracy Ends. I came across this page where he quoted an American political scientist Nancy Bermeo, who had identified six different varietiesâDavid Runciman called them âcoupsââof ways in which things get manipulated. These are two of them. I would just like the Minister to explain how this Bill differs from these two examples:
ââExecutive aggrandisementâ, when those already in power chip away at democratic institutions without ever overturning them. âStrategic election manipulationâ, when elections fall short of being free and fair but also fall short of being stolen outright.â
Now where does this Bill differ from those two definitions?
My Lords, I was not going to speak in this debate, but, having listened very carefully, I am deeply troubled at the idea that we would not try to see whether we can persuade the Minister and Conservative colleagues in the other place, right-thinking Conservatives, that there is a significant risk here of gerrymandering electionsâsomething one would think was impossible to imagine in this country.
I think the House has been done a great service by the noble and learned Lord, Lord Judge, who has challenged us to stand up for what we can see is a significant risk. Indeed, when we think about what happens in the other place with the amendments that we are trying to point out are really important to insert in the Bills that are coming through in these final days, we see that they are not even being sufficiently debated. With a significant majority there is a risk that a Government can try to gather for themselves permanent or long-lasting powers that are not designed for the kinds of constitutional arrangements that we have in this country.
I therefore am finding myself deeply conflicted and troubled as toâin the words of the noble Lord, Lord Carlileâwhat we are here for if it is not consider, and ask the other place to consider, these matters.
(4Â years, 4Â months ago)
Lords ChamberI am very grateful to the noble Lord for his observation. I am sure that members of the public would be quite interested to note that when an alternative proposal is put forward, it is called a âdiatribeâ. That kind of confinement of alternative, competing discourses to negative spaces does not do any good. But the message I want to get across is that there is a corrosive element at the heart of our democracy that can be dealt with only by ending the receipt of any private money by any political party.
My Lords, the purpose of Report is to report back on things that were inadequately dealt with in Committee. Amendment 69, which I am speaking to, was inadequately dealt with in Committee. We had a debate and a very unsatisfactory answer, so I want to return to itânot at the same length as in Committee, but nevertheless in some detail that might make for uncomfortable listening for different parties in the House.
The idea is for risk assessment and due diligence policies to be used to control and look at procedures on political donations. What is the problem? Dirty money in the UK leaves parties exposed to malign influence, risks fostering dependence on the proceeds of crime and other dubious funds, and undermines the integrity of the electoral system. PPERA does not require UK political parties to run anti-money laundering checks on donors. In fact, there are no indications that parties do robust checks on the source of donations, nor that parties reject donations after such checks have been made. As the UKâs anti-money laundering framework has been progressively tightened over the last decadeâI pay tribute to the current Government on this issue, as I have done beforeâpolitical partiesâ minimal checks have become an increasingly glaring anomaly. Examples from the media suggest that if parties check the source of donations at all, they are inadequate and fail to prevent the flow of tainted money into UK politics.
The Electoral Commission has argued since 2018 that risk management principles from anti-money laundering checks by businesses could apply to election finance. In July 2021, the Committee on Standards in Public Life recommended that parties have anti-money laundering style procedures to determine the true source of donations.
How would Amendment 69 address the problem? It would update PPERA to require parties to develop and publish reasonable and proportionate risk-based policies for identifying the true source of donations above ÂŁ7,500âwe are not looking at small donations here. Parties would need to have reasonable and proportionate risk assessment and due diligence controls and procedures in respect of those policies, as provided for in a statutory instrument. For any donation or an aggregate amount exceeding ÂŁ7,500, parties would need to undertake enhanced due diligence checks, with a simplified process thereafter. Donors giving over ÂŁ7,500 would need to declare whether their business is in a high-risk sector, which is defined in the amendment, and whether they have been under formal investigation or convicted of certain offences. Parties would need to include a statement of risk management in their annual accounts identifying that.
What have the parties done about due diligence checks on donations? The Committee on Standards in Public Lifeâs report, Regulating Election Finance, identified broad support for exploring anti-money laundering style regulations from the Liberal Democrats, Labour and the Scottish National Party. Both Labour and the Liberal Democrats agreed that there was merit in exploring this style of regulations but that it would be important to think about how the process would work and the administrative workload involved. The Conservative Party told the Committee on Standards in Public Life that it thought that current regulations for donations were sufficient.
In their response to the Committee on Standards in Public Lifeâs recommendation that parties should have procedures in place for the true source of donations, the Government said that
âit is very important to balance the need for parties and other campaigners to generate funds against the cost of actually carrying out checks on donations, to ensure they come from permissible sources. We think the current rules are proportionate and achieve this balance.â
When a version of Amendment 69 was debated in Committeeâit was rather longer; it is still long but it has been tightened up a bitâthe noble Earl, Lord Howe, said that
âall we can do is keep the rules under review. I am suggesting that in this particular area, the balance is about right.ââ[Official Report, 28/3/22; col. 1378.]
Let us look at the balance: due diligence checks would be a relatively low administrative workload. If due diligence checks had been required on donations above ÂŁ7,500 in 2021, the Liberal Democrats would have conducted checks on just 11% of donors, or 72 donations out of 642; Labour on 25%, or 133 out of 536; the Greens on 29.2%, or 19 out of 65; and the SNP on 63%, or seven out of 11. This means that, at most, Labour would have had to do checks on one donation every 2.7 days over the course of a year, and the Liberal Democrats would have had to do one check every five days. Obviously, because some donations come from the same donor, it would probably be less frequent than that.
Now we come to the Conservatives; no wonder we get complaints from the Tory Benches about what is being said. I apologise to the noble Lord, Lord Cormack, but that was a very unfortunate intervention. The Conservatives would have checked 51.5% of donorsâ 457 donations out of a total of 887 were of ÂŁ7,500 or more. Of course, this reflects their greater resources, with donations of almost ÂŁ19 million in 2021âaround double what Labour received.
I have three examples of potentially suspect donations. I gave a lot more in Committee, and I stand by them all; they are all there on the record. All major political parties have accepted potentially suspect donations from individuals and companies that were under investigation or later found to be involved in economic crime. The media has reported on a catalogue of such donations, with Spotlight on Corruption providing most of the information. The Conservatives received ÂŁ2 million in cash donations from Lycamobile, a company whose premises were raided by French authorities in 2016 on suspicion of money laundering, leading to the arrest of the companyâs directors. Despite evidence emerging in 2015 that Lycamobile employees were dropping off rucksacks full of cash at post offices across London, the party took a further ÂŁ587,000 from the company until July 2017.
(4Â years, 7Â months ago)
Lords ChamberMy Lords, I have found the debate fascinating today. I thank the Minister for the detailed responses he has given. I have not changed my mind on any of the issues, and I very much support the noble Lords, Lord Norton and Lord Butler, and my noble friend Lord Grocott on the issues they have raised.
I looked around the House and realised I was probably the only person present who fought and won both the elections in 1974. I have been sitting here thinking what the weather was like. I know what it was like. On 28 February, it was snowing as I was still knocking up at 9.30 pm out in the constituency; it was a very important period in my life. My noble friend Lady Taylor asked me during one of the debates whether I would have supported a quick election a month after I had won in 1974. I was physically whacked at that point. Therefore, I was quite content, because the message came through after we all assembled that there would have to be another election later in the year. But that is not really what I want to raise.
I am going to devalue the debate; I am sorry about that. In respect of the length of a Parliament, I accept that the Bill restores the status quo; that is probably the least important part of the Bill. But in my view that is no excuse not to put the issue on the record for the future. I am going to repeat much of what I said on Second Reading. Five years is not the norm for general elections in the UK, to start with. I am no academic and no expert, but I know in the past that there was a legal maximum of three years, and there was a period where there was a legal maximum of seven years. I think the maximum has been five years since the Parliament Act 1911, but five-year Parliaments are rare.
Going early is a clear advantage to the sitting Government. That is why, during the 1970s, 1980s and probably 1990s, I became convinced that I was in favour of a fixed-term Parliament, because I could see the manipulation that was going on and the temptation for Governments to manipulate the economy, basically. In some ways, I regret that the Fixed-term Parliaments Act 2011 failed. It was designed to fail, almost. I accept it is going, and I am not trying to bring it back, but there are some difficulties with going back to the status quo ante.
There have been 20 general elections since 1945. Thirteen have been early, and the sitting Prime Minister won 10 out of those 13. Those 20, between 1945 and the last general election, were within 74 years, so we are talking about an election just under every four years. My experience in the other place was of seven general elections, and I sat for 27 years, so we averaged just under four years.
It was worse, in a way, not knowing when elections were going to be. My party was not a rich party. We had no offices in the city. Each time, I had to find somewhere for a headquarters, not knowing when the election was, and get phones in. It was difficult in those days, but nevertheless it was a joy to be in the other place for so long.
Giving the Prime Minister the choice of date is an advantage in the electoral system, and that is what I am against. I realise that building the checks and balances is not easy, because for every check there are disadvantages either way. But I do not think that it should be built into the system. As I said, I accept that we are abandoning the fixed term that we brought in in 2011. What I object to is the maximum length, which should be more like what we are actually used to, which is four years rather than five. There is some support for this view. People think that Governments run out of steam after four years, and there is some evidence for that but my point is not about it. My objection is quite different. Governments that seek to rig the electoral system, as this one is attempting to do, should be more limited as to how long it is before they meet the electorate. I want to shorten the time. I almost put an amendment down for three years to strengthen the point that I wanted to makeâwhich I made at Second Reading, but when you have a good story to tell it is worth repeating.
This is nothing personal to any of the Ministers either here or in the other place, but there is a pattern whereby the Government are attempting overall to rig the electoral system. There is a succession of Bills and regulations before Parliament or due to come before Parliament, and I have a little list, which is not exhaustive, of their intentions: voter suppression, straight out of the Trump playbook, which we are about to get; action against the courts, shrinking their ability to hold the ruling party to accountâthat is the realityâ curbing citizensâ right to protest; restricting the freedom of the press by removing the public interest defence; moves against election monitors and the referee in a concerted attack on the Electoral Commission, whose powers have never been as strong as I thought they should have been; widening the scope of the Official Secrets Act; and open attempts before our eyes to control the media via Ofcom.
There is a pattern here. We deal with each little bit as it comes along and have debates like we have had today, of a very high quality and forensic in looking at what is a very small Bill with massive implicationsâbut the debate is in the context of this Bill. We have arguments already flattened by the noble Lord, Lord Faulks, who said, âNo, the ouster clause wonât be used as a precedent, because thereâs another Bill that hasnât got the same ouster clause in.â This can make the point, as the noble Lord, Lord Norton, did, that the draftsman will find a way. I am very disappointed that the draftsmen have co-operated with all this, because they have operated under instructions. There are all these issues and others, which I will not go over. I quoted Lord Puttnam at Second Reading, who gave a couple of further examples.
It all makes it harder for a Government to lose power. That is what the pattern actually creates. Would a four-year limit stop this? No. I am just trying to shorten it from five. Would it limit the damage? Well, maybe. Is it worth raising? Oh yes, because I intend to raise it at every possible opportunity; not just on this Bill, but on all the others as they come. I am not alone. There are the Select Committees that were mentioned earlier, the Delegated Powers and Regulatory Reform Committee and the Secondary Legislation Scrutiny Committee. We have had two incredibly powerful reports published just before Christmas from this Houseâthe unelected Houseâabout the threats to our democratic process, which is really important.
This is where the tragedy is in some ways. I would love to be able to switch off from what I have now and pop back to the other place for a couple of years and say, âBy the way, itâs not quite like we think it is. Things have got badâitâs a little bit back in time.â That is not possible, however, because I came to this place ignorant of its powers, even though I had been down there and was a Minister as I swapped over. There is massive ignorance among the Members of both places about our roles and what we are doing.
I do not have a solution to this because the argument is always, âYouâre unelected, you donât count.â But because we are unelected and we do not have a vote in a general election, we are disinterested in some ways. I see no problem in this place saying to the other place to think again, because we are only a sub-committee of the other place. All our powers are to ask it to think again. At every opportunity, the House of Commons rightly has the last word. It does not matter what happensâit has the last word in every case.
I know that in extremes the Parliament Act can be used, but it been used only twice in my time. It is still the case, however, that the Commons has the final word. That is the case I always put across when doing the Peers in Schools programme. Our powers are incredibly limited, but they mean we can say, âThink againâ. Sometimes we say, âAnd againâ. I think there are a couple of examples where it was three times, then this placeâobviously, as it is unelectedâsaid, âYouâve had a good think about it, weâll leave it alone.â That is our function. The fact is that they did not change that in the Bill.
There is an interchange sometimes when Ministers talk about Parliament but are actually talking about the Government. Government and Parliament are interchangeableâwell, to Ministers they might be, but to the rest of the population they are not. Ministers say that Parliament has decided, but they mean that the majority controlled by the Government in the other place has decided. It is the Government who have decided. The whipping system and the timetable system have decided. In some ways I greatly regret the timetabling system used down there, but we had good reasons. I have lived through guillotines and I know what the rules were. What was itâ100 hours to get a guillotine for wasting time upstairs in Committee? That is why timetabling was brought in.
The fact is that we receive Bills in this place that have not been thoroughly examined in the elected Chamber and that is a tragedy. There was a time when I tried, as a Minister, to suggest that we ought to have Bills with the bits that had not been discussed highlighted, but it is incredibly complicated to say which sections were not debated or looked at; you just cannot do it. We have to use our common sense and gumption.
The fact is that they are not doing their job in the Commons. That is the reality. Their job is to keep an eye on the Government and to question what the Executive are doingâand they are simply not doing it. They are distracted by other things, such as trying to do the job of local councillors for a start. It is easy for me to say that because it was not like that. I do not want to say that those were the good old days and throw back, but the House of Commons is not doing its job of scrutinising the Executive and we are receiving legislation that has not been properly scrutinised. Then, unfortunately, the Government say, âOh, itâs the House of Lords, always defeating the Government.â We are not; we are simply saying that we want the Commons to do its job. That is what we are asking them to do.
In this case, I would be astonished if Clause 3 is still in the Bill when it leaves this place. There is the amendment supported by the Cross Benches and the noble Lord, Lord Butler, about letting Parliament decide on Dissolution; if you have one, you do not need the other. It is simple. Keep the judges awayâI absolutely agree with thatâbut there is an easy way to do it: let the elected House do it.
I have made my point, but I shall keep coming back. For each Bill and regulation that comes along, I will recite the same list, because there is a pattern and the penny has to drop at some point.
(4Â years, 8Â months ago)
Lords ChamberTo ask Her Majestyâs Government what plans they have, if any, to commission an independent assessment of the scale of money laundering in the United Kingdom.
The Minister of State, Cabinet Office and the Treasury (Lord Agnew of Oulton) (Con)
My Lords, the UK money laundering regulations require the Government to make an assessment of the UKâs money laundering and terrorist financing risks and to keep this assessment up to date. The Government accordingly published a national risk assessment in 2015, 2017 and 2020. Assessments detailing specific threats are published by UK law enforcement more regularly, including by the National Crime Agencyâs National Assessment Centre and the National Economic Crime Centre.
I thank the Minister for his Answer, but is he not curious about the effects of transnational kleptocracy by British professional service providers such as HSBC and Mishcon de Reya, which enable crooked elites to launder their money and reputations? Would he condemn, as does the recent Chatham House report, the lawyers and PR agents who make quasi-libel defamation cases against journalists and researchers researching money laundering and then go on to deter the ill-resourced regulators, who can be bought off, as in the recent Mishcon case?
Lord Agnew of Oulton (Con)
I am sure the noble Lord will be aware that a number of very substantial fines have been levied for breaching money laundering regulations over the last few years. In 2020, Goldman Sachs was fined ÂŁ48 million; in 2019, Standard Chartered was fined ÂŁ102 million; and, even in the last few weeks, NatWest was handed a fine of ÂŁ264 million. This just emphasises our commitment to dealing with this whole area.