(3 years, 10 months ago)
Lords ChamberMy Lords, I felt initially that in Amendment 1 it was necessary and sensible to have the term “reasonable belief” in the Bill, but the inconsistency with RIPA 2000, the Solicitor-General’s statement in the other place and the changes that have been made to some of the paragraphs have now persuaded me that it is not necessary.
I view Amendment 2 in a much more serious light. We should be proud of the fact that our nation is at last putting our covert human intelligence agents’ behaviour on a statutory basis. We must not lose sight of the fact that agents save lives. In working undercover, CHIS need to be trusted by those on whom they are reporting. Put simply, if they are to be believed to be a gang member, they need to act like one. If they do not, it is no exaggeration at all to say that they could be killed. My experience in Northern Ireland certainly backs that up. Their handlers must be able to authorise them to break the law in certain circumstances and subject to specific safeguards. These safeguards have been strengthened by the work of this House, and we should be proud of that.
It will not help anyone if we put checklists of offences on the face of the Bill—nothing at all would be gained by that. The safety of CHIS should be central to the decisions of this House. We must not forget that they are very important individuals who are doing important things for us. I am afraid that this amendment also ignores that fact. Drawing parallels with the United States and Australia is dangerous and totally irrelevant. If there is a Division on the amendment, I will vote with the Government on this issue.
The Government have been somewhat vague about why they have opposed Lords Amendment 3 on the issue of criminal compensation but have now brought forward their own Amendment 3B, which shows that they have absolutely understood its necessity. The point was well argued by the noble Lord, Lord Anderson. I am happy to support government Amendment 3B. It meets the concerns of the House and provides assurances on the matter in the Bill, which is good.
On Amendment 4, I have thought long and hard about the use of adolescents. When one heard about this initially, one was taken aback, but I have come to realise that, to some extent, the concern about juveniles in relation to the Bill is due to the conflation of the broader question of whether under-18s should be used as CHIS at all. That of course is not the matter at hand that we are discussing, rather it is the narrower issue of whether those involved should be able to participate in criminality and with what safeguards, which is what the Bill addresses. On those CHIS below the age of 16, I now believe that, in very exceptional circumstances, we should use them. The government amendments will put appropriate safeguards in place which will ensure that that can be done with maximum gain and minimum risk.
The other place quite rightly accepted the core element of Lords Amendment 5, which requires all CCAs to be notified to judicial commissioners as soon as possible, and within seven days of being granted. The Government have come back with Amendment 5A, which would require any such activity to stop immediately, except where the judicial commissioner had allowed specific activities to continue for the purpose of discontinuing the authorisation, and they have of course amended the code of practice.
In the other place, the Solicitor-General said:
“On the extremely rare occasions where a judicial commissioner may find issue with an authorisation, the public authority will consult with the commissioner and may indeed stop, or not commence, the activity that they planned to commence. However, this should not be at the expense of the safety of the CHIS.”—[Official Report, Commons, 27/1/21; cols. 428-29.]
This final sentence is compelling for me. To take a hypothetical example, if MI5 authorised activity that was considered essential to the maintenance of a CHIS’s cover, requiring this activity to stop immediately could very well blow that cover and put their safety at risk. As I have said a number of times, the safety of CHIS has been central to the way this House has considered the Bill, and that is important.
The noble Lord, Lord Paddick, appreciated that fact, and his Amendment 5B would not require activity to cease immediately. However, I cannot support his amendment as I believe—indeed, I know—that the notification of prosecuting authorities will cause real problems from a practical and operational point of view, particularly for the agencies and their ability to run CHIS.
In summary, I believe the House should be proud of what it has done on the Bill by putting it on a statutory basis. Anything in this area is always unpleasant, but I believe that the Bill is necessary and a useful piece of legislation.
My Lords, I will speak very briefly to Amendment 4, which deals with juveniles and vulnerable adults, and the government amendments to that part of the Bill. The background to this is the debate we had on 13 January, when a group of amendments, led by Amendment 12 in my name, sought to remove children aged under 18 and vulnerable adults from the Bill’s scope entirely. While this secured support from all sides of the House, it was clear that without support from the Official Opposition it was doomed. Therefore, I withdrew it.
The House then coalesced around Amendment 24, in the name of the noble Baroness, Lady Kidron, whose impact on this debate has been substantial. I pay tribute to that. I also supported her amendment, although it did not go quite as far as Amendment 12. Her amendment trumped government Amendment 26 in the same group by offering additional safeguards. Although the Government described these as unworkable, the House supported Amendment 24 in a Division by 339 to 235. As we heard, this was rejected in another place and we now have the government amendments we debate today.
My view, which is shared by the Children’s Commissioner, is unchanged—namely, that we should exempt children and vulnerable adults—but I accept that that will not happen. What we now have is a welcome improvement on government Amendment 26, and I am grateful to my noble friend for listening to the concerns and meeting them where she felt she could. I also pay tribute to the work of Stella Creasy in taking the debate forward.
Some relevant questions on the government amendments have been raised by the noble Baronesses, Lady Hamwee and Lady Kidron. I hope my noble friend will feel able to continue the dialogue once the Bill reaches the statute book, to focus again on the code of practice, in particular to consider extending the protections in the Bill to all children used as CHIS, not just those authorised to commit criminal conduct, and to reconsider the issue of appropriate adults for those aged under 18. In the meantime, I am happy to support the government amendments.
(5 years, 5 months ago)
Lords ChamberThe Government will take all the relevant evidence into account when they announce their decision later this week. As I said, we are clear in opposing torture. The issue in debate is the extent to which it is alleged that there was knowledge of, or complicity in, the treatment of detainees in other countries. It is worth making the point that there is now a robust independent oversight regime that we have introduced over recent years. The changes in the Justice and Security Act 2013 and the Investigatory Powers Act 2016, the changes in the powers of the ISC and the statutory basis for the Investigatory Powers Commissioner have all ensured we have a robust, independent oversight regime, which I think is more transparent than nearly every other country.
My Lords, does the Minister not agree that it is important that we remember that none of our men and women in any of the agencies was directly involved in torture? They might have been inadvertently one or two steps removed and we took a lot of actions to try to make it clear how they should behave in those difficult circumstances, because it had not been clear before. In all this discussion we must not assume, because it did not happen; our men and women were not involved directly in torture.
The noble Lord is quite right. Our officials were not involved in torture. I take this opportunity of saying that our intelligence and security personnel try to keep us safe, in very difficult and challenging circumstances. None the less, it is right that we hold them to the highest possible standards.
(5 years, 5 months ago)
Lords ChamberYes. The Government plan to leave the European Union by the end of October and then we will indeed be able to get on with some of the other pressing issues. But I make the point that the Government have been taking action that does not require legislation. We had the Statement yesterday repeated by my noble friend about the 10-year NHS implementation plan. We have had Statements about zero carbon and about a breathing space for those in debt. We have announced 22 new free schools. So it is not the case that pressure on legislation is crowding out important initiatives that drive up the quality of life in this country.
My Lords, the right reverend Prelate the Bishop of Derby has just taken her oath, in which defence was twice mentioned. Of course, defence and the security of the realm are the absolute highest priorities of any Government. Yet we are stumbling towards a comprehensive spending review with Armed Forces that everyone accepts are underfunded, and there seems to be almost no debate about it. Does the Minister agree that the amount of time this House has spent debating the most serious matter for any Government is rather small?
If the noble Lord had joined my party three months ago, he would have been able to vote for one of the candidates who has made a specific pledge on defence expenditure. No doubt he is regretting that he did not take that step.
(5 years, 7 months ago)
Lords ChamberThat raises a broader issue, but I hope that my noble friend is not suggesting that Ministers who have broken the code should remain in office simply to avoid the rotation to which he referred. If confidence has been lost, the Minister should go.
My Lords, 34 years ago today, I dropped some classified papers when I was rescuing a dog from a river. I was court-martialled for that and punished for it. There is a danger of double standards here, where there is no clarity as to exactly what the offence is. Are senior people in Cabinet being treated differently from all those below them in their organisations?
Any Minister who accepts office knows that he or she goes when the Prime Minister so decides—I speak as someone who has left the Government four times. I am glad that the noble Lord has recovered from the incident and that his career appears to have been unimpeded.
(5 years, 10 months ago)
Lords ChamberI understand the noble Lord’s concern. He has tabled a number of Written Questions on the subject. In view of his concern, I have gone back to those responsible for security and received an assurance that those responsible for our critical national infrastructure are not asking for the restrictions on commercial mapping that the noble Lord seeks.
My Lords, precision digital mapping and the metadata associated with it are crucial in establishing nodal analysis and targeting, nodal analysis being identifying the one or two spots within water, energy and transport systems that, when taken out, can bring a nation to its knees. Bearing that in mind, could the Minister let us know exactly who is looking at this to make this decision? It is pretty critical and, as a nation, we went to immense efforts to discover people who might be our enemies so that we could do them harm. We do not want to open ourselves up to people to do us harm.
Again, I understand the noble Lord’s concern. Access to critical national infrastructure sites is, of course, heavily restricted. Ordnance Survey, as the Government’s national mapping agency, is the only mapping organisation that has right of access to property for the purpose of mapping under the Ordnance Survey Act, passed by your Lordships’ House in 1841. But in view of the concern that the noble Lord has expressed and that of the noble Lord, Lord Fox, I will go back to double-check the information I have been given. Of course, much of this information is already obtainable through satellites and Google street survey. The Soviet Union has mapped the UK since the 1940s. One has to be realistic about the amount of information already available—satellites can identify objects that are 30 centimetres long.
(6 years ago)
Lords ChamberTo ask Her Majesty’s Government whether they have revised their estimates of (1) the cost of, and (2) the timetable for completing, HS2 following delays and increased costs in relation to Crossrail.
My Lords, HS2 Ltd regularly reviews project plans and is currently working with its contracted suppliers to update and agree its latest cost and schedule confidence assessments for phase 1. HS2 Ltd is always examining lessons learned from major infrastructure projects, including Crossrail, to improve its understanding of the risks to delivering on time and to budget. We will publish updated cost and schedule estimates for phase 1 as part of the full business case in 2019.
I thank the Minister for his Answer. A huge amount of money is involved. There is not much money around and things have changed. Does the Minister think that increasing capacity on the west coast main line is more important than, for example, sorting out the shambles in the civil nuclear industry and thereby safeguarding our future energy supplies for the nation? Does he think that it is more important than getting a secure GPS system to replace Galileo, from which we were so disgracefully excluded by the EU? Does he think that it is more important than resolving the funding crisis in our Armed Forces, when Russia is confronting and destabilising our nation? If so, does he not think that this is the time to pause and reconsider where this money should be spent?
The noble Lord will know that the question of allocation of resources between a range of government departments is one taken collectively by the Cabinet and announced by the Chancellor of the Exchequer at the appropriate time. It is not for a junior Minister to comment on the allocation of public expenditure between the Ministry of Defence and a whole range of departments, including those for transport and energy. On the last part of the noble Lord’s question, I think that it is right to go ahead with this project. It is expensive, but the phase 1 funding has not increased since the spending review settlement in 2015. Phase 1 is scheduled to cost £27.18 billion in 2015 prices and we are determined to keep it within that cost estimate.
(6 years, 1 month ago)
Lords ChamberThe Government have made it absolutely clear that we want to maintain the broadest possible co-operation with our EU partners. We want to continue to share information with security institutions in the EU. We want to go on, with them, to develop cyber resilience so that we can continue to protect our collective security, values and democratic institutions. We believe that it is in their interests, as much as ours, that this should happen, irrespective of what happens to Brexit.
My Lords, the Minister will be aware that GCHQ has recently said that it can no longer guarantee the security of UK circuits that have Huawei equipment in them. How are we to take this forward now, bearing in mind that removing all Huawei gear from our systems is almost impossible, as is moving towards 5G without involving Huawei? We need a Minister in the Cabinet Office responsible for this.
The noble Lord raises an important issue: how one balances the need for inward investment and to have cutting-edge technology available without jeopardising the security of our institutions. He will know that we have a mitigation strategy to deal with Huawei, which is advised by NCSC—the National Cyber Security Centre. Our approach makes sure that, where we use equipment supplied by overseas countries, our security is not compromised. The mitigation strategy is kept under constant review.
(6 years, 2 months ago)
Lords ChamberI was referring to the responsibilities of the Department for Education. The relevant Minister is sitting at my side and will have heard that. We will write to the noble Lord, giving a more detailed reply on the role of that department, if that is what he wants.
The Government actively manage potential risks to UK infrastructure—a point on CNI raised by the noble Lord, Lord Fox. This includes risks related to foreign equipment used in our telecoms industry. This important issue was raised by the noble Lord, Lord West, who expressed concerns about our telecoms structures. I want to make it clear that the Government have not banned ZTE. The NCSC has raised its concerns about the ability to manage the risk of having more Chinese-supplied equipment on UK infrastructure undermining existing mitigations, including those around Huawei. The noble Lord is right that we cannot ban our way out of this, but I can confirm that the Department for Digital, Culture, Media and Sport, with the NCSC, is leading the review into the security and resilience of our telecoms supply chain.
Has this been debated at Cabinet level? Bearing in mind that it has an impact on so many departments, it really needs to be looked at in the round, so I would be grateful for an answer.
I am sure the noble Lord would be grateful for an answer, but I do not have one. I do not know whether it has been debated in Cabinet or in a Cabinet sub-committee. However, within the constraints of what happens within the machinery of government, which the noble Lord will be familiar with, I will see whether I can shed some light on the important issue he has raised.
The noble Lord also raised the issue of Chinese investment that meets stringent legal and regulatory standards. At the heart of this is the recognition that we need confidence in our ability to get the right balance between security in our critical infrastructure and the growth, productivity and inward investment opportunities. The findings of the review will report to the Prime Minister and the National Security Adviser. It is right that in the face of these shared threats the UK works alongside its international partners and allies to expose, confront and disrupt hostile or malicious activity.
Is the Minister concerned about H1K and the fact that CCTV will now have sound and that when it is 5G enabled every one of those things will be able to take down data and pass it on? Where do we stand on this?
When we discussed this yesterday, the noble Lord was concerned about the installation within the Palace of Westminster of this capacity, which could indeed read stuff that was on my desk. I think this is primarily a matter for the authorities within the parliamentary estate. I will share with them the noble Lord’s concerns and get a considered reply, possibly from the noble Lord, Lord McFall.
It is right that in the face of these shared threats the UK works alongside its international partners and allies to confront, expose and disrupt hostile or malicious activity. Noble Lords will have seen recently our attribution of a range of indiscriminate and reckless cyberattacks to the work of Russian military intelligence, and 21 other countries stood with us to call this out. That builds upon a host of cyberattacks that we and our international partners have attributed to North Korean actors, including the WannaCry incident, one of the most substantial to hit the UK in terms of scale and disruption.
We are absolutely clear that we must work together to show that states attempting to undermine the international rules-based system cannot act with impunity. The Foreign Secretary pressed this point with his counterparts at the Foreign Affairs Council earlier this week, and the Prime Minister is today encouraging the European Council to accelerate work to strengthen the EU response to malicious cyber activities, including a new regime of restrictive measures.
When necessary, we will defend ourselves. We are continuing to develop our offensive cyber capabilities as part of the toolkit that we use to deter our adversaries and deny them opportunities to attack us both in cyberspace and in the physical sphere. My noble friend Lord Borwick referred to this. If he looks at page 51 of the National Cyber Security Strategy 2016 to 2021, I hope he will be reassured by what we say about enhancing sovereign capabilities and offensive cyber, ensuring that we have at our disposal,
“appropriate offensive cyber capabilities that can be deployed at a time and place of our choosing, for both deterrence and operational purposes, in accordance with national and international law.”.
It is also vital that we continue to reaffirm our shared vision for an open, peaceful and secure digital world based on the rule of law and norms of behaviour. The noble Lord, Lord Ricketts, was right to refer to the speech by the previous Attorney-General saying that international law applied to cyberspace. It seems to me that if a foreign state were to drop a bomb on our airports we would have a right to reply, and likewise if our airports are immobilised through cyber we should equally have such a right, though of course that should be proportionate and legal. We do not concede ground to those who believe that existing international law does not apply, or who seek to impose controls through international fora as a means of restricting basic human rights.
Our work with international partners goes beyond joint operations and influencing. For example, the noble Viscount, Lord Waverley, asked about the work that we are doing with the Commonwealth. We have been scoping and piloting projects to date, but we are now accelerating delivery and expect to have spent £2.3 million by the end of this financial year. Much of this is in partnership with the private sector—for example, we are working with Citibank, an American bank, to build resilience in the Commonwealth finance sector.
I did not think we would get through the debate without Brexit being raised by the noble Lords, Lord Fox and Lord St John of Bletso. The cyber threat that the UK and its European allies face from state actors and cybercriminals remains significant and, as the noble Lord, Lord Kennedy, says, it knows no international boundaries. That is why the UK is seeking to maintain the broadest possible co-operation with our EU partners so that we can continue to share information with EU security institutions, deepen industrial collaboration and work together to develop cyber resilience in support of our collective security, values and democratic processes. Continued co-operation with the EU is not only in our interest; it is firmly in the interest of the EU as we look to respond to hostile state and non-state actors in cyberspace.
At this halfway point in the delivery of our national cyber security strategy, we have put in place many of the building blocks to transform the UK’s cybersecurity and resilience, already demonstrating results. However, we can never become complacent. Just as the threat from cyber criminals and nation states continues to evolve, so too must we continue to innovate and respond at scale and pace. We are therefore stepping up our protection of government systems, from the NCSC’s excellent active cyber defence measures to models adapted from those used by the finance sector to test the security of public services.
On the subject of defence, the noble Lord, Lord Browne, a previous Secretary of State, raised some important issues about the security of our defence systems. We have well-established processes in place to address cybersecurity and the protection of our weapons systems. We are continuing to invest—for example, through our £265 million programme of cyber vulnerability investigations for military equipment. On the specifics of responding to the report published in the US, I will happily write to the noble Lord. To allay his concerns on the UK’s use of equipment supplied by the United States, I refer him to the details of the NCSC’s support of the MoD’s Modernising Defence programme in its recent annual review, where examples include stringent testing of the new F35B fighter planes.
My Lords, I am sorry to ask the Minister to give way again. I do not always share the views of my noble friend Lord Browne on some of these issues, but on the Dreadnought programme, which is crucial, could the Minister maybe go back to the Secretary of State for Defence and say, “There really is a need for red-teaming regarding the threat of cyber to the Dreadnought programme, as it is in-build”?
I take very seriously such a warning coming from the noble Lord. I will share of course his concerns with my right honourable friend the Secretary of State for Defence and get him to write to him.
While it is difficult to avoid headlines about attacks and breaches, doing something about it is still often seen as too technical, too difficult or someone else’s problem. However, one of the themes that has emerged from our debate is that cybersecurity is everyone’s responsibility. We consider it vital that all organisations embrace and embed cybersecurity, from the boardroom down. That is why we have targeted efforts at driving long-term change, starting with helping boards to better understand the risks they face and to invest appropriately. This year’s cybersecurity breaches survey revealed that only 30% of businesses have a board member with responsibility for cybersecurity, and that is not good enough. We must ensure that boardrooms provide active leadership to ensure that cybersecurity is ingrained into organisational cultures and mindsets—a point well made by the noble Lord, Lord St John of Bletso, who also drew attention to the substantial fines that companies are now exposed to under GDPR if they do not comply with the new legislation. As the noble Lord, Lord Fox, highlighted, understanding exactly how secure data and systems are in complex organisations has never been more important.
I am conscious that I am not going to be able to get through all the points that have been raised within the allocated 20 minutes, so I will write to noble Lords to deal with the issues that I have not been able to address today. In conclusion, I hope I have been able to demonstrate not just that we understand the scale of the challenge that we face but that we are seeking to create the environment for everyone to be at their most collaborative and agile to respond, a point well made by the noble Earl, Lord Erroll. As we face new challenges in the year ahead, we need to ensure that we remain focused on reaching across organisational, political and geographical boundaries. As we face those challenges, I will ensure that we take on board the valuable suggestions that noble Lords have made in today’s debate so that we can continue to protect the economic and individual freedoms that make us stronger together.
(6 years, 6 months ago)
Lords ChamberOn the first question, the noble Lord will know that it is for the Electoral Commission to investigate any alleged irregularities concerning the referendum. It has already published a decision on Leave.EU and fined that body £70,000. Investigations continue into allegations that Vote Leave avoided the cap on election expenditure on the referendum by channelling resources into another, linked organisation, and that is a matter for the Electoral Commission to resolve. As far as the outcome is concerned, 1.3 million more people voted to leave than to remain, and I am not sure that one can attribute that fairly substantial margin to the activities of the Russian bots or, indeed, any other outside agencies.
My Lords, there is absolutely no doubt that the Russians are behaving in a dangerous and threatening way in cyberspace: we know that and it is a real threat to Europe. The noble Lord was no doubt celebrating yesterday the victory of 203 years ago, when we thrashed the French, in conjunction with the Prussians, at Waterloo; and the victory of 100 years ago this week, when, with the French, we thrashed the Germans at the second Battle of the Marne. We have expended a huge amount of blood and treasure on European security. Does the Minister not believe, in view of that, that the decision on Galileo is quite extraordinary?
If I may focus on the first part of the noble Lord’s question, which is about Russian involvement in covert activities, he may know that the Intelligence and Security Committee, on which two noble Lords sit, is currently investigating Russian involvement in the 2016 referendum and the 2017 general election. It makes sense to allow that important inquiry to be completed, and then we will have a clearer view of the impact, if any, of Russian involvement in the election, which is the subject of this Question. So far as Galileo is concerned, I commend the noble Lord’s ingenuity but I have listened to fellow Ministers give very adequate answers on Galileo and I will not attempt to rise to that level.
(6 years, 7 months ago)
Lords ChamberThe noble Lord raises a valid point. The Government’s industrial strategy, which was published a few months ago, says that the Government are providing industry with visibility in terms of potential procurement opportunities across 19 sectors, of which this is one. Improving pre-procurement dialogue is a key part of that process. I know that my noble friend the Minister at the Department for Transport and her colleagues are in touch with the automotive industry to make sure that it can respond to the challenges that are behind many of the questions that I have been asked this afternoon.
My Lords, the Minister spotted that the word “fleet” got me rather excited, but my question relates to procurement. I have concerns, after my time in government, that departments play shops. For a particular department, it might make sense to go for a cheaper option, but the totality of the real cost for the country is never properly calculated by the Treasury. For example, not giving work to a certain factory means that it will go bust and we will have to pay money for unemployment and retraining, but these things are never taken into the calculation. We are very bad, sometimes, about making an overall decision about what is the best value for money for the nation, rather than a shortcut for a particular department. Is the Minister happy that the Treasury takes those factors into account when fleet—I am talking about car fleets, sadly—decisions are made?
The Government try to use their purchasing power to get the best value for money when it comes to investing in these vehicles. The Crown Commercial Service aggregates, through the vehicle purchase e-auction programme, the requirements across all government departments. It then has what is called a reverse auction three or four times a year to get the best bids for the vehicles that it needs. When it commissions the vehicles, it looks at the overall cost, not just the upfront cost. The contracts quite often go further than just the purchase and include servicing and repairs throughout the life of the vehicle.
(6 years, 8 months ago)
Lords ChamberI hate to disappoint the noble Lord but the introduction of ID cards is not on the Government’s agenda at the moment, nor do I think it will be in the near future.
My Lords, what advice does the Civil Contingencies Secretariat now give to households in case of emergencies? Until about 10 years ago quite detailed advice was given. Has this been updated recently and what provisions, et cetera, should households have in place should there be a crisis, particularly something affecting cyber and delivery, for example?
I may need to write to the noble Lord on that and how it relates to the civil contingencies unit. In some parts of the country there are arrangements whereby if there is an emergency, the landlines of those who live in the immediate vicinity are automatically contacted and they are given a message. But I would like to do some more work on the specific question the noble Lord asked and then write to him.
(6 years, 9 months ago)
Lords ChamberMy Lords, behind this, there is a serious issue. Democracy in this country depends on political parties. If there is to be a choice at a general election, we need a range of financially viable, credible political parties which train and nurture the people who lead this country and which provide an opportunity for engagement and debate at a national and local level. Given the limited taxpayer appetite to fund those activities and that political parties need to be resourced, we should be cautious about denigrating those who support political parties. We should encourage more people to join and financially support the political party that most closely reflects their values.
My Lords, is there not a fantastic opportunity here for a cross-party competition with listed politicians, to see who would pay most money not to have a meal with those politicians?
In the past, when I put up as a prize a meal with myself, my wife made absolutely certain that she bought it.
(6 years, 10 months ago)
Lords ChamberI speak from an intelligence background. Does the Minister agree that when one looks at patterns of operation, the way in which this whole affair has been dealt with by Russia is exactly the same way as it dealt with similar things when it was the Soviet Union—particularly its normal, KGB-type way of reacting and acting when these sorts of things happen?
I agree with the noble Lord. It is very disappointing that these practices have reappeared in the Soviet Union and have damaged our relationship with that country.
My noble friend Lord Robathan asked what we were doing to stop Russian criminals from exploiting the UK financial system. He may know that we passed the Criminal Finances Act 2017, which introduced criminal offences relating to companies that failed to prevent tax evasion. We made a commitment at the 2016 Anti-Corruption Summit to publish an anti-corruption strategy, setting out a work plan through to 2022. We have created a new National Economic Crime Centre within the National Crime Agency to bring together all our capabilities to fight economic crime, including the specific instances mentioned by my noble friend.
My noble friend may also know that we recently introduced unexplained wealth orders, so in addition to the action we have taken to deal with money laundering—such as the register of beneficial owners—we have taken powers to require people who own property that would ordinarily be beyond their obvious means to prove how they lawfully acquired it. On 31 January this year, the regulations that introduced UWOs came into force. A UWO requires a person who is reasonably suspected of involvement in—or connection to someone involved in—serious crime to explain the nature and extent of their interests in a particular property and to explain how the property was obtained where there are reasonable grounds to suspect that the respondent’s known, lawfully obtained income would be insufficient to allow the respondent to obtain the property.
The noble Baroness, Lady Kramer, asked whether cryptocurrency was included. In Schedule 2 of the order, “funds” is fairly embracing, meaning,
“including (but not limited to) … gold, cash, cheques, claims on money”,
et cetera, and Schedule 4, which deals with freezing prohibitions, refers to,
“making available the proceeds of realisation of property belonging to a specified person, and … making a payment to or for the benefit of a specified person”.
So my advice is that the order includes cryptocurrency. I agree with the noble Baroness that it is unlikely that these individuals will come to the UK or indeed that they have any assets in the UK.
The freezing order applies to overseas banks. The noble Baroness asked a more specific question about shell companies. I would like to write to her about that, but if the money from a shell company went through a bank, it would be caught by the order. She also asked about the delay in introducing the freezing order. She will know that there was a sequence of events—the inquiry that culminated, eventually, in the Sir Robert Owen inquiry. It was some time before we knew who to go for after the tragic death of Litvinenko. I agree with what she and other noble Lords said about the widow, Mrs Litvinenko.
I am sorry that the noble Lord, Lord Tunnicliffe, has had to wait two years for an answer to the question that he asked last time. The Government decided not to implement asset-freezing orders against those individuals mentioned in the letter under this legislation with the exception of Lugovoy and Kovtun but, as was indicated in 2016, a number of individuals on the list provided by Mrs Litvinenko’s lawyers have been designated for other reasons under sanctions relating to Crimea and activities in Ukraine. There is an ongoing police investigation into the two individuals that we discuss this evening.
I will have to write to the noble Lord, Lord Hylton, in answer to his questions about the total volume of assets frozen under freezing orders. I think he went just beyond the order that we debate this evening and his question applied to all freezing orders, so I will write to him. I am sorry if I have not answered all the questions raised by noble Lords. I will write in respect of those that I have not been able to answer.
(7 years ago)
Lords ChamberI think exit checks were reintroduced in May 2015. I will correct that in writing if that is not the case. The Government want tourists to be able to visit this country and not spend a disproportionate time going through passport or visa control. The last statistics I saw a few weeks ago indicated that the average time it takes to get through passport control was coming down, but I take note of the noble Lord’s representations. I agree that we should allow people to come in without undue delay.
My Lords, the Minister has not addressed the issue, which is that the Government are undertaking work at the moment and have tasked businesses with coming up with options to provide a means of identifying yourself online by using a card with biometrics. If you have a biometric card which identifies you, which is being used so that you can get online to all the government services we want to put online, what do you call it? It seems to me that it is an identity card. If we have one, why can we not use it more thoroughly?
I think what you call it is a voluntary system, as opposed to a compulsory one.