Economic Activity of Public Bodies (Overseas Matters) Bill

Debate between Lord Wolfson of Tredegar and Lord Shipley

Committee stage
Tuesday 7th May 2024 Lords Chamber

[Lord Wolfson of Tredegar (Con)]

I am extremely grateful to the noble Lord for setting that out so clearly. It brings me to the question I hope he might be able to pick up later, so that I can really understand how this works. We have a public authority, which publishes a set of policy criteria relating to disinvestment in cases concerning contravention of human rights. As he has just set out—and certainly implied by what he just said—it would not be required, for example, to adopt the ECHR in full; it could highlight certain things.

What would happen if a local or public authority decided to say, “We are not going to disinvest or have a policy of disinvesting from countries which do not, for example, allow gay marriage; we will not have a policy of disinvesting from countries that discriminate against women, but we will have a policy, which we will apply consistently throughout the world, of disinvesting from countries that are in control of occupied or disputed territory”? Under the noble Lord’s approach, would that be permitted?

[Lord Shipley (LD)]

Will the noble Lord give way for a moment? This discussion is extremely important, because I do not interpret Amendment 19 as the noble Lord is interpreting it. He says that there could be a statement, and it would have to be applied consistently to all countries. But the amendment also says that it must be in accordance with guidance published by the Secretary of State. The noble Lord has not mentioned the fact that guidance to underpin what a local authority was doing would be in place.

[Lord Wolfson of Tredegar (Con)]

Forgive me, but I think I did mention the guidance right at the beginning of my remarks. Indeed, I made the point that I did not understand that the noble Lord, Lord Collins of Highbury, had identified what that guidance would, should or might contain—so I think we are on the same page.

--- Later in debate ---

[Lord Shipley (LD)]

My Lords, this has been an extremely helpful debate. As the noble Lord, Lord Mann, identified, there is a conundrum in the Bill. The Minister may wish to reflect on the discussion that has taken place. She said after the first group that she valued the expertise of this House and would go away and think about how the Government would respond. I took that to mean that they may make changes on Report, which is theoretically likely to come in about three weeks’ time, but may take longer.

I have concluded, having listened to so many opinions—I am not a signatory to Amendments 19 or 48, though I have huge sympathy with them—from my noble friend Lord Purvis of Tweed, the noble Lord, Lord Collins, the noble Baroness, Lady Jones, and others, that it would be useful if the Minister would consider trying to bring all those opinions together into one place to talk further. That is the only way in which progress on this Bill will be made.

I think that I heard the noble Baroness, Lady Noakes, say that you cannot have local authorities setting foreign policy. I do not think local authorities want to do so, are doing so or have any ambition to do so. However, they are concerned about human rights and doing the right thing in their procurement and investment policies. Nevertheless, the issue must be discussed.

I took Amendment 19 to mean simply that a statement of policy relating to human rights would need to be considered by those seeking procurement or making investments, and that the statement may not single out individual nations and would therefore have to be applied consistently, as has been confirmed. However, it would have to be in accordance with guidance published by the Secretary of State. I find the concerns we have been hearing against Amendment 19 unfounded. The only solution I can see to this is that the offer made at the outset by the noble Lord, Lord Collins, should be taken up by the Minister. It would be really helpful if that could happen, because otherwise the passage of the Bill on Report will get more and more difficult.

[Lord Wolfson of Tredegar (Con)]

I invite the noble Lord to look at proposed new subsection (4D) because, with the greatest of respect, it is not correct to say that the policy would have to be “in accordance with” the Secretary of State’s guidance. The amendment says only that they must “have regard to” the Secretary of State’s guidance. This is not nitpicking; there is a really important distinction in law between having to follow guidance and merely having to have regard to it. That is one of the reasons why I was asking the noble Lord, Lord Collins of Highbury, those questions.

[Lord Shipley (LD)]

I understand the noble Lord’s point. I am quoting from the Member’s explanatory statement which is part of Amendment 19 in the Third Marshalled List of Amendments.