7 Lord Young of Norwood Green debates involving the Department for Environment, Food and Rural Affairs

Tue 22nd Sep 2020
Agriculture Bill
Lords Chamber

Report stage:Report: 3rd sitting (Hansard) & Report: 3rd sitting (Hansard) & Report: 3rd sitting (Hansard): House of Lords
Tue 15th Sep 2020
Agriculture Bill
Lords Chamber

Report stage & Report stage:Report: 1st sitting & Report stage (Hansard): House of Lords & Report: 1st sitting & Report: 1st sitting: House of Lords
Wed 2nd Jun 2010

Genetically Modified Organisms (Deliberate Release) (Amendment) (England) Regulations 2022

Lord Young of Norwood Green Excerpts
Monday 14th March 2022

(2 years, 8 months ago)

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Baroness Bakewell of Hardington Mandeville Portrait Baroness Bakewell of Hardington Mandeville (LD)
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My Lords, I thank the Minister for his excellent introduction, and for his time and that of his officials in providing a briefing. I congratulate the noble Baroness, Lady Bennett of Manor Castle, on her introduction to the amendment to the Motion. The use of genetically modified crops and plants is an issue which divides people, both those growing crops and the public at large. The noble Baroness, Lady Bennett, is knowledgeable on this subject, having gained an honours degree in agricultural science.

The Secondary Legislation Scrutiny Committee and the Delegated Powers and Regulatory Reform Committee have looked at this SI and found it wanting, as demonstrated by its report. In its response to the Secondary Legislation Scrutiny Committee, Defra has claimed that this SI enables

“the bioscience sector to test the benefits and safety of relevant new products ‘without the burden of unnecessary regulatory processes’”.

I am in favour of reducing bureaucratic burden but would expect this to be an open and transparent process. My noble friend Lady Parminter has covered this aspect in detail. The resulting field trials taking place from this SI are not transparent. No one will know where they are taking place. This could be next to a local authority allotment site in a rural area or next to an organic farm where wind-blown seed transference could have a devastating effect on the organic farmer. Given that we have the lowest uptake of organic farming in Europe, this is extremely worrying. We should be encouraging organics, not jeopardising them with secret GM field trials.

The Explanatory Memorandum refers to upcoming wider reform but provides no information on what the government plans are for this wider reform. Nor does it provide any guidance which is alleged to come from ACRE shortly. As we have no idea of what the government interpretation of “shortly” is, can the Minister give any indication of when this guidance will be available?

The noble Baroness, Lady Bennett of Manor Castle, has indicated that ACRE is not an independent body. The consultation carried out by Defra indicates that the scientific bodies are not overwhelmingly in favour of gene editing. During the passage of the Environment Act, there was discussion on the importance of adopting the precautionary principle. The path we are about to embark on will throw this out of the window and replace the precautionary principle with an ethos of a proof of harm scenario, which is a very different kettle of fish.

Plants grown as a result of this SI are for non-marketing purposes and cannot be marketed without the consent of the Secretary of State. This does not in any way curtail the ability of a Secretary of State to give his or her permission for marketing without any further debate in Parliament. This is a direct bypass of the democratic process which Parliament should carry out.

Defra has indicated that it will move to a self-declaration system following advice from ACRE. Again, this is a concern to organic farmers. Defra says it will be the responsibility of researchers to abide by the law and gain authorisation for GM plants if this material gets into commercial products. Since the sites of trials and subsequent self-declaration systems are unknown, how will organic farmers be able to protect their crops and produce if they do not know where such field trials are taking place? It could be close to their land.

I turn briefly to the devolved Administrations, as referred to by the noble Lord, Lord Krebs. The Scottish and Welsh Governments have made it clear that they do not wish to pursue equivalent changes in Scotland or Wales. Is this not going to cause confusion across the country as a whole? Perhaps the Minister can comment.

I could go on but, given the hour, I will draw my remarks to a close. During the consultation, 88% of the individuals and 64% of the businesses responding were opposed to this change in the regulations. Given that there are very conflicting views on the efficacy of the science, I am not able to support this SI.

Lord Young of Norwood Green Portrait Lord Young of Norwood Green (Lab)
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My Lords, I state my position as a remainer, but there are two things I welcome in coming out of the Common Market. One is the CAP, and this particular—

Baroness Bloomfield of Hinton Waldrist Portrait Baroness Bloomfield of Hinton Waldrist (Con)
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I am sorry, but the noble Lord was fast asleep for the entire duration of the Minister’s speech. He really should not participate in this debate, having failed to take advantage of the opportunity to listen to it.

Baroness Bloomfield of Hinton Waldrist Portrait Baroness Bloomfield of Hinton Waldrist (Con)
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I had to send a note via the doorkeeper to wake up the noble Lord.

Agriculture Bill

Lord Young of Norwood Green Excerpts
Report stage & Report: 3rd sitting (Hansard) & Report: 3rd sitting (Hansard): House of Lords
Tuesday 22nd September 2020

(4 years, 2 months ago)

Lords Chamber
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Lord Young of Norwood Green Portrait Lord Young of Norwood Green (Lab) [V]
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My Lords, I too wish to speak in support of these amendments. I am pleased to learn that the Government say that they will carry on research into reducing the use of pesticides. There are perhaps somewhat controversial methods of reducing the use of pesticides, and one I will refer to is known as gene editing. This is a very significant variation on genetic modification, which was understandably opposed by many. Gene editing gives us an opportunity to do what plant breeders have done over the years and make plants less dependent on pesticides and more able to fight diseases. I would welcome a response from the Minister on the Government’s attitude towards gene editing as a contribution to the reduction in the use of pesticides.

Duke of Wellington Portrait The Duke of Wellington (CB)
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My Lords, I declare my agricultural interests as in the register. I wish to speak to Amendment 80 in this group, tabled by the noble Earl, Lord Dundee. It seems to me that any government policy that reduces the use pesticides in British agriculture is, unarguably, desirable. Farmers, however, will be damaged economically if they are not able to use certain pesticides. Damage to the sugar beet crop in France, as reported recently in the Financial Times, is an example of this. If public money is to be used for public goods, reduced use of pesticides should be compensated by public money. The amendment in the name of the noble Earl, Lord Dundee, is a step in the right direction and I do hope the Government will accept it. Encouraging conversion to organic farming will, among other things, reduce pesticide use. But I completely take the point made by the noble Earl, Lord Caithness, in last week’s debate, that certified organic farming is not the only nature-friendly system of farming.

I really hope that the Government will give the opportunity for farmers from 2021—not 2024—to earn extra payments for nature-friendly farming practices, including by reducing the use of pesticides. Developing targets for integrated pest management and monitoring the effects of pesticide use, and reducing pesticide residues in food, are aspirations that I expect should be embraced by a Government committed to improving the environment, as this Government are.

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Lord Rooker Portrait Lord Rooker (Lab) [V]
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My Lords, I briefly give my full-hearted support to the noble Earl and his proposal. Again, I draw on my own experience at both MAFF and Defra and, at one time, as the Planning Minister, when I had a predisposition to facilitate the use of what you could term redundant farm buildings for other uses, be they housing or small enterprises—sometimes start-up or incubator units. I realise that it is not easy, and I know local authorities are suspicious because there have been abuses in the past. I realise that they sometimes want to limit the footprint of redundant buildings being extended too much, but the fact is that we need a national guideline for the flexibility.

The noble Earl pointed out that there are two classes of situation here. Local authorities could be deemed to be giving planning permission to themselves— or, indeed, not giving it—where they own the county farms. It is always a problem when one has to have these separate walls in local authorities. It does not always look fair.

I give my support for all the flexibility the Minister can give, by way of encouragement to local authorities under the planning system, for more modern uses of agricultural buildings. The idea of affordable housing and issues ancillary to farming are fine; I would go much further than that, but I rest on supporting the noble Earl.

Lord Young of Norwood Green Portrait Lord Young of Norwood Green (Lab) [V]
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I first declare an interest as a member of the EU Energy and Environment Sub-Committee, which has done a lot of work on agriculture. I congratulate the noble Earl, Lord Dundee, on an excellent amendment. We certainly need to encourage new entrants and young farmers.

Looking at some statistics about farming apprenticeships, I was interested that they talked about a 2.7% growth in the industry as a whole and something like 137,000 people leaving the industry, so there are plenty of opportunities there. Is it currently easy for new entrants and young farmers? All the evidence we see is that you have to be very determined.

This is a really worthwhile amendment. It falls in line with our new approach to farming subsidies and the 25-year plan. It is a golden opportunity to put the emphasis, as it says, on sustainability and care of the environment. New young people coming into the industry will give it a fresh look; they are much better versed in the new technology. The point the noble Earl, Lord Dundee, made about housing is also important. We need to recognise that it is not enough just to create the opportunity; we also need to enable people to live near their place of work.

The other point I would like to emphasise is that there is, as we have heard in this debate, an awful lot of best practice out there and a lot of good farming going on. Finding the opportunity for those farmers to buddy up with new entrants to act as mentors would be really good.

The noble Earl, Lord Dundee, mentioned food security and fresh produce. In addition, there would likely be less food waste. Giving guidance to local authorities also seems a sensible part of this amendment. I welcome the amendment and give it my full support. I trust we will have a positive and constructive response from the Minister.

Baroness McIntosh of Pickering Portrait Baroness McIntosh of Pickering (Con)
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I am delighted to follow the noble Lord, Lord Young of Norwood Green, with whom I have the privilege to sit on the EU Environment Sub-Committee. I have just two questions for my noble friend the Minister. I thank the noble Earl, Lord Dundee, for providing the opportunity to ask them in the context of Amendment 79.

What I find attractive about this amendment—and I hope my noble friend will agree—is that it is currently notoriously difficult for new entrants to penetrate national parks. Would my noble friend see some merit in an amendment along these lines to ease the restrictions, allowing new entrants to enter into agriculture, particularly in national parks such as the North York Moors National Park?

Another reason to find Amendment 79 attractive is subsection (a), which seeks

“to encourage the construction of affordable rural houses.”

It is often overlooked that one of the reasons it is extremely difficult for older farmers to retire and cease to actively farm is that there is nowhere for them to go. There are large houses and executive-style houses, but there is a lack of affordable homes with one or two bedrooms in rural areas. I have seen some in Hovingham, which are part of the Hovingham estate, and they are tastefully done, but I would hope that this could be more widespread. That is why I hope my noble friend will use an opportunity such as the wording of this amendment, perhaps in a more appropriate place than the Agriculture Bill, to ensure that there is a supply of affordable rural houses for those who wish to make way for younger members of the family to take over the farming commitment. We need somewhere for them to go.

Agriculture Bill

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Report stage & Report stage (Hansard): House of Lords & Report: 1st sitting & Report: 1st sitting: House of Lords
Tuesday 15th September 2020

(4 years, 2 months ago)

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Baroness Altmann Portrait Baroness Altmann (Con) [V]
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My Lords, I add my support to the thrust of this amendment, moved so excellently by the noble Baroness, Lady Jones of Whitchurch. I support the idea that we need a joined-up approach to tackling environmental challenges. The aim of linking the Agriculture Bill, the Environment Bill and the 25-year environment plan by putting this into the Bill makes eminent sense, especially as I know that this Government are committed to real action and development on climate change and have already done significant amounts to make sure that this country is a world-leader in pushing forward with environmental protections and climate change planning.

I hope that my noble friend will be able to reassure the House on this issue and, ideally, table the Government’s own proposals at the next stage, so that we are able to put this in the Bill. I know that we can be proud of the Government’s record on climate change and that there may well be significant desire to ensure that this is not a contentious issue and that there is cross-party support, as we have seen in the debates so far.

Lord Young of Norwood Green Portrait Lord Young of Norwood Green (Lab) [V]
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My Lords, I declare an interest as a member of the EU Energy and Environment Sub-Committee. It is certainly a pleasure to follow my noble friend Lady Jones of Whitchurch—I wholeheartedly endorse her views—and the noble Lord, Lord Krebs.

As a number of speakers have already said, we are seeking to bring about the most profound change in the way agriculture is managed and focused. If ever we had any doubt about the importance of the situation we are in, those who had the pleasure of watching the BBC’s programme on Saturday, hosted by David Attenborough, who talked about extinction in a calm, measured and scientific way, were shown beyond any doubt the challenges that we face. This amendment, bringing home to the Government the importance of linking the environmental challenge to the Agriculture Bill, is absolutely well-founded and I am only too happy to endorse it.

Baroness McIntosh of Pickering Portrait Baroness McIntosh of Pickering (Con)
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My Lords, I also declare my interest as a member of the EU Environment Sub-Committee. I congratulate the noble Baroness, Lady Jones of Whitchurch, on bringing forth this amendment. As its co-signatories and others who have supported the thrust of the amendment have said, it very clearly demonstrates the link between this Agriculture Bill, establishing public benefit and financial assistance for public goods, with the provisions of the Environment Bill.

I understand the difficulty the Minister is in, having listened very carefully to the words of our noble friend and colleague, the Minister who replied to an early debate, saying that he would love to give a date when the Environment Bill might be coming but was unable to do so. I hope my noble friend will look favourably on this amendment on equating the two Bills.

Higher Education White Paper

Lord Young of Norwood Green Excerpts
Tuesday 28th June 2011

(13 years, 4 months ago)

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Lord Henley Portrait Lord Henley
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Again, I want to leave this as a matter for the higher education institutions themselves. It is up to them; they do not have to charge the same amount for each student if those students are doing different courses. If students are doing a humanities subject, there is no reason why the institutions should not charge less than for other, more expensive subjects. It must be a matter for them.

Lord Young of Norwood Green Portrait Lord Young of Norwood Green
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I, too, thank the Minister for repeating the Statement. I will respond to a couple of points that he made in reply to my noble friend Lord Stevenson. We do not deny the deficit; our counteraccusation to Her Majesty’s Government is that they are dealing with the deficit too far, too fast. Of course, we have not retreated to the position that all funding should come from taxpayers; we recognise the challenge of expanding higher education—indeed, we introduced student fees. This is about the level of them. I share the welcome given by the noble Baroness, Lady Sharp, to support for part-time students, and I hope that we will see an expansion of sandwich courses—and that response from business.

In the beginning, when the Government responded to the Browne report and put the figure of £9,000, there was a lot of confidence that not all universities would rise to that figure. Yet currently more than 80 per cent of universities have indicated their intention to charge £9,000. I was interested in the response to the previous speaker that there might be a variation, but the current public position is charging £9,000. Will that be a deterrent to potential graduates when they see the potential size of their loan increasing so much—figures of £40,000 are not exaggerated? I know the response will be that there is no upfront payment. Nevertheless, people will see a loan that eventually has to be repaid.

Lord Henley Portrait Lord Henley
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I am very grateful for the noble Lord’s admission on behalf of his party that it does not deny the deficit. I am also grateful that he has recognised that funding must come from the beneficiaries of education as well as from the taxpayer—from both sides.

The noble Lord turned to the Browne report which, as noble Lords will remember, did not recommend a maximum. However, we felt that it was probably right to fix it at £9,000, particularly as the noble Lord, Lord Browne, suggested that he did not see why universities could not provide a good education for a figure of, I think he said, round about £8,000. The noble Lord, Lord Young, says that the reports are that virtually all institutions are going for the maximum of £9,000. We will not know the final figure until it has all been confirmed next month, but I can assure him that although a lot of them are going for £9,000, that does not mean that everything in that university, that institution, will be £9,000. There might be different rates for different courses and, as the noble Lord knows, there are a number of waivers, and they will be offering bursaries and other things that will help to bring the cost down, particularly for some of the less well off.

The noble Lord also asked the very valid question: are we worried that the perceived level of debt might put off a number of individuals because they see themselves ending up with a debt of £27,000-plus? That is a genuine fear and we must address it. That is why only last week my right honourable friends Vince Cable and David Willetts sent a letter setting out what we are doing to get information across. They have set up a new independent task force on student finance information, headed by Martin Lewis and Wes Streeting, a former president of the National Union of Students, to try to get the information over that it should not be looked at as a debt but, in effect, as a sort of graduate tax, except that it is not a graduate tax; you start paying only when you start earning above a certain amount and you pay at quite a low rate over a long period of time. It is not the burden that people have when taking on other forms of debt.

Public Bodies Bill [HL]

Lord Young of Norwood Green Excerpts
Wednesday 9th March 2011

(13 years, 8 months ago)

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Baroness Hayter of Kentish Town Portrait Baroness Hayter of Kentish Town
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I will raise a couple of issues on the consumer aspects—although there may be no other issues, as that is the purpose of these two bodies. I have three questions on which I seek information from the Minister. First, in transferring enforcement of consumer law to local trading standards bodies, how can trading standards enforce significant breaches of consumer law at national level, such as bank charges or airline practices? My second question regards supercomplaints. Is the Minister satisfied that taking supercomplaints about competition direct to the new merged body—without, therefore, the two-stage process of checking on a case—has been carefully considered before the merger was proposed?

My third question is in respect of those supercomplaints which deal with consumer detriment which arises from particular features of a market. I have in mind for example, the current supercomplaint by Which? on payment method surcharging. It is not clear to me where those sorts of supercomplaints, which come under general consumer protection regulations rather than breaches of law on competition, would be taken under the new architecture.

Lord Young of Norwood Green Portrait Lord Young of Norwood Green
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I have sympathy with the amendment; I think that it is a probing amendment. I certainly welcome the framework document, because I think that it is an attempt to explain what is going on, even if it does not deal with every detail.

The Government state in that document that the challenge in creating a single competition authority will be to help create a framework which is genuinely greater than the sum of its parts—for example, by streamlining procedures and processes to the benefit of those who use or are affected by them. There is doubt about whether that can be achieved. My noble friend Lord Dubs was right when he said that both authorities when they were initiated were the subject of large debate and primary legislation. Is this the right way to deal with them in future? That is a major decision.

I certainly concur with some of the concerns expressed by my noble friend Lady Hayter. Indeed, I was going to ask about the consumer functions that are being transferred. The Government state that the focus is to create a single strong point of information on education and advocacy and that citizens advice services will also take on responsibility for the Consumer Direct helpline. Strong concern has been expressed in the Chamber about the idea that Consumer Focus will be merged with the citizens advice bureaux—mainly because there have been examples around the country of local authorities cutting those services. There is genuine concern about that aspect of the Office of Fair Trading’s activities being transferred to the citizens advice bureaux.

The document also mentions consumer credit functions being subject to a separate consultation as part of the HMT proposals for a new consumer protection and markets authority and that any subsequent transfer will be dealt with primarily through separate financial services legislation. It also talks about the possibility of the consumer functions being transferred in advance of the wider merger proposal. That only stresses our anxiety about whether there will be the ability at local authority level to deal with those aspects of consumer protection.

Those are our concerns about the proposals. I hope that the Minister will tackle the questions raised in his response.

Lord Newton of Braintree Portrait Lord Newton of Braintree
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My Lords, before my noble friend replies with his characteristic clarity, perhaps I may be a seeker after truth. There has been reference to consultation. I am now left totally confused. I read the briefing note that I took off the e-mail only yesterday in respect of today's proceedings, which contains the following line:

“The Government will consult on its detailed proposals in the new year”.

I am aware of the elasticity of seasons in respect of Her Majesty's Government, whoever forms it, but this seems to be getting ridiculous. Are we consulting or are we waiting?

Public Bodies Bill [HL]

Lord Young of Norwood Green Excerpts
Tuesday 21st December 2010

(13 years, 11 months ago)

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Lord Borrie Portrait Lord Borrie
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My Lords, the Competition Service, to which the amendment applies, is a very small cog in the wheel of competition policy, which this Government, the previous Government and most Governments over many years have regarded as a vital part of policy for the British economy. Competition is good for the economy. I question the Government's reasoning for listing the Competition Service among the bodies that should be abolished under Schedule 1.

It was created under the Enterprise Act 2002 as an executive non-departmental public body to fund and provide support services for the Competition Appeal Tribunal, the top body in court terms, which hears appeals on matters relating to competition. The Competition Service’s work is dedicated entirely to the Competition Appeal Tribunal. I do not know whether it has been officially announced, and the Minister will no doubt tell me if I am wrong, but I understand that the Government have in mind that in future the Competition Appeal Tribunal, which will no longer have this dedicated service of the Competition Service to assist it, will be supported and serviced by the general Tribunals Service, which was not in existence in 2007, and therefore the Government could not then make it available for the Competition Appeal Tribunal.

The function of the Competition Appeal Tribunal, as I have indicated, is as an appeal body from the Competition Commission, and it is obvious to everyone concerned that its independent judicial role must be backed up by an independent administrative service. That is so at present. The Competition Appeal Tribunal gets an independent service and, as I understand it, is very satisfied with the service it receives from this body that the Government wish to abolish. There is no question of this public body, the Competition Service—I revert to the discussion on the previous matter—being a dead parrot, having no function. It has an important and useful administrative function.

It should be said that the Competition Appeal Tribunal has a UK-wide jurisdiction. It covers not just England and Wales, but Scotland too. It hears appeals and judicial reviews on competition matters and other related regulated matters, and it has a High Court judge as president, so it is a high-powered, much-respected body. My understanding is that when competition judges from different parts of the world meet together, this body we have in Britain is regarded as a very efficient and effective judicial body. The small—the Minister will, no doubt, indicate how much it costs and so on—Competition Service, which supports the Competition Appeal Tribunal, is virtually part of it. In effect, the Competition Appeal Tribunal administers itself, so if it is abolished, it would be in a much weaker position and would have to go to the more general body, the Tribunals Service, where people would have to be specially trained for the relatively rare cases it received on matters of competition. It would be very different if the Competition Appeal Tribunal was dependent on the large, general Tribunal Services for its support. I think that should be a matter of concern. Any savings from the abolition of the Competition Service seem to me to be most unlikely. It may, indeed, cost more because of the training required for the staff of the general Tribunals Service in order to cope with competition cases.

Moreover—and this is a matter on which I should be grateful for an answer—I understand that the Competition Appeal Tribunal and the Competition Service have UK-wide jurisdiction. I think I said that a little earlier, but what I want to say now is that the Tribunals Service, to which the Government seem to intend this body should go for administrative support, has jurisdiction in England and Wales only, and it is being considered by the Government for merger with the Courts Service, which makes a certain amount of sense. The Courts Service covers England and Wales, and the Tribunals Service is largely England and Wales, but it would not be in this particular instance. I wonder whether it is intended that if the Competition Appeal Tribunal is dealing with, say, a Scottish case, it would be administered differently from when it is dealing with an English case. Certainly, there would be expense, trouble and difficulty in training if it were otherwise. I beg to move.

Lord Young of Norwood Green Portrait Lord Young of Norwood Green
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My Lords, noble Lords will be relieved to hear that I do not propose detaining us for long, because my noble friend Lord Borrie has put the kernel of the case. I just want to make a couple of points. We are told that a working group is currently examining the case for abolishing this body. Early in 2011, it will report to the Secretary of State for Justice and the Secretary of State for Business with its recommendations. No final decisions will be taken before then. Apparently, the working group consists of BIS, TS, HMT and Competition Service officials. It is examining all the relevant aspects of a possible transfer and abolition, including financial, legal, judicial and policy. It aims to produce a report for Ministers that sets out the pros and cons of such an abolition and transfer. If that consultation is taking place, it seems to us rather strange that this should appear in Schedule 1. Would it not be preferable if we awaited the outcome of the consultation process? All the other points in relation to this have been made. Given the time, I await eagerly the Minister’s response.

Baroness Wilcox Portrait The Parliamentary Under-Secretary of State, Department for Business, Innovation and Skills (Baroness Wilcox)
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My Lords, I thank the noble Lord, Lord Borrie, for his amendment because it means that we have to look carefully at what we have said and what we are doing. With his background in the Office of Fair Trading and my experience of working with him over the years, I know how valuable his opinion is in these matters. He has rightly said that the Competition Appeal Tribunal was created by the Enterprise Act 2002. It hears appeals on competition and regulated industry cases and is independent from other competition bodies, such as the OFT and the Competition Commission, because it hears appeals against their decisions. Rightly, he explained how special it is.

The Competition Service was created by the Enterprise Act to provide administrative and other support to the Competition Appeal Tribunal. It has no function other than being a service for the Competition Appeal Tribunal. The Government believe that the way in which this function is being provided is not making the most effective use of resources and that there may be cost savings and increased efficiencies if the functions of the Competition Service were transferred to the Tribunals Service, to which the noble Lord referred.

The consequence of this would be transferring the Competition Appeal Tribunal, which would then receive its support from the Tribunals Service. The Competition Service would then be abolished. However, no final decision has been taken. As the noble Lord, Lord Young, said, a working group has been set up to test the case for making this proposed abolition and transfer. It is a decision that we will not take lightly. The working group will report to Ministers in BIS and the Minister of Justice in early 2011. They will then decide whether to proceed with the abolition and the transfer. In carrying out this review, the Government are clear that there should be no adverse impact on the operation of the Competition Appeal Tribunal, which would operate as an independent tribunal under the aegis of the Tribunals Service. I hope that the noble Lord, Lord Borrie, finds that reassuring.

Queen's Speech

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Wednesday 2nd June 2010

(14 years, 5 months ago)

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Lord Young of Norwood Green Portrait Lord Young of Norwood Green
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My Lords, I, too, rise, after some time, to congratulate the noble Baroness, Lady Wilcox, on her appointment and the noble Lord, Lord Henley, on his reappointment. I also congratulate the noble Baroness on her opening speech. I pay tribute to my noble friend Lord Myners for his valedictory speech from the Front Bench. I, like other noble Lords, lament his passing to the Back Benches.

There is no doubt that the country faces the serious challenge of reducing our deficit, and the country needs to know how the Government will do that. Will it be cut fairly without damaging front-line services or hurting the poorest families and—this vital point has been made again and again in a variety of ways—without putting the recovery or future growth at risk? These are the criteria that we will apply when judging the coalition Government’s plans.

On this basis, the recent announcement fails on four counts. On efficiency savings and cuts, cutting now before the recovery is secured risks having higher not lower borrowing. The removal of growth-supporting measures such as university places and RDA business support this year, when they are needed most, cuts away at the investment that will deliver the rebalanced growth that we will need in the years to come. Scrapping the child trust fund even for the poorest families and families with disabled children is a breach of the Conservative manifesto commitment and will make it harder for families to help their children to get a good financial start in life. The Conservatives have broken their promise that the entire £6 billion will be made up of efficiency savings rather than cuts to services and benefits.

The new Government inherit an economy in which the worst of the recession has ended and the recovery is under way, but that recovery cannot be taken for granted, as many contributors have said. The challenge now is to embed and to secure the recovery, not to put it at risk. Where the Government take steps to do that, we will support them, but taking money out of the economy now while the recovery is still fragile is a risk that we should not be taking. As Vince Cable in another place used to argue, damaging the economy now while the private sector was still weak would lead to higher not lower borrowing, to people out of work and to firms not paying tax, and would cost us all more. Does this coalition believe that unemployment is a price worth paying?

Before the election, the Conservatives explicitly stated that they would protect front-line services, but that promise is not being honoured in the light of recent announcements. In fact, the Government’s savings are not just in bureaucracy and back-office staff; they are real cuts to real services and will affect people. Children, even the poorest and the disabled, whom the Conservatives originally promised to protect from cuts, as I have said, will stop receiving child trust fund payments. Business support through regional development agencies is being cut. The rollout of the future jobs fund, which offers work experience or training to 18 to 24 year-olds who have been unemployed for more than six months, is being cancelled. The number of new university places, which the Labour Government announced for this year, is being cut by 10,000. That, again, goes against the Conservative manifesto promise of an extra 10,000 places.

Energy has been the subject of a lot of debate all through today. We welcome measures that we believe will help to lower emissions, increase energy efficiency and encourage growth in low-carbon energy, and which would have appeared in our own legislative programme. These include help for home energy efficiency that would be paid for by energy savings, additional funding for carbon capture and storage, a smart grid, feed-in tariffs and an expanded offshore grid. However, it is clear that the Government cannot offer a coherent and long-term agenda for creating a secure low-carbon energy mix and reducing our domestic emissions. Nor can they provide leadership on tackling climate change in the international arena. The Prime Minister has failed to demonstrate leadership on the low-carbon agenda, having tried and failed to turn the Conservative Party green. Many senior Conservative politicians and a majority of general election candidates, many of whom are now MPs, refused to back action on climate change and low-carbon energy, while across the country Conservative councils block the majority of wind-farm proposals.

The new Government still need to answer many questions about their energy and climate change agenda. How can they claim the credibility to deliver a new generation of nuclear power stations as long as the Secretary of State is an avowed opponent of nuclear power? How will they deliver on renewables and on action to reduce emissions while many Conservative MPs and councillors remain sceptical about climate change and the need for low-carbon energy? How will the targeting of industrial subsidies for cuts help our transition to a secure low-carbon economy? Surely scrapping the Infrastructure Planning Commission is likely to prove a charter for delay on vital infrastructure projects and for nimbyism.

As regards transport, the decision to scrap the third runway at Heathrow and an additional runway at Stansted will not reduce the number of flights or make a contribution to a greener environment. All it will do is hand the business advantage to Schiphol Airport in Amsterdam, Charles de Gaulle Airport in Paris and Madrid Airport. There will not be fewer flights. The business will be handed to our competitors.

I welcome some assurance on the future of Crossrail, which many people agree is a vital contribution to transport. We welcome the commitment to high-speed rail, but I return to my previous point on the scrapping of the Infrastructure Planning Commission. Will we be able to deliver Crossrail?

As to comments on Royal Mail and the injection of private sector capital, far be it from me to deny previous government policy on this. However, we still believe in a publicly owned Royal Mail. Before making a judgment, our view will be based on whether proposals will deliver reliable and high-quality postal services, which are underpinned by a strong universal service for households and businesses in Britain. Our vision is of a Royal Mail with a secure future and in good health, which provides customers with an excellent service and provides employers with rewarding employment. We want to protect the universal service. The British people rightly cherish the principle of letters collected and delivered anywhere in the UK, six days a week, for a single affordable price. Finally on this issue, as we know, the history of employment relations in Royal Mail has been fraught with difficulty. We have arrived at a situation where the modernisation programme has been agreed. Disturbing that situation needs careful thought.

Given the number of speakers, I will pick out only one or two points; nor would I want to deprive the noble Lord, Lord Henley, the sheer pleasure of answering the range of questions. The noble Baroness, Lady Wilcox, said that the cuts would improve efficiency and spoke about reckless borrowing. A number of comments were made about the extent of government investment. Perhaps we should remind ourselves that some of that investment will have a good return. The investment put into Lloyds and RBS would be capable of achieving a significant return for the Government should they wish to take that opportunity.

I welcome my noble friend Lord Bhattacharyya’s reference to the importance of the minimum wage and the extra money put into the science budget, as well as his analysis of the importance of manufacturing and the role of the RDA in the West Midlands. My noble friend Lord Haskel pointed out that Britain has become more prosperous and greener, and is a better place to live. He also pointed out the difficulty that the Government will have in their attempt to cut red tape and at the same time say that sometimes there is a need for more regulation. Surely we should go not for an approach which says that if we bring in one piece of regulation we will remove another, but for an approach which says that we are looking for better regulations.

I also welcome the appreciation expressed by the noble Baroness, Lady Garden, of the progress that was made on apprenticeships, and I welcome the Government’s initiative to increase them. However, I am concerned that that is going to remove money from Train to Gain. We should not forget that we need to address the skills deficit that exists in this country, and the fact that the Leitch report is still relevant. I utter a word of caution in that area.

The noble Lord, Lord Oakeshott, suggested that my noble friend Lord Myners supports the Government’s proposals on capital gains tax. I should also utter a word of caution on my noble friend’s behalf that that is not his position; I went to the horse’s mouth and he assures me that that is not what he said.

My noble friend Lord Whitty and I will have to disagree on one or two issues, such as on the question of Royal Mail and on a third runway at Heathrow. I take this opportunity to congratulate the noble Lord, Lord Low, on his balanced analysis of the way to deal with the deficit and the importance of the pace of any reduction. My noble friend Lady Kennedy made a strong plea for fairness when finding our way through the deficit problem, and that this should be dealt with through strong growth and high employment.

Given the number of economists we have in the Chamber, it is not surprising that there was some difference of opinion. I cannot help reflecting on the old cliché that if they were laid end to end, they still would not reach a conclusion. However, I must admit that I was captured by the analysis made by the noble Lord, Lord Skidelsky, of the way forward and the relevant point he made about cutting the deficit now: how will that actually promote the recovery? On that note, I shall leave it to the noble Lord, Lord Henley, to answer the questions.