Tobacco and Vapes Bill (Twelfth sitting)

Alex Barros-Curtis Excerpts

Committee stage
Thursday 23rd January 2025 Public Bill Committees

[Dr Johnson]

My hon. Friend is, of course, correct.

On advertising and sponsorship, page 101 of the impact assessment states:

“Sponsorship agreements are a form of indirect advertising”—

I agree—

“and there has recently been growing concern about the existence of agreements which promote vaping and nicotine products. These agreements normalise the products and may make them seem cool, having a potentially negative influence on the usage of the products among children and non-smokers.

For nicotine vapes, Ofcom regulations prohibit sponsorship of news and current affairs programmes, and any sponsorship of programming which promotes nicotine vapes. The Communications Act 2003 also prohibits sponsorship of on-demand programme services or a programme on these services which promote nicotine vapes. However, for broader settings such as sports events and teams, music festivals and cultural events, sponsorship which promotes nicotine vapes is permitted.”

It is good that the Minister, in this clause, seeks to prevent such sponsorship—particularly the sort of sponsorship that targets children.

Subsection (1)(a) of both clauses states that a person is party to an agreement entered into “at any time”. That provision does not appear to differentiate between agreements made before and after the Bill becomes law. I understand that the Minister wants to ensure that there is not a sudden flurry of activity in the commercial world to put sponsorship agreements in place before these regulations come into force—we do not want companies to say, “Well, we are bound by this contract for so many years, Minister. We are stuck now”—but does he intend to apply the clause retroactively? Somebody who saw the Bill when it came before the House in March and April, saw it in its other format, or saw the manifesto commitments of all major parties to this Bill in some form or another, may have entered into such agreements already. I would be interested to hear what plans the Minister has to deal with those circumstances.

[Mr Alex Barros-Curtis (Cardiff West) (Lab)]

In my previous life, I worked in commercial contracts. The hon. Lady can be reassured that a typical commercial contract would require that any participant to it must adhere to the laws and applicable regulations in any jurisdiction in which the contract is governed. Regardless of the Government’s intention, which I am sure the Minister will talk about, there should be an overarching clause in most standard commercial contracts about adherence to applicable laws and regulations in the jurisdiction to which the contract applies.

[Dr Johnson]

I thank the hon. Gentleman for his contribution. That is another example of why it is important to have a wide spectrum of people on Committees. Of course, that is usually the case, but I am interested to know what the Minister’s intention is with “at any time”. Does he intend it to apply to contracts retrospectively? Presumably he does, but I want to clarify that.

I welcome the constraints on tobacco, vape and nicotine product advertising and sponsorship for this purpose, but I would be grateful if the Minister could answer those questions.

--- Later in debate ---

[Andrew Gwynne]

The hon. Lady makes a really important point. When we look at things in isolation, as we tend to do with these clauses, we look at them through a narrow prism, but this Bill contains a wide range of powers and legal responsibilities that will help to make things like those sponsorship deals incredibly difficult before the legislation is in force. It is very clear that, after Royal Assent, the requirements that the hon. Lady rightly sets out in terms of advertising, printing, publishing and so on will apply, and separately there will be this two-month window that we are giving, but the whole of the law needs to be read together. Hopefully that gives some assurances on why we believe that these measures, taken in the round, are as robust as they can be.

[Mr Barros-Curtis]

I am grateful that the Minister will take away the point raised by the hon. Member for South Northamptonshire, discuss it with officials and come back to us. When doing so, it will be worth reflecting on the fact that, as the hon. Lady knows from her previous work, a lot of commercial contracts tend to have force majeure clauses, which may well envisage legislative changes in countries relevant to the jurisdiction of the contract that could impact the commercial value of that contract. This may not be as big a problem as some fear, but it is something to be looked at as part of this work. Of course, given that the average wealth of a Premier League club is £1.2 billion, I am sure they would survive such a clause being activated in those examples.

[Andrew Gwynne]

My hon. Friend makes a very good point. I am grateful that we have somebody from the legal profession on this Committee to advise this Minister, who is not a lawyer, on provisions that may well be put into any kind of contractual discussion that may be starting now, and to alert the parties to such a contract that the law in the four jurisdictions of the United Kingdom is changing and will therefore affect any agreements that are being put into place in advance of that legislation coming in. That is an important point.

[Mr Barros-Curtis]

There is one further point that I wish to make. The hon. Member for South Northamptonshire and the shadow Minister were talking about the display of logos or company names on football shirts as an example of the practicalities of enforcement. Would my hon. Friend like to comment on the fact that, in European games, when teams that are sponsored by, for example, an alcoholic beverage or gambling company are playing countries where that is prohibited, the shirts of the relevant football team tend to have black tape over the logos, to prevent them from being displayed in the ground and on TV across the world.

[Andrew Gwynne]

My hon. Friend, as well as being a sound lawyer, is a sound mind reader, because that was precisely my next point. Rightly, Members are testing the legislation. The purpose of this Committee is to tease out how we expect the legislation to work. When it comes to sporting events, from time to time there will be English, Welsh, Scottish and Northern Irish teams playing in other countries, and more importantly teams from other countries playing within the United Kingdom. My hon. Friend rightly points to the existing practice that where something is illegal, those images are covered up.

[Andrew Gwynne]

I am grateful to the hon. Member for that question. The answer is going to be the stock answer that I have given throughout—that much of this detail will be down to how we draft the regulations and so on. The law of the United Kingdom and its four respective jurisdictions of England, Wales, Scotland and Northern Ireland is the law of the land. This Parliament, in passing this legislation, expects the law of the land to be adhered to. If the law of the land is not adhered to, there are strong enforcement measures and penalties for those not applying the law as passed by Parliament.

Going back to existing contracts, it is really important to emphasise the legal advice that the Government received in the drafting of the Bill: that we need to be proportionate and pragmatic and we cannot retrospectively legislate to stop existing contracts. It is really important that we avoid retrospectivity in the design of the clauses in front of us, because the principle that underpins our legal system is that the law is prospective, not retrospective.

[Mr Barros-Curtis]

I appreciate that, and I completely agree. Learned colleagues and others with legal training will probably remember the auspices of what Parliament can and cannot do. I appreciate that this is something the Minister will have to take away but, while fully agreeing that Parliament cannot be retrospective in the legislation it passes, is it not the case with commercial contracts that there will typically be a requirement for the parties to adhere to the laws that apply to the jurisdiction and to the parties themselves?

Of course, those laws can change in the future. It is not that it is a day one obligation at the time the contract is entered into and then is never checked again. It has to be an ongoing obligation. While I fully understand the point and agree with what the Minister is saying, can he take away that point about the ongoing obligation and the advice? That way, people who have these types of contracts can rely on knowing whether they are or are not in breach of the Act—if, as we all hope, the Bill gets Royal Assent and becomes an Act.

[Andrew Gwynne]

My hon. Friend sets out a really important point. I am happy to take that away for officials to look at. We want to ensure that companies that currently sponsor sports kits are no longer able to do so, and that sports clubs that have entered into such contracts are not allowed to extend them beyond the dates of their current existence. His brain is much more legalistic than mine, and we do not want the intention behind the law to be circumvented using legal routes that the best lawyers in the land will probably use to try to find a way around it. I will ask my officials to look at that in more detail, because it is a really important point. I hope he accepts that response.