Product Regulation and Metrology Bill [ Lords ] (First sitting) Debate
Full Debate: Read Full DebateAlison Griffiths
Main Page: Alison Griffiths (Conservative - Bognor Regis and Littlehampton)Department Debates - View all Alison Griffiths's debates with the Department for Business and Trade
(1 day, 23 hours ago)
Public Bill CommitteesWhat a great pleasure it is to serve under your chairmanship this morning, Sir John, and for the duration of this Bill Committee. I am shall start by indulging the Committee with a little bit of background on the reasons behind the amendments in this group.
As colleagues will have noted, the Bill gives sweeping powers to the Secretary of State to change regulations through delegated legislation. It is what everyone would describe as a skeleton Bill—and those are not just my words. In clause 1, which we seek to amend, the sweeping powers given to the Secretary of State are quite extraordinary. It is not just the Opposition who have pointed that out. The Delegated Powers and Regulatory Reform Committee in the other place looked closely at the Bill and concluded that the delegated powers in clause 1—we will come to the other clauses later—are inappropriate and should be removed from the Bill. I am sure Members will agree that that is quite a strong statement.
In response to the concerns raised by the Delegated Powers and Regulatory Reform Committee, the Government shifted somewhat. They acknowledged that Committee’s concerns and accepted that more detail could have been included in the delegated powers memorandum. Nevertheless, we heard again from the Committee on 21 February, when it welcomed the amendments the Government had tabled to introduce a requirement for consultation and narrow some of the delegated powers, but stated:
“The Government has not taken the opportunity to add flesh to the bones of this skeleton Bill.”
The Committee in the other place remained of the view that
“the delegation to Ministers of law-making powers in this Bill involves legislative power shifting to an unacceptable extent from the legislature to the Executive”
and that
“the Government has failed to provide a convincing justification for the inclusion of skeleton clauses in this Bill that give Ministers such wide powers to re-write in regulations the substance of the regulatory regimes for products and metrology.”
The Committee added that regulations made under the Bill should “in all cases” be subject to “affirmative procedure scrutiny”, meaning the regulations would require active approval by both Houses.
Clause 1 gives the Secretary of State extraordinary powers. I put on the record that the Secretary of State is a man of benign disposition. We can all see that many dangerous products find their way into the UK and to UK consumers’ homes, either through online marketplaces or through other means, and that a prudent and benign Government would need to introduce regulations to address that. The evidence that has been supplied to the Committee cites alarming cases of lithium-ion batteries, and regulations need take into account how dangerous those products can sometimes be. We are all aware of some of the challenges with online marketplaces where products that are illegal in the UK find their way to the UK market and UK consumers.
At the same time, although it may come as a surprise to some people, there are other countries in the world, and they also put in place product regulations. Some may have higher standards than us, and some may have lower standards. We can all agree that we want product regulation to be not only of the very best quality for the UK consumer, but consistent across our United Kingdom. The evidence to the Committee also highlights the need to look at the issue of fulfilment centres, on which it will be interesting to hear from the Minister.
It is also the case that we have our own accreditation: the UKCA—UK conformity assessed—marking. Many businesses in the UK have taken extensive and expensive steps to apply for that accreditation. The previous Government extended the recognition of the CE—conformité Européenne—marking, with which people are familiar and which shows that a product has met product regulation requirements in the EU. What plans do the Minister and his Department have for extending recognition of the very high standards that apply in the UKCA marking scheme?
What are the Government’s plans for when the operation of clause 1 leads to a difference in standards and labelling for particular products? In the evidence the Committee received, the example of tumble dryers was highlighted. A tumble dryer is likely to be subject to different labelling requirements in different parts of the UK, with the requirements in Northern Ireland being different from those in Great Britain.
In short, we are concerned that the legislation would give enormous powers to a future Secretary of State who might not be as benign as the one we have now. We need only to look across the Atlantic to see how President Trump was able to use Executive powers to move away from paper straws to plastic straws at the sweep of his signature. I am sure that Labour Members are extremely concerned about giving enormous delegated powers to the Executive, so will want to support our amendments to clause 1.
The Delegated Powers and Regulatory Reform Committee not only had concerns about clause 1, as we will discuss in due course, but also raised concerns about clauses 2, 3, 5, 6 and 9, which I am sure we will discuss at length. It is extraordinary how much power is being taken by the Executive in this legislation. The Conservatives accept that there is a need to reduce and mitigate the risks presented by products that make their way into the UK marketplace. There is obviously an important role in ensuring that products operate efficiently and effectively, and that products designed for weighing or measuring operate accurately. However, we are startled by the extent of the powers provided to the Secretary State in clause 1, particularly in the subsections that we propose to amend. The Secretary of State’s powers are startling, as will be shown in the Committee’s line-by-line scrutiny of the clause.
To summarise the concerns about delegated powers, the Delegated Powers and Regulatory Reform Committee stated that:
“A delegated power is needed in order to ensure that the Secretary of State is able to respond swiftly to any new risks and hazards that might arise in this area—”
I am sure we will mention that again when we move on to clause 4—
“as well as ensuring continuity across the United Kingdom internal market. This will include an ability to maintain continuity with relevant EU law where it is deemed appropriate and, in the United Kingdom’s best interests to do so, but also the ability to make different provision to the EU.”
We will talk about that in more detail when we discuss clause 2.
It is worth highlighting to the Committee that the Secretary of State himself is not a fan of delegated powers. When in opposition, he stated clearly that they carry a risk of abuse by the Executive and were not something that the Opposition could ever support. In 2018, the Secretary of State said:
“We must bear in mind that the use of delegated powers carries a risk of abuse by the Executive, which is not something the Opposition could ever support. Rather, it is our duty at this stage to check the powers of the Executive and ensure that we are not giving them carte blanche to change the balance of power permanently in their favour.”––[Official Report, Taxation (Cross-border Trade) Public Bill Committee, 1 February 2018; c. 305.]
It is not just the Secretary of State who feels strongly about this issue. The Attorney General said in his recent Bingham lecture on the rule of law that Henry VIII powers such as we see in this legislation are a strike at the rule of law—that skeleton legislation or delegated legislation
“not only strikes at the rule of law…but also at the cardinal principles of accessibility and legal certainty.”
I see that you are listening intently, Sir John. I want to re-emphasise why I think the powers are inappropriately drawn. Despite some movement in the other place, the Secretary of State is left with powers that are far too wide-ranging. On Third Reading in the other place, Lord Leong, speaking for the Government, said:
“We have taken the Bill from its early state to where it is today, and obviously it will now go to the other place. I am sure that the noble Lord is right: there will be further deliberation…and hopefully”—
that is the important point—
“we will get it to a better place.”—[Official Report, House of Lords, 12 March 2025; Vol. 844, c. 714.]
That is a green light from the Government spokesman in the other place for this Committee to do its job. I urge the Committee to accept our amendments to clause 1.
My hon. Friend the Member for West Worcestershire made numerous important points—I reinforce the point that this group of amendments looks to a future with a less benign Secretary of State—and made the case that the current Secretary of State agrees with her.
Amendments 14, 15, and 16 seek to remove the sweeping powers currently granted to the Secretary of State under clause 1(1). As drafted, the clause gives a single Minister an almost unrestricted mandate to define and regulate product standards, ostensibly to reduce risk and ensure efficient and effective operation. The terms are vague and the power to define them is left entirely to the Executive. This is not a technical tweak. It is a fundamental constitutional concern. Clause 1(1) effectively hands Ministers a blank cheque to legislate by decree, bypassing the scrutiny and consent of this House.
The amendments would delete the subsection and make the necessary consequential changes, thereby restoring the proper balance between Executive action and parliamentary oversight. This is not about obstructing Government action. It is about ensuring that when Ministers act, they do so within clearly defined limits and with the approval of Parliament. Regulations that affect businesses, consumers and the public at large should not be made behind closed doors in Whitehall. They should be debated and decided in public, by elected representatives.
By supporting amendments 14 to 16, we reaffirm a vital constitutional principle: that it is Parliament, not Ministers, who should define the scope of regulatory power. The changes would not weaken the Bill; they would strengthen it by embedding accountability and transparency at its core. I urge colleagues to support the amendments.
I call the Minister for Employment Rights, Competition and Markets, and Parliamentary Under-Secretary of State, Justin Madders.
The amendments in this group serve a clear and vital purpose: to prevent the automatic alignment of UK product regulations with EU law and to reaffirm our sovereign right to set our own standards.
As it stands, clause 1(2) would allow Ministers to make UK regulations that correspond
“to a provision of relevant EU law”
in the area of environmental product standards. In plain English, that opens the door to copying and pasting EU rules into UK law via statutory instrument without full parliamentary scrutiny. Amendment 3 would remove subsection (2) entirely, closing that back door.
Amendments 4, 5, 7 and 21 target other provisions that risk tethering us to EU frameworks. For example, clause 2(7) would allow compliance with certain EU laws to automatically satisfy UK requirements. That is not sovereignty; it is outsourcing. This is not about rejecting co-operation with Europe. It is about ensuring that any alignment is a result of a deliberate and transparent decision made here in Westminster, not an automatic consequence of vague enabling powers. As my hon. Friends the Members for West Worcestershire and for Chester South and Eddisbury have made clear, the British people voted to leave the European Union to take back control of our laws. That control must not be quietly handed back through ministerial shortcuts.
New clause 4 is especially important. It would introduce a safeguard in the form of an independent review panel to assess any regulation made under the Bill that aligns with EU law. Where a Minister chooses to align, the panel would have to report back, within two years, on the impact on growth, trade and industry. Crucially, Parliament would then vote on whether those EU-aligned rules should remain in force. No regulation should persist by inertia. How can the Minister possibly object to a review after two years?
The amendments would not isolate us; they would empower us. They would ensure that when we choose to align with international standards, we do so on our terms, with full accountability. That is the essence of post-Brexit governance. We assert that UK regulators answer first and foremost to the UK Parliament, not to Brussels and not to Whitehall alone.
It is a pleasure to serve under your chairmanship, Sir John. This is only my second Bill Committee, so please accept my apologies if I fail in any of the protocol. I want to make a small point on our new clause 9, which interestingly, being on the subject of the EU, is grouped with amendments tabled by the official Opposition.
I feel that new clause 9 provides a certain compromise between the two positions. It is important to recognise that the EU continues to be one of our biggest trading partners. Currently, a lot of product legislation is aligned, and therefore divergence is a concern for business. A lot of our small enterprises find that exporting to the EU is an important part of their business, so they need clarity and certainty if any legislation or product safety regulations are going to change or diverge. Our new clause would ensure that any such change, whether a continued alignment or a divergence, is scrutinised and made the subject of a statement to the House. I would be grateful if Members supported the new clause, which I feel offers a compromise between the two positions.
We have had several impassioned speeches from Conservative Members. Unfortunately, they are all wrong about what the Bill does. I will attempt to explain what the position actually is.
The Bill provides powers to make and amend relevant product regulations, so that the UK can act in the best interests of our businesses and consumers, which I think we would all agree is a good thing. That includes choosing to recognise or stop recognising EU product requirements. That is the key: there is absolute ability to recognise or not recognise as we see fit. This is not back-door submission to the EU or having our tummies tickled—I am not sure what the correct legislative term for that is. This is about the Government taking back control to set their own laws, as we determined back in 2016.
Amendment 3 would remove clause 1(2), which gives us a power to update regulations that address the environmental impact of products where similar provisions exist in relevant EU law. Increasingly, product regulations take account of the environmental impact of goods and provisions. The Bill will enable us, where it is in the best interests of UK businesses and consumers, to choose whether to update our laws or not. As I have set out, the Bill is about supporting the UK’s interests. Clause 1(2) means that, where it is in the UK’s interests, product regulation can make the same or similar provision as that contained in relevant EU law, which can simplify the regulatory landscape for UK businesses.
Turning to amendment 4, again, clause 2(7) allows us to act in the best interests of UK businesses and consumers. It enables us to provide that requirements in our law can be satisfied by meeting specified EU requirements, but it does not mean that we are obliged to recognise EU provisions, and it also gives us the power to end such recognition. We have been clear that decisions will be taken on a case-by-case basis, which I think is what the shadow Minister was asking for, based on the needs of UK businesses and consumers, with appropriate parliamentary scrutiny. Amendment 4 would take away that flexibility and would freeze EU law in time at May 2024. I mention May 2024 because that is when the Product Safety and Metrology etc. (Amendment) Regulations 2024, which effectively introduced the same powers as those in the Bill, were made.
I am genuinely curious. The Minister says that new clause 4 would take away powers. Can he explain why he would possibly object to the introduction of a review panel within two years? Surely there cannot be any objection.
I have not got on to new clause 4 yet. I will come to it shortly, and there are several reasons why we will resist it, but I was talking about amendment 4. All these numbers are very confusing.
I draw the Committee’s attention to what the then Minister—the hon. Member for Thirsk and Malton (Kevin Hollinrake), who is now a member of the shadow Cabinet—said in May 2024 when introducing the Product Safety and Metrology etc. (Amendment) Regulations:
“Where EU regulations change, we will consider whether to continue recognition of EU rules on a case-by-case basis, taking into account the views of industry and consumer safety.”—[Official Report, Second Delegated Legislation Committee, 13 May 2024; c. 4.]
That is exactly what we seek to do in the Bill. I know that there has been some change in the Conservative party since May 2024, but the current leader of the party was the Secretary of State for Business and Trade at the time. It is therefore curious, to say the least, that the Conservatives are now distancing themselves from their original position and seeking to take away our ability to make decisions on a case-by-case basis in the interests of UK consumers.
Amendment 5 and new clause 9 would require statements to be made to Parliament in relation to aligning with or diverging from EU law. I think them unnecessary. It is very clear that we will be taking decisions on the basis of what is in the best interests of the UK, rather than taking an ideological position in either direction. There may be instances in which the UK’s product regulation interests are different from the EU’s; there may be other instances in which our interests are similar. When making regulations under the Bill, we will provide Parliament with the usual information to make sure that their purpose and effect is well understood. That will provide Parliament with a clear explanation of the Government’s intent, and Parliament will have oversight of regulations made under the Bill. The amendments would add unnecessary extra processes and would not provide Parliament with any new information.
I turn to amendment 7. I remind hon. Members again of the purpose of the Bill, which is to ensure that the UK can deliver an effective domestic regulatory regime across a range of sectors. That is why the Bill will extend only to England and Wales, to Scotland and to Northern Ireland, as clause 13 sets out. There may be instances in which it is in the UK’s best interests to recognise a provision of relevant EU law when making domestic product regulations. In this instance, the recognised EU provision that must be complied with would be stated in UK law and would be enforceable only by UK authorities. If we wanted to update our laws to reflect a decision of the European Court of Justice, we would need to make a statutory instrument. There is no automatic taking of rules from the EU, as has been suggested.
Amendment 21 proposes that the UK should only recognise updated EU law if we incorporate the relevant updates into our domestic regulations, and the Secretary of State makes an explanatory statement if only recognising EU law under the Bill. The Bill is about ensuring that our domestic regulatory framework works for businesses and consumers. The Bill will allow us to make changes to our framework and reflect global best practice when doing so. The reason that it refers explicitly to the EU is that most of our product regulation is inherited from the EU, and we continue to recognise certain EU product requirements, which is the reason why the 2024 regulations were passed last year. This gives us the ability to review decisions on recognising certain EU product requirements. Clause 2(7) will allow us to do so on a case-by-case basis.
New clause 4 proposes a review panel. The Government have published a code of conduct, which has been drafted with valuable input from parliamentarians in the other place. It sets out the various guardrails that will be in place when the powers in the Bill are exercised; they include an impact assessment that analyses the expected effects of changes on businesses, consumers and the UK internal market. All secondary legislation made under the Bill will be subject to the statutory and non-statutory assessments set out in the code of conduct, including the principles of the better regulation framework.
I assume that the code of conduct you mentioned will be voluntary. I would be interested to hear what parliamentary enforcement the code, or indeed the wider constraints referred to in new clause 4, will receive.
Order. May I gently remind Members that they should not use the word “you”? “You”, in this context, is me, and I do not know anything about the code of conduct.
Amendment 17 speaks directly to our country’s values of enterprise, innovation and economic freedom. The proposal would insert new subsection (4A) into clause 1, placing a clear duty on Ministers that, whenever they exercise regulatory powers under the Bill, they must do so with the aim of promoting investment, fostering innovation and encouraging economic growth.
In short, the amendment would ensure that regulation is about not just managing risk, but unlocking opportunity. It would put growth at the heart of our regulatory framework—an aspiration that I know the Government will want to support. Regulation and prosperity are not mutually exclusive. As a Conservative and, indeed, a former businessperson, I understand that wealth is not created by Government; it is created by the ingenuity of businesses, entrepreneurs and investors—but Government can either enable that ingenuity or suffocate it. This is a pro-growth Government, so they should be in favour of the amendment, which would ensure that every regulation made under the Bill is shaped with a constant awareness of its economic impact.
The amendment would require Ministers to ask: does this rule support innovation? Could it be more flexible? Will it help British firms to compete globally? Too often, regulations—however well-meaning—have imposed hidden costs, stifled small businesses or driven innovation offshore. The amendment would guard against that by making growth a guiding principle, not an afterthought. It also reflects the unique opportunity we have post Brexit. No longer bound by one-size-fits-all EU frameworks, we can craft smarter, more agile rules that play to Britain’s strengths. Proposed new subsection (4A) would serve as a beacon in the Bill, signalling that when we regulate, we do so to empower, not to encumber.
Take, for example, emerging technologies, which my hon. Friend the Member for West Worcestershire has already mentioned. If we are setting safety standards for a new sector, the amendment would prompt Ministers to do so in a way that attracts investment, supports start-ups and keeps the UK at the forefront of innovation.
My hon. Friend is making an important speech. Does she agree that we do not only need to grow our economy in new sectors? The UK has been a world leader in some areas historically, which was a driving force behind leaving the European Union in the first place. People wanted to get some innovation and growth back in areas that had been stifled by our European Union membership.
My right hon. Friend makes a very important point. The future of successful economic growth is dependent on not just new industries, but ensuring that traditional industries, and both large and small businesses, can thrive and prosper in a post-Brexit scenario.
Amendment 17 would align the Bill with the pro-growth agenda and send a clear message to investors and innovators: Britain is open for business.
I will speak very briefly on amendment 17. The watchword of this Government has been, supposedly, growth. That is supposed to be the driving force behind legislation and policy, yet they have clearly introduced measures that have done nothing to support growth, and the Bill risks being another stumbling block to continuing the path of recovery—a recovery that the Government actually inherited, with the UK the fastest-growing economy in the G7.
The Opposition have sought to constructively improve the Bill through the amendment, which would ensure that the Government focus on growth. These are sensible and important provisions to promote investment and to foster innovation.
I am sure that Labour Members want to encourage economic growth. Supporting businesses is the way to do that. Empowering them—rather than prohibiting them with regulation and red tape from Brussels—should be central to achieving growth. There are huge opportunities and markets out there for the UK to seize. We must ensure that trade and national policy are as one, supporting job creation, innovation and competition. We need clarity and assurance from the Government that they understand the potential impact of dynamic alignment and the damage that that could do to the economy.
When have legally binding powers achieved growth? When has ambiguity in what businesses should expect and in their operating conditions delivered growth? The truth is that it does not. Businesses need clarity and confidence, and this skeleton Bill does not deliver that. If Labour Members really want—as they say they do—to see growth, I am sure they will want to support the amendment. As my hon. Friend the Member for West Worcestershire pointed out, the Government’s actions so far have seen GDP per capita shrinking and business confidence plummeting.
I thank my right hon. Friend for that important intervention. Dynamic alignment will see us give away control to the European Union, meaning that we cannot focus on growth in a way that will rightly and importantly improve growth for UK businesses across the whole of the UK. I represent Chester South and Eddisbury, a seat in the north-west of England, and we need to ensure that we see growth across the whole United Kingdom. The amendment, importantly, would ensure that we focus on that. More than ever, we must not stifle growth.
Perhaps my hon. Friend was about to make this point, but does she agree that the amendment would give the Government the opportunity to demonstrate to the world their commitment to and understanding of innovation agility, and the necessity to ensure that not just at Government level, but right across Whitehall, all our legislation considers how we can improve growth, innovation and ingenuity at all times?