REACH etc. (Amendment etc.) (EU Exit) Regulations 2020

Baroness Hayman of Ullock Excerpts

Tuesday 8th December 2020 Lords Chamber

Moved by

[Baroness Hayman of Ullock]

At end insert “but that this House regrets that the Regulations (1) fail to provide an analysis of the costs of the new domestic Registration, Evaluation, Authorisation and Restriction of Chemicals (REACH) regime, (2) introduce additional costs and administrative burdens for United Kingdom businesses, and (3) create unacceptable risks around the availability of chemicals safety data; notes concerns about the ability of the Health and Safety Executive to fulfil its additional responsibilities when the domestic REACH regime becomes operable on 1 January 2021; and further regrets that Her Majesty’s Government have not addressed concerns raised by Parliament when proposals for a domestic REACH regime were debated in 2019.”

[Baroness Hayman of Ullock (Lab)]

My Lords, I thank the Minister for introducing this statutory instrument. My amendment spells out the deficits and risks that remain in the REACH regulations and our disappointment that the Government have brought forward an amended proposal that fails to address any of the serious concerns that were raised when it was debated last year. It shows insufficient understanding of how chemicals are actually managed in complex supply chains, with analysis neither of the cost of setting up the new regime or the additional costs to business.

The Government have said that these regulations are necessary to ensure that UK REACH will operate domestically and to implement the Northern Ireland protocol. But they will not provide the same level of protection from harmful chemicals that we currently enjoy, and there are huge challenges in trying to replicate EU REACH. The Government have failed to demonstrate that the Health and Safety Executive, as the new regulator, will have the necessary skills and capabilities to match what has been provided by the European Chemicals Agency. When the original SI was introduced, it was indicated that the budget would likely be £13 million a year, and this figure has not been updated. The HSE will have a similar number of chemicals to regulate as the European Chemicals Agency does, with an annual budget of around €100 million. So we have serious concerns about the readiness of the HSE to take on this role and about the lack of staff with the necessary expertise. Despite the Minister’s previous assurances, he needs to set out exactly how the new system will be staffed and resourced to ensure that current levels of protection continue.

Schedule 2 amends the 2019 regulations to extend the date by which companies with EU REACH-registered chemicals must provide full safety data. As explained, the deadline has been extended from two years after exit day to be staggered over six years plus 300 days, so that the full registration dossier will now need to be submitted within two, four or six years. I understand the Minister’s reasoning behind this, which he just explained, but it does mean that the period in which the new regulator will be unable to protect human health and the environment from harmful substances has been extended. Without this data, it will be difficult, if not impossible, for the HSE to implement legally enforceable restrictions and authorisations.

According to CHEM Trust, this will make the system considerably weaker. The UK may diverge and fall behind the EU quite quickly, with the result that products that do not meet EU standards could be dumped in the UK market. The Government have acknowledged that this is a possibility, so will they actively match new controls on chemicals implemented at EU level to ensure that this cannot happen?

Defra has said that the regulator could use a substantial amount of publicly available information, but this is not adequate for proper regulation. The Secondary Legislation Scrutiny Committee concluded that it was deeply concerning that HSE

“will not have access to the full chemicals safety data currently held by EU REACH.”

The Chemical Business Association has said that British businesses do not normally own the testing data required for registrations under UK REACH, as it is held by a consortium of European countries. To reuse the data for the UK system, companies might need to obtain permission from the consortium and will likely have to pay for the extension of rights. If that cannot be obtained, tests might have to be redone to establish safety information, which could involve repeat animal testing.

The UK industry estimates that it will cost of £1 billion to comply with UK REACH, including the cost of resubmitting full registration dossiers already available under EU REACH. The Minister mentioned data sharing, but as yet there is no agreement between the UK and the EU on a data-sharing mechanism for these dossiers—and we are days away from the end of the transition period. There must not be any repeat animal tests, so I ask the Minister, who I know feels strongly about this, what guarantees he can give. How confident is he that this can really be ensured and that it is not just an undeliverable promise?

The regulations that this SI amends remove the supporting committees that ensure that decisions are based on scientific advice and that there is proper scrutiny and oversight. In the UK version, they are replaced by a duty for the HSE to seek external advice, with no formal committees of experts and stakeholders established. Furthermore, the Secretary of State has the final decision relating to the status of particular chemicals. While we hope that it is unlikely that a Secretary of State would diverge from HSE recommendations, it is not explicitly prevented.

In conclusion, we need a regulatory system that provides the same levels of protection for human health and the environment as we have enjoyed under REACH. Otherwise, critical decisions will be made by a body with little experience and with layers of accountability and scientific expertise stripped away. My amendment recognises these deficits and risks, and the lack of government action to date. I beg to move.

--- Later in debate ---

[Baroness Hayman of Ullock (Lab)]

My Lords, I tabled my amendment today so that this House could demonstrate to the Government the very real and serious concerns about the proposed REACH regulations and the failure of the Government, so far, to act and listen. I thank noble Lords for their support. It has been an interesting debate and I have been pleased to hear from many Members, including the noble Lord, Lord Teverson, for his expertise on the whole matter and the noble Lord, Lord Cameron of Dillington, on how we are leaving the best system in the world and the huge costs that this will create.

My noble friends Lady Donaghy and Lord Hunt of Kings Heath talked about the problems of the HSE, but also their support for it. Nothing I said was intended to criticise the HSE, rather to demonstrate how it needs to be more prepared for its new role. The noble Baroness, Lady Altmann, talked about how the changes being made bringing unnecessary risk without adding value. My noble friend Lord Hanworth and the noble Lord, Lord Fox, clearly explained, in some detail, why the domestic system is so difficult. My noble friend Lord Whitty mentioned the need for associate membership of the European Chemicals Agency; it is deeply disappointing that this has not happened.

The Minister really has not answered the many concerns raised. This Administration have their head in the sand. However, I beg leave to withdraw my amendment today, as this is but a small part of the larger regulations. There will be opportunities to consider the matter further during debate on the Environment Bill.

Amendment to the Motion withdrawn.