Deregulation Bill

Baroness Hayter of Kentish Town Excerpts

Monday 7th July 2014 Lords Chamber

[Baroness Hayter of Kentish Town (Lab)]

My Lords, this has been an interesting debate, which—a bit like this Christmas tree of a Bill—has been like a Christmas party, with people calling in to raise concerns, including about inadequate consultation, last-minute clauses and lack of evidence, which leads us to query whether this Bill is more about dogma than good governance. Why do the Government speak with a forked tongue—more red tape for charities and unions under the lobby Bill, as my noble friend Lord Monks reminded us; more red tape for trading standards officers under the consumer Bill; and an attack on localism in this Bill, despite the Localism Act passed in the Session before last? None of us likes red tape—unless it is around those presents under the Christmas tree—but it is worth remembering that regulation is brought in for pretty good reasons, such as to safeguard children or the public, or, in the words of the noble Lord, Lord Fowler, to ensure that the interests of the consumer are pre-eminent. Whether we are introducing or abolishing regulation, it is always worth asking who it helps and whether it is worth the candle.

Like the Consumer Rights Bill, which we debated last week, I like the title of this Bill, as indeed I think does the noble Lord, Lord Cope. It is the content that leaves me a bit queasy, for the reasons that we have heard today. As the 35th speaker, there is nothing new for me to say, but I think that one or two themes have emerged. The first is the absence of evidence for some of these changes. The second is the inadequate consultation that took place, particularly with local authorities over both alcohol and minicab licensing, or with the taxi industry over the clauses that put the safety of passengers at risk. Indeed, there seems to be a lack of consideration for consumers, just six days after the Second Reading of the Consumer Rights Bill.

I start with Clause 1. Apart from the points elaborated by my noble friends Lady Andrews, Lady Donaghy, Lord Monks, Lord Collins, Lord Whitty, Lord McKenzie and Lord Rooker, as well as the noble Lords, Lord Stoneham and Lord Fowler, I wonder how the Bill provides for the interests of those, mostly the elderly, whose hairdresser visits them at home; those who are passengers of self-employed drivers; and myriad others who are protected by the Health and Safety at Work etc. Act 1974. That legislation places duties on the self-employed to ensure that they do not expose themselves or others, including non-employees, to health and safety risks. That includes customers, clients, visitors and the public. Who asked those people whether they wanted to lose such protection?

Similarly with taxis and minicabs, serious concerns have been raised by my noble friends Lord Monks, Lord Whitty, Lord Collins, Lord Davies of Oldham, Lady Turner and Lady Thornton, as well as the noble Baroness, Lady Eaton, and the noble Lords, Lord Tope and Lord Hussain. Like everyone on the government and opposition Benches—not, I have to say, the Bishops’ or the Cross Benches—I have visited Brighton many times for the wonderful delights of party conferences. We arrive at the station and jump into those very familiar Brighton and Hove cabs, and we know that we are going to be safe. We know that they have been tested for safety and that their drivers have been tested for competence, insurance and trustworthiness. Brighton and Hove, by way of example, now worries that ending annual relicensing will diminish its effectiveness as a regulator, while having out-of-area cabs on its streets—over which the authority has no control—will pose a risk to customers. As my noble friends have already said, it will be women who will be the most vulnerable to illegal pick-ups by unlicensed drivers in minicabs or even from licensed drivers, who will no longer be checked annually. So just who asked for this measure, introduced with minimal consultation? It was certainly not women or passengers, nor, as we have heard, the Suzy Lamplugh Trust or crime commissioners.

As for banning CCTV for parking, this comes from the same Government who brought in the Localism Act but now decide to dictate to local authorities how they can enforce, or not enforce, parking as they think best, and despite six of the eight consultation responses opposing a CCTV ban. As the noble Lord, Lord Tope, said, it is, after all, local government that knows its area best. In my own borough of Camden, more than 85% of CCTV enforcements cover major junctions, bus stops, pedestrian crossings and no-waiting areas. In a busy urban area these are key to keeping traffic moving and for safety, as the noble Lord, Lord Low, the noble Baroness, Lady Eaton, and my noble friends Lord Davies of Oldham and Lord Whitty said.

On alcohol licensing, my noble friend Lord Brooke of Alverthorpe, outlined the worry that the new ancillary licences might allow virtually any business, when serving drink is not its primary purpose, to sell alcohol. Health groups fear that this could lead to virtually unlimited alcohol premises. Who demanded this? Why were local authorities, health bodies and others not properly consulted? What research was undertaken on any downside, including any impact on the emergency and ancillary services? Why is there no requirement to make public health a licensing condition? Why is there no minimum price legislation? And why piecemeal changes rather than making this part of a proper strategy, which the Government had laid out in 2012 but seem to have abandoned, to tackle the million crimes linked to alcohol, let alone the cost to our health service?

Turning to insolvency practitioners, here the Government, I think, have got it wrong with their suggested regime of partial authorisation for insolvency practitioners, as my noble friend Lord Rooker, the noble Lord, Lord Sharkey, and the noble and learned Lord, Lord Mackay, said. Splitting the regulation of this tiny profession into two—for company and for individual insolvencies—would particularly harm small firms, two-thirds of which do both corporate and personal insolvency work, just at the same time as the Government’s small business Bill is meant to be helping small businesses.

Furthermore, it would require the development, delivery and oversight of new, additional systems of exams and qualifications. It would also allow some insolvency practitioners to undertake corporate bankruptcies, which almost always also affect the status of the individuals involved, with no qualification over the needs of the latter. In Committee, we will seek to ensure that this does not become the case. Regulation is usually for the consumers, the community or the vulnerable, as my noble friend Lady Turner said. It used to be the Tories who argued that the City was overregulated, and look where that led us.

More locally, as a cyclist—albeit not today in lycra cycling from Cambridge and across Westminster Bridge—I take great comfort from knowing that lorries on our roads are not overloaded, that their tyre pressures are checked, that their drivers are qualified, that their insurance is in place, that their fumes are not excessive and that their brakes work. All of that, of course, is as a result of regulation. However, that does not seem to be enough for this Government. They now want all regulators to include the growth duty, including, I presume, the Health and Safety Executive, the Information Commissioner, the Gambling Commission, the Charity Commission, the Electoral Commission, the Health and Care Professions Council, Monitor, the Legal Services Board and Ofsted—soon to be headed, we gather, by a Tory donor if the papers are to be believed. All those will now have the growth duty. It will be essential that the economic growth strategy does not trump the principal objective of those regulators, because that surely is the protection of the public interest.

Will the Government heed the words of the right reverend Prelate the Bishop of Truro, my noble friends Lady Andrews and Lady Thornton, the noble Lord, Lord Sharkey, the ICC, the noble Baroness, Lady O’Neill of Bengarve, and indeed the Joint Committee on Human Rights, which said:

“Applying the economic growth duty to the EHRC poses a significant risk to the EHRC’s independence”,

because it would be compelled take directions from the Secretary of State? Has dogma trumped common sense and good governance? Anyway, is this really deregulatory, as my noble friend Lady Andrews asked?

There are other issues on which we will await with interest the response of the Government, including the proposal from my noble friend Lord Macdonald to amend the copyright Act 1988 in relation to broadcasting. That attracted the support of the noble Lord, Lord Clement-Jones, and my noble friend Lord Dubs, as well as the noble Lord, Lord Grade.

In the light of comments by the noble Lords, Lord Fowler, Lord Grade, Lord Stoneham, Lord Sharkey and Lord Clement-Jones, we also seek reassurance from the Minister that no decision on decriminalising BBC licence non-payment will be taken prior to the review of the royal charter.

We also look forward to the Minister’s response to other issues raised by my noble friends Lady Donaghy, Lady Turner, Lady Andrews, Lord Whitty, Lord Davies, Lord McKenzie and Lord Rooker and the noble Lords, Lord Stoneham, Lord Grade and Lord Clement-Jones, on a range of issues, such as right to buy, London short lets, gangmasters, maritime investigations and even school holidays.

Despite the words of the noble Lord, Lord Sherbourne, there is no demand from consumers for a relaxation of the settled position on Sunday trading. Let us leave well alone something that balances family shopping preferences with workers’ rights, the interests of corner shops and the legitimate expectations of churchgoers.

Like the noble Lords, Lord Bew and Lord Brabazon, I welcome paragraph 40 in Part 8 of Schedule 20—and yes, I did read it. It repeals sections of the Defamation Act 1996, as would have been the case with the Private Member’s Bill of the noble Lord, Lord Lester, to which we gave a Second Reading on 27 June, but which now will not be needed in the light of this legislation.

I turn finally to knitting yarns. Perhaps I see myself as une tricoteuse at la Place de la Révolution, or Place de la Concorde as it is now, watching the guillotine fall on the supposed red tape. But this is no revolution. It is a slightly tacky hotchpotch of a Bill, conceived for effect and designed by committee. We will bless the bits that do no harm and welcome the few that help, but we will seek to amend those that pose risks to workers, consumers and to the public at large.