Consumer Protection (Enforcement) (Amendment etc.) (EU Exit) Regulations 2020

Baroness Hayter of Kentish Town Excerpts

Monday 16th November 2020 Grand Committee

[Baroness Hayter of Kentish Town (Lab) [V]]

I also thank the Minister for his excellent introduction to this statutory instrument. I know that he will be unsurprised by the two issues I will raise. First, I raise the question of the full involvement of the devolved Administrations in the adoption as well as the monitoring and enforcement of aspects of the emerging new architecture of our cross-UK market. It is particularly important, given that this measure amends the Enterprise Act 2002, to ensure that consumer-protection-related enforcement orders are recognised across all four Administrations. As they need to operate there, the CMA will, obviously, also have a role, which I think strengthens the case we will make shortly, on the United Kingdom Internal Market Bill, about why the devolved Administrations should be represented on the CMA. It is clearly going to be important that there is joined-up thinking about this.

During our membership of the EU, as the Minister probably knows better than most, the many very welcome consumer protection measures were always agreed via the Council, Commission and European Parliament, so all parties that had a subsequent duty to implement any such rules were party to their determination. We will want to be very sure, as we enter our new arrangement for an internal market, where consumers also need appropriate protection, on standards, complaint handling and redress, that any provisions are developed with the full involvement of the four Governments and legislatures that would then have to adopt and work with such measures. Could the Minister outline the involvement of the three devolved authorities, in the case of this instrument, and how future measures will be handled across the four nations?

I was particularly interested by the point raised by the noble Baroness, Lady Ritchie, about whether this should be added to the list of the common frameworks, if it is not already. Hopefully, consumer protection can be such a framework, but I am also hoping that, on Wednesday, we will be able to support the amendment that I know will be proposed so that common frameworks would be included in the United Kingdom Internal Market Bill. It seems that this would be a very good way of ensuring that consumer protection is automatically, if you like, handled in that very consensual way. That was my first point about the devolved authorities.

Secondly, I want to take up the points made by the noble Lords, Lord Bowness and Lord Randall, and others about how consumers have benefited enormously from a swathe of measures introduced in the EU, affecting trade across the borders between us and other EU countries and raising standards, protections and rights within each country. The consultative way of producing directives may have taken time across the EU, but it meant that consumer representatives were able to engage with the process both here in the UK, by working with our Government, and through pan-European consumer groups in relation to both the Commission and the European Parliament. I am sure that the Minister was often lobbied by consumer interests when he was there. Those representatives were also able to work with UKRep. Can the Minister detail what discussions have been held with Which? and other consumer organisations in relation to this instrument? Can he also outline the Government’s plan to involve them in future preparation of regulations relating to their area?

I want briefly to touch on two other things. The first is redress, which has been mentioned. We have a bit of a hotchpotch in this country at the moment. Some bits of redress come under the Minister’s department—a number of different departments, actually. Plans for a public sector ombudsman were with the Cabinet Office, I think, but have gone nowhere. I understand that the Government are rather busy at the moment, but it would be useful if this could be looked at at some point because it is an important part of consumer protection. Specifically, there was a directive that consumers should be informed of the relevant redress system for their industry, even where a provider was not part of it. It would be interesting to know what will happen to that.

Finally, I want to add my name to the points made by the noble Lords, Lord Moynihan and Lord Naseby. Things like the ripping off of consumers through ticket touts and bots is bad for consumers and involves a lot of criminality. I hope that the Minister has heard those pleas for action on this matter and a strengthening of the CMA’s powers to deal with this and other issues.