Oral Answers to Questions

David Davis Excerpts

Wednesday 20th November 2024 Commons Chamber

[Peter Kyle]

I am extremely grateful to my hon. Friend for raising one of the most serious issues of our time. The Online Safety Act 2023 requires providers, as part of their risk assessment, to consider specifically how algorithms will impact a user’s exposure to illegal content and children’s exposure to harmful content. I have introduced new measures to ensure that children are kept safe, and today I issued a statement of strategic priority to Ofcom to insist that it continues to do so in future.

[David Davis (Goole and Pocklington) (Con)]

T3.   Last year, nearly 50 British universities were identified as having research ties with what are deemed very high-risk Chinese institutions. Subsequently, the intelligence services briefed 24 universities on resisting the infiltration attempts of foreign agencies, but the Intelligence and Security Committee report states that it is “highly likely” that joint UK-China research projects are used for military purposes. What is the Department doing to protect our research and our security?

[Peter Kyle]

The Government are working closely with individual universities, the university sector and our intelligence community to ensure that our research is not only world class but safe and secure.

Online Safety Bill

David Davis Excerpts

Consideration of Lords amendments
Tuesday 12th September 2023 Commons Chamber

[Kirsty Blackman]

The right hon. Gentleman is entirely correct. Whether it involves a particularly right-wing cause or antisemitism—or, indeed, dieting content that drags people into something more radical in relation to eating disorders—the bubble mentality created by these algorithms massively increases the risk of radicalisation, and we therefore have an increased duty to protect people.

As I have said, I am pleased to see the positive changes that have been made as a result of Opposition pressure and the uncompromising efforts of those in the House of Lords, especially Baroness Kidron, who has been nothing short of tenacious. Throughout the time in which we have been discussing the Bill, I have spoken to Members of both Houses about it, and it has been very unusual to come across anyone who knows what they are talking about, and, in particular, has the incredible depth of knowledge, understanding and wisdom shown by Baroness Kidron. I was able to speak to her as someone who practically grew up on the internet—we had it at home when I was eight—but she knew far more about it than I did. I am extremely pleased that the Government have worked with her to improve the Bill, and have accepted that she has a huge breadth of knowledge. She managed to do what we did not quite manage to do in this House, although hopefully we laid the foundations.

I want to refer to a number of points that were mentioned by the Minister and are also mentioned in the letters that the Government provided relating to the Lords amendments. Algorithmic scrutiny is incredibly important, and I, along with other Members, have raised it a number of times—again, in connection with concern about radicalisation. Some organisations have been doing better things recently. For instance, someone who searches for something may begin to go down a rabbit hole. Some companies are now putting up a flag, for instance a video, suggesting that users are going down a dark hole and should look at something a bit lighter, and directing them away from the autoplaying of the more radical content. If all organisations, or at least a significant number—particularly those with high traffic—can be encouraged to take such action rather than allowing people to be driven to more extreme content, that will be a positive step.

I was pleased to hear about the upcoming researcher access report, and about the report on app stores. I asked a previous Minister about app stores a year or so ago, and the Minister said that they were not included, and that was the end of it. Given the risk that is posed by app stores, the fact that they were not categorised as user-to-user content concerned me greatly. Someone who wants to put something on an Apple app store has to jump through Apple’s hoops. The content is not owned by the app store, and the same applies to some of the material on the PlayStation store. It is owned by the person who created the content, and it is therefore user-to-user content. In some cases, it is created by one individual. There is no ongoing review of that. Age-rating is another issue: app stores choose whatever age they happen to decide is the most important. Some of the dating apps, such as match.com, have been active in that regard, and have made it clear that their platforms are not for under-16s or under-18s, while the app store has rated the content as being for a younger age than the users’ actual age. That is of concern, especially if the companies are trying to improve age-rating.

On the subject of age rating, I am pleased to see more in the Bill about age assurance and the frameworks. I am particularly pleased to see what is going to happen in relation to trying to stop children being able to access pornography. That is incredibly important but it had been missing from the Bill. I understand that Baroness Floella Benjamin has done a huge amount of work on pushing this forward and ensuring that parliamentarians are briefed on it, and I thank her for the work that she has done. Human trafficking has also been included. Again, that was something that we pushed for, and I am glad to see that it has been put on the face of the Bill.

I want to talk briefly about the review mechanisms, then I will go on to talk about end-to-end encryption. I am still concerned that the review mechanisms are not strong enough. We have pushed to have a parliamentary Committee convened, for example, to review this legislation. This is the fastest moving area of life. Things are changing so dramatically. How many people in here had even heard of ChatGPT a year and a half ago? How many people had used a virtual reality headset? How many people had accessed Rec Room of any of the other VR systems? I understand that the Government have genuinely tried their best to make the Bill as future-proof as possible, but we have no parliamentary scrutiny mechanisms written in. I am not trying to undermine the work of the Committee on this—I think it is incredibly important—but Select Committees are busy and they have no legislative power in this regard. If the Government had written in a review, that would have been incredibly helpful.

[Mr David Davis (Haltemprice and Howden) (Con)]

The hon. Lady is making a very good speech. When I first came to this House, which was rather a long time ago now, there was a Companies Act every year, because company law was changing at the time, as was the nature of post-war capitalism. It seems to me that there is a strong argument for an annual Act on the handling and management of the internet. What she is saying is exactly right, and that is probably where we will end up.

[Kirsty Blackman]

I completely support the right hon. Member’s point—I would love to see this happening on an annual basis. I am sure that the Ministers who have shepherded the Bill through would be terrified of that, and that the Government team sitting over there are probably quaking in their boots at the suggestion, but given how fast this moves, I think that this would be incredibly important.

The Government’s record on post-implementation reviews of legislation is pretty shoddy. If you ask Government Departments what percentage of legislation they have put through a post-implementation review in the timeline they were supposed to, they will say that it is very small. Some Departments are a bit better than others, but given the number of reshuffles there have been, some do not even know which pieces of legislation they are supposed to be post-implementation reviewing. I am concerned that this legislation will get lost, and that there is no legislative back-up to any of the mechanisms for reviewing it. The Minister has said that it will be kept under review, but can we have some sort of governmental commitment that an actual review will take place, and that legislation will be forthcoming if necessary, to ensure that the implementation of this Bill is carried out as intended? We are not necessarily asking the Government to change it; we are just asking them to cover all the things that they intend it to cover.

On end-to-end encryption, on child sexual exploitation and abuse materials, and on the last resort provider—I have been consistent with every Minister I have spoken to across the Dispatch Box and every time I have spoken to hon. Members about this—when there is any use of child sexual exploitation material or child sexual abuse material, we should be able to require the provider to find it. That absolutely trumps privacy. The largest increase in child sexual abuse material is in self-generated content. That is horrific. We are seeing a massive increase in that number. We need providers to be able to search—using the hash numbers that they can categorise images with, or however they want to do it—for people who are sharing this material in order to allow the authorities to arrest them and put them behind bars so that they cannot cause any more harm to children. That is more important than any privacy concerns. Although Ministers have not put it in the Bill until this point, they have, to their credit, been clear that that is more important than any privacy concerns, and that protecting children trumps those concerns when it comes to abuse materials and exploitation. I am glad to see that that is now written into the Bill; it is important that it was not just stated at the Dispatch Box, even though it was mentioned by a number of Members.

Artificial Intelligence

David Davis Excerpts

Thursday 29th June 2023 Commons Chamber

[Mr David Davis (Haltemprice and Howden) (Con)]

My right hon. Friend’s words, “at least among like-minded countries”, triggered a thought. If we do not include China—in lots of other areas we exclude it for moral and ethical reasons—it will be a futile exercise. As far as I can tell, China wants to be involved. What is his view on involving countries such as China?

[Greg Clark]

My view is that it should be a global initiative. At the very least, strong security aspects will combine like-minded nations. We should advance that; we may put protections in place with other linked nations. I completely agree with my right hon. Friend that we should look to establish a global consensus. There is sometimes pessimism about whether it is possible to regulate genies that have come out of the bottle, but if we think of available technologies such as human cloning, there is not a country in the world—as far as I am aware —that has not recognised it as ethically wrong and acted against it. In fact, I think there is a person in China in jail at the moment for having attempted that.

I will draw my remarks to a close, having set out the rich range of challenges that stand before Governments around the world and our regulators. They are not easy things to get right, but it is of profound importance that we think carefully and put in place the best possible governance system to maximise the benefits and see off the harms that may result. For the Minister and his colleagues across Whitehall, it means a busy summer preparing for the summit, but I wish them well, and I look forward to the House taking a great interest in and participating in and around the planned summit.

Budget Resolutions and Economic Situation

David Davis Excerpts

Monday 20th March 2023 Commons Chamber

[Tim Loughton (East Worthing and Shoreham) (Con)]

I support the Budget. More importantly, the markets seem to support it as well. Stability and balance are the hallmarks of what the Chancellor has achieved, and I congratulate him on that.

[Mr David Davis (Haltemprice and Howden) (Con)]

Will my hon. Friend give way?

[Tim Loughton]

If my right hon. Friend will forgive me, so many other people want to speak that it would be unfair if I took interventions.

With six minutes, and with a Budget containing so many measures, it is difficult to know what to speak about, but I want to speak briefly about children, the environment and booze—not necessarily at the same time. I very much welcome the Secretary of State’s opening remarks and her concentration on the importance of AI. Even though some of us may not fully understand all of its implications, it is absolutely where we need to grow our economy.

The £20 billion of investment in carbon capture is huge and vital. It is a vital component of our target to get to net zero. We cannot get everything not to release carbon, but we can have ways of mitigating emissions to bring us to our net zero target—hopefully sooner than 2050. It is slightly churlish of the hon. Member for Glasgow North West (Carol Monaghan), who spoke for the SNP, to say that if something is not in Scotland it does not really count. Climate change is no respecter of any border, let alone that between England and Scotland.

I absolutely welcome the Budget’s huge implications for investment in R&D, which is really important. I also absolutely welcome the freezing of fuel duty for the 13th year in a row, which will mean £200 to the average driver.

There are lots of little things in the Budget that will have a big impact, such as the help for swimming pools and leisure centres, which were hit badly during the pandemic and have now been hit by energy costs. That will be a lifeline and it will help the health of our constituents. The measure on energy prepayment meters was long overdue; it was absurd and immoral that those least able to pay should be penalised and pay that much more for using prepayment meters. Thirty million pounds has been allocated for additional veterans’ services, and there is £10 million to help with suicide prevention—a hidden illness that has a huge impact on many of our constituents and their families.

If I may talk briefly about children, I remain concerned —as I would, being a former children’s Minister—that all the emphasis has been on adult social care and not enough has been on children’s social care, where it is estimated there is still a shortfall of some £1.6 billion. We need to do something about that, because over 80% of our interventions on children in the care system and those coming into the care system are late interventions rather than preventive early interventions, which is a big change from what went on some years before.

We need to invest in our social worker workforce. This afternoon, I have been hosting the Social Worker of the Year awards, and some of the most remarkable social workers from around the country have been to Parliament to receive their awards. They are the fourth emergency service and we need much better workforce planning, as we do in the NHS, to make sure that we not only recruit more social workers, but keep them. It is a false economy not to be doing that.

I welcome the many good measures on children, particularly on children in care, but will the Chancellor consider what we can do to provide free bus travel for all care leavers aged between 18 and 25, for whom the cost of a bus fare to get to work or education is prohibitive? Will he also consider a national programme to allow care leavers to access a rent deposit as part of their benefits, since they find it harder than many to access accommodation?

On childcare, which was one of the most significant parts of the Budget, I absolutely support the measures that were announced. As Coram Family and Childcare puts it,

“the introduction of 30 hours childcare for children from 9 months old to three years old…will make a huge difference for families currently struggling with high costs”.

I welcome that, but there are question marks around sufficiency and shortages in the childcare available; currently only half of local authorities have sufficient childcare for children aged under two and less than half have enough childcare for parents working full time. With these generous measures on childcare, there is more we need to do to make sure that people with the appropriate skills are there to provide it.

I welcome the wraparound childcare available through schools from 8 am to 6 pm, which will make a real difference to parents’ ability to go to jobs and make a meaningful contribution. However, there is a problem in that only 25% of local authorities have enough after-school childcare for children aged five to 11 and the figure is even lower for those aged 12 to 14. Again, there are serious question marks about capacity, which I am sure the Chancellor will answer.

There is more I could say about children but, turning to the environment, insulating homes reduces energy waste and keeps people warmer, while lowering bills permanently. We need further public investment in insulating fuel-poor homes, and we need to create new tax incentives for owner-occupiers to do more to improve the energy efficiency of their homes—as is the case in other European countries, where it is reflected in council tax banding and other up-front fees.

Finally, on beer, the Chancellor’s measures to ensure that tax on draught beer sold in pubs does not increase are great and will save the sector around £70 million a year. However, the British Beer and Pub Association, which is already seeing its members hit by an energy crisis and the weight of debt build-up over years, says that there is a 10% increase in the duty on non-draught beers—60% of all beer sales. Can we aim for a level playing field for our beer and pub industry, which has been particularly hit during the energy crisis and the pandemic? What is in the Budget is really good, but we could do a little bit more.

--- Later in debate ---

[Mr David Davis (Haltemprice and Howden) (Con)]

I draw the attention of the House to my entry in the Register of Members’ Financial Interests.

Like two of the previous speakers, I am also a science graduate, although I do not compare myself with the Conservative party’s most famous science graduate. I had intended to make my speech essentially about science and technology, because they are massively important and, as the hon. Member for Manchester Central (Lucy Powell) pointed out, we have fantastic competitive advantages in those fields. That will be a major part of growth.

Since last Tuesday, however, dramatic events have unfolded in the banking sector—particularly over the weekend. Back in 2009-10, the then Chair of the Treasury Committee, Lord McFall, asked me to chair the Future of Banking Commission. The last week has, unfortunately, brought back some memories. One of the characteristic problems of the banking sector is its short memory, particularly when it is Wall Street that we are talking about. I hope that the House will indulge me if I remind it of the lessons of the major banking crashes of the past half century.

Back in 1933, after the great depression, the Americans passed the Glass-Steagall Act, which separated banks out into risky investment banks and straightforward commercial banks. That gave us about seven decades of stability until 1999, when President Clinton—under pressure from unwise and greedy Wall Street lobbyists—essentially removed Glass-Steagall. What followed was the collapse of several banks, including Lehman Brothers—probably precipitated by the new mark-to-market rules—in the great crisis that we saw in 2008.

In 2009, because of the crash, America passed Dodd-Frank, which required banks with more than $50 billion in assets to be subject to tight regulation. Again, under pressure from Wall Street, President Trump relaxed those regulations in 2019. I talk about Wall Street, but the whole world followed. Of course, after that relaxation, banks assumed that they had an infinite period of low interest rates and that they could borrow ad nauseam. When global interest rates sharply increased by three, four or five times, the shock destabilised a number of those banks. One such bank was Silicon Valley Bank, which had been taken out of regulation by the Trump changes.

There is a lesson for us in all that. It has caused an instability in the financial system. Chancellors, central bank governors, financial secretaries in the States and regulators have no chance but to claim that the system is robust. I am not so sure. We will not know for a while whether it is actually robust, because of the complexity of the system. Of the three major banks that have failed so far, each has failed for different reasons, and we have no clear insight into what risks other banks have taken, partly because of the deregulation under Trump and his predecessors. In that respect, we in this country are probably in a better place than either the Americans or the Europeans, but I am keeping my fingers crossed as I say that so as not to tempt fate.

There is one lesson that we should learn. A big issue on which the world is hanging at the moment is whether the takeover of Credit Suisse by UBS is a success. I draw people’s minds back to Lloyds taking over HBOS, which was done under pressure from the Government of the day—from Gordon Brown—and Lloyds itself nearly collapsing the very next year. I hope that UBS will not do the same. The point of this story is that we are in a period of extraordinary global financial instability.

I am a low-tax Tory—I would have loved the Chancellor to have had a lower-tax strategy—but I have to say that the events of the past week have demonstrated that a very small-c conservative strategy is wise under these circumstances. The more confident the markets in the Government, the better our prospects for the future. That said, I would be completely unsurprised if we had to have another Budget in the autumn owing to the nature of the transitions and changes that are now happening.

If that happens, I would ask the Chancellor, “Could you please look again at bringing back your super-deduction?” That will attract investment here in a way that will not happen with the 25% rate. I would ask, “Will you look at doing away with IR35 and at other concerns that will improve prospects for small businesses?” In my view, it will be incredibly difficult for the banks to get right the balance between inflation and growth now that their hands are tied by the instability of the banking sector. My one line to the Chancellor is this: please look, for the next Budget, at much more growth.

[Tim Loughton]

On a point of order, Madam Deputy Speaker.