City of London (Various Powers) Bill [Lords]

David Nuttall Excerpts

Tuesday 26th February 2013 Commons Chamber

[Philip Davies]

I do not think that that is the case. That is one of the things I worry about.

I am delighted by the arrival of my hon. Friend the Member for North East Somerset (Jacob Rees-Mogg) in the Chamber, particularly as we are talking about the laws on seizure and about giving council officers the authority to seize people’s goods, because he has shown time and again that he, too, is nervous about such provisions.

My hon. Friend the Member for Christchurch was right to highlight that all the issues flow from proposed new section 16A on seizure, which is contained in clause 7. It states that there must be

“reasonable grounds for suspecting that a person has committed an offence”.

It would be difficult for any officer to fall foul of such a loose definition. This is not a trifling matter. We are talking about somebody seizing somebody else’s goods. That is a big power. I think that a higher test should have to be met before council officers are authorised to go around seizing people’s goods.

As my hon. Friend the Member for Christchurch said, it is not just any article that is being

“offered for sale, displayed or exposed for sale”

that can be seized. Proposed new section 16A(1)(b) states that

“any other article or thing of a similar nature to that being offered or exposed for sale which is in the possession”

of the person may be seized. Even if something is not being offered for sale, the officer is still authorised to take it away from the individual. Paragraph (c) also includes

“any receptacle or equipment being used by that person.”

These are wide-ranging powers of seizure that we are in danger of giving to any employee of the corporation, notwithstanding the reassurance that my hon. Friend the Member for Cities of London and Westminster gave about the level of training that will be given, just on the basis of “reasonable grounds” for suspicion. There is a great danger that, on occasion, that authority and power will be misused by people, perhaps out of frustration or for another reason, if appropriate safeguards are not put in place.

The Bill says—I made this point in a brief intervention earlier, but I want to expand upon it—that something may be seized only

“if it may be required to be used in evidence”.

Reading the Bill for the first time, that sounds like quite a good safeguard, because people will not be able to seize things willy-nilly and they will be able to use them only in evidence. However, it states that it can be seized if it only may be required, which is essentially no safeguard at all. Anything can be seized on the basis that it may need to be used in evidence—who is to decide that?

The officers who seize goods will naturally take a precautionary position, and I would not blame them for that. They will want to seize as much as possible, because they will not want somebody further down the line to ask them, “Why did you leave them with that bit of stuff? That could have been crucial evidence to prosecute them.” I suspect that in the training that my hon. Friend the Member for Cities of London and Westminster mentioned, officers will be told, “Take as much as you can, because it may be crucial. The bit that you leave behind may have been the crucial bit.” I fear that the provision is written to look like a safeguard but is no safeguard whatever.

As my hon. Friend the Member for Christchurch said, the Bill mentions receptacles, and vans, cars or any other type of vehicle could be described as receptacles for the purpose of the Bill. There are serious concerns about the people who can seize products and the definition of when it is appropriate to do so.

Uncharacteristically, my hon. Friend did not really touch on the return of seized articles, but proposed new section 16B(4) sets out what will happen when

“after 28 days any costs awarded by the court to the Corporation have not been paid”.

There are some potentially contradictory points on the matter that do not really flow on from one another. On the one hand, if that point applies, the Bill allows the City of London to dispose of products

“in any way the Corporation thinks fit”.

However, it then states that

“any sum obtained by the Corporation in excess of the costs…shall be returned to the person”.

That is highly unlikely, given that the corporation can dispose of products in any way, shape or form. However, it also states that the corporation has

“a duty to secure the best possible price which can reasonably be obtained for that article or thing.”

I cannot reconcile the corporation being able to dispose of an article in any way it sees fit with the fact that it is being asked to obtain the best possible price for it. Those seem completely contradictory statements. If we are saying that the corporation has to get the best possible price, proposed subsection (4)(a), whereby it can dispose of an article in any way it thinks fit, seems redundant.

The best possible price that can reasonably be obtained for something depends on how the corporation gets rid of it. If it sells it in a similar way to the person who was trading it and from whom it was seized, it can get the full retail price. I am not entirely sure how it will fulfil its duty to secure the best possible price for something. What will it be expected to go through to fulfil that condition? It seems to me that in the real world, it will not make any effort whatever to go out and sell something at the best possible price. It will dispose of it.

[Mr David Nuttall (Bury North) (Con)]

I am grateful to my hon. Friend for giving way. He is being generous with his time.

Is my hon. Friend not concerned, as I am, that the real tragedy will be that once goods are seized, the trader involved may well lose their livelihood? Is that not the danger?

[Philip Davies]

Absolutely, particularly if the products are just going to be disposed of.