draft Public Guardian (Fees, etc.) (Amendment) regulations 2017

Lord Vaizey of Didcot Excerpts

Tuesday 21st March 2017 General Committees

[Mr Edward Vaizey (Wantage) (Con)]

It is a great pleasure to appear under your chairmanship, Mr Flello, to debate these important regulations. The Office of the Public Guardian plays an important role in our society, and to my mind the need for people to take out lasting powers of attorney is good housekeeping, particularly as we have an ageing population. All families should look to ensure they have lasting power of attorney in place, should—heaven forbid—their loved ones become incapacitated in the future.

I welcome the fact that the Government are reducing the fees. Those of us who sat through the Budget and supported it heart and soul were still a little disconcerted by some of its measures such as the increase in probate fees, which will affect millions of people. I wonder whether the Minister has any reflections on why the Government have decided to reduce fees for this important matter, which affects many millions of people, while increasing them significantly for probate. I note that the regulations are due to come in on 1 April, but I think it is normal in such circumstances to have a period of 21 days between Parliament passing such a regulation and the fees coming into force, so will he enlighten us on why Parliament has been given such a short time to debate this important measure?

I wonder whether the Minister could widen his remarks, perhaps beyond the strict terms of the statutory instrument, and comment on the reason why so many more people are taking out lasting power of attorney. Is it anything to do with the Government Digital Service, the excellent service that the previous Government empowered? I think I am right in saying that lasting power of attorney is one of its most used services. For those of us who like to take part in pub quizzes, I was told that its least used service is for applications to be buried at sea—apparently, there are a dozen such applications a year. I will not ask the Minister to comment on the number of applications to be buried at sea, but I would like his reflections on whether the Government Digital Service has contributed to more people taking out lasting power of attorney.

It is now easy to take out lasting power of attorney digitally, but what measures are the Government taking to publicise it? Members who have listened carefully to my speech will have heard my opening remarks about how this is an important part of family housekeeping. I have never seen an advert on, say, the tube or a bus about lasting power of attorney. I wonder whether the Minister has any plans to publicise it further and wider.

I noticed that the Government explain in the explanatory memorandum that, even though the fees are being reduced, they will cover the cost of administering the lasting power of attorney, but I did not hear in the Minister’s remarks or see in the explanatory memorandum—I am sure that is entirely my fault—the overall cost to the Exchequer.

--- Later in debate ---

[Dr Lee]

Yes, there is a practical approach, but in those situations, other family members are often aware of such a directive and can access the website, but I am happy to look at further details.

[Mr Vaizey]

In my previous role as Minister for telecommunications, I was aware of how Government policy could have an impact on nuisance calls. Have the Government evaluated whether alerting people to the need to get a refund might encourage spurious companies to be set up to encourage people, by cold calling the vulnerable, to make such claims?

[Dr Lee]

My right hon. Friend makes a decent point. I take note of it and will pass it on to the relevant officials to ensure that such abuse does not ensue.

On timing and the 21 days, I was made aware of the issue shortly after becoming a Minister and we have been working extremely hard on finding the best way of putting in place a system for refunding when necessary. We have acted swiftly and I am not sure that the point about the 21 days is particularly relevant. The statutory instrument will come into force on 1 April, which means that it is unlikely that there will be 21 days between its making and coming into force. It is important for the lower fee to be brought into force as quickly as possible. In addition, the Department does not consider that the regulations significantly diminish rights, impose significantly more onerous new duties or require the adoption of different patterns of behaviour.

Clearly, there has been a rather basic error in the long-term projection analysis of demand in an ageing society. The accounting officer has reassured me that the forecasting model has been properly reviewed. Indeed, from now on, there will be an annual review of all the figures. The issue has arisen every year for four to five years and I have been reassured that that will not be the case in future.

My right hon. Friend the Member for Wantage and the right hon. Member for Birmingham, Edgbaston are right that communicating the change is important. We will do our very best to ensure that everyone knows that this has happened and that they can seek a refund when appropriate.

We have had an interesting debate. I thank members of the Committee for the points that have been made. The changes that the regulations introduce will bring about a welcome reduction in the fee for registering a power of attorney. I am sure we all agree that that is an important tool, of which we would encourage people to take advantage, while balancing that with the need to fund the important functions of the Public Guardian. I hope that the Committee will support the regulations.

Question put and agreed to.