Mesothelioma Bill [Lords]

Gemma Doyle Excerpts

Monday 2nd December 2013 Commons Chamber

[Mike Penning]

I will not give way.

Setting the payments at the right rate is crucial to the success of the Bill and the ultimate establishment of a payment scheme. The payment rate of 75% of average civil damages takes the levy right to limit of what insurers have indicated they could absorb without passing the costs on to new businesses—an absolutely crucial issue. It is the absolute maximum that would be realistic within a fixed-payment scheme.

The levy on insurers will be imposed on active employers’ liability insurers at large today, not the individual insurers who took out the premiums, who were covered in cases that come under the scheme. The scheme could be jeopardised if the levy were set disproportionately high. That could delay the introduction of the scheme, preventing the payment mechanism from being in place at the time of the peak of mesothelioma deaths, which, according to the actuaries, will be around 2015. I am sure we will debate that as we go through the Bill, but I hope that that will not detract from the importance of ensuring that it gets on to the statute book as soon as possible. As everybody in the House will understand, the scheme must strike a careful balance in making a substantial payment to eligible people while ensuring that the contribution made by the insurers is fair and not excessive. Crucially, the proposed levy rate must not be so high as to risk increased costs on business, thereby adversely affecting British businesses, which no one in the House would want.

In addition to the payment scheme and the levy, the Bill makes provision for the possibility—I stress, the possibility—of establishing a technical committee to adjudicate on making binding decisions on disputes between insurers. I think we would all prefer that to these matters being in the courts.

The Bill and the principles behind it merit the support of the whole House.

[Gemma Doyle (West Dunbartonshire) (Lab/Co-op)]

Will the Minister give way?

[Mike Penning]

I am coming to the end of my comments.

We have no doubt that the principle of the Bill—[Interruption.] It is no good Opposition Front Benchers chuntering; they will have their opportunity to speak in a minute. Let us just get on. If the hon. Member for West Dunbartonshire (Gemma Doyle) wants to speak, as lots of Members do, she will be welcome to do so. That is why I am not giving way every five seconds.

--- Later in debate ---

[Gemma Doyle (West Dunbartonshire) (Lab/Co-op)]

It is always a pleasure to follow my hon. Friend the Member for North Durham (Mr Jones) no matter how long he speaks for. Anyone who watched “Britain and the Sea” last night—I think it was on BBC1—would have seen a great deal of my constituency, because it was all about shipbuilding on the Clyde. Unfortunately, that is now part of our history because the remaining yards on the Clyde are not in my constituency. Although we are proud of the industry, we have two quite stark reminders of our shipbuilding past that we would rather not have. One is a large derelict piece of land at Queen’s quay, on which I hope we will soon see some houses built. The second is the scourge of asbestos exposure, which leads to, among other things, the horrible cancer that is mesothelioma. As we have heard this evening, people have also been exposed in a number of other industries—among other things, my constituency had an asbestos factory.

Being diagnosed with such a disease is bad enough, but having to fight not only it but for compensation is a double blow. The average life expectancy following diagnosis with mesothelioma is about two years, which people should not have to spend battling to ensure that their family have a little financial security.

I welcome the Bill and want to see it become law as soon as possible, but I also want the House to work together, if possible—it looks like that will be possible—to make it better. The Bill could and should be better.

I want to reinforce a number of points that Members have already covered today. My first concern is the level of compensation. Why should it be set at only 75% of the average paid out? I wanted to ask the Minister that as he was making his opening speech, but he refused to take more interventions—I do not know whether he takes a daily allowance of three—and we did not get an answer to that question. I urge the Government to consider raising the level to at least 90%, although hon. Members have suggested other figures. According to the Government’s own analysis, that would still fall within the 3% levy on premiums that the industry tells us it can afford. The pay-outs would be raised by an additional £18,000, and I hope that proposal is considered seriously in Committee.

Secondly, the cut-off date for those eligible for the scheme has simply been set far too late and does not kick in until a good two years after the consultation was launched. Whether the two-year delay is attributable to the wheels of the civil service turning slowly, or Ministers prevaricating with or placating the insurance industry, that is two years in which people will have been diagnosed who are now excluded from the scheme. There is a seriously twisted irony in the fact that, as I have said, the average life expectancy following diagnosis with mesothelioma is approximately the same length of time—two years.

As other Members have argued, it is entirely justifiable for the kick-in date to be put back to February 2010, when the consultation and the intention to legislate for an industry-funded scheme were first announced. An industry whose business is assessment and the management of risk would have made plans to meet that responsibility from the very first mention of it.

Thirdly, like other hon. Members I am concerned about the exclusion of other asbestos-related diseases from the scheme and see no reason why it is limited to mesothelioma only. Lord Freud said in the other place:

“The issue of individuals who have developed other asbestos-related diseases…and are unable to bring a civil claim for damages of course needs to be addressed.”—[Official Report, House of Lords, 20 May 2013; Vol. 745, c. 690.]

I hope that the Government and the Minister will deal with that issue at some point.

Fourthly, there is the inequitable situation of the compensation that is to be paid out compared with the clawback of previously awarded benefits or lump sum payments. There is no logic whatsoever in awarding claimants only 75% of civil compensation rates while clawing back 100% of previously awarded benefits or lump sum payments, and I hope that that issue will be dealt with in Committee.

Those are the four key points that need to be addressed. Research has been mentioned and I note that in the Lords a commitment was made to a joint strategy with the Department of Health on encouraging proposals for research on mesothelioma. I hope that will be taken forward. I also back the suggestion, made by my right hon. Friend the Member for Wythenshawe and Sale East (Paul Goggins), that industry should contribute to research.

I pay tribute to Clydebank Asbestos Group in my constituency. The people who run it are volunteers; they are not paid, but—I am not overstating this—they genuinely dedicate their life to helping people who have been affected by asbestos-related diseases, wherever they live. They deal with victims and their families. They campaign, run very informative conferences in my constituency, and offer advice and support that is both professional and personal. They see people at various stages of the disease; some have literally just walked out of the doctor’s surgery, having been diagnosed, and are afraid and confused, and do not know what their diagnosis means. They assist people who are battling for compensation. Everybody who walks through the door of the group’s shop sees a friendly face, and gets a cup of tea, and advice and support that are absolutely second to none.

Some, if not all, of the volunteers have lost friends or loved ones to asbestos-related diseases. I want to share a few words of Joan Baird’s. I know her well; she is one of the group’s stalwarts, and she lost her husband some years ago. If anyone would like to read her story, it is on the group’s website. This is what she said about her husband:

“How do I feel! Cheated, lonely and empty; denied the autumn of my years with my husband. The doctors confirmed that Willie most likely would have lived to a ripe old age had it not been for this devastating disease. Like thousands of others he was killed by corporate murder. UNFORGIVABLE.”

I hope that the Government will consider the improvements to the Bill that Members on both sides of the House have suggested this evening. I also hope that the Minister will enter more fully into the spirit of debate in his closing remarks, given his refusal to take interventions and answer legitimate questions during his opening remarks. He shakes his head, but he did not do justice to this very serious issue.