Parking (Code of Practice) Bill

Greg Knight Excerpts

3rd reading: House of Commons & Report stage: House of Commons
Friday 23rd November 2018 Commons Chamber

Brought up, and read the First time.

[Sir Greg Knight (East Yorkshire) (Con)]

I beg to move, That the clause be read a Second time.

[Madam Deputy Speaker]

With this it will be convenient to discuss the following:

Amendment 7, in clause 1, page 1, line 3, after “State” insert “within twelve months of the day on which this Act is passed.”

Amendment 8,  page 1, line 3, after “must” insert “use his best endeavour to.”

Amendment 1, in clause 6, page 3, line 14, leave out from “may” to “functions” in line 20 and insert “—

(a) enter into an agreement with a public authority authorising the authority to perform any functions of the Secretary of State under sections1 to4 (other than the function of laying a code or alteration before Parliament);

(b) enter into an agreement with a person authorising that person to perform any”

This amendment enables the Secretary of State to delegate functions relating to the investigation of breaches of the parking code to bodies that are not public authorities.

Amendment 2, page 3, line 28, leave out “public authority which is” and insert “person”

This amendment is consequential on Amendment 1.

Amendment 3, page 3, line 34, leave out “the final version of”

See the explanatory statement for Amendment 5.

Amendment 4, page 3, line 35, at end insert “for approval”

See the explanatory statement for Amendment 5.

Amendment 5, page 3, line 36, leave out “The” and insert “Once the Secretary of State has approved the code or alteration, the”

Amendments 3 to 5 make clear that, where the Secretary of State has delegated the function of preparing the parking code, the Secretary of State must approve the final version of the parking code (or any alteration to it) before it is laid before Parliament.

Amendment 6, in clause 7, page 4, line 3, at end insert—

“() where the Secretary of State has entered into an agreement with a person under section (Appeals against parking charges) (appeals against parking charges), the establishment and maintenance by the person of a service for dealing with parking appeals (within the meaning of that section).”

The effect of this amendment is that, where the Secretary of State enters into an agreement with a person for the person to deal with appeals against parking charges (see NC1), the costs of establishing and maintaining that parking appeals service may be defrayed out of the proceeds of the levy imposed on accredited parking associations.

Amendment 9, in clause 11, page 6, line 29, leave out from “force” to the end of line 30 and insert “two months after the day on which this Act is passed.”

Amendment 10, page 6, line 31, leave out subsection (3).

[Sir Greg Knight]

Following previous stages of our consideration of the Bill, and having received a number of representations, it is apparent to me that it can and should be strengthened further. One point of concern that has been raised, including by the hon. Member for Cardiff South and Penarth (Stephen Doughty) and my hon. Friend the hon. Member for Dudley South (Mike Wood), relates to the appeals services available to motorists. Currently, when a motorist receives a ticket, they must first go to the parking operator to challenge it. If the challenge is rejected, they may go on to an appeals service provided by whichever accredited trade association the parking operator is a member of. Parking on Private Land Appeals and the Independent Appeals Service are the appeals services of the British Parking Association and the International Parking Community respectively. However, POPLA does not operate in Scotland, so motorists who receive parking tickets from British Parking Association operators in Scotland are denied an independent appeals service entirely, which I do not think is right.

The Bill provides an opportunity to raise the standards of the private parking industry and create more consistency in the process. My amendments would expand that opportunity, providing the Secretary of State with the power to appoint a single appeals service for the whole industry, providing greater consistency for motorists in England, Scotland and Wales, as they would know exactly where to go when they want to appeal a private parking ticket.

[Michael Tomlinson (Mid Dorset and North Poole) (Con)]

May I be the first to congratulate my right hon. Friend on piloting his Bill thus far? Many of our constituents who are caught up in these schemes are among the most vulnerable. Will he reassure my constituents who have been caught up in the past that in future they will be able to go through a much clearer and more straightforward process?

[Sir Greg Knight]

I am happy to give that assurance and to confirm that the appeals process will be free of charge.

The new clause and amendment 6 are the substantive amendments and would allow the Secretary of State to appoint a single appeals service for the private parking industry. They would also amend the proposed levy powers in order to use the levy to cover the costs of establishing and maintaining such an appeals service. Amendments 1 to 5, which also stand in my name, are largely technical and would amend the Bill to allow the Government flexibility to delegate their functions for investigating breaches of the code. They would also ensure that, where the Secretary of State has delegated the function of preparing the code of practice, they must still approve the final version of the parking code.

The current provisions mean that the Minister can delegate only to a public authority, but my amendments would allow the delegation of the investigatory function to private bodies. That would allow subject matter experts from private industry to conduct the function, thus offering a greater range of options and value for money. Lastly, my final amendments cover where the Secretary of State has delegated the code of practice, as I have said, but is still required to give final approval to it. I commend my new clause and amendments to the House.

[Andrew Gwynne (Denton and Reddish) (Lab)]

I commend the right hon. Member for East Yorkshire (Sir Greg Knight) for his Bill and for the very sensible amendments that he has brought before the House. I assure him that I am not going to speak at length. I rise at this stage just to congratulate him and to assure him that he has the full support of Her Majesty’s Opposition.

[Sir Christopher Chope (Christchurch) (Con)]

May I address some remarks to the amendments in my name, particularly amendments 7 and 8 to clause 1? Like everybody else in the Chamber, I think this is a really good piece of legislation, but it is dependent on the good will of the Government to ensure that something actually happens.

Too often, we pass legislation in this House, and months or years later we find that nothing much has happened as far as the Government are concerned. I give as an example the primary legislation passed in this House to limit public sector exit payments to £95,000. That was contained in the Enterprise Act 2016. The Government have still not implemented that provision. Despite promises more than a year ago that they were about to bring forward regulations, they have not even fulfilled those promises. The most recent information I have is that there will be a write-round before Christmas, and then they may have a consultation on the regulations next year. When the Government say, “Yes, we’re definitely going to do something about this”, as they did when that law was passed, there is quite often a gap between what is said and the reality.

It is against that background that I am seeking, in amendments 7 and 8, to tighten up the requirements on the Government to bring forward the code of practice. Currently, all the Bill says is:

“The Secretary of State must prepare a code of practice containing guidance”.

However, he may not prepare that code of practice for many months or many years, and we should learn from past mistakes.

[Sir Greg Knight]

May I just say to my hon. Friend that so far, throughout this whole process, I have found the Government very helpful, with no sign of procrastination? Indeed, they have been very astute in already seeking views and starting the consultation process, with a working group looking at some of these aspects. I am certain his fears are unfounded.

[Sir Christopher Chope]

I hope that is so. One way of establishing that my right hon. Friend is right would be if the Government readily accept amendments 7 and 8. Doing so would reinforce the good will of the Government in ensuring that they will bring forward their parking code in good time.

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[Sir Christopher Chope]

My hon. Friend makes a perfectly fair point, and I have tabled the amendment as a fall-back position—[Interruption.] Not a backstop, no. The amendment is a fall-back in case the Government do not accept amendment 7.

[Sir Greg Knight]

May I say gently to my hon. Friend that if his amendments are accepted, they may cause some difficulty? If the Bill becomes law, the Government will need to go through a procurement process, which will take several months. The arbitrary time limit that he seeks to impose might mean that that procurement process could not properly take place.

[Sir Christopher Chope]

With the greatest respect, perhaps my right hon. Friend’s point is relevant to my other amendments that relate to the time the Act must be passed. I do not see how having to go through a procurement process will interfere with the code of practice, unless the Government propose to delegate the drawing up of that code to some consultant—[Interruption.] My right hon. Friend says that the Government might want to do that. They might also feel the need to comply with the European Union procurement directive on this matter, but that is speculation.

My right hon. Friend has been, not obsessed, but very concerned about the abuse of private parking facilities for a long time, and this is a great opportunity to get legislation on the statute book and get something done. However, I say to my right hon. and hon. Friends who have great trust in the Government, that even if the Minister does not obstruct the Bill and exercises good will, as we have seen with public sector exit payments, there can be a big gap with those good intentions. I think the whole House supported the idea of a £95,000 cap on exit payments, yet two and a half years later there is no sign of that coming into effect, and the latest projection is that it will be sometime next year.

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[Sir Christopher Chope]

I see the hon. Gentleman is expressing his strong agreement.

[Sir Greg Knight]

I think my hon. Friend is seeing shadows on the wall where they do not exist. The Government have made it quite clear that they are very supportive of the Bill. If I give him an undertaking to harass the Minister and make his life a misery if I think he is dragging his feet, will my hon. Friend agree not to press his amendments?

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[Mike Wood (Dudley South) (Con)]

I want to speak, very briefly, about new clause 1 and amendment 6. I congratulate my right hon. Friend the Member for East Yorkshire (Sir Greg Knight) on the progress that his Bill has made, and particularly congratulate him on the new clause and amendment, which clarify the possibilities for a truly independent appeals procedure.

Landowners clearly have a right to decide on reasonable and fair terms for the way in which their land is used, but, as we know from our constituency postbags and email inboxes, in too many cases those terms do not seem fair. The processes for contesting unfairly issued parking tickets are expensive and drawn out, and motorists who are willing to contest a ticket through the courts take a disproportionate risk in the form of a dramatic escalation from the original fine as well as, of course, the legal costs. While we would not wish to prejudge the outcome of the parking code, one possibility that should be considered is the handling of appeals by a single independent person, and the measures allowing that person to be appointed and the funds to come from fees collected from the private operators covered by the scheme are therefore sensible.

[Sir Greg Knight]

Will my hon. Friend also give himself credit? It was partly as a result of the representations that he and others made that I decided to table the new clause and amendments.

[Mike Wood]

I thank my right hon. Friend for that generous intervention, but I fear that it may be a little too generous. The work that he and his team, and Ministers, have done has been key to the Bill.

I will certainly support both my right hon. Friend’s amendments and the Bill’s Third Reading, but I am afraid that I do not find myself able to support amendment 8, tabled by my hon. Friend the Member for Christchurch (Sir Christopher Chope). I think that we have a responsibility to ensure as far as possible that the provisions in our legislation are enforceable, and I therefore question the wisdom of legislative provisions requiring best endeavours on the part of the Government, although I have no doubt whatsoever that Ministers will at all times exercise such best endeavours. I am particularly reassured by the undertakings given by my right hon. Friend to harry Ministers if that becomes necessary, and I am in absolutely no doubt that he is perfectly capable of making Ministers’ lives a misery, just as he has promised.

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I pay tribute again to my right hon. Friend the Member for East Yorkshire for all his work. I thank hon. Members on both sides of the House. I am delighted the Government can support the amendments tabled by my right hon. Friend, and I hope that my hon. Friend the Member for Christchurch will not wish to press his amendments to a Division, in view of the reassurances I have given.

[Sir Greg Knight]

May I just echo the Minister’s final comment? I, too, hope that my hon. Friend the Member for Christchurch (Sir Christopher Chope), having heard the pledges of support for the Bill and the clear expressions of good will, particularly from Front Benchers, will not press his amendments to a vote.

[Sir Christopher Chope]

I am not going to do so.

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[Sir Greg Knight]

I beg to move, That the Bill be now read the Third time.

We have had a good-natured and constructive debate throughout our proceedings, and I wish to thank everyone who has taken part. In particular, but not exclusively, I would thank the Under-Secretary of State for Housing, Communities and Local Government, my hon. Friend the Member for Richmond (Yorks) (Rishi Sunak), and his predecessor, who first indicated to me that the Government were willing to support this measure. I also wish to thank Sarah McLean and Phillip Dunkley, her predecessor, who managed the Bill in the Department and have been very helpful to me. There are many other people I wish to thank: Steve Gooding of the RAC Foundation; my parliamentary colleagues who served on the Committee; members of the advisory group, which I have also attended and played a part in, who have discussed these matters; and, last, but certainly not least, the official Opposition for their support for this measure, the Scottish National party and my hon. Friend the Member for Perth and North Perthshire (Pete Wishart)—and he is my hon. Friend—who pledged his support, and my hon. Friend the Member for Cardiff West (Kevin Brennan), who is also my hon. Friend and is a sponsor of the Bill. I am also grateful to the many people throughout the country who have contacted me with stories of how they have been unfairly treated by parking operators under the current voluntary regime.

As I have said, parking is an indispensable part of motoring, as if someone undertakes a journey in a vehicle, they will need to park it. According to the DVLA, there are 38 million vehicles on our roads, approximately 19 million of which will be driven each day and will then undertake at least one parking transaction. The number of penalty notices issued every year from private car parks continues rise, so it is essential that the Bill makes further progress. It is essential that those who park on private land are treated fairly and uniformly.

Motorists should have certainty that when they enter a car park, they are entering into a contract that is reasonable and transparent, and that involves a consistent process. That is not just my view: in 2015, some 78% of respondents to the Department’s discussion paper on private sector off-street parking stated that there were significant problems with how the sector conducts its business. Poor signage, unreasonable terms, exorbitant so-called fines, aggressive demands for payment and opaque appeals processes need properly to be outlawed.

Some private parking operators still deploy tactics that are clearly unacceptable. I have previously referred to an appalling case involving a pensioner called Angela, whose car was ticketed for £70 for exceeding the time permitted in the car park. Angela is 5 feet tall and although she had not initially noticed the parking sign, when she came back to her car she looked for it. It was mounted so high up on a pole that she could not read what it said. That is clearly unacceptable.

Another motorist, Mr O’Keefe, whose case I have also mentioned before, was driving on a private industrial estate, searching for a particular business that he was having difficulty finding. He stopped in an empty lay-by for around 15 seconds to reset his satellite navigation system and was filmed by a passing security van equipped with a video camera. One week later, he received a penalty invoice for £100 for stopping in breach of a sign that was situated not in the lay-by itself, but some distance further along the road. He realised that he had passed it at 30 mph. The parking company accepts that he was parked for only around 15 seconds, but when he used its appeals procedure, he still received threatening letters.

The hon. Member for Warrington South (Faisal Rashid) mentioned one of many cases in which usually pensioners, although not always—some of the cases that have come to my attention have involved pensioners—type one digit of their registration number into the machine incorrectly and the machine does not allow for any correction of the details already entered. The fee is nevertheless paid, but a ticket is issued. So, for many people, parking on private land can be a traumatic and expensive business.

One of the reasons why we need a mandatory code now is that technology is being used to provide evidence. The growing misuse of automatic number plate recognition cameras is a particular worry to me. Cameras ostensibly enable private parking companies to keep a record of exactly how long a motorist has remained in a car park and provide photographic evidence if they exceed the time they have paid for. They say that the camera never lies, but things are not always as they seem.

In one car park at a fast food restaurant in Nottinghamshire that is policed by CCTV, drivers are told they must not enter the car park when the restaurant is closed. However, the signage telling them that is located inside the carpark itself, along with the details of the opening times of the restaurant, making it impossible for a motorist to know before they enter the car park whether they will receive a private parking notice.

At another private car park at a fast food outlet in Enfield, a driver was recently issued with a parking charge notice for overstaying. In this case, the motorist visited the restaurant twice in one day. The ANPR cameras recorded her leaving the car park on the first visit and returning for the second. By using the photos the wrong way around, the car park operators tried to charge her a penalty for a period when she was not even in the car park.

[Henry Smith]

My right hon. Friend is continuing to make a powerful argument. One of my constituents recently parked at a McDonald’s so that he could go in and complain that his drive-thru order was incorrect, and he received a penalty notice. It is not only the small rogue operators that abuse the system; some large companies are also sailing extremely close to the wind.

[Sir Greg Knight]

I am grateful to my hon. Friend for his intervention. These examples are all, clearly, very distressing for the motorist concerned, as are the language and the threats that are often used—a point made by my hon. Friend the Member for Cheltenham (Alex Chalk). It is, however, important to remember that these companies have no legal power to fine motorists. That is something only the police, local councils and those enforcing railway byelaws can do. As a result, some private parking companies deliberately make their parking charges look very similar to official penalty charge notices. When the police or the local authority issue a fine, it will often be labelled as a “PCN”—a penalty charge notice—and may come in an official yellow cellophane wrapper. Some private companies are now using similar packaging and are even labelling their notices with the word, “PCN”, but this time it stands for parking charge notice. Often the term enforcement is used, but these companies do not have any enforcement powers.

[Sir Christopher Chope]

None of these companies would be able to operate in this way if they were not able to get access to the DVLA database. Why is nothing being done about that?

[Sir Greg Knight]

My hon. Friend will be pleased to know that, when this Bill becomes law, as I hope it will, that is precisely what it will do: it will take away the right of a rogue company to seek vehicle keeper details, thereby putting it out of business.

[Kevin Foster]

Does my right hon. Friend agree that the whole purpose of this Bill—I will come on to this in my own speech in a minute—is to create a clear and single source for the code of practice and regulation so that the rogue operators cannot shop around, and also if those operators are not approved, they cannot approach the DVLA? What is at the absolute core of this Bill is stopping this flagrant abuse that is going on.

[Sir Greg Knight]

Indeed that is the case. In reality, these private parking notices are not fines, but invoices. It is the law of contract that governs the relationship between the parking company and the customer, as has previously been said. In other words, they are a demand for payment, because the car parking company says that a driver has breached their terms and conditions. They are private parking notices, and the code should require them to be described as such in future, and I am sure that the Minister will do that and that those companies will not be able to use threatening language or imitate or copy a ticket received from the police.

My Bill is designed to bring these bad practices and bad behaviour to an end. It requires the Government to create a mandatory code of practice across the parking sector to end inconsistent practices and unfair treatment of motorists. It will ensure that the terms on which private parking is provided, including the rights and obligations of each party, are fair, clear and unambiguous. The mandatory code will assure drivers that private car park operators will in future treat them in a reasonable and proportionate manner. If they do not, motorists will have access to a robust and independent appeal service. As I have said to my hon. Friend the Member for Christchurch (Sir Christopher Chope), erring car park operators will be put out of business by being denied access to the DVLA database. May I repeat again that I am most grateful to have the support not only of the Government, but of the Official Opposition and the Scottish National party? I say to the House that, today, we can take a big step towards making private parking a fairer and more predictable experience for us all. I commend my Bill to the House.

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[Pete Wishart]

I understand totally the frustration felt by the hon. Gentleman’s constituents who have to park in Perth city centre. I hope that we will both see the amount of correspondence we receive in our mailbags on this issue decrease significantly as a result of the Bill.

Another frustration is that Smart Parking is singularly unresponsive. It does not reply to representations from Members of Parliament or have meetings with us. It does not even start to engage with some of the difficulties we identify with its operation. I wish to commend The Courier newspaper in Perthshire for the campaign it has mounted about the situation. One of the reasons I am down here today as the Member of Parliament is the very fine work that The Courier has done on the situation right across Perthshire. I congratulate it on that.

The Bill means that these companies will no longer be able to get away with that type of behaviour. The days when they could distribute fines like confetti, and when they could confuse and frustrate our constituents with their so-called smart technology and poor signage in order to harvest fines, are coming to an end. The Bill is evidently necessary, because self-regulation has been a resolute failure. The toothless regulators, such as the British Parking Association, are singularly incapable of dealing with the sharper practices of the rogue operators.

The British Parking Association actually lists some of the operators as its members. I had a meeting with it this week, and it gave me a copy of its magazine, which includes a list of all its members, and who should be listed there, in bold letters? It was Smart Parking. The BPA does not have the ability to regulate these companies and has shown no sign whatsoever that it is trying to get on top of some of the sharper practices. The BPA gives a veneer of legitimacy to some of the more outlandish rogue operators by including them in their membership, allowing them to continue to operate. The Bill will oblige operators such as Smart Parking to amend their practices.

I want to mention another practice that I have observed in a retail park in my constituency—this is actually worse than Smart Parking. Two private parking companies operate one huge car park at St Catherine’s retail park in Perth. One company circled the car park with signs telling motorists that, if they had the temerity to leave the part of the retail park where they had used a parking space to access shops in other parts of it, they would be fined. It did that, and it actually took photographs of people leaving their car and going into other parts of the retail park where the facilities are covered by another parking operator. That is what it did, and this is the extent to which some of these private parking operators work. It is not good enough, and it has to end.

I want to say to the Minister that I think what he is doing is fantastic. I have seen some of the details he is going to put into the code of practice and I think they are fantastic. I congratulate him on taking the maximalist approach. I think the Government will approach this by ensuring they will do the utmost they can to protect the motorist from this type of practice. They will put in place a set of regulations that will ensure the best result we can get when it comes to these things.

Among the things I want to make a plea for including in the code of practice—given what I have heard from the Minister, I am pretty certain that he will be looking at them—are equipment and technology. We have to make sure that we get the signage absolutely right and that surface markings are clearly identified and regulated properly. There should be clear and accessible displays of the terms and conditions of the car park. We have already heard examples of when that does not actually work. I know that the Government are looking at consideration periods to allow motorists sufficient time to decide whether they would like to park, and grace periods to allow motorists time to pay and leave the car park. All of this would make a real difference to the parking arrangements in our cities and town.

I believe these parking companies intentionally deploy poor signage. The fact that motorists can be fined simply for entering a car park to look for a space is simply and clearly unacceptable. One of the car parking operators in my constituency actually fines people for entering a zero instead of the letter o. Apparently, the smart technology cannot cater for that, but the operator takes no recognition of that when people appeal on such a basis.

Another of my pleas to be included in the code—the Minister may be able to help us with this one—is capping fines, a feature that I think we all agree must happen. The fact that someone can be fined £140, £160 or £180 for parking a car is simply and utterly absurd. I think, and I hope, that this will be addressed. My suggestion is that fines or parking charge notices in private car parks should be no more than those of the local authority. I think it is fair that there is a uniform cost that people pay in any city or town across the country, and I am pretty certain that we will get to such a place.

I know the Government’s intention is to ensure that what are called PCNs will no longer be able to look like fines from the local authority, and that is really important. Will the Minister tell us how this will be done and how he intends to ensure that that happens? Parking companies have to get away from this confusion with local authority penalty charge notices, and they must do so without using the threatening and intimidating language on these tickets.

What I would like to see on such tickets is the full legal basis on which they can be distributed. As the right hon. Member for East Yorkshire said, this is a contractual arrangement, so they are not fines. If the private parking company is to pursue such a case, it has to take it to the civil court to demonstrate clearly that the motorist has breached the terms and conditions of using the private car park. That should be mentioned on the parking ticket, as issued by the private operator. I think that would be fair.

[Sir Greg Knight]

I would argue that if the parking operator takes an erring motorist to a civil court and it is shown in court that the form of private parking notice was not as laid down in the mandatory code of practice, that should be a case for dismissing the claim.

[Pete Wishart]

I totally and utterly agree. I will come back to access to the DVLA register later in my speech. The key to all this is the DVLA register and ensuring that access to it is predicated on good behaviour. If there are any examples of any of these companies going back to such sharp practices, they should be dealt with effectively and not given access to the DVLA register.

I am particularly delighted that the Government are looking at debt collection issues. I hope the Minister will confirm that the Government will state explicitly that operators cannot sell or assign debt to a third party, as that has to happen. The use of aggressive debt collection companies is probably the most grotesque, threatening and intimidating feature of parking companies’ behaviour, and the part of their operation that concerns me most. I cannot remember which hon. Member mentioned vulnerable customers who receive some of these letters, and what it must do if they receive a letter that tells them that the charge will impact on their credit rating. I think that is illegal—perhaps one of the greater legal minds here will clarify that for me—but that is the sort of thing that those letters include.

Debt collection companies increase the tempo and rate of intimidation and threat. One of my constituents received 10 letters from a range of different companies, with an increasing tone of belligerence and threat. It is right for private parking companies to expect settlement, and to deploy reasonable steps to recover it, but we cannot continue to allow threatening and aggressive letters that demand payment simply for parking a car.

Access to the DVLA is the prize that parking companies require to ensure they can continue to operate. The Government will introduce conditions for access to the DVLA database—perhaps the right hon. Member for East Yorkshire will confirm that—so that proper auditing must be conducted before an operator can join a parking association, and that compliance must be demonstrated. I believe it should be incumbent on parking operators to demonstrate fully that they are a responsible operator in order to get DVLA access, and if there are examples of bad practice, that access must be removed.

I am grateful that the entire Bill covers the whole UK and will be applicable in Scotland. We have agreed a legislative consent memorandum in the Scottish Parliament to ensure that the Bill will apply across Scotland, and it is right that we have uniform measures such as this. I travel down to London and park my car here, just as hon. Members come to beautiful Perthshire to enjoy the fantastic features of my constituency, and it is right for everyone to expect the same level of service and regulation throughout the United Kingdom.

We have seen what this issue does to towns and cities. Parking is an essential requirement for any town or city centre, and the right hon. Gentleman was right to highlight how many trips are made and how many parking experiences are involved as we go from A to B. It can have a devastating effect on local economies if we do not get the issue right, so parking is an important ingredient in our community and the local economy.

In my experience, people are happy to pay for parking—I have never seen anybody suggest that we should get parking for free, and any place where free parking has operated has become a disaster and a free-for-all. We need efficient and effective parking in our towns and cities. People are even happy to pay parking fines if they know they have been wrong and perhaps overstayed, or something happened and they received a fine. What they cannot stand, however, and why we receive so much correspondence and so many complaints in our inboxes, is when the fines are unfair and imposed disproportionately, or when people are pursued by parking companies. Ultimately, it is not beyond our wit to design an arrangement where someone parks a car, makes a payment, and is assured that that is the end of the matter. Needing to ensure a code of practice shows how bad things have become, which is why we must address this issue.

I hope that this is high noon for the parking cowboys. I hope they are brought under control and that I will not have continually to respond to constituents and visitors to my constituency about the behaviour of a certain company. This is a good Bill, and we must now see the code of practice. I know the Minister will ensure that we are involved in designing that code, and when he responds to the debate I look forward to hearing some of the features that will be included. Finally, I congratulate once again my good friend, the right hon. Member for East Yorkshire, on sponsoring this Bill, which I am sure will be successful today.

[Huw Merriman (Bexhill and Battle) (Con)]

It is an absolute pleasure to follow the hon. Member for Perth and North Perthshire (Pete Wishart). I congratulate my right hon. Friend the Member for East Yorkshire (Sir Greg Knight) on finally bringing this madness, quite frankly, to an end with this Bill.

Many right hon. and hon. Members have talked about their constituents’ experiences of receiving unfair parking enforcement notices. I declare an interest because I have experienced the exact same situation. I drove into an underground hotel car park, got my bag out and went into the hotel. A member of the hotel’s staff then told me how much the parking charge was—it was more expensive than the hotel room—but that there was a really good local authority car park around the corner. I took that advice. I got back in my car, drove out and parked in the local authority car park without any problem. However, I received a fine from a parking operator because I had driven in and driven out of the hotel car park five minutes later. I won my appeal, but the hotel company said that it would discipline its member of staff for advising me to park elsewhere. Perhaps that is a private Member’s Bill for another day.

On the border of my constituency, there is a local authority car park. Bizarrely, part of the land is privately owned. People park there because they think they can park for free, just as they can for the local authority part. There is no signage on the part that is privately owned and people do get charged. It is an absolute sting.

[Sir Greg Knight]

My hon. Friend is making a very good point. That is why it is essential that the code of practice has a transaction period that is free. In other words, it would give motorists thinking time between entering a car park and deciding whether or not to stay. In some parts of the country, car parks are situated in conservation areas where, for planning reasons, signage is inside. We need to give motorists time to go in and think, so they can say, “No, this is not for me” and leave without facing a penalty.

[Huw Merriman]

My right hon. Friend is absolutely right. We are talking about contract law. If people pick up an item in Boots priced £5 but at the till they are charged £10, many people think they can actually get the item for £5. In fact, under the offer and acceptance of contract law, the contract is formed only at the time of execution. Yet when one goes into a car park, one can be charged before executing the transaction. That has to be a breach of contract law.

On the charging mechanism, there is no proper definition for what is a reasonable and proportionate charge. That is of particular interest, because my former chambers sought a legal opinion from the Royal Automobile Club. The feeling was that the legal definition of reasonable and proportionate would be the cost of administering the charge. What was unusual was that the Supreme Court was asked to decide and found that £85 was reasonable and proportionate. The QC, however, felt that it was several times higher.

Perhaps the Minister could commit to guidance on what the charge should be. If that were to follow local authority charging, which outside London would be £60, I would perhaps stray into another area and say that I do not believe £60 is reasonable and proportionate. Local authorities will say that that is the cost because they do not make any profits, but I believe that they do. I believe that local authorities, time and again, use the money they raise from parking to pay for other areas of their spending. They are not supposed to do that. Barnet Borough Council, which was taken to court and lost, freely admitted that it was levying excessive charges to raise money for other services. No other local authority will ever admit that. There is a permitted amount they can spend from parking revenues on measures that enhance the environment. However, that is so wide and woolly that local authorities can effectively charge in any way they want.

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[Kevin Brennan]

May I join the long list of Members who have been praising the right hon. Member for East Yorkshire (Sir Greg Knight) for introducing this Bill? He has had so much praise today that perhaps next Tuesday at the political studies awards, which will be shown on the BBC Parliament channel, he should get an award of his own for introducing this Bill. He will be well supported because I and the hon. Member for Perth and North Perthshire (Pete Wishart) will be there with him at the awards, playing in MP4 and launching our new single “Do you see me?” I turn to the Bill. I was delighted to sponsor—[Interruption.] CDs are available at £5 on Revolver Records.

I was pleased to sponsor this Bill with the right hon. Gentleman, the hon. Gentleman and other hon. Members. Why are we here? If we cannot in this place try to change things for the better for our constituents, there is little purpose in our being here, and this legislation genuinely will improve the quality of people’s lives. If they no longer have the stress and anxiety of receiving one of these fake notices—which is sometimes what they are—through the post, trying to extort money from them for simply going about their daily business, as anybody should be free to do, we will have done a great service to our constituents. If the Bill takes out some of the cowboy operators that every Member in this Chamber knows about through their constituency casework, we will have done a great service to our constituents. If it saves hard-pressed constituents a few quid because they have not been fooled—as is sometimes the case—into paying notices unnecessarily, we will have done them a great service. The right hon. Gentleman in particular and other Members who have contributed deserve credit for that. He does deserve some sort of award for bringing the Bill through. I am sure that will make the right hon. Gentleman extremely popular not only, as he already is, with his own constituents—I can say that as he has a very safe Tory seat—but with motorists and constituents across the country.

I am glad that the Bill was strengthened today through the new clause and the amendments that the right hon. Gentleman introduced, and I am sure that when it travels down the Corridor to the other place their Lordships will want to look at it very closely and perhaps consider strengthening it further in co-operation with the Government. But what is most important is that we get it on to the statute book as quickly as possible because it will make a genuine and positive difference.

In Committee, I mentioned some of the bad practices. I am not going to dilate at length—as Mr Speaker might say—on those issues this afternoon, but some companies, such as New Generation Parking, which I mentioned, do not even respond to correspondence from Members of Parliament on behalf of their constituents. In Committee, I expressed the view, which I know the Minister heard, that any code worth its salt would ensure that any company that failed to respond to a letter of concern from a Member of Parliament on behalf of their constituent would be in breach of that code. It should be a basic requirement on any decent company operating any kind of business that it should respond to a reasonable inquiry from a Member of Parliament within a reasonable time.

[Sir Greg Knight]

The hon. Gentleman is absolutely right on that point. If a complaint is made about the receipt of a private parking notice, whether by the driver, the registered keeper or the registered keeper’s MP, it should in my view be responded to within 14 days.

[Kevin Brennan]

I am pleased that the right hon. Gentleman has put that firmly on the record. He also responded positively in Committee when I intervened on him on this matter. I am sure that the Minister has heard what he said, and I hope that those who are preparing the code will also have heard that viewpoint being expressed here.

Perhaps we need to ponder further on the practice that is now developing of parking companies using technology to enforce these parking notices. I am concerned not only that they are using camera technology but that, in more and more cases, anyone who parks on private land—for example, the site of St David’s Hospital in my constituency, where there is no charge but we nevertheless have to register when we park—is required to enter their registration number into a machine in order to be deemed to have parked legally or appropriately there. How is the collection of that data being properly overseen? Who is responsible for ensuring that the personal data that is being collected in the form of our constituents’ registration numbers is being properly and legally processed? Further to that, the companies do not often provide a paper receipt from the machine, and people are expected to provide a mobile telephone number or sometimes an email address in order to get a receipt to prove that they have parked legally. Who is responsible for ensuring that the data being collected in that way is being properly processed?

This issue was brought to me by my constituent, Derek Donovan, who has campaigned heavily on issues relating to parking, and to private parking in particular. He has also pointed out that, even when we are not required to provide a registration number, the parking company can go to the DVLA and ask who the owner of a particular vehicle is. The way in which that information is handed out, and to whom, is not being properly co-ordinated by the DVLA—if indeed it is its responsibility to do that. Only a sample of cases is audited, so we cannot be sure that that data is in all cases being released to responsible people and used responsibly and legally. As a result, Derek Donovan has registered a complaint with the Information Commissioner’s Office, the outcome of which could prove pertinent to the passage of the Bill in another place if we hear from the ICO before the Bill goes through its other stages there.

I do not want to go on at length, because we want to ensure that the Bill completes its passage before we end our proceedings today. I reiterate my congratulations to the right hon. Member for East Yorkshire and I wish it well for its further passage at the other end of this building.

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[Sir Greg Knight]

With the leave of the House, I once again thank everyone who has taken part. In anticipation of his future help, I thank my noble Friend Lord Hunt of Wirral, who has agreed to take the Bill through the other place.

The message to cowboy parking operators from this Chamber is loud and clear: in future, you play by the rules or you are put out of business. Let us give the Bill our blessing and make parking a much fairer experience.

Question put and agreed to.

Bill accordingly read the Third time and passed.