Draft Consumer Rights Act 2015 (Enforcement) (Amendment) Order 2023
Debate between Greg Knight and Kit Malthouse(10 months, 1 week ago)
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Kit Malthouse (North West Hampshire) (Con)
It is always a pleasure to see you in command, Ms McVey.
This is a seemingly innocuous and small slip of paper, but I want to raise a number of issues about which the Committee needs to be aware. First, anybody who is familiar with schedule 5 of the Consumer Rights Act 2015 will know that the implications of entering trading standards into the schedule can and will be profound. The schedule contains some draconian powers—powers that are now to be bestowed on trading standards—which have caused alarm pretty much ever since Gordon Brown amalgamated Customs and Excise with the Inland Revenue.
As a scholar of Daphne du Maurier, Ms McVey, you will know that the excise men, as they used to be known, have historically, since 300 or 400 years ago, had significant powers to deal with smuggling. With that came a culture in the then Customs and Excise of a slightly brutal approach towards their customer base. They were well used to smashing their way into warehouses without a warrant and could demand all sorts of documentation without any cause for suspicion. I am afraid that the amalgamation of Customs and Excise with the Revenue meant that that culture, which was a little bit like Japanese knotweed, infected the whole of what is now HMRC, to the extent that we do not now see a professional organisation that sits down with other professionals in the accountancy or legal profession and decides what is due. Instead, we see more of a brutal, demanding and aggressive organisation.
Unfortunately, through the schedule, the powers have been spread to other organisations, such as district councils and the Competition and Markets Authority, and we are now giving those powers to trading standards. For example, schedule 5 includes the power for an enforcement or investigation organisation to enter premises without a warrant. There is no requirement to go to a judge and offer any evidence as to why the organisation needs to enter those premises; it can just enter. The only restriction is that those premises, as I try to remind myself from the Act, cannot be wholly or largely residential, but I am not sure who makes that decision.
As my right hon. Friend the Member for East Yorkshire said, an awful lot of corner shop owners will be affected by this legislation, many of whom live above the shop, as my great-grandparents did in Harrogate. The question of who decides whether that premise—that corner shop—is largely or wholly residential will be an interesting one for the enforcement authorities to consider. I can see situations where they may well smash their way into a corner shop and there is a perfectly innocent family sleeping upstairs who will be traumatised by their entry. This is a draconian set of powers.
Similarly, there is the ability to demand documentation without any suspicion or recourse to law whatsoever. Much of it can be suspicionless, as far as I can tell from the Act. I ask colleagues to be under no illusion: this seemingly innocuous bit of paper is actually conferring significant powers on trading standards and we should not underestimate that.
Sir Greg Knight
Could not the concerns that my right hon. Friend raises be addressed by the Government in the guidance they will issue in due course?
Kit Malthouse
They certainly could be. This bit of legislation will go through today and I hope the Government will take those things into account. The explanatory memorandum states that respondents to the consultation were in favour, but I am not sure about the wider group. For example, I would be interested to know the view of the Association of Convenience Stores on the wider acquisition of the powers and the fact that they are being given to trading standards. My right hon. Friend is quite right; that could be addressed in the guidance. As I say, I want nobody to be under any illusions about what we are doing here.
Secondly, while this is an attack on the sale of illicit tobacco at the front end, I would be interested to know what the Minister is doing at the most vulnerable point for the smuggling of illicit tobacco: the border. We are seeing large amounts of illicit tobacco coming through the post, for example. It is mailed in packages from overseas through fast parcel delivery, often through the Royal Mail warehouse at Langley, near Heathrow.
I do not know whether colleagues know this, but that warehouse takes in 100% of overseas mail coming by Royal Mail route, and the ability to scan parcels quickly there is very restricted. We have never invested in proper parcel scanning at that facility, and those who would smuggle these goods—which, of course, can now be bought online and shipped from overseas—recognise the weakness in that route. I would love to see some of the £10 billion we are raising from tobacco every year invested in enforcement at the border, rather than it all being hived off to subsidise other activity. If we were really serious about stopping this trade, we would concentrate on the most vulnerable point, which is this funnel at the border where we could detect a lot of it.
Thirdly, this is yet another step in the phoney war against smoking that is taking place in this country. We never take what strikes me as the brave step of doing something imaginative to phase out smoking. We nip, we tuck, we chisel away, and we try to scratch the surface. We make life difficult for often marginal businesses such as corner shops, which are almost regulated out of existence now—they all have to have sliding doors in front of cigarettes and cannot display them in certain places—and yet we are not brave enough to do what other countries have done, which is to progressively raise the age at which people can buy cigarettes.
If we did that year after year, in time, only the over-60s or over-70s would be able to buy cigarettes, and we would have effectively phased them out in a generation. I do not understand why successive Governments have not been brave enough to do that, given the appalling statistics that the Minister mentioned. I speak as somebody who lost two grandparents and my grandmother’s twin sister to smoking-related cancer; both twins died of smoking-related cancer. I have seen the effects for myself, and I wish we could be braver about it and do something sensible, rather than running this phoney skirmish war that drags in so many innocent, struggling businesses.
The final point I want to raise is about the impact on local government. As the hon. Member for Erith and Thamesmead said, trading standards is not what it was. It is hard enough for consumers to get the attention of trading standards on anything these days. All our postbags will have been filled with letters from people who are frustrated by the fact that trading standards is not addressing their issue.
The explanatory memorandum says that there will be no impact on local government, stating:
“There is no, or no significant, impact on the public sector.”
If this measure is going to be effective, and if we are going to have all these inspections and regulation, surely this must fall within the additional burdens doctrine. Greater capacity must be given to trading standards to deal with this issue. If not, what part of its work is going to give? Where will the activity come from that the Minister now expects to be expended on illegal tobacco? We cannot just expect trading standards to expend ever more activity for the same number of heads and bodies and hours worked. If the Government really want this to be effective—and I have to say, I have my doubts—where will the extra capacity come from?
Shale Gas Development
Debate between Greg Knight and Kit Malthouse(5 years, 6 months ago)
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Kit Malthouse
No, because I want to leave time at the end for my hon. Friend the Member for Fylde.
It is clear from my hon. Friend’s speech that the recent consultations are important and have excited a strong reaction from his constituents, from him and from other hon. Members. I emphasise that no decision has been made whether to bring the proposals forward. The consultations have now closed: the Government are considering the representations made and will issue a response in due course.
The consultations are part of a range of measures to make planning decisions faster and fairer for all those affected by new shale gas development and ensure that local communities are fully involved in the planning decisions that affect them. Hon. Members will know that the Secretary of State has a quasi-judicial role in the planning system, so they will understand that it would not be appropriate for me to comment today on the detail of individual planning applications, on decisions on those applications, or on local plans. Hon. Members will also know that my remit as Housing Minister in relation to shale gas development is focused on planning policy and on delivering related manifesto commitments. However, given that many matters have been raised that are beyond my remit, I undertake to refer them to the appropriate Ministers, not least the Minister for Energy and Clean Growth.
Kit Malthouse
I am afraid that I do not have time.
My hon. Friend the Member for Fylde highlighted the importance of community engagement in the planning process. I reassure him that we remain fully committed to ensuring that local communities are fully involved in planning decisions that affect them, and to making planning decisions faster and fairer. Those are long-standing principles and I am adamant that we should stick to them. However, we understand that communities feel that they are often not consulted closely enough before planning applications are submitted to the local planning authority by developers. As my hon. Friend highlighted, that can lead to opposition to developments and a longer application process.
Engagement with communities at the pre-application stage gives local people a say earlier in the planning process and makes developers aware of issues of importance to the community that may need to be resolved. The planning system in the UK already provides an extensive legislative framework for community involvement, but I believe there is scope to do more. We have therefore published a consultation on whether applicants should be required to conduct a pre-application consultation with the local community prior to submitting a planning application for shale gas development. We believe that that could further strengthen the role that local people play in the process, and we are keen to hear the voices of industry and of communities. The consultation also seeks views on the process of community consultation that should be required and on the stages of shale gas development that should be covered. It closes on 7 January, and I urge everybody to contribute to it.
Let me move on to the potential changes to permitted development rights. Over the summer, we consulted on whether permitted development rights should be expanded to include shale gas exploration development, and on the circumstances in which those proposals might be appropriate. I make it clear that any potential permitted development right granted for shale gas exploration would not apply to hydraulic fracturing operations or to the production stage of shale gas extraction. I also emphasise that any permitted development right covers only the planning aspects of the development; it does not remove requirements under the regulatory regimes of the Environment Agency, the Health and Safety Executive and the Oil and Gas Authority.
It is important to note that all permitted development rights contain specific exemptions, conditions and restrictions to control and mitigate the impact of the development and protect local amenity. Any potential permitted development right for shale gas exploration would be no exception; for example, it could specify limits on the height of any structure, areas where a permitted development right would not apply, or noise and operation controls. The consultation has sought views on that issue.
In relation to the role that local communities and mineral planning authorities can play within the permitted development rights regime, our consultation also sought views on whether MPAs should be able to conduct a prior approval process to consider specific elements of a development before works can proceed. Such a process can include a requirement for public consultation. It would also enable local consideration of key matters.
There is currently no commercial production from any hydraulically fractured shale gas resources in the UK. However, we believe that it is vital to look ahead and understand how best to manage planning permissions for a future state in which shale gas is produced. We therefore also consulted over the summer on whether the production phase of shale gas developments should be brought within the nationally significant infrastructure projects, which many hon. Members have referred to. The consultation particularly sought to understand what the appropriate triggers and criteria could be for including production projects in the NSIP regime.
I emphasise that community engagement is fundamental to the NSIP regime’s operation. Pre-application consultation with the local community and with local authorities is a statutory requirement. Developers are required to consult extensively before an application is submitted and considered, and where the consultation has not been carried out in line with the statutory requirements, the Planning Inspectorate can refuse to accept an application. Local authorities and communities also have the right to be involved during the examination of a project; they can set out their views in written representations, which will then be taken into account in decision making.
Both consultations ran for 14 weeks and closed on 25 October. The Government are analysing the representations made and will publish a response in due course. Should we take forward the proposals, we have committed to conducting further consultations on the detail of the proposed changes. No doubt this debate will provide valuable feedback into that process.
I thank my hon. Friend the Member for Fylde again for securing this valuable debate. We remain fully committed to ensuring that local communities are properly involved in planning decisions that affect them, and to making planning decisions faster and fairer. As part of that, as I said, we have launched a further consultation today on whether applicants should be required to conduct pre-application consultation with the local community. We have also delivered on our manifesto promises to consult on how best to develop our planning processes for exploration and production of shale gas development while ensuring that communities remain fully involved. We are considering the responses from the consultations and will respond in due course.