Police Reform and Social Responsibility Bill Debate
Full Debate: Read Full DebateJames Brokenshire
Main Page: James Brokenshire (Conservative - Old Bexley and Sidcup)Department Debates - View all James Brokenshire's debates with the Home Office
(13 years, 8 months ago)
Commons ChamberI beg to move, That the clause be read a Second time.
The new clause addresses the point about the local setting of licensing fees that was debated in the Public Bill Committee. I welcome the hon. Member for Kingston upon Hull North (Diana Johnson) to the Opposition Front Bench. She will recall the discussions that we had on this point in Committee. I welcome other Members who sat on the Committee, and other hon. Members who are present.
In my response to the consultation on the Bill, I said that we intended
“to enable licensing authorities to set licensing fees based on full cost recovery”.
Since then, as I confirmed in Committee, I have been working with colleagues across Government to ensure that we achieve that aim in a way that is fair to all sides. I know that fee payers will be concerned about a change that is likely to see fee income rise overall. However, the fact is that licensing fees have not been increased, even for inflation, since the Licensing Act 2003 came into force in 2005.
The new clause does not represent a change of principle. The current fees are supposed to cover the legitimate costs of licensing authorities in discharging their functions under the 2003 Act. However, there has been widespread agreement for some time that they do not achieve that. The previous Government recognised the problem, and promised an independent review of their proposed fees as early as 2004. The independent panel published its report, known as the Elton report, in December 2006. The recommendations included an increase in fees, but no action was taken. Therefore, the question for this Government is not whether the situation needs to be addressed, but how best to address it.
We could set the fees centrally again, which would have the advantage of providing consistency for fee payers. However, I have chosen to move to set fees locally because I consider that it may be difficult to achieve a close approximation to full cost recovery with nationally set fees. Different areas do not have the same costs, and it is unavoidable that a blanket fee level would leave some councils with a deficit or provide an excessive income to others. No system is ideal, but as a matter of principle, council tax payers in areas with higher costs should not subsidise the administration of the licensing regime, and fee payers in lower-cost areas should not fund wider council activities.
Fee payers should be reassured that locally set fees will not mean that licensing authorities can set whatever fees they like. First, they will only set the level of the fee. They will not be permitted to design new fees or their own fee structure; nor will they be able to use licensing fees as an income stream. The only basis on which they will be able to set fees is to recover their costs in discharging their functions under the 2003 Act. I will issue guidance to local authorities on the setting of fees, including statutory guidance under section 182 of the 2003 Act. To ensure that costs are kept to appropriate levels, that will include guidance on the principles of good regulation, including risk-based and targeted inspection.
To provide further reassurance to fee payers, there will be a nationally set cap on fee levels. Under the new clause, that is provided for by the ability of the Secretary of State to apply constraints to the licensing authority’s ability to set fees. I intend that the level of the cap will be set in regulations after consultation. The consultation will contain a detailed impact assessment of the proposal.
In short, this measure is an important step towards ensuring that the Licensing Act 2003 works as it was intended to work, with fees fully funding licensing authorities’ administration of the Act.
As the Minister pointed out, we debated this issue in the Public Bill Committee on the basis of an Opposition amendment. I am pleased, because he has obviously listened carefully to the arguments that we made. The Opposition were clearly championing the localism agenda, which I know is close to the heart of the coalition Government, so I am pleased that they have decided, at this late stage, to bring forward an amendment of their own on the issue.
We have heard from local government that since 2005, when the regulations of the Licensing Act 2003 were implemented, the licensing system has cost council tax payers more than £100 million more than was anticipated because of the centrally set fee structure. As the Minister said, that structure does not allowing licensing authorities to set cost-neutral local charges.
As the Minister pointed out, the Government had indicated that they were considering giving licensing authorities the power to set licensing fees based on full cost recovery. I am sure that there has been considerable interdepartmental wrangling on this issue, and that that is why the new clause has been brought forward rather late in the day on Report. A number of trade organisations, the Local Government Association and others were concerned to see the original clause in the Bill, so no doubt they will be pleased to see this new clause. However, I wish to raise a number issues with the Minister.
To sum up on that point, my plea is for common sense to be applied to each local area. I would go one step further. The Best Bar None and various Pubwatch schemes are so essential that they ought to be compulsory. It should be part of the licensing arrangement that somebody who is responsible for a venue attends those meetings. Clearly, the best examples are when local authorities, the local police and local venues work together. It is unacceptable if a late-night economy venue does not proactively participate in such schemes, so I would include such participation as a condition of the licence.
This has been a useful debate, and I welcome the contributions from the hon. Members for Kingston upon Hull North (Diana Johnson) and for Cambridge (Dr Huppert)—I am grateful for the hon. Gentleman’s kind comments and thank him for his support and participation in Committee—and my hon. Friend the Member for North Swindon (Justin Tomlinson).
Obviously, new clause 1 relates to the general setting of licensing fees and the administration of the Licensing Act 2003 locally, rather than to the late-night levy. I recognise the points that my hon. Friend the Member for North Swindon has just raised, and perhaps we will debate the late-night levy in further detail when we debate another group of amendments in this part of our consideration of the Bill.
The late-night levy is a discretionary arrangement, so local authorities can decide whether one is appropriate in their area. The Government have indicated that there could be exemptions for establishments that make arrangements under schemes such as Best Bar None. Further detail will come forward in regulations and guidance, as I indicated in Committee, which I hope my hon. Friend accepts.
The hon. Member for Birmingham, Selly Oak (Steve McCabe) mentioned in an intervention the business improvement district in Broad street, Birmingham, which I have had the pleasure to visit. I saw how that partnership-type approach of drawing together the relevant licensed premises and other businesses to provide funds to look after and manage the area. A sad and tragic occurrence led to the establishment of that business improvement district, but it is a good example of how partnership working involving the police, the local authority, licensed premises and other businesses can work.
The Government do not seek to prescribe one specific model of partnership or how partnerships operate, or to say how a local authority should approach its management of licensing-related issues. Those things can be done in various ways, including through a business improvement district, a late-night levy, an early morning restriction order or voluntary arrangements such as community alcohol projects. I went to see the St Neots project when that started, and it is now being rolled forward. We support many such consensual voluntary arrangements whereby various parts of business work with local councils to come up with innovative, practical solutions to address problems on the ground.
The hon. Member for Kingston upon Hull North and others highlighted a number of specific points in relation to new clause 1. As she said, the previous Government tasked the independent fees review panel with consideration of the deficit between the costs and income of licensing authorities. In 2006, it estimated that a 7% increase in fee income was necessary for full cost recovery. Obviously, important points were made in the course of that review and, as I indicated, it was first and foremost in our considerations in introducing the new clause. The Government did not suddenly alight on the new clause at the last moment. Indeed, the original consultation document, which we published last summer, clearly refers to fees. In addition, full cost recovery was very much part and parcel of the consultation, to which we are therefore responding.
We will issue statutory guidance under section 182 of the 2003 Act on the application of good regulation, including risk assessment and targeted inspection, to which licensing authorities must have regard. That will be important as a further framework to the structure of the new arrangements.
Hon. Members mentioned burdens on business. We are obviously cognisant of statements in the recent Budget and the intention to introduce a moratorium to exempt micro and start-up businesses from new domestic regulation. There will be exemptions from the moratorium, and we will obviously need to consider the new licensing legislation, including locally set fees, within that framework. However, I say to the hon. Member for Kingston upon Hull North that there is a clear need to address the gap highlighted in the Elton report. It does not seem right for local authorities effectively to subsidise the processing and activities of the 2003 Act when dealing with licensing arrangements, and I shall say more about that.
Will the Minister therefore confirm that the one-in, one-out principle will not apply in relation to the Bill, which certainly places a range of regulatory burdens on business?
The hon. Lady actually made that point in Committee. The Government take one-in, one-out seriously. Regulatory burden was considered closely and carefully during the approvals that led up to the Bill, as part of our broader consideration of the wider arrangements concerning burdens on business. We want to strip away things that are not needed, bureaucratic and unnecessary, but we will come to that in due course when we consider the next group of amendments, which relate to alcohol disorder zones, which clearly have not worked, because no one has taken them up. We obviously consider the new clause to be an important step towards getting the right balance.
The hon. Lady mentioned periodically reviewing the maximum fee level. That is certainly something that we will do. As I said in my opening comments, we also intend to consult properly on the details of the proposals, so that we can take on board the different opinions. There will, therefore, be an opportunity for a number of these matters to be considered further. The hon. Lady asked about the time scale for that. We anticipate that the necessary regulations will be laid in October 2012 to allow that detailed consultation to take place. That is the time scale we are working to in the laying of the relevant regulations. She also asked about guidance. There will be guidance on how locally set fees will operate and on how to set the fees. It is important that there is transparency on how this is undertaken—in many ways, that reflects the comment from my hon. Friend the Member for North Swindon—and clarity on how the fees will be set locally.
A question was asked about what the assessment for setting fees locally will include and what full cost recovery will encapsulate. The new clause makes it clear that the costs that a licensing authority may recover in its fees include those of other responsible authorities and other relevant parts of the licensing authority. That means that marginal costs that relate to duties arising from the Licensing Act can be included. However, policing costs would not be included. In other words, we are looking at the administration of the Act by the relevant local authority. That is how the new clause has been framed. Obviously, however, further consideration of the details can take place as part of the consultation as we move towards introducing the regulations that will sit behind this provision. That also applies to the necessary guidance that will help to inform the framing of the arrangements. Obviously, fees must not represent a blank cheque for local authorities, and fee payers need to be reassured of that. As I have said, a maximum level for each fee will be set in regulations. We will consult formally on the level before we introduce it, and will take evidence from a variety of authorities and fee payers to ascertain the satisfactory maximum sum for each fee.
I hope that I have addressed hon. Members’ comments made during the debate. I also hope that all hon. Members will recognise that this is a sensible proposal, that we have listened to representations made from different quarters and that this provision will deal with the shortfall for local authorities. We are introducing the measure in a considered way, recognising the pressures on local authorities and businesses, and we believe that it is appropriate. We consulted on the new clause last August, and I hope that hon. Members will be minded to support it.
Question put and agreed to.
New clause 1 accordingly read a Second time, and added to the Bill.
New Clause 2
Alcohol disorder zones: repeal
‘Sections 15 to 20 of the Violent Crime Reduction Act 2006 (alcohol disorder zones) are repealed.’.—(James Brokenshire.)
Brought up, and read the First time.
New clause 2 will repeal the previous Administration’s alcohol disorder zones. This optional power for local authorities was so well considered and useful that it has been completely unused by local licensing authorities to date. Alcohol disorder zones were heavy on bureaucracy and potentially expensive to introduce and administer. I am genuinely sorry that the hon. Member for Bradford South (Mr Sutcliffe) is in his place to hear me say this, because he was involved in the consideration of these zones. I recognise some of the challenges that he probably faced at the time in trying to introduce the policy, but we believe that it is time to call time on alcohol disorder zones. The Government do not believe that they are the right approach to tackling alcohol-related nuisance, annoyance or crime and disorder, and as such we seek their repeal.
Alcohol disorder zones were designed to tackle areas with a specific problem with alcohol-related nuisance, annoyance or disorder. To apply a zone, a licensing authority was required first to gather evidence that a specific area was responsible for causing alcohol-related nuisance, annoyance or disorder. Adoption of a zone further required that all premises subscribed to an action plan. If there was evidence that the action plan had failed, local authorities could impose a charge on local businesses to pay for additional enforcement, but had to provide a calculation of the cost of enforcement in order to levy the charge. That was a prohibitive bureaucratic process.
Does the Minister agree that one of the unattractive features of the disorder zone plan was that it required areas to be described, or to describe themselves, as places of disorder? In itself, that was a most unattractive prospect.
It would be fair to say that it probably was not the biggest selling point of the policy to have that tag attached to a local area. It was probably, therefore, one of the disincentives. However, the problem had more to do with the levels of bureaucracy, including the impact of making some of the extremely challenging calculations necessary. I do not think that any local authority has felt brave enough to come forward. The Government are committed, therefore, to reducing the burden. The tools and powers available to local authorities must be simple to adopt and proportionate to the problem. Early morning restriction orders, for example, will, by stopping the sale of alcohol, be a simple way for local authorities to tackle specific problems at specific times and on specific days. That is something that we recognise and have taken forward in the Bill. We have sought to apply a more flexible approach through early morning restriction orders.
The late-night levy will be an optional power for local authorities to raise a contribution to the large policing costs incurred in the late-night economy, as well as supporting costs of local authorities in managing the late-night economy. The levy has been specifically designed to be simple for licensing authorities to adopt. We considered the repeal of alcohol disorder zones in our public consultation last year. The responses overwhelmingly supported repeal. Local authorities and the police spoke of the evidential burden, while businesses identified the policy as ineffective. I am sure that hon. Members will agree that alcohol disorder zones should no longer be on the statute book. I therefore ask that the new clause be incorporated in the Bill so that we can finally put this failed policy to rest.
Clearly, the new clause is a housekeeping matter for the Government in tidying up licensing legislation. I listened carefully to the Minister’s comments on the need for simplicity and a proportionate response to alcohol problems late at night. However, I do not think that the blanket approach being adopted under the late-night levy is proportionate. I would caution the Minister. Let us consider a large area of the country such as the East Riding of Yorkshire. If the local authority was minded to apply a late-night levy to the whole of the East Riding, small country pubs with no problems would have to pay the levy as well as places in more built-up areas, such as Bridlington, that do have problems late at night. The Government’s approach through the late-night levy might almost be described as the son of the alcohol disorder zones.
I agree with the comments made by the hon. Member for North Swindon (Justin Tomlinson); his experience has been of benefit to all of us. This is not a party political issue. We all want to see successful pubs and licensed premises where people can enjoy themselves and the businesses can make money and provide the jobs that are very much needed in some places. Perhaps I did not make myself clear to the hon. Member for Cambridge (Dr Huppert): I am happy to accept that alcohol disorder zones were not a success. I think that they were genuinely conceived as an attempt to deal with a problem that we all recognised, but they were not a success. I am not in any sense troubled to see the Government scrapping them and trying a different approach. I honestly hope that that approach will work, and I wish it well.
There are some obvious concerns, however, and several of them have been mentioned today. Problems could arise when a rural area is adjacent to an intensively developed town, for example. The application of the rules in such a situation could be problematic. The west midlands has several local authorities in close proximity, and there is a risk that the application of certain levy arrangements in, say, Solihull could have a knock-on effect in neighbouring Birmingham. It is reasonable to say that we are concerned about how this will work in practice.
I urge the Minister to review the provisions, not because I want to be able to come back here in 12 or 18 months to have a bit of fun at his expense. On many occasions, I would quite enjoy that, but in this context it probably would not be terribly useful. As I have said, this problem does not involve any party politics. We are all grappling with the same issue, and want to get to the same end point. I therefore urge the Minister to have a review, perhaps even a rolling review, so that we can see what problems are developing, what solutions are being tried, and whether there is a way of developing best practice. Instead of reaching a point at which we have to say, “Oh well, that didn’t work either. We’ll repeal it and start all over again,” I would much rather see the approach being modified as we go along. It might be in the Minister’s interest to agree to report regularly to us on the lessons that have been learned from the application of the measure, so that we can call on the experience of people such as the hon. Member for North Swindon, who could suggest adjustments that might make a difference.
I wish the measure well, and I hope that it will work, but I urge the Minister to think about introducing a regular review process that will allow us to learn lessons and ensure that we tackle the problem.
I am grateful to the hon. Member for Birmingham, Selly Oak (Steve McCabe) for his contribution. He talked about not wanting to have fun at my expense, but I genuinely take his point on board.
I am sorry that the hon. Member for Gedling (Vernon Coaker) was in the Chamber only fleetingly. Perhaps he did not want to be present at the denouement. I remember him, when he was a Minister, grappling to try to make the alcohol disorder zone policy work. I was an Opposition spokesman at the time, and I used to pick holes in it, saying that parts of it would not work and that it was too complicated. I asked how areas would be defined and which businesses would be part of the scheme. I also asked how the costs and charges would be calculated, and what steps would have to be taken to set the scheme up. I could almost see the beads of sweat forming on the hon. Gentleman’s brow, because those were all fair questions that many people were asking. I do not claim any great credit in that sense, because many outside agencies, including the Local Government Association, shared the view that it was a nice idea but that it really would not work. It is now right and proper to accept that, to move on and to learn the lessons from that time.
I respect the comments of the hon. Member for Kingston upon Hull North (Diana Johnson), who I know probably wants to gloss over the alcohol disorder zone episode, as does everybody nowadays, and move on to a new chapter. The ADZ episode taught us that in seeking to apply a charge in that way, defining the area can seem quite straightforward initially but prove devilishly difficult. That was one of the issues behind the ADZ problem.
We have sought to take a different approach by looking at the issue on a time basis rather than at a specific area and by dealing with the problems of managing the late-night economy. Research showed that there were pressures on the police and increases in crime in the early hours of the morning, suggesting the importance of the time at which this was happening. That is why clause 126 makes it clear that the late-night levy must
“begin at or after midnight, and… end at or before 6 am.”
I hear the points made about rural areas, for example, where there might not be a problem. I note the question about whether, if the levy were applied more generally across the whole local council area, it would capture the well-run community pubs in the locality. If this were set to start only at midnight, I would suggest that those well-run community pubs are most likely to have shut by that time—before the levy comes into operation. If this is a problem, there is flexibility in the setting of the time at which the levy starts; it could begin from 1 am, for example. That flexibility is built into the measure.
It would help us and the industry if we understood how we are going to deal with the problem of events accidentally going beyond midnight or 1 am. Although there might not be any problems, a licence might be sought to cover a wedding or other event. At times such as new year’s eve places are open for a long time, which might technically tip them into the levy, although that is not the Government’s intention.
I think I made it clear in Committee that in those circumstances we would allow people to change their licence conditions to avoid the levy. Temporary event notices for specific issues would be considered under the TENs regime.
Will the Minister confirm that if a pub or venue operates just once in a year for which the late-night licence after midnight or 1 am applies, it will be subject to a late-night levy? Will the Government consider allowing, say, five or 10 opportunities for a pub to open during the year before the late-night levy kicks in?
Again, I think I said in Committee that we would want to look at such issues in the detail of the regulations. There are some specific points, as I said in Committee, that it would be appropriate to examine further. As part of that, we would want to give flexibility to encapsulate the schemes we have debated this afternoon—the Best Bar None and other voluntary schemes—so that some credit could be applied. I stress that the provisions are intended to be flexible, but if it became clear that the levy was not effective, at that stage—once implementation has taken place and an appropriate period had elapsed—it would be appropriate, as with any measure, to review it. We believe, however, that the provisions already have the required flexibility and are workable, and that they will not have the same bureaucratic problems as alcohol disorder zones. We believe that they are an important means of aiding the management and control of the late-night economy, many areas of which have been badly affected by the introduction of the Licensing Act 2003, without necessarily taking account of the consequences that have occurred.
I welcome the suggestion that there is greater flexibility in the provision, but setting the levy according to time is still likely to capture venues that conduct themselves appropriately but just happen to be operating beyond a certain time. There is an analogy with football policing. A big local football club will contribute to policing costs because it attracts all the supporters, but no one would dream of charging the part-time or amateur football clubs that play on the local recreation grounds. It should be venue-specific and it should take into account the need to be proactive in working with the local authority and the police authority.
On the venue-specific point, if there are problems, a review of licensed premises can be conducted. That is also why we included provisions to strengthen the enforcement of the laws against under-age sales.
Can problems with pre-loading, post-loading and so forth be pinned down to one specific area or not? We think that setting the levy on a time basis is fair and equitable, involving the provision of funding for local authorities to look at taxi marshals and manage the late-night economy in its broadest sense. By narrowing it down, the provision might start to lose some of the intent behind it, which is to help the police and local authorities to manage the late-night economy—if that is what they choose to do. I remind hon. Members that this is a discretionary power for local authorities to determine.
The Minister has made it clear again that this is a discretionary power that local authorities can exercise, but he has also made it clear that there were no alcohol disorder zones, so I wonder how many local authorities he expects to apply the late-night levy. That knowledge will help us to gauge its success in the future.
Strangely enough, this Government do not believe in central targets. The hon. Lady tempts me down that path, but I have to say that I have no specific target. I refer her to the regulatory impact assessment, which she will have read assiduously, as it sets out the level of fees forecast. The regulatory impact assessment sought to examine possible options and estimate what might be recovered by the late-night levy. Rather than count up the number of local authorities, however, I point her to that assessment. We hope it will be successful.
The Minister is generous with his time and in being willing to take some of our points into account. I welcome the suggestion that we might be able to find a way, by means of regulation, of excluding village pubs such as the ones in my area. The problem with the alcohol disorder zones was not necessarily the setting of the boundaries, but the paperwork and bureaucracy that went with them. I commend to the Minister one area of law that seems to have worked very well—the designated alcohol zones. These are no-drinking zones, which have a set boundary and were quite easy to set up in comparison with ADZs. Having boundaries or setting boundaries around problem areas is not necessarily that complicated if we ensure that the process is simplified.
There might be a distinction to be drawn between seeking to calculate costs and charges as with the ADZs, and local byelaws drawn up by some local authorities. As I have already said, the early morning alcohol restriction orders are relevant, along with cumulative impact zones. They show that there are ways of seeking to control the behaviour of individuals within a particular area. Calculating costs and levying charges and fees for licences appropriately has to be done in a broader way to make it effective so that we do not get drawn down into the bureaucratic mechanism that we are seeking to put to bed in respect of the alcohol disorder zone.
The Minister has been urged to make the Bill location-specific, but would that not confer a stigma on certain locations? Would it not also create excessive bureaucracy, as local authorities would have to do far more work? Moreover, would it not depart from the principle that the Bill seeks to implement, namely the establishment of a balance that will assist the police and allay public concern about such problems as disorder?
My hon. Friend makes some powerful points, which bring us neatly back to the subject of alcohol disorder zones. I do not think that they met the tests that my hon. Friend has just identified. For that reason, we think it right to end a policy that sadly became an alcohol disarray zone, given the challenges that stood in the way of its being brought to fruition. We believe that there is merit in providing local authorities and the police with funds enabling them to manage the late-night economy; we believe that the right way in which to do that is through the late-night levy; and we believe that it is time to end the ADZ episode, which has clearly been a failure.
Question put and agreed to.
New clause 2 accordingly read a Second time, and added to the Bill.
New Clause 3
General duties of licensing authorities
‘(1) The Licensing Act 2003 is amended as follows.
(2) In section 4 (General duties of licensing authorities) insert—
(a) protecting and improving public health.”.’.—(Diana Johnson.)
Brought up, and read the First time.
I beg to move, That the clause be read a Second time.
The Licensing Act 2003 sets out the four licensing objectives that must currently be taken into account when a local authority carries out its licensing functions: the prevention of crime and disorder, public safety, the prevention of public nuisance, and the protection of children from harm. The new clause would introduce a fifth objective: to protect and improve public health. We tabled it to deal with three key issues. First, there is the fact that public health is far more prominent and talked about than ever before. Secondly, there is the role of primary care trusts and, in future, local authorities, which is relevant to clause 104. Thirdly, there is the current position in Scotland.
Let me explain first why we think the issue of public health is so important. As an Opposition spokesman, the Secretary of State for Health made clear his strong commitment to it. So committed was he that he planned to rename the Department of Health “the Department of Public Health” if the Conservatives came to power. Obviously that has not happened, but the Secretary of State is very busy with his Health and Social Care Bill, and we know that he is trying to rename the NHS “the HS”—to get rid of the “national”.
The widespread view is that there is a proper role for Government in the promotion of good public health. We know from the provisions of the Health and Social Care Bill that one of the few budgets that will be ring-fenced in future is the public health money that will pass from the PCTs to local authorities in 2013. However, the Government have experienced big problems in their approach to public health. This month we have seen the fall-out from their stance on self-regulation by the drinks industry through the responsibility deal. A number of health groups have walked away from the discussions and the agreement, including the British Heart Foundation.
Don Shenker, the chief executive of Alcohol Concern, made clear his view that the Government’s approach to public health will not work. He said that the responsibility deal was
“the worst possible deal for everyone who wants to see alcohol harm reduced”,
and that it had no sanctions to impose if the industry failed to fulfil its pledges. He described those pledges as “half-hearted”,
and that the
“government has clearly shown that when it comes to public health its first priority is to side with big business and protect private profit.”
Let us consider what has already been said about this issue, and the action that the Government have taken so far. Yesterday the hon. Member for Totnes (Dr Wollaston) presented a ten-minute rule Bill to restrict the marketing of alcohol to children and young people. She made a telling point in expressing concern about the fact that the Government were putting the fox in charge of the chickens. They have, for instance, set their face against the idea of making personal, social and health education compulsory. That would have provided an excellent opportunity for young people to be taught about the effects of alcohol and the long-term health consequences of drinking too much.
In January, the Minister set out the coalition Government’s plans in relation to minimum pricing. He said that they wanted alcohol to be sold at the level of duty plus VAT. Many people, including representatives of many health organisations, have pointed out that that will have little effect on the price of alcohol in supermarkets, many of which will continue to sell alcohol that is cheaper than bottled water. It also contradicts the view of Liam Donaldson, the former chief medical officer, that there should be a minimum price of 50p per unit.
That was an interesting contribution from the hon. Lady. She said that she felt public health had been ignored for a long time, but she made a slight mistake by highlighting that. That is why I am delighted that my colleagues in the Department of Health are taking this matter seriously in their approach to Public Health England, which is giving proper attention to public health. It is a shame that the hon. Lady made those comments because we have had a reasonable debate and she unfortunately decided to make more partisan attacks during that contribution. Perhaps it is worth reminding ourselves of how we reached this point on the accident and emergency issues and of all the pressures that are brought to bear on our health service and on the police. The vibrant café culture had been promised and written up as part of the reforms introduced by the Licensing Act 2003, but it failed to materialise. That is why we are taking steps in this Bill to address licensing issues.
I agree with the hon. Lady that public health issues are involved here and that there is merit in making health a material consideration in the 2003 Act. The Government stated that in their response to the “Rebalancing the Licensing Act” consultation, which contained a specific consultation point on the matter, and we committed to considering the best way to take this issue forward. However, my view is that the issue requires further consideration, alongside wider Government work, to address the harm alcohol causes to health.
It is important to highlight the fact that the Bill has sought to bring certain changes into effect, such as enabling primary care trusts, as health bodies, to make representations. Health bodies have a clear interest in the existing 2003 Act objectives of “public safety” and “crime reduction”, as illustrated in: alcohol-related accident and emergency attendances; ambulance journeys following road traffic accidents and other accidents; glassing and other injuries; alcohol poisoning cases and so on. That directly relates to how those health bodies are able to make representations under the Bill. Drunken accidents and injuries comprise a high proportion of accident and emergency attendances—the estimate is up to 70% on Saturday nights. When added to ambulance costs, they cost the NHS about £1.1 billion a year, so this is a legitimate focus for licensing.
Members on both sides of the House want to ensure that we get the best possible policy on alcohol and public health—we all have an interest in doing that—but can the Minister explain to me what he expects the PCT to provide on an individual licence application? A lot of bureaucracy will be involved if the individual licence application has to involve accident and emergency statistics. Are they what he expects the PCT to provide?
In some areas, NHS organisations already share anonymised A and E data with the police. Such intelligence can highlight where violent incidents occur and any hot-spot premises, thus supporting police representations at licensing hearings and wider law enforcement. Making local health bodies responsible authorities will encourage the effective collection and sharing of anonymised A and E data and other robust and targeted evidence for licensing authorities to consider.
The hon. Lady specifically asked how the role of local authorities will be managed in the context of Public Health England. She will be well aware that licensing authorities become responsible authorities under the Bill and are therefore able, in essence, to make their own representations. Obviously, different functions are carried out by different parts of the local authority, as happens in planning. The licensing committee is able to consider applications and relevant legislative issues, so there is a broad read-across in how a local authority is able not only to make representations but to determine things. A local licensing panel will have an almost quasi-judicial role in that situation, as does a planning authority.
I want to return to some of the hon. Lady’s other points.
Whether or not the Minister accepts the new clause, does he accept the central point made by my hon. Friend the Member for Kingston upon Hull North (Diana Johnson)? As the Bill stands, a local authority could license a supermarket to sell cheap alcohol, creating a problem. If that local authority then imposed a levy that applied to other premises in the near vicinity but not to the supermarket, the health sector would not necessarily benefit from any of the levy, but it might suffer some of the worst cost effects of the problem. Does he accept that he must do something about the central health issue?
I will come to that. If the late-night levy is effective in managing the night-time economy and in supporting the police, it will have an impact. For example, it might affect the accident and emergency attendances that might otherwise arise in an area. Indirect benefits could accrue from the operation of the levy in that way. Different points need to be discussed, but I will come on to the issue of price, which is a fair point and was raised by the hon. Member for Kingston upon Hull North (Diana Johnson).
Protecting public health is a complex issue, and that was reflected in the mixed nature of the responses the Government received when, in our “Rebalancing the Licensing Act” consultation, we asked about adding the prevention of health harm as a fifth licensing objective. Although those who supported the proposal acknowledged the benefits of improving public health, reducing the burden on the NHS and increasing responsibility among licensees, those who opposed it were concerned that it would be onerous and unworkable.
Adding protecting and improving public health as a licensing objective, as the new clause proposes, would mark a fundamental change to the Licensing Act. The four existing licensing objectives underpin the Act and, as the hon. Lady highlighted, the licensing authority is required to carry out its functions with a view to promoting these objectives. We believe that before we make such a fundamental change, it is essential that full consideration is given to the potential impact to ensure that any changes are workable and do not have any unintended consequences. We should undertake such considerations alongside wider Government work to address the harm done by alcohol to health. For example, if we were to introduce the objective now, we would need to consider carefully—as we are—what the knock-on consequences might be.
If an area has public health challenges caused by deprivation, does that mean, strictly applying such a rule, that it should automatically have no licensed premises and is that acceptable? We need to consider such detailed factors carefully in the context of the consequences of making such a radical change. That is why we need to consider the question carefully and cautiously, albeit that I have sympathy with the points about public health. That was why we raised the issue in our consultation last August but felt, on the basis of the representations we received, that it was important to reflect on the matter and to consider it further in that context and in the context of the wider work that is taking place.
The hon. Lady made a good point about the Scottish licensing laws, which have an objective to protect and improve public health. We are keen to learn any lessons from the Scottish experience. The Licensing (Scotland) Act 2005 only came into force in September 2009, it will be evaluated and we look forward to learning from it. There are other differences in the Scottish framework, such as the powers to control density of premises, which raise their own issues and would need to be taken into account.
As announced in the “Healthy lives, healthy people” document, we want to improve alcohol treatment services through a greater focus on outcomes and payment by results. We also want to improve the commissioning of preventive services, including brief interventions by health professionals, so there is a broader focus that we wish to take on board. The hon. Lady mentioned the responsibility deal, but this is only a first step. The initial pledges will form an important platform for future work. Networks are already developing the next tranche of pledges, which we expect to go much further and to demand much greater commitment and action on the industry’s part.
The Minister announced in January his intention to legislate on minimum pricing. Can he update us on when those measures will come before the House?
We are considering this matter very carefully so that it is introduced in a less bureaucratic and a straightforward way. We will put further proposals before the House in due course because this is something we are committed to. Having made the announcement, we will be following through on this. It is important to ban below-cost sales and introduce the duty-plus-VAT measure that we announced at the start of the year. The Government are committed to following through on that.
The Government have already made provision in the Bill to make primary care trusts and local health bodies responsible authorities. That will ensure that local health bodies can influence licensing determinations by making representations based on local health evidence such as accident and emergency statistics. Those representations will need to be linked to existing licensing objectives to be relevant. Health bodies have a clear interest in the existing Licensing Act objectives, as I have mentioned, so we think it is an important step to recognise their role in that way.
For the reasons I have given, I ask the Opposition not to press the new clause and to allow the Government to examine this issue further and learn from the evidence and experience that is emerging from elsewhere. We can then consider what is the best way of legislating to make public health a material consideration within the licensing process, thereby recognising the points that have been made this afternoon and, equally, that this is a complex area. Doing things effectively and in the right way is the best course of action.
I am grateful to the Minister for his warm words about looking at public health and alcohol and I hope that we will see some more action on this. On minimum pricing, I am concerned that the announcement was back in January but I think there is genuine willingness to move forward on this. I have set out my concerns that the minimum pricing level that the coalition has announced is not high enough, but if we are going to do this, let us get on and do it. I do not quite understand why there is delay, because the coalition has made its announcement and stated its position. I listened to the Minister’s comments about the time frame, but “in due course” can mean quite a few things in the House of Commons, so I will certainly be looking to see what progress is made, because it is time to get on with this.
It is disappointing that the Bill does not address the issues of pre-loading and the concerns that people are expressing up and down the land about the low cost of alcohol in supermarkets. I am keen to work positively with the coalition on this important issue and I strongly hope that there will be real progress in the coming months. I hope also that the health organisations that have walked away from the responsibility deal negotiations can be brought back in and reassured that there is genuine commitment on the part of the coalition to deal with health and alcohol issues. On the basis of what the Minister has said, I beg to ask leave to withdraw the motion.
Clause, by leave, withdrawn.
I beg to move amendment 22, page 87, line 26, leave out ‘authorisations’ and insert
‘premises licences and club premises certificates’.
With this it will be convenient to discuss Government amendments 23 to 30.
These are minor amendments to the late-night levy clauses in part 2 that clarify the effect of the provisions. To avoid possible misinterpretation, the Bill should use consistent terminology. Amendments 22 and 30 intend to achieve that end. Amendments 26 and 27 amend clause 133 merely by making it clear that if licensing authorities amend the categories of premises in their area that benefit from an exemption or reduction in their levy liability for a subsequent year there may already be none as well as one or more premises in those categories for the existing year.
Amendments 28 and 29 remove a drafting error in clause 133 and clarify the basis on which licensing authorities must ensure that any exemption or reduction categories that apply in their areas in a subsequent year accord with the categories prescribed in regulations. Amendments 23, 24 and 25 ensure that local authorities do not suffer a burden in introducing the late-night levy. They do not change the intention underlying the levy, nor do they change the burden on business.
The Bill as it stands allows licensing authorities to deduct the costs that they incur in the “collection, administration or enforcement” of the levy from the levy revenue. However, it has become clear that that phraseology, including the reference to administration, does not include the specific costs of introducing the levy. A licensing authority will need to carry out a number of administrative procedures before collecting the levy. First, it will hold a consultation on the way in which it wishes to operate the levy. That is an important process, and it ensures that the community’s opinions are heard. Following a decision to adopt the levy, the licensing authority will announce its intentions. Some businesses will decide that they do not open long enough in the levy period to make it worth while to pay it. To avoid the levy, those businesses will be able to make a free change to their licence. However, that means that licensing authorities must process the licence variations without recovering costs. Amendments 22, 23, 24 and 25 will ensure that licensing authorities can deduct the costs of those introductory processes from the levy revenue.
I do not want the levy to become a burden on licensing authorities. It has always been my intention that it should be self-funding while raising a significant amount of money for the police and other organs of local government. The amendments ensure that that is the case. Let me reiterate that the amendments will have no further impact on business. We have published indicative levy charges, which will remain the same. To make some simple clarifications and to ensure licensing authorities bear no burden as a result of the late-night levy, I urge the House to accept the amendments.
May I ask the Minister to clarify a few points? There will be a number of changes to the licensing provisions in the months and years to come, and I should be grateful if he set out his intentions on whether additional support or resources will be provided for local authorities when those new schemes are adopted. For instance, will additional financial resources be made available to assist local authorities with the late-night levy and early morning restriction orders in ensuring that information is provided to businesses? Clear guidance should be issued about what that will mean for businesses.
We have held a number of short debates about the late-night levy and the possibility that operating just one night a year can make a business liable for the levy. Businesses are often busy just trying to operate on a daily basis without having to get to grips with the minutiae of new legislation. Will the Minister set out what the Home Office intends to do to ensure that businesses are fully acquainted with the requirements of the new legislation and exactly what it will mean for them? Costs can be deducted from the late-night levy if someone has participated in the consultation on whether to have a late-night levy. Will that all be set out in a clear and transparent way so that businesses understand exactly why they will have to pay a certain amount? Setting things out in a clear format that is easy to understand will be the key to ensuring that the new licensing provisions operate well. If the other amendments in the group are intended just to tidy up the legislation and make it read more smoothly, my only question is on how the operation of getting information out to businesses would be provided.
I thank the hon. Lady for her comments. Her point on guidance is relevant. As I have indicated, as part of the implementation of the late-night levy it is intended that guidance would be drawn up on the process and that it would deal with some of the detail in regulations on the issues I have already highlighted. [Interruption.] I have only started and already the hon. Lady wants me to give way.
Will the guidance provided on that basis be statutory guidance, or guidance that can be ignored?
I am not sure that guidance can be ignored. It is intended to be of assistance in the implementation of the proposals on the late-night levy. The key element that the hon. Lady has highlighted relates to costs and resourcing. We are bringing forward some of these changes to ensure that licensing authorities can take account of the set-up costs relating to the late-night levy, which might otherwise be an issue. We think that it is important to introduce the amendment to ensure that, as with the different examples I have already given, there are no unintended consequences and that, if we are seeking to ensure that costs are properly attributed, that is built into the structure of the late-night levy.
The hon. Lady made a general point on transparency and how costs are to be drawn up. That is a fair point which I take on board, and we will work through that in detail on implementation so that businesses are clear about the calculation and which costs will be brought into effect for the deduction. It is worth saying, however, that it is a deduction and the levy itself is a fixed figure; we are talking simply about what is being deducted and the 70:30 split, with which she will be familiar. In some ways that relates to our previous debate on the general licensing fees and the costs that can be attributed for the maintenance of the Licensing Act. Some of her comments may be addressed in that direction as well.
Clearly, we want to ensure that the late-night levy is a success. We want local authorities to come forward with it. We believe that allowing the set-up costs is an important part of ensuring that the levy operates well and does not have unintended consequences. That will ensure—this reflects some of the comments in the preceding debate—that the levy will be used by local authorities, will be useful and will contribute to managing the late-night economy and dealing with some of the challenges we have heard about this afternoon. That is why we believe that the Bill and its provisions on the late-night levy mark an important step forward in assisting local communities and local authorities to manage the problems of alcohol and the late-night economy. I therefore hope that hon. Members will be minded to support the amendment.
Amendment 22 agreed to.
Clause 130
Net amount of levy payments
Amendments made: 23, page 89, line 20, leave out from ‘of’ to ‘may’ in line 22 and insert ‘relevant expenses which’.
Amendment 24, page 89, line 23, leave out third ‘the’ and insert ‘any’.
Amendment 25, page 89, line 28, at end insert—
‘(2A) In subsection (2)(a), “relevant expenses” means expenses incurred by a licensing authority in the administration of the late night levy requirement including, in particular, such expenses incurred in, in connection with or in consequence of—
(a) any decision mentioned in section 134(1);
(b) collection of payments of the late night levy;
(c) enforcement of the late night levy requirement.
(2B) Expenses incurred by a licensing authority which fall within subsection (2A)(a) include, in particular, expenses which it incurs in connection with any application made by virtue of section 134(2)(c).’.—(James Brokenshire.)
Clause 133
Amendment of late night levy requirement
Amendments made: 26, page 90, line 38, leave out ‘different’ and insert ‘any’.
Amendment 27, page 90, line 39, after ‘apply’, insert
‘in addition to any that currently apply, or to cease to apply,’.
Amendment 28, page 91, line 7, leave out 'by virtue of section 132(1)(b) or (iii)'
and insert
‘as the result of a relevant decision’.
Amendment 29, page 91, line 11, at end insert—
‘( ) In subsection (4)(b), “relevant decision” means a decision under—
(a) section 132(1)(b)(ii) or (iii), or
(b) subsection (1)(c) of this section.’.—(James Brokenshire.)
Clause 135
Permitted exemption and reduction categories
Amendment made: 30, page 92, line 41, leave out from ‘all’ to ‘that’ in line 42 and insert
‘holders of relevant late night authorisations in’.—(James Brokenshire.)
Clause 140
Demonstrations in vicinity of Parliament: repeal of SOCPA 2005 provisions
I beg to move amendment 162, page 94, line 27, leave out subsection (2).
This useful debate has given the House the opportunity to discuss an important issue. We made it clear when we introduced our proposals that it was right and proper that the House should have a proper say on the Bill’s provisions relating to Parliament square, and I believe that the House has had that say this afternoon.
There are clearly issues of agreement on both sides of the House. The right to protest is a cherished and important right that the Government seek to uphold, and it is a positive step forward if the Opposition Front-Bench team accept that fact and accept that the draconian approach that in many ways had become their hallmark was a wrong turn. I certainly welcome therefore the comments from the hon. Member for Gedling (Vernon Coaker) about scrapping SOCPA, which had a very chilling effect on the right to protest. That is why one of the fundamental effects of the Bill will be to scrap those provisions and to return to treating Parliament square the same, in many ways, as the rest of the country.
The question before us relates to the extent of the right to protest. I think that it has been accepted that it is not an exhaustive right or something that we can do to the nth degree, and that there are limits to the right to protest. In her evidence to the Bill Committee, Shami Chakrabati made that point very clearly. We are discussing the limits to and the extent of that right. We have to take a step back and say, “We have that right to protest, but what is the issue at hand?” The issue at hand is that the right to protest does not mean the right to permanent encampment. That is at the heart of what we are seeking to address and why the provisions in the Bill are structured in the way they are.
I hear those who say that it does not make any difference, that it is not a problem and that we should not be seeking to introduce changes in respect of Parliament square and the surrounding area that contrast with the rest of the country. However, I would make the point that the square has been fenced off for six months to allow remedial and repair work, and has therefore been unavailable, which has clearly affected not just people’s access to it, but the right to protest there. That is why it is important that we examine the issue, and why the proposals in the Bill reflect that approach.
Is it not true that the vast majority of the public would think that any encampment outside Parliament should go? I have heard a lot of speeches this afternoon about why it should stay, but the vast majority of our public would say, “Get rid of it. It shouldn’t be there.”
The act of protest does not by default give individuals the right to erect permanent encampments in Parliament square or on the pavements outside it. That is the essence of what we are proposing. We want to protect the right to protest, but that does not mean that we endorse the permanent encampment that has arisen and that, in essence, has deprived others of access to that space.
I heard the points that the hon. Member for Gedling made about practicability and workability—in some ways he summarised the reasonable discussions and detailed debate that we had in Committee. However, we have had discussions with the Metropolitan police—he will be aware of the exchange of correspondence—and I have spoken to Assistant Commissioner Lynne Owens in recent days, in advance of this afternoon’s debate. One of the challenges has been about differences of ownership, between the Greater London authority and Westminster city council, and ensuring that the proper protocols are agreed. However, with those protocols in place, our strong belief is that our proposals are workable; otherwise we would not be bringing them before the House.
I hear the debate about the language and the drafting. The Government recognise that any new law will be robustly tested by determined individuals—indeed, that would be the case for any proposals. We have therefore sought to capture attempts to circumvent the legislation that have been raised with us by the police. However, that necessarily carries the potential of capturing others, which is why we have allowed some discretion, as it is important that the provisions should be used proportionately.
Let me turn to the amendments tabled by the hon. Member for Hayes and Harlington (John McDonnell). I suppose that the debate comes down to the context and this issue of a permanent encampment, which we think is so significant. As we have heard, Parliament square is a world heritage site, surrounded by important historic buildings such as Westminster abbey. Given its location opposite the Houses of Parliament and the limited space, we are seeking to balance the competing and legitimate needs of members of the public who come to the area as visitors or protesters, with those of Members of Parliament and others who need to be able to carry out their daily work and enjoy the space.
The Government are clear that no one particular person or group of persons should take over the area to the detriment of others. Encampments remaining on Parliament square in defiance of the byelaws have caused significant damage to the garden and the space, which has underlined the unworkability of the Serious Organised Crime and Police Act thus far. The encampments have required considerable remedial work by the Greater London authority, during which time nobody has been able to enjoy the unique space. In relation to the democracy village occupation, the courts found that Parliament square gardens were not a suitable area for any sort of encampment. More recently, the High Court has said:
“Parliament Square Gardens is not a suitable location for prolonged camping; such camping is incompatible with the function, lawful use and character”
of Parliament square gardens, and
“it is also inconsistent with the proper management of the area as a whole”.
The Government and, I think, most Members of this House and the other place would agree with the court’s findings.
Encampments prevent the public’s enjoyment of this unique location and deter people from visiting the area. They even deter and prevent others from protesting, although I have heard the points that have been made in that regard. Let me stress again that we are not seeking to prevent people from protesting on or around Parliament square. We are not seeking to put time limits on protests or to regulate them in that way.
The package of measures in part 3 is aimed at preventing encampments, at dealing with disruptive activity by anyone on Parliament square and at giving the police and authorised officers of the Greater London authority and Westminster city council powers to ensure that Parliament square can be enjoyed by all. So, for example, anyone who pitches a tent in the controlled area defined in the Bill may be directed to take it down. If they fail to comply with the direction, the tent may be seized and they may be charged with an offence.
I welcome the constructive debate that we had in Committee, during which Opposition Members recognised the problem with the current SOCPA provisions and acknowledged the need for new measures. We have heard this afternoon, however, that some of them do not agree with our proposals and continue to have issues. We have introduced a co-ordinated package of provisions that will link into byelaws to ensure that the issues of displacement that have been identified are addressed.
We have listened and reflected on what has been said, which is why the Government have tabled amendments 57 and 58, which deal with authorised officers using powers of force. We continue to believe that the right of authorised officers properly to manage and support the activities in Parliament square, and people’s enjoyment of the square, requires them to have the ability to give directions and to seize items, but not to use reasonable force, because that is the role of the police. That is why we have tabled amendments 57 and 58. They reflect the point that has been highlighted by my hon. Friend the Member for Cambridge (Dr Huppert) and others inside and outside the House. We believe that the package in the Bill strikes a proportionate balance.
We will continue our discussions with the police, with Westminster city council and with the Greater London authority on the management of Parliament square, and on any moves that might result in more co-ordinated ownership and management of the site. Fundamentally, we believe in the right to protest, but that right does not mean permanent encampments. The measures before the House are proportionate and appropriate, because they will enable those who want to protest to have their say outside the House while ensuring that that does not result in the permanent despoiling of Parliament square.
I wish to press amendments 162 and 185 to a vote. The debate has been helpful in that it has reassured me that we support the right to protest. I look forward to Members joining me in protests in the coming months. There is a disagreement over the difference between protest and permanent protest. There is a tradition of effective permanent protest in this country, and that is the tradition that we are seeking to support.
There is a basic human right, enacted in legislation in this Parliament, to assembly, association and speech. Members must have due cause if they want to tamper with that right in any way. If there is an argument that the encampment causes noise, nuisance or any form of obstruction, legislation already exists to deal with that. Indeed, the Minister has just demonstrated that the court is now dealing with the matter in relation to the grassed area. There is therefore no need for the House to waste its time in introducing specific legislation for a small encampment of principled people who are reminding us of the consequences of our actions in this House.
Let me advise Members and warn that we will come back again on this issue. What we are doing here is counter-productive: it will cause further conflict; it will put police officers in an impossible position and council officers in an even worse position. The encampment will move elsewhere and the Government will then have to come back to the matter, as the last Government tried to do with their Civil Contingencies Bill to ban protest elsewhere and outside other public buildings. I believe that this is an error.
I wish the coalition parties had adhered to their promise before the election to—