Safety of Electrical Appliances

Debate between Jim Shannon and Jenny Willott

Monday 24th March 2014 Commons Chamber

[Jim Shannon]

Will the Minister say something about the role of the electrical contractors who supply the appliances and have to conform to the law?

[Jenny Willott]

In the case of appliances that are manufactured in the UK, the responsibility lies with either the manufacturer or the trader. In the case of appliances that are imported, the importer is liable for ensuring that they are in compliance with British law. All products that are sold in the UK must conform to British safety regulations. Traders are then responsible for ensuring that the goods that they sell to consumers are appropriate and safe, and comply with those regulations. It is clear that consumers will be protected by a number of different pieces of legislation so that they cannot fall into any gaps.

We are working with the Association of Manufacturers of Domestic Electrical Appliances on an industry initiative to encourage consumers to register their appliances, because the number of people who respond to recalls is extremely low. If more people register their appliances and ensure that the details are up to date, the recalls will be more effective. The leading appliance manufacturers—there is a great deal of money behind many of the big manufacturers—are trying to encourage product registration, and have committed themselves to using the power of their marketing programmes to show consumers why it is worth registering their domestic appliances.

I hope that that will debunk some of the myths identified by the hon. Member for Strangford. Many people think that they will end up on some junk mail list and be sent a load of stuff that they do not want after handing over their contact details, and do not complete the warranty forms because they do not understand why the information needs to be held. It was quite illuminating during the Committee stage of the Consumer Rights Bill to hear a number of Members say “I had no idea that that was why we were asked to fill in those cards.” If we can make people understand why it is important to provide the information, more of them will do so, and recalls will become much more effective. We are working with the manufacturers and also with trading standards and the fire service, and with consumer groups, too, because they have a very important role to play in helping consumers understand why this is important and worth doing.

This is a very important area. Although 21 deaths is quite a low number, every one of them is a tragedy and it is still far too many. As the hon. Member for Batley and Spen highlighted, as well as those tragic deaths there are also injuries and significant damage to property. We want to try to reduce that as much as possible.

I believe that the legislative framework is right, and we are working very closely with enforcers, consumer groups, the fire service, manufacturers and retailers to try to ensure we share best practice, tighten up enforcement to make sure that is effective, and in the long run make corrective action, including recalls, more effective, so that we can reduce the number of tragedies and consumers are properly protected under the law.

Question put and agreed to.

Football Clubs (Insolvency)

Debate between Jim Shannon and Jenny Willott

Tuesday 18th March 2014 Westminster Hall

[Jenny Willott]

The hon. Gentleman makes an interesting point, but I have to confess that I do not know the answer. If it is okay with him, I will write to him after the debate to clarify that point.

When a football club is sold, which takes it out of insolvency, the purchaser generally funds the payment of the football creditors, or other funds that do not belong to the club are used. A different pot of money is therefore paying for the football creditors. That is one of the reasons why the football creditors rule does not breach existing insolvency law. Were the funds to come from the same pot, it would breach the law, because it would be treating different unsecured creditors differently. Nevertheless, today and on a number of occasions in the past, it has been suggested that the football creditors rule should be abolished through legislation. The hon. Member for Folkestone and Hythe has made that point today.

The number of Football League club insolvencies has declined significantly in recent seasons. In the 2003-04 season alone, six clubs became insolvent. Five years ago, there were around three or four failures per season. Happily, however, there have been no football insolvencies at all so far this season and only two in the season before that, and in one of those there were no football creditors, so the situation seems to be improving slightly. Insolvency is not the cause of a football business’s problems; it is a symptom arising from an underlying lack of financial stability.

The hon. Member for Hartlepool (Mr Wright) and other hon. Members mentioned financial fair play; the football authorities have made significant moves in recent years to put clubs on a stronger financial footing. They have introduced an early warning system for tax debts, salary caps and an agreement on financial fair play rules, which will ensure that clubs do not spend more than they earn. Those measures are possibly already having a beneficial impact in increasing financial stability, which will lead to a decrease in the number of insolvencies.

[Jim Shannon]

I intervened earlier to ask hon. Members what talks the Minister has had with other Administrations, because the Scottish Football Association is separate, and sport is devolved to the Northern Ireland Assembly and the Welsh Assembly. I am not trying to be nasty, but I want details on any discussions that the Minister has had with the devolved Administrations on these problems, which are very apparent in other regions of the United Kingdom of Great Britain and Northern Ireland.