Deregulation Bill

Debate between John McDonnell and Oliver Letwin

Monday 3rd February 2014 Commons Chamber

[John McDonnell (Hayes and Harlington) (Lab)]

And so we move on from “Cash in the Attic”. I apologise to you, Mr Deputy Speaker, as although I was present for the beginning of the Minister’s introductory statement, I had to leave the Chamber to attend a sitting of a statutory instrument Committee, which went on for a fair period of time. I was going to speak about the point raised by the National Union of Journalists about the security of sources, but I believe it has been said that that will be reviewed by the Government, so it is clear that I am more effective out of the Chamber than I am in it. I wholeheartedly support my hon. Friend the Member for Brighton, Pavilion (Caroline Lucas) in her expressions of concern about the overall nature of the Bill and how deregulation in a range of areas will impact on key policies to which the Government have signed up, but from which they now seem to be resiling, especially regarding environmental protection and tackling climate change.

Let me run through the clauses that will require further clarification as the Bill makes progress and express some of my concerns. Clause 23 removes restrictions on the provision of passenger rail services by amending the Transport Act 1968, which was mentioned by the hon. Member for Stroud (Neil Carmichael), and permits the passenger transport executives, or PTEs, to carry rail passengers. That is a major step forward in devolving regional rail franchises, but there is a lack of clarity about the consequences for PTEs. Will they remain as local economic regulators or will they be equipped with sufficient funds to provide rail passenger services? It would be useful to receive clarity from the Department for Transport about how it views the future role of PTEs, as the clause calls that role into question.

My hon. Friend the Member for Stoke-on-Trent North (Joan Walley) talked about the removal under clause 26 of the duty to order a rehearing of a marine accident investigation. The Merchant Shipping Act 1995 placed a duty on the Secretary of State to reopen marine accident investigations in the light of new evidence, but that duty will be abolished. My hon. Friend spoke about the MV Derbyshire tragedy in 1980, which led to a campaign being waged by many people, including families and trade unions across the piece—the National Union of Seamen, as it was at the time, Nautilus and the International Transport Workers Federation. It was a significant victory when then Secretary of State exercised his power to enable an investigation of that case to take place. It would therefore be a real concern if that power were removed from the Secretary of State, because the function is legitimate—

[Mr Letwin]

Just to correct the hon. Gentleman, nobody is removing a power; what is being removed is a duty. The fact that the Secretary of State has the power to order such inquiries is absolutely fine; the problem is that he has a duty to do so even in a case when he and everybody else knows perfectly well that there is absolutely nothing we can do as a result of the new evidence. The simple existence of new evidence will force an inquiry that costs millions of pounds, and that is all that we are trying to end.

[John McDonnell]

I welcome that clarification, but it would be helpful and reassuring if there were guidance about how the power will be exercised in the future. There is a concern that removing the duty will mean that the power will not necessarily be exercised without our again having to mobilise long-winded campaigns.

[Mr Letwin]

I will certainly talk to my right hon. Friend the Secretary of State for Transport, and we will find some means of ensuring that how the power will be used in the future is clear.

[John McDonnell]

I find that extremely helpful. I chair the RMT parliamentary group, and it would be really useful in discussions with the Department for Transport about this matter if there was full consultation with the unions concerned—the National Union of Rail, Maritime and Transport Workers, and Nautilus International—as well as the UK Chamber of Shipping and others, and especially some of those groups that have campaigned on investigations over the years. It is important that we assure people that if there is an accident—we all hope that there is not—there will be a proper investigation.

Clause 59 deals with ambulatory references to international shipping instruments. It amends the Merchant Shipping Act 1995 to enable the Government to update international shipping conventions without having to introduce secondary legislation. The Joint Committee expressed concern that that will undermine and bypass full parliamentary scrutiny. For example, there is concern in the shipping industry—it has been expressed by the UK Chamber of Shipping, as well as the Nautilus UK and RMT unions—regarding the international convention for the prevention of pollution from ships, under which changes to the sulphur emissions regime in Europe are due to come into effect in January 2015, with progressive measures continuing to the end of the decade. It would be unfortunate if something that had a major impact on the shipping industry did not receive full parliamentary scrutiny, as might be the case under the new procedures.

I share concerns that have been expressed about the provisions on the exercise of regulatory functions, and I say that on behalf of many people who work in the transport sector. We are told that consultations will take place over the coming months on which bodies will be covered, particularly regarding the Office of Rail Regulation, which was not included in the original list of bodies. Bodies that are included in relation to transport include the Office of Rail Regulation, the Maritime and Coastguard Agency and traffic commissioners. There was a period in which market forces and economic concerns overrode safety concerns as a result of the early privatisation regimes, but we would not want to go back to the days when those economic concerns undermined safety, especially in industries such as rail and shipping. As the consultation is rolled out, I would welcome the Government ensuring that there is full consultation with all relevant bodies, particularly the unions, with experience of the period when safety was undermined, especially in the rail sector, so that that can inform the introduction of this aspect of the Bill. I hope that the Government will think again about the drafting of the proposal, because there are serious concerns about the conflicts that it will bring about between considerations of safety and of economic costs.

The Government should approach a number of the Bill’s proposals on education with trepidation, especially the devolution of school dates to individual schools. There is an understanding that parents want some certainty about school hours and holidays. With the devolution of such measures, near chaos could break out as individual schools determine their own dates and holidays. I caution the Government that parents may become anxious as the wider community becomes aware of these measures.

There are concerns—certainly among teachers—about schedule 14, which sets out proposals to reduce burdens on schools, including the removal of the obligation on employers of teachers in English maintained schools to have regard to statutory guidance relating to staffing matters such as the appointment, suspension, discipline and dismissal of teachers. There is concern that that may lead to the removal of the obligation on the Secretary of State to provide guidance on staffing matters, which might ultimately be a threat to school staffing regulations. If that is the case, schools will be concerned that they will have to take individual legal advice on staffing matters rather than adhering to what is relatively clear staff guidance and regulations from central Government. The Government must look at the consequences of such a broad-brush legislative proposal.

I am anxious about the removal of home-school agreements, which are good and are working on the ground. They were welcomed by the educational establishment and have general support, so I do not understand why the Government have provided in schedule 14 to remove the requirement on governing bodies to adopt such an a agreement.

As others have said, we all welcome the ability to remove unnecessary or archaic regulations, but the Bill is littered with proposals to remove regulations that are relevant, and their removal could have consequences beyond those calculated by the Government, including an impact on safety, which is the major concern that I have tried to express this evening.