Sanctions and Anti-Money Laundering Bill [Lords]

Julia Lopez Excerpts

2nd reading: House of Commons
Tuesday 20th February 2018 Commons Chamber

[Julia Lopez (Hornchurch and Upminster) (Con)]

I welcome the Bill, which will not only see us retain our ability to impose sanctions and some of the powers against crime that currently derive from our EU membership, but will pave the way for new methods of tackling terrorism financing and money laundering.

Concern has been expressed that once we are out of the EU, the UK will—out of economic desperation—somehow turn itself into the global laundry for money of dubious origin or market itself as the premier place to stow ill-gotten gains. Sound arguments for a simpler, more competitive UK tax and regulatory regime must never be undermined by the idea of a financial free-for-all, not least because, in an ever more transparent world, London’s reputation as the world’s top financial centre will increasingly depend on it setting and adhering to global standards on financial probity. Meanwhile, as criminals continually update their methods, we shall need our own law and law enforcers to be ever more adaptable and responsive. It is therefore a timely moment to create an independent UK sanctions and anti-money laundering regime that can respond adequately to the forensic, cutting-edge work being undertaken by the likes of the City of London police and the National Crime Agency.

Going forward, the UK might wish to harmonise its own sanctions regime with existing sanctions regimes in order to maximise the impact of those sanctions and reduce the opportunity for legal uncertainty for UK or UK-based firms operating under our new regime. In time, the UK could play a critical role in bridging the growing gap between the EU and US approaches to sanctions, and in pushing for ever greater clarity from both sides to try to mitigate the risk of non-compliance in the financial sector.

As we look ahead, we must be careful of the law of unintended consequences. We must not make operating in certain countries or particular types of business so risky that we either cut ourselves off from legitimate opportunities or push ever greater volumes of business into newer, less robustly regulated parts of the sector. In that regard, the Government might consider new measures to facilitate information sharing between banks and regulators on suspicious entities or individuals so that we can encourage a proportionate, risk-based approach to whether to take on such business.

I welcome the ability that the Bill gives us to update counter-terrorism financing legislation, as well as clause 44, which commits to a register of beneficial owners of overseas entities. Nobody wants to discourage investment into the UK, particularly if such investment can help to increase housing supply by getting large-scale developments off the ground. None the less, the current approach cannot go on.

For goodness knows how long, I have been writing a book about London in the 21st century, covering the flood of international money into London’s housing market, the use of overseas investment vehicles to pay for that property and the resentment stoked in Londoners when such investment vehicles have been used as mechanisms to shield the proceeds of crime or evade tax, with property left empty. I therefore appreciate the confirmation from my hon. Friend the Member for Weston-super-Mare (John Penrose) that the Government believe that foreign owners of British homes and offices should now be treated in the same way as owners of British companies. As he says:

“More than £122bn of property in England and Wales is owned by offshore firms. If they’re clean and reputable…they’ll have nothing to fear. But if murky shell companies have bought British property with plundered or laundered cash, we don’t want them here.”

The register should underline the UK’s commitment to being a strong, reputable trading nation that welcomes clean investment. Those values must surely shape our nation’s future as we chart our new path outside the EU.

Budget Resolutions

Julia Lopez Excerpts

Monday 27th November 2017 Commons Chamber

[Julia Lopez (Hornchurch and Upminster) (Con)]

I am grateful for the chance to contribute to a debate about the kind of country that we seek to build in the exciting new era before us. Too often, Britain’s decision to leave the EU has been mischaracterised as a backlash against modernity, and the reflex of a nation still mourning an imperial past. Now is the time to counter that miserable misperception with an unashamed vigour and a sense of urgency. We shall need both UK businesses and Government to engage with one another as never before, understanding that neither the private nor the public sector alone is a panacea in addressing the challenges and seizing the global opportunities ahead. The launch today of our industrial strategy marks a positive step down that road and builds on the foundations laid by this Budget.

Last week, the Chancellor recognised that strategic infrastructure will play a critical role in unlocking housing and economic development and connecting us to new opportunities overseas. The Government have already committed themselves to delivering the lower Thames crossing, which will not only open up new pockets of housing development, but link to state-of-the-art port and logistics facilities in nearby London Gateway and Tilbury Port, and to the expanding London City airport and continental crossings in Essex and Kent. I am working with the Department for International Trade and businesses in my constituency to take advantage of these local trade routes by exploiting UK Export Finance, improving exporters’ access to capital and enabling suppliers to fulfil new orders. Meanwhile, by lifting housing revenue account borrowing caps for councils in high demand areas, my local council in Havering will be able to take advantage of Crossrail’s arrival by maximising the benefits of its ambitious housing and estate regeneration scheme.

The new spirit of collaboration extends to the increasing interaction between our schools, universities and public services, opening commercial opportunities at home and abroad. I recently returned from Guangzhou in China, where I visited a high-tech women and children’s hospital that is working with academics at the University of Birmingham in genetic research and new medical technology. Opportunities abound to build even deeper economic ties with China and other international allies in this field through knowledge transfer partnerships and our new international research strategy. The NHS’s sheer buying power, the Government’s commitment in this Budget to higher research and development spending, a large and hyper-diverse patient group in cities such as London, and collaboration between universities and health services all create the ideal environment for international investors in the UK and the potential for more exportable expertise.

I welcome the Budget’s emphasis on productivity and technology, particularly the additional resource for lifelong learning, computing and the core subject of maths. However, a number of my constituents have expressed concern that the focus on core subjects such as maths is leading to the neglect of non-core subjects in our schools such as art, design and technology, and the humanities. This could risk skills shortages in our world-beating creative industries—sectors that have benefited enormously from targeted tax credits in recent years, and from which we derive enormous soft power.

Finally, a truly competitive global Britain must be one that nurtures our competitive advantage in services. For all the promise of the EU single market, provisions for services and digital technology are far from advanced. We have an enormous opportunity, should we secure a trade deal with the likes of the United States, to set out comprehensive agreements on services that could act as a template for global standards and regulation, particularly in new technologies.

I welcome this Budget and its complementary industrial strategy for their recognition that a truly global Britain will be one that invests in the kind of collaborative partnerships that transform the knowledge of our private and public sectors into growth and prosperity for our citizens.

Persecution of Christians: Role of UK Embassies

Julia Lopez Excerpts

Tuesday 4th July 2017 Westminster Hall

[Jim Shannon]

I thank the right hon. Lady for her intervention, and for her contribution to the meeting we had with the Minister. I think all of us at that meeting were focused on how we could do better.

I come to what I hope the Minister and his Department will be able to do. Will he ensure that displaced communities in Iraq and Syria are able to return home safely? I think that would be an aspiration of us all, but how will that happen? I am ever mindful that the Minister has just taken up his role, but knowing his history and past comments, I am sure he will be able to respond.

In the light of the above cases, we ask Her Majesty’s Government to ensure that UK embassies are resourced to have a human rights focus incorporated in the work of the embassy and, specifically, to report and monitor on freedom of religion or belief. That is one issue we spoke about last week. In his response, the Minister indicated a willingness to make that happen; for it to happen, we look to the Minister for those resources. We need the people in those places to have the necessary training. If done properly, that will allow UK embassies to assess the appropriate time to intervene on issues of persecution, before they escalate too much, and will also allow embassies to assess the appropriate means of raising cases.

The Foreign and Commonwealth Office toolkit on freedom of religion or belief has been sent to all FCO country desk officers and embassies to help in situations of persecution. The toolkit explains what to look out for in potential cases of persecution, providing a list of questions to check against. It provides guidelines on what can be done to ameliorate the situation. The toolkit outlines the methodology of response, but we ask the Government to ensure that embassies are asked what they are doing to use and implement the toolkit. It is all very well to have it in the armoury, but if it is not used or used incorrectly, we will fail to move forward in the way we should.

Embassies are due to take a lead in determining projects for the human rights and democracy fund. In his intervention, the hon. Member for Rhondda (Chris Bryant) referred to human rights. The embassies have the opportunity to address that now, and we need to be using the toolkit regularly where it is possible, necessary and applicable. The hon. Gentleman is right, and I support that wholeheartedly. Considerable consultation should be taken up with civil society and faith-based actors on this matter. That is a way forward.

Ensuring that FCO and DFID partners and projects do not discriminate based on religion or belief is crucial. We need the mindset in the FCO, DFID, Defence—in Government policy singularly and collectively—to ensure that discrimination based on religion or belief does not take place. That means ensuring that the UK is not supporting any programme that provides humanitarian or other support to one group of people based on their beliefs, while withdrawing it from another.

When I first came to this House in 2010, there was a statement about the floods in Pakistan. I was aware from my own church, the Baptist church, that some of the people who were Baptists in Pakistan were not receiving the humanitarian aid that they should have received. It was discussed in our church the Sunday just before that, and it was coincidental that there was a statement. It was clear to me then that some of the authorities in Pakistan were withholding humanitarian aid from Christians. I want to see that stopped, and I believe the Minister will be able to respond on that.

In a world where nearly 85% of people globally adhere to a religion, if the FCO and DFID are to meet their commitments to promote peaceful, inclusive societies—that has to be the goal—they will need to engage with religious actors and communities, and support initiatives that build respect and trust between people of different faiths. The APPG on freedom of religious belief is there for those with Christian beliefs, with other beliefs and for those with no beliefs. We need to make sure that that is our focus. It is exactly such initiatives, led by local civil society groups, that embassies need to ensure are financially supported and provided with space to operate. Such programmes are crucial for breaking down tension between different religious groups, promoting understanding between people and reducing the drive and desire to persecute Christians and people of other beliefs.

We hear about what happens to the Baha’is in Iran and Iraq, to the Shi’ites in Pakistan and to those of other religions in Indonesia. We hear about what happens in the middle east—my hon. Friend the Member for East Londonderry (Mr Campbell) and I were talking before the debate about how Egyptian Coptic Christians are treated—and to those in Algeria, Morocco and many other places across the world, such as south and central America. In all those places, our focus has to be on having a society in which people understand, appreciate and accept that others may have a religion that is different from the one they hold to, and that they must have access to education, healthcare and support for their children, and the opportunity have a business.

[Julia Dockerill (Hornchurch and Upminster) (Con)]

Does the hon. Gentleman agree that clampdowns on religious freedom often go hand in hand with an oppressive approach to free-thinking in general, and in particular to the press? I have worked a lot with the Bangladeshi community, and in Bangladesh there are a lot of problems with sectarianism, which goes hand in hand with a vicious clampdown on bloggers. Has work been done with advocates of a free press, in a similar way to what the hon. Gentleman is doing?

[Jim Shannon]

I wish the hon. Lady well in her new position, and I thank her for that intervention. We need to look at what the media’s role will be in the future. The media have a physical relationship with people and a critical job to do, and how it is done affects what happens in a country. We need a responsible, respected free press.

Engaging with human rights and faith-based organisations, religious actors and communities, and programmes of reconciliation will help to achieve the FCO and DFID’s goal of tackling the causes of insecurity, instability and conflict. There is a role for the media there.

I will conclude with this comment, because I am very conscious that all those who have made an effort to be here deserve to speak, and I look forward to hearing all their contributions. We cannot be responsible for the problems of the world, but evil triumphs when good people do nothing. I believe that, in this debate, we as Members of Parliament have a duty to convey our concerns directly to the Government and to ask for the help of the FCO, DFID and all the other Government bodies across the world. It is clear that we must use our influence to do something. We need to be the voice of the voiceless—those in the Public Gallery will understand that they are also a voice for the voiceless, as we are here. Our embassies and ambassadors have a role. I believe that, with respect to previous Ministers, this has not been fully utilised in the past, but it must be utilised now. How does the Minister think this will be done, and done soon? Every day that passes, there is a new case of persecution due to religious belief. Every case is one too many. Let us do today all that we can.