Fisheries Bill [HL]

Lord Berkeley Excerpts

Committee stage & Committee: 4th sitting (Hansard) & Committee: 4th sitting (Hansard): House of Lords
Wednesday 11th March 2020 Lords Chamber

[Lord Grantchester (Lab)]

I rise to speak to Amendment 118 in my name, which is a probing amendment and seeks to upgrade the regulations on this matter from negative to affirmative. While the Bill’s negative procedure has not been commented on by your Lordships’ Delegated Powers Committee or Secondary Legislation Scrutiny Committee, and may seem technical, it involves money.

Under Clause 34(5), the MMO has considerable discretion. The initial charging structure becomes important as the UK sets up the fisheries framework outside the CFP. Some questions arise, to which it will be important to have answers. Will the MMO undertake this charging function on the basis of full cost recovery? That lies behind the amendment moved by the noble Lord, Lord Teverson. Schedule 7 replicates that clause in relation to Scotland on page 74, Wales on page 75 and Northern Ireland on page 76. Is it expected that all the Administrations will set up identical charging structures to avoid any competitive imbalances?

I acknowledge that the MMO is an existing body with an excellent track record; its relationships with stakeholders are usually very positive and productive. However, if this legislation established a new public body, your Lordships’ House and the other place would have a strong interest in the exercise of this power and the procedure attached to it. When the Minister replies, I would be grateful if he could give as much detail as possible on the level of charges, the frequency of any changes envisaged and the relevant percentage of cost recovery that any sector of the industry will be required to cover.

This last point is of particular interest, as I have noted, and covered by Amendment 119 in the names of the noble Lord, Lord Teverson, and the noble Baroness, Lady Bakewell. I am curious about the noble Lord’s use of “appropriate” in proposed new paragraph (b) in relation to his subsequent use of “must” in proposed new paragraph (c), in that there may be some implicit contradictions in the amendment. I ask the noble Lord: does the maximising of charges on the 10 metre-plus fleet mean that it could pay more pro rata and therefore be seen, in some way, as partly subsiding the under 10-metre fleet? This amendment also seems to mandate the MMO to make full cost recovery across all its responsibilities. I await the Minister’s reply.

[Lord Berkeley (Lab)]

My Lords, I support the amendments in the name of the noble Lord, Lord Teverson, relating to the charging, or not, of the MMO’s services. He is absolutely right that in most other industries the regulators are funded by the industry.

I had cause to write to the MMO because a neighbour of mine in Cornwall had a problem with it over a small planning issue. I do not want to get into the rights and wrongs of it except to say that the general reaction of the neighbour and others was that the service was incredibly slow. In fact, it took a whole year for them to get an answer on whether they needed to apply for a licence. I suspect that this had a lot to do with the fact that the MMO was probably subject to government financial cuts and was not allowed enough people. I am sure that it is very good at what it does, technically and commercially, but it did not have enough people to answer on this small issue.

Looking at all the regulated industries mentioned by the noble Lord, Lord Teverson, some of which I know about and some of which I do not, whatever one thinks of their decisions, they usually operate in a timely and professional manner. If they do not, we can still raise issues in your Lordships’ House. At least it is not an issue that they do not have enough money to employ the right people. I would be very interested to hear from the Minister why this sector gets all the regulation for nothing while in virtually every other sector, the people who are regulated have to pay.

[Lord Teverson]

Perhaps I may come back to the noble Lord, Lord Grantchester, whose point is well made. I have probably not written the amendment exactly as it should be and he is right to pull me up on it. What I am trying to say is that that part of the amendment seeks to recognise that there has to be some sort of relationship between the charging regime and the ability of a particular unit in the fisheries industry to make money. It is clear that there is a deep division in the sector between larger vessels, which on the whole are pretty profitable to very profitable, and the under 10-metre sector, which struggles rather more. I would not want to see punitive charges being put on that sector because that would not be the way to proceed.