Trade Union (Deduction of Union Subscriptions from Wages in the Public Sector) Regulations 2023

Debate between Lord Davies of Brixton and Lord Wallace of Saltaire
Monday 18th December 2023

(1 year ago)

Grand Committee
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Lord Wallace of Saltaire Portrait Lord Wallace of Saltaire (LD)
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My Lords, I have seen many Chekhov plays; this is not half as enjoyable an “Enterprise”.

This SI comes here under an Act of 1992, as amended in 2016. The House of Commons briefing on it reminds me that the Conservatives tried it on in 2014 but were blocked by the Liberal Democrats in the coalition. So they brought it back later and it is to come into force in May, a maximum of six months before the next election in the dying days of this dying Government.

The instrument is extraordinary in the sense that it goes through a list of more than 200 bodies, some of which are in any sense autonomous public bodies. I used to work for several universities and I note that they are caught up in the scheme—but, then, so are the Crofting Commission, the Highlands and Islands Enterprise, the Gaelic Media Service, Historic Environment Scotland and even the Scottish Road Works Commissioner. I assume that this must all be compatible with the conventions of the devolution settlement. I note also that, in terms of local government in England, Together for Children—it is based in Sunderland—Slough Children First and the Sandwell Children’s Trust are brought under this umbrella as well. The total amount of public money that this careful enumeration of all these subordinate bodies will save is estimated to be £1.5 million a year.

As I read this SI over the weekend, I thought of the principles that are at stake here: limited government; government that should be as local as possible in order to be as close to the people as possible; and that government should have respect for the importance of autonomous institutions in civil society. These are principles that Liberals and Conservatives used to share, when Harold Macmillan was Prime Minister and Conservatives still read Edmund Burke rather than Ayn Rand and Friedrich von Hayek. This statutory instrument is illiberal and unconservative. Such a degree of detailed centralisation and interference in civil society used to be called socialism. Edmund Burke used to talk about the importance of local communities, little platoons and self-government. This instrument is much more in the style of authoritarian populism, like those right-wing Republicans in the United States who believe that the free market is all that matters rather than a free society.

One of the things that horrified me most as I read the Explanatory Memorandum and the impact assessment were the 40 or 50 references to the TaxPayers’ Alliance as a prime source of evidence for the arguments made. I am sure that the Minister is familiar with the TaxPayers’ Alliance. It was founded by Matthew Elliott after a period in Washington attached to Americans for Tax Reform; that was founded by Grover Norquist, who once famously said:

“I don’t want to abolish government. I simply want to reduce it to the size where I can drag it into the bathroom and drown it in the bathtub”—


tax cuts at all costs and to hell with the public sector.

The undue influence of American Republicans on the Conservative Party, the flow of funds to right-wing think tanks, in particular those based in 55 Tufton Street such as the TaxPayers’ Alliance, and the links with hard-right think tanks here are part of what seems to many of us to be going wrong with the Conservative Party. I rather suspect that the Minister, whom I offer the compliment of thinking of as a one-nation Conservative, probably quietly shares a view.

The impact assessment does say that the savings to His Majesty’s Government will be at £1.5 million a year, and it estimates the cost to the trade unions at about £13 million a year, thus enforcing significant increases in membership fees. It also says:

“Costs to public sector employers may include some loss of goodwill with employees and trade unions”.


Well, that is much less important, is it not? It seems to me that that matters. After all, the Government’s relationship with civil servants and public sector workers has deteriorated steadily over recent years. We have seen that in the recent strikes and in the loss of a number of first-class civil servants; I know that some of those with whom I most enjoyed working when I was in Government have now left or taken leave. That raises problems about the quality of how we are governed.

The impact assessment also says:

“The policy will engender taxpayer faith that the Government is spending their money responsibly”.


Well, taxpayers’ faith in the Government spending their money responsibly is currently having to cope with the Government’s failures to deal with the Covid effort and to enquire into that, and with the revelation yesterday that the noble Baroness, Lady Mone, admits to having made £60 million in profit from Covid contracts, rather larger than the £1.5 million we have spent here. I suggest this will not engender much additional taxpayer faith.

The Minister herself said that the Government are committed to the transparency of public expenditure. I hope that is true, and that we will see, as we go further into the question of how much government waste there was on Covid contracts, that the Government are actually committed to transparency rather than to a continuing cover-up.

The Minister will note that there have been changes in the nature of trade unions over the last 40 years. There are fewer manual workers and more professionals—public service professionals above all. The majority of trade union members now have degrees. They are civil servants, doctors, nurses, researchers and teachers. They used to be part of the core vote of the Conservative Party, and I suggest to the Minister that they are an important part of that vote, which the Conservatives have lost and will not regain unless they alter their attitude to the public sector.

The bias against public service and the public sector as such, which we have seen on the right wing of the Conservative Party, is one of the most unattractive dimensions of this dying Government, holding down their salaries and wages while allowing private sector pay to soar. Ministerial treatment of civil servants as if they were servants, and the well-evidenced examples of bullying of civil servants by Ministers, have been a problem in which civil servants need unions to defend them and look after their interests. The public sector does need unions to protect them and good civil servants are vital to the quality of British government.

I find very little to like in this SI; if Labour had wished to move a regret Motion, the Liberal Democrats would certainly have supported it. The only good thing to be said for it is that it will take effect only in the last months of this Government, and I suspect that any Government that come in afterwards will quietly stop its implementation.

Lord Davies of Brixton Portrait Lord Davies of Brixton (Lab)
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I just ask the Minister: are the Government still attached to the role that the Conservative Party has traditionally seen for trade unions in maintaining social harmony? Do they see trade unions as an essential component of a harmonious society, by providing a platform for workers to express their concerns and negotiate with employers, thereby contributing to social cohesion and stability?

Procurement Bill [HL]

Debate between Lord Davies of Brixton and Lord Wallace of Saltaire
Lord Davies of Brixton Portrait Lord Davies of Brixton (Lab)
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My Lords, I want to make a point about proportionality. It arises under the amendment in the name of the noble Lord, Lord Aberdare, and runs through much of the Bill. In a sense, I am asking a general question but hanging it on the hook of Amendment 120. It is a point of some concern to small organisations; we are talking here about small charities and local voluntary organisations. In much of the debate, people have referred to businesses and enterprises, but this will also apply to local voluntary organisations and charities, which clearly do not have the resources or staffing to deal with the scale in the way that an organisation such as Oxfam, for example, could. They have their local job to do; to a certain extent, spending a lot of time drawing up a bid to provide a service will be a diversion from their work. Proportionality must have a role in assessing a contract. I am intrigued and ask the Minister to give some indication of an overall perspective on proportionality as it affects local organisations, charities and voluntary organisations.

Lord Wallace of Saltaire Portrait Lord Wallace of Saltaire (LD)
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My Lords, with apologies for missing some of this debate, I will speak briefly to my Amendment 129, which relates to Clause 22 and the incompatibility of subsections (2) and (5). Clause 22(2) states:

“In setting award criteria, a contracting authority must be satisfied that they … are sufficiently clear, measurable and specific”.


Clause 22(5) then sets out those “clear, measurable and specific” elements. In paragraphs (a), (b) and (c), it is indeed specific: they deal with

“the qualifications, experience, ability, management or organisation of staff”

et cetera. However, over the page, Clause 22(5)(d) sounds as if the drafter was late, tired, exhausted and gave up. It refers to

“price, other costs or value for money in all the circumstances.”

I am sorry that the noble and learned Lord, Lord Hope, is not here to tell us how one might legally interpret “in all the circumstances”.

What we have drafted as an amendment is one that is as specific as paragraphs (a), (b) and (c) on what those circumstances might be. It sets out the standard phrases that have been used in the Government’s previous documents and draft statement. I merely suggest to the Minister and those behind him that paragraph (d) simply is not fit for purpose as it stands. The phrase “in all the circumstances” should not be in a Bill of this sort. It either needs to be cut or to be expanded to the sort of specificity that (a), (b) and (c) include. My amendment suggests what that might be.