Economic Crime (Transparency and Enforcement) Bill

Lord Empey Excerpts

2nd reading
Wednesday 9th March 2022 Lords Chamber

[Lord Empey (UUP)]

My Lords, there have been many excellent speeches this evening from people who have pointed out deficiencies in the legislation. I sincerely hope that the Government, over the weekend and before Committee, will listen to what has been said and make running repairs as required. If ever there was a case of closing the stable door after the horse has bolted, this is it. We have known for years what people were up to in this city and this country, and we have turned a blind eye. Now, it has come back to haunt us. I must point out to colleagues that the warning signs have been there. We know that this legislation, however belated, is fundamentally the right way to go, and I support the principle of it. However, I sincerely hope that the valid points which have been made in some excellent speeches will be listened to and acted upon as we move towards the conclusion of the Bill’s legislative stages.

I was privileged to serve on your Lordships’ Select Committee that undertook post-legislative scrutiny of the Bribery Act, under the chairmanship of the noble and learned Lord, Lord Saville of Newdigate. We were looking at how the legislation had been operating over a five-year period. In some respects, we probably should have looked at it at a slightly later stage. However, one thing which stood out from our committee’s inquiry—and which is again before us tonight—is the total inadequacy of the enforcement resource involved and required. We were looking at bribery in the context of ordinary commercial activities. We were not looking at it in terms of something very specific, as we are tonight. At that stage, we had representatives come before the committee pointing out that they just did not have the resources. We all know that if you are going to carry out an inquiry—whether it involves the police, the National Crime Agency or another organisation—it takes time. But we are giving half a year for people to go and do what they do best. I do not believe for one minute that, if they ring up or knock on the door of some of the professional houses in this city, they will be turned away for advice or help. They will get the best that money can buy. I sincerely ask the Government to look very closely at that.

In her opening remarks, the Minister referred to legislative consent motions from the devolved jurisdictions. I understand that the timescale was such that this has not been possible. However, can the Minister assure the House that we will not be leaving any back doors open as this legislation proceeds, so that part of our country could be used in a roundabout way to thwart its purposes? I hope that we can have an assurance to that effect.

The Minister will also be wearing his other hat, as Energy Minister. The war has been possible because it has been funded by the sale of fossil fuels by Russia, which accounts for some 65% to 70% of its economy. Unfortunately and understandably, we had COP 26 and a general view in this country and around the world that we must move away from our dependency on fossil fuels. As a former Energy Minister, I fully understand and accept that. However, we have not advanced to the point where we can survive in this country without almost 100% fossil fuel back-up, because wind is not dependable in all circumstances and we have not sufficiently developed wave and tidal power. These are 10 to 15 years away.

I understand that, being a relatively small country geographically speaking, things like fracking and the development of resources on land and in our own North Sea are controversial. But the fact remains that next week, we are going to pump concrete into wells in the north-west of England, which means that it will no longer be possible to extract gas from them. At the same time, we are leaving ourselves and our European partners very dependent on gas. There have been some disastrous decisions, particularly in Germany regarding the development of its energy policies. I ask the Minister to address that issue, because although it is not quite within the remit of the Bill, it is fundamental. Where are we going to get our resources from? They are not going to appear out of nowhere.

I support the fundamental principle of the Bill, but please can we have some clarity—if not tonight then as we move through the remaining stages—on what plan is in place to ensure that the bodies being given a role under this legislation will have the resources to investigate and enforce? Those are roles that bodies such as Companies House do not have. Where are the people who will be doing this work going to come from? Who, on the Monday morning after the Bill is passed, is going to open the file and start an inquiry? Where are they? That is very much the message that we in the post-legislative scrutiny committee got from looking at the Bribery Act: that the resources are not there to match our ambition. I hope the Minister can reassure the House when he winds up.