Enterprise and Regulatory Reform Bill

Lord Foulkes of Cumnock Excerpts

Monday 18th March 2013 Lords Chamber

[The Parliamentary Under-Secretary of State, Department for Business, Innovation and Skills (Viscount Younger of Leckie)]

My Lords, in advance of this debate, it may be for the convenience of the House if I explain the Government’s position on the amendment. Following the statement made in the other place today, I want to make it clear that the Government support the amendment. This measure is part of the announcement made by the Prime Minister, the Deputy Prime Minister and the Leader of the Opposition today in relation to proposals for a royal charter to recognise and certify an independent regulatory body or bodies for the press.

I am sure that noble Lords will join me in welcoming the successful conclusion to the cross-party talks which the Prime Minister set up following the publication of Lord Justice Leveson’s report. The Prime Minister has made it clear that the amendment before us is not statutory underpinning. The Prime Minister said all along that he wanted to avoid a press law which said what the recognition body is and what it does. That has been delivered. This is not statutory underpinning but a safeguard that says that politicians cannot meddle with this.

The clause put forward by the noble Lord, Lord Stevenson, to which I have added my name, establishes requirements for royal charter bodies established after 1 March 2013 which have functions relating to the carrying on of an industry. It will have the effect that the charter can be amended only if the terms of the charter are met and both Houses of Parliament agree. Let me be clear that this means that any royal charters created to date will be unaffected and that a royal charter created in future will be affected only both if it is a royal charter with functions relating to the carrying on of an industry and if it has requirements set out within it which require the approval of Parliament.

The press royal charter will be the only such charter in existence when it comes into force. It is the Prime Minister’s intention to submit the charter to the Privy Council for Her Majesty’s approval at the Privy Council’s meeting in May. This will deliver a new system of press regulation in this country. It is a system of tough, independent self- regulation that will deliver for victims.

[Lord Foulkes of Cumnock]

My Lords—

[Viscount Younger of Leckie]

Perhaps I may be allowed to finish; I have just a few lines. It will ensure fines of up to £1 million, suitably prominent apologies, a standards code and a new arbitration service that will be free for victims. I will respond to points made in the normal way at the end of the debate, bearing in mind that this is the Report stage of the Enterprise and Regulatory Reform Bill, but I hope that noble Lords will support this important new provision.

[Lord Foulkes of Cumnock]

Can the Minister clarify one point in his statement? He said “this” country. Can he say whether this applies to the whole of the United Kingdom?

[Viscount Younger of Leckie]

I will certainly respond to that point at the end, in my concluding statement.

--- Later in debate ---

[The Parliamentary Under-Secretary of State, Department for Business, Innovation and Skills (Viscount Younger of Leckie)]

My Lords, this is a defining moment in the future of press self-regulation and the response to Lord Justice Leveson’s admirable report. I am most grateful to Members on all sides of this House for their positive and encouraging comments on the conclusion of the cross-party talks. The Prime Minister committed at the outset to a cross-party approach as the best way to identify a strong and durable solution to the question of future press regulation. After many hours of probing and thorough discussion we have reached the conclusion we always hoped for: a tough, new, self-regulatory model that has the support of the Prime Minister, the Deputy Prime Minister and the leader of the Opposition.

A number of noble Lords have expressed concern about the impact of these changes on the freedom of the press, but we have been clear throughout this process that any solution we implement must protect press freedom, a vital pillar of our democratic society. This clause is an additional safeguard against government interference. Its purpose is to ensure that parliamentary approval will be required before a recognition body set up by royal charter may be amended or changed. Of course, Parliament is sovereign and no Government can bind their successors, but this is an additional step. We believe that it is a constructive and workable solution, which protects press freedom.

The charter lock clause applies only to charters that are established after 1 March 2013. Therefore, it will not apply to charters that were established before that date, even if they are amended in the future. It remains the Government’s position that a royal charter is the right vehicle for the BBC, which for many good reasons was established at arm’s length from politicians. As for the origins of the royal charter, a point raised by my noble friend Lord Fowler, I suppose I am equally happy if it came from a Times letter or a man on the Budleigh Salterton omnibus. The main issue is that we are there with it. Further, it is worth noting that there was extensive parliamentary engagement on the development of the present BBC charter.

I should like to pick up on a number of points made by noble Lords, and I shall commence with those of the noble Lord, Lord Foulkes. He asked whether this applies to the whole of the United Kingdom. He may well have said it, but I would hazard a guess that he had Scotland in mind. The Government are currently discussing these issues with the devolved Administrations and we will bring forward provisions to ensure that the territorial extent of this measure is clear.

[Lord Foulkes of Cumnock]

My Lords, can the Minister clarify that point? Most of us from Scotland would want it to apply to Scotland, just as it will to the rest of the United Kingdom. Is that the Government’s intention?