Product Regulation and Metrology Bill [HL] Debate

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Department: Home Office

Product Regulation and Metrology Bill [HL]

Lord Fox Excerpts
Wednesday 26th February 2025

(1 day, 9 hours ago)

Lords Chamber
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Lord Jackson of Peterborough Portrait Lord Jackson of Peterborough (Con)
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Then the noble Lord would support a purpose clause, which—one might make the case—is much clearer and more explicit. Incidentally, I agree with every word said by my noble friend Lord Lansley and will be supporting his amendment later.

But, as the noble Lord, Lord Hunt of Kings Heath, rises to the Dispatch Box, I would just like to conclude my remarks with the words of his noble friend the Attorney-General. This has been mentioned before, because it is very important within the context of the Bill. It is not just that this is primary legislation; it is unclear. It gives ministerial fiat—wide-ranging ministerial powers—and there are not explicit protections. Indeed, the Delegated Legislation Committee specifically says there are not proper procedures for even consultation with key stakeholders. But the noble Lord will know that on 14 October, the Attorney-General—who is not as high-profile in this House as he used to be—said in his Bingham lecture on 14 October that

“excessive reliance on delegated powers, Henry VIII clauses, or skeleton legislation, upsets the proper balance between Parliament and the executive. This not only strikes at the rule of law values … but also at the cardinal principles of accessibility and legal certainty. In my view, the new Government offers an opportunity for a reset in the way that Government thinks about these issues. This means, in particular, a much sharper focus on whether taking delegated powers is justified in a given case, and more careful consideration of appropriate safeguards”.

I could not have put it better myself. On that basis, I hope that Ministers may be minded to support my noble friend Lord Sharpe’s amendment.

Lord Fox Portrait Lord Fox (LD)
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My Lords, it is a pleasure to take part in this Report debate and to speak to this amendment.

I am grateful to the noble Lord, Lord Jackson, for reminding us that we are not relitigating the Brexit debate, because sometimes in Committee it was very hard to understand that point, given the speeches that came from his Benches. We are not relitigating the Brexit debate; we are trying to put in place a regulatory regime and the ability to deliver regulation that benefits the people of this country.

I was minded to consider that if I was using an electric lawn-mower and I started either to be electrocuted by it or have my toes removed by it, the last thing I would worry about was whether the regulation for that was autonomous. I would be worrying: why was it not safe? Why was the product not preserving my rights as a consumer not to be electrocuted or amputated? There is a serious point to this. If the noble Lord wanted to put a purpose to the Bill, its purpose is not to deliver some mystical autonomy—if we look at Amendment 8, we see that the Minister, far from delivering autonomy, is going to tie us to a whole bunch of other regulatory regimes. It is about delivering a regime that protects people and the environment, and gives consumers right of recompense if they are sold faulty products—all those sorts of things that we see before us. If we look in the draft code of conduct, that is what is set out in the introduction to it.

Sometimes we use before Clause 1 purpose amendments to make sure that we are the first speaker up. I do not think in this case that was in the mind of the noble Lord, Lord Sharpe. His amendment is designed—

Lord Jackson of Peterborough Portrait Lord Jackson of Peterborough (Con)
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Will the noble Lord give way?

Lord Fox Portrait Lord Fox (LD)
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If I can finish my sentence, please. The noble Lord’s amendment is designed to completely change the purpose of the Bill. I think he has admitted that, and that is right. I suggest that in all the discussion we have had, all the amendments that we have talked about through Committee have been about the consumer, safety and the other issues that actually matter. If we want a purpose, I am very happy to sit down with the noble Lord, Lord Sharpe, and the Minister and we can draw up a purpose that encompasses that if it makes people feel happier, but the key issue is not the autonomy, it is the effectiveness of that regulation. I give way.

Lord Russell of Liverpool Portrait The Deputy Speaker (Lord Russell of Liverpool) (CB)
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I remind noble Lords that we are on Report, we are not in Committee. It is very clear in the Standing Orders that you can speak only once on Report unless you are the mover of the group, in which case you can respond to the Minister. It is not within the rules to have this sort of debate. That is for Committee, not for Report.

Lord Fox Portrait Lord Fox (LD)
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I am grateful to the noble Lord. Our focus will be—

Lord Jackson of Peterborough Portrait Lord Jackson of Peterborough (Con)
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Will the noble Lord give way?

Lord Fox Portrait Lord Fox (LD)
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No, as the noble Lord just said—

Lord Jackson of Peterborough Portrait Lord Jackson of Peterborough (Con)
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The noble Lord agreed to give way.

Lord Fox Portrait Lord Fox (LD)
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I give way to the Whips to suggest what to do.

Lord Hunt of Kings Heath Portrait Lord Hunt of Kings Heath (Lab)
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My Lords, I realise that I should apologise to the House, because I should not really have intervened on the noble Lord. In apologising to the House, I suggest that we allow the noble Lord, Lord Fox, to finish his speech.

Lord Fox Portrait Lord Fox (LD)
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Thank you. There is not much more, your Lordships will be pleased to know. We will be focusing on the key issues. When we come to further groups, your Lordships will see that the work we on these Benches have done has been to try to prioritise proper scrutiny of the issues that I have talked about—safety, the environmental impact and the consumer, as well as legal issues—and to make sure that that can be done and this Bill changed in a way that survives contact with a huge government majority in the House of Commons. That is what we will be doing, and that is why we will not be supporting the noble Lord, Lord Sharpe, on his amendment.

Baroness Lawlor Portrait Baroness Lawlor (Con)
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I am awfully sorry: I was not quick enough on my feet before the noble Lord, Lord Fox, spoke. I should like to speak for a few minutes in support of my noble friend Lord Sharpe—if that is all right with the noble Lord, Lord Hunt.

I support my noble friend’s amendment because I think it sets out the framework and purpose clearly, and that is very important when we are making laws by statutory instrument. Besides, I think it is important to retain regulatory autonomy, and I will discuss that point with the noble Lord, Lord Fox, in a later group, but I do not think this is the time to have that discussion. It is regulatory autonomy that allows us to do all kinds of things to protect our consumers and ensure that we make the right sorts of laws for our products and our economy. That regulatory autonomy also allows us to align with any laws we like from any jurisdiction and, of course, the Government have a point in that.

My concern about not having an explicit regulatory autonomy aim in the purpose clause is that it would make us out of step with our existing arrangements with other trading partners, where we have agreed outcomes, conformity assessment procedures and other arrangements to recognise. We should not militate against that, which we may be in danger of doing if our purpose does not state these things explicitly.

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Lord Holmes of Richmond Portrait Lord Holmes of Richmond (Con)
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My Lords, following the theme of benign attention from government to amendments that have washed up in this group, I shall speak to my Amendment 41. In doing so, I declare my technology interests as set out in the register, not least as it applies to Socially Recruited, an AI business.

There are many things that are not in the Bill, data centres being one of them; yet these are the factories and foundries that are going to fuel our fourth industrial revolution, which is already well under way. We might think back to all that Victorian factories legislation, all quite appropriate and proper, whereas all I am seeking here is not even a whole statute—which we could have on data centres alone—but merely one amendment, which I hope the Government can look benignly upon. It simply asks the Government to undertake a consultation to look at a new standard for the measurement of the power usage of data centres.

We are going to rely increasingly on data centres for almost everything that we do in this country. How we power them, where we site them, the inputs, the outputs, where the technology comes from—all of these are key features currently utterly unconsidered in any legislation or regulations. All that my Amendment 41 seeks to do is suggest that the Government launch a consultation, following the passage of the Bill, to look at the effectiveness of a,

“metrology standard for the power usage of data centres”,

and, not least, to reconsider the current power usage effectiveness—PUE—standard and whether it is up to the job in hand.

Lord Fox Portrait Lord Fox (LD)
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My Lords, this has been a really interesting debate. It is a shame that we cannot have this debate on group 3, where we could set out some of the issues that I am going to explain very briefly—without repeating the speech that I am going to make in group 3 —on how scrutiny can be enhanced for secondary legislation. I share the concern of your Lordships’ House that insufficient and inadequate scrutiny happens even when we have statutory instruments. As the noble Lord, Lord Hunt of Wirral, pointed out, we need something better than the way in which we deal with statutory instruments at the moment. Very rarely, if ever, are they turned away; we have regret Motions that, in sum, make no difference at all.

To some extent, we are protecting a paper tiger here. What we should be talking about is whether there is a way we can make sure that these future regulations go through a process that is properly scrutinised. The proper debate on that will happen in group 3, and we will take it through. I completely agree with the noble Lord, Lord Jackson, that the issue of criminal sanctions is a concern and that we need to have a way of scrutinising it. That will be included when I speak to group 3, as will be the environmental measures raised by the noble Lord, Lord Holmes, in this group, and by the noble Baroness, Lady Bennett, in the next group.

We do have a way of having greater transparency, but it is not by statutory instrument to be nodded through over and over again. We have to be honest with ourselves about what we actually do when we are dealing with secondary legislation. That is why I have been working very hard, and why I welcome the conversations I have had with the Minister and his team, to try to open up something that will not only give us better scrutiny—I would say nearly proper scrutiny—but also something that will survive contact with the government majority at the other end. That is the opening point which, to some extent, is a speech for a different group.

With respect to this group, Amendment 61 mandates additional consultation, and Amendment 55—which has strangely been put in group 12—strengthens the affirmative process. I was very pleased to see the name of the noble Lord, Lord Anderson of Ipswich, added to those amendments; I very much appreciated his speech today, and that of the noble Lord, Lord Pannick. Those amendments add further resilience and help to meet some of the issues that were raised by your Lordships’ committee.

Once we have discussed the changes in group 3, hopefully with the response of the Minister, they will also contain some of the issues raised by the noble Lord, Lord Deben. Again, the fundamental question is: how do we properly review legislation? I am hoping that we have come up with a way that will do this. That is why we are keeping our powder dry on these Benches. We have put a lot of work and a lot of hope in what we are going to be doing in the next group, and I think we can give your Lordships’ House, and indeed parliamentarians as well as all the external bodies, a way of participating in the proper pre-scrutiny of statutory instruments before they ever reach your Lordships’ House, whether it is by affirmative or negative process when they get here.

Lord Leong Portrait Lord Leong (Lab)
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My Lords, first, I welcome the noble Lord, Lord Hunt of Wirral, to his place; I look forward to working with him constructively in the months ahead. I thank the noble Lord, Lord Fox, for giving us a little peek into what to expect in the next group.

I have listened carefully to the concerns around the scrutiny of such regulations from Peers, the Delegated Powers and Regulatory Reform Committee, and the Constitution Committee. I have also read my noble friend the Attorney-General’s lecture, which we have taken on board. That is why the Government propose to introduce a mandatory consultation requirement on the Secretary of State to consult such persons as they consider appropriate. This was welcomed in the DPRRC’s latest report; I particularly appreciate the committee’s constructive engagement. Consultation is a crucial part of the Government’s commitment to continued stakeholder engagement.

I refer to Amendment 4, in the name of the noble Lord, Lord Lansley. Basically, we are amending the Bill to require consultation. The Government will need to consider how to ensure that the UK is a good place to manufacture, develop and supply products. I am sure that businesses will let us know their strong views.

Amendment 61 has been drafted in such a way to ensure that consultation is appropriate to the circumstances, reflecting the potential risks posed and those with an interest. This is well precedented in existing legislation and allows for a variety of approaches, including: calls for evidence on specific areas, such as the recent common charger and outdoor noise calls for evidence; full consultations, such as that undertaken as part of the product safety review; and technical discussions to consider sector-specific actions—for example, on cosmetics—where a specialist scientific committee has been commissioned to form an opinion.

We have set out more details in an accompanying statement within our new code of conduct on how, when and with whom the Government currently engage on regulatory matters associated with product safety and metrology. This code of conduct is available in the Library of the House, and I hope Peers will find it a useful document.

Amendment 60 seeks to introduce a mandatory six-week minimum period for consultations. We believe that this will not always be necessary or appropriate because changes to product and metrology requirements can range from minor technical amendments to more substantial changes. It is important that the consultation requirement gives flexibility to the Secretary of State to consult as needed, and as appropriate, on a case-by-case basis. However, we have not stopped at a consultation requirement.

We have thought hard about an overall package of amendments. I now refer to Henry VIII powers. I thank the noble Lord, Lord Pannick, for his insightful contribution, and the noble Lord, Lord Anderson of Ipswich, a member of the Constitution Committee, for his contribution.

We have heard the concerns expressed about Henry VIII powers and are amending the Bill to eliminate most of them. Amendments 44 to 47, 62, 63 and 65 therefore restrict the number of Henry VIII powers to the absolute minimum necessary. We are removing entirely the power to amend or repeal provisions of the Consumer Rights Act 2015. We are putting in the Bill repeal of the absolute minimum necessary for provisions in the Consumer Protection Act 1987 and the Weights and Measures Act 1985. Commencement regulations will be used to bring those repeals into force at the right time, once regulations are made under this Bill to remove duplication in the statute book or to provide for regulatory continuity. We are pleased to see the DPRRC welcome these amendments.

Alongside these changes, the Government have introduced two small changes through Amendment 42, which is a necessary technical fix to the Bill, and Amendment 52, which is consequential.

I understand that noble Lords have concerns about the creation of criminal offences, which is the subject of Amendment 39, from the noble Lord, Lord Jackson of Peterborough. I reassure the House that regulations that introduce or widen the scope of criminal offences will be subject to the affirmative procedure. This is right and proper. To inform this debate, an Explanatory Memorandum will justify the proposed changes and be drafted after the justice impact tests and impact assessments have been completed. Additionally, the Government have brought forward an amendment to remove the criminal offence in the Weights and Measures Act 1985 applying to the sale of goods in non-permitted quantities.

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Lord Foster of Bath Portrait Lord Foster of Bath (LD)
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My Lords, before turning to my Amendment 7, I pick up the points raised by the noble Lord, Lord Lansley, in relation to his Amendment 28. Perhaps to his surprise, I accept that this is a case where there may be dynamic alignment between us. As he rightly pointed out, in Committee I tabled amendments in relation to the need for a liability approach and a redress mechanism. In fact, I went further and suggested that we need to do things such as remove the anonymity of sellers on online platforms so that such a redress mechanism would be possible. Like the noble Lord, I certainly hope that the Minister—who, as he says, has been enormously helpful—will be able to explain how the Government intend to handle this issue. It is my understanding that it may not be possible to do it through this legislation but that alternative routes will be found. I very much hope that is the case.

I similarly hope there will be a positive response to Amendment 7 in my name and those of my noble friend Lord Fox and the noble Earl, Lord Lindsay. In your Lordships’ House I have frequently raised my concern about the safety of lithium-ion batteries and the urgent need for tighter reform. In doing so, I have pointed to significant support for such action from a wide range of bodies including Electrical Safety First, local fire brigades, many local councils, insurance companies and many others. They have all pointed to the need for tighter regulation in this area.

One of the sponsors of the amendment, the noble Earl, Lord Lindsay, is the president of the Chartered Trading Standards Institute, which is equally concerned about this issue. Its concerns, like mine, have arisen from the tragic loss of life we have seen and the huge amount of damage to property from fires caused by, for example, poorly manufactured lithium-ion batteries or faulty charging systems. It is worth reminding ourselves, I hope for the last time, that the London Fire Brigade has to respond to such a fire every two days. It is now the fastest-rising cause of fires throughout the city. More than 180 parliamentary constituencies have had fires caused by lithium-ion batteries in the last two or three years. Work needs to be done.

I am delighted that Electrical Safety First, in its very good report Battery Breakdown, has provided a great deal of technical information about not only the fires but their causes, and has provided some sensible solutions and ways forward. I am therefore delighted that in the debate on the previous group of amendments, the Minister made absolutely clear that there is now a commitment to detailed consultation before new statutory instruments are brought forward on this matter and lots of others that will come forward. It is right that the technical expertise that Electrical Safety First, for example, has demonstrated is made use of.

Lithium-ion batteries are clearly not the only high-risk products that need to be identified and regulated appropriately. Fireworks are a good example. But many are not covered by existing product safety regulations or covered adequately by the General Product Safety Regulations. I am also concerned that we need not only to cover a wide range of products but to have future-proofing for the legislation to be flexible enough to take into account new products that come on to the market in future.

Sadly, at the moment there is no systematic approach to the identification and regulation of such high-risk products. Hence my amendment relates to

“the marketing or use of certain products, or categories or groups of product, that present a high risk (known or emerging) to consumer health and safety”.

I am particularly grateful to the Minister and his officials for meeting with me, Electrical Safety First and the London Fire Brigade to discuss establishing such a proactive system for assessing and regulating high-risk products and emerging technologies. I am the first to accept that there are more ways than one of skinning the cat and that there may be alternative ways, other than my amendment, of achieving what I wish to achieve.

My noble friend Lord Fox’s Amendment 9 would require the Secretary of State to publish a statement, before SIs are laid, outlining how product risks will be identified and assessed, including those posing a high hazard, such as lithium-ion batteries. I am willing to accept that, if his amendment is accepted by the Government, and is backed by the appropriate statement and a code of practice in relation to the identification and regulation of higher-risk products, it may well provide a way forward and ensure the flexibility and transparency that my amendment has sought.

I will listen with great interest to my noble friend Lord Fox, and in particular to the response from the Minister. I very much hope that today’s outcome will mean that, at last, action will be taken to tackle the very real dangers to public health and safety caused by inadequately regulated high-risk products, including lithium-ion batteries.

Lord Fox Portrait Lord Fox (LD)
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My Lords, I am looking forward to the novelty of my noble friend Lord Foster listening to me.

I will explain how Amendment 9, in my name, supports Amendment 7, in the names of my noble friend Lord Foster, the noble Earl, Lord Lindsay, and me. At the heart of both amendments is the desire to ensure that there has been sufficient scrutiny of the regulations that are designed to make products safe; I use that word advisedly, in support of the noble Lord Lansley, because “safe” is a good word to find in there somewhere, and I hope that through these discussions we will find a way. In my experience, the noble Lord, Lord Lansley, is relatively tenacious, so I suspect that something may emerge.

We need a process that takes into consideration all high-risk and higher-risk products. Lithium-ion batteries are a stark and horrific example when they go wrong, as set out eloquently by my noble friend, but there are other products, some of which we do not yet know about. Legislation has to be broad enough to be able to take those into consideration.

Amendment 9 also addresses the important elements of parliamentary scrutiny that we discussed in the last group. We have heard the concerns. If applied properly, this will go a long way towards ameliorating many of them. If we get it working properly, it will provide greater genuine scrutiny than the affirmative process tends to do, because it will edit secondary legislation before it is laid—in other words, it will have gone through a process.

Amendment 61, tabled by the Minister and signed by the noble Lord, Lord Anderson, undertakes that the Secretary of State will consult when the Secretary of State thinks it is appropriate. My Amendment 9 seeks to move this on to a more structured footing. It causes the Secretary of State to issue a statement that sets out the consultation process that the Secretary of State must undertake before tabling secondary legislation.

In some trivial cases, that will not be much consultation, but in other cases a great deal of work could be required, such as for an entirely new product, an entirely new use of an old product, or the reregulation of something that has proved problematic. All these would need to be addressed and assessed, to decide what level of risk we are dealing with. Higher-risk products would need a greater scrutiny process in order to reduce and mitigate risk, and make them as safe as possible.

As a result of this amendment, the Secretary of State would have to notify Parliament of the process for the identification and assessment of risks in products. I thank the Minister and his team again for the discussions we have had on this. We have had a number of meetings and each time we have moved forward in this process; together, we have been able to get to something that can work. I am happy that, rather than enshrining a particular technology in primary legislation, we are putting in place a process, and one that can evolve, if it needs to, going forward.

I hope that the Minister will set out further details of how this process will work and what the statement will include. I hope that he will take into consideration the concerns that have been demonstrated by my noble friends Lady Brinton and Lord Foster, as well as many other noble Lords during Committee. I should say, as an aside, that I was pleased to see the code of conduct, which is another brick in the wall, but this is the process by which that puts people’s noses to the grindstone and starts to apply it.

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I hope this reassures the House and I therefore humbly ask the noble Lord to withdraw his amendment.
Lord Fox Portrait Lord Fox (LD)
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Before the Minister sits down, can I ask just briefly whether he can confirm that the consultation process which we have discussed, and he very carefully laid out, will include parliamentarians and the devolved Governments?

Lord Leong Portrait Lord Leong (Lab)
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I can confirm that. In fact, the Secretary of State will publish a Written Statement when the consultation happens and this will extend invitations to civil society groups, any stakeholders, parliamentarians and interested parties.

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Baroness Lawlor Portrait Baroness Lawlor (Con)
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My Lords, I rise to speak in favour of my Amendments 21 and 59, and to support the amendments, to which I have added my name, from the noble Lord, Lord Frost.

Amendment 21 is designed to prohibit ambulatory provisions and dynamic alignment with any foreign law, including that of the EU, which is specifically mentioned in the Bill. Amendment 59 would introduce a sunset clause for regulations under subsections (1) and (2) of Clause 1 for using foreign laws under subsection (7), so that they expire after four years. As explained throughout all the proceedings on this Bill, this is an open-ended measure; it gives sweeping powers to the Minister to make law by decree, including to import and mirror EU laws. That is a very different matter from updating and making safe our own laws. I would like to thank the Minister for his constant courtesy and willingness to discuss these issues, and for making it a pleasure to work on this Bill, though the subject is not to my liking.

The Government justify this approach by referring to the highly technical nature of the Bill and the sheer number of regulations. They seek to reassure us by saying that they will use these powers only when in the best interests of the country. There are good reasons for prohibiting dynamic alignment with any foreign laws, as well as for not allowing ambulatory provisions. I will speak about those first. Not only should we do so to temper the use of the open-ended power proposed for the Executive, which is the subject of constant discussions and of my noble friend Lord Hunt’s eloquent and persuasive amendment today; there are also good economic and trade reasons to prohibit dynamic alignment with foreign laws, including those of the EU, which the Bill specifically mentions.

I would like to mention a few of those reasons. UK law is well tested and brings certainty to businesses in developing goods for market and competing overseas. Here, the Minister is on very strong territory in saying that many of us would be happy with such laws having gone through such a process, without having to go through parliamentary process every time. Our processes operate under a legal system that is celebrated for its expertise, experience and independence. It follows well-understood process systems: evidence-based testing, some scientific assessment, and consultation with consumers and producers alike. So, by the time the goods get to market and are approved, everyone understands what is at stake. They know the laws and they have been consulted on them; they trust the science and the evidence base.

However, laws and regulations made elsewhere under a code-based system—I refer particularly to the EU’s—are often based on input from officials who are remote from the area of law they are making. With the EU, there is the danger that we are importing anticompetitive laws because, as has been pointed out—including by one of the current President’s economic advisers—EU laws are protectionist. The EU has a different economic system, which was designed by the French to lock in, for very good reasons, the German economic growth that was expected after the Second World War. I can understand the French’s reasoning. They have a centralised command-system economy, which may work for France. So there are very good reasons not to import, on a dynamic basis, laws which are protectionist.

In Committee, I gave examples of where these laws add cost, drawn up by EU economists. They would also mitigate—some economic law lawyers will corroborate this—against our free trade treaties with other trading partners, such as the CPTPP. These are reached on the basis of mutual agreement over standards, which are subject to conformity assessment and independent dispute arbitration and regulation. If we are going to mirror—and mirror dynamically—one set of laws, particularly those of the EU, we may be increasing costs and changing standards, and be in breach of our agreement with the CPTPP.

I turn briefly to why we want a sunset clause. There are very good reasons for having sunset clauses. They bring benefits to legislation, and they give Parliament the chance to consider its merits after a fixed period, which is especially needed for a law imported by statutory instrument. They involve the user in the regulatory plan: for instance, they know that the law in question is going to be introduced on condition that it will be assessed, and that involvement can institute behavioural changes. A sunset clause helps to safeguard democracy and bring legal certainty. It makes clear in legislation what is subject to expiry, when, and under what conditions. Professor Helen Xanthaki, at UCL, has pointed out that sunset clauses improve the quality of legislation and they

“serve as tools of clarity, precision and unambiguity; and as tools for efficacy”.

For these reasons, I ask the Minister to consider my amendments and the others in this group. They open up this measure, and require any Government to be more open, broadly, to foreign laws, ensuring that any laws we do import are subject to a sunset clause and that there will not be dynamic alignment, which goes very much against the transparency and clarity that are the hallmarks of good legislation.

Lord Fox Portrait Lord Fox (LD)
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My Lords, I was going to give a long analysis of the economics that demonstrate how poorly manufacturing businesses have performed since the implementation of the trade and co-operation agreement, but that would have been a Second Reading speech, so I decided not to give it. Instead, I will speak to the amendments we have before us. I am grateful to the noble Lord, Lord Russell, for tabling his amendment and for allowing me to sign up to it.

Members on the Conservative Benches seem to find terror wherever they go. There is danger; there are plots, schemes and Trojan horses all over place. I would not like to live in their world; it must be very frightening. This Bill does what it says it does, and this amendment does what it says it does. It makes simple a process that has been put forward very carefully and in a measured way by the noble Lord, Lord Russell of Liverpool.

There are all sorts of things that the Liberal Democrats would like to do that are far more extreme than the noble Lord’s amendment, but we recognise the limitations of this legislation and the nature of what we are debating. That is why I have supported the noble Lord, Lord Russell. It is a simple and modest measure that has the practical benefit of helping out businesses.

To close, the noble Lord, Lord Jackson, said that it would not be sensible to close off options—quite. Closer alignment with EU regulations within the government negotiated red lines would yield a boost to the UK economy of between 1% and 2%. That sounds like an option to me.

Lord Sharpe of Epsom Portrait Lord Sharpe of Epsom (Con)
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My Lords, in view of the lateness of the hour and the closeness of the dinner break, I will also be very brief. I thank my noble friends Lord Frost, Lord Jackson and Lady Lawlor for bringing forward these important amendments. I was happy to sign some of them. They raise a fundamental concern about the potential alignment with the European Union, specifically through regulations that could be made under the Bill. As my noble friend Lord Frost put it, that is a significant constitutional matter and, I might add, it is one that has been highlighted by the Constitution Committee—again, we are back to the committees of your Lordships’ House.

The issue at hand is that, as currently drafted, the Bill contains provisions which would allow the United Kingdom’s regulatory framework to align with EU laws in—this is key—a dynamic or ambulatory manner. This means that, as time goes on, our regulations could automatically change in line with the evolving laws of the EU without any further scrutiny or review by the Houses of Parliament. This is deeply problematic. It would allow the UK to be influenced by regulatory frameworks and standards that are set externally and potentially lock us into a regulatory direction that we do not wish to follow. That is not the same as saying that we should not be able to adapt, adopt, negotiate, recognise or seek mutual recognition of the best regulations from whichever equivalent regime they come from.

These amendments address and achieve the aims set out so eloquently by my noble friends. If my noble friend is minded to test the opinion of the House later, we will support him.