Finally, our Amendment 195 picks up another recommendation of the Delegated Powers and Regulatory Reform Committee, which relates to setting fees for people seeking entry or modifying details on the register of providers of verification services. The powers are given to the Secretary of State to set these fees with no reference to Parliament. The Delegated Powers Committee recommends that there should be parliamentary scrutiny using the negative procedure. We agree with this point and this is reflected in our amendment. I therefore beg to move Amendment 177.
Lord Kamall Portrait Lord Kamall (Con)
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My Lords, I speak in favour of Amendment 195ZA in my name and that of the noble Lords, Lord Vaux of Harrowden and Lord Clement-Jones, and Amendments 289 and 300 on digital identity theft. I am also very sympathetic to many of the points made by the noble Baroness, Lady Jones of Whitchurch, particularly about the most disadvantaged people in our society.

As many noble Lords know, I am a member of the Communications and Digital Committee of this House. A few months ago, we did a report on digital exclusion. We had to be quite clear about one of the issues that we found: even though some people may partly use digital—for example, they may have an email address—it does not make them digitally proficient or literate. We have to be very clear that, as more and more of our public and private services go online, it is obvious that companies and others will want to know which people are claiming to use these services. At the same time, a number of people will not be digitally literate or will not have this digital ID available. It is important that we offer them enough alternatives. It should be clear, and not beyond the wit of man or clever lawyers, that there are non-digital alternatives available for consumers and particularly, as was said by the noble Baroness, Lady Jones of Whitchurch, people from disadvantaged communities.

As we found in the report on our inquiry into digital exclusion, this does not concern only people from deprived areas. Sometimes people get by in life without much digital literacy. There are those who may be scared of it or who do not trust it, and they can come from all sorts of wealth brackets. This drives home the point that it is important to have an alternative. I cannot really say much more than the amendment itself; it does what it says on the tin. The amendment is quite clear and I am sure that the noble Lord, Lord Vaux, will speak to it as well.

I will briefly speak in favour of Amendments 289 and 300. Digital identity theft is clearly an issue and has been for a long time. Even before the digital days, identity theft was an issue and it is so much easier to hack someone’s ID these days. I have had bank accounts opened in my name. I received a letter claiming this but, fortunately, the bank was able to deal with it when I walked in and said, “This wasn’t me”. It is quite clear that this will happen more and more. Sometimes, it will simply be stealing data that has been leaked or because a system is not particularly secure; at other times, it will be because you have been careless. No matter why the crime is committed, it must be an offence in the terms suggested by the amendments of the noble Lord, Lord Clement-Jones. It is clear that we have to send a strong signal that digital identity theft is a crime and that people should be deterred from engaging in it.

Lord Vaux of Harrowden Portrait Lord Vaux of Harrowden (CB)
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My Lords, I have added my name to Amendment 195ZA—I will get to understand where these numbers come from, at some point—in the name of the noble Lord, Lord Kamall, who introduced it so eloquently. I will try to be brief in my support.

For many people, probably most, the use of online digital verification will be a real benefit. The Bill puts in place a framework to strengthen digital verification so, on the whole, I am supportive of what the Government are trying to do, although I think that the Minister should seriously consider the various amendments that the noble Baroness, Lady Jones of Whitchurch, has proposed to strengthen parliamentary scrutiny in this area.

However, not everyone will wish to use digital verification in all cases, perhaps because they are not sufficiently confident with technology or perhaps they simply do not trust it. We have already heard the debates around the advances of AI and computer-based decision-making. Digital identity verification could be seen to be another extension of this. There is a concern that Part 2 of the Bill appears to push people ever further towards decisions being taken by a computer.

I suspect that many of us will have done battle with some of the existing identity verification systems. In my own case, I can think of one bank where I gave up in deep frustration as it insisted on telling me that I was not the same person as my driving licence showed. I have also come up against systems used by estate agents when trying to provide a guarantee for my student son that was so intrusive that I, again, refused to use it.

Therefore, improving verification services is to be encouraged but there must be some element of choice, and if someone does not have the know-how, confidence, or trust in the systems, they should be able to do so through some non-digital alternative. They should not be barred from using relevant important services such as, in my examples, banking and renting a property because they cannot or would prefer not to use a digital verification service.

At the very least, even if the Minister is not minded to accept that amendment, I hope that he can make clear that the Government have no intention to make digital ID verification mandatory, as some have suggested that this Part 2 may be driving towards.

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Lord Clement-Jones Portrait Lord Clement-Jones (LD)
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Is the Minister saying that, as a result of the Equality Act, there is an absolute right to that analogue—if you like—form of identification if, for instance, someone does not have access to digital services?

Lord Kamall Portrait Lord Kamall (Con)
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I understand that some services are purely digital, but some of those may well not have digital ID. We do not know what future services there might be, so they might want to show an analogue ID. Is my noble friend saying that that will not be possible because it will impose too much of a burden on those innovative digital companies? Could he clarify what he said?