Protection of Freedoms Bill

Lord Rosser Excerpts

Monday 6th February 2012 Lords Chamber

Moved by

[Lord Rosser]

37A: After Clause 41, insert the following new Clause—
“Rewriting powers of entry to address metal theft
(1) Section 26 of the Theft Act 1968 (search for stolen goods) is amended as follows—
(2) In subsection (1), after “goods” insert “or that admission to a place specified in the information is reasonably required in order to ascertain whether provisions under section 22A(1) are complied with,”.
(3) After subsection (1) insert—
“(1A) A warrant granted under subsection (1) for the purposes of ascertaining compliance under section 22A, shall authorise that person to enter that place at any time within one month from the date of the warrant.”
(4) After section 22 insert—
“22A Handling of stolen metal
(1) Subject to the provisions of section 26, any constable shall have a right at all reasonable times—
(a) to enter and inspect any place for the time being a place which is occupied by a scrap metal dealer wholly or partly for the purposes of such business, or any place which he reasonably believes is occupied for such a purpose, irrespective of whether or not it is entered on the register;(b) to require production for inspection, of any scrap metal kept at that place and any record which the dealer has in his or her possession.(2) A magistrate may grant, on application by a senior police officer, a closure order or, where such an order has already been granted, an application to extend a closure order in relation to a place, subject to the following conditions—
(a) the senior officer reasonably believes that the trader is encouraging, supporting or facilitating the trade in stolen metal whether knowingly or not, and (b) in his or her view such closure is necessary for the prevention of theft or handling of stolen goods or for the further investigation of those offences.(3) For the purposes of this section a person shall be deemed as carrying on business as a scrap metal dealer if—
(a) a place in that area is occupied by him or her as a scrap metal store, or(b) no place is occupied by him or her as a scrap metal store, whether in that area or elsewhere, but he or she has his or her usual place of residence in that area, or(c) a place in that area is occupied by him or her wholly or partly for the purposes of that business.””

[Lord Rosser]

My Lords, the purpose of this amendment is to provide for strengthened and new powers of entry for the police to enter and inspect known or suspected scrap metal dealer premises, and any metal and records kept on the premises, as well as powers to close down dealerships should those premises be suspected of being used for knowingly handling stolen material. At present the police are able to enter only registered premises but this amendment will give the right to enter premises irrespective of whether they are entered on the register, as well as the power to close dealerships.

Considerable concern has been expressed in the light of the increasing incidence of metal theft related to the rise in its value, with the price of copper having doubled to more than £5,000 a tonne since 2009, and the value of scrap metal at an all-time high. This has become a highly organised crime. Metal is stolen to sell on to dealers who will probably smelt it down before selling it on. The impact of such thefts on many people, buildings and organisations is considerable, not least on the railway network and railway passengers and on churches and indeed war memorials, with at least one war memorial a week being stripped in London.

The cost of metal theft is now estimated to be running at £1 billion a year and causing some 16,000 hours of train delays. In total, Network Rail says the cost of such thefts has amounted to some £43 million across the United Kingdom. It is also apparently resulting in the deaths of two thieves a month as they attempt to strip cabling from electricity substations or railways. That last point may not arouse much concern or sympathy, but it is still the loss of two human lives a month which could be avoided and is perhaps a consequence of the current spate of metal thefts that is not often raised.

It is important that action is taken as quickly as possible. At least one major recycling firm has moved to cashless payment, and on Thursday we shall be debating my noble friend Lord Faulkner of Worcester’s amendment to the Legal Aid, Sentencing and Punishment of Offenders of Bill, which provides for cashless transactions to be compulsory in the scrap metal trade. This would be an important action in the drive against metal thefts and I commend my noble friend for his robust campaign on this issue.

We know that police forces are stepping up their activities against this lucrative crime but they need to be given further powers to combat it with maximum effectiveness. One such power is provided for in this amendment, namely stronger and new powers of entry for the police to premises suspected of being used for handling stolen metal and the power to obtain a closure order against a dealership where there is a belief that such criminal activity is taking place. This amendment, providing new powers to the police to enter and close down unregulated scrap metal dealerships, is in line with the recommendations of the Association of Chief Police Officers’ metal theft working group.

Combined with the amendment tabled by the noble Lord, Lord Faulkner, to the Legal Aid, Sentencing and Punishment of Offenders of Bill to ban cashless transactions, this amendment presents a robust package of measures to tackle this growing epidemic. I hope the Government will indicate their support for this amendment and ensure that the police are properly equipped to deal with the increasing incidence of metal thefts. I beg to move.

[Lord Faulkner of Worcester]

My Lords, I have added my name to Amendment 37A, tabled by my noble friends Lady Royall and Lord Rosser, because the new powers that it confers on authorities to enter and inspect scrap metal dealerships represent, as my noble friend Lord Rosser says, an important element in the comprehensive overhaul of the Scrap Metal Dealers Act 1964, which I have been calling for in your Lordships’ House since I asked my Oral Question on the subject on 3 October last year. It also fits perfectly with the move to cashless transactions, which the Home Secretary said in a Written Statement on 26 January that the Government now support. This is the subject of my own amendment to the Legal Aid, Sentencing and Punishment of Offenders Bill, which the Committee will be considering on Thursday, possibly alongside the Government’s own amendments, the details of which we are awaiting.

This morning I met Deputy Chief Constable Paul Crowther of the British Transport Police to discuss this amendment. As the House will be aware, the BTP has been in the lead on the metal theft issue and I again commend it for what it is doing to tackle it. It has asked me to tell your Lordships—and I quote directly from a message it has given me—that:

“The power of closure is something that we would really want for a number of reasons, not least so that we can support legitimate businesses who will comply with the cashless system when it is introduced”.

Over the last four months I have been overwhelmed by the representations that have been made to me about the necessity for government action to tackle what is now a metal theft epidemic. The Transport Select Committee in another place says that the theft of signalling cable was responsible for the delay or cancellation of over 35,000 national rail services last year. There are eight actual or attempted thefts on the railway every day. My friends in the heritage rail sector—and I declare an interest as the president of the Heritage Railway Association—report weekly thefts of metal objects from their yards, depots and sheds, the value of which runs into thousands of pounds. Almost no aspect of our national life has escaped unscathed: manhole covers; war memorial plaques; even huge pieces of art like the Barbara Hepworth sculpture in Dulwich Park or the statue of Dr Alfred Salter in Cherry Gardens, Bermondsey; lead from church roofs and sacred objects from within churches; electricity and telecom cables—the list is endless.

Many of your Lordships will have seen the open letter published in the Times on 11 January that was signed by an impressive array of business leaders, including the chairmen or chief executives of BT, Network Rail, the Energy Networks Association and the Ecclesiastical Insurance company. They called for a complete update of the Scrap Metal Dealers Act 1964. Among the long list of changes they want to see were police powers to close unscrupulous scrap metal dealers, and police authority to search all premises owned and operated by scrap metal dealers—the measure proposed in this amendment. In my view, the police should be given powers to inspect any articles and records kept on site and to close down dealerships should there be reasonable suspicion that they are handling and dealing in stolen metal.

It is abundantly clear that the law needs to be completely rewritten. In the other place tomorrow there will be a debate initiated by officers of the All-Party Parliamentary Group on Combating Metal Theft—I declare a very modest interest as one of its vice-chairs. In addition to the move towards cashless transactions they will call for a robust licensing scheme for scrap metal dealers to replace the present registration scheme, as well as all the measures that have been put forward by industry, the church and the police.

I shall be very interested to hear what the Minister has to say when he responds. I know that we will achieve a cashless regime either on Thursday or at Report stage of the LASPO Bill, but I hope that he will be able to give a commitment that there will at least be comprehensive legislation in the next Session which will rewrite the Scrap Metal Dealers Act 1964.

--- Later in debate ---

[Lord Henley]

My Lords, we have cashless in the LASPO Bill and I hope that it will deal with this problem.

We have to consider the other important points that need to be dealt with. One of those—and, again, this is why I am interested in how the Opposition voted on the previous amendment—is whether the powers of entry are adequate and what powers of entry need to be given to the police. We can look at these matters, first, in the LASPO Bill and consider further regulation in due course.

I welcome the support of the Front Bench opposite for further action in this area. Obviously, there is more that we can do. I do not think that this is the right way of going forward at this stage because, as I said, we want to bring forward amendments in the LASPO Bill on Report. I can give an assurance that as soon as possible thereafter, by whatever legislative means is appropriate, we will bring forward the further amendments that need to be made, particularly to the Scrap Metal Dealers Act 1964. With those assurances, I hope the noble Lord will feel able to withdraw his amendment.

[Lord Rosser]

The Minister asked me where my figure on the cost of metal theft, at £1 billion a year, came from. I would not say that the figure necessarily came from the most authoritative of sources, but it appeared in a fairly prominent newspaper article last December.

[Lord Henley]

Is the noble Lord prepared to mention which newspaper he relies on?

[Lord Rosser]

I am trying to remember which one it was. As the Minister has asked me which one it was, I intend to tell him. I may be wrong, but my recollection is that it was the London Evening Standard.

It is clear that the current level of metal thefts has caused a considerable increase in the cost of security arrangements. It is already costing businesses, organisations and local authorities money and we need action. This amendment, along with the amendment from my noble friend Lord Faulkner of Worcester which is to be considered on Thursday, provides for action now—action which we badly need against this serious, organised and growing crime. As my amendment goes further than the Government appear to be contemplating in respect of police powers of entry and closure of dealerships—powers that are needed now—I wish to test the opinion of the House.

--- Later in debate ---

We do not want rogue clampers but nor do we want rogue parkers leaving their cars on private property where they have no right to be and interfering with other people’s freedom and use of their own land. These amendments seek to restrict rogue ticketers, protect consumers, set up an ombudsman scheme and safeguard the rights of small, private landowners who never wanted to run a car park but just want to be able to park by their own home. I beg to move.

[Lord Rosser]

My Lords, my noble friend Lady Hayter of Kentish Town has set out the arguments in favour of these amendments. I certainly do not intend to repeat them all. The first amendment aims to close a loophole created by the government amendments tabled in Committee in another place. It ensures that rogue operators will not be able to extort money from drivers by way of barriers rather than clamping.

My noble friend also referred to the amendment that allows for limited licensing of parking enforcement schemes by the Secretary of State to recognise residents and community groups who suffer a serious problem with unlawful and obstructive parking. She explained the reasons why this amendment is necessary and we certainly support it. It retains the clamping ban but allows local resident and community groups to apply for the provision of a parking enforcement scheme to address specific problems with unlawful parking in their area.

Then there are amendments that deal with the introduction of an independent dispute resolution scheme, funded by the industry and available to all motorists—it is important that it is available to all motorists. Cases where mistakes are made or consumers feel that they have been unfairly treated, such as being pursued for excessive charges, can be decided fairly, quickly and cheaply. Rogue ticketing is already a serious problem. It is only likely to get worse once rogue clampers are put out of business. Citizens advice bureaux are dealing with increased numbers of parking inquiries, queries and complaints. Last year, compared with the previous year, they saw an increase in people visiting their website seeking information and advice about parking issues.

The amendment establishes an independent ombudsman system that avoids costs and clogging up of the courts by challenges to parking fines brought by consumers. The issue is that it is not the members of the BPA who are most likely to operate outside the bounds of good practice. In order to protect consumers from unfair and disproportionate charges, all parking operators must be required to meet minimum standards for clear signage and proportionate charges. There must be an independent complaints process for consumers.

That is one of the purposes of these amendments. They give those parking their cars a better deal. They also give a better deal to those in certain locations who have parking on their own particular private property and will apparently be unable to seek effective redress.

I hope that the Government will give sympathetic consideration to these amendments and indicate that, even if they are not prepared to accept them, they will take the matter away and come back to it on Third Reading with amendments of their own covering the same issue.

[Baroness Randerson]

My Lords, I do not share all the noble Baroness’s concerns but still remain concerned about some aspects of the situation. I thank the Minister for the time he gave us in discussing these problems in a meeting. The Government are showing that they are aware of the issues. Some of their proposals—that places suffering from this kind of inappropriate parking can employ a parking company—would be suitable in large situations where the parking was widespread, regular and frequent. However, often these problems take place in, for example, the car parks of churches or community centres, or in residential car parks associated with blocks of flats. The problem is not on a large enough scale for an organisation which exists for a totally separate purpose from parking. It does not suit that kind of organisation to engage a parking company to sort out its problems. The Government have to look at a different resolution to the problem. There are still some questions to be answered.

In my speech in Committee, I asked the Minister what the situation was in Scotland, where there is no clamping. I am strongly in favour of the purpose behind this Bill in that respect: clamping should not be allowed to continue. Scotland has not had clamping for many years. Are there problems there associated with rogue ticketing? There do not appear to be massive problems with that but there appears to be an increase in the number of complaints about ticketing brought to consumer organisations in recent years. The Government need to address the issue of how they will deal with any problems which may emerge as a result of this change in legislation which will undoubtedly go ahead.

What are the Government proposing to do in relation to the forthcoming EU directive on ADR—the alternative dispute resolution procedure? I gather that that will be required in the near future for all traders providing goods and services. That would include parking companies. We need reassurance about the independent appeals process. There is still this gap in the situation where we can expect supermarkets and so on to find a satisfactory alternative to clamping. It is not reasonable to expect a small community-based organisation to employ a parking company and issue tickets. That is not their purpose. It adds bureaucracy and concerns for them.