Queen's Speech

Lord Whitty Excerpts

Wednesday 2nd June 2010 Lords Chamber

[Lord Whitty]

My Lords, this is a wide-ranging debate and I intend to say a few sentences about every area of it. First, I warmly welcome the noble Baroness to her position on the Front Bench. I am very gratified to see her there. Not only has she done the hard slog of opposition, but—I declare my interest as chair for at least a few more weeks of Consumer Focus—she was a distinguished consumer champion at the National Consumer Council. I am not entirely disinterested in saying this because I hope that she will ensure that her department, BIS, which has not always been that conscious of consumer issues, albeit that those issues are central to its remit, does not ignore the consumer dimension or the employee dimension. I also congratulate the noble Lord, Lord Henley, whose remit in Defra coincided with a little part of mine and that of the Lord Speaker before me. I think that the advice that we would give him is that nothing is quite as complicated as people tend to tell you that it is. I will leave it at that.

On the BIS part of the agenda, we have had references to financial regulation. Now that my noble friend Lord Myners is no longer influential in this area, I fear that we are not clear in which direction we are going. The banking industry and, above all, those who depend on banking services need to know what the future system of regulation will be. Will we abolish the FSA? Will we give a bigger role to the Bank of England? A commission is being set up to decide those things, but people want certainty. Above all, I hope that these issues are decided not on the basis of relatively arcane arguments about Glass-Steagall or whatever, but on the basis that we get a better service to business and to individuals from the banking system. We want more competition and more diversity, but not at the expense of less service and less choice to consumers.

There is a whole bit on regulation in the coalition agreement, in the manifestos and in earlier papers, particularly from the Conservative Party. Despite the fact that some of what the Government are arguing is sensible, the first thing that is picked out—the one-in, one-out process—is completely bonkers. The previous Government had a go at it. It cannot be worked in that way. There are other things in the programme on which the Government should focus. Looking at whole groups of regulation and the operation of a sunset clause for regulators would be much more effective than trying to have a first-in, first-out process. That is a bit of advice to those who believe in better regulation rather than less regulation.

On the Post Office, I was a bit surprised to see almost exactly the proposition of my noble friend Lord Mandelson, of which I was not entirely in favour, back on the agenda. I am not clear whether we are looking for capital for the Post Office or for a new organisation—presumably one of its competitors—to take over its management. Either way, we need certainty within the organisation. The employees need it, but above all customers, businesses and individuals need to know which way the Post Office is going. I am not at all convinced that the Bill that seems to be envisaged will do that.

On the environment and energy agenda, I have just two or three points to make. We need to pursue all aspects of the low-carbon agenda and, behind that, we need to reconvince the public that the fight against climate change is indeed one of the priorities of this Government and of society as a whole. There have been some rather unfortunate beginnings, but I hope that the Government can recover from them. The cut in help to business in terms of low-carbon investment is not a particularly helpful signal, nor is the dropping of part of the heat initiative. I am less confident than the noble Lord, Lord Jenkin, that dropping the Infrastructure Planning Commission will mean that nuclear power can play its proper part. I hope, therefore, that the concentrations on energy policy will be to provide not only for greener energy but also for a fairer cost of energy to consumers, whether they be businesses or individuals.

I welcome, I think, the commitment to the green deal, which will enable householders effectively to take out loans to improve the energy efficiency of their homes. However, that does not address seriously the position on fuel poverty to which my noble friend Lord O’Neill just referred. It will help a lot of middle-income groups and improve energy use among household consumers, but it will not tackle the problem of fuel poverty. We need a clear indication from the Government of where they intend to go on that front.

I am running out of time, so I will not go into detail on agriculture, which the noble Lord, Lord Henley, will no doubt be relieved to hear. On transport, the one thing that I want to do is to compliment the coalition on its decision not to go ahead with the third runway at Heathrow. That was a brave and important decision and I hope that the Government can follow through on the environmental agenda and on other decisions about the environment.

I was not going to mention this, but I shall, as the noble Lord, Lord Monson, who is no longer in his place, raised it. There is one apparently bad decision on the part of the Government. I do not believe that it is helpful to society or in the interests of rural areas to repeal the Hunting Act. I had some most unpleasant times in this House when I promoted the Bill. Straight repeal, which the Government seem inclined to allow via a Private Member’s Bill, is not a licensing system, is not a middle way and does not allow for local discretion; it is a straight repeal. That would be a regressive step by the Government and I hope that they do not give priority to it.