Civil Aviation (Consumer Protection and Regulatory Reform) Bill [HL]

Debate between Lord Harper and Lord Redwood

Report stage
Monday 13th July 2026 Lords Chamber

[Lord Redwood (Con)]

My Lords, the noble Baroness, Lady Grender, posed an interesting question when she said that she thought that the mixture of amendments in this grouping created a tension and that maybe Amendment 4 was not compatible because it was trying to reduce the administrative and regulatory burden, whereas some of the other amendments were trying to achieve better outcomes, particularly for disabled passengers, by improved regulation. However, I think that these two things are perfectly compatible.

Most of us in this House benefited greatly from learning from the expertise of noble Lords and noble Baronesses with experience of service for disabled passengers, and we would want the regulations to be of the best quality in order to give the best opportunity for good outcomes. However, we have also heard from my noble friend Lady Foster, with her experience of the airline industry, that a lot of the bad cases that have been described are bad practice by a commercial business. They may already be violating existing rules, but they are certainly violating normal standards of good conduct and probably doing damage to the reputation of that business, because not only the disabled people but all their families and friends will be singularly unimpressed by what has occurred. We clearly need a cultural improvement in the case of some commercial airlines, and it may be that some of the proposed improvements in the regulation will help achieve that.

If we look at the whole burden of the cost and complexity of regulation, we can see that that great weight of business and economic regulation, as the CAA and others call it, is exceptionally complicated and is now producing a cost problem for aviation that is using the facilities of United Kingdom airports and trying to build businesses from a United Kingdom hub and headquarters base. That regulation is doing a lot of business damage to our growth and competitiveness and encouraging the growth of alternatives, such as Schiphol. That is what the Minister and his colleagues in other economic departments ought to be most interested in, and it is why I am attracted to my noble friend Lord Moylan’s proposal that the Government should either put their own general target for deregulation into the Bill or at the very least say, in the course of this debate, that aviation is not excluded from what is a perfectly attainable and sensible aim.

For all those noble Lords who think that the EU gets a lot of these things right, the EU is, of course, following exactly the same stated policy: it has come to the conclusion, through a number of reports, that it is massively overregulated and therefore not competitive compared with, say, the United States of America. It too is trying to set itself a target of a 25% reduction in the volume and cost of regulation, because it thinks that would be a good start in trying to restore some of the lost jobs and slower growth that it is undoubtedly incurring as a result of overcomplicated and excessive regulation, in particular business and economic regulation of the kind that afflicts the United Kingdom’s aviation industry. I hope that this House will look favourably upon my noble friend’s proposals and see that they are perfectly compatible with the excellent idea that we need better treatment for disabled passengers.

[Lord Harper (Con)]

My Lords, I will comment very briefly on my noble friend Lord Moylan’s Amendment 4. There are two parts to it. The first part, as he explained very carefully to the House, is the 25% reduction in administrative costs, which is the Government’s own target. We discussed this in Committee and I asked the Minister if he would set out the progress that the Government have made in achieving that 25% cost reduction in the areas that are the responsibility of his department. Clearly, we are two years into a five-year Parliament, so if the Government were on track, other things being equal, one would expect a 10% reduction in cost or an explanation as to why it was going to be loaded towards the back end of the Parliament. We did not get a lot of information, so I would be grateful if the Minister could tell the House what work is going on in the Department for Transport to track progress in reaching that 25% reduction in administrative costs. What information is currently available and published by the department about hitting that target? As my noble friend Lord Moylan said, if we received a lot of that information it would make the amendment unnecessary.

My second and final point is just to reflect on the point that I made on the earlier group. The wording of my noble friend Lord Moylan’s proposed new subsection (1B) is very sensible. It does not rule out the imposition of costs, but it challenge the Government to make a judgment as to whether the cost increase is disproportionate to the consumer benefit. It absolutely would allow some regulations to be introduced that had a cost but it would require the Government to look at the benefit that those regulations delivered to passengers and assess whether that balance was correct—in other words, whether the benefit to passengers outweighed the costs that were levied on the airlines. That is a good test for the Government. We do not want to have costly regulations which have a big economic burden but do not result in significant benefits to passengers. That is a perfectly sensible point and one which I think addresses the perfectly sensible point that the noble Baroness, Lady Grender, made about making sure that the focus on economics does not lead to a reduction in passenger support.