Infected Blood Compensation Scheme

Mike Amesbury Excerpts

Wednesday 23rd October 2024 Commons Chamber

[Nick Thomas-Symonds]

Yes, the awards are exempt from inheritance tax and capital gains tax. That is precisely how the scheme has been designed. I hope that gives reassurance to the hon. Gentleman.

Let me move on to the points raised by the Secondary Legislation Scrutiny Committee, as it is important that I address them. As the Committee noted, the infected blood scandal stretches back over many decades, and access to records, in particular medical evidence, will be very challenging—I acknowledge that. That is at the very heart, as I am sure hon. and right hon. Members will understand, of the challenge of trying to address an injustice that has been allowed to continue for so many decades. Where that is the case, the authority will need to make objective decisions relying on the evidence that is available in order to determine, on the balance of probabilities, that treatment with infected blood occurred. The authority will—I expect it to do this—provide assistance to those who believe that their medical records have been lost or destroyed, and evidencing eligibility will be easier, faster and more compassionate than, for example, one would experience through any court proceedings.

The Committee highlighted the complexity of the regulations. That is why, alongside the publication of the regulations and the explanatory memorandum, the Government published a detailed policy paper in August on how the compensation scheme will operate, setting out what individuals can expect to receive, including case study examples. Additionally, the Infected Blood Compensation Authority will ensure that appropriate advice and support is available to assist people with managing their compensation awards, accessing financial services and accessing benefits advice where relevant, as I set out in response to an earlier intervention by my hon. Friend the Member for Hartlepool (Mr Brash).

Thirdly, the Committee raised questions on how claimants will receive payments. As set out in recommendation 10 of the infected blood inquiry’s second interim report, the regulations include a mechanism for electing for periodic compensation payments or a lump sum. That is responding to the wishes of those who have told us that they wanted that option to be available to them. We have also provided an alternative for those currently receiving support scheme payments through the infected blood support schemes. The so-called IBSS route was developed following the recommendations of Sir Robert Francis KC, following his engagement with representatives of the infected blood community.

The clearest finding from that engagement was around the continuation of the existing support scheme payments. The Government have listened, and we have agreed and accepted that support scheme payments will continue for life for those who elect the IBSS route. The route will be available for those who applied to be registered on a support scheme on or before 31 March 2025, and delivered as part of the compensation package. The tariff-based scheme is designed to be fast, fair, consistent and secure. We hope that people will be satisfied that they have been provided with full and fair compensation, as the scheme sets out. However, should that not be the case, the regulations make provision for review of decisions made by the authority and for appeals to the first-tier tribunal.

[Mike Amesbury (Runcorn and Helsby) (Lab)]

Michael in my constituency will benefit from the compensation, and I commend the Minister and the Government for their swift action. How do we ensure that we maintain trust in the process? Is there an opportunity for victims to review any aspects of the compensation scheme that may not be working?

[Nick Thomas-Symonds]

My hon. Friend makes a powerful point about trust in the process. The scheme is designed to have a core route, and a supplemental route for particular issues around care claims or financial loss that are not appropriately captured in the core route. There is also provision around review and appeals to the first-tier tribunal, which is important. One of the purposes of having a tariff-based scheme is to try to make it simpler and easier to access, so that the need for subsequent appeals is minimised.

I know that the House speaks as one when it comes to paying long overdue compensation to those impacted by this harrowing scandal. Following the passing of the Victims and Prisoners Act, these regulations are the next substantial step towards getting money to people who rightly deserve it. However, although there has been progress, the work is far from finished. A second set of regulations will provide for other elements of the compensation scheme, including compensation payments to those who are affected and for claims outside the core route. Subject to parliamentary approval, the Government aim for the second set of regulations to be in place by 31 March 2025, to support our intention—as I have previously told this House—for those affected to start receiving payments next year.

There is shared determination across the House to deliver compensation as swiftly as possible and with the minimum delay. I hope that today, hon. Members across the House can agree that these regulations are a significant step towards that.