(1 year, 10 months ago)
Commons ChamberIn last Thursday’s business questions, there was some discussion about whether the Bill should be proceeding at this time. It is a good question not simply because of the uncertainty caused by the latest episode in the Tory leadership soap opera, which of course reflects the deep divisions that have torn that party apart in recent years, for which the country has paid the cost, but because the Bill comes from the same thinking that drove the mini-Budget. It puts ideology before common sense, ignoring evidence, refusing advice, dismissing experts, and causing huge damage to the economy and to families, in pursuit of what Conservative Members described as a libertarian experiment. That approach was honed in the referendum campaign. Let us remember the way the Office for Budget Responsibility projection of the hit on our GDP was dismissed. However, as the former Governor of the Bank of England pointed out last week, in 2016, Britain’s economy was 90% the size of Germany’s and now it is less than 70%. That is where putting ideology before common sense leaves us.
The point is not to reopen the Brexit debate, despite the best attempts of some Government Members to frame every discussion on the EU in that way. We are not rejoining the EU. We are not rejoining the single market or the customs union, although major Tory donors have made that case this week. The point is that we should learn from our mistakes, but the Bill doubles down on putting ideology before common sense, and which side he falls on will be a real test for the new Prime Minister.
Let us remember why we have retained EU law—it is because the Conservative Government proposed it as a sensible way of dealing with the practical problem of the legal vacuum that we would face if we left the EU without it. Hundreds and hundreds of laws that are part of the fabric of our lives would otherwise have fallen without proper consideration. We should remember —and the hon. Member for Ruislip, Northwood and Pinner (David Simmonds) made this point—that often those laws were driven through the EU by the UK; they were shaped by us; they were laws we needed.
The principle of retained law was that, over time, we could review the legislation and, if we chose, update, amend or drop it, but there are 2,400 laws. The madness of this Bill, but also its central purpose, is the sunset clause, which will see all retained law expire next December if it has not been incorporated in UK law. Of all people, the right hon. Member for Chipping Barnet (Theresa Villiers) warned about that quite forcefully as an ardent Brexiteer.
The Bill is the brainchild of a Secretary of State who is no longer in government. We know he faced significant opposition in Cabinet when he proposed it, and for good reason: it forces every Government Department to prioritise, above everything, the review of retained law over the next 14 months, or lose it. Is that really the priority for Government? We have an economy that is tanking as a result of their actions, a cost of living crisis that will break thousands of families, a war in Europe and a climate emergency, but in the face of all of that, the Bill tells every Department that its priority is to review retained EU law. It is complete madness.
What is at risk? In a cost of living crisis, with prices rising and businesses struggling, uncertainty will push costs even higher. The regulations and standards that we risk losing at the end of next year, as civil servants are stretched with the real business of government and struggling with the issues, are necessary for confidence in businesses, purchases and markets. They provide the certainty needed for growth. Without them, we are deliberately damaging investment—who would want to bankroll ventures that might lose their viability or access to markets as regulations are set to change significantly? How do British standards remain high and of good quality if we risk their simply dissolving without consideration either by Ministers or by the House when the sunset clause is triggered?
The legal chaos unleashed by this process is wildly unproductive. By tearing up all these regulations at a time of huge pressure on our public services and Government, the potential for things to be missed, late, or poorly executed is huge. How can businesses be sure of the obligations they need to fulfil in this situation? How can they ensure health and safety standards for their employees? How can they be certain that there will not be legal repercussions for their activities if these frameworks are binned in favour of a Daily Mail headline?
The head of the Government Legal Service from 2014 to 2020—the crucial period in which we debated our departure from the EU—said this weekend that this is
“absolutely ideological and symbolic rather than about real policy...there is no indication of which areas the government is thinking of retaining and which it is getting rid of. So there is no certainty about what laws we will have and what will replace them. It is a very, very bad way to change and make law...It creates…uncertainty within a very tight, and completely self-imposed timescale.”
Business is clear too—it has enough to be getting on with, protecting jobs and livelihoods, without the Government creating more barriers to their work. The Federation of Small Businesses has said that the Bill adds
“an extra burden to already very difficult trading conditions.”
It continues:
“A year just isn’t long enough for small businesses”—
the hon. Member for Ruislip, Northwood and Pinner made that point well too—
“to work out how their operations will need to change in response to a fundamental shift in the regulatory environment, such as the one proposed by the EU revocation and reform bill.”
As a member of the UK Trade and Business Commission, chaired so well by my right hon. Friend the Member for Leeds Central (Hilary Benn)—
Will the hon. Gentleman give way? I will not be speaking later in the debate.
The hon. Gentleman refers to business uncertainty. Has he seen the detailed briefing that has been prepared by the Bar Council about its concerns over the creation of legal uncertainty in relation to certain clauses of the Bill? Those clauses leave doubts as to how retained law should be interpreted, and doubts as to its status and what discretion judges will have in its interpretation. Surely those things should be put right before the Bill goes any further.
I have not seen that briefing, but I will now look because the hon. Gentleman makes a very strong and forceful point, as he so often does in this House.
As I was saying, through the UK Trade and Business Commission, which draws representatives from every single party in this House, we have heard many frustrations from businesses over the past two years. Those businesses have asked for many things to improve the environment in which they are operating. Not one has said, “Please, ditch EU retained law.” Laws make sense—laws that we have helped to shape, laws that we have often played a key role in creating. Laws, as described by my hon. Friend the Member for Walthamstow (Stella Creasy), protect pensions, prevent carcinogenic materials in cosmetics, protect part-time workers’ conditions and so on. They are not bureaucratic red tape, but basic laws that underpin a civilised society and a good quality of life.
Why chuck everything in a bin and set it alight? Over the past few weeks, in particular, have we not had enough of disrupters in Government? I listened to the new Prime Minister this morning. He talked about placing economic stability and confidence at the heart of the Government’s agenda. He set out priorities in which this Bill does not figure. He said that his Government will
“have integrity, professionalism and accountability at every level.”
If he is serious, he will drop this Bill. Let us legislate with purpose, not for a headline in the Daily Mail. Let us reject this Bill today.
(3 years, 4 months ago)
Commons ChamberI had very much hoped that it would not be necessary for us to continue to have this debate in relation to this Bill. The core elements of the Bill are worth while and I support them. Unfortunately, however, it creates a set of potential liabilities upon wholly innocent leaseholders, without giving them an adequate means of redress. That is simply unfair. It is unfair on my constituents and it is unfair on people who have bought properties in good faith and who have relied on professional advice and the regulatory regime that was then in force. If there are people who were at fault, either in the construction of the buildings or in the way in which surveys were carried out, they should absolutely be held to account, but the people who should not end up with a liability are the leaseholders, who have acted in good faith throughout. It is the absence of protection for them that, regrettably, causes me to have to support the Lords amendment again today.
My right hon. Friend the Member for North Somerset (Dr Fox) tabled what I thought were constructive amendments, which I was happy to sign. I hope—still; even at this late stage—that the Government will see that there is a basis for progress to be made. As things stand, as my right hon. Friend the Member for Chingford and Woodford Green (Sir Iain Duncan Smith) noted, we have to continue to press the case on the Government. I hope that, if the House rejects the amendments—I hope it will vote for the Lords amendments and deal with the matter—it will give the Government yet a further chance to resolve this matter.
At the end of the day, we are not asking that the taxpayer pick up the burden. We are asking that the leaseholders should be relieved, certainly in the short term, of the pressures that fall upon them and that they are unable to deal with. The Government are in a position to fund the cash flow that leaseholders cannot fund and which is driving them to desperate situations. It is absolutely right that they should then seek to recoup those funds from those who are responsible and who have been at fault. There is nothing in the Lords amendment or the amendments tabled by my right hon. Friend the Member for North Somerset that would prevent that from happening. I urge the Government to think again and recognise that, although the core elements of the Bill are good, collaterally, it does real injustice to innocent leaseholders, such as many in my constituency and elsewhere. For heaven’s sake, can we not find a constructive way forward to achieve the objectives of the Bill and protect innocent leaseholders? Those things should not be mutually incompatible, but at the moment we have not yet found a solution.
I actually think that the Prime Minister framed this debate well, because he told the House on 3 February that
“no leaseholder should have to pay for the unaffordable costs of fixing safety defects that they did not cause and are no fault of their own.”—[Official Report, 3 February 2021; Vol. 688, c. 945.]
Those were his words. No ifs, no buts—it was an unequivocal pledge. Clearly, the Government’s measures so far fall well short of fulfilling it. Today we have the opportunity to address that, because the Lords amendments make good on that failure.
I have spoken previously in the House about leaseholders in the Metis building, Wicker Riverside, Daisy Spring Works and elsewhere in my constituency who face a range of issues with ACM and other cladding, compartmentation, flammable materials wrongly used and other fire safety products. They are trapped in homes that are unsafe and unsaleable, facing bills that will break them—some up to £50,000 each.
Let us remember that we are talking about young people who stretched their budgets to the limit to buy their first home; couples unable to move on when they have their first child; others who cannot take new jobs because they cannot sell; and older people who have sunk their life savings into their flat and have nowhere to turn. They are being put under unbearable pressure and unimaginable mental strain. People have told me they fear collecting their post in the morning because of the bills it might contain. It is simply unacceptable. Today we can end that misery.
Those who say that the costs should not fall on the public purse are right. The developers responsible should pay up, as well as those responsible for failings in the building regulation system. The only way that developers and others responsible will be held to account is if the Government own the problem, urgently undertake remediation and then use the full resources of the state to chase down those responsible. Leaseholders simply cannot do it on their own.
We have that responsibility because successive Governments oversaw a flawed system of building inspections, which signed off so many of these unsafe buildings. These leaseholders are victims of comprehensive regulatory failure. There is a grave injustice here that must be remedied, and the Government must face up to it. Those responsible for the failings should be responsible for putting them right, without any costs falling on leaseholders, either now or in the future through loans schemes.
Many leaseholders have stretched their finances to the limit to buy their home. Some have already been bankrupted. Others are facing ruin. We have to put a stop to it today, so let us put aside other differences and do the right thing by accepting the Lords amendments.