Oral Answers to Questions Debate

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Department: Ministry of Justice

Oral Answers to Questions

Richard Burgon Excerpts
Tuesday 7th March 2017

(7 years, 9 months ago)

Commons Chamber
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Phillip Lee Portrait Dr Lee
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Specifically in the youth justice system, I believe that the most important thing is to ensure that when young people are in custody, we take every opportunity to treat them if they have mental health problems and to provide the necessary education for future employment prospects, so that when they leave the institution, they are less likely to reoffend.

Richard Burgon Portrait Richard Burgon (Leeds East) (Lab)
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It has been reported that Working Links, an outsourcing company criticised for its handling of probation services, including for failures in Wales and the south-west, is the company that it is in talks to buy Oakhill secure training centre from G4S. Is it part of the Justice Secretary’s reforms to youth justice to allow private companies with no experience in youth justice to run our youth custody centres?

Phillip Lee Portrait Dr Lee
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It is not about ruling out whether private or public organisations should provide care in the youth justice system. I point out to the hon. Gentleman that the original contract for Oakhill was signed in 2005, and the terms of the contract were set then.

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Oliver Heald Portrait Sir Oliver Heald
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In those circumstances, my hon. Friend showed the strength of character that I would have expected of him. It was, of course, shocking to hear from colleagues, during our Westminster Hall debate, of the experiences that they and their constituents had had of this dreadful cold calling. People are being begged to start proceedings when they have not had an injury.

Richard Burgon Portrait Richard Burgon (Leeds East) (Lab)
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The Minister claims that there is a compensation culture surrounding whiplash when, in reality, the number of claims has been falling for five years. Even if that were true, however, I should like to know why he is penalising workers throughout the country by increasing the personal injury limit to £2,000, rather than focusing solely on whiplash.

Oliver Heald Portrait Sir Oliver Heald
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I am glad to hear the hon. Gentleman—with his background as a personal injury lawyer—raising those concerns. [Laughter.] I see another one behind him, waiting to ask a question.

The simple answer is that it was right to increase the personal injury small claims limit to £2,000. That just reflects inflation. The last increase was in 1991, so it is time for another. As for the whiplash cases, I stand by the £5,000 limit, which I think will get rid of the exaggerated claims.

Richard Burgon Portrait Richard Burgon
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The Minister has mentioned inflation. In his 2009 review of civil litigation costs, Lord Justice Jackson opposed any increase in the small claims limit until inflation justified an increase to £1,500. The Government now propose to increase it to £5,000. Can the Minister explain, here and now, precisely how that specific figure was arrived at?

Oliver Heald Portrait Sir Oliver Heald
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As the hon. Gentleman knows, we are plagued by a series of minor, exaggerated and fraudulent whiplash claims, and we want to tackle that. We believe that the combination of no settlement of claims without a medical report, the tariffs in the Bill, and the raising of the small claims threshold will disincentivise those claims. The hon. Gentleman should also bear in mind that the limit for ordinary money small claims is £10,000.