Civil Liability Bill [Lords]

Debate between Rory Stewart and Chris Philp

2nd reading: House of Commons & Money resolution: House of Commons & Programme motion: House of Commons
Tuesday 4th September 2018 Commons Chamber

[The Minister of State, Ministry of Justice (Rory Stewart)]

It has been a great privilege to be able to sit through this debate with an extraordinary number of Members, many of whom have very direct experience as lawyers in the claimant industry or connections to the insurance industry. It has therefore been a very well-informed debate.

Our proposals in this Bill are serious, but to some extent matters of housekeeping. They follow a lengthy and extensive consultation over a number of years, and they attempt essentially to do three things: first, to try to improve the administration of justice in certain key, but relatively limited, ways; secondly, to address some issues around public morality and honesty; and, thirdly, to make sure we guard resources whether in the interests of people paying motor premiums or those who are supporting the NHS.

A number of objections have been made by Members across the Chamber and seven of them have stood out. Four of those I would respectfully and politely disagree with, but three have some real heft and we will take them into account in proceeding with this Bill.

The first of those objections, from the hon. Members for Ashfield (Gloria De Piero) and for Jarrow (Mr Hepburn), largely focused on the questions of damage in the workplace and to people with non-whiplash-related injuries. This is not strictly relevant to this Bill, which deals with whiplash-related injuries. The change in terms of non-whiplash-related injuries is proposed to be from £1,000 to £2,000, roughly in line with RPI since it was set in 1991, and dealing with roughly the same category of cases that were intended when the legislation was first introduced in 1991.

The second issue that has been raised by some hon. Members is that there is no evidence. This will be somewhat depressing for the people who have conducted an extremely extensive consultation, which has taken evidence not only from the insurance industry, as has been suggested, but from the Department for Work and Pensions, from claimant lawyers, from the Medical Reporting Organisation and from a large public consultation.

Thirdly, the hon. Member for Jarrow and, to a certain extent, the hon. Members for Enfield, Southgate (Bambos Charalambous) and for Cardiff Central (Jo Stevens) suggested that very few fraudulent whiplash claims were being made. This is a difficult issue to pursue, as my hon. Friend the Member for Croydon South (Chris Philp) eloquently pointed out, because of the asymmetry of the information. In other words, it is extremely difficult to prove that someone has a whiplash claim because it is, by its very nature, a concealed injury. Nevertheless, the statistics—in particular, those raised by my hon. Friend the Member for Spelthorne (Kwasi Kwarteng)—show that the number of traffic accidents has decreased by a third while the number of claims has gone up by 40%. At the same time, as my hon. Friend the Member for Walsall North (Eddie Hughes) pointed out, cars have become considerably safer. All this suggests that something is going on in relation to these claims.

The fourth objection, raised by the hon. Member for Lewisham West and Penge (Ellie Reeves), related to access to justice. The suggestion was that it was inappropriate to say that people should proceed to a small claims court for claims of under £5,000. The vast majority of existing claims do not proceed to court at all. The district judges who are ruling on these claims are used to dealing with claims of up to £10,000.

The three more serious objections are those that we are addressing. One of them is the idea that the insurance industry will not pass on the savings to motorists in the form of premium savings. As the Secretary of State has indicated, we will therefore be introducing an amendment, which will be with the House shortly and will be available in Committee and on Report, to address this exact concern, which was expressed by the hon. Members for Harrow West (Gareth Thomas), for Leeds East (Richard Burgon) and for Jarrow, and by my hon. Friend the Member for South Leicestershire (Alberto Costa), as well as by the hon. Members for High Peak (Ruth George) and for Hammersmith (Andy Slaughter) .

The second serious concern was about vulnerable road users, and it was raised by my hon. Friend the Member for Chelmsford (Vicky Ford) and by the hon. Members for Cambridge (Daniel Zeichner) and for Brentford and Isleworth (Ruth Cadbury). There, too, we will be introducing changes to ensure that vulnerable road users are excluded from the scope of the Bill and from the raise in the limit. Thirdly, my hon. Friend the Member for Croydon South and others raised concerns around periodic payment orders. The Secretary of State has written to the Master of the Rolls to ensure that PPOs are introduced more frequently, in order to ensure that vulnerable people suffering problems around lifetime care costs are genuinely able to get regular, sustainable and reliable payments out of the insurance industry to sustain them.

[Chris Philp]

Will the Minister give way?

[Rory Stewart]

Very briefly, because I have been told to stop in three minutes.

[Chris Philp]

What does the Minister think of the idea that we might tweak the system so that periodic payment orders became the default setting unless a judge agreed that there was a good reason to do otherwise and make a lump sum payment?

[Rory Stewart]

I am very happy to take that issue offline with my hon. Friend. There is a lot to be said for PPOs.

In essence, there are three fundamental arguments that we would make in favour of the Bill. The first is that we need to ensure that the administration of justice is proportionate and sustainable. As my hon. Friend the Member for Chelmsford has pointed out, the fact that nearly 40% of the costs are currently being absorbed by legal fees is a serious issue. Secondly, we need to ensure that the system is straightforward. As my hon. Friend the Member for North Warwickshire (Craig Tracey) pointed out, the introduction of the portal will ensure that the administration becomes more straightforward. Thirdly, my hon. Friend the Member for Croydon South has pointed out that the introduction of fixed tariffs, on the French model, will make the administration of justice more predictable.

The question of fraud and morality is also at the centre of these changes. As my hon. Friend the Member for Bromley and Chislehurst (Robert Neill) said, fraud does happen, and my hon. Friend the Member for South Norfolk (Mr Bacon) has pointed out that it can often be extremely flagrant. My hon. Friends the Members for Spelthorne and for Walsall North (Eddie Hughes) said that even if we cannot prove every case of fraud, it is at least true that claims are becoming more exaggerated. Indeed, as my hon. Friend the Member for Walsall North also pointed out, that can have medical consequences. To quote the polite words of the New England Journal of Medicine:

“The elimination of compensation for pain and suffering is associated with a decreased incidence and improved prognosis of whiplash injury.”

That was the point made by my hon. Friend about the situation in Greece.

The fundamental point is that the Government have a responsibility to balance the administration of justice and honesty with the broader social costs. As my right hon. Friend the Member for Chipping Barnet (Theresa Villiers) pointed out, insurance premiums have been rising, and we need to take them into account. As my hon. Friends the Members for South Norfolk and for Bexhill and Battle (Huw Merriman), premiums are rising in rural areas in particular. Again, as my hon. Friend the Member for North Warwickshire pointed out, the cost of over £1 billion to the NHS that will be addressed through this legislation is one that is borne by every taxpayer and is causing increasing concern among medical professionals.

This is a serious piece of legislation that addresses various focused points. It comes at the end of an extensive consultation, during which we have made several concessions to address the concerns expressed across the House. During the House of Lords’ consideration of the Bill, we introduced new definitions for whiplash, we involved the Lord Chief Justices in the process, and we adjusted some of the timings for the discount rate. Through this legislation we believe that we can contribute towards a more honest and proportional system that takes into account the significant social costs of exaggerated claims. Through a more simple, predictable, effective and rapid administration of justice, we can protect a range of social and economic interests while balancing the rights of road users, claimants, defendants and, ultimately, citizens as taxpayers.

Question put and agreed to.

Bill accordingly read a Second time.

CIVIL LIABILITY BILL [LORDS] (PROGRAMME)

Motion made, and Question put forthwith (Standing Order No. 83A (7)),

That the following provisions shall apply to the Civil Liability Bill [Lords]:

Committal

(1) The Bill shall be committed to a Public Bill Committee.

Proceedings in Public Bill Committee

(2) Proceedings in the Public Bill Committee shall (so far as not previously concluded) be brought to a conclusion on Tuesday 9 October.

(3) The Public Bill Committee shall have leave to sit twice on the first day on which it meets.

Proceedings on Consideration and up to and including Third Reading

(4) Proceedings on Consideration and any proceedings in legislative grand committee shall (so far as not previously concluded) be brought to a conclusion one hour before the moment of interruption on the day on which proceedings on Consideration are commenced.

(5) Proceedings on Third Reading shall (so far as not previously concluded) be brought to a conclusion at the moment of interruption on that day.

(6) Standing Order No. 83B (Programming committees) shall not apply to proceedings on Consideration and up to and including Third Reading.

Other proceedings

(7) Any other proceedings on the Bill may be programmed.—(Jeremy Quin.)

Question agreed to.

CIVIL LIABILITY BILL [LORDS] (MONEY)

Queen’s recommendation signified.

Motion made, and Question put forthwith (Standing Order No. 52(1)(a)),

That, for the purposes of any Act resulting from the Civil Liability Bill [Lords], it is expedient to authorise the payment out of money provided by Parliament of any expenditure incurred under or by virtue of the Act by the Lord Chancellor.—(Jeremy Quin.)

Question agreed to.

Prisons (Interference with Wireless Telegraphy) Bill

Debate between Rory Stewart and Chris Philp

3rd reading: House of Commons & Report stage: House of Commons
Friday 6th July 2018 Commons Chamber

[Chris Philp]

My hon. Friend makes an extremely good point: this is about not just voice calls, but data. The case studies that I am mentioning illustrate that the use of mobile phones in prisons is not a harmless activity that we perhaps frown upon, but to some degree, can turn a blind eye to. In fact, what we are seeing is the organisation of very serious criminal activity being facilitated by mobile phones. A moment ago, I mentioned an escape involving machine gun-toting masked men.

A second example is that of Imran Bashir, who was incarcerated in HMP Garth in Lancashire. He was using a mobile phone in that prison to co-ordinate a widespread heroin-smuggling and heroin-dealing network, bringing untold misery probably to hundreds of people who were buying and taking heroin. He was running this criminal enterprise via a series of conference calls, which he had organised and was participating in using his mobile phone. My hon. Friend mentioned the use of internet and data. This man was using conference call facilities to organise his criminal network. Had measures such as those in the Bill been in place, it would have been impossible for him to do that.

A third example is that of convicted armed robber Craig Hickinbottom, aged 65. He was serving a prison sentence but was using a mobile phone that was in his possession to run a very well-organised smuggling network, which was bringing prohibited items into not just his prison, but several prisons in Scotland and the north-west. He was only uncovered when cameras on the prison perimeter, which were being used to film wildlife—that might have been an elaborate cover by the authorities—spotted drones flying over the prison walls carrying prohibited material, some of which was suspended on fishing line.

The subsequent investigation revealed that Craig Hickinbottom had been co-ordinating a vast smuggling network over many prisons. More than £1 million-worth of banned material had been smuggled in, including drugs, mobile phones, SIM cards, offensive weapons, a screwdriver—I assume that it was intended to be used as a weapon—a Freeview box and a remote control. He was eventually convicted and given a new prison sentence. All that nefarious activity was facilitated by his having a mobile phone.

The prohibition of mobile phones in prison is no minor matter. I have given just three examples of extraordinarily serious criminal activity being organised and orchestrated using mobile phones. Taking mobile phones out of our prisons will prevent that serious criminal activity. The Bill therefore has my complete support.

I have two questions, either for my hon. Friend the Member for Lewes or for the Minister—if he does not intend to make a speech, I will happily take an intervention. My first question relates to clause 1(2), which states:

“The Secretary of State may authorise a public communications provider to interfere with wireless telegraphy.”

The word “authorise” indicates that a provider can be permitted to do that, but can they be compelled? Can the Secretary of State actually require a provider to jam the signal or in some other way prevent mobile communications? The Secretary of State may authorise it, but what if the provider declines to act? Does the word “authorise” give the Secretary of State enough power? Should it not be replaced with “compel”? I see that the Minister is tempted to intervene, but he is indicating—with extraordinarily dextrous hand signals—that he will return to that point in due course.

My second question does not relate directly to the legislation, but it touches on it. The Bill relates to public communications providers, but is it possible to install equipment in prisons to allow the signal to be jammed independently of the providers? Could the Prison Service bring a portable device into a prison in order to jam the signal?

[The Minister of State, Ministry of Justice (Rory Stewart)]

The answer is yes. We absolutely can take our own devices into prisons in order to do that independently of a mobile phone company.

[Chris Philp]

I am delighted to hear that. Could the Minister elaborate further by commenting on how frequently that is done?

[Rory Stewart]

There are some technological limitations, because the mobile phone company transmits at different frequencies and at different powers. If we were to prevent the use of mobile phones through our own device, we would have to anticipate the frequency and the nature of the transmission. That is what we have done in the past, but it is not always technologically adequate, and that is the reason for the Bill.

[Chris Philp]

I thank the Minister for that thorough answer. I look forward to hearing his comments in due course on whether the word “compel” might be more appropriate than “authorise”.

I strongly support the removal of mobile phones from our prison estate and therefore support the Bill. I strongly encourage the Minister to step up the level of physical searches in prisons. Hopefully he will comment on that too. It is a pleasure to support the Bill, and an even greater pleasure to support my hon. Friend the Member for Lewes.

--- Later in debate ---

[Rory Stewart]

Yes; in essence the point about the mobile telephone is that we need to understand it not as a telephone. It is of course a communications device and as such, particularly in telephonic communication, it can be used to control criminal gangs, but we must also take on board its full use, and understand that it is also a recording device, a way of accessing the internet, and a wallet in which money is contained and through which money can be transferred, and that it therefore can be used to intimidate people—to intimidate witnesses—to run criminal gangs and do all sorts of things right through to piloting a drone through a window. Once we understand that, we begin to understand that this device is a weapon, not a communications device, and what follows from that are all the things Members have raised in terms of criminality: the importing of illicit substances, the accessing of illicit entertainment, the making of illicit money, the running of illicit gangs, the extortion of money, the undermining of a prison regime, the committing of crime, its use for terrorism and for promoting disturbances, and create victims through social media.

All of which brings me finally back to the legislation itself. On the surface, this Bill seems very straightforward, and in fact of course, as Members have pointed out, the core of this legislation sits at proposed new subsection (2A) to the Prisons (Interference with Wireless Telegraphy) Act 2012:

“The Secretary of State may authorise a public communications provider to interfere with wireless telegraphy.”

The key point here is that it is addressed to the public communications provider rather than, as is the case in the 2012 legislation, to the governor of a prison or the director of a private prison.

[Chris Philp]

I touched in my speech on a question about this proposed provision, asking whether the word “authorise” confers adequate power on a Minister or Secretary of State: if they authorise someone to do something, they may not follow that authorisation—they may ignore him. Should that word therefore be changed to “compel” or “require” in order to give the Secretary of State the power he or she needs?

[Rory Stewart]

That is an interesting question, and the answer is that, as currently drafted, this word “authorise” means exactly that: it is giving legal permission. The anxiety of the mobile telephone companies would be that without that authorisation, were they to conduct these operations they would be in breach of Ofcom regulations and ultimately in breach of article 8 of the Human Rights Act 1998. Under this legislation therefore, all we are doing is saying to a willing mobile telephone company that, should it voluntarily wish to work with us, this gives it the authority to do so.

My hon. Friend the Member for Croydon South has raised an interesting point, however. What would happen if the mobile telephone company were to turn round and refuse to comply? To some extent that is hypothetical, because we have not yet encountered a mobile telephone provider that is not prepared to work with us on this, for a range of reasons. The mobile telephone companies’ relationship with Ofcom and the Government is complex, deep and interlinked, and they generally wish to retain the goodwill of the Government. It is also true that in some cases we would have a commercial contract with a mobile telephone company to undertake this work, so it would have a financial interest in working with us. Hypothetically, however, it remains the case that under this legislation, a mobile telephone company would be able to refuse to provide the service. We do not believe that it would do so, but my hon. Friend is absolutely correct to say that, theoretically, it could do so under this legislation.

--- Later in debate ---

[Rory Stewart]

That is an enormous relief.

[Chris Philp]

The Minister has mentioned the word “authorise” again. I heard his clarification earlier. As the Bill is drafted, the mobile phone companies would not be absolutely required to comply, but can he confirm that it is the expectation and the intention of the Government—and, I think, of this House—that when the Government ask a public communications provider to interfere with wireless telegraphy in a prison, it will comply with that request, and that the Government and the House would take a dim view if any public communications provider did not comply with such a request?

[Rory Stewart]

Without wishing to sound like Mr Speaker, I think my hon. Friend has made his point with great force and clarity, and I am sure that anyone listening to the debate will have taken on board his message very clearly.

In conclusion, I should like to thank hon. and right hon. Members for their patience. This has been a relatively long debate, and we have touched in extreme and excruciating detail on the philosophical foundations of the legislation, as well as on the technological applications of mobile telephones. It has been a really worthwhile debate. Having spoken at some length, I want to finish with a short moment of sincerity to thank my hon. Friend the Member for Lewes, in particular, and also other right hon. and hon. Members for their often intelligent, interesting and illuminating contributions. The Bill matters: it goes to the heart of how prisons are run, what they exist for, how we punish someone and what a prisoner can do from within a prison’s walls to intimidate prison officers and other prisoners, profit themselves and organise crime in broader society.

Giving Government the power to ensure that these illegal acts, currently punishable by a maximum sentence of up to two years in prison, can be prevented with the latest technology and the consent of mobile telephone operators, which will allow us to pinpoint the devices, block them and follow their traffic, will be an extraordinary contribution to reducing drugs, violence and disorder in prisons, making them safer and more decent, and ultimately protecting the broader public.