(5 days, 14 hours ago)
Grand CommitteeMy Lords, I am most grateful for the debate today on this group of amendments, which seek to impose regulatory obligations on the tobacco industry. Although in general I would certainly say that I have sympathy for the aims behind these proposals, I suggest that, for the reasons I will go on to outline, they are not necessary in respect of the Bill.
Amendment 192, tabled by the noble Lord, Lord Young of Cookham, seeks to require the Secretary of State to consult on proposals for regulating the prices and profits of, and to raise funds from, tobacco manufacturers and importers. Similarly, Amendment 194 from the noble Earl, Lord Russell, seeks to require the Secretary of State to introduce regulations to raise funds from tobacco manufacturers and retailers.
The noble Earl, Lord Howe, made the first point that I was intending to make. I feel that in many ways —I know not all noble Lords will share this view—we already have a “polluter pays” tax on tobacco, which comes in the form of tobacco duties, as the noble Earl outlined. Overall, throughout, I am very focused on what impact will be made on improving public health and driving down rates of smoking, as I know we all are. I also appreciate that there are different opinions as to how that might be done. It has been pointed out regularly to the Government that the UK has some of the highest tobacco taxes in the world. Duty rates on all tobacco products were increased by 2% above inflation in the Autumn Budget last year, with an additional increase for hand-rolling tobacco to reduce the gap with cigarettes, and this duty raises about £8 billion a year.
I am aware that the noble Lords, Lord Bourne and Lord Scriven, in addition to other noble Lords, are very supportive of these amendments. I am sure that noble Lords who have quoted me accurately today will probably say I should have looked at this before, but I refer back to, as the previous Government will be aware, a previous consultation in 2014, which showed that going down this road would not raise the significant amounts being referred to when you take into account lost duties.
I have spent quite a lot of time with officials and others going through the detail of all this, not least because of my previous comments. Certainly, having had the chance to review the detailed government advice and all that comes with it, which I now have access to as a Minister, I think that the way to reduce the profits of the tobacco industry is to reduce the use of tobacco—I believe I said that on day one in Committee—and by creating a smoke-free generation. That is not just a prize in itself but will have a great impact, in the way I think noble Lords seek, on the industry. It is unclear to me how an additional levy on tobacco industry profits could be implemented without the costs being passed on to consumers—again, there was some concern about that in this debate—or without regulating prices.
The noble Lord, Lord Young, referred to a price cap on tobacco products. Certainly, my investigation into this shows that regulating pricing would be extremely complicated to design and implement, and difficult to shield from abuse and challenge by the global tobacco industry. Therefore, given that, as I just said, our focus is on implementing our smoke-free generation, our judgment is that the benefits do not outweigh the costs.
Therefore, at this stage, to do the job that I believe most people—not everybody, I know—is focused on, our preference would be to continue with what is a proven, effective and understood model of increasing tobacco duties. This approach provides an incentive to those who currently smoke. It incentivises them to quit, which is what we want to focus on, as well as generating revenue to be put back into a full range of public services, including public health and the National Health Service.
I say to the noble Lord, Lord Crisp, who I know is extremely well aware that I am about to say this, that of course tobacco taxation is a matter for His Majesty’s Treasury, and decisions on taxes are reserved for fiscal events. I would be extremely unwise, in my position, to speculate in advance of a forthcoming Budget.
Moving on to Amendment 12—
Houdini would be jealous of the way the Minister ingeniously escaped the trap I set for her earlier, as she tried to reconcile her previous position with what she is now saying. But does she accept that the amendment does not at all ask the Government to introduce a levy? It says:
“The Secretary of State must consult and report on the desirability”.
 
That would enable the Government, and indeed others, to look at some of the issues that the Minister has raised. The 2014 exercise she referred to consulted on a totally different levy, which would have been passed on to the consumer. The difference between the “polluter pays” principle as we propose it and the one that she proposes is that in the case we prefer, it would be the tobacco manufacturers that would pay, whereas relying on the duty, as the Minister seems to, means that the consumer pays.
I agree that Amendment 192, tabled by the noble Lord, would require the Government to consult on introducing a tobacco industry levy, but, as a former Minister himself, he will be aware of the use of consultation. It remains the case that we believe that the most effective model of dealing with tobacco products is through increases in tobacco duty, so it would not be logical to accept an amendment that requires a consultation on something the Government do not wish to pursue. Amendment 194, in the name of the noble Earl, Lord Russell, would require the Government to make regulations to introduce a tobacco industry levy.
Amendment 12, tabled by the noble Baroness, Lady Northover, would require the Secretary of State to lay regulations requiring tobacco manufacturers and importers to publish quarterly data relating to the sale of tobacco products across England and Wales. Similarly, Amendment 148, also tabled by the noble Baroness, Lady Northover, would require regulations made under Clause 95 to require the provision of certain information, including sales data from producers or importers of relevant products. The noble Baroness, Lady Walmsley, also spoke in support of these amendments.
This is perhaps an opportunity to refer back to the words of the noble Baroness, Lady Fox. I heard her concerns about what I said on day one. This is not a question of labelling an industry in any way, but we take very seriously our obligations as a party to the World Health Organization Framework Convention on Tobacco Control. I and the Government are very sympathetic to attempts to increase and improve the transparency of the tobacco industry.
I certainly agree with the observations of the noble Baroness, Lady Northover. We know that deprived areas are more likely to have lower life expectancy and higher smoking rates. That is why we particularly need to press forward with this legislation. It is also why we routinely and proactively publish correspondence received from and sent to the tobacco industry, and have produced guidance for the Government on engagement with the tobacco industry, which protects health policy from the commercial and vested interests of the tobacco industry and encourages transparency in all interactions.
(7 months, 2 weeks ago)
Lords ChamberTo ask His Majesty’s Government what steps they are taking to improve access to NHS dentistry.
My Lords, we are tackling the challenges for patients trying to access NHS dental care by providing 700,000 more urgent dental appointments per year, with integrated care boards delivering those extra appointments from 1 April 2025, which is not long away. We will recruit new dentists to the areas that need them most and to rebuild dentistry in the long term we will reform the dental contract with the sector and shift to focus on prevention and the retention of NHS dentists.
I very much welcome the 700,000 extra appointments, which will begin to make an impact on the 2.2 million people who now need urgent care, but did the noble Baroness read the leader in the Times on Monday which said
“the scandal of NHS dentistry has dogged successive governments without resolution”?
It mentioned the 30,000 children each year who go to hospital to have rotten teeth extracted under anaesthetic and the 18 million adults and children who cannot access an NHS dentist. Does she agree that at the root of this problem is the 2006 dental contract, which has driven dentists out of the profession? When might a new contract be introduced? Given that the most effective public health measure is to add fluoride to the water supply where it does not exist naturally, when will she roll out the programme that has begun in the north-east?
(1 year, 2 months ago)
Lords ChamberTo ask His Majesty’s Government what plans they have to reform social care.
My Lords, adult social care reform is critical to achieving this Government’s aim that everyone lives well for longer. Our vision is to create a national care service underpinned by national standards and delivered locally, supporting people to live independently for as long as possible. We will also establish the first-ever fair pay agreement for care professionals. We will engage widely with the sector and people with lived experience to inform these plans.
My Lords, I welcome the proposals to improve pay and conditions for those working in the adult care sector that the noble Baroness just announced. But is she aware of the widespread dismay at the cancellation of the proposals for reform, due to come in next year, without anything being put in their place, particularly against the background of what Wes Streeting said during the campaign:
“We don’t have any plans to change that situation and that’s the certainty and stability I want to give the system at this stage”?
 
The former Health Minister, Lord Warner, said that the Government’s announcement was “misguided”. He went on to say, on the plans for reform:
“A Royal Commission and a vague aspiration for a National Care Service is … kicking the can along the road”.
 
So should the Government not adopt the proposals put forward unanimously by two Lords Select Committees, chaired by the noble Baroness, Lady Andrews, and the noble Lord, Lord Forsyth, and make progress straightaway?
I understand that, whenever there is a change in direction, there is concern. I take the noble Lord’s point. The inherited commitment to implement the adult social care charging reforms, which would have been on course for next month, was undeliverable because the previous Government did not guarantee the money to do that. It would have cost nearly £1 billion next year, rising to £4 billion by the end of the decade. There were many false dawns in respect of this long—and repeatedly—promised change. It is also the case that there was not adequate preparation to implement the charging reforms. Councils warned that they were impossible to deliver in full in the previously announced timeframe. With all that in mind, I am sorry to say that we, as the new Government, had little alternative but to say that these were not funded or on course to be delivered. We will have to ensure that we offer a national care service, along with a new deal for care workers. We will continue to consult and listen to those with lived experience in order to get it right.