House of Lords Appointments Commission

Baroness Wheatcroft Excerpts

Monday 6th September 2021 Lords Chamber

[Baroness Wheatcroft (CB)]

My Lords, according to today’s Times, the publisher of Burke’s Peerage put in a draft letter to Mahfouz Marei Mubarak, saying that his donations to Prince Charles’s charity would ensure him a knighthood, followed by membership of the House of Lords. We do not know if that letter was sent, but we do know that Mr Mubarak received a CBE and that the author of the letter was instrumental in getting that. We also know that this episode can only add to the belief that membership of your Lordships’ House can be purchased.

Unfortunately, the actions of this Government have given credence to this view—most notably, as the noble Lord, Lord Foulkes, has pointed out, in the case of the Prime Minister’s decision to appoint as a Peer someone whom the House of Lords Appointments Commission had vetoed but who had given large sums to the Conservative Party. That this decision was rewarded by the new Peer making a further substantial donation to the party perhaps should not have been surprising.

It will only further damage the standing of this House if such behaviour occurs again. The noble Baronesses, Lady Meyer and Lady Noakes, may defend the power of patronage in the Prime Minister, but surely that power can exist only if it is to be used responsibly. Putting the Appointments Commission on a statutory footing would ensure that it could only be used that way. The noble Lord, Lord Jay of Ewelme, who chaired the commission between 2008 and 2013, expressed the view even then that it needed the powers of a statutory body, and that is even more the case today.

European Union (Future Relationship) Act 2020 (References to the Trade and Cooperation Agreement) Regulations 2021

Baroness Wheatcroft Excerpts

Wednesday 21st July 2021 Grand Committee

[Baroness Wheatcroft (CB)]

My Lords, I thank the Minister for introducing these regulations in such a straightforward way, and I thank him even more for not going into any more examples of the effect that they will have. Given the fact that they moved from 780 articles to 783, there was clearly scope for him to have at least filled up his full allocation of time with examples that we really do not need. As he said, this is a technical regulation, and I am sure that noble Lords will support it. However, I fear that it will not provide the clarity and do away with the confusion that exists in matters of the TCA that the Minister referred to. I will highlight a couple of issues.

First, on the product conformity rules, at the moment, the UK largely recognises the CE designation on UK and EU products but will not continue doing that after January 2022. Can the Minister assure me that businesses are being made fully aware of the fact that, come January 2022, products bearing the CE designation will not be acceptable in the UK and will have to have the UK designation for safety requirements upon them?

Secondly, I will go into the issue of the Northern Ireland protocol and the how it affects UK trade and the TCA. When that TCA was introduced, the British Government, in a statement updated this month, said that the TCA, agreed in December,

“changes the basis of our relationship with our European neighbours from EU law to free trade and friendly cooperation.”

Today we are told by the Minister, the noble Lord, Lord Frost, that we are seeing a relationship which is punctuated with legal challenges, characterised by disagreement and mistrust. That sounds rather different from what was envisaged when we went into this business.

Now that we have embarked on a new attempt to try to restructure what was always destined for failure—the Northern Ireland protocol—and negotiations are going to be extremely difficult, does the Minister believe the time may have arrived for us to change negotiators and have a fresh start for a fresh relationship that might be based on trust rather than the mistrust which the noble Lord, Lord Frost, says exists at the moment? Might he also bear in mind, when those renegotiations take place, something the German Government said on 5 July of this year when referring to the trade and co-operation agreement? They said that

“Although the European Union would have wished it, unfortunately the agreement does not contain any provisions on cooperation in the sphere of foreign and security policy.”


That seems a significant lack, and I know that others in the House agree. Might the Minister consider whether this is the opportunity to try, in a spirit of co-operation and trust, to reinstitute co-operation in the sphere of foreign and security policy?

Protocol on Ireland/Northern Ireland

Baroness Wheatcroft Excerpts

Thursday 24th June 2021 Lords Chamber

[Lord Frost (Con)]

I give both sides the courtesy of believing that they are negotiating in good faith. I am sure they are but, as I said frequently in the negotiations last year, the European Union spent a bit too much time speculating on our intentions and not looking at actions and what we said. To turn that principle around, we look at the actions of the European Union on Northern Ireland and the things it does and says about the protocol. Those actions and words, in the way we are operating the protocol, cause the difficulties we are facing, so I urge, as we always do, thought about pragmatic and proportionate solutions as the way forward.

[Baroness Wheatcroft (CB)]

My Lords, on 7 November 2019, the Prime Minister said of the Northern Ireland protocol:

“There will be no forms, no checks, no barriers of any kind.”


Can the Minister say how the Prime Minister reached that conclusion?

[Lord Frost (Con)]

At the time, we faced the need to find pragmatic and proportionate ways to implement the protocol in a balanced way, respecting all the dimensions of the Belfast/Good Friday agreement—east-west, as well as north-south. If we are to find a solution, it will be in re-establishing that balance and making sure that east-west trade is subject to as few difficulties as possible, so that the balance in these arrangements can be re-established.

UK–EU Trade and Co-operation Agreement: Meetings of Bodies

Baroness Wheatcroft Excerpts

Thursday 27th May 2021 Lords Chamber

[Lord Frost (Con)]

My Lords, unfortunately, I am not sure that I agree with my noble friend that we would be in a significantly different position if that committee had met. There have been quite a lot of discussions on SPS issues in various contexts over the past few months, although the committee has not met formally, and we have not managed to find constructive agreements on that subject—although we keep trying. I am confident that the committee will meet before the summer break, and of course we continue to discuss these matters extensively with the EU.

[Baroness Wheatcroft (CB)]

My Lords, in negotiating the TCA, the UK Government succeeded in putting the UK’s extradition arrangements with the EU on a similar unbalanced footing to those with the US. We continue to extradite to the EU, but 20 EU countries will not extradite directly here. Are negotiations going on to try to rectify that?

[Lord Frost (Con)]

My Lords, extradition arrangements were indeed the subject of quite a large part of the negotiations, and in our view—the Government’s view—the agreement that we reached with the EU deals with many of the defects that were present in the earlier European arrest warrant system. It is part of the standard way in which extradition arrangements work that member states can, in certain circumstances, refuse to extradite their own nationals, and some member states have made that clear. We continue to discuss this issue with the Commission and all the member states concerned.

Money Laundering and Terrorist Financing (Amendment) (High-Risk Countries) Regulations 2021

Baroness Wheatcroft Excerpts

Tuesday 27th April 2021 Grand Committee

[Baroness Wheatcroft (CB) [V]]

My Lords, I thank the Minister for introducing this statutory instrument in his usual straightforward manner. I support it and, for once, I cannot quibble with its need for a hasty introduction within the 21-day limit. In the fight against money laundering and the financing of terrorism no time should be wasted. The need to add new countries to the list surely takes precedence over the need for a 21-day period before the legislation can come into force.

The Government have decided that they no longer want to be bound by the European Commission’s list of states which require extra money laundering precautions. They have opted instead to adhere to the Financial Action Task Force list although, in practice, this amounts to a very little change.

The need for vigilance is clear. The threat of terrorism is omnipresent. The Islamic State in Iraq and the Levant—ISIS—continues to pose a threat, as it has access to resources which enable it to carry out or inspire terrorist attacks. Al-Qaeda and its various affiliates still pose a threat, and there are countless hostile forces, both organised and rogue, which can do harm to civilised nations. The proceeds of money laundering are their cash in hand. Money laundering is certainly not a victimless crime. It needs to be hounded out and this legislation is part of the process.

The Financial Action Task Force has set itself up as the global money laundering and terrorist financing watchdog. More than 200 countries and jurisdictions are signed up to its policies. However, I wonder whether its methods are any longer entirely reliable in giving us the list we require. For instance, Russia does not feature on the list of countries which should be subject to increased vigilance. I wonder why. We are told by FATF that Russia has an in-depth understanding of its money laundering and terrorist financing risks and that it has policies and laws to address these risks. That might be enough for the FATF, but can the Minister tell us whether it is enough for the British Government? Do they feel comfortable with the FATF list about where particular vulnerabilities lie? It seems to me—and to others—that Russia has a framework aimed at preserving what it wants to preserve and not at protecting the rest of the world from money laundering.

Richard Gordon, the director of the Financial Integrity Institute at Case Western Reserve University, points out that what the FATF endeavours to measure is not results but the processes that are in place to detect and deal with money laundering. None of the measures takes account of political concentration or a lack of independence of the judiciary. They would not serve to protect external countries from a threat posed by money laundering to fund terrorism.

Terrorism comes in many shapes. Russia is known to like to interfere with electoral processes, both in the US—where sanctions are now being imposed on it because of that—and in the UK, where its interference in our elections and our referendums is now clear. That interference is funded by money laundering. Does the Minister think that the FATF list should be the one on which we place such reliance, or should we go further with our new-found independence and construct our own list?

Taskforce on Innovation, Growth and Regulatory Reform

Baroness Wheatcroft Excerpts

Wednesday 17th March 2021 Lords Chamber

[Lord True (Con)]

My Lords, I did not say that the results were not going to be published, but that it would be a matter for the Prime Minister whether they will be. That will happen after the report is presented, at the end of April. On the specific issues concerned, as I have said before, I will draw my noble friend’s points to the attention to those responsible. I am sure that within the terms of reference it would be open to them to look at some of the issues she describes.

[Baroness Wheatcroft (CB) [V]]

On 31 January, Sir Iain Duncan Smith wrote in the Daily Telegraph that

“Despite what the naysayers have said, their worst predictions have not come to pass—goods continue to flow”.


In fact, the ONS reports that exports to the EU were down 40% in January, in part due to the increased regulation brought about by Brexit. Does the Minister believe that Sir Iain Duncan Smith will bring a suitably realistic approach to chairing the task force, rather than the sort of blue-sky thinking in that Telegraph article?

[Lord True (Con)]

My Lords, my right honourable friend Sir Iain Duncan Smith has an extraordinarily distinguished record in government in working on behalf of underprivileged people and the poor. I am sure that he will bring a very open mind to this task.

Budget Statement

Baroness Wheatcroft Excerpts

Friday 12th March 2021 Lords Chamber

[Baroness Wheatcroft (CB) [V]]

My Lords, I congratulate those making their maiden speeches today. In particular I am delighted to welcome the noble Baroness, Lady Foster, to the House. We first met at sea—appropriately, given her transport interests—and I am sure her knowledge will benefit the House.

This was a very limited Budget for a country faced with the double whammy of Covid and Brexit. I agree with the noble Baroness, Lady Bottomley, that this was a missed opportunity to deal with the issue of properly funding social care. Having witnessed the tragedy that killed so many in our care homes, surely the people of the UK would have been ready and willing to confront what must be done to ensure adequate funding of social care.

The Chancellor had to offer continuing help to those whose jobs had been hit by Covid, and I welcome the steps he has taken in that direction. However, there is more that he could and should have done. Others have talked about the perilous state of our music industry and musicians; some believe that the industry could be reduced by half unless steps are taken to ease freedom of movement for the sector. I have two specific asks, which I hope the Minister might address in his closing remarks. Here I declare my interest as chairman of the Association of Leading Visitor Attractions.

Theatres and music festivals are major contributors to the UK economy but have been among the hardest hit victims of Covid. They are desperate to get back to work but, if they are to incur the heavy costs involved in preparing for a production or festival, they need insurance. The insurance market will not provide that at anything like an affordable rate without government underwriting it. The Government have already provided that for film and television; please could they do the same for theatres and festivals?

I also make a plea on behalf of visitor attractions. For the second time, the sector will not be open over Easter even though non-essentials shops will. Here is my second ask, which I am sure the country would welcome. Could we have a special bank holiday in September? All being well, it would be a celebration of a hugely successful vaccination campaign, but it would also allow indoor attractions to benefit from bank holiday trade.

[The Deputy Speaker (Lord Faulkner of Worcester) (Lab)]

The noble Lord, Lord Duncan of Springbank, has been unable to join the call so I call the noble Baroness, Lady Kramer.

Space Industry

Baroness Wheatcroft Excerpts

Thursday 4th March 2021 Grand Committee

[Baroness Wheatcroft (CB) [V]]

I welcome today’s maiden speakers and thank the noble Lord, Lord Willetts, for the way in which he introduced this debate. I was interested to hear his positive comments on OneWeb, which were particularly striking in contrast to the remarks others have made on that issue. Following the latest fundraising for OneWeb, can the Minister tell us where the country’s holding in that company now stands? It had been 42.2% and I wonder whether it has been significantly diluted. Could he also tell the Committee how much money was spent on trying to develop our own GPS system, a scheme that has now been abandoned?

More positively, astronauts such as Chris Hadfield are now talking about colonising the moon. NASA is setting up a lunar village, or has plans to. Can the Minister say whether the government’s space strategy will be similarly forward looking? Can he also tell us how we are regulating commercial activity in space?

Essential Services: Large-scale Technology

Baroness Wheatcroft Excerpts

Tuesday 12th January 2021 Lords Chamber

[Baroness Wheatcroft (CB) [V]]

My Lords, one of the biggest risks of reliance on large-scale technology is the eradication of so many traditional jobs. Would the Minister consider offering retraining to many of the people currently paid to do nothing on the excellent furlough scheme whose jobs are unlikely to have a long-term future?

[Lord True (Con)]

My Lords, the training challenge and broader apprenticeship challenge is ongoing, immense and growing, and I agree with the importance which the noble Baroness attaches to it. The Government are helping to promote cyber skills among young people to fill the shortages in that capacity.

EU-UK Trade and Cooperation Agreement

Baroness Wheatcroft Excerpts

Friday 8th January 2021 Lords Chamber

[Baroness Wheatcroft (CB) [V]]

My Lords, it is a pleasure to follow the noble Lord, Lord Alderdice, as I agree with everything he said. The Minister said that any deal was a compromise but, while the UK Government laud their success in the negotiations and the Prime Minister declared that we have succeeded in

“having our cake and eating it”,

that is not the case. The EU interpretation of the deal is naturally very different. It points out that

“the Trade and Cooperation Agreement does not cover any decisions relating to equivalences for”,

among other things,

“the UK data protection regime, or the assessment of the UK’s sanitary and phytosanitary regime for the purpose of listing it as a third country allowed to export food products to the EU. Indeed, these are unilateral decisions of the EU and are not subject to negotiation.”

The impacts of that are already being felt. While there has been government triumphalism over the issue of fishing, our shellfish industry faces decimation. Much of its produce was exported to the EU, but now there are huge new obstacles, both bureaucratic and financial. Could the Minister comment on that?

This agreement is better than nothing, but it is dividing the country. There is now a border in the North Sea. The Government consistently try to deny this, but there is now an effective border between Great Britain and Northern Ireland. We have seen how this has affected Sainsbury’s. The Kennel Club, no less, is also deeply concerned about the new obstacles facing those in Northern Ireland who wish to compete in dog shows in Great Britain. The horseracing industry in Ireland is very concerned about how it will face bureaucratic challenges and more expense. These charges can make life prohibitive. This is a tiny example of the deleterious impact of this deal. Far from having our cake and eating it, we will be going increasingly hungry.