Youth Justice Board

Lord McNally Excerpts
Wednesday 8th December 2010

(15 years, 7 months ago)

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Lord Bishop of Liverpool Portrait The Lord Bishop of Liverpool
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To ask Her Majesty’s Government how, when taking the Youth Justice Board into the Ministry of Justice, they will ensure that there remains a distinct focus on youth justice separate from the adult system.

Lord McNally Portrait The Minister of State, Ministry of Justice (Lord McNally)
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My Lords, the Government are committed to maintaining a distinct focus on the needs of children and young people in the youth justice system. By integrating the Youth Justice Board into the Ministry of Justice, we will bring together the existing experience and knowledge of the YJB and the MoJ. Independent oversight of the youth justice system is no longer required and the MoJ is best placed to lead an effective system going forward that builds on the improvements that have already been made.

Lord Bishop of Liverpool Portrait The Lord Bishop of Liverpool
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My Lords, I thank the Minister for his Answer and for the Green Paper. He will know that in the past two years of the Youth Justice Board’s operation there has been a reduction of some 27 per cent in the use of custody for young offenders. How will this strategy be taken forward in the Ministry of Justice, especially in the light of the decentralising emphasis of the Green Paper?

Lord McNally Portrait Lord McNally
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My Lords, in many ways, the YJB is a success story. In the late 1990s, youth services were Cinderella organisations but they are also mainly the responsibility of local authorities. We are ensuring that the system is decentralised and devolved in a positive way. In the past few years, there has been a very successful move away from putting young people into custody and towards using other methods, which has brought about the reduction. We will continue to encourage and follow this process.

Lord Ramsbotham Portrait Lord Ramsbotham
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My Lords, I was the Chief Inspector of Prisons when the Youth Justice Board was introduced. I entirely agree with the Minister that the board has been a success story. One of the very telling things that occurred was that, at last, a named person was responsible and accountable for looking after these people—and that told. Can the Minister say whether, when the arrangements are changed, there will be someone in the system who is responsible and accountable for young people?

Lord McNally Portrait Lord McNally
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Most certainly so. I have made it very clear that the Ministry of Justice is taking on the responsibility for continuing a success story. Therefore, what is put in place to carry forward these responsibilities must maintain that very clear and distinct responsibility for the service. I assure noble Lords that the new system will reflect that kind of structure.

Lord Clinton-Davis Portrait Lord Clinton-Davis
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Why change something that has been so successful? Is change for change’s sake the watchword of this Government?

Lord McNally Portrait Lord McNally
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I am sorry to hear that barb at the end. The job of the Youth Justice Board was to establish an effective, local system of operating youth justice, which is now carried out by the youth offending teams. Therefore, this extra layer of administration and control is not required. That success means that youth justice is now under local control and is carried out by youth offending teams. We at the Ministry of Justice will carry out an arm’s-length supervisory role, but youth justice is a local responsibility that will be carried out at local level.

Lord Elton Portrait Lord Elton
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My Lords, to complete the reply to the noble Lord, Lord Ramsbotham, could the Minister kindly tell us which Minister within the department will be responsible for children within the criminal justice system?

Lord McNally Portrait Lord McNally
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I could do so only when the necessary legislation is passed.

None Portrait Noble Lords
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Oh!

Lord McNally Portrait Lord McNally
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I would love to say that the relevant Minister would be Mr X or Mr Y, or even Lord B, but the appropriate time for that is when the legislation has gone through. It is no use the Front Bench clucking—they know darn well that this process has to be gone through. There are transitional arrangements to be made, and at the appropriate time, the appropriate line of responsibility will be defined very clearly. I can assure noble Lords of that.

Baroness Scotland of Asthal Portrait Baroness Scotland of Asthal
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My Lords, is not the noble Lord rather dismayed by his own answer? Cannot he tell us which officeholder will be responsible for this role? The noble Lord knows perfectly well that, before we introduced the Youth Justice Board, the criminal justice system’s response to young people was in a parlous state. The noble Lord is quite right to say that the Youth Justice Board has been a total success, as it has reduced the level of young people coming into the criminal justice system. The board does exactly what the Lord Chancellor wants in reducing prisoner numbers. Can the noble Lord tell us, first, why the board is being changed and, secondly, how it will be changed for the better?

Lord McNally Portrait Lord McNally
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That is extraordinary from someone who has held the position that the noble and learned Baroness has held. The straight answer is that, because the board is coming into the Ministry of Justice, the responsibility will be that of the Lord Chancellor and Secretary of State for Justice. That is very clear. However, within the Ministry of Justice, we are in a transition period. We are going through this along with the Youth Justice Board, which is co-operating very effectively in the transition. When those lines of responsibility are cleared and when the legislation has cleared Parliament, we will be able to go ahead with implementation and those lines will be clear. As I said, I acknowledge that the system of youth justice has moved from being a Cinderella organisation in the 1990s to one that has been extremely effective, but we are now removing that layer of national control to ensure that there is proper, local responsibility by devolving responsibility to youth offending teams. That was also part of the initial plans that the previous Government put in place.

Lord Thomas of Gresford Portrait Lord Thomas of Gresford
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Will my noble friend consider, in the medium term, investigating the way that youth justice operates and replacing youth courts with something along the lines of the children’s panels that operate very successfully in Scotland, in which the magistrates sit down together with parents and social workers to try to work out the proper solution for the individual offender?

Lord McNally Portrait Lord McNally
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That is the kind of constructive suggestion that I hope will come forward from the Green Paper that my department published yesterday. The Green Paper shows that we have been successful in establishing youth justice as a priority in our system, as the paper has a distinct chapter on youth justice. There is an invitation to all parts of this House—and indeed to all bodies—to feed in constructive views. This is not the end of the youth justice story. The Youth Justice Board has been a successful chapter and we intend to carry on with that work. We will study ideas that come from the Scottish and Northern Irish systems.

Rehabilitation and Sentencing

Lord McNally Excerpts
Tuesday 7th December 2010

(15 years, 7 months ago)

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Lord McNally Portrait The Minister of State, Ministry of Justice (Lord McNally)
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My Lords, with the leave of the House, I will now repeat a Statement made in another place by my right honourable friend the Lord Chancellor and Secretary of State for Justice. The Statement is as follows.

“On 12 May, we said in our programme for Government that we would conduct a full assessment of rehabilitation and sentencing policy to pave the way for a radical reform to the criminal justice system. I have laid before Parliament the Green Paper entitled Breaking the Cycle: Effective Punishment, Rehabilitation and Sentencing of Offenders. This sets out our initial conclusions from this work on which we will be consulting widely over the next 12 weeks.

Despite record spending we are not delivering what really matters. Society has a right to expect the criminal justice system to protect it. Prison will always be the right place for serious and dangerous offenders. Criminals should be properly punished. Prisons should be places of hard work and industry, and community sentences must be credible and robust. Criminals must also be reformed so that when they finish their sentence they do not simply return to their life of crime, creating more misery for victims. The criminal justice system falls short of what is required. Around half of offenders released from prison reoffend within a year. Reoffending rates for young offenders sentenced to custodial or community sentences are even worse. It is not acceptable that three-quarters of offenders sentenced to youth custody reoffend within a year. If we do not stop offending by young people, these young offenders of today will become the prolific career criminals of tomorrow.

We cannot let this continue. Solving these problems requires a radically different approach. Criminals must face robust and demanding punishments. This means making them work hard, both in prison and in the community. More prisoners will face the tough discipline of regular working hours. This has been lacking in prison regimes for too long. Community sentences will be more credible, with more demanding work and greater use of tough curfew requirements. There will be greater reparation to victims through increased use of restorative justice and by implementing the Prisoners’ Earnings Act. We will bring forward other changes to make sure that more offenders directly compensate the victims of crime.

However, we will take a new approach to the reform of offenders. I regard prison, first and foremost, as a place of punishment where people lose their liberty as reparation for what they have done. On top of that, prison cannot continue to be simply an expensive way of giving communities a break. We must give higher priority to getting more prisoners to go straight on release. Offenders will face a tough and co-ordinated response from the police, probation and other services. It will mean that they must either address the problems that fuel their criminal activity or be caught and punished. It will mean taking action to get offenders off drugs. It will mean reducing the abuse of alcohol. It will mean improving the treatment available to those suffering mental illness. It will mean getting more of them off benefits and into honest employment so that they pay their own way.

We will be bringing forward a revolutionary shift in the way rehabilitation is financed and delivered. We will begin by commissioning a range of providers to administer at least six new projects over the next two years. They will be paid for the results they achieve. I intend to apply the principles of that approach across the whole system by the end of this Parliament. We will also test this payment-by-results approach with young offenders and devolve more responsibility for preventing and tackling youth offending to local communities. We will introduce more competition across offender management services to drive up standards and deliver value for money for the taxpayer. We will increase discretion for public sector providers and front-line professionals.

The sentencing framework must provide courts with a range of options to punish and rehabilitate criminals and keep the public safe. The sentencing framework has developed in an ad hoc fashion with more than 20 Acts of Parliament changing sentencing in the last 10 years. This has left it overly complex, difficult to interpret and administer, and hard for the public to understand. We need to make better use of prison and community sentences to punish offenders and improve public safety, while ensuring that sentencing supports our aims of improved rehabilitation and increased reparation to victims and society. We will simplify the sentencing framework in order to make it more comprehensible to the public and to enhance judicial independence. We will reform community orders to give providers more discretion. We will encourage greater use of financial penalties and improve their collection.

We will bring forward reforms to the indeterminate sentence of imprisonment for public protection—the IPP. This sentence has been much more widely used than was intended since its introduction in the Criminal Justice Act 2003. Indeed, the last Government had already changed it since its introduction. We will reserve IPP sentences for the most serious offenders and focus indefinite punishment on those who most clearly pose a very serious risk of future harm. Of course, prisoners who in future do not receive an IPP sentence will instead receive long determinate sentences. This will enable us to restore clarity in sentencing, plan rehabilitation and target punishment more effectively to protect the public.

Let me assure the House that public safety remains our first priority. We will continue to ensure that serious and dangerous offenders are managed effectively and that their risk is reduced through appropriate use of prison and through multiagency public protection arrangements. Let me also assure the House that we will also ensure effective responses to knife crime. Knife crime is wholly unacceptable. It causes misery for victims and is often connected to the kind of gang violence that can wreck whole communities. The government position is clear. Any adult who commits a crime using a knife can expect to be sent to prison, and serious offenders can expect a long sentence. For juveniles, imprisonment is always available and will also be appropriate for serious offenders.

The Green Paper is an important change of direction in penal policy which will put more emphasis on reducing reoffending without reducing the punishment of offenders. By reforming criminals and turning them away from a life of crime, we will break the cycle. This will mean fewer crimes, fewer victims and safer communities. The Government will make a further Statement to the House when they publish their response to the consultation. In the mean time, I commend this Statement to the House”.

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Lord McNally Portrait Lord McNally
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My Lords, I thank the noble Lord, Lord Bach, for his questions and for his response. I hope that we can address this Green Paper in the way in which it has been presented to the country: as a really good, constructive, national debate about our criminal justice system. Therefore, I do not deny that many reforms were carried through by the previous Government that we have learnt from and which we shall try to develop. I am not really worried about the little bit of party politics on manifesto commitments. I know they play that game much more at the other end. This is a real attempt, in the six months in which we have been in office, to look at prison numbers. We need to look at the fact that they have doubled over the past 15 years.

Central to this paper is reoffending. More than half the people going through the system reoffend—75 per cent of young people reoffend—which makes us think that it is worth taking a serious look at what has been termed a rehabilitation revolution. In looking at offending and reoffending, it does not take rocket science to work out that issues come up time and time again. When I went to a secure training centre at Medway, one of the guys who showed me around said that one of the tragedies is that most of these boys have had only passing contact with education throughout their lives. We all know the evidence of illiteracy, innumeracy, homelessness, drug addiction, alcohol dependency, long-term unemployment and social disruption at home. They are all there and we are looking to see whether we can make dents into that.

I know that the Lord Chancellor and Secretary of State for Justice is sometimes unorthodox in his replies, but I look around at some of those who have experience of trying to run the system and anyone who bets the House on the success of any strategy is reckless indeed. We are bringing forward for public debate and public consultation an invitation for people to look at the central issue of reoffending, which goes right through the system, and to address it in a way that maintains and increases public confidence. I entirely accept that the crime rate fell during the Labour Government. We have not denied—and it is made out in the paper—that prison works in certain circumstances, but the reoffending rate also suggests that in other circumstances it does not. We are not trying to deny the experience of the past 15 years, but we are trying to learn from some of the downsides as well as the upsides.

Equally, I pay tribute to the work of two landmark reports produced during the previous Administration by the noble Baroness, Lady Corston, and the noble Lord, Lord Bradley. Certainly the advice in the report by the noble Lord, Lord Bradley, will be very much reflected in the Statement on drugs and drug treatment that I expect to be made imminently, as will the report by the noble Baroness, Lady Corston, on the treatment of women offenders. Throughout the Green Paper, I think you will find a genuine attempt to reflect some of the recommendations that she made, along with a central commitment to continue to try to drive down the still unacceptably high number of women in our prison system.

The noble Lord asked whether I would publish assumptions. Our initial assumptions have been published in the impact assessment accompanying the Green Paper. As the policy proposals are firmed up following consultation, we will update and publish those impact assessments. He also asked for assurances that offenders with particular mental health problems will be treated in secure settings. Our proposals offer liaison and diversion schemes that will assess offenders for mental illness as well as their risk to the public. We will make sure that any treatment is in suitably secure settings. One of the good things that we are carrying through in trying to deal with the report by the noble Lord, Lord Bradley, is close liaison with the Department of Health in taking forward that policy. There will be no mass releases of the 6,000-plus people now held on IPPs. Any decisions about release will be taken on a close assessment of the existing danger to the community and very close management of those released.

The noble Lord also mentioned the Probation Service. Some of what we are doing will be a challenge to it, but I hope that the flexibility will also give it an opportunity to exercise its own judgment and to participate in the wider scheme. It is certainly true that my right honourable friend puts a great deal of emphasis on payments by results, as the noble Lord, Lord Bach, indicated. That was piloted in Peterborough, and we are now going to pilot it further. I do not think we should rubbish it in advance. It could be a very interesting way of making sure that rehabilitation is expanded in the way in which the Government hope. There is an opportunity for the Probation Service to improve its performance and to participate in a wider—and, we hope, very interesting— approach to rehabilitation, with an opportunity to work on a genuine multi-agency basis to address these problems.

Lord Thomas of Gresford Portrait Lord Thomas of Gresford
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My Lords, from these Benches, I welcome wholeheartedly the change in emphasis from warehousing prisoners to rehabilitation. I am grateful to my noble friend for putting forward these proposals in the way that he has. I am disappointed that the indeterminate sentence is not to be abolished completely, but I am encouraged by seeing that it is to be restricted. It has been used far too greatly without the proper resources behind it to enable the 6,000 people currently held on these sentences to earn their release.

There is one matter that I shall raise with the Minister to have his response. Has he considered veterans’ courts? They have been set up in the United States for a period of two years to deal with the specific problems of those who have served their country but have found themselves in prison because of the experiences that they have undergone. Proportionately fewer veterans go to prison, but of those a greater proportion are in prison for sex and violence offences. Their needs must be addressed in a special way, as they have been in the United States. Perhaps I may commend to my noble friend the report of the Howard League, Leave No Veteran Behind, which was published last month, to make sure that those who have served their country are properly attended to by the system.

Lord McNally Portrait Lord McNally
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My Lords, I take on board what my noble friend said about IPP. It is true that there has been an increasing focus and an increasing public concern about the number of our veterans who seem to end up in our criminal justice system. I have not looked at the American example to which he referred, but that is exactly the kind of constructive suggestion that we hope this Green Paper will bring forward. My department is in contact with the Ministry of Defence and the Royal British Legion about these issues. I hope that we can take forward measures to help veterans who find themselves on the wrong side of the law or in prison. The Royal British Legion already has a system of visiting, advising and counselling for veterans who find themselves in this situation. We have got to give this priority and I assure my noble friend that we will.

Lord Reid of Cardowan Portrait Lord Reid of Cardowan
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My Lords, I declare two interests; first, my interest as registered in security matters; and, secondly, as Home Secretary, having introduced a number of measures to try to bring diversity to probation services and the treatment of prisoners, where the opposite Benches voted against my proposals. So I welcome elements of what has been suggested today.

Perhaps I may also suggest to the Minister that the premise on which the new direction is based is flawed in two essential areas. The first is the assumption that the increase in prison numbers, which has doubled, and the reduction in crime, which has almost halved, is merely a chronological coincidence. It is not. It is a causal relationship between the two. Secondly, prison is not just about punishment, rehabilitation or reform. It is also about the protection of society.

Let me make a prediction, without judging how these consultations will end. If they end on the premise on which they started—perhaps thousands fewer police on the streets; 10,000 more felons not sent to prison; potential softer sentencing on community sentences, which will be optional; and the dropping of more serious sentences for knife crime—tragically, I believe that we will see a proportionate increase in crime over the next few years. I predict that will be the case rather than what I am sure the Government and everyone in the House are seeking, which is a continued reduction in crime, following on from the past 15 years.

Lord McNally Portrait Lord McNally
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I acknowledge the experience of the noble Lord in these areas, but his little catalogue at the end was just the kind of fear and alarm about these issues that we have heard. We have to ask whether if what he said is so, perhaps we should double the prison numbers again. I think that I have mentioned previously in the House that I once went to a talk given by Ronald Reagan’s former prison adviser, which I think was at about the same time as the noble Lord was Home Secretary. He estimated that the proper size of Britain’s prison population should be about 170,000, because that would, as the noble Lord suggests, get all the offenders out of harm’s way. But it does not seem to remove public concern about crime. It does not seem to address this issue of re-offending. We are not going to deal lightly with knife crime, as the Statement makes clear, but neither are we going to put every juvenile who is found to be carrying a knife into prison. That would be absurd. There are other things in his litany that would go.

To listen to some, one would think that next Friday, Ken Clarke is going to throw open the gates of the prison and usher out the first 3,000 who want to leave. If anyone reads the Green Paper, they will see a measured response that does not ignore the fact that there will be other things that will come into play quite often. As the noble Lord and others with experience know, addressing this is often like trying to solve a Rubik’s Cube; when you get one bit of it right, you look round the other side to see that that has gone wrong. Within the paper there are some innovative, and, I hope, optimistic views of the way we can approach this situation which may make some of the noble Lord’s pessimistic predictions wrong. As always, we will have to wait and see.

Lord Elystan-Morgan Portrait Lord Elystan-Morgan
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My Lords, I congratulate the Minister on a reappraisal of what might be termed the classic Conservative attitude towards penal policy over the past decades. I exculpate completely, of course, the noble Lord and his party in respect of that, but that is another matter.

On the question of indeterminate public protection sentences, does the noble Lord recollect that when the 2003 Act was passed, it was estimated by Ministers that the prison population would increase by 900 in respect of that piece of legislation? By this year it had increased, as the noble Lord has already said, by 6,000. The most tragic aspect of that is that 2,500 of those are persons who have already served more than the recommended period of imprisonment that was mentioned by the sentencing judge. That is a denial of justice. It is a totally impossible and unacceptable situation. What are the Government going to do about that? Are they going to increase the size of the Parole Board, which is the sieve through which these cases must pass? Are they going to relax the rules? Or are they going to act in some other way? Those, I respectfully suggest, are indeed fundamental questions that the Government have to answer at this stage if this issue is to have any credibility. As I say, I congratulate the Government on doing the right thing, but for all the wrong reasons.

Lord McNally Portrait Lord McNally
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I am sorry there was that sting in the tail from the noble Lord. I have to remind him that what he termed a classic Conservative approach to penal policy over the past 20 years was being carried out for at least 13 of them by the party opposite. I notice the noble Lord, Lord Reid, nodding vigorously. Yes, it is a change of approach; it is an attempt to see if some new measures, new thinking, and new ideas can come.

On the noble Lord’s point about IPP, he has put his finger on exactly why we want to consider the measures. As he said, when it was introduced it was going to apply to a very limited number of prisoners. His figures are quite right because we now have more than 6,000 prisoners on IPP sentences, 40 per cent of whom are now well beyond their tariffs. We are in consultation with the Parole Board and others about how to deal with this. But we are where we are, and what we obviously cannot do is simply release people who may still be a threat to the public. This has to be handled carefully—with full consultation but with a determination that we do not find ourselves with 10,000 people in this situation in five years’ time. We are going to address the problem we have inherited and change the guidance for future sentencing.

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Lord McNally Portrait Lord McNally
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I pay tribute to the chaplaincy service of all faiths in our prisons as well as to those who take on volunteering and mentoring work. It is often the faith-based organisations that help so much in our prisons.

On the challenge of resettlement, resources are in short supply. The payment by results initiative may be one way of providing them. I reaffirm what the right reverend Prelate said. In the six months that I have been in this job, I have been impressed by the fact that where there are interventions the reoffending rate falls. So there is an immediate come-back and pay-back if we can get such schemes working.

Lord Mayhew of Twysden Portrait Lord Mayhew of Twysden
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My Lords, I apologise to the right reverend Prelate and to the House for being a little previous. Does not equipping prisoners to live a useful life when they are released remain the overriding objective at the head and forefront of the prison rules? If it be the case that today nearly 50 per cent of people who are in prison reoffend within one year of their being released, is it not disappointing to hear asserted—as it was by the noble Lord, Lord Bach—that this review is only about saving money?

Lord McNally Portrait Lord McNally
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Once we move from the parliamentary knockabout stage to a proper examination of this issue, we will try to identify schemes that have the real impact to which my noble and learned friend has just referred. As I said at the beginning, illiteracy, homelessness and lack of a job are common factors. Another common factor, which fills me with shame, is that 24 per cent, I think, of offenders have been in our care at some stage or another. If we can address that basic lack of skills, we can also tackle the reoffending rate.

Lord Warner Portrait Lord Warner
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The Minister has not so far mentioned youth justice so perhaps I may ask him some questions about that issue. I welcome much in the Statement about rehabilitation and reoffending, but is he aware that many of the issues of concern expressed in the Green Paper—such as young people’s first entry into the criminal justice system, restorative justice, reducing custody, improving the rates of reoffending when they have been sentenced and giving the courts more options on sentences—have been pioneered by the Youth Justice Board and the changes in the Crime and Disorder Act? Can the Minister explain why the Government want to abolish a body that has done the very kind of things that are in the Green Paper?

Lord McNally Portrait Lord McNally
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My Lords, I pay genuine tribute to the noble Lord, Lord Warner, as the chairman of the Youth Justice Board, and, as I have done before at the Dispatch Box, I put on record my admiration for its work. The decision to bring it in-house within the MoJ and to include it in the list of arm’s-length bodies to be abolished is a matter that is still before the House, but we of course hope that it will accept our recommendation. The general feeling is that the YJB had been a successful operation over the past 10 years. There were some criticisms of it here and there but, on the whole, it had been a success. However, that success now allows us to move to a stage where youth justice is much more a local and community responsibility undertaken by the successful operation of youth offending teams. I hope the noble Lord, Lord Warner, does not see the decision to abolish the YJB as a condemnation of it; it was a stage in the progression to what we hope will be a successful youth justice operation.

House adjourned at 7.10 pm.

Standards in Public Life

Lord McNally Excerpts
Thursday 2nd December 2010

(15 years, 7 months ago)

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Lord Tyler Portrait Lord Tyler
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To ask Her Majesty’s Government whether they will publish any evidence submitted to the Committee on Standards in Public Life on party political finance.

Lord McNally Portrait The Minister of State, Ministry of Justice (Lord McNally)
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My Lords, the Government welcome the review of the Committee on Standards in Public Life into party funding. My right honourable friend the Deputy Prime Minister discussed the issue with the committee at its annual open meeting in September, but the Government have not submitted any evidence to the committee. I understand that the major political parties have done so.

Lord Tyler Portrait Lord Tyler
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My Lords, I am sure that Members on all sides will be anxious that progress on this issue is made as quickly as possible, not least because there was a strong degree of consensus across the parties in the previous Parliament on donation caps and regulations on campaign spending between elections. However, that progress did not complete the process because, as the general election approached, it became clear that it was very difficult for the parties to make firm decisions. Can we be clear that the Government will be pressing the committee—and thereafter, whenever decisions are taken by Parliament—to try to deal with the issue of the 55 months before a general election, and that it will not be left to the very end of this Parliament as, at the bitter end, it is very difficult to reach agreement?

Lord McNally Portrait Lord McNally
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My Lords, my right honourable friend the Deputy Prime Minister has made it clear that he gives high priority to party funding in what he has described as the second wave of constitutional reform that we are planning. Therefore, it has high priority. People in all political parties with experience of this matter have given me the same advice—that is, to deal with this matter early in a Parliament. That is what we intend to do.

Lord Hunt of Kings Heath Portrait Lord Hunt of Kings Heath
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My Lords, does the noble Lord recall that, following the Hayden Phillips proposals, cross-party talks were proceeding well until the Conservative Party walked away from them? Now that he is in the comforting position of sitting with the Conservative Party, will he ensure that there is a future programme of cross-party talks to reach consensus?

Lord McNally Portrait Lord McNally
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As I have said in answer to other questions, I think that what happened in the past is best left to the memoirs, and I can tell noble Lords that mine will be very readable. But in the mean time, I take encouragement from what my right honourable friend the Deputy Prime Minister said at the City and Islington College on 19 May. He said,

“David Cameron and I are determined to reform party funding”.

That is good enough for me.

Lord Campbell-Savours Portrait Lord Campbell-Savours
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How do we know that the Liberal Democratic element in this coalition will not simply roll over and allow the Conservative element of the coalition to dominate the debate?

Lord McNally Portrait Lord McNally
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Because that has not happened thus far.

Lord Desai Portrait Lord Desai
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My Lords, surely we have a very good method of dealing with party funding, and that is to nominate the donors to the House of Lords.

Lord McNally Portrait Lord McNally
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I am very pleased that the Labour Party is approaching this very serious issue with all the necessary objectivity. I do not mind the little bit of knockabout that occurs at such questions, but, seriously, I think that we have all learnt the hard way that to maintain the integrity of our politics it is imperative to get big money and big money donors out of our political system. The building blocks for an agreement are around. I pay tribute to the party opposite for taking some very significant steps during its time in office to help clean up our politics. I assure this House that this coalition is determined to carry on that work, and to do so with a sense of urgency.

Lord Ryder of Wensum Portrait Lord Ryder of Wensum
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My Lords, my noble friend has just mentioned big money donors. Does that include the trade unions?

Lord McNally Portrait Lord McNally
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Of course it includes the trades unions. Again, when we look back at the Hayden Phillips discussions, the Labour Party has a historic link with the trade unions. We must approach this in a way whereby all parties enter into this recognising our respective histories, and understanding the need to get a settlement which will be seen as fair. If we go for a settlement that looks like it is aimed at hurting one or other of the parties, it will be difficult to get a settlement. The Committee on Standards in Public Life is carrying out a study on this. I hope that it will report by early spring and, when it does, it will enable us to get our ducks in a row to make a proper and comprehensive system which will get big money in politics out of our system for good and all.

Lord Tyler Portrait Lord Tyler
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My Lords, I am very grateful for my noble friend’s statement, but does he recognise that this House has a particular interest in terms of its reputation, because in the past there has been a perceived connection between large donors and membership of this House?

Lord McNally Portrait Lord McNally
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Well, we all read the newspapers, so I cannot deny that. But as I said before, there is a real opportunity when the Committee for Standards in Public Life brings forward its report. Let us all—all the political parties—grab the opportunity that that offers with a real sense of urgency and a determination to succeed.

House of Lords: Reform

Lord McNally Excerpts
Wednesday 1st December 2010

(15 years, 7 months ago)

Lords Chamber
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Lord Dubs Portrait Lord Dubs
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To ask Her Majesty’s Government how the increased membership of the House since the general election, and likely further increases, are consistent with their aim of Lords reform.

Lord McNally Portrait The Minister of State, Ministry of Justice (Lord McNally)
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My Lords, the new appointments since the general election are entirely consistent with the coalition’s programme for government, which set the objective of creating a second Chamber that is reflective of the share of the vote secured by the political parties at the last general election. The Government are committed to reform of this House. The cross-party Joint Committee on House of Lords Reform will come forward with a draft Bill early in the new year.

Lord Dubs Portrait Lord Dubs
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My Lords, I want to make it clear that I mean no disrespect to the many Members who have recently joined this House or are about to do so, but how can the Minister reconcile the Government’s reducing by 50 the number of MPs in the House of Commons with increasing by more than that the number of Members of this House? Is he not breaking the cross-party understanding that the Government should not have an overall majority, especially as this has an adverse effect on the Cross Benches? I have yet to find a single Member of this House who agrees with the Minister—and I have asked quite a few of them. One can look at the faces behind the Minister to see that they are nodding in agreement with me and not with him.

Lord McNally Portrait Lord McNally
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I had better not look behind me then. There is a dilemma which this House has partially created for itself. For as long as I have been involved in these matters, there has been an assumption that incoming Governments will freshen their Benches, partly for reasons of needing to man the government Benches. That is exactly what the Labour Party did, with Mr Blair creating more than 300 Peers during his term of office. The attempts to reform this House over the past 10 years have failed and we are left with a problem of a House that is too large. That is why I hope that the Benches opposite, when they get the opportunity in January, will enthusiastically embrace the reform programme which the Government will put forward.

Lord Tyler Portrait Lord Tyler
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Does my noble friend agree that the best way to make progress would be if the Labour Party, instead of bringing in ex-MPs who are refuseniks on reform of your Lordships' House, stuck to its manifesto commitments, made not just at the last election but at many other elections, to reform this House comprehensively?

Lord McNally Portrait Lord McNally
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My noble friend makes some valid points, but I think that it is unfair to say that the ex-MPs who come in are against Lords reform. It usually takes them two or three weeks before they become enthusiastic supporters of the House. I see in his place the noble Lord, Lord McAvoy, who has taken to the ermine like a duck to water.

Lord Hunt of Kings Heath Portrait Lord Hunt of Kings Heath
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My Lords, the noble Lord, Lord McNally, has implied that the 300 Peers brought in by Mr Blair were Labour Peers, but can he tell me how many were not and took other Whips in the House? Does he endorse the remarks made yesterday by his noble friend Lord Tyler, who in the context of Lords reform effectively told the Cross Benches that, unless they supported the Government in votes, a 100 per cent elected House rather than an 80 per cent elected House would be proposed? Does he endorse that view?

Lord McNally Portrait Lord McNally
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I do not read that into what my noble friend Lord Tyler said yesterday. I trust the Cross Benches to take decisions on votes in this House as individuals and not as a collective group. I know that they will continue to do that. Even more shaming than any threats real or imagined from my noble friend Lord Tyler are the blatant attempts made by the Labour Party to lure the Cross Benches into elephant traps when trying to delay government business.

Lord Kakkar Portrait Lord Kakkar
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My Lords, have any of the newly appointed Peers been asked to give an undertaking that they would support House of Lords reform as envisaged by the Deputy Prime Minister?

Lord McNally Portrait Lord McNally
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My Lords, it is always good to have a contribution from the Cross Benches. No such assurances have been asked for and they would be pretty valueless for the reason I gave earlier. I can see faces on the Benches opposite who I remember in their radical youth wanted to burn this place down, and they are now enthusiastic supporters of no change at all.

Lord Campbell of Alloway Portrait Lord Campbell of Alloway
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Does the noble Lord accept that there is no logical explanation to the Question put by the noble Lord, Lord Dubs? We all know the views of the Cabinet and the coalition. I speak as a Conservative, I am still a Conservative and I support—when I can—the coalition, but not on this occasion.

Lord McNally Portrait Lord McNally
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I am well aware of those views. All I will say to all sides of the House is that the other place has come to a settled and consistent view on the need to reform this Chamber. In keeping with our democracy, those views were taken to the electorate. The Conservative Party’s commitment to reform, the Liberal Democrats’ commitment to reform and the slightly dodgy, but still there, commitment of the Labour Party to reform—

A noble Lord: We lost—

Lord McNally Portrait Lord McNally
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We all lost, but some of us made a better fist of that fact than others.

Lord Pearson of Rannoch Portrait Lord Pearson of Rannoch
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My Lords, if it were true—

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Lord Pearson of Rannoch Portrait Lord Pearson of Rannoch
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My Lords, if it is true that the Government are appointing new Peers in proportion to the votes cast at the general election, why does UKIP not have 24 Peers in your Lordships’ House and why did the Prime Minister refuse a single extra Peer?

Lord McNally Portrait Lord McNally
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My Lords, I do not know. It is not in my brief, but I will find out. That shows that you should never let in that last question.

Legal Aid

Lord McNally Excerpts
Monday 29th November 2010

(15 years, 8 months ago)

Lords Chamber
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Lord Bach Portrait Lord Bach
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To ask Her Majesty’s Government what plans they have for the future of legal aid in the area of social welfare law.

Lord McNally Portrait The Minister of State, Ministry of Justice (Lord McNally)
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My Lords, on 15 November 2010 the Government published proposals for reform of legal aid, including social welfare law. We propose that legal aid be retained in the highest priority cases—in debt and housing when someone’s home is at immediate risk, for homelessness, and in cases involving serious disrepair. We will retain legal aid in community care cases. Under these proposals legal aid would no longer be routinely available in other social welfare law matters.

Lord Bach Portrait Lord Bach
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My Lords, I thank the noble Lord for his Answer. I accept that savings have to be made in the legal aid budget, but why, in the Green Paper, are the Government so ruthlessly targeting social welfare law, particularly during a recession? There is to be no legal aid for welfare benefit advice, none for education advice, none for employment advice, and precious little for housing and debt advice. Sixty-eight per cent of the legal help scheme is to be cut. Does the Minister not understand that appropriate legal advice, given early, can and does help solve multiple problems, changes lives, and prevents huge social costs later on? If the noble Lord’s party were in opposition today, it would, and he knows it, oppose these proposals with all its might. Why will it not do the same today?

Lord McNally Portrait Lord McNally
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My Lords, I think the noble Lord gives the clue to his question. As he said very honestly in his response to the original Statement a couple of weeks ago, when in government, the Opposition were planning cuts in legal aid. Whenever one makes cuts, one has to draw the line somewhere, and the Opposition are rightly leaping to the defence of people on the wrong side of that line. We have made a decision in terms of making savings in the legal aid budget and we have done so in a way that we believe targets help to the most vulnerable.

Lord Thomas of Gresford Portrait Lord Thomas of Gresford
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My Lords, over the past year, more than 300 specialist citizens advice bureaux caseworkers have dealt with 40,000 welfare benefit cases, 60,000 debt cases, 9,000 housing cases and 3,000 employment cases. These specialist CAB caseworkers have been paid for using legal aid funding. Will this continue?

Lord McNally Portrait Lord McNally
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No, my Lords, but what is clear is that the citizens advice bureaux provide advice. The problem that we faced—and the previous Administration faced it too—is that legal aid is being used to cover a wider range of advice and help which can be better funded and supported in other ways. My honourable friend Jonathan Djanogly is having meetings with representatives of Citizens Advice in the next week. We will be looking at ways of helping citizens advice bureaux and other non-legal providers of advice.

Lord Elystan-Morgan Portrait Lord Elystan-Morgan
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My Lords, will the Minister face the stark reality of the situation; namely, that there is little point in citizens’ fundamental rights being enshrined in statute if those rights cannot be upheld, where appropriate, in the courts of law? Does he recollect the studiedly sarcastic words of a High Court judge spoken 80 years ago? “The courts of this land are open to all, exactly the same as the Ritz hotel”.

Lord McNally Portrait Lord McNally
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Yes, I am familiar with the quotation. The problem is that, in the 60 years since legal aid was introduced, its scope has increased considerably. Like the previous Government, we were convinced that as a contribution to cutting government spending we had to find ways of reducing the legal aid bill. I do not pretend that these are easy decisions, but as I said before, the difference between being in opposition and being in government is that you have to take those decisions. We have done so.

Lord Beecham Portrait Lord Beecham
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My Lords, has an estimate been made of the increasing number of people who will be compelled to seek support from advice agencies, including citizens advice bureaux but many others as well, as the result of the withdrawal of legal aid and advice for such a wide range of significant topics? Will the noble Lord indicate whether any estimate has been made of the increased funding that will be required to support those agencies? Will the Government be making provision for that extra funding?

Lord McNally Portrait Lord McNally
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My Lords, we estimate that the proposals on civil and family legal aid might affect between 460,000 and 512,000 people.

Earl of Listowel Portrait The Earl of Listowel
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My Lords, I welcome the early intervention fund set up by the coalition Government. Will the noble Lord consult his colleagues to see whether more can be done to intervene and assist families earlier so that fewer children are taken into local authority care? Does he agree that that would be an important way of saving money in this area of social welfare law?

Lord McNally Portrait Lord McNally
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I will come to the second half of the earlier question, and I apologise for not answering it. This is precisely the thinking behind our proposals. Under what I will call the old regime of legal aid, far too many cases, particularly in the area of family law, were taken down the legal route. We believe that mediation and other forms of settlement would be far more effective. On the question of the not-for-profit organisations such as citizens advice bureaux and others that are going to be hit by the cut in legal aid, the Government are setting up a transition fund, the announcement of which will be made tomorrow. Affected bodies can apply to this fund. Moreover, as I have said, my honourable friend Jonathan Djanogly is having direct talks with representatives of Citizens Advice to see whether there are ways and means of helping them.

Coroners and Justice Act 2009

Lord McNally Excerpts
Wednesday 24th November 2010

(15 years, 8 months ago)

Lords Chamber
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Lord Jay of Ewelme Portrait Lord Jay of Ewelme
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To ask Her Majesty’s Government whether they intend to implement fully the Coroners and Justice Act 2009.

Lord McNally Portrait The Minister of State, Ministry of Justice (Lord McNally)
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My Lords, no. My Written Statement of 14 October outlined those areas of Part 1 of the Coroners and Justice Act 2009 that we intend to take forward, such as a charter for the bereaved, and those that, because of the current economic climate, we are unable to progress with, such as the appointment of the chief coroner.

Lord Jay of Ewelme Portrait Lord Jay of Ewelme
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I am grateful to the Minister for that Answer, but would he not agree that a consistent standard of coronial practice is an essential ingredient of our civil and criminal justice system and that we do not, alas, have that at present, as a number of recent cases have unfortunately shown? Despite what he has said, the appointment of a chief coroner would ensure the proper and necessary governance arrangements for the coronial system. Will he look again at the proposal in the Public Bodies Bill to abolish the position of chief coroner?

Lord McNally Portrait Lord McNally
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Perhaps happily, that task lies with my noble friend Lord Taylor when the Bill is debated. Is it later today?

None Portrait Noble Lords
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Next week.

Lord McNally Portrait Lord McNally
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It will be next week. The point is that the abolition of the post of chief coroner was taken on cost-saving grounds, which we have not hidden. However, the way in which we have done it enables us within the Ministry of Justice to take on board many of the central themes of the Act and to carry them out from within the department. Among those tasks is the need, which we fully accept, to get a level of consistency of performance throughout the coronial system.

Lord Bach Portrait Lord Bach
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My Lords, Section 51 of the Coroners and Justice Act, supported by the noble Lord when in opposition and indeed strongly encouraged on those Benches by the noble Lord, Lord Thomas of Gresford, is not now to be implemented. The section broadened the scope for legal aid so that bereaved service families would get legal aid for an inquest. If it is not implemented, some service families will receive legal aid only if they pass an exceptionality test. Will the noble Lord who speaks for the Government make a firm promise, indeed a guarantee, to the House that legal aid will be given in every inquest where service families ask for it?

Lord McNally Portrait Lord McNally
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My Lords, the noble Lord is right. We are not taking forward Section 51 of the Coroners and Justice Act 2009. On military inquests, exceptional funding is almost invariably provided on the basis of a recommendation by the Legal Services Commission. I do not think that there is any question of such funding not being available.

Lord Thomas of Gresford Portrait Lord Thomas of Gresford
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Is it the intention of the Minister or of the Government not to allow legal aid for the families of those who die in custody? If that is the case, will the Minister give an undertaking that neither the Prison Service nor the police will be represented by counsel and solicitors in such inquests?

Lord McNally Portrait Lord McNally
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As far as I understand it, for deaths in custody, legal aid is automatic.

Lord Howarth of Newport Portrait Lord Howarth of Newport
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My Lords, following the welcome Statement to this House from the noble Baroness, Lady Rawlings, that measures included in the Coroners and Justice Act to improve the treasure system will be implemented, and following the comparatively welcome news this week on funding for the Portable Antiquities Scheme, along with the commitment made by the Culture Minister to review the scope of the Treasure Act in 2011, may I encourage the Minister to continue in this positive vein where archaeology is concerned? What progress have Ministers made towards establishing a national coroner for treasure?

Lord McNally Portrait Lord McNally
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Believe it or not, a national coroner for treasure is not in this brief, so I promise to write to the noble Lord. As a former member of the All-Party Archaeology Group, I hope that progress is being made, subject of course to the financial constraints that we found ourselves in when we took office.

Lord Pannick Portrait Lord Pannick
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Does the Minister accept that one of the reasons for creating the post of chief coroner was to reduce the costs, both legal and administrative, of defective decision-making? Does he therefore not accept that to fail to proceed with the appointment of a chief coroner is a false economy?

Lord McNally Portrait Lord McNally
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I disagree. The savings are £10 million in set-up costs and £6 million a year in running costs. Although I freely accept that it is a big challenge for the Ministry of Justice, we believe that we can deliver the core measures in the Coroners and Justice Act through the ministry. We have put a great deal of effort into consulting on and then bringing forward a charter for the bereaved, which we hope will deal with many of the problems to which the noble Lord has referred.

Baroness Finlay of Llandaff Portrait Baroness Finlay of Llandaff
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My Lords, will the noble Lord place a copy of the costings in the Library so that they can be independently examined?

Lord McNally Portrait Lord McNally
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I think that I can guarantee that. Yes, I will put them in the Library.

Parliamentary Voting System and Constituencies Bill

Lord McNally Excerpts
Tuesday 16th November 2010

(15 years, 8 months ago)

Lords Chamber
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Lord McNally Portrait The Minister of State, Ministry of Justice (Lord McNally)
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My Lords, it is always a pleasure to follow the noble Lord, Lord Bach. I know how thoroughly he has prepared his speech and I am sure that everyone on both sides of the House will read it, and we will listen.

Before I turn to the main thrust of my speech I should say to the noble Lord, Lord McAvoy, that I was extremely touched by the warmth with which he spoke of the House of Lords. It usually takes a left-wing Labour MP, although he is now denying that he is one—I am sorry, I forgot who I was talking about but I wonder how long it has been since you have been called that, Tommy—a little longer than three months before they fall completely in love with this place and adopt a “No change I like it” attitude. It is called the “I’ve got the foreman’s job at last” syndrome, and he has been quick to get it. It was also good to hear the noble Lord, Lord Davies, in a passionate speech, advocating change with all the subtlety of one of Baldrick’s cunning plots. We will watch him for that.

It has been an interesting debate. As I look around, I see that I have more Labour Members listening to me than I used to have when I was a member of the Labour Party. We have had the benefit of some old, nostalgic, vaudevillian performances. Last night the noble Lord, Lord Snape, gave his Max Miller impression, which is always good for the show; the noble Lord, Lord Foulkes, is not in his place but Rab C Nesbitt would not go far with the noble Lord intervening; and I have always considered the noble Lord, Lord Grocott, to be a genuine small ‘c’ conservative on constitutional reform. I suspect that if he had been around in 1832, not only would he have defended the retention of Old Sarum, he would probably have been the Member for Old Sarum.

It is good to have gone through this debate. Certainly the Labour Party cannot claim that the Bill has not had a thorough examination. It has had two days in this House —

None Portrait Noble Lords
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It has not even started yet.

Lord McNally Portrait Lord McNally
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It has not even started yet and already we have had over 40 interventions. So any complaints about thoroughness go awry.

Time is running on and so let me deal quickly with some of the points that have been raised. On timing and speed—an issue referred to by the noble Lords, Lord Stevenson and Lord Davies, and a number of other contributors—as anyone who has studied our history will know, there has always been a battle and a discussion in terms of constitutional change between consensus and leadership. On balance, people who believe in constitutional reform and fight for it have at least as much success as the consensus builders.

Whether it is on Lords reform or voting reform, the same arguments are trotted out: “Well, this is a shock. We’ve never had time to deal with this. This should really go to a Royal Commission or through some further stage”. As has been pointed out, AV was first offered by the Labour Government in 1931, some 80 years ago, so it is hardly a shocking introduction.

I say to those who talk about consensus that I was on the Cook-Maclennan committee that looked at constitutional reform before 1997. From that report emerged a Labour Government commitment to a referendum on voting reform. That, we believed; that, we followed through. But it was quietly buried by the Labour Government, sitting on their 180-plus majority. I say to those who advise consensus that there are some of us who can remember other things.

As a coalition, we have put together a Bill which has been given very thorough examination, as the noble and learned Lord, Lord Falconer, rather grudgingly accepted. Eight days on the Floor of the House of Commons, as noble Lords—particularly those with experience—will know, is a pretty good run. It will be given a similar run here.

The noble Lord, Lord Howarth, expressed shock and horror at the Government’s objective, but it is no secret that the Government want the boundary review completed before the next general election. There is nothing unusual about a Government wanting to see their programme implemented. Faster and more frequent reviews are more accurate and fair. I have listened carefully to descriptions of experiences of the Boundary Commission’s work. It is barmy to have general elections on the basis of boundary reviews that, by the time they come to be tested, are nine years out of date. It has been said before, and it bears repetition, that the boundaries that were used in England at the last general election were based on electoral register data that were almost 10 years out of date.

Let us look at speed. Several noble Lords, including the noble Lords, Lord Alton and Lord Wills, have pointed out that it is now less than six months until the proposed referendum date and questioned whether it will be possible for the poll to be run effectively to those timescales. I believe that it is, not least because we tabled all the legislation, including the detailed rules for combining the referendum with the elections for the devolved legislatures, more than six months before the date of the poll. We have been working with the Electoral Commission and administrators to draft the Bill. The commission has confirmed that it is “broadly satisfied” with the discussion and scrutiny that the Bill has received. The noble Lord, Lord Wills, said that not a single opposition or Back-Bench amendment was accepted by the Government. That is not true. The Political and Constitutional Reform Committee in the other place proposed amendments in Committee which prevented modifications to the boundary commissions’ recommendations without the consent of the relevant commission and determined how the media should be regulated for the referendum. The Electoral Commission suggested a different wording for the question. The Government listened carefully to all the arguments in the other place and, when convinced, brought forward their own amendments.

The noble Lord, Lord Grocott, talked about the lack of constitutional overview, claiming that that Government had failed to take an overview of the constitutional reform structure. That is simply not true. The Government have made a number of proposals for constitutional reform in the first Session. Indeed, Members in the other place are today debating the Fixed-term Parliaments Bill, but there is no compelling argument that needs to be all contained in one piece of legislation. We need to go back to Cook-Maclennan—

Lord Grocott Portrait Lord Grocott
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The argument is not about whether it should all be contained in one piece of legislation. It is about whether there is any consistency between the three or four separate constitutional Bills. Can the noble Lord answer one specific point? Why does he think that it is right to have a referendum on the voting system in the House of Commons, but no referendum whatever on the abolition in its current form of the House of Lords?

Lord McNally Portrait Lord McNally
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Well, I seek not to see the distant sea. We have not seen the legislation on the House of Lords yet.

Lord Grocott Portrait Lord Grocott
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Just tell us whether there will be a referendum.

Lord McNally Portrait Lord McNally
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I seek not to see the distant sea. This is absurd. This is going on all night. You are afraid to discuss the central pillars of the Bill and every few minutes you pick up something else. Now we are off running on Lords reform. You will get the Bill on Lords reform, as we promised, in the new year, and we will have the opportunity to discuss that matter.

Lord Grocott Portrait Lord Grocott
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I know that the noble Lord comes from Blackpool, but could he move away from the music hall act and try and answer the questions? Could he answer the specific question, which is why on the narrow issue of Commons voting he thinks there should be a referendum? Clearly, there should, but he will not answer me the very straight, simple question whether he agrees that there should be a referendum on any move to abolish the Lords in its present form.

Lord McNally Portrait Lord McNally
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We will have the debate on the future of the Lords in due time. Whether I come from Blackpool or not, I would prefer to debate this Bill, whose central issues the Labour Party is obviously petrified to debate, or we would not have had the collection of red herrings that are being paraded around this Chamber.

None Portrait Noble Lords
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We are all here.

--- Later in debate ---
Lord McNally Portrait Lord McNally
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Oh, you have all turned out—but we shall get later to what this Bill is really about and what you are really afraid of. It is about fairness. I did not hear any discussion of fairness when the Labour Government were elected by 36 per cent of the vote in 2005.

Baroness Kennedy of Shaws Portrait Baroness Kennedy of The Shaws
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The noble Lord most certainly did hear that in the course of this debate from these Benches. But it was also pointed out that, although there was unfairness, there was a possibility that this Bill might add to that unfairness because it is so ill considered.

Lord McNally Portrait Lord McNally
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The Bill is being considered, and considered on the basis of fairness. I know that the noble Baroness is often a lone voice on those Benches. My point, which is central to the issue of first past the post, is whether we are to continue to have the kind of distortion that produces majorities of 66 on 36 per cent and then no majority at all on 36 per cent. With those kinds of distortions with first past the post, the rot sets into people’s respect for the electoral system.

Baroness Smith of Basildon Portrait Baroness Smith of Basildon
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The noble Lord said a few minutes ago that Members on this side of the House were afraid of debating this Bill. I sat through most of the debate yesterday and have listened to most of it today and I have heard innumerable contributions from my noble friends debating the very essence of this Bill, while his Bench has been empty. Is it not an insult to suggest that it has not been debated by Members on this side?

Lord McNally Portrait Lord McNally
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Let me give one example. The noble Baroness, Lady Nye, shed crocodile tears over the missing 7 per cent on the election. Where was the action from the Labour Government in 13 years to deal with those very issues?

Lord Wills Portrait Lord Wills
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I will tell him exactly what action we took, and I want to bring him back to a question that he has avoided answering so far, about the action put on the statute book by the last Labour Government, which placed on the Electoral Commission a duty to ensure that the register was comprehensive and accurate. It was given new powers to achieve that end, which I noticed the Deputy Prime Minister boasting today he is going to bring forward. That was the action that we took.

I should now like to ask him about one of the distortions that he is so keen to avoid addressing. That is the distortion of a wholesale revision of constituency boundaries on the basis of a register which everyone knows is neither comprehensive nor accurate. If the Government waited just a few months, we have every likelihood of having a register that is comprehensive and accurate. Why will he not wait until the register is comprehensive and accurate? Why not?

Lord McNally Portrait Lord McNally
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Because we have put the legislation before the House and are taking it through the House. Just to go back to—

Baroness McDonagh Portrait Baroness McDonagh
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With respect to the noble Lord, his argument does not hold together intellectually. He is chastising us for a first past the post system when this party had in its manifesto a referendum on the alternative vote. He is repeating a falsehood: that the current make-up of constituencies leads to Labour getting elected on fewer votes than the Conservatives. It is not true. I am pleased that the noble Lord, Lord Strathclyde, is back because I asked earlier if he would send around to the House the psephological evidence that that is the case, because it is not. Yet the noble Lords keep repeating this falsehood.

Lord McNally Portrait Lord McNally
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All that I am repeating is the cold fact that 36 per cent of the vote delivered Labour an overall majority of 66. That is the only point I am making. As for the point from the noble Baroness, Lady Nye, we have had this debate before. First, 93 per cent on a register is not a bad outcome. Anybody—and by God, I can see so many ex-party apparatchiks around this place and I am one as well, so—

Lord Martin of Springburn Portrait Lord Martin of Springburn
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In the 30 years that I was in the other House, there was a time when all I had to look up where my constituents were was one register which was renewed every year. Now in recent years, in fairness, every month a new register came in with additional names going in and names coming off. That was surely better than the register that was only updated once per annum.

Lord McNally Portrait Lord McNally
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Of course it was. I remember at Transport House the calculations of whether Harold should go in March when there was a new register or in October when it got old. Again, that has nothing to do with the Bill. As for the noble Lord, Lord Wills, I can see that the previous Labour Government, rather late in the day, brought in reforms. We intend to carry through some of those reforms to keep the register up to date but, again, it really is not central to the Bill.

On the question of the 600, if your Lordships would let me have a go and not try to work it out as if they were going to have constituents—I have not asked on this so it is just me working it out—if you are going to have constituencies of around about 75,000 with our electorate, I suspect that that comes to somewhere around 600. Perhaps one of your Lordships will get your slide rules out and tell me whether that is true. But what, in God’s name, was so important about 650, 640 or any of the other numbers? It is an obsession and, quite frankly, with the theories of the noble Lord, Lord Bach—

Baroness Liddell of Coatdyke Portrait Baroness Liddell of Coatdyke
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The noble Lord is very considerate but was it not the case that in the manifesto of the party that he supports, its figure was 500, while in that of the party he is in coalition with the figure was 585? Normally, the compromise is somewhere in the middle. How did it come out at 600?

Lord McNally Portrait Lord McNally
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Again, the coalition came to an agreement on a reform programme and it came to a figure which is entirely defensible, and which—

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Lord Wills Portrait Lord Wills
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I actually want to help the noble Lord, I really do. He is in a lot of trouble and here is my suggestion to him. Rightly or wrongly, there is a great deal of suspicion here, which he will recognise, that that figure of 600 was chosen because it was the figure of maximum advantage to the coalition parties. Now, he can remove that suspicion immediately by answering the question that I asked him in my speech yesterday. Did the Government—the Liberal Democrats or the Conservative Party—do any modelling of the different effects on their representation in the House of Commons of its size being 600, 585 and 500? If they did, what were the results? He can answer that question now and remove all discussion about this.

Lord McNally Portrait Lord McNally
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I have absolutely no idea whether such modelling has taken place. If someone tells me afterwards that it has and I can get my hands on it, I will send it to the noble Lord, but it really is—

Lord McNally Portrait Lord McNally
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Oh, come on.

Lord Campbell-Savours Portrait Lord Campbell-Savours
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If the Minister has no idea, will he answer the Written Question that I tabled yesterday on that very matter? He will then be able to trawl the department and talk to his special advisers to establish the truth.

Lord McNally Portrait Lord McNally
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For goodness’ sake, here we are, with everyone telling me that this is a constitutional Bill of the greatest importance, and the Labour Party gets obsessed with some conspiracy theory about the number 600. Perhaps we should have chosen 666; that would really have frightened them. Let us have the debate—we are certainly going to have a good debate and, I suspect, a lengthy one—and I am willing to go through all these points.

If you want to be mentioned in the debate, the key thing is to be either a Liberal Democrat or a Conservative against the Bill or a Labour Member who is speaking helpfully as far as the Government are concerned. On the question of thresholds, Mr Chris Bryant, spokesman in the other place, said that they are not a good idea:

“We should have a straightforward system where people fight to win their side of the argument. They win that side of the argument by getting people past the ballot box to vote either yes or no”.—[Official Report, Commons, 2/11/10; col. 850.]

The amendment to have a threshold was defeated by 549 votes to 31. Again, we can discuss this, and I am sure that amendments will be tabled.

On the number of Ministers in the Executive—

Lord Lamont of Lerwick Portrait Lord Lamont of Lerwick
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Will the Minister answer the specific point: would a threshold that related to turnout, as opposed to people voting yes, be consistent with the coalition agreement?

Lord McNally Portrait Lord McNally
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I do not think so, and I do not think that we are going down that road.

On the boundaries, the Bill corrects the flaws in the current legislation that not only has seen the number of MPs creep up—by only a small number, I admit—but leads to the unfairness of constituencies with vastly unequal electoral sizes. As both my noble friends Lord Norton and Lord Oakeshott quoted a British Academy report, let me quote from it:

“the rules set out in the Bill are a very substantial improvement on those currently implemented by the Boundary Commission (they have a clear hierarchy and are not contradictory)”.

On the question of exceptions—

Lord Forsyth of Drumlean Portrait Lord Forsyth of Drumlean
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I apologise for interrupting, but my noble friend asked a question that he raised in his speech yesterday. It is an important point because our understanding is that the coalition agreement rules out having a threshold that is based on outcome as opposed to being based on turnout. It would be helpful for us to have a specific answer to that question so that we know which amendments would be within the terms of the coalition agreement.

Lord McNally Portrait Lord McNally
- Hansard - -

We will certainly look forward to the amendments but we take guidance from the House of Commons, which seems to have pretty comprehensively rejected thresholds—not the coalition agreement, but thresholds.

Lord Lamont of Lerwick Portrait Lord Lamont of Lerwick
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The Minister was given 24 hours’ notice of the question.

Lord McNally Portrait Lord McNally
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We are not going to have thresholds. Put the amendments down and, at the appropriate time, I will oppose them. Okay?

None Portrait Noble Lords
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Oh!

Lord McNally Portrait Lord McNally
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Well, noble Lords can put their amendments down and I will debate them too. I know which way we are going on that issue, and we know which way the House of Commons is going.

Lord Tyler Portrait Lord Tyler
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This is a helpful one. My noble friend, in opposing any thresholds, will have the support of the Constitution Committee of this House. He will not have to rely simply on the votes at the other end of the building.

Lord McNally Portrait Lord McNally
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As so often in my career, my noble friend comes over the hill like the seventh cavalry.

I turn again to the British Academy report. We heard a lot about local inquiries. It is interesting that the British Academy report says that these,

“would not significantly impair the consultation process”.

The Bill proposes a two-stage process, with 12 weeks, instead of the current four, in which the public may make representation to the commission, and another 12 weeks for the commission to revise its recommendations.

I will deal quickly with a point made by my noble friend Lord Phillips about expenses. There will be reimbursement of all reasonable expenses. We are committed to ensuring a high level of participation but we are unlikely to change the £600,000 basis for the two campaigns. On the two campaigns, several noble Lords will remember the yes/no campaign for the EU referendum. Whatever else may be said about that, the system of two groupings to fight the campaign worked. I have absolute confidence that it will work again. Therefore, I look forward to the Committee stage. I say to my noble friends behind me that I have seen redistributions and psephological calculations but I do not know who will win this referendum. I have heard people say that we are bound to lose it. I am willing to trust the people. I am willing to see this in place and then take our case to the people.

Lord Campbell-Savours Portrait Lord Campbell-Savours
- Hansard - - - Excerpts

Is one of the problems with the referendum now not the Deputy Prime Minister’s statement that this is a “miserable little compromise”? Have we not effectively got that around our neck now? It will be used constantly throughout the campaign against those who are in favour of electoral reform. Does that worry the Minister?

Lord McNally Portrait Lord McNally
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As we all know, there is an absolute industry in dragging up politicians’ past statements.

None Portrait Noble Lords
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Oh!

Lord McNally Portrait Lord McNally
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The noble Lord, Lord Campbell-Savours, is too pessimistic. At the heart of the Bill—and this is why the Labour Party, tonight and last night, have been so ingenious in trawling for red herrings—are two basic principles. We will have fair votes in fair constituencies. That proposal for fairly drawn constituencies takes out the distortions that we have seen previously; and gives us an opportunity to get rid of tactical voting and wasted voting, and give people a vote that carries real weight.

Baroness Liddell of Coatdyke Portrait Baroness Liddell of Coatdyke
- Hansard - - - Excerpts

The noble Lord stresses fair votes and fair constituencies. Why, then, will he not allow people in those constituencies to put their arguments in a public inquiry?

Lord McNally Portrait Lord McNally
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I have just explained. They will have weeks of opportunities—massive opportunities. The Labour Party has suddenly resurrected the public inquiry to be some massive issue of principle when it knows as well as I do that public inquiries were often the cause of delays that left us with boundary commissions that were nine or 10 years out of date. But, as I say, we shall have plenty of time to—

Lord Norton of Louth Portrait Lord Norton of Louth
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My Lords, I intervene as I detect that my noble friend is about to finish. I noticed that a little earlier he was about to touch on the number of Ministers but was interrupted and did not come back to that. Will he deal with that point quickly as it is important?

Lord McNally Portrait Lord McNally
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As I have said before—I think that this has been put on record in the other place—if the general opinion is that the 8 per cent cut in the number of Members of Parliament is such a distortion of our constitution that the payroll vote should be trimmed, we will look at that. We will have plenty of time to do that, and we are on record as saying that we will do it. I will give way but we will have lots of time to discuss the issues.

Lord Touhig Portrait Lord Touhig
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I would hate the Minister, as a Liberal Democrat, to miss the opportunity to explain to the people of Wales why it is right that they should have a 25 per cent reduction in their representation in the UK Parliament. I am sure that all the Liberals in Wales are eager to hear that.

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Lord McNally Portrait Lord McNally
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The Liberals in Wales will hear those arguments when they are discussed in Committee. It is not a case of my not answering that question; we can all go on discussing these matters until a quarter to one but it is clear that the Labour Party is not willing to face up to the distortions in our present system. This measure is a fair way of approaching that.

Bill read a second time and committed to a Committee of the Whole House.

Justice: Magistrates’ and County Courts

Lord McNally Excerpts
Monday 15th November 2010

(15 years, 8 months ago)

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None Portrait Noble Lords
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Come on!

Lord McNally Portrait The Minister of State, Ministry of Justice (Lord McNally)
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I beg your pardon; I am not playing for time. My Lords, the Government are committed to the principle of local justice. However, our court estate must reflect changes in population, transport and communication links, technology, workload and the needs of today’s communities. These are the factors that will be in mind when judging where to locate courts.

Lord Phillips of Sudbury Portrait Lord Phillips of Sudbury
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My Lords, will my noble friend the Minister give a commitment that, in making final decisions on which county and magistrates’ courts will be closed, they will take into account: the fact that local justices and local courts have been the bedrock of criminal justice in this country for many centuries, and successfully so; that the cost and inconvenience to public users of distant courts is considerable, and for the one-third who have to use public transport is unsupportable; that the magistrates’ courts reckon that only a third of the 100-plus magistrates’ courts closures are justifiable: and, finally, that the better alternative would be to revert to using multi-purpose buildings, such as town halls, which would be much cheaper?

Lord McNally Portrait Lord McNally
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My Lords, the attraction of multi-purpose buildings has a superficial appeal. The problem is that many of them that might offer that up have no facilities for custody or for victims and witnesses and poor security for professional staff and judges. Therefore, although we will look at the case for that use, the best way is to have modern, purpose-built courts that can dispense justice efficiently. On the first part of my noble friend’s question, yes, we are well aware of the long-standing role of magistrates. Next year will be the 750th anniversary of magistrates in this country.

Lord Lloyd of Berwick Portrait Lord Lloyd of Berwick
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My Lords, I declare an interest as a former president of the Sussex Magistrates’ Association, and I am sorry to say that the magistrates’ court at Lewes is currently under threat of closure. Does the Minister agree that the more work we can channel into the magistrates’ courts, the better? If so, why do we not now consider raising their jurisdiction limit from six months’ imprisonment to 12 months’ imprisonment?

Lord McNally Portrait Lord McNally
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My Lords, I take note of that advice. One of the objectives in the Government’s review of sentencing, which will be published shortly, is to ensure that a proper volume of work goes through the magistrates’ courts.

Lord Anderson of Swansea Portrait Lord Anderson of Swansea
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Apart from the inconvenience to the public, is there not a danger that, when justice becomes less local, justices will not be able to reflect the prevalence of certain offences in their district in the sentences that they give? Is there not also a danger that good justices will be lost to the system because of the extra travelling time involved?

Lord McNally Portrait Lord McNally
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My Lords, to a certain extent those are concerns, and we will keep them under close review. However, we live in a more mobile age and justices will be given assistance with travel costs. The longest journey to court—this is an extreme under the new proposals—will be 40 miles, and most journeys will be much less. I understand the concerns but they do not outweigh the fact that, as the Lord Chief Justice, the noble and learned Lord, Lord Judge, said:

“It is obvious that a number of courts in different parts of England and Wales no longer fulfil any sufficiently valuable public purpose”.

Baroness Trumpington Portrait Baroness Trumpington
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My Lords, why was Bow Street magistrates’ court, home of the Bow Street Runners, the first court and a listed building, allowed to be sold as a hotel when, I am told, there was an offer from a group of ex-police officers to buy it and turn it into a museum? Is the Minister also aware that it was the only court without a blue light outside because Queen Victoria did not like it?

Lord McNally Portrait Lord McNally
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I was not aware of that. I do not know whether this was undertaken by the previous Administration but the most distinguished ex-Lord Chancellor, the noble and learned Lord, Lord Falconer, is nodding. He obviously did the dirty deed. One of the things that I have asked for in the review is that we keep a check on which courts are listed buildings and what is likely to happen to them.

Baroness Smith of Basildon Portrait Baroness Smith of Basildon
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In none of the Minister’s answers has he mentioned the victims of crime having to attend magistrates’ courts or county courts that are some distance further from their homes than they otherwise would be. Is he aware of the number of cases that are adjourned because somebody does not turn up to court? A victim of crime may have to attend court two, three or four times before their case is heard. What assessment has the Minister made of the financial, let alone emotional, cost of victims returning to court several times to have their case heard?

Lord McNally Portrait Lord McNally
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I think the roar of approval is very apt. It is something that we are looking at very carefully. One of the issues that I know the Lord Chancellor is looking at is the almost casual ease with which adjournments are agreed to. As well as good justice, we want to see efficient and quick justice in the magistrates’ courts. Certainly, the point that the noble Baroness refers to is one that needs to be addressed with some urgency.

Viscount Tenby Portrait Viscount Tenby
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Can the Minister indicate the Government’s response to the 10 specific recommendations made by the Magistrates’ Association last month in the light of future plans mooted abroad by the Lord Chancellor? In asking that question, I declare an interest both as a former magistrate and, in that capacity, as someone who has had to oversee the merger and closure of courts.

Lord McNally Portrait Lord McNally
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My Lords, I assure the noble Viscount that we have been in the closest touch with the Magistrates’ Association. We have listened carefully to its recommendations. I hope some of its concerns will be reflected in the statement that we will make in response to these consultations before the end of the year.

Freedom of Information (Time for Compliance with Request) Regulations 2010

Lord McNally Excerpts
Monday 15th November 2010

(15 years, 8 months ago)

Lords Chamber
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Moved By
Lord McNally Portrait Lord McNally
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That the draft regulations laid before the House on 11 October be approved.

Relevant Documents: 3rd Report from the Joint Committee on Statutory Instruments, considered in Grand Committee on 8 November.

Motion agreed.

Legal Aid and Civil Costs Reform

Lord McNally Excerpts
Monday 15th November 2010

(15 years, 8 months ago)

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Lord McNally Portrait The Minister of State, Ministry of Justice (Lord McNally)
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My Lords, I wish to repeat a Statement made earlier today by my right honourable friend the Lord Chancellor and Secretary of State for Justice:

“With permission, Mr Speaker, I wish to announce today proposals for the reform of legal aid in England and Wales and proposals for the reform of civil litigation funding and costs in England and Wales. I have today laid before Parliament two documents, Proposals for the Reform of Legal Aid in England and Wales and Proposals for the Reform of Civil Litigation Funding and Costs in England and Wales, which consult on these issues and copies of which will be available in the Vote Office and on the Ministry of Justice website. The changes will require primary legislation and, subject to consultation, I hope to include proposals in a Bill as soon as parliamentary time allows.

Legal aid forms a vital part of a system of justice of which we are rightly proud. The Government strongly believe that access to justice is a hallmark of a civilised society. However, I believe that there is a compelling case for going back to first principles in reforming legal aid. The current system bears very little resemblance to the one that was introduced in 1949. Legal aid has expanded—so much so that it is now one of the most expensive systems in the world, costing the public purse more than £2 billion a year. It is now available for a very wide range of issues, including some which do not require any legal expertise to resolve. It cannot be right that the taxpayer is footing the bill for unnecessary court cases, which would never have reached the courtroom door were it not for the fact that somebody else was paying.

The previous Government made many attempts to reform legal aid, conducting more than 30 consultations since 2006. However, successive changes have been of a piecemeal nature and have failed to address the underlying problems. I have gone back to basic principles to make choices about which issues are of sufficient priority to justify the use of public funds, subject to people’s means and the merits of the case. I have taken into account the importance of the issue at stake, the litigant’s ability to present their own case, and the availability of alternative sources of funding and of alternative routes to resolving the issue, as well as our domestic and international legal obligations.

My proposals have also been designed with the aim of achieving significant savings. No other Government in the world believe that the taxpayer should pay for as much legal aid and litigation as we do in the United Kingdom. We have made clear our commitment to reducing the fiscal deficit and encouraging economic recovery. Last month’s spending review set out the scale of the challenge. My department’s budget will be reduced by 23 per cent over four years. Legal aid needs to make a substantial contribution to that reduction. I estimate that the proposals in the consultation paper, if implemented, will achieve savings in the region of £350 million in 2014-15.

I do not propose any changes to the scope of criminal legal aid. However, I propose to introduce a more targeted civil and family scheme, which will discourage people from resorting to lawyers whenever they face a problem, and instead encourage them to consider more suitable methods of dispute resolution. Legal aid will still routinely be available in civil and family cases where people’s life or liberty is at stake, or where they are at risk of serious physical harm or immediate loss of their home. For example, I plan to retain legal aid for asylum cases, for debt and for housing matters where someone’s home is at immediate risk, and for mental health cases. It will still be provided where people face intervention from the state in their family affairs which may result in their children being taken into care, and for cases involving domestic violence or forced marriage. I also propose that legal aid should remain available for cases where people seek to hold the state to account by judicial review and for some cases involving discrimination which are currently in scope. Legal assistance to bereaved families in inquests, including deaths of active service personnel, will also remain in scope. However, prioritising these areas requires that we make clear choices about the availability of legal aid in other areas. Therefore, we propose to remove from the scope of the scheme issues which are not, generally speaking, of sufficient priority to justify funding at the taxpayer’s expense. I therefore propose to remove private family law cases, unless there is domestic violence, forced marriage or child abduction involved. I will continue to provide funding for mediation which can benefit those involved in family disputes by avoiding long drawn-out and acrimonious court proceedings.

Other cases which I am proposing to remove from the scope of the civil legal aid scheme include clinical negligence, where in many cases alternative sources of funding are available such as no-win no-fee arrangements. They also include education, employment, immigration, some debt and housing issues and welfare benefits, except where there is a risk to anyone’s safety or liberty or a risk of homelessness. In many of these the issues are not necessarily of a legal nature but require other forms of expert advice to resolve.

I recognise that there will be some cases within those areas of law which I propose to remove from scope which international or domestic law will require to be funded by the taxpayer. I therefore propose a new exceptional funding scheme for excluded cases. I want to ensure that those who can either pay for, or contribute to, their legal costs do so, so that we ensure continued access to public funding in those cases that really require it for those who have little or no funds of their own. I therefore propose that all clients with £1,000 or more disposable capital should make a minimum £100 contribution to their legal costs and that the capital of any prospective legal aid clients is taken into account when considering eligibility.

I have also looked at how best to reform the way in which we pay lawyers who provide legal aid services. I want to ensure that criminal cases are resolved quickly and cost-effectively and that legal aid fee structures support that aim. In the long term, I propose to fulfil the recommendation of the noble Lord, Lord Carter of Coles, to the previous Administration to move towards a competitive market to replace the current system of administratively set fee rates. However, it will not be possible to fulfil that aim in the short term. Therefore, I propose some more immediate changes to the current fee structure. I propose to ensure that in Crown Court cases that could realistically have been dealt with in the magistrates’ court, a single fixed fee for a guilty plea will be paid based on fee rates in the magistrates’ court. I also propose that the same fee should be paid in respect of a guilty plea in the Crown Court regardless of the stage at which the plea is entered, and to do more to contain the costs of very high-cost criminal cases.

These proposals complement other reforms to the justice system which I will be bringing forward, designed to encourage cases to be brought quickly and efficiently to justice, so sparing the victim the ordeal of giving evidence in court unnecessarily and the justice system significant but avoidable costs. It is important to strike a balance between the need to ensure that legal aid provision is innovative, efficient and good value for taxpayers’ money on the one hand; and ensuring that people can continue to access legally aided services where necessary on the other. I believe that there is more that can be done to strike that balance. I propose to reduce fees paid in civil and family cases by 10 per cent across the board and make similar levels of reductions in rising experts’ fees. I also propose to extend telephone access to advice through the Community Legal Advice telephone helpline, which has a high rate of public satisfaction, to help people find the easiest and most effective ways to resolve their problems. I am also consulting on proposals to make much better use of alternative sources of funding for legal aid. In particular, I would welcome views on making use of the higher rates of interest generated on money invested in a pooled account used by solicitors to hold their clients’ money, and on making use of a supplementary legal aid scheme. Lastly, I seek views on how to make the administration of legal aid less bureaucratic for solicitors and barristers doing legal aid work. I recognise that processes have become overly complex and want to do what I can to simplify these while remaining consistent with the highest standards of accounting practice.

Also, Mr Speaker, on 26 July this year, the Government announced their intention to consult on implementing Lord Justice Jackson’s recommendations on the reform of civil litigation costs and funding arrangements. Sir Rupert Jackson’s independent and comprehensive report published in January 2010 makes a clear case that the costs in civil cases in England and Wales have become too high, and he makes a broad range of recommendations for reducing those costs. I am convinced by Sir Rupert’s argument that achieving proportionate costs and promoting access to justice go hand in hand. I believe that the consultation proposals for the reform of civil litigation funding and costs presented today will help rebalance access to justice with proportionate costs in civil cases.

In particular, Sir Rupert’s proposals would reform the operation of no-win no-fee conditional fee agreements or CFAs. CFAs are funding agreements under which lawyers are not paid if they lose but may charge an uplift or a success fee of up to 100 per cent on their base costs if they win. CFAs as they currently operate allow claims to be brought at no financial risk to individual claimants, but the other side of the coin is that CFAs impose substantial additional costs on defendants. The Government have already accepted the recommendations of my right honourable and noble friend Lord Young of Graffham’s recent report on health and safety and the compensation culture, Common Sense, Common Safety. My noble friend’s typically cogent report endorses Sir Rupert’s proposals. The key proposal is to abolish recoverability of success fees and the associated after-the-event insurance premiums in CFA cases. Under the current regime, defendants must pay these additional costs if they lose. These additional costs can be substantial, as the success fee can be double the base legal costs. In addition, significant costs can arise from claimants’ purchase of after-the-event insurance. After-the-event insurance can be taken out by parties in a CFA-funded case to insure against the risk of having to pay their opponent’s costs and their own disbursements if they lose. We are proposing that claimants should have to pay their lawyers’ success fee and will therefore take an interest in controlling the costs being incurred on their behalf. This will also reduce the disproportionate costs burden on defendants.

We are also seeking views on implementing other recommendations which are designed to balance the impact of these major changes, in particular to assist claimants. These recommendations include a 10 per cent increase in general damages to help pay the success fee and introducing a mechanism of qualified one-way costs shifting. This would protect the vast majority of personal injury claimants from paying a winning defendant’s costs and will therefore reduce the need for after-the-event insurance. We also propose to allow damages-based agreements or contingency fees in litigation before the courts. These are another form of no-win-no-fee agreement under which lawyers can take a proportion of the claimants’ damages in fees. This would increase the funding options available to claimants.

Other proposals would further encourage parties to make and accept reasonable offers, as well as introduce a new test to ensure that overall costs are proportionate. We also propose to increase the modest costs which can be recovered by people who win their cases where they represent themselves without lawyers.

Taken together, my reform proposals complement the wider programme of reform which I will be bringing forward to move towards a simpler justice system: one which is more responsive to public needs, which allows people to resolve their issues out of court, using simpler, more informal remedies where they are appropriate, and which encourages more efficient resolution of contested cases where necessary.

I commend this statement to the House”.

My Lords, that concludes the Statement.

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Lord McNally Portrait Lord McNally
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My Lords, first, I agree with the noble Lord about the press coverage over the weekend. I wonder what advantage it gives, with something that is going to be the subject of a three-month consultation, if somebody leaks to or briefs the press. I will say that neither report is entirely accurate, but this is the world that we live in. I would much prefer that Statements were made to the House of Commons and to the House of Lords and then reporters could do their job.

I welcome the noble Lord’s assertion that we are talking about one of the most fundamental parts of our society: namely, access to justice. I also welcome his recognition that a £2 billion legal aid fund is not sustainable in present circumstances. The Statement, all the comments that the Lord Chancellor and other Ministers have made and we in the Ministry of Justice all recognise that these decisions are influenced in part by our having to cut £2 billion from our budget over the next five years of the spending regime, and that legal aid is one of two or three big-ticket items in the MoJ budget.

I hear what the noble Lord says about social welfare law. In reviewing this, we are trying to focus legal aid on the most serious cases. We are looking at where other sources of funding may be available and where advice can be given to take some of these matters out of the legal system to tribunals and other instruments of resolution. However, we are not trying to pretend anything other than that we are taking hard but necessary decisions to move some cases out of scope and out of legal aid.

The noble Lord asked about the Legal Services Commission. We will take action on that as soon as parliamentary time is available. We are battling for that time at the moment. The 10 per cent across-the-board cuts will apply to the assistance that the noble Lord referred to, and to social welfare work. The noble Lord asked in particular about housing cases. We made it clear that in cases where there is the threat of absolute homelessness, assistance will be retained. We propose that legal aid will be retained for both housing and debt cases where there is the risk of homelessness, and for housing cases where there is a serious problem to be addressed. We propose that legal aid ceases to be available for employment and welfare benefit matters, because the vast majority of these are heard before tribunals. We propose no changes for community care. On the question of contributions, it is critical that those who have the resources to pay for or contribute towards their legal costs should do so, and that the public purse must be the fund of last resort where people own substantial assets.

I hope that I have covered most of the specific points. I understand that the noble Lord will want to study carefully what Lord Justice Jackson said. Like the previous Government, we are trying to take away the inflation pressures caused by the way in which no-win no-fee operated and by the way in which costs, damages and add-ons were calculated. Our old system was inflationary in costs, and encouraged litigation. We hope that what we have extracted from Lord Justice Jackson's recommendations will address problems that were recognised by all parts of the legal profession.

Lord Thomas of Gresford Portrait Lord Thomas of Gresford
- Hansard - - - Excerpts

My Lords, I cannot welcome the Statement, but I welcome the fact that the Minister has said that not principle but finance has caused the reductions that we have seen. When I read the Statement, I thought that the noble Lord, Lord Bach, could easily have issued a similar Statement in the previous Government. No doubt that is why his criticisms were so muted.

This is a considerable challenge to the legal world. Here I declare an interest as a practising criminal Silk, paid very often by legal aid. The suggested reforms set out in the Green Papers require very considerable attention from both the criminal Bar and the family Bar. It is the latter that will really suffer under the provisions that are being put forward.

I ask the Minister about the suggestion that there will be a new exceptional funding scheme for excluded cases. I had a number of discussions with the noble Lord, Lord Bach, when he was in the previous Government, on that very issue. Its importance is that it is wrong for an individual to be in a court, tribunal or inquest and to find himself facing a state-funded organisation such as the Army or the Air Force, or a well funded public company, when an allegation of negligence has arisen. The previous provisions for an exceptional funding scheme were largely concerned with inquests. The noble Lord, Lord Bach, will recall that it was not easy through that mechanism to obtain proper funding for families in distress who faced paid advocates at a very high level who were trying to make sure that their clients were not accused of any negligence. What is the new exceptional funding scheme? Will the mechanisms be improved? Will they be more apparent so that people understand how to obtain exceptional funding in the future? That is a very important issue and I hope that the Minister will be able to respond.

Lord McNally Portrait Lord McNally
- Hansard - -

I thank my noble friend. His question gives me the opportunity to mention a point raised by the noble Lord, Lord Bach, to which I did not respond. If not exactly ring-fenced, criminal legal aid is more protected because we take the view that when people are on trial for a criminal offence, it is important that they have access to justice and legal aid. However, that does not mean making a choice between criminal and civil cases, other than that, in terms of access to justice, a criminal charge is more serious.

The exceptional funding scheme will go wider than assistance for inquests, and it will indeed be available for those who may find themselves out of scope in these decisions but who have an exceptional case to make. I note what my noble friend says. We are well aware that we are making tough decisions that are needed to ensure access to public funding in cases that really require it and in protecting the most vulnerable in our society, as well as encouraging the efficient performance of our justice system. As we have made absolutely clear, those decisions are motivated partly by economic circumstances but also by a view that the legal aid system, as the noble Lord, Lord Bach, acknowledges, needs to be recalibrated and rebalanced, and that is what we have tried to do.

Lord Davies of Stamford Portrait Lord Davies of Stamford
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I am very sorry that the noble Lord just brushes aside the leaks in this case—

Viscount Slim Portrait Viscount Slim
- Hansard - - - Excerpts

My Lords, following on from what the noble Lord said just now, I should like to thank the noble Lord, Lord Bach, for the sensitive way in which, during the previous Government, he dealt with many issues relating to the military and, in particular, veterans and war widows. He would always listen and I know that he then went off and did his best. I did not like the phrase “out of scope” and I am not sure about “eligibility”, but there are many veterans and military widows who, the moment they leave the protection of the services, are on the streets and very vulnerable. I feel that somewhere in the Minister’s and the Ministry of Justice’s plans there should be special provision to see that these very fine people are not left out in the cold.

Lord McNally Portrait Lord McNally
- Hansard - -

My Lords, I associate myself with the comment of the noble Viscount, Lord Slim, about the noble Lord, Lord Bach, and his record in this area. Within the constraints in which we find ourselves, we certainly intend to make sure that our responsibility to service personnel and their families remains. Exceptional funding will remain available where there is a significant wider public interest in the applicant being represented at an inquest. Therefore, the families of service personnel will still be able to access legal aid funding for representation at inquests into their loved ones’ deaths. Rebuilding the military covenant is one of the top objectives of this Government, and the Ministry of Defence is currently considering how best to fulfil that covenant.

Lord Davies of Stamford Portrait Lord Davies of Stamford
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My Lords, I am very sorry that the Minister just brushed aside the leaks in this case, as the Government always seem to do, by saying that it is just a matter of the world that we live in. It is a matter of the world that we live in only because it is tolerated. It is about time the Government adopted a slightly more rigorous approach to investigating and pursuing these things, as the Ministry of Defence did in the previous Parliament. I very much welcome the Government’s decision to propose that success fees should no longer be chargeable to defendants. It seems quite wrong to penalise defendants because of the funding structure that plaintiffs agree with their lawyers. Does the noble Lord agree that one of the great anomalies and problems of legal aid is that the costs incurred by a successful defendant cannot be claimed against the plaintiff? That is not only unfair, unjust and unbalanced between plaintiffs and defendants and legally aided plaintiffs and non-legally aided plaintiffs; it clearly reduces the financial disincentive to litigate marginal cases. Do the Government have any plans to deal with that anomaly?

Lord McNally Portrait Lord McNally
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I think that I had better duck for cover in this case. I hear the point that the noble Lord makes. If we already have specific plans in this area, I shall write to him; if not, I shall make sure that that point is fed into the discussions that will be part of the review, which will go on for the next three months.

On investigating leaks, at the very beginning of my career I recall the Labour Party, under Harold Wilson, setting up a leaks inquiry and the first meeting of that inquiry being leaked to the Guardian. I was not dismissing the issue; I deplore it and, as I said at the beginning, I wish that we could get back to the rather old-fashioned idea that statements are made to Parliament and then the newspapers report them.

Baroness Browning Portrait Baroness Browning
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My Lords, can my noble friend clarify the response that he gave the noble Lord, Lord Bach, just a few moments ago, when I believe I heard him say that welfare cases are to remain the same? The House will be aware that, with all-party support in both Houses during the previous Parliament, the Autism Act is now on the statute book. One thing that triggered the need for that Act was the fact that many adults and adolescents with autism find themselves in dispute with their local authority over not being able to access appropriate packages of support. That applies not just to those with autism but to people with a great many lifelong disabilities. One of the difficulties in challenging a local social services department is that often the key person who knows most about you is the social worker, who is an employee of the very department with which you have to negotiate. These disputes often become legal cases, although those in social services departments to whom I have spoken about this openly put up their hands and say that, once a legal challenge is made, they very often settle out of court before the case reaches that stage. However, I should be very concerned if vulnerable adults—and they are vulnerable—across the disability spectrum were denied the support of the courts.

Lord McNally Portrait Lord McNally
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My noble friend’s question points to many of the problems that we face. If legal aid is automatically given in many of the areas that we are removing from scope, it becomes almost a first stop. We are actively trying to promote a different, cheaper and quicker mechanism for settling disputes. A dispute between someone suffering from autism and the local social services department almost automatically ends up as a battle between lawyers in court. We have got something wrong somewhere. We have taken tough decisions; we have taken people out of scope; and we shall look at different ways of getting advice. We propose that legal aid be retained for community care cases and for judicial review in community care cases. As I said before, we are not hiding the fact that this is a removal of legal aid from areas and cases that have previously been covered. We seek to encourage the alternative resolution of disputes, partly because, as the noble Lord, Lord Bach, said, successive Governments have found that the creep of legal aid makes it very difficult to keep overall control of it.

Lord Boateng Portrait Lord Boateng
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My Lords, no one would seriously suggest that we should not reform the legal aid and civil costs regime. However, citizens advice bureaux and the law centre movement have long played a distinguished part all over our country in providing access, not just for the most vulnerable but for the middle classes, to the law and to legal advice. It is cost effective and involves paid volunteers, lawyers, mediators and experts from a whole variety of sources who are needed to ensure that people get justice. The Minister’s right honourable friend has been silent in his Statement about the role of citizens advice bureaux and the law centre movement. Can he give some words of encouragement and support for the contribution that they currently make? Can he indicate whether they will have an opportunity to play an enhanced role in the future and perhaps do something about the crisis in funding that CAB centres face up and down the country, even as we speak?

Lord McNally Portrait Lord McNally
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My Lords, I can give some limited encouragement. It is true that the law centre movement and other such bodies, which rely on certain cases of legal aid, will have difficulties with this Statement. I also think that there are likely to be difficulties for the CABs which, as the noble Lord indicates, face the problem of the impact of cuts in local authority funding and the likely loss of legal-aid work in the legal advice that they cover. My right honourable friend the Lord Chancellor is fully seized of these problems and is very willing, during the period of consultation, to talk to those bodies and to explore alternative assistance and funding. The noble Lord points to the real impact made by the decisions that we have taken.

Lord Maclennan of Rogart Portrait Lord Maclennan of Rogart
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My Lords, I welcome the reference to promoting alternative dispute resolution to accelerate and simplify the resolution of disputes. Can my noble friend indicate what the criteria are to be where exceptional funding for excluded cases is awarded? In particular, will he recognise that it is an issue not just for the excluded individual but for the courts, because if a case is of a particular complexity it can clog up the courts: a point that was made by a former Lord Chief Justice and a former Master of the Rolls when a previous Conservative Government cut legal aid?

Lord McNally Portrait Lord McNally
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My Lords, if we are going to recalibrate legal aid, we shall have to explore the alternative resolution of disputes through mediation and other means. On the exceptional cases fund, part of the consultation will be about the criteria and the range of that fund. The recommendations of the Legal Services commission to the Secretary of State will determine how the fund is used, but the opportunity to consult will be taken to ensure that the fund is flexible to the needs of those who really need access to justice.

Lord Beecham Portrait Lord Beecham
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My Lords, does the Minister agree that the conflation of the costs of civil and criminal legal aid in the sum of £2 billion, to which my noble friend Lord Bach referred, disguises the greater proportion devoted to criminal legal aid? What will the percentage cut on the civil legal aid budget be? Can he also indicate where he expects alternative provision to be made and at what cost, and who will fund that cost? Perhaps he could also identify an estimate of the number of cases currently in receipt of legal aid in the categories that will no longer receive legal aid: that is, as the Statement made clear, education, employment, immigration, debt, housing and welfare benefits.

On a slightly tangential matter, will the Minister ask his right honourable and learned friend the Secretary of State for Justice and Lord Chancellor to look again at the court fees that local authorities are required to pay in child protection cases and which are widely thought to inhibit the necessary promotion of those cases? I declare an interest as an unpaid consultant in my former practice as a senior partner in a Newcastle firm of solicitors.

Lord McNally Portrait Lord McNally
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My Lords, I shall write to the noble Lord on the specific numbers that are being dealt with in areas that are now going out of scope. I shall raise the issue of court fees with the Lord Chancellor. The target saving is £350 million, and I made it clear that that would come mainly from the civil side.

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Baroness Kennedy of Shaws Portrait Baroness Kennedy of The Shaws
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My Lords, first, are the Government aware that the greatest advances in the development of law happen in legal aid cases? By diminishing legal aid, you end up undermining law as a whole. Secondly, family law has already suffered cuts, and we are seeing legal aid deserts in certain parts of the country. Women, for example, are not getting the kind of expert help that they need in cases of domestic violence. Thirdly, if the Ministry of Justice is concerned to look at spending on legal matters, has consideration been given to the money paid to lawyers by government, not as legal aid money but money paid by government departments to lawyers at the market rate, which is often excessive? Perhaps we should do something to drive those costs down instead of limiting access to the law by the poor.

Lord McNally Portrait Lord McNally
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My Lords, my noble friend Lord Strathclyde is encouraging me to cheap populism by agreeing that we should drive down the cost of legal advice to government. Legal costs in general are certainly being looked at. I can reassure the noble Baroness that in the key areas of family law, which I referred to as domestic violence and child protection, legal aid will be retained.

On the breakdown of the savings, I have a slip of paper that says that the aim is roughly to try to find £100 million savings on criminal aid and £250 million on the civil side.

On the Statement’s intention, I can say to the noble Baroness only that, against the financial constraints that we face and a general agreement that legal aid needed recalibrating, we have tried to take some tough decisions in a way that protects the vulnerable and retains the core sense of our system: that all have a right to access to justice.