Mental Health (Discrimination) Bill [HL]

Lord Wallace of Saltaire Excerpts

Friday 25th November 2011 Lords Chamber

[Lord Wallace of Saltaire]

My Lords, I was just discussing with my noble friend Lord Shutt the West Riding asylum, with its own dedicated railway siding and room for 1,200 people, which was still there, although thankfully empty, when I first stood in the Shipley constituency. We have thankfully moved a long way from the Victorian age, but there are still some issues which we have to remove from the statute book.

I can tell the House that the Government support the Bill, although we will ask for some amendments to be made in Committee. A number of the provisions put forward demonstrate a shared purpose with the objectives of this Government. They are in line with the Government’s strategy, No Health Without Mental Health. Tackling stigma and discrimination is at the heart of the Government’s mental health strategy.

This is an issue which goes way beyond the Government and the Opposition. Shifting public behaviour and attitudes requires a major and substantial social movement, including more sympathetic treatment in our mainstream media. So let me remind noble Lords that the Government have already publicly committed to the repeal of Section 141 of the Mental Health Act 1983 and that, as has already been mentioned, we stated last February that the section would be repealed when a suitable legislative vehicle became available. This Bill seems to be that suitable legislative vehicle, and we are glad to see that it is linked with similar amendments on the role of company directors, school governors and jurors. On the question of jury service, the Government have been considering the detail of what is proposed and wish to ensure that any amended provisions are fair and effective. They support the principles underlying the Bill, including Clause 2 on jury service, and propose that the clause should remain in the Bill. However, it is possible that my noble friend the Deputy Leader of the House and his colleagues at the Ministry of Justice might bring forward a government amendment at a later stage.

Given the lateness of this Second Reading in the Session, it may not be possible, even with the best of good will, for the Bill to complete all of its stages before the Session ends, let alone to take it through the Commons as well. If, however, it fails to be carried during this Session, the Government hope that it will be reintroduced at the beginning of the next Session, and can assure the House that it will have the Government’s support. We look forward to seeing it on the statute book.

Government Procurement Policy

Lord Wallace of Saltaire Excerpts

Thursday 24th November 2011 Lords Chamber

[Lord Wallace of Saltaire]

My Lords, this debate has ranged widely. I thank the noble Lord, Lord Sugar, for drawing the House’s attention to such an important issue. Procurement is central to the Government’s programme for reform and efficiency in public services and, as the Autumn Statement will make clear, to the growth agenda. I thank all noble Lords who have spoken in the debate and will do my best to address many of the points that have been raised.

In October 2010, in a debate on Sir Philip Green’s report, the noble Lord, Lord Sugar, argued that,

“it is time to centralise buying and to bring in some kind of head honcho from the private sector who knows what they are doing and pay them the right amount of money, which they would be paid in a large organisation”.—[Official Report, 14/10/10; col. 593.]

Our head honcho—the government chief procurement officer, as we prefer to call him—is John Collington. John is a highly respected procurement professional who joined the Civil Service five years ago after having spent 25 years in the private sector in a number of senior commercial and supply chain roles, operating on a global basis. He is well paid. He is not paid on the scale of the CEO of one of our major banks, but then the Government are not entirely happy with the scale on which our major banks are paying their current CEOs.

Since then the Government have embarked on a new procurement strategy to reform the way in which they buy those goods and services which they need to fulfil their responsibilities. The strategy focuses on having a centralised approach to the purchasing of common goods and services, appointing Crown representatives—of which there are now nine—to work with the Government’s largest suppliers, removing the red tape that stops SMEs competing for government contracts, improving our procurement technology and, above all, investing in our staff to improve our procurement capability. The noble Lord, Lord Kestenbaum, called for a procurement revolution. This is under way.

The scale of government procurement should be set out. Central government procures some £62 billion of supplies a year. The wider public sector, including local government, procures some £168 billion and the total public sector procurement, including that of arm’s-length bodies, is some £230 billion. Some of that is accounted for by commodities and some by services. Then there are the major long-term contracts for infrastructure construction, manufactured systems and trains, armoured vehicles and aircraft carriers. These do not, of course, require entirely the same approach. There are unavoidable tensions between central control and local diversity and—as the noble Lord, Lord Anderson, pointed out—between the squeeze on costs and the political requirement to achieve regional balance where that is possible. I should say that the Olympic Delivery Authority has done extremely well in delivering on time and within cost. I regret that the regional balance has not been as good as it should be but on other criteria it has been a remarkable success.

Much of the criticism in this debate has been about the practice of the previous Government regarding, for example, the ETS and the other enormous IT contracts, and the vast expenditure on consultants. The Government are setting out to be a lean Government in procurement. If I may say so, it is a lean Government in every single aspect through and through. As noble Lords will know, the Government Car Service has been considerably pruned. Ministers are now walking twice as much. I have not yet assessed how much weight they have lost but we are a leaner Government, I think, than our predecessor was in that respect.

Eighteen months ago the Government promised to drive out inefficiency and unjustifiable costs from all parts of central government, including procurement. As part of that drive, in just 10 months we have saved £3 billion from reduced discretionary spend and smarter procurement that has allowed departments to protect essential front-line services and jobs. This has included more than £870 million saved by cutting departmental spend on consultants; nearly £500 million saved by reducing spend on temporary agency staff; some £400 million saved by taking stronger control of our marketing spend; some £360 million saved by centralising spend on common goods and services; and £800 million saved from renegotiating deals with some of the largest suppliers to government. Last March, for example, we announced that nine different commodities would be jointly purchased by October: energy, office supplies, professional services, travel, fleet, telecoms, IT commodities, print, and advertising in the media. I am very happy, as a Yorkshire resident, to say that the domestic travel component was awarded to a small enterprise based in Bradford—so it is not merely a matter of large suppliers. A month later John Collington announced that, over the next four years, this new procurement model is estimated to cut 25 per cent from the £13 billion spend on common goods and services in central government.

This is a very good start, but we also need to do away with the unnecessary bureaucracy that adds wasteful time and costs to the procurement process. Following a lean review of the procurement process, we are adopting a new approach to sourcing that focuses on those practices that add value to the way that government procures goods and services.

Another major step forward has been the transformation of the Buying Solutions trading fund into the Government Procurement Service. This organisation is now established as the delivery arm of the centralised procurement strategy, delivering expert sourcing and category management for common goods and services. It is focused on delivering savings to the taxpayer and increasing the proportion of spend that is centralised. For major projects we have established the Major Projects Authority, which, with the pre-existing Major Projects Review Board, takes particular account of defence procurement, major infrastructure procurement and IT.

The noble Lord, Lord Davies of Stamford, made a characteristically robust speech. I look forward now to his speeches in the way that I used to look forward to those of the noble Lord, Lord Gilbert, who would always robustly tell us how well defence procurement had taken place while he was a Minister and how appallingly it had deteriorated since he left. The only problem, I say to the noble Lord, Lord Davies of Stamford, is that he left the MoD 10 years after the noble Lord, Lord Gilbert. Perhaps he should consult the noble Lord, Lord Gilbert, on how they could better reconcile their narrative next time round.

Over the past six months the Government Procurement Service has already made significant progress. It has developed centralised strategies for energy, office solutions, professional services covering consultancy, contingent labour, legal services, and so on. It has driven much-improved data and significantly increased the transparency of operations and performance through a procurement executive board. It has moved central government customers on to the first centrally let commercial arrangement—the government office supplies contract. The Government Procurement Service has established a process for using surplus income to fund Government Procurement Service and government procurement improvements, with four key investments made to date. The procurement service has managed procurements, extensions and renegotiations of contracts worth approximately £3.6 billion in annual value.

We are conscious that Britain does not compare well with Germany, France and the Netherlands in the relationship with suppliers. Perhaps I may quote the speech made by my colleague Francis Maude on Monday. He said that,

“the British public sector has taken a speed dating approach”

compared with those countries’ mutually beneficial long-term relationships. We are aware of that and looking at it, and we very much hope to improve the relationship. I say to the noble Lords, Lord Broers and Lord Hunt of Chesterton, that we are also well aware of the role that this long-term relationship can play in encouraging innovation and, in particular, new innovative companies.

The noble Lord, Lord Sugar, made a number of remarks about not sending contracts to foreign companies that pay little tax in this country. I say to him that it is not only foreign companies that, in some cases, do not pay very much tax in this country; some of our major domestic media companies do not either. One has to remember that Siemens employs a large number of people in manufacturing plants in this country, and therefore the question of what is and what is not a British company has become a little more complicated. We are also well aware of the French, German, Dutch and other examples. What the noble Lord, Lord Puttnam, called the procurement game is, therefore, something that we intend to learn.

Moreover, we are working not just with the biggest companies. In February this year, the Prime Minister outlined measures to open up the way that government does business in order to ensure that small and medium companies, charities and voluntary organisations are in the best possible position to bid for contracts. Since February we have delivered the following building blocks aimed at supporting SMEs. We have eliminated the use of pre-qualification questionnaires in 15 departments for procurements below the EU threshold of approximately £100,000. Evidence suggested that the length of those pre-qualification questionnaires was one of the biggest inhibitions to small companies in applying for government contracts. The two departments still using pre-qualification questionnaires are doing so only for security reasons. We are also now publishing all central government tenders and contracts through the Contracts Finder website. More than 2,000 tenders have been published, of which 50 per cent were flagged as suitable for SMEs, and more than 30 per cent of contracts listed were flagged as awarded to SMEs. We are also piloting a new e-sourcing solution, the Dynamic Marketplace. Nine departments have signed up and more than 500 suppliers have registered, providing themselves with free and easy access to opportunities below the EU threshold. We have even introduced a “mystery shopper” scheme to allow suppliers to report bad procurement practice by government purchasers. More than 100 cases so far have been received and dealt with under the scheme.

I say to the noble Lord, Lord Sugar, that there is no 25 per cent rule regarding the turnover of SMEs in bidding for public procurement contracts. Consideration is given purely to the financial viability of SMEs bidding for contracts, and we are aware of the need to encourage SMEs in all ways. In July 2011 we published the first SME progress report and departmental action plans outlining how departments are supporting SMEs. We ran an Innovation Launch Pad, which received 351 proposals from SMEs. Two of the best companies have since won new business with government, and we hope that others will do so as well. To help with suppliers’ cash flow—a point raised by the noble Lord, Lord O’Neill—the Government aim to pay 80 percent of undisputed invoices within five days. That is not on the same model as supermarkets. In all new contracts we require main contractors to pay their subcontractors —which are more often SMEs—promptly.

We have also taken steps to raise the competency and professionalism of public sector procurement staff. We are building a training programme that will increase the skills of the Government’s key procurement professionals in line with the use of lean techniques. This will become a prerequisite for procurers who lead on major procurements for government. We have also implemented a two-way commercial interchange pilot programme with industry to bring private sector expertise into government and interchange with our procurers who will benefit from experience of private sector best practices.

I therefore respectfully suggest that in the 13 months since the debate on the Green report, this Government have done far more to transform public procurement than the previous Administration managed to do in 13 years. However, we are not resting on our laurels. We recognise that there is still more to be done, and we have a clear programme to do it.

I turn to the question of EU rules, which clearly need to be substantially reformed. We welcome the European Commission’s intent to publish proposals to simplify the procurement directives by early 2012, and in our response to the Commission’s Green Paper on the modernisation of EU public procurement policy we have called for significant simplification to free up public procurement markets and enable a light-touch, modern regulatory framework. We have been in active dialogue with the Commission on these proposals. This is a once-in-a-decade opportunity to simplify the procedures, cut red tape, embed transparency, and increase cross-border competition to the benefit of citizens, business and public authorities across the European Union. As a priority, we must ensure that these reforms catalyse and drive growth.

Alongside this work, in July the Government stated that we would consider whether the UK was best applying the EU procurement rules and managing our procurements in order to meet our strategic needs, cost effectively, in the long term. We will be publishing more details as part of the growth review on 29 November.

Three days ago, at the Cabinet Office conference on 21 November, my honourable friend the Minister for the Cabinet Office unveiled a radical package of measures that will change how our Government buy from the private sector in a way that supports business and promotes growth. The Government will provide an open door for current and future suppliers to discuss forthcoming procurement opportunities, cutting the time taken in the procurement process. We will work with industry to identify and address any key capabilities needed to meet future demand. We have published a pipeline of £50 billion of potential business opportunities across government, giving an unprecedented view into the Government’s expected future requirements and helping business to build the confidence to invest long term in plant, machinery and people.

We aim to make it 40 per cent faster to do business with government—another issue which matters enormously to smaller companies. All but the most complex procurement processes will be completed within 120 working days from January, compared with the average of 200 days now. By engaging earlier and more openly with business and the wider supply chain, government will be able to reduce the time taken during the procurement process and provide the greater certainty and visibility of this forward pipeline to unlock investment. We will require all civil servants responsible for running major procurements to be trained in the Government’s new approach.

The noble Lord, Lord St John, talked about the advantages of payment by results and procuring for outcomes. As he will know, a number of experiments on this are going on in different sectors. It is something that we are well aware of. We intend to experiment with it further and we hope to benefit from it more in the future. As Francis Maude said on Monday, we will follow the example of our EU neighbours and, indeed, of best practice in the private sector by making it easier for our suppliers to do business with us.

The Government Procurement Service, now based within the Efficiency and Reform Group in the Cabinet Office, will continue to implement the category strategies and deliver centralised contracts in the core category areas. Only last week, we awarded the central government travel management services contract—that is, the domestic and international contract—which is projected to save the Government some £20 million, equating to a saving of approximately 30 per cent against the existing arrangement. I shall not mention which airline I flew with the last time I went on government business, but that is part of the saving.

The Government are committed to continuing the work that we have started, to promoting growth, to increasing savings and reducing bureaucracy, to making public procurement a slick and efficient process, and to making government a reasonable and straightforward customer for businesses to work with.

[Lord Young of Norwood Green]

The one question that the noble Lord has not addressed on which I should welcome some comment is why in public procurement contracts we do not stipulate, as the previous Government did, that it is a perfectly reasonable quid pro quo to indicate how many apprentices there are and what training they will be undertaking. I thought it disgraceful when I discovered a very large government contract with a company that did not have a single apprentice on its books. I would welcome the Minister’s response to that.

[Lord Wallace of Saltaire]

As the noble Lord will know, the number of apprentices has increased considerably in the past year, and this is something to which we are paying a great deal of attention. However, on his specific question, I shall investigate and write to him.

Voluntary Sector Funding

Lord Wallace of Saltaire Excerpts

Thursday 24th November 2011 Lords Chamber

[Lord Wallace of Saltaire]

My Lords, I thank the right reverend Prelate for introducing this debate. I also welcome the noble Lord, Lord Wood, on what I think is his first speech from the Front Bench. I give him a particularly personal welcome. I think that I first met him when I was asked to give a seminar with some colleagues in the Treasury. I was especially nervous because my daughter was going to be one of those who would be listening to us speak. I have to say that, from my knowledge of his role as a special adviser in the Treasury, he was always very warmly spoken of by the officials. For a special adviser, that is an unusual and considerable compliment.

We are discussing a very serious and broad matter today. I want, if I may, to go a little wider than the brief that I was given in terms of what we are all facing. I, too, remember the Faith in the City initiative. Certainly, in the Bradford diocese, I saw this as a Church of England initiative to try to persuade the congregations in the better-off parts of the diocese that they were part of the same community as those in the worst-off parts, and they needed some persuasion. It was an extremely worthwhile exercise, but it required to be done. I am very conscious, in respect of the Leeds diocese, that the richest street in West Yorkshire, according to the Yorkshire Post, is less than two miles from Gipton and Harehills, which is one of the poorest and most deprived estates. My wife and I spent an afternoon some two months ago with the West Yorkshire Police going around and looking at how neighbourhood policing works in Gipton and Harehills.

It is not that we live in a country in which the two sides are very far apart but they do not interact enough and we have unfortunately lost our sense of mutual obligation. The rich do not provide enough in terms of philanthropic giving and resist paying their share of tax. That is part of the problem which we need to address. The gap between the public’s reluctance to pay higher taxes and the public’s expectation of high-quality services is something with which the previous Government struggled. The media, above all the Daily Mail, feed the expectation that you should have lower taxes and better quality public services. We constantly read that the wicked National Health Service is depriving us of a new cancer drug costing only £25,000 a year per person. We are also told that that is not our fault, we do not need to contribute to that and somehow the state should provide it. Only one party has included a commitment to raise taxes in its manifesto in any recent general election campaign and that was the Liberal Democrats in 1997 and 2001. I remember my Labour friends saying in 1996, while I was writing the party manifesto, that this would be a disaster. It was not a complete disaster. I suggest that all parties should educate the public with regard to the fact that in an ageing and highly unequal society we cannot expect to have lower taxes because demands will rise, not fall.

Part of the problem we face is due to the fact that after 2001 the Labour Government accepted a substantial increase in public expenditure on welfare and social support but did not increase taxes proportionately to pay for it. That is why we went into deficit from 2002 onwards, leaving a structural deficit, the consequences of which this Government are now struggling with. Along with implementing very painful cuts the coalition Government are focusing on tax avoidance and tax evasion to ensure that the better off pay their fair and proper share of taxation. I hope that we have the active support of the Opposition in this.

In addition, the Labour Party believed that the state should take over more and more of the functions previously undertaken by the voluntary sector and that services should be provided only by trained and vetted professionals. Long-term problems arise when a voluntary sector is too dependent on the state. However, I am told that only 20 per cent of society organisations depend on state support but that some 50 per cent of public support for the voluntary sector comes from local authorities and 40 per cent comes from central government. I very much support what the right reverend Prelate said about co-operation between civil society organisations and local authorities, not dependence. We all face the long-term challenge of raising public and private funds to pay for social welfare. The public funds will come not from a shrunken state but, sadly, not from a much larger state because the public will not pay out taxes amounting to more than 50 per cent of their gross national income. Therefore, we need to seek a partnership between taxation and philanthropic giving in this respect.

We also believe that central government should not direct what local authorities and schools do too directly and too intrusively. Surveys have shown that some local authorities have cut into support for voluntary organisations much more than others. Liverpool and Sheffield in particular have cut into this support while others have managed to maintain it, and one or two have even increased it. There is substantial evidence that local authorities working in partnership with the voluntary sector have been successful in managing cuts and actively protecting the funding of certain groups. That is something which we, in our capacity as citizens, should all be concerned with. The churches, of course, play a major role in this area, including in providing funds for some of these bodies. Community foundations also have a role to play. I am about to visit the Leeds community foundation to learn more about how it operates.

Voluntary organisations that are also social enterprises can provide funds. I was rather distressed to find one body in Bradford with which I have had some contact cutting back on its income-generating activities because it felt that these were not core to its activities, whereas generating income from what you do while providing social objectives is a highly desirable development.

We certainly need to encourage philanthropy. I have a particular feeling of aggression against the bank for which my father worked for 40 years, which paid for my secondary schooling, and which had a very old Quaker philanthropic tradition. Those who run that bank today have entirely lost that tradition and in some ways seem to have lost any sense of moral shame about the large amount of money they earn and how little of it they give to charity—living offshore, avoiding taxes offshore and denying any sense of responsibility towards the society from which they emerged. We have to turn that around. All of us from all parties have to turn that around.

Central government is doing what it can to help these bodies through the transition. The transition fund, which was mentioned, was intended to be for one year and will not be renewed. There are a number of other activities. The Big Society Capital fund is getting under way. Its interim committee has just made the first grant and we are therefore not leaving everyone to sink or swim afterwards. A new fund of £20 million will also be available for bodies providing advice, and a number of things are in place to help us through the very difficult transition.

While we are conscious of the real difficulties that current cuts are bringing to voluntary organisations, as they are to a range of other essential services, the Government are working to provide what assistance they can through the transition. However, how we see the direction of travel is for support for local organisations to come, as far as possible, through local authorities. That is the appropriate way forward. Central government grants for local activity should not be what one would want in the long term. Again, I am aware of one or two useful organisations in Yorkshire that have been dependent on central funding. That is difficult for local organisations and involves them in the organisation of very complicated contracts. The long-term funding implications of that relationship are something that we will all have to work through as we go on, and as we come—we hope—out of the current crisis.

Meanwhile, the Government are funding the training of community organisers. We have started a national citizen service, we have a new Community First fund for communities in disadvantaged areas to help them take action to improve their lives, and we are working across a range of different voluntary activities by assisting them and their funding to enable people to take greater responsibility for their own communities and their own lives.

As a Liberal Democrat, I think of not precisely a big society but a responsible society. I think that part of what has gone wrong with this country over the past two generations has been that people—again supported by the media, rather too uncritically—have begun to talk about their rights and not about their responsibilities. The noble Lord, Lord Glasman, has written quite powerfully on this, so it is not entirely a single partisan point. We need to get back to a society in which we all recognise our responsibilities to each other, including our financial and philanthropic responsibilities. I hope that that is common ground among us. I know that it is part of the message that I learnt as a choirboy in the Church of England.

House adjourned at 5.14 pm.

UN: Specialised Agencies

Lord Wallace of Saltaire Excerpts

Tuesday 22nd November 2011 Lords Chamber

[Lord Wallace of Saltaire]

My Lords, I was not entirely sure what to expect from this debate. There are a great many agencies, boards and programmes in the world. I remembered when I started to read the briefings beforehand that I used to teach a course on international organisations at the London School of Economics. As I discovered, the students were hoping that this course would help them to get good jobs in international organisations. It evolved over the years into a course that, as I told them in the first lecture, was intended to dissuade them from joining an international organisation.

I did my best to explain the structural problems that all international agencies unavoidably suffer from, and the necessarily good work that they do in some rather difficult circumstances. As the noble Lord, Lord Hunt, pointed out, functional agencies long pre-dated the UN. Some of them were 19th century agencies such as the Universal Postal Union and some riparian bodies. The International Labour Organisation was founded just after the First World War. Then the United Nations sponsored and provided a degree of accountability for a whole generation of new bodies. There are now a great many. Unfortunately, some duplicate each other’s activities and there is some overlap.

That is part of the problem of assessing how valuable they all are. I recall that the FAO, the World Health Organisation and UNESCO had enormous problems in their secretariats and in their effectiveness 30 or 40 years ago. All agencies have suffered from American ambivalence. The Americans wanted agencies to serve the global good, as the United States saw it, which meant, in those days, opposing the Soviet Union; and Russian, Chinese and Saudi ambivalence has been a problem for many years. Agencies are unavoidably imperfect, even more imperfect than national Governments. Recruitment and appointment is part of the problem. The noble Lord, Lord Liddle, said that we should find the best people on merit, not on nationality. He knows very well from his time in the European Commission that that does not apply even in the European Union. It is much harder to apply in organisations that have well over 100 state members and in which the Finance Minister of a particular country wants to get his nephew into a really good job, or the President wants to get his son into a really good job. Those are the problems with which we have to deal.

There are also perverse outcomes, as the noble Baroness, Lady Falkner, has pointed out, not just in UN Women but on the Human Rights Council, with which, in this imperfect world, we have to deal. I can recall taking part in a conference associated with the UN Convention on the Law of the Sea, in which I dared to crack a joke about the Iraqi approach to a number of matters, whereupon I was immediately denounced by the Iraqi delegate at this informal conference and an official apology was asked for. One has to be very careful how one behaves in international bodies.

The United Kingdom is an active and major player in this complex world. We provide between 6 and 7 per cent of contributions to these various agencies and our contributions are rising. The United Kingdom is now the largest contributor to international agencies in Europe. As the United States becomes a more ambivalent player, in a number of ways we are becoming more important; we are an engaged player. I hope noble Lords agree that the multilateral aid review was a very constructive assessment of the limited effectiveness of a range of different bodies. It was extremely complimentary about the effectiveness of some and constructively critical of a number of others.

The noble Lord, Lord Judd, whom I think I remember first meeting at a UN association meeting a very long time ago—

[Lord Judd]

A very long time ago.

[Lord Wallace of Saltaire]

—when I was young. The noble Lord talked about the problems of a number of agencies, in particular UNESCO, with the loss of US funding and with the United Kingdom having just been elected to the executive board. UNESCO continues to have a number of problems with effectiveness. This new blow will be an additional one, but we also recognise that UNESCO carries out a number of functions that are not provided by other international agencies, and it is in all our interests that those functions continue to be effectively provided.

I should perhaps admit to a very small personal interest; I was rather upset that the noble Lord, Lord Hunt, did not point out that Saltaire is also a world heritage site. I hope that he will visit it soon.

The UN Population Fund is also under fire from the American right, but that is not a new story. Agencies have been under fire from the American right for as long as I can remember. The Cold War had even more attacks of that sort. The UK is again playing a constructive role on the executive board. UN Women, a reorganised body, is too young for us to be able to see how effective it will be, but we are giving it our full support.

The International Labour Organisation, on which the noble Lord, Lord Liddle, commented, has a number of problems. Only 40 per cent of its staff are currently working in the developed world. The International Labour Organisation, as the noble Lord, Lord Liddle, will know, has negotiated and agreed a very large number of conventions on aspects of labour, many of which still lack enough national ratifications to be carried into practice. There is a limit to how useful it is to design things on child labour, and other such things, which are not then carried through to ratification and implementation by the majority of the members of the organisation.

The noble Lord, Lord Judd, thinks that we are a little too critical of the Food and Agriculture Organisation. I would suggest that we remain constructively critical of an organisation which has been in deep trouble in the past, and is now improving but has some way to go.

Noble Lords asked about the British approach, and how far Britain should press on its own for improvement. Of course we should work with others, and we do. One of the pleasures of my work in government, as someone who goes to regular Foreign Office ministerial meetings, is to hear how frequently the Foreign Secretary says, “Well, the most important thing in this is that we must work with our European partners to maximise our influence in X, Y or Z”. Of course we do that. We work with all of the partners we can do—European and Commonwealth—through as many networks as we can. However, we often discover that the Western caucus within these organisations has to be careful not to upset what is still seen as the G77 caucus and that tensions within these agencies about who tells whom what to do remains a source of problems. The question of who pays and who does not pay is a rather different thing. The multilateral aid review, as a national contribution, was a constructive contribution. It provides a basis from which we can talk to other Governments about what needs to be done.

The noble Lord, Lord Hunt, talked about reports to Parliament and parliamentary oversight. He may recall that there have been suggestions in this House in the past four or five years that we might experiment with an ad hoc committee on international organisations which might look at the how Britain relates to international agencies and which ones provide us with the best value for money. That suggestion might again, if he wishes, be raised with the Liaison Committee.

It is right that the British Government should be asking, since we are a major contributor, what value for money we receive from these bodies. Since we are on a rising curve in our international aid budget, and in our contributions to these organisations, we have to have some concern about public acceptability. Perhaps not every noble Lord in this Chamber reads the Daily Mail with as much attention as I do every day, but the Daily Mail is not an enthusiast for rising British contributions to international agencies. It is not enormously enthusiastic about international agencies as such, be they the European Union, the FAO or the UN Population Fund.

The noble Lord, Lord Hunt, talked about the balance between the FCO and other departments. These are functional agencies and it is therefore proper that the functional departments should provide the lead. A lot of the work, particularly that of some of the environmental and meteorological agencies, is highly technical and expert and there is an expert community, particularly in the climate change world, which works with the Government and with their counterparts in other countries to progress the work that is under way. The FCO does not attempt to duplicate that work. It has a small department which co-ordinates what others are doing and works with them through our representatives and our delegates in those various agencies when they meet. Engagement with outside experts and lobbies is high. At the UN conference on climate change, the number of British lobbies represented has been astonishingly high. It is not something that takes place behind the scenes.

I say to the noble Lord, Lord Liddle, that I do not see the contradiction he suggested between prioritising bilateralism and downgrading multilateralism. We are doing both and it seems to me that the stronger one’s bilateral relations, the stronger one’s multilateral relations can also be. We are working with others to try to improve these organisations. Building coalitions within organisations such as the European Union, the Commonwealth and many other global organisations seems to be the way forward.

I end where I started. These agencies will never be perfect. As we all know, internationalism suffers from structural problems. We have our own ideas about how the world should be organised and how agencies should be organised, which are not always shared by the Governments of all other countries, so we have to work with them.

[Lord Liddle]

Will the noble Lord give a commitment to consider the proposal of the noble Lord, Lord Hunt, for a regular report to Parliament and greater transparency?

[Lord Wallace of Saltaire]

I will gladly commit to considering that. The British Government, here as elsewhere, are very concerned about transparency. I apologise: I should have taken up the point that the noble Lord made about transparency of data. Data are extremely important in many of these areas. We are doing our best to provide better data. In the multilateral aid review, a great deal of emphasis was placed on how much data are available about the effectiveness of work on the ground, in-country, by particular agencies. That is very much part of the way forward.

[Lord Hunt of Chesterton]

Could there not be a commitment to be more IT? We are in an IT world and I would like to be able to read more stuff from the Foreign Office on my BlackBerry. How about that?

[Lord Wallace of Saltaire]

I promise to write to the noble Lord on that. I have now extended my time. In spite of the fact that we are running a little short, I should probably draw my remarks to a close. Again, I thank the noble Lord for raising this issue. We ought to spend more time looking at how international agencies work. They play a very important part in holding the world together and I agree with him that we pay much too little attention to the work that they do and to assessing its quality and how it might be improved.

Arrangement of Business

Lord Wallace of Saltaire Excerpts

Monday 21st November 2011 Lords Chamber

[Lord Wallace of Saltaire]

My Lords, as no amendments have been tabled to the London Olympic Games and Paralympic Games (Amendment) Bill, it may be helpful if I announce at this point the advisory speaking time for the Second Reading of the Legal Aid, Sentencing and Punishment of Offenders Bill. There are 54 speakers signed up. If Back-Bench contributions are kept to a maximum of seven minutes, the House should be able to rise at around the target rising time of 11 pm.

Statistics and Registration Service Act 2007 (Disclosure of Pupil Information by Welsh Ministers) Regulations 2011

Lord Wallace of Saltaire Excerpts

Tuesday 15th November 2011 Lords Chamber

Moved By

[Lord Wallace of Saltaire]

That the draft regulations laid before the House on 19 July and 15 September be approved.

Relevant documents: 28th and 29th Reports from the Joint Committee on Statutory Instruments, considered in Grand Committee on 9 November.

Motions agreed.

Remembrance Day

Lord Wallace of Saltaire Excerpts

Thursday 10th November 2011 Lords Chamber

[Lord Walker of Aldringham]

My Lords, I, too, thank and congratulate the noble Lord, Lord Selkirk, on giving us this opportunity to reflect on the eve of our remembrance commemorations. It is gratifying, too, to behold the degree of regard in which our society holds our Armed Forces across the country and which so powerfully helps to sustain our men and women when they are serving overseas. However, that regard—as the noble Lord, Lord King, has already said—cannot be taken for granted. In the 1990s, we saw that our people were less willing to make sacrifices on behalf of our Armed Forces. The funds raised for our people after the war in the Falkland Islands amounted to more than £25 million; the funds raised for the last Iraq war were less than 2 per cent of that. The involvement in Iraq, clearly, was the reason for that unpopularity, but it seemed at that stage that the British affinity between the people of the nation and our Armed Forces was at a low-ish point.

That gave rise to clarion calls from all sorts of people —not least the Chiefs of Staff—raising the profile of the issue. They raised the issues, as we have heard, about equipment, medical treatment, accommodation, medals, education, pay and allowances, and homecoming parades. That was not only to bring pressure to bear on the Government but to bring to the notice of our society as a whole that they needed to help make this new covenant manifest.

Your Lordships will know that our society has changed dramatically over the last 50 years. We have been able to live in peace and go about our daily business without much concern for our own safety or that of our families, even though of course there have been some pretty appalling terrorist incidents. As a society, we have very little understanding of the horrors of war. At the same time, we are increasingly affluent, middle class and liberal, with high expectations of rewards and gains. We exhibit increasing educational standards but a lower level of physical fitness. We seek greater variety and choice and have an interest in leisure risk but not real risk. We have changing organisational structures, increasing public accountability and transparency, and fluctuating economies. We are a litigious society and seek compensation at every turn. We demand flexibility in a high-tech world and often give minority groups more face time than the silent majority. The trouble is that our enemies—the terrorists, the dictators and the ethnic cleansers—are not suffering from mid-life crises and taking court action. They are out there, and if anything, they are consistent.

Those 16,000 names on the national memorial at Alrewas, listing those who have died in service since the end of the Second World War, bear witness of the extent to which we as a nation have used our Armed Forces in that time. It is not just those who make the sacrifice, as we have already heard. All who serve on operations put their lives at risk, whether they die or whether they are injured. Countless numbers have been wounded, while many others have been psychologically damaged, which comes out only later in their lives. Behind every one of those names on the war memorial there are wives, husbands, partners, parents, children and colleagues who loved them and who live with the pain and consequences of their loss every day.

How are we doing as a society, looking after this thing called a covenant? Are we playing our several parts? The charities, in my view, are doing well, although their window of opportunity may close as we pull out of Afghanistan and come off the headlines. The services-related charities have managed to hold up well in terms of donations from the public, and I pay tribute to Help for Heroes for the way in which it helped raise the profile of the services’ needs to their current level.

Our people are doing well, too, from small groups of determined men and women undertaking amazing physical feats to the generosity of individual donations on the one hand, through the warmness of the welcomes received at homecoming parades to the compassion and respect demonstrated at events such as those held at Royal Wootton Bassett on the other. I feel genuinely that the majority of our citizens recognise the price that has been paid, and continues to be paid, by our soldiers to enable them to enjoy the freedoms that they have.

One area in which I do not think we are doing as well is in the Government's implementation of the covenant, although I recognise that much work has gone into it. We must remember that this is a contract under which, in return for the sacrifice made by those in the forces, the Government will ensure they are equipped properly, trained, given the best possible care if they become casualties, and are treated fairly.

Although I believe there are several areas in which we are failing to meet this fundamental requirement for fairness, I will mention only three. Before I identify them, I should remind your Lordships of what our service men and women do for all of us. I spent some time last week talking to one of the brigade commanders, who was, in the distant past, my military assistant. I asked him how he was finding it there. He replied, “I follow the policy of reverse vertigo”. I said, “What is that?”. He said, “I dare not look up. If I look down, it is fine; when I look up, it is not”. Although I talked about a changing society earlier, perhaps the one constant that we would all recognise is the soldier himself. He is a remarkable individual who never ceases to amaze all of us with his achievements. Henry Kissinger once said that the Brits are the only people left on earth who love to fight. Well, we have certainly kept our eye in, and we should be thankful for it.

These are young men and women called upon to put the needs of the nation before their own and who, as we have already heard, forgo some of the rights enjoyed by those outside the Armed Forces. We ask them to operate along the roughest edges of humanity while observing the civilised norms of the society from which they are drawn. That is not an easy task. They face an unprecedented degree of public scrutiny and analysis. Of course, they still live in a hard, frightening and dangerous world. The miracles of modern transport do not absolve them from moving great distances on their feet carrying heavy loads. Snazzy new kit does not stop the bullet from killing them or the bomb from maiming them. The state of their digestion is a matter of public interest. The days are still hot and the nights dark and cold. While there may come a time when technology transforms the world, we are not there yet. So it is down to these young men and women, in their fragile human form, to defend our freedoms. We must not forget that they find themselves in these circumstances because of the decisions taken by our political masters.

I will now speak about the three areas in which I believe we are failing them and which it would be perfectly possible to put right and affordable even in the current economic climate, given due priority. First, as I have said before, I do not believe that the third sector should be exploited to fund men and women who are still serving in the forces. That is the irrefutable responsibility of the Government. Charitable money is desperately needed to support those who have left the services. Every pound that the charities commit to those in service denies help to deserving veterans and their families elsewhere.

Secondly, as others have said far more eloquently than I, there is a compelling case for the retention of the chief coroner. We owe this much to all bereaved families, whether in the services or not. For those who have lost a soldier son, father, mother or daughter in some far-off and unimaginable war, the ramifications of not retaining such a post are extreme.

Thirdly, in no way is it morally defensible to make compulsorily redundant those who have so recently fought for their country. We are not talking about a situation of demobilisation after a major war, as the circumstances are entirely different; nor are we talking about large numbers. As it is likely that the majority of the redundancies from the Armed Forces following the SDSR will be voluntary, we are probably talking about a few thousand being made compulsorily redundant. It is difficult to imagine how these people will feel, having volunteered to fight for their country and having been sent to do so, often several times. Having survived life-threatening battles with their enemies, they return home, keen to remain in service, only to find that an ungrateful Government are kicking them out. This is not the way to show that the nation values such people.

[Lord Wallace of Saltaire]

My Lords, I draw the noble and gallant Lord’s attention to the time.

[Lord Walker of Aldringham]

I will finish by saying that the Prime Minister has said that the military covenant has been put at the heart of our national life. Because the principles of the covenant are now part of the law of our land, we have not only an opportunity at this time of remembrance to put these matters right but, I believe, a duty to do so.

Statistics and Registration Service Act 2007 (Disclosure of Pupil Information by Welsh Ministers) Regulations 2011

Lord Wallace of Saltaire Excerpts

Wednesday 9th November 2011 Grand Committee

Moved By

[Lord Wallace of Saltaire]

That the Grand Committee do report to the House that it has considered the Statistics and Registration Service Act 2007 (Disclosure of Pupil Information by Welsh Ministers) Regulations 2011.

Relevant documents: 28th Report from the Joint Committee on Statutory Instruments.

[Lord Wallace of Saltaire]

My Lords, these regulations, which are being considered together with the Statistics and Registration Service Act (Disclosure of Value Added Tax Information) Regulations 2011, are the third and fourth uses of the data-sharing powers under the 2007 Act and the first time that the powers have been used by the current Government. The Welsh school pupils’ regulations make possible the sharing with the Office for National Statistics of data on individual pupils attending schools in Wales. The ONS is the executive office of the UK Statistics Authority, which is referred to in the legislation as the Statistics Board. The regulations follow those made in 2009 that allowed the ONS to access information on pupils attending schools in England.

Access to these data will enable the ONS to improve the accuracy of mid-year estimates and projections of population for local areas in Wales, to develop ongoing research as part of the Beyond 2011 programme, which is to consider possible alternatives to the traditional census in producing census-type statistics and to improve the assessment of the quality of statistics on schoolchildren from the 2011 census.

The other regulations being debated today allow the ONS to receive certain information provided to Her Majesty’s Revenue and Customs in VAT returns. This will enable the ONS to improve its business and economic statistics and to reduce the burden on businesses, some of which will no longer need to supply this information in addition to other information through regular returns to the ONS. The data will also be used for economic analysis and to make improvements to various business surveys run by the ONS.

The regulations permit the sharing of a long run of VAT data submitted to HMRC on or after 1 October 1985 to provide a better economic understanding of the whole economic cycle. Data confidentiality and security arrangements are being assessed as a fundamental part of the preparation of the data-sharing agreement between the organisations concerned. The ONS already works to very tight confidentiality guidelines and has an excellent data security record. It has put the necessary measures in place to protect the data and to ensure that there is no disclosure of any personal information about specific pupils or businesses.

Section 39 makes it an offence for a member or employee of the authority, including the ONS, to disclose personal information it holds other than in tightly defined circumstances. Any unlawful disclosure could result in imprisonment and/or a fine. Both sets of regulations enable administrative data already collected by government to be further utilised but only for the purposes set out in the regulations; that is, for the ONS to improve the statistics it produces on the population and on the economy.

In summary, providing the ONS with access to data on Welsh pupils and businesses’ VAT data will lead to improvements in the accuracy of the statistics that it produces and to efficiencies which will benefit government and society as a whole. Better statistics will inform better policy making. I therefore ask the Committee to support and accept both regulations. I beg to move.

[Lord Wigley]

My Lords, I have no intention whatever of objecting to these regulations, but I should be grateful for one or two points of clarification on the ONS regulations. First, I noted the emphasis placed by the Minister on data confidentiality, which obviously is central to all this. I note that in Regulation 2, the list of details about the pupil that will be made available excludes, of course, the pupil’s home address, presumably because of the dangers that exist. Yet, it includes the postcode. Certainly, with the name of Wigley and a postcode in my area, it would be fairly clear who that person is, although it may be more difficult with the Evanses and the Joneses. Given that, there cannot be a watertight assertion of data confidentiality.

My second point is in regard to Regulation 2(a)(vii), which refers to the,

“ethnic group and source of that information”.

I am not quite sure what is meant by the “source of that information”, but I imagine that it could be a matter for some consternation. Is the Minister in a position to tell me why? If not, perhaps he would be good enough to drop me a note about it because I realise that I may be splitting some hairs on these matters.

--- Later in debate ---

[Lord Tunnicliffe]

I certainly see that the people of Wales might think that there would be an equal case—and because I am not a brave person, I would support that.

The Explanatory Memorandum refers to a series of outputs. Paragraph 7.4(ii) refers to,

“differentiating migrants in order to improve our understanding of moves within and between local authorities in England”.

Once again, I am not clear what a migrant is. Is it somebody moving from Shropshire to Monmouthshire, or somebody with no connection to the United Kingdom who finds themselves in Wales as the first place they come to? Does it include somebody who comes from outside the United Kingdom who goes first to England and then to Wales? What level of granularity are we talking about when it comes to migration? Are we talking about small movements or larger ones?

Finally, I must say a word or two about confidentiality. The essence of much of the data-gathering law in this country is that it puts barriers between departments so that they cannot look at each other’s data, in order to maintain confidentiality. We then break down those barriers in order to use the data in a richer way. That is an entirely reasonable thing to do, but it is equally reasonable that whenever the barriers are broken down, as they are by these regulations, we should seek assurances that we are moving forward on confidentiality. It is no secret that there were unfortunate lapses under the previous Administration. I am absolutely sure that they were not in any way malicious. We acted in good faith and I am sure that this Administration, too, will act in good faith. However, have they made progress towards being able to assure us about improved confidentiality? Are there any new techniques, audits or penalties that will allow the Minister to say that confidentiality when this barrier is taken down will be even better than it was in the past? With those few comments, we are quite happy to support the regulations.

[Lord Wallace of Saltaire]

My Lords, I thank both noble Lords who have contributed to this brief debate. I feel that the issues of data sharing and data confidentiality are like the issue of the security of the Palace of Westminster. We start off in entirely contradictory directions. We want to bring as many people as possible into the building because we want to be as open as possible, but at the same time we want to maintain the highest possible level of security. It is extremely difficult to combine those aims. We all recognise that it is much the same with data. The Government collect a great deal of data and it is immensely convenient for the purposes of economic and social policy to share as much of that data as possible, but we all know of the problems of confidentiality and of allowing the state to build up a vast database that reveals everything about every individual. The previous Government passed the 2007 Act as part of the effort to reconcile these contradictory directions and to provide an independent authority which would build in the tension between what Ministers want and what is required in terms of the confidentiality of data while attempting to avoid imposing on individuals and businesses the requirement to fill in forms every other day of the week.

Perhaps I may say a little about the Beyond 2011 Programme and the future of the census. A decision has not yet been taken as to what we will do about the 2021 census, but I recognise from the papers I have read that there are a number of question marks over it. First, this year’s census cost £500 million to collect, and it is estimated that the 2021 census may cost around £1 billion. That is an issue that one has at least to consider. Secondly, the accuracy of the census has been going down from one successive census to the next because people move around much more rapidly than they used to. Preliminary estimates of the accuracy of this year’s census are that for each local authority area it is between 94 per cent and 80 per cent. When one has dropped to 80 per cent accuracy, one is into quite severe problems, particularly in terms of social policy, because it is for precisely those vulnerable communities where children do not have good English and where there are new migrants to this country, whether from Pakistan, Hungary or Patagonia, that all the different instruments of local and national government which combine to assist such communities need to be pulled together.

What is going on in the Beyond 2011 Programme is a series of experiments to see how far we can improve the accuracy of data and how far we can perhaps provide, from alternative measures, a rolling programme of surveys and estimates which will substitute for the census in the future. I recognise that the census itself has immense historical value. In our house in Saltaire, which was built in 1863, we have in the hall the five censuses from 1871 to 1911. They tell us who lived in the house, how many people there were, where they were born and so on. The documents provide a fascinating snapshot of what was happening in a mill village during that period. We would indeed lose a very interesting historical record, but resistance to filling in the census form is sadly also growing. This year we ourselves faced questions such as which of our two houses we should put down, and as our younger people come and go, we wondered who we should list as actually resident in the house.

We have been extremely speedy in getting through our statutory instruments this afternoon, and I must say that the expert officials who were going to give me advice in answering all the questions will arrive within the next half-hour. Therefore, in answer to some other questions that were put to me, it would be better for me to write to noble Lords than to offer them my half-informed impressions.

There was a good question about the definition of a pupil’s first language. Again, it is quite right to recognise not just bilingualism in Welsh and English but, as in the part of England in which I do my politics, bilingualism in Urdu and English, or a whole range of other languages; for example, in Bradford and Leeds I am very conscious that the census failed to pick up quite substantial refugee and other communities. In the last election my wife and I canvassed a street that was almost entirely inhabited by people from Burma. I do not think that had been picked up by the authorities at a national level, but the local schools knew what was going on because that was where their children were going. That is part of the reason and justification for this sort of element.

I look forward to hearing from the noble Lord, Lord Wigley, perhaps on another occasion, just how large the migrant flow from Patagonia to Wales is—one of the many flows that are, as we know, going on in all directions at the moment. West Yorkshire certainly has a very large number of different communities and some of them are extremely mobile. A very large number of Poles, Lithuanians and Ukrainians came in the past 10 years. We do not know how many of them are still in West Yorkshire or how many of them have gone home. Again, that is the sort of thing that these sorts of surveys and statistics help us to discover.

I hope that noble Lords will accept that I will write to them about the other questions that they raised. I commend these regulations to the Committee.

Motion agreed.

Statistics and Registration Service Act 2007 (Disclosure of Value Added Tax Information) Regulations 2011

Lord Wallace of Saltaire Excerpts

Wednesday 9th November 2011 Grand Committee

Moved By

[Lord Wallace of Saltaire]

That the Grand Committee do report to the House that it has considered the Statistics and Registration Service Act 2007 (Disclosure of Value Added Tax Information) Regulations 2011.

Relevant document: 29th Report from the Joint Committee on Statutory Instruments.

Motion agreed.

Big Society

Lord Wallace of Saltaire Excerpts

Wednesday 2nd November 2011 Lords Chamber

[Lord Phillips of Sudbury]

My Lords, I thank the noble Lord, Lord Ponsonby of Shulbrede, for instituting this debate. In the limited time that I have, I would just like to endorse the point, which was made very forcefully by the noble Baroness, Lady Seccombe, and others, that local justice is the essence of the work of justices of the peace. I have the greatest conceivable regard for the magistracy system, which has served this country for nearly 800 years, stands high in the reputation of the public, delivers the most extraordinary service, and itself is a demonstration of volunteerism that all recognise.

However, the centralisation of the Courts Service has brought about serious drawbacks both to the public and to the magistracy. It is no longer justice of the people, by the people and for the people. The non-reporting now of cases because they are no longer within the purview of the local newspaper has been a disaster for the greater punishment of someone being held up to local ignominy as a result of a local offence. That is almost gone from the town I live in. Indeed, every one of the four courts in which I spent most of my first five years in the law—Sudbury, Long Melford, Boxford and Hadleigh—closed, and justice is no longer accessible, geographically or psychologically. I realise that this is more a problem of rural than of urban areas, but I ask that the Government take on board what has been said in this debate and at least stop further court closures and expensive centralised court systems and go back, wherever they can, to the dual or triple use of buildings, which rendered the expense of magistrates’ courts absolutely minimal.

I have two other quick points to make.

[Lord Wallace of Saltaire]

My Lords, we are very short of time in this debate.

[Lord Phillips of Sudbury]

I was told that I have four minutes but will take less time if I can.

My first point is that unless the public understand the role of the magistracy, the magistracy will not be able to do its work as effectively as it has in the past. I fear that young people today do not by and large understand, largely because of the centralisation of courts, the role of JPs and the work that they do. I hope, therefore, that my noble friend Lord McNally will take back to Mr Gove, his colleague in the other place, the importance of maintaining citizenship education as a compulsory component of secondary education, because that is one upholder of knowledge about magistracy and magistrates’ courts.

My second point relates to the magistrates’ courts mock trial competitions that are currently being run by the Citizenship Foundation—I speak here as its founder and still president—and the Magistrates’ Association. More than 400 schools and 6,000 pupils are involved. It is a massively important element of the education of the public about the magistrates’ courts system, but it is in danger because of the withdrawal of funding.

I will say no more because I am getting serious looks from the Front Bench.