Oral Answers to Questions Debate

Full Debate: Read Full Debate
Department: Ministry of Justice

Oral Answers to Questions

Jonathan Djanogly Excerpts
Tuesday 7th March 2017

(7 years, 2 months ago)

Commons Chamber
Read Full debate Read Hansard Text Read Debate Ministerial Extracts
Elizabeth Truss Portrait Elizabeth Truss
- Hansard - - - Excerpts

I have spoken to my right hon. Friend the Health Secretary to discuss the implications for the NHS. As I said, under legislation the Lord Chancellor must only consider the impact on the victim. I do not think the procedure works in the right way, which is why I will shortly bring forward a consultation on a better way to set the discount rate.

Jonathan Djanogly Portrait Mr Jonathan Djanogly (Huntingdon) (Con)
- Hansard - -

There seems to be some element of confusion in the minds of the public. The insurance industry says that car insurance premiums will go up because of the fall in the discount rate, while the Government, quite rightly, say that insurance premiums should come down because of the proposed changes in the Prisons and Courts Bill. Is this a question of netting off, with no change to premiums at all, or can the Lord Chancellor be slightly more scientific?

Elizabeth Truss Portrait Elizabeth Truss
- Hansard - - - Excerpts

My hon. Friend makes the point that there are different issues around the discount rate and whiplash. The measures on whiplash in the Prisons and Courts Bill should reduce insurance premiums by, on average, £40. The issue about the discount rate is very different: it is an independent decision that the Lord Chancellor has to make. I am saying that we need to review the way that decision is made, and I will be bringing forward a consultation on that very shortly.