Public Bodies Bill [HL] Debate

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Lord Hunt of Kings Heath

Main Page: Lord Hunt of Kings Heath (Labour - Life peer)

Public Bodies Bill [HL]

Lord Hunt of Kings Heath Excerpts
Tuesday 9th November 2010

(13 years, 6 months ago)

Lords Chamber
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Lord Hunt of Kings Heath Portrait Lord Hunt of Kings Heath
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My Lords, it has been a long, impressive and important debate. It is important because the Bill will impact on many facets of public life in the United Kingdom and because it provides an early test of the House’s ability to scrutinise legislation effectively in this Parliament.

The Institute of Government believes that public bodies are now fundamental to the running of the British state and, yes, the Opposition believe it is right that the efficiency, accountability and purpose of these bodies should come under the microscope. That is what the previous Government were doing. I succeeded the noble Lord, Lord Warner, at the Department of Health and inherited his excellent arm’s-length body review programme. As my noble friend Lady Smith said, we built on this work, culminating in our March strategy. Yes, we had a target to reduce the number of bodies over a three-year period, but we also had a robust, rational and acceptable process for so doing. The Government’s approach is anything but that. They have failed to have genuine consultation; they have failed to give more than a paucity of information about the criteria they are using; and in the regulatory impact assessment they failed to provide any factual information.

In his opening remarks, the noble Lord, Lord Taylor, who we all admire, referred to the need for efficiency. I agree. Indeed, in the Queen’s Speech we were promised huge savings from this policy. An announcement was made from Downing Street at the time of the Queen’s Speech which suggested that £1 billion would be saved. However, since then the Government have become rather coy about that. Indeed, there is more than a whiff of suspicion that the costs may be greater than the savings. I ask the Minister: what savings do the Government envisage over the next spending review period?

In fact, the argument has moved on: now we hear that it is about accountability. We are being told that it is being done in the name of accountability. Can the Minister tell me how abolishing transparent, independent bodies and bringing their functions into central government departments can possibly increase their accountability? I have in mind here particularly the health and scientific advisory committees. I should like the Minister to assure me that these advisory committees will continue to be able to give robust, independent advice. Will that advice be published? Will Parliament be told when Ministers reject such advice? Some of the decisions the Government have made are puzzling. We heard from the noble Baroness, Lady Warnock, and the noble and right reverend Lord, Lord Harries. They spoke about the Human Fertilisation and Embryology Authority, as one example. It is an internationally respected organisation. Indeed, it was the respect in which the organisation was held which persuaded this House, after an eight-hour debate, to extend its remit to approve research in relation to stem cells. Why on earth do we undermine that work? It is essential to keep, as the noble Baroness, Lady Deech, said.

There are many other organisations we could name. There is just one I would mention. I agree with the noble Lord, Lord Kirkwood, that to take the Child Maintenance and Enforcement Commission back into the Department for Work and Pensions just when the signs are that it is beginning to get to grips with the difficult task it has would be a complete and utter disaster. We all have our favourite organisations on our list and no doubt when this Bill moves into Committee we will be able to discuss them.

I want to turn to the process. The Government have essentially introduced a skeleton Bill that would grant fundamental powers to individual Secretaries of State, thereby significantly reducing parliamentary scrutiny of executive action. The Bill gives Ministers the power to abolish or fundamentally change the operation of an arm’s-length body on a mere whim through an affirmative order. Schedule 7, as we have heard, is particularly worrying as it continues to hold a body under the knife of an individual Minister—facing trial, as the noble and learned Lord, Lord Howe of Aberavon, put it. How is a body such as the Independent Police Complaints Commission intended to operate independently of political pressure from Government when the Minister has the ability significantly to cut funding, change the constitution of the commission, or even abolish it?

My noble friend Lord Borrie referred to Ofcom, which is currently looking at the bid by News International for the remaining shares in BSkyB. There were also the wise comments of the noble Lord, Lord Norton, about the credibility of the Information Commissioner and the chilling effect of being listed in Schedule 7. There are the judicial bodies mentioned by the noble and learned Lord, Lord Woolf: the Civil Justice Council, the Civil Procedure Rule Committee, the Criminal Cases Review Commission, the Criminal Procedure Rule Committee, the Judicial Appointments and Conduct Ombudsman, the Legal Services Board, the Legal Services Commission and above all, the Judicial Appointments Commission. No wonder the noble and learned Lord spoke of his grave concern about the constitutional implications of the Executive being able, under this Bill, to abolish the independent appointments commission.

I ask the Minister whether this Bill is consistent with Sections 3 and 4 of the Constitutional Reform Act 2005, which is a guarantee of continued judicial independence. Have the senior judiciary been consulted by the Government? Have the Government law officers had any input into the drafting of the Bill? Will the Minister respond to points raised by the noble Lord, Lord Lester, about the Equalities Commission and the inconsistencies in the bodies listed in Schedule 7?

It was important enough to establish such bodies in primary legislation to start with. As the Constitution Committee report says:

“The Government has not made out the case as to why the vast range and number of statutory bodies affected by this Bill should be abolished, merged or modified by force only of ministerial order, rather than by ordinary legislative amendment and debate in Parliament”.

The noble Lord, Lord Norton, was very clear on that point. Indeed, I have rarely seen a Select Committee of your Lordships’ House so trenchant in its criticism of a Bill. I say to the Minister that the House tonight deserves a response to that committee’s report. It is not good enough to say that we should wait for Committee stage, as the Minister implied in his opening remarks.

On the Government’s response generally, the Minister offered some concession over consultation. That is of course welcome, but he could have gone further. He could have acknowledged that the Bill would have been much the better for pre-legislative scrutiny. He could have promised a proper impact assessment before we proceed to Committee. He could have agreed to publish the full costs and benefits of the proposed changes before we move to Committee. He could have promised that the Government would accept amendments from these Benches to ensure that the super-affirmative procedure will be used in the Bill.

The noble Lord, Lord Taylor, made great play of the fact that statutory instruments under the Bill will be affirmative, but he could have confirmed that the Government accept, without any hesitation, that the interpretation of the Merits of Statutory Instruments Committee on the best definition of the conventions applicable to secondary legislation is that contained in the report of the Joint Committee on Conventions. I remind the House that the report stated that,

“it is consistent both with the Lords’ role in Parliament as a revising chamber, and with Parliament’s role in relation to delegated legislation, for the Lords to threaten to defeat an SI … when the parent Act was a ‘skeleton Bill’, and the provisions of the SI are of the sort more normally found in primary legislation”.

Will the noble Lord confirm that the Government accept the interpretation of the Merits Committee published in a report only last month?

The noble Lord, Lord Taylor, could have said that the Government would withdraw Schedule 7 to the Bill and accept my amendment to his Motion. The practice of committing a Bill to a Select Committee has been very rarely used in respect of government Bills in recent times. The most recent occasion was for the Constitutional Reform Bill in 2004. The noble Lord said that the form of the Constitutional Reform Bill was of a different order and of great constitutional significance—and so it was—but I believe that, in its way, this Bill is of constitutional importance, too, and would merit being dealt with in the same way. I was immeasurably strengthened in that view by the interventions of the noble and learned Lord, Lord Woolf, and my noble and learned friend Baroness Scotland. They did not doubt the constitutional significance of the Public Bodies Bill.

The noble and learned Lord, Lord Mayhew, and the noble Baroness, Lady Scott of Needham Market, said that all Governments are affected by Henry VIII-type clauses. That is of course right, and this House has made its displeasure known whenever Ministers have fallen into such temptation. What is so worrying about this Bill is, in the words of the noble and learned Lord, Lord Mayhew, its industrial scale. The use of Henry VIII-type provisions is so blatant that, in the words of the Constitution Committee:

“The Public Bodies Bill [HL] strikes at the very heart of our constitutional system … In particular, it hits directly at the role of the House of Lords as a revising chamber.”

The noble Lord, Lord Taylor, suggested that my amendment was aimed at obstructing the Bill, but that is not so. The Opposition support efforts to improve the efficiency of these public bodies. I am quite content with the objectives in Clause 8(1). I see my amendment as being a reasonable and constructive course of action for the House to take in sending the Bill for examination within a Select Committee. Like the Constitutional Reform Act 2005, I have no doubt that the Bill would be immeasurably improved as a result. I agree with the noble Lord, Lord Maclennan, that it does not need to look into the merits of each body covered in this Bill. The noble Lord, Lord Lester, asked for a reassurance that the Select Committee proceedings would be confined to the constitutional aspects of the Bill, including process and safeguards. I agree with the noble Lord, Lord Lester, that it should be so confined, and I do not see why it cannot be done within three months.

We have no interest in delaying the Bill’s progress, but I suggest to the Government that a little more time spent on the Bill now would save a huge amount of time likely to be lost if the Bill went through in its present form. The Minister should listen to his noble friend Lord Greaves. I can testify to the ability of the noble Lord, Lord Greaves, to keep the debate going day after day after day. But to reinforce this point about time and to reassure the House, I am very happy to accept what the noble Lord, Lord Maclennan, says about timing. I certainly believe that the committee should be able to achieve its completion by 28 February 2011, as he suggested.

At the general election, the Conservative Party manifesto promised to restore the balance between government and Parliament. The Liberal Democrat manifesto promised to strengthen Parliament to increase accountability. If I as a member of the previous Government had brought forward this Bill, it would rightfully have been torn to shreds by this House. If as a Minister I had had to listen to the devastating speech of the noble and learned Lord, Lord Woolf, I would have known that the game was up.

As my noble friend Lady Andrews said, this is a real test of this House’s ability to scrutinise legislation effectively. I hope that we will meet that test by agreeing to the establishment of a Select Committee.

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Moved by
Lord Hunt of Kings Heath Portrait Lord Hunt of Kings Heath
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Leave out “Committee of the Whole House” and insert “Select Committee”.

Lord Hunt of Kings Heath Portrait Lord Hunt of Kings Heath
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My Lords, we have had an extensive debate. I know that the House will now want to come to a speedy conclusion. The noble Lord, Lord Taylor, has said that he has listened carefully to the debate. He has certainly promised to bring amendments to enhance public consultation and public scrutiny. However, these undertakings are unspecific, insufficient and imprecise. The Bill will be better informed and immeasurably improved by going through a Select Committee process. Far from delaying the Bill, I am convinced that this will give the noble Lord a better Bill and one that will be produced through this House more quickly.

The Minister has not met all the constitutional concerns that have been raised tonight. He has said nothing about costs and savings. He has not agreed to put safeguards in a new clause at the beginning of the Bill. He has not said that the Government will agree to the super-affirmative procedure. He has not given a guarantee to take the judicial bodies mentioned by the noble and learned Lord, Lord Woolf, out of Schedule 7. The Minister has not responded to the concerns raised in this House by many Members. I beg to move.

Amendment to Lord Hunt of Kings Heath’s Amendment

Tabled by