Victims and Courts Bill

Lord Murray of Blidworth Excerpts

Tuesday 10th March 2026 Lords Chamber

[Lord Marks of Henley-on-Thames (LD)]

My Lords, noble Lords will remember an amendment in these terms from the noble and learned Lord, Lord Garnier, who moved it in Committee. He is the lead tabler of this amendment on Report but cannot be here today, so he has asked me and its other co-signatory, the noble Lord, Lord Murray of Blidworth, to present the case for it.

The amendment seeks a review of the issue of compensation for victims of economic crimes such as fraud, bribery and money laundering without the need for civil proceedings. Noble Lords will no doubt remember the frustration that the noble and learned Lord expressed in Committee that, after all his years campaigning on this issue and for all the warm words of support he has received from successive Governments, he has not made progress in getting acceptable provisions enacted. The arguments in favour of this amendment are extensive and were extensively canvassed in Committee, so I hope that I will be forgiven for setting them out in reasonably staccato form, without the academic support they received in Committee.

First, the present arrangements for the victims of economic crime are unsatisfactory, and in the vast majority of cases of serious fraud, bribery, money-laundering and other economic crime, very few victims receive compensation. This is particularly true of overseas victims.

Secondly, resort to civil proceedings is difficult and expensive; the costs are often prohibitive. Potential claimants inevitably have difficulties in finding and calling evidence on economic crimes, for a host of reasons—again, which is particularly true of overseas claimants. Successful claimants, even after winning cases, face serious difficulties with enforcement of judgments against fraudsters and other economic criminals—again, particularly overseas victims. Then, fines which are levied as a result of prosecutions in the UK go to government, and a derisorily small amount is awarded to victims in the form of compensation. That is also true in the case of deferred prosecution agreements and arrangements made pursuant to them, which the noble and learned Lord, Lord Garnier, was active in introducing when he was Solicitor-General.

It was agreed around the Committee—this is the reason for the form of this amendment, both then and now—that it is not yet clear what the best arrangements for providing adequate compensation for criminal cases involving economic crime might be. That is the reason why a review is essential and why the amendment calls for a review. Then, it may be that a new scheme to enable compensation to be awarded in cases involving overseas victims might just involve arrangements to award compensation not only to the direct losers who might qualify as claimants in civil proceedings, but also, or alternatively, to some Governments abroad, some NGOs, or some other organisations which may not be claimants in civil proceedings or even entitled to be so, but may well nevertheless be substantial actual and identifiable losers and victims of such crimes.

It is certainly the case that, as the noble and learned Lord, Lord Garnier, said, successive Governments have reacted to the call for sensible and fair compensation arrangements for victims of economic crime with warm words but no action at all. So, the need for a review of what should be done to fill this gap is urgent. This is why the amendment has a tight timetable for public consultation, for undertaking the review itself and for a report to Parliament.

Finally, a set of sensible and respected arrangements for providing such compensation would enhance the reputation of this country as a financial centre. We are already leaders in many fields: in insurance, in legal services—including arbitration—the quality of our courts and judiciary, and banking, to name to just a few. Arrangements for proper compensation for economic crime could raise our international standing even further.

[Lord Murray of Blidworth (Con)]

My Lords, it gives me great pleasure to say that I agree entirely with the noble Lord, Lord Marks—not something I perhaps say terribly frequently in this Chamber.

There is one material distinction between the proposed new clause the noble and learned Lord, Lord Garnier, brought forward in Committee and the proposed new clause before the House today. That is in proposed new subsection (3), which requires that

“The Secretary of State must conduct a public consultation on the review, … which must be published no later than 1 June 2026, and which must open on that date and close on 1 September 2026”.


Members of the House might ask why that is so specific. The reason is a simple one: I know that the noble and learned Lord met the Minister and the noble Lord, Lord Hanson, to discuss this issue, and was told a review was going to be conducted, but that it would not report until 2028.

Given that this campaign has been going on for some time, the noble and learned Lord, Lord Garnier, had a justifiable point in trying to bring forward that date through this amendment. As he rightly said in his Second Reading speech and in Committee, it is important that the United Kingdom Government make it possible for victims of fraud, bribery and money-laundering offences, both here and overseas, to recover compensation from the offending person or company, rather than the fines simply going into the system here in the UK.

There is one final point from the noble and learned Lord’s Second Reading speech that warrants repetition here:

“The African Union estimated in 2015 that 25% of the continent’s gross domestic product was lost to corruption. Every company convicted of overseas corruption in this jurisdiction should be ordered to compensate the communities it has harmed”.—[Official Report, 16/12/25; col. 689.]


Can any of us disagree with that?