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Digital Economy Bill Second Reading Briefing

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Digital Economy Bill Second Reading Briefing Dods Monitoring: Digital Economy Bill Second Reading Briefing September 2016 Background The highly anticipated Digital Economy Bill was announced in the Queen’s Speech on 18 May 2016. It ad- dresses rapid technological changes which have happened over the past five years and meets Conserva- tive manifesto pledges to “ensure everyone is part of the digital economy.” It is likely the Bill will be a part of a wider, five year Digital Strategy which was first announced in Decem- ber 2015 by former Culture and Digital Minister Ed Vaizey as a means to take the next step in the UK’s “digital revolution.” In February this year and prior to the publication of the Bill, the Government consulted on age verifica- tion for pornographic online content and later in May on proposals for a new Electronic Communications Code. The Government published the Bill in July 2016. It aims to: empower consumers and provide better connectivity so that everyone has access to broadband wherever they live build a better infrastructure fit for the digital future enable better public services using digital technologies provide important protections for citizens from spam email and nuisance calls and protect children from online pornography dodsmonitoring.com Bill Explained The Bill is comprised of 6 Parts: Part 1: Access to Digital Services will: create a new broadband Universal Service Obligation which will ensure everyone has the legal right to request connection to 10Mbps broadband require providers to follow procedures set by Ofcom when customers wish to switch provider, or compensation is due Part 2: Digital Infrastructure will: reform the Electronic Communications Code, to deliver better coverage in rural areas through greater investment and faster rollout of mobile and broadband infrastructure across the United Kingdom bolster major reforms to the rights that communications providers have to acquire land Part 3: Online Pornography will: introduce a new requirement in law for commercial providers to have in place robust age verifica- tion controls for online pornographic content in the UK establish a new regulatory framework underpinned by civil sanctions to monitor, notify and enforce compliance with the law Part 4: Intellectual Property will: increase the maximum sentence for online copyright infringement from two to ten years create a new online design registration system, known as webmarking, making it easier for design owners to protect their rights repeal legislation which provides that copyright in the broadcast of public service broadcaster chan- nels is not infringed where the broadcast is retransmitted by cable Part 5: Digital Government will: improve public services through better use of data whilst safeguarding citizens’ privacy allow government to identify persons eligible for benefits or services to enable help to reach those in need Part 6: Ofcom and Other Regulation will: introduce a new statutory code of practice on direct marketing extend Ofcom’s powers to regulate the activities of the BBC to enable it to fulfil the role to be set out in the new Royal Charter @dodsmonitoring First debate and stakeholder reaction Following its publication, the Second Reading of the Digital Economy Bill took place on the 13 Septem- ber in the House of Commons. Click here for the full transcript. Provisions in part 3 of the Bill relating to the introduction of age verification for online content were of par- ticular concern during the debate. MPs, from both the front and back benches largely welcomed this, whilst Secretary of State for Culture, Media and Sport Karen Bradley told the House it would “drive cultural change in the sector to ensure that children are protected. “ However, two Conservative MPs Claire Perry (Devizes) and Fiona Bruce (Congleton) questioned the role and powers of the proposed regulator—due to be set up to monitor compliance with age verification pro- cedures. For example, Bruce asked how it would impose sanctions on pornographic material originating from outside UK jurisdiction. Improving broadband coverage was also discussed at length and was a matter of importance raised by those members whose constituency fell within a rural area. Specific questions regarding the Universal Service Obligation were raised by Anne-Marie Trevelyan (Con, Berwick-upon-Tweed) who asked whether the commitment to 10 megabits per second could be updated to reflect future needs whilst Kit Malthouse (Con, North West Hampshire) similarly asked for clarification on the matter. Outside of Parliament, the Local Government Association (LGA) are among those who have been vocal on the matter of a Universal Service Obligation, calling on the Government to commit to it in the face of in- dustry scepticism. Upon second reading, Cllr Mark Hawthorne, Chairman of the LGA 's People and Places Board stressed the importance of good digital connectivity noting “as central and local government ser- vices increasingly become 'digital by default', more people will need to have faster and more reliable speeds.” dodsmonitoring.com Elsewhere in the Bill’s first debate, MPs noted the legislation lacked measures that would prepare the UK for future technological change. Both Chi Onwurah, as Shadow Minister for Business, Energy and Industri- al Strategy and Culture, Media and Sport, and Huw Merriman (Con, Bexhill and Battle) expressed concerns about the absence of measures relating to workers rights in relation to online platform companies such as Deliveroo and Uber. It is perhaps likely that amendments will be tabled to rectify this omission. On the subject of intellectual property, former shadow culture, media and sport minister Thangam Deb- bonaire (Lab, Bristol West) spoke with the interests of the music industry in mind and welcomed Clause 26 to bring penalties for copyright infringement . However, Open Rights Group an organisation campaigning against threats to free speech, criticised these measures which “could mean that people who share files could get a jail sentence, even if they aren't doing it to make money“ and have asked for an amendment to avoid this. Finally, one might predict that tabled amendments on provisions relating to the BBC will be seen in the coming months. The Labour Party in particular voiced opposition to the Government’s decision to transfer funding of television licences for the over-75s to the BBC, raising concerns that this this financial constraint could squeeze the jobs of those in the BBC and impact upon distinctive but costly programming. Next Steps At Committee Stage the Bill is scrutinised by parliament line by line. For Bills starting their legislative jour- ney in the Commons this usually takes place in a public bill committee. A programme motion, published before committee stage, will determine how many days and sittings the committee will meet for. Membership of public bill committees is determined by the Speaker and represents the political composi- tion of the House. The Speaker will usually choose members with a qualified interest in the Bill such as Government and shadow ministers and Whips and there are usually between 16 and 30 members on a public bill committee. Amendments at committee stage should be tabled three days before the date they are due to be considered. Amendments tabled after that date will be only be considered at the discretion of the chair. Public bill committees are also able to invite written and oral evidence from relevant and interested stake- holders. This often includes Government Ministers, departmental officials and experts or affected people from the stakeholder community. Committee stage: House of Commons—11.10.2016 Committee stage: House of Commons—13.10.2016 Committee stage: House of Commons—18.10.2016 Committee stage: House of Commons—20.10.2016 Committee stage: House of Commons—25.10.2016 Committee stage: House of Commons—27.10.2016 dodsmonitoring.com Key People Ministers Karen Bradley, Secretary of State for Culture, Media and Sport— http://bit.ly/2cObaVt Matt Hancock, Minister of State for Digital and Culture—http://bit.ly/2cvJWDl Shadow Ministers Kelvin Hopkins, Shadow Secretary of State for Culture, Media and Sport—http://bit.ly/2crSlpo Chi Onwurah, Shadow Minister, Culture, Media and Sporty—http://bit.ly/2crRlBq Backbenchers with a particular interest Gill Furniss (Lab, Yorkshire and Humberside) - http://bit.ly/2d2W7X6 Anne-Marie Trevelyan (Con, Berwick-upon-Tweed) - http://bit.ly/2cB0YPD Chris Elmore (Lab, Ogmore) - http://bit.ly/2cTjemw Graham Jones (Lab, Hyndburn) - http://bit.ly/2cDD84b Yvonne Fovargue (Lab, Makerfield) - http://bit.ly/2crSQ2G Drew Hendry (SNP, Inverness, Nairn, Badenoch and Strathspey) - http://bit.ly/2d2VInN Andrew Gwynne (Lab, Denton and Reddish) - http://bit.ly/2cOcYOp Tom Brake (Lib Dem, Carshalton and Wallington) - http://bit.ly/2ciODk9 @monitoringUK The Dods Monitoring team will be producing briefings on key Government legislation in this session. Expected Bills can be viewed in our summary of the Queen’s Speech here. For more information on the legislative process, please contact your Political Consultant. Dods 11th Floor, The Shard 32 London Bridge Road London SE1 9SG 020 7593 5500 www.dods.co.uk .
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