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House of Lords Official Report Vol. 764 Monday No. 38 7 September 2015 PARLIAMENTARY DEBATES (HANSARD) HOUSE OF LORDS OFFICIAL REPORT ORDER OF BUSINESS Deaths and Retirements of Members ...........................................................................1209 Questions Debt Management Advice ..........................................................................................1209 House of Lords: Membership....................................................................................1211 Disabled Children: Sexual Exploitation .....................................................................1214 Airports Commission: Costs.......................................................................................1216 Chairman of Committees Motion to Appoint.......................................................................................................1219 Energy Bill [HL] Committee (1st Day) ..................................................................................................1219 Syria: Refugees and Counterterrorism Statement......................................................................................................................1246 Energy Bill [HL] Committee (1st Day) (Continued).............................................................................1267 Criminal Legal Aid (Remuneration etc.) (Amendment) Regulations 2015 Motion to Regret.........................................................................................................1287 Grand Committee Misuse of Drugs Act (Temporary Class Drug) (No. 2) Order 2015......................GC 155 Merchant Shipping (Alcohol) (Prescribed Limits Amendment) Regulations 2015 .GC 160 Smoke and Carbon Monoxide Alarm (England) Regulations 2015.....................GC 164 Civil Legal Aid (Merits Criteria) (Amendment) Regulations 2015.......................GC 180 Scotland Act 1998 (Modification of Schedules 4 and 5) Order 2015 ................GC 182 Armed Forces Act (Continuation) Order 2015.......................................................GC 186 Consumer Rights Act 2015 (Consequential Amendments) Order 2015 ...............GC 191 Enterprise Act 2002 (Part 8 Domestic Infringements) Order 2015......................GC 204 Motions to Consider £4·00 Lords wishing to be supplied with these Daily Reports should give notice to this effect to the Printed Paper Office. No proofs of Daily Reports are provided. Corrections for the bound volume which Lords wish to suggest to the report of their speeches should be clearly indicated in a copy of the Daily Report, which, with the column numbers concerned shown on the front cover, should be sent to the Editor of Debates, House of Lords, within 14 days of the date of the Daily Report. This issue of the Official Report is also available on the Internet at www.publications.parliament.uk/pa/ld201516/ldhansrd/index/150907.html PRICES AND SUBSCRIPTION RATES DAILY PARTS Single copies: Commons, £5; Lords £4 Annual subscriptions: Commons, £865; Lords £600 LORDS VOLUME INDEX obtainable on standing order only. Details available on request. BOUND VOLUMES OF DEBATES are issued periodically during the session. Single copies: Commons, £65 (£105 for a two-volume edition); Lords, £60 (£100 for a two-volume edition). Standing orders will be accepted. THE INDEX to each Bound Volume of House of Commons Debates is published separately at £9·00 and can be supplied to standing order. All prices are inclusive of postage. The first time a Member speaks to a new piece of parliamentary business, the following abbreviations are used to show their party affiliation: Abbreviation Party/Group CB Cross Bench Con Conservative DUP Democratic Unionist Party GP Green Party Ind Lab Independent Labour Ind LD Independent Liberal Democrat Ind SD Independent Social Democrat Ind UU Independent Ulster Unionist Lab Labour LD Liberal Democrat LD Ind Liberal Democrat Independent Non-afl Non-affiliated PC Plaid Cymru UKIP UK Independence Party UUP Ulster Unionist Party No party affiliation is given for Members serving the House in a formal capacity, the Lords spiritual, Members on leave of absence or Members who are otherwise disqualified from sitting in the House. © Parliamentary Copyright House of Lords 2015, this publication may be reproduced under the terms of the Open Parliament licence, which is published at www.parliament.uk/site-information/copyright/. 1209 Deaths and Retirements of Members[7 SEPTEMBER 2015] Debt Management Advice 1210 disclose the availability of free debt advice at all. House of Lords Cold-calling lead generation is banned for mortgages. Will the Minister agree to meet me to discuss banning Monday, 7 September 2015. it for debt advice as well? 2.30 pm Lord Ashton of Hyde: My Lords, although lead Prayers—read by the Lord Bishop of Peterborough. generators are independent and not regulated, the FCA requires debt management firms accepting leads from lead generators to satisfy themselves that the Deaths and Retirements of Members business has been procured fairly and in accordance Announcement with data protection privacy in electronic communication laws. The FCA is going through the authorisation process at the moment, as I said, and that is one of the 2.36 pm things that will be taken into account. It has to ensure The Lord Speaker (Baroness D’Souza): My Lords, I that the lead generators do things such as signpost to regret to inform the House of the deaths on 30 August consumers the availability of free debt advice. The of the noble Lord, Lord Williamson of Horton, on FCA has committed to undertake a review of its rules 31 August of the noble Lord, Lord Montagu of Beaulieu, on unsolicited marketing calls, emails and text messages and on 4 September of the noble Lord, Lord Moser. from consumer credit firms. Lastly, of course I am On behalf of the House, I extend our sincere condolences always pleased to meet the noble Lord. to the noble Lords’ families and friends. I should also like to notify the House of the retirements, Baroness Kramer (LD): My Lords, the House will with effect from 23 July, of the noble Viscount, Lord remember that the Government dithered on tackling Montgomery of Alamein, and the noble Baroness, the abuses by payday lenders until the noble Lord, Lady Wilkins, and, with effect from 30 July, of the Lord Sassoon—the Minister in the Lords at the time— noble Lord, Lord Simpson of Dunkeld, pursuant to took personal action and drove the change. Will Ministers Section 1 of the House of Lords Reform Act 2014. On today consider doing the same, because cold calling is behalf of the House, I should like to thank the noble making victims of vulnerable people on a daily basis? Lords for their much-valued services to the House. I should also like to notify the House of the resignation Lord Ashton of Hyde: As I just said to the House, of the noble Lord, Lord Sewel, with effect from 30 July. the FCA is looking at this. We are not in a position to instruct the FCA on what to do, but there are actions Debt Management Advice that can be taken on unsolicited calls that I can go into Question if noble Lords want. 2.38 pm Lord Davies of Oldham (Lab): My Lords, on the broader issues of debt, will the Minister confirm that Asked by Lord Sharkey household debt is on course to reach a new level of To ask Her Majesty’s Government what assessment 183% of GDP by 2020? That is above any level that it they have made of the thematic review Quality of reached under 13 years of the last Labour Administration. Debt Management Advice published by the Financial Is it not clear that this faltering economic recovery Conduct Authority in June 2015. that the Chancellor boasts about is being backed by household debt, with serious consequences in the longer run for the economy and for all households? Lord Ashton of Hyde (Con): My Lords, the Government are very concerned about the problems in the debt management market, including the quality Lord Ashton of Hyde: My Lords, the noble Lord of advice, which was highlighted by the Financial opposite has decided not to mention that household Conduct Authority’s thematic review. This is why we debt as a proportion of income has fallen to 145% in reformed debt management regulation, transforming Q1 of 2015—down from a peak of 169% in 2008 under responsibility to the FCA’s more robust regime to the Labour Government. We accept the forecast that better protect consumers. Debt management firms are household debt will rise by 2020, but this is driven by currently going through the FCA authorisation process. households investing in financial and housing assets. Firms that do not meet the FCA’s threshold conditions At the moment, three-quarters of debt is secured by will not be able to continue in the market. property. Lord Sharkey (LD): My Lords, the Government are The Lord Bishop of St Albans: My Lords, given that right to be concerned. The fact is that the FCA found the FCA report discovered that not-for-profit that a staggering 60% of fee-charging debt advice organisations were better at giving impartial debt advice, cases posed a high risk of harm. The requirement to will the Minister tell us what plans Her Majesty’s disclose the availability of free debt advice at first Government have to ensure that those organisations contact was often not done or was rushed, not impartial have sufficient funding to be able to offer that service or not sufficiently prominent. It is not even clear to the 8.8 million people in the UK who are in need of whether cold-calling lead generators are obliged to debt management advice? 1211 Debt
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