Category Archives: Hansard

My Lords, it is a pleasure to speak to this amendment. In doing so, I declare my technology interests as set out in the register.

We have a productivity problem in this country. There are a number of causes—immigration policy, skills policy—but an area that gets precious little attention is the number of robots in the workforce, not just in manufacturing but across the whole United Kingdom workforce. The measure, taken by the IFR, is robots per 10,000 of the employed population. The UK has 111; we are in 15th position, at the bottom of the G7, yet robots could make such a difference to productivity, to levelling up and to the shape, size and scale of the UK economy. That is what my Amendment 43A is all about: opening up the whole question of how we increase the number of robots in the workforce—and they should be considered members of the workforce. We need to consider them, and be cool with “cobots”.

In the medium term, they are certainly productivity creators and job makers. Yes, in certain sectors and industries, there may be serious transition that should be taken seriously, considered and dealt with as we move more robots into the workforce, but ultimately they are productivity creators and job makers. Amendment 43A merely asks the Government to have a task force for this purpose, to improve the levelling up of the economy across the UK for the benefit of all of us. I beg to move.

My Lords, I thank in particular the noble Baroness, Lady Hayman, for her comments; I agree entirely with her comments on skills. If we are to gain all the advantages of the new technologies—the fourth industrial revolution—it will be this combination of skills, the right immigration policy and robotics, and all the new technologies that are at our fingertips right now. I thank in particular my noble friend the Minister for a very full, thorough, detailed and positive answer. I am certainly aware of the initiatives that he has set out and it is excellent to have them all now on the record.

We need, however, a target—something to aim at —because we should be on the podium when it comes to this. Currently, we are not even in the B final. So we may want to return to this in some form on Report and certainly see whether something can be done to tie this very clearly to the overall levelling-up mission that I know that we are all so fully committed to. For now, I beg leave to withdraw the amendment.

Amendment 43A withdrawn.

Clause 4: Changes to mission progress methodology and metrics or target dates

Amendments 44 and 45 not moved.

Clause 4 agreed.

Clause 5: Reviews of statements of levelling-up missions

Amendments 46 to 49 not moved.

Clause 5 agreed.

My Lords, I will speak on three matters: pavement licences, local finance, and digital and financial inclusion.

When we debated the Business and Planning Bill in 2020, we looked at the matter of pavement licences in the midst of the Covid pandemic. We needed to ensure that businesses could carry on, largely by carrying on their operations outdoors. That was quite right, but even then other noble Lords and I ensured that accessibility and inclusion were critical within that process. Perhaps this is an ideal moment to reassert the primary purpose of the pavement—and, if the word “pavement” is not clear enough, we could import a helpful Americanism: the “sidewalk”. Indeed, it is the side of the road designed for where we can walk, and we should be able to walk safely, securely and accessibly along it. The measures in the Bill are concerning on the aspect of pavements.

It is possible to have business involvement without cutting across inclusion or local voices and local involvement. Some 81% of blind people say that general street clutter on the pavement and e-scooters have a hugely adverse impact on their daily experience. It is not just about blind people but about wheelchair users, people with children in pushchairs, and young and older people; this is for all people. We need to ensure that our streets are accessible and inclusive for all. To that end, would my noble friend the Minister agree that we should strongly consider reinstating the 28-day consultation period, as set out in the Highways Act? We should have a clear demarcation of licensed areas, with tactile markers or barriers, or both. During Covid times, those were said to be temporary measures; under the new licensing scheme, those areas could be there for two years, so they need to be clearly demarked. Would my noble friend the Minister agree that we need to strongly consider changing the clauses which seek to offer the mandatory granting of licences automatically? The pavements must be safe, secure and accessible for all.

I turn now to local finance, which is a huge problem in this country. Some 70% of equity investment goes into businesses in London. If we look at investment across the piece, we see that investment is largely made by businesses less than two hours from the business in which they are investing. Would my noble friend the Minister agree that there is a strong case for regional, mutual banks, as is the case in Germany, which does so much for SME finance in that country? We hear so much about SMEs being the backbone of the British economy, the largest private employer and the large companies of tomorrow, but to what extent do we have a system which seeks to support them and offer them the lines of credit and the flow of funds they require?

Finally, there is very little about financial and digital inclusion in the Bill. I believe that they could be two of the key drivers of levelling up and regeneration for individuals, cities, communities and our country. I intend to table amendments in Committee on that subject, and, like many noble Lords, I believe that when the Bill leaves your Lordships’ House it will be in better shape. Perhaps we cannot make it shorter, but we can make it better.

My Lords, I will speak on three matters: pavement licences, local finance, and digital and financial inclusion.

When we debated the Business and Planning Bill in 2020, we looked at the matter of pavement licences in the midst of the Covid pandemic. We needed to ensure that businesses could carry on, largely by carrying on their operations outdoors. That was quite right, but even then other noble Lords and I ensured that accessibility and inclusion were critical within that process. Perhaps this is an ideal moment to reassert the primary purpose of the pavement—and, if the word “pavement” is not clear enough, we could import a helpful Americanism: the “sidewalk”. Indeed, it is the side of the road designed for where we can walk, and we should be able to walk safely, securely and accessibly along it. The measures in the Bill are concerning on the aspect of pavements.

It is possible to have business involvement without cutting across inclusion or local voices and local involvement. Some 81% of blind people say that general street clutter on the pavement and e-scooters have a hugely adverse impact on their daily experience. It is not just about blind people but about wheelchair users, people with children in pushchairs, and young and older people; this is for all people. We need to ensure that our streets are accessible and inclusive for all. To that end, would my noble friend the Minister agree that we should strongly consider reinstating the 28-day consultation period, as set out in the Highways Act? We should have a clear demarcation of licensed areas, with tactile markers or barriers, or both. During Covid times, those were said to be temporary measures; under the new licensing scheme, those areas could be there for two years, so they need to be clearly demarked. Would my noble friend the Minister agree that we need to strongly consider changing the clauses which seek to offer the mandatory granting of licences automatically? The pavements must be safe, secure and accessible for all.

I turn now to local finance, which is a huge problem in this country. Some 70% of equity investment goes into businesses in London. If we look at investment across the piece, we see that investment is largely made by businesses less than two hours from the business in which they are investing. Would my noble friend the Minister agree that there is a strong case for regional, mutual banks, as is the case in Germany, which does so much for SME finance in that country? We hear so much about SMEs being the backbone of the British economy, the largest private employer and the large companies of tomorrow, but to what extent do we have a system which seeks to support them and offer them the lines of credit and the flow of funds they require?

Finally, there is very little about financial and digital inclusion in the Bill. I believe that they could be two of the key drivers of levelling up and regeneration for individuals, cities, communities and our country. I intend to table amendments in Committee on that subject, and, like many noble Lords, I believe that when the Bill leaves your Lordships’ House it will be in better shape. Perhaps we cannot make it shorter, but we can make it better.

My Lords, if we are to ensure financial inclusion, we need not just to have such financial services and products but to ensure that those services and products are accessible. Does my noble friend agree that the worrying rise in inaccessible point-of-sale terminals and card payment machines—for example, accessible keyboards being replaced with inaccessible flat screens—marks three things: a prima facie breach of equalities legislation, a complete failure of inclusion by design, and just bad business?

My Lords, it is a pleasure to take part in this Second Reading debate and to follow my noble friend Lady Noakes, about whose points I will say more in a moment. I congratulate the two maiden speakers from whom we have heard. I am very much looking forward to my noble friend Lady Lawlor’s maiden speech; I will not detain her much longer. I also congratulate my noble friend the Minister on the eloquence and erudition she showed in introducing the Bill. I declare my interests in the register, particularly those pertaining to fintech advisory work.

I will focus on two areas: financial inclusion and the regulator, mainly because nobody has mentioned the latter yet. Financial inclusion matters not just for those who find themselves on the wrong side of it. If we can drive financial inclusion, there are not just economic but social and national benefits for each and every one of us. That is why I am pleased to see the access to cash clauses in the Bill. It is important because cash still matters; it matters materially to millions. Looking at the reasonableness terms in the Bill, can my noble friend the Minister say what factors will be taken into account when we look at reasonable access to cash? It is a question of both distance—whether that distance is covered by public transport links— and cost. There are many factors to be considered, and I would welcome more detail on that in her wind-up speech.

As many other noble Lords have commented, access to cash is but one part of this. If there is no acceptance of cash, what currency does cash have if there is no place to spend it? In Committee, it is incredibly important that we look at the whole question of acceptance: which businesses are included; what size they are; what line of business they are in; and business clusters. There are so many issues to consider on how we nail the question of cash acceptance, because, without it, access does not go very far at all, as other noble Lords have commented.

The cashback amendment I tabled to the now Financial Services Act 2021, which my noble friend the Minister was kind enough to reference in her opening speech, demonstrates the enduring importance of cash. Evidence so far, since the introduction of cashback without the need for a purchase, clearly demonstrates that most of those transactions are for £20 or below, and therefore clearly serving individuals who were massively underserved or unserved before the passage of that legislative change.

Finally, on cash, does my noble friend the Minister believe it is time to consider cash as critical national infrastructure, and not just for financial inclusion? In the current uncertain world in which we exist, if there were to be a serious and sustained cyberattack on our financial systems, it seems that cash would provide a pretty robust first line of resilience.

Before noble Lords think that I am all about cash, I am interested in cash only while millions still rely on it and while we have not moved fully to the digital world. The future is inexorably digital, not least for payments. There is nothing necessarily problematic or negative about that, but that future has to be inclusive for all—and the transition to that future has to be similarly inclusive. Is it not high time to build on the work of the Access to Cash Review that the Government commissioned with, crucially, a review of access to digital payments?

On the regulator, as others have said, Parliament needs to consider seriously and urgently what we want our regulators in this space to do, without in any sense encroaching on their independence. What do we want them to do? How do we fit them out to do that? How do we put the structure and resource in place to set them up to succeed? How will we then hold them to account on all the principles which have been set out in that structure? It cannot be the case that it takes nine months for an overseas CEO to be able to come over to work in our financial services. It cannot be that it takes over a year for a start-up business to get a licence to operate in this country. It cannot be the case, as my noble friend Lord Ashcombe pointed out in his excellent maiden speech, that one size fits all. In insurance, how can it be that the same regulatory regime applies whether you are insuring a pet or a plane?

We know how to get this right with regulators. We saw that in the first part of the 2010s with our approach to fintech, and with the sandbox and with GFIN, which came as result of that. There was no better measure of success from the sandbox, and no better KPI, than the fact that it has been replicated in well over 50 jurisdictions around the world. That was all under Project Innovate; we need a second, third and fourth version of that project to drive forward all the opportunities which currently exist, combining common law, new technologies, and the potential geographic and historical benefits for London and the rest of the UK. As everybody in financial services knows, history is no guarantee of future success.

On the international competitiveness objective and the international perspective, what have the Government looked at in taking the best from around the world in this area—not least the MAS in Singapore, the Swiss regulator, and those in Bermuda and Australia, to name but a few?

In conclusion, this is the most important financial services Bill in a generation. It has extraordinary potential—but it is potential; it will not inevitably drive economic social good for citizens, cities, communities and our country. This is an extraordinary opportunity to make things better. In Committee and on Report, let us all work to make it even better.

To ask His Majesty’s Government what steps they are taking to ensure that all financial services are accessible and inclusive, including ATMs and point of sale terminals.

My Lords, it is a pleasure to take part in this Second Reading debate and to follow my noble friend Lady Noakes, about whose points I will say more in a moment. I congratulate the two maiden speakers from whom we have heard. I am very much looking forward to my noble friend Lady Lawlor’s maiden speech; I will not detain her much longer. I also congratulate my noble friend the Minister on the eloquence and erudition she showed in introducing the Bill. I declare my interests in the register, particularly those pertaining to fintech advisory work.

I will focus on two areas: financial inclusion and the regulator, mainly because nobody has mentioned the latter yet. Financial inclusion matters not just for those who find themselves on the wrong side of it. If we can drive financial inclusion, there are not just economic but social and national benefits for each and every one of us. That is why I am pleased to see the access to cash clauses in the Bill. It is important because cash still matters; it matters materially to millions. Looking at the reasonableness terms in the Bill, can my noble friend the Minister say what factors will be taken into account when we look at reasonable access to cash? It is a question of both distance—whether that distance is covered by public transport links— and cost. There are many factors to be considered, and I would welcome more detail on that in her wind-up speech.

As many other noble Lords have commented, access to cash is but one part of this. If there is no acceptance of cash, what currency does cash have if there is no place to spend it? In Committee, it is incredibly important that we look at the whole question of acceptance: which businesses are included; what size they are; what line of business they are in; and business clusters. There are so many issues to consider on how we nail the question of cash acceptance, because, without it, access does not go very far at all, as other noble Lords have commented.

The cashback amendment I tabled to the now Financial Services Act 2021, which my noble friend the Minister was kind enough to reference in her opening speech, demonstrates the enduring importance of cash. Evidence so far, since the introduction of cashback without the need for a purchase, clearly demonstrates that most of those transactions are for £20 or below, and therefore clearly serving individuals who were massively underserved or unserved before the passage of that legislative change.

Finally, on cash, does my noble friend the Minister believe it is time to consider cash as critical national infrastructure, and not just for financial inclusion? In the current uncertain world in which we exist, if there were to be a serious and sustained cyberattack on our financial systems, it seems that cash would provide a pretty robust first line of resilience.

Before noble Lords think that I am all about cash, I am interested in cash only while millions still rely on it and while we have not moved fully to the digital world. The future is inexorably digital, not least for payments. There is nothing necessarily problematic or negative about that, but that future has to be inclusive for all—and the transition to that future has to be similarly inclusive. Is it not high time to build on the work of the Access to Cash Review that the Government commissioned with, crucially, a review of access to digital payments?

On the regulator, as others have said, Parliament needs to consider seriously and urgently what we want our regulators in this space to do, without in any sense encroaching on their independence. What do we want them to do? How do we fit them out to do that? How do we put the structure and resource in place to set them up to succeed? How will we then hold them to account on all the principles which have been set out in that structure? It cannot be the case that it takes nine months for an overseas CEO to be able to come over to work in our financial services. It cannot be that it takes over a year for a start-up business to get a licence to operate in this country. It cannot be the case, as my noble friend Lord Ashcombe pointed out in his excellent maiden speech, that one size fits all. In insurance, how can it be that the same regulatory regime applies whether you are insuring a pet or a plane?

We know how to get this right with regulators. We saw that in the first part of the 2010s with our approach to fintech, and with the sandbox and with GFIN, which came as result of that. There was no better measure of success from the sandbox, and no better KPI, than the fact that it has been replicated in well over 50 jurisdictions around the world. That was all under Project Innovate; we need a second, third and fourth version of that project to drive forward all the opportunities which currently exist, combining common law, new technologies, and the potential geographic and historical benefits for London and the rest of the UK. As everybody in financial services knows, history is no guarantee of future success.

On the international competitiveness objective and the international perspective, what have the Government looked at in taking the best from around the world in this area—not least the MAS in Singapore, the Swiss regulator, and those in Bermuda and Australia, to name but a few?

In conclusion, this is the most important financial services Bill in a generation. It has extraordinary potential—but it is potential; it will not inevitably drive economic social good for citizens, cities, communities and our country. This is an extraordinary opportunity to make things better. In Committee and on Report, let us all work to make it even better.

My Lords, it is a pleasure to take part in this Second Reading and, as other noble Lords have done, I congratulate the noble Lord, Lord Addington, who is a champion for sport both in Parliament and, still, on the pitch. I also congratulate all members of your Lordships’ Select Committee on the National Plan for Sport and Recreation, which produced such an excellent report, as pertinent today as on the day of publication.

The Bill has two significant underpinnings. The first is to place this in the Department of Health and Social Care, a significant spending government department. The second is that we need a cross-government, cross-Whitehall effort. This is often the case for a number of policy areas and, to my mind, in recent history has really happened only twice. The first was the tremendous effort that everybody across government made with the Covid pandemic. The second, 10 years ago now, was the cross-Whitehall effort for the London 2012 Olympic and Paralympic Games. Why was there a cross-government effort for that? People wanted to be involved and wanted to make it a success.

What we were trying to do in 2012 was not just to have a sensational summer of Olympic and Paralympic sport but to try to do what no previous Games had done and drive a legacy of participation. We achieved something but by no means did we achieve everything, hence why we are where we are today: an obesity epidemic; a type 2 diabetes crisis; stroke and heart attack. I will not go on, but we as a nation cannot go on like this, which is why the Bill is so significant. First, I ask my noble friend about the name of the office. Would it not make sense to follow the excellent recommendation of the noble Lord, Lord Addington, that it should be the “office for health promotion”, as it was initially going to be? Certainly, the government response is uncompelling as to why that name does not encapsulate everything we are trying to achieve with this body.

Similarly, on the prescription of exercise, can my noble friend the Minister tell the House how successful that is currently, how widespread it is and what the department is doing to put it on absolute turbocharge to ensure that it is available to everybody up and down the country? The Bill rightly highlights the importance of detection. What is being done to have a culture across society of scanning and screening to stop disease and early death in their terrible tracks? There is much we can do, as the Bill indicates, with data and new, innovative technologies, so what is the department doing to foster an ecosystem, a culture of exploration and of concept proofing across the public and private sectors to bring forward all the possible ideas in this area? Wearables is an obvious example. What is being done to ensure that all those involved have the right level of data and digital education? I know it is not my noble friend’s department, but what is being done to ensure effective data and digital education right from primary school onwards?

The clue, in many ways, is in the name: “sport” is a contraction of “support”. What the Bill offers is support for every citizen across the country—enabling and empowering through exercise, physical well-being and the mental well-being that flows from that. We cannot go on like this. We do not have to go on like this. We have a choice. In this straightforward, significant Bill, we have an important part of that choice. Let us take it.

To ask His Majesty’s Government what steps they are taking to increase financial inclusion in England.