Session 2013 - 14
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Other Bills before Parliament


 
 

Public Bill Committee: 3 December 2013                  

90

 

Water Bill, continued

 
 

(5)    

Regulations under section (Register of premises subject to greater flood risk) may

 

provide for the Commissioners for Her Majesty’s Revenue and Customs, or a

 

person authorised by them, to disclose information held for council tax purposes

 

by the Valuation Office to—

 

(a)    

the Environment Agency, or

 

(b)    

the Natural Resources Body for Wales,

 

    

for use in identifying premises to be excluded from the register by reference to

 

the date of completion of construction (see section (Register of premises subject

 

to greater flood risk)(4)).

 

(6)    

The regulations may include provision restricting the use or further disclosure of

 

information disclosed under subsection (5).’.

 


 

The register: reviews and appeals

 

Dan Rogerson

 

NC13

 

To move the following Clause:—

 

‘(1)    

Regulations under section (Register of premises subject to greater flood risk) may

 

make provision for a person with the qualifying interest in particular premises—

 

(a)    

to request a review of a decision by a relevant body that the premises are

 

not eligible to be entered in the register;

 

(b)    

to appeal against a decision by a relevant body that the premises are not

 

eligible to be entered in the register to—

 

(i)    

the sheriff, in relation to Scotland,

 

(ii)    

the Water Appeals Commission for Northern Ireland, in relation

 

to Northern Ireland, or

 

(iii)    

the First-tier Tribunal, in any other case.

 

(2)    

For “relevant body”, see section (The register: further provision)(2).’.

 


 

The register: expenses of relevant bodies

 

Dan Rogerson

 

NC14

 

To move the following Clause:—

 

‘(1)    

The Secretary of State may, with the consent of the Treasury, by regulations

 

provide for a levy to be payable to the Secretary of State by relevant insurers.

 

(2)    

The regulations may—

 

(a)    

specify the rate of the levy or the method by which it is to be calculated;

 

(b)    

make provision as to the times when, and the manner in which, payments

 

are to be made in respect of the levy.

 

(3)    

The regulations may in particular make provision for determining the amount of

 

the levy by reference to the qualifying expenses of the relevant bodies and the

 

Secretary of State.


 
 

Public Bill Committee: 3 December 2013                  

91

 

Water Bill, continued

 
 

(4)    

The regulations may make provision for amounts payable by way of levy under

 

the regulations to be recoverable summarily (or in Scotland recoverable) as a civil

 

debt.

 

(5)    

Before making regulations under this section the Secretary of State must

 

consult—

 

(a)    

the Welsh Ministers;

 

(b)    

the Scottish Ministers;

 

(c)    

the Department of Agriculture and Rural Development in Northern

 

Ireland.

 

(6)    

In this section “qualifying expenses” means—

 

(a)    

in relation to a relevant body, such proportion of the expenses of the

 

relevant body as the Secretary of State considers reasonable having

 

regard to the functions exercisable by that body under regulations under

 

section (Register of premises subject to greater flood risk);

 

(b)    

in relation to the Secretary of State, the expenses of the Secretary of State

 

attributable to the exercise of functions conferred by or under this

 

section.

 

(7)    

For “relevant body”, see section (The register: further provision)(2).’.

 


 

Compliance reports

 

Dan Rogerson

 

NC15

 

To move the following Clause:—

 

‘(1)    

The Secretary of State may by regulations make provision about reporting

 

compliance with obligations imposed by regulations under section (Flood

 

insurance obligations).

 

(2)    

The regulations may require a relevant insurer to make a report—

 

(a)    

stating the extent to which it has complied with obligations imposed on

 

it by regulations under section (Flood insurance obligations) in relation

 

to a prescribed period;

 

(b)    

providing prescribed details about the basis on which it considers that it

 

has complied with those obligations to that extent.

 

(3)    

The regulations may provide for reports to be given to the FCA.

 

(4)    

In this section “prescribed” means specified in or determined in accordance with

 

regulations under this section.’.

 



 
 

Public Bill Committee: 3 December 2013                  

92

 

Water Bill, continued

 
 

Functions of the FCA

 

Dan Rogerson

 

NC16

 

To move the following Clause:—

 

‘(1)    

The Treasury may by regulations provide for the FCA to take action for

 

monitoring and enforcing compliance with—

 

(a)    

such of the obligations imposed on relevant insurers by regulations under

 

section (Flood insurance obligations) or (Compliance reports) as may be

 

specified in the regulations;

 

(b)    

such description of those obligations as may be specified in the

 

regulations.

 

(2)    

The regulations may provide for the FCA to take action for enforcing compliance

 

with—

 

(a)    

such of the obligations imposed on insurers by regulations under section

 

(Flood insurance obligations: information) as may be specified in the

 

regulations;

 

(b)    

such description of those obligations as may be specified in the

 

regulations.

 

(3)    

Regulations under subsection (2) may only provide for the FCA to take action as

 

regards cases where—

 

(a)    

the failure to comply, if proved, would consist in or involve providing

 

information that is not true or producing a document that is not correct, or

 

(b)    

measures available under section (Flood insurance obligations: further

 

provision) have been taken without securing compliance.

 

(4)    

The regulations may apply, or make provision corresponding to, any of the

 

provisions of the Financial Services and Markets Act 2000 or the Financial

 

Services Act 2012, with or without modification.

 

(5)    

The provisions of the Financial Services and Markets Act 2000 and the Financial

 

Services Act 2012 referred to in subsection (4) include in particular—

 

(a)    

provisions about gathering information and investigating, including

 

provisions as to powers of entry and search;

 

(b)    

provisions as to criminal offences and disciplinary measures;

 

(c)    

provisions for the grant of an injunction in relation to a contravention or

 

anticipated contravention;

 

(d)    

provisions giving the Treasury or the FCA powers to make subordinate

 

legislation;

 

(e)    

provisions for the FCA to charge fees;

 

(f)    

provisions restricting liability in damages in relation to the discharge of

 

functions of the FCA.

 

(6)    

The regulations may make provision enabling the FCA, to such extent as the

 

regulations may prescribe, to make arrangements for the performance of

 

functions on its behalf.’.

 



 
 

Public Bill Committee: 3 December 2013                  

93

 

Water Bill, continued

 
 

Reports by the FCA

 

Dan Rogerson

 

NC17

 

To move the following Clause:—

 

‘(1)    

The Treasury may by regulations provide for the FCA to prepare reports on its

 

discharge of the functions conferred on it under section (Functions of the FCA).

 

(2)    

The regulations may—

 

(a)    

make provision about the contents of the reports;

 

(b)    

make provision about the timing of the reports;

 

(c)    

provide for copies of the report to be given to the Secretary of State and

 

such other persons as the regulations may specify;

 

(d)    

provide for publication of the reports.’.

 


 

Intervention by the FCA or the PRA

 

Dan Rogerson

 

NC18

 

To move the following Clause:—

 

‘(1)    

The Treasury may by regulations confer on a regulator the power to disapply or

 

modify, in relation to a relevant insurer, an obligation imposed by regulations

 

under—

 

(a)    

section (Flood insurance obligations) (flood insurance obligations),

 

(b)    

section (Flood insurance obligations: information) (flood insurance

 

obligations: information), or

 

(c)    

section (Compliance reports) (compliance reports).

 

(2)    

In this section “the intervention power” means the power conferred by regulations

 

under subsection (1).

 

(3)    

The regulations may specify which obligations, or which descriptions of

 

obligations, a regulator may disapply or modify under the intervention power.

 

(4)    

The regulations may specify what modifications, or what descriptions of

 

modifications, may be made by a regulator under the intervention power.

 

(5)    

The regulations may specify the circumstances in which, and the conditions

 

subject to which, a regulator may exercise the intervention power.

 

(6)    

Provision under subsection (5) may in particular provide for a regulator to

 

exercise the intervention power in relation to a relevant insurer—

 

(a)    

where the relevant insurer is failing, or is likely to fail, to satisfy the

 

threshold conditions for which the regulator is responsible,

 

(b)    

in connection with advancing—

 

(i)    

if the regulator is the FCA, one or more of the FCA’s operational

 

objectives, or

 

(ii)    

if the regulator is the PRA, one or more of the PRA’s objectives,

 

(c)    

in conjunction with the exercise by the regulator, in respect of the

 

relevant insurer, of a power that is conferred on the regulator by or under

 

an enactment and is specified in the regulations, or


 
 

Public Bill Committee: 3 December 2013                  

94

 

Water Bill, continued

 
 

(d)    

at the request of, or for the purpose of assisting, an overseas regulator of

 

a kind specified in the regulations.

 

(7)    

The regulations may —

 

(a)    

make provision about the procedure to be followed when exercising the

 

intervention power, including provision about consulting such persons as

 

may be specified in the regulations about a proposed exercise of the

 

power;

 

(b)    

make provision requiring a regulator to give a relevant insurer notice in

 

writing specifying how the intervention power has been exercised in

 

relation to that relevant insurer;

 

(c)    

make provision about when an exercise of the intervention power takes

 

effect;

 

(d)    

make provision about the period for which a provision of regulations may

 

be disapplied or modified under the intervention power, including—

 

(i)    

provision enabling a regulator to specify the period for which a

 

provision of regulations is disapplied or modified;

 

(ii)    

provision for disapplying or modifying a provision of regulations

 

until a regulator provides for it to apply again or to apply again

 

without modification;

 

(e)    

make provision requiring a regulator—

 

(i)    

to send copies of a notice under paragraph (b) to the Secretary of

 

State and such other persons as may be specified in the

 

regulations;

 

(ii)    

to notify such persons as may be specified in the regulations of

 

the exercise of the intervention power;

 

(f)    

make provision requiring a regulator to publish such details about the

 

exercise of the intervention power as may be specified in the regulations;

 

(g)    

make provision requiring a regulator to keep under review each case in

 

which a provision of regulations is disapplied or modified;

 

(h)    

make provision about the matters to which a regulator is to have regard

 

in exercising its functions under the regulations.

 

(8)    

Provision under subsection (7)(e) or (f) may allow for the omission of

 

information publication of which would in the opinion of the regulator be against

 

the public interest.

 

(9)    

The intervention power may be exercised in respect of an obligation imposed by

 

regulations under section (Flood insurance obligations)(1) only so as to disapply

 

the obligation (and not so as to modify it).

 

(10)    

The regulations may apply, or make provision corresponding to, any of the

 

provisions of the Financial Services and Markets Act 2000 or the Financial

 

Services Act 2012, with or without modification.

 

(11)    

The provisions of the Financial Services and Markets Act 2000 or the Financial

 

Services Act 2012 referred to in subsection (10) include in particular—

 

(a)    

provisions about gathering information and investigating, including

 

provisions as to powers of entry and search;

 

(b)    

provisions as to criminal offences and disciplinary measures;

 

(c)    

provisions for the grant of an injunction in relation to a contravention or

 

anticipated contravention;

 

(d)    

provisions giving the Treasury, the FCA or the PRA powers to make

 

subordinate legislation;

 

(e)    

provisions for the FCA or the PRA to charge fees;

 

(f)    

provisions restricting liability in damages in relation to the discharge of

 

functions of the FCA or the PRA.


 
 

Public Bill Committee: 3 December 2013                  

95

 

Water Bill, continued

 
 

(12)    

In this section “regulator” means the FCA or the PRA.

 

(13)    

For—

 

“objective of the PRA”, see section 2F of the Financial Services and

 

Markets Act 2000;

 

“operational objective of the FCA”, see section 1B(3) of that Act;

 

“overseas regulator”, see section 55Q of that Act;

 

“threshold condition”, see section 55B of that Act.’.

 


 

Interpretation

 

Dan Rogerson

 

NC19

 

To move the following Clause:—

 

‘(1)    

The Secretary of State may by regulations define for the purposes of this Part—

 

“insurer”;

 

“relevant insurer”.

 

(2)    

Before making regulations under subsection (1) as to the meaning of “relevant

 

insurer”, the Secretary of State must consult such persons as the Secretary of State

 

thinks appropriate.

 

(3)    

The Secretary of State may by regulations define for the purposes of sections (The

 

Flood Reinsurance Scheme)  to (Disclosure of information: preparatory

 

purposes)

 

“flood insurance”;

 

“household premises”.

 

(4)    

The Secretary of State may by regulations define for the purposes of sections

 

(Flood insurance obligations) to (Intervention by the FCA or the PRA)

 

“greater flood risk”;

 

“flood”;

 

“flood risk”;

 

“household premises”;

 

“insurance policy”;

 

“issue”, in relation to an insurance policy;

 

“the qualifying interest”, in relation to household premises.

 

(5)    

Regulations under subsection (4) as to the meaning of “flood” may specify

 

descriptions of water that are, or are not, to be taken into account.

 

(6)    

In sections (Flood insurance obligations) to (Intervention by the FCA or the

 

PRA)

 

“the FCA” means the Financial Conduct Authority;

 

“the PRA” means the Prudential Regulation Authority;

 

“registered premises” means premises registered in the register maintained

 

under section (Register of premises subject to greater flood risk);

 

“risk band” has the meaning given by section (Register of premises subject

 

to greater flood risk)(2).’.

 



 
 

Public Bill Committee: 3 December 2013                  

96

 

Water Bill, continued

 
 

Period of operation

 

Dan Rogerson

 

NC20

 

To move the following Clause:—

 

‘(1)    

Sections (The Flood Reinsurance Scheme) to (Intervention by the FCA or the

 

PRA) are repealed at the end of the period of 25 years beginning with the day on

 

which this Act is passed.

 

(2)    

The Secretary of State may by order amend subsection (1) so as to bring forward

 

the day on which—

 

(a)    

sections (The Flood Reinsurance Scheme) to (Disclosure of information:

 

preparatory purposes) are repealed;

 

(b)    

sections (Flood insurance obligations) to (Compliance reports) are

 

repealed.

 

(3)    

The Secretary of State may by order make provision in connection with—

 

(a)    

the repeal of—

 

(i)    

sections (The Flood Reinsurance Scheme) to (Disclosure of

 

information: preparatory purposes), or

 

(ii)    

sections (Flood insurance obligations) to (Compliance reports),

 

or

 

(b)    

the revocation of regulations under sections (The Flood Reinsurance

 

Scheme) to (Disclosure of information: preparatory purposes), at any

 

time before those sections are repealed,

 

    

including provision amending or repealing an enactment.

 

(4)    

Provision made in an order by virtue of subsection (3) may, in particular,

 

include—

 

(a)    

such provision for the transfer of property, rights and liabilities

 

(including pension liabilities of staff) relating to the FR Scheme as the

 

Secretary of State thinks fit;

 

(b)    

provision about legal proceedings relating to anything done in

 

connection with the FR Scheme;

 

(c)    

provision about the accounts of the FR Scheme;

 

(d)    

provision about information held by the FR Scheme administrator.

 

(5)    

The Treasury may by order amend subsection (1) so as to bring forward the day

 

on which sections (Functions of the FCA) to (Intervention by the FCA or the

 

PRA) are repealed.

 

(6)    

The Treasury may by order make provision in consequence of the repeal of

 

sections (Functions of the FCA) to (Intervention by the FCA or the PRA),

 

including provision amending or repealing an enactment.’.

 


 

Regulations and orders

 

Dan Rogerson

 

NC21

 

To move the following Clause:—

 

‘(1)    

A power to make regulations or an order under this Part is exercisable by statutory

 

instrument.


 
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